20090218final_order_no_30733.pdf

Office of the Secretary
Service Date
February 18, 2009
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF NORTHERN LIGHTS, INc. FOR A
CERTIFICATE AUTHORIZING THE
ELECTRIC COOPERATIVE TO FORWARD
ITS UNCLAIMED DEPOSITS TO THE
COMMUNITY ACTION PARTNERSHIP
ORDER NO. 30733
CASE NO. CIO-09-
Section 14-508(1) of the Idaho Unclaimed Property Act reqUIres utilities with
unclaimed customer deposits to forward such deposits to the State s unclaimed property fund.
Idaho Code ~~ 14-508(1) and 14-519. However, a utility may instead forward its unclaimed
deposits to a "financial assistance program" if such a program is certified by the Public Utilities
Commission. The financial assistance agency may then use the unclaimed deposits to assist a
utility s low income or disadvantaged customers with their utility bills.Idaho Code ~ 14-
508(2).
On February 2, 2009, Northern Lights, Inc. filed a Letter Application seeking
certification" from the Commission that would allow it to provide its unclaimed deposits to a
financial assistance agency, the Community Action Partnership. Based upon our review of the
request, we certify that Northern Lights intends to participate in a financial assistance program to
assist the utility s low-income and disadvantaged customers with their utility bills.
THE APPLICATION
Northern Lights is a rural electric cooperative serving more than 19 000 customers in
northern Idaho, western Montana and northeast Washington. The co-op indicates in its Letter
Application that it has $3 500 in unclaimed deposits. Northern Lights desires to give these funds
to the Community Action Partnership (CAP). CAP is the local agency that administers the Low
Income Home Energy Assistance Program (LIHEAP) for northern Idaho. Once CAP receives
the unclaimed deposits, it can then designate those funds to Northern Lights' members who are
in need of financial assistance.
THE UNCLAIMED PROPERTY ACT
Idaho s Unclaimed Property Act is based upon the 1981 Uniform Unclaimed Property
Law published by the National Conference of Commissioners on Uniform State Laws. 1983
ORDER NO. 30733
Sess. Laws , Ch. 209 (codified at Idaho Code ~ 14-501 et seq.
).
The Unclaimed Property Act
generally provides that utility deposits that remain unclaimed for more than one year after
termination of service are presumed abandoned. Idaho Code ~ 14-508(1). Such unclaimed
deposits are then forwarded to the administrator of abandoned property (i., the State Tax
Commission). Idaho Code ~ 14-501(1).
In 1997 , the Legislature amended the Idaho Unclaimed Property Act so that utilities
could give abandoned customer deposits to a "financial assistance program" certified by the
Commission.1997 Sess. Laws, Ch. 399, ~ 5. Section 14-508(2) of the Idaho Unclaimed
Property Act provides:
The public utilities commission may certify that a utility is participating in a
financial assistance program which assists the utility s low income and
disadvantaged customer with their utility bills. Upon certification to the
(unclaimed property) administrator, the utility shall pay the funds which
would have been presumed to be abandoned under (section 14-508(1)) to the
financial assistance program certified by the public utilities commission
Idaho Code ~ 14-508(2)( emphasis added). The Unclaimed Property Act defines "utility" as a
person who owns or operates for public use any plant, equipment, property, franchise, or license
for . . . the production, storage, transmission, sale, delivery, or furnishing of electricity. . . .
Idaho Code ~ 14-501(15). The term "utility" does not distinguish between "public utilities
regulated by the Commission and other not-for-profit municipal or cooperative utilities not
regulated by the Commission.
The Staff recommended the Commission grant the request.
DISCUSSION AND FINDINGS
After reviewing the request and Staff s recommendation, we grant the request. As
Staff pointed out, the Commission usually does not exercise regulatory authority over an electric
cooperative pursuant to Idaho Code ~ 61-104. However, Section 14-508(2) of the Unclaimed
Property Act expressly provides that the Commission may certify that a "utility" is participating
in a financial assistance program for the benefit of its low-income and disadvantaged customers.
In both the Idaho and Uniform Unclaimed Property Acts the term "utility" does not
distinguish between public utilities subject to our jurisdiction and municipal or cooperative
utilities that are not subject to our jurisdiction. Unlike the Tax Code, the term "utility" in the
Unclaimed Property Act does not reference other sections of the Idaho Code. Cf Idaho Code
ORDER NO. 30733
63-201(16) (the term "public utility" are those utilities under the jurisdiction of the public
utilities commission). Consequently, we construe the word "utility" in Section 14-508(2) in a
broad fashion to include an electric cooperative that operates a utility plant for the furnishing of
electricity. In Idaho, undefined words in a statute are given their ordinary and "plain meaning.
Jones v. Health South Treasure Valley, Idaho _2009 WL 214714 (Idaho 2009).
Consistent with Idaho Code ~ 14-508(2), we find that it is in the public interest for
Northern Lights to forward its unclaimed deposits to the Community Action Partnership (CAP)
for the purpose of providing financial assistance to the cooperative s eligible members. We
further find that CAP is the local administrator for LIHEAP funds in northern Idaho. As such
we certify that CAP is a financial assistance program or agency designed to assist low-income
and disadvantaged customers of Northern Lights. We commend Northern Lights for taking this
action to assist its customers. We encourage other public utilities and electric cooperatives to
follow Northern Lights' lead.
ORDER
IT IS HEREBY ORDERED that Northern Lights' request is granted. We certify that
Northern Lights is participating in a financial assistance program which assists the cooperative
low-income and disadvantaged customers with their utility bills.
WE FURTHER CERTIFY that the Community Action Partnership is a financial
assistance program and it is the local administrator for LIHEAP funds in northern Idaho.
IT IS FURTHER ORDERED that Northern Lights shall pay its unclaimed customer
deposits which would otherwise presume to be abandoned under Idaho Code ~ 14-508(1) to the
Community Action Partnership. Northern Lights remains obligated to file its report of the
unclaimed deposits with the State Tax Commission as required by Idaho Code ~ 14-517.
IT IS FURTHER ORDERED that the Commission Secretary forward a copy of this
Order to the State Tax Commission, Unclaimed Property Program. The Secretary shall also
serve a copy of this Order on energy utilities and electrical cooperatives in Idaho.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order. Within seven (7)
days after any person has petitioned for reconsideration, any other person may cross-petition for
reconsideration. See Idaho Code ~ 61-626.
ORDER NO. 30733
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
day of February 2009.
MARSHA H. SMITH, COMMISSIONER
ATTEST:
bls/O:C IO-09-0 I dh
ORDER NO. 30733