Page 1
825 NE Multnomah. Suite 2000Portland. Oregon 97232
June 1,2009
VIA HAND DELIVERY
Oregon Public Utility Commission550 Capital Street NE, Ste. 215Salem, OR 97301-2551
Attn: Filing Center
RE: Docket UM 1209Compliance Filing Pursuant to Commitment 49 of Stipulation Appendix A,Consolidated List of Commitments
MidAmerican Energy Holdings Company C'MEHC") and PacifiCorp submit to the OregonPublic Utility Commission ("Commission") an original and five (5) copies ofPacifiCorp'sAnnual Report of Status of commitments ("Status Report"). This Status Report is beingprovided in compliance with General Commitment 49, pursuant to the Commission Order No.06-121 granting approval of the acquisition ofPacifiCorp by MidAmerican Energy HoldingsCompany, issued March 14, 2006, in the referenced proceeding.
The Commission approved the acquisition of PacifiCorp by MEHC, subject to a ConsolidatedList of Commitments specified in a settlement agreement supported by all parties to theproceeding. Included in this consolidated list are MEHC's and PaciflCorp's commitmentsregarding the filing of the enclosed Status Report. The commitment states:
49) Reporting on Status of Commitments:By June 1, 2007 and each June 1 thereafter through June 1, 2011, PacifiCorp will file areport with the Commission regarding the implementation of the Commitments. Thereport will, at a minimum, provide a description of the performance of each of thecommitments that have quantifiable results. If any of the commitments is not being met,relative to the specific terms of the commitment, the report shall provide proposedcorrective measures and target dates for completion of such measures. PacifiCorp willmake publicly available at the Commission non-confidential portions of the report.
MEHC and PacifiCorp take the acquisition commitments very seriously. Fulfillment of thecommitments in a thorough and timely manner is one of our highest priorities. Thecommitments are monitored for progress and compliance on a routine basis with status reportingprovided to senior management.
You will note on the enclosed Status Report that the status of the commitments have beenidentified as "ongoing compliance" or "complete." Many of those commitments identified as"ongoing compliance" are of an on-going nature and do not have an expiration or completiondate. For those commitments PacifiCorp has developed policies, procedures, or processes toensure compliance as part of the Company's daily operations. Other commitments that areidentified as "ongoing compliance" are project-related and the status will be reported as"complete" once the project has been completed. To date, 98 commitments across PacifiCorp's
Page 2
Oregon Public Utility CommissionJune 1,2009Page 2
six-states have been completed. Of these 98 completed commitments, 18 are applicable toOregon and have been noted as "complete" on the Status Report.
By copy of this letter, parties to the proceeding are being provided notice of this filing.
It is respectfully requested that all data requests regarding this filing be address to the following:
Bye-mail (preferred):
By regular mail:
[email protected]
Data Request Response CenterPacifiCorp825 NE Multnomah, Suite 2000Portland, OR 97232
If there are informal inquiries concerning the filing, or if someone in your agency/association didnot receive a copy of the filing and would like to have one, please contact Joelle Steward,Regulatory Manager, at (503) 813-5542.
Sincerely,
~~K~Y fLtLk6lISVice President, Regulation
Enclosurecc: Service List Docket UM 1209 (w/out enclosures)
Page 3
CERTIFICATE OF SERVICEI hereby certify that on this 1st day of June, 2009, I caused to be served, via E-mail, ifaddress available or U.S. Mail a true and correct copy of the foregoing document in UM1209 to the following:
RATES & REGULATORY AFFAIRSPORTLAND GENERAL ELECTRICRATES & REGULATORY AFFAIRS121 SW SALMON STREET, 1WTC0702PORTLAND OR [email protected]
LOWREY R BROWN -- CONFIDENTIALCITIZENS' UTILITY BOARD OF OREGON610 SW BROADWAY, SUITE 308PORTLAND OR [email protected]
DOUGLAS L ANDERSONMIDAMERICAN ENERGY HOLDINGS CO302 S 36 ST STE 400OMAHA NE [email protected]
ADAMSARMSMCKANNA BISHOP JOFFE & SULLIVANLLP1635 NW JOHNSON STPORTLAND OR [email protected]
MAGGIE BRILZIDAHO POWER COMPANYPOBOX 70BOISE ID 83707-0070mbri Iz((V,idahopower.com
RALPH CAVANAGH -- CONFIDENTIALNA TURAL RESOURCES DEFENSECOUNCIL111 SUTTER ST FL 20SAN FRANCISCO CA 94104rca [email protected]
NW ENERGY COALITION219 FIRST ST SIE 100SEATTLE WA [email protected]
THANE SOMERVILLE - CONFIDENTIALMORISSET, SCHLOSSER, JOZWAIK &MCGAW801 SECOND AVE - STE 1115SEATTLE WA [email protected]
JIM ABRAHAMSON -- CONFIDENTIALCASCADE NATURAL GAS CORP2004 SE CLATSOP STPORTLAND, OR [email protected]
SUSAN ANDERSONCITY OF PORTLANDOFFICE OF SUSTAINABLE DEV721 NW 9TH AVE -- SUITE 350PORTLAND OR [email protected]
CURTIS G BERKEYALEXANDER, BERKEY, WILLIAMS &WEATHERS, LLP2030 ADDISON STREET, SUITE 410BERKELEY CA [email protected]
PHIL CARVEROREGON DEPARTMENT OF ENERGY625 MARlON ST NE STE 1SALEM OR [email protected]
Page 4
JOHN CORBETTYUROKTRIBEPO BOX 1027KLAMATH CA [email protected]
CHRIS CREANMULTNOMAH COUNTY501 SE HAWTHORNE, SUITE 500PORTLAND OR [email protected]
MICHAEL EARLYINDUSTRIAL CUSTOMERS OFNORTHWEST UTILITIES333 SW TAYLOR STE 400PORTLAND OR [email protected]
ANN L FISHERAF LEGAL & CONSULTING SERVICES2005 SW 71ST AVEPORTLAND OR [email protected]
BERNARDO R GARCIAUTILITY WORKERS UNION OF AMERICA215 AVENDIA DEL MAR, SUITE MSAN CLEMENTE CA [email protected]
DAVID E HAMILTONNORRIS & STEVENS621 SW MORRISON ST STE 800PORTLAND OR [email protected]
JASON W JONES -- CONFIDENTIALDEPARTMENT OF mSTICEREGULATED UTILITY & BUSINESSSECTION1162 COURT ST NESALEM OR [email protected]
BRYAN CONWAYPO BOX 2148SALEM OR 97309-2148bryan.conway(iV,state.or.us
JOAN COTE -- CONFIDENTIALOREGON ENERGY COORDINATORSASSOCIATION2585 STATE ST NESALEM OR [email protected]
MELINDA J DAVISONDAVISON VAN CLEVE PC333 SW TAYLOR, STE. 400PORTLAND OR [email protected]
JASON EISDORFER -- CONFIDENTIALCITIZENS' UTILITY BOARD OF OREGON610 SW BROADWAY STE 308PORTLAND OR [email protected]
JOHNRGALEIDAHO POWER COMPANYPOBOX 70BOISE ID [email protected]
ANN ENGLISH GRAVATTRENEWABLE NORTHWEST PROJECT917 SW OAK - STE 303PORTLAND OR [email protected]
NANCY HARPERIBEW, LOCAL 12517200 NE SACRAMENTOGRESHAM OR [email protected]
Page 5
BARTON L KLINE -- CONFIDENTIALIDAHO POWER COMPANYPOBOX 70BOISE ID [email protected]
MICHAEL T WEIRICH -- CONFIDENTIALDEPARTMENT OF JUSTICEREGULATED UTILITY & BUSINESSSECTION1162 COURT ST NESALEM OR [email protected]
STEVEN WEISSNORTHWEST ENERGY COALITION4422 OREGON TRAIL CT NESALEM OR [email protected]
MICHAEL W ORCUTTHOOPA VALLEY TRIBE FISHERIES DEPTPO BOX 417HOOPA CA [email protected]
LISA F RACKNER -- CONFIDENTIALATER WYNNE LLP222 SW COLUMBIA ST STE 1800PORTLAND OR [email protected]
GREGORY W SAIDIDAHO POWER COMPANYPOBOX 70BOISE ID [email protected]
GLEN H SPAIN -- CONFIDENTIALPACIFIC COAST FEDERATION OFFISHERMEN'S ASSOCPO BOX 11170EUGENE OR 97440-3370fish [email protected]
ANDREA L KELLYPACIFICORP825 NE MULTNOMAH ST STE 2000PORTLAND OR [email protected]
KAITLIN LOVELLTROUT UNLIMITED213 SW ASH ST, SUITE 205PORTLAND OR [email protected]
WILLIAM MILLERIBEW, LOCAL 12517200 NE SACRAMENTOGRESHAM OR [email protected]
BARBARA LEE NORMANKARUK TRIBE OF CALIFORNIAPO BOX 657YREKA OR [email protected]
JANET L PREWITT -- CONFIDENTIALDEPARTMENT OF JUSTICE1162 COURT STNESALEM OR 97301-4096janet.prewitt((i)doj.state.of.us
STEVE ROTHERTAMERICAN RIVERS409 SPRING ST, SUITE DNEVADA CITY CA [email protected]
THOMAS P SCHLOSSERMORISSET, SCHLOSSER, JOZWIAK &MCGAW801 SECOND AVE, SUITE 1115SEATTLE WA 98104-1 [email protected]
Page 6
DOUGLAS C TINGEYPORTLAND GENERAL ELECTRIC121 SW SALMON 1WTC13PORTLAND OR [email protected]
SANDI R TRIPPKARUK TRIBE DEPT. OF NATURALRESOURCESPO BOX 1016HAPPY CAMP CA [email protected]
JESSICA GORHAMATER WYNNE LLP222 SW COLUMBIA STE 1800PORTLAND OR 97201;[email protected]
MATTHEW W PERKINS -CONFIDENTIALDAVISON VAN CLEVE PC333 SWTAYLOR, STE. 400PORTLAND OR [email protected]
LINDA WILLIAMSKAFOURY & MCDOUGALATTORNEY AT LAW10266 SW LANCASTER RDPORTLAND OR [email protected]
ANDREA FOGUESENIOR STAFF ASSOCIATELEAGUE OF OREGON CITIESPOBOX 9281201 COURT STNE STE 200SALEM OR [email protected]
MARK C MOENCHSENIOR VICE PRESIDENT - LAWMIDAMERICAN ENERGY HOLDINGSCOMPANY201 S MAIN ST - STE 2300SALT LAKE CITY UT [email protected]
JOHN W STEPHENSESLER STEPHENS & BUCKLEY888 SW FIFTH AVE STE 700PORTLAND OR [email protected]
BENJAMIN WALTERSCITY OF PORTLAND - OFFICE OF CITYATTORNEY1221 SW 4TH AVE - RM 430PORTLAND OR [email protected]
DANIEL MEEKATTORNEY AT LAW10949 SW 4TH AVEPORTLAND OR [email protected]
D KEVIN CARLSON - CONFIDENTIALDEPT OF JUSTICE - GENERAL COUNSELDIVISION1162 COURT ST NESALEM OR [email protected]
EDWARD BARTELLKLAMATH OFF-PROJECT WATER USERSINC30474 SPRAGUE RIVER ROADSPRAGUE RIVER OR 97639
KATHERINE A MCDOWELLMCDOWELL & ASSOCIATES PC520 SW SIXTH AVENUE, SUITE 830PORTLAND OR [email protected]
PAUL R WOODINWESTERN WIND POWER282 LARGENT LANEGOLDENDALE WA [email protected]
Page 7
ROB ROY SMITH ~ CONFIDENTIALMORISSET, SCHLOSSER, JOZWAIK &MCGAW1115 NORTON BUILDfNG801 SECOND AVESEATTLE WA 98104-1509r.smith@msaLcom
MARK THOMPSONPUBLIC POWER COUNCIL1500 NE IRVfNG ST - STE 200PORTLAND OR [email protected]
CHARLTON H BONHAMTROUT UNLIMITED828 SAN PABLO AVESUITE 208AlBANY CA [email protected]
ROBERT DENHAMMUNGER, TOLLES & OLSEN, LLP355 SOUTH GRAND AVE35TH FLOORLOS ANGELES CA [email protected]
PETER J RICHARDSONRICHARDSON & O'LEARYPO BOX 7218BOISE 10 [email protected]
BRIAN JOHNSON - CONFIDENTIALTROUT UNLIMITED825 SAN PABLO AVESUITE 208AlBANY CA 94706b;[email protected]
---t--t\;fj~uJ Xy~ArieIVSon \Coordinator, Administrative Services
Page 8
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
G
EN
ER
AL
C
OM
MI
TM
EN
TS
Gen
era
l C
om
mit
men
t N
um
ber
Co
mm
itm
en
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
1M
EH
C a
nd P
acifiC
orp
affir
m t
he
continuat
ion (
thro
ugh M
arch
31,
2008)
of th
e ex
isting c
ust
omer
ser
vice
guar
ante
es a
nd p
erfo
rman
ce s
tandar
ds
in e
ach
juri
sdic
tion.
MEH
C a
nd P
acifiC
orp
will
not
pro
pos
e m
odific
atio
ns
to t
he
guar
ante
es a
nd s
tandar
ds
pri
or
to M
arch
31,
2008.
Ref
er t
o C
omm
itm
ent
45
for
the
exte
nsi
on o
f th
is c
om
mitm
ent
thro
ugh 2
011.
CO
MP
LETE
C
OM
PLETE
–ef
fect
ive
Mar
ch 3
1,
2008.
2Pe
nal
ties
for
nonco
mplia
nce
with p
erfo
rman
ce s
tandar
ds
and c
ust
omer
guar
ante
es s
hal
l be
pai
d a
s des
ignat
ed b
y th
e Com
mis
sion a
nd s
hal
l be
excl
uded
fro
m r
esults
of oper
atio
ns.
Pa
cifiCorp
will
abid
e by
the
Com
mis
sion
’s d
ecis
ion r
egar
din
g p
aym
ents
.
Ongoi
ng
Com
plia
nce
Cust
omer
guar
ante
e fa
ilure
pay
men
ts a
re m
ade
direc
tly
to c
ust
om
ers
as a
gre
ed b
y co
mm
issi
on a
nd a
re e
xclu
ded
fro
m r
esults
of oper
atio
ns.
3
Pac
ifiC
orp w
ill m
ainta
in its
ow
n a
ccounting s
yste
m,
separ
ate
from
MEH
C’s
ac
counting s
yste
m.
All
Paci
fiCorp
fin
anci
al b
ooks
and r
ecord
s w
ill b
e ke
pt
in
Port
land,
Ore
gon
. P
acifiC
orp
’s fin
anci
al b
ooks
and r
ecord
s an
d s
tate
and
feder
al u
tilit
y re
gula
tory
fili
ngs
and d
ocu
men
ts w
ill c
ontinue
to b
e av
aila
ble
to
the
Com
mis
sion,
upon r
eques
t, a
t Pa
cifiCorp
’s o
ffic
es in P
ort
land,
Ore
gon,
Sal
t La
ke C
ity,
Uta
h,
and e
lsew
her
e in
acc
ordan
ce w
ith c
urr
ent
pra
ctic
e.
Ongoi
ng
Com
plia
nce
N
o a
dditio
nal
ste
ps
required
at
the
Paci
fiCorp
lev
el.
The
Com
pan
y m
ainta
ins
its
own S
AP
acco
unting s
yste
m,
whic
h is
separ
ate
from
M
EH
C's
sys
tem
s.
4M
EH
C a
nd P
acifiC
orp
will
pro
vide
the
Com
mis
sion a
cces
s to
all
book
s of
acco
unt,
as
wel
l as
all
docu
men
ts,
dat
a, a
nd r
ecord
s of th
eir
affilia
ted
inte
rest
s, w
hic
h p
erta
in t
o t
ransa
ctio
ns
bet
wee
n P
acifiC
orp
and its
affili
ated
in
tere
sts
or
whic
h a
re o
ther
wis
e re
leva
nt
to t
he
busi
nes
s of Pa
cifiCor
p.
This
co
mm
itm
ent
is a
lso a
pplic
able
to t
he
books
and r
ecord
s of Ber
kshire
Hat
haw
ay,
whic
h s
hal
l re
tain
its
books
and r
ecord
s re
leva
nt
to t
he
busi
nes
s of Pa
cifiCorp
consi
sten
t w
ith t
he
man
ner
and t
ime
per
iods
of th
e Fe
der
al
Ener
gy
Reg
ula
tory
Com
mis
sion
’s r
ecord
ret
ention r
equirem
ents
that
are
ap
plic
able
to P
acifiC
orp
’s b
ooks
and r
ecor
ds.
Ongoi
ng
Com
plia
nce
N
o a
dditio
nal
ste
ps
required
at
the
Paci
fiCorp
lev
el.
The
Com
pan
y co
mplie
s w
ith t
he
FERC's
rec
ord
ret
ention
req
uir
emen
t.
5M
EH
C,
Paci
fiCorp
and a
ll af
filia
tes
will
mak
e th
eir
emplo
yees
, offic
ers,
direc
tors
, an
d a
gen
ts a
vaila
ble
to t
estify
bef
ore
the
Com
mis
sion
to p
rovi
de
info
rmat
ion r
elev
ant
to m
atte
rs w
ithin
the
jurisd
iction o
f th
e Com
mis
sion.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
6The
Com
mis
sion o
r its
agen
ts m
ay a
udit t
he
acco
unting r
ecord
s of M
EH
C a
nd
its
subsi
dia
ries
that
are
the
bas
es f
or
char
ges
to P
acifiC
orp,
to d
eter
min
e th
e re
asonab
lenes
s of
the
cost
s an
d a
lloca
tion fac
tors
use
d b
y M
EH
C t
o a
ssig
n
cost
s to
Pac
ifiC
orp
and a
mou
nts
subje
ct t
o a
lloca
tion o
r direc
t ch
arges
.
MEH
C a
gre
es t
o c
ooper
ate
fully
with s
uch
Com
mis
sion
audits.
Ongoi
ng
Com
plia
nce
The
gen
eral
led
ger
of M
EH
C a
nd t
he
ledger
of ea
ch s
ubsi
dia
ry r
efle
ct
and t
rack
all
inte
rcom
pan
y ac
tivi
ty (
both
direc
t ch
arges
and a
lloca
tions)
an
d a
re s
upport
ed w
ith d
etai
l tr
ansa
ctio
ns
(journ
al e
ntr
y, p
osi
tive
tim
e re
port
ing,
vouch
ers,
etc
.) M
EH
C a
nd s
ubsi
dia
ries
mai
nta
in s
upport
file
s fo
r al
loca
tion fac
tors
support
ing inte
r-co
mpan
y bill
ings.
M
EH
C a
nd
subsi
dia
ries
’ gen
eral
led
ger
s re
flec
t al
l in
ter-
com
pan
y tr
ansa
ctio
ns
as
required
by
the
IASA.
7M
EH
C a
nd P
acifiC
orp
will
com
ply
with a
ll ap
plic
able
Com
mis
sion s
tatu
tes
and
regula
tion
s re
gar
din
g a
ffili
ated
inte
rest
tra
nsa
ctio
ns,
incl
udin
g t
imel
y filin
g o
f ap
plic
atio
ns
and r
eport
s.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
See
als
o G
ener
al C
om
mitm
ents
8 a
nd 1
3
and O
regon-s
pec
ific
Com
mitm
ent
O 3
.
Page
1 o
f 28
Page 9
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
8Pa
cifiCor
p w
ill file
on a
n a
nnual
bas
is a
n a
ffili
ated
inte
rest
rep
ort
incl
udin
g a
n
org
aniz
atio
n c
har
t, n
arra
tive
des
crip
tion o
f ea
ch a
ffili
ate,
rev
enue
for
each
af
filia
te a
nd t
ransa
ctio
ns
with e
ach a
ffili
ate.
Ongoi
ng
Com
plia
nce
The
Affili
ated
Inte
rest
Rep
ort
for
2007 w
as file
d M
ay 3
0,
2008.
The
2008 r
eport
will
be
file
d in M
ay 2
009.
9Pa
cifiCor
p a
nd M
EH
C w
ill n
ot
cross
-subsi
diz
e bet
wee
n t
he
regula
ted a
nd n
on-
regula
ted b
usi
nes
ses
or b
etw
een a
ny
regula
ted b
usi
nes
ses,
and s
hal
l co
mply
w
ith t
he
Com
mis
sion
’s a
pplic
able
ord
ers
and r
ule
s w
ith r
espec
t to
such
m
atte
rs.
Ongoi
ng
Com
plia
nce
IA
SA a
cknow
ledgin
g t
his
com
mitm
ent
was
exe
cute
d o
n M
arch
30,
2006;
file
d o
n M
arch
31,
2006;
appro
ved o
n J
une
19,
2006.
10
Due
to P
UH
CA r
epea
l, n
eith
er B
erks
hire
Hat
haw
ay n
or
MEH
C w
ill b
e re
gis
tere
d p
ublic
utilit
y hold
ing c
ompan
ies
under
PU
HCA.
Thus,
no w
aive
r by
Ber
kshire
Hat
haw
ay o
r M
EH
C o
f an
y def
ense
s to
whic
h t
hey
may
be
entitled
under
Ohio
Pow
er C
o.
v. F
ERC,
954 F
.2d 7
79 (
D.C
. Cir
.),
cert
. den
ied s
ub
nom
. Arc
adia
v.
Ohio
Pow
er C
o.,
506 U
.S.
981 (
1992)
(“O
hio
Pow
er”)
, is
nec
essa
ry t
o m
ainta
in t
he
Com
mis
sion’s
reg
ula
tion o
f M
EH
C a
nd P
acifiC
orp
.
How
ever
, w
hile
PU
HCA is
in e
ffec
t, B
erks
hir
e H
athaw
ay a
nd M
EH
C w
aive
su
ch d
efen
ses.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
11
a) A
ny
div
ersi
fied
hol
din
gs
and inve
stm
ents
(e.
g.,
non-u
tilit
y busi
nes
s or
fore
ign u
tilit
ies)
of M
EH
C fol
low
ing a
ppro
val of th
e tr
ansa
ctio
n w
ill n
ot
be
hel
d b
y Pac
ifiC
orp
or
a su
bsi
dia
ry o
f Pac
ifiC
orp
. T
his
conditio
n w
ill n
ot
pro
hib
it M
EH
C o
r its
affilia
tes
oth
er t
han
Pac
ifiC
orp
fro
m h
oldin
g d
iver
sified
busi
nes
ses.
b)
Rin
g-f
enci
ng p
rovi
sions
for
PPW
Hold
ings
LLC w
ill incl
ude
the
pro
visi
ons
in
Appen
dix
1.
Thes
e pro
visi
ons
hav
e bee
n d
eriv
ed fro
m t
hose
in e
ffec
t fo
r N
NG
C A
cquis
itio
n,
LLC a
s of D
ecem
ber
1,
2005.
Ongoi
ng
Com
plia
nce
a)
Agre
ed p
er s
igned
stipula
tion;
action
not
required
unle
ss s
pec
ifie
d
activi
ties
occ
ur.
b)
The
PPW
Hol
din
gs
LLC a
gre
emen
t w
ith p
rovi
sions
consi
sten
t w
ith
Appen
dix
1 w
as e
xecu
ted M
arch
15,
2006.
12
Pac
ifiC
orp o
r M
EH
C w
ill n
otify
the
Com
mis
sion
in w
riting s
ubse
quen
t to
M
EH
C’s
boar
d a
ppro
val an
d a
s so
on a
s pra
ctic
able
follo
win
g a
ny
public
an
nounce
men
t of:
(1
) an
y ac
quis
itio
n o
f a
regula
ted o
r unre
gula
ted b
usi
nes
s re
pre
senting 5
per
cent
or
more
of th
e ca
pital
izat
ion o
f M
EH
C;
or (
2)
the
chan
ge
in e
ffec
tive
contr
ol o
r ac
quis
itio
n o
f an
y m
ater
ial par
t or
all of
Pac
ifiC
orp b
y an
y oth
er firm
, w
het
her
by
mer
ger
, co
mbin
atio
n,
tran
sfer
of
stock
or
asse
ts.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion;
action n
ot
required
unle
ss s
pec
ifie
d
activi
ties
occ
ur.
