20230913Final_Order_No_35922.pdf

ORDER NO. 35922 1
Service Date
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF VEOLIA WATER IDAHO, INC.’S APPLICATION FOR APPROVAL OF INTERCONNECTION
AGREEMENT WITH THE CITY OF MERIDIAN
) )
) )

ORDER NO. 35922
On May 17, 2023, Veolia Water Idaho, Inc. (“Company”), filed an application
(“Application”) with the Idaho Public Utilities Commission (“Commission”) requesting approval
of an Interconnection Agreement for Emergency Use (“Agreement”) between the Company and
the City of Meridian (“Meridian”). On June 13, 2023, the Commission issued a Notice of
Application and Notice of Modified Procedure. Order No. 35812.
The Company represented that the Company and Meridian have considered
interconnecting their two systems to provide, among other things, an emergency water supply.
Application at 2. The Company represented that in July 2022, the Company and Meridian entered
into the Agreement and that after executing it, Meridian drafted construction plans that would
facilitate the interconnection, and that the Idaho Department of Environmental Quality approved
the construction plans in August 2022. Id.
The Company represented that Meridian intends to construct its portion of the
interconnection in conjunction with an Ada County Highway District (“ACHD”) project known
as ACHD Project No. 915001.004. Id.
The Company stated that interconnecting the two systems will benefit both parties by,
among other things, providing a backup source of water in the event of an emergency experienced
by either system. Id.
The Company represented that under the Agreement, the Company will construct, at its
sole cost and expense, the necessary facilities on the portion of the system owned by the Company,
and Meridian will do the same for the portion of the system owned by Meridian. Id. The Company
stated that Meridian will pay most of the interconnection costs since Meridian requested the
interconnection. Id. at 3.
The Company represented that Meridian would construct its interconnection facilities first,
and the Company may construct its portion of the interconnection facilities within twelve months
after the construction of Meridian’s interconnection facilities is complete. Id.
ORDER NO. 35922 2
The Company represented that under the Agreement, the parties are obligated to deliver,
sell, receive, and purchase water on a short-term basis, not to exceed three months, during
emergency events. Id. However, neither party will be obligated to provide water if the party
determines that supplying water will impair its ability to adequately serve its own customers. Id.
The Company represented that the Agreement sets forth additional details, including charging and
billing procedures, requirements for water quantity, quality, and pressure, and others. Id.
STAFF COMMENTS
Staff reviewed the Company’s Application and responses to discovery requests. Staff
recommended that the Commission approve the Agreement. Staff believed the interconnection will
provide an increase in reliability benefits at a cost well below other alternatives and with less risk.
Staff believed the cost to customers for the additional amount of reliability provided by the
interconnection is cost-effective when compared to other alternatives for additional reliability
reserves. Staff also assessed other risks to the Company’s customers and believed that the risks
were minimal when considering potential load impact by Meridian’s use of the interconnection;
potential for water cross-contamination between the two systems; and the potential for financial
loss.
COMPANY REPLY COMMENTS
The Company did not submit any reply comments.
PUBLIC COMMENTS
The Commission received two (2) public comments, both in support of the Application.
COMMISSION FINDINGS AND DECISION
Veolia is a water corporation and a public utility, as defined under Title 61 of the Idaho
Code, and provides water service to the public in Idaho. Idaho Code §§ 61-125, and -129. The
Commission has jurisdiction over the Company and this matter under Idaho Code §§ 61-501, -
502, -503, -507, -520, -523, and -622.
Having reviewed the Application, all submitted comments, and all submitted materials, the
Commission finds it fair, just, and reasonable to approve the Application.
ORDER
IT IS HEREBY ORDERED that the Application is approved.
THIS IS A FINAL ORDER. Any person interested in this Order may petition for
reconsideration within twenty-one (21) days of the service date upon this Order regarding any
ORDER NO. 35922 3
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 §§ 61-
626.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 13th day of
September 2023.

ERIC ANDERSON, PRESIDENT

JOHN R. HAMMOND JR., COMMISSIONER

EDWARD LODGE, COMMISSIONER
ATTEST:
Jan Noriyuki
Commission Secretary
I:\Legal\WATER\VEO-W-23-02_Meridian\orders\VEOW2302_FO_cb.docx