20131210Retail Rate Increase.pdf

FRll Rrvrn RuRt ElrcrRtc
CooprnnrvE, lNc.
1150 North 3400 East
Ashton, lD 83420 ' I t.' l- |irl ':", I
December 3,2013
Idaho Public Utilities Commission
Paul Kjeilander, President
P.O. Box 83720
472W. Washington
Boise, ID 83702
Subject: Fall River Rural Electric Cooperative Retail Rate Increase
Dear President Kjellander:
The board members of Fall River Rural Electric Cooperative, Inc., have reviewed and approved
a ten-year financial forecast, reviewed a consultant's cost of service analysis, conducted a market
review of retail electric rates, held public meetings for our owner-members, and have concluded
that Fall River's retail electric rates were inadequate to meet the Cooperatives revenue
requirements. Fall River will increase its retail rates effective January 2014 for all members in
Montana, Idaho, and Wyoming.
This rate adjustment is needed as a result of an increase in both wholesale power costs and an
additional increase in transmission costs instituted by the Bonneville Power Administration
(BPA) on October 1,2013. Fall River Electric understands the impact arate increase can have on
members and has taken a number of steps to reduce the impact including eliminating or deferring
capital expenditures, have reduced operating expenses by ll%o, trimmed the Cooperative's
workforce by 26%o, reduced interest rate payments to just 4.3%o, and have saved $1.6M in
construction costs by utilizing our own crews rather than relying on outside contractors. Through
written communication directly to members, local media coverage, our website & social media
links, as well as radio & newspaper advertisements, our members were invited to attend any of
three meetings held in November throughout our service territory conceming the proposed rate
increase. At all three meetings, few members attended and a limited number of comments were
received via electronic and standard mail. Copies of those emails are available upon request.
208-652-7 431 . 800-632-5726
208-652-7825fax
www.fal I riverelectric, com
ai
FRll RrveR Runr Elecrruc
CoopeRRrvE, lNc.
1 150 North 3400 East
Ashton, lD 83420
Considering this information, the board passed a motion to increase retail electric rates an
average of 5.5Yo starting with owner-member statements received in January 2014. We have
included the Board approved tariff sheets to have on file.
Please find the enclosed tariff sheets:
Residential Service
General Service - Commercial
Irrigation
Small General Service
If you need additional information, please let me know. I would also be interested in assisting if
owner-members have concerns or questions.
Fall River's board has also instructed staff to increase the amount of funding we collect and
distribute to assist those who need assistance in paying their energy bills. We realize this rate
increase is being implemented in a time of slow economic recovery but we remain committed to
increasing our efforts to support those in the communities we serve.
Please let me know if you have any questions.
Sincerely,
o
o
o
a
ffi
Bryan L. Case
CEO/General Manager
208-652-7 431 . 800-632-5726
208-652-7825fax
www.fallriverelectric.com
Fall Rivcr Rural Elecric Coopontivc, Inc.
I 150 North 3400 East
Ashton,ldaho 83420
Datcd: Novcmbcr25. 2013
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Effective for the state of
Idaho, Montana and Wyoming
Date Effective: January 1.2014
RESIDENTIAL SERVICE Rate Code: 0l
Apglicabilitv:
Applicable to rcsidential consumers, rcquiring continuous use of elecEic facilitics. Other
supplemcntal uscs may be servcd on this ratc, providod, howeycr, that supplcmcntal usc is in
conjunction with thc full time residence, and scrvicc from thc samc facility.
Character of Service:
Single and thrcc phasc, 60 cyclcs, at socondary voltago. The Cooperativc rqscrves thc right to
spocify the phasc ofscrvicc supplies under this schedule.
Ratc:
Line and Systcm Maintenancc Charge: $35.00 pcr month
Energy Charge:
kWh hours 0-2000 0.07427 kWh
kWh hours 2ffi1 and above 0.08765 kwh
Adden
If a consumer elocts to incur an additional chargc for purchasc of "Rcnewable Encrgf'the
increase will be equivalcnt to $0.01I kWh
Tcrms of Pavment:
Bills for scrvices hqrundcr shall bc paid monthly at the office of the Seller in Ashton, Statc of
Idaho, within thc time specified by the Board of Dirtctors, urd indisated in the applicable
Cooperative Policy. Ifthe consumer shall fail to pay any such bill within the specified timc, the
Scller may discontinue servicc hercundcr in accordancc with the rulcs and regulations as adoptcd
bythe Board of Directors.
Dan Skene
Title: Board Presidcnt
Fall River Rural Electric Cooperative, Inc.
