20070424Attachments 1 and 2.pdf

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April 1 2006
Background
Idaho Power Company (Company) began offering the Low-income Weatherization Assistance (LlWA)
program in 1989 in conjunction with the State of Idaho s Weatherization Assistance Program. Through
the LlWA program, the Company provides supplementary funding to state designated Community
Action Partnership (CAP) agencies for the weatherization of homes occupied by qualified low-income
customers as well as buildings occupied by non-profit organizations. Currently, the Company
administers the program through five Idaho regional CAP agencies including Canyon County
Organization on Aging and Community Services (CCOA), Eastern Idaho Community Action
Partnership (EICAP), EI - Ada Community Action Agency (EI - Ada), South Central Community Action
Partnership (SCCAP), and South Eastern Idaho Community Action Agency (SEICAA). In January of
each year, the Company renews its contract with each agency detailing the funding allotment, billing
requirements and program guidelines for both qualifying homes and non-profit organizations.
LlWA has gone through several changes since its inception in 1989. Most recently, significant program
modifications were made in 2004 following the issuance of the Idaho Public Utilities Commission
(Commission) Order No. 29505 in May, 2004. In its Order, the Commission directed the Company to
increase annual funding for LlWA by $1 000 000 through June 2007. The Commission also directed
the Company to carry forward to the following year any unpaid funds; to negotiate with Community
Action Partnership Association of Idaho (CAPAI) regarding structural modifications to the program;
and to report annually on LlWA program activities in a separate document from the Company
. Demand-Side Management Annual Report.
Shortly after to the Commission issued its Order No. 29505 , the Company entered into discussions
with CAPAI and its member agencies to negotiate several modifications to the LlWA program. The
agreed upon program modifications were reviewed by the Energy Efficiency Advisory Group and
included in a report filed with the Commission on October 1 , 2005. The structural changes more
closely aligned the Company s program with the State of Idaho s Weatherization Assistance Program
specifications and allowed the CAP agencies to more effectively administer the program.
The Company signed new contracts with each of the CAP agencies effective August 1 , 2004. The new
contracts served to allocate the increased funding as well as to put into process the program
modifications. In addition to these contract modifications, the Company implemented several internal
changes rE!lated to program operation. The invoice payment process was automated and
enhancements were made to the Company s program database. A new program specialist primarily
dedicated to overseeing the operation of this program was hired in 2004. Also, in 2005 the program
was renamed Weatherization Assistance for Qualified Customers (WAQC) to provide more sensitivity
to customers with special needs.
This report responds to the Commission s reporting directive with the following sections:
Review of Weatherized Homes by County
Review of Measures Installed
Overall Cost-effectiveness
Customer Education
Plans for 2006
Review of Weatherized Homes by County
In 2004, the Company provided a total of $479 380 to Idaho CAP Agencies with $439 204 directly
funding energy efficiency measures and $40 177 funding the administration costs incurred by the CAP
agencies. An additional $16 284 was provided to the agencies for weatherization of building
structures occupied by non-profit organizations. In 2005, the Company provided a total of $1 ,243 001
to Idaho CAP agencies with $1 130 001 directly funding energy efficiency measures and $113 000
funding the agencies' administration costs. An additional $54 382 was provided to the agencies for
weatherization of buildings occupied by non-profit organizations in 2005. The total number of homes
weatherized in 2004 and 2005 were 290 and 565 respectively. There were four non-profit
weatherization projects in 2004 and five non-profit projects in 2005. Canyon County had the most
homes weatherized in 2004 at 65, and Ada County had the most homes weatherized in 2005 at 238.
This information is detailed in Tables 1 and 2.
In an effort to help the CAP agencies maximize the number of customers served under the program
the Company includes a provision in each of its contracts with the agencies specifying an annual
average project or job cost maximum. The CAP agencies are required to have a year-end job cost
average that is less than , or equal to, the average job cost maximum stated in the contract. The
average job cost is calculated as the total annual cost of weatherization jobs excluding a 10%
administration fee, divided by the total number of jobs completed in the year. In 2004, the contracted
maximum average job cost was $2 000; in the 2005 contracts it was increased to $2 060. However
based , on requests from agencies, the average job cost maximum was again increased in May 2005 to
200. For 2004, SCCAP had the lowest average job cost at $1 214 and EI - Ada had the highest
with $1 978. The overall average job cost amongst all CAP agencies in 2004 was $1 514 excluding
non-profit job costs. The overall job cost average in 2005 was $2 000; with SCCAP again having the
lowest average cost at $1 549 and EI - Ada again having the highest average job cost at $2 221
which exceeded the average job cost maximum. In early 2006, the Company began working with EI-
Ada to assist the agency in monitoring its average job cost.
