20241009Application (Redacted).pdf

RECEIVED
Tuesday, October 08, 2024
IDAHO PUBLIC
UTILITIES COMMISSION
Case No: PLW-W-24-01
Stephen F.Smith, SMITH &MCOWEN Sarah B.McOwen,
of Counsel ATTORNEYS AT LAW,CHTD. Principal
[e-mail] 102 SUPERIOR STREET [e-mail]
P.O.BOX C
SANDPOINT,ID 83864
Lawyers practicing TELEPHONE: [phone] Serving Idaho and
at the intersection of FACSIMILE: [phone] California
First and Superior smithmcowenlaw.com
October 8, 2024
Commission Secretary
Idaho Public Utilities Commission
11331 W. Chinden Blvd.
Bldg. 8 Ste. 201-A
Boise, ID 83714
[sent by certified mail and email to [e-mail]]
Re: Priest Lake Water LLC/Application for Certificate of Public Convenience and Necessity
Dear Commission Secretary,
An Application for Certificate of Public Convenience and Necessity (the "Certificate
Application") is enclosed, together with the required supplemental information, for the water
system owned by Priest Lake Water LLC (the "Company").
The water system (the "Water System") has the following contact information:
Priest Lake Water LLC, Jared Horlacher, Owner
279 Tracy Lane
Priest Lake, ID 83856
509-993-7013
[e-mail]
The Water System will supply water to a 113-lot subdivision in Bonner County, Idaho. Water
will be provided for purposes in accordance with permits number 97-7368 and 97-9802 issued
by the Idaho Department of Water Resources, including in-home potable purposes, commercial
purposes, lawn irrigation, and fire protection. The Water System is located in Marvin Estates,
Idaho at 279 Tracy Lane, Priest Lake, Idaho.
Included with this Certificate Application are the following appendices with reference to the
numerical item in the application to which it is associated:
Question 1 Appendix 1 Company Operating Agreement
Question 2 Appendix 2A Plat

Commission Secretary, IPUC
Page 2 of 2
October 8, 2024
Question 2 Appendix 2B Map
Question 3 Appendix 3 Map
Question 4 Appendix 4 DEQ Sanitary Survey, Cross Connection Control Policy
Question 5 Appendix 5A Water Right License No. 97-7368
Question 5 Appendix 513 Permit to Appropriate Water No. 97-9802
Question 6 Appendix 6 Certificate of Drinking Water Distribution Operator
Question 7 Appendix 7A Profit& Loss for 2021, 2022 and 2023.
Question 7 Appendix 7B Annual Maintenance Costs
Question 7 Appendix 7C Statement Regarding Financing of Upgrades
Question 7 Appendix 8 Expected annual revenue
Question 8 Appendix 14 Facility Plan
Question I 1 Appendix 9 Monthly Metered Amount of Water
Question 14 Appendix 10 Rate Structure
Question 15 Appendix 11 Additional Charges and Fees
Question 16 Appendix 12 Copy of Notice
Question 13 Appendix 13A Bill Statement
Question 13 Appendix 13B Reminder Notice-Termination of Service
Question 13 Appendix13C Final Notice - Termination of Service
Question 13 Appendix 13D Annual Rules Summary
Question 13 Appendix 13E Company Tariff
Question 13 Appendix 13F Company Main Extension Rules
The current monthly rate is Thirty-Seven and no 00/100 Dollars($37.00). The Company has
determined that, in order to reflect the actual costs of operating this water company, a rate
increase to at least Ninety-Eight and no 00/100 Dollars ($98.00) for residential use and a new
rate of at least One Hundred and no 00/100 Dollars ($100.00) for commercial use are needed,
as outlined in Appendix 8 of this Certificate Application. Therefore, by this Certificate
Application, the Company respectfully requests that the Commission approve increased rates
of at least these amounts, to be effective December 1, 2024.
The Company also respectfully requests a determination as to whether the Company falls under
the Commission's regulatory jurisdiction and that the Commission issue a Certificate of Public
Convenience and Necessity (CPCN) authorizing the Company to operate as a public utility in
the state of Idaho in the certificated area encompassing the service area identified above.
Thank you.
Sincerely,Jaxo�ZOaKO
Sarah B. McOwen
Smith&McOwen, Attorneys at Law
Enclosures: CPCN Application(3)
cc: Jared Horlacher, Owner, Priest Lake Water LLC

Application for Certificate of Public Convenience and Necessity
1. State the Name, Address and Form of Business, and include the following:
a. Name of small water company (SWC): Priest Lake Water, LLC, organized in
Idaho
b. Business organization: LLC
c. Copy of Certificate of Organization: See Appendix 1: Company Certificate of
Organization
d. Copy Company Operating Agreement: See Appendix 1.
e. Business mailing address: 279 Tracy Lane, Priest Lake, Idaho 83856
2. Attach a geographical map and a legal description reflecting the boundaries for
the certificated area to be served, both in portable document format("PDF").
The legal description should be provided using one, or a combination of the
following preferred formats: (1)rectangular survey, (2)metes and bounds,
and/or(3) lot and block. If the legal description using any of these formats
references a platted property, please provide a copy of the recorded platted
property from the county recorder's office, including the plat map and
legal/property description.
The legal description of the subdivision is 36-60W-5W Marvin Estates
See Appendix 2A: Plat
See Appendix 213: Map—Please note that this map shows seven parcels
that have a water connection,but are not reflected on the Plat. These seven
parcels are denoted by blue polygons on the Map. Permit No. 97-9802 from the
Idaho Department of Water Resources includes those seven parcels.
3. Include a map, in PDF, or the water system that identifies the location of wells,
reservoirs, water lines, booster pumps, valves, etc. If applicable, outline names of
other water utilities near the requested service area and if there are any
interconnection agreements in place.
There are no interconnection agreements in place.
See Appendix 3: Map
4. Attach a copy of Idaho Department of Environmental Quality ("DEQ") water system
approval letter, its most recent sanitary survey, and/or any correspondence.
See Appendix 4: DEQ Sanitary Survey and Cross Connection Control Policy
5. A copy of all water right licenses or permits.
See Appendix 5A: Water Right License No. 97-7368
See Appendix 513: Permit to Appropriate Water No. 97-9802
6. Provide the name of the certified water operator with their certificate number.
See Appendix 6: Certificate of Drinking Water Distribution Operator Number
DWDVSWS-26354
7. Financial Information;
a. Attach a copy of the water company's prior year financial statements, such as an

income statement, balance sheet, or a profit and loss statement.
See Appendix 7A Profit& Loss for 2021 and 2022.
See Appendix 7B Annual Maintenance Costs
See Appendix 7C Statement Regarding Financing of Upgrades
b. Expected annual revenue with anticipated monthly water rates and other charges;
See Appendix 8
c. If new water company and no financial history, provide a budget with expected
costs to operate, monthly water rates, and other charges. N/A
8. Does the Company have a facility plan? If so, please provide a copy.
See Appendix 14 (numbering is out of order, due to editing logistics)
9. Provide a thorough and complete description of the system. This should include any
known deficiencies that need to be addressed to maintain system integrity and to
support growth.
The Company provides drinking water for a small community. The water system
is licensed for 113 lots. There are currently 72 connections with paying
customers. In order to maintain system integrity and to support growth, the
following deficiencies need to be addressed:
- The system infrastructure is nearly 30 years old.
- Regarding the 120,000 gallon concrete tank
o it is in need of cleaning, inside and out;
o the concrete on the exterior is deteriorating; and
o the concrete needs to be patched, sealed, and coated.
- The submersible well pumps are hearing 30 years of service.
- The system needs a backup generator.
- The well lot and pump house need tree removal and security fencing.
- The original developer of the water system did not install corporation stops
on the main line service saddles.
- The original developer of the water system used homeowner grade ball
valves, instead of the proper Ford-style curb stops.
- All service valves are failing and leaking over time.
- Water meters were originally installed without proper meter settlers and
backflow double checks.
- The Company operator is in the process of upgrading all service valves and
meters with up-to-date equipment and backflow prevention.
- The Company operator would like to invest in modern technology to monitor
its water and in transducers to measure water tank levels, temperatures, and
well levels, etc.
- The Company operator would like to invest in a structure to store pipe,
fittings, and other materials.

10. If available, provide the following information for the Company's major equipment:
a. Size and material of distribution piping;
-8" & 6"—2+miles—C900 P.U.C.
-Gravity pressure system
b. Make, model, and capacity limit of storage tanks/reservoir, whether pressurized
or unpressurized;
-Concrete water tank holding 120,000 gallons, unpressurized
c. Make, model, and rating of each booster pump and motor;
-None
d. Make, model, and rating of each well pump and motor;
-Wells—2 8"wells at 200' depth
-Pumps—2 submersible 10 hp. Fairbanks.
-Pump house— 10'x 16' heated.
e. Make, model, and capacity of all water treatment equipment;
-None
f. Year, make, model and capacity for a backup generator. Does it have an
automatic transfer switch?
-None
11. Provide the monthly metered amount of water(in gallons)pumped from each water
source, for the past three year. If available,provide it in Microsoft Excel format.
See Appendix 9
12. Provide any customer complaints received from customers regarding low water
pressure, interruption of service, or poor water quality over the past three years.
None.
13. Regarding the water system connections,please provide:
a. Total connections currently receiving water, and identify how many are either
residential, commercial, or other;
Number of Residential accounts: 72
Number of Commercial accounts: 0
b. Additional connections the water system can provide water to. This could
include vacant lots without service connections; and

Number of Additional Accounts: 41 (including
30 residential/commercial pursuant to Permit
No. 97-9802)
c. If empty/vacant lot, are there meter pits or water service connection at the
property easement?Yes, but these need to be replaced(see response to
question 9).
14. Provide a copy of the current rate structure in proper tariff format, and, if available, a
worksheet in Microsoft Excel format, of how it was calculated. If applicable, provide
the prior rates and charges if changed within the past three year.
Note: Rate structures vary between a flat-monthly charge to a basic charge
with volumetric rates with allotted water amount at various block tiers. Rate
structures could include charges by meter size and/or type of customer, i.e.
residential or commercial. Lastly,rate structures may include seasonal rates
such as summer and winter rates.
See Appendix 10
15. Provide any additional charges and fees, such as hookup charges, reconnection fees,
late fees, etc.
See Appendix 11
16. It is required to inform your customers (if any) of the CPCN application. Provide a
copy of a notice that is brief and describes the service area and current rates (upon
request a sample can be provided). It should include the Commission's contact
information:
Idaho Public Utilities Commission PO Box
83720
Boise, Idaho 83720-0074.
[phone]
See Appendix 12
17. Attach samples of the following (upon request samples can be provided):
a. Bill statement- See Appendix 13A
b. Reminder Notice-Termination of Service - See Appendix 13B
c. Final Notice - Termination of Service - See Appendix 13C
d. Annual Rules Summary- See Appendix 13D
e. Company Tariff—including General Rules and Regulations(see Model Tariff
2008) - See Appendix 13E
f. Company Main Extension Rules—(see Model Uniform Main Extension Rule of
Water Utilities 2009) - See Appendix 13F

Appendix 1
Company Certificate of Organization
Company Operating Agreement

0003999610 'I
STATE OF IDAHO 0
For Office Use Only ro
.� Office of the secretaryofstate, Lawerence Denney w
CERTIFICATE OF ORGANIZATION LIMITED LIABILITY -FILED- u,
COMPANY 0
klaho sepet7lyOf She File#:0003999610 1.0
POBohp720
8372DOM Date Flied:91912020 8:33:58 AM 0
[phone] 1.0
Filing Fee:$100.00
N
0
N
Certificate of OrganiZalion Limited Liability Company 0
Select one: Standard, Expedited or Same Day Service(see Standard(filing fee$100) ro
descriptions below) 00
1.Limited Liability Company Name ro
ro
Type of Limited Liability Company Limited Liability Company
Entity name Priest Lake Water L.L.C.
2_The complete street address of the principal office is:
Principal Office Address 204 COURTLEN CT,
PRIEST LAKE, ID 83856-9825 0
3.The mailing address of the principal office is: (D
Mailing Address 204 COURTLEN C T q
PRIEST LAKE, ID 83856-9222
4.Registered Agent Name and Address Q..
Registered Agent JARED HORLACHER A
Registered Agent
Physical Address H
204 COURTLEN CT ;)
PRIEST LAKE, ID 83856
Malling AddreSS �)
204 COURTL.EN CT n
PRIEST RIVER,ID 83856 H
1811 affirm that the registered agent appointed has consented to serve as registered egent for this entity. R
Qa
5.Govemors i.H
Name Address
0
Jared L Horlacher 204 COURTLEN CT. 1 T
PRIEST LAKE, ID 83856
rt
Signature CfOrganizer. Q1
rt
P
Jared Horlacher 0910912020 t_.
Sign Here Date Ql
I
H
i'
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Page l o f l

Limited Liability Company Agreement of
Priest Lake Water L.L.C.
A Single Member Limited Liability Company
THIS OPERATING AGREEMENT (this "Agreement") of Priest Lake Water L.L.C., (the
"Company"), is executed and agreed to, for good and valuable consideration,by the
undersigned members (the "Member").
I. Formation.
A. State o f Formation This is a J:.,imited Liability Company Operating Agreement (the
"Agreement") for Priest Lake Water L.L.C., a Member-managed Idaho.single member
limited liability company (the "Company") formed under and pursuant to Idaho law.
B. Operating Agreement Controls . To the extent that the rights or obligations o f the
Members or the Company under provisions o f this Operating Agreement differ from what
they.would be under Idaho law absent such a provision,this Agreement,to the extent
permitted under Idaho law, shall control.
C. Primary Business Address . The location o f the primary place o f business o f the Company
is:
279 Tracy Ln., Priest Lake, Idaho 83856, or such other location as shall be selected from
time to time by the Member.
D. Registered Agent and Office . The Company's initial agent (the "Agent") for service of
process is Jared Horlacher. The Agent's registered office is 204 Courtlen Ct., Priest Lake,
Idaho 83856. The Company may change its registered office, its registered agent, or both,
upon filing a statement with the Idaho Secretary of State.
E. No State Law Partnership .No provisions o f this Agreement shall be deemed or construed
to constitute a partnership (including,without limitation, a limited partnership) or joint
venture, or any Member a partner or joint venturer of or with any other Member, for any
purposes other than federal and state tax purposes.
IL Purposes and Powers.
A. :fw:Pose .The Company.is created for the following business purpose:
Priest Lake Water L.L.C. services water to a number o f homes and properties in the Priest
Lake community.

B. Powers. the Company shall have all of the powers ofalimited liabilitl" company set forth
under Idaho law.
C Duration The Companys term shall commence upon the filing o f an Articles of
Organization and all other such necessary materials with the state o f Idaho. The Company
will operate until terminated as outlined in this Agreement unless:
L The Member votes to dissolve the Company;
2. No Member o f the Company exists, unless the business o f the Company is
continued in a manner permitted by Idaho law;
3. It becomes unlawful for either the Member or the Company tD continue in business;
4. A judicial decree is entered that dissolves the Company, Or
5. Any other event results in the dissolution o f the Company under federal or Idaho
law.
Ell. Member.
A. The Member The sole member o f Priest Lake Water L.L.C. at the time of adoption o f this
Agreement is Jared Horlacher (the "Member').
B. Initial Contribution. The Member shall make an Initial Contribution to the Company. The
Initial Contributions shall be as described in Attachment A, Initial Contributions of the
Member. --
No Member shall be entitled to interest on their Initial Contribution. Except as expressly
provided by this Agreement, or as required by law, no Member shall have any right to
demand or receive the return o f their Initial Contribution.
C Limited Liability o fthe Member . Except as otherwise provided for in this Agreement or
otherwise required by Idaho law, no Member shall be personally liable for any acts, debts,
liabilities or obligations o f the Company beyond their respective Initial Contribution. The
Member shall look solely to the Company property for the return o f their Initial
Contribution, or value thereof, and i f the Company property remaining after payment or
discharge o f the debts, liabilities or obligations o f the Company is insufficient to return

such Initial Contributions, or value thereof, no Member shall have any recourse against
any other Member, if any other Member exists, except as is expressly provided for by this
Agreement.
D. Creation or Substitution ofNew Members .Any Member may assign in whole or in part
its Membership Interest only with the prior written consent of all Members.
1. Entire transfer .I f a Member transfers all o f its Membership Interest, the transferee
shall be admitted to the Company as a substitute Member upon its execution of an
instrument signifying its agreement to be bound by the terms and conditions ofthis
Agreement. Such admission shall be deemed effective immediatelyupon the
transfer, and, simultaneously, the transferor Member shall cease to be a Member of
the Company and shall have no further rights or obligations under this Agreement.
2. Partial transfer .I f a Member transfers only a portion of its Membership Interest,
the transferee shall be admitted to the Company as an additional Member upon its
execution o fan instrument signifying its agreement to be bound by the terms and
conditions o f this Agreement.
3. Whether a substitute Member or an additional Member, absent the written consent
of all existing Members ofthe Company, the transferee shall be a limited Member
and possess only the percentage ofthe monetary rights ofthe transferor Member
that was transferred without any voting power as a Member in the Company.
E. Member Voting .
1. Votingpower .In the event that the Company has multiple Members
simultaneously, the Company's Members shall each have voting power equal to its
share ofMembership Interest in the Company.
F. Member's Duties .The Member shall cause the Company to do or cause to b done all
things necessary to preserve and keep in full force and effect its existence, rights (charter
and statutozy) and franchises. The Members also shall cause the Company to:
1. Maintain its own books, records, accounts, financial statements, stationery,
invoices, checks and other limited liability company documents and bank accounts
separate from any other person;
2. At all times hold itselfout as being a legal entity separate from the Member and any
other person and conduct its business in its own name;

