19941107_1.docx

MINUTES OF DECISION MEETING
November 7, 1994 - 1:30 p.m.
In attendance were Commissioners Marsha H. Smith, Joe Miller and Ralph Nelson and staff members Mary Friddle, Belinda Anderson, Lori Mann, Scott Woodbury, Weldon Stutzman, Don Howell, Randy Lobb, Don Oliason, Joe Cusick, Bev Barker, Stephanie Miller, Eileen Benner, Gary Richardson, Rick Sterling and Myrna Walters.
Also in attendance were Jeanette Jackson from Idaho Power Company and Pat Stewart and Mary Hobson of U S West.
Commission President Marsha Smith opened the decision meeting.  Matters considered are those listed on the attached agenda.
1.  Regulated Carrier Division Agenda dated November 7, 1994.
Approved.
2.  Lori Mann's October 20, 1994 Decision Memorandum re:  Parma-Wilder EAS; Case No. CTC-T-94-1.  (Held from 10-24-94 Decision Meeting).
Commissioner Smith reviewed why the matter was held from the 10-24-94 decision meeting.  Citizens was to come up with a timeframe for having a call plan to submit to the customers.
Lori Mann reported that Aloa Stevens of Citizens said they could get information from GTE and could have it ready by February.
**Jack Taylor and Madonna Faunce were in attendance at this time.
Commissioner Smith asked the other commissioners if they felt  comfortable with doing nothing until March?
Birdelle Brown reminded the commissioners what will occur with the upgrade in January.
Commissioner Miller said his thoughts went a different direction last time.  Is now wondering if it makes sense to spend all this time doing local call plan for two little communities which will be expensive to develop.  The easiest thing to do would be to grant EAS and have the charges be the same to both communities and be done with it.  Implement it when you do the other rate changes.
**Dave Schunke was in attendance at this time.
Commissioner Nelson said he wondered how long it will be until the commission would be considering Lynn Anderson's plan?
Commissioner Smith said she was going to ask him to put it on the next agenda.  
Commissioner Nelson said he thought it was something that should be done.
Commissioner Smith commented -  for all the people who wrote and said they never call there, it probably won't be any comfort to them if they figure out that is what happens to them.  (That the rates won't go up but they won't go down either)  For the people who are affected by the school boundaries, it will be a boon.  If their area is growing like the rest of the state, the areas will grow together anyway.  Considering the Boise calling areas, they are being left out.
**Grant EAS to both communities at the same rate.  Option II -   at the same time they do changes for zone charges, etc - switch upgrade.
3.  Dave Schunke's October 28, 1994 Decision Memorandum re:  Intermountain Gas Tariff Advice - Terminate Advertising Credit and Zero Interest Loan Programs for Water Heaters.
Dave was asked if he agreed with the company on both proposals?
He said he did.
Approved.
4.  Birdelle Brown's October 31, 1994 Decision Memorandum re:  GTE Advice 94-14 - GTE Caller ID Line Unblocking (*82).
Approved.
5.  Birdelle Brown's November 4, 1994 Decision Memorandum re:  Two New EAS Petitions:  Aberdeen-Blackfoot and American Falls-Pocatello.
Commissioner Miller said he thought rolling it into the big EAS case was the way to go.
Discussed changing the wording in the response letter - to update it.
Will be part of GNR-T-93-13.
6.  Birdelle Brown's November 4, 1994 Decision Memorandum re:  U S West Advice 94-09-N To Waive One Time Charges for Carriers Who Restructure Local Transport Networks, effective November 18, 1994.
Commissioner Nelson said he didn't understand the filing.