Writt
en n
otice
of th
e C
onst
ella
tion
acq
uis
itio
n w
as p
rovi
ded
to a
ll Pac
ifiC
orp u
tilit
y co
mm
issi
ons
in S
epte
mber
2008.
Ver
bal
notice
of th
e ca
nce
llation o
f th
e Con
stel
lation
acq
uis
itio
n w
as
giv
en t
o a
ll Pac
ifiC
orp
utilit
y co
mm
issi
ons
in D
ecem
ber
2008.
13
The
Inte
r-co
mpan
y Adm
inis
trat
ive
Ser
vice
s Agre
emen
t (I
ASA)
will
incl
ude
the
corp
ora
te a
nd a
ffili
ate
cost
allo
cation m
ethodol
ogie
s. The
IASA w
ill b
e file
d w
ith t
he
Com
mis
sion a
s so
on a
s pra
ctic
able
aft
er t
he
closi
ng o
f th
e tr
ansa
ctio
n.
Appro
val of th
e IA
SA w
ill b
e re
ques
ted if re
quired
by
law
or
rule
, but
appro
val fo
r ra
tem
akin
g p
urp
ose
s w
ill n
ot
be
reques
ted in s
uch
filin
g.
Ref
er t
o C
om
mitm
ent
14 (
f).
Am
endm
ents
to t
he
IASA w
ill a
lso b
e file
d w
ith t
he
Com
mis
sion.
Ongoi
ng
Com
plia
nce
IA
SA a
cknow
ledgin
g t
his
com
mitm
ent
was
exe
cute
d o
n M
arch
30,
2006;
file
d o
n M
arch
31,
2006;
appro
ved o
n J
une
19,
2006.
14
Any
pro
pose
d c
ost
allo
cation m
ethodol
ogy
for
the
allo
cation
of co
rpora
te a
nd
affilia
te inve
stm
ents
, ex
pen
ses,
and o
verh
eads,
req
uired
by
law
or
rule
to b
e su
bm
itte
d t
o t
he
Com
mis
sion
for
appro
val, w
ill c
omply
with t
he
follo
win
g
princi
ple
s:
a) Fo
r se
rvic
es r
ender
ed t
o P
acifiC
orp
or
each
cost
cat
egory
subje
ct t
o
allo
cation
to P
acifiC
orp
by
MEH
C o
r an
y of its
affilia
tes,
MEH
C m
ust
be
able
Ongoi
ng
Com
plia
nce
IA
SA file
d in 1
3 a
bove
conta
ined
the
pro
visi
ons
required
by
14a-
14f.
Page
2 o
f 28
Page 10
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
to d
emonst
rate
that
such
ser
vice
or
cost
cat
egory
is
nec
essa
ry t
o P
acifiC
orp
fo
r th
e per
form
ance
of its
regula
ted o
per
atio
ns,
is
not
duplic
ativ
e of se
rvic
es
alre
ady
bei
ng p
erfo
rmed
within
Pac
ifiC
orp
, an
d is
reas
onab
le a
nd p
ruden
t.
b)
Cost
allo
cation
s to
Pac
ifiC
orp
and its
subsi
dia
ries
will
be
bas
ed o
n
gen
eral
ly a
ccep
ted a
ccou
nting s
tandar
ds;
that
is,
in g
ener
al,
dir
ect
cost
s w
ill
be
char
ged
to s
pec
ific
subsi
dia
ries
when
ever
poss
ible
and s
har
ed o
r in
dir
ect
cost
s w
ill b
e al
loca
ted b
ased
upon t
he
prim
ary
cost
-drivi
ng fac
tors
. c)
M
EH
C a
nd its
subsi
dia
ries
will
hav
e in
pla
ce p
osi
tive
tim
e re
port
ing
syst
ems
adeq
uat
e to
support
the
allo
cation
and a
ssig
nm
ent
of co
sts
of
exec
utive
s an
d o
ther
rel
evan
t per
sonnel
to P
acifiC
orp
. d)
An a
udit t
rail
will
be
mai
nta
ined
such
that
all
cost
s su
bje
ct t
o a
lloca
tion
can b
e sp
ecific
ally
iden
tified
, par
ticu
larly
with r
espec
t to
thei
r origin
. I
n
additio
n,
the
audit t
rail
must
be
adeq
uat
ely
support
ed.
Fai
lure
to a
deq
uat
ely
support
any
allo
cate
d c
ost
may
res
ult in d
enia
l of its
reco
very
in r
ates
. e)
Cost
s w
hic
h w
ould
hav
e bee
n d
enie
d r
ecove
ry in r
ates
had
they
bee
n
incu
rred
by
Paci
fiCorp
reg
ula
ted o
per
atio
ns
will
lik
ewis
e be
den
ied r
ecove
ry
whet
her
they
are
allo
cate
d d
irec
tly
or
indirec
tly
thro
ugh s
ubsi
dia
ries
in t
he
MEH
C g
roup.
f) Any
corp
orat
e co
st a
lloca
tion m
ethod
ology
use
d for
rate
set
ting,
and
subse
quen
t ch
anges
ther
eto,
will
be
subm
itte
d t
o t
he
Com
mis
sion for
appro
val if r
equired
by
law
or
rule
.
15
MEH
C a
nd P
acifiC
orp
com
mit t
hat
Pac
ifiC
orp
will
mai
nta
in s
epar
ate
deb
t an
d
pre
ferr
ed s
tock
, if a
ny.
Pac
ifiC
orp
will
mai
nta
in its
ow
n c
orpora
te c
redit
rating,
as w
ell as
rat
ings
for
long-t
erm
deb
t an
d p
refe
rred
sto
ck,
from
M
oody’
s an
d S
&P
or
thei
r su
cces
sor
rating a
gen
cies
.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p c
ontinues
to h
ave
corp
ora
te c
redit r
atin
gs
as w
ell as
rat
ings
for
long-t
erm
deb
t an
d p
refe
rred
sto
ck fro
m M
oody’
s an
d S
&P.
16
MEH
C a
nd P
acifiC
orp
will
exc
lude
all co
sts
of th
e tr
ansa
ctio
n fro
m P
acifiC
orp’s
utilit
y ac
counts
. W
ithin
90 d
ays
follo
win
g c
om
ple
tion o
f th
e tr
ansa
ctio
n,
MEH
C w
ill p
rovi
de
a pre
limin
ary
acco
unting o
f th
ese
cost
s. Fu
rther
, M
EH
C
will
pro
vide
the
Com
mis
sion w
ith a
fin
al a
ccounting o
f th
ese
cost
s w
ithin
30
day
s of th
e ac
counting c
lose
.
CO
MP
LETE
CO
MP
LETE
– e
ffec
tive
Jan
uar
y 30,
2007.
17
MEH
C a
nd P
acifiC
orp
will
pro
vide
the
Com
mis
sion w
ith u
nre
strict
ed a
cces
s to
al
l w
ritt
en info
rmat
ion p
rovi
ded
by
and t
o c
redit r
atin
g a
gen
cies
that
per
tain
s to
Pac
ifiC
orp
or
MEH
C.
Ber
kshire
Hat
haw
ay a
nd M
EH
C w
ill a
lso p
rovi
de
the
Com
mis
sion
with u
nre
strict
ed a
cces
s to
all
writt
en info
rmat
ion p
rovi
ded
by
and t
o c
redit r
atin
g a
gen
cies
that
per
tain
s to
MEH
C’s
subsi
dia
ries
to t
he
exte
nt
such
info
rmat
ion m
ay p
ote
ntial
ly im
pac
t Pa
cifiCorp
.
Ongoi
ng
Com
plia
nce
Rat
ing a
gen
cy m
ater
ials
are
ava
ilable
upon
req
ues
t.
18
a) M
EH
C a
nd P
acifiC
orp
com
mit t
hat
Pac
ifiC
orp w
ill n
ot
mak
e an
y div
iden
ds
to P
PW H
oldin
gs
LLC o
r M
EH
C t
hat
will
red
uce
Pac
ifiC
orp
's c
om
mon e
quity
capital
bel
ow t
he
follo
win
g p
erce
nta
ges
of its
Tota
l Cap
ital
without
Com
mis
sion
appro
val:
48.2
5%
fro
m t
he
dat
e of th
e cl
ose
of th
e tr
ansa
ctio
n t
hro
ugh
Dec
ember
31,
2008;
47.2
5%
fro
m J
anuar
y 1,
2009,
thro
ugh D
ecem
ber
31,
2009;
46.2
5%
fro
m J
anuar
y 1,
2010 t
hro
ugh D
ecem
ber
31,
2010;
Ongoi
ng
Com
plia
nce
N
o d
istr
ibution
s hav
e bee
n m
ade
by
Paci
fiCorp
to P
PW H
oldin
gs
LLC o
r M
EH
C.
Page
3 o
f 28
Page 11
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
45.2
5%
fro
m J
anuar
y 1,
2011 t
hro
ugh D
ecem
ber
31,
2011;
44.0
0%
aft
er D
ecem
ber
31,
2011.
b)
Pac
ifiC
orp
's T
otal
Cap
ital
is
def
ined
as
com
mon e
quity,
pre
ferr
ed e
quity
and long-t
erm
deb
t. Lo
ng-t
erm
deb
t is
def
ined
as
deb
t w
ith a
ter
m o
f m
ore
th
an o
ne
year
. F
or
purp
ose
s of ca
lcula
ting t
he
num
erat
or o
f th
e per
centa
ge,
co
mm
on e
quity
will
be
incr
ease
d b
y 50%
of th
e re
mai
nin
g b
alan
ce o
f pre
ferr
ed s
tock
that
was
in e
xist
ence
prior
to t
he
acquis
itio
n o
f Pac
ifiC
orp
by
MEH
C.
Pac
ifiC
orp
and M
EH
C w
ill w
ork
with C
omm
issi
on s
taff
to d
eter
min
e a
per
centa
ge
of co
mm
on e
quity
cred
it t
o a
pply
to p
refe
rred
sto
ck iss
ued
by
Pac
ifiC
orp a
fter
the
acquis
itio
n o
f Pac
ifiC
orp b
y M
EH
C.
In t
he
abse
nce
of
such
an a
gre
emen
t bet
wee
n C
omm
issi
on s
taff a
nd t
he
Com
pan
ies,
MEH
C
and P
acifiC
orp
agre
e to
tre
at n
ew iss
uan
ces
of pre
ferr
ed s
tock
as
100%
deb
t,
unle
ss a
Com
mis
sion
ord
er a
ppro
ves
a diffe
rent
per
centa
ge.
c) M
EH
C a
nd P
acifiC
orp
com
mit t
hat
Pac
ifiC
orp w
ill n
ot
mak
e an
y div
iden
ds
to P
PW H
oldin
gs
LLC o
r M
EH
C t
hat
will
red
uce
Pac
ifiC
orp
's c
om
mon e
quity
capital
bel
ow 3
5%
of its
Tota
l Adju
sted
Cap
ital
without
Com
mis
sion a
ppro
val.
For
purp
ose
s of ca
lcula
ting t
he
num
erat
or o
f th
e per
centa
ge,
com
mon e
quity
will
not
incl
ude
any
port
ion o
f Pac
ifiC
orp
pre
ferr
ed s
tock
iss
ued
and
outs
tandin
g.
Paci
fiCorp
's T
ota
l Adju
sted
Cap
ital
is
def
ined
as
com
mon
equity,
pre
ferr
ed e
quity,
long-t
erm
deb
t, s
hort
-ter
m d
ebt
and c
apital
ized
lea
se
oblig
atio
ns.
d)
The
Com
mis
sion,
on its
ow
n m
otion
or
at t
he
reques
t of an
y par
ty,
may
re
exam
ine
the
min
imum
com
mon e
quity
per
centa
ges
as
finan
cial
conditio
ns
or
acco
unting s
tandar
ds
war
rant.
19
The
capital
req
uirem
ents
of Pa
cifiCorp
, as
det
erm
ined
to b
e nec
essa
ry t
o
mee
t its
oblig
atio
n t
o s
erve
the
public
, w
ill b
e giv
en a
hig
h p
riority
by
the
Boar
d o
f D
irec
tors
of M
EH
C a
nd P
acifiC
orp
.
Ongoi
ng
Com
plia
nce
Fo
r th
e per
iod A
pril 2008 t
hro
ugh M
arch
2009,
MEH
C m
ade
equity
infu
sions
tota
ling $
450 m
illio
n.
20
MEH
C a
nd P
acifiC
orp
com
mit t
hat
nei
ther
Pac
ifiC
orp n
or
its
subsi
dia
ries
will
, w
ithout
the
appro
val of th
e Com
mis
sion,
mak
e lo
ans
or
tran
sfer
funds
(oth
er
than
div
iden
ds
and p
aym
ents
purs
uan
t to
the
IASA)
to M
EH
C,
Ber
kshire
Hat
haw
ay o
r th
eir
resp
ective
subsi
dia
ries
, or
assu
me
any
oblig
atio
n o
r lia
bili
ty a
s guar
anto
r, e
ndor
ser,
sure
ty o
r oth
erw
ise
for
MEH
C,
Ber
kshire
Hat
haw
ay o
r th
eir
resp
ective
subsi
dia
ries
; pro
vided
that
this
conditio
n w
ill
not
pre
vent
Paci
fiCorp
, to
the
exte
nt
allo
wed
by
law
, fr
om m
akin
g loan
s or
tran
sfer
ring funds
to a
subsi
dia
ry o
f Pa
cifiCorp
or
assu
min
g a
ny
oblig
atio
n o
r lia
bili
ty o
n b
ehal
f of a
subsi
dia
ry o
f Pa
cifiCor
p.
MEH
C a
nd B
erks
hire
Hat
haw
ay w
ill n
ot p
ledge
any
of th
e as
sets
of th
e busi
nes
s of Pa
cifiCorp
as
bac
king for
any
secu
rities
whic
h M
EH
C,
Ber
kshir
e H
athaw
ay o
r th
eir
resp
ective
subsi
dia
ries
, but
excl
udin
g P
acifiC
orp
and its
subsi
dia
ries
, m
ay
issu
e.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
21
MEH
C a
nd P
acifiC
orp
will
not
advo
cate
for
a hig
her
cost
of ca
pital
as
com
par
ed t
o w
hat
Pac
ifiC
orp
’s c
ost
of ca
pital
would
hav
e bee
n,
usi
ng
Com
mis
sion
sta
ndar
ds,
abse
nt
MEH
C’s
ow
ner
ship
.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p c
ontinues
to c
alcu
late
its
cost
of ca
pital
on a
sta
nd-a
lone
bas
is,
and h
as n
ot
advo
cate
d for
a hig
her
cost
due
to its
acq
uis
itio
n b
y M
EH
C.
This
has
bee
n d
emonst
rate
d in t
he
cost
of ca
pital
tes
tim
ony
file
d
in t
he
com
pan
y’s
gen
eral
rat
e ca
se fili
ngs.
Page
4 o
f 28
Page 12
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
22
[This
Com
mitm
ent
num
ber
has
inte
ntional
ly b
een lef
t bla
nk.
Com
mitm
ent
22 is
not
avai
lable
if a
stat
e se
lect
s O
regon-s
pec
ific
Com
mitm
ent
O 1
2.]
In
tentional
ly L
eft
Bla
nk
This
com
mitm
ent
num
ber
has
bee
n inte
ntional
ly lef
t bla
nk.
23
Paci
fiCor
p w
ill c
ontinue
a Blu
e Sky
tar
iff offer
ing in a
ll st
ates
. P
acifiC
orp
will
co
ntinue
to s
upport
this
offer
ing t
hro
ugh innova
tive
mar
keting,
by
modifyi
ng
the
tariff
to r
efle
ct t
he
dev
elop
ing g
reen
pow
er m
arke
t an
d b
y m
onitoring
nat
ional
cer
tifica
tion s
tandar
ds.
Ongoi
ng
Com
plia
nce
Blu
e Sky
pro
motional
act
ivitie
s in
cluded
tar
get
ed d
irec
t m
ail ca
mpai
gns,
em
ail ca
mpai
gn,
busi
nes
s re
ply
enve
lopes
, th
e co
mpan
y's
call
cente
r ch
alle
nge,
bill
mes
sages
as
wel
l as
cust
omer
new
slet
ters
sto
ries
, co
mm
unity
pro
ject
fundin
g a
nnounce
men
ts a
nd d
irec
t cu
stom
er
outr
each
via
cust
om
er a
ccount
man
ager
s an
d r
egio
nal
com
munity
man
ager
s. I
n a
dditio
n,
com
munity-
bas
ed c
hal
lenges
wer
e la
unch
ed in
par
tner
ship
with c
om
munity
and b
usi
nes
s le
ader
s. Com
munity
mem
ber
s w
ere
also
afford
ed t
he
opport
unity
to lea
rn m
ore
about
the
Blu
e Sky
option v
ia c
omm
unity
even
ts a
nd s
tore
front
tablin
g,
loca
l busi
nes
s outr
each
par
tner
ship
s an
d g
reen
ing c
omm
unity
even
ts.
All
cust
om
ers
continue
to r
ecei
ve a
cknow
ledgem
ent
when
they
enro
ll in
cludin
g a
than
k yo
u let
ter
and a
win
dow
dec
al.
New
busi
nes
s par
tner
s re
ceiv
ed a
cer
tifica
te o
r pla
que
dep
endin
g o
n e
nro
llmen
t le
vel
as w
ell as
oppor
tunity
to p
rom
ote
thei
r su
stai
nab
le a
ctio
ns
thro
ugh t
he
use
of th
e Blu
e Sky
busi
nes
s par
tner
lab
el a
nd n
ew B
lue
Sky
w
ord
mar
k. P
artici
pat
ing c
ust
om
ers
at t
he
end o
f th
e ca
lendar
yea
r al
so
rece
ived
a t
han
k yo
u let
ter
ackn
owle
dgin
g t
he
amount
of re
new
able
en
ergy
they
indiv
idual
ly s
upport
ing d
uring t
he
year
and h
ow
much
co
llect
ivel
y al
l Blu
e Sky
cust
om
ers
suppor
ted.
In 2
008,
the
com
pan
y beg
an c
omm
unic
atin
g t
o c
ust
om
ers
that
the
pro
gra
m w
as G
reen
-e E
ner
gy
cert
ifie
d a
nd c
om
plie
d w
ith G
reen
-e
Ener
gy
cust
omer
dis
closu
re a
nd n
atio
nal
sta
ndar
d r
equirem
ents
. The
com
pan
y re
gula
rly
par
tici
pat
ed in G
reen
-e E
ner
gy
Advi
sory
Com
mitte
e m
eetings
to s
tay
abre
ast
of nat
ional
cer
tifica
tion s
tandar
ds
and a
ny
pen
din
g c
han
ges
to e
valu
ate
impac
t to
offer
ing.
In 2
008 t
he
com
pan
y m
ade
chan
ges
to
the
equiv
alen
t en
viro
nm
enta
l ben
efit c
alcu
lation
s to
al
ign w
ith G
reen
-e E
ner
gy
and E
PA s
ugges
ted m
ethodol
ogy.
Tar
iff ch
anges
wer
e file
d N
ove
mber
18,
2008 a
nd a
ppro
ved J
anuar
y 1,
2009 t
o a
llow
mor
e flex
ibili
ty in t
he
enro
llmen
t pro
cess
. A
fili
ng w
as
subm
itte
d in D
ecem
ber
9,
2008 fo
r th
e Q
uan
tity
Sav
ings
option
that
allo
wed
the
com
pan
y th
e ab
ility
to r
espond t
o c
ust
om
er r
eques
ts
for
signific
ant
larg
e, m
ultip
le y
ear
REC p
urc
has
es a
nd n
egotiat
e ar
rangem
ent
purs
uan
t to
a w
ritt
en c
ontr
act,
whic
h b
ecam
e ef
fect
ive
Januar
y 9,
2009
24
Paci
fiCor
p w
ill c
ontinue
its
com
mitm
ent
to g
ather
outs
ide
input
on
envi
ronm
enta
l m
atte
rs,
such
as
thro
ugh t
he
Envi
ronm
enta
l Fo
rum
. O
ngoi
ng
Com
plia
nce
O
n a
n o
n-g
oing b
asis
, Pa
cifiCorp
is
an a
ctiv
e par
tici
pan
t in
the
follo
win
g
whic
h p
rovi
de
opport
unitie
s fo
r Pa
cifiCorp
to g
ather
outs
ide
input
on
spec
ific
envi
ronm
enta
l m
atte
rs:
Big
Sky
Car
bon S
eques
trat
ion P
artn
ersh
ip,
Cal
iforn
ia C
limat
e Act
ion
Reg
istr
y, C
alifor
nia
Dia
logue
Gro
up,
Edis
on E
lect
ric
Inst
itute
, Ele
ctric
Pow
er R
esea
rch I
nst
itute
, Ener
gy
Tru
st o
f O
regon R
enew
able
s Advi
sory
Page
5 o
f 28
Page 13
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
Counci
l, t
he
Idah
o C
limat
e Is
sues
Tas
k Fo
rce,
Nort
hw
est
Pow
er &
Conse
rvat
ion C
ounci
l, O
regon
Glo
bal
War
min
g C
omm
issi
on,
Ore
gon
Ren
ewab
le E
ner
gy
Work
ing G
roup,
Ore
gon W
este
rn C
limat
e In
itia
tive
Sta
kehol
der
Gro
up,
The
Clim
ate
Reg
istr
y (“
TCR”)
, U
tah E
ner
gy
Foru
m,
Uta
h C
lean
Ener
gy,
Uta
h R
enew
able
Ener
gy
Zon
es w
ork
gro
up,
Uta
h
“Sen
ate
Bill
202”
work
gro
ups,
Uta
h W
este
rn C
limat
e In
itia
tive
Sta
kehol
der
Gro
up,
Uta
h W
ind w
ork
ing g
roup,
Was
hin
gto
n F
ores
try
Offse
ts W
ork
ing G
roup,
Was
hin
gto
n W
este
rn C
limat
e In
itia
tive
Sta
kehol
der
s G
roup,
WEST A
ssoci
ates
, th
e W
este
rn G
ove
rnors
Ass
oci
atio
n W
este
rn R
enew
able
Ener
gy
Zon
es c
om
mitte
e, t
he
Wes
tern
Reg
ional
Air
Par
tner
ship
Sta
tionar
y Sourc
e Jo
int
Foru
m,
the
Wyo
min
g
Car
bon C
aptu
re a
nd S
eques
trat
ion w
ork
gro
up,
and t
he
Wyo
min
g
Wes
tern
Sta
tes
Ener
gy
and E
nvi
ronm
ent
Sym
posi
um
ste
erin
g
com
mitte
e.
25
Paci
fiCor
p w
ill c
ontinue
to h
ave
envi
ronm
enta
l m
anag
emen
t sy
stem
s in
pla
ce
that
are
sel
f-ce
rtifie
d t
o I
SO
14001 s
tandar
ds
at a
ll Pa
cifiCor
p o
per
ated
th
erm
al g
ener
atio
n p
lants
.
Ongoi
ng
Com
plia
nce
The
Pac
ifiC
orp
ther
mal
pla
nts
continue
to m
ainta
in t
hei
r IS
O 1
4001
Cer
tifica
te o
f Reg
istr
atio
n.
The
mos
t re
cent
surv
eilla
nce
audits
wer
e co
nduct
ed d
uri
ng F
ebru
ary
2009.
On M
arch
13,
2009,
the
Lake
Sid
e pla
nt
was
added
to t
he
Cer
tifica
te o
f Reg
istr
atio
n.
26
MEH
C w
ill m
ainta
in a
t le
ast
the
exis
ting lev
el o
f Pac
ifiC
orp
’s c
om
munity-
rela
ted c
ontr
ibutions,
both
in t
erm
s of m
onet
ary
and in-k
ind c
ontr
ibution
s.
The
dis
trib
ution o
f Pa
cifiCorp
’s c
omm
unity-
rela
ted c
ontr
ibutions
among t
he
stat
es w
ill b
e don
e in
a m
anner
that
is
fair a
nd e
quitab
le t
o e
ach s
tate
.
