20030519Decision Memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
CO MMISSI 0 NER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:LISA NORDSTROM
DATE:MAY 19, 2003
RE:IN THE MATTER OF THE APPLICATION OF MURRAY WATER WORKS TO
INCREASE ITS CONNECTION FEE. CASE NO. MUR-03-
The Murray Water Works system serves the original town site of Murray located on
National Forest Highway No.9 in Shoshone County, Idaho. Murray is situated on Pritchard Creek
approximately 16 miles northeast of the City of Wallace near the Montana Border. The public
system predates the Commission and serves approximately 30 residential customers.
The system recently changed ownership and the Commission issued Mr. and Mrs. Arlen
Lish Certificate No. 404 on September 25 2002. Order No. 29119. The new owners accepted the
tariffs that were in place at the time of the transfer of ownership. The Company has since reviewed
the tariffs relative to the operation of the system, more specifically the cost to install a new service
connection. The current connection fee is $125 for materials, and either the customer can install
their own service or pay the Company $25 per hour for the installation.
Even though the Company does not anticipate any new connections in the near future, it
requests a revision to its connection fee tariff for two reasons. First, the Company wishes to
eliminate the customer s ability to install their own service connection. The Company owns and is
responsible for the maintenance of the utility mains and services to the property lines. The Company
wants to retain control of the method of installation for mains and services. Second, the Company
reports that the cost to install a new service is greater than the connection fee presently recovers.
Consequently, the Company requests the connection fee be increased from $125 and $25 per hour for
the installation to a flat fee of $800.
DECISION MEMORANDUM
ST AFF RECOMMENDATION
Staff recommends the Commission process this case by Modified Procedure and establish
a 21-day comment period.
COMMISSION DECISION
Does the Commission wish to process Murray Water Work's request to increase its
connection fee by Modified Procedure?
M:MURWO301 In
DECISION MEMORANDUM