29096.doc

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION

IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR AN AMENDMENT TO THE COMMISSION’S ORDER NO. 28991 REGARDING SHORT-TERM BORROWING. )
)
)
)
)
)
CASE NO. IPC-E-02-01

ORDER NO. 29096

On August 1, 2002, Idaho Power Company filed an Application requesting an increase in the authorized amount of the Company’s short-term debt contained in Order No. 28991 issued March 28, 2002. More specifically, the Company requests that Order No. 28991 be temporarily amended to increase the authorized amount of short-term debt from $350,000,000 to $400,000,000 aggregate principal at any one time outstanding for the period of September 1, 2002 to October 15, 2002. Idaho Power requests that the Commission expeditiously consider this matter. Having fully considered the Application and the applicable laws, the Commission grants the Application as set out in greater detail below.
THE APPLICATION
The Company is planning to issue a new series of floating rate notes in the aggregate principal amount of $100 million. The Company proposes to issue the new series on September 3, 2002, and these notes will have a term of not more than twelve (12) months. Because of the timing of the issuance and the corresponding redemption of other outstanding short-term notes, the issuance of the new series of notes is projected to temporarily raise Idaho Power’s aggregate principal amount of short-term borrowing on September 3, 2002, to over $350 million. In other words, Idaho Power would exceed its authorized short-term borrowing by “a mere matter of hours or even minutes.” Application at 2. Consequently, the Company requests that the Commission temporarily increase its short-term borrowing authority from $350 million to $400 million aggregate principal amount at any one time outstanding for the period of September 1 through October 15, 2002.
The Application states that amending Order No. 28991 to increase the Company’s short-term borrowing authority for the requested period of time will “provide sufficient latitude to [Idaho Power] to accomplish the issuance of the notes and the redemption of existing notes on September 3, 2002, and provide a buffer period after the issuance and redemption to assure Applicant’s compliance with the short-term borrowing limitation set forth” in Order No. 28991. Application at 3. After October 15, 2002, the authorized aggregate principal amount for short-term borrowing at any one time would revert to $350 million.
The Application recites that Idaho Power will publish a notice of its requested increase in short-term borrowing in those newspapers of general circulation located in Idaho Power’s service area pursuant to the Commission’s Rule 141.08, IDAPA 31.01.01.141.08. Idaho Power also indicates in its transmittal letter that it will submit the $1,000 application fee to the Commission prior to the decision meeting scheduled for August 8, 2002.
Due to the timing requirement of Idaho Power’s proposed issuance of the new series of notes on September 3, the Company has requested that the Commission rule on this matter expeditiously. The Company further states that all other terms and conditions of Order No. 28991 shall remain in full force and effect and continue to bind Idaho Power.
FINDINGS OF FACT
Idaho Power Company is an electric public utility incorporated under the laws of the state of Idaho. The Company provides generation, transmission, and distribution services to approximately 370,000 customers in southern Idaho and eastern Oregon.
In Order No. 28991 issued March 28, 2002, the Commission authorized Idaho Power Company to issue or incur short-term debt of up to $350,000,000 aggregate principal amount at any one time outstanding up to and including March 31, 2003.
In the present Application, Idaho Power requests that Order No. 28991 be amended to increase the short-term debt of the Company from $350,000,000 to $400,000,000 aggregate principal at any one time outstanding for the period from September 1, 2002 through and including October 15, 2002. The Company’s Application notes that it plans to issue a new series of floating rate notes in the aggregate principal amount of $100,000,000. The Company proposes to issue these notes on September 3, 2002. Because of the timing of the issuance and the corresponding redemption of other outstanding short-term notes, the issuance of the notes on or about September 3, 2002, is projected to temporarily raise Idaho Power’s aggregate principal amount of short-term borrowing to over $350,000,000, established in Order No. 28991.
The Commission finds that all fees have been paid by Idaho Power in accordance with Idaho Code § 61-905. The Commission further finds that the Company has published a notice of its Application in newspapers of general circulation within its Idaho service area pursuant to Rule 141.08, IDAPA 31.01.01.141.08.
Based on the assertions contained in the Application, the Commission finds it reasonable to grant the temporary increase in the Company’s short-term borrowing authority. All of the other terms and conditions of Order No. 28991 shall remain in full force and effect and continue to bind Idaho Power.
CONCLUSIONS OF LAW
Idaho Power Company is an electric corporation within the definition of Idaho Code § 61-119 and is a public utility within the definition of Idaho Code § 61-129.
The Idaho Public Utilities Commission has jurisdiction over this matter pursuant to the provisions of Idaho Code §§ 61-901 et seq. and the Commission’s Rules of Procedure 141-150, IDAPA 31.01.01.141-150.
Pursuant to Idaho Code § 61-624, the Commission finds it reasonable to amend our prior Order No. 28991 to increase Idaho Power’s short-term borrowing authority from $350,000,000 to $400,000,000 for that period of time requested by the Company. All other terms and conditions of Order No. 28991 shall remain in full force and effect and continue to bind Idaho Power Company.
O R D E R
IT IS THEREFORE ORDERED that Idaho Power Company’s Application to amend Order No. 28991 be, and the same is hereby approved. Idaho Power Company is authorized to temporarily increase its short-term borrowing authority from $350,000,000 to $400,000,000 aggregate principal at any one time outstanding from the period from September 1, 2002 to and including October 15, 2002.
IT IS FURTHER ORDERED that Order No. 28991 is amended to reflect the temporary increase in the authorized amount of short-term debt.
IT IS FURTHER ORDERED that on October 16, 2002, the authorized aggregate principal amount of short-term debt for Idaho Power at any one time outstanding will revert to no more than $350,000,000.
IT IS FURTHER ORDERED that all other terms of conditions of Order No. 28991 remain in full force and effect and continue to bind Idaho Power Company.
IT IS FURTHER ORDERED that nothing in this Order and no provision of Title 61, Chapter 9, Idaho Code, or any act or deed done or performed in connection therewith shall be construed to obligate the State of Idaho to pay or guarantee in any manner whatsoever any security authorized, issued, assumed or guaranteed under the provisions of said Title 61, Chapter 9, Idaho Code.
THIS IS A FINAL ORDER. Any person interested in this Order (or in issues finally decided by this Order) or in interlocutory Orders previously issued in this Case No. IPCE0201 may petition for reconsideration within twenty-one (21) days of the service date of this Order with regard to any matter decided in this Order or in interlocutory Orders previously issued in this Case No. IPCE0201. Within seven (7) days after any person has petitioned for reconsideration, any other person may cross-petition for reconsideration. See Idaho Code § 61-626.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
day of August 2002.

PAUL KJELLANDER, PRESIDENT

MARSHA H. SMITH, COMMISSIONER

DENNIS S. HANSEN, COMMISSIONER

ATTEST:

Jean D. Jewell
Commission Secretary

vld/O:IPCE0201_dh

ORDER NO. 29096 1

Office of the Secretary
Service Date
August 8, 2002