Ongoi
ng
Com
plia
nce
Pac
ifiC
orp m
ainta
ined
its
lev
el o
f su
pport
for
com
munity-
rela
ted
contr
ibutions.
Exp
enditure
s ar
e tr
acke
d t
o e
nsu
re t
hat
the
Com
pan
y is
m
akin
g e
quitab
le a
lloca
tion
s.
Com
munity
fundin
g (
contr
ibutions,
sponso
rship
s an
d in-k
ind d
onat
ions)
fo
r ca
lendar
yea
r 2008 t
ota
led $
2,8
47,6
08.
27
MEH
C w
ill c
ontinue
to c
onsu
lt w
ith r
egio
nal
advi
sory
boar
ds
to e
nsu
re loca
l per
spec
tive
s ar
e hea
rd r
egar
din
g c
om
munity
issu
es.
Ongoi
ng
Com
plia
nce
The
Pac
ific
Pow
er R
egio
nal
Advi
sory
Boar
d m
et J
une
26,
2008,
Sep
tem
ber
15,
2008 a
nd F
ebru
ary
10,
2009.
The
nex
t Pac
ific
Pow
er
Reg
ional
Advi
sory
Boar
d m
eeting is
sched
ule
d for
June
3,
2009.
Reg
ional
Advi
sory
Boar
d m
ember
s ar
e se
nt
mon
thly
updat
es o
n
indust
ry a
nd b
usi
nes
s is
sues
.
28
MEH
C w
ill h
onor
Paci
fiCor
p’s
exi
stin
g lab
or
contr
acts
. O
ngoi
ng
Com
plia
nce
All
agre
emen
ts a
re b
eing h
onore
d.
No a
ctio
n r
equired
on t
he
Col
lect
ive
Bar
gai
nin
g A
gre
emen
ts w
ith I
BEW
Loca
l 57 c
ombust
ion t
urb
ine
or
IBEW
Lo
cal 659.
IBEW
Loca
l 57 p
ow
er d
eliv
ery
– T
he
prior
lab
or
agre
emen
t w
as
exte
nded
in D
ecem
ber
2008 u
ntil Ja
nuar
y 2011.
IBEW
Loca
l 57 p
ow
er s
upply
–The
prior
labor
agre
emen
t w
as e
xten
ded
in
Dec
ember
2008 u
ntil Ja
nuar
y 2011.
IBEW
Loca
l 57 L
aram
ie –
The
curr
ent
labor
agre
emen
t ex
pires
June
25,
2009.
Neg
otiat
ions
on a
succ
esso
r ag
reem
ent
beg
in M
ay 2
0,
2009.
UW
UA L
ocal
127-
The
curr
ent
agre
emen
t ex
pir
es S
epte
mber
25,
2009.
Neg
otiat
ions
on a
succ
esso
r ag
reem
ent
will
com
men
ce in J
uly
2009.
Page
6 o
f 28
Page 14
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
UW
UA L
ocal
197 –
Prior
labor
agre
emen
t ex
pir
es M
ay 2
5,
2009.
Neg
otiat
ions
com
men
ced a
nd c
ontinue.
Pre
sently
the
agre
emen
t re
mai
ns
in full
forc
e an
d e
ffec
t.
IBEW
Loca
l 125 -
Loca
l 125 m
ember
ship
rat
ifie
d a
new
thre
e-ye
ar lab
or
agre
emen
t w
ith P
acifiC
orp J
une
17,
2008
29
Aft
er t
he
closi
ng o
f th
e tr
ansa
ctio
n,
MEH
C a
nd P
acifiC
orp
will
mak
e no
unila
tera
l ch
anges
to e
mplo
yee
ben
efit p
lans
pri
or
to M
ay 2
3,
2007 t
hat
w
ould
res
ult in t
he
reduct
ion o
f em
plo
yee
ben
efits.
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
May
23,
2007.
30
Paci
fiCor
p w
ill c
ontinue
to p
roduce
Inte
gra
ted R
esourc
e Pl
ans
acco
rdin
g t
o
the
then
curr
ent
sched
ule
and t
he
then
curr
ent
Com
mis
sion r
ule
s an
d o
rder
s.
Ongoi
ng
Com
plia
nce
The
Com
pan
y re
ceiv
ed O
regon C
om
mis
sion A
cknow
ledgem
ent
Ord
er
(08-2
32)
on A
pril 24,
2008,
ackn
owle
dgin
g t
he
2007 I
RP p
lan w
ith
exce
ptions.
On J
une
11,
2008,
Paci
fiCorp
file
d a
n u
pdat
e to
its
2007 I
nte
gra
ted
Res
ourc
e Pl
an in U
tah,
Ore
gon,
Idah
o,
Was
hin
gto
n,
and W
yom
ing a
s re
quired
by
the
Uta
h a
nd O
regon c
om
mis
sions.
The
updat
e w
as
pro
vided
for
info
rmat
ional
purp
ose
s only
; no c
omm
issi
on a
ctio
n w
as
reques
ted.
31
When
acq
uirin
g n
ew g
ener
atio
n r
esourc
es in e
xces
s of 100 M
W a
nd w
ith a
dep
endab
le life
of 1
0 o
r m
ore
yea
rs,
Paci
fiCor
p a
nd M
EH
C w
ill iss
ue
Req
ues
ts
for
Prop
osa
ls (
RFP
s) o
r oth
erw
ise
com
ply
with s
tate
law
s, r
egula
tion
s an
d
ord
ers
that
per
tain
to p
rocu
rem
ent
of new
gen
erat
ion r
esou
rces
for
Pac
ifiC
orp.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p iss
ued
the
2008 A
ll Sourc
e Req
ues
t fo
r Pr
oposa
l (R
FP)
on
Oct
ober
2,
2008 w
hic
h w
as a
ppro
ved in U
tah a
nd O
regon
. The
2008 A
ll Sourc
e RFP
was
susp
ended
on A
pril 6,
2009 b
y th
e U
tah C
omm
issi
on.
Pac
ifiC
orp iss
ued
the
2008R-1
RFP
for
renew
able
res
ourc
es o
n O
ctob
er
6,
2008 a
nd iss
ued
the
Am
ended
2008R-1
RFP
on J
anuar
y 26,
2009,
whic
h is
still
in p
roce
ss.
The
2008R-1
was
appro
ved in O
regon o
n b
oth
ac
counts
and w
as n
otice
d in U
tah c
onsi
sten
t w
ith s
tate
law
s, r
egula
tions
and o
rder
s.
32
Noth
ing in t
hes
e ac
quis
itio
n c
om
mitm
ents
shal
l be
inte
rpre
ted a
s a
wai
ver
of
Paci
fiCor
p’s
or
MEH
C’s
rig
hts
to r
eques
t co
nfiden
tial
tre
atm
ent
for
info
rmat
ion t
hat
is
the
subje
ct o
f an
y co
mm
itm
ents
.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion;
action n
ot
required
unle
ss s
pec
ifie
d
activi
ties
occ
ur.
33
[This
Com
mitm
ent
num
ber
has
inte
ntional
ly b
een lef
t bla
nk.
O
regon
-spec
ific
Com
mitm
ent
O 1
subst
itute
s fo
r th
is C
omm
itm
ent
33.]
In
tentional
ly L
eft
Bla
nk
This
com
mitm
ent
num
ber
has
bee
n inte
ntional
ly lef
t bla
nk.
34
MEH
C a
nd P
acifiC
orp
hav
e id
entified
tra
nsm
issi
on p
roje
cts
that
MEH
C a
nd
Paci
fiCor
p b
elie
ve w
ill e
nhan
ce r
elia
bili
ty,
faci
litat
e th
e re
ceip
t of re
new
able
re
sourc
es,
or
enab
le furt
her
sys
tem
optim
izat
ion.
Subje
ct t
o p
erm
itting a
nd
the
avai
labili
ty o
f m
ater
ials
, eq
uip
men
t an
d r
ights
-of-
way
, M
EH
C a
nd
Paci
fiCor
p c
omm
it t
o u
se t
hei
r bes
t ef
fort
s to
ach
ieve
the
follo
win
g
tran
smis
sion s
yste
m infr
astr
uct
ure
Im
pro
vem
ents
1:
a)Pa
th C
Upgra
de
(~$78 m
illio
n)
– I
ncr
ease
Pat
h C
cap
acity
by
300 M
W
(fro
m S
.E.
Idah
o to
Nort
her
n U
tah).
The
targ
et c
om
ple
tion d
ate
for
this
pro
ject
is
2010.
MEH
C a
nd P
acifiC
orp
ass
ert
that
this
pro
ject
:
Ongoi
ng
Com
plia
nce
a)
Path
C –
Const
ruct
ion w
as initia
ted in e
arly
2009 a
nd long lea
d
equip
men
t is
on o
rder
for
the
Ben
Lom
ond t
o T
erm
inal
sec
tion o
f th
is
pro
ject
.
Sig
nific
ant
pro
gre
ss t
owar
d p
erm
itting a
nd r
ight
of w
ay a
cquis
itio
n for
the
Ben
Lom
ond t
o P
opulu
s se
ctio
n o
f th
e pro
ject
was
mad
e ove
r th
e pas
t ye
ar.
Rig
ht
of w
ay a
cquis
itio
n is
esse
ntial
ly c
om
ple
te a
nd a
cces
s has
bee
n g
rante
d t
o t
he
const
ruct
ion c
ontr
acto
r. Envi
ronm
enta
l per
mitting r
esol
ution is
imm
inen
t.
Page
7 o
f 28
Page 15
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
•en
han
ces
relia
bili
ty b
ecau
se it
incr
ease
s tr
ansf
er c
apab
ility
bet
wee
n t
he
east
and w
est
contr
ol a
reas
, •
faci
litat
es t
he
del
iver
y of pow
er fro
m w
ind p
roje
cts
in I
dah
o,
and
•pro
vides
Pac
ifiC
orp w
ith g
reat
er fle
xibili
ty a
nd t
he
opport
unity
to c
onsi
der
ad
ditio
nal
options
regar
din
g p
lanned
gen
erat
ion c
apac
ity
additio
ns.
b)
Mona
- O
quir
rh (
~$196 m
illio
n)
– I
ncr
ease
the
import
cap
abili
ty fro
m
Mona
into
the
Was
atch
Fro
nt
(fro
m W
asat
ch F
ront
South
to W
asat
ch F
ront
Nort
h).
This
pro
ject
wou
ld e
nhan
ce t
he
abili
ty t
o im
port
pow
er fro
m n
ew
reso
urc
es d
eliv
ered
at
or
to M
ona,
and t
o im
port
fro
m S
outh
ern C
aliforn
ia b
y “w
hee
ling”
ove
r th
e Adel
anto
DC t
ie.
The
targ
et c
omple
tion d
ate
for
this
pro
ject
is
2011.
MEH
C a
nd P
acifiC
orp
ass
ert
that
this
pro
ject
: •
enhan
ces
relia
bili
ty b
y en
ablin
g t
he
import
of pow
er fro
m S
outh
ern
Cal
iforn
ia e
ntities
during e
mer
gen
cy s
ituat
ions,
•
faci
litat
es t
he
acce
pta
nce
of re
new
able
res
ourc
es,
and
•en
han
ces
furt
her
sys
tem
optim
izat
ion s
ince
it
enab
les
the
furt
her
purc
has
e or
exch
ange
of se
asonal
res
ourc
es fro
m p
arties
cap
able
of
del
iver
ing t
o M
ona.
c)
Wal
la W
alla
- Y
akim
a or
Mid
-C (
~$88 m
illio
n)
– E
stab
lish a
lin
k bet
wee
n
the
“Wal
la W
alla
bubble
” an
d t
he
“Yak
ima
bubble
” an
d/o
r re
info
rce
the
link
bet
wee
n t
he
“Wal
la W
alla
bubble
” an
d t
he
Mid
-Col
um
bia
(at
Van
tage)
. M
EH
C
and P
acifiC
orp
ass
ert
that
either
of th
ese
pro
ject
s pre
sents
opport
unitie
s to
en
han
ce P
acifiC
orp’s
abili
ty t
o a
ccep
t th
e outp
ut
from
win
d g
ener
ators
and
bal
ance
the
syst
em c
ost
effe
ctiv
ely
in a
reg
ional
envi
ronm
ent.
The
targ
et
com
ple
tion d
ate
for
this
pro
ject
is
2010.
______________
1 I
t is
pos
sible
that
upon furt
her
rev
iew
a p
articu
lar
inve
stm
ent
mig
ht
not
be
cost
-effec
tive
, optim
al for
cust
om
ers
or
able
to b
e co
mple
ted b
y th
e ta
rget
dat
e. If
that
shou
ld o
ccur,
MEH
C p
ledges
to p
ropos
e an
alter
nat
ive
to t
he
Com
mis
sion
with a
com
par
able
ben
efit.
b)
Mona
– W
asat
ch –
A d
raft
Envi
ronm
enta
l Im
pac
t Sta
tem
ent
was
co
mple
ted p
urs
uan
t to
BLM
req
uirem
ents
during t
he
year
and w
ill b
e is
sued
by
the
agen
cy s
oon
for
public
com
men
t.
c) W
alla
Wal
la –
McN
ary
– C
onditio
nal
use
per
mits
from
all
gove
rnin
g
bodie
s im
pac
ted b
y th
e pro
pose
d lin
e ro
ute
wer
e re
ceiv
ed f
or
the
pro
ject
.
Paci
fiCor
p h
as r
evie
wed
the
pro
ject
in lig
ht
of ev
olvi
ng r
egio
nal
tr
ansm
issi
on p
lans
as w
ell as
tim
ing o
f pote
ntial
ren
ewab
le g
ener
atio
n
dev
elop
men
t in
the
area
. Som
e of th
ese
pla
ns
hav
e not
yet
fully
m
ature
d,
mea
nin
g t
he
most
pru
den
t ac
tion for
now
is
to h
old o
ff o
n t
he
nex
t st
ep;
right
of w
ay a
cquis
itio
n.
Pausi
ng t
he
pro
ject
will
del
ay t
he
pro
ject
’s t
arget
ed c
om
ple
tion d
ate
of ye
ar-e
nd 2
010.
A n
ew in-s
ervi
ce
dat
e w
ill b
e es
tablis
hed
at
com
ple
tion o
f re
gio
nal
stu
die
s an
d
confirm
atio
n is
rece
ived
that
the
pro
pose
d p
roje
ct fits
appro
priat
ely
with
the
wid
er R
egio
nal
pla
n.
35
MEH
C a
nd P
acifiC
orp
mak
e th
e fo
llow
ing c
om
mitm
ents
to im
pro
ve s
yste
m
relia
bili
ty:
a) inve
stm
ent
in t
he
Ass
et R
isk
Progra
m o
f $75 m
illio
n o
ver
the
thre
e ye
ars,
2007-2
009,
b)
inve
stm
ent
in loca
l tr
ansm
issi
on r
isk
pro
ject
s ac
ross
all
stat
es o
f $69
mill
ion o
ver
eight
year
s af
ter
the
close
of th
e tr
ansa
ctio
n,
c) O
& M
exp
ense
for
the
Acc
eler
ated
Dis
trib
ution C
ircu
it F
usi
ng P
rogra
m
acro
ss a
ll st
ates
will
be
incr
ease
d b
y $1.5
mill
ion p
er y
ear
for
five
yea
rs a
fter
th
e cl
ose
of th
e tr
ansa
ctio
n,
and
d)
exte
nsi
on o
f th
e O
&M
inve
stm
ent
acro
ss a
ll st
ates
for
the
Sav
ing S
AID
I In
itia
tive
for
thre
e ad
ditio
nal
yea
rs a
t an
est
imat
ed c
ost
of $2 m
illio
n p
er
year
. e)
MEH
C a
nd P
acifiC
orp
will
suppor
t th
e Bonnev
ille
Pow
er A
dm
inis
trat
ion in
its
dev
elopm
ent
of sh
ort
-ter
m p
roduct
s su
ch a
s co
nditio
nal
fir
m.
No les
s th
an t
hre
e m
onth
s fo
llow
ing t
he
clos
e of th
e tr
ansa
ctio
n,
Paci
fiCorp
will
in
itia
te a
pro
cess
to c
olla
bora
tive
ly d
esig
n s
imila
r sh
ort
-ter
m t
ransm
issi
on
Ongoi
ng
Com
plia
nce
a)
CO
MP
LETE
–ef
fect
ive
Dec
ember
30,
2007.
Fro
m t
he
per
iod
Januar
y to
Dec
ember
2007,
Pac
ifiC
orp
spen
t $94,6
00,0
70 o
r 126%
of
the
$75 m
illio
n c
om
mitm
ent.
b)
Thro
ugh M
arch
2009,
Pac
ifiC
orp
spen
t ap
pro
xim
atel
y $16,0
31,3
49,
or
23.2
%,
of th
e to
tal $69 m
illio
n inve
stm
ent
(ove
r an
8-y
ear
per
iod)
in
pro
ject
s id
entified
as
tran
smis
sion
ris
k pro
ject
s.
c) T
hro
ugh c
alen
dar
yea
r 2008,
115.3
% o
f th
e $2.5
mill
ion 2
008 b
udget
w
as s
pen
t. Pa
cifiCorp
continued
im
ple
men
ting p
rior-
dev
eloped
circu
it
fusi
ng im
pro
vem
ent
pro
ject
s co
nsi
sten
t w
ith c
omm
itm
ents
and p
lans.
Fo
r th
e per
iod J
anuar
y th
rough M
arch
2009,
43.7
% o
f th
e $2.5
mill
ion
2009 b
udget
has
bee
n s
pen
t.
d)
Thro
ugh c
alen
dar
yea
r 2008,
274.4
% o
f th
e $2 m
illio
n 2
008 b
udget
w
as s
pen
t. F
or
the
per
iod J
anuar
y th
rough M
arch
2009,
Paci
fiCorp
has
Page
8 o
f 28
Page 16
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
pro
duct
s an
d w
ill incl
ude
stak
ehol
der
s in
this
pro
cess
. P
acifiC
orp w
ill m
ake
ever
y re
asonab
le e
ffort
to c
om
ple
te a
pro
duct
by
the
end o
f 2008.
f) P
acifiC
orp w
ill c
ontinue
to o
ffer
its
Par
tial
Inte
rim
Ser
vice
pro
duct
, an
d w
ill
mak
e co
mm
erci
ally
rea
sonab
le e
ffort
s to
offer
tra
nsm
issi
on c
ust
omer
s as
m
uch
firm
ser
vice
as
the
Com
pan
y’s
tran
smis
sion s
tudie
s sh
ow is
avai
lable
, in
cludin
g w
eeks
within
a m
onth
. P
acifiC
orp w
ill a
lso c
ontinue
its
OATT t
ariff
pro
visi
on t
hat
allo
ws
tran
smis
sion c
ust
om
ers
to a
lter
pre
-sch
edule
d
tran
sact
ions
up t
o 2
0 m
inute
s bef
ore
the
hour
as long a
s su
ch p
rovi
sion
is
consi
sten
t w
ith e
stab
lished
sch
edulin
g p
ract
ices
and d
oes
not
jeopar
diz
e sy
stem
rel
iabili
ty.
Pac
ifiC
orp
will
notify
par
ties
to t
his
pro
ceed
ing if it
pro
pose
s ch
anges
to t
hes
e tw
o e
lem
ents
of its
OATT.
spen
t $851,5
78 o
n S
avin
g S
AID
I Im
pro
vem
ents
.
e)C
OM
PLE
TE
– e
ffec
tive
Dec
ember
28,
2007.
f) P
acifiC
orp o
ffer
s par
tial
inte
rim
ser
vice
and a
llow
s sc
hed
ulin
g
modific
atio
ns
up t
o 2
0 m
inute
s bef
ore
the
star
t of th
e hour
during r
eal
tim
e. Thes
e pra
ctic
es w
ill c
ontinue.
36
MEH
C r
ecogniz
es t
hat
it
can a
nd s
hould
hav
e a
role
in a
ddre
ssin
g t
he
critic
al
import
ance
of tr
ansm
issi
on infr
astr
uct
ure
to t
he
stat
es in w
hic
h P
acifiC
orp
se
rves
. M
EH
C a
lso r
ecogniz
es t
hat
som
e tr
ansm
issi
on p
roje
cts,
while
hig
hly
des
irab
le,
may
not
be
appro
pri
ate
inve
stm
ents
for
Pac
ifiC
orp a
nd its
re
gula
ted c
ust
om
ers.
Ther
efore
, M
EH
C c
omm
its
its
reso
urc
es a
nd lea
der
ship
to
ass
ist
Paci
fiCor
p s
tate
s in
the
dev
elopm
ent
of tr
ansm
issi
on p
roje
cts
upon
whic
h t
he
stat
es c
an a
gre
e. Exa
mple
s of su
ch p
roje
cts
would
be
RM
ATS a
nd
the
pro
pose
d F
rontier
tra
nsm
issi
on lin
e.
Ongoi
ng
Com
plia
nce
Pac
ifiC
orp is
movi
ng forw
ard w
ith its
Ener
gy
Gat
eway
Tra
nsm
issi
on
Exp
ansi
on P
roje
ct t
o b
uild
appro
xim
atel
y 2,0
00 m
iles
of new
hig
h-
voltag
e tr
ansm
issi
on lin
es p
rim
arily
in W
yom
ing,
Uta
h,
Idah
o, O
regon
and t
he
des
ert
South
wes
t. T
he
pla
n,
with a
n e
stim
ated
cost
exc
eedin
g
$6.1
bill
ion,
incl
udes
pro
ject
s th
at w
ill a
ddre
ss c
ust
om
er load
gro
wth
, im
pro
ve s
yste
m r
elia
bili
ty a
nd d
eliv
er e
ner
gy
for
new
win
d-p
ow
ered
and
oth
er r
enew
able
gen
erat
ion r
esourc
es t
hro
ughout
Paci
fiCor
p’s
six
-sta
te
serv
ice
area
and t
he
Wes
tern
United
Sta
tes.
Pac
ifiC
orp h
as r
ecogniz
ed t
hat
upsi
zing t
he
pro
ject
would
pro
vide
additio
nal
reg
ional
ben
efits
and h
as t
aken
sev
eral
ste
ps
to m
ake
that
hap
pen
sin
ce t
he
pro
ject
was
origin
ally
announce
d in M
ay 2
007,
incl
udin
g s
eeki
ng q
ueu
e cu
stom
ers
and e
quity
par
tner
s, p
roposi
ng
feder
al leg
isla
tion
for
finan
cing for
the
incr
emen
tal ca
pac
ity,
req
ues
ting
ince
ntive
rat
e tr
eatm
ent
from
the
Feder
al E
ner
gy
Reg
ula
tory
C
om
mis
sion
, an
d o
ther
solic
itat
ion e
ffort
s. T
o d
ate,
sig
nific
ant
bar
rier
s st
ill e
xist
that
pre
vent
Paci
fiCorp
and o
ther
par
ties
fro
m m
akin
g a
co
mm
itm
ent
to t
he
upsi
zed b
uild
. Pa
cifiCor
p is
mov
ing forw
ard w
ith
des
ign,
siting a
nd p
erm
itting o
f th
e pro
ject
and m
ay incl
ude
additio
nal
al
tern
ativ
es t
o p
rese
rve
flex
ibili
ty for
futu
re u
psi
zing c
apab
ilities
if
futu
re c
omm
itm
ents
are
rec
eive
d.
Pac
ifiC
orp is
active
ly p
artici
pat
ing in t
he
Wes
tern
Ele
ctrici
ty
Coord
inat
ing C
ounci
l’s p
ath r
atin
gs
pro
cess
and r
egio
nal
, su
b-r
egio
nal
an
d loca
l pla
nnin
g a
ctiv
itie
s.
37
[This
Com
mitm
ent
num
ber
has
inte
ntional
ly b
een lef
t bla
nk.
Com
mitm
ent
37 is
not
avai
lable
if a
stat
e se
lect
s O
regon-s
pec
ific
Com
mitm
ent
O 1
4.]
In
tentional
ly L
eft
Bla
nk
This
Com
mitm
ent
num
ber
has
bee
n inte
ntional
ly lef
t bla
nk.
38
[This
Com
mitm
ent
num
ber
has
inte
ntional
ly b
een lef
t bla
nk.