Prior to program restructuring in August 2004, the Company paid $75 per job to help offset the
administration costs incurred by the CAP agencies. As part of the program restructuring, the
Company agreed to pay all CAP agencies an administration cost equivalent to 10% of the cost for
each job. This change was part of the effort toward aligning the Company s program with the State of
Idaho s Weatherization Assistance Program specifications. The average administration cost per
project in 2004 was $139 and in 2005 it was $200.
Table 1. 2004 Weatherization Activity - Customer Dwellings and Non-Profit Agencies
Measure Expense Administration'Total
# of Total All Jobs Average Job
Jobs Expense Cost per Unit Expense Expense
Customer DwellinQ Units
Agency County
CCOA Adams $4,188 094 $419 607
Boise $21 257 $1,932 $2,087 $23,344
Canyon $96 004 477 753 $104,757
Gem 930 $1,386 $699 630
Payette 287 $572 $300 $2,587
Valley $3,726 $931 $373 099
Washington 566 783 $357 $3,923
CCOA TOTAL $137,958 483 $12,988 $150,945
EICAP lemhi $7,705 541 $734 439
EICAP TOTAL $7,705 $1,541 $734 $8,439
EI - ADA Ada $102 606 $1.973 296 $111 902
Elmore $15;851 264 585 $17,436
Owyhee $12,092 727 138 $13 231
EI-ADA TOTAL $130,549 $1,978 $12,019 $142,569
SCCAP Blaine
Cassia $2,044 $2,044 $204 $2,249
Gooding $10.392 $866 039 $11,431
Jerome $25 677 $1,975 $2,184 $27 861
Lincoln
Minidoka
Twin FaUs $62 652 099 584 $68,236
SCCAP TOTAL $100,766 214 $9,011 $109,776
SEICAA Bannock $34 730 447 978 $37,708
Bingham $17,051 $1,421 $1,401 $18,452
Power $10 446 $1,492 045 $11,490
SEICAA TOTAL $62,227 $1,447 424 $67,651
Total Customer Dwelling Units 290 $439,204 $1,514 $40,177 $479 380
Non-Profit Units
Lemhi $520 $52 $572
Lincoln 577 $958 $10 535
Twin Falls 578 $75 653
Bannock 525 525
Total Non-Profit Units $15,200 $1,085 $16,284
TOTAL 2004 - All Units 294 $454 404 546 $41,261 $495,664
Please note that the numbers presented in the tables as whole units may not add due to rounding of
fractional values not shown.
Table 2. 2005 Weatherization Activity - Customer Dwellings and Non-Profit Agencies
Measure Expense Administration Total
# of, Total All Jobs Average Job
Jobs Expense Cost per Unit Expense Expense
Customer Dwellinq Units
Agency County
CCOA Adams 544 363 $954 $10 498
Boise $14 587 917 459 $16,046
Canyon $153 106 $2,015 $15 311 $168,417
Gem $11,475 913 148 $12,623
Payette $20 028 $2,225 003 $22,031
Valley 857 929 $386 243
Washington 382 127 $338 $3,720
CCOA TOTAL 108 $215,980 000 $21,598 $237,578
EICAP Lemhi $11 625 661 163 $12,788
EICAP TOTAL $11,625 $1,661 $1,163 $12,788
EI-ADA Ada 238 $519,808 $2,184 $51,981 $571 788
Elmore $51 873 594 $5,187 $57,061
Owyhee $65 635 263 563 $72,198
El - ADA TOTAL 287 $637 316 $2,221 $63,732 $701 048
SCCAP Blaine 004 004 $200 $2,204
Cassia 388 $2,694 $539 $5,926
Gooding $24 874 $711 $2,487 $27,362
Jerome $45 571 688 557 $50 128
Lincoln 153 038 $815 $8,968
Minidoka $7,986 $2,662 $799 $8,785
Twin Falls $65 571 $2,115 $6,557 $72,128
SCCAP TOTAL 103 $159,546 $1,549 $15,955 $175,501
SEICAA Bannock $57.899 $1,654 790 $63,689
Bingham $38 586 $1,929 $3,859 $42,445
Power 048 810 $905 952
SEICAA TOTAL $105 533 $1,759 $10,553 $116,087
Total Customer Dwelling Units 565 130,001 $2,000 ' $113,000 $1,243,001
Non-Profit Units
Ada $13 759 376 $15,135
Owyhee $15 290 $1,529 $16,820
Cassia 404 $840 $9,244
Twin Falls 746 $475 $5,221
Bannock $7,239 $724 $7.963
Total Non-Profit Units $49,438 $4,944 $54 382
TOTAL 2005 - All Units 570 179,439 $2,069 $117,944 $1,297,383
In compliance with the Commission s Order No. 29505, unpaid weatherization assistance funds are
tracked and unspent funds carried over and made available to CAP agencies in the following year.
