Hearing - E-01345A-25-0105 - Arizona Public Service Company - Jun 29, 2026

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Arizona Corporation Commission 8h 28m 8 agenda items transcribed 1 day ago official recording ↗

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What procedural steps and witness introductions occur at the beginning of the hearing?

Presiding Commissioner / Hearing Officer 0:00

All right, let's go ahead and go back on the record and good morning everyone. This Monday, June twenty-ninth, day twenty six, in the matter of the application of Arizona Public Service Company for an increase in its rates and charges. Uh, before turning to staff to call us next witness, I'll ask are there any procedural matters we need to take up this morning? Uh Mr.

Mr. Wolsey 0:22

Wolsey. Good morning, Your Honor. Um, we had listed witness Smith as one of the witnesses that CR Club uh would like to cross examine, but as it turns out we don't have questions for witness Smith, so I would just ask if we could be excused from the hearing today. Uh sure.

Presiding Commissioner / Hearing Officer 0:39

Okay. All right. Uh have a better one.

Mr. Wolsey 0:43

Thank you, Your Honor.

Presiding Commissioner / Hearing Officer 0:45

All right, anything else before we get started? Okay. All right. Uh staff, are you ready to call your next witness?

Ms. Scott 0:52

We are, thank you, Your Honor. Staff would call Mr. Ralph Smith.

Presiding Commissioner / Hearing Officer 0:56

All right, Mr Smith, we'll have the court reporter swear you in.

Court Reporter 1:05

Good morning. Do you solemnly swear or affirm that the testimony you're about to give will be the truth, the whole truth, and nothing but the truth? Yes, I do. Thank you.

Ms. Scott 1:15

Good morning, Mr. Smith.

Ralph C. Smith 1:17

Good morning.

Ms. Scott 1:18

How are you today?

Ralph C. Smith 1:20

Doing okay.

Ms. Scott 1:21

All right. Um, could you please state your name, business address, and occupation for the record?

Ralph C. Smith 1:27

My name is Ralph C. Smith. Um my business address is Larkin and Associates PLC one five seven two eight Farmington Road, Lavonia, Michigan, four eight one five four.

Ms. Scott 1:41

And uh were you retained by the utilities division staff to provide testimony on behalf of the staff in this matter?

Unknown 1:50

Yes, I was.

Ms. Scott 1:51

And what was the what is the purpose of your testimony in this proceeding?

Ralph C. Smith 1:56

Um my testimony generally covers two large areas. One, it covers the calculation of the revenue requirement. And then I also discuss the adjustment mechanisms that APS has, including the new uh formula rate adjustment mechanism that's being proposed in this case.

Ms. Scott 2:19

Okay. Now you should have in front of you several exhibits. Um Do you see uh S one an exhibit that's marked S one?

Unknown 2:33

Yes.

Ms. Scott 2:34

And what is that? Could you identify it for the record?

Ralph C. Smith 2:39

Um that's my direct testimony on revenue requirements.

Ms. Scott 2:45

Okay. And you also have an exhibit that's marked S two.

Ralph C. Smith 2:51

Yes.

Ms. Scott 2:53

Could you identify that for the record?

Ralph C. Smith 2:57

S two is my direct testimony filed on march eighteenth, uh, twenty twenty six, addressing the APS adjuster mechanisms.

Ms. Scott 3:07

Okay. And do you also have an exhibit that's marked S three up there?

Unknown 3:13

Yes I

Ralph C. Smith 3:14

do.

Ms. Scott 3:14

And please identify that for the record.

Ralph C. Smith 3:17

Um S three is my surbuttal testimony that was filed on May first, twenty twenty six, and that covers revenue requirements and adjuster mechanisms.

Ms. Scott 3:28

Okay. Uh g uh continuing on, do you also have a an exhibit that's marked S four?

Ralph C. Smith 3:37

Yes.

Ms. Scott 3:38

And please identify that for the record.

Ralph C. Smith 3:41

Um that contains confidential pages from my direct testimony as one.

Ms. Scott 3:49

And do you also have an exhibit that's marked S five?

Unknown 3:53

Yes.

Ms. Scott 3:54

And please identify that for the record.

Ralph C. Smith 3:58

S five contains the confidential pages um From my direct testimony that was filed on March thirteenth. Cheent. March eighteenth, um, which addresses adjuster mechanisms.

Ms. Scott 4:15

Okay. Um and let's see, do you also have an exhibit that's marked S six?

Unknown 4:23

Yes.

Ms. Scott 4:25

Please identify that for the record.

Ralph C. Smith 4:27

S six has confidential pages um and confidential materials that were filed with my surbutal testimony.

Ms. Scott 4:37

Okay. Um and is that the end of your exhibits?

Unknown 4:43

I believe so, yes.

Ms. Scott 4:44

Okay. Were these exhibits prepared by you and under your direction and control? Yes, they were. Do you have any corrections or modifications that you'd like to make to your testimony today?

Ralph C. Smith 4:58

Um, not to my knowledge.

Ms. Scott 5:03

If I were to ask you the same questions today contained in your testimony, would your answers be the same?

Unknown 5:10

Yes they would.

Ms. Scott 5:12

Do you adopt this pre filed testimony as your sworn testimony here today? Yes, I

Unknown 5:18

do.

Ms. Scott 5:23

Okay. Could you um first briefly describe the issues that you address in your direct and sur rebuttal testimony in this case?

Ralph C. Smith 5:34

Um, I generally address two groups of issues. I address issues affecting the company's uh revenue requirement and I also address issues affecting the company's adjuster mechanisms.