20030728Notice of Application Order No 29304.pdf

Office of the Secretary
Service Date
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
July 28, 2003
IN THE MATTER OF THE APPLICATION OF
THE CITY OF HEYBURN AND RIVERSIDE
ELECTRIC COMPANY FOR AN ORDER
APPROVING A SERVICE TERRITORY
AGREEMENT PURSUANT TO IDAHO CODE
~ 61-333(1).
CASE NO. GNR-03-
NOTICE OF APPLICATION
NOTICE OF MODIFIED
PROCEDURE
ORDER NO. 29304
On July 3 , 2003, the City of Reyburn and Riverside Electric Company filed an
Application for approval of their "Service Area Stabilization Agreement.Riverside is an
electric non-profit corporation organized under the laws of Idaho. The Electric Supplier
Stabilization Act (ESSA) requires that all contracts to allocate territories, consumers, and future
consumers be submitted to the Commission for its review. The City and Riverside are defined as
electric supplier(s)" under the ESSA. Idaho Code ~ 61-332A(2-4).
THE APPLICATION
The parties ' Service Area Stabilization Agreement is dated May 14, 2003. The
parties state in the Agreement that they had a pre-existing oral understanding relative to their
respective service areas and have now agreed to reduce these understandings to writing.
Agreement at ~ 1.3. As more specifically described in Exhibit A to their Agreement, Riverside
service territory generally is located north and east of the City s service territory. Each party
shall serve all new customers in their respective service territories. Id. at ~ 2.
The Agreement also provides that the parties will exchange two customers--one
from Riverside to the City and the other from the City to Riverside. /d. ~ 3; Exhibit C. The
Agreement states that these two customers have been contacted regarding the proposed transfer
and the "customers have expressed no objection to the change of electric provider.
. ..
Id. at ~ 3.
These customers will not be charged any connection or disconnection fee and all cost of the work
done to accomplish the change in service shall be borne by the parties. Id.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29304
The Agreement also notes that Riverside has acquired a 12.5 KV distribution line
owned by the City. /d. at ~ 4. The parties further agree that this line shall not be considered a
service line" for purposes of determining which electric supplier may serve a new consumer
pursuant to Idaho Code ~ 61-332C.
The parties assert that their Agreement comports with the purposes of the ESSA.
More specifically, their Agreement provides for stability of service to consumers, eliminates
duplication of services, and provides for the safety in their respective territories. Application at
~ 3.
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).
In proposing to exchange two existing customers, the parties in essence request an
exception" to the anti-pirating provision of the ESSA. See Idaho Code ~~ 61-332B and 61-
334B(1). Pursuant to /daho Code ~ 61-333B(1) the Commission may only grant an exemption to
the anti-pirating exception "upon finding that granting the request is consistent with the purposes
of (the ESSA).
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 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.61-334B.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29304
NOTICE OF MODIFIED PROCEDURE
YOU ARE HEREBY NOTIFIED that /daho 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 they are in conformance with the provisions and purposes of the ESSA. See also
Idaho Code ~ 61-334B.
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, IDAP A 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
twenty-one (21) days from the service date of this Order. 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
STEVEN A. TUFT
TUFT LAW OFFICES, P A
PO BOX 759
BURLEY, ID 83318
Email: tuftlawt0pmtorg
Street Address for Express Mail:
Attorney for the City of Heyburn
472 W WASHINGTON ST
BOISE, ID 83702-5983 GOODMAN & BOLLAR
PO BOX D
RUPERT, ID 83350
Attorneys for Riverside Electric
Comments pertaining to this application 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.us.Click the "Comments and Questions
icon, and complete the comment form, using the case number as it appears on the front of this
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29304
document. These comments must also be sent to the Applicants at the e-mail addresses listed
above, if available.
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, 61-333(1), and 61-334B.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be conducted
pursuant to the Commission s Rules of Procedure, IDAP A 31.01.01.000 et seq.
ORDER
IT IS HEREBY ORDERED that this Application be processed under Modified
Procedure. Persons interested in submitting written comments regarding this Application 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 :J..1t1-
day of July 2003.
~~
LJ
MARSHA H. SMITH, COMMISSIONER
ATTEST:
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NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 29304