HomeMy WebLinkAbout20040809Vol VII Kellogg.pdfORIGINAL
...~
BEFORE THE 'l:P8~ p~Bfrtc3VrILITIES COMMISSION
IN THE MATTER OFU~k~Tf~~~~tA~OF)
AVISTA CORPORATION FOR AUTHORITY
TO INCREASE ITS RATES AND CHARGES
FOR ELECTRIC AND NATURAL GAS
SERVICE TO ELECTRIC AND NATURAL GAS)
CUSTOMERS IN THE STATE OF IDAHO.
) PUBLIC HEARING
CASE NOS.
AVU-04-
AVU-O4-
HEARING BEFORE
COMMISSIONER PAUL KJELLANDER (Presiding)
PLACE:Silver Valley Job Service
35 Wild Cat Way
Kellogg Idaho
DATE:July 261 2004
VOLUME VII - Pages 1350 - 1399
.t
HEDRICK
PO8T OFFICE BOX 578
BOI8E, IDAHO 83701
208-336-9208
COURT REPORTING
J'eM'irf tk, et/Iff/l(fQfl&; &itee 1978
For the Staff:
For Avista:
SCOTT WOODBURY Esq.
Deputy At torney General
472 West Washington
Boise Idaho 83702
KELLY NORWOOD
Vice President State and
Federal Regulation
Avista Utilities
Post Office Box 3727
Spokane Washington 99220-3727
HEDRI CK COURT REPORTING
P. O. BOX 5781 BOISE
AP PEARANCE S
83701
WITNESS
Earl Castleberry
(publ ic)
Eileen Wilhelm
(publ ic)
Iris J. Byrne
(publ ic)
Charles Shepherd
(publ ic)
Barbara Miller
(publ ic)
Rep. Bonnie Douglas
(publ ic)
Michael J. Williams
(publ ic)
Claudia Frago
(publ ic)
Frank Frago
(publ ic)
A. R. Rich Laws
Public)
Rep. Mary Lou Shepherd
(Public)
EXAMINATION BY
Mr. Woodbury
Statement
Mr. Woodbury
Statement
Mr. Woodbury (Cross)
Mr. Woodbury
Statement
Commissioner Kj ellander
Mr. Woodbury
Statement
Commissioner Kj ellander
Mr. Woodbury
Statement
Mr. Woodbury (Cross)
Commissioner Kj ellander
Mr. Woodbury
Statement
Mr. Woodbury (Cross)
Mr. Woodbury
Statement
Mr. Woodbury
Statement
Mr. Woodbury
Statement
Mr. Woodbury
Statement
Mr. Woodbury
Statement
PAGE
1354
1354
1356
1357
1358
1359
1359
1363
1364
1364
1366
1368
1368
1374
1375
1376
1377
1382
1384
1384
1385
1386
1387
1387
1391
1391
1394
1395
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
INDEX
KELLOGG, IDAHO, MONDAY , JULY 26,2004,1:00 P.
COMMI S S IONER KJELLANDER:Good afternoon.Wow.
Even I'm kind of afraid to hear my voice that loud.
Good afternoon.My name is Paul Kj ellander, and
m the chairman of this particular hearing.I m wi th the
Public Utilities Commission.And today, we're here to take
public testimony in Case Nos. AVU-04-1 and AVU-04-, which
is also referred to as in the matter of the Application of
Avista Corporation for authority to increase its rates and
charges for electric and natural gas serVlce to electric and
natural gas customers in the state of Idaho.So this is both a
natural gas and an electric rate case that we re here to take
public testimony on today.
The way this will work today is we will call you
up one by one for those of you who have signed up on the sheet
wishing to testify, or witness list.And if you want to slgn
up at any time we can either have you sign this or you can wait
until we go through this list and then I'll ask if there'
anyone else who would like to testify.So I don't want to shut
anyone out from having access to this process.
And, again, how it will work is one by one,
I will call your name.You'll come forward to this center seat
here.There's a little microphone and I'll have someone go
1350
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE, ID
COLLOQUY
83701
ahead and just turn it on and leave it on.There will be a
little red light, and Ron will get the red light to work.And
since it I S a tabletop microphone, the only thing I ask is that
you not tap your fingers on the table.Otherwise, all your
friends will be just extremely annoyed with you and probably
chase you out of the building.
What I III do is I'll call you up, you III come
forward.We I 11 swearI III ask you to raise your right hand.
you in.And then we I 11 have the attorney representing the
Attorney General I s office who also represents the Public
Utilities Commission Staff -- his name is Scott Woodbury
will just ask you a couple of quick questions to get you on the
record, and it usually goes as simple as your name, weill have
you spell your last name, and where youl re from.And then from
that point, you'll simply have an opportunity to offer up your
comments that we can put officially into the record.
We have a court reporter here who will dutifully
take down every word that you say, and she I s usually pretty
good about it and we trust her to do a good job.Her name is
Wendy.Occasionally, though , you might be going just a little
fast, and that I s not uncommon.Sometimes people get a little
nervous in terms of testifying.So, we may have to ask you to
slow down a bit.But we I 11 certainly take as much time as we
need to.
This will be the first public hearing that we
1351
HEDRICK COURT REPORTING
O. BOX 578, BOISE, ID
COLLOQUY
83701
have on these cases.We've another one scheduled for this
evening in Sandpoint, and then a third and final public hearing
will be in Lewiston tomorrow.
Let's see.Why don't we first just go ahead and
take the appearances of the parties that are here today.
there anyone from Potlatch or Coeur Mining available?
MR. CHARLES COX:m here, but just as a
spectator.
COMMISSIONER KJELLANDER:Just as a spectator.
Okay, no applause, no clapping.
MR. CHARLES COX:For Coeur, CharI i e Cox.
COMM IS S IONER KJELLANDER:Good to see you again.
Charlie was an attorney representing Coeur Mining
and was at the technical hearings which were held last week.
think we had three days of hearings.
Mr. Woodbury, representing Staff.
MR . WOODBURY:Scot t Woodbury.
Accompanying me today from Staff are Randy Lobb,
director of the utility division , in the back; and
Marilyn Parker, member of the consumer assistance division.
COMMISSIONER KJELLANDER:Okay.And Mr. Norwood
with Avista.
MR. NORWOOD:Kelly Norwood with AvistaYes.
Utilities.And we al so have a number of other employees from
the Company available to answer questions later on.
1352
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID
COLLOQUY
83701
COMMISSIONER KJELLANDER:Great.Thank you.
Just another thing to mention is once you
glven your statement, there's an opportunity for what we
formally call cross-examination.Cross-examination sounds a
little more ominous than it actually is.There may just need
to be a follow-up question based on something you say.It'
not going to be some kind of drag-down, knock-down Q and A
session.If it does turn to that, I'll quickly rap whoever
is over the head who got off on the wrong track.And so quite
honestly, it shouldn't be a difficult process and I hope that
it's not too painful.But, again , we'd like to get your
testimony on the record.
