20210419_SUZW2101_mh2.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM

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

FROM: DAYN HARDIE
MATT HUNTER
DEPUTY ATTORNEYS GENERAL

DATE: APRIL 15, 2021

SUBJECT: IN THE MATTER OF SUEZ WATER IDAHO’S APPLICATION FOR
AMENDMENT OF ITS CERTIFICATE OF PUBLIC CONVENIENCE AND
NECESSITY; CASE NO. SUZ-W-21-02.

On April 2, 2021, SUEZ Water Idaho Inc. (“SUEZ”) applied to amend its certificated
service territory to remove an area in unincorporated Ada County.
BACKGROUND
The 520-acre area was added to SUEZ’s certificated service area in 2007 in anticipation of
a residential subdivision described as the Trailhead Community being built on it. See Case No.
UWI-W-06-04, Order No. 30367; Application, Attachments A and B (map and legal description
of subject area). The Trailhead Community was never developed, however. Application at 3.
SUEZ asserts that the “entire area is undeveloped and unserved, and SUEZ has not received any
formal request for extension of service from, or committed to serve, any property owner in the
area.” Id. SUEZ also states that it is “not aware of any development applications pending before
Ada County or the City of Eagle [(“City”)] affecting this area.” Id.
SUEZ and the City recently signed a Water Management Agreement (“WMA”), effective
February 9, 2021. Id. at 4. SUEZ notes:
A primary purpose of the WMA is to provide a mechanism and process for
the parties to cooperate in their future water planning and area of service decisions.
The WMA contains terms addressing future service area adjustments,
administrative filings with the Idaho Department of Water Resources and with the
[Idaho Public Utilities Commission], guiding principles for future intertie
DECISION MEMORANDUM 2
agreements, and maintenance of good faith communications concerning items of
joint interest to SUEZ and the City.
Id.
THE APPLICATION
SUEZ agreed in the WMA to file this Application with the Commission, seeking to remove
the 520-acre area from SUEZ’s certificated service area. Id. at 5. The City, SUEZ asserts, has
represented to SUEZ that it can and will serve customers in the 520-acre area if it is removed from
SUEZ’s certificated service area. Id. at 6. However, the City cannot serve the 520-acre area until
it is removed from SUEZ’s certificated service area because the City agreed in a 2003 franchise
agreement with SUEZ not to provide water service in SUEZ’s certificated service area. Id. at 5.
SUEZ states, “Removal of the subject area from SUEZ’s certificated service area would
not necessarily preclude SUEZ from extending service there in the future if a property owner
required water service and SUEZ and [the City] agreed that SUEZ was best able to serve consistent
with their WMA.” Id. at 6-7. SUEZ asserts that granting the Application would not impair SUEZ’s
ability to serve existing customers or to extend service to its remaining certificated service area.
Id. at 6. No SUEZ investments would be stranded, and the usefulness of existing infrastructure
would not be impacted. Id. SUEZ asks that the Application be processed by Modified Procedure.
Id. at 7.
STAFF RECOMMENDATION
Staff recommends the Commission issue a Notice of Application and Notice of
Intervention Deadline, establishing a 21-day intervention period.
COMMISSION DECISION
Does the Commission wish to issue a Notice of Application and Notice of Intervention
Deadline, establishing a 21-day intervention period?

__________________________
Matt Hunter
Deputy Attorney General

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