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BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
INTERMOUNTAIN GAS COMPANY
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Case No. U-1034-99
PREPARED DIRECT TESTIMONY OF SUSAN KOEHLER KENNEDY
Q. Please state your name, business address and position with
Intermountain Gas Company.
A. My name is Susan Koehler Kennedy. My business address is 555 South
Cole Road, Boise, Idaho. I am Manager of Planning Services.
Q. Brief ly describe your educational and work background.
A. I graduated from Boise State University in 1975 with a Bachelors of
Business Administration degree in Economics and in 1977 with a Masters
of Business Administration. I then worked for the Idaho State
Department of Water Resources as a water resource analyst in the
Economics Department.
I began my employment with Intermountain Gas Company as a Financial
Analyst in May of 1980. I assumed my present responsibilities in May
of 1981.
Q. Please describe your responsibilities as Manager of Planning Services.
A. Generally, my responsibilities include coordinating the various
planning activities of the Company, as well as developing, analyzing
and submitting various planning and rate case assumptions for review by
management.
Q. Have you attended any management or utility courses?
A. Yes. I have attended Arthur Andersen i s regulatory concepts course in
1981 and the American Gas Association Gas Rate Fundamentals Course this
year.
Q. What is the purpose of your testimony in this proceeding?
A. The purpose of my testimony is to present evidence showing the cost to
serve each customer class based on the total cost of service presented
by Mr. Schultz in Exhibit No.6.
Q. How did you establish the total cost of service for each revenue class?
A. The cost of service analysis is essentially the same as that used by
Intermountain, and approved by the Commission, in Case No. U-1034-88,
and also used by Intermountain in Case No. U-I034-95. This procedure
is outlined on Exhibit 8, Schedule 1, entitled "Procedure for Preparing
Cost of Service." The cost of service analysis required three basic
steps: (1) classify cost by type; (2) determine allocation factors
relating cost incurrence to customer usage characteristics; and, (3)
allocate the costs as classified to each customer class. This exhibit
describes the first step under Paragraph A, the second step under
Paragraph B and the third step under Paragraph C.
Q. Will you please explain Schedule 2 of Exhibit 8.
A. Yes. Schedule 2 is entitled "Revenue Deficiency by Rate Schedule."
Schedule 2 shows the calculation of Intermountain i s revenue deficiency
by rate schedule at current rates (columns b through h at Line 9) as
well as the total revenue deficiency of $10,097,617 (column i at
Line 9). Percentage deficiencies by customer class are shown on
Line 10 of the Schedule.
Q. Does this complete your direct testimony?
A. Yes, it does.
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