20230905Decision Memo.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM

TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: CHRIS BURDIN
DEPUTY ATTORNEY GENERAL

DATE: SEPTEMBER 5, 2023

SUBJECT: IN THE MATTER OF THE APPLICATION OF AVISTA CORPORATION,
D/B/A AVISTA UTILITIES, REQUESTING AUTHORITY TO REVISE ITS
ELECTRIC AND NATURAL GAS BOOK DEPRECIATION RATES AND
AUTHORIZE DEFERRED ACCOUNTING TREATMENT FOR
DIFFERENCE IN DEPRECIATION EXPENSE; CASE NOS. AVU-E-23-02;
AVU-G-23-02.

On February 22, 2023, Avista Corporation, doing business as Avista Utilities
(“Company”), filed an application (“Application”) with the Idaho Public Utilities Commission
(“Commission”), for approval of a proposed change to electric and natural gas book depreciation
rates. The Company also requests that the Commission approve deferred accounting treatment if
allocated depreciation rates are not approved by all jurisdictions prior to September 1, 2023,
resulting in a difference between allocated depreciation expense included in Case Nos. AVU-E-
23-01 and AVU-G-23-01, and allocated depreciation expense ultimately approved in these
dockets. The Company requests that the Application be processed by Modified Procedure through
the use of written comments.
On March 15, 2023, the Commission issued a Notice of Application and Notice of
Intervention Deadline. Order No. 35709. No parties intervened. On April 27, 2023, the
Commission issued a Notice of Modified Procedure setting an August 8, 2023, comment deadline,
and an August 15, 2023, reply comment deadline. Order No. 35754.
On July 13, 2023, Commission Staff (“Staff”) and the Company participated in a settlement
conference. On August 1, 2023, Staff requested that the Commission vacate the existing comment
DECISION MEMORANDUM 2
deadlines until a Proposed Settlement was filed. On August 2, 2023, the Commission issued an
Order Vacating Comment Deadlines. Order No. 35874.
On August 29, 2023, the Company and Staff filed a Stipulation and Settlement (“Proposed
Settlement”), and a Motion for Approval.
STAFF RECOMMENDATION
Staff recommends that the Commission issue a Notice of Proposed Settlement and Notice
of Modified Procedure setting an October 26, 2023, comment deadline. Because all of the parties
to this case support the Proposed Settlement, Staff does not believe that a reply comment deadline
is necessary.
COMMISSION DECISION
Does the Commission wish to issue a Notice of Proposed Settlement and Notice of
Modified Procedure setting an October 26, 2023, comment deadline?

__________________________
Chris Burdin
Deputy Attorney General

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