20180620notice_of_application_order_no_34088.pdf

Office of the Secretary
Service Date
June 20,2018
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
CAPITOL WATER CORPORATION'S )CASE NO.CAP-W-18-01
APPLICATION TO INCREASE ITS )SCHEDULE NO.3 PURCHASE POWER )NOTICE OF APPLICATION
ADJUSTMENT RATE )
)NOTICE OF
)MODIFIED PROCEDURE
)NOTICE OF COMMENT
)DEADLINE
)ORDER NO.34088
On May 30,2018,Capitol Water Corporation filed an Application to adjust its
Schedule No.3 Purchased Power Adjustment Rate to "recover the Company's cost of electricity
related to Idaho Power Company's electric rate schedules that have been approved by the Idaho
Public Utilities Commission."Application at 1.Capitol Water proposes an effective date of
July 15,2018.1
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED Capitol Water requests a decrease in its Schedule 3
rates.It states that the proposed decrease is driven by a drop in electric power expenses.Id.
The Company claims that its current 3.1%PPCA rate is too high when factoring in the lower
power rates.Id.The Company requests a new PPCA rate of 2.61%.Id.
YOU ARE FURTHER NOTIFIED that Capitol Water states that its "current base
rates were established by Order No.30762 in Case No.CAP-W-08-02."Id.Capitol Water
summarizes the order:"the Commission adopted a three (3)year average of 1,454,401KWh of
electricity consumption at an average cost of 5.19¢,to establish rates for Applicant."Id.This
results in a total electric power cost rate of $75,483.41.Id.
YOU ARE FURTHER NOTIFIED the Company claims that its actual cost in 2017
was $17,034 more than what is embedded in base rates,but $3,170 lower than what is currently
1 The Company's Application contains two differentrequested effective dates:July 15,2018,and August 1,2018.
Because the submitted tariffs are dated July 15,2018,we are proceeding under the assumption that the reference to
August 1,2018,was an unintentional error.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT DEADLINES
ORDER NO.34088 1
being charged after factoring in the current PPCA mechanism.Id.at 2-4.In sum,Capitol Water
is seeking the Commission's authorization to decrease its current Schedule No.3 Purchased
Power Cost Adjustment Rate from 3.1%to a revised rate of 2.61%.
YOU ARE FURTHER NOTIFIED that Capitol Water included a worksheet with the
Application detailing its calculations (Exhibit No.1),a copy of the proposed Schedule No.3 in
legislative format (Exhibit No.2),a copy of a direct customer notice and a news release that will
be printed in the Idaho Statesman and Idaho Business Review.Id.(Exhibit Nos.3-4).
YOU ARE FURTHER NOTIFIED that the Commission finds it appropriate to
suspend the Company's proposed effective date of July 15,2018,for a period of thirty days,until
August 15,2018,unless the Commission issues an earlier Order accepting,rejecting,or
modifying the Company's Application.See Idaho Code §§61-622(4).
YOU ARE FURTHER NOTIFIED that Capitol Water requests that the Commission
process its Application pursuant to Modified Procedure.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has reviewed the Company's
filing in Case No.CAP-W-18-01,and finds that the public interest may not require a formal
hearing in this matter and will proceed under Modified Procedure pursuant to Rules 201 through
204 of the Idaho Public Utilities Commission's Rules of Procedure,IDAPA 31.01.01.201
through .204.The Commission notes that Modified Procedure and written comments have
proven to be an effective means for obtaining public input and participation.
YOU ARE FURTHER NOTIFIED that any person desiring to state a position
concerning Capitol Water's Application in Case No.CAP-W-18-01 may file a written comment
in support or opposition with the Commission by no later than July 12,2018.The comment
must contain a statement of reasons supporting the comment.Persons desiring a hearing must
specifically request a hearing in their written comments.Written comments concerning this
filing should be mailed to the Commission and Capitol Water at the addresses reflected below:
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT DEADLINES
ORDER NO.34088 2
Commission Secretary Robert Price,President
Idaho Public Utilities Commission Capitol Water Corp.
PO Box 83720 2626 Eldorado
Boise,ID 83720-0074 Boise,ID 83704
E-mail:
Street Address for Express Mail:
472 W.Washington Street
Boise,ID 83702-5918
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via e-mail may do so by accessing the
Commission's home page located at www.puc.idaho.gov.Click the "Case Comment or Question
Form"under the "Consumers"tab,and complete the form using the case number as it appears on
the front of this document.These comments must also be sent to the Company at the e-mail
addresses listed above.
YOU ARE FURTHER NOTIFIED that Capital Water may file reply comments,if
necessary,no later than July 19,2018.
YOU ARE FURTHER NOTIFIED that the Application and supporting documents
have been filed with the Commission and are available for public inspection during regular
business hours at the Commission offices.The Application is also available on the
Commission's web site at www.puc.idaho.cov.Click on the "File Room"tab at the top of the
page,scroll down to "Open Water Cases,"and then click on the case number as shown on the
front of this document.
YOU ARE FURTHER NOTIFIED that if no written comments or protests are
received within the time limit set,the Commission will consider this matter on its merits and
enter its Order without a formal hearing.If written comments are received within the time limit
set,the Commission will consider them and,in its discretion,may set the same for formal
hearing.
ORDER
IT IS HEREBY ORDERED that the July 15,2018,effective date that the Company
proposed for its rate increase is suspended for a period of thirty days,until July 15,2018,unless
the Commission issues an earlier Order accepting,rejecting,or modifying the Application.
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT DEADLINES
ORDER NO.34088 3
IT IS FURTHER ORDERED that the Application of Capitol Water Corporation shall
be processed by Modified Procedure,IDAPA 31.01.01.201-204.Persons interested in submitting
written comments in this matter must do so by no later than July 12,2018.
IT IS FURTHER ORDERED that Capital Water may file reply comments,if
necessary,by no later than July 19,2018.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of June 2018.
PAUL KJELLANDER,PRESIDENT
KR flNE RAPEl COMMISSIONER
ERIC ANDERSON,COMMISSIONER
ATTEST:
Diane M.Hanian
Commission Secretary
CAPW1801 NtcAppMod bkl
NOTICE OF APPLICATION
NOTICE OF MODIFIED PROCEDURE
NOTICE OF COMMENT DEADLINES
ORDER NO.34088 4