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HomeMy WebLinkAbout20040928Vol IV Boise.pdf.::'r " """""""""" ORIGINAL BEFORE THE IDAHO PUBLIC UTIL~MSf~~~iSSion RECEIVED ) . SEP Z 7 2004 Complainant, , ) Boise. IdahoIDAHO POWER COMPANY vs.CASE NO. IPC-04- CITY OF EAGLE f IDAHO, Re spondent . BEFORE COMMISSIONE~ PAUL KJELLANDER (Presiding) COMMIS S IONER MARSHA H. SMI TH ' COMMISSIONER DENNIS HANSEN c. - PLACE:Commission Hearing Room 472 West Washington Boise, Idaho DATE:September 10" 2 0 04 VOLUME IV - Pages 518 -605 CSB-REpORTING Constance S. Bucy,CSRNo. 187 17688 Allendale Road *WiYder, Idaho 83676 (208) 890-5198 * (208) 337-4807 Email csb~spro.net ' - u. , -. For the Staff:Donald Howell, Esq. Deputy At torney General 472 West Washington Boise , Idaho 83720 - 0074 For Idaho Power:Monica B. Moen, Esq. and Barton L. Kline, Esq. Idaho Power Company Post Office Box Boise , Idaho 83707 - 0070 For City of Eagle:MOORE SMI TH BUXTON & TURCKE by Bruce M. Smith, Esq. and Susan E. Buxton, Esq. 255 North 9th Street Suite 420 Boise, Idaho 83702 For Eagle River , LLC:HOLLAND & HART LLP by B. Newal Squyres, Esq. Post Office Box 2527Boise, Idaho 83701 CSB REPORTING Wilder, Idaho AP PEARANCE S 83676 WITNESS EXAMINATION BY Ms. Moen (Direct-Reb) Prefiled Rebuttal Testimony Ms. Moen (Direct-Reb Cont' d)Ms. Buxton (Cross-Reb)Mr. Squyres (Cross-Reb)Mr. Howell (Cross-Reb)Commissioner Kj ellander Commissioner Hansen Commissioner Smith Commissioner Kj ellander Commissioner Hansen Ms. Moen (Redirect) PAGE 519 521 547 560 577 580 583 585 588 591 593 594 David L. Sikes (Idaho Power) CSB REPORTING Wilder , Idaho 83676 INDEX Premarked Admitted Premarked Admi t t ed Admitted Premarked Admitted Admitted PAGE 604 604 604 604 604 NUMBER DESCRI PTION FOR IDAHO POWER COMPANY: 6 - Exhibi t sponsored by David L. Sikes 7 - Star Area Study, Outline 8 - Eagle Area Idaho Power Facilities Map, 11-21- 02 9 - Excerpt from City of Eagle Comprehensive Plan, 4.7 Other Services & Utilities FOR THE CITY OF EAGLE: 128 - 139 CSB REPORTING Wilder, Idaho 83676 EXHIBITS BOISE , IDAHO , FRIDAY , SEPTEMBER 10, 2004, 10:00 A. COMMISSIONER KJELLANDER:Well , good morning.We'll be back on the record to continue our hearing and we all know who we are, so we won't run through any appearances of the parties and it's good to see everybody here all bright-eyed after last night and want to thank all the parties in terms of their appearances last night.I know it's a contentious issue and I don't know that anybody would have figured that out from any of the questions that were asked, so I want to thank all of you for the way in which you conducted yourselves last night. Okay,think we'ready for one last wi tness and recall,Ms.Moen you said that was 10-15 -minute process,we'ready for you to kick off. MS. MOEN:Thank you.Idaho Power calls David Kip Sikes. CSB REPORTING Wilder , Idaho 518 COLLOQUY83676 DAVID L. SIKES, produced as a rebuttal witness at the instance of Idaho Power Company, having been previously duly sworn , resumed the stand and was further examined and testified as follows: DIRECT EXAMINATION BY MS. MOEN: Mr. Sikes , you've already been sworn in and identified through the group, so I won't go through that process, but have you previously filed written rebuttal testimony consisting of 18 pages and Exhibits to 9 on behal f of Idaho Power Company? Yes have. And do you wish that written testimony? to make any correct ions to No. And if I were to ask you the questions that are contained in that written testimony today, would your responses to those questions be the same? Yes , they would. MS. MOEN:Mr. Chairman , I move that the prefiled testimony of David Sikes consisting of 18 pages be spread on the read as if read in its entirety and that CSB REPORTING Wilder , Idaho 519 SIKES (Di -Reb) Idaho Powe r Company83676 Exhibits 6 to 9 be marked for identification. COMMISSIONER KJELLANDER:Thank you. Without objection , we'll do just that. of Mr.David (The following prefiled rebuttal testimony L. Sikes is spread upon the record. CSB REPORTING Wilder , Idaho 520 SIKES (Di -Reb) Idaho Powe r Company83676 Please state your name and identify the party upon whose behalf you are presenting rebuttal testimony. My name is David L. Sikes.I am al so known as Kip Sikes. I am testifying on behalf of Idaho Power Company. Are you the same David L. Sikes that presented direct testimony in this proceeding? Yes. What lssues will you address in your rebuttal testimony? In response to the testimony of Commission Staff member Randy Lobb concerning the Idaho Public Utilities Commission's need to determine whether the facilities proposed by Idaho Power Company are needed, my testimony will emphasize the urgency of needing to construct the proposed 138-kV transmission line between the Eagle and Star substations.I will also address the viability of some of the various routes and alternatives for the location of the proposed transmission line that were discussed with the City and its representatives and I will show that the City of Eagle has previously endorsed two transmission corridors that are the subj ect of this proceeding.Additionally, I will address other issues identified by the other parties in their direct testimony. CSB REPORTING Wilder , Idaho 521 SIKES (Di-Reb) Idaho Power Company83676 Commission Staff member Lobb notes in his testimony on page 5 that none of the parties appear to contest the need or benefits of the proposed 138-kV line between the Eagle and the Star substations.Please summarize the purpose of the proposed transmission line. In the near-term , the line will provide a source of electricity to the Star Substation.In the long-range, excepting outages or other temporary operating conditions which rely on the transmission or distribution systems for alternate back-up supply, 100 percent of the power carried by the portion of this line located within Eagle's jurisdictional boundaries will serve Idaho Power Company customers who 1 i ve wi thin ei ther the Ci ty of Eagle or the Ci ty' s Impact Area. Is any new information available since you filed your direct testimony in this matter that emphasizes the urgency of needing to construct the transmission line between the Eagle and Star substations and the benefits to the Company's customers who would be served by thi s ine? Yes.Load information at the Star substation for August 1 and 2 , 2004 is attached hereto as Exhibit The summer of 2004 did not have the sustained high temperatures experienced in 2003 however, there was a brief period of high temperatures in late July and early CSB REPORTING Wilder , Idaho 522 SIKES (Di-Reb) Idaho Power Company83676 August of 2004.As shown on Exhibit 6, the load at the Star substation on Sunday evening at 7: 26 PM was 8.64 MW. CSB REPORTING Wilder , Idaho The 523 SIKES (Di -Reb) Idaho Power Company83676 combined load for the Lansing and Star substations (identified on the chart as LNSGSTAR.MW) was 22.35 MW at the same time.On Monday August 2 , 2004 , their respecti ve loads were 8.55 MW and 22.92 MW at 7: 06 PM. Please explain why these loads are material. The loads experienced on Sunday evening, August , 2004 , are the maximum loads observed during the summer of 2004 for the existing Star Substation.This load response lS characteristic of residential-type loads, the predominant type of growth in the area currently served by the Star Substation.Normally, one does not expect to establish a peak load on a Sunday evening when many commercial establishments aren't using significant amounts of electrical energy. For example , the total area load served by the Lansing and Star substations of 22.92 MW on Monday, August 2 , was slightly higher , even though the temperature was somewhat cooler. Analysis I have performed in the past on Treasure Valley loads has shown as much as a one percent load increase per degree increase in the daily maximum temperature.Shoul d experience several days of high temperatures and demand saturation during the middle of a week , the loads could be even ten percent higher. Q. Can the Star and Lansing substations handle loads of this magnitude? CSB REPORTING Wilder, Idaho 524 SIKES (Di -Reb) Idaho Power Company83676 No.Power flow studies on the 69-kV line currently supplying the Lansing and Star substations indicate the system is voltage-constrained at approximately 23 MW , the demand which was reached on Monday, August 2 , 2004.Wi th the cont inued growth and development of Star and west Eagle, the 69- configuration supplied from the Caldwell source is unable to reliably serve the load above that level.It is critical that this configuration be upgraded to assure service reliability and to prevent the potential occurrence of outages during the summer of 2005. I have also included a copy of the Star Area Study. It is identified as Exhibit 7 hereto.On page 4 of that document is a table showing that the expected load on the Star substation for the summer of 2004 is 8.17 MW. The actual peak described above on Sunday, August 1, 2004 was 8.64 MW , or almost one half MW higher.This demonstrates that the capaci ty of the system has been reached.The emergency measures put in place by Idaho Power for the summer of 2004 will not accommodate the expected loads in 2005 as growth continues to accelerate in the area. If completion of the 138-kV line is delayed beyond May 2005 for any reason , what means does Idaho Power have available to ensure reliable service to its CSB REPORTING Wilder , Idaho 525 SIKES (Di -Reb) Idaho Power Company83676 customers? Mobile diesel generators could be installed in the area to reduce peak loading.However , as noted in CSB REPORTING Wilder , Idaho 526 SIKES (Di-Reb) Idaho Power Company83676 the testimony of Commission Staff member Randy Lobb Idaho Power's experience with the placement of mobile generators during the 2000/2001 energy crisis demonstrated significant customer opposition and a high cost of operation.Furthermore, this is a temporary solution requiring additional environmental permitting. Voluntary and involuntary load reductions could be used; however , those types of reductions also incur additional costs and usually result in customer inconvenience. Al ternati vely, Idaho Power may have ' to request that addi tional development in the impacted area be delayed until construction of the line is allowed and is complete. Does Idaho Power continue to recommend the alternative routes or solutions that it included in its filed Complaint in this matter? Yes , wi th the exception of the two routes proposed along Highway 55 and either Floating Feather Road or Beacon Light Road.Sufficient time no longer exists to negotiate with property owners to acquire the necessary rights-of-way to construct a facility along those alignments. With regard to the remaining four alternatives, provided that cost recovery issues are appropriately addressed , Idaho Power remains somewhat indifferent to CSB REPORTING Wilder , Idaho 527 SIKES (Di-Reb) Idaho Powe r Company83676 the ultimate solution.The Company's proposal that the Eagle Bypass Route be selected is based upon input received from the City of Eagle's Community Advisory Committee ("CAC") , the Company's ability to construct the transmission line in that location given the compressed construction schedule and the nature and characteristics of the work in that particular location. Can the proposed 138-kV transmission line be placed underground as requested by the City of Eagle? Yes.Although the technologies exist to construct 138-kV transmission lines underground , it is not the industry standard to construct these types of facilities in that configuration due to the cost and the impact on consumer rates.Furthermore, at this late date, it is uncertain whether a proj ect of that scope which also requires special equipment can be completed in a timely manner in this particular case , that is , by May 2005. Even though the Company