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August 27, 2010
TO: Jean Jewell
Idaho Public Utilities Commission Secretary
472 West Washington
Boise,ID 83702
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FROM: Ken Miller
Snake River Alliance
Ph: (208) 344-9161
Dear Ms. Jewell:
Please accept the attached letters to Commissioners Redford, Kempton and Smith regarding a
rule-making issue of interest to me and my employer, the Snake River Alliance.
Kindest regards,~-r~
Ken Miler
Clean Energy Program Director
Snake River Alliance
Box 1731 .
Boise, ID 83701
(208) 344-9161
kmiler(fsnakeri veralliance.org
ww.snakeriverallance.org
www.snakeriveralliance.org
Toll Free: 1.866.891.0178
Boise
PO Box 1731
Boise, Idaho 83701
208.344.9161 voice
208.331.0885 fax
Ketchum
PO Box 4090
Ketchum, Idaho 83340
208.726.7081 voice
Pocatello
PO Box 425
Pocatello, Idaho 83204
208.235.7212 voice
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August 27,2010
TO: Idaho Public Utilities Commission
Commissioner Mack Redford
Commissioner Jim Kempton
Commissioner Marsha Smith
Don Howell, Director, Legal Division
472 West Washington
Boise, ID 83702
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FROM: Ken Miler
Snake River Alliance
RE: Proposed Changes to IPUC Rule 43
Dear Commissioners Redford, Kempton, and Smith and Mr. Howell:
On behalf of the Snake River Allance, I am writing to express my concern about a proposed rule
regarding standards for paricipation in certain matters before the Idaho Public Utilities
Commission.
In paricular, we are concerned about the proposed change in Rule 43 (Representation of Paries)
as it pertains to restrictions in paricipation in administrative or quasi-judicial proceedings before
the Commission. More precisely, we are concerned about the likely impacts, intended or
otherwise, of the following proposed language:
04£: A municipal corporation; a state, federal, tribal, or local governent agency; an
unincorporated association; a non-profit organization or other entity shall be represented
by a licensed attorney.
The Alliance understands the genesis of the proposed rule and the Commission's attempt to
comply with recent Supreme Cour opinions. However, we believe the proposed change to Rule
43 goes beyond the court's intent inasmuch as it can disqualify vast segments ofIdaho's
population from paricipating in administrative or quasi-judicial matters that affect them most
intimately and that they take very seriously: The price they pay for utility costs that can present
odious obligations and budget decisions.
www.snakeriveralliance.org
Toll Free: 1.866.891.0178
Boise
PO Box 1731
Boise, Idaho 83701
208.344.9161 voice
208.331.0885 fax
Ketchum
PO Box 4090
Ketchum, Idaho 83340
208.726.7081 voice
Pocatello
PO Box 425
Pocatello, Idaho 83204
208.235.7212 voice
The Allance does not question the intent ofthe Commission's proposed rule. Rather, we
urge the Commission to rethink the language of this paricular rule and the ramifications
it wil have on the ability of non-profit and public interest organizations such as the
Snake River Alliance, which under this proposed rule would be excluded from
paricipation in critical stages of cases before the Commission.
The Allance represents many Idahoans who for obvious reasons are taking a greater
interest in matters before the Commission. Many of them are frstrated by what they
believe is an opaque system in which critical decisions are made out of public view. This
is amply evident in at least two recent general rate cases involving Idaho Power and
A vista Utilities that in the eyes of many were settled without benefit of adequate public
paricipation. As the Commission knows, the Snake River Alliance paricipated in both of
those cases.
In the pending Avista general rate case (AVU-E-1O-01, 2) we were granted intervenor
status and because of that we were able to paricipate in negotiations and we were able to
submit comments, like all paries, on the proposed settlement stipulation. In the Idaho
Power case (IPC-E-09-30) - which did not originate as a general rate case but which
settled as such - the Alliance again was a participant but only because the Allance was
invited to participate by the utilty by virtue of intervening in the prior general rate case.
