HomeMy WebLinkAbout20230816Application for Intervenor Funding.pdf IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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Marie Callaway Kellner (ISB No. 8470) 710 N 6th Street
Boise, ID 83701
(208) 537-7993 mkellner@idahoconservation.org Attorney for the Idaho Conservation League
F. Diego Rivas (MT State Bar No. 68806741, pro hac vice admission1)
1101 8th Ave Helena, MT 59601 (406) 461-6632 diego@nwenergy.org
Attorney for the NW Energy Coalition
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF AVISTA CORPORATION TO INCREASE ITS RATES AND CHARGES FOR ELECTRIC AND NATURAL GAS SERVICE FOR ELECTRIC AND NATURAL GAS CUSTOMERS IN THE
STATE OF IDAHO
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) ) ) ) )
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CASE NOS. AVU-E-23-01 AVU-G-23-01 APPLICATION FOR INTERVENOR FUNDING
IDAHO CONSERVATION LEAGUE AND NW ENERGY COALITION
COMES NOW the Idaho Conservation League (“ICL”) and NW Energy Coalition (“NWEC”,
jointly “ICL/NWEC”) pursuant to Idaho Code § 61-617A and IDAPA 31.01.01.161.165 with the
following application for intervenor funding. ICL/NWEC are joint intervenors by Order No. 35719 in the
above captioned rate case requested by Avista Corporation (“Avista” or “Company”). This application is
timely pursuant to Commission instructions and consent of parties at the August 2, 2023 technical hearing
to submit such applications by August 16, 2023. IDAPA 31.01.01.164. For the following reasons, an
award of intervenor funding is warranted.
1 Order No. 35718
RECEIVED
Wednesday, August 16, 2023 4:28:59 PM
IDAHO PUBLIC
UTILITIES COMMISSION
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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I. Idaho Code § 61-617A and IDAPA 31.01.01.161 Utility Requirement
Avista Corporation is a regulated electric and gas utility in the state of Idaho with gross intrastate
annual revenues exceeding three million and five hundred thousand dollars ($3,500,000).
II. Idaho Code § 61-617A and IDAPA 31.01.01.162 Intervenor Requirements
The requirements for an application for intervenor funding provided by I.C. § 61-617A and IDAPA
31.01.01.162 are set forth below. In each, an award for intervenor funding to ICL/NWEC is merited.
1. Itemized list of expenses
ICL/NWEC incurred compensable costs and expenses in this procedure. Idaho Code
empowers the Commission to award “legal fees, witness fees, and reproduction costs.” I.C. § 61-
617A. The attached Exhibit A is an itemized list of expenses incurred by ICL/NWEC in this
proceeding. Expenses include time by F. Diego Rivas, attorney for NWEC, Marie Callaway
Kellner, attorney for ICL, Brad Heusinkveld, ICL Energy Associate, and Lauren McCloy,
witness for ICL/NWEC. Broadly, ICL/NWEC reviewed the Company’s application, petitioned
for and were granted intervention, offered and reviewed relevant discovery, participated in
settlement talks, prepared topical witness testimony on the offered settlement, and appeared in
technical hearings to support our position. A more detailed account of expenses, time, and hourly
rates is included in Exhibit A. IDAPA 31.01.01-162.01. ICL/NWEC seek recovery of these legal
fees and costs. In all these efforts ICL/NWEC focused on a limited number of issues relevant to
our interests and aimed to use our time and the time of other parties efficiently. IDAPA
31.01.01.162.01.
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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2. Statement of Proposed Findings
ICL/NWEC proposes the commission maintain the Company’s current residential rate design and
reject movement to a $15 customer charge in year one and $20 in year two of the rate plan offered in the
settlement stipulation.2 ICL/NWEC participated in settlement negotiations but did not sign the resulting
stipulations. ICL/NWEC oppose increasing customer charges for the reasons offered both in the
Settlement Testimony of Lauren McCloy at the technical hearing.3 Briefly, ICL/NWEC maintain that the
proposed rate design does not meet principles of cost causation, disproportionally impacts low-income
and low-usage customers, blunts efficiency price signals and investment, provides financial benefit to the
Company without customer compensation, and is not justified by the rationale presented in the
Company’s Application. ICL/NWEC recommends the commission reject the rate design elements of
Avista’s application and the settlement. IDAPA 31.01.01.162.02.
3. Statement Showing Costs
ICL/NWEC request $9,005.75 of intervenor funding. Exhibit A shows a detailed account of
expenses. The hourly rates and time spent by ICL/NWEC staff and attorneys are reasonable for a complex
utility rate case. Attorney for NWEC, F. Diego Rivas, has a combined 13 years of direct policy
experience and as counsel practicing before Public Utility Commissions in Idaho, Montana, Oregon, and
Washington. The hourly rate of $150 is consistent with his experience and local markets. Witness Lauren
McCloy has ten years of energy policy experience in addition to other relevant education and experience.
