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HomeMy WebLinkAbout20130926Volume III 9-11-13.pdfORICINAL o BEEORE THE IDAHO PUBLIC UTILIT]ES COMMISSION IN THE MATTER OE THE APPLICATION OE PACIFICORP DBA ROCKY MOUNTAIN POWER TO INITIATE DISCUSSIONS WITH INTERESTED PARTIES ON ALTERNAT]VE RATE PLAN PROPOSALS CASE NO. PAC-E-13-04 TECHNICAL HEARING :1i.. --."J. .n()HEARING BEFORE COMMISSIONER MACK A COMMISSIONER COMMISS]ONER . REDEORD (Presiding) PAUL KJELLANDER MARSHA H. SMITH PLACE:Commission Hearing Room 472 West Washington StreetBoise, Idaho DATE:September lL, 2013 VOLUME III Pages 22 762 POST OFFICE BOX 578 BOISE, IDAHO 83701 208-336-9208 HEDRIGK COURT REPORTING Ef- 3r*,;g, A{" lna/ rn lwy sico /%6 1 2 3 4 trJ 6 't B 9 10 11 72 13 I4 15 76 L7 18 19 20 21, 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD APPEARANCES For the Staff:NEIL PRICE, Esg. Deputy Attorney General 472 West Washington Boise, Idaho 83702 DANIEL E. SOLANDER, Es. PACIFICORP dba ROCKY MOUNTAIN POWER 201 South Main Street, Suite 2300 Salt Lake City, Utah 84111 RACINE, OLSON, NYE, BUDGE & BAILEY by RANDALL C. BUDGE, Esq. Post Offlce Box 1391 Pocatello, Idaho 83204-].39]- BRAD M. PURDY, Esq. Attorney at Law 20L9 North Seventeenth Street Boise, Idaho 83702 BENJAMIN J. OTTO, Esq. Idaho Conservation League 710 North Sixth Street Boise, Idaho 83702 KEN MILLER Snake Ri-ver All-iance Post Office Box L13L Boise, Idaho 83701 For PacifiCorp dba Rocky Mountaj-n Power: For Monsanto Company: For Community Action Partnership Associ-ation of Idaho (CAPAI) : Eor Idaho Conservation League: For Snake River Al-l-iance: 83701 APPEARANCES 1 2 3 4 5 6 7 I 9 10 11 L2 13 L4 15 t6 L'7 18 19 20 2L 22 23 24 25 INDEX VOITNESS EXAMINATION BY PAGE J. Ted Weston (RMP) Mr. Sol-ander ( Direct )Prefil-ed DirectPrefiled RebuttalMr. Purdy (Cross) Mr. Sol-ander (Redirect) Mr. Purdy (Cross) Commissioner Redford Mr. Price (Direct) Prefiled DirectPrefiled RebuttalMr. Purdy (Cross) Commissioner RedfordMr. Price (Redirect) Mr. Purdy (Direct) Prefiled DirectMr. Solander (Cross) Mr. Purdy (Redirect) Commissioner Smith Commissioner RedfordMr. Purdy (Redirect) Commissioner Smith 32 34 48 52 73 14 14 11 19 93 101 L20 L2L L23 1,26 1-47 148 149 150 t-5 1_ t- 51 Randy Lobb ( Staff ) Christina Zamora ( Direct ) HEDRICK COURT P. O. BOX 578, REPORTING BOISE, ID 83701 INDEX 1 2 3 4 5 6 1 I 9 10 11 L2 13 1,4 15 1,6 t7 18 1,9 20 2L 22 23 24 25 EXHIBITS NUMBER PAGE Eor Rocky Mountain Power: 1. Proposed Revenues, 5 pgs Premarked Admitted 154 2.(This exhibits is confidential and Premarkedis provided under separate cover) Admitted 154 3.Electric Servj-ce Schedule No. L, 46 pgs Premarked Admitted 154 4. CAPAI Data Request 6, 6 pgs Premarked Admitted 154 Eor Staff: 101. Stipulation, 21 pgs Premarked Admitted 154 For Community Action Partnership of Idaho: 501. 6/LL/L3 E*mail, Weston to Budge, €t df, Marked 1164 pgs Admitted 122 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD 83701 EXHIBITS 1 2 3 4 5 6 7 U 9 10 11 1,2 13 L4 15 76 t1 1B 79 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOTSE, rD 83701 BOISE, IDAHO, WEDNESDAY, SEPTEMBER 11, 2073, 9:30 A.M. COMMISSIONER REDEORD: Good morning, ladies and gentlemen. This is the time and place set for a hearing in Case No. PAC-E-11-14-04. COMMISSIONER SMITH: You have to turn it on. COMMISSfONER REDFORD: f'm sorry. It is al-so further identified as In the matter of the Applj-cation of Pacj-fiCorp doing business as Rocky Mountain Power to lnitiate discussj-ons with j-nterested parties on alternate rate plan proposals. To this date, all interested partj-es have agreed to a settl-ement except the Community Action Partnership Association, al-so known as CAPAI. Eor those of you who haven't been here before, w€ constitute the Publ-ic Utilities Commission. On my left is Marsha Smith,' on my right 1s President Kjellander, and Commissi-oner; and myself , Mack Redford. First of aI1, I guess we'l-f take the appearance of the parties. Mr. Solander. MR. SOLANDER: Good morning. Daniel- Solander on behalf of the Applicant, Rocky Mountain Power. I have with me at counsel table Mr. Ted Weston, who is the regulatory affai-rs manager for Rocky Mountain Power i-n Idaho. COMMISSIONER REDFORD: Mr. Budge. 22 COLLOQUY 1 2 3 4 5 6 1 I 9 10 11 L2 13 t4 15 16 l1 1B 1,9 20 2t 22 23 z4 25 HEDRICK COURT REPORT]NG P. O. BOX 5'18, BOTSE, rD MR. BUDGE: Thank you, Mr. Chairman. Randy Budge on behalf of Monsanto Company. And with me is Bob Geddes, who is sitting in the back, and also Jim Smith here on my side. Thank you. MR. PRICE: Neil Price for Commission Staff. And with me is Mr. Randy Lobb. COMMISSIONER REDFORD: Mr. Otto. MR. OTTO: Ben Otto with the fdaho Conservation League. MR. MILLER: Ken Miller with the Snake River A11iance. MR. PURDY: Brad Purdy, representing the Community Action Partnership Association of ldaho, Mr. Chairman. And to my right is Ms. Christj-na Zamora, who is the relatively new executive director. This is her first testimony before this Commissj-on. COMMISSIONER REDFORD: Okay. Before we start into the evidence, I understand there are preliminary matters including a motion to strike by PacifiCorp. Mr. Solander, are you ready to argue that? MR. SOLANDER: I am. COMMISSIONER REDFORD: Okay. Go ahead. MR. SOLANDER: Thank you. I'm sure that you all have read the pleadings, so I won't go through each of the arguments that are contained therein. 23 83701 COLLOQUY 1 2 3 4 5 6 7 B 9 10 11 1,2 13 t4 15 !6 L1 1B t9 20 27 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 518, BOTSE, rD I wou1d like to cl-ari-fy one point from the response that was fil-ed by CAPAI, and that is that Rocky Mountain Power is not seeking to strike the motion to compel from the record in the case. It's already been before the Commissi-on; Rocky Mountain Power has fil-ed a response to the motj-on to compel. What we are seeking to do is strike the 1ega1 brief and the motj-on from the testimony of Ms. Zamora because we don't belleve that it's appropri-ate for a lega1 briefing which contains Iega1 arguments to then be incorporated into testimony because it raises a number of questions. Is she then is Ms. Zamora then adopting and swearing to the truth of al-l- of the Iega1 arguments contained in the brief? ft just doesnrt seem to make sense to the Company for 1egaI argument and other nonopj-nion or fact matters to be j-ncl-uded or incorporated by reference into the testimony which is being sworn to by Ms. Zamora. So I just wanted to clarify that point. COMMISSIONER REDFORD: Mr. Budge, do you have any comment on that? MR. BUDGE: No, Commissioner. COMMISSIONER REDEORD: Mr. Price. MR. PRICE: Commj-ssion Staff supports the motion to strike inasmuch as it pertains to the attachment to Ms. Zamora's testimony. COMMISSIONER REDFORD: Mr. Otto. 24 83701 COLLOQUY 1 2 3 4 5 6 7 8 9 10 11 L2 13 74 15 t6 L7 18 L9 20 2t 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD MR. OTTO: The Conservation League doesn't have a positi-on on the motj-on. COMMISSIONER REDFORD: WeII, Brad, I guess it's up to you. MR. PURDY: Thank you, Mr. Chair, and I will try to be brief and not repeat what is already stated in my response to the Company's motion. The Company, as you know, referenced five specific areas supporting its motion. It seems that those areas are somewhat redundant and a l-ittle difficult to understand in that respect, especially with respect to how they purportedly apply to any particular testimony contained in that of Ms. Zamora's filing, so I'11 start with the five areas. The first basis for the Company's motion is that Ms. Zamora's testimony is, quote, difficul-t, end quote, to understand, and that it offers, guote, 1ega1 opi-nions, end quote. It doesn't but the problem is that the Company does not even reference in its first area of objection any particular word, sentence, paragraph, or sectj-on of Ms. Zamora's testimony to which this argument purportedly applies. To the extent that the Company fail-s to understand the point of Ms. Zamora's testimony, then it is Community Action's position that the appropriate means for addressing that is simply cross-examj-nation; it can ask Ms. Zamora to explain her testimony. 25 83701 COLLOQUY 1 2 3 4 5 6 1 I 9 10 11 t2 13 74 15 t6 l7 18 19 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5'78, BOTSE, rD The second section of the motion pertains to the Company's objections that Ms. Zamora discussed CAPAI's financial- l-imitations and the somewhat protracted process it must go through to obtain board approval and other tasks it must perform before it can determine whether to intervene j-n a case, which makes expedited cases even harder for CAPAI to engage in. The Company in thi-s regard strikes sections from two pages of her testimony, pages 4 and page B. The page 4 testimony of Ms. Zamora simply states regarding CAPAI's fimlted financial- means t.hat, without question, CAPAf has been stretched far beyond those means and its ability to meaningfull-y participate in general rate cases as a resuft of this expedited process has been stretched to its l-imits. I simply don't see how that is objectionabl-e. ft certainl-y seems relevant to CAPAI's overall objection to the procedure empJ-oyed in this case. Again oh, excuse me. Then the Company goes on to argue that, regardless, the expedited alternative proposed by the Company in this case is cheaper than had the parties fol-l-owed the formal- rate case proceeding. That is a dispute of fact, and it is CAPAIf s position that factual- disputes should not be settl-ed through motions to strike, but rather through cross-examination and the presentatlon of evidence before the Commissj-on. Eina11y, the testimony on page 9 pertains to the fact that due to CAPAI's financiaf l-imitations and the board 26 83701 COLLOQUY 1 2 3 4 5 6 1 B 9 10 11 12 13 L4 15 76 L7 1B t9 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 518, REPORTING BOISE, ID approval process and the expedited speed by which this case and recent cases have been settled make it difficult, if not j-mpossible, for CAPAI to be prepared by the time the first settl-ement conference is scheduled. Again, the testimony in question simply points out the fact that CAPAI has l-lmited flnancial- means and is unabLe to make rapid settl-ement decisions. The Company cites no IegaI or factual basis that f can see for why this particular testimony should be stricken from the record. Regarding the third area or section of the Company's motion, i-t pertains to Rocky Mountain's argument that the fact that Avista provided the same information that was through dj-scovery that was initial-l-y refused to be provided by Rocky Mountain in this case but ultlmately was provided does seern somewhat moot. As I just said, it was ultimately provided. And it the Company states that it seems as though Ms. Zamora wishes to describe the usefulness of these studies in order to compel, by means of a discovery request, Rocky Mountaj-n to perform similar studies to those provided by Avista. f want to be cl-ear that Ms. Zamora j-n no way is attempting to argue the motion to compel. Her reference to it and the reason she attached it to her brief is not for incorporation of IegaI analyses and pri-ncipIes, but because the brief also contains a number of safient factua] assertions that 27 83701 COLLOQUY are rel-evant to CAPAITs position in this case, and striking the testimony in such a wide-swath manner as the Company proposes woul-d take out much of that rel-evant testimony. In that regard, the Company seeks to strike chunks of Ms. Zamora's testimony including sectj-ons contained on pages 12, 13, !4, 19, 20, and 21. Twenty-one goes through the testimony of Ms. Zamora and actually takes a yeIlow highlighter and takes out the objected or disputed sections of her testimony. You will quickly see that what happens is that Ms. Zamora's sentences are chopped off. Either the start of the sentence is miss is asked to be stricken or the end of it is asked to be stricken, or perhaps the answer is asked to be stricken but the question remains. The point j-s that it's nonsensical from a grammatical standpoint, and from a logical and contextual- standpoint. Agaln, the Company does not in j-ts motion state that, okay, here's the basis for our objecti-on in this section of our motion, and here is how that objection applies to page 14, lines 1 through 3, for j-nstance, of Ms. Zamora's testimony. It doesn't go to that length. I think that a motlon to strike is a rather drastic procedural measure especially when it pertai-ns to the only witness that CAPAI has in this proceeding, and any strj-cken portions of her testimony shoul-d be done surgically 28 7 I 9 10 11 72 13 L4 15 t6 l7 18 19 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOTSE, rD 83701 COLLOQUY and not with a meat cl-eaver. The fourth basis for Rocky Mountain's motion involves the fact that Ms. Zamora lacks experience with rate case procedure before thj-s Commission, and that she draws Iegal concl-usions and refers to the motion to compel. Again, this is fairly redundant of previous arguments made in the other sections of the Company's brief, but in this regard the Company itself concedes on page 4 of its motion that and I quote the most appropriate means for sorting out the confusion in Ms. Zamora's testimony is cross-examj-nation, end of quote. And CAPAI coul-d not agree more with that statement: Cross-examination is the appropriate means for dealing with the testimony objected to. And, f inaIly, I'd l-ike to point out that the Commj-ssion certainly it's not a jury of laypersons unfami1iar with the subject matter. The Commission has, for since I bel-ieve it was first established, been put in the position of havj-ng to apply the appropriate weJ-ght and probative val-ue of any information or evidence presented to it. It is perfectly capable of doing that without striking what real-Iy amounts to the entirety of Ms. Zamora's testimony. And I think, again, the Commission can, as I said, give her testimony the weight it deems entitled to, aII.ow Counsel for the Company to cross-examine, and handl-e it in that manner. Thank you. 29 1 I 9 10 11 t2 13 l4 15 t6 t7 18 19 20 21 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD 83701 COLLOQUY 5 6 7 9 10 1 2 3 4 11 12 13 t4 15 76 L7 18 t9 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOISE, ID COMMISSIONER REDEORD: Are there any questions from the Commission? COMMISSIONER SMITH: NO. COMMISSIONER REDFORD: No? Okay, we're going to take about a three-, four-minute break for just a second. COMMISSIONER SMITH: Are you going to allow Mr. So1ander to reply? COMMISSIONER REDEORD: Oh, excuse me. Mr. Sol-ander, do you have a reply? MR. SOLANDER: I just have one, one point to make: Mr. Purdy quoted a sect j-on of our brj-ef that states the most appropriate means for sorti-ng out confusion in Ms. Zamora's testj-mony is cross-examination, but he left out the important part is that it's impossible to faj-rly and adequately examine her on legal issues that are beyond the scope of her expertj-se that he admlts in her testimony. That's the only point I want to make. COMMfSSIONER REDFORD: Any other comments by the parties? Okay, we'f l- take about a three-mj-nute break. (Recess. ) COMMISSIONER REDFORD: After delj-beration, the Commissj-on has agreed to part of the motion and denied part of the motion. The brief wil-l be stricken. 30 83701 COLLOQUY 1 2 3 4 5 6 1 9 10 11 72 13 t4 15 76 11 1B 19 20 2L 22 23 24 25 HEDR]CK COURT REPORTING P. O. BOX 578, BOTSE, rD And with regard to the rest of the testimony of Ms. Zamora, she can testify and we'l-1 accept the weight that we need to to eva1uate her testimony. And we suggest that PacifiCorp, at the close of the session, that you identify, based upon your cross-examinatj-on or other, what areas you stil1 believe should be stricken. Any questions? Hearing none, f guess it's your motion application. MR. SOLANDER: Thank you. Rocky Mountaj-n Power is pleased to present this stipulation for your revj-ew and approval today. As you're aware, the stipulati-on is entered into by and among Rocky Mountain Power, Staff of the Idaho Publ-ic Utilities Commission, Monsanto Company, PacifiCorp Idaho Industrial- Customers, the Snake Rj-ver Alliance, Idaho Irrigation Pumper Assoclation, and the Idaho Conservation League. The Company and the other parties agree that this sti-pulation on a new two-year rate plan represents a fai-r, just, and reasonabfe compromise of the issues raised in this proceeding, and that the stipulation is in the public interest. Our Company witness, Ted Weston, prefiled direct and rebuttal testj-mony in support of the stipulation, and he is here today and will be happy to answer any questj-ons that you might have regardi-ng the stipulation or the process that led to ir. COMM]SSIONER REDEORD:Are you going to present 31 83701 COLLOQUY 1 2 3 4 5 6 7 B 9 10 11 L2 13 L4 15 t6 t7 18 19 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, fD WESTON (Di) RMP him as a wi-tness? MR. SOLANDER: Yes, sir. Would you like me to move forward? COMMISSIONER REDFORD: Go ahead. MR. SOLANDER: Okay. I'd cal-I Ted Weston as our f irst wi-tness. COMMISSIONER REDEORD: Ms. Smith wil-l- issue the oath. J. TED WESTON, produced as a witness at the instance of Rocky Mountain Power, bej-ng fj-rst duly sworn, was examined and testified as follows: COMMISSIONER REDFORD: And, Mr. Weston COMMISSIONER SMITH: You'11 have to turn on the mike. COMMISSIONER REDFORD: -- as far as the speaker is concerned, you'11 need to push the red button down, just like we do over here. THE WITNESS: Thank you. DIRECT EXAMINATION BY MR. SOLANDER: O. Would you please state your name and business 32 83701 1 2 3 4 5 6 7 8 9 10 11 t2 13 t4 15 L6 L7 18 t9 20 27 22 23 24 25 HEDRTCK COURT P. O. BOX 578, REPORTING BO]SE, ID WESTON (Di) RMP address for the record? A. My name is Ted Weston, W*E-S-T-O-N. I work at 20L South Main, Salt Lake City, Utah, 84111. O. And by whom are you employed and in what capac j-ty? A. Irm employed by Rocky Mountain Power as the Idaho regulatory affairs manager. O. And as part of your responsibiLities in that posj-tion, dj-d you participate in the negotiation of the stipulation that's being presented to the Commission today? A. Yes, I did. O. And did you prefile both direct and rebuttal testimony in support of the stipulatj-on, along with four exhibits thereto? A. Yes. MR. SOLANDER: Ird ask at this time that Mr. Weston's testimony be spread upon the record as if read. COMMISSIONER REDFORD: So granted, unless there's an objection. (The following prefiled direct and rebutta1 testimony of Mr. Weston is spread upon the record. ) 33 83701 a. A. I 2 J 4 5 6 7 8 9 l0 ll 12 l3 t4 l5 l6 t7 l8 l9 20 21 22 a. Please state your name, business address, and present position with Rocky Mountain Power (the "Company"), a division of PacifiCorp. A. My name is J. Ted Weston and my business address is 201 South Main, Suite 2300, Salt Lake City, Utah, 84lll. I am currently employed as the Manager of Idaho Regulatory Affairs. QUALIFICATIONS a. Briefly describe your education and professional background. A. I received a Bachelor of Science Degree in Accounting from Utah State University in 1983. I joined the Company in .lune of 1983 and I have held various accounting and regulatory positions prior to my current position. In addition to formal education, I have attended various educational, professional and electric industry related seminars during my career with the Company. What are your responsibilities as Manager of Regulatory Affairs? My primary responsibilities include the coordination and management of Idaho regulatory filings, communications and oversight of reporting requirements with the Idaho Public Utilities Commission ("Commission"). PURPOSE OF TESTIMONY a. What is the purpose of your testimony in this proceeding? A. The purpose of my testimony is to present and support the Stipulation reached in the Company's 2013 alternative rate plan proposal entered into by ar"rd among Rocky Mountain Power, Staff for the Idaho Public Utilities Commission ("Staff'); the Idaho Irrigation Pumpers Association, Inc. ("IIPA"); Monsanto Company ("Monsanto"); PacifiCorp Idaho Industrial Customers ("PIIC"); Idaho Weston, Stip - I Rocky Mountain Power 34 I 2 J 4 5 6 7 8 9 l0 ll 12 l3 14 l5 l6 t7 r8 l9 20 2t 22 23 Conservation League; and the Snake River Alliance; collectively referred to in my testimony as the Parties. Community Action Partnership Association of Idaho ("CAPAI") participated in the settlement negotiations; however, they have chosen not to be a party to the Stipulation. My testimony provides an overview of the Company's 2013 altemative rate plan and an explanation of the terms and conditions of this Stipulation. I also demonstrate that this Stipulation represents a fair, just, and reasonable compromise of the issues in this proceeding and that this Stipulation is in the public interest. My testimony supports the Parties' recommendation that the Commission approve the Stipulation and all of its terrns and conditions. BACKGROUND a. What was the Company's alternative rate plan proposal? A. On March 1,2013, the Company made two filings with the Commission; it filed a Notice of Intent ("NOI") to file a general rate case, and a separate application requesting that the Commission open and notice a case with the intent of identiffing interested parties that would like to participate in alternative rate plan discussions (the "Application"). The NOI was filed to comply with Commission noticing requirements allowing the Company to file a general rate case around the first of June in the event that the alternative rate plan discussions were unsuccessful. The Company filed the Application early to provide time for parties to discuss altematives to a general rate case. On March 12,2013. the Commission noticed the Company's alternative rate plan Application and set March 26, 2013, as the intervention deadline to Weston, Stip - 2 Rocky Mountain Power 35 I 2 J 4 5 6 7 8 9 l0 ll 12 l3 t4 l5 l6 t7 l8 l9 20 2l 22 23 0. A. identiff any interested parties that would like to participate in settlement discussions regarding alternatives to the Company filing a general rate case. In addition to Staff the six parties listed above intervened. The first settlement discussion was held April 19, 2013, at the Commission's public hearing room. A second settlement conference occurred May 2,2013. Between April lgth and May 2nd the Parties analyzed the proposed rate plan, asked discovery questions, and Staff performed an audit of the preliminary 2012 Annual Result of Operations report at the Company's offices in Salt Lake City. The 2012 Annual Result of Operations report was filed with the Commission on June 28,2013. What Test Period did the Company use to determine revenue requirement for the Annual Result of Operations? The Test Period for the Result of Operations was based on the historical l2-month period ended December 31, 2012, adjusted for known and measurable changes through December 31,2013. The Result of Operations was prepared consistent with past Commission practice and the Company's general rate cases filed previously in Idaho. The Company utilized rate base on an end-of-period basis, which includes the actual rate base at December 31,2012 plus major capital additions that were expected to go into service by Decernber 31 , 2013. What is the revenue requirement increase supported by the Result of Operations? The 2012 Result of Operations demonstrate that absent a rate change the Company would earn 7 .6 percent return on equity ("ROE") on a nornalized basis for calendar year 2013. Based on the most recent Commission authorized ROE of Weston, Stip - 3 Rocky Mountain Power a. 36 I 9.9 percentl the Company could justiff a $15.7 million price increase. However 2 most of that price increase was driven by three items: 3 (l) the difference between net power cost currently included in base rates 4 and actual net power costs approved in the Company's 2013 ECAM 5 filing2, which is approximately $7 million on an ldaho basis; 6 (2) the market for renewable energy certificates ("RECs") has drastically 7 declined from the level currently in rates. Idaho customers are currently 8 receiving a $6.5 million credit annually from REC sales, these sales are 9 expected to be reduced in 2013 by approximately $6.0 million; l0 (3) The impact of the new depreciation study's proposed rates would 11 increase ldaho's allocated depreciation expense by $a.5 million annually. 12 STIPULATION 13 a. Please summarize the terms of the Stipulation entered into by the Parties. 14 A. The Parties recommended that the rate plan Stipulation would be submitted to the 15 Commission in lieu of a general rate case. If approved by the Commission, the 16 Parties agreed that Rocky Mountain Power would not file any request with the 17 Commission to increase its base rates in Idaho before May 31,2015, with new 18 rates not effective prior to January 1,2016, with the difference in timing taking 19 into consideration the Commission's normal notice and suspension periods for a 20 general rate case. 2l The Stipulation specifies that base revenue requirement for all schedules 22 will be increased on.lanuary 1,2014 by the uniform percentage amount of 0.77 ' Order No. 32196.: Case No. PAC-E-13-03, Order No. 32771. Weston, Stip - 4 Rocky Mountain Power 37 I ? J 4 5 6 7 8 9 l0 11 t2 l3 t5 l6 t7 A. r8 l9 20 2I 22 14 POPULUS TO TERMINAL LINE a. Please describe the treatment of the Populus to Terminal Transmission Line percent. The Parties to the Stipulation further agreed that within each schedule the increase will be recovered by increasing only the energy component of rates by a uniform percentage amount. A summary of the impact by rate schedules is provided as Exhibit No. I of my testimony. Below is a summary of the five main areas covered by the Stipulation which I will describe further in my testimony: L Recovery of Populus to Terminal transmission line; 2. Recovery of the Lake Side II generation facility; 3. Modifications to components of the ECAM calculation; 4. Implementation of the new rates fronr the depreciation study currently pending before the Commission (PAC-E-13-02); and 5. Accounting for and recovery of the retirement and removal costs associated with closure of the Carbon Plant. issue in the Stipulation. The $2 million or 0.77 percent base rate increase effective January l, 2014, will provide the Company recovery of ldaho's allocation of the 27 percent of the Populus to Terminal transmission line investment that was deemed plant held for future use in Commission Order No. 32196. Later, the Commission ruled that this investment was now used and useful and should be included in rates on or after January l, 2014. The Parties' Weston, Stip - 5 Rocky Mountain Power 3B I 2 J 4 5 6 7 recommendation in this Stipulation is supported by that Commission Order.s Utilizing normal regulatory processes this Stipulation is simply an implementation mechanism of Commission Order No. 32432. The parties to Case No. PAC-E-ll-lz had recommended and the Commission ordered this investment was used and useful and should be included in rates. This base rate increase is designed to collect approximately $2.0 million annually from Idaho customers as calculated and summarized in the table below. Revenue Req uirement Comnonents 2013 Plant in Service Idaho SG Allocation Factor 218,512,895 6.0525 Plant in Service $13,225,475 verage Accum Depr Reserve 68,47 Net Plant in Service Pre-Tax Return Revenue Requirement on Plant Depreciation Expense 12,956,997 Amortization of Deferred Depreciatiorr 303.5s 1 Revenue Requirement $ Uniform Percentage Increase Deferred Depreciation Expense Three Year Amortization 2,015,144 Amortization Expense I 1.13 1,443,113 268,477 0.7 910,652 J 303J5 t The $2.0 million annual revenue requirement is comprised of the pre-tax return on investment, using the last Commission authorized capital structure applied to Idaho's allocated share of investment previously included in plant held for future use, plus the annual depreciation expense, plus the amortization of the Weston, Stip - 6 Rocky Mountain Power 8 9 l0 ll 3Commission Order No. 32432. 39 I depreciation expense deferred while the investment was in plant held for future a4/ use. 3 ECAM _ LAKE SIDE II 4 Q. Do any of the terms of the Stipulation utilize or impact the ECAM? 5 A. Yes. As part of the overall Stipulation the Parties desired a two-year rate plan. To 6 accomplish that goal the Parties recommended inclusion of a resource adder for 7 the Lake Side II generation facility that will be recovered through the ECAM at 8 100 percent, for the period that the investment in the facility is not included in rate 9 base as a component of base rates. The resource adder will begin January l, 2015, l0 subject to the Lake Side II generation facility having achieved commercial I I operation as of that date. While commercial operation is expected to be achieved 12 by June of 2014 the Company agreed that the resource adder wouldn't be 13 included in the ECAM until January 2015, more than six months after the in- 14 service date, as part of the settlement. Idaho customers will benefit from lower 15 power costs as a result of lower than market energy generated by Lake Side II 16 from June through December 2014 without paying any revenue requirement on 17 the plant. The ECAM deferral will be calculated by multiplying the actual l8 megawatt-hours of generation from the Lake Side II facility by $1.99 per 19 megawatt-hour. The Parties to the Stipulation recognized that to enable a two-year 20 rate plan the resource adder was a necessary component and utilized a previous 2l Commission approved mechanism that would facilitate the Company and its 22 customers in avoiding a rate case in 2015. The $1.99 per megawatt-hour Resource a Case No. PAC-E- l0-07. Order No. 32224. page l3 2nd paragraph. 40 Weston, Stip - 7 Rocky Mountain Power I 2 Adder is ldaho's allocated share of the return on and of the Lake Side II generation facility, the calculation is summarized in the table below: Rocky Mountain Power Lake Side Il Resource Adder In Service: June 2014 Rerrcnue ldaho SG ldaho Amount Reorirement Factor Resource Electric Plant In-Service ffi1"7?5.143 Depreciation F,>pense 21,373,722 21.373.722 Non-FuelO&M 3.934.000 3.934.000 Property Ta>res 6.000,000 6,000.000 Accum Depreciation (21,373.722) DIT Balance (115,366.732) Net Plant In-Service 524.984.689 58.471.267 lake Side ll 89.778,989 6.0525% $ 5.433.873 2015 MWh 2.729.5W 2.729.5U Resource Adder ($/MWh) $ 32.89 6.0525% $ 1.99 Annually the recovery of the Lake Side II resource adder will be capped to the first 2,729,500 megawatt-hours of generation or approximately $5.43 million from ldaho customers through the ECAM. Has the Commission approved utilization of a resource adder as part of the ECAM before? Yes. In Order No. 31033 the Commission approved inclusion of a renewable resource adder as part of the ECAM. The resource adder provided for recovery of investment in renewable resources that were benefiting customers through reduced net power costs but were not yet included in base rates. The resource adder enabled the Company to forgo filing a general rate case in 2010. Are there any other terms of the Stipulation that impact the ECAM? Yes. Pursuant to Commission Order No. 32771 the Parties reviewed and agreed to Weston, Stip - 8 Rocky Mountain Power J 4 5 6 7 8 9 l0 ll l2 l3 14 a. A. a. A. 4L I 2 J 4 5 6 7 8 9 l0 ll 12 a. 13 A. 14 l5 l6 17 l8 l9 20 modiry the ECAM calculation by removing the wholesale sales line loss adjustment from Monsanto and Agrium's actual load used to calculate all defenal balances except for the Load Change Adjustment Revenue portion of the ECAM deferral. This change will be effective for the ECAM deferral period starting June I , 20 I 3 and ending on November 3 0, 20 I 3 .5 Effective December l" 2013, the ECAM deferral will be calculated on a total Idaho basis using Idaho jurisdictional load; Monsanto and Agrium's share will not be calculated and deferred separately. The rate design for the ECAM will be based on energy sales data. Specifically, as in past ECAMs, the proposed rates will be calculated by effectively dividing the total target dollar amount for Idaho customers by the energy sales data at their appropriate delivery voltage levels. Does the Stipulation change any other ECAM related items? No. The Stipulation did not modifu the ECAM's curent level of base net power costs of $1.385 billion on a total Company basis or REC revenues included in rates of $78.8 million. also on a total Company basis or 56,526,622 allocated to Idaho, both amounts will remain the base for purposes of tracking in the Company's ECAM mechanism. These two items were identified as major drivers of the revenue deficiency that the Company is experiencing. However, the ECAM provides recovery of 90 percent of the net power cost differential and 100 percent of the REC revenue 5 Accordingly, the deferral period for the ECAM application to be filed February 1,2014, will reflect two different calculation methodologies. The current methodology will be used for the December 1,2012, through May 31,2013 period. The proposed calculation in the Stipulation will be used for the period of June 1,2013, through November 30,2013.42 weston, stip - 9 Rocky Mountain Power o I 2 aJ 4 5 6 7 8 9 l0 ll t2 l3 t4 r5 l6 t7 l8 l9 20 21 22 23 difference enabling the Company to delay the upcoming rate case and enter into this Stipulation. The Stipulation also did not modify the Idaho base load in the ECAM that is applied to the net power cost differential or the load change adjustment rate ("LCAR"). As specified in Commission Order No. 32432 from Case No. PAC-E- ll-12, the 201I load reported in the Annual Result of Operations report will continue to be used as base load for the calculation of the load change adjustment in the ECAM deferral. The LCAR will remain at $5.47 per MWh. DEPRECIATION STUDY The Stipulation recommends Commission approval authorizing the Company to create a regulatory asset to defer. on a monthly basis, any aggregate net increase or decrease in Idaho allocated depreciation expense from the pending application to change depreciation rates6 for the period beginning on the later of January l, 2014, or the effective date of the Commission Order approving new depreciation rates, until the date that new depreciation rates are reflected in customer rates. Under the terms of the Stipulation, the Company would be allowed to recover or required to refund the deferred depreciation expense beginning on the effective date of the next general rate case. The regulatory asset balance would be amortized over a period not to exceed ten years from the effective date of the next rate case. The Stipulation recommends that depreciation of the Carbon Plant should not be included in this deferral but tracked separately. CARBON PLANT Order No. 32701 authorized the Company to create a regulatory Weston, Stip - 10 Rocky Mountain Power 6 Case No. PAC-E-13-02. I asset to transfer the remaining Carbon plant balances upon retirement from 2 electric plant in service into. This balance will be amortized from the date of 3 transfer to the regulatory asset through December 31, 2020. The regulatory asset 4 as of the date of transfer will include the un-depreciated book balance assuming 5 that existing depreciation rates were used prior to the plant retirement date. The 6 difference between the depreciation rate effective in 2014 and the current 7 depreciation rate based on the prior decommissioning date of 2020 will be 8 included in the Carbon plant regulatory asset until Carbon depreciation rates are 9 updated in the next general rate case. l0 The Stipulation also recommends creation of a separate regulatory asset I I for future recovery from customers Idaho's allocated share of the prudently 12 incurred Carbon removal costs. The projected removal costs were identified in the l3 calculation of the new depreciation rates as part of Case No. PAC-E-I3-02, which 14 is subject to Commission review and approval. 15 The Stipulation supports that the Company should be allowed to recover 16 from customers Idaho's share of the prudently incurred Carbon removal costs 17 over a reasonable period determined by the Commission in a future proceeding. 18 The amortization of the Carbon removal costs will begin when the amortization 19 expense is included in rates in the next general rate case. 20 Other Terms of the Stipulation 21 a. Does the Stipulation address Monsanto's curtailment contract? 22 A. Yes. Paragraph 15 of the Stipulation summarizes some minor modifications to 23 Monsanto's curtailment contract. Monsanto and the Company, after engaging in Weston, Stip - l1 Rocky Mountain Power 44 I discussions and negotiations, have agreed to extend Monsanto's current 2 curtailment terms and valuation for two additional years to align the contract with 3 the rate plan. Monsanto and the Company have executed a new Electric Service 4 Agreement ("ESA") for 2014 and 2015 sub.iect to Commission approval of the 5 Stipulation. If the Commission approves the Stipulation the Company and 6 Monsanto respectfully request approval of the executed ESA, which is provided 7 as Confidential Exhibit No. 2. 8 Rate Spread and Rate Design 9 Q. Does the Stipulation speciff how the $2.0 million revenue requirement l0 increase will be recovered from customers? 1l A. Yes. The Stipulation specifies that each rate schedule will see an equal percentage 12 increase of 0.77 percent. The Stipulation further specifies that this increase will be 13 recovered through energy rates. The rate calculations were performed based on 14 the 2012 normalized billing determinants, Exhibit No. I shows the increase 15 applied to each rate schedule and the proposed rates. 16 a. What is the impact of this increase on the average residential customer? 17 A. Idaho's average residential customer on Schedule I uses 810 kwh per month. At 18 this average usage level residential customers would see an increase of $0.66 per 19 month or $7 .92 ayear to their bills. 20 a. Has the Company updated its tariff schedules based on the Stipulation? 