20120120Application.pdf

Brian Water Corporation
5120 Overland Rd
Ste C #228
Boise,ID 83705
869-9199
í!?O AM 10: 2it
Januar 18,2012
Public Utilties Commission NEW CASE
RE: Nitrate mitigation!ase rate increase
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Sirs:
Recently, the Brian Water Corporation received a rate increase for the purose of
general operations & maintenance i.e. to begin rebuilding this aging system. The base rate was
raised from $12.50/mo to $17.50 mo.
At that time, I informed the PUC staff and the Brian Water customers that another
increase to the base rate would be needed at some time in the near futue for Nitrate mitigation
as ordered by the EPA/EQ. I told the Brian Water customers to expect the base rate to get to
$30/mo. That time has arived.
I met with the DEQ compliance officers and need to star the mitigation process. The
first step is to hire an engineer to evaluate the situation and submit a plan to the DEQ. This
cost will be around $10,000. The solution will be to put in a new, deeper well....estimated
cost of $30,000.
Therefore, the base rate for Brian Water Corp. needs to be raised to $30/mo. This will
yield $575/mo. to be used to sta making payments to the engineer and then wil be used to
service the debt for a new welL. Star date should be March 1,2012.
Than you.
Sincerely,-1¿r..~~
Tony Bowar
Brian Water Corp.
I
Brian Water Corporation
PMB 228
5120 Overland Rd Ste C
Boise,ID 83705-2680
869-9199
FIELD(l)
FIELD(2)
FIELD(3)
For Period 12/01111 to 110112012
Meter Readings Current Past Gallons
Credits
Past due
1% Late Fee
Curent due
Total due
Due by 01/18/2012
New rates: $17.50/4000 gal/mo. plus $1.51/1000 gal. above 4000 gal.
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,Brian Water Corporation
5120 Overland Rd
Ste C #228
Boise, ID 83704
869-9199
iHi i N 20 10: 24
January 19,2012
RE: Nitrate mitigation
Brian Water Customer,
This month's nitrate level rose again to 12.2 mg/L. Consequently, I met with the
Dept. of Environmental Quality (DEQ) and am required to star the process of Nitrate mitigation
...it can't be delayed any longer.
The first required step is to hire an engineer to analyze the situation and submit an initial
report to the DEQ with recommendations to solve the problem. Estimated cost is $10,000.
We already know that the only feasible solution is to put in a new, deeper well .
Estimated cost is $30,000. (A second well may be required but can be done later) There will
probably be some other smaller costs involved.
So it comes down to paying for it. I had informed you earlier to expect the base rate to
reach $30/mo. This is what I am proposing. That will mean another $12.50/mo. which will yield
$575/mo. to be used to star paying the engineer and then service the loan for the well.
The last rate increase raised the base rate to $17.50/mo. and increased the consumption
rate. This should give the company $6,000-$7,000/yr. to rebuild the system i.e. replace old
service lines, replace the storage ta, replace old meters, pump repair and eventualy the main
water line. Time frame is over the next 10-15 years. After this point, however, the system wil
be new and need little maintenance.
I'm going to set up a meeting for early Februar for us to discuss the options. Basically,
it's coming down to staying as a Public Utility with me or someone else ownng and managing it
or the homeowners ownng and managing it as a Homeowner's Association or Water Board.
I'll give you the date/time and place on the next biling.
Tony Bowar
Brian Water
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