20100804Comments on Stipulation and Settlement.pdf

Rowena Pineda
Idaho Community Action Network
3450 Hil Road
Boise, ID 83703
Ph: [phone]
Fax: [phone]
rowena~idahocan.org
RECEIVED
iOin AUG -4 PH I: 30
lDAHOPUE3Lh:;
UTiliTIES COMMISSiON
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION )
OF A VISTA CORPORATION DBA A VISTA )
UTILITIES FOR AUTHORITY TO INCREASE )
ITS RATES AND CHARGES FOR ELECTRIC )
AND NATURAL GAS SERVICES IN IDAHO)
CASE NO. AVU-E-10-01
AVU-G-10-01
COMMENTS ON THE STIPULATION AND SETTLEMENT
The Idaho Community Action Network (lCAN) submits the following comments in
response to the proposed Stipulation and Settlement.
Rate Impact Mitigation Plan
According to the Stipulation and Settlement, the electric rate impact to customers wil be
phased in, beginning on October 1, 2010, over three years. During the first year, customers will
see a rate increase of 3.59%, in the second year, the increase will be 3.92%, and in the third year,
the increase will be 1.74%. Admittedly, combined the rate increase is lower than the original
request of 14.6%. However, ICAN wants it noted that the increase wil impact Idaho families
whose wages have remained stagnant for several years. In Kootenai County, for example, Idaho
Deparent of Labor figures show that average wages rose by 1.34% from 1999 to 2009. In
Latah County, average wages rose by 1.25% from 1999 to 2009. In Nez Perce County, average
wages rose by 1.24% from 1999 to 2009. With increases in the cost of food and gasoline, this
rise in wages is negligible. Furhermore, the increase wil fuher hur those families whose heads
ICAN COMMENTS ON STIPULATION 1 August 4, 2010
of households are curently unemployed. Kootenai County's unemployment is curently at 10
percent, which is higher than the state average of 8.8 percent.
ICAN also wants to note that the rate increase will hur small businesses in Avista's
service territory. Members of the Idaho Main Street Allance, a coalition of small businesses in
the state, have expressed that they bear the disproportionate impact of rate hikes since they are
considered residential customers, unike the bigger industries. Thus, it is hearening to see that
the stipulation and settlement include raising rates for big commercial customers to bring those
rates closer to what residential customers pay. However, this wil not mitigate small businesses,
which are viewed as the vehicles to get us out of this economic slump, from possibly having to
curil their growth due to higher rates.
If the rate increase is to be approved, I CAN strongly recommends that a rate moratorium
be put in place for 2011 and 2012. This wil prevent the possibility of another rate increase on
top of the ones that are scheduled to be implemented.
Rate Spread/Rate Design
As in previous rate cases, ICAN continues to oppose increasing the base rates, which
disproportionately impact low-income customers and customers on fixed incomes. Customers
are unable to avoid these rate increases by cutting down on their power usage. The PUC has
listened to consumers in the past, rejecting attempts by A vista and other utilities to raise base
rates.
ICAN would like to par of discussions regarding the first tier energy block for residential
electric service. Low-income families who are more likely to live in housing with little insulation
end up paying more in utility bils. We commend the weatherization efforts put forth by CAP AI
ICAN COMMENTS ON STIPULATION 2 August 4, 2010
and the company, but these fuds are limited. It would be advisable to increase the first tier to
reflect the usage of Avista's most vulnerable customers.
Customer Service Related Issues
ICAN would like to be par of discussions concernng Avista's deposit policy and
opening and closing customer accounts. Our work with low-income community members
provides us with insight on how these policies affect them.
ICAN appreciates and respects the efforts that went into this settlement. However, we do
believe that a rate moratorium needs to be put in place in 2011 and 2012 to ensure that no fuher
rate increases are proposed. We also oppose the increase in the base rate.
DATED this 4th day of August 2010.
Respectfully submitted,
~?~
Rowena Pineda
Executive Director
Idaho Community Action Network
ICAN COMMENTS ON STIPULATION 3 August 4, 2010
CERTIFICATE OF SERVICE.
I, the undersigned, hereby certify that on the 4th day of August, 2010, I served a copy of the
foregoing COMMENTS ON STIPULATION AND SETTLEMENT by email and hand delivery
to:
Hand delivery:
Jean Jewell
Commission Secretary
(Original and nine copies)
Idaho Public Utilties Commission
427 W. Washington St.
Boise, ID 83702-5983
Electronic Mail:
Kelly Norwood
David Meyer
A vista Corporation
PO Box 3727
Spokane, WA 99220-3727
kelly.norwood~avistacorp.com
david.meyer~avistacorp.com
Donald L. Howell, II
Kristine A. Sasser
Idaho Public Utilities Commission
472 W. Washington St.
Boise, ID 83702
Peter J. Richardson
Greg M. Adams
515 N. 27th St.
PO Box 7218
Boise, ID 83702
peter~richardsonandolear .com
greg~richardsonandoleary .com
Howard Ray
PO Box 1126
Lewiston, ID 83501
howard.ray~clearaterpaper.com
Dean J. Miler
420 W. Banock St.
Boise, ID 83702
ioe~mcdevitt -miler .com
ICAN COMMENTS ON STIPULATION 4 August 4, 2010
Larr A. Crowley
5549 S. Cliffsedge Ave.
Boise, ID 83716
crowleyla~aoi.com
Brad M. Purdy
Attorney at Law
2019 N 17th St.
Boise, ID 83702
bmpurdy~hotmail.com
Ken Miler
Snake River Alliance
PO Box 1731
Boise, ID 83701
kmiler~snakeriveralliance.org
Benjamin J. Otto
Idaho Conservation League
PO Box 844
Boise, ID 83701
botto~idahoconservation.org
Rob Pluid
Clark Fairchild
North Idaho Energy Logs
PO Box 571
Moyrie Springs, ID 83845
energylogs~gmail.com
Tom Oxford
Secretary Treasurer
North Idaho Energy Logs
oxford~meadowcrk.com
~~~.c
Rowena Pineda
ICAN COMMENTS ON STIPULATION 5 August 4, 2010