20050615Application.pdf

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BITTERROOT WATER COMPANY
PO Box 2306
Hayden Lake, ID 83835
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Application for Water Rate Increase
To The
IDAHO PUBLIC UTILITIES COMMISSION
PO BOX 83720
BOISE , ID 83720-0074
On-site Mana er:
Ken Rickel
Office: 208-683-8105
Mobile: [phone]
Fax: [phone]
Financial Statement Pre aration:
Susan Jacobson
Office: 866- 791- 5656
Fax: [phone]
BITTERROOT WATER COMPANY
Application for Water Rate Increase
Financial Schedules
Schedule 1 - Comparative Balance Sheets
Schedule 2 - Schedule of Operation and Maintenance Expenses
Schedule 3 - Summary of Earnings and Rate Base
Schedule 4 - Statement of Income at Present and Proposed Rates
Schedule 5 - Equity Detail
Schedule 6A - Pro Forma Adjustment Explanation
Schedule for Present Rates
Schedule 68 -- Pro Forma Adjustment Explanation
Schedule for Proposed Rates
Engineering Information
BITTERROOT WATER COMPANY. INC.
COMPARATIVE BALANCE SHEETSnSCHEDULE 1
For Three (3) Latest Years Ending December 31, 2004
(B) Year 2003
(C) Test Year
2004ACCOUNT DESCRIPTION (A) Year 2002
Assets1. Utility Plant2. Accumulated Reserve for Depreciation3. Net Plant (lines 1-2=3)4. Cash5. Other Working Funds6. Customer Accounts Receivable7. Accumulated Provision for Uncollectible Accounts8. Other Current & Accrued Assets9. Total Assets (lines 3+4+5+6-7+8)
801.045.198.
312.(20.56)(628.76)
29,357.780.570.
Liabili~ies and Stockholder s Eauity
10. Bonds
11. Advances from Associated Companies
12. Other Long-term Debt
13. Notes Payable
14. Accounts Payable
15. Customer Deposits
16. Taxes Accrued
17. Interest Accrued
18. Other Current & Accrued Liabilities19. Total Liabilities (lines 10-18)
688.
000.
49.
688.049.
20. Capital Stock
21. Undistributed Retained Earnings
22. Other Owners Equity *23. Total Equity (lines 20+21 +22)
357.341.250.
250.00)729.00)
29,357.091.521.
29,357.780.570.24.Total Liabilities & Stockholder s Equity (lines 19+23)
* Show detail of the account on Schedule 5
BITTERROOT WATER COMPANY. INC.
SCHEDULE OF OPERATION AND MAINTENANCE EXPENSES--SCHEDULE 2
For Three (3) Latest Years Ending December 31 2004
(C) Test Year
OPERATING & MAINTENANCE EXPENSE ACCOUNTS (A) Year 2002 (B) Year 2003 2004
eration--Source of Su
Pumping & Water Treatment Expenses
Operation Labor 324.
Purchased Water 688.
Fuel or Power Purchased for Pumping 197.903.323.
Supplies and Expense
Chemicals 984.007.66.
Other 152.369.320.
1. Total Operation Expenses 333.969.033.
Maintenance--Source of Supply--
Pumping & Water Treatment Expenses
Maintenance of Water Source Plant
Maintenance of Pumping Plant
Maintenance of Water Treatment Plant
Maintenance of Distribution Reservoirs & Standpipes
Maintenance of Mains
Maintenance of Meters 388.536.537.
Maintenance of Hydrants
Maintenance of Other Plant 367.400.35.
Repairs of Water Plant 256.45 785.916.
Other 939.576.180.
2. Total Maintenance Expenses 951.298.669.
Operation--Customer Accounts Expense
Meter Reading Labor 697.577 .800.
Accounting and Collecting Labor 541.159.627.
Supplies and Expenses
Uncollectible Accounts 80.61.123.
Other 108.156.150.
3. Total Customer Accounts Expense 427.956.700.
Operation--Administrative & General Expenses
Admini!;)trative and General Salaries 82.93.324.
Office Supplies and Other Expenses 698.885.994.
Outside Services Employed 350.379.
Property Insurance 818.557.803.48
Injuries and Damages
Employee Compensations and Benefits
Regulatory Commission Expenses 443.114.597.
Miscellaneous General Expenses 667.024.316.
Transportation Expenses 46.911.45
Other
4. Total Administrative and General Expenses 059.101.43 16,947.
5. Total Operation & Maintenance Expenses (lines 1+2+3+4)30,772.325.351.
* Show detail of the account on Schedule 5
BITTERROOT WATER COMPANY. INC.
