BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION
COMMISSION



In the matter of the application of  

PUGET SOUND ENERGY, INC. for an Approving an Amendment to a Service Area 
Agreement with the City of Tacoma

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 	)
	)
	)
	)
	)
	)
	)
	)
	)	
		
		DOCKET NO. UE-900794
		 
		SECOND SUPPLEMENTAL
		ORDER APPROVING REVISED EXHIBIT A

MEMORANDUM


1 The Commission, on August 22, 1990, issued its Order in this docket approving
 Puget Sound Power & Light Company to participate in a Service Area Agreement 
("Agreement")  with the City of Tacoma, Washington (dba "Tacoma Power"), 
pursuant to Chapter 54.48 RCW.

2 The Commission, on June 6, 1997, issued its First Supplemental Order in this
 docket, which allowed for revisions to the boundary descriptions in the 
Agreement.

3 By second supplemental application ("Application") filed June 9, 2000, Puget
 Sound Energy, Inc. ("PSE"), the successor in interest to Puget Sound Power & 
Light Company, seeks  Commission approval of an amendment to the Agreement 
between PSE and Tacoma Power.  A  correction to the second supplemental 
application was filed by PSE on June 15, 2000.

4 Exhibit A to the Agreement provides the legal description of the boundary 
between PSE's and   Tacoma Power's adjoining service areas (the "Boundary").  
Pursuant to Section 2.2 of the Agreement,  the parties have agreed to certain 
adjustments to the Boundary since 1990 to permit effective, efficient  and 
economical service to locations on or near the Boundary.  The parties have 
revised the original  Exhibit A to the Agreement to include an "Amendment 1 
Updating the Boundary Agreement," which  describes such adjustments.  The 
revised Exhibit A is attached to PSE's Application as Exhibit A.   PSE now 
seeks to have the Commission approve amendment of Agreement such that the 
revised  Exhibit A will replace the original Exhibit A to the Agreement.

5 Having reviewed the Application and the exhibits attached hereto, the 
Commisssion is of the opinion  that the adjustments of the Boundary described 
in revised Exhibit A are consistent with the legislative  policy enuciated in 
Chapter 54.45 RCW; that the objectives and purposes specified in that 
legislation  would be reasonably achieved by approval of an amendment to the 
Agreement to incorporate the  Boundary adjustments described in revised Exhibit 
A; and that such approval is consistent with the  public interest.

6 This matter was brought before the Commission at its January 11, 2001, 
regularly
 scheduled open meeting.  The Commissioners, having been fully advised in the 
matter, and having  determined the following order to be consistent with the 
public interest, directed the Secretary to enter  the following order and 
related provisions.

FINDINGS

THE COMMISSION FINDS:

7 PSE is engaged in the business of furnishing electric and gas service within 
the
 State of Washington as a public service company, and is subject to the 
jurisdiction of this   Commission.

8 The amendment to the Service Area Agreement to incorporate the Boundary
 adjustments described in revised Exhibit A, as filed by PSE, is in accordance 
with the Commission's  Order in this docket and is consistent with the 
legislative policy enuciated in Chapter 54.48 RCW.

ORDER

9 THE COMMISSION THEREFORE ORDERS that the Service Area Agreement
 originally approved by the Commission on August 22, 1990, is amended by 
replacing the original  Exhibit A with the revised Exhibit A attached to Puget 
Sound Energy, Inc.'s Application, pursuant to  the provisions and requirements 
of Chapter 54.48 RCW.

10 Nothing herein shall be construed to waive or otherwise impair the 
jurisdiction of
 this Commission over the rates, services, accounts and practices of Puget 
Sound Energy, Inc.


DATED at Olympia, Washington, and effective this 11th day of January, 2001.


WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION



 CAROLE J. WASHBURN, Secretary