Arizona Corporation Commission

Hot Topics

Presentation to NARUCStaff Subcommittee on Accounting and Finance

May 7, 2009

Topic Areas

Agency Cases / Issues Conservation Siting

Overview

Established by Constitution Article 15 of the Arizona Constitution

5 Statewide Elected Commissioners Beginning 2003

8 Divisions Administration Hearing Corporations Securities Railroad / Pipeline Safety Legal Information Technology Utilities

Jurisdiction

Investor-owned electric, gas, water and sewer utilities (Public Service Corporations)

Rural Electric Cooperatives Water Associations Intrastate Natural Gas Pipelines Municipal gas utilities Telephone (Local Exchange and Resold Long

Distance)

Utilities Division Issues

Budget In Flux

Staffing / Retirements72 Approved positions14 Vacant positions

Succession PlanningUnable to Fill

Electric Rate Cases

Arizona Public Service Sulphur Springs Valley Electric Coop Trico Electric Cooperative

Issues Renewable Energy Standards Energy Efficiency

Investigation of Regulatory & Rate Incentives Time of Use Rates Resource Planning Electric Competition ARRA Money

Rulemakings Demand Side Management Interconnection Net Metering – effective May 23, 2009

Gas

Rate CasesUNS Gas

IssuesRate IncentivesAlternative Form of Regulation

RulemakingsDemand Side Management

Water Rate Cases

Chaparral City Water H2O Johnson Utilities Arizona Water – 20 systems Arizona-American Water – 10 systems Global Water – 6 systems Litchfield Park 31 other pending

Wilhoit Water Company, ICR Water Users Association, Diablo Village Water, Fisher’s Landing Water & Sewer, Tonto Village Water, Utility Systems, Christopher Creek Haven, Ehrenberg Improvement Association, Appaloosa Water, DS Water, Montezuma Rimrock Water, Pineview Water, Beaver Dam Water, Sunrise Water, Far West Water & Sewer, Orange Grove Water, Walnut Creek Water, Farmers Water, Ash Fork Development Association, Valley Utilities Water, Community Water of Green Valley, Wilhoit Water, Black Mountain Sewer, West Village Water, Q Mountain Water

CC&N’s 49 – Water/Sewer Certificates (New / Extensions) pending

Rulemaking Water and Sewer CCN’s

Telecom Rate Cases

Qwest AFOR Issues

Triennial Review Remand Order Generic Dockets

Preferred Provider Agreements VNXX Arizona Universal Service Fund / Access Reform

Federal Issues Intercarrier Compensation Net Neutrality Telecom Mergers

Conservation

Electric & GasDSMEnergy Efficiency

WaterTiered RatesBest Management Practices

Arizona Department of Water Resources

Power Line & Generation Plant Siting 144 – UNS Electric: Vail to Valencia 115kV -

138kV upgrade 143 – APS: Bagdad 115kV transmission line

relocation project 142 – Southwest Transmission Cooperative:

San Manuel interconnect project Renewables FERC Backstop Authority

Questions?Questions?

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Contact Information

Steve Olea

Assistant Director – Utilities Division

(602) 542-7270

SOlea@azcc.gov