Com
mitm
ent
38 is
not
avai
lable
if a
stat
e se
lect
s O
regon-s
pec
ific
Com
mitm
ents
O 9
and O
11.]
Inte
ntional
ly L
eft
Bla
nk
This
Com
mitm
ent
num
ber
has
bee
n inte
ntional
ly lef
t bla
nk.
39
In C
om
mitm
ent
31,
MEH
C a
nd P
acifiC
orp
adopt
a co
mm
itm
ent
to s
ourc
e fu
ture
Pac
ifiC
orp
gen
erat
ion r
esourc
es c
onsi
sten
t w
ith t
he
then
curr
ent
rule
s an
d r
egula
tions
of e
ach s
tate
. I
n a
dditio
n t
o t
hat
com
mitm
ent,
for
the
nex
t te
n y
ears
, M
EH
C a
nd P
acifiC
orp
com
mit t
hat
they
will
subm
it a
s par
t of an
y co
mm
issi
on a
ppro
ved R
FPs
for
reso
urc
es w
ith a
dep
endab
le life
gre
ater
than
Ongoi
ng
Com
plia
nce
Consi
sten
t w
ith t
he
IRP a
ctio
n p
lan,
and P
acifiC
orp
com
mitm
ent
to
subm
it a
s par
t of an
y Com
mis
sion
-appro
ved r
eques
t fo
r pro
posa
l (R
FP)
for
reso
urc
es w
ith a
dep
endab
le life
gre
ater
than
10 y
ears
and g
reat
er
than
100 M
W,
Paci
fiCorp
iss
ued
the
appro
ved 2
008 A
ll Sourc
e RFP
on
Oct
ober
2,
2008 t
o t
he
mar
ket
for
up t
o 2
000 m
egaw
atts
. H
ow
ever
, th
e
Page
9 o
f 28
Page 17
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
10 y
ears
and g
reat
er t
han
100 M
W,
--in
cludin
g r
enew
able
ener
gy
RFP
s --
a
100 M
W o
r m
ore
utilit
y “o
wn/o
per
ate”
alter
nat
ive
for
the
par
ticu
lar
reso
urc
e.
It is
not
the
inte
nt
or
obje
ctiv
e th
at s
uch
alter
nat
ives
be
favo
red o
ver
oth
er
options.
Rat
her
, th
e option
for
Paci
fiCorp
to o
wn a
nd o
per
ate
the
reso
urc
e w
hic
h is
the
subje
ct o
f th
e RFP
will
enab
le c
om
par
ison a
nd e
valu
atio
n o
f th
at
option a
gai
nst
oth
er v
iable
alter
nat
ives
. I
n a
dditio
n t
o p
rovi
din
g r
egula
tors
an
d inte
rest
ed p
arties
with a
n a
dditio
nal
via
ble
option for
asse
ssm
ent,
it
can
be
expec
ted t
hat
this
com
mitm
ent
will
enhan
ce P
acifiC
orp
’s a
bili
ty t
o
incr
ease
the
pro
port
ion o
f co
st-e
ffec
tive
ren
ewab
le e
ner
gy
in its
gen
erat
ion
port
folio
, bas
ed u
pon t
he
actu
al e
xper
ience
of M
EC a
nd t
he
“Ren
ewab
le
Ener
gy”
com
mitm
ent
offer
ed b
elow
.
reques
t fo
r pro
pos
al w
as s
usp
ended
on A
pril 6,
2009 d
ue
to t
he
hig
h
cost
of th
e pro
pos
als
and d
ecre
ase
in load
s. T
he
cost
s an
d load
s w
ill b
e re
view
ed in t
he
nex
t si
x m
onth
s. T
he
Uta
h C
omm
issi
on a
ppro
ved t
he
susp
ensi
on a
nd t
he
Ore
gon C
om
mis
sion w
as n
otified
.
Pac
ifiC
orp iss
ued
the
2008R-1
RFP
for
renew
able
res
ourc
es o
n O
ctob
er
6,
2008 a
nd iss
ued
the
Am
ended
2008R-1
RFP
on J
anuar
y 26,
2009.
The
ackn
owle
dgem
ent
of th
e Fi
nal
Short
list
has
bee
n file
d in O
regon
an
d t
he
eval
uat
ion t
o d
eter
min
e if a
ny
pro
posa
ls a
re v
iable
is
curr
ently
under
way
.
40
MEH
C r
eaffirm
s Pa
cifiCorp
's c
om
mitm
ent
to a
cquire
1400 M
W o
f new
cost
-ef
fect
ive
renew
able
res
ourc
es,
repre
senting a
ppro
xim
atel
y 7%
of Pa
cifiCorp
's
load
. M
EH
C a
nd P
acifiC
orp c
omm
it t
o w
ork
with d
evel
oper
s an
d b
idder
s to
bri
ng a
t le
ast
100 M
W o
f co
st-e
ffec
tive
win
d r
esou
rces
in s
ervi
ce w
ithin
one
year
of th
e cl
ose
of th
e tr
ansa
ctio
n.
MEH
C a
nd P
acifiC
orp
exp
ect
that
the
com
mitm
ent
to b
uild
the
Wal
la-W
alla
an
d P
ath C
tra
nsm
issi
on lin
es w
ill fac
ilita
te u
p t
o 4
00 M
W o
f re
new
able
re
sourc
e pro
ject
s w
ith a
n e
xpec
ted in-s
ervi
ce d
ate
of 2010.
MEH
C a
nd
Paci
fiCor
p c
omm
it t
o a
ctiv
ely
work
with d
evel
oper
s to
iden
tify
oth
er
tran
smis
sion im
pro
vem
ents
that
can
fac
ilita
te t
he
del
iver
y of co
st-e
ffec
tive
w
ind e
ner
gy
in P
acifiC
orp
’s s
ervi
ce a
rea.
In a
dditio
n,
MEH
C a
nd P
acifiC
orp c
om
mit t
o w
ork
const
ruct
ivel
y w
ith s
tate
s to
im
ple
men
t re
new
able
ener
gy
action
pla
ns
so a
s to
enab
le P
acifiC
orp
to
achie
ve a
t le
ast
1400 M
W o
f co
st-e
ffec
tive
ren
ewab
le e
ner
gy
reso
urc
es b
y 2015.
Such
ren
ewab
le e
ner
gy
reso
urc
es a
re n
ot
limited
to w
ind e
ner
gy
reso
urc
es.
Ongoi
ng
Com
plia
nce
100 M
W –
CO
MP
LE
TE –
effec
tive
July
21,
2006.
400 M
W –
CO
MP
LE
TE –
effec
tive
Dec
ember
31,
2007.
Paci
fiCor
p’s
lat
est
IRP
conta
ins
the
late
st for
ecas
t on n
ew r
enew
able
re
sourc
e dev
elopm
ent,
rea
ffirm
ing P
acifiC
orp
’s c
omm
itm
ent
to a
cquire
1400 M
W o
f new
cost
-effec
tive
ren
ewab
le r
esourc
es.
Pac
ifiC
orp h
as a
ctiv
ely
par
tici
pat
ed in t
wo e
ffort
s to
iden
tify
tr
ansm
issi
on im
pro
vem
ents
that
will
support
the
dev
elopm
ent
of
renew
able
res
ourc
es.
The
firs
t is
the
Uta
h R
enew
able
Ener
gy
Zon
es
work
gro
up a
nd t
he
seco
nd is
the
Wes
tern
Gove
rnor
s Ass
ocia
tion’s
W
este
rn R
enew
able
Ener
gy
Zon
es s
ubco
mm
itte
e. F
inal
ly,
Pac
ifiC
orp
’s
work
on t
he
Ener
gy
Gat
eway
tra
nsm
issi
on p
roje
cts
will
fac
ilita
te t
he
del
iver
y of
cost
eff
ective
ren
ewab
le e
ner
gy
in P
acifiC
orp
’s s
ervi
ce
terr
itory
.
41
MEH
C s
upport
s an
d a
ffirm
s Pa
cifiCorp
’s c
om
mitm
ent
to c
onsi
der
utiliz
atio
n o
f ad
vance
d c
oal
-fuel
tec
hnol
ogy
such
as
super
-critica
l or
IGCC t
echnol
ogy
when
addin
g c
oal
-fuel
ed g
ener
atio
n.
Ongoi
ng
Com
plia
nce
Sin
ce t
he
end o
f 2007 t
he
com
pan
y su
spen
ded
furt
her
dev
elop
men
t of
coal
-bas
ed r
esourc
es p
endin
g c
larifica
tion o
n p
ote
ntial
car
bon d
ioxi
de
legis
lation.
The
com
pan
y co
ntinues
to m
onitor
pote
ntial
car
bon c
aptu
re
tech
nol
ogy
and s
eques
trat
ion d
evel
opm
ent
that
may
be
applic
able
to
coal
-bas
ed g
ener
atio
n.
42
a) M
EH
C a
nd P
acifiC
orp
com
mit t
o par
tici
pat
e in
the
Envi
ronm
enta
l Pr
ote
ctio
n A
gen
cy’s
SF 6
Em
issi
on R
educt
ion P
artn
ersh
ip for
Ele
ctric
Pow
er
Sys
tem
s. Sulfur
hex
aflu
oride
(SF 6
) is
a h
ighly
pote
nt
gre
enhouse
gas
use
d
in t
he
elec
tric
indust
ry for
insu
lation a
nd c
urr
ent
inte
rruption in e
lect
ric
tran
smis
sion a
nd d
istr
ibution
equip
men
t. M
EH
C a
nd P
acifiC
orp
rep
rese
nt
that
ove
r a
100-y
ear
per
iod,
SF 6
is
23,9
00 t
imes
more
effec
tive
at
trap
pin
g
infr
ared
rad
iation t
han
an e
quiv
alen
t am
ount
of CO
2,m
akin
g it
the
most
hig
hly
pote
nt,
know
n g
reen
house
gas
. S
F 6 is
also
a v
ery
stab
le c
hem
ical
, w
ith a
n a
tmos
pher
ic lifet
ime
of 3,2
00 y
ears
. A
s th
e gas
is
emitte
d,
it
accu
mula
tes
in t
he
atm
ospher
e in
an e
ssen
tial
ly u
n-d
egra
ded
sta
te for
man
y ce
ntu
ries
. T
hus,
a r
elat
ivel
y sm
all am
ount
of SF 6
can
hav
e a
signific
ant
Ongoi
ng
Com
plia
nce
a)
The
annual
let
ter
report
was
sen
t to
the
U.S
. Envi
ronm
enta
l Pro
tect
ion A
gen
cy M
arch
31,
2009.
For
2008,
Pac
ifiC
orp
rep
orte
d S
F 6em
issi
ons
of 25,0
77 p
ounds,
equat
ing t
o a
10.9
% e
mis
sion r
ate
com
par
ed t
o 2
007 S
F 6em
issi
ons
of 2
4,7
46 p
ounds,
equat
ing t
o a
10.7
% e
mis
sion r
ate.
Although t
he
2008 e
mis
sion
s re
flec
t a
1.2
8%
in
crea
se o
ver
2007,
bec
ause
of th
e la
rge
reduct
ion in 2
007,
the
aver
age
reduct
ion s
ince
2005 is
5.1
0%
.
b)
Paci
fiCorp
’s p
ropose
d a
ctio
n p
lan is
curr
ently
with M
EH
C for
revi
ew
and a
ppro
val.
Page
10
of 2
8
Page 18
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
impac
t on g
lobal
clim
ate
chan
ge.
Thro
ugh its
par
tici
pat
ion in t
he
SF 6
par
tner
ship
, Pa
cifiCorp
will
com
mit t
o a
n a
ppro
priat
e SF 6
em
issi
ons
reduct
ion
goal
and a
nnual
ly r
eport
its
est
imat
ed S
F 6 e
mis
sion
s. M
EH
C a
nd P
acifiC
orp
re
pre
sent
that
this
not
only
red
uce
s gre
enhouse
gas
em
issi
ons,
it
save
s m
oney
and im
pro
ves
grid r
elia
bili
ty.
Sin
ce 1
999,
EPA
’s S
F 6 p
artn
er
com
pan
ies
hav
e sa
ved $
2.5
mill
ion fro
m t
he
avoi
ded
gas
los
s al
one.
U
se o
f im
pro
ved S
F 6 e
quip
men
t an
d m
anag
emen
t pra
ctic
es h
elps
pro
tect
sys
tem
re
liabili
ty a
nd e
ffic
iency
.
b)
Within
six
mon
ths
afte
r cl
ose
of th
e tr
ansa
ctio
n,
MEH
C a
nd P
acifiC
orp
co
mm
it t
hat
Pac
ifiC
orp
will
est
ablis
h a
glo
bal
war
min
g w
ork
ing g
roup
com
pos
ed o
f re
pre
senta
tive
s of th
e re
gula
tory
, co
nsu
mer
, ed
uca
tion
al a
nd
envi
ronm
enta
l co
mm
unitie
s in
the
six
stat
es t
hat
Pac
ifiC
orp
ser
ves,
as
wel
l as
rep
rese
nta
tive
s of Pa
cifiCorp
and M
EH
C.
Pac
ifiC
orp
will
work
with t
he
glo
bal
war
min
g w
ork
ing g
roup t
o id
entify
cos
t-ef
fect
ive
mea
sure
s to
red
uce
Pa
cifiCor
p’s
gre
enhouse
em
issi
ons.
Pa
cifiCorp
will
dev
elop
and file
with t
he
Com
mis
sion
its
str
ateg
y, w
hic
h M
EH
C s
uppor
ts,
for
reduci
ng its
gre
enhouse
gas
em
issi
ons.
43
Work
ing w
ith t
he
affe
cted
gen
erat
ion p
lant
join
t ow
ner
s an
d w
ith r
egula
tors
to
obta
in r
equired
appro
vals
, M
EH
C a
nd P
acifiC
orp
com
mit t
o inst
all, t
o t
he
exte
nt
cost
effec
tive
, th
e eq
uip
men
t lik
ely
to b
e nec
essa
ry u
nder
futu
re
emis
sions
contr
ol s
cenar
ios
at a
cost
of ap
pro
xim
atel
y $812 m
illio
n.
Concu
rren
t w
ith a
ny
applic
atio
n for
an a
ir p
erm
it,
MEH
C a
nd P
acifiC
orp
will
dis
cuss
its
pla
ns
regar
din
g t
his
com
mitm
ent
with inte
rest
ed p
arties
and
solic
it input.
W
hile
additio
nal
exp
enditure
s m
ay u
ltim
atel
y be
required
as
futu
re e
mis
sion r
educt
ion r
equir
emen
ts b
ecom
e bet
ter
def
ined
, M
EH
C
bel
ieve
s th
ese
inve
stm
ents
in e
mis
sion c
ontr
ol e
quip
men
t ar
e re
ason
able
and
envi
ronm
enta
lly b
enef
icia
l. The
exec
ution o
f an
em
issi
ons
reduct
ion p
lan for
the
exis
ting P
acifiC
orp
coal
-fuel
ed f
acili
ties
, co
mbin
ed w
ith t
he
use
of
reduce
d-e
mis
sion
s co
al t
echnol
ogy
for
new
coal
-fuel
ed g
ener
atio
n,
is
expec
ted t
o r
esult in a
sig
nific
ant
dec
reas
e in
the
emis
sions
rate
of
Pac
ifiC
orp’s
coal
-fuel
ed g
ener
atio
n fle
et.
MEH
C r
epre
sents
that
the
inve
stm
ents
to w
hic
h M
EH
C is
com
mitting a
re e
xpec
ted t
o r
esult in a
dec
reas
e in
the
SO
2em
issi
ons
rate
s of m
ore
than
50%
, a
dec
reas
e in
the
NO
xem
issi
ons
rate
s of m
ore
than
40%
, a
reduct
ion in t
he
mer
cury
em
issi
ons
rate
s of al
most
40%
, an
d n
o incr
ease
exp
ecte
d in t
he
CO
2em
issi
ons
rate
.
Ongoi
ng
Com
plia
nce
A p
lan for
emis
sions
com
plia
nce
has
bee
n d
evel
oped
for
each
BART
elig
ible
coal
fired
unit in t
he
Paci
fiCorp
gen
erat
ion fle
et.
The
pla
n
addre
sses
red
uct
ion o
f cr
iter
ia p
ollu
tants
whic
h a
re o
xides
of nitro
gen
(N
Ox)
, su
lfur
dio
xide
(SO
2)
and p
articu
late
mat
ter
(PM
). As
par
t of th
at
pla
n,
in 2
008,
the
Jim
Bri
dger
4 s
crubber
upgra
de
and low
NO
x burn
er
inst
alla
tion
was
com
ple
ted.
Dav
e Jo
hnst
on 3
& 4
low
NO
x burn
er
pro
ject
s ar
e in
con
stru
ctio
n.
The
cost
for
Pac
ifiC
orp’s
Com
pre
hen
sive
Air
In
itia
tive
is
$1.8
bill
ion.
44
a) M
EH
C a
nd P
acifiC
orp
com
mit t
o co
nduct
ing a
com
pan
y-def
ined
third-p
arty
m
arke
t pote
ntial
stu
dy
of ad
ditio
nal
DSM
and e
ner
gy
effici
ency
opport
unitie
s w
ithin
Pac
ifiC
orp’s
ser
vice
are
as.
The
obje
ctiv
e of
the
study
will
be
to
iden
tify
opport
unitie
s not
yet
iden
tified
by
the
com
pan
y an
d,
if a
nd w
her
e poss
ible
, to
rec
omm
end p
rogra
ms
or
actions
to p
urs
ue
thos
e op
port
unitie
s fo
und t
o b
e co
st-e
ffec
tive
. T
he
study
will
focu
s on o
pport
unitie
s fo
r del
iver
able
DSM
and e
ner
gy
effici
ency
res
ourc
es r
ather
than
tec
hnic
al
pote
ntial
s th
at m
ay n
ot
be
atta
inab
le t
hro
ugh D
SM
and e
ner
gy
effici
ency
ef
fort
s. O
n-s
ite
sola
r an
d c
ombin
ed h
eat
and p
ow
er p
rogra
ms
may
be
Ongoi
ng
Com
plia
nce
a)
CO
MP
LET
E –
effec
tive
July
13,
2007.
b)
Thro
ugh c
alen
dar
yea
r 2008 (
the
fourt
h y
ear
of th
e five
yea
r re
sourc
e co
mm
itm
ent)
Pac
ifiC
orp
had
ach
ieve
d e
ighty
-tw
o p
erce
nt
of
the
five
yea
r ta
rget
ed r
esou
rces
and w
as o
n s
ched
ule
to e
xcee
d t
he
ove
rall
targ
et b
y five
per
cent.
c) M
EC a
nd P
acifiC
orp
continue
to w
ork
toget
her
com
munic
atin
g o
n a
m
onth
ly b
asis
on b
oth
pro
gra
m d
irec
tion a
nd t
he
join
t dev
elopm
ent
of
Page
11
of 2
8
Page 19
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
consi
der
ed in t
he
study.
During t
he
thre
e-m
onth
per
iod fol
low
ing t
he
close
of
the
tran
sact
ion,
MEH
C a
nd P
acifiC
orp
will
consu
lt w
ith D
SM
advi
sory
gro
ups
and o
ther
inte
rest
ed p
arties
to d
efin
e th
e pro
per
sco
pe
of th
e st
udy.
The
findin
gs
of th
e st
udy
will
be
report
ed b
ack
to D
SM
advi
sory
gro
ups,
co
mm
issi
on s
taffs,
and o
ther
inte
rest
ed s
take
hol
der
s an
d w
ill b
e use
d b
y th
e Com
pan
y in
hel
pin
g t
o d
irec
t ongoi
ng D
SM
and e
ner
gy
effici
ency
effort
s. The
study
will
be
com
ple
ted w
ithin
fifte
en m
onth
s af
ter
the
closi
ng o
n t
he
tran
sact
ion,
and M
EH
C s
har
ehol
der
s w
ill a
bso
rb t
he
firs
t $1 m
illio
n o
f th
e co
sts
of th
e st
udy.
b)
Pac
ifiC
orp
furt
her
com
mits
to m
eeting its
port
ion o
f th
e N
WPP
C’s
ener
gy
effici
ency
tar
get
s fo
r O
regon,
Was
hin
gto
n a
nd I
dah
o,
as long a
s th
e ta
rget
s ca
n b
e ac
hie
ved in a
man
ner
dee
med
cost
-eff
ective
by
the
affe
cted
sta
tes.
c)
In a
dditio
n,
MEH
C a
nd P
acifiC
orp c
om
mit t
hat
Pac
ifiC
orp
and M
EC w
ill
annual
ly c
olla
bora
te t
o iden
tify
any
incr
emen
tal pro
gra
ms
that
mig
ht
be
cost
-effec
tive
for
Paci
fiCor
p c
ust
omer
s. The
Com
mis
sion w
ill b
e notified
of
any
additio
nal
cos
t-ef
fect
ive
pro
gra
ms
that
are
iden
tified
.
the
Tra
kSm
art2
dem
and s
ide
man
agem
ent
trac
king a
nd r
eport
ing
syst
em p
roje
ct.
On A
pril 6,
2009 P
acifiC
orp p
rovi
ded
MEC c
opie
s of th
e co
mm
erci
al c
urt
ailm
ent
pro
pos
als
rece
ived
thro
ugh P
acifiC
orp’s
2008
dem
and s
ide
man
agem
ent
reso
urc
e re
ques
t fo
r pro
posa
ls.
The
pro
posa
ls w
ere
pro
vided
to a
llow
MEC t
o c
omm
ent
on t
hei
r in
tere
st in
the
pro
gra
m s
truct
ure
as
a poss
ible
rep
lace
men
t fo
r M
EC’s
curr
ent
curt
ailm
ent
pro
gra
m a
nd v
endor.
The
shar
ing o
f pro
gra
m p
ropos
als
also
co
mplim
ents
the
pro
cure
men
t op
port
unitie
s pro
ject
both
com
pan
ies
are
curr
ently
engag
ed in s
eeki
ng t
o c
om
plim
ent
pro
gra
m s
ets,
red
uce
cost
s,
and r
educe
adm
inis
trat
ive
tim
e in
vest
ed in p
rocu
rem
ent
work
.
45
MEH
C a
nd P
acifiC
orp
com
mit t
o c
ontinue
cust
omer
ser
vice
guar
ante
es a
nd
per
form
ance
sta
ndar
ds
as e
stab
lished
in e
ach jurisd
iction,
pro
vided
that
M
EH
C a
nd P
acifiC
orp
res
erve
the
right
to r
eques
t m
odific
atio
ns
of th
e guar
ante
es a
nd s
tandar
ds
afte
r M
arch
31,
2008,
and t
he
right
to r
eques
t te
rmin
atio
n (
as w
ell as
modific
atio
n)
of one
or
mor
e guar
ante
es o
r st
andar
ds
afte
r 2011.
The
guar
ante
es a
nd s
tandar
ds
will
not
be
elim
inat
ed o
r m
odifie
d
without
Com
mis
sion a
ppro
val.
Ongoi
ng
Com
plia
nce
The
cust
om
er g
uar
ante
e an
d p
erfo
rman
ce s
tandar
ds
pro
gra
ms
continue.
46
MEH
C h
as s
ignific
ant
exper
ience
in a
ssis
ting its
com
munitie
s w
ith e
conom
ic
dev
elop
men
t ef
fort
s. M
EH
C p
lans
to c
ontinue
Paci
fiCorp
’s e
xist
ing e
conom
ic
dev
elop
men
t pra
ctic
es a
nd u
se M
EH
C’s
exp
erie
nce
to m
axim
ize
the
effe
ctiv
enes
s of
thes
e ef
fort
s.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p c
ontinues
to s
uppor
t ec
onom
ic d
evel
opm
ent
thro
ugh a
ctiv
e par
tici
pat
ion in t
he
loca
l co
mm
unity
econom
ic d
evel
opm
ent
org
aniz
atio
ns.
