20040421Application.pdf

. TCEIVEO
James F. Fell
James C. Paine
Stoel Rives LLP
900 SW Fifth Avenue, Suite 2600
Portland, OR 97204-1268
Tel. [phone]
, -
9246
Fax [phone]
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Attorneys for PacifiCorp
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF P ACIFICORP d/b/a UTAH POWER &
LIGHT COMPANY FOR APPROVAL
OF REDUCTIONS IN BONNEVILLE
POWER ADMINISTRATION REGIONAL
EXCHANGE CREDITS
CASE NO. PAC-OLJr IJ
APPLICATION OF P ACIFICORP
Pursuant to Idaho Code ~~ 61-301
, -
307
, -
622, and -623, PacifiCorp, d/b/a Utah Power &
Light Company ("PacifiCorp" or the "Company ), applies to the Idaho Public Utilities
Commission (the "Commission ) for approval of a revised Electric Service Schedule No. 34
submitted herewith. The proposed revisions will reduce the Bonneville Power Administration
BP A") regional exchange credits in Idaho. The Company seeks changes to sections of the
Company s Schedule 34 to revise the Kilowatt-Hour Credit Adjustment for all qualifying
kilowatt-hours of residential and/or farm use. In support of this Application, PacifiCorp states as
follows:
PacifiCorp is an electrical corporation and public utility in the state of Idaho and
is subject to the jurisdiction of the Commission with regard to its public utility operations.
PacifiCorp also provides retail electric service in the states of Utah, Oregon, Wyoming,
Washington and California.
This Application is filed pursuant to the Idaho statutes referenced above.
particular, Idaho Code ~ 61-623 empowers the Commission to address the propriety of requested
APPLICATION OF PACIFICORP -
Portlnd3-1477051.l 0020017-00055
rate schedule increases, sections 61-307 and -622 require Commission approval prior to any
increase in rates and section 61-301 requires Idaho retail electric rates to be just and reasonable.
Communications regarding this Application should be addressed to:
Bob Lively
PacifiCorp
201 South Main Street, Suite 2300
Salt Lake City, UT 84140
Telephone: [phone]
Facsimile: [phone]
E-mail: bob.lively(g)pacificorp.com
James C. Paine
Stoel Rives LLP
900 SW Fifth Avenue, Suite 2600
Portland, OR 97204-1268
Telephone: [phone]
Facsimile: [phone]
E-mail: jcpaine(g)stoel.com
In addition, PacifiCorp respectfully requests that all data requests regarding this matter be
addressed to:
Bye-mail (preferred)
By regular mail
datarequest (g) pacificorp.com
By facsimile
Data Request Response Center
PacifiCorp
825 NE Multnomah, Suite 800
Portland, OR 97232
[phone]
Informal inquires also may be directed to Bob Lively at [phone].
As a regional utility, PacifiCorp is entitled to participate in the Residential
Exchange Program (the "REP"), which extends the benefits of low-cost Federal power to
residential and small farm consumers served by investor-owned utilities in the region. See
section 5(c) of the Northwest Power Act, 16 U.c. ~ 839(c). The REP is administered by BPA.
In 2000, BPA offered the region s investor-owned utilities the option of entering into a
settlement ofthe REP (the "REP Settlement") in lieu of the traditional REP. All of the region
investor-owned utilities, including PacifiCorp, entered into the REP Settlement.
APPLICATION OF P ACIFICORP - 2
Portlnd3-1477051.1 0020017-00055
Upon initiation of the REP program, and as required by the REP settlement, the Company
established balancing accounts tracking the differences in the program credits provided to the
Company s customers and the monetary payments received from BPA pursuant to the REP
Settlement. As of September 2003 , the Idaho balancing account showed a deficit of $5.7 million
(i.PacifiCorp paid out $5.7 million more in benefits to Idaho residential and small farm
customers than PacifiCorp had received from BP A).
Following discussions with the Commission Staff, the Idaho Irrigation Pumpers
Association, and irrigation customers, the Company decided to seek Commission authorization
to correct the deficit in the BP A balancing account in a manner that would ease the customer
impact of elimination of the deficit. PacifiCorp proposes to reduce the BP A credit by 1/3 of the
$5.7 million, thereby recovering the negative balance over a three-year period. Additionally, the
credit is being reduced to match the level of the annual credit received from BP A with the annual
credit passed on to Idaho residential and small farm customers. This reduces the credit by an
additional $597 000 per year. The proposed annual reduction for a three-year period would
therefore total $2,496 000 ($1 899,000 + $597 000). Additional adjustments to the BPA credit
may be necessary in order to achieve the targeted zero balance in the BP A balancing account by
September 30, 2006.
PacifiCorp submits the following exhibits providing additional support for the
relief requested in this Application:
(a) Application Table A: Table A shows the net impact by rate schedule of
the proposed revision to Schedule 34 including the expiration of the Power Cost