2l A. Yes. Exhibit No. 3 contains the clean and legislative copies of the Company's 22 Idaho electric service schedules which have been updated to reflect the terms of 23 the Stipulation. The Company respectfully requests that the Commission approve Weston, Stip - l2 Rocky Mountain Power45 I 2 ) 4 5 6 7 8 9 l0 1l r2 13 14 l5 t6 t7 l8 l9 20 2l 22 23 the Stipulation and the tariffs in Exhibit No. 3, with a January 1, 2014, rate effective date as filed. Conclusion a. Does the Stipulation represent a fair, just, and reasonable compromise of the issues and is in the public interest? A. Yes. In an effort to mitigate customer rate impact the Company proposed a rate plan that provided for recovery of the previously Commission approved Populus to Terminal transmission line combined with utilizing the ECAM to recover the majority of increased net power costs and the reduction to REC revenues. The inclusion of the Lake Side II resource adder also enabled the Company to avoid filing a general rate case in 2015 and delayed customer rate impact until April 2016. The results of the pending depreciation case and closure of Carbon plant were addressed with deferred accounting. Creation of these regulatory assets assures that customers won't see any rate impact from these changes before January 1,2016. As specified in the two-year rate plan covered by this Stipulation, Rocky Mountain Power will not file another general rate case with new rates effective prior to January 1,2016. Rocky Mountain Power will continue to file annual Result of Operations reports with the Commission to enable the Commission to ensure that rates during the two-year rate plan are just and reasonable. The Company has been prudent in securing resources for the benefit of its Idaho customers and should be granted cost recovery of these expenditures. This two-year rate plan demonstrates the Company's conscious effort to control its Weston, Stip - 13 Rocky Mountain Power I 2 J 4 5 6 7 8 9 l0 a. A. costs while implementing innovative solutions and pricing proposals to help mitigate customer impacts and use electricity more efficiently. The Parties to this Stipulation have worked to thoroughly investigate and analyz* this rate plan as an alternative to a general rate case through auditing, qualitative discovery, and careful negotiations and have determined that the two- year rate plan is in the public's best interest. For these reasons the Company supports the Stipulation entered into by the Parties and respectfully requests that the Commission approve it as filed. Does this conclude your testimony? Yes. Weston, Stip - l4 Rocky Mountain Power I 2 aJ 4 5 6 7 8 9 t0 11 t2 l3 t4 l5 t6 l7 18 t9 20 2l 22 23 a. Please state your name, business address, and present position with Rocky Mountain Power (the "Compatry"), a division of PacifiCorp. A. My name is J. Ted Weston and my business address is 201 South Main, Suite 2300, Salt Lake City, Utah, 84lll. I am currently employed as the Manager of Idaho Regulatory Affairs. a. Are you the same J. Ted Weston who submitted stipulation testimony in this proceeding? A. Yes. PURPOSE OF TESTIMONY a. What is the purpose of your rebuttal testimony in this proceeding? A. The purpose of my testimony is to respond to the testimony filed by Community Action Partnership of Idaho ("CAPAI") witness Ms. ChristinaZamora. Although Ms. Zamora's testimony touches on a number of subjects that are irrelevant to this proceeding, I will largely limit my response to the issues gernane to the Stipulation, and also briefly address the most egregious misstatements contained in her testimony regarding CAPAI's Motion to Compel and the Company's response to the data request that was the basis for the motion. Does Roclry Mountain Power agree with the concerns raised by CAPAI regarding the procedural handling of the Company's alternative rate plan proposal? No. Rocky Mountain Power strongly disagrees with CAPAI's characterization of the process that resulted in the Stipulation pending before this Commission. On March 1,2013, the Company made two filings with the Commission. In order to Weston, Re - I Rocky Mountain Power a. A. 4B I 2 J 4 5 6 7 8 9 t0 ll t2 t3 t4 l5 t6 t7 l8 t9 20 2t 22 23 preserve its right to file a general rate case, it filed a Notice of lntent to file a general rate case, and a separate application requesting that the Commission open and notice a case with the intent of identiffing interested parties that would like to participate in alternative rate plan discussions (the "Application"). The Notice of Intent was filed to comply with Commission noticing requirements that would allow the Company to file a general rate case after May 31, 2013, in accordance with the timing agreed to in the stipulation in the Company's 20ll general rate case, Case No. PAC-E-ll-l2 (the "2011 GRC Stipulation"), in the event that the altemative rate plan discussions were unsuccessful. The Company filed the Application early to provide time for parties to discuss alternatives to a general rate case. [t was this alternative Application that led to this proceeding and the Stipulation that is before the Commission for approval. After the Commission noticed the Company's Application, Rocky Mountain Power worked closely over several months with the Commission staff and the other intervening parties to craft a solution that provided adequate notice to all parties, complied with Commission rules, and eliminated the need for the general rate case filing that the Company had put parties on notice of through the required Notice of Intent filing it had made. This effort was undertaken by all parties with great care and attention to proper Idaho Public Utilities Commission protocol for settlement discussions. The statements in Ms. Zamora's testimony that the Company violated the timing for filing a general rate case agreed to in the 201I GRC Stipulation and that the current Stipulation arose out of an application filed before May 31, 2013, ignore the fundamental fact that Rocky Mountain Weston, Re - 2 Rocky Mountain Power 49 I 2 3 4 5 6 7 8 9 l0 l1 t2 t3 t4 l5 t6 t7 t8 t9 20 2t 22 23 a. A. Power did not file a general rate case application, but instead worked with the parties to craft an alternative that was acceptable to a broad cross-section of Idaho customers and stakeholders. How does the Stipulation address the very concern that Ms. Zamora raises regarding the general trend of more frequent general rate case filings? The Stipulation eliminated the current need for a general rate case and avoids a change in base rates as a result of a general rate case until at least January l, 2016, which means customers will enjoy at least a three-year period between general rate case rate changes. The Stipulation appears to address the very issue that Ms. Zamora is concerned about. Please respond to Ms. T.a,mora's allegations that Rocky Mountain Power failed to respond to CAPAI's data request? The statements in Ms. Zamora's testimony and exhibit arguing that the Company has refused or failed to provide a response to CAPAI's discovery requests are completely false. The real issue is that Ms. Zamorajust didn't like the answer that was provided. The Company had not prepared the analysis that they had requested and, therefore, had nothing to give them. Rocky Mountain Power's complete response was timely provided on May 29,2013. Later, following the filing of the Company's Response to CAPAI's Motion to Compel, Rocky Mountain Power completed an analysis responsive to the request made by CAPAI and provided it to them on August 12, 2013. A true and correct copy of the response is provided as Exhibit No. 4 to my testimony. The spreadsheet that was provided is similar to the format of similar data responses that have been provided Weston, Re - 3 Rocky Mountain Power 0. A. 50 I 2 J 4 5 6 7 8 9 l0 11 t2 a. A. to CAPAI in other proceedings, including the Company's current Washington general rate case. As noted in the response to CAPAI Data Request 6b, due to the almost unlimited combinations for block rates and the vagueness of the question, in order to be responsive the Company provided two rate design scenarios. Additionally, the Company provided all data necessary so that CAPAI could explore other rate design scenarios and bill impacts. The Company's response to Ms. Zamora's other incorrect assertions regarding the Company's failure to respond to CAPAI's discover request is fully contained in the Company's Response to CAPAI's Motion to Compel, which was filed with the Commission on August 9,2013.1 Does this conclude your rebuttal testimony? Yes. ' The arguments in Ms. Zamora's testimony regarding the failure to respond seem particularly inappropriate considering the Motion to Compel was withdrawn by CAPAI on August 14,2013. Weston, Re - 4 Rocky Mountain Power 51 1 2 3 4 5 6 1 8 9 10 11 1,2 13 L4 15 1,6 l1 1B t9 20 2L 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORT]NG BOISE, ID WESTON (X) RMP (The foll-owing proceedings were had in open hearing. ) COMMISSIONER REDFORD: Do you have any cross-examlnation, Mr. Budge? MR. BUDGE: No questJ-ons, thank you. COMMISSIONER REDEORD: Mr. Price. MR. PRICE: No questions. COMMISSIONER REDEORD: Mr. Otto. MR. OTTO: No questions. COMMISSIONER REDEORD: Mr. Purdy. MR. PURDY: Thank you, Mr. Chair. CROSS-EXAM]NATION BY MR. PURDY: O. Good mornj-ng, Mr. Weston. A. Good morning. O. I just have a couple questions initially about your direct testimony. Do you have that in front of you? A. Yes, I do. O. Okay. Would you please refer to page 2 of that testimony; specifically, f'm going to ask you questions about lines, roughly, 71 through 21. Do you have that in front of you? A. Yes. 52 83701 1 2 3 4 5 6 1 I Y 10 11 72 13 t4 15 t6 L"l 18 19 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD WESTON (X) RMP a. Okay. You state that the notice of intent filed by the Company in this case to comply with the Commission's noticlng requirements for general rate cases woul-d all-ow the Company to fil-e a rate case sometime after May 31st. Is that right ? A. That's correct. O. Of this year? A. That's correct. 0. And you further stated that the Company filed the application early to provide time for parties to discuss alternatives to a general rate case. Is that true as well? A. Correct. On March 1st, the Company filed two two separate documents: A notice of lntent and al-so filed an application requesti-ng that the Commission open a docket so that part j-es coul-d initiate discusslons. 0. Mr. Weston, I'm getting very hard of hearing in my older age. If you could possibly just pu11 that mike a l-ittl-e closer or speak l-ouder, I'd greatly apprecj-ate it. A. Is that better? 0. A l-ittl-e bit. A. I'11- try to speak into it. a. Thank you. COMMISSIONER SMITH: Maybe if it's set up here. It will be cfoser to your mouth. O. BY MR. PURDY: And I'm just going to ask you, in 53 83701 1 2 3 4 5 6 7 8 9 10 11 L2 13 l4 15 1,6 L't 18 19 20 2L 22 23 24 25 HEDR]CK COURT P. O. BOX 578, REPORTING BOISE, ID I/iESTON (X) RMP your opinion, whether you feel that the amount of ti-me -- wel1, strike that. The Company's application and notice of intent were filed on March 1st of this year. True? A. That's correct. O. All- right. Do you know when the Commj-ssion issued its notice of application? A. I bel-leve it was March 1,2th. O. That's my understandlng as wel-l-. So assuming that a party that was j-nterested in this proceeding did not become aware of this filing until March L2th, and because the Company presumably wanted a "yes" or I'no, on its rate case alternati-ve idea, that rea1Iy gave the parties from March 1-2th to May 31st to do all the work they needed to do in order to decide whether to join in the stipuJ-ation. Is that a fair statement ? A. I believe sor yes. O. Pardon me. A. Yes. O. Yes. Okay. And the things that they needed to do would be to, of course, conduct discovery; engage in what turned out to be two settl-ement negotiatj-ons; make their analyses; draft the settl-ement stipulati-on, revj-ew that, make edits, finalize; and a number of other tasks in that time period of roughly two and a hal-f months. Is that right? 54 83701 1 2 3 4 q 6 1 I 9 10 11 L2 13 74 15 16 L7 1B 19 20 21, 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOTSE, rD wESTON (X) RMP A. Yeah, I canrt speak to what the parties had to do to determine, but those are some of the actj-ons that could be involved, yeah. 0. If you coul-d direct your attention to excuse fr€, I think I'm going to rebuttal-. I need to double-check. Okay, yes, if you woul-d -- oor I'm sorry, f 'm still back on direct. Forgive me. Back on page 2 of your direct, you state generally that the Commission noticed up the hearing, and you just testified that it did so noticed up the application, rather, in this case on March 72 to and f quote identify any interested parties that woul-d like to participate in settlement discussions regardj-ng alternatives to the Company filing a general rate case, end quote. Is that a fai-r quotatJ-on of your testimony? A. Yes. O. Okay. In the event that a party had desired to participate in the general rate case which the 60-day notlce of j-ntent referred to, but did not necessarily care to dj-scuss al-ternatives to a general rate and did not intervene in this case, the 13-04 case, it woul,d have l-ost its ability to shape the outcome of a rate case settlement, wouldn't it? A. f 'd l-ike to clarify that the Company never filed a rate case. We proposed an al-ternati-ve to filing a rate case, and that's what the application was, is to identify interested 55 83701 parties and a1low discussions and negotlations of alternatives to filing a general rate case, whj-ch was the intent and purpose of the Company was to avoid the necessity and assocj-ated costs of a general rate case. O. AIl right. I'l-1 state it one more time, hopefully more simply: Regardless of whether you charactertze this as a rate case, a rate p1an, or anything eIse, the fact of the matter is it did resul-t in an increase to the Company's revenue requirement, did it not? A. Yes. O. A11 right. On page 5 of your direct, lines 1 through 3, you state, generally, that the increased revenue requirement proposed in the sett.l-ement stipulatlon wj-lL be collected exclusively through the energy component of rates. fs that right? A. That was that was one of the terms of the stipulation, yes. O. Okay. And the Company is not proposing any increase to its customer monthly charge in this case, is it? A. That's correct. O. Al-l- right. Based on the discovery requests that were submitted by CAPAI to the Company, are you able to have a sense of whether low-income users are relatively higher or lower than the average residential customer? 56 3 4 5 6 1 I 9 10 11 t2 13 L4 1s t6 t7 18 19 20 2t 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD wESTON (X) RMP83701 1 2 3 4 5 6 1 I 9 10 11 t2 13 t4 15 t6 L1 1B 79 20 2L 22 23 24 25 HEDRTCK COURT P . O. BOX 5'18 , REPORTING BOTSE, rD 83701 WESTON (X) RMP A.Coul-d you by -- what do you mean by "higher or Iowertt ? O. Okay, thank you. Monthly, just in terms of their monthly kilowatt hour consumption, -- purely in do they the averageconsume more on average every month or l-ess than residential- nonl-ow-i-ncome customer? A. CAPAI asked the Company to look at usage of our low-income customers. That's a difficul-t thing to do because we don't have income information of our customers. I think an agreement was reached between the Company and CAPAI to assume to use customers that qualify for LIHEAP, which j-s what the Company did. Based on that assumption, it indicated that customers that received LIHEAP support typically used higher than average energy uses than our average customer. O. Okay, thank you. And if that then, in fact, is true, that low-income customers typically, on average, use more energy, would it -- what effect would it have if the Company in this case were to have proposed an increase in the monthly customer charge? A. WeII, that's hard to say -- to answer to, Mr. Purdy, because what we are all- aware is no customer is average. You know, everyone is going to some may use more, some may use fess. And to -- but an increase to the customer charge would typically benefit customers that use more power. Those that use a l-ow amount of power are benefiting by a 1ow 57 1 2 3 4 5 6 7 I 9 10 11 t2 13 t4 15 16 77 18 79 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD wESTON (X) RMP customer charge currently and that's not just low-income customers, that's a1l- residential customers. Rate design creates winners and losers depending on how much energy you use. O. But all- other things bei-ng equal , if you were to rather than recover all of the increased revenue requirement that you're authorized through the customer monthly charge as opposed to the energy component, isn't that going to benefit high users, regardless of whether theyrre 1ow income or not? A. I can't answer that. O. Okay. Fair enough. Thank you. And then, finaI1y, if you coul-d turn to page L4 of your direct, Iines 3 through 6, you state that the parties who signed the stipulation have worked to thoroughly investigate and analyze this rate plan as an al-ternative to a general- rate case through auditing, qualitatj-ve discovery, and careful negotiations, and have determined that the two-year rate plan is in the public's best interest. Is that right? A. Yes. O. Wou1d you agree that the subject matter covered by CAPAI's dj-scovery request submitted to the Company in this case constj-tute qualitative discovery? A.Yes. O. Okay. And that those requests relate to the consumption patterns of l-ow-income customers and the bill 5B 83701 1 2 3 4 5 6 1 B 9 10 11 L2 13 74 15 t6 71 18 1,9 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 5'7I , REPORT]NG BOISE, ID WESTON (X) RMP impacts that al-ternative rate designs would have on l-ow-income customers ? A. Could you restate your question? 0. Absolutely: Woul-d you agree that the nature of CAPAI's discovery request in this case was, first, to ascertain the consumption patterns of low-income customers: Were they high, 1ow, average? A. Yes, I guess. O. Okay. And the dj-scovery request that was significantly disputed in this case, CAPAI's Request 6, subpart b, asked the Company to calculate the bil-I impact of various rate design alternatives, did it not? A. Yeah, I believe the discovery in question asked the Company to perform analysis on behal-f of CAPAI and being advised by Counsel that, you know, the production is to provide data that the Company has. When the Company didn't have that j-nf ormation and sor you know, that's the point of this whole dispute whether or not it was l-ate. The Company's position is that we we filed the responses on time, informi-ng CAPAI that we did not have the data that they'd requested. However, we did go ahead and perform that analysis and provided the i-nformatj-on to CAPAI so that they coul-d determine for themselves appropriate rate design. 59 83701 1 2 3 4 trJ 6 7 8 9 10 11 t2 13 L4 15 t6 L7 1B 1,9 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORT]NG BOISE, ID WESTON (X) RMP A. And -- are you done, Mr. Weston? A. Yes. O. Okay, thank you. And without rearguing the discovery dispute, isnrt it true that all of CAPAI's discovery was first submitted to you informally on April 29Lh of this year? A. Yes, that's correct. O. Thank you. Okay, if you coul-d turn to your rebuttal- testimony, starting on l-ine 2 -- oLr excuse me, page 2, l-ines 1 through 4. Do you have that? A. Yes. O. Okay. You characterize the Company's application in this case dsr quote, a case with the intent of identifying j-nterested parties that woul-d like to participate j-n alternative rate plan discussions, end of quote. fs that right ? A. Yes. O. Okay. Woul-d you explain what you mean by "identifying interested parties"? A. As the Company prepared for a rate case filing in 20L3, w€ looked at what the case drj-vers were, what was causing the need for rate increase, and if there were alternatj-ve ways to address those case drj-vers. And as we 1ooked at that, the Company developed a plan that we believed that we coul-d employ that would avoid a general rate case. And so we fil-ed an 60 83701 application with this Commissi-on, requesting that they notice and open a docket so that any interested parties that woul-d l-ike to participate in discussions to this al-ternatj-ve rate plan approach could be identified and noticed and invited to participate in those discussions. O. Thank you. And, again, regardless of the labels that we apply to the possibilitles, the two opti-ons of a general rate case versus an alternative, either wdy, the Company's objective was to obtain a revenue requirement increase. Is that true? A. Well , if you're speaklng of the $2 mi1l-ion increase in thls rate p1an, the Company's position is that the Commission afready approved that rate case in case PAC-E-7L-72 where they recognized that the Populus to Terminal investment was used and useful- and would be incorporated in rates January l, 20L4. Thatrs part of what the Company be1ieved enabled us to develop a rate plan approach that woul-d avoid filing a rate case and necessary costs and commitment of all- of the parties. And the reason that we explored this option with interested parties was because we fel-t thatr ds I mentioned earlier, when we looked at the case drivers and identlfied the costs that would driving the need for a general rate case, we were able to identify either current Commission cases for example, the major case drivers that the Company was 67 2 4 5 6 9 10 11 72 13 t4 15 1,6 L1 18 1,9 20 2l 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD I/iESTON (X) RMP83701 1 2 3 4 5 6 7 I 9 10 11 t2 13 74 15 16 t7 18 l9 20 21 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD WESTON (X) RMP experiencing were from net power costs, the Company has an ECAM mechanism that could deal with that,' a deprecJ-ation study that was pending before the Commission/ so we fel-t like that coul-d be heard before the Commissj-on; and the Populus to Terminal j-nvestment that the Commission had already ruled on. So it was the Company's bel-ief that there were either pending dockets or previous Commission orders that dealt with the major case drivers that we were experiencing, and that we coufd use an alternative approach to address those issues rather than filing a general rate case, whi-ch we had typically done and which we would, for the j-nterest of al-I of the parties and our customers, try to avoid. O. Mr. Weston, I think that went beyond the scope and intent of my questj-on, which is simply that if it were not you needed to file for an extension of a rate plan to obtain your increased revenue requirement, did you not, or you wouldnft have filed anything? A. We needed to address a couple of issues. Namely, the treatment of the, as I mentioned already, the Populus to Terminal- costs were already addressed by Commission order; we had a Commission order for the treatment of the carbon plant c]-osure. But one of the issues that were not addressed was the pending depreciation study before this Commission and how that increase would be addressed, and that was one of the issues that we addressed in this stipulation. 62 83701 1 2 3 4 5 6 1 B 9 10 11 L2 13 L4 15 t6 l1 18 t9 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOTSE, rD wESTON (x) RMP O. Mr. Weston, paragraph referring to Paragraph 4 of the Company's application in this case First, do you have that document with you? A. I do, Lf you give me just a mi-nute here. O. Okay. Sure. COMMISSfONER REDFORD: What page is that? MR. PURDY: Pardon me? COMMISSIONER REDFORD: What page is that? MR. PURDY: Paragraph THE WITNESS: ft's on page 2 of the Company -- MR. PURDY: Paragraph 4, page 2. THE WITNESS: I have that. O. BY MR. PURDY: Do you have that in front of you? A. Yes. O. Okay. You state that, quote, the Company representatives have met j-nformally with the majority of its customer representatives, including Commission Staff, PacifiCorp Idaho Industrial Customers, Idaho Irrigation Pumpers Associatj-on, and Monsanto, to discuss the concepts of a rate plan that could possibly avoid the necessity and associated expenses for all parties of prosecuting a general rate case. Is that right? A. Yes. A. Okay. Was this meeting that you refer to in the application, was that one or more meetings? 63 83701 1 2 3 4 5 6 1 I 9 10 11 72 13 L4 15 1,6 77 1B t9 20 2t 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, ID V,]ESTON (X) RMP A. Those were individual meetings. The Company routinely meets wj-th these parties, and as part of those discussions, we informed them that we were looking at alternatives to a general rate case and asked if they'd be interested in exploring those options. O. Can you tell me if you recal-l- when and where, roughJ-y, did those meetings take place? A. I -- I don't I coul-d say I believe most of those occurred j-n January. O. January of 2073? A. Correct. O. Yes. And you mention to some extent what was discussed during the meetings, which was whether there might be some al-ternative process to obtain rate rel-ief . Was anything else discussed? A. I don't remember what al-l- was discussed in those meetings. O. I'm sorry, I dldn't hear that. A. Sorry. I don't remember the ful-I extent of those discussions of those meetings. I do know, l-ike, PIICT we meet typically meet annually with our major customers and present our business pIan. After we made the business plan presentation, we then notifled them of this option that the Company was considerj-ng and sought input. O. Okay. Would you agree that CAPAI has been a 64 83701 1 2 3 4 5 6 1 B 9 10 11 1,2 13 L4 15 t6 L7 18 19 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOISE, ID WESTON (x) RMP regul-ar j-ntervenor in Rocky Mountain rate case filings for a number of years now? A. Yes. O. Is there some reason why CAPAI was not informed of and invi-ted to participate in these meetings? A. No. We didn't meet with Snake River Al-l-iance or fdaho Conservation League either, and whether that was an oversight on the Company's part or not like I say, we met with our major customers and just to get a feel if that was even an option that the Company shoul-d pursue, but we did not meet with al-l- of the intervening parties. O. So if I understood your answer correctly, there is no particul-ar reason why you did not involve CAPAI i-n those meetings ? A. No. O. And, again, those meetings provided the parties who were or apprised the parties who were invited of the Company's intentions as early as .Tanuary of this year. True? A. Those meetings notlfj-ed those parties that the Company was interested in exploring other al-ternatives, yes. O. Okay. If you would refer again to page 2 of your rebuttal-, this time l-ines 9 through ll, you state Sorry, do you have that? A. .fust a moment. Was that page 2, did you say? O. I said page 2, lines 9 through 11. 55 83701 1 2 3 4 5 6 1 B 9 10 11 L2 13 1,4 15 76 L1 18 19 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 518, REPORTING BOTSE, rD wEsToN (x) RMP A. Okay. Thank you. A. You state that the Company filed the application early enough to provide time for parties to discuss al-ternatives to a general rate case. Is that right? A. Yes. O. And did the dj-scussj-ons that you conducted both -- with the parties both pre- and postfillng of the application ever resuft in any kind of a list of possible and different al-ternatj-ves to a general rate case procedure? A. f -- at the initial settlement discussion ApriJ- 19th, the Company provided a list a list of case drivers and a proposal its proposal- of how to deal- with those issues. O. I understand that the Company provided a list of case drivers. My quest j-on though is was the overal-I outcome of the first settl-ement negotiation to come up with a l-ist of possible rate case al-ternative procedures, or was it to simply just start talking about numbers? A. From the Companyrs I canrt speak for the other parties. Erom the Company's perspective, we presented our proposal. I think it was then up to the other parties if they had proposals of their own or al-ternatives that they woul-d l-ike considered, they could have raised those as part of the discussions and did raise those. Modifications were made to the Company's proposal, and that's how we reached the final 66 83701 1 2 3 4 5 9 10 11 72 13 74 15 t6 t7 18 t9 20 2! 22 23 24 25 6 7 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD WESTON (X) RMP stipulation that was filed with the Commission. O. Modifications pertaining to the substance and the numbers, did it not, as opposed to procedure? A. Again, the Company presented its proposals. The other parti-es had their right and abil-ity to present thelr own proposals to the rate pIan. A. And, finally, with respect to this issue, would you agree that the procedure ul-timately adopted by the parties that led to the stipulati-on now pending before the Commlssion is unique and unprecedented, or has there been a case resulting in a revenue requirement increase simil-ar or identical- to this one before? A. f can't speak to that. I mean, the Commission and members here have got years of experience. They can judge for themsel-ves whether it was unique. I can say on the Company's behalf we l-ooked at each of the issues, felt the majority of those were addressed in other cases already pendi-ng or had been rul-ed upon by the Commission, and that's what we felt enabled us to utilize this approach. O. A11 right. Turning to page 3 of your rebuttal, l-ines I through 10, do you have that? A. Yes. O. Regarding the fact that as you point out, the settlement in this case, quote, means that -- means customers 67 83701 1 2 3 4 5 6 "t 8 9 10 11 T2 13 t4 15 t6 l7 18 19 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOISE, rD WESTON (X) RMP will- enjoy at l-east a three year period between general rate case changes, end quote Is that a fair statement of your testimony? A. Yes. O. Okay. My question to you: Is there any guarantee that the next filing that increases Rocky Mountain's revenue requirement won't al-so be something unique and not in conformity with normal- general rate case procedure? A. f'm not sure I understand your question. I bel-j-eve the Company's conformed to Commission rul-es. We filed a notice and that that application was noticed and -- by the Commission. So I disagree with your generalization that we were not in conformity with Commission ru1es. O. No, I'm asking whether not in this case, Mr. Weston, but whether in the next rate case I bel-ieve you said three years or so down the road is it possJ-ble the Company might ask for an al-ternative process once again? A. f can't speak to that. O. okay. MR. PURDY: Bear with me, Mr. Chair: f'm trying to cut down on my remaining cross. O. BY MR. PURDY: Regarding the disputed discovery request which asked Rocky Mountaj-n to cal-culate the monthly bilI impacts on l-ow-lncome customers of al-ternative rate designs, isn't it true that only the Company has the 68 83701 1 2 3 4 5 6 1 B 9 10 11 t2 13 74 15 1,6 t1 1B 1,9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, fD 83701 wESroN (x) RMP information necessary to make this cal-cul-ation? A. That's correct. O. Thank you. A. But data request procedure is to provide the data and al-l-ow the parties to do the analysis themsel-ves. The difference here in this situation is CAPAI did not reguest the data; they requested that the Company perform the analysis. 0. Are you saying that none of the discovery requests submitted by CAPAI requested data that woul-d be relevant to the analysis requested? A. No, not at all. I'm saying the discovery in dj-spute, Question No. 6, dld not request data; it requested the Company to perform the anal-ys j-s. And that was the reason the dispute. Had CAPAI simply requested the data to perform its own analysis, the Company is more than happy and obl-igated to provide that information. O. But that was the point of my question when I asked you isn't the Company the only party capable of making the and I used the word "cafculation" as opposed to tt ana 1ys i s tt A. No, no. O. of the impact on the monthJ-y bills of Iow-j-ncome customers under their own rate designs? A. No, the Company is not. The Company has the data and is responsible to provide that data,'but as we do with all 69 I 2 3 4 5 6 7 I 9 10 11 t2 13 l4 15 76 l7 1B 19 20 2L 22 23 24 25 HEDF.]CK COURT P. O. BOX 578, REPORTING BOTSE, rD vf,ESTON (X) RMP other parties, we expect the parties to perform their own analysis, not the Company to perform the analysis for them. O. But j-n answering CAPAI's discovery requests, didn't you, first of all, rely upon the l-ow-income proxy group we've discussed earlier, those people receiving some type of, for instance, LIHEAP benefits? A. Yes. O. And then to determlne their consumption, didn't you look at their physical address and the meter readings throughout a year or perj-od of time, and calcu1ate an average for that physical address? A. The Data Request No. 6 requested that the Company calculate different rate design alternatives. As I've responded already, Mr. Purdy, the Company does have that information, has the data that would be necessary to do those calculations, and is obligated to provide that data. But the question did not request the data; it asked the Company to perform the analysis. O. Isn't it true that the analysis or the study whatever word you want to use requested in 6, subpart b, was that analysis was performed by an employee of PacifiCorp by the name of Ms. Joell-e Steward? A. Yes. O. A1l- right. But you're saying that CAPAI coul-d have cal-cul-ated the bill impact of Rocky Mountain' s customers 10 83701 1 2 3 4 5 6 1 B 9 10 11 t2 13 74 15 16 t7 1B t9 20 2! 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BO]SE, fD wESTON (X) RMP based on alternative rate design scenarios? A. Yes. If CAPAI woul-d have requested the usage information -- which the Company had we woul-d have provided that, and CAPAI or any other party coul-d have used that information to develop their own rate design proposals. O. Eina11y, f believe that in your rebuttal- testimony, you reference the fact that the studies, the calculations requested by CAPAI, were provided by PacifiCorp's Washington dj-vj-sion in that division's pending Washington rate case. Is that true? A. f don't believe so. Can you point me to that in my testimony? I think CAPAI pointed out that that information was provided in Washington. I donrt bel-ieve the Company -- O. Yes, if you could just bear with me for a moment, I I 1l- try to f ind that. A. I guess we did. Excuse me, Mr. Purdy. O. Pardon me? A. Excuse me, I did -- on page 3, l-j-nes 22, beginning on l-ines 22, points out that the spreadsheet that was provided 1s simj-lar to the format of the data that have been provided in Washington, you are correct. O. Thank you. Thanks for doing that for me; I appreciate it. Is there a reason why that information coul-d be 1t 83701 supplied in Washington but not in Idaho? A. Yes: Washi-ngton rul-es provide the Company to perform analyses for parties. The Company doesn't believe that those rul-es apply in Idaho. O. I'm sorry, I just didn't hear that. Could you speak l-ouder? A. Yes, sorry. Washington rule statute requires that the Company perform analyses for parties. The Company does not bel-ieve that applies in Idaho. Idaho rules don't require the Company to perform other parties' analyses. O. Can you direct me to which Washington rule you are speaking of? A. I cannotr oo. I've just been advlsed by our counsel that that's the situation. O. AII- right. MR. PURDY: Mr. Chair, that is al-l the cross that I have. Thank you, Mr. Weston. COMMISSIONER REDFORD: Thank you. Mr. Price, did I ask you if you had questions? MR. PRICE: You haven't, but I do not. COMMISSIONER REDEORD: Mr. Budge. MR. BUDGE: No questions. COMMISSIONER REDFORD: Mr. Otto. MR. OTTO: f have no questions. 12 B 9 10 11 t2 13 t4 15 t6 t7 1B !9 20 21, 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 578, BOTSE, rD WESTON (X) RMP83701 1 2 3 4 5 6 1 B 9 10 11 t2 13 L4 15 1,6 L7 18 t9 20 27 22 23 24 25 HEDRICK COURT REPORTTNG P. O. BOX 518, BOTSE, rD WESTON (Di) RMP COMMISSIONER REDFORD: Okay. Mr. Sol-ander. MR. SOLANDER: Just one questJ-on, thank you. RED]RECT EXAMTNATION BY MR. SOLANDER: O. Fol-lowing the conclusion of this general rate case, would the Company be wll-l-ing to work with CAPAI outside of the rate case process to discuss rate price issues or other areas of concern that CAPAI had? A. Certaj-nly, and that was the offer that the Company made initially and that offer still- stands. The Company believes that we may have simil-ar j-nterests. The Company, in its filing back i-n 2010, proposed increases to the customer charge and again in 2071, and the rate design was fu11y vetted in that 201,0 case. But we would definitely be interested. I think there's been issues before this Commission recently that have questioned the current customer charge l-evel, and the Company woul-d be open to exploring those issues with interested parties if they would like to do so. MR. SOLANDER: I have no further questions. COMMISSIONER REDEORD: Thank you. MR. PURDY: Mr. Chair, that incl-uded a questlon that I think brought new informati-on into the mix here. May I 73 83701 1 2 3 4 5 6 't B 9 10 11 12 13 74 15 t6 77 18 1,9 20 2t 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD WESTON (x/Com) RMP just ask one quick foI1ow-up? COMMfSSIONER REDEORD: Go ahead, make it quick. RECROSS-EXAMINAT]ON BY MR. PURDY: A. Mr. Weston, regardless of the Company's willingness to sit down and work with CAPAI to discuss this matter, the fact is that there can be no rate design changes made until- effective January l-st of 201,6. Is that right? A. That's correct. O. Okay. Thank you. COMMISSIONER REDEORD: Any questions from the Commission? COMMISSIONER SMITH: No. COMMISSIONER REDEORD: Commissioner Kjellander. COMMISSIONER K,JELLANDER: No . COMMISSIONER REDFORD: I have a couple of quest j-ons. EXAMTNAT]ON BY COMM]SSIONER REDFORD: O. I believe you said that March 1,2 was the date when the notice and application was filed. fs that correct? 74 83701 1 2 3 4 q' 6 't U 9 10 11 t2 13 L4 15 I6 71 1B t9 20 2L 22 23 24 25 HEDRICK COURT P. O. BOX 518, REPORT]NG BOISE, ID WESTON (x/Com) RMP A. Yes, that was the Commission notice, the Company' s application. O. And do you know when CAPAI intervened? A. I do not. I believe the intervention deadl-ine was the 25Lh of March, but I don't know the specific date. O. But at any rate, CAPAI fil-ed the intervention shortly after March 72th? A. Sometime between then and March 26Lh, y€s. O. Did CAPAI at any time participate at any of the settlement discussions? A. They did, y€s, they were invol-ved. O. And to what extent? I mean, was everything stil-l- open and on the tabl-e at that time? A. Yes. O. Did CAPAI actively participate? A. Yes. O. Okay. Did CAPAI ever do anything by way of calculati-ng what we're now talking about, the numbers? A. I can't speak to that: I don't know what they di_d. O. You provided the information? A. Regarding the data response in Question No. 6, the Company performed the calcu1ation. I don't know if they any additional analysis with the information that was provided, I can't respond to that, but initiall-y the Company provided the 75 83701 1 2 3 4 5 6 1 I 9 10 11 L2 13 14 15 16 L7 18 L9 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 5'7 B , REPORTING BOISE, ID WESTON (X/Com) RMP anal-ysis, yes . O. Do you have any idea of you have stated in your testimony that the alternative procedure is probably Iess costly than a fuII rate case. Is that correct? A. Yes. O. Do you have any idea how much you've saved by doing this alternative rate case? A. That you know, that's hard. f don't, Commissioner. That's hard to calculate. But, you know, hopefully -- We didn't do all- of the pricing rate design. We didn't take time to write and prepare testimony of several- witnesses, other than my own. Typically the Company may have 15 to 20 witnesses that will- have to prepare testimony. The other parties also avoided that same process, and so we bel-ieve that there were signJ-ficant cost savj-ngs because of this approach. COMMISSIONER REDEORD: I have no further questions. As a result of my examinati-on, did any of the parties want to ask another question? Thank you, Mr. Weston. THE WITNESS: Thank you. (The witness left the stand. ) COMMISSIONER REDFORD: Mr. Budge. MR. BUDGE: Chairman, we have no witnesses to 76 83701 1 2 3 4 5 6 7 B 9 10 11 L2 13 74 15 t6 L7 1B 19 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5'78, BOTSE, rD LOBB (Di) Staff present on the matter. We certalnl-y signed the stipulation and do support approval. I have a few minor matters to take up with the Commission regardj-ng the Monsanto contract and Schedule 400, but f'11 do that at the conclusion of proceeding on other matters. COMMISSIONER REDFORD: Mr. Price. MR. PRICE: Commi-ssion Staff cal-l-s Randy Lobb. RANDY LOBB, produced as a witness at the lnstance of the Staff, bei-ng first duly sworn, was examined and testified as follows: DIRECT EXAMINATION BY MR. PRICE: O. Pl-ease state your name. A. My name j-s Randy Lobb. A. And by whom are you employed and in what capacity? A. Irm employed by the Idaho Publ-ic Util-ities Commission. I am the administrator of the util-ities division. 