Regular 5.
Regular City Council Meeting
- Meeting Date:
- 10/28/2013
- TITLE
- Support for a PSC Case Concerning Northwestern Energy
- PRESENTED BY:
- Tina Volek
- Department:
- City Hall Administration
Presentation:
Information
PROBLEM/ISSUE STATEMENT
Leo Barsanti asked the City Council at its Oct. 15 business session to support him and others in a Public Service Commission (PSC) case, Docket No. D2010.2.14, concerning ownership fees assessed by Northwestern Energy in the city's street lighting districts. Mr. Barsanti said that the lawsuit also is asking the PSC to allow LED lights to be placed on existing Northwestern Energy light standards. However, a September 25, 2013, PSC order (attached) indicates that the claim that the ownership fee is unreasonable and unjustly discriminatory is the only claim that it will consider at this time.
A PSC attorney provided a second copy of the notice to City Attorney Brent Brooks on Oct. 18 after an article on Mr. Barsanti's request appeared in the Billings Gazette. The notice allows any individual who wishes to be a party to the proceeding to file a petition to intervene with the PSC no later than Oct. 25. The petition must be submitted by e-mail and by regular mail. The PSC attorney indicated that the PSC has accepted a late filing to intervene for good cause, and that she thought the City's need to provide advance notice of its intent to consider this issue and the lack of delivery of the original notice might be sufficient to allow a late filing.
If the Council decides to attempt a late filing, the PSC attorney said the City would be able to determine its own level of participation in the process. Montana Administrative Rule 38.2.2401 Contents of Petition, allow intervenors to "call and examine witnesses, cross-examine opposing witnesses, and be heard on all matters relevant to the issues involved." On the other hand, the PSC attorney said the City is not obligated to participate and could even withdraw its petition to intervene later if it chose.
As an alternative, the notice says the Council could decide not to formally intervene but could deliver comments to the PSC about the case. There appears to be no specific date by which that must occur. At a meeting in March 2012, the Council voted 5-4 after presentations by Mr. Barsanti and Russ Doty, the attorney for the petitioners, to submit a letter of support in the case to the PSC. However, before the letter could be drafted, the PSC took action that rendered the letter moot.
Mr. Doty submitted two resolutions to the City Council on Oct. 20, which are attached. One directs staff to join the Municipal Solid State Lighting Consortium; the other directs staff to intervene in Docket No. D2010.2.14.
Also attached are a revised, shorter resolution that requests to intervene in the case and, as an alternative, a letter of support for the petitioners' request in the case.
A PSC attorney provided a second copy of the notice to City Attorney Brent Brooks on Oct. 18 after an article on Mr. Barsanti's request appeared in the Billings Gazette. The notice allows any individual who wishes to be a party to the proceeding to file a petition to intervene with the PSC no later than Oct. 25. The petition must be submitted by e-mail and by regular mail. The PSC attorney indicated that the PSC has accepted a late filing to intervene for good cause, and that she thought the City's need to provide advance notice of its intent to consider this issue and the lack of delivery of the original notice might be sufficient to allow a late filing.
If the Council decides to attempt a late filing, the PSC attorney said the City would be able to determine its own level of participation in the process. Montana Administrative Rule 38.2.2401 Contents of Petition, allow intervenors to "call and examine witnesses, cross-examine opposing witnesses, and be heard on all matters relevant to the issues involved." On the other hand, the PSC attorney said the City is not obligated to participate and could even withdraw its petition to intervene later if it chose.
As an alternative, the notice says the Council could decide not to formally intervene but could deliver comments to the PSC about the case. There appears to be no specific date by which that must occur. At a meeting in March 2012, the Council voted 5-4 after presentations by Mr. Barsanti and Russ Doty, the attorney for the petitioners, to submit a letter of support in the case to the PSC. However, before the letter could be drafted, the PSC took action that rendered the letter moot.
Mr. Doty submitted two resolutions to the City Council on Oct. 20, which are attached. One directs staff to join the Municipal Solid State Lighting Consortium; the other directs staff to intervene in Docket No. D2010.2.14.
Also attached are a revised, shorter resolution that requests to intervene in the case and, as an alternative, a letter of support for the petitioners' request in the case.
ALTERNATIVES ANALYZED
The City Council may:
- Approve a petition to the PSC that requests the Council be allowed to intervene late for good cause in Docket2010.2.14, which considers whether the Northwestern Energy ownership charge in the street lighting tariff is unreasonable and unjustly discriminatory; or
- Approve a letter providing written comments to the PSC; or
- Take no action in the case.
FINANCIAL IMPACT
There would be no immediate financial impact on the City if it submitted a petition to intervene or wrote a letter in support of the case. If the City is to actively intervene, there could be staff or outside costs for participation.
The petitioners have said previously that the City could save $60,000 a month if the case succeeded, but those results have not been reviewed by the City or by any independent authority, to the City staff's knowledge.
The petitioners have said previously that the City could save $60,000 a month if the case succeeded, but those results have not been reviewed by the City or by any independent authority, to the City staff's knowledge.
RECOMMENDATION
Petitioners in Docket #D2010.2.14 originally asked the Council to send a letter of support in the case, which the Council approved. Intervention may be a more time-consuming and, therefore costly, matter for the City. It also may not be considered timely by the PSC. For those reasons, staff recommends that the Council submit a letter of support for the petitioners in Docket #D2010.2.14.