I150 North 34fi) East
Ashton, Idaho 83420
Datcd: November2S-2O11
Tariff
Effectivc for the state of
ldaho, Montana and Wyoming
Datc Effective: Januarv 1.20H
Titlq Board President
RESIDENTIAL SERVICE - Continued Rate Code 01
Tcmporarv Servicc:
Temponry scrvicc shall be providcd on this ratc, and according to the provisions set forth in thc
mo$ current Line Extcnsion Policy.
Service Extsnsions:
Scrrrice extensions shall be installed by the Coopcrativg and according to the provisions sct forth
in the most currcnt Line extension Policy.
Fall River Rural Electric Cooperative, Inc.
I150 North 3400 East
Ashton,ldaho t3420
Datcd: Novcmbcr25-2013
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Effostive forthe statr of
Idahq Montana and Wyoming
DarcEffoctivc:@
GEMRAL SERVICE Rate Codc: 03
Apdicability:
Applioablc to commcrcial, industrial, and any other customqR not scrvcd under other spccific
schedules.
Charactcr of Servicc:
Singlc or threc phasc, 60 cycles, at secondary voltagc. Gencral Scrvicc Rate is dctormined on
KW (dcmand) ovcr 50 KW in any month of thc prior ycar. The Cooperativc rtscrves the right to
spaciry thc phasc of servicc supplies under this schedule.
Ratc:
Line and System Maintenance Charge: $58.00 per month
Monthly Variable Acccss :
Charge pcr kWh $ 0.05284
ChargepcrkWovcr l0 $ 8.17
Adder:
If a oonsumer elccts to incur an additional chargc for purchasc of"Rcnewable Energ/'thc
increasc will be cquivalent to S 0.011 kwh
Bvi
Dsn Skenc
Titlc: Board President
Fall River Rural Elecbic Coopcrative, Inc.
I 150 North 3400 East
Ashton,ldaho 83420
Dated: November 25. 2013
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Effoctive for the state of
Idaho, Montana and Wyoming
DaAEffoctive:@
GENERAL SERVICE - Continued Rate Code: 03
Terms of Pavment:
Bills for scrvice hercundcr shall be paid at the office ofthc Seller in Ashton, Statc of ldahq
within thc time specified by thc Board of Direstors and indicated in the applicable Cooperative
Policy. If the consumer shall fail to pay any such bill within the spocified time, thc Cooperative
may discontinuc service hereunder in accordancc with the rules and rcgulations as adoptcd by the
Board of Directors. Howcver, disconncction of scrvicc for failuro to comply with thc terms of
this agrecment, or the rules and regulatiors as adoptcd by the Board of Directors, or by request
of thc consumer does not invalidate any of the provisions for payment.
Tcmoorar.v Scrvice:
Temponry service shall be providcd on this rate, and according to the provisions sct forth in the
most current Line Extension Policy.
Service Extcnsions:
Senrice extcnsions shall be installed by the Coopcrative, and according to the provisions set forth
in thc most curr€nt Line cxtension Policy.
Dan Skene
Title: Board Prcsident
Fall River Rural Electric Cooperative,lnc.
I l50North 3400 East
Ashton, Idaho 83420
Dated: November25. 2013
Teriff
Effective for the state of
Idaho, Montana and Wyoming
Date Effcctivc: Januarv l. 2014
Applicable to farm customers for inigation pumping or uscs essontial to pumping operations.
Character of Scrvice:
Singlc and three phase 60 cyclcs, at available sccondary voltagc.
Rate:
Horse Powcr Charge
0- 100 Horcepower $21.00
Ovcr 100 Horsepowcr $30.87
Horscoower charge is to be paid at the time of connection in thc spring. It will not be applied to
the season's bill.
Dcmand Charcq All kwh billed at $ 1.44
Ener5r Charge: All kwh billed at $0.03037
Adder:
If a consumer elects to incur an additional charge for purchasc of "Renewable Energy''thc
increase will be cquivalcnt to $0.01I kWh
The horscpower chargc is calculated on thc assumption that an inigation insallation utilizes onc
kilowatt per horsepower. Thc horsepowcr charges indicated abovc are applicable as long as the
kilowatt demand registercd on the mcter does not exceod the horsopower that was prcpaid for
seruice undcr that meter. Should the kW demand registercd on the meter during thc scason
excced the prepaid horscpower for that mcter, then the incrcmental diffcrence betwcen the kW
demand and the prepaid horscpower will be calculated for cach meter automatically each month
of ttre inigUion ssarx)n, widr thc final sasonal billing reflecting the additional charge for the
murimum difference. The horcepower chargc is to be paid prior to May 11 before connection,
and will not be applied to the season's billing or be refunded. The collcction of this chargc
will rcsult in lower energy and demand ratcs for ttre seasons.
