20040913_943.pdf

DECISION MEMORANDUM
TO:CO MMISSI 0 NER KJELLAND ER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
LEGAL
WORKING FILE
FROM:CAROL COOPER
DATE:SEPTEMBER 9, 2004
SUBJECT:CHARLOTTE TAYLOR COMPLAINT WITH IDAHO POWER
COMPANY TRANSFER OF $999.01.
BACKGROUND
On August 13, 2004, the Commission Staff received a faxed informal complaint from
Michael F. McCarthy, Attorney at Law on behalf of Charlotte Taylor (Attachment 1). This
complaint states that Ms. Taylor lives at 1314 Main Avenue, Apt. D, Buhl, Idaho and is where
she receives service from Idaho Power Company. Ms. Taylor claims that she was not aware she
would be held responsible for payment of bills for service provide to residences where her son
lived over the past one and one-half years. This dispute is regarding $999.01 that was transferred
to her primary residential account on July 2 2004.
ST AFF INVESTIGATION
Commission Staff investigated the informal complaint and determined that the transfer of
$999.01 is a valid transfer of debt. The sequence of events is as follows:
March 31 , 2003 Service at 416 13th Avenue N in Buhl in the name of James Taylor was cut
for non-payment. The same day Idaho Power records show that Charlotte
Taylor called requesting that electric service be reconnected at this same
address under her own name. Ms. Taylor stated she is the landlord and that
J ames is moving out; she is going to include utilities in with her rent. She
was advised she would be held financially responsible. All bills were in the
DECISION MEMORANDUM SEPTEMBER 9 2004
May 19, 2003
August 15, 2003
September 8 , 2003
May 28, 2004
July 2, 2004
August 2, 2004
August 12, 2004
name of Charlotte Taylor and mailed to her primary residence of 1314
Main Street, D in Buhl, Idaho.
Charlotte Taylor called Idaho Power and requested that power be
disconnected at the 416 13th Ave N address, and to establish new service at
125 8th Ave N, Buhl in her name. An error was made in this transaction
and the mailing address for the bills was changed to the service address.
Three billing statements, May 21 , June 20, and July 22, 2003 were
incorrectly mailed to 125 8th Avenue N.
Charlotte Taylor called Idaho Power because she had not been receiving the
bills. At her request Idaho Power corrected the mailing address for service
at 125 8th Avenue N to her Main Street address.
Charlotte Taylor called Idaho Power and requested that power at the 125
8th Ave N, Buhl address be disconnected and power at 3966 N 1100 E be
established in her name.
Charlotte Taylor called Idaho Power and requested service be disconnected
as of June 1 2004 at the 3966 N. 1100 E, Buhl address. Service was
disconnected on June 1 2004.
Idaho Power mailed a Letter of Transfer in the amount of$999.01 for
unpaid services accumulated at the above addresses.
Charlotte Taylor called Idaho Power to dispute the charges.
Idaho Power mailed a letter to Mr. Michael McCarthy agreeing to enter into
a 12-month payment plan of$147 per month, which would cover the
arrearages and the estimated annual usage at 1314 Main Avenue.
DECISION MEMORANDUM SEPTEMBER 9, 2004
August 19, 2004
August 24, 2004
August 25 , 2004
August 27 2004
Staff verbally gave its findings to Michael McCarthy. Alternative payment
arrangements were discussed and presented to Idaho Power in an attempt to
spread the payments out for a 24-month period of time for Ms. Taylor.
Idaho Power rejected this offer, providing additional information about the
account history. Staff determined that spreading payments out over two
years was unreasonable due to previous broken payment arrangements, the
size of the debt, and the fact that no payment had been received since May
2004. At this point, Ms. Taylor owed $88.95 for her service at 1314
Main Avenue. This amount was not in dispute.
Staff received a faxed letter from Mr. McCarthy offering a $50 payment
around September 1 and $101 per month beginning in October to cover
both future usage and the $999.01 arrearage over a two-year period of time.
Staff faxed a letter of findings to Mr. McCarthy stating that Ms. Taylor is
the responsible party on the account and the 12-month payment plan
offered by the Company is reasonable.
Prayer for Relief' faxed to the Commission by Mr. McCarthy.
(Attachment 2) The prayer of relief asks that the Commission find:
1. That Ms. Taylor did not receive electrical services at 416 13th Ave., 125
8th Ave. No., and 3966 North 1100 East, Buhl.
2. That Idaho Power Company knew Mrs. Taylor did not receive power at
those residences.
3. Find this is a guaranty which must be in writing pursuant to Idaho Code
~ 9-505(2). (Attachment 3)
4. Find this is an unauthorized transfer of one account billing to Mrs.
Taylor s billing.
