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HomeMy WebLinkAbout20200930Application.pdfMichael C. Creamer (lSB No. 4030) Preston N. Carter (lSB No. 8462) Givens Pursley LLP 601 W. Bannock St. Boise, lD 83702 Telephone: (208) 388-1200 Facsimile: (208) 388-1 300 mcc@qivenspu rslev.com prestonca rter@qivenspurslev.com ,= 'I ,:" T ltJ{. n, i.i is;- l Y 5- L, ;ij::, -q[;' 3$ PH &: f t Aftorneys for SUEZ Water ldaho lnc. BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICAT]ON OF SUEZ WATER IDAHO INC. FOR AUTHORITY TO INCREASE ITS RATES AND CHARGES FOR WATER SERVICE IN THE STATE OF IDAHO Case No. SUZ-W-20-02 APPLICATION SUEZ Water ldaho lnc., ("SUEZWater," "Applicant," or oCompany") files this Application with the ldaho Public Utilities Commission ("Commission") requesting an Order approving revisions to Applicant's schedules of rates and charges for water service in the State of ldaho to become effective on or after October 31, 2020. t. Applicant is a public utility water corporation within the meaning of the ldaho Public Utility Law, is duly organized and existing under the laws of the State of ldaho and is engaged in conducting a generalwater business in and about Boise City, Ada County, ldaho, having its principal office and place of business at 8248 West Victory Road, Boise, ldaho. A certified copy of Applicant's Articles of Incorporation, together with all amendments to date, is on file with the Commission, along with Applicant's most recent annual report. Applicant's current Certificate is Amended Certificate No. 143. SUEZ WATER'S APPLICATION It. SUEZ Water has been providing water service to the public in Boise City and sunounding areas for more than 100 years. Currently, SUEZ Water provides service to approximately 98,000 customers within Ada County, Idaho. 1il. SUEZ Water's operations, and rates and charges for service have been reviewed in several rate proceedings before the Commission, most recently, five years ago in Case No. UWI-W-15-01. lv. Attached hereto as Aftachment 1 are copies of Applicant's Schedule Number 1, General Metered Service; Schedule Number 1B, Flat Rate Service; Schedule Number 2, Public Hydrants and Street Sprinkling; Schedule Number 3, Private Fire Sprinkling and Service; and Schedule Number 4, Private Fire Hydrant Service, containing the rates under which water service is currently rendered and charged to Applicant's customers. V. Attached hereto as Attachment 2 are copies of Applicant's new proposed Schedule Numbers 1, 18, 2,3 and 4 setting forth charges to be made to Applicant's customers rates on and after October 31,2020. vt. Applicant proposes to increase rates by $10,160,211. This represents an overall average increase of 22.3o/o over SUEZ's rates as approved by the Commission in 2015. SUEZ Water submits that the proposed changes in rates and charges set forth on Aftachment 2 are just and reasonable. The expected rate of retum under the revised SUEZ WATER'S APPLICATION 2 rates and charges will be 7.460/o, which is a fair rate of return on SUEZ Water's investment in property used and useful in rendering water service. vt1. The revenue realized by Applicant under its presently authorized rates produces a rate of return of 4.09o/o based on a test year ending June 30,2020. Applicant seeks additional revenues to recover increased operating expenses and costs associated with plant additions, and to produce afair rate of return, thereby enabling it to continue to provide adequate and reliable service to its customers. vlil. As discussed in the testimony of Marshall Thompson, Applicant is proposing a revision to its Rules and Regulations Governing the Rendering of Water Service to eliminate the Company's gross-up payments from developers to offset the Company's income tax liability associated with Contributions in Aid of Construction. This revision has been proposed under Docket No. SUZ-W-2O-O1 that is cunently under review with the Commission. tx. Applicant is filing concurrently herewith Direct Testimony of Marshall Thompson, Harold Walker lll, Timothy Michaelson, Jarmila Cary, David Njuguna, Catherine Cooper, Matthew Kahn, James Cagle, Dane Watson, Mohammed Zerhouni and Gary Prettyman, and Exhibits 1-15. Exhibits 1-15 include financial statements, revenue analysis, analysis of cost of service, and supporting work papers that justify and support the proposed increase. 