Valley Electric APPLICANT SLCAIP HYDRpQWER POST 2024 ...

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SLCAIP HYDRpQWER POST 2024 APPLICANT Valley Electric Association, Inc.

Transcript of Valley Electric APPLICANT SLCAIP HYDRpQWER POST 2024 ...

SLCAIP HYDRpQWER POST 2024APPLICANT

Valley ElectricAssociation, Inc.

Colorado River Commission of NevadaApplication for Allocation of Salt Lake City Area Integrated Projects Power

Tins form was created in ?viicrosoft Word and a digital copr is auaiiable on (lie Colorado Rue, ‘o,n,nissio,, of Nevada’s(CRCN!’J website: www.crc-nv.eow. If the form is opened in MicrvsoJ HorS, responses ‘nor be entered directly into the textboxes which ivill atpandas needed to accept the text entered. Alter,ialiveij additional pagesfor lonr recponses ma) be attachedb; (lie App!icant. Applicants are requested to clear/i’ identifi’ on oar attachments the Applicant’s ‘wine and (lie related numbereditem on (lie for,,,,

ALL lI’I’LIC’A TIONS AND INUORMA TIONSUIfMITI’ED TO JilL CRCN!’ IV ILLBE CONSIDERED PUBLIC RECORDS SURfECT TO PUBLiC D1SCLOSIJRE UPON REQUEST.PLEASE SEE NOTE A TM (lIED TO TillS ,41’PLICA nON FOR Al FOR MORE INFORMATION.

Completed applications inns! be received bj’ the C’RC’NV by 5:00 p.m. PDT on:

MONDAY, JULY 16, 2018

1. Applicant Information. Please provide the following:

a. Name and address of entity/organization requejpg and allocation:

Person(s) representing Applicant:Contact Person I

Title Ramon Abueg, Chief Operating OfficerAddress 800 E Highway 372. P0 Box 237

City. State, Zip Pahrump, NV 89041-0237

Telephone (775) 727-2746

Fax (775) 727-6320

Email Address [email protected]

c. Was the Applicant or its predecessor in interest, a customer of the CRCNV on July 16,1997?

Yes X No

d. Is the Applicant the Southern Nevada Water Authority or one of its member agencies thatwill use the allocated resource for its water and/or vastewater operations in accordancewith NRS 704.787(b)?

Yes No

e. Provide the amount of Salt Lake City Area Integrated Projects (SLCAIP) availablecapacity and energthe Apjilicant is renuesting.

Kilowatts (summer,) Kilowatts (still ,mer20851 kW (All) 37,944,500 kWh (All)

Kilowatts (JI’interj Kilowatts (tvinter,)27,414 kW (All) 50,267,119 kWh (All)

Entity Name Valley Electric Association, Inc. ‘

Address 800 E Highway 372, P0 Box 237City, State, Zip Pahrutnp, NV 89401-0237

x

Application Due: By 5:00p.m. POT, fatly 16. 2018 Page I o19

2. Aiiid iniiit I)i,Ii:

HIIorical I)emiid;

i, I’ro’Ude the aclitil monthly rnnirnurn demand (kilowalk) vperlcatd from ()ctobcF 201$ihrough Morch 2018. ,N’nre: For ghost’ appi-tng Jut paii’er hi h, inctiTh fht* raW, aiict4stins1eiiwte, operations pkaceprl?v14k iimash! ;‘ €1u/ri rffrccsii’ nialed to ssu’Ia inc.

(ktlIIS %o,lCl Pee — Ja•$U ‘.b.20hI %l, l0Itin

B7.5570 n4.76655(i j 122.843000 120.866000 ¶24.326090 91448.850

4pt 34I %ta 3016 h*2014 J.t 21116 A2*ib SepL 2Q14

6213705091282970 12986 690 133e8770[ 122 6B780iO393460

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Apr. 2Ul7

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68.41a210 fl8.425450

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Jul.2017

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Aug, 2017

¶3,2.8.64 660 132,468ago j 125075 260

mt2I1

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Scpt 21117

118,974.590

73914010

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iio.egi.g€oShr, 2S1$

121.465 430 110.041210

ijy’Ir& scion f), C: : (Al? p tvi I’t)i, In 1 261$ Pagc 2 p19

IL Aplicart’s t’oncr keoiirces. flensc preside tlir trtergy reso*Iiees in kWh that weredelivercd (schctlnlcd) to sent AppliciinCs load from October 2015 through Match 2018during stbtidnnl ()n.l’eak and OfT-pck Pcriods, as ileflncd h5 the North AmericanElectric HeIihIIiL ( or(NIrMton (‘NFR(’”l, iielhtred rco.:rccs should total up In (heloads in each pcl’icI43.

