20051230final_order_no_29941.pdf

Office ofthe Secretary
Service Date
December 30, 2005
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF UNITED WATER IDAHO INc. TO
AMEND AND REVISE ITS CERTIFICATE
OF PUBLIC CONVENIENCE AND
NECESSITY NO. 143
CASE NO. UWI-O5-
ORDER NO. 29941
On October 21 2005, United Water Idaho Inc. ("United Water" or "Company ) filed
an Application seeking to amend and revise its Certificate of Public Convenience and Necessity
in order to expand its service territory. The Commission issued a Notice of Modified Procedure
seeking comments regarding the Company s Application as well as the use of Modified
Procedure. Comments were filed by Commission Staff, the City of Meridian, and the City of
Nampa. United Water and Meridian filed reply comments. In this Order the Commission grants
the Company s Application as to two of the parcels of land requested under the Application.
THE APPLICATION
According to the Application, United Water seeks to expand the provision of its
water services to seven discrete parcels of land. A map depicting United Water s current
certificated boundary and United Water s proposed certificated boundary was attached to the
Company s Application and is further attached to this Order as Exhibit A. The seven parcels are
located at:
(1) Cloverdale Road, between Franklin Road and Ustick Road, Ada County
(as described in further detail in Exhibit C to the Application);
(2) Eagle Road and McMillan Road, Ada County (as described in further
detail in Exhibit E to the Application);
(3) Hidden Springs/Cartwright Ranch, Ada County (as described in further
detail in Exhibit H to the Application);
(4) The LDS Church at Eagle Road and Lake Hazel Road, Ada County (as
described in further detail in Exhibit K to the Application);
(5) The LDS Church at Linder Road and Columbia Road, Ada County (as
described in further detail in Exhibit L to the Application), adjacent to
United Water s existing non-contiguous Danskin service area;
ORDER NO. 29941
(6) The Lexington Meadows subdivision at McDermott Road and Overland
Road, Canyon County (as described in further detail in Exhibit N to the
Application);
(7) The Iron Horse subdivision at West Columbia Road and South Black Cat
Road, Ada County (as described in further detail in Exhibit R to the
Application), which subdivision extends the boundaries of United
Water s non-contiguous Danskin service area.
United Water states that the areas it is proposing to serve are not within the
authorized territory of any other public utility water corporation under the jurisdiction of the
Commission and are covered by United Water s rules and regulations. The Application states
that there are no known public utilities, persons, or corporations with whom the expansion is
likely to compete, and the requested expansion would not interfere with the operation of any
other water utility. United Water proposes to provide service pursuant to its Tariff No.
General Metered Service, and in all respects will provide service pursuant to its Rules and
Regulations as approved by the Commission.
COMMENTS
A comment and a protest were submitted, along with Staff Comments. On December
, 2005 , the City of Nampa submitted a comment stating its position that private water systems
not be allowed in Nampa s impact area as such systems may create problems when such systems
are annexed.
On December 1 , 2005 , the City of Meridian filed a protest against the Application
stating that such changes in the Company s certificated boundary would result in interference
with the water distribution and delivery system currently under construction by Meridian and
that public convenience and necessity do not require the construction of a duplicate distribution
and delivery system by the Company. Meridian requested that a hearing be held in this matter.
In its filing, Meridian did not specify which parcels of land it protested.
Staff filed comments on this matter on December 6, 2005, outlining its analysis of
the Application and potential effect of the requested expansion. The Hidden Springs/Cartwright
Ranch expansion would take in the Cartwright Ranch property, which is adjacent to United
Water s existing service territory encompassing the Hidden Springs planned community (as
described in further detail in Exhibit H to the Application). The developers of Hidden Springs
anticipate building between 1 350 and 1 450 new homes on the Cartwright Ranch property, and
ORDER NO. 29941
have submitted a request to United Water for extension of water service into the area. Water
service facilities will be extended into the area pursuant to United Water s Rules and Regulations
governing extensions. These line extension rules require a contribution by the developer of the
full cost of the on-site and off-site facilities necessary to provide service. The rules also include
provisions to charge the developer for special facilities (such as booster pumps and storage
reservoirs) should they be necessary. Because of the developer contribution provisions under the
Company s line extension rules, Staff believes that all other existing ratepayers are not harmed.
Thus, Staff recommended approval of expansion of the Company s certificate to serve this area.
