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HomeMy WebLinkAboutIPUC 2021 Annual Report.pdf ANNUAL REPORT 2021 IDAHO PUBLIC UTILITIES COMMISSION 11331 W. Chinden Blvd., Building 8 Suite 201-A Boise, ID 83714 PO Box 83720 83720-0074 208.334.0300 www.puc.idaho.gov Idaho Public Utilities Commission Page 1 Table of Contents COMMISSIONERS ................................................................................... 4 FINANCIAL SUMMARY FUND 0229* ............................................................. 7 Fiscal Years 2017 – 2021 ......................................................................... 7 COMMISSION STRUCTURE AND OPERATIONS .................................................. 8 Administration ................................................................................... 10 Legal .............................................................................................. 11 Utilities Division ................................................................................. 11 Railroad and Pipeline Safety Section ......................................................... 12 WHY CAN’T YOU JUST TELL THEM NO? ..................................................... 13 ELECTRIC ......................................................................................... 14 Avista ............................................................................................. 15 Idaho Power ...................................................................................... 20 Rocky Mountain Power ......................................................................... 26 WATER…………………………………………………………………………………………………………………………….32 TELECOMMUNICATIONS………………………………………………………………………………………………….43 NATURAL GAS .................................................................................... 45 CONSUMER ASSISTANCE ........................................................................ 51 REGULATING IDAHO’S RAILROADS ........................................................... 52 REGULATING IDAHO’S PIPELINES ............................................................. 53 Idaho Public Utilities Commission Page 2 Idaho Public Utilities Commission Contact us: 208-334-0300 Website: www.puc.idaho.gov Commission Secretary 1-208-334-0338 Public Information 1-208-334-0339 Utilities Division 1-208-344-0367 Legal Division 1-208-334-0324 Rail Section and Pipeline Safety 1-208-334-0338 Consumer Assistance Section 1-208-334-0369 Outside Boise, Toll-Free Consumer Assistance 1-800-432-0369 Idaho Telephone Relay Service (statewide) Voice: 1-800-377-3529 Text Telephone: 1-800-368-6185 TRS Information: 1-800-368-6185 This report and all the links inside can be accessed online from the Commission’s Website at www.puc.idaho.gov. Click on “File Room,” in the upper-left-hand- corner and then on “IPUC 2021 Annual Report.” Front cover photograph courtesy of Idaho Power Company. Oxbow Power Plant in Hells Canyon. Idaho Public Utilities Commission Page 3 December 1, 2021 The Honorable Brad Little Governor of Idaho Statehouse Boise, ID 83720-0034 Dear Governor Little: It is our distinct pleasure to submit to you, in accordance with Idaho Code §61-214, the Idaho Public Utilities Commission 2021 Annual Report. This report is a detailed description of the most significant cases, decisions and other activities during 2021. The financial report on page seven is a summary of the commission’s budget through the conclusion of Fiscal Year 2021, which ended June 30, 2021. It has been a privilege and honor serving the people of Idaho this past year. Sincerely, Paul Kjellander President, Idaho Public Utilities Commission Kristine Raper Commissioner Eric Anderson Commissioner Idaho Public Utilities Commission Page 4 COMMISSIONERS P A U L K J E L L A N D E R Commissioner Paul Kjellander serves as President of the Idaho Public Utilities Commission, having been appointed to his current six-year term in 2017 by Gov. C.L. “Butch” Otter. His term expires in 2023. It is Commissioner Kjellander’s second term in his second stint on the Commission, having previously served from January 1999 until October 2007. Gov. C.L. “Butch” Otter reappointed Kjellander in April 2011, following his service as administrator of the newly created state Office of Energy Resources (OER). A member of the National Association of Regulatory Utility Commissioners (NARUC) board of directors and executive committee, Kjellander is a past President of the association. He previously served on NARUC’s Committee on Consumer Affairs and its Electricity Committee and is past Chair of the Committee on Telecommunications. Kjellander serves as President of the National Council on Electricity Policy, which is funded by the US Department of Energy and managed by NARUC. He was a member of the Federal Communications Commission’s 706 Joint Board and served as chairman of the FCC’s Federal-State Joint Board on Jurisdictional Separations. During his time at OER, which is now known as the Office of Energy and Mineral Resources, Kjellander created an aggressive energy efficiency program funded through the federal American Recovery and Reinvestment Act of 2009. He also served on the board of the National Association of State Energy Officials. Before joining the Commission in 1999, Kjellander was elected to three terms in the Idaho House of Representatives, where he served from 1994-1999. As a legislator, Kjellander served on a number of committees, including House State Affairs, Judiciary and Rules, Ways and Means, Local Government and Transportation. During his final term in office, Kjellander was elected chairman of the House Majority Caucus. Prior to his legislative service, Kjellander was director of Boise State University’s College of Applied Technology Distance Learning, where he earned tenured faculty status and served as program head of broadcast technology, station manager of BSU Radio Network, director of the Special Projects Unit for BSU Radio and as BSU Radio’s director of News and Public Affairs. Commissioner Kjellander earned undergraduate degrees in communications, psychology, and art from Muskingum College in Ohio, and earned a master’s degree in telecommunications from Ohio University. Idaho Public Utilities Commission Page 5 K R I S T I N E R A P E R Commissioner Kristine Raper was appointed to her first term at the Commission in February 2015 by Gov. C.L. “Butch” Otter. Governor Brad Little appointed Commissioner Raper to a second six year term in January 2021. Prior to her appointment, Raper served for seven years as a deputy attorney general assigned to the Commission. Raper managed a caseload representing a myriad of regulatory and energy law matters, with a strong emphasis on the federal Public Utility Regulatory Policies Act (PURPA). Commissioner Raper has defended the Commission’s decisions at the Idaho Supreme Court, District Court and Federal Energy Regulatory Commission (FERC). In 2017, Raper testified before the Congressional Subcommittee on Energy regarding PURPA and its modern-day impacts. Commissioner Raper currently serves on the Electricity Committee of the National Association of Regulatory Utility Commissioners (NARUC). She is a member of the Body of State Regulators which contributes to matters involving the Energy Imbalance Market (EIM), a real-time energy market operated by the California ISO. Commissioner Raper also served as a member of the Governance Review Committee, the body responsible for governance review of the EIM as the ISO contemplates the viability of a day-ahead market. Commissioner Raper is the current Chair of the Western Interconnection Regional Advisory Body and also sits as a Western region member of FERC’s Joint Task Force on Electric Transmission. Commissioner Raper earned an undergraduate degree in Criminal Justice from Boise State University. She earned her juris doctor degree from the University of Idaho College of Law. The Commissioner and her husband, Mark, share three children. Idaho Public Utilities Commission Page 6 ERIC ANDERSON Commissioner Eric Anderson was appointed to his current six-year term in January 2019 by Gov. Brad Little. It is his second term on the Commission, having been initially appointed in December 2015 by former Gov. C.L. “Butch” Otter. Commissioner Anderson serves on the National Association of Regulatory Utilities Commissioners (NARUC) Committee on Water as well as its Committee on International Relations. In November 2019 Commissioner Anderson was appointed Chair of NARUC’s Committee on Water. Before joining the Commission, Anderson served five terms in the Idaho Legislature, from 2004-2014, and was chairman of the House Ways and Means Committee. As a member of the Idaho House of Representatives, Anderson served on a number of committees, including Environment, Energy and Technology, Commerce and Human Resources, Resource and Conservation, Business, and State Affairs. He also chaired a legislative Interim Subcommittee on Renewable Energy. Anderson received a bachelor of art degree in political science and government from Eastern Washington University. A general contractor and real estate broker, Anderson also served as director and vice president of Sandpoint- based Northern Lights Inc., an electric cooperative. He has also served as a director of the Idaho Consumer-Owned Utilities Association, the National Rural Electric Cooperative Association and the Idaho Energy Resources Authority. He is a past member to the Pacific States Marine Fisheries Advisory Council and the Pacific Northwest Economic Region’s Executive Council. Idaho Public Utilities Commission Page 7 Fiscal Years 2017 – 2021 Financial Summary - Fund 0229 *This summary represents assessment funded expenses only. It does not include federal or other funds. Description FY 2017 FY 2018 FY 2019 FY 2020 FY 2021 Personnel Costs 4,070,200 3,962,400 3,990,800 3,576,800 3,356,200 Communication Costs 23,400 25,000 23,100 27,500 26,000 Employee Development Costs 81,400 98,800 95,400 51,300 41,600 Professional Services 11,900 49,000 35,800 7,500 17,600 Legal Fees 482,100 573,500 602,600 630,500 524,500 Employee Travel Costs 173,900 204,300 219,700 140,000 17,000 Fuel & Lubricants 4,900 6,400 7,700 7,300 3,400 Insurance 3,500 4,500 3,900 7,300 7,800 Rentals & Leases 147,000 274,400 76,100 390,600 250,500 Misc. Expenditures 114,900 698,000 1,663,500 969,000 241,400 Computer Equipment 44,700 9,400 5,300 2,200 89,500 Office Equipment 4,200 2,100 - 39,000 2,200 Motorized/Non-Motorized Equip - - - - 59,200 Specific Use Equipment 4,500 2,600 1,300 - - Total Expenditures 5,166,600 5,910,400 6,725,200 5,849,000 4,636,900 Fund 0229-20 Appropriation 5,902,700 6,039,300 8,556,700 7,512,400 5,998,300 Fund 0229-20 Encumbrances 49,200 93,800 393,200 124,900 1,700 Unexpended Balance 686,900 35,100 1,438,300 1,538,500 1,359,700 Idaho Public Utilities Commission Page 8 COMMISSION STRUCTURE AND OPERATIONS Under state law, the Idaho Public Utilities Commission supervises and regulates Idaho’s investor-owned utilities – electric, gas, telecommunications and water – assuring adequate service and affixing just, reasonable and sufficient rates. The commission does not regulate publicly owned, municipal or cooperative utilities. The Governor appoints the three Commissioners with confirmation by the Idaho Senate. No more than two Commissioners may be of the same political party. The Commissioners serve staggered six-year terms. The Governor may remove a Commissioner before his/her term has expired for dereliction of duty, corruption or incompetence. The three-member commission was established by the 12th Session of the Idaho Legislature and was organized May 8, 1913 as the Public Utilities Commission of the State of Idaho. In 1951 it was reorganized as the Idaho Public Utilities Commission. Statutory authorities for the commission are established in Idaho Code Titles 61 and 62. The IPUC has quasi-legislative and quasi-judicial as well as executive powers and duties. In its quasi-legislative capacity, the commission sets rates and makes rules governing utility operations. In its quasi- judicial mode, the commission hears and decides complaints, issues written orders that are similar to court orders and may have its decisions appealed to the Idaho Supreme Court. In its executive capacity, the commission enforces state laws and rules affecting the utilities and rail industries. Commission operations are funded by fees assessed on the utilities and railroads it regulates. Annual assessments are set by the commission each year in April within limits set by law. The commission president is its chief executive officer. Commissioners meet on the first Monday in April in odd-numbered years to elect one of their own to a two-year term as president. The president signs contracts on the commission’s