20161216Klein Direct with Exhibits 118-119.pdf

BEFORE THE
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IDAHO PUBLIC UTILITIES COM!VIIS~1b.r(,~::t,1\1l s10N
i' 'j i.' . .-
IN THE MATTER OF INTERMOUNTAIN
GAS COMPANY'S APPLICATION TO
CHANGE ITS RATES AND CHARGES
FOR NATURAL GAS SERVICE.
)
) CASE NO. INT-G-16-02
)
)
)
___________ )
DIRECT TESTIMONY OF DANIEL KLEIN
IDAHO PUBLIC UTILITIES COMMISSION
DECEMBER 16, 2016
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Q. Please state your name and business address for
the record.
A. My name is Daniel Klein. My business address
is 472 West Washington Street, Boise, Idaho 83702.
Q.
A.
By whom are you employed and in what capacity?
I am employed by the Idaho Public Utilities
Commission (Commission) as a Utilities Compliance
Investigator in the Consumer Assistance Section.
Q. What is your educational and professional
background?
A. Prior to my employment with the Commission, I
had three years of experience working in private industry
for Qwest Corporation as a Sales Consultant in Boise,
Idaho. I received a Bachelor of Arts Degree in
Communication from Boise State Univ ersity in Boise,
Idaho, in May 1998 .
Q. Have you previously testified before the
Commission?
Yes. A.
Q. What is the purpose of your testimony in this
proceeding?
A. The purpose of my testimony is to present
Staff's position on the following consumer issues:
1.
2.
Payment methods;
Convenience fees;
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3. Pay stations;
4. Customer Service Center performance;
5. The new Customer Information System;
6. The Customer Notice and Press Release filed
in this case;
Q.
testimony?
A.
Q.
7. Customer relations; and
8. Credit and collection activity reports.
Are you sponsoring any exhibits with your
Yes, I am sponsoring Exhibit Nos. 118 and 119.
Please summarize Staff's recommendations as
they relate to consumer issues.
A. In summary, Staff recommends that Intermountain
Gas Company (the Company): (1) Eliminate convenience
fees for its residential customers; (2) Cover the cost of
accepting payments at authorized Western Union pay
stations; and (3) File monthly credit and collection
activity reports with the Commission.
PAYMENT METHODS
Q. Does the Company track payment methods used by
customers?
A . Yes. Intermountain Gas provided Staff with
historical data regarding bill payment. Payment by mail
is still the most common way that bills are paid,
followed by online bill payment services provided through
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customers' banks or other financial institutions.
Some data requested by Staff was not available.
The Company stated that it previously used BillMatrix as
its third-party vendor for handling payment transactions
by phone, but that in March 2016, it migrated to
SpeedPay, another third-party payment vendor. As a
result, the Company claims it no longer has access to
historical data that provides detailed information about
the payment methods and channels used by customers to
make payment through BillMatrix. However, Intermountain
Gas indicated that it did know the total number of
payments made through BillMatrix for each of the past two
years: 163,597 in 2014 and 144,625 in 2015. See Company
response to Staff Production Request No. 159.
CONVENIENCE FEES
Q. Does Staff have any recommendations with regard
to convenience fees that customers are charged for
certain payment transactions?
A. Yes. Customer paying by credit or debit card
or authorized withdrawal from a checking or savings
account were historically charged $2.75 per transaction
by BillMatrix and are currently charged $1.99 by
SpeedPay. Staff recommends that the Company eliminate
the $1.99 convenience fee charged by SpeedPay to
Intermountain Gas' residential customers for handling
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payment transactions by phone.
Staff also recommends that the Company file an
application with the Commission to provide its expected
costs to offer this free payment option. The Company may
request to defer those costs for later recovery through
rates. Based on the number of payment transactions
handled by the Company's former vendor, BillMatrix, in
2015 (144,625) and Avista's cost per transaction ($1.50),
Intermountain Gas' annual cost would be approximately
$217,000. See the Company's response to Staff Production
Request No. 159.
Q. Has any other regulated utility in Idaho
eliminated convenience fees?
A. Avista initiated a fee free payment program
this year (2016). See Case No. AVU-E-16-01, Order No.
33494.
Q. Please describe Avista's fee free payment
program.
A. Under Avista's fee free program, convenience
fees were eliminated for residential customers. Instead,
Avista pays associated transaction costs for payments
made through its third-party vendor. That transaction
cost ($1.50) is much lower than the convenience fee
previously paid by Avista customers ($3.50). Avista
defers and records the costs it incurs to offer the fee
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free payment program for later recovery through rates.