And before we call our first witness, I also want
to recognize Representative Mary Lou Shepherd who is here
today, and I also believe we have Representative Bonnie
Douglas.Is that correct?
MS. DOUGLAS:That's correct.
COMMISSIONER KJELLANDER:m usually good about
faces, and you're one I'm going to have to get to meet and talk
I haven't had a chance to meet you formally, so thankto more.
you, and thanks for coming today.
Okay, let's call our first witness, and, please,
I'll apologize in advance for butchering your names.This is
Earl Castleberry.Is that correct?
MR. CASTLEBERRY:Yes.
1353
HEDRI CK COURT REPORTING
O. BOX 578, BOISE, ID
COLLOQUY
83701
COMMISSIONER KJELLANDER:Good.If you 'd come
forward?
EARL CASTLEBERRY
appearlng as a public witness, being first duly sworn, was
examined and testified as follows:
COMMISSIONER KJELLANDER:Mr. Woodbury.
MR. WOODBURY:Thank you.
EXAMINATION
BY MR. WOODBURY:
Mr. Castleberry, please state your full name,
spell your last name.
Earl E. Castleberry, C-
And where do you reside, sir , your address?
1145 Garden Avenue,in Osburn,Idaho.
Thank you.You may glve your testimony.
THE WITNESS:1 i ved in Osburn for
years - - my age
- -
and I've seen the economy in this valley in
its good times and its bad times, and right now , it is at its
We have been devastated wi th the EPA , and now theseworst.
people want a 14 percent increase in gas prices?We can no
longer afford you people.I can'm on imi ted income.
1354
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID 83701
CAS TLEBERR Y
Public
afford it.I don't know what we're golng to do and what the
answer is, really.
We hear all these energy stories and broken pipes
and, well, we've got to raise it because of this, because of
that, and other things.We can no longer afford it, being on
limited incomes, and I believe right now 80 percent of this
valley is people on Social Security and retired, on limited
incomes, and it's just come to a point where we're - - I'
devastated.ve got toI can't afford a 14 percent gas rate.
wear my long-handled underwear and my big, heavy coat to sit in
my recliner at home in the wintertime because I've got to keep
the heat down to 60 to afford you people.That ain't right.
That's not life in the United States as it should be.
And, actually, all of this energy, in my mind
this is me talking
- -
quit telling us about the shortages and
the downfalls of this and that and the other thing, and just
come out and tell us it's plain greed.On the oil crisis and
the natural gas crisis and everything, in my mind, that's all
it is is just plain greed, and we can no longer afford you
people.
I thank you.
COMMISSIONER KJELLANDER:Thank you.
Mr. Castleberry, before you leave, let's just see if there'
anyone that has any questions for you.
Mr. Woodbury.
1355
HEDRICK COURT REPORTING
O. BOX 578, BOISE , ID 83701
CAS TLEBERR Y
Public
MR. WOODBURY:I have no questions.Thank you.
COMMI S S IONER KJELLANDER:Mr. Norwood.
MR. NORWOOD:No questions.
COMMISSIONER KJELLANDER:Thank you for your
testimony.
(The wi tness left the stand.
COMMISSIONER KJELLANDER:We'll call
Eileen Wilhelm.Ms. Wilhelm , could you raise your right hand?
EILEEN WILHELM
appearing as a public witness, being first duly sworn , was
examined and testified as follows:
EXAMINATION
BY MR.WOODBURY:
Ms.Wilhelm
spell your last name.
please state your full name and
Eileen Wilhelm, E-L, W-
And where do you reside, ma' am?
117 West Cameron, Kellogg, Idaho.
Okay.Thank you.You may give your testimony.
I beg your pardon?
You may give your testimony.
Okay.
1356
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID
WI LHELM
Public83701
THE WITNESS:Avista spokesman stated
Hugh Imhof - - that the recent revenue from the Utility rates
with support of this investment would aid the Company in
recovery from 2000 energy crisis.
Well , if the Company goes down or something, I
was in business, and you just make amends for it.You don'
charge somebody else more money for it to make up what you
lost.Tha t was your thing.
And like when they sold the energy from Kaiser to
California and closed the plant down and now it's closed for
good, but the people were out of work and everything, which is
very tragic, and the people in this valley can't afford it.
And if they're trying to get new income coming in here and
building the condos and everything, why, it's not really
feasible to tack extra money on to us at this time.
And the rate that they stated in the paper wasn
right because no one uses $68 a month, and that's what they
based it on, so that was way wrong.Because I don't know
anybody that uses $68.That's your doghouse at home out in the
back yard, and the dog had long hair.
But that's about all I can say.
But, I mean, and like them restaurants and things
like that that use so much , they re going to have to jump their
price of food, and the gas stations, the same way, they
going to have to do it, and that really cuts into the people
1357
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID
WILHELMPublic83701
here.
Okay.Thank you very much.
COMMISSIONER KJELLANDER:Why don't we see
there are any questions.Mr. Woodbury.
CROSS - EXAMINATION
BY MR. WOODBURY:
Are you on a level-pay payment plan?
Yes.
And what do you pay per month?
Pardon?
What is your energy payment per month?
135.
Okay.Thank you.
MR. NORWOOD:No questions.
COMMISSIONER KJELLANDER:Thank you very much for
your testimony.
(phonetic)
you.
(The witness left the stand.
COMMISSIONER KJELLANDER:Iris Birne
COMMISSIONER KJELLANDER:Burn (phonetic)Thank
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID
MS. BYRNE:It's Burn (phonetic)
1358
83701
WI LHELM (X)
Public
IRIS J. BYRNE,
appearing as a public witness, being first duly sworn , was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
last name.
Ma' am, please state your full name, spell your
My name is I r is Byrne, I - R - I - S, B - Y - R - N - E .
And where do you reside, ma'am?
In Kellogg.
And your address?
827 West Park.
Okay.You may glve
Okay.
THE WITNESS:was
your testimony or statement.
called by Eileen Wilhelm , and
I helped a few seniors gather the 1,400 signatures.
MS. WILHELM:(Inaudible.
THE WITNESS:Okay, we gathered quite a few
signatures and we spoke to many people.And we heard stories
of people who had utility bills of 300 a month and people who
had to close their businesses even because they couldn't pay
their utility bills.And we heard a lot of hardship stories.
And people who couldn't pay insurance.People who decided
1359
HEDRI CK COURT REPORTINGP. O. BOX 578, BOISE, ID 83701
BYRNE
Public
between eating and paYlng their utility bills.People who had
to 1 i ve in cold houses in winter where they kept the
- -
personally know of a sick woman in Wallace who had to keep her
house at 55 most of the winter because she couldn't afford to
heat her house.
