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Home My WebLink About20060621Larsen Direct, Exhibits 2-5.pdfii ,,-j ' /cD 10: 16 UrfL;~~j;:-c' 0 (OJ;.,-:!, 1('111::,'-:'11"'V0iUf'j BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION OF PACIFICORP DBA ROCKY MOUNTAIN POWER' FOR APPROVAL TO REVISE ELECTRIC SERVICE SCHEDULE NOS. 10,400, AND 401 CASE NO. PAC-E- , Direct Testimony of Jeffrey K. Larsen ACIFICORP June 2006 Please state your name, business address and position with PacifiCorp, dba, Rocky Mountain Power ("the Company. My name is Jeffrey K. Larsen, and my business address is 201 South Main Street Suite 2300, Salt Lake City, Utah 84111. I am currently employed as Managing Director of Regulatory Affairs. Qualifications Please summarize your education and business experience. I received a Master of Business Administration degree from Utah State University in 1994 and a Bachelor of Science degree in Accounting from Brigham Young University in 1985. I have also participated in the Company s Business Leadership Program through the Wharton School and an Advanced Education Program through the J.L. Kellogg School of Management at Northwestern University. In addition to formal education, I have also attended various educational, professional and electric industry-related seminars during my career at the Company. I joined the Company in 1985, and I have held various accounting, compliance and regulatory-related positions prior to my current position. I have testified on various matters in the states of Utah, Wyoming, California Washington, and Oregon. Purpose What is the purpose of your testimony? The purpose of my testimony is to provide an overview of the Company application to revise Electric Service Schedule Nos. 10,400, and 401, and support Larsen, Di - 1 PacifiCorp the Stipulation entered into between the Company and the Idaho Irrigation Pumpers Association, Inc. ("lIP A" or "Stipulation Party ) as being reasonable and in the public interest. I first provide background to this application, including its relation to the general rate case originally anticipated to be filed by the Company before April 29, 2006. I describe the Company s efforts to reach agreements with multiple parties prior to filing the application. I explain the various elements of the Stipulation as well as provide evidence that supports the need for a price change in the Idaho jurisdiction and provides the basis for the agreements reached with the various parties. Finally, I recommend that the Commission approve this application and Stipulation as reasonable and in the public interest. Overview Please describe PacifiCorp s application to revise Electric Service Schedule Nos. 10,400, and 401. This filing requests adjustments to Electric Service Schedule Nos. 10, 400, and 401 according to the terms of settlement agreements reached between the Company and lIP A, Monsanto Company ("Monsanto ), and Nu- West Industries Nu- West"), respectively. If approved by the Commission, PacifiCorp would be allowed to implement revisions to Schedule Nos. 10, 400, and 401 designed to recover a total of $8.25 million in additional annual revenue from base rates representing an aggregate rate increase of5.1 percent. Revised Schedule Nos. 10 and 400 would become effective as of January 1 , 2007, and revised Schedule No. 401 would become effective as of September 1 2006. Larsen, Di - 2 PacifiCorp Has the Company provided workpapers showing how the results were calculated and the impact on existing tariffs? Yes. Exhibit 1 shows the total company and Idaho allocated revenue requirement as I will describe later. Exhibit 2 is a summary of the cost of service study, including an itemization by functional category. Exhibit 3 includes a calculation of the revenue increase for Schedule No. 10. Exhibit 4 includes revised tariff schedules showing the proposed changes to Schedule Nos. 10, 400, and 401. Are any rates set forth in tariff schedules other than those referenced above at issue in this application? No. Why has the Company proposed no changes to other tariff schedules? Based on the Company s most recently available cost of service results at the proposed target return on rate base shown in Exhibit 2, there are no other major customer classes that require rate adjustments on the order of magnitude as was indicated for Schedule Nos. 10 400 and 401. In fact, all other major customer classes are within 90 percent and 110 percent of the proposed cost of service. As such, while smaller adjustments for other customer classes may be suggested by the results, the Company believes it is appropriate to increase prices for only Schedule Nos. 10, 400, and 401 at this time. This will limit price changes and result in price stability for the majority of our Idaho customers, while reducing cost of service disparities among customer classes. Larsen, Di - 3 PacifiCorp Does this application address the details of the proposed changes to Schedule Nos. 400 and 401? No. Electric Service Schedule Nos. 400 and 401 are based on special contracts between the Company and its customers Monsanto and Nu-West, respectively. Details supporting the proposed changes to these tariff schedules are provided in separate applications filed simultaneously with this application and are subject to Commission approval. However, the Company has provided revised Schedule Nos. 400 and 401 as exhibits in this application for Commission approval and to illustrate the proposed changes to these schedules which, when evaluated alongside the proposed revision to Schedule 10, show the overall impact ofthe rate changes on the Company s financial results. Background The terms of the Stipulation approved in Case No. P AC-05-0l indicated that the Company anticipated filing a general rate case by April 29, 2006. Why did the Company not proceed with a general rate filing by that date? Paragraph 8 ofthe approved Stipulation referenced above states , " The cost of service issue (related to the Monsanto contract) is not resolved in this Stipulation and is proposed to be addressed in a general rate case to be filed by the Company no later than April 29, 2006 in order that the effective date of rates in that proceeding will coincide with the expiration of the current Monsanto contract in December 2006." During the course of preparing the anticipated general rate filing, the Company was also engaged in confidential contract negotiations with Monsanto regarding a new electric service agreement. As those discussions Larsen, Di - 4 PacifiCorp progressed it became apparent that mutual agreement would be possible resolving many of the cost of service issues raised in Case No. P AC- E-05-0 1. As discussions with Monsanto continued past April 29, 2006, the Company notified the Commission and parties to the previous Stipulation that it intended to delay a general rate case filing. Has the Company reached agreement with Monsanto regarding a new special contract? Yes. PacifiCorp and Monsanto have signed a new electric service agreement that was filed in a separate application for Commission approval. The new service contract will be effective January 1 , 2007. Why did the Company seek agreements with lIP A and Nu-West? The cost of service study prepared pursuant to the anticipated general rate case filing and for the Monsanto contract negotiations revealed significant revenue shortfalls in Idaho, not only from Monsanto but also from the irrigation customer class and the Nu-West special contract. PacifiCorp initiated discussions with both lIP A and Nu- West and has signed stipulations with both to reduce the respective revenue shortfalls. Has the special contract with Nu-West been renegotiated? No. Electric Service Schedule No. 401 is based on the terms ofthe electric service agreement between the Company and Nu- West, approved by the Commission in Order No. 29940, effective through December 31 , 2010. Schedule No. 401 allows for adjustments to the tariff rate which may be approved by the Commission, and the Company has filed a separate application that would Larsen, Di - 5 PacifiCorp support a tariff rate increase to Schedule 401 , effective as of September 1 2006.. What is the basis for the settlement agreements and proposed increases? Each agreed-upon increase is based on the Company s normalized results of operations and cost of service studies using a historical test year ending September 30, 2005. These normalized results of operations indicate the Company is currently earning a