19931028.docx

MINUTES OF DECISION MEETING
OCTOBER 28, 1993 - 1:30 p.m.
In attendance were:  Commissioners Marsha H. Smith, Joe Miller and Ralph Nelson and staff members Brad Purdy, Lori Mann, Scott Woodbury, Mary Friddle, Joe Cusick, Stephanie Miller, Keith Hessing, Gary Richardson, Syd Lansing, Jack Taylor, Weldon Stutzman, Don Oliason, Randy Lobb and Myrna Walters.
Items from the October 28, 1993 Decision Meeting Agenda were discussed as follows.
10. Joe Cusick's October 25, 1993 Decision Memorandum re:  U S West Communications Rewrite of Access Tariff for Northern Idaho.
Approved.
1.  Regulated Carrier Division Agenda dated October 28, 1993.
Approved.
2.  Scott Woodbury's October 26, 1993 Decision Memorandum re:  Case No. M-5728-17 Empire Lines, Inc. Application to Suspend Bus Service--Northern Idaho.
Commissioner Nelson said he empathyses with the commenter, but didn't think it was enough to set it for hearing.
Commissioner Smith said staff is recommending that the voluntary suspension be approved.
Commissioner Miller said this is just exactly the type of investigation staff should do in these type of cases.
Scott Woodbury said the second question - Transportation Department wants some direction on the problem of publicly funded entities competing against privately owned companies.
Mary Friddle explained staff wanted a letter from the Commission to go to them asking for better notice in the future, in the notification process, that would probably do it.
**Draft it up and send it out.
Commissioner Smith said it looked like Caldwell Bus is going to make some arrangement to use their bus so December thru February they will have their regular route.
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3.  Bill Eastlake's October 14, 1993 Decision Memorandum re:  Termination of Good Cents Program - Idaho Power Company - IPC-E-89-16.
Bill was asked why staff recommended modified procedure?
He replied it didn't seem like a hearing was necessary but wanted time for staff, other interested parties, to react to the filing.
Commissioner Miller said he would like to see what Water Resources and the Power Council have to say and that is a good way to get their comments.
Bill Eastlake said the real issue is Idaho Power company's measurement criteria.  Is talking to the person who wrote it at IPC, to try and get him to explain "in English" what it means.  Think they did not attempt to do a classic measurement beforehand, etc.  They make no real good use of "Good Cents" homes that have been out there for a year or so.  Explained how they did the study.  It is difficult to make a good analysis - Report fails on that score.
**Do modified.
4.  Brad Purdy's October 20, 1993 Decision Memorandum re:  Case No. EAG-W-93-2--Request of Eagle Water Company for Expansion of Service Territory.
Commissioner Nelson said he would grant the application.
Randy Lobb said it is a thing of beauty -  they don't have sufficient demand to even turn it on to their system.  Explained how the system is run.
Approved.
5.  Brad Purdy's October 20, 1993 Decision Memorandum re:  Case No. GNR-E-93-2--Filing of Idaho State Energy Curtailment Plan.
Commissioner Nelson asked if he could assume staff didn't want penalties?
Brad Purdy said Conley Ward raised it.  This is an extraordinary measure to deal with extraordinary circumstances.
Haven't had a chance to do any research.  Didn't think there is much out there.
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Commissioner Miller brought up the baseboard heater hook-up charge case - Homebuilders Association versus Commission.
Brad Purdy said whether any one would launch a legal challenge, he didn't know.  Don't feel comfortable enough to reach concensus.  Commissioners need to decide if they need more input, etc.
Don Oliason said the sense he picked up is the utilities would like to get rid of the case so they are not going to argue about it.
Commissioner Smith said she liked Idaho Power's suggestion about filing charges.
Brad Purdy said that would keep them from automatically going into effect.
Commissioner Nelson said we are not talking about a one week shortage.  We are talking about a continuing problem.
Keith Hessing said you only get a new set of data once a month.
Commissioner Miller said he thought there was some merit in that.  This is almost a hypothetical.  We are a long time from this hitting the ground so incorporating it into a rulemaking has no real input.  It is a non-event to the public.  If we get to voluntary curtailment and if possibility of mandatory was on the horizon, taking the penalty rates up then down, first of all you would be dealing with a real circumstance and second would be some public information.  So, he liked the idea of staff saying if and when we get to Stage I, we would then initiate a proceeding deciding whether or not penalty rates should be considered at Stage II.  Trying now to decide on a hypothetical is hard.
Don Oliason said some of the comments were if we have to turn off a customer, seemed the rule that it was the PUC that ordered that.
Brad Purdy suggested putting something in there about directing the customer regarding penalties, ...
Didn't think time is such a problem as Idaho Power stressed.
