20090916notice_of_public_workshop_order_no_30899.pdf

Office of the Secretary
Service Date
September 16, 2009
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF THE APPLICATION CASE NO. FLS-09-
OF FALLS WATER COMPANY FOR
AUTHORITY TO INCREASE ITS RATES NOTICE OF
AND CHARGES.PUBLIC WORKSHOP
NOTICE OF
MODIFIED PROCEDURE
ORDER NO. 30899
On August 4, 2009, Falls Water Company filed an Application for authority to
increase its totalrevenue requirement by $143 496., or 14.39%. The Company requests that
the Application be processed by Modified Procedure and that the tariff changes become effective
September 10, 2009.
On September 2, 2009, the Commission issued a Notice of Application, set a
deadline for intervention, and suspended the Company s proposed September 10 2009, effective
date. Order No. 30893. No persons petitioned to intervene. The parties recommend that the
case be processed under Modified Procedure with the Commission Staff holding a public
workshop in Idaho Falls.
THE APPLICATION
Falls Water provides water service to more than 3 600 residential and commercial
customers in an area generally north of the City of Ammon and northeast of the City of Idaho
Falls in Bonneville County. Application at 2. The Company last increased its basic rates and
charges in January 2008. Order No. 30484. Since that time, the Company has put a new well
into service. (Well #9), began installing meters and MXU transmitters in an effort to upgrade its
system, moved offices and acquired new office furniture, and replaced a hydrant on the water
system. Id. at 2. As a result, the Company requests an increase in its total revenue requirement
of$143,496.81.
Falls Water proposes to increase the base rate for all metered schedules from $14.
to $18., an increase of29%. However, the Company proposes to decrease the commodity rate
from $0.667 per 1 000 gallons to $0.601 per 1 000 gallons, a decrease of 10%. The Company
maintains that these changes will cause the average residential metered customer to experience
NOTICE OF PUBLIC WORKSHOP
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30899
an Increase of approximately 14.88%; the average multi-family residential customer to
experience an increase of 8.51 %; and the average commercial customer to experience an increase
of 4.22%. The Company has placed more emphasis on the basic charge to alleviate winter cash
flow issues. Id. at 5. Furthermore, because all of its customers are metered, the Company
proposes to cancel the Residential Flat Rate Schedule 2. Id. The Company requests a return on
its common equity of 12%. ld. at 4. The Company further proposes use of a 2008 test year.
The Company proposes a new non-recurring charge of $10.00 for testing meters.
The Company explains that many customers question their bills at the beginning of the summer
irrigation period, but their meters rarely test inaccurately. A charge for testing meters would
place the burden on the customers responsible for causing the cost to be incurred and remove it
from the general body of ratepayers. I The Company also requests a new charge of $20.00 for
returned checks and a late payment charge of 1 % per month.
NOTICE OF PUBLIC WORKSHOP
YOU ARE HEREBY NOTIFIED that the Commission Staff will hold a public
workshop for customers of Falls Water. The purpose of the public workshop is to provide
customers with an overview of the Company s Application and dispense information. At the
workshop, customers will have an opportunity to ask the Staff questions about the Company
Application and learn how they can further participate in the proceedings. Representatives ofthe
Company may also be available. The Staff will hold its public workshop on THURSDAY.
OCTOBER 8. 2009. AT 7:00 P.M. IN THE HARTWELL ROOM OF THE COLONIAL
ARTS THEATER. LOCATED AT 490 A STREET. IDAHO FALLS. IDAHO
YOU ARE FURTHER NOTIFIED that the Application, supporting workpapers, and
exhibits have been filed with the Commission and are available for public inspection during
regular business hours at the Commission offices. The Application and workpapers are also
available on the Commission s Website at www.puc.idaho.gov under "File Room" and then
Water Cases.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determined that the
public interest may not require a formal hearing in this matter and will proceed under Modified
I If the customer s meters tested outside the manufacturer s specification of plus or minus 1.5% of the factory
calibrated test meter the Company would replace the meter and waive the $10.00 fee.
NOTICE OF PUBLIC WORKSHOP
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30899
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 on this
Application may file a written comment in support or opposition with the Commission within
twenty-one (21) days from the service date ofthis Order. 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 Application shall be
mailed to the Commission and the Applicant at the addresses reflected below:
Commission Secretary
Idaho Public Utilities Commission
PO Box 83720
Boise, ID 83720-0074
Street Address for Express Mail:
472 W. Washington Street
Boise, ID 83702-5918
Robert E. Smith
2209 N. Bryson Road
Boise, ID 83713
Mail: utilitygroup~yahoo.com
K. Scott Bruce, General Manager
Falls Water Company
2180 N. Deborah Drive
Idaho Falls, ID 83401
Mail: scottl~fallswater.com
document.
These comments should contain the case caption and case number shown on the first page of this
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 "Comments and Questions
icon and complete the comment form using the case number as it appears on the front of this
document. These comments must also be sent to the Applicant at the e-mail addresses listed
above.
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.
YOU ARE FURTHER NOTIFIED that the Commission has jurisdiction over this
matter pursuant to Title 61 of the Idaho Code and specifically Idaho Code 99 61-124, 61-125
NOTICE OF PUBLIC WORKSHOP
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30899
61-129, 61-622, and 61-623. The Commission may enter any final Order consistent with its
authority under Title 61.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be
conducted pursuant to the Commission s Rules of Procedure, IDAPA 31.01.01.000 et seq.
ORDER
IT IS HEREBY ORDERED that this case be processed under Modified Procedure.
Interested persons and the parties may file written comments no later than twenty-one (21) days
from the service date of this Order.
DONE by Order of the Idaho Public Utilities Commission at Boise, Idaho this 1/pP'
day of September 2009.
t:~~SIDENT
A. SHA H. SMITH, COMMISSIONER
~A
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MACK A. REDFORD, COMMISSIONER
ATTEST:
Ie D. JewellCo ISSlOn Secretary
O:FLS-09-01 ks2
NOTICE OF PUBLIC WORKSHOP
NOTICE OF MODIFIED PROCEDURE
ORDER NO. 30899