return on equity of 5.75 percent, which is significantly below the Company s last authorized rate of return, and well below the rate of return generally allowed for public utilities in Idaho currently. Based on the Company target rate of return, an increase of$19.35 million would be warranted at the 75 percent earnings level. Without the requested increase in revenues, it will be increasingly difficult for PacifiCorp to access capital markets to obtain the funds necessary to maintain its utility infrastructure and continue to provide safe, reliable power to its Idaho customers. Were the results of operations prepared consistently with past Commission practice and orders? Yes. The results were prepared using a historical test year with known and measurable adjustments, including adjustments for both costs and matching benefits to customers. PacifiCorp s total company results were allocated to the Idaho jurisdiction according to the Revised Protocol allocation method approved by the Commission in Order No. 29708 and previously implemented in Case No. PAC-05-01. The calculated revenue shortfall was reduced to reflect the rate mitigation cap, limiting rate increases to 101.67 percent of the revenue Larsen, Di - 6 PacifiCorp requirement calculated under the Rolled-In allocation method. All applicable commitments made by the Company during the acquisition ofPacifiCorp MidAmerican Energy Holdings Company, Case No. P AC-05-08, were also reflected in the calculation of the results. Has the Company communicated with any other customer groups? Yes. The Company contacted all parties to the Stipulation reached in Case No. PAC-05-01 and none have objected to the Company s decision to not file a general rate case in 2006. In particular, PacifiCorp has worked with the Community Action Partnership Association of Idaho ("CAP AI") because of a related commitment in Case No. P AC-05-08, the MidAmerican acquisition ofPacifiCorp. Commitment No. I 13(b) states , " In PacifiCorp s next Idaho general rate case, PacifiCorp will include in its direct testimony an analysis ofthe costs and benefits of changing its current practice of matching 50 percent of federal contributions to matching at a higher percentage amount." Because CAPAI was a party to the Stipulation approved in Case No. PAC-05-01, it was expecting a general rate case to be filed by April 29, 2006 with testimony that would satisfy Commitment No. I 13(b). PacifiCorp reached agreement with CAP AI that the issue contributions under tariff Schedule No. 21 could be addressed in a separate proceeding before the Commission. Does the Company still intend to file a general rate case in 2006? , not if the Commission approves this application. The Company believes that Commission approval of this filing, along with the separate filings with respect to Larsen, Di - 7 Pacifi Corp the Monsanto and Nu- West special contracts, will resolve the issues previously raised in Case No. PAC-05-0l. In addition, the proposed revenue increase would allow PacifiCorp the opportunity to earn a fair rate of return in its Idaho jurisdiction. Unless unanticipated or extraordinary events occur, the Company no longer intends to file an Idaho general rate case during 2006. Terms of the lIP A Stipulation What are the key elements of the Stipulation with lIP A? If approved by the Commission, PacifiCorp would be allowed to implement a revised Electric Service Schedule No. 10 designed to recover $1.7 million in additional annual revenue, representing an average rate increase of 5.0 percent. This revised tariff schedule would become effective as of January 1, 2007. addition, the Stipulation provides that the Company will defer a total of $450,000 of the revenue collected under Schedule No. 10 between May 1, 2007 and September 30, 2007, and refund the total, spread ratably to participants in the Irrigation Load Control Credit Rider program. The total refund would be paid no later than December 31 , 2007. The net effect on all Schedule 10 customers would be an average increase of 3.7 percent in 2007. The signed Stipulation is included in this application as Exhibit 5. What is the purpose of the $450,000 refund to participants in the load control program? The refund to program participants, which is subject to Commission approval of the Stipulation, is designed to be an incentive, encouraging additional Larsen, Di - 8 PacifiCorp participation in the load control program during the 2007 irrigation season. The refund is in addition to the Load Control Service Credit provided to program participants under Schedule No. 72. Were any other considerations given to the Irrigation Load Control Credit Rider program? Yes. In accordance with the terms of the Stipulation, the Company agreed to allow the Load Control Service Credit amount currently in effect for the 2006 irrigation season to remain in effect for the 2007 irrigation season. All other terms and conditions of the program would remain unchanged. The Company also agreed to meet with lIP A and other interested parties prior to November 1,2006 to study alternatives for evaluating the curtailment product provided by the irrigators to PacifiCorp. What is the purpose of those meetings? The parties will meet and study the load characteristics of interruptible irrigation customers and their potential impact on cost allocation to both irrigators and other customer classes. The parties will also evaluate the inclusion of the load control program in the Company s Integrated Resource Planning process. If the meetings result in agreement on an alternative method for valuing or structuring the load control program, such agreement would be reflected in the Company s next general rate case filing in Idaho. Impact on the Public Interest Is this application and Stipulation with lIP A in the public interest? Yes. The Company submits that the Stipulation and the proposed tariff changes Larsen, Di - 9 PacifiCorp that accompany this application are reasonable and in the public interest, for a number of reasons including the following: The Stipulation allows for a modest 3.7 percent average price impact on irrigation customers in 2007, moving the class closer to its cost of service in a year when the Bonneville Power Administration rate ("BP A") credits passed on to PacifiCorp s irrigation customers will be significantly reduced. In addition, when comparing PacifiCorp s irrigation rates to those of other utilities, PacifiCorp s Idaho irrigation customers will continue to pay some of the lowest electric rates in the nation. Based on a comparison of the commercial rates of other utilities across the nation and PacifiCorp s Idaho irrigation rates, and including the effects of both the proposed increase to Schedule 10 along with the upcoming changes to the BPA credit in 2007, PacifiCorp s average Idaho irrigation price would be ranked third lowest in the nation out of 177 utilities ranked in the most recent Edison Electric Institute Typical Bills Survey (Winter 2006). This information supports the reasonableness of the proposed rate increase. The proposed rate increase to Schedules 10 400 and 401 enhances the Company s ability to continue to safely and reliably meet the electrical service needs of customers in Idaho while leaving the rates ofthe majority of the Company s Idaho customers unchanged. Given that the Company normalized results of operation suggest that an increase of$19.35 million would be necessary to achieve a reasonable rate of return, there is little, if Larsen, Di - 10 PacifiCorp any, risk that an over-earnings situation could result from approving the requested $8.25 million increase. Approval of the Stipulation and the separate applications regarding the Monsanto and Nu- West special contracts, would mitigate the concerns regarding cost of service and disparity between customer classes identified in Case No. PAC-05-01. The Stipulation provides for meaningful evaluation of the Irrigation Load Control Credit Rider Program. Such discussions promote communication and understanding among participants as enhancements to current regulatory practices are explored. Approval of the Stipulation and the separate applications regarding the Monsanto and Nu- West special contracts would avoid a time-consuming and costly general rate case, achieve regulatory efficiency, and promote constructive issue resolution between the Company and its customers. What action is the Company proposing that the Commission take with respect to this application and Stipulation? For the reasons stated above, the Company and the Stipulation Party submit that the Stipulation is reasonable and in the public interest and that its terms conditions produce rates that are just and reasonable. The Company therefore recommends that the Commission adopt the Stipulation in its entirety to resolve the issues in this proceeding and that the terms of the Stipulation go into effect January 1 , 2007. The Company also recommends that the Commission approve the separate applications for approval ofthe changes to the Monsanto and Larsen, Di - 11 PacifiCorp Nu-West special contract rates, and correspondingly approve the revised Schedule Nos. 10, 400 and 401 included in this application. Does this conclude your testimony? Yes. Larsen, Di - 12 PacifiCorp .. 