Table 3 details, for each CAP agency, the contract funding amount, the contract funding amount plus
any carryover funding, and the actual and estimated spending for the years 2004 through 2006.
Table 3. 2004-2006 Base and Carryover Funding
2004 CONTRACT YEAR (1/1/04-12/31/04)
AGENCY
CCOA
EICAP
EL-ADA
SCCAP
SEICAA
NON-PROFIT
Total 2004
, 2004 Base
FundinQ
$198 551
$8,439
$367 709
$110 449
$74,470
$36,250
$795,868
2004
ExDense
$150,945
$8,439
$142 569
$109,776
$67,651
$16,284
$495,665
2005 CONTRACT YEAR (1/1/05-12/31/05)
2005 BASE CARRYOVER BASE PLUS 2004 2005
AGENCY FundinQ FROM 2004 CARRYOVER ExDense
CCOA $302 259 $25 606 $327 865 $237,578
EICAP $12,788 $12 788 $12 788
EL-ADA $568,479 $225 140 $793,619 $701 048
SCCAP $167 405 $22 673 $190,078 $175,501
SEICAA $111 603 $6,819 $118,422 $116 087
NON-PROFIT $50 000 $19,965 $69 965 $54 382
Total 2005 $1,212,534 $300,203 $1,512,737 $1,297,383
2006 CONTRACT YEAR (1/1/06-12/31106)
2006 BASE CARRYOVER BASE PLUS 2005 2006 Budgeted
AGENCY FundinQ FROM 2005 CARRYOVER ExDense
CCOA $302 259 $90,287 $392 546 $392 546
EICAP $12 788 $12 788 $12 788
EL-ADA $568,479 $92,571 $661 050 $661 050
SCCAP $167 405 $14 577 $181 982 $181,982
SEICAA $111 603 $2,335 $113 938 $113 938
NON-PROFIT $50 000 $15,583 $65 583 $65,583
Total 2006 $1,212,534 $215 354 427 888 $1,427,888
In 2004, SCCAP requested a transfer of $22 000 to complete additional weatherization jobs. CCOA
agreed to transfer requested funds to SCCAP in anticipation of not meeting their budgeted
allotment for the Year.
Review of Measures Installed
Tables 4 and 5 detail the number of jobs, the average cost per building weatherized, and the kilowatt-
hour (kWh) savings by measure for 2004 and 2005, respectively. Consistent with the State of Idaho
Weatherization Assistance Program, the Company offers several measures that have costs but do not
save energy. Included in this category are such elements as health and safety, vents, furnace repair
and audits. Health and safety measures are necessary to ensure weatherization activities do not
cause unsafe situations in a client's home or compromise a household's existing indoor air quality.
The other non-energy savings measures are allowed under this program in order to help facilitate the
effective performance of those measures yielding energy savings. The measures with the most energy
savings in 2004 and 2005 were window and door replacements, ceiling and. floor insulation and
, infiltration measures.
Prior to the implementation of the Company s new invoicing process and database development in
October 2004, measure detail was available only on hard copy job sheets, minimizing analysis of
program transactions. Therefore, Table 4 simply provides aggregate costs and savings through the
third quarter of 2004. Detailed information is shown for the fourth quarter. Table 5 shows detailed job
measure data for the entire year. The kWh savings in 2004 were 1 397 595 and 3 179 312 in 2005.
Table 4. 2004 kWh Savings and Measure Expense (excluding Administration)
Measure Measure kWh
Activity Expense Savings
Januarv 1 - Seotember 30
Total for the Period $274,903 913,020
October 1 - December 31
Audit Investment 114 $7,422.