NVK( t)riI’cal Pirbid

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I Year 1h16 rSt%...

w: ;‘t’ I)r(,2OIL JEL2êt6LWi

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1711000

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___ ____

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lonil Iutlal(cnersIioII

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- 1Mi -

1608000

17,OG1MSO

1547000I CC’ FM

1981982?

$16 I

2906000

20,800)54

cy

_____

2 cc12.g37 24.33.3,622

26 Jocc421,815,856

____________

kWh

3007000

22 743.424

ktrfhk 29920002824000 3241000MA. ‘xc”-r r’X’.

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0

3467000

25.821,89.1

277 10O0

17 299,032

29,454.424 32.238.894 fl.89,032

r

_

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SIX’MPjflb)

_______

¶ e.87 Ma

until Fueled(,tflrstio.

Rtn.tsblcResoc.rcn 2209000

On•PnkI,oLd 1(kWb) toni of ¶9.09Q,SSSreiilItn about j

4gIktU1v* Thir: lit’ 5:aOp..n I’))?. Jul. 04. lull Pi’gc 4 oIc

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IIsb%trQtfl)Pa,Ler.Dnk(kWh)

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17,857,148 19,525,099 25,W5,3

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3) 194.406

22.376.961

2114000

32,783.981

2452000 2351000

21,941.652 29,ble,017•

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815000 1020000

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t. Future l)L’,IIj,ncI:

lalcolily 1a) (jich,n ür conditk,ns hctwctn (lie alatc t4 ihk Appllcitlion anal ()ciulnr 32013which .uy increase nr p!tdS an nicyuvbj9,.ur inure:

AtGrrnFwnsNwMOroon

____

-

____

- Zil ‘Ira ii %lii i%%ion:

I’olnB of delis cr.4ocsiIiin Iii encrg$ (1(11% cr3: Pr4ni4I( the Applicani’s rcqueIt’tl uint(s)of clciicry vu the Pinker-Davis Trnnsnñsion S(cin. abc ol(ngv of scnkt rcqun’cd arIdthe cnp2city desired. The (:R(NV’s authoriied prilill(s) of delivery include AtturgonSnbslatrnn,i.cSubsta(ionHouldr(rflp( hrk lie, arid Mcsd%ulniia(iun — —

______

Md or AmalaOia 13jY$ubAa1nri

_________

C. AI)ilIit to 113c:

l’rosIiIc ii lricrcspliaiiicion of the Applicant’s *UiIity lv rccci.c and Un’ hit’ rt’c;ucstt’tlrnourcc ns o[Oç;utwr 4,2024.

_____ ______ ________

(TEE•E*’iE•EE’r”

____ ____

3, Pnwjdv a slatcrnçn( from the Applininl identifyint 11w benefit 1c the stale Iron theirreceipt of (he ulloeatcd tC*GLirte. Applicants sttniild demonstrate lunv receipt of theallocaLed resource ouId provide (he “gretesL pt’%’.ihl henerit Lo this state” Ifapplicahie.Applicant shi u1d u Iso demonstrate htn loss of .111 CN I stiah at ILication nnild impact theApplicin1 to the detriment ol the state.

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Valley Electric Association SLCAIP Application

Page 7 of 9

e. Ability to Use: Provide a brief explanation of the Applicant’s ability to receiveand use the requested resource as of October 1,2024.

VEA owns, operates and has access to transmission under various agreements. We willhave a need for them for years to come. Our load has increased by over 20% since 2010and is projected to grow by an average of 1.1 percent.