3. File its own tax returns, if any, as may be required under applicable law, and pay
any taxes required to be paid under applicable law;
4. Not commingle its assets with assets o f the.Member or any other person, and
separately identify, maintain and segregate all Company assets;
5. Pay its own liabilities only out of its own funds, except with respect to
organizational expenses;
6. Maintain an arm's length relationship with the Member, and, with respect to all
business transactions entered into by the Company with the Member, require.that_
the terms and conditions o f such transactions (including the terms relating to the
amounts paid thereunder) are the same as would be generally available in
comparable business transactions if such transactions were with a person that was
not a Member;
7. Pay the salaries of its own employees, if any, out of its own funds and maintain a
sufficient number o f employees in light o f its contemplated business operations;
8. Allocate fairly and reasonably any overhead for shared office space;
9. Not pledge its assets for the benefit of any other person or make any loans or
advances to any person;
10. Correct any known misunderstanding regarding its separate identity;
11. Maintain adequate capital in light of its contemplated business purposes;
12. Cause the Member to meet or act pursuant to written consent and keep minutes of
such meetings and actions and observe all other Idaho limited liability company
formalities;
13. Make any permitted investments directly or through brokers engaged and paid by
the Company or its agents;
14. Not require any obligations or securities o f the Member; and
15. Observe all other limited liability formalities.
Failure o f the Member to comply with any o f the foregoing covenants shall not affect the

status ofthe Company as a separate legal entity or the limited liability ofthe Member.
G Fiduciary Duties ofthe Members.
I. Loyalty and Care Except to the extent otherwise provided herein, the Member shall
have a fiduciary duty of loyalty and care similar to that o f members of limited
liability companies organized under the laws o f Idaho.
2. Competition with the Company. The Member shall refrain from dealing with the
Company in the conduct o f the Company's business as or on behalf of a party
having an interest adverse to the Company. The Member shall refrain from
competing with the Company in the conduct ofthe Company's business.
3. Duties Only to the Company. The Member's fiduciary duties of loyalty and care are
to the Company and not to any future Members or Officers. The Member shall owe
fiduciary duties of disclosure, good faith and fair dealing to the Company,but shall
owe no such duties to Officers and to the other Members. A Member who so
performs their duties- shall not have any liability by reason ofbeing or having been
a Member.
4. Reliance on Reports. In discharging the Member's duties, the Member is entitled to
rely on information, opinions, reports, or statements, including financial statements
and other :financial data, i fprepared or presented by any o fthe following:
i One or more other Members, in the event that the Company has multiple
Members, Officers, or employees ofthe Company whom the Member
reasonably believes to be reliable and competent in the matters presented.
ii. Legal counsel, public accountants, or other persons as to matters the Member
reasonably believes are within the persons'professional or expert competence.
iii. In the event that the Company has multiple Members, a committee o f Members
o f which the affected Member is not a participant, i f the Member reasonably
believes the committee merits confidence.
IV. Accounting and Distributions,
A. Fiscal Year. The Company's fiscal year shall end on the last day,o fDecember.
B. Distributions .Distributions shall be issued, as directed by the Company's Treasurer or
Assistant Treasurer, on a quarterly basis, based upon the Company's fiscal year. The

distribution shall not exceed the remaining net cash o f the Company after making
appropriate provisions for the Company's ongoing and anticipatable liabilities and
expenses. Each Member shall receive a percentage o f the overall distribution that matches
that Member's percentage o f Membership Interest in the Company.
V. Tax Treatment Election.
A. Tax Designation . The Company has not filed with the Internal Revenue Service for
treatment as a corporation. Instead, the Company will be taxed as a pass-through
organization. The Member may elect for the Company to be treated as a C-Corporation or
a S-Corporation at any time.
VI. Officers.
A. Appointment and Titles o f Officers. The Officers o f the Company shall be appointed by
the Member and shall consist o fat least a Chainnan, a Secretary and a Treasurer. The
Member may also choose one or more President,Vice-President,Assistant Secretaries and
Assistant Treasurers. Any number of offices may be held by the same person, as permitted
by Idaho law. The Member may appoint such other Officers and agents as the Member
shall deem necessary or advisable who shall hold their offices for such terms and shall
exercise such powers and perform such duties as shall be determined from time to time by
the Member. The officers and agents o fthe Company shall hold office until their
successors are chosen and qualified.Any Officer appointed by Member may be
removed at any time,with or without cause,by the Member, or if there are multiple
Members, an affirmative vote o f a majority o fthe Members. Any vacancy occurring in any
office o fthe Company shall be filled by the Member. Unless the Member decides
otherwise, i f the title o f an Officer is one commonly used for officers o f a limited liability
company formed under Idaho law, the assignment o f such title shall constitute the
delegation to such person o f the authorities and duties that are normally`associated with
that office.
L Chairman . The Chairman shall be the chief executive officer o f the Company,
shall be responsible for the general and active management o f the business o f the
Company and shall see that all orders and resolutions of the Members are carried
into effect. The Chairman shall execute all contracts on behalf of the Company,
except:
i. where required or permitted by law or this Agreement to be otherwise signed
and executed;
ii. where signing and execution thereof shall be expressly delegated by the
Member to some other Officer or agent o f the Company.

2. President In the absence o f the Chairman or in the event of the Chairmari s inability
to act, the President shall perfomi the duties of the Chairman, and when so acting,
shall have all the powers o f and be subject to all the restrictions upon the Chairman.
The President shall perform such other duties and have such other powers as the
Member may from time to time prescribe,
3. Vice Presidents. In the absence of the Chairman and President or in the event of
their inability to act, any Vice-Presidents in the order designated by the Member (or,
in the absence o f any designation, in the order o f their appointment by the Member)
shall perform the duties of the Chairman, and when so acting, shall have all the
powers of and be subject to all the restrictions upon the Chairman. Vice-Presidents, if
any, shall perform such other duties and have such other powers as the Member may
from time to time prescribe.
4 Secretary andAssistant Secretary . The Secretary shall be responsible for filing legal
documents and maintaining records for the Company. The Secretary shall attend and
record all the proceedings o f the meetings o f the Company and o f the Member in a
book to be kept for that purpose. The Secretary shall perform such other duties as
may be prescribed by the Member cr the Chairman, under whose supervision the
Secretary shall serve. 'Ilse Secretary shall cause tD be prepared such reports-and/or
information as the Company is required to prepare by applicable law, other than
financial reports. The Assistant Secretary,or i f there be more than one,the Assistant
Secretaries in the order determined by the Member (cr i f there be no such
determination, then in order o f their appointment by the Member), shall, in the
absence o f the Secretary cr in the event o f the Secretary's inability to act, perform the
duties and exercise the powers o f the Secretary and shall perform such other duties
and have such other powers as the Member may from time to time prescribe.
S Treasurer andAssistant Treasurer. The Treasurer shall have the custody o fthe
Company funds and securities and shall keep fall and accurate accounts of receipts
and disbursements in books belonging to the Company according to generally
accepted accounting practices, using a fiscal year ending on the last day o f the month
o f December. The Treasurer shall deposit all moneys and other valuable effects in the
name and to the credit o f the Company in such depositories as may be designated by
the.Member. The Treasurer shall distribute the Companys profits to the Member.
The Treasurer shall disburse the funds o f the Company as may be ordered by the
Member and shall render to the Chairman and to the Member, at regular intervals or
when the Member so requires, an account of all o f the Treasurers transactions and of.
the financial condition o f the Company. As soon as practicable after the end o f each
fiscal year o f the Company, the Treasurer shall prepare a statement o f financial

condition as ofthe last day ofthe Company's fiscal year, and a statement of income
and expenses for the fiscal year then ended, together with supporting schedules. Each
of said annual statem nts shall be prepared on an income tax basis and delivered to
the Member forthwith upon its preparation. In addition, the Treasurer shall keep all
financial records required to be kept pursuant to Idaho law. The Assistant Treasurer,
or ifthere shall be more than one, the Assistant Treasurers in the order determined by
the Member (or i f there be no such determination, then in.the order o f their
appofutment), shall, in the absence ofthe Treasurer or in the event ofthe Treasurer's
inability to act, perform the duties and exercise the powers ofthe Treasurer and shall
perform such other duties and have such other powers as the Member may from time
to time prescribe.
B. Officers as Agents . The Officers, to the extent o ftheir powers set forth in this Agreement
or otherwise vested in them by action ofthe Member not inconsistent with this Agreement,<
are agents ofthe Company for the purpose ofthe Company's business, and the actions of
the Officers taken in accordance with such powers shall bind the Company.
C. Fiduciary Duties ofthe Officers.
1. Loyalty and Care. Except to the extent otherwise provided herein, each Officer
shall have a fiduciary duty of loyalty and care similar to that of officers of limited
liability companies organized under the laws of Idaho.
VII. Dissolution.
A. Limits on Dissolution . The Company shall have a perpetual existence,and shall be
dissolved, and its affairs shall be wound up only upon the provisions established in Section
H (C) above.
Notwithstanding any other provision'o fthis Agreement, the Bankruptcy of any Member
shall not cause such Member to cease to be a Member ofthe Company and upon the
occurrence of such an event, the business o f the Company shall continue without
dissolution.
Each Member waives any right that it may have to agree in writing to dissolve the
Company upon the Bankruptcy o f any Member or the occurrence of any event that causes
any Member to cease to be a Member ofthe Company.
B. Winding Up .Upon the occurrence o f any event specified in Section Il(C), the Company
shall continue solely for the purpose ofwinding up its affairs in an orderly manner,
liquidating its assets, and satisfying the claims of its creditors. The Member, or in the
event ofmultiple Members, one or more Members, selected by the remaining.Members,

i
shall be responsible for overseeing the winding up and liquidation ofthe Company, shall
take full account ofthe liabilities ofthe Company and its assets, shall either cause its
assets to be distributed as provided under this Agreement or sold, and if sold as promptly
as is consistent with obtaining the fair market value thereof; shall cause the proceeds
therefrom, to the extent sufficient therefor, to be applied and distributed as provided under
this Agreement.
C. Distributions in Kind.Any non-cash asset distributed to one or more Members in
liquidation o f the Company shall first be valued at its fair market value (net o f any liability
secured by such asset that such Member assumes or takes subject to) to determine the
profits or losses that would have resulted if such asset were sold for such value, such profit
or loss shall,then be allocated as provided under this Agreement. The fair market value of
such asset shall be determined by the Members or, if any Member objects, by an
independent appraiser(any such appraiser must be recognized as an expert in valuing the
type of asset involved) approved by the Members.
D. Termination. The Company shall terminate when (i) all ofthe assets ofthe Company,
after payment of or due provision for all debts, liabilities and obligations o fthe Company,
shall have been distributed to the Member in the manner provided for under this
Agreement and (ii)the Company's registration with the state ofIdaho shall have been
canceled in the manner required by Idaho law.
E. Accounting . Within a reasonable time after complete liquidation, the Company Treasurer
shall furnish the Members with a statement which shall set forth the assets and liabilities
ofthe Company as at the date of dissolution and the proceeds and expenses-ofthe
disposition thereof.
F. Limitations on Payments Made in Dissolution .Except as otherwise specifically provided
in this Agreement, each Member shall only be entitled to look solely to the assets ofthe
Company for the return of its Initial Contribution and shall have no.recourse for its Initial
Contribution and/or share ofprofits (upon dissolution or otherwise),against any other
Member, if any other such Member exists.
G Notice to Idaho Authorities .Upon the winding up ofthe Company, the Member with the
highest percentage ofMembership Interest in the Company shall be responsible for.the
filing of all appropriate notices of dissolution with Idaho and any other appropriate state or
federal authorities or agencies as may be required by law.
V111. Exculpation and Indemnification.
A. No Member, Officer, employee or agent ofthe Company and no employee, agent or
affiliate of a Member (collectively,the "Covered Persons") shall be liable to the Company

or any other person who has an interest in or claim against the Company for any loss,
damage or claim incurred by reason of any act or omission performed or omitted by such
Covered Person in good faith on behalf o f the Company and in a manner reasonably
believed to be within the scope of the authority conferred on such Covered Person by this
Agreement, except that a Covered Person shall be liable for any such loss, damage or
claim incurred by reason of such Covered Person's gross negligence or willful misconduct
B. To the fullest extent permitted by applicable law, a Covered Person shall be entitled to
indemnification from the Company for anyloss, damage or claim incurred by such
Covered Person by reason of any act or omission performed or omitted by such Covered
Person in good faith on behalf o f the Company and in a manner reasonably believed to be
within the scope o f the authority conferred on such Covered Person by this Agreement,
Expenses, including legal fees, incurred by a Covered Person defending any claim,
demand, actio suit or proceeding shall be paid by the Company. The Covered Person
shall be liable to repay such amount if it is determined that the Covered Person is not
entitled to be indemnified as authorized in this Agreement No Covered Person shall be
entitled to be indemnified in respect o f any loss; damage or claim incurred by such
Covered Person by reason o f such Covered Person's gross negligence or willful
misconduct with respect to such acts or omissions. Any indemnity under this Agreement
shall be provided out o f and to the extent o f Company assets only.
C A Covered Person shall be fully protected in relying in good faith upon the records o f the
Company and upon such information, opinions, reports or statements presented to the
Company by any person as to matters the Covered Person reasonably believes are within
such other person's professional or expert competence and who has been selected with
reasonable care by or on behalf o fthe Company, including information, opinions, reports
or statements as to the value and amount o f the assets, liabilities, or any other facts
pertinent to the existence and amount o f assets from which distributions to the Member
might properly be paid.
D. To the extent that, at law or in equity, a Covered Person has duties (including fiduciary
duties) and liabilities relating thereto to the Company or any other Covered.Person, a
Covered Person acting under this Agreement shall not be liable ID the Company or to any
other Covered Person for its good faith reli ce on the provisions o f this Agreement The
provisions o f the Agreement, to the extent that they restrict the duties and liabilities of a
Covered Person otherwise existing at law or in equity, are agreed by the Member ID
replace such other duties and liabilities of such Covered Person.
E. The foregoing provisions o fthis Article VIR shall survive any termination o f this
Agreement.

IX. Insurance.
The Company shall have the power to purchase and maintain insurance, including
insurance on behalfo fany Covered Person against any liability asserted against such
person and incurred by such Covered Person in any such capacity, or arising out o f such
Covered Person's status as an agent o fthe Company, whether or not the Company would
have the power to indemnify such person against such liability under the provisions o f
Article VIII or under applicable law.
X. General Provisions.
A. Notices .All notices, offers or other communications required or permitted to be given
pursuant to this Agreement shall be in writing and may be personally served or sent by
United States mail and shall be deemed to have been given when delivered in person or
three (3)business days after deposit in United States mail, registered or certified,postage
prepaid, and properly addressed, by or to the appropriate party.
B. Number ofDays. In computing the number ofdays (other than business days) for
purposes o fthis Agreement, all days shall be counted, including Saturdays,,Sundays and
holidays,provided, however, that i fthe final day o fany time period falls on a Saturday,
Sunday or holiday on which national banks are or may elect to be closed, then the final
day shall be deemed to be the next day which is not a Saturday,, Sunday or such holiday.
C. Execution o f Counterparts . This Agreement may be executed in any number o f
counterparts, each o fwhich shall be an original, and all o fwhich shall together constitute
one and the same instrument.
D. Severability, . The provisions o fthis Agreement are independent o f and separable from
each other, and no provision shall be affected or rendered invalid or unenforceable by
virtue o fthe fact that for any reason any other or others o fthem maybe invalid or
unenforceable in whole or in part.
E. Headings .The Article and Section headings in this Agreement are for convenience and
they form no part o fthis Agreement and shall not affect its interpretation.
F. Controlling Law . This Agreement shall be governed by and construed in all respects in
accordance with the laws o fthe state o fIdaho (without regard to conflicts oflaw
principles thereof).
G. Awlication o fldaho Law. Any matter not specifically covered by aprovision o fthis
Agreerent shall be governed by the applicable provisions o f Idaho law.

R Amendment .This Agreement may be amended only by written consent ofthe Member.
Upon obtaining the approval of any such amendment, supplement or restatement as to the
Certificate, the Company shall cause a Certificate ofAmendment or Amended and
Restated Certificate to be prepared, executed and filed,in accordance with Idaho law.
I. Entire Agreement .This Agreement contains the entire understanding among the parties
hereto with respect to the subject matter hereof, and supersedes all prior and
contemporaneous agreements and understandings, inducements or conditions, express or
implied, oral or written, except as herein contained.
IN WITNESS WHEREOF, the Member has executed and agreed to this Limited Liability Company
Operating Agreement,which shall be effective as of September 09, 2020.
This LLC Operating Agreement is executed and agreed to by;
Jared Horlacher
[e-mail]
December 23, 2020 at 01:28 pm
Recorded at IP 208.81.157.58

ATTACHMENT A
Initial Contributions of the Member
The Initial Contributions o f the Member of Priest Lake Water L.L.C. are as follows:
Jared Horlacher
Contribution:
20 Yrs experience in the construction industry. valued at$0.00

Appendix 2A
Plat
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SURVEYORS CERTIFICATE !! OWNER'S CERTIFICATE
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CONSULTING ENGINEERS "e"
J—LJ NEWPORT,WASHINGTON,99156,(501 s„*lor4

Appendix 2B
Map
TI
.i
PODS- POU- Red polygons
..��� commercial parcels
Y,
36 FI
e\
POU-Blue polygons
Domestic&irrigation /
7 parcels
F-ram Hyd-,,n- 'S It 1 1 I 0 0.05 0.1 0.2 Miles
Legend
Township/Range
Sections
QQ N
NOTE:Aerial imagery for illustrative purpose only.
Imagery may be shifted compared to survey plat map.

