20170505Morrison Direct.pdf

BEFORE THE
IDAHO PUBLIC UTILITIES COMMISSION
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IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR A
CERTIFICATE OF PUBLIC
CONVENIENCE AND NECESSITY FOR
THE WOOD RIVER VALLEY.
CASE NO. rPC-E-16-28
DIRECT TESTIMONY OF MICHAEL MORRISON
IDAHO PUBLIC UTILITIES COMMISSION
MAY 5,2017
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O. Please state your name and address for the
record.
A. My name is Mike Morrison. My business address
is 472 West. Washingt,on Street, Boise, Idaho.
O. By whom are you employed and in what, capacity?
A. I am employed by the Idaho Public Utilities
Commj-ssion (Commission) as a Staff Engineer.
O. Please give a brief description of your
educatj-ona1 background and experience.
A. I recej-ved a Bachelor of Science degree in
Chemical Engineering from the University of Southern
California in l-983, a MasLer of Sc j-ence degree in
Me"chanj-cal Engineering from the Universit.y of fdaho in
2002, and a Doct.or of Philosophy 1n Geophysics with a
Civil Engineering emphasis from Boise Stat.e University in
20L4. I have been a registered professional engineer in
Idaho since L998. I at,tended the Electrical Utility
Basic Practical Regulatory Program offered by New Mexico
SEate University's Center for Public Utllities.
Between L988 and 2009, f held a number of
engineering positions at Micron Technology, fnc. From
1990 t,hrough 1-995, I was also a facilities engineer in
the Idaho Army National Guard. fn that capacity, I
oversaw the design, construction, repair, and maintenance
of facilit.ies and roads at Gowen Fie1d, the National
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Guard's Orchard Training Range, and other National Guard
facilit.ies in Southern Idaho.
I began work at the Idaho Public UtlliEies
Commission i-n 2014.
O. What is the purpose of your testimony?
A. I will discuss Ehe costs and benefits of the
Company's proposed redundant 1ine, and the need for a
paraIIeI line to facilitate repairs on the existing Iine.
I will also discuss the Company's proposed Overhead
Dist.ribution base case, and its preferred alternative
Underground Transmission route.
I will conclude with a brief discussion of the
Company's analysis of proposed alternatives to a second
transmission 1ine, such as locaI generation, electrical
storage, and microgrids.
O. Please summarize your testimony.
A. Currently, the communities of KeEchum, Sun
Va11ey, and Elkhorn (North Wood River Val1ey) are served
by a single L38 kV transmission 1j-ne originating at the
Company's Wood River Valley substation near Hailey, and
terminating at the Company's Ketchum substatj-on. The
Company is seeking a Commj-ssion order granting a
Certificate of Public Convenience and Necessity (CPCN) to
construct a second l-38 kV transmissj-on line connecting
the same two substations. The Company states that a
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second, redundant line is necessary in order to provide
reliable service to the North Wood River Va11ey, and that
it is also needed to facilitaEe reconstruction of Ehe
existing 138 kV transmission line without int,errupting
service to the North Wood River Va11ey.
The quest.ions before the Commission are: L) fs
a second line needed? 2) If so, what facilities are
necessary? 3) What costs should be borne by the general
body of Idaho Power rate payers?
The Company has not provided compelling
evidence t,hat the benefits of a fuI1y redundant line
justify the $30 million dollar cost proposed for thls
project. Nevertheless, a second line will be necessary
to facilit.ate repair of the existing transmission line.
I will show that much of the cost of the
Company's preferred route would be incurred providing
aest.hetic benefits to t.he City of Ketchum. I do not
belj-eve that it would be appropriate for t,he incremental
costs of providing t.hese benefits to be passed-on to the
general body of Idaho Power rate payers. Therefore, I
will recommend that the Commission direct the Company to
install a temporary Overhead Transmission Line as
necessary to facilitate repair of the existing
transmission line. In the event that the Commission
determines that a second line is needed, then I recommend
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that, an Overhead Transmission route through the City of
Ketchum be considered the base case. The City of Ketchum
and other affected cities/counties should be prepared to
provide the incremental difference in cost required to
place those facilities underground.
Idaho Code S 50-2503 provldes a mechanism
whereby an rdaho municipality may establish a Local
Improvement District. (LID) in order to pay for the
increment,al cosLs of undergrounding electrical
transmission and distribution 1ines. Alt.ernaEively, the
Company may establish a surcharge for cust,omers in the
areas benefitting from underground transmj-ssion and
distribution lines.
O. fn its applj-cat.ion, the Company stated that it
has been planning a second Eransmission line in the Nort.h
Va11ey since L973. Application at. 6. What is the
historical background of transmission in the North Wood
River Va11ey?
A. The existing line connect,ing the Wood River
Substation to the Ketchum substation is acEually the
northern end of a 72 mile line connecting the King
substaEj-on near Hagerman to the North Wood River Va11ey.
This project was completed in ;..962 (Exhibit, 101).
fn 1973, constructj-on of the first 500 MW unit
at the Jim Bridger power plant was behind schedule, and
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the Company was concerned that it might not have
sufficient generating resources to meet projected demand
for summer 1974. The Commission granted the Company CPCN
No. 272, which auEhorized the Company to construct a 50
MW generating sEation near Hailey, and a second 138 kV
Overhead Transmission line connecting the Wood River
substation in Hailey to the Ketchum substation. The
proposed route for this line was similar to that proposed
in t.he present case (Exhibit, ]-02). In the 1973 case, the
Company's cost estimate for this second line was $385,000
(Exhibit 101- at, 2) .
In 1989, the Company completed a second line to
t,he Wood River Substat.ion, and determined t,hat a back-up
generat,or was no longer needed. It sold the generator in
L992 (Exhibit L03 at 2) .
The Company never construct,ed a second l-38 kV
Iine from the Wood River substation to Ketchum. fn L995,
at the Company's request, the Commission cancelled CPCN
No. 272. Order No. 26107.
O. What reasons did the Company glve for
requesting that the Commission remove its auEhority to
construct a second 138 kV Wood River-Ket,chum transmission
line in l-995?
A. The Company gave two reasons: 1) The Company
performed an extensive reassessment and concluded that
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the line was not needed, either to meet projected load
growth or to improve reIiabiIlty. 2) The Company
indicat,ed that it had conslderable difficulty obt.aining
the necessary permits and rights-of-way for the project.
In particular, the Company indicated t.hat there was
difficulty flnding an aesthetically acceptable route
through downtown Ketchum (Exhibit 103 at 3 and 4).
O. What has prompted the Company to seek a new
CPCN for a redundant Wood River-Ketchum line?
A. In j-ts response to Staff Production Request No.
L6, the Company stated that its pursuit of a redundant
transmission line was prompted by " (1) recommendaEion of
the 2007 Community Advisory Committee, (2) j-ncreased age
of the existing transmisslon line which requires
replacement of a substant,ial portion of the structures,
(3) avoidance of construction and then removal of a
temporary line to facilitate reconstruction of the
existing 1ine, and (4) increased fire hazard as evidenced
by recent, fire activity."
A. How was the Wood River Va11ey Community
Advisory Committee (CAC) involved in the Company's
planning process?
A. The Company created a number of CACs throughout
its servj-ce territory in order to obtaj-n 1oca1 guidance
in identifying and planning improvements and additions to
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the Company's transmission and subst,ation infrastrucEure.
On pages 7 and 8 of its applJ-cation, the Company explains
that it began creating CACs in response to Commissj-on
guidance in the 2004 City of Eagle Case (Case No. IPC-E-
o4-04).
Starting in 2007, the Company began seeking
formal input for its Wood River Va11ey transmission
projects via the Wood River Va11ey CAC. The Wood River
Va11ey CAC assisted the Company's development of the Wood
Rj-ver Electrical Plan submit.ted as Company Exhibit No. 2 .
The Wood River Va11ey CAC meeting minutes, the
Wood River Va11ey Elect,rical P1an, and related documents
indicate that the Company went to great, lengths to make a
good faith effort to consider the needs and sensibilities
of communj-ties in the Wood Rlver Va11ey in the
development of this p1an. Further, I should note t,hat
the redundant Wood River-Ketchum line proposed in this
case is just one part of the overall Wood River Va11ey
Electrical P1an, and t,hat there seems to be general
agreement by the Company and 1ocal communitles on most
other elements of the p1an.
a. You state that there seems to be general
agreement on most other elements of the p1an. Did the
CAC, or do the communities j-n general, agree with t,he
need for a redundant line in the North Wood River Va11ey
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and the Company's plan of service as described in the
Application?
A. On issues regarding redundant. service to the
North Wood River Va1Iey, there ls considerable
disagreement, and many of the viewpoints expressed on
t.his particular topic are mutually exclusive. Some
residents do not agree that any redundant service is
needed. Some residents agree that redundant service is
needed, but disagree about the exact route chosen by the
Company. Some residents want the Company to consider
Iocal generation, electrical storage, and mlcrogrids in
lieu of a redundant transmissj-on 1ine. Throughout the
CAC process, the Company supported community effort,s to
explore each of these options. I will discuss the
Company's analysis of these options later in my
testimony.
A continuing point of disagreement was the need
and cost of undergrounding transmission facilities in the
City of Ket,chum. f will discuss the costs of underground
transmission facilities later in my testimony. Prior to
,fu1y, 201-5 the Company had consistently reminded CAC
participant,s that loca1 residents would need to pay for
the incremental costs of undergrounding (Application,
ExhibiE No. 2, at 13) . In a ,Ju1y 5, 2ol5 letter, the
Company announced its adoption of the much more expensive
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Overhead Distribution option as a base case (Exhibit
104), thus justifying a more costly underground
t.ransmission option and great.ly decreasing the need for
locaI communities to fund the incremental costs of
undergrounding in the Ketchum area.
REDI,NDA}ICY A}ID REI,IABILITY
a. What are the benefits and costs of a fuI1y
redundant line in the North Wood River Va11ey?
A. A redundant line is one method that, the Company
can use to improve system reliability. rn pract,ice, both
the original and the redundanE 1lne would operate
simultaneously, so that in the event that one line
experiences an outage, the remaining line would continue
serving load. Customers would see litt,Ie or no
interruption in service.
FuII redundancy comes at a high cost because it
requires Ehe Company to fu1Iy duplicate the exist.lng
transmissj-on line. Furthermore, the benefj-ts of a
redundant line are only realized when the existing line
is out-of-service. Since L995, the Wood River-Ketchum
line has experienced a total of 5 sustained unplanned
outages, wj-t,h durations of between 5 and 125 minutes.
Had the Company's proposed second line been in service
over that time period, it would only have provJ-ded a very
smaIl benefit for its $30 million cost (Exhibit No. 105
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and Exhibit No. 105).
As stated by Company Wit,ness Ange11 (Ange11
Direct at 2L), t.he existing Hailey to Ketchum L38 kV
transmission has an unplanned sustained outage rate of
1.23 events per year per 100 mi1es. This compares
favorably with Idaho Power's system-wide 138 kV
transmission average of l-.89 unplanned sustained outages
per year per 100 mi1es.
It is 1ike1y that, Ehis excellent reliability
record is due, in large part, to the Company's pro-active
efforts to mitigate the risks of unplanned outages due to
fire, avalanche, weaEher, and other unplanned hazards.
O. Would a second line eliminate all risk of a
power outage in the North Wood River Val1ey?
A. No. Since l-995, the longest sustained outage
experienced by residents of t.he North Wood River Va11ey
was a 700 minute interrupt,ion on December 24, 2009. The
Company explained thaE t.his outage was due to loss of
electrical supply when both transmission lines serving
the Wood River substation were out-of-service due to
inclement weather. fn other words, both redundant Ij-nes
feeding t,he Wood River substation failed simultaneously.
Because this incident occurred on lines feeding
the Wood River substatj-on, the Company's proposed Wood
River-Ketchum line would not have mitigated the December
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24, 2009 outage. Further, as discussed above,
historically the existing Wood River-Ketchum line has an
excellent reliability record. In short, a second Wood
River-Ketchum line ls a very expensive means to achieve a
relatively smaII reliability improvement.
O. Did the Company submit a risk assessment of the
existing line in t,his case?
A. Not in t,his case; however, it submitted a
comprehensive risk assessment in L995 in support of its
request Eo withdraw it,s previous CPCN (No. 272) . Key
portions of this assessment were performed by external
evaluators, includj-ng Energy Data Management, fnc. of
Colorado, Power Engineers Inc. of Hailey, and Osmose,
Inc. of New York. Additional portions of the assessment
were performed by Idaho Power. The assessment concluded
that the risks posed by avalanches, fires, and other
unplanned events were Iow, and that the Company's
maintenance and emergency management, plans would be able
to guickly repair t,he damage caused by such events.
O. Have any key findings of the Company's risk
assessment changed since 1995?
A. The Company provided no evidence that its
assessment of risks due to environmental factors such as
avalanche or fire had changed since its comprehensj-ve
1995 survey, and so the need for a fu11y redundant l-j-ne
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does not appear to have changed since then.
Of course, the existing transmlssj-on Ilne is 22
years older than it was in 1995; however, the Company has
an aggressive preventive maintenance program in the North
Wood River Va11ey. The Company regularly inspects the
1ine, and schedules maintenance or replacement of damaged
poles and other equipment as necessary to preclude
potential hazards. Some portions of this line have
already been replaced. As we w111 discuss Iater, there
will eventually be a very real need for a temporary line
that could facilitate reconstrucLion of the existing
line; however, the costs of such a line are substantially
less than t,he costs of a permanent, partially underground
line providing fu1I redundancy.
a. Is it correcE Eo say that there is no need for
a fuIIy redundant line in the North Wood River Va11ey?
A. Not at all. In the present case, the Company
bears the burden of proof to show that the benefits of a
second Wood River-Ketchum line just,ify a $30 million cost
that will be borne by Idaho Power's general body of rate
payers. I do not believe that the Company has met this
burden.
There are, however, a number of hazards that
the Company did not explore. For example, the Company's
1995 risk assessment assumed a 50 year hazard. That is,
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it. analyzed hazards that have a 2? or greater likelihood
of occurring in any particular year. The Company did not
evaluate the impacts of rare, but potentially
catastrophic events such as sabotage, plane crashes, or
earthguakes. Such events have a very Iow probability,
but mighE remove the line from service for several days.
If such an event were Lo occur in mid-winter, the
conseguences could be very severe for the residents of
t,he North Wood River Va11ey. The Company provided no
information indicating that it would not be able to
repair damage from such an event in a timely manner
(Exhibit l-07) .
RECONSTRUCTING THE EXISTING LTNE
O. Why do you believe that a second line will be
necessary to facilitate reconstruction of the existJ-ng
line?
A. As I indicated earlier, the number of unplanned
outages along this section of line is quit,e Iow, so there
is Iitt1e justificat,ion for a fu11y redundant, line.
Nevert,heless, the existing line ls nearing the end of its
useful operating 1ife, so there will eventually be a need
to rebuild lt.
Along some portions of this 1ine, woodpeckers
pose a substantial threat to Ehe integrity of the
existing wood poIes, and the Company has already replaced
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some woodpecker-damaged wooden poles with metal poIes.
Ange11 Direct at 2L. When replacement is necessary, the
Company takes special care to minimize disrupt.ion to its
North Wood River Va1ley customers: The scheduled outage
ls advertised in 1oca1 media, preparatory work is done
ahead of time, needed materials are pre-posit,ioned, and
three crews are used to move power lines from oId wooden
poles to new met,al poles. Notwithstanding the extra
effort, this work has typically required a scheduled
outage of nearly 8 hours per transfer. As the line ag:es,
we can expect the frequency of such outages to increase.
