20161206notice_of_application_order_no_33665.pdf

BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY TO
APPROVE ITS SALE OF ASSETS TO
MCCAIN FOODS USA, INC.
-------------------
) CASE NO. IPC-E-16-31
)
) NOTICE OF APPLICATION
)
) NOTICEOF
) MODIFIED PROCEDURE
)
) ORDER NO. 33665
Office of the Secretary
Service Date
December 6. 2016
On November 15, 2016, Idaho Power Company sent a letter to Commission Staff,
advising that it reached an agreement to sell certain Company-owned assets to its customer,
McCain Foods USA, Inc., pursuant to the Company's Rule M "Facilities Charge Service." Rule
M governs the sale of Company-owned assets or facilities that are -as here -beyond the "point
of delivery." The point of delivery (POD) is the point at which the customer's power-usage is
measured, and "beyond the POD" refers to the customer side, rather than the utility side, of the
POD. Order No. 33470 at L
Idaho Power asked Staff how the Company should request the Commission's
approval of the transaction. Staff conveyed to Idaho Power that the request should be processed
as an Application. Staff and the Company agreed it was appropriate to treat Idaho Power's letter
as an Application, and the matter was assigned the above case number. Staff recommended that
the Commission process the matter by Modified Procedure with a 21-day comment period. The
Commission issues this notice of the Company's Application and Notice of Modified Procedure.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the assets at issue are used to meet "McCain's
service requirements" alone, and are "not devoted to the public service." Application at 2. Idaho
Power and McCain agreed that McCain would purchase the assets "and thereby assume
ownership, operation, maintenance, and all liabilities associated therewith," in order to resolve
"current mixed ownership issues." Id. at 1.
YOU ARE FURTHER NOTIFIED that Idaho Power states the total sale price of the
assets, which was "reached as the result of an arm's length transaction," is $373,974. Id. at 3.
"Idaho Power explained the sale price methodology and resulting amounts" -described in its
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 33665 1
Application -"to McCain prior to execution of the Agreement and McCain does not contest the
same." Id. The Company's accounting treatment is also set forth in the Application. Id. at 4.
YOU ARE FURTHER NOTIFIED that the Application and a copy of the Asset
Purchase Agreement have been filed with the Commission and are available for public
inspection during regular business hours at the Commission offices. The Application and
attachments are also available on the Commission's web site at Click on
the "File Room" tab at the top of the page, scroll down to the type of "Open Electric Cases," and
then click on the case number as shown on the front of this document.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determined that the
public interest may not require a formal hearing in this matter and will proceed under Modified
Procedure pursuant to Rules 201 through 204 of the Idaho Public Utilities Commission's Rules
of Procedure, IDAPA 31.01.01.201-204. The Commission notes that Modified Procedure and
written comments have proven to be an effective means for obtaining public input and
participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this
Application may file a written comment in support or opposition with the Commission by no
later than 21 days from the service date of this Order. The comment must contain a statement
of reasons supporting the comment. Persons desiring a hearing must specifically request a
hearing in their written comments. Written comments concerning this Application shall be
mailed to the Commission and Applicant at the addresses reflected below:
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
Street Address for Express Mail:
472 W. Washington St.
Boise, ID 83702-5918
Lisa Nordstrom, Lead Counsel
Zach Harris, Regulatory Analyst
Idaho Power Company
PO Box 70
Boise, ID 83707-0070
E-mail: ,.c::::.======="~"'~~"'~
These comments should contain the case caption and case number shown on the first page of this
document. Persons desiring to submit comments via e-mail may do so by accessing the
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 33665
Click the "Case Comment or Question
2
Form" under the "Consumers" tab, and complete the comment form using the case number as it
appears on the front of this document. These comments must also be sent to Idaho Power at the
e-mail addresses listed above.
YOU ARE FURTHER NOTIFIED that the Company may file reply comments, if
necessary, by no later than 28 days from the service date of this Order.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the time limit set, the Commission will consider this matter on its merits and
enter its Order without a formal hearing. If written comments are received within the time limit
set, the Commission will consider them and, in its discretion, may set the same for formal
hearing.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission's Rules of Procedure, ID APA 31.01.01.000, et seq.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held pursuant
to the Commission's jurisdiction under Title 61 of the Idaho Code, and specifically Idaho Code
§§ 61-502 and 61-503. The Commission may enter any final Order consistent with its authority
under Title 61.
ORDER
IT IS HEREBY ORDERED that this case be processed under Modified Procedure.
Interested persons may file written comments no later than 21 days from the service date of this
Order. The Company may file a reply no later than 28 days from the service date of this Order.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 33665 3
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this
day of December 2016.
R, COMSSIONER
ERIC ANDERSON, COMMISSIONER
ATTEST:
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NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 33665 4