And after doing this research , I did more
research.I went on my computer and I looked at the income
statements of the Avista Company, and I'm noticing that they I
making a prof it, a very heal thy prof it.And I don't have
access to what the salaries are , but I hear they're very
generous.
And another thing I noticed and I have a question
on lS they're selling general and administrative expenses.
notice that
- -
do we have the financial statements here with
us, the income statements from Avista?
COMMISSIONER KJELLANDER:Ma 'am, this is an
opportunity to put testimony into the record.It's not really
a Q and A period for cross of the wi tnesses wi thin the case
itself.But I think if you would like to ask that question of
one of the members of the Company when we take a break or after
the hearing, you could probably get an answer.
THE WITNESS:Okay, I can condense and summari ze .
What I'm saying is this company is making a very
healthy profit, and this profit should not come off the backs
of the ratepayers.
1360
HEDRICK COURT REPORTING
O. BOX 578, BOISE, ID 83701
BYRNE
Publ i c
And there's one point I would ike to make, and
further research indicates that this company is also making
some very heal thy campaign contributions.And do you have t ha t
total amount wi th you?I don't want to give out
misinformation , but I checked over the Internet and
Dirk Kempthorne especially
Now , is he the one who appoints the members of
the Public Utilities Commission?
COMMISSIONER KJELLANDER:Yes, and it's approved
by the Senate.
THE WITNESS:m noticing he's received 5,000
from the Avista Company.Now , thi s is according to the
political campaign contributions.It's a matter of public
record.
And I would feel better if these decisions as to
the laws that we need to protect the ratepayers and whether or
not these rate increases are fair , I would prefer that they be
made by legislators who don't receive campaign contributions
from the Avista Company.
And does that concludeCOMMISSIONER KJELLANDER:
your testimony?
That concludes my testimony.THE WITNESS:
Oh, one more thing:
Another thing that came up in my research was
there was some tie-ins between Avista and the Enron trading
1361
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
BYRNE
Public
scandals, and I'm wondering if there's ever been an
investigation as to the tie-ins between Avista and the Enron
trading scandals.
COMMISSIONER KJELLANDER:Okay.And I know
Mr. Norwood is chomping at the bit to respond, but I will not
allow him to respond at this time because that's not the
purpose of this hearing,but m sure that he woul d be more
than eager to talk to you at a break or at the end of this
hearing.
THE WITNESS:Okay.
COMMI S S IONER KJELLANDER:Are there questions of
our wi tness Ms. Byrne?
No questions.Thank you.MR. WOODBURY:
COMMISSIONER KJELLANDER:And this is not a way
to sneak in a response.
MR. NORWOOD:Just to say we'd be happy to talk
wi th you afterwards.
THE WITNESS:Okay.
COMMISSIONER KJELLANDER:I do have a couple of
quest ions.
1362
HEDRICK COURT REPORTING
O. BOX 578, BOISE , ID 83701
BYRNE
Public
EXAMINATION
BY COMM IS S IONER KJELLANDER:
Did you help gather the signatures?
Yes, I did.We personally talked to
- -
gathered input from many, many people.
Do you think of the people that you spoke wi th
those that are ln the low income category, do you think that
they're generally aware of some of the low income assistance
programs and the weatherization programs that currently
exist?
m not sure.They - - many people said they were
doing everything to keep their utility bills down, that they
were closing off rooms, they were just doing everything to keep
them down, and they were still getting bills of $2 - or $300 a
month.
Okay.I was trying to gauge whether or not you'd
had an opportunity to talk with them with regards to whether or
not enough information was getting out there with what might be
available to help in some of those instances; certainly not
every home, but a few.
Another group of people that are really being
seriously hurt were small business owners.You know , they have
to pay utilities on both their home and their business, plus,
you know, they usually have to heat or cool things like
1363
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE , ID
BYRNE ( Com)
Public83701
restaurants and things, and they had very high utility bills.
Okay.Well , thank you, and we appreciate your
testimony today.Thank you.
Thank you.
(The witness left the stand.
COMMISSIONER KJELLANDER:Charles Shepherd.
CHARLES SHEPHERD
appearlng as a public witness, being first duly sworn , was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
Mr. Shepherd, will you please state your full
name and spell your last name?
Charles Shepherd, S-
And where do you reside, sir?
I live in Pinehurst, on 102 South Block - - South
Pine - - Third Street in Pinehurst.My box number is 1257.
Thank you.You may give your statement.
Okay.
THE WITNESS:ve been around in this valley for
about 34 years al together.When Washington Water Power had
this electric company, this utility company, I used to pay
1364
HEDRI CK COURT REPORTING
O. BOX 578 , BOISE , ID 83701
C . SHEPHERDPublic
about 80 to $85 a month , year-round, and I used to get quite a
ways ahead on my power bi 11 .Now I'm paying $100 a month and
can t even get ahead even through the wintertime.Washington
Water Power used to mail me back a check about once every three
or four years because I had so much paid in.
But between the water bills, the utility bills on
the gas lights going up, and the sewer, all that stuff has
raised and has hi t this God-dang valley very, very hard.And I
can t see people on fixed incomes have to pay high rates when
they only get a 2. 1 percent lncrease in their pay, and then
Medicare comes along and they take about a third of that away
from them.They ain't got much left.And the retirement is so
low from the mining companies, they can't hardly make it wi
these high rates.
And I don't think it's necessary with Avista or
all these utility companies going around and raising their
rates up, and then coming out in the paper and they brag about
how much they profited from this increase.That's not putting
no prof it back in the guy's pocket that is on a fixed income
and has to pay the rate, on top of rent and everything else.
What it's doing is forcing people out of their homes and the
value of their property is going down.And I don t think it I s
right to hit these old people like that.
I worked for several years in the mines around
1365
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID
C. SHEPHERD
Publ ic83701
here and all over the United States, and I can't see people
having to pay these high rates when they slave for a living and
everything, and then they have to take it away from them where
they can't do nothing at all.
And I know several of the people that work for
Avista.I know qui te a few of them that worked for Washington
I was real good friends wi th a lot of them.ButWater Power.
I can't see these utility companies raising these rates like
they have as fast as they are.Sometimes it's two to three
times a year they get raised, and I can't see that.And I
can't see the Utilities Commission down in Boise letting them
do it.
And that's all I had to say.I helped gather a
bunch of the signatures too.
COMMISSIONER KJELLANDER:Let's see if there are
any questions of Mr. Shepherd.
MR. WOODBURY:I have no questions.Thank you,
slr.
MR. NORWOOD:No questions.
EXAMINATION
BY COMMISSIONER KJELLANDER:
Mr. Shepherd, you said you helped gather some
signatures, so I'll just ask the same question I asked
1366
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE, ID
C. SHEPHERD (Com)
Public83701
previously is if you think people are aware, of those that
might be ln a low income status, of some of the programs that
might be available for assistance.