Q.
A.
Why does Staff believe this is a good idea?
In the past, few utility customers used credit
cards to pay utility bills, and fewer still used debit
cards. Card use was viewed as a convenience rather than
a necessity, and utilities were reluctant to absorb the
costs of handling these transactions. Accordingly, the
customers who used the service paid for that privilege.
These practices have changed in recent years.
According to the 2013 Federal Reserve's Payment Study,
there has been a consistent decline in consumers paying
for goods and services by paper check, while debit and
credit card transactions have increased. Using a credit
or debit card to pay for products and services is now a
routine practice, and most businesses and service
providers, especially in the retail sector, no longer
charge convenience fees. As more customers come to rely
on payment by debit and credit cards, they become
frustrated by and object to paying an extra charge to pay
utility bills using their preferred method of payment.
In addition, convenience fees often have the
greatest impact upon society's most vulnerable
population, including low income individuals who struggle
to meet the basic necessities of daily living. According
to the 2013 FDIC National Survey of Unbanked and
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Underbanked Households, 28% of U.S. households were
either unbanked or underbanked.
"Unbanked" persons lack a savings or checking
account and do not have a financial relationship with a
bank or credit union. Unbanked households have limited
options to avoid paying a convenience fee since most fee
free payment options require readily available cash.
"Underbanked" persons may have a checking or
savings account, but also use financial services for an
array of products such as check cashing services, pawn
shop loans and auto title loans all of which charge
high interest rates. Underbanked persons may also use
credit and prepaid debit cards to pay their bills.
According to the Survey, 6% of Idaho households
were unbanked, and 19% were underbanked, for a combined
total of 25%, or 140,543 households. More than half of
the unbanked cite their inability to build up a reserve
in an account or maintain a minimum balance as the main
reasons they lack a bank account. Other contributing
factors include high fees, unpredictable and unknown
fees, distrust or dislike of banks, lack of ID, bad
credit, and poor past experiences. Age can also be a
factor; nationally, about half of people between the ages
of 18 and 24 are unbanked or underbanked due to lack of
established credit.
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Those who have a relationship with a
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bank or credit union tend to rely on credit and debit
cards for financial transactions.
Q. What are the benefits to eliminating
convenience fees?
A. The Commission's Consumer Assistance Staff has
received complaints from utility customers about having
to pay convenience fees. Other utilities have confirmed
that most customers who consider paying by phone elect
not to when they understand that an additional fee will
be assessed. Eliminating the fee will provide customers
with more fee free payment options and will help lessen
the financial burden on customers who are struggling to
meet financial obligations.
The number of customers who do not pay their
bills on time will also likely decrease. Residential
customers who avoid paying by credit or debit card due to
the convenience fee may elect to do so if the fee is
eliminated. Therefore, customers will benefit by
avoiding the fee and the Company will benefit from
reduced costs associated with collection activity.
Staff notes that all payment methods for
utility services have transaction costs. Although these
costs have historically been recognized as prudent, Staff
believes that, in the current climate, it is
inappropriate to charge some individuals for their chosen
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method of payment, while embedding the costs associated
with other methods into rates. Provided that the Company
is prudent in its selection of a third party vendor
(either retaining SpeedPay or selecting a different
vendor) and minimizes its costs, the transaction costs
associated with receiving payment for services should be
included in base rates.
In summary, removing the $1 .99 convenience fee
will bring the Company's payment practices in line with
other Idaho utilities, improve customer satisfaction, and
increase timely payments. Eliminating the convenience
fee will also add increased payment choice for customers.
PAY STATIONS
Q.
A.
Please explain what a pay station is.
In this context, a pay station is an entity
that collects bill payments from utility customers and in
turn, remits payment to the utility. A pay station that
provides this service under contract with a utility is
referred to as an "authorized pay station".
Q. Has Intermountain Gas contracted with Western
Union to handle payment transactions?
A. Intermountain Gas' parent company, MDU
Resources Group, Inc. (MDU), has a contract with Western
Union that covers all four of the utilities owned by MDU.
Q. Do any other regulated utilities use Western
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Union to handle in-person payment transactions?
A. Yes, Avista and Idaho Power also use Western
Union as their pay station vendor. Although all three
companies use Western Union, Intermountain Gas is the
only Company that does not cover the cost of providing
the service.
