28900_mod.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION OF
IDAHO POWER COMPANY FOR AN
ACCOUNTING ORDER AUTHORIZING
IDAHO POWER TO DEFER THE
EXTRAORDINARY COSTS ASSOCIATED
WITH INCREASED SECURITY MEASURES
IMPLEMENTED ON COMPANY PROPERTY
SINCE SEPTEMBER 11, 2001. )
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CASE NO. IPC-E-01-41

NOTICE OF APPLICATION

NOTICE OF
MODIFIED PROCEDURE

ORDER NO. 28900

On November 15, 2001, Idaho Power Company filed an Application requesting that the Commission issue an accounting order. More specifically, the Company requested that the Commission allow Idaho Power to defer and account for its “extraordinary” costs associated with implementing increased security measures since the terrorist attacks of September 11, 2001.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that Idaho Power states that it has increased security at its facilities and has retained a security consultant to advise the Company of additional security measures that may be warranted. Application at 2. The Application recites that the Company has added additional security guards and deployed additional surveillance equipment. For “obvious security reasons,” the Company does not desire to present more specific details of its increased security measures.
YOU ARE FURTHER NOTIFIED that Idaho Power proposes that the Commission issue an accounting order allowing the Company to defer in Account 182.3 (Regulatory Assets), with interest, its “extraordinary security costs incurred since September 11, 2001.” Id. at 3. The Company reported its ordinary security costs for the nine (9) months prior to September were approximately $11,000 per month. Id. The Company proposes that extraordinary security costs over and above the $11,000 per month amount be deferred. The Company’s Application does not indicate the proposed amount of interest associated with the deferred account.
YOU ARE FURTHER NOTIFIED that the Company maintains that these extraordinary security measures “are needed to ensure the safety of its employees and to protect [Company facilities] used for the generation and transmission of electrical energy. The additional security measures implemented by the Company benefits all Idaho Power customers.” Id.
YOU ARE FURTHER NOTIFIED that the Company requests that this Application be processed under Modified Procedure. The Company also requests that this matter be processed on an expedited basis.
NOTICE OF MODIFIED PROCEDURE
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 if approved, creation of the deferral account is not to be construed as allowing the recovery of extraordinary security expenditures. The reasonableness of such deferred expenditures will be subject to Commission review before the Company is allowed to recover the security expenditures.
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 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 Applicant at the addresses reflected below:
Commission Secretary Larry D. Ripley, Senior Attorney
Idaho Public Utilities Commission John R. Gale, Vice President-Regulatory Affairs
PO Box 83720 Idaho Power Company
Boise, Idaho 83720-0074 PO Box 70
Boise, ID 83707-0070
Street Address for Express Mail:

472 W. Washington Street
Boise, Idaho 83702-5983

These comments should contain the case caption and case number shown on the first page of this document.
YOU ARE FURTHER NOTIFIED that if no written comments are received within the time limit set, the Commission will consider this matter on its merits and enter its Order without a formal hearing. If written comments are received within the time limit set, the Commission will consider them and, in its discretion, may set the same for formal hearing.
YOU ARE FURTHER NOTIFIED that the Application is available for public inspection during regular business hours at the Commission’s 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.
O R D E R
IT IS HEREBY ORDERED that this matter be processed under Modified Procedure pursuant to the Commission’s Procedural Rules 201 through 204, IDAPA 31.01.01.201-.204. Persons interested in submitting comments in this matter must do so within 21 days from the service date of this Order. Comments shall be filed with the Commission and the Applicant at the addresses reflected in the body of this Order.

DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this
day of November 2001.

PAUL KJELLANDER, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

DENNIS S. HANSEN, COMMISSIONER

ATTEST:

Jean D. Jewell
Commission Secretary

bls/O:IPCE0141_dh

NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 28900 1

Office of the Secretary
Service Date
November 21, 2001