EX-99.1 33 d82352dex991.htm EX-99.1 EX-99.1

 

EXHIBIT 99.1

 

LOGO

BEFORE THE ARIZONA CORPORATION COMMISSION

COMMISSIONERS

 

BOB STUMP - Chairman

GARY PIERCE

BRENDA BURNS

BOB BURNS

SUSAN BITTER SMITH

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THE MATTER OF THE APPLICATION OF VALENCIA WATER COMPANY–TOWN DIVISION FOR THE ESTABLISHMENT OF JUST AND REASONABLE RATES AND CHARGES FOR UTILITY SERVICE DESIGNED TO REALIZE A REASONABLE RATE OF RETURN ON THE FAIR VALUE OF ITS PROPERTY THROUGHOUT THE STATE OF ARIZONA.

 

       

DOCKET NO. W-01212A-12-0309

      

DOCKET NO. SW-20445A-12-0310

IN THE MATTER OF THE APPLICATION OF GLOBAL WATER-PALO VERDE UTILITIES COMPANY FOR THE ESTABLISHMENT OF JUST AND REASONABLE RATES AND CHARGES FOR UTILITY SERVICE DESIGNED TO REALIZE A REASONABLE RATE OF RETURN ON THE FAIR VALUE OF ITS PROPERTY THROUGHOUT THE STATE OF ARIZONA.

 

       
      

DOCKET NO. W-03720A-12-0311

IN THE MATTER OF THE APPLICATION OF WATER UTILITY OF NORTHERN SCOTTSDALE FOR APPROVAL OF A RATE INCREASE.

 

       
      

DOCKET NO. W-02450A-12-0312

IN THE MATTER OF APPLICATION OF WATER UTILITY OF GREATER TONOPAH FOR THE ESTABLISHMENT OF JUST AND REASONABLE RATES AND CHARGES FOR UTILITY SERVICE DESIGNED TO REALIZE A REASONABLE RATE OF RETURN ON THE FAIR VALUE OF ITS PROPERTY THROUGHOUT THE STATE OF ARIZONA.

 

       
      

DOCKET NO. W-02451 A-12-0313

IN THE MATTER OF THE APPLICATION OF VALENCIA WATER COMPANY – GREATER BUCKEYE DIVISION FOR THE ESTABLISHMENT OF JUST AND REASONABLE RATES AND CHARGES FOR UTILITY SERVICE DESIGNED TO REALIZE A REASONABLE RATE OF RETURN ON THE FAIR VALUE OF ITS PROPERTY THROUGHOUT THE STATE OF ARIZONA.

 

 

       

 

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IN THE MATTER OF THE APPLICATION OF GLOBAL WATER – SANTA CRUZ WATER COMPANY FOR THE ESTABLISHMENT OF JUST AND REASONABLE RATES AND CHARGES FOR UTILITY SERVICE DESIGNED TO REALIZE A REASONABLE RATE OF RETURN ON THE FAIR VALUE OF ITS PROPERTY THROUGHOUT THE STATE OF ARIZONA.

 

       

DOCKET NO. W-20446A-12-0314

      

DOCKET NO. W-01732A-12-0315

IN THE MATTER OF THE APPLICATION OF WILLOW VALLEY WATER COMPANY FOR THE ESTABLISHMENT OF JUST AND REASONABLE RATES AND CHARGES FOR UTILITY SERVICE DESIGNED TO REALIZE A REASONABLE RATE OF RETURN ON THE FAIR VALUE OF ITS PROPERTY THROUGHOUT THE STATE OF ARIZONA.

 

       

 

DECISION NO.     74364        

 

OPINION AND ORDER

DATES OF HEARING:   

July 15, 2013 (Public Comment); September 4, 2013 (Pre-Hearing Conference); September 5, 6, 9, 12, and 19, 2013 (Evidentiary Hearing)

PLACE OF HEARING:   

Phoenix, Arizona

ADMINISTRATIVE LAW JUDGE:                                   

Dwight D. Nodes

APPEARANCES:   

Mr. Timothy Sabo and Mr. Michael W. Patten, ROSHKA, DeWULF & PATTEN, P.L.C., on behalf of Applicants and Global Intervenors;

  

Ms. Michelle Wood and Mr. Daniel W. Pozefsky on behalf of the Residential Utility Consumer Office;

  

Ms. Michele Van Quathem, RYLEY, CARLOCK & APPLEWHITE, on behalf of the Maricopa Area Homeowners Associations;

  

Mr. Robert J. Metli, MUNGER CHADWICK, on behalf of Sierra Negra Ranch, L.L.C.;

  

Mr. Lawrence V. Robertson, Jr., MUNGER CHADWICK, and Mr. Denis M. Fitzgibbons, Maricopa City Attorney, on behalf of the City of Maricopa, Arizona;

  

Mr. Jeffrey W. Crockett, BROWNSTEIN, HYATT, FARBER, SCHRECK, L.L.P. and Mr. Garry D. Hayes, LAW OFFICES OF GARRY D. HAYES, on behalf of New World Properties, Inc.;

  

Mr. William P. Sullivan, CURTIS, GOODWING, SULLIVAN, UDALL & SCHWAB, P.L.C., on behalf of Willow Valley Club Association; and

 

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Ms. Maureen A. Scott, Senior Staff Counsel, Mr. Wesley C. Van Cleve and Mr. Brian E. Smith, Staff Attorneys, Legal Division, on behalf of the Utilities Division of the Arizona Corporation Commission.

BY THE COMMISSION:

Procedural History

On July 9, 2012, Valencia Water Company – Town Division (“VWCT”), Global Water – Palo Verde Utilities Company (“Palo Verde”), Water Utility of Northern Scottsdale (“WUNS”), Water Utility of Greater Tonopah (“WUGT”), Valencia Water Company – Greater Buckeye Division (“VWCGB”), Global Water – Santa Cruz Water Company (“Santa Cruz”), and Willow Valley Water Company (“Willow Valley”) (collectively “Global Water,” “Company,” or “Applicants”) filed with the Arizona Corporation Commission (“Commission”) applications in the above-captioned cases for the establishment of just and reasonable rates and charges for utility service designed to realize a reasonable rate of return on the fair value of their property throughout the State of Arizona. The test year for the applications is the year ending December 31, 2011.

On July 12, 2012, a Motion to Consolidate was filed by Global Water in the above-captioned dockets. The Company stated that common issues of law and fact existed for each of the applications, common testimony had been filed in the dockets, and in the previous Global Water rate cases, all of the individual dockets were consolidated.

On July 17, 2012, New World Properties, Inc. (“NWP”) filed an Application for Leave to Intervene in the WUGT docket. NWP stated that it is the developer of a residential housing project located in an area in which WUGT holds a Certificate of Convenience and Necessity (“CC&N”).

On August 27, 2012, Global Water filed revised schedules in all seven dockets.

On September 26, 2012, WUGT filed a Response in Opposition to NWP’s intervention request.

On September 26, 2012, Global Water filed revised schedules in the WUNS, WUGT, and VWCGB dockets.

On September 26, 2012, the Commission’s Utilities Division (“Staff”) filed Letters of Sufficiency in the WUNS, WUGT, and VWCGB dockets, indicating that Global Water satisfied the requirements of Arizona Administrative Code (“A.A.C.”) R14-2-103 for those cases. Staff classified

 

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WUNS as a Class D utility, and WUGT and VWCGB as Class C utilities.

On September 26, 2012, Staff filed Letters of Deficiency for the VWCT, Palo Verde, Santa Cruz, and Willow Valley applications.

 

On October 1, 2012, WUGT filed a letter indicating that it had inadvertently filed confidential information with its Response in Opposition to NWP’s intervention request. WUGT provided a substitute attachment with the confidential information redacted from the document.

On October 1, 2012, the Residential Utility Consumer Office (“RUCO”) filed Applications to Intervene in the WUNS, WUGT, and VWCGB dockets.

On October 10, 2012, VWCT and Willow Valley filed revised schedules.

On October 11, 2012, NWP filed a Reply in Support of its Application for Leave to Intervene.

On October 15, 2012, Global Water filed Notices of Errata in the VWCT and Willow Valley dockets.

On October 19, 2012, Staff filed Letters of Sufficiency in the VWCT and Willow Valley dockets.

On October 24, 2012, Palo Verde filed revised schedules.

On October 26, 2012, Staff filed a Letter of Sufficiency in the Palo Verde docket.

On October 31, 2012, RUCO filed an Application to Intervene in the Palo Verde docket.

On November 2, 2012, Santa Cruz filed revised schedules.

On November 7, 2012, Staff filed a Letter of Sufficiency in the Santa Cruz docket.

On November 8, 2012, RUCO filed an Application to Intervene in the Santa Cruz docket.

On November 14, 2012, Staff filed a Request for Procedural Schedule and Response to Global Water’s Motion to Consolidate in each of the dockets. Staff stated that it supported the Company’s consolidation request, and proposed a procedural schedule. In addition to proposed dates for filing testimony, the parties agreed to commence settlement discussions on May 13, 2013, to conclude settlement discussions on May 21, 2013, and to file a settlement agreement, if any, by May 31, 2013.

On November 19, 2012, RUCO filed a Response to the Company’s Motion to Consolidate and Staff’s Proposed Procedural Schedule. RUCO stated that it did not oppose the request for

 

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consolidation and that, with a minor modification, it supported Staff’s proposed schedule.

By Procedural Order issued November 20, 2012, the above-captioned dockets were consolidated, a hearing was scheduled, the Company was directed to publish notice, and other procedural deadlines were established. The Procedural Order also granted intervention to RUCO and NWP.

On November 27, 2012, Global Water filed a Request to Amend Customer Notice Language in the Global Water – Palo Verde Utilities Company’s customer language notice. Global Water stated that the notice could be confusing to its customers because the phrase “56.3 percent” increase did not reflect current revenues, but rather revenues from the 2011 test year. The Company therefore requested that the public notice be modified.

On November 30, 2012, a Procedural Order was issued granting the Company’s request to amend the customer notice language.

On December 17, 2012, Global Water filed revised schedules in the VWCGB, WUGT, and VWCT dockets.

On December 18, 2012, Global Water filed a 2nd Request to Amend Customer Notice Language. The Company stated that the three West Valley notices did not include a description of the proposal to consolidate the West Valley utilities; and that since Global Water had prepared a rate case website, a reference to the website should also be included in the customer notice.

On December 19, 2012, Global Water filed revised and updated consolidated schedules in the VWCGB, WUGT, and VWCT dockets.

On December 21, 2012, the Company filed a complete set of revised and updated schedules for each of the above-captioned dockets.

By Procedural Order issued December 28, 2012, the Company’s 2nd Motion to Amend was granted and the requested notice modifications were approved.

On February 22, 2013, the City of Maricopa (“City” or “Maricopa”) filed an Application for Leave to Intervene.

On February 28, 2013, a group of Maricopa Area Homeowners Associations (“Maricopa

 

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HOAs”) 1 filed a Motion for Leave to Intervene.

On February 28, 2013, Steven P. Tardiff filed a Motion to Intervene.

On March 1, 2013, the Willow Valley Club Association (“WVCA”) filed a Motion to Intervene.

On March 1, 2013, Dana L. Jennings filed a Motion to Intervene.

By Procedural Order issued March 12, 2013, intervention was granted to the City, the Maricopa HOAs, Steven P. Tardiff, WVCA, and Dana J. Jennings.

On March 18, 2013, Andy and Marilyn Mausser filed a Motion to Intervene.

On March 20, 2013, the Mayor and Council of the City of Maricopa filed a Request to Hold a Public Comment in Maricopa.

On April 9, 2013, the Commission voted at a Staff Open Meeting to schedule a local public comment session on the application to be held on May 30, 2013, in Maricopa, Arizona.

On April 16, 2013, a Procedural Order was issued scheduling a public comment session on May 30, 2013, in Maricopa, and directing Global Water to publish notice of the public comment session. The Procedural Order also granted intervention to Andy and Marilyn Mausser.

On April 19, 2013, Staff filed a Request for Modification of the Procedural Schedule. Staff requested a 60-day extension of time to file its direct testimony due to “the complexity of the issues raised in this case,” and requested that the remainder of the procedural schedule be extended by 60 days as well. Staff represented that the Company agreed to the extension request and that RUCO, NWP, the City, and the Maricopa HOAs did not oppose the requested extension.

On April 26, 2013, Sierra Negra Ranch (“SNR”) filed an Application for Leave to Intervene in the above-captioned matter. SNR stated that it is a residential property developer that has properties located in Global Water’s CC&N area.

 

 

1 The represented HOAs are: Acacia Crossings Homeowners Association (“Acacia”), Alterra Homeowners Association (“Alterra”), Cobblestone Farms Homeowners Association (“Cobblestone”), Desert Cedars Homeowners Association (“Desert Cedars”), Desert Passage Community Association (“Desert Passage”), Glennwilde Homeowners’ Association (“Glennwilde”), Homestead North Homeowners’ Association (“Homestead North”), Maricopa Meadows Homeowners Association (“Maricopa Meadows”), Province Community Association (“Province”), Rancho El Dorado Homeowners Association (“Rancho El Dorado”), Rancho El Dorado Phase III Homeowners Association (“Rancho El Dorado III”), Rancho Mirage Master Planned Community Homeowners Association (“Rancho Mirage”), Senita Community Association (“Senita”), and Sorrento Community Master Association (“Sorrento”).

 

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By Procedural Order issued April 30, 2013, the hearing was rescheduled to commence on September 5, 2013, other procedural dates were amended in accordance with Staff’s proposal, and the applicable time clock was extended accordingly.

On May 30, 2013, the Commission conducted a public comment session in Maricopa, as scheduled.

By Procedural Order issued June 13, 2013, SNR was granted intervention.

On July 12, 2013, Staff filed a second Request for Modification to the Procedural Schedule. Staff requested that the filing date for Staff and Intervenor rate design testimony be changed from July 15, 2013 to July 26, 2013; and that the Company be permitted to file rate design rebuttal testimony on August 19, 2013.

On July 12, 2013, Global Water Resources, Inc., Hassayampa Utilities Company (“Hassayampa”), Picacho Cove Water Company, and Picacho Cove Utilities Company (Jointly “Global Intervenors”) filed a Motion to Intervene in response to Staff’s direct testimony which recommended that those entities be added as parties to these consolidated dockets.

On July 15, 2013, the hearing previously scheduled and noticed for that date was convened for the purpose of taking public comment only.

By Procedural Order issued July 18, 2013, Staff’s Request for Modification to the Procedural Schedule was granted, and the Global Intervenors were granted intervention.

On July 25, 2013, Staff filed a third Request to Modify Procedural Schedule to allow additional time for settlement discussions. Staff stated that the parties were in the process of negotiating a settlement agreement and that if the parties reached a settlement, they planned to file it on August 12, 2013, as specified by the April 30, 2013 Procedural Order. Staff therefore requested that the July 26, 2013, filing date be suspended.

By Procedural Order issued July 26, 2013, Staffs Request for Modification to the Procedural Schedule was granted.

On August 13, 2013, a Proposed Settlement Agreement (“Settlement Agreement,” “Settlement,” or “Agreement”) was filed in this matter, signed by the Global Water Companies (i.e., Palo Verde, Santa Cruz, VWCT, WUNS, WUGT, VWCGB, and Willow Valley), the Global

 

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Intervenors, Staff, RUCO, and Maricopa HOAs Province, Rancho El Dorado III, and Cobblestone.

On August 16, 2013, Staff filed a Notice of Errata making corrections to the H-3 Schedules attached to the Settlement Agreement.

On August 20, 2013, Global Water filed a Motion to Establish Schedule for SIB [System Improvement Benefit mechanism] Testimony. In its Motion, the Company requested that testimony regarding the SIB mechanism be scheduled to be filed by Global Water on August 21, 2013; by Staff on August 28, 2013; and that responsive testimony be filed by Global Water or other intervenors by September 3, 2013. The Company stated that Staff, RUCO, and WVCA were in agreement with the proposed schedule, and although RUCO did not object to establishment of a procedural process for submitting testimony, “RUCO does not waive its right to object to the timeliness of the application for the SIB and what they believe is a late-filed request.” (Global Motion, at 1-2.)

On August 21, 2013, Staff filed Attachment E to the Settlement Agreement.

On August 21, 2013, additional signatures to the Settlement were filed by the City of Maricopa, and Maricopa HOAs Alterra, Desert Cedars, Homestead North, Maricopa Meadows, Rancho El Dorado, Senita, and Sorrento.

On August 21, 2013, testimony in support of the Settlement Agreement was filed by: the Company (Ron Fleming, Paul Walker, and Matthew Rowell); Staff (Steve Olea); RUCO (Patrick Quinn); Maricopa (Paul Jepsen); and the Maricopa HOAs (Pam Hilliard).

On August 21, 2013, testimony in opposition to the Settlement Agreement was filed by: NWP (Richard Jellies); and SNP (John O’Reilly).

On August 27, 2013, a Procedural Order was issued establishing a procedural schedule for the proposed SIB mechanism, with Staff testimony due by September 6, 2013; Global Water and Intervenor responsive testimony due by September 13, 2013; and a hearing on the SIB proposal on September 19, 2013.

On September 3, 2013, Global Water filed a Notice of Filing Revised Willow Valley Water Co. SIB Engineering Report.

Hearings were conducted regarding the Settlement Agreement on September 5, 6, 9, and 12, 2013.

 

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On September 6, 2013, Staff filed the supplemental testimony of Jian Liu regarding the SIB mechanism.

On September 13, 2013, RUCO filed the responsive testimony of Robert Mease regarding the SIB proposal.

On September 13, 2013, the WVCA filed a letter signed by its president, Gary McDonald, expressing opposition to the Company’s SIB mechanism proposal. The letter indicated that the WVCA, which was granted intervention in this proceeding, did not have funding to participate in the hearing;2 however, the letter contained detailed criticism of the SIB proposal and included several recommendations for the Commission’s consideration. Mr. McDonald requested that “the letter be entered into evidence...” at the September 19, 2013, SIB hearing.

By Procedural Order issued September 16, 2013, Mr. McDonald was directed to appear at the September 19, 2013, hearing if he wished his comments to be considered part of the evidentiary record.

On September 18, 2013, Mr. McDonald filed a letter requesting that he be permitted to appear telephonically to undergo cross-examination regarding his comments.

On September 19, 2013, a hearing regarding the proposed SIB was conducted.3

On October 1, 2013, RUCO filed a Notice of Reassignment of counsel.

On October 4, 2013, Staff filed a Notice of Filing Rate Schedules Including Systems Benefits Charge.

On October 18, 2013, Initial Post-Hearing Briefs were filed by Global Water and Global Intervenors; NWP; SNP; City of Maricopa; the Maricopa HOAs; RUCO; and Staff.

On October 31, 2013, Reply Post-Hearing Briefs were filed by Global Water and Global Intervenors; NWP; SNP; City of Maricopa; RUCO; and Staff.

Application

As described in Global Water’s last rate case, in Decision No. 71878, the Global Water

 

2 At the September 4, 2013, prehearing conference, counsel for the WVCA entered an appearance but indicated that the WVCA would not be participating in the hearings.

3 Mr. McDonald’s request was granted and he was permitted to testify telephonically at the September 19, 2013, SIB hearing.

 

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utilities are organized as Arizona C corporations, and were all previously owned by Global Water Resources, LLC, (“GWR”) a Delaware limited liability company, through its direct subsidiary Global Water, Inc., a Delaware C corporation. (Decision No. 71878 (September 15, 2010), at 4.)

Subsequent to the last rate case, Global Water Resources, LLC, its utility company subsidiaries, and Global Water Management, LLC, were reorganized as Global Water Resources, Inc. (“GWRI” or “Global Parent”), a Delaware C corporation. (SNR Ex. 4, at 5.) 48.1% of the shares of GWRI are held by GWR Global Water Resources Corp. (“GWRC”), a Canadian corporation incorporated under the Business Corporations Act (British Columbia). (Id.)

The consolidated rate applications include Palo Verde, which is a wastewater utility, and five water utilities: Valencia Water Company (which has two divisions, VWCT and VWCGB); Santa Cruz; Willow Valley; WUNS; and WUGT.

Santa Cruz and Palo Verde operate in the Maricopa area and serve approximately 17,145 water customers and 15,831 wastewater customers, respectively. VWCT provides water service to approximately 5,751 metered connections in a service area located approximately 40 miles west of downtown Phoenix, in Maricopa County. VWCGB provides water service to approximately 626 customers in an area approximately 40 miles west of downtown Phoenix, in Maricopa County. WUNS provides water service to approximately 78 connections in a service area approximately 40 miles northeast of downtown Phoenix, in Maricopa County. WUGT provides water service to approximately 324 customers in a service area located approximately 60 miles west of downtown Phoenix, in Maricopa County. Willow Valley provides water service to approximately 1500 customers within Mohave County.

Summary of Original Revenue Recommendations

By utility/division, the Applicants’ original proposed revenue requirements were as follows:

Palo Verde

Prior to settlement, Palo Verde proposed a revenue requirement of $16,769,746, an increase of $3,662,218, or 27.9 percent, over its adjusted test year revenues of $13,107,528. Applicants’ recommendation would have resulted in an approximate $15.72 increase for the average 5/8-inch x  3⁄4-inch water meter residential customers, from $62.91 per month to $78.63 per month, or

 

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approximately 25 percent. (Updated Schedules filed December 21, 2012.)

Valencia-Greater Buckeye

Prior to settlement, VWCGB proposed a revenue requirement of $497,654, an increase of $35,611, or 7.7 percent, over its adjusted test year revenues of $462,043. Applicants’ recommendation would have resulted in an approximate $3.78 increase for the average usage (approximately 9,000 gallons per month) 5/8-inch x  3⁄4-inch meter residential customer, from $54.27 per month to $58.05 per month, or approximately 6.97 percent. (Id.)

Willow Valley

Prior to settlement, Willow Valley proposed a revenue requirement of $1,209,660, an increase of $507,008, or 72.2 percent, over its adjusted test year revenues of $702,652. Applicants’ recommendation would have resulted in an approximate $20.01 increase for the average usage (approximately 4,000 gallons per month) 5/8-inch x  3⁄4-inch meter residential customer, from $26.87 per month to $46.88 per month, or approximately 74.47 percent. (Id.)

Santa Cruz

Prior to settlement, Santa Cruz proposed a revenue requirement of $13,192,940, an increase of $2,729,480, or 26.1 percent, over its adjusted test year revenues of $10,463,460. Applicants’ recommendation would have resulted in an approximate $7.87 increase for the average usage (approximately 6,000 gallons per month) 5/8-inch x  3⁄4-inch meter residential customer, from $32.13 per month to $40.00 per month, or approximately 24.49 percent. (Id.)

Water Utility of Northern Scottsdale

Prior to settlement, WUNS proposed a revenue requirement of $148,244, an increase of $731, or 0.5 percent, over its adjusted test year revenues of $147,513. Applicants’ recommendation would have resulted in an approximate $3.50 increase for the average usage (approximately 15,000 gallons per month) l-inch meter residential customer, from $148.00 per month to $151.50 per month, or approximately 2.36 percent. (Id.)

WUGT

Prior to settlement, WUGT proposed a revenue requirement of $886,054, an increase of $678,348, or 326.6 percent, over its adjusted test year revenues of $207,706. Applicants’

 

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recommendation would have resulted in an approximate $127.64 increase for the average 5/8-inch x  3⁄4-inch water meter residential customers (approximately 8,000 gallons per month), from $40.36 per month to $168.00 per month, or approximately 316 percent. (Id.)

Valencia-Town

Prior to settlement, VWCT proposed a revenue requirement of $5,765,465, an increase of $825,150, or 16.7 percent, over its adjusted test year revenues of $4,940,315. Applicants’ recommendation would have resulted in an approximate $10.15 increase for the average 5/8-inch x  3⁄4-inch water meter residential customers (approximately 8,000 gallons per month), from $48.45 per month to $58.60 per month, or approximately 20.95 percent. (Id.)

Infrastructure Coordination and Financing Agreements (“ICFAs”)

Prior to discussing the Settlement Agreement, and in order to provide background regarding the primary issue in dispute regarding the Settlement Agreement, a brief description of ICFAs follows.

As described in Decision No. 71878 (September 15, 2010), Global Parent had, at that time, entered into 157 ICFAs with developers in the service areas of Global Utilities. (Decision No. 71878, at 12.) Under the ICFAs, Global Parent collected funds from developers in exchange for Global Parent’s agreement to provide utility service to the developments through its subsidiaries, the Global Utilities companies. Applicants’ witness in the prior case, Trevor Hill, President and CEO of Global Parent, described the ICFAs as follows:

An ICFA (Infrastructure Coordination and Financing Agreement) is a voluntary contract between Global Parent and a landowner. These contracts provide for Global Parent to coordinate the planning, financing and construction of off-site water, wastewater and recycled water plant. The Global Utilities will own and operate this plant when construction is complete. Under the ICFAs, Global Parent is responsible for funding both the planning and construction of water, wastewater and recycled water plant. This is a significant investment for Global Parent. The landowners who enter into the ICFAs agree to cooperate with Global Parent’s plant planning and construction process. ICFAs formalize the cooperation between the landowner and Global, but also provide fees which allow Global Parent to impress conservation and consolidation into the regional planning initiatives. These fees are intended to recover a portion of the carrying costs for the very expensive facilities required to implement effective water conservation and, in some cases, to fund Global Parent’s acquisition of existing utilities.

 

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(Id.) After considering all of the evidence and arguments presented in Global Water’s prior case, the Commission agreed with Staff, RUCO, and Maricopa, that the ICFA funds received by Global parent should be imputed to the utilities as Contributions in Aid of Construction (“CIAC”) because “[a]llowing developer contributed funds to remain in rate base would require captive ratepayers to pay Applicants a return on developer-provided ICFA funds, which would violate fundamental ratemaking principles and would unjustly and unreasonably enrich Applicants at ratepayers expense.” (Id. at 30.) The Commission also directed the commencement of a generic investigation and workshops to consider the use of ICFAs, or other mechanisms, for encouraging acquisition of troubled water companies and other Commission objectives, such as promoting regional water and wastewater infrastructure. (Id. at 30-31.)

Settlement Agreement

The signatory parties (Palo Verde, Santa Cruz, VWCT, WUNS, WUGT, VWCGB, Willow Valley, the Global Intervenors, Staff, RUCO, City of Maricopa, and Maricopa HOAs) entered into a Settlement Agreement, a copy of which is attached hereto as “Attachment A.”4

Global Water filed a Notice of Settlement Discussions on July 11, 2013, and a Revised Notice of Settlement Discussions on July 15, 2013. All parties to this docket were notified of the settlement discussions. Settlement discussions began on July 18, 2013, and continued on July 19, 2013. According to the Settlement Agreement, the settlement discussions were open, transparent, and inclusive of all parties to this docket who desired to participate. Participants in the settlement discussions included Global Water, the Global Intervenors (i.e., Global Parent, Hassayampa, Picacho Water, and Picacho Utilities), Staff, RUCO, Maricopa, the Maricopa HOAs, NWP, SNR, and WVCA.

On August 13, 2013, a Proposed Settlement Agreement was filed in this matter, signed by Global Water, the Global Intervenors, Staff, RUCO, and HOAs Province, Rancho El Dorado III, and Cobblestone. On August 21, 2013, additional signatures to the Settlement Agreement were filed by

 

4 Attachment A hereto includes the Settlement Agreement and exhibits filed on August 13, 2013, and incorporates the following: revised H-3 Schedules for each of the Global Water utilities, filed on August 16, 2013; additional signature pages to the Agreement filed on August 21, 2013 and September 4, 2013; Attachment E to the Settlement filed on August 21, 2013; and a revised Schedule A-1 for WUGT filed on September 3, 2013. The schedule of estimated SIB surcharges that would be applied to Willow Valley customers only, between 2015-2019, is attached hereto as “Attachment B”.

 

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Maricopa, Alterra, Desert Cedars, Homestead North, Maricopa Meadows, Rancho El Dorado, Senita, and Sorrento.

On August 21, 2013, testimony in support of the Settlement Agreement was filed by: Global Water (Ron Fleming, Paul Walker, and Matthew Rowell); Staff (Steve Olea); RUCO (Patrick Quinn); Maricopa (Paul Jepsen); and the Maricopa HOAs (Pam Hilliard). On August 21, 2013, testimony in opposition to the Settlement Agreement was filed by: NWP (Richard Jellies); and SNP (John O’Reilly).

Terms and Conditions of the Settlement Agreement

The major Sections of the Settlement Agreement are as follows:5

 

  I.

Recitals – This Section identifies the benefits of the Settlement Agreement as:

 

  •  

A phase-in of rates with no rate increase in year one of the phase-in for any of the Global Water utilities;

 

  •  

A rate phase-in for Santa Cruz and Palo Verde over a period of eight years;

 

  •  

A rate phase-in for VWCT, VWCGB, Willow Valley, and WUGT over a period of three years;

 

  •  

A phase-in of the rate increases attributable to recovery of expenses in years two and three of the phase-in;

 

  •  

No change in the revenue requirement for WUNS;

 

  •  

VWCT, VWCGB, Willow Valley, WUGT, and WUNS agree to a rate stay-out until May 31, 2016; and Santa Cruz and Palo Verde agree to a rate stay-out until May 31, 2017;

 

  •  

Continuing bill assistance for low income customers in existing Global Water utilities with such programs, and expansion of the low income bill assistance program into WUNS;

 

  •  

The rate design will continue to allow customers an opportunity to reduce their bill by providing a rebate when customers use less than the Conservation Rebate Threshold (“CRT”);6 and

 

  •  

Resolution of issues regarding Infrastructure Coordination and Financing Agreements.

This Section also requests that the Commission find the Settlement Agreement’s terms and conditions are just and reasonable and in the public interest and approve the Settlement Agreement and order

 

 

5 This is a summary of some, but not all provisions contained in the Settlement Agreement.

6 To the extent that the CRT could be considered a prohibited rebate or refund, pursuant to A.R.S § 40-374, we will waive the application of that statute as it applies to the terms of the Settlement.

 

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that it and its rates become effective on January 1, 2014.

II. Revenue Requirement and Rate Increase Provisions – This Section provides that VWCT, VWCGB, Willow Valley, WUGT, and WUNS will not file a rate application before May 31, 2016, using a test year that may not end before December 31, 2015; Santa Cruz and Palo Verde will not file a rate application before May 31, 2017, using a test year that may not end before December 31, 2016; the revenue requirements and rate increases for all years of the phase-in for each of the Global Water utilities are shown in Attachment A; there will be no change in the revenue requirement for WUNS; the original cost rate base of each Global Water utility will be used as the fair value rate base for purposes of setting rates; and the rate bases set forth on Attachment A exclude Post Test Year Plant as recommended by Staff, except for the (1) Palo Verde Lagoon Clean Closure and Conversion Project, (2) VWCT Bales Fill Line, and (3) VWCT Buena Vista Fill Line. This Section also adopts the expense levels proposed by Staff, except the modified depreciation expense discussed in Section V of the Settlement Agreement.

III. Bill Impact and Rate Design – This Section provides that the rate increase for Santa Cruz and Palo Verde will be phased-in over eight years; the rate increase for the remaining Global Water utilities, except WUNS, will be phased-in over three years; WUNS revenue requirements will remain unchanged, but the rates will be redesigned and be implemented with no phase-in; there will be no rate increase in the first year for all Global Water utilities; Global Water waives the right to recover the revenues forgone or lost and carrying costs under the phase-ins; and Global Water agrees to withdraw its consolidation proposal for the three West Valley Systems. This Section also provides that the recycled and nonpotable water rate for Santa Cruz and Palo Verde will be $1.6380 per 1,000 gallons, to be phased-in over eight years as shown on Attachment A; and for all other Global Water utilities with no existing recycled or nonpotable customers, the rate will be $1.6380 per 1,000 gallons with no phase-in. In addition, this Section adopts a rate design that includes six tiers and a CRT that will not take effect until January 1, 2015; this rate design follows the rate design approved in Decision No. 71878.

IV. Cost of Capital – This Section adopts a capital structure of 57.80 percent long term debt and 42.20 percent common equity; adopts a return on common equity of 9.5 percent and an

 

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embedded cost of debt of 6.1 percent; and adopts a fair value rate of return of 7.5 percent.

V. Depreciation/Amortization – This Section adopts the depreciation and amortization rates proposed by Staff until further order of the Commission, except that a 10-year life will be used for Account Nos. 348 and 398. This Section also adopts the reclassifications of assets proposed by Staff.

VI. Treatment of Infrastructure Coordination and Finance Agreements – With respect to future ICFAs, this Section provides that Global Parent will not enter into any new ICFAs or any other ICFA type agreements, except that Global Parent may amend existing ICFAs as long as the amendments do not increase the dollar amount of the ICFA funds to be paid to Global Parent or any of its affiliates; Global Water, Hassayampa, Picacho Water, and Picacho Utilities will establish hook-up fees as set forth in Section VII of the Settlement Agreement; Global Water, Hassayampa, Picacho Water, and Picacho Utilities will continue to use main extension agreements in accordance with Commission rules and any associated funds or infrastructure used to provide water or wastewater service will be segregated to or owned by Global Water, Hassayampa, Picacho Water, or Picacho Utilities.

With respect to past funds received under existing ICFAs, this Section provides that the total amounts imputed as CIAC against the active rate base of Santa Cruz and Palo Verde in Decision No. 71878 will be reversed and restored to rate base, with the revenue requirement impact phased-in over an eight year period; the $32,391,318 attributed to the Southwest Plant Held For Future Use (“PHFFU”) of Santa Cruz and Palo Verde in Decision No. 71878 will no longer be reflected as CIAC, but will continue to be treated as PHFFU until it is placed into service; the Southwest Plant will not be included in rate base until it is found used and useful by the Commission in a future rate case; the total amounts imputed as CIAC against the active rate base of WUGT in Decision No. 71878 will be reversed and restored to rate base, the effect of which will have no revenue impact because Tonopah’s rates will be set on an operating margin basis in this case; the ICFA funds allocated to Hassayampa in Decision No. 71878 and accounted for as “CIAC Reserve” will be reversed, the effect of which will not impact rates because Hassayampa has no customers and no rate base; the $8,897,600 in ICFA funds received since December 31, 2008 (the test year of the last Global Water rate case) through December 31, 2012, will not be imputed or treated as CIAC.

 

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With respect to future ICFA fees received under existing ICFAs, this Section provides that for ICFA fees received after December 31, 2013, a portion of the funds received by Global Parent will be paid to the associated utility as a hook-up fee (“HUF”) in accordance with Section VII of the Settlement Agreement, and the remaining portion of the funds will be available to Global Parent to be used only in accordance with the terms of the applicable ICFA; Global Parent will accept separate checks for the ICFA fees, with one check payable to the applicable water or wastewater utility in the amount of the HUF, and another check payable to Global Parent for the remainder of the ICFA fee; Global Parent is prohibited from using HUF monies for any purpose; Global Water, Hassayampa, Picacho Water, and Picacho Utilities will use the HUF monies solely for the purposes set forth in the Commission approved HUF tariffs; 70 percent of each ICFA fee payment received by Global Parent must go toward payment of the HUF and the remaining payment will be allocated to Global Parent; and Global Parent is responsible for ensuring that the entire HUF is paid no later than the time the ICFA payment is received for (1) final plat, (2) the start work date, or (3) the date required by the HUF tariffs, whichever is earliest.

This Section further provides that Staff and RUCO reserve the right to monitor the compliance of Global Water and Global Intervenors with this Settlement Agreement and review all ICFA related transactions in future rate applications, and take appropriate steps, if necessary, to ensure that compliance.

VII. Hook-Up Fees – This Section establishes hook-up fees in the following amounts:

 

  •  

Santa Cruz: $1,250

 

  •  

Palo Verde: $1,250

 

  •  

Picacho Water: $1,250

 

  •  

Picacho Utilities: $1,250

 

  •  

VWCT: $1,750

 

  •  

VWCGB: $1,750

 

  •  

WUGT: $1,750

 

  •  

Willow Valley: $1,750

 

  •  

WUNS: $1,750

 

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  •  

Hassayampa: $1,750

This Section provides that Global Water will maintain a separate, segregated bank account for all funds received under the hook-up fee tariff and file annual reports as outlined in the tariffs.

VIII. Tariffs and Code of Conduct – This Section provides that Global Water’s existing low income tariffs will remain in effect, and will apply to WUNS upon the effective date of the Commission’s order in this case; the Central Arizona Groundwater Replenishment District (“CAGRD”) adjustor mechanism be approved subject to the same requirements of the adjustor mechanism approved in Decision No. 71854; Global Water will retain its existing Best Management Practices (“BMP”) tariffs and WUNS agrees to file a BMP tariff as recommended by Staff; the Signatories agree to Global Water’s Terms and Conditions tariff, as modified by Staff, as shown in Attachment E; Global Water agrees to withdraw its request for an Individual Case Basis (“ICB”) tariff; and Global Water will work with Staff to adopt a Code of Conduct to apply to transactions that are between or involve the Applicants and their unregulated affiliates and to assure confidential treatment of customer information.

IX. Water Loss – This Section provides that Global Water agrees to file the water loss reports recommended by Staff.

X. Commission Evaluation of Proposed Settlement – This Section provides that if the Commission fails to issue an order adopting all material terms of the Settlement Agreement, any or all of the signatories may withdraw from the agreement and pursue without prejudice their respective remedies at law; for purposes of the Settlement Agreement, whether a term is material is in the discretion of the signatory choosing to withdraw from the Settlement Agreement, and if a signatory withdraws from the Settlement Agreement and files an application for rehearing, the other signatories except for Staff, shall support the application for rehearing.

XI. Miscellaneous Provisions – This Section provides that the signatories shall support and defend the Settlement Agreement and shall make reasonable and good faith efforts to obtain a Commission order approving the Settlement Agreement; and to the extent that any provision of the Settlement Agreement is inconsistent with any existing Commission order, rule, or regulation, the Settlement Agreement shall control and that each term is in consideration of all other terms and the

 

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terms are not severable.

Arguments of Settlement Agreement Proponents

Global Water

Global Water asserts the Settlement Agreement should be approved as it is widely supported and resolves complex issues involving ICFAs. (Tr. 191.) The Company argues the Settlement Agreement aids individual parties and consumers alike, and includes benefits that could not be reached through litigation. (Ex. S-5 at 14; Tr. 482-484.) Global Water claims the benefits passed on to customers through the approval of the Settlement Agreement would include the lengthy phase-in of rate increases, a stay-out period for requesting new rate increases, a reduced revenue requirement based on normalized expenses from 2009-2011, and improvement of the Company’s financial condition.

Per the Settlement Agreement, the Company’s rates in the Maricopa area are to be phased in over an eight-year period in order to reduce the rate increase used to repair Global Parent’s balance sheet through the de-imputation of ICFA fees. (Ex. A-17 at § 3.4; Ex. A-24; Tr. 692.) The Settlement provides that the non-Maricopa systems will have rate increases phased in over a three-year period. (Ex. A-17 at §§ 3.4 and 3.6; see also Ex. A-24.) Global Water states there will be no rate increase during the first year of the phase-in for any of the systems, and none of the revenue lost as a result of the phase-ins will be recovered by the Company. (Ex. A-17 at § 3.4.) The Company adds that the Settlement Agreement also requires that Global Water to refrain from filing new rate applications until May 31, 2016 for areas outside of Maricopa, and until May 31, 2017 for the Maricopa area utilities. (Id. at § 2.1.1.)

Global Water contends that the reduced revenue requirement advanced in the Settlement Agreement is due to the use of Staff’s expense levels, which are based on the Company’s expenses from the period of 2009-2010, which it claims is a major concession and a benefit to customers. (Tr. 21, 34, 38, 483, 691; Ex. R-5 at 5; City Ex. 2, App. A; Ex. A-24.) Global Water points out that the Settlement Agreement proposes to reduce the Company’s cost of equity from the requested 11.44 percent to 9.5 percent, which provides a revenue increase of less than 15 percent for the largest of the

 

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Company’s individual utilities (Santa Cruz and Palo Verde). (Ex. A-14 at 52-53; Ex. A-17 at § 4.2; Ex. A-26 at 6.)

According to the Company, there is no dispute that the Settlement Agreement will improve the Global Parent’s financial condition by repairing its balance sheet and reversing an “imputation” of CIAC by the Commission in the Company’s last rate case. (Ex. A-17 at § 6.3.) Global Water asserts that improving the balance sheet of GWRI is also a benefit to consumers and the Commission, because restoring the financial condition of Global Parent will provide easier access to debt and equity which, in turn, will allow the Global utilities to continue providing quality service to customers. (Ex. A-19 at 4-5.) Global Water contends that the Settlement Agreement will limit the rate impact on ratepayers because most of the CIAC de-imputation is for plant that is not yet in rate base, and due to the lengthy phase-in of rates. (Ex. A-30 at 5; Ex. A-17 at §§ 6.3.2.3 (Santa Cruz and Palo Verde active rate base), 6.3.3.3 (Santa Cruz and Palo Verde Plant Held for Future Use); and 6.3.4.4 (WUGT).) Global Water cites other benefits of the Settlement including: the continuation of its low income program; and customers’ ability to earn rebates on their water bills through the CRT. (Tr. 690; Ex. A-17 at § 1.5.)

Global Water asserts that its commitment to refrain from entering into any new ICFAs, and to adhere to Staffs requested Code of Conduct, are additional benefits of the Settlement. (Tr. 191, 199, 693, 698.) Global Water adds that ICFA holders will benefit from the Settlement by insuring that the contracts they entered into are honored, Global Parent’s improved financial condition will increase confidence that it will comply with its contractual obligations. (Tr. 710-711, 726.) Global Water states that the Settlement dictates portions of payments under the ICFAs will be segregated in bank accounts, and a substantial sum will be used to pay HUFs. (Ex. A-17 at §§ 6.4.1 and 7.3.)

Global Water argues that SNR’s and NWP’s main objection to the Settlement derives from their desire to modify the contracts that they entered into with Global Parent to provide water and wastewater utility services. The Company maintains that the ICFAs between the parties were of considerable benefit to SNR and NWP because the ICFAs solved their problem of finding a regional water and wastewater solution. (See Ex. A-37.) Global Water contends that SNR’s and NWP’s request for changes to the ICFAs should be rejected given that the developers are sophisticated

 

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businesspeople, expertly represented in the negotiation of the ICFA contracts, and, as such, SNR and NWP should be bound by the terms of the ICFAs. The Company claims that Global Parent has performed in compliance with the ICFA contracts, and any request for modification of the ICFA is not properly before the Commission. (citing General Cable Corp v. Citizens Utilities Co., 27 Ariz. App. 381, 555 P.2d 350 (1976); Application of Trico Elec. Co-op., 92 Ariz. 373, 377 P.2d 309 (1962).) Global Water also states that the developer parties were under no obligation to enter into these agreements with Global Parent, as they had options for obtaining water service from other providers or by forming their own utilities. (Ex. A-20 at 2-4.)

Global Water refutes SNR’s and NWP’s claims that the ICFAs place them at a competitive disadvantage, arguing that the groundwater in the area has already been spoken for by SNR and NWP (and other ICFA holders), and that any developer in the area would find it difficult and/or expensive to obtain water, thereby providing SNR and NWP with a substantial competitive advantage over non-ICFA developers. (Ex. A-35 at 41; Tr. 644.) Global Water also opposes SNR’s and NWP’s request to have the CPI factor removed from their ICFAs, stating the provision is standard in all ICFAs to account for inflation because of the contracts’ indefinite length, which is due to the developers’ uncertain construction timeframes. (Ex. A-20 at 4-5; Tr. 255-257, 640-650, 669-670.) The Company states that removing the CPI factor would constitute a material change to the contract, raising policy and legal issues. (Tr. 670.)

Global Water opposes the developers’ request for any supplemental regulation given the existing affiliate interest rules and newly agreed to Code of Conduct standards. (Tr. 252.) The Company states that the Settlement Agreement provides for sufficient safeguards relating to the use of ICFA funds, by requiring a portion of the funds to be used for HUFs and placed in separate accounts, subject to detailed reporting. Finally, Global Water argues that the rates proposed for the Water Utility of Greater Tonopah are appropriate, despite NWP’s objection, as they are based on an operating margin which significantly reduced the revenue requirement, and which will also be phased-in over three years. (Ex. A-27 at 2.)

. . .

. . .

 

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Staff

Staff supports approval of the Settlement Agreement given the multitude of benefits: gradual phase-in of rate increases with no increase during the first year; the agreement by Global Water to a rate stay-out until May 31, 2016 for non-Maricopa areas, and until May 31, 2017 for Santa Cruz and Palo Verde; continuation and expansion of low income bill assistance programs; a rate design that allows for customers to earn a rebate for low water consumption; and the resolution of issues related to ICFAs. (Ex. A-17.) Staff asserts that the Agreement requires Global Water to adopt a Code of Conduct which will apply to transactions between the Company and its affiliates, allowing for more transparent operations. (Ex. A-17 at 16.) Staff does not oppose NWP’s request to require Global Water to file an annual affidavit declaring compliance with the Settlement Agreement. (Staff Reply Brief at 12.)

According to Staff, SNR’s and NWP’s main opposition to the Agreement pertains to issues arising under the ICFAs they freely entered into with Global Parent. Staff cites to General Cable, supra, for the premise that modification of an agreement voluntarily entered into by two private parties falls outside the Commission’s purview. (27 Ariz. App. 381, 555 P.2d 350 (1976).) Staff argues that several sections within the Settlement Agreement address both developers’ concerns with regard to the stability of Global Parent in performing under its contracts, and how the funds from the ICFAs will be paid. (Ex. A-17 at 7, 9.) Staff also states that it is amenable to including specific language in the Agreement allowing developers to pay HUF fees directly to the utility. (Staff Reply Brief at 11.)

Maricopa

Maricopa supports the Settlement Agreement given the Company’s compromise to a substantial reduction in revenue requirements which, in turn, would provide for “just and reasonable” rates. (City’s Initial Brief at 2-3.) The City also cites to: Global Water’s concession to an extended phase-in of rate increases; no rate increases imposed in 2014; waiver of recovery of lost revenues under the rate phase-in; agreement to rate increase stay-out provisions; and the “capping” of the increase in the rate for effluent and recycled water; as reasons for approving the agreement. (Id. at 3-7.)

 

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Maricopa states the Settlement Agreement seeks to improve the Global companies’ financial conditions by de-imputing the CIAC treatment of ICFA fees previously ordered by the Commission, which is designed to provide the Global companies with adequate funds to construct facilities so they can continue to provide reliable and safe water and wastewater service through the receipt of HUF funds. According to the City, improving the stability of the Company that provides Maricopa with safe water and wastewater service is in Maricopa’s best interests.

Maricopa argues that NWP’s request for WUGT to have an eight-year phase-in of increased rates is misplaced because the only two utilities that were intended to receive that advantage are the Maricopa area utilities (Santa Cruz and Palo Verde), whose rates are impacted in this case due to the de-imputation of the CIAC. Maricopa also contends that SNR’s request for the Commission to assert jurisdiction over Global Parent to ensure compliance with the Agreement is unnecessary, as it is in Global entities’ best interest to adhere to the Settlement’s terms, given the Commission’s ongoing regulation of Global Water’s day-to-day operations.

Maricopa HOAs

The Maricopa HOAs argue that the Commission should adopt the Settlement Agreement because the Agreement serves the public interest by: proposing reasonable rate increases; creating a lengthy eight-year phase-in of increased rates, with no increase in the first year and no recovery of foregone revenues; no new rate cases before May 31, 2017; allowing for a more gradual rate increase for effluent and nonpotable groundwater; and resolving longstanding regulatory issues relating to ICFAs. (Maricopa HOAs Initial Brief at 4-7.)

The Maricopa HOAs urge the Commission to adopt the Settlement Agreement, as written, because each stakeholder carefully negotiated its terms, and alteration to any clause could risk the stakeholders’ support for the Agreement as a whole. (Id. at 7-8.)

RUCO

RUCO also recommends that the Commission approve the Settlement Agreement because it resolves a myriad of issues and is in the public interest. RUCO claims that the benefits of the Settlement include: a three-year phase-in of authorized expenses, with no increase in the first year; an eight-year phased-in rate increase for ICFA related issues, with no rate increase in the first year; a

 

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substantially decreased revenue requirement; resolution of all ICFA issues; stay-out provisions prohibiting a rate case until at least May 31, 2016; Global Water’s future investments will be funded with debt, equity, HUFs, and main extension agreements; and the implementation of a Code of Conduct to allow for more transparency for Global entity transactions. (RUCO’s Initial Brief at 3.)

Opposition to Settlement Agreement

Sierra Negra Ranch

SNR contends that, under the terms of the ICFAs, GWRI is essentially providing utility services that require the Commission to either regulate GWRI as a utility, or to regulate GWRI’s transactions and operations related to performance under the ICFA. (Tr. 233.) According to SNR, the ICFAs allow Global Parent to evade the Commission’s oversight by “facilitating” utility services. (SNR Ex. 1 at 10.) SNR claims that the ICFAs function to bind a landowner to an unregulated utility with an unregulated financing agreement, a problem that would attach to the approximately 180 ICFAs GWRI has entered into throughout Arizona. (Ex. A-17, Attach. B; SNR Ex. 1 at 10.) According to SNR, a lack of regulation of GWRI and the ICFAs will jeopardize future development in those areas controlled by GWRI. (SNR Ex.1 at 10.)

SNR argues that the Commission has the authority to prescribe the content of the ICFAs because SNR and NWP had no choice but to enter the agreements if they wanted utility service, and because the ICFAs and Settlement Agreement place SNR and NWP at a competitive disadvantage. (SNR Reply Br. at 7-8.) By offering to provide utility services, SNR asserts that Global Parent placed itself within the purview of the Commission’s oversight. (Id. at 9-10.) SNR also argues that the Commission has an interest in the regulatory treatment of CPI adjuster funds that could be used to fund utility infrastructure, and would ultimately end up in rate base. (Id. at 11.) Moreover, SNR asserts that GWRl consented to the Commission’s jurisdiction by intervening in this rate case. SNR argues that, at a minimum, the Commission has the authority to require GWRI to modify the ICFA as a condition of the Settlement Agreement. (Id. at 8).

SNR also contends that the financial condition of GWRI raises concerns that monies paid to it or its subsidiaries will not properly be used to construct infrastructure. (SNR Ex. 1 at 4-5, Tr. 27, 233, 702.) As evidence of this concern, SNR points out that the Settlement Agreement disregards

 

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past payments in calculating payments to be applied to HUFs. (SNR Ex. 1 at 14.) SNR also claims that prior funds placed in ICFA bank accounts were immediately transferred out of the accounts by GWRI and combined with GWRI’s general bank account. (See Ex. S-2 at 19). SNR asserts that, in spite of significant funds paid by SNR and NWP under the ICFAs, no utility infrastructure has yet been constructed in those areas. (Tr. 96.)

SNR argues that these issues can be avoided if the Commission takes jurisdiction over GWRI and the ICFAs to ensure that developer funds are properly used for the construction of infrastructure. Specifically, SNR requests that the Commission require sequester of the monies paid under the ICFAs, including such monies pledged to Regions Bank. (SNR Reply Br. at 18.) To further protect ICFA funds, SNR requests that the Commission order that Staff and RUCO monitoring of GWRI required under the Settlement Agreement should also include monitoring of GWRC, the ultimate Canadian parent holding company of GWRI. Similarly, SNR requests that GWRC, and the affiliates of GWRI, be subject to the annual affidavit of compliance required under Section 7.3 of the Settlement Agreement. (SNR Initial Br. at 19-20). SNR also requests the Commission to impose a requirement that GWRI and the regulated utilities guarantee the monies paid under the ICFA are used to construct the contracted infrastructure, even if the parent goes bankrupt. (SNR Ex. 1 at 16.)

SNR asserts that the ICFAs and HUFs will place it, and similarly situated developers, at a disadvantage to those developers who have not signed ICFAs with GWR. (SNR Ex. 1 at 15). SNR cites to the disparity between the $3,500 for water and wastewater services future developers will pay as HUFs under the Settlement, as opposed to the $5,500 it must pay under the ICFA, plus the CPI adjustor. (Ex. A-17 at 10; SNR Ex. 1 at 15.) SNR also contends that the Settlement Agreement would effectively eviscerate the “Most Favored Nation” clause within the ICFA. (SNR Initial Br. at 17). SNR contends that these issues may be avoided if the Commission, at a minimum, would increase the HUF in WUGT’s service area to align with the ICFA payments due, and compel GWRI to remove the requirement of paying a CPI adjustor in addition to the $5,500 per EDU under the ICFA. (SNR Ex. 1 at 15-16).

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New World Properties

NWP contends that the Settlement Agreement is not in the public interest without additional requirements being imposed upon GWRI and its affiliates. NWP asserts that the Commission has jurisdiction and authority to modify the CPI adjustor as a condition of approving the Settlement Agreement, and that GWRI acknowledged the Commission’s jurisdiction through the testimony of Mr. Walker, and by GWRI’s intervention in the case. (NWP Reply Br. at 4). Further, NWP asserts that the Commission’s jurisdiction is already evident by the numerous obligations imposed upon GWRI through the Settlement Agreement, including compliance monitoring, prohibition of entering into new lCFAs or amending existing ICFAs to increase the dollar amount of ICFA funds, segregation of funds, establishment of the HUFs, and mandates on the use of HUF monies. (Id. at 5-6).

NWP seeks modification of the ICFAs, as it alleges that the application of a CPI adjustor to ICFA fees that are treated as HUFs places developers with ICFAs at a competitive disadvantage to those without ICFAs. (NWP Initial Br. at 7-10; NWP Reply Br. at 1, 6-7.) Specifically, NWP asserts the Settlement Agreement creates a competitive disadvantage as new developers will simply pay a HUF with no CPI adjustor. NWP argues that it is further placed at a disadvantage because NWP helped fund the acquisition of WUGT by GWRI, through payment of landowner fees under the ICFA, which will also benefit developers without ICFAs. (NWP Reply Br. at 3.) NWP contends that while this disadvantage is not addressed by the Settlement Agreement, the Settlement Agreement serves to give GWRI a restored balance sheet. NWP argues that such an outcome is unfair in light of NWP having had no practical alternative but to sign an ICFA with GWR if NWP wanted to develop its property. Further, NWP notes that GWRI created the problems associated with the ICFAs by failing to seek Commission approval of the agreements, and NWP argues that the Settlement Agreement would promote the economic principle of “moral hazard.” (Id. at 15-16).

NWP denies Staff’s assertion that NWP is simply trying to escape its contractual obligations, and notes that changed circumstances require modification of the ICFAs. Specifically, NWP cites changes under the Settlement Agreement including Staff’s prior rejection of GWRI’s ICFAs, the introduction of HUFs, recharacterization of landowner fees, and a formerly level playing field for

 

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developers. NWP also questions the impact on rates of the implementation of the de-imputation of CIAC, a factor that NWP contends has not been fully analyzed by Staff or RUCO. (Id. at 12-14).

NWP further alleges that modification of the ICFAs is appropriate because NWP did not have the option of a traditional main extension agreement. Additionally, NWP argues that the recharacterization of the ICFA Landowner Payment to HUFs under the Settlement Agreement removes these payments from the financing requirements of the ICFA, and therefore avoids any inconsistency a modification order would have with the ICFA on this point. (NWP Initial Br. at 11-12). NWP further asserts that an order of the Commission would also prevent the CPI adjustor from eviscerating the “Most Favored Nation” clause within the ICFA, thereby maintaining the spirit of the ICFA.

NWP also contends that the public interest requires segregation and tracking of future landowner payments received by GWRI in excess of the HUFs paid under lCFAs. (NWP Initial Br. at 13; NWP Reply Br. at 7). According to NWP, the Settlement Agreement contains no mechanism to ensure that the funds paid, and to be paid by NWP, for the coordination and financing of construction of substantial regional infrastructure will actually be used in accordance with the terms of the ICFA. NWP argues that the public interest requires the Commission, at a minimum, to ensure these funds are ready and available to the utility that will provide the infrastructure when that becomes needed. (NWP Ex. 4 at 9-10.) However, NWP contends that the Settlement Agreement fails to include necessary safeguards to protect that portion of the Landowner Payments which exceeds the HUFs. Supporting the need for safeguards, NWP cites Global Parent’s failure to perform detailed calculations or undertake detailed cash-flow analysis regarding what a reasonable landowner payment would be under each agreement. (Ex. S-2 at 12-13.) NWP also points to the inadequacy of GWRI establishing separate ICFA bank accounts in Global Water’s last rate case, Docket No. SW-20445A-09-0077. (NWP Initial Br. at 15). NWP advocates alleviating these concerns by requiring: a segregated fund for all ICFA monies; an annual report to Utilities Division Staff of cash flow from these accounts; and an amendment to NWP’s ICFA to clarify that Landowner payments which are allocated as HUFs to WUGT and Hassayampa can be made directly to those utilities, and that the HUFs belong to those utilities and not GWRI. (Id. at 16).

 

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NWP requests that the Commission order, as a condition to the Settlement Agreement, that NWP and SNR can fully fund the applicable HUFs of WUGT and Hassayampa in the combined amount of $3,500 out of the Landowner Payments due to GWRI under the ICFA. (Id. at 18). NWP cites the testimony of Global Water witness Mr. Walker as acquiescence to this amendment. (Tr. 467-468.) NWP also seeks amendment of the ICFAs to expressly permit direct payment of HUFs to the applicable utility providers. NWP again cites the testimony of Mr. Walker as indicating GWRI’s consent to such an amendment. (Tr. 590.)

