HomeMy WebLinkAbout20231208Application.pdf 1407 W. North Temple, Suite 330 Salt Lake City, UT 84116
December 8, 2023
VIA ELECTRONIC DELIVERY Commission Secretary
Idaho Public Utilities Commission
11331 W. Chinden Blvd Building 8 Suite 201A Boise, ID 83714
RE: CASE NO. PAC-E-23-25 IN THE MATTER OF THE APPLICATION FOR APPROVAL OF THE ASSET TRANSFER AGREEMENT BETWEEN ROCKY MOUNTAIN POWER AND THE CITY OF IDAHO FALLS – GOOSE LAKE Attention: Commission Secretary
Enclosed for electronic filing in the above-mentioned matter are Rocky Mountain Power’s and the city of Idaho Fall’s Joint Application for approval of the asset purchase agreement and transfer of electric service for the customer as described in this Application.
Informal inquiries may be directed to Mark Alder, Idaho Regulatory Manager at (801) 220-2313. Very truly yours, Joelle Steward Senior Vice President, Regulation and Customer & Community Solutions
RECEIVED
Friday, December 8, 2023 3:41:25 PM
IDAHO PUBLIC
UTILITIES COMMISSION
APPLICATION OF Page 1 ROCKY MOUNTAIN POWER
Joe Dallas (ISB# 10330) PacifiCorp, Senior Attorney 825 NE Multnomah Street, Suite 2000
Portland, OR 97232 Email: joseph.dallas@pacificorp.com Attorney for Rocky Mountain Power
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
FOR APPROVAL OF THE ASSET
TRANSFER AGREEMENT BETWEEN
ROCKY MOUNTAIN POWER AND THE
CITY OF IDAHO FALLS – GOOSE LAKE
)
)
) APPLICATION OF
) ROCKY MOUNTAIN POWER
)
)
Rocky Mountain Power, a division of PacifiCorp (the “Company”), pursuant to
provisions of the Electric Stabilization Act, I.C. § 61-332, et. seq., and I.C. § 61-328, hereby
files this application with the Idaho Public Utilities Commission (“Commission”) for approval
of the Asset Transfer Agreement (“Agreement”) between Rocky Mountain Power and the City
of Idaho Falls (“City”). This Agreement provides for the City to purchase certain electric
facilities currently owned and used by the Company to supply electric service to a customer
(“the Customer”) as more particularly described in the Agreement file concurrently with this
Application. In support of this Application, Rocky Mountain Power states as follows:
1. Rocky Mountain Power, a division of PacifiCorp, an Oregon corporation,
located at 1407 West North Temple, Salt Lake City, Utah 84116, is authorized to do and is
doing business in the State of Idaho. The Company provides retail electric service to
approximately 88,000 customers in the state and is subject to the jurisdiction of the
Commission. The Company’s retail certificated service territory encompasses portions of
Fremont, Madison, Teton, Clark, Jefferson, Lemhi, Oneida, Bannock, Franklin, Caribou,
APPLICATION OF Page 2 ROCKY MOUNTAIN POWER
Butte, Bingham, Bear Lake, and Bonneville counties. Rocky Mountain Power is a public utility
in the state pursuant to Idaho Code § 61-129.
2. The city of Idaho Falls, which is located in Bonneville County, owns and
operates an electric power system within the municipal boundaries of the city for the
convenience of its citizens. The Company is transferring service and facilities to the City, and
the City has a bona-fide intent and financial ability to provide service to the Customer being
transferred. The City’s municipal service territory is surrounded by Rocky Mountain Power’s
service territory. The Company currently provides electric service to customers located within
the boundaries of the City, and the City provides service to customers within the Company’s
service territory.
I. BACKGROUND
3. On October 9, 2017, Rocky Mountain Power and the City entered into a Service
Allocation Agreement to reduce duplication of service and promote stability in their respective
service areas. The Service Allocation Agreement was approved by the Commission on
December 5, 2017.1
4. The Service Allocation Agreement specifies that existing customers as of the
date of the agreement would continue to be served by their current electric supplier irrespective
of service territory boundaries.
