20050803Acceptance of modified stipulation.pdf

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Portland, Oregon 97204
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ATTORNEYS AT LAW
;i) lie f':UBldr/LiTiES COt'1MISSfOrJ
August 2, 2005
JAMES F. FELL
Direct [phone]
jffell~stoe1.com
Jean D. Jewell
Commission Secretary
Idaho Public Utilities Commission
472 W. Washington
Boise, ill 83702-0074
Re:Application ofPacifiCorp dba Utah Power & Light Company
for Approval of Changes to Its Electric Service Schedules
Case No. PAC-05-
Dear Ms. Jewell:
The purpose of this letter is to inform the Commission, pursuant to Rule 276 of the
Commission s Rules of Procedure, that PacifiCorp accepts the Commission s modification to the
Stipulation dated June 13 2005 ("Stipulation ) which removed Paragraph 9 regarding the
Monsanto contract.
PacifiCorp did not have an opportunity to reply to any of the Comments and Objections
of Monsanto Company ("Monsanto ) considered at the Commission s July 12, 2005 public
meeting and would like to take this opportunity to do so. Specifically, PacifiCorp takes issue
with the following comments submitted by Monsanto:
1. Paragraph 9 of the Stipulation, regarding the positions of parties on application of
the contract standard to the Monsanto contract, attempts to settle "an issue never raised or
presented in PacifiCorp s filing or by any other party in this case." Procedural Rule 124.02 and
Commission Order 29703 state that the rates of all Idaho retail customers, including special
contract customers, are at issue in a general rate case. Further, the impact of the treatment of
Monsanto s contract in the Application was the source of discovery and considerable controversy
in this proceeding. This issue was a major stumbling block to prosecution and settlement of the
case.
2. Paragraph 9 of the Stipulation is an "improper and unlawful collateral attack on
the Commission s Order No. 29517 in the Monsanto rate case" approving Monsanto s special
contract. Paragraph 9 does not in any way attack Order No. 2951 7. The Stipulation actually
affirms the Commission s Order by acknowledging Monsanto s status as a contract standard
Oregon
Washington
California
Utah
Portlnd3-1522747.30020017-00072 Idaho
Jean D. Jewell
August 2, 2005
Page 2
customer through the contract term ending December 31, 2006; it does not seek to make any
changes in the Monsanto contract during its term.
3. Paragraph 9 of the Stipulation "expressly violates the Stipulation and Commission
Order No. 29708" in the MSP case. The very terms of the MSP Stipulation and Order No.
29708, which speak only to Monsanto s contract rates during the current contract term
demonstrate that Paragraph 9 is compatible with the provisions of these documents. Further
with regard to future Monsanto contracts, the MSP Stipulation refers specifically to using the
Rate Mitigation Mechanism to establish PacifiCorp ' s revenue requirement for purposes of
setting rates for Idaho customers, including Monsanto. By the terms of the MSP Stipulation, this
Rate Mitigation Mechanism treatment will apply to rate filings made through March 31 , 2009
regardless of whether Monsanto s future contacts are based on tariff standard or contract
standard.4. Paragraph 9 of the Stipulation "seeks to prejudge treatment of Monsanto in future
contracts." Certainly, Paragraph 9 is intended to alert the Commission, Monsanto and other
parties to PacifiCorp s principal issue in the negotiation of Monsanto s next contract. The
specific language of Paragraph 9 states, however, that the Commission is not bound by any
agreement of the parties on this issue in subsequent proceedings. The Commission was not
being asked to prejudge anything about Monsanto s current or future contract status in this
proceeding.
While we are disappointed by the Commission s removal of Paragraph 9, we appreciate
receiving expeditious and favorable treatment of the remainder of the Stipulation.
Very truly yours
JFF:ljrcc: Service list
Portlnd3-1522747.30020017-00072
CERTIFICATE OF SERVICE
DOCKET NO. PAC-05-
I hereby certify that on August 2, 2005 I served a true, correct and complete copy of the
foregoing Acceptance Letter by U.S. and electronic mail, to each of the following:
Scott Woodbury
Kira Pfisterer
Deputy Attorney Generals
Idaho Public Utilities Commission
472 W. Washington (83702)
PO Box 83720
Boise, ill 83720-0074
scott. woodbury(illpuc.idaho. gov
kira. p fisterer(illpuc.i daho. gov
James R. Smith
Monsanto Company
Highway 34 North
O. Box 816
Soda Springs, ill 83276
i im.r. smith(illmonsanto. com
Katie Iverson
Brubaker & Associates
7244 W. Cordova Court
Surprise 85387
ki verson(illconsul tbai. com
Randall C. Budge
Racine, Olson, Nye, Budge & Bailey, Chartered
201 E. Center
O. Box 1391
Pocatello, ill 83204- 1391
rcb(illracinelaw.net
Monsanto Company
c/o Mark Boswell, Legal Dept.
800 N. Lindburg Blvd., Mailzone E2NR
St. Louis, MO 63167
mark. boswell(illmonsanto .com
Conley E. Ward
Givens Pursley LLP
601 W. Bannock St. (83702)
O. Box 2720
Boise, ill 83701-2720
cew~givenspursley.com
R. Scott Pasley
Assistant General Counsel
J .R. Simplot Company
999 Main St., Suite 1300 (83702)
O. Box 27
Boise, ill 83707
spasley(illsimp lot. com
Eric L. Olsen
Racine, Olson, Nye, Budge &
Bailey, Chartered
201 E. Center
O. Box 1391
Pocatello, ill 83204-1391
elo(illracinelaw.net
Idaho Irrigation Pumpers Assn, Inc.
c/o Lynn T ominaga
O. Box 2624
Boise, ill 83701-2624
lynn tominaga(illhotmai1.com
Dennis E. Peseau
Utility Resources, Inc.
1500 Liberty St. SE, Suite 250
Salem, OR 97302
dpeseau~exci te. com
Anthony Yankel
29814 Lake Road
Bay Village, OH 44140
tony(illyanke1.net
David Hawk
Director, Energy Natural Resources
J .R. Simplot Company
999 Main St., Suite 1300 (83702)
O. Box 27
Boise, ill 83707
dhawk(illsimplot.com
CERTIFICATE OF SERVICE -
Portlnd3-1515952.1 0020017-00072
Timothy J. Schurtz
411 S. Main
Firth, ill 83236
tim(illidahosupreme.com
CERTIFICATE OF SERVICE - 2
Portlnd3-1515952.1 0020017-00072
Brad M. Purdy
Attorney at Law
2019 N. 1 ih Street
Boise, ill 83702
bmpurdy(illhotmail.com