20030620Application.pdf

:);::-(' :::-'
ril
\\_
vl_L.. ".1 :.. r" D
2003 JUN 20 AM 9: 02
. ':: : ,
",L,i...,"J
UTIL ; TIES. COrihlSSION
William A. Parsons
PARSONS , SMITH & STONE , LLP
137 West 13th Street
P. O. Box 910
Burley, Id 83318
Telephone: [phone]Fax: [phone]
Attorneys for United Electric Co-op, Inc.
(U N ITED\ApplicationSouthSide. wpd)
Kent Fletcher
FLETCHER LAW OFFICE
1200 Overland Avenue
P. O. Box 248
Burley, Id 83318
Telephone: [phone]
Fax: [phone]
Attorney for South Side Electric, Inc.
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
- ----- --------- -- --- -- --- -- - -- -- -- --- --- ----- - -- ---- --- ---
In the Matter of the Application of
United Electric Co-op, Inc. and
South Side Electric, Inc. for an Order
Approving a Service Territory
Agreement between the Applicants.
) Case No. ~~j!';,tl1~/tJ
APPLICA TION
----------------------------------------------------------
Pursuant to Rule 51 of the IPUCRP, and Idaho Code ~ 61-333 , United Electric
Co-op, Inc. ("United") and South Side Electric, Inc. ("South Side ) respectfully apply for
Commission approval of a Service Territory Agreement between United and South Side
APPLICATION - 1
on the grounds and for the following reasons:
On December 8 , 2000 , the Idaho Legislature, meeting in special session
amended the Idaho Electric Supplier Stabilization Act , ~~ 61-332 through 61-334B of the
Idaho Code. Idaho Code ~ 61-333 provides that any electric supplier may contract in
writing with another electric supplier for the purpose of allocating territories , consumers
and future consumers between electric suppliers and designating which territories and
consumers are to be served by which contracting electric supplier. The statute further
provides that the Commission shall , after notice and hearing review and approve or
reject such contracts between electric suppliers. This joint Application is filed with the
Commission for approval. Approval of the Commission of Service Territory Agreements
is necessary to comply with the purposes of the Electric Supplier Stabilization Act.
The Petitioners have for some time had a Territory Agreement between
them. Such Agreement predated the amendmentto Idaho Code ~ 61-333 , and therefore
United and South Side seek approval of the Commission of the existing Territory
Agreement. A copy of that agreement is attached as Exhibit 1.
The Agreement was negotiated between the parties in order to settle a
service territory between the parties, provide for stability of service with consumers, to
eliminate duplicating of services and to provide safety in the respective territories.
For the foregoing reasons and to fulfill the requirements of Idaho Code
333 United and South Side requestthe Commission, after notice and hearing, approval
of the Agreement pursuant to law.
APPLICATION - 2
DATED this day Of
APPLICATION - 3
2003.
PARSONS, SMITH & STONE , LLP
kuuL
William A. Parsons
Attorneys for United
137 West 13th Street
P. O. Box 910
Burley, Idaho 83318
FLETCHER LAW OFFICE
Kent Fletc er
Attorney for South Side
1200 Overland Avenue
O. Box 248
Burley, Idaho 83318
SERVICE AREA STABILIZATION AGREEMENT
AGREEMENT made this .&2 day of , 2003 , by and between
UNITED ELECTRIC CO-, INC. of 1331 21st Street, Heyburn , ID 83336
, ("
UNITED"
and SOUTH SIDE ELECTRIC, INC., of Box 69 , Highway 77 , Declo , ID 83323 ("SOUTH
SIDE"
RECITALS:
United and South Side are electric non-profit corporations organized
in the State of Idaho and distributing electric energy to their respective members.
The service areas of United and South Side , in part, are adjacent
and contiguous to each other.
The parties have , in recent years , had an oral understanding relative
to the respective service areas, however, the parties deem it appropriate to reduce their
respective understandings to this written Agreement and to have the same approved by
the Idaho Public Utilities Commission pursuant to Idaho Code ~ 61-333.