has no personal experience placing transmission lines underground and although burying transmission lines is not the industry standard, the Company is not opposed to that kind of construction provided the entity or jurisdiction either requesting or demanding that type of construction pay the differential in cost between overhead construction and placing those CSB REPORTING Wilder , Idaho 528 SIKES (Di-Reb) Idaho Power Company83676 ines underground. It is the Company's position that that cost should CSB REPORTING Wilder , Idaho 529 SIKES (Di -Reb) Idaho Power Company83676 not be borne by Idaho Power customers generally since that is not a construction standard practiced in either the Company's service terri tory or in the industry as a whole.Idaho Power's policy continues to be that the requesting party of such premium service should bear the incremental costs in constructing that serVlce. Do viable al ternati ves exist to construct the 138-kV transmission line in Eagle in an overhead configuration? Yes , from the Company's perspective , viable alternatives exist that do not distribute the additional costs requested by the Ci ty to the Company's ratepayers generally.In her testimony, Mayor Merrill claims that Idaho Power failed to provide the City with viable alternatives to the placement of transmission lines through the City.However , as alleged in its Complaint the Company presented six route options to the City. addition , Idaho Power representatives discussed alternatives with the CAC , the committee that was composed of Eagle residents who ultimately recommended the Eagle Bypass Route as the preferred route for the proposed transmission line. The bottom line is that the alternative alignments for the proposed 138-kV transmission line in and of themsel ves do not appear to be the real issue among theparties. It is the presence of those facilities in an CSB REPORTING Wilder , Idaho 530 SIKES (Di -Reb) Idaho Power Company83676 overhead configuration , as proposed by Idaho Power , that is causing the deadlock that has resulted in this case. Does the Ci ty' s Comprehensive Plan address the provlslon of electrical services wi thin its jurisdictional boundaries? Yes, it does.The City's Comprehensive Plan illustrates the use of both the State Street and Eagle Bypass corridors for Idaho Power's facilities.At tached hereto as Exhibit 8 is the Eagle Area Idaho Power Facilities Map dated November 21, 2002 that is referenced in the City's 2000 Comprehensive Plan , as adopted by the City on November 9 , 1999 and amended by the City on February 16 , 2004.In addi tion to those two corridors, the Star Substation and the proposed Beacon Light Substation are also illustrated on that map. Does the Ci ty' s Comprehensive Plan offer addi tional support for the al ternati ves presented to the City by Idaho Power? Yes.The City's 2000 Comprehensive Plan states that " (aJ ppropriate placement of electric utility facilities on public rights-of-way is encouraged.Public streets and road rights-of -way typically serve as corridors for electric facili ties. The Plan also notes that " (aJ dditions and improvements to electric utility facilities that enhance the capacity and reliability of CSB REPORTING Wilder , Idaho 531 SIKES (Di-Reb) Idaho Powe r Company83676 regional resources, particularly when multi- jurisdictional benefits within the region can be achieved , should be accommodated.A copy of the portion of the Ci ty' s Comprehensive Plan from which these quotes are extracted is attached hereto as Exhibit Does the City's Comprehensive Plan establish a City policy directing that Idaho Power's transmission lines be placed underground? No.The City's Plan makes no such policy recommendation and makes no reference to the placement of the Company's transmission lines underground. If the route alignments are not the real issue concerning the parties, what is the issue preventing the parties from resolving this matter? The issue before the Commission is who is to pay for placing underground the transmission and distribution facilities proposed on any of the alignments presented to the Ci ty by Idaho Power.Idaho Power concurs wi th the testimony of Commission Staff member Lobb who recommends that "the Commission direct the Company to install overhead facilities unless or until the City of Eagle provides the incremental difference in cost required to place those facilities underground. Lobb Direct at 3, 11 1-Idaho Power's position is that its ratepayers generally should not pay the incremental CSB REPORTING Wilder , Idaho 532 SIKES (Di-Reb) Idaho Power Company83676 difference in cost for construction standards that are not implemented wi thin the Company's service terri tory even wi thin the industry as a whole. Of the al ternati ves presented to the Ci ty, which al ternati ve is the best or most acceptable to Idaho Power? Based upon input received from the Eagle CAC regarding the favored route from the perspective of the community and the perspective of the Company concerning the ease and ability to construct certain alignments along wi th the expected cost impacts, Idaho Power believes the Eagle Bypass Route is the most favorable and acceptable al ternati ve. However, as the direct testimony by all the parties has shown , there are advantages and disadvantages to each alignment depending upon the unique perspective of the wi tness testifying. Idaho Power does not deny there may be impacts, either real or perceived, with any of the alternative alignments. As noted in the testimony of Don C. Reading, Ph. D, witness for the City of Eagle, public opposition toward overhead power lines and the placement of substations has increased significantly over the past few years.Fears of heal th concerns , loss of property value and , most of all , the aesthetic impacts of the lines have made the CSB REPORTING Wilder, Idaho 533 SIKES (Di-Reb) Idaho Power Company83676 permitting process for transmission lines and substations increasingly difficul t.The decision of the Eagle City Council to repeatedly deny, over an extended period of time, the Company's applications for a Conditional Use Permit is testimony to this. Commission Staff member Randy Lobb testified that "the State Street alignment makes the most economic sense from the standpoint of the general body of Idaho Power customers.Lobb Direct at 9, 11 13 -16.Mr. Lobb bases his assertion on the fact that the existing State Street overhead distribution line is located in an established corridor and that the "most logical and economical al ternati ve is to upgrade existing overhead facilities . in established utility rights of way. Does the Company concur with this position? Yes, Idaho Power generally concurs wi th Mr. Lobb's assessment.Construction of the 138- transmission line in the existing overhead alignment along State Street is comparable in cost to the Eagle Bypass route; however , complexi ties in construction due to the required distribution underbuild and the fact that accommodations have to be made during construction along this alignment to continue to serve customers reliant upon the distribution line existing in that corridor will likely increase the overall cost of construction in thatarea. CSB REPORTING Wilder, Idaho 534 SIKES (Di-Reb) Idaho Power Company83676 How does the nature of the work on the Eagle Bypass route differ from the work that would be required on the State Street alignment? Because the new transmission system between the Eagle and Star substations has to be completed by May 2005, any work during the condensed construction schedule that involves additional distribution line construction requiring "hot" work (that is, while the distribution line is energized and providing service to existing customers) such as the State Street route al ternati ve, adds elements of risk to both proj ected costs and the required completion date.The Eagle Bypass Route offers the greatest probability that the Company can get the needed transmission line extension designed and completed during the short construction schedule and at the least cost. However, as I stated earlier in this testimony, provided that cost recovery issues are appropriately addressed , Idaho Power can support the State Street alignment as a solution to this matter.Consistent with the Company's position , however , if the City wishes the existing distribution line located along this alignment to be buried,any costs associated with that additional requirement will have to be borne by the residents of the Ci ty of Eagle. CSB REPORTING Wilder, Idaho 535 SIKES (Di-Reb) Idaho Power Company83676 Did Eagle's CAC endorse the State Street al ignment ? CSB REPORTING Wilder , Idaho 536 SIKES (Di -Reb) 12a Idaho Power Company83676 No, it did not.The CAC opposed the State Street alignment even though the total length of this alignment is shorter than the other alternatives. The Eagle CAC and the results of numerous surveys have indicated that minimizing the presence of transmission lines in residential areas and reducing the distance that those 1 ines have to traverse the Ci ty are two of the most important elements in selecting a route for a proposed transmission line. Would the construction of any of the overhead alternatives suggested by the Company prevent burying either the distribution or transmission facilities in the future? No.Those facilities could be placed underground at a later date provided the City agrees to pay for the cost of burying those facilities. Are you aware of any funding mechani sms available to the City to finance the cost to underground these electrical facilities? This is not my area of expertise but two al ternati ves have been identified in documents already filed with the Commission, namely, the Company I Complaint and the direct testimony of both Company Witness Greg Said and Commission Staff Witness Randy Lobb . CSB REPORTING Wilder, Idaho 537 SIKES (Di-Reb) Idaho Power Company83676 Both Mr. Said and Mr. Lobb identify the City' option of creating a Local Improvement District , commonly known as a LID.Based upon their testimony, it appears CSB REPORTING Wilder , Idaho 538 SIKES (Di-Reb) 13a Idaho Power Company83676 Idaho Code Title 50 allows mayors and city councils to create a LID to fund line extensions or to fund conversion of existing overhead electric facilities to an underground configuration.The time required to create a LID , however, may preclude the use of this option in this instance. Alternatively, as Mr. Said testified, Idaho Power may be willing to accept installment payments , with interest , to recover the cost of burying any facilities that the City wishes to place underground.The proceeds of a franchise fee , as permitted by Title 50 of the Idaho Code , could be directed to pay the cost associated wi burying the facilities. Directing your attention to the testimony of Pike Teinert, a wi tness for the Ci ty, did the Company consider the use of alternative technologies or Demand Side Management ("DSM") programs instead of building the 138-kV line as planned by Idaho Power? Wi tness Teinert talks extensively about ACSS conductor as an al ternati ve for the present si tuation. ACSS conductor is basically an aluminum conductor that has been annealed, or heated to high temperatures.That process reduces the strength of the metal. As a resul t of that procedure, the conductor requires addi tional steel strands to provide the necessary support strength. CSB REPORTING Wilder , Idaho 539 SIKES (Di-Reb) Idaho Power Company83676 As such , the tension in the wire is placed on the steel strands which permits the aluminum to operate at high temperatures without comparable stretching when compared to standard conductors.This reduced drooping or sag caused by elongation of the wires allows reduced construction heights to maintain required safety clearances. Would use of this special conductor allow either the 138-kV