Ceilings $21 201.144
Doors $18,710.69,442
Ducts $1,463.294
Floors $47,957.73,474
Furnace Modify $435.737
Furnace Repair 855.
Furnace Replace $13,244.942
Furnace Tune 902.
Health & Safety 385.
Infiltration $15,287.995
Other $875.
Pipes $3,291.107
Vents $263.
Walls $124.946
Water Heater 109.991
Windows $40,979.208,503
Total for the Period $179 501 484,575
Total 2004 $454,404 397,595
Table 5. 2005 kWh Savings and Measure Expense (excluding Administration)
Measure Measure kWh
Actvity Expense Savings
January 1, 2005 - December 31,2005
Audit Investment 530 $49 758
Ceilings 326 $200 371 365,534
Doors 290 $138 980 573,508
Ducts $11 565 266
Floors 182 $156 827 263,545
Furnace Modify $22 276 418
Furnace Repair $13 108
Furnace Replace $114,759 188.461
Furnace Tune $2,901 769
Health & Safety 131 $15,408
Infiltration 420 $115 021 345 558
Other 938
Pipes 565 103
Roof
Vents 645
Walls $15 715 882
Water Heater 233 993 906
Windows 336 $303 609 233 362
Total 2005 179,439 179,312
Overall Cost-effectiveness
The Company maintains program cost-effectiveness by requiring all CAP agencies ensure that each
measure as well as each total job has a Savings to Investment Ratio (SIR) of 1.0 or greater. Under this
standard, those jobs with an SIR greater than 1.0 are deemed to be cost-effective by program
guidelines. In 2004 and 2005 all jobs were screened and met this cost-effective guideline. Meeting or
exceeding the guideline is a requirement for payment by Idaho Power. As mentioned earlier, by 2005
a detailed database was in place, providing the data for developing comparative SIR measures. The
total job SIR reflects the ratio of the total costs associated with the job, including measure costs that
have no kWh savings, to the value of the total kWh savings of that job.
Figure 1 below shows a frequency distribution and ~tatistical averages of 2005 SIR values. Note that
the figure shows SIR values between 1.0 and 9.0: to enhance the presentation value of the graph
Figure 1 limits the analysis of the SIR data to values between 1.0 and 9.0 resulting in one job being
excluded from the analysis (the excluded SIR value is 41.62). The frequency observations a
presented in 0.25 increments and the SIR values have been rounded to two significant digits. The
statistics show that generally the job activities of the program generate SIRs over 2.0 indicating a
significant margin of overall value for the program.
Figure 1. 2005 Weatherization Assistance for Qualified Customers Frequency Distribution
Frequency Distribution
2005 Idaho SIR Values
(For values :01.0 and 0(9.
(n=569)
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0 0.5 1.0 1.1.0 2.5 3.0 3.5 4.0 4.5 5.0 5.5 6.0 6.5 7.0 7.0 8.5 9
SIR Value
IMin: 1.01 I (bin Increments= 0.25)
Max: 8.
In addition to the costs previously shown on Tables 1 and 2, Idaho Power incurs costs for program
administration. In 2005, Idaho Power spent an additional $110 636 for program labor, programming
and marketing costs. The overalilevelized cost of this program, including all funds paid to CAP
agencies and internal administration costs, is $0.034 from both the Utility Cost and Total Resource
Cost perspectives.
Customer Education
The Company provides materials to each CAP agency to assist in the education of special needs
customers who receive weatherization assistance. Included in this material is an Energy Planner that
provides information about tracking energy use, how to read a meter, electricity-related terms, and
energy conservation tips. Also included is an Energy Calculator that helps customers track which
, home appliances use the most energy and the estimated cost of that energy use. Stickers are
included to remind customers where they can save energy in their home. Furthermore, each fall, the
Company distributes Energy Assistance brochures to all customers describing the program including
qualification and application guidelines. A separate Weatherization Assistance for Qualified
Customers brochure has been developed for use at fairs and other events.
The Company actively informs customers about this program through energy, health , and senior fairs
each year. In addition, the Company has sponsored Energy Assistance Resou~ce Symposiums in both
2004 and 2005 where this program was discussed.
