HomeMy WebLinkAbout20240108Exhibit A.pdf
Avista Corp.
1411 East Mission P.O. Box 3727
Spokane, Washington 99220-0500
Telephone 509-489-0500
Toll Free 800-727-9170
January 3, 2024
Doug Elliott
General Manager & CEO
Kootenai Electric Cooperative, Inc.
2451 W. Dakota Ave.
Hayden, ID 83835
RE: Letter Agreement Allocating Service Area
Avista Corporation (“Avista”) and Kootenai Electric Cooperative, Inc. (“KEC”) (Avista
and KEC are sometimes referred to herein individually as a “party” and collectively as the
“parties”) are both electric suppliers that provide electric service within the State of Idaho. Avista
and KEC understand that a new development is planned in the Northeast Corner of Prairie Avenue
and Highway 41 in Post Falls, Idaho, as more fully described in Exhibit A (“Development”). Both
Avista and KEC have existing facilities in the area of the Development and, at least at this time,
it cannot be determined by proof whether Avista’s or KEC’s service line is nearest the new
service entrances. See Idaho Code § 61-332C(d). Accordingly, under the Idaho Electric
Supplier Stabilization Act (“Stabilization Act”), Avista and KEC have agreed to allocate
service territory within the Development between Avista and KEC, as outlined in Exhibit A. The
parties are entering into this Letter Agreement to (i) avoid unnecessary duplication of facilities;
(ii) avoid disputes between the parties as to which utility is entitled to provide service to new
service entrances within the Development; and (iii) provide consumers who locate their electric
service entrances on the Developers real property with the best possible service. Avista and KEC
each understand that the allocation of service territory set forth herein is subject to approval by the
Idaho Public Utilities Commission (“Commission”). See Idaho Code § 61-332C.
In consideration of the covenants and agreements herein contained, Avista and KEC agree
as follows:
1. Avista and KEC shall, subject to an order from the Commission approving the
allocation of service territory set forth in this Letter Agreement, each be entitled to extend their
facilities, to the exclusion of the other, within the territory allocated to it, as marked in Exhibit A
Kootenai Electric Cooperative, Inc.
Letter Agreement Allocating Service Area
January 3, 2024
Page 2 of 3
(which is attached hereto and incorporated herein), and to provide service to consumers who locate
new service entrances within such territory, specifically:
a. Avista’s service territory shall be Block Two Lots 11, 12, 13, 14 located
North of Prairie and East of Hwy 41 in the Commercial Tracts at Prairie Crossing Regional
Shopping Center as illustrated in Blue in Exhibit A.
b. KEC’s service territory shall be Block Two Lots 1, 2, 3, 4, 5, 6, 7, 8, 9, 10
located North of Prairie and East of Hwy 41 in the Commercial Tracts at Prairie Crossing
Regional Shopping Center as illustrated in Green in Exhibit A.
c. Block One Lots 1, 2, 3, 4, 5 shall be open to competition and governed by
the Idaho Stabilization Act and/or the Avista/KEC Development Agreement.
2. Avista and KEC shall provide line extensions and electric service within the
territory allocated to such party, as outlined on in Paragraph 1 and Exhibit A of this Letter
Agreement, pursuant to the provisions of its applicable line extension policies, rate schedules
and/or tariffs.
3. The parties' respective current electric service lines shown on Exhibit A, as well as
any line extensions external to the boundaries of the Development as outlined on Exhibit A, which
are required to reach existing infrastructures within the Development, and which are installed in
accordance with the Stabilization Act, may be used to determine future electric service rights to
new service entrances located in territory not allocated pursuant to this Agreement.
4. Any changes in lot lines, roadways or other boundaries within the Development
that occur after the date of this Agreement shall not constitute a change to this Agreement, and the
boundaries outlined on Exhibit A shall be used to determine the service territory of the respective
Parties within the Development.
5. Avista shall prepare and submit the application for an order approving the
allocation of service territory set forth in this Letter Agreement from the Commission and KEC
shall join in or otherwise cooperate in the application.
6. In the event the Commission does not approve the allocation of electric service
territory as set forth in this Letter Agreement, then this Letter Agreement shall be void ab initio,
and the parties agree to renegotiate in good faith an allocation agreement that is ultimately
acceptable to the Commission.
7. If approved by the Commission, this Agreement shall be binding upon the parties,
their successors, and/or their assigns.
Kootenai Electric Cooperative, Inc.
Letter Agreement Allocating Service Area
January 3, 2024
Page 3 of 3
8. Neither party shall be responsible for any obligation of the other party, including
any obligation committed to by the other party with regard to the Development prior to the date of
this Letter Agreement.
ACCEPTED AND AGREED TO:
AVISTA CORPORATION
___________________________
Patrick Ehrbar
Director of Regulatory Affairs
KOOTENAI ELECTRIC COOPERATIVE, INC.
______________________
Doug Elliott
General Manager & CEO
LOT 5
LOT 2
LOT 1
LOT 14
LOT 13
LOT 12
LOT 11
LOT 10LOT 8
LOT 9LOT 7LOT 5
LOT 6
LOT 3LOT 1
LOT 4
BLOCK ONE
BLOCK TWO
LOT 2
LOT 4
LOT 3
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CONSTRUCTION PLAN FOR THE COMMERCIAL TRACTS AT PRAIRIE CROSSING REGIONAL SHOPPING CENTER
LOCATED IN THE SOUTHWEST 14 OF SECTION 19, TOWNSHIP 51 NORTH, RANGE 4 WEST, BOISE MERIDIAN, POST FALLS, KOOTENAI COUNTY, IDAHO
100 0 100 200 40050
SOUTH LINE OF THE SOUTHWEST 1/4 OF SECTION19 PER ROS BOOK 27, PAGE 407.
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7432PROFESSIONAL ENGINEER
GORDON DOBLERSTATE OF IDAHO
REGISTERED
City of Post FallsApproval
City Engineer Date
Approved By:
ELECTRONIC COPYORIGINAL DOCUMENTS ON FILE ATFRAME & SMETANA, PA
SIGNED BY: GORDON DOBLERDATE: FEBRUARY, 2022
THE LOCATION OF ALL EXISTING UNDERGROUNDUTILITIES IS SHOWN IN AN APPROXIMATE WAY ONLY. THECONTRACTOR SHALL DETERMINE THE EXACT LOCATION
OF ALL EXISTING UTILITIES BEFORE COMMENCING WORK.HE AGREES TO BE FULLY RESPONSIBLE FOR ANY ANDALL DAMAGES WHICH MIGHT BE OCCASIONED BY HIS
FAILURE TO EXACTLY LOCATE AND PRESERVE ANY ANDALL UNDERGROUND UTILITIES.
CALL 48 HOURS BEFORE YOU DIG
NAVD 88 VERTICAL - NAD 83, 1992 ADJUSTMENT HORIZONTAL
DATUM
11/01/2211/01/2211/01/22
01/09/23
1/11/23