The Company estimates that 40 such planned
outages will be necessary to fu11y rebuild Lhe existing
line. Ange1l Direct. at 22.
O. What is the useful life of the existing line?
A. The existing line traverses a region with cold
winters and warm dry summers. These conditions are not
conducive to fungal rots that afflict wooden power poles
in other parts of the country. Under Ehese condit,j-ons,
it is reasonable to expect wooden poles to have a useful
life of 7O or 80 years. The existing line was completed
55 years a9o, so major components of the line are within
15 to 25 years of the end of thelr useful lives.
A. Why is the cost of a temporary line,
constructed to facilitate repair of the existing line,
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less than the cost of a fu11y redundant line?
A. The Company's proposed redundant line would be
able to support a demand of 1-20 MW, so that the line
could support the Company's current and projected winter
peak. It is 1ike1y that most repair work on the existing
line would be performed during the summer, when peak
loads are much smaIler. The Historic Summer Peak Line
Loading f or t.he North Wood River Valley is only 26 MW, so
a temporary line constructed to facilitate repairs could
be much smaller than a fuI1y redundant 1ine.
Applicat,ion, Exhibit No. 2 aL 34.
According to the Company, fuI1 replacement of
the line conductor would require 5 to 1-2 weeks.
Application at L6. The Company considered insEalling a
temporary line to facilitate replacement, but rejected it
because it "wouId almost assuredly be deemed a visual
impact by North Va11ey customers." The proposed
t,emporary line would "be placed in road right-of -way,
mostly along Highway 75, to minimize private property
impact and right-of-way costs." Application at L6-L7.
Although I appreciate the Company's deference
to the aesthetic sensitivlties of its North Wood River
Va11ey customers, I don't believe that the visual impact
and inconvenience of a temporary line justifies the $30
million permanent alt,ernatives proposed by the Company.
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THE COMPAITY' S BASE CASE AIID PREFERRED ROUTES
O. What is a base case system?
A. A base case system represents the minimum cost
system needed to meet a part,icular need. Typically, only
base case system cost,s are included in the Company's rate
base, and thus only base case costs will be borne by the
Company's rate payers. Costs incurred in excess of base
case costs should be borne by the parties causing them to
be incurred.
Because of their relatively 1ow cost, overhead
transmission systems are almost always used to establish
the transmission system base case. The Commission
recogni-zed this in Commission Order No. 29634 (Case No.
IPC-E-04-04) when it stated, "Aerial transmission lines
are the most cost-effective construction method and
represenE 992 of all transmission lines in the nation."
(Exhiblt No. l-08) .
Municipalities that mandate underground
transmission or distribut.ion lines are generally
responsible for paying the difference between the cost of
the underground system and the base case transmission
system. The Idaho State Legislature provided a means for
doing so via ldaho Code S 50-2503 (Underground Conversion
of Utilities) when it conferred on counties and
municipalities the power to create Local Improvement
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Districts (LIDs). This mechanism aIIows those who
benefit from undergrounding to pay for it without
burdening other ratepayers.
0. Briefly describe the four transmission routes
presented in the Company's application.
A. The Company describes four options: Overhead
Transmission, Underground Transmissj-on, Overhead
Distribution, and Underground Distribution. A11 four
options use the same common overhead transmissj-on pathway
from the Wood River substation in Hailey, along State
Highway 75, to a point that j-s just south of Ketchum.
After that point,, the four options diverge. The Overhead
Transmission option remains above ground until reaching
the Ketchum substation. The Underground Transmission
option follows essentially the same path, but does so
underground.
Both Lhe Overhead and Underground Distribution
options require construction of a new substaEion south of
Ketchum on the wesE side of Highway 75. From this point,
boEh options would tie into the t2.5 kV distribution grid
in order to avoid a direct transmissj-on route through
downtown Ketchum. The Underground Distribution option is
t.he most expensive of the four options, and I concur with
the Company's decision to rule j-t out as a viable option.
O. If the Commission were to accept the Company's
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argument for a fu11y redundant 1ine, which of these
options should the Commission adopt, as a base case, and
what is its cost?
A. I recommend that, the Commission adopt, ds its
base case, the Overhead Transmission line route through
the Ketchum Downtown District, a's described on pages l-8
and 19 of the Company's application.
The Company est,imates that an Overhead
Transmissj-on route t,hrough downtown Ketchum would cost
$l-8.5 million (Exhibit No. l-09) . The Company cautions
that, unlike estimates for its proposed Overhead
Distribution and Underground Transmission routes, t,his
estimate does not include potentj-al right-of-way cosEs.
For reference, the Company included $1,000,000 and
$500,000 in right-of-way cosEs, respectively, in lt,s cost
estimates for i-ts proposed Overhead Distribution and
Underground Transmissj-on routes. Application, Exhibit
No. 7.
O. The Company concluded thaE the Overhead
Transmi-ssion option is not, viable, and thus did not
choose it as the base case. Application at 18-20; Ange11
Dj-rect at 29-31. Do you agree with the Company's
analysis regarding the viability of this option?
A. I disagree with the Company's decision to
exclude Overhead Transmissj-on as a base case option. As
cAsE NO. rPC-E-15-28os/05/t7 MORRISON, M
STAFF
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I will discuss, the Company's proposed Overhead
DistribuLion base case would cost about $30 mi1Iion, or
$L1.5 million more t.han the cost of an Overhead
Transmission route. On page 19 of its application, the
Company discusses challenges to an Overhead Transmission
line route through the Ketchum downtown district,. These
challenges include the city's grid of streets, sidewalks,
and zero setback buildings. In its response to Staff
Production Request No. !4, the Company indicated that it
could install poles primarily in the public right-of-way
through downtown Ketchum by using either Triangular (TR)
or Tangent Angle (TA) configured poles in the downtown
Ket,chum area (Exhibit No. l-LO) . Using either of these
options, the Company could sti1l need to obt.ain overhead
easements. The Company also indicated that it, had
explored a Davit Arm structure that could avoid
transmission line overhead and clearance requirements
through t,he downtown Ketchum district. The primary
objection to the Davit Arm structure is its visual
appearance. The Company states, "Idaho Power does not
believe the Davit Arm design would be a viable option for
the overhead transmission line route through the Downtown
District because the North Va1ley customers, in
particular Ketchum customers, would strongly oppose this
option based on 1ts vlsual impacts a1one." (Exhibit No.
cAsE NO. rPC-E-15-28
05/os/1,7
MORRTSON, M
STAFF
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r_r-0).
In other words, the Company has explored
Overhead Transmission options that are technically
feasible, and that may not require easements. The
Company rejected t,hese options because of 1oca1 aesthetic
concerns.
The Idaho State legislature anticipated that
some communities might prefer undergroundlng their
utilities and provided a mechanism for them to do so via
Idaho Code S 50-2503.
O. What, is the Company's proposed base case?
A. The Company refers to its proposed base case as
the Overhead Distribution route. The Overhead
Distribution route requires construction of a new
substation on the west side of Highway 75 near Ow1 Rock
road. Angell Direct at 27. Thls substation would
provide power to the existing distribution grids in
Ketchum and Elkhorn via five overhead distribut,ion
circuits. The substation would receive power from the
new common route transmission line along State Highway
75. The Company estimates that the cost of the Overhead
Distribution route would be between $29.1 and $31. L
million. Application at. 22. The Company has rounded
this to $30 miIIion.
a. Why do you believe this base case to be
cAsE NO. rPC-E-16-28
os/os/1,7
MORRISON, M
STAFF
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inappropriate?
A. The Company's Overhead Distribution route is
considerably more expensive, and it won't provide the
same benefit as a redundant Overhead Transmission I1ne.
As stated in the Company's application, thls
configuration provides only 60 MW of backup servj-ce for
exist,ing customers. Gj-ven the existing line's r-20 MW
rating, the Overhead Distribution route does not. provide
a fu1ly redundant electrical paEh. Given the Company's
2007 peak load of 63 MW, it is possible that the Overhead
DisEribution route would be unable to meet the needs of
the North Wood River Va11ey.
In its application (at 22), the Company
explains that t.he Overhead Distribution route will not
decrease the frequency of ouEage events, but could
decrease their duration. In t,he event that the Wood
River-Ketchum transmission line were to fai1, the Company
would need to activate dist,ribution ties in order to
switch its power source from the Ketchum substatj-on to
the new substation near OwI Rock Road. To decrease
swit.ching time, the Company proposes automated t,ies
controlled from its dispatch center in Boise. Although
the Company has extensive experience using manually
controlled ties, ffiy underst.anding is that it has never
used remot.ely controlled automated ties. The Company
CASE NO. IPC-E-1,5-28
os/0s/17
MORRISON, M
STAFF
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explained t,hat cusLomers might sti11 experience sust.ained
outages, even if swit.ching were automated. AdeLman
Direct at 1-5. Given the existing Wood River-Ketchum
t,ransmission line's excellent reliability record, it is
difficult, to see how the Overhead Distribution route
would provide North Wood River Va11ey residents any
not,iceable reliabilit.y improvement.
The Company has stated that the Overhead
Distribution opt,ion is consistent with the Company's
standard practice of providing redundant electrical
service to an area; however, given that this option will
rely on remotely automated ties, which have not been used
by the Company, the alternative does not seem to
represent a standard Company practice.
The Overhead Distribution route would permit
the Company to rebuild the existing transmission line
without interrupting service t,o its North Wood River
Va11ey customers; however, a.s discussed earlier, there
are much less expensive ways to accomplish this.
In short, the Company's proposed base case
appears to be an inadequate, non-standard alternative
used to justify the high cost of its preferred route.
A. What is the Company's preferred alternative
route?
A. The Company submitt,ed three variants of an
CASE NO. IPC-8.L6-28os/05/a7
MORRISON, M
STAFF
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Underground Transmission route that differ only in the
point at which they transition from Overhead Transmission
to Underground Transmission. The transiEion poj-nt for
the Company's preferred route is near the intersection of
Elkhorn Road and Highway 75 just before entering t,he City
of Ketchum ("TP1") . At an estj-mated cost of $30 mi1Iion,
this is Ehe least expensive of the three Underground
Transmission variants evaluated by the Company.
The Company argues that since its preferred
route is no more expensive than its base case, that the
Commission should approve its preferred Underground
Transmission route in a CPCN.
As f noted earlier, the Company's proposed
Overhead Distribution "base case" does not provide the
same leveI of redundancy as other options, and so it
should not be considered a base case.
More importantly, both the Company's proposed
base case and its preferred route cost $l-L.5 million more
than the far more standard practice of using Overhead
Transmission.
a. What are some other problems with the
Underground Transmission option?
A. The Company's analysis did not compare the full
lifecycle costs of Underground and Overhead Transmission;
however, the Company estimates the lifespan of an
cAsE NO. IPC-E-]-6-2805/os/t7
MORRTSON, M. (Di) 23
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Overhead Transmission line to be 70 to 80 years, while
the lifespans of underground transmissj-on lines are
typically 30 to 40 years. Furthermore, although t.he
Company did not provide replacement cost estimat.es for
either option, the replacement. costs of underground
t,ransmission lines are expected to be substantially
higher than the replacement costs of overhead
transmission Iines. In short, the Underground
Transmission option would last half as long and cost much
more to replace than the Overhead Transmissj-on option.
Of course, these costs would eventually become part of
rate base and be borne by ldaho Power's general body of
rate payers (Exhibit No. 111-) .
Furthermore, in its response to Staff
Production Request No. 5, the Company estimates that
annual operations and maintenance (o & M) costs for its
Underground Transmission option would be twice Ehat of a
comparable Overhead Transmission option ($26,558 vs.
$13,1-24). Again, these incremental costs would be passed
on to Idaho Power's general body of rate payers (Exhibit
No. LLL).
Of consj-derable concern is the Company's lack
of experience repairing underground transmission 1ines.
In the event that major repairs are needed, the Company
has stated that. it. would use qualified contractors to
CASE NO. IPC-E-l.6-28
os/05/1-7
MORRISON, M
STAFF
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effect repairs; however, Lhe Company does not currently
maintain a list. of qualified contracEors. Based on my
own research, I determined that t,here are no such
conEractors in Idaho or in the Pacific Northwest. Based
on my research, it appears that the nearest conEractors
capable of making major repairs are in Los Angeles and
Chicago (Exhibit No. L12).
LOCAI. GENER"ATION AND DISTRIBUITION OPTIONS
O. What, other redundancy options were evaluated?
A. Starting in 2007, the Company began seeking
formal input for its Wood Rj-ver Val1ey transmission
projects via the Wood River Va11ey Community Advisory
Commit,tee (CAC). CAC members requested that the Company
evaluate various 1oca1 generation and storage options as
alt,ernatives Eo a redundant Ilne. These opEions included
diesel generation, gas Eurbine generation, biomass
generaLion, solar generation, and batt,ery back-up. The
Company determined that the costs of each of these
options exceeded the costs of the Company's proposed
transmission 1ine. I concur with the Company's
assessment. Furthermore, as I noted earlier, there is no
compelling case for redundancy.
CONCI,USIONS AI{D RECOMMENDATIONS
O. Please summarize your conclusions and
recommendations .
cAsE NO. fPC-E-16-28
os/05/L7
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STAFF
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A. The Company is proposing a project. that would
add $30 million to its rate base, and this cost would
eventually be borne by the general body of Idaho Power
customers in the form of increased rat.es. When
contemplating such projects, the burden is on the Company
Eo show that its proposal is necessary, and that it
represent.s the least expensive means for providing
reliable elect.ric power t.o its customers.
The residents of the North Wood River Valley
already benefit from very reliable power, and the Company
provided no evidence that in the event of a rare
catastrophic event, iE would be unable to restore power
in a timely manner. In short, Ehe Company has not
demonstrated that, a second Wood River-Ketchum line would
provide a significant reliability benefit to the North
Wood River Va11ey.
As I ment,ioned earlJ-er, the Company has
inst.ituted a proactj-ve preventive maintenance program, so
most of the poIes, transformers, and conductors of the
existing lllood River-Ket,chum transmission line are in
excellent condition. Nevertheless, the line is nearing
its 55th year, and we should ant,icipate that lt will be
necessary to renovate the line in a few years. In order
to preclude numerous prolonged outages during renovation,
I recommend that, the Commisslon direct the Company to
CASE NO. IPC-E-1,6-28
os/05/L7 MORRISON, M
STAFF
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install a temporary Overhead Transmisslon Line as
necessary to facilitate repair of the exlsting
transmission Iine.
If the Commission determines that a second
transmisslon line is necessary, then I recommend t,haE the
Commission order the Company to consider the Overhead
Transmissj-on route through downtown Ketchum as the base
case for determining the cost to be borne by the
Company's general body of rate payers, and that any
additional cost,s of undergrounding be funded 1oca11y.