Plans for 2006
Based on the average cost for each project, the Company estimates 597 homes will be weatherized in
2006 providing the CAP agencies are able to fully utilize their 2006 contract funding which will include
a carryover amount of $215 354 from 2005. Also in 2006, the CAP agencies will be operating under
the increased maximum average job cost of $2 304, and the Company is working with CAPAI to add
compact fluorescent lighting as a new energy saving measure beginning later in the year. The
Company also plans to continue to work with CAPAI and individual CAP agencies to evaluate the
need for additional program changes.
IPC- E-07 -
APPLICATION,
ATTACHMENT
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Weameri~ilon A~Bffin~
for Qualified Customers
2006 Annual Report
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April?, 2()()7
Description
Weatherization Assistance for Qualified Customers 0NAQC) is a program that provides financial
assistance to regional Idaho Community Action Partnership (CAP) agencies throughout Idaho Power
service territory to help cover the cost for weatherization of electrically heated homes of qualified
customers with limited income. The WAQC program also provides a limited pool of funds for
weatherization of buildings occupied by non-profit organizations serving primarily special needs
populations regardless of heating source, with priority given to those buildings with electric heat.
Weatherization improvements enable residents to maintain a more comfortable, safe, and energy efficient
home and reduce their monthly electricity bills. Improvements are available at no cost to qualifying
applicants who own or rent their homes. These customers also receive educational materials and
efficiency ideas for reducing energy use in their homes. Interested customers are qualified by local CAP
agencies that use federal and state guidelines annually to qualify residents for energy assistance.
Background
Idaho Power Company (the Company) began offering Weatherization Assistance in 1989 in conjunction
with the State of Idaho Weatherization Assistance Program. Through the WAQC program , the Company
provides supplementary funding to state designated CAP agencies for the weatherization of electrically
heated homes occupied by qualified customers and buildings occupied by non-profit organizations. Each
year, Idaho Power enters into an annual agreement with each CAP agency in which the funding
allotment, billing requirements, and program guidelines are detailed. Currently, the Company administers
the program in Idaho through five regional CAP agencies including Canyon County Organization on Aging
and Community Services (CCOA), Eastern Idaho Community Action Partnership (EICAP), EI - Ada
Community Action Partnership (EI - Ada), South Central Community Action Partnership (SCCAP), and
South Eastern Idaho Community Action Agency (SEICAA).
WAQC has gone through significant changes since its inception in 1989. Most recently, significant
program modifications were made in 2004 following the issuance of the Idaho Public Utilities
Commission s Order No. 29505 in May, 2004 . These program changes more closely aligned the WAQC
program with the State of Idaho s Weatherization Assistance Program specifications and allowed the CAP
agencies to more effectively administer the program. In 2006 the WAQC program was again revised to
include the installation of Compact Fluorescent Light (CFL) bulbs as an additional energy savings
measure. In addition, in order to align the Company's WAQC program with changes made to the State of
Idaho Weatherization Program , and at the request of the CAP agencies, Idaho Power increased the
annual average job payment twice, first on January 1 and again on October 1.
This report responds to the Commission s annual reporting directive with the following sections:
Review of Weatherized Homes by County
Review of Measures Installed
Overall Cost-Effectiveness
Customer Education and Advocacy
Plans for 2007
Review of Weatherized Homes by County
In 2006, the Company provided a total of $1 344 050 to Idaho CAP agencies with $1 186 191 directly
funding energy efficient and health and safety measures for qualified customers' homes (production
costs), $35,673 directly funding energy efficient measures for non-profit buildings, and $122 186 funding
the administration costs incurred by the CAP agencies. The total number of homes weatherized during
the year was 538. Two non-profit buildings were also weatherized during 2006. EI-Ada Community
Action Partnership Agency completed the most jobs by weatherizing 259 homes of which 242 were
located in Ada County. The average cost per home of the 242 homes weatherized in Ada County was
311. South Central Community Action Partnership completed the second most jobs by weatherizing
68 homes in Twin Falls County at an average cost per home of $1 863. Camas, Minidoka, and Lincoln
Counties all ben~fited from the program this year with one home each from Camas and Minidoka '
Counties and two homes from Lincoln County being weatherized. In Canyon County, CCOA
weatherized 67 homes with an average production expense of $2 399.
1 See "2004 & 2005 Annual Report: Weatherization Assistance for Qualified Customers" dated April 1
2006 for details on the program changes made in 2004 and 2005.
Table 1 reviews the number of projects, production costs , average cost per home, administration
payments, and total payments made by county.
