20050405_1141.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
LEGAL
WORKING FILE
FROM:DAVE SCHUNKE
DATE:MARCH 29, 2005
RE:VISTA TARIFF ADVICE NO. A VU-05-01-G; IPUC NO. 27 NATURAL
GAS SERVICE, SEVENTH REVISION SHEET 150 CANCELING SIXTH
REVISION SHEET 150.
BACKGROUND
A vista Corporation (Company) has filed with the Commission the following tariff sheet:
Seventh Revision Sheet 150 canceling Sixth Revision Sheet 150. This tariff sheet is
being filed to update the Company s Purchase Gas Cost tariff, Schedule 150, to become effective
April 1 , 2005. The proposed effective date coincides with the expiration date (March 31 , 2005)
of the Company s Gas Benchmark Mechanism tariff, Schedule 163. As of April 1 , 2005 all gas
procurement and management activities for customers will reside with the utility.
STAFF ANALYSIS
Staff has reviewed this filing and found that it is the result of A vista removing all the
effects of the Benchmark Mechanism that expires March 31 , 2005. A vista is bringing all the gas
purchasing functions in-house and will charge customers the actual price paid for purchased gas.
The Company states that it will continue to purchase gas using their hedging strategy of
50% or more dollar cost averaging and buYing more if they get a "good" price. A similar filing
has been approved in Washington.
ST AFF RECOMMENDATION
Staff is recommending approval of Tariff Advice No. A VU-05-01-
DEDISION MEMORANDUM MARCH 29, 2005
COMMISSION DECISION
Does the Commission wish to approve the Company proposed changes in this tariff
advice?
i:udmemos/avu 05 01 G
DEDISION MEMORANDUM MARCH 29 , 2005