O. Does that conclude your testimony?
A. Yes, it does.
cAsE NO. rPC-E-].6-28os/0s/t7 MORR]SON, M
STAFF
(Di ) 27
lI o
BEFORE TI-IE IDNIO PUBIJIC UTIIJITIES CO!'IIfiSSION
o \
)l
)
)
)'r"
l,l, 1-- r1.,I t,
APPIJICATION OE IDAIIO POWER
COIr{PAI{Y rOR A CERTIFICATE
OT PUBLIC CONVENIENCE AI{D
NECESSIIY
I ,) CASE NO U- lo ob-?q
.,j,,,., I ; 3 s$PfLIcArIoN
COMES NOU, Idaho Power Company, Applicant herein, and
respectfully shows the Corunission as follows:
I
Idaho Pohter Company (Applicant) is a corporation incorporated
under the laws of the State of Maine on May 6, 191-5 and duly qualified
to transact businesa as a foreign corporation in the States of
Idaho, Oregon, Nevada and Wyoming. Applicant is engaged in the busi-
ness of generating, purchasing, transmitting and distributing
electrical energy. ApplJ.cant's principal place of business le situated
in Boise, Idaho, and its address is L22O Idaho Street, Boise,
Idaho, P O Box 70, 8372L.
II
Applicant proposes to conetruct and install a 50 megawatt
combust,ion turbine generator and related facilities for the genera-
tion of electric power and energy, said plant to be located adja-
cent to Idaho's Wood River Substation located between the cities
of Hailey and Ketehtmr, Blaine county, Idaho.
A map showing the location of the proposed plant, related
facilities and a description of the land owned or being purchased by
the epplicant is attached hereto as Exhibit "A. " Applicant wlIl file
a rezoning application with the Blaine County Planning and Zoning
Comnission for the plant, site.
III
The combustion turbine generating plant will have a
nominal capacity of 50,000 KIV and is planned to be in conunercial
Exhibit No. l0l
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page I of 6
operation about MaY, L974.
a
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The conbustion turbine generating unit wil-I utilize oil
or natural gas, depending upon the availability of either supply.
rdaho is negotiating with oil and gas suppliers for supplies suffi-
cient to meec the operating needs of said unit.
The generating plant wiLl be designed, constructed and
operated to meet air qual-ity standards pursuant to the applicable
1aws, rules and regulations of the State of Idaho and of the United
States. Applicant will file an application with the State of Idaho
Department of Environment.al and Corununity Services for a new indus-
trial air emission permit. The generating plant wil-I not compete
directly with any other public utility, since the power and energy
will be used to supply loads on the Applicant's system
IV
Applicant also proposes to rebuild and convert its existing
46 K/ transmission line extending from the Wood River Srrbstation to
a point near G:m1et to 138 I(\/ transrnission capacity with distribution
underbuild and to convert and rebuild the existing distribution line
extending from Gimlet to the Ketchum Substation to 138 IW transmission
capacity with distribution underbuild. This rebuild and conversion
will utilize existing private, highway and street right of way. A
map showing the lines proposed to be rebuil.t and converted is attached
hereto as Exhibit 'rB.rr
V
The estj:nated eost of the proposed generating facilities,
including the turbine generating unit, srrbstation facilities, oi1
storage tanks and other related facilities is estimated to be about
95,5o0,000. The estimated cost of converting and rebuilding the
existing transmjssion and distribution lines to 138 I(/ is estimated
o
Exhibir No. l0l
Case No. IPC-E-16-2g
M. Morrison, Staff05105/t7 page 2 of 6
to be about $385,000.
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VI
It is estimated that the energy output of said combustion
turbine generating unit at 23 percent annual load factor will be
approximately I00,000,000 kilowatt, hours per year and that the
estimated annual operating expense (excluding fuel) for the plant
wilI be approximately $75,000.
VII
It is proposed to finance the neh, construction by the
use of internally-generated cash, the issuance of either stocks
or bonds, or both, as may from time to time be approved by this
Commission.
VIII
Attached as Exhibit "Crr is a statement showing the
financial condition of Applicant, which statement is by this
reference incorporated as a part of this applicatJ,on in compliance
with Rule 15 of the Rules of Practice and Procedure of this
Conunission.
IX
Certified copies of Idaho's Restated Articles of
Incorporation, as amended, and By-laws of Idaho, as amended, are
on file with this Conunission as part of Case No U-1006-80.
x
Applicant alleges that there will be an urgent and con-
tinuing need for power eupplied from the combustion turbine unit in
order to supply the requirements of AppJ.icant's system conunencing
in June, L974.
Applicant proposes to use the combustion turbine generat-
ing unit to supply both peaking power and energy during the months
Exhibit No. 101
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 3 of 6
t oa
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of June, July, August and September, 1974. In these months, due to
the Company's very large irrigation and air conditioning load, the
Company wiil need additional power and energy in order to supply this
load. The first unit of the Jim Bridger steam electric generating
plant hras scheduled for production in June, L974. However, this
schedule, due to labor turnover and harsh winter weather, has now
been delayed for three to six months. With this delay additional
energy sources must be obtained by the Company and the output of the
50,000 kilowatt combustion turbine wiLl assist in remedying this
deficiency and assist the Company in meeting its large summer load
requirements for irrigation, air conditioning and oeher uses. with
the current energy deficiency in the Pacific Northwest, there are no
reasonable alternatives for obtaining this amount of power and energy.
In aidition, after the Jirn Bridger unit commences genera-
tion, any failure or shutdown of the Jim Bridger unit will require
the Company to cbtain replacement energy. This combustion turbine
generat.ing unit will be availabLe to supply a portion of this replace-
ment energy.
XI
Applicant further aIJ.eges that reliable service to the BelJ.evue,
Hailey, Ketchum and Sun Valley areas will be greatly enhanced by the
alternative source of supply obtained by placement of this generating
unit in the area and construction of the 138 KV Lransmission line from
the Wood Rive.r Substation to the Ketchum Substation. At the present
time this entire area is served by one 138 KV transmission line extend*
ing from the King Substation in the Hagerman Valley to the Ketchum
Substation, a distance of approximately 72 miles. This line in many
places traverses high desert and mountainous terrain subject to stoms,
Exhibit No. l0l
Case No. IPC-E-16-28
M. Morrison, Staff
05105/17 Page 4 of 6
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snow, avalanches, slides and fires. Due to the location of the line,
outages could occur at any time and such outages could last for many
hours. The l<rad in the Hailey-Ketchum area, as of last winber's
peak, was in excess of 31,000 kilowatts and this load has been steadily
increasing with the construction of Elkhorn and other developments.
It is estimated that this load could increase to a peak in the winter
ot L973/L974 of 40,000 kilowatts. The rnajority of the homes and
businesses in this area are heated by electricity and any extended
outage could have a very detrimental effect on the area due to frozen
pipes, extreme cold and other difficulties that occur in buildings
and to people from a failure of their heating sources.
XII
Applicant for the foregoing reasons alleges that construction
and operation of the combustion turbine generating plant aL the Wood
River Substation site and the rebuild and conversion of existing 46 KV
transmission and distribution lines to a 138 K\,7 transmission line will
materially contribute to the energy reguirements for the Company's
entire systemr will provide an alternative source of supply to the
Bellevue, Hailey, Ketchum and Sun Valley area, and will greatly improve
reliability of service to this area. The overall- result of this eon-
struction will be in the public interest and the present and future
pubtic convenience and necessity require that this application be
granted.
WHERXFORE, Applicant respectfully requests that this
Commission enter :"ts order herein granting to Applicant a Certi-
ficate of Public Ccnvenience and Necessity authorizing the con-
struction, operation and maj.ntenance of the combustion turbine
Exhibit No. l0l
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 5 of 6
to
-6-
generating unit and rel-ated faciLities and the converelon and
rebuilding of the 138 KV transmission line, as described in the
foregoing application.
. DATED thls 24th day of October, 1973.
IDAHO POWER COMPAIiIY
By
President
A^^^-sA.rarnes
q
E
'{1*.--^
BruceAttorney for Applicant
STATE OT IDAIIO )
)ss
County of Ada )
ATBERT CARLSEN, being first duly sworn, deposes and says
that he ls the President of IDAEO PO{ER COIIIPAIiIY, the Applicant
narned in the foregoing application; that he has read the said
appLication, including the Exhibits thereto, and knows the con-
tents thereofl and that the same are tnre to the best of his
knowledge and belief.
Sr.rbscribed and aworn to before me this ?4th day of
octobes L973.
/ -zz<-rr-a.-
/s/ Yiarv L l,lorton
(NOTARIAI, SEAL)
Notary Public for Idaho
Residing at Boise, Idaho
My Corunission expires April 1, L976
Exhibit No. l0l
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 6 of 6
&Y@
BEFORE THE IDAHO PUBIIC UTITITIES COI.{MISSION
IN TI{E T{ATTER OF TI.IE APPLICATION
OF IDA}IO POWER COT{PA}.IY FOR A
CERTIFICATE OF PUBLIC CONVBNIENCE
A).rD NECESSTTY
cAsE N0. u-1006-89\
oRDER N0. 113rS
)
)
)
On October 31, 1973, the Comnission received an application fron the
Idaho Pover Corpany (ApplicantJ requesting a Certlflcate of Publlc Convenience and
Necessity for the construction and installation of a 50 ueganatt (50,000 klloratts)
cornbustlon turbine gencrator aad related facilities at Appllcantrs Wood Rlver
Substation near Halley, Idaho, and the converslon and rebulld of the present 46KV
transnission and dlstribution llnes fron the Wood River Substatlon to the Xetchun
Substatlon to 138KV transhlssion llno.
On Novenber 7,1973, tho Comrnission issuod its Noticc ofHeering s€tting
the natter for Hearing at the Grange Hall, Hailey, Idalro, comoncing 8t 9i00 A.M.,
Thursday, Decenber 6, 1973, at which tiue and place the Hearlng was held before
Conmlssloners Ralph H. Wickberg and Robert Lonaghen, and the followlng appeerances
wele ontered3
JAJ"IES E. BRUCE, Vlce-Presldent, S€cretary eDd General Counsel,
and Tll0i{AS G. NEISON, Attomey at Law, appearlng for the ffum ofParry, Robertson, EaIy E Lafson, Pirst National Benk Bulldlng,
Twin Palls, Idaho, eppearlng for the Appltcant.
JoHN S. CHAPMAI{, Attorney at Law, Idaho Building, Boise, Idaho,
appearing for Domthy Jean Chapnan, Plotestant.
K. D. SMITll, Assistsnt Director, Idaho Publlc Utlllties Commlssion,
472 W. Washington St., Bolse, Idaho, appearing for the Comission.
Appllcant proposes to construct and install a 50 negaratt combustion
turbine generstor and rclated facilities for the generatlon of eloctricel power
and energy. The plant 1111 be locatod adjacent to Appllcant,rs Wood Rlvor Substatlon
situated betweon the citlcs of Halley and Ketchru, Blaine CorJrlty, Idaho.
The conbustion turblne uill be a Goneral Electric nodel Series 7000,
simple cycle turbine. In tho simple cyclo, alr is drawn into the axial flow
corpressor and discharged into the conbustion chanbet at high pressure. Energy is
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page I of I I
-1-
@@
added in the coobustlon chanber where liquid or gaseous fuel ls burned to produce
hlgh temperature gas. Ttrese high temperature gsses a:no g)cpandod thrcugh the
turblne, nhich converts the thermal energy lnto rnechanical enorgy of rotation.
The unit will be 32,25 feet at tho highest, point, 116.75 feot long and 61.52 feet
vide. It is a nodular tyPe construction and will not have any open running parts.
All the operations w111 be housed ln I structure rhich will be palnted a neutral
color to blend it into lts surrourdings.
There will be a fuel supply tank located on the propetty, but sor,re
distance away fron the turbine to store the fue1 supply for the turbine. The tank
will be 32 feet high with a :naxinuyn dianeter of 106 feet capable of storlng 50,000
barrels of oil. An earth dike will surround the tank and ultl enconpsss an area
that will contein all of the o11 ln the 6vent of a leak. The gror.nrd w111 have an
impervious barrier to plevent any escepe of the oil lnto the ground.
Tho turbine will be so const::r.rcted and irutalled thet at 400 faet the
sormd lovel w111 be 47 decibels (dba) end 44 dba at 600 feet, uhlch wlll produce
appmxinately the same sound prossure level that oxlsted Et thc slte on Soptomber
10, 1973. At th6 present tlne there ars no residents wlthin 400 feet of the tur-
bine and only 3 resldences withln 600 foet. The noise level frou thc operatlons
of the turbine yi1l not be notlceable at these residences.
To deterurlne the effcct that running the turbine nould have on the air
quallty in the area the Applicant had the General Electric Coupeny to make a study
on what would occur, The study w&s of the nagnitude of ground level concentratlon
of conbustion products that night be e:gectod fron operation of the tmit. The
rnethods used in the study were thoss approved by the Environnental Protsction
Agency and lncluded Holland Plurns Riso Pormula and Pasquelts Atmospheric Diffi.rsion
Formula and weather lnformetion obtained fron ths Unitod States Forcst Service
offlces in Bolse, Hailey and l(etchurn. Using the worst one-hour perlod that could
occur to conrpute the gror.od level concentratlon, th€ study found that the highost
concentration of any substancs ls less than lt of the concentration permltted by
the ldaho standards. Thero would be no significant dcteriotation of the alr
quality in the area resultlng frou tho operetion of the coubustlon turbine, either
wlth natural gas or No. 2 heating fuel,
-2-
Exhibit No. 102
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 2 of It
&'w'
The Applicant antlcipat€s I sholtago of power on tho systen during the
rnonths of June, July, Augrst and Septeuber, 1974, due to the delay of the first
500 negawatt unlt of the Jln Btldger Steen Electrlc Generating Station now rmder
constructlon tn Wyomlng. the f,lrst unit of Jirn Brl.dgor was sclreduled for produc-
tion in Jure, 1974. Hoyever, this schodulc, due to lebor tumover and harsh
winter r.veather, has been delayed for 3 to 5 nonths. In these nonths, the Appli-
cant, due to the very large itrlgation and air-conditioning Ioad, will need addi-
tlonal power and enelgy to supply those loads. With the delay of Jin Brldger
additional energy sourcos urst be obtained by Applicant and the output of tho s0
negawatt conbustion turbine will aid in rernedying this deficlt and assist the
Applicent in naintaintng its largo sunner load requirenents.
Sewice to the Halley-Ketchun-Sun Valloy arsa ls presently being
supplted by a 46KV ltne from Shoshone to Halley, which does not have the capacity
to sorve the entlre losd in the area, and a slngle 1381W line runnlng 72 uiles
from the King Substation near Hagorman to th6 Wood Rivsr Substatlon. The residents
in the Hailey-Ketchun alea aro prlnrarlly dopendent on the operation of the 138KV
llne. The 1381(U line transvcrses high desert and nowtainous torrain, subject to
stofins, snow, avalanches, slldes, flro and icing conditlons. Although the opera-
ting e:cperience with the 138KV line since its construction ln 1962 has been espec-
lally good, the passage of tine ord corresponding deterioration of plant rill
contrlbute to a substantlal outage sonetiDe 1n the firture. The vlnter load in the
Hal1ey-Ketchu! area is very high due prinarily to the large anount of electric heat
used and any prolonged outage of ths olectric supply especially in the wlntsr nonths
could cause great haldship.
The combustion turbine genBrator uill be used to sr.ryply energy to the
Appllcantrs system for the sutr/rer of 1974 and until colpletion of the Jlm Bridger
Plant, but it will renain at thls location to provide lncreased socurity of service
in the Hailey-Ketchun-Sr.n Valley area and as reservo capacity aftor tho Jim Bridger
Plant is conpleted and in oporation. The Applicant investigated altornats rosthods
for increased eloctrlc, reliabillty ln the Halley-Ketchun eroa. One uethod consid-
ered was the const$ction of an additional 138KV transmission line oxtendlng fron
@
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 3 of I I
-5-
@&w,
the Hunt Substatlon hear Edon northBrly acloss tho dosert and nountalns to th6
Silver Croek area, across the Sllver Creek erea to Gannett 8nd thon northerly to
Ketchum. tho Appllcant ensountered a nunber of problenrs to thls proposal, prln-
arily the right-of-way. Tho Applicant contacted nany individual lendomers on tho
posslbtlity of obtalning right-of-nay and fornd thet theso lndlvlduals did not
desire to grant such right-of-way across thslr pmperty. Such a transroisslon
lino would cross a substantial portion of federal lands and obtalnlng right-of-
way across these lands presented serious prcblens.
