2000501Decision Memo.doc

DECISION MEMORANDUM

TO: COMMISSIONER HANSEN
COMMISSIONER SMITH
COMMISSIONER KJELLANDER
MYRNA WALTERS
RON LAW
BILL EASTLAKE
STEPHANIE MILLER
DON HOWELL
DAVID SCHUNKE
RANDY LOBB
TONYA CLARK
BEV BARKER
TERRI CARLOCK
WORKING FILE

FROM: CHERI C. COPSEY

DATE: MAY 1, 2000

RE: IN THE MATTER OF THE APPLICATION OF IDAHO POWER COMPANY FOR AUTHORITY TO FUND ITS CONTINUING PARTICIPATION IN THE NORTHWEST ENERGY EFFICIENCY ALLIANCE, INC.; CASE NO. IPCE9913.

On December 30, 1999, Idaho Power Company filed an Application with the Commission requesting an order authorizing it to continue to participate in the Northwest Energy Efficiency Alliance, Inc. (NEEA) and to recover the costs of participation. NEEA is a nonprofit corporation established in 1996 for the purpose of increasing adoption and penetration of energy efficient technologies and practices in the Northwest.
On April 10, 2000, the Commission approved Idaho Power's Application to continue to participate in NEEA. It further authorized Idaho Power to set aside a reserve of $5,462,388 through an offset to its 1999 revenue sharing balance and to recover its annual NEEA commitment from the reserve as its payments are made to NEEA. Furthermore, it required the offset to be allocated among customer classes on the basis of customer class revenue and to report the results of that allocation within seven (7) days of the order. Order No.  28333. 
On April 13, 2000, in response to Order No. 28333, Idaho Power filed its allocation of NEEA costs amongst the customer classes as a compliance filing and served it on all parties. Commission Staff reviewed those allocations in conjunction with its audit of Idaho Power's 1999 Earnings Compliance Filing.
Idaho Power Company filed its 1999 Earnings Compliance Filing on March 28, 2000 in Case No. IPC-E-00-4, pursuant to Order No. 26216. On April 14, 2000, the Commission determined the compliance filing could be considered under modified procedure. Order No. 28339. In Staff comments filed in IPC-E-00-4, Staff recommended certain changes to Idaho Power's revenue sharing compliance filing and as part of that recommendation recalculated the shared revenues to be allocated to each customer class based on the identified changes.
STAFF RECOMMENDATION:
Based on its recommendation in IPC-E-00-04, Staff recommends changes to Idaho Power's allocation of NEEA costs filed in this case as indicated in Attachment A.
Commission Decision:
Does the Commission approve the compliance filing dated April 13, 2000, as modified by Staff and as reflected in Attachment A?

Cheri C. Copsey

Consumer Division Staff: Tonya Clark
Utilities Division Staff: Randy Lobb

M:ipce9913_cc3

DECISION MEMORANDUM 2