Well, I think they are, but they have to have a
certain cri teria in order to be able to get these
- -
get the
aid and stuff that they've been trying to.And I can't see
people having to go through the struggle on low incomes and
living in cold houses and living on wood to heat and stuff like
that.The EPA wants them to burn clean and everything like
that and wants to have clean air, but they sure the heck don'
make those kinds available with the prices that they raise in
these rate hikes.And these rate hikes have went up
tremendously since Washington Water Power went out.
Thank you, Mr. Shepherd, for your testimony.
You bet.
(The wi tness left the stand.
COMM IS S IONER KJELLANDER:Call now
Barbara Miller.
1367
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID
C . SHEPHERD (Com)
Public83701
BARBARA MILLER
appearing as a public witness, being first duly sworn , was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
Ms. Miller , will you please state your full
name?
Idaho.
You may give your statement.
Barbara Miller.Last name is M- I -
And where do you reside, ma' am?
My residence is 131 Village Loop in Pinehurst,
Thank you.
I just have a couple of footnotesTHE WITNESS:
here:Besides Eileen and Iris who gathered the original 1,4 - ,
500 signatures on their Petition , Charlie was really what was
another one, kind of another entity out there working and he
went out on his own , turned them in to our nonprofit
organization that's been dealing with low income issues and,
you know , overall mission to make the Silver Valley quality of
life better for about 16 years.They were submi t ted and I have
an addition, about 100 more signatures.So they both
- -
all
three of them
- -
deserve a lot of credi t And, unfortunately,
out of all of those signatures, we have very few
1368
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
MILLER
Public
representatives here today simply for a lot of reasons, but
we're here representing their issues.And if you read the
petition, it clearly said everyone who signed it is against the
rate increase.
So what I have to say is that I've observed Slnce
the takeover of Avista of Washington Water Power several years
ago that rate increases have been slowly but surely absorbed by
ratepayers here, wi thout too much obj ection.The present rate
increase of 13.5 percent for electric and ten percent for
natural gas, as we understand it, amounts to about an average
of $100 a year for ratepayers, and it's something people here
simply cannot afford, especially our citizens in Shoshone
County who the majority live on fixed incomes with some of the
highest unemployment in the state of Idaho.
Again, at least 1,500 signatures out of a
population of 13,000 people collected and, you know , added
their name to obj ecting to the rate increase, and I think
that's a pretty good percentage.I don't have my math in front
0 f me.But as a result, the Public Utility Commission honored
that and held this meeting today, and we're appreciative of
that.
Of the more than 24,700 households that are
customers of Avista, 26 percent of them are below or at the
150 percent of the Federal poverty level.More than 11 358 of
the households in the Avista Idaho service have an annual
1369
HEDRICK COURT REPORTING
o. BOX 578, BOISE, ID
MILLER
Public83701
income of less than $9,000.Tha t average income, those
cus tomers, pay on an average of over $1 , 500 a year wi th 30 to
35 percent of that amount spent on home heat alone.Whi 1 e
these are low income people,they are still our famil ies,
children,neighbors,and friends.And the winters North
Idaho average seven months out the year where heat
absolute necessi ty .They're us.
The households that
- -
these households pay the
highest percentage of their income for energy costs compared to
other income groups, and these households are the most
vulnerable and have next to no opportuni ty for al ternati ve
sources of electricity or heat.Too often paying their utility
bill can mean the difference of eating, a badly needed medical
prescription, a doctor's visit, paying the rent for another
month, or living in a car , worse , in addition to having to pay
child care costs, transportation to and from a minimum paying
job, or other basic needs.
To give you an example, in June, I was the
recipient of an Avista Power closure process at my own
residence, and I pay my bill every month.For a ten-day
interim period from the date Avista wanted the bill to be paid,
approximately June 21st, my power , unknowingly, was turned off.
I was out of town caring for my grandson in Washington state
and the person I had taking care of my home notified me of the
power turnoff on June 24 because there was water coming from
1370
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE, ID
MILLER
Public83701
the refrigerator/freezer area.
I immediately notified Avista to find out why my
electricity had been turned off.Kathy and Lisa were the
Avista employees that I reachedj their last names they refused
to give to me.
For the maj or duration of that day, June 24,
Thursday, and June 25, Friday, I spent, in trying to figure out
what was going on and why my electricity was turned off, not to
mention the time and the money and long distance phone calls
notifying family and friends to go in and the Kellogg office to
take care of the bill.
The two individuals refused to do this, and at
one point I was even chided by Kathy from Avista who asked me
if I was going to call the PUC and complain.
I told her I would.
It didn't mat ter, and it wasn't until Monday,
June 28th, under great duress and an aggressive action in the
Kellogg office, that the electrici ty was turned back on.The
amount that had to be paid was ln excess of more than $150 over
the small balance owing on the month on my bill.Consequently,
considerable food items were destroyed, like it would be many
people, and had to be thrown away, aside from the
unprofessional manner in how I was treated by Avista employees
which now has been demonstrated by at least three other
customers who contacted our office with problems of power being
1371
HEDRICK COURT REPORTING
o. BOX 578, BOISE, ID
MILLER
Publ ic83701
turned off since June.One of them had a seven-month-old
child.
The point is this:At best, no one should have
to go through this type of treatment, and these employees
should not be allowed to work for any business.
ve contacted the Idaho Public Utility
Commission and so have the others to file a Complaint of this
treatment, and I can provide all the paperwork to pursue this
I have not been called back.request.
I wanted to end with a couple of statements that,
with our collaborative work with the Silver Valley Community
Resource Center and ICAN and the community action agencies
around the state of Idaho, we do know that Avista and the
community action agencles have reached some kind of agreement
for $300, an amount to be paid for weatherization , and that
shows good fai th and we're very appreciative of having that.
Paul asked the question about the Petition
signers, whether they knew about low income programs and energy
assistance with those people that carried around the petitions.
This is Shoshone County in the Silver Valley.We - - our office
that is indirectly associated with community action gets an
average of two to three calls a week and more in the winter
months from people wanting to know how they can get help and
keep their electricity and utilities on mainly.So it's like
ve lived around here for more than 40 years and I've been
1372
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
MILLER
Public
doing this work with this organization for 16 years.I f there
is someone here who doesn't know about those programs , it'
probably remote.And, again , it may be one of the except ional
areas ln this community that we do come together on and let
people know about that just because of the poverty, the
unemployment, and other issues that are unique to this area;
unfortunate, but unique.
And in closing, I just have one thing I want to
As far as the EPA is concerned, that is a governmentsay:
agency that has provided the only viable economic development
that this community has seen since 1983 when the Bunker Hill
mine and smel ter closed, and it has put in excess of
$50 million in labor and wages and other costs to this
communi ty .So I guess my point is without them and their
purpose for being here, the Avista closures and problems that
are going on could be far worse.
So, that's all I have to say.