Her requested hourly rate of $125 is also reasonable. ICL Energy Associate Brad Heusinkveld has one
year of experience in energy policy in addition to other education and experience in highly technical
fields. His requested rate of $125 is reasonable. Attorney for ICL, Marie Callaway Kellner, has 12 years
2 Settlement Stipulation at 18.
3 L. McCloy DI.
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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of legal and policy experience practicing in Idaho administrative procedures. Her requested rate of $175 is
also reasonable.
Avista’s general rate case is a wide ranging and highly complex matter. To effectively represent
their interests, ICL/NWEC reviewed the Company’s application, supporting materials, and discovery
before narrowing focus to a limited number of issues centered on the Company’s residential rate design
proposal. While ICL/NWEC considered other aspects of this matter, this limited scope of settlement
positions and following work prioritized the most impactful issues to our interests to respect limited time
and resources. Furthermore, ICL and NWEC jointly intervened to avoid duplicating efforts. Finally, the
requested travel costs to attend the technical hearing were limited directly related to the appearance of F.
Diego Rivas. Because the requested rates and costs are reasonable, time expended was prudent, and the
scope of work and costs were judiciously limited, the Commission should find ICL/NWEC’s requested
costs a “reasonable amount.” IDAPA 31.01.01.162.03.
4. Explanation of Costs Statement
The recovery of costs in this matter supports the work of ICL and NWEC in pursuing energy
policy in the public interest. ICL is a non-profit organization primarily funded through membership
donations, private grants, and endowment fund revenue. ICL does not have a direct financial interest in
the outcome of this case distinct from an Avista ratepayer.4 In this proceeding, we represent our members
and Avista ratepayers interested in energy conservation, a transition to clean energy, and an equitable
energy regulatory process. NWEC represents over 100 member organizations in the Northwest, including
eleven in Idaho, to pursue sustainable and equitable energy policy. NWEC is funded through membership
dues and individual donations. While ICL and NEWC each budget prudently for programmatic efforts,
this complex matter demanded considerable time and attention for staff from each organization to provide
“full and fair representation” before the Commission as stated in I.C. § 61-617A.
4 ICL rents office space in Sandpoint Idaho and is an Avista customer.
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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Full participation in utility regulatory processes like the matter at hand requires dedicated and
specialized professionals. NWEC retains a full staff of professionals with varied experiences in the energy
industry. The organization advocates in multiple jurisdictions and allocates staff time and resources in
matters that directly implicate its programmatic goals. Both F. Diego Rivas and Lauren McCloy maintain
numerous projects under NWECs normal budgeting processes. Attention to the issues in this case exacted
the kind of material and opportunity costs contemplated by the intervenor funding provisions of I.C. §
61-616A and IDAPA 31.01.01.162.
Similarly, ICL employs Brad Heusinkveld full time to pursue the organizations’ long running
clean energy and decarbonization goals. His work continues ICL’s decades-long presence before the
Commission. Participation in matters before the Commission occupies a substantial portion of his
portfolio. This work requires considerable specialized skills and awareness to provide effective,
professional advocacy for our members and interests. The matter at hand occupied substantial attention
and effort on behalf of ICL; claimed time in this request is less than actually expended.
Idaho PUC Rules of Procedure require a licensed attorney to represent organizations. IDAPA
31.01.01.043. F. Diego Rivas and Marie Callaway Kellner are both attorneys with considerable
experience in state administrative procedures. Their time and efforts were necessary for each
organization’s participation in this matter. By awarding full cost recovery here, the Commission will
“encourage participation in all stages of proceedings before the commission so that all affected customers
receive full and fair representation in those proceedings.” I.C. § 61-617A.
5. Explanation of Differences
ICL/NWEC materially differed from the position of the Commission Staff (“Staff”) on the
approval of the offered settlement and the rate design elements of this case. Throughout, ICL/NWEC
provided unique contributions on rate design and related issues in this case. No other intervenor party
made specific recommendations on rate design, nor represented a similar position as ICL/NWEC. While
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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the positions of parties during settlement negotiations remain confidential, ICL/NWEC are the only
participating party not to sign the stipulated settlement. Elsewhere, the Direct Testimony of Don English
in Support of the Settlement Stipulation for Staff endorses the proposed changes in rate design.5
ICL/NWEC specifically opposed this element of the stipulated settlement both in direct testimony6 and at
the technical hearing. These positions, both asserted in good faith pursuit of the public interest, are a
direct and material difference in position and advocacy between ICL/NWEC and Staff in this matter.
IDAPA 31.01.01.162.05.
