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<body lang=EN-US link=blue vlink=purple style='tab-interval:.5in'>

<div class=Section1>

<p class=MsoNormal align=center style='text-align:center'><b style='mso-bidi-font-weight:
normal'><font size=4 face="Times New Roman"><span style='font-size:14.0pt;
font-weight:bold;mso-bidi-font-weight:normal'>AGENDA<o:p></o:p></span></font></b></p>

<p class=MsoBodyText align=center style='margin-bottom:0in;margin-bottom:.0001pt;
text-align:center'><b style='mso-bidi-font-weight:normal'><font size=4
face="Times New Roman"><span style='font-size:14.0pt;font-weight:bold;
mso-bidi-font-weight:normal'>Council Workshop <o:p></o:p></span></font></b></p>

<p class=MsoBodyText align=center style='margin-bottom:0in;margin-bottom:.0001pt;
text-align:center'><b style='mso-bidi-font-weight:normal'><font size=4
face="Times New Roman"><span style='font-size:14.0pt;font-weight:bold;
mso-bidi-font-weight:normal'>Water Rate Discussion<o:p></o:p></span></font></b></p>

<p class=MsoNormal align=center style='text-align:center'><b style='mso-bidi-font-weight:
normal'><font size=4 face="Times New Roman"><span style='font-size:14.0pt;
font-weight:bold;mso-bidi-font-weight:normal'>Presentation by Angie Sanchez
Virnoche, HDR-EES<o:p></o:p></span></font></b></p>

<p class=MsoBodyText align=center style='margin-bottom:0in;margin-bottom:.0001pt;
text-align:center'><font size=3 face="Times New Roman"><span style='font-size:
12.0pt;mso-bidi-font-size:12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<p class=MsoNormal align=center style='text-align:center;tab-stops:right 6.0in'><st1:date
Month="6" Day="2" Year="2005"><font size=3 face="Times New Roman"><span
 style='font-size:12.0pt'>Thursday, June 2, 2005</span></font></st1:date><span
style='mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><st1:time
Hour="15" Minute="0">3:00 p.m.</st1:time><o:p></o:p></p>

<div style='border:none;border-bottom:solid windowtext 1.5pt;padding:0in 0in 3.0pt 0in'>

<p class=MsoNormal align=center style='text-align:center;tab-stops:right 6.0in;
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mso-padding-alt:0in 0in 3.0pt 0in'><st1:City><st1:place><font size=3
  face="Times New Roman"><span style='font-size:12.0pt'>Moscow</span></font></st1:place></st1:City>
City Hall, Second Floor<span style='mso-tab-count:1'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </span><st1:Street><st1:address>206
  East Third St</st1:address></st1:Street><o:p></o:p></p>

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<p class=MsoNormal align=center style='text-align:center'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<h1 align=left style='text-align:left;mso-list:none;tab-stops:.5in'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt'>I.<span
style='mso-spacerun:yes'>&nbsp; </span>Welcome<o:p></o:p></span></font></h1>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<h1 align=left style='text-align:left;mso-list:none;tab-stops:.5in'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt'>II<span
style='mso-spacerun:yes'>&nbsp; </span>Discussion Topics<o:p></o:p></span></font></h1>

<h2 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
margin-left:.5in;margin-bottom:.0001pt;text-indent:0in'><![if !supportLists]><b
style='mso-ansi-font-weight:normal'><i style='mso-ansi-font-style:normal'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'><span style='mso-list:Ignore'>A.<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>&nbsp;&nbsp;&nbsp;&nbsp; </span></font></span></span></font></i></b><![endif]><font
size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'>Review Revenue Requirement &#8211; Summarize Changes to Sewer Revenue
Requirement<o:p></o:p></span></font></h2>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<h2 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
margin-left:.5in;margin-bottom:.0001pt;text-indent:0in'><![if !supportLists]><b
style='mso-ansi-font-weight:normal'><i style='mso-ansi-font-style:normal'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'><span style='mso-list:Ignore'>B.<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>&nbsp;&nbsp;&nbsp;&nbsp; </span></font></span></span></font></i></b><![endif]><font
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font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'>Discuss the Findings and Conclusions of the Water and Sewer Cost of
Service Analyses<o:p></o:p></span></font></h2>

<h3 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
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face="Times New Roman"><span style='font:7.0pt "Times New Roman"'>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</span></font></span></span></font></b><![endif]><font size=3
face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold'>Cost of service process<o:p></o:p></span></font></h3>

<p class=MsoNormal style='margin-left:1.25in;text-indent:-.25in'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>2.<span
style='mso-spacerun:yes'>&nbsp;&nbsp; </span>Cost of service comparison, by
class<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt'>C.<span style='mso-spacerun:yes'>&nbsp; </span>Present
Water and Sewer Rate Design Alternatives<o:p></o:p></span></font></p>

<h3 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
margin-left:1.0in;margin-bottom:.0001pt;mso-list:none;tab-stops:.5in'><b
style='mso-ansi-font-weight:normal'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt;font-family:"Times New Roman";font-weight:normal;
mso-bidi-font-weight:bold'>1.<span style='mso-spacerun:yes'>&nbsp;&nbsp;
</span>Present Water and Sewer Cost of Service Phase-In<o:p></o:p></span></font></b></h3>