NWP further expresses concerns that the Settlement Agreement contains inadequate enforcement mechanisms. NWP contends that the Settlement Agreement’s requirement that GWRI submit an affidavit attesting to compliance for the preceding year may be insufficient. NWP requests that the annual affidavits certify compliance by GWRI and all Global Water affiliates. (NWP Initial Br. at 21). NWP also seeks the addition of a provision clarifying that all GWRI affiliates are under the jurisdiction of the Commission as it relates to the Settlement Agreement and the ICFAs. NWP also requests an 8-year phase-in of the rate increase for WUGT, matching the gradual period provided by the Settlement Agreement for customers of Santa Cruz and Palo Verde, and sparing WUGT customers from a 96 percent rate increase as contemplated in the Settlement Agreement. (NWP Initial Br. at 21; NWP Reply Br. at 15, 18-19).

Discussion and Resolution of Settlement Agreement Issues

As described by the signatory parties through their testimony, exhibits, and briefs, the proposed Settlement Agreement offers a number of creative solutions to issues that would likely be unrealized in a fully litigated case. Among the terms negotiated by the parties are:

 

  •  

The Company’s rates in the Maricopa area (Santa Cruz and Palo Verde) are to be phased in over an eight-year period in order to reduce the rate increase used to repair Global Parent’s balance sheet through the de-imputation of ICFA fees.7

 

  •  

The non-Maricopa systems will have rate increases phased in over a three-year period.

 

7 Mr. Walker testified that the imputation of ICFA funds as CIAC in the Company’s last rate case caused an $85 million net loss for Global Parent in 2010, and also created significant deferred tax assets for Santa Cruz, Palo Verde, and WUGT. He stated that de-imputation of the CIAC, as proposed by the Settlement, would mitigate the financial harm experienced by Global Parent and the affected utilities as a result of the last rate Decision. (Ex. A-13, at 17-18.)

 

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  •  

No rate increase during the first year of the phase-in for any of the systems, and none of the revenue lost as a result of the phase-ins will be recovered by the Company.

 

  •  

Global Water will not file any new rate applications until May 31, 2016 for systems outside of the Maricopa area, and not until May 31, 2017 for the Maricopa area utilities.

 

  •  

The reduced revenue requirement in the Settlement Agreement, compared to the Company’s original request, is based on the use of Staff’s recommended expense levels, which are based on the Company’s expenses from the period of 2009-2010.

 

  •  

The Settlement Agreement would reduce the Company’s cost of equity from the requested 11.44 percent to 9.5 percent, which would result in a revenue increase of less than 15 percent for the largest of the Company’s individual utilities (Santa Cruz and Palo Verde).

 

  •  

The Settlement Agreement will help improve Global Parent’s financial condition by repairing its balance sheet and reversing an imputation of ICFA revenues as CIAC by the Commission in the Company’s last rate case.

 

  •  

Global Water would be prohibited from entering into any new ICFAs, and would be required to adhere to Staff’s requested Code of Conduct; ICFA holders will benefit by helping ensure that the contracts they entered into are honored; and portions of payments under the ICFAs will be segregated in bank accounts, with a substantial sum being used to pay HUFs.

 

  •  

Continuation and expansion of low income bill assistance programs.

 

  •  

A rate design that allows for customers to earn a rebate for low water consumption.

 

  •  

A “capping” of the increase in the rate for effluent and recycled water.

Conditions to Settlement Agreement

Given the original litigation positions taken by the signatory parties, the various terms discussed above reflect compromises by those parties during the course of the negotiations, leading to a Settlement Agreement that the signatories could support. We find that the terms of the Agreement will produce rates that are just and reasonable in the context of this case, as long as several additional requirements are imposed as a condition of approval of the Settlement.

The first additional condition is that Global Water will be required to permit developers that are parties to ICFAs to fully fund the applicable HUFs out of the developer payments that are due under the ICFAs. Mr. Walker, on behalf of Global Water, testified during the hearing that this additional condition is acceptable to the Company and that Global Parent is willing to modify the ICFAs to reflect this change. (See Tr. 467-468.)

 

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The second condition is that developers that are parties to ICFAs will be permitted to pay the HUF amounts directly to the applicable water or wastewater utilities, rather than to Global Parent, as is currently required under the ICFAs. At the hearing, Mr. Walker also agreed to this condition, and stated that Global Parent is willing to amend the ICFAs accordingly to allow payment directly to the utilities. (Id. at 468, 590.)

The next condition is that all of the Global Water entities, including GWRI, will be required to submit annual affidavits, signed by the highest officer of each entity, attesting that each of those signatory entities was compliant with the terms of the Settlement Agreement for the prior calendar year. Mr. Walker testified that the Company is agreeable to this additional condition, stating that it was a “great idea.” (Id. at 517.) The affidavits should be filed beginning February 1, 2015, and should continue to be filed by February 1 each successive year for the prior calendar year, until further order of the Commission.

Other Issues Raised by NWP and SNR

NWP and SNR contend, among other things, that the rate increase proposed in the Settlement will disproportionately affect the approximately 324 customers served by WUGT, who will experience an increase of approximately 96 percent over current rates, phased in over three years with no increase the first year. NWP and SNR requested that the increase be phased in over 8 years, as is proposed for the Santa Cruz and Palo Verde customers. We believe the Settlement’s rate treatment of different systems is reasonable given the circumstances of this case. As explained by the Company’s witness, if the WUGT rates had been based on the fair value of assets in rate base, the overall increase for WUGT would have been approximately $560,000, rather than the $199,983 proposed in the Settlement, which is based on an operating margin approach. (Ex. A-27, at 2.) Further, the 8-year phase-in for the Maricopa area utilities (Santa Cruz and Palo Verde) is applicable only to the part of the increase related to the “de-imputation” of CIAC, which only affects rates in the Santa Cruz and Palo Verde systems at this time.

NWP and SNR also raised the issue of the Commission’s jurisdiction over GWRI, and whether the Commission could exercise enforcement authority over GWRI. Mr. Walker agreed that the Commission could enforce the terms of the Settlement for GWRI, and Mr. Olea stated that if any

 

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of the Global entities, including Global Parent, failed to comply with the Settlement, Staff would initiate an Order to Show Cause (“OSC”) proceeding to seek enforcement. (Id. at 699.) We find that by intervening in this proceeding and executing the Settlement Agreement, all of the Global entities, including GWRI, have submitted to the jurisdiction of the Commission for purposes of enforcement of the Settlement. We expect Staff to take appropriate actions in the event that any of the Global entities fails to comply with the terms of the Agreement, including the additional terms and conditions adopted in this Decision.

NWR and SNR further proposed that future ICFA payments to GWRI in excess of the HUF fees should be segregated and tracked to ensure that the funds designated to support the construction of utility infrastructure are available to the utilities when the infrastructure is needed. As described in Section 6.4.4 of the Settlement Agreement, after December 31, 2013, 70 percent of the ICFA payments are to be allocated to payment of the HUFs and the remaining 30 percent will go to Global Parent. (Ex. A-17, at § 6.4.4.) Although we understand the Developers’ concerns, we will not require the requested segregation and tracking of the funds paid in excess of the HUFs, as we believe appropriate terms are included in the Settlement to enable compliance enforcement and provide assurance that the underlying utilities will have the necessary funds to construct needed infrastructure. Moreover, as the Settlement Agreement recognizes, restoring the financial health of Global Parent is a critical component of the compromise reached by the parties and will ultimately benefit not only the Global Water utilities, but present and future customers and developers as well. We expect Global Parent to use the terms of the Settlement Agreement to restore its financial health, and ensure that the utility subsidiaries also remain financially healthy.

We agree with NWP and SNR that Global Parent’s unilateral decision to pursue ICFA financing invited the possibility that ICFA funds could be treated as contributions, as was determined in Decision No. 71878. At the same time, NWP and SNR are sophisticated developers that retained expert analysts and experienced regulatory counsel in negotiating the terms of the ICFAs, and entered into those agreements of their own volition. We believe that, with the additional conditions described above, adoption of the Settlement Agreement properly balances the interests of all stakeholders in a manner that will ensure just and reasonable rates, financially sound utility providers, and non-

 

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discriminatory treatment of developers. The Settlement Agreement is therefore approved, with the conditions in the discussion above.

REVENUE REQUIREMENT

Based on our adoption of the Settlement Agreement, as modified by the discussion herein, revenue increases for each of the utilities/divisions are authorized as follows:

Santa Cruz

Based on our findings herein, we determine that Santa Cruz’s gross revenue should increase by $1,556,046, or 14.87 percent.

 

Fair Value Rate Base

    $ 37,918,570   

Adjusted Operating Income

      1,908,343   

Required Fair Value Rate of Return

      7.50%   

Required Operating Income

      $2,843,893   

Operating Income Deficiency

      935,550   

Gross Revenue Conversion Factor

      1.663243   

Gross Revenue Increase

      $1,556,046   

Palo Verde

Based on our findings herein, we determine that Palo Verde’s gross revenue should increase by $1,888,939, or 14.41 percent.

 

Fair Value Rate Base

    $ 60,156,756   

Adjusted Operating Income

      3,393,928   

Required Fair Value Rate of Return

      7.50%   

Required Operating Income

      $4,512,507   

Operating Income Deficiency

      1,118,579   

Gross Revenue Conversion Factor

      1.688694   

Gross Revenue Increase

      $1,888,939   

Valencia-Town

Based on our findings herein, we determine that Valencia-Town’s gross revenue should increase by $252,554, or 5.11 percent.

 

Fair Value Rate Base

    $ 2,251,949   

Adjusted Operating Income

      17,649   

Required Fair Value Rate of Return

      7.50%   

Required Operating Income

      $168,896   

Operating Income Deficiency

      151,247   

Gross Revenue Conversion Factor

      1.6698   

Gross Revenue Increase

      $252,554   

 

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Valencia-Greater Buckeye

Based on our findings herein, we determine that Valencia-Greater Buckeye’s gross revenue should increase by $9,289, or 2.01 percent.

 

Fair Value Rate Base

      $634,979   

Adjusted Operating Income

      42,015   

Required Fair Value Rate of Return

      7.50%   

Required Operating Income

      $47,623   

Operating Income Deficiency

      5,608   

Gross Revenue Conversion Factor

      1.6563   

Gross Revenue Increase

      $9,289   

WUNS

Based on our findings herein, we determine that Water Utility of Northern Scottsdale’s gross revenue should not be increased.

 

Fair Value Rate Base

    $ (181,978)   

Adjusted Operating Income

      23,472   

Required Fair Value Rate of Return

      N/A   

Current Operating Margin

      15.91%   

Required Operating Income

      $23,472   

Operating Income Deficiency

      -   

Gross Revenue Conversion Factor

      1.629   

Gross Revenue Increase

      -   

WUGT

Based on our findings herein, we determine that the WUGT’s gross revenue should increase by $199,983, or 96.28 percent.

 

Fair Value Rate Base

    $ 2,206,817   

Adjusted Operating Income

      (78,593)   

Operating Margin

      10.0%   

Required Operating Income

      $40,786   

Operating Income Deficiency

      $119,379   

Gross Revenue Conversion Factor

      1.6752   

Gross Revenue Increase

      $199,983   

Willow Valley

Based on our findings herein, we determine that Willow Valley’s gross revenue should increase by $404,269, or 57.53 percent.

 

Fair Value Rate Base

    $ 2,278,955   

Adjusted Operating Income

      (71,868)   

 

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Required Fair Value Rate of Return

      7.50%   

Required Operating Income

      $170,922   

Operating Income Deficiency

      242,790   

Gross Revenue Conversion Factor

      1.665100   

Gross Revenue Increase

      $404,269   

Summary of Rates By System

Set forth below is a summary of the rates proposed by the Settlement Agreement, on a system-by-system basis, as contained in the H Schedules attached to the Settlement.

Santa Cruz

Currently, a 5/8-inch x  3⁄4-inch meter water customer in the Santa Cruz system with median usage of 5,000 gallons per month receives a bill of $31.10 per month. Under the rates approved herein, by adoption of the Settlement Agreement, the same median usage customer would receive no increase in 2014, but would experience an increase of $1.36, to $32.46 (4.4 percent), in 2015; an increase of $2.11, to $33.21 (6.8 percent), in 2016;8 an increase of $2.34, to $33.44 (7.5 percent), in 2017; an increase of $2.58, to $33.68 (8.3 percent), in 2018; an increase of $2.81, to $33.91 (9.0 percent), in 2019; an increase of $3.05, to $34.16 (9.8 percent), in 2020; and an increase of $3.07, to $34.18 (9.9 percent), in 2021.

Palo Verde

Currently, a wastewater customer with a 5/8-inch x  3⁄4-inch water meter in the Palo Verde system receives a bill of $62.91 per month. Under the rates approved herein, by adoption of the Settlement Agreement, the same wastewater customer would receive no increase in 2014, but would experience an increase of $1.43, to $64.34 (2.3 percent), in 2015; an increase of $2.97, to $65.88 (5.9 percent), in 2016; an increase of $3.70, to $66.61 (5.9 percent), in 2017; an increase of $4.43, to $67.34 (7.0 percent), in 2018; an increase of $5.15, to $68.06 (8.2 percent), in 2019; an increase of $5.88, to $68.79 (9.3 percent), in 2020; and an increase of $6.62, to $69.53 (10.5 percent), in 2021.

Valencia-Town

Currently, a 5/8-inch x  3⁄4-inch meter water customer in the Valencia-Town Division system with median usage of 5,500 gallons per month receives a bill of $35.16 per month. Under the rates

 

8 

All of the listed dollar and percentage increases are cumulative, compared to current rates.

 

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approved herein, by adoption of the Settlement Agreement, the same median usage customer would receive no increase in 2014, but would experience an increase of $1.40, to $36.56 (4.0 percent), in 2015; and an increase of $1.93, to $37.09 (5.5 percent), in 2016.

Valencia-Greater Buckeye

Currently, a 5/8-inch x  3⁄4-inch meter water customer in the Valencia-Greater Buckeye Division system with median usage of 6,500 gallons per month receives a bill of $37.17 per month. Under the rates approved herein, by adoption of the Settlement Agreement, the same median usage customer would receive no increase in 2014, and would experience a decrease of $(0.36), to $36.81 (1.0 percent decrease), in 2015; and an increase of $0.07, to $37.24 (0.2 percent), in 2016.

WUNS

Currently, a 1-inch meter water customer in the WUNS system with median usage of 10,500 gallons per month receives a bill of $116.50 per month. Under the rates approved herein, by adoption of the Settlement Agreement, the same median usage customer would receive no increase in 2014, and would experience a decrease of $(6.34), to $110.16 (0.5 percent decrease), in 2015.

WUGT

Currently, a 5/8-inch x  3⁄4-inch meter water customer in the WUGT system with median usage of 5,000 gallons per month receives a bill of $27.58 per month. Under the rates approved herein, by adoption of the Settlement Agreement, the same median usage customer would receive no increase in 2014, but would experience an increase of $10.05, to $37.63 (36.5 percent), in 2015; and an increase of $22.49, to $50.07 (81.6 percent), in 2016.

Willow Valley

Currently, a 5/8-inch x  3⁄4-inch meter water customer in the Willow Valley system with median usage of 2,500 gallons per month receives a bill of $24.40 per month. Under the rates approved herein, by adoption of the Settlement Agreement, the same median usage customer would receive no increase in 2014, but would experience an increase of $6.17, to $30.57 (25.3 percent), in 2015; and an increase of $12.63, to $37.03 (51.8 percent), in 2016.

System Improvement Benefit Mechanism

The System Improvement Benefit (“SIB”) mechanism is the only issue in this case that was

 

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not addressed in the Settlement Agreement. The SIB mechanism is supported by the Company and Staff and opposed by RUCO and WVCA.9 The Company and Staff request that the Commission authorize the Company to implement the SIB mechanism only for the Willow Valley system. The Company and Staff further request that the SIB mechanism authorized in this case follow the same requirements as the SIB mechanisms authorized in the recent Arizona Water – Northern Group10 and Arizona Water – Eastern Group11 rate cases (Decision Nos. 74081 and 73938, respectively).12

Positions of the Parties

Global Water

The Company asserts that the Commission should approve its requested SIB mechanism because Willow Valley’s pipeline distribution system is in need of urgent and substantial repairs. The Company has developed a 20-year plan to repair the system which will result in replacing most of the distribution system. During the first five years of that plan, the Company is proposing to utilize the requested SIB mechanism to repair the area with the most urgent need. According to the Company, the Willow Valley system suffers from numerous and recurring line breaks; the pipes in this area are 50 years old; the pipes are inadequately sized, four-inch, asbestos cement pipes; the pipes are located in backyards, making them difficult to access; and, in at least one case, the pipes are located near septic systems, creating health and safety concerns.

The Company believes that the SIB mechanism is an appropriate vehicle for addressing these repairs because of the benefits associated with implementing that mechanism. Specifically, the Company maintains that the SIB mechanism will benefit customers by improving system reliability and water quality as well as promoting rate gradualism. According to the Company, the SIB mechanism will allow the Company to replace and upgrade its aging infrastructure in a timely and efficient manner, while providing more gradual and smaller rate impacts on those customers. The Company also maintains that the SIB mechanism will reduce regulatory lag which will improve the Company’s cash flow and enhance its capability to attract the equity and debt investment needed to

 

9 

The remaining parties to this case did not take a position on whether the Commission should implement a SIB mechanism for the Willow Valley system.

10 

Docket No. W-01445A-12-0348.

11 

Docket No. W-01445A-ll-0310.

12 

The SIB mechanisms approved in these Decisions contain, and are subject to, the same conditions and requirements.

 

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fund these projects. The Company states that it is in agreement with all requirements of the SIB mechanism approved by the Commission in the Arizona Water – Northern Group rate case (Decision No. 74081).

In response to RUCO’s legal arguments, the Company claims that the proposed SIB mechanism complies with all applicable legal requirements regarding ratemaking, including the fair value requirement of the Arizona Constitution. The Company asserts that the SIB mechanism is an adjustor mechanism that is designed to provide for the timely recovery of plant costs. Contrary to RUCO’s position, the Company contends that adjustor mechanisms are not limited to expenses, but may also include plant costs. The Company claims that there are numerous examples of other adjustor mechanisms approved by the Commission that involve plant costs including the Arsenic Cost Recovery Mechanism (“ACRM”) and Arizona Public Service Company’s renewable energy, energy efficiency/demand side management, and environmental improvement surcharge adjustors. The Company also notes that many ratemaking authorities and treatises recognize that adjustors may be utilized for costs, not just expenses. In addition, the Company notes that Pennsylvania courts have recognized that distribution system improvement charges (“DSICs”) are adjustor mechanisms.

The Company disputes RUCO’s assertion that Scates requires adjustor mechanisms to relate to “narrowly defined, operating expenses.” (Scates v. Arizona Corp. Comm’n, 118 Ariz. 531, 535, 578 P.2d 612, 616 (App. 1978)). According to the Company, the cited language relied upon by RUCO is dicta because Scates did not involve a plant-based adjustor mechanism. The Company contends that the holding of Scates is that the Commission is required to ascertain the fair value of a utility’s property in setting just and reasonable rates. The Company asserts that the Commission will be able to ascertain fair value in a manner consistent with Scates because each SIB surcharge filing is required to include an analysis of the impact of the SIB plant on the fair value rate base, revenue, and the fair value rate of return. In addition, the Company notes that each SIB filing is required to provide: the most current balance sheet at the time of the filing; the most current income statement; an earnings test schedule; a rate review schedule (including the incremental and pro forma effects of the proposed increase); a revenue-requirement calculation; a surcharge calculation; an adjusted rate base schedule; a Construction Work In Progress (“CWIP”) ledger (for each project showing

 

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accumulation of charges by month and paid vendor invoices); a calculation of the three-factor formula (as requested by Staff); and a typical bill analysis under present and proposed rates.

The Company asserts that even if the Commission were to determine that the SIB mechanism is not an adjustor mechanism, it is still a lawful surcharge authorizing rate increases based on a determination of the Company’s rate base, pursuant to the holding in Residential Utility Consumer Office v. Arizona Corp. Comm’n, 199 Ariz. 588, 20 P.3d 1169 (App. 2001) (“Rio Verde”). The Company claims that contrary to RUCO’s contention, the Arizona Constitution does not require that the Commission take all ratemaking elements into consideration as would be done in a general rate case, but rather only requires that the fair value of a utility’s property be ascertained when setting rates. The Company contends that once fair value is ascertained, as would be done each time a SIB surcharge adjustment is approved, the Commission has ample discretion to use the fair value in setting rates or adjusting a surcharge.

The Company notes that RUCO’s arguments against the SIB are similar to arguments raised in other cases. The Company contends that RUCO’s arguments should be rejected for the same reasons the Commission rejected them in the Arizona Water – Eastern Group and Arizona Water – Northern Group cases.

Staff

According to Staff, the Company has produced sufficient evidence to justify approval of a SIB mechanism for Willow Valley in this case. Staff cites current problems with the Willow Valley system, including: aged, fragile and corroded pipes; absence of looping; pipes located in customer backyards, impeding access and raising public health concerns due to nearby septic systems; inoperable valves; inadequate fire hydrants; high level of line breaks; and high level of water loss. Staff believes that the Company’s proposed five-year infrastructure replacement plan, at a cost of $878,233 (proposed to be recovered under the SIB mechanism), is both reasonable and appropriate.

Staff states that the Company is requesting that the SIB be governed by all of the conditions and requirements that are set forth in Decision No. 73938. Staff further states that the Company has agreed to codify the SIB mechanism, if authorized, in a Plan of Administration that would tailor the SIB for Willow Valley to the specifics of this case. Staff cites some of the key provisions of the SIB

 

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mechanism, as set forth in Decision No. 73938, as follows:

 

  •  

Approval of SIB-Eligible Projects – All SIB-eligible projects must be reviewed by Staff and approved by the Commission prior to being included in the SIB surcharge. All of the projects must be completed and placed into service prior to being included in the SIB surcharge. Willow Valley must file a report with the Commission every six months summarizing the status of all SIB-eligible projects.

 

  •  

Costs Eligible for SIB Recovery – Cost recovery under the SIB mechanism is allowed for the pre-tax return on investment and depreciation expense associated with those projects, net of associated plant retirements. The rate of return, depreciation rates, gross revenue conversion factor and tax multiplier are to be the same as established in this case.

 

  •  

Efficiency Credit – The SIB surcharge will include an efficiency credit equal to five percent of the SIB revenue requirement.

 

  •  

Surcharge Cap – The amount that can be collected annually by each SIB surcharge filing is limited to 5 percent of the revenue requirement established.

 

  •  

Timing of SIB Surcharge Filing – The Company: may file up to five SIB surcharge requests between rate case decisions; may make no more than one SIB surcharge filing every 12 months; may not make an initial SIB surcharge filing prior to 12 months following the effective date of a decision in this case; must make an annual SIB surcharge filing to true-up its surcharge collections; and, must file a new rate case application no later than June 30, 2018, with a test year ending no later than December 31, 2017, at which time any SlB surcharge then in effect would be reviewed for inclusion in base rates in that proceeding and the surcharge would be reset to zero.

 

  •  

SIB Rate Design – The SIB surcharge will be a fixed monthly charge on customers’ bills, with the surcharge and efficiency credit listed as separate line items. The surcharge will increase proportionately based on customer meter size.

 

  •  

Commission Approval of SIB Surcharge – Each SIB surcharge must be approved by the Commission prior to implementation. Upon filing of the SIB surcharge application, Staff and RUCO would have 30 days to review the filing and dispute and/or file a request for the Commission to alter the surcharge or true-up surcharge/credit.

 

  •  

Public Notice – At least 30 days prior to a SIB surcharge becoming effective, the Company is required to provide public notice to customers in the form of a bill insert or customer letter. The notice must include: the individual surcharge amount by meter size; the individual efficiency credit by meter size; the individual true-up surcharge/credit by meter size; and, a summary of the project included in the current surcharge filing, including a description of each project and its cost.

 

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According to Staff, the SIB also requires that the Company file the following information with each SIB adjustment: the most current balance sheet at the time of the filing; the most current income statement; an earnings test schedule; a rate review schedule (including the incremental and pro forma effects of the proposed increase; a revenue requirement calculation; a surcharge calculation; an adjusted rate base schedule; a CWIP ledger (for each project showing accumulation of charges by month and paid vendor invoices); calculation of the three-factor formula; and a typical bill analysis under present and proposed rates.

Staff also notes that the SIB requires the Company to perform an earnings test calculation for each initial filing and annual report filing to determine whether the actual rate of return reflected by the operating income for the Willow Valley system for the relevant 12-month period exceeded the most recently authorized fair value rate of return. Staff explains that the earnings test is to be: based on the most recent available operating income, adjusted for any operating revenue and expense adjustments adopted in the most recent general rate case; and, based on the rate base adopted in the most recent general rate case, updated to recognize changes in plant, accumulated depreciation, CIAC, Advances In Aid of Construction (“AIAC”), and accumulated deferred income taxes through the most recent available financial statement (quarterly or longer). According to Staff, if the earnings test calculation shows that the Company will exceed its authorized rate of return with the implementation of the surcharge, the surcharge may not go into effect. However, Staff further explained that if the earnings test calculation shows that the Company will exceed its authorized rate of return with the implementation of the full surcharge, then the Company may request that the Commission authorize a lesser surcharge amount provided that lesser amount does not exceed the Company’s authorized rate of return.

Staff provided estimated revenue and customer bill impacts associated with the SIB mechanism under the assumption that Willow Valley will not over-earn during the five-year pendency of the SIB mechanism. With respect to revenues, Staff estimates that Willow Valley will collect through the SIB surcharge, after deduction of the efficiency credit, total additional revenue of $316,603. With respect to the impact on customer bills, Staff estimates that a median use 5/8-inch x  3⁄4-inch meter customer would pay, as the applicable SIB surcharge amount, an additional $1.21 in

 

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2015, $2.17 in 2016, $2.95 in 2017, $3.65 in 2018, and $4.80 in 2019. (See Attachment B hereto for a summary of estimated surcharges for Willow Valley, by year and meter size.)

Staff contends that the SIB mechanism comports with the requirements of the Arizona Constitution because it provides ample opportunity for the Commission to ascertain the Company’s fair value rate base. Staff points out that the SIB mechanism requires the Company to provide updated financial information (including a balance sheet, income statement, earnings test schedule, rate review schedule, revenue requirement calculation, surcharge calculation, and adjusted rate base schedule) as part of the filing package every time it seeks Commission authorization to enact a SIB surcharge. According to Staff, this information will enable the Commission to update the fair value rate base finding and determine the impact of the revenues (with the addition of the proposed SIB surcharge) on the Company’s fair value rate of return. Staff asserts that it is not reasonable to suggest that the Commission would not use the updated fair value information “to aid it in the proper discharge of its duties...” as required by the Constitution. (Arizona Constitution, Article 15, § 14). Staff also notes that the SIB surcharge cannot go into effect without a Commission order and, ultimately, the Commission may terminate the SIB at any time.

Staff argues that the Commission has broad discretion in employing appropriate rate setting methodologies. Staff cites Simms v. Round Valley Light & Power Co., wherein the Arizona Supreme Court stated that “[t]he commission in exercising its rate-making power of necessity has a range of legislative discretion and so long as that discretion is not abused, the court cannot substitute its judgment as to what is fair value or a just and reasonable rate.” (80 Ariz. 145, 154, 294 P.2d 378, 384, internal citation omitted.) Staff claims that the SIB mechanism would allow the Commission to implement a series of step rate increases, only after making an updated fair value finding, as a means of enabling the Company to undertake substantial infrastructure replacements without having to file a series of rate cases – which the courts have found would not be in the public interest. (Arizona Corp. Comm’n v. Ariz. Public Service Co., 113 Ariz. 368, 371, 555 P.2d 326, 329 (1976).) Staff also cites Arizona Community Action Assoc. v. Ariz. Corporation Comm’n, wherein the Arizona Supreme Court upheld the Commission’s approval of step increases associated with CWIP additions (although the court rejected using APS’ return on equity as the sole criterion for triggering an increase). (123 Ariz.

 

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228, 229-231, 599 P.2d 184, 186-187.) In that case, the court stated that it did not find fault with the Commission’s attempt to avoid a constant series of extended rate hearings by allowing step increases based upon the updated CWIP adjustments. (Id.) Staff contends that the SIB mechanism does not suffer from the “sole criterion” deficiency rejected by the court because the SIB does not employ an earnings test, or any other test, that would be subject to control by the Company.

Staff disputes RUCO’s “single issue ratemaking” arguments, claiming that contrary to RUCO’s assertions, the Arizona Constitution does not include that terminology, and under the holding in Scates, a full rate case is not required for every rate adjustment given the court’s statement that “[t]here may well be exceptional situations in which the Commission may authorize partial rate increases without requiring entirely new submissions.” (Scates, 118 Ariz. at 537, 578 P.2d at 618.) The court in Scates stated that it was not deciding “whether the Commission could have referred to previous submissions with some updating or whether it could have accepted summary financial information.” (Id.) Staff claims that the SIB mechanism requires updated information to be submitted by the Company and there is no reason to assume that the Commission would not consider that information in its evaluation of each SIB surcharge filing.

Staff points out that the SIB mechanism has a number of protections built in, including that: it was developed within the context of a full rate case; it is limited to replacement projects used to serve existing customers; the surcharge would be capped at five percent of the approved revenue requirement, subject to true-up; the Company would be required to file a full rate case within five years from the date of the order; each step increase can only be implemented after approval by the Commission and only after a fair value finding and earnings test which indicates that the Company will not be earning more than its authorized rate of return; the SIB mechanism may be suspended by the Commission; and the Company will be required to perform the same earnings test approved in Decision No. 73938.

Staff disputes RUCO’s statement that “[r]atepayers are likely to pay higher rates over time because of the failure to consider all of the rate case elements at each SIB filing.” (Staff Reply Br. at 20). According to Staff, this statement is anecdotal in nature and is not based upon any evidence in the record. In addition, Staff disputes RUCO’s contention that rate gradualism will come at the

 

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expense of rate stability. According to Staff, the amount of the annual rate change each year is small and its implementation over time will prevent rate shock at the Company’s next rate case.

Staff also disputes RUCO’s claim that the record evidence is insufficient to determine how the SIB mechanism will operate and asserts that the record is clear that the same requirements and conditions applicable to the SIB that were adopted in the Arizona Water – Eastern Group and Arizona Water – Northern Group rate cases apply to the SIB in this case. Staff points out that, under the SIB proposal in this case, the Company will file a Plan of Administration which contains all of the requirements and conditions on the SIB’s operation in this case.

Staff further disputes RUCO’s claim that there was insufficient time for Staff to do an adequate analysis of the SIB mechanism in this case. According to Staff, it performed a thorough review of the proposed SIB mechanism. Staff cites the testimony of Staff Witness Jian Liu who testified that he worked with the Company on the SIB mechanism for several months before the Company filed their schedules on September 4, 2013. Staff claims that the Company responded to all of Staff’s concerns prior to filing its final SIB schedules.

RUCO

RUCO contends that the SIB mechanism inappropriately shifts risk from the Company to ratepayers without adequate financial consideration to the ratepayer. RUCO asserts that the SIB mechanism is inequitable because it reduces regulatory lag in favor of the Company without adjusting for (and flowing through to ratepayers) any actual cost savings attributable to the new plant. According to RUCO, this creates a mismatch that works against the ratepayers’ interests and assures that ratepayers will not pay their actual cost of service, and will more than likely pay more over time. RUCO claims that, to the extent that ratepayers receive a benefit through the efficiency credit component of the SIB mechanism, that “paltry benefit” will only inure to ratepayers in the Company’s next rate case filing. (RUCO Br. at 4).

RUCO disputes that the SIB mechanism promotes rate gradualism. According to RUCO, ratepayers are likely to pay higher rates over time because the SIB filings do not provide enough information for the Commission to consider every element of a full rate case. RUCO also claims that the concept of rate gradualism is at odds with the concept of rate stability in that ratepayers’ rates will

 

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change yearly as a result of each SIB filing.

RUCO argues that the SIB is not an adjustor mechanism or an interim rate, which it claims are the only exceptions recognized by the courts to the constitutional requirement of ascertaining and employing a company’s fair value rate base in setting rates. RUCO cites the Scates and Rio Verde decisions by the Court of Appeals to support its contention that adjustor mechanisms may only be used to adjust narrowly defined operating expenses, such as fuel costs, and that an adjustor clause may only be implemented as part of a full rate hearing. (Scates, 118 Ariz. 531, 535, 578 P.2d 612, 616; Rio Verde, 199 Ariz. 588, 592, 20 P.3d 1169, 1173.) RUCO also cites the following excerpt from Decision No. 56450 (April 13, 1989) to support its claim that the Commission has defined adjustor mechanisms as applying to expenses that routinely fluctuate widely:

The principal justification for a fuel adjustor is volatility in fuel prices. A fuel adjustor allows the Commission to approve changes in rates for a utility in response to volatile changes in fuel or purchased power prices without having to conduct a rate case.

(Decision No. 56450 at 6). RUCO claims that the proposed SIB mechanism is not an adjustor mechanism because its purpose is not to make automatic adjustments for fluctuating operating expenses, but instead only serves to increase the Company’s rate base and thus, its operating income. RUCO asserts that the SIB only allows rates to adjust upwards as a result of permitting recovery of SIB-eligible plant costs, and that the SIB is not the type of adjustment mechanism contemplated by the court in Scates.

According to RUCO, the only other exception to a fair value finding is when interim rates are implemented, which would require the Commission find the existence of an emergency; the posting of a bond by the utility; and an undertaking by the Commission to determine final rates after a valuation of the utility’s property. (Rio Verde, 199 Ariz. at 591, 20 P.3d at 1172.) RUCO points out that the Company has neither asserted an emergency, nor requested interim rates in this case. RUCO cites Arizona Attorney General Opinion No. 71-17, which defined an emergency as when “sudden change brings hardship to a company, when a company is insolvent, or when the condition of the company is such that its ability to maintain service pending a formal rate determination is in serious

 

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doubt.” RUCO asserts that the Company cannot claim an emergency in this case because there is no evidence of a sudden change that has brought hardship, no evidence of insolvency, and no evidence that the Company has an inability to maintain service in the interim. RUCO argues that the Commission should not use the “emergency exception” or the adjustor mechanism liberally as an excuse to set aside the rule of finding fair value when setting rates. (RUCO Br. at 8).

RUCO asserts that the Arizona Constitution’s fair value requirement would not be satisfied if rate increases were granted under the proposed SIB mechanism. RUCO claims that the SIB mechanism is a cost recovery mechanism designed to side step the fair value requirement. According to RUCO, such cost recovery mechanisms should only be allowed in extraordinary circumstances and there is nothing extraordinary about this case.

RUCO argues that there is no evidence as to how the SIB mechanism will be employed and whether it meets the fair value requirement. RUCO points out that no Plan of Administration has been filed. RUCO concedes that there is testimony in the record from Mr. Walker, Mr. Fleming, and Mr. Liu as to how the SIB mechanism will work, but asserts that none of these witnesses “explain the mechanics of the mechanism.” (RUCO Br. at 10). RUCO states its assumption that the proposed SIB in this case will follow the SIB approved in the Arizona Water – Eastern Group rate case, but asserts that the parties have not had enough time to do an adequate analysis of the SIB mechanism in this case. RUCO contends that when the Company ultimately files its request to implement the SIB surcharge, the Commission will not be making a fair value determination that is meaningful. RUCO asserts that the absence of a meaningful fair value determination renders the SIB constitutionally deficient, effectively making it illegal in Arizona.

In response to the Company’s assertion that the SIB will allow the Company to repair and replace Willow Valley’s aging infrastructure, RUCO claims that the Company has had that infrastructure for 50 years and criticizes the Company for failing to take earlier action. RUCO also disputes the urgency of these repairs, noting that the Company has developed a 20-year plan to repair and replace most of Willow Valley’s distribution system. According to RUCO, the Company should make the repairs and recover the costs associated with these repairs utilizing traditional ratemaking procedures over time.

 

 

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RUCO asserts that the benefits of the SIB are far greater to the Company than the ratepayer. According to RUCO, the SIB will allow the Company to recover and earn a return on plant placed into rate base in between rate cases; this plant will be considered alone outside of a rate case and not along with all the other rate case elements; and the plant being considered is routine infrastructure. RUCO recognizes a possible benefit to the ratepayer of more frequent and smaller rate increases, but contends that this benefit will be offset because the SIB removes the Company’s incentive to effectively manage its costs in between rate cases; the five percent efficiency credit is not a quid pro quo benefit to the ratepayer; and the SIB results in inflated rates since it does not recognize the actual operational efficiencies associated with the replacement of old plant with new plant.

RUCO contends that the underlying purpose of the SIB has evolved since the Commission first considered (but rejected) the implementation of a DSIC mechanism in Arizona Water’s 2008 rate case (Decision No. 71845).13 According to RUCO, one of the concerns of the Commission in that rate case was for Arizona Water to achieve a water loss of less than 10 percent in a cost effective manner. RUCO contends that granting a SIB in this case is at odds with the spirit of Decision No. 71845 because: the SIB is not addressing water loss; and the SIB is not cost effective for ratepayers and will result in inflated rates.

RUCO criticizes the Company’s citation to the ACRM to support the proposition that the SIB mechanism is a valid adjustor mechanism. RUCO points out that the legality of the ACRM has never been challenged or reviewed by Arizona courts. Therefore, according to RUCO, the ACRM is irrelevant to the issue of whether the SIB mechanism is lawful under Arizona law.

RUCO disputes Staff’s assertion that the financial updates filed by the Company as part of the SIB surcharge filings would satisfy the fair value requirement. According to RUCO, Staff’s premise is misguided because it is not supported by case law and suggests that utilities may provide yearly updates to its rate base in lieu of filing an actual rate case.

WVCA

WVCA agrees that there is a need for system improvements and that the improvements

 

 

13 

Docket No. W-01445A-08-0440.

 

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Willow Valley has identified should be made. However, WVCA argues that a SIB mechanism is an extraordinary mechanism that is neither appropriate nor warranted for the Willow Valley system. According to WVCA, the purpose of the SIB mechanism is to encourage a utility to invest in water infrastructure where the normal ratemaking process has proved to be inadequate and to help alleviate rate shock. WVCA argues that there is no evidence to demonstrate that a SIB mechanism is needed for the Willow Valley system. As a result, WVCA maintains that Willow Valley should make the needed improvements and seek to recover a rate of return thereon under the traditional ratemaking process.

WVCA contends that a SIB mechanism is not justified in this case because the condition of the Willow Valley system should have been considered by the Company when it acquired the system in 2006; there is no evidence that the Company is financially unable to make the necessary improvements without the SIB mechanism; the depreciation expense collected by Willow Valley over the next five years (approximately $1,069,140) is sufficient to cover the estimated costs of the projects Willow Valley has identified for the SIB mechanism (approximately $876,233); and the SIB mechanism will not alleviate rate shock. Although WVCA acknowledges that rate shock will be softened by phasing in the rates requested in this case, WVCA argues that the benefit of phasing in rates will be tempered if the SIB surcharges are added to rates during the phase-in. WVCA also argues that it will be impossible for the Commission to evaluate the need and appropriateness of the SIB mechanism because there is no evidence as to the estimated level of the SIB surcharge; no evidence as to how those surcharges will impact Willow Valley’s customers; and no evidence as to how inclusion of the specific projects in the SIB mechanism will help to avoid rate shock for Willow Valley customers. WVCA also expresses concern that Willow Valley customers will not understand the purpose or mechanics of the SIB mechanism because the Company has not submitted a corresponding tariff or Plan of Administration.

In the event the Commission grants the Company’s request to implement a SIB mechanism for Willow Valley, WVCA alternatively argues that the following conditions be imposed: (1) the SIB mechanism should be set forth in a separate tariff, together with a Plan of Administration; (2) the SIB surcharge should be implemented no earlier than 2016; (3) the estimated cost submitted for a project

 

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should be the maximum amount Willow Valley can recover under the SIB surcharge for that project; (4) Willow Valley should be required to demonstrate that the dollars received as depreciation expense are being placed back into plant, or held in reserve for that purpose as part of the SIB evaluation; and (5) Willow Valley not seek another rate increase, other than the SIB mechanism, until 2017 based upon a test year no later than December 31, 2016. (WVCA Ex. 1 at 3-4).

Discussion of SIB Issue

The Commission generally must determine a fair value rate base and apply a rate of return to that rate base when it develops rates. The case law interpreting the Commission’s constitutional duties state that the Commission may diverge from this ratemaking method when authorizing interim rates in the event of an emergency (i.e., interim rates), and when the Commission authorizes (in a rate case) an automatic adjustor mechanism to address specific costs occurring subsequent to the rate case. Scates suggests that there may be exceptional situations that warrant a departure from the usual method. RUCO takes issue with the Company’s comparison of its current situation to ACRMs, and asserted that Willow Valley’s current infrastructure replacement needs do not rise to the level of an exceptional situation.

Legal Issues

The Company, Staff, and RUCO discussed in their post-hearing briefs the legality of a SIB under Arizona law. Arizona Constitution, Article XV, § 14 provides: “The Corporation Commission shall, to aid it in the proper discharge of its duties, ascertain the fair value of the property within the State of every public service corporation doing business therein . . . .” This language has been interpreted to require the Commission to establish a utility’s authorized rates by applying a fair rate of return to the fair value of the utility’s property devoted to the public use at the time of the inquiry (or as near as possible thereto), as determined by the Commission based upon all available relevant evidence. (See, e.g., Arizona Corp. Comm’n v. Arizona Water Co., 85 Ariz. 198, 203-04, 335 P.2d 412, 415 (Ariz. 1959)).

The Arizona Supreme Court has clarified that “the Commission in its discretion can consider matters subsequent to the historic year” when establishing fair value rate base in a rate case. (Arizona Public Service, 113 Ariz. 368, 371, 555 P.2d 326, 328-29 (1976)), and has specifically approved the

 

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portion of a Commission decision that allowed inclusion of CWIP for plant that was under construction during the test year and would go into service within two years after the effective date of a Step II increase, when the step increase methodology had been created in a full permanent rate case that included a determination of fair value. (Arizona Cmty. Action, 123 Ariz. 228, 230, 599 P.2d 184, 186.)

In Arizona Public Service, the Arizona Supreme Court held that although the Commission must ascertain fair value, it was not prohibited from taking into consideration in its fair value determination the addition of CWIP after the end of the test year. In so finding, the court stated:

A plant under construction is at least a relevant factor which the Commission could consider in determining fair value. The attorney general’s opinion would cut off consideration of any facts subsequent to the historic year. In Simms v. Round Valley, supra, we said: ‘Fair value means the value of properties at the time of inquiry (citing cases),’ and ‘(t)his is necessary for the reason that the company is entitled to a reasonable return upon the fair value of its properties at the time the rate is fixed.’ From the foregoing, it is obvious that the Commission in its discretion can consider matters subsequent to the test year, bearing in mind that all parties are entitled to a reasonable opportunity to rebut evidence presented. Construction projects contracted for and commenced during the historical year may certainly be considered by the Commission upon the cutoff time previously indicated. We would not presume to instruct the Commission as to how it should exercise its legislative functions. However, it appears to be in the public interest to have stability in the rate structure within the bounds of fairness and equity rather than a constant series of rate hearings.

(113 Ariz. at 371, 555 P.2d at 329 (internal citations omitted).) The Arizona Supreme Court reinforced this view in Arizona Community Action, by affirming the Commission’s decision to allow inclusion of CWIP in APS’ rate base within two years of a Step II rate increase. (123 Ariz. 228, 230- 231, 599 P. 2d 184, 186-187.) In that case, the court considered whether it was permissible for the Commission to authorize a rate of return based on plant construction in progress but not yet in service, which would result in five percent step increases over a three-year time period (1977-1979). Although the court struck down the tying of step increases solely to APS’ return on equity, it found

 

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the Commission’s inclusion of funds expended on CWIP to be “entirely reasonable.” (Id.) With respect to the legality of the step increase approved by the Commission, the court stated:

In view of [Arizona Public Service], supra, we find entirely reasonable that portion of the Commission’s decision allowing the inclusion of [CWIP] to go on line within two years from the effective date of the Step II increase. Nor do we find fault with the Commission’s attempt to comply with our indication in [Arizona Public Service], supra, that a constant series of rate hearings are not necessary to protect the public interest. The hearing culminating in the order of August 1, 1977, resulted in a determination of fair value. The adjustments ordered by the Commission in adding the CWIP to that determination of fair value were adequate to maintain a reasonable compliance with the constitutional requirements if used only for a limited period of time.

((Id.)(emphasis added.)

As a general proposition, we recognize that the courts have consistently required that the Commission find fair value before allowing an adjustment in rates. As indicated above, exceptions to the requirement to base rates on a monopolistic utility’s fair value rate base have typically been recognized for interim rate increases when an emergency exists, and for rate increases caused by automatic adjustment clauses, when the automatic adjustment clause itself is created in a permanent rate case that meets all legal requirements and the clause is designed to ensure that the utility’s profit or rate of return is unchanged by application of the clause. (See Rio Verde, supra, 199 Ariz. 588, 20 P.3d 1169; Scates, supra, 118 Ariz. 531, 578 P.2d 612; Arizona Attorney General Opinion No. 71- 17.)

However, in Scates, the Court of Appeals indicated that in exceptional circumstances the Commission may adjust rates outside of a full rate case. Although the court found the Commission did not have authority to allow increases between rate cases to certain of a telephone company’s charges without a consideration of the impact on the company’s rate of return and financial condition, the court suggested that updated submissions may be permitted to adjust rates between full rate cases. Thus, in Scates, the appellate court suggested a third exception to the general rule:

We do not need to decide in this case whether as a matter of law there must be a de novo compliance with all provisions of the order in connection with every increase in rates. The Commission here not only failed to require any submissions, but also failed to make any

 

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examination whatsoever of the company’s financial condition, and to make any determination of whether the increase would affect the utility’s rate of return. There may well be exceptional situations in which the Commission may authorize partial rate increases without requiring entirely new submissions. We do not decide in this case, for example, whether the Commission could have referred to previous submissions with some updating or whether it could have accepted summary financial information.

(118 Ariz. 531, at 537, 578 P.2d 612, at 618.)

In Rio Verde, the Court of Appeals addressed the issue of whether the Commission properly approved a surcharge to recover increased CAP water expenses between rate cases without ascertaining the utility company’s fair value. The court, citing Simms and Arizona Public Service, held that the Arizona Constitution requires the Commission to determine the company’s fair value, and the justness and reasonableness of the rates must be related to this fair value. (199 Ariz. 588, at 591, 20 P.3d 1169, at 1172.)

However, the courts have also consistently upheld the Commission’s broad discretion to use fair value in a manner that recognizes changing regulatory circumstances. For example, in US West II, supra, the Arizona Supreme Court recognized that although a fair value finding is required under the Constitution, the Commission was not bound by a “rigid formula” in setting just and reasonable rates. (201 Ariz. at 246, 34 P.3d at 355.) Although the court in US West II was considering fair value in the context of competitive telecommunications services, and not for a monopoly water company such as Global Water, the court’s discussion of the fair value requirement is instructive.

Because neither this court nor the corporation commission possesses the power to ignore plain constitutional language, we hold that a determination of fair value is necessary with respect to a public service corporation. But what is to be done with such a finding? In the past, fair value has been the factor by which a reasonable rate of return was multiplied to yield, with the addition of operating expenses, the total revenue that a corporation could earn. That revenue figure was then used to set rates....But while the constitution clearly requires the Arizona Corporation Commission to perform a fair value determination, only our jurisprudence dictates that this finding be plugged into a rigid formula as part of the rate-setting process. Neither section 3 nor section 14 of the constitution requires the corporation commission to use fair value as the exclusive “rate basis.”...We still believe that when a monopoly exists, the rate-of-return method is proper. Today, however, we must consider our case law interpreting

 

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the constitution against a backdrop of competition. In such a climate, there is no reason to rigidly link the fair value determination to the establishment of rates. We agree that our previous cases establishing fair value as the exclusive rate base are inappropriate for application in a competitive environment.... Thus, fair value, in conjunction with other information, may be used to insure that both the corporation and the consumer are treated fairly. In this and any other fashion that the corporation commission deems appropriate, the fair value determination should be considered. The commission has broad discretion, however, to determine the weight to be given this factor in any particular case.

(Id. at 245-246, 34 P.3d at 354-355.)(internal citations omitted, emphasis original.) The Court of Appeals reinforced this finding in Phelps Dodge, stating that:

...our reading of the court’s ruling [in US West II]...is consistent with the pronouncement...that the Commission should consider fair value when setting rates within a competitive market, although the Commission has broad discretion in determining the weight to be given that factor in any particular case.

(207 Ariz. 95, at 106, 83 P.3d 573, at 584.)

The Commission has also previously employed mechanisms such as the ACRM to address extraordinary regulatory challenges for which traditional ratemaking methods were deemed inadequate. In Decision No. 66400, in which the Commission first adopted the ACRM, the Commission determined that the proposed ACRM was within the Commission’s constitutional and statutory authority and permitted under applicable case law. (See Decision No. 66400 at 17, 19-20, 22.) AWC’s ACRM included a requirement that the Company file with each adjustment filing:

(1)the most current balance sheet at the time of the filing; (2) the most current income statement; (3) an earnings test schedule; (4) a rate review schedule (including the incremental and pro forma effects of the proposed increase); (5) a revenue requirement calculation; (6) a surcharge calculation; (7) an adjusted rate base schedule; (8) a CWIP ledger (for each project showing accumulation of charges by month and paid vendor invoices); (9) calculation of the three factor formula; and (10) a typical bill analysis under present and proposed rates.

(Id. at 14.)

 

 

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The Commission further agreed that the ACRM step increase procedure was based on the approach for CWIP discussed by the Arizona Supreme Court in both Arizona Public Service and Arizona Community Action. The Commission stated that in both cases the court acknowledged the Commission’s authority to consider post-test year matters as long as the Commission complied with its constitutional duty to determine fair value. The Commission also cited Scates as supporting the Commission’s authority to approve step rate increases, although only in “exceptional situations.” The Commission found that the ACRM:

specifically require[s] that [AWC] file updated financial information to verify the actual expenditures incurred for installing arsenic treatment plant, as well as schedules verifying that the requested step increase will not result in a return in excess of the Company’s “fair value” rate base return....We disagree with RUCO’s contention that inclusion of the recoverable O&M expenses violates the tenets of the Scates decision.14 As the Arizona court explained in that decision, automatic adjustment mechanisms may be approved in the context of a general rate proceeding as long as the expenses are specific and narrowly defined. The modified ACRM proposed by Staff and Arizona Water satisfies the Arizona Community Action and Scates requirements because it is an automatic adjustment mechanism that is being considered in a rate proceeding which includes a “fair value” analysis of the Company’s utility plant. Moreover, the expenses that are eligible for recovery under the ACRM adjustor mechanism are narrowly defined costs that will be incurred by direct payments to third party contactors. We believe these components satisfy the requirements delineated in both the Scates and Arizona Community Action decisions.15

The Commission concluded that approval of step increases under the ACRM, as described in Decision No. 66400, was consistent with the Commission’s authority under the Arizona Constitution, ratemaking statutes, and applicable case law. (ld. at 22.)

Recently, in Phase 2 of a rate case involving AWC’s Eastern Group, we approved a SIB mechanism that is virtually identical to the SIB being requested by Global Water in this proceeding.

 

14 RUCO had objected to inclusion of O&M expense adjustments in the ACRM, arguing that Arizona Community Action had only authorized rate base updates and that the inclusion of O&M adjustments presented matching problems.

15 Id. at 19-20.

 

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(Decision No. 73938 (June 27, 2013), at 50-54.)16 Even more recently, in AWC’s Northern Group rate case, we adopted a settlement that included the same SIB mechanism approved in the Eastern Group case. (See, Decision No. 74081 (September 23, 2013), at 58-62.)

Conclusion on SIB Issue

Consistent with our findings in Decision Nos. 73938 and 74081, we believe that the proposed SIB mechanism incorporated therein, together with the financial information and analysis required herein, satisfies the fair value concerns addressed by various court decisions. Although RUCO asserts that the proposed SIB does not require a fair value finding by the Commission when the SIB surcharge is adjusted, consistent with the prior AWC Decisions the information that Global Water will be required to file at the time a surcharge adjustment request is made requires “an analysis of the impact of the SIB Plant on the fair value rate base, revenue, and the fair value rate of return as set forth in Decision No. 73736.” (See Decision No. 73938, at 50.)

As stated in Decision No. 73938, from a practical perspective, the SIB would operate very similarly to existing ACRMs, with which the Commission now has extensive experience, and which the Commission has determined to be lawful. Consistent with the prior AWC SIB Decisions cited above, we will require Global Water to include in each of its surcharge adjustment filings similar financial information required for AWC’s ACRM adjustments, as described in Decision No. 66400. Global Water shall also be required to file the following information: (1) the most current balance sheet at the time of the filing; (2) the most current income statement; (3) an earnings test schedule; (4) a rate review schedule (including the incremental and pro forma effects of the proposed increase); (5) a revenue requirement calculation; (6) a surcharge calculation; (7) an adjusted rate base schedule; (8) a CWIP ledger (for each project showing accumulation of charges by month and paid vendor invoices); (9) calculation of the three factor formula (as requested by Staff); and (10) a typical bill analysis under present and proposed rates.

The Company shall also be required to perform an earnings test calculation for each initial filing and annual report filing to determine whether the actual rate of return reflected by the operating

 

16 The Commission granted RUCO’s Application for Rehearing of Decision No. 73938, pursuant to A.R.S. $ 40-253, and re-opened Decision No. 73736, pursuant to A.R.S. § 40-252, concerning the determination made regarding cost of equity in that Decision. The rehearing/reopening of those Decisions is currently pending.

 

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income for the affected system or division for the relevant 12-month period exceeded the most recently authorized fair value rate of return for the affected system or division, with the earnings test to be: based on the most recent available operating income, adjusted for any operating revenue and expense adjustments adopted in the most recent general rate case; and based on the rate base adopted in the most recent general rate case, updated to recognize changes in plant, accumulated depreciation, contributions in aid of construction, advances in aid of construction, and accumulated deferred income taxes through the most recent available financial statement (quarterly or longer). The earnings test results will be considered in the following manner. If the earnings test calculation described herein shows that the Company will not exceed its authorized rate of return with the implementation of the SIB surcharge, the surcharge for the year may go into effect upon issuance of the surcharge approval order and subject to the conditions described herein. But if the earnings test calculation described herein shows that the Company will exceed its authorized rate of return with the implementation of any part of the SIB surcharge, the surcharge for that year may not go into effect. Lastly, if the earnings test calculation described herein shows that the Company will exceed its authorized rate of return with the implementation of the full surcharge, but a portion of the surcharge may be implemented without exceeding the authorized rate of return, then the surcharge may be authorized up to that amount, again upon issuance of the surcharge approval order and subject to the conditions described herein. We reiterate that the proposed SIB surcharges shall be evaluated by the Commission according to all relevant factors, including the results of the earnings test. In any event, the earnings test shall not impact the approval of the SIB mechanism or the possibility of SIB surcharges in future years where authorized in accordance with the SIB mechanism.

 

With this additional information, the SIB allows for a consideration of all of Global Water’s costs at the time a surcharge adjustment is made, and is therefore permissible under Scates. The SIB mechanism also addresses the concerns cited in Scates in that the SIB: is an adjustment mechanism established within a rate case as part of a company’s rate structure;17 adopts a set formula that would

 

17 The SIB is a different type of adjustor mechanism than has previously been reviewed by the courts because it allows recovery of plant costs associated with Willow Valley’s substantial distribution system improvement needs, rather than fuel costs. However, even if the SIB is not considered an “adjustment mechanism” under Scates, we believe that it is an exceptional circumstance given the significant capital investment requirements for infrastructure replacements demonstrated for the Willow Valley system.

 

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allow only readily identifiable and narrowly defined plant to be recovered through the surcharge; and will apply the rate of return authorized herein to SIB plant (less the five percent efficiency credit).

In accordance with the court’s holding in Simms, which states that the Commission must find and use the fair value of the utility company’s property at the time of the inquiry, and the reasonableness and justness of rates established by the Commission “must be related to this finding of fair value” (80 Ariz. at 151, 294 P.2d at 382), the SIB mechanism requires a determination of the Company’s fair value rate base, including the SIB plant, at the time the surcharges are proposed and approved.

As discussed above, the applicable court decisions have found that the express language in Article 15, §14 of the Arizona Constitution requires the Commission to ascertain “fair value.” The courts have consistently recognized, however, that the Commission has broad discretion in the rate setting formulas and techniques that it employs, and the courts will not disturb the Commission’s findings absent an abuse of that discretion. (See, Simms, supra, at 154; Arizona Public Service, supra, at 370.) A line of decisions establishes that, as long as fair value is determined, the Commission does not abuse its discretion in adopting varying ratemaking mechanisms that allow rate recovery for: post-test year plant (Arizona Public Service); CWIP that is not yet in service (Arizona Community Action); interim rates or adjuster mechanisms without a fair value finding (Rio Verde); and use of fair value as only one factor to be considered in setting rates in a competitive regulatory environment (US West II; Phelps Dodge). An examination of these cases suggests that courts have understood that while a fair value determination is always required under the plain constitutional language of Article 15, §14, the Commission must have wide latitude to fashion ratemaking methods necessary to address a number of circumstances that may not have been anticipated when the Arizona Constitution was enacted. As long as the fair value finding is related to the rates set by the Commission, and that “just and reasonable rates” result from the methodologies employed (Article 15, §3), the courts have found that the Commission does not abuse its discretion in regard to its ratemaking powers.

We believe that the SIB mechanism proposed in this proceeding, together with the additional financial information and analysis required herein, is compliant with the Commission’s constitutional requirements, as well as the case law interpreting the Commission’s authority and discretion in

 

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setting rates. The SIB surcharge would be based on specific, verified, and in-service plant additions that are reviewed by Staff and approved by the Commission prior to being implemented. Global Water will be required to submit annual summary schedules showing the actual cost of the infrastructure, and supporting documentation that will enable Staff and the Commission to determine how the proposed surcharge adjustments would impact the fair value rate of return for each affected system.