Eco
nom
ic d
evel
opm
ent
gra
nts
wer
e giv
en t
o s
ever
al P
acific
Pow
er a
nd
Rock
y M
ounta
in P
ow
er c
omm
unitie
s th
roughout
the
year
. Com
munity
man
ager
s par
tici
pat
e in
reg
ional
eco
nom
ic d
evel
opm
ent
sum
mits,
in
cludin
g s
tate
and fed
eral
ele
cted
off
icia
ls a
nd r
egio
nal
eco
nom
ic
dev
elop
men
t le
ader
s. C
om
munity
man
ager
s se
rve
on b
oar
ds
of
econom
ic d
evel
opm
ent
agen
cies
and lea
d a
nd p
rovi
de
support
to
recr
uitm
ent
and r
eten
tion initia
tive
s.
47
MEH
C u
nder
stan
ds
that
hav
ing a
deq
uat
e st
affing a
nd r
epre
senta
tion in e
ach
stat
e is
not
option
al.
MEH
C u
nder
stan
ds
its
import
ance
to c
ust
om
ers,
to
regula
tors
and t
o st
ates
. M
EH
C a
nd P
acifiC
orp
com
mit t
o m
ainta
inin
g
adeq
uat
e st
affing a
nd p
rese
nce
in e
ach s
tate
, co
nsi
sten
t w
ith t
he
pro
visi
on o
f sa
fe a
nd r
elia
ble
ser
vice
and c
ost-
effe
ctiv
e oper
atio
ns.
Ongoi
ng
Com
plia
nce
Appro
priat
e st
affing lev
els
for
Paci
fiCorp
hav
e bee
n r
evie
wed
and
continue
to b
e par
t of th
e busi
nes
s pla
nnin
g p
roce
ss.
48
Pac
ifiC
orp w
ill p
rovi
de
public
notice
and a
n invi
tation t
o e
nco
ura
ge
stak
ehol
der
s to
par
tici
pat
e in
the
Inte
gra
ted R
esourc
e Pl
an (
IRP)
pro
cess
.
The
IRP p
roce
ss w
ill b
e use
d t
o c
onsi
der
Com
mitm
ents
34,
39,
40,
41,
44,
52 a
nd 5
3.
Pac
ifiC
orp
will
hol
d I
RP m
eetings
at loca
tions
or
usi
ng
com
munic
atio
ns
tech
nol
ogie
s th
at e
nco
ura
ge
bro
ad p
artici
pat
ion.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p’s
Inte
gra
ted R
esourc
e Pl
annin
g g
roup m
ainta
ined
an I
RP
par
tici
pan
t lis
t th
at incl
udes
ove
r 160 c
onta
cts.
The
par
tici
pan
t co
rres
ponden
ce incl
uded
mee
ting s
ched
ule
and a
nnounce
men
ts,
pre
senta
tion m
ater
ials
, m
eeting h
andouts
, IR
P d
ocu
men
ts a
nd
pre
limin
ary
anal
ysis
res
ults.
This
info
rmat
ion w
as d
iscu
ssed
at
Page
12
of 2
8
Page 20
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
mee
tings
or t
hro
ugh d
irec
t co
nta
ct w
ith t
he
IRP
Man
ager
. V
ario
us
form
s of co
mm
unic
atio
n t
echnol
ogie
s w
ere
use
d incl
udin
g e
mai
l, p
hone,
in
tern
et w
ebpag
e, a
nd v
ideo
confe
renci
ng e
quip
men
t.
Pac
ifiC
orp h
eld t
he
follo
win
g P
ublic
Mee
tings:
•M
ay 2
2,
2008 –
2008 I
RP m
odel
ing p
lan,
case
def
initio
ns,
pri
ce
curv
es a
nd r
esourc
e ch
arac
teriza
tion
•May
23,
2008 –
New
Ore
gon g
uid
elin
es,
CO
2 c
ost
s, I
PM m
odel
, an
d
EPR
I st
udy
on C
O2 p
olic
y im
pac
ts in t
he
wes
t •J
une
26,
2008 –
Ove
rvie
w a
nd m
ethodol
ogy
of th
e lo
ad fore
cast
•D
ecem
ber
18,
2008 –
Port
folio
dev
elopm
ent
resu
lts,
load
and
reso
urc
e bal
ance
and a
n u
pdat
e to
the
load
for
ecas
t.
•Jan
uar
y 7,
2009 –
Rep
eat
of D
ecem
ber
18,
2008 g
ener
al m
eeting for
Was
hin
gto
n,
Wyo
min
g a
nd I
dah
o par
tici
pan
ts.
•Feb
ruar
y 2,
2009 –
Port
folio
sto
chas
tic
pro
duct
ion c
ost
mod
elin
g
resu
lts,
por
tfol
io p
erfo
rman
ce e
valu
atio
n,
and t
he
pre
ferr
ed p
ort
folio
.
Pac
ifiC
orp h
eld t
elec
onfe
rence
mee
tings
on v
ario
us
topic
s th
at r
equired
only
2 o
r le
ss h
ours
, ea
sing t
rave
l burd
ens:
•N
ove
mber
12,
2008 –
IRP/B
usi
nes
s pla
n a
lignm
ent,
IRP d
evel
opm
ent
stat
us
and s
ched
ule
, an
d t
he
load
fore
cast
•M
arch
11,
2009 –
IRP s
ched
ule
•M
arch
19,
2009 –
IRP fili
ng e
xten
sion
For
the
2008 I
RP,
Indiv
idual
Sta
te F
ocu
s M
eetings
wer
e hel
d o
n t
he
follo
win
g d
ates
, a
variet
y of to
pic
s w
ere
dis
cuss
ed incl
udin
g s
tate
-sp
ecific
topic
s.
•April 9,
2008 –
Uta
h
•April 10,
2008 –
Wyo
min
g
•April 21,
2008 –
Ore
gon
/ C
aliforn
ia
•April 22,
2008 –
Was
hin
gto
n
•April 23,
2008 –
Idah
o
•May
14,
2008 –
Uta
h
Thes
e m
eetings
wer
e hel
d w
ithin
the
stat
e ei
ther
at
Pac
ifiC
orp
offic
es o
r Com
mis
sion
build
ings.
A t
elec
onfe
rence
was
pro
vided
for
those
who
could
not
mak
e th
e m
eeting a
nd for
the
IRP t
eam
to p
rovi
de
support
.
Thes
e Sta
te F
ocus
Mee
tings
wer
e an
nounce
d o
nly
to t
hose
sta
kehol
der
s w
ho m
ainta
in a
n inte
rest
in t
hose
par
ticu
lar
stat
e-sp
ecific
IRP
topic
s.
49
By
June
1,
2007 a
nd e
ach J
une
1 t
her
eaft
er t
hro
ugh J
une
1,
2011,
Pac
ifiC
orp
will
file
a r
eport
with t
he
Com
mis
sion
reg
ardin
g t
he
imple
men
tation
of th
e Com
mitm
ents
. T
he
report
will
, at
a m
inim
um
, pro
vide
a des
crip
tion o
f th
e per
form
ance
of ea
ch o
f th
e co
mm
itm
ents
that
hav
e quan
tifiab
le r
esults.
If
an
y of th
e co
mm
itm
ents
is
not
bei
ng m
et,
rela
tive
to t
he
spec
ific
ter
ms
of
the
com
mitm
ent,
the
report
shal
l pro
vide
pro
pose
d c
orr
ective
mea
sure
s an
d
targ
et d
ates
for
com
ple
tion o
f su
ch m
easu
res.
Pa
cifiCorp
will
mak
e public
ly
avai
lable
at
the
Com
mis
sion
non-c
onfiden
tial
port
ions
of th
e re
port
.
Ongoi
ng
Com
plia
nce
Pac
ifiC
orp is
curr
ently
mee
ting a
ll co
mm
itm
ents
as
addre
ssed
in t
his
re
port
.
Page
13
of 2
8
Page 21
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Gen
era
l C
om
mit
men
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
50
Pac
ifiC
orp w
ill m
ainta
in its
curr
ent
pen
sion
fundin
g p
olic
y, a
s des
crib
ed in t
he
2005 A
ctuar
ial Rep
ort
, fo
r a
per
iod o
f tw
o y
ears
fol
low
ing t
he
close
of th
e tr
ansa
ctio
n.
CO
MP
LET
EC
OM
PLET
E –
effec
tive
Mar
ch 2
1,
2008.
51
Subje
ct t
o,
and in c
onsi
der
atio
n for,
dis
mis
sal of al
l ex
isting p
roce
edin
gs
and
no c
om
men
cem
ent
of an
y fu
ture
sta
te r
egula
tory
pro
ceed
ing a
gai
nst
Pac
ifiC
orp invo
lvin
g o
r ar
isin
g f
rom
the
SEC P
UH
CA A
udit R
eport
of Sco
ttis
h
Pow
er d
ated
May
11,
2004,
MEH
C w
ill c
ontr
ibute
to P
acifiC
orp
, at
no c
ost
to
Paci
fiCor
p,
MEH
C’s
sto
ck o
wner
ship
in t
he
Inte
rmou
nta
in G
eoth
erm
al
Com
pan
y an
d t
he
asso
ciat
ed s
team
rig
hts
(ap
pro
xim
atel
y 70%
of th
e to
tal
rights
) to
the
stea
m r
esourc
es s
ervi
ng P
acifiC
orp
’s B
lundel
l geo
ther
mal
pla
nt
and t
erm
inat
e M
EH
C’s
and I
nte
rmounta
in G
eoth
erm
al C
ompan
y’s
rights
and
oblig
atio
ns
under
the
contr
acts
. M
EH
C w
ill a
ssis
t Pa
cifiCor
p in d
eter
min
ing
the
cost
-eff
ective
nes
s of ac
quirin
g t
he
rem
ainin
g 3
0%
of th
e rights
. N
o
more
than
six
month
s af
ter
the
close
of th
e tr
ansa
ctio
n,
MEH
C w
ill p
rovi
de
par
ties
a c
lear
and c
om
ple
te d
iscl
osure
sta
tem
ent
that
det
ails
any
pote
ntial
lia
bili
ties
and r
isks
, id
entified
by
or for
MEH
C,
asso
ciat
ed w
ith t
he
owner
ship
rights
of M
EH
C in I
nte
rmounta
in G
eoth
erm
al.
MEH
C a
lso c
omm
its
that
Pa
cifiCor
p c
ust
omer
s w
ill n
ot
be
har
med
fro
m t
he
contr
ibution t
o P
acifiC
orp
of th
e In
term
ounta
in G
eoth
erm
al s
team
res
ourc
es a
nd s
tock
.
CO
MP
LET
E
CO
MP
LET
E -
effec
tive
Sep
tem
ber
21,
2006.
52
Upon c
losi
ng,
MEH
C a
nd P
acifiC
orp
com
mit t
o im
med
iate
ly e
valu
ate
incr
easi
ng t
he
gen
erat
ion c
apac
ity
of th
e Blu
ndel
l geo
ther
mal
fac
ility
by
the
amount
det
erm
ined
to b
e co
st-e
ffec
tive
. S
uch
eva
luat
ion s
hal
l be
sum
mar
ized
in a
rep
ort
and file
d w
ith t
he
Com
mis
sion
concu
rren
t w
ith t
he
filin
g o
f Pa
cifiCorp
’s n
ext
IRP.
This
incr
emen
tal am
ount
is e
xpec
ted t
o b
e at
le
ast
11 M
W a
nd m
ay b
e as
much
as
100 M
W.
All
cost
effec
tive
incr
ease
s in
Blu
ndel
l ca
pac
ity,
com
ple
ted b
efor
e Ja
nuar
y 1,
2015,
should
be
counte
d
tow
ard s
atis
fact
ion o
f Pac
ifiC
orp
’s 1
400 M
W r
enew
able
ener
gy
goal
, in
an
amount
equal
to t
he
capac
ity
of geo
ther
mal
ener
gy
actu
ally
added
at
the
pla
nt.
CO
MP
LET
E
CO
MP
LET
E -
effec
tive
Mar
ch 1
6,
2007.
53
MEH
C o
r Pa
cifiCor
p c
om
mit t
o c
omm
ence
as
soon a
s pra
ctic
al a
fter
clo
se o
f th
e tr
ansa
ctio
n a
sys
tem
im
pac
t st
udy
to e
xam
ine
the
feas
ibili
ty o
f co
nst
ruct
ing t
ransm
issi
on fac
ilities
fro
m t
he
Jim
Bridger
gen
erat
ing fac
ilities
to
Min
ers,
Wyo
min
g.
Upon r
ecei
pt
of th
e re
sults
of th
e sy
stem
im
pac
t st
udy,
M
EH
C o
r Pa
cifiCor
p w
ill r
evie
w a
nd d
iscu
ss w
ith s
take
hol
der
s th
e des
irab
ility
an
d e
conom
ic fea
sibili
ty o
f per
form
ing a
subse
quen
t fa
cilit
ies
study
for
the
Bridger
to M
iner
s 500 k
V t
ransm
issi
on p
roje
ct.
CO
MP
LETE
CO
MP
LETE
– e
ffec
tive
August
23,
2006.
Page
14
of 2
8
Page 22
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
S T
A T
E -
S
P E
C I
F I
C C
O M
M I
T M
E N
T S
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t N
um
ber
Co
mm
itm
en
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
O1
a) I
f th
e Com
mis
sion
bel
ieve
s th
at M
EH
C a
nd/o
r Pa
cifiCorp
hav
e vi
ola
ted a
ny
of th
e co
mm
itm
ents
of th
e st
ipula
tion,
or
any
conditio
ns
impose
d b
y th
e C
om
mis
sion
in its
fin
al o
rder
appro
ving t
he
Applic
atio
n (
colle
ctiv
ely,
the
“Conditio
ns”
), t
hen
the
Com
mis
sion s
hal
l giv
e M
EH
C a
nd P
acifiC
orp
writt
en
notice
of th
e vi
olat
ion.
i) I
f th
e vi
olat
ion is
for
failu
re t
o file
any
notice
or
report
req
uired
by
the
Conditio
ns,
and if M
EH
C o
r Pac
ifiC
orp
, or
both
pro
vide
the
notice
or
report
to
the
Com
mis
sion w
ithin
ten
busi
nes
s day
s of th
e re
ceip
t of th
e w
ritt
en n
otice
, th
en t
he
Com
mis
sion
shal
l ta
ke n
o a
ctio
n.
MEH
C o
r Pa
cifiCorp
may
req
ues
t,
for
cause
, per
mis
sion
for
exte
nsi
on o
f th
e te
n-d
ay p
erio
d.
For
any
oth
er
viol
atio
n o
f th
e Conditio
ns,
the
Com
mis
sion m
ust
giv
e M
EH
C a
nd P
acifiC
orp
w
ritt
en n
otice
of th
e vi
olat
ion.
If su
ch fai
lure
is
corr
ecte
d w
ithin
fiv
e busi
nes
s day
s of th
e w
ritt
en n
otice
, th
en t
he
Com
mis
sion s
hal
l ta
ke n
o
action
. M
EH
C o
r Pa
cifiCor
p m
ay r
eques
t, for
cau
se,
per
mis
sion for
exte
nsi
on
of th
e five
-day
per
iod.
ii) I
f M
EH
C o
r Pa
cifiCorp
, or
both
, fa
il to
file
a n
otice
or
writt
en r
eport
within
th
e tim
e per
mitte
d in s
ubpar
agra
ph a
. ab
ove
, or
if M
EH
C o
r Pac
ifiC
orp
, or
both
, fa
il to
cure
, w
ithin
the
tim
e per
mitte
d a
bove
, a
viol
atio
n t
hat
does
not
rela
te t
o t
he
filin
g o
f a
notice
or
report
, th
en t
he
Com
mis
sion m
ay o
pen
an
inve
stig
atio
n,
with a
n o
pport
unity
for
MEH
C o
r Pac
ifiC
orp
, or
both
, to
req
ues
t a
hea
ring,
to d
eter
min
e th
e num
ber
and s
erio
usn
ess
of th
e vi
olat
ions.
If
the
Com
mis
sion
det
erm
ines
aft
er t
he
inve
stig
atio
n a
nd h
earing (
if r
eques
ted)
that
MEH
C o
r Pa
cifiCorp
, or
both
, vi
olat
ed o
ne
or
more
of th
e Conditio
ns,
th
en t
he
Com
mis
sion
shal
l is
sue
an O
rder
sta
ting t
he
leve
l of pen
alty
it
will
se
ek.
MEH
C o
r Pa
cifiCorp
, or
both
, as
appro
priat
e, m
ay a
ppea
l su
ch a
n o
rder
under
ORS 7
56.5
80.
If th
e Com
mis
sion’s
ord
er is
uphel
d o
n a
ppea
l, a
nd t
he
ord
er im
pos
es p
enal
ties
under
a s
tatu
te t
hat
furt
her
req
uires
the
Com
mis
sion
to file
a c
ompla
int
in c
ourt
, th
en t
he
Com
mis
sion m
ay file
a c
ompla
int
in t
he
appro
priat
e co
urt
see
king t
he
pen
alties
spec
ifie
d in t
he
ord
er,
and M
EH
C o
r Pac
ifiC
orp,
or
bot
h,
shal
l file
a r
esponsi
ve p
lead
ing a
gre
eing t
o p
ay t
he
pen
alties
. T
he
Com
mis
sion s
hal
l se
ek a
pen
alty
on o
nly
one
of M
EH
C o
r Pa
cifiCor
p for
the
sam
e vi
olat
ion.
iii)
The
Com
mis
sion s
hal
l not
be
bound b
y th
e pro
cess
pro
vided
in p
arag
raph
ii in
the
even
t th
e Com
mis
sion d
eter
min
es P
acifiC
orp h
as v
iola
ted a
ny
of th
e m
ater
ial co
nditio
ns
more
than
tw
o t
imes
within
a r
olli
ng 2
4-m
onth
per
iod.
iv)
Paci
fiCor
p o
r M
EH
C,
or
both
, sh
all hav
e th
e opport
unity
to d
emon
stra
te t
o
the
Com
mis
sion t
hat
the
pro
cess
pro
vided
in p
arag
raph ii sh
ould
not
apply
on a
cas
e-by-
case
bas
is.
b)
In t
he
even
t of
a d
ispute
bet
wee
n C
omm
issi
on S
taff
and M
EH
C o
r Pa
cifiCor
p r
egar
din
g a
Com
mis
sion
Sta
ff r
eques
t m
ade
purs
uan
t to
ac
quis
itio
n c
onditio
ns
or
com
mitm
ents
(in
cludin
g B
erks
hire
Hat
haw
ay
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
Page
15
of 2
8
Page 23
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
reco
rds
reques
ted p
urs
uan
t to
Com
mitm
ent
4 o
r ot
her
applic
able
co
mm
itm
ent)
, th
e par
ties
agre
e th
at a
n A
dm
inis
trat
ive
Law
Judge
(ALJ
) sh
all
reso
lve
the
dis
pute
as
follo
ws:
(i)
within
ten
(10)
busi
nes
s day
s M
EH
C o
r Pa
cifiCor
p s
hal
l del
iver
to t
he
ALJ
the
books
and r
ecord
s re
sponsi
ve t
o S
taff
’s
reques
t an
d s
hal
l in
dic
ate
the
bas
is for
the
obje
ctio
n,
incl
udin
g w
het
her
the
reques
t is
ove
rbro
ad,
unduly
burd
enso
me
or o
uts
ide
the
scope
of th
e C
om
mis
sion
’s jurisd
iction;
(ii)
Sta
ff m
ay r
espond in w
riting a
nd M
EH
C o
r Pa
cifiCor
p,
or
bot
h,
may
rep
ly;
(iii)
the
ALJ
shal
l re
view
the
docu
men
ts in
priva
te;
and (
iv)
the
ALJ
shal
l is
sue
a ru
ling d
eter
min
ing w
het
her
the
docu
men
ts a
re,
direc
tly
or indirec
tly,
rel
evan
t to
Pac
ifiC
orp o
r re
asonab
ly
calc
ula
ted t
o lea
d t
o t
he
dis
cove
ry o
f ad
mis
sible
evi
den
ce d
irec
tly
or
indirec
tly
rele
vant
to P
acifiC
orp
. T
he
ALJ
shal
l use
this
sta
ndar
d w
het
her
or
not
Sta
ff is
mak
ing t
he
reques
t in
connec
tion w
ith a
n o
pen
dock
et.
Noth
ing
in t
his
pro
visi
on s
hal
l af
fect
the
right
of M
EH
C o
r Pa
cifiCorp
to r
eques
t th
at
the
Com
mis
sion t
reat
the
docu
men
ts a
s ex
empt
from
dis
closu
re t
o t
hird
par
ties
under
applic
able
law
.
O2
a) T
he
corp
ora
te h
eadquar
ters
of Pac
ifiC
orp w
ill r
emai
n in O
regon.
MEH
C
com
mits
to m
ainta
inin
g a
bal
ance
of co
rpor
ate
and s
enio
r m
anag
emen
t posi
tions
bet
wee
n O
regon a
nd U
tah.
To a
chie
ve s
uch
bal
ance
, M
EH
C m
ay
dec
ide
as a
ppro
pri
ate
to loca
te a
few
cor
pora
te a
nd s
enio
r m
anag
emen
t posi
tions,
and a
ssoci
ated
sta
ff,
in U
tah,
if c
ost
effec
tive
. B
y Sep
tem
ber
1,
2007,
MEH
C a
nd P
acifiC
orp w
ill file
a p
lan w
ith t
he
Com
mis
sion
that
exp
licitly
se
ts fort
h:
(1)
corp
ora
te a
nd s
enio
r m
anag
emen
t posi
tions
(and a
ssoci
ated
co
rpora
te p
erso
nnel
posi
tions)
that
hav
e bee
n iden
tified
for
loca
tion in
Ore
gon
and U
tah;
(2)
the
tim
efra
me
for
imple
men
ting d
iffe
rent
stag
es o
f th
e pla
n;
and (
3)
an e
conom
ic a
nal
ysis
suppor
ting t
he
cost
effec
tive
nes
s of th
e pla
n.
MEH
C w
ill p
rom
ptly
imple
men
t th
e pla
n p
urs
uan
t to
the
tim
efra
me.
If
co
rpora
te o
r se
nio
r m
anag
ers,
and r
elat
ed s
taff
, ar
e re
loca
ted fro
m O
regon
to
Uta
h u
nder
the
Plan
, th
e co
sts
of re
loca
tion
will
not
be
incl
uded
in O
regon
rate
s.b)
Paci
fiCorp
and M
EH
C w
ill e
nsu
re t
hat
sen
ior
man
agem
ent
per
sonnel
lo
cate
d in O
regon
continue
to h
ave
auth
ority
to m
ake
dec
isio
ns
on b
ehal
f of
Pac
ifiC
orp p
erta
inin
g t
o (
1)
loca
l O
regon
ret
ail cu
stom
er s
ervi
ce iss
ues
re
late
d t
o t
ariff in
terp
reta
tion,
line
exte
nsi
ons,
ser
vice
additio
ns,
DSM
pro
gra
m im
ple
men
tation a
nd (
2)
cust
om
er s
ervi
ce m
atte
rs r
elat
ed t
o
adeq
uat
e in
vest
men
t in
and m
ainte
nan
ce o
f th
e O
regon
sub-t
ransm
issi
on
and d
istr
ibution n
etw
ork
and o
uta
ge
resp
onse
. S
uch
dec
isio
ns
will
be
subje
ct t
o n
orm
al a
nd p
rom
pt
corp
ora
te a
ppro
val pro
cedure
s, s
enio
r ex
ecutive
appro
val an
d b
oar
d a
ppro
val, a
s ap
pro
priat
e. M
EH
C a
nd P
acifiC
orp
will
incl
ude
a des
crip
tion o
f th
e im
ple
men
tation o
f th
is c
om
mitm
ent
in t
he
filin
g r
equir
ed in p
arag
raph a
).
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
August
31,
2007.
O3
MEH
C a
nd P
acifiC
orp
com
mit t
hat
they
will
inte
rpre
t O
regon R
evis
ed S
tatu
tes
Sec
tions
757.0
15 a
nd 7
57.4
95 t
o r
equire
Com
mis
sion a
ppro
val of an
y co
ntr
act
bet
wee
n P
acifiC
orp a
nd (
i) a
ny
affilia
te o
f M
EH
C o
r (i
i) a
ny
affilia
te
of Ber
kshire
Hat
haw
ay.
This
shal
l in
clude
the
IASA.
