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HomeMy WebLinkAbout20210427Notice_of_Application_Order_No_35019.pdfNOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35019 1 Office of the Secretary Service Date April 27, 2021 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION On March 29, 2021, Avista Corporation dba Avista Utilities (“Company”) applied for Commission approval to update costs and make administrative changes to the Company’s Electric Line Extension Schedule 51. The Company requested a May 15, 2021 effective date. The Commission now sets deadlines for interested persons to comment on the Application and for the Company to reply. The Commission also suspends the Company’s proposed effective date. NOTICE OF APPLICATION YOU ARE HEREBY NOTIFIED that the Company’s Schedule 51 incorporates the principle of average costing for electrical facilities commonly used to extend service such as transformers and conduit. These “Basic Costs” have a fixed and variable component, with the variable component stated on a cost-per-foot basis. The Company does not propose to change the average costing principle in this Application but proposes updates to the Basic Costs based on 2020 material and equipment costs. YOU ARE FURTHER NOTIFIED that the Company proposes to make the following updates: Present Proposed % Change Overhead Primary Circuit Fixed Cost $4,205 $4,677 11.20% Variable Cost $8.22 $9.17 11.60% Underground Primary Circuit Fixed Costs $1,934 $1,920 -0.70% Variable Costs $11.34 $10.01 -11.70% Underground Secondary Circuit Fixed Costs $428 $394 -8.00% IN THE MATTER AVISTA’S ANNUAL RATE ADJUSTMENT FILING FOR ELECTRIC LINE EXTENSION SCHEDULE 51 ) ) ) ) ) ) ) ) CASE NO. AVU-E-21-03 NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35019 NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35019 2 Variable Costs $10.47 $8.60 -17.90% Overhead Secondary Circuit Fixed Costs $1,732 $1,936 11.70% Overhead Service Circuit $3.74 $4.27 14.20% Underground Service Circuit $9.54 $8.43 -11.60% Overhead Transformer $2,242 $2,345 4.60% Padmount Transformer $3,546 $3,477 -1.90% YOU ARE FURTHER NOTIFIED that the Company states the proposed updates reflect updated primary, secondary, service, and transformer average costs. The Company states the proposed increases to its overhead rates are because its fixed costs to maintain the equipment necessary to perform this work have not changed but the equipment was used less in 2020. The Company states its proposal to decrease the underground rates is the result of an internal process improvement that changed how costs are assigned to a job. YOU ARE FURTHER NOTIFIED that the Company proposes to update its residential development costs to reflect the most current Construction & Material Standards and average construction costs as shown below: Residential Developments Present Proposed Total Cost per Lot $1,938 $1,772 Less: Service Cost $478 $422 Developer Responsibility $1,460 $1,350 Developer Refundable Payment $1,460 $1,350 Builder Non-Refundable Payment $38 ─ Allowance $1,900 $1,900 YOU ARE FURTHER NOTIFIED that the Company is not proposing to update the construction allowances in this case and states it will update the construction allowances following the conclusion of its next general rate case. YOU ARE FURTHER NOTIFIED that the Application is available for public inspection during regular business hours at the Commission’s office. These documents are also NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35019 3 available on the Commission’s web site at www.puc.idaho.gov. Click on the “ELECTRIC” icon, select “Open Cases,” and click on the case number as shown on the front of this document. YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held pursuant to the Commission’s jurisdiction under Title 61 of the Idaho Code and specifically Idaho Code §§ 61-501 to 61-503. YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted pursuant to the Commission’s Rules of Procedure, IDAPA 31.01.01.000 et seq. NOTICE OF SUSPENSION OF PROPOSED EFFECTIVE DATE YOU ARE FURTHER NOTIFIED that, given the public interest in having adequate time to comment on this case, the Commission finds it appropriate to suspend the Company’s proposed effective date of May 15, 2021 until July 1, 2021. See Idaho Code § 61-622(4). NOTICE OF MODIFIED PROCEDURE YOU ARE FURTHER NOTIFIED that the Commission has determined that the public interest may not require a formal hearing in this matter and will proceed under Modified Procedure pursuant to Rules 201 through 204 of the Idaho Public Utilities Commission’s Rules of Procedure, IDAPA 31.01.01.201 through .204. The Commission notes that Modified Procedure and written comments have proven to be an effective means for obtaining public input and participation. YOU ARE FURTHER NOTIFIED that persons desiring to state a position on this Application may file a written comment explaining why the person supports or opposes the Application. Persons who would like a hearing must specifically request a hearing in their written comments. Persons shall have until June 2, 2021 to file written comments. Comments must be filed through the Commission website or by e-mail unless computer access is unavailable. To comment electronically, please access the Commission’s home page at www.puc.idaho.gov. Click the “Case Comment Form” and complete the form using the case number as it appears on the front of this document. To file by e-mail, the customer must e-mail the comments to the e-mail addresses listed below. In addition to submitting the comments to the Commission Secretary, the customer must also e-mail the Company at the e-mail addresses listed below. If computer access is unavailable, then comments may be mailed to the Commission and Company at these addresses: NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35019 4 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, Idaho 83714 For Avista: David J. Meyer, Esq. Vice President and Chief Counsel for Regulatory & Governmental Affairs Avista Corporation P.O. Box 3727 MSC-27 1411 E. Mission Ave. Spokane, WA 99220-3727 David.Meyer@avistacorp.com Patrick Ehrbar Director of Regulatory Affairs Avista Utilities P.O. Box 3727 MSC-27 1411 E. Mission Ave. Spokane, WA 99220-3727 patrick.ehrbar@avistacorp.com YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by June 9, 2021. YOU ARE FURTHER NOTIFIED that if no written comments or protests are received within the time limit set, the Commission will consider this matter on its merits and enter its order without a formal hearing. If written comments are received within the time limit set, the Commission will consider them and, in its discretion, may set the same for formal hearing. O R D E R IT IS HEREBY ORDERED that the Company’s Application be processed by Modified Procedure, Rule 201-204 (IDAPA 31.01.01.201-.204). Persons interested in submitting written comments must do so by June 2, 2021. The Company must file any reply comments by June 9, 2021. IT IS FURTHER ORDERED that the Company’s proposed effective date of May 15, 2021 is suspended until July 1, 2021. See Idaho Code § 61-622(4). IT IS FURTHER ORDERED that parties should continue to comply with Order No. 34781, issued September 17, 2020. All pleadings should be filed with the Commission electronically and shall be deemed timely filed when received by the Commission Secretary. See NOTICE OF APPLICATION NOTICE OF MODIFIED PROCEDURE ORDER NO. 35019 5 Rule 14.02. Service between parties should also be accomplished electronically. Voluminous discovery-related documents may be filed and served on CD-ROM or a USB flash drive. DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 27th day of April 2021. PAUL KJELLANDER, PRESIDENT KRISTINE RAPER, COMMISSIONER ERIC ANDERSON, COMMISSIONER ATTEST: Jan Noriyuki Commission Secretary I:\Legal\ELECTRIC\AVU-E-21-03\Orders\AVUE2103_ntc app mod proc_ej