COMM IS S IONER KJELLANDER:Thank you, Ms. Miller.
Let's see if we have some questions.
Mr. Woodbury?
MR. WOODBURY:Yes.
1373
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
MILLER
Publ ic
CROSS -EXAMINATION
BY MR. WOODBURY:
I think you indicated you attempted to contact
the Commission?
Uh-huh.
Regarding - - this is regarding your turnoff and
turnon and the treatment by Avista employees?
Yes.
And was that a telephone call or you sent a
letter to us or
I only contacted the Public Utility Commission by
phone because we've had very good success in the past in
sending people and referring them to other problems wi
utilities, so it's only been by phone for now.
And was this in late June?
Yes, it was.
And you haven't received a call back?
That's correct.
Did you leave a message on a telephone
answering?
I did.
Okay.Thank you.
1374
HEDRI CK COURT REPORTING
O. BOX 578, BOISE, ID
MILLER (X)
Public83701
EXAMINATION
BY COMMISSIONER KJELLANDER:
As a follow-up to that same question , we do have
a representative from the consumer division today.
Is it Marilyn?
Yes.
Right.I took her name down.
What I'd like you to do is get with her before
you leave, because if there was a problem in getting with the
Commission , that I s something we can remedy and I think we'll be
able to figure out what happened on that one.
Sure.Okay.
And did you mention that there were two other
people that called up simultaneously in reference to that?
Well , after I got back, we had calls come into
our office and, yes.But to my understanding, they both called
the Public Utility Commission.I don't know if they have heard
back or not.
Usually our advice to them is to make a contact,
gi ve them the number if they need help in understanding what
is they need to present, and get all their paperwork together
and let them know that, and if they have to leave a message,
they do that.
In one case, the case of the seven-month-old
1375
HEDRICK COURT REPORTING
O. BOX 578, BOISE , ID
MILLER (Com)
Public83701
child, the gentleman assured me that he did call and at least
left a message.
Well, if you could check with Ms. Parker before
you leave today, maybe we could help get to at least the bottom
of your call and then we could see where we can go from there.
I will.
COMM IS S IONER KJELLANDER:Mr. Norwood.
MR. NORWOOD:No quest ions.
COMMISSIONER KJELLANDER:Apprec ia te your
testimony.
THE WITNESS:Sure.
(The witness left the stand.
COMMISSIONER KJELLANDER:Call now Representative
Bonnie Douglas.
REPRESENTATIVE BONNIE DOUGLAS,
appearlng as a public witness, being first duly sworn, was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
Representative Douglas, if you 'll please state
your full name and spell your last name?
Yes.My name is Bonnie Douglas, D-
1376
HEDRICK COURT REPORTING
O. BOX 578 , BOISE, ID
DOUGLAS
Public83701
and I live at 214 Lakeview Drive, in Coeur d'Alene, Idaho.
Thank you.
THE WITNESS:The reason I came today is because
m very concerned about the ability of low income and fixed
income people in Idaho to pay this rate increase.Idaho has a
poverty population of about 13.8 percent of our total
population and we rank 16th in the nation.In the panhandle
area up North, we have a seven percent unemployment rate that
ranges in Benewah County at 9.3 percent - - these are June 2004
figures - - 9.3 percent Benewah County; Bonner County,
7 percent; Boundary County, 7.3 percent; Kootenai County,
6 . 6 percent; Shoshone County, where we're located today,
8 . 4 percent.This is actually our high employment time of the
year, but we have had in the last year unemployment in some of
these counties of double digits.And so I'm very concerned
about these people that are unemployed, people with low
incomes, fixed incomes, including the seniors and the disabled
who are living on $595 a month, that they could afford a 13.
percent increase in electrici ty or ten percent for gas.
I saw statistics recently that 39 percent of
Idaho can barely make a basic family budget for a family of two
adults and two children, and, you know, 39 percent, you know
and actually less than that
- -
you know, a lot of people cannot
afford the basics in their very
- -
you know, their lives.
I saw statistics from ICAN and it said that,
1377
HEDRI CK COURT REPORTING
O. BOX 578, BOISE, ID
DOUGLAS
Public83701
actually, Idaho's median household income from 2000 to 2002
dropped $ 7 8 0 .So, actually, I don't know , you know, that
there's more current information available than that, but we'
actually - - you know, people have less disposable income than
they have had before.We've had more bankruptcies, people have
higher transportation costs with the gasoline prices going up,
and we have more working poor.We have personal bankruptcies
have grown 26.3 percent in that same period from 2000 to 2002.
In 2003, Avista shut off more than 500 families
power in the spring because they couldn't pay their bills.
Also, ICAN reports that in the winter of 2002 and 2003, 2 989
families declared eligibility for the winter moratorium because
they couldn't pay their power bill.Unfortunately, winter up
especially where we're at today goes much beyond February.
Winter goes into March and April.As a matter of fact, I
brought weather statistics that the average minimum temperature
in Spokane, which is not at the elevation we're at today, in
March is 29 degrees, in April is 36 degrees, and in May is 43
degrees.And in the Silver Valley where we're at today, we'
at much higher elevation.Those temperatures would be probably
ten degrees lower.
Idaho I S per capita electricity consumption is the
ninth highest in the United States.We have a long heating
season , from October through April.We have hot summers.
We I ve had three, you know , 90 -degree spells this summer.
1378
HEDRICK COURT REPORTING
o. BOX 578, BOISE, ID 83701
DOUGLAS
Public
People's - - to cool their houses, you know , people'
electricity usage during the summer is elevated also.
And I basically feel that in the state that we'
where 16.percent the people have not had
- -
don't have
heal th insurance for the entire year,rank tenth in the
nation in that,these are families under stress and there
disposable income for these low income people, and if there'
going to be a rate increase I think there's going to have to be
an increase in assistance programs or we're going to have to
extend moratorium periods to help these people on fixed
incomes.
The rate increase
- -
also another thing I hear
concerns about and you've heard some of this today from other
people is that, you know, if there have been losses in the
past, you know, someone mentioned the legal defense, you know
for Avista for power trading acti vi ties.You know , we want to
be sure that the Public Utility Commission is not allowing any
legal costs for defending or for investigating
- -
you know , any
investigative activities on Avista' s power trading activities
should not be pushed on to the ratepayers.
Also, we think that the rate increase should
looked at in terms of administrative costs.And another person
that testified today mentioned, you know, salaries, executive
salaries, and I see statistics in the paper
- -
and papers
aren't always accurate
- -
but of $800,000 salaries for chief
1379
HEDRICK COURT REPORTING
O. BOX 578, BOISE , ID
DOUGLAS
Publ i c83701
executive offices, multimillion-dollar signing packages
including stock and signing bonuses, and basically, you know
the question is , you know , whether or not these administrative
costs are in line with what they should be.
And so we trust that the Public Utility
Commission will look at these types of things when they come to
reviewing this.