The SIB mechanism is analogous to the step increases for CWIP plant that the court found to be a reasonable ratemaking device in Arizona Community Action (except for tying the increases solely to return on equity). Although the SIB-eligible plant differs from CWIP to the extent that the SIB would not necessarily be under construction during the historical test year in the rate case, the requirement that the SIB plant must be fully constructed, and used in the provision of utility service (with verification that such is the case) prior to inclusion in a surcharge, provides the Commission with an even greater assurance (compared with CWIP) that the SIB plant is used and useful and therefore serves as a proper basis for approving just and reasonable rates. And, by allowing up to five surcharge adjustments between full rate case applications, the SIB takes into account the court’s observation in the same case that a constant series of rate hearings is not necessary to protect the public interest. (Id. at 230-231, 599 P.2d at 186-187.) By requiring the filing of a full rate case at least every five years (with a review in the subsequent case of all SIB plant that was included in the surcharge during the interim between rate cases), the SIB also addresses the concern that the interim rate adjustments would only be in place for a limited period of time. In addition to the five percent efficiency credit, the SIB mechanism also includes notice requirements to customers, a review period for Staff and RUCO (and an opportunity for other parties or customers to express opposition), and an Order by the Commission evaluating and approving the appropriateness of the SIB-eligible plant, including Willow Valley’s fair value rate base and rate of return.

With respect to the arguments advanced by WCVA, we believe approval of a SIB mechanism for Willow Valley is appropriate because, as WVCA agreed, the system is in need of substantial improvements. Implementation of the SIB mechanism gives recognition to the fact that Global Water acquired the troubled Willow Valley only within the last decade, significant improvements have

 

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already been made to the system, and allowing more gradual increases for the additional capital investment needed for Willow Valley will help mitigate the rate shock concerns expressed by WVCA. We also believe adoption of the SIB in this case for Willow Valley is consistent with the Commission’s policy goal of encouraging acquisitions of smaller, troubled water companies by more stable water providers.

Although a SIB mechanism could potentially result in much greater resource demands upon the Commission and Staff than would the current regulatory structure, as noted in Decision No. 73938 (at page 54), the proposed SIB places more of the informational filing burdens on the Company, thus mitigating many of the resource concerns that had previously existed. With these provisions and protections, as well as others discussed herein, we find that proposed SIB mechanism is in accord with Arizona law and, as a whole, is consistent with the public interest.

*            *             *            *            *            *             *            *            *             *

Having considered the entire record herein and being fully advised in the premises, the Commission finds, concludes, and orders that:

FINDINGS OF FACT

1.        On July 9, 2012, Valencia Water Company – Town Division, Global Water – Palo Verde Utilities Company, Water Utility of Northern Scottsdale, Water Utility of Greater Tonopah, Valencia Water Company – Greater Buckeye Division, Global Water – Santa Cruz Water Company, and Willow Valley Water Company filed with the Commission applications in the above-captioned cases for the establishment of just and reasonable rates and charges for utility service designed to realize a reasonable rate of return on the fair value of their property throughout the State of Arizona. The test year for the applications is the year ending December 31, 2011.

2.        On July 12, 2012, a Motion to Consolidate was filed by Global Water in the above-captioned dockets.

3.        Intervention was granted to RUCO, NWP, SNR, the City of Maricopa, Maricopa Area HOAs, the Willow Valley Club Association, Steven P. Tardiff, Dana J. Jennings, Andy and Marilyn Mausser, Global Water Resources, Inc., Hassayampa Utilities Company, Picacho Cove Water Company, and Picacho Cove Utilities Company.

 

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4.        On August 27, 2012, Global Water filed revised schedules in all seven dockets.

5.        On September 26, 2012, Global Water filed revised schedules in the WUNS, WUGT, and VWCGB dockets.

6.        On September 26, 2012, Staff filed Letters of Sufficiency in the WUNS, WUGT, and VWCGB dockets, indicating that Global Water satisfied the requirements of A.A.C. R14-2-103 for those cases. Staff classified WUNS as a Class D utility, and WUGT and VWCGB as Class C utilities.

7.        On September 26, 2012, Staff filed Letters of Deficiency for the VWCT, Palo Verde, Santa Cruz, and Willow Valley applications.

8.        On October 10, 2012, VWCT and Willow Valley filed revised schedules.

9.        On October 15, 2012, Global Water filed Notices of Errata in the VWCT and Willow Valley dockets.

10.      On October 19, 2012, Staff filed Letters of Sufficiency in the VWCT and Willow Valley dockets.

11.      On October 24, 2012, Palo Verde filed revised schedules.

12.      On October 26, 2012, Staff filed a Letter of Sufficiency in the Palo Verde docket.

13.      On November 2, 2012, Santa Cruz filed revised schedules.

14.      On November 7, 2012, Staff filed a Letter of Sufficiency in the Santa Cruz docket.

15.      On November 14, 2012, Staff filed a Request for Procedural Schedule and Response to Global Water’s Motion to Consolidate in each of the dockets. Staff stated that it supported the Company’s consolidation request, and proposed a procedural schedule. In addition to proposed dates for filing testimony, the parties agreed to commence settlement discussions on May 13, 2013, to conclude settlement discussions on May 21, 2013, and to file a settlement agreement, if any, by May 31, 2013.

16.        By Procedural Order issued November 20, 2012, the above-captioned dockets were consolidated, a hearing was scheduled, the Company was directed to publish notice, and other procedural deadlines were established.

 

 

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17.        On November 27, 2012, Global Water filed a Request to Amend Customer Notice Language in the Global Water – Palo Very Utilities Company’s customer language notice. Global Water stated that the notice could be confusing to its customers because the phrase “56.3 percent” increase did not reflect current revenues, but rather revenues from the 2011 test year. The Company therefore requested that the public notice be modified.

18.        On November 30, 2012, a Procedural Order was issued granting the Company’s request to amend the customer notice language.

19.        On December 17, 2012, Global Water filed revised schedules in the VWCGB, WUGT, and VWCT dockets.

20.        On December 18, 2012, Global Water filed a 2nd Request to Amend Customer Notice Language.

21.        On December 19, 2012, Global Water filed revised and updated consolidated schedules in the VWCGB, WUGT, and VWCT dockets.

22.        On December 21, 2012, the Company filed a complete set of revised and updated schedules for each of the above-captioned dockets.

23.        By Procedural Order issued December 28, 2012, the Company’s 2nd Motion to Amend was granted and the requested notice modifications were approved.

24.        On March 20, 2013, the Mayor and Council of the City of Maricopa filed a Request to Hold a Public Comment in Maricopa.

25.        On April 9, 2013, the Commission voted at a Staff Open Meeting to schedule a local public comment session on the application to be held on May 30, 2013, in Maricopa, Arizona.

26.        On April 16, 2013, a Procedural Order was issued scheduling a public comment session on May 30, 2013, in Maricopa, and directing Global Water to publish notice of the public comment session.

27.        On April 19, 2013, Staff filed a Request for Modification of the Procedural Schedule. Staff requested a 60-day extension of time to file its direct testimony due to “the complexity of the issues raised in this case,” and requested that the remainder of the procedural schedule be extended by 60 days as well.

 

 

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28.        By Procedural Order issued April 30, 2013, the hearing was rescheduled to commence on September 5, 2013, other procedural dates were amended in accordance with Staff’s proposal, and the applicable time clock was extended accordingly.

29.        On May 30, 2013, the Commission conducted a public comment session in Maricopa, as scheduled.

30.        On July 12, 2013, Staff filed a second Request for Modification to the Procedural Schedule. Staff requested that the filing date for Staff and Intervenor rate design testimony be changed from July 15, 2013 to July 26, 2013; and that the Company be permitted to file rate design rebuttal testimony on August 19, 2013.

31.        On July 15, 2013, the hearing previously scheduled and noticed for that date was convened for the purpose of taking public comment only.

32.        By Procedural Order issued July 18, 2013, Staff’s Request for Modification to the Procedural Schedule was granted.

33.        On July 25, 2013, Staff filed a third Request to Modify Procedural Schedule to allow additional time for settlement discussions. Staff stated that the parties were in the process of negotiating a settlement agreement and that if the parties reached a settlement, they planned to file it on August 12, 2013, as specified by the April 30, 2013 Procedural Order. Staff therefore requested that the July 26, 2013, filing date be suspended.

34.        By Procedural Order issued July 26, 2013, Staff’s Request for Modification to the Procedural Schedule was granted.

35.        On August 13, 2013, a Proposed Settlement Agreement was filed in this matter, signed by the Global Water Companies (i.e., Palo Verde, Santa Cruz, VWCT, WUNS, WUGT, VWCGB, and Willow Valley), the Global Intervenors, Staff, RUCO, and HOAs Province, Rancho El Dorado III, and Cobblestone.

36.        On August 16, 2013, Staff filed a Notice of Errata making corrections to the H-3 Schedules attached to the Settlement Agreement.

37.        On August 20, 2013, Global Water filed a Motion to Establish Schedule for SIB [System Improvement Benefit mechanism] Testimony.

 

 

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38.        On August 21, 2013, Staff filed Attachment E to the Settlement Agreement.

39.        On August 21, 2013, additional signatures to the Settlement were filed by the City of Maricopa, and HOAs Alterra, Desert Cedars, Homestead North, Maricopa Meadows, Rancho El Dorado, Senita, and Sorrento.

40.        On August 21, 2013, testimony in support of the Settlement Agreement was filed by: the Company (Ron Fleming, Paul Walker, and Matthew Rowell); Staff (Steve Olea); RUCO (Patrick Quinn); Maricopa (Paul Jepsen); and the Maricopa HOAs (Pam Hilliard).

41.        On August 21, 2013, testimony in opposition to the Settlement Agreement was filed by: NWP (Richard Jellies); and SNP (John O’Reilly).

42.        On August 27, 2013, a Procedural Order was issued establishing a procedural schedule for the proposed SIB mechanism, with Staff testimony due by September 6, 2013; Global Water and Intervenor responsive testimony due by September 13, 2013; and a hearing on the SIB proposal on September 19, 2013.

43.        On September 3, 2013, Global Water filed a Notice of Filing Revised Willow Valley Water Co. SIB Engineering Report.

44.        Hearings were conducted regarding the Settlement Agreement on September 5, 6, 9, and 12, 2013.

45.        On September 6, 2013, Staff filed the supplemental testimony of Jian Liu regarding the SIB mechanism.

46.        On September 13, 2013, RUCO filed the responsive testimony of Robert Mease regarding the SIB proposal.

47.        On September 13, 2013, the WVCA filed a letter signed by its president, Gary McDonald, expressing opposition to the Company’s SIB mechanism proposal.

48.        By Procedural Order issued September 16, 2013, Mr. McDonald was directed to appear at the September 19, 2013, hearing if he wished his comments to be considered part of the evidentiary record.

49.        On September 18, 2013, Mr. McDonald filed a letter requesting that he be permitted to appear telephonically to undergo cross-examination regarding his comments.

 

 

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50.        On September 19, 2013, a hearing regarding the proposed SIB was conducted.

51.        On October 4, 2013, Staff filed a Notice of Filing Rate Schedules Including Systems Benefits Charge.

52.        On October 18, 2013, Initial Post-Hearing Briefs were filed by Global Water and Global Intervenors; NWP; SNP; City of Maricopa; the Maricopa HOAs; RUCO; and Staff.

53.        On October 31, 2013, Reply Post-Hearing Briefs were filed by Global Water and Global Intervenors; NWP; SNP; City of Maricopa; RUCO; and Staff.

54.        The settlement discussions in this docket were open, transparent, and inclusive of all parties who desired to participate. All parties were notified of the settlement proceedings and had the opportunity to be heard and have their issues fairly considered.

55.        The Settlement Agreement, with the conditions discussed above, represents a reasonable compromise of contested issues, is in accord with Arizona law and, as a whole, is consistent with the public interest.

56.        The Settlement Agreement and its provisions, with the conditions discussed herein, should be approved as discussed herein.

57.        For purposes of this proceeding, a capital structure consisting of 57.80 percent long-term debt and 42.20 percent common equity is appropriate for establishing rates in this matter.

58.        A return on common equity of 9.50 percent, an embedded cost of long-term debt of 6.10 percent, and a fair value rate of return of 7.50 percent are appropriate estimates of the cost of capital for purposes of this proceeding.

59.        For purposes of this proceeding, Santa Cruz’s adjusted OCRB and FVRB is $37,918,570; its adjusted test year revenues are $10,463,460; its adjusted operating income is $1,908,343; and a phased-in gross revenue increase of $1,556,046 is authorized.

60.         For purposes of this proceeding, Palo Verde’s adjusted OCRB and FVRB is $60,156,756; its adjusted test year revenues are $13,107,528; its adjusted operating income is $3,393,928; and a phased-in gross revenue increase of $1,888,939 is authorized.

61.        For purposes of this proceeding, Valencia-Town Division’s adjusted OCRB and FVRB is $2,251,949; its adjusted test year revenues are $4,940,316; its adjusted operating income is

 

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$17,649; and a phased-in gross revenue increase of $252,554 is authorized.

62.        For purposes of this proceeding, Valencia-Greater Buckeye Division’s adjusted OCRB and FVRB is $634,979; its adjusted test year revenues are $462,043; its adjusted operating income is $42,015; and a phased-in gross revenue increase of $9,289 is authorized.

63.        For purposes of this proceeding, Water Utility of Northern Scottsdale’s adjusted OCRB and FVRB is $(181,978); its adjusted test year revenues are $147,513; its adjusted operating income is $23,472; and no revenue increase is authorized.

64.        For purposes of this proceeding, Water Utility of Greater Tonopah’s adjusted OCRB and FVRB is $2,206,817; its adjusted test year revenues are $207,705; its adjusted operating income is $(78,593); and a phased-in gross revenue increase of $199,983 is authorized.

65.        For purposes of this proceeding, Willow Valley’s adjusted OCRB and FVRB is $2,278,955; its adjusted test year revenues are $702,652; its adjusted operating income is $(71,868); and a phased-in gross revenue increase of $404,269 is authorized.

66.        Consistent with prior SIB mechanisms approved for Arizona Water, Global Water’s proposed SIB for its Willow Valley system will require, among other things for: Commission pre-approval of SIB-eligible projects; SIB project eligibility criteria; a limit on SIB surcharge recovery to the pre-tax rate of return and depreciation expense associated with SIB-eligible projects; an “efficiency credit” of five percent; a cap on the SIB surcharge of five percent of the Phase 1 revenue requirement; separate line items on customer bills reflecting the SIB surcharge and the efficiency credit; Commission approval of the SIB surcharge prior to implementation and adjustments; a limit of five SIB surcharge filings between general rate cases; an annual true-up of the SIB surcharge; and notice to customers at least 30 days prior to SIB surcharge adjustments.

67.        Cost recovery under the SIB mechanism is allowed for the pre-tax return on investment and depreciation expense for projects meeting the SIB-eligible criteria and for depreciation expense associated with those projects, net of associated plant retirements.

68.        The amount that is permitted to be collected annually by each SIB surcharge filing is limited to five percent of the revenue requirement authorized in this Decision.

69.        The SIB surcharge will be applicable only for plant replacement investments to

 

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provide adequate and reliable service to existing customers and that are not designed to serve or promote customer growth.

70.        The SIB surcharge will be a fixed monthly charge on Willow Valley customers’ bills, with the surcharge and the efficiency credit listed as separate line items. The surcharge will increase proportionately based on customer meter size.

71.        Each SIB surcharge filing must be approved by the Commission prior to implementation. Upon filing of the SIB surcharge application, Staff and RUCO will have 30 days to review the filing and dispute and/or file a request for the Commission to alter the surcharge or true-up surcharge/credit. If no objection is filed to the SIB surcharge request, the request shall be placed on an Open Meeting agenda at the earliest practicable date, based on Staff’s preparation of a Staff Report and Proposed Order for the Commission’s consideration.

72.        At least 30 days prior to a SIB surcharge becoming effective, Willow Valley will be required to provide public notice to customers in the form of a bill insert or customer letter. The notice must include: the individual surcharge amount by meter size; the individual efficiency credit by meter size; the individual true-up surcharge/credit by meter size; and a summary of the projects included in the current surcharge filing, including a description of each project and its cost.

CONCLUSIONS OF LAW

1.        Santa Cruz, Palo Verde, VWCT, VWCGB, WUNS, WUGT, and Willow Valley are public service corporations within the meaning of Article XV of the Arizona Constitution and A.R.S. §§ 40-250, 40-251, 40-334, 40-374, and 40-367.

2.        The Commission has jurisdiction over Santa Cruz, Palo Verde, VWCT, VWCGB, WUNS, WUGT, and Willow Valley, and the subject matter of the applications.

3.        Notice of the proceeding was provided in accordance with the law.

4.        Adoption of the Settlement Agreement, subject to the revisions discussed herein, is in the public interest.

5.        The rates and charges produced by the Settlement Agreement are just and reasonable in this proceeding, for the reasons described herein.

6.        The SIB mechanism is compliant with the Commission’s constitutional requirements,

 

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as well as the case law interpreting the Commission’s authority and discretion in setting rates. The Commission has the constitutional ratemaking authority to approve adjustment mechanisms in a general rate case.

7.        The SIB mechanism incorporated therein, with the modifications discussed above, satisfies the fair value concerns addressed by various court decisions.

ORDER

IT IS THEREFORE ORDERED that the Settlement Agreement filed on August 13, 2013, and attached to this Decision as Attachment A, as supplemented by the conditions in the discussion herein, is hereby approved.

IT IS FURTHER ORDERED that all parties shall implement and comply with the terms of the Settlement Agreement, with the conditions discussed herein.

IT IS FURTHER ORDERED that Global Water-Santa Cruz Water Company, Global Water-Palo Verde Utilities Company, Valencia Water-Town Division, Valencia Water Company-Greater Buckeye Division, Water Utility of Northern Scottsdale, Water Utility of Greater Tonopah, and Willow Valley Water Company are hereby directed to file with the Commission, on or before February 28, 2014, revised schedules of rates and charges, consistent with the Settlement Agreement and the findings herein.

IT IS FURTHER ORDERED that the revised schedules of rates and charges showing the phased-in rates, shall be effective for all service rendered on and after March 1, 2014. Thereafter, each annual rate phase will take effect on January 1st of each year, beginning with January 1, 2015.

IT IS FURTHER ORDERED that Global Water-Santa Cruz Water Company, Global Water-Palo Verde Utilities Company, Valencia Water-Town Division, Valencia Water Company-Greater Buckeye Division, Water Utility of Northern Scottsdale, Water Utility of Greater Tonopah, and Willow Valley Water Company, shall notify their affected customers of the revised schedules of rates and charges authorized herein by means of an insert in their next regularly scheduled bills and by posting on Global Water’s website, in a form acceptable to the Commission’s Utilities Division Staff.

IT IS FURTHER ORDERED that the revised Rules and Regulations set forth in the Settlement Agreement are approved.

 

 

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IT IS FURTHER ORDERED that developers that are parties to ICFAs may fully fund the applicable HUFs out of the developer payments that are due under the ICFAs.

IT IS FURTHER ORDERED that developers that are parties to ICFAs may pay the HUF amounts directly to the applicable water or wastewater utilities, rather than to Global Parent, as is currently required under the ICFAs.

IT IS FURTHER ORDERED that Global Water Resources, Inc., and the Global Water entities, shall submit annual affidavits, signed by the highest officer of each entity, attesting that each of those signatory entities was compliant with the terms of the Settlement Agreement for the prior calendar year.

IT IS FURTHER ORDERED that the proposed SIB mechanism for Willow Valley Water Company, is approved, as discussed herein.

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IT IS FURTHER ORDERED that Willow Valley Water Company shall comply with all requirements of the SIB filing and compliance requirements outlined by Staff in this proceeding, and consistent with the SIB mechanisms approved for Arizona Water Company in Decision Nos. 73938 and 74081.

IT IS FURTHER ORDERED that this Decision shall become effective immediately.

BY ORDER OF THE ARIZONA CORPORATION COMMISSION.

 

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CHAIRMAN

     COMMISSIONER

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LOGO

 

COMMISSIONER

   COMMISSIONER   COMMISSIONER

 

LOGO   

IN WITNESS WHEREOF, I, JODI JERICH, Executive Director of the Arizona Corporation Commission, have hereunto set my hand and caused the official seal of the Commission to be affixed at the Capitol, in the City of Phoenix, this 26th day of February 2014.

 

LOGO

 

  

JODI JERICH

EXECUTIVE DIRECTOR

 

DISSENT

      

 

DISSENT

      

 

  68   DECISION NO.      74364        

SERVICE LIST FOR:

  

VALENCIA WATER COMPANY, INC., GLOBAL WATER – PALO VERDE UTILITIES COMPANY; WATER UTILITY OF NORTHERN SCOTTSDALE; WATER UTILITY OF GREATER TONOPAH, INC.; VALENCIA WATER COMPANY – GREATER BUCKEYE DIVISION; GLOBAL WATER – SANTA CRUZ WATER COMPANY AND WILLOW VALLEY WATER CO., INC.; GLOBAL WATER RESOURCES, INC.; HASSAYAMPA UTILITIES COMPANY; PICACHO COVE WATER COMPANY; AND PICACHO COVE UTILITIES COMPANY

 

DOCKET NOS.:

  

W-01212A-12-0309; SW-20445A-12-0310; W-03720A-12-0311; W-02450A-12-0312; W-02451A-12-0313; W-20446A-12-0314; and W-01732A-12-0315

Timothy Sabo

Michael Patten

ROSHKA, DeWULF & PATTEN PLC

400 E. Van Buren, Suite 800

Phoenix, AZ 85004

Attorneys for Valencia Water Company, Inc., Global

Water – Palo Verde Utilities Company; Water Utility of

Northern Scottsdale; Water Utility of Greater Tonopah, Inc.;

Valencia Water Company – Greater Buckeye Division; Global

Water – Santa Cruz Water Company and Willow Valley

Water Co., Inc.; Global Water Resources, Inc.; Hassayampa Utilities Company;

Picacho Cove Water Company; and Picacho Cove Utilities Company

Garry D. Hays

THE LAW OFFICES OF GARRY D. HAYS, PC

1702 East Highland Ave., Suite 204

Phoenix, AZ 85016

Attorneys for New World Properties, Inc.

Jeffrey W. Crockett

BROWNSTEIN HYATT FARBER SCHRECK, LLP

One East Washington Street, Suite 2400

Phoenix, AZ 85004

Attorneys for New World Properties, Inc.

Daniel W. Pozefsky, Chief Counsel

Residential Utility Consumer Office

1110 West Washington Street, Suite 200

Phoenix, AZ 85007

Lawrence V. Robertson, Jr.

ATTORNEY AT LAW

P.O. Box 1448

Tubac, AZ 85646

Attorney for the City of Maricopa, Arizona

 

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DOCKET NO. W-01212A-12-0309 ET AL.

 

Michele Van Quathem

Sheryl A. Sweeney

RYLEY CARLOCK & APPLEWHITE

One N. Central Ave., Suite 1200

Phoenix, AZ 85004-4417

Attorneys for Maricopa Area

Homeowners Associations

Robert J. Metli, Esq.

MUNGER CHADWICK, P.L.C.

2398 E. Camelback Road, Suite 240

Phoenix, AZ 85016

Attorneys for Sierra Negra Ranch

Barry W. Becker

Bryan O’Reilly

SNR MANAGEMENT LLC

50 S. Jones Blvd., Suite 101

Las Vegas, NV 89107

Steven P. Tardiff

44840 W. Paitilla Lane

Maricopa, AZ 85139

William P. Sullivan

CURTIS, GOODWIN, SULLIVAN

  UDALL & SCHWAB, P.L.C.

501 E. Thomas Rd.,

Phoenix, AZ 85012

Attorneys for Willow Valley Club Assn.

Willow Valley Club Association

c/o Gary McDonald, Chairman

1240 Avalon Avenue

Havasu City, AZ 86404

Dana L. Jennings

42842 W. Morning Dove Lane

Maricopa, AZ 85138

Andy and Marilyn Mausser

20828 North Madison Dr.

Maricopa, AZ 85138

Janice Alward, Chief Counsel

Legal Division

ARIZONA CORPORATION COMMISSION

1200 West Washington Street

Phoenix, AZ 85007

Steve Olea, Director

Utilities Division

ARIZONA CORPORATION COMMISSION

1200 West Washington Street

Phoenix, AZ 85007

 

  70   DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

ATTACHMENT A

PROPOSED SETTLEMENT AGREEMENT OF RATE

ADJUSTMENT APPLICATIONS OF

Valencia Water Company, Inc. – Town Division

Docket No. W-0l212A-12-0309

Global Water – Palo Verde Utilities Company

Docket No. SW-20445A-12-0310

Water Utility of Northern Scottsdale, Inc.

Docket No. 03720A-12-0311

Water Utility of Greater Tonopah, Inc.

Docket No. 02450A-12-0312

Valencia Water Company, Inc. – Greater Buckeye Division

Docket No. 02451A-12-0313

Global Water – Santa Cruz Water Company

Docket No. W-20446A-12-0314

Willow Valley Water Co., Inc.

Docket No. 01732A-12-0315

 

AUGUST 12, 2013

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

TABLE OF CONTENTS

 

I.   RECITALS      3   
II.   REVENUE REQUIREMENT AND RATE INCREASE      4   
III.   BILL IMPACT AND RATE DESIGN      5   
IV.   COST OF CAPITAL      5   
V.   DEPRECIATION/AMORTIZATION      6   
VI.   TREATMENT OF INFRASTRUCTURE COORDINATION AND FINANCE AGREEMENTS      6   
VII.   HOOK-UP FEES      10   
VIII.   TARIFFS AND CODE OF CONDUCT      11   
IX.   WATER LOSS      12   
X.   COMMISSION EVALUATION OF PROPOSED SETTLEMENT      12   
XI.   MISCELLANEOUS PROVISIONS      13   

 

  i   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

PROPOSED SETTLEMENT AGREEMENT OF

GLOBAL WATER UTILITIES RATE CASE

DOCKET NOs. W-01212A-12-309 et al.

The purpose of this Settlement Agreement (“Agreement”) is to settle disputed issues related to Docket Nos. W-01212A-12-0309, SW-20445A-12-0310, W-03720A-12-0311, W-02450A-12-0312, W-02451A-12-0313, W-20446A-12-0314 and W-01732A-12-0315 (collectively, the “Global Rate Dockets”). This Agreement is entered into by the following entities:

STAFF and RUCO

Arizona Corporation Commission Utilities Division (“Staff ”)

Residential Utility Consumer Office (“RUCO”)

Global Applicants

Valencia Water Company, Inc. – Town Division (“Valencia – Town”)

Global Water– Palo Verde Utilities Company (“Palo Verde”)

Water Utility of Northern Scottsdale, Inc. (“Northern Scottsdale”)

Water Utility of Greater Tonopah, Inc. (“Tonopah”)

Valencia Water Company, Inc. – Greater Buckeye Division

    (“Valencia – Buckeye”)

Global Water – Santa Cruz Water Company (“Santa Cruz”)

Willow Valley Water Co., Inc. (“Willow”)

Global Intervenors

Global Water – Picacho Cove Water Company (“Picacho Water”)

Global Water – Picacho Cove Utilities Company (“Picacho Utilities”)

Hassayampa Utilities Company, Inc. (“Hassayampa”)

Global Water Resources, Inc. (“Global Parent”)

Other Intervenors

Province Community Homeowners Association

Rancho El Dorado Phase III Homeowners Association

Cobblestone Farms Homeowners Association

And such other intervenors or parties that may sign on pursuant to Section 11.7 of the proposed Settlement Agreement.

 

  2   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

These entities will be referred to collectively as “Signatories;” a single entity will be referred to individually as a “Signatory.” Santa Cruz, Palo Verde, Valencia – Town, Willow, Valencia – Buckeye, Tonopah, and Northern Scottsdale will be collectively referred to as the “Applicants” or the “Global Water and Wastewater Utilities.” Picacho Water, Picacho Utilities, Hassayampa, and Global Parent will be collectively referred to as the “Global Intervenors,” and the Global Intervenors and the Applicants will be collectively referred to as “Global.”

 

I.

RECITALS.

 

  1.1

The Global Water and Wastewater Utilities each filed a separate rate application on July 9, 2012. Staff filed a letter of sufficiency on October 26, 2012, and by Procedural Order dated November 20, 2012, the applications were deemed sufficient as of November 7, 2012. The November 20, 2012 Procedural Order also established a hearing schedule and consolidated all seven of the Global Rate Dockets. The hearing was subsequently rescheduled by a Procedural Order dated April 30, 2013.

 

  1.2

By Procedural Orders, the following parties were granted intervention in the Global Rate Dockets: RUCO, New World, Maricopa, the Maricopa HOAs, SNR, Willow Club, the Global Intervenors, Steven P. Tardiff, Dana J. Jennings, and Andy and Marilyn Mausser.

 

  1.3

The Global Water and Wastewater Utilities filed a notice of settlement discussions on July 11, 2013, and a revised notice of settlement discussions on July 15, 2013. Settlement discussions began on July 18, 2013, and continued on July 19, 2013. The settlement discussions were open, transparent, and inclusive of all Parties to this Docket who desired to participate. All Parties to this Docket were notified of the settlement discussion process, were encouraged to participate in the negotiations, and were provided with an equal opportunity to participate. Participants in the settlement discussions included Global, Staff, RUCO, Maricopa, the Maricopa HOAs, New World, SNR, and the Willow Club.

 

  1.4

The terms of this Agreement are just, reasonable, fair, and in the public interest in that they, among other things, establish just and reasonable rates for the Global Water and Wastewater Utilities; promote the convenience, comfort and safety, and the preservation of health, of the employees and patrons of the Global Water Utilities; avoid unnecessary litigation expense and delay, and resolve all issues arising from the Global Rate Dockets except the issue of a Distribution System Improvement Charge (“DISC”) type mechanism for Willow. Global is working to provide the necessary information to Staff as soon as possible for a System Improvement Benefit (“SIB”) mechanism so Staff can

 

  3   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

 

complete its review prior to the commencement of the hearing in this matter. Global waives the right to request any acquisition premium for any of its existing systems involved in this docket.

 

  1.5

The Signatories believe that this Agreement balances the interests of both the Global Water and Wastewater Utilities and their customers. These benefits include:

 

  ●

A phase-in of rates with no rate increase in year one of the phase-in for any of the Global Water and Wastewater Utilities;

 

  ●

A rate phase-in for the Santa Cruz and Palo Verde Companies over a period of eight years;

 

  ●

A rate phase-in for Valencia Town, Valencia Buckeye, Willow, and Tonopah over a period of three years;

 

  ●

A phase-in of the rate increases attributable to recovery of expenses in years two and three of the phase-in;

 

  ●

There will be no change in revenue requirement for Northern Scottsdale as a result of this case;

 

  ●

The Global Water and Wastewater Utilities agree to a rate stay-out until May 31, 2016; and if the City of Maricopa signs onto the Agreement, the stay-out will be extended to May 31, 2017 for Santa Cruz and Palo Verde;

 

  ●

Continuing bill assistance for low income customers in existing Global Utilities with such programs, and expansion of the low income bill assistance program into the other Global Utilities;

 

  ●

The rate design will continue to allow customers an opportunity to reduce their bill by providing a rebate when customers use less than the Conservation Rebate Threshold (“CRT”); and

 

  ●

Resolution of issues regarding Infrastructure Coordination and Financing Agreements (“ICFAs”).

 

  1.6

The Signatories agree to ask the Commission: (1) to find that the terms and conditions of this Agreement are just and reasonable and in the public interest, along with any and all other necessary findings, and (2) to approve the Agreement such that it and the rates contained herein may become effective on January 1, 2014.

 

  4   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

TERMS AND CONDITIONS

 

II.

REVENUE REQUIREMENT AND RATE INCREASE PROVISIONS.

 

  2.1

Rate Stay Out Agreement.

 

  2.1.1

None of the Applicants will file a rate application before May 31, 2016. The test year for the next rate application filed by any of the Applicants shall not end before December 31, 2015. However, if the City of Maricopa joins this Agreement as a Signatory, then Santa Cruz and Palo Verde will not file a rate application before May 31, 2017, and the test year for the next rate case for Santa Cruz and Palo Verde may not end before December 31, 2016.

 

  2.2

Rate Increase.

 

  2.2.1

The revenue requirements and rate increases for all years of the phase-in for each of the Global Water and Wastewater Utilities are shown on Attachment A.

 

  2.3

Fair Value Rate Base.

 

  2.3.1

The jurisdictional fair value rate base used to establish the rates agreed to herein for each of the Global Water and Wastewater Utilities is shown on Attachment A. The Global Water and Wastewater Utilities agree to the use of original cost rate base as the fair value rate base for each of the Global Water and Wastewater Utilities for purposes of setting rates in this case.

 

  2.3.2

The rate bases set forth on Attachment A exclude Post Test Year Plant as recommended by Staff, except for the following projects: (1) Palo Verde Lagoon Clean Closure and Conversion Project; (2) Valencia – Town Bales Fill Line; and (3) Valencia - Town Buena Vista Fill Line.

 

  2.4

The rates agreed to herein are based on a test year ending December 31, 2011, with adjustments for known and measurable changes.

 

  2.5

The expense levels agreed to herein are based upon the expense levels recommended by Staff, with the exception of the modified depreciation expense discussed in Section 5.1.

 

  2.6

There will be no change in the revenue requirement for Northern Scottsdale as a result of this case.

 

  4   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

III.

BILL IMPACT AND RATE DESIGN.

 

  3.1

Upon the effective date of the new rates, the monthly bill for a residential customer, with median usage, for each year of the phase-in is shown on Attachment A.

 

  3.2

For the water company Applicants, the rate design includes six tiers and a CRT.1 This follows the rate design approved in Decision No. 71878. The new CRTs will not take effect until January 1, 2015.

 

  3.3

For Palo Verde and Santa Cruz, the recycled and nonpotable water rate will be $1.6380 per 1,000 gallons, to be phased-in over eight years as shown on Attachment A. For the other Global Applicants with no existing recycled or nonpotable customers, the rate shall be $1.6380 per thousand gallons with no phase-in.

 

  3.4

The rate increase for Santa Cruz and Palo Verde will be phased in over eight years in accordance with Section 6.3.2.3. The rates of the remaining Applicants, except Northern Scottsdale, will be phased-in over three years. For all Applicants, there will be no rate increase in the first year. The Applicants waive their right to recover the revenues forgone or lost and carrying costs under the phase-ins.

 

  3.5

Global withdraws its consolidation proposal for the three West Valley Systems.

 

  3.6

Northern Scottsdale revenue requirements are unchanged but the rates shall be redesigned and be implemented with no phase-in.

 

IV.

COST OF CAPITAL.

 

  4.1

Staff’s proposed consolidated capital structure comprised of 57.80% long term debt, 42.20% common equity will be adopted.

 

  4.2

A return on common equity of 9.5% will be adopted.

 

  4.3

An embedded cost of debt of 6.1 % will be adopted.

 

  4.4

A fair value rate of return of 7.5% will be adopted.

 

 

1 The Conservation Rebate is a component of Global’s water utility rate design that promotes water conservation by customers. The Conservation Rebate applies to all customers who use less than the Conservation Rebate Threshold (“CRT”) amount. The CRT amount for each utility is set forth in Settlement Schedule H-3 for each utility. Each Global water utility also has a Conservation Rebate percentage specified in the utility’s Settlement Schedule H-3. For customers that qualify for the Conservation Rebate by using less than the specified CRT amount, the conservation rebate percentage is applied to the otherwise applicable volumetric portion of their bill.

 

  5   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

  4.5

The provisions set forth herein regarding the quantification of cost of capital, fair value rate base, fair value rate of return, and the revenue requirement are made for purposes of settlement only and should not be construed as admissions against interest or waivers of litigation positions related to other or future cases.

 

V.

DEPRECIATION/AMORTIZATION.

 

  5.1

The depreciation and amortization rates proposed by Staff and contained in the Direct Testimony of Staff witness Jian W. Liu will be adopted until further order of the Commission, except that a 10 year life will be used for National Association of Regulatory Utility Commissioners accounts 348 Other Tangible Plant and 398 Other Tangible Plant. The approved depreciation rates are set forth in Attachment A. The reclassifications of assets proposed by Staff (discussed at page 15 in the Direct Testimony of Staff witness Gerald Becker) are adopted.

 

VI.

TREATMENT OF INFRASTRUCTURE COORDINATION AND FINANCE AGREEMENTS.

 

  6.1

General.

 

  6.1.1

The provisions of this Agreement regarding ICFAs are divided into three parts: (1) future ICFAs; (2) treatment of past funds received under existing ICFAs; and (3) treatment of future funds received under existing ICFAs.

 

  6.1.2

Staff and RUCO reserve the right to monitor Global’s compliance with this Settlement Agreement and review all ICFA related transactions in future rate applications that Global files, and take appropriate steps, if necessary, to ensure the continued resolution of the issues regarding ICFAs as set forth in this Agreement.

 

  6.1.3

All future capital requirements will be met with debt, equity, hook-up fees, or through main extension agreements.

 

  6.2

Future ICFAs.

 

  6.2.1

Global agrees that Global Parent (and any and all affiliates of Global Parent) will not enter into any new ICFAs or any other ICFA type agreements. This provision does not prohibit Global Parent from entering into amendments to existing ICFAs from time to time, as long as the amendments do not increase the dollar amount of the ICFA funds to be paid to Global Parent or any of its affiliates. Attachment B is a list of ICFAs or ICFA type agreements entered into by Global as of the date of this Agreement.

 

  6   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

  6.2.2

The Global Water and Wastewater Utilities, Hassayampa, Picacho Water, and Picacho Utilities will establish hook-up fees as set forth in Section VII.

 

  6.2.3

The Global Water and Wastewater Utilities, Hassayampa, Picacho Water, and Picacho Utilities will continue to use main extension agreements in accordance with Commission rules. Any associated funds or infrastructure (or land associated with the infrastructure which is conveyed to Global) used to provide water or wastewater service will be segregated to or owned by the Global Water and Wastewater Utilities, Hassayampa, Picacho Water or Picacho Utilities.

 

  6.3

Past Funds Received Under Existing ICFAs.

 

  6.3.1

The Parties agree as follows with respect to the treatment of past ICFA funds received under existing ICFAs:

 

  6.3.2

The total amounts imputed as Contributions In Aid of Construction (“CIAC”) against the active rate base of Santa Cruz and Palo Verde in accordance with Exhibit B to Decision No. 71878 will be reversed and restored to rate base upon the effective date of the Commission’s order in this docket.

 

  6.3.2.1

The imputed amount to be reversed for Palo Verde is $10,991,128 on a gross basis or $10,323,747 net of amortization.

 

  6.3.2.2

The imputed amount to be reversed for Santa Cruz is $6,600,076 on a gross basis or $6,105,227 net of amortization.

 

  6.3.2.3

The revenue requirement impact of this restoration will be phased in over time (Years 2-8) limiting the impact to customers.

 

  6.3.3

The $32,391,318 attributed to the Southwest Plant Held for Future Use (“PHFFU”) of Santa Cruz and Palo Verde (referred to as excess capacity in Exhibit B of Decision No. 71878) will no longer be reflected as CIAC upon the effective date of the Commission’s order in this docket. (The gross and net CIAC amounts are equal because there has been no amortization associated with this level of CIAC.)

 

  6.3.3.1

The reversal of the $32,391,318 from CIAC Reserve for the Southwest Plant has no impact on rates in this case because this plant is not presently used and useful.

 

  7   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

  6.3.3.2

The Southwest Plant will be treated as PHFFU until it is placed into service, and the Southwest Plant will not be placed into rate base until it is found used and useful by the Commission in a future rate case.

 

  6.3.3.3

In the event that Santa Cruz or Palo Verde seeks, during the phase-in period described in Sections 6.3.2.3 and 1.5, to include the Southwest Plant in rates, they will be limited to seeking inclusion of no more than 12.5% of the $32,391,318 per year, with such calculation beginning January 1, 2014. An additional 12.5% will be phased-in each January 1st thereafter until the full 100% of the aforesaid value of such plant has been determined by the Commission to be suitable for inclusion in rate base in one or more future rate proceedings. Notwithstanding, Santa Cruz and Palo Verde may not seek to include such plant prior to May 31, 2016, the end of the agreed upon stay out period. The amount of Southwest Plant to be included in rate base for rate-making purposes in future rate cases shall be the lesser of the above percentages or the amount of plant determined by the Commission to be used and useful.

 

  6.3.4

The total amounts imputed as CIAC against the active rate base of Tonopah in accordance with Exhibit B to Decision No. 71878 will be reversed and restored to rate base upon the effective date of the Commission’s order in this docket.

 

  6.3.4.1

The imputed amount to be reversed for Tonopah is $7,085,645 on a gross basis or $6,784,409 net of amortization.

 

  6.3.4.2

There will be no revenue impact of this restoration in this case because Tonopah’s rates will be set on an operating margin basis in this case.

 

  6.3.4.3

For purposes of this case, Tonopah’s rates will be set based upon a 10% operating margin. In subsequent rate cases filed within the 8 year phase-in referred to in Section 1.5 and 6.3.2.3 above, the rates for Tonopah will be reviewed from both a rate of return and 10 percent operating margin perspective. The rates will be set based upon whichever method results in the lowest rates for Tonopah customers.

 

  6.3.4.4

In subsequent rate cases filed within the 8 year phase-in referred to above, Tonopah may include no more than

 

  8   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

 

12.5% of the $6,784,409 per year, with such calculation beginning January 1, 2014. An additional 12.5% will be phased-in each January 1st thereafter until the full 100% has been recognized.

 

  6.3.5

The ICFA funds allocated to Hassayampa by Exhibit B to Decision No. 71878 and accounted for as “CIAC Reserve” will be reversed upon the effective date of the Commission’s order in this docket.

 

  6.3.5.1

The imputed amount to be reversed for Hassayampa is $2,140,455 (the gross and net CIAC amounts are equal because there has been no amortization.)

 

  6.3.5.2

Hassayampa has no customers and no rate base; and its rates will remain unchanged at this time.

 

  6.3.6

The $8,897,600 in ICFA funds received since December 31, 2008, the test year of the last Global Water and Wastewater Utilities rate case through December 31, 2012, will not be imputed or treated as CIAC.

 

  6.4

Future ICFA Fees Received Under Existing ICFAs.

 

  6.4.1

ICFA fees received after December 31, 2013, will be handled as follows: a portion of funds received by Global Parent will be paid to the associated utility as a hook-up fee (“HUF”) to be established in accordance with this Agreement, and the remaining portion of the funds will be available to Global Parent for use pursuant to the provisions of the applicable ICFA.

 

  6.4.2

For amounts due after the effective date of the Commission’s order in this docket, Global Parent will agree to accept separate checks for the ICFA fees owed, as follows: (1) a check payable to the applicable water utility in the amount of the water HUF; (2) a check payable to the applicable wastewater utility in the amount of the wastewater HUF; and (3) a check payable to Global Parent for the remainder of the ICFA fee.

 

  6.4.2.1

However, if only one check is received (regardless of the payee) for an ICFA payment, Global Parent will immediately pay the required HUFs to the applicable water and wastewater utilities out of the fees received in the check, with the remaining funds going to Global Parent in accordance with Section 6.4.4. Global Parent is prohibited from using HUF monies for any purpose. The Global Utilities and Global Intervenors shall use the

 

  9   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

 

HUF monies solely for the purposes set forth in the Commission approved HUF tariffs.

 

  6.4.3

The Global Parent portion (ICFA Fee minus HUFs) is to be used only in accordance with the terms of the applicable ICFA.

 

  6.4.4

Because all the ICFA fees due for each Equivalent Dwelling Unit (“EDU”) are not due at the same time, it is necessary to allocate any payment received between the HUF and the portion of the payment which will go to Global Parent. The Signatories agree that each payment received under the ICFA shall be allocated on the following basis: 70% of the payment shall go toward payment of the HUF and the remaining payment shall be allocated to Global Parent. However, regardless of the timing of payments that may be required for any particular ICFA, Global Parent shall be responsible for ensuring that the entire HUF is paid no later than the time the ICFA payment is received for: (1) final plat, (2) the start work date, or (3) the date required by the HUF tariffs, whichever is earliest. When constructing facilities required under a HUF or ICFA, Global Utilities shall first use the HUF moneys received, and only after those funds are spent, shall it use debt or equity financing.

 

  6.4.5

All ICFA fees that are not otherwise accounted for under this Agreement, will be treated in accordance with Section 6.4.1. This shall not apply to past due amounts due prior to December 31, 2012, that otherwise would have been paid under the existing ICFA. These shall be treated in accordance with Section 6.3.6.

 

VII.

HOOK-UP FEES.

 

  7.1

The Global Water and Wastewater Utilities, Hassayampa, Picacho Water, and Picacho Utilities will establish hook-up fees in the following amounts:

 

  7.1.1

Santa Cruz: $1,250

 

  7.1.2

Palo Verde: $1,250

 

  7.1.3

Picacho Water: $1,250

 

  7.1.4

Picacho Utilities: $1,250

 

  7.1.5

Valencia – Town: $1,750

 

  7.1.6

Valencia – Greater Buckeye: $1,750

 

  10   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

  7.1.7

Tonopah: $1,750

 

  7.1.8

Willow: $1,750

 

  7.1.9

Northern Scottsdale: $1,750

 

  7.1.10

Hassayampa: $1,750

 

  7.2

The HUF will be in the form of Staff’s standard HUF appended hereto as Attachment C. In the case of the Applicants, the HUF tariffs will take effect upon the effective date of the Commission’s order in these consolidated dockets. In the case of Picacho Water, Picacho Utilities, and Hassayampa, those utilities will file, within 30 days of a Commission Decision in this case, separate applications for a HUF tariff for the amounts described in Section 7.1.

 

  7.3

As required in Staff’s standard form HUF tariff, each Global water and wastewater utility will maintain a separate, segregated bank account for all funds received under the HUF tariff and file annual reports as outlined in the tariffs. The HUF funds may only be used by the Global water and wastewater utilities for the purposes specified in the HUF tariff. Global’s Chief Executive Officer or Chief Financial Officer shall be required to file an affidavit annually which states that the conditions of this paragraph have been met.

 

VIII.

TARIFFS AND CODE OF CONDUCT.

 

  8.1

The Global Water Utilities’ existing low income tariff will remain in effect, and will apply to Northern Scottsdale upon the effective date of the Commission’s order in these consolidated dockets.

 

  8.2

The Central Arizona Groundwater Replenishment District (“CAGRD”) adjustor mechanism discussed in the Direct Testimony of Global Utilities’ witness Ron Fleming (pages 13-18) and Staff witness Becker (page 27) will be approved subject to the same requirements of the adjustor mechanism approved for Johnson Utilities, L.L.C. in Decision No. 71854 pages 38-44 and appended hereto as Attachment D.

 

  8.3

The Global Water and Wastewater Utilities agree to withdraw their request to eliminate their BMP tariffs. Northern Scottsdale agrees to file a BMP tariff in accordance with the Direct Testimony of Staff witness Liu.

 

  8.4

The Signatories agree to the Global Water and Wastewater Utilities’ Terms and Conditions tariff (Attachment 4 to the Direct Testimony of Mr. Fleming), as modified by Staff, in Attachment E.

 

  11   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

  8.5

The Global Water and Wastewater Utilities shall file revised tariffs reflecting all of the changes discussed in this agreement within 30 days from the date of the Commission’s decision in this matter. A list of revised tariffs that the Applicants will file for each of the Global Utilities is attached as Attachment F.

 

  8.6

The Global Water and Wastewater Utilities agree to withdraw their request for an Individual Case Basis (“ICB”) tariff.

 

  8.7

The Global Water and Wastewater Utilities will work with Staff to adopt a Code of Conduct to apply to transactions that are between or involve the Applicants and their unregulated affiliates and to assure confidential treatment of customer specific information including water and wastewater usage information. This Code of Conduct shall include, at a minimum, the recommendations of Staff Witness Armstrong on page 34 of his Direct Testimony as well as measures designed to ensure that the Global Utilities are independent and stand-alone entities separate and apart from the Global Parent and its other unregulated affiliates and that all transactions between these entities are on an arms-length basis. The Applicants shall file the agreed upon Code of Conduct by May 2, 2014.

 

IX.

WATER LOSS.

 

  9.1

The Global Water Utilities agree to file the water loss reports recommended in the Direct Testimony of Staff witness Mr. Liu.

 

X.

COMMISSION EVALUATION OF PROPOSED SETTLEMENT.

 

  10.1

All currently filed testimony and exhibits will be offered into the Commission’s record as evidence.

 

  10.2

The Signatories recognize that Staff does not have the power to bind the Commission. For purposes of proposing a settlement agreement, Staff acts in the same manner as any party to a Commission proceeding.

 

  10.3

This Agreement will serve as a procedural device by which the Signatories will submit their proposed settlement of the Global Rate Dockets to the Commission.

 

  10.4

The Signatories recognize that the Commission will independently consider and evaluate the terms of this Agreement. If the Commission issues an order adopting all material terms of this Agreement, such action will constitute Commission approval of the Agreement. Thereafter, the Signatories will abide by the terms as approved by the Commission.

 

  12   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

  10.5

If the Commission fails to issue an order adopting all material terms of this Agreement, any or all of the Signatories may withdraw from this Agreement, and such Signatory or Signatories may pursue without prejudice their respective remedies at law. For purposes of this Agreement, whether a term is material will be left to the discretion of the Signatory choosing to withdraw from the Agreement. If a Signatory withdraws from the Agreement pursuant to this paragraph and files an application for rehearing, the other Signatories, except for Staff, will support the application for rehearing by filing a document with the Commission that supports approval of the Agreement in its entirety. Staff will not be obligated to file any document or take any position regarding the withdrawing Signatory’s application for rehearing.

 

XI.

MISCELLANEOUS PROVISIONS.

 

  11.1

This case has attracted participants with widely diverse interests. To achieve consensus for settlement, many participants are accepting positions that, in any other circumstances, they would be unwilling to accept. They are doing so because this Agreement, as a whole, is consistent with their long-term interests and with the broad public interest. The acceptance by any Signatory of a specific element of this Agreement will not be considered as precedent for acceptance of that element in any other context.

 

  11.2

No Signatory is bound by any position asserted in negotiations, except as expressly stated in this Agreement. No Signatory will offer evidence of conduct or statements made in the course of negotiating this Agreement before this Commission, any other regulatory agency, or any court.

 

  11.3

Neither this Agreement nor any of the positions taken in this Agreement by any of the Signatories may be referred to, cited, and/or relied upon as precedent in any proceeding before the Commission, any other regulatory agency, or any court for any purpose except to secure approval of this Agreement and enforce its terms.

 

  11.4

To the extent any provision of this Agreement is inconsistent with any existing Commission order, rule, or regulation, this Agreement will control.

 

  11.5

Each of the terms of this Agreement is in consideration of all other terms of this Agreement. Accordingly, the terms are not severable.

 

  11.6

The Signatories will make reasonable and good faith efforts necessary to obtain a Commission order approving this Agreement. The Signatories will support and defend this Agreement before the Commission. Subject to Paragraph 10.5 above, if the Commission adopts an order approving all material terms of the Agreement, the Signatories will support and

 

  13   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

 

defend the Commission’s order before any court or regulatory agency in which it may be at issue.

 

  11.7

This Agreement may be executed in any number of counterparts and by each Signatory on separate counterparts, each of which when so executed and delivered will be deemed an original and all of which taken together will constitute one and the same instrument. This Agreement may also be executed electronically or by facsimile. Further, any party to the Global Rate Dockets may join in this Settlement Agreement as a Signatory by filing a signed signature page for that party with the Commission’s Docket Control in the Global Rate Dockets listed above.

 

GLOBAL WATER – PALO VERDE

UTILITIES COMPANY

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

GLOBAL WATER – SANTA CRUZ

WATER COMPANY

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

VALENCIA WATER COMPANY – TOWN DIVISION

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

VALENCIA WATER COMPANY –

GREATER BUCKEYE DIVISION

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

 

  14   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

WATER UTILITY OF GREATER

TONOPAH, INC.

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

WILLOW VALLEY WATER CO., INC.

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

WATER UTILITY OF NORTHERN SCOTTSDALE, INC.

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

GLOBAL WATER – PICACHO COVE

UTILITIES COMPANY

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

GLOBAL WATER – PICACHO COVE

WATER COMPANY

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

HASSAYAMPA UTILITIES COMPANY,

INC.

By:

  

/s/ Ron L. Fleming

Name:

  

Ron L. Fleming

Its:

  

President

 

 

  15   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLOBAL WATER RESOURCES, INC.
By:   /s/ Ron L. Fleming
Name:   Ron L. Fleming
Its:   President
ARIZONA CORPORATION COMMISSION UTILITIES DIVISION
By:    
Name:    
Its:    

RESIDENTIAL UTILITY CONSUMER

OFFICE

By:    
Name:    
Its:    
CITY OF MARICOPA
By:    
Name:    
Its:    
WILLOW VALLEY CLUB ASSOCIATION
By:    
Name:    
Its:    
NEW WORLD PROPERTIES, INC.
By:    
Name:    
Its:    

 

  16   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLOBAL WATER RESOURCES, INC.

By:

    

Name:

    

Its:

    

 

ARIZONA CORPORATION COMMISSION
UTILITIES DIVISION

By:

    

Name:

    

Its:

    

 

RESIDENTIAL UTILITY CONSUMER
OFFICE

By:

    

Name:

    

Its:

    

 

CITY OF MARICOPA

By:

  

/s/ Christian Price

Name:

  

Christian Price

Its:

  

Mayor

 

WlLLOW VALLEY CLUB ASSOCIATION

By:

    

Name:

    

Its:

    

 

NEW WORLD PROPERTIES, INC.

By:

    

Name:

    

Its:

    

 

  16   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLOBAL WATER RESOURCES, INC.

By:

    

Name:

    

Its:

    

 

ARIZONA CORPORATION COMMISSION
UTILITIES DIVISION

By:

  

/s/ Steve Olea

Name:

  

Steve Olea

Its:

  

Director

 

RESIDENTIAL UTILITY CONSUMER OFFICE

By:

  

/s/ Patrick J Quinn

Name:

  

Patrick J Quinn

Its:

  

Executive Director

 

CITY OF MARICOPA

By:

    

Name:

    

Its:

    

 

WILLOW VALLEY CLUB ASSOCIATION

By:

    

Name:

    

Its:

    

 

NEW WORLD PROPERTIES, INC.

By:

    

Name:

    

Its:

    

 

  16   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

SIERRA NEGRA RANCH, LLC

By:

    

Name:

    

Its:

    

 

ACACIA CROSSINGS HOMEOWNERS ASSOCIATION

By:

    

Name:

    

Its:

    

 

ALTERRA HOMEOWNERS
ASSOCIATION

By:

    

Name:

    

Its:

    

 

COBBLESTONE FARMS HOMEOWNERS ASSOCIATION

By:

  

/s/ Ryan Atwood

Name:

  

Ryan Atwood

Its:

  

President

 

DESERT CEDARS HOMEOWNERS ASSOCIATION

By:

    

Name:

    

Its:

    

 

DESERT PASSAGE COMMUNITY ASSOCIATION

By:

    

Name:

    

Its:

    

 

  17   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

SIERRA NEGRA RANCH, LLC
By:    
Name:    
Its:    

 

ACACIA CROSSINGS HOMEOWNERS ASSOCIATION
By:   /s/ Chris Eldridge
Name:   Chris Eldridge
Its:   President

 

ALTERRA HOMEOWNERS
ASSOCIATION
By:    
Name:    
Its:    

 

COBBLESTONE FARMS HOMEOWNERS ASSOCIATION
By:    
Name:    
Its:    

 

DESERT CEDARS HOMEOWNERS ASSOCIATION
By:    
Name:    
Its:    

 

DESERT PASSAGE COMMUNITY ASSOCIATION
By:    
Name:    
Its:    

 

  17   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

SIERRA NEGRA RANCH, LLC
By:  

 

Name:  

 

Its:  

 

ACACIA CROSSINGS HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

ALTERRA HOMEOWNERS ASSOCIATION
By:  

/s/ Deborah A Cadue

Name:  

Deborah A Cadue

Its:  

President

COBBLESTONE FARMS HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

DESERT CEDARS HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

DESERT PASSAGE COMMUNITY ASSOCIATION
By:  

 

Name:  

 

Its:  

 

 

  17   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

SIERRA NEGRA RANCH, LLC

By:

  

 

Name:

  

 

Its:

  

 

 

ACACIA CROSSINGS HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

ALTERRA HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

COBBLESTONE FARMS HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

DESERT CEDARS HOMEOWNERS ASSOCIATION

By:

  

/s/ Linda Huggins

Name:

  

Linda Huggins

Its:

  

President

 

DESERT PASSAGE COMMUNITY ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

  17   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLENNWILDE HOMEOWNERS’ ASSOCIATION
By:    
Name:    
Its:    
HOMESTEAD NORTH HOMEOWNERS ASSOCIATION
By:   /s/ Michael Forsum
Name:   Michael Forsum
Its:   President
MARICOPA MEADOWS HOMEOWNERS ASSOCIATION
By:    
Name:    
Its:    
PROVINCE COMMUNITY ASSOCIATION
By:    
Name:    
Its:    
RANCHO EL DORADO HOMEOWNERS ASSOCIATION
By:    
Name:    
Its:    
RANCHO EL DORADO PHASE III HOMEOWNERS ASSOCIATION
By:    
Name:    
Its:    

 

  18   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLENNWILDE HOMEOWNERS’ ASSOCIATION
By:  

/s/ Michelle Yerger

Name:  

Michelle Yerger

Its:  

VP - Board of Directors

HOMESTEAD NORTH HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

MARICOPA MEADOWS HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

PROVINCE COMMUNITY ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

RANCHO EL DORADO HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

RANCHO EL DORADO PHASE III HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

  18   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLENNWILDE HOMEOWNERS’ ASSOCIATION
By:  

 

Name:  

 

Its:  

 

HOMESTEAD NORTH HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

MARICOPA MEADOWS HOMEOWNERS ASSOCIATION

By:

  

/s/ Eric Schmidt

Name:

  

Eric Schmidt

Its:

  

President

PROVINCE COMMUNITY ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

RANCHO EL DORADO HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

RANCHO EL DORADO PHASE III HOMEOWNERS ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

  18   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLENNWILDE HOMEOWNERS’ ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

HOMESTEAD NORTH HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

MARICOPA MEADOWS HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

PROVINCE COMMUNITY ASSOCIATION
By:  

 

Name:  

 

Its:  

 

RANCHO EL DORADO HOMEOWNERS ASSOCIATION
By:  

/s/ Ken Edwards

Name:  

Ken Edwards

Its:  

President

RANCHO EL DORADO PHASE III HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

 

  18   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

GLENNWILDE HOMEOWNERS’ ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

HOMESTEAD NORTH HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

MARICOPA MEADOWS HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

PROVINCE COMMUNITY ASSOCIATION
By:  

/s/ Lori L. Crabtree

Name:  

Lori L. Crabtree

Its:  

HOA President

RANCHO EL DORADO HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

RANCHO EL DORADO PHASE III HOMEOWNERS ASSOCIATION
By:  

/s/ Lori L. Crabtree

Name:  

Lori L. Crabtree

Its:  

HOA President

 

  18   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

RANCHO MIRAGE MASTER PLANNED COMMUNITY HOMEOWNERS ASSOCIATION
By:  

 

Name:  

 

Its:  

 

SENITA COMMUNITY ASSOCIATION
By:  

 

Name:  

 

Its:  

 

SORRENTO COMMUNITY MASTER ASSOCIATION

By:

  

 

Name:

  

 

Its:

  

 

 

  19   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

RANCHO MIRAGE MASTER PLANNED COMMUNITY HOMEOWNERS ASSOCIATION
By:  

/s/ Chris Barr

Name:  

Chris Barr

Its:  

President

SENITA COMMUNITY ASSOCIATION
By:  

 

Name:  

 

Its:  

 

SORRENTO COMMUNITY MASTER ASSOCIATION
By:  

 

Name:  

 

Its:  

 

 

  19   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

RANCHO MIRAGE MASTER PLANNED COMMUNITY HOMEOWNERS

ASSOCIATION

By:  

 

Name:  

 

Its:  

 

SENITA COMMUNITY ASSOCIATION
By:  

/s/ Roderick C Campbell

Name:  

Roderick C Campbell

Its:  

President

SORRENTO COMMUNITY MASTER ASSOCIATION
By:  

 

Name:  

 

Its:  

 

 

  19   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

PROPOSED SETTLEMENT AGREEMENT OF RATE ADJUSTMENT APPLlCATIONS

DOCKET NOS. W-01212A-12-0309 et al.