'lED , .. '-.. .o ;~ ; In. 1"'" I !' 'H~;~ ;j -", I;~L it, .. .. Case No. PAC-..-0Qil I! It '- j l'",;j"''c..:1C"Exhi tNo.'"-' I f '..J V " I, oJ Witness: Jeffrey K.Larsen , , BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION P ACIFICORP Exhibit Accompanying Direct Testimony of Jeffrey K. Larsen Revenue Requirement June 2006 PacifiCorp Exhibit No. THIS EXHIBIT IS VOLUMINOUS AND PROVIDED UNDER SEPARATE COVER i\/ED , y';.. t.. :); nr/ in. .... ,- I '-Hljb. ! '7,' (-JLU Q~~Jie. PAC-06d UlrLII'r-c~ (t:t~"'Li.:;f'l'o.T"" ,~- '-J:J.lIjlU 'J/,i&"~j\ . Witness: Jeffrey K. Larsen BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION PACIFICORP Exhibit Accompanying Direct Testimony of Jeffrey K. Larsen Cost of Service Summary Cost of Service Detail . June 2006 Pa c i f i C o r p Co s t O f S e r v i c e B y R a t e S c h e d u l e St a t e o f I d a h o 12 M o n t h s E n d i n g S e p t e m b e r 2 0 0 5 MS P P r o t o c o l 09 0 ; . = E a r n e d R e t u r n o n R a t e B a s e ,- - Re t u m o n Ra t e o f To t a l Ge n e r a t i o n Tr a n s m i s s i o n Di s t r i b u t i o n Re t a i l Mis c In c r e a s e Pe r c e n t a g e Lin e Sc h e d u l e De s c r i p t i o n An n u a l Ra t e Re t u m Co s t o f Co s t o f Co s t o f Co s t o f Co s t o f Co s t o f (D e c r e a s e ) Ch a n g e f r o m No , No , Re v e n u e Ba s e In d e x Se r v i c e Se r v i c e Se r v i c e Se r v i c e Se r v i c e Se r v i c e to = R O R Cu r r e n t R e v e n u e s Re s i d e n t i a l 28 , 01 6 , 80 8 11 , 09 % 24 , 54 5 , 90 7 12 , 67 4 10 7 51 1 03 7 06 7 , 59 3 00 7 , 46 9 28 5 70 1 47 0 90 1 12 , 39 % Re s i d e n t i a l - T a D 20 , 39 8 , 24 0 53 % 18 , 58 7 , 25 2 10 , 83 5 1 4 5 24 6 , 97 3 95 5 , 40 2 40 4 , 28 8 14 5 , 44 4 /1 , 81 0 , 98 8 -8 , 88 % Ge n e r a l S e r v i c e - L a m e 18 , 68 0 , 49 1 82 % 16 , 90 3 9 8 3 12 , 17 1 , 58 3 43 6 , 57 4 13 9 08 6 10 9 , 19 3 45 , 54 8 77 6 , 50 8 51 % Ge n e r a l S e r v i c e - M e d i u m V o l t a a e 13 1 3 5 9 72 % 12 5 , 75 9 90 , 74 0 74 5 23 , 74 7 25 2 27 5 15 , 60 0 -4 , 26 % Ge n e r a l S e r v i c e - H i a h V o l t a a e 49 5 1 0 0 7 11 . 84 % 33 5 , 45 3 3 8 6 2 . 49 1 43 2 6 2 8 76 8 56 3 10 , 00 4 /6 1 5 , 55 4 12 . 43 % Im a a t i o n 34 , 13 4 , 51 7 71 % 34 5 3 1 1 5 0 20 7 2 3 , 83 6 42 2 , 59 4 10 , 98 8 , 39 2 29 7 , 34 1 98 , 98 7 39 6 , 63 3 16 % 07 1 1 1 2 St r e e t & A r e a D i i h t l n a 31 8 7 3 3 20 . 82 % 13 , 54 8 40 4 66 , 72 9 22 4 42 7 , 80 2 43 , 51 6 13 3 22 9 67 1 72 . 06 % Tr a f f i c S i a n a l s 16 5 0 2 18 , 63 % 12 , 35 6 99 8 76 7 90 3 50 1 18 8 /4 , 14 6 25 , 12 % Sp a c e H e a t i n a 59 3 9 9 6 14 , 55 % 47 8 , 42 3 33 0 , 35 7 38 , 99 2 97 , 58 3 36 9 12 2 11 1 5 , 57 3 19 , 46 % Ge n e r a l S e r v i c e - S m a l l 10 0 4 0 , 57 7 13 , 92 % 81 7 4 , 14 7 75 6 , 65 1 56 6 , 73 7 27 3 , 90 2 51 1 , 39 3 65 , 4 6 4 /1 , 86 6 , 43 0 18 . 59 % SP C Co n t r a c t 1 39 7 7 . 38 4 05 % 08 1 , 19 8 60 0 , 12 0 42 3 , 25 9 49 , 25 8 61 5 94 7 10 3 , 81 4 61 % SP C Co n t r a c t 2 49 6 , 72 5 13 % 50 , 4 3 2 , 30 6 45 , 17 5 , 03 9 11 6 , 39 3 55 , 4 6 5 71 5 82 , 69 2 93 5 , 58 1 21 , 53 % To t a l St a t e o f I d a h o - 16 2 , 75 6 , 33 9 09 % 16 2 , 75 6 , 33 9 11 4 , 29 3 , 79 7 21 3 , 92 2 29 , 10 5 , 90 1 39 3 , 21 4 74 9 50 5 00 % Fo o t n o t e s : Co l u m n C : A n n u a l r e v e n u e s b a s e d o n 9 - 20 0 5 , Co l u m n D : C a l c u l a t e d R e t u m o n R a t e b a s e p e r 9 - 20 0 5 E m b e d d e d C o s t o f S e r v i c e S t u d y Co l u m n E : R a t e o f R e t u m I n d e x , R a t e o f r e t u m by r a t e s c h e d u l e , d i v i d e d b y I d a h o J u r i s d i c t i o n s n o n n a l i z e d r a t e o f r e t u m , Co l u m n F : C a l c u l a t e d F u l l C o s t o f S e r v i c e a t Ju r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d c a s S t u d y Co l u m n G : C a l c u l a t e d G e n e r a t i o n C o s t o f S e r v i c e a t Ju r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d c a s S t u d y , Co l u m n H : C a l c u l a t e d T r a n s m i s s i o n C o s t o f S e r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d c a s S t u d y , Co l u m n I : C a l c u l a t e d Di s t r i b u t i o n C o s t o f S e r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d ca s Stu d y , Co l u m n J : C a l c u l a t e d R e t a i l C o s t o f Se r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d c a s S t u d y , Co l u m n K : C a l c u l a t e d M l s c , Dis t r i b u t l o n C o s t o f S e r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d c a s S t u d y , Co l u m n L : I n c r e a s e o r D e c r e a s e R e q u i r e d t o Mo v e F r o m A n n u a l R e v e n u e t o F u l l C o s t o f S e r v i c e D o l l a r s , Co l u m n M : I n c r e a s e o r D e c r e a s e R e q u i r e d t o Mo v e F r o m A n n u a l R e v e n u e t o F u l l C o s t o f S e r v i c e P e r c e n t . :; e n t T 1 ' " ;J : o " ' " g e n : r . ~ , tT 1 0 - : : ' I '" Z ~ 9 t- a go ~ N '" n~m ~ t; ; ' b - ~ ' " 0 '" ' . . . . , Pa g e 1 Pa c i f i C o r p Co s t O f S e r v i c e B y R a t e S c h e d u l e St a t e o f I d a h o 12 M o n t h s E n d i n g S e p t e m b e r 2 0 0 5 MS P P r o t o c o l 80 % = T a r g e t R e t u r n o n R a t e B a s e Re t u m o n Ra t e o f To t a l Ge n e r a t i o n Tr a n s m i s s i o n Dis t r i b u t i o n Re t a i l Mis c In c r e a s e Pe r c e n t a g e LI n e Sc h e d u l e De s c r i p t i o n An n u a l Ra t e Re t u m Co s t o f Co s t o f Co s t o f Co s t o f Co s t o f Co s t o f (D e c r e a s e ) Ch a n g e f r o m No , No . Re v e n u e Ba s e In d e x Se r v i c e Se r v i c e Se r v i c e Se r v i c e Se r v i c e Se r v i c e to = R O R Cu r r e n t R e v e n u e s Re s i d e n t i a l 28 , 01 6 . 80 8 11 . 09 % 27 , 57 7 , 82 1 77 2 , 93 2 01 6 , 05 7 30 1 , 02 9 06 6 4 2 2 42 1 , 38 1 14 3 8 , 98 7 57 % Re s l d e n t l a l - T O D 20 , 39 8 2 4 0 53 % 20 , 88 6 , 62 2 11 , 74 9 46 7 66 4 , 31 8 83 4 , 96 0 1 4 3 0 6 7 5 20 7 , 20 2 48 8 3 8 2 39 % Ge n e r a l S e r v i c e - L a m e 18 , 68 0 , 49 1 82 % 18 9 8 3 , 86 0 21 4 , 59 9 91 6 8 0 4 69 1 1 2 8 11 1 , 24 3 50 , 08 6 30 3 3 6 9 62 % Ge n e r a l S e r v i c e - M e d i u m V o l t a " " 13 1 , 35 9 72 % 14 0 , 81 1 98 , 52 2 14 , 32 2 27 , 42 1 26 4 28 1 94 5 2 20 % Ge n e r a l S e r v i c e - H i n h V o l t a a e 49 5 1 , 00 7 11 . 84 % 80 3 , 31 9 18 0 0 8 1 57 7 5 0 8 29 9 6 6 75 7 10 0 0 6 11 4 7 6 8 8 98 % Ir r i a a t i o n 34 1 3 4 , 51 7 71 % 39 0 1 3 , 51 2 22 4 5 5 , 39 3 22 7 7 5 3 12 , 90 6 , 09 7 30 7 , 54 4 11 6 7 2 5 87 8 9 9 5 14 , 29 % 07 1 1 1 2 Str e e t & A r e a L l a h t i n o 31 8 7 3 3 20 . 82 % /3 . 4 2 58 5 , 66 3 71 0 6 4 71 0 5 45 4 , 94 6 44 , 75 8 79 0 26 6 , 93 0 83 , 75 % Tr a f f i c S i o n a l s 16 5 0 2 18 , 63 % 80 1 56 6 02 7 38 6 54 3 28 0 12 , 70 1 16 . 37 % Sn a c e H e a t l n ! : l 59 3 9 9 6 14 . 55 % 53 8 , 10 7 35 8 , 74 3 51 9 5 6 11 5 1 4 8 95 9 5 26 6 4 15 5 8 8 9 41 % Ge n e r a l S e r v i c e - S m a l l 10 , 04 0 , 57 7 13 . 92 % 21 5 5 5 3 51 6 7 5 5 1 75 5 1 9 7 68 1 0 3 2 51 9 , 63 4 92 , 13 9 18 2 5 , 02 4 22 % SP C Co n t r a c t 1 39 7 7 , 38 4 05 % 45 1 7 , 01 4 88 9 , 88 4 56 2 , 67 7 55 , 85 2 69 2 79 0 9 53 9 63 0 13 . 57 % SP C Co n t r a c t 2 41 , 49 6 7 2 5 13 % 10 . 83 6 , 12 7 48 8 6 3 7 8 0 68 2 4 2 2 0 62 , 51 1 44 8 82 1 6 7 14 3 3 9 4 0 2 34 . 