Surcharge (Schedule No. 93) and the implementation of the Year-3 Rate
Mitigation Adjustment (Schedule No. 94);
(b) Application Table B: Table B reflects the calculation of proposed
Schedule 34 based on normalized twelve months ended March 31 2003;
(c) Application Table C: Table C is a balancing account study reflecting the
Company s BPA balancing account history for fiscal year 2002-2003. The Table
shows the $5.7 million deficit as of September 2003; and
(d) Application Table D: Table D reflects the Company s Schedule 34 and
shows the proposed tariff changes, pursuant to Rule of Procedure 121.01a.
APPLICATION OF PACIFICORP - 3
Portlnd3-1477051.l 0020017-00055
Pursuant to RP 121.01.d, PacifiCorp stands ready for immediate consideration of
this Application. PacifiCorp proposes that the proposed reduction to the Schedule 34 BP A credit
be effective on June 8, 2004, to permit proper notice pursuant to Idaho Code 961-307. The
proposed tariffs in Table D would be effective on June 8, 2004 unless suspended by the
Commission.
PacifiCorp does not believe that the filing is subject to the general rate case or tracker
notice requirements of Rule 102 of the Commission s Utility Customer Information Rules.
Should the Commission determine otherwise, PacifiCorp respectfully asks the Commission to
notify the Company of its determination and the Company will take steps to comply with
Rule 102.
WHEREFORE, PacifiCorp respectfully requests that the Commission enter its Order
authorizing the reduction of the Schedule 34 BPA credit by an annual amount of $2 496 000 for
a three-year period, in order to eliminate the $5.7 million deficit currently reflected in the
Company s balancing account and to further reflect the net effect of the annual credit received
from BP A with the annual credit passed on to Idaho residential and small farm customers.
DATED this 19th day of April, 2004.
Respectfully submitted
;k--cQ.J ames ell
James C. Paine
Attorneys for PacifiCorp
APPLICATION OF P ACIFICORP - 4
Portlnd3-1477051.l 0020017-00055
James F. Fell
James C. Paine
Stoel Rives LLP
900 SW Fifth Avenue, Suite 2600
Portland, OR 97204-1268
Tel. [phone]
, -
9246
Fax [phone]
Attorneys for PacifiCorp
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF P ACIFICORP d/b/a UTAH POWER &
LIGHT COMPANY FOR APPROV AL
OF REDUCTIONS IN BONNEVILLE
POWER ADMINISTRATION REGIONAL
EXCHANGE CREDITS
CASE NO. P AC-
P ACIFICORP' S MOTION TO
CONSOLIDATE DOCKETS
PacifiCorp, d/b/a Utah Power & Light Company ("PacifiCorp" or the "Company ) files
this Motion to Consolidate pursuant to Idaho Public Utilities Commission (the "Commission
Rule 56. PacifiCorp moves to consolidate its application filed this day seeking Commission
authorization to reduce the Bonneville Power Administration ("BP A") regional exchange credits
in Idaho with another, currently-pending PacifiCorp proceeding, Case No. PAC-03-05.
Background
On March 31, 2003 1 PacifiCorp filed an application seeking approval of deferred
accounting treatment for excess costs incurred for forward power purchases made during
summer 2002, and federal and state payments made in 2002 resulting from the Internal Revenue
Service s income tax audit for the years 1994-1998. The application was docketed as Case
No. PAC-03-05. In its December 23 2003 amendment to the March 31 2003 application
PacifiCorp requested a surcharge to recover the amounts for which deferred accounting is
approved.
1 As amended on December 23, 2003.
PACIFICORP'S MOTION TO CONSOLIDATE DOCKETS - 1
Portlnd3-1477561.l 0020017-00055
On April 21 , 2004, PacifiCorp filed its application seeking Commission authorization to
revise the Company s Electric Service Schedule No. 34, a proposed reduction in the BP A
regional exchange credits in Idaho (the "Exchange Credit Application ). The Company
Exchange Credit Application seeks to reduce the Kilowatt-Hour Credit Adjustment for all
qualifying kilowatt-hours of residential and/or farm use in its Idaho retail service territory.
Prayer for Relief
Both ofPacifiCorp s applications referenced above seek to revise rates as specified in the
respective filings. If the Exchange Credit Application is processed in an expeditious manner, the
Commission may wish to consider implementing the "net" effect of the two referenced dockets
at the same time, to avoid rate changes within a short period of time. For this reason, PacifiCorp
hereby respectfully moves to consolidate Commission consideration of the recently filed
Exchange Credit Application with the power purchase/tax audit proceeding, P AC-03-05.
DATED this 19th day of April, 2004.
Respectfully submitted
James F. Fell
Of Attorneys for PacifiCorp
P ACIFICORP'S MOTION TO CONSOLIDATE DOCKETS - 2
Portlnd3-1477561.l 0020017-00055
Application Table A
Net Impact by Rate Schedule of Proposed Revision
Schedule 34
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d
.
Application Table B
Calculation of Proposed Schedule 34
Based on Normalized 12 Months Ended March 31 , 2003
Ta
b
l
e

