20190102PAC to Staff 1-8.pdf

Y ROCKY MOUNTAIN
BP,IY,E*n"^.
RECEIVED
itil JAH -2 Pl{ h: l+7
t.1407 W North Temple, Suite 330
Salt Lake City, Utah 841 16
January 2,2019
Diane Hanian
Edward Jewell
Idaho Public Utilities Commission
472W. Washington
Boise, ID 83702-5918
diane.holt(arlpuc.idaho. eov (C)
edward/j ewell(ZDpuc. idaho. gov (C)
RE: ID PAC-E-18-11
IPUC 1't Set Data Request (1-8)
Please find enclosed Rocky Mountain Power's Responses to IPUC 1't Set Data Requests l-8
Also provided are Attachments IPUC 1,3, 4, and 5.
Sincerely,
-Jsl-J. Ted Weston
Manager, Regulation
Enclosures
PAC-E-18-11 / Rocky Mountain Power
January 2,2019
IPUC I't Set Data Request I
IPUC Data Request I
Please provide workpapers and spreadsheets (with calculations and links enabled)
used to determine the sale price for the assets shown in Exhibit A (Description of
Assets). Please provide the book value and depreciation of assets with these
workpapers.
Response to IPUC Data Request 1
Please refer to Attachment IPUC 1, which is a spreadsheet showing how the sales
price was calculated. The sales price is based on replacement cost less
depreciation. The "Price" tab is a summary and total calculation for the asset sale,
the $31,934 found in cell G40.
Price of assets being sold
Tax gross up
Separation costs
12 months revenue times 1.67
Legal transaction costs
$8,848
2,865
1,387
t7,335
1.500
Total price $31,934
The "Yellowstone Highway" tab is a list of the assets and a calculation of the
sales price of those assets. The $8,848 sales price is found in cell N28.
The"12 Months Revenue" tab is the previous 12 months of revenue for the
customers that will be impacted. The calculation is 12 months of revenue times
l.67,the total amount of $17,335 is found in cell Pl5.
Recordholder: Nathan Bailey
Sponsor: To Be Determined
PAC-E-18-11 / Rocky Mountain Power
January 2,2019
IPUC l't Set Data Request 2
IPUC Data Request 2
Please describe how the disposition of the assets in Exhibit A and customers in
Exhibit B will be recorded for accounting purposes. Please include applicable
procedures and spreadsheets with formulas enabled.
Response to IPUC Data Request 2
The assets in Exhibit A will be retired at their net book value from Rocky
Mountain Power's asset records. Please refer to Attachment IPUC 4, Yellowstone
Highway tab, for asset valuation and retirement costs. The customers in Exhibit B
will be notified of their new provider and their customer accounts will be closed
with a final billing based upon the final meter read of their electric usage. The
proceeds received from the calculation of 167% of the customers last 12-months
of billings will be recorded as salvage by crediting FERC Account 108, Provision
for Accumulated Depreciation. Please refer to Affachment IPUC 4, 12 Months
Revenue tab for monthly billing support with enabled formulas.
Recordholder: Dean Wirick
Sponsor: To Be Determined
PAC-E-18-I l / Rocky Mountain Power
January 2,2019
IPUC l't Set Data Request 3
IPUC Data Request 3
Please provide copies of the previous 12 months bills for meter numbers
66929787 and 40710094 listed in Exhibit B.
Response to IPUC Data Request 3
Please refer to Attachment IPUC 3 for redacted copies of the previous 12 months
bills for meters 66929787 and 40710094. Meter 40710094 only has I I statements
due to one month containing charges for two months.
Recordholder: Tony Worthington
Sponsor: To Be Determined
PAC-E-18-11 / Rocky Mountain Power
January 2,2019
IPUC l't Set Data Request 4
IPUC Data Request 4
Please describe how the proceeds from this sale of assets will be recorded for
accounting purposes. Please include applicable procedures and spreadsheets with
formulas enabled.
Response to IPUC Data Request 4
Please refer to the ooJournal Entries" tab in Attachment IPUC 4 for how the
proceeds from this sale will be recorded and the formulas supporting the
recording of proceeds from this sale.
Recordholder: Vince Harmsen
Sponsor: To Be Determined
PAC-E-18-I I / Rocky Mountain Power
January 2,2019
IPUC I't Set Data Request 5
IPUC Data Request 5
Please provide a legible copy of Exhibit C that identifies:
a. The facilities that will be transferred to ttre City of Idaho Falls.
b. The facilities owned by the Company in the Yellowstone Highway area.
c. The facilities owned by the City of Idaho Falls in the Yellowstone Highway
area.
Response to IPUC Data Request 5
a. Please refer to Attachment IPUC 5 for a map outlining the facilities that will
be transferred to the city of Idaho Falls and by the Company in that area. The
facilities being transferred are indicated on the map by the circled red
sequence numbers and include all primary and secondary conductors.
b. Please refer to the Company's response to subpart a.c. Idaho Falls Power would have to address the facilities that are owned by
Idaho Falls Power in the area.
Recordholder: Justin Allen
Sponsor: To Be Determined
PAC-E-18-I I / Rocky Mountain Power
January 2,2019
IPUC l't Set Data Request 6
IPUC Data Request 6
Are additional transfers planned in the general vicinity of this transaction and the
Yellowstone Highway? [f so, please provide an explanation of potential transfers,
location, and when they may occur.
Response to IPUC Data Request 6
No additional transfers have been planned or discussed in that area to date.
Recordholder: Justin Allen
Sponsor: To Be Determined
PAC-E-I8-I I / Rocky Mountain Power
January 2,2019
IPUC l't Set Data Request 7
IPUC Data Request 7
Please provide an explanation and evidence for the following (ref.Idaho Code $
6l-328 (3)):
a. That the transaction is consistent with the public interest;
b. That the cost and rates for supplying service will not be increased by reason of
such transaction; and
c. That the applicant for such acquisition or transfer has the bona-fide intent and
financial ability to operate and maintain said properfy in the public service.
Response to IPUC Data Request 7
(a) Idaho Code $61-332 defines as its purpose to promote harmony among and
between electric suppliers; prohibit pirating of consumers; discourage
duplication of electric facilities and; to stabilize the territories and consumer
services of electric suppliers. The agreement between the city of Idaho Falls
and the Company was intended to meet this purpose thereby meeting the
public interest.
(b) The purchase price is designed to compensate the Company for the investment
to serve those customers so not to impact other customers.
(c) The city of Idaho Falls has been an electric supplier for decades and is
expected to continue to provide electric service to its customers.
Recordholder: Daniel Solander
Sponsor: To Be Determined
PAC-E-18-11 / Rocky Mountain Power
January 2,2019
IPUC I't Set Data Request 8
IPUC Data Request 8
Please explain how customers are being notified of the proposed change.
Response to IPUC Data Request 8
Customers will be notified by either outbound call campaign from our call center
or hand delivered door notice for those that do not respond to the call campaign.
Idaho Falls Power will also send written correspondence regarding the transfer.
Recordholder: Justin Allen
Sponsor: To Be Determined