19950824_2.docx

MINUTES OF DECISION MEETING
August 24, 1995 - 1:30 p.m.
In attendance at this time were Commissioners Ralph Nelson, Marsha H. Smith and Dennis Hansen and staff members Don Howell, Scott Woodbury, Weldon Stutzman, Brad Purdy, Tonya Clark, Ron Law, Randy Lobb, Don Oliason, Jim Long, Birdelle Brown, Rick Sterling, Gary Richardson, Syd Long, Joe Cusick, Lynn Anderson, Bev Barker, Terri Carlock, Marge Maxwell, Stephanie Miller and Myrna Walters.  Also in attendance were John Souba of U S West and Jeanette Bowman of Idaho Power Company.
President Nelson called the meting to order at 1:30 p.m.
Items from the August 24, 1995 Agenda were discussed and acted upon as follows.
1.  Regulated Carrier Division Agenda dated August 18, 1995.
Commissioner Hansen moved approval of the agenda.  Commissioner Smith seconded the motion; carried.
2.  Jim Long's August 15, 1995 Decision Memorandum re:  U S West Advice No. 95-07-N Introducing MTS Evening and Night/Weekend Rate Tables Which Supersede Their MTS Discount Tables.
Commissioner Smith moved approval of the filing; Commissioner Hansen seconded the motion; carried.
3.  Jim Long's August 21, 1995 Decision Memorandum re:  GTE Tariff Advice No. 95-11 has been filed seeking authorization to expand the Carrier Access Code dialing plan.
Commissioner Hansen moved approval of the filing; Commissioner Smith seconded the motion; carried.
4.  Birdelle Brown's August 22, 1995 Decision Memorandum re:  Idaho Universal Service Fund - 1995 Annual Report - Case No. U-1500-174.
Commissioner Nelson said he wondered about the access revenue being down.
Birdelle Brown responded - it appears to be because in some years revenue is accruing.  Looks like an accrual thing or lack thereof.
Commissioner Nelson asked about waiting to decide these issues.
Commissioner Smith said she thought the Commission rules set a time this has to be decided by - and it was now.
Commissioner Nelson said he thought funding change we could consider was to double the surcharge on local access but raise toll by 50%.
Commissioner Smith said that was her recommendation exactly.
Birdelle Brown commented that would cause the fund to go up a bit.
Commissioner Smith asked Birdelle to show them what that would do - would like to reach the state where we are sending out what we are taking in with a little cushion.
Birdelle said she could do a calculation to show that.
Commissioner Smith asked what the rates on Cambridge are?
Birdelle pointed those out.
Commissioner Smith asked why those rates were lower?
Birdelle explained.
Commissioner Nelson said he didn't think the Commission was disadvantaging the people in Cambridge by approving a larger increase now - to catch up.
Commissioner Smith questioned raising the rates without notice being sent to the customers of Cambridge.  Company will be encouraged to give that notice to their customers.
Commissioner Smith said, however, she was opposed to the business increases.  
Went back to discussion on the surcharge.
Birdelle is to figure the exact amount generated with the proposed surcharge increase.
Commissioner Nelson said he was also reluctant to increase business rates at this time because there are factors that are coming on that will play hard on business rates.
Don Howell said he thought they pay their share right now.
Commissioner smith said in the small communities the value of business versus residential hasn't changed.
Commissioners agreed to leave business rates as they are.
Will wait to have Birdelle bring back numbers on the surcharge before granting final approval on it.
5.  Brad Purdy's August 23, 1995 Decision Memorandum re:  Case Nos. WSM-W-93-1 and WSM-W-94-1:  Warm Springs Mesa Water Company - Cases WSM-W-93-1 and WSM-W-94-1.  
Commissioner Hansen commented - they really didn't follow the procedures.  Asked if that was why DEQ is delaying approval of the well?
Brad Purdy said it is a pretty thoroughly-documented well.  The owner of the system has a hard time playing by the rules.  He hasn't gone through the proper procedures.
Commissioner Smith asked about the notice to the people?
Brad Purdy said the rebuild has been completed for sometime.  Have talked to a couple of homeowners.
Commissioner Smith suggested dismissing the case and see if we get complaints.
**Approved expansion of the certificate, subject to approval of the well.
6.  Beverly Barker's August 21, 1995 Decision memorandum re:  USW-S-95-5 & FMT-T-95-1; sale of U S West's Nuacres Exchange to Farmers Mutual Telephone Company.
Bev Barker said Farmers did issue a press release in February speaking to the sale.  Application wasn't received by the Commission until August.  No one has been able to find where there was individual notice to the Nuacres customers.  Talked to Jim Wozniak - they could notify the customers.
Commissioner Smith commented there are only 185 customers, they should do that.