Commissioner Smith said she would like to see a section in there about how it will be handled in the future.  Think it is important in the regional scheme of things, showing we are committed to the plan and we intend to make it work.
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Keith Hessing said there is a lot of interest in the regional.
**General commitment to the idea that it would be looked at when they get to Phase I.
Brad Purdy said now you can issue an order and we will propose language in the regional plan.  Then they have to file individual plans.
6.  Brad Purdy's October 25, 1993 Decision Memorandum re:  Case Nos. PPL-E-93-3/UPL-E-93-3; WWP-E-93-10:  Motions of Independent Energy Producers of Idaho and Cogen Power II to Dismiss Applications.
Brad Purdy said they have now filed their cases.
Commissioner Miller asked if Commissioners read the testimony and disagree, can we just dismiss?
Brad Purdy said yes.  It was not the kind of case that is going to take a huge amount of time.
Discussed "due process".
Commissioner Smith said in order to be efficient, could consolidate but in this case don't see that.
Brad Purdy suggested briefing and oral argument.  PPL wanted testimony.  Suggested at least having oral argument.
Commissioner Miller said hearing would be just as fast.  Said he didn't see any need to consolidate PPL and WWP cases.  Question then is - should WWP be generic?
Idaho Power has filed.
Okay to hearing.
7.  Brad Purdy's October 26, 1993 Decision Memorandum re:  Case No. IPC-E-93-20:  Idaho Power's Application for Authority to Sell Distribution Facilities Located on Bald Mountain.
Commissioner Smith said it sounded like the sale will not adversely affect the public.  Think staff did a good job of getting bookkeeping straight.
Commissioner Miller asked - on Page 3, which one was staff's?
Terri Carlock said it would be #2.
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Commissioner Miller asked - and the amount ratepayers would pay is less than cost of facilities?
Okayed.
8.  Beverly Barker's October 21, 1993 Decision Memorandum re:  WWP Request for Permanent Exemption from Gas Service Rule 102.  (IDAPA 31.31.01102)
Commissioner Nelson said he thought the trial period went pretty well.
Commissioner Miller said he assumed the company didn't have any problem with staff conditions?  
Bev Barker said no.  They are willing to do those.
Approved staff recommendation.
9.  Beverly Barker's October 25, 1993 Decision Memorandum re:  Idaho Power Company Program for Customer-Installed Conduit for Residential Service.
Commissioner Miller asked about the timing?
Bev Barker said no longer than a week as being a cap but if they are waiting less than that, don't recommend the week.
Approved.
11. Randy Lobb's October 25, 1993 Decision Memorandum re:  Morning View Estates Tariff Filing; Public Drinking Water Fee.
Approved, effective October 29.
12. Scott Woodbury's October 26, 1993 Decision Memorandum re:  Case No. IPC-E-93-22  -292 Security--Revised Insurance Coverages.
Commissioner Nelson said it looked all right to him but no one brought up the WWP case where they used the old rates.   Asked if there was any reason to be concerned here?
Scott Woodbury said it would cause you to wonder if it really is a concern in the industry.  There was a question:  it appeared that the company is asking them to be cognizant to contract provisions that come up or insurance renewals and the issue was raised by Tamarack that their contract precedes the -292 case and that they should be permitted to continue to comply to the recommendations in that contract and staff would suggest that those be the case for the post-292 contracts.
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Don't think it is something the company forces on them without their consent.  
Commissioner Miller said he didn't know for sure the contract language, about party agreeing to subsequent amendments, just think it is a question of language in the contract.
Scott Woodbury said Tom Faull's analysis that cost to the developer will be less under the rules, and are assuming that the insurance of new contracts is not readily available.
Okayed.
13. Scott Woodbury's October 26, 1993 Decision Memorandum re:  Case No. UPL-E-93-4  Island Power vs PCP dba UP&L  PCP Motion to Dismiss.
Held until next decision meeting.
14. Idaho Power Company's Resource Management Report - Case No. IPC-E-93-14.
Thought this should be accepted in the same manner as WWP's.  
Commissioner Smith said she wondered if we wanted to do something else after this morning's oral argument?
Commissioner Miller said there were some things we wanted to comment on in WWP.  Were there some in IPC's?
Bill Eastlake said he didn't recall if Tom Faull had concerns.
Lori Mann said she spoke to Tom Faull about it yesterday.  He is on the Technical Advisory Panel and if he had more concerns he would have expressed them there.
**Will be responded to with a letter, as WWP's was handled.  
Commissioners said they will follow with interest the short-term surplus issue and see who is right.
Meeting adjourned.
Dated at Boise, Idaho, this 27th day of December, 1993.
Myrna J. Walters
Commission Secretary
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