Instead, Western Union charges Intermountain
Gas customers $1.00 to process payments. This processing
charge is retained by Western Union. According to the
Company's response to Staff Production Request No. 159,
94,686 payments were made at Western Union pay stations
in 2015. Intermountain Gas does not accept cash payment
at Company offices, so customers must use pay stations
for cash transactions.
Q. Does Staff have any recommendations with regard
to pay stations?
A. Staff recommends that Intermountain Gas cover
the cost of accepting payment at authorized pay stations.
Currently Idaho Power and Avista both use Western Union
for their authorized pay stations; however, Western Union
does not charge Idaho Power and Avista customers a fee.
Instead, Idaho Power and Avista absorb the cost of
customers' payments made at authorized Western Union
payment stations. If the utility absorbs the transaction
fee, it pays a lower rate than would be assessed to
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customers. For example, Idaho Power currently pays $.80
per transaction and Avista pays $.76.
The Company may request to defer, for later
recovery through rates, the costs associated with
offering free payment at authorized pay stations. Based
on Avista's cost ($.76 per transaction) and the number of
transactions handled by Western Union in 2015 (94,686)
Intermountain Gas' annual cost would be approximately
$72,000. See the Company's response to Staff Production
Request No. 159.
CUSTOMER SERVICE CENTER PERFORMANCE
Q. Please provide a brief description of the
Customer Service Center.
A. The primary Customer Service Center (CSC) is
located in Meridian, Idaho, and currently has about 108
customer service representatives (CSRs). A satellite
office in Bismarck, North Dakota, has eight CSRs. The
Credit and Collections Department is also located in
Bismarck. The CSC is open from 6am to 8pm, Mountain
Time, spanning the three time zones served (Central,
Mountain and Pacific). The CSC takes calls from Idaho
customers from 7am to 7pm Mountain Time. The CSC
provides customer service for all four utilities owned by
MDU Resources Group, Inc. (Intermountain Gas, Cascade
Natural Gas, Montana-Dakota Utilities and Great Plains
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Natural Gas).
Q. What data does the Company collect to measure
csc performance?
A. The Company tracks incoming calls received by
the CSC, speed of answer, service level, handling time,
and abandoned calls. The Company defines incoming calls
as calls that are handled through the IVR as well as
calls that are handled by CSRs. Speed of answer is the
interval between when a call reaches the Company's
incoming telephone system and when the call is picked up
by a CSR. Service level is the percentage of calls
answered within a certain number of seconds (e.g.,
answering 80% of all calls in 60 seconds or less).
Handling time is the average amount of time it takes for
a customer service representative to talk with a customer
plus any additional "off-line" time it takes to complete
the transaction or fully resolve the customer's issue(s)
Abandoned calls are calls that reach the Company's
incoming telephone system, but the calling party
terminates the call before speaking with a CSR.
Q. What is the Company's primary performance
objective for its CSC?
A. The Company's primary performance objective is
to answer 80% of its calls within 60 seconds. In Staff's
opinion, a service level objective of 80% of calls
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answered within 60 seconds is reasonable. That
performance objective is consistent with the objectives
of other energy utilities serving Idaho customers.
How has the CSC performed? Q.
A. In general, the CSC has performed well. Of the
data provided for 2014, 2015 and January -August 2016,
the Company met or exceeded its service level objectives
in 23 of 32 months. Unfortunately, when Intermountain
Gas converted to the parent company's -MDU-new Customer
Information System, service levels declined and the
Company did not meet its performance objective. During
that seven month period, from August 2015 through
February 2016, service levels ranged from a low of 56.6%
to a high of 75 .8%.
More recently, service levels have improved.
Staff Exhibit 118 shows all monthly and annual metrics
measuring csc performance with respect to Idaho
customers.
NEW CUSTOMER INFORMATION SYSTEM
Q. Last year the Company changed its Customer
Information System (CIS). Please discuss that change and
how it has impacted customer service.
A. Again, Intermountain Gas migrated to MDU's
existing CIS in August 2015. Intermountain Gas' share of
MDU's total CIS cost was approximately $8,800,000.
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Intermountain Gas' previous stand-alone CIS was installed
in 2004 at a cost of $4,400,000, and was no longer
supported by the company from which it was purchased.
The new CIS is now used and shared by all four MDU-owned
utilities. The common platform allows each CSC team
member to use identical technology and uniform procedures
when serving customers. The workload is shared among the
team members, providing additional flexibility for
workforce management and emergency response.
