20210104Whittaker Supplemental.pdf

Gregory M. Adams (ISB No. 7454)
Peter J. Richardson (ISB No. 3195)
Richardson Adams, PLLC
515 N. 27ft Steet
Boise,Idaho 83702
Telephone: [phone]
Fax: [phone]
gr eg@ichafisonadams. c om
peter@richardsonadams. com
Attorneys for Coleman Hydroelectri c, LLC
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF IDAHO POWER COMPANY FOR
APPROVAL OR REJECTION OF AN
ENERGY SALES AGREEMENT WITH
COLEMAN IIYDROELECTRIC LLC, FOR
THE SALE AND PI.JRCHASE OF ELECTRIC
ENERGY FROM THE COLEMAN HYDRO
PROJECT
SUPPLEMENTAL DECLARATION OF
JORDAI\ WIIITTAKER
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I, Jordan Whittaker, declare under the penalty of perjury as follows:
l. This declaration is based on my personal knowledge and, if called to testiff to the
following facts, I could and would competently do so. I submit this declaration in support of
Coleman Hydroelectric, LLC's request that the ldaho Public Utilities Commission ("IPUC" or
"Commission") approve the Energy Sales Agreement submitted by Idaho Power Company
("Idaho Power") in this proceeding.
2. I am one of the developers of the hydroelechic facility at issue in this proceeding
(the "Coleman Hydro Project"), which is owned by Coleman Hydroelectric, LLC, and I
previously attested to the facts in the Declaration of Jordan Whittaker previously submitted in
this proceeding.
SUPPLEMENTAL DECLARATION OF JORDAN WHITTAKER
IPC-E-20-27 _PAGE 1
3. The Coleman Hydro Project was developed to be located on my family's ranch
near Leadore, ldaho, and I intended this hydro facility would support the economic viability of
the ranching operations.
4. In the Declaration of Jordan Whittaker, I estimated that as of June 1,2020,the
developers of the Coleman Hydro Project had expended the $2,350,000 in the development
efforts. The majority of this expenditure was made during period from June 1,2019, to May 31,
2020,which I understand to be the effective period of the published avoided cost rates from
Order No. 34350. I estimate that $1,900,000 of the above amount was expended during that time
period, and the investment was made with the expectation that the Coleman Hydro Project would
be paid those rates once development was complete. This commitment of the funds expended on
the project cannot be easily reversed or salvaged because much of the equipment was already
installed and the powerhouse already constructed. Additionally, the turbine and generator that
were purchased were uniquely designed for this project.
5. As developers of the project, we would not have committed such a large sum of
money in the Coleman Hydro Project had we been aware it would be denied the OrderNo.
34350 rates and instead provided the lower rates that became effective on June I,2020, which I
understand to be the rates approved by Order No. 34683. Based on available information and
forecasted energy production, I expect that use of those lower rates from OrderNo. 34683 would
result in the project's owners not recouping the equity invested in the project after taking into
account the time value of money, and thus the project would not be profitable at the lower rates.
6. In the Declaration of Jordan Whittaker, I discussed certain details regarding
discussions with Idaho Power and execution of the Energy Sales Agreement. As supplemental
information, the developers of the Coleman Hydro Project were not represented by counsel in the
SUPPLEMENTAL DECLARATION OF JORDAN WHITTAKER
rcc-E-20-27 -PAGE2
tansaction with ldaho Power. I expected the Order No. 34350 rates would be used in the Encrgy
Sales Agreement upon committing to the final terms and conditions on May 19"2020. I was not
Bware that the failure to fully execute the Energy Sales Agreement before June 1,2020, or that
failure to include an "Effective Date" in the agreement prior to June 1,2020, would result in the
Commission disallowing use of the Order No. 34350 rates in the agreement.
7. ln the process of completing the written Energy Sales Agreement, the date of June
l9,2021,was written into the agreement by Idaho Power after I had already executed the
agreement. I did not understand or intend for the agreement's statement of the "Effective Date"
of June 19,z}Z},to override the use of the rates included in the agreemenl ttlat I executod.
8. During the months leading up to the execution of the Energy Sales Agreemeilt for
the Coleman Hydro Project,l was fully engaged in running my family's ranch while also
assisting in homeschooling our children during school closures for the COVID-19 pandanic.
However, if I had been aware of the risk that the Coleman Hydro Project would lose entitlement
to the Order No. 34350 rates without a fully executed agreernent before June l, 2020, I would
have attempted to travel to Boise 1o Idaho Power's offices to execute the document before June
l,2021,but ldaho Power did not offer that as an option in our discussions in May 2020.
I declare under penalty of perjury pursuant to the law of the State of Idaho that the
foregoing is true and correct.
DATED this !flftay of Decembe r 2020
By:
Whiltaker
SUPPLEMENTAL DECLARATION OF JORDAN WHITTAKER
IPC.E.2O-27 - PAGE 3
CERTIFICATE OF SERVICE
I HEREBY certit/ that I have on this 4thday of January 2021, served the foregoing
Supplemental Declaration of Jordan Whittaker in Case IPC-E-20-27, by electronic mail to the
following:
JanNoriyuki
Commission Secretary
Idaho Public Utilities Commission
P.O. Box 83720
Boise, ID 83720-0074
j [e-mail]. gov
John R. Hammond
Deputy Attorney General
Idaho Public Utilities Commission
P.O. Box 83720
Boise, ID 83720-0074
j ohn.hammond@puc. idaho. gov
By:
DECLARATION OF GREGORY M. ADAMS
IPC-E-20-27 - PAGE 1
Donovan Walker
Regulatory Dockets
PO Box 70
Boise,ID 83707-0070
dwalker@idahopower. com
dockets@idahopower. com
Energy Contracts
Idaho Power Company
PO Box 70
Boise, ID 83707-0070
energycontracts @idahopower. com
M. Adams (ISB No. 7454)