HomeMy WebLinkAbout20061103Comments.pdfBrad M. Purdy
Attorney at Law
Bar No. 3472
2019 N. 17th St.
Boise, ID. 83702
(208) 384-1299
FAX: (208) 384-8511
bmpurdy(f'Yhotmail. com
Attorney for Intervener
Community Action Partnership
Association ofldaho
RECEIVED
ZOOfiNDV-3 AMII:~5
IDf\hO FUULiG
UTILITIES COh'i1ISSI01~
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF P ACIFICORP DBA ROCKY MOUNTAIN
ELECTRIC SERVICE SCHEDULES NOS. 10
400 AND 401 COMMUNITY ACTION
PARTNERSHIP ASSOCIA-
TION OF IDAHO'
COMMENTS
CASE NO. P AC-06-
COMES NOW, Community Action Partnership Association ofldaho (CAP AI)
and pursuant to Commission Notice issued August 21 2006, submits the following
comments.
CAPAI supports the use of modified procedure in this proceeding. Further, on
June 19 2006, CAPAI and PacifiCorp executed a settlement agreement (copy attached
hereto as Exhibit "). Portions of that settlement agreement are relevant to this
proceeding. In any event, the key elements of the agreement include the following:
PacifiCorp shall make a one-time cash contribution of shareholder money
often-thousand dollars ($10 000) to each of Southeastern Idaho Community
Action Agency ("SEICAA") and Eastern Idaho Community Action Partnership
COMMUNITY ACTION PARTNERSHIP ASSOCIATION OF IDAHO
COMMENTS
EICAP") to be used as funding assistance for the Lend-Hand program for the
2006-2007 heating season.
PacifiCorp agreed to (and did) make a formal filing before the
Commission (Case No. PAC-06-1O) to address the Company s limitation of
only funding 50% (a percentage that CAP AI disputes reflects the actual level of
funding) of low-income weatherization costs.
PacifiCorp agreed to provide support for legislation sponsored by CAP
during the 2007 general Idaho legislative session that would give the Commission
authority to approve utility-proposed low-income assistance programs, the costs
of which would be included in the utilities' cost of service.
CAPAI agreed to waive PacifiCorp s commitment to file a general rate
case made in Case No. PAC-05-1 and makes no objection to the Company
application in the present case seeking rate increases for Monsanto Corp., Nu-
West Industries, Inc. and PacifiCorp s irrigation customers.
CAP AI submits that the foregoing settlement is in the best interests of the general
body ofPacifiCorp s ratepayers. CAP AI also believes that under the conditions outlined
in the settlement, and given the nature of the Company s Application in this case, the use
of modified procedure is appropriate and a general rate case is not necessary at this point
in time.
DATED, this day of November, 2006.r- 15v
~(
rSl.rad M. Purdy .
COMMUNITY ACTION PARTNERSHIP ASSOCIATION OF IDAHO
COMMENTS
~~~JfJfQE~
Utah Power I Pacific Power
Rocky Mountain Power
20 I South Main, Suite 2300
Salt lake City, Utah 84111
June 19 2006
Brad M. Purdy
Attorney at Law
2019 N. 17th St.
Boise, ill 83702
Re:Stipulation and Agreement Between PacifiCorp and the
Community Action Partnership Association ofldaho ("CAP AI"
Dear Mr. Purdy:
Please find enclosed an original copy of the agreement reached between PacifiCorp and CAP
regarding PacifiCorp s upcoming filings in Idaho. Also enclosed is a second original copy of the
signature page to the agreement. Upon receipt, please sign the signature pages and return one
original copy to PacifiCorp.
Thank you for working with PacifiCorp to reach this agreement.
Sincerely,~iYL
Bnan Dickman
Manager, Idaho Regulatory Affairs
Enclosures
EXHIBIT
STIPULATION AND AGREEMENT
This Stipulation and Agreement ("Stipulation ) is entered into by and between
PacifiCorp, doing business as Rocky Mountain Power ("PacifiCorp" or the "Company ) and the
Community Action Partnership Association of Idaho ("CAP AI") (collectively referred to as the
Parties ) as ofJune 19, 2006.
l. 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 ofthe issues raised
between the Parties.