Q. Was any functionality lost in the conversion to
MDU's CIS?
A. Yes, some functionality was lost that was
useful to Customer Service Representatives (CSRs) and/or
beneficial to customers. In general, the new system is
less user-friendly, making it harder for CSRs to perform
some tasks or track information. For example, CSRs lost
the ability to make comments regarding a service address
that would stay attached to the service address
regardless of who the customer is at any particular point
in time. It is now more difficult to determine customer
chronology or usage history at a service address.
The ability to change the date that field
orders would be worked was lost, which was a beneficial
function when collection activity was under way. Under
the Company's old CIS, the date of disconnection could be
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moved to a later date to allow additional time for
payments to be posted to an account. The ability for
payment plans to shelter debt and stop the collection
process was also lost, which has created the need for
more manual follow up to be done if payment is missed
under a plan.
Q. Was any functionality gained in the conversion
to MDU's CIS?
A. Yes. The new system is web-based rather than a
stand-alone software program. This makes it easier to
access from any computer, to navigate, and to use default
Windows-based shortcuts, such as copy and paste.
The new system has made it possible to automate
and standardize letters that are sent to customers.
Letters that have been sent to customers can also be
viewed online by all system users, providing easier
access to customer communications and enhancing the
ability to respond to customer questions that might
arise.
The new system also has the ability to provide
automatic email notification to customers. For example,
an email can be sent automatically to a property manager
or owner when a tenant discontinues service and
responsibility for payment of future bills reverts to the
account holder on a Continuous Service Agreement. This
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allows timely notice to property managers or owners of
tenant actions and the resulting change in bill
responsibility.
Fees that are based on the time that orders are
placed now automatically bill at the correct rate and
don't have to be assigned manually. For example, if an
order is placed during business hours vs. after hours,
the system automatically bills at the correct rate. This
change improves billing accuracy.
Customers with large numbers of services can
now be grouped under one responsible person or entity.
In the Company's previous system, large-volume builders
or property managers were limited on how many service
locations could be combined under one account.
Customers can now add a 4-digit PIN for
verification and authentication when using online self-
service options. In the past, customers had to provide a
Social Security Number for identification purposes, to
which some customers objected.
The new system has also added the ability to
change or delay the due date of bills outside of the
customer's normal billing cycle . This provides customers
the opportunity to set a due date that corresponds with
the date they receive funds, which is particularly
advantageous to fixed-income customers.
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Q. Has Staff drawn any conclusions about the
migration to MDU's CIS?
A. As mentioned previously, the switch to the new
CIS negatively affected CSC performance for several
months and resulted in some lost functionality. The new
system, however, introduced new functionality that, over
time, will increase efficiency, improve billing accuracy
and communication with customers, and resolve concerns
expressed by customers in the past about billing and
payment options.
That being the case, Staff maintains that the
positive outcomes of the migration outweigh the negative
outcomes and, therefore, the new system provides benefits
to both the Company and to Intermountain Gas' customers.
CUSTOMER NOTICE AND PRESS RELEASE
Q. Did Staff review the Customer Notice and Press
Release related to this case?
A. Yes. The Customer Notice and Press Release
were filed with the Company's application. Staff
reviewed both and determined that neither document
informed customers that written comments regarding the
Company's application could be filed with the Commission.
This requirement is outlined in Commission Rule 125.01
(IDAPA 31.01.01.125.01). When Staff notified the Company
of the omission on August 16, 2016, the Company corrected
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the customer notice posted on its website and revised the
remaining notices being sent to customers.
In addition, the Customer Notice and Press
Release discussed two separate cases -its Purchase Gas
Cost Adjustment (PGA)case (INT-G-16-03) and its General
Rate Case (INT-G-16-02) -under the following caption:
"Intermountain Gas Company files for an overall decrease
to its prices."
Staff believes that it was inappropriate and
potentially misleading to focus customer attention on the
net impact of the two distinct cases. Although both
Applications were filed on the same day, one case
addresses an annual temporary rate adjustment based on
the Company's gas related costs, while the other
represents a permanent change in base rates, which has
not occurred since 1986. Staff notes that Rule 125.03 of
the Commission's Rules of Procedure provides that, "[t]he
information required by this rule is to be clearly
identified, easily understood, and pertain only to the
proposed rate change." See IDAPA 31.01.01.125.03.