Appendix 3
Map showing location of wells,reservoirs, water lines, etc.

G��i�• •'ti � ELEV. APPROX. 2700' �
z \ `,`♦\\p,
S r0()
, I DEDICATED TO
T \ Y \ HOMEOWNERS ASSOC. \
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' SCALE-1"=200' ('� ;♦�\` TES I \ \ \ 1;
5.02:
BLOCK 1 ♦ (GACRE
COMMON AREA AND'j 10
SCALE IN FEET ♦ °° +� WETLAND AREA 'C'`.. •. ti' ^REs
,� . `♦ INSIDE PROPOSED" � 0,6 t
;i�" ♦`:�� PLAT = 3.33f.•ACRES A CRES 8
(! \` ♦\��♦ WETLAND v,+'='-+ ACRES
`♦`` I BOJJNDARY y' ' 0.5ot ry6
\� I AREA 'C' µ `by V`j�:" ACRES
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o= \ FRONTAGE `♦ ♦♦�,� ` 4 tit 'J7�W �'�TA ' •�'.J^ 7t V.
oT ACCESS ♦♦ ♦ B3 0.69f ry0 �, •y 6 t W o!#•.Y
' WALKWAY EASEMENT \EASEMENT \ K ^- ACRES 3 yyo� ° os5t
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0.46t 0.44t \ ♦ ,♦ �7 ACRES ACRES 0.511
-,� 17 0.60t 0.48.E 0.46t 0.46t 0.461 0.46t 0.56t 0.8 ♦ ♦ 2 �� ti ACRE'
0.43t ^ ACRES ACRES ACRES ACRES. ACRES. ACRES:' ACRES ACRES ♦ ♦ 1
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34 ACRES
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ACRES'b'ACRE ACRES ACRE ACRES ACRESN ACRE 0.97t .1 0H'
11'' 1 '6'= ry 1.09
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\,F.D. ALUM.
TO BE RELOCATED BOUNDARY
� BOUNDARY ••••••••.,•� FND. ALUM. MOH. AT TIME OF DEVELOPMENT
-AREA 'A', INSIDE PROPOSED +� ••., W/2 B.T.'S., PLs AREA 'S' WETU
PLAT = 3.44t ACRES. No. 882, 1982. WETLAND '8' IN
V HOMEOWNERS PEDESTRIAN ACCESS PROPERTY LINE ••.•.... .�.. C'7 PLAT
AND INGRESS/EGRESS UTILITY J OU � (.)'J d9:Q5ZAJ1..4estSM
EASEMENT FOR IOT 91 --

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Appendix 4
DEQ Sanitary Survey and Cross Connection Control Policy

Sanitary Survey
Prelimin,ry Inspection Findings Form
System None: _ r !e s J k 1/6 v i u/ - PWS #: _to] 0 ct t
Inspection Date: _\d\ /6 l. Time Closing Conference Begins: .l /--ifr---Time Closing Conference Ends:
Inspector: t tir�'"� Phone#:- - - - - - - - - - -
rint Njime)
Inspector: Finail: _i J f o f s 41 =—
(Signature) O ,5joV
Facility Representative: Title:-------------- _
t Na e P _ 1
Facility Representative: Email: �t�! (yter1o.L1
(Signature)
Note: Your signature indicatesyou have received this document, but does not imply agreement with the findings.
Significant Deficiencies noted during inspection:
In accordance with IDAPA 58.01.08.008.02., the health hazards identified below must be mitigated as required by the
Department and corrected within a time schedule established by the Department. Correction Tkne Frame
Urgent Action Specify in Corrective
Required Action Plan
1. 1 O ► I 0 days/hrs. ` ❑
0 — days/hrs. ❑
2.
---------------------------- -
0 days/hrs. ❑
O — days/hrs. ❑
4.----------------------------
days/hrs. ❑
5. --
days/hrs. ❑
0 Additional items attached
Po tial Deficienc;es Pe1J1 ling Review:
i. (� cA-t. set t t
(d (e,". L'(h an 0(/M 0
yI
4. CGS f�' , Ltnnn
Additional ite..,attached 1)/1 S /t r'i I i1j, 0 1 ' V
Free Technical Assistance(Third Pa rvice Provider): Yes' D No
D Financial: a)rate reviews, b)budgeting,c)finding loans and grants,d)capital improvement planning
0 Training: a) operator,b)board/council,c)asset management,d)developing policies and procedures
D Technical Assistance: a)leak detection,b)line location,c)distribution,d)treatment,e)other
0 System Operation: a)best practices guidance,b)emergency response,c)vulnerability assessment
D Source Water Protection: a)planning b)implementation
PWS Contact Name: ------ ---------- Phone#:._
Original-Inspector for registration in TRIM Copy-Public Water System Owner/Operator Updated: 12/1/2020

Priest Lake Water LLC
ID1090229
Cross Connection Control Policy
SECTION 1. CROSS-CONNECTION CONTROL-GENERAL POLICY
1.1. Purpose. The purpose of this Policy(the term"Policy",herein used, shall mean the"Priest Lake
Water LLC Cross Connection Control Policy") is:
11.1. To protect the public potable water supply of Priest Lake Water from the possibility of
contamination or pollution by isolating at the source such contaminants or pollutants which could
backflow into the public water system; and,
1.1.2. To promote the elimination or control of existing cross connections,actual or potential,
and,
1.1.3. To provide for the maintenance of a continuing program of cross connection control,
which will systematically and effectively prevent the contamination or pollution of all potable
water systems.
1.2. Responsibility. Priest Lake Water shall be responsible for the protection of its public potable
water distribution system from contamination or pollution due to the backflow of contaminants or
pollutants.Priest Lake Water LLC customers are responsible for aiding in Priest Lake Water's Cross
Connection Control Policy by maintaining proper protective measures within their individual home
plumbing systems. Priest Lake Water has the responsibly to require water customers to install and
continually operate and maintain approved backflow-prevention devices or assemblies wherever deemed
appropriate in order to be in compliance with IDAPA 58.01.08.552.06 and UPC 603.
SECTION 2. DEFINITIONS
2.1. Approved. 1) The term"approved" as herein used in reference to a water supply shall mean a
public water supply that has been approved by the Idaho Department of Environmental Quality.2) The
term"approved" as herein used in reference to an air gap, a double check valve assembly,a reduced
pressure principle backflow prevention assembly or other backflow prevention assemblies or methods
shall mean approved per Uniform Plumbing Code 603.
2.2. Auxiliary Water Supply.Any water supply.Ctbr available to the premises other than Priest
Lake Water's approved public water supply. These auxiliary waters may include water from a purveyor
other than Priest Lake Water,private well sources,or any natural source(s) such as a spring,river, stream,
used waters,or industrial fluids. These waters may be contaminated or polluted,or they may be
objectionable and constitute an unacceptable water source over which Priest Lake Water does not have
sanitary control.
2.3. Backtlow. The undesirable reversal of flow of water or mixtures of water and other liquids,
gases, or other substances into the distribution pipes of the potable supply o f water from any source or
sources.

2.4. Backpressure. Any elevation ofpressure in the downstream piping system above the supply
pressure at the point o f consideration;which would cause reversal o f the normal direction o f flow. This
could be caused by pumps,elevation, steam pressure, air pressure, etc.
2.5. Backsiphonage. Back:flow caused by negative or reduced pressure in the supply piping.
2.6. Backftow Prevention Assembly.A mechanical device desig„ed to prevent backflow that can be
tested in line.Each assembly should contain two resilient seated shut offvalves,test cocks for testing
purposes, and a back:flow prevention unit. Types o f assembly will be determined by degree o fhazard and
back:flow condition.
2.7. Contamination. An impairment o f a potable water supply by the introduction or admission of
any foreign substance that degrades the quality and creates a health hazard.
2.8. Cross Connection. A connection or potential connection between any part o f a potable water
system and any other environment containing other substances in a manner that has the potential to allow
such substances to enter the potable water system. Other substances may be gases,liquids or solids, such
as chemicals,waste products, steam,water from other sources (potable or non potable), or any matter that
may change the color or add odor to the water.
2.9. Cross Connections Controlled. A connection between a potable water system and a non potable
water system with an approved backflow prevention assembly properly installed and maintained so that it
will continuously afford the protection commensurate with the degree o f hazard.
2.10. Cross Connection Control by Containment. The installation o f an approved back:flow-
prevention assembly at the water service connection to any customer's premises;where it is physically
and economically unfeasible to find and permanently eliminate or control all actual or potential cross-
connections within the customer's water system; or it shall mean the installation of an approved
back:flow-prevention assembly on the service line leading to and supplying a portion o f a customer's
water system where there are actual or potential cross-connections that cannot be effectively eliminated or
controlled at the point o fthe cross-connection.
2.11. Cross Connection Control by Internal Protection. Fixture isolation and/or isolation ofan area
or zone. Protection at the fixture means installing an approved backtow preventer at the source of the
potential hazard within a specific area.
2.12. Hazard, Degree of. The term is derived from an evaluation o fthe potential risk to public health
and the adverse effect o fthe hazard upon the potable water system.
2.12.1. Hazard: Health. A cross connection or potential cross connection involving any
substance that could, if introduced into the potable water supply,cause death or illness, spread
disease, or have a high probability o f causing such effects.
2.12.2. Hazard: Plumbing, A plumbing-type cross connection in a consumer's potable water
system that has not been properly protected by an approved air gap or an approved back-flow-
prevention assembly.
2.12.3. Hazard: Pollution. A cross-connection or potential cross-connection involving any
substance that generally would not be a health hazard but would constitute a nuisance•or be
aesthetically objectionable, if introduced into the potable water supply.

2.12.4. Hazard: System. An actual or potential threat o f severe danger to the physical
properties o f the public water system or the consumer's potable water system or o f a pollution or
contamination that would have a protracted effect on the quality o f the potable water in the
system.
2.13. Industrial-Fluids System. Any system containing a fluid or solution that may be chemically,
biologically or otherwise contaminated or polluted in a form or concentration that would constitute a
health, system, pollution or plumbing hazard if introduced into an approved water,supply. This may
include, but is not be limited to, polluted or contaminated waters; all types o f process waters,and used
waters originating from the public potable water system that may have deteriorated in sanitary quality;
chemicals in fluid form; plating acids and alkalies; circulating cooling waters connected to an open
cooling tower; and/or cooling waters that are chemically or biologically treated or stabilized with toxic
substances; contaminated natural waters such as from wells, springs, streams,rivers,bays,harbors, seas,
irrigation canals or systems, and so forth; oils, gases, glycerin,paraffins,caustic and acid solutions and
other liquid and gaseous fluids used in industrial or other purposes for firefighting purposes.
2.14. Pollution. The presence o f any foreign substance in water that tends to degrade its quality but
does not necessary pose a risk to human health i f consumed.
2.15. Water,Potable. Water that is deemed safe for human consumption, as determined by the
standards set forth by the Department o f Environmental Quality and defined in the Idaho Rules For Public
Drinking Water Systems,IDAPA 58.01.08.
2.16. Water,Non potable. Water that is not safe for human consumption or that is f questionable
quality.
2.17. Water, Used. Any water supplied by the Priest Lake Water to a consumer's service, after it has
passed through the point o f delivery and is no longer under the sanitary control o fPriest Lake Water.
SECTION 3. REQUIREMENTS
3.1. Water Sy tem
3.1.1. Priest Lake Water's drinking water system consists o fthe source facilities and the
distribution system and shall include all those facilities o fthe water system under the complete
control o f Priest Lake Water.
3.1.2. The source shall include all components o fthe facilities utilized in the production,
treatment, storage and delivery o f water to the distribution system.
3.1.3. The distribution system shall include the network o f conduits used for the delivery o f
water from the source to the water system customers/users. The distribution system terminates at
the meter box.
3.2. Policy
3.2.1. Conditions for Service- No water service connection shall be installed or maintained by
Priest Lake Water unless the following conditions have been met:

3.2.1.1. Any occupant or tenant has been made aware o f Priest Lake Water's Cross
Connection Control Policy and understands his or her responsibility to not create or
maintain any unprotected cross-connections, and;
3.2.1.2. Priest Lake Water has completed a cross-connection control survey of the
facility, and;
3.2.1.3. The water supply is protected as required by this Policy and IDAPA
58.01.08.552.06 and UPC 603.
3.2.2. Right o f Inspection -I t is the duty o f the Priest Lake Water to inspect all properties
served by the Priest Lake Water for the purpose of determining whether unprotected cross
connections or other structural or sanitary hazards, including violations o f these regulations,exist.
When such a condition becomes known or inspection is not permitted by the property owner,
Priest Lake Water shall immediately eliminate the cross-connection by providing for a physical
break in the service line or correcting the condition(s) in conformance with this Policy, local and
state regulations relating to plumbing and water supplies and the regulations adopted pursuant
thereto.
3.2.3. Premises or Facilities Requiring Protection-An approved backflow prevention device or
assembly shall be installed according to local plumbing regulations and prior to any branch line
wherever the following conditions exist:
3.2.3.1. In the case o f an auxiliary water supply which is not or may not be o f safe
bacteriological or chemical quality and which is not acceptable as an additional water
source by the Idaho Department of Environmental Quality, Priest Lake Water shall be
protected against backflow by installing in the service line an approved backflow
prevention assembly commensurate with the degree o f hazard,and in conformance with
the Idaho State Plumbing Code
(ISPC).
3.2.3.2. In the case of any industrial fluids or any other objectionable substance that is
handled in such a fashion as to create an actual or potential hazard to.the potable water
system,the potable water system shall be protected against backflow by installing an
approved backflow prevention assembly in the service line, commensurate with the
degree o f hazard. This shall include the handling o fprocess waters and waters originating
from Priest Lake Water's which have been subject to deterioration in quality.
3.2.3.3. In the case of(1) internal cross connections that cannot be permanently corrected
or protected against, or(2) intricate plumbing,and piping arrangements or where entry to
all portions of the premises is not readily accessible for inspection purposes,making it
impracticable or impossible to ascertain whether or not dangerous cross connections
exist, Priest Lake Water shall be protected against backflow by installing an appr>Ved
backflow prevention assembly in the service line.
3.2.4. Type of Protection Required-The type of protective assembly required under
subsections 3.2.3.1, 3.2.3.2, and 3.2.3.3 above shall depend upon the degree o f hazard v,vhich
exists as follows:
3.2.4.1. In the case o f an auxiliary water supply as stated in subsection 3.2.3.1 o f this
section that is not subject to any o f the following rules,the Priest Lake Water shall be

protected by an approved air gap or an approved reduced pressure principle backflow
prevention assembly.
3.2.4.2. In the case o fwater or a substance that would be objectionable but not hazardous
to health,i fintroduced into the public water system,the Priest Lake Water will be
protected by,at minimum,an approved double check valve backflow prevention
assembly.
3.2.4.3. In the case o f any material dangerous to health that is handled in such a fashion
as to create an actual or potential hazard to the public water system,the Priest Lake
Water shall be protected by an approved air gap or an approved reduced pressure
principle backflow prevention assembly.
3.2.4.4. In the case o f"uncontrolled" cross connections, either actual or potential,the
Priest Lake Water shall be protected by an approved air gap or an approved reduced
pressure principle backflow prevention assembly.
,3.2.4.5. Priest Lake Water customers that have sprinkler or irrigation systems at their
property are required to have an approved backflow assembly installed and inspected
annually that complies with Idaho Plumbing Code(IPC).Double check valve assemblies
are no longer deemed appropriate for the degree o f hazard present in irrigation systems,
and a more protective assembly is required at these sites.
3.2.5. Assembly Standards and Specifications-Any backflow prevention device or assembly
required herein shall be o f a make,model and size approved by the Priest Lake Water. The term
"Approved Backflow Prevention Assembly" shall mean an assembly that has been manufactured
in full conformance with the standards established by the American Water Works Association
titled:
AWWA/ANSI C510 07 Standard for Double Check Valve Backflow Prevention Assembly;
AWWA IANSI CS 1107 Standard for Reduced Pressure Principle Backflow Prevention
Assembly; and,have met completely the laboratory and field performance specifications o fthe
Foundation for Cross Connection Control and Hydraulic Research(FCCHR)of the University o f
Southern California established by: "Specifications ofBack:flow Prevention Assemblies"
Section 10 o f the most current edition o f the Manual o f Cross Connection
Control.
Said AWWA and USC FCCCHR standards and specifications have been adopted by the water
purveyor.Final approval shall be evidenced by a"Certificate o f Compliance" for the said
AWWA standards or a "Certificate ofApproval" for the said USC FCCCHR Specifications,
issued by an approved testing laboratory.
The following testing laboratoiy has been qualified by the AWWA to test and approve backflow
prevention assemblies and said qualification is adoptedby the water purveyor:
Foundation for Cross Connection Control and Hydraulic Research
University of Southern California
KAP 200 University Park MC 2531
Los Angeles, California 90089 2531

Testing laboratories other than the laboratory listed above f i 11 be added to an approved list as
they are qualified by the AWWA.
Back:flow preventers that may be subjected to backpressure or backsiphonage that have been fully
tested and have been granted a Certificate o fApproval by said qualified laboratory, and are listed
on the laboratory's current list o f approved back:flow prevention assemblies, may be used without
further testing or qualification.
3.2.6. Testing and Maintenance Requirements "It shall be the duty of the Priest Lake Water to
require certified field tests are made upon required back:flow assemblies upon installation and at
least once per year thereafter. Non"testable back:flow devices that cannot be field tested with test
gauges shall be inspected and assessed or verified by a plumber or certified tester. In instances
Priest Lake Water deems the hazard to be great enough,inspections or certified field tests at more
frequent intervals may be performed.
A field test report shall be created for all backflow preventer inspections or field tests. Back:flow
prevention devices and assemblies shall be repaired,overhauled or replaced whenever said
devices or assemblies are found to be defective. Priest Lake Water shall retain records o f field
tests,inspections or repairs ofbackflow devices and assemblies as specified in this policy.
Back:flow assembly field test reports will provide,at a minimum,the customer's name and street
address; type o fassembly and location o fthe assembly on the property;manufacturer,model and
serial number o fthe assembly; detailed results o fthe test and clear indication o fwhether the
assembly passed or failed; name and certification number o fthe tester and the date and time o f
the test. Inspection reports for non-testable devices may omit field test result specifications
pertaining to testable assemblies but shall otherwise present all relevant inspection information.
3.2.7. Enforcement- Service o fwater to any customer o fPriest Lake Water will be
discontinued if an occupant,tenant or consumer interferes with or fails to comply with the
provisions and implementation o fthis Policy.
3.2.7.1. If an unprotected cross connection exists on a tenant or consumer's premises,
service shall be discontinued until an assembly appropriate with the degree o fhazard is installed
by a licensed plumber. Proof o f proper installation shall be provided to Priest Lake Water prior to
restoration o f services.
3.2.7.2. If it is found that a back:flow prevention assembly has been removed,bypassed,
or if the property owner fails to meet the annual testing requirement specified in section 3.2.91
below, water service to the customer's property will be discontinued immediately.
3.2.7.3. Assemblies that cannot pass annual tests or those found to be defective shall be
repaired,replaced,or isolated within ten(10)business days.Ifthe failed assembly cannot be
repaired,replaced, or isolated within ten(10)business days,water service to the failed assembly
shall be discontinued.
3.2.7.4. Service to a facility,tenant or consumer will be discontinued immediately,
without written notice,ifin the opinion o fthe Priest Lake Water such action is necessary to
protect public health or the public water supply.
3.2.7.5. Service will not be restored until all circumstances,conditions or defects causing
discontinuance o f service are fully corrected.