SUMMARY OF EARNINGS AND RATE BASEuSCHEDULE 3
For Three (3) Latest Years Ending December 31 , 2004
(A) Year 2002
Total Number of Customers
Number of Customers1. Unmetered Sales to General Customers2. Metered Sales to General Customers3. Commercial Customers4. Private Fire Protection Service5. Public Fire Protection Service
6. Other
Operatina .Reyenues8. Unmetered Sales to General Customers9. Metered Sales to General Customers
10. Private Fire Protection Service
11. Public Fire Protection Service
12. Other
13.
Operating Expenses
14. Operation & Maintenance Expenses (Schedule 2, line 5)
15. Depreciation Expense
16. Amortization Expense
17. Taxes Other Than Income Taxes
18. Income Taxes
19. Other
20.
21.
029.44
Total Operating Revenues
599.
35,629.
772.
17.
909.
Total Operating Expenses
Utility Operating Income (line 13-20)
33,699.
929.
* Show detail of the account on Schedule 5
22. Utility Plant in Service
23. Working Capital24. Subtotal (line 22+23)
25. Accumulated Depreciation
26. Customer Advances for Construction
27. Contributions in Aid of Construction28. Total Deductions (line 25+26+27)
29. Rate Base (lines 24-28)
30. Return on Rate Base (lines 21 +29)
RATE BASE
(C) Test Year
2004 Actual
(3,614.02)
(B) Year 2003
101
101
161.
5,446.
38,607.
325.
244.
891.
164.
53,624.
(15,016.38)
(B) Pro-forma
Adjustments
(C) Test Year
2004
115 116
115 116
619.
35,619.
351.
226.
655.
233.
(3,614.02)
(C) Pro.forma
Rate Base
(3,614.02)
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BITTERROOT WATER COMPANY,INC.
EQUITY DET AIL--SCHEDULE 5
Dee 31 Dee 31 , 03 Dee 31, 04
Equity
Owner Draw-Ken Rickel 250.250.
Opening Bal Equity 800.800.800.
Retained Earnings 115.514.584.
Net Income 3,442.48 973.614.
Total Equity 357.091.520.
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BITTERROOT WATER COMPANY,INC.
Report for Water Utilities
Test Year Ending December 31, 2004
ENGINEERING
1. Provide an updated system map which clearly shows the location of all facilities as described herein.
No changes have been made to facilities after acquisition. Map on file should be correct.
2. Water Supply:
Pump
Designation
Location
orner of
Brunner &
Clagstone
Water
Supply Sources
(Well, Spring,
Surface. etc)
Well
Rated
Capacity
(QQml
Actual
Annual
Production
(000 aallons)
19,551120
* If source of supply is pumped, provide additional pump information under Item 4.
3. System Storage:
Storage
Designation or
Location
rner of
Brunner &
Clagstone
Type of
Reservoir
(Elevated
Pressurized
Boosted)
Type of
Treatment
(None, Chlorine
Floride. Filter. etc)
Chlorine
Construction Reservoir Capacity to
(Concrete, Wood Storage Distribution
Steel)(gallons)(gpm)
Concrete 100 000 120Boosted
(Asterisk facilities added this year)
4. Pump information for all system pumps, including wells and boosters:
Pump
Designation or
Location
Well-Submersible
Booster #1
Booster #2
Type (a)
of Pump
HP Rating
Name-Plate
Energy Used
This Year (kwh)
(a) Submit pump curves unless previously provided or unavailable.
Asterisk facilities added this year.
5. What was total water diverted or pumped into system this year?
6. What was total water diverted or pumped into system during peak month?
7. What was total water diverted or pumped into system during peak day?
8. What were your total system losses this year?
9. Was your system designed to supply fire flows?
If yes, what is the current system rating?
10. How many times this year did you read customer meters?
During what months?
Actual Annual
Discharge
(000 gallons)
Metered
(Yes/No)
Yes
Rated Capacity
(gpm)
Discharge
Pressure
or TDH
(psi)
120
19,550 709
796 612
N/A
Yes
Residential-1000 gpm
March, April, May, June, July, Aug, Sept
BITTERROOT WATER COMPANY, INC.
Report for Water Utilities
Test Year Ending December 31,2004
ENGINEERING
11. How many additional customers could be served with no system improvements
(except a service line and meter)?
How many of those potential additions are vacant lots?
12. What backbone plant additions or replacements are anticipated during the coming year
1) Add 15 HP Booster Pump - $5,000
(includes piping and core drillingand what are their approximate costs?