3SUEZ WATER'S APPLICATION X. Applicant proposes to implement the requested increase in revenue by a uniform percentage increase to all rate elements. xl. Notice to SUEZ Water's customers is being accomplished by news media releases simultaneously with the filing of this Application and by an individual notice mailed to each customer. Copies of the press release and customer notice are attached to this Application as Attachment 3. ln addition, a copy of the Application and Applicant's present and proposed rate schedules are available for public inspection at its office a|8248 West Victory Road, Boise, ldaho at any time during office hours. The Application will be available on the Commission's homepage at www.puc.idaho.qov. Customers may also subscribe to the Commission's RSS feed to receive periodic updates. XII. Applicant stands ready for an immediate hearing on this Application and requests that a hearing be held as soon as possible. xilt. Communications in reference to this Application should be addressed to: Michael C. Creamer (lSB No. a030) Preston N. Carter (lSB No. 8462) Givens Pursley LLP 601 W. Bannock St. Boise, lD 83702 Telephone: (208) 388-1200 Facsimile: (208) 388-1 300 m cc@qivenspu rslev. com prestonca rter@qivenspurslev. com 4SUEZ WATER'S APPLICATION and 1 Michael C. Creamer Preston N. Carter Attorneys for Applicant 2 David Njuguna Manager- Regulatory Business Suez Water Management and Services Company 461 From Road, Suite 400 Paramus, NJ 07052 david. njuguna@suez.com SUEZ Water respectfully requests that the Commission: That this Application be heard and acted upon at the earliest possible date, That the Commission find that the Applicant's existing rates are unjust, unreasonable and insufficient to provide Applicant with a fair rate of return and that the revised rates and charges proposed in Attachment 2 of this Application are just and reasonable and that Applicant be permitted to charge said rates to its customers, effective October 31 ,2020, That the Commission grant such other and further relief as the Commission may determine proper in the circumstances. DATED this 30th day of September 2020. SUEZ WATER IDAHO INC 9 ----::---- 3 By: 5SUEZ WATER'S APPLICATION ATTACHMENT 1 Application Attachment 1 Page I of6 Sheet No. 3 Replacing all Previous Sheets SUAI WATER IDAHO INC. SCHEDULE NO. 1 GENERAL TETERED SERVICE Ayailabilitv: To all metered customers not served under a separate schedule. Customer Charges: Meter Size 5/8',-3/4 1u 1-114' and 1-112" 2" or multiple me*ers of equivalent capacity 3" or multiple meters of equivalent capacity 4" or multiple meters of equivalent capacity 6" or multiple meters of equivalent capaci$ 8" or multiple meters of equivalent capacity 10" or multiple meters of equivalent capacity Bi-Monthly Per Meter Charqe $21.11 $26.99 $46.17 $71.64 $139.73 $260.68 $435.22 $569.37 $811.39 Volume Charue: Winter Rates For allwater used less than 3CCF (1@ cubic Feet) (CCFXI CCF=748 gallons): $1.4674 For allwater used greaterthan 3CCF $1.4674 Volume Charoe: Summer Rates For all water used less than 3GCF (100 cubic Fee$ (CGFXI CCF=748 gallons): $1.4674 For allwater used greaterthan 3CCF $1.8577 Conditions of Contract: The customer shall pay the total of the customer charge plus the volume charge. The volume charge is based on all metered water for the billing period. Consumption is expressed in hundred cubic foot units or thousand gallon units as determined by the meter installed by the Company. The customer charge will be prorated whenever the customer has not been a customer for the entire billing period. Summer Period: The summer rate will apply to water consumd between May 1 and September 30. Meter readings straddling these dates willbe prorated. lssued Per IPUC Order No. Effective - June 1,2018 lssued by SUEZ WATER IDAHO lNC. G-bory P. Wyatt, Vice President 8248 West Mctory Road, Boise, lD Application Attachment 1 Page 2 of 6 SCHEDULE NO. {B FLAT RATE SERVICE Availabilitv: To non-metered residential customers pursuant to Residential or Multi-Family Housing Non-Contiguous Water Systems Agreement Paragraph 11(a) addressing flat rate systems. Customer Charqeq: Based on Suez Water ldaho residential consumption for the year ending June 1998 of 208.75 ccf, the avemge reidentialbill, assumingas4" meter and 65% / 35olo sumffierArinter split, is $486.42. Billed bi-monthly, equals $81.07. Bi-illonthlv Chame: $81.07 Cond itions of Contract: The monthly charge will be prorated whenever the customer has not been a customer br the entire billing period. The Company or the customer may convert to metered service pursuant to Subparagraphs (b) or (c) of Paragraph 11 as follows: (b) lf Company should determine that a flat rate customer is using water in excess of the average