20090526min.doc

IDAHO PUBLIC UTILITIES COMMISSION

MINUTES OF DECISION MEETING

May 26, 2009 – 1:30 P.M.

In attendance were Commissioners Jim Kempton and Mack Redford. Commissioner Smith was absent and excused.

Commissioner Kempton called the meeting to order. The first order of business was approval of MINUTES FROM PREVIOUS MEETING on May 18, 2009. The minutes were approved as written.

The second order of business was approval of the CONSENT AGENDA. Commissioner Kempton announced that items 2, 3, 4, 5, 6, 8 and 9 on the Consent Agenda would be considered together and item 7 would be considered separately. A unanimous vote was taken to approve Staffs’ recommendations on items 2, 3, 4, 5, 6, 8 and 9. Regarding item 7, Marilyn Parker explained that the Staff recommendation in her Decision Memo should be corrected to recommend that the Commission issue a Summons instead of processing the case by modified procedure. The Staff recommendation on item 7 was then approved by unanimous vote.

MATTERS IN PROGRESS:

Commissioner Kempton announced an addition to the agenda, item 10, that was made less than 48 hours prior to the time of the meeting. He said that under the amended Idaho Open Meeting Law that will be effective in July, Idaho Code §§ 67-2340, the Commission is required to post the change and have a separate motion and vote to incorporate the change in the agenda. Commissioner Kempton then made a motion to change the agenda, adding the following item to the agenda:

10. Case No. AVU-G-09-03 (Avista), Purchased Gas Cost Adjustment (PGA) – Proposed June 1, 2009 Rate Decrease. [No Memo. Scott Woodbury, Attorney.]

A unanimous vote was taken to add this item to the agenda.

Mr. Woodbury then explained that Avista had filed the application on May 19, 2009, proposing a decrease in rates for its natural gas customers. He said the proposed decrease equates to about 8.1 cents per therm or 6.7 percent for residential and small commercial customers, and under Schedule 111 larger customers would see an average decrease of 7.8 percent. He said Avista requests the proposed tariff change be made effective June 1, 2009. He stated that Staff has not yet audited the company’s workpapers and therefore could not make an informed recommendation regarding the Company’s application, but as it is a decrease, Staff recommends that the Commission approve the decrease by interlocutory order for an effective date of June 1, 2009, set a schedule for comments, and following the comment deadline bring the matter back to the Commission for a final decision.

There was no discussion. A unanimous vote was taken to approve Staff’s recommended procedure.

11. Scott Woodbury’s May 20, 2009 Decision Memorandum re: Petition for Declaratory Order – Ownership of RECs Associated with QF PURPA Contracts Petition for Stay – of Any Requirement to Award RECs to QF Requesting a PURPA Contract, Case No. AVU-E-09-04 (Avista).

Mr. Woodbury reviewed his Decision Memo. He noted that a Motion for Order Rejecting a Request for a Stay had been filed that morning by Sagebrush Energy, and Exergy had filed a Motion to Dismiss based on lack of subject matter jurisdiction. He said Staff recommends that a Notice of Petitions for Declaratory Order and Stay be issued, and that deadlines for intervention and written comments be established regarding the Petitions and Motions. He said Staff recommends the Commission take the matter under advisement and follow up with a procedural notice.

A unanimous vote was taken to approve Staff’s recommendations.

The last order of business was FULLY SUBMITTED MATTERS, items 12 – 15. Commissioner Kempton stated these items would be considered privately following the meeting.

There was no further business before the Commission and Commissioner Kempton adjourned the meeting.

DATED this ______ day of May, 2009.

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COMMISSION SECRETARY

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