5. Order Idaho Power Company to cease threatening to terminate Mrs.
Taylor s services at 1314 D, Buhl, Idaho.
6. For such other and further relief as the Public Utilities Commission
deems just and proper.
DECISION MEMORANDUM SEPTEMBER 9, 2004
STAFF FINDINGS & RECOMMENDATION
Although Charlotte Taylor may not have lived at any of the addresses where the arrearage
was incurred, the bills were in her name and she was the party that started and stopped services
and made payments and payment arrangements on the account. The bills in question are
Charlotte Taylor , not her son s bill, even though he apparently received the benefit of service.
Charlotte Taylor was the sole name on each of the accounts in question. According to IDAP A
31.21.01206., which addresses Responsibility for Payment of Bills
, "
customer" is defined as
a customer whose name appears on the utility s regular bill for residential service or who signed
a written application for service or other document informing the customer that he or she was
assuming an obligation for payment of service." There is nothing in PUC rules that would
prevent a customer from having more than one residential account. The accumulation of debt
totaling $999.01 owed by Charlotte Taylor was legitimately transferred to her existing account as
allowed under Rule 206. Pursuant to Rule 302, Idaho Power can disconnect service to a
customer where legitimate bills are owing.
The Company has set aside the $999.01 plus interest until the Commission makes a
decision. Idaho Power will pursue collection on the unpaid past due balance for usage at Ms.
Taylor s primary residence. This amount has not been disputed.
Staff finds no basis to initiate a formal case and recommends that the Commission not
initiate a formal complaint.
COMMISSION DECISION
Does the Commission agree that there is no basis for initiating a formal complaint?
Alternatively, does the Commission wish to accept Mr. McCarthy s request for a formal process
and issue a summons to Idaho Power?
&1/~1rf
Carol Cooper
udmemos/Charlotte Taylor
DECISION MEMORANDUM SEPTEMBER 9, 2004
08/13/2004 10: 49 FAX [phone] I daho Legal Ai d 141 002
Michael F. McCarthy
Attorney at Law
IDAHO LEGAL AID SERVICES , INC.
475 Polk Street
P. O. Box 1296
Twin Falls, ill 83303-1296
[phone]
Attorney for Clailnant
BEFORE THE PUBLIC UTILITIES COl\1M:ISSION'
FOR THE STATE OF IDAHO
1314 D Main, Buhl Id 83843
Acct #12 884 789-
COMPLAINT
CHARLOTTE TAYLOR
COMES NOW the Charlotte Taylor and Rule 402 of the Utility Customer Relations
Rules~ complains and alleges as follows:
Charlotte Taylor is a 71 year old customer of the Idaho Power Company ("!PC"
She ves at 1314 Mail1 Ave., Apt. D;J Buhl, Idaho where she receives service from IPC.
Ms. Taylor s son, James Taylor, lived in a mobile home located at 3966 N 1100 E,
Buhl, ill.
Ms. Taylor s son had some physical problems that made him. unemployable. As a
result, he began having trouble paying his bills. He was also forgetting to pay his bills.
February of 2003 he had back surgery.
COlVlPLAJNT ~ 1
Attachment 1
Page 1 of 4
08/13/2004 10: 49 FAX [phone] I daho Legal Ai d !4J 003
Ms. Taylor was trying to assist her son with his bills. He was not always paying
attention to his bills. She was occasionally lending him money to pay his bills. She even sought
out public assistance to help him with his power bill.
In a phone conversation with an Idaho Power representative, Mrs- Taylor asked
Idaho Power to begin sending her son s bills to her. Apparently, Idaho Power assumed she was
placing the service for her son s residence in her name.
On infonnation and belief, sometime on or around June 1 2004, the power to the
\'
\1 mobile home located at 3966 North, 1100 East, was temrinated for non payment of the bill.
'\ \.-\- \" \~~,.-.../ "
~J\ D /' ;', i .
\ ./ "
'v'
o.p: 2004 was $983.92.
, \
8. The account balance for the mobile home bin was transferred to Mrs Taylor
The balance owed for. the property located at 3966 North 1100 East, as of June of
account for her residence at 1314 Main Avenue, Apt. D, BOOl. This made the balance on that
account $1 074.12.
On or around July 27, 2004 Mrs Taylor was sent an "Initial Reminder Notice
demanding payment for. 074.12 and threatening to terminate her electlicaJ service if payment
in full of$I 074.12 was not made before August 9 2004.
10.Mrs- Taylor protests the tennination of service to her residence at 1314 Main Ave.
D, Buhl, for the non payment of the bill inCUITed at the mobile home "located at 3966 North, 1.100
East
11.Mrs. Taylor, through counsel wrote to Idaho Power on August 5 2004. An
informal conference with Idaho Power was held on August 11, 2004. Idaho Power has indicated
COMPLAINT ~ 2
Attachment 1
Page 2 of 4
08/13/2004 10: 50 FAX [phone] Idaho Legal Aid 141 004
it intends to shut off Mrs. Taylor s Power on August 13 2004 un.1ess payment or suitable
arranger:o.ents are made.