behalf, is the final authority in personnel matters and handles other administrative tasks. Chairmanship of individual cases is rotated among all three Commissioners. Idaho Public Utilities Commission Page 9 The commission conducts its business in two types of meetings – hearings and decision meetings. Decision meetings are typically held once a week, usually on Tuesday. Formal hearings are held on a case-by-case basis, sometimes in the service area of the impacted utility. These hearings resemble judicial proceedings and are recorded and transcribed by a court reporter. There are technical hearings and public hearings. At technical hearings, formal parties who have been granted “intervenor status” present testimony and evidence, subject to cross-examination by attorneys from the other parties, staff attorneys and the commissioners. At public hearings, members of the public may testify before the commission. In 2009, the commission began conducting telephonic public hearings to save expense and allow customers to testify from the comfort of their own homes. Commissioners and other interested parties gather in the Boise hearing room and are telephonically connected to ratepayers who call in on a toll-free line to provide testimony or listen in. A court reporter is present to take testimony by telephone, which has the same legal weight as if the person testifying were present in the hearing room. Commissioners and attorneys may also direct questions to those testifying. The commission also conducts regular decision meetings to consider issues on an agenda prepared by the commission secretary and posted in advance of the meeting. These meetings are usually held Tuesdays at 1:30 p.m., although by law the commission is required to meet only once a month. Members of the public are welcome to attend decision meetings. Decision meetings consist of the commission’s review of decision memoranda prepared by commission staff. Minutes of the meetings are taken. Decisions reached at these meetings may be either final or preliminary, but subsequently become final when the commission issues a written order signed by a majority of the commission. Under the Idaho Open Meeting Law, commissioners may also privately deliberate fully submitted matters. PUC hearing room PUC headquarters 11331 W. Chinden Blvd. Building 8, Suite 201-A, Boise, Idaho 83714. Idaho Public Utilities Commission Page 10 Commission Staff OUR MISSION - Determine fair, just and reasonable rates and utility practices for electric, gas, telephone and water consumers. - Ensure that delivery of utility services is safe, reliable and efficient. - Ensure safe operation of pipelines and rail carriers within the state. To help ensure its decisions are fair and workable, the commission employs a staff of about 50 people – engineers, utility analysts, attorneys, auditors, investigators, economists, secretaries and other support personnel. The commission staff is organized in three divisions – administration, legal and utilities. Administration The Administrative Division is responsible for coordinating overall IPUC activities. The division includes the three commissioners, three policy strategists, a commission secretary, an executive director, and support personnel. The policy strategists are executive level positions reporting directly to the commissioners with policy and technical consultation and research support regarding major regulatory issues in the areas of electricity, telecommunications, water and natural gas. Strategists are also charged with developing comprehensive policy strategy, providing assistance and advice on major litigation before the commission, public agencies and organizations. Contact Stephen Goodson, policy strategist, at 1-208-334-0354. The commission secretary, a post established by Idaho law, keeps a precise public record of all commission proceedings. The secretary issues notices, orders and other documents to the proper parties and is the official custodian of documents issued by and filed with the commission. Most of these documents are public records. Contact Jan Noriyuki, commission secretary, at 1-208-334-0338. The executive director has primary responsibility for the commission’s fiscal and administrative operations, preparing the commission budget and supervising fiscal, administration, public information, personnel, information systems, rail section operations and pipeline safety. The executive director also serves as a liaison between the commission and other state agencies and the Legislature. Contact Maria Barratt-Riley, executive director, at 1-208-334-0337. The public information office is responsible for public communication between the commission, the general public and interfacing governmental offices. The responsibility includes news releases, responses to public inquiries, coordinating and facilitating commission workshops and public hearings and the preparation and coordination of any IPUC report directed or recommended by the Idaho Legislature or Governor. Contact Adam Rush, public information officer, at 1-208-334-0339. Idaho Public Utilities Commission Page 11 Legal Five deputy attorneys general are assigned to the commission from the Office of the Attorney General and have permanent offices at IPUC headquarters. The IPUC attorneys represent the staff in all matters before the commission, working closely with staff accountants, engineers, investigators and economists as they develop their recommendations for rate case and policy proceedings. In the hearing room, IPUC attorneys coordinate the presentation of the staff’s case and cross-examine other parties who submit testimony. The attorneys also represent the commission itself in state and federal courts and before other state or federal regulatory agencies. Contact John R. Hammond Jr., legal division director, at 1-208-334-0357. Utilities Division The Utilities Division, responsible for technical and policy analysis of utility matters before the commission, is divided into four sections. The staff analyzes each petition, complaint, rate increase request or application for an operating certificate received by the commission. In formal proceedings before the commission, the staff acts as a separate party to the case, presenting its own testimony, evidence and expert witnesses. The commission considers staff recommendations along with those of other participants in each case - including utilities, public, agricultural, industrial, business and consumer groups. Contact Terri Carlock, utilities division administrator, at 1-208-334-0356. The accounting section of five auditors and one program manager audits utility books and records to verify reported revenue, expenses and compliance with commission orders. Staff auditors present the results of their findings in audit reports as well as in formal testimony and exhibits. When a utility requests a rate increase, cost- of-capital studies are performed to determine a recommended rate of return. Revenues, expenses and investments are analyzed to determine the amount needed for the utility to earn the recommended return on its investment. Contact Donn English, accounting section program manager, at 1-208-334-0362. The engineering section of two engineers, two utility analysts, and one program manager reviews the physical operations of utilities. The Staff of engineers and analysts develops computer models of utility operations and compares alternative costs to repair, replace and acquire facilities to serve utility customers. The group establishes the price of acquiring cogeneration and renewable generation facilities and identifies the cost of serving various types of customers. They evaluate the adequacy of utility services and frequently help resolve customer complaints. Contact Mike Louis, engineering section program manager, at 1-208-334-0316. The technical analysis section of four utility analysts and one program manager determines the cost effectiveness of all Demand Side Management (DSM) programs including energy efficiency and demand response. They identify potential for new DSM programs and track the impact on utility revenues. They review utility forecasts of energy, water and natural gas usage with focus on residential self-generation and rate design. Contact Donn English, technical analysis program manager, at 1-208-334-0362. Idaho Public Utilities Commission Page 12 The telecommunications section oversees tariff and price list filings, area code oversight, Universal Service, Lifeline and Telephone Relay Service. They assist and advise the commission on technical matters that include advanced services, 911 and other matters as requested. Contact Daniel Klein, program manager, at 1-208-334-0352. The consumer assistance section includes three division investigators and one program manager who resolve conflicts between utilities and their customers. Customers faced with service disconnections often seek help in negotiating payment arrangements. Consumer Assistance may mediate disputes over billing, deposits, line extensions and other service problems. Consumer Assistance monitors Idaho utilities to verify they are complying with commission orders and regulations. Investigators participate in general rate and policy cases when rate design and customer service issues are brought before the commission. Contact Daniel Klein, consumer program manager, at 1-208-334-0352. Railroad Safety Section The railroad safety section oversees the safe operations of railroads that move freight in and through Idaho and enforces state and federal regulations safeguarding the transportation of hazardous materials by rail in Idaho. The commission’s rail safety specialists inspect railroad crossings and rail clearances for safety and maintenance deficiencies. The Rail Section helps investigate all railroad-crossing accidents and makes recommendations for safety improvements to crossings. As part of its regulatory authority, the commission evaluates the discontinuance and abandonment of railroad service in Idaho by conducting an independent evaluation of each case to determine whether the abandonment of a particular railroad line would adversely affect Idaho shippers and whether the line has any profit potential. Should the commission determine abandonment would be harmful to Idaho interests, it then represents the state before the federal Surface Transportation Board, which has authority to grant or deny line abandonments. Contact Wayne Andrews, rail inspector, at 1-208-334-0317. Pipeline Safety Section The pipeline safety section oversees the safe operation of the intrastate oil and natural gas pipelines in Idaho. The commission’s pipeline safety personnel verify compliance with state and federal regulations by on-site inspections of intrastate pipeline distribution systems. Part of the inspection process includes a review of record- keeping practices and compliance with design, construction, operation, maintenance and drug/alcohol abuse regulations. Key objectives of the program are to monitor accidents and violations, to identify their contributing factors and to implement practices to avoid accidents. All reportable accidents are investigated and appropriate reports filed with the U.S. Department of Transportation in a timely manner. Contact Bruce Perkins, interim pipeline safety program manager, at 1-208-334-0326. Idaho Public Utilities Commission Page 13 WHY CAN’T YOU JUST TELL THEM NO? One of the most frequently asked questions the PUC receives after a utility files a rate increase application is, “Why can’t you just tell them no?” Actually, we can, but not without evidence. For more than 100 years, public utility regulation has been based on this regulatory compact between utilities and regulators: Regulated utilities agree to invest in the generation, transmission and distribution necessary to adequately and reliably serve all the customers in their assigned territories. In return for that promise to serve, utilities are guaranteed recovery of their prudently incurred expense along with an opportunity to earn a reasonable rate of return. The rate of return allowed must be high enough to attract investors for the utility’s capital- intensive generation, transmission and distribution projects, but not so high as to be unreasonable for customers. In setting rates, the commission must consider the needs of both the utility and its customers. The commission serves the public interest, not the popular will. It is not in customers’ best interest, nor is it in the interest of the State of Idaho, to have utilities that do not have the generation, transmission and distribution infrastructure to be able to provide safe, adequate and reliable electrical, natural gas and water service. This is a critical, even life-saving, service for Idaho’s citizens and