56 % To t a l St a t e o f I d a h o - 16 2 75 6 33 9 09 % 18 2 , 11 2 , 20 9 12 3 , 82 9 , 58 2 17 , 61 8 94 5 34 , 16 3 , 4 7 6 50 1 , 57 4 99 8 63 2 19 , 35 5 , 87 0 11 , 89 % Fo o t n o t e s : Co l u m n C : A n n u a l r e v e n u e s b a s e d o n 9 - 20 0 5 , Co l u m n D : C a l c u l a t e d R e t u m o n R a t e b a s e p e r 9 - 20 0 5 E m b e d d e d C o s t o f S e r v i c e S t u d y Co l u m n E : R a t e o f R e t u m I n d e x , R a t e o f r e t u m b y r a t e s c h e d u l e , di v i d e d b y I d a h o J u r i s d i c t i o n s n o r m a l i z e d r a t e o f r e t u m , Co l u m n F : C a l c u l a t e d F u l l C o s t o f S e r v i c e a t Ju r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 . 20 0 5 E m b e d d e d C O S S t u d y Co l u m n G : C a l c u l a t e d G e n e r a t i o n C o s t o f S e r v i c e a t Ju r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d C O S S t u d y , Co l u m n H : C a l c u l a t e d T r a n s m i s s i o n C o s t o f S e r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d C O S S t u d y , Co l u m n I : C a l c u l a t e d D i s t r i b u t i o n C o s t o f S e r v i c e a t Ju r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d C O S S t u d y , Co l u m n J : C a l c u l a t e d R e t a i l C o s t o f Se r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d C O S S t u d y , Co l u m n K : C a l c u l a t e d M i s c , Dis t r i b u t i o n C o s t o f S e r v i c e a t J u r i s d i c t i o n a l R a t e o f R e t u m p e r t h e 9 - 20 0 5 E m b e d d e d C O S S t u d y , Co l u m n L : I n c r e a s e o r D e c r e a s e R e q u i r e d t o M o v e Fr o m A n n u a l R e v e n u e t o F u l l C o s t o f S e r v i c e D o l l a r s , Co l u m n M : I n c r e a s e o r D e c r e a s e R e q u i r e d t o M o v e Fr o m A n n u a l R e v e n u e t o F u l l C o s t o f S e r v i c e P e r c e n t . :: ; : ( ) tT 1 " 0 ;J : o - ~ ~ ~g j C ' 5 ~ Z ;: ' . ' ( ) ;; 0 Z , a ... . . ' " "" " ' " N ~ ; : ; ' 2 '" ' " " , t T 1 " r- O N ~ 0 - . 0 '" ' . . . . . .. . . Pa g e 2 , d c l f l C o r p Co s t O f S e r v i c e B y R a t e S c h e d u l e . A l l F u n c t i o n s St a t e o f I d a h o MS P P r o t o c o l 12 M o n t h s E n d i n g S e p t e m b e r 2 0 0 5 Id a h o Ge n e r a l S r v Ge n e r a l S r v Ge n e r a l S r v SI. & A r e a L g t Sp a c e Ge n e r a l S r v Ju r l s d l d l o n Re s i d e n t i a l Re s i d e n t i a l La r g e P o w e r Me d V o l t a g e Hi g h V o f i a g e Ir r i g a t i o n Sc h e d u l e s Tr a f f i c S g n l s He a t i n g Sm a l l P o w e r DE S C R I P T I Sc h e d u l e I Sc h e d u l e 3 6 Sc h e d u l e 6 Sc h e d u l e 8 Sc h e d u l e 9 Sc h e d u l e 1 0 7 I I 1 2 Sc h e d u l e 1 9 Op e r a t i n g R e v e n u e s 27 0 , 99 3 , 93 8 40 . 82 1 . 04 9 30 . 75 2 88 5 30 . 61 5 . 94 0 21 9 , 37 6 51 0 82 8 27 9 . 85 4 38 8 . 56 7 22 . 99 4 92 1 oU i O 87 9 37 4 19 6 . 02 1 82 , 80 5 59 2 Op e r a t i n g E x p e n s e s Op e r a t i o n & M a i n t e n a n c e E x p e n s e s 20 6 . 77 4 . 86 7 27 , 2 0 9 , 03 1 21 . 35 9 . 11 9 21 . 90 7 . 30 6 16 3 44 5 33 1 . 0 0 1 39 . 80 4 . 40 2 45 4 . 86 3 15 7 60 7 . 38 8 57 2 . 37 3 84 6 . 96 2 50 4 . 81 9 De p r e c i a t i o n E x p e n s e 22 . 71 1 58 5 53 6 . 54 5 71 5 . 97 5 47 6 81 5 18 . 03 2 53 1 . 02 1 46 4 . 13 8 67 , 66 4 61 4 71 . 03 3 1,2 4 1 47 4 49 2 , 2 8 9 09 4 , 98 6 Am o r t i z a t i o n E x p e n s e 58 4 . 37 1 60 0 , 85 8 43 5 87 4 37 4 , 59 4 88 6 83 9 78 8 . 58 2 67 1 30 1 10 . 92 0 19 5 . 61 2 80 . 13 6 00 0 , 2 9 7 Ta x e s O t h e r T h a n I n c o m e 77 2 . 08 7 78 2 . 61 8 59 3 . 15 5 51 8 94 3 71 1 10 3 , 2 6 5 19 4 . 06 0 10 . 82 1 35 8 14 . 96 5 26 9 , 2 4 9 96 . 35 0 18 6 . 59 2 In c o m e T a x e s - F e d e r a l 86 0 . 92 0 69 4 . 09 4 53 2 . 07 6 51 8 78 4 81 0 13 7 , 2 5 5 99 3 . 47 1 57 4 35 2 14 . 62 3 23 8 . 37 2 12 7 . 51 2 59 3 99 6 In c o m e T a x e s - S t a t e 76 3 . 89 8 10 8 . 60 7 38 4 81 . 57 3 59 9 21 , 65 6 15 5 73 5 01 8 2,2 9 8 35 9 20 . 11 0 25 1 . 50 4 In c o m e T a x e . D e l e r r e d 51 5 . 88 1 12 8 48 3 12 3 , 41 6 17 1 . 70 4 1,2 9 7 57 . 58 2 24 9 . 98 1 (8 0 1 ) 49 1 57 , 2 8 1 52 , 61 9 67 1 73 4 In v e s t m e n t T a x C r e d f i A d J (7 7 8 99 0 ) (1 1 9 , 57 5 ) (9 2 . 63 4 ) (8 5 , 00 9 ) (6 1 4 ) (1 8 36 6 ) (1 8 7 . 80 8 ) (1 . 49 2 ) (5 5 ) 42 8 ) (4 2 , 2 1 1 ) (1 7 , 13 1 ) (2 1 1 . 86 7 ) MI. c R e v e n u e . & E x p e n . e (2 2 5 . 86 1 ) (2 0 . 15 7 ) (1 7 . 70 2 ) (2 8 . 16 3 ) (1 9 8 ) (7 , 98 9 ) (4 2 . 31 0 ) (8 4 ) (1 4 ) (7 0 2 ) (1 0 . 05 7 ) (7 , 2 7 9 ) (9 3 . 00 6 ) To t a l O p e r a t i n g E x p e n s e . 24 3 97 8 83 8 81 8 50 4 73 2 88 3 83 8 54 6 19 2 78 6 7, 2 42 0 45 2 54 6 6.8 72 2 58 7 55 9 45 2 69 1 56 8 99 9 05 8 Op e r a t i n g R e v e n u e F o r R e t u r n 27 . 01 5 . 00 0 70 2 . 54 5 02 0 , 2 2 2 87 ' 8 . 39 3 26 . 60 8 1, 2 8 8 , 55 3 85 9 . 40 3 (1 7 7 . 88 8 ) 16 1 19 8 87 3 31 9 , 92 2 50 4 . 45 3 (1 . 39 3 46 4 ) Ra t e B a s e : Ele c t r i c P l a n t I n S e r v i c e 85 8 . 85 8 . 09 0 13 4 . 13 7 54 8 10 2 . 81 8 . 04 1 93 . 13 5 , 80 8 88 7 , 35 0 20 , 2 7 ' 8 . 32 8 20 3 . 73 1 , 2 4 5 73 8 . 78 6 62 , 18 5 87 2 . 09 3 oU i . 78 1 . 00 4 18 . 87 8 . 45 9 23 3 . 85 8 . 15 2 Pla n t H e l d F o r F u t u r e U s e 71 . 38 0 82 6 80 3 37 1 48 0 12 , 2 1 4 20 2 84 6 37 7 28 . 34 5 Ele c t r t c P l a n t A c q u l . f i l o n A d j 59 0 . 78 7 84 4 . 84 6 53 3 . 43 4 81 3 40 0 57 1 18 5 . 34 2 03 0 . 93 3 38 5 33 0 86 1 24 2 . 08 2 18 8 . 17 0 14 8 . 85 0 Nu c l e a r F u e l Pr e p a y m e n t . 19 3 27 7 . 85 8 20 1 , 2 4 5 19 0 , 2 0 5 37 1 44 , 48 3 39 8 . 37 2 33 1 13 5 48 0 94 . 58 5 41 . 13 0 51 3 . 05 8 Fu e l S t o c k 39 8 88 9 38 4 . 14 4 32 9 , 19 5 35 0 . 98 1 64 5 11 9 . 50 3 54 8 . 13 8 81 3 22 3 80 3 13 5 . 44 5 11 5 . 71 7 41 7 , 2 8 3 Ma t e r i a l s & S u p p i l e . 78 1 , 2 7 7 88 8 . 48 0 70 0 . 88 9 74 2 , 05 3 47 0 20 4 . 05 6 34 7 , 54 0 8, 2 4 9 42 5 20 . 54 8 31 7 . 18 6 18 8 , 2 9 9 38 2 . 14 1 Mis e D e l e r r e d D e b f i s 05 8 . 65 0 35 3 , 12 0 28 8 98 8 34 1 , 2 5 2 59 1 10 8 . 88 8 oU i 7 . 15 4 82 2 18 0 49 1 12 8 . 78 2 99 . 88 6 1,2 4 9 . 49 7 Ca . h W o r k i n g C a p l 1 a l 87 8 . 32 5 41 3 , 2 0 8 31 5 . 16 9 30 5 , 98 8 2, 2 9 8 7'8 . 54 3 60 3 . 19 7 12 . 30 8 20 9 80 3 14 3 , 2 0 8 63 6 91 8 . 95 7 We a t h e r i z a t i o n L o a n . 74 9 , 2 1 4 11 4 . 01 8 41 9 . 54 5 10 8 65 6 17 5 05 2 41 8 . 73 4 60 . 84 6 10 5 12 . 54 1 61 3 , 2 6 2 Mis c e l l a n e o u . R a t e B a . . 80 2 . 80 9 89 . 77 0 78 , 54 2 85 . 83 4 84 2 13 2 14 3 . 82 1 45 7 34 4 62 1 25 , 2 0 3 31 7 , 2 9 4 To t a l R a t e B a s e A d d f i l o n . 88 8 . 94 3 . 39 3 14 0 80 3 10 8 80 7 83 2 88 1 72 7 88 7 16 7 04 9 78 7 20 8 89 8 14 8 82 6 11 6 65 . 65 6 75 7 74 3 48 , 49 2 . 98 1 19 , 59 0 96 5 24 2 . 81 4 , oU i 7 oU i Ra t e B a s e D e d u d l o n s : Ac c u m P r o v I . l o n F o r D e p r e d a t i o n (3 4 2 . 70 8 . 82 4 ) (5 3 71 1 , 2 0 7 ) (4 1 . 31 5 , 88 8 ) (3 7 , 2 0 3 59 9 ) (2 8 4 13 9 ) (8 . 08 1 . 98 4 ) (8 1 05 4 . 92 0 ) (7 7 2 . 03 6 ) (2 4 64 5 ) 08 8 . 77 9 ) (1 8 . 76 5 40 7 ) 49 6 . 31 9 ) (9 2 , 96 9 70 2 ) Ac c u m P r o v I . l o n F o r _I l a t l o n (1 9 , 2 8 8 , 03 0 ) (3 , 99 2 . 12 8 ) (2 . 82 5 , 47 1 ) (1 , 85 9 , 08 4 ) (1 3 08 3 ) (4 0 2 . 08 7 ) 12 4 , 37 2 ) (6 0 , 2 4 1 ) 15 3 ) (5 7 . 48 0 ) (1 . 15 4 , 2 9 5 ) (3 7 1 . 15 4 ) (4 . 60 4 54 1 ) Ac c u m D e l e r r e d I n c o m e T a x e . (7 6 , 08 7 12 7 ) (1 1 , 8 7 8 , 52 9 ) (9 . 31 5 , 2 4 2 ) (8 , 38 2 , 2 5 8 ) (5 8 , 79 7 ) (1 , 87 0 . 37 3 ) (1 9 , 2 9 8 . 42 8 ) (1 3 0 . 53 8 ) (5 . 31 3 ) (2 4 0 . 30 8 ) (4 , 2 5 8 92 1 ) (1 . 55 9 . 88 7 ) (1 9 , 2 1 1 . 73 5 ) Un a m o r t i z e d I T C (8 3 , 2 7 9 ) 71 9 ) (7 . 52 8 ) (6 , 90 8 ) (5 0 ) (1 . 49 1 ) (1 5 , 2 5 4 ) (1 1 6 ) (4 ) (1 9 7 ) 43 3 ) (1 . 38 9 ) (1 7 . 19 0 ) Cu s t o m e r A d v a n c e F o r C o n s t r u d l o n (1 9 4 . 14 5 ) (3 2 . 73 9 ) (2 3 . 63 6 ) (4 8 84 4 ) (3 7 ) (5 . 54 2 ) (4 9 . 47 6 ) (2 . 03 5 ) (3 1 . 83 5 ) Cu s t o m e r S e r v i c e D e p o s l l s (4 8 8 , 2 9 4 ) (1 8 4 . 92 8 ) (1 1 2 . 63 6 ) (3 2 . 79 2 ) (5 5 64 2 ) (1 1 5 ) (1 . 43 2 ) (9 8 54 7 ) Mi s e R a t e B a s e D e d u d l o n s 63 6 . 00 9 ) (9 2 2 . 36 0 ) (7 4 5 , 14 1 ) (7 3 3 . 47 5 ) 35 4 ) (1 9 2 , 95 8 ) (1 . 44 3 . 88 9 ) (9 . 73 7 ) (o U i 1 ) (2 0 , 60 3 ) (3 3 1 , 72 6 ) (1 8 1 , 07 6 ) (2 , 2 4 9 , 2 3 0 ) To t a l R a t e B a s e D e d u d l o n . 44 5 8 4 1 8 0 8 70 8 3 1 8 1 3 54 1 4 6 0 4 4 48 4 8 9 4 1 34 2 4 4 0 10 3 3 4 4 1 4 10 8 0 3 9 9 7 8 87 2 7 8 3 /3 2 7 7 6 1 /1 , 39 0 . 83 4 1 12 4 . 84 1 . 88 3 1 (9 . 80 9 . 82 5 1 11 9 05 2 39 8 To l e l R a t e B a s e 44 3 . 30 1 , 58 5 43 8 99 0 52 . 88 1 . 78 8 47 . 83 4 . 78 7 34 4 72 7 71 5 37 4 10 2 . 85 8 . 17 0 85 3 . 