or a 69-kV line to be constructed overhead through Eagle such that the City's 35-foot height restriction would not be exceeded? No. To maintain the required clearances structures in excess of 35 feet would still be required. Furthermore , 69-kV voltage is not available within the City of Eagle.To place a 69-kV line between the Eagle and Star substations would ultimately require the addition of at least two $1 000,000 138/69- transformers to integrate a 69-kV line into the power grid.One transformer would be required at the Eagle Substation which does not contain sufficient space to make this modification.Further , there is insufficient time to order and receive this custom-manufactured equipment and to obtain the necessary approval from the City to make the needed modifications to the Eagle Substation. CSB REPORTING Wilder , Idaho 540 SIKES (Di-Reb) Idaho Power Company83676 Witness Teinert suggests that the "Caldwell 69-kV line could be reconductored (with ACSS conductorJ to mitigate the voltage support problem.Teinert Direct CSB REPORTING Wilder , Idaho 541 SIKES (Di-Reb) 15a Idaho Power Company83676 16, 11 23-24.Is that a plausible solution to the lssues facing the Company in this instance? No, it is not.ACSS technology allows the conductor to carry more electrical current at a higher temperature.This technology, in effect, increases ampaci ty.However , the use of ACSS conductor in this application would not address the issue of vol tage support, the limiting factor in the Company's system that is driving the need to construct the 138-kV transmission ine through the Ci ty of Eagle. Moreover , the area I s capacity and reliability requirements would not be resolved with the application of ACSS technology.In addition, the use of ACSS technology would not preclude the eventual construction of another ine through the Ci ty In that instance, the Company would potentially face the same impasse with the City that it confronts with the issue presently before the Commission. Can DSM programs realistically address the load demands in the Eagle/Star area? Idaho Power agrees that appropriatelyNo. designed demand-related customer programs can shift or reduce the peak demand on the electric system.However, given the amount and concentration of growth in this area, it is impractical to rely on these types of CSB REPORTING Wilder , Idaho 542 SIKES (Di-Reb) Idaho Power Company83676 programs to fully offset existing loads.For example, for every house CSB REPORTING Wilder, Idaho 543 SIKES (Di-Reb) 16a Idaho Power Company83676 added to the area's housing stock , an existing house would need to be "electrically" removed.This clearly does not comport wi th ei ther the growth proj ections of the City or its expansion plans and permitted uses for the area. Both Charles Carlise, witness for Eagle River LLC, and Witness Reading for the City of Eagle cite the incredible rate with which the City of Eagle has grown. Can DSM programs alone address the loads demanded by population increases of those magnitudes? I don't believe that would be realistic.In my estimation , a 10% penetration of effective DSM programs each year would be required to offset a 10% growth rate. That amount would quickly saturate the market space given the extent of growth exhibited by the City of Eagle and surrounding area and the amount of growth predicted in the future. Witness Carlise states that the Eagle River development alone "will bring several thousand jobs to the Ci ty of Eagle and the surrounding communi ty . asserts that the development "will employ one person for every 100 square feet of space , which translates to approximately 10 000 jobs.WitnessId. at 11 10-12. Reading notes that the "City of Eagle was the 3rd fastest growing city in Idaho between 1990 and 2000 increasing CSB REPORTING Wilder, Idaho 544 SIKES (Di-Reb) I daho Power Company83676 its population by 233%.Reading Direct at 3 , 11 19-20. He observes that " (tJ his CSB REPORTING Wilder , Idaho 83676 545 SIKES (Di-Reb) 17a Idaho Power Company growth has continued since 2000 increasing by nearly 200 residents or an additional 23%.Id. at 11 20-21. Wi tness Reading provided testimony that property values were observed to be lower when located wi thin 1- km of high vol tage ines in Toronto, Canada. Is there local evidence that power lines have reduced property values or inhibi ted development? That is not our experience locally.One need only drive along Eagle Road in the vicini ty of Fairview Avenue and McMillan Road to observe thriving development adjacent to a significantly larger, 230-, power line. Property in the vicinity of a 138-kV line along Front Street in Boise is also developing successfully. Dr. Reading points out, there are many factors which influence perceived value. Does this conclude your rebuttal testimony? Yes , it does. CSB REPORTING Wilder , Idaho 546 SIKES (Di-Reb) Idaho Power Company83676 open hearing. (The following proceedings were had MS. MOEN:Mr. Chairman , would you like me to proceed with the live rebuttal of Mr. Sikes at this time? COMMI S S lONER KJELLANDER:Tha t woul d be your choice. MS. MOEN:I think we'll proceed in that manner. COMM IS S lONER KJELLANDER:Okay. BY MS. MOEN: DIRECT EXAMINATION (Continued) Mr. Sikes, you're aware, aren't you, that some rebuttal testimony and supplementary testimony has been submitted by the City of Eagle;correct? Yes. Do you have a copy of Mr.Teinert' s CSB REPORTING Wilder , Idaho rebuttal and supplemental testimony in front of you? Yes, I do. Would you please turn to page m there. In lines 20 to 21, would you read with me, Mr. Teinert testifies that if the City and the Commission 547 SIKES (Di-Reb) Idaho Power Company83676 Staff had known that the new Star substation feed from Eagle substation was only temporary and that the real reason for the high capacity 138 kV line was to complete the Locust Loop No.2, the search for acceptable solutions would have been much more focused , easier to analyze, less contentious and significantly less time consuming.Do you agree with that statement? No, I do not. Let's break down Mr. Teinert' s testimony from the section I just read.First, he claims that the new Star substation feed from the Eagle substation is only a temporary solution.Can you explain what the purposes of the feed between the substation , between the Eagle and Star substations are? Yes,and have to admit there s e ems have been some confusion about what "temporary"means and obviously, in an integrated system plan in this way, there are both a long-term and a short-term need that needs to be met often by different and complimentary solutions.In the near term, as has already been discussed in some of the testimony, the immediate need increased capacity to Star substation; however , in the long term , this line through the Eagle area proceeding on to Star fulfills long-term capacity requirements for the reliability and integrity of the system service to the CSB REPORTING Wilder, Idaho 548 SIKES (Di -Reb) Idaho Power Company83676 area. Now , the Star substation is presently fed from another source; correct? Tha t is correct. And why is it that it needs a second source? Right now the Star substation being served from the 69 kV system from Caldwell through Lansing voltage limited and the capacity in that system cannot sustain or continue to serve the continued growth in the area; therefore, capaci ty increases need to be provided in the very immediate term for Star substation.The proposal that we have to extend the 138 kV from Eagle the lowest cost and most expedient solution to provide that near - term need. And is it prudent electrical practices to have a secondary source to a substation? Yes.As part of the reliability and design of the system, albeit there are some areas in our system that are radially fed , when a significant amount of load and obviously in these high impact areas, we do strive to at least in the long term provide for the opportunity for loop feeds into the areas. And is it true that in the long term the source of electricity that the Company would be supplying CSB REPORTING Wilder , Idaho 549 SIKES (Di -Reb) Idaho Power Company83676 from Eagle to Star would serve exclusively Eagle residents with the exception of outages? Yes, and I think you can even go back to my rebuttal testimony and I believe it's Exhibit No. showing the loop that was provided from the City of Eagle's comprehensive plan and I guess it I S a little bit easler for me to talk from this picture here. And what does this Exhibit 8 depict? It shows where Eagle is in the center of that document, the line, if we now move to the south to Locust substation on that document, existing lines go to the east and then north to what is shown there as HP and then Jopl in and up around back preceding west to Eagle and then further to the west to where Beacon Light and Linder, then back south along Chinden to Locust.That' the loop that we're talking about and this document has been out there in the public, obviously is dated for a significant amount of time, as well as our other plans in providing that. The loop, the section that we are building as a result of this case or we're attempting to build westerly from Eagle towards the Star substation, that piece certainly from Eagle to Linder Road fits within the long-term areas and boundaries of the City of Eagle exclusively. CSB REPORTING Wilder , Idaho 550 SIKES (Di-Reb) Idaho Power Company83676 Thank you.Back to Mr. Teinert I s testimony on page 6 that I entered into the record here, he indicates that or concludes that the real reason for the 138 kV line was to complete the Locust Loop No. Do you agree with that conclusion? No, and that statement is really flawed in its analysis.As I've already said, there were two There's the short-term reason for gettingreasons. service to Star , in addition to completing the loop and both of those issues have been out in front of the public for a number of years. And can you plan for a transmission line from Eagle to Star without looking at the system as a whole? What's really difficult about systemNo. planning in the electrical grid is when you touch one piece of it, it affects many other pieces.To simply look at one element of the system, as Mr. Teinert has suggested , kind of gives you a short-sighted or myopic view of the capabilities of that system.That one plece in there is part of the integrated system.I know Mr. Teinert has tried to characterize Star as just a distribution substation and as a distribution substation, that is correct; however , the transmission lines that feed that area are of a regional basis and fulfill CSB REPORTING Wilder , Idaho SIKES (Di -Reb) Idaho Power Company 551 83676 regional needs and one cannot just make hip- shot judgments as to the need and benefit without completely understanding how the system works. Let's switch gears here a little bit. Mr. Teinert in his rebuttal testimony on page 8, more particularly lines 13 to 22 , he makes references to his recommended al ternati ve of simply reconductoring the State Street route as a solution to the problem.First of all , disregarding the effect that would have on the system as a whole, can the existing poles along State Street be used to reconductor this route wi th ei ther ACSS or ACSR conductor? No, they cannot.The existing facilities on the poles, there are two distribution circuits on that pole right now , to put a 69 or a 138 kV line along that route requires an additional set of wires, not simply replacing one of the sets of wires; therefore , the entire line along that route would still be required to be rebuilt at an increased height even if 69 kV were to be used because two distribution circuits and a 69 kV circui t need to be maintained. And are there minimum clearances that have to be met in order to safely maintain those conductors? Yes, there are, and even if the ACSS conductor which would allow