MEH
C a
nd P
acifiC
orp
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
On M
arch
16,
2009,
the
Com
pan
y file
d a
n a
pplic
atio
n for
appro
val of
an
Inte
rnat
ional
Sw
ap D
eale
rs A
ssoci
atio
n M
aste
r Agre
emen
t an
d
Page
16
of 2
8
Page 24
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
inte
nd t
hat
by
obta
inin
g C
omm
issi
on a
ppro
val of th
e IA
SA,
Paci
fiCorp
will
av
oid
the
nee
d t
o s
eek
indiv
idual
appro
val of af
filia
te t
ransa
ctio
ns
whic
h a
re
subje
ct t
o t
hat
agre
emen
t. The
IASA is
expec
ted t
o a
ddre
ss t
he
pro
visi
on o
f el
ectr
ic s
ervi
ce t
o a
ffili
ates
of M
EH
C o
r Ber
kshire
Hat
haw
ay u
nder
tar
iffs
ap
pro
ved b
y st
ate
or
feder
al a
uth
ori
ties
.
Am
endm
ent
Num
ber
One
to t
he
Inte
rnat
ional
Sw
ap D
eale
rs A
ssoci
atio
n
Mas
ter
Agre
emen
t bet
wee
n P
acifiC
orp
and C
onst
ella
tion E
ner
gy
Com
moditie
s, I
nc.
The
Public
Utilit
y Com
mis
sion
of O
regon
iss
ued
its
dec
isio
n a
fter
the
end o
f th
e re
port
ing p
erio
d.
O4
MEH
C a
nd P
acifiC
orp
com
mit t
hat
they
will
inte
rpre
t O
regon R
evis
ed S
tatu
tes
Sec
tions
757.4
80 t
o r
equire
Com
mis
sion a
ppro
val of an
y tr
ansa
ctio
n w
hic
h
resu
lts
in a
mer
ger
of Pa
cifiCor
p w
ith a
noth
er p
ublic
utilit
y, w
ithout
regar
d t
o
whet
her
that
public
utilit
y pro
vides
ser
vice
in O
regon.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
O5
Ber
kshire
Hat
haw
ay a
cknow
ledges
the
Com
mitm
ents
mad
e by
MEH
C a
nd
Paci
fiCor
p a
nd w
ill n
ot
imped
e sa
tisf
action o
f th
e Com
mitm
ents
. B
erks
hir
e H
athaw
ay a
cknow
ledges
that
it
is b
ound b
y Com
mitm
ents
4,
5 a
nd 1
7 a
nd
that
it
is s
ubje
ct t
o C
om
mitm
ents
that
are
applic
able
to t
he
affilia
tes
of
Paci
fiCor
p a
nd M
EH
C;
pro
vided
, how
ever
, th
at B
erks
hire
Hat
haw
ay d
oes
not
guar
ante
e or
agre
e to
be
resp
onsi
ble
for
per
form
ance
of Com
mitm
ents
mad
e by
MEH
C a
nd P
acifiC
orp
.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
O6
MEH
C a
nd P
acifiC
orp
will
req
ues
t Com
mis
sion
appro
val, for
cost
allo
cation
and a
ffili
ate
tran
sact
ion p
urp
ose
s, o
f th
e IA
SA a
nd a
ny
amen
dm
ents
file
d
purs
uan
t to
Com
mitm
ent
13.
Ongoi
ng
Com
plia
nce
N
o a
men
dm
ents
wer
e m
ade
to t
he
IASA a
ppro
ved o
n J
une
19,
2006.
O7
MEH
C a
nd P
acifiC
orp
com
mit t
o $
142.5
mill
ion (
tota
l co
mpan
y am
ount)
of
offse
table
rat
e cr
edits
as r
efle
cted
in A
ppen
dix
2 a
nd a
s des
crib
ed in t
he
follo
win
g C
omm
itm
ents
O 8
thro
ugh O
12.
Thes
e ra
te c
redits
will
be
reflec
ted in r
ates
on t
he
effe
ctiv
e dat
e of new
rat
es a
s det
erm
ined
by
the
Com
mis
sion
in a
gen
eral
rat
e ca
se.
The
rate
cre
dits
will
ter
min
ate
on
Dec
ember
31,
2010,
to t
he
exte
nt
not
pre
viousl
y of
fset
, unle
ss o
ther
wis
e note
d.
The
rate
cre
dits
in C
omm
itm
ents
O 8
and O
12 a
re s
ubje
ct t
o
def
erre
d a
ccounting a
s sp
ecifie
d t
her
ein.
Wher
e to
tal co
mpan
y va
lues
are
re
fere
nce
d,
the
amount
allo
cate
d t
o O
regon w
ill e
qual
the
Ore
gon-a
lloca
ted
amount
usi
ng C
omm
issi
on-a
dop
ted a
lloca
tion fac
tors
.
Ongoi
ng
Com
plia
nce
Thes
e co
mm
itm
ents
wer
e re
flec
ted in t
he
reve
nue
requirem
ents
file
d
with O
regon g
ener
al r
ate
case
Doc
ket
UE 1
79.
For
Com
mitm
ent
O 8
a (W
est
Val
ley
Leas
e) a
nd O
12a
(A&
G $
6 m
illio
n S
tret
ch),
def
erre
d
acco
unting for
thes
e co
mm
itm
ents
was
initia
ted in A
pril 2006.
Im
ple
men
ted in r
ates
on J
anuar
y 1,
2007.
Als
o,
see
updat
es for
com
mitm
ents
O9 t
hro
ugh O
12.
O8
a) M
EH
C a
nd P
acifiC
orp
com
mit t
o re
duce
the
annual
non-f
uel
cost
s to
Pa
cifiCor
p c
ust
omer
s of th
e W
est
Val
ley
leas
e by
$0.4
17 m
illio
n p
er m
onth
(t
ota
l co
mpan
y) o
r an
exp
ecte
d $
3.7
mill
ion in 2
006 (
assu
min
g a
Mar
ch 3
1,
2006 t
ransa
ctio
n c
losi
ng),
$5
mill
ion in 2
007 a
nd $
2.1
mill
ion in 2
008 (
the
leas
e te
rmin
ates
May
31,
2008),
whic
h s
hal
l be
the
amounts
of th
e to
tal
com
pan
y ra
te c
redit.
Beg
innin
g w
ith t
he
firs
t m
onth
aft
er t
he
close
of th
e tr
ansa
ctio
n t
o p
urc
has
e Pa
cifiCorp
, O
regon’s
shar
e of th
e m
onth
ly r
ate
cred
it
will
be
def
erre
d for
the
ben
efit o
f cu
stom
ers
and a
ccru
e in
tere
st a
t Pa
cifiCor
p’s
auth
ori
zed r
ate
of re
turn
. (
This
com
mitm
ent
is r
efle
cted
in R
ow
1 o
f Appen
dix
2.)
b)
This
com
mitm
ent
is o
ffse
table
, on a
pro
spec
tive
bas
is,
to t
he
exte
nt
Pac
ifiC
orp d
emonst
rate
s to
the
Com
mis
sion’s
sat
isfa
ctio
n,
in t
he
conte
xt o
f a
gen
eral
rat
e ca
se,
that
such
Wes
t Val
ley
non-f
uel
cost
sav
ings:
i)
are
ref
lect
ed in P
acifiC
orp’s
rat
es;
and,
CO
MP
LET
EC
OM
PLET
E –
effec
tive
Jan
uar
y 1,
2007.
Page
17
of 2
8
Page 25
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
ii) t
her
e ar
e no o
ffse
ttin
g a
ctio
ns
or
agre
emen
ts b
y M
EH
C o
r Pa
cifiCorp
for
w
hic
h v
alue
is o
bta
ined
by
PPM
or
an a
ffili
ated
com
pan
y, w
hic
h,
direc
tly
or
indirec
tly,
incr
ease
s th
e co
sts
Pac
ifiC
orp
would
oth
erw
ise
incu
r.
O9
a) M
EH
C a
nd P
acifiC
orp
will
hol
d c
ust
om
ers
har
mle
ss for
incr
ease
s in
cost
s re
tain
ed b
y Pa
cifiCorp
that
wer
e pre
viousl
y as
signed
to a
ffili
ates
rel
atin
g t
o
man
agem
ent
fees
. T
he
tota
l co
mpan
y am
ount
assi
gned
to P
acifiC
orp’s
af
filia
tes
is $
1.5
mill
ion p
er y
ear,
whic
h is
the
amou
nt
of th
e to
tal co
mpan
y ra
te c
redit.
This
com
mitm
ent
expir
es o
n D
ecem
ber
31,
2010.
This
Com
mitm
ent
is in lie
u o
f Com
mitm
ent
38,
and a
sta
te m
ust
choose
bet
wee
n
this
Com
mitm
ent
O 9
and C
omm
itm
ent
38.
(The
com
mitm
ent
is r
efle
cted
in
Row
2 o
f Appen
dix
2).
b)
This
com
mitm
ent
is o
ffse
table
to t
he
exte
nt
Paci
fiCorp
dem
onst
rate
s to
th
e Com
mis
sion’s
sat
isfa
ctio
n,
in t
he
conte
xt o
f a
gen
eral
rat
e ca
se t
he
follo
win
g:
i) C
orp
orat
e al
loca
tions
from
MEH
C t
o P
acifiC
orp
incl
uded
in P
acifiC
orp
’s r
ates
ar
e le
ss t
han
$7.3
mill
ion;
ii) C
ost
s as
soci
ated
with funct
ions
pre
viousl
y ca
rrie
d o
ut
by
par
ents
to
Paci
fiCor
p a
nd p
revi
ousl
y in
cluded
in r
ates
hav
e not
bee
n s
hifte
d t
o
Paci
fiCor
p o
r oth
erw
ise
incl
uded
in P
acifiC
orp
’s r
ates
; an
d
iii)
Cost
s hav
e not
bee
n s
hifte
d t
o o
per
atio
nal
and m
ainte
nan
ce a
ccounts
(F
ERC a
ccounts
500-5
98),
cust
om
er a
ccounts
(FE
RC a
ccounts
901-9
05),
cu
stom
er s
ervi
ce a
nd info
rmat
ional
acc
ounts
(FE
RC a
ccounts
907-9
10),
sal
es
acco
unts
(FE
RC a
ccounts
911-9
16),
cap
ital
acc
ounts
, def
erre
d d
ebit
acco
unts
, def
erre
d c
redit a
ccounts
, or
oth
er r
egula
tory
acc
ounts
.
Ongoi
ng
Com
plia
nce
a)
Thes
e co
sts
wer
e re
cord
ed a
s A&
G e
xpen
ses
in p
rior
resu
lts
of
oper
atio
ns
and a
re incl
uded
in P
acifiC
orp
’s A
&G
tar
get
s.
b)
The
man
agem
ent
fee
in U
E 1
79 r
ate
case
was
adju
sted
to r
efle
ct t
he
$1.5
mill
ion h
isto
rica
l le
vel.
O10
a) M
EH
C c
omm
its
to u
se a
n e
xist
ing,
or
form
a n
ew,
captive
insu
rance
co
mpan
y to
pro
vide
insu
rance
cove
rage
for
Paci
fiCorp
’s o
per
atio
ns.
The
cost
s of fo
rmin
g s
uch
cap
tive
will
not
be
reflec
ted in P
acifiC
orp
’s r
egula
ted
acco
unts
, nor
allo
cate
d d
irec
tly
or indir
ectly
to P
acifiC
orp
. S
uch
cap
tive
shal
l be
com
par
able
in c
ost
s an
d s
ervi
ces
to t
hat
pre
viou
sly
pro
vided
thro
ugh
Sco
ttis
hPo
wer
’s c
aptive
insu
rance
com
pan
y D
orn
och
. M
EH
C furt
her
com
mits
that
insu
rance
cos
ts incu
rred
by
Paci
fiCorp
fro
m t
he
captive
insu
rance
co
mpan
y fo
r eq
uiv
alen
t co
vera
ge
for
cale
ndar
yea
rs 2
006 t
hro
ugh 2
010,
incl
usi
ve,
will
be
no m
ore
than
$7.4
mill
ion (
tota
l co
mpan
y).
Ore
gon
Com
mis
sion
Sta
ff h
as v
alued
the
pote
ntial
incr
ease
in P
acifiC
orp
’s t
ota
l co
mpan
y re
venue
requir
emen
t fr
om
the
loss
of Sco
ttis
hPo
wer
’s c
aptive
in
sura
nce
affili
ate
as $
4.3
mill
ion a
nnual
ly,
whic
h s
hal
l be
the
amount
of th
e to
tal co
mpan
y ra
te c
redit.
This
com
mitm
ent
expir
es o
n D
ecem
ber
31,
2010.
b)
This
com
mitm
ent
is o
ffse
table
if Pa
cifiCorp
dem
onst
rate
s to
the
Com
mis
sion
’s s
atis
fact
ion,
in t
he
conte
xt o
f a
gen
eral
rat
e ca
se,
the
cost
s in
cluded
in P
acifiC
orp
’s r
ates
for
such
insu
rance
cov
erag
e is
not
mor
e th
an
$7.4
mill
ion (
tota
l co
mpan
y).
(This
is
reflec
ted in R
ow
3 in A
ppen
dix
2.)
Ongoi
ng
Com
plia
nce
The
captive
pol
icie
s w
ere
renew
ed in M
arch
2009 w
ith p
rem
ium
s no
gre
ater
than
$7.4
mill
ion.
O11
a) M
EH
C a
nd P
acifiC
orp
will
hol
d c
ust
om
ers
har
mle
ss for
incr
ease
s in
cost
s re
sultin
g fro
m P
acifiC
orp
corp
ora
te c
ost
s pre
viousl
y bill
ed t
o P
PM a
nd o
ther
fo
rmer
affili
ates
of Pa
cifiCorp
. O
regon C
om
mis
sion
Sta
ff h
as v
alued
the
Ongoi
ng
Com
plia
nce
Thes
e co
sts
wer
e re
cord
ed a
s A&
G e
xpen
ses
in p
rior
resu
lts
of
oper
atio
ns
and a
re incl
uded
in P
acifiC
orp
’s A
&G
tar
get
s. See
Ore
gon-
spec
ific
Com
mitm
ent
O12 for
mor
e det
ails
.
Page
18
of 2
8
Page 26
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
pote
ntial
incr
ease
in t
ota
l co
mpan
y re
venue
requirem
ent
if t
hes
e co
sts
are
not
elim
inat
ed a
s $7.9
mill
ion a
nnual
ly (
tota
l co
mpan
y) t
hro
ugh D
ecem
ber
31,
2010 a
nd $
6.4
mill
ion a
nnual
ly (
tota
l co
mpan
y) fro
m J
anuar
y 1,
2011
thro
ugh D
ecem
ber
31,
2015,
whic
h s
hal
l be
the
amounts
of th
e to
tal
com
pan
y ra
te c
redit.
This
com
mitm
ent
shal
l ex
pire
on t
he
earlie
r of
D
ecem
ber
31,
2015 o
r w
hen
Pac
ifiC
orp
dem
onst
rate
s to
the
Com
mis
sion’s
sa
tisf
action,
in t
he
conte
xt o
f a
gen
eral
rat
e ca
se,
that
corp
ora
te c
osts
pre
viousl
y bill
ed t
o P
PM a
nd o
ther
form
er a
ffili
ates
hav
e not
bee
n incl
uded
in
Pac
ifiC
orp’s
rat
es.
This
Com
mitm
ent
is in lie
u o
f Com
mitm
ent
38,
and a
st
ate
must
choos
e bet
wee
n t
his
Com
mitm
ent
O 1
1 a
nd C
omm
itm
ent
38.
b)
This
com
mitm
ent
is o
ffse
table
to t
he
exte
nt
Paci
fiCorp
dem
onst
rate
s to
th
e Com
mis
sion’s
sat
isfa
ctio
n,
in t
he
conte
xt o
f a
gen
eral
rat
e ca
se,
that
co
rpora
te c
ost
s pre
viousl
y bill
ed t
o P
PM a
nd o
ther
form
er a
ffili
ates
hav
e not
bee
n incl
uded
in P
acifiC
orp’s
rat
es.
(The
com
mitm
ent
is r
efle
cted
in R
ow
4
of Appen
dix
2.)
O12
a) M
EH
C a
nd P
acifiC
orp
com
mit t
hat
Pac
ifiC
orp’s
tot
al c
ompan
y A&
G c
ost
s w
ill b
e re
duce
d b
y $6 m
illio
n a
nnual
ly b
ased
on t
he
A&
G c
ateg
ories
, as
sum
ptions,
and v
alues
con
tain
ed in A
ppen
dix
3 t
itle
d,
“UM
1209 A
& G
Str
etch
”. The
max
imum
am
ount
of th
e to
tal co
mpan
y ra
te c
redit in a
ny
year
is
$6 m
illio
n.
This
com
mitm
ent
expires
Dec
ember
31,
2010.
Beg
innin
g w
ith
the
firs
t m
onth
aft
er t
he
close
of th
e tr
ansa
ctio
n,
Ore
gon’s
shar
e of th
e $0.5
m
illio
n m
onth
ly r
ate
cred
it w
ill b
e def
erre
d for
the
ben
efit o
f cu
stom
ers
and
accr
ue
inte
rest
at
Paci
fiCorp
’s a
uth
orize
d r
ate
of re
turn
. T
his
Com
mitm
ent
is
in lie
u o
f Com
mitm
ents
22 a
nd U
23 fro
m t
he
Uta
h s
ettlem
ent,
and a
sta
te
must
choose
bet
wee
n t
his
Com
mitm
ent
O 1
2 a
nd C
om
mitm
ents
22 a
nd U
23.
b)
The
cred
it w
ill b
e offse
table
on a
pro
spec
tive
bas
is,
for
ever
y dol
lar
that
Pa
cifiCor
p d
emonst
rate
s, t
o t
he
Com
mis
sion’s
sat
isfa
ctio
n,
in a
subse
quen
t gen
eral
rat
e ca
se,
that
tota
l co
mpan
y A&
G e
xpen
ses
incl
uded
in P
acifiC
orp
’s
rate
s ar
e le
ss t
han
$6 m
illio
n a
bove
the
“Str
etch
Goa
l” a
nd h
ave
not
bee
n
shifte
d t
o o
ther
reg
ula
tory
acc
ounts
. T
he
2006 S
tret
ch G
oal
is
$222.8
m
illio
n.
Subse
quen
t Str
etch
Goal
s sh
all eq
ual
the
2006 S
tret
ch G
oal
m
ultip
lied b
y th
e ra
tio o
f th
e G
lobal
Insi
ght’s
Utilit
y Cost
Info
rmat
ion S
ervi
ce
(UCIS
)-Adm
inis
trat
ive
and G
ener
al –
Tota
l O
per
atio
ns
and M
ainte
nan
ce
Index
(IN
DEX C
OD
E S
erie
s JE
AD
GO
M),
for
the
test
per
iod d
ivid
ed b
y th
e 2006 index
val
ue.
If
anoth
er index
is
adopte
d in a
futu
re P
acifiC
orp
cas
e,
that
index
will
rep
lace
the
afore
men
tioned
index
and w
ill b
e use
d o
n a
pro
spec
tive
bas
is o
nly
. I
f th
is o
ccurs
, th
e Str
etch
Goal
for
futu
re y
ears
will
eq
ual
the
Str
etch
Goal
fro
m t
he
most
rec
ent
full
cale
ndar
yea
r m
ultip
lied b
y th
e ra
tio o
f th
e new
index
for
the
test
per
iod d
ivid
ed b
y th
e new
index
val
ue
for
that
sam
e m
ost
rece
nt
full
cale
ndar
yea
r.
Ongoi
ng
Com
plia
nce
Fo
r ra
tem
akin
g p
urp
ose
s in
Ore
gon
the
Com
pan
y’s
A&
G c
osts
are
bel
ow
th
e st
retc
h g
oal
. T
he
ove
rall
targ
et w
as $
231.5
m for
the
12 m
onth
s en
ded
Dec
ember
2007,
the
test
per
iod o
n w
hic
h t
he
rate
s in
effec
t at
th
is t
ime
wer
e se
t in
Doc
ket
No.
UE 1
79.
The
Com
pan
y did
not
pro
pose
a
rate
cre
dit in its
origin
al fili
ng a
nd t
he
sett
lem
ent
reac
hed
in t
he
case
did
not
require
one.
The
ove
rall
targ
et for
the
12 m
onth
s en
ded
Dec
ember
2008 is
$240.5
m
illio
n.
Pac
ifiC
orp
’s 2
008 R
esults
of O
per
atio
ns
Rep
ort
file
d A
pril 2009
report
s unad
just
ed t
ota
l co
mpan
y A&
G c
osts
of $170.0
mill
ion.
O13
The
pre
miu
m p
aid b
y M
EH
C for
Pac
ifiC
orp
(Acq
uis
itio
n P
rem
ium
) w
ill b
e ex
cluded
fro
m t
he
utilit
y ac
counts
of Pa
cifiCorp
. F
urt
her
, M
EH
C a
nd
Paci
fiCor
p c
omm
it t
hat
they
will
not
pro
pos
e to
rec
ove
r th
e Acq
uis
itio
n
Pre
miu
m in O
regon r
etai
l ra
tes,
or
incl
ude
the
Acq
uis
itio
n P
rem
ium
in
CO
MP
LET
E
CO
MP
LET
E –
Act
ion n
ot
required
unle
ss s
pec
ifie
d a
ctiv
itie
s occ
ur.
Page
19
of 2
8
Page 27
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
Paci
fiCor
p’s
res
ults
of oper
atio
ns,
unle
ss t
his
com
mitm
ent
is m
odifie
d b
y th
e Com
mis
sion
, purs
uan
t to
a fili
ng u
nder
ORS 7
56.5
68,
to a
llow
for
the
reco
very
of th
e Acq
uis
itio
n P
rem
ium
. M
EH
C a
nd P
acifiC
orp
will
not
reques
t or
support
a m
otio
n t
o m
odify
this
com
mitm
ent
to a
llow
rec
ove
ry o
f th
e Acq
uis
itio
n P
rem
ium
unle
ss a
par
ty in a
pro
ceed
ing b
efore
the
Com
mis
sion
pro
pose
s an
adju
stm
ent
to P
acifiC
orp
’s r
even
ue
requirem
ent
that
MEH
C a
nd
Paci
fiCor
p a
sser
t vi
olat
es t
he
regula
tory
theo
ry o
f th
e m
atch
ing p
rinci
ple
. I
f Pac
ifiC
orp s
eeks
rec
ove
ry o
f th
e Acq
uis
itio
n P
rem
ium
, th
en o
ther
Par
ties
are
fr
ee t
o o
ppos
e su
ch r
ecove
ry,
incl
udin
g t
he
valid
ity
of th
e m
atch
ing p
rinci
ple
.
O14
a) In
the
even
t of a
ratings
dow
ngra
de
by
two o
r m
ore
rat
ing a
gen
cies
of
Paci
fiCor
p’s
sen
ior
long-t
erm
deb
t th
at o
ccurs
within
12 m
onth
s af
ter
the
Com
mis
sion
appro
ves
the
Tra
nsa
ctio
n o
r is
sues
an o
rder
adopting a
cquis
itio
n
com
mitm
ents
fro
m o
ther
Pac
ifiC
orp
sta
tes,
whic
hev
er,
com
es lat
er (
the
“Bas
elin
e D
ate”
), a
nd a
t le
ast
one
such
agen
cy iden
tifies
iss
ues
rel
ated
to
MEH
C’s
acq
uis
itio
n o
f Pa
cifiCorp
as
a ca
use
of th
e ra
tings
dow
ngra
de,
the
assu
med
yie
ld for
any
incr
emen
tal deb
t is
sued
by
Pac
ifiC
orp a
fter
the
dow
ngra
de
will
be
reduce
d b
y 10 b
asis
poi
nts
for
each
notc
h t
hat
Pac
ifiC
orp
is
dow
ngra
ded
bel
ow
Pac
ifiC
orp
’s r
atin
g o
n t
he
Bas
elin
e D
ate.
Such
ad
just
men
t w
ill c
ontinue
until th
e deb
t is
no longer
outs
tandin
g.
In t
he
case
w
her
e one
rating a
gen
cy iss
ues
a r
atin
g d
owngra
de,
but
not
two o
r m
ore
ra
ting a
gen
cies
, den
ote
d a
s a
split
rat
ing,
the
adju
stm
ent
shal
l be
5 b
asis
poin
ts for
each
notc
h.