August 12, 2013

 

RANCHO MIRAGE MASTER PLANNED COMMUNITY HOMEOWNERS

ASSOCIATION

By:  

 

Name:  

 

Its:  

 

SENITA COMMUNITY ASSOCIATION
By:  

 

Name:  

 

Its:  

 

SORRENTO COMMUNITY MASTER ASSOCIATION
By:  

/s/ Holly James

Name:  

Holly James

Its:  

 

 

  19   DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

ATTACHMENT A

 

    DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT A

Valencia Water Company, Inc. – Town Division

Schedules

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division    Settlement A-1                  
W-01212A-12-0309   
Test Year Ended December 31, 2011   

REVENUE REQUIREMENT

 

LINE

NO.

  

DESCRIPTION

  

(A)

COMPANY

ORIGINAL

COST

        

(B)

COMPANY

FAIR

VALUE

        

(C)

SETTLEMENT

ORIGINAL

COST

        

(D)

SETTLEMENT

FAIR

VALUE

       
                 
1   Adjusted Rate Base   $ 2,323,475         $ 2,323,475          $ 2,251,949          $ 2,251,949      
                 
2   Adjusted Operating Income (Loss)   $ (263,809)        $ (263,809)         $ 17,649          $ 17,649      
                 
3   Current Rate of Return (L2 / L1)     -11.35%          -11.35%          0.78%          0.78%     
                 
4   Required Rate of Return     10.27%          10.27%          7.50%          7.50%     
                 
5   Required Operating Income (L4 * L1)   $ 238,621         $ 238,621          $ 168,896          $ 168,896      
                 
6   Operating Income Deficiency (L5 - L2)   $ 502,430         $ 502,430          $ 151,247          $ 151,247      
                 
7   Gross Revenue Conversion Factor     1.6389           1.6389           1.6698           1.6698      
                 
8   Required Revenue Increase (L7 * L6)   $ 823,424         $ 823,424          $ 252,554          $ 252,554      
                 
9   Adjusted Test Year Revenue   $ 4,940,316         $ 4,940,316          $ 4,940,316          $ 4,940,316      
                 
10   Proposed Annual Revenue (L8 + L9)   $   5,763,740         $   5,763,740          $     5,192,870          $         5,192,870      
                 
11   Required Increase in Revenue (%)     16.67%          16.67%          5.11%          5.11%     
                 
12   Rate of Return on Common Equity (%)     11.44%          11.44%          9.50%          9.50%     
 

 

References:

                
  Column [A]: Company Schedule A-1                
  Column (B): Company Schedule A-1                
  Column (C): Company Schedules A-1, A-2, & D-1                
  Column (C): Settlement Schedules GRCF, B-1, and C-1    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division             Schedule: A-1a
W-01212A-12-0309     Settlement Phase In
Test Year Ended December 31, 2011  

REVENUE PHASE IN PER SETTLEMENT

 

   

     Year     

   

Revenue Increase

  

(Relative

to Test

Year)         

     

Revenue Increase

(Relative

to

Previous

Year)         

  
       
 

2014                  

      -                             -                       
       
 

2015                  

      126,277                         126,277                   
       
 

2016                   

      252,554                         126,277                   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division    Settlement Gross Revenue Conversion Factor
W-01212A-12-0309    GRCF
Test Year Ended December 31, 2011   

GROSS REVENUE CONVERSION FACTOR

 

LINE

NO.

     DESCRIPTION   (A)     (B)     (C)      
 

 

Calculation of Gross Revenue Conversion Factor:

        
  1       Revenue                         100.0000%         
  2       Uncollecible Factor (Line 11)     0.4052%         
  3       Revenues (L1 - L2)     99.5948%         
  4       Combined Federal and State Income Tax and Property Tax Rate (Line 23)     39.7078%         
  5       Subtotal (L3 - L4)     59.8870%         
  6       Revenue Conversion Factor (L1 / L5)     1.669812         
 

 

Calculation of Uncollecttible Factor:

        
  7       Unity     100.0000%         
  8       Combined Federal and State Tax Rate (Line 17)     38.5989%         
  9       One Minus Combined Income Tax Rate (L7 - L8)     61.4011%         
  10       Uncollectible Rate     0.6600%         
  11       Uncollectible Factor (L9 * L10)                   0.4052%       
 

 

Calculation of Effective Tax Rate:

        
  12       Operating Income Before Taxes (Arizona Taxable Income)     100.0000%         
  13       Arizona State Income Tax Rate     6.9680%         
  14       Federal Taxable Income (L12 - L13)     93.0320%         
  15       Applicable Federal Income Tax Rate (Line 44)     34.0000%         
  16       Effective Federal Income Tax Rate (L14 x L15)     31.6309%         
  17       Combined Federal and State Income Tax Rate (L13 +L16)       38.5989%       
 

 

Calculation of Effective Property Tax Factor

        
  18       Unity     100.0000%         
  19       Combined Federal and State Income Tax Rate (L17)     38.5989%         
  20       One Minus Combined Income Tax Rate (L18-L19)     61.4011%         
  21       Property Tax Factor (ADJ 7, L25)     1.8060%         
  22       Effective Property Tax Factor (L20 * L21)       1.1089%             
  23       Combined Federal and State Income Tax and Property Tax Rate (L17+L22)                       39.7078%     
               
  24      

 

Required Operating Income (ScheduleA-1, Line 5)

   $ 168,896          
  25       AdjustedTest Year Operating Income (Loss) (Schedule C-1, Line 36)   $ 17,649          
  26       Required Increase in Operating Income (L24 - L25)     $ 151,247        
  27      

 

Income Taxes on Recommended Revenue (Col. (C), L48)

   $ 56,626          
  28       Income Taxes on Test Year Revenue (Col. (A), L48)   $ (38,453)         
  29       Required Increase in Revenue to Provide for Income Taxes (L27 - L28)     $ 95,079        
  30      

 

Required Revenue Increase (Schedule A-1, Line 8)

   $ 252,554          
  31       Uncollectible Rate (Line 10)     0.6600%         
  32       Uncollectible Expense on Recommended Revenue (L30 * L31)   $ 1,667          
  33       Adjusted Test Year Uncollectible Expense - N/A   $ -              
  34       Required Increase in Revenue to Provide for Uncollectible Exp.     $ 1,667        
  35      

 

Property Tax with Recommended Revenue (ADJ 7, Line 21)

   $ 278,241          
  36       Property Tax on Test Year Revenue (ADJ 7, Col A, L19)   $ 273,680          
  37       Increase in Property Tax Due to Increase in Revenue (L35-L36)     $

 

 4,561 

 

   

 

    
  38       Total Required Increase in Revenue (L26 + L29 + L34+ L37)     $ 252,554        
               
          (A)    

 

(B)

     (C)    
          Test Year          

Settlement

 Recommended

    
  Calculation of Income Tax:                    
  39       Revenue (Schedule C 1)   $ 4,940,316         $ 5,192,870      
  40       Operating Expenses Excluding Income Taxes   $ 4,961,119         $ 4,967,347      
  41       Synchronized Interest (L53)   $ 78,818         $ 78,818      
  42       Arizona Taxable Income (L39 - L40 - L41)   $ (99,622)        $ 146,704      
  43       Arizona State Income Tax Rate     6.9680%          6.9680%     
  44       Arizona Income Tax (L42 x L43)   $ (6,942)        $ 10,222      
  45       Federal Taxable Income (L42 - L44)   $ (92,680)        $ 136,482      
  46       Federal Tax   $ (31,511)        $ 46,404      
  47       Total Federal Income Tax   $ (31,511)        $ 46,404      
  48       Combined Federal and State Income Tax (L43 + L47)   $ (38,453)        $ 56,626      
  50      

 

Effective Tax Rate

        
 

 

Calculation of Interest Synchronization:

       N/A       
  51       Rate Base (Schedule B-1)       $ 2,251,949      
  52       Weighted Average Cost of Debt         3.5000%     
  53       Synchronized Interest (L50 X L51)       $ 78,818      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Valencia Water Company, Town Division   
W-01212A-12-0309    Settlement B-1
Test Year Ended December 31, 2011   

RATE BASE - ORIGINAL COST

 

LINE

NO.

       

(A)

COMPANY

AS

FILED

    

(B)

    

SETTLEMENT

ADJUSTMENTS

    

(C)

SETTLEMENT

AS

ADJUSTED

  

1

   Plant in Service      $         53,624,734          $             (71,526)         $       53,553,208     

2

  

Less: Accumulated Depreciation

      9,419,952          -              9,419,952     
    

 

 

    

 

 

    

 

 

  

3

   Net Plant in Service      $ 44,204,782          $ (71,526)         $ 44,133,256     
    

 

 

    

 

 

    

 

 

  
  LESS:       

4

   Contributions in Aid of Construction (CIAC)      $ 1,860,537          $ -              $ 1,860,537     

5

     Less: Accumulated Amortization      272,596          -              272,596     
    

 

 

  

6

        Net CIAC      1,587,941          -              1,587,941     

7

   Advances in Aid of Construction (AIAC)      39,299,151          -              39,299,151     

8

   Imputed Reg AIAC      -             

9

   Imputed Reg CIAC      -              -              -         

10

   Accumulated Deferred Income Tax Credits      1,159,524          -             
 1,159,524  
   
  Customer Meter Deposits      395,015            395,015     
  ADD:       

11

   Accumulated Deferred Income Tax Debits      560,324          -              560,324     

12

   Cash Working Capital      -              -              -         

13

   Prepayments      -              -              -         
       -             

14

   Supplies Inventory      -              -              -         

15

   Projected Capital Expenditures      -              -              -         

16

   Deferred Debits      -              -              -         

17

   Purchase Wastewater Treatment Charges      -              -           

18

       Original Cost Rate Base      $ 2,323,475          $ (71,526)         $ 2,251,949     
    

 

 

    

 

 

    

 

 

  
 

References:

Column (A), Company Schedule B-2

Column (B): Schedule B-2

Column (C): Column (A) + Column (B)

       

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Valencia Water Company, Town Division    Settlement B-2
W-01212A-12-0309   
Test Year Ended December 31, 2011   

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

                  [A]     [B]     [C]     [C]  

LINE

NO.

    

       

ACCT.

NO.

    

   

DESCRIPTION

    

  

COMPANY

AS FILED

    

Post Test
Year Plant
ADJ #1

        B-2a        

   

Reclassification

    

ADJ #2

Per Staff Testimony

    

SETTLEMENT

ADJUSTED

  
     PLANT IN SERVICE:         

1

      303      Land and Land Rights    $ 150,432        $ -          $ -           $ 150,432     

2

  

  

    304      Structures and Improvements     1,037,614            1,037,614     

3

      307      Wells and Springs     1,859,615            1,859,615     

4

      309      Supply Mains     46,790            46,790     

5

      310      Power Generation Equipment     67,508            67,508     

6

      311      Pumping Equipment     8,217,566            8,217,566     

7

      320      Water Treatment Equipment     4,091,843          (4,091,843)         -     

8

      320.1            Water Treatment Plant         4,091,843          4,091,843     

9

      320.2     Solution Chemical Feeders           -     

10

      330      Distribution Reservoirs and Standpipes     4,800,409          (4,800,409)         -     

11

      330.1     Storage Tanks         4,255,136          4,255,136     

12

      330.2     Pressure Tanks         545,273          545,273     

13

      331      Transmission and Distribution Mains     21,453,994            21,453,994     

14

      333      Services     3,278,935            3,278,935     

15

      334      Meters and Meter Installations     1,470,247            1,470,247     

16

      335      Hydrants     1,981,787            1,981,787     

17

      336      Backflow Prevention Devices     13,916            13,916     

18

      339   

  Other Plant and Miscellaneous Equipment

     177,934            177,934     

19

      340      Office Furniture and Equipment     50,956            50,956     

20

      341      Transportation Equipment     319,350            319,350     

21

      343      Tools, Shop and Garage Equipment     94,283            94,283     

22

      344      Laboratory Equipment     42,598            42,598     

23

      345      Power Operated Equipment     61,507            61,507     

24

      346      Communication Equipment     790,032            790,032     

25

      347      Miscellaneous Equipment     17,310            17,310     

26

      348      Other Tangible Plant     3,597,358        (71,526)           3,525,832     

27

      390      Office Furniture     2,753            2,753     
       

 

    

 

 

    

 

 

  

28

      Total Plant in Service     53,624,734        (71,526)         (0)         53,553,208     
         

 

 

    

 

 

    

 

 

  

29

           

30

      Accumulated Depreciation     9,419,952        -                9,419,952     
         

 

 

  

31

      Net Plant in Service     $     44,204,782        $     (71,526)         $ (0)         $      44,133,256     

32

           

33

      LESS:         

34

      Contributions in Aid of Construction (CIAC)     $ 1,860,537          $ -              $ 1,860,537     

35

         Less: Accumulated Amortization     272,596        -                272,596     
         

 

 

    

 

 

    

 

 

  

36

           Net CIAC (L63 - L64)     1,587,941        -              -              1,587,941     

37

      Advances in Aid of Construction (AIAC)     39,299,151        -              -              39,299,151     

38

      Imputed Reg Advances     -            -              -              -         

39

      Imputed Reg CIAC        -              -              -         

40

      Accumulated Deferred Income Tax Credits     1,159,524            1,159,524     

41

       Customer Meter Deposits     395,015            395,015     

42

      ADD:            -         

43

      Accumulated Deferred Income Tax Debits     560,324            560,324     

44

      Working Capital Allowance            -         

51

      Original Cost Rate Base     $ 2,323,475        $ (71,526)         $ (0)         $ 2,251,949     
         

 

 

    

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division     
W-01212A-12-0309    Settlement B-2a  
Test Year Ended December 31, 2011    Post Test Year Plant  

RATE BASE ADJUSTMENT #1 POST TEST YEAR PLANT

 

                               [A]           [B]         [C]  
                               COMPANY                     SETTLEMENT  
    LINE       ACCT                  AS           SETTLEMENT         AS  
     NO.       NO.                           Description          FILED                  ADJUSTMENTS                ADJUSTED  
 

1

  

        

   348            Other Tangible Plant        71,526          (71,526)             -     
          Disallowed PTYP             
         

 

            
          SVWDC Optimization      $    71,526               
            

 

 

            
               $ 71,526               

References:

Column [A] : Disallowed Amount reflected in Acct. 348, PTYP, Per Co Schedule B-2.1

Column [B] , Col [C] less Col [A]

Column [C] , Per Staff testimony GWB and Engineering testimony

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division    Settlement C-1
W-01212A-12-0309   
Test Year Ended December 31, 2011   

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

        

[A]

    

   

[B]

    

   

[C]

SETTLEMENT

    

[D]

    

   

[E]

    

 
         COMPANY     SETTLEMENT     TEST YEAR     SETTLEMENT        
LINE        TEST YEAR     TEST YEAR     AS     RECOMMENDED     SETTLEMENT  
NO.    DESCRIPTION   AS FILED     ADJUSTMENTS     ADJUSTED     CHANGES     RECOMMENDED  
       $ -              $ -              $ -              $ 252,554          $ 252,554     

1

      461 Metered Water Revenue     4,803,374          -              4,803,374          -              4,803,374     

2

      460 Unmetered Water Revenue     -                -             

3

      474 Other Water Revenues     136,942          -              136,942          -              136,942     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

4

    Total Operating Revenues     $ 4,940,316          $ -              $ 4,940,316          $ 252,554          $ 5,192,870     

5

   

  601 Salary and Wages - Employees

     $ 893,501          $ (39,959)         $ 853,542          $ -              $ 853,542     

6

      610 Purchased Water     269          -              269          -              269     

7

      615 Purchased Power     464,076          (12,401)         451,675          -              451,675     

8

      618 Chemicals     33,613          (898)         32,715          -              32,715     

9

      620 Materials and Supplies     79,398          (22,096)         57,302          -              57,302     

10

      621 Office Supplies and Expense     62,865          -              62,865          -              62,865     

11

      630 Outside Services     531,316          (153,707)         377,609          -              377,609     

12

      635 Contractual Services - Testing     14,571          -              14,571          -              14,571     

13

      636 Contractual Services - Other     -              -              -              -              -           

14

      641 Rental of Building/Real Propert     43,412          -              43,412          -              43,412     

15

      650 Transportation Expenses     88,775          -              88,775            88,775     

16

      657 Insurance - General Liability     33,142          -              33,142          -              33,142     

17

      659 Insurance - Other     5,460          -              5,460          -              5,460     

18

      666 Regulatory Commission Expen     35,298          (17,362)         17,936          -              17,936     

19

      670 Bad Debt Expense     30,898          1,708          32,606          1,667          34,273     

20

      675 Miscellaneous Expenses     79,463          -              79,463          -              79,463     

21

      403 Depreciation Expense     2,832,046          (247,436)         2,584,610            2,584,610     

22

      403 Depreciation Expense – CIAC     (63,825)         -              (63,825)           (63,825)    

23

      408 Taxes Other Than Income     15,312          -              15,312          -              15,312     

24

      408.11 Taxes Other Than Income -     273,680          -              273,680          4,561          278,241     

25

      409 Income Taxes     (249,144)         210,691          (38,453)         95,079          56,626     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

26

    Total Operating Expenses     5,204,124          (281,458)         4,922,666          101,307          5,023,973     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

27

    Operating Income (Loss)     $        (263,809)         $       281,458          $         17,649          $         151,247          $         168,896     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  

References:

Column (A): Company Schedule C-1

Column (B): Schedule C 2

Column (C): Column (A) + Column (B)

Column (D): Schedules GRCF, Lines 29, 34 and 37

Column (E): Column (C) + Column (D)

  

  

  

  

  

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Settlement C-2

Global Water - Valencia Water Company, Town Division

W-01212A-12-0309

Test Year Ended December 31, 2011

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

        [A]     [B]     [C]     [D]     [E]     [F]     [E]     [H]  

LINE

 NO.

 

  

DESCRIPTION

 

  

COMPANY

AS FILED

    

Excess

Water Loss

ADJ #1

 

    

Bad Debts

Exp

ADJ #2

 

    

Rate Case

Exp

ADJ #3

 

    

Expense

Normalizations

ADJ #4

 

    

Deprec. Exp

    ADJ #5

 

    

Income Taxes

ADJ #6

 

    

SETTLEMENT

ADJUSTED

  
1  

 461 Metered Water

 Revenue

     4,803,374          -              -              -              -              -              -              4,803,374     
2  

 460 Unmetered Water

 Revenue

     -                          -         
3  

 474 Other Water

 Revenues

     136,942          -              -              -              -              -              -              136,942     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
4   Total Operating Revenues     $         4,940,316          $ -              $ -              $ -              $ -              $ -              $ -              $ 4,940,316     
  Operating Expenses                
5  

 601 Salary and Wages -

 Employees

     $ 893,501            $ -          $ -          $ (39,959)         $ -            $ 853,542     
6    610 Purchased Water     269          -          -          -          -          -          -          269     
7    615 Purchased Power     464,076          (12,401)           -          -          -          -          451,675     
8    618 Chemicals     33,613          (898)                   32,715     
9  

 620 Materials and

 Supplies

     79,398          -          -            (22,096)             57,302     
10  

 621 Office Supplies and

 Expense

     62,865          -          -                  62,865     
11    630 Outside Services     531,316          -          -            (153,707)             377,609     
12  

 635 Contractual Services -

 Testing

     14,571          -          -                  14,571     
13  

 636 Contractual Services -

 Other

     -          -          -                  -     
14  

 641 Rental of

 Building/Real

 Property

     43,412          -          -                  43,412     
15  

 650 Transportation

 Expenses

     88,775          -          -          -                88,775     
16  

 657 Insurance - General

 Liability

     33,142          -          -                  33,142     
17    659 Insurance - Other     5,460          -          -                  5,460     
18  

 666 Regulatory

 Commission

 Expense – 1

     35,298          -          -          (17,362)               17,936     
19    670 Bad Debt Expense     30,898          -          1,708                  32,606     
20  

 675 Miscellaneous

 Expenses

     79,463          -          -                  79,463     
21    403 Depreciation Expense     2,832,046          -          -              (247,436)           2,584,610     
22  

 403 Depreciation Expense

 – CIAC Amor

     (63,825)         -          -                  (63,825)    
23  

 408 Taxes Other Than

 Income

     15,312          -          -                  15,312     
24  

 408.11 Taxes Other Than

 Income - Prop

     273,680                      273,680     
25    409 Income Taxes     (249,144)                   210,691          (38,453)    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
26   Total Operating Expenses     $ 5,204,124          $ (13,299)         $ 1,708          $ (17,362)         $ (215,761)         $ (247,436)         $ 210,691          $ 4,922,666     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
27   Operating Income     $ (263,809)         $ 13,299          $ (1,708)         $ 17,362          $ 215,761          $ 247,436          $ (210,691)         $ 17,649     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division      Settlement ADJ 1     
W-01212A-12-0309      Water Loss     
Test Year Ended December 31, 2011     

 

OPERATING INCOME ADJUSTMENT #1 - EXCESS WATER LOSS

 

LINE

 NO.

                  

 

1

     

 

One plus allowable water loss

     110.00%       
2      One plus actual water loss     113.02%       
3      Allowable portion     97.33%       
      

 

 

     
4      Disallowable portion     2.67%       

 

5

     

 

Power Expense

           464,076        
6      Disallowance     $ 12,401        

 

7

     

 

Chemical Expense

     33,613        
8      Disallowance     $ 898        
    

 

Line 1: Maximum acceptable level of water losses

Line 2: Actual level of water losses

Line 3: Line 2 / line 3

Line 4: 1 minus line 4

Line 6: Line 1 times line 5

Lines 1 - 6:  See also Staff testimony GWB

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division      Settlement ADJ 2     
W-01212A-12-0309      Bad Debt Expense     
Test Year Ended December 31, 2011     

 

OPERATING INCOME ADJUSTMENT #2 - BAD DEBT EXPENSE

 

 

LINE
 NO.		    DESCRIPTION  

[A]

COMPANY

PROPOSED

    

[B]

SETTLEMENT

ADJUSTMENTS

    

[C]

SETTLEMENT

RECOMMENDED*

      

 

1

        $ 30,898        $ 1,708        $ 32,606       
    

 

 

    

 

References:

Column (A), Company Workpapers

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B), Per Co Response

                to Staff DR 5.8

 

             

Adjusted Test Year Revenues C 1

      $             4,940,316        

Bad Debt Expense Rate

      0.0066       
  

 

 

     

Expected Bad Debt Expense

      $ 32,606        

Co Proposed

      $ 30,898        
  

 

 

     
     $ 1,708        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division    Settlement ADJ 3                    
W-01212A-12-0309    Rate Case Expense                    
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #3 - RATE CASE EXPENSE

 

LINE
NO.		    DESCRIPTION   

[A]

COMPANY

    PROPOSED    

    

[B]

SETTLEMENT

ADJUSTMENTS

    

[C]

SETTLEMENT

RECOMMENDED

        
           

1

        $ 35,298        $ (17,362)      $ 17,936       
     

 

 

    
                   
  

Company Proposed Rate

Case Expense

  

  

              
                
           Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah           Buckeye           WUNS          

2

    Allocation Percentages        39.86%        40.32%        13.45%        3.78%        0.82%        1.58%        0.19%     

3

    Desert Mountain Analytical Services      $ 122,063      $ 48,652      $ 49,218      $ 16,420      $ 4,616      $ 996      $ 1,927      $ 234     

4

    Insight Consulting, LLC      $ 216,000      $ 86,094      $ 87,095      $ 29,057      $ 8,168      $ 1,762      $ 3,410      $ 413     

5

    Roshka Dewulf & Patten, PLC      $ 370,303      $ 147,597      $ 149,313      $ 49,814      $ 14,004      $ 3,021      $ 5,846      $ 709     

6

    Ultmann & Company P C      $ 78,809      $ 31,412      $ 31,777      $ 10,602      $ 2,980      $ 643      $ 1,244      $ 151     
     

 

 

  

7

    Total      $ 787,174      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     

8

    Amortization over 3 years:                 

9

    Year 1      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     

10

    Year 2      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     

11

    Year 3      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     
     

 

 

  

12

    Totals      $ 787,174      $ 313,756      $ 317,402      $ 105,893      $ 25,768      $ 6,421      $ 12,427      $ 1,506     
   Settlement Rate Case Expense               
13    Description      Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

14

    Settlement Amount      $ 400,000      $ 159,434      $ 161,287      $ 53,809      $ 15,127      $ 3,263      $ 6,315      $ 765     

15

    Amortization over 3 years:                 

16

    Year 1      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     

17

    Year 2      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     

18

    Year 3      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     
     

 

 

  

19

         $ 400,000      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     

20

    Adjustment Total, by System      $ (129,058 )    $ (51,441 )    $ (52,038 )    $ (17,361 )    $ (4,881 )    $ (1,053 )    $ (2,037 )    $ (247)    
  

References:

Column (A), Company Workpapers

Column (B): Line 20 for respective system

Column (C): Line 16 for respective system

  

  

  

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division      Settlement ADJ 4     
W-01212A-12-0309      Expense Normalizations     
Test Year Ended December 31, 2011     

OPERATING INCOME ADJUSTMENT #4 - EXPENSE NORMALIZATIONS

 

LINE

 NO.

      ACCT / DESCRIPTION  

[A]

COMPANY

PROPOSED

    

[B]

SETTLEMENT

ADJUSTMENTS

    

[C]

SETTLEMENT

RECOMMENDED  

      

 

1

      601 Salary and Wages - Employees     $ 893,501       $ (39,959)      $ 853,542       
2      620 Materials and Supplies     $ 79,398       $ (22,096)      $ 57,302       
3      630 Outside Services     $ 531,316       $ (153,707)      $ 377,609       
      

 

 

    
         $    1,504,215       $ (215,761)      $ 1,288,454       
      

 

 

    

 References:

 Column (A), Company Workpapers

 Column (B): Staff Testimony GWB

 Column (C): Column (A) + Column (B)

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division    Settlement ADJ 5
W-01212A-12-0309    Depreciation
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #5 - DEPRECIATION EXPENSE

 

LINE

NO.

   

    ACCT.

    NO.

    DESCRIPTION  

[A]

PLANT

BALANCE

     

[B]

DEPRECIATION

RATE

     

[C]

DEPRECIATION

EXPENSE

  

1

    PLANT IN SERVICE:         

2

    303    Land and Land Rights     150,432         0.00%         -         

3

    304    Structures and Improvements     1,037,614         3.33%         34,553     

4

    307    Wells and Springs     1,859,615         3.33%         61,925     

5

    309    Supply Mains     46,790         2.00%         936     

6

    310    Power Generation Equipment     67,508         5.00%         3,375     

7

    311    Pumping Equipment     8,217,566         12.50%         1,027,196     

8

    320    Water Treatment Equipment     -                -         

9

    320.1    Water Treatment Plant     4,091,843         3.33%         136,258     

10

    320.2    Solution Chemical Feeders     -             20.00%         -         

11

    330    Distribution Reservoirs and Standpipes     -                -         

12

    330.1    Storage Tanks     4,255,136         2.22%         94,464     

13

    330.2    Pressure Tanks     545,273         5.00%         27,264     

14

    331    Transmission and Distribution Mains     21,453,994         2.00%         429,080     

15

    333    Services     3,278,935         3.33%         109,189     

16

    334    Meters and Meter Installations     1,470,247         8.33%         122,472     

17

    335    Hydrants     1,981,787         2.00%         39,636     

18

    336    Backflow Prevention Devices     13,916         6.67%         928     

19

    339    Other Plant and Miscellaneous Equipment     177,934         6.67%         11,868     

20

    340    Office Furniture and Equipment     50,956         6.67%         3,399     

21

    341    Transportation Equipment     319,350         20.00%         63,870     

22

    343    Tools, Shop and Garage Equipment     94,283         5.00%         4,714     

23

    344    Laboratory Equipment     42,598         10.00%         4,260     

24

    345    Power Operated Equipment     61,507         5.00%         3,075     

25

    346    Communication Equipment     790,032         10.00%         79,003     

26

    347    Miscellaneous Equipment     17,310         10.00%         1,731     

27

    348    Other Tangible Plant     3,525,832         10.00%         352,583     

28

    390     Office Furniture     2,753         4.50%         124     
       

 

 

        

 

 

  

29

       Total Plant     53,553,208            2,611,778     

30

       Less: Non Depreciable Plant        

31

       Land and Land Rights     150,432         

32

       Net Depreciable Plant and Depreciation Amounts    $                 53,402,776              $            2,611,778     

33

              

34

              

35

       Amortization of CIAC    $ 1,860,537         4.8907%           $                 90,994     
             

 

 

  

36

       Settlement Depreciation Expense             $            2,520,785     

37

       Company Proposed Depreciation Expense           $            2,768,221     

38

       Settlement Adjustment           $             (247,436)    

 

      References:   
  Col [A]         Schedule B-2   
  Col [B]         Proposed Rates per Staff Engineering Report   
  Col [C]         Col [A] times Col [B]   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division      Settlement ADJ 6     
W-01212A-12-0309      Income Taxes     
Test Year Ended December 31, 2011     

OPERATING INCOME ADJUSTMENT #6 - INCOME TAXES

 

LINE

 NO.

    DESCRIPTION  

[A]

COMPANY

PROPOSED

        

[B]

SETTLEMENT

ADJUSTMENTS

        

[C]

SETTLEMENT

RECOMMENDED

       

 

1

    Income Taxes    $   (249,144)          $ 210,691           $ (38,453)       
    

 

 

      

 

 

      

 

 

     

References:

Column (A), Company Schedule C-2

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B),

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Valencia Water Company, Town Division    Settlement ADJ 7
W-01212A-12-0309    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #7 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

        [A]         [B]  

LINE  

NO.  

   DESCRIPTION     SETTLEMENT  
AS ADJUSTED   		          SETTLEMENT
RECOMMENDED		  

1

  

Adjusted Test Year Revenues - 2011

     $ 4,940,316            $ 4,940,316    

2

  

Weight Factor

     2            2    
   

 

 

      

 

 

  

3

  

Subtotal (Line 1 * Line 2)

     9,880,631            9,880,631    

4

  

Adjusted Test Year Revenues - 2011

     4,940,316         

5

  

Settlement Recommended Revenue

         5,192,870    
   

 

 

      

 

 

  

6

  

Subtotal (Line 4 + Line 5)

     14,820,947            15,073,501    

7

  

Number of Years

     3            3    
   

 

 

      

 

 

  

8

  

Three Year Average (Line 5 / Line 6)

     4,940,316            5,024,500    

9

  

Department of Revenue Mutilplier

     2            2    
   

 

 

      

 

 

  

10

  

Revenue Base Value (Line 7 * Line 8)

     9,880,631            10,049,000    

11

  

Plus: 10% of CWIP

     265,232            265,232    

12

  

Less: Net Book Value of Licensed Vehicles

     43,247            43,247    
   

 

 

      

 

 

  

13

  

Full Cash Value (Line 10 + Line 11 - Line 12)

     10,102,616            10,270,985    

14

  

Assessment Ratio

     21.0%           21.0%   
   

 

 

      

 

 

  

15

  

Assessment Value (Line 13 * Line 14)

     2,121,549            2,156,907    

16

  

Composite Property Tax Rate

     12.9000%           12.9000%   
   

 

 

      

 

 

  

17

  

Test Year Adjusted Property Tax Expense (Line 15 * Line 16)

     $ 273,680         

18

  

Company Proposed Property Tax

     $ 273,680         
   

 

 

      

19

  

Test Year Adjustment (Line 17 - Line 18)

     $ 0         
   

 

 

      

20

  

Property Tax on Recommended Revenue (Line 15 * Line 16)

         $ 278,241    

21

  

Test Year Adjusted Property Tax Expense (Line 17)

         $ 273,680    
       

 

 

  

22

  

Increase in Property Tax Due to Increase in Revenue Requirement

         $ 4,561    
       

 

 

  

23

  

Increase in Property Tax Due to increase in Revenue Requirement (Line 22)

         $ 4,561    

24

  

Increase in Revenue Requirement

         $ 252,554    

25

  

Increase in Property Tax Per Dollar Increase in Revenue (Line 23 / Line 24)

         1.80600%   
 

 

REFERENCES:

Line 15: Composite Tax Rate, per Company

Line 18: Company Schedule C-1, Line 36

      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Valencia Water Company, Town Division      Settlement D-1      
W-01212A-12-0309     
Test Year Ended December 31, 2011     

CALCULATION OF WEIGHTED AVERAGE COST OF CAPITAL - REQUIRED RATE OF RETURN

 

       

Percent of

Total         

       Cost Rate       

Weighted 

Cost

     

 

 Debt

     57.8%      6.1%      3.5%    

 

 Equity        

             42.2%              9.5%              4.0%    
              

Required Rate of Return

           7.5%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Valencia Water Company, Town Divisions    Settlement Schedule H-3 
W-01212A-12-0309    Page 1 of 2
Test Year Ended December 31, 2011   

Changes in Representative Rate Schedules

Potable Water - All Meter Sizes and Classes*

Monthly Minimum Charges:

Meter Size (All Classes*)              Basic Service Charge      
             Present        Proposed  
                      2014     2015     2016   

 

  
                 

5/8” X 3/4” Meter

          $ 30.88             $ 30.88      $ 31.34       $     31.87    

3/4” Meter

            30.88             30.88        31.34       31.87    

1” Meter

            77.20             77.20        78.34       79.67    

1.5” Meter

            154.40             154.40        156.69       159.34    

2” Meter

            247.04             247.04        250.70       254.95    

3” Meter

            494.08             494.08        501.39       506.89    

4” Meter

            772.00             772.00        783.50       796.75    

6” Meter

            1,544.00             1,544.00        1,586.85       1,594.41    

8” Meter

            3,086.00             2,470.40        2,507.20       2,549.60    

 

Commodity Rate Charges (per 1,000 gallons):

  

    
       

Rate Block

        Volumetric Charge  
                        Present            Proposed        
             

 

 

  
        Present       Proposed              2014     2015    2016   
   

 

       

 

 

  

Tier One Breakover

   1,000 Gallons        1,000 Gallons             $ 1.10       $ 1.10       $       1.10     $       1.10     

Tier Two Breakover

   5,000 Gallons        5,000 Gallons             1.98         1.98       1.98       1.98     

Tier Three Breakover

   10,000 Gallons        10,000 Gallons             2.85         2.85       2.85       2.85     

Tier Four Breakover

   16,000 Gallons        18,000 Gallons             3.83         3.83       3.93       4.12     

Tier Five Breakover

   25,000 Gallons        25,000 Gallons             4.90         4.00       5.01       5.25     

Tier Six Breakover

   Over 25,000        Over 25,000             6.02         6.02       6.15       6.42     

 

Conservation Rebate

                    
                        Proposed      
               Present                        2014     2015 and thereafter   

 

  

Threshold (“CRT”) in Gallons

        6,701            6,701         6,001    

Commodity rate rebate:

        59%           59%        50%  

(applied if consumption is below the CRT)

  

           

*includes all potable water meters including irrigation meters.

 

Non-Potable Water - All Meter Sizes and Classes      Present         Proposed        Change     

 

  

All Gallons (Per Acre Foot)

        185.74           533.76            348.02     

All Gallons (Per 1,000 Gallons)

        0.57           1.638            1.07     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Settlement Schedule H-3 

Page 2 of 2

 

Miscellaneous Service Charges      Present        Proposed         Charge  

 

  

Establishment of Service

      $     35.00            S    35.00          $ -         

Establishment of Service - After Hours

        50.00            Eliminate         

Re-establishment of Service (Within 12 Months)

        (a)            (a)         

Reconnection of Service (Delinquent)

        35.00            35.00          $ -         

Reconnection of Service - After Hours (Delinquent)

        50.00            Eliminate         

Meter Move at Customer Request

        (b)            (b)         

After Hours Service Charge Per Hour

        50.00            Eliminate         

After Hours Service Charge

        NA            35.00         

Deposit

        (c)            (c)         

Meter Re-Read (If Correct)

        30.00            30.00          $ -         

MeterTest Fee (if Correct)

        30.00            30.00          $ -         

NSF Check

        30.00            30.00          $ -         

Late Payment Charge (Per Month)

        1.50%           1.50%              0.00%   

Deferred Payment Charge (Per Month)

        1.50%           1.50%           0.00%   

 

  

(a) Number of Months on System times the monthly minimum per A.A.C. R14-2-403(D).

(b) Cost to include parts, labors and overhead and all applicable taxes per A.A.C. R14-2-405(B)(5).

(c) Per A.A.C. R14-2-403(B).

In addition to the collection of its regular rates and charges, the Company shall collect from customers their proportionate share of any privilege, sales or use tax in accordance with A.A.C. R14-2-409(D)(5).

Service Line and Meter Installation Charges (Refundable Pursuant to AA.C. R14-2-405)

Meter Size  

 Present

Service Line Charges

         Total Charges      

 Proposed

Service Line Charges

     Meter Charges     Total Charges         Change              

5/8 x 3/4” Meter

     $445.00          $155.00          $600.00         $445.00                           $155.00                    $600.00                     0.00%             

  3/4” Meter

     445.00        255.00        700.00        445.00                           255.00                700.00                    0.00%             

1” Meter

     495.00        315.00        610.00        495.00                           315.00                810.00                    0.00%             

1 1/2” Meter

     550.00        525.00        1,075.00        550.00                           525.00                1,075.00                    0.00%             

2” Turbine Meter

     830.00        1,045.00        1,875.00        630.00                           1,045.00                    1,875.00                    0.00%             

2” Compound Meter

     830.00        1,890.00        2,720.00        630.00                           1,690.00                    2,720.00                    0.00%             

3” Turbine Meter

     1.045.00        1,670.00        2,715.00        1,045.00                           1,670.00                    2,715.00                    0.00%             

3” Compound Meter

     1,165.00        2,545.00        3,710.00        1,165.00                           2,545.00                    3,710.00                    0.00%             

4” Turbine Meter

     1,490.00        2,670.00        4,160.00        1,490.00                           2,670.00                    4,160.00                    0.00%             

4” Compound Meter

     1,670.00        3,645.00        5,315.00        1,670.00                           3,645.00                    5,315.00                    0.00%             

6” Turbine Meter

     2,210.00        5,025.00        7,235.00        2,210.00                           5,025.00                7,235.00                    0.00%             

6” Compound Meter

     2,330.00        6,920.00        9,250.00        2,330.00                           6,920.00                    9,250.00                    0.00%             

6” and Larger Meters

     Cost         Cost         Cost          Cost                            Cost                   Cost                          

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Valencia Water Company, Town Division    Settlement H-4    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   5/8” and 3/4” Meters      All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    5500   $   35.16      $    35.16   $        -     0.0%

 

   
         Present Bill     Proposed Bill           

    Monthly 

    Consumption 

     Gross      CRT     Net     Gross     CRT     Net       

Percent  

Increase  

  
     
  -           $   30.88        $         -            $   30.88       $ 30.88       $         -            $   30.88           0.0%   
  1,000        31.98         (0.65)        31.33        31.98        (0.65)        31.33           0.0%   
  2,000        33.96         (1.82)        32.14        33.96        (1.82)        32.14           0.0%   
  3,000        35.94         (2.99)        32.95        35.94        (2.99)        32.95           0.0%   
  4,000        37.92         (4.15)        33.77        37.92        (4.15)        33.77           0.0%   
  5,000        39.90         (5.32)        34.58        39.90        (5.32)        34.58           0.0%   
  6,000        42.75         (7.00)        35.75        42.75        (7.00)        35.75           0.0%   
  7,000        45.60         -             45.60        45.60        -             45.60           0.0%   
  8,000        48.45         -             48.45        48.45        -             48.45           0.0%   
  9,000        51.30         -             51.30        51.30        -             51.30           0.0%   
  10,000        54.15         -             54.15        54.15        -             54.15           0.0%   
  15,000        73.30         -             73.30        73.30        -             73.30           0.0%   
  20,000        94.59         -             94.59        94.59        -             94.59           0.0%   
  25,000        119.09         -             119.09        119.09        -             119.09           0.0%   
  50,000        269.59         -             269.59        269.59        -             269.59           0.0%   
  75,000        420.09         -             420.09        420.09        -             420.09           0.0%   
  100,000        570.59         -             570.59        570.59        -             570.59           0.0%   
  125,000        721.09         -             721.09        721.09        -             721.09           0.0%   
  150,000        871.59         -             871.59        871.59        -             871.59           0.0%   
  175,000        1,022.09         -             1,022.09        1,022.09        -             1,022.09           0.0%   
  200,000        1,172.59         -             1,172.59        1,172.59        -             1,172.59           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Valencia Water Company, Town Division    Settlement H-4    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   5/8” and 3/4” Meters      All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    5500   $   35.16      $    36.56   $     1.40   4.0%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   30.88        $         -            $   30.88       $ 31.34       $         -            $   31.34           1.5%   
  1,000        31.98         (0.65)        31.33        32.44        (0.55)        31.89           1.8%   
  2,000        33.96         (1.82)        32.14        34.42        (1.54)        32.88           2.3%   
  3,000        35.94         (2.99)        32.95        36.40        (2.53)        33.87           2.8%   
  4,000        37.92         (4.15)        33.77        38.38        (3.52)        34.86           3.2%   
  5,000        39.90         (5.32)        34.58        40.36        (4.51)        35.85           3.7%   
  6,000        42.75         (7.00)        35.75        43.21        (5.94)        37.28           4.3%   
  7,000        45.60         -             45.60        46.06        -             46.06           1.0%   
  8,000        48.45         -             48.45        48.91        -             48.91           0.9%   
  9,000        51.30         -             51.30        51.76        -             51.76           0.9%   
  10,000        54.15         -             54.15        54.61        -             54.61           0.8%   
  15,000        73.30         -             73.30        74.26        -             74.26           1.3%   
  20,000        94.59         -             94.59        96.07        -             96.07           1.6%   
  25,000        119.09         -             119.09        121.12        -             121.12           1.7%   
  50,000        269.59         -             269.59        274.87        -             274.87           2.0%   
  75,000        420.09         -             420.09        428.62        -             428.62           2.0%   
  100,000        570.59         -             570.59        582.37        -             582.37           2.1%   
  125,000        721.09         -             721.09        736.12        -             736.12           2.1%   
  150,000        871.59         -             871.59        889.87        -             889.87           2.1%   
  175,000        1,022.09         -             1,022.09        1,043.62        -             1,043.62           2.1%   
  200,000        1,172.59         -             1,172.59        1,197.37        -             1,197.37           2.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   5/8” and 3/4” Meters     All Classes   
      Gallons   Present Bill        

    Proposed 

    Bill 

   Increase    % Increase 

 Median Usage

    5500   $    35.16          $    37.09    $      1.93   5.5%

 

   
      Present Bill     Proposed Bill           
  Monthly
  Consumption		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $ 30.88        $         -             $ 30.88       $ 31.87       $         -            $ 31.87           3.2%   
  1,000        31.98         (0.65)        31.33        32.97        (0.55)        32.42           3.5%   
  2,000        33.96         (1.82)        32.14        34.95        (1.54)        33.41           3.9%   
  3,000        35.94         (2.99)        32.95        36.93        (2.53)        34.40           4.4%   
  4,000        37.92         (4.15)        33.77        38.91        (3.52)        35.39           4.8%   
  5,000        39.90         (5.32)        34.58        40.89        (4.51)        36.38           5.2%   
  6,000        42.75         (7.00)        35.75        43.74        (5.94)        37.81           5.8%   
  7,000        45.60         -             45.60        46.59        -             46.59           2.2%   
  8,000        48.45         -             48.45        49.44        -             49.44           2.0%   
  9,000        51.30         -             51.30        52.29        -             52.29           1.9%   
  10,000        54.15         -             54.15        55.14        -             55.14           1.8%   
  15,000        73.30         -             73.30        75.74        -             75.74           3.3%   
  20,000        94.59         -             94.59        98.60        -             98.60           4.2%   
  25,000        119.09         -             119.09        124.85        -             124.85           4.8%   
  50,000        269.59         -             269.59        285.35        -             285.35           5.8%   
  75,000        420.09         -             420.09        445.85        -             445.85           6.1%   
  100,000        570.59         -             570.59        606.35        -             606.35           6.3%   
  125,000        721.09         -             721.09        766.85        -             766.85           6.3%   
  150,000        871.59         -             871.59        927.35        -             927.35           6.4%   
  175,000        1,022.09         -             1,022.09        1,087.85        -             1,087.85           6.4%   
  200,000        1,172.59         -             1,172.59        1,248.35        -             1,248.35           6.5%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   1” Meters                    All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase 

 Median Usage

    5500   $    81.48        $    81.48   $        -     0.0%

 

   
      Present Bill     Proposed Bill           

  Monthly

  Consumption

     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $ 77.20        $         -            $ 77.20       $ 77.20       $         -            $ 77.20           0.0%   
  1,000        78.30         (0.65)        77.65        78.30        (0.65)        77.65           0.0%   
  2,000        80.28         (1.82)        78.46        80.28        (1.82)        78.46           0.0%   
  3,000        82.26         (2.99)        79.27        82.26        (2.99)        79.27           0.0%   
  4,000        84.24         (4.15)        80.09        84.24        (4.15)        80.09           0.0%   
  5,000        86.22         (5.32)        80.90        86.22        (5.32)        80.90           0.0%   
  6,000        89.07         (7.00)        82.07        89.07        (7.00)        82.07           0.0%   
  7,000        91.92         -             91.92        91.92        -             91.92           0.0%   
  8,000        94.77         -             94.77        94.77        -             94.77           0.0%   
  9,000        97.62         -             97.62        97.62        -             97.62           0.0%   
  10,000        100.47         -             100.47        100.47        -             100.47           0.0%   
  15,000        119.62         -             119.62        119.62        -             119.62           0.0%   
  20,000        140.91         -             140.91        140.91        -             140.91           0.0%   
  25,000        165.41         -             165.41        165.41        -             165.41           0.0%   
  50,000        315.91         -             315.91        315.91        -             315.91           0.0%   
  75,000        466.41         -             466.41        466.41        -             466.41           0.0%   
  100,000        616.91         -             616.91        616.91        -             616.91           0.0%   
  125,000        767.41         -             767.41        767.41        -             767.41           0.0%   
  150,000        917.91         -             917.91        917.91        -             917.91           0.0%   
  175,000        1,068.41         -             1,068.41        1,068.41        -             1,068.41           0.0%   
  200,000        1,218.91         -             1,218.91        1,218.91        -             1,218.91           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   1” Meters                    All Classes   
      Gallons   Present Bill        

    Proposed

    Bill

   Increase     % Increase 

 Median Usage

    5500   $    81.48          $    83.56   $      2.08   2.6%

 

   
      Present Bill     Proposed Bill           

  Monthly

  Consumption

     Gross      CRT     Net     Gross     CRT     Net       

Percent  

Increase  

  
     
  -           $ 77.20        $         -            $ 77.20       $ 78.34       $         -            $ 78.34           1.5%   
  1,000        78.30         (0.65)        77.65        79.44        (0.55)        78.89           1.6%   
  2,000        80.28         (1.82)        78.46        81.42        (1.54)        79.88           1.8%   
  3,000        82.26         (2.99)        79.27        83.40        (2.53)        80.87           2.0%   
  4,000        84.24         (4.15)        80.09        85.38        (3.52)        81.86           2.2%   
  5,000        86.22         (5.32)        80.90        87.36        (4.51)        82.85           2.4%   
  6,000        89.07         (7.00)        82.07        90.21        (5.94)        84.28           2.7%   
  7,000        91.92         -             91.92        93.06        -             93.06           1.2%   
  8,000        94.77         -             94.77        95.91        -             95.91           1.2%   
  9,000        97.62         -             97.62        98.76        -             98.76           1.2%   
  10,000        100.47         -             100.47        101.61        -             101.61           1.1%   
  15,000        119.62         -             119.62        121.26        -             121.26           1.4%   
  20,000        140.91         -             140.91        143.07        -             143.07           1.5%   
  25,000        165.41         -             165.41        168.12        -             168.12           1.6%   
  50,000        315.91         -             315.91        321.87        -             321.87           1.9%   
  75,000        466.41         -             466.41        475.62        -             475.62           2.0%   
  100,000        616.91         -             616.91        629.37        -             629.37           2.0%   
  125,000        767.41         -             767.41        783.12        -             783.12           2.0%   
  150,000        917.91         -             917.91        936.87        -             936.87           2.1%   
  175,000        1,068.41         -             1,068.41        1,090.62        -             1,090.62           2.1%   
  200,000        1,218.91         -             1,218.91        1,244.37        -             1,244.37           2.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   1” Meters                    All Classes   
      Gallons   Present Bill        

      Proposed

      Bill

   Increase     % Increase 

 Median Usage

    5500   $    81.48            $    84.89   $      3.41   4.2%

 

   
      Present Bill     Proposed Bill           

  Monthly

  Consumption

     Gross      CRT     Net     Gross     CRT     Net       

Percent  

Increase  

  
     
  -           $ 77.20        $         -            $ 77.20       $ 79.67       $         -            $ 79.67           3.2%   
  1,000        78.30         (0.65)        77.65        80.77        (0.55)        80.22           3.3%   
  2,000        80.28         (1.82)        78.46        82.75        (1.54)        81.21           3.5%   
  3,000        82.26         (2.99)        79.27        84.73        (2.53)        82.20           3.7%   
  4,000        84.24         (4.15)        80.09        86.71        (3.52)        83.19           3.9%   
  5,000        86.22         (5.32)        80.90        88.69        (4.51)        84.18           4.1%   
  6,000        89.07         (7.00)        82.07        91.54        (5.94)        85.61           4.3%   
  7,000        91.92         -             91.92        94.39        -             94.39           2.7%   
  8,000        94.77         -             94.77        97.24        -             97.24           2.6%   
  9,000        97.62         -             97.62        100.09        -             100.09           2.5%   
  10,000        100.47         -             100.47        102.94        -             102.94           2.5%   
  15,000        119.62         -             119.62        123.54        -             123.54           3.3%   
  20,000        140.91         -             140.91        146.40        -             146.40           3.9%   
  25,000        165.41         -             165.41        172.65        -             172.65           4.4%   
  50,000        315.91         -             315.91        333.15        -             333.15           5.5%   
  75,000        466.41         -             466.41        493.65        -             493.65           5.8%   
  100,000        616.91         -             616.91        654.15        -             654.15           6.0%   
  125,000        767.41         -             767.41        814.65        -             814.65           6.2%   
  150,000        917.91         -             917.91        975.15        -             975.15           6.2%   
  175,000        1,068.41         -             1,068.41        1,135.65        -             1,135.65           6.3%   
  200,000        1,218.91         -             1,218.91        1,296.15        -             1,296.15           6.3%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   1.5” Meters                     All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    19500   $  216.20        $  216.20   $        -     0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net     Percent
Increase		  
     
  -           $   154.40       $         -           $   154.40       $ 154.40       $         -            $   154.40        0.0 % 
  1,000        155.50        (0.65)        154.85        155.50        (0.65)        154.85        0.0 % 
  2,000        157.48        (1.82)        155.66        157.48        (1.82)        155.66        0.0 % 
  3,000        159.46        (2.99)        156.47        159.46        (2.99)        156.47        0.0 % 
  4,000        161.44        (4.15)        157.29        161.44        (4.15)        157.29        0.0 % 
  5,000        163.42        (5.32)        158.10        163.42        (5.32)        158.10        0.0 % 
  6,000        166.27        (7.00)        159.27        166.27        (7.00)        159.27        0.0 % 
  7,000        169.12        -             169.12        169.12        -             169.12        0.0 % 
  8,000        171.97        -             171.97        171.97        -             171.97        0.0 % 
  9,000        174.82        -             174.82        174.82        -             174.82        0.0 % 
  10,000        177.67        -             177.67        177.67        -             177.67        0.0 % 
  15,000        196.82        -             196.82        196.82        -             196.82        0.0 % 
  20,000        218.11        -             218.11        218.11        -             218.11        0.0 % 
  25,000        242.61        -             242.61        242.61        -             242.61        0.0 % 
  50,000        393.11        -             393.11        393.11        -             393.11        0.0 % 
  75,000        543.61        -             543.61        543.61        -             543.61        0.0 % 
  100,000        694.11        -             694.11        694.11        -             694.11        0.0 % 
  125,000        844.61        -             844.61        844.61        -             844.61        0.0 % 
  150,000        995.11        -             995.11        995.11        -             995.11        0.0 % 
  175,000        1,145.61        -             1,145.61        1,145.61        -             1,145.61        0.0 % 
  200,000        1,296.11        -             1,296.11        1,296.11        -             1,296.11        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   1.5” Meters                    All Classes   
      Gallons   Present Bill        

    Proposed

    Bill

   Increase   % Increase

 Median Usage

    19500   $  216.20          $  219.51    $      3.31   1.5%

 

   
      Present Bill     Proposed Bill        
     
  Monthly
  Consumption		     Gross     CRT     Net     Gross     CRT     Net     Percent
Increase		  
     
  -           $   154.40       $         -            $   154.40       $   156.69       $         -            $   156.69        1.5 % 
  1,000        155.50        (0.65)        154.85        157.79        (0.55)        157.24        1.5 % 
  2,000        157.48        (1.82)        155.66        159.77        (1.54)        158.23        1.6 % 
  3,000        159.46        (2.99)        156.47        161.75        (2.53)        159.22        1.8 % 
  4,000        161.44        (4.15)        157.29        163.73        (3.52)        160.21        1.9 % 
  5,000        163.42        (5.32)        158.10        165.71        (4.51)        161.20        2.0 % 
  6,000        166.27        (7.00)        159.27        168.56        (5.94)        162.63        2.1 % 
  7,000        169.12        -             169.12        171.41        -             171.41        1.4 % 
  8,000        171.97        -             171.97        174.26        -             174.26        1.3 % 
  9,000        174.82        -             174.82        177.11        -             177.11        1.3 % 
  10,000        177.67        -             177.67        179.96        -             179.96        1.3 % 
  15,000        196.82        -             196.82        199.61        -             199.61        1.4 % 
  20,000        218.11        -             218.11        221.42        -             221.42        1.5 % 
  25,000        242.61        -             242.61        246.47        -             246.47        1.6 % 
  50,000        393.11        -             393.11        400.22        -             400.22        1.8 % 
  75,000        543.61        -             543.61        553.97        -             553.97        1.9 % 
  100,000        694.11        -             694.11        707.72        -             707.72        2.0 % 
  125,000        844.61        -             844.61        861.47        -             861.47        2.0 % 
  150,000        995.11        -             995.11        1,015.22        -             1,015.22        2.0 % 
  175,000        1,145.61        -             1,145.61        1,168.97        -             1,168.97        2.0 % 
  200,000        1,296.11        -             1,296.11        1,322.72        -             1,322.72        2.1 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   1.5” Meters                    All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    19500   $  216.20        $  224.16    $        7.96   3.7%

 

   
      Present Bill     Proposed Bill        
     
  Monthly
  Consumption		     Gross     CRT     Net     Gross     CRT     Net     Percent
Increase		  
     
