HomeMy WebLinkAbout20040607Decision Memo.pdfDECISION MEMORANDUM
TO:COMMISSIONER KJELLANDER
CO MMISSI 0 NER SMITH
CO MMISSI 0 NER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:LISA NORDSTROM
DATE:JUNE 4, 2004
RE:IN THE MATTER OF THE APPLICATION OF EAGLE WATER
COMPANY, INC., TO AMEND ITS CERTIFICATE OF PUBLIC
CONVENIENCE AND NECESSITY NO. 278. CASE NO. EAG-04-02.
On May 21 , 2004, Eagle Water Company, Inc. (Eagle Water; Company) filed an
Application with the Idaho Public Utilities Commission (Commission) requesting authorization
to amend its Certificate of Public Convenience and Necessity No. 278 by extending the boundary
of the area in which it is authorized to provide service. This proposed expansion is located in
Ada County just east of Old Highway 55/Horseshoe Bend Road and immediately south of the
Fanners Union Canal. The proposed area to be served contains five parcels and is contiguous to
Eagle Water s main system.
According to the Company s Application, Jan G. Troutner, Dorthy McKay and the
Dry Creek Cemetery Maintenance District have requested water service to their respective
properties as evidenced by Exhibits A-C. Service to these properties would be provided through
Eagle Water s eight-inch main line located on the east side of Old Highway 55/Horseshoe Bend
Road. Extension of service to these parcels by Eagle Water will require excavation; installation
of mains, fire hydrants and service meter boxes; bedding; backfill; compaction; inspection; and
testing. The estimated construction cost for this project is between $15 000 and $20 000 plus
legal fees, all of which will be paid by the developer pursuant to Eagle Water s standard "Main
Extension Contract" as provided for in its tariff on file with the Commission. In addition to
construction costs, Eagle Water will incur legal fees in connection with this Application that
have yet to be determined.
DECISION MEMORANDUM
Eagle Water proposes to begin construction in June 2004 and complete construction
in August 2004. The proposed expansion will add three to five customers to Eagle Water
customer base. The Company estimates that the monthly gross revenue per such customer is $20
to $30. According to the Application, there will be no affect on Eagle Water s revenue
requirement.
Eagle Water states that it has an adequate source of supply to provide service to these
properties in a safe and reliable manner, as evidenced by a letter from James M. Rees, P.
MTC, Inc. The Company also submits that the extension of its facilities to service the Idaho
State Veterans Cemetery is consistent with the public convenience and necessity. Finally, Eagle
Water requests that its Application be processed pursuant to Modified Procedure, i., by written
submission rather than by hearing. IDAP A 31.01.01.201-204.
STAFF RECOMMENDATION
Staff recommends the Commission process Eagle Water s Application by Modified
Procedure and establish a 21-day comment period.
COMMISSION DECISION
Does the Commission agree with the recommendations of Eagle Water and Staff that
the Application in Case No. EAG- W -04-2 by processed pursuant to Modified Procedure?
M: EAGWO402 In
DECISION MEMORANDUM