0. And, Mr. Lobb, did you partlcipate in the settlement negotiatj-ons in this case? A. r did. 11 83701 t- 2 3 4 5 6 7 I 9 10 11 t2 13 1,4 15 16 t7 1B 1,9 20 21 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 518, BOTSE, fD LOBB (Dr) Staff O. And did you previously prepare written direct testimony consisting of 1,4 pages with Exhibit 101 attached, and rebuttal testj-mony consisting of eight pages? A. Yes, I did. O. Do you have any additions or corrections to that testimony? A. I have a correction in my direct testimony, page 4, l-ine 13. It says on "March 37, 20L3." That should be "March L, 20L3." O. Do you have anything el-se to add? A. No. O. Okay. MR. PRICE: With that, I would ask that Mr. Lobb' s direct and rebuttal- test j-mony be spread upon the record as if read. COMMISSIONER REDFORD: If there are no objections, it will be so done. (The fol,l-owing prefiled direct and rebuttal- testimony of Mr. Lobb is spread upon the record. ) 18 83701 l_ 2 3 4 5 6 7 I 9 10 11 t2 13 l4 15 15 L7 18 L9 20 2L 22 23 24 25 O. Please state your name and business address for the record. A. My name is Randy Lobb and my business address is 472 West Washington Street, Bolse, Idaho. O. By whom are you employed? A. I am employed by the Idaho Public Utilities Commission as Utilities Division Administrator. O. What is your educational and professional background? A. I received a Bachelor of Science Degree in Agricultural Engineering from the University of Idaho in 1-980 and worked for the Idaho Department of Water Resources from ,June of 1980 to November of L987 . I received my ldaho license as a registered professional Civil Engineer in 1985 and began work at the Idaho Public Utilities Commission in December of L987. My duties at the Commission current,ly include case management and oversight of all technical st.aff assigned to Commlssion filings. I have conducted analysis of utility rate applications, rate design, tariff analysis and customer petitions. I have testified in numerous proceedings before the Commission including cases dealing with rate structure, cost of service, power supply, line extensions, regulatory policy and facillt,y acquisitions. O. What is the purpose of your testimony in this case? CASE NO. PAC-E-13-04 8/1-5/1-3 LOBB, R. (STIP) STAFF 19 1 2 3 4 5 5 7 8 9 10 11 t2 13 l4 15 t6 t7 18 t-9 20 2L 22 23 24 25 A. The purpose of my testimony is to describe the process leading to the filed Stipulation (Proposed Settlement), t,o present the terms of the Stipulation and to explain the rationale for Staff's support. O. will you please summarize your testimony? A. The Settlement Stipulation filed in this case, was negotiated outside of a traditional general rate case filing, yet represents a reasonable alternative to what 1ike1y wouLd have occurred through the traditional ratemaklng process. Staff recognizes the concern expressed by various parties regarding settlement in advance of a Company rate filing but maintains that the limited impact of the settlement ls as close to a non-filing as possible. Moreover, througth broad audit of Company results of operations, review of rate cases filed in other jurisdictions, and thorough discussion and negotiation of limited settlement terms, Staff and other parties to the case agree that the Settlement Stipulation is in the best j-nterest of customers and should be approved by t,he Commission. O. Would you please describe the terms of t,he proposed Stipulation? A. Yes. The Stipulation has five basic provisions. They are: l-. A 0.77* base rate revenue increase effective JanuarY a, 201-4 to reflect previously approved inclusion of the CASE NO. PAC-E-13-04 8/1,6/13 LOBB, R. (STIP) 2 STAFF 80 l- 2 3 4 5 6 7 8 9 10 11 1,2 13 t4 15 L6 L7 18 L9 20 27 22 23 24 25 Populous to Terminal Transmission line, 2. A "Stay Out Provision" whereby the Company isprohibited from filing for a base rate increase before May 31, 2015 and new base rates cannot become effectiveprior to January 1 , 201-6, 3. A Lake Side II ECAM adder beginning ,January L, 2015 toreflect both costs and benefits of the new combi-nedcycle generating p1ant, Deferral, unLil the next general rate case, of changesin depreciation expense to be ultimately approved bythe Commission in Case No. PAC-E-1.3-02, Deferral of Carbon Coal plant depreciation expenses and removal costs based upon Commission Order No. 32701 andan amount to be ultimately decided by the Commission in Case No. PAC-E-L3-02. O. Are there any other terms specified in the Stipulation? A. Yes, there are two oLher terms that primarily affect Monsanto. The first is modi-fication of ECAM methodology, consisLent. with Commission order No. 3277L, to assign cost responsibility to the various customer classes for an interim period. The second is agreement between Monsanto and the Company regarding annual true-up of the interruptible credit within the Electric Service Agreement. The Stipulat.ion is attached as Staff Exhibit No. 101. Hist,ory On January 1-0, 20L2, Lhe Commission issued Order No. 32432 in Case No. PAC-E-a1-l-2 approving a Stipulated Settlement for a two-year rate plan through .fanuary 1, 20L4. The Stipulation prohibited Rocky Mountain Power from filing 4- 5. CASE NO. PAC-E-]-3-04 8/L6/L3 LOBB, R. (ST]P) STAFF B1 1 2 3 4 5 6 7 I 9 l-0 11 t2 13 14 15 L6 L7 18 L9 20 27 22 23 24 25 another rate case until May 31-, 201-3, with new rates not ef f ective prior to .January l, 20l-4 . In February of 2013, Rocky Mountain personnel made an informal proposal to Commission Staff and other parties to extend the multi-year agreement in lieu of another general rate case filing. Staff saw merit in the Company's proposal and suggested that, the Company file a case "to investigate alternatives to a general rate case" so that al-l interested parties would have an opportunity to part,icipate. The Company maj-ntained that if a deal could not be struck, it would file a traditional general rate case application on May 31, 20L3. On March 31, 2013, Rocky Mountain filed a Notice of Intent t,o File a general rate case and an Application requesting t.he Commj-ssion provide notice to part.ies interested in entering into rate plan sett.lement. discussions. O. What was included in the Company's Application? A. The Application consj-sted of two pages that simply requested the Commission open and notice a docket and set an intervention deadline that would formally notify interest,ed parties of Rocky Mountaj-n's intent to engage in settlement discussions. The Company stated that the intent. of the settlement woul-d be to reach agreement on terms that would allow the Company to avoid a general rate case filing in CASE NO. PAC-E-13.04 8/L6/L3 LOBB, R. (STIP) STAFF 82 1 z 3 4 5 6 7 I 9 10 11 L2 13 t4 15 l_6 L7 18 19 20 2t 22 23 24 25 201-3 and extend the existing rate plan for an addiEional period of time. O. How did the case proceed? A. The Commission opened the case and seE an intervent,ion deadline. Six parties intervened lncluding the Idaho Conservation League (ICL), the Snake River Alliance (SRA), the Consumer Action Partnership Association of Idaho (CAPAI), the Idaho Irrigation Pumpers Association (IfPA), Monsanto and PacifiCorp's Idaho Indust,rial Customers (PIIC) . Settlement workshops were held on April L9, 201,3 and May 2, 2013, where all parties participated. Rocky Mountain Power (RMP) made its initial proposal and negotiations ensued. Apart from the issues specifically identified in the Settlement. Stipulation, other issues discussed included the raEemaking process, the perceived lack of information or evidence that justifled provisions of the Settlement, rate design, cost of service and Monsanto contract provj-sions. After review of the general Staff audit and lengthy discussion of alternatives, all parties except CAPAI agreed to settlement terms and signed the Stipulation. Rocky Mountaj-n submitted the document for Commission approval on ,June 3, 201-3 . Staff Evaluation O. How did St.aff evaluate t.he Stipulation to CASE NO. PAC-E-13-04 8/L6/13 LOBB, R. (STIP) 5 STAFF 83 1 2 3 4 5 6 7 I 9 10 t1 L2 13 L4 15 l5 L7 l8 L9 20 2t 22 23 24 25 det,ermine that the terms were reasonable? A. Staff began its evaluation by reviewj-ng the terms proposed in t.he Stipulat,ion. With few exceptions, the expenses proposed for recovery in rates were either already approved by the Commission for future rate recovery or were dependent upon Commission determination in an existing case. For example, the proposed base rate increase of approximately $2 million (0.77?") represents the revenue requirement for the 27* of the Populus to Terminal transmission line approved for rate recovery by the Commission in order No. 32432. The Stipulat,ion also specifies that Rocky Mountain will be allowed to defer as a regulatory asset the difference between current depreciation expenses and new depreciation expenses approved by the Commission in Case No. PAC-E-13-02. The deferred balance, reflecting either an increase or decrease in expenses will be amortized in the next general rate case. Fina11y, the Stipulation specifies accounting and ratemaking treatment for the Carbon coal plant removal costs based primarily on previous or expected Commission Orders. The Commission already approved Carbon removal cost deferral in Order No. 3270L and will specify the appropriate projected removal cost and associated depreciation expense in Case No. PAC-E-L3-02. These are all issues that have been or will be CASE NO. PAC-E-13-04 I /t6 / 1,3 LOBB, R. (STrP) STAFF B4 I z 3 4 5 6 7 8 9 10 11 t2 13 L4 15 l-5 1"7 18 79 20 27 22 23 24 25 decided by the Commission with respect to rate recovery in the next general rate case regardless of the outcome in this case. O. What. issues have not and will not be addressed by the Commission prior to the conclusion of this case? A. Treatment of costs associated with the Lake Side II Combined Cyc1e gas plant currently under construction has not been addressed by the Commission. It is unlikely cost recovery of t.he plant would be futly addressed by the Commission bef ore its scheduled online date of .June 1-, 20]-4 . However, the Stipulation specifies that costs and benefits of the plant will be tracked through the ECAI"I starting January 1, 20L5. A1t.hough the Stipulation specifies that project costs would be included in the ECAM outside of a general rate case, costs would not be included for the first six months of project operation while the benefits would automatj-ca1Iy flow through the ECAftl on the first day of project operation. O. What is the impact on customers of including Lake Side II in the ECAM? A. The actual benefits derived from Lake Side II are difficult to quantify because they will depend upon the price of natural gas as compared to the operating cost of other generation resources. The more Lake Side II operates economically, the more benefits will aut.omatically flow CASE NO. PAC-E-13-04 8/L6/13 LOBB, R. (STIP) STAFF 85 L 2 3 4 5 6 7 8 9 10 1l L2 13 14 15 16 l7 18 19 20 2L 22 23 24 25 t.hrough Ehe ECAM in the f orm of Iower operat.ing costs. CusLomers wilI receive t.hese benefit,s without incurring any project capit,al costs for sj-x months. Starting January L, 20L5, annual capital revenue requirement not to exceed $5.43 million will be added to the ECAM for recovery from Idaho customers. This will allow an equitable tracking of project benefits and cost.s unt.il Lake Side II is permanently placed j-n base rates. ECAM rates reflect.ing Lake Side II capital costs will not be effective unt,il April L, 20L5. O. WilI the Commission have an opportunity Eo review actual proj ect costs for prudency? A. Yes. A fu1l review of project cost,s and justification for the generati.ng plant will be conducted as part, of t,he Company's nexE general raLe case. Up to a year of actual plant operation will also be available to assess t.he value of the plant to Idaho customers. Any subsequent adjustment in cost recovery can be included as an offset to costs previously tracked through the ECAM. O. What is t,he effect, of changes to ECAI,I cosL allocation methodology? A. The changes result in a slight, shift of ECAM cost responsibiliEy from Monsant.o and Agrium to other cusEomer classes. The modification results in an approximat,e $90,000 shift in Ehe last six months of 20L3 but becomes a non issue cAsE NO. PAC-E-13-04 8/L6/13 LOBB, R. (STrP) STAFF 86 1 2 3 4 5 5 7 8 9 10 t- t- L2 13 L4 15 15 L7 18 19 20 2t 22 23 24 25 when t.he ECAM deferral is calculated on a t,otal Idaho basis on December l, 2013. The parties agreed t,hat the temporary cost shift was equitable given reduced line losses experienced by these transmission service 1eve1 customers. O. Why did the Staff support changes t.o t,he Monsanto/Rocky Mountain Power Elect.ric Service AgreemenL? A. This Stipulation Lerm resolves a long-standing dispute between t.he Company and Monsanto regardj-ng the annual true-up of t.he interruptible credit and does not impact any other cusLomer class. Consequently, all parties support resolution of this issue. a. VJhat other cost recovery issues are specified by the st.ipulat,ion? A. The only oLher issues specified in the Stipulati-on include t.he stay-out provisions t.hat prohibit t.he Company from filing a general rate case prior to May 31, 20L5 or increasj-ng base rates prior to January 1, 20L6, and how the 0.77* increase will be applied to exist.ing customer rates. Staff maintaj-ns thaL the stay-out provision prohibiting further base rate increases is clearly in t,he best inEerest of customers and that a small uniform increase in revenue requiremenE limit.s the impact on all Company customers. O. Has t,he Company made 2013 rate fi1-ings in other state jurisdictions? CASE NO. PAC-E-13-04 8/L6/L3 LOBB, R. (SrrP) STAFF 87 1 2 3 4 5 6 7 8 9 10 11 t2 13 t4 15 t6 L'7 18 19 20 2l 22 23 24 25 A. Yes, the Company has pending rate cases in Oregon and Washington requesting increases of 4.62 and 14.1? respect,ively. A. Did Staff conduct an audit of Company results of operations to determine if settlement was a reasonable alternative to a general rate case in Idaho? A. Yes. Staf f spent two days at Company headquart.ers and multiple days in Boise reviewj-ng results of operations for the twelve months ended December 2A12. Potential proforma adjustments were also eval-uatred. Staff audited the results of operations and records to determine reasonableness, identify pot.ent.ial issues and evaluate the magnitude of potent.ial adjustment,s. The resufts of operaLions indicat.e the Company was preparing the General Rate Case with an Idaho revenue requirement j-ncrease that could be greaEer than $15 Million. GeneraL rate case issues and potential adjustments ident.ified by Staff include E,he following: plant in service changes, depreciation and amortizatj-on expenses, property t,axes, net power supply costs, labor increases, pension cost,s, outside services, injuries and damages, operation and mainLenance expenses, income t,axes with the impact from bonus depreciatj-on, memberships, subscriptions, donations, SO2 emission allowance sales, allocation of renewable energy credits (REC) and the sale of RECs. cAsE NO. PAC-E-13-04 8/t5/L3 LOBB, R. (STIP) IO STAFF BB 1 z 3 4 5 5 7 I 9 10 l-1 L2 13 L4 15 15 t1 l8 19 20 27 22 23 24 25 Based on its audit., Staff determined that even wit.h t,ypical rate case adjustments similar to t.he St,aff position in the IasE few cases, the resulting Idaho revenue requirement would be greater t,han the approximate $2 MilIion (0.77* ) increase proposed in the sett.lement discussions to be effective ,January 1, 201-4. Staff also verified the revenue requj-rement associated wiLh Ehe inclusion of the remaj-ning 272 of the Populus to Terminal transmission line investmenL and eval-uat.ed the ECAM adder associated with Lake Side II. General Coneerng A. Do you have any concerns aboutr stipulated base rate increase without a filing from the Company? cAsE NO. PAC-E-13-04 8/16/L3 A. The lack of a Company filing that proposes and justifies an increase in rates is certainLy a consideration in deciding whether Eo accept the Stipulated Set.t.Iement. A formal raLe case filing can be more transparent and provide more Eime Lo address a broader range of issues. St,aff ultimately determined that. while a more formal filing could have provided more information upfront for parties Lo evaluate, it likely would have included a proposal and justification for a much }arger increase. The tradeoff in this case is to forgo the t.raditional rate filing as a condition for obEaining a Iimited increase wit.h rate accepting a general rate case LOBB, R. (STIP) 11 STAFF 89 1 2 3 4 5 6 7 8 9 L0 11 L2 13 l4 15 15 L7 18 19 20 21 22 23 24 25 stability over t.ime. The fact that a traditional filing has not. been made has not prevented the St.aff from auditing and evaluating just.ificat.ion for the increase. As previously indicated, t.he impact of the Sett,lement, is quite limited with straight forward justification. Staff believes that other seLtlement terms are similarly strai-ght forward, have limited or no impact through the rate plan period and would like1y be justified through the tradiLional rate filing process anyway. Finally, Staff sees value for both the Company and it,s ratepayers in avoiding cost.ly rate proceedings if reasonable alt.ernatives are avaj.lable. UItimately, Staf f believes t.hat, Ehe process and the associated sett.lement resufLs is a better deal for all customers in this case. 0. Do you have any concerns that important, issues such as class cosL of service and rat,e design are not addressed in this case? A. I have some concern that cosL allocation among the classes can become less accurat,e over time. Likewise, conditions can change that, justify a fresh look at rate structure. However, these issues were considered and addressed in the last general rate case, Case No. PAC-E-L1-12. In t.hat case, t.he Company-proposed class cost of service study was used as t.he basis for making a 50? move cAsE NO. PAC-E-r3-04 8/1-6/L3 LOBB, R. (STrP) STAFF 90 L2 1 2 3 4 5 5 7 I 9 10 11 L2 13 L4 15 15 L1 18 19 20 21 22 23 24 25 toward cost of service over the two-year rate period (20L2- 2013). Rate structure was also modified to move demand charges closer to cost of service while uniformly increasing energy charges and maintaining customer charges aE current l-eve1s. St.aff does not believe t,hat conditions have changed enough since the last rate case to require modification in this case in Lhese areas. This is particularly true when addressing these issues could mean rejecting a favorable rate seLtlement or eausi-ng significant rate impacts for a select group of cusLomers when litt1e impact occurs as a result of the Settlement. Consequently, Staff supports a uniform revenue requirement increase for all customer classes and a uniform increase in only the energy component of rates. Sunmary a. Could you please summarize Staff's view of the rate case process and resulting Settlement? A. Yes. Given the relatively sma1I size of the rate increase and llmited nature of Set,tlement E,erms, Staff maintains that the process used in this case is a reasonabl-e alternative to a traditional rate case filing. The Lerms of the Settlement have limited rate impact and primarily address cost. recovery for iLems previously approved or wilI be decided by the Commission in separate proceedings. The cAsE NO. PAC-E-13-04 8/16/L3 LOBB, R. (STrP) t3 STAFF 91 1 2 3 4 5 5 7 8 9 10 11 L2 13 t4 15 15 L7 18 19 20 2l 22 23 24 25 agreement provides rate st.ability through January of 20L6 and was signed by all parties to the case except. CAPAI. St,aff believes t,he Sett.Iement Stipulation is j.n the public int,erest and should be approved by the Commission. O. Does that conclude your testimony? A. Yes it does. cAsE NO. PAC-E-13-04 I / 1,6 /t3 LOBB, R. (STrP) STAFF L4 92 1 2 3 4 5 6 7 8 9 10 l- l- t2 13 L4 l5 l-5 L7 18 l-9 20 27 22 23 24 25 O. Please state your name and business address for the record. A. My name is Randy Lobb and my business address is 472 West Washington Street, Boise, Idaho. O. Are you the same Randy Lobb who previously submitted testimony in this proceeding? A. Yes f am. O. What is the purpose of your rebuttal testimony in t.his proceeding? A. The purpose of my rebuttal testimony is to address issues raised in the direct. testimony of Christina Zamora on behalf of the Community Action Partnership Association of rdaho (CAPAI) . O. Would you please summarize your testimony? A. Yes. Through the tesE,imony of Ms. Zamora, CAPAf unfairly blames historic rate case processing and specifically the processing of this case for its failure to prevail on issues of interest or to obtain requested information to fu1ly vet its issues. SEaff believes CAPAI had numerous opportunities in recent general rate cases, whether fu1Iy litigated or settled, to inform the terms of the settlement or make its case directly to the Commissj-oners at. hearing. In this case, Staff maintains that CAPAI had more than enough Eime to obtain the information it, needed to address its issues. Whj-le not support,ing a rate sL,ructure cAsE NO. PAC-E-13-04 8/30/L3 LOBB, R. (Reb) 1 STAFF 93 I 2 3 4 5 6 7 8 9 10 11 L2 13 L4 15 L6 L7 l_8 19 20 2L 22 23 24 25 change in this case, SEaff is willing to work with CAPAI to evaluate low income rate issues and recommend adjustments that will benefit low income customers. However, St,aff believes that the processing of this case, given Ehe circumstances, is in the best interest of all customers and did not disadvant.age CAPAI. O. On page 6 of her testi-mony, Ms. Zamora states that St,aff typically schedules settlement negotiations in every case soon after t.he ease is filed and does so wit.hout ever contacting CAPAI. Is this true? A. Absolut.ely not. Staff does not unilaterally schedule seLtlement negotiations. General rate case schedules, including seE,tlemenL dates if any, are established by all parties at a prehearing conference after the intervenLion deadline has passed. CAPAI has intervened in numerous general rate cases and participated in all scheduling conferences . O. On page 7 of her t.estimony, Ms. Zamora talks about, typical rate cases since 2OLl and how the Staff engages in meetings wit.h ut,ilities before a filing. She then explains that there is typically a very abbreviated course of discovery between Staff, the utility and possibly a large industrial special contract customer and then the scheduling of settlement conferences. Is she correct? A. No, not at aII. Staff rarely meets with the cAsE NO. PAC-E-13-04 8/30/L3 LOBB, R. (Reb) 2 STAFF 94 1 2 3 4 5 5 7 8 9 10 11 t2 13 L4 I5 L6 L7 18 19 20 2L 22 23 24 25 Company t,o discuss the contents of a rate case before the utiliEy makes a filing. However, Staff works with utilities every day on a variety of issues so we are keenly aware of what will likely be included in a rate fiting. Staff has also processed numerous general rate case filings from all of the ut.ilities over the last few years and has a detailed understanding of cost drivers and issues. Wit,h respect to abbreviated course of discovery, Ms. Zamora is simply wrong. The Commissj.on Staff has processed four elect,ric utility general ratse cases since 2011. During t.hat time period, Staf f processed t.wo Avista cases and one each for Idaho Power and PacifiCorp. The average discovery period in t.hose cases was 3.5 months and Staff asked an average of 191 discovery requests. Additionally, numerous other discovery requests were asked by other parties to the ease. For the ten rate cases processed since 2OO8, the average time allotted for discovery was approximately four months where Staff asked an average of L47 discovery requests. CAPAI was a party in all of these cases. O. On page 8 of her testimony, Ms. Zamora complains that since 2OLL Staff has settled rate cases before prefile is due and before CAPAI has a chance to prepare? How do you respond? A. I can't respond to CAPAI's inability to prepare in the timeframe provided. However, Ehe maximum timeframe for CASE NO. PAC-E-13-04 8/30/13 LOBB, R. (Reb) STAFF 95 1 2 3 4 5 6 7 8 9 10 11 L2 13 t4 15 15 1-7 18 19 20 2L 22 23 24 25 processing rate cases is set by statute and all available time is used by E,he parties in sett,ing the case schedule. Staff generally believes that there is an advantage for ratepayers if settlement occurs prior to the parties prefiling direct testimony. Once testimony is filed, the ut.iliEy has a better understanding of how strong or weak party posiEions may be and may be less j-nclined to reduce it.s revenue requirement request than it woul-d have been prior Lo filing. In other words, the parties can often present, a beLter case in set.tlement, negotiations than can actually be defended in prefiled direct, testimony. However, attempting to setEle a ease before non utility parties file dlrect testimony does not mean the period for discovery is significant.ly shorter or case review is less rigorous. fn Case No. PAC-E-1L-i-2, Lhe first settlemenE conference was held three months after the Company filed its Application, and the Settlement Stipulation was filed with the Commission thirteen days before original prefile was due. O. On page 10 of her t,estimony, Ms. Zamora claims that. in numerous cases CAPAI is inst.ructed by Staff that CAPAI's issues are of no relevance to them in t,he seEtlement process, which results in CAPAI being shut out and marginalized. Do you agree that this is the case? A. No, I do not. CAPAI Eypically presents two main cAsE NO. PAC-E-l-3-04 8/30/L3 LOBB, R. (neb) STAFF 96 L 2 3 4 5 6 7 8 9 10 1I L2 13 14 l-5 15 l7 L8 19 20 2t 22 23 24 25 issues in general rate case proceedings. Those issues are funding levels for the Low Income WeatherizaEion program and t,he impact of rate structrure on low income customers. Staff has worked very closely with CAPAI on both of these issues to understand what CAPAI hopes to achieve and how its positions might be justified. Moreover, CAPAI is always given the opportunity to address these issues before the Commission. fn the fully litigated PaciflCorp rate Case No. PAC-E-1-O-7, CAPAI participated as a party and was able to fu1ly present its positions to the Commission for decision. CAPAf addressed low income weatherization and opposed the Company's proposal to increase the residential customer charge. fn the PacifiCorp general rate Case No. PAC-E-71--1-2, CAPAI decLined to enter into sett,lement and instead filed testimony with the Commission regarding concern over the settlement. process and the need to increase 1ow income weatherization funding. These issues were presented at hearj-ng and heard by the Commission. Although CAPAI did not support the Stipulation, it found posiEive value in preserving the fj-ve dolIar monthly residential customer charge. In other cases such as IPC-E-11-08 and AVU-E-1L-01, CAPAI's issues were eit.her heard by the Commission at hearing or incorporaEed in the SeEt,lement Stipulation. In all of CASE NO. PAC-E-13-04 8/30/L3 LOBB, R. (Reb) STAFF 91 I 2 3 4 5 6 7 8 9 10 11 L2 13 L4 l-5 15 L7 18 19 20 2L 22 23 24 25 Ehese cases, CAPAI had the opportunity to shape the settlement or, alternatively, present its case directly t,o the Commission. O. CAPAI witness Zamora complains in testimony from pages 15 through 20 about the processing of this case and t.he Iack of response from Rocky Mountaj-n in answering production requests. Could you please provide your perspective on case processing and responses to production requesEs? A. Yes. As I previously explained in my direct t.estimony, settlement was achieved in this case without a traditional Company rate filing by virtue of the straight f orward settlement terms. All- of the set,tlement terms have been previously approved by the Commission, are in the process of being determined by t.he Commission or will be subject to review by E.he Commission in the fuLure. Staff and all other signatory parties agree t,hat the settlement is a reasonable alt.ernative to a general rate case filing. f have described the chronology of this case in my direct testimony so I will not repeat it here. I do want to point out that the time period between the Company's Application to open the case and CAPAf's Motion to Compel discovery was five mont,hs, from March 1, 20L3 to ,Ju1y 30, 20l.3. On page L9 of her direct testimony, Ms. Zamora asks if Staff took a position in the discovery dispute. No cAsE NO. PAC-E-13-04 8/30/L3 LOBB, R. (Reb) STAFF 9B I 2 3 4 5 6 7 8 9 10 11 L2 t_3 14 15 16 l7 18 19 20 2t 22 23 24 25 discovery request, from CAPAI to Rocky Mount.ain was ever filed with the Commission. IL cannot be found in any case file or in any e-maiI to Commission Staff. To date, I have not seen the discovery request. I did receive an e-mail on May 31, 201-3 from CAPAf's attorney stating that. Rocky Mountain refused to respond t,o CAPAI's production requesE so CAPAf would not sign the Settlement. Two months Iater, CAPAI filed its Motion to Compel. a. In your view, did t.he processing of t,his case prevent CAPAI from fuI1 participatj-on? A. f do not believe that it did. CAPAI had three months to ask, and even compel discovery if necessary, before the Set,tlement was fiIed. CAPAI had an additional two months after the Settlement to obtain discovery, prepare testimony, etc. CAPAI's traditional issue of Low fncome Weatherization funding was not rea1ly addressed by CAPAI. The only issue raised by CAPAf was rate design. It is likely CAPAI would have been provided even less time to request, receive and analyze rate informat,ion if the Company had made a traditional rate filing. Regardless of the rate chang'e recommendations CAPAI might have proposed, changing rate sLrucLure in this case or a t.raditional case can cause substantial increases for some customers even when t,he proposed overall increase is sma1l. O. Wou1d Staff be willing to sit down with CAPAI to cAsE NO. PAC-E- l_3 - 04 8/30/L3 LOBB, R. (Reb) STAFF 99 I 2 3 4 5 6 7 8 9 10 l_1 12 13 L4 15 15 t7 18 19 20 2L 22 23 24 25 analyze the various residential rate structures to determine impact on low income customers? A. Yes. St,aff worked with CAPAI recently on collecting and analyzing relevant customer data from Avista and is willing to do the same with data provided by Rocky Mountain and Idaho Power. Ms. Zamora states on page 11 of her testimony that CAPAI is the only low income residential advocate. However, Staff advocates for Iow income customers by limiting overall rate increases and balancing rate design for the overall benefit of all 1ow i-ncome customers. O. Does that conclude your rebuttal testimony in this case? A.Yes it does. CASE NO. PAC-E-]-3-04 8/30/L3 LOBB, R. (Reb) STAFF 100 1 2 3 4 5 6 7 I 9 10 11 L2 13 t4 15 t6 l7 1B t9 20 27 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORT]NG BOISE, ID LOBB (X) Staff (The following proceedings were had in open hearing. ) MR. PRICE: I tender this witness for cros s-examinat ion . COMMISSIONER REDFORD: Thank you. Mr. Solander. MR. SOLANDER: No questions. COMMISSIONER REDFORD: Thank you. Mr. Budge. MR. BUDGE: No questions. COMMISSIONER REDFORD: Mr. Purdy. MR. PURDY: Thank you. CROSS_EXAM]NATION BY MR. PURDY: O. Good morning, Mr. Lobb. A. Good morning. O. If you could direct your attention to page 2 of your direct testimony, specifically, l-ines 6 through B, you state that this requested rate j-ncrease was negrotJ-ated, quote, outside of a traditional- general rate case filing, end quote. Is that fair? A. Thatrs what my testimony says, y€s. O. Just based on your extensive tenure and experience here, would you agree that the procedure adopted in 101 83701 1 2 5 6 7 I 9 10 11 12 13 74 15 t6 77 1B 79 20 2L 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 578, BOTSE, rD LOBB (X) Staff this case is unprecedented? A. I woul-dn't say it's unprecedented. We have had a similar sort of situation in the past with Idaho Power where settl-ement negotiations were undertaken prior to the filing of a general rate case. O. Can you refer me to a case number or a date when that A. I donrt have that off the top of my head. Itrs captloned under the use of deferred tax credits, the use of deferred tax credits. It was a combination of use of PCA reduction -- power cost adjustment reduction and the use of deferred tax credits to forgo a general rate filing, and there were many parties that participated in that negotiation. And it resulted in base rate increases for power supply, but there was never a general rate case filed by Idaho Power. O. Okay. No notice of intent was fil-ed in that case ? A. A notj-ce of intent was filed in that case by Idaho Power. O. It just never went to a rate case? A. Yeah, there was never a traditional- rate case filing. O. Okay. Anything el-se? A. No. Other than that, this is unique. O. I'm golng to refer now to your rebuttal L02 83701 1 2 3 4 trJ 6 1 B 9 10 11 L2 13 t4 15 1,6 L1 18 19 20 2t 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 5'78, BOTSE, rD LOBB (x) Staff testimony. And, generally, in your rebuttal you challenge Ms. Zamora's testi-mony that either recent general rate cases or this one j-n particular result in an expedited procedure. fs that your positlon? A. Could you show me O. Well A. or cj-te it specifically? O. We1l, just generally speaki-ng let me rephrase that you take exception with Ms. Zamora's contentj-on that this case necessarily resuJ-ts in an expedited process; that it woul-d be roughly the same if we were to go to general rate case ? A. Yes, generally speaking, y€s. O. Okay. And the I believe, as Mj-ster Commissioner Redford pointed out, the notice of applicati-on was filed on March L2th in this case. Correct? A. Thatrs correct. O. A11 right. And for parties who are otherwi-se unaware of a filing, the notice of application is perhaps the first time that that party might be aware of the fiting? A. Thatrs true. O. Is that a possibility? A. Yes. O. So that's a rel-evant date to work with as we tal-k about the various times here? 103 83701 1 2 3 4 5 6 1 I 9 10 11 L2 13 t4 15 1,6 l7 18 1,9 20 2t 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOISE, TD LOBB (X) Staff A. Sure. I'11 agree with that. 0. Okay. And, agaJ-n, fol-l-owing up on questions I asked Mr. Weston, I know that -- well-, did the Company, before i-t fil-ed its case, contact Staff or the other way around? A. The Company indicated to Staff that they were pursuing an al-ternative to filing. They were going to they planned to file a general rate case on May 31, 201,3, but they had been looking at options or alternatives to doing that. O. Did you inquire as to why other parties such as CAPAI were not involved in those di-scussions? A. We speak with the Company all the time on a varJ-ety of issues and I think they raised this j-n the context of another meeting on another issue, and we weren't reaIIy sure what type of contact at that tlme originally that they had had with other parties with regard to their the fact that they were thinking about an al-ternative to a general- rate filing. O. Did you hear Mr. Weston testify earlier that these meetings or phone ca11s commenced sometime in January of this year? A. I heard his testimony in that regard. O. Yes. Assuming that a party l-earns of what the Company j-ntends to file a month or two before other parties l-earn of that, doesn't it give those parties who had prior knowledge additional- time to prepare their case and to prepare for the first sett]ement conference conducted in that case? 104 83701 1 2 3 4 ( 6 1 B 9 10 11 t2 13 t4 15 76 l1 1B 1,9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD LOBB (X) Staff A. Well, the Company never made any indication of when they wou1d make the f iling or whether they woul-d at all. I think my impression at the time was the Company was just bouncing thei-r idea off the Staff as to whether that's something that the Staff woufd think would be possible at al-I. So we didn't start analyzlng or assessing or looking at any particular aspect of the issues the Company was looking at at that time; we didn't start that until they actually made a filing O. Okay. If you need a reference, again, this i-s your rebuttal-, page L, l-ine 25, and then it spil1s over onto page 2, but it refers to your statement that Staff is willing to work with CAPAI to eval-uate l-ow j-ncome rate design issues and to recommend adjustments possibly that might benefit l-ow-income customers. Is that true? A. Sure. Yeah. 0. you tell- us A. Could you explain what you mean by this or coul-d how this process would take place? Wel-l-, w€ did not have the information in this particular case with regard to what the Company -- what CAPAI had actually asked the Company, it wasn't part of our case fil-e, but we did have informatlon 1n the Avista case. And we l-ooked at that i-nformation. It was with regard to the number of 1ow-i-ncome customers that were above the average in e1ectrical consumption al-l--el-ectric customers, if you 105 83701 1 2 3 4 5 6 't B 9 10 11 l2 13 14 15 76 L7 18 79 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 518, REPORTING BOTSE, rD LOBB (X) Staff will and the number of low-income customers that were dual- fuel and bel-ow the average, and whether or not a rate design might be better suited for a change in rate design might be better suited. We came to no conclusions but we looked at that close1y, and we had a lot of Staff on the Avista case and we worked with CAPAI in that particular case to eva1uate what we might do. But I don't think there was any concfusions drawn as to what type of rate design would benefit one group of l-ow-j-ncome customers and not negatively impact the other group of l-ow-income customers. O. Did you draw any concl-usj-ons as to whether low-income customers were relatively high or 1ow users or average compared to their nonlow-income residential counterparts ? A. Well, Ry understanding is that there was disputes as to how or at l-east not necessarily fuII agreement as to how the l-ow-income customers were