33 4 33 . 08 0 36 6 . 91 0 23 . 65 1 . 01 8 98 1 . 34 0 12 3 . 76 2 . 08 8 Ca l c u l a t e d R e t u r n O n R a t e B a . . 09 % 11 . 09 % 53 % 82 % 72 % 11 , 84 % 71 % 20 . 82 % 18 , 63 % 14 , 55 % 13 , 92 % 05 % 13 % Re t u r n O n R a t e B a s e A J u r l . d l d l o n . 1 A 09 % To t a l O p e r a t i n g E x p e n s e . Re v e n u e C r e d f i s To t a l R e v e n u e R e q u i r e m e n t . 18 2 . 75 8 . 33 9 24 . 54 5 . 90 7 18 . 58 7 , 2 5 2 16 . 90 3 . 98 3 12 5 . 75 9 33 5 . 45 3 34 . 53 1 . 15 0 54 8 , 40 4 12 , 35 6 47 8 . 42 3 17 4 . 14 7 08 1 . 19 8 43 2 . 30 6 Ci a . . R e v e n u e 16 2 . 75 8 . 33 9 28 . 01 6 , 80 8 20 . 39 8 , 2 4 0 18 . 88 0 , 49 1 13 1 . 35 9 95 1 . 00 7 34 . 13 4 . 51 7 31 8 . 73 3 16 . 50 2 59 3 . 99 6 10 . 04 0 . 57 7 97 7 . 38 4 41 . 49 6 . 72 5 In c r e a s e t ( D e c r e a s e ) R e q u i r e d t o Ea r n E q u a l R a t e s 0 1 R e t u r n (3 . 47 0 . 90 1 ) (1 . 81 0 . 98 8 ) (1 . 77 8 , 50 8 ) (5 . 60 0 ) (6 1 5 . 55 4 ) 39 6 . 63 3 22 9 , 67 1 1o U i ) (1 1 5 57 3 ) 11 . 86 6 43 0 ) 10 3 . 81 4 93 5 . 56 1 Pe r c e n t % 00 % 12 . 39 % -1 1 . 88 % 51 % 04 , 26 % 12 , 43 % 16 % 72 . 06 % 25 , 12 % 19 , 46 % 18 , 59 % 61 % 21 . 53 % Re t u r n O n R a t e B a s e 4 t T a r g e t R O R 80 % To t a l O p e r a t i n g E x p e n s e s A d j u s t e d l o r T a x e . Re v e n u e C r e d f i s To t a l T a r g e t R e v e n u e R e q u i r e m e n t s 18 2 11 2 . 20 9 57 7 . 82 1 88 6 62 2 98 3 86 0 14 0 81 1 80 3 31 9 01 3 51 2 58 5 66 3 80 1 53 8 10 7 21 5 55 3 51 7 . 01 4 83 6 12 7 Cl a s s R e v e n u e 16 2 7 5 6 3 3 9 28 0 1 6 6 0 6 20 3 9 8 2 4 0 18 6 8 0 4 9 1 13 1 3 5 9 49 5 1 0 0 7 34 1 3 4 5 1 7 31 8 7 3 3 16 5 0 2 59 3 9 9 6 10 0 4 0 5 7 7 39 7 7 3 6 4 41 4 9 6 7 2 5 In c r e a s e (D e c r e a s e ) R e q u i r e d t o Ea r n T a r g e t R a t e 0 1 R e t u r n 35 5 87 0 (4 3 8 98 7 ) 48 6 36 2 30 3 36 9 9. 4 5 2 (1 4 7 68 8 ) 87 6 99 5 26 6 93 0 70 1 1 (5 5 86 9 1 (8 2 5 02 4 ) 53 9 63 0 33 9 40 2 Pe r c e n t % 11 , 89 % 57 ' 39 % 62 % 20 % 98 ' 1 0 14 , 29 % 83 , 75 % 16 , 37 % 9. 4 1 % 22 ' 1 0 13 , 57 % 34 , 56 % Pa c i f i C o r p Pa g e 3 . C l a s s S u m m a r y Ex h i b i t N o , 2 p a g e 3 o f 3 CA S E N O , P A C - O6 - Wi t n e s s J e f f r e v K , L a r s e n iq. ') Iif, Case No.P Ac,. Exhibit No. Witness: Jeffrey K. Larsen iSS! BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION ' P ACIFICORP Exhibit Accompanying Direct Testimony of Jeffrey K. Larsen Schedule 10 Temperature Adjusted Billing Determinants 12 Months Ending September 2005 June 2006 RO C K Y M O U N T A1 OW E R St a t e o f I d a h o Te m p e r a t u r e A d j u s t e d B i l l i n g D e t e r m i n a n t s 12 M o n t h s E n d i n g S e p t e m b e r 2 0 0 5 Ac t u a l Un i t s (T 2 8 ) Pr e s e n t Pr i c e Pr e s e n t Re v e n u e Do l l a r s (T 2 8 ) Pr o p o s e d Pr i c e Pr o p o s e d Re v e n u e Do l l a r s SC H E D U L E N O . 1 0 Ir r i g a t i o n Sm a l l C u s t o m e r C h a r g e ( S e a s o n ) 20 6 $1 0 . $2 2 43 5 $1 1 . 0 0 $2 4 26 6 La r g e C u s t o m e r C h a r g e ( S e a s o n ) 90 4 $3 0 . 3 3 $4 2 1 70 8 $3 2 . $4 4 4 92 8 Po s t - Se a s o n C u s t o m e r C h a r g e 11 , 4 5 9 $1 6 . $1 8 5 29 2 $1 7 . $1 9 4 80 3 To t a l C u s t o m e r C h a r g e s 27 , 56 9 Al l k W ( J u n e 1 - S e p t 1 5 ) 28 9 31 2 $4 . 22 1 71 4 $4 . 51 8 25 5 Fi r s t 2 5 00 0 k W h ( J u n e 1 - S e p t 1 5 ) 17 8 58 7 57 2 71 7 4 ~ $1 0 21 0 56 6 03 3 1 ~ $1 0 77 4 36 7 Ne x t 2 2 5 00 0 k W h ( J u n e 1 - S e p t 1 5 ) 24 3 , 28 6 26 9 07 0 0 ~ $9 , 90 1 75 1 29 4 4 ~ $1 0 44 7 68 6 Al l A d d ' l k W h ( J u n e 1 - S e p t 1 5 ) 85 9 , 4 9 7 85 8 0 ~ $7 1 0 , 4 8 4 01 5 5 ~ $7 4 9 , 63 8 Al l k W h ( S e p t 1 6 - M a y 3 1 ) 78 2 20 3 74 2 8 ~ 11 5 90 6 00 4 0 ~ 34 2 58 1 Me t e r s 75 2 Ba s e S u b t o t a l 53 3 51 5 54 1 $3 0 78 9 85 6 $3 2 49 6 , 52 4 Un b i l l e d 52 5 , 00 0 ($ 1 2 5 00 0 ) ($ 1 2 5 00 0 ) ~~ ~ ~ en ~ - , Ba s e S u b t o t a l 53 4 04 0 54 1 $3 0 66 4 85 6 $3 2 37 1 52 4 '" t T 1 c r " " ~ z ; : ; ' RM A 53 4 04 0 54 1 64 9 7 ~ $3 , 4 6 9 66 1 64 9 7 ~ $3 , 4 6 9 66 1 ;: ; 0 z , a ' " '" ~ w Ba s e T o t a l 53 4 54 1 $3 4 13 4 51 7 $3 5 84 1 18 5 "" n ~ ;; . : , (J Q tT 1 ' " b; ' b - ;;J I 'i " g , Pr i c e I n c r e a s e 70 6 66 8 % I n c r e a s e 00 % Ex h i b i t 3 ~ "iED r-- f) C i - I i) ;' ,-..i)~)L.; c, UT IL !T!ES Co!'ji'jiSSIOH Case No. PAC-O6-Q!j Exhibit No. Witness: JeffreyK. Larsen BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION :() ACIFICORP Exhibit Accompanying Direct Testimony of Jeffrey K. Larsen Schedule Nos. 400, and 401 Legislative and Clean Formats June 2006 / utah H IJII Jlr I.P.C. No. 28 First Revised Sheet No. B. Cancelin Original Sheet No. B. ELECTRIC SERVICE SCHEDULES - Continued Sheet No.Schedule No.Class of Service 135 155 Net Metering Service Agricultural Energy Services - Optional for Qualifying Customers 135.1 - 135. 155.1 - 155. 191 Customer Efficiency Services Rate Adjustment 191 300 I 400 Regulation Charges Special Contract 300.1 - 300.4 400.1 - 400. 401 Special Contract 401 Schedule numbers not listed are not currently used. * These schedules are not available to new customers or premises. I Submitted Under Oreler N€). 2997GPAC-O6- I ISSUED: Marek 29, 2996June 21. 2006 EFFECTIVE: 1\pri119, 2QOeJanuarv 1. 2007 utah0_11' C. No. 28 First Revised Sheet No. B. Canceling Original Sheet No. B. ELECTRIC SERVICE SCHEDULES - Continued Schedule No.Class of Service Sheet No. 135 155 Net Metering Service Agricultural Energy Services - Optional for Qualifying Customers 135.1 - 135. 155.1 -155. 191 Customer Efficiency Services Rate Adjustment 191 300 400 Regulation Charges Special Contract 300.1 - 300.4 400.1 - 400. 401 Special Contract 401 Schedule numbers not listed are not currently used. * These schedules are not available to new customers or premises. Submitted Under P AC-06- ISSUED: June 21 , 2006 EFFECTIVE: January 1 2007 ulahHLur Co No. 28 Fiftlt-Sixth Revised Sheet No. 10. Canceling Fauth Fifth Revised Sheet No. 10. UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. STATE OF IDAHO Irrigation and Soil Drainage Pumping Power Service AVAILABILITY: At any point on the Company s interconnected system where there are facilities of adequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at the Company s availab1e voltage through a single point of delivery for service to motors on pumps and machinery used for irrigation and soil drainage. IRRIGATION SEASON AND POST-SEASON SERVICE: The Irrigation Season is from June 1 to September 15 each year. Service for post-season pumping may be taken by the same Customer at the same point of delivery and through the same facilities used for supplying regular irrigation pumping service during months from September 16 to the following May 31. MONTHLY BILL: Irri2ation Season Rate Customer Service Charge: Small Pumping Operations: 15 horsepower or less total connected horsepower served through one service connection - $~ illQ..per Customer Large Pumping Operations: 16 horsepower or more total connected horsepower served through one service connection - ~32.per Customer (Continued) I Submitted Under Order )10. 29934PAC-O6- I ISSUED: June 21. 2006J1:IRe 7, 2992 EFFECTIVE: January 1. 2007JI:lnia 8 , 2002 Blah RLItlV C. No. 28 Sixth Revised Sheet No. 10. Canceling Fifth Revised Sheet No. 10. UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. 