20030626Comments.pdf

LISA NORDSTROM
DEPUTY ATTORNEY GENERAL
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE, IDAHO 83720-0074
[phone]
BAR NO. 5733
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UTILITiES COMMISSION
Street Address for Express Mail:
472 W. WASHINGTON
BOISE, IDAHO 83702-5983
Attorney for the Commission Staff
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION OF
MURRAY WATER WORKS TO INCREASE ITS)CONNECTION FEE. CASE NO. MUR-O3-
COMMENTS OF THE
COMMISSION STAFF
COMES NOW the Staff of the Idaho Public Utilities Commission, by and through its
attorney of record, Lisa Nordstrom, Deputy Attorney General, and submits the following
comments in response to the Notice of Application, Modified Procedure and Comment/Protest
Deadline issued in Order No. 29250 on May 30 2003.
APPLICATION
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.
Last year the system 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, and more specifically, the cost to
STAFF COMMENTS JUNE 26, 2003
install a new service connection. The current connection fee is $125 for materials, which
customers can either install themselves or pay the Company $25 per hour for installation.
Even though the Company does not anticipate any new customer connections in the near
future, it requests a revision to its one-time 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
customers' property lines. The Company also wishes 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 one-time connection fee be increased from $125 and $25 per hour for installation to
a flat fee of $800 for both materials and installation.
STAFF COMMENTS
Staff has reviewed the Company s Application and supporting documentation. It is fairly
common for regulated water companies to request that only its representatives be allowed to
perform maintenance or install new services on its mains. Staff believes that the level of effort
and material costs as described by the Company s cost estimate to install new service
connections are reasonable. Although the Company estimated the total cost at $945., it is
asking for only an $800 hookup fee. The requested $800 hookup fee is within the normal range
of hookup fees of other regulated water companies. In addition to filing this tariff, the Company
worked with the consumer assistance Staff to bring its billing statements, disconnection notices
and rules summary into compliance with IPUC Utility Customer Relations Rules, IDAP A
31.21.01000 and Utility Customer Information Rules, IDAPA 3121.02000.
STAFF RECOMMENDATION
Staff recommends approval of the Company s Application and stands ready to assist the
Company in updating the associated tariff pages as necessary to properly show the appropriate
one-time hookup fee.
STAFF COMMENTS JUNE 26, 2003
Respectfully submitted this 2ft day of June 2003.
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Deputy Attorney General
Technical Staff: Michael Fuss
Bob Smith
i:umisc/comments/murwO3.11mresmfuss
STAFF COMMENTS JUNE 26, 2003
CERTIFICATE OF SERVICE
HEREBY CERTIFY THAT I HAVE THIS 26TH DAY OF JUNE 2003
SERVED THE FOREGOING COMMENTS OF THE COMMISSION STAFF, IN
CASE NO. MUR-03-, BY MAILING A COpy THEREOF, POSTAGE PREPAID
TO THE FOLLOWING:
ARLEN LISH
MURRAY WATER WORKS
BOX 11
KINGSTON ID 83839
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RE ~Y
CERTIFICATE OF SERVICE