12.Mrs. Taylor has never resided at 3966 North 1100 East and has never received
service from Idaho Power at that location.
13.Mrs. Taylor dispute the Idaho Power bill of July 27, 2004 in the amount of
$1,074.12
14.Mrs Taylor asserts this is a tennination for the unpaid bill of another customer as
set forth at IDAPA 31.21.01 310 02.
PRAYER
WHEREFORE~ the Plaintiff prays for judgment as follows:
That the Public Utilities Commission find that Ms. Taylor did not receive services
at 1100 East.
That the Public Utilities Commission find this is an illegal transfer of her son
account to Mrs. Taylor.
That the Public Utilities Commission find she is not in arrears on her payment of
electrical services for her primary residence.
That the Public Utilities Commission order Idaho Power to cease threatening to
tenmnate Mrs. Taylor s services for failing to pay the bill on the account for 3966 North 1100
East, Buhl, Idaho.
COMPLAINT - 3
Attachment 1
Page 3 of 4
08/13/2004 10: 50 FAX [phone] Idaho Legal Aid
For such other and further relief as the Public Utilities COmnllSSiOD deems just
and proper.
DATED this ii day of August) 2004.
CERTIFICATE OF MAILING
I, Michael F. McCarthy~ hereby certify that on the 13th day of Augl.lSt, 2004, I served a
true and con-ect copy of the within COMPLAINT upon the following interested party(s), mailed
certified with postage prepaid to:
Mr. Randy Green
Customer Service Supervisor
Idaho Power CoJnpany
O. Box 30
Boise, Idaho 83721
Also Sent Via Facsimile To:
Public Utilities Commission
O. Box 83720
Bosie, Idaho 83720-0074
COMPLAINT - 4
. ~
r"IlVllC ael.v. r c\."a, Y
Attorney for Petitioner
I4J 005
Attachment
Page 4 of 4
08/27/2004 14: 08 FAX [phone] Idaho Legal Aid I4I 002
Michael F. McCarthy~ ISB #3448
Attorney at Law
IDAHO LEGAL AID SERVICES, INC.
475 Polk Street
P. O. Box 1296
Twin Falls, 10 83303-1296
[phone]
[phone] (fax)
Attorney for Complainant
BEFORE THE PUBLIC UTILITIES COMMISSION
FOR THE STATE OF IDAHO
INRE:
1314 D Main, Buhl Id 83843
Acct. #12 884 789-
COMPLAINT
CHARLOTTE T AYLOR CASE NO.
COMES NOW Charlotte Taylor and pursuant to Rule 51 (IDAPA 31.01.01, 051) of the
Rules of Procedure of the IPUC, complains and alleges as follows:
Charlotte Taylor isa 71 year old customer of the Idaho Power Company e'lPC"). She
lives at 1314 Main Ave., Apt. D, Buhl Idaho where she receives service from !PC.
In February 2003, Ms, Taylor s son, James Taylor, lived in. a home located at 416 13th
Avenue) Buh1, Idaho.
Ms. Taylor s son had physical problems that made him unemployable. In February of
2003 he had back surgery. He was having trouble paying his bills- He was also forgetting to pay his
COMPLAINT -
Attachment 2
Page 1 of 5
08/27/2004 14:08 FAX [phone] I daho Legal Aid r4I 003
bills.
Ms. Taylor was assisting her son with his bills. She was occasionally lending hirn
money to pay his bills. She even sought out public assistance on his behalf to help him with his power
bill.
Sometime in the Spring of 2003 , in a phone conversation with an Idaho Power
representative, Mrs. Taylor asked Idaho Power to send her son s power bilJ at 416 13th Avenue to her.
ApparentlY7 Idaho Power assumed she was placing the service fOT her son s residence in her name.
She did not sign a contract. JaInes Taylor subsequently moved to 125 8th Ave. North., and a mobile
home located at 3966 N 1100 E, BuhlJ Idaho.
On information and b~1ief, somet~me on or around June I ? 2004J the power to her son
r~sidence was terminated for non payment of the bill.
Including costs and late charges) the balance owed for the property located at 3966
North 1100 East, as of July 1,2004 was $999.61..
On July 2, 2004, th~ account balance for the 11lobile home-bill was transferred to Mrs
Taylor s account for her residence at 1314 Main Avenue, Apt. D, BuhL This D1ade the balance on
that aCcoW1t $1 074.12.