Table 1. 2006 Weatherization Activity - Customer Dwellinas and Non-Profit Aaencies
WEATHERIZATION ASSISTANCE FOR QUALIFIED CUSTOMERS
2006
Weatherization Activities and Expenditures By Agency and County
Average
Total Payment Cost per Total Payment
# of without Home Administration IncludingJobsAdministration Costs Served Payment Administration Costs
Customer Dwellinq Units
Aaency County
CCOA Adams 332 666 $533 865
Boise $14 903 129 $1,490 $16 394
Canyon $160 753 399 $16,075 $176 828
Gem $17 513 502 751 $19,264
Payette $29 766 706 $2,977 $32,743
Valley 774 387 $477 $5,251
Washington 846 423 $285 $3,131
CCOA TOTAL $235,888 $2,407 $23,589 $259,476
EICAP Lemhi $20 716 $2,302 072 $22 788
EICAP TOTAL $20,716 302 072 $22 788
EI - ADA Ada 242 $559 240 311 $55,924 $615,164
Elmore $15 755 626 575 $17 330
Owyhee $25 960 $2,360 596 $28 556
EI - ADA TOTAL 259 $600,955 320 $60,095 $661 050
SCCAP Camas 246 $2,246 $225 $2,470
Cassia 607 $4,607 $461 068
Gooding $26,059 $841 606 $28,665
Jerome $53,600 680 360 $58 960
Lincoln 036 018 $804 840
Minidoka $3,846 846 $385 231
Twin Falls $126,658 863 $12 666 $139,324
SCCAP TOTAL 124 $225 052 815 $22 505 $247,557
SEICAA Bannock $59 128 112 $5,913 $65 041
Bingham $30 181 $2,744 018 $33,199
Power $14,271 $1 ,586 427 $15,698
SEICAA TOTAL $103,580 $2,158 $10 358 $113,938
Total Dwelling Units 538 $1,186,191 $2,205 $118,619 $1,304,811
Non-Profit Units
Twin Falls $35 673 $3,567 $39 241
Total Non-Profit Units $35,673 567 $39,241
GRAND TOTAL 2006 540 221,865 $122 186 $1,344 051
Note: Numbers presented in the tables may not sum due to rounding.
In an effort to help the CAP agencies maximize the number of customers served under WAOC , the
Company includes a provision in each of its contracts with the agencies specifying an annual average
project or job cost maximum. The Company aligns the job cost maximum with the State of Idaho
Weatherization Program. The CAP agencies are required to have a year-end job cost average that is less
than , or equal to, the average job cost maximum stated in the agreement. The average job cost is
calculated by dividing the total annual production costs of homes weatherized per agency by the total
number of jobs completed during the year by that agency. There is no job average limit for
weatherization of non-profit buildings. In 2006, the contracted maximum average job cost for the first nine
months was $2 304 per home. In October the annual average amount allowed per home was increased
to $2 826. During the first 9 months of 2006, where an average of 304 per job was allowed, the
agencies together averaged $2 193 per job. After October when the average was increased to $2.826
per job, the agencies together averaged $2 278 per job. For the year, the average production cost per
home was $2 205.
Prior to program restructuring in 2004, the Company paid $75 per job to help offset the administration
costs incurred by the CAP agencies. As part of the program restructuring, the Company agreed to pay all
CAP agencies an administration cost equivalent to 10% of the amount funded by the Company for each
job. The average administration cost per project in 2006 was $220.
In compliance with the Commission s Order No. 29505, weatherization assistance funds are tracked and
unspent funds carried over and made available to CAP agencies in the following year. Funds may also
be transferred from one agency to another to fund shortfalls in allotted funds. In 2006, a total of $215,354
was carried forward from 2005 and a total of $80,000 was transferred between agencies. Table 2 details
the contract funding base amount, any carryover funding, the total amount of annual funding available
and interagency fund transfers, for 2004 through 2006 by agency. Table 2 also details the funding levels
available to the agencies for 2007 (the funding levels detailed assume continued funding at the level
approved by the Commission effective June 1 2004).
