20240723Decision Memo.pdf

DECISION MEMORANDUM
TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM: ADAM TRIPLETT
DEPUTY ATTORNEY GENERAL
DATE: JULY 23, 2024
SUBJECT: INVESTIGATION INTO DRY CREEK WATER COMPANY, LLC,
OWNER OF A WATER SUPPLY AND DISTRIBUTION SYSTEM; CASE
NO. DRY-W-24-01.
Dry Creek Water Company, LLC ("Company"), is an Idaho limited liability company
that owns a water distribution system located north-west of Boise. The Company provides water
to the Dry Creek Ranch community, and as of December 2023, serves 381 connections. When
fully built out, the system is projected to serve significantly more connections. The Company is
not currently regulated by the Idaho Public Utilities Commission ("Commission") and does not
possess a Certificate of Public Convenience and Necessity ("CPCN").
On May 24, 2024, the Commission issued a Notice of Investigation, opening this case to
formally investigate whether the Company should be regulated as a public utility under the Idaho
Code. Order No. 36195. Order No. 36195 directed Commission Staff("Staff') to investigate the
status of the Company and then file written comments recommending any further actions. Order
No. 36195 established a deadline of June 12, 2024, for public comments and a deadline of June
26, 2024, for the Company to file reply comments. Staff filed comments recommending the
Commission issue the Company a CPCN and other steps to comply with Idaho law. The
Company replied, arguing it was not subject to regulation.
On July 17, 2024, the Commission issued an order amending Order No. 36195 to extend
the deadline for filing reply comments to July 24, 2024. Order No. 36268. Since then, the
counsel for the Company and Staff have been communicating to address the issues raised in
Staff s comments. However, an in-person meeting between Staff and Company representatives
DECISION MEMORANDUM 1

could not be held until July 22, 2024. Although this meeting was productive, the Company
requires additional time to coordinate with its financial partners if it is to implement the potential
solutions discussed.
On July 23, 2024, the Company filed an expedited motion to extend the reply comment
deadline by an additional 60 days, with a check-in with Staff occurring within 30 days.' The
Company represents that this extension will provide it sufficient time to take steps to resolve this
matter and to submit evidence to Staff that those steps have been completed.
STAFF RECOMMENDATION
Staff does not oppose the Company's request for an additional 60 days to file reply
comments, with a check-in with Staff occurring within 30 days, thereby establishing a new reply
comment deadline of September 22, 2024, a check-in with Staff occurring no later than August
23, 2024.
COMMISSION DECISION
Does the Commission wish to grant the Company's request for an additional 60 days to
file reply comments, with a check-in with Staff occurring within 30 days, thereby establishing a
new reply comment deadline of September 22, 2024, a check-in with Staff occurring no later
than August 23, 2024?
Adam Triplett
Deputy Attorney General
I:U.egal\WATER\DRY-W-24-01\memos\DRY W2401_dec3_at.doc
1 The Company's motion asks the Commission to grant expedited procedural relief, but it did not specifically
indicate that all the requirements of Commission Rule of Procedure 256 were satisfied. However, the Company's
counsel did contact counsel for Staff, indicating that it intended to file the motion for an extension. Although two
business days will not have passed since before the Commission would hear the Company's request, the Staff(the
only other party to this case)has indicated that it does not oppose the requested extension. This may constitute good
cause to rule on the Company's motion without permitting Staff two days to state a position on the request.
Additionally, allowing the Company additional time to implement a solution to this matter without further
Commission action may be in the public interest.
DECISION MEMORANDUM 2