20120406Decision Memo.pdf

DECISION MEMORANDUM 1

DECISION MEMORANDUM

TO: COMMISSIONER KJELLANDER
COMMISSIONER REDFORD
COMMISSIONER SMITH
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: NEIL PRICE
DEPUTY ATTORNEY GENERAL

DATE: APRIL 6, 2012

SUBJECT: APPLICATION OF COUNTRY CLUB HILLS UTILITIES FOR
AUTHORITY TO INCREASE ITS RATES AND CHARGES FOR WATER
SERVICE, CASE NO. CCH-W-12-01

On March 22, 2012, Country Club Hills Utilities (“CCHU” or “Company”) filed an
Application requesting authority to “increase its rates and charges for water service.”
Application at 1.
THE APPLICATION
In its Application, CCHU states that it “provides water service to 147 residential and
1 commercial customers in Bonneville County, Idaho.” Id. CCHU attached a map of the
Company’s service area showing the location of wells, reservoirs, transmission mains and
distribution lines and a written legal description defining the boundaries of the service area. Id.
The Company is seeking Commission authorization for “a general 32% increase in water rates.
. . .” Id. An itemization of CCHU’s proposal is outlined below:
1. Increase flat rate residential /commercial rates from $17 per month to $25
per month.

2. Increase metered residential/commercial rates from $0.60 per thousand
gallons for all consumption in excess of 30,000 gallons per month to $0.60
per thousand gallons for all consumption in excess of 15,000 gallons to
25,000 gallons and $0.70 per thousand gallons for all consumption in
excess of 25,000.

3. Increase flat rate Condo with no landscape from $15.75 per month to
$23.75 dollars per month.
DECISION MEMORANDUM 2

4. Increase metered landscape rates for Condo’s from $20.00 per month to
$23.75 per month during the months of use. Increase metered landscape
rates for Condo’s from $0.60 per thousand gallons for all consumption
used in excess of 30,000 gallons per month to $0.60 per thousand gallons
for all consumption used in excess of 15,000 to 25,000 gallons and $0.70
per thousand gallons for all consumption used in excess of 25,000 gallons.

5. Increase hookup fee from $500 dollars to $750 per hookup.

6. Increase reconnection fee from $14 per reconnection during normal
business hours and $28 at all other times to $50 per reconnection during
normal business hours and all other times.

Id. at 1-2.
CCHU did not include a copy of its customer’s notice as required by Commission
Rule of Procedure 125. The Company requests that its Application for a rate increase be
processed through Modified Procedure. The Company did not request a specific effective date
for its proposed increase but did include March 1, 2012 as the effective date on its revised tariffs,
submitted as an attachment to its Application.
COMMISSION DECISION
1. Does the Commission wish to suspend CCHU’s Application for an increase in its
rates and charges for water service for a period of 30 days plus 5 months, pursuant to Idaho Code
§ 61-622?
2. Does the Commission wish to order the Company to prepare and submit a
customer notice

M:CCH-W-12-01_np