  -           $   154.40       $         -            $   154.40       $   159.34       $         -            $   159.34        3.2 % 
  1,000        155.50        (0.55)        154.95        160.44        (0.55)        159.89        3.2 % 
  2,000        157.48        (1.54)        155.94        162.42        (1.54)        160.88        3.2 % 
  3,000        159.46        (2.53)        156.93        164.40        (2.53)        161.87        3.1 % 
  4,000        161.44        (3.52)        157.92        166.38        (3.52)        162.86        3.1 % 
  5,000        163.42        (4.51)        158.91        168.36        (4.51)        163.85        3.1 % 
  6,000        166.27        (5.94)        160.34        171.21        (5.94)        165.28        3.1 % 
  7,000        169.12        -             169.12        174.06        -             174.06        2.9 % 
  8,000        171.97        -             171.97        176.91        -             176.91        2.9 % 
  9,000        174.82        -             174.82        179.76        -             179.76        2.8 % 
  10,000        177.67        -             177.67        182.61        -             182.61        2.8 % 
  15,000        196.82        -             196.82        203.21        -             203.21        3.2 % 
  20,000        218.11        -             218.11        226.07        -             226.07        3.6 % 
  25,000        242.61        -             242.61        252.32        -             252.32        4.0 % 
  50,000        393.11        -             393.11        412.82        -             412.82        5.0 % 
  75,000        543.61        -             543.61        573.32        -             573.32        5.5 % 
  100,000        694.11        -             694.11        733.82        -             733.82        5.7 % 
  125,000        844.61        -             844.61        894.32        -             894.32        5.9 % 
  150,000        995.11        -             995.11        1,054.82        -             1,054.82        6.0 % 
  175,000        1,145.61        -             1,145.61        1,215.32        -             1,215.32        6.1 % 
  200,000        1,296.11        -             1,296.11        1,375.82        -             1,375.82        6.1 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    39500   $  422.54        $  422.54    $        -     0.0%

 

   
      Present Bill     Proposed Bill        
     
  Monthly
  Consumption		     Gross     CRT     Net     Gross     CRT     Net     Percent
Increase		  
     
  -           $   247.04       $         -            $   247.04       $   247.04       $         -            $   247.04        0.0 % 
  1,000        248.14        (0.65)        247.49        248.14        (0.65)        247.49        0.0 % 
  2,000        250.12        (1.82)        248.30        250.12        (1.82)        248.30        0.0 % 
  3,000        252.10        (2.99)        249.11        252.10        (2.99)        249.11        0.0 % 
  4,000        254.08        (4.15)        249.93        254.08        (4.15)        249.93        0.0 % 
  5,000        256.06        (5.32)        250.74        256.06        (5.32)        250.74        0.0 % 
  6,000        258.91        (7.00)        251.91        258.91        (7.00)        251.91        0.0 % 
  7,000        261.76        -             261.76        261.76        -             261.76        0.0 % 
  8,000        264.61        -             264.61        264.61        -             264.61        0.0 % 
  9,000        267.46        -             267.46        267.46        -             267.46        0.0 % 
  10,000        270.31        -             270.31        270.31        -             270.31        0.0 % 
  15,000        289.46        -             289.46        289.46        -             289.46        0.0 % 
  20,000        310.75        -             310.75        310.75        -             310.75        0.0 % 
  25,000        335.25        -             335.25        335.25        -             335.25        0.0 % 
  50,000        485.75        -             485.75        485.75        -             485.75        0.0 % 
  75,000        636.25        -             636.25        636.25        -             636.25        0.0 % 
  100,000        786.75        -             786.75        786.75        -             786.75        0.0 % 
  125,000        937.25        -             937.25        937.25        -             937.25        0.0 % 
  150,000        1,087.75        -             1,087.75        1,087.75        -             1,087.75        0.0 % 
  175,000        1,238.25        -             1,238.25        1,238.25        -             1,238.25        0.0 % 
  200,000        1,388.75        -             1,388.75        1,388.75        -             1,388.75        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    39500   $  422.54        $  429.66    $    7.11   1.7%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   247.04       $         -            $   247.04       $   250.70       $         -            $   250.70        1.5 % 
  1,000        248.14        (0.65)        247.49        251.80        (0.55)        251.25        1.5 % 
  2,000        250.12        (1.82)        248.30        253.78        (1.54)        252.24        1.6 % 
  3,000        252.10        (2.99)        249.11        255.76        (2.53)        253.23        1.7 % 
  4,000        254.08        (4.15)        249.93        257.74        (3.52)        254.22        1.7 % 
  5,000        256.06        (5.32)        250.74        259.72        (4.51)        255.21        1.8 % 
  6,000        258.91        (7.00)        251.91        262.57        (5.94)        256.64        1.9 % 
  7,000        261.76        -             261.76        265.42        -             265.42        1.4 % 
  8,000        264.61        -             264.61        268.27        -             268.27        1.4 % 
  9,000        267.46        -             267.46        271.12        -             271.12        1.4 % 
  10,000        270.31        -             270.31        273.97        -             273.97        1.4 % 
  15,000        289.46        -             289.46        293.62        -             293.62        1.4 % 
  20,000        310.75        -             310.75        315.43        -             315.43        1.5 % 
  25,000        335.25        -             335.25        340.48        -             340.48        1.6 % 
  50,000        485.75        -             485.75        494.23        -             494.23        1.7 % 
  75,000        636.25        -             636.25        647.98        -             647.98        1.8 % 
  100,000        786.75        -             786.75        801.73        -             801.73        1.9 % 
  125,000        937.25        -             937.25        955.48        -             955.48        1.9 % 
  150,000        1,087.75        -             1,087.75        1,109.23        -             1,109.23        2.0 % 
  175,000        1,238.25        -             1,238.25        1,262.98        -             1,262.98        2.0 % 
  200,000        1,388.75        -             1,388.75        1,416.73        -             1,416.73        2.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    39500   $  422.54        $  441.02    $   18.48   4.4%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   247.04       $         -           $   247.04       $   254.95       $         -            $ 254.95        3.2 % 
  1,000        248.14        (0.65)        247.49        256.05        (0.55)        255.50        3.2 % 
  2,000        250.12        (1.82)        248.30        258.03        (1.54)        256.49        3.3 % 
  3,000        252.10        (2.99)        249.11        260.01        (2.53)        257.48        3.4 % 
  4,000        254.08        (4.15)        249.93        261.99        (3.52)        258.47        3.4 % 
  5,000        256.06        (5.32)        250.74        263.97        (4.51)        259.46        3.5 % 
  6,000        258.91        (7.00)        251.91        266.82        (5.94)        260.89        3.6 % 
  7,000        261.76        -             261.76        269.67        -             269.67        3.0 % 
  8,000        264.61        -             264.61        272.52        -             272.52        3.0 % 
  9,000        267.46        -             267.46        275.37        -             275.37        3.0 % 
  10,000        270.31        -             270.31        278.22        -             278.22        2.9 % 
  15,000        289.46        -             289.46        298.82        -             298.82        3.2 % 
  20,000        310.75        -             310.75        321.68        -             321.68        3.5 % 
  25,000        335.25        -             335.25        347.93        -             347.93        3.8 % 
  50,000        485.75        -             485.75        508.43        -             508.43        4.7 % 
  75,000        636.25        -             636.25        668.93        -             668.93        5.1 % 
  100,000        786.75        -             786.75        829.43        -             829.43        5.4 % 
  125,000        937.25        -             937.25        989.93        -             989.93        5.6 % 
  150,000        1,087.75        -             1,087.75        1,150.43        -             1,150.43        5.8 % 
  175,000        1,238.25        -             1,238.25        1,310.93        -             1,310.93        5.9 % 
  200,000        1,388.75        -             1,388.75        1,471.43        -             1,471.43        6.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   3” Meters                        All Classes   

 

        Gallons      Present Bill          Proposed Bill    Increase    % Increase 

 Median Usage  

    215000    $ 1,726.09       $     1,726.09    $         -        0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $ 494.08       $         -           $   494.08       $ 494.08       $         -            $ 494.08        0.0 % 
  1,000        495.18        (0.65)        494.53        495.18        (0.65)        494.53        0.0 % 
  2,000        497.16        (1.82)        495.34        497.16        (1.82)        495.34        0.0 % 
  3,000        499.14        (2.99)        496.15        499.14        (2.99)        496.15        0.0 % 
  4,000        501.12        (4.15)        496.97        501.12        (4.15)        496.97        0.0 % 
  5,000        503.10        (5.32)        497.78        503.10        (5.32)        497.78        0.0 % 
  6,000        505.95        (7.00)        498.95        505.95        (7.00)        498.95        0.0 % 
  7,000        508.80        -             508.80        508.80        -             508.80        0.0 % 
  8,000        511.65        -             511.65        511.65        -             511.65        0.0 % 
  9,000        514.50        -             514.50        514.50        -             514.50        0.0 % 
  10,000        517.35        -             517.35        517.35        -             517.35        0.0 % 
  15,000        536.50        -             536.50        536.50        -             536.50        0.0 % 
  20,000        557.79        -             557.79        557.79        -             557.79        0.0 % 
  25,000        582.29        -             582.29        582.29        -             582.29        0.0 % 
  50,000        732.79        -             732.79        732.79        -             732.79        0.0 % 
  75,000        883.29        -             883.29        883.29        -             883.29        0.0 % 
  100,000        1,033.79        -             1,033.79        1,033.79        -             1,033.79        0.0 % 
  125,000        1,184.29        -             1,184.29        1,184.29        -             1,184.29        0.0 % 
  150,000        1,334.79        -             1,334.79        1,334.79        -             1,334.79        0.0 % 
  175,000        1,485.29        -             1,485.29        1,485.29        -             1,485.29        0.0 % 
  200,000        1,635.79        -             1,635.79        1,635.79        -             1,635.79        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

alencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   3” Meters                        All Classes   

 

        Gallons      Present Bill          Proposed Bill    Increase    % Increase 

 Median Usage  

    215000    $ 1,726.09       $     1,759.67    $  33.58    1.9%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $ 494.08       $         -           $   494.08       $ 501.39       $         -            $ 501.39        1.5 % 
  1,000        495.18        (0.65)        494.53        502.49        (0.55)        501.94        1.5 % 
  2,000        497.16        (1.82)        495.34        504.47        (1.54)        502.93        1.5 % 
  3,000        499.14        (2.99)        496.15        506.45        (2.53)        503.92        1.6 % 
  4,000        501.12        (4.15)        496.97        508.43        (3.52)        504.91        1.6 % 
  5,000        503.10        (5.32)        497.78        510.41        (4.51)        505.90        1.6 % 
  6,000        505.95        (7.00)        498.95        513.26        (5.94)        507.33        1.7 % 
  7,000        508.80        -             508.80        516.11        -             516.11        1.4 % 
  8,000        511.65        -             511.65        518.96        -             518.96        1.4 % 
  9,000        514.50        -             514.50        521.81        -             521.81        1.4 % 
  10,000        517.35        -             517.35        524.66        -             524.66        1.4 % 
  15,000        536.50        -             536.50        544.31        -             544.31        1.5 % 
  20,000        557.79        -             557.79        566.12        -             566.12        1.5 % 
  25,000        582.29        -             582.29        591.17        -             591.17        1.5 % 
  50,000        732.79        -             732.79        744.92        -             744.92        1.7 % 
  75,000        883.29        -             883.29        898.67        -             898.67        1.7 % 
  100,000        1,033.79        -             1,033.79        1,052.42        -             1,052.42        1.8 % 
  125,000        1,184.29        -             1,184.29        1,206.17        -             1,206.17        1.8 % 
  150,000        1,334.79        -             1,334.79        1,359.92        -             1,359.92        1.9 % 
  175,000        1,485.29        -             1,485.29        1,513.67        -             1,513.67        1.9 % 
  200,000        1,635.79        -             1,635.79        1.667.42        -             1,667.42        1.9 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   3” Meters                        All Classes   

 

        Gallons      Present Bill          Proposed Bill    Increase    % Increase 

 Median Usage  

    215000    $ 1,726.09       $     1,822.67    $  96.58    5.6%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $ 494.08       $         -           $   494.08       $   509.89       $         -            $ 509.89        3.2 % 
  1,000        495.18        (0.65)        494.53        510.99        (0.55)        510.44        3.2 % 
  2,000        497.16        (1.82)        495.34        512.97        (1.54)        511.43        3.2 % 
  3,000        499.14        (2.99)        496.15        514.95        (2.53)        512.42        3.3 % 
  4,000        501.12        (4.15)        496.97        516.93        (3.52)        513.41        3.3 % 
  5,000        503.10        (5.32)        497.78        518.91        (4.51)        514.40        3.3 % 
  6,000        505.95        (7.00)        498.95        521.76        (5.94)        515.83        3.4 % 
  7,000        508.80        -             508.80        524.61        -             524.61        3.1 % 
  8,000        511.65        -             511.65        527.46        -             527.46        3.1 % 
  9,000        514.50        -             514.50        530.31        -             530.31        3.1 % 
  10,000        517.35        -             517.35        533.16        -             533.16        3.1 % 
  15,000        536.50        -             536.50        553.76        -             553.76        3.2 % 
  20,000        557.79        -             557.79        576.62        -             576.62        3.4 % 
  25,000        582.29        -             582.29        602.87        -             602.87        3.5 % 
  50,000        732.79        -             732.79        763.37        -             763.37        4.2 % 
  75,000        883.29        -             883.29        923.87        -             923.87        4.6 % 
  100,000        1,033.79        -             1,033.79        1,084.37        -             1,084.37        4.9 % 
  125,000        1,184.29        -             1,184.29        1,244.87        -             1,244.87        5.1 % 
  150,000        1,334.79        -             1,334.79        1,405.37        -             1,405.37        5.3 % 
  175,000        1,485.29        -             1,485.29        1,565.87        -             1,565.87        5.4 % 
  200,000        1,635.79        -             1,635.79        1,726.37        -             1,726.37        5.5 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   6” Meters                        All Classes   

 

        Gallons      Present Bill          Proposed Bill    Increase    % Increase 

 Median Usage  

    4000    $ 1,546.89       $     1,546.89    $         -      0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

  Percent 

  Increase 

  
     
  -           $  1,544.00       $         -           $   1,544.00       $   1,544.00       $         -            $  1,544.00        0.0%   
  1,000        1,545.10        (0.65)        1,544.45        1,545.10        (0.65)        1,544.45        0.0%   
  2,000        1,547.08        (1.82)        1,545.26        1,547.08        (1.82)        1,545.26        0.0%   
  3,000        1,549.06        (2.99)        1,546.07        1,549.06        (2.99)        1,546.07        0.0%   
  4,000        1,551.04        (4.15)        1,546.89        1,551.04        (4.15)        1,546.89        0.0%   
  5,000        1,553.02        (5.32)        1,547.70        1,553.02        (5.32)        1,547.70        0.0%   
  6,000        1,555.87        (7.00)        1,548.87        1,555.87        (7.00)        1,548.87        0.0%   
  7,000        1,558.72        -             1,558.72        1,558.72        -             1,558.72        0.0%   
  8,000        1,561.57        -             1,561.57        1,561.57        -             1,561.57        0.0%   
  9,000        1,564.42        -             1,564.42        1,564.42        -             1,564.42        0.0%   
  10,000        1,567.27        -             1,567.27        1,567.27        -             1,567.27        0.0%   
  15,000        1,586.42        -             1,586.42        1,586.42        -             1,586.42        0.0%   
  20,000        1,607.71        -             1,607.71        1,607.71        -             1,607.71        0.0%   
  25,000        1,632.21        -             1,632.21        1,632.21        -             1,632.21        0.0%   
  50,000        1,782.71        -             1,782.71        1,782.71        -             1,782.71        0.0%   
  75,000        1,933.21        -             1,933.21        1,933.21        -             1,933.21        0.0%   
  100,000        2,083.71        -             2,083.71        2,083.71        -             2,083.71        0.0%   
  125,000        2,234.21        -             2,234.21        2,234.21        -             2,234.21        0.0%   
  150,000        2,384.71        -             2,384.71        2,384.71        -             2,384.71        0.0%   
  175,000        2,535.21        -             2,535.21        2,535.21        -             2,535.21        0.0%   
  200,000        2,685.71        -             2,685.71        2,685.71        -             2,685.71        0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   6” Meters                        All Classes   

 

        Gallons      Present Bill            Proposed Bill    Increase    % Increase  

 Median Usage  

    4000    $  1,546.89          $     1,570.37    $    23.48    1.5%

 

   
         Present Bill     Proposed Bill        
    Monthly 
    Consumption 		     Gross     CRT     Net     Gross     CRT     Net     Percent
Increase		  
     
  -           $  1,544.00       $ -           $  1,544.00       $     1,566.85       $ -           $  1,566.85        1.5 % 
  1,000        1,545.10              (0.65 )      1,544.45        1,567.95            (0.55 )      1,567.40        1.5 % 
  2,000        1,547.08        (1.82 )      1,545.26        1,569.93        (1.54 )      1,568.39        1.5 % 
  3,000        1,549.06        (2.99 )      1,546.07        1,571.91        (2.53 )      1,569.38        1.5 % 
  4,000        1,551.04        (4.15 )      1,546.89        1,573.89        (3.52 )      1,570.37        1.5 % 
  5,000        1,553.02        (5.32 )      1,547.70        1,575.87        (4.51 )      1,571.36        1.5 % 
  6,000        1,555.87        (7.00 )      1,548.87        1,578.72        (5.94 )      1,572.79        1.5 % 
  7,000        1,558.72        -            1,558.72        1,581.57        -            1,581.57        1.5 % 
  8,000        1,561.57        -            1,561.57        1,584.42        -            1,584.42        1.5 % 
  9,000        1,564.42        -            1,564.42        1,587.27        -            1,587.27        1.5 % 
  10,000        1,567.27        -            1,567.27        1,590.12        -            1,590.12        1.5 % 
  15,000        1,586.42        -            1,586.42        1,609.77        -            1,609.77        1.5 % 
  20,000        1,607.71        -            1,607.71        1,631.58        -            1,631.58        1.5 % 
  25,000        1,632.21        -            1,632.21        1,656.63        -            1,656.63        1.5 % 
  50,000        1,782.71        -            1,782.71        1,810.38        -            1,810.38        1.6 % 
  75,000        1,933.21        -            1,933.21        1,964.13        -            1,964.13        1.6 % 
  100,000        2,083.71        -            2,083.71        2,117.88        -            2,117.88        1.6 % 
  125,000        2,234.21        -            2,234.21        2,271.63        -            2,271.63        1.7 % 
  150,000        2,384.71        -            2,384.71        2,425.38        -            2,425.38        1.7 % 
  175,000        2,535.21        -            2,535.21        2,579.13        -            2,579.13        1.7 % 
  200,000        2,685.71        -            2,685.71        2,732.88        -            2,732.88        1.8 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Valencia Water Company, Town Division    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   6” Meters                        All Classes   

 

        Gallons      Present Bill            Proposed Bill    Increase    % Increase  

 Median Usage  

    4000    $  1,546.89          $     1,597.93    $    51.04    3.3%

 

   
         Present Bill     Proposed Bill        

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $  1,544.00       $ -           $  1,544.00       $     1,594.41       $ -           $  1,594.41        3.3 % 
  1,000        1,545.10              (0.65 )      1,544.45        1,595.51            (0.55 )      1,594.96        3.3 % 
  2,000        1,547.08        (1.82 )      1,545.26        1,597.49        (1.54 )      1,595.95        3.3 % 
  3,000        1,549.06        (2.99 )      1,546.07        1,599.47        (2.53 )      1,596.94        3.3 % 
  4,000        1,551.04        (4.15 )      1,546.89        1,601.45        (3.52 )      1,597.93        3.3 % 
  5,000        1,553.02        (5.32 )      1,547.70        1,603.43        (4.51 )      1,598.92        3.3 % 
  6,000        1,555.87        (7.00 )      1,548.87        1,606.28        (5.94 )      1,600.35        3.3 % 
  7,000        1,558.72        -            1,558.72        1,609.13        -            1,609.13        3.2 % 
  8,000        1,561.57        -            1,561.57        1,611.98        -            1,611.98        3.2 % 
  9,000        1,564.42        -            1,564.42        1,614.83        -            1,614.83        3.2 % 
  10,000        1,567.27        -            1,567.27        1,617.68        -            1,617.68        3.2 % 
  15,000        1,586.42        -            1,586.42        1,638.28        -            1,638.28        3.3 % 
  20,000        1,607.71        -            1,607.71        1,661.14        -            1,661.14        3.3 % 
  25,000        1,632.21        -            1,632.21        1,687.39        -            1,687.39        3.4 % 
  50,000        1,782.71        -            1,782.71        1,847.89        -            1,847.89        3.7 % 
  75,000        1,933.21        -            1,933.21        2,008.39        -            2,008.39        3.9 % 
  100,000        2,083.71        -            2,083.71        2,168.89        -            2,168.89        4.1 % 
  125,000        2,234.21        -            2,234.21        2,329.39        -            2,329.39        4.3 % 
  150,000        2,384.71        -            2,384.71        2,489.89        -            2,489.89        4.4 % 
  175,000        2,535.21        -            2,535.21        2,650.39        -            2,650.39        4.5 % 
  200,000        2,685.71        -            2,685.71        2,810.89        -            2,810.89        4.7 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

ATTACHMENT A

Global Water – Palo Verde Utilities Company

Schedules

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement A-1
Docket No. SW-20445A-12-0310   
Test Year Ended December 31, 2011   

REVENUE REQUIREMENT

 

LINE

NO.

    DESCRIPTION        

(A)

COMPANY

ORIGINAL

COST

     

(B)

COMPANY

FAIR

VALUE

     

(C)

SETTLEMENT

ORIGINAL

COST

          

(D)

SETTLEMENT

FAIR

VALUE

  

 

1

    Adjusted Rate Base       $    60,166,756        $    60,166,756        $    60,166,756           $     60,166,756    
2    Adjusted Operating Income (Loss)       $ 3,066,067        $ 3,066,067        $ 3,393,928           $ 3,393,928    
3    Current Rate of Return (L2 / L1)         5.10%         5.10%         5.64%            5.64%   
4    Required Rate of Return         8.81%         8.81%         7.50%            7.50%   
5    Required Operating Income (L4 * L1)       $ 5,300,691        $ 5,300,691        $ 4,512,507           $ 4,512,507    
6    Operating Income Deficiency (L5 - L2)       $ 2,234,623        $ 2,234,623        $ 1,118,579           $ 1,118,579    
7    Gross Revenue Conversion Factor         1.639005         1.639005         1.688694            1.688694   
                         
8    Required Revenue Increase (L7 * L6)       $ 3,662,560        $ 3,662,560        $ 1,888,539          $ 1,888,539   
9    Adjusted Test Year Revenue       $ 13,107,528        $ 13,107,528        $ 13,107,528           $ 13,107,528    
10    Proposed Annual Revenue (L8 + L9)       $ 16,770,088        $ 16,770,088        $ 14,996,467           $ 14,996,467    
11    Required Increase in Revenue (%)         27.94%         27.94%         14.41%            14.41%   
12    Rate of Return on Common Equity (%)         11.44%         11.44%         9.50%            9.50%   

 

  References:
  Column [A]:  Company Schedule A-1
  Column (B):  Company Schedule A-1
  Column (C):  Company Schedules A-1, A-2, & D-1
  Column (C): Settlement Schedules GRCF, B-1, and C-1

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Schedule: A-1a
Docket No. SW-20445A-12-0310    Settlement Phase In
Test Year Ended December 31, 2011   

REVENUE PHASE IN PER SETTLEMENT                                

 

   

     Year     

                         Revenue increase  
 (Relative to Test
 Year)		                              Revenue Increase
 (Relative to
 Previous Year)		         
                                       
    2014                    -                                 -               
                                       
    2015                    428,148                            428,148          
                                       
    2016                    856,298                            428,150          
                                       
    2017                    1,062,826                            206,528          
                                       
    2018                    1,269,354                            206,528          
                                       
    2019                    1,475,882                            206,528          
                                       
    2020                    1,682,411                            206,529          
                                       
    2021                    1,888,939                            206,528          

 

DECISION NO. 74364            

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement Gross Revenue Conversion Factor
Docket No. SW-20445A-12-0310    GRCF
Test Year Ended December 31, 2011   

GROSS REVENUE CONVERSION FACTOR

 

LINE
NO.		    DESCRIPTION   (A)   (B)     (C)
   Calculation of Gross Revenue Conversion Factor:             

1

    Revenue          100.0000%      

2

    Uncollecible Factor (Line 11)          0.6202%      

3

    Revenues (L1 - L2)          99.3798%      

4

    Combined Federal and State Income Tax and Property Tax Rate (Line 2          40.1625%      

5

    Subtotal (L3 - L4)          59.2173%      

6

    Revenue Conversion Factor (L1 / L5)          1.688694      
   Calculation of Uncollecttible Factor:             

7

    Unity          100.0000%      

8

    Combined Federal and State Tax Rate (Line 17)          38.5989%      

9

    One Minus Combined Income Tax Rate (L7 - L8 )          61.4011%      

10

    Uncollectible Rate          1.0100%      

11

    Uncollectible Factor (L9 * L10)            0.6202%       
   Calculation of Effective Tax Rate:             

12

    Operating Income Before Taxes (Arizona Taxable Income)          100.0000%      

13

    Arizona State Income Tax Rate          6.9680%      

14

    Federal Taxable Income (L12 - L13)          93.0320%      

15

    Applicable Federal Income Tax Rate (Line 44)          34.0000%      

16

    Effective Federal Income Tax Rate (L14 x L15)          31.6309%      

17

    Combined Federal and State Income Tax Rate (L13 +L16)            38.5989%       
   Calculation of Effective Property Tax Factor             

18

    Unity        100.0000%      

19

    Combined Federal and State Income Tax Rate (L17)        38.5989%      

20

    One Minus Combined Income Tax Rate (L18-L19)        61.4011%      

21

    Property Tax Factor (ADJ 6, L25)          2.5466%      

22

    Effective Property Tax Factor (L20*L21)            1.5636%           

23

    Combined Federal and State Income Tax and Property Tax Rate (L17+L22)                40.1625%
                   

24

    Required Operating Income (Schedule A-1, Line 5)    $      4,512,507        

25

    AdjustedTest Year Operating Income (Loss) (ScheduleC-1, Line 36)    $      3,393,928        

26

    Required Increase in Operating Income (L24 - L25)           $ 1,118,579       

27

    Income Taxes on Recommended Revenue (Col. (C), L48)    $      1,512,917        

28

    Income Taxes on Test Year Revenue (Col. (A), L48)    $      809,739        

29

    Required Increase in Revenue to Provide for Income Taxes (L27 - L28)           $ 703,178       

30

    Required Revenue Increase (Schedule A-1, Line 8)    $      1,888,939        

31

    Uncollectible Rate (Line 10)          1.0100%      

32

    Uncollectible Expense on Recommended Revenue (L30 * L31)    $      19,078        

33

    Adjusted Test Year Uncollectible Expense - N/A    $      -            

34

    Required Increase in Revenue to Provide for Uncollectible Exp.           $ 19,078       

35

    Property Tax with Recommended Revenue (ADJ 6, Line 21)    $      1,112,176        

36

    Property Tax on Test Year Revenue (GWB-18, Col A, L19)    $      1,064,073        

37

   

Increase in Property Tax Due to Increase in Revenue (L35-L36)

 

           $

 

 48,104

 

   

 

    

38

    Total Required Increase in Revenue (L26 + L29 + L34+ L37)           $         1,888,938       
                     
         (A)   (B)     (C)
         Test Year         Settlement
                           Recommended  
   Calculation of Income Tax:               

39

    Revenue (Sch C-1, Col.(C) L4, A-1, Col. (D), L10)    $                  13,107,528       $           14,996,467 

40

    Operating Expenses Excluding Income Taxes    $      8,903,861       $   8,971,043 

41

    Synchronized Interest (L53)    $      2,105,836       $   2,105,836 

42

    Arizona Taxable Income (L39 - L40 - L41)    $      2,097,831       $   3,919,587 

43

    Arizona State Income Tax Rate          6.9680%         6.9680%

44

    Arizona Income Tax (L42 x L43)    $      146,177       $   273,117 

45

    Federal Taxable income (L42 - L44)    $      1,951,654       $   3,646,470 

46

    Federal Tax    $      663,562       $   1,239,800 

47

    Total Federal Income Tax    $      663,562       $   1,239,800 

48

    Combined Federal and State Income Tax (L43 + L47)    $      809,739       $   1,512,917 

50

    Effective Tax Rate             
   
   Calculation of Interest Synchronization:               

51

    Rate Base (ScheduleB-1)             $   60,166,756 

52

    Weighted Average Cost of Debt                3.5000%

53

    Synchronized Interest (L50 X L51)             $   2,105,836 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer   
Docket No. SW-20445A-12-0310      Settlement B-1   
Test Year Ended December 31, 2011   

RATE BASE - ORIGINAL COST

 

LINE

NO.

       

(A)

COMPANY

AS

FILED

     

(B)

 

SETTLEMENT

  ADJUSTMENTS  

     

(C)

SETTLEMENT

AS

ADJUSTED

  

1

   Plant in Service      $     109,787,648           $ -               $         109,787,648     

2

   Less: Accumulated Depreciation      (19,012,634)          -               (19,012,634)    
    

 

 

     

 

 

     

 

 

  

3

   Net Plant in Service      $ 90,775,014           $ -               $ 90,775,014     
    

 

 

     

 

 

     

 

 

  
  LESS:         

4

   Contributions in Aid of Construction (CIAC)      $ 30,362           $ -               $ 30,362     

5

      Less: Accumulated Amortization      -               -               -         
    

 

 

  

6

        Net CIAC      30,362           -               30,362     

7

   Advances in Aid of Construction (AIAC)      27,839,315           -               27,839,315     

8

   Imputed Reg AIAC      -               -               -         

9

   Imputed Reg CIAC      -                  -         

10

   Accumulated Deferred Income Tax Credits      2,165,735           -               2,165,735     
  Customer Meter Deposits      669,926           -               669,926     
  ADD:         

11

   Deferred Compensation      49,669              49,669     

12

   Cash Working Capital      -               -               -         

13

   Bad Debt      32,615           -               32,615     
       -               

14

   CIAC      11,735           -               11,735     

15

   Projected Capital Expenditures      -               -               -         

16

   Deferred Gain      3,062           -               3,062     

17

   Purchase Wastewater Treatment Charges      -                  -         

18

       Original Cost Rate Base      $ 60,166,756           $ -               $ 60,166,756     
    

 

 

     

 

 

     

 

 

  
  References:         
  Column (A),  Schedule B-2         
  Column (B):  Schedule B-2         
  Column (C):  Column (A) + Column (B)         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement B-2
Docket No. SW-20445A-12-0310   
Test Year Ended December 31, 2011   

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

             [A]      [B]      [Dl]  
LINE     ACCT.                      SETTLEMENT  
NO.     NO.   DESCRIPTION    COMPANY      Settlement      AS  
             AS FILED      ADJUSTMENTS      ADJUSTED  
  PLANT IN SERVICE:         

1

               353 Land and Land Rights      $ 186,342          $ -           $ 186,342     

2

               354 Structures and Improvements      22,916,934             22,916,934     

3

               355 Power Generation Equipment      361,096             361,096     

4

               360 Collection Sewers - Force      3,865,315             3,865,315     

5

               361 Collection Sewers - Gravity      47,785,285             47,785,285     

6

               363 Services to Customers      5,244,342             5,244,342     

7

               364 Flow Measuring Devices      23,636             23,636     

8

               370 Receiving Wells      1,921,877             1,921,877     

9

               371 Pumping Equipment      4,039,011             4,039,011     

10

               374 Reuse Distribution Reservoirs      34,021             34,021     

11

               375 Reuse Transmission and Distribution System      11,089,457             11,089,457     

12

               380 Treatment and Disposal Equipment      5,975,575             5,975,575     

13

               381 Plant Sewers      78,384             78,384     

14

               382 Outfall Sewer Lines      353,645             353,645     

15

               389 Other Plant and Miscellaneous Equipment      2,295,565             2,295,565     

16

               390 Office Furniture and Equipment      403,174             403,174     

17

               391 Transportation Equipment      173,522             173,522     

18

               393 Tools, Shop and Garage Equipment      114,250             114,250     

19

               394 Laboratory Equipment      24,941             24,941     

20

               395 Power Operated Equipment      41,148             41,148     

21

               396 Communication Equipment      76,238             76,238     

22

               397 Miscellaneous Equipment      369,323             369,323     

23

               398 Other Tangible Plant      2,414,565          -           2,414,565     
      

 

 

     

 

 

  

32

   Total Plant in Service            109,787,648          -                       109,787,648     
      

 

 

     

 

 

  

33

             

34

   Accumulated Depreciation      (19,012,634)         -               (19,012,634)    
      

 

 

     

 

 

  

35

   Net Plant in Service      $ 90,775,014          $ -               $ 90,775,014     
      

 

 

     

 

 

  

36

             

37

   LESS:         

38

   Net Contributions in Aid of Construction (CIAC)      $ 30,362             $ 30,362     

39

      Less: Accumulated Amortization      -                 -     
      

 

 

     

 

 

     

 

 

  

40

        Net CIAC (L63-L64)      30,362             30,362     

41

   Advances in Aid of Construction (AIAC)      27,839,315             27,839,315     

42

   Customer Meter Deposits      669,926             669,926     

43

   Accumulated Deferred Income Tax Credits      2,165,735             2,165,735     

44

   ADD:            -     

45

   Deferred Tax Assets            -     

46

        Deferred Gain      3,062             3,062     

47

        Bad Debt      32,615          -               32,615     

48

        Deferred Compensation      49,669          -               49,669     

49

        CIAC      11,735          -               11,735     

50

   Working Capital      -              -               -     

51

   Original Cost Rate Base      $ 60,166,756          $ -               $ 60,166,756     
      

 

 

     

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement C-1
Docket No. SW-20445A-12-0310   
Test Year Ended December 31, 2011   

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

         [A]      [B]      [C]      [D]      [E]  

LINE

NO.

   DESCRIPTION    COMPANY
TEST YEAR
AS FILED		      SETTLEMENT
TEST YEAR
  ADJUSTMENTS  		     

SETTLEMENT
TEST YEAR
AS

ADJUSTED

      SETTLEMENT
RECOMMENDED
CHANGES		      SETTLEMENT
RECOMMENDED		  

1

   Flat Rate Revenue      12,423,785           -               12,423,785           1,888,939           14,312,724     

2

   Other Sewer Revenues      345,001           -               345,001              345,001     

3

   Metered Reuse Revenue      338,742           -               338,742           -               338,742     
    

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

4

   Total Operating Revenues      $ 13,107,528           $ -               $   13,107,528           $ 1,888,939           $ 14,996,467     

5

     701 Salary and Wages - Employees      $ 1,472,381           $ (223,764)          $ 1,248,617           $ -               $ 1,248,617     

6

     704 Employee Pensions and Benefit      -               -               -               -               -         

7

     715 Purchased Power      530,509           -               530,509           -               530,509     

8

     716 Fuel for Power Production      -               -               -               -               -         

9

     718 Chemicals      408,431           0           408,431           -               408,431     

10

     720 Materials and Supplies      114,852           -               114,852           -               114,852     

11

     721 Office Expense      120,122           -               120,122           -               120,122     

12

     731 Contractual Services – Professi      901,541           (294,223)          607,319           -               607,319     

13

     735 Contractual Services - Testing      40,577           -               40,577           -               40,577     

14

     736 Contractual Services - Other      197,061           -               197,061           -               197,061     

15

     740 Rents      119,990           -               119,990           -               119,990     

16

     742 Rental of Equipment      -               -               -               .               -         

17

     750 Transportation Expense      76,568           -               76,568           -               76,568    

18

     755 Insurance Expense      102,147           -               102,147           -               102,147    

19

     759 Insurance - Other      -               -               -               -               -         

20

     765 Regulatory Commission Expens      112,973           (59,828)          53,145           -               53,145    

21

     767 Rate Case Expense      -               -               -                  -         

22

     770 Bad Debt Expense      82,936           49,450           132,386           19,078           151,464     

23

     775 Miscellaneous Expenses      485,686           -               485,686           -               485,686     

24

     403 Depreciation Expense      3,520,714           73,457           3,594,171              3,594,171     

25

     403 Depreciation Expense – CIAC A      (1,292)          -               (1,292)             (1.292)    

26

     408 Taxes Other Than Income      9,500           -               9,500              9,500     

27

     408.11 Taxes Other Than Income -      1,064,073           -               1,064,073           48,104           1,112,176     

28

     409 Income Taxes      682,693              127,047           809,739           $ 703,178           $ 1,512,917     
  Intentionally Left Blank      -                  -                  -         
    

 

 

     

 

 

        

 

 

     

29

   Total Operating Expenses        10,041,461           (327,861)            9,713,600           770,360           10,483,960     
    

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

30

   Operating income (Loss)      $ 3,066,067           $ 327,861           $ 3,393,928           $ 1,118,579           $ 4,512,507     
    

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
  References:               
  Column (A): Company Schedule C-1               
  Column (B): ScheduleC-2            0         
  Column (C): Column (A) + Column (B)            0         
  Column (D): Schedules A-1, ADJ 1, ADJ 5 and ADJ 6               
  Column (E): Column (C) + Column (D)               

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement C-2
Docket No. SW-20445A-12-0310   
Test Year Ended December 31, 2011   

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

        [A]     [B]     [C]     [D]     [E]     (F]     [H]  
              Bad Debts     Rate Case     Expense                    
LINE             Exp     Exp     Normalizations     Deprec. Exp     Income Taxes     SETTLEMENT  
NO.   DESCRIPTION   COMPANY     ADJ #1     ADJ #2     ADJ #3     ADJ #4     ADJ #5     AS  
        AS FILED    

 

    

 

    

 

    

 

    

 

     ADJUSTED  

1

  

Flat Rate Revenue

     $ 12,423,785          -              -              -              -              -              $   12,423,785     

2

  

Other Sewer Revenues

     345,001          -              -              -              -              -              345,001     

3

  

Metered Reuse Revenue

     338,742          -              -              -              -              -              338,742     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

4

  

Total Operating Revenues

     $ 13,107,528          $ -              $ -              $ -              $ -              $ -              $ 13,107,528     
 

Operating Expenses

              

5

  

701 Salary and Wages - Employees

     1,472,381          $ -          $ -          $ (223,764)         $ -          $ -          1,248,617     

6

  

704 Employee Pensions and Benefits

     -              -          -          -          -          -          -         

7

  

715 Purchased Power

     530,509          -          -          -          -          -          530,509     

8

  

716 Fuel for Power Production

     -              -          -          -          -          -          -         

9

  

718 Chemicals

     408,431          -          -          0          -          -          408,431     

10

  

720 Materials and Supplies

     114,852          -          -          -          -          -          114,852     

11

  

721 Office Expense

     120,122          -          -          -          -          -          120,122     

12

  

731 Contractual Services - Professional

     901,541          -          -          (294,223)         -          -          607,319     

13

  

735 Contractual Services - Testing

     40,577            -          -          -          -          40,577     

14

  

736 Contractual Services - Other

     197,061          -          -          -          -          -          197,061     

14

  

740 Rents

     119,990          -          -          -          -          -          119,990     

15

  

742 Rental of Equipment

     -              -          -          -          -          -          -         

15

  

750 Transportation Expense

     76,568          -          -          -          -          -          76,568     

16

  

755 Insurance Expense

     102,147          -          -          -          -          -          102,147     

16

  

759 Insurance - Other

     -              -          -          -          -          -          -         

17

  

765 Regulatory Commission Expense

     112,973          -          (59,828)         -          -          -          53,145     

17

  

767 Rate Case Expense

     -              -          -          -          -          -          -         

18

  

770 Bad Debt Expense

     82,936          49,450          -          -          -          -          132,386     

18

  

775 Miscellaneous Expenses

     485,686          -          -          -          -          -          485,686     

19

  

403 Depreciation Expense

     3,520,714          -          -          -          73,457          -          3,594,171     

19

  

403 Depreciation Expense - CIAC Amortization

     (1,292)         -          -          -          -          -          (1,292)    

20

  

408 Taxes Other Than Income

     9,500          -          -          -          -          -          9,500     

20

  

408.11 Taxes Other Than Income - Property Taxes

     1,064,073          -          -          -          -          -          1,064,073     

21

  

409 Income Taxes

     682,693          -          -          -          -          127,047          809,739     
 

Intentionally Left Blank

     -              -          -          -          -          -          -     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

22

  

Total Operating Expenses

     $     10,041,461          $ 49,450          $   (59,828)         $     (517,986)         $ 73,457          $ 127,047          $ 9,713,600     

23

  

Operating Income (Loss)

     $ 3,066,067          $   (49,450)         $ 59,828          $ 517,986          $     (73,457)         $   (127,047)         $ 3,393,928     

 

DECISION NO.   74364            

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water-Palo Verde Sewer    Settlement ADJ 1
Docket No. SW-20445A-12-0310    Bad Debt Expense
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #1 - BAD DEBT EXPENSE

 

    [A]   [B]   [C]            
  COMPANY   SETTLEMENT   SETTLEMENT          
      PROPOSED        ADJUSTMENTS    RECOMMENDED          
 

 

  $           82,936  

   $                49,450   $               132,386      
 

 

    
 

 

References:

    
  Column (A), Company Workpapers    
  Column (B): Settlement    
 

Column (C): Column (A) + Column (B), Per Co Response

                  to Staff DR 5.8

    
 

 

Adjusted Test Year Revenues (Sch C-2)

    $           13,107,528       
  Bad Debt Expense Rate     1.01%      
       

 

 

    
  Expected Bad Debt Expense    $ 132,386       
  Co Proposed    $ 82,936       
       

 

 

    
         $ 49,450       

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water-Palo Verde Sewer    Settlement ADJ 2
Docket No. SW-20445A-12-0310    Rate Case Expense
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #2 - RATE CASE EXPENSE

 

  LINE  

NO.

   DESCRIPTION  

[A]

COMPANY
PROPOSED

     [B]
SETTLEMENT
ADJUSTMENTS		     [C]  
SETTLEMENT  
RECOMMENDED  		                                

1

  

See Note

     $             112,973      $ (59.828)      $ 53.145               
   

 

 

            
 

Company Proposed Rate

                
 

Case Expense

                
        Total     Palo Verde     Santa Cruz     Town Division        Willow Valley        Tonopah            Buckeye            WUNS               

2

  

Allocation Percentages

       39.86%        40.32%        13.45%        3.78%        0.52%        1.58%        0.19%    
 

Desert Mountain Analytical

                

3

  

Services

    $ 122,063       $ 48,652       $ 49,218       $ 16,420       $ 4,616       $ 996       $ 1,927       $ 234    

4

  

Insight Consulting, LLC

    $ 216,000       $ 86,094       $ 87,095       $ 29,057       $ 8,168       $ 1,762       $ 3,410       $ 413    

5

  

Roshka Dewulf & Patten, PLC

    $ 370,303       $ 147,597       $ 149,313       $ 49,814       $ 14,004       $ 3,021       $ 5,846       $ 709    

6

  

Ullmann & Company P C

    $ 78,809       $ 31,412       $ 31,777       $ 10,602       $ 2,960       $ 643       $ 1.244       $ 151    
   

 

 

  

7

  

Total

    $ 787,174       $ 313,756       $ 317,402       $ 105,893       $ 29,768       $ 6,421       $ 12,427       $ 1,506    

8

  

Amortization over 3 years:

                

9

  

Year 1

    $ 262,391       $ 104,585       $ 105,801       $ 35,298       $ 9,923       $ 2,140       $ 4,142       $ 502    

10

  

Year 2

    $ 262,391       $ 104,585       $ 105,801       $ 35,298       $ 9,923       $ 2,140       $ 4,142       $ 502    

11

  

Year 3

    $ 262,391       $ 104,585       $ 105,801       $ 35.298       $ 9,923       $ 2,140       $ 4,142       $ 502    
   

 

 

  

12

  

Totals

    $ 787,174       $ 313,756       $ 317,402       $ 105,893       $ 29,768       $ 6,421       $ 12,427       $ 1,506    
 

Settlement Rate Case Expense

                
13   Description   Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

14

  

Settlement Amount

    $ 400,000       $ 159,434       $ 161,287       $ 53,809       $ 15,127       $ 3,263       $ 6,315       $ 765    

15

  

Amortization over 3 years:

                

16

  

Year 1

    $ 133,333       $ 53,145       $ 53,762       $ 17,936       $ 5,042       $ 1,088       $ 2,105       $ 255    

17

  

Year 2

    $ 133,333       $ 53,145       $ 53,762       $ 17,936       $ 5,042       $ 1,088       $ 2,105       $ 255    

18

  

Year 3

    $ 133,333       $ 53,145       $ 53,762       $ 17,936       $ 5,042       $ 1,088       $ 2,105       $ 255    
   

 

 

  

19

  

Totals

    $ 400,000       $ 313,756       $ 317,402       $ 105,893       $ 29,768       $ 6,421       $ 12,427       $ 1,506    

20

  

Adjustment Total by System

    $ (129,058 )     $ (51,441 )     $ (52,038 )     $ (17,361 )     $ (4,881 )     $ (1,053 )     $ (2,037 )     $ (247 ) 
  References:                
  Column (A), Company Workpapers               
  Column (B): Line 20 for respective system               
  Column (C): Line 16 for respective system               

 

DECISION NO. 74364            

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water-Palo Verde Sewer    Settlement ADJ 3
Docket No. SW-20445A-12-0310    Expense Normalizations
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #3 - EXPENSE NORMALIZATIONS

 

    

             [A]       [B]     [C]    
  LINE         COMPANY       SETTLEMENT     SETTLEMENT    
  NO.   ACCT / DESCRIPTION     PROPOSED       ADJUSTMENTS     RECOMMENDED    
         
 

1

  

      701 Salary and Wages - Employees

     $   1,472,381         $ (223,764)      $ 1,248,617     
 

2

  

      731 Contractual Services – Professional

     $ 901,541         $ (294,223)      $ 607,319     
     

 

 

  
        $ 2,373,922         $ (517,987)      $ 1,855,936     
     

 

 

  
   

 

    References:

      
        Column (A), Company Workpapers      
        Column (B): Staff Testimony GWB      
        Column (C): Column (A) + Column (B)      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

Global Water-Palo Verde Sewer    Settlement ADJ 4
Docket No. SW-20445A-12-0310    Depreciation
Test Year Ended December 31, 2011   

 

OPERATING INCOME ADJUSTMENT #4 - DEPRECIATION EXPENSE

 

LINE

NO.

   

ACCT.

NO.

      DESCRIPTION   

[A]

PLANT

BALANCE

     

[B]

DEPRECIATION

RATE

     

[C]

DEPRECIATION

EXPENSE

  

1

    PLANT IN SERVICE:         

2

     351      Organization Cost      -               0.00%          -         

3

     352      Franchise Cost      -               0.00%          -         

4

     353      Land and Land Rights      186,342           0.00%          -         

5

     354      Structures & Improvements      22,916,934           3.33%          763,134     

6

     355      Power Generating Equipment      361,096           5.00%          18,055     

7

     360      Collection Sewers - Force      3,865,315           2.00%          77,306     

8

     361      Collection Sewers - Gravity      47,785,285           2.00%          955,706     

9

     362      Special Collecting Structures         2.00%          -         

10

     363      Sevices to Customers      5,244,342           2.00%          104,887     

11

     364      Flow Measuring Devices      23,636           10.00%          2,364     

12

     365      Flow Measuring Installations         10.00%          -         

13

     366      Reuse Services         2.00%          -         

14

     367      Reuse Meters and Meter Installations         8.33%          -         

15

     370      Receiving Wells      1,921,877           3.33%          63,999     

16

     371      Pumping Equipment      4,039,011           12.50%          504,876     

17

     374      Reuse Distribution Reserviors      34,021           2.50%          851     

18

     375      Reuse Transmission and Dist. Sys.      11,089,457           2.50%          277,236     

19

     380      Treatment and Disposal Equipment      5,975,575           5.00%          298,779     

20

     381      Plant Sewers      78,384           5.00%          3,919     

21

     382      Outfall Sewer Lines      353,645           3.33%          11,776     

22

     389      Other Plant and Misc. Equipment      2,295,565           6.67%          153,114     

23

     390      Office Furniture & Equipment      403,174           6.67%          26,892     

24

     390.1      Computers & Software         20.00%          -         

25

     391      Transportation Equipment      173,522           20.00%          34,704     

26

     392      Stores Equipment         4.00%          -         

27

     393      Tools, Shop & Garage Equipment      114,250           5.00%          5,713     

28

     394      Laboratory Equipment      24,941           10.00%          2,494     

29

     395      Power Operated Equipment      41,148           5.00%          2,057     

30

     396      Communications Equipment      76,238           10.00%          7,624     

31

     397      Miscellaneous Equipment      369,323           10.00%          36,932     

32

     398      Other Tangible Plant      2,414,565           10.00%          241,457     
          

 

 

     

 

 

     

 

 

  

33

              109,787,648              3,593,874     

34

         Less: Non Depreciable Plant         

35

         Land and Land Rights      $ 186,342           
          

 

 

        

 

 

  

36

         Net Depreciable Plant and Dep. Amount      $     109,601,306               $         3,593,874     

37

                 

38

                 

39

         Amortization of CIAC at Company’s Rate      $ 30,362           3.2790%           $                   996     
                

 

 

  

40

         Settlement Recommended Depreciation Expense          $         3,592,879     

41

         Company Proposed Depreciation Expense         $         3,519,422     

42

         Settlement Adjustment          $              73,457     

 

               References:   
  Col [A]            Schedule B-2   
  Col [B]            Proposed Rates per Staff Engineering Report   
  Col [C]            Col [A] times Col [B]   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement ADJ 5
Docket No. SW-20445A-12-0310    Income Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #5 - INCOME TAXES

 

 LINE 

  NO.  

   

DESCRIPTION

   

[A]
COMPANY
PROPOSED

     

[B] SETTLEMENT
ADJUSTMENTS

     

[C] SETTLEMENT
RECOMMENDED

  

    1

    Income Taxes      $     682,693              $            127,047            $               809,739     
     

 

 

     

 

 

     

 

 

  

 

References:

Column (A), Company Schedule C-2

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B),

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement ADJ 6
Docket No. SW-20445A-12-0310    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #6 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

        [A]          [B]  

LINE  

NO.  

   DESCRIPTION   SETTLEMENT
AS ADJUSTED		          SETTLEMENT      
RECOMMENDED      		  

1

   Adjusted Test Year Revenues - 2011      $       13,107,528            $       13,107,528     

2

   Weight Factor     2             2     

3

   Subtotal (Line 1 * Line 2)     26,215,056             26,215,056     

4

   Adjusted Test Year Revenues - 2011     13,107,528          

5

   Settlement Recommended Revenue                14,996,467     

6

   Subtotal (Line 4 + Line 5)     39,322,584             41,211,523     

7

   Number of Years     3             3     

8

   Three Year Average (Line 5 / Line 6)     13,107,528             13,737,174     

9

   Department of Revenue Multiplier     2             2     

10

   Revenue Base Value (Line 7 * Line 8)     26,215,056             27,474,349     

11

   Plus: 10% of CWIP     1,648,165             1,648,165     

12

   Less: Net Book Value of Licensed Vehicles     7,190             7,190     

13

   Full Cash Value (Line 10 + Line 11 - Line 12)     27,856,031             29,115,324     

14

   Assessment Ratio     21.0%            21.0%    

15

   Assessment Value (Line 13 * Line 14)     5,849,767             6,114,218     

16

   Composite Property Tax Rate     18.1900%            18.1900%    

17

   Test Year Adjusted Property Tax Expense (Line 15 * Line 16)      $ 1,064,073          

18

   Company Proposed Property Tax      $ 1,064,073          

19

   Settlement Test Year Adjustment (Line 17 - Line 18)      $ 0          
              

20

   Property Tax on Recommended Revenue (Line 15 * Line 16)         $ 1,112,176     

21

   Test Year Adjusted Property Tax Expense (Line 17)         $ 1,064.073     

22

   Increase in Property Tax Due to Increase in Revenue Requirement         $ 48,104     
              

23

   Increase in Property Tax Due to Increase in Revenue Requirement (Line 22)         $ 48,104     

24

   Increase in Revenue Requirement         $ 1,888,939     

25

   Increase in Property Tax Per Dollar Increase in Revenue (Line 23 / Line 24)          2.54660%    
  REFERENCES:       
  Line 15: Composite Tax Rate, per Company       
  Line 18: Company Schedule C-1, Line 36       

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer    Settlement D-1
Docket No. SW-20445A-12-0310   
Test Year Ended December 31, 2011   

CALCULATION OF WEIGHTED AVERAGE COST OF CAPITAL - REQUIRED RATE OF RETURN

 

       

Percent of 

Total

       Cost Rate        

Weighted 

Cost

    

 

  Debt

     57.8%      6.1%       3.5%   

 

  Equity

     42.2%      9.5%       4.0%   
             

  Required Rate of Return

         7.5%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water-Palo Verde Sewer    Settlement Schedule H-3
Docket No. SW-20445A-12-0310    Page 1 of 2
Test Year Ended December 31, 2011   

 

Changes in Representative Rate Schedules

Potable Water - All Meter Sizes and Classes*

Monthly Minimum Charges:

 

    Basic Service Charge  
    Present           Proposed  
Meter Size (All Classes*)               2014     2015     2016     2017     2018     2019     2020     2021   

 

  

5/6” X 3/4” Meter

     $ 62.91          $ 62.91       $ 64.34       $ 65.88       $ 66.61       $ 67.34       $ 68.06       $ 68.79       $ 69.53     

3/4” Meter

     62.91            62.91         64.34         65.88         66.61         67.34         68.06         68.79         69.53     

1” Meter

     157.28            157.58         160.87         164.70         166.53         168.35         170.16         171.99         173.83     

1.5” Meter

     314.55            314.55         321.72         329.40         333.05         336.69         340.31         343.96         347.64     

2” Meter

     503.28            503.28         514.75         527.30         532.87         538.71         544.50         550.34         556.23     

3” Meter

     1,006.56            1,006.56         1,029.51         1,054.07         1,065.75         1,077.42         1,089.00         1,100.67         1,112.45     

4” Meter

     1,572.75            1,572.75         1,608.61         1,646.98         1,665.23         1,683.47         1,701.56         1,719.80         1,738.20     

5” Meter

     3,154.50            3,154.50         3,217.00         3,294.00         3,330.50         3,367.00         3,403.00         3,439.50         3,476.50     

6” Meter

     5,032.80            5,032.80         5,147.20         5,270.40         5,328.80         5,387.20         5,444.80         5,503.20         5,562.40     

 

Effluent Charge - All Meter Sizes and Classes

                    
    Volumetric Charge        
    Present     Proposed    
           2014     2015     2016     2017     2018     2019     2020     2021    

All Gallons (Per Acre Foot)

     $ 185.74          185.74      $ 260.69        $ 338.89        $ 378.00        $     417.10        $ 456.20        $ 495.31        $ 533.76      

All Gallons (Per 1,000 Gallons)

     0.57          0.57        0.80          1.04          1.16          1.28          1.40          1.52          1.638      

 

Miscellaneous Service Charges

                    
                      Present                       Proposed             Change          

 

  

Establishment of Service

         $ 35.00            $ 35.00         $ -        

Establishment of Service (After Hours)

           50.00              Eliminate        

Re-establishment of Service (Within 12 Months)

           (a)              (a)        

Reconnection of Service (Delinquent)

           35.00              35.00        

Reconnection of Service - After Hours (Delinquent)

           50.00              Eliminate        

Meter Move at Customer Request

           NA              NA        

After Hours Service Charge, Per Hour**

           50.00              Eliminate        

After-Hours Service Charge

           NA              $35.00        

Deposit

           (b)              (b)        

Meter Re-Read (If Correct)

           N/A              N/A        

MeterTest Fee (If Correct)

           N/A              N/A        

NSF Cheek

           30.00              30.00           -        

Late Payment Charge (Per Month)

           1.50%              1.50%           -        

Deferred Payment Charge (Per Month)

           1.50%              1.50%           -        

 

      

(a) Number of Months-off System times the monthly minimum per A.A.C. R14-2-603(D).

(b) Per A.A.C. R14-2-603(B).

*In addition to the collection of its regular rates and charges, the Company shall collect from customers their proportionate share of any privilege,

sales or use tax in accordance with A.A.C. R14-2-608(D)(5).