Birdelle Brown explained - said by virtue of some FCC actions,k the telephone industry is leaning toward putting in dedicated lines as opposed to their current non-dedicated lines for access.  A carrier like MCI might use the dedicated lines and pay one time per month flat rate and might save money over the current system of paying so much per minutes of use.  It has been tariffed for interstate traffic (the dedicated line proposal).  Telephone company right now might be sending both interstate and intrastate over dedicated lines.  FCC is tariffed for the once a month charge.  Nothing on the state side would change if the customer didn't change...staff's opinion is nothing changes, a charge shouldn't be incurred in the first place...GTE's was all a billing thing so we didn't have anything to waive so we denied their tariff.  U S West says they will actually do something and charge a one time charge.
Commissioner Nelson said okay.
Birdelle Brown explained the difference in the GTE and US West proposals.
Commissioner Miller asked if this was related to the phase-out of the equal charge rule?
Pat Stewart of U S West explained.  Said it may be advantageous to reconfigure.  As they are rearranged, there is a one-time charge.  They are connected because the trunk carries both intra and interstate traffic.
Decision was:  waive it.
7.  Belinda Anderson's November 1, 1994 Decision Memorandum re:  Universal Service Fund (USF) Payments from 1-800 Providers.
Commissioner Nelson asked why the 50%?
Belinda Anderson explained it was what the industry board picked. Is not really based on calculation or data.
Commissioner Smith asked if anyone talked to the other carriers about this?
Belinda said no.
Commissioner Nelson said he would guess the amount paid to the USF is so small, it wouldn't matter.  He would okay it.
Commissioner Miller said he would like a recorded basis versus the independent amount.
Belinda Anderson said U S West's formula for PIU could be reviewed.  May have real solid idea of the percentage upon review.  Don't know where we go to get more statistically-accurate information now.
Commissioner Miller said he didn't want to impose any interim amount unless it was agreed to.
Commissioner Smith asked if it would work for staff to say on an interim basis while we figure out what is accurate, pay 50% and get them to acquiesce.  
Would not suggest an appeal process but would suggest payment on 50% basis until we figure accurate way.  See what kind of answer you get.
Eileen Benner suggested saying - we will charge 50% until you send the information to get a more accurate number.  It would be incumbent upon a company to tell us how they propose to meet our requirements.  Put the burden of proof on them.  Show us information that would change our mind.  Use 50% until you can tell us what the real number is.
Birdelle Brown said - whatever percentage they are using here may not be consistent with what they report to U S West.
Commissioner Nelson suggested if the companies agree - use the 50%.  
Send letters to the companies.
Commissioner Miller commented he thought it was important to be consentual.
8.  Belinda Anderson's November 1, 1994 Decision Memorandum re:  U S West (N) 94-08-N To Introduce Custom Solutions to be effective 12-15-94.
Approved.
9.  MCI's 1-800 Call Info DA Service - Item was withdrawn from the agenda, by staff.
10. Terri Carlock's November 1, 1994 Decision Memorandum re:  Annual Determination of the Interest Rates on Deposits Collected from Customers for the Calendar Year 1995.
Approved.
15. Weldon Stutzman's November 2, 1994 Decision Memorandum re:  Valley View Water System; Certificate of Authority.
Water system is 2 miles east of Kamiah.  
Decision was to give the parties until December 15 - if nothing is resolved, will put it out on modified procedure.
16. Weldon Stutzman's November 3, 1994 Decision Memorandum re:  Case No. IPC-E-94-18  Idaho Power's Application for Approval of Contract with U S Government to Construct Photovoltaic System.
Approved.
17. Weldon Stutzman's November 4, 1994 Decision Memorandum re:  Firm Energy Sales Agreement Between Idaho Power and Pristine Springs, Inc., Case No. IPC-E-94-22.
Approved.
18. Treva J. Pline, Birdelle Brown and Terri Carlock's November 4, 1994 Decision Memorandum re:  Rural Telephone Company's request for Authority to Borrow Funds from the Rural Electrification Administration (REA) in the Amount of $2,588,000; Case No. RUR-T-94-2.
Commissioners approved the first two items of the memo.  Was discussion on No. 3 - equal access by 1996.