10 STATE OF IDAHO Irrigation and Soil Drainage Pumping Power Service AVAILABILITY: At any point on the Company s interconnected system where there are facilities of adequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at the Company s available voltage through a single point of delivery for service to motors on pumps and machinery used for irrigation and soil drainage. IRRIGATION SEASON AND POST-SEASON SERVICE: The Irrigation Season is from June 1 to September 15 each year. Service for post-season pumping may be taken by the same Customer at the same point of delivery and through the same facilities used for supplying regular irrigation pumping service during months from September 16 to the following May 31. MONTHLY BILL: Irrie:ation Season Rate Customer Service Charge: Small Pumping Operations: 15 horsepower or less total connected horsepower served through one service connection -$11.00 per Customer Large Pumping Operations: 16 horsepower or more total connected horsepower served through one service connection -$32.00 per Customer (Continued) Submitted Under PAC-06- ISSUED: June 21,2006 EFFECTIVE: January 1 , 2007 ulah HLII!V C. No. 28 Seventh Revised Sheet No. 10. Canceling Sixth Revised Sheet No. 10. ELECTRIC SERVICE SCHEDULE No. 10 - Continued MONTHLY BILL: (Continued) Power Rate:4:()M.per kW for all kW Energy Rate:71746.0331 ~ per kWh for first 25 000 kWh 29414.9799~per kWh for the next 225 000 kWh 0155~ per kWh for all additional kWh Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85% lagging, the power as recorded by the Company s meter will be increased by 3/4 of 1 % for every 1 % that the power factor is less than 85%. Minimum:The Customer Service Charge. Post-Season Rate Customer Service Charge: Energy Rate: 17 .per Customer 00~O4.742g~ per kWh for all kWh Minimum:The Customer Service Charge. ADroSTMENTS: All monthly bills shall be adjusted in accordance with Schedules 34,-9J- and 94. PAYMENT: All monthly service billings will be due and payable when rendered and will be considered delinquent if not paid within fifteen (15) days. An advance payment may be required of the Customer by the Company in accordance with Electric Service Regulation No.9. An advance may be required under any of the following conditions: (1)the Customer failed to pay all amounts owed to the Company when due and payable; (2)the Customer paid an advance the previous season that did not adequately cover bills for the entire season and the Customer failed to pay any balance owing by the due date of the final billing issued for the season. (Continued) I Submitted Under Order )18. 29Q34PAC-O6- I ISSUED: June 21. 2006J1:IRe 7, 2992 EFFECTIVE: January 1. 2007JI:IHe 8, 2002 BlahOlAV c. No. 28 Seventh Revised Sheet No. 10. Canceling Sixth Revised Sheet No. 10. ELECTRIC SERVICE SCHEDULE No. 10 - Continued MONTHLY BILL: (Continued) Power Rate:$4.28 per kW for all kW Energy Rate:0331 rt per kWh for first 25 000 kWh 4.2944rt per kWh for the next 225 000 kWh 0155rt per kWh for all additional kWh Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85% lagging, the power as recorded by the Company s meter will be increased by 3/4 of 1 % for every 1% that the power factor is less than 85%. Minimum:The Customer Service Charge. Post-Season Rate Customer Service Charge: Energy Rate: $17.00 per Customer 0040rt per kWh for all kWh Minimum:The Customer Service Charge. ADJUSTMENTS: All monthly bills shall be adjusted in accordance with Schedules 34 and 94. PAYMENT: All monthly service billings will be due and payable when rendered and will be considered delinquent if not paid within fifteen (15) days. An advance payment may be required of the Customer by the Company in accordance with Electric Service Regulation No.9. An advance may be required under any of the following conditions: (1)the Customer failed to pay all amounts owed to the Company when due and payable; (2)the Customer paid an advance the previous season that did not adequately cover bills for the entire season and the Customer failed to pay any balance owing by the due date of the final billing issued for the season. (Continued) Submitted Under P AC-06- ISSUED: June 21 , 2006 EFFECTIVE: January 1 , 2007 ulahA_V C. No. 28 FaHrth Fifth Revised Sheet No. 400J. Canceling Third Fourth Sheet No. 400.1 UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. 400 STATE OF IDAHO Special Contract PURPOSE: The purpose of this Schedule is to describe generally the terms and conditions provided by the Company pursuant to a Special Contract approved by the Idaho Public Utility Commission. MaRsRRta CamBRR" gfleeial CeRtraet Datea JafH:!ary 1 , 2003 Special Contract Dated May 18. 2006. A vailabilitv This schedule is available for firm and interruptible retail service of electric power and energy delivered for all service reQuired on the Customer s premises by customers contracting for not less than 150.000 kW as of Mav 18. 2006 and as the ofleratieRs ef MORsaRto COFRflaRY s faeilitiec leeated at geaR SpriRgs, raabo, as provided in the Electric Service Agreement between the two parties. Term Initial term Serviee through December 31 2009. then subject to annual renewals.Any electric service PacifiCorp provides to the CustomerMORsaRto after the Termination Date shall be on terms and conditions and at prices in accordance with Electric Service Schedule No. 400 or its successor then in effect until such time as the Commission establishes or approves other terms and condition and pricesto he estaelishea ar aflflra',ea BY the CeFRmissieR. Monthlv Charge Firm aRe lRterrHstiBle Power and Energy Firm Energy Charge: 19 .40~mills per kilowatt hour Customer Charge: $000~per Billing Period Firm Demand Charge: $10.0OY+per kW Submitted unde i\meRaea L'\(h'iee Letter No. 0(; 0 IP AC-06- OrigiRally SYBmitted URder L dviee Letter 03 I ISSUED: June 21. 2006JanHal)' 2(;, 20(:)(;EFFECTIVE: January 1.2007 FeDTl:lary 13 , 2006 ulah H8LI!!V C. No. 28 Fauth Fifth Revised Sheet No. 400:1 Canceling Third Fourth Sheet No. 400. Interruptible Power and Energy Interruptible Energy Charge: M-.19.40';+mills per kilowatt hour Interruptible Demand Charge: $4.09 fler kWFirm Demand Charge minus Interruptible Credit (Continued) Replacement Enerav Adjusted Index Price multiplied by Replacement Energy. Adjustment: The charges specified in this Section shall be adjusted beginning January 1, 2008 so that thev equal the Tariff Rates. This shall be the sole and exclusive means of adjustment to the unit charges contained herein. Tariff Rates: The Commission approved rates applicable to the Special Contract Customer, including, but not limited to, customer charges, demand charges. energy charges. surcharges. and credits. as specified in Idaho Electric Service Schedule No. 400 or its successor. Submitted Under :\-meRdeEi :\dviee Letter Ne. Q~ 9 1 P AC-06- OrigiRally SHemitteEi DReier :\dviee Letter 93 9ti I ISSUED: June 21. 2006JaRHaf)' 2a, 299~EFFECTIVE: January 1.2007 FeerHary 13 2006 ulah01.. c. No. 28 Fifth Revised Sheet No. 400. Canceling Fourth Sheet No. 400. UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. 400 STATE OF IDAHO Special Contract PURPOSE: The purpose of this Schedule is to describe generally the terms and conditions provided by the Company pursuant to a Special Contract approved by the Idaho Public Utility Commission. Special Contract Dated May 18, 2006. A vailabilitv This schedule is available for firm and interruptible retail service of electric power and energy delivered for all service required on the Customer s premises by customers contracting for not less than 150 000 kW as of May 18, 2006 and as provided in the Electric Service Agreement between the two parties. Term Initial term through December 31 , 2009, then subject to annual renewals. Any electric service PacifiCorp provides to the Customer after the Termination Date shall be on terms and conditions and at prices in accordance with Electric Service Schedule No. 400 or its successor then in effect until such time as the Commission establishes or approves other terms and condition and prices Monthlv Charge Firm Power and Energy Firm Energy Charge: 19.40 mills per kilowatt hour Customer Charge: $1 000 per Billing Period Finn Demand Charge: $10.00 per kW Interruptible Power and Energy Interruptible Energy Charge: 19.40 mills per kilowatt hour Interruptible Demand Charge: Firm Demand Charge minus Interruptible Credit (Continued) Submitted Under P AC-06- ISSUED: June 21 , 2006 EFFECTIVE: January 1,2007 utahOBII' C. No. 28 Original Sheet No. 400. ELECTRIC SERVICE SCHEDULE NO 400 - Continued Replacement EnerQV Adjusted Index Price multiplied by Replacement Energy. Adjustment: The charges specified in this Section shall be adjusted beginning January 1 2008 so that they equal the Tariff Rates. This shall be the sole and exclusive means of adjustment to the unit charges contained herein. Tariff Rates: The Commission approved rates applicable to the Special Contract Customer including, but not limited to, customer charges, demand charges, energy charges, surcharges, and credits, as specified in Idaho Electric Service Schedule No. 400 or its successor. Submitted Under P AC-06- ISSUED: June 21, 2006 EFFECTIVE: January 1,2007 utahLilli' C. No. 28 First Revised Sheet No. 401 Cancelin Original Sheet No. 401 UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. 