Table 2. Base and Carryover Funding
WEATHERIZATION ASSISTANCE FOR QUALIFIED CUSTOMERS
AGENCY
CCOA
EICAP
EL-ADA
SCCAP
SEICAA
NON PROFIT
INCLUDES MONTHS OF
NEW FUNDING LEVEL
TOTAL 2004 2004
ALLOTMENT EXPENSE
$176 551' $150,945439 $8,439
$367 709 $142 569
$132 449* $109,776
$74,470 $67 651
$36.250 284
$795,868 $495,665
CAP
AGENCY
DOLLAR
TRANSFERS
(S22.000i
$22 000
2005 BASE CARRYOVER TOTAL 2005 2005AGENCYFUNDINGFROM 2004 ALLOTMENT EXPENSE
CCOA)$302 259 $25,606 $327 865 $237 578
EICAP $12 788 $12 788 $12 788
EL-ADA $568,479 $225 140 $793 619 $701,048
SCCAP $167 405 $22,673 $190 078 $175 501
SEICAA $111 603 819 $118,422 $116,087
NON PROFIT 000 965 965 382
$1,212 534 $300203 $1,512737 $1,297 383
2006 BASE CARRYOVER TOTAL 2006 2006AGENCYFUNDINGFROM 2005 ALLOTMENT,EXPENSE
CCOA $302 259 $90 287 $312 546'$259 477 (G;80,OOO)
EICAP $12 788 $22,788'$22 788 $10 000
EL-ADA $568,479 $92 571 $661 050 $661 050
SCCAP $167,405 $14 577 $251 982*$247 557 $70 000
SEICAA $113 938 $113 938
NON PROFIT $65 583 240
427 888 344 050
2007 BASE CARRYOVER TOTAL 2007FUNDING FROM 2006 ALLOTMENT
$302 259 $53,069 $355,328
$12 788 $0 $12 788
$568 479 $0 $568,479$167,405 $4,425 $171 830
$111 603 $0 $111 603
000 343 343
Totals $1 212 534 $83,837 $1 296 371
Total Allotment includes the addition of CAP Agency Dollar Transfer amounts.
AGENCY
CCOA
EICAP
EL-ADA
SCCAP .
SEICAA
NON PROFIT
Review of Measures Installed
Table 3 details the number of jobs, the average cost per building weatherized , and the kilowatt-hour
(kWh) savings by measure during 2006. Consfstent with the State of Idaho Weatherization Assistance
Program , the Company offers several measures that have costs but do not save energy. Included in this
category are such elements as health and safety, vents, furnace repair, and audits. Health and safety
5 .
measures are necessary to ensure weatherization activities do not cause unsafe situations in a client's
home or compromise a household's existing indoor air quality. The other non-energy savings measures
are allowed under this program in order to help facilitate the effective performance of those measures
yielding energy savings.
The total kWh savings for weatherized homes was 2 883 097 and 74 927 kWh savings for the two non-
profit jobs completed during the year. The total energy savings within Idaho from Weatherization
Assistance fot Qualified Customers during 2006 was 2 958,024 kWh.
Table 3. 2006 kWh Savinas and Measure Expense (excludina Administration)
WEATHERIZATION ASSISTANCE FOR QUALIFIED CUSTOMERS
2006
Measure Cost and kWh Savings
, January 1,2006 - December 31, 2006
Number of Measure Cost Without
Home Measures Jobs Administration kWh Savinas
Windows 302 $330 849 193,828
Doors 252 $129,849 458 307
Walls 041 231
Ceilinas 299 $178 087 288 510
Vents 320
Floors 189 $146,852 231 641
Infiltration 369 $104 773 239 821
Ducts $16,469 007
Health & Safety 117 $16 346
Other 131
Water Heater 225 $8,663 61,457
Pipes 157 369
Refriaerator $864 856
Furnace Tune 160 681
Furnace Modify $11 832 29,971
Furnace Repair $18 040
CFL $1,497 448
Furnace Replace 118 $195,597 290,971
Audit Investment 520 $48,664
TOTAL HOME JOBS 538 $1,186,191 883,097
Number of Measure Cost Without
Non Profit Measures Jobs Administration kWh Savings
Windows 376 721
Doors $5,070 222
Walls $19,996 45,362
Ceilinas $1,410 746
Infiltration $5,282 13,876
Health & Safety $641
Pipes $227
Furnace Repair $47
Audit Investment $624
TOTAL NON-PROFIT JOBS $35,673 74,927
TOTAL WEATHERIZATIONS
JOBS 540 $1,221 865 958 024
Overall Cost-Effectiveness
Idaho Power monitors overall cost-effectiveness by requiring each CAP agency to ensure that each
efficiency measure as well as each total job has a Savings to Investment Ratio (SIR) of 1.0 or better. The
total job SIR reflects all the measure costs associated with the job , including measure costs that have no
kWh savings, and compares that total cost to the benefit of the total kWh savings of that job. Under this
standard, those jobs with an SIR greater than 1.0 are deemed to be cost-effective. In 2006, all jobs met
this cost-effective criterion.