The Lexington Meadows subdivision expansion is west of McDermott Road and
south of Overland Road in Canyon County, Idaho (as described in further detail in Exhibit N to
the Application). It is adjacent to United Water s existing non-contiguous Belmont Heights
service area. The proposed expansion would encompass only the boundaries of the Lexington
Meadows subdivision, which consists of 26 building sites. Water service facilities will be
extended into the area pursuant to United Water s standard Water Main Extension Agreement.
The Lexington Meadows expansion area lies within the City of Nampa Area of
Impact as shown on Attachment D to comments prepared by Staff. However, the nearest Nampa
municipal water facilities are located along Happy Valley Road, approximately 112 miles west of
the proposed Lexington Meadows subdivision. The City of Nampa appears unlikely to extend
water service to this area for several years in the future; therefore, Staff recommended that
United Water be permitted to extend service to this area.
Staff recommended that United Water be granted approval to expand its certificated
area to include these two areas. Staff further recommended that the Commission direct the
Company to prepare and file an Amended Certificate No. 143 to include those expansion areas
approved by the Commission.
ADDITIONAL PLEADINGS
On December 7 , 2005, the Company filed a Motion to Approve Uncontested
Expansions, requesting the Commission s approval of the Application as to five of the parcels set
forth therein. On December 14 2005 , Meridian filed a Response to Motion to Approve, stating
that only the Hidden Springs/Cartwright Ranch and the Lexington Meadows subdivision areas
are not contested and that it believes that the Application should be approved as to these two
areas. The response further stated that the parties are negotiating as to the other parcels.
ORDER NO. 29941
COMMISSION FINDINGS
The Idaho Public Utilities Commission has jurisdiction over United Water Idaho Inc.,
its Application to amend and revise its Certificate of Public Convenience and Necessity, and the
issues involved in this case by virtue of Title 61 , Idaho Code, specifically Idaho Code 99 61-129
61-124 61-125 61-526, and the Commission s Rules of Procedure, IDAPA 31.01.01.000 et seq.
Idaho Code 9 61-526 addresses the expansion of a water utility s certificated area. It
states, in pertinent part, as follows:
No . . . water corporation shall henceforth begin the construction of. . . a line,
plant, or system or of any extension of such. . . line, plant, or system, without
having first obtained from the commission a certificate that the present or
future public convenience and necessity require or will require such
construction: provided, that this section shall not be construed to require such
corporation to secure such certificate for an extension within any city or
county, within which it shall have theretofore lawfully commenced operation
or for an extension into territory whether within or without a city or county,
contiguous to its. . . line, plant, or system, and not theretofore served by a
public utility of like character, or for an extension within or to territory
already served by it necessary in the ordinary course of its business: and
provided further, that if any public utility in constructing or extending its line
plant, or system, shall interfere or be about to interfere with the operation of
the line, plant or system of any other public utility already constructed, or if
public convenience and necessity does not require or will require such
construction or extension, the commission on complaint of the public utility
claiming to be injuriously affected, or on the commission s own motion, may,
after hearing, make such order and prescribe such terms and conditions for
the locating or type of the line, plant or system affected as to it may seem just
and reasonable. . .
We find that expansion of United Water s servIce territory as to the Hidden
Springs/Cartwright Ranch parcel and the Lexington Meadows Subdivision parcel will not
interfere or be about to interfere with the operation of the line, plant or system of any other
public utility already constructed, and that the present public convenience and necessity requires
such expansion.
ORDER
IT IS HEREBY ORDERED that United Water s Application to amend and revise its
Certificate of Public Convenience and Necessity as to the parcels of land located at Hidden
Springs/Cartwright Ranch and the Lexington Meadows subdivision is granted. The expanded
certificated boundary shall include these two areas, depicted on the map attached as Exhibit B to
ORDER NO. 29941
this Order. The Company is directed to prepare and file an Amended Certificate No. 143 to
include those expansion areas.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date of this Order with regard to any
matter decided in this Order. Within seven (7) days after any person has petitioned for
reconsideration, any other person may cross-petition for reconsideration. See Idaho Code 9 61-
626.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this .30
t1..
day of December 2005.
PA L KJELL. DER, PRESIDENT
MARSHA H. SMITH, COMMISSIONER
ATTEST:
ff'~~ RJe D. Jewell
Commission Secretary
O:UWI-05-cg2
ORDER NO. 29941
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EXHIBIT A
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CASE NO. UWI-O5-
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ORDER NO. 29941
CASE NO, UWI-O5-
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