Appticant also Equosts authority tJ rebuild and convort its exlsting
46KV transnission line extonding frou the Wood Rlver Subststion to e polnt near
Gintet to 138KV transnlssion capaclty wtth'distributlon underbutld and to convort
and rebulld the existing distrlbutlon l.ine oxtendlng fron Gtmlet to tho Katchun
Substation to 1381ry transnisslon capecity wlth distrlbutisn robuild. Ttro rebuild
will be on a pole for polo basis; that ls, a ncw pole will be locatod next to an
o1d pole and upon corpletion of the new line all the old poles will be reuoved.
Ttre tength of the neu pole will be higher than the pr€sont poles and a curvod type
yoodcn mast arm will be used to cary the condustors and the dlstributlon lines will
be located on the new polos Bt a point below ths transulssion line. The rebulld
will be done on the presont dght-of-way and no addttional rlght-of-way wlll be
required,
The Applicant nalntalns that it is necossary to heve an addltional
l58KV transnlsslon line into tho Ketchun-Sun Valley area for the reason that sinco
the present 138KV transnisslon l1ne wari constructed, the load on the Ketchun Sub-
station has lncreased fron 21664 kllowatts to 201924 kilowatts, and with the
prosent building and expansion going on in the Srm Valley, Elkhorn and Kotchun
aree, the load will contlnue to lncrease. A11 of the Present load ls served on
the existing 138KV llne that extends from the Uood l,iver Substetion to the Ketchum
Substation on the east sldo of the Big Wood River Valley to the east fork of the
Big Wood F[iver, at which point lt crosses along and over tho east sido of tho
mountalns that. lie adJacent to the valley floor. Ttris section of the llne ls
particularly vulnerablo to snow, nnrd or road slides and is ln a dlfflcult area to
Exhibit No. 102
Case No. IPC-E-16-2g
M. Morrison, Staff05/05/17 page 4 of I I
-4-
@@
reach with grolmd trsnsportation. As a result of the large lacreases in load and
the line out886 possibility it ls prudent to provlde an alternato soulco of power
to the Ketchum Subst8tion.
Tho attotnoy fot tho ptot€stant questioned the necessity of the const-
ructlon and rebuild of th€ Pr6sert 46KV transnlsslon and distributlon linos fron
the wood Rlver substation to the Ketchun subststlon to l3gxy cepaclty. The
prinary concorn aPpears to ba the effect tho rebuild of the llne to hlgher poles
would have on the environnent of the valley. He further questlons nhether or not
there wss an alternato touto that could be uttflzed olthor for sdditional trans-
nission linc or the possi.bility of placing the pmposed 1lne on the present 158KV
structures.
It wes hls concem that whether or not the operatlon of the conbustlon
turbine would cause a substantlal deterloration in the alr quality ln the val.ley,
especially during periods of lon r+ind veloclty.
We have given caroful conslderation to tho effect on ths area of
constructlng a conbustlon turbine generator and the robuild and constnrction of
tho present 46KV lines and distrlbution lines to 1381O capacity. We are of ths
opinion that if the proposed 138KV llne wore to be placed in another area the land
use lupact, whlch is tho priuery conslderation, uould be uuch greater on tho totel
valley impact than in using souo routo other then the highway. The presont plan
would replaco the prosont lines and would not Eald additlonal poles and wlres ln
the valley. But placing the proposed llne on tho present 1381(v structures would
not neet the purposes for uhlch the llne is designed and that is an additional
power sorrce to l(6tchur Substation by an alteflrate supply of powor so that in the
case of the loss of the presont 138XV llne th6n you would not lose the entlre
electrlcal supply to the Ketchum-Sun Valley area. Ttre record ls clear that ths
emission fron turblne would, when compared to the Natlonal Anblent Air Quality
Standards, be less than lt of tho standards and would be fer below tho "no slgni-
ficantrr deterioration lovel in all catogories to which theso standards apply and
would be lower than the nlnimrn requirenents of the State of ldaho and the
Environmental Protectlon Agency,
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05/05/17 Page 5 of l l
-5-
ffi\&*g&KY
We conclude that the benofits to be derived frou tho lnstallation and
operation of the conbustion turbine generator at this site are gr6ste! than any
detrlnental effect that night be nade on the onvironnent of the area. If the unit
is not installed on the proposod slte and a naJor internrptlon should happeu,
ham to tho public would occur by the loss of Electrical energy for space heat-
ing, the punping of water for flre flghting and other pux?osos and the generel
disruptlon of activities that follow loss of electricel sswicc :for an extended
poriod of tlne. We would not be fulfllllng our regulatory obllgations if we dld
not take action to approve an alternate sourco of electrical power for the Hailey'
Ketchun-Sun Valle), aroa to guard against the extendod porer outages that would
occur if the 138KV transnission lino were lost.\ It apposrs that th6 instsllatlon
of the cornbustion turbine generator and the proposod constn ctton and rbbuild of
the present 46KV transnission and distribution line to l58Kr capacity is the nost
roasonable nethod to provide security at this titr€.
rt!.9!rg.!.
I.
TIIAT Idaho Power Coupany is a cor?oratlon organlzsd urd existlng under
and by virtue of the laws'of tho State of Malne and is duly authorlzed to trens-
act business in the Stet6 of Idaho and ls ongaged as a public utllity in furnish-
lng electric service in tho Stat6 of Idaho and ln tho states of Nevada and Oregon
with its princlpal offlce ln Bolse, Idaho.
II.
TIIAT Applicant has filed wlth this Comlssion an application request-
ing a Cortiflcate of Public Convenlence and Necossity for the constructlon end
installation of a 50 negawatt coubustion turbine genorstor and lelated facilities
adjacent to its l{ood Rlver Substation near Hailey, Ida}ro, and tho converslon and
rebullding of the present 46n/ transnission llne and dlstribution lines fron the
Wood River Substation to tho Ketchuu Substation t,o l38KV capacity.
III.
T}IAT electric set:vlce is provided to th€ Heiley-Xotchut!-Sun Valley
area by a single 138K1, transnlsslon line extending for 72 niles fron the King
Exhibit No. 102
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 6 of 1l
-6-
s
substation irear Hagerman to the wood River substation near Hailoy, Idaho.
IV'
TttAT the l38lg tlanstrlsslon ltno travorses high desert and nountainous
terrein subject to stotils, snorr, avalanches, fires end iclng condltlons.
v,
TIIAT the opeleting servlce of this line hes bcon oxcoptionally good,
but the Passage of tirne and corresponding plant deteriotation w111 contrlbute
to e substantial outago sonctiue in the future.
W.
THAT the Hailey-Kctchut-Sun Valley area has I very hlgh winter load
due prinarlly to olectric heat and any prolongod oloctrlcel outegs ln the nlntor-
\tine would eause groat hardship.
uI.
lllAT the constnrction and installation of a 50 nogawatt conbustlon
tutblno generator at tho Wood R:lver Substation would provldc lncreased secutity
to tho Hailey-Ketchun-Sun Va116y area and alleviete eny hardship that could be
caused by a prolongod clectrlcal gutage.
WII.
TIIAT the constnrctlon of an additional transnl.ssion llne frou the
Hunt Substation to the Hailey-Ketchun-Swr Valley ersa to plovlde lncreassd rella-
bility is not feasible at this tlne.
rx.
THAT the rebulld and converslon of exlsting 46KV transntssion and
distributlon llnes to 138KV capacity between the Wood Rlver Substation and the
Ketchuu Substation is required for lncreased securlty ln tho l(etchun-Sun Valley
&
ar€4.
x.
THAT tho nolse resultlng fmu tha operatlon of the conbustlon turbine
will not bo of sufflciont prossure levol to causo any hardshlp to th€ prosont
residents of tho innediato area.
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 7 of I I
@ @
xI.
TIIAT the combustion turbine wilt be deslgned, constructed and
operated in such a nanner as to meet the air quality st8[dards pursuant to ths
appli.cable laws, rules and rogulatlons of the State of Idaho 8nd of th6
tlnlted States.
ur.
TIIAT a Certificate of Public Convenienco and Necesslty for the
construction and lnstallation of a 50 negawatt coubustion turbine generator
and related facllities at Applicantrs Wood River Substatlon and the rebuild and
conversion of the prosent 46KV transnission and dlstrlbutlon linos fron tho Wood
River Substation to the Ketchum Substation ls in the public interest and a
Certificate of Public Convenience and Necessity should be lssued.
\
ORDER
IT IS THEREFoRE oRDERBD that I CertlflcEt€ of Public Convonlenco and
Nocessity should be, and the ssne is, hereby granted to Idaho Powor Conpany fot
th6 construction and operation of a 50 Dogaratt conbustlon turblno generator and
related facllltles et the Wood Rtver Substation near llalley and the convetsion
and rebuild of the prosont 46l(y transdssion and distribution lines frou the Wood
River Substation to the Ketchun Substatlon to l38KV trgnsnlsslon line.
DOM by 0rder of tho Idaho Publlc Utilities Cormission in Boiso, Idalro,
this 6th day of February, 1974.
ATTEST:
Note: Conrmlssioner Nock did notpartlcipate in this order
Exhibit No. 102
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 8 of il
REL: eh -8-
@ @
CONCURRING STATEMEM BY COMMISSIONER RALPH H. WICXBERG
My personal attitude toward authorizlng a gas turblns power plant
to serve energency electrlc po$er to tho Sun Valley-Xetchun-Hailey area is
one of ambivalence.
It is easy for me to rmderstand that nan), p€ople who reside in the
area would like to avoid the constructlon of additional electric facilities
whether they be powor plants or hlgher poles for transrnission pur?oses.
My personal observatlon ls that connerclal and resldential devel-
opments now taklng place lequire a firrn and secure electrlc powgr supply to
avoid the posslbllity of serlous econonic and personal disconfort that would
cone about as the result of a maJor electrlc po$€r outage.
Idaho law clearly requires the serving utitlty (Idaho Power Co.)
and the Idaho Public Utllities Comnission to use reasonablo dlllgence in
provlding an oxcellent and reliable electric ryltm to all consuners and areas.
The testinony and uncontroverted facts of this case prove conclusively, to ne,
that the present electric transnisslon systen sewing the Hailey-Ketchum-Sun
Va1ley area ls deficient fron reliabillty crltolla.
I believe that this Connission would be derelict in not reeognizing
that a pxesent hazard exists to the health, confort and safety of the residents
of Hailey-Ketchurn-Sun Valley. Thls Cownission has before lt a reasonable plan
to elininate much of the rlsk of a serious olectrlc power outage to thls aTea.
The construct,ioh of the proposeil gas turbine north of Hailoy and the
reconstructlon of the transmission line to Xetchut, ls, in rny opinion, bene'
ficial and necessary.
I concur,
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 9 of I I
ATTEST:
@@
BEF0RE lIlE IDAI{O PUBLIC ITTIIITIES COI'0,IISSION
IN THE MATTER OF THE APPLICATION )0F IDAlto PoWER CoMPAM FoR A )CERTIFICAT? OF PUBTIC CONVENIENCE)cAsE N0. u-1006-89
CERTIFICATE NO, 272
IT IS HEREBY CERTIFIED that public convenience and necessity
requires and wlll lequiro Idsho Power Conpany to construct and operato I S0
negawatt conbustlon turbino generator and related facilltlos at the l{ood River
Substatton near Hailey, Idaho, for the furnishing of electrical onergy to the
public snil the conversion and rebuild of tho presont 46KV transnlssion lIne from
the Wood River Substation near Hailey to Ginrlet and the roconstruction of the
present distrlbutlon l1nes fron Glnlet to the Ketchrm Substatlon to 1381ry trans-
rnission line capacity; to oxorcise all rlghts and privlleges t{hich have beon
granted to said ldaho Power Conpany, tts succEssors and asslgns by any franchlse
or perarit conferrod or hersafter conferred upon sald Idalro Povor Conpany, lts
\
succossors and assigns by any city or vlllage or by any comty or by tho State of
Idaho or by any political subdivlsion thereof.
Thls certificato is predlcated upon and lssued pursuant to the findings
and order of this Cornnlssion, the san6 being 0rder No. ll3l5 in the above entltled
natter made and entered on this 6th day of February, 1974.
DATED at Bolse, Idaho, this 6th day of Fobruary, 1974.
(SEAL)
ATTEST
Note i Comrlssloner Nosk did notparticipate in thls certlficate.
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page l0 of I I
RE L: eh
@ @
BEFoRE rHE rDAHQ PUBLTC mu"q,rEs. Cgro{rpilg.L.,,,i 1,.'',
IN THE MATTER OP TflE APPLICATION
OF ]DATIO POI{ER COMPAM
FOR A CERTIFICATE OF PUBLIC
CONYENIENCE AND NBCESSITY......
STATE OT IDAHO)
)ae
COI'NIY OT ADA )
)
)
)
)
)
)
)
)
)
CBTIFIC,ATE OT MAILING OT
0RDER N0. 11315 and Cert. No. 272
CASE NO.u-1006-89
I hereby certlfy th6t I am erployed as a Eecrstary ln the Office
of the Secretary, I.P.U.C., and that on the d-day of FBBRUARY
19-,.Iserued Order No. 11315 and Certificate . 272
in the above entltled matter, pursuant to dlrectlons and lnstructlone of
The Secretary, on each of the follovlng:
Name
Ianes E. Bruce, Vice-Prosident and Secretary
ldaho Power Conrpany (fA.*- - t, W,,*a)I
'tromas G. Nelson, Attorney at Law
'arry, Robertson, Daty € Larson
Iohn S. Chapman, Attorney at Law
lood River Journal
lai ley Tineslity Council:ity Council
,ourd of County Conmissloners, Blaine CountyIIFI Radio
Address
Box 70, Bolse, Idaho 83707
First Natlonel Eank Bullding, Tutn Fallsrrr,,
Idaho Bulldlng, Boise, Idaho
Hailey, Idaho 83333
Haj.ley,Idaho 83333
Hailsy,Idaho 83353(etchun,Idalro 83333
County Courthorse, Helley,Idaho 83335
241 l,lain Avo. W. IVln Fa1ls 85301
by depoeitlng ln the Unlted States Mall, true copy thereof for each, enclosed
in a sealed envelope, wLth poetage prapald, addreaaed to each of them re-
spectlvely at hts respectlve place of addrese, and that there l.e regular
mai-l servtce to each of sald addrgsaea.
WII1IESS my hand and eeal of eaid Corusrleelon at BoLse, Idaho, thls
Exhibit No. 102
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page ll of ll
,Zf day of Februarv , t9t-L,
{:
@@
I.ARRY D. RIPLEY
PATRICK A. HARRINGTON
ldaho Power Company
P. O. Box 70
Boise, ldaho 83707
[phone]
IN THE MATTER OF THE APPLICATION
OF IDAHO POIA'ER COMPANY FOR AN
AMENDMENT TO CERTIFICATE OF
PUBLIC CONVENIENCE AND NECESSITY,
CERTIFICATE NO.272
'r
,(-
I -''l
:"-.i
Pfr ,i []J
Attorneys for ldaho Power Company
Street Addresq for Express Mail:
1221 West ldaho Street
Boise, ldaho 83702
FN( Telephone No.: (208) 388€936
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
)
)
)
)
)
)
CASE NO. |PC-E-95-6
APPLICATION FOR AN AMEND.
