19920210.docx

MINUTES OF DECISION MEETING
February 10, 1992 - 1:30 p.m.
In attendance:
Commissioners Marsha H. Smith, Joe Miller and Ralph Nelson and staff members Mike Gilmore, Scott Woodbury, Gary Richardson, Belinda Anderson, Bev Barker, Lynn Anderson, Eileen Benner, Randy Lobb, Jack Taylor, Tom Faull, Syd Lansing, Don Oliason, Stephanie Miller, Jim Long, Lori Mann and Myrna Walters.  **Also in attendance was Walt Sorg of GTE.
The following are minutes transcribed from notes taken at the decision meeting.
The following Items from the February 10, 1992 Agenda were considered as follows.
1.  Scott Woodbury's February 7, 1992 Decision Memorandum re:  Case No. WWP-E-90-4.
Commissioner Nelson moved approval of the item.
Commissioner Smith asked if Commission was going to do anything based on their report?
Scott Woodbury said everything else is rolled into the new case they have filed.  Explained that filing.
Commissioner Miller asked - they want to withdraw Tariff 90?
Scott Woodbury said yes - they have a new one.
Commissioner Miller asked - in the meantime there is nothing?
Scott Woodbury said that was true.
Commissioner Miller asked if that was the way they wanted it?
Scott Woodbury replied  - yes.
Commissioner Nelson asked when there would be a tariff to consider?
Scott Woodbury said staff is meeting next week.  Company has asked for a March 19 effective date.
Commissioners approved withdrawal of Tariff 90.
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2.  Tom Faull's February 7, 1992 Decision Memorandum re:  Case No. IPC-E-90-20; Compliance Filing of Schedule 72 Tariff; QF Interconnection O&M Rates.
Went to the Questions on Page 4 of the Decision Memo.l
1.
Commissioner Nelson said he was going to say yes to one and two.
Other Commissioners concurred with that.
Commissioner Miller said he agreed shorter than 3 years on that was right.
That makes answers to 1 and 2 okay.
Rates -
Commissioner Smith said her view on discount rates is Commission should go with the order and choose staff's 11.45 because it is in the order.
Commissioner Miller said on cost of capital rate - quoted Willmorth from the transcript.  Asked if they were conceeding that now?
Tom Faull said they didn't go so far as to concede, they just don't care.  Differences are almost negligible.
11.45 is easier to administer.
**Agreed to 11.45.
Commissioner Miller said just for clarity, did Idaho Power Company intend to use the ordered rate and just put in the wrong number?
Tom Faull said yes.  That is not a point of contention for them.
b.  Escalation Rate.
Commissioner Smith said she decided A because it should also be ordered by the order number.  Asked if it was a capital cost or a variable cost?  
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Commissioner Nelson said company's theory was as good as anyone's, so there was no reason to choose a different one.  It is a rate that is contained in Order No. 22357.  Think the capital on O&M is the 5.40 to 4.50.  Think that the 5.13 could also be a capital rate.
Scott Woodbury said 5.13 is a new number.
Tom Faull explained the 5.13 number.  It is a blended number.
Commissioner Miller said he didn't have strong feelings on that.
Commissioner Nelson said he felt as long as the company's was about as good as those available, that he would go with the company.
Commissioner Smith said she didn't understand.  Explained what she thought was happening here.
After discussion, 4.50 was agreed upon.
**Dave Schunke was in attendance at this time as was Mary Hobson of U. S. West.
Commissioner Smith said she was confused by the last item on the agenda - No. 3 - did not think it was ready for Commission decision.  Thought it was at a stage of lawyers just arguing.  At this point of discovery process isn't something Commissioners need to get involved in.
Meeting was then adjourned.
Dated at Boise, Idaho, this 20th day of February, 1992.

Myrna J. Walters
Commission Secretary
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