MAYER.docx

April 18, 1996
Mr. Russell Mayer, President
Building Contractors Association of
  Southwestern Idaho, Inc.
11120 Executive Drive
Boise, ID 83713
RE: Letter of March 26, 1996, Discussing Hookup Fees for United Water Corporation
Dear Mr. Mayer:
This is in response to your letter of March 26, 1996, in which you expressed concern regarding the recent decision by the Idaho Public Utilities Commission to increase United Water Corporation’s hookup fees.  As you note in your letter, the Idaho Supreme Court has issued an Opinion setting aside the Commission’s Order with respect to the hookup fees.  As you are also aware, the Commission has filed a Petition for Rehearing asking the Court to reconsider that Opinion.  As of the date of this writing, the Court has not yet ruled on the Commission’s Petition for Rehearing.  Because this matter is pending before the Court, I do not believe it would be appropriate to discuss the merits of this case.
I do wish to respond generally, however, to your suggestion that the Commission Staff establish this public policy for the Commission.  The Idaho Supreme Court has previously ruled that the Commission may consider the public policy ramifications its decisions in matters before it.  This is a function, however, reserved exclusively for the three Commissioners who are appointed by the Governor.  I can assure you that the three Commissioners are exclusively responsible for their decisions, particularly with respect to matters of public policy.  While the Commissioners consider the positions of all parties participating in any proceeding before them, including the Commission Staff, the ultimate responsibility for resolving technical or public policy issues rests solely with the three Commissioners.
Very truly yours,
BP:vld/L:Mayer.bp