B
Ut
a
h

P
o
w
e
r

-

S
t
a
t
e

o
f

I
d
a
h
o
Ca
l
c
u
l
a
t
i
o
n

o
f

P
r
o
p
o
s
e
d

B
P

A

C
r
e
d
i
t

S
c
h
e
d
u
l
e

3
4
Ba
s
e
d

o
n

N
o
r
m
a
l
i
z
e
d

1
2

M
o
n
t
h
s

E
n
d
e
d

M
a
r
c
h

3
1
,

2
0
0
3
To
t
a
l
Sc
h
.

3
4

-

B
P

A

C
r
e
d
i
t

(
$
0
0
0
)
Sc
h
e
d
u
l
e
No
r
m
a
l
i
z
e
d
BP
A
Pr
e
s
e
n
t
Pr
o
p
o
s
e
d
De
s
c
r
i
p
t
i
o
n
No
.
MW
h
MW
h
Cr
e
d
i
t
(t
/
k
W
h
Ne
w
(t
/
k
W
h
(1
)
(2
)
(3
)
(4
)
(5
)
(6
)
(2
)
x
(
4
)
(5
)
1
(
2
)
Re
s
de
n
t
Re
s
i
d
e
n
t
i
a
l

S
e
r
v
i
c
e
28
3
,
33
0
28
3
,
33
0
($
7
,
08
5
)
(2
,
50
0
6
)
($
6
,
60
9
)
(2
.
3
3
2
7
)
Re
s
i
d
e
n
t
i
a
l

O
p
t
i
o
n
a
l

T
O
D
28
7
,
38
3
28
7
,
38
3
($
7
,
18
6
)
(2
,
50
0
6
)
($
6
,
70
4
)
(2
.
33
2
7
)
Su
b
t
o
t
a
l
57
0
,
71
3
57
0
,
71
3
($
1
4
,
27
1
)
($
1
3
31
3
)
Co
m
m
e
r
c
i
a
l

&

I
n
d
u
s
t
r
i
a
l
Ge
n
e
r
a
l

S
e
r
v
i
c
e

-

L
a
r
g
e

P
o
w
e
r

(
28
,
99
8
28
,
99
8
($
7
2
5
)
(2
.
5
0
0
6
)
($
6
7
6
)
(2
,
33
2
7
)
Ir
r
i
g
a
t
i
o
n