In the statistics from ICAN, it said that
356 Avista customers got low income heating assistance during
the winter of 2002-2003.If you raise the rates, I believe
that these rates are going to go up, and that more people are
going to be impacted.We have a lot of working poor people
here and the jobs have been evaporating.We have small
businesses that are going to be affected that are already
struggling to survive, you know, the Wal-Marts that come to
town and the Costcos, and, you know, I'm a little concerned
about the local grocery store, you know , the corner gas station
and all these other businesses that have refrigerated goods and
that people
- -
low income people
- -
typically are using these
And we have no public transportation, and peopleresources.
spend a lot more on transportation costs and heal th right now
and so this burden added on to that I think may be significant.
So I'd ask you, you know, to really look at this
and really come up with the minimum rate that you really feel
is justified, and I know that's the job that you're required to
1380
HEDRI CK COURT REPORTING
O. BOX 578 , BOISE , ID 83701
DOUGLAS
Public
do, but that's the job we expect you to do.And we don't want
anyone left in the cold and we don't want people in our region
to be suffering, you know , in freezing houses and having pipes
freeze and all the expenses with that.
A lot of people here live in rental homes, in
rental housing.They have little control over their
- -
the
weatherization.And there's backlogs at a lot of the
weatherization programs, and so people either don'
- -
really
don't all have the opportuni ty to, you know , to help control
and imi t their energy costs.
And so, you know , I think , you know, I ask for
your - - to be compassionate about this, because it really kind
of tugs at my heart strings when I hear the stories of people,
you know , who are being burdened by all the costs that are
going up in their lives, and this is one that I just want to
make sure that the rate increase that does go into effect is
what's deserved.
And so those are some of the concerns I've heard
from consti tuents.
Thank you.Are thereCOMMI S S IONER KJELLANDER:
any questions?
1381
HEDRICK COURT REPORTING
P. O. BOX 578 , BOISE , ID 83701
DOUGLAS
Public
CROSS-EXAMINATION
BY MR. WOODBURY:
Representative Douglas, I wasn't paying a lot of
attention to the Legislature this past session, and I'
wondering, do you chair or serve on any legislative
commi t tees?
m on transportation and
And --
Now , as a matter of fact, I will not be there
next seSSlon , so
I was wondering, perhaps, if you can share wi
us what the Idaho legislature has done recently to actively
address the unemployment and poverty in Northern Idaho and
perhaps assistance programs , medical , energy, transportation
and small business that they were involved in in addressing the
poverty that is here and the unemployment?
m on the bus iness commi t tee al so and there'
been some efforts to try to allow some, you know , tax breaks to
encourage businesses, and tax credi ts
And the
- -
I think that the Legislature has,
wi thin the constraints of the budgets, you know , that we'
had, which have been tight budget years the two years that I'
been in the of f ice, has tried to
- -
we had workers' comp, you
know, froze the rates , there's been some business development
1382
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID 83701
DOUGLAS (X)Public
tools that have been out there, and there is - - there's much
more that can be done, I'm sure.And the rural development
grants have tried to, you know
- -
the Governor's rural
development grants have tried to address and allow money so
that areas could put in the infrastructure that they need to
encourage businesses to come.
So I think a lot has been going on and there'
certainly a lot more that can be done to at tract businesses to
Idaho, but I think that, you know, we really, you know
- -
the
power rates have always, you know , ln the past have always been
an attraction point to coming to the Northwest was that we had
low power rates, so, you know , I think that the climate, you
know, is changing and, you know , if that's not going to be the
case, that may work against us also.So that's just another
consideration, but --
All right.Thank you very much.
COMMI S S IONER KJELLANDER:Are there any further
questions?
MR. NORWOOD:I have no quest ions.
COMMI S S IONER KJELLANDER:Okay.Thank you for
your testimony today.
THE WITNESS:Thank you for coming.
(The witness left the stand.
COMMI S S IONER KJELLANDER:We'll call now
Michael Williams.
1383
HEDRICK COURT REPORTING
O. BOX 578, BOISE, ID
DOUGLAS (X)
Public83701
MICHAEL J. WILLIAMS,
appearing as a public witness, being first duly sworn , was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
Ms. Williams, will you please state your full
name and spell your full name for the record, please?
Michael J. Williams, M- I -L, initial
And your residence, ma' am?Where do you reside?
102 West Mission in Kellogg.
Thank you.You can glve your statement.
Uh-huh.
THE WITNESS:I have not a lot to add to what'
been said already, but I know in my personal financial
business, when I run out of money, I'm out of money.I don'
have anybody to turn to.Why can't businesses operate that
way?
COMMISSIONER KJELLANDER:And does that complete
the statement you wanted to provide for us today?
THE WITNESS:Pretty much.
COMM IS S IONER KJELLANDER:Are there any
questions?
1384
HEDRI CK COURT REPORTING
O. BOX 578, BOISE, ID
WILLIAMS
Public83701
MR.WOODBURY:No questions.
MR.NORWOOD:No questions.
THE WITNESS:When do we get answers?
COMMISSIONER KJELLANDER:Well, on that one, if
you 'd like to ask some specific questions of either the Staff
or the Company representatives, they will be available at the
end of this hearing today, and I'm sure they will be more than
happy to talk to you.
THE WITNESS:All right.Thank you.
COMMISSIONER KJELLANDER:Thank you.
(The wi tness left the stand.
COMMISSIONER KJELLANDER:Call now Claudia Frago.
CLAUD IA FRAGO,
appearing as a public witness, being first duly sworn, was
examined and testified as follows:
THE WITNESS:My name is Claudia Frago.
last -- my first name is C-My last name
EXAMINATION
BY MR. WOODBURY:
And where do you reside?
1385
HEDRICK COURT REPORTING
O. BOX 578, BOISE, ID
C . FRAGO
Public83701
At 605 Nevada Street in Pinehurst.
Thank you.You may give your statement.
THE WITNESS:Anyway, we moved here about five
years ago from Northern California, and when we moved here, the
rates were really low for electricity and for natural gas.
Since then, they have gone sky-high, and I want to say that
obj ect to any more raises.
And I want to
- -
I would like to also ask about
Avista donating $5,000 to the Public Utilities Commission.
That's what this lady had said.
COMMI S S IONER KJELLANDER:Well, I think in that
testimony she was referring to political contributions made to
elected officials.
THE WITNESS:Oh, okay.m sorry.
COMMI S S IONER KJELLANDER:That's okay.
THE WITNESS:Anyway, that's all I have to say.
Thank you.
COMMI S S IONER KJELLANDER:Thank you.Before you
leave, let's see if there's some questions.
Mr. Woodbury.
MR. WOODBURY:I have no questions.Thank you
very much.
COMMISSIONER KJELLANDER:Mr. Norwood.
MR. NORWOOD:No questions.
