Case No. CAP-W-06-01, Order No. 30098

July 14, 2006

Contact: Gene Fadness (208) 334-0339




Boise water company seeks 27.8 percent increase


The Idaho Public Utilities Commission suspended a Boise water company’s application for a 27.8 percent revenue increase to allow commission staff more time to review the company’s application.


Capitol Water Corp., which serves about 2,875 households in the west bench area, says the increase is necessary to implement capital improvements such as well and customer service line replacements. Capitol sought an effective date of Aug. 1 for the increased rate, but the commission suspended the effective date for up to six months.


If approved, the rate hike would increase Capitol’s annual revenues by about $132,500. The company proposes to extend the summer billing period by one month to include April, which would raise $27,000. (The current summer billing period is May through September.) The remaining $105,500 would be raised by a 22.21 percent increase to the company’s base rates.


The company last had a rate case in 1995. Since then, the commission has approved two surcharges to meet capital improvements. The company claims two wells show continuing production declines. Further, the Ada County Highway District’s plan to widen Ustick Road will require Capitol Water to replace a number of customer service lines, according to the company’s application.


The commission will soon announce a public hearing and/or written comment process for the case.


A full text of the commission’s order, along with other documents related to this case, are available on the commission’s Web site at Click on “File Room” and then on “Water Cases” and scroll down to Case No. CAP-W-06-01.