Even in that case, the Allance's paricipation was acknowledged in a Commission news
release:
One of the participants, the Snake River Alliance, said "the revenue sharing, PCA
sharing, and rate case moratorium components of the settlement in this case serve
the company and its customers as well as possible in our curent economic times."
Examples of other dockets in which the Allance was accorded an opportunity to
participate as a party include the CPCN for the Langley Gulch Power Plant (IPC-E-09-
03) and the Idaho Power S02 Allowances Revenue Allocation (IPC-E-07-18). Prior to
joining the Alliance, I participated in dockets as the Idaho Energy Advocate for the NW
Energy Coalition, which I currently chair.
The Alliance is actively working to help its members and others better understand the
workings of the Commission and to make them more comfortable in paricipating before
the Commission in various forms.
The Commission is aware that, while the Alliance is an active paricipant in electric
cases, our requests to intervene in electric cases before the Commission are infrequent
and the Commission has been generous in allowing such paricipation. Should the
Commission preclude that participation in the future, the consequences may include:
. The Allance wil no longer be entitled to participate in the heart of what has
become a typical general rate case in Idaho. Such rate cases are increasingly being
"pancaked" on an anual or nearly anual basis, and paries rightly pursue
settlements whenever possible to avoid a prolonged contested proceeding.
· It is becoming clear that critical issues in these rate cases are discussed and often
resolved in negotiation sessions that are closed to the public.
· While the public is accorded an opportunity to comment in public meetings and in
written comments to the Commission, the second opportunity often comes after
key parties have reached a settlement stipulation.
Inasmuch as Idaho does not employ a public counselor consumer advocate to represent
the.interests of the vast majority of utility customers (and we strongly believe it should),
those interests are often represented by public interest organizations such as the Alliance.
We are aware that some Commission staff consider staff to fulfill this critical role, but we
are unconvinced that representation of the general customers is always staff s highest
priority. In states that do employ public counselor a consumer advocate, such
representation as an independent third pary proves invaluable. We believe it is asking too
much of staff to serve multiple functions.
Mindful of the Commission's need to comply with the Supreme Cour's ruling on these
matters, the Allance is interested in finding a solution to the above issues. One
possibility the Commission might consider is modifying its proposed rule by allowing the
Commission to grant intervention status in the rare quasi-judicial proceedings such as
those where the Alliance has requested it, but precluding the Alliance or other "non-profit
organizations" from offering direct testimony or cross-examining witnesses. As the
Commission knows, we are not attorneys and we rarely have a need to perform these
functions.
Our involvement is generally geared toward representing the interests of our members
and other individual utility customers through encouraging such things as reforms in rate
design, encouraging greater funding for low-income assistance and weatherization
programs, evaluating cost-effectiveness of demand-side management programs, and the
like. These are issues that are almost universally addressed or negotiated during
settlement discussions and negotiations - not after a stipulation is reached and then
through public comments.
Entities such as the Allance that lack the resources to secure legal counsel could and
should have the opportunity to engage as a pary in dockets such as a general rate case
and in settlement discussions when they occur.
In the overwhelming number of electric and gas cases before the Commission, the
Allance believes that participating in public workshops or submitting written comments
to the Commission sufficiently represents our position. We want to avoid prolonged
contested rate cases and other matters as much as any pary that appears before the
Commission, but we also believe that locking groups such as ours out of some of the
most sensitive discussions in some of the most important cases before the Commission
simply for our lack of ability to engage an attorney disadvantages our organization and
those we represent.
l
For the above-stated reasons, the Alliance urges the Commission to reconsider the
proposed language revisions contained in Rule 43. Should Commissioners determine a
meeting to further discuss this matter would be helpful, we would be pleased to do so.
Than you for your consideration of what, for my organization and the hundreds of
Idahoans we represent, is a very serious matter.
Kindest regards,~?n.~
Ken Miler
Clean Energy Program Director
Snake River Alliance
Box 1731
Boise, ID 83701
(208) 344-9161
kmillerCfsnakeriverallance.org
www.snakeriverallance.org
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