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water-Palo Verde Sewer    Settlement Schedule H-3
Docket No. SW-20445A-12-0310    Page 2 of 2
Test Year Ended December 31, 2011   

 

Note on Phase in of Rates

Rates approved in Palo Verde’s last rate case were phased in per the following schedule:

 

     Effective Date of Phase in Rate              
     8/1/2010      1/1/2011      1/1/2012  

 

  

5/8“x 3/4” Meter

      $42.97           $52.94           $62.91     

3/4” Meter

      $42.97           $52.94           $62.91     

1” Meter

      $107.43           $132.35           $157.28     

1-1/2” Meter

      $214.85           $264.70           $314.55     

2” Meter

      $343.76           $423.52           $503.28     

3” Meter

      $687.52           $847.04           $1,006.56     

4” Meter

      $1,074.25           $1,323.50           $1,572.75     

6” Meter

      $2,148.50           $2,647.00           $3,145.50     

8” Meter

      $1,677.60           $3,355.20           $5,032.80     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water-Palo Verde Sewer

Docket No. SW-20445A-12-0310

Test Year Ended December 31, 2011

    Settlement Schedule H-4

 

    Basic Service Charge  
 

 

  
        Proposed*  
   

 

 

  
        Present       2014     2015     2016     2017  
 

 

                
 Meter Size (All Classes)   Bill     % Increase     Bill     % Increase     Bill     % Increase     Bill     % Increase   

 

  

 5/8” X 3/4” Meter

   $      62.91   $ 62.91        0.0%      $ 64.34        2.3%      $ 65.88        4.7%      $ 66.61        5.9%    

 3/4” Meter

   62.91     62.91        0.0%        64.34        2.3%        65.88        4.7%        66.61        5.9%    

 1” Meter

   157.28     157.28        0.0%        160.87        2.3%        164.70        4.7%        166.53        5.9%    

 1.5” Meter

   314.55     314.55        0.0%        321.72        2.3%        329.40        4.7%        333.05        5.9%    

 2” Meter

   503.28     503.28        0.0%        514.75        2.3%        527.30        4.8%        532.87        5.9%    

 3” Meter

   1,006.56     1,006.56        0.0%        1,029.51        2.3%        1,054.07        4.7%        1,065.75        5.9%    

 4” Meter

   1,572.75     1,572.75        0.0%        1,608.61        2.3%        1,646.98        4.7%        1,665.23        5.9%    

 6” Meter

   3,154.50     3,154.50        0.0%        3,217.00        2.0%        3,294.00        4.4%        3,330.50        5.6%    

 8” Meter

   5,032.80     5,032.80        0.0%        5,147.20        2.3%        5,270.40        4.7%        5,328.80        5.9%    
    Basic Service Charge  
 

 

  
        Proposed*  
   

 

 

  
    Present   2018     2019     2020     2021  
 

 

                
 Meter Size (All Classes)   Bill     % Increase     Bill     % Increase     Bill     % Increase     Bill     % Increase    

 

  

 5/8” X 3/4” Meter

   $      62.91   $ 67.34        7.0%      $ 68.06        8.2%      $ 68.79        9.3%      $ 69.53        10.5%    

 3/4” Meter

   62.91     67.34        7.0%        68.06        8.2%        68.79        9.3%        69.53        10.5%    

 1” Meter

   157.28     168.35        7.0%        170.16        8.2%        171.99        9.4%        173.83        10.5%    

 1.5” Meter

   314.55     336.69        7.0%        340.31        8.2%        343.96        9.3%        347.64        10.5%    

 2” Meter

   503.28     538.71        7.0%        544.50        8.2%        550.34        9.4%        556.23        10.5%    

 3” Meter

   1,006.56     1,077.42        7.0%        1,089.00        8.2%        1,100.67        9.3%        1,112.45        10.5%    

 4” Meter

   1,572.75     1,683.47        7.0%        1,701.56        8.2%        1,719.80        9.3%        1,738.20        10.5%    

 6” Meter

   3,154.50     3,367.00        6.7%        3,403.00        7.9%        3,439.50        9.0%        3,476.50        10.2%    

 8” Meter

   5,032.80     5,387.20        7.0%        5,444.80        8.2%        5,503.20        9.3%        5,562.40        10.5%    

*% increases are all relative to present rates.

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT A

Water Utility of Northern Scottsdale, Inc.

Schedules

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale

Docket No. W-03720A-12-0311

Test Year Ended December 31, 2011

    Settlement A-1                    

REVENUE REQUIREMENT

 

LINE

NO.

    DESCRIPTION       

(A)

COMPANY

ORIGINAL

COST

     

(B)

COMPANY

FAIR

VALUE

        

(C)

SETTLEMENT

ORIGINAL

COST

         

(D)

SETTLEMENT

FAIR

VALUE

  

1

    Adjusted Rate Base      $ (181,978)       $ (181,978)        $ (181,978)         $ (181,978)   

2

    Adjusted Operating Income (Loss)      $ 21,301        $ 21,301         $ 23,472          $ 23,472    

3

    Current Rate of Return (L2 / L1)        N/A         N/A          N/A           N/A   

4

    Required Rate of Return        N/A         N/A          N/A           N/A   

5

    Required Operating Income (L4 * L1)      $ 21,301        $ 21,301         $ 23,472          $ 23,472    
   Current Operating Margin (Sch.C.1)        14.44%         14.44%          15.91%           15.91%   

6

    Operating Income Deficiency (L5 - L2)      $ -             $ -              $ -               $ -         

7

 

   

Gross Revenue Conversion Factor

 

       

 

 1.629 

 

   

 

     

 

 1.629 

 

   

 

      

 

 1.629 

 

   

 

       

 

 1.629 

 

   

 

8

    Required Revenue Increase (L7 * L6)      $ -             $ -              $ -               $ -         

9

    Adjusted Test Year Revenue      $      147,513        $      147,513         $      147,513          $          147,513    

10

    Proposed Annual Revenue (L8 + L9)      $ 147,513        $ 147,513         $ 147,513          $ 147,513    

11

    Required Increase in Revenue (%)        0.00%         0.00%          0.00%           0.00%   

12

    Rate of Return on Common Equity (%)        10.00%         10.00%            

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale

Docket No. W-03720A-12-0311

Test Year Ended December 31, 2011

   

Settlement Gross Revenue Conversion Factor                    

GRCF                    

GROSS REVENUE CONVERSION FACTOR

 

LINE
NO.		    DESCRIPTION   (A)      (B)     (C)  
  

 

Calculation of Gross Revenue Conversion Factor.

       

1

    Revenue                         100.0000%         
    

 

 

       

2

    Uncollecible Factor (Line 11)     0.06140%         
    

 

 

       

3

    Revenues (L1 - L2)     99.9386%         
    

 

 

       

4

    Combined Federal and State Income Tax and Property Tax Rate (Line 23)     38.5989%         
    

 

 

       

5

    Subtotal (L3 - L4)     60.7871%         
    

 

 

       

6

    Revenue Conversion Factor (L1 / L5)     1.645086         
    

 

 

       
   Calculation of Uncollecttible Factor:       

7

    Unity     100.0000%         
    

 

 

       

8

    Combined Federal and State Tax Rate (Line 17)     38.5989%         
    

 

 

       

9

    One Minus Combined Income Tax Rate (L7 - L8 )     61.4011%         
    

 

 

       

10

    Uncollectible Rate     1.0000%         
    

 

 

       

11

    Uncollectible Factor (L9 * L10 )        0.61401%      
       

 

 

    
   Calculation of Effective Tax Rate;       

12

    Operating Income Before Taxes (Arizona Taxable Income)     100.0000%         
    

 

 

       

13

    Arizona State Income Tax Rate     6.9680%         
    

 

 

       

14

    Federal Taxable Income (L12 - L13)     93.0320%         
    

 

 

       

15

    Applicable Federal Income Tax Rate (Line 44)     34.0000%         
    

 

 

       

16

    Effective Federal Income Tax Rate (L14 x L15)     31.6309%         
    

 

 

       

17

    Combined Federal and State Income Tax Rate (L13 +L16)        38.5989%      
       

 

 

    
   Calculation of Effective Property Tax Factor       

18

    Unity        6.968%      

19

    Combined Federal and State Income Tax Rate (L17)     100.0000%         

20

    One Minus Combined Income Tax Rate (L18-L19)     6.9680%         

21

    Property Tax Factor (L19-L20)     93.0320%         
    

 

 

       

22

    Effective Property Tax Factor (L20*L21)        0.0000%      
       

 

 

  

23

    Combined Federal and State Income Tax and Property Tax Rate (L17+L22)                          38.5989%    
         

 

 

  

24

    Required Operating Income (Schedule A-1, Line 5)     $ 23,472          

25

    AdjustedTest Year Operating Income (Loss) (Schedule C-1)     $ 23,472          
    

 

 

       

26

    Required Increase in Operating Income (L24 - L25)     $ -              $ -           

27

   

 

Income Taxes on Recommended Revenue (Col. (C), L48)

     $ 43,548          

28

    Income Taxes on Test Year Revenue (Col. (A), L48)     $ 14,755          
    

 

 

       

29

    Required Increase in Revenue to Provide for Income Taxes (L27 - L28)     $ 28,792           $ 28,792       

30

   

 

Required Revenue Increase (A-1, Line 8)

     $ -             
    

 

 

       

31

    Uncollectible Rate (Line 10)     1.0000%        
    

 

 

       

32

    Uncollectible Expense on Recommended Revenue (L30 * L31)     $ -             

33

    Adjusted Test Year Uncollectible Expense - N/A     $ -             
    

 

 

       

34

    Required Increase in Revenue to Provide for Uncollectible Exp.        $ -           

35

   

 

Property Tax with Recommended Revenue (ADJ 5, Line 21)

     $ 3,104          

36

    Property Tax on Test Year Revenue (ADJ 5, Col A, L19)     $ 3,104          
    

 

 

       

37

   

Increase in Property Tax Due to Increase in Revenue (L35-L36)

 

        $

 

 -      

 

   

 

  
       

 

 

    

38

    Total Required Increase in Revenue (L26 + L29 + L34+ L37)        $             28,792       
       

 

 

    
         (A)      (B)     (C)  
        

Test Year

    

           Settlement
Recommended		  
   Calculation of Income Tax:                   

39

    Revenue (Sch C-1)     $ 147,513          $ 147,513    

40

    Operating Expenses Excluding Income Taxes     $ 109,286          $ 34,692    

41

    Synchronized Interest (L53)     $ -              $ -        

42

    Arizona Taxable Income (L39 - L40 - L41)     $ 38,228          $ 112,821    

43

    Arizona State Income Tax Rate     6.9680%           6.9680%   

44

    Arizona Income Tax (L42 x L43)     $ 2,664          $ 7,861    

45

    Federal Taxable Income (L42 - L44)     $ 35,564          $ 104,960    

46

    Federal Tax     $ 12,092          $ 35,686    

47

    Total Federal Income Tax     $ 12,092          $ 35,686    

48

    Combined Federal and State Income Tax (L43 + L47)     $ 14,755          $ 43,548    

50

 

   

 

Effective Tax Rate

 

       
   Calculation of Interest Synchronization;          N/A   

51

    Rate Base (Schedule B-1)        $ (181,978)   

52

    Weighted Average Cost of Debt          N/A        0.0000%   

53

    Synchronized Interest (L50 X L51)        $ -         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale   
Docket No. W-03720A-12-0311    Settlement B-1            
Test Year Ended December 31, 2011   

RATE BASE - ORIGINAL COST

 

LINE

NO.

        

(A)

COMPANY

AS

FILED

     

(B)

    

SETTLEMENT

ADJUSTMENTS

     

(C)

SETTLEMENT

AS

ADJUSTED

  

1

    Plant in Service      $ 1,921,063           $ -               $ 1,921,063     

2

    Less: Accumulated Depreciation      (424,824)          -               (424,824)    
     

 

 

     

 

 

     

 

 

  

3

    Net Plant in Service      $         1,496,239           $                     -               $     1,496,239     
     

 

 

     

 

 

     

 

 

  
   LESS:         

4

    Contributions in Aid of Construction (CIAC)      $ -               $ -               $ -         

5

        Less: Accumulated Amortization      -               -               -         
     

 

 

  

6

          Net CIAC      -               -               -         

7

    Advances in Aid of Construction (AIAC)      1,824,411           -               1,824,411     

8

    Imputed Reg AIAC      -               

9

    Imputed Reg CIAC      -               -               -         

10

    Accumulated Deferred Income Tax Credits      -               -               -         
   Customer Meter Deposits      10,765              10,765     
   ADD:         

11

    Accumulated Deferred Income Tax Debits      9,246           -               9,246     

12

    Cash Working Capital      483           -               483     

13

    Deferred Compensation      232           -               232     

14

    CIAC      -               -               -         

15

    Fixed Asset Depreciation      146,998           -               146,998     

16

    Deferred Debits      -             -               -         

17

    Purchase Wastewater Treatment Charges      -             -            

18

          Original Cost Rate Base      $ (181,978)          $ -             $ (181,978)    
     

 

 

     

 

 

     

 

 

  
   References:         
   Column (A), Company Schedule B-2         
   Column (B): Schedule B-2         
   Column (C): Column (A) + Column (B)         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale    Settlement B-2      
Docket No. W-03720A-12-0311   
Test Year Ended December 31, 2011   

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

                [A]    

[B]

 

     [I]  

LINE

NO.

     

    ACCT.

    NO.

    DESCRIPTION   COMPANY     Reclassifications
Per Staff 		   

SETTLEMENT

  
                AS FILED     Testimony GWB     ADJUSTED  
     PLANT IN SERVICE:       

1

      303     Land and Land Rights     $ 30,374         $ -             $ 30,374     

2

      304     Structures and Improvements     20,000           20,000     

3

      307     Wells and Springs     130,000                             130,000     

4

      309     Supply Mains     -               -     

5

      310     Power Generation Equipment     -               -     

6

      311     Pumping Equipment     216,158           216,158     

7

      320     Water Treatment Equipment     377         (377)        0     

8

      320.1    Water Treatment Plant       377         377     

9

      320.2    Solution Chemical Feeders         -     

10

      330     Distribution Reservoirs and Standpipes     182,972         (182,972)        0     

11

      330.1    Storage Tanks             182,972         182,972     

12

      330.2        Pressure Tanks         -     

13

      331     Transmission and Distribution Mains     1,155,497           1,155,497     

14

      333     Services     60,047           60,047     

15

      334     Meters and Meter Installations     11,303           11,303     

16

      335     Hydrants     108,312           108,312     

17

      336     Backflow Prevention Devices     775           775     

18

      339     Other Plant and Miscellaneous Equipment     2,390           2,390     

19

      340     Office Furniture and Equipment     -               -     

20

      341     Transportation Equipment     -               -     

21

      343     Tools, Shop and Garage Equipment     515           515     

22

      344     Laboratory Equipment     -               -     

23

      345     Power Operated Equipment     -               -     

24

      346     Communication Equipment     -               -     

25

      347     Miscellaneous Equipment     -               -     

26

      348     Other Tangible Plant     -               -     

27

      390     Office Furniture & Equipment     2,343           2,343     
       

 

    

 

 

  

28

     

Total Plant in Service

               1,921,063         -             1,921,063     
         

 

 

    

 

 

  

29

                   

30

     

Accumulated Depreciation

     (424,824)        -             (424,824)    
         

 

 

    

 

 

  

31

     

Net Plant in Service

     $ 1,496,239         $ -             1,496,239     
             

 

 

  
         

 

 

    

32

              

33

      LESS:      

34

     

Contributions in Aid of Construction (CIAC)

     $ -               $ -         

35

     

    Less: Accumulated Amortization

     -             -             -         
         

 

 

    

 

 

  

36

     

      Net CIAC (L63 - L64)

     -             -             -         

37

     

Advances in Aid of Construction (AIAC)

     1,824,411         -             1,824,411     

38

     

 Customer Meter Deposits

     10,765           10,765     

39

      ADD:         -         

40

     

Meter deposits

     9,246           9,246     

41

     

Bad Debt

     483           483     

42

     

Deferred Compensation

     232         -             232     

43

     

CIAC

     -             -             -         

44

     

Fixed asset depreciation

     146,998         -             146,998     

45

      Prepayments       -             -         

48

              

49

              

50

              
         

 

 

  

51

     

Original Cost Rate Base

     $ (181,978)        $ -             $ (181,978)    
         

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Water Utility of Northern Scottsdale    Settlement C-1          
Docket No. W-03720A-12-0311   
Test Year Ended December 31, 2011   

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

LINE

NO.

    DESCRIPTION  

[A]

    

COMPANY
TEST YEAR
AS FILED

    

[B]

    

SETTLEMENT
TEST YEAR
ADJUSTMENTS

    

[C]

SETTLEMENT
TEST YEAR

AS

ADJUSTED

    

[D]

    

SETTLEMENT

RECOMMENDED

CHANGES

    

[E]

    

    

SETTLEMENT

RECOMMENDED

  
       $ -              $ -              $ -              $ -              $ -         

1

    Metered Water Sales                 145,963          -              145,963          -              145,963     

2

    Water Sales - Unmetered     -                -             

3

    Other Operating Revenue     1,550          -              1,550          -              1,550     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

4

    Total Operating Revenues     $ 147,513          $ -              $ 147,513          $ -              $ 147,513     

5

    601 Salary and Wages - Employees     $ 19,787          $ -              $ 19,787          $ -              $ 19,787     

6

    604 Employee Pensions and Benefits     -              -              -              -              -         

7

    610 Purchased Water     -              -              -              -              -         

6

    615 Purchased Power     10,050          -              10,050          -              10,050     

9

    616 Fuel for Power Production     -              -              -              -              -         

10

    618 Chemicals     1,286          -              1,286          -              1,286     

11

    620 Materials and Supplies     (779)         -              (779)         -              (779)    

12

    620.08 Materials and Supplies     -              -              -              -              -         

13

    621 Office Supplies and Expense     1,494          -              1,494          -              1,494     

14

    630 Outside Services     4,483          -              4,483          -              4,483     

15

    635 Contractual Services - Testing     728          -              728            728     

16

    636 Contractual Services - Other     -              -              -              -              -         

17

    641 Rental of Building/Real Property     504          -              504          -              504     

18

    642 Rental of Equipment     -              -              -              -              -         

19

    650 Transportation Expenses     1,508          -              1,508          -              1,508     

20

    657 Insurance - General Liability     475          -              475          -              475     

21

    659 Insurance - Other     664          -              664            664     

22

    660 Advertising Expense     -              -              -                -         

23

    666 Regulatory Commission Expense – Rate     502          -              502          -              502     

24

    667 Rate Case Expense     -              (247)         (247)           (247)    

25

    670 Bad Debt Expense     -              1,003          1,003            1,003     

26

    675 Miscellaneous Expenses     4,137          -              4,137            4,137     

27

    403 Depreciation Expense     64,552          (4,292)         60,260            60,260     

28

    403 Depreciation Expense – CIAC Amortizat     326          -              326            326     

29

    408 Taxes Other Than Income     3,104          -              3,104          -              3,104     

30

    408.11 Property Taxes     -              -              -                -         

31

    409 Income Taxes     13,391          1,365          14,755            14,755     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

32

    Total Operating Expenses     126,212          (2,171)         124,041          -              124,041     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

33

    Operating Income (Loss)     $ 21,301          $                 2,171          $                 23,472          $                     -              $                 23,472     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
   References:          
   Column (A): Company Schedule C-1          
   Column (B): Schedule C-2          
   Column (C): Column (A) + Column (B)          
   Column (D): Schedule A-1          
   Column (E): Column (C) + Column (D)           

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Water Utility of Northern Scottsdale    Settlement C-2  
Docket No. W-03720A-12-0311   
Test Year Ended December 31, 2011   

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

         [A]     [B]     [D]     [C]     [F]     [H]  
                     Rate Case                    
LINE              Bad Debts Exp     Exp     Deprec. Exp     Income Taxes        

NO.

 

    DESCRIPTION   COMPANY     ADJ #1     ADJ #2     ADJ #3     ADJ #4     SETTLEMENT  
        

AS FILED

    

 

    

 

    

 

    

 

    

ADJUSTED

  
   Revenues            

1

    Metered Water Sales     145,963          -              -              -              -              145,963     

2

    Water Sales - Unmetered     -                      -         

3

    Other Operating Revenue     1,550          -              -              -              -              1,550     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

4

    Total Operating Revenues     $ 147,513          $ -              $ -              $ -              $ -              $ 147,513     
   Operating Expenses            

5

    601 Salary and Wages - Employees     19,787          $ -          $ -          $ -          $ -          19,787     

6

    604 Employee Pensions and Benef     -              -          -          -          -          -         

7

    610 Purchased Water     -                -          -          -          -         

8

    615 Purchased Power     10,050                  10,050     

9

    616 Fuel for Power Production     -              -                -         

10

    618 Chemicals     1,286          -                1,286     

11

    620 Materials and Supplies     (779)         -                (779)    

12

    620.08 Materials and Supplies     -              -                -         

13

    621 Office Supplies and Expense     1,494          -                1,494     

14

    630 Outside Services     4,483          -                4,483     

15

    635 Contractual Services - Testing     728          -          -              728     

16

    636 Contractual Services - Other     -              -                -         

17

    641 Rental of Building/Real Propert     504          -                504     

18

    642 Rental of Equipment     -              -                -         

19

    650 Transportation Expenses     1,508          -                1,508     

20

    657 Insurance - General Liability     475          -                475     

21

    659 Insurance - Other     664          -                664     

22

    660 Advertising Expense     -              -                -         

23

    666 Regulatory Commission Expen     502          -                502     

24

    667 Rate Case Expense     -                (247)             (247)    

25

    670 Bad Debt Expense     -              1,003                1,003     

26

    675 Miscellaneous Expenses     4,137                  4,137     

27

    403 Depreciation Expense     64,552              (4,292)           60,260     

28

    403 Depreciation Expense – CIAC     326                  326     

29

    408 Taxes Other Than Income     3,104          -                3,104     

30

    408.11 Property Taxes     -                      -         

31

    409 Income Taxes     13,391              -          1,365          14,755     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

32

    Total Operating Expenses     $     126,212          $          1,003          $ (247)         $ (4,292)         $          1,365          $ 124,041     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

33

    Operating income     $ 21,301          $ (1,003)         $          247          $          4,292          $ (1,365)         $ 23,472     
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Water Utility of Northern Scottsdale    Settlement ADJ 1                            
Docket No. W-03720A-12-0311    Water Loss                            
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #1 - BAD DEBT EXPENSE

 

    LINE
    NO.		      DESCRIPTION   

[A]

COMPANY
PROPOSED

  

[B]

SETTLEMENT
ADJUSTMENTS

  

[C]

SETTLEMENT
RECOMMENDED

  
    1           $                -             $              1,003         $                    1,003     
       

 

  
     References:       
     Column (A), Company Workpapers  
     Column (B): Staff Testimony GWB  
    

Column (C): Column (A) + Column (B), Per Co Response

                 to Staff DR 5.8

  
     Adjusted Test Year Revenues (Sch C-2)       $                147,513     
     Bad Debt Expense Rate                                  0.68%    
     Expected Bad Debt Expense       $                    1,003     
     Co Proposed            $                        -         
           $                   (1,003)    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale    Settlement ADJ 2                            
Docket No. W-03720A-12-0311    Rate Case Expense                            
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #2 - RATE CASE EXPENSE

 

LINE
NO.		    DESCRIPTION   

[A]

COMPANY
    PROPOSED    

     [B]
SETTLEMENT
ADJUSTMENTS		     [C]
SETTLEMENT
RECOMMENDED		        
           

1

         $ 502        $ (247 )    $ 255       
     

 

 

    
                   
   Company Proposed Rate                 
   Case Expense                 
            Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah           Buckeye           WUNS        

2

    Allocation Percentages        39.86%        40.32%        13.45%        3.78%        0.82%        1.58%        0.19%     

3

    Desert Mountain Analytical Services      $ 122,063      $ 48,652      $ 49,218      $ 16,420      $ 4,616      $ 996      $ 1,927      $ 234     

4

    Insight Consulting, LLC      $ 216,000      $ 86,094      $ 87,095      $ 29,057      $ 8,168      $ 1,762      $ 3,410      $ 413     

5

    Roshka Dewulf & Patten, PLC      $ 370,303      $ 147,597      $ 149,313      $ 49,814      $ 14,004      $ 3,021      $ 5,846      $ 709     

6

    Ullmann & Company P C      $ 78,809      $ 31,412      $ 31,777      $ 10,602      $ 2,980      $ 643      $ 1,244      $ 151     
     

 

 

  

7

    Total      $ 787,174      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     

8

    Amortization over 3 years:                 

9

    Year 1      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     

10

    Year 2      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     

11

    Year 3      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     
     

 

 

  

12

    Totals      $ 787,174      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     
   Settlement Rate Case Expense               
13    Description      Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

14

    Recommended Amount      $ 400,000      $ 159,434      $ 161,287      $ 53,809      $ 15,127      $ 3,263      $ 6,315      $ 765     

15

    Amortization:                 

16

    Year 1      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     

17

    Year 2      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     

18

    Year 3      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     
     

 

 

  

19

    Totals      $ 400,000      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     

20

    Adjustment Total, by System      $ (129,058 )    $ (51,441 )    $ (52,038 )    $ (17,361 )    $ (4,881 )    $ (1,053 )    $ (2,037 )    $ (247)    
   References:                 
   Column (A), Company Workpapers                 
   Column (B): Line 20 for respective system                 
   Column (C): Line 16 for respective system                 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Water Utility of Northern Scottsdale    Settlement ADJ 3      
Docket No. W-03720A-J2-0311    Depreciaiton Expense      
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #3 - DEPRECIATION EXPENSE

 

LINE
NO.		    ACCT.
NO.		    DESCRIPTION  

[A]

PLANT

BALANCE

     [B]
DEPRECIATION
RATE		     [C]
DEPRECIATION
EXPENSE
   PLANT IN SERVICE:      

1

    303    Land and Land Rights     $ 30,374          0.00%       -      

2

    304    Structures and Improvements     $ 20,000          3.33%       666  

3

    307    Wells and Springs     $ 130,000          3.33%       4,329  

4

    309    Supply Mains     $ -              2.00%       -      

5

    310    Power Generation Equipment     $ -              5.00%       -      

6

    311    Pumping Equipment     $ 216,158          12.50%       27,020  

7

    320    Water Treatment Equipment     $ 0          0.00%       -      

8

    320.1    Water Treatment Plant     $ 377          -      

9

    320.1    Solution Chemical Feeders     $ -              3.33%       -      

10

    320.2            Distribution Reservoirs and Standpipes     $ 0          20.00%       0  

11

    330    Storage Tanks     $ 182,972          -      

12

    330.1    Pressure Tanks     $ -              2.22%       -      

13

    331    Transmission and Distribution Mains     $ 1,155,497          2.00%       23,110  

14

    333    Services     $ 60,047          3.33%       2,000  

15

    334    Meters and Meter Installations     $ 11,303          8.33%       942  

16

    335    Hydrants     $ 108,312          2.00%       2,166  

17

    336    Backflow Prevention Devices     $ 775          6.67%       52  

18

    339    Other Plant and Miscellaneous Equipment     $ 2,390          6.67%       159  

19

    340    Office Furniture and Equipment     $ -              6.67%       -      

20

    341    Transportation Equipment     $ -              20.00%       -      

21

    343    Tools, Shop and Garage Equipment     $ 515          5.00%       26  

22

    344    Laboratory Equipment     $ -              10.00%       -      

23

    345    Power Operated Equipment     $ -              5.00%       -      

24

    346    Communication Equipment     $ -              10.00%       -      

25

    347    Miscellaneous Equipment     $ -              10.00%       -      

26

    348    Other Tangible Plant     $ -              5.00%       -      

27

    390    Office Furniture & Equipment     $ 2,343          5.00%       117  
       

 

 

    

 

 

    

 

28

           1,921,063          60,586  

29

       Less: Non Depreciable Plant      

30

       Land and Land Rights     $ 30,374         
       

 

 

      

31

       Net Depreciable Plant and Depreciation Amounts     $             1,890,689            $             60,586  

32

            

33

            

34

       Amortization of CIAC at Company’s Rate     $ -                          3.2044%         $                   -      
           

 

35

       Settlement Depredation Expense         $             60,586  

36

       Company Proposed Depreciation Expense         $             64,878  

37

       Settlement Adjustment         $              (4,292) 

38

            

    

 

            
        References:      
   Col [A]    Schedule B-2      
   Col [B]    Proposed Rates per Staff Engineering Report      
   Col [C]    Col [A] times Col [B]      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale    Settlement ADJ 4
Docket No. W-03720A-12-0311    Income Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #4 - INCOME TAXES

 

LINE

 NO.

    DESCRIPTION   

[A]

COMPANY

  PROPOSED  

     

[B]

SETTLEMENT

  ADJUSTMENTS  

     

[C]

SETTLEMENT

  RECOMMENDED  

  

   1

    Income Taxes      $ 13,391           $ 1,365           $ 14,755     
     

 

 

     

 

 

     

 

 

  

References:

Column (A), Company Schedule  C-2

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B),

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale    Settlement ADJ 5
Docket No. W-03720A-12-0311    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #5 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

        [A]         [B]  

LINE  

NO.  

   DESCRIPTION  

SETTLEMENT
AS ADJUSTED

         SETTLEMENT
RECOMMENDED		  

1

   Adjusted Test Year Revenues - 2011     $ 147,513            $ 147,513     

2

   Weight Factor     2            2     
   

 

 

      

 

 

  

3

   Subtotal (Line 1 * Line 2)     295,027            295,027     

4

   Adjusted Test Year Revenues - 2011     147,513         

5

   Recommended Revenue         147,513     
   

 

 

      

 

 

  

6

   Subtotal (Line 4 + Line 5)     442,540            442,540     

7

   Number of Years     3            3     
   

 

 

      

 

 

  

8

   Three Year Average (Line 5 / Line 6)     147,513            147,513     

9

   Department of Revenue Mutilplier     2            2     
   

 

 

      

 

 

  

10  

   Revenue Base Value (Line 7 * Line 8)     295,027            295,027     

11  

   Plus: 10% of CWIP     -                 -          

12  

   Less: Net Book Value of Licensed Vehicles     -                 -          
   

 

 

      

 

 

  

13  

   Full Cash Value (Line 10 + Line 11 - Line 12)     295,027            295,027     

14  

   Assessment Ratio     21.0%           21.0%    
   

 

 

      

 

 

  

15  

   Assessment Value (Line 13 * Line 14)     61,956            61,956     

16  

   Composite Property Tax Rate     5.0100%           5.0100%    
   

 

 

      

 

 

  

17  

   Test Year Adjusted Property Tax Expense (Line 15 * Line 16)     $ 3,104         

18  

   Company Proposed Property Tax     $ 3,104         
   

 

 

      

19  

   Test Year Adjustment (Line 17 - Line 18)     $ -              
   

 

 

      

20  

   Property Tax onRecommended Revenue (Line 15 * Line 16)         $ 3,104     

21  

   Test Year Adjusted Property Tax Expense (Line 17)         $ 3,104     
       

 

 

  

22  

   Increase in Property Tax Due to Increase in Revenue Requirement         $ -          
       

 

 

  

23  

   increase in Property Tax Due to Increase in Revenue Requirement (Line 22)         $ -          

24  

   Increase in Revenue Requirement         $ -          

25  

   Increase in Property Tax Per Dollar increase in Revenue (Line 23 / Line 24)      
 

 

REFERENCES:

Line 15: Composite Tax Rate, per Company

Line 18:  Company Schedule C-1, Line 36

      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Water Utility of Northern Scottsdale    Schedule H-3
Docket No. W-03720A-12-0311    Page 1 of 2
Test Year Ended December 31, 2011   

 

Monthly Minimum Charges:

 

    Basic Service Charge      
 

 

 

    
    Present     Proposed                  
 

 

 

    
Meter Size (All Classes)         2014                 2015    

 

    

5/8” by 3/4” Meter

     $          27.00        $        27.00                $     27.00       

3/4” Meter

     27.00        27.00                27.00       

1” Meter

     57.00        57.00                57.00       

1.5” Meter

     120.00        120.00                120.00       

2” Meter

     128.00        128.00                128.00       

3” Meter

     340.00        340.00                340.00       

4” Meter

     550.00        550.00                550.00       

6” Meter

         1,100.00        1,100.00                1,100.00       

6” Meter

     NA        2,160.00                2,160.00       

 

Commodity Rate Charges:

 

        
    Present and 2014           Proposed (2015)      
Potable Water           Rate Block    
       (Gallons)    		    

              Volumetric

              Charge
               (Per 1,000 Gallons)

                   Rate Block        

            Volumetric

            Charge

            (Per 1,000 Gallons)

 

5/8” x 3/4”, 3/4, 1”, and 1 1/2” Residential Meters

            

Tier One Breakover

     4,000        $        5.00                  1,000        3.45             

Tier Two Breakover

     10,000        6.00                  5,000        4.59             

Tier Three Breakover

     over 10,000        7.00                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

5/8” x 3/4” and 3/4” Non-residential Meters

            

Tier One Breakover

     7,000        $        6.00                  1,000        3.45             

Tier Two Breakover

     over 7,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

1” Non-residential Meters

            

Tier One Breakover

     16,000        $        6.00                  1,000        3.45             

Tier Two Breakover

     over 16,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

1 1/2” Non-residential Meters

            

Tier One Breakover

     32,000        $        6.00                  1,000        3.45             

Tier Two Breakover

     over 32,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

2” Meters - All Classes

            

Tier One Breakover

     60,000        $        6.00                  1,000        3.45             

Tier Two Breakover

     over 60,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

3” Meters - All Classes

            

Tier One Breakover

     120,000        $        6.00                  1,000        3.45             

Tier Two Breakover

     over 120,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

4” Meters - All Classes

            

Tier One Breakover

     200,000        S        6.00                  1,000        3.45             

Tier Two Breakover

     over 200,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

6” Meters - All Classes

            

Tier One Breakover

     400,000        $        6.00                  1,000        3.45             

Tier Two Breakover

     over 400,000        7.00                  5,000        4.59             

Tier three Breakover

     NA        NA                  10,000        5.59             

Tier Four Breakover

     NA        NA                  18,000        6.80             

Tier Five Breakover

     NA        NA                  25,000        7.80             

Tier Six Breakover

     NA        NA                  over 25,000        8.80             

Standpipe Rate - per 1,000 gallons

           all gallons    $        7.00                        all gallons      $        7.00             

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

   Schedule H-3
   Page 2 of 2

 

       Present                     Proposed          
  

 

 

  

Conservation Rebate Threshold (“CRT”) in Gallons

      N/A            7,001   

Commodity rate rebate applied If consumption is below the CRT:

      N/A            20%   

 

Miscellaneous Service Charges     Present           Proposed                 Change          

 

  

Establishment of Service

   $ 30.00        $ 30.00        $ -         

Establishment of Service (After Hours)

     45.00          Eliminate       

Re-establishment of Service (Within 12 Months)

     **          **       

Reconnection of Service (Delinquent)

     30.00          30.00          -         

Reconnection of Service - After Hours (Delinquent)

     N/A          Eliminate       

Meter Move at Customer Request

     N/A          at cost       

After-Hours Service Charge

     N/A          35.00       

Deposit

     *          *       

Deposit Interest

     *          *       

Meter Re-Read (If Correct)

     25.00          25.00          -         

Meter Test Fee (If Correct)

     30.00          30.00          -         

NSF Check

     30.00          30.00          -         

Late Payment Charge (Per Month)

     3.00          1.50%       

Deferred Payment Charge (Per Month)

     1.50%          1.50%          -         

Fire Sprinkler, Monthly Service Charge

     ***          ***       

 

  

*     Per A.A.C. R14-2-403(B).

**    Number of Months off System times the monthly minimum per A.A.C. R14-2-403(D).

***  One percent (1.00%) of monthly minimum for a comparable sized meter connection, but not less than $5.00 per month. The service charge for fire sprinklers is only applicable for service lines separate and distinct from the primary water service line.

In addition to the collection of its regular rates and charges, the Company shall collect from customers their proportionate share of any privilege, sales or use tax in accordance with A.A.C. R14-2-409(DX5).

Service Line and Meter Installation Charges (Refundable Pursuant to A.A.C. R14-2-405)

    Present             Proposed            
 

 

 

        

 

 

      

Meter Size

 

  

Service Line

Charges

     Meter Charges     Total Charges         Service Line Charges     Meter Charges     Total Charges      Change       

 

5/8 x 3/4” Meter

     $370.00          $115.00          $485.00                       $370.00          $115.00          $485.00          0.00%                  

3/4” Meter

     375.00        145.00        520.00            375.00        145.00        $520.00          0.00%     

    1” Meter

     405.00        205.00        610.00            405.00        205.00        $610.00          0.00%     

1 1/2” Meter

     440.00        415.00        855.00            440.00        415.00        $855.00          0.00%     

2” Turbine Meter

     615.00        900.00        1,515.00            615.00        900.00        $1,515.00          0.00%     

2” Compound Meter

     615.00        1,625.00        2,240.00            615.00        1,625.00        $2,240.00          0.00%     

3” Turbine Meter

     790.00        1,405.00        2,195.00            790.00        1,405.00        $2,195.00          0.00%     

3” Compound Meter

     830.00        2,200.00        3,030.00            830.00        2,200.00        $3,030.00          0.00%     

4” Turbine Meter

     1,100.00        2,260.00        3,360.00            1,100.00        2,260.00        $3,360.00          0.00%     

4” Compound Meter

     1,155.00        3,160.00        4,315.00            1,155.00        3,160.00        $4,315.00          0.00%     

6” Turbine Meter

     1,655.00        4,460.00        6,115.00            1,655.00        4,460.00        $6,115.00          0.00%     

6” Compound Meter

     1,700.00        6,190.00        7,890.00            1,700.00        6,190.00        $7,890.00          0.00%     

8” and Larger Meters

     NA        NA        NA            NA        NA        cost       

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Northern Scottsdale       Schedule H-4                    

Test Year Ended December 31, 2011

      

Typical Bill Analysis

      

2014 

      

 

Rate Schedule:                                1” Meters  All Classes  
         Gallons         Present Bill    

Proposed

Bill

     Increase         % Increase  

Median Usage

     10500        116.50        116.50        -        0 %  

 

   
   

Present

     Proposed Bill        

Monthly 

Consumption 

  

Bill

(No CRT)

     Gross     CRT     Net    

Percent

  Increase  

  
   

-      

    $ 57.00       $ 57.00       $           -       $ 57.00        0.00%    

1,000  

     62.00        62.00        -        62.00        0.00%    

2,000  

     67.00        67.00        -        67.00        0.00%    

3,000  

     72.00        72.00        -        72.00        0.00%    

4,000  

     77.00        77.00        -        77.00        0.00%    

5,000  

     83.00        83.00        -        83.00        0.00%    

6,000  

     89.00        89.00        -        89.00        0.00%    

7,000  

     95.00        95.00        -        95.00        0.00%    

8,000  

     101.00        101.00        -        101.00        0.00%    

9,000  

     107.00        107.00        -        107.00        0.00%    

10,000  

     113.00        113.00        -        113.00        0.00%    

15,000  

     148.00        148.00        -        148.00        0.00%    

20,000  

     183.00        183.00        -        183.00        0.00%    

25,000  

     218.00        218.00        -        218.00        0.00%    

50,000  

     393.00        393.00        -        393.00        0.00%    

75,000  

     568.00        568.00        -        568.00        0.00%    

100,000  

     743.00        743.00        -        743.00        0.00%    

125,000  

     918.00        918.00        -        918.00        0.00%    

150,000  

     1,093.00        1,093.00        -        1,093.00        0.00%    

175,000  

     1,268.00        1,268.00        -        1,268.00        0.00%    

200,000  

     1,443.00          1,443.00        -              1,443.00        0.00%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Northern Scottsdale       Schedule H-4                    

Test Year Ended December 31, 2011

      

Typical Bill Analysis

      

2015 

      

 

Rate Schedule:                                1” Meters  All Classes  
       Gallons         Present Bill    

Proposed

Bill

     Increase           % Increase  

Median Usage

       10500        116.50        110.16        (6.34 )      -5 %  

 

   
   

Present

     Proposed Bill        

Monthly 

Consumption 

  

Bill

(No CRT)

     Gross     CRT     Net    

Percent

  Increase  

  
   

-      

    $ 57.00       $ 57.00       $ -            $ 57.00        0.00%   

1,000  

     62.00       $ 60.45       $       (0.69)       $ 59.76        -3.61%   

2,000  

     67.00       $ 65.04       $ (1.61)       $ 63.43        -5.33%   

3,000  

     72.00       $ 69.63       $ (2.53)       $ 67.10        -6.80%   

4,000  

     77.00       $ 74.22       $ (3.44)       $ 70.78        -8.08%   

5,000  

     83.00       $ 78.81       $ (4.36)       $ 74.45        -10.30%   

6,000  

     89.00       $ 84.40       $ (5.48)       $ 78.92        -11.33%   

7,000  

     95.00       $ 89.99       $ (6.60)       $ 83.39        -12.22%   

8,000  

     101.00       $ 95.58       $ -            $ 95.58        -5.37%   

9,000  

     107.00       $ 101.17       $ -            $ 101.17        -5.45%   

10,000  

     113.00       $ 106.76       $ -            $ 106.76        -5.52%   

15,000  

     148.00       $ 140.76       $ -            $ 140.76        -4.89%   

20,000  

     183.00       $ 176.76       $ -            $ 176.76        -3.41%   

25,000  

     218.00       $ 259.76       $ -            $ 259.76        19.16%   

50,000  

     393.00       $ 479.76       $ -            $ 479.76        22.08%   

75,000  

     568.00       $ 699.76       $ -            $ 699.76        23.20%   

100,000  

     743.00       $ 919.76       $ -            $ 919.76        23.79%   

125,000  

     918.00       $ 1,139.76       $ -            $ 1,139.76        24.16%   

150,000  

     1,093.00       $ 1,359.76       $ -            $ 1,359.76        24.41%   

175,000  

     1,268.00       $ 1,579.76       $ -            $ 1,579.76        24.59%   

200,000  

     1,443.00       $   1,799.76       $ -            $       1,799.76        24.72%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Northern Scottsdale       Schedule H-4                    

Test Year Ended December 31, 2011

      

Typical Bill Analysis

      

2014 

      

 

Rate Schedule:                                1.5” Meters    All Classes  
         Gallons         Present Bill    

Proposed 

Bill 

     Increase           % Increase  

Median Usage

     13500        200.50        179.50         (21.00 )      -10 % 

 

   
   

Present

     Proposed Bill        

Monthly 

Consumption 

  

Bill

(No CRT)

     Gross     CRT     Net    

Percent

  Increase  

  
   

-      

    $ 120.00       $ 120.00       $ -       $ 120.00        0.00%    

1,000  

     125.00        125.00        -        125.00        0.00%    

2,000  

     130.00        130.00        -        130.00        0.00%    

3,000  

     135.00        135.00        -        135.00        0.00%    

4,000  

     140.00        140.00        -        140.00        0.00%    

5,000  

     146.00        146.00        -        146.00        0.00%    

6,000  

     152.00        152.00        -        152.00        0.00%    

7,000  

     158.00        158.00        -        158.00        0.00%    

8,000  

     164.00        164.00        -        164.00        0.00%    

9,000  

     170.00        170.00        -        170.00        0.00%    

10,000  

     176.00        176.00        -        176.00        0.00%    

15,000  

     211.00        211.00        -        211.00        0.00%    

20,000  

     246.00        246.00        -        246.00        0.00%    

25,000  

     281.00        281.00        -        281.00        0.00%    

50,000  

     456.00        456.00        -        456.00        0.00%    

75,000  

     631.00        631.00        -        631.00        0.00%    

100,000  

     806.00        806.00        -        806.00        0.00%    

125,000  

     981.00        981.00        -        981.00        0.00%    

150,000  

     1,156.00        1,156.00        -        1,156.00        0.00%    

175,000  

     1,331.00        1,331.00        -        1,331.00        0.00%    

200,000  

     1,506.00          1,506.00                  -              1,506.00        0.00%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Northern Scottsdale       Schedule H-4                    

Test Year Ended December 31, 2011

      

Typical Bill Analysis

      

2015 

      

 

Rate Schedule:                                1.5” Meters    All Classes  

 

       Gallons         Present Bill    

Proposed

Bill

     Increase           % Increase  

Median Usage

       13500        200.50        193.56        (6.94 )      -3 % 

 

   
   

Present

     Proposed Bill        

Monthly 

Consumption 

  

Bill

(No CRT)

     Gross     CRT     Net    

Percent

  Increase  

  
   

-       

    $ 120.00       $ 120.00       $ -            $ 120.00        0.00%    

1,000  

     125.00        123.45              (0.69)        122.76        -1.79%    

2,000  

     130.00        128.04        (1.61)        126.43        -2.74%    

3,000  

     135.00        132.63        (2.53)        130.10        -3.63%    

4,000  

     140.00        137.22        (3.44)        133.78        -4.45%    

5,000  

     146.00        141.81        (4.36)        137.45        -5.86%    

6,000  

     152.00        147.40        (5.48)        141.92        -6.63%    

7,000  

     158.00        152.99        (6.60)        146.39        -7.35%    

8,000  

     164.00        158.58        -             158.58        -3.30%    

9,000  

     170.00        164.17        -             164.17        -3.43%    

10,000  

     176.00        169.76        -             169.76        -3.55%    

15,000  

     211.00        203.76        -             203.76        -3.43%    

20,000  

     246.00        239.76        -             239.76        -2.54%    

25,000  

     281.00        322.76        -             322.76        14.86%    

50,000  

     456.00        542.76        -             542.76        19.03%    

75,000  

     631.00        762.76        -             762.76        20.88%    

100,000  

     806.00        982.76        -             982.76        21.93%    

125,000  

     981.00        1,202.76        -             1,202.76        22.61%    

150,000  

     1,156.00        1,422.76        -             1,422.76        23.08%    

175,000  

     1,331.00        1,642.76        -             1,642.76        23.42%    

200,000  

       1,506.00          1,862.76        -                   1,862.76        23.69%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Northern Scottsdale       Schedule H-4                    

Test Year Ended December 31, 2011

      

Typical Bill Analysis

      

2014 

      

 

Rate Schedule:                                2” Meters      All Classes  
            Present Bill    

Proposed

Bill

     Increase         % Increase  

Median Usage

             19500        250.50        250.50        -        0 % 

 

   
   

Present

     Proposed Bill        

Monthly 

Consumption 

  

Bill

(No CRT)

     Gross     CRT     Net    

Percent

  Increase  

  
   

-      

    $ 128.00       $ 128.00       $           -       $ 128.00        0.00%   

1,000  

     133.00        133.00        -        133.00        0.00%   

2,000  

     138.00        138.00        -        138.00        0.00%   

3,000  

     143.00        143.00        -        143.00        0.00%   

4,000  

     148.00        148.00        -        148.00        0.00%   

5,000  

     154.00        154.00        -        154.00        0.00%   

6,000  

     160.00        160.00        -        160.00        0.00%   

7,000  

     166.00        166.00        -        166.00        0.00%   

8,000  

     172.00        172.00        -        172.00        0.00%   

9,000  

     178.00        178.00        -        178.00        0.00%   

10,000  

     184.00        184.00        -        184.00        0.00%   

15,000  

     219.00        219.00        -        219.00        0.00%   

20,000  

     254.00        254.00        -        254.00        0.00%   

25,000  

     289.00        289.00        -        289.00        0.00%   

50,000  

     464.00        464.00        -        464.00        0.00%   

75,000  

     639.00        639.00        -        639.00        0.00%   

100,000  

     814.00        814.00        -        814.00        0.00%   

125,000  

     989.00        989.00        -        989.00        0.00%   

150,000  

        1,164.00          1,164.00        -        1,164.00        0.00%   

175,000  

     1,339.00        1,339.00        -        1,339.00        0.00%   

200,000  

     1,514.00        1,514.00        -             1,514.00        0.00%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Northern Scottsdale        Schedule H-4   

Test Year Ended December 31, 2011

      

Typical Bill Analysis

      

2015 

      

 

Rate Schedule:                                 2” Meters      All Classes  
       Gallons     Present Bill    

    Proposed    

Bill

     Increase             % Increase     

Median Usage    

       19500        250.50        244.26                       (6.24)        -2%    

 

   

Monthly 

                             Consumption 

  

Present

     Proposed Bill    

    Percent  
    Increase  

  
 

Bill

(No CRT)

     Gross    

 

CRT

     Net    

     

              

-     

   $ 128.00      $ 128.00       $ -           $ 128.00        0.00%    

1,000 

     133.00        131.45        (0.69 )      130.76        -1.68%    

2,000 

     138.00        136.04        (1.61 )      134.43        -2.59%    

3,000 

     143.00        140.63        (2.53 )      138.10        -3.42%    

4,000 

     148.00        145.22        (3.44 )      141.78        -4.21%    

5,000 

     154.00        149.81        (4.36 )      145.45        -5.55%    

6,000 

     160.00        155.40        (5.48 )      149.92        -6.30%    

7,000 

     166.00        160.99              (6.60 )      154.39        -6.99%    

8,000 

     172.00        166.58        -            166.58        -3.15%    

9,000 

     178.00        172.17        -            172.17        -3.28%    

10,000 

     184.00        177.76        -            177.76        -3.39%    

15,000 

     219.00        211.76        -            211.76        -3.31%    

20,000 

     254.00        247.76        -            247.76        -2.46%    

25,000 

     289.00        330.76        -            330.76        14.45%    

50,000 

     464.00        550.76        -            550.76        18.70%    

75,000 

     639.00        770.76        -            770.76        20.62%    

100,000 

     814.00        990.76        -            990.76        21.71%    

125,000 

     989.00        1,210.76        -            1,210.76        22.42%    

150,000 

     1,164.00        1,430.76        -            1,430.76        22.92%    

175,000 

     1,339.00        1,650.76        -            1,650.76        23.28%    

200,000 

         1,514.00          1,870.76        -                1,870.76                23.56%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT A

Water Utility of Greater Tonopah, Inc.

Schedules

 

 

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.

W-02450A -12-0312

Test Year Ended December 31, 2011

    Settlement A-1                        

REVENUE REQUIREMENT

 

LINE

NO.

   DESCRIPTION   

(A)

COMPANY

ORIGINAL

COST

         

(B)

COMPANY

FAIR

VALUE

         

(C)

SETTLEMENT

ORIGINAL

COST

         

(D)

SETTLEMENT

FAIR

VALUE

      

1

   Adjusted Rate Base    $       2,206,816          $       2,206,816          $           2,206,817          $           2,206,817      

2

   Adjusted Operating Income (Loss)    $ (175,170)         $ (175,170)         $ (78,593)         $ (78,593)     

3

   Current Rate of Return (L2 / L1)      -7.94%           -7.94%           -3.56%           -3.56%     

4

   Required Rate of Return or Operating Margin      10.72%           10.72%           10.0%           10.0%     

5

   Required Operating Income (L4 * L1)    $ 236,637          $ 236,637          $ 40,786          $ 220,770      

6

   Operating Income Deficiency (L5 - L2)    $ 411,807          $ 411,807          $ 119,379          $ 299,363      

7

   Gross Revenue Conversion Factor      1.6451            1.6451            1.6752            1.6752      

    

                      

8

   Required Revenue Increase (L7 * L6)    $ 677,458            $ 677,458            $ 199,983            $ 199,983        

9

   Adjusted Test Year Revenue    $ 207,705          $ 207,705          $ 207,705          $ 207,705      

10

   Proposed Annual Revenue (L8 + L9)    $ 885,163          $ 885,163          $ 407,689          $ 407,689      

11

   Required Increase in Revenue (%)      326.16%           326.16%           96.28%           96.28%     

12

   Rate of Return on Common Equity (%)      11.44%           11.44%           NA           NA     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Schedule: A-1a   
W-02450A-12-0312    Settlement Phase In   
Test Year Ended December 31, 2011      

 

    REVENUE PHASE IN PER SETTLEMENT      
         Year               

Revenue Increase

(Relative

to Test

Year)         

        

Revenue Increase
(Relative to

Previous

Year)             

      
            
    2014      

        

      -                       

    

     -                   
 

 

 

 

2015 

 

  

        99,992                        99,992               
            
    2016            199,983                        99,992               

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement Gross Revenue Conversion Factor   
W-02450A-12-0312    GRCF   
Test Year Ended December 31, 2011      

GROSS REVENUE CONVERSION FACTOR                                                             

 

LINE
NO.		   DESCRIPTION   (A)     (B)     (C)
  Calculation of Gross Revenue Conversion Factor:      

1

   Revenue     100.0000%       
   

 

 

      

2

   Uncollectible Factor (Line 11)     0.6570%       
   

 

 

      

3

   Revenues (L1 - L2)     99.3430%       
   

 

 

      

4

   Combined Federal and State Income Tax and Property Tax Rate (Line 23)     39.6485%       
   

 

 

      

5

   Subtotal (L3 - L4)     59.6945%       
   

 

 

      

6

   Revenue Conversion Factor (L1 / L5)     1.675195       
   

 

 

      
  Calculation of Uncollectible Factor:      

7

   Unity     100.0000%       
   

 

 

      

8

   Combined Federal and State Tax Rate (Line 17)     38.5989%       
   

 

 

      

9

   One Minus Combined Income Tax Rate (L7 - L8)     61.4011%       
   

 

 

      

10

   Uncollectible Rate     1.0700%       
   

 

 

      

11

   Uncollectible Factor (L9 * L10)       0.6570%      
     

 

 

    
  Calculation of Effective Tax Rate:      

12

   Operating Income Before Taxes (Arizona Taxable Income)     100.0000%       
   

 

 

      

13

   Arizona State Income Tax Rate     6.9680%       
   

 

 

      

14

   Federal Taxable Income (L12 - L13)     93.0320%       
   

 

 

      

15

   Applicable Federal Income Tax Rate (Line 44)     34.0000%       
   

 

 

      

16

   Effective Federal Income Tax Rate (L14 x L15)     31.6309%       
   

 

 

      

17

   Combined Federal and State Income Tax Rate (L13 +L16)       38.5989%      
     

 

 

    
  Calculation of Effective Property Tax Factor      

18

   Unity                         100.0000%       

19

   Combined Federal and State Income Tax Rate (L17)     38.5989%       

20

   One Minus Combined Income Tax Rate (L18-L19)     61.4011%       

21

   Property Tax Factor (ADJ 6, L25)     1.7094%       
   

 

 

      

22

   Effective Property Tax Factor (L20*L21)       1.0496%      
     

 

 

23

   Combined Federal and State Income Tax and Property Tax Rate (L17+L22)       39.6485% 
       

 

24

   Required Operating Income (Schedule A-1, Line 5)    $ 220,770        

25

   AdjustedTest Year Operating Income (Loss) (Schedule C-1)    $ (78,593)       
   

 

 

      

26

   Required Increase in Operating Income (L24 - L25)       $ 299,363      

27

   Income Taxes on Recommended Revenue (Col. (C), L48)    $ 31,350        

28

   Income Taxes on Test Year Revenue (Col. (A), L48)    $ (43,695)       
   

 

 

      

29

   Required Increase in Revenue to Provide for Income Taxes (L27 - L28)       $ 75,046      

30

   Required Revenue Increase (Schedule A-1)    $ 199,983        
   

 

 

      

31

   Uncollectible Rate (Line 10)     1.0700%       
   

 

 

      

32

   Uncollectible Expense on Recommended Revenue (L30 * L31)    $ 2,140        

33

   Adjusted Test Year Uncollectible Expense - N/A    $ -            
   

 

 

      

34

   Required Increase in Revenue to Provide for Uncollectible Exp.       $ 2,140      

35

   Property Tax with Recommended Revenue (ADJ 6, Line 21)    $ 14,673        

36

   Property Tax on Test Year Revenue (ADJ 6, Col A, L19)    $ 11,254        
   

 

 

      

37

   Increase in Property Tax Due to Increase in Revenue (L35-L36)       $ 3,419      

    

        
     

 

 

    

38

   Total Required Increase in Revenue (L26 + L29 + L34+ L37)       $                 379,968      
     

 

 

    
       

 

(A)

    

 

(B)

    

 

(C)

        Test Year                 Settlement
Recommended
  Calculation of Income Tax:              

39

   Revenue (Sch C-1)    $ 207,705         $              407,689 

40

   Operating Expenses Excluding Income Taxes    $ 329,994         $              335,553 

41

   Synchronized Interest (L53)    $ (9,085)        $                  (9,085)

42

   Arizona Taxable Income (L39 - L40 - L41)    $ (113,204)        $                 81,221 

43

   Arizona State Income Tax Rate     6.9680%         6.9680%

44

   Arizona Income Tax (L42 x L43)    $ (7,888)        $                  5,659 

45

   Federal Taxable Income (L42 - L44)    $ (105,316)        $                 75,562 

46

   Federal Tax    $ (35,807)        $                 25,691 

47

   Total Federal Income Tax    $ (35,807)        $                25,691 

48

   Combined Federal and State Income Tax (L43 + L47)    $ (43,695)        $                31,350 

50

   Effective Tax Rate      

    

        
  Calculation of Interest Synchronization:        N/A

51

   Rate Base (Schedule B-1)       $          2,206,817 

52

   SETTLEMENT FACTOR       -0.41%

53

   Synchronized Interest (L50 X L51)       $                (9,085)

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.   
W-02450A-12-0312    Settlement B-1
Test Year Ended December 31, 2011   

RATE BASE - ORIGINAL COST

 

            (A)           (B)          (C)  

LINE

NO.

         

COMPANY

AS

FILED

          

SETTLEMENT

  ADJUSTMENTS  

          

  SETTLEMENT  

AS

ADJUSTED

  

1

    Plant in Service      $       5,766,393            $ 0            $ 5,766,394    

2

    Less: Accumulated Depreciation      1,863,416            -                1,863,416    
     

 

 

       

 

 

       

 

 

  

3

    Net Plant in Service      $ 3,902,977            $ 0            $ 3,902,978    
     

 

 

       

 

 

       

 

 

  
   LESS:             

4

    Contributions in Aid of Construction (CIAC)      $ 73,118            $ -                $ 73,118    

5

   

Less: Accumulated Amortization

      13,653            -                13,653    
     

 

 

  

6

   

Net CIAC

      59,465            -                59,465    

7

    Advances in Aid of Construction (AIAC)      1,619,985            -                1,619,985    

8

    Imputed Reg AIAC      -                  

9

    Imputed Reg CIAC      -                -                -        

10

    Accumulated Deferred Income Tax Credits      27,797            -                27,797    
   Customer Meter Deposits      22,030                 22,030    
   ADD:             

11

    Accumulated Deferred Income Tax Debits      33,116            -                33,116     

12

    Cash Working Capital      -                -                -        

13

    Prepayments      -                -                -        
        -                  

14

    Supplies Inventory      -                -                -        

15

    Projected Capital Expenditures      -                -                -        

16

    Deferred Debits      -                -                -        

17

    Purchase Wastewater Treatment Charges      -                -             

18

   

  Original Cost Rate Base

      $ 2,206,816            $ 0            $ 2,206,817    
     

 

 

       

 

 

       

 

 

  
   References:             
   Column (A), Company Schedule B-2             
   Column (B): Schedule B-2             
   Column (C): Column (A) + Column (B)             

 

DECISION NO.    74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement B-2  
W-02450A-12-0312   
Test Year Ended December 31, 2011   

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

              [A]     [B]     [I]  
LINE    ACCT.             