somewhat reduced clearances CSB REPORTING Wilder , Idaho 552 SIKES (Di-Reb) Idaho Power Company83676 over the tradi tional ACSR conductor , adding an addi tional circuit on top of the two distribution circuits would still require for structural strength as well as for clearances new pole plant along that route. Okay; so what you're assuming is that on the State Street route, any distribution conductors, any services provided by non-Idaho Power entities and the transmission line would all be overhead; is that correct? MR. SMITH:Mr. Cha i rman ? COMMI S S lONER KJELLANDER:This is live rebut tal.You'll get a chance at cross. MR. SMITH:It is an obj ection to the form of the question. COMM IS S lONER KJELLANDER:This is live rebuttal and what I'm going to allow is live rebuttal. If this had been submitted in writing, it would be there. You'd get an opportuni ty to ask for strike after you saw it or to do redirect or not redirect but an opportunity to cross, so we're going to wai t for cross, okay? MR. SMITH:Okay. MS. MOEN:Just for explanation, I think Mr. Sikes testified that the existing 69 kV poles would not be able to accommodate the required conductors and so I was just clarifying that. CSB REPORTING Wilder , Idaho 553 SIKES (Di-Reb) Idaho Power Company83676 BY MS. MOEN:Is it correct that you' assuming in your response that the present poles could not accommodate the reconductored 69 kV because other conductors would al so be present overhead; correct? Tha t is correct.The existing facilities that are there need to continue to remain and provide the service that they are providing today, so nothing goes away by saying we're going to put another 69 kV ine through here. Now , let's look at the long-term picture. Would the 69 kV reconductored from State Street - - State Street between the Eagle and Star substations have a sufficient, provide a sufficient source of electricity to the west? In and of itself the Wlre could be made to carry the amount of current that would be required; however , there are several problems associated with that. Again , the line being rebuilt, assuming it could be rebuil t overhead as we've just discussed wi th the remaining distribution circuits and the addition of another ine, there are the interface points into the To fulfill the long-term reliabilitysystem. requirements equivalent to the proposed 138 kV solution by Idaho Power Company, the step transformer or auto transformer Mr. Teinert has referred to in the vicinity CSB REPORTING Wilder , Idaho 554 SIKES (Di-Reb) Idaho Power Company83676 of or in Eagle substation would be required to have a capacity of approximately 150 MVA. Now, that's significantly higher than maybe what he was thinking of, but even if we were to assume and use his after-market costs of $6.00 a kW , a transformer of that Slze would in and of itself be $900 000.Further , that does not include any installation costs.That does not include any other labor.That does not include any protection equipment. That does not include land or site preparation or availability or timeliness of actually acquiring and implementing that as a solution and that is only on the Eagle end of that proj ect Again , in the long term , we would be faced with repeating that on the westerly end, so we would end up with maybe a $1.5 million voltage change on the Eagle end , another $1.5 million voltage change on the Star or Locust route, we would have spent $3 million in just doing vol tage changes and not covered any distance whatsoever.It is an extremely costly al ternati ve to integrate wi th the existing system and that's why you can't just look at the system as a piecemeal pancake design. And concentrating just at the Eagle substation site, is there sufficient space within that CSB REPORTING Wilder , Idaho 555 SIKES (Di-Reb) Idaho Power Company83676 substation to accommodate the transformers that would be required? No, there is not and furthermore, the Ci t Y of Eagle has testified that we are not allowed to upgrade the substation at that site. Let's talk about the merits of the ACSS conductor solution recommended by Mr. Teinert.How long have you been familiar with this technology? Oh, I have been familiar with this technology since the ' 80s.It's certainly nothing new to me and its application, it is a very good technology when properly applied in the narrow scope where it really benefited and intended to be used and that is again, where you may have an existing transmission line that needs increased ampaci ty or capaci ty, not necessarily a voltage change but just more current capacity. It can carry more current for the same slze wire with less sag, so if you were to install that conductor , you could effectively wi thout changing out the poles or structures of the line increase the capacity of the system without significant structural rebuild to accommodate that increased capaci ty; however , that is simply not the case in the situation we're looking at. As I've already described, adding another set of wires would be required and Mr. Teinert seems to have missed CSB REPORTING Wilder , Idaho 556 SIKES (Di -Reb) Idaho Power Company83676 that in his analysis. So you don't have any qualms with his description of what ACSS conductor can do? No. But is it your contention that use of that conductor is not applicable in this case? That is correct. Mr. Teinert also in his testimony indicates that or alleges that Idaho Power failed to share plans with either the City or the public regarding thi s proj ect What's your experience wi th regard to this process? Well , in the first place, I go back to my Exhibit 8 in the rebuttal testimony that was extracted from the Eagle City comp plan which clearly shows the loop.It astonishes me that the City can claim that this was brand new information to them when they have incorporated it into their own documents.Further, wi the public process, the conditional use permits, the public meetings we have held which many of us have attended, we have openly discussed and shared those plans with everyone in attendance. Furthermore, as part of the presentation to the CAC, the Citizens Advisory Committee, explicitly it was discussed that the purposes of this line were CSB REPORTING Wilder , Idaho SIKES (Di -Reb) I daho Power Company 557 83676 two- fold:one to meet the near- term needs of Star; and secondly, to provide ul timately a loop feed back to Eagle, so this information has been shared and put out there in the public for years. There's also been issues about the cost of the proj ect and that those are not firm.Why is it that the Company is unable to provide a firm cost at this time? Well , certainly to provide a firm cost you need an engineered design , and secondly, once you have an engineered design , which can't be done until you know what the alignment is and as the City in their hiring of Black and Veatch has discussed, it's expensive to produce a detailed design which Black and Veatch wasn't even a detailed design , so the costs of producing a detailed design are significant, but once you have then a detailed design , on large proj ects such as this , Idaho Power typically puts them out to competitive bid. In putting a project out to competitive bid, we have no idea what the bidders will come back and offer as a price to construct that proj ect once they have a firm design.Furthermore, on their side of the equation , there are many factors that are involved in their bid price , one of which is constructibility and compressed schedule.A compressed schedule such as we CSB REPORTING Wilder , Idaho 558 SIKES (Di-Reb) Idaho Power Company83676 are now facing certainly drives the cost up.Al so, depends upon how busy they are. If their resources are fully committed they lncrease the price because they may or may not be able to perform the work and if they're going to perform the work, it's going to cost them more to do it, so all of those factors, you know , the Ci ty has kind of come back and blamed on us are really a pass-through and Idaho Power is unable to determine those prices because how would get constructed are not determined until after we receive firm bids. MS. MOEN:I don't have any further questions. COMMISSIONER KJELLANDER:Are you ready, then , to submit your witness for cross? MS. MOEN:Yes, Mr. Sikes is available for cross-examination. COMMISSIONER KJELLANDER:Okay, let's go first to the Ci ty of Eagle. CSB REPORTING Wilder , Idaho 559 SIKES (Di -Reb) Idaho Power Company83676 CROS S - EXAMINA T I ON BY MS. BUXTON: Good morning, Mr. Sikes. Good morning. You referred to Exhibit 8 as part your comprehensive plan , where in Exhibit 8 does it explain how this was all supposed to work as far as looping and all that, that someone like me could understand?And I' probably not the average person that's going to be looking at this, so how would an average person look Exhibit 8 and understand that this was supposed to be a looping for Star and Eagle substation , the difference between Joplin substation , HP , Locust, Beacon Light and Linder, how would somebody understand that from this document? Well, to me just visually looking at, as think anyone could, they see where either existing line routes or proposed line routes are and as to the electrical connectivity or configuration on that, what people in the public are most concerned is not how the electrical system operates, it's where are those facilities and that's clearly demonstrated here. Were you present at the hearing last night with the public in Eagle? CSB REPORTING Wilder , Idaho 560 SIKES (X-Reb) Idaho Power Company83676 Yes, I was. So it's your testimony that the public in Eagle are not interested on how these ines are supposed to work and be interconnected and how they're supposed to affect them personally; is that what your testimony is? You're not telling me what my testimony My testimony is that the public as you can welllS. experience when you have publ ic hearings, some people show up and those people get interested.In the comp plan process, I don't know how many citizens have actually reviewed the comp plan or this information. Well , your testimony is that anybody looking at this could understand it and that your testimony, you just said that anybody MS. MOEN:I obj ect to this line of questioning.It mischaracterizes the wi tness' -- MS. BUXTON:I'll wi thdraw the question. BY MS. BUXTON:Is it your testimony that this document clearly explains the looping proposals by Idaho Power that a lay person could understand? I m not sure that the looping proposals are at issue here.I believe it's what facilities are planned on the ground. Mr. Sikes, can you please answer the question I asked? CSB REPORTING Wilder , Idaho 561 SIKES (X-Reb) Idaho Powe r Company83676 MS. MOEN:That question I obj ect has been asked and answered.The question was can a lay person look at this and understand the looping system. Mr. Sikes' answer to that question was that a lay person can look at this and realize the proposed location of the Company's poles and transmission lines.He did not indicate that a person would be able to understand the looping purpose of the location of those poles. COMM IS S lONER KJELLANDER:Okay, does that get to the answer of the question that you were asking? MS. BUXTON:I do not bel ieve it does, but I will go forward.I don't want us to take all day and if we want to have evaSl ve answers, I guess then you can weigh those, that's fine. COMMISSIONER KJELLANDER:Take as much time as you need. You testified that had - - in looking atBY MS. BUXTON: Mr. Teinert' s rebuttal on page 6, it was his opinion, and I quote, "If the City and the Commission Staff had known that the new Star substation" - - we'll just limit it to the last paragraph on page 6 which basically says that had all this information been clearly set forth to both the City and the Commission Staff that in his opinion this whole discussion and working through