6. Statement of Recommendation
ICL/NWEC recommends the Commission reject the rate design elements of the offered
settlement and maintain the residential customer charge at $7.00 per month. Should the commission
accept the settlement’s increased monthly customer charge, we recommend the Commission: 1) alter the
cost effectiveness calculation for energy efficiency spending to account for changes in efficiency program
and demand side management (“DSM”) resulting from the increased customer charge; 2) require Avista
increase funding for low-income weatherization and provide for bill discounts to offset increased costs to
low-income customers; and 3) open an investigatory docket on the relation of high customer charges and
revenue decoupling. These recommendations are made for the benefit of Avista customers, not for the
monetary benefit of either ICL or NWEC. We offer these recommendations in pursuit of our
organizational goals and sound energy policy in the public interest.
7. Statement Showing Customer Class
ICL/NWEC’s positions on residential rate design and related issues most directly apply to
Electric Residential Schedule 1. ICL and NWEC claim to represent their members and organizational
members who are Avista Electric Residential Schedule 1 customers.
5 English, DI at 13-14. 6 See, generally, L. McCloy, DI.
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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Conclusion
An award of intervenor funds to ICL/NWEC is merited in this case. Avista is a public utility
whose matters before the Commission are subject to recovery of intervenor funding. The foregoing
sections demonstrate that ICL/NWEC has met the individual requirements for an award of intervenor
funding identified in I.C. § 61-617A and IDAPA 31.01.01.162. An award of funds furthers the purpose of
I.C. § 61-617A to encourage full participation and representation of varied interests before the
Commission.
WHEREFORE, ICL/NWEC respectfully requests the Commission grant this application.
DATED: August 16, 2023
/s/ Marie Callaway Kellner
Marie Callaway Kellner
Attorney for ICL
/s/ F. Diego Rivas
F. Diego Rivas
Attorney for NWEC
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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Exhibit A: ICL/NWEC Intervenor Funding Itemized Account
Time Rate Sum
Review identify issues of interest, attend parties meeting
petitions
review
Testimony
Review identify issues of interest, attend parties meeting
petitions
discovery
Testimony
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01
ICL & NWEC; Application of Intervenor Funding
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IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01 Page 1 ICL & NWEC, Certificate of Service
CERTIFICATE OF SERVICE
I hereby certify that on this 16th day of August, 2023, I delivered true and correct copies
of the foregoing APPLICATION FOR INTERVENOR FUNDING in Case No. AVU-E-23-01; AVU-G-23-01 to the following persons via the method of service noted: /s/ F. Diego Rivas
F. Diego Rivas (MT State Bar No. 68806741) Appearing pro hac vice 1101 8th Ave Helena, MT 59601
diego@nwenergy.org
Electronic Mail Only (See Order No. 35058):
Idaho Public Utilities Commission
Jan Noriyuki Commission Secretary jan.noriyuki@puc.idaho.gov secretary@puc.idaho.gov
Commission Staff Chris Burdin Deputy Attorney General Idaho Public Utilities Commission
11331 W. Chinden Blvd., Bldg No. 8
Suite 201-A 93714 chris.burdin@puc.idaho.gov Avista Corporation
Patrick D. Ehrbar
Director of Regulatory Affairs Avista Corporation PO Box 3727 Spokane, WA 99220-3727
Patrick.ehrbar@avistacorp.com
avistadockets@avistacorp.com David Meyer Vice President and Chief Counsel
of Regulatory and Government Affairs
Avista Corporation david.meyer@avistacorp.com
IDAHO PUBLIC UTILITIES COMMISSION, Case No. AVU-E-23-01; AVU-G-23-01 Page 2 ICL & NWEC, Certificate of Service
Clearwater Paper Peter J. Richardson
Richardson Adams, PLLC
515 N. 27th St. Boise, ID 83702 peter@richardsonadams.com
Dr. Don Reading
280 Silverwood Way Eagle, ID 83716 dreading@mindspring.com
Carol Haugen
Nathan Smith Jamie McDonald carol.haugen@clearwaterpaper.com nathan.smith@clearwaterpaper.com
jamie.mcdonald@clearwaterpaper.com
Idaho Forrest Group Andrew P. Moratzka Stoel Rives LLP
33 South Sixth Street
Suite 4200 Minneapolis, MN 55402 andrew.moratzka@stoel.com
Larry Crowley
The Energy Strategies Institute 3738 S. Harris Ranch Ave. Boise, ID 83716 crowleyla@aol.com
Walmart, Inc. Justina A. Caviglia Parsons Behle & Latimer 50 West Liberty Street, Suite 750
Reno, NV 89502
jcaviglia@parsonsbehle.com Steve W. Chriss Director, Energy Services
Walmart Inc.
2609 Southeast “J” Street Bentonville, AR 72716 stephen.chriss@walmart.com