MENT TO CERTIFICATE OF
PUBLIC CON/ENIENCE AND
NECESSITY NO.272
On October 31, 1973, ldaho Powerliled an application with the Commission
(which was designated Case No. U-1006-89) requesting a Certiftcate of Public
Convenience and Necessity for the construction and installation of a 50 megawatt (MVV)
combustion turbine generator and related facilities at the Company's Wood River
Substation near Hailey, ldaho, and the conversion and rebuild of the 46 kV transmission
and distribution lines from the Wood River Substation to the Ketchum Substation to a
138 kV transmission line. The Commission approved the Company's application in its
Exhibit No. 103
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page I of 8
i*I' i r)
APPLICATION FOR AN AMENDMENT TO CERTIFICATE, Page 1
@
Order No. 11315 and issued Certificate of Public Convenience and Necessity No. 272 (see
Exhibit 1). The Company is hereby requesting an amendment to Certificate No.272
relating to the proposed Wood River Ketchum 138 kV transmission line that was approved
therein.
The Compant's primary concem in its 1973 application (Case No. U-1006-
89) was to provide back-up facilities forthe two transmission lines which extended service
to the Company's two substations in Hailey. At that time, ldaho Power provided service
to Hailey through a 46 kV line from the Shoshone Substation to the Hailey Substation, and
through a 138 kV line from the King Substation near Hagerman to the Wood River
Substation near Hailey. The 46 kV Shoshone-Hailey line had insufficient capacity to serve
the entire load in the area, and an outage on the 138 kV King-Wood River line (which is
72 miles long and, as described in Order No. 11315,'traverses high desert and
mountainous tenain, subject to storms, snow, avalanches, slides, fire and icing conditions')
would afiect the entire Hailey-Ketchum-Sun Valley area. Accordingly, pursuant to the
Commission's authorization in Order No. 11315 and Certificate No.272, the Company
built and installed the combustion turbine generator (the Hailey Turbine) at the Wood River
Substation. The Hailey Turbine made back-up service available in the event of an outage
on the King-Wood River line. ln 1989, ldaho Power completed construction of a new
138 kV transmission line extending from the Midpoint Substation to the Silver Substation
to the Hailey Substation. This line completed the Company's capacity and reliability
upgrade of electric service to Hailey, and allowed the Company to eventually dispose of
@
Exhibit No. 103
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 2 of 8
APPLICATION FOR AN AMENDMENTTO CERTIFICATE, Page 2
@At/
the Hailey Turbine, as approved by the Commission's Order No. 24676 in Case No. IPC-E-
92-9 dated January 27, 1993 (see Exhibit 2).
ldaho Power's application in Case No. U-1006-89 also addressed the
Company's request for authority to construct electric facilities extending north of Hailey to
serve the Ketchum-Sun Valley area. The Company proposed a new 138 kV transmission
line from the Wood River Substation to the Ketchum Substation to provide back-up service
for the existing Wood River-Ketchum 138 kV transmission line which runs along the east
end of the Wood RiverValley. However, afierthe issuance of the Commission's Order No.
11315 and Certificate No. 272,ldaho Power was unable to obtain the necessary right-of-
way for the additional 138 kV Wood River-Ketchum transmission line. The proposed new
138 kV line was intended to follow a portion of an existing 46 kV line route from the Wood
River Substation to the Gimlet area, but also required right-of-way through the city of
Ketchum. ln the meantime, the Company began the difficult and protracted process of
obtaining the necessary easements, licenses and permits for its Midpoint-Silver-Hailey
transmission line referenced above. Faced with continuing right-of-way obstacles in
extending a new 138 kV line north of Hailey, the Company has continued to rely upon its
existing Wood River-Ketchum 138 kV line for service to the Ketchum-Sun Valley area.
ldaho Power recently performed an extensive reassessment of the feasibility
and need for an additional 138 kV transmission line from the Wood River Substation to the
Ketchum Substation. This study included a review of both the capacity requirements and
the reliability requirements for ldaho Power's electric service to the Ketchum-Sun Valley
area.
Exhibit No. 103
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 3 of 8
APPLICATION FOR AN AMENDMENT TO CERTIFICATE, Page 3
@@
ldaho Powe/s cunent proiections of electric demand in the Ketchum-Sun
Valley area indicate that the existing Wood River-Ketchum 138 kV transmission line has
sufficient capacity to meet the area's electric needs for the foreseeable future. The 138 kV
line's capacity ranges from approximately 120-130 MW in the winter to approximately 90
MWduring the summer (power lines are able to carry more electricity in colder conditions).
By comparison, the actual winter peak load on the transmission line was 55.5 MW for
1994-1995, and proiected winter peak loads are estimated at 73 MW tor 2005-2006 and
110 MWfor 2030-2035. Summer peak loads on the transmission line are projected to stay
well below the 90 MW capacity of the line over the same planning period. ldaho Power will
continue to monitor its load growth projections and make modifications where necessary.
However, based on current projections, there is presently no need for a new 138 kV
transmission line to provide additionalelectrical capacity to the Ketchum-Sun Valley area.
ldaho Power has also thoroughly reviewed the reliability of its electrical
service to the Ketchum-Sun Valley area. The Wood River-Ketchum 138 kV transmission
line has had an excellent record of reliability since its construction in 1962. Nonetheless,
the Company has taken a number of steps to further improve the reliability of the line,
including the following:
1. Structural Assessment - Energy Data Management, lnc. of Colorado
has performed a field inspection and structural analysis of the poles, cross-arms,
insulators, conductors and other components of the transmission line. This study
confirmed that the transmission line structures are in good condition and are in
Exhibit No. 103
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 4 of 8
APPLICATION FOR AN AMENDMENT TO CERTIFICATE, Page 4
ffi\t/@
conformance with applicable National Electrical Safety Code standards. Structures and
cross-arms identified in the study as needing work were repaired.
2. Electrical Assessment - Energy Data Management and Power
Engineers of Hailey have analyzed the historical performance of the transmission line,
including outages and lightning+elated incidents. The transmission line was determined
to have an excellent outage history, with only two unplanned outages in the past fourteen
years, for a total duration of only three minutes. The electrical assessment was based
upon ldaho Power's records and did not include any brief outages which may not have
been recorded for the line over the year.
3. Fire Protection - Osmose, lnc. of New York has coated the
transmission poles with Fire-Guard protectant, which is designed to protect the poles
through three fires.
4. Avalanche Study - Power Engineers and Energy Data Management
have reviewed the probabilities and severities of avalanches in the vicinity of the
transmission line and calculated the resulting pole strength requirements. All structures
were determined to have adequate strength to withstand a SO-year recuren@ avalanche.
5. Conductor Assessment - ldaho Power performed visual inspections
of several spans of the transmission line wires which were removed in connection with the
rerouting of a one-mile segment of the line in 1994.
6. Maintenance Plan - ldaho Power has developed an enhanced
maintenance plan to repair and replace power line components as needed.
APPLICATION FOR AN AMENDMENT TO CERTIFICATE, Page 5 Exhibit No. 103
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 5 of 8
@
7. Emergency Action Plan - ldaho Power has prepared a detailed,
comprehensive emergency action plan to facilitate a rapid and effective response to a
service outage or other emergency regarding the power line. The plan includes detailed
maps and directions for access to structures, specific guidelines for structure
replacements, and contact lists for internal and extemal communications (e.9. law
enforcement, hospitals, etc.). Materials are stored in Hailey to facilitate the rapid
restoration of service in the event of an unplanned line outage.
ldaho Power has also recently completed an extensive public participation
process regarding the possible construction of a second 138 kV transmission line from the
Wood River Substation to the Ketchum Substation. The Company's process included
meetings before the Ketchum and Sun Valley Ci$ Councils, as well as before the Blaine
County Board of Commissioners. ldaho Power also presented a proposalto construct the
new transmission line to a Community Advisory Committee whose members are listed on
the Committee list attached hereto as Exhibit 3. ln addition, ldaho Power held a public
open house at Ketchum Crty Hall (with invitations sent to over 8,000 ldaho Power
customers in northern Blaine County) to provide information regarding the proposed
transmission line and to receive public comments.
Atthe conclusion of ldaho Powe/s publicparticipation process, the Company
carefully evaluated the input received from the area's public officials and citizens. The
ovennrhelming response from the parties commenting was that, despite the unavoidable
risk of an outage to the existing transmission line, the proposed transmission line should
not be built. The reasons for public opposition to the line included the dfficulty of finding
ffi\Kry
Exhibit No. 103
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 6 of 8
APPLICATION FOR AN AMENDMENT TO CERTI FICATE, Page 6
@@
an acceptable route for the transmission line, aesthetic impacts, health and safety
concerns, and excessive cost of burying part or all of the line. (The newspaper articles
attached as Exhibit 4 provide additional information regarding public input on the line).
Based on ldaho Powe/s extensive review of the proposal to construct a
138 kV transmission line from the Wood River Substation to the Ketchum Substation, and
in light of the public comments received regarding the line, the Company has concluded
that the project is not feasible at this time. ldaho Power will continue to monitor the
condition of the existing Wood River-Ketchum transmission line, the increase in load
growth in the Ketchum-Sun Valley area, and the feasibility of obtaining the required right-
of-way and public permits for a second 138 kV line.
Communications with reference to this Application should be sent to the
following:
Larry D. Ripley
Attomey
ldaho Power Company
P. O. Box 70
Boise, ldaho 837A7
Patrick A. Hanington
Attorney
ldaho Power Company
P. O. Box 70
Boise, ldaho 83707
WHEREFORE, the Company requests an Amendment to Certificate of
Public Convenience and Necessity, Certificate No.272, to remove the authority for the
construction of a second Wood River-Ketchum 138 kV transmission line from Certificate
of Public Convenience and Necessity, Certificate No. 272, as authorized by the
Commission in U-1006-89, Order No. 11315.
Exhibit No. 103
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 7 of 8
APPLICATION FOR AN AMENDMENT TO CERTIFICATE, PagaT
@
DATED at Boise, ldaho, this 2nd day of June, 1995.
D.
A. HARRIN
CERTIFICATE OF SERVICE
I HEREBY CERTIFY that on this 2nd day of June, 1995, I caused a true and
correct copy of the foregoing Application For An Amendment To Certificate of Public
Convenience and Necessity No.272 to be delivered to the following:
s
Blaine County Gommissioners
Len Harlig, Chairman
Box 400
Hailey, lD 83333
Hailey City Council
Steve Kearns, Mayor
Box 945
Hailey, lD 83333
Ketchum City Council
Guy Coles, Mayor
Box 2315
Ketchum, lD 83340
Sun Valley City Council
Tom Praggastis, Mayor
Box 416
Sun Valley, lD 83353
Blaine County Planning & Zoning
Linda Harvik, Administrator
Box 149
Hailey, !D 83333
Hailey Planning & Zoning
Mick \Mlliams, Chairman
Box 945
Hailey, lD 83333
Ketchum Planning & Zoning
Sam Flora, Administrator
Box 2315
Ketchum, lD 83340
Sun Valley Planning & Zoning
Jim McLaughlin, Chairman
Box 416
Sun Valley, !D 83353
Exhibit No. 103
Case No. IPC-E-I6-28
M. Morrison, Staff
O5l05ll7 Page 8 of 8
APPLICATION FOR AN AMENDMENTTO CERTIFICATE, Page 8
D P
KIffi*.
An loAcoRP company
July 6, 2015
Wood River Community Advisory Committee (CAC) Member
Subject: Wood River to Ketchum Redundant Transmission Line Update
Dear Wood River CAC Member:
In the continued effort to improve the service reliability to the northern portion of the Wood
River Valley, a team of Idaho Power employees recently completed a thorough review of
construction options and their associated costs to provide redundant power in the no(h valley.
The overall outcome of this review is that Idaho Power will pursue the development of a fully
redundant 138 kV transmission line from Hailey to Ketchum (the project). The project is the
same as the CAC's initial recommendation in the Wood River Electrical Plan for an overhead
138 kV transmission line (on new steel poles with distribution underbuild) from Hailey to the St.
Luke's Hospital area, then underground to the Ketchum substation. The only difference in the
project from the initial CAC recommendation is that the underground routing will now follow
SH 75 instead of the bike path. An additional outcome of this assessment is a siguificant overall
cost reduction to the community for the net expense of the underground transmission portion of
the project. The following changes led to this result:
The underground transmission cost estimate decreased by using a smaller cable size and
selecting a highway route with placement of the cable in conduits attached to the new
highway bridge,
The substation with underground distribution cost estimate increased due to additional
substation site preparation and additional asphalt repaving costs,
The substation with underground distribution cost (as discussed at the last CAC meeting)
is now estimated to exceed the underground transmission option.
The north valley constraints would force an overhead line on a set of common towers
with the existing line across Dollar Mountain. The common line outage exposure of this
configuration is inconsistent with the project purpose of providing a fully redundant
system, This configuration, combined with the likely requirement to condemn properties
near Ketchum substation to span into the existing substation, remove this configuration
option from consideration as a viable construction method.
The substation and overhead distribution construction method should be used as the
reference base cost when determining the incremental cost to be funded by the local
community, which requires underground facilities.
Similar to the King - Wood River line, the existing line is due for replacement based on
the age and condition. Without a redundant transmission line, a temporary line would
Exhibit No' 104
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 1 of 2
a
o
a
a
a
Redundant Transmission Line Update Page2 of 2 July 6,2015
need to be built to avoid excessive sustained outages during construction of a new line.
Idaho Power proposes to reduce the local community funding by the portion of the
temporary line that could not be salvaged following its removal.
Therefore, later this summer, Idaho Power will apply for the permits required to construct the
project with a reduced community cost based on adjustments described above. The incremental
cost to be funded by the local community, based on the conceptual design, ranges from $1.5 to
$1.9 million. Mike Pepper, Adam Richins and I will be meeting with the Blaine County
Commissioners and the mayors of Ketchum and SunValley to discuss the funding requirements
and options as soon as possible.
Please keep this information confidential until after Idaho Power publicly announces the project.
You are welcome to contact me at 208-388-2701 or dangell@idahopower if you have questions
or wish to discuss this project update.
Sincerely,
David M Angell
Manager, Customer Operations Planning
cc: Adam Richins
Mike Pepper, KMP Planning
Exhibit No. 104
Case No. IPC-E-16-28
M. Morrison, Staff
05/05117 Page2 of 2
REOUEST,FqR PRODUCTION tlO. ?: The Company's Application provides at
page 2 that'The North Valley is currently supplied by a single-source radial line that has
experienced sustained outages line events, which ldaho Power forecasts to increase in
frequenry.' With regard to this statement please respond to the following requests:
A.) Please provide a map of the North Valley, including its electrical system.
B) Please define the term "sustained outage line events."
C) Please provide a complete list of the 'experienced sustained outage line
events' for the line refened to. lnclude the duration, cause, remediation efforts and
results, and cost for the same.
D) When the line in question experiences a "sustained outage" event, please
explain what electrical service is available to the North Valley. Provide an electrical
map showing the source and routes for said residual electrical service,
E) Please provide copies of all "forecasts" refened to in the quoted passage
from the Company's Application. For each forecast please identity the individual(s) who
prepared the same and provide all workpapers and supporting documentation used in
the preparation of each forecast.