COMMISSIONER KJELLANDER:Thank you for your
1386
HEDRI CK COURT REPORTING
O. BOX 578, BOISE , ID
C . FRAGOPublic83701
testimony.
THE WITNESS:You re welcome
(The wi tness left the stand.
COMMISSIONER KJELLANDER:And we'll call now
Frank Frago.
FRANK FRAGO,
appearlng as a public witness, being first duly sworn, was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
Mr. Frago, will you please state your full name,
spell your last name?
Yes.Frank Frago, F-
Any relation to Claudia?
m her husband.
Same address?
Same address:605 Nevada Street, in Pinehurst.
Thank you.
THE WITNESS:We're retired and on Social
Security and a small retirement.We have lived in Pinehurst my
wife said five years, but it's actually six years, and the
rates, like she said, have just gone upward in that six years.
1387
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID
F . FRAGO
Public83701
It started out that the rates were what we considered
reasonable.Now they re not.
I read the paper qui te a bi t and I understand
that Avista' s had some real bad investments in natural gas,
and, apparently, this request that's before the Public
Utilities Commission , part of this request for an increase is
to make up the, like I say, bad investments.I don't think
that this should fall onto the ratepayers to pay.I think that
this should be a stockholder's responsibility.
Also, Spokane-Review has reported recently
that
- -
and this has nothing to do with this particular
request, but Spokane-Review reported that Avista is asking for
another 14 percent in gas rate hikes, and that's in addi tion to
this request for 8.6, and I find this ludicrous.
How high is it going to go?I mean, we live in
a -- Idaho, you know , is probably 75 percent, maybe 80 percent
timberland.That may not be an accurate but I think it I s
fairly accurate that 75 percent or 80 percent of Idaho is
timber.Why can't Avista use a little bit of their brain and
say - - okay, I worked in a lumber mill for 30 years.The
particular lumber mill that I worked in.
- -
Georgia Pacific
had their own power plant.They ran
- -
this was a very large
operation.There were two saw mills, two planing mills, an
operation that covered approximately 40 acres.They - - all of
the electricity that the mill used was produced on its own,
1388
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID
F . FRAGO
Public83701
plus they sold excess electricity to the electrical
- -
the
utility company.If a company like that
- -
and I know that
most lumber mills, maybe not in Idaho, but in particular,
Northern California, had their own electricity producers.
just can't see why Avista can't use a little bit of the
superabundance of natural resource that we have here.
From what I understand, another
- -
and I'd like
to pose this question to you probably.Avista is in
- -
is now
beginning to build a gas-fired electrical plant.How much
the effect of using that gas
- -
we know that natural gas
shortages are probably what Avista is saying, this is the
reason why we want to raise the rates.Now Avista is turning
around and they're going to use a superabundance of natural gas
just to produce electricity.That doesn't seem right to me.
Again , you re relying on the ratepayers to make up the cost and
a profit for Avista, and I think, you know , this should go back
to the stockholders.If you want to burn up gas and create
shortages, lay it on the stockholders, not the ratepayers.
I think that's about all I have to say.
COMMI S S IONER KJELLANDER:Thank you.Let's see
if there's some questions.
Mr. Woodbury?
MR. WOODBURY:No questions.Thank you.
COMMI S S IONER KJELLANDER:Mr. Norwood.
MR. NORWOOD:No questions.
1389
HEDRI CK COURT REPORTING
O. BOX 578, BOISE, ID
F . FRAGO
Public83701
COMMISSIONER KJELLANDER:Thank you.
THE WITNESS:I'd like to get my question
answered though about, you know, how much if Avista is going to
have this gas-fired plant, how much is that going to further
add to the shortage of gas in North Idaho.
COMMISSIONER KJELLANDER:And as wi th all
questions, if you would like to ask that of the Company
following this meeting, I'm sure they 'd be happy to talk to you
about the cost of natural gas and what they perceive to be the
impact of those purchases.
THE WITNESS:Well, I sure hope that the Public
Utility Commission takes this into consideration.
COMMI S S IONER KJELLANDER:In the technical
hearings last week, just to kind of add a little additional
information, that was an area that was actually brought up and
discussed at length wi thin the technical hearing aspects, and
that's also part of the record there as well.
THE WITNESS:All right.Well, thank you.
COMMISSIONER KJELLANDER:Thank you.
(The wi tness left the stand.
COMMISSIONER KJELLANDER:That exhausts the list
that we had, so at this point I'd like to ask if there I s anyone
else that would like to testify today who hasn't signed up for
the list.We have time.So if you would ike to come up and
testify, we would certainly be more than happy to take your
1390
HEDRICK COURT REPORTING
O. BOX 578, BOISE , ID
F . FRAGO
Public83701
testimony.Come on up.
MR. A. R. RICH LAWS:(Indicating.
COMMI S S IONER KJELLANDER:Good.I knew if I kept
begging we'd get one more.I hate to come this way and not get
everybody, and I hate for folks to leave and get to the parking
lot and say, Gosh, darn it, I wish I'd said this.
MR. A. R. RICH LAWS:They don't call me
Motor Mouth for nothing.
COMMISSIONER KJELLANDER:Okay.
A. R. RICH LAWS,
appearlng as a public witness, being first duly sworn, was
examined and testified as follows:
EXAMINATION
BY MR.WOODBURY:
Sir,will
spell your last name?
you please state your full name and
A. R. Rich Laws.My last name is L-
live at 206 Northview, Smelterville, and have for 51 years.
Okay.You may give your statement.
THE WITNESS:Well, our heating problem
- -
guess you could call it a problem -- takes about half our
income, but when we first purchased our little home there in
1391
HEDRICK COURT REPORTING
O. BOX 578, BOISE, ID
LAWS
Publ i c83701
Smel terville, we had an oil heater.Oil was like 15 cents a
gallon at that time.We could burn four,That was real good.
five gallons of oil a day and afford to pay it.I was working
five days a week for like $9 a shift or something like that.
Well , then pretty soon , Washington Water Power
says, Hey, electricity is real cheap, why don't you change to
electric.And oil started going up and up.So we put in
baseboard electric throughout the home, and which was real
reasonable the first two or three winters.Then pretty soon,
the Washington Water Power decided they wasn't getting enough
so they started up, up, and up the cost.
So it finally got to where we just couldn't
afford it, so we put in a small wood stove.We have a small
home.And that worked out real good for six or seven years,
and, as everything else, the poor wood cutters had to have a
decent 1 i ving, so they started upping their prices.
So then they said , Hey, natural gas now is the
only thing and it's not going to increase very much, so why
don't you
- -
so we took out our wood stove and put in natural
And just like
- -
and we've had natural gas now for aboutgas.
eight years, and it was reasonable the first two or three
winters, but the last
- -
I don't know how many raises we've had
on gas and electric.Seems like every six months we get one.
