Oregon Revised Statutes Chapter 757 § 757.734 — Recovery of investment in Klamath River dams

Recovery of investment in Klamath River dams. (1) Not more than six months after the execution of a final agreement, the Public Utility Commission shall determine a depreciation schedule under ORS 757.140 for each Klamath River dam based on the assumption that the dam will be removed in 2020. The commission may change a depreciation schedule determined under this section at any time if removal of a dam will occur during a year other than 2020. (2) The commission shall use the depreciation schedules prepared under this section to establish rates and tariffs for the recovery of Oregon’s allocated share of undepreciated amounts prudently invested by PacifiCorp in a Klamath River dam. Amounts recoverable under this section include, but are not limited to: (a) Return of investment and return on investment; (b) Capital improvements required by the United States or any state for continued operation of the dam until dam removal; (c) Amounts spent by PacifiCorp in seeking relicensing of the dam before July 14, 2009; (d) Amounts spent by PacifiCorp for settlement of the issues of relicensing or removal of the dam; and (e) Amounts spent by PacifiCorp for the decommissioning of the dam in anticipation of the dam’s removal. (3) If any amount specified under subsection (2) of this section has not been recovered by PacifiCorp before a dam is removed, the Public Utility Commission shall allow recovery of that amount by PacifiCorp in PacifiCorp’s rates and tariffs. The commission shall allow the recovery without an amortization schedule if the impact of the recovery does not exceed one-half of one percent of PacifiCorp’s annual revenue requirement. If the impact exceeds one-half of one percent of PacifiCorp’s annual revenue requirement, the commission may establish an amortization schedule that limits the annual impact to one-half of one percent of PacifiCorp’s annual revenue requirement. [2009 c.690 §3]