3.2.8. New Construction Review-Priest Lake Water shall not provide water service to a newly
constructed facility without first performing a cross connection control hazard assessment ofthe
facility and ensuring that the Priest Lake Water is protected according to this Policy. In lieu o f
such a hazard assessment by Priest Lake Water, receipt of a documented cross connection control
hazard assessment by a State Certified Backflow Assembly Tester may be utilized. The
conditions for service established by this Policy must also be satisfied(see section 3.2.1).
3.2.9. Surveying and Retrofitting Existing Facilities-Priest Lake Water shall survey and
retrofit all existing service connections and facilities and bring such into compliance with this
Policy as soon as possible but no later than 6 months after adoption ofthis Policy. The initiative
to survey and retrofit existing facilities will continue until aH facilities served by Priest Lake
Water have received a cross connection control survey, each potential cross connection has been
inventoried, and each service connection or facility has installed a backflow prevention device or
assembly appropriate for the degree ofhazard.
Facilities or service connections having existing ftre-protection systems will have the hydraulics
o f any existing ftre-protection system(s) checked by a registered professional engineer or certified
fire-protection contractor to ensure that any installed backflow prevention assembly is compatible
with the proper performance o fthe fire-protection system.
Priest Lake Water will contact a plumber as necessary in order to undertake routine testing of
temperature and pressure valves on water heaters or boilers in order to account for thermal
expansion that may result from installation o f any backflow preventers.
3.2.9.1. Recurring Surveys and Inspections-All existing service connections and
facilities shall,upon completion of an initial survey and retrofit,be,required to have all
backflow assemblies tested annually by a Backflow Assembly Tester that has been
certified in the State ofldaho. It will be the responsibility o fthe customer or property
owner to submit proof of annuill testing to the Priest Lake Water by the date specified by
their Administrative staff. It will be the responsibility o f Priest Lake Water to enforce any
protection measures against backflow that may occur i f annual testing is not performed,
as specified in section 3.2.7 above.
3.2.10. Training- Priest Lake Water shall ensure that persons directly responsible for
implementation ofthis Policy have had, at a minimum,training in basic cross connection
concepts and cross connection control practices. The Idaho Rural Water Association(IRWA)is
an example o fa facility that may be utilized for this type o ftraining.
3.2.11. Public Education-Priest Lake Water shall provide customers and tenants with
educational information concerning cross connection control and this Policy. New tenants shall
be provided with written educational information upon initial connection to the water supply.
Existing tenants and consumers shall receive educational information at least once every year. At
a minimum, the following information will be included in public education initiatives:
•The nature ofthe public health risk posed by actual or potential cross-connection hazards.
•Priest Lake Water's responsibility for protecting the public health and safety by preventing
drinking water contamination and its policies relating to cross connection control.
• The customer's responsibility to protect Priest Lake Water's water supply by preventing cross
connections and potential backflow scenarios on their property.

•Information should be provided to the customer or tenant regarding the requirements o f this
Policy and how they can be met. This should include a the required date(s) for annual testing and
list of Back:flow Prevention Assembly Testers in the area.
• The fact that customers need to be aware that the installation o f a backflow prevention device or
assembly on their premise causes their plumbing system to be a closed system and closed systems
are at greater risk for damage or harm due to thermal expansion that may be caused by water
heaters or boilers.
3.2.12. Backflow Incident Reports- Priest Lake Water shall investigate back:flow incidents
specifically and shall maintain investigatory and corrective action records in a file separate from
customer complaint investigations or other investigations determined to not be related to a
back:flow incident.
3.2.13. Backflow Incident Response Plan-Priest Lake Water, upon becoming aware o f an actual
or suspected back:flow incident, shall perform the following actions:
•Locate the source ofthe contamination.
•Isolate that source to protect the water distribution system from further contamination.
•Determine the extent o f the spread o f contamination through the distribution system and provide
t ely, appropriate notification to the public and to regulatory agencies.
• Take corrective action to clean the contamination from the distribution system.
•Restore service to the customers.
A list o f emergency response numbers should be kept on file with the Priest Lake Water Water
Department in case ofback:flow incidents. The Department o f Environmental Quality should not be
ignored as a source of assistance during such incidents.
3.2.14. Record Keeping...,.Cross connection control related records shall be retained for a
minimum o ften years and shall be available for review by regulatory agencies when requested.
At a minimum,the following records shall be maintained:
• Cross onnection Survey Reports and Customer Questionnaires- Cross-connection survey
reports or hazard assessments shall be created and,maintained on approved forms. Such forms
shall make clear the type and degree o f hazard present upon the premises,and the minimum type
ofback:flow assembly required.
•Inventory- Priest Lake Water shall maintain, in a spreadsheet format, inventory of all required
backflow prevention assemblies present in the water system. Such information will include a
description o fthe hazard isolated at each applicable premise,the location o f each backflow
assembly or air gap, the type o f backflow prevention assembly and, i f not an air gap, information
describing the size,make,model and serial number o f installed backflow assemblies. The most
recent inspection or test date or cross connection control survey or received questionnaire(if
applicable) of each required assembly will be noted.
. Test Reports and Certified Testers- Back:flow device inspection and assembly test,
maintenance and repair reports shaU be retained. Documentation supporting the credentials o f
certified testers will be retained.
• Other Documentation- Copies o f all other cross connection program documentation will be
retained, including service contracts,notifications to customers, enforcement actions,backflow
incident reports and other related activity.
3.2.15. Budgeting-Priest Lake Water shall ensure that all the actions necessary to implement
this Policy are`budgeted and that monies to implement this Policy are available as necessary.'

31.16. Authority—Priest Lake Water is authorized to make all necessary and reasonable rules
and policies with respect to the enforcement of this Policy.All such rules and policies shall be
consistent with the provisions of this Policy and shall be effective upon adoption.
The foregoing Policy was approved and adopted by the r
(Board,Council,etc.for water system decision-making and )on the 3_day of
l 20 Z�
(Si )
Printed Name:Ja CC &rkjIee_ Printed Title: r

Appendix 5A
Water Right License No. 97-7368

State of Idaho
Department of Water Resources
Water Right License
Water Right No. 97-7368
Priority: October 10, 1995 Maximum Diversion Rate: 0 45 CFS
Maximum Diversion Volume: 127.0 AF
It is hereby certified that:
MARVIN ESTATES WATER 27914 HIGHWAY 57 PRIEST LAKE ID 83856-9640
has complied with the terms and conditions of the permit, issued pursuant to Application for Permit dated
October 10, 1995, and has submitted Proof of Beneficial Use on December 08, 2000. An examination
confirms water is diverted from:
Source : GROUND WATER
Beneficial Use Period of Use Rate of Diversion Annual Volume
DOMESTIC 01/01 to 12/31 0.45 CFS 127.0 AF
Location of Point(s) of Diversion
GROUND WATER SWY4 NE'/4, Sec. 36, Twp 60N, Rge 05W, B.M. BONNER County
GROUND WATER SWY4 NE%4, Sec. 36, Twp 60N, Rge 05W, B.M. BONNER County
Place of Use: DOMESTIC
Twpi I I Rng Sec I NE NW SW SE Totals
NE I NW JSWJ SE NE NW ISWI SE i NE I NW ISW SE NE NW SW I SE No QQ
60 1 1 X I X
Conditions of Approval
1. After specific notification by the department, the right holder shall install a suitable measuring
device or shall enter into an agreement with the department to determine the amount of water
diverted from power records and shall annually report the information to the department.
2. Domestic use is for 106 homes.
3. The irrigation occurring under this domestic use shall not exceed 1/2 acre per lot.
4. Points of diversion are located in, Blk. 4 well lot, Marvin Estates.
5. Place of use is located within Lots 1-17, Blk. 1; Lots 1-20, Blk. 2; Lots 1-10, BIk. 3; Lots 1-25, Blk.
4; Lots 1-12, Blk. 5; Lots 1-12, Blk. 6; and Lots 1-10, Blk. 7; Marvin Estates.
6. This right does not grant any right-of-way or easement across the land of another.
This license is issued pursuant to the provisions of Idaho Code §42-219. The water right confirmed by
this license is subject to all prior water rights and shall be used in accordance with Idaho law and
applicable rules of the Department of Water Resources.
Signed this day of.. 20 l "J.
DOUGL S- ONES`
Northern Regional Manager

State of Idaho
Department of Water Resources
Attachment to Water Right License
97-7368
This map depicts the DOMESTIC place of use boundary for this water right at the time
of this approval and is attached to the approval document solely for illustrative purposes.
05W 04W
z RIM rn
Co
NENE L t 1
r
SENW �E
SE 5
(SWNW)
NWSE NESE �;�.
Z U••� A i I a'.�y��igld f�ea o
Z
W
05W 04 W
O Point of Diversion 0 0.075 0.15 0.3 Miles
Place Of Use Boundary
Townships
LJ PLS Sections
Quarter Quarters
N

Appendix 5B
Permit to Appropriate Water No. 97-9802

F
Page 1 State of Idaho
Department of Water Resources
Permit to Appropriate Water
No. 97-9802
Priority: March 05, 2024 Maximum Diversion Rate: 0.68 CFS
This is to certify that
PRIEST LAKE WATER LLC 279 TRACY LN PRIEST LAKE ID 83856-0060
has applied for a permit to appropriate water from:
Source : GROUND WATER
and a permit is APPROVED for development of water as follows:
Beneficial Use Period of Use Rate of Diversion
IRRIGATION 04/01 to 10/31 0.11 CFS
COMMERCIAL 01/01 to 12/31 0.45 CFS
DOMESTIC 01/01 to 12/31 0.12 CFS
Location of Point(s) of Diversion
GROUNDWATER SW% NEY4, Sec. 36, Twp 60N, Rge 05W, B.M. BONNER County
GROUNDWATER SW% NE%, Sec. 36, Twp 60N, Rge 05W, B.M. BONNER County
Place of Use: IRRIGATION
Twp Rng Sec NE NW SW SE Totals
NE NW SW SE NE NW SW SE NE NW SW SE NE NW SW SE
60N 05W 36 1.5 2.0 0.1 3.6
Total Acres: 3.6
Place of Use: COMMERCIAL
Twp Rng Sec NE NW SW SE Totals
NEJ NWISWI SE NEI NW SW SE NEI NW SW SE NEI NW SW SE
60N 05W 36 X I I X I X X
Place of Use: DOMESTIC
Twp Rng Sec NE NW SW SE Totals
NE I NW I SW I SE NE NW SW SE NE NW SW I SE NE NW SW SE
60N105WI 36 1 1 1 1 1 1 1 X X X
Conditions of Approval
1. Proof of application of water to beneficial use shall be submitted on or before June 01, 2029.
2. Subject to all prior water rights.
3. Right holder shall comply with the drilling permit requirements of Idaho Code §42-235 and applicable
Well Construction Rules of the Department.

F
Page 2 State of Idaho
Department of Water Resources
Permit to Appropriate Water
No. 97-9802
4. The following rights are diverted through point(s) of diversion described above: 97-7368 and 97-9802.
5. Point(s) of diversion are located within Well Lot, Blk 4; Marvin Estates Subdivision.
6. Prior to the diversion and use of water under this approval, the right holder shall comply with
applicable water quality monitoring and/or permitting requirements administered by the Department of
Environmental Quality.
7. After specific notification by the Department, the right holder shall record monthly diversion volumes
and report total annual volumes for Commercial usage during the development period. The right
holder shall provide the Department with supporting records used to compile the report at the
Department's request.
8. Domestic use is for 7 homes. Irrigation of lawn, garden and landscaping associated with the homes
is authorized under the irrigation component of this right.
9. This right when combined with all other rights shall provide no more than 0.03 cfs per acre nor more
than 3.0 afa per acre at the field headgate for irrigation of the place of use.
10. Commercial water use is for 30 parcels zoned for commercial development.
11. Rights 97-7368 and 97-9802 when combined shall not exceed a total diversion rate of 0.68 cfs.
12. After specific notification by the Department, the right holder shall install a suitable measuring device
or shall enter into an agreement with the Department to use power records to determine the amount
of water diverted and shall annually report the information to the Department.
13. This right does not grant any right-of-way or easement across the land of another.
This permit is issued pursuant to the provisions of Idaho Code§42-204.
/
Signed this L�L day of , 204�—/
CHACE BELL
Water Rights Supervisor

State of Idaho
Department of Water Resources
Attachment to Permit to Appropriate Water
97-9802
This map depicts the DOMESTIC and IRRIGATION place of use boundary for this water right
at the time of this approval and is attached to the approval document solely for illustrative purposes.
05W
. I
S -
w M y
y..
O
NWSE NESE
Th- UgDA-F-A .ri l ' of•g RWI aff lb-F�i
r •'i e• i d-rive• •ro•uct .
0 0.05 0.1 0.2 Miles
Place Of Use Boundary
Townships /
PLS Sections
Quarter Quarters N
Point of Diversion

State of Idaho
Department of Water Resources
Attachment to Permit to Appropriate Water
97-9802
This map depicts the COMMERCIAL place of use boundary for this water right at the time
of this approval and is attached to the approval document solely for illustrative purposes.
05W 04W
rn
z z
0
410*
NENE
IL
AIN
•
w�
♦.
I
NESE
rn
Z Z
o rC~ - riu
CD
05W 04W
0 0.05 0.1 0.2 Miles
Place Of Use Boundary
Townships
® PLS Sections
Quarter Quarters N
0 Point of Diversion

Appendix 6
Certificate of Drinking Water Distribution Operator Number DWDVSWS-26354

VDAHO BOARD
OF
DRINKING WATER AND
WASTEWATER PROFESSIONALS
Certifies that
STATE
JfaredytorU&C/ierOF
having documented compliance with the prescribed qualifications, and having fulfilled
IDAHO the requirements o f the Laws o f Idaho, is hereby granted licensureto practice as a
Drinking Water; Distribution Operator Very
Small System
within the State o f Idaho
°IN TESTIMONY WHEREOF, I have here unto put my hand a
Division of Occupational and Professional Licenses the Official Seal Of the 'Division of Occupational and R,
Department of Self Governing Agencies Licenses at Boise, Idaho, this 20th_day of
The person named has met the requirements for Ucensure and Is entitled —
under the laws and rules ofJhe !of Idaho to operate as a(n)
DRINKING WATE,-DJSTRIEIUTIO,J OPERATOR
VERY'SIiIIAL,SYS7EM.
JAR,EQHORLACHER: f
2,1 TRA9*,L RUSSELLS. BARRON
PRIEST,RI);§f1 083$56 ADMINISTRATOR, DIVISION OF
OCCUPATIONAL AND PROFESSIONAL LICENSES
Russell S.Qar�n DWDYPVI(,S,26364 09/11/2025
,w�:

Appendix 7
Financial Information

Appendix 7A
7:23 AM Priest Lake Water LLC
09/20124 Profit & Loss
Cash Basis January through December 2021
Jan-Dec 21
lncome
Quarter 1 Revenue 6,186.00
Quarter 2 Revenue 6,231.00
Quarter 3 revenue 8,848.00
Water Hook-Up _ 23,600.00
Total Income 44'865=00
Gross Profit 44,865.00
Expense 114.73
Fuel
.00
Bank service fee
274.00
Clothing 813.00
Depreciation Expense 2,851.85
DEQ Compliance 54.06
Fuel 1,753.00
Insurance 600.00
Interest 13,634.62
Materials for Water System 2,876.81
Miscellaneous 445.90
office supplies 1,371.54
utilities
24,839.51
Total Expense
20,02,5.49
Net lncome
2020: Entered a purchase and loan agreement with Larry Marvin to purchase the Company, Paid
Larry Marvin a$10,000.00 down payment capital investment.
2021: A loan payment in the amount of$20,000.00 (representing almost the entire net income for
2021) was paid to Larry Marvin.
Page 1

Appendix 7A
7:24 AM Priest Lake Water LLC
09120124 Profit & Loss
Cash Basis January through December 2022
Jan-Dec 22
Income
Quarter 1 Revenue 6,863,00
Quarter 2 Revenue 7,551.00
Quarter 3 revenue 9,639.00
Quarter 4 Revenue 5,817,00
Water Hook-Up 14,000.00
Total Income 43.870.00
Gross Profit 43,870.00
Expense
Fuel 567.89
Bank service fee 20.00
Clothing 369.65
Depreciation Expense 2,05600
DEQ Compliance 2,624.27
Equipment Maintenance 1 B.00
Insurance 1,864.00
Interest 1,542.58
Materials for Water System 16,948.77
Meals, Travel 72.31
Meals,Travel, Etc 26.34
Miscellaneous 12.50
office supplies 1,370.25
S ools 246.16
utilities 1,259.48
Total Expense 28,998.20
Net Income 14,871.80
2022:A loan payment in the amount of$15,000.00 (including the entire net income for 2022) was paid to
Larry Marvin.
2023:A loan payment in the amount of$5,000.00 was paid to Larry Marvin, representing the final payment
due under the loan.

