Loading...
HomeMy WebLinkAbout20191008_dh1jn.pdfDECISION MEMORANDUM TO:COMMISSIONER KJELLANDER COMMISSIONER RAPER COMMISSIONER ANDERSON COMMISSION SECRETARY COMMISSION STAFF LEGAL FROM:DAYN HARDIE DEPUTY ATTORNEY GENERAL DATE:OCTOBER 4,2019 SUBJECT:APPLICATION FOR APPROVAL OF THE LINCOLN ROAD ASSET PURCHASE AGREEMENT BETWEEN ROCKY MOUNTAIN POWER AND THE CITY OF IDAHO FALLS;CASE NO.PAC-E-19-13. On September 25,2019,Rocky Mountain Power ("Company")filed an Application requesting approval of the Asset Purchase Agreement ("Agreement")entered into by the Company and the City of Idaho Falls ("City").The Company submitted its Application under Idaho Code §§61-328 and 61-332,et.seq.The Company requests its Application be processed by Modified Procedure. THE APPLICATION This Agreement is submitted pursuant to the Service Allocation Agreement that the Company and the City entered into on October 9,2017,which was later approved by the Commission.Application at 2,See Order No.33943.Under the Agreement,the Company will transfer electric distribution facilities with a book value of $7,013 and the right to serve one customer to the City.Application at 1,3;Exhibit A,B.In exchange,the City will pay 167%of the transferred customer's previous 12-months electric bills,which in this case adds up to $3,541. Application at 3,Exhibit B.The total amount paid by the City to the Company as contemplated in the Agreement,which includes separation costs,legal and transactional costs,tax gross up,plus the above mentioned expenses,will be $14,686.Exhibit A. STAFF RECOMMENDATION Idaho Code §61-328 states that the Commission "shall conduct a public hearing upon the application."In order to fulfill this statutory requirement,Staff recommends the Commission issue a Notice of Application,Notice of Modified Procedure,and a Notice of Telephonic Public Hearing.Staff recommends a 21-day public comment deadline,and a 28-day Company reply comment deadline,with a telephonicpublic hearing scheduled before the Commission deliberates. COMMISSION DECISION Does the Commission wish to issue a Notice of Application,Notice of Modified Procedure,and a Notice of Telephonic Public Hearing with public comments due in 21-days,and Company replycomments due in 28-days with a telephonic public hearing before the Commission deliberates? Dayn Hardie Deputy AttorneyGeneral IXegal\ELECTRIC\PAC-E-19-13\memos\PACEl913 dec memo dh.doc