5. The Service Allocation Agreement provides for the transfer of a customer’s
electric service from one utility to the other as long as the acquiring utility agrees to pay the
utility currently providing service just compensation for lost revenues and the distribution
1 In the Matter of the Join Application of the City of Idaho Falls and Rocky Mountain Power for Approval of a
Service Allocation Agreement, Case No. PAC-E-17-12, Order No. 33943 (December 5, 2017).
APPLICATION OF Page 3 ROCKY MOUNTAIN POWER
facilities used to serve that customer. The Company and the City agreed that just compensation
for lost revenues would be an amount equal to 167 percent of the total of the respective
customer’s electric bills from the prior twelve-month period of service. In addition, the
acquiring utility would purchase the poles, wires, cross arms, insulators, guys, and other
facilities no longer needed or required by the other utility to service that customer.
6. The Customer has requested that their electric service be transferred to the City
and the Customer has been notified by the Company that it has entered into the Agreement to
transfer service. The Company and the City have agreed to transfer electric service and the
City has agreed to purchase the facilities described in Exhibit A of the Agreement, provided as
Confidential Attachment No. 1 to the Application. The customer’s service is for two vacant
lots without a meter so the sale price was based on the equipment needed to service the
customer and not the prior twelve-month revenue.
7. The transaction complies with Idaho Code § 61-328. Specifically, it is in the
public interest because it reduces duplication of services by the City purchasing the Company’s
distribution facilities used to serve the Customer. Further, the Company will transfer service
to the City and will be adequately compensated for the assets used to serve the Customer
preventing any increase in costs or rates for service to remaining customers. The Customer
requested that service be transferred to the City, and the City has the intent and financial ability
to provide service to the Customer.
II. REQUEST FOR SERVICE AREA EXEMPTION
8. Rocky Mountain Power and the city of Idaho Falls hereby jointly petition the
Commission for approval of the Asset Transfer Agreement, provided as Confidential
Attachment No. 1, and transfer of electric service, wherein Idaho Falls agrees to serve the load
APPLICATION OF Page 4 ROCKY MOUNTAIN POWER
of the Customer and pay the Company for the assets transferred, as well as the revenue
reimbursement, legal, and transaction costs.
III. CONFIDENTIAL INFORMATION
This filing, specifically the Asset Transfer Agreement, labeled as Confidential
Attachment 1, includes confidential information related to the Customer exempt from public
review under Idaho Code §§ 74-104–109 and Idaho Public Utilities Commission’s Rule of
Procedure 67.
IV. COMMUNICATION
9. Communications regarding this Application should be addressed to:
If to Rocky Mountain Power:
Mark Alder Joe Dallas 1407 W. North Temple, Suite 330 Salt Lake City, Utah 84116
Telephone: (801) 220-2313 Email: Mark.Alder@pacificorp.com Joseph.Dallas@pacificorp.com
If to the City of Idaho Falls:
Idaho Falls City Power Bear Prairie 140 South Capital Avenue Box 50220
Idaho Falls, Idaho 83405
In addition, the Company respectfully requests that all data requests regarding this matter be
addressed to one or more of the following:
By e-mail (preferred) datarequest@pacificorp.com
By regular mail Data Request Response Center PacifiCorp 825 NE Multnomah, Suite 2000
Portland, OR 97232
APPLICATION OF Page 5 ROCKY MOUNTAIN POWER
V. MODIFIED PROCEDURE
10. Rocky Mountain Power believes that a hearing is not necessary to consider the
issues presented herein and respectfully requests that this Application be processed under
Modified Procedure, i.e., by written submissions rather than by hearing, in accordance with
Idaho Public Utilities Commission Rules of Procedure 201 – 204.
VI. CONCLUSION
WHEREFORE, Rocky Mountain Power and the city of Idaho Falls respectfully request
that the Commission: 1) issue an order authorizing this Application to be processed under
Modified Procedure; 2) issue a final order approving the Asset Transfer Agreement; and 3)
authorize the transfer of electric service for the Customer from Rocky Mountain Power to the
city of Idaho Falls.
DATED this 8th day of December 2023.
Respectfully submitted,
By _______________________________
Joe Dallas Attorney for Rocky Mountain Power
ATTACHMENT NO. 1