In summary, the Commission's final order for
the Company's now completed PGA Case (INT-G-16-03, Order
33604), addressed this issue as follows:
The Commission's rules require that customer
notices clearly identify a utility's
proposal(s) in a way that can be easily
understood. IDAPA 31.01.01.125.03. The
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purpose of this rule is to encourage wide
dissemination to customers of the proposed
rate change and allow customers to
participate in the proceedings before the
Commission. IDAPA 31.01.01.125. Combining
notice of an annual rate adjustment with a
proposal to permanently increase base rates
did not produce the clarity called for in the
Rules of Procedure. In the event of future
simultaneously-filed applications, we direct
the Company to strictly adhere to the
language and intent of our customer notice
rule.
Order No. 33604 at 3.
CUSTOMER RELATIONS
Q. Please describe how many and what type of
complaints and inquiries the Commission has received
regarding Intermountain Gas between 2013 and 2015.
A. The following chart shows the number of
informal complaints and inquiries received over the past
four years:
INTERMOUNTAIN GAS
COMPLAINT & INQUIRY TOTALS
2013-2016
2013 2014 2015 2016*
Credit & Collections
Line
Extension/Installation
Service Outage/Repair
Billing
Rates & Policies
All Other
Total
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*
77
5
1
29
23
18
153
January -
4 2
0 3
33 28
10 14
11 18
139 116
November
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Q. What did your analysis of complaints and
inquiries received by the Commission from 2013 to 2016
YTD show?
A. The highest general category is Credit and
Collections. This category includes customer issues
related to denial of service, disconnection, and
deposits. The majority of complaints and inquiries in
this category were from customers who had been
disconnected due to non-payment or had been notified that
they were in jeopardy of losing their service due to non-
payment. In many instances, customers needed assistance
in making payment arrangements, identifying resources for
financial assistance, or obtaining a medical emergency
certificate.
Billing was the next highest category. This
category includes such issues as billing errors, meter
malfunction or failure, and high bills. Complaints and
inquiries about rates and polices was the third highest
category. This category includes such issues as rates,
operating procedures, and customer service.
What are the current complaint trends? Q.
A. The Commission has received fewer complaints
and inquiries about Intermountain Gas for each period
analyzed. Complaints and inquiries about deposits have
been declining since 2015. There were a significant
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number of complaints and inquiries about disconnection of
service in 2013-2015, but the number has decreased thus
far in 2016.
Staff notes that the number of complaints and
inquiries regarding service outages and repair issues
have been consistently low over time, which reflects the
Company's continued commitment to provide safe and
reliable service to its customers.
Another issue that has continued to show up at
a consistent level are complaints and inquiries about
rebilling of usage due to meter failure or malfunction.
If a customer's meter fails to register any usage, for
example, and bills the customer based on zero usage, the
Company will rebill the customer based on its estimate of
usage during the period of time when the meter was not
operational.
A new issue that arose this year was an
increase in the number of payments coming to the
Commission instead of Intermountain Gas. The Company
indicated that the problem appeared to arise from its
disconnect notice and has committed to changing the
notice to make the Company's address more prominent,
although no changes have yet been made.
Q. To what might Intermountain Gas' declining
number of complaints and inquiries each year be
CASE NO. INT-G-16-02
12/16/16
KLEIN, D. (Di)
STAFF
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attributed?
A. Intermountain Gas' declining number of
complaints and inquiries filed with the Commission may be
the result of significant changes in the way the Company
provides customer service. As discussed above, the new
Customer Service Center and Customer Information System
required a substantial amount of planning and training,
which no doubt have been beneficial in the longer term.
It appears the Company is increasing efforts to work with
its customers to come up with acceptable payment
arrangements and generally help customers keep their
service connected.
CREDIT AND COLLECTION ACTIVITY
Q. What is Staff's recommendation with respect to
reporting credit and collection activity?
A. Staff recommends that Intermountain Gas file
monthly reports with the Commission similar to the
reports that Avista, Idaho Power and Rocky Mountain Power
already submit. Staff Exhibit No. 119 includes recent
reports submitted to the Commission from those utilities
as examples.
What purpose do these reports serve? Q.
A. The reports include information on arrearages,
disconnection and reconnection of service, unpaid debt,
and energy usage. They are used to better understand
CASE NO. INT-G-16-02
12/16/16
KLEIN, D. (Di)
STAFF
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residential customer behavior with respect to payment of
bills and response to utility collection activity. The
reports differentiate between low income and non-low
income customers to determine whether low income
customers are disproportionately affected by a utility's
credit and collection practices. The reports also enable
Staff to monitor the impact of allowing Idaho Power,
Avista, and Rocky Mountain Power to disconnect service
without knocking on customer doors. See Case No.