these issues would have been less contentious, and it's your opinion CSB REPORTING Wilder , Idaho SIKES (X-Reb) Idaho Power Company 562 83676 after sitting through the hearing last night and the hearing yesterday that more information would not have made this any less contentious? I don't know about contentious, certainly less time consuming.It's the Company s responsibility to design and plan and operate the system. Mr. Sikes, you testified, and I quote, that the process would "not be less contentious.Did you testify to that? That the process? This mornlng. That the process?What - - Ms.Moen asked you whether you agreed with Mr. Teinert' s testimony on page 6 that had this information been more readily available and more reasonably and easily explained to the City as well as the Commission Staff that the search for acceptable solutions would have been more focused, easier to analyze and less contentious and significantly less time Your answer to her was, and I quote, that consumlng. would not be less contentious.Is that your testimony? Not just less contentious.I don't agree with the whole statement there. I understand, but you did tell Ms. CSB REPORTING Wilder , Idaho SIKES (X-Reb) Idaho Power Company 563 83676 Moen that it would not be less contentious? I don't bel ieve it would be because Mr. Teinert has not been able to understand the technical merits of this in the first place and has continued to mislead people in the public as to his solution actually being workable. And you don't believe that the people last night nor the testimony yesterday that you have been misleading about what the real purpose for this is is not a valid concern for the public from the City of Eagle? We have been forthcoming in what the real purpose of this line is.I have already testified to that and your documents show that. Well , I guess there's a lot of people were you present when Council member Sedlacek testified about her frustration? Yes. And so you think she was lying? No. Okay.Mr. Sikes, did anyone other than the Company, either the City, the Commission Staff , Black and Veatch or even the Ci ty ' s expert Mr. Teinert, provide an independent analysis of the Lansing-Caldwell 69 kV ine to Star? I don't know what other parties have or CSB REPORTING Wilder , Idaho SIKES (X-Reb) I daho Power Company 564 83676 have not done. Have you seen anything? No one has presented that to me. So the only information that's been in this whole record is information that's been presented by the Company; is that correct? As far as I know. Isn't it true that if the Company had only initially loaded the Star substation to, let's pick a number, four megawatts that the system capacity would not have been reached on August 1st of 2004 conveniently before this hearing? You are mischaracterizing the nature of the load and connectivity in that area.Your question is flawed. ka y ,Ie t 's see.So you don't think it' fair to say that the Company created this crisis by its own management decisions to load the Lansing-Caldwell feed to Star sub only within a half a megawatt of its own capacity? I really don't appreciate of being accused of creating a crlS1S.Absolutely not. And I appreciate that nobody wants to be accused of saying that they were trying to mislead anybody, but you're saying that about our expert and the CSB REPORTING Wilder , Idaho SIKES (X-Reb) Idaho Power Company 565 83676 citizens of the City of Eagle as well as the City Council, so I think that this is contentious and it would have been a whole lot less contentious had we all worked together. COMMISSIONER KJELLANDER:Excuse me, is this testimony? I apologi ze MS. BUXTON:I withdraw that whole ridiculous thing I said. BY MS. BUXTON:Isn't it true that you initially loaded the Star substation at 7.7 megawatts? Wi thout checking my records, I'll accept that. If you'll look at Exhibit, I believe it' Exhibit 7 of your rebuttal testimony on page 2 , it states the station - - well, wi thout reading everything, the station will initially have a 28 MVA 69/12.5 kV transformer with two feeders serving approximately 7. , which I assume means megawatts; is that correct? Yes. I f you look there;that correct? at page 4, you have a table Yes. On page 3 at the bottom you identify that table as showing expected loading on the Star feeders and station in the near future, and in 2004 , you said that CSB REPORTING Wilder , Idaho 566 SIKES (X-Reb) Idaho Power Company83676 would be 8.171 megawatts; is that accurate? That was the proj ection at the time this was produced, yes. What was the date that this document, Exhibi t 7, was final i zed by the Company? Most recently, there have been mul tiple revisions to this, I believe the date shown , and you can help me find the right page, too, on page 7 of 9, it shows a finish date of June 3rd, 2004; however , I know of the preexistence of this document much earlier than that, but that is not captured in the document here.When I grabbed this document for production and discovery, I went out electronically, printed it off.I didn't even check what date.ve looked at this document or a form of this document years earlier than this. Had this document ever been given to the City of Eagle in the process for the conditional use application? I do not know that. Would you be surprised to know that it had not? I don't know if it has or hasn I I know the contents and details of the plans for the area have been shared on numerous occasions. In what manner? CSB REPORTING Wilder, Idaho 567 SIKES (X-Reb) Idaho Power Company83676 Through meetings with Idaho Power representatives and Council members, planning staff , et cetera, as well as public open houses. Would it be surprising to you that none of that's in the record in the meeting notes that I' reviewed? No, it wouldn't be surprising to me to know that people don't always hear what they're shown or told as well. Wouldn't it be more fair to say that people may not understand it and that you're maybe talking over everybody's head; would that be more fair to say? I obj ect to thi s .This isMS. MOEN: argumentative. COMMISSIONER KJELLANDER:Ms. Buxton. MS. BUXTON:I '11 go on wi th some other line of questioning. COMMISSIONER KJELLANDER:Okay, thank you. Is it fair to say that theBY MS. BUXTON: 7 megawatts transferred from other lines have not been completely consumed by the load in Eagle and Star since you previously acknowledged in your testimony that the growth in Star and Eagle areas has not been as great as expected by the Company? CSB REPORTING Wilder , Idaho 568 SIKES (X-Reb) Idaho Power Company83676 I have never said the growth in Eagle and Star has not been as great as expected by the Company. That was a mischaracterization by Mr. Teinert of my testimony.I said the growth in Star was relatively slower than the other areas -- I 11 accept that, then. - - and explained why it was has been increasing.I did never say it has been slower than we had expected.In fact, the record shows it has been as fast or faster than we expected. So which is it?Was it your first answer or your second answer? My first answer says the growth in Star has been slower relative to Meridian and Eagle areas because Star is further from the metropolitan areas where people are commuting.Due to increased prices and commute distances and other travel time issues, Star is becoming more of a bedroom community and the growth being pushed from these areas that have been experiencing high growth further into Star, so the growth in Star has been picking up, not been slowing down. Isn't it true that your , that your load growth is approximately one megawatt per year in that area , the Star area; isn't that correct? That's what our estimate is as well as in CSB REPORTING Wilder , Idaho 569 SIKES (X-Reb) Idaho Power Company83676 Lans i ng . So what's the actual number? The actual number from 2003 to 2004 from the expectation , I believe, was already in my rebuttal testimony. So then the document, Exhibi t No., the Star area study that was completed, finalized on June 3rd of this year , was inaccurate at the time it was finalized? Parts of those studies are updated and part s are not.That was - - when it was, that date was in there, I don't know what information was changed on that or the date that that was done or in fact, I'm not even sure if that's a field set in the document upon when it' printed, it prints out on the date that it was printed. I haven't verified that.All I do know is all of our documents are dynamic living documents and some of them are updated more frequently than others and they're just a snapshot in time of the information that's there. So is it your testimony, then , that even though on page 7 of the Star area study, which is Exhibi 7 to your rebuttal testimony, the finish date says June 3rd, 2004 , that I cannot rely on the information that I s in this document; is that what your testimony is, that could be inaccurate? CSB REPORTING Wilder , Idaho SIKES (X-Reb) I daho Power Company 570 83676 m saying some of the information in here could be out of date , yes. So it was not up to date on June 3rd, the information in this document? I would be reasonably certain that not every piece of information in here is up to date on June 3rd. And you want this Commission and the City of Eagle and everybody in this room to rely on this document, though , anyway; is that correct? I want them to rely on our expertise since it is our responsibility to plan and design and operate the system and this is one of the tools in addition to the intimate familiarity of the engineers responsible for this work. So you use a tool ike thi s to manage the system that may have inaccurate information in it; is that your testimony? I obj ect The quest ion hasMS. MOEN: been asked and answered. I think it's a differentMS. BUXTON: question. Why don't weCOMMISSIONER KJELLANDER: gl ve it one more try. What I'm saying is theTHE WITNESS: CSB REPORTING Wilder , Idaho SIKES (X-Reb) Idaho Power Company 571 83676 information in here could be out of date on June 4th or June 5th or June 2nd.As the other exhibi t in my documents shows on the With that informationBY MS. BUXTON: then -- Mr. Chairman, I'd like toMR . HOWELL: hear the answer. So would I.COMMI S S lONER KJELLANDER: THE WITNESS:I believe it's Exhibit No. shows some updated load information for both Lansing and Star that clearly is different than what's in the document and yes, it was an August date versus a June date, but our engineers are busy on many proj ects and don't update all of these documents as information changes daily and many times, like I said, I don't know where the date in that document of June 3rd is actually coming from.I do know from the evidence we have in front of us that that load for 2004 is inaccurate to the peak that has been experienced this summer that occurred after June 3rd.I t occurred - - it was shown in that exhibit on August 1st. COMMISSIONER KJELLANDER:Can I interrupt for just one moment? MS. BUXTON:I only have one other ine of questioning and then I'm finished and we're going to a CSB REPORTING Wilder, Idaho 572 SIKES (X-Reb) I daho Power Company83676 different topic. COMMI S S lONER KJELLANDER:Okay, how about if we - - what I'd like to do is take about a ten-minute break and then we'll come back and that may give you an opportunity, too, to look over some of your questions and perhaps maybe for us to just sort of settle in just a little bit more this morning, so we're going to take a ten-minute break and go off the record and we'll all come back in ten minutes and we'll move forward. (Recess. COMMISSIONER KJELLANDER:Okay, we'll go back on the record and, Ms. Buxton , you were ln your cross-examination. MS. BUXTON:Thank you. BY MS. BUXTON:Mr. Sikes, is it the Company's plan after constructing this proj ect to double circuit the lines? Which lines? For thi s proposal. Through Eagle? Yes. For the transmission portion?By "double circui t," I'm not sure if you mean distribution or transmission. It's transmission , I believe. CSB REPORTING Wilder , Idaho 573 SIKES (X-Reb) Idaho Power Company83676 No. COMMI S S lONER KJELLANDER:Ms. Buxton , is your mi rophone on? MS. BUXTON:No. COMMI S S lONER KJELLANDER:Thank you. MS. BUXTON:Do I need to repeat that? THE WITNESS:Let me rephrase my answer to that, too.The section along State Street out to Star substation is not planned to be double circuit.As shown on that facilities map, I believe is that Exhibit 8, the section proceeding Road up to Beacon double circui t. Light and Linder is proposed to be north from State Street along Linder Is that consistent withBY MS. BUXTON: what's Exhibit 114 which is your 10-year transmission plan?If you don't have a copy of that, I have an extra copy. I believe I still have a copy of that and I believe that is consistent. Can I refer you to page 1 of Exhibit 114, please?In paragraph 2 , the second sentence says, "A brief assessment of the 75-year study of November 2001 includes new assumptions about the rights-of -way using more double circuits for public impact than single circuits for reliability ; so does that mean that where CSB REPORTING Wilder , Idaho SIKES (X-Reb) Idaho Power Company 574 83676 you can put a double circuit on it you will for reliability? What that statement is saying is in rights of way if you don't double circuit the lines and the same number of circuit miles are required throughout the area, then you're spreading basically a line down every road, so where you can create a corridor by double circuiting the transmission lines, that reduces and confines the public impact to a smaller area. ka y; so -- And those are only double circuited where they're needed. So is it your testimony that you won't need to double circuit this proposed line in the future? Along that section of State Street, no. just testified from State Street north on Linder, the plan would be to double circuit that to make the electrical loop. So we could depend on your testimony today that those lines would not be double circuited in the future? For the conditions that we are planning for today, that is correct.None of us can foresee the future indefinitely, but based upon our long-term vision CSB REPORTING Wilder , Idaho 575 SIKES (X-Reb) I daho Power Company83676 we do not foresee the requirement at this time. If you plan to double circuit those because of future condition changes, would the Company be required to go back to the Ci ty of Eagle and give them an opportuni ty to make a decision whether they would want that or not? I believe so. Mr. Sikes , as we've heard through all these proceedings, both the Company and the Commission want and strive for cheap electrici ty; is that correct? I missed part of that.I heard the cheap electrici ty. We all want cheap electrici ty, I want cheap electrici ty, too, I think that's fair to say, but in pursuing cheap electrical power and providing cheap electrical power at the lowest cost possible, would it be the Company s position that if you had, if pink poles were the cheapest poles you could put someplace that they could just come to the Commission and be able to use cheap pink poles and violate or avoid any other color schemes or any other local land use requirement for something less obtrusive? No, and that's why we go through a public process in implementing these proj ects to try and ascertain the will of the public to the best that we can. CSB REPORTING Wilder, Idaho SIKES (X-Reb) Idaho Power Company 576 83676 I suppose if the public came back and said we did want pink poles , we'd seriously consider that, but to date, we haven't had anybody request pink poles. questions. MS. BUXTON:I have no further from the stand. COMMI S S lONER KJELLANDER:Thank you. Let's move to Mr. Sikes - - Mr. Squyres. MR. SQUYRES:You better excuse Mr. Sikes COMMISSIONER KJELLANDER:I s there anything you would like to ask Mr. Squyres, Mr. Sikes? that. MR. SQUYRES:m not sworn. BY MR. SQUYRES: COMMISSIONER KJELLANDER:We can change CROSS - EXAMINATION Mr. Sikes, you filed your rebuttal testimony, I think , on September 7th or thereabouts, just CSB REPORTING Wilder, Idaho I believe that's correct. And in connection with your rebuttal testimony, you reviewed and commented on the testimony a few days ago? from Mr. Lobb? 577 SIKES (X-Reb) Idaho Power Company83676 I f you could point me to Sure , I'm on page 12, line 17 of your rebut tal. Okay, I'm there. Okay, and you were in the courtroom - - the Hearing Room yesterday when Mr. Lobb testified that in his view , the most economical and the route that made the most sense ln his opinion was the State Street route? Yes , and I'd also point out that that' the first route that Idaho Power tried a conditional use permit on as well. And that's the conditional use permit request that was ultimately withdrawn? Tha t 's correct. But Idaho Power concurs with Mr. Lobb' s testimony and assessment; is that correct? The State Street is the most direct route. From a constructibility standpoint because of the encumbrances already existing there, you know , and don't want to mischaracterize anybody' s representation on the Bypass, from a purely technical construction standpoint, it's really easy to go down a clean Bypass in building the line.That may or may not be the best solution , but from just going to build it, that's the easiest proj ect to build. CSB REPORTING Wilder , Idaho 578 SIKES (X-Reb) Idaho Power Company83676 But in Exhibi t 3 to the Complaint , Exhibi t 4 to your testimony, you've got the cost of option which was the Bypass, and option 2 , which was the State Street route, as exactly the same? Right , and largely for those issues and that's why we're ultimately I don't want to say apathetic to the route by any means, but somewhat indifferent to which solution is ultimately put in play. But I mean , you testified on rebuttal that Idaho Power generally concurs with Mr. Lobb' s assessment that the most logical and economical al ternati ve is upgrade the existing overhead facilities and established rights of way and that was down the State Street corridor; correct? I believe so. Thank you, sir.No furtherMR. SQUYRES: questions. Okay.COMMISSIONER KJELLANDER:Let' see, Mr. Howell. MR . HOWELL:Thank you, Mr. Cha i rman . CSB REPORTING Wilder , Idaho SIKES (X-Reb) Idaho Power Company 579 83676 CROS S - EXAMINA T I ON BY MR. HOWELL: Good morning, Mr. Sikes. Good morning. Did you attend last night's public hearing? Yes , I did. Were you in the room when all the publ ic witnesses testified? Yes was. Then you'd agree wi t h me,wouldn'you, that several the public citizens who testified last night made suggestions or references to a description I'll say for poles that look like trees? Yes,or camouflage. Or camouflage. Yes. Have you ever had or has the Company had an opportunity to examine the use of those kinds of camouflaged poles or trees? We have explored those issues in the past and technically one of the problems in using, and I'll go back to some of the references from San Diego, palm tree types of designs, it is our understanding as well as our CSB REPORTING Wilder , Idaho 580 SIKES (X-Reb)I daho Power Company83676 steel pole manufacturer's understanding that there are no live electrical structures of that type of aesthetic design anywhere in the nation certainly that they have produced. Cell towers, yes, there are a lot of fancy tree-looking cell towers that have been produced, even by that manufacturer that we use for steel poles, but they and Idaho Power are not aware of any of those, and I' got to tell you from my involvement in IEEE , the Insti tute of Electrical and Electronic Engineers, as well as all the trade magazines, I'm certain I would have seen that as a cover shot photograph if that was around. Let me ask you about, there was another suggestion made last night if the Company were to embark or to be ordered to bury the lines that maybe a more cost-effective method would be construct those vaults aboveground and then berm dirt over them.Do you remember that testimony? Yes, I do. Do you have any reaction to that suggestion? I think it's a very creative suggestion. I do think not being specifically on the civil engineering and design, the amount of civil work to berm up and bury something versus trench down and bury CSB REPORTING Wilder, Idaho SIKES (X-Reb) Idaho Power Company 581 83676 something, I don't know if they're comparable or not, so outside of that, it could be an option.I don't know nor necessarily have a professional opinion in one direction or another if berming versus digging is a better idea. In your preparation for this case, did you have a chance to review the Black and Veatch report? It has been a long time since I reviewed it. Well , let me represent to you and assume for a moment that the Black and Veatch report has a figure of reinforced concrete in Figure 1 of Exhibit 115 on page 7 of a concrete vault with holes in it for conduits and in this particular configuration, which three feet tall by four feet wide, across the bottom they have four six- inch condui ts - - can I approach the witness? COMMI S S lONER KJELLANDER:Sure. (Mr. Howell approached the wi tness. Thank you.THE WITNESS: They have four six-inchBY MR. HOWELL: conduits across the bottom.They have another six-inch conduit on the left and they have a number of other smaller conduits which I assume to be for distribution. If we were to use a configuration like that three by four configuration of vaults and conduits, for just the line CSB REPORTING Wilder, Idaho SIKES (X-Reb) Idaho Power Company 582 83676 that you want to put in , which is three conductors 138 , would we need a vault of that dimension or size with tha t many condui t s No. So we could, if you were building that use something much smaller? Yes. How many six-inch conduit holes do you think would be required in a typical buried vault 138 kV situation? I'd say from a prudency standpoint you're golng to have three cables going through it, you might want at least four ducts. All right. Thank you.I have no further questions. COMMISSIONER KJELLANDER:Let's move to questions from the Commission. EXAMINATION BY COMMISSIONER KJELLANDER: And I guess I'd ike to pose one up front. Back to the camouflage issue with the steel towers, if you can do it for cell towers, why isn't being done for transmission towers?I s there something unique and CSB REPORTING Wilder , Idaho 583 SIKES (Com-Reb) Idaho Power Company83676 different about the structure that makes it impossible to have paint adhere to it correctly? From a painting standpoint, no.From designing it as a tree with branches and other structures , yes.The maj or difference between a bare conductor electrical line , be it ei ther transmission or distribution , is the clearances and insulation required, so to paint a structure , we have painted structures or the rusted core tin steel structures to give different looks to those structures already and yeah , painting them different colors , not being an elk hunter myself , I' assuming you could use the hunting camouflage, too , but that type of a pattern break-up in the paint does create a visual break-up that would make things less noticeable so that type of work in painting can certainly be done. So if it were, not in this instance, but let's say you had an alleyway that had a lot of brick bui Idings nearby, you could, in essence , make it look like a brick tower? Yes. So that's not impossible , but in terms of shaping it, then you run into some other issues? Right, and then you get into the structural integri ty. COMMISSIONER KJELLANDER:Okay, thank you. CSB REPORTING Wilder , Idaho 584 SIKES (Com-Reb) Idaho Power Company83676 Any other questions?Commissioner Hansen? COMMISSIONER HANSEN:I just have one question. EXAMINATION BY COMMISSIONER HANSEN: Last night at the hearing, I