R
a
t
e
60
6
,
4
6
0
48
3
13
2
($
2
0
,
4
8
6
)
(4
.
24
0
2
)
($
1
9
,
02
4
)
(3
,
93
7
7
)
Ge
n
e
r
a
l

S
e
r
v
i
c
e

(
R
&
F
)
23
A
15
,
4
0
7
15
,
4
0
7
($
3
8
5
)
(2
,
50
0
6
)
($
3
5
9
)
(2
,
33
2
7
)
Su
b
t
o
t
a
l
65
0
,
86
6
52
7
,
53
8
($
2
1
59
6
)
($
2
0
05
9
)
Pu
b
l
i
c

S
t
r
e
e
t

L
i
g
h
t
i
n
g
Se
c
u
r
i
t
y

A
r
e
a

L
i
g
h
t
i
n
g

(
R
&
F
)
12
9
12
9
($
3
)
(2
,
50
0
6
)
($
3
)
(2
,
33
2
7
)
Su
b
t
o
t
a
l
12
9
12
9
($
3
)
($
3
)
Th
t
a
l
22
1
70
8
09
8
,
37
9
($
3
5
87
1
)
($
3
3
,
37
5
)
No
t
e
s
:
1.

P
r
o
p
o
s
e
d

a
n
n
u
a
l

B
P
A

b
e
n
i
f
t

(
$
3
3
,
37
6
K
)

=

C
u
r
r
e
n
t

a
n
n
u
a
l

b
e
n
e
f
i
t

(
$
3
5
,
27
5
K
)

-

a
n
n
u
a
l

B
a
l
a
n
c
e

A
d
j
u
s
t
m
e
n
t

(
$
1
89
9
K
)
.
2.

5
7
%

o
f

t
h
e

t
o
t
a
l

B
P
A

c
r
e
d
i
t

r
e
v
e
n
u
e

g
o
e
s

t
o

I
r
r
i
g
a
t
i
o
n

Cu
s
t
o
m
e
r
s

a
n
d

t
h
e

r
e
s
t

g
o
e
s

t
o

N
o
n
-
Ir
r
i
g
a
t
i
o
n

C
u
s
t
o
m
e
r
s
,
Application Table C
BP A Balancing Account Study for Fiscal Year 2002-2003
Ta
b
l
e