Appendix 7A
1:23 PM Priest Lake Water LLC
08/02/24 Profit & Loss
Cash Basis January through December 2023
Jan-Dec 23
Income
Quarter 1 Revenue 7,649.00
Quarter 2 Revenue 8,878.00
Quarter 3 revenue 10,259.00
Quarter 4 Revenue 6,799.00
Title Transfer 200.00
Total Income 33,785.00
Gross Profit 33,785.00
Expense
Fuel 151.89
Clothing 135.33
Depreciation Expense 2,362.00
DEQ Compliance 3,637.34
Equipment Maintenance 40.97
Fuel 530.94
Insurance 2,069.00
Interest -518.52
Materials for Water System 10,445.90
Meals,Travel,Etc 89.44
Miscellaneous 5,747.50
office supplies 684.16
Tools 54.58
utilities 1,088.87
Total Expense 26,519.40
Net Income 7,265.60
Page 1

Appendix 7B
Annual Maintenance Costs
Item Estimated Estimated Per Year
Cost Completion
Date
New connections x 41 unknown
Backflow prevention x 40 $200,000.00 2034
Labor costs $50,000.00 minimum/year
Costs associated with facility plan, sanitary $5,000.00 Unknown $5,000.00
survey, engineering or DEQ reports
Costs associated with compliance with the $5,000.00/year Unknown $5,000.00
Revised Lead and Copper Rule by the EPA minimum
(including increased monitoring, testing,
treatment, and legal costs).

Appendix 7C
Statement Regarding Financing of Upgrades
Item Estimated Estimated Per Year
Cost Completion
Date
Replacement of water meters x 1 $5,000.00 2024 $5,000.00
Maintenance of water tank $100,000.00 2030 $16,000.00
Replacement of valves x 70 $140,000.00 2034 $14,000.00
Replacement of water meters x 40 $200,000.00 2034 $20,000.00
Maintenance of two 30-year-old well $60,000.00 2044 $3,000.00
PUMPS

Appendix 8
Expected annual revenue with anticipated monthly water rates and other charges
See spreadsheet attached, specifically Exhibit 4.

RATE BASE(SCHEDULE"A"ACCOUNT 101 PLANT IN SERVICE)
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C)
Plant in Service(Annual Report,pg. 5) Known Pro Forma
ACCT# DESCRIPTION Actual Changes (A+B)
1 301 Organization -
2 302 Franchises and Consents -
3 303 Land&Land Rights 8,748 8,748
4 304 Structures and Improvements -
5 305 Collecting&Impounding Reservoirs -
6 306 Lake,River&Other Intakes -
7 307 Wells -
8 308 Infiltration Galleries &Tunnels -
9 309 Supply Mains -
10 310 Power Generation Equipment -
11 311 Power Pumping Equipment -
12 320 Purification Systems -
13 330 Distribution Reservoirs&Standpipes -
14 331 Trans. &Distrib.Mains &Accessories -
15 333 Services -
16 334 Meters and Meter Installations -
17 335 Hydrants -
18 336 Backflow Prevention Devices -
19 339 Other Plant&Misc. Equipment -
20 340 Office Furniture and Equipment -
21 341 Transportation Equipment -
22 342 Stores Equipment -
23 343 Tools, Shop and Garage Equipment -
24 344 Laboratory Equipment -
25 345 Power Operated Equipment -
26 346 Communications Equipment -
27 347 Miscellaneous Equipment -
28 348 Other Tangible Property -
29 TOTAL PLANT IN SERVICE - 8,748 8,748
(Add lines 1 -28)
Exhibit No. 1
Schedule A

RATE BASE(SCHEDULE"B" ACCUMULATED DEPRECIATION)
Company Name:
Idaho PUC Case Number:
Test Year ended:
Accumulated Depreciation(Annual Report,pg. 6) (A) (B) (C)
Known Pro Forma
ACCT# DESCRIPTION Actual Changes (A+B)
1 304 Structures and Improvements -
2 305 Collecting&Impounding Reservoirs -
3 306 Lake,River&Other Intakes -
4 307 Wells -
5 308 Infiltration Galleries &Tunnels -
6 309 Supply Mains -
7 310 Power Generation Equipment -
8 311 Power Pumping Equipment -
9 320 Purification Systems -
10 330 Distribution Reservoirs &Standpipes -
11 331 Trans. &Distrib.Mains &Accessories -
12 333 Services -
13 334 Meters and Meter Installations -
14 335 Hydrants -
15 336 Backflow Prevention Devices -
16 339 Other Plant&Misc. Equipment -
17 340 Office Furniture and Equipment -
18 341 Transportation Equipment -
19 342 Stores Equipment -
20 343 Tools, Shop and Garage Equipment -
21 344 Laboratory Equipment -
22 345 Power Operated Equipment -
23 346 Communications Equipment -
24 347 Miscellaneous Equipment -
25 348 Other Tangible Property -
26 TOTALS (Add Lines 1 -25) - - -
Exhibit No. 1
Schedule B

RATE BASE(SCHEDULE "C" SUMMARY)
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C)
Test Year Known Pro Forma
Actual Changes* (A+B)
1 Total Plant in Service(Ex 1, Sch A, line 29) - 8,748 8,748
2 Accumulated Depreciation(Ex 1, Sch B, line 26) - - -
3 Net Plant in Service(Line 1 less line 2) - 8,748 8,748
4 Add Utility Plant Acquisition Adjustment -
5 Add Materials & Supplies Inventories -
6 Less Accum Amortization Util Plant Acq Adj -
7 Less Customer Advances for Construction -
8 Less Contributions in Aid of Construction -
9 Add Working Capital(1/8 Operating Expenses) - 8,354 8,354
(Exhibit No. 2, Sch B, Column C, Line 21 divide by 8)
10 Add Deferred Charges (If any, attach detail) -
11 TOTAL RATE BASE - 17,101 17,101
Exhibit No. 1
Schedule C

OPERATING RESULTS (SCHEDULE"A" REVENUES)
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C)
Test Year Known Pro Forma
Actual Changes* (A+B)
Water Revenues:
1 Unmetered 33,585 33,585
2 Metered-Residential -
3 Metered-Commercial&Industrial -
4 Fire Protection Revenue -
5 Other Water Sales Revenue 200 (200) -
6 Irrigation Sales Revenue -
7 Sales for Resale -
8 Total Water Revenue(Add lines 1 -7) 33,785 (200) 33,585
9 DEQ Fees billed separately to customers -
10 Hook-up or Connection Fees collected -
11 Commission-approved Surcharges collected -
12 TOTAL REVENUE(Add lines 8 - 11) 33,785 (200) 33,585
Exhibit No. 2
Schedule A

OPERATING RESULTS (SCHEDULE "B" EXPENSES)
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C)
Test Year Known Pro Forma
Actual Changes (A+ B)
1 Labor-Operation&Maintenance - 23,400 23,400
2 Labor-Customer Accounts -
3 Labor-Administrative&General - 4,000 4,000
4 Salaries-Officers &Directors -
5 Employee Pensions &Benefits -
6 Purchased Water -
7 Purchased Power-Utilities 1,089 1,089
8 Chemicals -
9 Materials & Supplies-Operation&Maintenance 10,766 10,766
10 Materials & Supplies-Admin&General 684 684
11 Contract Services-Professional 18,765 18,765
12 Contract Services-Water Testing 2,872 2,872
13 Rentals-Property&Equipment -
14 Transportation Expense 683 683
15 Insurance 2,069 2,069
16 Advertising -
17 Rate Case Expense(Amortization) 2,500 2,500
18 Regulatory Comm. Exp. (Other Except Taxes) -
19 Bad Debt Expense -
20 Miscellaneous Expenses 5,748 (5,748) -
21 TOTAL OPERATING EXPENSES 21,039 45,790 66,828
Exhibit No. 2
Schedule B

OPERATING RESULTS(SCHEDULE"C"INCOME STATEMENT)
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C)
Test Year Known Pro Forma
Actual Changes (A+B)
1 Revenue(From Ex.2,Sch A) 33,785.00 (200.00) 33,585.00
2 Operating Expenses 21,038.58 45,789.84 66,828.42
3 Depreciation Expense 2,362.00 2,362.00
4 Amortization,Utility Plant Acquisition Adj. -
5 Amortization Exp.-Other -
6 Regulatory Fees(PUC) 130.00 130.00
7 Property Taxes -
8 Payroll Taxes
9A Other Taxes(list) DEQ Fees 3,637.34 (3,637.34)
9B
9C
9D -
10 Federal Income Taxes -
11 State Income Taxes -
12 Provision for Deferred Income Tax-Federal -
13 Provision for Deferred Income Tax-State -
14 Provision for Deferred Utility Income Tax Credits -
15 Investment Tax Credits-Utility -
16 Total Expenses from Operations before interest(Add lines 2- 15) 27,037.92 42,282.50 69,320.42
17 Income from Utility Plant Leases to Others -
18 Gains(Losses)from Disposition of Utility Plant -
19 Net Operating Income(Add lines 1, 17&18 less line 16) 6,747.08 (42,482.50) (35,735.42)
20 Revenues,Merchandizing,Jobbing&Contract Work -
21 Expenses,Merchandizing,Jobbing&Contracts -
22 Interest&Dividend Income -
23 Allowance for funds used during construction -
24 Miscellaneous Non-Utility Income -
25 Miscellaneous Non-Utility Expense -
26 Other Taxes,Non-Utility Operations -
27 Income Taxes,Non-Utility Operations -
28 Net Non-Utility Income(Add lines 20,22,23,&24 - - -
less lines 21,25,26&27)
29 Gross Income(Add lines 19&28) 6,747.08 (42,482.50) (35,735.42)
30 Interest Exp.On Long-Term Debt (518.52) 518.52 -
31 Other Interest Charges -
32 NET INCOME(Line 29 less lines 30&31) 7,265.60 (43,001.02) (35,735.42)
Exhibit No.2
Schedule C

COST OF CAPITAL AND RATE OF RETURN
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C) (D)
Amount %of Total Cost Weighted
Outstanding Outstanding of Cost
(Column A/ Capital (Column B X
Total Line 6) Column C)
1 Common Equity(Proprietor Capital Paid In) 0.00
2 Retained Earnings
3 Total Common Equity(Proprietor Capital)Line 1 +Line 2 0.00 100.00% 11.00% 11.00%
4
5 Long-Term Debt - 0.00% 0.00% 0.00%
6 Total Capital 0.00
7 Weighted Cost of Capital(Rate of Return Required) 11.00%
(Line 3+5)
Exhibit No. 3

REVENUE REQUIREMENT
Company Name:
Idaho PUC Case Number:
Test Year ended:
(A) (B) (C)
Test Year Known Pro Forma
Actual Changes (A+B)
1 Rate Base(Ex. 1, Sch C,line 11) - 17,101 17,101
2 Required Rate of Return(Ex. 3,line 7) 11.00% 11.00%
3 Income Required(Line 1 x Line 2) - 1,881
4 Income Realized(Ex.2, Sch C,line 29) 6,747 (43,001.02) (36,254)
5 Income Deficiency(Line 3 less Line 4) (6,747) 38,135
6 Net Operating Income Deficiency $ (6,747) $ 38,135
7 Gross Up Factor 1.346802 1.346802
8 Total Incremental Revenue Requirement $ (9,087) $ 51,360
9 Revenues at Existing Rates $ 33,785 $ 33,585
10 Total Revenue Requirement $ 24,698 $ 84,945 72 $ 98.32
11 Percent Increase Required -26.90% 152.93%
12 Total Gross Revenues 1.000000 1.000000
13 Less Regulatory Fees(percentage) 0.002127 0.002127
14 State Income Tax Rate 0.058 0.058000 0.058000
15 Total Expenses 0.060127 0.060127
16 Federal Income Tax Base 0.939873 0.939873
17 Federal Income Tax Rate 0.21 0.197373 0.197373
18 Net Operating Revenue 0.742500 0.742500
19 Net Income to Gross Revenue Multiplier 1.346802 1.346802
Exhibit No.4

Appendix 9
Monthly Consumption Data
Production in Winter/Spring: 1.19 Acre Feet per month
Production in Summer/Fall: 10.11 Acre Fee per month

CFS GPM CKM CPD AFPD AF per 30 d;y'-s1 AF per 90 days AF per Year
0.01 4.4883 269.298 6463.152 0.0198351 0.59505 1 1.78515 1 7.239775
0.02 8.9766 538.596 12926.3 0.03967 1.1901 1 3.5703 1 14.47955
0.03 13.4649 807.894 19389.4610,0595051 1.78515 1 5.35545 1 21.719325
0.04 17.9532 - 25852.61 0.07934 1 2.3802 1 7.1406 28.9591
0.05 22.4415 1346.49 32315.76 1 0.0991751 2.97525 1 8,92575 1 36.198875
0.06 26,9298 1615.788 38778.91 1 0.11901 1 3.5703 1 10,7109 1 43.43865
0.07 31.4181 1885.086 45242.0610.1388451 4.16535 1 12.49605 1 50.678425 11
0.08 35.9064 2154.384 51705.221 0.15868 1 4.7604 1 14,2812 1 57.9182
0.09 40.3947 2423.c182 58168.3710.1785151 5.35545 1 16.06635 1 65.157975 1
0.1 44.883 2692.98 64631.521 0.19835 1 5.9505 1 17.8515 1 72.39775
0.11 49.3713 2962.278 71094.671 0.2181851 6.54555 19.63.665 79.637525
0.12 53.8596 3231,576 77557.82 1 0.23802 1 7,1406 21.4218 86.8773
0,13 58,3479 3500.874 84020.981 0.2578551 7.73565 1 23.20695 1 94.117075 1
0.14 62.8362 3770.172 90484.131 0.27769 1 8.3307 1 - 24.9921 1 101.35685
0.15 67.3245 4039.47 96947.2810.2975251 8,92575 1 26.77725 1 108,5966251
0.16 71.8128 4308,768 103410.41 0.31736 1 9.5208 1 28.5624 1 115,8364 1
0.17 76.3011 4578.066 109873.61 0.3371951 10.1158.5 1 30.34755 1 123,0761751
0.18 80.7894 4847,364 116336.71 0.35703 1 10,7109 1 32,1327 1 130.31595
0.19 85,2777 5116,662 122799,91 .0.3768651 11.30595 1 33,91785 1 137.555725
0.2 89,766 5385.96 1 129263 '1 0.396T 1 11.901 35.703 1 144.7955
0.21 94.2543 5655,2581 135726.21 0.416535, 12.496051 37.48.815 1 152.035275
0.22 98.7426 5924.5561 142189.31 0.43637 13.0911 39.2733 1 159.27505
0.23 103.2309 6193.8541 148652-5 1 0.45;3205 13.68615 41.05845 1 166.51.4825
0.24 1 107.7192 6463.1521 155115.61 0.47604 14.2812 42,8436. 1 173.7546
0.25 1 112.2075 6732.45 1 161578.81 0.495875 14.87625 44.62875 1 180.994375
0 0.26 1 116:,.6958 7001.7481 168042 1 Q.51571 1.5.4713 46.4139 1 188.23415
1 '0.27 1 121.1841 . 7271.046 1 174505.1 1 0.535.545 16.06635 48.1 90:5 1 195.473925
0.28 .1 125.6724 7540.3441 180968.31 0.5.5538 16,6614 49.9842 1 202.7137
0.29 1 130.1607 7809.642 187431.41 0.5752151 17.2.5645 51.769_35 1 209.953475
1 0.3 1 134.649 8078.94 193894.6 1 0.59505 1 17. p15 53;5545 1 217.19325
0.31 1 139.1373 8348,238 200357.710.614885 18.44655 55,33965 1 224.4330251
0.32 1 143.6256 8617.536 206820.91 0.63472 19.0416 57.124e 1 231.6728
0.33 1 148.1139 8886.834 213284 1 0.654555 19.63665 58.90995 1 238.912575
1 0.34 1 152.6022 9156.132 219747.2 , 0.67439 1 20.2317 60.6951 i 246.15235
0.35 1 157.0905 1 9425.43 226210.3 0.6942251 20.82675 62.48025 1 253,3921251
_ 0.36 1 161.5788 9694.728 232673.5 0,71406 1 21.4218 64.2654 1 260.6319
.0.37 1 166.0671 ( 9964.026 239136.6 0.7338951 22.01685 66.05055 1 267.871675
0.38 1 170.55541 10233.32 245599.8 0.75373 1 22.6119 67.8357 1 275.11145
0.39 1 175.04371 10502.62 252062.9 0.7735651 23.20695 69.62085 1 282.351225
0.4 179.532 1 10771.92 258526.1 0.7934 1 23.802 71.406 1 289.591 1
1 0.41 1 184.02031 11041.22 264989.2 0.8132351 24.39705 73.19115 1 296.8307751
{ 0.42 1 188.50861 11310.52 .271452.4 0.83307 1 24.9921 74.9763 1 304.07055 11
1 0.43 1 192.99691 11579.81 277915.5 0.8529051 25.58715 7.6.76145 1 311.3103251
1 0.44 1 197.48521 11849.11 1 284378.T 0.87274 26.1822 78.5466 1 318.5501 1 el\ S
1 0.45. 201.97351 12118.41 1 290841.8 0.892575. 26.777.25 80.33175 1 325.789875 1 ,iT�.�zl in
1 0.46 206.4618 1 12387.71 1 297305 0.91241 27.3723 82.1169 1 333.02965 1 I..,•t--rtS <
1 0.47 210.9501 1 12657.01 1 303768.1 0..932245 27.96735 83,90205 1 340.2694251
1 0.48 215.4384'1 12926,3 1 310231.3 0.95208 28.5624 85.6872 1 347.5092 1
1 0.49 219.92671 13195.6 1 316694.4 0.971915 29.15745 87.47235 1 354.7489751
p 0.5 224A15 1 13464.9 1 323157.6 0;99175 29.7525 89.2575 1 36,1.98875 A
1 0,51 228.90331 13734.2 1 329620.8 1.011585 30.34755 91.04265 1 369.2285251

Appendix 10
Current Rate Structure
Our current rate is $37 per month including 10,000 gallon of water. Overages over 10,000
gallons are charged at $3 per 1,000 gallons. We have been charging this rate for 2 years. We
bill quarterly for$111.
Proposed Rate Structure
See Schedule No. 1 and Schedule No. 2 attached.