 

Reassignments

        

NO.

   

NO.

   

DESCRIPTION

   COMPANY     per Staff     SETTLEMENT  
             

AS FILED

    

Testimony GWB

    

ADJUSTED

  
   PLANT IN SERVICE:       

1

    303     Land and Land Rights     $ 177,430         $ -            $ 177,430    

2

    304     Structures and Improvements     47,677           47,677    

3

    307     Wells and Springs     299,601           299,601    

4

    309     Supply Mains     -           -    

5

    310     Power Generation Equipment     -           -    

6

    311     Pumping Equipment     1,787,637           1,787,637    

7

    320    Water Treatment Equipment     1,626,520         (1,626,520)         0    
   320.1    Water Treatment Plant       1,625,072          1,625,072    
   320.2    Solution Chemical Feeders       1,448          1,448    

8

    330    Distribution Reservoirs and Standpipes     228,655         (228,655)         -    
   330.1    Storage Tanks       103,612          103,612    
   330.2    Pressure Tanks       125,043          125,043    

9

    331     Transmission and Distribution Mains     890,943           890,943    

10

    333     Services     43,069           43,069    

11

    334     Meters and Meter Installations     147,178           147,178    

12

    335     Hydrants     38,386           38,386    

13

    336     Backflow Prevention Devices     5,894           5,894    

14

    339     Other Plant and Miscellaneous Equipment     5,427           5,427    

15

    340     Office Furniture and Equipment     -           -    

16

    341     Transportation Equipment     -           -    

17

    343     Tools, Shop and Garage Equipment     1,977           1,977    

18

    344     Laboratory Equipment     663           663    

19

    345     Power Operated Equipment     838           838    

20

    346     Communication Equipment     12,408           12,408    

21

    347     Miscellaneous Equipment     5,210           5,210    

22

    348     Other Tangible Plant     446,880           446,880    
     

 

    

 

 

  

23

    Total Plant in Service     5,766,393         0          5,766,394    

24

       

25

    Accumulated Depreciation     1,863,416         -             1,863,416    
       

 

 

    

 

 

    

 

 

  

26

    Net Plant in Service     $ 3,902,977         $ 0          $ 3,902,978    

27

       

28

    LESS:       

29

    Contributions in Aid of Construction (ClAC)      $ 73,118            $ 73,118    

30

        Less: Accumulated Amortization     13,653           13,653    
       

 

 

    

 

 

    

 

 

  

31

          Net CIAC (L63 - L64)     59,465         -             59,465    

32

    Advances in Aid of Construction (AIAC)     1,619,985         -             1,619,985    

33

    Imputed Reg Advances     -            -             -       

34

    Imputed Reg CIAC        -             -       

35

    Accumulated Deferred Income Tax Credits     27,797           27,797    

36

     Customer Meter Deposits     22,030           22,030    

37

    ADD:          -       

38

    Accumulated Deferred Income Tax Debits     33,116           33,116    

39

    Working Capital Allowance          -       
       

 

 

    

 

 

    

 

 

  

40

    Original Cost Rate Base     $         2,206,816         $ 0          $           2,206,817    
       

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement C-1
W-02450A-12-0312   
Test Year Ended December 31, 2011   

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

LINE
NO.		   DESCRIPTION  

[A]

 

COMPANY
TEST YEAR

AS FILED

    

[B]

 

SETTLEMENT
TEST YEAR
ADJUSTMENTS

    

[C]

SETTLEMENT
TEST YEAR
AS
ADJUSTED

    

[D]

 

SETTLEMENT
RECOMMENDED
CHANGES

    

[E]

 

SETTLEMENT
RECOMMENDED

  

1

     461 Metered Water Revenue     $ 202,202          $ -              $ 202,202          $ 199,983          $ 402,186     

2

     460 Unmetered Water Revenue     -                -             

3

     474 Other Water Revenues     5,503          -              5,503          -              5,503     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

4

   Total Operating Revenues     $ 207,705          $ -              $ 207,705          $ 199,983          $ 407,689     

5

     601 Salary and Wages - Employees     $ 75,753          $ -              $ 75,753          $ -              $ 75,753     

6

     610 Purchased Water     960          -              960          -              960     

7

     615 Purchased Power     22,407          (878)         21,529          -              21,529     

8

     618 Chemicals     10,522          (412)         10,110          -              10,110     

9

     620 Materials and Supplies     20,175          -              20,175          -              20,175     

10

     621 Office Supplies and Expense     3,591          -              3,591          -              3,591     

11

     630 Outside Services     26,415          -              26,415          -              26,415     

12

     635 Contractual Services - Testing     5,109          -              5,109          -              5,109     

13

     636 Contractual Services - Other     -              -              -              -              -         

14

     641 Rental of Building/Real Propert     2,597          -              2,597          -              2,597     

15

     650 Transportation Expenses     5,733          -              5,733          -              5,733     

16

     657 Insurance - General Liability     1,557          -              1,557          -              1,557     

17

     659 Insurance - Other     269          -              269          -              269     

18

     666 Regulatory Commission Expen     2,140          (1,052)         1,088          -              1,088     

19

     670 Bad Debt Expense     4,769          (2,546)         2,222          2,140          4,362     

20

     675 Miscellaneous Expenses     7,221          -              7,221          -              7,221     

21

     403 Depreciation Expense     380,785          (245,777)         135,008          -              135,008     

22

     403 Depreciation Expense - CIAC     (2,151)         -              (2,151)         -              (2,151)    

23

     408 Taxes Other Than Income     1,553          -              1,553          -              1,553     

24

     408.11 Taxes Other Than Income -     11,254          -              11,254          3,419          14,673     

25

     409 Income Taxes     (197,785)         154,089          (43,695)         75,046          31,350     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

26

   Total Operating Expenses     382,875          (96,576)         286,299          80,604          366,903     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

27

   Operating Income (Loss)     $      (175,170)         $ 96,576          $ (76,593)         $ 119,379          $ 40,786     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  References:          
  Column (A): Company Schedule C-1          
  Column (B): Schedule C-2          
  Column (C): Column (A) + Column (B)          
  Column (D): Schedule GRCF          
  Column (E): Column (C) + Column (D)          

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement C-1
W-02450A-12-0312   
Test Year Ended December 31, 2011   

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

LINE
NO.

 

  

DESCRIPTION

 

  

[A]

 

COMPANY
AS FILED

    

[B]

 

Water Loss
ADJ #1
                    

    

[C]

 

Bad Debts Exp

ADJ #2
                        

    

[D]

Rate Case  
Exp

ADJ #3

                     

    

[E]

 

Deprec.  Exp   

ADJ #4

                         

    

[F]

 

Income Taxes  
ADJ #5

                           

    

[H]

 

SETTLEMENT
ADJUSTED

  

1

  

461 Metered Water Revenue

     202,202          -              -              -              -              -              202,202     

2

  

460 Unmetered Water Revenue

     -                        -         

3

  

474 Other Water Revenues

     5,503          -              -              -              -              -              5,503     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

4

   Total Operating Revenues     $ 207,705          $ -              $ -              $ -              $ -              $ -              $ 207,705     
  Operating Expenses              

5

  

601 Salary and Wages - Employees

     $ 75,753            $ -          $ -          $ -          $ -          $ 75,753     

6

  

610 Purchased Water

     960          -          -          -          -          -          960     

7

  

615 Purchased Power

     22,407          (878)           -          -          -          21,529     

8

  

618 Chemicals

     10,522          (412)                 10,110     

9

  

620 Materials and Supplies

     20,175          -          -                20,175     

10

  

621 Office Supplies and Expense

     3,591          -          -                3,591     

11

  

630 Outside Services

     26,415          -          -                26,415     

12

  

635 Contractual Services - Testing

     5,109          -          -                5,109     

13

  

636 Contractual Services - Other

     -          -          -                -     

14

  

641 Rental of Building/Real Property

     2,597          -          -                2,597     

15

  

650 Transportation Expenses

     5,733          -          -          -              5,733     

16

  

657 Insurance - General Liability

     1,557          -          -                1,557     

17

  

659 Insurance - Other

     269          -          -                269     

18

  

666 Regulatory Commission Expense – I

     2,140          -          -          (1,052)             1,088     

19

  

670 Bad Debt Expense

     4,769          -          (2,546)               2,222     

20

  

675 Miscellaneous Expenses

     7,221          -          -                7,221     

21

  

403 Depreciation Expense

     380,785          -          -            (245,777)           135,008     

22

  

403 Depreciation Expense – CIAC Amor

     (2,151)         -          -                (2,151)    

23

  

408 Taxes Other Than Income

     1,553          -          -                1,553     

24

  

408.11 Taxes Other Than Income - Prop

     11,254          -          -                11,254     

25

  

409 Income Taxes

     (197,785)         -          -              154,089          (43,695)    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

26

   Total Operating Expenses     $ 382,875          $ (1,290)         $ (2,546)         $ (1,052)         $ (245,777)         $ 154,089          $ 286,299     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

27

   Operating Income     $   (175,170)         $ 1,290          $ 2,546          $ 1,052          $ 245,777          $ (154,089)         $ (78,593)    
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement ADJ 1              
W-02450A-12-0312    Water Loss              
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #1 - WATER LOSS

 

    LINE

    NO.

                     

 

    1

     

One plus allowable water loss

      110.00%       

    2

     

One plus actual water loss

      119.91%       

    3

     

Allowable portion

      91.74%       
       

 

 

     

    4

     

Disallowable portion

      8.26%       

    5

     

 

Power Expense

      22,407        

    6

     

% water pumped in systems greater than 10% loss

      47.40%       
       

 

 

     

    7

     

Power Expense, subject to disallowance

      10,621        

    8

     

Disallowance

      $ 878        

    9

     

 

Chemical Expense

      10,522        

    10

     

% water pumped in systems greater than 10% loss

      47.40%       
       

 

 

     

    11

     

Chemical Expense, subject to disallowance

      4,988        

    12

     

Disallowance

      $ 412        
    

 

Allocation of total water and power and chemicals by systems with losses greater than 10%:

      

              13

     

Water System, Totals

 

     

 

     Gallons     

    Pumped     

   

  

     

 

 Gallons Sold    

 

   

 

     

 

 Water loss (%)     

 

   

 

          14

     

Garden City, PWS 07-037

      2,848,000         1,933,000         32.13%    

          15

     

Roseview, PWS 07-082

      2,773,000         2,432,000         12.30%    

          16

     

WPE #1, PWS N/A

      600,000         256,000         57.33%    

          17

     

WPE #6, PWS 07-733

      1,997,000         1,560,000         21.88%    

          18

     

Tufte, PWS 07-617

      456,000         403,000         11.62%    

          19

     

Buckeye Ranch, PWS 07-618

      10,432,000         8,718,000         16.43%    

          20

     

Dixie, PWS 07-030

      4,047,000         3,860,000         4.62%    

          21

     

Sunshine, PWS 07-071

      17,153,000         16,396,000         4.41%    
       

 

 

  
          40,306,000         35,558,000         11.78%    

          22

     

Less Systems < 10% :

         

          23

     

Dixie, PWS 07-030

      4,047,000         3,860,000         4.62%    

          24

     

Sunshine, PWS 07-071

      17,153,000         16,396,000         4.41%    
       

 

 

  

          25

     

Net Systems > 10%

      19,106,000         15,302,000         19.91%    

          26

     

% Power and Chemicals,

         

          27

     

Subject to Disallowance

      47.40%         
    

Line 1: Maximum acceptable level of water losses

         
    

Line 2: Actual level of water losses

         
    

Line 3:  Line 2 / line 3

         
    

Line 4: 1 minus line 4

         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement ADJ 2   
W-02450A-12-0312    Bad Debt   
Test Year Ended December 31, 2011      

OPERATING INCOME ADJUSTMENT #2 - BAD DEBT EXPENSE

 

    LINE

    NO.

    DESCRIPTION   

  [A]

  COMPANY

  PROPOSED

     

[B]

SETTLEMENT

ADJUSTMENTS

     

[C]  

SETTLEMENT  

RECOMMENDED  

  

    1

         $ 4,769         $ (2,546)       $ 2,222     
     

 

 

  
  

References:

         
  

Column (A), Company Workpapers

         
  

Column (B): Staff Testimony GWB

         
  

Column (C): Column (A) + Column (B), Per Co Response

                to Staff DR 5.8

  

  

  

Adjusted Test Year Revenues

            $ 207,705     
  

Bad Debt Expense Rate

            1.07%    
           

 

 

  
  

Expected Bad Debt Expense

            $ 2,222     
  

Co Proposed

            $ 4,769     
           

 

 

  
              $ (2,546)    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement ADJ 3                            
W-02450A-12-0312    Rate Case Expense                            
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #3 - RATE CASE EXPENSE

 

    LINE

    NO.

    DESCRIPTION  

[A]

COMPANY

    PROPOSED    

  

[B]

SETTLEMENT

ADJUSTMENTS

  

[C]

SETTLEMENT

RECOMMENDED*

    

 

    1

       $                 2,140     $             (1,052)     $                  1,088    
    

 

  
   Company Proposed Rate
Case Expense
     Total   Palo Verde   Santa Cruz   Town Division   Willow Valley   Tonopah   Buckeye   WUNS

    2

   

Allocation Percentages

     39.86%                     40.32%     13.45%     3.78%     0.82%     1.58%     0.19% 

    3

   

Desert Mountain Analytical Services

    $        122,062.50     $       48,652.28     $          49,217.76      $   16,420.26     $   4,615.99     $   995.73     $   1,926.91     $   233.57  

    4

   

Insight Consulting, LLC

    $        216,000.00     $       86,094.37     $          87,095.02     $   29,057.05    $   8,168.39    $         1,762.02    $   3,409.84    $   413.31  

    5

   

Roshka Dewulf & Patten, PLC

    $        370,302.78     $     147,597.14     $        149,312.63     $   49,814.39    $         14,003.59    $   3,020.75    $   5,845.71    $   708.57  

    6

   

Ullmann & Company P C

    $          78,808.75     $       31,411.99     $          31,777.08     $   10,601.62    $   2,980.28    $   642.88    $   1,244.10    $   150.80  
    

 

    7

   

Total

    $        787,174.03     $     313,755.78     $        317,402.49     $   105,893.32    $   29,768.25    $   6,421.38   

$

       12,426.56    $   1,506.25  

    8

   

Amortization over 3 years:

                          

    9

   

Year 1

    $        262,391.34     $     104,585.26     $        105,800.83     $   35,297.77    $   9,922.75    $   2,140.46    $   4,142.19   

$

   502.08  

    10

   

Year 2

    $        262,391.34     $     104,585.26     $        105,800.83     $   35,297.77    $   9,922.75    $   2,140.46    $   4,142.19    $   502.08  

    11

   

Year 3

    $        262,391.34     $     104,585.26     $        105,800.83     $   35,297.77    $   9,922.75    $   2,140.46    $   4,142.19    $   502.08  
    

 

    12

   

Totals

    $        787,174.03     $     313,755.78     $        317,402.49     $   105,693.32    $   29,768.25    $   6,421.38    $   12,426.56    $   1,506.25  
  

Settlement Rate Case Expense

    13

   

Description

   Total   Palo Verde   Santa Cruz   Town Division   Willow Valley   Tonopah   Buckeye   WUNS

    14

   

Settlement Amount

    $        400,000.00     $     159,434.01     $        161,287.07     $   53,809.36    $   15,126.64    $   3,263.00    $   6,314.52    $   765.40  

    15

   

Amortization:

                          

    16

   

Year 1

    $        133,333.33     $       53,144.67     $          53,762.36     $   17,936.45    $   5,042.21    $   1,087.67    $   2,104.84    $   255.13  

    17

   

Year 2

    $        133,333.33     $       53,144.67     $          53,762.36     $   17,936.45    $   5,042.21    $   1,087.67    $   2,104.84    $   255.13  

    18

   

Year 3

    $        133,333.33     $       53,144.67     $          53,762.36     $   17,936.45    $   5,042.21    $   1,087.67    $   2,104.84    $   255.13  
    

 

    19

   

Totals

    $        400,000.00     $     313,755.78     $        317,402.49     $   105,893.32    $   29,768.25    $   6,421.38    $   12,426.56    $   1,506.25  

    20

   

Adjustment Total, by System

    $       (129,058.01)    $      (51,440.59)    $         (52,038.47)   $   (17,361.32)   $   (4,880.54)   $   (1,052.79)   $   (2,037.35)   $   (248.95) 
  

References:

                          
  

Column (A), Company Workpapers

                        
  

Column (B): Line 20 for respective system

                        
  

Column (C): Line 16 for respective system

                        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement ADJ 4
W-02450A-12-0312    Depreciation
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #4 - DEPRECIATION EXPENSE

 

LINE

NO.

   

  ACCT.

  NO.

    DESCRIPTION   

[A]

PLANT

        BALANCE          

     

[B]

DEPRECIATION

RATE

     

[C]

DEPRECIATION

EXPENSE

  

1

   

PLANT IN SERVICE:

         

2

      303   

Land and Land Rights

      177,430           0.00%         -         

3

      304   

Structures and Improvements

      47,677           3.33%         1,588     

4

      307   

Wells and Springs

      299,601           3.33%         9,977     

5

      309   

Supply Mains

      -               2.00%         -         

6

      310   

Power Generation Equipment

      -               5.00%         -         

7

      311   

Pumping Equipment

      1,787,637           12.50%         223,455     

8

      320   

Water Treatment Equipment

      0              -         
     320.1   

Water Treatment Plant

      1,625,072           3.33%         54,115     
     320.2   

Solution Chemical Feeders

      1,448           20.00%         290     

9

      330.0   

Distribution Reservoirs and Standpipes

      -                  -         
     330.1   

Storage Tanks

      103,612           2.22%         2,300     
     330.2   

Pressure Tanks

      125,043           5.00%         6,252     

10

      331   

Transmission and Distribution Mains

      890,943           2.00%         17,819     

11

      333   

Services

      43,069           3.33%         1,434     

12

      334   

Meters and Meter Installations

      147,178           8.33%         12,260     

13

      335   

Hydrants

      38,386           2.00%         768     

14

      336   

Backflow Prevention Devices

      5,894           6.67%         393     

15

      339   

Other Plant and Miscellaneous Equipment

      5,427           6.67%         362     

16

      340   

Office Furniture and Equipment

      -               6.67%         -         

17

      341   

Transportation Equipment

      -               20.00%         -         

18

      343   

Tools, Shop and Garage Equipment

      1,977           5.00%         99     

19

      344   

Laboratory Equipment

      663           10.00%         66     

20

      345   

Power Operated Equipment

      838           5.00%         42     

21

      346   

Communication Equipment

      12,408           10.00%         1,241     

22

      347   

Miscellaneous Equipment

      5,210           10.00%         521     

23

      348   

Other Tangible Plant

      446,880           5.00%         22,344     

24

            5,766,394              355,325     

25

      

Less: Non Depreciable Plant

         

26

      

Land and Land Rights

      177,430           
        

 

 

        

 

 

  

27

      

Net Depreciable Plant and Depreciation Amounts

      $ 5,588,964              $            355,325     

28

               

29

      

Less: Non Depreciable Plant

         

30

      

Land and Land Rights

      $ 177,430           
        

 

 

        

 

 

  

31

      

Net Depreciable Plant and Depreciation Amounts

      $ 5,411,534              $            355,325     

32

               

33

               

34

      

Amortization of CIAC

      $ 73,118           6.5661%         $                4,801     
              

 

 

  

35

      

Settlement Depreciation Expense

            $            350,524     

36

      

Company Proposed Depreciation Expense

            $            378,634     

37

      

Settlement Adjustment

            $             (28,111)    

38

               

39

      

SETTLEMENT FACTOR

            $           (217,666)    

40

               

50

      

Total Adjustment (line 37+39)

            $           (245,777)    
              
       

References:

         
   Col [A]   

Schedule B-2

         
   Col [B]   

Proposed Rates per Staff Engineering Report

         
   Col [C]   

Col [A] times Col [B]

         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement ADJ 5
W-02450A-12-0312    Income Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #5 - INCOME TAXES

 

 LINE 

  NO.  

   

DESCRIPTION

   

[A]
COMPANY
PROPOSED

    

[B]
SETTLEMENT
ADJUSTMENTS

     

[C]
SETTLEMENT
RECOMMENDED

  

    1

    Income Taxes      $ (197,785 )       $ 154,089           $ (43,695 )  
     

 

 

    

 

 

     

 

 

  

 

References:

Column (A), Company Schedule C-2

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B),

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement ADJ 6
W-02450A-12-0312    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #6 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

        [A]           [B]   

LINE  

NO.  

   DESCRIPTION  

SETTLEMENT  

AS ADJUSTED  

        

SETTLEMENT

RECOMMENDED

1

  

Adjusted Test Year Revenues - 2011

  

  $

    207,705          $              207,705  

2

  

Weight Factor

      2          2  
             

3

  

Subtotal (Line 1 * Line 2)

      415,411          415,411  

4

  

Adjusted Test Year Revenues - 2011

      207,705         

5

  

Recommended Revenue

            407.689  
             

6

  

Subtotal (Line 4 + Line 5)

      623,116          823,100  

7

  

Number of Years

      3          3  
             

8

  

Three Year Average (Line 5 / Line 6)

      207,705          274.367  

9

  

Department of Revenue Mutilplier

      2          2  
             

10

  

Revenue Base Value (Line 7 * Line 8)

      415,411          548,733  

11

  

Plus: 10% of CWIP

      23,512          23,512  

12

  

Less: Net Book Value of Licensed Vehicles

      -              -      
             

13

  

Full Cash Value (Line 10 + Line 11 - Line 12)

      438,923          572,245  

14

  

Assessment Ratio

      21.0%        21.0% 
             

15

  

Assessment Value (Line 13 * Line 14)

      92,174          120,171  

16

  

Composite Property Tax Rate

      12.2100%        12.2100% 
             

17

  

Test Year Adjusted Property Tax Expense (Line 15 * Line 16)

  

  $

    11,254         

18

  

Company Proposed Property Tax

  

  $

    11.254         
           

19

  

Test Year Adjustment (Line 17 - Line 18)

  

  $

    (0)       
           

20

  

Property Tax onRecommended Revenue (Line 15 * Line 16)

            $                14,673  

21

  

Test Year Adjusted Property Tax Expense (Line 17)

            $                11,254  
              

22

  

Increase in Property Tax Due to Increase in Revenue Requirement

            $                  3,419  
              

23

  

Increase in Property Tax Due to increase in Revenue Requirement (Line 22)

            $                  3,419  

24

  

Increase in Revenue Requirement

            $              199,983  

25

  

Increase in Property Tax Per Dollar Increase in Revenue (Line 23 / Line 24)

            1.70940%
 

REFERENCES:

           
 

Line 15: Composite Tax Rate, per Company

           
 

Line 18: Company Schedule C-1, Line 36

           

 

DECISION NO.    74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement D-1                
W-02450A-12-0312   
Test Year Ended December 31, 2011   

CALCULATION OF WEIGHTED AVERAGE COST OF CAPITAL - REQUIRED RATE OF RETURN

Per Settlement Water Utility of Greater Tonopah, Inc’s revenue requirement is determined by an operating margin of 10%.

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Water Utility of Greater Tonopah, Inc.    Settlement Schedule H-3
W-02450A-12-0312    Page 1 of 2
Test Year Ended December 31, 2011   

Changes in Representative Rate Schedules

Potable Water - All Meter Sizes and Classes*

Monthly Minimum Charges:

 

              Basic Service Charge        
              Present         Proposed    
Meter Size (All Classes*)                   2014     2015     2016    

 

    
               

5/8” X 3/4” Meter

         $ 22.55           $ 22.55       $ 30.00       $ 40.00      

3/4” Meter

         22.55           22.55         30.00         40.00      

1” Meter

         56.38           56.38         75.01         100.01      

1.5” Meter

         112.75           112.75         150.00         200.00      

2” Meter

         180.40           180.40         240.00         320.00      

3” Meter

         360.80           360.80         480.00         640.00      

4” Meter

         563.75           563.75         750.00         1,000.00      

6” Meter

         1,127.50           1,127.50         1,500.00         2,000.00      

8” Meter

         2,255.00           2,255.00         2,400.00         3,200.00      

 

Commodity Rate Charges (per 1,000 gallons):

 

  

    Rate Block         Volumetric Charge  
 

 

 

      

 

 

  
                        Present            Proposed          
    Present          Proposed               2014     2015     2016  
 

 

 

      

 

 

      

 

 

  

Tier One Breakover

     1,000 Gallons           1,000 Gallons           $ 1.18      $ 1.18       $ 1.82       $       2.42    

Tier Two Breakover

     5,000 Gallons           5,000 Gallons           1.99        1.99         3.36         4.43    

Tier Three Breakover

     10,000 Gallons           10,000 Gallons           2.89        2.89         4.88         6.43    

Tier Four Breakover

     18,000 Gallons           18,000 Gallons           3.80        3.80         6.41         8.45    

Tier Five Breakover

     25,000 Gallons           25,000 Gallons           4.68        4.68         7.90         10.41    

Tier Six Breakover

     Over 25,000           Over 25,000           5.54        5.54         9.35         12.33    

 

Conservation Rebate

 

                
                        Proposed        
              Present         2014     2015 and thereafter    

 

    

Threshold (“CRT”) in Gallons

  

       7,401           7,401           7,001      

Commodity rate rebate:

  

       45%          45%          50%     

(applied if consumption is below the CRT)

            

*Includes all potable water meters including irrigation meters.

 

Non-Potable Water - All Meter Sizes and Classes    Present         Proposed         Change     

 

  

All Gallons (Per Acre Foot)

      185.74           533.76           348.02    

All Gallons (Per 1,000 Gallons)

      0.57           1.638           1.07    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Settlement Schedule H-3

Page 2 of 2

 

Miscellaneous Service Charges    Present           Proposed         Change    

 

  

Establishment of Service

    $   35.00            $ 35.00          $ -        

Establishment of Service - After Hours

      50.00            Eliminate          

Re-establishment of Service (Within 12 Months)

      (a)            (a)         

Reconnection of Service (Delinquent)

      35.00            35.00            -        

Reconnection of Service - After Hours (Delinquent)

      50.00            Eliminate          

Meter Move at Customer Request

      (b)            (b)         

After Hours Service Charge, Per Hour

      50.00            Eliminate          

After-Hours Service Charge

      NA            35.00         

Deposit

      (c)            (c)         

Meter Re-Read (If Correct)

      30.00            30.00            -        

Meter Test Fee (If Correct)

      30.00            30.00            -        

NSF Check

      30.00            30.00            -        

Late Payment Charge (Per Month)

      1.50%           1.50%           0.00%    

Deferred Payment Charge (Per Month)

      1.50%           1.50%           0.00%    

 

  

(a) Number of Months off System times the monthly minimum per A.A.C. R14-2-403(D).

(b) Cost to include parts, labor, overhead and all applicable taxes per A.A.C. R14-2-405(B)(5).

(c) Per A.A.C. R14-2-403(B).

In addition to the collection of its regular rates and charges, the Company shall collect from customers their proportionate share of any privilege, sales or use tax in accordance with A.A.C. R14-2-409(D)(5).

Service Line and Meter Installation Charges (Refundable Pursuant to A.A.C. R14-2-405)

Meter Size   Service Line Charges       Present
Meter Charges		     Total Charges     Service Line Charges     Proposed
  Meter Charges		     Total Charges       Change    

 

  

5/8 x 3/4” Meter

     $445.00        $155.00        $600.00          $445.00       $155.00       $600.00     0.00%    

3/4” Meter

     445.00        255.00        700.00             445.00           255.00          700.00     0.00%    

1” Meter

     495.00        315.00        810.00             495.00           315.00          810.00     0.00%    

1 1/2” Meter

     550.00        525.00        1,075.00             550.00           525.00       1,075.00     0.00%    

2” Turbine Meter

     830.00        1,045.00        1,875.00             830.00        1,045.00       1,875.00     0.00%    

2” Compound Meter

     830.00        1,890.00        2,720.00             830.00        1,890.00       2,720.00     0.00%    

3” Turbine Meter

     1,045.00        1,670.00        2,715.00          1,045.00        1,670.00       2,715.00     0.00%    

3” Compound Meter

     1,165.00        2,545.00        3,710.00          1,165.00        2,545.00       3,710.00     0.00%    

4” Turbine Meter

     1,490.00        2,670.00        4,160.00          1,490.00        2,670.00       4,160.00     0.00%    

4” Compound Meter

     1,670.00        3,645.00        5,315.00          1,670.00        3,645.00       5,315.00     0.00%    

6” Turbine Meter

     2,210.00        5,025.00        7,235.00          2,210.00        5,025.00       7,235.00     0.00%    

6” Compound Meter

     2,330.00        6,920.00        9,250.00          2,330.00        6,920.00       9,250.00     0.00%    

8” and Larger Meters

     Cost         Cost         Cost                 Cost             Cost     Cost  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:     5/8” and 3/4” Meters       All Classes  
      Gallons    Present Bill         

Proposed

Bill

      Increase      % Increase 

 Median Usage

    5000    $    27.58        $    27.58      $          -     0.0%

 

     

 

Present Bill

     Proposed Bill    

Percent   

Increase   

  

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    
     
  -           $ 22.55       $         -           $ 22.55       $ 22.55       $         -           $ 22.55        0.0%    
  1,000        23.73        (0.53 )      23.20        23.73        (0.53 )      23.20        0.0%    
  2,000        25.72        (1.43 )      24.29        25.72        (1.43 )      24.29        0.0%    
  3,000        27.71        (2.32 )      25.39        27.71        (2.32 )      25.39        0.0%    
  4,000        29.70        (3.22 )      26.48        29.70        (3.22 )      26.48        0.0%    
  5,000        31.69        (4.11 )      27.58        31.69        (4.11 )      27.58        0.0%    
  6,000        34.58        (5.41 )      29.17        34.58        (5.41 )      29.17        0.0%    
  7,000        37.47        (6.71 )      30.76        37.47        (6.71 )      30.76        0.0%    
  8,000        40.36        -            40.36        40.36        -            40.36        0.0%    
  9,000        43.25        -            43.25        43.25        -            43.25        0.0%    
  10,000        46.14        -            46.14        46.14        -            46.14        0.0%    
  15,000        65.14        -            65.14        65.14        -            65.14        0.0%    
  20,000        85.90        -            85.90        85.90        -            85.90        0.0%    
  25,000        109.30        -            109.30        109.30        -            109.30        0.0%    
  50,000        247.80        -            247.80        247.80        -            247.80        0.0%    
  75,000        386.30        -            386.30        386.30        -            386.30        0.0%    
  100,000        524.80        -            524.80        524.80        -            524.80        0.0%    
  125,000        663.30        -            663.30        663.30        -            663.30        0.0%    
  150,000        801.80        -            801.80        801.80        -            801.80        0.0%    
  175,000        940.30        -            940.30        940.30        -            940.30        0.0%    
  200,000        1,078.80        -            1,078.80        1,078.80        -            1,078.80        0.0%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:     5/8” and 3/4” Meters       All Classes  
      Gallons      Present Bill         

Proposed

Bill

     Increase     % Increase 

 Median Usage

    5000      $    27.58        $    37.63       $    10.05     36.5%

 

     

 

Present Bill

     Proposed Bill    

Percent   

Increase   

  

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    
     
  -           $ 22.55       $         -           $ 22.55       $ 30.00       $         -           $ 30.00        33.0%    
  1,000        23.73        (0.53 )      23.20        31.82        (0.91 )      30.91        33.2%    
  2,000        25.72        (1.43 )      24.29        35.18        (2.59 )      32.59        34.2%    
  3,000        27.71        (2.32 )      25.39        38.54        (4.27 )      34.27        35.0%    
  4,000        29.70        (3.22 )      26.48        41.90        (5.95 )      35.95        35.8%    
  5,000        31.69        (4.11 )      27.58        45.26        (7.63 )      37.63        36.5%    
  6,000        34.58        (5.41 )      29.17        50.14        (10.07 )      40.07        37.4%    
  7,000        37.47        (6.71 )      30.76        55.02        (12.51 )      42.51        38.2%    
  8,000        40.36        -            40.36        59.90        -            59.90        48.4%    
  9,000        43.25        -            43.25        64.78        -            64.78        49.8%    
  10,000        46.14        -            46.14        69.66        -            69.66        51.0%    
  15,000        65.14        -            65.14        101.71        -            101.71        56.1%    
  20,000        85.90        -            85.90        136.74        -            136.74        59.2%    
  25,000        109.30        -            109.30        176.24        -            176.24        61.2%    
  50,000        247.80        -            247.80        409.99        -            409.99        65.5%    
  75,000        386.30        -            386.30        643.74        -            643.74        66.6%    
  100,000        524.80        -            524.80        877.49        -            877.49        67.2%    
  125,000        663.30        -            663.30        1,111.24        -            1,111.24        67.5%    
  150,000        801.80        -            801.80        1,344.99        -            1,344.99        67.7%    
  175,000        940.30        -            940.30        1,578.74        -            1,578.74        67.9%    
  200,000        1,078.80        -            1,078.80        1,812.49        -            1,812.49        68.0%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:     5/8” and 3/4” Meters       All Classes  
      Gallons    Present Bill         

Proposed

Bill

    Increase      % Increase 

 Median Usage

    5000    $    27.58        $    50.07      $    22.49     81.6%

 

     

 

Present Bill

     Proposed Bill    

Percent   

Increase   

  

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    
     
  -           $ 22.55       $         -           $ 22.55       $ 40.00       $         -           $ 40.00        77.4%    
  1,000        23.73        (0.53 )      23.20        42.42        (1.21 )      41.21        77.6%    
  2,000        25.72        (1.43 )      24.29        46.85        (3.43 )      43.43        78.8%    
  3,000        27.71        (2.32 )      25.39        51.28        (5.64 )      45.64        79.8%    
  4,000        29.70        (3.22 )      26.48        55.71        (7.86 )      47.86        80.7%    
  5,000        31.69        (4.11 )      27.58        60.14        (10.07 )      50.07        81.6%    
  6,000        34.58        (5.41 )      29.17        66.57        (13.29 )      53.29        82.7%    
  7,000        37.47        (6.71 )      30.76        73.00        (16.50 )      56.50        83.7%    
  8,000        40.36        -            40.36        79.43        -            79.43        96.8%    
  9,000        43.25        -            43.25        85.86        -            85.86        98.5%    
  10,000        46.14        -            46.14        92.29        -            92.29        100.0%    
  15,000        65.14        -            65.14        134.54        -            134.54        106.5%    
  20,000        85.90        -            85.90        180.71        -            180.71        110.4%    
  25,000        109.30        -            109.30        232.76        -            232.76        113.0%    
  50,000        247.80        -            247.80        541.01        -            541.01        118.3%    
  75,000        386.30        -            386.30        849.26        -            849.26        119.8%    
  100,000        524.80        -            524.80        1,157.51        -            1,157.51        120.6%    
  125,000        663.30        -            663.30        1,465.76        -            1,465.76        121.0%    
  150,000        801.80        -            801.80        1,774.01        -            1,774.01        121.3%    
  175,000        940.30        -            940.30        2,082.26        -            2,082.26        121.4%    
  200,000        1,078.80        -            1,078.80        2,390.51        -            2,390.51        121.6%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:     1” Meters                         All Classes  
      Gallons    Present Bill         

Proposed

Bill

    Increase      % Increase 

 Median Usage

    7000    $    64.59        $    64.59    $        -       0.0%

 

     

 

Present Bill

     Proposed Bill    

Percent   

Increase   

  

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    
     
  -           $ 56.38       $         -           $ 56.38       $ 56.38       $         -           $ 56.38        0.0%    
  1,000        57.56        (0.53 )      57.03        57.56        (0.53 )      57.03        0.0%    
  2,000        59.55        (1.43 )      58.12        59.55        (1.43 )      58.12        0.0%    
  3,000        61.54        (2.32 )      59.22        61.54        (2.32 )      59.22        0.0%    
  4,000        63.53        (3.22 )      60.31        63.53        (3.22 )      60.31        0.0%    
  5,000        65.52        (4.11 )      61.41        65.52        (4.11 )      61.41        0.0%    
  6,000        68.41        (5.41 )      63.00        68.41        (5.41 )      63.00        0.0%    
  7,000        71.30        (6.71 )      64.59        71.30        (6.71 )      64.59        0.0%    
  8,000        74.19        -            74.19        74.19        -            74.19        0.0%    
  9,000        77.08        -            77.08        77.08        -            77.08        0.0%    
  10,000        79.97        -            79.97        79.97        -            79.97        0.0%    
  15,000        98.97        -            98.97        98.97        -            98.97        0.0%    
  20,000        119.73        -            119.73        119.73        -            119.73        0.0%    
  25,000        143.13        -            143.13        143.13        -            143.13        0.0%    
  50,000        281.63        -            281.63        281.63        -            281.63        0.0%    
  75,000        420.13        -            420.13        420.13        -            420.13        0.0%    
  100,000        558.63        -            558.63        558.63        -            558.63        0.0%    
  125,000        697.13        -            697.13        697.13        -            697.13        0.0%    
  150,000        835.63        -            835.63        835.63        -            835.63        0.0%    
  175,000        974.13        -            974.13        974.13        -            974.13        0.0%    
  200,000        1,112.63        -            1,112.63        1,112.63        -            1,112.63        0.0%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:     1” Meters                         All Classes  
      Gallons      Present Bill         

Proposed

Bill

     Increase      % Increase 

 Median Usage

    7000      $    64.59        $    87.52      $    22.93     35.5%

 

     

 

Present Bill

     Proposed Bill    

Percent   

Increase   

  

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    
     
  -           $ 56.38       $         -           $ 56.38       $ 75.01       $         -           $ 75.01        33.0%    
  1,000        57.56        (0.53 )      57.03        76.83        (0.91 )      75.92        33.1%    
  2,000        59.55        (1.43 )      58.12        80.19        (2.59 )      77.60        33.5%    
  3,000        61.54        (2.32 )      59.22        83.55        (4.27 )      79.28        33.9%    
  4,000        63.53        (3.22 )      60.31        86.91        (5.95 )      80.96        34.2%    
  5,000        65.52        (4.11 )      61.41        90.27        (7.63 )      82.64        34.6%    
  6,000        68.41        (5.41 )      63.00        95.15        (10.07 )      85.08        35.0%    
  7,000        71.30        (6.71 )      64.59        100.03        (12.51 )      87.52        35.5%    
  8,000        74.19        -            74.19        104.91        -            104.91        41.4%    
  9,000        77.08        -            77.08        109.79        -            109.79        42.4%    
  10,000        79.97        -            79.97        114.67        -            114.67        43.4%    
  15,000        98.97        -            98.97        146.72        -            146.72        48.2%    
  20,000        119.73        -            119.73        181.75        -            181.75        51.8%    
  25,000        143.13        -            143.13        221.25        -            221.25        54.6%    
  50,000        281.63        -            281.63        455.00        -            455.00        61.6%    
  75,000        420.13        -            420.13        688.75        -            688.75        63.9%    
  100,000        558.63        -            558.63        922.50        -            922.50        65.1%    
  125,000        697.13        -            697.13        1,156.25        -            1,156.25        65.9%    
  150,000        835.63        -            835.63        1,390.00        -            1,390.00        66.3%    
  175,000        974.13        -            974.13        1,623.75        -            1,623.75        66.7%    
  200,000        1,112.63        -            1,112.63        1,857.50        -            1,857.50        66.9%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:     1” Meters                         All Classes  
      Gallons      Present Bill         

Proposed

Bill

     Increase      % Increase 

 Median Usage

    7000      $    64.59        $  116.51      $    51.92     80.4%

 

     

 

Present Bill

     Proposed Bill    

Percent   

Increase   

  

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    
     
  -           $ 56.38       $         -           $ 56.38       $ 100.01       $         -           $ 100.01        77.4%    
  1,000        57.56        (0.53 )      57.03        102.43        (1.21 )      101.22        77.5%    
  2,000        59.55        (1.43 )      58.12        106.86        (3.43 )      103.43        78.0%    
  3,000        61.54        (2.32 )      59.22        111.29        (5.64 )      105.65        78.4%    
  4,000        63.53        (3.22 )      60.31        115.72        (7.86 )      107.86        78.8%    
  5,000        65.52        (4.11 )      61.41        120.15        (10.07 )      110.08        79.3%    
  6,000        68.41        (5.41 )      63.00        126.58        (13.29 )      113.29        79.8%    
  7,000        71.30        (6.71 )      64.59        133.01        (16.50 )      116.51        80.4%    
  8,000        74.19        -            74.19        139.44        -            139.44        87.9%    
  9,000        77.08        -            77.08        145.87        -            145.87        89.2%    
  10,000        79.97        -            79.97        152.30        -            152.30        90.4%    
  15,000        98.97        -            98.97        194.55        -            194.55        96.6%    
  20,000        119.73        -            119.73        240.72        -            240.72        101.1%    
  25,000        143.13        -            143.13        292.77        -            292.77        104.5%    
  50,000        281.63        -            281.63        601.02        -            601.02        113.4%    
  75,000        420.13        -            420.13        909.27        -            909.27        116.4%    
  100,000        558.63        -            558.63        1,217.52        -            1,217.52        117.9%    
  125,000        697.13        -            697.13        1,525.77        -            1,525.77        118.9%    
  150,000        835.63        -            835.63        1,834.02        -            1,834.02        119.5%    
  175,000        974.13        -            974.13        2,142.27        -            2,142.27        119.9%    
  200,000        1,112.63        -            1,112.63        2,450.52        -            2,450.52        120.2%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:     1.5” Meters                     All Classes  
      Gallons      Present Bill         

Proposed

Bill

    Increase     % Increase 

 Median Usage

    2000    $  114.49       $  114.49    $      -        0.0%

 

     

 

Present Bill

     Proposed Bill        

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    

Percent   

Increase   

  
     
  -           $ 112.75       $         -           $ 112.75       $ 112.75       $         -           $ 112.75        0.0%    
  1,000        113.93        (0.53 )      113.40        113.93        (0.53 )      113.40        0.0%    
  2,000        115.92        (1.43 )      114.49        115.92        (1.43 )      114.49        0.0%    
  3,000        117.91        (2.32 )      115.59        117.91        (2.32 )      115.59        0.0%    
  4,000        119.90        (3.22 )      116.68        119.90        (3.22 )      116.68        0.0%    
  5,000        121.89        (4.11 )      117.78        121.89        (4.11 )      117.78        0.0%    
  6,000        124.78        (5.41 )      119.37        124.78        (5.41 )      119.37        0.0%    
  7,000        127.67        (6.71 )      120.96        127.67        (6.71 )      120.96        0.0%    
  8,000        130.56        -            130.56        130.56        -            130.56        0.0%    
  9,000        133.45        -            133.45        133.45        -            133.45        0.0%    
  10,000        136.34        -            136.34        136.34        -            136.34        0.0%    
  15,000        155.34        -            155.34        155.34        -            155.34        0.0%    
  20,000        176.10        -            176.10        176.10        -            176.10        0.0%    
  25,000        199.50        -            199.50        199.50        -            199.50        0.0%    
  50,000        338.00        -            338.00        338.00        -            338.00        0.0%    
  75,000        476.50        -            476.50        476.50        -            476.50        0.0%    
  100,000        615.00        -            615.00        615.00        -            615.00        0.0%    
  125,000        753.50        -            753.50        753.50        -            753.50        0.0%    
  150,000        892.00        -            892.00        892.00        -            892.00        0.0%    
  175,000        1,030.50        -            1,030.50        1,030.50        -            1,030.50        0.0%    
  200,000        1,169.00        -            1,169.00        1,169.00        -            1,169.00        0.0%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4        

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   1.5” Meters                    All Classes   
      Gallons   Present Bill         Proposed
Bill		   Increase   % Increase 

Median Usage

    2000   $  114.49      $  152.59   $      38.10   33.3%

 

   
      Present Bill     Proposed Bill        
    Monthly 
    Consumption 		     Gross     CRT     Net     Gross     CRT     Net     Percent   
Increase   		  
     
  -            $  112.75        $        -             $  112.75        $  150.00        $        -             $  150.00        33.0%    
  1,000        113.93        (0.53)        113.40        151.82        (0.91)        150.91        33.1%    
  2,000        115.92        (1.43)        114.49        155.18        (2.59)        152.59        33.3%    
  3,000        117.91        (2.32)        115.59        158.54        (4.27)        154.27        33.5%    
  4,000        119.90        (3.22)        116.68        161.90        (5.95)        155.95        33.7%    
  5,000        121.89        (4.11)        117.78        165.26        (7.63)        157.63        33.8%    
  6,000        124.78        (5.41)        119.37        170.14        (10.07)        160.07        34.1%    
  7,000        127.67        (6.71)        120.96        175.02        (12.51)        162.51        34.4%    
  8,000        130.56        -             130.56        179.90        -             179.90        37.8%    
  9,000        133.45        -             133.45        184.78        -             184.78        38.5%    
  10,000        136.34        -             136.34        189.66        -             189.66        39.1%    
  15,000        155.34        -             155.34        221.71        -             221.71        42.7%    
  20,000        176.10        -             176.10        256.74        -             256.74        45.8%    
  25,000        199.50        -             199.50        296.24        -             296.24        48.5%    
  50,000        338.00        -             338.00        529.99        -             529.99        56.8%    
  75,000        476.50        -             476.50        763.74        -             763.74        60.3%    
  100,000        615.00        -             615.00        997.49        -             997.49        62.2%    
  125,000        753.50        -             753.50        1,231.24        -             1,231.24        63.4%    
  150,000        892.00        -             892.00        1,464.99        -             1,464.99        64.2%    
  175,000        1,030.50        -             1,030.50        1,698.74        -             1,698.74        64.8%    
  200,000        1,169.00        -             1,169.00        1,932.49        -             1,932.49        65.3%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4          

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:    1.5” Meters                    All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    2000   $  114.49      $  203.43   $      88.93   77.7%

 

   
      Present Bill     Proposed Bill        

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    

Percent   

Increase   

  
     
  -            $  112.75        $        -             $  112.75        $  200.00        $        -             $  200.00        77.4%    
  1,000        113.93        (0.53)        113.40        202.42        (1.21)        201.21        77.4%    
  2,000        115.92        (1.43)        114.49        206.85        (3.43)        203.43        77.7%    
  3,000        117.91        (2.32)        115.59        211.28        (5.64)        205.64        77.9%    
  4,000        119.90        (3.22)        116.68        215.71        (7.86)        207.86        78.1%    
  5,000        121.89        (4.11)        117.78        220.14        (10.07)        210.07        78.4%    
  6,000        124.78        (5.41)        119.37        226.57        (13.29)        213.29        78.7%    
  7,000        127.67        (6.71)        120.96        233.00        (16.50)        216.50        79.0%    
  8,000        130.56        -             130.56        239.43        -             239.43        83.4%    
  9,000        133.45        -             133.45        245.86        -             245.86        84.2%    
  10,000        136.34        -             136.34        252.29        -             252.29        85.0%    
  15,000        155.34        -             155.34        294.54        -             294.54        89.6%    
  20,000        176.10        -             176.10        340.71        -             340.71        93.5%    
  25,000        199.50        -             199.50        392.76        -             392.76        96.9%    
  50,000        338.00        -             338.00        701.01        -             701.01        107.4%    
  75,000        476.50        -             476.50        1,009.26        -             1,009.26        111.8%    
  100,000        615.00        -             615.00        1,317.51        -             1,317.51        114.2%    
  125,000        753.50        -             753.50        1,625.76        -             1,625.76        115.8%    
  150,000        892.00        -             892.00        1,934.01        -             1,934.01        116.8%    
  175,000        1,030.50        -             1,030.50        2,242.26        -             2,242.26        117.6%    
  200,000        1,169.00        -             1,169.00        2,550.51        -             2,550.51        118.2%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4        

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:    2” Meters                        All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    76000   $  549.69      $  549.69   $      -        0.0%

 

   
      Present Bill     Proposed Bill        

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    

Percent   

Increase   

  
     
  -            $  180.40        $        -             $  180.40        $  180.40        $        -             $  180.40        0.0%    
  1,000        181.58        (0.53)        181.05        181.58        (0.53)        181.05        0.0%    
  2,000        183.57        (1.43)        182.14        183.57        (1.43)        182.14        0.0%    
  3,000        185.56        (2.32)        183.24        185.56        (2.32)        183.24        0.0%    
  4,000        187.55        (3.22)        184.33        187.55        (3.22)        184.33        0.0%    
  5,000        189.54        (4.11)        185.43        189.54        (4.11)        185.43        0.0%    
  6,000        192.43        (5.41)        187.02        192.43        (5.41)        187.02        0.0%    
  7,000        195.32        (6.71)        188.61        195.32        (6.71)        188.61        0.0%    
  8,000        198.21        -             198.21        198.21        -             198.21        0.0%    
  9,000        201.10        -             201.10        201.10        -             201.10        0.0%    
  10,000        203.99        -             203.99        203.99        -             203.99        0.0%    
  15,000        222.99        -             222.99        222.99        -             222.99        0.0%    
  20,000        243.75        -             243.75        243.75        -             243.75        0.0%    
  25,000        267.15        -             267.15        267.15        -             267.15        0.0%    
  50,000        405.65        -             405.65        405.65        -             405.65        0.0%    
  75,000        544.15        -             544.15        544.15        -             544.15        0.0%    
  100,000        682.65        -             682.65        682.65        -             682.65        0.0%    
  125,000        821.15        -             821.15        821.15        -             821.15        0.0%    
  150,000        959.65        -             959.65        959.65        -             959.65        0.0%    
  175,000        1,098.15        -             1,098.15        1,098.15        -             1,098.15        0.0%    
  200,000        1,236.65        -             1,236.65        1,236.65        -             1,236.65        0.0%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4          

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:    2” Meters                        All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    76000   $  549.69      $  863.09   $  313.40   57.0%

 

   
      Present Bill     Proposed Bill        

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    

Percent   

Increase   

  
     
  -            $  180.40        $        -             $  180.40        $  240.00        $        -             $  240.00        33.0%    
  1,000        181.58        (0.53)        181.05        241.82        (0.91)        240.91        33.1%    
  2,000        183.57        (1.43)        182.14        245.18        (2.59)        242.59        33.2%    
  3,000        185.56        (2.32)        183.24        248.54        (4.27)        244.27        33.3%    
  4,000        187.55        (3.22)        184.33        251.90        (5.95)        245.95        33.4%    
  5,000        189.54        (4.11)        185.43        255.26        (7.63)        247.63        33.5%    
  6,000        192.43        (5.41)        187.02        260.14        (10.07)        250.07        33.7%    
  7,000        195.32        (6.71)        188.61        265.02        (12.51)        252.51        33.9%    
  8,000        198.21        -             198.21        269.90        -             269.90        36.2%    
  9,000        201.10        -             201.10        274.78        -             274.78        36.6%    
  10,000        203.99        -             203.99        279.66        -             279.66        37.1%    
  15,000        222.99        -             222.99        311.71        -             311.71        39.8%    
  20,000        243.75        -             243.75        346.74        -             346.74        42.3%    
  25,000        267.15        -             267.15        386.24        -             386.24        44.6%    
  50,000        405.65        -             405.65        619.99        -             619.99        52.8%    
  75,000        544.15        -             544.15        853.74        -             853.74        56.9%    
  100,000        682.65        -             682.65        1,087.49        -             1,087.49        59.3%    
  125,000        821.15        -             821.15        1,321.24        -             1,321.24        60.9%    
  150,000        959.65        -             959.65        1,554.99        -             1,554.99        62.0%    
  175,000        1,098.15        -             1,098.15        1,788.74        -             1,788.74        62.9%    
  200,000        1,236.65        -             1,236.65        2,022.49        -             2,022.49        63.5%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4            

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:    2” Meters                        All Classes   

 

      Gallons   Present Bill         Proposed Bill   Increase   % Increase

Median Usage

    76000   $  549.69      $  1,141.59   $  591.90   107.7%

 

   
      Present Bill     Proposed Bill        

    Monthly 

    Consumption 

     Gross     CRT     Net     Gross     CRT     Net    

Percent   

Increase   

  
     
  -             $  180.40        $        -             $  180.40        $  320.00        $        -             $  320.00        77.4%    
  1,000        181.58        (0.53)        181.05        322.42        (1.21)        321.21        77.4%    
  2,000        183.57        (1.43)        182.14        326.85        (3.43)        323.43        77.6%    
  3,000        185.56        (2.32)        183.24        331.28        (5.64)        325.64        77.7%    
  4,000        187.55        (3.22)        184.33        335.71        (7.86)        327.86        77.9%    
  5,000        189.54        (4.11)        185.43        340.14        (10.07)        330.07        78.0%    
  6,000        192.43        (5.41)        187.02        346.57        (13.29)        333.29        78.2%    
  7,000        195.32        (6.71)        188.61        353.00        (16.50)        336.50        78.4%    
  8,000        198.21        -             198.21        359.43        -             359.43        81.3%    
  9,000        201.10        -             201.10        365.86        -             365.86        81.9%    
  10,000        203.99        -             203.99        372.29        -             372.29        82.5%    
  15,000        222.99        -             222.99        414.54        -             414.54        85.9%    
  20,000        243.75        -             243.75        460.71        -             460.71        89.0%    
  25,000        267.15        -             267.15        512.76        -             512.76        91.9%    
  50,000        405.65        -             405.65        821.01        -             821.01        102.4%    
  75,000        544.15        -             544.15        1,129.26        -             1,129.26        107.5%    
  100,000        682.65        -             682.65        1,437.51        -             1,437.51        110.6%    
  125,000        821.15        -             821.15        1,745.76        -             1,745.76        112.6%    
  150,000        959.65        -             959.65        2,054.01        -             2,054.01        114.0%    
  175,000        1,098.15        -             1,098.15        2,362.26        -             2,362.26        115.1%    
  200,000        1,236.65        -             1,236.65        2,670.51        -             2,670.51        115.9%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4        

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:    3” Meters                        All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    18500   $  416.69      $  416.69   $        -        0.0%

 

   
      Present Bill     Proposed Bill        
    Monthly 
    Consumption 		     Gross     CRT     Net     Gross     CRT     Net     Percent   
Increase   		  
     
  -            $  360.80        $        -             $  360.80        $  360.80        $        -             $  360.80        0.0%    
  1,000        361.98        (0.53)        361.45        361.98        (0.53)        361.45        0.0%    
  2,000        363.97        (1.43)        362.54        363.97        (1.43)        362.54        0.0%    
  3,000        365.96        (2.32)        363.64        365.96        (2.32)        363.64        0.0%    
  4,000        367.95        (3.22)        364.73        367.95        (3.22)        364.73        0.0%    
  5,000        369.94        (4.11)        365.83        369.94        (4.11)        365.83        0.0%    
  6,000        372.83        (5.41)        367.42        372.83        (5.41)        367.42        0.0%    
  7,000        375.72        (6.71)        369.01        375.72        (6.71)        369.01        0.0%    
  8,000        378.61        -             378.61        378.61        -             378.61        0.0%    
  9,000        381.50        -             381.50        381.50        -             381.50        0.0%    
  10,000        384.39        -             384.39        384.39        -             384.39        0.0%    
  15,000        403.39        -             403.39        403.39        -             403.39        0.0%    
  20,000        424.15        -             424.15        424.15        -             424.15        0.0%    
  25,000        447.55        -             447.55        447.55        -             447.55        0.0%    
  50,000        586.05        -             586.05        586.05        -             586.05        0.0%    
  75,000        724.55        -             724.55        724.55        -             724.55        0.0%    
  100,000        863.05        -             863.05        863.05        -             863.05        0.0%    
  125,000        1,001.55        -             1,001.55        1,001.55        -             1,001.55        0.0%    
  150,000        1,140.05        -             1,140.05        1,140.05        -             1,140.05        0.0%    
  175,000        1,278.55        -             1,278.55        1,278.55        -             1,278.55        0.0%    
  200,000        1,417.05        -             1,417.05        1,417.05        -             1,417.05        0.0%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4         

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:    3” Meters                        All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    18500   $  416.69      $  574.15   $  157.46   37.8%

 

   
      Present Bill     Proposed Bill        
    Monthly 
    Consumption 		     Gross     CRT     Net     Gross     CRT     Net     Percent   
Increase   		  
     
  -            $  360.80        $        -             $  360.80        $  480.00        $        -             $  480.00        33.0%    
  1,000        361.98        (0.53)        361.45        481.82        (0.91)        480.91        33.1%    
  2,000        363.97        (1.43)        362.54        485.18        (2.59)        482.59        33.1%    
  3,000        365.96        (2.32)        363.64        488.54        (4.27)        484.27        33.2%    
  4,000        367.95        (3.22)        364.73        491.90        (5.95)        485.95        33.2%    
  5,000        369.94        (4.11)        365.83        495.26        (7.63)        487.63        33.3%    
  6,000        372.83        (5.41)        367.42        500.14        (10.07)        490.07        33.4%    
  7,000        375.72        (6.71)        369.01        505.02        (12.51)        492.51        33.5%    
  8,000        378.61        -             378.61        509.90        -             509.90        34.7%    
  9,000        381.50        -             381.50        514.78        -             514.78        34.9%    
  10,000        384.39        -             384.39        519.66        -             519.66        35.2%    
  15,000        403.39        -             403.39        551.71        -             551.71        36.8%    
  20,000        424.15        -             424.15        586.74        -             586.74        38.3%    
  25,000        447.55        -             447.55        626.24        -             626.24        39.9%    
  50,000        586.05        -             586.05        859.99        -             859.99        46.7%    
  75,000        724.55        -             724.55        1,093.74        -             1,093.74        51.0%    
  100,000        863.05        -             863.05        1,327.49        -             1,327.49        53.8%    
  125,000        1,001.55        -             1,001.55        1,561.24        -             1,561.24        55.9%    
  150,000        1,140.05        -             1,140.05        1,794.99        -             1,794.99        57.4%    
  175,000        1,278.55        -             1,278.55        2,028.74        -             2,028.74        58.7%    
  200,000        1,417.05        -             1,417.05        2,262.49        -             2,262.49        59.7%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Water Utility of Greater Tonopah, Inc.    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis

   

2016

   

 

Rate Schedule:    3” Meters                        All Classes
     Gallons   Present Bill                                  

  Proposed  

Bill

    Increase      % Increase 

 Median Usage        

   18500   $  416.69     $  764.12   $  347.43   83.4%

 

   

 

Present Bill

     Proposed Bill        

     Monthly       

Consumption   

    Gross      CRT       Net      Gross      CRT       Net     Percent 
Increase 		  
     

-      

     $  360.80        $         -             $  360.80        $  640.00        $         -             $  640.00        77.4%   

1,000  

     361.98        (0.53)        361.45        642.42        (1.21)        641.21        77.4%   

2,000  

     363.97        (1.43)        362.54        646.85        (3.43)        643.43        77.5%   

3,000  

     365.96        (2.32)        363.64        651.28        (5.64)        645.64        77.6%   

4,000  

     367.95        (3.22)        364.73        655.71        (7.86)        647.86        77.6%   

5,000  

     369.94        (4.11)        365.83        660.14        (10.07)        650.07        77.7%   

6,000  

     372.83        (5.41)        367.42        666.57        (13.29)        653.29        77.8%   

7,000  

     375.72        (6.71)        369.01        673.00        (16.50)        656.50        77.9%   

8,000  

     378.61        -             378.61        679.43        -             679.43        79.5%   

9,000  

     381.50        -             381.50        685.86        -             685.86        79.8%   

10,000  

     384.39        -             384.39        692.29        -             692.29        80.1%   

15,000  

     403.39        -             403.39        734.54        -             734.54        82.1%   

20,000  

     424.15        -             424.15        780.71        -             780.71        84.1%   

25,000  

     447.55        -             447.55        832.76        -             832.76        86.1%   

50,000  

     586.05        -             586.05        1,141.01        -             1,141.01        94.7%   

75,000  

     724.55        -             724.55        1,449.26        -             1,449.26        100.0%   

100,000  

     863.05        -             863.05        1,757.51        -             1,757.51        103.6%   

125,000  

     1,001.55        -             1,001.55        2,065.76        -             2,065.76        106.3%   

150,000  

     1,140.05        -             1,140.05        2,374.01        -             2,374.01        108.2%   

175,000  

     1,278.55        -             1,278.55        2,682.26        -             2,682.26        109.8%   

200,000  

     1,417.05        -             1,417.05        2,990.51        -             2,990.51        111.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT A

Valencia Water Company, Inc. – Greater Buckeye Division

Schedules

 

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.