RESPONSE TO REQUEST FOR ?RODUCTTOTI| }.rO. 2:
A) A map of the existing transmission line is provided as Attachment 1 and a
map of the distribution facilities is provided as Attachment 2 on the enclosed CD.
B) The term "sustained outage line events" can be defined as an intenuption
in service lasting more than five minutes due to line conductor, insulator, or structure
failures. These have multiple causes, including vandalism, inclement weather, wood
decay, woodpecker damage, avalanche, fire, or micro-burst wind events:
IDAHO POWER COMPANY'S RESPON$E TO THE FIRST
PRODUCTION REOUEST OF KIKI LEELIE A. TIDWELL.3 Exhibit No. 105
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page I of 3
C) When an outage occurs, a restoration crew will identify the cause and
restore service. ldaho Power does not typically track the costs of individual line events.
The following table provides the rest of the requested outage information.
Date
Duratlon
(minuterl Cause
s/3L/79es 104 Maintenance
8lt4lt998 5 Unknown
1/tl2W4 10 Weather
70/7tl2W4 108 Maintenance - Repair Vandalism Damage
2/78/200s 58 Equipment Failure
7212412A09 700 Weather
9l27l2ot1 342 Maintenance
614/2014 46 Equipment Failure - Broken Cross Arms
8/12/2Ot4 126 Lightning
10/13/20Ls 465 Maintenance - Repair Woodpecker Damage
D) There is one distribution circuit tie switch to an adjacent circuit, HALY-ls
fed from the Hailey substation, available to the North Valley (please see Attachment 2),
E) The "forecast to increase in frequency" is based upon the fact that the line
was built in 1962 and its components are aging. When looking to the future, the
Company applies industry knowledge that equipment failure rates increase with age,
Please see the Direct Testimony of David M. Angell, pp.20-21.
O. Has ldaho Power estimated the potential for
future sustained outages in the North Valley?
A. Yes. Historically, this particular line has had a
relatively good service record for reliability. This was one of
the reasons that the previously issued CPCN was withdrawn
in 1995. However, this line, built in 1962, has not aged well
and now requires complete reconstruction. ldaho Power
estimates that without any significant changes to the existing
North Valley transmission line, the expectation could be that
the current configuration will result in an average duration of
sustained outages of more than 209 minutes per year.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF KIKI LESLIE A. TIDWELL - 4 Exhibit No. 105
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 2 of 3
The 209 minutes of sustained outage per year was estimated for outages caused
by a loss of 138 kilovolt ("kW) transmission north of the Wood River substation, using
ldaho Power system average data for 138 kV transmission lines and historical Wood
River-Ketchum 138 kV line performance, which is better than the ldaho Power system
average for 138 kV transmission lines.
The response to this Request is sponsored by David Angell, Customer
Operations Planning Manager, tdaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REOUEST OF KIKI LESLIE A. TIDWELL - 5 Exhibit No. 105
Case No. IPC-E-I6-29
M. Morrison, Staff05/05/17 page 3 of 3
REQUEST FOR PRODUCTION NO. 37: ln Request No. 2(C), ldaho Power was
asked to provide a complete list of "experienced sustained outage line events'for the
line referred to, which line was identified as'as a single-source radial line" that currently
serves the North Valley. The response identifies, inter alia, a 70O-minute outage on
1212412009. The response to Request No. 13 provides a list of "all recorded outages on
the Wood River-Ketchum 138kV line 433 from 1995 to present'. The referenced list
does not include the 70O-minute outage that was included in response to Request No. 2
(C). Please reconcile this apparent discrepancy.
RESPONSE TO REQUEST FOR. PRODUCTION NO. 37: The 70O-minute
outage on December 24,2009, was a sustained outage of the line due to the loss of
electric supply when both transmission lines serving the Wood River substation were
out of service due to inclement weather, This 700-minute outage was inadvertently not
listed in the Company's response to Kiki Leslie A. Tidwell's Request for Production
No. 13.
The response to this Request is sponsored by David Angell, Transmission and
Distribution Planning Manager, ldaho Power Company,
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND
PRODUCTION REQUEST OF KIKI LESLIE A. TIDWELL.3 Exhibit No. 106
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page I of I
REQUEST FOR PRODUCTI,9N NO. 13: At page 4 of the Application the
Company asserts that, "This line's access limitations may result in extended outages
. caused by, among other things, vandalism, inclement weather, wood decay,
woodpecker damage, avalanche, fire and micro-burst wind events.' Please provide the
duration, cost of response/repair and the date of each extended outage on this line
caused by:
(a) vandalism
(b) inclement weather
(c) wood decay
(d) woodpecker damage
(e) avalanche
(0 fire
(g) micro-burst wind events
Please explain in detail, including itemized costs, and provide copies of all studies and
documentation all of the measures the Company has taken to anticipate and prevent
the above listed causes of outages on the identified line.
RESPONSE TO REQUEST FOR PRODUCTION NO. 13:The following table
(Attachment 1) lists for a through g all recorded outages on the Wood River'Ketchum
138 kV Line 433 from 1995 to present.
On
Dur:Uon_
Mlnutcroff
s/3yL9913:02:00 PM
6/17/1997 5:53:@ PM
7/3O/1998 6:40:0O PM
s / 1L I L?e| 4 :46: 00 PM,
6/1711997 5:53:00 PM
7/1O/1598 6:44:0O PM
1(XSustained Maintenance
0 Momentary Weqlhgl
weath€r4
8lLll)e:p:p;r9elgojlyr..al!!1!!-s*a-!L):pp PM 5 Momentary Unknown
5:44:0O PM L/L/2W 5:54:00 PM 10 S6tained weather
LO/lL/Z@4l2to4:00 AM
217E/2OO5 5:58:0O PM
9/27|ZO1L 12:04;00 AM
l0/L7/2Co4 t:52:00 AM
2/L8(2WS 7:55:00 PM
9127l20ll5:53r00 AM
108
58
349
0
s!illf!ed
Sustained
$rstained
Vandalism
Eguipment Failure
Maint€n3nce 27340452 Str, & xarm Repair
FailurePM7PM
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF KIKI LESLIE A. TIDWELL.lS
8/L2l2Ot4 5:35:00 PM 8lt.U20t4 7:41:00 PM 125 Sustained Weather
1011"1/?9_l: 11_Oo-..99 ?tvt- !-oll49]l.91a!iQo--8!{_ _ _465Sustained Malntenance 27439191 ngpgtr-i
Exhibit No. 107
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 1 of 2
Provided as Attachments 2 and 3 on the enclosed CD are the summaries of
costs for the two identified work orders, 27t4o4.52 and 27439191, respectively.
The response to this Request is sponsored by Tris Yerrington, Transmission
Design Leader, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF KIKI LESLIE A. TIDWELL - 19
Exhibit No. 107
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page2 of 2
Offrce of the Secretary
Service Date
November 19,2W4
BEFORE THE IDAIIO PUBLTC UTILITIES COMMISSION
IDAHO POWER COMPAI{Y,
CASE NO.IPC.E"O4.4
Complainant,
CITY OF EAGLE,IDAHO,oRDER NO. 29634
Respondent
On February I l, 2004, Idaho Power Company filed a Complaint against &e City of
Eagle requesting that the Commission authorize the utility to construct a new 138-kV
transmission line from the Eagle substation to a new substation in Star, Idaho by either of two
proposed routes. Idaho Power filed its Complaint after the City had denied two Idaho Power
applications for conditional use permits (CUPs) seeking permission to build the line. The
Commission held a prehearing conference attended by counsel for the City, Idaho Power and the
Commission Staff. Based upon the agreement of the parties, the Commission set this matter for
hearing.
On September 9,20A4, the Commission held a technical hearing followed by a public
hearing. At the public hearing two members of the Eagle City Council asked the Commission to
consider an alternative route for the new transmission line. The Commission directed the parties
to explore the alternative and report their findings to the Commission. On November 16, 2004,
the parties filed a Joint Motion requesting the Commission approve a Settlement Stipulation that
included an agreed to alignment for the transmission line. The parties maintain that ttre
Stipulation is in the public interest and urge the Commission to approve the comprehensive
settlement without further delay. Based upon our review of the record and the terms of the
Settlement Stipulation, the Commission approves the Settlement resolving this case.
BACKGROTJND
A. The Complaint
The events leading up to Idatro Power's complaint are set out in Order No. 29444 but
the pertinent points are sunmarized here. Beginning in December 2000, Idaho Power sought
Y
)
)
)
)
)
)
)
)
)
)
Exhibit No. 108
Case No. IPC-E-16-28
M. Morrison, Staff
05/05117 Page I of 9
oRDERNO. 29634
approval of two different conditional use permits (CUPs) to construct a new 138-kV
transmission linel through the City of Eagle from near the existing Eagle substation to a new
substation located east of Star. In its initial CUP request, the Company sought an exception to
the City's zoning ordinance that limits the height of utilitypoles to 35 feet. Eagle Ord. $ 8-2A-
6(A)(7)(a). Idaho Power initially proposed that the new line follow an existing 69-kV
transmission Iine along State Street to the Star substation. After the City's Planning and Zoning
Commission (P&Z) recommended denial of the CUP in early 2001, Idaho Power formed a
Community Advisory Committee (CAC or Committee) at the suggestion of the Eagle City
Council to look at other routes.
Idaho Power and the CAC held a number of open houses and evaluated as many as
l6 different routes for the new transmission line. The Committee initially recommended that the
new transmission line be constructed underground through the City. When the CAC learned that
burying the lines would cost approximately $5-6 million more than an overhead line and that
Idaho Power would insist that the additional costs be bome by the City's customers, the CAC
concluded that this was not a viable option under these conditions. The Committee subsequently
recommended a route that would generally follow the Eagle By-pass designated as State
Highway 44,
In September 7007,Idaho Power filed another CUP requesting authority to build the
new transmission line along the Committee's recommended By-pass route using steel poles with
heights ranging from 70-85 feet. Idaho Power Exh. 3 at 2. In September 2003, P&Z
recommended the City deny the second CUP. Subsequent meetings between Idaho Power and
City officials in early 2004 examined six routing alternatives but no agreement was reached. In
February 2004, Idaho Power filed the present complaint. [n March 2004, the City Council
denied Idaho Power's 2002 CUP to build the line along the By-pass route.
B, Procedural History
Given the unique nature of this case, the Commission scheduled a prehearing
conference so the parties could discuss and recommend to the Commission how this matter
should be processed. Order No. 29444. Idaho Power, the City, and the Commissioo Staff
proposed that the Commission schedule a technical hearing to receive testimony from the
I the t38-kV transmission "line" is actually made up of three conductor lines and a "shield" line at the top of the
pole that protects the tfuee conductors from a lightning strike.
ORDERNO. 29634 Z ExhibitNo. 108
Case No. IPC_E_16_2g
M. Morrison, Staff_ 05/05117 page2of 9
parties' witnesses and a public hearing to take testimony from members of the public. Based
upon the agreement of the parties, the Commission set this matter for hearing. Order No. 29465.
On June 29, 2004, Eagle River LLC (the developer of a large property parcel located on the
southeast comer of Eagle Road and the By-pass) requested to intervene. kr Order No. 29543, the
Commission granted Eagle River intervenor status.
At the technical hearing, all the parties presented witnesses and supporting exhibits.2
Idatro Power presented two witnesses that addressed the need for the new line, its trvo altemative
proposed routes (State Sheet and the By-pass), and the disadvantages of burying the hansmission
line. The Commission Staff generally supported the Company's position. The City presented
three witnesses that asserted the new line was not necessary and that an aerial line would
decrease property values, They contended that if a new line was necessary, the line should be
buried. They also argued the additional cost of burying the line should be recovered from all
Idaho Power ratepayers, not just from Eagle customers. Eagle River's witness testified that if the
new transmission line was built along the By-pass, it would be detrimental to the value of Eagle
River's development.
At the public hearing, the Commission received testimony from 17 witnesses
including two members of the Eagle City Council. [n their testimony, the Council members
urged the Commission to evaluate an alternative route that would follow a southwesterly
direction through Eagle's Central Business District to the By-pass west of the Eagle Road
intersection. Tr. at 438; City Exh. 106. They testified this alternative alignment avoids the
City's residential areas and would, therefore, not adversely affect residential property values.
They also suggested that the altemative alignment would not adversely affect commercial
property values along the By-pass. Finally, this new alignment would preserve scenic views
along State Street, Jackson Square, and the gateway intersection of the By-pass and Eagle Road.
Tr. at 437,508.
Based upon this testimony, the Commission directed the parties to examine the
altemative alignment and advise the Commission whether such an alignment presents a
reasonable altemative to either the State Street or By-pass routes. On September 22,2004, the
parties advised the Commission that they were looking at two alternatives commonly referred to
2 Just prior to the technical hearing, the City filed a Motion for the Commission to dismiss Idaho Power's complaint.
Given the panies' Settlement StipulatiorL we need not address the issues raised in that Motion.
3 Exhibit No. 108
Case No. IPC-E-16-28
M. Morrison, Staff
05/05117 Page 3 of 9
oRDERNO. 29634
as: (l) the Alley-Eagle Road route; and (2) the Second Street-Plaea route. On November 16,
2004, the parties filed a Settlement Stipulation agreeing to the Alley-Eagle Road aerial
alignment.
THE PROPOSED SETTLEMENT
All the parties agreed with the Settlement Stipulation. kr their Stipulation, the parties
agreed that the alignment for the 138-kV transmission line should follow the Alley-Eagle Road
route. More specifically, the new line would cross State Street and enter the Eagle substation.
From the southem portion of the Eagle substation, the line would follow the alley south of State
Street to Eagle Road. From the corner of the alleyway and Eagle Road, the line would extend
south on the east side of Eagle Road past Plaza Street. The line would then cross Eagle Road
and continue along the northern portion of property developed by Zamzow's at the northwest
comer of Eagle Road and the By-pass. The line would cross the By-pass and continue westward
along the south side of the By-pass to the City limits and on to the Star substation. The proposed
alignment is illustrated in Exhibit I to the Settlement Stipulation.
Existing poles in the alleyway and on the east side of Eagle Road will be rernoved
and rcplaced with wood or "corten" poles.3 The new pole in the rear of the substation, and the
poles along the alleyway to Eagle Road will be the minimum height necessary to meet safety
clearancerequirements. IDAPA31.11.01.101. ThecornerpoleatthealleyandEagleRoadshall
be a corten pole because this pole must accommodate the existing overhead distribution lines and
facilities, as well as non-Idaho Power aerial lines (cable and telephone) in the alleyway. These
poles will not exceed 84 feet in height. Stipulation at'$!f 3-5.
The parties agree that the existing aerial distribution circuit located on the east side of
Eagle Road will be removed and buried. The parties also intend that non-Idaho Power facilities
along the east side of Eagle Road will be removed and buried. /d. at tf 8. Burying the
distribution line will allow Idaho Power to use shorter poles for the transmission lines. In
particular, the height of the wood poles on Eagle Road will decrease from the alleyway to a
height of 63 feet above grade at the southernly point where the transmission line will cross Eagle
Road. This latter wood pole will be stabilized with guy-wires. Id. at\ 5.
Once the line crosses Eagle Road, one corten pole not exceeding 63 feet in height
will be located on the Zunzow easement generally in the center of the northern property line.
3 A "corten" pole is a multi-faceted steel polc madc of a material that has the appearance of wood.
ORDERNO. 29634 4 ExhibitNo. 108
Case No. IPC-E_16_28
M. Morrison, Staff
-
05105/17 Page 4 of 9
This corten pole is needed for strength and will have a maximum base diameter of 48 inches.