Priest Lake Water Company
Sheet 1
SCHEDULE NO. 1
RECURRING CHARGES
RESIDENTIAL - Metered Customers
Monthly Customer Charge Volume Included
$98.00 30,000 Gallons
Commodity Charge $3.00
The commodity charge for each additional 10,000 gallons over the
minimum volume included (30,000 gallons)
Multi-Use Property Additional $50.00
Multi-use property is defined as a duplex, multi-family, multiple R.V. sites,
A.D.U.'s, etc.
COMMERCIAL - Metered Customers
Monthly Customer Charge Volume Included
$100.00 30,000 Gallons
Commodity Charge $3.00
The commodity charge for each additional 10,000 gallons over the
minimum volume included (30,000 gallons)
Multi-Use Property Additional $50.00
Multi-use property is defined as a duplex, multi-family, multiple R.V. sites,
A.D.U.'s, etc.
Meter Readings
Meter readings will be done at the end of each month, except when
conditions make meters inaccessible. In the event the Company cannot
read a customer's meter for a billing period, the customer will only be
billed the minimum monthly charge as set forth above. The Company
aggregates the monthly allowance (i.e. 30,000 gallons) for each month
that no meter reading is taken and bills for all usage exceeding the
allowances on the next bill issued after the meter reading is taken.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 2
SCHEDULE NO. 2
NON-RECURRING CHARGES
1. Return check fee for each check return for non-sufficient funds
charges
a. $20.00 additional of amount owed
2. Shut-off at customer request
a. $25.00 during normal working hours
b. $50.00 outside of normal working hours
3. Re-connection charge after disconnection for non-payment
a. $75.00 during normal working hours and
b. $150.00 before or after normal working hours
4. Late Payment Fee - $15.00 additional of past due balance owed at
the time of each billing
Normal business hours are defined 8:00 a.m. to 5:00 p.m. Monday
through Friday except for legal holidays recognized by the Idaho State
Government Offices.
Normal due date for all bills shall be fifteen (15) days after the billing date.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Appendix 11
Current Rate Structure
Our current rate is $37 per month including 10,000 gallon of water. Overages over 10,000
gallons are charged at $3 per 1,000 gallons. We have been charging this rate for 2 years. We
bill quarterly for$111.
Proposed Rate Structure
See Schedule No. 3 attached.
Residential Monthly Rates (subject to increase on an annual basis):
Minimum for 30,000 gallons $98.00
Monthly usage above 30,000 $3.00 per each additional
gallons 10,000 gallons
Multi-use property(duplex, multi- Additional $50.00
family, multiple R.V. sites,
A.D.U.'s, etc.)
Commercial New Connection Fees:
Labor $[1,500.00]
Cost of Materials (subject to $[2,400.00]
change)
1"meter plus additional costs $ .00
Total $10,000.00
Commercial Monthly Rates (subject to increase on an annual basis):
Minimum for 30,000 gallons $100.00
Monthly usage above 30,000 $3.00 per each additional
gallons 10,000 gallons
Multi-use property(duplex, multi- Additional $75.00
family, multiple R.V. sites,
A.D.U.'s, etc.)
Other Fees (subject to discussion with IPUC):
Late Fee $15.00/mo
Shut Off Notice $25.00
Reinstatement Fee $50.00

Priest Lake Water Company
Sheet 3
SCHEDULE NO. 3
HOOKUP FEE (New Service)
Residential Commercial
Cost of Materials $5,944.00 $5,944.00
Labor $1,500.00 $1,500.00
Total $7,444.00 $7,444.00
Cost of Materials: meter, meter pit, distribution line, valve(s), additional
parts and materials, etc.
Labor: A minimum of ten (10) hours. Each additional hour, customer will
be charged at the contractors hourly rate.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Appendix 12
Notifications

PRIEST LAKE WATER LLC
279 Tracy Lane
Priest Lake, Idaho 83856
509-993-7013
2024
Dear Residents of Marvin Estates,
We have exciting news for you, our valued neighbors and customers.
First,we have applied for and received from the Idaho Department of Water Resources a permit
to provide water for domestic and commercial purposes to the thirty (30) lots in Marvin Estates
along Highway 57 (Permit No. 97-9802). These lots are zoned for residential and commercial
use, but the original Water Right License (No. 97-7368) only permitted residential service. We
look forward to the benefits brought to our community by being able to serve owners who will
now be able to use those lots in accordance with the applicable zoning. The expense for the
lengthy application process was born entirely by me personally.
Second, we are in the process of applying for a Certificate of Public Convenience and Necessity
from the Idaho Public Utility Commission. This will enable the water company to be a regulated
utility, which will benefit you as recipients of our water through the oversight and expertise of
the Idaho Public Utility Commission. The service area will remain the same.
As part of ensuring that this water company has the resources necessary to continue to offer you
a continuous supply of clean water, the Idaho Public Utility Commission has recommended that
the rate be increased to $98.00 per meter per month. Commercial accounts will be charged a
monthly rate of$100.00 per meter per month. The reasons for this rate increase include the
following:
1) Costs of replacing and upgrading defective service valves and improperly installed
water meters with curb stops and lead-free meter pits;
2) Installation of water meters with double check valves,per the requirements of a
backflow prevention plan;
3) Maintenance of aging infrastructure, including the 120,000 gallon water tank that
needs maintenance including cleaning, repair of cracks, and new paint;
4) To provide for the costs of improvements to the well lot, including tree removal,
security fencing, and dry storage for materials;
5) Service costs of the two 30-year old submersible well pumps; and
6) Increased costs associated with compliance with state regulatory agencies, including
the Idaho Department of Water Resources, the Idaho Public Utility Commission, and
the Department of Environmental Quality.
Please contact me if you have any questions.

If you want to contact the Idaho Public Utility Commission, please do so at:
Phone number: 208-334-0300
Mailing address:
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
We have included a new agreement for service with this letter. Please fill it out and return it with
your payment.
We look forward to continuing to serve you!
Jared Horlacher, Owner
PRIEST LAKE WATER LLC

The following public notice was posted and read aloud at the Marvin Estates P.O.A. meeting on
June 22, 2024:
Priest Lake Water LLC keeps compliance with three prominent state agencies... Idaho
Department of Environmental Quality, Idaho Department of Water Resources, and most recently
the Idaho Public Utility Commission. I will try to briefly summarize the relationship between
these agencies and Priest Lake Water LLC.
Idaho D.E.Q. monitors our infrastructure and water quality. D.E.Q. tells us which contaminants
to test for and how often. Our wells have been proven to be free of any bacteria and we therefore
are not required to chlorinate. Unfortunately,there are an endless number of scenarios where our
water could become contaminated through a cross connection or backflow situation. To help
prevent a situation like this, we ask that all water customers use a backflow prevention device on
all of their sprinkler systems and stand pipes.
I.D.W.R. issues permits, certificates, and licenses for water rights in the state of Idaho. Priest
Lake Water LLC has spent the last 9 months applying for a commercial use water rights license
for the 30 commercial lots fronting Hwy 57 in Marvin Estates. We have been issued a permit to
appropriate water on these 30 commercial lots for commercial use. In the near future, customers
will have the option to upgrade to a commercial water service on their commercial lot.
Commercial water services will be an upgraded 1" meter pit with backflow device.
I.P.U.0 regulates privately owned water systems and utility companies. Priest Lake Water LLC
does not have, and never has had, a commercial rate structure. We are in the process of applying
for a C.P.C.N. with the I.P.U.C. The Certificate of Public Convenience and Necessity will enable
the Public Utility Commission to regulate our water rates and fees. Once this application is
completed, we will have established commercial water rates and hook-up fees.Also new rates
and fees for our domestic use customers.
We are hopeful that this process will be completed in the near future. If customers or future
customers have any questions about their water service, call Jared Horlacher at 509-993-7013.
Monday through Friday 8:00 am to 5:00 pm.

Appendix 13A
Bill Statement and Utility Billing Policy

Priest Lake Water LLC STATEMENT
279 Tracy Lane
Priest Lake ID 83856
Phone: [phone]
INVOICE: 00012
DATE: 10/01/24
TO: LOT AND BLOCK:
Customer Name BLOCK_ LOT_
Address line I
Address line 2
Phone
Email
DATE DESCRIPTION AMOUNT PAYMENT BALANCE
10/1/24 October 98.00
TOTAL 98.00
Payment notes:
• Make all checks payable to Priest Lake Water LLC
• To pay online, please use the following link or QR code:
paypal.me/priestlalcewaterllc
Q
L.
a......... . ...
PAYMENTS ARE DUE ON OR BEFORE THE 30TH DAY AFTER THE QUARTER BILLED. ANY PAYMENT
RECEIVED AFTER THAT DATE WILL BE SUBJECT TO A $15.00 LATE FEE FOR EACH DELINQUENT
MONTH

PRIEST LAKE WATER L L C
279 Tracy Lane
Priest Lake, Idaho 83856
509-993-7013
UTILITY BILLING POLICY
FEES:
• Household water usage fee is $50.00
o NON-FLOWING METER FEE IS [$27.50]
• Commercial Water usage fee is $75.00
• A [$75.00] re-connect fee will be charged for reinstatement o f water during normal
business hours. [$150.00] for before or after normal business hours.
UTILITY BILL:
Water usage is measured by reading the meters in the months of May 1st to October 1st. Billing is
sent out quarterly by mail; April, July, October, and January.
Contact Jared Horlacher
PRIEST TAKE WATFRLLC
279 Tracy In
Priest Lake, Idaho 83856
509-993-7013
LATE FEE:
A late fee of$15.00 will be added for each delinquent account each month for payments not
received by the 25 th of the month.
DELINQUENT POLICY:
All accounts are delinquent when not paid by the 30th day after the end ofthe quarter billed. A
late fee of$15.00 will be added for each delinquent month until paid in full. Any bill not paid 60
days after the end ofthe billing date will be delivered a"Shut OffNotice" to the residence. The
shut offnotice will carry a fee of$25.00 which is added to the delinquent amount. Ifthe
delinquent amounts, and the $25.00 fee, are not paid within the 48-hour notice period the water
will be shut off. After the water is shut off, the owner will pay a reinstatement fee of$50.00 and
the shut off fee of$25.00. This will be in addition to the delinquent account balance. Any
balance 75 days delinquent will then be subject to a lien on the property.

Appendix 13B
Reminder Notice-Termination of Service

Appendix 13B
Reminder Notice-Termination of Service
DELINQUENT
WATER BILL NOTICE
DATE OF THIS NOTICE
NAME
ADDRESS
Water service to this premises will be
discontinued unless past-due payment is
received in our office by
❑ Your water service has been discontinued.
Service will be resumed when our office
receives payment of past-due bills.

PRIEST TAKE WATERLLC
279 Tracy Lane
Priest Lake, Idaho 83856
509-993-7013
TERMINATION NOTICE
ACCOUNT NUMBER:
SERVICE ADDRESS:
TERMINATION DATE:
BALANCE DUE:
You are hereby notified that you are delinquent in payment ofwater service provided to you by
Priest Lake Water LLC. The balance owed on your account is indicated above.
Ifthis balance is not paid or ifpayment arrangements are not made before the date shown above,
then YOUR WATER SERVICE WILL BE DISCONNECTED.
To avoid termination of service, you must contact PRIEST LAKE WATER LLC before the
Termination Date to make a payment arrangement or pay in full. Please call on weekdays
between 9:00 am and 5:00 pm.
Termination may be delayed by:
1. Providing a statement from a medical professional advising us of the existence of a
medical emergency that resulted directly in your inability to timely pay; or
2. Filing a complaint regarding the proposed termination with the Idaho Public Utilities
Commission, PO Box 83720, Boise, ID 83720-0074 (800-432-0369 or 208-334-0369).
Service will not be terminated prior to the resolution of a filed complaint. Termination of service
does not relieve you ofyour obligation to pay for all services prior to termination.
In accordance with the Utility Billing Policy, should service be terminated, a charge for
restoration of service during regular office hours of$50.00, or $100.00 for other than regular
office hours, must be paid in addition to the Balance Due stated above, shut-off fee of$25.00,
and any other fees assessed in accordance with the Utility Billing Policy, prior to restoration of
service.
If you are unable to pay your bill in full, Priest Lake Water LLC may assist you by making
payment arrangements.
Remember, your water will be turned offon or after the Termination Date shown above.,
unless you act before that date.

Appendix 13C
Final Notice - Termination of Service

PRIEST LAKE WATER L L C
279 Tracy Lane
Priest Lake, Idaho 83856
509-993-7013
FINAL NOTICE OF TERMINATION
ACCOUNT NUMBER:
SERVICE ADDRESS:
TERMINATION DATE:
BALANCE DUE:
You are hereby notified that you are delinquent in payment of water service provided to you by
Priest Lake Water LLC. The balance owed on your account is indicated above.
Ifthis balance is not paid or ifpayment arrangements are not made before the date shown above,
then YOUR WATER SERVICE WILL BE DISCONNECTED.
To avoid termination of service, you must contact PRIEST LAKE WATER LLC before the
Termination Date to make a payment arrangement or pay in full. Please call on weekdays
between 9:00 am and 5:00 pm.
Termination may be delayed by:
1. Providing a medical certificate advising us o f the existence of a Medical Emergency; or
2. Filing a complaint regarding the proposed termination with the Idaho Public Utilities
Commission, PO Box 83720, Boise, ID 83720-0074 (800-432-0369 or 208-334-0369).
Service will not be terminated prior to the resolution of a filed complaint. Termination of service
does not relieve you of your obligation to pay for all services prior to termination.
In accordance with the Utility Billing Policy, should service be terminated, a charge for restoration of
service during regular office hours of$50.00, or $100.00 for other than regular office hours, must be
paid in addition to the Balance Due stated above, shut-off fee of$25.00, and any other fees assessed in
accordance with the Utility Billing Policy, prior to restoration of service.
If you are unable to pay your bill in full, Priest Lake Water LLC may assist you by making
payment arrangements.
Remember, your water will be turned off on or after the Termination Date shown above.,
unless you act before that date This is your final notice.

