Issue 3 - the Montana Secretary of State Website

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(a) NWE has executed a power purchase agreement with Turnbull Hydro,
LLC. (Turnbull Hydro);
(b) Turnbull Hydro is a limited liability company organized under the laws of
Montana and is owned by Sorenson Montana, LLC (45%), Josten Montana, LLC
(22.5%), Wade Jacobsen (22.5%), and Greenfields Irrigation District (10%);
(c) Sorenson Montana, LLC is a limited liability company organized under the
laws of Montana and is owned by Ted Sorenson (100%) who is an Idaho resident;
(d) Josten Montana, LLC is a limited liability company organized under the
laws of Montana and is owned by Nick Josten (100%) who is an Idaho resident;
(e) Wade Jacobsen is a Montana resident;
(f) Greenfields Irrigation District is an irrigation district created under § 85-7-
101, MCA (2009);
(g) Turnbull Hydro's sole purpose is the development of small hydroelectric
projects in Montana;
(h) Turnbull Hydro is constructing the Turnbull Project; and
(i) The Turnbull Project will consist of two hydroelectric facilities connected to
the electric grid on the NWE side of the meter, with a combined nameplate capacity
of 13 megawatts (MWs), and located on an existing irrigation canal west of Fairfield,
Montana.
8. The Commission restates the propositions of law asserted by NWE as
follows:
(a) Turnbull Hydro is a local owner as defined in § 69-3-2003(11), MCA,
because it is a Montana resident or because it is a Montana small business;
(b) A limited liability company domesticated in Montana is a Montana
resident;
(c) An entity that develops projects solely in Montana is located in or
principally based within Montana and, therefore, a Montana business;
(d) An entity that is engaged in the generation of electric energy for sale is a
small business if its total output for the preceding year did not exceed 4 million
megawatt hours;
(e) An entity that has a net worth of less than $6 million, an annual net
income of less than $2 million for the preceding two years, and less than 200
employees working in Montana is a small business;
(f) The Turnbull Project qualifies as an eligible renewable resource as
defined by § 69-3-2003(10), MCA (2009); and
(g) The Turnbull Project qualifies as a community renewable energy project
because it is an eligible renewable resource that is interconnected on the utility side
of the meter, locally owned, and has a total nameplate capacity of less than 25
MWs.
9. First, the Commission must determine if the Turnbull Project will be an
eligible renewable resource. "Eligible renewable resource means . . . a facility
located in Montana . . . that commences commercial operation after January 1,
2005, and that produces electricity from . . . (d) water power, in the case of a
hydroelectric project that: . . . (ii) is installed at an existing reservoir or on an existing
irrigation system that does not have hydroelectric generation as of April 16, 2009,
and has a nameplate capacity of 15 megawatts or less." §69-3-2003(10), MCA
(2009).
3-2/11/10 Montana Administrative Register