20050609Application intervenor funding.pdf

William M. Eddie (ISB# 5800)
ADVOCATES FOR THE WEST
O. Box 1612
Boise, ID 83701
[phone]
fax: [phone]
billeddie~rmci.net
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IOt,HO PUBLIC
UTiLITIES COMMISSION
Express Mail:
1320 W. Franklin St.
Boise, ID 83702
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION
OF UNITED WATER IDAHO INC. FOR
AUTHORITY TO INCREASE ITS RATES
AND CHARGES FOR WATER SERVICE IN
THE STATE OF IDAHO
CASE NO.UWI - W -04-
APPLICATION FOR INTERVENOR FUNDING
Pursuant to Idaho Code 9 61-617 A and Rules of Procedure 161 through 165, Idaho
Rivers United ("IRU") hereby applies for intervenor funding in this matter in the amount of
288.49. This application is supported by the following Supporting Points and Authorities.
SUPPORTING POINTS AND AUTHORITIES
An award of intervenor funding to IRU is warranted under the criteria in Rule of
Procedure 165. IRU is a non-profit organization whose ability to participate in Commission
proceedings in a meaningful way is limited by their modest staff and financial resources.
IRU's involvement in this case contributed materially to the Commission s deliberations.
IRU, through the direct testimony of Don Wojcik, presented detailed and well-supported
IRU'S APPLICATION FOR INTERVENOR FUNDING --
proposals to establish an inverted block rate design and to establish increased conservation
program efforts for United Water Idaho ("UWI" or "the Company
IRU's filings differed materially from those submitted by Commission Staff in numerous
respects, as discussed in detail below. The issues addressed by IRU are of concern to the general
body of UWI customers. The following information and statements fulfill the requirements of
Rule of Procedure 162, and demonstrate that an award of intervenor funding is warranted:
Itemized list of expenses.
IRU incurred the following expenses in this matter:
Attorney fees for William M. Eddie in the amount of $5 302.00.
This amount reflects 48.2 hours at $110 per hour.
Expert witness fee of$1 350 for written testimony, work on
responses to discovery, attendance at technical hearing, and related services performed by
Don Wojcik.
Copying, postal, and long-distance telephone charges totaling $181.22.
Travel expenses (air fare, ground transport costs, and related costs)
totaling $455.27 incurred by Don Wojcik.
Subtotal of costs exclusive of attorney fees: $1 986.49
Total Fees and Costs: $ 7..288.49
Statement of proposed findings.
IRU proposes the Commission adopt the following findings with respect to the issues
presented by IRU in testimony and at hearing, as well as this Application:
Rate Design and Customer Charges: The Commission hereby orders
UWI to implement a two tier inverted block structure which will apply on a
year-round basis. Within each meter size category, the first lower-priced
block shall apply to all use below the average winter-time use for residential
IRU'S APPLICATION FOR INTERVENOR FUNDING -- 2
customers. All additional usage shall be priced at a rate approximately 25%
higher than the first block, which is consistent with the previous
winter/summer rate differential. Customer charges shall remain at current
levels. Within 30 days, UWI shall submit revised rates and rate proof, and
revised tariffs, to implement this Order.
The Commission 'will also open a new investigative docket to study the
establishment of additional rate blocks designed to send an appropriate
conservation message to customers. Intervenor Idaho Rivers United is
directed to submit an application to establish such docket within the next 60
days.
Monthly billing: The Commission hereby orders UWI to implement
monthly billing.
Conservation Programs: UWI is hereby ordered to prepare a
comprehensive conservation plan and file such plan with the Commission
no later than December 15 2005. The plan shall include recommendations
for implementation of conservatIon programs, including rebate and retrofit
incentives for water-saving devices, landscaping, or other measures; the
plan shall also evaluate educational programs on water conservation, as well
as the potential to work with the City of Boise or other entities toward the
establishment of water-saving regulatory measures. The plan shall also
evaluate and recommend to the Commission appropriate means of funding
such programs.
Intervenor Funding: IRU's presentation of witness Don Wojcik and
participation at hearing materially contributed to the Commission s decision
in this matter. We find that IRU's requested award of attorney fees and
costs are reasonable in amount, and that the costs of intervention constituted
a significant hardship for IRU. IRU's recommendations and presentations
in this matter differed materially from the testimony and exhibits presented
by Staff with respect to the issues listed above. IRU addressed issues of
concern both to the general body of UWI customers , and to the residential
class of customers. Therefore, pursuant to Rules of Procedure 161 through
165, the Commission hereby awards intervenor funding to IRU in the
amount of $7 288.49.