Appendix 13D
Annual Rules Summary

PRIEST LAKE WATER LLC
279 Tracy Lane
Priest Lake, Idaho 83856
509-993-7013
SUMMARY OF RULES AND REGULATIONS OF THE IDAHO PUBLIC UTILITIES COMMISSION (IPUC) GOVERNING CUSTOMER
RELATIONS OF NATURAL GAS, ELECTRIC AND WATER PUBLIC UTILITIES
These rules cover the rights and responsibilities of the customer and the utility.
A utility may terminate service to a customer without his/her permission after adequate notice for the following reasons:
1 Failure to pay an undisputed past due bill, or when payment is made with a dishonored check or electronic payment.
2 Failure to make security deposit where it is required.
3. Failure to abide bl terms of a payment arrangement.
4. Customer or applicant misrepresented their identity for the purpose of obtaining utility service.
5 Customer or applicant denied or prevented the utility's access to the meter.
6 Willful waste of service through improper equipment or otherwise.
7. Customer or applicant is a minor not competent to contract as defined bl Idaho Code.
& Customer or applicant owes money cn an existing account or from a previous account for service provided within the
past four years.
A utility may deny or terminate service without prior notice to the customer or applicant and without his/her permission
for one or more of the following reasons:
1 A situation exists that is immediately dangerous to life, physical safety, or property.
2 The utility is ordered to terminate service by any court,the Commission or other duly authorized public authority.
3. The service is obtained, diverted, or used without the authorization or knowledge of the utility.
4. The utility has made a diligent attempt to notify the customer of termination, but has been unable to make contact.
NOTIFICATION
1 A billing may be considered past due thirty (30) days after the billing date. A written notice of termination
must be mailed at least seven (7) days before the proposed termination date. (Initial Notice)
2 At least twenty-four(24) hours before the service is terminated, another attempt shall be made to contact the customer
n person or by telephone. (Final Notice)
3. If service is not terminated within twenty-one (21) calendar days after the proposed termination date, another initial and
final notice are required.
4. Nb additional notice is required if, upon receipt of a termination notice, the customer makes a payment arrangement and
fails to keep it, or when payment is made with a dishonored check or electronic payment.
WHEN TERMINATION IS NOT ALLOWED
1 The unpaid bill totals less than fifty dollars ($50) or two (2) months service, whichever is less.
2 The unpaid bill is for service to another customer.
3. The unpaid bill results from the purchase of non-utility goods or services.
4. Terminations are not allowed m Friday, Saturday, Sunday, legal holidays recognized bV the State of Idaho, the day
preceding legal holidays, or at any time when the company is not open for business.
MEDICAL EMERGENCY
If the customer or a member of the customer's family is seriously ill or has a medical emergency,the utility will postpone
termination of service for thirty (30) days if a written certificate signed bl a licensed physician or public health official is
received.
PAYMENT ARRANGEMENT
The Company may assist you by making payment arrangements not requiring immediate payment in full. Please contact
us prior to the Final Date to arrange such a payment plan.
COMPLAINT PROCEDURE
An informal or formal complaint concerning the termination of service, policies and practices, or any other matter may be
filed directly with the utility. If the customer is dissatisfied with the proposed resolution of the complaint, they may
contact the Consumer Assistance staff at:
Idaho Public Utilities Commission
PO Box83720
1

Boise, ID 83720-0074
800-432-0369 (toll free) or 208-334-0369 http:/Iwww.puc.idaho.eov
Termination of service is prohibited while a complaint is pending with the Commission or with a court in the
State of Idaho.
The Commission's Utility Customer Relation Rules are available on the IPUC's website.
DEPOSIT
The IPUC rules allow utilities to ask for deposits or payment guarantees under specific conditions. At this time,the
Company does not require deposits or payment guarantees.
2

Appendix 13E
Company Tariff—including General Rules and Regulations
(based on Model Tariff 2008)

Priest Lake Water Company
Sheet 1
SCHEDULE NO. 1
RECURRING CHARGES
RESIDENTIAL - Metered Customers
Monthly Customer Charge Volume Included
$98.00 30,000 Gallons
Commodity Charge $3.00
The commodity charge for each additional 10,000 gallons over the
minimum volume included (30,000 gallons)
Multi-Use Property Additional $50.00
Multi-use property is defined as a duplex, multi-family, multiple R.V. sites,
A.D.U.'s, etc.
COMMERCIAL - Metered Customers
Monthly Customer Charge Volume Included
$100.00 30,000 Gallons
Commodity Charge $3.00
The commodity charge for each additional 10,000 gallons over the
minimum volume included (30,000 gallons)
Multi-Use Property Additional $50.00
Multi-use property is defined as a duplex, multi-family, multiple R.V. sites,
A.D.U.'s, etc.
Meter Readings
Meter readings will be done at the end of each month, except when
conditions make meters inaccessible. In the event the Company cannot
read a customer's meter for a billing period, the customer will only be
billed the minimum monthly charge as set forth above. The Company
aggregates the monthly allowance (i.e. 30,000 gallons) for each month
that no meter reading is taken and bills for all usage exceeding the
allowances on the next bill issued after the meter reading is taken.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 2
SCHEDULE NO. 2
NON-RECURRING CHARGES
1. Return check fee for each check return for non-sufficient funds
charges
a. $20.00 additional of amount owed
2. Shut-off at customer request
a. $25.00 during normal working hours
b. $50.00 outside of normal working hours
3. Re-connection charge after disconnection for non-payment
a. $75.00 during normal working hours and
b. $150.00 before or after normal working hours
4. Late Payment Fee - $15.00 additional of past due balance owed at
the time of each billing
Normal business hours are defined 8:00 a.m. to 5:00 p.m. Monday
through Friday except for legal holidays recognized by the Idaho State
Government Offices.
Normal due date for all bills shall be fifteen (15) days after the billing date.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 3
SCHEDULE NO. 3
HOOKUP FEE (New Service)
Residential Commercial
Cost of Materials $5,944.00 $5,944.00
Labor $1,500.00 $1,500.00
Total $7,444.00 $7,444.00
Cost of Materials: meter, meter pit, distribution line, valve(s), additional
parts and materials, etc.
Labor: A minimum of ten (10) hours. Each additional hour, customer will
be charged at the contractors hourly rate.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 4
GENERAL RULES & REGULATIONS
FOR SMALL WATER UTILITIES
1. GENERAL
1.1 The Customer, in receiving water service, and the Company, in
providing water service, shall both agree to abide by these rules
and regulations.
1.2 In the event that there is a conflict between these rules and
regulations and the Utility Customer Relations Rules (UCRR), the
Rules and Regulations of the Idaho Public Utilities Commission
(Commission) shall take precedence unless an exception has been
granted.
1.3 All recurring and non-recurring charges shall be approved in
advance by the Commission.
2. DEFINITIONS
2.1 Applicant - a potential customer (person, business or government
agency) applying for service to the Company and subject to the
Commission's rules and regulations.
2.2 Billing Period - the period of time between bills from the Company
for normal services rendered.
2.3 Commission - Idaho Public Utilities Commission.
2.4 Commodity Charge - a recurring charge based only on the quantity
of water used.
2.5 Company - the water company.
2.6 Connection or Hook-Up Fee - a non-recurring charge paid by a
Customer requesting service for partial or full recovery of the
Company's cost of providing a new service connection.
2.7 Contribution in Aid of Construction - a non-recurring charge paid by
a Customer or developer to help defray the cost of system
expansion.
2.8 Customer - a person, business or government agency responsible
for paying bills and complying with the rules and regulations of the
company.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 5
2.9 Customer Charge - a recurring fixed charge to recover a portion of
the cost of meter reading and billing.
2.10 Fixed or Flat Rate - a recurring charge of a fixed amount, usually in
an unmetered system.
2.11 Franchise Tax - the tax imposed on a Company by a governmental
entity for the privilege of doing business within its boundaries.
2.12 Late Payment Charge - the non-recurring charge levied against any
delinquent balance.
2.13 Minimum Charge - the minimum recurring charge for a billing
period that may or may not include a specified quantity of water.
2.14 Non-recurring Charges - the charges that are not assessed each
billing period.
2.15 Premises - the Customer's property including out buildings which
are normally located on one lot or parcel of ground.
2.16 Rate Schedule - the schedules of all recurring and non-recurring
charges of the Company.
2.17 Reconnection Charge - the charge paid by a Customer to the
Company to restore service after disconnection.
2.18 Recurring Charges - the charges that are assessed each billing
period.
2.19 Tariff - the rate schedules and the rules and regulations which
govern the Company's service.
2.20 Utility Customer Relations Rules (UCRR) - Customer Relations Rules
for Gas, Electric, and Water Public Utilities Regulated by the Idaho
Public Utilities Commission (The Utility Customer Relations Rules) -
IDAPA 31.21.01.000 et seq.
3. SERVICE FOR NEW CUSTOMERS
3.1 The Company shall furnish service to applicants within its
certificated service area in accordance with rates and the rules and
regulations approved by the Commission.
3.2 Applicants for water service may be required to sign a standard
form of service application.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 6
3.3 The Company shall not be obligated to provide service at a service
location until any required deposit has been received by the
Company in accordance with the UCRR.
3.4 Special contracts may be required where large investments in
special facilities are necessary to provide the requested service.
The Company may require contribution toward such investment
and establish such minimum charges as are deemed necessary. All
such contracts shall be subject to the approval of the Commission.
3.5 The Company reserves the right to place limitations on the amount
and character of water service it will supply and to refuse service if,
in its opinion:
a. the Company is required to refuse or limit service by
regulatory authorities having jurisdiction over the Company;
b. the requested service installation is of larger size than is
necessary to properly serve the premises;
C. the permanency of the building, structure, or institution
requesting to be served is such that the Company's
investment in such service is jeopardized;
d. the depth of the applicant's service line is less than the
minimum depth required for frost protection;
e. the applicants' proposed service, main or other appurtenance
does not conform to good engineering design or meet the
standard specifications of the Company; or
f. if the applicant refuses to agree to abide by the rules and
regulations of the Company.
If the Company denies service to an applicant for any reason, it
shall immediately provide the applicant with a written explanation
of its decision in accordance with the UCRR.
4. DEPOSITS
4.1 Rules and Regulations regarding deposits can be found in the
UCRR.
5. RATES
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 7
5.1 Rates charged for water service and supply shall be those published
in the Company's tariff and approved by the Commission.
6. BILLING AND PAYMENT
6.1 All Customers shall be billed on a regular basis as identified on the
applicable rate schedule.
6.2 If the system is metered, the Company shall try to read the meters
prior to each billing unless specified differently on the applicable
rate schedule. If the Company's meter reader is unable to gain
access to the premises to read the meter, or in the event the meter
fails to register, the Company will estimate the Customer's water
consumption for the current billing period based on known
consumption for a prior similar period or average of several
periods. Subsequent readings will automatically adjust for
differences between estimated and actual. Bills based on estimated
consumption shall be clearly marked as "estimated".
6.3 All bills shall clearly indicate the balance due, and may be due and
payable no less than 15 days after the date rendered. All bills not
paid by due date may be considered delinquent and service may be
disconnected subject to the provisions of the UCRR.
6.4 A Late Payment Charge may be levied against any delinquent
account. All payments received by the next billing date shall be
applied to the Customer's account prior to calculating the Late
Payment Charge.
6.5 The minimum bill or customer charge shall apply when service is
provided for less than one month.
6.6 Owners of premises with one or more condominiums, buildings,
stores, apartments or any other divisions of like or similar
character, all of which are served from one (1) service connection
are responsible for the entire water charges. If the owner desires
to cease being responsible for water bills for such places and
desires that the occupant of each division will be responsible for her
or her respective bill, such transfer of responsibility will not be
accepted or recognized by the Company until the plumbing
arrangements of the building or premises are so changed by the
owner or his or her agent as to permit the Company, to its
satisfaction, to serve each division or occupant separately from the
other occupants in the same building.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 8
6.7 Accounts shall be continued and water bills rendered regularly until
the Company has been duly notified to discontinue service.
7. METERING (If Applicable)
7.1 Meters will be installed by the Company near the Customer's
property line or at any other reasonable location on the Customer's
premises that is mutually agreed upon.
7.2 The Company's representative shall be given access to the
Customer's premises at all reasonable hours for the purpose of
obtaining meter readings. In the event of recurring inaccessibility
the Company may, at its option and after notifying the customer,
relocate its metering equipment at the Customer's expense.
7.3 The Company shall be responsible for the maintenance of its
metering equipment. Meters are considered to be sufficiently
accurate if tests indicate that meter accuracy is within + 2 percent.
When for any reason a meter fails to register within these limits of
accuracy, the Customer's use of water shall be estimated on the
basis of available data and charges shall be adjusted accordingly.
Corrected bills shall then be sent out to the customer and additional
payment or refund arrangements shall be made in accordance with
the UCRR.
7.4 The Company reserves the right to test and/or replace any meter.
Upon deposit of a "Meter Testing Fee" by a Customer, the Company
will test the Customer's meter. If the test indicates that the meter
over-registers by more than 2 percent, it shall be replaced with an
accurate meter at no cost to the Customer and the "Meter Testing
Fee" shall be refunded and water bills shall be adjusted in
accordance with the UCRR. Meter Testing Fees shall require prior
approval by the Commission.
7.5 At the Company's discretion, un-metered Customers may be
converted to metered service if such transition occurs in a planned,
systematic manner without unreasonable discriminations and if the
Company has an approved metered rate.
7.6 The Company will have the right to set meters or other devices
without notice to the Customer for the detection and prevention of
fraud.
7.7 In any building where the meter is to be installed in the basement,
the incoming water pipe must enter the basement at least sixteen
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 9
(16) inches from the riser in order that a meter can be set in a
horizontal position in the basement. All pipes to the different parts
of the building or grounds must lead from the riser at least one (1)
foot above the elbow.
8. CUSTOMER PLUMBING AND APPLIANCES
8.1 All plumbing, piping, fixtures and appliances on the Customer's side
of the service connection will be installed and maintained under the
responsibility and at the expense of the Customer or owner of the
premises.
8.2 The plumbing, piping, fixtures and appliances shall be maintained
in conformity with all municipal, state and federal requirements.
The nature and condition of this plumbing, piping and equipment
will be such as not to endanger life or property, interfere with
service to other Customers or permit those with metered services
to divert system water without meter registration.
8.3 A stop-and-waste valve will be installed on the Customer's
plumbing in a place always accessible and so located as to permit
shutting off the water for the entire premises with the least
possible delay.
8.4 All persons having boilers, water tanks or other equipment supplied
by direct pressure from the Company's mains should install a
pressure relief valve, or other device to serve the same purpose, so
as to prevent excess pressure from forcing hot water and/or steam
back into the water meter and mains of the Company. All damage
to the Company's property resulting from the failure to properly
equip plumbing with a relief valve will be billed to the Customer.
8.5 The Company is not obligated to perform any service whatever in
locating leaks or other trouble with the customer's piping.
8.6 When the premises served by the Company are also served in any
manner from another water supply of any kind, an approved
backflow prevention device shall be installed at the service
connection. Water service for either stand-by or other purposes
will not be furnished until piping and connections are inspected and
approved by a representative of the Company.
8.7 Property owners will not be allowed to connect the water service of
different properties together.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 10
8.8 All of the Customer's service pipes and fixtures must be kept in
repair and protected from freezing at his or her expense. When
there are leaking or defective pipes or fixtures, the water may be
turned off at the option of the Company until the proper repairs are
made.
9. INSTALLATION OF SERVICE CONNECTIONS
9.1 The service connection is the property of the Company and as such,
the Company is responsible for its installation and maintenance. It
consists of piping, curbstop and valve or meter box and a meter, if
the system is metered. The service connection transmits water
from the Company's water main to a valve or meter box generally
located near the Customer's property line. All piping, valves or
appliances beyond this point shall be the property and
responsibility of the Customer.
9.2 The Company reserves the right to designate the size and location
of the service line, curbstop, meter (if applicable) and meter or
valve box and the amount of space which must be left unobstructed
for the installation and future maintenance and operation thereof.
9.3 Where a service connection is desired for premises on which there
is no permanent structure, the Company will install a service
connection to said premises only upon payment by the applicant of
the estimated cost of said service connection. If within a period of
five (5) years from the installation of said service connection a
permanent structure is erected on the premises, the Company will
refund, with interest, the difference between any approved new
Customer charges in effect at the time of connection, and the
applicant's advance.
9.4 The extra costs of any out-of-the-ordinary circumstances requiring
additional equipment or special construction techniques involved in
the installation of a service connection will be agreed to in advance
by the Customer and the Company.
10. REPLACEMENT OR ENLARGEMENT OF SERVICE CONNECTION
10.1 Unless otherwise provided herein, the Company shall replace or
enlarge service connections at its own expense as follows:
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 11
a. whenever it is necessary to change the location of any
service connection due to relocation or abandonment of the
Company's mains; and,
b. for commercial or industrial services where the type or
volume of use has changed and the enlargement will result
in sufficient increase in annual revenue to justify the
enlargement.
10.2 The relocation, enlargement or reduction of service connections for
the convenience of the Customer will be at the expense of the
Customer. Prior to such relocation, enlargement or reduction, the
Customer will deposit the estimated cost thereof with the
Company. Within fifteen (15) days, a refund will be made to the
Customer in the amount by which the estimated cost exceeds the
actual cost. The amount by which the actual cost exceeds the
estimated cost will be due and payable within fifteen (15) days
after billing for such deficiency.
10.3 Enlargement of any service connection will be made only after such
time as the Customer's plumbing inside his or her premises have
been enlarged sufficiently to accommodate the additional capacity.
11. DISCONNECTION AND RECONNECTION OF SERVICE
11.1 When a Customer desires to discontinue service he shall give notice
to the Company at least two (2) days in advance and be
responsible for all water consumed for the two (2) days after the
date of such notice.
11.2 The Company shall discontinue a Customer's service on an
involuntary basis only in accordance with UCRR.
11.3 When it becomes necessary for the Company to involuntarily
discontinue water service to a Customer, service shall be
reconnected only after all bills for service then due have been paid
or satisfactory payment arrangements have been made.
11.4 A reconnection fee may be charged each time a Customer is
disconnected, either voluntarily or involuntarily, and reconnected at
the same premises. The reconnection fee will be paid before service
is restored. Reconnection fees shall not be charged for any
situation or circumstance in which the Customer's water supply is
disconnected by the Company for its convenience.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 12
11.5 The Company reserves the right at any time, upon notice, to shut
off the water for maintenance or expansion and, in emergencies,
may do so without notice. The Company shall at all times use
reasonable diligence and care to prevent interruption of said water
service.
11.6 Except in the case of an emergency, no one, except an authorized
Company representative, shall turn on or turn off the water on the
Company's side of the service connection.
12. EXTENSION OF WATER MAINS
12.1 The extension of system water mains for the purpose of providing
new service shall be handled in accordance with the "Uniform Main
Extension Rules for Small Water Companies" which is attached to
these Rules and Regulations as an Appendix.
13. MISCELLANEOUS
13.1 No customer shall permit any person from another premises to take
water from his or her water service or tap for more than (1) week
without the written permission and consent of the Company.
13.2 No person acting either on his or her own behalf or an agent of any
person, firm, corporation or municipality not authorized by the
Company shall take any water from any fire hydrant on the
Company's system except in the case of an emergency.
13.3 No person shall place upon or about any hydrant, gate, box, meter,
meter box or other property of the Company any building material
or other substance so as to prevent free access at all times to the
same.
13.4 Service will be maintained to domestic Customers on a preferential
basis. Delivery of water under all schedules may be restricted,
interrupted or curtailed at the discretion of the Company in case of
shortage or threatened shortage of water.
13.5 No rate contract or application is assignable from one user to
another, except upon agreement of all parties concerned.
13.6 The Company representative shall be given access to the premises
of the Customer at all reasonable hours for obtaining meter
readings, for turning on or shutting off the flow of water, for
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 13
inspecting, removing, repairing or protecting from abuse or fraud
any of the property of the Company installed on the premises.
Access shall be granted at all times for emergency purposes.
13.7 No one shall tamper or interfere with the Company's equipment or
property, nor shall repairs, connections or replacements be made
without the Company authorization.
13.8 Whenever an applicant desires service of a character for which
there is no available service classification, a contract may be
executed in lieu of a tariff. Any such contract shall be subject to
the approval of the Idaho Public Utilities Commission.
13.9 Copies of the Company's rates and summary of rules and
regulations shall be available at the Company's office and provided
to customers upon commencement of service, and annually
thereafter in accordance with the UCRR.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Priest Lake Water Company
Sheet 14
14. Short-term Rentals
14.1 Renting of any portion of the Premises for less than thirty (30) days
shall be billed at the commercial rate.
14.2 Renting of any portion of the Premises for thirty (30) days or more
shall be billed at the standard residential rate.
15. Diversion of Water
14.3 Customers shall not divert water from Lamb Creek, nor any other
source, in order to service or irrigate their Premises, unless the
Customer has a license from the Idaho Department of Water
Resources to do so.
14.4 Penalties, in accordance with the Idaho Public Utility Commission,
the Idaho Department of Water Resources, and any other
applicable law, shall be imposed for unpermitted diversion of water
from Lamb Creek, or any other source.
Issued Issue by Priest Lake Water Company
Effective Jared Horlacher- Owner
Order No