401 STATE OF IDAHO Special Contract PURPOSE: The purpose of this Schedule is to describe generally the terms and conditions provided by the Company pursuant to a Special Contract approved by the Idaho Public Utility Commission. Nu-West Industries Inc. Special Contract Dated October 31, 2005. A vailabilitv This schedule is available for firm retail service of electric power and energy delivered for the operations of Nu-West Industries' facilities located at Soda Springs , Idaho, as provided in the Power Supply Agreement between the two parties. Term January 1 2006 through December 31 2010. Monthlv Charge Customer Charge - $ per Month Demand Charge - $ per kW -month Energy Charge - $ per MWh HLH Monday through Friday HE0800 to HE2300 MPT LLH All other hours and Holidays May - October November - April 293.00;282.293. 11.61++:+9 9.37~ 23.98~ 17.99~ 19.94~ 17.99~ Semi-Annual Adjustment:The charges specified in this Section shall be adjusted semi-annually effective July 1, 2006 and January 1 , 2007 and each July 1 and January 1 thereafter, so that they equal the tariff rates. This shall be the sole and exclusive means of adjustment to the unit charges contained herein. Tariff Rates: The Commission approved rates applicable to Nu-West, including, but not limited to customer charges, demand charges, energy charges, surcharges, and credits, as specified in Idaho Electric Service Schedule No. ~4QG or its successor. Submitted Under PAC-06- .ffiefu:ied .a-viae Letter )-~o. 96 91 OrigiRally Sl:Ibmittee URGer :\dviee Letter 05 04 I ISSUED: June 21. 2006JaRl:laI)' 26, 2906 EFFECTIVE: September 1. 2006Febrl:lal)' 13 200(') Blah H IJII JU' c. No. 28 First Revised Sheet No. 401 Canceling Original Sheet No. 401 UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. 401 STATE OF IDAHO Special Contract PURPOSE: The purpose of this Schedule is to describe generally the terms and conditions provided by the Company pursuant to a Special Contract approved by the Idaho Public UtilityCommission. Nu-West Industries Inc. Special Contract Dated October 31 2005. A vailabilitv This schedule is avai1able for firm retail service of electric power and energy delivered for the operations of Nu-West Industries' facilities 10cated at Soda Springs , Idaho, as provided in the Power Supply Agreement between the two parties. Term January 1 2006 through December 31 , 2010. Monthlv Charge Customer Charge - $ per Month Demand Charge - $ per kW -month Energy Charge - $ per MWh HLH Monday through Friday HE0800 to HE2300 MPT LLH All other hours and Holidays Semi-Annual Adjustment:The charges specified in this Section shall be adjusted semi-annually effective July 1, 2006 and January 1 , 2007 and each July 1 and January 1 thereafter, so that they equal the tariff rates. This shall be the sole and exclusive means of adjustment to the unit charges contained herein. May - October November - April $ 293.$ 293. 11.61 9.37 $ 23.19. 17.17. Tariff Rates: The Commission approved rates applicable to Nu-West, including, but not limited to customer charges, demand charges, energy charges, surcharges, and credits, as specified in Idaho Electric Service Schedule No. 401 or its successor. Submitted Under P AC-06- ISSUED: June 21 , 2006 EFFECTIVE: September 1 2006 I\!ED . ,") \ (, i H)"" I ..~. t. - '" - :" ,' ; Lie Case No. PAC-06- WI ILl! ItS CDi"H'iiSS!CEkhibitNo. 5 Witness: Jefftey'K. Larsen BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION ACIFICORP Exhibit Accompanying Direct Testimony of Jeffrey K. Larsen Stipulation June 2006 , i PacifiCorp Exhibit No, 5 page I of8 CASE NO, PAC-E-o6- Witness Jeffi-ey K, Larsen James M. Van Nostrand, ISB No. 7323 STOEL RIVES LLP 900 SW Fifth Avenue, Suite 2600 Portland, OR 97204 Telephone: (503) 294-9679 Fax: (503) 220-2480 Email: jmvannostrand~stoeI. com , ,' , J ' , ", Mark Moench Dean Brockbank Rocky Mountain Power 201 South Main, Suite 2300 Salt Lake City, UT 84111 Telephone: (801) 220-4459 Fax: (801) 220-3299 Email: Mark.Moench~acifiCorp.com Dean.Brockbank~Paci fi Corp. com Attorneys for PacifiCorp dba Rocky Mountain Power BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MA'ITER OF THE APPLICATION OF PACIFICORP DBA ROCKY MOUNTAIN POWER FOR A UTHORITY TO INCREASE ITS SCHEDULE NO. 10 RATES FOR ELECTRIC SERVICE TO ELECTRIC CUSTOMERS IN THE STATE OF IDAHO CASE NO. PAC-E-06- STIPULA TION This stipulation ("Stipulation ) is entered into by and between PacifiCorp, doing business as Rocky Mountain Power ("PacifiCorp" or the "Company ) and the Idaho Irrigation Pumpers Association, Inc. ("lIP A") (collectively referred to as the "Parties ) as of May 24, 2006. I. INTRODUCTION The terms and conditions of this Stipulation are set forth herein, The Parties agree that this Stipulation represents a fair, just and reasonable compromise of the issues raised STIPULATION - Page PacifiCorp Exhibit No, 5 page 2 of8 CASE NO. PAC-O6- Witness Jeffiey K. Larsen between the Parties and that this Stipulation is in the public interest. The Parties, therefore recommend that the Public Utilities Commission ("Commission ) approve the Stipulation and all of its terms and conditions. Reference IDAP A 31.01.01.271, 274. TI. BACKGROUND Concurrently with the filing of this Stipulation, PacifiCorp is filing an Application seeking authority to increase the Company s base rates for electric service under Electric Service Schedule No. 10 by $1.7 million annually, an average increase of approximately 5%. The increase in Customer bills will vary by individual customer and actual usage. In anticipation of filing the Application, representatives ofPacifiCorp and lIP met several times pursuant to IDAPA 31.01.01.271 and engaged in settlement discussions with a view toward resolving the issues raised in PacifiCorp s Application. Based upon the settlement discussions between the Parties, as a compromise of the positions in this proceeding, and for other consideration as set forth below, the Parties agree to the following terms: ill. TERMS OF THE STIPULATION PacifiCorp shall be allowed to implement a revised Electric Service Schedule No. , designed to recover $1.7 million in additional annual revenue, representing an aggregate rate increase of 5%. Such revised tariff schedule shall become effective as of January 1 2007. The Parties agree to support the attached Exhibit A showing the calculation that reflects the agreed upon rate increase. PacifiCorp agrees that it will not adjust the Fixed Monthly Participation Credit currently in effect under Electric Service Schedule No. 72 until after December 31 , 2007. All other terms and conditions of the Irrigation Load Control Credit Rider program remain unchanged. Beginning May I through September 30, 2007 PacifiCorp agrees to defer $90 000 per month, for a total of$450 OOO, ofthe revenue collected from customers under Electric STIPULATION - Page 2 PacifiCorp Exhibit No, 5 page 3 of8 CASE NO, PAC-O6- Witness Jeffrey K, Lars Service Schedule No. 10, which will then be refunded on a pro rata basis to customers participating in the Irrigation Load Control Credit Rider program during the 2007 irrigation season. This one-time refund shall be paid no later than December 31 , 2007. The refund rate shall equal $450 000 divided by the aggregate Irrigation Load Control Service Credit amount paid to qualifying customers for the 2007 irrigation season (the "Refund Rate ). Each irrigation customer s refund shall equal the Refund Rate multiplied by each qualifying customer s total Irrigation Load Control Service Credit paid during the 2007 irrigation season. For purposes of example only, in the event that the aggregate Irrigation Load Control Service Credit equals $1 million, then the Refund Rate would equal 0,45. If a particular irrigation customer s Irrigation Load Control Service Credit equals $1 000, then that irrigation customer s one-time refund would be $450 ($1 000 x 0.45 = $450). Similar to Commitment 1-08 made by the Company pursuant to the acquisition of PacifiCorp by MidAmerican Energy Holdings Company (Docket No. P AC-05-8), the Company agrees, prior to November 1 , 2006, to meet with IIP A and other interested parties to study alternatives for evaluating the curtailment products provided by the irrigators to PacifiCorp. The Parties also agree to study load data and characteristics of interruptible .. ,. . '.', , m '. irrigation customers and its impact on cost allocation to both irrigators and other customer classes. As part of this study effort, the Parties agree to collaborate and set up subsequent meetings to conclude the evaluation. The Parties will also evaluate and consider what characteristics would be required for the program to be considered in the Company s Integrated Resource