The
adju
stm
ent
impose
d b
y th
is c
om
mitm
ent
will
be
elim
inat
ed for
deb
t is
suan
ces
follo
win
g t
he
ratings
upgra
de
of Pa
cifiCorp
eq
ual
to t
he
rating o
n t
he
Bas
elin
e D
ate.
This
Com
mitm
ent
is in lie
u o
f Com
mitm
ent
37,
and a
sta
te m
ust
choose
bet
wee
n t
his
Com
mitm
ent
O 1
4
and C
omm
itm
ent
37.
b)
In t
he
even
t th
at d
ebt
issu
ed b
y Pa
cifiCor
p w
ithin
12 m
onth
s af
ter
the
Bas
elin
e D
ate
is r
ecal
led a
nd r
efin
ance
d,
Paci
fiCorp
agre
es t
o h
old c
ust
om
ers
har
mle
ss,
for
the
term
of th
e deb
t, a
s co
mpar
ed t
o th
e re
venue
requirem
ents
purs
uan
t to
subpar
agra
ph a
) an
d its
bas
is p
oint
reduct
ions,
of th
e origin
ally
finan
ced d
ebt.
CO
MP
LETE
C
OM
PLETE
–ef
fect
ive
Mar
ch 2
1,
2007.
O15
a) M
EH
C c
omm
its
that
im
med
iate
ly fol
low
ing t
he
closi
ng o
f th
e tr
ansa
ctio
n,
the
acquirin
g c
ompan
y (P
PW H
oldin
gs
LLC)
will
hav
e no d
ebt
in its
cap
ital
st
ruct
ure
. M
EH
C a
nd P
acifiC
orp
com
mit t
hat
the
conso
lidat
ed c
apital
st
ruct
ure
of PP
W H
oldin
gs
LLC w
ill n
ot
conta
in c
omm
on e
quity
capital
bel
ow
th
e fo
llow
ing p
erce
nta
ges
of its
Tota
l Cap
ital
as
def
ined
in C
om
mitm
ent
18b:
48.2
5%
fro
m t
he
dat
e of th
e cl
ose
of th
e tr
ansa
ctio
n t
hro
ugh
Dec
ember
31,
2008;
47.2
5%
fro
m J
anuar
y 1,
2009 t
hro
ugh D
ecem
ber
31,
2009;
46.2
5%
fro
m J
anuar
y 1,
2010 t
hro
ugh D
ecem
ber
31,
2010;
45.2
5%
fro
m J
anuar
y 1,
2011 t
hro
ugh D
ecem
ber
31,
2011;
44.0
0%
aft
er D
ecem
ber
31,
2011.
b)
MEH
C a
nd P
acifiC
orp
com
mit t
hat
the
conso
lidat
ed c
apital
str
uct
ure
of
PPW
Hol
din
gs
LLC w
ill n
ot
conta
in c
om
mon e
quity
capital
bel
ow 3
5%
of its
Tota
l Adju
sted
Cap
ital
as
def
ined
in C
om
mitm
ent
18c.
Ongoi
ng
Com
plia
nce
a)
Acc
ounting c
alcu
late
s PP
W H
oldin
gs,
LLC
com
mon
equity
capital
and
ratios
on a
month
ly b
asis
and r
eport
s to
Tre
asury
. Com
mon e
quity
capital
as
a per
cent
of to
tal ad
just
ed c
apital
has
rem
ained
above
the
required
min
imum
thre
shol
d.
b)
No d
ebt
has
bee
n iss
ued
by
PPW
Hol
din
gs,
LLC
.
Page
20
of 2
8
Page 28
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
c) M
EH
C w
ill p
rovi
de
the
Com
mis
sion
30 d
ays
prior
notice
if PP
W H
old
ings
LLC inte
nds
to iss
ue
deb
t. M
EH
C a
nd P
acifiC
orp
ack
now
ledge
that
if PPW
H
oldin
gs
LLC d
oes
iss
ue
deb
t, t
he
Com
mis
sion
has
the
auth
ority
purs
uan
t to
a
re-o
pen
er u
nder
ORS 7
56.5
68 lim
ited
to
the
consi
der
atio
n o
f ad
ditio
nal
ri
ng-f
enci
ng p
rovi
sion
s th
at m
ay b
e ap
pro
priat
e.
O16
MEH
C c
omm
its
that
no a
men
dm
ents
, re
visi
ons
or
modific
atio
ns
will
be
mad
e to
the
ring-f
enci
ng p
rovi
sion
s of Com
mitm
ent
11 b
) w
ithout
prior
Com
mis
sion
appro
val purs
uan
t to
a lim
ited
re-
open
er u
nder
ORS
756.5
68 for
the
sole
purp
ose
of ad
dre
ssin
g t
he
ring-f
enci
ng p
rovi
sion
s.
Ongoi
ng
Com
plia
nce
N
o a
men
dm
ents
, re
visi
ons
or
modific
atio
ns
hav
e bee
n m
ade
to t
he
PPW
H
oldin
gs
LLC a
gre
emen
t dat
ed M
arch
15,
2006.
O17
Within
thre
e m
onth
s of cl
osi
ng o
f th
e tr
ansa
ctio
n,
MEH
C c
om
mits
to o
bta
in a
non-c
onso
lidat
ion o
pin
ion t
hat
dem
onst
rate
s th
at t
he
ring fen
cing a
round
PPW
Hol
din
gs
LLC is
suffic
ient
to p
reve
nt
PPW
Hol
din
gs
LLC a
nd P
acifiC
orp
fr
om
bei
ng p
ulle
d into
an M
EH
C b
ankr
uptc
y. M
EH
C c
om
mits
to p
rom
ptly
file
su
ch o
pin
ion w
ith t
he
Com
mis
sion
. I
f th
e ring-f
enci
ng p
rovi
sions
of th
is
agre
emen
t ar
e in
suff
icie
nt
to o
bta
in a
non-c
onso
lidat
ion o
pin
ion,
MEH
C
agre
es t
o p
rom
ptly
under
take
the
follo
win
g a
ctio
ns:
a)
Notify
the
Com
mis
sion o
f th
is inab
ility
to o
bta
in a
non-c
onso
lidat
ion
opin
ion.
b)
Prop
ose
and im
ple
men
t, u
pon C
om
mis
sion
appro
val, s
uch
rin
g-f
enci
ng
pro
visi
ons
that
are
suffic
ient
to p
reve
nt
PPW
Hol
din
gs
LLC fro
m b
eing p
ulle
d
into
an M
EH
C b
ankr
uptc
y.
c) O
bta
in a
non-c
onso
lidat
ion o
pin
ion.
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
June
9,
2006.
O18
MEH
C a
nd P
acifiC
orp
com
mit t
hat
Pac
ifiC
orp
will
not
mak
e an
y div
iden
ds
to
PPW
Hol
din
gs
LLC o
r M
EH
C if Pa
cifiCorp
’s u
nse
cure
d d
ebt
rating is
BBB-
or
low
er b
y S &
P o
r Fi
tch (
or
Baa
3 o
r lo
wer
by
Moody’
s),
as indic
ated
by
two o
f th
e th
ree
rating a
gen
cies
.
Ongoi
ng
Com
plia
nce
The
rating r
equirem
ent
has
bee
n a
dded
to t
he
list
of te
sts
to b
e per
form
ed p
rior
to P
acifiC
orp
dec
lari
ng d
ivid
ends
on c
om
mon s
tock
.
O19
MEH
C a
nd P
acifiC
orp
com
mit t
o s
upport
ren
ewal
of th
e 3%
public
purp
ose
ch
arge
under
ORS 7
57.6
12 b
eyond 2
011,
pro
vided
that
the
Com
mis
sion
su
pport
s th
e re
new
al,
the
repor
t to
the
legis
latu
re r
equired
under
ORS
757.6
17 c
oncl
udes
that
the
Ener
gy
Tru
st c
ontinues
to o
per
ate
in a
re
asonab
le m
anner
, an
d t
he
legis
lation r
enew
ing t
he
3%
public
purp
ose
ch
arge
is n
ot
incl
uded
in a
bill
that
MEH
C a
nd P
acifiC
orp
oth
erw
ise
dee
m
obje
ctio
nab
le.
Additio
nal
ly,
with r
espec
t to
pote
ntial
modific
atio
ns
to t
he
3%
public
purp
ose
char
ge
aris
ing fro
m t
he
2007 r
epor
t to
the
legis
latu
re
required
under
ORS 7
57.6
17,
MEH
C a
nd P
acifiC
orp
agre
e to
oppose
any
modific
atio
ns
that
red
uce
the
public
purp
ose
char
ge
to les
s th
an 3
%
annual
ly.
In a
dditio
n,
pro
vided
the
report
to t
he
legis
latu
re c
oncl
udes
the
Ener
gy
Tru
st h
as o
per
ated
in a
rea
sonab
le m
anner
and t
he
Com
mis
sion
re
new
s its
contr
act
with t
he
Ener
gy
Tru
st,
MEH
C a
nd P
acifiC
orp
will
support
th
e Ener
gy
Tru
st.
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
June
6,
2007.
O20
MEH
C a
nd P
acifiC
orp
ack
now
ledge
that
the
$10 m
illio
n low
-inco
me
bill
pay
men
t as
sist
ance
under
ORS 7
57.6
12 d
oes
not
expir
e in
2011.
MEH
C a
nd
Paci
fiCor
p w
ill o
ppose
any
reduct
ion in t
he
curr
ent
amount
of th
e fu
nd.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p is
not
awar
e of an
y le
gis
lation
, nor
has
it
support
ed o
r oppose
d a
ny
legis
lation
, th
at w
ould
im
pac
t th
e am
ount
of th
e lo
w-
inco
me
bill
pay
men
t as
sist
ance
pro
gra
m u
nder
ORS 7
57.6
12.
Page
21
of 2
8
Page 29
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
O21
MEH
C c
omm
its
to p
rovi
de
shar
ehold
er fundin
g t
o h
ire
a co
nsu
ltan
t to
stu
dy
and d
esig
n for
poss
ible
im
ple
men
tation o
f an
arr
eara
ge
man
agem
ent
pro
ject
fo
r lo
w-i
nco
me
cust
om
ers
that
cou
ld b
e m
ade
applic
able
to O
regon a
nd o
ther
st
ates
that
Pac
ifiC
orp
ser
ves.
Pa
cifiCorp
will
pro
vide
a re
sourc
e fo
r fa
cilit
atio
n o
f a
work
ing g
roup t
o o
vers
ee t
he
pro
ject
. T
he
study
shal
l co
mm
ence
no lat
er t
han
180 d
ays
afte
r cl
ose
of th
e tr
ansa
ctio
n a
nd b
e co
mple
ted,
thro
ugh t
he
issu
ance
of a
form
al r
eport
to t
he
Com
mis
sion,
no
late
r th
an 3
65 d
ays
afte
r cl
ose
of th
e tr
ansa
ctio
n.
MEH
C r
ecogniz
es t
hat
su
ch a
pro
gra
m m
ay h
ave
to b
e ta
ilore
d t
o b
est
fit
the
uniq
ue
low
-inco
me
envi
ronm
ent
of
each
indiv
idual
sta
te.
The
pro
ject
will
be
dev
eloped
by
Paci
fiCor
p in c
onju
nct
ion w
ith t
he
rele
vant
regula
tory
and g
ove
rnm
enta
l ag
enci
es,
low
-inco
me
advo
cate
s, a
nd o
ther
inte
rest
ed p
arties
in e
ach s
tate
th
at is
inte
rest
ed in p
artici
pat
ing.
The
goal
s fo
r th
e pro
ject
will
incl
ude
reduci
ng s
ervi
ce t
erm
inat
ions,
red
uci
ng r
efer
ral of del
inquen
t cu
stom
ers
to
third p
arty
col
lect
ion a
gen
cies
, re
duci
ng c
olle
ctio
n litig
atio
n a
nd r
educi
ng
arre
arag
es a
nd incr
easi
ng v
olunta
ry c
ust
om
er p
aym
ents
of ar
rear
ages
. T
he
cost
s of th
is s
tudy
will
be
at lea
st $
66,0
00 o
n a
tota
l co
mpan
y bas
is p
aid for
by
shar
ehol
der
s. If
les
s th
an s
ix s
tate
s par
tici
pat
e, t
he
amou
nt
of th
e sh
areh
older
funds
will
be
reduce
d p
roport
ional
ly.
CO
MP
LETE
C
OM
PLETE
–ef
fect
ive
Mar
ch 2
0,
2007.
O22
MEH
C a
nd P
acifiC
orp
com
mit t
o a
tota
l co
ntr
ibution
lev
el for
Ore
gon
low
-in
com
e bill
pay
men
t as
sist
ance
in t
he
amou
nt
of $400,0
00 a
nnual
ly,
for
a five
-yea
r per
iod b
egin
nin
g J
uly
1,
2006.
The
contr
ibutions
may
be
com
prise
d o
f co
ntr
ibutions
from
corp
ora
te,
emplo
yee,
oth
er s
ourc
es,
and
cust
om
er d
onat
ions.
The
corp
ora
te c
ontr
ibution w
ill b
e re
cord
ed in n
on-
utilit
y ac
counts
. B
efore
the
end o
f th
e five
-yea
r per
iod,
MEH
C a
nd P
acifiC
orp
co
mm
it t
o w
ork
with low
-inco
me
advo
cate
s an
d c
ust
om
er g
roups
to e
valu
ate
additio
nal
contr
ibution
s.
Ongoi
ng
Com
plia
nce
Contr
ibutions
tota
ling $
400,0
00 w
ere
rece
ived
in t
ota
l fo
r en
ergy
assi
stan
ce in O
regon for
the
pro
gra
m y
ear
endin
g J
une
30,
2008.
Of
that
tota
l, P
acifiC
orp
’s s
har
e w
as $
288,2
16 a
nd t
he
bal
ance
of
donat
ions
cam
e fr
om
all
oth
er c
ontr
ibuto
rs.
Ore
gon
HEAT r
ecei
ved
$395,0
00 o
f th
ese
funds
and S
now
CAP r
ecei
ved $
5,0
00.
The
com
pan
y has
work
ed o
n g
ener
atin
g a
dditio
nal
con
trib
ution
s, a
nd t
o
this
end h
as a
dded
a J
une
dis
trib
ution
of donat
ion e
nve
lopes
in b
illin
gs
to t
he
regula
r N
ovem
ber
and F
ebru
ary
dis
trib
ution m
onth
s. The
com
pan
y is
pro
moting t
he
pro
gra
m o
n t
he
ePay
web
site
and h
as a
dded
th
e pro
gra
m t
o its
Em
plo
yee
Giv
ing C
ampai
gn.
Pac
ifiC
orp
als
o
par
tici
pat
es in t
he
Snow
CAP a
nnual
ener
gy
assi
stan
ce fundra
iser
and
exce
ss n
et m
eter
ing funds
in O
regon a
re forw
arded
to O
regon H
EAT.
O23
MEH
C a
nd P
acifiC
orp
agre
e to
incl
ude
repre
senta
tive
s of both
Com
munity
Act
ion D
irec
tors
of O
regon a
nd O
regon E
ner
gy
Coor
din
ators
Ass
oci
atio
n in
the
list
of in
tere
sted
par
ties
par
tici
pat
ing in t
he
DSM
stu
dy
under
Com
mitm
ent
44.
CO
MP
LET
E
CO
MP
LET
E -
effec
tive
July
13,
2007.
O24
MEH
C a
nd P
acifiC
orp
ack
now
ledge
curr
ent
city
fra
nch
ise
auth
ority
incl
udin
g
but
not
limited
to
a ci
ty’s
auth
ority
to c
ontr
ol t
he
use
of its
rights
of w
ay a
nd
colle
ct c
har
ges
for
the
use
of th
e ci
ty’s
rig
hts
of w
ay,
as s
et fort
h a
nd
auth
orize
d b
y ap
plic
able
Ore
gon law
. B
efore
any
effo
rts
to s
eek
a le
gis
lative
or
regula
tory
chan
ge,
MEH
C a
nd P
acifiC
orp
will
ente
r in
to d
iscu
ssio
ns
with
the
Leag
ue
of O
regon C
itie
s re
gar
din
g s
aid m
odific
atio
ns.
Ongoi
ng
Com
plia
nce
Pa
cifiCor
p c
ontinues
to a
cknow
ledge
curr
ent
city
fra
nch
ise
auth
ority
and
did
not
seek
a leg
isla
tive
or
regula
tory
chan
ge
during t
he
per
iod A
pril 1,
2008 t
hro
ugh M
arch
31,
2009.
O25
To t
he
exte
nt
avai
lable
, M
EH
C a
nd P
acifiC
orp
com
mit t
o h
ave
400 M
W o
f co
st
effe
ctiv
e new
ren
ewab
le r
esourc
es in P
acifiC
orp
’s g
ener
atio
n p
ort
folio
by
CO
MP
LET
EC
OM
PLET
E -
effec
tive
Dec
ember
31,
2007.
Page
22
of 2
8
Page 30
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
Dec
ember
31,
2007.
The
400 M
W w
ill incl
ude
Wol
verine
Cre
ek (
64.5
MW
) an
d C
ove
Fort
(42 M
W).
M
EH
C a
nd P
acifiC
orp
will
anal
yze
the
pro
ject
s co
nsi
sten
t w
ith a
pplic
able
reg
ula
tory
rule
s an
d o
rder
s in
effec
t at
the
tim
e an
d a
s in
form
ed b
y th
e IR
P. Res
ourc
e id
entifica
tion
shal
l be
per
form
ed u
sing
an R
FP p
roce
dure
. I
f Pac
ifiC
orp fai
ls t
o m
eet
this
400 M
W t
arget
it
will
dis
close
to s
ignat
ories
(ex
cludin
g a
ny
bid
der
s an
d a
ffili
ates
of bid
der
s) t
he
cost
-effec
tive
nes
s an
alys
is it
use
d w
hen
rej
ecting t
he
low
est
cost
pro
ject
s.
Paci
fiCor
p s
hal
l file
a r
eport
, on t
he
stat
us
of m
eeting t
his
tar
get
, w
ith t
he
Com
mis
sion
no lat
er t
han
six
mon
ths
afte
r cl
ose
of th
e tr
ansa
ctio
n.
In
eval
uat
ing a
cquis
itio
n o
f re
new
able
ener
gy,
all
oth
er t
hin
gs
bei
ng e
qual
, M
EH
C a
nd P
acifiC
orp
will
not
pre
fer
ow
ner
ship
of fa
cilit
ies.
O26
a) C
oncu
rren
t w
ith its
nex
t IR
P filin
g,
Paci
fiCorp
com
mits
to file
a t
en-y
ear
pla
n for
achie
ving t
he
1400 M
W r
enew
able
s ta
rget
, in
cludin
g s
pec
ific
m
ilest
ones
ove
r th
e te
n y
ears
when
res
ourc
es w
ill b
e ad
ded
. T
he
filin
g w
ill
incl
ude
a te
n-y
ear
pla
n for
inst
allin
g t
ransm
issi
on t
hat
will
fac
ilita
te t
he
del
iver
y of re
new
able
ener
gy
and t
he
achie
vem
ent
of its
2015 g
oal
of at
lea
st
1400 M
W o
f co
st-e
ffec
tive
ren
ewab
le e
ner
gy.
W
ithin
six
(6)
month
s af
ter
the
clos
e of th
e tr
ansa
ctio
n,
MEH
C a
nd P
acifiC
orp
will
file
with t
he
Com
mis
sion a
pre
limin
ary
pla
n for
achie
ving t
he
1400 M
W r
enew
able
tar
get
. b)
Paci
fiCorp
com
mits
to a
ddre
ss a
s par
t of its
nex
t IR
P th
e ap
pro
priat
e ro
le
of in
crem
enta
l hyd
ropow
er p
roje
cts
in m
eeting t
he
1400 M
W r
enew
able
s ta
rget
.
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
May
30,
2007.
O27
MEH
C a
nd P
acifiC
orp
will
support
cost
effec
tive
and s
afe
com
munity
renew
able
ener
gy
pro
ject
s in
Ore
gon u
sing P
URPA
contr
acts
im
ple
men
ted
under
avo
ided
cos
t ta
riffs
appro
ved b
y th
e Com
mis
sion
. I
f PU
RPA
is
no
longer
in e
ffec
t in
Ore
gon b
efore
an a
lter
nat
e m
arke
t fo
r co
mm
unity
renew
able
ener
gy
is d
evel
oped
, Pa
cifiCorp
will
work
with O
regon
stak
ehol
der
s an
d t
he
Com
mis
sion t
o d
evel
op r
epla
cem
ent
pro
cedure
s fo
r new
contr
acts
. F
or
the
purp
ose
of th
is C
omm
itm
ent,
com
munity
renew
able
en
ergy
pro
ject
s ar
e def
ined
as:
Loca
lly o
wned
ren
ewab
le e
ner
gy
pro
ject
s.
Norm
ally
1-1
0 M
W s
tandar
d c
ontr
act
PURPA
pro
ject
s an
d indust
rial
co-g
en
type
pro
ject
s ab
ove
10 M
W t
hat
use
neg
otiat
ed P
URPA
contr
acts
. P
roje
cts
can b
e: 1
. P
riva
te o
wner
ship
(ex
ample
- s
ever
al far
mer
s in
a w
ind p
roje
ct);
2.
Munic
ipal
ow
ner
ship
(ir
rigat
ion d
istr
ict
smal
l-hyd
ro o
r lo
cal sc
hool;
win
d
turb
ine)
; or
3.
Com
bin
ed m
unic
ipal
/priva
te o
wner
ship
pro
ject
s (l
ocal
co
mm
unity
par
tner
ed w
ith lan
dow
ner
s).
Ongoi
ng
Com
plia
nce
The
com
pan
y has
exe
cute
d a
n O
regon s
tandar
d P
URPA
Pow
er P
urc
has
e Agre
emen
t w
ith S
tahlb
ush
Isl
and F
arm
s fo
r a
1.6
MW
Dig
este
r gas
pro
ject
. S
ince
Jan
uar
y 1,
2009 t
he
com
pan
y has
rec
eive
d 1
9 r
eques
ts
for
PURPA
pro
ject
s to
talin
g 9
5 M
W c
omprise
d o
f w
ind,
hyd
ro,
bio
mas
s,
bio
gas
and s
olar
. O
f th
ese
reques
ts,
ten p
roje
cts
tota
ling 5
0M
W a
re
active
ly b
eing m
anag
ed.
O28
To t
he
exte
nt
consi
sten
t w
ith t
he
inte
rest
s of Pa
cifiCorp
’s r
etai
l cu
stom
ers,
M
EH
C a
nd P
acifiC
orp
will
support
thro
ugh a
ctio
n a
nd p
olic
y th
e em
ergin
g
com
munity
renew
able
ener
gy
mar
ket
in O
regon.
Pac
ifiC
orp w
ill a
lso c
onsu
lt
with c
omm
unity
renew
able
ener
gy
repre
senta
tive
s if P
acifiC
orp is
conte
mpla
ting c
han
ges
to s
yste
m o
per
atio
ns
that
would
adve
rsel
y af
fect
co
mm
unity
renew
able
ener
gy
pro
ject
s.
Ongoi
ng
Com
plia
nce
Agre
ed u
pon p
er s
tipula
tion.
No c
onsu
ltat
ions
nec
essa
ry.
O29
MEH
C a
nd P
acifiC
orp
agre
e th
at o
nce
a F
ERC lic
ense
is
issu
ed a
nd (
a)
Pac
ifiC
orp e
ither
(i)
affirm
ativ
ely
acce
pts
the
licen
se,
or (
ii) is
dee
med
to
Ongoi
ng
Com
plia
nce
Le
wis
Riv
er,
Nor
th U
mpqua,
Pro
spec
t, B
ig F
ork
and B
ear
Riv
er -
Lic
ense
im
ple
men
tation is
ongoi
ng.