Appendix 13F
Company Main Extension Rules:Model Uniform Main Extension Rule of Water Utilities 2009

UNIFORM MAIN EXTENSION RULE FOR WATER UTILITIES
Based on Order Na 7830 (Case Na U-1500-22)
A GENERAL PROVISIONS AND DEFINITIONS
1. Applicability
a. All extensions of distribution mains from the utility's existing distribution
system, to serve new customers, except for those specifically excluded
below shall be made under the provisions of this Rule unless specific
authority is first obtained from the Commission to deviate therefrom. A
main extension contract shall be executed by the utility and the applicant
or applicants for the main extension before the utility commences
construction work on said extension or, if constructed by applicant or
applicants, before the facilities comprising the main extension are
transferred to the utility.
b. Extensions solely for fire hydrant, private fire protection, resale,
temporary, standby, or supplemental service shall not be made under this
Rule.
c The utility may, but will not be required to, make extensions under this
Rule in easements or rights-of-way where final grades have not been
established, or where street grades have not been brought to those
established by public authority. If extensions are made when grades have
not been established and there is a reasonable probability that the
existing grade will be changed, the utility shall require that the applicant
or applicants for the main extension deposit, at the time of execution of
the main extension agreement, the estimated net cost of relocating,
raising, or lowering facilities upon establishment of final grades.
Adjustment of any difference between the amount so deposited and the
actual cost of relocating, raising, lowering facilities shall be made within
ten (10) days after the utility has ascertained such actual cost. The net
deposit representing actual cost is not subject to refund. The entire
deposit related to the proposed relocation, raising or lowering shall be
refunded when such displacements are determined by proper authority to
be not required.
2. Definitions
a. Bona Fide Customer, for the purposes of this Rule, shall be a customer
(excluding any customer formerly served at the same location) who has
given satisfactory evidence that service will be reasonably permanent to
the property which has been improved with a building of permanent
nature and to which service has commenced. The provision of service to a
real estate developer or builder during the construction or development
period shall not establish him as a bona fide customer.
b. Real Estate Developer or Builder, for purposes of this Rule, shall include
any individual, association of individuals, partnership, or corporation that
divides a parcel of land into two (2) or more portions.
c Adjusted Construction Cost, for the purposes of this Rule, shall be
reasonable and shall not exceed the costs recorded in conformity with
generally accepted water utility accounting and sound engineering
practices, and as specifically defined in the, Uniform System of Accounts
SWC Model Uniform Main Extension 2009.doc 1

for Water Utilities prescribed by the Commission, of installing facilities, of
adequate capacity for the service requested. If the utility at its option
should install facilities with' a larger capacity or resulting in a greater
footage of extension than required for the service, the adjusted
construction cost for the purposes of this Rule shall be determined by the
application of an adjustment factor to actual construction cost of facilities
installed. This factor shall be the ratio of estimated cost of required
facilities to estimated cost of actual facilities installed.
d. Commission shall mean the Idaho Public Utilities Commission.
a Ownership, Design and Construction of Facilities
a. Any facilities installed hereunder shall be the sole property of the utility.
In those instances in which title to certain portions of the installation, such
as fire hydrants, will be held by a political subdivision, such facilities shall
not be included as a part of the main extension under this Rule.
b. The size, type, quality of materials and their location shall be specified by
the utility and the actual construction shall be done by the utility or by a
constructing agency acceptable to it.
c Where the property of an applicant is located adjacent to a right-of-way,
exceeding 70 feet in width, for a street, highway or other public purpose,
regardless of the width of the traveled way or pavement; or a freeway,
waterway or railroad right-of-way, the utility may elect to install a main
extension on the same side thereof as the property of the applicant and
the estimated and adjusted construction costs in such case shall be based
upon such an extension.
d. When an extension must comply with an ordinance, regulation, or
specification of public authority, the estimated and adjusted construction
costs of said extension shall be based upon the facilities required comply
therewith.
4. Estimates, Plans and Specifications
a. Upon request by a potential applicant for a main extension, the utility shall
prepare without charge a preliminary sketch and rough estimates of the
cost of installation to be advanced by said applicant.
b. Any applicant for a main extension requesting the utility to prepare
detailed plans, specifications and cost estimates shall be required to
deposit with the utility an amount equal to the estimated cost of
preparation of such material. The utility shall, upon request, make
available within 45 days after receipt of the deposit referred to above,
such plans, specifications and cost estimates of the proposed main
extension. If the extension is to include oversizing of facilities to be done
at the utility's expense appropriate details shall be set forth in the plans,
specifications and cost estimates.
c In the event a main extension contract with the utility is executed within
180' days after the utility furnishes the detailed plans and specifications,
the deposit shall become a part of the advance, and shall be refunded in
accordance with the terms of the main extension contract. If such contract
is not so executed the deposit to cover the cost of preparing plans,
specifications and cost estimates shall be forfeited by the applicant for the
main extension and the amount of the forfeited deposit shall be credited
SWC Model Uniform Main Extension 2009.doc 2

to the account or accounts to which the expense of preparing said
material was charged.
d. When detailed plans, specifications and cost estimates are requested the
applicant for a main extension shall furnish a map to a suitable scale
showing the street and lot layouts, and when requested by the utility,
contours or other indication of the relative elevation of the various parts of
the area to be developed. If changes are made subsequent to the
presentation of this map by the applicant, and these changes require
additional expense in revising plans, specifications and cost estimates this
additional expense shall be borne by the applicant, not subject to refund,
and the additional expense thus recovered shall be credited to the account
or accounts to which the additional expense was charged.
5. Timing and Adjustment of Advances
a. Unless the applicant for the main extension elects to arrange for the •
installation of the extension himself as permitted by Section C.l.c., the
full amount of the required advance or an acceptable surety bond must be
provided to the utility at the time of execution of the main extension
agreement.
b. If the applicant for a main extension posts a surety bond in lieu of cash,
such surety bond must be replaced with cash not less than ten (10)
calendar days before construction is to commence; provided, however,
that if special facilities are required primarily for the service requested,
the applicant for the extension may be required to deposit sufficient cash
to cover the cost of such special facilities before they are ordered by the
utility.
c An applicant for a main extension who advances funds shall be provided
with a, statement of actual construction cost and adjusted construction
cost showing in reasonable detail the cost incurred for material, labor, any
other direct and indirect costs , overheads, and total costs; or unit costs
or contract costs; whichever are appropriate.
d. Said statement shall be submitted within sixty (60) days after the actual
construction costs of the installation have been ascertained by the utility.
In the event that the actual construction costs for the entire installation
shall not have been determined within 120 days after completion of
construction work, a preliminary determination of actual and adjusted
construction costs shall be submitted, based upon the best available
information at that time.
e Any differences between the adjusted construction costs and the amount
advanced shall be shown as a revision of the amount of advance and shall
be payable within thirty (30) days of submission of the statement.
6. Assignment of Main Extension Contracts -Any contract entered into under
Sections B and C of this Rule, or under similar provisions of former rules, may
be assigned after settlement of adjusted construction costs, after written
notice to the utility by the holder of said contract as shown by the utility's
records. Such assignment shall apply only to those refunds which become due
more than thirty (30) days after the date of receipt by the utility of the notice
of assignment. The utility shall not be required to make any one refund
payment under such contract to more than a single assignee.
SWC Model Uniform Main Extension 2009.doc 3

7. Interpretations and Deviations - In case of disagreement or dispute regarding
the application of any provision of this Rule, or in circumstances where the
application of this Rule appears unreasonable to either parry, the utility,
applicant or applicants may refer the matter to the Commission for
determination.
B. EXTENSIONS TO SERVE INDIVIDUALS
1. Free-Footage Allowance -The utility shall extend its water distribution mains
to serve new bona fide customers at its own expense, other than to serve
subdivisions, tracts , housing projects , industrial developments or organized
commercial districts, when the required total length of main extension from
the nearest existing utility facility is not in excess of fifty (50) feet per service
connection.
2 Advances - If the total length of main extension is in excess of fifty (50) feet
per service connection applied for, the applicant or applicants for such service
shall be required to advance to the utility, before construction is commenced,
that portion of the estimated reasonable cost of such extension which exceeds
the estimated reasonable cost of 50 feet of the main extension per service
connection, exclusive of the cost of service pipes, meter boxes and meters.
Such estimated reasonable cost shall be based upon the cost of a main not in
excess of six (6) inches in diameter except where a larger main is required by
the special needs of the applicant or applicants. The amount of the advance is
subject to adjustment in accordance with the provisions of Section A.5.e. of
this Rule.
3. Refunds -The money so advanced shall be refunded by the utility, in cash
without interest, in payments equal to the adjusted construction cost of fifty
(50) feet of the main extension for which advance was made, for each
additional service connection made to said main extension exclusive of that of
any customer formerly served in a reasonable manner at the same location.
At the request of the applicant, refunds shall be made within 180 days after
the date of first service to a bona fide customer. If no request is received
from applicant the utility shall, initiate refunds on an annual basis. No refunds
shall be made, after a period of ten (10) years from the date of completion of
the main extension and, the total refund shall not exceed the amount
advanced.
4. Exceptions - Where a group of five (5) or more individual applicants requests
service from the same extension, or in unusual cases after obtaining
Commission authorization, the utility, at its option, may require that the
individual or individuals advance the entire cost of the main extension as
herein provided and the utility shall refund this advance as provided in
Section C.2. of this Rule.
C. EXTENSIONS TO SERVE SUBDIVISIONS, TRACTS, HOUSING
PROJECTS INDUSTRIAL DEVELOPMENTS OR ORGANIZED
COMMERCIAL DISTRICT
L Advances -
a. Unless the procedure outlined in Section C.1.c. is followed, an applicant
for a main extension to serve a new subdivision, tract, housing project or
industrial development or organized commercial district shall be required
to advance to the utility, before construction is commenced, the
SWC Model Uniform Main Extension 2009.doc 4

estimated reasonable cost of the extension to be actually installed, from
the nearest utility facility at least equal in size or capacity to the main
required to serve both the new customers and a reasonable estimate of
the potential customers who might be served directly from the main
extension without additional extension. The costs of the extension shall
include necessary service stubs, or service pipes, fittings, gates and
housing therefore, and meter boxes, but shall not include meters. To this
shall be added the cost of fire hydrants when requested by the applicant
for the main extension or required by public authority, whenever such
hydrants are to become the property of the utility.
b. If, for any purpose, special facilities are required primarily for the service
requested, the cost of such special facilities may be included in the
advance, subject to refund, as hereinafter provided, along with refunds of
the advance of the cost of the extension facilities described in Section
C.i.a. above.
c. In lieu of providing the advances in accordance with Sections C.1.a. and
C.1.b., the applicant for a main extension shall be permitted, if qualified in
the judgment of the utility, to construct and install the facilities himself, or
arrange for their installation pursuant to competitive bidding procedures
initiated by him and limited to qualified bidders. The cost, including the
cost of inspection and supervision by the utility, shall be paid directly by
applicant. The applicant shall provide the utility with a statement of actual
construction cost in reasonable detail. The amount to be treated as an
advance subject to refund shall be the lesser of {1) the actual cost, or (2)
the price quoted in the utility detailed cost estimate. The installation shall
be in accordance with the plans and specifications submitted by the utility
pursuant to Section AAb.
2 Refunds
a. The amount advanced under Sections C.1.a., C.1.b.; i and C.1.c. shall be
subject to refund by the utility in cash, without interest, to the parry or
parties entitled thereto as set forth, in the following two paragraphs. The
total amount so refunded shall not exceed the total of the amount
advanced. Except as hereinafter provided, the refunds shall be made in
annual, semiannual or quarterly payments at the election of the utility,
and for a period not to exceed twenty (20) years after the date of the
contract. ,
b. Whenever costs of main extensions have been advanced pursuant to
Sections C.1.a. or C I.c., the utility shall determine the revenue received
from customers other than residential, including fire protection agencies,
supplied by service pipes connected directly to the extension for which the
cost was advanced. The refund shall be 22 percent of the revenue so
received. For residential customers connected directly to the extension for
which the cost was advanced, the utility shall refund 22 percent of the
average revenue per residential customer of the entire system for the
immediately preceding 12-month period. (See Section C.2.d. and B.3.)
c. Whenever costs of special facilities have been advanced pursuant to
Sections C.1.b. or C.1.c., the amount so advanced shall be divided bV the
number of lots to be served by the special facilities. This advance per lot
shall be refunded for each lot cn which one or more bona fide customers
are served by those facilities.
SWC Model Uniform Main Extension 2009.doc 5

d. With respect to a contract entered into on and after the effective date of
this Rule, if, at any time during the 20-year refund period specified above
80 percent of the bona fide customers for which the extension or special
facilities were designed are being served therefrom, the utility shall
immediately notify the contract holder of that fact, and at that time shall
become obligated to pay, in cash, any balance which may remain
unrefunded at the end of said 20-year period. Such balance shall be
refunded in five (5) equal annual installments, payable beginning 21 years
after the date of the contract.
e. Where a contract has been entered into under a former main extension
rule, and where 80 percent of the bona fide customers for which the
extension or special facilities were designed are being served therefrom,
the utility may negotiate and enter into a new and substitute contract,
identical in all respects, with the original contract, including the original
termination date, except that said substitute contract shall include the
following provisions: "Notwithstanding any other provisions hereof, any
unrefunded balance remaining at the termination date of this contract
shall be paid in five (5) equal annual , installments beginning one (1) year
after, said termination date."
3. Termination of Main Extension Contracts
a. Any contract entered into under Section C of this Rule, or under similar
provisions of former rules may be purchased by the utility and terminated,
after first obtaining the authorization of the Commission, at any time after
the number of bona fide customers then receiving service from the
extension for which the advance was made equals at least 60 percent of
the total numbor of bona fide customers for which such extension was
designed by the utility and the terms are otherwise mutually agreed to by
the parties or their assignees and that, Section C.3.b. and Section C.3.c.
hereof are complied with.
b. The utility, in requesting authorization for such termination shall furnish to
the Commission the following information in writing by an advice letter in
the event the termination is to be accomplished by payment in cash, or by
a formal application:
(1) A copy of the main extension contract, together with data
adequately describing the development for which the advance was
made and the total adjusted construction cost of the extension.
(2) The balance unpaid on the contract, as above defined, as of the
date of termination and terms under which the obligation is
requested to be terminated.
(3) The name ofthe holder of the contract when terminated.
(4) The total number of bona fide customers for which the extension
was designed and the number of bona fide customers actually
receiving service on said extension as of the proposed date of
contract.
c. Discounts obtained by the utility for contracts terminated under the
provisions of this Section shall be accounted for by credits to Account 265
- Contributions in Aid of Construction.
SWC Model Uniform Main Extension 2009.doc 6

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