SUPPLEMENTARY INFORMATION:

Table of Contents

Part I. Introduction and Procedural Matters

Part II. Scope of the BP-27 Rate Proceeding

Part III. Public Participation in the BP-27 Rate Proceeding

Part IV. Summary of Rate Proposal

Part I—Introduction and Procedural Matters

A. Introduction and Expedited Process

Bonneville is proposing to add power rate adjustment mechanisms to the FY 2026-2028 Wholesale Power Rate Schedules and General Rate Schedule Provisions (GRSPs) for the remainder of the BP-26 rate period in order to address the financial impact of the U.S. District Court for the District of Oregon's Amended Preliminary Injunction Order, ECF No. 2674, NWF, et al. v. NMFS, et al., Case No. 3:01-cv-640-SI, issued March 2, 2026. This proceeding, the BP-27 proceeding, is limited solely to this purpose. The proposed power rate adjustment mechanisms are expected to recover an additional $250 million from power rates, which would result in a 6.3 percent increase to the average effective Priority Firm Non-Slice power rate, a 5.3 percent increase to the average effective Industrial Firm power rate, and a 2.2 percent increase to the average effective New Resources Firm power rate.

In light of the limited purpose of the BP-27 proceeding, and in compliance with the procedures for the establishment of Bonneville rates set forth in Section 7(i) of the Northwest Power Act, 16 U.S.C. 839e(i), Bonneville is conducting the hearing process for a review of this proposal on an expedited basis.

The Rules of Procedure that govern Bonneville's rate proceedings were published in the Federal Register , 83 FR 39993 (Aug. 13, 2018), and posted on Bonneville's website at www.bpa.gov/​Finance/​RateCases/​RulesProcedure/​Pages/​default.aspx. Sections 1010.4(b)(4) and 1010.22 of the Rules of Procedure provide for expedited rate processes. In order to facilitate the expedited process in the BP-27 proceeding, pursuant to Section 1010.1(e) of the Rules of Procedure, the Administrator authorizes the Hearing Officer to waive any procedural requirements of the rules for the purpose of developing the record and completing the proceeding on an expedited basis.

B. Proposed Procedural Schedule

Bonneville has made prospective parties aware of its intent to use an expedited process pursuant to section 1010.22 of the Rules of Procedure. The official schedule will be established by the Hearing Officer and may be amended by the Hearing Officer as needed during the proceeding. The Hearing Officer may circumscribe or reduce the timing or availability of any procedural activities in the case as he or she determines are unnecessary or overly burdensome in consideration of the limited scope and purpose of this case.

Initial Proposal Released—October 5, 2026

Prehearing Conference—October 5, 2026

Deadline for Petitions to Intervene—October 6, 2026

Close of Participant Comment Period—October 19, 2026

Final Record of Decision—December 18, 2026 ( printed page 58891)

C. Ex Parte Communications

Section 1010.5 of the Rules of Procedure prohibits ex parte communications. Ex parte communications include any oral or written communication (1) relevant to the merits of any issue in the proceeding; (2) that is not on the record; and (3) with respect to which reasonable prior notice has not been given. The ex parte rule applies to communications with all Bonneville and DOE employees and contractors, the Hearing Officer, and the Hearing Clerk during the proceeding. Except as provided, any communications with persons covered by the rule regarding the merits of any issue in the proceeding by other executive branch agencies, Congress, existing or potential Bonneville customers, nonprofit or public interest groups, or any other non-DOE parties are prohibited. The rule explicitly excludes and does not prohibit communications (1) relating to matters of procedure; (2) otherwise authorized by law or the Rules of Procedure; (3) from or to the Federal Energy Regulatory Commission (Commission); (4) that all litigants agree may be made on an ex parte basis; (5) in the ordinary course of business, about information required to be exchanged under contracts, or in information responding to a Freedom of Information Act request; (6) between the Hearing Officer and Hearing Clerk; (7) in meetings for which prior notice has been given; or (8) as otherwise specified in section 1010.5(b) of the Rules of Procedure. The prohibition on ex parte communications applies from the date of publication of this notice and will remain in effect until the Administrator's Final Record of Decision is issued.