3. Provide a statement from the Applicant identifying the benefit to the state fromtheir receipt of the allocated resource. Applicants should demonstrate how receiptof the allocated resource would provide the “greatest possible benefit to thisstate.” If applicable, Applicant should also demonstrate how loss of an existingallocation could impact the Applicant to the detriment of the state.

The allocation of the requesled resources to Vahey Eledilic Association, Inc. (VEA) willachieve the greatest possible benefil Ia the state for the following reasons:

• This economical, reliable renewable power resource, if granted lo Valley ElectricAssociation, would take the place of less affordable and environmentally friendlyresources and goes further in serving consumers in need than anywhere else in Nevada.In fact, it would be difficult to imagine a better source for the allocation of resources thanVEA

• More than 90 percent of the consumers of VEA power reside In Nye County, whichis among the more economically depressed counties in the state.

• According to recent census data, the median income for a household in NyeCounty is $41,000 and the median family Income is $50,000. By comparison, the medianhousehold income statewide is $55,750, and the median family income Is approximately$64,500.

• Only two of Nevada’s 17 counties rank below Nye, and one of them {Esmeralda)also is in the VEA service territory.

• Nye County fares a little better, nationally, but not much. In the United States, themedian household Income is about $52,000, and family income is $63,000.

• As a result, energy expenses take up a far great• percentage of household incomeof residents of Nye County than households elsewhere in the state.

Page 1 of 3

• Affordable hydropower has contributed to more than a 20% increase in VEA’s loadsince 2010 and it will help drive a projected annual average load growth of 1.1 percentthrough 2034.

• The allocated hydropower resources will help VEA lo continue lo directly contributeto the economy of Nye County, which it has been doing by increasing employment bymore than 100% since the depths of the last recession.

• The additional hydropower will help VEA continue to invest in the technologicalinfrastructure needed for the 21st century such as bringing high speed fiber optic internetcommunication services lo rural Nevada homes, schools and businesses.

• It will also help VEA continue to make investments in Nevada’s future such aselectricity storage, electric vehicle charging stations and community solar generation.

• It will help VEA continue its Lighthouse Assistance Program, providing up to $200for low income senior members in having difficulty paying their electric bill.

• This resource also helps make the renewable energy we take from the CommunitySolar Project (15 MW photovoltaic generator located in Pahrump, NV) viable by shapingand firming it.

• Finally, it will also help VEA continue a decade long tradition of awarding hardworking students with currently in excess of $10,000 in academic, vocational, technical,and continuing education scholarships to assist members and their families as well ashelp continue VEA’s successful energy saving solar water heater” & irrigation efficiencypump, testing programs.

VEA is always searching for additional renewable power resources at affordable rates,not because it serves the interests of investors but because it directly benefits ourmembers, who are also our owners. If allocated to VEA, these resources will provide thegreatest possible benefit to Nevada by keeping more money, jobs and Investments forthe future in the stale economy.

The loss of our existing reliable, affordable and renewable SLCAIP hydropower allocationwould impact yEA’s ability to provide the aforementioned benefits (see above), to thedetriment of the state. If these resources are not allocated lo yEA, it will diminish ourability to maintain rate stability and keep more money, jobs and investments for the futurein the state economy. More explicitly:

• It will diminish our ability to provide reliable, affordable and environmentally friendlyelectricity to consumers in need in one of the most economically depressed areas ofNevada.

Page 2 of 3

It will diminish our ability to make further investments in the technologicalinfrastructure needed for the 21st century such as bringing high speed fiber optic internetcommunication services to rural Nevada homes, schools and businesses.

• II will diminish our ability to make further investments in Nevada’s future such aselectricity storage, electric vehicle charging stations and community solar generation.

• It will diminish our ability to maintain or increase our current employment levels.

• It will diminish our ability to provide assistance to low income membersexperiencing difficulty paying their electric bill as well as diminish our ability to provideenergy efficiency programs.

Provided by Staff for readability.

