20120322Summons.pdf

IDAHO C.L. "Butch" Otter, Governor
PUBLIC UTILITIES
S commission P.O. Box 83720, Boise, Idaho 83720-0074
Paul Kjellander, Commissioner
Mack A. Redford, Commissioner
Marsha H. Smith, Commissioner
March 22, 2012
Via Certified Mail
K. Scott Bruce, General Manager
Falls Water Company, Inc.
2180 North Deborah Drive
Idaho Falls, ID 83401
Re: Case No. FLS-W-12-02
Dear Mr. Bruce:
Enclosed please find a Summons and Complaint issued against Falls Water Company,
Inc. in Case No. FLS-W-12-02. As directed in the Summons, you are to file a written
answer or motion in defense of said Complaint with this Commission within 21 days of
the service date on the Summons.
I have also enclosed a copy of Staff s.Decision Memorandum regarding the Complaint.
Sincerely,
Ja1"- -4 D. Jew I '
Commission Secretary
Enclosures
Cc: Len and Kathy Koch
Located at 472 West Washington Street, Boise, Idaho 83702
Telephone: [phone] Facsimile: [phone]
Office of the Secretary
Service Date
March 22, 2012
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
)
)
Len and Kathy Koch, )
Complainants, )
)
VS. )
)
Falls Water Company, Inc., )
)
Respondent. )
)
SUMMONS
CASE NO. FLS-W-12-02
THE STATE OF IDAHO SENDS GREETINGS TO THE ABOVE-NAMED RESPONDENT.
YOU ARE HEREBY NOTIFIED that a Complaint has been filed with the Idaho
Public Utilities Commission by the above-named Complainants; and
YOU ARE HEREBY DIRECTED to file a written answer or written motion in
defense of said Complaint within twenty-one (21) days of the service date of this Summons; and
YOU ARE HEREBY NOTIFIED that unless you do so within the time herein
specified, the Idaho Public Utilities Commission may take such action against you as is prayed
for in the Complaint or as it deems appropriate under Title 61 or Title 62 of the Idaho Code.
WITNESS my hand and the seal of the Idaho Public Utilities Commission this L2
day of March, 2012.
4u.11- Lo - . 44,lao -
JeJ D. Jewell
Commission Secretary
(SEAL)
February 29, 2012
Jean Jewell
PUC
State of Idaho
Subject: Complaint - Public Access to Water
I have been attempting to to acquire water for private and domestic use since last October.
Based on what I have learned is true and what I have been told I would like to lodge a formal
complaint against "Falls Water" in Idaho Falls.
I began by requesting information as to cost for hook-up and service for water at the Falls
Water office in Idaho Falls. In my discussion with Scott Bruce, manager, I was quoted a figure
115,000 - maybe more". I challenged such a high amount and inquired as to an appeal process. Mr.
Bruce told me there was no appeal. That Falls Water is not a public utility and Falls Water he alone had
the authority to determine what that cost would be. Further, my option was his price or dig a well. He
added that the figure he was giving me could be more, and probably would be. I requested a written
estimate and he agreed and provided a written estimate. I sent a copy of that document Mr. Daniel
Kline, Idaho of your office. The estimate figure is $11,900 and required me preform all labor on my
property.
I did not understand why these charges would be so high and I inquired in order to find out.
Nor did I think that a company providing water to the public would not be answerable to public
authority. Since that time I have compared this estimate cost for hook up to other hook up charges
within the city of Idaho Falls, (which are $1,300) and sewer service hook up charges (which are
$2,200). I don't pretend to understand the specific charges or the rates as stated in his estimate, but I
do understands that the figures he has quoted are the same to inc as if I were a land developer and
would be re-sealing service hook ups to a number of other customers. I am not a developer passing
these cost on to customers in development location. I am an individual land owner who has recently
inherited a piece of land, we wish to develop with a single structure house as prescribed by current
zoning requirements (R2).
My complaint is based on the information that these commercial prices, along with direct
statements made by Falls Water, that they have sole authority to establish and set these rates and
further the public I has no right to appeal beyond Falls Water. And even more: The verbal manner in
which this service is presented to the public e.g. "It is what I say it is and COULD BE MORE" is
intimidating and not true. Further that the public has no right.
I conclude with one remaining fact: I still do not have water and will indeed need to have it in
the very near future. It time for review and appeal is very much against pressing need. I appeal to you
for consideration with expediency if at all possible.
My thanks for your time and consideration.
Sincerely
Len and Kathy Koch
1306 Maelstrom N.
Idaho Falls, Id. 83404
f 522-9536
JjLL= VA I tt*P(
COMPANY
2180 14 Deborah Or, Idaho Falls, Idaho 83401 Telephone [phone]
Website: www.fallswater.com Fax: [phone]
October 17 1 2011
Estithated Costs to Connect 4335 N Ammon Rd to Falls Water Co., Inc.