Part II—Scope of the BP-27 Rate Proceeding

A. BP-27 Rate Proceeding

The scope of the BP-27 rate proceeding is limited solely to consideration of the proposed revision to add the Court-Ordered Operation Rate Adder (COORA) and COORA True-Up adjustment mechanisms to section II.AD to the Wholesale Power Rate Schedules and GRSPs. The BP-26 power and transmission rates were approved by the Federal Energy Regulatory Commission on a final basis on February 19, 2026. Bonneville is not otherwise revising the BP-26 power or transmission rates in the BP-27 rate proceeding.

Bonneville may revise the scope of the proceeding to include new issues that arise as a result of circumstances or events occurring outside the proceeding that are substantially related to the rates under consideration in the proceeding. See Rules of Procedure, section 1010.4(b)(8)(ii), (iii), (iv). Only Bonneville may prescribe or revise the scope of the proceeding. Id. If Bonneville revises the scope of the proceeding to include new issues, Bonneville will provide public notice on its website, present testimony or other information regarding such issues, and provide a reasonable opportunity to intervene and respond to Bonneville's testimony or other information. Id.

Pursuant to section 1010.4(b)(8) of the Rules of Procedure, the Administrator directs the Hearing Officer to exclude from the record all argument, testimony, or other evidence that challenges the appropriateness or reasonableness of any other matter, issue, topic, or policy that is not directly related to the proposed revisions to section II.AD of the Power Rate Schedules and GRSPs discussed in section IV of this notice.

B. The National Environmental Policy Act

Bonneville is in the process of assessing the potential environmental effects of its proposed power rate adjustments, consistent with the National Environmental Policy Act (NEPA). The NEPA process is conducted separately from the rate proceeding. All evidence and argument addressing potential environmental impacts of the rate adjustments being developed in the BP-27 rate proceeding are excluded from the rate proceeding record. Instead, comments on environmental effects should be directed to the NEPA process.

Based on its most current assessment of the proposed power rate adjustments, Bonneville believes this proposal may be the type of action typically excluded from further NEPA review pursuant to U.S. Department of Energy NEPA regulations and procedures, which apply to Bonneville. More specifically, the proposal appears to solely involve changes to Bonneville's rates and other cost recovery and management mechanisms to ensure that there are sufficient revenues to meet Bonneville's financial obligations and other costs and expenses, while using existing generation sources operating within normal operating limits. As such, it appears this rate proposal falls within Categorical Exclusion B4.3, found at 10 CFR part 1021, Appendix B, which provides for the categorical exclusion from further NEPA review of “[r]ate changes for electric power, power transmission, and other products or services provided by a Power Marketing Administration that are based on a change in revenue requirements if the operations of generation projects would remain within normal operating limits.”

Nonetheless, Bonneville is still assessing the proposal, and, depending upon the ongoing environmental review, Bonneville may instead take another appropriate approach to NEPA. Comments regarding the potential environmental effects of the proposal may be submitted to Katey Grange, NEPA Compliance Officer, EC-4, Bonneville Power Administration, 905 NE 11th Avenue, Portland, Oregon 97232, and to kcgrange@bpa.gov. Any such comments received by the comment deadline for Participant Comments identified in section III. A of this notice will be considered by Bonneville's NEPA compliance staff in the NEPA process that is being conducted for this proposal.

Part III—Public Participation in the BP-27 Rate

A. Interventions

Any entity or person intending to become a party in the BP-27 proceeding must file a petition to intervene through Bonneville's secure website, www.bpa.gov/​secure/​Ratecase/​. A first-time user of Bonneville's secure website must create a user account to submit an intervention. Returning users may request access to the BP-27 rate proceeding through their existing accounts and may submit interventions once their permissions have been updated. The secure website contains a link to the user guide, which provides step-by-step instructions for creating user accounts, submitting filings, and uploading interventions. Please contact the Hearing Coordinator via email at cwgriffen@bpa.gov or, if the question is time-sensitive, via telephone at (503) 230-5107, with any questions regarding the registration and submission process.

All petitions to intervene must be uploaded to Bonneville's secure website by 4:30 p.m. Pacific Prevailing Time on the deadline in the procedural schedule adopted by the Hearing Officer. Late interventions are strongly disfavored. Petitions to intervene must conform to the format and content requirements in sections 1010.6 and 1010.11 of the Rules of Procedure. Petitions must state the name and address of the entity or person requesting party status and the entity or person's interest in the hearing.