Page3of3

4. C:rcditwrthiI,es3:

ii. ‘like AppjanI Is puhhc Iv44proi4dcenbnnu and symbol:

It Provide the AppIicitt’s I)un aiid Bradstrec(D.U—N.S Number ilavaibble: — —

- -

c. I’re’idt (he AppIicanis most recent P!A

___-

d. Attach chart %lIow irig all cqui(% intcrest%, litciuditig corporate structure of (tic pined andstslnidbr, otgtnh,atiuil. II applicable.

e. If A ppltca iii has a p rent etloipairt. proi ide the rcque%(ed inform strati In items O) thoaghIc) lot the paren I company, aitil attach a signed sI a Lenient In (he pareri ( coinpans that (herient conipaa i “Wing (n preside a larenlaI uarlbntec if rLqiIircd.

f. U applicible. does the Applicaial has e indr1,crtdcnt late ‘eItin authority to raise itsccstiintvrs rates to co%Qrnptnses? Please t’iani. ——

iv.; CijvLw.JLDroc1onNnhoasthorybnncA!e - -

_______

g. II applicalile. dc,c (he Applicant has e the tasitig :1 U tlwrLt\ (I) cci er spensn? Pleaseesplain.

U. II apphicubic, ple.nc slnic Ike numher of I:ulc ,itnienIs to (he (kCN in tht’ past three

sears, the date of the insolec that ssa not timel r and the nctuil date of payment.Plvase ci lain the_circumstances for each late paejL_

.J3.D,nrtr.t’,r.

I. l’riii ide complete copies of (lie Applicaht’s Audited Firtitticial Slatcnicnt% for the pastthree_sens,

________________

frteiuo woof’e*,t4sJ io4 ic VF.s 201S 27.sj4.i coi4W. flarcIaJitatofl.3t,

5. Other Information:

The AjipIicanInla3 pnnidesns .Jthcrillfarrnntionpcriinenflotheapvhcation.Again. VEA Is alvtas toarchtng (or nckjilor,al rono’.ablo powor roouces at vate.nol bocauso (I sorves the Interests at invejtors but because it &reclty bunetits our mumbers,who are also our own&s. H allocated to yEA, these resources will he’p us maintain our rates,enhancing our abilrty 10 provkie the groalost pcsstb[e benorit to Nesa by keeping rn&emoney, lobs arid InvosimeriLs for the future In the stale economy.

Ths resource also hoipt ts firm and shape the renowi,be 600F9j w take front (he 15MWCornmun.Iy Solar Proec1 photovoltaic çjenoralor locatod in Pahn,ni, NV and also enhances owribihty to otter assistance to our low ncomo niernbers

yEA is a tongtirne CRC customor or his resource Our loads have been greving and tha[sexpected lo conbnua We owed to havt a need for rho roquesled resources well into the

I future (whether or not energy choice is Implemented) Indeed, yEA was able to utility 1OO nlAMPACa tayoW hydropower and transa,ission altocalions made availthio on a ternpcary

term from Oclobei 1,2016 — September 30. 2017 - .

1.. ii. 5.IEW1’r.i. I’t!. Jul1 (t3ui.%

6. Lii $iflifl2 this apphcationjkc Appjjcnot acknowkdpes that if the Applicant nceepts ppallocat&resource from the CRCN V. the Applicant will be subicci to the folIcsjg:

I 11w Applicant will cxcculc a (‘uciliact with ;hc URUNV in Ihe hill of 24)18 for poswr

deliveries Lwginninz on (kInk-i I, 2021

ii. The Applicani must cnir lint’ a new coN kiet. prior k’ June I, 2(12 I, u itli the CRC V totake and a) br iraiismisioii sei i.e from J’irinac hi.’ Peak on the Sh (‘All’ 1 ran’mI’.sions% sleni Lu one •‘i univ of Ihc A1LIIlicrI1 Nc adt dcli civ points on 11w Parker—h )nk1 ranMn ISStLW s sWili ; Inch t-urrentl; include Aniarosa Stibstal cii, fl;iL Suhlai on.Iiottldei (11) lap. C Isk lie. anti Sic_id Substation.

jj. An ApphicanL iii hiintg otintillIjo il (ii hackup liaitsniission service over 11w R,tkcr-1)a I’.Ptnject Southern Neida Facilitics. or an Apphcani dircctl jiiterconnccied Iii the Parkctl)avis I’nei Southern Nevadii Facilities, lutist h.we n eisIinz cooliact with 11w (‘ItCNVor enter into a iiew contract with the (1{(NV In tike and pa lot set-vice o ci those f’aciliiiespti cit to June I 2023 for nt ci deIi cues bcgiiiiii iig on I vioher I, 2024

7. Signature:-

I lie Colorado Rn ci ( iiiuini’.’ ion of Net ada requires die iguattlrr $ikl title ut art appcopriatc ,iflic iat whocan anest to the ‘ Mid Iv at’ the applicat on and v. Ito is authori ed to suhni ii the request for an aikkation.

