20060407Decision memo.pdf

DECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
COMMISSIONER SMITH
COMMISSIONER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:WELDON STUTZMAN
DATE:APRIL 6, 2006
SUBJECT:CASE NO. UWI-06-
APPLICATION FOR AN ACCOUNTING
CONSERVATION PLANNING COSTS
ORDER FOR
On March 30, 2006, United Water Idaho Inc. filed an Application requesting an
accounting order authorizing the Company to defer and amortize costs associated with its
conservation planning effort. In the final Order issued in the last United Water rate case, the
Commission directed the Company to update its conservation plan. As a result, United Water
has retained a consultant to prepare an updated plan, at a price not to exceed $80 000. The
Company also estimates it will incur additional costs not to exceed $10 000 to complete the plan
revision. Accordingly, United Water asks the Commission to enter an Order authorizing the
Company to defer up to $90 000 in costs associated with the conservation plan to be recovered in
rates in a "current or future rate proceeding.The Company requested its Application be
processed by Modified Procedure.
Staff recommends the Application of United Water for an accounting order
authorizing the Company to defer costs associated with revising its conservation plan be
processed by Modified Procedure.
COMMISSION DECISION
Should the Application of United Water for an accounting order regarding its
conservation planning costs be processed by Modified Procedure?
t/~
Weldon B. Stutzman
M:UWI-O6-03 ws