Absence of Opposition

In D. 98-07-031, the Commission dismissed the Application of Southwest to modify gas service relative to our previous order and to increase rates to its customers in the Truckee area. One reason for our dismissal was Southwest's noncompliance with the procedures set forth in the Stipulations for modification, including the absence of the written consent of each stipulating party or a showing that the Commission had significantly changed its regulations in a way that affected the General Rate Case Stipulation. By contrast, the consent of each stipulating party has been obtained in the Joint Petition. It is therefore unnecessary for Southwest to making a showing that Commission regulations have significantly changed.

Our dismissal of D. 98-07-031 was also strongly influenced by the interests of Town. While not a party, Town residents and officials spoke in opposition to the Southwest Application at Public Participation Hearings and communicated with the Commission by letters, telephone calls and through public appearances at Commission meetings. Unlike the Southwest Application to Modify, there is no opposition to the Joint Petition. No member or official of Town (or anyone else) has expressed opposition to the Joint Petition.

In sum, the Joint Petitioners have settled their differences in a mutually acceptable way which provides for gas service to all potential Truckee customers who want the service, at reasonable rates. Each side has compromised: Southwest has agreed to build out its system to serve all customers and to absorb certain cost overruns, while the Town has agreed to costs higher than those required by the original cost cap.