B> signing behow , I crti1 the inloiniation which I have pan tied s 1ru and cuirect to 11w best ut nniii liii nail tin, k Tifiw ie4w an jsc lid

Chief Operating OfficerSign.iwre 1 tile

_______

__________

mon AbuegPrint Namer’

__________

Appllctitioos P1*3 Ie ddrertsed lo hit FXCCLI(li c’ l)ircctor anti submilted:

• 1I tiii iii) add rc-ctl In: CN’ponvr’il crc. ii

• lh fax I’i (702) 486-2695; or

• 1k per%cual delis cry or U.S. Mall to the (‘IWNV’s office, 555 F. Washington

Mcaue, Suite 31ft0. I s Vcgas. NV 8IGl.

Appticalions turn N submitted belneen Junc 25, 2018 antI Silly 16, 2018,

MONDAY. .ILJIN 16, 2018

.4,wIJIdlktn i&i’. IJj :flp.m. Phi. fit?; 16, 29)6 i’age9cil9

Valley Electric Association, Inc.A Touchstone Energy Coopentive

August 30, 2018

Ms. Jayne Haricins, P.E.Executive DirectorColorado River Commission of Nevada555 E. Washington Avenue, Suite 3100Las Vegas, NV 89101

VIA EMAIL: crcpowercrc.nv.pov

Subject: Allocation of SLCAIP Hydropower Post 2024

Dear Ms. Harkins:

Thank you for the opportunity to submit comments on the Colorado River Commission ofNevada’s (“CRC”) draft Commission Order proposing allocations of hydropower from the SaltLake City Area Integrated Projects (SLCAIP) for the period of October 1, 2024 throughSeptember 30, 2057.

In accordance with the criteria applied and analyses performed by Staff, Valley ElectricAssociation (VEA) agrees the requirements for allocation have been appropriately applied. Inaddition, VEA supports the Draft Order’s findings of facts and recommendations. VEA furtheragrees that the proposed allocation provides the greatest possible benefit for the state.

VEA appreciates the opportunity to comment on this matter.

Respectfully Submitted,

Sal’;;

Chief Executive Officer

cc: File

800 E Highway 372 • PD Box 237 • Pahrvrnp, NV 8904 1-0237Phone:(775)727-5312 or (800) 742-3330 (In Nevada) • Fax: (775) 727-6320 • www.vea.coop

COMMENTS

LAS VEGASCITY COUNCIL

CAROLYN G. GOODMANMayor

LOIS TARKANIANMayor Pro Tern

STAVROS S. ANTHONY

BOB COFFIN

STEVEN G. SEROKA

MICHELE FIORE

CEDRIC CREAk

SCOTT D. ADAMSCity Manager

DEPARTMENT OF PLANNING

ROBERT SUMMERFIELDDIRECTOR

DEVELOPMENTSERVICES CENTER

DEPARTMENT OF PLANNING

333 N. RANCHO DRIVE3RD FLOOR

LAS VEGAS, NV 89106

702.229.6301 I VOICE702.474.7463 FAX

711 I1TI’

OO©Ocityoflasvegas

Ia svegas nevada .gov

Marco VelottaSr Management AnalystCity of Las Vegas Long Range PlanningOffice of Sustainability333 Rancho Dr.Las Vegas, NV 89106

December 6, 2018

RE: Intent to Withdraw SLCAIP Application

Dear Ms. Bates:

Thanks to you and your team for the assistance navigating the Salt Lake CityArea Integrated Projects (SLCAIP) hydropower application process, which theCity applied for in July, 2018. Although the Draft Order for an allocation of theSLCAIP hydropower to the City was not approved by the Commission, theCity has decided to to withdraw our application from consideration withoutprejudice. After considering some of the economics and wastewater treatmentload factors over the past few weeks, we believe that the circumstances havechanged enough for the City to discontinue the process. We look forward tocontinue working with you and the Commission on our existing hydropowercontracts.

