20030709Notice of Application Order No 29289.pdf

Office of the Secretary
Service Date
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
July 9, 2003
IN THE MATTER OF THE APPLICATION OF
UNITED ELECTRIC CO-OP, INC. AND THE
CITY OF BURLEY FOR AN ORDER
APPROVING A SERVICE TERRITORY
AGREEMENT PURSUANT TO IDAHO CODE
~ 61-333(1).
CASE NO. GNR-O3-
NOTICE OF APPLICATION
NOTICE OF MODIFIED
PROCEDURE
ORDER NO. 29289
On June 20, 2003 , United Electric Co-op, Inc. and the City of Burley filed an
Application for approval of a Service Territory Agreement pursuant to the Idaho Electric
Suppliers Stabilization Act (ESSA). United is the successor entity following the consolidation of
Rural Electric Company and Unity Light & Power. Both United and the City supply electric
service to their respective consumers in adjacent and contiguous service territories. Idaho Code
~ 61-332A(4).
NOTICE OF APPLICATION
The parties asked the Commission to approve their "Service Territory Agreement"
dated May 21 , 1985, and two subsequent "amendments" dated November 19, 19961 and May 6
2003, respectively. The 1985 Agreement and its subsequent amendments establish service
territories for each party. The Agreement and the amendments also recognize that the parties
serve customers located in the other party s service area. The Application states that the initial
Agreement and the two amendments were negotiated to settle and establish service territories
between the parties, to provide stability and safety in service to consumers, and to eliminate
duplication of services. Application at ~
The 1996 amendment provides that the City shall have the right to install its own
streetlights, pumps and other facilities for the delivery of city services located within United'
1 The flfst amendment (identified as Exhibit No.2) is actually a "Service Area Agreement" entered into between
Rural Electric Company and the City of Burley. As previously mentioned, United is the successor to Rural Electric.
This Agreement superseded a Service Area Agreement between Burley and Rural Electric dated June 6, 1988.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29289
service territory. Exhibit No. 2, ~ 8. United also agrees to deliver electrical service to the City'
facilities within United's service area.
THE ESSA
The purpose of the ESSA is to promote harmony among and between electric
suppliers furnishing electricity within Idaho. More specifically, the ESSA: (1) prohibits the
pirating" of consumers already served by another supplier; (2) discourages duplication of
electric facilities; (3) actively supervises certain conduct of electric suppliers; and (4) stabilizes
the territories and consumers served by such electric suppliers. Idaho Code ~ 61-332. Under the
ESSA, all agreements or contracts for the allocation of service territories or consumers shall be
filed with the Commission. Idaho Code ~ 61-333(1).
United and the City are defined as "electric supplier( s) "under the ESSA Idaho Code
~ 61-332A(2-4). Idaho Code~ 61-333(1) provides that any electric supplier may contract with
any other electric supplier for the purpose of "allocating territories, consumers, and future
consumers . .. and designating which territories and consumers are to be served by which
contracting electric supplier.This section further provides that the Commission may, after
notice and opportunity for hearing, "approve or reject contracts between cooperatives, ... (and)
between municipalities and cooperatives." The Commission "shall approve such contracts only
upon finding that the allocation of territories or consumers is in conformance with the provisions
and purposes of' the ESSA. Id.
NOTICE OF MODIFIED PROCEDURE
YOU ARE HEREBY NOTIFIED that Idaho Code ~ 61-333(1) reqUIres electric
suppliers to file all contracts that allocate service territories, consumers, or future consumers with
the Commission. This section further provides that the Commission shall approve all such
contracts if such contracts are in conformance with the provisions and purpose ofthe ESSA.
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.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this
Application may file a written comment in support or opposition with the Commission within
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29289
twenty-one (21) days from the service date of this Notice.The comment must contain a
statement of reasons supporting the comment. Persons desiring a hearing must specifically
request a hearing in their written comments. Written comments concerning this application shall
be mailed to the Commission and the Applicants at the addresses reflected below:
COMMISSION SECRETARY
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
WILLIAM A. PARSONS
PARSONS, SMITH & STONE, LLP
PO BOX 910
BURLEY, ID 83318
wparsons!g)pmtorg
Street Address for Express Mail:
Attorney for United Electric Co-op
472 WWASHINGTON ST
BOISE, ID 83702-5983 R. C. STONE
PARSONS, SMITH & STONE, LLP
PO BOX 910
BURLEY, ID 83318
rcstone~pmtorg
Attorney for City of Burley
These comments should contain the case caption and case number shown on the first page of this
document.
Persons desiring to submit comments via e-mail may do so by accessing the
Commission s home page located at www.puc.state.id.. Click the "Comments and Questions
icon, and complete the comment form, using the case number as it appears on the front of this
document. These comments must also be sent to the Applicants at the e-mail addresses listed
above.
YOU ARE FURTHER NOTIFIED that the Application in Case No. GNR-03-
can be reviewed at the Commission office and at the Commission s web site
www.puc.state.id.under the "file room" icon.
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 ~~ 61-332 and 61-333(1).
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission s Rules of Procedure, ID AP A 31.01.01.000 et seq.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29289
ORDER
IT IS HEREBY ORDERED that this Application be processed under Modified
Procedure. Persons interested in submitting written comments regarding this matter should do so
within 21 days of the service date of this Order.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
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day of July 2003.
PAUL KJELLA D R, PRESIDENT
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MARSHA H. SMITH, COMMISSIONER
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Commission Secretary
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NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29289