ON28995.pdf

ORDER NO. 28995 1
Office of the Secretary
Service Date
April 8, 2002
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
AUTHORITY TO IMPLEMENT A POWER
COST ADJUSTMENT (PCA) RATE FOR
ELECTRIC SERVICE FROM MAY 16, 2002
THROUGH MAY 15, 2003.
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CASE NO. IPC-E-02-3

ORDER NO. 28995

On March 29, 2002, Idaho Power Company (Idaho Power, Company) requested the
Commission waive the Power Cost Adjustment (PCA) bill stuffer typically required by Rule 102
of the Information to Customers of Gas, Electric and Water Public Utilities Rules (Utility
Customer Information Rules). The Company filed its waiver request pursuant to the
Commission’s Rule of Procedure 13, which states that the procedural rules “will be liberally
construed to secure just, speedy and economical determination of all issues presented to the
Commission.” IDAPA 31.01.01.013. Procedural Rule 13 also states that unless prohibited by
statute, the Commission “may permit deviation from these rules when it finds compliance with
them is impracticable, unnecessary or not in the public interest.” Id. In this Order, the
Commission grants the Company’s Request to Waive the Bill Stuffer Requirement and directs
Idaho Power to use paid advertisements as described in more detail below.
UTILITY CUSTOMER INFORMATION RULE 102
Rule 102 of the Utility Customer Information Rules applies to customer notices of
proposed rate changes. IDAPA 31.21.02.102. Subsection 102.01 states that each utility that
applies for a tracker rate change
shall give to each customer a statement (customer notice) announcing the
utility’s application. If the utility is requesting a rate increase, the customer
notice shall include a brief explanation of the utility’s need for additional
revenue and the dollar amount requested. The notice shall give the proposed
overall percentage change from current rates as well as the proposed
percentage increase in revenue for each major customer class. The customer
notice shall make it clear that the application is a proposal, subject to public
review and a Commission decision. It shall also inform customers that a copy
of the utility’s application is available for public review at the offices of both
the Commission and the utility.

ORDER NO. 28995 2
These customer notices may be mailed to customers as bill stuffers over the course of a billing
cycle or may be contained in additional comment pages to the customer’s monthly bill. IDAPA
31.21.02.102.02.
The purpose of Rule 102 is to encourage wide dissemination to customers of
information concerning proposed rate changes for utility services, but not to create individual
procedural rights for notice that would give rise to a due process or other procedural claim
cognizable by the Commission. IDAPA 31.21.02.102.05. Procedural due process is satisfied
when individuals are provided with notice and an opportunity to be heard. State v. Rhoades, 121
Idaho 63, 72 (1991). The opportunity to be heard must occur “at a meaningful time and in a
meaningful manner” to satisfy the due process requirement. Sweitzer v. Dean, 118 Idaho 586,
573 (1990).
REQUEST FOR WAIVER OF BILL STUFFER REQUIREMENT
On March 11, 2002, Idaho Power Company mailed a special notification to its Idaho
retail customers regarding its Application for an energy cost financing order authorizing the
issuance and sale of up to $172 million in Energy Cost Recovery Bonds. In that notice, the
Company advised customers that it may seek to recover $244 million for power purchases and
energy saving programs in its PCA Application this April. The mailing also included the amount
of the PCA Application with and without the issuance of energy cost recovery bonds. Idaho
Power’s request indicated that the PCA amount in the mailing still remains accurate.
According to its Request for Waiver, the Company is concerned that an additional bill
stuffer at this time would lead to confusion rather than provide notification, since the customers
have already been notified of the Applications. Idaho Power also noted that a bill stuffer issued
on a cyclical basis would not be received by most of its customers until after the bond charge and
PCA hearings scheduled by Order No. 28988 in Case Nos. IPC-E-02-2 and -3.
In lieu of bill stuffers or otherwise mailing a notice to individual customers, the
Company proposed to use paid advertisements to notify customers of the scheduled proceedings
as described in the Communications Plan that accompanied the Request for Waiver. Idaho
Power further stated that since the Commission’s customer notification rules do not create any
due process or other procedural rights, the Commission can waive the notice requirements if it
determined that the public interest would be served. Because customers have already received
notification, Idaho Power submitted that it is in the public interest in this situation for the
ORDER NO. 28995 3
Commission to find that the issuance of PCA bill stuffers as required by Rule 102 to be
“impractical, unnecessary and not in the public interest” pursuant to Procedural Rule 13.
COMMISSION DISCUSSION AND FINDINGS
In light of the expedited schedule set by Order No. 28988, the Commission finds that
the traditional mailing of bill stuffers during an Idaho Power billing cycle would not provide
customers with timely notice of the PCA case, its scheduled hearings, or the opportunity to file
written comments. The Company could use a special mailing to avoid the time constraints of
this case, but customers might confuse it with the Company’s recent mailing regarding its
request for an energy cost financing order. The general intent of the Commission’s notice
requirements is to advise customers of the pending case and the opportunity to respond. The
Commission finds that the Company’s proposed Communication Plan better effectuates that
intent under these circumstances than the usual bill stuffer notice. This finding is consistent with
Procedural Rule 13, which allows the Commission to permit deviation from the Rules if they are
impracticable or not in the public interest. IDAPA 31.01.01.013.
The Commission has reviewed the Company’s proposed Communication Plan that
accompanied its Request for Waiver. This Plan envisions using media news releases and paid
newspaper advertisements to promote awareness of the PCA filing, the scheduled hearings, and
written comment deadline. We direct Idaho Power to implement the Communication Plan with
these additional requirements:
(1) When using paid advertising for print media, the Company shall use
prominently placed display ads;

(2) For each newspaper listed in the plan, print ads should be published in
both the Sunday edition and the weekday edition that precede the date of
the local hearing; and

(3) Idaho Power shall provide Staff with a draft of the advertising copy for
both print and electronic media and the opportunity to provide input on
content.

The Commission further clarifies the second requirement in regard to the Pocatello hearing
scheduled for Monday, April 15, 2002. Because publication of the ad in “the Sunday edition and
the weekday edition that precede the date of the local hearing” would occur on the same day
rather than two different days, the Commission directs Idaho Power to use display ads on both
Sunday, April 14, 2002 and Monday, April 15, 2002.
ORDER NO. 28995 4
O R D E R
IT IS HEREBY ORDERED that Idaho Power Company’s Request to Waive the Bill
Stuffer Requirement is granted.
IT IS FURTHER ORDERED that Idaho Power Company implement its proposed
Communication Plan subject to the following requirements:
(1) When using paid advertising for print media, the Company shall use
prominently placed display ads.

(2) For each newspaper listed in the plan, print ads should be published in
both the Sunday edition and the weekday edition that precede the date of
the local hearing. To notify customers of the Pocatello hearing, the
Company shall use display ads on both Sunday, April 14, 2002 and
Monday, April 15, 2002.

(3) Idaho Power shall provide Staff with a draft of the advertising copy for
both print and electronic media and be given the opportunity to provide
input on content.

DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this 5th
day of April 2002.

PAUL KJELLANDER, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

DENNIS S. HANSEN, COMMISSIONER

ATTEST:

Jean D. Jewell
Commission Secretary

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