If you have any questions, please do not hesitate to contact us.

Sincerely,

I-

Marco N. Velotta, AICPSenior Management AnalystmvelottaLasVegasNevada.GOV702-229-4173

CC: Tom Perrigo - Executive Director of Community Development, City of LasVegasCharles Trushel - Sr Management Analyst, City of Las VegasEric Witkoski - Interim Executive Director, CRC

From: MEUSA GARDATo: CRC Power

Cc: Mendis Cooper; Terry RomeroSubject: SLCAIP Allocation Comments

Date: Tuesday, January 29, 2019 9:29:08 AM

Please find the below comments for the Draft Order for Allocation of powerfor SLCAIP Hydropower 2024:

The valuable resource provided in this SLCAIP allotment will help Overton PowerDistrict No. 5 to continue providing quality and affordable power to all customers inour service territory. We would like to thank the Commissioners and Staff of theColorado River Commission for their work and thorough review in the allocationprocess for the SLCAIP allotment and consideration of our comments.

MeLisa GarciaAccounting SupervisorOverton Power District No. 5(702) 397-3034

f

PRESENTATION

2/6/2019

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Colorado River Commission of Nevada (CRCNV)

Salt Lake City Area Integrated Project (SLCAIP) Post-2024 Allocation Hearing

February 12, 2019

SLCAIP Information

• Initial hydroelectric generation began in 1963.

• SLCAIP is comprised of two Utah Dams, three Colorado dams and one Wyoming dam, and 5 additional power plants.

• Total of 11 powerplants with a combined installed capacity of 1,816 MW.– Installed Capacity at Hoover is 2,074 MW

• CRC’s federal allocation is approximately 1.5% of the total capacity.

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SLCAIP Allocations

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CRCNV Current Allocations of SLCAIP Hydropower

Winter Summer Annual

Contractor Capacity (kW) Capacity (kW) Energy (kWh)

City of Boulder City 7,279 5,537 23,422,458

Overton Power District No. 5 8,256 6,279 26,565,338

Valley Electric Assoc. 11,879 9,035 38,223,823

CRCNV Total 27,414 kW 20,851 kW 88,211,619 kWh

Updated 12/08/2017

Federal Contract Process

• Federal contract issued to CRCNV on March 9, 2018.

• About half of the Federal Contractors have already signed their post-2024 contract. – The CRC has not signed pending the

completion of the current SLCAIP customer allocation process.

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CRC Allocation Process

• April, 2018: Staff issued a Notice of Public Meeting and Request for Comments on the draft Notice and Invitation to Apply, draft allocation criteria, and draft application.

• May 15, 2018: Public Meeting

• June 12, 2018:  Commission approved the draft Notice and Invitation to Apply, allocation criteria, and application.

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CRC Allocation Process

• June 14, 218: Staff issued the Notice, allocation criteria, and application

• July 16, 2018:  Staff received four applications.

• Staff received three applications from existing SLCAIP Contractors:

– City of Boulder City

– Overton Power District No. 5

– Valley Electric Association

• Staff also received an application from the City of Las Vegas

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Staff Recommendations

• At a hearing held on September 11, 2018, staff recommended that the current contractor allocations be reduced by approximately 7% to create a resource pool for the City of Las Vegas.

• The Commission did not reach a decision on the allocation and requested additional information addressing the impact on current contractors if their allocations were reduced.

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Further Actions 

• Staff reached out to all four applicants and issued data requests to confirm the cost impact on existing contractors of receiving a reduced allocation and the benefit to the City of Las Vegas of receiving a new allocation. 

• Staff received a letter on December 6, 2018 from the City of Las Vegas withdrawing their request for an allocation “after considering some of the economics and wastewater treatment load factors.”

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Revised Staff Recommendation 

• Staff recommends maintaining the existing allocations of the three remaining SLCAIP contractors.

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Draft Order

• Staff submitted the Draft Order to the Applicants for review on January 22, 2019 and received one comment from Overton Power District No. 5.

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Questions?

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