believe it was the Ci ty Council lady that talked about a proposal of routing, I believe , from the Star or, excuse me, from the Eagle substation southwest along, over by Albertson' back of Albertson's and then down and across and then up and it sounded like it would probably be satisfactory or favorable , more favorable, to the Ci ty to do that and also compromise on the cost so it wouldn't be 5 or $6 million more because it would just be a short route and then through that area.Does Idaho Power , were you earlier aware of that proposal from negotiations with the Council and if you'd heard about it earlier , do you have obj ections to that or was last night the first time you'd heard that? Yes, Commissioner Hansen , it's not the first time we have either internally discussed that or maybe even externally.m not sure if that specific CSB REPORTING Wilder , Idaho 585 SIKES (Com-Reb) Idaho Power Company83676 alignment was reviewed by the Citizens Advisory Committee or not, if that was one of the alternatives that they had considered, but we have looked at ways to get through that down the alley and over to, as was discussed by the Councilwoman last night, out past Zamzow's and then head west along there.Again, technically, I'd say that's a doabl e thing.There are potentially some issues, again with clearances and locations of the structures.There are several streets to jog around even to get to Albertson's, et cetera, but I'm here to tell you wi thout consultation with my transmission design engineer that it's probably doable. Do you have any idea how much cost savings that would be by going that route versus, say, burying the entire length through there? I don't have a good estimate.I do know that due to the configurations and the streets and possibly the number of corners that would have to be turned or the diagonal, there would be more dead-end structures required for structural strength supporting the wires and those typically cost a lot more than the tangent ones, but relative to the entire length of the Bypass from Edgewood to there, I'm going to say that would at least be comparable, if not cheaper.I don' know exactly how much , though. CSB REPORTING Wilder , Idaho 586 SIKES (Com-Reb) Idaho Powe r Company83676 One last question.I had several people come up last night after the hearing and they talked about the possibility of paying for it if it was buried, but they wanted to know how much.Would it be $5.00 more a month on their bill?Would it be $50.00 a month more on their bill?They had no idea and I guess my question is so those people have an opportunity to really make that decision , when would the Company know exactly the cost to do that?And I guess what you said earlier , do you make the decision and then you know the cost or would you know the cost and then could make the decision?And it sounds like those people don't know what the real cost is, so it's a real dilemma, can we afford to do this, we'd like to do this, but can we afford to do it and nobody has told us what it's going to cost us. Thank you, Commissioner.have to go to the City on a firm bid from back in that the information we provided the cost of burying the distribution was the Company to the City, so those costs were fixed to the City, so that was a definitive number given to them. Idaho Power regardless of the actual costs bore the risk of what the actual construction costs would come in , so the Ci ty did have a firm cost for the proposal and the ambigui ty of the actual cost still remains as I' already discussed. CSB REPORTING Wilder , Idaho 587 SIKES (Com-Reb) Idaho Power Company83676 COMMISSIONER HANSEN:Thank you. believe that's all I have. COMMISSIONER KJELLANDER:Commissioner Smi th. COMMISSIONER SMITH:Thank you. EXAMINATION BY COMMISSIONER SMITH: Commissioner Hansen actually asked my question , but I'm going to ask one more and that is how long would it take you to get to the Commission your ball park estimate of taking it from the Eagle substation south , southwest to the corner of Eagle Road and the Bypass and from there west along the Bypass? Certainly not to sound evasive, there are two parts of that.The cost of construction , I think that could be estimated relatively quickly and in fact, I could probably grab somebody and we could throw together yet today.The uncertainty around that would be right-of-way acquisition from the private property owners along that route and that's where some uncertainty to the cost or even its availability might push things around. Well, I can live with that, but as I drove through the town last night, it seemed to me that there CSB REPORTING Wilder , Idaho 588 SIKES (Com-Reb) Idaho Power Company83676 is what looked to be almost a corridor like the one that's north of State Street south of State Street out of that substation. Yes. So it looked to me like it's partly there. Well , I'd be interested in that number Okay, we'll get that to you. - - because I guess that just brings me to my other comment , which I guess in this case applies to Idaho Power , but certainly Idaho Power is not the only utility that I've seen this happen with and the fact is that you have a proj ect you need to build and yet somehow in this process you have managed to alienate and antagoni ze the very people you're trying to serve and for whom your whole business depends and I just don'get it, and like say,it's not just Idaho Power and it' happened over and over in the years sat here, don't know what it is about utilities and what they do when they go to these meetings , but you guys need to change your attitude or your approach or something so cases like this never get to the Commission , and this is not personal against you , Mr. Sikes, but it's just, I guess , a place where I can express my frustration that I have to go to public hearings and listen to people say this arrogant company is going to roll over us , they CSB REPORTING Wilder , Idaho 589 SIKES (Com-Reb) Idaho Power Company83676 don't listen to us and they don't care. Now maybe it happens that for technical reasons or costs or any other reason you can't do what they want,but they certainly don't have to feel ike you didn't listen , you didn't understand and you didn't explain why for technical , money or other reasons they can't be accommodated.It's like the whole camouflage thing.This Councilwoman says she was laughed at instead of the very reasonable answer you gave us today which we've already looked into that.If we were a cell tower we'd be able to do it, but for electric towers the most we can do is paint. To me , I think people would understand that answer instead of you're all wet , go jump in the lake , so I guess I'm just expressing a little bit of frustration and not just with this Company and this case. I don't understand what goes on in a utility's mindset when they're trying to get something and it's almost like you're shooting yourself in the foot. I appreciate those comments, Commissioner and not offensively, I do take it personal because I too go through the same pain as you and as a solution , I think that's what we are trying to work toward is it would be in everyone's best interests if all of these issues were accommodated through the language and the CSB REPORTING Wilder , Idaho 590 SIKES (Com-Reb) Idaho Power Company83676 intent of the local planning act of where we were able to do this through the comp plan process rather than the conditional use permitting process , because we' basically in the position of having to kind of appear to have made a decision to even approach , to seek approval which does exactly what you said, here's what you' doing and you have no voice, and our hope is to continue to improve those relationships with the jurisdictions to get those issues resolved and in the public in more of a public participation process in selecting these corridors and routes rather than the Company coming forward wi th a request for a permit saying here's what our decision lS. COMMISSIONER SMITH:Thank you. COMMISSIONER KJELLANDER:Thank you. EXAMINATION BY COMMISSIONER KJELLANDER: Commissioner Smith's question and the answer that was given sparked another question from and that is, we've been teed up wi th thi s spec i f i c case saying that there's a sense of urgency, that this thing needs to be buil It's brought to us and we're left wi th a decision of picking a route or moving on the CSB REPORTING Wilder , Idaho 591 SIKES (Com-Reb) Idaho Power Company83676 motion to dismiss and just throwing our hands up and saying stop the boats, but assuming that the sense of urgency is perceived as real by this Commission and we move forward and kick out an order and we pick a path does that mean for you that you just move forward with that path as quick as you can with no more negotiations or if we were to issue an order , does Idaho Power then sit down and say but now , wait a minute, what about another corridor opportunity, what about some of the right -of -way issues , can those quickly be resolved, to look at some of those other issues or do you just move forward and start to plow ground or do you also work wi the City if we were to pick a path and then say now, what can be done with burying that path , does it stop for Idaho Power and you just move forward or is there still room for negotiation? I guess my personal hope would be, I think more what you're insinuating is if it's pretty clear and the testimony lines up and everyone kind of says none of us like this, but can we move forward, I'd hope there' still room to be accommodating.My biggest concern from my responsibility to get the service out there to Star prior to next summer's peak load season is I would hope that the decision, whatever that is, is something that Idaho Power can immediately move upon because of the time CSB REPORTING Wilder , Idaho 592 SIKES (Com-Reb) Idaho Power Company83676 constraints that we're under. COMMISSIONER KJELLANDER:Okay, thank you. Commissioner Hansen has another question. EXAMINATION BY COMMISSIONER HANSEN: Well , I guess just one follow-up on what I discussed with you earlier and Commissioner Smith followed up with you on getting back to us with information.I guess in my mind , I would like hopefully before we have to make a decision on this that information that was requested as far as rerouting it as we talked about up by Albertson's and through that way and even an estimate of doing that job even though maybe there may be a question or two on access, right of way or whatever , but I would hope - - I guess my question would , how soon would you be getting back with us on that because I think that's something I would defini tely want to consider? I would view that as you'll get the best estimate five-minute answer, not a five-month answer from a full design.Like I said, I would hope that we could even get that back yet today. And just one follow-up.Let's just say, CSB REPORTING Wilder , Idaho 593 SIKES (Com-Reb) Idaho Power Company83676 for example, the Commission would order that route, would that have a drastic effect on the timetable of getting that implemented, I guess, by 2005, next year , as you planned? For the things wi thin Idaho Power' control , I would say I don't bel ieve so.Again, back to the right of way or if there were other parties who for some reason sought to stop that from happening, I can' speak for them. COMMISSIONER HANSEN:Thank you.That' all I have. COMMISSIONER KJELLANDER:Let's move to redirect. MS. MOEN:I just have a few questions. REDIRECT EXAMINATION BY MS. MOEN: Looking at that proposed alignment that Ms. Sedlacek suggested at last night's meeting, you would have to cross over some private property; is that correct? That's my understanding. Including Albertson's; correct? Either that or I don't know that there' CSB REPORTING Wilder , Idaho 594 SIKES (Di-Reb) Idaho Power Company83676 room for overhang easements in the public road rights way