20200828Decision Memo.pdf

DECISION MEMORANDUM
TO C OMMISSIONER KJELLANDER
COMMISSIONER RAPER
COMMISSIONER AI\DERSON
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:MATT HUNTER
DEPUTY ATTORNEY GENERAL
DATE: AUGUST 27,2020
SUBJECT:IN THE MATTER OF FALLS WATER CO.,INC.'S APPLICATION FOR
AppRovAL oF ACQUISITION OF THE ASSETS OF MORNING VIEW
WATER COMPAIYY; CASE NO. FLS-W-20-04
On July 31, 2020, Falls Water Co., Inc. ("Falls Water") applied for Commission
approval of Falls Water's acquisition of the water system assets of Morning View Water Company
("Morning View"). Falls Water also asked for approval to transfer Morning View's certificate of
public convenience and necessity ("CPCN") to Falls Water.
THE APPLICATION
Falls Water is a Commission-regulated water corporation holding CPCN No. 236.
Application at 2; see ldaho Code $ 6l-125. Falls Water has operated a water system near Idaho
Falls since 1958, and currently seryes approximately 5,500 customers. Application at 2. Falls
Water is a direct subsidiary of NW Natural Water of Idaho, LLC, which through its parent
companies is owned by NW Natural Holdings. See Id.; Notice of Corporate Structure
Reorganization.
Morning View is a Commission-regulated water corporation serving approximately
I I 8 residential customers under CPCN No. 3 I 4. Application at 3. Morning View's service territory
is in and around Rigby and is approximately 9 miles from Falls Water's current office location.Id.
Underthe proposed transaction, Falls Waterwill acquire Moming View's water system
assets..Id. Falls Water states that its employees will operate the Morning View water system. 1d.
at 4. Falls Water asserts it "is not requesting any change to rates, rate structure, or other charges in
this Application." Id.
DECISION MEMORANDUM
STAFF RECOMMENDATION
Staff recommends the Commission issue a Notice of Application and Modified
Procedure, setting an October 15,2020 comment deadline and an October 29, 2020 reply comment
deadline.
Additionally, Staffrecommends the Commission schedule a customerhearing, and that
it direct Staffto schedule and hold a customer workshop. Staffbelieves the ideal timeframe to hold
the customer hearing and customer workshop would be between October L,2020 and October 8,
2020.
COMMISSION DECISION
Does the Commission wish to:
1. Issue a Notice of Application and Modified Procedure, setting an October 15,
2020 comment deadline and an October 29,2020 reply comment deadline?
2. Schedule a customer hearing at a to-be-determined time and date?
3. Direct Staffto schedule a customer workshop?
Matt Hunter
Deputy Attorney General
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DECISION MEMORANDUM 2