20170306_5208.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM

TO: COMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: BRANDON KARPEN
DEPUTY ATTORNEY GENERAL

DATE: MARCH 2, 2017

SUBJECT: GROUSE POINT WATER COMPANY, LLC, RATE CASE;
CASE NO. GPW-W-17-01

On February 22, 2017, Grouse Point Water Company applied to the Commission for
authority to increase its monthly base rate from $22/month to $113.86/month (418%), and to
increase its consumptive charge for customers using over 8,000 gallons/month from $0.50/1,000
gallons of use to $5.00/1,000 gallons of use (900%). The Company also proposes a new
consumptive charge of $1.83/1,000 gallons of use under 8,000 gallons/month. Grouse Point asks
for the new rates to take effect on April 15, 2017.
THE APPLICATION
Grouse Point is a limited liability corporation providing water service to 24 customers
in the Kuna, Idaho area. The Company’s existing tariff is a simple base rate with a uniform
single-block structure approved by the Commission in December 2003. Order No. 29402.
In its Application, the Company claims its existing rates are not adequate to cover
even half of the operational and maintenance expenses, do not recognize significant capital
improvements made since the last rate case, and that they must be increased to continue
operating. The Company plans to notify its customers about the proposed rate increases by
distributing bill stuffers over the March 2017 billing cycle, and through a news release in the
Idaho Statesman.
DECISION MEMORANDUM 2
STAFF RECOMMENDATION
Staff recommends that the Commission issue a Notice of Application that suspends
the April 15, 2017 effective date, for a period of 30 days plus 5 months. See Idaho Code § 61-
622(4). Under that proposal, the suspended tariffs would go into effect on October 15, 2017.
Staff further recommends that the Commission set a 21-day intervention deadline,
and order that once the intervention deadline has passed, Staff informally confer with the parties
about scheduling, discovery, and other matters that may arise.
COMMISSION DECISION
Does the Commission wish to issue a Notice of Application and Order that suspends
Grouse Point’s proposed April 15, 2017 effective date to October 15, 2017, establishes a 21-day
intervention deadline, and directs Staff to informally confer with the parties about scheduling?

M:GPW-W-17-01_bk