HomeMy WebLinkAbout19910311.docx
Minutes of Decision Meeting
March 11, 1991 - 1:30 p.m.
In attendance were:
Commissioners Joe Miller, Ralph Nelson and Marsha H. Smith and staff members Mike Gilmore, Don Howell, Brad Purdy, Barbara Porter, Stephanie Miller, Don Oliason, Bob Smith, Gary Richardson, Belinda Anderson, Lori Mann and Myrna Walters. Also in attendance were two representatives of Intermountain Gas Company.
Items from the March 11, 1991 Agenda were discussed as follows.
1. Birdelle Brown's March 7, 1991 Decision Memorandum re: GTE Tariff Revision to Clarify Preferred Area Calling
AC) Service.
Commissioner Nelson said he had a hard time understanding this.
Don Howell explained the filing.
Commissioner Nelson asked if Bluebell contains Tensed?
**Tensed is the area covered.
Approved the filing.
1A. Belinda Anderson's March 8, 1991 Decision Memorandum re: Contel's Tariff for Budget Measured Service.
Commissioner Smith asked if the information is not here by the 14th, does the filing need to be suspended?
Belinda Anderson explained what the company needs to file. It is directed to four-party service.
Commissioner Smith asked why the delay in response by the company?
Belinda Anderson said she wasn't sure.
**Order of suspension will be prepared and if company hasn't responded by Friday, it is to be issued.
Don Howell will call the company and discuss the matter with them.
2. Letter from Boise Water Corporation to Commission regarding Clearview Water Association's request for service from Boise Water.
-2-
Commissioner Nelson said he thought the numbers were reasonable. Wondered if these people shouldn't pay somewhat of a hook-up fee, though. If they paid $100 to $200 each, their cost per customer would be no more than average customer on the line.
Commissioner Miller said he wondered about our current hook-up fees just adopted, do they apply here?
Wondered if we would approve or decide the revenue requirement treatment now just on the basis of the letter or should it be taken up later in a rate case.
Mike Gilmore said by the time a rate case came up it would be irrelevant. Maybe we need to clarify to Boise Water.
Commissioner Nelson asked about the escrow? Couldn't see how the revenue requirement part was applicable.
Stephanie Miller said this area is already built up. They know how many customers there are.
Mike Gilmore said if you were going to use that kind of system ... think they are just saying for $100 a customer, why bother?
Commissioner Nelson said he thought customer should pay some hook-up fee. This proposal doesn't have a hook-up fee. Would they be paying anything?
Stephanie Miller said she didn't know.
**Randy Lobb, Bev Barker, Madonna Faunce and Terri Carlock were in attendance at this time.
Commissioner Miller suggested a conference between staff and the company.
Commissioner Smith said she thought this matter should come back to the Commissioners with outline of costs, etc., application of some kind and some analysis by staff.
Stephanie Miller explained that the company had come in some time ago to discuss this.
Commissioner Nelson said he thought it was a good deal generally. Get them on the main system but they should pay.
Stephanie Miller spoke to the free allowance wording in the line extension order.
-3-
**Randy Lobb explained the costs. Explained what the customers will have to pay.
**Will get further information in writing from the company.
Staff was instructed to get something comprehensible on paper that could be put out for comment.
**Woody Richards, attorney for IGC was in attendance at this time.
3. Don Howell's March 8, 1991 Decision Memorandum re: Shoshone-Bannock Tribes' Request to Dismiss Its Complaint Against U S West, Case No. MTB-T-89-6.
Matter will be dismissed.
Items 4 and 5 - Rulemaking - will be held until Tuesday.
6. Scott Woodbury's March 4, 1991 Decision Memorandum re: INT-G-91-2--Authorization to Modify Energy Conservation Financing Program and Dave Schunke's March 7, 1991 Supplemental Decision Memorandum re: INT-G-91-2.
Scott Woodbury said staff met with the company this morning with respect to Dave Schunke's suggestions. They indicated a preference regarding the zero interest loan for water heaters of a limit between $150 as low and $600 as maximum loan amount. Payments would be fixed at $20 a month for 30 months. If you came in under $600, you should just pay it off sooner. They see considerable merit in staff proposal in that regard.
Commissioner Miller asked if they contemplated filing an amended application?
Scott Woodbury said he thought modified procedure was appropriate and company could file amended application.
Company representatives agreed they could file amended application.
Scott Woodbury said construction eligibility debt was discussed. Spoke to Dave Schunke's proposal. They have noted compressor failures on heat pumps within 5 years, so think that should be an option to people.
Commissioner Miller said program was first approved in '81. Is trying to figure out what the original gap was.
-4-
Scott Woodbury said for water heater minimum was $100, maximum was $400.
Commissioner Miller said he wondered about the construction dates. Guess what we can do is suggest the company file an amendment, suggesting 3 years and get comments on that. Spoke to the original order. Commented the '81 rule has remained in effect for 10 years, so the gap has grown because time went by.
Commissioner Nelson asked if these only applied to water heaters?
Scott Woodbury said yes.
Stephanie Miller said they are just proposing to change small portions of their overall financing program.
Commissioner Nelson asked about the difference of 80% versus 90%, the price?
Response was $500 to $800.
Commissioner Nelson asked if $200 was enough rebate?
