20231017Decision Memo.pdf

DECISION MEMORANDUM 1
DECISION MEMORANDUM

TO: COMMISSIONER ANDERSON
COMMISSIONER HAMMOND
COMMISSIONER LODGE
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL

FROM: DAYN HARDIE
DEPUTY ATTORNEY GENERAL

DATE: OCTOBER 17, 2023

SUBJECT: IN THE MATTER OF FALLS WATER CO., INC.’S APPLICATION FOR
THE AUTHORITY TO INCREASE ITS RATES AND CHARGES FOR
WATER SERVICE IN THE STATE OF IDAHO; CASE NO. FLS-W-23-01.

On May 12, 2023, Falls Water Co., Inc., (“Company”) applied for authorization to raise
the rates it charges for water service. The Company requests an approximate 47.3% increase in
revenue collected and a 7.71% rate of return. The Company requests a July 1, 2023, effective date.
On June 5, 2023, the Commission issued a Notice of Application, Notice of Intervention
Deadline, and suspended the Company’s proposed effective date for five months pursuant to Idaho
Code § 61-622(4). Order No. 35806. No other party intervened.
On August 2, 2023, the Commission issued a Notice of Customer Workshop, and a Notice
of Modified Procedure establishing an October 12, 2023, deadline for public comments and
November 2, 2023, Company reply deadline. Order No. 35872.
On September 7, 2023, the Commission issued a Notice of Customer Hearing for October
23, 2023. Order No. 35914.
On September 14, 2023, Staff, through its legal counsel, provided Notice of Settlement
Negotiations pursuant to Rule of Procedure 272. IDAPA 31.01.01.272. Subsequently the parties
have had multiple rounds of settlement discussions.
On October 13, 2023, the Commission issued a Notice of Amended Comment Deadline
moving the public comment deadline to October 26, 2023. Order No 35960.

DECISION MEMORANDUM 2

STAFF RECOMMENDATION
Staff and the Company have recently agreed to the terms of a proposed settlement but have
yet to memorialize those terms or file the proposed settlement. Since a proposed settlement will
be filed soon and a customer hearing is already scheduled for October 23, 2023, Staff believes it
would be best to vacate the customer hearing and reschedule it after the proposed settlement has
been filed. Additionally, after conferring with the Company, Staff recommends the Commission
extend the suspension period until December 15, 2023.1
COMMISSION DECISION
Does the Commission wish to issue an order vacating the customer hearing scheduled for
October 23, 2023 and extending the suspension of the effective date until December 15, 2023?

_____________________________
Dayn Hardie
Deputy Attorney General

I:\Legal\WATER\FLS-W-23-01\memos\FLSW2301_dec5_dh.docx

1 Typically, the Commission suspends rate case filings for 30 days plus five months pursuant to its authority in Idaho
Code § 61-622(4). In Order No. 35806, the Commission suspended the Company’s proposed effective date of July 1,
2023, for five months.