2) Increase size of main well pump -
$10 000
13. What is your best guess as to the year system capacity (supply, storage or
distribution) will next have to be expanded?2005
Feet of Mains
Size
In Use at
Beginning of
Year
Installed
During Year
Abandoned
During Year
In Use at
Close of
Year
000
500
000
500
WATER STATISTICS
NUMBER OF CUSTOMERS GALLONS SOLD
This Year Last Year This Year Last Year
Metered
Residence 116 115 523 875
Commercial
Industrial
Flat Rate
Residence
Commercial
Industrial
Private Fire Protection
Public Fire Protection
Street Sprinkling
Municipal -- Other
Other Water Utilities 353 1,744
TOTALS 117 116 876 23,619
BITTERROOT WATER COMPANY
Application for Water Rate Increase
Sam Ie Customer Re orts
Customer Billing Invoice
Customer Billing Statement
Disconnect Notice - 7 Day Reminder
Disconnect Notice - 24 Hour Final Notice
Summary of Customer Rules and Regulations
(includes and explanation of rate schedules)
Bitterroot Water Companv~ Inc.
O. Box 2306
Hayden Lake, ID 83835
Invoice
Phone #
208-660-2560 or 208-683-8105
Date Invoice #
5/412005 71625
Joe & Sally Customer
12345 Water Barrel Place
Athol, ID 83801
Property Address METER #Terms Due Date
758992271 20 days 5/24/2005
MONTH SERVICE METER READING
271180
GAL USED RATE AMOUNT
April BASIC SERVICE 9860 20.20.
Thank you!
Total $20.
O. Box 2306
Hayden Lake, ID 83835
tatemen
DATE
5/4/2005
Bitterroot Water Company.. Inc.
Joe & Sally Customer
12345 Water Barrel Place
Athol, ID 83801 For questions/comments, please call
208-660-2560 or 208-683-8105
TERMS DUE DATE AMOUNT DUE AMOUNT ENC.
20 days 5/24/2005 $20.
DATE TRANSACTION AMOUNT BALANCE
12/31/2004
05/04/2005
Balance forward
!NY #71625. Due OS/24/2005.20.20.
CURRENT 30 DAYS
PAST DUE
31-60 DAYS
PAST DUE
61-90 DAYS
PAST DUE
OVER 90 DAYS AMOUNT DUEPAST DUE
20.$20.
Please conserve water usage on the hottest days.
Watering midday only evaporates, the best times are early morning and later evening!
Bitterroot Water Co., Inc.
PO Box 2306
Hayden Lake, ID 83835
Telephone: [phone] OR 208-660-2560
Fax: [phone]
April 10, 2005
Joe & Sally Customer
12345 Water Barrel Place
Athol, ID 83801
REMINDER-NOTICE OF WATER TERMINATION
DELINQUENT AMOUNT:
CURRENT AMOUNT:
TOT AL AMOUNT DUE NOW:
$ 20.
$ 20.
Our records show that your account is past due. If we do not receive the full payment stated above by the
close of business seven (7) days from the date of this letter, we will move to terminate your water service.
The Idaho Public Utilities Commission prescribes these rules.
Bitterroot Water Company will delay termination of service to a residential customer for (30) thirty days
due to medical complications. A medical certificate from a licensed physician or Public Health Official
will be accepted. It must state that termination of water will aggravate an existing condition or create a
medical emergency. The person diagnosing the condition must state the person affected and their
relationship to the customer and contain the name, title and signature of the person that is certifying the
serious illness or medical emergency.
If you disagree with the termination, you may file a complaint with our office in writing and request a
meeting. The company will review your complaint and send you written results. If you are not satisfied
you may ask the Idaho Public Utilities Commission to review the matter by contacting them at:
IP UC Consumer Assistance
O. Box 83720
Boise, ID, 83720-0074
208-334-0369 or 7-800-432-0369
Bitterroot Water Company will not terminate service while the dispute is under review.
BITTERROOT WATER COMPANY IS WILLING TO MAKE PAYMENT ARRANGEMENTS
FOR YOUR BALANCE DUE. However, you must make payment arrangements before water service
has been terminated. If service is terminated, payment in full plus a reconnection charge of$25.00 will
need to be collected before water service can be restored.
If your payment and our letter have crossed in the mail, please accept my apologies and thank you.
Xen'Ricker
General Manager
Bitterroot Water Co., Inc.
o. Box 2306
Hayden Lake, ill 83835
Phone [phone] or 208-660-2560
Fax [phone]
April 17, 2005
Joe & Sally Customer
12345 Water Barrel Place
Athol, ID 83801
FINAL NOTICE OF WATER TERMINATION
DELINQUENT AMOUNT: $ 20.