**Response from IGC representative was sometimes there is also a manufacturer's rebate.
Commissioner Nelson said there is a question in his mind whether this is enough to encourage them to go to a more efficient furnace.
IGC explained that the federal government will be requiring at least 78% efficiency. IGC has sold a lot of the energy efficient units.
Commissioner Miller suggested the company and staff address those concerns in written comments.
Commissioner Nelson spoke to the drawbacks of putting in an energy-efficient furnace if you are not going to be there long. Perhaps there should be an incentive.
Explained Katz's proposal of putting charge on the meter for the years. Persons getting the benefit pays for it. It is an obligation of the property. Think it is worth looking into.
Commissioner Miller asked that all ideas be addressed in comments. Spoke to Commission Order 16558..said at pages 3
-5-
and 5, the Commission adopted a non-participant's test .. on the electric side we have rejected that idea as an impediment to conservation. Talked to Bill Eastlake about this. Whether or not this rationale in a Commission order is an impediment to adopting least cost principles in electric and gas because it clearly is an impediment to conservation and whether the economics to the gas and electric industry are different ... asked Bill Eastlake to look at it. Is it time for us to abandon this sort of rationale in gas cases and is it an impediment to least cost gas and electric planning? Non-participant seems like an anomaly.
Decisions made at this time: Company is to file amended application. Staff is to file comments.
7. Lori Mann's March 4, 1991 Decision Memorandum re: Taxes on Contributions in Aid of Construction--Case No. U-1500-176.
Commissioner Miller asked if staff should continue to help people with their taxes?
Stephanie Miller said staff wasn't sure they should be writing letters saying it is okay.
Commissioner Miller said Commissioners don't need to get involved. If we had to relearn this every decision meeting... can't see a great benefit in it. Said staff should just use their judgment as to when they should come to the Commissioners with these.
Stephanie Miller said South County is peculiar. They are taxed through their individual tax rates. So they are proposing 20% range. Think they are the only Subchapter 5 company.
8. Lori Mann's March 5, 1991 Decision Memorandum re: Monitoring Plan for Customer Service Centers and Payment Agencies: Case No. MTB-T-90-1.
Commissioner Miller asked if there was any reason to not close the case?
Commissioners agreed it could be closed by order at this time.
9. Lori Mann's March 7, 1991 Decision Memorandum re: Interstate Telephone Corporation; GNR-T-88-5(Title 62 Case).
-6-
Commissioner Miller asked if everyone agreed Lori Mann could close the District court Case and close this case in-house?
Agreed they could be closed - make sure everything is okay at the District Court level.
10. Brad Purdy's March 8, 1991 Decision Memorandum re: Case No. ATL-T-89-1.
Commissioner Smith asked if there has been a formal request for clarification?
Brad Purdy said they have only asked him over the phone. There is nothing in writing. Explained what the problem is.
Commissioner Smith asked if the request to keep the docket open came about in the same manner? Said on the basis of the phone call, don't do anything different than what we intended originally. Said her question comes down to: assume they never called, would you be making recommendation about closing the case, or whatever? From staff point of view, should it be closed?
Brad Purdy replied staff's concern is that they are mortgaging the company. Don't necessarily see reason to keep the docket open.
Commissioner Nelson asked if Commission was going to be asked to participate in the court case?
Brad Purdy said the lawsuit has taken some real strange turns.
Stephanie Miller said we have the open case and we have tried to get information and haven't been able to. Can't get behind the facts.
Commissioner Miller said he guessed if we were really interested, we could schedule a deposition and get these guys in.
Brad Purdy said there are depositions of them already.
Don Oliason responded as to who is doing the billing.
Commissioner Nelson said he wondered how much authority we have.
-7-
Brad Purdy said they have been put on notice of staff's concerns. Could initiate another docket if need be. Don't see the necessity to keep this case open.
Commissioner Nelson said his concern is who runs the company? Who is responsible for repairs?
Don Oliason reported they have a man in the area.
Commissioner Miller said maybe we can close the case and include in the order an admonition that they are a regulated utility and say the existence of disputes does not take away your duties as a public utility. Internal disputes aren't our concern, as long as you are fulfilling your public interest obligations. Issue a warning.
Commissioner Smith said if there is no reason for us to have this case open, lets close it. Lets try not to get in the middle of it.
**Staff will informally follow the lawsuit.
11. Lynn Anderson's March 8, 1991 Decision Memorandum re: EAS Petition between Buhl and Twin Falls.
Commissioner Smith said she could vote to deny it right now. If you don't give it to McCammon, Buhl doesn't get it either.
Commissioner Nelson said he was thinking with Filer Mutual in between, it is a real problem. Asked Lynn Anderson about the 31 calls per line?
Lynn Anderson responded it is Interlata. About half are to Twin Falls.
Commissioner Miller said these things are so difficult. Have always approved them on case by case basis but without any criteria to decide preliminary question, do you go forth or dismiss on face of application? If you decide to not dismiss it now, do you commit to have to grant it after public hearing, don't know what the right approach is. Think with the 200 petitioners and this volume, have to go forward.
**Issue summons.
Meeting adjourned at 2:30 p.m.
Continued on next page ....................
-8-
DATED at Boise, Idaho this day of April, 1991.
PRESIDENT
COMMISSIONER
COMMISSIONER
ATTEST:
Commission Secretary
0029M