20161206Staff 8-35 to PAC.pdf

BRANDON KARPEN
DEPUTY ATTORNEY GENERAL
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
[phone]
IDAHO BAR NO. 7956
Street Address for Express Mail:
472 W. WASHINGTON
BOISE, IDAHO 83702-5918
Attorney for the Commission Staff
P. -cEIVED
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BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF )
PACIFICORP OBA ROCKY MOUNTAIN )
POWER FOR AUTHORITY TO MODIFY )
ELECTRIC SERVICE REGULATION NO. 12 )
RELATED TO LINE EXTENSION )
ALLOWANCES. )
)
) __________________ )
CASE NO. PAC-E-16-13
SECOND PRODUCTION
REQUEST OF THE
COMMISSION STAFF
TO ROCKY MOUNTAIN
POWER
The Staff of the Idaho Public Utilities Commission, by and through its attorney of record,
Brandon Karpen, Deputy Attorney General, requests that Rocky Mountain Power provide the
following documents and information as soon as possible, but no later than TUESDAY,
DECEMBER 27, 2016.
This Production Request is to be considered as continuing, and Rocky Mountain Power is
requested to provide, by way of supplementary responses, additional documents that it or any
person acting on its behalf may later obtain that will augment the documents or information
produced.
Please provide answers to each question, supporting workpapers that provide detail or are
the source of information used in calculations, and the name, job title and telephone number of
the person preparing the documents. Please identify the name, job title, location and telephone
number of the record holder.
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 1 DECEMBER 6, 2016
In addition to the written copies provided as response to the requests, please provide all
Excel and electronic files on CD with formulas activated.
REQUEST NO. 8: From the following Section addressed in Regulation 12, please
provide one representative example from each line extension type using actual customer
installation information. If no actual examples are available, please provide representative
hypothetical examples.
For each example, please explain in detail the differences in methodology and show any
cost difference from the current policy to the proposed approach identified in the Company
filing. Further, if there is any affect to the existing ratepayers, quantify the cost difference and
show how it would affect the customer class. Please provide workpapers in Excel format with
formulae intact.
a. Section 2 -Residential Extensions
1. Standard Residential
1. Overhead Service
2. Underground Service
11. Remote Service
1. Overhead Service
2. Underground Service
111. Three Phase Residential Service
1v. Transformation Facilities
v. Underground Extensions
REQUEST NO. 9: From the following Section addressed in Regulation 12, please
provide one representative example from each line extension type using actual customer
installation information. If no actual examples are available, please provide representative
hypothetical examples.
For each example, please explain in detail the differences in methodology and show any
cost difference from the current policy to the proposed approach identified in the Company
filing. Further, if there is any affect to the existing ratepayers, quantify the cost difference and
show how it would affect the customer class. Please provide workpapers in Excel format with
formulae intact.
a. Section 3 -Non-Residential Extensions
i. Extension Allowances -Delivery at 46,000 Volts and above
ii. Extension Allowances -Delivery at less than 46,000 Volts
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 2 DECEMBER 6, 2016
1. Less than 1,000 kV A
2. 1,000 kV A or Greater
3. Additional Capacity
111. Additional Customers, Advances and Refunds
1v. Reduction in Contract Capacity or Demand
v. Underground Extensions
v1. Other Requirements
v11. Street Lighting
REQUEST NO. 10: From the following Section addressed in Regulation 12, please
provide one representative example from each line extension type using actual customer
installation information. If no actual examples are available, please provide representative
hypothetical examples.
For each example, please explain in detail the differences in methodology and show any
cost difference from the current policy to the proposed approach identified in the Company
filing. Further, if there is any affect to the existing ratepayers, quantify the cost difference and
show how it would affect the customer class. Please provide workpapers in Excel format with
formulae intact.
a. Section 4 -Extensions to Non-Residential and Residential Planned Developments
1. General
11. Allowances and Advances
u1. Refunds
1v. Underground Extensions
REQUEST NO. 11: From the following Section addressed in Regulation 12, please
provide one representative example from each line extension type using actual customer
installation information. If no actual examples are available, please provide representative
hypothetical examples.
For each example, please explain in detail the differences in methodology and show any
cost difference from the current policy to the proposed approach identified in the Company
filing. Further, if there is any affect to the existing ratepayers, quantify the cost difference and
show how it would affect the customer class. Please provide workpapers in Excel format with
formulae intact.
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 3 DECEMBER 6, 2016
a. Section 5 -Extension Exceptions
1. Applicant Built Extensions
11. Duplicate Service Facilities
111. Emergency Service
1v. Highly Fluctuating Loads
v. Temporary Service
v1. Line Capacity in Excess of that Required
REQUEST NO. 12: From the following Section addressed in Regulation 12, please
provide one representative example from each line extension type using actual customer
installation information. If no actual examples are available, please provide representative
hypothetical examples.
For each example, please explain in detail the differences in methodology and show any
cost difference from the current policy to the proposed approach identified in the Company
filing. Further, if there is any affect to the existing ratepayers, quantify the cost difference and
show how it would affect the customer class. Please provide workpapers in Excel format with
formulae intact.
a. Section 6 -Relocation or Replacement of Facilities
1. Relocation of Facilities
ii. Local Governments
REQUEST NO. 13: For each of the examples provided by the Company for Staff
Production Request Nos. 8 through 12, please provide the sources of information used to
determine the cost estimate amounts.
REQUEST NO. 14: Please provide copies of all line extension policies currently in
effect for each of the state jurisdictions in which Rocky Mountain Power/PacifiCorp serves.