tal-Iied. Applications for LIHEAP were used in some cases to determi-ne what customers are low income because the companj-es don't generally have l-ow j-ncome information for their customers. And the Avlsta data showed that 60 percent of l-ow-income customers were above the average or used were all-electric, and 40 percent of low-income customers were be1ow the average or dual- fuel. So what that says is you could maybe, if you increased customer charges, you could benefit 60 percent of the 106 83701 1 2 3 4 5 6 1 I 9 10 11 L2 13 74 15 \6 L1 18 19 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORT]NG BOISE, ID LOBB (X) Staff customers, perhaps, depending upon where they were and what usage level-s they were at. And 40 percent of the customers would be negatively impacted -- these are low-income customers -- would be negatively impacted by an increase in customer charges. And that was in the context of the Avista case. And so it was unclear whether we wanted to do that. Historically, CAPAI and the Commission have been in agreement that we don't increase customer charges, w€ keep those as l-ow as possj-bIe, we l-et customers affect their bill- by reducing their consumption. Certainly, l-ow-income weatherization is targeted for all--el-ectric homes, and we hope that l-ow-income customers can take advantage of that and reduce their consumption in that wdy, so 0. Is it possible that the mutual- agreement to keep the monthly customer charge low mlght have been based on an erroneous assumption, which is that l-ow-income customers are lower usersr oD average? A.Wel-I, there's a the low-income customer oL, that is to send the send a conservation. f mean, that's parties have l-ooked for is to an energy charge a l-ittl-e bit lot of reasons I thi-nk to keep the customer charge Iow, and prlce signal for energy always been something that the send that price sj-gnal by keeping higher so that customers conserve energy. There's an economic price sj-gnal. Customers can affect their bill by reducing their consumptlon and if and 107 83701 1 2 3 4 5 6 1 B 9 10 11 t2 13 t4 15 I6 l1 1B 1,9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD LOBB (x) Staff reducing their bill by reducing their consumption. Al-so, there's a lot of fixed-income customers that use a sma11 amount of energy that can't afford to pay higher customer charges. So al-l- of these for all of these reasons, the Staff has supported and I thought CAPAI has and has indicated that in quite a few cases in the past that thj-s is a reasonable goa1. O. That, I'm sorry, what is? A. To keep customer charges low. O. And hasn't CAPAI articulated on numerous occasions, including in this case, that it feel-s that it's operating somewhat in the dark, and that it needs more informatj-on to test its assumptions incl-uding whether it rea11y is in the best interest of l-ow-income customers to keep the customer monthly charge l-ow? A. And I think that's something we shoul-d investigate. Now, in the 11-01 case, Avista provided data that was almost identical to the i-nformation that was provided in the more recent rate case, I think the 72-01- case. I don't know what CAPAI did with that information. Certaj-n1y, you wanted it in this particular case, but I think in this particular case we thought it was much more problematic to change the rate structure given the very limited 108 83701 1 2 3 4 q 6 7 B 9 10 11 t2 13 L4 15 t6 71 1B 19 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD LOBB (X) Staff nature of the i-ncrease overal-I.f mean, if you change rate structure, what is a very l-imited increase for everybody suddenly becomes a very large j-ncrease for one group of customers while you might have a negative increase for others. So we didn't believe that it was necessarily appropriate to look at rate design changes in the context of this case. But we have had opportunities over since 20ll to look at where l-ow-income customers fal1 in the consumption range and whether or not it was appropriate to change rate design, but no proposal has been made by CAPAI for Avj-sta in terms of rate design, not in the 12 the dash-12 case. O. Do you know whether CAPAI has the same type of i-nformation that it's obtained from Avista for Idaho Power? A. I don't know. O. Would you agree with me that CAPAI is stil-l- attempting to obtain this type of information? A. I didn't know that. f assumed that that was perhaps the case, and certai-n1y in my testimony I j-ndicated that the Staff wou1d help CAPAI obtain that information from Tdaho Power as well-. O. Do you agree it would be helpful i-n analyzing and answering some of these questi-ons that have been raised this morning? A. I think it would be useful- to see where Iow-income customers are and whether there's any benefit to 109 83701 1 2 3 4 q, 6 7 8 9 10 11 72 13 t4 15 16 l7 1B L9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5'78, BOTSE, rD LOBB (X) Staff rate structure change. O. On page 3, lines B through 19, of your rebuttal, you challenge some statements made by Ms. Zamora regarding the amount of time CAPAI has to conduct discovery in these cases, in rate cases, ds of late. You calculate an average discovery period of 3.6 months. Could you just briefly explai-n to me how you made that cal-culation? A. It was made with respect to when the Companies made their application to either when the testimony was fil-ed or when the stipulation was filed in each of the general rate CASES. O. I'm sorry, what? A. In each of the general rate cases during the period. O. And in making this calculation, did you take into consideration the lag time between the date that an application is fil-ed and the date a notice of appJ-ication is issued? A. No, everything was the same whether it was a fully-litigated case or a settl-ed case, the basis for comparison was the same. So f didn't subtract that for fulIy-li-tigated cases, and f didn't subtract that 1ag period between application and i-ntervention deadline for any of the cases. O. But there generalJ-y is some degree of 1ag between the filing and the notice of application? 110 83701 I 2 3 4 5 6 1 I 9 10 11 L2 13 L4 15 t6 l7 1B 19 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 518, REPORTING BOISE, ID LOBB (X) Staff A. There can be up to two weeks. Usually an lntervention period is about two weeks Iong. O. And doesn't that shorten the discovery period that you calcul-ated? A. For aII cases, whether they're litigated or not. O. Yes, okay. There was some discussion in your rebuttal, I believe the page reference is page 3,lines 4, and continui-ng on to page 4 -- excuse me. Oh, strike that, please. You discussed in your rebuttal testj-mony that it isn't true that Staff always settles j-ts cases prior to the prefiled dead.l-ine. Is that right? Or do I misunderstand you? A. We have not always settl-ed cases prior to the prefile. O. What about since and including the year 20ll? A. Let's see. We've had four cases. A11 of those cases have been settl-ed prior to prefile. O. There is nothing prohibiting the parties from settling a case after they have prefiled their direct testimony or their direct cases, is there? A. No, and we have done that. O. Okay. And how many of the four rate cases were settled sj-nce 20LL? Did I hear you say all of them? A. A11 of them. O. Okay. And on page 4 of your rebuttal, if I 111 83701 1 2 3 4 5 6 1 I 9 10 11 72 13 1,4 15 76 t7 18 t9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD LOBB (X) Staff understood you correctly, you seemed to be suggesting that there is some advantage for ratepayers to settle a case prior to prefile. Is that a fair statement? A. Yeahr ds I indicated in my testimony, there can be an advantage to negotiating prior to pref11e. Sometimes your case can be stronger in negotiations than it actually turns out to be when you prefile your direct testj-mony. So we have tried to take advantage of that to make the best deal- we can. O. And, in factr ofl page 4, l-ines 9 through LL, you state, and I quote, In other words, the parties can often present a better case in settlement negotiations that can actually be defended in prefil-ed direct testimony. End quote. Right? A. Absolutely. a. Aren't you maklng an assumption, and that is that if you go to hearing, you'11 fair worse than if you settle? A. We always have to make that judgment in every single case. We l-ook at the facts of every single case. We've done a l-ot of cases. We've litigated quite a few cases as well-; we've gone to hearing and we've litigated those. And I don't think the Staff is afone in that position. I think other parties that agree that settlement is reasonabl-e and settlement is reasonable before prefile is an appropriate consideration, and f don't think there is any L12 83701 1 2 3 4 5 6 1 I 9 10 11 72 13 t4 15 t6 L7 1B t9 20 21 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD LOBB (X) Staff disagreement that j-t's possible to make a better deal- in negotiations than you can achieve through litigation. And we have been through litigation, we know what the issues are, it's not the fi-rst time we've addressed them. We have a fairly good idea of what our chances are, and the fact that the Company is going to file rebuttal to our direct case, and it may be more difflcult to achieve an outcome that's superior to a negotiated settlement. O. But it might not as wel-l-? A. Sure. You take your chance. O. Yeah. And at some point, don't you think there j-s val-ue in just finally litigating one of these cases? A. Absolutely, and we have done that. In every single case, w€ consj-der that, whether there is value in fuIIy litigating this case, even though we bel-ieve we might be abl-e to get a better deal through a negotiation. So itrs a consideration i-n every single case. O. Al-1 right. Just as a side note because it just occurred to me, would information that gave the Commissj-on an idea of whether l-ow-income users on average are higher or l-ower than their residential- counterparts might al-so be pertinent to low-j-ncome weatherization funding? A. o. I'm sorry, could you repeat that question? Sure. Okay, let me state it a different way: If, in fact, 1ow-income customers are higher 113 83701 1 2 3 4 5 6 7 B 9 10 11 L2 13 74 15 1,6 1"7 18 t9 20 21, 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOISE, ID LOBB (X) Staff users, oD average, than other residential customers, might the reason for that be that they l-ive in uninsulated or poorly insul-ated housing stock and simply donrt have the resources to make any changes to that housing stock, maybe they don't own, maybe they just don't have the money to buy the weatherizatj-on? A. I think there's al-I manner of reasons why that they may be living in that stock. It may be rural-. They may not be subject I mean, they may be al-1-el-ectric and fairly efficient. The fact is tiered rate structures and energy charges impact more significantly the al-l--e.l-ectric customer than a dual--fuel gas customer, 9ds space heat. So, cIear1y, living in mobile homes or other poor housing stock cause el-ectrical consumption to i-ncrease. O. And those are the customers that cou1d be hardest hit if we keep the monthly customer charge too l-ow. fsn't that right ? A. Any customer that's all-electric and lives in an inefficient home is going to be impacted that way. MR. PURDY: Mr. Chairman, if you bear with me, I think I'm paring down my cross here. O. BY MR. PURDY: There was quite a bit made of the nature of CAPAI's di-scovery and the timing thereof in this case. Woul-d you agree with me that it was generally -- wlthout getting into confidential- settlement information that it was 71,4 83701 1 2 3 4 5 6 1 I 9 10 11 t2 13 L4 15 t6 L't 1B 19 20 2L 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 578, BOTSE, rD LOBB (X) Staff generally agreed that this case woul-d be hand1ed in an informal- basis or manner, and that inc1uded the handling of discovery? Do you recall- that? A. That was never my understanding. I mean, there might have been discussions among CAPAI and the UtiJ-ity. But from the Staff point of vJ-ew, to the extent we had production requests, w€ were going to file them and set response periods. And I think the Irrigation Pumpers Association actually did file discovery that is part of the case fil-e. So it was never my understanding that everythlng would be handled informalJ-y. It was a full-bIown case. That's why we suggested to the Company that they open a case so that it could be handled and al-l- parties coul-d have an opportunity to ask questions and get them answered. O. You testified on page 7, fines 3 through 4, of your rebuttal- that, quote, to date, I have not seen the discovery reguest, end quote, referring to CAPAI's discovery, I assume the dj-scovery in dispute which was 6b. Is that actualJ-y true ? A. ft's not I have not seen it. ft's not part of the case record, the case management file that we have. O. Have you seen it in any other respect, sdy, through an e-mail-? A. I coul-d not find an e-mail- that had -- that was sent to me or and f've tal-ked to other Staff and tried to 115 83701 1 2 3 4 5 6 1 B 9 10 11 t2 13 L4 15 t6 L1 1B L9 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5'78, BOTSE, rD LOBB (X) Staff determine who might have recei-ved that with Staff, and I have not been abl-e to identlfy that. So to the best of my knowledge, we did not recej-ve it in e-mail form. MR. PURDY: Mr. Chalrman, I woul-d l-ike to mark and provide to the witness a cross exhibit if I might be all-owed. COMMISSIONER REDFORD: Fine. MR. PURDY: And I frankly donrt know what our exhibit number sequence is. We haven't otherwise filed exhibits yet in thls case. COMMISSfONER REDFORD: Why don't you go ahead and j ust COMMISSIONER SMITH: ft should be COMMISSIONER REDFORD: -- give us the MR. PRICE: It is 501. COMMISSIONER SMITH: 501. MR. PRICE: If that's the first. MR. PURDY: 501. May I approach? COMMISSIONER REDFORD: Yes. MR. PURDY: Apologize: These are a littl-e rough. My printer was running out of ink this morning. COMMISSIONER REDEORD: We'11 take a break for about seven or eight mi-nutes. (Recess. ) (CAPAI Exhibit No. 501 was marked for LL6 83701 1 2 3 5 6 1 U 9 10 11 12 13 L4 15 t6 1,7 18 t9 20 2L 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 578, BOTSE, fD LOBB (X) Staff identification. ) COMMISSIONER REDFORD: Okay, Iet's go back on the record. Mr. Purdy, you had just issued or given to us Exhibit 501. MR. PURDY: Yes, I was. Thank you, Mr. Chair. O. BY MR. PURDY: Mr. Lobb, Irve handed you what has been marked, I believe, as CAPAI Exhibit 501, and this is simply to see if it serves as a reminder to you whether you ever saw the dlscovery submitted by CAPAI to Rocky Mountain, specifically Discovery Request 6b, which is the one that was in dispute? A. Based on this, I received a an e-mai1 from Ted Weston on .June 1l-th that had -- I guess it has al-l- of the production request and responses included. O. For 6b they are stapled to it, if you note. A. Right. I don't know if that's al-J- the production request responses or O. No. A. there's other questions that were asked. Okay, I just didn't know. O. Okay, that's fine. Thank you. And, fina11y, with respect to dj-scovery, you've indicated that you feel that CAPAI if I may paraphrase sat on its rights and didnrt act tlmely enough with respect to trying to obtain discovery responses from the Company through LL't 83701 1 2 3 4 5 6 7 8 9 10 11 L2 13 t4 15 1,6 L7 18 19 20 2L 22 23 24 25 HEDRICK COURT P. O. BOX 578, REPORTING BOISE, ID LOBB (X) Staff the summer months of this year. Is that a fair paraphrase? A. f think so. It ultimately filed a motion to compel, and that could have been done before the stip was even filed. O. Do you know anything about communications taking place between CAPAI and Rocky Mountai-n that might have been a that might have led CAPAI to the belief that the Company coul-d stil-l- possibly respond? A. No. A11 I know is that CAPAI refused to slgn the stipulation because they didnrt get the information by May 31st. O. If you turn to page I of your rebuttal, lines 15 through l7 , you state that, quote, CAPAI's traditional- issue of LIWA -- low-j-ncome weatherj-zation assistance funding was not realJ-y addressed by CAPAI, end quote, and referring to this case. You continue: The only issue raised by CAPAI was rate design. Just to be clear, isn't it true that with respect to fow-j-ncome weatherization, there is effectively a hol-d -- whether it's temporary or not, we don't know but a hol-d for the time being on any increases to low-income weatherization funding? A. Thatrs correct, generally. O. Okay. That wou1d explai-n why CAPAI didn't raise that issue in thls case, wouldn't it? 118 83701 1 2 3 4 5 6 7 B 9 10 11 L2 13 !4 15 t6 77 1B t9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD LOBB (x) Staff A. That could. O. Yep. If you need a reference, itrs page B, lines B through 10, but I think you'I1 know what f 'm tal-king about. You've often stated that the best thing that Staff can do for l-ow-income customers is to keep rates l-ow. Is that a fair statement? A. Yeah, 1ow-income customers and all customers. A. And all- customers. That segues to my next question: That's to the benefit of all- customers, is it not ? A. What? Pardon me? O. That's to the benefit of all- customers, not just l-ow-income . Correct ? A. Yes. O. But might there in certain instances be things that could be done for low-income customers that would be more significant than keepi-ng rates Iow, such as increasing funding for those customers who are high users because they have poor housing, they are relatlvely priced and can't do anythlng about ir? A. And I think we have low-income weatherization programs and LIHEAP programs for those sorts of customers. Now, can you help those 1ow-income customers whil-e negatively impacting other low-income customers? f'm not tL9 83701 1 2 3 4 5 6 7 B 9 10 11 72 13 t4 15 t6 l1 1B l9 20 2L 22 23 24 25 HEDRTCK COURT REPORTING P. O. BOX 518, BOTSE, fD LOBB (Com) Staff sure that that's a reasonable trade-off. O. Is it your position that all low-income customers who need weatherization have received or are receiving it? A. No. O. Okay. I am very close to done, if I could just look at my notes here. That's all I have. Thank you, Mr. Lobb. MR. PURDY: Thank you, Mr. Chair. COMMISSIONER REDFORD: Thank you. Mr. Otto, have you any questions? MR. OTTO: I have no questions. COMMISSIONER REDEORD: Thank you. And everyone el-se has had an opportunity to cross-examine. Are there any questions by the Commissioners? COMMISSIONER KJELLANDER: NO. COMMISSIONER SMITH: NO. COMMISSIONER REDFORD: I just have a couple questJ-ons. EXAM]NATION BY COMMISSIONER REDFORD: O. March 72 was the filing of the notice and application, and I believe on or about the 25th CAPAI filed for intervention. Is that your understanding? L20 83701 I 2 3 4 5 6 7 B 9 10 11 t2 13 t4 15 L6 71 1B 1,9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD LOBB (Di) Staff A. That would be the correct time frame, y€s. O. After that, did CAPAI fu11y participate in al-l- of the meetings and discussions? A. I believe that they did, all of the settlement meetings, y€s. O. Okay. I have no further questions. MR. PRICE: Coul-d I just have one question on redirect? COMMISSIONER REDFORD: Yes. REDIRECT EXAMTNAT]ON BY MR. PRICE: O. I won't go over I think your testimony is rather comprehensive, but I'd like to ask you there's been a lot of talk about al-ternative procedures and expedited time frames, and f'm just going to ask you to draw upon your vast experJ-ence with the Commission. Do you believe that the Commission Staff had an adequate amount of time and were abl-e to devote the necessary resources towards eval-uating the Company's aLternative rate plan in this case? A. Absolutely. I think we didn't have any other rate cases in-house. We put a Lot of Staff on this. And the fact is, these are very l-imited issues, and we thought that it was the closest thing to a nonfiling. L2t 83701 1 2 3 4 5 6 1 B 9 10 11 72 13 t4 15 t6 11 1B 19 20 2L 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 5'78, BOTSE, f D LOBB (Di) Staff You tal-k about alternatives to filing a general rate case. Wellr we only l-ooked at reaIIy two al-ternatives: One is don't fil-e at aII, that's the alternative; or this. And we believed it was as cl-ose to a nonfil-ing as possible, and, therefore, that the three months that we had before prefile was orr before the settlement was filed was more than suf f i-cient. COMMISSIONER REDFORD: Thank you. MR. PRICE: Thank you. I have nothing further. COMMISSIONER REDEORD: Mr. Purdy, do you want Exhibit No. 501- admitted? MR. PURDY: Yes, please. COMMISSIONER REDEORD: It will be admitted to the record. (CAPAI Exhibit No. 501 was admltted lnto evidence. ) COMMISSIONER REDFORD: Okay, looks l-ike everybody has either cross-examined or testifled except for Mr. Purdy, and you may call your witness. COMMISSIONER SMITH: You're excused. (The witness l-eft the stand. ) MR. PURDY: Thank you, Mr. Chair. CAPAI calls Ms. Christi-na Zamora. 1,22 83701 5 6 1 1 2 3 4 8 9 10 11 \2 13 L4 15 t6 1,7 1B 79 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD ZAMORA (Di) CAPAI CHR]STINA ZAMORA, produced as a witness at the instance of CAPAI, being first duly sworn, was examined and testified as follows: DIRECT EXAMINATION BY MR. PURDY: O. Ms. Zamora, would you please state and spe1I your name for the record? A. My name is Christina Zamora, C-H-R-I-S COMMISSIONER REDEORD: You need to push the button down. THE WITNESS: My name j-s Christina Zamora, C-H-R-T_S-T-I-N_A Z-A_M-O-R-A. A. BY MR. PURDY: And l-ike Mr. Weston you are somewhat soft-spoken, so if you could reaI1y just put that mike right next to your mouth A. Okay. O. that would be helpfuI. Thank you. And are you the same Christina Zamora that has previously prefiled direct testimony in this case consisting of 22 pages of text? A. Yes. A. And you attached an exhibit to that testimony, whj-ch was the motion to compel f il-ed by CAPAI in this case. 123 83701 1 2 3 1 I 9 10 11 1,2 13 L4 15 16 L1 1B L9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5'78, BOTSE, rD ZAMORA (Di) CAPAT Correct? A. Yes. O. But that's been subsequently stricken, just to be c1ear. Are there any corrections to your or additions to your testimony that we need to take care of? A. On page 2t, the question was omitted. The question should read "Pl-ease summarize your testJ-mony." O. Okay. So could you identify on page 27 where you would place that question? A. On line 2. O. So it woul-d qo between the heading of Roman numeraf V, Summary, and then the and then the following sectj-on starting with "The manner in which"? A. That's correct. 0. And so is this then missing a an rrA'r as wel-l- as a 'rQ"? fn other words, there should be an rrA, precedi-ng "The manner in which"? A. Yes. O. Okay. Aside from that, are there any other corrections or additions to your testimony? A. No. No. MR. PURDY: I ask that the prefil-ed testimony of Ms. Christina Zamora be spread upon the record as if read, and tender her for cross. 1,24 83701 1 2 3 4 5 6 7 I 9 10 11 t2 13 t4 15 L6 77 1B 1,9 20 2I 22 23 24 25 COMMISSIONER REDEORD: cranted. (The fol-lowing prefiled direct testimony of Ms. Zamora is spread upon the record. ) L25 ZAMORA (Di) CAPAI HEDRICK COURT REPORTING P. O. BOX 518, BOTSE, rD 83701 1 2 4 5 6 7 6 9 10 11 t2 13 t4 15 15 I7 18 19 20 21, 22 23 24 25 I.INTRODUCTION Please state your name and business address. My name is Christina Zamora. I am the Executive Director of the Community Action Partnership Association of ldaho (CAPAI) headquartered at 5400 W. Franklin, Suite G, Boise, Idaho, 83705. I am testifying on behalf of CAPAI. Please describe CAPAI's organization and the functions it perfbrms relevant to its involvement in this case. CAPAI is an association of ldaho's six Community Action Agencies, the Community Council of Idaho and the Canyon County Organization on Aging (CCOA), Weatherization and Human Services, all dedicated to promoting self'-sufficiency through removing the causes and conditions of poverty in Idaho's communities. What are the Community Action Partnerships or "Agencies?" Comrnunity Action Partnerships ("CAPs") are private, nonprotit organizations that fight poverty. Each CAP has a designated service area. Combining all CAPS, every county in Idaho is served. CAPs design their various programs to meet the unique needs of' communities located within their respective service areas. Not every CAP provides all of the fbllowing services, but all work with low-income people to promote and support increased self-sufficiency. Progrants provided by CAPs include: employr.nerlt preparation and dispatch, education assistance child care, emergency food, senior independence and support, clothing, home weatherization, energy assistance, aftbrdable housing, health care access, and much more. II. SUMMARY Q: Please summarize your testimony in this case? DIRECT TESTIMONY OF CHRISTINA ZAMORA 726 Q: A: Q: A: Q: A: 1 4 5 6 7 B 9 10 11 t2 13 L4 15 16 ),7 18 19 20 2L 22 23 24 25 A:My testimony focuses on significant concerns that CAPAI has regarding the manner in which this case has been processed, and the impact that the procedure employed has had on the outcome embodied in the proposed settlement agreement and the ability of CAPAI to fully and effectively participate in this case as a formal party. Does CAPAI oppose the proposed settlernent stipulation pending before the Commission in this case? Ordinarily, the answer to that question would be much simpler. The fact is that, from a purely technical and financial standpoint, it might well be that the proposed settlement is in the best interests of all ratepayers, including low-income. This standpoint is very limited, however, and might be more than offset by other considerations. The practical aspect to the question and answer, however, is Iar more complex. It is CAPAI's position that the procedure employed in this case is unlawful, detrimental to the public interest, and might well lead to additional procedural transgressions of an equal or greater severity as those included in this proceeding. What is the basis of CAPAI's opposition to the procedure ernployed in this case? There are numerous facts that form the basis for CAPAI's opposition. Because it had reason to believe that this matter might proceed to hearing on procedural grounds, and because those grounds are intertwined with CAPAI's Motion to Compel responses to its discovery requests submitted to Rocky Mountain, CAPAI provicled a very detailed discussion of its proceclural concerns, specifically related to this case, in the Brief in Surpport of Motion to Compel, and related Affidavit of CAPAI's legal counsel, that were submitted to the Commissiorr on Jr,rly 30, 201 3. In order to avoid repetition and avoid engaging in an analysis in my testimony that cornes across rnore like an attorney's legal brief, I adopt by rel'erence and incorporate in my testinlony the albrementioned Brief in Q: A: Q: A: DIRECT TESTIMONY OF CHRISTINA ZAMORA L21 1 1 3 8 9 10 4 5 6 7 11 L2 13 1"4 15 L5 L7 18 19 20 2l 22 23 24 25 Q: A: Support of Motion to Compel brief and Affidavit, a true and correct copy of which attached hercto as Exhibit "A." Did you participate in the preparation of that briet'? Yes I did. Though I obviously worked with legal counsel and do not purport to possess the knowledge of an attorney, I was very involved in drafting, reviewing and editing the brief and have thorough knowledge of what it contains. III. GENERAL NATURE OF RATE CASE PROCEDURAL CHANGES Putting aside CAPAI's concerns about the present case for the moment, does CAPAI have overarching concerns regarding the general trend that the processing ofgeneral rate cases has followed? A: Yes. As this Commission is acutely aware, the frequency with which general rate cases have been filed by Idaho's three largest electric public utilitiesl has increased remarkably in recent years. Please identify what concerns this recent trend causes CAPAI? Thourgh I can only speak for CAPAI, I suspect that the one of the primary concerns of every party involved in any rate case and the Commission itself is that increasingly frequent general rate cases are stretching the parties resources to their limits and made a full and thorough participation in these cases increasingly challenging. This is certainly true for CAPAI whose resources are subject to uncertainty due to changes in f'ederal funding levels which, in recent yeals, have decreased. Q: What has been the eff'ect of this trend on CAPAI? A: Without question, CAPAI has been stretchecl lar beyond its financial, technical and practical abilities to nreaningfully participate in general rate cases. CAPAI is always ' Idaho Power, Avista, and Rocky Mountain Power. DIRECT TESTIMONY OF CHRISTINA ZAMORA I28 Q: Q: A: 1 2 3 4 5 6 7 I 9 10 11 t2 13 14 15 16 L7 18 19 20 2t 22 23 24 25 keenly aware and appreciative of the generosity shown by the Commission with respect to its awards of intervenor funding over the years, but the amount of money available by law as well as the legal requirement that expenses be funded by intervenors up-front, have placed CAPAI's ability to continue its representation of the low-income customers of Idaho's regulated utilities at risk. This case alone, due to the use of resources devoted to compelling Rocky Mountain to respond to discovery in good faith and in accordance with the law, has nearly exhausted CAPAI's resources not just fbr this case but for this financial year and there are likely to other cases of interest to CAPAI yet this year, such as Idaho Power's general rate case. Aside from the financial impact of nearly annual general rate cases, have there been other developments that concern CAPAI? Yes. As the frequency of rate cases has increased, CAPAI has noticed a very obvious and significant transfbrmation in the manner in which these rate cases are being handled procedurally. Are you suggesting that the Commission itself has adopted a dit'ferent general rate case procedure than historically employed? No. To my knowledge, the law regarding the manner in which general rate cases are processed has not been changed and the Comnrission has not formally adopted any policy to implement sLrch changes. I am referring to the manner in which the parties to general rate cases, including the utility in question, are processing rate cases, specifically in an abbreviated tashion and at an expedited pace. Q: Please explain your belief that rate cases are being processed differently as ti'equrency increases. DIRECT TESTIMONY OF CHRISTINA ZAMORA 729 Q: A: Q: A: 1 2 3 4 5 6 7 I 9 10 t1 t2 13 L4 15 16 77 18 19 20 27 22 23 24 25 A:Though my experience in PUC matters is still somewhat limited, it is my understanding Staff typically schedules settlement negotiations in every rate case relatively soon after the case is filed and does so without ever contacting CAPAI to ascertain whether it is prepared to discuss settlement ancl, if so, what dates are available to CAPAI. CAPAI only Iearns of proposed settlement afier receiving notice fiom Staff and the date and time have been set and are generally not subject to rescheduling. How does the foregoing procedure difl'er fiom what has historically been the case? Though I have not been intimately involved in rate case procedure long enough to have a historical perspective, a simple review of recent rate cases on the Commission's website reveals several things. First, settlement discussions have not always taken place in general rate cases and when they have, it has typically been long enough after the initial filing of the utility's application and the issuance of the initial Notices and associated Order by the Comntission to allow all parties the opportunity to thoroughly examine the filing, engage in formal discovery and otherwise communicate with the Company regarding numerous matters relevant to the filing and, in the case of Staft even conduct fairly thorough audits of the Company's books suf ficient to formulate a position on the many issues inherent in any rate case, particularly those involving revenue requirement, rate spread and rate design. Q: How does this cornpare with your understanding of the settlement of rate cases in recent years? A: My understanding is that not only have there been settlement negotiertions in every electric rate case since 201I involving all three majorelectric utilities, br.rt that Staff has settled every one ol'those cases. I do not know the last tinre that Staff chclse to litigate an electric rate case. DIRECT TESTIMONY OF CHRISTINA ZAMORA 13 O Q: A: 2 3 4 5 6 B 9 10 11 t2 13 L4 15 L6 17 18 19 20 2L 23 24 25 A: Q: A: Q: ls there anything inherently wrong with Statf agreeing to most if not all rate case settlements? In any given case, no. But for this to become what feels like a virtual certainty seems to have crossed an important line. Do you know why Staff has settled all such rate cases in the past 2-3 years? Obviously, I do not know all of Stafl's rationale for its choices other than what is stated in testimony supporting a settlement stipulation. I find it difficult not to believe, however, that one reason settlement has beconre a more common occurrence is that the sheer magnitude of rate cases typically pending before this Commission have diminished StatT's ability to apply the norrnal level of scrutiny an analysis to those cases it settles as it historically has. [n sush a scenario, settlement, if it seems to be in the best intercsts of ratepayers in general, becomes more appealing. How would your describe the typical rate case procedure since 201l? First, it seems that by the time a utility actually files its rate case, it has already engaged in meetings and/or other communications with Staff and larger customer class representatives. This is certainly wlrat occurred in this case. While this might enable Staff to be better prepared tbr an expedited processing of a rate case, intervenors such as CAPAI do not have the courtesy of having possession of such information and the time tc analyze it prior to the filing. What typically happens next is a very abbreviated course of discovery between Staff, the utility involved, and possibly larger industrial special contract customers and the scheduling of the f irst of what will likely be 2-3 settlement conferences. Although the case is still relatively yoLurg, Staff and larger, industrial custon'ters are typically prepared at the time of the l'ir:st settlement conference to f'ully DIRECT TESTIMONY OF CHRISTINA ZAMORA 131 Q: A: 1 a 3 4 5 6 7 8 9 10 11 t2 13 \4 15 15 L7 18 19 20 27 22 23 24 25 Q: A: resolve the case. As I've already stated, based on rate cases since 2011, the final is that Staff settles the case, often well before the direct testimony deadline. How would you describe CAPAI's preparedness by the time of the first settlement conference? Cenerally, CAPAI has not even had the opportunity to engage in discovery and is still far from identitying areas of concern and issues, let alone fbrmulated a position on those issues. Why is this? There are numerous reasons including the fact that before it can even intervene in a case before the Conlmission, CAPAI must obtain the necessary approval I'rom its Board of Directors. Because CAPAI is governmentally funded and because there can be strict limitations on how CAPAI utilizes its funds, the assessment of whether it is financially feasible or e ven permissible for CAPAI to intervene in a given case can be sornewhat protracted. Once the process of determining whethe r CAPAI is flnancially capable of intervening in a case is complete and assuming that CAPAI decides to intervene, it then must rely on its legal counsel and the limited time of its Staff to quickly come up to on the issues raised by the rate case filing. Occasionally, but not always, CAPAI has an employee who can participate in the case, bLrt that employee's other obligations generally command the vast majority of their time. CAPAI rarcly has the financial ability to retain an expert witness. By the time that the first settlement conf'erence is conducted in genera rate cases, CAPAI has usually had little to no opportunity to conduct discovery, or has submitted requests which have not yet been responded to. Thus, CAPAI is still engaged in the process of issue identification and a risk/rewarcl analysis of pursuing any given ob.iective. Sr"rffice it to sny, CAPAI is very far fronr being able to negotiate er settlement Q: A: DIRECT TESTIMONY OF CHRISTINA ZAMORA 732 4 5 6 1 2 3 7 I 9 10 11 t2 13 t4 15 16 L't 18 19 20 2L 22 23 24 25 Q: A: Q: A: of CAPAI's issues and positions that haven't even been identified or created at the that Staff schedules the first settlement negotiations. Doesn't the 60 day Notice of Intent period enable CAPAI to perform the requisite tasks you've just outlined'? Only to an extent. A full assessment of the viability of intervention cannot be conducted until CAPAI has seen the rate case Application to determine whether the interests of low- income customers justify intervention in a rate case. Without revealing anything of substance that occurs during confidential settlement discussions, can you describe the general tone of settlement negotiations? The general tone in all settlement negotiations is that the utility in question seems highly motivated to settle the case in its entirety as qurickly as possible and with all parties signatory to the settlement stipulation that results from the negotiations. The quid pro quofor this is often that the utility will nrake certain concessions so long as the parties wrtrp the settlement up and do so very quickly. Q: ls there anything inherently wrong with a rapid resolution of differences between parties to a rate case? A: In a vacuum, no. But that assumes that all parties have had ample opportunity to fully assess their respective issues and positions and made a decision as to whether settlement as proposed is in their best intelests. It also assumes that all parties, including CAPAI, have been given rcasonable responses to discovery, kept in the loop on case developments, and had the attention of Cornmission Staff that other parties have come to expect. Q: If CAPAI is unprepared fbr settlement negotiations as you describe, place during the first cliscussions? DIRECT TESTIMONY OF CHRISTINA ZAMORA 133 what generally takes 1 2 3 4 5 6 7 I 9 10 11 1"2 1l 14 15 16 L7 18 19 20 2L 22 24 25 A: CAPAI does its best to identify the major issues it can identify and to bring those issues to the attention of the other parties. Q: Have there been problems in this regard? A; Absolutely. In numerous cases, CAPAI has raised issues of interest or concern during settlement only to be instructed by Statf and/or the utility that CAPAI's issues are of no relevance to them and will not even be mentioned in the settlement stipulation nor addressed during the settlement. When this occurs, CAPAI can either simply stand up and walk out on the negotiations, or insist on stating its issues and positions on those issues to a typically mute crowd. This is not to say that all other parties to all rate cases do not occasionally support CAPAI and its positions. But it is fair to say that if the utility, StafTand the utility's most heavily financed custorner groups are all in agrcement, nottring ot value will Iikely be accomplished during settlement. This marginalization is very effective at isolating and shutting oLrt a party such as CAPAI, but cloes not constitute a good faith attempt to address issues of concern to all parties. Regardless of whether this is a violation of any rule or law, it seems counter-produrctive to the concept of settlement negotiations. Q: Are you familiar with the three general rate cases that took place in 201I involving Idaho Power, Avista and Rocky Mountain? A: To a linrited extent, yes. Q: What is your knowleclge of those cases? A: My responsibilities in 20ll inclurded workirrg on the various low-income weatherization programs so I was well aware that funding and program design issues were at stake during the 201 I cases. Although the Avista case settled with CAPAI.ioining in that settlement, CAPAI was the only party to not.join in the other two cases which ultimately DIRECT TESTIMONY OF CHRISTINA ZAMORA 134 10 4 5 6 1 2 3 7 8 9 10 11 L2 13 L4 t-5 16 17 1B 19 20 2l 22 23 24 O25 Q: A: went to hearing on the low-incclme issues. In addition, CAPAI also raised an issue of importance whether the authorized rates of return of Idaho Power and Rocky Mountain might be excessive given increasing cost recovery ancl other mechanisms that stabilize a utility's earnings and make them more predictable. What was the general outcome of those cases? The Conrmission took no action regarding CAPAI's position on rate of return and, in terms of low-income weatherization funding and program design, essentially segregated that issue out and spun it off into a protracted workshop process in Case No. GNR-E-12- 0l (the "low-income workshop case"). The Commission otherwise ruled against CAPAI ir.r the 201 I cases. What was the result of the low-income workshop case? On April 12,2013, the Commission issued Order No. 32788 effectively freezing low- incomc weatherization tunding levels for several years. I'he future existence of those prcgranls remains in doubt. Q: In your mind, did the 201 I and workshop case rulings render CAPAI's involvement in PUC cases pointless? A: Obviously not, as evidenced by CAPAI's involvement in this case. Q: What are the issues or concerns that maintain the importance to CAPAI of participation in PUC proceedings? A: First, it should not be overlooked that the residential class of every electric utility is its largest in terms of customers ancl revenues generated. CAPAI is the only low-income residential advocate and while CAPAI cloes not claim to represent the interests of the entire rrsidential class, many of those customers are low-income or in danger o1' becoming so. Furthermore, it isn't unusual lor low-income interests to be relevant to and DIRECT TESTIMONY OF CHRISTINA ZAMORA 1 3 5 11 Q: A: 1 2 3 4 5 6 1 8 9 10 11 1,2 13 t7 18 19 20 2l 22 ,? 