NAC704B.360. Additional analysis of 10-percent contract; meetings and discussions; determination of best interest by Commission; consequences of determination.

     1. In addition to the requirements of NAC 704B.350, if the eligible customer is a nongovernmental commercial or industrial end-use customer whose load is in the service territory of an electric utility that primarily serves densely populated counties, not later than 15 calendar days after the date on which the eligible customer files a completed and fully executed underlying contract between the eligible customer and provider, the Regulatory Operations Staff shall:

     (a) Perform its initial analysis of the 10-percent contract identified in the application pursuant to paragraph (f) of subsection 1 of NAC 704B.340. In its initial analysis, the Regulatory Operations Staff shall indicate whether the 10-percent contract will be beneficial or detrimental to the remaining customers of the electric utility and shall include a recommendation regarding whether the 10-percent contract should be assigned to the electric utility.

     (b) Provide its initial analysis to the eligible customer, the provider, the Bureau of Consumer Protection and the electric utility.

     2. Not later than 20 calendar days after the date on which the eligible customer files the completed and fully executed underlying contract, the Regulatory Operations Staff, the eligible customer and the electric utility shall meet, in person or telephonically, at least once to discuss the results of the initial analysis on the 10-percent contract performed by the Regulatory Operations Staff and, if necessary, to exchange information, including, without limitation, the exchange of any suggested additions, modifications or deletions to the initial analysis performed by the Regulatory Operations Staff. The Bureau of Consumer Protection and the provider must be notified of each such meeting, and each may participate fully in each such meeting and in any exchange of information.

     3. Not later than 30 calendar days after the date on which the eligible customer files the completed and fully executed underlying contract, the Regulatory Operations Staff shall:

     (a) Finalize its analysis of the 10-percent contract identified in the application. In finalizing its analysis, the Regulatory Operations Staff shall incorporate any information obtained from the eligible customer, the provider, the electric utility and the Bureau of Consumer Protection that the Regulatory Operations Staff determines will most accurately indicate whether the 10-percent contract will be beneficial or detrimental to the remaining customers of the electric utility.

     (b) Release the results of its finalized analysis to the eligible customer, the provider, the electric utility and the Bureau of Consumer Protection.

     (c) Submit its finalized analysis to the Commission.

     4. Not later than 40 calendar days after the date on which the eligible customer files the completed and fully executed underlying contract, the electric utility, Bureau of Consumer Protection, eligible customer or provider may file with the Commission an alternative analysis to the analysis performed by the Regulatory Operations Staff. Each alternative analysis must:

     (a) Identify the bases for concluding that the analysis performed by the Regulatory Operations Staff is deficient; and

     (b) Include objective information demonstrating that the methodology used by the party is valid under the range of circumstances included in the alternative analysis performed by the party.

     5. After evaluating the analysis performed by the Regulatory Operations Staff and any alternative analysis filed pursuant to subsection 4, the Commission will determine whether it is in the best interest of the remaining customers of the electric utility to have the eligible customer assign the 10-percent contract to the electric utility.

     6. If the Commission determines that it is in the best interest of the remaining customers of the electric utility to have the eligible customer assign the 10-percent contract to the electric utility:

     (a) The eligible customer shall assign the 10-percent contract to the electric utility.

     (b) The electric utility shall accept the assignment and, upon the effective date of the 10-percent contract, include the 10-percent contract in its portfolio to supply its remaining customers. The 10-percent contract:

          (1) Shall be deemed to be prudent;

          (2) Is not subject to the provisions of NAC 704.9005 to 704.9525, inclusive, for the purposes of including the 10-percent contract as an option for supply; and

          (3) Is not an amendment to the action plan of the electric utility for the purposes of NAC 704.9503, and the electric utility shall not apply for permission to amend its action plan pursuant to that section with regard to the 10-percent contract.

     (c) In its subsequent filing for recovery of the cost of the 10-percent contract, the electric utility shall, to the extent possible, assign the cost of the 10-percent contract to those classes of customers who are not eligible for choice pursuant to this chapter, with the preference to be given to residential customers.

     7. If the Commission determines that it is not in the best interest of the remaining customers of the electric utility to have the eligible customer assign the 10-percent contract to the electric utility, the eligible customer is entitled to the 10-percent contract.

     (Added to NAC by Pub. Utilities Comm’n by R125-01, eff. 12-17-2001; A by R004-04, 5-25-2004; R018-04, 11-17-2005)