On or around July 27, 2004, Mrs Taylor was sent an "Initial Reminder Notice
demanding payment for $1 074.12 and threatening to tenninate her electrical service if payment in full
of$1,O74.12 was not made before August 9, 2004.
10.Mrs. Taylor protested the termination of service to her residence at 1314 Main Ave. D,
Buhl, Idaho, for the non payment of the bill incUlTed at 416 13d\ Ave., 125 8th Ave. N., and the mobile
COMPLAINT - 2
Attachment 2
Page 2 of 5
08/27/2004 14:08 FAX [phone] I daho Legal Ai d 14I004
home located at 3966 North, 1100 East.
11.Mrs- Taylor, through co\.U1Sel, wrote to Idaho Power on August 5, 2004- A11 informal
conference with Idaho Power waS held on August 11 , 2004. Idaho Power indicated
it intends to shut offMTs- Taylor s Power OIl August 13) 2004 unless payment or suitable arrangements
are made-
12-Mrs. Taylor has never resided at 416 13th Ave-, 125 8th Ave. No., or 3966 North
1100 East, Buhl, Idaho, and has never received electrical service from Idaho Power at those locations-
13.Idaho Power Company knew Mrs- Taylor was not receiving electrical service at 416
13th Avenue, 125 8th Avenue, or 3966 North, I 100 East, BOOl Idaho-
14.Because Mrs. Taylor is not the recipjent ofsex-vice, and Idaho Power Company knew
another person was receiving the service~ Mrs. Taylor is a guarantor of the services provided to her
son.
15.There is no writing to document this guarantee.
16.Idaho C'ode 9-505(20 provides that a promise to answer for the debt, default or
miscarriage of another must be in writing.
17.Because of the lack of a writing, Idaho Power Company cannot hold Mrs. Taylor liable
for the debts incurred by her son, and consequently~ can not tenninate the service to her residence.
PAA YER
WHEREFORE, the Plaintiff prays that the Public Utilities Commission find:
CO l\1P LAINT - 3
Attachment 2
Page 3 of 5
08/27/2004 14: 09 FAX [phone] I daho Legal Ai d 141 005
That Ms. Taylor did not receive electrical services at 416 131h Ave., 125 81h Ave. No.
and 3966 North 1100 Eas~ Buhl, Idaho.
That Idaho Power Company knew Mrs- Taylor did not receive power at those
residences.
Find this is a guaranty which must be in writing pursuant to Idaho Code 9~505(2).
Find this is an unauthorized transfer of one account billing to Mrs Taylor s billing.
Order Idaho Power Company to cease threatening to tenninate Mrs. Taylor s services
at 1314 D, Buhl, Idaho.
For such other and further relief as the Public Utilities Commission deems just and
proper.
D ATED thi~daY of August, 2004.
COMPLAINT - 4
Attachment 2
Page 4 of 5
08/27/2004 14:09 FAX [phone] Idaho Legal Aid f4JO06
CERTIFICATE OF MAILING
, Michael F. McCarthy~ hereby certify that on the 27th day of August, 2004~ I served a true
and conect copy of the within COMPLAINT upon the following interested party(s), mailed certified
wi th postage prepaid to =
Mr. Randy Green
Customer Service SupervisoT
Idaho Power Company
O. Box 30
Boise, Idaho 83721
Also Sent Via Facsimile To;
Public Utilities Commission (7 copie5)
O. Box 83720
Hosie, Idaho 83720-0074
Also ent Via Facsimile To:
COl\1PJ..AINT - 5
Attachment 2
Page 5 of 5
Idaho Statutes http://www:i .state.id. us/cgi-bin/newidst?sctid=090050005.
Idaho Statutes
TITLE
EVIDENCE
CHAPTER 5
INDISPENSABLE EVIDENCE - - STATUTE OF FRAUDS505. CERTAIN AGREEMENTS TO BE IN WRITING. In the following cases the
agreement is invalid, unless the same or some note or memorandum thereof, be
in writing and subscribed by the party charged , or by his agent. Evidence,therefore , of the agreement cannot be received without the writing or
secondary evidence of its contents:1. An agreement that by its terms is not to be performed within a yearfrom the making thereof.
2. A special promise to answer for the debt, default or miscarriage ofanother, except in the cases provided for in section 9-506, Idaho Code.
3 . An agreement made upon consideration of marriage, other than a mutual
promise to marry.
4 . An agreement for the leasing, for a longer period than one (1) yearor for the sale, of real property, or of an interest therein , and such
agreement, if made by an agent of the party sought to be charged, is invalid,
unless the authority of the agent be in writing, subscribed by the party
sought to be charged.
5. A promise or commitment to lend money or to grant or extend credit in
an original principal amount of fifty thousand dollars ($50,000) or more , made
by a person or entity engaged in the business of lending money or extendingcredi t
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Attachment 3
Page 1 of
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