20230801Decision Memo.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM

TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: CHRIS BURDIN
DEPUTY ATTORNEY GENERAL

DATE: AUGUST 1, 2023

SUBJECT: IN THE MATTER OF THE APPLICATION OF AVISTA CORPORATION
FOR THE AUTHORITY TO INCREASE ITS RATES AND CHARGES FOR
ELECTRIC AND NATURAL GAS SERVICE TO ELECTRIC AND
NATURAL GAS CUSTOMERS IN THE STATE OF IDAHO; CASE NOS.
AVU-E-23-01; AVU-G-23-01.

On February 1, 2023, Avista Corporation (“Company”) filed an application
(“Application”) with the Idaho Public Utilities Commission (“Commission”) requesting
authorization to increase its rates for both Electric and Natural Gas service. The Company
requested a September 1, 2023, effective date.
On February 21, 2023, the Commission issued a Notice of Application and Notice of
Intervention Deadline. Order No. 35684. Subsequently, the Commission granted intervention to
Clearwater Paper Corporation, Idaho Forest Group LLC, Walmart Inc., and the Idaho
Conservation League and NW Energy Coalition jointly. Order Nos. 35704, 35713, and 35719.
On April 12, 2023, the Commission issued a Notice of Schedule, Notice of Virtual Public
Workshop, and Notice of Technical Hearing. Order No. 35736. The Commission set a June 14,
2023, Commission Staff (“Staff”) and Intervenor written testimony deadline, and a July 12, 2023,
Company Rebuttal written testimony deadline. Id.
On June 1, 2023, Staff, the Company, and all Intervenors participated in a settlement
conference. Based upon that settlement conference, on June 6, 2023, Staff requested that the
Commission vacate the deadlines for written testimony, and the Commission issued an Order
Vacating Testimony Deadlines. Order No. 35808.
DECISION MEMORANDUM 2
On June 14, 2023, Staff and the Company filed a Stipulation and Settlement (“Proposed
Settlement”), and a Motion for Approval of Stipulation and Settlement (“Motion”). The Proposed
Settlement was signed by Staff, the Company, and intervenors Clearwater Paper Corporation,
Idaho Forest Group LLC, and Walmart Inc. (“Signing Parties”). Intervenors Idaho Conservation
League and NW Energy Coalition did not sign the Proposed Settlement. The Motion requested
that the Commission revise the procedural schedule to set the deadline for filing testimony in
support of, or in opposition to, the Proposed Settlement on July 12, 2023, and set a July 26, 2023,
deadline for any rebuttal testimony by the Signing Parties.
On July 6, 2023, the Commission issued a Notice of Proposed Settlement, Notice of
Amended Schedule, Notice of Customer Hearings, Notice of Technical Hearing, and Notice of
Public Comment Deadline. Order No. 35844. The Commission set an initial testimony filing date
of July 12, 2023, and a rebuttal testimony filing date of July 26, 2023. Id. The Commission
scheduled customer hearings in Lewiston and Coeur d’Alene, Idaho, on July 25, 2023, and a
customer hearing in Sandpoint, Idaho, on July 26, 2023. The Commission also set a July 26, 2023,
deadline for public comments on the Proposed Settlement.
REQUEST FOR REMOTE APPEARANCE
On July 24, 2023, Intervenors Idaho Conservation League and NW Energy Coalition filed
a Request for Permission for ICL/NWEC Witness Lauren McCloy to Appear Remotely
(“Motion”). The Motion provides in relevant part:
On July 12, 2023, ICL/NWEC filed the direct inquiry of witness Lauren
McCloy in opposition to the Settlement, predominately focusing on rate design
issues. Testimony in support of the settlement by Staff and the Company also
addressed rate design issues.
However, in-person attendance at the technical hearing by witness Lauren
McCloy is infeasible. Ms. McCloy resides in rural Washington several hours drive
from the nearest commercial airport. She is also responsible for a very young child,
making travel difficult without substantial notice. While ICL/NWEC acknowledge
that Order No. 35844 establishes a substantially similar date(s) for the technical
hearing as the original procedural schedule, ICL/NWEC had no way of knowing
that the Commission would establish the hearing on those days once the original
procedural schedule was vacated.
ICL/NWEC also acknowledge that the Commission recently noted the
value of in-person attendance at technical hearings to afford Parties of the full
privilege of cross-examination and allow questioning by the Commission.
ICL/NWEC recognize these values. Nonetheless, in lieu of in-person testimony by
DECISION MEMORANDUM 3
Ms. McCloy, remote testimony, cross examination, and questioning best serves the
development of a complete record and the public interest in this case.
To anticipate and accommodate the rights and privileges of parties,
ICL/NWEC conferred with counsel for Staff, the Company, and the intervenor
parties on their intention to cross-examine witness McCloy prior to this request. For
its part, the Company stated it had no objection to Ms. McCloy appearing remotely.
Intervenor Clearwater Paper also indicated it had no objection. No other party
responded to the inquiry.
While in-person testimony and cross-examination undoubtedly provides for
the greatest exchange of information and development of the record, much of the
value of in-person testimony can be accommodated by remote testimony.
Audio/video conferencing allows for cross-examination and questioning by
interested parties. If this request is granted, ICL/NWEC offers to coordinate with
Staff, counsel for parties, and presiding officer of the technical hearing to address
audio/video issues and conduct Ms. McCloy’s appearance in a preferred remote
format.
Motion at 2-3 (footnotes omitted).
COMMISSION DECISION
Does the Commission wish to grant or deny the Motion?

__________________________
Chris Burdin
Deputy Attorney General

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