CURRENT AMOUNT: $ 20.
TOTAL AMOUNT DUE NOW:
YOUR WATER SERVICE WILL BE TERMINATED BY 5:00 P.M.
TUESDA Y~ APRIL IS IF WE DO NOT HEAR FROM YOU REGARDING YOUR
BALANCE OF $40.00.
Please call our office immediately to continue water service.
BITTERROOT WATER COMPANY IS WILLING TO MAKE PAYMENT
ARRANGEMENTS FOR THE BALANCE DUE
Once water service has been terminated, the balance plus a reconnection fee of $25.00 is
due. WATER WILL NOT BE TURNED BACK ON UNTIL THESE FEES ARE PAID IN
FULL.
Termination of service will be postponed thirty (30) days from the date of a certificate by a
licensed physician or public health official stating that termination of service will aggravate
or create a medical emergency for a permanent resident of your household. You must make
payment arrangements prior to the end of the 30 days.
Please contact Bitterroot Water if you have a complaint. Your service will not be terminated
prior to the resolution of such a filed complaint. You may file a complaint concerning this
action with the Idaho Public Utilities Commission as follows:
IP UC Consumer Assistance
O. Box 83720
Boise, ID, 83720-0074
208-334-0369 or 1-800-432-0369
If your payment and our letter crossed in the mail, please accept our apologies and thank you.
Xen 'Ric lie
General Manager
BlnERROOT WATER CO., INC.
o. Box 2306
Havden lake, II 83835
Ken Rickel, General Manam
Phone: [phone] or208-660-2560
FAX: [phone]
To Our Customers:
This is a summary of the rules for termination of service for all Bitterroot Water Company customers as
determined by the Idaho Public Utilities Commission (IPUC), as of March 1 , 1997. These rules cover the
rights and responsibilities of the Customer and the Water Utility. An explanation of our rate schedule has
also been included.
If you have any questions concerning this information, please contact:
Bitterroot Water Company
PO Box 1261
Hayden Lake, ID 83835
208-683-8105 or 208-660-2560
208-683-4315 (fax)
IPUC
PO Box 83720
Boise, ID 83720-0074
208-334-0300
800-432-0369
RULES FOR TERMINATION OF SERVICE
TERMINATION WITH PRIOR NOTICE
With proper customer notice Bitterroot Water Company may deny or terminate water service for one of the
following reasons:
1. Non-payment of a past due bill or payment of a past due bill with an NSF check.
2. Failure to honor the terms of a payment arrangement.
3. Obtaining service by false identity.
4. Refusing to allow access to the water meter or shut off valve.
5. Willfully wasting service through improper equipment or otherwise.
6. Failure to apply for service.
TERMINATION WITHOUT PRIOR NOTICE
Bitterroot Water Co. may deny or terminate water service without notice for one of the following reasons:
1. A situation exists that is immediately dangerous to life, physical safety or property.
2. To prevent a violation of federal, state or local safety or health codes.
3. Service is obtained, diverted or used without the authorization of Bitterroot Water Co.
4. Bitterroot Water Co., has diligently attempted to notify you of termination and has been unable
to contact you.
5. If ordered by any court, The IPUC or any other duly authorized public authority.
(continued on next page)
Bitterroot Water Com panv
Rules, Page 2
NOTIFICATION AND BILLING
1. Meters will be read between the end of the month to the fifth of each month (weather providing).
Bills will be sent out by the fifth with payment due 20 days from the billing date. The monthly
water rate is, $20.00 for the first 15 000 gallons and. 75 cents per 1000 gallons after the first
000 gallons. This rate went into effect September 1 , 1999.
2. A billing may be considered past due 25 days after the billing date. A written notice of
termination must be mailed to the customer at least (7) seven days before the proposed
termination date.
3. At least (24) twenty-four hours before the service is terminated, a notice will be left at the
property advising you of the steps needed to have services restored.
4. When the twenty-four hour period has ended, another attempt will be made to contact you in
person or by phone before service is terminated.
5. No additional notice of termination is required if upon receipt of a termination notice
The customer makes a payment arrangement and subsequently fails to keep that
arrangement
The customer tenders payment with a dishonored check, either at a Water Company
collection visit to terminate service or by mail.
PAYMENT ARRANGEMENTS AND SPECIAL CIRCUMSTANCES
If you cannot pay your billing in full or you receive a notice of termination, please call our office.
Payment arran2ements can be made to avoid termination of service
Termination of service will be postponed thirty (30) days from the date of a written certification from
a licensed physician or public health official stating the name of the person who is ill and their relationship to
the customer. The certification must show the name, title and signature of the person certifying that
the termination of service will aggravate or create a medical emergency for a permanent resident of
your household.