Page
23
of 2
8
Page 31
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
hav
e ac
cepte
d t
he
licen
se p
urs
uan
t to
the
term
s of
the
licen
se a
nd F
ERC
rule
s an
d p
roce
dure
s, a
nd (
b)
the
licen
se’s
conditio
ns
are
not
subje
ct t
o
furt
her
appea
ls,
Paci
fiCor
p s
hal
l hav
e th
e ab
ility
to
fund im
ple
men
tation o
f al
l final
lic
ense
conditio
ns.
This
pro
visi
on is
gen
eral
ly a
pplic
able
, but
also
sp
ecific
ally
applie
s to
the
follo
win
g P
acifiC
orp h
ydro
pow
er p
roje
cts:
Kla
mat
h,
Lew
is R
iver
, an
d P
rosp
ect.
Kla
mat
h R
iver
- S
ettlem
ent
neg
otiat
ions
are
ongoi
ng.
Condit -
Lic
ensi
ng/d
ecom
mis
sionin
g p
roce
edin
g is
ongoi
ng,
Lice
nse
/surr
ender
ord
er d
ate
is u
nce
rtai
n.
O30
MEH
C a
nd P
acifiC
orp
ren
ew P
acifiC
orp
’s c
om
mitm
ent
to im
ple
men
t th
e Condit (
FERC N
o.
2342,
sett
lem
ent
signed
Sep
t. 2
2,
1999,
amen
ded
Feb
. 28th
, 2005),
Lew
is (
FERC N
os.
935,
2071,
2111,
2213,
sett
lem
ent
signed
N
ove
mber
30,
2004)
and P
ow
erdal
e (F
ERC N
o. 2
659,
sett
lem
ent
signed
June
26,
2003),
set
tlem
ent
agre
ements
. A
s ci
rcum
stan
ces
evol
ve,
Pac
ifiC
orp
will
co
ntinue
to a
ppro
ach t
he
agre
emen
ts in a
spirit o
f co
oper
atio
n w
ith o
ther
st
akeh
older
s an
d t
o a
ttem
pt
thro
ugh c
onst
ruct
ive
dia
log w
ith t
he
par
ties
to
find w
ays
to a
ccom
plis
h t
he
goal
s id
entified
in t
he
agre
emen
ts.
MEH
C a
nd
Paci
fiCor
p a
gre
e to
mak
e re
asonab
le a
ttem
pts
to a
ccom
plis
h t
he
obje
ctiv
es
of th
ose
agre
emen
ts e
ven in t
he
face
of ch
angin
g c
ircu
mst
ance
s, t
o t
he
exte
nt
it is
consi
sten
t w
ith c
ust
omer
inte
rest
s.
Ongoi
ng
Com
plia
nce
Le
wis
Riv
er –
The
Lew
is R
iver
Hyd
ro P
roje
cts
rece
ived
FERC lic
ense
s in
Ju
ne
2008.
The
50-y
ear
licen
ses
(Lew
is R
iver
Mer
win
Pro
ject
P-9
35,
Yal
e Pro
ject
P-2
071,
Sw
ift
No.
1 P
roje
ct P
-2111 a
nd S
wift
No.
2 P
roje
ct
P-2213)
wer
e bas
ed o
n t
he
2004 s
ettlem
ent.
Li
cense
info
rmat
ion is
avai
lable
on t
he
Pac
ifiC
orp
web
site
at
htt
p:/
/ww
w.p
acific
orp.c
om
/Art
icle
/Art
icle
49195.h
tml.
Pow
erdal
e --
Im
ple
men
tation o
f Po
wer
dal
e Surr
ender
Ord
er a
nd
Set
tlem
ent
Agre
emen
t is
ongoi
ng.
In lat
e 2006 t
he
Proje
ct s
ust
ained
m
ajor
dam
age
due
to flo
odin
g o
f th
e H
ood
Riv
er.
A r
eques
t fo
r ea
rly
cess
atio
n o
f gen
erat
ion w
as a
ppro
ved b
y th
e FE
RC in F
ebru
ary
2007.
D
ecom
mis
sionin
g o
f th
e pro
ject
is
sched
ule
d t
o s
tart
in 2
010.
Condit –
Lice
nsi
ng /
dec
om
mis
sion
ing p
roce
edin
g is
ongoi
ng.
Lic
ense
/
surr
ender
ord
er d
ate
is u
nce
rtai
n.
The
pro
ject
will
not
be
rem
ove
d in
2009.
O31
MEH
C a
nd P
acifiC
orp
com
mit t
o form
an I
GCC W
orki
ng G
roup,
spon
sore
d b
y Pa
cifiCor
p t
o d
iscu
ss v
ario
us
pol
icy
and t
echnol
ogy
issu
es a
ssoci
ated
with
IGCC,
carb
on c
aptu
re,
and s
eques
trat
ion.
Work
ing G
roup m
ember
s w
ould
in
clude
repre
senta
tive
s fr
om m
ajor
sta
kehol
der
and r
egula
tory
gro
ups,
Pa
cifiCor
p a
nd M
EH
C o
ffic
ials
, an
d o
ther
s as
appro
priat
e. The
Wor
king G
roup
will
incl
ude
Ore
gon s
take
hol
der
s as
wel
l. Som
e is
sues
and c
hal
lenges
to
dev
elop
men
t th
at w
ould
be
consi
der
ed b
y th
e W
orki
ng G
roup w
ould
incl
ude:
•
the
stat
us
of dev
elopm
ent
of ca
rbon s
eques
trat
ion p
olic
y an
d m
ethod
s,
incl
udin
g r
equirem
ents
for
monitor
ing a
nd v
erifyi
ng s
eques
trat
ion
options;
•
info
rmat
ion s
har
ing,
so t
hat
, to
the
exte
nt
poss
ible
, al
l par
ties
dev
elop
a sh
ared
under
stan
din
g o
f ex
pec
ted I
GCC t
echnol
ogy
ben
efits,
ex
pec
ted c
apital
and O
&M
cost
s, a
nd p
ote
ntial
ris
ks;
•in
form
atio
n s
har
ing t
o u
nder
stan
d s
uch
ter
ms
and a
ssoci
ated
re
quirem
ents
with c
once
pts
such
as
“car
bon
cap
ture
rea
dy”
and
“per
man
ent
seques
trat
ion”;
•
issu
es r
elat
ed t
o t
echnol
ogy
of an
d p
erm
itting for
IGCC a
ir e
mis
sion
s,
was
te d
isposa
l, w
ater
use
and s
ite
usa
ge;
•
com
mer
cial
ter
ms
and c
onditio
ns
asso
ciat
ed w
ith I
GCC p
lant
dev
elop
men
t, c
onst
ruct
ion,
and m
ainte
nan
ce;
and
•im
plic
atio
ns
of U
tah S
B 2
6 o
n d
evel
opm
ent
of IG
CC p
lants
giv
en t
he
implic
atio
ns
of lo
ng d
evel
opm
ent
lead
tim
es,
dev
elopm
ent
cost
s,
pro
ject
ris
k, a
nd c
ost
unce
rtai
nty
.
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
Mar
ch 2
7,
2008.
Page
24
of 2
8
Page 32
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
•th
e al
loca
tion o
f ri
sk b
etw
een s
har
ehol
der
s an
d r
atep
ayer
s of ad
ditio
nal
ca
rbon d
ioxi
de
emis
sions
in t
he
even
t Pa
cifiCorp
pro
ceed
s w
ith a
coal
unit t
hat
is
not
able
to c
aptu
re a
nd s
tore
car
bon e
mis
sions.
The
IGCC W
ork
ing G
roup w
ould
mee
t per
iodic
ally
to d
iscu
ss t
he
abov
e is
sues
an
d iden
tify
poss
ible
sol
utions,
and t
o s
tay
abre
ast
of th
e ev
olv
ing
tech
nol
ogy
and c
om
mer
cial
envi
ronm
ent.
O32
MEH
C a
nd P
acifiC
orp
com
mit t
o t
he
follo
win
g:
a) M
EH
C a
nd P
acifiC
orp
com
mit t
o st
udy
the
econom
ics
and v
iabili
ty o
f an
IG
CC o
ption a
nd w
ill p
rese
nt
the
resu
lts
of th
is s
tudy
as a
res
ourc
e al
tern
ativ
e to
info
rm t
he
reso
urc
e se
lect
ion a
nd R
FP p
roce
ss u
nder
co
nsi
der
atio
n in D
ock
et 0
5-0
35-4
7.
Pac
ifiC
orp
will
als
o file
the
resu
lts
of th
is
study
and t
he
dra
ft R
FP w
ith t
he
OPU
C for
revi
ew a
nd p
ublic
com
men
t.
Paci
fiCor
p w
ill s
ugges
t pro
cedura
l sc
hed
ule
s th
at w
ill fac
ilita
te t
his
co
mm
itm
ent.
As
soon a
s pra
ctic
al,
but
not
late
r th
an t
hre
e m
onth
s af
ter
the
clos
ing o
f th
e tr
ansa
ctio
n,
Paci
fiCorp
will
pro
vide
to t
he
par
ties
est
imat
ed
cost
and t
imel
ine
ranges
for
com
ple
tion o
f an
IG
CC p
roje
ct,
as w
ell as
pote
ntial
res
ourc
e al
tern
ativ
es if an
IG
CC d
esig
n is
not
reas
onab
ly a
chie
vable
in
tim
e to
eco
nom
ical
ly m
eet
the
reso
urc
e nee
d p
rese
ntly
iden
tified
in 2
012
from
a c
ust
om
er a
nd s
har
ehol
der
per
spec
tive
.
b)
Pac
ifiC
orp
will
per
form
initia
l co
nce
ptu
al a
nd s
itin
g s
tudie
s, g
ener
al
feas
ibili
ty s
tudie
s, a
nd,
wher
e ap
pro
priat
e, o
ther
more
det
aile
d s
tudie
s an
d
engin
eering w
ork
, fo
r an
IG
CC p
lant
for
the
2014 r
esourc
e nee
d iden
tified
in
the
Oct
ober
2005 I
RP
Updat
e. The
studie
s w
ill incl
ude
an e
valu
atio
n o
f th
e ex
pec
ted c
ost
and p
erfo
rman
ce im
pac
ts o
f co
nst
ruct
ing a
pla
nt
to b
e ca
rbon
captu
re r
eady.
Thes
e st
udie
s w
ill b
e per
form
ed in p
aral
lel w
ith s
imila
r st
udie
s to
eva
luat
e oth
er g
ener
atio
n t
echnol
ogie
s. Such
stu
die
s w
ill b
e co
mple
ted w
ithin
the
nex
t IR
P cy
cle.
c)
Pac
ifiC
orp
will
incl
ude
a utilit
y se
lf-b
uild
option o
f an
IG
CC u
nit in a
ny
RFP
s fo
r th
e 2014 a
nd lat
er n
on-r
enew
able
res
ourc
e nee
ds,
whet
her
or
not
the
IGCC o
ption is
found t
o b
e Pa
cifiCorp
’s p
refe
rred
cost
-bas
ed a
lter
nat
ive,
and
pre
sent
Paci
fiCor
p’s
eva
luat
ion o
f th
e IG
CC o
ption a
gai
nst
anoth
er s
elf-
build
al
tern
ativ
e(s)
as
par
t of th
e U
tah S
B 2
6 p
roce
ss.
This
will
incl
ude
an
eval
uat
ion o
f th
e co
st a
nd p
erfo
rman
ce im
pac
ts o
f th
e IG
CC r
esourc
e bei
ng
const
ruct
ed t
o b
e ca
rbon
cap
ture
rea
dy.
CO
MP
LET
E
CO
MP
LET
E –
effec
tive
Mar
ch 2
7,
2008.
O33
Prio
r to
Jan
uar
y 1,
2016,
MEH
C a
nd P
acifiC
orp
will
not
support
Ore
gon
legis
lation t
o e
limin
ate
or im
pai
r re
tail
acce
ss a
s def
ined
by
SB 1
149 a
nd
rele
vant
Com
mis
sion
rule
s.
Ongoi
ng
Com
plia
nce
Pac
ifiC
orp d
id n
ot s
upport
Ore
gon leg
isla
tion t
o e
limin
ate
or im
pai
r re
tail
acce
ss a
s def
ined
by
SB 1
149 a
nd r
elev
ant
Com
mis
sion r
ule
s duri
ng t
he
per
iod A
pril 1,
2008 t
hro
ugh M
arch
31,
2009.
O34
MEH
C a
nd P
acifiC
orp
ack
now
ledge
that
the
Com
mitm
ents
are
bei
ng m
ade
by
MEH
C a
nd P
acifiC
orp
and a
re b
indin
g o
nly
upon t
hem
(an
d t
hei
r af
filia
tes
wher
e note
d).
M
EH
C a
nd P
acifiC
orp a
re n
ot
reques
ting in t
his
pro
ceed
ing a
det
erm
inat
ion o
f th
e pru
den
ce,
just
and r
easo
nab
le c
har
acte
r, r
ate
or
rate
mak
ing t
reat
men
t, o
r public
inte
rest
of th
e in
vest
men
ts,
expen
diture
s or
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
Page
25
of 2
8
Page 33
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
Sta
te-
Sp
eci
fic
Co
mm
itm
en
t C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
Nu
mb
er
action
s re
fere
nce
d in t
he
Com
mitm
ents
, an
d t
he
Part
ies
in a
ppro
priat
e pro
ceed
ings
may
tak
e su
ch p
osi
tions
regar
din
g t
he
pru
den
ce,
just
and
reas
onab
le c
har
acte
r, r
ate
or r
atem
akin
g t
reat
men
t, o
r public
inte
rest
of th
e in
vest
men
ts,
expen
diture
s or
act
ions
as t
hey
dee
m a
ppro
priat
e.
O35
With r
espec
t to
any
pro
ceed
ing,
incl
udin
g b
ut
not
limited
to a
ny
rate
cas
e,
tari
ff fili
ng,
pas
s-th
rough a
pplic
atio
n,
show
cau
se,
com
pla
int
or
oth
er
pro
ceed
ing,
wher
ein P
acifiC
orp
’s O
regon r
etai
l ra
tes
are
bas
ed,
in w
hole
or
in
par
t, u
pon P
acifiC
orp
’s w
hol
esal
e pow
er t
ransa
ctio
ns,
Pac
ifiC
orp a
nd M
EH
C
ackn
ow
ledge
that
the
Com
mis
sion
has
jurisd
iction t
o d
eter
min
e th
e pru
den
ce
of Pa
cifiCorp
’s w
hole
sale
pow
er t
ransa
ctio
ns
and w
het
her
Pac
ifiC
orp
’s r
etai
l ra
tes
are
just
and r
easo
nab
le.
To
the
exte
nt
Paci
fiCorp
conte
nds
the
Com
mis
sion
is
required
to incl
ude
the
cost
s of th
e w
hol
esal
e pow
er
tran
sact
ions
in O
regon r
etai
l ra
tes,
Pac
ifiC
orp
and M
EH
C c
omm
it t
hat
Pa
cifiCor
p w
ill r
aise
and litig
ate
such
iss
ues
bef
ore
the
Com
mis
sion.
To t
he
exte
nt
dec
isio
ns
regar
din
g s
uch
iss
ues
are
within
the
area
s re
serv
ed t
o t
he
excl
usi
ve jurisd
iction o
f th
e Com
mis
sion,
Pac
ifiC
orp a
nd M
EH
C a
gre
e th
at a
ny
chal
lenge
to t
he
Com
mis
sion
ord
er w
ill b
e in
the
form
of an
appea
l of th
at
ord
er.
In t
he
even
t th
at P
acifiC
orp a
ntici
pat
es a
court
chal
lenge
to a
Com
mis
sion
ord
er t
hat
would
trigger
the
pro
visi
ons
of Com
mitm
ent
O 3
5,
Paci
fiCorp
will
(1
) se
ek a
reh
eari
ng o
f su
ch C
omm
issi
on o
rder
; an
d (
2)
iden
tify
in w
riting in
its
pet
itio
n for
rehea
ring t
hose
con
test
ed iss
ues
whic
h it
bel
ieve
s ar
e an
d a
re
not
within
the
area
s re
serv
ed t
o t
he
excl
usi
ve jurisd
iction o
f th
e Com
mis
sion.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
Page
26
of 2
8
Page 34
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
S T
I P
U L
A T
I O
N P
A R
A G
R A
P H
S
Sti
pu
lati
on
P
ara
gra
ph
N
um
bers
C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
15a
MEH
C a
nd P
acifiC
orp
will
support
a fiv
e-ye
ar r
enew
al o
f th
e In
terv
enor
Fundin
g A
gre
emen
t (“
IFA”)
dat
ed F
ebru
ary
5,
2003,
such
that
the
curr
ent
fundin
g for
the
types
of co
nsu
mer
s re
pre
sente
d b
y th
e si
gnat
orie
s to
the
IFA
who a
re c
urr
ently
rece
ivin
g fundin
g d
oes
not
expire
on D
ecem
ber
31,
2007.
CO
MP
LETE
C
OM
PLETE
–ef
fect
ive
Dec
ember
18,
2007.
15b
Thro
ugh D
ecem
ber
31,
2011,
MEH
C a
nd P
acifiC
orp
will
both
confe
r w
ith t
he
signat
ories
and p
rovi
de
dra
fts
in a
tim
ely
man
ner
pri
or t
o intr
oduci
ng
legis
lation in t
he
Ore
gon
Leg
isla
ture
that
would
im
pac
t O
regon u
tilit
y re
gula
tion
, in
cludin
g O
regon c
ity
fran
chis
e au
thority
.
Ongoi
ng
Com
plia
nce
N
o leg
isla
tion im
pac
ting u
tilit
y re
gula
tion w
as intr
oduce
d a
t Pa
cifiCorp
’s
reques
t during t
he
report
ing p
erio
d.
15c
MEH
C h
as n
o c
urr
ent
inte
ntion t
o a
cquir
e oth
er p
ublic
utilit
ies
as d
efin
ed b
y O
RS 7
57.0
05.
If th
at inte
ntion s
hould
eve
r ch
ange,
MEH
C w
ill c
onfe
r w
ith
the
signat
ories
bef
ore
public
annou
nce
men
t of su
ch a
n a
cquis
itio
n,
subje
ct t
o
agre
emen
ts r
egar
din
g c
onfiden
tial
ity.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
15d
Within
90 d
ays
of t
he
close
of th
e Tra
nsa
ctio
n,
MEH
C a
nd P
acifiC
orp
will
beg
in w
ork
ing w
ith I
CN
U,
and a
ny
oth
er inte
rest
ed p
arty
, to
eva
luat
e an
d,
if
mutu
ally
agre
ed t
o b
e ap
pro
pri
ate,
file
with t
he
Com
mis
sion s
ervi
ce q
ual
ity
stan
dar
ds
rela
ted t
o indust
rial
cust
om
ers,
with a
focu
s on h
igh t
ech
com
pan
ies.
M
EH
C,
Paci
fiCorp
and I
CN
U,
and a
ny
other
inte
rest
ed p
arty
, w
ill
report
bac
k to
the
Com
mis
sion o
n t
he
concl
usi
ons
and r
ecom
men
dat
ions
reac
hed
no lat
er t
han
Feb
ruar
y 1,
2007.
MEH
C a
nd P
acifiC
orp
ack
now
ledge
that
modific
atio
ns
to e
xist
ing c
ust
om
er s
ervi
ce g
uar
ante
es a
nd p
erfo
rman
ce
stan
dar
ds
may
res
ult fro
m t
his
pro
cess
and n
oth
ing in C
omm
itm
ents
1 o
r 45
will
pre
clude
thes
e fr
om b
eing file
d if m
utu
ally
agre
ed-u
pon b
y th
e Pa
rtie
s.
CO
MP
LETE
C
OM
PLETE
–ef
fect
ive
Januar
y 19,
2007.
15e
Sen
ior
exec
utive
s of M
EH
C a
nd P
acifiC
orp
will
mak
e th
emse
lves
ava
ilable
upon r
eques
t to
the
signat
ories
to d
iscu
ss r
egula
tory
, cu
stom
er s
ervi
ce,
and
ener
gy
pol
icy
issu
es.
Ongoi
ng
Com
plia
nce
Com
pan
y ex
ecutive
s co
ntinue
to m
eet
with a
ll si
gnat
ories
as
reques
ted.
15f
MEH
C a
nd P
acifiC
orp
com
mit t
o n
otify
Par
ties
if Pa
cifiCorp
is
conte
mpla
ting
chan
ges
to s
yste
m o
per
atio
ns
that
would
adve
rsel
y af
fect
com
munity
renew
able
ener
gy
pro
ject
s as
des
crib
ed in C
omm
itm
ent
O 2
8.
Ongoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
15g
MEH
C a
nd P
acifiC
orp
agre
e th
at t
he
pro
visi
ons
of th
is p
arag
raph a
re s
ubje
ct
to C
om
mitm
ent
O 1
, re
gar
din
g e
nfo
rcem
ent
and d
ispute
res
olution
. O
ngoi
ng
Com
plia
nce
Agre
ed p
er s
igned
stipula
tion.
19
Paci
fiCor
p a
gre
es t
hat
any
rate
cas
e file
d b
efor
e th
e cl
ose
of th
e Tra
nsa
ctio
n
will
incl
ude
pro
form
a ad
just
men
ts,
as a
ppro
priat
e, t
o a
llow
for
the
imple
men
tation o
f O
regon C
omm
itm
ents
O 8
thru
O 1
2.
CO
MP
LET
EC
OM
PLET
E -
effec
tive
Feb
ruar
y 23,
2006.
Page
27
of 2
8
Page 35
Mid
Am
eri
can
En
erg
y H
old
ing
s C
om
pan
y a
nd
Paci
fiC
orp
A
nn
ual
Rep
ort
of
Sta
tus
of
Co
mm
itm
en
ts
To
th
e O
reg
on
Pu
blic
Uti
lity
Co
mm
issi
on
Fo
r th
e P
eri
od
Ap
ril 1
, 2
00
8 t
hro
ug
h M
arc
h 3
1,
20
09
O R
D E
R I
N G
P
A R
A G
R A
P H
S
Ord
eri
ng
P
ara
gra
ph
N
um
bers
C
om
mit
men
t D
esc
rip
tio
n
Sta
tus
Sta
tus
Desc
rip
tio
n
2
MEH
C a
nd P
acifiC
orp
shal
l notify
the
Direc
tor
of th
e U
tilit
y Pro
gra
m in w
riting
of th
e tr
ansf
er o
f co
ntr
ol o
f Pa
cifiCorp
as
auth
orize
d h
erei
n.
MEH
C a
nd
Paci
fiCor
p s
hal
l pro
vide
notice
within
30 d
ays
of th
e dat
e of th
e tr
ansf
er.
A
true
copy
of th
e in
stru
men
ts o
f tr
ansf
er s
hal
l be
atta
ched
to t
he
notifica
tion.
CO
MP
LET
EC
OM
PLET
E –
effec
tive
Mar
ch 3
0,
2006.
3Pac
ifiC
orp s
hal
l file
a p
etitio
n for
an a
ccounting o
rder
to e
stab
lish its
au
thority
to c
reat
e def
erra
l ac
counts
, as
nec
essa
ry t
o m
ake
effe
ctiv
e th
e te
rms
of O
regon C
om
mitm
ents
8 a
nd 1
2,
set
fort
h in E
xhib
it 1
to t
he
Stipula
tion.
CO
MP
LET
EC
OM
PLET
E –
effec
tive
Mar
ch 3
1,
2006.
4At
the
tim
e of th
e cl
osi
ng o
f th
e tr
ansa
ctio
n,
MEH
C a
nd P
acifiC
orp s
hal
l file
w
ith t
he
Com
mis
sion
a n
arra
tive
and a
n o
rgan
izat
ional
char
t sh
owin
g t
he
rela
tionsh
ip a
mon
g P
acifiC
orp
, M
EH
C,
Ber
kshire
Hat
haw
ay,
and t
hei
r su
bsi
dia
ry a
nd a
ffili
ated
busi
nes
s en
tities
. T
his
doc
um
enta
tion s
hal
l cl
early
show
the
owner
s of Pa
cifiCorp
and t
he
per
centa
ges
hel
d,
up t
o t
he
leve
l of
the
ultim
ate
par
ent,
Ber
kshire
Hat
haw
ay.
CO
MP
LET
EC
OM
PLET
E -
effec
tive
Mar
ch 2
1,
2006.
Page
28
of 2
8
