20200205Notice_of_Application_Order_No_34543.pdf

Office of the Secretary
Service Date
February 5,2020
BEFORE THE IDAHO PUBLIC UTILITIES COMMISSION
IN THE MATTER OF FALLS WATER CO.,)CASE NOS.FLS-W-19-02
INC.'S APPLICATION TO SELL CERTAIN )FLS-W-20-01
WATER SYSTEM ASSETS TO THE CITY OF )IDAHO FALLS )NOTICE OF APPLICATION
)NOTICE OF
)MODIFIED PROCEDURE
)ORDER NO.34543
On December 2,2019,Falls Water Co.,Inc.("Falls Water"or "Company")applied to
the Commission to amend the Company's certificate of public convenience and necessity
("CPCN")to add 13 areas contiguous to its current certificated service area.The Company also
sought approval of a transaction with the City of Idaho Falls ("Idaho Falls").
On December 27,2019,the Commission issued a Notice of Application and Notice of
Modified Procedure setting comment and reply deadlines.Order No.34517.
On February 4,2020,Commission Staff recommended to the Commission that Case
No.FLS-W-19-02 be bifurcated to allow the Company's transaction with Idaho Falls to be
considered as a separate case.
The Commission now opens Case No.FLS-W-20-0 1 and issues a Notice of Application
and Notice of Modified Procedure setting comment and reply deadlines.
NOTICE OF APPLICATION
YOU ARE HEREBY NOTIFIED that in Case No.FLS-W-19-02,Falls Water applied
to the Commission to amend the Company's CPCN.As part of its Application,the Company
requested the Commission approve the sale of a 12-inch water main and 6-inch lateral to Idaho
Falls,and requested that it be relieved of the duty to serve the one customer currentlyserved by
the assets to be sold.
YOU ARE FURTHER NOTIFIED that on January 24,2020,Falls Water sent an email
and a letter to Commission Staff.In these communications,the Company explained that Idaho
Falls'reason for purchasing the 12-inch main and associated assets is to allow Idaho Falls to
provide service to a large commercial customer.The Company stated that Idaho Falls is under a
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ORDER NO.34543 1
contractual obligation to provide water service to the commercial customer beginning April 1,
2020.The current comment deadlines in Case No.FLS-W-19-02 will likelyput the Commission's
decision regarding the asset transfer near or after the date Idaho Falls will be contractually
obligated to begin service to the commercial customer.
YOU ARE FURTHER NOTIFIED that Staff states it can provide an expedited and
thorough review of the asset transfer and related issues and submit written comments considerably
more quicklythan it can review the remainder of the Company's Application in Case No.FLS-W-
19-02.Therefore,Staff recommended the Commission bifurcate this case.The new case,FLS-W-
20-01,will address the asset transfer to Idaho Falls and service to the sole customer served by the
assets.See FLS-W-19-02,Application at 4.
YOU ARE FURTHER NOTIFIED that the Company asserts in its Application that the
asset transfer benefits the Company and its customers because the assets are in an area where the
Company is unlikely to expand its service.Also,the Company states Idaho Falls and Falls Water
will sign a memorandum of understanding when the assets are sold to Idaho Falls.The
memorandum of understandingwill assist with the long-range planning for Falls Water and Idaho
Falls'water systems,which should benefit the Company financiallyand logistically.
YOU ARE FURTHER NOTIFIED that the Application is available for public
inspection during regular business hours at the Commission's office.These documents are also
available on the Commission's web site at www.gue.idaho.gov.Click on the "Water"icon,select
"Open Cases,"and then click on the case number shown in the caption to this document.
YOU ARE FURTHER NOTIFIED that all proceedings in this case will be held
pursuant to the Commission's jurisdictionunder Title 61 of the Idaho Code and specifically Idaho
Code §§61-501,61-502,61-503,and 61-526.
YOU ARE FURTHER NOTIFIED that all proceedings in this matter will be conducted
pursuant to the Commission's Rules of Procedure,IDAPA 31.01.01.000et seq.
NOTICE OF MODIFIED PROCEDURE
YOU ARE FURTHER NOTIFIED that the Commission has determinedthat the public
interest may not require a formal hearing in this matter,and that it will proceed under Modified
Procedure pursuant to Rules 201 through 204 of the Commission's Rules of Procedure,IDAPA
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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 must file a written comment in support or opposition with the Commission by
February 11,2020.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 Company at the
addresses reflected below:
For the Idaho Public Utilities For Gem State Water:
Commission
Commission Secretary Falls Water Co.,Inc.
Idaho Public Utilities Commission Attn:Scott Bruce
PO Box 83720 2180 N.Deborah Dr.
Boise,ID 83720-0074 Idaho Falls,ID 83401
Email:Scottl fallswater.com
Street Address for Express Mail:
Eric W.Nelsen
11331 W.Chinden Blvd.Senior Regulatory AttorneyBuilding8,Suite 201-A NW Natural
Boise,Idaho 83714 220 NW 2nd Ave.
Portland,OR 97209
Email:Eric.Nelsen nwnatural.com
These comments should contain the case caption and case number shown on the first page of this
document.Persons desiring to submit comments via email may do so by accessing the
Commission's home page located at www.puc.idaho.gov.Click the "Consumers"tab then click
the "Case Comment Form"and complete the comment form using the case number as it appears
on the front of this document.
YOU ARE FURTHER NOTIFIED that the Company must file any reply comments by
February 18,2020.
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
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ORDER NO.34543 3
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 Case No.FLS-W-19-02 be bifurcated.Case No.FLS-
W-20-01 is opened and will address the asset transfer to Idaho Falls and service to the sole
customer served by the assets.
IT IS FURTHER ORDERED that Company's Application be processed by Modified
Procedure,Rule 201-204 (IDAPA 31.01.01.201-.204).Persons interested in submitting written
comments on the issues in Case No.FLS-W-20-01 must do so by February 11,2020.The
Company must file any reply comments by February 18,2020.
DONE by Order of the Idaho Public Utilities Commission at Boise,Idaho this
day of February 2020.
PAUL KJELLANDER,PRESIDENT
KRISTINE RAPER,COMMISSIONER
ERMAÑDEPŸOXWMMRR
ATTEST:
Diane M.Hanian
Commission Secretary
I:\Legal\WATER\FLS-W-20-01\orders\FLSW2001nte app mod proc mh.doex
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