To ensure that utilities and commission staff pay the correct amount of interest to intervenors, the commission should complete its effort to develop and distribute a methodology for calculating reasonable interest on compensation decisions issued after the 75-day deadline. The commission should follow the new procedure to ensure that it calculates interest payments appropriately. To the extent reasonable, the commission should recoup the interest overpaid to intervenors.
The Commission has taken action to recover interest overpayments to intervenors. On November 12, 2013, the Commissions Fiscal Office sent letters to nine intervenors that were overpaid a total of $41,903.00 in interest from the Commissions Intervenor Compensation Program Fund. Copies of these letters have been submitted to firstname.lastname@example.org. As of this report, six of the nine intervenors have repaid $15,334.42 in interest overpayments.
In June 2013, the ALJ Division surveyed the methods that utilities use to compute interest on compensation awards. On August 6, 2013, the ALJ Division published for public comment Draft Resolution ALJ-294 recommending guidelines for computing interest on approved claims and, on September 5, 2013, the resolution was adopted. A copy of Resolution ALJ-294 has been submitted to email@example.com.
The ALJ Division worked with the Commission's Fiscal Office to establish written procedures for computing interest on approved claims using the same method adopted by Resolution ALJ-294. A copy of the ALJ Division's procedures memo has been submitted to firstname.lastname@example.org.
The commission has created a methodology and corresponding procedure for calculating reasonable interest on compensation decisions issued after the 75-day deadline. However, the commission's response does not address whether it has made any attempt to recoup the interest overpaid to intervenors.
Agency responses received are posted verbatim.