20250402Comments_1.pdf

From: DAVID BUTENSCHOEN
Sent:Wednesday,April 2,2025 1:18 PM
To: secretary
Subject: PLW-W-24-0
Please find attached my comments regarding the water rate increase requested by Priest Lake
Water LLC. I would like to have them included for consideration by the IPUC. Thank You.
April 2, 2025
Name: David & Nancy Butenschoen
Phone: [phone]
Email: [e-mail]
Address: 1166 Lingbloom Road
Bellingham,WA 98226
Owner: Lot 12 Block1
Idaho Public Utilities Commission
PO Box 83720 Boise, ID 83720-0074
PLW-W-24-02,
To Whom It May Concern:
would like to first thank the Commissioners for their time and efforts to fairly oversee and make a
decision on the rate increase by Priest Lake Water LLC, as described in PLW-W-24-02,
Numerous letters have already been submitted to the IPUC regarding the monthly rate increase and
hookup fees—almost all have provided extremely valid arguments against the rate hike. I would like
to ask the Commission to give special attention to Mr. Horlacher affinity for large numbers and his
ability to magically make them appear without any justification or explanation as to how he
managed to obtain them. For instance:
• 40 water meters at$200,000, or$5,000 per service. He has provided no details, like make
or model number for what he plans to install and no details on what it takes to upgrade.
Most water meters can be purchased for$200 to$500. Can he furnish some proof that it
would cost$4500 or more in labor to install one water meter?
1

• The replacement of the ball valve on 70 water services to a Ford Style curb stop is listed at
$140,000 or$2,000 per service. Again, no make or model numbers, but a typical3/a"keyed
curb stop which includes a curb box and key is estimated at$100 to$200. Can he explain
why it would cost$1800 to$1900 per service to install?
• Maintenance of two 30 year old well pumps, $60,000. On a previous page he does give the
make as 10 HP Fairbanks but that comes in several models that he has failed to include. A
10HP Fairbanks submersible water pump can be purchased for between $4000 and $7000
(depending on model)or between $8,000 and$14,000 for both. Using the larger figure,that
would leave$46,000 to remove the old pumps and install the two new pumps-large
numbers and no explanation, but$48,000 is laughable.
• $7,444.00 for a residential hookup. Why can't we be given a detailed breakdown including
the exact equipment he plans to use and a short summery of the scope of the work?After
all, he expects the property owners to pay for this equipment twice-once up front when it's
installed and again when paying the"exciting"new rate. He emphasizes that all materials
must conform to Priest Lake Water Specifications; perhaps a copy of these specifications
would be helpful in understanding the cost.
• Mr. Horlacher is also asking$10,000 for a commercial hookup regardless of the size of the
service. Most commercial customers use less water than a residence, but it appears the
added prestige of having a"commercial lot"requires a higher hookup rate and a higher
monthly rate.This should be broken down by supply size and charged accordingly.
• $200,000 for 40 backflow preventers, or$5000 per customer. There are several ways to
include a double backflow preventer. It can be included with the new meter setter he wants
to install or it can be installed in the line after the meter. Neither would come anywhere
near$5,000 per service to install.
We were making plans to begin the process of building on our lot this summer and wanted to get
some clarification. I emailed Mr. Horlacher regarding the verbiage in the existing hookup
document, dated 2021,thinking it was still in effect since the new rate has not been approved. His
reply was that he is already charging the new rate of$7444. Here is a portion of that email:
" I have included a link below that will take you to the CPCN application. Scroll down to page 69 and
I believe you will see sheet 3, schedule 3, hookup fee.These are our existing fees. Due to the
currently open rate case we are in, every component of every"existing" and proposed rate and
charge may be at issue.(reference to Order No. 36471) To my understanding,the fees shown on
page 69 of the CPCN application, are what we will be charging until a final order is issued in the
current rate case."
I was under the impression that since he is now regulated,these rates needed to be approved by
the commission before being charged to the property owner. He has already raised the rates from
$30 a month to$37 (23%)for residential lots and doubled the rates on RV lots by charging for the
entire year. It appears he is just charging what he wants regardless of being regulated.
In light of the present conditions with the water rates and hookup fees we have decided to postpone
our building plans until this request is settled. We have also decided to sell the property if the new
rates are approved.
2

understand Mr. Horlacher does a good job maintaining the water system and has always been
conscientious when dealing with the property owners. Good job performance demands fair pay,
however,when operating a monopoly, as this water systems is,the rates must be fair for both the
contractor and the property owners. I believe Mr. Horlacher has a highly inflated opinion of what is
"fair"for the owner/operator of Priest Lake Water LLC..
would ask the Commissioners to have Mr. Horlacher explain exactly how he came up with these
figures using exact make and model numbers, and a brief description of the labor and equipment
involved in installing this equipment before accepting any of these prices. I believe the
Commissioners will find Mr. Horlacher's"magic numbers"will not match the facts.
Thankyou
David and Nancy Butenschoen
3