Figure 1 shows the frequency distribution of the 2006 jobs funded through W AQC. The frequency
observations are presented in 0.25 increments and the SIR values have been rounded to two significant
digits. The SIR values for these jobs ranged between 1.03 and 9.24.
Frequency Distribution
2006 Idaho SIR Values
n=540
100
;:..
0::1
::I
u..
0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.D 5.5 6.0 6.5 7.0 7.5 8.0 8.5 9.
Min: 1,SIR Value
I\!iax; 9.24
Figure 1. SIR Frequency Distribution
The figure shows the minimum (1.03) and maximum (9.24) SIR values as well as the mean (2.45),
median (2.12), and mode (1.75) of the distribution. The distribution , as expected, is skewed toward the
measur~s of central tendency. However, the close relationship between the median of 2.12 and the
mean of 2.45 indicate a fairly compact distribution of SIR values that are not overly influenced by the
higher scores in the distribution. Given the required SIR of at least 1., the minimum value of 1.03 in the
distribution and the mean of 2.45 indicate the projects conducted by the program continue to exceed the
cost effectiveness threshold.
In addition to the costs shown on Table 1 , Idaho Power incurs costs for administering this program. In
2006, Idaho Power incurred an additional $111 323 for labor, marketing, and support costs on this
program. The totallevelized cost of energy for this program is $0.037/kWh on a Utility Cost basis and
$0.056/kWh on a Total Resource Cost basis (including CAP agency and private participant costs)
Customer Education and Advocacy
The Company provides materials to each CAP agency to assist in the education of special needs
customers who receive weatherization assistance. Included in this material is the brochure "Practical
Ways to Manage Your Electricity Bill, and Energy Saving Tips" which describes energy conservation tips
appropriate for both the heating and cooling seasons. Included in the materials recently is a two-sided
card describing savings from the use of CFL bulbs and helpful hints about the bulbs. Stickers are
included to remind customers where they can save energy in their home. The educational information is
printed in Spanish as well as in large print for ease in reading by seniors. In addition to the materials
provided to the CAP agencies, the Company distributes Energy Assistance brochures to all customers
each fall describing the program including qualification and application guidelines. Idaho Power also
actively informs customers about this program each year through energy, health, and senior fairs.
Idaho Power takes an active role in advocating energy efficiency for special needs customers. The
Company periodically sponsors Energy Assistance Resource Symposiums where non-profit agencies are
encouraged to exchange ideas with utilities and CAP agencies on energy assistance available to
customers with limited income. In order to stay up-to-date with new energy assistance programs and
services , the program specialist overseeing W AQC attends state and federal energy
assistance/weatherization meetings and other weatherization specific conferences such as "Energy Out
Wesf' and "Joint low Income Energy Conferences . Idaho Power is also active in the Policy Advisory
Council helping advise and direct Idaho s state weatherization application to the United States
Department of Energy.
Plans for 2007
The Company will continue working in partnership with the Community Action Partnership Association of
Idaho, Inc. (CAPAI)2 as well as individual CAP agency weatherization personnel to maintain the targets
guidelines, and cost effectiveness of the WAQC program. In so doing Idaho Power will provide a
valuable service to the Company s special needs population. In order to maintain the current level of
funding, the Company plans to file a joint application with CAPAI in early 2007 requesting the
Commission authorize the continuation of the increased funding for WAQC, as initially approved in May,
2004 through Order No. 29505, beyond June 2007.
Based on historical averages , the Company estimates 467 homes and five non-profit buildings will be
weatherized in 2007. In total, the Company expects to fund $1 296,371 in weatherization measures and
administrative fees for 2007. The Company plans to continually evaluate the need for additional program
changes. As in years past, a minimum of five percent of all weatherization jobs submitted for
reimbursement will be audited. In addition, plans are underway for the Company to sponsor the 2007
Energy Assistance Resource Symposium this fall in partnership with CAPAI, state agencies, and other
utilities.
2 CAPAI is a non-profit organization that sponsors trainings and conferences and serves as an advocate
for CAP agencies before the Idaho Legislature.