COMWLAINT PROCEDURES
If at any time you have a complaint concerning the termination of service, policies and practices or
any other matter regarding our service please contact Bitterroot Water Company, in person, or by telephone
or in writing. Your complaint will be investigated promptly and thoroughly. You will be notified orally or
in writing the results of the investigation and we will make every effort to resolve the complaint.
If you are dissatisfied with the proposed resolution of your complaint, you may ask the IPUC to
review the matter. Your request may be done orally or in writing. Your service will not be disconnected
while the complaint is being investigated by the Bitterroot Water Company or the IPUC.
(continued on next page)
Bitterroot Water Company
Rules, Page 3
RESTRICTION OF TERMINATION OF SERVICE
Service cannot be disconnected on Friday after 2:00 pm. or on a Saturday, Sunday or any legal
holidays recognized by the State of Idaho, or after 2:00 pm. on any day immediately before any legal
holiday. Service may only be terminated between the hours of 8:00 am and 4:00 pm. The employee sent to
the premises to terminate service will identify him/herself to you and state the purpose of the visit. This
person is authorized to accept payment in full.
HOOK-
. The Bitterroot Water Company reserves the right to deny hook-ups during the winter months due to
adverse weather conditions. New hook-ups will be scheduled as soon as weather conditions permit.
HOOK-UP CHARGES & MONTHLY FEES
A one time hook-up charge of $750.00 will be paid in advance for any new service hook-up. The
extra costs of any out of the ordinary circumstances requiring additional equipment or special construction
techniques involved in the installation of a new service connection will be agreed to in advance and put into
writing by the customer and the company. Only one residence per hook-up is allowed, one stock tank
will also be permitted. No irrigation of property will be permitted.
The monthly water rate is $20.00 for the first 15 000 gallons of usage and .75 cents per 1000 gallons
after the first 15 000 gallons. Meters will be read between the 1 st and the 5th of the month. Payment is due in
full (20) twenty days after the billing date and a bill may be considered delinquent (25) twenty-five days
after the billing date. Arrangement can be made to pay in advance monthly, quarterly, semi-annually or
annually.
Any customer check returned to Bitterroot Water Company due to insufficient funds will be subject
to a $25.00 NSF fee, which will be added to the customer s account. The customer will be contacted by
Rickel Water Company staff to make payment arrangements, as the current balance and the NSF fee are due
immediate ly.
RECONNECTION FEE
If water service has been terminated, any balance due plus a reconnection fee of ($25.00) twenty-
five dollars must be paid in full before service can be restored.
NO ONE EXCEPT AN A UTHORIZED AGENT OF THE BITTERROOT
WATER CO MP ANY SHALL TAMP ER WITH, INTERFERE WITH,
REPAIR, CONNECT TO OR REPLACE ANY OF THE BITTERROOT
WATER COMPANY'S PROPERTY, EXCEPT IN THE CASE OF
EXTREME EMERGENCY.
BITTERROOT WATER COMPANY
Application for Water Rate Increase
Pro osed Press Release
And
Customer Customer Notice
(To be included with monthly billing)
Bitterroot Water Company Requests An Increase in Rates Citing
Rising Power and System Improvement Costs
CONTACT: Ken Rickel, President
(208) 208-683-8105 or 208-660-2560
Bitterroot Water Company has filed a request with the Idaho Public
Utilities Commission for a rate increase in the base water rate from
$20 per month to $45 per month to help offset the increasing costs
associated with the operation, maintenance and capital improvements
to the water system. There would be no increase in the charge for
gallons used in excess of the 15 000 base amount allowed.
The company last filed for a rate increase in 1998 while serving 54
customers. The system has now expanded to serve 116 customers and
is considered to be at capacity based on the number and size of the
lots now included in the subdivision. Further growth would be based
on subdividing existing lots.
In the last 12 months , the system has been systematically reviewed
and upgraded to maintain compliance with increasingly tougher
government standards for water quality. The increased operating
expenses are largely out of the company s control. Rising power costs
play the biggest role in recent operating expense increases.
The rate proposal is subject to public review and will be reviewed and
approved by the Idaho Public Utilities Commission. A copy of the
application is available for public review at the Bitterroot Water
Company Office and the office of the Idaho Public Utilities Commission.
Bitterroot Water Company, organized in 1995, is an independent
owner-operated water utility whose purpose is to supply water for
domestic, commercial, industrial and fire protection purposes. The
Company is subject to the regulations of the Idaho Public Utilities
Commission as well as various Federal and State regulatory agencies
concerning water quality standards.