The line will cross the By-pass and continue westerly on wood poles not exceeding 64.5 feet in
height. Id. at\fi6-7 .
The parties have agreed that the cost of burying the distribution line on the east side
of Eagle Road will be paid by the City. The cost is estimated to be approximately $300,000. /d.
at u 9. The City further agrees to pay Idaho Power either the Company's estimated work order
cost or the actual cost of burying the distribution line (which will not be deiermined until
completion of the project). The City and Idaho Power agree that the total estimated cost at this
time for buryrng the distribution line (including an interest rate of 7.8Yo over a term of
approximately three years) is about $342,206. /d at t[t[ 9-10.
To pay for the cost of burying the diskibution line, Idaho Power consents and the
City agrees to an increase in Idaho Power's franchise fee for electric service from one percent
(l%) to three percent (3%). Id. at 'il['![ ll-13; Idaho Code $ 50-329A(l)(a). Beginning on or
about April l, 2005, the City agrees to pay at least two-thirds (66.67%) of its franchise fee each
quarter to Idaho Power for burying the distribution line. Id. atl13. The parties further agree
that the 3% franchise fee will remain in place at the City's request until December 31, 2010.
Once the cost of burying the distribution line on Eagle Road is reimbursed, the City may use
subsequent franchise fees to defray the cost of burying additional Idaho Power disribution li,nes
within the City. Id. at\ 11. The City agrees to take all actions necessary to reduce the franchise
fee from 3o/oto l% effective December 31,2010. Id. at\12.
The parties assert the Settlement is a reasonable resolution of the complaint and is in
the public interest. /d. $ V. More specifically, the parties note that on November 8, 2004, the
City convened a public hearing for the purpose of reviewing and taking public comments on the
proposed alignment agreed to by the parties in Exhibit 1. Following the public hearing, the City
Council voted to approve the proposed aerial alignment. Id. at $ II.
The parties recommend the Commission accept this Stipulation without material
change or condition and without furttrer delay. If the Commission adopts the Stipulation without
material change no party shall attempt to further litigate or appeal the issues resolved by this
Stipulation. /d. $ IIL
5 Exhibit No. 108
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 5 of 9
oRDER NO. 29634
COMMISSION FINDINGS AI\{D DISCUSSION
The Commission is not bound by any settlement stipulation reached by the parties,
Pursuant to our Rule 276, the Commission will independently review this settlement proposal to
determine whether the settlement is just, fair and reasonable, and in the public interest, or
otherwise in accordance with law and regulatory policy. The Commission may accept the
settlement, reject the settlement, or add additional conditions under which the settlement will be
accepted. IDAPA 3 1.01.01.275.
After reviewing the evidence produced at our technical hearingn the public comments
and the terms of the Stipulation, the Commission adopts the Settlement Stipulation. We find the
proposed Settlement, including the alignment of the hansmission line and the burial of one
distribution line, is fair and reasonable, and in the public interest. The approved alignment is
shown in Attachment 1 to this Order. The Commission further finds that the terms of the
Settlement represent a reasonable resolution of this dispute.
The advantages to the City of the stipulated alignment over the By-pass route or the
State Street route are numerous. First, the new alignment places the transmission line away from
residential areas of the City - a concern expressed at our public hearing. Second, the line avoids
areas identified by the City as scenic view corridors, most notably tbe eastem side of the By-
pass, the intersection of the By-pass and Eagle Road, and the Jackson Square area of State Street.
Third, the agreement to bury the distribution line on the east side of Eagle Road allows the
Company to utilize shorter poles, thereby further preserving scenic views. Utilizing a new
pathway on the south side of the By-pass unencumbered with existing utility facilities also
allows the Company to use shorter 63-foot poles. Finally, the Stipulation provides for the burial
of other existing distribution lines in the City through 2010.
We further find that although the City presented conflicting testimony, there is
substantial and competent evidence that construction of the subject transmission line is necessary
to serve western Ada County. Although the City challenged the need to construct this line, we
find Idaho Power witness David Sikes' testimony persuasive. In particular, he testified that the
existing 69-kV line currently supplying the Lansing and Star substations is inadequate to reliably
serve the projected load during the summer of 2005. Tr. at 525, On rebuttal, he noted that loads
in August 2004 were approaching critical levels. He argued that it was imperative that this
ORDERNO. 29634 6 Exhibit No. 108
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 6 of 9
transmission line upgrade be made "to assure senrice reliability and to prevent the potential
occurrence of outages during the summer of 2005." Id.
We further find that upgrading the existing transmission line is not just a short-term,
temporary solution. As Mr. Sikes explained, there was confusion about what "temporary''means
in the realm of transmission planning. He explained that completing this line will serve two
primary purposes. Fint, this line will supply increased voltage support and capacity to the new
Star substation. Extending the 138-kV transmission line from the Eagle substation to ttre Star
substation "is the lowest cost and most expedient solution to provide that near-term need." Tr. at
549. In this particular case, the "temporary" noed for this line is immediate and intended to
satis$ the Company's transmission requirements for at least 10 years. Second, this line will
serve as a secondary source of power for the City of Eagle by creating a redundant supply loop.
Tr. at 550-51. Consequently, this line will improve the reliability of electric service to the entire
Eagle area. Providing reliable service and avoiding outages is in the public interest.
We also find that the Settlement Stipulation is consistent with the intent of the
Underground Conversion of Utilities Law, Idaho Code $ 50-2503. This section authorizes cities
to convert overhead electric facilities to underground locations. Here the costs of burying
distribution lines are being recovered from Eagle residents pursuant to local decisions and
actions.
Although this process has been difficult and contentious at times, this case is another
example of the importance of a public hearing. In particular, it was the testimony received at a
public hearing that precipitated investigation of the new alignment proposed in the Stipulation.
We appreciate the efforts and contributions of the parties in reaching this settlement. We
commend Idaho Power for its willingness to work with and be responsive to the communities it
serves.
Finally, we note that this case should serve as a reminder to utilities that they should
monitor and participate in local land use planning activities. In particular, Idaho Code $ 67-
6508(h) requires that city and county comprehensive plans consider and identify 'ttility
transmission corridors" and other public facilities. For purposes of transmission planning,
utilities must advise local govemments that the construction of electric transmission lines
normally entails tall poles and structures. We also encourage cities and counties to be realistic in
designating transmission corridors within their areas. It may not be enough to simply designate
oRDERNO. 29634 7 Exhibit No. 108
Case No. IPC-E-16-29
M. Morrison, Staff05/05/17 page 7 of 9
that public streets and road right-of-ways will sewe as transmission corridors. Aerial
transmission lines are the most cost-effective construction method and represent 99% of all
transmission line miles in the nation. Tr. at 305.
ORDER
IT IS HEREBY ORDERED that the parties' Joint Motion to Adopt the Settlement
Stipulation is granted. The Commission adopts and approves the Settlement Stipulation.
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. IPC-E-04-4
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. IPC-E-04-4. Within seven (7) days after any person has petitioned for
reconsideration, any other person may cross-petition for reconsideration. See ldaho Code $ 6L-
626,
DONE by Order of the Idaho Public Utilities Commission at Boise, tdatro this /7s
day of November 2004.
PRESIDENT
MARSHA H. SMITH, COMMISSIONER
IONER
ATTEST
P
S
n^A fufl
l6ah o. Jeweil/ I
C/mmission SYcretary
blE/O'IPCE0,l04_dh5
8 Exhibit No. l0g
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 8 of 9
ORDERNO. 29634
By-pass
Substation
ATTACHMENT 1
ORDERNO.29634
CASE NO. IPC.E.O4.4
ExhibitNo' 108
N
t
Case No. IPC-E-16-28
M. Morrison, Staff
05l}5ll7 Page 9 of 9
--- fiPPloved Alignment
REQUEST NO. 1: The Application indicates that the Company determined that
the Overhead Transmission options are not viable. Application at 19-20, Angell Direct
at 29-31. For the Dotlar Mountain route, this determination was based on likely
opposition, lack of redundancy, and need for condemnation. Angell Direct at 29. For
the Downtown District route, this determination was based on likely opposition, likely
failure to receive permitting from the Ci$ of Ketchum, and on geographical constraints,
and likely need for significant condemnation of private property. Application at '19-20,
Angell Direct at 30-3'1. The Application indicates that the Overhead Distribution option
is now considered the base case option. Application at 21-22.
a) Please provide additional detail regarding the determinations that the
Overhead Transmission options are not viable and why and how they were made.
Please include any documentation of the decisions and any information, studies or
analysis on which the determinations were based.
b) When were the Overhead Transmission options determined to not be
viable? Please provide any documentation.
c) Please provide the Company's criteria for deciding that condemnation of
private properff makes a project unviable and how were such criteria applied here.
Have these same criteria been applied to other ldaho Power projects?
d) Please provide the Company's criteria for determining that visual impact
and local customer opposition makes a project unviable and how were such criteria
applied here. Have these same criteria been applied to other ldaho Power projects?
e) Please provide details and documentation regarding when and why the
Overhead Distribution option became the base case option, including any studies or
analyses.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRoDUcTIoN REQUEST oF THE CoMMISSIoN STAFF.2 EXhibit NO. IO9
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 1 of 6
0 Please describe and provide documentation of the differences between
the Overhead Transmission and Overhead Distribution options described in the
Application at 19-22, including but not limited to any differences in cost,
feasibility/viability, required equipment, and reliability.
g) Has the Company's proposed base case using Overhead Distribution ties
been the subject of either the Company's Community Advisory Committee (CAC)
process, or any other public forum? lf so, please provide a summary of the proceedings
and meeting minutes.
RESPONSE TO REQUEST NO. 1:
a) The viability of constructing a second overhead transmission line between
the Wood River and Ketchum substations came into question at the beginning of the
ldaho Power 2007 CAC process. Two of the three CAC mapping groups only proposed
underground transmission options within the Ketchum city limits. The third mapping
group proposed underground contingent on funding. The Downtown route was initially
deemed not viable at that time and reaffirmed in 2011. !n the summer of 2016, ldaho
Power performed a second review of that route. At that time, for reasons noted in ldaho
Power's Application, ldaho Power determined that it was not a viable route. Please also
see the additionaldiscussion and materials provided in response to subparts b through f
of this Request.
Based on the discussions during public meetings in 2014, CAC members and
ldaho Power became increasingly concerned about the viability of the Dollar Mountain
route, The routing investigation of that option resulted in the joining of the two
transmission lines on single towers across Dollar Mountain. ldaho Power's Planning
Department determined that placing the two transmission circuits on common towers
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
pRoDUCTtON REqUEST OF THE COMMTSSTON STAFF - 3 Exhibit No. 109
Case No. IPC-E-I6-28
M. Morrison, Staff
05105117 Page 2 of 6
across Dollar Mountain was not acceptable because a common tower section of the
overhead transmission across the top of Dollar Mountain presents the North Valley with
continued exposure to sustained outages for tower or hardware failures. This common
circuit outage exposure does not meet the project purpose.
b) ln the summer of 2015, after a review by ldaho Power's Planning
Department, ldaho Power determined that double circuiting the transmission line across
Dollar Mountain was not acceptable as described in the Company's response to Staffs
Request No. 1.a.
The Downtown route was initially deemed not viable during the original meetings
of the CAC in 2007 and reaffirmed in 2011. ln the summer of 2016, ldaho Power
performed an additional review of that route. At that time, for reasons noted in ldaho
Powe/s Application, ldaho Power determined that it was not a viable route.
c) ldaho Power generally attempts to avoid condemnation by taking part in
negotiated resolutions, to the extent possible. Given the myriad of potential legal and
public relations issues involved in condemnation, it is not practical to have a one-size
fits all criteria. That said, ldaho Power typically reviews the following considerations
when evaluating the potential impacts of condemnation on a transmission line route:
the size and scope of required condemnation, the cost of condemnation, the time frame
related to condemnation proceedings, the impact to landowners, the impact to customer
satisfaction, the impact on local project support and permitting approvals, environmental
issues, and alternatives to condemnation. ln this case, ldaho Power believed that the
cost to condemn propefi in downtown Ketchum could be significant given property
values. ln addition, ldaho Power was advised by the CAC and other members of the
community that the legal proceedings for such action would be significant because
IDAHO POWER COMPANY'S RESPONSE TO THE FIRSTpRoDUcTtoN REeUEST oF THE coMMtSStoN 5TAFF _ 4 Exhibit No. 109
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 3 of 6
residents and public officials were adamantly against having transmission lines through
downtown Ketchum. Finally, the cities of Ketchum and Sun Valley have ordinances that
require new transmission facilities to be located underground. While any one of these
factors (by themselves) may not prevent condemnation, when reviewed in totality, ldaho
Power believed that other options were preferred.
d) Like with condemnation, the determination of whether visual impacts
preclude a project requires a case-by-case analysis. No single set of criteria is used for
this evaluation, Visual impacts alone generally do not prevent a project from being built.
However, visual impacts---coupled with condemnation issues, restricting ordinances,
and congested valley conditions-can lead ldaho Power to move away from a particular
option. ln this case, when these issues were reviewed in totality, the CAC and ldaho
Power determined that the Downtown route would likely not be built.
e) The Overhead Distribution option became the base case option in a letter
sent on July 6, 2015, to the Wood River CAC members. Please see Attachment 1
provided on the enclosed CD. The letter states that the Overhead Distribution option
should be used as the reference base cost when determining the incremental cost to be
funded by the localcommunity.
The analysis performed to determine that the Overhead Distribution option was
the base case option was included in the testimonies of Company witnesses Angell at
29 and Adelman at 18.
The Company has typically relied on redundant overhead transmission for full
redundancy of service. The other traditional construction practice that the Company
utilizes to provide redundancy of service is overhead distribution. The Company
regularly installs tie switches between distribution circuits to provide altemate service to
IDAHO POWER COMPANY'S RESPONSE TO THE FIRSTpRoDUcTtoN RE.UEST oF THE CoMMtSStON STAFF _ s Exhibit No. 109
Case No. IPC-E-16-28
M. Morrison, Staff
05/05/17 Page4 of6
restore customers during substation and circuit outages. The Overhead Distribution
option was determined to be more viable than overhead transmission and was used as
the base cost.
0 The Overhead Transmission option estimate is $18.5 million, not including
any right-of-way costs. Please see Attachment 2 provided on the enclosed CD. The
Overhead Distribution option estimates range between $29.1 million to $31.1 million.
Please see Attachments 3-6 provided on the enclosed CD, which include cost estimates
for the projects that encompass the Overhead Distribution option and supporting notes.
ldaho Powe/s Application (p. 19) references the feasibility/viability problems with
an Overhead Transmission route, either across Dollar Mountain or through the Ketchum
downtown district. Generally, the Dollar Mountain option does not meet the intended
purpose, providing a fully redundant line, while the downtown route has constructability
challenges with zerc setback buildings and tight geographical constraints. The
feasibility/viability of the Overhead Distribution option is described in the Company's
Application (pp.21-22) and is a traditional and standard construction.
The required equipment is the same for the Common Route (Angell Direct p. 25).
From this point, the required equipment is substantially different between the two
options. An Overhead Transmission option, similar to Underground Transmission,
requires switches and terminals within the Ketchum substation. The Overhead
Distribution option requires a new substation, explained in the Application (p. 21t.,
including transformers, metalclad, getaway feeders, a control building, and visual/sound
screening.
