20050826Decision memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEG AL
FROM:WELDON STUTZMAN
DATE:AUGUST 24, 2005
SUBJECT:CASE NO. A VU-05-6; APPLICATION BY A VISTA CORPORATION
FOR AN ORDER APPROVING RECOVERY OF DEFERRED POWER
COSTS
On August 11 , 2005, A vista Corporation filed an Application for a Commission
Order approving recovery of power costs deferred through June 30, 2005. The Company
proposes to recover the deferred expense by continuing the existing PCA surcharge. The
Company requested the Commission process its Application by Modified Procedure.
A vista explains in its Application that, pursuant to Commission Order No. 29605
entered in Case No. A VU-04-, its Application serves as the PCA Status Report for 12 months
ended June 30, 2005. The Company identified the power cost deferrals during the review period.
The deferral balance was $26.1 million at June 30, 2004, but the deferral balance was reduced to
$5.9 million as of June 30, 2005. The existing PCA surcharge produces annual revenues of
approximate $4 268 000. The Company proposes that the existing surcharge remain in place and
that the surcharge rates be reviewed again when the PCA status report is filed next year covering
the July 2005 through June 2006 period.
Staff recommends that the Application of A vista for an Order approving recovery of
power costs deferred through June 30, 2005, be processed by Modified Procedure
COMMISSION DECISION
Should the Application of A vista Corporation for an Order approving recovery of
power costs deferred through June 30, 2005 , be processed by Modified Procedure?
r\., -
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Weldon B. Stutzman
blsIM:A VUEO506 ws