20200326Notice_of_Application_Order_No_34607.pdf

Office of the Secretary
Service Date
March 26,2020
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF IDAHO POWER )CASE NO.IPC-E-20-10
COMPANY'S APPLICATION FOR AN )ORDER APPROVING THE TRANSFER )NOTICE OF APPLICATION
AND SALE OF CERTAIN ASSETS TO THE )CITY OF NAMPA,IDAHO.)NOTICE OF
)INTERVENTION DEADLINE
)NOTICE OF
)MODIFIED PROCEDURE
)NOTICE OF TELEPHONIC
)PUBLIC HEARING
)ORDER NO.34607
On March 3,2020,Idaho Power Company (the "Company")applied for Commission
approval of a proposed sale and transfer of assets to the City of Nampa,Idaho ("City")under
Company Rule M,1 and Idaho Code §§61-328 and 61-524.Rule M governs the sale of Company-
owned assets or facilities that are 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's side,rather than the utility's side,of the POD.See Order No.33470 at 1.The Company
has agreed to sell the facilities ("Assets")to the City,subject to Commission approval.The
Company asks the Commission to process the case by modified procedure.
With this Order,we summarize the Application,set deadlines for filing petitions to
intervene and comments,and schedule a telephonic public customer hearing.
'The Company's Rule M Facilities Charge Service can be found on the Commission's website at:
https://puc.idaho.cov/Fileroom/PublicFiles/ELEC/IPC/General/0tariff/ldaho%20Power%20Companv.pdf.
NOTICE OF APPLICATION,NOTICE OF INTERVENTION
DEADLINE,NOTICE OF MODIFIED PROCEDURE,NOTICE
OF TELEPHONIC PUBLIC HEARING
ORDER NO.34607 1
APPLICATION
YOU ARE HEREBY NOTIFIED that the Company uses the Assets to provide electric
service to the City's wastewater treatment plant in Canyon County,Idaho under Company
Schedule 19,Large Power Service.Application at 1-2.
YOU ARE FURTHER NOTIFIED that the Company and City agree the City will
purchase the Assets and "obtain title to and assume ownership,operation,maintenance,and all
liabilities associated with the Assets."Id.
YOU ARE FURTHER NOTIFIED that the Company states the sale price for the Assets
is $821,253 and was set through Company Rule M,Section 3.Id.at 5-6.The Company asserts
the Rule M methodology ensures the transaction will not negatively impact the Company's other
customers.Id.at 6.
YOU ARE FURTHER NOTIFIED that the Rule M methodology for the sale price has
five components:(1)net book value ($401,075);(2)true-up of past levelized rate of return
($118,537);(3)near-term rate of return impact resulting from the sale ($74,347);(4)near-term
operational impact resulting from the sale of assets ($106,132);and (5)net tax gross-up ($93,435).
Id.at 6-8.In addition,the Company would collect "$640 in estimated work order closing costs ..
.[,]$9,321 for costs associated with POD relocation [and]...$16,866 for costs associated with
the removal of a sectionalizer located at the wastewater treatment facility[.]"Id.at 8.
YOU ARE FURTHER NOTIFIED that the Company asserts its accounting treatment
for this transaction will be in accordance with generally accepted accounting principles as set forth
in the Application.Id.at 9-11.
YOU ARE FURTHER NOTIFIED that the Application and a copy of the Asset
Purchase and Transfer of Title Agreementfor the Assets have been filed with the Commission and
are available for public inspection during regular business hours as the Commission office.The
Application and attachments are also available on the Commission's website at
www.pu_e.idaho.gov under Electric"and then "Open Cases".
IT IS FURTHER ORDERED that parties continue to comply with Order No.34602,
issued March 17,2020.All pleadings should be filed with the Commission electronically and shall
be deemed timely filed when received by the Commission Secretary.See Commission Rule of
NOTICE OF APPLICATION,NOTICE OF INTERVENTION
DEADLINE,NOTICE OF MODIFIED PROCEDURE,NOTICE
OF TELEPHONIC PUBLIC HEARING
ORDER NO.34607 2
Procedure 14.02.Service between parties should also be accomplished electronically.
Voluminous discovery-related documents may be filed and served on CD-ROM or a USB flash
drive.
