20030327Decision Memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
CO MMISSI 0 NER SMITH
CO MMISSI 0 NER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
FROM:DON HOWELL
DATE:MARCH 25, 2003
RE:AN AMENDMENT TO A SERVICE TERRITORY AGREEMENT BETWEEN
AVISTA CORPORATION AND KOOTENAI ELECTRIC COOPERATIVE
CASE NO. AVU-03-
On March 11 , 2003 , Avista submitted an amendment to its Service Territory
Agreement with Kootenai Electric Cooperative. The Agreement was executed pursuant to the
provisions of the Electric Supplier Stabilization Act (ESSA). Amendment No.1 dated
December 26, 2002, makes two changes to the underlying Agreement. First, it changes outdated
references to "The Washington Water Power Company" to "A vista Corporation dba A vista
Utilities. "Second, it deletes Section 7 (Development Construction) in the underlying
Agreement.
BACKGROUND
In Order No. 28681 dated March 21 , 2001 , the Commission approved a Service
Territory Agreement and its Addendum entered into by Avista s predecessor WWP and Kootenai
Electric Cooperative. The Commission approved the Service Territory Agreement pursuant to
the ESSA and in particular Idaho Code 9 61-333. This section provides in pertinent part that
the commission shall after notice and opportunity for hearing, review and
approve or reject contracts. . . between cooperatives and public utilities.
...
The commission shall approve such contracts only upon finding that the
allocation of territories or consumers is in conformance with the provisions
and purposes of (the ESSAJ.
Idaho Code 9 61-333(1).
DECISION MEMORANDUM
THE APPLICATION
As mentioned above, A vista and Kootenai propose two amendments to their
Agreement. First, is a housekeeping matter changing the name of WWP to A vista Corporation
dba A vista Utilities.
The second amendment is to delete Section 7 of the underlying Agreement. This
section included provisions to determine which of two suppliers will serve a development when
built out of the development intersects a competing electric supplier s service line. The parties
agreed that Section 7 may be ambiguous.
STAFF RECOMMENDATION
Given the agreement of the parties, the Staff recommends that this matter be
processed under Modified Procedure.
COMMISSION DECISION
Does the Commission concur that this matter should be processed via Modified
Procedure?
j)~
Don Howell
Vld/M:A VUEO301
DECISION MEMORANDUM
Contract No. M-IO612
Amendment No.1 to the Agreement
Between
A vista Corporation dba A vista Utilities (A VISTA)
and
Kootenai Electric Cooperative, Inc. (KEC)
This Amendment, dated W./.M bGr ,z. 6:.-H-r , 2002 is hereby annexed to and made a
par~. of the printed part of the Agreement for Administering Residential Developments (the
Agreement ) between the Parties, dated February 15, 1991. In each instance in which the
provisions of this Amendment shall contradict or are inconsistent with the provisions of the
printed portion of that Agreement, the provisions of this Amendment shall prevail and govern,
and the contradicted or inconsistent provisions shall be deemed amended accordingly.
Any references in the Agreement to "The Washington Water Power Company" shall be
.changed to "Avista Corporation dba Avista Utilities , and any references to "WWP" shall
be changed to "A VISTA"
Amend the Agreement by deleting Section 7 - Development Construction, in its entirety.
Except as set forth herein, all Terms and Conditions of the Agreement, and any amendments
thereto, shall remain in full force and effect.
AGREED TO:ACCEPTED BY:
A vista Corporation
dba A vista Utilities
-J&III4f
(Signature)
ny
l.. Jg~ t(r:
(Name)
Gerr~~ Hrr:
(Title)
By:
Robert L
(Name)
Crump
General Manaqer
(Title)
:Zn e.t..,
- ()
(Date)
January 24, 2003
(Date)