Kentucky Public Service Commission

Final Order Entered: 1. This case is opened to address certain outstanding petitions for confidential treatment. 2. The petitions for confidential treatment listed in Appendix B to this Order are granted. 3. The granting of these petitions shall not be cited as precedent in other proceedings before the Commission. 4. All movants shall review the petitions to determine if the material for which confidential treatment was requested still warrants confidential treatment. 5. A movant shall inform the Commission in writing, and filed in the original case file, if it determines that the information contained in a petition that is granted by this Order no longer warrants confidential treatment. 6. The Commission shall make available for inspection, upon request, any materials that a movant determines no longer warrants confidential treatment. 7. This case is closed and removed from the Commission's docket.

Order Entered: 1. Shelby Energy's February 14, 2017 petition for confidential protection is granted. 2. The designated materials shall not be placed in the public record or made available for public inspection for an indefinite period, or until further Orders of this Commission. 3. Use of the designated materials in any Commission proceeding shall be in compliance with 807 KAR 5:001, Section 13(9). 4. Shelby Energy shall inform the Commission if the designated materials become publicly available or no longer qualify for confidential treatment. 5. If a non-party to this proceeding requests to inspect the designated materials granted confidential treatment by this Order and the period during which the materials have been granted confidential treatment has not expired, Shelby Energy shall have 30 days from receipt of written notice of the request to demonstrate that the materials still fall within the exclusions from disclosure requirements established in KRS 61.878. If Shelby Energy is unable to make such demonstration, the requested materials shall be made available for inspection. Otherwise, the Commission shall deny the request for inspection. 6. The Commission shall not make the designated materials available for inspection for 30 days following an Order finding that the materials no longer qualify for confidential treatment in order to allow Shelby Energy to seek a remedy afforded by law.

Final Order Entered: 1. The rates proposed by Shelby Energy are denied. 2. The rates set forth in the Appendix to this Order are approved for services rendered by Shelby Energy on and after the date of this Order. 3. Within 20 days of the date of this Order, Shelby Energy shall file with this Commission, using the Commission's electronic Tariff Filing System, new tariff sheets setting forth the rates and charges approved herein and reflecting their effective date and that they were authorized by this Order. 4. The proposed changes to Shelby Energy's depreciation rates, based on its depreciation study, are reasonable and hereby approved. 5. Shelby Energy shall provide the Commission with copies of all correspondence with RUS relating to its proposed change in depreciation rates and notify the Commission of the results when RUS makes its decision on whether to approve its revised depreciation rates. 6. In future rate applications, Shelby Energy shall perform a formal study that provides local wage and benefit information for the geographic area in which it operates, and which shall include state data where available. 7. Shelby Energy shall file a report, within 60 days of the date of this Order, setting forth the employer and employee contribution amounts and percentages Shelby Energy will implement for health and dental insurance premiums, along with the date the revised contribution schedule will be implemented.

Shelby Energy Coop. Response to Request for Financial Information

Shelby Energy Coop. Inc. Response to Post Hearing Data Request with Flash Drive, Information on B 2 Rate Change and Motion for Confidential Treatment

Shelby Energy Coop. Inc. Response to Post Hearing Data Request with Flash Drive, Information on B 2 Rate Change and Motion for Confidential Treatment

COMMISSION STAFF'S POST-HEARING REQUEST FOR INFORMATION TO SHELBY ENERGY COOPERATIVE, INC.

Shelby Energy monthly update for actual expenses incurred for preparation of the rate case through May 31, 17

Notice of Filing Hearing Documents

Shelby Energy affidavit of publication of Hearing Notice

Shelby Energy Coop. Inc. Response to Request for Financial Information

Shelby Energy Coop. Inc. Response to Fourth Request for Information with Flash Drive

Shelby Energy Coop. Inc. Monthly Financial Update

Commission Staff's Fourth Request for Information to Shelby Energy Cooperative, Inc.

Shelby Energy Coop. Inc. Financial and Statistical Report

Shelby Energy Coop. Response to Third Request for Information w/Flash Drive

Order Entered: 1. Shelby Energy's motion for an extension of time is granted. 2. Shelby Energy shall file its response to Staff's Third Request no later than May 5, 2017. 3. A hearing shall be held on June 15, 2017, beginning at 9:00a.m. Eastern Daylight Time, in Hearing Room 1 of the Commission's offices at 211 Sower Boulevard, Frankfort, Kentucky, for the purpose of cross-examination of witnesses of Shelby Energy. 4. Shelby Energy shall give notice of the hearing in compliance with 807 KAR 5:001 , Section 9(2}(b). In addition, the notice of hearing shall include the following statement: "This hearing will be streamed live and may be viewed on the PSC website, psc.ky.gov." At the time the notice is mailed or publication is requested, Shelby Energy shall forward a duplicate of the notice and request to the Commission. 5. Pursuant to KRS 278.360 and 807 KAR 5:001 , Section 9(9)(a), the record of the formal hearing in this matter shall be by digital video recording only.

Shelby Energy Coop. Monthly Update on Case Expenses

Shelby Energy Coop. Inc. Motion for Extension of Time

Shelby Energy Coop. Response to Request for Information

Commission Staff's Third Request for Information to Shelby Energy Cooperative, Inc.

Shelby Energy Coop monthly update for actual expenses incurred for prep of rate case in response to Order of 2 28

Shelby Energy Coop. Inc. Response to Second Request for Information and Motion for Confidential Treatment w/Flash Drive

Shelby Energy Coop. Inc. Response to Second Request for Information and Motion for Confidential Treatment w/Flash Drive

Order Entered: 1. Shelby Energy's motion for an extension of time is granted. 2. The amended procedural schedule set forth in the Appendix to this Order, which is attached hereto and incorporated herein, shall be followed.

Shelby Energy motion for extension of time

Shelby Energy Coop. Inc. Affidavit of Publication and Mailing

Memo Filing Document into the Record

Commission Staff's Second Request for Information to Shelby Energy Cooperative, Inc.

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Shelby Energy Cooperative, Inc. Response to First Request for Information and Motion for Confidential Treatment w/flash drive

Order Entered: 1 . Shelby Energy's proposed rates are suspended for five months from March 9, 2017, up to and including August 8, 2017. 2. The procedural schedule set forth in the Appendix to this Order, which is attached hereto and incorporated herein, shall be followed. 3. a. Responses to requests for information shall be appropriately bound, tabbed and indexed and shall include the name of the witness responsible for responding to questions related to the information provided, with copies to all parties and an original and ten copies to the Commission. b. Each response shall be answered under oath or, for representatives of a public or private corporation or a partnership or an association or a governmental agency, be accompanied by a signed certification of the preparer or person supervising the preparation of the response on behalf of the entity that the response is true and accurate to the best of that person's knowledge, information, and belief formed after a reasonable inquiry. c. Any party shall make timely amendment to any prior response if it obtains information which indicates that the response was incorrect when made or, though correct when made, is now incorrect in any material respect. d. For any request to which a party fails or refuses to furnish all or part of the requested information, that party shall provide a written explanation of the specific grounds for its failure to completely and precisely respond.

Deficiency Cured Letter

Shelby Energy Cooperative, Inc. Response to Filing Deficiencies

Deficiency Letter

Acknowledge Receipt of Filing

Shelby Energy Cooperative, Inc. Application for Adjustment of Rates

Shelby Energy Cooperative, Inc. Motion for Confidential Treatment

Commission Staff's First Request for Information to Shelby Energy Cooperative, Inc.

Acknowledge Receipt of Filing

Shelby Energy Cooperative, Inc. Notice of Intent to File Application for an Increase in Its Retail Rates