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Home My WebLink About20250424Notice_of_Proposed_Settlement_Order_No_36575.pdf Office of the Secretary Service Date April 24,2025 BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION IN THE MATTER OF THE APPLICATION ) CASE NO. VEO-W-24-01 OF VEOLIA WATER IDAHO,INC. FOR A ) GENERAL RATE CASE ) NOTICE OF PROPOSED SETTLEMENT NOTICE OF SCHEDULE NOTICE OF PUBLIC COMMENT DEADLINE ORDER NO. 36575 On November 22, 2024, Veolia Water Idaho, Inc., ("Company") filed an application ("Application") with the Idaho Public Utilities Commission ("Commission") requesting an Order approving revisions to the Company's schedules of rates and charges for water service in the State of Idaho, to become effective on or after December 23, 2024. On December 13, 2024, the Commission issued a Notice of Application, Notice of Suspension of Proposed Effective Date, and Notice of Intervention Deadline. Order No. 36420. The Commission granted intervention to Micron Technology,Inc. ("Micron")and the city of Boise City("City") (collectively the"Intervenors"). Order Nos. 36439 and 36443. On January 16, 2025, the Commission issued a Notice of Parties. On March 13, 2025, the Commission issued a Notice of Schedule setting deadlines for written testimony. Order No. 36504. On March 10, 2025, Commission Staff ("Staff'), the Company, and all Intervenors participated in a settlement conference. Based upon the settlement conference, during the Commission's April 10, 2025, decision meeting, Staff informed the Commission that Staff believes a settlement has been reached in principle ("Proposed Settlement"); however, the Proposed Settlement was not ready to file with the Commission for approval. Based upon the timing of the previously ordered procedural schedule for written testimony, Staff requested that the Commission vacate the written testimony deadlines until such time as the Proposed Settlement was filed for Commission approval,or the Commission was informed that the Proposed Settlement NOTICE OF PROPOSED SETTLEMENT NOTICE OF SCHEDULE NOTICE OF PUBLIC COMMENT DEADLINE ORDER NO. 36575 1 would not be filed. On April 17, 2025, the Commission issued an Order Vacating Testimony Deadlines. Order No. 36559. On April 21, 2025, the Company filed the Proposed Settlement and a Motion to Approve Stipulation and Settlement ("Motion"). The Proposed Settlement was signed by Staff, the Company, and all Intervenors (collectively the "Parties"). NOTICE OF PROPOSED SETTLEMENT YOU ARE HEREBY NOTIFIED that under the Proposed Settlement the Parties agree that the Company shall be allowed to implement revised tariff schedules designed to recover $7.0 million in revenue requirement. Proposed Settlement at 2. The Proposed Settlement contains revenue requirement terms dealing with amortization amounts and pension cost deferral. Id. at 2- 4. YOU ARE FURTHER NOTIFIED that the Parties agree that the revenue requirement reflects an overall rate of return of 7.05%. Id. at 4. YOU ARE FURTHER NOTIFIED that the Proposed Settlement reflects an adjustment to reduce plant in service in the amount of$390,000 associated with the Five Mile main line extension project. Id. YOU ARE FURTHER NOTIFIED that the Parties agree to accept the class revenue apportionment proposed by the Company. Id. YOU ARE FURTHER NOTIFIED that Exhibit 1 to the Proposed Settlement contains the tariff rates to be charged if approved by the Commission.Id. Further,the Parties agree to additional changes in the tariffs as proposed in the Company's Application. Id. at 4-5. YOU ARE FURTHER NOTIFIED that the Parties agree to hold workshops to discuss weather normalization methodology; a load study; revenue-recovery mechanisms; and the Company's procurement and project-management processes. Id. at 5-6. YOU ARE FURTHER NOTIFIED that under the Proposed Settlement the Company agrees not to file another general rate case such that the proposed new rates would become effective before January 1, 2027. Id. at 6. YOU ARE FURTHER NOTIFIED that the Parties believe that the Proposed Settlement represents a fair,just, and reasonable compromise of the positions of the Parties in this case, and that the Proposed Settlement is in the public interest. Id. NOTICE OF PROPOSED SETTLEMENT NOTICE OF SCHEDULE NOTICE OF PUBLIC COMMENT DEADLINE ORDER NO. 36575 2 YOU ARE FURTHER NOTIFIED that under Commission Rule of Procedure 275, "[p]roponents of a proposed settlement carry the burden of showing that the settlement is reasonable, in the public interest, or otherwise in accordance with law or regulatory policy." IDAPA 31.01.01.275. YOU ARE FURTHER NOTIFIED that the Commission is not bound by the Proposed Settlement reached by the Parties. The Commission will independently review any proposed settlement to determine whether the settlement is just, fair, and reasonable, and in the public interest, or otherwise in accordance with law or regulatory policy. The Commission may