REQUEST NO. 15: On page 2 of Robert Stewart's testimony, he states the proposed
changes to the line extension allowances are designed to be revenue neutral. Please explain what
is meant by the term "revenue neutral."
REQUEST NO. 16: Please provide an explanation of the method, the calculation, and
the sources of data the Company used to determine the allowances for residential, non-
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 4 DECEMBER 6, 2016
residential , non-residential and residential planned developments. Please provide workpapers in
Excel format with formulae intact.
REQUEST NO. 17: For each of the allowance types in Staff Production Request No. 16
above, please explain and demonstrate how the allowance reflects the embedded cost in base
rates. Please provide workpapers in Excel format with formulae intact.
REQUEST NO. 18: Please provide workpapers with formulae intact used by the
Company to establish the amounts proposed for the distribution and transmission facilities
charges as specified on Sheet 300.3 of the proposed tariff.
REQUEST NO. 19: Please explain how engineering costs are billed to new customers?
Are the costs calculated for each specific job? Are the costs shown separately on the customer's
bill, or are they included in a general overhead? If the costs are included in a general overhead,
what is the general overhead rate and how much of the general overhead rate do engineering
costs represent?
REQUEST NO. 20: Please describe what constitutes a large, complex or speculative
line extension as discussed on Sheet 12R.1 of the proposed tariff?
REQUEST NO. 21: Are customers billed for line extension costs based on the
estimated costs or actual costs, and how is the cost reflected in journal entries? Please explain.
REQUEST NO. 22: Does the Company compile and record the actual construction
costs once construction has been completed? Please explain.
REQUEST NO. 23: For each of the different line extension types over the past ten
years, please provide the number of line extensions in Idaho that had none, one, two, three, four,
or more than four additional customers connecting to it within the five-year refund period.
REQUEST NO. 24: Do facilities charges change (increase or decrease) for a line
extension if additional customers connect? Please explain.
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 5 DECEMBER 6, 2016
REQUEST NO. 25: How are costs for design, specifications, material standards, and
inspections as discussed in Section 5( a)(3) on sheet 12R.11 estimated? Does an applicant pay
these costs if the Company builds the line instead? If so, is the applicant billed explicitly or
through an overhead charge?
REQUEST NO. 26: Under Section 5(e)(3) on sheet 12R.13, how long would a customer
for temporary service be required to pay a contract minimum billing? Please explain.
REQUEST NO. 27: Does a customer under Section 5(e) on sheet 12R.13, which
requests temporary service from an existing line extension pay the same amount for sharing the
line as a permanent customer would pay? Please explain.
REQUEST NO. 28: Please provide a list of all line extensions made in the Idaho
jurisdictional area for the past five years. For each line extension, include the following:
a. description of the applicant, such as residential subdivision, single residence,
duplex, commercial, industrial, irrigation, or other;
b. whether the line extension was overhead or underground;
c. voltage, phase, and length of the line extension;
d. actual cost of the line extension;
e. net amount paid by the applicant to the Company for the extension;
f. amount of allowances and refunds granted to the applicant for the extension;
g. if the Company, a contractor, or the customer installed the line;
h. total the dollar amounts by year.
REQUEST NO. 29: If the Company's proposed line extension policy is adopted and
implemented, how would the Company's annual revenue requirement be affected? Please
explain in detail the effect to each customer class served by the Company. Provide supporting
information to quantify the effect.
REQUEST NO. 30: Please provide a list of the refunds issued for line extensions for
each of the past five years. For each refund type, show the amount of the refund, the refund
recipient type (i .e. residential, farm, commercial, industrial, other), and the cumulative amount
refunded to each recipient in relation to the total amount the recipient paid for his line extension.
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 6 DECEMBER 6, 2016
REQUEST NO. 31: Please describe in detail the Company's process for tracking
refunds of a refundable advance. Please provide the methodology used by the Company to
calculate facilities charges for line extension customers.
REQUEST NO. 32: Please describe how the Company determines if a line extension is
to be considered remote service.
REQUEST NO. 33: By year for CY 2011-2015, please provide the following for remote
service line extensions in Idaho:
(a) number ofremote service line extensions constructed;
(b) average length of line extensions;
( c) total (gross) cost of line extensions;
( d) total amount of allowances applied towards line extension costs.
REQUEST NO. 34: How does the Company monitor population density in remote
service areas to ensure customers are no longer considered "remote service" when the population
density reaches one person per half mile?
REQUEST NO. 35: Please provide a sample of a residential remote service minimum
billing contract.
·~
DATED at Boise, Idaho, this C:, day of December 2016.
Technical Staff: Rick Keller/8-30
Johnathan Farley/31-35
i:umisc:prodreq/pace 16.13bkrkjf prod req 2
SECOND PRODUCTION REQUEST
TO ROCKY MOUNTAIN POWER 7 DECEMBER 6, 2016
CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 6TH DAY OF DECEMBER 2016,
SERVED THE FOREGOING SECOND PRODUCTION REQUEST OF THE
COMMISSION STAFF TO ROCKY MOUNTAIN POWER, IN CASE NO.
PAC-E-16-13, BY MAILING A COPY THEREOF, POSTAGE PREPAID, TO THE
FOLLOWING:
TED WESTON
DANIEL E SOLANDER
ROCKY MOUNTAIN POWER
1407 WEST NORTH TEMPLE STE 330
SALT LAKE CITY UT 84116
E-MAIL: [e-mail]
[e-mail]
DAT A REQUEST RESPONSE CENTER
E-MAIL ONLY:
datareq [e-mail]
CERTIFICATE OF SERVICE