The Hearing Officer will rule on all petitions to intervene. Bonneville customers and affiliated customer groups will be granted intervention based on petitions filed in conformance with the Rules of Procedure. Other petitioners must explain their interests ( printed page 58892) in sufficient detail to permit the Hearing Officer to determine whether the petitioners have a relevant interest in the hearing.

Bonneville or any party may oppose a petition to intervene. The deadline for opposing a timely petition to intervene is two business days after the deadline for filing the petition.

Opposition to an untimely petition to intervene must be filed within two business days after service of the petition.

B. Participant Comments

Bonneville distinguishes between “participants in” and “parties to” the BP-27 proceeding. Separate from the formal hearing process, Bonneville will accept written comments, views, opinions, and information from participants who have not intervened in the BP-27 proceeding and been granted “party” status by the Hearing Officer. Participants are not entitled to participate in the prehearing conference; may not cross-examine parties' witnesses, seek discovery, or serve or be served with documents; and are not subject to the same procedural requirements as parties. Bonneville customers whose rates are subject to this proceeding, or their affiliated customer groups, may not submit participant comments. Members or employees of organizations that have intervened in the proceeding may submit participant comments as private individuals (that is, not speaking for their organizations) but may not use the comment procedures to address specific issues raised by their intervenor organizations.

Written comments by participants must be received by October 19, 2026, to be included in the record and considered by the Administrator. Participants should submit comments through Bonneville's website at www.bpa.gov/​comment or by hard copy to: BPA Public Involvement, Bonneville Power Administration, P.O. Box 14428, Portland, Oregon 97293. All comments should contain the designation “BP-27” in the subject line.

C. Developing the Record

The hearing record will include, among other things, the transcripts of the hearing, written evidence and argument entered into the record by Bonneville and the parties, written comments from participants, and other material accepted into the record by the Hearing Officer. The Hearing Officer will review and certify the record to the Administrator.

The Administrator will make a final determination on the issue in this proceeding based on the record and such other materials and information as may have been submitted to or developed by the Administrator. The Final ROD will be made available to all parties. Bonneville will submit the Final ROD and the hearing record to the Commission for confirmation and approval after issuance of the Final ROD.

Part IV—Summary of Rate Proposal

Bonneville is proposing limited revisions to the Fiscal Year 2026-2028 Power Rate Schedules and GRSPs to add new power rate adjustment mechanisms to address the expected financial impact of the U.S. District Court for the District of Oregon's Amended Preliminary Injunction Order, ECF No. 2674, NWF, et al. v. NMFS, et al., Case No. 3:01-cv-640-SI, issued March 2, 2026.

The Power GRSPs include general rate schedule terms and conditions applicable to Bonneville's power rates. In addition, the Power GRSPs contain special rate adjustments, charges, credits, and pass-through mechanisms for specific events and customer circumstances.

Specifically, Bonneville proposes adding the COORA and COORA True-Up to GRSP section II.AD. These mechanisms would apply to the following products under the PF-26 Rate Schedule: Load Following, Block, and the Block portion of Slice/Block. The COORA and COORA True-Up also apply to power purchased at the PF Melded Rate (PF-26), Industrial Firm Power Rate (IP-26), and New Resource Firm Power Rate (NR-26). These mechanisms would adjust the PF Tier 1 Equivalent Energy Rates (GRSP II.AA), the Load Shaping Charge True-Up Rate (GRSP II.E, Section 1), and the PF Melded Equivalent Energy Scalar Rate (GRSP II.R, Section 1(c)).

Bonneville's proposed GRSP revisions are a part of this notice and are available for viewing and downloading on Bonneville's website at www.bpa.gov/​bp-27-rate-case.

Signing Authority

This document of the Department of Energy was signed on September 10, 2026, by Travis R. Kavulla, Administrator and Chief Executive Officer of the Bonneville Power Administration, pursuant to delegated authority from the Secretary of Energy. That document with the original signature and date is maintained by DOE. For administrative purposes only, and in compliance with requirements of the Office of the Federal Register, the undersigned DOE Federal Register Liaison Officer has been authorized to sign and submit the document in electronic format for publication, as an official document of the Department of Energy. This administrative process in no way alters the legal effect of this document upon publication in the Federal Register .

91 FR 58890