essential to the state’s economic development and prosperity. Unlike unregulated businesses, utilities cannot cut back on service as costs increase. As demand for electricity, natural gas and water grows, utilities are statutorily required to meet that demand. In Idaho recently, and across the nation, a continued increase in demand as well as a number of other factors have contributed to rate increases on a scale we have not witnessed before. It is not unusual now for Idaho’s three major investor-owned electric utilities to file annual rate increase requests. In light of these continued requests for rate increases, the commission walks a fine line in balancing the needs of utilities to serve customers and customers’ ability to pay. When a rate case is filed, our staff of auditors, engineers and attorneys will take up to six months to examine the request. During that period, other parties, often representing customer groups, will “intervene” in the case for the purpose of conducting discovery, presenting evidence and cross-examining the company and other parties to the case. The commission staff, which operates independently of the commission, will also file its own comments that result from its investigation of the company’s request. The three-member commission will also conduct technical and public hearings. Once testimony from the company, commission staff and intervening parties is presented and testimony from hearings and written comments is taken, all of that information is included in the official record for the case. It is only from the evidence contained in this official record that the commission can render a decision. If the utility has met its burden of proof in demonstrating that the additional expense it incurred was 1) necessary to serve customers and 2) prudently incurred, the commission must allow the utility to recover that expense. The commission can -- and often does -- deny recovery of some or all the expense utilities seek to recover from customers if the commission is confident it has the legal justification to do so. Utilities and parties to a rate case have the right to petition the commission for reconsideration. Following reconsideration, utilities or customer groups can appeal the commission’s decision to the state Supreme Court. In the end, the commission’s job is to ensure that customers are paying a reasonable rate and are receiving adequate and reliable service and that utilities are allowed to recover their prudently incurred expenses and earn a fair rate of return. Idaho Public Utilities Commission Page 14 ELECTRIC Avista Utilities 2020 Average Number of Customers/Avg. Revenue/kwh* 350,699 Residential Customers/$0.09923 43,497 Commercial Customers/$0.10151 1,277 Industrial Customers/$0.05561 Idaho Power Company 2020 Average Number of Customers/Avg. Revenue/kwh* 484,432 Residential Customers/$0.1005 94,185 Commercial Customers/$0.0750 127 Industrial Customers/$0.0539 Rocky Mountain Power 2020 Average Number of Customers/Avg. Revenue/kwh* PacifiCorp/Rocky Mountain Power 68,786 Residential Customers/$0.1055 10,156 Commercial Customers/$0.0835 6,391 Industrial Customers/$0.0677 *The information above shows each regulated electric utility’s average number of customers per customer class and the average revenue per kilowatt-hour (kWh) for 2020. Idaho Public Utilities Commission Page 15 Avista Avista will host public meetings to share information on two integrated resource plans Avista Utilities will hold public meetings on Tuesday and Wednesday to share information and take comment on its draft integrated resource plans for natural gas and electric customers. An integrated resource plan is created by a utility to map out how it will meet the energy needs of its customers over the next 20 years. Avista, which serves customers in several states, including northern Idaho, has created a draft integrated resource plan for its natural gas and electric customers. Avista is hosting a meeting on Tuesday, Feb. 23, at 10:30 a.m. (MST). Idaho customers are welcome to participate. Avista staff will give a short presentation providing an overview of each integrated resource plan. Because of concerns regarding Covid-19, the meeting will be held virtually using the Microsoft Teams platform. Those interested in listening to the presentation or commenting on the draft plan can call 1-253-372-2181 and use conference ID 203 830 370. To participate online using the Microsoft Teams platform, please visit Microsoft Teams Meeting. Avista will also host a meeting on Wednesday, Feb. 24, from 6:00 p.m. to 8:00 p.m. (MST) using the ZOOM platform. Avista staff will give a presentation on each draft plan, and there will be an opportunity to ask questions. Those interested in participating are asked to register in advance by visiting: myAvista.com/IRP. The meetings are open to the public, and will address questions regarding Avista’s service territory in Washington, Oregon and Idaho. To learn more about the draft integrated resource plans, please visit: myAvista.com/IRP. Commission schedules public workshop on proposed Avista natural gas, electric rate increases and will consider prop osed settlement The Idaho Public Utilities Commission will host a public workshop on Wednesday, June 16, to share information on a proposed rate increase for Avista natural gas and electric customers in Idaho. The public workshop is on June 16 and begins at 7:00 p.m. (MDT). Those interested in attending and learning more about Avista’s application can call 1-415-655-0001, and enter meeting number 133 194 8246. Participation also can be done online by visiting idahogov.webex.com, and entering meeting number 133 194 8246. At the next window, please enter your name, e-mail address and this password: June16Meeting. Parties to the case have proposed a settlement with a two-year rate plan that, if approved by the Idaho Public Utilities Commission, would allow Avista to increase annual base electric revenues by $10.6 million, or 4.3 percent, effective Sept. 1, 2021, and increase annual base electric revenues by $8.0 million, or 3.1 percent, effective Sept. 1, 2022. Idaho Public Utilities Commission Page 16 For natural gas, the parties agree that Avista should be allowed to decrease natural gas base revenue by $1.6 million, or 3.7 percent, effective Sept. 1, 2021, and increase natural gas base revenue by $0.9 million, or 2.2 percent, effective Sept. 1, 2022. Through the settlement agreement, the parties also agree to return to customers available tax credits of approximately $31.3 million for electric over the two-year rate plan and $12.1 million for natural gas over 10 years. If the settlement is approved, a residential electric customer using an average of 892 kilowatt hours per month would see a billed increase of $0.49 per month, or 0.6 percent, effective Sept. 1, 2021, and a billed increase of $0.31 per month, or 0.4 percent, effective Sept. 1, 2022. A residential natural gas customer using an average of 63 therms per month would see a billed decrease of $2.30 per month, or 4.6 percent, effective Sept. 1, 2021, and a billed increase of $0.76 per month, or 1.6 percent, effective Sept. 1, 2022. Avista’s original proposal called for an increase in rates for electric customers and natural gas customers over a two-year period. In the first year, Avista proposed to increase electric revenues by $24.8 million, or 10.1 percent, and natural gas revenues by $0.1 million, or 0.1 percent, beginning Sept. 1, 2021. In the second year, Avista originally requested an increase of $8.7 million, or 3.2 percent, for electric customers, and $1 million, or 2.2 percent, for natural gas customers. Avista’s original request also proposed to offset the proposed rate increases with available tax credits, similar to the settlement agreement. To learn more about Avista’s application, please visit: puc.idaho.gov/case/Details/6614. Commission schedules telephonic public hearing on proposed Avista natural gas, electric rate increases and will consider proposed settlement The Idaho Public Utilities Commission will host a telephonic public hearing on Wednesday, July 14, to take testimony on a proposed rate increase for Avista natural gas and electric customers in Idaho. The telephonic hearing begins at 6:00 p.m. (PDT). Those interested in submitting verbal testimony are asked to call 1-415-655-0001, and enter passcode 133 481 5766 when prompted. Those planning on testifying are encouraged to join the hearing at 5:45 p.m. (PDT). Parties to the case have proposed a settlement with a two-year rate plan that, if approved by the Idaho Public Utilities Commission, would allow Avista to increase annual base electric revenues by $10.6 million, or 4.3 percent, effective Sept. 1, 2021, and increase annual base electric revenues by $8.0 million, or 3.1 percent, effective Sept. 1, 2022. For natural gas, the parties agree that Avista should be allowed to decrease natural gas base revenue by $1.6 million, or 3.7 percent, effective Sept. 1, 2021, and increase natural gas base revenue by $0.9 million, or 2.2 percent, effective Sept. 1, 2022. Through the settlement agreement, the parties also agree to return to customers available tax credits of approximately $31.3 million for electric over the two-year rate plan and $12.1 million for natural gas over 10 years. If the settlement is approved, a residential electric customer using an average of 892 kilowatt hours per month would see a billed increase of $0.49 per month, or 0.6 percent, effective Sept. 1, 2021, and a billed increase of Idaho Public Utilities Commission Page 17 $0.31 per month, or 0.4 percent, effective Sept. 1, 2022. A residential natural gas customer using an average of 63 therms per month would see a billed decrease of $2.30 per month, or 4.6 percent, effective Sept. 1, 2021, and a billed increase of $0.76 per month, or 1.6 percent, effective Sept. 1, 2022. Avista’s original proposal called for an increase in rates for electric customers and natural gas customers over a two-year period. In the first year, Avista proposed to increase electric revenues by $24.8 million, or 10.1 percent, and natural gas revenues by $0.1 million, or 0.1 percent, beginning Sept. 1, 2021. In the second year, Avista originally requested an increase of $8.7 million, or 3.2 percent, for electric customers, and $1 million, or 2.2 percent, for natural gas customers. Avista’s original request also proposed to offset the proposed rate increases with available tax credits, similar to the settlement agreement. In addition to the telephonic hearing, those wishing to submit written comments on the proposed rate increases may do so. Public testimony and written comments become part of the permanent public record for the case. Written comments are due by the close of business on Tuesday, Aug. 3. Comments must be filed by e-mail unless it is unavailable. To comment by e-mail, please visit puc.idaho.gov. Click on the “Consumers” tab and then the “Case Comment or Question Form” and complete the form using case number AVU-G-21-01 if commenting on the proposed natural gas rate increase or case number AVU-E-21-01 if commenting on the proposed electric rate increase. If e-mail is not available, comments may be mailed to the Idaho Public Utilities Commission and Avista at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street address for the commission to send express mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Avista: David J. Meyer, Esq. Vice President and Chief Counsel for Regulatory & Governmental Affairs Avista Corporation P.O. Box 3727 1 411 E. Mission Avenue Spokane, WA 99220-3727 David.Meyer@avistacorp.com To learn more about Avista’s application, please visit: puc.idaho.gov/case/Details/6614. Idaho Public Utilities Commission Page 18 Idaho Public Utilities Commission sets public comment deadline on Avista application to increase surcharge rate fo r electric customers The Idaho Public Utilities Commission is accepting public comment until Sept. 9 on an application from Avista to increase its annual Power Cost Adjustment surcharge rate from 0.015 cents per kilowatt hour to 0.251 cents per kilowatt hour. Avista, which serves electric and natural gas customers in northern Idaho, reported higher overall power supply expenses than are included in electric retail rates. Avista said increased power supply expenses that were driven primarily by increases in thermal generation and changes in natural gas generation resulted in supply expenses of $12.5 million. Avista also said the surcharges were offset by favorable net purchases and transmission expense for a $4.7 million rebate. If Avista’s application is approved, electric residential customers using an average of 896 kilowatts per month would see monthly bills increase 2.5 percent, from $85.63 to $87.74. The