Planning process. In the event the Parties reach agreement on such alternative(s), the Company will prepare its next general rate case and corresponding tariff schedules using the agreed upon methodology. The Parties agree that this Stipulation represents a compromise of the positions of the Parties in this proceeding. Other than the above referenced positions and any testimony filed in support of the approval of this Stipulation, and except to the extent necessary for a Party to explain before the Commission its own statements and positions with respect to the Stipulation STIPULATION - Page 3 PacifiCorp Exhibit No.5 page 4 of8 CASE NO, PAC-O6- Witness JefITey K. Larsen all negotiations relating to this Stipulation shall not be admissible as evidence in this or any other proceeding regarding this S\Jbject l1la~er. The Parties submit this Stipulation, Exhibit A, and Exhibit B , the revised Electric Service Schedule No. 10, to the Commission and recommend approval in its entirety pursuant to IDAP A 31.01.01.274. The Parties shall support this Stipulation before the Commission, and neither Party shall appeal any portion of this Stipulation or Order approving the same. If this Stipulation is challenged by any person not a party to the Stipulation, the Parties to this __n '....'..'--",.""- '...'----.'.'."" ---,----_..,-_...._....,-,--_..._...,. .,__nn,., ......... , ,n. Stipulation reserve the right to cross-examine witnesses and put on such case as they deem appropriate to respond fully to the issues presented, including the right to raise issues that are incorporated in the settlement embodied in this Stipulation. Notwithstanding this reservation of rights, the Parties to this Stipulation agree that they will continue to support the Commission adoption of the terms of this Stipulation. 10.In the event the Commission rejects any part or all of this Stipulation, or imposes any additional material conditions on approval of this Stipulation, each Party reserves the right upon written notice to the Commission and the other Parties to this proceeding, within 15 days of the date of such action by the Commission, to withdraw from this Stipulation. In such case, no Party shall be bound or prejudiced by the terms of this Stipulation, and each Party shall be entitled to seek reconsideration of the Commission s order, file testimony as it chooses, cross- examine witnesses, and do all other things necessary to put on such case as it deems appropriate. 11.The Parties agree that this Stipulation is in the public interest and that all of its terms and conditions are fair, just and reasonable. 12.No Party shall be bound, benefited or prejudiced by any position asserted in the negotiation of this Stipulation, except to the extent expressly stated herein, nor shall this Stipulation be construed as a waiver of the rights of any Party unless such rights are expressly waived herein. Execution of this Stipulation shall not be deemed to constitute an acknowledgment by any Party of the validity or invalidity of any particular method, theory or principle of regulation or cost recovery. No Party shall be deemed to have agreed that any STIPULATION - Page 4 , - PacifiCorp Exhibit No.5 page 5 of 8 CASE NO. PAC-O6- Witness JeflTey K. Lar;;- method, theory or principle of regulation or cost recovery employed in arriving at this Stipulation is appropriate for resolving any issues in any other proceeding in the future. No findings of fact or conclusions of law other than those stated herein shall be deemed to be implicit in this Stipulation. 13.The obligations of the Parties under this Stipulation are subject to the Commission s approval of this Stipulation in accordance with its terms and conditions and, if judicial review is sought, upon such approval being upheld on appeal by a court of competent jurisdiction. Respectfully submitted this th day of June, 2006. PacifiCorp ark oench Attorneys for PacifiCorp STIPULATION - Page 5 ric L. Olsen Racine, Olson, Nye, Budge & Bailey, Chartered Attorney for Idaho Irrigation Pumpers Association, Inc. Stipulation Exhibit A SCHEDULE NO. 10 lITigation Small Customer Charge (Season) Large Customer Charge (Season) Post-Season Customer Charge Total Customer Charges All kW (June I - Sept 15) First 25.000 kWh (June I - Sept 15) NexI225,OOO kWh (June I - Sept 15) All Add'i kWh (June I - Sept 15) All kWh (Sept 16 - May 31) Meters Base Subtotal Unbilled Base Subtotal RMA Base Total PacifiCorp Exhibit No, 5 page 6 of8 CASE NO, PAC-06- Witness JeflTey K. Larsen ROCKY MOUNTAIN POWER State of Idaho Temperature Adjusted Billing Detenninants 12 Months Ending September 2005 Actoal Units (T28) Present Price Present Revenue Dollars Proposed Revenue Dollars (TIS) Proposed Price 206 13.904 11,459 27,569 289,312 178.587.572 243,286,269 24,859,497 86,782,203 752 533.515,541 525.000 534,040,541 534 040,541 534,040,541 $10.$22,435 $11.00 $24 266 $30.$421.708 $32.$444,928 $16.$185,292 $17.$194.803 $4.$5,221.714 $4.$5,518.255 7174 ~$10,210,566 0331 ~$10.774.367 0700 ~$9,901,751 2944 ~$10,447.686 8580 ~$710,484 0155 ~$749.638 7428 ~$4,115,906 0040 ~$4.342.581 $30,789,856 $32,496,524 ($125.000)($125,000) $30,664,856 $32.371.524 6497 ~$3,469.661 6497 $3,469,661 $34,134.517 $35.841,185 Price Increase $1,706,668 % Increase 00% % Chg in Rates 5.5% 68% 5.52% 5.51% 5.51% 5.51% Stipulation Exhibit B PacifiCorp Exhibit No, 5 page 7 of8 CASE NO, PAC-E-O6- Witness Jeffiey K. Larsen utah R 8L I!IIr Revised Sheet No. 10. Revised Sheet No. 10.P .C. No. 28 Canceling UTAH POWER & LIGHT COMPANY ELECTRIC SERVICE SCHEDULE NO. 10 STATE OF IDAHO Irrigation and Soil Drainage Pumping Power Service AVAILABILITY: At any point on the Company s interconnected system where there are facilities of adequate capacity. APPLICATION: This Schedule is for alternating current, single or three-phase electric service supplied at the Company s available voltage through a single point of delivery for service to motors on pumps and machinery used for irrigation and soil drainage. IRRIGATION SEASON AND POST-SEASON SERVICE: The Irrigation Season is from June I to September 15 each year. Service for post-season pumping may be taken by the same Customer at the same point of delivery and through the same facilities used for supplying regular irrigation pumping service during months from September 16 to the following May 31. MONTHLY BILL: Irrieation Season Rate Customer Service Charge: Small Pumping Operations: 15 horsepower or less total connected horsepower served through one service connection -$11.00 per Customer Large Pumping Operations: 16 horsepower or more total connected horsepower served through one service connection - $32.00 per Customer (Continued) Submitted Under Order No. XXXXX ISSUED: -' 2006 EFFECTIVE: January 1 , 2007 Stipulation Exhibit B PacifiCorp Exhibit No.5 page 8 of8 CASE NO, PAC-O6- Witness JeffTey K. Larsen Blah !r IY!J' Revised Sheet No. 10. Revised Sheet No. 10.C. No. 28 Canceling ELECTRIC SERVICE SCHEDULE No. 10 - Continued MONTHLY BILL: (Continued) Power Rate:$4.28 per kW for all kW Energy Rate:0331 ~ per kWh for first 25 000 kWh 2944~ per kWh for the next 225 000 kWh 0155~ per kWh for all additional kWh Power Factor: This rate is based on the Customer maintaining at all times a power factor of 85% lagging, or higher, as determined by measurement. If the average power factor is found to be less than 85% lagging, the power as recorded by the Company s meter will be increased by 3/4 of 1% for every 1 % that the power factor is less than 85%. Minimum:T\1e Customer Service Charge. Post-Season Rate Customer Service Charge: Energy Rate: $17.00 per Customer 0040~ per kWh for all kWh Minimum:The Customer Service Charge. ADJUSTMENTS: All monthly bills shall be adjusted in accordance with Schedules 34 and 94. PAYMENT: All monthly service billings will be due and payable when rendered and will be considered delinquent if not paid within fifteen (15) days. An advance payment may be required of the Customer by the Company in accordance with Electric Service Regulation No.9. An advance may be required under any of the following conditions: (I)the Customer failed to pay all amounts owed to the Company when due and payable; (2)the Customer paid an advance the previous season that did not adequately cover bills for the entire season and the Customer failed to pay any balance owing by the due date of the final billing issued for the season. (Continued) Submitted Under Order No. XXXXX ISSUED: -' 2006 EFFECTIVE: January I , 2007