24 25 l4 15 16 Q: A: simpatico with residential issues on the whole. Helping low-income customers be more tirnely in paying their bills, reducing their arrearages, or keeping them connected to the system as customers has benefits to the residential class and all ratepayers in general. Is low-income weatherization the only issue raised by CAPAI over the past decade or longer? Low-income weatherization is not the only issue CAPAI has brought to the Commission's attention over the years. One example of an area of issues still impomant to CAPAI and relevant to all residential customers in PUC proceedings is rate design. Beginning with Avista's2Ol2 general rate case (Case No. AVU-E-12-08), CAPAI adopted a new strategy to its long-standing attempt to obtain low-income consumption data and then use that data to, among other things, deterntine the impact that alternative residential rate designs have on low-income customers. Historically, there was no actual low-income consurnption datrt available to CAPAI to utilize fbr purposes such as rate design. The reasons for this are varied but typically were based on the utilities' insistence tlrat they maintain individual customer privacy. During Avista's 2012 rate case, CAPAI proposed that Avista gather low-income consumption data based on what CAPAI calls a "low-inconre proxy group" which is sirnply a list of those customers receiving either LIHEAP or low-income weatherization benetits. It is essential, of course, that customers who receive both lbrrn of benefits are counted only once tbr inclusion into the proxy group. Q: What was Avista's reaction to this proposal? A: Avista was quite willing to gather low-income consumption data by sinrply identifying those custonrers who qualily tbr the proxy group, eliminate any dcluble-counting, ancl then collect their consurnption data using their physical adclrcsses without ever revealing DIRECT TESTIMONY OF CHRISTINA ZAMORA 13 6 12 2 3 I 9 4 5 6 7 10 11 72 13 l-4 15 L6 17 1B 19 20 2l 22 23 24 25 Q: A: their personal information. Upon obtaining this data, CAPAI and Avista worked together in a collaborative and expeditious fashion to perform "model runs" which is simply a term that CAPAI used to describe the process of establishing hypothetical rate designs and then determine how irnplementation of those rate designs would impact the proxy group compared to the existing residential rate design. What, if anything, did CAPAI learn tiom this process? CAPAI learned a great deal, including the fact that, at least with respect to Avista, low- income customels often consume mole energy than their non-low-income residential counterparts, in some cases substantially more. Based on this knowledge, CAPAI challenged historical pl'esumptiorts and reconsidered the inrpact that rate design changes would have on low-income ratepayers. For example, if low-income customers have higher consumption rates year-around, then increasing the utility's basic nronthly customer charge as typically requrested by utilities could actually lower the majority of low-income custonlers' monthly bills. Similarly, altering tiered residential rates by changing the consumption levels that demarcate the diff'erent tiers, or by changing the commodity pricing for existing tiers, or finally, by adding a third tier, could have positive or negative consequences fbr low-income cLlstomers that rnight not have been assumed or expected. CAPAI believes that the acquisition of this information is of value not only to CAPAI and low-income customers, but to the utility, other residential customers, Staff, and the Commission. Q: Does the fact that the outcome of Avista's 2012 general rate case was productive and beneficial enough for CAPAI to support that settlement in any way diminish the general procedural concerns you have already discussed? DIRECT TESTIMONY OF CHRISTINA ZAMORA 137 1 ) 3 4 5 6 7 I 9 10 11 12 13 14 15 16 77 18 19 20 21 22 23 24 25 A:Not at all. To a certain extent, the Avista case followed the same fast-track I've already described. In fact, CAPAI joined in the settlement weeks after it was execLlted by the other parties bec:luse CAPAI required sufficient time to nrake a thorough analysis of the issues it deemed important and to cletermine whether the settlement was in the best interests of the low-income. What saved that case frorn being unfair to CAPAI and convinced CAPAI to join in the settlement was simply the willingness of Avista to work cooperatively, productively and in a very prompt fashion to obtain the information CAPAI sought. Avista made its technical experts and employees available not just to respond to questions and provide data, but to work toward the common goal of simply better understanding the truth. IV. PROCEDURAL CONCBRNS ABOUT THE PENDING CASE. Would you please summarize your concerns regarding the procedure employed in the pending case? First, this case is a very striking example of what the consequences of deviation fiom established rate case policy citn be, especially whcn done on an ad hoc basis. In an attempt to avoid rc-inventing the wheel, I note that all of CAPAI's concerns regarding the procedure followed in this proceeding are thoroughly articulated in CAPAI's Brief in Support of Motion to Compel responses to CAPAI's discovery propounded to Rocky Mountain. A true and correct copy of that Brief is attached hereto as Exhibit "A" and is incorporated herein by ref'erence. Specifically, pages 2-12 of the brief outline every procedural abnormality in this case to which CAPAI objects. I am incorporating CAPAI's brief by reference in order to avoid re-inventing the wheel and turning what should be testirnony into a legal brief. Q; A: DIRECT TESTTMONY OF CHRISTINA ZAMORA 138 1 3 4 5 6 8 9 10 11 l2 1,3 14 15 16 t7 18 19 20 2L )') ,1 24 25 Q: A: Q: A: Did you have any involvement in drafting CAPAI's Brief in Support of Motion to Compel? I was very involved and worked with CAPAI's legal counsel to construct the brief and am very familiar with its contents. Without repeating everything contained in CAPAI's brief, can you generally outline the procedural concerns you have regarding this case? The procedural abnormalities of this case began before it was even filed. As noted in the brief, Rocky Mountain conducted meetings, either in person or via other forms of communication, with Staff and the Company's larger, non-residential customer groups. CAPAI was not invited or included in these conversations and was completely unaware that they had taken place until after the Company's tiling. While there is no transcript of these communications, they obviously advanced the knowledge of those involved regarding what to expect in terms of the filing and better prepare f<rr settlement negotiations. Fur-thermore, the Company acknowledges that it was attempting to reach a resolution on an alternative to filing a general rate case. Had these communications taken place following the filing, they certainly wourld have been conducted as confidential settlement negotiations. Because they occurred prior to filing, it is unclear what they are. Please describe the procedural concerns you have regarding the tiling. The filing itself is contusing, self-contradictory, and somewhat indecipherable. lt consists of two documents including a 60 day Notice of Intent to file a general rate case and an Application to "initiate discussions with interested parties on alternative rate plan proposals.", The Notice of Intent, by itself', seems to comply with the Commission's procedural rules and is otherwise typical. My understanding is that the typical procedure in genererl rate cases is that the 60 day Notice of Intent is tiled tbllowed by the filing of an Q: A: DIRECT TESTIMONY OF CHRISTINA ZAMORA 13 9 15 5 6 7 1 2 3 4 8 9 10 11 72 13 14 15 16 L7 1B 19 20 21 22 23 24 25 Q: A: Q: A: Application for a rate incrcase at the end of that 60 day period. I further understand that this Application must contain certain information and be properly captioned fbr what it is The only application that Rocky Mountain filed in this case seems to be more in the nature of an investigative proceeding to explore rate case alternatives that could apply to any utility, not just Rocky Mountain and any luture case. What are your concerns regarding the Application filed with the Notice of Intent and what it led to in this case'? Though my experience in this area is still limited, it seems that, through the filing of the Application given an unusual title and not in confbrmity with rules applicable to rate case applications, Rocky Mountain, in reality, used this as a means of end-running existing rules regarding rate cases and negotiating a rate case prematurely and in violation of law. As such, the Application Rocky Mountain did file could be characterized as a rate case application in disguise. The term "rate plan" has been used in this case to describe Rocky Mountain's Application and the outcome of the case it initiated. Does this have any significance to you? No. Though I'm not yet well-versed in proper rate case procedure, it is a general truth that labels are always trumped by substance. Regardless of how the Company worded or labeled its Application, all that matters is the surbstance of the filing and the outcome of the case. The proposed settlement stipulation results in a rate incrcase. Calling it a "rate plan" or an "alternative" procedure for increasing rates does not change the fact that its resulted in an increase to the Conrpany's rates. How would you respond to a contention that the "rate plan" proposed in this case is not a general rate increase subject to the otherwise applicable rules and laws'? Q: DIRECT TESTTMONY OF CHRISTINA ZAMORA 14 O t6 1 2 3 4 5 6 7 8 9 10 11 L2 13 L4 15 16 L7 18 19 20 2L 22 23 24 25 A: My response is that avoiding applicable law by use of labels is a dangerous path to go down and that will likely lead to a de fttcto changing of or disregard for the law by use of labeling and procedural gamesmanship. Adherence to procedure that was legally established is of great importance. Once a utility is allowed to alter that procedure without going through the proper legal process throws the door open wide for further and possibly more serious deviations I'rom established Iaw. Q: Without asking you to give a legal opinion, what is your understanding as to proper rate case procedure? A: A thorough answer to that question is set fbrth in CAPAI's brief. I am under the beliel' that once a procedure has been established, whether through legislation or the administrative rulemaking process, it is the law and must be adhered to unless and until changed according to the process just outlined. Regardless of how this case was labeled or described in the Application, the only salient fact is that it resulted in a rate increase. As noted in CAPAI's brief and stated in paragraph 7 of the settlement stipulation itself, the outcome of-this case, if the settlement stipulation is approved, would be: a "base revenue rcquirement fbr all schedurles will be incrcased." Q: Does the Commission's Notice of Application and Order No. 32761 provide any insight into the nzrtnre of the Application in this case? A: Yes. Page 2 of the Commission's Notice of Application states: "the Commission finds it reasonable to initiate a case so that parties can engage in settlement discussions in an effbrt to avoid ornarrow issues in a general rate case." lt is significant that the Commission's Notice speaks nrore in generic than case-specific terms referring to "a" general rate case as opposed to the specific case at hand. Furthermore, the Comrnission's statement of the scope ol'the case initiated by the Application is to "avoid or narrow DIRECT TESTIMONY OF CHRISTINA ZAMORA LAI l7 1 2 3 4 5 6 7 t4 15 15 8 9 IO 11 12 13 18 19 20 21 22 z5 24 25 17 issues," not to avoid existing law by allowing the parties in a case opened for the purpose of narrowing or avoiding issues to actLrally settle a general rate case, especially when the 60 day Notice of Intent had not even expired and a formal rate case application had not been filed and the Company was prohibited by a previons rate case settlement from even filing for a rate increase until May 31, 2013, as stated in CAPAI's brief. Q: What are your specific objections Lo the fact that the settlement stipulation proposes a rat€ increase? A: As stated in the brief and earlier in my testimony, CAPAI's objections to the requested rate increase include: l) the fact that discussions regarding a possible settlement of Rocky Mountain's rate proposal and the procedurc by which that settlement nright be arrived zrt began between select parties prior to the case even being filed and ending in a stipulation agreed to in principle in May and fbrmalized in writing in early June,20l3;2) the parties did not wait the required 60 day period before a rate case was even considered, and; 3) the rate increase stemming from an application filed on March 1,2013 violates the Company's agreement in a prior case to not file for a rate increase prior to May 3lr.,20L3. Q: Is there anything else that you find trourbling about the outcome of this proceeding? A: Yes. It seems quite peculiar that the parties do not appear to have discussed "alternatives" to a general rate case as the Notice of Application, Order No.32761, and the Application itself stated was the intent ernd purpose ol'the case. The stipulation contains no discussion of alternatives to the normal rate case process and there are certainly no alternatives identified, let alone analyzed in the stipulation. The case was treated f'rom the outset to the settlement stipulation exclusively as a rate case, nothing more nor less. DIRECT TESTIMONY OF CHRISTINA ZAMORA I42 18 1 3 4 5 6 7 8 9 10 11 t2 13 74 15 16 t7 18 19 20 21 22 23 24 25 Q: A: Q: A: Regardless of CAPAI's concerns about the procedure employed in this case, and without divulging anything of substance of a conl'idential nature, did CAPAI participate in the settlement negotiations? CAPAI did participate with the hope of better understanding what was and remains a perplexing filing and procedure and to urge the parties to comply with all applicable laws. CAPAI also desired to continue its publicly-stated goal of obtaining from Rocky Mountain the same manner of low-income consumption data and impacts of alternative residential rate designs that it had obtained from Avister, though the data would obviously be different and so might the conclusions to be drawn from that data. CAPAI has, in past years. advocated for residential rate design changes fbr Rocky Mountain and t-elt particurlarly compelled to determine whether the assumptions built into its proposed changes werc supported by fact. Did CAPAI seck to obtain the data and rate design alternatives you've described from Rocky Mountain? Yes, though not without considerable strife and expense and with only partial success. Unlike Avista, Rocky Mountain simply ref'used to provide CAPAI the most critical data i sought through discovery requests unless and until CAPAI joined in the settlement stipulation. All of this is set forth in the brief and affidavit. To this day, it seems perplexing that Rocky Mountain ref'used to respond to CAPAI's discovery, particularly when CAPAI had repeatedly pointed out that the data and conclusions drawn from that data might well bring CAPAI and the Cornpany together on certain issues. What was Staffs position or role in terms of the discovery dispute? Staff basically tclok no position in the matter. Did Rocky Mountain ultirnately respond in full to CAPAI's discovery requests'? Q: A: Q: DIRECT TESTIMONY OF CHRISTINA ZAMORA L43 19 1 ) 3 4 5 6 '7 8 9 10 11 t2 13 t4 15 L6 l7 18 19 20 27 22 z3 24 25 A:No. To this date, Rocky Mountain still has not provided the entirety of the infbrmation sought by CAPAI. Unlike the data responses provided by Avista, Rocky Mountain has simply provided an Excel spreadsheet that is largely undecipherable. CAPAI is in the process of attempting to make any sense out of what little information the Cornpany has provided and determine the impacts of various rate design alternatives. To the extent Rocky Mountain provide anything in response to CAPAI discovery request No. 6, when was that information provided? It was not provided until August 12,2013,less than four days prior to the original testimony prefile deadline (the Comnrission extended the deadline by one week for CAPAI). The discovery request was submitted to Rocky Mountain, however, in April, 2013. Despite countless assurances of numerous form, the Company, after four months, still has not fully responded to CAPAI's discovery. Furtherntore, Rocky Mourntain refused to respond to CAPAI's cliscovery requests unless and until CAPAI withdrew its Motion to Compel, befbre even seeing the responses, and unless and urntilCAPAI joined in the settlement stipulation, thereby waiving its rights to oppose any aspect of the proposed rate case settlement. Does the fact that Rocky Mountain ultimately responded, at least in part, to CAPAI's discovery requests diminish the concerns that CAPAI has in this case? No. CAPAI utilized limited resources sirnply trying to convince Rocky Mountain to respond to the discovery requests. Had the Company done so when it promised, which was April through May, CAPAI could have utilized its lin-rited resoulces more ef'fectively and been prepared to take a position on rate design one way or another. This loss cannot lre recovered. Q: A: Q: A: DIRECT TESTIMONY OF CHRISTINA ZAMORA L44 20 2 3 4 5 6 7 8 9 10 11 t2 13 L4 15 16 t7 18 19 20 2t 22 23 24 25 V. ST.]MMARY The manner in which this case was processed, if permitted to stand, will ahnost certainly lead to even more egregious violations and de facto changes in general rate case procedure. To the best of CAPAI's knowledge, none of the numerous states in which PacifiCorp operates has condoned the procedure for obtaining a rate increase employed in this case. It would set a bad precedent and send the wrong signal to Idaho Power and Avista. CAPAI has heard that other states are considering alternatives to general rate case procedure, but is not aware of any state that considers simply calling the case something it isn't and violating existing law without going through the proper channels to be a valid alternative. For all the reasons outlined in this testimony and CAPAI's brief, the procedure employed in this case is in violation of the law and, by virtue of that law, Rocky Mountain's Application should considered withdrawn ancl not result in a rate increase. When the Commission chose to break out low-income weatherization from the 201I rate cases into a separate docket, CAPAI lully and in good faith participated in that process. It seems to be one thing to brcak out son-rething such as LIWA, but to et-fectively eliminate existing rate case procedure, and through the use of marginalization of CAPAI and Rocky Mountain's uncalled tbr behavior in terms of refusing to rcspond to discovery related to rate design issues and effectively prevent CAPAI from raising rate design issues is another matter and should not be permitted. Rate design is a legitirnate general rate case issue regardless of whether other parties wish to address it. lf the settling parties celn see their way fit to address issues of concern to specialcontract and large industrial customers, then they can certainly accommodate a good faith discussion ol'CAPAI's rate design issues. DIRECT TESTIMONY OF CHRISTINA ZAMORA 14 5 1 2 3 4 5 6 7 8 9 10 11 L2 13 L4 15 15 L7 18 19 20 2L 22 23 24 25 Q: A: Regardless of whether the rate increase proposed in the settlement stipulation is in the best interests of all ratepayers, nothing is worth the cost of allowing parties to unilaterally ignore existing law or effectively rewrite the law on an ad /roc basis. Should the Commission deem it appropriate to allow for very limited rate cerses in which issues such as revenlre requircment, rate spread or rate design are not fair game, then it should accomplish this by means of obtaining the necessary legislative changes or engage in admi nistrative rulemakin g. CAPAI doesn't have the ability or funding necessary to determine whether the proposed settlement is in the best interests of ratepayers and, because of Rocky Mountain's refusal to comply in good faith with CAPAI's legitimate discovery requests regarding rate design, CAPAI has not even had the time to t'ully analyze that issue and determine whether the existing rate design is fair in light of the concessions that Rocky Mountain took from the proposed settlement and all other salient facts. Does this conclude your direct testimony? Yes, it does. L46DTRECT TESTIMONY OF CHRISTINA ZAMORA )) (The following proceedings were had in open hearing. ) COMMISSIONER REDFORD: Mr. Sol-ander. MR. SOLANDER: Yes, thank you. CROSS-EXAMINATION BY MR. SOLANDER: O. Can you explain how you reached the concfusion in your testimony that the procedure employed in this case is unlawful ? MR. PURDY: Excuse me. May I have a reference to a page, Ii-ne? COMMTSSIONER SMITH: Page 2L. MR. SOLANDER: Yes, page 21 , l-ine 10 . I believe there's al-so another reference. Page 3, beginning on line at the end of line 11. THE WITNESS: It's my understanding that this is this procedure is being handl-ed in a different way, and so that's pretty much what f meant. A. BY MR. SOLANDER: So you didn't mean that it was being handled j-n an un1awful manner? A. No. MR. SOLANDER: f have no further questions. COMMISSIONER REDFORD: Mr. Budge. L41 3 4 5 6 7 I 9 10 11 1,2 13 L4 15 L6 L7 18 t9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD ZAMORA (X) CAPA]83701 1 2 3 4 5 6 7 I 9 10 11 L2 13 l4 15 76 L7 18 t9 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD ZAMORA (Di) CAPAI MR. BUDGE: No questions. COMMISSIONER REDFORD: Mr. Price. MR. PRICE: No questions. COMMfSSIONER REDFORD: Mr. Otto. MR. OTTO: No questions. COMMISSIONER REDEORD: Do you have any further questions, Mr. Purdy? MR. PURDY : ,.fust one f ollow-up to Mr . So1ander ' s question. REDIRECT EXAMINATION BY MR. PURDY: a. Ms. Zamora and if you don't know because this possibly goes into a 1ega1 area, then please say so -- but might the procedure employed in this case be unl-awful if this were if this were treated as a general rate case? MR. SOLANDER: Objection: That cal-l-s for a lega1 concl-usi-on as we11. COMMISSIONER REDFORD: Sustained. MR. PURDY: Okay. That ' s al-I I have then . Thank you. COMMISSIONER REDFORD: Excuse me. Ms. Smith. COMMISSIONER SMITH: Thank you. 148 83701 1 2 3 q 5 6 7 B 9 10 11 72 13 L4 15 L6 l7 1B t9 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, fD ZAMORA (Com) CAPAT EXAMINATION BY COMMISSIONER SMITH: O. f just had a question on page B -- A. Uh-huh. O. of your testimony. Excuse me. At l-ines 20 through 22, you are speaking about the process of your organization, dt least that's my understanding. Is that correct? A. On which lines? I'm sorry. O. Wel-l-, your who1e answer is speaking about your organi-zation' s structure? A. And the process, yes. O. And the process that you use? A. Uh-huh. O. So if your process l-eaves you l-ittl-e or no opportunity to conduct discovery, that's not due to any failure on the part of the Commissj-on's process, is it? A. No. O. Thank you. And on page sorry -- page L2, l-ine 15 I think my voice j-s going you speak about Avista's 2012 rate case and CAPAf's proposal there. Do you have personal knowledge of that case? Did you participate j-n it? A. I responded to discovery requests, and al-so L49 83701 revj-ewed the data that was provided. O. So that was something you did yourself? A. Uh-huh. O. A11 right. Thank you. Letrs see. I think that's it. COMMISSIONER SMITH: That was it. Thank you, Mr. Chai-rman. COMMISSIONER REDFORD: Commi-ssioner? COMMISSIONER KJELLANDER: NO. COMMISSIONER REDFORD: f just have a couple of questions. EXAMINATION BY COMM]SS]ONER REDFORD: O. How long have you been working for CAPAI? A. I've been working for CAPAI since 2005. O. Here in Boise? A. Yes. 0. Okay. Thank you. No further questions. COMMISSIONER REDFORD: Are there any further questJ-ons, Mr. Purdy? 150 2 3 5 6 't B 9 10 11 l2 13 l4 15 t6 t7 l_B 1"9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD ZAMORA (Com) CAPAT83701 REDIRECT EXAMINAT]ON (ContJ.nued) BY MR. PURDY: O. I just woul-d l-ike one quick follow-up in response to Commissioner Smj-th's question about whether it is the Commission's faul-t or responsj-bility that CAPAI lacks sufficient time to prepare, and you said no. Is it do you believe that it's the result of an expedited process adopted by the parties not imposed by the Commission that leads to these difficul-ti-es? A. Yes, that's correct. O. Okay. That's all I have, thank you. COMMISSIONER REDFORD: Ms. Smith has one more questJ-on , or several. COMMfSSIONER SMITH: No, just one. EXAMINATION BY COMMISSIONER SMITH: O. On page 3, line 13, you use the phrase "additional procedural transgressions. " A. Uh-huh. O. What did you mean? A. So understanding that Irm new to this process, although I've I have experience in providing informati-on for 151 4 5 6 7 I 9 10 11 t2 13 t4 15 L6 t1 18 L9 20 2t 22 23 24 25 HEDR]CK COURT REPORTING P. O. BOX 578, BOTSE, rD zAMoRA (DilCom) CAPA]83701 1 2 3 4 5 6 7 B 9 10 11 L2 13 L4 15 76 77 1B 1,9 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD severaf of the rate cases that CAPAI has j-ntervened in, my intention was to explain that we have concerns about procedure being changed as and so the ru.l-es are over here and the procedure is just changed without guidance from the Commission. So that's my concern. O. So was it a sin? A. No, I donrt think -- O. To me, a "transgression" is l-ike a sin. A. Yeah, a very strong word, yes. O. Okay. Well-r we already agreed, f think, that you don't think it' s unl-awful-. A. Uh-huh. O. Okay. Thank you. COMMISSIONER REDEORD: As a result of Commlssioner Smj-th's questions, are there any questions from the parties? Hearing none, Mr. Kjellander, do you have any questions ? COMMISSIONER KTIELLANDER: No, thank you. (The witness l-eft the stand.) COMMISSIONER REDEORD: I believe there has only been one exhibit. If anyone has got exhibits that they wanted to admit apparently, Dor so COMMISSIONER SMITH: Mr. Weston has three and Randy has one. L52 83701 COLLOQUY 1 2 3 4 5 6 7 I 9 10 11 L2 13 L4 15 t6 L7 18 19 20 2t 22 23 24 25 HEDRICK COURT REPORT]NG P. O. BOX 578, BOTSE, rD 83701 MR. SOLANDER: Irm sorry, during my -- Mr. Weston's testimony and the four exhibits thereto, I moved for the admission of when I was examining Mr. Weston. COMMISSIONER REDFORD: Okay. Would that be then MR. SOLANDER: There were three exhibits to Mr. Weston's direct testimony and one to his rebuttal- testimony. COMMISSIONER REDEORD: So that woul-d be Exhibit No. 502? MR. SOLANDER: No, I bel-ieve it woul-d be one through four. COMMISSfONER SMITH: I only have three. COMMISSIONER REDFORD: And anythj-ng else? Commissi-oner Smith. COMMISSIONER SMITH: I'm sorry, f only have Exhibits 1 through 3 that were attached to Mr. Westonrs direct. If there MR. SOLANDER: I believe I have a copy of MR. WESTON: And then one to the COMMISSIONER SMITH: T see it. Never mind. f see it. ft was just out of place in my notebook. r apologize. MR. SOLANDER: Thank you. MR. PRICE: Chaj-rman Redford, I woul-d just reiterate I be.l-ieve it was spread upon the record when I 153 COLLOQUY introduced Mr. Lobb's testimony, but Commissj-on Staff has Exhibit 101- attached to his direct testimony. COMMISSIONER REDFORD: Thank you. Okay. The exhibits by PacifiCorp or Rocky Mountain procedure (sic) and the Staff are admitted. (Rocky Mountain Power Exhibit Nos. 1 through 4 and Staff Exhibit No. 101, havj-ng been premarked for identification, were admitted into evidence. ) COMMISSIONER REDFORD: Is there anything does anyone want the opportunity to argue? Tf so, f'm going to put a limit on it of ten minutes. Mr. Solander. MR. SOLANDER: I wouLd just reiterate that the Company is seeking approval of the stj-pulation, as wel-l as the electric servj-ce agreement between Rocky Mountain Power and Monsantor ds part of this application. The parties and the testimony you have reviewed, other than with the exception of CAPAI who did not join the stipulation, bel-ieve that it's a just and reasonable result and in the public interest to approve it. COMMISSIONER REDFORD: Mr. Budge. MR. BUDGE: Thank you, Mr. Chairman.I don't have any argument to make, but I woul-d l-ike to point out to the Chairman and Commi-ssion three relatively smaI1 matters, largely procedural, that affect the Monsanto contract, if I may. The Monsanto contract is addressed in Paragraphs 15, 16, and tl of 154 4 5 6 7 B 9 10 11 72 13 t4 15 t6 l1 1B 79 20 2L 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5'78, BOTSE, f D 83701 COLLOQUY 1 2 3 4 5 6 7 8 9 10 11 1.2 13 74 15 t6 L7 1B 19 20 2t 22 23 24 25 HEDR]CK COURT P. O. BOX 578, REPORTING BOISE, ID 83701 the stipulation in this matter And I would l-ike to note that the Paragraph 15 provided for an amendment be made to the Monsanto el-ectric service agreement. Paragraph L6 also provided that the parti-es accompanying Monsanto would execute a new electric service agreement reflecting these changes. I would simply note for the Commission that those two items, in fact, have been completed. A1so, that the Company Paragraph L"7 was the other paragraph addressing Monsanto's contract, and it did state that Monsanto and the Company wou1d continue to work coll-aboratively and in good faith to address the terms and conditions to optimize the value of Monsantors curtail-ment products prior to the next rate case. I would note, for the Commlssion, that Monsanto has been in good faith negotiations with the Company prior to this particular stipulation addressing that i-ssue in accordance with the stipulation in the 20LL case, and that we do intend to continue those discussions to try to resolve that issue prior to the next general rate case filing in a couple of years. I would secondly l-ike to point out that the testimony of Mr. Weston included Monsanto /PactftCorp new el-ectric filed as confj-dential, Exhibit No simply ask that this remain filed 1_55 a copy of the service agreement. It was . 2, under seal-. V[e wou]-d under seal as a confidential COLLOQUY 1 2 3 4 5 6 7 B 9 10 11 72 13 1,4 15 t6 71 1B t9 20 2t 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 5lB, BOTSE, fD exhibit. This is consistent with the agreement between the parties of the contract. It's al-so consistent with the procedural- means of handling the contract that we've used for the past several- cases. The third issue f want to address is the Idaho Electric Service Schedul-e 400 that rel-ates to the tariff rates for the Monsanto contract, has not been included purposely as a part of the tariff schedules attached to Mr. Weston's testimony, but itrs my understanding the Company wil-l-, in fact, be filing that Schedule 400 once the stipulation is approved, along with the other electric schedules, and we woul-d again ask, consj-stent with past practice and agreement of the parties, that Schedule 400 be fil-ed under confidentiality seal- as wel-l- because it does reflect both the firm and interruptible demand and energy charges at Monsanto, and that the Company, when they fil-e the Schedul-e 400 refl-ecting the full charge, that it afso be fil-ed under seal, the purpose being so that the public record does not reflect a mechanism insofar as looking at the firm rates and the confidential- rates to determine the net rate that Monsanto ul-timately pays for electricity, whlch is a matter of proprietary interests of Monsanto. COMMISSIONER REDEORD: Thank you, Mr. Budge. f'm asking a guestion: Whose witness was it that introduced the stipulation? COMMISSIONER SMITH: Randy did. 156 83701 COLLOQUY 1 2 3 4 5 6 7 B 9 10 11 L2 13 t4 15 L6 L1 1B 1,9 20 21 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD COMMISSIONER REDEORD: Who? COMMISSIONER SMITH: Randy did. COMMISSIONER REDEORD: Randy did. Is that correct? MR. PRICE: I think it was MR. BUDGE: Mr. Weston. MR. PRICE: It was an exhibit for both. MR. WESTON: I didn't file it as an exhibit. The Company fil-ed the stipulation with the Commission. Mr. Lobb filed it also as an exhibit to his testimony. COMMISSIONER REDFORD: So it's been admitted. ft's admitted. ff it j-sn't, it is. Thank you. I think that we're right at the MR. PRfCE: Chairman Redford, just one brief thing. COMMISSfONER REDFORD: Yes. MR. PRICE: I neglected at the outset of this proceedj-ng to communicate Mr. Ron Wil-l-iams' and his client's support for the stipulation. He contacted me vla phone and 1et me know that he would not be present today but asked me to communicate their support for the stipulation, which they have signed on to, and he represents PIIC. COMMISSIONER REDEORD: Thank you. Wel-l-, hearing nothing more to come before the Commission MR. PURDY: I'm sorry, Mr. Chair, I wasnrt given 757 83701- COLLOQUY 1 2 3 4 5 6 7 B 9 10 11 L2 13 L4 15 t6 L1 1B 1,9 20 27 22 ZJ 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD an opportunity to make a closing. My first request would be whether the Chair woul-d consider entertaj-ning posthearing briefing in this matter. COMMISSIONER REDFORD: This has been briefed and the testimony is pretty correct. f don't think we rea11y -- I think we have enough information to issue a decision without further briefing. MR. PURDY:Eine. Then if I may just make a very brief comment COMMISSIONER REDEORD: Go ahead. MR. PURDY: I just wanted to emphasize that nothing set forth in the testj-mony of Ms. Zamora, nor any of the pleadings filed by CAPAI in this case, in any way impugns the Commission's credibility or suggests that the Commission has acted unlawfully. Rather, CAPAI is, as it has I think fairly clearly articulated, significantly concerned about the precedent that this might set for future cases and CAPAI's desire to keep ratemaking processes as transparent as they can be, and that this case just seems to be a step beyond what 1s acceptable; but in no manner does CAPAI contend that that is the Commission's faul-t. COMMISSIONER REDFORD: f just have one question, Mr. Purdy: There's nothing in the record that other than a l-ot of verbiage about the stipulation. Is it your position that you believe that the Commission should disregard the 158 83701 COLLOQUY 1 2 3 4 q 6 7 I 9 10 11 1,2 13 t4 15 t6 l7 18 19 20 2t 22 23 24 25 HEDRICK COURT P. O. BOX 5'18 , REPORTING BOISE, ID proceedings and the settl-ement and start over? MR. PURDY: Ms. Zamora does take on that question and I hate to supplant my testimony for hers, but she I think makes it fairly clear that regardless of whether the Commission ultimately determines that this settlement is j-n the best interests of al-l- concerned, the concerns regarding the procedure adopted in this case remain; and whether the Commission could approve the settlement but state that in the future this type of a procedure would be considered unacceptable, or any other myriad of options, that's certainly a possibility as well-. COMMISSIONER REDEORD: So it is your position that you'd l-ike to have us scrap the stipulation and go to a different procedure, that is, a rate case. MR. PURDY: Yes, I understand that. And, again, Ms. Zamora states that CAPAI is not in a position to state whether this is in the best interest of the l-ow-income customers because of the difficulty in obtaining certain information that it needed to make that determlnation and whether to join in the settlement, but it does remain concerned about the procedure. The Commission coul-d approve the settlement on the basis that, y€s, you know, as far as the numbers, ds far as the lmpact on ratepayers, this is a fair, just, and reasonabl-e resolutj-on but we do have concerns about the procedure 159 83701 COLLOQUY 1 2 3 4 5 6 1 I 9 10 11 t2 13 1,4 15 t6 !7 18 19 20 2! 