In consideration of the recitals, the covenants and conditions herein contained
and by statutory authority the parties agree:
TERRITORY DEFINED: All of the area outside of the red line on Exhibit
1 shall be the United territory ("UEC"). All lands within the red line shall belong to South
Side ("SS"). United shall serve all new customers in its defined area and South Side
shall serve all customers in its defined area.
EXISTING CUSTOMERS: To the extent that either party is currently
providing service to customers within the service area assigned to the other party by this
SERVICE AREA STABILIZATION AGREEMENT-
EXHIBIT 1 to Application
United/South Side
Agreement, said parties shall continue to serve said customer. United or South Side
shall not be required to withdraw from the service area allocated to the other, but the
right to continue to serve existing customers within the service area of the other party
shall not be construed to authorize extension of service to new customers within the
service area allocated to United and South Side by this Agreement, attached as Exhibit
2 is a list of the four customer currently served by United in the South Side service area.
CAPTIONS The captions of the paragraphs of this Agreement are for
identification purposes only and the captions shall not be construed to define or limit the
express provisions of the respective paragraphs.
ATTORNEY FEES The prevailing party in any action arising under this
Agreement shall be entitled to reasonable attorney fees and costs in addition to all other
relief afforded by the court.
OTHER CUSTOMERS Nothing contained herein shall prohibit the parties
from entering into a written agreement to permit the service of a new customer by party
whose distribution system is located in the service area ofthe other, if the new customer
can be served more efficiently and safely from the existing service lines of the other party
or by the extension of existing service lines. Such agreement shall be in writing,
authorized by the respective governing board of each party, and when executed shall be
appended to this Agreement. The entering into such agreement is discretionary with
either party and neither party shall have the right of action against the other for the
exercise of such discretion.
TERM:This Agreement shall remain in full force and effect so long as
each of the parties shall continue to operate as electric suppliers under their present
SERVICE AREA STABILIZATION AGREEMENT - 2
form of ownership. In the event either party should terminate operations as an electric
supplier, the boundary lines established by the respective service area shall remain in
effect as to the successors in interest. In the event either or both parties merge
consolidate, sell or otherwise become a different entity this Agreement shall nevertheless
remain in full force and effect as to the successor in interest of the respective parties.
EFFECTIVE DATE : This Agreement shall be effective upon its execution
by the respective parties and approval by the Idaho Public Utilities Commission. When
so executed and approved a copy shall be recorded in the office of the County Record
County of Cassia , State of Idaho.
ENTIRE AGREEMENT & MODIFICATION : This Agreement constitutes
the entire understanding of the respective parties.All prior negotiations and
understandings are deemed merged herein. This Agreement may only be modified in
writing executed by the authorized officers of the parties and approved by the Idaho
Public Utilities Commission.
IN WITNESS WHEREOF the parties have executed this Agreement the day and
year first above written.
UNITED ELECTRIC CO-, INC.
By
Ron Osterhout, President
QCT
Duane Blauer, President
SERVICE AREA STABILIZATION AGREEMENT - 3
STATE OF IDAHO
County of C A9; 1 It
) ss
On this dayof ' in the year 2003 , before me , the
undersigned , a Notary Public in and fo said State , personally appeared RON
OSTERHOUT, known or identified to me to be the President of United Electric Co-op,
Inc., the corporation that executed the instrument or the person who executed the
instrument on behalf of said corporation , and acknowledged to me that such corporation
executed the same.
~~ ;
~;~~t
NOTARY PUBLIC
STATE OF IDAHC
STATE OF IDAHO
County of
) ss
On this 3O~ay of YYJ~' in the year 2003 , before me , the
undersigned , a Notary Public in and for said State, personally appeared DUANE
BLAUER, known or identified to me to be the President of SOUTH SIDE ELECTRIC
INC., the corporation that executed the instrument or the person who executed the
instrument on behalf of said corporation , and acknowledged to me that such corporation
executed the same.
iJA /1dL
Not~~ PUbli Idaho
Residing at Vttits /C(
My Commission Expi s: (fJ t';/ , ;) tJ. .J., CJ 0--3
(U N ITED\SouthSideAg r. wpd)
SERVICE AREA STABILIZATION AGREEMENT - 4
MAP
CO NFID E NTIAL
NAMES & ADDRESSES
OF CUSTOMERS