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HomeMy WebLinkAboutappl.ntc.docBEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE JOINT APPLICATION OF IDAHO POWER COMPANY AND RAFT RIVER RURAL ELECTRIC COOPERATIVE, INC. FOR AUTHORITY TO SELL TO RAFT RIVER CERTAIN ELECTRIC DISTRIBUTION FACILITIES CURRENTLY OWNED BY IDAHO POWER COMPANY. ) ) ) ) ) ) ) ) CASE NO. IPC-E-00-17 NOTICE OF APPLICATION NOTICE OF RIGHT TO INTERVENE YOU ARE HEREBY NOTIFIED that on November 14, 2000, a Joint Application was filed by Idaho Power Company and Raft River Rural Electric Cooperative, Inc. requesting Commission approval of the sale by Idaho Power to Raft River of certain electrical distribution facilities in southern Owyhee County. Idaho Power is an electric utility subject to the regulation of the Commission pursuant to Title 61, Idaho Code. Raft River is a non-profit cooperative electric corporation providing retail electric service to approximately 8,200 customers in Idaho, Utah and Nevada. Raft River is not subject to regulation by the Commission. YOU ARE FURTHER NOTIFIED that Idaho Power currently provides electricity to customers in the towns of Jackpot, Jarbridge, Mountain City and Owyhee, all of which are located near the Idaho-Nevada border. The Application states that Idaho Power has determined to sell and transfer its Nevada retail distribution operations to Raft River. Accordingly, the Companies executed an asset purchase agreement dated October 23, 2000, by which Idaho Power agreed to sell to Raft River all of its distribution facilities and equipment in Nevada. The Application states that it is necessary to also transfer certain distribution facilities in Idaho that are used to serve approximately 90 Idaho Power retail customers in the state of Idaho. After the sale, the 90 Idaho customers would receive service from Raft River. YOU ARE FURTHER NOTIFIED that the Application states that, in order to facilitate the transition of customers from Idaho Power to Raft River, Idaho Power will provide Raft River with an interim power supply pursuant to a power supply agreement. The interim power supply would be for an initial term of approximately five years with one-year options thereafter. The power supply agreement is subject to the jurisdiction of the Federal Energy Regulatory Commission. YOU ARE FURTHER NOTIFIED that the purchase price to be paid by Raft River will be equal to the net book cost for electric plant and other electric assets as valued on Idaho Power’s books and records immediately prior to the closing date, together with prorated items and prepaid expenses. Under the asset purchase agreement, Idaho Power will sell and transfer to Raft River the distribution facilities and the pertinent rights-of-way and the personal property to serve approximately 1,250 Idaho Power customers in Nevada and approximately 90 customers in Idaho. The Application states that Raft River has the financial ability and experience to operate and maintain the assets to be transferred in the public service. YOU ARE FURTHER NOTIFIED that an electric public utility that owns, controls or operates any property located in Idaho, which is used in the generation, transmission or distribution of electric power must receive authorization from the Commission to transfer any such facility. See Idaho Code § 61-328. Pursuant to Idaho statute, the electric utility seeking to transfer property must establish that (a) the transaction is consistent with the public interest, (b) the cost and rates for supplying service will not be increased by reason of such transaction, and (c) the applicant for such acquisition or transfer has the bona fide intent and financial ability to operate and maintain said property in the public service. YOU ARE FURTHER NOTIFIED that the Application together with supporting workpapers, testimonies and exhibits, have been filed with the Commission and are available for public inspection during regular business hours at the Commission offices. 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 that the Commission may enter any final Order consistent with its authority under Title 61. YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted pursuant to the Commission’s Rules of Procedure, IDAPA 31.01.01.000 et seq. YOU ARE FURTHER NOTIFIED that persons desiring to intervene in this matter for the purpose of presenting evidence or cross-examining witnesses at hearing must file a Petition to Intervene with the Commission pursuant to this Commission’s Rules of Procedure 72 and 73, IDAPA 31.01.01.072 and -.073. Persons intending to participate at the hearing must file a Petition to Intervene on or before December 15, 2000. Persons desiring to present their views without parties’ rights of participation and cross-examination are not required to intervene and may present their comments without prior notification to the Commission or the parties. YOU ARE FURTHER NOTIFIED that all hearings will be conducted pursuant to the Rules of Procedure adopted by the Idaho Public Utilities Commission. IDAPA 31.01.01.000 et seq. DATED at Boise, Idaho this day of November, 00. Jean D. Jewell Commission Secretary vld/N:IPC-E-00-17_ws NOTICE OF APPLICATION NOTICE OF RIGHT TO INTERVENE ORDER NO.  1 Office of the Secretary Service Date December 1, 2000