20260526Decision Memo.pdf

DECISION MEMORANDUM
TO: COMMISSIONER LODGE
COMMISSIONER HAMMOND
COMMISSIONER HARDIE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM: TAYLOR THOMAS
DATE: MAY 26,2026
SUBJECT: NEGOTIATED RULEMAKING: POLICIES AND PRESUMPTIONS FOR
SMALL WATER COMPANIES
In accordance with Idaho Code Section 67-5292, the Commission is reviewing IDAPA
31.36.01 — Policies and Presumptions for Small Water Companies to assess whether the content
of the rule chapter is still necessary. As part of negotiated rulemaking process, Commission Staff
("Staff')will explore repealing this rule chapter because it appears to be no longer necessary given
that the definition of a "small water company" is outdated, and the rule's presumption that all
system assets are contributed capital may no longer align with how some systems are financed and
operated today.
Staff has already submitted the necessary paperwork to DIM to issue a Notice of
Negotiated Rulemaking, which will be held on June 11, 2026.
STAFF RECOMMENDATION
Staff recommends the Commission direct Staff to open a new docket designated as RUL-
U-26-02 for purposes of rulemaking.
COMMISSION DECISION
Does the Commission wish to approve Staff s recommendations?Anything else?
ar
Taylor Thomas
Administrator
DECISION MEMORANDUM - 1 - MAY 26, 202\6