Idaho Public Utilities Commission

Case No. AWS-W-07-01, Order No. 30526

April 11, 2008

Contact: Gene Fadness (208) 334-0339, 890-2712

Bonner County water company seeks sale and rate approval

The Idaho Public Utilities Commission is planning a workshop and later a public hearing on a request by Algoma Water Company to sell the company and increase customer rates.

Algoma Water Company serves about 21 households and six commercial businesses south of Sandpoint. Its current owner, Paul Greenwood of Los Angeles, proposes to sell the company to Robert Carrier of Las Vegas for $161,000. Carrier, who has been investing in Bonner County since 2004, intends to retain Bob Hansen of Water Systems Management, Inc., in Sandpoint to manage the company.

The company is also asking to increase its monthly flat rate for residential customers from $17.59 to $36 and its monthly commercial rate from $28.15 to $54. The company claims it has been many years since its last rate increase, that it is anticipating major repairs this year and that the company is currently operating with a negative net income.

Staff from the commission will conduct a workshop for Algoma customers and other interested parties on Tuesday, April 22, at 7 p.m., in the library at Sandpoint High School, 410 S. Division St. One week later, on Tuesday, April 29, 7 p.m., the three commissioners who will decide the case will conduct a public hearing, also at the high school library.

The workshop and hearing are different. At the workshop, commission staff will present an overview of the company’s application and answer questions from the public. At the public hearing, the commissioners will take public testimony from customers and other interested parties on the proposed rate increase.

Customers who don’t want to testify at the hearing can submit written comments by no later than April 25. Comments are accepted via e-mail by accessing the commission’s homepage at www.puc.idaho.gov and clicking on "Comments & Questions." Fill in the case number (AWS-W-07-01) and enter your comments. Comments can also be mailed to P.O. Box 83720, Boise, ID 83720-0074 or faxed to (208) 334-3762.

A full text of the commission’s order, along with other documents related to this case, is available on the commission’s Web site at www.puc.idaho.gov. Click on “File Room” and then on “Water Cases” and scroll down to the above case number.