But my Social Security check went up two percent,
I think it was.I'd I ike to have the salaries of the
1392
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE , ID
LAWS
Public83701
Washington Water Power people, the executives, if any of those
only got two percent raise.And - - but that's nei ther here nor
there.I didn't go to Yale or somewhere and learn to do any
different.
But I think that they better get this eight
percent raise or whatever it is that's been pending, what is
it, six months now that they requested, and that should be
plenty at this time I say.
And I've been - - my wife and I have been retired
for 23 years now.I retired early at 62 years old.m now
85.And my pension check from the company I worked for , which
was Gulf Resources, Bunker Hill, Pintlar , whatever they want to
go by, it's right to the penny exactly what it was the day
retired.There's no COLA on it, there's not an official at
Avista that ever settles for a fixed income, but they want to
get their profits from the people that are on the fixed income.
And I could go on for forever on it.And wi th
little, bitty company pension, my Social Security, it puts us a
very few dollars over the so-called poverty level, which ln my
estimation we're still in poverty, but we don't qualify.What
is it, $ 9 , 000 a year they say you have to be under to get any
assistance from Avista or anything?
So I think
- -
I just speak for my friends and
neighbors - - that's part of our problems.Thank you.
COMMI S S IONER KJELLANDER:Thank you.Let's see
1393
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
L~S
Public
if there's any questions.Mr. Woodbury.
MR . WOODBURY:Thanks for your testimony.
MR. NORWOOD:No questions.
COMMISSIONER KJELLANDER:And for an impromptu
bit of comments today, that was very concise and very good, and
thank you.
THE WITNESS:Didn't take me too long, did it?
COMMI S S IONER KJELLANDER:Worked out fine.Nope.
Thank you very much.
THE WITNESS:Thank you.
(The wi tness left the stand.
COMMISSIONER KJELLANDER:Is there anyone else
who'd like to testify today?Representati ve Shepherd.
REPRESENTATIVE MARY LOU SHEPHERD
appearing as a public witness, being first duly sworn , was
examined and testified as follows:
EXAMINATION
BY MR. WOODBURY:
Representative, please state your full name,
spell your last name.
Mary Lou Shepherd, S-
And your residence?
1394
HEDRI CK COURT REPORTING
O. BOX 578, BOISE, ID
M. SHEPHERD
Public83701
273 Crescent Drive, Wallace, but it is a
Pritchard address where I live.
All right.Thank you.
THE WITNESS:Thank you so much for being here
today.I appreciate the fact that you re listening to my
people.I had not intended to speak, but to listen to what my
constituents had to say.But for those that are not able to be
here - - and there are many, because of one reason or not, are
not able to
- -
I shall try to be their VOlce.
This is still a very depressed area, though you
may see prosperity here and there throughout this valley.
Houses here are selling at a record rate, but they average
about $28,000.The ski condos are being built, but our people
that live there now won't be sharing in that prosperity.
Our once thriving natural resource jobs have been
depleted.Those that are left are service paying jobs only.
There is not a week goes by but when I don't
recelve a call from a constituent in District 2 needing help,
and it is not always help with energy billsj however, I have
had many of them, and I have had help from Avista in addressing
that.
These people are already making choices between
groceries, medication, other bills including their utilities
and I am concerned that a raise in the rate of their utilities
will further impact the choices that they have to make.
1395
HEDRI CK COURT REPORTING
P. O. BOX 578, BOISE , ID 83701
M. SHEPHERD
Public
Idaho has one of the very lowest rates for energy
and that is one reason why businesses are coming to Idaho, and
we need to keep that business-friendly atmosphere for them , and
hopefully they will still come here because of the energy
rates.
The 8.4 percent unemployment rate in Shoshone
County right now is down from 16.4 a year ago; however, that
doesn't really address what's really happening out there.
does not show those that have dropped out because there are no
jobs for them and those that are no longer on the unemployment
rolls.So regardless of what you see around here as perhaps
looking that, oh, we're picking up in this valley, we still
have a greatly depressed area, most are on fixed incomes, and
they re the ones that concern me.
But I do thank you so much for listening to us.
I know you will do justice for us.And thank you so much for
your time.
COMMISSIONER KJELLANDER:Thank you.Are there
any questions?
MR. WOODBURY:Thank you, RepresentativeNo.
Shepherd.
THE WITNESS:Thank you.
MR. NORWOOD:No questions.
COMMISSIONER KJELLANDER:Thank you f or your
testimony.
1396
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID
M. SHEPHERD
Public83701
THE WITNESS:Thank you.
COMMI S S IONER KJELLANDER:Appreciate it.
(The wi tness left the stand.
COMMISSIONER KJELLANDER:Well, that brings us to
the conclusion of this particular session of our public
hearings.Again, as a reminder, we have public hearings again
tonight in Sandpoint and then again tomorrow in Lewiston.
There also is a period of time
- -
and I'm not
sure what our window is
- -
if you'd like to submit some
additional public comment.You can either go to the Public
Utility Commission Web site and submit comments via the
Internet, or you can actually mail your comments if you 'd like
to add something else once you leave here today if you should
have another thought you'd like to at least share with us that
we could reVlew.
Do we have a comment deadline established yet for
that?
MR. WOODBURY:Anything through the end ofNo.
thi s week would be fine.
COMMI S S IONER KJELLANDER:Okay.Clearly,
anything through the end of this week will be fine, and to be
quite honest, even if it comes in after this week we still take
a look at it and give it some weight.So, again , we look
forward to hearing from you if you have any additional written
comments you 'd like to submit to us.
1397
HEDRICK COURT REPORTING
P. O. BOX 578, BOISE, ID
COLLOQUY
83701
And I also would like to thank you very much for
taking time out of your schedules today to come here, and
know many people were concerned that you may have thought you
didn't have a good turnout.I can tell you that we've gone to
locations around the state and held public hearings and had
virtually no one show up, so this is actually a very good
We appreciate your willingness to come here and tot urnou t .
share your thoughts and ideas.
So, again, thank you, and we are adj ourned
(The hearing adj ourned at 2: 05 p. m. )
1398
HEDRICK COURT REPORTING
O. BOX 578, BOISE, ID
COLLOQUY
83701
AUTHENTI CATION
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 Avista
Corporation for authroity to increase its rates and charges for
electric and natural gas service to electric and natural gas
customers in the state of Idaho, Case Nos. AVU-E- 04 -1 and
AVU-04-1, commencing on Monday, July 26, 2004, at the Silver
Valley Job Service, 35 Wild Cat Way, Kellogg, Idaho, and the
original thereof for the file of the Commission.
WEND J. MUR otary Publ in and for tH State of Idaho,
residing at Meridian , Idaho.
My Commission expires 2 -2008.
Idaho CSR No. 475
1399
AUTHENTICATIONHEDRI CK COURT REPORTING
P. O. BOX 578, BOISE, ID 83701