MCI has requested it.
Eileen Benner said she asked Birdelle to look into this.  They said it will be 3 years until they actually get around to it.  Have been hearing from the independents that they were going forward with equal access this year.  Now are saying we are getting around to it, but are going forward with the borrowing for it.
Commissioner Miller suggested saying equal access is in the public interest and the company should consider implementation as soon as circumstances permit.  Encourage them to get equal access implemented as soon as feasible.
11. Scott Woodbury's November 1, 1994 Decision Memorandum re:  Case No. WWP-E-94-9  Investigation re:  Company Compliance with Tariff Schedule 51  Kootenai Electric--Petition to Intervene.
Commissioner Nelson said - going down Scott Woodbury's list - Kootenai has certainly demonstrated interest.  Whole issue should be limited in this hearing.   But if we do grant intervention, Wednesday's hearing will have to be vacated.
Commissioner Miller asked Commissioner Nelson if he had thoughts on the scope of intervention to the time of service agreements?
Would imagine that Pete Richardson is coming in to say $82,000 is not enough, if he is going to be in the case.  Asked if WWP filed testimony?
They did - Friday.
Peter should file his case for WWP can respond.
Commissioner Miller said he hadn't read WWP's testimony but from his own point of view of information, it would be helpful to have anything that bears on the appropriate amount.  That is obviously judgmental.  The more facts you have the better it is.  Assumed Kootenai could offer information on that question.  Try to keep an open mind, but thought that was the only issue they could be helpful on (the amount).  Even saying that may not limit that as much as you think.  One would argue that the amount should be related to the timing, the intent they were committed, accidental or otherwise, don't know how you would fence this in.  To him the question before the Commission is some rational basis for the amount.  If Kootenai would be helpful on that, would be happy to hear them.
Commissioner Smith said there were two votes to let them in - Commissioner Miller and Commissioner Nelson.  
**Wednesday's Show Cause Hearing will be rescheduled.
Commissioner Miller asked Commissioner Nelson how carefully he wanted to refine the intervention, to the amount only?  Don't want to get into service territory agreements.  
WWP has the opportunity to show we were incorrect.  Don't need more evidence they need to be penalized.  They should show us why not.  Then amount would be appropriate.  No new evidence of violations of tariffs.
Scott Woodbury asked - if it went back further than our record indicates, is that appropriate?   
Commissioner Miller said we can't know with certainty what the evidence will be.  Can say that the principle is the evidence should be limited to the amount of the appropriate penalty.  If offered testimony starts to drift into and look like a retrial of the liability issue, will have to deal with it as it comes up.
Okayed.
12. Scott Woodbury's November 2, 1994 Decision Memorandum re:  Case No. IPC-E-94-21  Mud Creek Hydro Project Firm Energy Sales Agreement--Second Amendment.
Approved.  Will do Minute Entry approving both amendments.
13. Scott Woodbury's November 4, 1994 Decision Memorandum re:  Case No. WWP-E-94-11  PCA Surcharge.
Approved sending it out on modified procedure.  Scott Woodbury has proposed a longer comment period for staff to verify actuals.
14. Scott Woodbury's November 3, 1994 Decision Memorandum re:  Case Nos. UPL-E-93-7/PPL-E-93-5  Consolidated Avoided Cost Cases - Rosebud--Motion to Compel.
Set it for oral argument.  
19. Scott Woodbury's October 15, 1994 Decision Memorandum re:  Blind Canyon v. IPCO Case No. IPC-E-94-1.
Decided for Blind Canyon.
20.  Petitions for Reconsideration in Case Nos. PPL-E-94-1/WWP-E-94-1 - Sale & Transfer of Electric Properties.
Commissioners adjourned to private deliberation session for this fully-submitted item.
Meeting adjourned.
Dated at Boise, Idaho, this 10th day of November, 1994.
Myrna J. Walters
Commission Secretary
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