DAR File No. 30115

Public Service Commission, Administration

R746-420-2

Requests for Waiver of a Solicitation Process

NOTICE OF PROPOSED RULE

DAR File No.: 30115
Filed: 06/21/2007, 09:46
Received by: NL

RULE ANALYSIS

Purpose of the rule or reason for the change:

Recent statutory changes to Section 54-17-501 have made changes to the Significant Energy Resource acquisition and approval process. Provisions in Section R746-420-2 are concurrently being moved to a proposed amendment to Rule R746-430 in order to consolidate provisions dealing with approval or waiver proceedings before the Public Service Commission into one area. (DAR NOTE: The proposed amendment to Rule R746-430 is under DAR No. 30114 in this issue, July 15, 2007, of the Bulletin.)

Summary of the rule or change:

The proposed amendment will remove Section R746-420-2, which describes the information which is to be filed with a utility's request for a waiver of a solicitation process to acquire a Significant Energy Resource.

State statutory or constitutional authorization for this rule:

Sections 54-17-201, 54-17-202, and 54-17-501

Anticipated cost or savings to:

the state budget:

None--The section described the types of supporting information that were to be filed with a request for waiver. The informational need still exists, but the description of the information to be filed has been included in a proposed amendment to Rule R746-430. State agencies will still engage in the same activities in spite of the removal of this section.

local governments:

None--The section provisions to be removed had no application to local government as they are not subject to Commission jurisdiction nor to the statutory provisions dealing with acquisition of Significant Energy Resources.

other persons:

SMALL BUSINESSES: None--The rule provisions to be repealed had no application to small businesses' operations. Significant energy resources are very large electric utility plant undertakings and are not known to be undertaken by any entity with fewer than 50 employees. Utah has no utilities with fewer than 50 employees that could be affected by the original rule. PERSONS OTHER THAN BUSINESSES: None--The rule provisions to be removed describe the information to be submitted to the Commission in support of a request for waiver of a solicitation process. Requests for waivers may still be filed, but supporting information will be as determined by the applicant and likely will be the same as what was prescribed in the rule.

Compliance costs for affected persons:

None--Affected utilities subject to the statutory provisions and projects which fall within the statutory provisions remain the same. The rule simply identified the type of information that would be filed to support a request for waiver of a solicitation process.

Comments by the department head on the fiscal impact the rule may have on businesses:

There is no fiscal impact expected from the rule repeal. Requests for waivers may still be filed with the Commission and utilities will still need to support their requests with adequate information, although the specific information will no longer be described in Section R746-420-2. It is anticipated that affected utilities will make no change in the information they supply to support their requests. Ted Boyer, Chairman

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Public Service Commission
Administration
HEBER M WELLS BLDG
160 E 300 S
SALT LAKE CITY UT 84111-2316

Direct questions regarding this rule to:

Sheri Bintz or Sandy Mooy at the above address, by phone at 801-530-6714 or 801-530-6708, by FAX at 801-530-6796 or 801-530-6796, or by Internet E-mail at sbintz@utah.gov or smooy@utah.gov

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

08/14/2007

This rule may become effective on:

08/21/2007

Authorized by:

Sandy Mooy, Legal Counsel

R746. Public Service Commission, Administration.

R746-420. Requests for Approval of a Solicitation Process.

[R746-420-2. Requests for Waiver of a Solicitation Process.

(1) A Soliciting Utility filing for waiver of the requirements of Section 54-17-201(2) shall file a request for waiver which shall include testimony and exhibits which provide:

(a) An explanation of and the factual basis for the emergency, opportunity or other factors that support the requested waiver;

(b) If the requested waiver is based upon an emergency, evidence establishing the nature and cause of the emergency and an explanation of why the proposed waiver is in the public interest;

(c) If the requested waiver is based upon a time-limited commercial or technical opportunity, evidence establishing the nature of the opportunity and an explanation of why the proposed waiver is in the public interest;

(d) If the requested waiver is based upon other factors, evidence establishing the nature of those factors and an explanation of why the proposed waiver is in the public interest;

(e) Evidence explaining and demonstrating when the Soliciting Utility first became aware of the claimed emergency, opportunity or other factors and how and when it pursued or responded to the same; and

(f) Evidence showing that a waiver of the Solicitation Process is in the public interest.

(2) A Commission order granting a requested waiver of a Solicitation Process shall not constitute and does not determine approval or disapproval of a significant energy resource decision including cost recovery. The Soliciting Utility retains the obligation to file for approval of a significant energy resource decision under Section 54-17-302.

(3) Pursuant to Section 54-17-201(3)(c)(ii), the Commission may condition the granting of a waiver on such conditions as the Commission may determine to be just, reasonable and in the public interest. If the Commission determines that insufficient ratepayer protections exist to warrant advance approval under Section 54-17-302, it may deny or condition approval pursuant to Section 54-17-302(6) in such manner as necessary to protect the public interest.

 

]KEY: significant energy resource, solicitation process, order to proceed, filing requirements

Date of Enactment or Last Substantive Amendment: [May 17, ]2007

Authorizing, and Implemented or Interpreted Law: 54-17-100 et seq.