Development Fees:
Eievelàpment3liare of Physical Plant (ie. New Well)
Ex-_1$'1'850 .00/aC`r4 FWC provides irrigation of lawns
Water gh fired perAcre
.5 AF FWC pràvidos irrigation of lawns
Cost/Unit Do Units Total Cost
$ 1,850.00 1.520 $ 2,812.00
Total$
# of Acres AF Needg CostIjE -gter Right
1.5 152 2.28 $1,000.00 $ 2,280.00
Miscellaneous Development Fees (Ia. Inspections hydraulic modeling, mapping Corrections)
IQ
1:X]$11-5.00/Lot $ 115.00 1 $ 115.00
Total Davelopmeitf Fees Due
L$ 6,207.0
RelnbUrsemitOtpe.veioper for 112 linear foot cost of 12° main line Cpst neiLE Ea'it.9tU.E JiQt
12" lInear foottcfuál cost $35.23 per linear foot. 1/2 of linear foot cost: $ 17.62 210 $ 8,700.20
Connection fee for 3/41 thnter $ 500.00
Estimated cost'to install a service line from 12" water main on east side of North Ammon Road to the meter
barrel to b lddat.od'in the utility right of way easement on the west side of North Ammon Road on the now
customers property. $ 2,500.00
Total Esthm.tecl Cost to nook onto Folit water Co., lnc.'C Wätet system. $ 11,907.20
The coét'forh eoiphyicaI plari and water rights are shown providing Irrigation because the prospective customer cannot
guarantec that-future owners of the property will not use Falls Water Co., Inc. water to irrigate lawns and landscapes.
The development contract ith the Birchwood Estates developer is ih effect through October 23, 2017. The contract stipulates
that anyone connectinglaterally to the water main line would need to reimburse the developer 1/2 the linear loot cost of the
water main times the frontage footage the new customer fronts the line.
New customer iiouldbe responsible to run 1" or larger line from meter barrel to the home and make the final connection to
home. No croSs conii*ctibns to other water sources are allowed so that Falls Water Co., Inc.'s system is protected from
potential contamination that may result from such cross connections.
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I
DECISION MEMORANDUM
TO: COMMISSIONER KJELLANDER
COMMISSIONER REDFORD
COMMISSIONER SMITH
COMMISSION SECRETARY
LEGAL
WORKING FILE
FROM: DANIEL KLEIN AND CHRIS HECHT
DATE:' MARCH 16, 2012
fLS- /-/ZO g-
RE: FORMAL COMPLAINT OF LEONARD KOCH AGAINST FALLS
WATER OBJECTING TO THE COST TO CONNECT TO SERVICE.
On February 29, 2012, the Commission received a "formal" complaint (attached) from
Mr. Koch against Falls Water. Mr. Koch believes he is being overcharged by Falls Water for a
line extension to obtain service at his property at 4335 N. Ammon Rd., Idaho Falls. Mr. Koch
was unsatisfied with the outcome of the informal procedures to resolve his complaints and has
filed a formal complaint.
BACKGROUND
Mr. Koch contacted Falls Water to inquire about the cost of obtaining service at his
property at 4335 N. Ammon Rd., Idaho Falls. Falls Water provided an estimate to Mr. Koch
(attached). Mr. Koch was concerned with the amount of the estimate as well as all the various
charges on the estimate. Falls Water's estimate indicated that it would cost $11,907.20.
Staff has been in contact with Falls Water and pointed out that the majority of the items
on the estimate are not contained in the Company's Tariff, and hence should not be charged.
The only item that is contained in the Tariff and approved by the Commission is the connection
fee ($500) for a 3/4 meter. The items on the estimate that are not contained in the tariff are:
"Development Share of Physical Plant ($2812)", "Water Rights Required ($2280)",
"Miscellaneous development fees ($1 15)", cost to run a service line from the main to the meter
barrel location $2500), and reimbursement to the developer who previously installed the 12"
main ($3700.20). Staff instructed Falls Water that it could only charge fees that were approved
DECISION MEMORANDUM -1- MARCH 16,2012
by the Commission and included in its Tariff. Falls Water indicated it has been charging these
types of fees not listed in its tariff for 7 years nOw. The cok1pany refused to remove the disputed
chtirges froth its cost quote to Mr. Koch.
STAFF REOMMENDATLON
Mr. KOch Was notsatisfied with the outcome of his informal complaint. Consequently,
he filed a formal complaint See Rulçs 23, 25 and 54, JDAPA 31 01 01 023 024 and t054.
COMMISSION DECISION
Does the Commission wish to accept Mr. Koelfs formal complaint? Does the
Commission wish to Issue a Summons?
Daniel Klein
..•.
Chris Hecht
Udmciiios/Koh tbrmal complabfl de.Q memo
DECISION MEMORANDUM -2.- MARCH 16,2012