20180608notice_of_application_order_no_34082.pdf

Office of the Secretary
Service Date
June 8,2018
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
THE APPLICATION OF ROCKY )CASE NO.PAC-E-18-04
MOUNTAIN POWER FOR APPROVAL OF )
THE ASSET PURCHASE AGREEMENT )NOTICE OF APPLICATION
WITH THE CITY OF IDAHO FALLS (NINA,)CHARLA,AND MERLIN DRIVE))NOTICE OF
)MODIFIED PROCEDURE
)ORDER NO.34082
On May 3,2018,Rocky Mountain Power,a division of PacifiCorp ("Company")filed
an Application requesting authority to sell and transfer certain electric facilities to the City of Idaho
Falls ("City"),and to supply electric service to locations at or near Nina Drive,Charla Drive,and
Merlin Drive,Idaho Falls,Bonneville County.
The Company requested that its Application be processed under Modified Procedure,
Rule 201 et seq.See IDAPA 31.01.01.201 et seq.Commission Staff concurred and recommended
an August 28,2018,comment deadline and Company reply comment deadline of September 11,
2018.The Commission now issues this notice of the Company's Application and Notice of
Modified Procedure.
BACKGROUND
On October 9,2017,the Company and City entered into an Allocation Agreement
("2017 Agreement")"to reduce duplication of service and promote stability in their respective
service areas."See Application at 2 and Attachment A.The 2017 Agreement was approved by
the Commission on December 5,2017.See Case No.PAC-E-I7-02;Order No.33943.
The 2017 Agreement provided that "[t]he Company and the City have agreed to transfer
service and the City has agreed to pay 167 percent of the customers'previous twelve months
electric bills in addition to purchasing the facilities described in Exhibit A to the Asset Purchase
Agreement."Application at 3.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that the Company,pursuant to provisions of the
Electric Stabilization Act ("ESSA"),Idaho Code §§61-328 and 61-333,now applies for approval
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34082 1
of the Asset Purchase Agreement between Rocky Mountain Power and the City of Idaho Falls,
both electric suppliers under the ESSA,to purchase certain electric facilities currentlyowned and
utilized by the Company to supply electric service to locations at or near Nina Drive,Charla Drive,
and Merlin Drive,Idaho Falls,Bonneville County.
YOU ARE FURTHER NOTIFIED that the Company and City have agreed that,
according to the 2017 Agreement,just compensation for lost revenues is an amount equal to 167
percent of the total of the respective customer's electric bills from the prior twelve-month period,
as well as the purchase of poles,wires,cross arms,insulators,guys,and other facilities no longer
needed or required to service the transferred customer.The Company and City have agreed to a
total asset sales price of $92,713.The Company's accounting treatment is set forth in the
Application as Exhibit A to the Asset Purchase Agreement.
YOU ARE FURTHER NOTIFIED that the Company and City have agreed to a transfer
of electric service,wherein Idaho Falls agrees to serve the load of the customers described in
Exhibit B to the Asset Purchase Agreement,and pay the Company for the assets transferred,as
well as revenue reimbursement and legal and transactional costs.
YOU ARE FURTHER NOTIFIED that the Application and supporting documentation
have been filed with the Commission and are available for public inspection during regular
business hours at the Commission offices.These documents are also available on the
Commission's web site at e a o :i
=
.Click on the "File Room"tab at the top of the
page,then select "Electric Cases"and click on the case number as shown on the front of this
document.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted
pursuant to the Commission's Rules of Procedure,IDAPA 31.01.01.000 et seq.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held
pursuant to the Commission's jurisdiction under Title 61 of the Idaho Code,specifically Idaho
Code §§61-502 and 61-503.The Commission may enter any final Order consistent with its
authorityunder Title 61.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determinedthat the public
interest may not require a formal hearing in this matter,and that it will proceed under Modified
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
t>kikk NO.34082 2
Procedure pursuant to Rules 201 through 204 of the Commission's Rules of Procedure.See
IDAPA 31.01.01.201 through .204.The Commission notes that Modified Procedure and written
comments have proven to be an effective means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position on this
Application may file a written comment in support or opposition with the Commission by no later
than August 28,2018.The comment must contain a statement of reasons supporting the
comment.Persons desiring a hearing must specifically request a hearing in their written
comments.Written comments concerningthis Application shall be mailed to the Commission and
Rocky Mountain Power at the addresses reflected below:
Commission Secretary Ted Weston
Idaho Public Utilities Commission Daniel E.Solander
PO Box 83720 1407 W.North Temple,Suite 330
Boise,ID 83720-0074 Salt Lake City,Utah 84116
E-Mail:Egkyegton@pgúÍlyggsom
Street Address for Express Mail:daniels);andergpacinegrp com
472 W.Washington Street
Boise,ID 83702-5918
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission's home page located at e -oco -:«
.Click the "Case Comment or Question
Form"under the "Consumers"tab,and complete the comment form using the case number as it
appears on the front of this document.
YOU ARE FURTHER NOTIFIED that the Company shall file reply comments,if
necessary,by no later than September 11,2018.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are received
within the time limit set,the Commission will consider this matter on its merits and enter its Order
without a formal hearing.If written comments are received within the time limit set,the
Commission will consider them and,in its discretion,may set the same for formal hearing.
ORDER
IT IS HEREBY ORDERED that the Application of Rocky Mountain Power be
processed by Modified Procedure,Rule 201-204.See IDAPA 31.01.01.201-.204.Persons
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34082 3
interested in submitting written comments must do so no later than August 28,2018.The
Company may file a reply no later than September 11,2018.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of June 2018.
PAUL KKLAÑØ ,PRESIDENT
KR$TINE RAPER,CIO ŠlONER
ERIC ANDERSON,COMMISSIONER
ATTEST:
Diane M.Hanian
Commission Secretary
PACE1804_ntcofapp mod proc se
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO.34082 4