GNR-U-14-01, Order No. 33229.
Q. Does this conclude your direct testimony in
this proceeding?
A. Yes, it does.
CASE NO. INT-G-16-02
12/16/16
KLEIN, D. (Di)
STAFF
22
2014)
IGC
ACD Calls (Including IVR)
Avg Speed of Answer
Avg Service Level
AvgHandlingTime
Abandoned Calls
201s)
IGC
ACD Calls {Including IVR)
Avg Speed of Answer [R4
Avg Service Level [R45]
AvgHandlingTime [R48]
Abandoned Calls [R43]
20161
IGC
ACD Calls {Including IVR)
Avg Speed of Answer [R4
Avg Service Level [R45]
AvgHandlingTime [R48]
Abandoned Calls [R43]
-o n m ~. ~ &
0\ 7' ~ -· :::::!Iz[
O\? !=> z ~z!:l .,,~....,-
~......., I -(JQ C) 00
~ I
Jan
54231
:55
71.7%
4:30
3878
Jan
49471
:26
86.6%
4:18
1237
Jan
55888
1:10
72.9%
4:26
6207
Feb March
46249 53053
:27 :31
84.4% 83.6%
4:28 4:23
1096 1289
Feb March
48566 56269
:32 :31
84.1% 85.3%
4:15 4:19
1565 2765
Feb March
59128 61602
1:03 :18
70.4% 88.7%
4:23 4:22
2825 1304
lntermountain Gas Company
CSC Metrics
April May June July Aug
49302 43719 41295 40715 32970
:14 :16 :19 :14 :10
91.8% 90.2% 88.6% 91.3% 94.0%
4:37 4:42 4:53 5:03 5:09
1010 860 813 796 550
April May June July Aug
49665 42878 43313 40430 37288
:28 :35 :27 :29 1:09
83.7% 78.8% 84.7% 82.9% 67.5%
4:29 4:38 4:39 4:48 6:15
1676 1844 1031 1199 3135
April May June July Aug
42548 37068 34498 29337 11605
:15 :15 :04 :OS :10
91.0% 92.5% 97.8% 96.9% 93.9%
4:55 5:22 5:39 5:39 5:45
693 433 208 256 288
Sept Oct Nov
29038 39532 33323
:13 :32 :44
92.2% 81.1% 79.4%
5:06 5:10 5:09
334 1440 2222
Sept Oct Nov
43568 47630 43603
1:06 1:54 2:01
67.7% 58.1% 56.6%
5:12 4:52 4:59
3812 9464 6866
Sept Oct Nov
0 ...., 0\ I 0 N
The CSC Metrics are for calls received from lntermouintain Gas customers between 7am and 7pm Mountain Time.
N
Dec Total
36973 500400
:26 :26
88.7% 86.4%
4:41 4:47
848 15136
Dec Total
46683 549364
1:12 :53
73.3% 75.8%
4:51 4:45
5569 40163
Dec Total
331674
:31
88.0%
4:52
12214
100.0%
90.0%
80.0%
70.0%
60.0%
50.0%
40.0% -
30.0% -
20.0% -
10.0% -
0.0% -
Exhibit No. I 18
Case No. INT-G-16-02
D. Klein, Staff
12/1 6/16 Page 2 of2
Jan
lntermountain Gas Company CSC Service Levels
I---1---
I---1---
1--•2014
• 2015
I--I---I--• 2016
-I---
I---I-----
I--1---I-----
Feb Mar Apr May June July Aug Sept Oct Nov Dec
The CSC Metrics are for calls received from lntermouintain Gas customers between 7am and 7pm Mountain Time.
Avista Credit Tracking Report -Idaho
October 2016
Non-Low Income Low-Income*
1. Accounts 115199 4148
2. Accounts with Moratoriums 1185 276
3. Accounts with Arrears 15306 1607
4. Total Arrears Amount $1,490,084.63 $214,848.91
5. Number of Payment Agreements 2121 399
6. Total Payment Agreement Arrears $477,399.82 $96,010.74
7. Number of Payment Agreements with Moratoriums 210 70
8. Past Due Notices 4230 684
9. Past Due Notice Collect Amount $873,448.69 $135,857.18
10. Final Notice Letter 4215 688
11. Disconnects for Non-Pay 394 69
12. Total Collect Amount at Disconnect $74,633.01 $13,477.97
13. Same Day Reconnects 292 44
14. Reconnects within 1 week 70 16
15. Total Dollars Written Off (gross) $72,533.07 $13,577.69
16. Write Offs due to Bankruptcy $2,074.72 $134.46
17. Total Kwh Billed 68940169.53 2713978.5
18. Total Therms Billed 1991968.68 36926.46
Data is gathered on approximately the first business day of the following month.
