Idaho Public
Utilities Commission
Case
No. TRH-W-10-01, Order No. 32152
January
3, 2011
Contact:
Gene Fadness (208) 334-0339, 890-2712
Rates increase for Troy Hoffman
Water customers
The
monthly minimum rate for the approximate 150 customers of Troy Hoffman Water
Corporation increased from $5.50 to $11.50 per month effective Jan. 1 as the
result of an order approved by the Idaho Public Utilities Commission last week.
Rates
have not increased for 14 years for the company, which serves customers in
Coeur d’Alene. When the company filed its case last June, it asked for an
increase in the monthly charge from $5.50 to $13.31, plus another $1.45 for
every 1,000 gallons used in excess of 3,000 gallons. The commission ultimately
approved the $11.50 monthly minimum but applied it to the first 5,000 gallons.
Customers will pay $1.10 for every 1,000 gallons used in excess of 5,000
gallons per month.
The
commission received 25 written comments from customers and four testified at a
telephonic hearing conducted by the commission. Customers opposed the size of
the increase, especially given the poor economic conditions.
“We
recognize that for some customers any increase may result in economic
hardship,” the commission said. “While we have an obligation to customers to
establish rates that are fair and reasonable, this commission at the same time
has a statutory obligation to Troy Hoffman to set rates at a level sufficient
to allow the company to recover its reasonable expenses of operation and to
receive a reasonable return on prudent capital investments in utility plant and
facilities. Carrying out this duty is necessary for the company to be
financially sound and capable of providing its customers with safe and reliable
water service.”
The
commission approved an annual revenue requirement of $41,834, an increase of
$17,682. Major repairs totaling $40,795 were made to the well pump and motor,
electrical service and well house during 2009. Commission staff reviewed the
repairs to determine if they were necessary and reasonably priced.
Within
one year, the company must test the accuracy of its newly installed production
flow meter and randomly test at least 10 percent of its customer service
meters. The company must also review and update all its customer notices, bills
and other documents to ensure they are consistent with commission rules and
regulations and change its business hours from 7 a.m. to 4 p.m. to 8 a.m. to 5
p.m.
The commission’s final order is available
on the commission’s Web site at www.puc.idaho.gov.
Click on the water icon, then on “Open Water Cases,” and scroll down to Case
No. TRH-W-10-01. Interested parties may petition the commission for
reconsideration by no later than Jan. 19. Petitions must set forth specifically
why the petitioner contends that the order is unreasonable, unlawful or
erroneous. Petitions should include a statement of the nature and quantity of
evidence the petitioner will offer if reconsideration is granted. Petitions can
be delivered to the commission at 472 W. Washington St. in Boise, mailed to
P.O. Box 83720, Boise, ID, 83720-0074, or faxed to 208-334-3762.