NOTICE OF INTERVENTION DEADLINE
YOU ARE FURTHER NOTIFIED that persons desiring to intervene in this matter to
obtain parties'rights of participation must file a Petition to Intervene with the Commission
pursuant to this Commission's Rules of Procedure 72 and 73,IDAPA 31.01.01.072 and -.073.
Persons who wish to intervene as a party must file a Petition to Intervene within twenty-one
(21)days after the date of service of this Order.Persons desiring to present their views without
parties'rights of participation are not required to intervene and may present their comments
without prior notification to the Commission or the parties,as described below.
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 through .204.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on the
Company's Application may file a written comment in support or opposition with the Commission
by May 5,2020.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 the Company at the
addresses reflected below:
Commission Secretary Lisa D.Nordstrom
Idaho Public Utilities Commission Shelli D.Stewart
PO Box 83720 Idaho Power Company
Boise,Idaho 83720-0074 1221 West Idaho Street (83702)
P.O.Box 70
Street Address for Express Mail:Boise,Idaho 83707
11331 W.Chinden Blvd.,Bldg.8,
Suite 201-A
Boise,ID 83713
NOTICE OF APPLICATION,NOTICE OF INTERVENTION
DEADLINE,NOTICE OF MODIFIED PROCEDURE,NOTICE
OF TELEPHONIC PUBLIC HEARING
ORDER NO.34607 3
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
Commission's home page located at wwwauc i_daho.goy.Click the "Case Comment 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 the Company at the e-mail addresses
listed above.
YOU ARE FURTHER NOTIFIED that the Company shall file any reply comments by
May 12,2020.
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.
NOTICE OF PUBLIC HEARING
YOU ARE HEREBY NOTIFIED that the Commission will conduct a telephonic public
customer hearing on TUESDAY,APRIL 28,2020 at 2:15 p.m .(MST).Persons wishing to offer
their testimony telephonically or listen to the proceedings may dial 1-800-920-7487 at the
designated time and enter the passcode 6674832#when prompted.
YOU ARE FURTHER NOTIFIED that all hearings in this matter will be held in
facilities meeting the accessibility requirements of the Americans with Disabilities Act ("ADA").
Persons needing the help of a sign language interpreter or other assistance in order to participate
in or to understand testimony and argument at a telephonic public hearingmay ask the Commission
to provide a sign language interpreter or other assistance at the hearing.The request for assistance
must be received at least five (5)working days before the hearing by contacting the Commission
Secretary at:
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720 BOISE,IDAHO 83720-0074
[phone] (Telephone)
[phone] (FAX)
E-Mail:
NOTICE OF APPLICATION,NOTICE OF INTERVENTION
DEADLINE,NOTICE OF MODIFIED PROCEDURE,NOTICE
OF TELEPHONIC PUBLIC HEARING
ORDER NO.34607 4
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.The Commission may
enter any final Order consistent with its authority under Title 61.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted
pursuant to the Commission's Rules of Procedure,IDAPA 31.01.01.000 et seq.
ORDER
IT IS HEREBY ORDERED that persons desiring to intervene in this case for the
purpose of obtaining parties'rights of participation must file a Petition to Intervene with the
Commission,under Rules 72 and 73,IDAPA 31.01.01.72-73,within twenty-one (21)days after
the service date of this Order.
IT IS FURTHER ORDERED that the Company's Application be processed under
Modified Procedure,Rules 201-204,IDAPA 31.01.01.201-.204.Persons interested in submitting
written comments must do so by May 5,2020.Idaho Power shall file any reply comments by May
12,2020.
IT IS FURTHER ORDERED that a telephonic public customer hearing be held on
Tuesday,April 28,2020,at 2:15 pm (MST).
NOTICE OF APPLICATION,NOTICE OF INTERVENTION
DEADLINE,NOTICE OF MODIFIED PROCEDURE,NOTICE
OF TELEPHONIC PUBLIC HEARING
ORDER NO.34607 5
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of March 2020.
PAUL KJELLiNÏ$I ,PRESIDENT
KRIS E RAPER,COMMISSIONER
ERIC ANDERSON,COMMISSIONER
Diane M.Hanian
Commission Secretary
IPCE2010 nicofapplication_jrh
NOTICE OF APPLICATION,NOTICE OF INTERVENTION
DEADLINE,NOTICE OF MODIFIED PROCEDURE,NOTICE
OF TELEPHONIC PUBLIC HEARING
ORDER NO.34607 6