20200710Decision Memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:DAYN HARDIE
DEPUTY ATTORNEY GENERAL
DATE: JULY 10,2020
SUBJECT:IN THE MATTER OF ROCKY MOUNTAIN POWER'S
APPLICATION TO INCREASE ITS RATES AI\D CIIARGES IN
IDAIIO AND FOR APPROVAL OF PROPOSED ELECTRIC
SERVICE SCHEDULES AND REGULATIONS; PAC-E-20'03
On March 26, 2020, Rocky Mountain Power ("Company"), a division of
PacifiCorp, filed a Notice of Intent to file a General Rate Case. The Company later decided
that, due to the impacts of the Covid-l9 pandemic, it would instead develop a rate plan
allowing it to delay filing a general rate case.
On May 28,2020,the Company, Commission Staff, Bayer,Idaho Conservation
League, Idaho Irrigation Pumper Association, and PacifiCorp Idaho lndustrial Customers
stipulated that the Company would delay filing a general rate case and instead apply for an
accounting order (the "Stipulation").
On July 2, 2020, the Company submitted this Application along with the
Stipulation and asked for: (l) an accounting order authorizing the Company to create a
regulatory asset to transfer decommissioning and plant closure costs of Cholla Unit No. 4
when it is retired; (2) approval of modifications to Phase II of the settlement stipulation to
implement tax reform approved in Order No. 34431; and (3) approval of ratemaking
treatment for Pryor Mountain and Foote Creek I wind resources to match costs with
benefits-with costs capped at the level of benefits until the prudence of the resources can
be determined in the next general rate case.
The Company requested its Application be processed by Modified Procedure.
DECTSION MEMORANDUM
STAFF RECOMMENDATION
Staff has reviewed the Company's Application and the Stipulation and
recommends the Commission issue aNotice of Application. Further, Staffrecommends the
Commission allow parties who claim a direct and substantial interest in the matter to
intervene. Staff recommends a 2l-day intervention period. After the deadline for
intervention has passed, Staffwill collaborate with the parties to develop a schedule and
then will recommend further procedure to the Commission.
COMMISSION DECISION
Does the Commission wish to issue a Notice of Application that sets a 2l-day
intervention period and directs Staffto collaborate with the parties to develop a schedule
and then recommend further procedure to the Commission?
Dayn
Deputy Attorney General
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2DECISION MEMORANDUM