company has requested an effective date of Oct. 1, 2021. The annual Power Cost Adjustment tracks changes in Avista’s hydroelectric generation, secondary prices, thermal fuel costs and other changes in power contract revenues and expenses. Written comments on Avista’s application are being accepted until Sept. 9, 2021. Comments are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number AVU-E21-09 when filling out the form. Any comments should also be e-mailed to Avista at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission and Avista at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Avista: David J. Meyer, Esq. (MSC-10) Patrick Ehrbar (MSC-27) Idaho Public Utilities Commission Page 19 P.O. Box 3727 1411 E. Mission Ave. Spokane, WA 99220-3727 david.meyer@avistacorp.com patrick.ehrbar@avistacorp.com For additional information on Avista’s application, please visit: puc.idaho.gov/case/Details/6737. Commission appro ves applications from Avista Utilities that will change rates for natural gas customers The Idaho Public Utilities Commission has approved two applications from Avista Utilities that will result in a rate change to customers. In July, Avista filed its annual purchased gas cost adjustment application. The purchased gas adjustment is a mechanism approved by the commission that adjusts rates up or down to reflect changes in Avista’s costs to buy natural gas from suppliers, including changes in transportation, storage, and other related costs. The company defers the costs into its purchased gas adjustment account, then passes them on to customers through an increase or decrease in rates. The company has natural gas customers in northern Idaho, and transports the natural gas it buys to the customers through pipelines. In its purchased gas adjustment application, it proposed to pass-through changes in the estimated cost of natural gas for September 2021 through October 2022 to customers. It also proposed to revise the amortization rates to collect the balance of deferred natural gas costs. Avista said it filed the purchased gas adjustment application earlier than the typical August-September timeframe to limit the bill impact to customers from the accumulated deferral and amortization surcharge balances that have increased due to rising natural gas costs in recent months. Avista has received approval from the commission to increase rates for an average residential or small commercial customer by $6.00 per month, or 12.1 percent, beginning Sept. 1, 2021. Residential or small commercial customers using an average of 63 therms per month will see their monthly bills increase from $49.49 to $55.49. The change in rates will result in an annual revenue increase of $9.0 million for Avista, or about 13.5 percent. The company also received approval from the commission to refund deferred credit balances associated with depreciation expense, Allowance for Funds Used During Construction, and the Coronavirus Aid, Relief, and Economic Security Act benefits that would decrease natural gas revenues by approximately $1.9 million, or 2.9 percent beginning Sept. 1, 2021. The approval decreases rates for an average residential or small commercial customer using an average of 63 therms per month by $1.44 each month. Idaho Public Utilities Commission Page 20 For additional information on Avista’s applications and the commission’s decisions regarding them, please visit puc.idaho.gov/case/Details/6722 and puc.idaho.gov/case/Details/6721. Commission appro ves settlement agreement that will allow Avista to change rates for natural gas and electric customers The Idaho Public Utilities Commission has approved a settlement agreement between Avista Utilities and parties to the settlement that will allow the company to change rates for its electric and natural gas customers over a two-year period. Effective Sept. 1, 2021, an electric residential customer using an average of 892 kilowatt hours per month will see a $0.49 increase for a revised monthly bill of $86.12. Beginning Sept. 1, 2022, an electric residential customer will see a $0.31 increase for a revised monthly bill of $86.43. Effective Sept. 1, 2021, a natural gas residential customer using an average of 63 therms per month will see a $2.30 decrease for a revised monthly bill of $47.19. Beginning Sept. 1, 2022, a natural gas residential customer will see a $0.76 increase for a revised monthly bill of $47.95. The settlement agreement will impact the amount of revenue that Avista gathers for its electric and natural gas service, and includes the refunding of tax customer credits that will also impact how much revenue is gathered during the two-year rate increase. As part of the settlement agreement, the company agreed it will not file another general rate case before Sept. 1, 2023. For additional information on the settlement agreement, please visit: puc.idaho.gov/case/Details/6614. Idaho Power Commission approves Idaho Power application to decrease customer rates The Idaho Public Utilities Commission has approved an application from Idaho Power to decrease customer rates by 0.33 percent based on the closure of the Boardman Power Plant in north-central Oregon. Boardman, a pulverized-coal plant that started service in 1980, consists of a single generating unit. Idaho Power owns a 10 percent interest, or 58.5 megawatts in Boardman. After certain adjustments, Idaho Power’s annual share is approximately 50 megawatts. Boardman was scheduled to stop operating on Oct. 31, 2020. In February 2012, the public utilities commission authorized Idaho Power to establish a balancing account to track the incremental costs and benefits for an early shutdown of Boardman. The balancing account was intended to “stabilize customer rates and increase the likelihood that the customers who benefit from Boardman’s continuing operation will pay the associated costs.” Idaho Public Utilities Commission Page 21 Idaho Power said the balancing account was originally composed of all plant investments as of May 31, 2012, which included actual investments through Dec. 31, 2011, and forecasted investments from Jan. 1, 2012, through May 31, 2012, projected additions to Boardman from June 2012 through 2020 and estimated decommissioning and salvage costs. This application reflects actual costs through June 30, 2020. The commission finds the additional investments necessary and prudent. The result of the balancing account process was the 0.33 percent reduction in customer rates. Idaho Power submitted a separate application to the Idaho Public Utilities Commission in August seeking approval to increase the collection percentage of the energy efficiency rider outlined in Tariff Schedule 91 from 2.75 percent of customer base rates to 3.10 percent of base rates. Idaho Power said the average residential customer using 950 kilowatts per month would see approximately a $0.29 increase in their monthly bill, or approximately $3.50 per year. The commission approved the increase in December, which takes effect on Jan. 1, 2021. With the approval of both applications from Idaho Power, the average residential customer’s bill will decrease by $0.02 per month. For additional information on Idaho Power’s application and the commission’s final order, please visit: puc.idaho.gov/case/Details/6553 Commission sets May 11 public comment deadline on annual fi xed cost adjustment application from Idaho Power The Idaho Public Utilities Commission has set a May 11 deadline for the public to submit comments on an Idaho Power application to implement new fixed cost adjustment rates for electric service from June 1, 2021 through May 31, 2022. If approved, the new fixed cost adjustment rates would be for residential and small general service customers. The fixed cost adjustment is a cost-recovery mechanism that allows a utility to recover a commission-authorized amount of fixed costs per customer. It is adjusted each spring based on changes in energy use among customers over the previous year. If the fixed costs recovered are less than the fixed costs authorized in the utility’s most recent rate case, customers see a surcharge on their bill. If the utility collects more in fixed costs than is authorized by the commission, customers receive a credit. Idaho Power is applying for a corresponding revised tariff Schedule 54 – fixed cost adjustment - to recover the 2020 fixed cost adjustment balance. Idaho Power said the 2020 fixed cost adjustment balance is $38,315,499, made up of $36,706,200 for the residential class and $1,609,299 for the small general service class. Idaho Power is requesting an increase to fixed cost adjustment rates of 0.7008 cents per kilowatt hour for residential customers and 0.8864 cents per kilowatt hour for small general service customers. If approved, the proposed rates would increase current billed revenue for the residential and small general service customers by Idaho Public Utilities Commission Page 22 0.38 percent per year. The company said a typical residential customer would see an increase of approximately $0.37 on their monthly bill if the application is approved in full. Comments must be filed through the public utilities commission website or by e-mail unless computer access is not available. To comment using e-mail, please visit puc.idaho.gov and click on the “Case Comment Form” link that is on the lower right side of the page. Please complete the form using case number IPC-E-21-03. Comments must also be e-mailed to ngardiner@idahopower.com, pgoralski@idahopower.com and dockets@idahopower.com. If computer access is not available, comments will need to be mailed to: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Street address for express mail for the commission: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Idaho Power: Nathan Gardiner Pawel Goralski 1221 West Idaho Street (83702) P.O. Box 70 Boise, ID 83707-0070 For additional information on Idaho Power’s application, please visit: puc.idaho.gov/case/Details/6663. Commission schedules online public workshop to share information on Idaho Power application to exit North Valmy Power Plant Unit 2 in 2025 The Idaho Public Utilities Commission is holding an online public workshop to share information on an Idaho Power application asking that the commission find that an exit date of Dec. 31, 2025, to exit the North Valmy Power Plant is appropriate based on currently available information. Valmy is a coal-fired power plant that consists of two units, and is located near Battle Mountain, Nev. Unit 1 went into service in 1981 and Unit 2 followed in 1985. Idaho Power owns 50 percent, or 284 megawatts, of Valmy. The Idaho Public Utilities Commission Page 23 power plant is jointly owned by Idaho Power and NV Energy. Idaho Power, in a settlement stipulation approved by the commission, agreed to use prudent and commercially reasonable efforts to end its participation in the operation of Unit 1 by the end of 2019, and Unit 2 by the end of 2025. On Dec. 31, 2019, the company’s participation in coal-fired operations at Unit 1 concluded. Idaho Power identified those dates after doing a series of economic analyses of the units. The company determined in this application that Unit 2 would still be economically viable until the end of 2025. The online public workshop will be held Wednesday, July 28, at 7:00 p.m. (MDT). Those wishing to participate online can do so by visiting idahogov.webex.com and entering meeting number 177 312 9655. At the next window, please enter your name, e-mail address and the password JulyWorkshop. Participation also can be done over the phone by calling 1-415-655- 0001 and entering meeting number 177 312 9655. Written comments on Idaho Power’s application are being accepted until Aug. 17, 2021. Comments are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number IPC-E-21-12 when filling out the form. Any comments should also be e- mailed to Idaho Power at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission and Idaho Power at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Idaho Power: Lisa D. Nordstrom Matt Larkin Idaho Power Company 1221 West Idaho Street P.O. Box 70 Boise, ID 83707 lnordstrom@idahopower.com mlarkin@idahopower.com dockets@idahopower.com Idaho Public Utilities Commission Page 24 For additional information on Idaho Power’s application, please visit: puc.idaho.gov/case/Details/6693 Commission schedules telephonic public hearing to take testimony on Idaho Power application to exit North Valmy Power Plant Unit 2 in 2025 The Idaho Public Utilities Commission will host a telephonic public hearing on Aug. 24 to take testimony on an Idaho Power application asking that the commission find that a date of Dec. 31, 2025, to exit the North Valmy Power Plant is appropriate based on currently available information. Valmy