II. BACKGROUND
In the Stipulation settling the general rate case filed by the Company in Docket
No. PAC-05-, PacifiCorp proposed that certain cost of service issues would be addressed in a
general rate case that was anticipated to be filed no later than April 29, 2006. PacifiCorp desires
to not file a general rate case in Idaho in 2006 and anticipates making a filing to address certain
price changes on a limited basis rather than through a general rate case. If the Idaho Public
Utilities Commission (the "Commission ) approves a limited issue application, then the
Company will not have the need to file a general rate case in 2006. CAP AI is willing to support
PacifiCorp in its approach to avoid the need for a general rate case in 2006. This Stipulation sets
forth the terms and conditions under which the Parties agree to be bound with respect to
PacifiCorp s approach to a limited issue filing and avoidance of the need to file a general rate
case in 2006,
In anticipation of executing this Stipulation, representatives of PacifiCorp and
CAP AI have held discussions several times pursuant to IDAP A 31.01,01.271 and engaged in
settlement discussions with a view toward resolving the issues raised herein. Based upon the .
settlement discussions between the Parties, as a compromise of the Parties ' positions on the
STIPULATION - Page
CONFIDENTIAL
SUBJECT TO SETTLEMENT PRIVILEGE
subjects discussed herein, and for other consideration as set forth below, the Parties agree to the
following terms:
III. TERMS OF THE STIPULATION
No later than August 31 , 2006, PacifiCorp shall make a one-time cash
contribution of shareholder money of ten-thousand dollars ($10 000) to each of SouthEastern
Idaho Community Action Agency ("SEICAA") and Eastern Idaho Community Action
Partnership ("EICAP") (for a total aggregate contribution of twenty-thousand dollars ($20 000))
to be used as funding assistance for the Lend-Hand program for the 2006-2007 heating season.
No later than September 1 2006, PacifiCorp shall make a fonnal filing before the
Commission to address those issues that PacifiCorp and the MidAmerican Energy Holdings
Company agreed to address pursuant to Commitment No. I 13(b) in Docket No. P AC-05-
PacifiCorp agrees to provide support for legislation sponsored by CAP AI during
the 2007 general Idaho legislative session that would give the Commission authority to approve
discount rates for low income customers that are requested by utilities. The Company s support
is limited to legislation allowing: 1) a utility to propose bill discounts on a strictly voluntary basis
and subject to Commission approval, and 2) the costs and lost revenue ftom such discounts to be
included in the utility s cost of service to be recovered in rates from other customers. An
example of such legislation is attached as Exhibit A to this Stipulation and is subject to
modification and approval by the Idaho legislature. The terms of this Stipulation shall not bind
the Company to request or agree to establish such a bill discount in Idaho.
CAP AI agrees to waive the Company s commitment to file a general rate case per
the Stipulation in Case No. P AC-05-1 and will not make any objection to the Company
applications seeking rate increases for Monsanto Corp., Nu-West Industries, Inc. and
PacifiCorp s irrigation customers, In addition, CAP AI agrees that Commitment No. I 13(b) in
STIPULATION - Page 2
CONFIDENTIAL
SUBJECT TO SETTLEMENT PRIVILEGE
Docket No. P AC-O5-8 will be addressed in the filing referenced in paragraph 5 of this
stipulation rather than in a general rate case.
The Partjes agree that this Stipulation represents a compromise ofthe positions
the Parties on the issues addressed herein. Other than the above referenced positions and any
testimony filed in support ofPacifiCorp s Application and except to the extent necessary for a
Party to explain before the Commission, if necessary, its own statements and positions with
respect to the Stipulation, allheg-otIatiohS relating to this Stipulation shall not be admissible as
evidence in any legal or regulatory proceedings regarding this subject matter.
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. No findjngs of fact or conclusions oflaw other than those stated herein shall be
deemed to be implicit in this Stipulation. This Stipulation shall be governed in accordance with
the laws of the State of Idaho.
DATED this 19th day of June, 2006.
PacifiCorp
Mark Moench
Sr. Vjce President and General Counsel
PacifiCorp, dba Rocky Mountain Power
Community Action Partnership Association
ofldaho
Brad Purdy
Attorney for CAP AI
STIPULATION -Page 3
CONFIDENTIAL
SUBJECT TO SETTLEMENT PRIVILEGE
Docket No. PAC-O5-8 will be addressed in the filing referenced in paragraph 5 of this
stipulation rather than in a general rate case,
The Parties agree that this Stipulation represents a compromise of the positions of
the Parties on the issues addressed herein. Other than the above referenced positions and any
testimony filed in support ofPacifiCorp s Application and except to the extent necessary for a
Party to explain before the Commission, if necessary, its own statements and positions with
respect to the Stipulatibh all negotiations relating to this Stipulation shall not be admissible as
evidence in any legal or regulatory proceedings regarding this subject matter.