Statement showing costs are reasonable.
The costs for which recovery is requested are reasonable. First, with respect to
attorney fees, IRU seeks recovery at an hourly rate of$110 per hour for Mr. Eddie s time.
This rate is well below the range of rates charged by other attorneys of similar experience
IRU'S APPLICATION FOR INTERVENOR FUNDING -- 3
practicing in a spe~ialized area of law. In the recent Idaho Power general rate case, the
CommissIon granted substantially all ofNW Energy Coalition s request for intervenor
funding, which included a request for compensation for Mr. Eddie s time at this rate. See
Order No. 29505. In other natural resources matters, Mr. Eddie typically bills his time at
$175 per hour and higher.
Mr. Eddie carefully reviewed his time sheets in this case and redacted hours that
were arguably duplicative or otherwise unnecessary. Mr. Eddie expended a total of 65.3
hours in this matter, but after redactions, IRU is seeking compensation for only 48.2 hours
of his time. Thus IRU seeks an attorney fee recovery of $5 302.00 for Mr. Eddie s time.
These hours were reasonably necessary for Intervenor s participation in this matter.
Timesheets can be provided upon request.
The requested award to compensate for witness Don Wojcik's expert services is also
reasonable. Mr. Wojcik billed his time at a rate of only $45 per hour - well below
prevailing market rates for expert services of virtually any type. Receipts for Mr. Wojcik'
travel costs can be provided upon request.
Explanation of cost statement.
Payment of the requested costs would constitute a financial hardship for IRU. IRU is a
non-profit organization with an annual budget of approximately $500 000. With these limited
resources to pay the salaries of 6.5 FTE-equivalent staff, plus overhead, IRU seeks to influence
water quantity and quality policymaking throughout Idaho, and also is a leading participant in
campaigns to restore salmon and steelhead in the Pacific Northwest. IRU would not be able to
pay the attorney fees and other costs incurred in this matter without suffering financial hardship.
Statement of difference.
IRU'S APPLICATION FOR INTERVENOR FUNDING -- 4
IRU's participation in this matter differed materially from Commission Staffs with
respect to both discussion of issues and specific recommendations.
First, IRU presented Don Wojcik's testimony advocating for UWI to increase its
conservation programs, including by updating or replacing the Company s current 1993
conservation plan. This testimony was unique among all parties. In his rebuttal testimony, UWI
witness Greg Wyatt substantially agreed with this request, stating: "The Company believes it
should undertake the task of procuring an outside consulting firm to assist in developing a new
comprehensive conservation plan, with the final plan and recommendations being submitted to
the Commission for review." Wyatt Rebuttal at 18, lines 2-
Second, Mr. Wojcik requested the Commission adopt a multi-tier inverted block rate
structure and presented an in-depth discussion of this issue. This request was unique and
included substantially more supporting analysis and information than provided by other parties.
Staff witness Rick Sterling s testimony included a relatively brief discussion of inverted block
rate design by comparison.
Mr. Wojcik's analysis of both issues noted above included reviews of relevant literature
and studies, independent analysis of the policy considerations surrounding this issue, and
comparison to other jurisdictions, thus providing substantial support for his position on each
Issue.
Statement of recommendation.
The recommendations reflected in the testimony of Don Wojcik in this matter are of
concern to the general body of UWI customers. Although primarily focused on the residential
class, Mr. Wojcik's conservation planning and rate design recommendations would likely
IRU'S APPLICATION FOR INTERVENOR FUNDING -- 5
contribute to improved conservation of water in UWI's service territory, to the benefit of all
customers.
Statement of class.
As noted above, IRU's participation concerned the general body of rate payers and the
residential class in particular. IRU's membership includes residential and commercial customers
of UWI, and thus represents interests applicable to the general body of rate payers.
CONCLUSION
IRU respectfully requests that the foregoing Application for Award of Intervenor
Funding be granted, and that $7 288.49 be paid to Advocates for the West, attorneys for
Intervenor.
Dated: June 9, 2005 Respectfully submitted
J,J
illiam M. Eddie
Advocates for the West
On behalf of Idaho Rivers United
IRU'S APPLICATION FOR INTERVENOR FUNDING -- 6