is a coal-fired power plant that consists of two units, and is located near Battle Mountain, Nev. Unit 1 went into service in 1981 and Unit 2 followed in 1985. Idaho Power owns 50 percent, or 284 megawatts, of Valmy. The power plant is jointly owned by Idaho Power and NV Energy. Idaho Power, in a settlement stipulation approved by the commission, agreed to use prudent and commercially reasonable efforts to end its participation in the operation of Unit 1 by the end of 2019, and Unit 2 by the end of 2025. On Dec. 31, 2019, the company’s participation in coal-fired operations at Unit 1 concluded. Idaho Power identified those dates after doing a series of economic analyses of the units. The company determined in this application that Unit 2 would still be economically viable until the end of 2025. The hearing is on Tuesday, Aug. 24, at 7:00 p.m. (MDT). To participate, please call 1-415-655- 0001, and enter passcode 177 246 6391 when prompted. Written comments on Idaho Power’s application are being accepted until Aug. 17, 2021. Comments are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number IPC-E-21-12 when filling out the form. Any comments should also be e- mailed to Idaho Power at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission and Idaho Power at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 s ecretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 Idaho Public Utilities Commission Page 25 For Idaho Power: Lisa D. Nordstrom Matt Larkin Idaho Power Company 1221 West Idaho Street P.O. Box 70 Boise, ID 83707 lnordstrom@idahopower.com mlarkin@idahopower.com dockets@idahopower.com For additional information on Idaho Power’s application, please visit: puc.idaho.gov/case/Details/6693. Idaho Public Utilities Commission, Idaho Power schedule workshops on design of net-metering study The Idaho Public Utilities Commission and Idaho Power have scheduled online public workshops to share information on the potential design of a study to examine the costs, benefits and compensation of extra energy that is generated by Idaho Power customers who have solar panel systems. In addition, the Idaho Public Utilities Commission will host a telephonic public hearing to take verbal testimony on the potential design of the study. A net metering program allows Idaho Power customers to pay an independent contractor to have solar panels or other systems installed on their homes or property and then receive credit from Idaho Power for the surplus energy they deliver to the company. On Dec. 20, 2019, the commission granted legacy treatment to customers who had installed, or submitted an application to install with a financial commitment, an on-site generation system under Schedules 6 and 8 (Case No. IPC-E-18-15, Order No. 34509.) If an application was filed by this date, customers had until Dec. 1, 2020, to complete and connect the installation. Customers who made a financial commitment but had not submitted an application to Idaho Power had 30 days from Dec. 20, 2019, to submit an application to the company. Customers in Schedule 6 and Schedule 8 are residential and small general service customers. Schedule 84 defines the terms for commercial, industrial, and irrigation customers who are participating in net metering. In Case No. IPC-E-20-26, Order No. 34854, customers in this schedule were given legacy treatment under the same conditions as customers in Schedules 6 and 8 above. The commission also issued an order directing Idaho Power to do a comprehensive study of its net-metering program for customers. Idaho Power will host an online public workshop on Wednesday, Oct. 20, at 6:00 p.m. (Mountain Time) to share information on the potential design of a study. To participate, please visit https://idahopower.webex.com/idahopower/onstage/g.php?MTID=ee7facc6b894bb4fdf8360eb69 9851953. At Idaho Public Utilities Commission Page 26 the next window, please enter event number 2598 994 4136 and this password: Power123. To participate over the phone, please call 1-650-479-3208 and enter access code 2598 994 4136. At the workshop, the public may ask Idaho Power staff about the proposed design of the study and how they may participate in future proceedings. Idaho Public Utilities Commission staff will hold an online public workshop on Tuesday, Oct. 26, at 6:00 p.m. (Mountain Time) to share information on staff’s analysis of the proposed design of the study. The public may ask staff questions during the workshop. To participate online, please visit idahogov.webex.com and enter meeting number 2450 964 1384 when prompted. At the next window, please enter your name, e-mail address and this password: OctoberWorkshop. To participate over the phone, please dial 1-415-655-0001, and enter meeting number 2450 964 1384 when prompted. The commission will also hold a telephonic public hearing on Thursday, Oct. 28, at 6:00 p.m. (Mountain Time) to take verbal testimony from members of the public and customers of Idaho Power. For those who want to call in and listen only, please call 1-800-920-7487, and enter participant code 9877 951#. For those who want to call in and submit verbal testimony, please call 1-800-920-7487 and enter participant code 6674 832#. Depending on attendance and public interest during the telephonic hearing, the commission may impose a five- minute cap on each caller’s testimony to ensure those wanting to submit testimony have the opportunity to do so. Rocky Mountain Power Commission schedules telephonic hearing on application to approve lease agreement between Rocky Mountain Power, New Cingular Wirele ss The Idaho Public Utilities Commission will host a telephonic customer hearing on Monday, April 26, to take verbal testimony on an application from Rocky Mountain Power to approve a lease agreement with New Cingular Wireless PSC, LLC. The telephonic customer hearing will be held at 1:30 p.m. MDT on Monday, April 26. The hearing is intended to take testimony from customers, public officials, and others not related to parties in the case. To participate, those interested can call 1-415-655-0001 shortly before or at the designated time, and enter meeting number 133 992 2574 when prompted. If approved, the lease would allow Cingular Wireless to attach small cell wireless facilities on Rocky Mountain Power’s street light poles. The lease is for a ten-year term, with automatic one-year renewals until either party terminates it. The lease calls for New Cingular Wireless to submit applications to Rocky Mountain Power to use individual street poles, and Rocky Mountain will grant or deny each application. In addition, non-metered service may be provided to New Cingular under Rocky Mountain’s Electric Service Regulation No. 4. Alternatively, Rocky Mountain may provide metered service. Idaho Public Utilities Commission Page 27 Those interested in stating a position on Rocky Mountain Power’s application may file a written comment explaining why they support or oppose the application. Comments are due on April 28, 2021, and must be filed through the commission’s website or by e-mail unless computer access is unavailable. To comment electronically, please visit the commission’s home page at www.puc.idaho.gov, and click on the “Case Comment Form” at the bottom right side of the page. Please use Case No. PAC-E-21-04 when completing the form. To file comments using e-mail, please send the comments to secretary@puc.idaho.gov, Ted.Weston@pacificorp.com, John.Hutchings@pacificorp.com and datarequest@pacificorp.com. If computer access is unavailable, comments can be mailed to the commission and company at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Street address for the commission for express mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Rocky Mountain Power: Ted Weston John Hutchings 1407 W. North Temple, Suite 330 Salt Lake City, UT 84116 Data Request Response Center 825 NE Multnomah, Suite 2000 Portland, OR 97232 Those interested in learning more about Rocky Mountain Power’s application can visit: puc.idaho.gov/case/Details/6650. Commission schedules telepho nic public hearing to take verbal testimony on Rocky Mountain Power application to sell assets The Idaho Public Utilities Commission will host a public telephonic customer hearing on Sept. 22 to take verbal testimony on an application from Rocky Mountain Power to sell assets to the City of Idaho Falls. Idaho Public Utilities Commission Page 28 Rocky Mountain Power is asking the commission for approval to sell electric facilities the city needs to provide electric service to 733 customers in Idaho Falls. Rocky Mountain and Idaho Falls reached an allocation agreement in 2017 to reduce duplication of service and promote stability in their respective service areas. If Rocky Mountain Power’s application is approved by the commission, the City of Idaho Falls would purchase poles, wires, cross arms, insulators and other facilities no longer needed by Rocky Mountain to provide service to customers. The city would pay Rocky Mountain Power $4,152,351 for those items. The telephonic customer hearing is on Wednesday, Sept. 22, at 6:00 p.m. (MDT). Commissioners will take verbal testimony from members of the public and Rocky Mountain Power customers. To participate, please call 1-415- 655-0001, and enter meeting number 177 851 2120 when prompted. Written comments on Rocky Mountain Power’s application are being accepted. They are required to be filed by e- mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number PAC-E-21- 17 when filling out the form. Any comments should also be e-mailed to Rocky Mountain Power at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission and Rocky Mountain Power at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Rocky Mountain Power: Ted Weston Emily Wegener 1407 W. North Temple, Suite 330 Salt Lake City, UT 84116 ted.weston@pacificorp.com emily.wegener@pacificorp.com Data Request Response Center PacifiCorp Idaho Public Utilities Commission Page 29 825 NE Multnomah Street, Suite 2000 Portland, OR 97232 datarequest@pacificorp.com Comments also can be mailed to the City of Idaho Falls, but it is not required. For the City of Idaho Falls: Bear Prairie Idaho Falls City Power 140 S. Capital Ave. P.O. Box 50220 Idaho Falls, ID 83405 For additional information on Rocky Mountain Power’s application, please visit: puc.idaho.gov/case/Details/6732. Commission schedules online public workshop regarding Rocky Mountain Power application to increase electric rates The Idaho Public Utilities Commission will host an online workshop Oct. 13 to share information on an application from Rocky Mountain Power to increase rates for electric customers in eastern Idaho. Rocky Mountain is asking for commission approval to increase rates for customers by approximately 7 percent. If approved, the average bill for a residential customer would increase by about $10.32 each month. At the online workshop, staff with the Idaho Public Utilities Commission will present information on Rocky Mountain Power’s application and answer questions. The workshop is Wednesday, Oct. 13, at 6:00 p.m. (Mountain Time). To attend online, please visit idahogov.webex.com, and enter meeting number 177 928 3400. At the next window, please enter your name, e-mail address and this password: OctoberWorkshop. To attend over the phone, please call 1-415-655-0001, and enter meeting number 177 928 3400 when prompted. Comments are being accepted on Rocky Mountain Power’s application. They are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number PAC-E-21-07 when filling out the form. Any comments should also be e-mailed to Rocky Mountain Power at the email addresses listed below. If e-mail is unavailable, comments may be mailed to the commission and Rocky Mountain Power at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Idaho Public Utilities Commission Page 30 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Rocky Mountain Power: Ted Weston 1407 West North Temple, Suite 330 Salt Lake City, UT 84116 ted.weston@pacificorp.com Emily Wegener Matthew D. McVee 1407 West North Temple, Suite 320 Salt Lake City, UT 84116 emily.wegener@pacificorp.com matthew.mcvee@pacificorp.com For additional information on Rocky Mountain Power’s application, please visit: puc.idaho.gov/case/Details/6659. Commission schedules telephonic public hearing to take testimony on Rocky Mountain Power application to increase electric rat es The Idaho Public Utilities Commission will host a telephonic public hearing on Nov. 15 to take verbal testimony on an application from Rocky Mountain Power to increase rates for electric customers in eastern Idaho. Rocky Mountain is asking for commission approval to increase rates for customers by approximately 7 percent. If approved, the average bill for a residential customer would increase