22 23 24 25 HEDRICK COURT REPORTTNG P. O. BOX 5'7I , BOTSE, rD employed, and then provide some guidance to the party in that respect. And that way you wouldn't have to reject the settlement stj-pulation in its entirety, but you coul-d al-so address the concerns that CAPAI has raised. COMMISSIONER REDEORD: Thank you, Mr. Purdy. Mr. Prj-ce, is there further comment? MR. PRICE: No further comment. COMMISSIONER REDEORD: WelI, in that case, I wil-L consider this case ful1y submitted. MR. OTTO: f'm sorry, Mr. Commissioner. COMMISSIONER REDFORD: Yes. I'm sorry, Mr. Otto. MR. OTTO: I'd just l-ike a chance to make a very brief statement so ICL's posi-tion j-s clear on the record. We did sign the settlement. We think the interests of our membership are much more gIobaI than CAPAI. We're not trying to denigrate CAPAI's position at all, and actually we share several- of their concerns, but on the whole we felt like that this stipulation is a positive result and we'd encourage the Commission to approve it. ICL does share many of the same procedural concerns that CAPAI has raised. Likewise, we're, you know, short-staffed and we're trying to do our best to understand these complex cases and participate within the frameworks. To the extent stuff is l-ess than transparent, that makes it more difficult. 160 83701 COLLOOUY 1 2 3 4 5 6 1 B 9 10 l-1 72 13 t4 15 16 l7 1B 19 20 2! 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD So we'd l-ook forward to a proceeding in this case the result was okay, but it shouldnrt be that the result makes the process okay. The process shoul-d be good to begin with. So we encourage the Commission to maybe weigh in on what j-s an appropriate process for these types of situations where settlement could be productive, but transparency and inclusion are key. So, with that, ICL supports the stipulation but feel-s the procedure maybe l-eft something to be desired. COMMISSIONER REDFORD: Thank you. Hearing nothing further, this matter wil-1 be closed, and we will- deliberate in due course and render a decision. Thank you. (The hearing adj ourned at 1-l-: 59 a. m. ) L67 83701 COLLOQUY 1 2 3 4 5 6 7 B 9 10 11 t2 13 t4 15 16 t7 18 1,9 20 27 22 23 24 25 HEDRICK COURT REPORTING P. O. BOX 578, BOTSE, rD AUTHENTICATION This is to certify that the foregoing is a true and correct transcript to the best of my ability of the proceedings held in the matter of the application of PacifiCorp dba Rocky Mountaln Power to initiate dj-scussions with interested parties on alternative rate plan proposals, Case No. PAC-E-13-04, commencj-ng on Wednesday, September 11, 201,3, dt the Commission Hearing Room, 412 West Washington, Boise, Idaho, and the original thereof for the file of the Commission. Accuracy of al-l prefiled testimony as origj-nally submitted to this Reporter and incorporated herein at the direction of the Commissi-on is the sole responsibility of the submitting parties. WENDT J.Nota y- PubIi-c in and for residj-ng at My CommissionIdaho CSR No. tate di-an, expr-res 415 of ldaho, Idaho. 2-B-2014 ^"o.1.i'1"',rafi;*,," ^"utffi"^-* ir*tr -"-- $*-Ei, LPusL\LJ n3 '%W"c L62 83701 AUTHENTICATION Rocky Mountain Power Exhibit No. 1 Page 1 of 5 Case No. PAC-E-13-04 Witness: J. 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Attachment D - Settlement Rates ROCKY MOUNTAIN POWER . STATE OF IDAHO cAsE NO. PAC-E-I3-04 Present Price Rocky Mountain Power Exhibit No. 1 Page 2 of 5 Case No. PAC-E-13-04 VMtness: J. Ted Weston Settlement Price Uu20t4 SCHEDULE NO. I - Residential Service Customer Charge All kwh (May - Oct) <:700 kwh > 700 kwh All kwh (Nov - Apr) <: 1,000 kWh > 1,000 kwh Seasonal Service Charge SCHEDULE NO.36 - Residential Service Optional TOD Customer Charge On-Peak kWh (May - Oct) Off-Peak kWh (May - Oct) On-Peak kWh (Nov - Apr) Off-Peak kWh (Nov - Apr) Seasonal Service Charge SCHEDULE NO.6/6A - General Service - Large Power Customer Charge (Secondary Voltage) Customer Charge (Primary Voltage) All kW (May - Oct) All kW (Nov - Apr) Alt kwh Seasonal Service Charge (Secondary) Seasonal Service Charge (Primary) Voltage Discount SCHEDULE NO.7 - Customer Owned Light Residential Charges Per Lamp 16,000 Lumens, HPSV SCIIEDULE NO.7/7A - Security Area Lighting Charges Per Lamp 7000 Lumens, MV 20,000 Lumens, MV 5,600 Lumens, HPSV, Co Owned Pole 5,600 Lumens, HPSV, No Co Owned Pole 9,500 Lumens, HPSV, Co Owned Pole 9,500 Lumens, HPSV, No Co Owned Pole 16,000 Lumens, HPSV, Co Owned Pole 16,000 Lumens, HPSV, No Co Owned Pole 27,500 Lumens, HPSV, Co Owned Pole $s.00 10.7874 14.5630 8.2571 11.1472 s60.00 $14.00 14.4027 4.9148 12.3029 4.4982 $168.00 $37.00 sl r 1.00 $14.36 $l l.8l 3.6696 $444.00 $ 1,332.00 ($0.6s) $r4.9r $s.00 10.8759 14.6825 8.3249 r 1.2386 $60.00 fi ( i a ii fi ( o ( ( a $26.83 $47.86 $ 17.04 s13.56 $ l9.s l $ 16.02 $2s.70 $22.88 $36.97 $r4.00 t4.s26s ( 4.9s71 O 12.4087 ( 4.s369 ( $168.00 $37.00 $l l 1.00 $r4.36 $r 1.81 3.7293 i s444.00 $1,332.00 (s0.6s) $r s.03 $27.04 $48.23 $17.17 $13.67 $19.66 $ 16.1s $2s.90 $23.06 s37.26 Attachment D - Settlement Rates ROCKY MOUNTAIN POWER. STATE OF IDAHO cAsE NO. PAC-E-I3-04 Present Price Rocky Mountain Power Exhibit No. 1 Page 3 of 5 Case No. PAC-E-1$04 Wtness: J. Ted Weston Settlement Price UU20t4 27,500 Lumens, HPSV, No Co Owned Pole 50,000 Lumens, HPSV, Co Owned Pole 50,000 Lumens,I{PSV, No Co Owned Pole 16,000 Lumens, HPS Flood, Co Owned Pole 16,000 Lumens, HPS Flood, No Co Owned Pole 27,500 Lumens, HPS Flood, Co Owned Pole 27,500 Lumens, HPS Flood, No Co Owned Pole 50,000 Lumens, HPS Flood, Co Owned Pole 50,000 Lumens, HPS Flood, No Co Owned Pole 8,000 Lumens, LPSV, Energy Only 13,500 Lumens, LPSV, Energy Only 22,500 Lumens, LPSV, Energy Only 33,000 Lumens, LPSV, Energy Only SCHEDULE NO.9 - General Service - High Voltage Customer Charge All kW (May - Oct) All kW (Nov - Apr) Minimum kW Summer Minimum kW Winter All kwh SCHEDULE NO. 10 - Irrigation Small Customer Charge (Season) Large Customer Charge (Season) Post-Season Customer Charge All kW (June I - Sept 15) First 25,000 kWh (June 1 - Sept l5) Next 225,000 kWh (June 1 - Sept l5) All Add'l kWh (June I - Sept l5) All kwh (Sept 16 - May 3l) SCHEDULE NO. 1l - Company-Owned Street Lighting Seruice Charges per Lamp 5,800 Lumens, High Intensity Discharge 9,500 Lumens, High Intensity Discharge 16,000 Lumens, High Intensity Discharge 27,500 Lumens, High Intensity Discharge 50,000 Lumens, High Intensity Discharge 9,500 Lumens, High Intensity Discharge - Series I 16,000 Lumens, High tntensity Discharge - Series 1 9,500 Lumens, High Intensity Discharge - Series 2 16,000 Lumens, High Intensity Discharge - Series 2 12,000 Metal Halide $33.48 $s 1.67 s4s.74 $25.70 $22.88 $36.97 $33.48 $s 1.67 $4s.74 $3.66 $s.41 $7.s2 $9.1 s $370.00 $10.26 s7.74 $ r 0.26 s7.74 3.8835 $14.00 $41 .00 s23.00 $s.98 8.5312 6.3103 4.6577 7.2164 $33.74 $s2.07 $46. l 0 $2s.90 s23.06 $37.26 s33.74 $s2.07 $46.10 $3.69 s5.45 $7.s8 s9.22 $370.00 $10.26 $7.74 $10.26 87.74 3.92$ A $14.00 $41.00 $23.00 $s.98 8.6106 p 6.3691 (, 4.7011 ( 7.2$6 A p 0 0( $15. r4 s 18.89 $2s.7s $3s.96 $s2.79 s31.25 $34.29 s2s.7t $28.68 $27.88 $ 15.26 $ 19.04 $2s.95 s36.24 $s3.20 $31.49 $34.56 $2s.9r $28.90 $28.1 0 Attachment D - Settlement Rates ROCKY MOUNTAIN POWER. STATE OF IDAHO CASE NO. PAC-E-i3-04 Present Price Rocky Mountain Power Exhibit No. 1 Page 4 of 5 Case No. PAC-E-13-04 Witness: J. Ted Weston Sefflement Price UU20t4 SCHEDULE NO. 12E - Customer-Owned Street Lighting Seruice-Energy Only Charges per Lamp 33,000 Lumens, LPSV $9.16 12,000 Metal Halide $7.05 19,500 Metal Halide $9.65 32,000 Metal Halide $15.17 107,800 Metal Halide $36.32 9,000 Metal Halide $4.01 5,800 Lumens, HPSV $2.84 9,500 Lumens, FIPSV $3.97 16,000 Lumens, HPSV $5.91 27,500 Lumens, HPSV $10.10 50,000 Lumens, HPSV $15.52 Non-Listed Luminaire - Energy Only 10.2944 ( 19,500 Metal Halide 32,000 Metal Halide 9,000 Metal Halide - Series 1 12,000 Metal Halide - Series I 9,000 Metal Halide - Series 2 12,000 Metal Halide - Series 2 SCHEDULE NO. 12F - Customer-Owned Street Charges per Lamp 5,800 Lumens, HPSV 9,500 Lumens, HPSV 16,000 Lumens, HPSV 27,500 Lumens, HPSV 50,000 Lumens, HPSV Lighting Service-Full Maintenance $34.60 $4 r.97 $31.s2 s36.24 $30.67 $32.38 $6.s6 $8.36 $ 10.04 $13.16 $ r 7.ss $34.87 $42.30 $31.t7 $36.s2 s30.91 s32.63 $16.42 $21.98 $5.88 $7.s7 $12.14 $r6.36 $23.00 9.31s2 ( 6.9023 o $9.23 $7.r 0 $9.73 $15.29 $36.60 s4.04 s2.86 s4.00 $s.96 $10. I 8 $15.64 10.3745 i $6.61 $8.43 $10.r2 $13.26 $17.69 $l6.ss $22.1s $s.93 $7.63 $12.23 $16.49 $23.00 9.3916 ( 6.9s89 A SCHEDULE NO. 12P - Customer-Owned Street Lighting Service-Partial Maintenance Charges per Lamp 10,000 Lumens, MV 20,000 Lumens, MV 5,800 Lumens, HPSV 9,500 Lumens, HPSV 27,500 Lumens, HPSV 50,000 Lumens, HPSV SCHEDULE NO. 19 - Commercial and Industrial Space Heating Customer Charge Secondary All kwh (May - Oct) All kWh (Nov - Apr) Attachment D - Settlement Rates ROCKY MOUNTAIN POWER -STATE OF IDAHO cAsE NO. PAC-E-I3-04 Present Price Rocky Mountain Power Exhibit No. 1 Page 5 of 5 Case No. PAC-E-13-04 Witness: J. Ted Weston Settlement Price UU20t4 SCHEDULE NO.23l23A - General Service Customer Charge Secondary Customer Charge Primary All kwh (May - Oct) All kwh (Nov - Apr) Seasonal Service Charge (Secondary) Seasonal Service Charge (Primary) Voltage Discount SCHEDULE NO.35 - General Service - Optional TOD Customer Charge Secondary Customer Charge Primary All On-Peak kW All kwh Seasonal Service Charge (Secondary) Seasonal Service Charge (Primary) Voltage Discount SCHEDULE 4OO Firm Energy and Power Customer Charges kwh kw Excess kVar Interruptible Energy and Power kwh kw SCHEDULE 401 Customer Charges HLH kwh (May-October) HLH kwh (November-April) LLH kWh (May-October) LLH kwh (November-April) All kW (May-October) All kW (November-April) $16.00 $49.00 9.1 030 7.9463 $192.00 $s88.00 0 ( (0.43e7) i, s67.00 $r6s.00 $16.45 4.9015 A $804.00 $ 1,980.00 ($o.t+1 sr6.00 $49.00 9.r82s (, 8.0157 ( $192.00 $s88.00 (0.43e7) l, s67.00 $ 16s.00 $16.4s 4.9609 O $804.00 $1,980.00 ($0.84) $1,586.00 3.1303 i $ 15.91 $0.96 3.1303 ( $1s.91 $442.00 3.6855 A 3.0649 ( 2.7$s A 2.7$s A $ 17.60 $ 14.19 $ 1,586.00 3.0870 A $ 1s.91 $0.96 3.0870 I $ 15.91 $442.00 3.6332 I, 3.0214 A 2.72$ A 2.7243 ( s 17.60 s14. I 9 o THIS EXHIBIT IS CONFIDENTIAL AND IS PROVIDED UNDER SEPARATE COVER O o ROCKY MOUNTAIN F,IOWER AOfvlsloilOf iACIFUOnF I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 1 of 46 Case No. PAC-E-13-04 \Afitness: J. Ted Weston Eighth Revision of Sheet No. 1.1 Canceling Seventh Revision of Sheet No. 1.1 ROCKY MOT]NTAIN POWER ELECTRIC SERVICE SCMDULE NO. 1 STATE OF IDAHO Residential Service AVAILABILITY: At any point on the Company's interconnected system where there are facilities ofadequate capacity. APPLICATION: This Schedule is for alternating current electric service supplied at approximately 120 or 240 volts through one kilowatt-hour meter at a single point of delivery for all service required on the premises for Residential purposes. When conditions are such that service is supplied through one meter to more than one dwelling or apartment unit, the charge for such service will be computed by multiplying the minimum charges by the maximum number of dwelling or apartment units that may be served. When a portion of a dwelling is used regularly for business, professional or other gainful purposes, the premises will be classified as nonresidential and the appropriate schedule applied. However, if the wiring is so arranged that the service for Residential purposes can be metered separately, this Schedule will be applied to such service. MONTHLY BILL: Customer Service Charge: $5.00 per Customer Energy Charge:(l) Billing months May through October inclusive 10.8759 I per kWh first 700 kWh 14.6825i per kWh all additional kwh Submitted Under Case No. PAC-E-13-04 ISSUED: August 76,2013 EFFECTM: January l,2014 Y{ffiffi*HI,IOUNTAIN Rocky Mountain Power Exhibit No. 3 Page 2 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Eighth Revision of Sheet No. 1.2 Canceling Seventh Revision of Sheet No. 1.2I.P.U.C. No. I ELECTRIC SERVICE SCHEDITLE NO. 1- Continued MONTHLY BILL: (continued) Billing months November through April inclusive 8.3249i, per kWh first 1,000 kWh 11.23869 per kWh all additional kwh MONTHLY BILLING REDUCTION: Rates in this schedule shall be reduced by the monthly kilowatt-hour credit adjustment set forth under "Monthly Rates" in the currently effective Electric Service Schedule No. 34. SEASONAL SERVICE: When seasonal service is supplied under this Schedule, the minimum seasonal charge will be S60.00. CONTRACT PERIOD: One year or longer. ELECTRIC SERVICE REGULATIONS: Service under this Schedule will be in accordance with the terms of the Electric Service Agreement between the Customer and the Company. The Electric Service Regulations of the Company on file with and approved by the Idaho Public Utilities Commission, including future applicable amendments, will be considered as forming a part of and incorporated in said Agreement. Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 (2) EF'FECTM: January 1,2014 ROCKY MOUNTAIN POWER A DIVISION OF PACIFICORP LP.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 3 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston Sixth Revision of Sheet No. 6.1 Canceling Fifth Revision of Sheet No.6.1 ROCI(Y MOUNTAIN POWER ELECTRIC SERVICE SCHEDULE NO. 6 STATE OF IDAIIO General Service - Large Power AVAILABILITY: At any point on the Company's interconnected system where there are facilities ofadequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Rate: Billing Months May throueh October. Inclusive Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) $ 37.00 per Customer Primary voltage delivery (2300 volts or higher) $ 111.00 per Customer Billing Months November through April. Inclusive $ 37.00 per Customer $ I I 1.00 per Customer $ I l.8l per kW for all kW 3.7293A per kWh for all kWh Power Rate: Energy Rate: $ 14.36 per kW for all kW 3.72%A per kWh for all kWh (Continued) Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 EFFECTM: January l,2014 ROCKY MOUNTAIN POWER A OMSTOil OF PACtnCOnP Rocky Mountain Power Exhibit No. 3 Page 4 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Sixth Revision of Sheet No. 6A.l Canceling Fifth Revision of Sheet No. 6A.lI.P.U.C. No. I ROCI(Y MOT]I\TAIN POWER ELECTRIC SERVICE SCHEDULE NO.6A STATE OF IDAHO General Service - Large Power (Residential and Farm) AVAILABILITY: At any point on the Company's interconnected system where there are facilities of adequate capacity for service to any customer who qualifies as a "Residential Load" or "Farm Load" under both (1) the Pacific Northwest Electric Power Planning and Conservation Act, P.L. 96-501 as the same may be amended, and (2) a Residential Purchase and Sale Agreement, under Section 5(c) of such Act and in effect between the Company and the Bonneville Power Administration. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) Power Rate: Energy Rate: Billing Months May through October. Inclusive $ 37.00 per Customer $ 1 I 1.00 per Customer $ 14.36 per kW for all kW 3.7293(, per kWh for all kWh (Continued) Billing Months November through April. Inclusive $ 37.00 per Customer $ 111.00 $ ll.8l 3.7293(, per Customer per kW for all kW per kWh for all kWh Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 EFFECTIVE: January l, 2014 I.P.U.C. No. I ;ROCKY MOUNTAIN POWER A D'VrSIOX 09 IACTFTCORP Rocky Mountain Power Exhibit No. 3 Page 5 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Fifth Revision of Sheet No. 7.1 Canceling Fourth Revision of Sheet No. 7.1 ROCKY MOT]NTAIN POWER ELECTRIC SERVICE SCITEDULE NO.7 STATE OF IDAHO Security Area Lighting AVAILABILITY: At any point on the Company's interconnected system. No new Mercury Vapor Lamps will be installed after May 3, 1985. APPLICATION: This Schedule is for (l) electric service required for Security Area Lighting and for Security Flood Lighting service where service is supplied from a Company-owned overhead wood pole system and (2) Customer-owned/Customer-maintained Area Lighting. MONTHLY BILL: Rate: (1) Securitv Area Lighting Nominal Lamp Rating: Initial Lumens Mercury Vapor Lamp: 7,000 20,000 Watts Per Lamp $27.04 $48.23 175 400 per lamp per lamp (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSIIED: August 16, 2013 ROCKY MOUNTAIN POWER A Orvrsroll Oi PACTFTCORP Fourth Canceling Third Rocky Mountain Power Exhibit No. 3 Page 6 of 46 Case No. PAC-E-'|3-04 Witness: J. Ted Weston Revision of Sheet No. 7.2 Revision of Sheet No. 7.2I.P.U.C. No.l ELECTRIC SERVICE SCHEDULE NO.7 - Continued MONTI{LY BILL: (continued) Sodium Vapor Lamps: 5,600 high intensity discharge 9,500 high intensity discharge 16,000 high intensity discharge 27,500 high intensity discharge 250 50,000 high intensity discharge 400 70 $17.17 $ 13.67 100 $19.66 $16.15 150 $2s.90 $23.06 per lamp on new pole per lamp if no new pole is required per lamp on new pole per lamp if no new pole is required per lamp on new pole per lamp if no new pole is required $37.26 per lamp on new pole $33,74 per lamp if no new pole is required $52.07 per lamp on new pole $46.10 per lamp if no new pole is required $25.90 per lamp on new pole $23.06 per lamp if no new pole is required $37.26 per lamp on new pole 533.74 per lamp if no new pole is required $52.07 per lamp on new pole S46.10 per lamp if no new pole is required Sodium Vapor Flood Lamps: 16,000 high intensity discharge 150 27 ,500 high intensity discharge 250 50,000 high intensity discharge 400 (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSIIED: August 16,2013 ROCKY MOUNTATN POWER A O|VTSTON Or PACiFCOSP Fifth Canceling Fourth Rocky Mountain Power Exhibit No. 3 Page 7 of 46 Case No. PAC-E-I 3-04 Wtness: J. Ted Weston Revision of Sheet No. 7.4 Revision of Sheet No. 7.4I.P.U.C. No. I ELECTRIC SERVICE SCHEDULE NO. 7 - Continued MONTI{LY BILL: (continued) (2) Customer-Owned/Customer-Maintained Area Lighting Energy Only (No New Service): Initiallumens Watts Per Lamp 16,000 Sodium Vapor Flood 150 $15.03 CONTRACT PERIOD: One year or longer. PROVISIONS 1. Inoperable lights will be repaired as soon as reasonably possible, during regular business hours or as allowed by company's operating schedule and requirements, provided the Company receives notification of inoperable lights form Customer or a member of the public by either notifuing Rocky Mountain Power's customer service (1-888-221-7070) or wurv.rocKvmountainpower.net/streetlights. Rocky Mountain Power's obligation to repair lights is limited to this tariff. 2. The Company reserves the right to contract for the maintenance of lighting service provided hereunder. 3. Temporary disconnection and subsequent reconnection of electrical service requested by the Customer shall be at the Customer's expense. The Customer may request temporary suspension of power for lighting by written notice. During such periods, the monthly rate will be reduced by the Company's estimated average monthly relamping and energy costs for the luminaire. The facilities may be considered idle and may be removed after 12 months of inactivity. 4. Pole re-painting, when requested by the Customer and not required for safety reasons, shall be done at the Customer's expense, using the original pole color. 5. Glare or vandalism shielding, when requested by the Customer, shall be installed at the Customer's expense. In cases of repetitive vandalism, the Company may notifu the Customer of the need to install vandal shields at the Customer's expense, or otherwise have the lighting removed. ELECTRIC SERVICE REGULATIONS: Service under this Schedule will be in accordance with the terms of the Electric Service Agreement between the Customer and the Company. The Electric Service Regulations of the Company on file with and approved by the Idaho Public Utilities Commission, including future applicable amendments, will be considered as forming a part of and incorporated in said Agreement. Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 EFFECTM: January 1,2014 Y(ffiouNrArN I.P.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 8 of 46 Case No. PAC-E-13-04 \Mtness: J. Ted Weston Fourth Revision of Sheet No. 7A.l Canceling Third Revision of Sheet No. 7A.1 ROCKY MOUNTAIN POWER ELECTRIC SBRVICE SCHEDULE NO. 7A STATE OF IDAIIO Security Area Lighting (Residential and Farm) AVAILABILITY: At any point on the Company's interconnected system for service to any customer who qualifies as a "Residential Load" or "Farm Load" under both (1) the Pacific Northwest Electric Power Planning and Conservation Act, P.L. 96-501 as the same may be amended, and (2) a Residential Purchase and Sale Agreement, under Section 5(c) of such Act and in effect between the Company and the Bonneville Power Administration. No new Mercury Vapor Lamps will be installed after May 3, 1985. APPLICATION: This Schedule is for electric service required for Security Area Lighting and for Security Flood Lighting service where service is supplied from a Company-owned overhead wood pole system. MONTHLY BILL: Rate: (1) Securitv Area Lighting Nominal Lamp Rating: Initial Lumens Mercury Vapor Lamp: 7,000 20,000 Watts 175 400 Per Lamp $27.04 per lamp $48.23 per lamp (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 Y(ffiI[-H:OUNTAIN I.P.U.C. No. I Rocky Mountain Power Exhibit No.3 Page 9 of 46 Case No. PAC-E-I$04 Witness: J. Ted Weston Fourth Revision of Sheet No. 7A.2 Canceling Third Revision of Sheet No. 7A.2 ELECTRIC SERVICE SCHEDULE NO. 7A - Continued MONTHLY BILL: (continued) Rate: Sodium Vapor Lamps: 5,600 high intensity discharge 9,500 high intensity discharge 16,000 high intensity discharge 150 27,500 high intensity discharge 2s0 50,000 high intensity discharge 400 70 s17.17 $13.67 100 $19.66 $ 16.1s per lamp on new pole per lamp if no new pole is required per lamp on new pole per lamp if no new pole is required $25.90 per lamp on new pole $23.06 per lamp if no new pole is required $37.26 per lamp on new pole $33.74 per lamp if no new pole is required $52.07 per lamp on new pole $46.10 per lamp if no new pole is required $25.90 per lamp on new pole $23.06 per lamp if no new pole is required 537.26 per lamp on new pole 533.74 per lamp if no new pole is required $52.07 per lamp on new pole $46.10 per lamp if no new pole is required Sodium Vapor Flood Lamps: 16,000 high intensity discharge 1s0 27,500 high intensity discharge 2s0 50,000 high intensity discharge (Continued) 400 EFFECTM: January 1,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 VROCKYMOUNTAINY(powen \ A DrvrSrON OF PACTHCOnF I.P.U.C. No.l Rocky Mountain Power Exhibit No. 3 Page 10 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Sixth Revision of Sheet No. 9.2 Canceling Fifth Revision of Sheet No. 9.2 ELECTRIC SERVICE SCHEDULE NO.9 - Continued MONTHLY BILL: Rate: Billing Months May through October. Inclusive Customer ServiceCharge: $370.00 per Customer Power Rate: Energy Rate: $10.26 per kW for all kW 3.9283(, per kWh for all kWh Billing Months November through April. Inclusive $370.00 per Customer $ 7.14 per kW for all kW 3.92830 per kWh for all kWh Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85o/o lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85% lagging, the Power as recorded by the Company's meter will be increased by 314 of lYo for every loh that the power factor is less than 85%. Minimum: The Customer Service Charge plus the minimum Power Charge and appropriate Energy Charges. POWER: The kW as shown by or computed from the readings of Company's Power meter for the l5-minute period of Customer's greatest use during the month, adjusted for power factor as specified, determined to the nearest kW, but not less than 80 kW. CONTRACT PERIOD: One year or longer. ELECTRIC SERVICE REGIILATIONS: Service under this Schedule will be in accordance with the terms of the Electric Service Agreement between the Customer and the Company. The Electric Service Regulations of the Company on file with and approved by the Idaho Public Utilities Commission, including future applicable amendments, will be considered as forming a part of and incorporated in said Agreement. Submitted Under Case No. PAC-E-I3-04 ISSIJED: August 16, 2013 EFFECTM: January l,2014 Y{ffiff*HIUIOUNTAIN I.P.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 11 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Eighth Revision of Sheet No. 10.2 Canceling Seventh Revision of Sheet No. 10.2 ELECTRIC SERVICE SCIIEDULE No. 10 - Continued MONTHLY BILL: (Continued) Power Rate: $5.98 per kW for all kW Energy Rate: 8.6106A per kWh for first 25,000 kwh 6.3691i, per kWh for the next 225,000 kwh 4.7011(, per kWh for alladditional kWh Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85Yo lagging, the power as recorded by the Company's meter will be increased by 3/4 of l%o for every lYothatthe power factor is less than 85%. Minimum: The Customer Service Charge. Post-Season Rate Customer Service Charge: $23.00 per Customer Energy Rate: 7.2836i, per kWh for all kWh Minimum: The Customer Service Charge. ADJUSTMENTS: All monthly bills shall be adjusted in accordance with Schedules 34 and94. PAYMENT: All monthly service billings will be due and payable when rendered and will be considered delinquent if not paid within fifteen (15) days. An advance payment may be required of the Customer by the Company in accordance with Electric Service Regulation No. 9. An advance may be required under any of the following conditions: (1) the Customer failed to pay all amounts owed to the Company when due and payable; (2) the Customer paid an advance the previous season that did not adequately cover bills for the entire season and the Customer failed to pay any balance owing by the due date of the final billing issued for the season. (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 Yffiii-H{\,IOUNTAIN LP.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 12 of 46 Case No. PAC-E-'|3-04 Wtness: J. Ted Weston Sixth Revision of Sheet No. 11.1 Canceling Fifth Revision of Sheet No. 11.1 ROCKY MOI]NTAIN POWER ELECTRIC SERVICE SCHEDT]LE NO. 11 STATE OF IDAIIO Street Lighting Service Company-Owned System AVAILABILITY: ln all territory served by the Company in the State of Idaho. APPLICATION: To unmetered lighting service provided to municipalities or agencies of municipal, county, state or federal governments for dusk to dawn illumination of public streets, highways and thoroughfares by means of Company owned, operated and maintained street lighting systems controlled by a photoelectric control or time switch. MONTHLY BILL: The Monthly Billing shall be the rate per luminaire as specified in the rate tables below. Hish Pressure Sodium Vapor Lumen Rating 5,800x 9.500 r6.000 27.500 50.000 Watts 70 100 150 250 400 Monthlv kWh 28 39 59 96 148 Functional Lishtins s15.26 $19.04 s25.9s s36.24 ss3.20 Decorative - Series I NiA $3 r.49 $34.s6 N/A N/A Decorative - Series 2 N/A $2s.91 $28.90 N/A N/A * Existing fixtures only. Service is not available under this schedule to new 5,800 lumen High Pressure Sodium vapor Fixtures. (Continued) EFFECTM: January 1,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 OCKY POWER A Orvrsrortt OF PACTRCOEP AIN Rocky Mountain Power Exhibit No.3 Page 13 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston Sixth Revision of Sheet No. 12.1 Canceling Fifth Revision of Sheet No. 12.1I.P.U.C. No. 1 ROCKY MOT]NTAIN POWER ELECTRIC SERVICE SCHEDULE NO. 12 STATE OF IDAHO Street Lighting Service Customer-Owned System AVAILABILITY: ln allterritory served by the Company in the State of Idaho. APPLICATION: To lighting service provided to municipalities or agencies of municipal, count;r, state or federal governments for dusk to dawn illumination of public streets, highways and thoroughfares by means of Customer owned street lighting systems controlled by a photoelectric control or time switch. MONTIILY BILL: 1. Energy Only Service - Rate per Luminaire Energy Only Service includes energy supplied from Company's overhead or underground circuits and does not include any maintenance to Customer's facilities. The Monthly Billing shall be the rate per luminaire as specified in the rate tables below. High Pressure Sodium Vapor- No Maintenance Monthlv kWh $ 10.18 (Continued) EFFECTM:January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 Y(HFffiHrvrouNrArN I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 14 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Fifth Revision of Sheet No. 12.2 Canceling Fourth Revision of Sheet No. 12.2 Metal Halide - No Maintenance Lgn_.! B3tl"g Watts laorinr, r.wt ELECTRIC SERYICE SCHEDULE NO. 12 - Continued MONTHLY BILL: (continued) Low Pressure Sodium Vapor - No Maintenance L_u1n_eq BAtfng 33-000 Watts 180 Monthlv kWh 74 Enersv Onlv Service $9.23 For non-listed luminaires, the cost will be calculated for 3940 annual hours of operation including applicable loss factors for ballasts and starting aids at the cost per kWh given below. Non-Listed Luminaire $/kwh Enersv Onlv Service $0. 1 03 74s 2. Maintenance Service (No New Service) Monthly maintenance is only applicable for existing effect priorto June 29,2007. A. Street Lighting. "Partial Maintenance" monthly maintenance service agreements in Mercury Vapor- Partial Maintenance L_qntq Bqtlng 10,000 20,000 Watts 250 400 Monthly kWh 93 t45 Partial Maintenance Service $ l6.ss $22.1s (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 Y{HFffiHIVIOUNTAIN Rocky Mountain Power Exhibit No. 3 Page '15 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston I.P.U.C. No. 1 Fifth Revision Canceling Fourth Revision of Sheet No. 12.3 of Sheet No. 12.3 Iligh Pressure Sodium - Partial Maintenance Partial Maintenance Service ELECTRIC SERVICE SCHEDULE NO. 12 - Continued MONTHLY BILL: (continued) B. Street Lightins. "Full Maintenance" SPECIFICATIONS AND SERVICE FOR STREET LIGHTING WITH PARTIAL AI\iD FIILL MAINTENANCE (NO NEW SERVICE): Installations must have met Company construction standards in place at the time of installation in order to receive "full maintenance." If Company is unable to obtain materials to perform maintenance, the street light facilities will be deemed obsolete and must be upgraded at customer expense in order to qualifu for maintenance under the Electric Service Schedule. Street Lighting Service under "partial maintenance" includes energy, lamp and glassware renewals and cleaning of glassware. Street Lighting Service under "full maintenance" includes energy, lamp and glassware replacements and cleaning of glassware, and replacement of damaged or inoperative photocells, ballasts, starting aids, poles, mast arms and luminaires: provided, however, that any costs for materials which are over and above costs for Company's standard materials, as determined by the Company, are not included in this Electric Service Schedule. Such extra costs shall be paid by Customer. Buming-hours of lamps will be controlled by the Company. High Pressure Sodium - Full Maintenance $1 0.1 2 (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 YlHffiIVIOUNTAIN I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 16 of 46 Case No. PAC-E-I3-04 Witness: J. Ted Weston Eighth Revision of Sheet No. 19.2 Canceling Seventh Revision of Sheet No. 19.2 ELECTRIC SERVICE SCIIEDULE NO. 19 - Continued MONTHLY BILL: Rate for space heating: Billing Months May through October. Inclusive $23.00 per Customer Billing Months November through April. Inclusive Customer Service Charge: Energy Rate: $23.00 6.9589( per Customer per kWh for all kWh9.3916(, per kWh for all kWh Rate for all other service: All other service requirements will be supplied under Electric Service Schedule No. 6, or Electric Service Schedule No. 6,4,, or Electric Service Schedule No. 23, or Electric Service Schedule No. 23A, or Electric Service Schedule No.35, or Electric Service Schedule No. 35A. SPACE IIEATING: AII space heating equipment shall be permanently installed and shall be the sole means of heating the building space occupied by the Customer. All space heating equipment and installation thereof and all supply wiring shall conform with the Company's specifications. AIR CONDITIONING: All air conditioning equipment shall be permanently installed and shall be the sole means of providing comfort cooling for the building space occupied by the Customer. All air conditioning equipment and installation thereof and all supply wiring shall conform with the Company's specifications. Electric service for comfort cooling will be metered and billed at the above rate only when Customer also uses electric service for his total space heating requirements. WATER HEATING: Water heaters served hereunder shall be insulated storage, single or multiple-unit type of construction approved by the Company, the heating units of which shall be noninductive and controlled by separate thermostats. Electric service of storage water heating will be metered and billed at the above rate only when Customer also uses electric service for his total space heating requirements. (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 I.P.U.C. No. I ROCKY MOUNTAIN POWER AOIVISDil OF PACIFEOBP Rocky Mountain Power Exhibit No. 3 Page 17 of 46 Case No. PAC-E-13-04 \Mtness: J. Ted Weston Sixth Revision of Sheet No. 23.1 Canceling Fifth Revision of Sheet No. 23.1 ROCKY MOTINTAIN POWER ELECTRIC SERVICE SCIIEDULE NO.23 STATE OF IDAIIO General Service AVAILABILITY: At any point on the Company's interconnected system where there are facilities of adequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) Energy Rate: Billing Months May through October. Inclusive $ 16.00 per Customer $49.00 per Customer 9.1825(, per kWh for all kWh Billing Months November through April. Inclusive $16.00 per Customer $49.00 per Customer 8.0157i, per kWh for all kWh (Continued) EFFECTIYE: January l, 2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 Y(ffifii*HNIOUNTAIN I.P.U.C. No. 1 Rocky Mountain Power Exhibit No.3 Page 18 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston Sixth Revision of Sheet No. 23A.1 Canceling Fifth Revision of Sheet No.23A.1 ROCKY MOI]NTAIN POWER ELECTRIC SERVICE SCHEDTILE NO.23A STATE OF'IDAHO General Service @esidential and Farm) AVAILABILITY: At any point on the Company's interconnected system where there are facilities of adequate capacity for service to any customer who qualifies as a "Residential Load" or "Farm Load" under both (1) the Pacific Northwest Electric Power Planning and Conservation Act, P.L. 96-501 as tle same may be amended, and (2) a Residential Purchase and Sale Agreement, under Section 5(c) of such Act and in effect between the Company and the Bonneville Power Administration. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Billing Months May through October. Inclusive Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) $16.00 per Customer $49.00 per Customer Energy Rate: 9.1825(, per kWh for all kWh (Continued) Billing Months November througilr April. Inclusive $16.00 per Customer $49.00 per Customer 8.0157i, per kWh for all kWh Submitted Under PAC-E- I 3-04 ISSUED: August 16,2013 EFFECTM: January l,2014 U,ROCKY MOUNTAINY(powen \ A DtvrsloN of FAcrFrcoRP LP.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 19 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston First Revision of Sheet No. 31.2 Canceling Original Sheet No.31.2 ELECTRIC SERVICE SCHEDULE NO.31 - Continued MONTHLY BILL: Rate: Billing Months May through October. Inclusive $370.00 per Customer $5.70 perkW forall kW Billing Months November through April. Inclusive $370.00 per Customer $4.30 per kW for all kW $7.74 per kW for all kW 3.9283i per kWh Customer Service Charge: Back-up Facilities Rate: Back-up Power Rate: Excess Power Rate: Supplementary Power Rate: Supplementary and Back-up Energy Rate: The Facilities Rate applies to the kW of Back-up Contract Power $0.19 all kW Day $0.14 All kW Day Back-up Power is billed on a per day basis and is based on the fifteen (15) minute period of the Customer's greatest use of Back-up Power during the day. Scheduled Maintenance Power rate is one half (ll2) of the Back-up Power Rate. 520.52 per kW for all kW $10.26 per kW for all kW 3.9283(, per kWh $15.48 per kW for all kW POWER FACTOR: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than85%o lagging, the Power as recorded by the Company's meter will be increased by % of loh for every loh that the power factor is less than 85%. (continued) EFFECTM: January 1,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 !,HffiOUNTAIN Rocky Mountain Power Exhibit No.3 Page 20 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Seventh Revision of Sheet No. 35.2 I.P.U.C. No. 1 Canceling Sixth Revision of Sheet No.35.2 ELECTRIC SERVICE SCHEDULE NO.35 - Continued MONTHLY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) Power Charge: On-Peak kW Energy Charge: Per kWh for all kWh TIME PERIODS: On-Peak 7:00 a.m. to l0:00 p.m., Monday thru Friday, except holidays. Off-Peak All other times. Due to the expansions of Daylight Saving Time (DST) as adopted under Section I 10 of the U.S. Energy Policy Act of 2005 the time periods shown above will begin and end one hour later for the period between the second Sunday in March and the first Sunday in April, and for the period between the last Sunday in October and the first Sunday in November. Holidays include only New Year's Day, President's Day, Memorial Day,Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. When a holiday falls on a Saturday or Sunday, the Friday before the holiday (if the holiday falls on a Saturday) or the Monday following the holiday (if the holiday falls on a Sunday) will be considered a holiday and consequently Off-Peak. Power Factor: This rate is based on the Customer maintaining at all times a Power factor of 85%o lagging, or higher, as determined by measurement. If the average Power factor is found to be less than 85% lagging the Power as recorded by the Company's meter will be increased by 314 of l%o for every l%o thatthe Power factor is less than 85%. Voltage Discount: Where Customer takes service from Company's available lines of 2,300 volts or higher and provides and maintains all transformers and other necessary equipment, the voltage discount based on highest measured Power during the billing cycle will be: $0.84 per kW Minimum: Customer Service Charge plus applicable Demand and Energy charges. $ 67.00 per Customer $165.00 per Customer $ 16.45 per kW 4.9609i, (Continued) EFFECTM: January 1,2014 Submitted Under Case No. PAC-E-13-04 ISSIIED: August 16, 2013 ROCKY MOUNTAIN POWER A 0rvrsrord oF PAcrFrcoiP Seventh Canceling Sixth Rocky Mountain Power Exhibit No. 3 Page 2'1 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston Revision of Sheet No. 35,4'.2 Revision of Sheet No. 35A.2I.P.U.C. No. I ELECTRIC SERYICE SCHEDULE NO.35A - Continued MONTHLY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) Power Charge: On-Peak kW Energy Charge: Per kWh for all kWh $ 67.00 per Customer $165.00 per Customer $ 16.45 per kW 4.9609A TIME PERIODS: On-Peak Off-Peak 7:00 a.m. to l0:00 p.m., Monday thru Friday, except holidays. All other times. Due to the expansions of Daylight Saving Time (DST) as adopted under Section 110 of the U.S. Enerry Policy Act of 2005 the time periods shown above will begin and end one hour later for the period between the second Sunday in March and the first Sunday in April, and for the period between the last Sunday in October and the first Sunday in November. Holidays include only New Year's Day, President's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. When a holiday falls on a Saturday or Sunday, the Friday before the holiday (if the holiday falls on a Saturday) or the Monday following the holiday (if the holiday falls on a Sunday) will be considered a holiday and consequently Off-Peak. Power Factor: This rate is based on the Customer maintaining at all times a Power factor of 85%o lagging, or higher, as determined by measurement. If the average Power factor is found to be less than 85%o lagging the Power as recorded by the Company's meter will be increased by 314 of 1%o for every 1o/othatthe Power factor is less than 85%o. Voltage Discount: Where Customer takes service from Company's available lines of 2,300 volts or higher and provides and maintains all transformers and other necessary equipment, the voltage discount based on highest measured Power during the billing cycle will be: $0.84 per kW Minimum: Customer Service Charge plus applicable Demand and Energy charges. (Continued) EFFECTM: January l,2014 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 J,ROCKYMOUNTAINYrcwep.