20030422Comments.pdf

DONALD L. HOWELL, II
DEPUTY ATTORNEY GENERAL
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
[phone]
IDAHO BAR NO. 3366
RECEIVED 0FiLED
2003 APR 22 PH 12: r 6
iDr\h,L;; LICUTILITIES COrlHISSION
Street Address for Express Mail:
472 W. WASHINGTON
BOISE, IDAHO 83702-5983
Attorney for the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF
AVISTA CORPORATION DBA AVISTA
UTILITIES FOR AN ORDER APPROVING AN
AMENDMENT TO A SERVICE TERRITORY
AGREEMENT BETWEEN A VISTA UTILITIES
AND KOOTENAI ELECTRIC COOPERATIVE
, )~.
CASE NO. AVU-O3-
COMMENTS OF THE
COMMISSION STAFF
COMES NOW the Staff of the Idaho Public Utilities Commission, by and through its
attorney of record, Donald L. Howell, II, Deputy Attorney General and submits the following
comments in response to the Notice of Application, Notice of Modified Procedure and Order No.
29217 issued on April 7 2003.
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 First, it changes outdated references from
The Washington Water Power Company" to "Avista Corporation dba Avista Utilities." Second
it deletes Section 7 (Development Construction) in the underlying Agreement.
STAFF COMMENTS APRIL 22, 2003
BACKGROUND
In Order No. 28681 dated March 21 2001 , the Commission approved a Service Territory
Agreement and its Addendum entered into by A vista 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 ESSA).
Idaho Code 9 61-333(1).
STAFF ANALYSIS
As mentioned above, A vista and Kootenai propose two amendments to their Agreement.
First, is a housekeeping matter changing the name ofWWP to Avista Corporation dba Avista
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 (i.
subdivision) when build out ofthe development intersects a competing electric supplier s service
line. A vista states that the elimination of Section 7 from the Residential Subdivision Agreement
accomplishes the following:
. Removes the uncertainty created by the reference to the intersection of a competing
utility s service line because the minimum length of that line is not defined
. Avoids duplication of services within all phases of platted residential subdivisions
. Allows developers to choose an electric provider and continue that continuity
throughout all phases of a development regardless of a competing utility'
intersecting electrical lines. (Section 6).
Both parties have mutually agreed to delete Section 7 from the Agreement. Staff agrees
that the language contained in Section 7 is somewhat ambiguous and could lead to confusion
should it ever need to be applied. Staff believes the Agreement will function satisfactorily even
after Section 7 has been removed.
STAFF COMMENTS APRIL 22, 2003
RECOMMENDATIONS
Staff recommends approval of the proposed amendments to the Agreement.
Respectfully submitted this 22 day of April 2003.
Donald L. Howell, II
Deputy Attorney General
Technical Staff: Rick Sterling
DH:RPS:gdk:i:umisc/comments/avueO3.! dhrps
STAFF COMMENTS APRIL 22 , 2003
CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 22ND DAY OF APRIL 2003
SERVED THE FOREGOING COMMENTS OF THE COMMISSION STAFF IN CASE
NO. AVU-03-, BY MAILING A COpy THEREOF, POSTAGE PREPAID, TO THE
FOLLOWING:
BRUCE FOLSOM, MANAGER
REGULATORY COMPLIANCE
A VISTA CORP
PO BOX 3727
SPOKANE WA 99220-3727
KELLY NORWOOD
VICE PRESIDENT
A VISTA CORP
PO BOX 3727
SPOKANE W A 99220-3727
ROBERT L. CRUMP
GENERAL MANAGER
KOOTENAI ELECTRIC COOPERATIVE INC
PO BOX 278
HAYDEN, ID 83835-0278
SECRETARY
CERTIFICATE OF SERVICE