by about $10.32 each month. The telephonic hearing will be held Monday, Nov. 15, at 6:00 p.m. (Mountain Time). For those who want to call in and listen only, please dial 1-800-920-7487, then enter participant code 9877 951#. For those who want to submit formal testimony, please dial 1-800-920-7587, and enter participant code 6674 832#. Depending on attendance and public interest, the commission may impose a five-minute cap on each caller’s testimony. Comments are being accepted on Rocky Mountain Power’s application. They are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Idaho Public Utilities Commission Page 31 Please use case number PAC-E-21-07 when filling out the form. Any comments should also be e-mailed to Rocky Mountain Power at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission and Rocky Mountain Power at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For Rocky Mountain Power: Ted Weston 1407 West North Temple, Suite 330 Salt Lake City, UT 84116 ted.weston@pacificorp.com Emily Wegener Matthew D. McVee 1407 West North Temple, Suite 320 Salt Lake City, UT 84116 emily.wegener@pacificorp.com matthew.mcvee@pacificorp.com For additional information on Rocky Mountain Power’s application, please visit: puc.idaho.gov/case/Details/6659. Idaho Public Utilities Commission Page 32 WATER Regulated water companies Company Customers Nearest city/town Algoma Water Company 27 Sand Point Aspen Creek 47 Fish Haven Bitterroot Water System, Inc. 160 Coeur d'Alene Capitol Water 2,941 Boise CDS Stoneridge Utilities, LLC 375 Blanchard Eagle Water Company, Inc. 4,177 Eagle Falls Water Company, Inc. 6,193 Ammon Gem State Water 400 Coeur d'Alene Grouse Point Water 24 Kuna Happy Valley Water System 27 Athol Island Park Water Company 362 Island Park Kootenai Heights Water System, Inc. 11 Kootenai Mayfield Springs Water Company 101 Kuna Morning View Water Company, Inc. 118 Rigby Picabo Livestock Company 35 Picabo Ponderosa Terrace Estates Water System, Inc. 22 Sandpoint Resort Water Company 449 Sandpoint Rocky Mountain Utility Company, Inc. 112 Rigby Schweitzer Basin Water LLC 464 Sandpoint Suez Water Idaho Inc. 97,029 Boise Sunbeam Water Company 22 American Falls Teton Water and Sewer Company, LLC 297 Driggs Troy Hoffman Water Corporation 147 Coeur d'Alene Idaho Public Utilities Commission Page 33 SUEZ Water Commission schedules virtual workshops, hearings to share information on proposed SUEZ Water rate increase The Idaho Public Utilities Commission will host a virtual workshop on Thursday, March 25, to share information on a proposal from SUEZ Water to raise its rates by 22.3 percent. The virtual workshop will provide customers with an overview of the application from SUEZ to raise rates, and an analysis from commission staff regarding how the proposed increase would impact customers. At the workshop, customers may ask commission staff about the application and how customers may further participate. Representatives from SUEZ also will be available to answer questions during the workshop. The workshop starts at 6:00 p.m. (MST). To participate online, please visit idahogov.webex.com and enter 133 719 2187. At the next window, enter your name, e-mail address and this password: ThursdayMeeting. In addition to the workshop on March 25, the commission will host a telephonic customer hearing on Thursday, April 15, at 6:00 p.m. (MST). The purpose of the hearing is to take testimony from members of the public and SUEZ customers. To participate online, please visit idahogov.webex.com and enter 133 430 0807. At the next window, please enter your name, email address and the password ThursdayMeeting. To participate by telephone, please call 1-415- 655-0001 and enter the passcode 133 430 0807 when prompted. Those planning on testifying are encouraged to join the hearing at 5:30 p.m. (MST). The commission will host a technical hearing beginning on Tuesday, April 20, at 1:30 p.m. (MST), and continuing on Wednesday, April 21, and Thursday, April 22, if necessary. A technical hearing is an opportunity for parties to the case to present witnesses and testimony, including exhibits. Non-parties interested in listening to the testimony and presentations at the technical hearing can attend, but will not be allowed to ask questions or testify. To listen to the hearing on April 20, please visit idahogov.webex.com and enter 133 596 6873. At the next window, enter your name, e-mail address and this password: TuesdayMeeting. To listen over the phone, please call 1-415-655-0001, and enter access code 133 596 6873. To listen on Wednesday, April 21, please visit idahogov.webex.com and enter 133 759 4530. At the next window, enter your name, e-mail address and this password: WednesdayMeeting. To listen over the phone, please call 1-415-655-001 and enter access code 133 759 4530. The start time for the hearing on Wednesday will be determined at the close of the hearing on Tuesday. If necessary, the technical hearing will continue on Thursday, April 22. To attend, please visit idahogov.webex.com and enter 133 928 5445. At the next window, enter your name, e-mail address and this password: ThursdayMeeting. To listen over the phone, please call 1-415-655- 0001 and enter access code 133 928 5445. The start time for the hearing on Thursday will be determined at the close of the hearing on Wednesday. Those interested in submitting written comments on the proposed rate increase can do so. Comments must be filed through the commission’s website or by e-mail unless computer access is not available. To submit comments electronically, please visit: www.puc.idaho.gov. Click on the “Case Comment Form” and complete the form using case number SUZ-W-20-02. Comments also can be submitted by e-mailing them to secretary@puc.idaho.gov, Idaho Public Utilities Commission Page 34 mcc@givenspursley.com, prestoncarter@givenspursley.com, and david.njuguna@suez.com. Comments will need to be submitted to all of those e-mail addresses. If computer access is not available, comments can be mailed to: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Street Address for Express Mail: 11331 W. Chinden Boulevard Building 8, Suite 201-A Boise, ID 83714 For SUEZ Water Idaho: Michael C. Creamer Preston N. Carter Givens Pursley LLP 601 W. Bannock Street Boise, ID 83702 For additional information on the application to raise rates, please visit: https://puc.idaho.gov/case/Details/6543. Commission approves settlement agreement allowing SUEZ Water Idaho to raise rates by 8.75 percent over 2 years The Idaho Public Utilities Commission has approved a settlement agreement between SUEZ Water of Idaho and its customers that will allow the utility to raise rates by 8.75 percent over a two-year period. The percentage represents an increase in revenue of $3.99 million. SUEZ initially proposed to raise rates by 22.3 percent, but agreed to enter into settlement negotiations with customers and stakeholders in February. The settlement negotiations resulted in the approved 8.75 percent rate increase. The settlement agreement, approved by the commission on April 30, includes a phase-in of the rate increase. Customers will see a 3.55 percent increase on May 1, 2021, which represents increased revenues of $1.62 million in the first year. On May 1, 2022, rates will increase by 5.2 percent, representing a $2.37 million increase in the second year. Idaho Public Utilities Commission Page 35 As part of the settlement, SUEZ agreed to file an updated depreciation study with its next general rates case, undertake a load study, and broaden public outreach efforts that include hosting public workshops related to water quality and resource planning. The company also agreed to examine its low-income assistance program, including participation and future opportunities. In its order issued Friday, the commission acknowledged customer concerns regarding discolored water on the Boise Bench. It encouraged SUEZ to continue with efforts to implement solutions that would address the discolored water, and SUEZ agreed to keep commission staff informed of the efforts. For more information about the commission’s approval of the rate increase, please visit puc.idaho.gov/case/Details/6543. Commission schedules online public workshop on application to allow SUEZ Water to acquire Eagle Water The Idaho Public Utilities Commission will hold an online public workshop on Oct. 5 to share information on an application to allow SUEZ Water Idaho to acquire assets from Eagle Water Company. SUEZ Water Idaho and Eagle Water Company filed a joint application with the commission on June 8 asking for approval. The online public workshop will be held Tuesday, Oct. 5, at 7:00 p.m. (MDT). At the workshop, commission staff will present an overview of the application and answer questions from those attending. Staff from SUEZ Water Idaho also will be available to answer questions. To participate online, please visit idahogov.webex.com and enter meeting number 2463 517 8624. At the next window, please enter your name, e-mail address and this password: OctoberWorkshop. To participate by phone, please call 1-415-655-0001 and enter meeting number 2463 517 8624 when prompted. Written comments on the application are being accepted through Nov. 8, 2021. They are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number SUZ-W-18-02 or EAGW-18-01 when filling out the form. Any comments should also be e- mailed to SUEZ Water and Eagle Water at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission, SUEZ and Eagle Water at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: Idaho Public Utilities Commission Page 36 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For SUEZ Water Idaho, Inc.: Michael Creamer Preston Carter 601 Bannock St. Boise, ID 83702 mcc@givenspursley.com prestoncarter@givenspursley.com For Eagle Water Company: Molly O’Leary 1775 W. State St., #150 Boise, ID 83702 molly@bizcounseloratlaw.com Robert Deshazo 188 W. State St. Eagle, ID 83616 eaglewaterco@gmail.com For additional information on the application, please visit: puc.idaho.gov/case/Details/3610. Commission schedules telephonic public hearing to take verbal testimony on appl ication to allow SUEZ Water to acquire Eagle Water The Idaho Public Utilities Commission will host a telephonic public hearing on Nov. 1 to take verbal testimony on an application to allow SUEZ Water Idaho to acquire assets from Eagle Water Company. SUEZ Water Idaho and Eagle Water Company filed a joint application with the commission on June 8 asking for approval. The telephonic hearing will be on Monday, Nov. 1, at 7:00 p.m. (Mountain Time). The purpose of the hearing is to take testimony from members of the public and customers of the companies. For those who wish to call in and listen only, please dial 1-800-920-7487 and enter participant code 9877 951#. For those who plan to offer verbal testimony, please call 1-800-920-7487 and enter participant code 6674 832#. Depending on public interest and attendance, the commission may impose a five-minute cap on each caller’s testimony to ensure all participants have the opportunity to submit their verbal comments for the record. Idaho Public Utilities Commission Page 37 Written comments on the application are being accepted through Nov. 8, 2021. They are required to be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Consumers” tab toward the top of the page, then click on the “Case Comment Form.” Please use case number SUZ-W-18-02 or EAGW-18-01 when filling out the form. Any comments should also be e- mailed to SUEZ Water and Eagle Water at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission, SUEZ and Eagle Water at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For SUEZ Water Idaho, Inc.: Michael Creamer Preston Carter 601 Bannock St. Boise, ID 83702 mcc@givenspursley.com prestoncarter@givenspursley.com For Eagle Water Company: Molly O’Leary 1775 W. State St., #150 Boise, ID 83702 molly@bizcounseloratlaw.com Robert Deshazo 188 W. State St. Eagle, ID 83616 eaglewaterco@gmail.com For additional information on the application, please visit: puc.idaho.gov/case/Details/3610. Idaho Public Utilities Commission Page 38 Proposed settlement agreement re garding acquisition of Eagle Water Company by SUEZ Water Idaho has been submitted to Idaho Public U tilities Commission A proposed settlement agreement that spells out the terms allowing SUEZ Water Idaho to acquire the assets of Eagle Water Company has been submitted to the Idaho Public Utilities Commission for its consideration. SUEZ, Eagle Water, and commission staff all signed the proposed agreement. Other parties involved in settlement negotiations did not sign on to the agreement. If approved by the commission, SUEZ Water will be entitled to an acquisition adjustment amount of $10,475,000 that will be