Credit Tracking Definitions
* Low-Income: Accounts receiving LIHEAP Energy Assistance within last 12 months.
1. Accounts: Accounts are metered service of electric and/or gas services and active at the time the data is gathered. Typically one account is
associated with a specific service address, customers can have multiple accounts.
2. Accounts with Moratoriums: Accounts with an enrollment date for Moratorium within the last 12 months and are active at the time data is
gathered.
3. Accounts in Arrears: Accounts with a past due balance (Arrears Amount) and active at the time data is gathered. Comfort Level Billing (levelized
pay) accounts with a past due amount are included.
4. Number of Payment Agreement with Moratoriums: Accounts with payment agreement and an enrollment date for Moratorium within the last 12
months and are active at the time data is gathered.
5. Reconnects within 1 week: Accounts where service was reconnected within 5 calendar days of disconnect, excluding same day reconnects.
Reconnects reported this month can be for disconnects which occurred in the last week of the last month.
6. Total Dollars Written Off: Gross write offs.
7. Write Offs Due to Bankruptcy: Gross write offs due to bankruptcy and reported based on the date the Company is notified of the final judgment.
December 9, 2016
Exhibit No. 119
Case No. INT-G-16-02
D. Klein, Staff
12/1 6/16 Page 1 of3
IDAHO POWER COMPANY
Low Income Tracking Report for October 2016
Non Low Income Low Income
Residential Residential
Key Description Contracts Contracts •
L01 Contracts 435,494 9,716
L02 Contracts with Winter Moratoriums
L03 Contracts with Arrears 91 ,723 4,088
L04 Total Arrears Amount $ 10,533,153 $535,043
L05 Past Due Notices Mailed 30,314 1,378
L06 Past Due Notice Amount $8,519,531 $367,780
L07 Final Disconnect Notices 12,859 644
L08 Disconnects for Non-Pay 3,064 245
L09 Total Collect Amount at Disconnect $3,626,308 $170,490
L10 Same Day Reconnects 2,292 73
L11 Reconnects within 5 Business Days 2,801 102
L12 Total $ Written Off $261,374 $34,599
L13 Write-offs due to Bankruptcies in Idaho $2,719
• Low Income contracts are those receiving an energy assistance payment within the past 12
months.
Line Item Notes:
L01) Contracts are individual metered electric service contracts, active during any portion of
the reporting month. Customers can have multiple service contracts on an account.
Customers can also have multiple accounts.
L02) Active service contracts assigned to the moratorium collection path.
L03) Count of service contracts that are in a 31 + days arrears status at the end of the current
revenue month.
L04) Total$ amount of service contracts that are in a 31 + days arrears status at the end of
the current revenue month.
L 11) Count of reconnects that were performed within 5 business days of disconnects for non
payment, including same day reconnects.
L 12) Total amount written off including bankruptcies. Total$ Written Off includes only the
account balance at the time it is written off.
11/1/16 5:03:13 AM GMT-06:00 BW-CS003 Page 1
Exhibit No. 119
Case No. INT-G-16-02
D. Klein, Staff
12/16/16 Page 2 of 3
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
ROCKY MOUNTAIN
POWER
A OM$,()1'<0,M(II-
State of Idaho Low-Income Tracking Report
October 2016
Non-Low-Income
Residential
Agreements
Agreements2 61,161
Agreements with Moratoriums (past 12 months) 310
Agreements with Arrears 4 8,397
4 Total Arrears Amount ($) $1,251,576.54
Past Due Notices 3,621
Past Due Notice Collect Amount ($) $1,145,797.98
Final Notice Letter 3,024
Disconnects for Non-Pay 44
Total Collect Amount at Disconnect ($) $34,720.34
Same Day Reconnects 20
Reconnects within 1 Week' 30
Total $s Written-off 5 $58,822.28
Write-offs due to bankruptcies filed in Idaho 6 $12,037.21
Total kWh Billed 42,517,098
Report Notes:
Low-lncome1
Residential
Agreements
1,193
85
483
$107,138.40
243
$78,876.90
233
0
$0.00
0
0
Not broken out
$0.00
851,559
1.) Low-Income Agreements are those receiving an energy assistance payment within the past 12 months.