residential customer, the Company will provide a meter setting and meter. Customerwillthen pay Company's metered tariff rates as approved by the IPUC, ufrich rates may be amended from time to time. (c) lf a customer prefers to pay Company's approved metered tiariff rates, the customer shall pay the installation and material costs associated with the installation of a meter setting. Sheet No. 5 Replacing all Previous Sheets SUEZ WATER IDAHO INC. lssued Per IPUC Order No. Effective - June 1, 2018 lssued by SUEZ WATER IDAHO lNC. Gregory P. Wyatt, Moe President Application Attachment 1 Page 3 of 6 Sheet No.6 Replacing all Previous Sheets SUEZ TDAHO ll{C. SCHEDULE NO.2 PUBLIC }IYDRANTS AND STREET SPRII{KLING Availabilitv: To the Ada County Highway District. Rates: Street Sorinklino Service Flat Charge $282.00 /Month Miscellaneous: Bills will be rendered monthly, bi-monthly, or at other intervals upon mutual agreement of the Company and the customer. Hydrants and service pipes from the fitting on the Company main to the hydrants are to be installed and maintained by and at the expense of the Ada County H(7hway District. lssued Per IPUC Order No. 34153 Effective - June 1, 2018 lssued by SUEZ WATER IDAHO INC Gregory P. Wyatt, Moe Presideni 8248 West Mctory Road, Boise, ldaho Application Attachment 1 Page 4 of 6 Sheet No.7 Replacing all Previous Sheets SUEZ WATER IDAHO INC. SCHEDULE NO.3 PRIVATE FIRE SPRINKLER AND SERVICE Availabilitv: To all customers who have sprinkler systems and/or inside hose connections supplied by a dedicated service line for fire fighting purposes. Rate: For service through a separate line for fire fighting purposes. For 3 service or smaller, per month For 4' seMce per month For 6' service per month For 8" service per month For 10" service per month For 12" service per month $18.61 $28.21 $70.06 $115.13 $179.54 $268.93 Miscellaneous: Provided that if the installation of a private fire service shall require an extension of the existing mains of the company, the cost of such extension shall be borne by the customer. All private fire services shall be equipped with sealed gate valves or thermal automatic openings. Meters may be placed on fire services by the utility at any time; however, metered rates will not apply unless improper use of water is disclosed, and if such be the case, usage will be billed to the consumer under Rate Schedule No. 1. lssued Per IPUC Order No. Effective - June 1,2018 lssued by SUEZ WATER IDAHO lNC. Gregory P. Wyatt, Vice President 8248 West Victory Road, Boise, ldaho Application Attachment 1 Page 5 of 6 Sheet No. I Replacing all Previous Sheets SUEZ WATER IDAHO INC, SCHEDULE NO.4 PRIVATE FIRE HYDRANT SERVICE Availability: To all customers having private fire hydrant installations. Rate: For fire hydrants installed and maintained by the customer at customer's expense: Each fire hydrant, per month $11.29/Month Miscellaneous: Service pipe from the fitting on the company water main to the fire hydrant is to be installed and maintained by the customer. lssued Per IPUC Order No. Effective - June 1,2418 lssued by SUEZ WATER IDAHO INC Gregory P. Wyatt, Mce Presideni 8248 West Victory Road, Boise, ldaho Application Attachment 1 Page 6 of 6 ATTACHMENT 2 Application Attachment 2 Page I of6 Sheet No. 3 Replacing all Previous Sheets SUEZ WATER IDAHO INC. SCHEDULE NO. 1 GENERAL TETERED SERVICE Availabilitv: To all metered customerc not served under a separate schedule Customer Charges: Meter Size 518 -314 l', 1-114" and 1-112" 2" or multiple meters of equivalent capacity 3" or multiple metens of equivalent capacity 4" or multiple meters of equivalent capaci$ 6" or multiple meterc of equivalent capacity 8" or multiple meters of equivalent capacity 10" or multiple meters of equivalent capacity Volume Charqe: For allwater used less than 3CCF (100 cubic Feet) (CCFX1 CCF=748 gallons): Bi-Monthly Per Meter Gharse $24=4+ 25 81 $2€sg33.00 $4€+{+ 56 45 $7+-e+ 87.60 $l€eJsJZg s5 $a60,6s 319_zl $435,e3532.15 $56s37 696.34 $8++3s 992.33 Wnter Rates $+.4$tu+ 1 7942 $+4644 1.7942 Summer Rates $4.4874 1.794? $14,644" 2 2714 I for allwater used greaterthan 3CCF Volume Charge: For all water used less than 3CCF (100 cubic Feet) (CCF)(1 CCF=748 gallons): I for all water used greater than 3CCF Conditions of Contract: The customer shall pay the total of the customer charge plus the volume charge. The volume charge is based on all rnetered water for the billing period. Consumption is expressed in hundred cubic foot units or thousand gallon units as determined by the meter installed by the Company. The