included in its next rate case. In addition, that amount will be amortized over 40 years beginning at the implementation of rates in SUEZ’s next rate case. As part of the proposed settlement agreement, the parties involved agreed that new rates for existing Eagle Water customers will be phased-in over seven years. On Jan. 1, 2022, existing Eagle Water customers’ rates will be set at 50 percent of SUEZ’s approved rates. Each year thereafter on Jan. 1, existing Eagle Water customers’ rates will increase by approximately 8.33 percent until their rates are 100 percent of SUEZ’s approved rates. The rate phase-in for Eagle Water customers will follow this progression: Jan. 1, 2022 – 50 percent Jan. 1, 2023 – 58.33 percent Jan. 1, 2024 – 66.67 percent Jan. 1, 2025 – 75 percent Jan. 1, 2026 – 83.33 percent Jan. 1, 2027 – 91.67 percent Jan. 1, 2028 – 100 percent The proposed settlement agreement also directs Eagle Water to refund approximately $592,020 to existing customers of the utility. The refund is intended to offset in part the increase in rates existing Eagle Water customers will see beginning Jan. 1, 2022. The commission is accepting written comments on the proposed settlement agreement through Nov. 8, 2021. Comments must be filed by e-mail unless e-mail is unavailable. To submit comments via e-mail, please visit the commission’s webpage at puc.idaho.gov. Click on the “Case Comment Form” link toward the top left side of the page. Please use case number SUZ-W-18-02 or EAG-W-18-01 when filling out the form. Any comments should also be e-mailed to SUEZ Water and Eagle Water at the e-mail addresses listed below. If e-mail is unavailable, comments may be mailed to the commission, SUEZ and Eagle Water at these addresses: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Idaho Public Utilities Commission Page 39 secretary@puc.idaho.gov Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 For SUEZ Water Idaho, Inc.: Michael Creamer Preston Carter 601 Bannock St. Boise, ID 83702 mcc@givenspursley.com prestoncarter@givenspursley.com For Eagle Water Company: Molly O’Leary 1775 W. State St., #150 Boise, ID 83702 molly@bizcounseloratlaw.com Robert Deshazo 188 W. State St. Eagle, ID 83616 eaglewaterco@gmail.com For additional information on the application, please visit: puc.idaho.gov/case/Details/3610. Falls Water Commission schedules online public workshop to share information on proposed Falls Water Company rate increase The Idaho Public Utilities Commission will host a live, virtual public workshop on Jan. 5 to share information regarding an application from Falls Water Company to raise the rates it charges for water service. Falls Water provides municipal water service to a portion of Bonneville County east of Idaho Falls and north of Ammon. Falls Water proposes to raise rates between 11.2 percent and 27.3 percent, depending on the rate class customers are in. The customers affected are classified as residential, multi-family or commercial. In addition, the size of the meter determines how much rates would increase. For example, if the application was approved, Idaho Public Utilities Commission Page 40 residential 1’’ meter customers would see an increase of 23.8 percent, increasing their average bill from $27.86 to $34.49. Company revenues would increase by $344,175. This represents a 19.12 percent increase. The commission will host a live, online workshop on Tuesday, Jan. 5, 2021 at 6:00 p.m. (MST). To participate online, please visit idahogov.webex.com, and enter this meeting information: 177 343 7276. At the next window, enter your name, e-mail address and this password: Jan5Workshop. To participate via the phone, please call 1- 415-655-0001 and enter this access code: 177 343 7276. Commission staff will give a presentation, and will be available to answer questions. Those interested in submitting written comments on the application can do so. Comments are due by Jan. 11, 2021. Written comments must contain a statement of reasons supporting them. Comments can be mailed or e-mailed to: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 E-mail: secretary@puc.idaho.gov For Falls Water: K. Scott Bruce, General Manager Falls Water Co. 2180 N Deborah Dr. Idaho Falls, ID 83401 E-mail: scott1@fallswater.com Eric Nelsen Senior Regulatory Attorney Northwest Natural 250 SW Taylor St. Portland, OR 97204-3038 E-mail: eric.nelsen@nwnatural.com Idaho Public Utilities Commission Page 41 These comments should contain this case caption: In the matter of Falls Water Company’s application for an order authorizing increases in the company’s rates and charges for water service in the state of Idaho. Written comments also should contain this case number: Case No. FLS-W-20-03. In addition to the mailing addresses and e-mail addresses above, written comments can be submitted through the commission’s website at www.puc.idaho.gov. Please click on the “Case Comment Form” link on the lower right side of the page and complete the comment form using this case number: FLS-W-20-03. For additional information on Falls Water Company’s application, please visit: puc.idaho.gov/case/Details/6530. Commission schedules telephonic hearing on proposed Falls Water Company rate increase The Idaho Public Utilities Commission will host a telephonic hearing on Jan. 14 to take testimony regarding an application from Falls Water Company to raise the rates it charges for water service. Falls Water provides municipal water service to a portion of Bonneville County east of Idaho Falls and north of Ammon. Falls Water proposes to raise rates between 11.2 percent and 27.3 percent, depending on the rate class customers are in. The customers affected are classified as residential, multi-family or commercial. In addition, the size of the meter determines how much rates would increase. For example, if the application was approved, residential 1’’ meter customers would see an increase of 23.8 percent, increasing their average bill from $27.86 to $34.49. Company revenues would increase by $344,175. This represents a 19.12 percent increase. The commission will host a telephonic hearing on Thursday, Jan. 14, 2021 at 6:00 p.m. (MST). To participate, please call 1-800-920-7487, and enter confirmation code 667 4832# when prompted. Those interested in submitting written comments on the application can do so. Written comments must contain a statement of reasons supporting them. Comments can be mailed or e-mailed to: For the Idaho Public Utilities Commission: Commission Secretary Idaho Public Utilities Commission P.O. Box 83720 Boise, ID 83720-0074 Street Address for Express Mail: 11331 W. Chinden Blvd. Building 8, Suite 201-A Boise, ID 83714 E-mail: secretary@puc.idaho.gov For Falls Water: Idaho Public Utilities Commission Page 42 K. Scott Bruce, General Manager Falls Water Co. 2180 N Deborah Dr. Idaho Falls, ID 83401 E-mail: scott1@fallswater.com Eric Nelsen Senior Regulatory Attorney Northwest Natural 250 SW Taylor St. Portland, OR 97204-3038 E-mail: eric.nelsen@nwnatural.com These comments should contain this case caption: In the matter of Falls Water Company’s application for an order authorizing increases in the company’s rates and charges for water service in the state of Idaho. Written comments also should contain this case number: Case No. FLS-W-20-03. In addition to the mailing addresses and e-mail addresses above, written comments can be submitted through the commission’s website at www.puc.idaho.gov. Please click on the “Case Comment Form” link on the lower right side of the page and complete the comment form using this case number: FLS-W-20-03. For additional information on Falls Water Company’s application, please visit: puc.idaho.gov/case/Details/6530. Commission issues decision on proposed Falls Wat er rate increase The Idaho Public Utilities Commission issued a decision on Falls Water’s application to increase rates for its customers. Falls Water provides municipal water service to a portion of Bonneville County east of Idaho Falls and north of Ammon. Falls Water asked to raise rates between 11.2 percent and 27.3 percent, depending on the rate class a customer is in. Falls Water requested to raise its rates to recover revenues of $2,144,602. The commission found it fair, just and reasonable to increase the company’s base charges 5.6 percent and to increase the commodity charge to $0.917 from $0.689. The commission approved annual revenues of $2,112,749 for Falls Water. The commission found most of Falls Water’s requested rate increase to be well justified. Falls Water’s rates were last raised in 2012 in Case No. FLS-W-12-01. The commission approved Falls Water’s request to raise its employees’ salaries in order to provide competitive compensation and be able to attract, train, and retain qualified employees that can safely and efficiently operate the water system. The commission lowered Falls Water’s return on equity to 10.2 percent from 10.5 percent in recognition of the better access to capital that is available to a subsidiary of NW Natural Holdings, and to reflect the lower costs of capital available today. The commission found the back office functions performed by Falls Water’s parent company to be cost-effective and reasonably allocated among subsidiaries of NW Natural Holdings. Idaho Public Utilities Commission Page 43 For additional information on the commission’s decision and Falls Water’s application, please visit: https://puc.idaho.gov/case/Details/6530. TELECOMMUNICATIONS Regulated telecommunicati ons companies Company Location Albion Telephone Corp. Albion Cambridge Telephone Co. Cambridge CenturyLink* Boise CenturyTel of Idaho, Inc.* Salt Lake City, UT CenturyTel of the Gem State* Salt Lake City, UT Citizens Telecommunications Company of Idaho* Beaverton, OR Columbine, dba Silver Star Communications Freedom, WY Direct Communications Rockland, Inc. Rockland Fremont Telecom, Inc. Missoula, MT Frontier Communications Northwest, Inc.* Beaverton, OR Inland Telephone Co. Roslyn, WA Midvale Telephone Company Midvale Oregon-Idaho Utilities, Inc. Nampa Pine Telephone System, Inc. Halfway, OR Potlach Telephone Company* Kendrick Rural Telephone Company Glenns Ferry * These companies are no longer rate regulated; however, they are still regulated for customer service. Idaho Public Utilities Commission Page 44 TELECOMMUNICATIONS CASES Commission accepts annual rep ort, budget for Idaho Telecommunications Relay Service The Idaho Public Utilities Commission has accepted the 2020 annual report and the 2021 budget for the Idaho Telecommunications Relay Service. The relay service, established by the Idaho Legislature in 1992, allows hearing- or speech impaired residents to use phone communications “in a manner that is functionally equivalent to individuals without hearing or speech impairments.” A relay center is used, which converts or relays verbal conversations to text-type and vice versa. The relay center also provides speech-to-speech, Spanish-to-Spanish, video, and Internet relay services. The commission approved the 2020 annual report and 2021 budget on April 7. The 2021 operating budget is projected at $173,760 and includes $8,350 for a required audit of the relay service fund. The 2021 budget also includes an increase in the telephone line charge from $0.03 per line to $0.05 line, and an MTS/WATS minute rate increase from $0.0008 per minute to $0.001 per minute. The increase is intended to ensure the long-term viability of the relay service fund, and takes effect May 1, 2021. The increase in the line charge and MTS/WATS minute rate does not apply to cell phone or Internet service. The surcharge is paid by telephone companies. Idaho Code does not allow companies to pass the surcharge on to their customers. Hamilton Telecommunications operates the relay center, and submitted the report and budget to the Idaho Public Utilities Commission. The relay service is funded by assessments on local residential and business telephone service access lines and on billed intrastate long-distance minutes. In-state relay traffic and captioned telephone services are reimbursed by the fund, while the firm of Rolka Loube Saltzer Associates, LLC reimburses Hamilton for interstate calls. Hamilton Telecommunications said the relay center handled 2,106 calls in calendar year 2020, a 26 percent increase from calendar year 2019. The number of captioned telephone units held steady. The 2020 average answer time by Hamilton was 0.85 seconds, compared to 0.41 seconds in 2019. The increased average answer time was due to greater usage during the Covid-19 pandemic. For more information on the commission’s decision, please visit: https://puc.idaho.gov/Fileroom/PublicFiles/telecom/34988.pdf. Idaho Public Utilities Commission Page 45 NATURAL GAS Consumption decreased and prices remained low in FY20211 