Dan Skene
Titlc: Board Prcsident
Fall River Rural Electric Coopcrative,lnc.
I150 North 3400 East
Ashton,ldaho 83420
Datcd: November25.2013
Terlff
Effcctive for the state of
Idaho, Montana and Wyoming
Date Effcctive: Januarv l. 2014
DE-WEATIIERIZEII IRRIGATION - Condnucd
Dcmand chargcs are applied to the monthly dcmand reading. Thc billing under this schedule
shall be the highest ofthc following:l. The Contact demand, in any or
2. The highest dcmand occuning in any lS-minute intcrual ofthc monthly billing period
as detcrmined by the dcmand metcr, adjusted for powcr factor.
Dctermination of demand (kW) inputwhere dcmand reading is not obainable:
The Coopcrative shall determinc the kilowatt demand by aking a voltage and amp metcr rcading
at the option of the Cooperativc or by the calculated kilowatr by multiplying .9693 times the
horcepower rating shown on tho nameplate ofthe motor.
Powcr Factor Adiustnent:
Thc customer agraEs to maintain unity powcr frctor as ncarly as practicable. For customenr
whose demand cxcceds 300 kWh the Cooper*ivc may detcrmine ratio betwecn the kilowatt and
reactivc kilovolt-ampere demand by means of installcd inshrments or by pcriodic tests. When
dctermined by tests, the resulting ratio shall remain in effect until a new determination is made.
The dcmand chargc, bcfore adjustment for power factor, shall be incroased by l% for each l%
by which the avcrage power factor is less than .90 lagging. The formula for detcrmining averagc
power factor is as follows:
Kilowatt-hours
AveragePowcrFactor = { k\tftr+kvh,
Minimum Charce:
The minimum charge for scasonal urd non-seasonal usc is ttre horsepowcr chargc computed at
$21.00 pcr horsepower up to 100 horsepower. Over l([ horsepower at $30.87 pu horsepowcr,
or the contract whichever is larcer.
"r, T . €Ler-
Dan Skene
Title: Board Prcsident
Fall River Rural Electric Coopcrativc, lnc.
I 150 North 3400 East
Ashton, Idaho 83420
Dated: Novembcr 25. 2013
Tariff
Effoctivc for tre state of
Idaho, Montana and Wyoming
Date Effective: Januarv 1.2014
SMALL GENERAL SERVICE Rate Code: 05
Applicabilityt
Applicable to commeroial, industrial, and any other customcrs not servcd under other spccific
schedules.
Charactor of Service:
Single or thrce phasc, 60 cycles, at secondary voltage. Small General Service Rate is dctcrmined
on KW (demand) less than 50 KW in ury month of the prior year. The Cooperative reserves the
right to spcciff the phase of seruice supplies under this schedule.
Rate:
Line and System Maintenancc Chargc: $36.00 per month
Monthly Variablc Access:
Chargc pcr kWh $ 0.05551
Charge per kW over l0 $ 8.17
Adder:
If a consumcr clects to incur an additional chargc for purchasc of "Renewable Encrry" the
increase will be equivalent to $ 0.01I kwh
Title: Board hesident
Fall River Runl Electric Coopentivc, Inc.
I150 North 3400 East
Ashton,ldaho 83420
Dated: Novemhcr25-2013
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Tariff
Effective br tho strate of
Idaho, Montana and Wyoming
Date Efrectivc: Januarv l. 20H
SMALL GENERAL SERVICE - Contlnued Rrte Code: lXi
Terms of Pavment:
Bills for scwicc hcrcundcr shall be paid at thc office of the Scller in Ashton, State of Idatrq
within thc time specificd by thc Boad of Dirocon and indicatcd in the applicablc Cooperativc
Policy. [f thc consumer shall fail to pay any suoh bill within the specified timc, the Coopcrative
may discontinue scrvice hcreundcr in accordancc with the rules and regulations as adoptcd by thc
Board of Dircctors. Howcver, disconnection of servicc for failure to comply with the tcrms of
ftis agrccmcnt, or thc rulcs and rcgulations as adoptcd by fte Board of Directors, or by requcst
ofthc consumer docs not invalidatc any ofthe provisions for payment.
Tcmoorarv Scrvice:
Tenrporary serrricc shall bc provided on this ratc, and according to thc povisions set forth in the
most currcnt Linc Extcnsion Policy.
Service Extrnsions:
Scrvicc odcnsions shall bc installod by thc Coopcrdivc, and according to the provisions sct forth
in thc most currcnt Linc extcnsion Policy.
Dan Skcne
Title: Board President