20181005Decision Memo.pdf

DECISION MBMORANDUM
TO COMMISSIONER KIELLANDER
COM]\ISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMNdISSION STAFF
FROM:EDWARD JEWELL
DEPUTY ATTORNEY GENERAL
DATE: OCTOBER 5,2018
SUB.IECT:IN THE MATTER OF THE AGREEMENT FOR PURCHASE AND SALE
OF THE CHENEY AND FOUR LAKES TAP LINES AND fiM TRANSTER
OF OWNERSHIP AGREEMENT BETWEEN AYISTA AND BONNEVII,I,E
POWER ADMINISTRATION; CASE NO. AYU-E-18-09.
On August 29, 2078, Avista Corporation ("Avista") filed an application requesting
approval of an "Agreement for the Purchase and Sarle of the Cheney and Four Lakes Tap Lines"
and a "Transfer of Ownership Agreement" (collectively "Agreements") between Avista and
Bonneville Power Administration ("BPA"). Avista requests Commission approval of the
Agreements pursuant to ldaho Code 5 6l-328.
THF APPLICATION
The Agreements transfer ownership of certain tap lines and easements associated with
those tap lines from BPA to Avista in exchange for the transfer of a23O kV power breaker from
Avista to BPA. The Avista-owned power breaker is located in a BPA substation. The BPA-
owned tap lines are 115 kV transmission assets located in Avista's Balancing Authority Area that
are physically and electrically separate from BPA's main transmission network and are entircly
surrounded by Avista's transmission system. Avista asserts that maintenance of the equipment at
issue in this transaction has posed administrative, maintenanca, and NERC compliance
challenges for both companies.
STAFF RECOMMENDATION
Staff recommends the Commission set a telephonic public hearing on November 7, 2018.
Additionally, Staff recommends the Commission process the Application by Modified Procedure
IDECISION MEMORAND{.II\4
with a comment deadline of Novemb er 14,20 I 8, and a reply comment deadline of Novernber 2 1 ,
2018.
COM1VflSSION DECISION
Does the Commission wish to issue a Notice of Application, Notice of Modified
Procedure, and Notice of Hearing that sets a November 7,2018, telephonic public hearing, a
November 14,2018, comment deadline, and a reply comment deadline of November2l,2OlS?
Deputy General
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2DECISION MEMORANDUM