<h3 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
margin-left:1.0in;margin-bottom:.0001pt;mso-list:none;tab-stops:.5in'><b
style='mso-ansi-font-weight:normal'><font size=3 face="Times New Roman"><span
style='font-size:12.0pt;font-family:"Times New Roman";font-weight:normal;
mso-bidi-font-weight:bold'>2.<span style='mso-spacerun:yes'>&nbsp;&nbsp;
</span>Water Rate Alternatives; Tiered Rate, flat rate, meter size or per
account<o:p></o:p></span></font></b></h3>

<p class=MsoNormal style='margin-left:1.25in;text-indent:-.25in'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>3.<span
style='mso-spacerun:yes'>&nbsp;&nbsp; </span>Sewer Rate Alternatives; Flat Rate
Structure, reduce number of commercial rates<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<h2 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
margin-left:.5in;margin-bottom:.0001pt;mso-list:none;tab-stops:.5in'><b
style='mso-ansi-font-weight:normal'><i style='mso-ansi-font-style:normal'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'>D.<span style='mso-spacerun:yes'>&nbsp;&nbsp; </span>Summarize Committee
Direction on Rate Design Alternatives<o:p></o:p></span></font></i></b></h2>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<h2 style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:0in;
margin-left:.5in;margin-bottom:.0001pt;text-indent:0in'><![if !supportLists]><b
style='mso-ansi-font-weight:normal'><i style='mso-ansi-font-style:normal'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'><span style='mso-list:Ignore'>C.<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>&nbsp;&nbsp;&nbsp;&nbsp; </span></font></span></span></font></i></b><![endif]><font
size=3 face="Times New Roman"><span style='font-size:12.0pt;font-family:"Times New Roman";
font-weight:normal;mso-bidi-font-weight:bold;font-style:normal;mso-bidi-font-style:
italic'>Next Step &#8211; Direction on Rate Design Alternatives from Council<o:p></o:p></span></font></h2>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<h1 align=left style='text-align:left;mso-list:none;tab-stops:.5in'><font
size=3 face="Times New Roman"><span style='font-size:12.0pt'>III.<span
style='mso-spacerun:yes'>&nbsp; </span>Adjournment<o:p></o:p></span></font></h1>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p>&nbsp;</o:p></span></font></p>

<p class=MsoAutoSig><font size=2 color=navy face="Lucida Fax"><span
style='font-size:10.0pt;font-family:"Lucida Fax";color:navy;mso-no-proof:yes'>Stephanie
Kalasz<o:p></o:p></span></font></p>

<p class=MsoAutoSig><st1:place><st1:PlaceName><font size=2 color=navy
  face="Lucida Fax"><span style='font-size:10.0pt;font-family:"Lucida Fax";
  color:navy;mso-no-proof:yes'>Moscow</span></font></st1:PlaceName><font
 size=2 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:
 "Lucida Fax";color:navy;mso-no-proof:yes'> </span></font><st1:PlaceType><font
  size=2 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:
  "Lucida Fax";color:navy;mso-no-proof:yes'>City</span></font></st1:PlaceType></st1:place><font
size=2 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:
"Lucida Fax";color:navy;mso-no-proof:yes'> Clerk<o:p></o:p></span></font></p>

<p class=MsoAutoSig><st1:Street><st1:address><font size=2 color=navy
  face="Lucida Fax"><span style='font-size:10.0pt;font-family:"Lucida Fax";
  color:navy;mso-no-proof:yes'>206 E. Third Street</span></font></st1:address></st1:Street><font
size=2 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:
"Lucida Fax";color:navy;mso-no-proof:yes'><o:p></o:p></span></font></p>

<p class=MsoAutoSig><st1:place><st1:City><font size=2 color=navy
  face="Lucida Fax"><span style='font-size:10.0pt;font-family:"Lucida Fax";
  color:navy;mso-no-proof:yes'>Moscow</span></font></st1:City><font size=2
 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:"Lucida Fax";
 color:navy;mso-no-proof:yes'>, </span></font><st1:State><font size=2
  color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:"Lucida Fax";
  color:navy;mso-no-proof:yes'>ID</span></font></st1:State><font size=2
 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:"Lucida Fax";
 color:navy;mso-no-proof:yes'><span style='mso-spacerun:yes'>&nbsp; </span></span></font><st1:PostalCode><font
  size=2 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:
  "Lucida Fax";color:navy;mso-no-proof:yes'>83843</span></font></st1:PostalCode></st1:place><font
size=2 color=navy face="Lucida Fax"><span style='font-size:10.0pt;font-family:
"Lucida Fax";color:navy;mso-no-proof:yes'><o:p></o:p></span></font></p>

<p class=MsoAutoSig><font size=2 color=navy face="Lucida Fax"><span
style='font-size:10.0pt;font-family:"Lucida Fax";color:navy;mso-no-proof:yes'>(208)
883-7015<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p>&nbsp;</o:p></span></font></p>

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