\ A Dlvislotrr OF PACIFICORP I.P.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 22 of 46 Case No. PAC-E-1 3-04 Wtness: J. Ted Weston Ninth Revision of Sheet No. 36.2 Canceling Eiehth Revision of Sheet No. 36.2 ELECTRIC SERVICE SCHEDULE NO.36 - Continued MONTHLY BILL: Rate: Billing Months May Billing Months November throughOctober.lnclusive throughApril.Inclusive Customer Service Charge: On Peak Energy Charge: Off Peak Energy $14.00 per Customer $14.00 per Customer 1452650 per kWh 4.95711, per kWh 12.40870 per kWh4.5369i, per kWh Charge: Minimum Bill: Customer Service Charge. On Peak: Summer months-All kWh used from 8:00 A.M. to 1 l:00 P.M., Monday through Friday, except holidays. Winter months--All kWh used from 7:00 A.M. to 10:00 P.M., Monday through Friday, Oexcept holidays. Holidays include only: New Year's Day, President's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. Off Peak: All other kWh usage. Due to the expansions of Daylight Saving Time (DST) as adopted under Section 110 of the U.S. Energy Policy Act of 2005 the time periods shown above will begin and end one hour later for the period between the second Sunday in March and the first Sunday in April, and for the period between the last Sunday in October and the first Sunday in November. SEASONAL SERVICE: When seasonable service is supplied under this Schedule, the minimum seasonal charge will be $168.00 plus energy charges. CONTRACT PERIOD: One year or longer. MONTHLY BILLING REDUCTION: Rates in this schedule shall be reduced by the monthly kilowatt-hour credit adjustment set forth under "Monthly Rates" in the currently effective Electric Service Schedule No. 34. (Continued) EFFECTM: January l,2074 Submitted Under Case No. PAC-E-13-04 ISSUED: August 16,2013 !1[ffiIVIOUNTAIN I.P.U.C. No. I Rocky Mountain Power Exhibit No.3 Page 23 of 46 Case No. PAC-E-1&04 Witness: J. Ted Weston Eishthli€+,r.rf&--Revision of Sheet No. 1.1 Canceling Sr:vexthi#xth_-Revision of Sheet No. 1.1 ROCKY MOT]NTAIN POWER ELECTRIC SERVICE SCITEDULE NO.I STATE OF IDAHO Residential Service AVAILABILITY: At any point on the Company's interconnected system where there are facilities ofadequate capacity. APPLICATION: This Schedule is for alternating current electric service supplied at approximately 120 or 240 volts through one kilowatt-hour meter at a single point of delivery for all service required on the premises for Residential purposes. When conditions are such that service is supplied through one meter to more than one dwelling or apartment unit, the charge for such service will be computed by multiplying the minimum charges by the maximum number of dwelling or apafiment units that may be served. When a portion of a dwelling is used regularly for business, professional or other gainful purposes, the premises will be classified as nonresidential and the appropriate schedule applied. However, if the wiring is so arranged that the service for Residential purposes can be metered separately, this Schedule will be applied to such service. MONTHLY BILL: Customer Service Charge: $5.00 per Customer Energy Charge:(l) Billing months May through October inclusive 10.8't5q q%Ap per kWh first 700 kWh 14.56!+6S2:l per kWh all additional kwh (Continued) Submitted Under,'xd+iceXrr, I i $}dlas* lri o. t'}Ac- t-.- I 3-il4 ISSUED: -,Lugts:_l_6...?fi.l_lee+ebt*-"t-%4*-14 EFFECTM: @ }.ffiruouNrArN I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 24 of 46 Case No. PAC-E-1&.04 Wtness: J. Ted Weston li<rr*ntS[jgh* Revision of Sheet No. 1.2 Canceling $ixtFfigygn{h Revision of Sheet No. 1.2 ELECTRIC SERVICE SCHEDULE NO. 1- Continued MONTHLY BILL: (continued) Billing months November through April inclusive L*$:+Wtll per kWh first 1,000 kWh I 1.+I4ll&l per kWh all additional kwh MONTHLY BILLING REDUCTION: Rates in this schedule shall be reduced by the monthly kilowatt-hour credit adjustment set forth under "Monthly Rates" in the currently effective Electric Service Schedule No. 34. SEASONAL SERVICE: When seasonal service is supplied under this Schedule, the minimum seasonal charge will be $60.00. CONTRACT PERIOD: One year or longer. ELECTRIC SERVICE REGULATIONS: Service under this Schedule will be in accordance with the terms of the Electric Service Agreement between the Customer and the Company. The Electric Service Regulations of the Company on file with and approved by the Idaho Public Utilities Commission, including future applicable amendments, will be considered as formingapart of and incorporated in said Agreement. Submitted Under Atlrrie*-i{ *.fi*}{] c se },1 r:. I} A {' - f;: - I "i -{ }4 ISSUED: A.ugtjs_f I (lj9tiale****.-{a;+&L} (2) EFFECTI\rE: January l, 4q-4&:{}"}.4 I.P.U.C. No. 1 ROCKY MOUNTAIN FIOWER A B'V|SION OT PAOFCONP Rocky Mountain Power Exhibit No. 3 Page 25 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston -Fi{*b$!$I_Revision of Sheet No. 6.1 Canceling po*x+*fi ftLnevision of Sheet No. 6. 1 ROCKY MOI'NTAIN POWER ELECTRIC SERVICE SCHEDULE NO.6 STATE OF IDAHO General Service - Large Power AVAILABILITY: At any point on the Company's interconnected system where there are facilities ofadequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Rate: Billing Months May through October. Inclusive Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) $ 37.00 per Customer Primary voltage delivery (2300 volts or higher) $ I I 1.00 per Customer Billing Months November throueh April. Inclusive $ 37.00 per Customer $ 1 I 1.00 per Customer $ I l.8i per kW for all kW 3.6<rq6i per kWh for all kWhyx( Power Rate: Energy Rate: $ 14.36 3.$6qq 2230 per kW for all kW per kWh for all kWh (Continued) Submitted Under ease+**{4-{tr ase I\ o. tr1 ht:.-h.- 1 3 -l}4 ISSUED: G*{"&bs*.%+$.#Ailrust 1 {l, 20 1 3 EFFECTM: January l, 3$-l3?_$*ij{ -ROCKYMOUNTAIN-(powen \ A Drvrsroil oF PAcrFrcoRP I.P.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 26 of 46 Case No. PAC-E-1$04 Vvitness: J. Ted Weston $#th-Sixth Revision of Sheet No.6A.1 Canceling ee***fif* nevision of Sheet No. 6A.1 ROCKY MOI]NTAIN POWER ELECTRIC SERVICE SCI{EDULE NO.6A STATE OF IDAI{O General Service - Large Power @esidential and Farm) AVAILABILITY: At any point on the Company's interconnected system where there are facilities of adequate capacity for service to any customer who qualifies as a "Residential Load" or "Farm Load" under both (l) the Pacific Northwest Electric Power Planning and Conservation Act, P.L. 96-501 as the same may be amended, and (2) a Residential Purchase and Sale Agreement, under Section 5(c) of such Act and in effect between the Company and the Bonneville Power Administration. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTI{LY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) $ 37.00 Primary voltage delivery (2300 volts Billing Months May throueh October. Inclusive per Customer Billing Months November through April. Inclusive $ 37.00 per Customer $ I I 1.00 per Customer $ I 1.81 per kW for all kW 3.6#161 per kWh for all kWh 293-A or higher) Power Rate: Energy Rate: $ 111.00 $ 14.36 3.66{}6i i'l J9 per Customer per kW for all kW per kWh for all kWh (Continued) Submitted Under **{vie++,++.J*"{$Cn se N o. P A {' - E - 1 .i -{}:i ISSUED: Ae*ber-ir)-2$"*;drerrust I ii. 20 1 ;?EFFECTM: January l, 2$#?01l- LP.U.C. No. I ROCKY MOUNTAIN POWER ,\ orvrGloir oi PAclRcoEP Rocky Mountain Power Exhibit No. 3 Page 27 of 46 Case No. PAC-E-13-04 Vvitness: J. Ted Weston Xs*r*fitn nevision of Sheet No. 7.1 Canceling Sh.il*l-'f'qgg[h Revision of Sheet No. 7.1 ROCKY MOI]NTAIN POWER ELECTRIC SERYICE SCIIEDT]LE NO.7 STATE OF'IDAHO Security Area Lighting AVAILABILITY: At any point on the Company's interconnected system. No new Mercury Vapor Lamps will be installed after May 3, 1985. APPLICATION: This Schedule is for (1) electric service required for Security Area Lighting and for Security Flood Lighting service where service is supplied from a Company-owned overhead wood pole system and (2) Customer-owned/Customer-maintained Area Lighting. MONTI{LY BILL: Rate: (1) Securitv Area Lighting Nominal Lamp Rating: lnitial Lumens Mercury Vapor Lamp: 7,000 20,000 Watts Per Lamp $affia::-gj $+;#6.jis.il per lamp per lamp 175 400 (Continued) Submitted Under *dvi€s-lJ€:+2-S+Ccse No. PAC- h.- I 3 -01 ISSUED: {X-&*eF+ryBAusL:st 1 6- 20 I 3 EFFECTM: January l, 3+S3gl4 ryffi;l'IouNrArN LP.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 28 of 45 Case No. PAC-E-13-04 Witness: J. Ted Weston Shir*Egg;1lh Revision of Sheet No. 7.2 Canceling Wlt{Revision of Sheet No. 7.2 ELECTRIC SERVICE SCI{EDIILE NO. 7 - Continued MONTHLY BILL: (continued) Sodium Vapor Lamps: 5,600 high intensity discharge 70 pole 9,500 high intensity discharge pole 16,000 high intensity discharge pole no new 27,500 high intensity discharge pole 50,000 high intensity discharge pole Sodium Vapor Flood Lamps: 16,000 high intensity discharge pole 27 ,500 high intensity discharge pole $17.841: per lamp on new $13.566: per lamp if no new pole is required $19.f,-(r6 per lamp on new S16.€+5 per lamp if no new pole is required $25.+{}99 per lamp on new $*.*ss23Jxr-per lamp if pole is required $3WL26 per lamp on new $33.4.e7_4 per lamp if no new pole is required $5-{-{i72.0: per lamp on new 84.>#4*l{) per lamp if no new pole is required $25.7$9S per lamp on new $23.8S3.Q6 per lamp if no new pole is required $3$WlS per lamp on new $33.4$74 per lamp if no new pole is required 100 150 400 150 250 250 EFFECTM: January l, 2SJ*Sgll Submitted Under A.<iviee+lt;=-}i*$3Ca se N o. f' AC' - f - ] :1 -( l.{ ISSUED: l- YffiffiHtr'IOUNIAIN I.P.U.C. No. I Rocky Mountain Power Exhibit No.3 Page 29 of 45 Case No. PAC-E-I3-04 Wtness: J. Ted Weston &irefoq{.h_Revision of Sheet No. 7.2 Canceling {ieeffie|rd Revision of Sheet No. 7.2 50,000 high intensity discharge pole (Continued) $5t#?:$_i per lamp on new $4$r?46.U1 per lamp if no new pole is required 400 Submitted Under advie*Fb-l*-$3C a s*'hi o. P A C - f, - I 3 -{}":l ISSUED:EFFECTM: January l, 3S-}32QI4 I.P.U.C. No. 1 ROCKY MOUNTAIN POWER A O|VTS|ON OF PaC|FTCORP Rocky Mountain Power Exhibit No. 3 Page 30 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston s<llrx&-gi&h Revision of Sheet No.7.4 Canceling S&ireF:tgtkRevision of Sheet No. 7.4 ELECTRIC SERVICE SCHEDULE NO. 7 - Continued MONTHLY BILL: (continued) (2) Customer-Owned/Customer-Maintained Area Lightin g Energy Only (No New Service): Initial Lumens Watts Per Lamp 16,000 Sodium Vapor Flood 150 $-l4Jtl-1.i.,.{l-1 CONTRACT PERIOD: One year or longer. PROVISIONS l. Inoperable lights will be repaired as soon as reasonably possible, during regular business hours or as allowed by company's operating schedule and requirements, provided the Company receives notification of inoperable lights form Customer or a member of the public by either notifuing Rocky Mountain Power's customer service (l-888-221-7070) or wwrv.rockvmountainpower.net/streetlishts, Rocky Mountain Power's obligation to repair lights is limited to this tariff. 2. The Company reserves the right to contract for the maintenance of lighting service provided hereunder. 3. Temporary disconnection and subsequent reconnection of electrical service requested by the Customer shall be at the Customer's expense. The Customer may request temporary suspension of power for lighting by written notice. During such periods, the monthly rate will be reduced by the Company's estimated average monthly relamping and energy costs for the luminaire. The facilities may be considered idle and may be removed after 12 months of inactivity. 4. Pole re-painting, when requested by the Customer and not required for safety reasons, shall be done at the Customer's expense, using the original pole color. 5. Glare or vandalism shielding, when requested by the Customer, shall be installed at the Customer's expense. In cases of repetitive vandalism, the Company may notiff the Customer of the need to install vandal shields at the Customer's expense, or otherwise have the lighting removed. ELECTRIC SERVICE REGULATIONS: Service under this Schedule will be in accordance with the terms of the Electric Service Agreement between the Customer and the Company. The Electric Service Regulations of the Company on file with and approved by the ldaho Public Utilities Commission, including future applicable amendments, will be considered as forming a part of and incorporated in said Agreement. S ubm itted Un der At{+4e*-}{,+--+2-t#i {l n s c N r:. l} A{' - F. - 1 3 -tl :tr ISSIJED : <lex#er-+if++*a!rgu$5-: 0_1j EFFECTM: January l, 3+SlQll ROCKY MOUNTAIN POWER A OrvrsroN Or PAC|FTCOiP Rocky Mountain Power Exhibit No. 3 Page 31 of 46 Case No. PAC-E-13-M Wtness: J. Ted Weston Seire&urlh Revision of Sheet No. 7A.l Canceling See$x*-&i$LRevision of Sheet No. 7A.lI.P.U.C. No. 1 ROCKY MOT]NTAIN POWER ELECTRIC SERVICE SCHEDULE NO. 7A STATE OF IDAHO Security Area Lighting @esidential and Farm) AVAILABILITY: At any point on the Company's interconnected system for service to any customer who qualifies as a "Residential Load" or "Farm Load" under both (1) the Pacific Northwest Electric Power Planning and Conservation Act, P.L. 96-501 as the same may be amended, and (2) a Residential Purchase and Sale Agreement, under Section 5(c) of such Act and in effect between the Company and the Bonneville Power Administration. No new Mercury Vapor Lamps will be installed after May 3, 1985. APPLICATION: This Schedule is for electric service required for Security Area Lighting and for Security Flood Lighting service where service is supplied from a Company-owned overhead wood pole system. MONTHLY BILL: Rate: (l) Securitv Area Lighting Nominal Lamp Rating: Initial Lumens Mercury Vapor Lamp: 7,000 20,000 Watts 175 400 Per Lamp $2*WLfr"4 per lamp $4!.869.:l per lamp (Continued) Submitted Under C as e N o. PAC - F,- 1 3 -04,4etvie*)i+^-i?-{}} ISSUED: @Lis!- 1fi*2"4 ),1 EFFECTIYE: January 1, *)+32p)A I.P.U.C. No. I ROCKY MOUNTAIN FOWER A OMSrS.l Or PACTFCOnP Rocky Mountain Power Exhibit No.3 Page 32 of 45 Case No. PAC-E-1 3-04 Vvitness: J. Ted Weston +hirdl.tgggh Revision of Sheet No. 7A.2 Canceling Sses**I$x|nwision of Sheet No. 7A.2 ELECTRIC SERVICE SCHEDIILE NO. 7A - Continued MONTHLY BILL: (continued) Rate: Sodium Vapor Lamps: 5,600 high intensity discharge 70 pole 9,500 high intensity discharge pole 16,000 high intensity discharge pole 27,500 high intensity discharge pole 50,000 high intensity discharge pole Sodium Vapor Flood Lamps: 16,000 high intensity discharge pole 27,500 high intensity discharge pole $17.84]l per lamp on new $13.56(f per lamp if no new pole is required $19.$+S$ per lamp on new $16.s3l: per lamp if no new pole is required $25.;S90 per lamp on new $24.8S3.0& per lamp if no new pole is required $36*#:26 per lamp on new $33.48:l per lamp if no new pole is required $5-W2.07 per lamp on new $4W,*JA per lamp if no new pole is required $25.;Sgg per lamp on new $2}*&3.06 per lamp if no new pole is required $3ffi:/i.per lamp on new $33.48:1 per lamp if no new 100 150 250 400 150 250 EFFECTM: January l,X]-#,Zilr| Submitted Under 44rriee*le.-ll43Clr se N o. P A C - E - 1 :1 -01 ISSUED: o*lt#e'r_{{!4$l}rtuuust I {r. 20 I 3 LP.U.C. No. 1 ROCKY MOUNTAIN FIOWER A OTVTSTON Of PACTFTCORp Rocky Mountain Power Exhibit No. 3 Page 33 of 46 Case No. PAC-E-13-04 \Mtness: J. Ted Weston +*ir*'Fou11[h Revision of Sheet No. 7A.2 Canceling $ec&nt*^I'hir* Revision of Sheet No. 7A.2 50,000 high intensity discharge pole (Continued) pole is required $54ti}2$j per lamp on new $45.z16l_0 per lamp if no new pole is required 400 Submitted Under '{,M}Csse No. pAC-f.-l3-{}1 ISSIIED: $etober-+.*a$*+Ausust I {i. 20 1 -''EFFECTwE: January l, 2S-S101,1 }1ffiouNrArN I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 34 of 46 Case No. PAC-E-1&04 \Mtness: J. Ted Weston S*f+Fiiirlh Revision of Sheet No. 9.2 Canceling fo*rt*-fitn nevision of Sheet No. 9.2 ELECTRIC SERYICE SCHEDULE NO.9 - Continued MONTIILY BILL: Rate: Billing Months May through October. Inclusive Customer Service Charge: $370.00 per Customer Power Rate: Energy Rate: $10.26 per kW for all kW 3.$.S".'5$ per kWh for all kWh ;a\ )p Billing Months November through April. Inclusive $370.00 per Customer $ 7.74 per kW for all kW 3.$$-4Sg per kWh for all kWh 2&)O Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. [f the average power factor is found to be less than 85% lagging, the Power as recorded by the Company's meter will be increased by 314 of lYo for every l%o that the power factor is less than 85Yo. Minimum: The Customer Service Charge plus the minimum Power Charge and appropriate Energy Charges. POWER: The kW as shown by or computed from the readings of Company's Power meter for the l5-minute period of Customer's greatest use during the month, adjusted for power factor as specified, determined to the nearest kW, but not less than 80 kW. CONTRACT PERIOD: One year or longer. ELECTRIC SERVICE REGULATIONS: Service under this Schedule will be in accordance with the terms of the Electric Service Agreement between the Customer and the Company. The Electric Service Regulations of the Company on file with and approved by the Idaho Public Utilities Commission, including future applicable amendments, will be considered as formingapart of and incorporated in said Agreement. Submitted Under **#es-H"J**{tiC;r se N o. P A C- E- 1 3 -{}4 ISSI]ED:EFFECTM: January l, 38*3gl_4 -,ROCKYMOUNTAIN-(powen \ A DrvrsroN oF PAclFrcoiP I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 35 of 46 Case No. PAC-E-I 3-04 Witness: J. Ted Weston eeren*h-&lgltjl1.Revision of Sheet No. 10.2 Cancelins {iix*FScv*nth Revision of Sheet No. 10.2 ELECTRIC SERVICE SCHF.DULE No. l0 - Continued MONTIILY BILL: (Continued) Power Rate: Energy Rate: Post-Season Rate Customer Service Charge: Energy Rate: $5.98 per kW for all kW 8.5*{:-61061 per kWh for first 25,000 kwh 6.3-{-033(}.91p per kWh for the next225,000 kWh 4.6?147AlW per kWh for all additional kWh $23.00 per Customer 7.U-#28361 per kWh for all kWh Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85% lagging, the power as recorded by the Company's meter will be increased by 314 of l%o for every l%o that the power factor is less than 85Yo. Minimum: The Customer Service Charge. Minimum: The Customer Service Charge. ADJUSTMENTS: All monthly bills shall be adjusted in accordance with Schedules 34 and94. PAYMENT: All monthly service billings will be due and payable when rendered and will be considered delinquent if not paid within fifteen (15) days. An advance payment may be required of the Customer by the Company in accordance with Electric Service Regulation No. 9. An advance may be required under any of the following conditions: (l) the Customer failed to pay all amounts owed to the Company when due and (2) payable; the Customer paid an advance the previous season that did not adequately cover bills for the entire season and the Customer failed to pay any balance owing by the due date of the final billing issued for the season. (Continued) Submitted Under -4dvi*r*i{*=.14J,$C* ** N o. l'},4 f - E - ] -i -{ }"{ ISSIIED: @s:j6.2913 EFFECTM: January l, 3$*;rll ROCKY MOUNTAIN POWER A OrvlSION OT PACIFICOHP Rocky Mountain Power Exhibit No.3 Page 36 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston #:th-Sixth Revision of Sheet No. 11.1 I.P.U.C. No. 1 Canceling St+rlrt&-fiflL Revision of Sheet No. 11.1 ROCKY MOTJNTAIN POWER ELECTRIC SERVICE SCHEDULE NO.11 STATE OF IDAHO Street Lighting Service Company-Owned System AVAILABILITY: In all territory served by the Company in the State of ldaho. APPLICATION: To unmetered lighting service provided to municipalities or agencies ot' municipal, county, state or federal governments for dusk to dawn illumination of public streets, highways and thoroughfares by means of Company owned, operated and maintained street lighting systems controlled by a photoelectric control or time switch. MONTHLY BILL: The Monthly Billing shall be the rate per luminaire as specified in the rate tables below. Hish Pressure Sodium Vaoor Lumen Rating 5.800*9.s00 16.000 27.500 50.000 Watts 70 100 ls0 250 400 Monthlv kWh 28 39 59 96 148 Functional Liehtine $15.{*ifu $18-ti99.{i4 $25."?595 $3$"$6$*3 1 ss;;qt.20 Decorat ve - Series 1 N/A $31.;51e $34.2956 N/A NiA Decorat ve - Series 2 N/A $25.7+q i s28.6Sqii N/A N/A * Existing fixtures only. Service is not available under this schedule to new 5,800 lumen High Pressure Sodium vapor Fixtures. (Continued) Submitted Under advi*e-+.,t*"-a *4*{. as* hl>. il,A [' - b. - 1 "i -{};] ISSUED: $e&>ber-f#B;\*uu st I * " 2{}'23 EFFECTIYE: January 1, 3S{+3AH ROCKY MOUNTAIN POWER A O,v|SlOlr OF P clrrcOiP Rocky Mountain Power Exhibit No. 3 Page 37 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston "ffiab'filxth Revision of Sheet No. Canceling $our+hEjllh Revision of Sheet No.I.P.U.C. No. 1 12.1 t2.t ROCKY MOUNTAIN POWER ELECTRIC SERVICE SCHEDI]LE NO. T2 STATE OF IDAIIO Street Lighting Service Customer-Owned System AVAILABILITY: In all territory served by the Company in the State of Idaho. APPLICATION: To lighting service provided to municipalities or agencies of municipal, county, state or federal governments for dusk to dawn illumination of public streets, highways and thoroughfares by means of Customer owned street lighting systems controlled by a photoelectric control or time switch. MONTHLY BILL: 1. Energy Only Service - Rate per Luminaire Energy Only Service includes energy supplied from Company's overhead or underground circuits and does not include any maintenance to Customer's facilities. The Monthly Billing shall be the rate per luminaire as specified in the rate tables below. (Continued) Iligh Pressure Sodium Vapor- No Maintenance $ 10.+-& i8 Submitted Under +dviee-5k {+&}tl*se No. PAC-L-l3-{}^:t ISSUED:@?013 EFFECTM: January l, W.Lt{;! !(.fiffiruouNrAIN I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 38 of 46 Case No. PAC-E-'!3-04 Witness: J. Ted Weston S{}"r{i}-E!8h Revision of Sheet No. 12.2 Canceling &*i*r$Iiourt![Revision of Sheet No. 12.2 Metal Halide - No Maintenance L_u1n_eg Bgtirg Watts Monthlv kWh $15.s2q ELECTRIC SERVICE SCHEDULE NO. 12 - Continued MONTIILY BILL: (continued) Low Pressure Sodium Vapor - No Maintenance L_u1ne4 Bqtine 33.000 Watts 180 Monthlv kWh 74 Enersv Onlv Service $9.+623 For nonJisted luminaires, the cost will be calculated for 3940 annual hours of operation including applicable loss factors for ballasts and starting aids at the cost per kWh given below. Non-Listed Luminaire $/kwh Enersv Onlv Service $0.+4+3+4410ji& 5 2. Maintenance Service (No New Service) Monthly maintenance is only applicable for existing monthly maintenance service agreements effect prior to June 29,2007. A. Street Lighting. "Partial Maintenance" Mercury Vapor - Partial Maintenance L_u1n_eq Bqtfrg 10.000 20,000 Watts 250 400 Monthlv kWh 93 t4s Partial Maintenance Service $16.-*s: $2#.I&]J i (Continued) tn Submitted Under +dv.iee-*s.-+3-#:( I a sc N o. P A {' - E - 1 3 -{}-1 ISSUED: Oetr+ires-L9-*{}{.7Auoust I 6. 2t} 1 i EFFECTM: January l, 3$-}320I ,.1 Y(ffi{rrrouNrArN I.P.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 39 of 46 Case No. PAC-E-1 3-04 Wtness: J. Ted Weston foll**+fif* nevision of Sheet No. 12.3 Canceling Third-Fouflh Revision of Sheet No. 12.3 I{igh Pressure Sodium - Partial Maintenance Monthlv kWh $ 12.-r4:i $ l6.a'6.4e ELECTRIC SERVICE SCI{EDULE NO. 12 - Continued MONTHLY BILL: (continued) B. Street Lighting. "Full Maintenance" SPECIFICATIONS AND SERVICE FOR STREET LIGHTING WITH PARTIAL ANI) FULL MAINTBNANCE (NO NEW SERVICE): Installations must have met Company construction standards in place at the time of installation in order to receive "full maintenance." If Company is unable to obtain materials to perform maintenance, the street light facilities will be deemed obsolete and must be upgraded at customer expense in order to quali$ for maintenance under the Electric Service Schedule. Street Lighting Service under "partial maintenance" includes energy, lamp and glassware renewals and cleaning of glassware. Street Lighting Service under "full maintenance" includes energy, lamp and glassware replacements and cleaning of glassware, and replacement of damaged or inoperative photocells, ballasts, starting aids, poles, mast arms and luminaires: provided, however, that any costs for materials which are over and above costs for Company's standard materials, as determined by the Company, are not included in this Electric Service Schedule. Such extra costs shall be paid by Customer. Burning-hours of lamps will be controlled by the Company. (Continued) High Pressure Sodium - Full Maintenance $ 10.{,4 I :$13.+-616 $17.556q S ubm itted Und er 4{ivi-ae-}+i}.-14-{ * {-'. * *': N *. f ',4 f - F. - 1 3 -t};l ISSUED:Wl"=:EFFECTWE: January l, #J-14.N)"L1 YI,ffiXIVIOUNTAIN I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 40 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston Sev€"+h-EiefiLRevision of Sheet No. 19.2 Canceling {iix*.k-$*venth Revision of Sheet No. 19.2 ELECTRIC SERVICE SCHEDULE NO. 19 - Continued MONTHLY BILL: Rate for space heating: Billing Months May through October. Inclusive Customer Service Charge: Energy Rate: $23.00 per Customer 9.W121 per kWh for all kWh 6( Billing Months November through April. Inclusive $23.00 per Customer 6.$$}}115-3" per kWh for all kWh 9A Rate for all other serviee: All other service requirements will be supplied under Electric Service Schedule No. 6, or Electric Service Schedule No. 6,4., or Electric Service Schedule No. 23, or Electric Service Schedule No. 23A, or Electric Service Schedule No.35, or Electric Service Schedule No. 35A. SPACE IIEATING: All space heating equipment shall be permanently installed and shall be the sole means of heating the building space occupied by the Customer. All space heating equipment and installation thereof and all supply wiring shall conform with the Company's specifications. AIR CONDITIONING: All air conditioning equipment shall be permanently installed and shall be the sole means of providing comfort cooling for the building space occupied by the Customer. All air conditioning equipment and installation thereof and all supply wiring shall conform with the Company's specifications. Electric service for comfort cooling will be metered and billed at the above rate only when Customer also uses electric service for his total space heating requirements. WATER HEATING: Water heaters served hereunder shall be insulated storage, single or multiple-unit type of construction approved by the Company, the heating units of which shall be noninductive and controlled by separate thermostats. Electric service of storage water heating will be metered and billed at the above rate only when Customer also uses electric service for his total space heating requirements. (Continued) Subm itted Under Ativ.i€.*+,k,. 4*-tdbd'.*s* hj o. P A (' - L. - I 3 -{}"'1 ISSUED : Au*ott lffi,j{}ctr+b*r49.*$$EFF'ECTM: January 1, +SS:0IJ Xffififfi:OUNT*N Rocky Mountain Power Exhibit No. 3 Page 41 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston .Fift{r-&Revision of Sheet No.23.1 Canceling f**r*trfiifiL Revision of Sheet No.23.1I.P.U.C. No. I ROCKY MO{'NTAIN POWER ELECTRIC SERVICE SCIIEDI]LE NO.23 STATE OF IDAHO General Service AVAILABILITY: At any point on the Company's interconnected system where there are facilities ot adequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Billing Months May Billing Months November through October.Inclusive through April.Inclusive Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) $16.00 per Customer $16.00 per Customer Primary voltage delivery (2300 volts or higher) $49.00 per Customer $49.00 per Customer Energy Rate: 9."+-*3411 per kWh for all kWh 484{F'fr per kWh for all kWhwo .a$ifi (Continued) Submitted Under *tal..ie*-Fi-:,+*-{}3 Cn se hi o. F A C' - F. - l 3 -(l;l ISSUED: EFFECTIVE: January l, AS-S?S-"U J,ROCKYMOUNTAIN-(powen \ A D,vrsrori OF PACTFTCORP I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 42 of 46 Case No. PAC-E-1$04 Witness: J. Ted Weston Sif+&-Sixth Revision of Sheet No.23A.1 Canceling eo*xbflftn nevision of Sheet No. 23A.1 ROCI(Y MOT]NTAIN POWER ELECTRIC SERVICE SCHEDULE NO.23A STATE OF IDAHO General Service @esidential and Farm) AVAILABILITY: At any point on the Company's interconnected system where there are facilities of adequate capacity for service to any customer who qualifies as a "Residential Load" or "Farm Load" under both (l) the Pacific Nonhwest Electric Power Planning and Conservation Act P.L. 96-501 as the same may be amended, and (2) a Residential Purchase and Sale Agreement, under Section 5(c) of such Act and in effect between the Company and the Bonneville Power Administration. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at Company's available voltage through one metering installation at a single point of delivery for all service required on the premises. MONTHLY BILL: Billing Months May Billing Months November through October. Inclusive through April. Inclusive Customer Serryice Charge: Secondary voltage delivery (Less than 2300 volts) $16.00 per Customer $16.00 per Customer Primary voltage delivery (2300 volts or higher) $49.00 per Customer $49.00 per Customer Energy Rate: 9.+&;*l per kWh for all kWh ;$46+E per kWh for all kWh$2ifi .ttj3.0 (Continued) Submitted Under 4 tlr,-ie;e i',J o, 1 *-0i r) h{' -f .;'"\ -O ::t ISSTIED:EFFECTIVE: January l, 3$-}3:0_!l V/,ROCKY MOUNTAINY(powen \ ,' D|VISION Of PACIFICORP I.P.U.C. No. I Rocky Mountain Power Exhibit No. 3 Page 43 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston First R*r'ision of Sheet lia. 31.2 {rlnqqliqq, Original Sheet No. 31.2 ELECTRIC SERVICE SCHEDULE NO.31- Continued MONTHLY BILL: Rate: Billing Months May through October. Inclusive $370.00 per Customer $5.70 per kW for all kW The Facilities Rate applies to the kW S0.19 all kW Day Customer Service Charge: Back-up Facilities Rate: Back-up Power Rate: Excess Power Rate: Supplementary $10.26 per kW for all kW Power Rate: Supplementary 3.e{#$3 per kWh and Back-up 1.8.?.i Energy Rate: Billing Months November through April. Inclusive S370.00 per Customer $4.30 per kW for all kW of Back-up Contract Power S0.14 AllkW Day $7.74 per kW for all kW 3.SSA.{! per kWh 2?,3i Back-up Power is billed on a per day basis and is based on the fifteen (15) minute period of the Customer's greatest use of Back-up Power during the day. Scheduled Maintenance Power rate is one halt(ll2) of the Back-up Power Rate. $20.52 per kW for all kW $15.48 per kW for all kW POWER FACTOR: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85% lagging, the Power as recorded by the Company's meter will be increased by % of l%o for every lo/o that the power factor is less than 85%. (continued) EFFECTIYE: January 1, +$1{.2U1 Submitted Under Case No. PAC-E-t}-.}*l3-{};l ISSUED:@6.2{}13 I.P.U.C. No. I ROCKY MOUNTAIN PO\fiIER A OtVlSrOia Oi PAC:FTCORP Rocky Mountain Power Exhibit No. 3 Page 44 of 46 Case No. PAC-E-13-04 Witness: J. Ted Weston $ix*n-Sgyg$'hRevision of Sheet No. 35.2 Canceling $i*h"giflllRevision of Sheet No. 35.2 ELECTRIC SERVICE SCIIEDULE NO.35 - Continued MONTHLY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) Power Charge: On-Peak kW Energy Charge: Per kWh for all kWh Minimum: $ 67.00 per Customer $165.00 per Customer $ 16.45 per kW 4.9fr$es45(, TIME PERIODS: On-Peak 7:00 a.m. to 10:00 p.m., Monday thru Friday, except holidays. Off-Peak All other times. Due to the expansions of Daylight Saving Time (DST) as adopted under Section 110 of the U.S. Energy Policy Act of 2005 the time periods shown above will begin and end one hour later for the period between the second Sunday in March and the first Sunday in April, and for the period between the last Sunday in October and the first Sunday in November. Holidays include only New Year's Day, President's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. When a holiday falls on a Saturday or Sunday, the Friday before the holiday (if the holiday falls on a Saturday) or the Monday following the holiday (if the holiday falls on a Sunday) will be considered a holiday and consequently Off-Peak. Power Factor: This rate is based on the Customer maintaining at all times a Power factor of 85% lagging, or higher, as determined by measurement. If the average Power factor is found to be less than 85o/o lagging the Power as recorded by the Company's meter will be increased by 314 of l%o for every l%o that the Power factor is less than 85%o. Voltage Discount: Where Customer takes service from Company's available lines of 2,300 volts or higher and provides and maintains all transformers and other necessary equipment, the voltage discount based on highest measured Power during the billing cycle will be: $0.84 per kW Customer Service Charge plus applicable Demand and Energy charges. (Continued) Submitted Under 4eh'iee ;".Jt#r-{13[]ns* hl*" f A['-E-13-{}jl ISSUED: 0*;{ie*-+{La+t+Au:rusl 1 6" 20 I 3 EFFECTM: January l, 3{}13?_Ql4 ryHFfiffi{vrouNrArN I.P.U.C. No. 1 Rocky Mountain Power Exhibit No. 3 Page 45 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston $ix**$eyet*l& Revision of Sheet No.35A.2 Canceling $i&b$i$&_Revision of Sheet No. 35A.2 ELECTRIC SERVICE SCHEDULE NO.35A - Continued MONTHLY BILL: Customer Service Charge: Secondary voltage delivery (Less than 2300 volts) Primary voltage delivery (2300 volts or higher) Power Charge: On-Peak kW Energy Charge: Per kWh for all kWh $ 67.00 per Customer $165.00 per Customer $ 16.45 per kW 4.q#"r$y6gea TIME PERIODS: On-Peak 7:00 a.m. to 10:00 p.m., Monday thru Friday, except holidays. Off-Peak All othertimes. Due to the expansions of Daylight Saving Time (DST) as adopted under Section 110 of the U.S. Energy Policy Act of 2005 the time periods shown above will begin and end one hour later for the period between the second Sunday in March and the first Sunday in April, and for the period between the last Sunday in October and the first Sunday in November. Holidays include only New Year's Day, President's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. When a holiday falls on a Saturday or Sunday, the Friday before the holiday (if the holiday falls on a Saturday) or the Monday following the holiday (if the holiday falls on a Sunday) will be considered a holiday and consequently Off-Peak. Power Factor: This rate is based on the Customer maintaining at all times a Power factor of 85%o lagging, or higher, as determined by measurement. If the average Power factor is found to be less than 85%o lagging the Power as recorded by the Company's meter will be increased by 314 of 1%o for every l%o thatthe Power factor is less than 85%. Voltage Discount: Where Customer takes service from Company's available lines of 2,300 volts or higher and provides and maintains all transformers and other necessary equipment, the voltage discount based on highest measured Power during the billing cycle will be: $0.84 per kW Minimum: Customer Service Charge plus applicable Demand and Energy charges. (Continued) Submitted Under Ad+i€+-bi{i:-1*-{}3f ' ase N c. P;\ C - }1- I i -04 ISSUED: S**rbe*-{4'+B+AAusust l{r. l0 ti EFFECTIVE: January 1, !,$-t32i)"1_{ I.P.U.C. No. 1 ROCKY MOUNTAIN POWER A OTVTSTON OF PACTFTCORP Rocky Mountain Power Exhibit No. 3 Page 46 of 46 Case No. PAC-E-13-04 Wtness: J. Ted Weston *ighfhilisgh,"Revision of Sheet No. 36.2 Canceling Xishth$er€nttl Revision of Sheet No. 36.2 ELECTRIC SERVICE SCHEDT LE NO.36 - Continued MONTHLY BILL: Rate: Billing Months May Billing Months November throughOctober.Inclusive throughApril.Inclusive $14.00 per Customer $14.00 per CustomerCustomer Service Charge: On Peak Energy Charge: Off Peak Energy Charge: 14.&e45")" per kWh {t5t, 4.$+.;1"815_i_ per kWh L( 12.&.$Al)49& per kWhi( 4.49"8a5i{;:l per kWh i Minimum Bill: Customer Service Charge. On Peak: Summer months-All kWh used from 8:00 A.M. to l1:00 P.M., Monday through Friday, except holidays. Winter months-All kWh used from 7:00 A.M. to 10:00 P.M., Monday through Friday, except holidays. Holidays include only: New Year's Day, President's Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day. Off Peak: All other kWh usage. Due to the expansions of Daylight Saving Time (DST) as adopted under Section 110 of the U.S. Energy Policy Act of 2005 the time periods shown above will begin and end one hour later for the period between the second Sunday in March and the first Sunday in April, and for the period between the last Sunday in October and the first Sunday in November. SEASONAL SERVICE: When seasonable service is supplied under this Schedule, the minimum seasonal charge will be $168.00 plus energy charges. CONTRACT PERIOD: One year or longer. MONTHLY BILLING REDUCTION: Rates in this schedule shall be reduced by the monthly kilowatt-hour credit adjustment set forth under "Monthly Rates" in the currently effective Electric Service Schedule No. 34. (Continued) Submitted Under Atlviee lio, 1*-[]idlcse Nr:. IrA{'-[- ] 3-{}4 ISSUED : {-}:k}tisr+t|*"{}}*;\llg!t3"1-"]"1,-2! J.j EFFECTM: January l, ?g*2{lll PAC-E- I 3-04lRocky Mountain Power August 12,2013 CAPAI Data Request 6 CAPAI Data Request 6 Using the Company's low-income proxy Broup, and based on actual monthly test year data as referred to in Request No.4, please make the following rate design model runs: a. Calculate the effects on the low-income customer proxy group's monthly bills if the Companyos monthly basic charge were increased from its curent level to $10, $15 and to $20, (assuming no changes to the existing commodity rates for the Residential class's two-tiered rate). In responding to this request, please make the requested calculations at existing rates during the test year. b. Assuming no change to the Company's existing monthly basic charge, calculate the effects on the low-income proxy groups' monthly bills in comparison to non-low income residential customers (using test year actual monthly consumption) if the existing two-tiered rate design is changed such that the consumption amount ofthe first tier is incrrased from the existing 700 kwh summer block to 800 kWh/month, 1000 kWh and 1200 kWh. Please provide the same data for the winter block of 1000 kWh if the block were changed to 800 kwh, 1200 kWh and 1400 kWh. l't Supplemental Response to CAPAI Data Request 6 a. Please refer to Attachment CAPAI DR 6a (provided on May 29,2013) for the requested monthly bill impact analysis for the low-income customer proxy group who were under Schedule I in20l2. b. Please refer to Attachment CAPAI DR 6b I't Supplemental for the requested monthly bill impact analysis between the low-income proxy group and non- low-income group under Schedule 1. Since there are almost unlimited combinations of ltt block and2"d block rates for each block under a revenue- neutral scenario, the analysis provided two rate design options: Option A keeps the ratio of the requested l't block and2d block rates same as the ratio of current I't block aid2"d block rates; Option B keeps the requested I't block rate same as the current ls block rate. The attachment contains all necessary billing determinants that CAPAI may use to explore any other rate design scenarios and the bill impacts. Record holder: James Zhang Sponsor: Joelle Steward Rocky Mountain Poiver Exhibit No.4 Page 1 of 6 Case No. PAC-E-l$(X Whess: J. Ted tAlbston Rocky Mountain Pover Exhibit No. 4Page2ol6 Case No. PAC-E-1&(X Wtness: J. Ted Wbston d6d1 qohot ON €6io$ 6-FF€Foriririqiri a EoE.gcctoI e€co L o EoEE a h6eio6NrO oOO- NN -; aiqv'lq9 -FNo *oiqv't qq =aaod .