2.) Agreements are individual metered electric services active during any portion of the report month. Customers can
have multiple agreements on an account. Customers can also have multiple accounts.
3.) Reconnects in this month can be for disconnects which occurred in the last week of the prior month. Reconnects
include only those where payments to reconnect are provided within 5 working days. Customers making payments after
5 working days are not included as a reconnect in this report.
4.) Arrears and the number of agreements in arrears are based on a snap-shot 2 days prior to the report date. Arrears
are included on agreements that are active during any portion of the report month.
5.) Write-offs occur 180 days after the closing bill due date or at the time of a bankruptcy filing. The total residential
write-off for metered service is not broken out for low-income and non-low income residential service since all
agreements in this report were active sometime during the report month and low-income agreements are identified by
energy assistance payments within the last 12 months.
6.) All Idaho residential agreements included in the bankruptcy claim are included even though they may not have been
active for an extended period. Claims filed in other states are not included even if an Idaho agreement was included in
the bankruptcy claim.
Thursday, November 03, 2016
Exhibit No. 119
Case No. lNT-G-16-02
D. Klein, Staff
12/16/16 Page 3 of3
CERTIFICATE OF SERVICE
I HEREBY CERTIFY THAT I HAVE THIS 16TH DAY OF DECEMBER 2016,
SERVED THE FOREGOING DIRECT TESTIMONY OF DANIEL KLEIN, IN CASE
NO. INT-G-16-02, BY MAILING A COPY THEREOF, POSTAGE PREPAID,
TO THE FOLLOWING:
MICHAEL P McGRATH
DIR -REGULA TORY AFFAIRS
INTERMOUNT AIN GAS CO
PO BOX 7608
BOISE ID 83707
E-MAIL: mike.mcgrath(@intgas.com
BRADMPURDY
ATTORNEY AT LAW
2019 N 17TH STREET
BOISE ID 83702
E-MAIL: bmpurdy(@hotmail.com
CHAD M STOKES
TOMMY A BROOKS
CABLE HUSTON LLP
1001 SW 5TH AVE STE 2000
PORTLAND OR 97204-1136
E-MAIL: [e-mail]
tbrooks(@cablehuston.com
BENJAMIN J OTTO
ID CONSERVATION LEAGUE
710 N 6TH STREET
BOISE ID 83702
E-MAIL: [e-mail]
PETER RICHARDSON
GREGORY MADAMS
RICHARDSON ADAMS PLLC
515 N 27TH STREET
BOISE ID 83702
E-MAIL: [e-mail]
gre g@ri chardsonadams. com
RONALD L WILLIAMS
WILLIAMS BRADBURY
1015 W HAYS ST
BOISE ID 83702
E-MAIL: [e-mail]
EDWARD A FINKLEA
EXECUTIVE DIRECTOR
NW INDUSTRIAL GAS USERS
545 GRANDVIEW DR
ASHLAND OR 87520
E-MAIL: [e-mail]
ELECTRONIC ONLY
MICHAEL C CREAMER
GIVENS PURSLEY LLP
E-MAIL: [e-mail]
F DIEGO RIV AS
NW ENERGY COALITION
1101 8TH AVENUE
HELENA MT 59601
E-MAIL: [e-mail]
SCOTT DALE BLICKENSTAFF
AMALGAMATED SUGAR CO LLC
1951 S SATURN WAY
STE 100
BOISE ID 83702
E-MAIL: [e-mail]
CERTIFICATE OF SERVICE
KEN MILLER
SNAKE RIVER ALLIANCE
PO BOX 1731
BOISE ID 83701
E-MAIL: [e-mail]
LANNY L ZIEMAN
NAT ALIE A CEP AK
THOMAS A JERNIGAN
EBONY M PAYTON
AFLOA/JA-ULFSC
139 BARNES DR STE 1
TYNDALL AFB FL 32403
E-MAIL: lanny.zieman. l @us.af.mil
Natalie. cepak.2(@,us.af. mi I
[e-mail]1
[e-mail]
ANDREW J UNSICKER MAJ USAF
AFLOA/JACE-ULFSC
139 BARNES DR STE 1
TYNDALL AFB FL 32403
E-MAIL: [e-mail]
CERTIFICATE OF SERVICE