accept a settlement, reject a settlement, or state additional conditions under which a settlement will be accepted. IDAPA 31.01.01.274-.276. YOU ARE FURTHER NOTIFIED that if the Commission rejects any part or all of the Proposed Settlement or imposes any additional material conditions on its approval, each Party reserves the right to withdraw from the Proposed Settlement within 14 days of such order. Proposed Settlement at 7. YOU ARE FURTHER NOTIFIED that the Proposed Settlement and all supporting documents have been filed with the Commission and are available for public inspection during regular business hours at the Commission's office or on the Commission's website at www.puc.idaho.gov. Click on the "WATER"tab in the left-hand column of the home page, click "Open Cases," and select the case number as shown on the front of this document. NOTICE OF SCHEDULE YOU ARE FURTHER NOTIFIED that the Commission establishes the following procedural schedule: • May 9, 2025: All Party Testimony YOU ARE FURTHER NOTIFIED that all testimony and exhibits in this matter must comport with the requirements of Commission Rules of Procedure 231 and 267, and that all proceedings in this matter will be conducted pursuant to the Commission's Rules of Procedure, IDAPA 31.01.01.000, et seq. NOTICE OF PUBLIC COMMENT DEADLINE YOU ARE FURTHER NOTIFIED that the Commission seeks comments from the public on the Proposed Settlement. Persons desiring to state a position on the Proposed Settlement may NOTICE OF PROPOSED SETTLEMENT NOTICE OF SCHEDULE NOTICE OF PUBLIC COMMENT DEADLINE ORDER NO. 36575 3 file a written comment explaining why the person supports or opposes the Proposed Settlement. Persons must file comments by May 13, 2025. Comments must be filed through the Commission's website or by e-mail unless computer access is unavailable. To comment electronically,please access the Commission's home page at www.puc.idaho.gov. Click the"Case Comment Form" and complete the form using the case number as it appears on the front of this document. YOU ARE FURTHER NOTIFIED that to file by e-mail, persons must e-mail the comments to the Commission Secretary and the Company at the e-mail addresses listed below. Persons submitting a comment by e-mail must provide their name, address, and the Case Number under which they are commenting. Persons submitting a comment by e-mail also acknowledge that submitting a comment in an open case constitutes a public record under Idaho Code § 74-101 (13), and all information provided by such person is available for public and media inspection. YOU ARE FURTHER NOTIFIED that if computer access is unavailable, then comments may be mailed to the Commission and Company at the addresses below. Persons submitting a comment by mail must provide their name, address, and the Case Number under which they are commenting. Persons submitting a comment by mail also acknowledge that submitting a comment in an open case constitutes a public record under Idaho Code § 74-101 (13), and all information provided by such person is available for public and media inspection. For the Commission: For the Company: Commission Secretary Preston N. Carter Idaho Public Utilities Commission Morgan D. Goodin P.O. Box 83720 Megann E. Meier Boise, ID 83720-0074 Givens Pursley LLP 601 W. Bannock St. secretarygj2uc.idaho.gov Boise, ID 83702 Telephone: (208) 388-1200 Street Address for Express Mail: prestoncarter(a,_ig venspursley.com morgan_o�ggivenspursle. 11331 W. Chinden Blvd. mem(a� ia�g venspursley.com Building 8, Suite 201-A Boise, ID 83714 David Njuguna Director-Regulatory Business Veolia Water M&S (Paramus), Inc. 461 From Road, Suite 400 Paramus,NJ 07052 david.njugunagveolia.com NOTICE OF PROPOSED SETTLEMENT NOTICE OF SCHEDULE NOTICE OF PUBLIC COMMENT DEADLINE ORDER NO. 36575 4 ORDER IT IS HEREBY ORDERED that the Commission establishes the procedural schedule as set forth above. Written testimony in support of, or opposition to, the Proposed Settlement is due on May 9, 2025. IT IS FURTHER ORDERED that persons desiring to submit public written comments on the Proposed Settlement must do so by May 13, 2025. IT IS FURTHER ORDERED that parties comply with Order No. 35375, issued April 21, 2022. Generally, all pleadings should be filed with the Commission electronically and will be deemed timely filed when received by the Commission Secretary.See Rule 14.02. Service between parties should continue to be accomplished electronically when possible. However, voluminous discovery-related documents may be filed and served on CD-ROM or a USB flash drive. DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho, this 24th day of April 2025. G EDWARD LODGE, PR Q DENT R. HAMMOND JR., COMMISSIONER DAYN HA DIE, COMMISSIONER ATTEST: hoo.O.C66, i aB i S c Commission Secre I:\LegahWATER\V EO-W-24-01_GRC\orders\V EO W2401_Ntc_PSet_Skd_cb.docx NOTICE OF PROPOSED SETTLEMENT NOTICE OF SCHEDULE NOTICE OF PUBLIC COMMENT DEADLINE ORDER NO. 36575 5