-.;6* o€Nr96F€ =riricj6€to vl c'!r6o6 €oN-O-€O.i-iri6oEt6 -=FNqcl 99h€6N6€+O a6a4 I --ra=ooo669a-l hFhtN-EOOOd- =l @-9-S^O^@r€9A€O.a ?r I I =l El E f i "e9e = 598 E a I I 6 0qax !e 'I L6 c v) ,ia E '! s c E U vl9..l.!c!q ?os$t= tsh---HJJ.i.iai6i €horN€\enrlqq =-h@FF66@€@Q -4@@@4 tihF-r6---@F-i o+Fo€o6@€@€ -664O4 NOO6ttsFN<6Fa .r'di6id6*o6@@rQ -464GO atoF{'Sa6r€hNdiaddirdio@€€Fa -*AAOe I --<9to6o6699-l 6i6<d-866@d- =l 66<6@rEE99ot,tTI II l=l-l HiI=l l=l=l "lul Elq =l=l El u Fq o2 3Io9gD le "28)e - - )rd E=E ErVC€-9toE:E'rxi:pc -EaE9qi i i; i\Ji!EtrT;1,QEE ; E H€ ii iE ?o!:Ee F E";gt {?EE1El€ E eAE&*'aEt.lo a,d 6 o oBoA E c .9 c Egr IE 3(J c (.)gl Ia Ala+ a! c a Ec cE E Ec2 I --o-:l or€rql xssrOl F-FGil ao4 I aJJ@ UJ =ooz3o) x xeeIo o@to to 6o EEg59;=g.qEEA 6*t OEE Rocky Mountain Porer Exhibit No. 4 Page 3 of 6 Case No. PAC-E-1}(X \Mtness: J. Ted Weston {N€6ri oor+ 9Qq !.1o=os a EoE.gqc:u, o a6Eo a (, EoE II €€o.i \9 @ociJ I ssssI OF+tel +rd;Y-l-l I ssssI *OA=al ci J6iJ.!l-l h6€ots<tr$Jod€iFo€t6 so99 60 oohoFO**t.cri F6€ta S--O6@@NFiG@r;6€<O aaa6 ON €6i6* I --o-=l oF@rgl xssHot F-F6fl aog I €€oooo+oc,cioo 990000tooooo tq9qqqqoooooo Oto-SS -tF€hNoi€odrri6A€€FA440e44 OtO-SS-tF@hNoi€oriFr;66€€rAo66AAA o=6-t+6<ts€6NdeoFiFeio€€€F€iaOAAo4 4..f6-t++a6r@hNri€o.irrioa@@F6-AA46a hh=9t600hh€€h-h=d-€6n@N-@Eto@rE\o€Eo= EI El CE anx oE I c 6Eo (nx F '! so ETEE U NAt6ciciJ+ El fl D o oooc E a & .9 c.9 EI! E U (J E) € -9 la+ I ! PE EEg an! o !e 'J' E' E oa t!6vI?E,€ C T E!Qt€€; *EESEE:?Fq =? EiEgiFeE g : E E6 ! Et == L'I E;ErE c!6 ,9"se? * 2 i€ Ea2cg-E 'oerl hhsE*600h6€€6-6<N-9664N-€€t6€r€€€€o$ EJJ E UJ =oo =3oJ I xqq =.tt !@to to 6o EES"aBs=g,qEiAEEg59C=98'8E,9 OEE Rocky M ountain Po\,\,er Exhibit No. 4 Page 4 of 6 Case No. PAC-E-l$(X Wtness: J. Ted WestondcoE.EceIo o 30co A o EoE oa ss ri -ioci.idi .i cii oi ci .,i rF oiJFA €oF9 -6-6e6<oio@@€ 6-Ah€hih€*6roE66h€6OO*€r;66r€€r4r€r6: Iq ooa J' E ! soE E U sssssst:1.1 vta96ht-h6 NN6iON *$cios* ;-ts€@-6i6ici-J.i oto€o=Nhhth9+ri ri c.ioci6A606€eGa-OAa h6@@AOhodoNhei+6iJ6--€60@@aAA-GA dt6ENt6GoF$€J^iooiroi€€66€ro*Gaao 986€rNF6€6€Noooi ori od64-O€r6gar6a I ^-eheh-h€-€rtl ?8ss€EFERsFh'l l.ILl6lgstsoloElr6t o6lE I' =lul El+:l I 'l=l El q\ rF ri*F6 hNt6ci ri ..; -.; 6-r€aqqc\€NANO6Fts a o€ i-iro OFn9 F6 Ed€hq\ec'l o6€ra odNt6-6Qa.iriodo6a€ o5Ic ;!lad-.0= --7dEiE EiEE;E=!<r-\c u 0a -EE?SE;(DEbq E i ET: = ' rh5t,/oE:t:4. E Ecl E E ?.E.E+ E.=9o.g€E E E " Ei E;3Er<E(d Q earl b!l'-E8z-c6l- e oooo6c E3€ I t ,9 EE) 9!3(J E uI! (J ,a+ !9 c ! E l,l=l Jil,t =lIl r =l l=l l,l ;l'l El ba tr Eo2 a)fE IJJ =oo =3oJ2oz x xcso o@to I o56 EEg59e=g"qBEEEES59c=g.ts8iA orl OEc Rocky Mountain Porver Exhibil No. 4 Page 5 of 6 Case No. PAC-E-1&04 Wtness: J. Ted Wbston oooooooO-tOO ago E.eccIo o !o0lo 4 o coE30G oooo I ssssI OOOO?l Fi dci c; =tI oo I ssssI OOOO8l .?ooo dt I rF 6i .-:ro rF ciJr6 \oots\o66<6.i6.c6o€€€ ra?a r6 t60€q9nqo696F6@\D .i 'irq I --Eh6hFhp-€r!l O€66h€oOOt€F =l --6€r€€r€rEr6!l I oo6000dcj..i+oo qqn09.1qooiooo E960Sd:qRq9c!ooa€h@6€@6AFq@go6@ €€60*N-6t6€doo<i€riqia@66@ra6aaoe EEOOSNrOS-6Ncioardod@@ao€F9A4eAO El soua€ (J c 6E Eoli oE 4 cICt tt)! oEt! 99o= o\ o\ o\ c\6NrO -i*.io €or€66-6ci6*6oa€€ o 6 oooe i. c E Ecl Eo () Ut! gU a0+ ! ! E =li El-l =l=l EIil U E 2 $sc - >lQ!iEg eiEEsE'I: $i?;.89Et I if 6u^F EE c 9.=v;E E E.H6 'a == 9 I!:EE EEO " FgE * E.E EAeJ oiEz -OF€-6iA€oi+oio€€€ 9€O€rN-qqqoqc'!oo606€6*€OAFeA4-OA a 6-Qh6hFhA-€f6@66h96oot€r;cr\6r€€r6ror6 aJJEul =ooz =oJ)oz .9. xIeelo a@eo r oEo6 EES"aBc=gSEi8EEgS9scgsBiE o .A OEE Rocky Mountain Porver Exhibit No.4 Page 6 of 6 Case No. PAC-E-I}(X lA/lhess: J. Ted Weston-lctE.gceat atc.6 E o 5 Eoa + 6- o€ oo 06 N€ r,9 F@ hO Old ao Fo -6 -6 6- 6- s€ 6o hl1 o"1 e-h" dr@- qq \1 o-vl -:q q\ d-lo- 6h o- Fo =6 aF old 66 ho ro ro 90 N9 06 =s ole- ulF- q^-- o"q qo- N--: qi- 9F t6 olN +F 6a r= od+ +d ..fod dvi 'd+ a-l4 46 =e 4e -o 49 -6 49 -O Sl4646o6oe*l + 6- E* Ed =9 N@ hh €d €N =ld 60 Fd oo NF oo oo €? hl-l o--: -:a- o--: oq6- F:-" qq r - o € d,lJ J+ {ir o9 ^i N o6 i^i +oi .dF: o'lN -6 -O @6 N9 96 hn hO 60 0l6 hF oO FO =€ N, 9F 6S OO 6l ^i d F: .d qi oo-.ir oi .i d F: .,i oo' ri vi r d e-l4 -O 4A -e -O -O -O -9 -e tt5oa666e6-l o <O t6 $- td -N -A -h -6O F- Th F6 Fh FT Ft FN Fh.: e€ @o €9 6h h= h9 ho 5@Ed .:n t{ i:ol r:9 n- .!u! .la .1-ot oh o- o- €F €o QN €o_N uu uq uu ua uq uu uu ua tt qa qu a!uq uu uu uu EEE TJE I*S E:E iTE Eo-9.9 ElTiE 6Eooo6 -N -d FF 6hFF O6 dF -Oht ao to 99N- OO =6 hhdj j odcj odJ d.: rNh oF hN 6* -l6ho rF !- 6€ tla.!:q q.q^ h"Fl a.q ="1O6O o- €- oN Ol606 €- rd rN =l9Fa h- 6F ih 9lE.f cf .dd @rj o:FJ +l6rE 6Q 6t OO dldF q<E s s:=5 s* is =s-^'v {L a* s+ixe Es sR :sa,t; 6 r.\ r\_ v n / \ '/ \ \' \ =F 66 0d d6oh Nt Noo6 6t 9ro€ Nd ==.-:+ Jvi Jvi No -+ ON66 60 6A-:t- e-q qo-F€ 66 aA6h r9 haEO O- =<.-:d -46 oiadtt 9d 9r o *oo Foa rE == hh-FN€97.!. vl dl d-<6<hI N+O<.9 h qF-cl> r<6E66ha -- =E =4rG-!o P'-6 59E*i L v^ *D 9=EaE E=iRE 3= v ^(J U<0 .FLaZE<6-=zOE =H!3"EXi2iBats=9EQ,:=Ei -HvJr-E=HJi:EElEEErta6ln N-<Y '1 aI --ts Su 8Ezi E SS{ lts lts\s ta {i+L O* S+EE := iR [Q[\[\\, /, ./ /. / /, UF E I T &lo I E.o I o 6GOEg Mark C. Moench (ISB# 8942) Daniel E. Solander (ISB# 8931) 201 South Main Steeq Suite 2300 salt Lake city, utah 841ll Telephone: (801) 220 401 4 Facsimile: (801) 22A-3299 Daniel. solander@oacifi com.com Mark.moeirch@pacifi co{p. com Attorneys for RoclE Mountain Power IN TIIE MATTER OF TEE APPLICATION ) oF PACIFTCORP DBA ROCI(Y ) MOUNTATN FOWER TO INITIATE ) DISCT'SSIONS WTTH INTERESTED ) PARTIES ON ALTERNATTVE RATE ) t'r -!' cAsE NO. PAC-E-13-04 STIPULATION : 't r1..: i) BEFORE TIIE IDAHO PUBLIC UTILITIES COMMISSION PROPOSALS ) ) This Stipulation ("Stipulation') is entered into by and amoag Rocky Moturtain Pow€r, a division of PacifiCorp ("Rocky Mountain Powed'or the n'Compan/'); Stafffor the ldaho Public Utilities Commission ("Staff); Monsanto Company ("Monsanto'); PacifiCorp Idaho Industial Customers ("P[C"); the Snake River Alliance ('SRA'1; Idatro lnigation Pumper Association ("IIPA'); and [daho Consei:nation League. The Community Action Partrership Association of Idatro ('CAPAI') is an optional signatory. The parties above, including CAPAI if a signatory are collectively the '?arties". I. INTRODUCTION l. The terms and conditions of this Stipulation ars set forth herein. The Parties agree that this Stipulation r€prresents a fair, just and reasonable compromise of the issues raised in this procecding aod that this Stipulation is in the publio interest. The Parties recommend that ExhibitNo. 101 Case No. PAC-E-I3-4 R. Lobb, Staff 8116113 Page 1 of 21 STIPULATION (PAC-E-13-04) - Page I the Idalro Public Utilities Commission ("Commission") approve the Stipulation and all of is terms and conditions. See IDAPA 3 I .0 I .0 I .27 l, 272, and 27 4. II. BACKGROUND 2. The following Stipulation represents an agreement between the Parties on a new two year rate plan. 3. On March 1,2013, Rocky Mountain Power filed a Notice of lntent to file a general rate case, and an Application requesting the Commission provide notice to parties interested in eirtering into rate plan settle,ment dissussions. 4. With a view toward resolving the issues raised in Rocky Mountain Power's Application in this proceeding representatives of the Parties met on April 19, 2013, and May 2, 2013, pwsuant to IDAPA 31.01.01.271 and272, to engage in settlemsnt discussions. 5. Based upon the settlernent discussions between the Parties, as a compromise of the positions in this proceeding, and for other consideration as set forth below, the Parties stipulate and agree as follows, subject to the approval by the Commission of the terms and conditions of this Stipulation as described below. III. TERMS OT THE STIPULATION BASE RATES 6. The Parties agree that the Stipulation is submitted to the Commission in lieu of a general rate case and, upon approval by the Commission, the Parties agree Rocky Mountain Power will not file any request with the Commission to increase its base rates in Idatro before May3l,20l5,withnewratesnoteffectivepriortoJanuary l,20l6,withthedifferenceintiming ExhibitNo. 101 Case No. PAC-E-I3-4 R. Lobb, Staff 8116113 Page2 of 2l STIPULATION (PAC-E- I 3-04) - P age 2 taking into consideration the Commission's normal notice and suspension periods for a general rate case. 7. The Parties agree that base revexrue requiranent for all schedules will be increased by the uniform percentage amount of 0.77o/o. The Parties further agree that within each schedule the increase will be recovered by increasing only energy rates by a uniform percentage amount. These calculations will use 2012 normalized billing determinants and the rates will be effective January 1,2014. The rates are shown on Attachment I . 8. These rates allow recovery of the 27o/o of the Populus to Terminal tansmission line investnent that was deemed plant held for future use in Order No. 32196. Commission Order No. 32432 determined that this investnent is now used and useful and shall be included in rates on or after January 7,2014. The base rate increase is designed to collect ap,proximately $2.0 million annually from Idatro custom€rs and is calculated as set forth in the table below. ho SG Allocation Factor Plant in Service $ Average Accum Depr Reserve Net Plant in Service Revenue Requireme,nt on Plant Depreciation E;pease Amortization of Deferred Depreciatiolr Revenue Requirement $2,015,140 910,652 3 303,551 1,443?lr3 268,477 ECAM Exhibit No. 101 Case No. PAC-E-I3-4 R. Lobb, Staff 8116113 Page 3 of 2l STIPULATION (PAC-E-13-04) - Page 3 9. The Parties agree to the inclusion of and paylng for a resource adder for the Lake Side II generation facility that will be recovered through the ECAM at 100%, for the period that the investme,r:t in the facility is not reflected in rates as a component of rate base, beginning January 1, 2015, subject to the Lake Side II generation facility having achieved commercial operation as of that date. The ECAM deferral will be determined by multiplying the actual megawatt-hours of generation from the Lake Side II generation facility by $1.99 per megawatt- hour ldaho Resource Adder as more fully set forth in the table below: The recovery of the Lake Side II resource adder will be capped after the first 2,729,5A0 megawatt-hours of generation, or recovery of approximately $5.43 million from Idaho customers through the ECAM, Pursuant to Commission Order No.32771the Parties have agreed to modiff the ECAM calculation by rernoving the wholesale sales line loss adjustnent from Monsanto and Agrium's actual load used to calculate all defenal balanc.es except for the Load Change Adjustment Exhibit No. 101 Case No. PAC-E-I3-4 R. Lobb, Staff 8116113 Page 4 of 21 STIPULATION (PAC-E-I3-04) - Page 4 Revenue (LCAR) portion of the ECAM deferral. This change will be effective for the ECAM deferral period starting June 1, 2013 and ending on November 30, 2013.1 Effective December l, 2013, the ECAM deferral will be calculated on a total ldaho basis; Monsanto and Agrium's share will not be calculated and defened separately. The rates will be designed based on energy sales data. Specifically, as in past ECAMs, the proposed rates will be calculated by effectively dividing the total target amount for Idaho customers by the energy sales data at their appropriate delivery voltage levels. DEPRECIATION STUDY AI\ID CARBON PLA}IT 10. The Parties request Commission approval of the proposed accounting treatnent for the Company to establish a regulatory asset that would allow the Company to defer, on a monthly basis, any aggregate net increffre or decrease in Idaho allocated depreciation expense for the period beginning on the latter of January l,2Ol4, or the effective date in the Commission Order approving new depreciation rates, until the date that new depreciation rates are reflected in customer rates. I l. The Parties agree that the Company will be allowed to recover or be required to refund the deferred depreciation expense begrnning on the effective date of the next general rate case. The balance shall be amortized over a period not to exceed l0 years from the effective date of the next rate case. The Parties agree that depreciation of the Carbon Plant should not be included in this deferral. 12. Commission Order No. 32701 authorized the Company to create a regulatory asset to transfer the rernaining Carbon Plant balances upon retirement from electric plant in I Accordingly, the deferral period forthe ECAM application to be filed February 7,z}l4,will reflect two different allocation methodologies. The current allocation methodology will be used for the December l, 201 2, throughMay3l,2013period. TheproposedallocationwillbcusedfortheJunel,z}l3,throughNovember30, 2013 period. Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 5 of 2l STIPULATION (PAC-E-13-04) - Page 5 service and accumulated depreciation to be amortized from the date of nansfer to the regulatory assets through December 31,2020. The regulatory asset as of the date of transfer will include the un-depreciated book balance assuming that existing depreciation rates were used prior to the piant retirement date. The difference between the depreciation rate effective in 2014 and the current depreciation rate based on the prior decommissioning date of 2020 will be included in the Remaining Carbon Balances regulatory asset until Carbon depreciafion rates are updated in the next general rate case. 13. The Parties agree to the creation of a regulatory asset for future recovery from Idatro ratepayers of Idatro's allocated share of the prudently incurred Carbon Removal Costs. The projected removal costs were identified in the calculation of the new depreciation expense as part of Case PAC-E-13-02, which is subject to Commission review and approval. 14. The Parties agree that the Company shall be allowed to rec,over from customers Idatro's share of the prude,ntly incurred Carbon Removal Costs over a reasonable period determined by the Commission in a future proceeding. The amortization of the Carbon rernoval costs will begin when the amortization expense is included in rates in the next general rate case. MONSANTO CONTRACT 15. The Parties agree Monsanto's existing Electric Se,ndce Agreement (the "Contracf') which currently expires Decernber 3 1, 2013, shall be amended as follows: l. A new Section 4.4 shall be added and read as follows: 4.4 Interruptible Credit Annual True-up: Beginning January 1,2014, in the event Measured Dernand in any billing period in any Calendar Year is less than 162 megawatts, the fbllowing calculation shall occur and shall be reflected on the Billing P€riod immediately following the Calendar Year in question: 4.4.1 If the average of the 12 months of Measured Denrands for the Calendar Year in question is equal to or greater than l7l megawatts (the sum of 9 megawatts and 162 megawatts), a credit will be provided to Monsanto to Exhibit No, 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 6 of 2l STIPULATION (PAC-E-I 3-04) - Page 6 reflect the difference between a total Intemrptible Credit amount based on 162 megawatts of Measured Demand for each Billing Period in the Calendar Year in question and the actual total Intemrptible Credit amount paid in the Calendar Year in question. A $50,000 credit shall be added to the true-up in 2014 and2015. 4.4.2 If the average of the 12 months of Measured Demands for the Calendar Year in question is less than 171 megawatts (the zum of 9 megawatts and 162 megawatts), then no adjustment shall be made, except for the credit of $50,000 referenced in 4.4.1. 4.4.3 This section 4.4 is intended to reflect a compromise of positions by Monsanto and Rocky Mountain Power and will not be deerned to set any precedent or interpretation that is counter to the Commission Order Nos. 32424 and32432. Monsanto waives any rights to claim any true-up of Intemrptible Credit for any billing periods prior to January l, 2014, for months in which the Meastred Demand was below 162 megawatts. The Company and Monsanto shall enter into a new Elechic Ssrvice Agreement effective January 1,2014, with an initial term through December 31, 2015. The new Electric Service Agreernent shall be executed contemporaneously with Monsanto and Rocky Mountain Power's execution of this Stipulation. 4. Section 4.1 of the contract will be amended to reflect the increase shown in Attachment I related to Populus to Terminal Transmission line described in Paragraph 7 above. 16. Monsanto and the Company agree to prepaxe and execute an Electric Service Agreernent that reflects these changes to the contact and provide it to the Commission for approval. 17. Monsanto and the Company will continue to work collaboratively and in good faith to address the terms and conditions and to optimize the value of Monsanto's curtailment Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8l16l13 PageT of 2l J. STIPULATION (PAC-E-I 3-04) - P age 7 products to Monsanto and the Company including a discussion of cost of senrice methodologies as applied to the Monsanto load and how said methodologies could be utilized in the next general rate case. Monsanto and the Company will report to the Staffand Commission as appropriate on the progress made. RATE DESIGN 18. If CAPAI is a signatory to the Stipulation, the Parties agree to the following: the Parties agree to conduct a rate design collaborative process to evaluate potential changes to rate design for the Company's residential service, Schedule l, and general service, Schedule 6 and 23. The Parties further agree to meet within one month after the Stipulation is filed to begin the collaborative discussions. If CAPAI is not a signatory to the Stipulation, the Parties agree that this Paragraph 18 is ofno effect and does not apply. IV. GENERAL PROVISTONS 19. The Parties agree that this Stipulation represents a compromise of the positions of the Parties on all issues in this proceeding. Other than the above referenced positions and any testimony or comments filed in support of the approval of this Stipulation, and except to the exte,nt necessary for a Party to explain before the Commission its own statements and positions with respect to the Stipulation, all negotiations relating to this Stipulation shall not be admissible as evidence in this or any other proceeding regarding this subject matter. 20. The Parties submit this Stipulation to the Commission and recommend approval in its entirety pursuant to IDAPA 31.01.01.274. The Parties request that the Commission notice the filing of the Stipulation and establish a procedural schedule, including public and technical hearings as necessary, for the review and consideration of the Stipulation by the Commission. The Parties shall support this Stipulation before the Commission, and no Party shall appeal any Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116/13 Page 8 of 2l STIPULATION (PAC-E-13-04) - Page 8 portion of this Stipulation or Order approving the same. If this Stipulation is challenged by any person not a party to the Stipulation, the Parties to this Stipulation reserye the right to uoss- examine witnesses and put on such case as they deem appropriate to respond fully to the issues presented, including the right to raise issues that are incorporated in the settlement ernbodied in this Stipulation. Notwithstanding this reservation of rights, the Parties to this Stipulation agree that they will continue to support the Commission's adoption of the terms of this Stipulation. 21. In the event the Commission rejects or modifies any part or all of this Stipulation, or imposes any additional material conditions on approval of this Stipulation, each Party reserves the right, upon written notice to the Commission and the other Parties to this proceeding, within 15 days of the date of such action by the Commission, to withdraw from this Stipulation. In such case, no Party shall be bound or prejudiced by the terms of this Stipulation, and each Party shall be entitled to seek reconsideration of the Commission's order, file testimony as it chooses, cross-examine witnesses, and do all other things necessary to put on such case as it deerns appropriate. 22. The Parties agree that this Stipulation is in the public interest and that all of its terms and conditions are fair, just and reasonable. 23. No Party shall be bound, benefited or prejudiced by any position asserted in the negotiation of this Stipulation, except to the extent expressly stated herein, nor shall this Stipulation be construed as a waiver of the rights of any Party unless such rights are expressly waived herein. Execution of this Stipulation shall not be deemed to constitute an acknowledgment by any Party of the validity or invalidity of any particular method, theory or principle of regulation or cost recovery. No Party shall be deemed to have agreed that any method, theory or principle of regulation or cost recovery ernployed in arriving at this Stipulation Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 9 of 2l STIPULATION (PAC-E- I 3-04) - P ase 9 is appropriate for resolving any issues in any other proceeding in the future. No findings of fact or conclusions of law other than those stated herein shall be deerned to be implicit in this Stipulation. 24. The obligations of the Parties under this Stipulation are subject to the Commission's approval of this Stipulation in accordance with its terms and conditions and, if judicial review is sought, upon such approval being trpheld on appeal by a court of competent jurisdiction. By Respecttully submitted ttris Z{av ot 4,2013, Rocky Mountain Power Monsanto Company Idaho Public Utilities Commission Staff Snake River Alliance By Idaho Conservation League Idaho Irrigation Pumper Association By By Community Action Partnership Associadon of ldaho PacifiCorp Idaho Industrial Customers Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 10 of 21 By STIPULATION (PAC-E-13-04) - Page l0 is appropriato for rosolving any issucs in aay othor proccoding in the futuro. No findingt of fact or conchuions of law othcr thm thoso gtated hcrcin shall bc dcemod b bo implicit itr this Stipulation 24, 'lbo obligatiou of thc Parties rnder thir Stipulatiou arc subjcct to tho Coomissiotr's apprronal of this Stipulatioa in accodaocc with itr tcrms sd coaditioru srd, if jtldicid rwiew is sougbt, upon such Epproval bcing upheld on appoal by a oourt of compacot jurisdictiotr Reepccttu[y submitsd thir 3I6y otfl;y- zott. ByBy Ideho Publlc Udlldoc Comnlrrlon Stefi Snr}e Rlvcr Alllance Idaho Cmreryadon Lerguc Idaho lrrlgedon Pumper Arrocbdon PdftCorp ldaho Indrudd Curtomcn By.By. Bv By Communlty Asrochflon Acfion Prrtncrrhtp ofldrho Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 11 of 21 STPUITq,TION (PAC-E-13-04) - Page l0 is apropriate for roeolving any issuoa in any other procceding in tho ftturo. No fudings of frot or concluioas of lsw othcr thao thoss statod hcrch sbsll bc dccmed to bo implicit in this Sffprlation 24. Ttc obligotions of the Parties rder ttis Stipulation aro subjcct to thc Cmisaim'a app,roval of thir Stipuladon in amo,rdooo wilh itr kms and oorrditions a4 if judisial rwiew ir eought, upom such approvtl bciug Whcld oo appool by a oourt of coopetcat juirdtctim. Respoctfrrlly submittod eis - day of . 2013. RodryMountrh Dovrer MourrnbConprny Idrho hDBc Utillflec Commfurion Strff $nake Rlver Alllrncn ,, ,4{h--* - Idrho Conrervation Leegue Idnho Irrlgafiou Pumper Arsochfl on By By. By Comnuutty Acdon Prrtneroh$ Anodadon of Idrho PaclftCorp Idaho IndruHel Ctstonen By.By Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8l16113 Page 12 of 2l STIPULATION (PAGE-I 3-04) - Page 10 ,O is apnopriate for rcsolvitrg my iomcr in any othcr promoding in tho funrrc. No finilings of frot or conclugions of law othcr ihrn thoss stdEd hersin shdl be deomod 1o 56 inFlicit itr tbi! Stipulation. 24. ltc obligtionr of tbe Partieg under this Stiprlation rc subjcct to fre Comnission's approral of this Sdplatioa in accordaco with iE tcrms ed oonditions m4 if judidal rwiow ia souglrt, upon suc;h approval boiug uphcld on appoal by a court of compctent jurisdictio& / Rcspectfuly submitrd btufuaay ot fufizan. RockyMountaiu Powor MonmubComprny By.By Idelo hrbllc Udltder Cohrnirlior Stefr Sneke Rlver Alllancc Idrho Couenndoalergue Idrho lrrlgrtfun Pumper Arodrtlou svf{,, # sv Comnunlty Acdon Partncnhip Amodadonof Idaho By STIPITLATION (PAC-E-I 3-04) - Pagt 10 PaclfiCorp ldatro Indufrd Curtomen By Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 13 of 2l is appropriate for rssolving any issues in any othor proceeding in the firturo. No findinp of fact or conclusions of low othcr than thoso stated herein shall bo deemed to be implicit in this Stipulation. 24, Tho obligations of tho Parties undsr this Stipulation are subjcct to the Commission's approval of this Stipulation in accordanco with its terms and conditions and, if judicial roview is sought, upon such appmval being upheld on appeal by a court of compotent juriediction.,z-\)f ,orh.rorr.Respectfullyzubmitted this"-day __r. RockyMountaln Power Monsauto Company ,, [)D@ u, Idaho ConsetYaflon League Idrho lrrlga6on Pumpor Assoclstlon By By. Idaho Publlc Utllltlee Commlssion Staff Snake Rlver Allirnce Conrmuulty Actlon Parherrhlp PaclflCorp ldaho tndustrlal Customers Assoclatlon of Idaho By By. Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 14 of 2l STIPULATION (PAGB-I3-04) -Page l0 is appropriate for resolving any issues in any otha procoeding in the future. No findings of fact or conolusions of law other than those stated herein shall be deemed to be implicit in this Stipuladon. 24. The obligations of ths Parties under this Stipulation are zubject to the Commission's approval of this Stipulation in accordanco with its tenns and conditiolrs and, if judicial review is sought, upon such appnrval being upheld on appeai by a court of competent jurisdiction. Respcctftllysubmittod this _day of .2013. Rocky Mountain Powor Moneanto Comprny Idaho Public Udlidcr Commtstion Strff Snake Rlver Alllrnce By Idaho Couservadou League By Communlty Acfiol Prrtuership Asroctrtlon of ldaho PacifiCorp Idrho Industrlal Customerr By.By. Exhibit No. 101 CaseNo. PAC-E-13-4 R. Lobb, Staff 8116113 Page 15 of 21 STIPULATION (PAC-E-I 3-04) * Page l0 Attachment 1 Settlement Rate Spread & Rate Design ExhibitNo. l0l Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 16 of 21 o Ell B gilgnE*=ar,t*,1: aaa-'l-;ll ho,^FNrNd,^-o.o.o'loo F-tN^ol- ".ll\c \o ^: o ra t- oo 6 il o\ m \o o\l\o o\ { 6 6 99lO Fll;BiiE*f;!-sU-li -.ula* f fl sq\ott-o\oO\!f,mc{(,9(AAO<e rO o (,o,(! o- $q\O0O-$nOFinc{ - ,+. a.t q \o \o \c \co\ o\ o\ o\ca 00 00 00 +-,o\o loo\66r lr.)c'|l- *(-e't \o \o !c \c -o \o -o \o \o \cO\ O\ O\ O\ O\ O\ O\ O\ O\ O\ogoq oqoqeeoq oqoceoo ooooo ooo I ^ ssslox = 3t- rO6nr \OaI\C.id-.a.iOO\ .n ;i tf, - r\ r- - i,i O\ 6 6t O\c- F- d - ca \o c.. $ < cAN o\ hJ6i JrJ \o €A.ic,i; € vi€4..r6q.i,69h -14i F.cAYa si E9 u1 eq I\OC',1 lF. O\Ohf'.rn O\m-ilift\O\O r ln- O\ O\ d .i 6l h F- oO l^ t - rf0." .o" la. ?. .1 xi o9. .?. qI - el -f -" 1 9+ C lh - (\ \'€ € 0O h rl ^'- C \Oa.l\C loo @o\.-'a t6lG CO II I I $gl. ;$lt sRl=e:*3$--ls O\\OOhoo(,9'3 3E I 4. =l aloil -o-l-6 + {4lo.a^ c! lq\or<l lOs8 I' ---l-c n rrl\oac lm.di ld+ a.t ll-6B 16 I 4) o g q,d ol{ =zEl l{& Fztdav)t,c4dECaarEX= FJJaIov))*<z==* Y9.zaY,uAw-5.*=:t{ntrv) a Y L E iiEe?Iix*r\J-!-i^.ETHt 1?) J F HE.<=J!l=er.e e;j6sBin\?)2e3il=rrC!<>iEEBT:EFEgEFs.Eaoh5sri EEEEr.;:iF9a\EFFvaV)a 56E=<Qa.b ;t{F 2 FU)t{ 4. =l =l' .s3sfi n'o$;1. oEEE-: di;"i *,-? i,,BFE gt? fltEiE ;l;iil si?t;E;;s flgggg;g 1 EIEEEE sIEESSE,EEESSBBqS EI;;gg{g E q,a F.N,n \o i-. -o 3 = S:: !: == I R Fi S R X R F Exhibit No. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Page 17 of 2l ..1Eol ==l -6lciS Attachment I - Settlement Rates ROCKY MOUNTAIN POWER . STATE OF IDAHO CASE NO. PAC.E.13-04 Present Price Settlement Price uU20t4 SCHEDULE NO. t - Residential Service Customer Charge All kWh (May - Oct) <= 700 kWh > 700 kwh All kwh (Nov - Apr) <= 1,000 kWh > 1,000 kwh Seasonal Service Charge SCHEDULE NO.36 - Residential Service Optional TOD Customer Charge On-Peak kWh (May - Oct) OfT-Peak kWh (May - Oct) On-Peak kWh (Nov - Apr) Off-Peak kWh (Nov - Apr) Seasonal Service Charge SCHEDULE NO. 6/64 - General Service - Large Power Customer Charge (Secondary Voltage) Customer Charge (Primary Voltage) All kW (May - Oct) All kW (Nov - Apr) Allkwh Seasonal Service Charge (Secondary) Seasonal Service Charge (Primary) Voltage Discount SCHEDULE NO. 7 - Customer Owned Light Residential Charges Per Lamp 16,000 Lumens, HPSV SCHEDULE NO. 7/7A - Security Area Lighting Charges Per Lamp 7000 Lumens, MV 20,000 Lumens, MV 5.600 Lumens, HPSV. Co Owned Pole 5,600 Lumens, HPSV, No Co Owned Pole 9,500 Lumens, HPSV, Co Owned Pole 9,500 t,umens, HPSV, No Co Owned Pole 16,000 Lumens, HPSV, Co Owned Pole 16,000 Lumens, HPSV, No Co Owned Pole 27,500 Lumens, HPSV, Co Owned Pole s r 4.91 $ r s.03 $26.83 927.04 $47.86 $48.23 $17.04 $17.17 $13.56 $13.67 $rg.sr $19.66 $ 16.02 $ 16,15 $25.70 $25.90 $22.88 $23.06 $36.97 537.26 Exhibit No' 101 Case No. PAC-E-I3-4 R. Lobb, Staff Rt16ll3 Paee 18 of 21 s5.00 1A.7874 14.5630 8.2571 11.1472 $60.00 $ 14.00 14.4027 4.9148 tz.jilg 4.4982 $ 168.00 $37.00 $l r 1.00 $ r4.36 $r r.8l 3.6696 I $444.00 $1,332.00 ($0.6s) $s.00 10.8759 i, 14.6825 i 8.3249 (, n.2386 p s60.00 s14.00 t4.526s ( 4:?:,-71 i 12.4087 i 4.5369 I $ 168.00 s37.00 $l I1.00 $ 14.36 $l l.8l 3.7293 i s444.00 sl,332.00 ($0.6s) ( i fi d ai f I Page2 of 5 Attachment I - Settlement Rates ROCKY MOUNTAIN POWER . STATE OF IDAHO CASE NO. PAC.E-1344 Present Price Settlement Price Ull20l4 27,500 Lumens, HPSV. No Co Owned Pole 50.000 Lumens, HPSV, Co Owned Pole 50,000 Lumens, HPSV, No Co Owned Pole 16,000 Lumens, HPS Flood, Co Owned Pole 16.000 Lumens, HPS Flood, No Co Owned Pole 27,500 Lumens, HPS Flood, Co Owned Pole 27,500 Lumens, HPS Flood, No Co Owned Pole 50,000 Lumens, HPS Flood, Co Owned Pole 50,000 Lumens, HPS Flood, No Co Owned Pole 8,000 Lumens, LPSV, Enerry Only 13,500 Lumens, LPSV, Enerry Only 22,500 Lumens, LPSV, Energy Only 33,000 Lumens, LPSV, Enerry Only SCHEDULE NO.9 - General Service - High Voltage Customer Charge All kW (May - Oct) AII kW (Nov - Apr) Minimum kW Summer Minimum kW Winter All kwh SCHEDULE NO. l0 - Irrigation Small Customer Charge (Season) Large Customer Charge (Season) Post-Season Customer Charge AllkW (June I - Sept l5) First 25,000 kWh (June I - Sept l5) Next 225,000 kWh (June I - Sept l5) All Add'l kWh (June I - Sept l5) All kWh (Sept 16 - May 3l) SCHEDULE NO. ll - Company-Owned Street Lighting Service Charges per Lamp 5.800 Lumens, High Intensity Discharge 9,500 Lumens, High lntensiry Discharge 16,000 Lumens, High Intensity Discharge 27,500 Lumens, High Intensity Discharge 50,000 Lumens, High lntensity Discharge 9,500 Lumens, High Intensity Discharge - Series I 16,000 Lumens, High Intensity Discharge - Series I 9,500 Lumens, High Intensity Discharge - Series 2 16,000 Lumens, High Intensity Discharge - Series 2 12,000 Metal Halide $15.14 515.26 $18.89 $19.04$2s.7s $2s.e5 $3s.96 $36.24 $52.79 s53.20 $31.2s $31.49 $34.29 $34.56 $25.71 525.91 $28.68 528.90 $27.88 $28.10 Exhibit No. 101 Case No. PAC-E-I3-4 R. Lobb, Staff 8116113 Pase l9 of 2'l s33.48 s5 r .67 $4s.74 $2s.70 $22.88 $36.97 s33.48 $5 r.67 $4s.74 $3.66 ss.4l s7,52 $9.1 5 $370.00 $ r0.26 s7.74 $ r0.26 $7.74 3.883s I s 14.00 $4 r .00 $23.00 $s.98 8.s3t2 i 6.3103 ( 4.6577 A 7,2164 l, s33.74 ss2.07 s46. I 0 s25.e0 $23.06 $37.26 s33.74 s52.07 s46. l0 $3.69 s5.45 $7,s8 s9.22 $370.00 s r0.26 s7.74 s10.26 $7.74 3.9283 i s r4.00 s41.00 $23.00 ss.98 8.6 r06 I 6.3691 ( 4.70n i 7.2836 i Page 3 of 5 Attachment I - Settlement Rates ROCKY MOUNTAIN POWER. STATE OF IDAHO cAsE NO. PAC-E-13-04 Present Price Settlement Price utnol4 19,500 Metal Halide 32.000 Metal Halide 9,000 Metal Halide - Series I 12,000 Metal Halide - Series I 9,000 Metal Halide - Series 2 12,000 Metal Halide - Series 2 SCHEDULE NO. 12E - Customer-Owned Street Lighting Service'Energy Only Charges per Lamp 33,000 Lumens, LPSV 12.000 Metal Halide 19,500 Metal Halide 32,000 Metalllalide 107,800 Metal Halide s34.60 s4r.97 s3 r.s2 s36.24 s30.67 s32.38 $9.16 $7.05 $9.6s s 15. r7 s36.32 $4.01 s2.84 $3.97 $s.91 $ 10.10 $ 15.52 10.2944 i $9.23 $7.1 0 $9.73 $r 5.29 s36.60 $4.04 $2.86 $4.00 s5.96 $10.18 s 15.64 t0.3745 $6.61 $8.43 $10.12 s r 3.26 s r7.69 s34.87 s42.30 $31.77 s36.s2 $30.91 s32.63 $ r 6.55 522.15 $5.93 $7.63 $12.23 $16.49 s23.00 9.3916 6.9589 q,000 N4etat Halide 5.800 Lumens, HPSV 9,500 Lumens, HPSV 16,000 Lumens, HPSV 27,500 Lumens, HPSV 50,000 Lumens, HPSV Non-Listed Luminaire - Energy Orrly Customer Charge Secondary All kWh (May - Oct) Allkwh (Nov - Apr) SCHEDULE NO. 12F - Customer-Owned Street Lighting Service-Full Maintenance Charges per Lamp 5,800 Lumens, HPSV $6.56 9,500 Lumens, HPSV $8.36 16,000 Lumens, HPSV 510.04 27,500 Lumens, HPSV 513.16 50,000 Lumens, I-IPSV $17.55 SCHEDULE NO. 12P - Customer-Owned Street Lighting Service-Partial Maintenance Charges per Lamp lo,ooo Lumens' MV s16.42 20.000 Lumens, MV $21.98 5,800 Lumens, HPSV $5.88 9.500 Lumens, HPSV $7.57 27,500 Lumens,llPSV $12'14 50,000 Lumens, HPSV 516.36 SCHEDULE NO. 19 - Commercial and Industrial Space Heating s23.00 9.3152 l, 69023 ( ExhibitNo. 101 Case No. PAC-E-13-4 R. Lobb, Staff 8116113 Paee20 of 2l t,i Page 4 of 5 Attachment I - Settlement Rates ROCKY MOUNTAIN POWER. STATE OF IDAHO CASE NO. PAC-E-13-04 Presenl Price Settlement Price lfit20t4 SCHEDULE NO. 23l23A - General Service Customer Charge Secondary Customer Charge Primary All kwh (May - Oct) All kWh (Nov - Apr) Seasonal Service Charge (Secondary) Seasonal Service Charge (Primary) Voltage Discount SCHEDULE NO.35 - General Service - Optional TOD Customer Charge Secondary Customer Charge Primary All On-Peak kW Ail kwh Seasonal Service Charge (Secondary) Seasonal Service Charge (Primary) Voltage Discount SCHEDULE 4OO Firm Energy and Power Customer Charges kwh kw Excess kVar Interruptible Energy and Power kwh kw SCHEDULE 40I Customer Charges HLH kwh (May-October) H LH kwh (November-April) LLH kwh (May-October) LLH kwh (November-April) All kW (May-October) All kW (November-April) $r 6.00 $49.00 9.1030 p 7.94$ A $ 192.00 s588.00 (0.43e7) f s r6.00 s49,00 9.1825 i, 8.01s7 I s 192.00 ss88.00 (0.43e7) i, $67.00 $ r65.00 $ r 6.4s 4.9609 (, $804.00 $ r,980.00 ($0.84) s67.00 $ r 6s.00 s 16.45 4.9015 g $804.00 s 1,980.00 ($0.84) $ 1,586.00 3.0870 (, $ 15.91 $0.96 3.0870 ( $ r5.91 $442.00 3.6332 i 3.42t4 ( 2.7243 I 2.7243 g, s r7.60 sr4.l9 s 1,586.00 3.1303 i $ 15.91 s0.96 3.1303 $ s ls,9l $442.00 3.6855 d 3.0649 l, 2.7635 ( 2.7635 I s 17.60 s 14.19 ExhibitNo. 101 Case No. PAC-E-I3-4 R. Lobb, Staff 8116113 Page2l of 2l Page 5 of 5 . -, OrrtlookhintMessage Page I of2 O RB: ID PAC-E-13-01 ho.r.y Mountain Powerrs Response to CAPAI 6 I ) This sendler is in yotii' 'Randy Budge'(net); Price, Neil (ID PUC) (neil.price@puc.idaho.gov); ron@williamsbradbury. com ron@williamsbradbury.com) ; tbuller@agrium.com (tbuller@agrium.com) ;(bmpurdy@hotmail.com) ; (bouo@idahoconservation.org) ; (kmiller@nakeriveralliance.org); elo@racinelaw.net (elo@racinelaw. net) ; Randy (Randy.Lobb@puc.idatro. gov) Solander, Daniel 2 attachments From: McNay, KaleV E EtoI H 50t afr?ht SenE Wednesday, W 29, 2013 11: To:'Randy Budge';;'gkafi nder@consuttbai.om'; Jim.r.srnith@nonsanto.@m'; 'rcbert. l.geddes@nrcnsanb.om'1 Nell (ID PUC); tony@fankel.ne$'durs@r-c-s-inc.com'; ron@williamsbradbury.om; kmlller@snakeriveralllane.org; Weston, Ted (Ted.W Tue 6/l l/13 9:54 AM httns'//sntl lS.mail.live.com/maiMPrlntMessaees.asox?cpids:129r63f3-d2af-l le2-ad2040... 7/13t2013 i * 0utlookhintMessage Thank you, I(aley McNay I Coordinator, Regulatory Operations 503-8!3-6257 IGe Wattins, Betsy; Bell, Barry; C&T plsoorery; Weston, Ted; Solarder, Danid; Data Request Responsecerftr I Subjeck ID PAC-E-13-04 Rocky t'toufrtain Pods Response to CAPAI 6 I I Attached above is Rocky Mountain f{wefs Response to CAPAI 6 in lD PAC-E-13{r+. Please tet me know if you have any trouble opening the {ttached file(s). Page2of 2 https://sntl 329ad38 42at-l I e2-ad20-AD... 7 I 13 12013 PAC-E- I 3-04lRocky Mountain Power lvlay,2013 CAPAI DataRequest 6 CAPAI Data Requet 6 kwh, 1200 kwh and l4O0 kWh. Response to CAPAIDete Request 6 Using the Compmy's low-income proxy group, ana {aseA on actual monthly test year data as refened to in Request No.4, please make ltne fonowing rafe design model runs: I a- Calculatethe effects onthe customer proxy group's monthly bills if the Company's monthly basic charge increased from its to the existingcurrent level to $10, $15 and to $20, (assuming no commodity rates forthe Residential class's rate). In responding to this requesf please make the requested calculations at year. ing rates during the test b. Assuning no change to the Company'f existing monthly basic charge, calculate the effects on the low-income proxylgroups' monthly bills in comparison to non-low income residential customers [*irg test year acfual monthly consumption) if the existing two-tiered rate {esign is changed such that the consumption amount of the firsttier is increased $om the existing 700 kWh summer block to 800 kWh/month, 1000 kWh and 1200 kwh- Please provide the same data for the winter block of 1000 kWh ifthe bld(ck were changed to 800 I a. Please referto Attachment CAPAI DR 6a forthe monthlybill impact analysis forthe low-income customer group who wsre under Schedule I n2012. b. The Company has not performed the dasi gnana I ysis requested by CAPAIAs specified in paragraph 18 of the ion if CAPAI is party to the Stipulation the Company agrees to parti in a collaborative rate design prccess to evaluate alternatives. Recordholden James7heng Sponsor: Joelle Steward :()tr 0 ? tu qt&a()ot()a oc0) (,) ErD t!) 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