Commissioners Nelson and Hansen agreed.
7.  Beverly Barker's August 21, 1995 Decision Memorandum re:  AT&T $5.00 minimum bill.
Bev informed the commissioners that she had just gotten a call from Cathy Brightwell of AT&T, saying AT&T will publish newspaper articles in Idaho announcing the minimum bill but they didn't agree with staff on the refunds and they are not going to file price list setting this out.
Commissioner Smith asked Bev what her lawyer says about this?
Don Howell responded - it can be handled formally or informally.  Issue of newspaper ads would fill the notification requirement.  Title 62 notification is that you just give effective notice to the public.  It doesn't say individual notice.  In the past AT&T has accomplished that by newspaper ads.  Issue of price lists, think they are on shakier ground.
Commissioner Nelson thought we had taken a pretty hard line with other companies.  Think if they are flaunting our jurisdiction, we should test it.
Don Howell said his personal opinion was that the requirements on these companies are not onerous.  It is the basic bare minimum.  Maybe we should just issue a show cause order.
Bev Barker said AT&T hired a contractor to answer questions on this.  They did not anticipate the level of customer dissatisfaction, so they are about 4 months behind in issuing credits.  They intend to do credits but they won't say when.  They say it is not a state matter.  Bev explained who got notice and who didn't.
Commissioner Nelson said he would be in favor of initiating a case.
Commissioner Smith said all we have is a price list to verify the amount, what is their point?  The price list filing requirement means nothing if it isn't in the price list.  Said notice is not the issue.  The $5.00 minimum should be set out in a price list.  Don't understand why they don't just file a price list.
Bev Barker said they have been uncooperative with Consumer staff in resolving these complaints.
Commissioner Nelson commented it was something that needed to be resolved.
Show Cause is to be issued.
Went back to Item 4 - Birdelle Brown's Decision Memorandum re:  Idaho Universal Service Fund.
Birdelle had gotten the information requested by the Commissioners, to them.  
Commissioner Smith explained there are two issues here - one is the surcharge and the other are the rates.  Think surcharge should double but would not agree to business rate increase.
Commissioner Hansen questioned having a "cushion" in the fund.
Commissioner Nelson explained the rationale behind that.
Commissioner Smith asked if the Fund would decline now?
Birdelle said this rate for two years in a row and the fund would be in the whole.
Okayed the previous decision on the surcharge.  No increase in business rates also.
8.  Scott Woodbury's August 21, 1995 Decision Memorandum re:  Case No. USW-W-95-2.  Certificate Amendment, Exchange of Service Areas w/Garden City.
Scott said the company has not requested modified procedure on this application.  Only question is:  do we go to prehearing or do notice of application?
Commissioner Smith commented it was pretty clear there will be a hearing on this.
**Was question about the legal description wording.
Decision was to do notice of application but talk to the company to get the area description correct.
9.  Scott Woodbury's August 22, 1995 Decision Memorandum re:  Case No. IPC-E-95-12.  First Amendment to Firm Energy Sales Agreement Schaffner Hydro Project.
Commissioners approved amendment - to be handled by Minute Entry.
10. Scott Woodbury's August 22, 1995 Decision Memorandum re:  Case No. UPL-E-95-3.  NU-WEST Service Agreement-8th amendment.
After brief discussion, contract amendment was approved - to be handled by minute entry.
11.  Randy Lobb's Decision Memorandum re:  Holly Corporation Tariff Revision 6.
Randy Lobb said he has now heard from the Military - suspension will not be necessary.  They concur in the revised rate.
Deny the suspension.  Approve tariff upon receipt of the written concurrence.  Effective date is September 1, 1995.
11A.  Marge Maxwell's August 24, 1995 Decision Memorandum re:  Formal Complained filed by Mike Bird regarding Cost for Upgrade of Existing Power Line to Serve 20-Lot Subdivision.
Commissioner Hansen said he thought we needed to look at what standard procedures have been in the past.
Discussed briefly difference between Summons/Complaint and having staff investigation.
Don Howell suggested the Summons could have a shortened response time.  
Decision was to issue a Summons to the Company, require response in 14 days.  In the meantime, Don Oliason is to work on the matter informally.
12. Terri Carlock's August 22, 1995 Decision Memorandum re:  Warm Springs Mesa's request for authority to borrow up to $290,500 from Cobank.  Case No. WSM-W-94-4.
Commissioner Smith moved approval of the application.
Commissioner Nelson asked Terri Carlock about the prepayment penalty?
Terri explained.  Commented it would most likely not be paid off early.
Commissioner Nelson then seconded the motion.  Motion carried.
Decision meeting adjourned.
Dated at Boise, Idaho, this 29th day of August, 1995.
__________________________
Myrna J. Walters
Commission Secretary
mjw
082495.min