In Idaho, natural gas is supplied to customers by Avista Corporation, Dominion Energy, and Intermountain Gas Company. Idaho is fortunate to be located between two large natural gas producing basins: The Rocky Mountain Basin (Rockies) and the Western Canadian Sedimentary Basin (WCSB). These basins are connected through the Williams Northwest Pipeline and TransCanada’s GTN pipelines allowing the natural gas utility companies serving Idaho to take advantage of capacity and of pricing at both basins. Individual Idaho Gas Utility Profiles FY 2021 Statistics Total Residential Commercial Industrial Transportation2 Avista Corporation Customers 89,128 79,740 9,307 73 8 % of Total 100% 89.47% 10.44% .08% .01% Therms (millions) 155.25 56.62 31.64 2.31 64.68 % of Total 100% 36.47% 20.38% 1.49% 41.66% Revenue (millions) $66.10 $45.65 $18.81 $1.04 $0.59 % of Total 100% 69.07% 28.46% 1.57% 0.89% Dominion Questar Gas Customers 2,405 2,142 261 0 2 % of Total 100% 89.06% 10.85% - .08% Therms (millions) 0.27 0.15 0.11 - 0.01 % of Total 100% 56.53% 38.67% - 4.80% Revenue (millions) $2.01 $1.26 $0.71 - $0.04 % of Total 100% 62.82% 35.17% - 2.01% Intermountain Gas Customers 392,399 357,599 34,661 29 110 % of Total 100% 91.13% 8.83% 0.01% 0.03% Therms (millions) 773.18 263.33 129.72 11.27 368.86 % of Total 100% 34.06% 16.78% 1.46% 47.71% Revenue (millions) $248.61 $165.26 $69.93 $3.84 $9.58 % of Total 100% 66.47% 28.13% 1.55% 3.85% 1 The Idaho Public Utilities Commission’s fiscal year is July 1st through June 30th. 2 Transportation is nonutility owned gas transported for another party under contractual agreement. Idaho Public Utilities Commission Page 46 NATURAL GAS Consumption In 2020, overall consumption of natural gas in Idaho decreased approximately 1 percent. Residential customers consumed roughly 3 percent less and commercial customers consumed roughly 7 percent less natural gas than the previous year. Industrial consumption decreased slightly and consumption of gas for electric generation increased over 4 percent. Use of natural gas as a vehicle fuel increased slightly over 10 percent but is less than 1 percent of overall consumption. Idaho Public Utilities Commission Page 47 NATURAL GAS Demand The Northwest Gas Association (NWGA) forecasts demand for natural gas in the Northwest to grow at a rate of approximately 1.0% per year.3 Forecast demand growth in the residential and commercial sectors is slightly less, while industrial demand growth has dropped by half (from 0.5 to 0.2 percent/yr.). Demand for natural gas to generate electricity is forecast to grow slightly, mostly when coal-fired generation plants are retired in the region. Several factors could impact demand for natural gas: • Retirement of coal fired generation and increased use for generating electricity. • LNG and petrochemical production and exports. • Energy policies, regulations, and legislation. Prices Over the last decade, the commodity price of natural gas has continued to decline (see Figure 1). The Northwest Power and Conservation Council (NPCC) forecasts show that commodity prices are expected to remain below $5/Dth through 2050 (see Figure 2) at hubs where the Pacific Northwest sources its gas. FIGURE 1. Idaho Historical Natural Gas Price 3 Northwest Gas Association 2020 Pacific Northwest Gas Market Outlook Idaho Public Utilities Commission Page 48 FIGURE 2. Pacific Northwest Natural Gas Price Forecast Comparisons Production There was approximately 108 Mcf of natural gas produced by the Snake River Oil and Gas Group in Idaho in 2020.4 In years prior to 2019, gas was produced by Alta Mesa/High Mesa. Snake River Oil and Gas Group purchased Alta Mesa/High Mesa wells and production facilities in December 2019. Production in Idaho was shut-in March through December 2020. Snake River Oil and Gas Group operations include: • Processing facility located at Willow Creek near Payette, Idaho. • Six wells producing natural gas, condensate, oil, and other liquids in the Willow Creek drainage. • Six shut-in wells and are no longer producing. 4 Source EIA Natural Gas Summary https://www.eia.gov/dnav/ng/ng_sum_lsum_dcu_SID_a.htm Idaho Public Utilities Commission Page 49 Renewable Natural Gas (RNG) RNG is pipeline-quality biomethane produced from biogas. Biogas is the mixture of gases produced by the breakdown of organic matter in the absence of oxygen (anaerobically), primarily consisting of methane and carbon dioxide. It can be produced from raw materials such as agricultural waste, manure, municipal waste, plant material, sewage, or food waste. It is interchangeable with natural gas and compatible with the U.S. natural gas infrastructure. In the past, RNG projects in the state consumed gas produced in their operations or used the gas to generate electricity. Recently, a number of biomass operations in the state have pursued development of capabilities to produce sufficient volumes of RNG for export onto pipeline infrastructure. On a per therm basis, RNG is more expensive to produce than traditional natural gas. Given current State and Federal Government policies and programs some RNG projects have the potential to achieve profitability. Natural gas utility companies in the state are facilitating the transportation of RNG and the growth of the RNG industry. Producers contract to use the utility’s distribution system to move RNG from the producers to their end use customers. The utilities are monitoring RNG production activity and government policies as they continue to look for opportunities to participate in the development of this resource. Summary Idaho residential, commercial, industrial, and transportation users of natural gas realized benefits from low natural gas prices and plentiful supply, this fiscal year. Lower than average natural gas inventories are contributing to price volatility. It is anticipated that domestic natural gas production will outpace LNG exports in the second calendar quarter of 2022 reducing volatility and putting downward pressure on prices. -by Kevin Keyt, IPUC Staff Analyst Idaho Public Utilities Commission Page 50 NATURAL GAS NATURAL GAS CASES Avista: AVU-G-20-01 IRP Extension AVU-G-20-02 Clearwater Agreement AVU-G-20-03 COVID-19 Accounting AVU-G-20-04 PGA AVU-G-20-05 FCA AVU-G-20-06 Depreciation and Amortization AVU-G-20-07 Federal Income Tax AVU-G-20-08 DSM Prudency AVU-G-21-01 General Rate Case AVU-G-21-02 IRP AVU-G-21-03 EE Ryder Adjustment AVU-G-21-04 PGA AVU-G-21-05 AFUDC AVU-G-21-06 FCA Intermountain Gas: INT-G-20-01 General Service Provisions INT-G-20-02 FERC Form 2 INT-G-20-03 RNG Access INT-G-20-04 Commercial EE Program INT-G-20-05 PGA INT-G-20-06 DSM Prudency INT-G-21-01 Depreciation and Amortization INT-G-21-02 Customer Payments INT-G-21-03 DSM Prudency INT-G-21-04 PGA Dominion: No cases Idaho Public Utilities Commission Page 51 CONSUMER ASSISTANCE Commission issues annual consumer assistance report The Consumer Assistance staff responded to 1,138 complaints and inquiries in fiscal year 2021, 88 percent of which were from residential customers. The chart below illustrates the complaints and inquiries by industry. The chart below summarizes the types of issues reported to the Commission. While the Consumer Assistance staff is able to respond to most inquiries without extensive research, about 53 percent of complaints required investigation by the staff. Approximately 52 percent of investigations resulted in reversal or modification of the utility’s original action. Payment terms were negotiated in 14 percent of the investigations. Idaho Public Utilities Commission Page 52 REGULATING IDAHO’S RAILROADS The Commission conducts inspections of Idaho’s railroads to determine compliance with state and federal laws, rules and regulations concerning the transportation of hazardous materials, locomotive cab safety and sanitation rules, and railroad/highway grade crossings. Hazardous material inspections are conducted in rail yards. In 1994, Idaho was invited to participate in the Federal Railroad Administration’s State Participation Program. The commission has a State Program Manager and one FRA certified hazardous material inspector. The commission inspects railroad-highway grade crossings where incidents occur, investigates citizen complaints of unsafe or rough crossings and conducts railroad-crossing surveys. The commission also plays a role when rail lines are abandoned. More than 900 miles of railroad track in Idaho have been abandoned since 1976. Federal law governs rail line abandonments, and the federal Surface Transportation Board (STB. formerly the Interstate Commerce Commission) decides the final outcome of abandonment applications. Under Idaho law, however, after a railroad files its federal notice of intent to abandon, the Idaho commission must determine whether the proposed abandonment would adversely affect the public interest. The commission then reports its findings to the STB. In reaching a conclusion, the Commission considers whether abandonment would adversely affect the service area, impair market access or access of Idaho communities to vital goods and services, and whether the line has a potential for profitability. Railroad Activity Summary Rail Safety Category Totals Idaho Railroad Track Miles 1710/996 Class I * Hazmat Inspections 187 Rail Cars inspected 13,471 Railcar Violations 31 Railcar Defects 594 Railroad Grade Crossings Inspected 704 Crossing Accidents Investigated 5 Crossing Complaints Investigated 7 Crossing Complaints Validated 3 Locomotives Inspected 3 Locomotive defects 0 *Source: ITD `(2017) Idaho Public Utilities Commission Page 53 REGULATING IDAHO’S PIPELINES Idaho Code 61-515 empowers the Commission to require every utility to “maintain and operate its line, plant, system, equipment, apparatus, and premises in such a manner that promote and safeguard the health and safety of its employees, customers and the public.” Pursuant to 49 U.S.C Section 60105, Chapter 601, the Commission is a certified partner with the U.S. Department of Transportation Pipeline Hazardous Material Safety Administration. The federal/state partnership provides the statutory basis for the pipeline safety program and establishes a framework for promoting pipeline safety through federal delegation to the states for all or part of the responsibility for intrastate natural gas pipeline facilities under annual certification. Under the certification, Idaho assumes inspection and enforcement responsibility with respect to more than 8,300 miles of intrastate natural gas pipelines over which it has jurisdiction under state law. With the certification, Idaho may adopt additional or more stringent standards for intrastate pipeline facilities provided the standards are compatible with federal regulations. The Idaho Commission has a state program manager and three trained and certified pipeline safety inspectors who conduct records audits and field installed equipment inspections on all intrastate natural gas pipeline operators under its jurisdiction. Pipeline Summary Activity Regulating Idaho's Pipeline Standard Inspection Days 109 Compliance Inspection Days 0 Damage Prevention Inspection Days 5.5 Construction Inspection Days 136.5 Operator Qualification Inspection Days 12 Integrity Management Program Inspection Days 25.5 Incident/Accident Inspection Days 0 Operator Training Inspection Days 28 Compliance Enforcement Actions Notice of Probably Violation 7 Notice of Amendment 0 Warning Letters 0 Idaho Public Utilities Commission Page 54 This report satisfies Idaho Code 61-214; this is a “full and complete account” of the most significant cases to come before the commission during the 2020 calendar year. (The financial report on Page 7 covers Fiscal Year July 1, 2017 through June 30, 2021.) Anyone with access to the Internet may also review the commission’s agendas, notices, case information and decisions by visiting the IPUC’s Web site at: www.puc.idaho.gov. Commission records are also available for public inspection at the commission’s Boise office, 11331 W. Chinden Blvd., Monday through Friday, 8 a.m. to 5 p.m. The Idaho Public Utilities Commission, as outlined in its Strategic Plan, serves the citizens and utilities of Idaho by determining fair, just and reasonable rates for utility commodities and services that are to be delivered safely, reliably and efficiently. During the period covered by this report, the commission also had responsibility for ensuring all rail services operating within Idaho do so in a safe and efficient manner. The commission also has a pipeline safety section that oversees the safe operation of the intrastate natural gas pipelines and facilities in Idaho. Costs associated with this publication are available from the Idaho Public Utilities Commission in accordance with Section 60-202, Idaho Code, PUC 12-100- 2020.