20150827final_order_no_33367.pdf

Office of the Secretary
Service Date
August 27,2015
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF QUESTAR GAS )
COMPANY’S PETITION TO CLARIFY ITS )CASE NO.QST-G-15-O1
SERVICE TERRITORY BOUNDARIES )
_____________________________
)ORDER NO.33367
On June 22,2015,Questar Gas Company petitioned the Commission for an Order
clarifying that its certificated service area boundaries include all of Franklin County,Idaho.The
Commission then issued a Notice of Petition and Notice of Modified Procedure and set deadlines
for interested persons to file comments in this case,and for the Company to file reply comments.
See Order No.33335.Commission Staff filed the only comments in the case,and supports the
Company’s Petition.
Having reviewed the record,we grant the Company’s Petition as specified below.
THE PETITION
In its Petition,Questar explains that,in 1990,its predecessor,Mountain Fuel Supply
Company,applied to the Commission for an Order allowing Mountain Fuel Supply to provide
“natural gas service to communities in Franklin County,the town of Franklin,the city of Preston,
and other communities in the vicinity of the proposed extension where service is determined to
be economically feasible.”Petition at 1-2.Questar explains that the Commission ultimately
granted Mountain Fuel Company’s request and issued Certificate No.315,which requires
Mountain Fuel Company and its successors to provide natural gas service “in the southeast Idaho
County of Franklin and the Franklin County cities of Franklin and Preston....“Id.at 2,quoting
Order No.23282 at 6,and Certificate No.315.Mountain Fuel Company and its successor,
Questar,have served the cities of Preston and Franklin since that time.Id.at 1-2.
Questar’s Petition states that entities in Dayton,another city in Franklin County,have
recently asked Questar to provide natural gas service in the Dayton area.Questar believes
Certificate No.315 authorizes it to serve all of Franklin County,including Dayton.However,
Questar would like the Commission to issue an Order clarifying that fact.Id.at 2-3.
THE COMMENTS
Commission Staff filed the only comments in the case,and supports Questar’s
Petition.Staff notes that,besides the documents referenced in the Petition,the Commission also
issued a First Amendment to Certificate No.315,Case No.QST-G-01-01,which changed the
ORDER NO.33367
Certificate holder’s name from Mountain Fuel Supply Company to Questar Gas Company.
However,Staff notes that the First Amendment also described Questar’s service area as the
“southeastern portion of Franklin County,”and not the “Southeast Idaho county of Franklin”as
specified in the original Certificate.Staff is unclear why the First Amendment changed the
service area description;the case ostensibly involved only a name change.However,because
both the original Certificate No.315 and the First Amendment specifically reference Order No.
23282,which describes the service area as “the southeast Idaho County of Franklin”(Id.at 6),
Staff suspects the change in the service area description was inadvertent.Staff believes
Questar’s service area is most accurately described in Order No.23282 and original Certificate
No.315,and includes all of Franklin County.
Staff opines that allowing Questar to serve all of Franklin County does not conflict
with any other utility providing natural gas service in Idaho,and is consistent with Commission
Order No.23282.Staff notes that Questar ultimately would serve Dayton under the line
extension provisions described in Questar’s Utah Natural Gas Tariff PSCU 400,and specifically
under provisions 9.03 (Main Extensions —Company Installed)and 9.04 (Service Line Extensions
—Company Installed).Staff opines that Questar’s existing Idaho customers would not be
adversely impacted if Questar were to serve Dayton under these provisions.
For these reasons,Staff recommended the Commission find it is in the public interest
to:
(1)Issue a Second Amendment to Certificate No.315 that clarifies the service
territory includes all of Franklin County,as requested by Questar,with
references to the Southeastern portion of Franklin County and the cities of
Franklin and Preston being deleted;and
(2)Direct Questar to provide the Commission with copies of all documents
filed with Utah for the permitting,construction and operation of Questar’s
system to provide gas service to Dayton,including without limitation the
calculation of the surcharge,the underlying workpapers documenting the
components of the surcharge calculation,and the cost-benefit analysis
demonstrating the feasibility of the service.
DISCUSSION AND FINDINGS
Questar is a gas corporation and public utility.The Commission has jurisdiction over
Questar and the matters in this case under Title 61 of the Idaho Code.Based on our review of
the record,we find it is in the public interest to grant Questar’s Petition by clarifying prior Order
ORDER NO.33367
No.23282 and Certificate No.315 and establish that Questar’s service territory includes all of
Franklin County,Idaho.We find that the First Amendment to Certificate No.315,which was
“predicated upon and issued pursuant to the findings contained in Order No.23282,”
misdescribed the service area as noted above.And that notwithstanding the First Amendment to
Certificate No.315,Questar’s service area remains “the southeast Idaho County of Franklin”as
described in Order No.23282.We thus find it reasonable to issue a Second Amended Certificate
No.315 that clarifies the service area includes all of Franklin County.
We also find it reasonable to direct Questar to provide the Commission with copies of
all documents it files with Utah related to the permitting,construction and operation of Questar’s
system so Questar can provide gas service to Dayton or areas in Franklin County that Questar
does not currently serve.Further,as the Utah Public Service Commission and this Commission
have entered into a contract under which the Utah Public Service Commission regulates
Questar’s service in Idaho (see Order No.23282,attaching the Contract for Regulatory
Services),we find it reasonable to direct that copies of the Petition,this Order,and the Second
Amendment to Certificate No.315 be served on the Utah Public Service Commission.
ORDER
IT IS HEREBY ORDERED that a Second Amendment to Certificate No.315 shall be
issued to Questar Gas Company that describes the service area to include all of Franklin County,
Idaho.
IT IS FURTHER ORDERED that the Company shall promptly provide the
Commission with copies of all documents it files with Utah related to the permitting,
construction,and operation of Questar’s system to serve Dayton or other areas in Franklin
County that Questar does not currently serve.
IT IS FURTHER ORDERED that copies of the Company’s Petition,this Order,and
the Second Amendment to Certificate No.315 shall be served on the Utah Public Service
Commission.
THIS IS A FINAL ORDER.Any person interested in the Order (or in issues decided
by this Order)may petition for reconsideration within twenty-one (21)days of the service date of
this Order with regard to any matter decided in this Order and in this case.Within seven (7)days
after any person has petitioned for reconsideration,any other person may cross-petition for
reconsideration.See Idaho Code §6 1-626.
ORDER NO.33367 3
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of August 2015.
PAUL KJE LA DER,PRESIDENT
/\
MARSHA H.SMITH,COMMISSIONER
KRITINE RAPER,COMMISSIONER
ATTEST:
Jtn D.Jewel/
‘itmmission Secretary
O:QST-G-15-Olkk3
ORDERNO.33367 4