32 



Based on the 1993 Documentation of the 7(b)(2) Rate Test, the total VOR 

 for the lower three quartiles is equal to $1 13.9 million dollars for FY 1993. 

 The second quartile VOR is $57.2 million dollars. 



The value of reserves calculation was raised as an issue in the 1993 rate 

 case. However, the Hearing Officer struck the issue from the case. He did 

 so because BPA had previously established and obtained Federal Energy 

 Regulatory Commission approval for the IP-PF Rate Link Methodology 

 through June 30, 1996. The value of reserves credit is fixed by that 

 methodology. 



13 