customer charge will be prorated whenever the customer has not been a customer for the entire billing period. Summer Period: The summer rate will apply to water consumed between May I and September 30. Meter readings straddling these dates will be prorated. lssued Per IPUC Order No.Effective@,2020 lssued by SUEZ WATER IDAHO lNC. Marshall Thompson, Vice President 8248 West Mctory Road, Boise,rldahno Aftachment 2 Page 2 of 6 SCHEDULE NO. TB FLAT RATE SERVICE Availability: To non-metered residential customerc pursuant to Residential or Multi'Family Housing Non-Contiguous Water Systems Agreement Paragraph 11(a) addressing flat rate systems. Customer Charges: Based on Suez Water ldaho rcsidential consumption for the year ending June 1998 of 208.75 ccf, the avererye residential bill, assuming aYt" meter and 65% / 35% summerArinter split, is $48MAI94J-4. Bitled bi-monthly, equals $81-97 99.03, Bi-Monthlv Charge: $84$7 99.03 Conditions of Contract: The monthly charge will be prorated whenever the customer has not been a customer for the entire billing period. The Gompany or the customer may convert to metered service purcuant to Subparagraphs (b) or (c) of Paragraph 11 as follows: (b) lf Company should determine that a flat rate customer is using water in excess of the average residential customer, the Company will provide a meter setting and meter. Customerwillthen pay Company's metered tariff rates as approved by the IPUC, which rates may be amended from time to time. (c) lf a customer prefers to pay Company's approved metered tariff rates, the customer shall pay the installation and material costs associated with the installation of a meter setting. Sheet No.5 Replacing all Previous Sheets SUEZ WATER tNc_ lssued Per IPUC Order No. Effective -*nt*aqfi€ Octobel 3 1, 2020 lssued by SUEZ WATER IDAHO lNC. Marshall Thompson, Mce President 8248 WestVictory Road, Boise, ldaho Application Attachment 2 Page 3 of 6 Sheet No.6 Replacing all Previous Sheets SUEZ WATER IDAHO INC. SCHEDULE NO. 2 PUBLIC HYDRANTS AND STREET SPRINKLING Availability: To the Ada Gounty Highway District. Rates: Street Sorinklino Service Flat Gharge $28230 344 iQ /lvlonth Miscellaneous: Bills will be rendered monthly, bi-monthly, or at other intervals upon mutual agreement of the Company and the customer. Hydrants and service pipes ftom the fifting on the Company main to the hydrants are to be installed and maintrained by and at the expense of the Ada County Highway District. lssued Per IPUC Order No.Effective@,2020 lssued by SUEZ WATER IDAHO lNC. Marshall Thompson, Vice President 8248 West Victory Road, to,T#,f,A,lp Attachment 2 Page 4 of 6 Sheet No. 7 Replacing all Previous Sheets SUEZ WATER INC. SCHEDULE NO. 3 PRIVATE FIRE SPRINKLER AND SERVICE Availabilitv: Rate: To all customers who have sprinkler systems and/or inside hose connections supplied by a dedicated service line for ftre fighting puposes. For service through a separate line for fire fighting purposes. For 3'service or smaller, per month For 4" service per month For 6' servioe per month For 8" service per month For 10'service per month For 12" seMe per month $+gg 22 75 $28=Z+_344 $7s€6*98.66 $4-1#:l 140.77 $1+$54 219.53 $26833 328.82 Miscellaneous: Provided that if the installation of a private fire service shall require an extension of the existing mains of the company, the cost of such extension shall be bome by the customer. All private fire services shall be equipped with sealed gate valves or thermal automatic openings. Meters may be placed on fire services by the utility at any time; however, metered rates will not apply unless improper use of water is disclosed, and if such be the casc!, usage will be billed to the @nsumer under Rate Schedule No. 1. lssued Per IPUC Order No.Effective@,2020 lssued by SUEZ WATER IDAHO lNC. Marstrill Thompson, Vice President 8248 West Victory Road, Boise, ldaho Application Aftachment 2 Page 5 of 6 Sheet No.8 Replacing all Previous Sheets SUEZ WATER tNc. SCHEDULE NO.4 PRIVATE FIRE HYDRANT SERVICE Availabilitv: To all customers having private fire hydrant installations. Rate: For fire hydrants installed and maintained by the customer at custome/s expense: Each fire hydrant, per month $1-4.29 13.80/Ivlonth Miscellaneous: Service pipe from the fitting on the oompany water main to the fire hydrant is to be installed and maintained by the customer. lssued Per IPUC Order No. Effective -Jaffiasy40 October 31 ,2O2O lssued by SUEZ WATER IDAHO INC Marsfrilt Thompson, Vice Presideni 8248 West Victory Road, Boise, ldaho Application Attachment 2 Page 6 of6