Reliability is discussed in detail in Adelman Direct (pp. 6-9). A transmission
alternative, overhead or underground, provides up to 120 megawatts ("MW') of
IDAHO POWER COMPANY'S RESPONSE TO THE FIRSTpRoDUcTtoN REoUEST oF THE CoMMtSstoN STAFF - 6 Exhibit No. 109
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 5 of 6
capacity, while a distribution alternative provides 60 MW of capacity. A transmission
alternative is fully redundant and customers would likely not experience sustained
outage for loss of a transmission line. A distribution alternative may have some
interruption in service caused by a transmission line; customers may experience short
sustained outages while the distribution circuits are switched.
g) Yes. The Overhead Distribution option was first presented as an
alternative at the October 2,2414, CAC meeting (please see Attachments 7 [meeting
results rather than meeting minutesl and 8 provided on the enclosed CD). The CAC did
not select this option as the preferred alternative, but it was identified as a feasible
alternative for fu rther evaluation.
The Overhead Distribution option was presented again as background
information in the October 30, 2014, CAC meeting to compare with the Underground
Distribution option (please see Attachment I [meeting notes] provided on the enclosed
cD).
ln a July 2015 lefter to the CAC, the Overhead Distribution construction method
was mentioned as the base case when determining the incremental costs to be funded
by the local community (please see Attachment 1 provided on the enclosed CD).
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 7 Exhibit No. 109
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 6 of 6
REQUEST NO. 14: On page 19 of its Application, the Company explains that
the overhead transmission line route through the Ketchum Downtown District would
depend upon the condemnation of private property. Please provide the Compant's
estimates of condemnation costs of the Overhead Transmission line route through the
Ketchum Downtown District.
RESPONSE TO REQUEST NO. 14: As stated in the Company's Application,
"Neither of the two possible route options for an Overhead Transmission construction
configuration lDollar Mountain or Downtown District] prcvides a viable solution for
redundant electric seMce to the North Valley." Application at 20. As further explained
on pages 18-19 of the Application:
The North Valley exhibits several transmission siting
obstacles for overhead access to the existing Ketchum
substation. First, the North Valley is congested due to
numerous rcsidences and businesses sited in a valley less
than one mile wide with mountains of steep slope and
narow roadways. This would force an overhead
transmission line either thrcugh the downtown district of
Ketchum or over the top of Dollar Mountain and spanning
down over existing homes near the substation. . . .
The line route across Dollar Mountain would be limited to a
double circuit on @mmon tower configuration with the
existing 138 kV transmission line from Elkhom substation to
Ketchum substation. This common tower construction has a
high probability of resulting in the simultaneous loss of both
transmission circuits should a failure occur, resulting in North
Valley customer outages for the Line Events. This fact alone
defeats the purpose and need of constructing a redundant
source of energy to imprcve the reliability of service, and is
therefore not a viable option. Additionally, condemnation of
private property may be required to enter the Ketchum
substation overhead from Dollar Mountain. Finally, North
Valley customers would likely strongly oppose this option
due to the visual impacts. This option would not provide an
independent and fully redundant transmission source to the
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND
PRODUCTION REQUEST OF THE COMMISSION STAFF - 4
Exhibit No. 110
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page I of 6
Ketchum substations nor meet the purpose and need where
the other options discussed below would.
The Overhead Transmission line route through the Ketchum
downtown district would have significant challenges. The
challenges include the fact that the City of Ketchum is set up
with a grid of streets, sidewalks, and zero setback buildings.
Options that exlst for conetruction of overhead transmisslon
include placing the poles in the sidewalks, the edge of
streets, and overhanging the wires over the streets,
constructing tall enough structures to span the wires over the
tops of buildings, and utilizing side streets. Because of the
very tight geographical constraints, this option would likely
be dependent upon and require condemnation of private
property in order to pass through downtown Ketchum with an
overhead line to the Ketchum substation. Again, North
Valley customers, in particular Ketchum customers, would
strongly oppose this option on visual impacts alone.
However, ldaho Power has made some preliminary assessments of the potential
costs to be incuned in providing redundant electric service to the North Valley thnrugh
an overhead transmission option. The Overhead Transmission line route through the
Ketchum Downtown District would be located primarily in the public road right-of-way,
with the steel transmission poles located at the outer edge of the right-of-way. lf ldaho
Power were to use its TR (triangular) configuration for the 138 kV transmission line that
is proposed for other overhead portions of the transmission line (please see Attachment
1 provided on the enclosed CD), one of the transmission line insulators (approximately
five feet long) and the transmission line conductor attached at the end of the insulator
would extend out over the adjacent private property. This would require ldaho Power to
obtain an overhang easement over the private property for the insulator and conductor
along the length of the transmission line.
As an altemative to the TR configuration, ldaho Power could employ a TA
(tangent angle) transmission line configuration where all three transmission line
IDAHO POWER COMPANYS RESPONSE TO THE SECOND
PROOUCTION REQUEST OF THE COMMISSION STAFF. s Exhibit No. I l0
Case No. IPC-E-I6-2g
M. Morrison, Staff
05105117 Page 2 of 6
insulators and conductorc are placed on the mad side of the power line (please see
Attachment 1). The TA poles (approximately 60 feet tall) are roughly 10 feet taller than
TR poles (approxlmately 50 feet tall) in oder to provide sufficient spacing for the three
insulators and conductors on the sarne side of the pole. However, even with all thrce
insulators extending to the road side of the pole, the TA configuration could still require
overhang easements on the adjacent private prcporty because there would not be
enough horizontal clearance frcm the conductors to a building constructed at the edge
of the adjacent private property (which would be possible with the zero setback
requircments in the Ketchum Downtown District).
ldaho Power has also reviewed engineering options for avoiding the transmission
line overhang and clearance requirements through the Ketchum Downtown District.
ldaho Power could add three cross-arms to make a modified TA configuration called a
'Davit Arm" structure in order to extend the three conductors further out into the rcad
right-of-way (please see Attachment 1). The Davit Arms would be approximately 12
feet long and each arm would have six-foot long insulators attached at the end of the
arm (to guide the energized conductor wire away from the end of the arm). ln some
cases this would cause the 12-foot arm plus the six-foot insulator extending directly out
from the arm to create a combined horizontal extension arm of 18 feet. This Davit Arm
configuration would eliminate the need for overhang easements or clearance space with
respect to the adjacent private prop€rly. However, the Davit Arm design is visually
more intrusive than the TR or TA designs as shown on Attachment 1. A photograph of
the Davit Arm configuration is also shown on Attachment 2 provided on the enclosed
CD. ldaho Power does not believe the Davit Arm design would be a viable option for
the overhead transmlsslon line rcute thrcugh the Downtown District because the North
IDAHO POWER COMPANYS RESPON$E TO THE SECOND
PRODUCTION REOUEST OF THE COMMISSION STAFF.6
l,xhrbit No. I l0
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 3 of 6
Valley customers, in particular Ketchum customers, would strongly oppose this option
based on its visual impacts alone. Additionally, the placement of so many non-standard
struclures in such close proximity to roads and zero setback buildings is simply not a
viable routing solution.
ldaho Power has not determined how many overhang easements on private
property would be required for the overhead transmission line route through the
Ketchum Downtown District under a TR or TA transmission line configuration. This
determination would require survey, design, and engineering of the route to establish
the specific locations of the transmlssion poles withln the road right-of-way (or
potentially in some cases, outside road right-of-way), followed by an assessment of the
overhang and clearance impacts of the transmission line on the adjacent private
property. However, ldaho Power did identify the private parcels adjacent to the
overhead transrnission line route through the Ketchum Downtown District that could
possibly require overhang easements. A list of those parcels and their respective
assessed values are provided on the enclosed CD as Attachments 3 and 4.
Of the 20 properties identified in Attachments 3 and 4 related to the Downtown
District route, the assessed values range from a low of approximately $13,000 to a high
of approximately $2.6 million. Four of the 20 identified properties show a zero-assessed
value because they are Church-owned properties. The approximate total assessed
value of the remaining 16 properties exceeds $19.4 million. The estimated value of the
undeveloped land across Dollar Mountain is approximately $10/square foot. One
approximation for estimating the value of an easement is 50 percent of the market value
for the portion of the parcel required for the right-of-way. Under this approximation, the
estimated 100 foot wide easement cost for the two-mile portion across Dollar Mountain
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND
PRODUCTION REOUEST OF THE COMMISSION STAFF. T Exhibit No. 110
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 4 of 6
is $5,420,000. The last span of line required sf the Dollar Mountain nrute that enters
the Ketchum substation crosses four parcels in a developed residential subdivision in
Sun Valley. These parcels have a combined assessed market value of $7,31 1,248,
ldaho Power is unable to determine at this time what the easement valuation
would be for overhang easements crcssing the parcels listed on Attachments 3 and 4
for the Downtown District route, and is unable to determine at this time what the
valuation of possible condemnation of required rightof-way wpuld be valued at for
either the Downtown District route or the Dollar Mountain ruute. Relevant factors would
include the width of the easement strip, the existence of buildings or other
improvements within the easement strip, and the "severance" impact on the remainder
of the private parcel adjacent to the easement strip. Proper$ owneni could seek much
higher levels of compensation for the ldaho Power transmission line easements in a
condemnation proceeding. Condemnation damages are typically calculated based on
the value of the owne/s property before and after the condemnation taking. This
includes the diminution in value to the easement strip and also any 'severance'
damages to the remainder of the owne/s property outside of the easement. ln addition,
the property owner would seek to recover his or her legal expenses from ldaho Power
for the condemnation proceeding, which may or may not be recoverable depending on
the amount of the condemnation award compared to ldaho Powefs final offer for the
easement acquisition. ldaho Power would also incur its own outside legal counsel
expenses for representation in the condemnation prcceedings. Added to the potential
cost and liability of mnstruction of transmission lines and structures in such close
proximity to tall buildings and other improvements upon the real property impacted
thereby, is the potentialfor claims of inverse condemnation, which could be very costly.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND
PRODUCTION REQUEST OF THE COMMISSION STAFF. s Exhibit No. I l0
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 5 of 6
Based on these multiple variables, ldaho Power cannot provide a meaningful estimate
of the cost of condemnation for either the Downtown District or the Dollar Mountain
route. However, based upon the nature of the structures and improvements that exist
on the parcels through downtown Ketchum and around the Ketchum substation, as well
as the very high assessed property values of the same, combined with an unknown
future but potentially costly liability associated with inverse condemnation claims, the
practicalities of actually obtaining the required easements, by condemnation or
othenrise, could be extremely costly and is simply not reasonable and prudent.
Because a more precise estimate of potential easement costs would require
significant additional work, cost, and evaluation (as stated above, this would require
among other things suryey, design, and engineering of the route to establish the specific
locations of the transmission poles followed by an assessment of the overhang and
clearance impacts of the transmission line on the adjacent private property) and
because both overhead route options were determined to not be viable solutions for
redundant electric service to the North Valley, no further investigation of these costs
was done. The additional unknown costs of possible condemnation would not be
known with more certainty until the Company was at the point of aclually pursuing
condemnation. Furthermore, the extent of exposure to possible claims of inverce
condemnation would be an additional potentially very costly liability moving forward after
such a line were constructed.
The response to this Request is sponsored by Dave Angell, Transmission and
Distributlon Planning Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE SECOND
PRODUCTION REOUEST OF THE COMMISSION STAFF.9 Exhrbrt No. I lU
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 6 of 6
REQUEST NO. 6: Has the Company compared the lifecycle costs of maintaining
the proposed TPI Underground Transmission System and the Overhead fransmission
system described on page 19 of the Company's Application? lf so please provide such
information.
RESPONSE TO REQUEST NO. 6: The annual operations and maintenance
costs, expressed in 2016 dollars, for Underground Transmission and Overhead
Transmission are $26,558 and $13,124, respectively. An overhead transmission line
typically has a lifespan of 70 to 80 years, while underground transmission lines of the
proposed design have only been around for 30 to 40 years and have not typically
reached end of life. Therefore, a full maintenance lifecycle cost analysis including the
replacement of the asset has not been completed.
The response to this Request is sponsored by Dave Angell, Customer
Operations Planning Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 13 ExhibitNo. lll
Case No. IPC-E-16-28
M. Morrison, Staff
05105117 Page 1 of I
REQUEST NO. 5: ln his direct testimony, Mr. Adelman indicates that ldaho
Power has no experience with underground transmission lines, and that in the event of
a cable failure, the Company would use contractors with underground transmission
experience (Adelman Direct at 7).
a) Please provide a list of qualified contractors and where they are located.
b) Does the Company plan to enter into agreements with these companies to
ensure that service is available when required? Please describe the type of agreement
and services required.
RESPQNQE TO REQUEST NO. 5:
a) ldaho Power does not currently have a list of qualified contractors.
b) ldaho Power would select a cable manufacturer and use a contractor that
is certified by that manufacturer to install, splice, and terminate its specific cable. ldaho
Power will specify a warranty or agreement with the selected manufacturer so that, in
case of a failure, the manufacturer would supply a qualified contractor to make the
repair.
The response to this Request is sponsored by Ryan Adelman, Customer
Operations Projects Manager, ldaho Power Company.
IDAHO POWER COMPANY'S RESPONSE TO THE FIRST
PRODUCTION REQUEST OF THE COMMISSION STAFF - 12 Bxhibit No. I l2
Case No. IPC-E-16-28
M. Morrison, Staff
05/05117 Page I of I
CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 5.h DAY OF MAY 2017,
SERVED THE FOREGOING DIRECT TESTIMONY OF MICHAEL MORRISON IN
CASE NO. IPC.E-16-28, BY MAILING A COPY THEREOF, POSTAGE PREPAID, TO
THE FOLLOWING:
DONOVAN E WALKER
LEAD COUNSEL
IDAHO POWER COMPANY
PO BOX 70
BOrSE ID 83707-0070
E-mail: [e-mail]
dockets .com
PETER J RICHARDSON
RICHARDSON ADAMS PLLC
515 N 27TH STREET
BOISE ID 83702
E-mail s.com
MATTHEW A JOHNSON
Wm. F GIGRAY
WHITE PETERSON GIGRAY
& NICHOLS PA
57OO E FRANKLIN RD STE 2OO
NAMPA ID 83687
E-mail: [e-mail]
BENJAMIN J OTTO
ID CONSERVATION LEAGUE
710 N 6TH STREET
BOISE TD 83702
E-mail : [e-mail]
E.MAIL ONLY
SIERRA CLUB
ZACK WATERMAN
zack. waterman@ si errac I ub. or g
TIM TATUM
VP REGULATORY AFFAIRS
IDAHO POWER COMPANY
PO BOX 70
BOISE rD 83707-0070
E-mail : [e-mail]
KIKI LESLIE A TIDWELL
3OO LET'ER BUCK ROAD
HAILEY ID 83333
E-mail: [e-mail]
LAURA MIDGLEY
231 Y ALLEY CLUB DR
HAILEY ID 83333
E-mail: midgley22 I [e-mail]
KELSEY JAE NTINEZ
KELSEY JAE NUNEZLLC
920 N CLOVER DR
BOISE ID 83703
E-mail: [e-mail]
MICHAEL HECKLER
3606 N PROSPECT WAY
GARDEN CITY ID 83714
E-mail: [e-mail]
CERTIFICATE OF SERVICE
COXCOM LLC
CIO C TOM ARKOOSH
ARKOOSH LAW OFFICES
PO BOX 2900
BOISE ID 8370I
E-mail : tom.arkoosh@.arkoosh.com
CERTIFICATE OF SERVICE