20061218notice_of_application_order_no_30204.pdf

Office of the Secretary
Service Date
December 18,2006
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF STONERIDGE WATER COMPANY FOR
AN INCREASE IN RATES AND CHARGES
AND TO MODIFY RULES AND
REGULATIONS
NOTICE OF APPLICATION
CASE NO. SWS-06-
NOTICE OF MODIFIED
PROCEDURE
ORDER NO. 30204
On November 20, 2006, Stoneridge Water Company filed an Application with the
Commission seeking "to allow for the closing out of Phase I and Phase II loans for the Happy
Valley Ranchos annexation and surcharge associated thereto, for an increase in the monthly user
fees, an increase in the hook up fees, an increase in the disconnection/reconnection fees and for
clarifications and changes to the Rules and Regulations.
With this Order the Commission issues notice of the Company s Application
authorizes the use of Modified Procedure, and directs Commission Staff to conduct a public
workshop.
THE APPLICATION
YOU ARE HEREBY NOTIFIED that the Company filed a fairly comprehensive
Application following the pattern available on the Commission s web page for small water
company Certificates of Public Convenience and Necessity. In fact, the Company titled its
Application as that for the issuance of a Certificate. However, the Company currently possesses
a Certificate see Order No. 28994, and it is clear from a review of the Application that it is
requesting a general rate case. The Company has not requested a specific effective date for the
proposed new rates.
YOU ARE FURTHER NOTIFIED that the Company has previously taken out a
series of loans from the State Drinking Water Revolving Fund totaling approximately $438 500.
See Case No. SWS-04-, Order No. 29719 (authorizing the loan amounts and describing the
background surrounding the loans, system expansion, and system improvements). The
Commission, in its previous Orders authorizing the Company to incur the indebtedness
specifically reserved judgment on the appropriate amount of the surcharge for Phase I
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30204
interconnection. Order No. 29719 at 5. The Commission also specifically reserved judgment on
how the Company may collect the cost of the backbone system improvements for Phase II. Id.
YOU ARE FURTHER NOTIFIED that, according to the Customer Notice prepared
by the Company, its request to the Commission consists of six parts:
1) A monthly fee to service the Happy Valley Ranchos loan will be imposed
on all those current and future customers that were added as a result of the
Happy Valley Ranchos annexation. 2) A monthly service fee to service the
well repair loan will be imposed on all current and future customers within
the StoneRidge Utility service Territory. 3) A monthly user fee increase will
be imposed on all current and future customers within the StoneRidge Utility
service territory. 4) A disconnect/reconnect fee increase will be imposed on
all customers choosing to have their water shut off and turned on at a later
date. 5) A hook up fee increase will be imposed on all customers requesting
a new service connection. 6) And clarifications and changes to some of the
General Rules and Regulations.
YOU ARE FURTHER NOTIFIED that the Company states it currently has 374
customers, and will ultimately have approximately 1 207 customers with the planned
developments within its service territory. It appears that the Company is requesting to increase
rates as follows:
Residential
Commercial
Irrigation
Customer Charge
from $14/mo. to $38/mo.
from $20/mo. to $38/mo.
$38/mo.
Commodity Charge
from $.30/1 000 g to $.67/1 000 g
from $.30/1 000 g to $.67/1 000 g
67/1 000 g
The Company s existing Tariff also contains rates for:
Time Share Complex
Golf Course Irrigation
$200/mo.
200/mo.
30/1 ,000 g
30/1 ,000 g
YOU ARE FURTHER NOTIFIED that the Company is also proposing to increase its
hook-up fee for new service from $925 to $1 200. The Company also proposes to increase its
reconnection fee to $278 during office hours, and $328 after office hours. This amount equates
to six months base charge plus $50 and $100, respectively. The Company s currently authorized
reconnection fees are: (1) disconnected for 30 days or less - during office hours, $14, and after
office hours, $28; and (2) disconnected for more than 30 days - during office hours, $50, and
after office hours, $64.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30204
YOU ARE FURTHER NOTIFIED that Stoneridge s revenue requirement, and every
component of it, both rate base and expense, are at issue. The Commission may grant, deny, or
modify the revenue requirement requested and may find a revenue requirement different from
that proposed by any party is just, fair and reasonable. IDAP A 31.01.01.124.01.
YOU ARE FURTHER NOTIFIED that the rates and charges of all Idaho retail
customers, both recurring and non-recurring, including those of any special contract customers
are at issue, and every component of every existing and proposed rate and charge is at issue. The
Commission may approve, reject or modify the rates and charges proposed and may find that
rates and charges different from those proposed by any party are just, fair and reasonable.
IDAPA 31.01.01.124.02.
YOU ARE FURTHER NOTIFIED that the Commission may approve, reject or
modify existing or proposed relationships between and among rates and charges within, between
or among customer classes or rate groupings and may approve, reject or modify existing or
proposed relationships among and between customer classes or rate groupings. IDAP A
31.01.01.124.02.