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. No findings of fact or conclusions oflaw other than those stated herein shall be
deemed to be implicit in this Stipulation. This Stipulation shall be governed in accordance with
the laws of the State of Idaho.
DATED this 19th day of June, 2006,
PacifiCorp Community Action Partnership Association
of Idaho
Sr. Vice President and General Counsel
PacifiCorp, dba Rocky Mountain Power
By /:5
Brad Purdy
Attorney for CAP AI
STIPULATION - Page 3CONFIDENTIAL
SUBJECT TO SETTLEMENT PRIVILEGE
Stipulation Exhibit A
TITLE
PUBLIC UTILITY REGULA nON
CHAPTER 5
POWERS AND DUTIES OF
PUBLIC UTILITIES COMMISSION
61-502C. RATES - LOW-INCOME CUSTOMERS. Upon request by a water.
gas or electric public utility. the Commission may approve rates. charges. services and/or
facilities at a discount for the utility s low-income residential customers. Any expenses
and lost revenues as a result of these bill discounts shall be included in the utility's cost
of service and recovered in rates to other customers. For purposes of this provision. the
term "low-income" is defined as follows: one hundred-fifth percent (150%) of the
Poverty Guidelines updated annually in the Federal Register by the U.S. Demirbnent of
Health and Human Services under the authority of 42 U.C. 9902(s).
No other statute contained within Title 61 shall be construed to prohibit the
Commission from approving programs as set forth herein.
----- -----
Stipulation Exhibit A
TITLE 61
PUBLIC UTILITY REGULATION
CHAPTER 3
DUTIES OF PUBLIC UTILITIES
61-315- DISCRIMINATION AND PREFERENCE PROHIBITED-=
EXCEPTION. No public utility shall, as to rates, charges, service, facilities or in any
other respect, make or grant any preference or advantage to any corporation or person or
subject any corporation or person to any prejudice or disadvantage. No public utility shall
establish or maintain any unreasonable difference as to rates, charges, service, facilities
or in any other respect, either as between localities or as between classes of service. The
commission shall have the power to determine any question of fact arising under this
section,
Nothing in this provision shall act to prohibit a public utility from seeking
approval for. and operating. low-income residential bill discounts pursuant to Idaho Code
Section 61-502C.
Stipulation Exhibit A
TITLE
PUBLIC UTILITY REGULATION
CHAPTER 5
POWERS AND DUTIES OF
PUBLIC UTILITIES COMMISSION
61 ~502. DETERMINATION OF RATES. Whenever the commission, after a hearing
had upon its own motion or upon complaint, shall find that the rates, fares, tolls, rentals
charges or classifications, or any of them, demanded, observed, charged or collected by
any public utility for any service or product or commodity, or in connection therewith
including the rates or fares for excursions or commutation tickets, or that the rules
. - - . -- --___
...regulations, pra.c.tices, or.contracts or ,any_oftbe.m affecting.suchrates,.fares, tolls
rentals, charges or classifications, or any of them, are unjust, unreasonable
discriminatory or preferential, or in any wise in violation of any provision of law, or that
such rates, fares, tolls, rentals, charges or classifications are insufficient, the commission
shall determine the just, reasonable or sufficient rates, fares, tolls, rentals, charges
classifications, rules, regulations, practices or contracts to be thereafter observed and in
force and shall fix the same by order as hereinafter provided, and shall, under such
rules and regulations as the commission may prescribe, fix the reasonable maximum rates
to be charged for water by any public utility coming within the provisions of this act
relating to the sale of water.
Nothin in this rovision shall rohibit the Commission from a rovin low-
income residential bill discounts ursuant to Idaho Code Section 6l-502C.
Stipulation Exhibit A
TITLE 61
PUBLIC UTILITY REGULATION
CHAPTER 3
DUTIES OF PUBLIC UTILITIES
61-301. CHARGES JUST AND REASONABLE. All charges made, demanded
or received by any public utility, or by any two (2) or more public utilities, for any
product or commodity furnished or to be fumished or any service rendered or to be
rendered shall be just and reasonable. Every unjust or unreasonable charge made
demanded or received for such product or commodity or service is hereby prohibited and
declared unlawful.
- ,--, --- _
Nothin in this rovision shall ohibita ublicutili from seekin roval for
and o eratin
g.
low-income residential bill discounts ursuant to Idaho Code Section 61-
502e.