C
Ut
a
h

P
o
w
e
r

-

S
t
a
t
e

o
f

I
d
a
h
o
Re
s
i
d
e
n
t
i
a
l

E
x
c
h
a
n
g
e
Ba
l
a
n
c
i
n
g

A
c
c
o
u
n
t

S
t
u
d
y
FY

2
0
0
2
-
20
0
3

S
t
u
d
BP
A
In
t
e
r
e
s
t
Cu
s
t
o
m
e
r
Ac
c
u
m
u
l
a
t
e
d
Mo
n
t
h
Pa
y
m
e
n
t
s
Pa
y
m
e
n
t
Cr
e
d
i
t
s
Ba
l
a
n
c
e
Oc
t
-
83
4
71
4
,
10
,
91
0
,
37
2
97
0
,
2,
4
7
2
,
65
4
,
No
v
-
83
4
,
71
4
,
22
6
,
23
1
72
7
,
08
9
,
86
8
.
De
c
-
83
4
71
4
,
25
6
,
15
9
,
50
4
,
78
1
,
33
5
,
Ja
n
-
83
4
71
4
,
51
3
,
19
0
,
03
9
,
10
,
4
4
4
,
52
4
.
Fe
b
-
83
4
71
4
,
07
1
,
05
4
,
62
7
,
12
,
24
5
,
68
2
,
Ma
r
-
83
4
71
4
,
23
,
25
4
,
18
8
,
15
4
,
12
,
91
5
,
4
9
6
,
Ap
r
-
83
4
71
4
,
14
9
,
76
8
,
18
9
,
00
3
,
17
1
.
2
7
Ma
y
-
83
4
71
4
,
58
9
,
53
8
,
98
9
,
32
0
,
4
8
5
,
Ju
n
-
83
4
71
4
,
18
2
,
12
7
16
9
.
4
8
04
5
,
21
2
,
Ju
l
-
83
4
71
4
,
29
0
,
69
6
,
58
9
,
19
3
,
62
9
.
4
6
Au
g
-
83
4
71
4
,
28
5
,
5,
4
8
9
,
39
5
,
54
5
,
23
4
,
Se
p
-
83
4
,
71
4
,
3,
4
1
3
,
66
7
75
6
,
71
5
,
60
5
.
4
4
Oc
t
-
93
1
56
3
,
3,
4
4
7
.
96
6
,
83
6
,
68
3
,
77
9
,
No
v
-
93
1
,
56
3
,
94
0
,
12
4
,
4
8
3
,
3,
4
9
4
79
9
.
5
8
De
c
-
93
1
,
56
3
,
23
8
,
39
0
,
4
3
7
,
04
0
,
16
4
.
5
9
Ja
n
-
93
1
56
3
,
4,
4
2
8
.
4
8
50
9
,
38
0
,
4,
4
6
6
,
77
6
,
Fe
b
-
50
3
,
17
9
,
62
3
,
86
2
,
80
2
,
11
1
,
77
6
.
4
8
Ma
r
-
50
3
,
17
9
,
93
8
.
4
9
54
3
,
82
4
,
07
7
,
06
9
,
Ap
r
-
50
3
,
17
9
.
64
3
.
4
7
29
2
86
4
.
4
0
29
4
02
8
.
5
8
Ma
y
-
50
3
,
17
9
,
58
6
,
78
7
,
58
2
,
01
7
,
21
2
,
Ju
n
-
50
3
,
17
9
,
12
0
,
66
9
,
23
9
.
85
5
,
27
2
,
Ju
l
-
50
3
,
17
9
,
20
,
01
0
,
38
6
,
34
8
,
08
5
,
Au
g
-
50
3
,
17
9
,
27
1
,
86
3
.
(3
,
4
2
0
,
59
8
,
77
)
Se
D
-
50
3
,
17
9
,
77
9
,
37
6
,
(5
,
69
6
,
79
5
,
63
)
To
t
a
l
s
65
,
76
8
26
5
,
22
9
,
13
0
.
69
4
19
2
,
Re
d
u
c
e
d

C
r
e
d
i
t

e
q
u
a
l
s

1
/
3

o
f

t
h
e

S
e
p
-
03

b
a
l
a
n
c
e
($
1
89
8
,
93
1
,
88
)
rJ
:
J Q.
.
..
.
rJ
:
J Q.
.
rJ
1 Q.
.
..
.
f"
'
f
'
"
..
.
r:
r
BlahHIA"
C. No. 28
Ninth Revised Sheet No. 34.
Canceling Eighth Revised Sheet No. 34.
UTAH POWER & LIGHT COMPANY
ELECTRIC SERVICE SCHEDULE NO. 34
STATE OF IDAHO
Pacific Northwest Electric Power Planning and Conservation Act
Residential and Farm Kilowatt-Hour Credit
APPLICATION AND A AILABILITY: This Schedule is applicable and available to qualifying
Residential and/or Farm Customers of Utah Power & Light Company under the jurisdiction of the Idaho
Public Utilities Commission,
MONTHLY RATES: The monthly charges for service under each of the Electric Service
Schedules shown below shall be reduced by the appropriate monthly kilowatt-hour credit adjustment shown
per kilowatt-hour for all qualifying kilowatt-hours of residential and/or farm use. (C)
Kilowatt-Hour Credit Adjustments:
Irrigation Customers:
Schedule No, 10
$0,039377 per kWh
(C)
, C)
Non-Irrigation Customers:$0,023327 per kWh
Schedule Nos, 1 , 6A, 7A, 23A
35A, 36, 19 with 6A
19 with 23A, 19 with 35A
(Continued)
Submitted Under Case No, PAC-04-
ISSUED: April 21 , 2004 EFFECTIVE: June 8, 2004