YOU ARE FURTHER NOTIFIED that the Commission may abolish, reduce or
create rate blocks or categories of rates and charges; abolish, create or reduce components of
rates and charges; abolish, reduce or create customer classes or rate groupings; and abolish
reduce or create absolute or relative differences among and between existing classes or rate
groupings of customers. IDAPA 31.01.01.124.02.
YOU ARE FURTHER NOTIFIED that the tariffs, practices, rules and regulations
servIce, instrumentalities, equipment, facilities, classifications, and customer relations of the
utility are at issue, and the Commission may address any of them in its order.IDAP A
31.01.01.124.02.
YOU ARE FURTHER NOTIFIED that the Application, supporting workpapers
testimonies and exhibits have been filed with the Commission and are available for public
inspection during regular business hours at the Commission offices.The Petition and
testimonies are also available on the Commission s website at www.puc.idaho.gov under the
File Room" icon.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30204
YOU ARE FURTHER NOTIFIED that the Commission has jurisdiction over this
matter pursuant to Title 61 of the Idaho Code, and specifically Idaho Code ~~61-502, 61-622 and
61-623.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission s Rules of Procedure, 31.01.01.000 et seq.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has reviewed the filing of
record in Case No. SWS-06-01. The Commission has preliminarily determined that the
public interest may not require a hearing to consider the issues presented in this case and that
issues raised by the Company s filing may be processed under . Modified Procedure, i., by
written submission rather than by hearing.IDAPA 31.01.01.201-204.In so doing, the
Commission notes that Modified Procedure and written comments have proven to be an effective
means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that the Commission may not hold a hearing in
this proceeding unless it receives written protests or comments opposing the use of Modified
Procedure and stating why Modified Procedure should not be used. IDAP A 31.01.01.203.
YOU ARE FURTHER NOTIFIED that if no protests or written comments are
received within the deadline, the Commission will consider the matter and enter its Order
without a hearing. If protests or comments are filed within the deadline, the Commission will
consider them and may, in its discretion, set the matter for hearing or decide the matter and issue
its Order on the basis of the written positions before it. IDAP A 01.01.01.204.
COMMENT/PROTEST DEADLINE
YOU ARE FURTHER NOTIFIED that the deadline for filing written comments
or protests with respect to the Application and the Commission s use of Modified Procedure in
Case No. SWS-06-01 will be established by subsequent Commission Order/Notice.
Persons desiring a hearing must specifically request a hearing in their written protests or
comments.
YOU ARE FURTHER NOTIFIED that written comments concerning this case
should be mailed to the Commission and to the Company at the addresses reflected below.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30204
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
Wayne Benner
PO Box 280
Blanchard, ID 83804
E-mail: wbenner(fYstoneridgeidaho.com
Street Address For Express Mail:Joe M. Olmstead
James A. Sewell & Associates
600 4th Street West
Newport, WA 99156
472 W. Washington Street
Boise, ID 83702-5983
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission s homepage located at www.puc.idaho.gov.Click the "Comments and Questions
icon, and complete the comment form, using the case number as it appears on the front of this
document. These comments must also be sent to the Applicant at the address listed above.
FINDINGS/CONCLUSIONS
The Idaho Public Utilities Commission has jurisdiction over Stoneridge Water
Company, its Application to increase rates and charges and change rules and regulations, and the
issues involved in this case by virtue of Title 61 , Idaho Code, including Idaho Code ~~ 61-124
61-125, 61-129, 61-301 , 61-302, 61-303 , 61-501 , 61-502, 61-503 , and 61-622 and the
Commission s Rules of Procedure, IDAP A 31.01.01.000 et seq.
The Commission has preliminarily determined that the public interest may not
require a hearing to consider the issues presented in this case, and that issues raised by the
Company s filing may be processed under Modified Procedure , by written submission
rather than by hearing. IDAPA 31.01.01.201-204. In so doing, the Commission notes that
Modified Procedure and written comments have proven to be an effective means for obtaining
public input and participation.
The Commission finds it to be in the public interest for Staff to conduct a public
workshop in this matter. The purpose of this public workshop is for the Staff to dispense
information concerning the Company s Application and to receive written or oral comments
from the public prior to the Staff filing testimony or comments in this case. Rule 125 , IDAPA
31.01.01.125.
Because the Company did not request an effective date for its proposed rates
charges, rules, and regulations it is not necessary to suspend the Company s proposal. The
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30204
proposed rates, charges, rules, and regulations shall not go into effect pending the hearing or
decision in this case. Idaho Code ~ 61-622.
ORDER
IT IS HERBY ORDERED that this case be processed under Modified Procedure. A
deadline for the submission of written comments will be established by subsequent Commission
Order/Notice.
IT IS FURTHER ORDERED that Commission Staff shall conduct a public workshop
pursuant to Rule 125 , IDAPA 31.01.01.125. The workshop will be scheduled by subsequent
Commission Order/Notice.
DONE by Order ofthe Idaho Public Utilities Commission at Boise, Idaho this /~-rA
day of December 2006.
PAUL
MARSHA H. SMIT , C MMISSION
ATTEST:
Commission Secretary
O:SWS-06-01 dw
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30204