in that area, but those are the types of things we could explore through there. And in your experience , how difficult is it to negotiate easements with private property owners? In some cases, it can take years. So that could be an impediment to that al ignment to get thi s on ine by May of 2005? Right, and I'm going to speak in an area m a little bit unfamiliar with , I'm going to say absent the condemnation. On Exhibit 4 that was referenced by some of the parties in their cross-examination of your rebuttal testimony, we looked at Exhibit No.4 which identifies the costs of the various scenarios. Yes. Is it right that the cost to the Ci ty of Eagle represented a not-to-exceed cost? That is correct.It was a firm not-to-exceed cost. So if Idaho Power's estimates either exceeded or were less than those represented here , that was not golng to change or have any effect on what the City of Eagle paid? That'correct. CSB REPORTING Wilder , Idaho 595 SIKES (Di-Reb) Idaho Powe r Company83676 Mr. Howell made reference to the Black and Veatch study and to the vaults and you indicated that that would be a option the Company could perhaps utilize. Not to get anybody' s hopes up, but do you know whether the existing easements and rights of way that the Company has in place in order to place its transmission lines would entitle the Company to place a vault aboveground? I do not know that and certainly along the State Street alignment in the existing inner urban right of way, I think that's a landscaping issue alongside of the road , but I don't know a good answer to that. So that's still an unknown? Yes. And then the last question I have is we' encountered in August of this year what's been labeled a crisis situation in the Star-Lansing lines where we have reached and almost exceeded capacity at those particular substations.Would we have reached that crisis situation had this 138 transmission line been constructed between Star and Eagle? No. MS. MOEN:I don't have any further questions. COMMISSIONER KJELLANDER:Thank you, and believe we're ready to excuse this witness.Thank you CSB REPORTING Wilder , Idaho 596 SIKES (Di-Reb) I daho Power Company83676 for your testimony. (The wi tness left the stand. COMMISSIONER KJELLANDER:And that brings us, I bel ieve , to the end of your case and we' exhausted the number of wi tnesses, so I think at this point we're ready to, I guess, revisit the issue we had initially which was the motion to dismiss and typically the way that this Commission will deal with that motion since we've had some spiri ted discussion on that already is when we begin to deliberate , that will be the first item that we take up and we'll issue a decision on that as ei ther the only piece of an Order or as part of a larger Order , depending on how things shake out in the course of deliberation, so we just wanted to bring you up to speed with regards to that specific motion so that you knew what to expect and some time line to perhaps understand that we won't be issuing anything today or tomorrow on that. MR. SMITH:There was a little background noise and my hearing is not what it used to be , you indicated that the motion is submitted and under consideration , that we'll not do further argument or briefing on it? COMMISSIONER KJELLANDER:, we haven't gotten to briefing yet , but that's just the way that we CSB REPORTING Wilder , Idaho 597 COLLOQUY83676 intend to deal wi th it.If there's a request for briefs and additional comment on briefs, then that's what we'll entertain next under this heading. Is there anything else to come before the Commission? MR . HOWELL:Mr. Cha i rman . COMMI S S lONER KJELLANDER:Yes. MR . HOWELL:Not to belabor the point, but since the Commission apparently has requested the Company supply some addi tional proj ected costs on the new al ignment going through the parking lot, I bel ieve one of the other public witnesses last night pointed out that there is a drainage di tch easement which I guess from my perspective was only visible by the time I got to a blow-up of this size.That drainage ditch easement runs roughly from the south of the substation in a westerly direction and then follows this tree line on the northwest corner of the intersection of Eagle Road and the Bypass and I guess what I would recommend for your consideration is if the City or the Company is going to look at an alignment that maybe they take the opportunity to contact the ditch district and discuss if that alignment usage would be possible. MS. BUXTON:For the record, that is Drainage District No. CSB REPORTING Wilder , Idaho 598 COLLOQUY 83676 COMMISSIONER KJELLANDER:Thank you Mr. Howell. Are there any other matters to come before the Commission? COMMISSIONER SMITH:m confused.We' had the motion to dismiss and the memorandum in support, but the other parties haven't replied to that and I would appreciate getting either memos or briefs or even oral argument, whatever they're prepared to do as soon as they're prepared to do it so we have their perspective on that motion. COMMISSIONER KJELLANDER:That's what I was hoping to get out of counsel when he asked about briefs.This is the time to bring that up. MR. SMITH:Well , Mr. Chairman, again , we filed that at the last minute , I fully understand and appreciate that as a matter of fairness , I think opposing counsel if they have a different viewpoint on that deserve an opportunity to respond to it.I ha absolutely no obj ection to allowing them to do so. COMMISSIONER KJELLANDER:At the beginning of this hearing when we were dealing with this specific issue, there was a discussion at least tossed around about briefs, so this is the time.If you want briefs, let'- - we're not going to go begging for them. CSB REPORTING Wilder , Idaho 599 COLLOQUY 83676 MS. MOEN:Respectfully, Idaho Power does have a different viewpoint on the motion to dismiss and would like to submit a brief in support of its position. COMMISSIONER KJELLANDER:Are there other items that need to be briefed? MS. BUXTON:Mr. Chairman - - go ahead Mr. Squyres. MR. SQUYRES:On the motion to dismiss issue , Mr. Chairman , I just want to advise everyone that we will not be filing a brief.I'll stand on the statements I made orally, I believe it was yesterday morning, which is as the si tuation exists now and we' done some work in this area before getting here, as the si tuation exists now , if the State Street corridor , if an order is issued on the State Street corridor , then our view is that you don' - - you avoid that issue about trumping an existing order , so I would just go back to what I said yesterday, but we will not be filing any briefs. Thank you, Mr. Cha i rman . MR . HOWELL:Mr. Cha i rman . COMMISSIONER KJELLANDER:Yes. MR . HOWELL:I had mentioned , I believe, at the beginning of yesterday's hearing that the Staff CSB REPORTING Wilder , Idaho 600 COLLOQUY83676 prepared to provide the Commission with oral argument in opposi tion to the motion to dismiss.I would defer to your ruling whether you would like to have that oral argument now or I can put it in writing in a brief. COMMISSIONER KJELLANDER:Let's put it in the form of a brief. MR . HOWELL:Okay. COMMISSIONER KJELLANDER:I s there anything else that needed to go into the brief or are we ready to talk about a time line for those briefs? MR. SMITH:Mr. Chairman , may I make one comment in response to Mr. Squyres?He's indicated he does not wish to file a responsive brief vis-a-vis the State Street al ternati ve, to make clear the intent that was expressed in the motion , at the time of the filing of the Complaint by Idaho Power, there was no final decision by the Ci ty as to the State Street or the Bypass al ternati ve , so I wish to make that clear on the record and if Mr. Squyres chooses at some point to submit a brief , I have no opposition to that if he wants to reconsider it at some later point. Thank you. COMMISSIONER KJELLANDER:Let's look to a time line on this.What I'd like to avoid is actually getting into quasi oral arguments right now on this issue CSB REPORTING Wilder , Idaho 601 COLLOQUY83676 and I think we're sort of headed down that path if we keep going back and forth.I appreciate what we have on the record right now and we look forward to the briefs so we can wade through that , but why don't we try to get a time line in terms of filing the briefs and do we have any date in mind? MS. MOEN:I would suggest no later than Friday of next week. COMMI S S lONER KJELLANDER:Does Friday of next week work for everyone? MR.HOWELL:It works for the Staff. COMM IS S lONER KJELLANDER:Okay; so Friday of next week with the filing of the briefs.We look forward to that. I s there any other matter that needs to come before the Commission today? MR. SMITH:Mr. Cha i rman . COMMISSIONER KJELLANDER:Yes. MR. SMITH:A reply brief the week after, if necessary.Mr. Chairman, we've gone through direct, rebuttal , I think if a - - let me say this:I have no design and no desire on filing a reply brief because think we've adequately expressed in our opening brief exactly what the issue is.On the chance that a new issue is raised in a responsive brief , I would feel it my CSB REPORTING Wilder , Idaho 602 COLLOQUY83676 obligation to respond or reply to that; however, I'm not going to ask at this time that we have to do a reply until we see the responses.If it's the Chair I s desire, I will request the opportunity to file the reply, but I will do so only if I deem it absolutely necessary as opposed to having a fixed date for a reply. COMMISSIONER KJELLANDER:Are there any comments? MS. MOEN:Idaho Power has no obj ection to them filing a reply brief if they find it necessary, but would recommend that it be done the Wednesday following submission of the Commission's and Idaho Power' memorandums in opposi tion. COMMISSIONER SMITH:You mean Staff? MS. MOEN:Yes, the Staff, thank you. COMMI S S lONER KJELLANDER:Any other All right; so if we're clear , then , the briefscomments? will be filed next Friday by the end of business, 5: 00 p . m. woul d be the deadl ine , and then if there is a need for a reply brief, it might be good just for you to contact Mr. Howell to let him know it's coming, but the target time line would be Wednesday at the end of business, which would be 5: 00 p. If that's agreeable to everyone, then, I think at least we have that issue put together. CSB REPORTING Wilder , Idaho 603 COLLOQUY 83676 MR. SMITH:That is agreeable to the Ci ty. COMMISSIONER KJELLANDER:I s there anything else that needs to come before the Commission? MR. SMITH:Not by the Ci ty of Eagle. COMMISSIONER KJELLANDER:All right, well, I want to thank everybody for your patience, your time and your effort and we look forward to getting those briefs and moving forward with the decision on this case so again , thank you and we are adj ourned. (All exhibits previously marked for identification were admitted into evidence. (The Hearing adjourned at 11 :40 a. CSB REPORTING Wilder, Idaho 604 COLLOQUY 83676 T I C T I O This is to certify that the foregoing proceedings held in the matter of Idaho Power Company, Complainant , versus Ci ty of Eagle, Idaho , Respondent commencing at 9: 30 a. m., on Thursday, September 9 and continuing through September 10 , 2004 , at the Commission Hearing Room , 472 West Washington, Boise, Idaho, is a true and correct transcript of said proceedings and the original thereof for the file of the Commission. Accuracy of all prefiled testimony as originally submitted to the Reporter and incorporated herein at the direction of the Comission is the sole responsibility of the submitting parties. ","" If"~, ,\' It I. v. ' ... \,\"'"11"" "" ... "," ... ,. ' :J i~I:' ~ ~ 2: ,.. % ~o~ CJ7:. \ A(JB~ '" / 0 ~ ' .~ -, ...'" ~ - ... ", h: .::: .I' 8' 110'11\"'\" ~T- ..... l'~rE of ~ " '1'1 IIII I \ \ \ \ \ \ \ CONSTANCE S. BUCY / Certified Shorthand Reporter K187 CSB REPORTING Wilder, Idaho 605 AUTHENTICATION 83676