W-02451A-12-0313

Test Year Ended December 31, 2011

    Settlement A-1                        

REVENUE REQUIREMENT

 

LINE

NO.

    DESCRIPTION   

(A)
COMPANY

ORIGINAL

COST

     

(B)
COMPANY

FAIR

VALUE

     

(C)

SETTLEMENT

ORIGINAL

COST

          

(D)

SETTLEMENT

FAIR

VALUE

  

1

    Adjusted Rate Base    $       634,979        $         634,979        $         634,979           $         634,979    

2

    Adjusted Operating Income (Loss)    $ 49,158        $ 49,158        $ 42,015           $ 42,015    

3

    Current Rate of Return (L2 / L1)      7.74%         7.74%         6.62%            6.62%   

4

    Required Rate of Return      11.18%         11.18%         7.50%            7.50%   

5

    Required Operating Income (L4 * L1)    $ 70,975        $ 70,975        $ 47,623           $ 47,623    

6

    Operating Income Deficiency (L5 - L2)    $ 21,817        $ 21,817        $ 5,608           $ 5,608    

7

    Gross Revenue Conversion Factor      1.6694          1.6694          1.6563             1.6563    
                 

8

    Required Revenue Increase (L7 * L6)    $ 36,423        $ 36,423        $ 9,289           $ 9,289    

9

    Adjusted Test Year Revenue    $ 462,043        $ 462,043        $ 462,043           $ 462,043    

10

    Proposed Annual Revenue (L8 + L9)    $ 498,466        $ 498,466        $ 471,331           $ 471,331    

11

    Required Increase in Revenue (%)      7.88%         7.88%         2.01%            2.01%   

12

    Rate of Return on Common Equity (%)      11.44%         11.44%         9.50%            9.50%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Schedule: A-1a
W-02451A-12-0313    Settlement Phase in
Test Year Ended December 31, 2011   

 

  REVENUE PHASE IN PER SETTLEMENT      
      

 

 Revenue Increase 

       Revenue Increase     
        Year                     

 

 (Relative

 to Test

 Year)          

     

 (Relative

 to Previous

 Year)          

     
          
  2014                  -                          -                       
          
  2015                  4,644                      4,644                   
          
  2016                  9,289                      4,644                   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.

W-02451A-12-0313

Test Year Ended December 31, 2011

   

Settlement Gross Revenue Conversion Factor

GRCF

GROSS REVENUE CONVERSION FACTOR

 

LINE
NO.		   DESCRIPTION   (A)     (B)     (C)  
  Calculation of Gross Revenue Conversion Factor:      

1

   Revenue     100.0000%        
   

 

 

      

2

   Uncollecible Factor (Line 11)     0.5096%        
   

 

 

      

3

   Revenues (L1 - L2)     99.4904%        
   

 

 

      

4

   Combined Federal and State Income Tax and Property Tax Rate (Line 23)     39.1155%        
   

 

 

      

5

   Subtotal (L3 - L4)     60.3749%        
   

 

 

      

6

   Revenue Conversion Factor (L1 / L5)     1.656318        
   

 

 

      
  Calculation of Uncollecttible Factor:      

7

   Unity     100.0000%        
   

 

 

      

8

   Combined Federal and State Tax Rate (Line 17)     38.5989%        
   

 

 

      

9

   One Minus Combined Income Tax Rate (L7 - L8)     61.4011%        
   

 

 

      

10

   Uncollectible Rate     0.8300%        
   

 

 

      

11

   Uncollectible Factor (L9 * L10)       0.5096%      
     

 

 

    
  Calculation of Effective Tax Rate:      

12

   Operating Income Before Taxes (Arizona Taxable Income)     100.0000%        
   

 

 

      

13

   Arizona State Income Tax Rate     6.9680%        
   

 

 

      

14

   Federal Taxable Income (L12 - L13)     93.0320%        
   

 

 

      

15

   Applicable Federal Income Tax Rate (Line 44)     34.0000%        
   

 

 

      

16

   Effective Federal Income Tax Rate (L14 x L15)     31.6309%        
   

 

 

      

17

   Combined Federal and State Income Tax Rate (L13 +L16)                 38.5989%      
     

 

 

    
  Calculation of Effective Property Tax Factor      

18

   Unity     100.0000%        

19

   Combined Federal and State Income Tax Rate (L17)     38.5989%        

20

   One Minus Combined Income Tax Rate (L18-L19)     61.4011%        

21

   Property Tax Factor (ADJ 6, L25)     0.8414%        
   

 

 

      

22

   Effective Property Tax Factor (L20*L21)       0.5166%      
     

 

 

  

23

   Combined Federal and State Income Tax and Property Tax Rate (L17+L22)         39.1155%    
       

 

 

  

24

   Required Operating Income (Schedule A-1)     $ 47,623         

25

   AdjustedTest Year Operating Income (Loss) (ScheduleC-1)     $ 42,015         
   

 

 

      

26

   Required Increase in Operating Income (L24 - L25)       $ 5,608       

27

   Income Taxes on Recommended Revenue (Col. (C), L48)     $ 15,967         

28

   Income Taxes on Test Year Revenue (Col. (A), L48)     $ 12,441         
   

 

 

      

29

   Required Increase in Revenue to Provide for Income Taxes (L27 - L28)       $ 3,525       

30

   Required Revenue Increase (Schedule A-1)     $ 9,289         
   

 

 

      

31

   Uncollectible Rate (Line 10)     0.8300%        
   

 

 

      

32

   Uncollectible Expense on Recommended Revenue (L30 * L31)     $ 77         

33

   Adjusted Test Year Uncollectible Expense - N/A     $ -            
   

 

 

      

34

   Required Increase in Revenue to Provide for Uncollectible Exp.       $ 77       

35

   Property Tax with Recommended Revenue (ADJ 6, Line 21)     $ 11,741         

36

   Property Tax on Test Year Revenue (ADJ 6, Col A, L19)     $ 11,663         
   

 

 

      

37

   Increase in Property Tax Due to Increase in Revenue (L35-L36)       $ 78       
       
     

 

 

    

38

   Total Required increase in Revenue (L26 + L29 + L34+ L37)       $ 9,289       
     

 

 

    
        (A)     (B)     (C)  
        Test Year           Settlement
Recommended       		  
  Calculation of Income Tax:                  

39

   Revenue (Schedule C-1)     $ 462,043            $ 471,331    

40

   Operating Expenses Excluding Income Taxes     $ 407,586            $ 407,741    

41

   Synchronized Interest (L53)     $ 22,224            $ 22,224    

42

   Arizona Taxable Income (L39 - L40 - L41)     $ 32,233            $ 41,366    

43

   Arizona State Income Tax Rate                         6.9680%                    6.9680%   

44

   Arizona Income Tax (L42 x L43)     $ 2,246            $ 2,882    

45

   Federal Taxable Income (L42 - L44)     $ 29,987            $ 38,484    

46

   Federal Tax     $ 10,195            $ 13,084    

47

   Total Federal Income Tax     $ 10,195            $ 13,084    

48

   Combined Federal and State Income Tax (L43 + L47)     $ 12,441            $ 15,967    

50

   Effective Tax Rate      
       
  Calculation of Interest Synchronization:         N/A        

51

   Rate Base (Schedule B-1)         $ 634,979    

52

   Weighted Average Cost of Debt         3.5000%   

53

   Synchronized Interest (L50 X L51)         $ 22,224    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.

W-02451A-12-0313

Test Year Ended December 31, 2011

    Settlement B-1

RATE BASE - ORIGINAL COST

 

LINE

NO.

      

(A)

COMPANY

AS

FILED

    

(B)

    

SETTLEMENT

ADJUSTMENTS

    

(C)

SETTLEMENT

AS

ADJUSTED

  

1

   Plant in Service     $ 3,079,206          $ 0          $           3,079,206     

2

   Less: Accumulated Depreciation     1,372,116                                 -              1,372,116     
   

 

 

    

 

 

    

 

 

  

3

   Net Plant in Service     $           1,707,090          $ 0          $ 1,707,090     
   

 

 

    

 

 

    

 

 

  
  LESS:      

4

   Contributions in Aid of Construction (CIAC)     $ 407,979          $ -              $ 407,979     

5

  

Less: Accumulated Amortization

     171,882          -              171,882     
   

 

 

  

6

  

Net CIAC

     236,097          -              236,097     

7

   Advances in Aid of Construction (AIAC)     722,274          -              722,274     

8

   Imputed Reg AIAC     -             

9

   Imputed Reg CIAC     -              -              -         

10

   Accumulated Deferred Income Tax Credits     112,475          -              112,475     
  Customer Meter Deposits     43,597            43,597     
  ADD:      

11

   Accumulated Deferred Income Tax Debits     42,332          -              42,332     

12

   Cash Working Capital     -              -              -         

13

   Prepayments     -              -              -         

14

   Supplies Inventory     -              -              -         

15

   Projected Capital Expenditures     -              -              -         

16

   Deferred Debits     -              -              -         

17

   Purchase Wastewater Treatment Charges     -              -           

18

  

Original Cost Rate Base

     $ 634,979          $ 0          $ 634,979     
   

 

 

    

 

 

    

 

 

  
 

References:

Column (A), Company Schedule B-2

Column (B): Schedule B-2

Column (C): Column (A) + Column (B)

      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.

W-02451A-12-0313

Test Year Ended December 31, 2011

    Settlement B-2

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

               [A]          [B]          [I]  

LINE        

NO.        

   

ACCT.

NO.

   

 

DESCRIPTION

   

COMPANY

AS FILED

 

    

Reclassification

ADJ #1

Staff Testimony GWB

 

   

SETTLEMENT
ADJUSTED

 

  
   PLANT IN SERVICE:             

1        

    303     Land and Land Rights      $ 27,898             $ -              $ 27,898     

2        

    304     Structures and Improvements      39,296                  39,296     

3        

    307     Wells and Springs      115,895                  115,895     

4        

    309     Supply Mains      -                  -     

5        

    310     Power Generation Equipment      1,738                  1,738     

6        

    311     Pumping Equipment      543,761                  543,761     

7        

    320     Water Treatment Equipment      844,990             (844,990)             -     

8        

    320.1    Water Treatment Plant           844,990              844,990     

9        

    320.2    Solution Chemical Feeders                -     

10        

    330     Distribution Reservoirs and Standpipes      588,494             (588,494)             -     

11        

    330.1            Storage Tanks           463,799              463,799     

12        

    330.2    Pressure Tanks           124,695              124,695     

13        

    331     Transmission and Distribution Mains      766,900                  766,900     

14        

    333     Services      37,406                  37,406     

15        

    334     Meters and Meter Installations      37,332                  37,332     

16        

    335     Hydrants      40,757                  40,757     

17        

    336     Backflow Prevention Devices      5,432                  5,432     

18        

    339     Other Plant and Miscellaneous Equipment      4,284                  4,284     

19        

    340     Office Furniture and Equipment      -                  -     

20        

    341     Transportation Equipment      -                  -     

21        

    343     Tools, Shop and Garage Equipment      1,650                  1,650     

22        

    344     Laboratory Equipment      -                  -     

23        

    345     Power Operated Equipment      -                  -     

24        

    346     Communication Equipment      4,751                  4,751     

25        

    347     Miscellaneous Equipment      10,089                  10,089     

26        

    348     Other Tangible Plant      8,533                  8,533     
     

 

       

 

 

       

 

 

  

27        

    Total Plant in Service      3,079,206             0              3,079,206     

28        

                

29        

    Accumulated Depreciation      1,372,116             -                  1,372,116     
        

 

 

       

 

 

       

 

 

  

30        

    Net Plant in Service      $         1,707,090             $ 0              $         1,707,090     

31        

                

32        

    LESS:             

33        

    Contributions in Aid of Construction (CIAC)      407,979                  $ 407,979     

34        

   

Less: Accumulated Amortization

      171,882             -                  171,882     
        

 

 

       

 

 

       

 

 

  

35        

   

Net CIAC (L63-L64)

      236,097             -                  236,097     

36        

    Advances in Aid of Construction (AIAC)      722,274             -                  722,274     

37        

    Imputed Reg Advances      -                 -                  -         

38        

    Imputed Reg CIAC           -                  -         

39        

    Accumulated Deferred Income Tax Credits      112,475                  112,475     

40        

     Customer Meter Deposits      43,597                  43,597     

41        

    ADD:                -         

42        

    Accumulated Deferred Income Tax Debits      42,332                  42,332     

43        

    Working Capital Allowance                -         
        

 

 

       

 

 

       

 

 

  

50        

    Original Cost Rate Base      $ 634,979             $ 0              $ 634,979     
        

 

 

       

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.

W-02451A-12-0313

Test Year Ended December 31, 2011

    Settlement C-1

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

          [A]      [B]     

[C]

SETTLEMENT

      [D]      [E]  

LINE

NO.

    DESCRIPTION    COMPANY
TEST YEAR
AS FILED		      SETTLEMENT
TEST YEAR
ADJUSTMENTS		      TEST YEAR
AS
ADJUSTED		      SETTLEMENT
RECOMMENDED
CHANGES		      SETTLEMENT
RECOMMENDED		  
        $ -               $ -               $ -               $ 9,289           $ 9,289     

1

      461 Metered Water Revenue      449,915           -               449,915           -               449,915     

2

      460 Unmetered Water Revenue      -                  -               

3

      474 Other Water Revenues      12,128           -               12,128           -               12,128     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

4

    Total Operating Revenues      $ 462,043           $ -               $       462,043           $       9,289           $       471,331     

5

      601 Salary and Wages - Employees      $ 108,598           $ -               $ 108,598           $ -               $ 108,598     

6

      610 Purchased Water      51,353           -               51,353           -               51,353     

7

      615 Purchased Power      27,669           (504)          27,166           -               27,166     

8

      618 Chemicals      5,234           (95)          5,139           -               5,139     

9

      620 Materials and Supplies      (2,816)          -               (2,816)          -               (2,816)    

10

      621 Office Supplies and Expense      5,458           -               5,458           -               5,458     

11

      630 Outside Services      36,433           -               36,433           -               36,433     

12

      635 Contractual Services - Testing      3,252           -               3,252           -               3,252     

13

      636 Contractual Services - Other      -               -               -               -               -         

14

      641 Rental of Building/Real Propert      4,216           -               4,216           -               4,216     

15

      650 Transportation Expenses      9,090           -               9,090              9,090     

16

      657 Insurance - General Liability      2,836           -               2,836           -               2,836     

17

      659 Insurance - Other      1,509           -               1,509           -               1,509     

18

      666 Regulatory Commission Expen      4,142           (2,037)          2,105           -               2,105     

19

      670 Bad Debt Expense      11,295           (7,460)          3,835           77           3,912     

20

      675 Miscellaneous Expenses      13,302           -               13,302           -               13,302     

21

      403 Depreciation Expense      137,751               10,580           148,331              148,331     

22

      403 Depreciation Expense – CIAC      (25,605)          -               (25,605)             (25,605)    

23

      408 Taxes Other Than Income      1,722           -               1,722           -               1,722     

24

      408.11 Taxes Other Than Income -      11,663           -               11,663           78           11,741     

25

      409 Income Taxes      5,783           6,658           12,441              15,967     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

26

    Total Operating Expenses          412,885           7,142           420,027           3,681           423,708     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

27

    Operating Income (Loss)      $ 49,158           $ (7,142)          $ 42,015           $ 5,608           $ 47,623     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
  

References:

Column (A): Company Schedule C-1

Column (B): Schedule C-2

Column (C): Column (A) + Column (B)

Column (D): Schedules A-1

Column (E): Column (C) + Column (D)

  

  

  

  

  

  

         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement C-2
W-02451A-12-0313   
Test Year Ended December 31, 2011   

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

              [A]             [B]     [C]     [D]     [E]     [F]     [H]  
LINE
NO.		         DESCRIPTION   COMPANY            

Excess
Water Loss

ADJ #1

     Bad Debts Exp
ADJ #2		    

Rate Case
Exp

ADJ #3

    

Deprec. Exp

        ADJ #4

    

Income Taxes

    ADJ #5

     SETTLEMENT  
              AS FILED                                                                                                                                          ADJUSTED  
  1       

461 Metered Water Revenue

     449,915          -              -              -              -              -              449,915     
  2       

460 Unmetered Water Revenue

     -                        -         
  3       

474 Other Water Revenues

     12,128          -              -              -              -              -              12,128     
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  4     

Total Operating Revenues

     $       462,043          $ -              $ -              $ -              $ -              $ -              $ 462,043     
 

Operating Expenses

              
  5       

601 Salary and Wages - Employees

     $ 108,598            $ -          $ -          $ -          $ -         $ 108,598     
  6       

610 Purchased Water

     51,353          -          -          -          -          -         51,353     
  7       

615 Purchased Power

     27,669          (504)           -          -          -         27,166     
  8       

618 Chemicals

     5,234          (95)                 5,139     
  9       

620 Materials and Supplies

     (2,816)         -          -                (2,816)    
  10       

621 Office Supplies and Expense

     5,458          -          -                5,458     
  11       

630 Outside Services

     36,433          -          -                36,433     
  12       

635 Contractual Services - Testing

     3,252          -          -                3,252     
  13       

636 Contractual Services - Other

     -          -          -                -     
  14       

641 Rental of Building/Real Property

     4,216          -          -                4,216     
  15       

650 Transportation Expenses

     9,090          -          -          -              9,090     
  16       

657 Insurance - General Liability

     2,836          -          -                2,836     
  17       

659 Insurance - Other

     1,509          -          -                1,509     
  18       

666 Regulatory Commission Expense –

     4,142          -          -          (2,037)             2,105     
  19       

670 Bad Debt Expense

     11,295          -          (7,460)               3,835     
  20       

675 Miscellaneous Expenses

     13,302          -          -                13,302     
  21       

403 Depreciation Expense

     137,751          -          -            10,580            148,331     
  22       

403 Depreciation Expense – CIAC Amor

     (25,605)         -          -                (25,605)    
  23       

408 Taxes Other Than Income

     1,722          -          -                1,722     
  24       

408.11 Taxes Other Than Income - Prop

     11,663                    11,663     
  25       

409 Income Taxes

     5,783                  6,658          12,441     
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  26     

Total Operating Expenses

     $ 412,885          $ (599)         $ (7,460)         $ (2,037)         $     10,580          $     6,658          $ 420,027     
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  27     

Operating Income

     $ 49,158          $     599          $     7,460          $     2,037          $ (10,580)         $ (6,658)         $     42,015     
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement ADJ 1                        
W-02451A-12-0313    Water Loss                        
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #1 - EXCESS WATER LOSS

 

   

LINE

NO.

             
 

1

      One plus allowable water loss     110.00%    
 

2

      One plus actual water loss     112.04%    
 

3

      Allowable portion     98.18%    
        

 

 

  
 

4

      Disallowable portion     1.82%    
 

5

      Power Expense     27,669     
 

6

      Disallowance     $ 504     
 

7

      Chemical Expense     5,234     
 

8

      Disallowance     $ 95     

 

Line 1: Maximum acceptable level of water losses

Line 2: Actual level of water losses

Line 3: Line 2 / line 3

Line 4: 1 minus line 4

Line 6: Line 1 times line 5

Lines 1 - 6: See also Staff testimony GWB

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement ADJ 2
W-02451A-12-0313    Bad Debt Expense
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #2 - BAD DEBT EXPENSE

 

   

LINE

NO.

   DESCRIPTION  

  [A]

  COMPANY

  PROPOSED

    

[B]

SETTLEMENT

ADJUSTMENTS

    

  [C]

  SETTLEMENT

  RECOMMENDED*

  
 

1

       $ 11,295      $ (7,460)        $ 3,835     
     

 

 

  
   

 

References:

      
   

Column (A), Company Workpapers

  

    
   

Column (B): Staff Testimony GWB

  

    
   

Column (C): Column (A) + Column (B), Per Co Response

                to Staff DR 5.8

  

  

    
   

Adjusted Test Year Revenues

  

       $ 462,043     
   

Bad Debt Expense Rate

  

       0.83%    
       

 

 

  
   

Expected Bad Debt Expense

  

       $ 3,835     
   

Co Proposed

  

       $ 11,295     
         

 

 

  
            $ (7,460)    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.      Settlement ADJ 3     
W-02451A-12-0313      Rate Case Expense     
Test Year Ended December 31, 2011     

OPERATING INCOME ADJUSTMENT #3 - RATE CASE EXPENSE

 

LINE

NO.

    DESCRIPTION   

[A]

COMPANY
    PROPOSED    

     [B]
SETTLEMENT
ADJUSTMENTS		     [C]
SETTLEMENT
RECOMMENDED		        
           

1

         $ 4,142      $ (2,037)      $ 2,105       
     

 

 

    
               
   Company Proposed Rate
Case Expense		                  
           Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah           Buckeye           WUNS          

2

    Allocation Percentages        39.86%        40.32%        13.45%        3.78%        0.82%        1.58%        0.19%   

3

    Desert Mountain Analytical Services      $ 122,063      $ 48,852      $ 49,218      $ 16,420      $ 4,616      $ 996      $ 1,927      $ 234     

4

    Insight Consulting, LLC      $ 216,000      $ 86,094      $ 87,095      $ 29,057      $ 8,168      $ 1,762      $ 3,410      $ 413     

5

    Roshka Dewulf & Patten, PLC      $ 370,303      $ 147,597      $ 149,313      $ 49,814      $ 14,004      $ 3,021      $ 5,846      $ 709     

6

    Ullmann & Company P C      $ 78,809      $ 31,412      $ 31,777      $ 10.602      $ 2,980      $ 643      $ 1,244      $ 151     
     

 

 

  

7

    Total      $ 787,174      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     

8

    Amortization over 3 years:                 

9

    Year 1      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     

10

    Year 2      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     

11

    Year 3      $ 262,391      $ 104,585      $ 105,801      $ 35,298      $ 9,923      $ 2,140      $ 4,142      $ 502     
     

 

 

  

12

    Totals      $ 787,174      $ 313,756      $ 317,402      $ 105,693      $ 29,768      $ 6,421      $ 12,427      $ 1,506     
   Settlement Rate Case Expense               
13    Description     Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

14

    Recommended Amount      $ 400,000      $ 159,434      $ 161,287      $ 53,809      $ 15,127      $ 3,263      $ 6,315      $ 765     

15

    Amortization:                 

16

    Year 1      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     

17

    Year 2      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     

18

    Year 3      $ 133,333      $ 53,145      $ 53,762      $ 17,936      $ 5,042      $ 1,088      $ 2,105      $ 255     
     

 

 

  

19

    Totals      $ 400,000      $ 313,756      $ 317,402      $ 105,893      $ 29,768      $ 6,421      $ 12,427      $ 1,506     

20

    Adjustment Total by System      $ (129,058 )    $ (51,441 )    $ (52,038 )    $ (17,361 )    $ (4,881 )    $ (1,053 )    $ (2,037 )    $ (247)    
  

References:

                 
  

Column (A), Company Workpapers

  

              
  

Column (B): Line 20 for respective system

   

              
  

Column (C): Line 16 for respective system

   

              

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement ADJ 4
W-02451A-12-0313    Depreciation
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #4 - DEPRECIATION EXPENSE

 

              [A]      [B]      [C]  
LINE        ACCT.        PLANT      DEPRECIATION      DEPRECIATION  
NO.        NO.    DESCRIPTION   BALANCE      RATE      EXPENSE  

1

    PLANT IN SERVICE:         

2

    303    Land and Land Rights     27,898         0.00%         -       

3

    304    Structures and Improvements     39,296         3.33%         1,309   

4

    307    Wells and Springs     115,895         3.33%         3,859   

5

    309    Supply Mains     -             2.00%         -       

6

    310    Power Generation Equipment     1,738         5.00%         87   

7

    311    Pumping Equipment     543,761         12.50%         67,970   

8

    320    Water Treatment Equipment     -             0.00%         -       

9

    320.1    Water Treatment Plant     844,990         3.33%         28,138   

10

    320.2    Solution Chemical Feeders     -             20.00%         -       

11

    330    Distribution Reservoirs and Standpipes     -             0.00%         -       

12

    330.1    Storage Tanks     463,799         2.22%         10,296   

13

    330.2    Pressure Tanks     124,695         5.00%         6,235   

14

    331    Transmission and Distribution Mains     766,900         2.00%         15,338   

15

    333    Services     37,406         3.33%         1,246   

16

    334    Meters and Meter Installations     37,332         8.33%         3,110   

17

    335    Hydrants     40,757         2.00%         815   

18

    336    Backflow Prevention Devices     5,432         6.67%         362   

19

    339    Other Plant and Miscellaneous Equipment     4,284         6.67%         286   

20

    340    Office Furniture and Equipment     -             6.67%         -       

21

    341    Transportation Equipment     -             20.00%         -       

22

    343    Tools, Shop and Garage Equipment     1,650         5.00%         83   

23

    344    Laboratory Equipment     -             10.00%         -       

24

    345    Power Operated Equipment     -             5.00%         -       

25

    346    Communication Equipment     4,751         10.00%         475   

26

    347    Miscellaneous Equipment     10,089         10.00%         1,009   

27

    348    Other Tangible Plant     8,533         10.00%         853   

28

       Totals     3,079,206            141,470   

29

       Less: Non Depreciable Plant        

30

       Land and Land Rights     27,898         
       

 

 

        

31

       Net Depreciable Plant and Depreciation Amounts    $                 3,051,308           $             141,470   

32

              

33

       Amortization of CIAC at Company’s Rate    $ 407,979         4.5944%        $ 18,744   
             

 

 

  

34

       Settlement Depreciation Expense          $ 122,726   

35

       Company Proposed Depreciation Expense          $ 112,146   
             

 

 

  

36

       Settlement Adjustment          $ 10,580   

 

      References:   
  Col [A]         Schedule B-2   
  Col [B]         Proposed Rates per Staff Engineering Report   
  Col [C]         Col [A] times Col [B]   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement ADJ 5
W-02451A-12-0313    Income Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #5 - INCOME TAXES

 

            [A]      [B]        [C]  
LINE           COMPANY      SETTLEMENT        SETTLEMENT  
NO.    DESCRIPTION      PROPOSED      ADJUSTMENTS        RECOMMENDED  

1

    Income Taxes        $        5,783          $                 6,658             $                 12,441     
       

 

     

 

 

       

 

 

  

References:

Column (A), Company Schedule C-2

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B),

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement ADJ 6
W-02451A-12-0313    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #6 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

        [A]          [B]
LINE          SETTLEMENT          SETTLEMENT
NO.     DESCRIPTION   AS ADJUSTED          RECOMMENDED

     1     

    Adjusted Test Year Revenues - 2011      $ 462,043            $ 462,043     

     2     

    Weight Factor      2            2     
     

 

 

      

 

 

  

     3     

    Subtotal (Line 1 * Line 2)      924,086            924,086     

     4     

    Adjusted Test Year Revenues - 2011      462,043         

     5     

    Recommended Revenue          471,331     
     

 

 

      

 

 

  

     6     

    Subtotal (Line 4 + Line 5)            1,386,129                      1,395,417     

     7     

    Number of Years      3            3     
     

 

 

      

 

 

  

     8     

    Three Year Average (Line 5 / Line 6)      462,043            465,139     

     9     

    Department of Revenue Mutilplier      2            2     
     

 

 

      

 

 

  

     10     

    Revenue Base Value (Line 7 * Line 8)      924,086            930,278     

     11     

    Plus: 10% of CWIP      (3)           (3)    

     12     

    Less: Net Book Value of Licensed Vehicles      -                -         
     

 

 

      

 

 

  

     13     

    Full Cash Value (Line 10 + Line 11 - Line 12)      924,083            930,275     

     14     

    Assessment Ratio      21.0%           21.0%    
     

 

 

      

 

 

  

     15     

    Assessment Value (Line 13 * Line 14)      194,057            195,358     

     16     

    Composite Property Tax Rate      6.0100%           6.0100%    
     

 

 

      

 

 

  

     17     

    Test Year Adjusted Property Tax Expense (Line 15 * Line 16)      $ 11,663         

     18     

    Company Proposed Property Tax      $ 11,663         
     

 

 

      

     19     

    Test Year Adjustment (Line 17 - Line 18)      $ (0)        
     

 

 

      

     20     

    Property Tax on Recommended Revenue (Line 15 * Line 16)          $ 11,741     

     21     

    Test Year Adjusted Property Tax Expense (Line 17)          $ 11,663     
         

 

 

  

     22     

    Increase in Property Tax Due to Increase in Revenue Requirement          $ 78     
         

 

 

  

     23     

    Increase in Property Tax Due to Increase in Revenue Requirement (Line 22)          $ 78     

     24     

    Increase in Revenue Requirement          $ 9,289     

     25     

    Increase in Property Tax Per Dollar Increase in Revenue (Line 23 / Line 24)          0.84140%    
  

 

REFERENCES:

Line 15: Composite Tax Rate, per Company

Line 18: Company Schedule C-1, Line 36

       

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement D-1
W-02451A-12-0313   
Test Year Ended December 31, 2011   

CALCULATION OF WEIGHTED AVERAGE COST OF CAPITAL - REQUIRED RATE OF RETURN

 

   

Percent of

Total

           Cost Rate            

Weighted  

Cost

 Debt

   57.8%         6.1%          3.5% 

 Equity        

   42.2%         9.5%          4.0% 
             

 Required Rate of Return

            

7.5%

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division.    Settlement Schedule H-3
W-02451A-12-0313    Page 1 of 2
Test Year Ended December 31, 2011   

 

Changes in Representative Rate Schedules

Portable Water - All Meter Sizes and Classes*

Monthly Minimum Charges:

             Basic Service Charge                  
      

 

 

            
                   Present                 Proposed                  
      

 

 

        

 

 

            
Meter Size (All Classes*)                   

2014

     

2015

      2016                  

 

            

5/8” X 3/4” Meter

          $ 27.72              $ 27.72        $ 27.78        $ 28.14              

3/4” Meter

          27.72              27.72          27.78          28.14              

1” Meter

          69.30              69.30          69.45          69.30              

1.5” Meter

          136.60              138.60          138.90          140.70              

2” Meter

          221.76              221.76          222.24          225.12              

3” Meter

          443.52              443.52          444.48          1,108.80              

4” Meter

          693.00              693.00          694.50          3,517.80              

6” Meter

                1,386.00                  1,386.00          1,389.00          1,407.00              

8” Meter

          NA              2,217.60          2,222.40          2,251.20              

Commodity Rate Charges (per 1,000 gallons):

         
        Rate Block           Volumetric Charge         
   

 

        

 

 

       
                             Present          Proposed       
            

 

 

       
          Present    Proposed                  2014      2015        2016       
   

 

        

 

 

       

Tier One Breakover

  

1,000 Gallons

      1,000 Gallons              $        1.35       $ 1.35        $ 1.42          $     1.43         

Tier Two Breakover

  

5,000 Gallons

      5,000 Gallons              2.55         2.55          2.68            2.70         

Tier Three Breakover

  

10,000 Gallons

      10,000 Gallons              3.75         3.75          3.94            3.98         

Tier Four Breakover

  

18,000 Gallons

      18,000 Gallons              4.95         4.95          5.20            5.25         

Tier Five Breakover

  

25,000 Gallons

      25,000 Gallons              6.15         6.15          6.46            6.52         

Tier Six Breakover

  

Over 25,000

      Over 25,000              7.35         7.35          7.72            7.78         

Conservative Rebate

                                                     
                         Proposed         
            

 

 

       
             Present           2014      2015 and thereafter       

 

       

 Threshold (“CRT”) in Gallons

        9,001              9,001             8,001         

 Commodity rate rebate:

        45%            45%            50%        

 (applied if consumption is Below the CRT)

                      

*Includes all potable water meters including irrigation meters.

 

Non Potable Water - All Meter Sizes and Classes    Present          Proposed        Change      

All Gallons (Per Acre Foot)

      185.74           533.76           348.02     

All Gallons (Per 1,000 Gallons)

      0.57           1.638           1.07     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Settlement Schedule H-3        

Page 2 of 2        

 

Miscellaneous Service Charges    Present        Proposed        Change  

Establishment of Service

    $     35.00           $       35.00         $     -        

Establishment of Service - After Hours

      50.00           Eliminate            NA     

Re-establishment of Service (Within 12 Months)

      (a)           (a)        

Reconnection of Service (Delinquent)

      35.00           35.00           -        

Reconnection of Service - After Hours (Delinquent)

      50.00           Eliminate            NA     

Meter Move at Customer Request

      (b)           (b)        

After Hours Service Charge, Per Hour

      50.00           Eliminate            NA     

After Hours Service Charge

      NA           35.00           NA     

Deposit

      (c)           (c)        

Meter Re-Read (If Correct)

      30.00           30.00           -        

Meter Test Fee (If Correct)

      30.00           30.00           -        

NSF Check

      30.00           30.00           -        

Late Payment Charge (Per Month)

      1.50%           1.50%           0.00%    

Deferred Payment Charge (Per Month)

      1.50%           1.50%           0.00%    

(a) Number of Months off Systems times the monthly minimum per A.A.C R14-2-403(D).

(b) Cost to include parts, labor, overhead and all applicable taxes per A.A.C. R14-2-405(B)(5).

(c) Per A.A.C. R14-2-403(B).

* For After Hours Service Calls for work performed on the customer’s property; not to be charged in addition to an
  establishment or a reconnection after hours charge.

In addition to the collection of its regular rates and charges, the Company shall collect from customers their proportional share of any privilege,

sales or use tax in accordance with A.A.C. R14-2-409(D)(5).

Service Line and Meter Installation Charges (Refundable Pursuant to A.A.C. R14-2-405)

 

Meter Size      Present
Service Line Charges		          Meter Charges        Total Charges     

  Proposed

Service Line Charges

      Meter Charges      Total Charges      Change                 

5/8 x 3/4” Meter

    $             445.00       $                 155.00       $ 600.00       $     445.00                   $     155.00                      $600.00                     0.00%                

      3/4” Meter

      445.00         255.00         700.00         445.00                     255.00                      700.00                     0.00%                

1” Meter

      495.00         315.00         810.00         495.00                     315.00                      810.00                     0.00%                

1 1/2” Meter

      550.00         525.00         1,075.00         550.00                     525.00                      1,075.00                     0.00%                

2” Turbine Meter

      830.00         1,045.00         1,875.00         830.00                     1,045.00                      1,875.00                     0.00%                

2” Compound Meter

      830.00         1,890.00         2,720.00         830.00                     1,890.00                      2,720.00                     0.00%                

3” Turbine Meter

      1,045.00         1,670.00         2,715.00         1,045.00                     1,670.00                      2,715.00                     0.00%                

3” Compound Meter

      1,165.00         2,545.00         3,710.00         1,165.00                     2,545.00                      3,710.00                     0.00%                

4” Turbine Meter

      1,490.00         2,670.00         4,160.00         1,490.00                     2,670.00                      4,160.00                     0.00%                

4” Compound Meter

      1,670.00         3,645.00         5,315.00         1,670.00                     3,645.00                      5,315.00                     0.00%                

6” Turbine Meter

      2,210.00         5,025.00         7,235.00         2,210.00                     5,025.00                      7,235.00                     0.00%                

6” Compound Meter

      2,330.00         6,920.00         9,250.00         2,330.00                     6,920.00                      9,250.00                     0.00%                

6” and Larger Meters

      Cost         Cost         Cost         Cost                     Cost                      Cost                  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:    5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase      % Increase 

Median Usage

    6500    $    37.17       $    37.17        $        -        0.0% 

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $ 27.72        $         -           $ 27.72        $ 27.72        $         -           $ 27.72         0.0%   

1,000 

      29.07         (0.61 )      28.46         29.07         (0.61 )      28.46         0.0%   

2,000 

      31.62         (1.76 )      29.87         31.62         (1.76 )      29.87         0.0%   

3,000 

      34.17         (2.90 )      31.27         34.17         (2.90 )      31,27         0.0%   

4,000 

      36.72         (4.05 )      32.67         36.72         (4.05 )      32.67         0.0%   

5,000 

      39.27         (5.20 )      34.07         39.27         (5.20 )      34.07         0.0%   

6,000 

      43.02         (6.89 )      36.14         43.02         (6.89 )      36.14         0.0%   

7,000 

      46.77         (8.57 )      38.20         46.77         (8.57 )      38.20         0.0%   

8,000 

      50.52         (10.26 )      40.26         50.52         (10.26 )      40.26         0.0%   

9,000 

      54.27         (11.95 )      42.32         54.27         (11.95 )      42.32         0.0%   

10,000 

      58.02         -            58.02         58.02         -            58.02         0.0%   

15,000 

      82.77         -            82.77         82.77         -            82.77         0.0%   

20,000 

      109.92         -            109.92         109.92         -            109.92         0.0%   

25,000 

      140.67         -            140.67         140.67         -            140.67         0.0%   

50,000 

      324.42         -            324.42         324.42         -            324.42         0.0%   

75,000 

      508.17         -            508.17         508.17         -            508.17         0.0%   

100,000 

      691.92         -            691.92         691.92         -            691.92         0.0%   

125,000 

      875.67         -            875.67         875.67         -            875.67         0.0%   

150,000 

      1,059.42         -            1,059.42         1,059.42         -            1,059.42         0.0%   

175,000 

      1,243.17         -            1,243.17         1,243.17         -            1,243.17         0.0%   

200,000 

      1,426.92         -            1,426.92         1,426.92         -            1,426.92         0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:    5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase    % Increase 

Median Usage

    6500    $    37.17       $    36.81           $    (0.36)    -1.0% 

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $ 27.72        $         -           $ 27.72        $ 27.78        $         -           $ 27.78         0.2%   

1,000 

      29.07         (0.61 )      28.46         29.20         (0.71 )      28.49         0.1%   

2,000 

      31.62         (1.76 )      29.87         31.88         (2.05 )      29.83         -0.1%   

3,000 

      34.17         (2.90 )      31.27         34.56         (3.39 )      31.17         -0.3%   

4,000 

      36.72         (4.05 )      32.67         37.24         (4.73 )      32.51         -0.5%   

5,000 

      39.27         (5.20 )      34.07         39.92         (6.07 )      33.85         -0.7%   

6,000 

      43.02         (6.89 )      36.14         43.86         (8.04 )      35.82         -0.9%   

7,000 

      46.77         (8.57 )      38.20         47.80         (10.01 )      37.79         -1.1%   

8,000 

      50.52         (10.26 )      40.26         51.74         (11.98 )      39.76         -1.2%   

9,000 

      -54.27         (11.95 )      42.32         55.68         -            55.68         31.6%   

10,000 

      58.02         -            58.02         59.62         -            59.62         2.8%   

15,000 

      82.77         -            82.77         85.62         -            85.62         3.4%   

20,000 

      109.92         -            109.92         114.14         -            114.14         3.8%   

25,000 

      140.67         -            140.67         146.44         -            146.44         4.1%   

50,000 

      324.42         -            324.42         339.44         -            339.44         4.6%   

75,000 

      508.17         -            508.17         532.44         -            532.44         4.8%   

100,000 

      691.92         -            691.92         725.44         -            725.44         4.8%   

125,000 

      875.67         -            875.67         918.44         -            918.44         4.9%   

150,000 

      1,059.42         -            1,059.42         1,111.44         -            1,111.44         4.9%   

175,000 

      1,243.17         -            1,243.17         1,304.44         -            1,304.44         4.9%   

200,000 

      1,426.92         -            1,426.92         1,497.44         -            1,497.44         4.9%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:    5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase      % Increase 

Median Usage

    6500    $    37.17       $    37.24          $      0.07      0.2% 

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $ 27.72        $         -           $ 27.72        $ 28.14        $         -           $ 28.14         1.5%   

1,000 

      29.07         (0.61 )      28.46         29.57         (0.72 )      28.86         1.4%   

2,000 

      31.62         (1.76 )      29.87         32.27         (2.07 )      30.21         1.1%   

3,000 

      34.17         (2.90 )      31.27         34.97         (3.42 )      31.56         0.9%   

4,000 

      36.72         (4.05 )      32.67         37.67         (4.77 )      32.91         0.7%   

5,000 

      39.27         (5.20 )      34.07         40.37         (6.12 )      34.26         0.5%   

6,000 

      43.02         (6.89 )      36.14         44.35         (8.11 )      36.25         0.3%   

7,000 

      46.77         (8.57 )      38.20         48.33         (10.10 )      38.24         0.1%   

8,000 

      50.52         (10.26 )      40.26         52.31         (12.09 )      40.23         -0.1%   

9,000 

      54.27         (11.95 )      42.32         56.29         -            56.29         33.0%   

10,000 

      58.02         -            58.02         60.27         -            60.27         3.9%   

15,000 

      82.77         -            82.77         86.52         -            86.52         4.5%   

20,000 

      109.92         -            109.92         115.31         -            115.31         4.9%   

25,000 

      140.67         -            140.67         147.91         -            147.91         5.1%   

50,000 

      324.42         -            324.42         342.66         -            342.66         5.6%   

75,000 

      508.17         -            508.17         537.41         -            537.41         5.8%   

100,000 

      691.92         -            691.92         732.16         -            732.16         5.8%   

125,000 

      875.67         -            875.67         926.91         -            926.91         5.9%   

150,000 

      1,059.42         -            1,059.42         1,121.66         -            1,121.66         5.9%   

175,000 

      1,243.17         -            1,243.17         1,316.41         -            1,316.41         5.9%   

200,000 

      1,426.92         -            1,426.92         1,511.16         -            1,511.16         5.9%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:    1” Meters                    All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase      % Increase 

Median Usage

    7700    $    81.22       $    81.22        $        -        0.0% 

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $ 69.30        $         -           $ 69.30        $ 69.30        $         -           $ 69.30         0.0%   

1,000 

      70.65         (0.61 )      70.04         70.65         (0.61 )      70.04         0.0%   

2,000 

      73.20         (1.76 )      71.45         73.20         (1.76 )      71.45         0.0%   

3,000 

      75.75         (2.90 )      72.85         75.75         (2.90 )      72.85         0.0%   

4,000 

      78.30         (4.05 )      74.25         78.30         (4.05 )      74.25         0.0%   

5,000 

      80.85         (5.20 )      75.65         80.85         (5.20 )      75.65         0.0%   

6,000 

      84.60         (6.89 )      77.72         84.60         (6.89 )      77.72         0.0%   

7,000 

      88.35         (8.57 )      79.78         88.35         (8.57 )      79.78         0.0%   

8,000 

      92.10         (10.26 )      81.84         92.10         (10.26 )      81.84         0.0%   

9,000 

      95.85         (11.95 )      83.90         95.85         (11.05 )      83.90         0.0%   

10,000 

      99.60         -            99.60         99.60         -            99.60         0.0%   

15,000 

      124.35         -            124.35         124.35         -            124.35         0.0%   

20,000 

      151.50         -            151.50         151.50         -            151.50         0.0%   

25,000 

      182.25         -            182.25         182.25         -            182.25         0.0%   

50,000 

      366.00         -            366.00         366.00         -            366.00         0.0%   

75,000 

      549.75         -            549.75         549.75         -            549.75         0.0%   

100,000 

      733.50         -            733.50         733.50         -            733.50         0.0%   

125,000 

      917.25         -            917.25         917.25         -            917.25         0.0%   

150,000 

      1,101.00         -            1,101.00         1,101.00         -            1,101.00         0.0%   

175,000 

      1,284.75         -            1,284.75         1,284.75         -            1,284.75         0.0%   

200,000 

      1,468.50         -            1,468.50         1,468.50         -            1,468.50         0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:    1” Meters                        All Classes  
      Gallons      Present Bill           

Proposed

Bill

    Increase   % Increase

Median Usage

    7700    $    81.22       $    80.84    $      (0.38)   -0.5%

 

   

 

Present Bill

     Proposed Bill     

Percent   

Increase   

  

  Monthly  

  Consumption  

   Gross     CRT     Net     Gross     CRT     Net     
     

-     

    $ 69.30       $ -           $ 69.30       $ 69.45       $ -           $ 69.45         0.2%    

1,000 

     70.65        (0.61 )      70.04        70.87        (0.71 )      70.16         0.2%    

2,000 

     73.20        (1.76 )      71.45        73.55        (2.05 )      71.50         0.1%    

3,000 

     75.75        (2.90 )      72.85        76.23        (3.39 )      72.84         0.0%    

4,000 

     78.30        (4.05 )      74.25        78.91        (4.73 )      74.18         -0.1%    

5,000 

     80.85        (5.20 )      75.65        81.59        (6.07 )      75.52         -0.2%    

6,000 

     84.60        (6.89 )      77.72        85.53        (8.04 )      77.49         -0.3%    

7,000 

     88.35        (8.57 )      79.78        89.47        (10.01 )      79.46         -0.4%    

8,000 

     92.10        (10.26 )      81.84        93.41            (11.98 )      81.43         -0.5%    

9,000 

     95.85            (11.95 )      83.90        97.35        -            97.35         16.0%    

10,000 

     99.60        -            99.60        101.29        -            101.29         1.7%    

15,000 

     124.35        -            124.35        127.29        -            127.29         2.4%    

20,000 

     151.50        -            151.50        155.81        -            155.81         2.8%    

25,000 

     182.25        -            182.25        188.11        -            188.11         3.2%    

50,000 

     366.00        -            366.00        381.11        -            381.11         4.1%    

75,000 

     549.75        -            549.75        574.11        -            574.11         4.4%    

100,000 

     733.50        -            733.50        767.11        -            767.11         4.6%    

125,000 

     917.25        -            917.25        960.11        -            960.11         4.7%    

150,000 

      1,101.00        -            1,101.00        1,153.11        -            1,153.11         4.7%    

175,000 

     1,284.75        -            1,284.75        1,346.11        -            1,346.11         4.8%    

200,000 

     1,468.50        -            1,468.50        1,539.11        -            1,539.11         4.8%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Valencia Water Company, Greater Buckeye Division    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:    1” Meters                        All Classes  
      Gallons      Present Bill           

Proposed

Bill

    Increase   % Increase

Median Usage

    7700    $    81.22       $    80.79    $      (0.43)   -0.5%

 

   

 

Present Bill

     Proposed Bill     

Percent   

Increase   

  

  Monthly  

  Consumption  

   Gross     CRT     Net     Gross     CRT     Net     
     

-     

    $ 69.30       $ -           $ 69.30       $ 69.30       $ -           $ 69.30         0.0%    

1,000 

     70.65        (0.61 )      70.04        70.73        (0.72 )      70.02         0.0%    

2,000 

     73.20        (1.76 )      71.45        73.43        (2.07 )      71.37         -0.1%    

3,000 

     75.75        (2.90 )      72.85        76.13        (3.42 )      72.72         -0.2%    

4,000 

     78.30        (4.05 )      74.25        78.83        (4.77 )      74.07         -0.2%    

5,000 

     80.85        (5.20 )      75.65        81.53        (6.12 )      75.42         -0.3%    

6,000 

     84.60        (6.89 )      77.72        85.51        (8.11 )      77.41         -0.4%    

7,000 

     88.35        (8.57 )      79.78        89.49        (10.10 )      79.40         -0.5%    

8,000 

     92.10        (10.26 )      81.84        93.47            (12.09 )      81.39         -0.6%    

9,000 

     95.85            (11.95 )      83.90        97.45        -            97.45         16.1%    

10,000 

     99.60        -            99.60        101.43        -            101.43         1.8%    

15,000 

     124.35        -            124.35        127.68        -            127.68         2.7%    

20,000 

     151.50        -            151.50        156.47        -            156.47         3.3%    

25,000 

     182.25        -            182.25        189.07        -            189.07         3.7%    

50,000 

     366.00        -            366.00        383.82        -            383.82         4.9%    

75,000 

     549.75        -            549.75        578.57        -            578.57         5.2%    

100,000 

     733.50        -            733.50        773.32        -            773.32         5.4%    

125,000 

     917.25        -            917.25        968.07        -            968.07         5.5%    

150,000 

      1,101.00        -            1,101.00        1,162.82        -            1,162.82         5.6%    

175,000 

     1,284.75        -            1,284.75        1,357.57        -            1,357.57         5.7%    

200,000 

     1,468.50        -            1,468.50        1,552.32        -            1,552.32         5.7%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT A

Global Water – Santa Cruz Water Company

Schedules

 

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement A-1                        
Docket No. W-20446A-12-0314   
Test Year Ended December 31, 2011   

REVENUE REQUIREMENT

 

LINE

NO.

    DESCRIPTION   

(A)

COMPANY

ORIGINAL

COST

     

(B)

COMPANY

FAIR

VALUE

     

(C)

SETTLEMENT

ORIGINAL

COST

     

(D)

SETTLEMENT

FAIR

VALUE

  
1    Adjusted Rate Base        $ 38,014,243         $ 38,014,243         $ 37,918,570         $ 37,918,570     
2    Adjusted Operating Income (Loss)        $ 1,675,030         $ 1,675,030         $ 1,908,343         $ 1,908,343     
3    Current Rate of Return (L2 / L1)          4.41%          4.41%          5.03%          5.03%    
4    Required Rate of Return          8.79%          8.79%          7.50%          7.50%    
5    Required Operating Income (L4 * L1)        $ 3,342,866         $ 3,342,866         $ 2,843,893         $ 2,843,893     
6    Operating Income Deficiency (L5 - L2)        $ 1,667,836         $ 1,667,836         $ 935,550         $ 935,550     
7    Gross Revenue Conversion Factor           1.637072           1.637072           1.663243           1.663243     
                   
8    Required Revenue Increase (L7 * L6)        $ 2,730,367         $ 2,730,367         $ 1,556,046         $ 1,556,046     
9    Adjusted Test Year Revenue        $ 10,463,460         $ 10,463,460         $     10,463,460         $       10,463,460     
10    Proposed Annual Revenue (L8 + L9)        $   13,193,827         $   13,193,827         $ 12,019,506         $ 12,019,506     
11    Required Increase in Revenue (%)          26.10%         26.10%         14.87%         14.87%   
12    Rate of Return on Common Equity (%)          11.44%         11.44%         9.50%         9.50%   

 

References:
Column [A]:    Company Schedule A-1
Column (B):    Company Schedule A-1
Column (C):    Company Schedules A-1, A-2, & D-1
Column (C): Settlement Schedules GRCF, B-1, and C-1

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)   Schedule: A-1a                                  
Docket No. W-20446A-12-0314   Settlement Phase In                                  
Test Year Ended December 31, 2011  

 

    

 

 REVENUE PHASE IN PER SETTLEMENT

 

   

 

           Year             Revenue Increase

 

 (Relative to Test
 Year)

       Revenue Increase

 

 (Relative to
 Previous Year)

  
  

 

 

 

2014

 

  

      -               -         
  

 

 

 

2015

 

  

      554,487           554,487     
  

 

 

 

2016

 

  

      912,898           358,411     
  

 

 

 

2017

 

  

      1,041,528           128,630     
  

 

 

 

2018

 

  

      1,170,157           128,629     
  

 

 

 

2019

 

  

      1,298,787           128,630     
  

 

 

 

2020

 

  

      1,427,416           128,629     
  

 

 

 

2021

 

  

      1,556,046           128,630     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement Gross Revenue Conversion Factor
Docket No. W-20446A-12-0314    GRCF
Test Year Ended December 31, 2011   

GROSS REVENUE CONVERSION FACTOR

 

LINE
NO.		    DESCRIPTION   (A)     (B)     (C)  
   Calculation of Gross Revenue Conversion Factor      
1    Revenue     100.0000%        
    

 

 

      
2    Uncollecible Factor (Line 11)     0.4298%        
    

 

 

      
3    Revenues (L1 - L2)     99.5702%        
    

 

 

      
4    Combined Federal and State Income Tax and Property Tax Rate (Line 23)     39.4467%        
    

 

 

      
5    Subtotal (L3 - L4)     60.1235%        
    

 

 

      
6    Revenue Conversion Factor (L1 / L5)     1.663243        
    

 

 

      
   Calculation of Uncollecttible Factor      
7    Unity     100.0000%        
    

 

 

      
8    Combined Federal and State Tax Rate (Line 17)     38.5989%        
    

 

 

      
9    One Minus Combined Income Tax Rate (L7 - L8 )     61.4011%        
    

 

 

      
10    Uncollectible Rate     0.7000%        
    

 

 

      
11    Uncollectible Factor (L9 * L10 )       0.42981%      
      

 

 

    
   Calculation of Effective Tax Rate:      
12    Operating Income Before Taxes (Arizona Taxable Income)     100.0000%        
    

 

 

      
13    Arizona State Income Tax Rate     6.9680%        
    

 

 

      
14    Federal Taxable Income (L12 - L13)     93.0320%        
    

 

 

      
15    Applicable Federal Income Tax Rate (Line 44)     34.0000%        
    

 

 

      
16    Effective Federal Income Tax Rate (L14 x L15)     31.6309%        
    

 

 

      
17    Combined Federal and State Income Tax Rate (L13 +L16)       38.5989%      
      

 

 

    
   Calculation of Effective Property Tax Factor      
18    Unity     100.0000%         6.968%      
19    Combined Federal and State Income Tax Rate (L17)     38.5989%        
20    One Minus Combined Income Tax Rate (L18-L19)     61.4011%        
21    Property Tax Factor (ADJ 7, L25)     1.3808%        
    

 

 

      
22    Effective Property Tax Factor (L20*L21)       0.8478%      
      

 

 

  
23    Combined Federal and State Income Tax and Property Tax Rate (L17+L22)         39.4467%    
        

 

 

  
24    Required Operating Income (Schedule A-1, Line 5)    $                             2,843,893         
25    AdjustedTest Year Operating Income (Loss) (Schedule C-1, Line 34)    $ 1,908,343         
    

 

 

      
26    Required Increase in Operating Income (L24 - L25)      $ 935,550      
27    Income Taxes on Recommended Revenue (Col. (C), L48)    $ 953,477         
28    Income Taxes on Test Year Revenue (Col. (A), L48)    $ 365,358         
    

 

 

      
29    Required Increase in Revenue to Provide for Income Taxes (L27 - L28)      $ 588,119      
30    Required Revenue Increase (ScheduleA-1, Line 8)    $ 1,556,046         
    

 

 

      
31    Uncollectible Rate (Line 10)     0.7000%        
    

 

 

      
32    Uncollectible Expense on Recommended Revenue (L30 * L31)    $ 10,892         
33    Adjusted Test Year Uncollectible Expense - N/A    $ -             
    

 

 

      
34    Required Increase in Revenue to Provide for Uncollectible Exp.      $ 10,892      
35    Property Tax with Recommended Revenue (ADJ 7, Line 21)    $ 458,357         
36    Property Tax on Test Year Revenue (ADJ 7, Col A, L19)    $ 436,871         
    

 

 

      
37    Increase in Property Tax Due to Increase in Revenue (L35-L36)      $ 21,486      
             
      

 

 

    
38    Total Required Increase in Revenue (L26 + L29 + L34+ L37)      $             1,556,047      
      

 

 

    
                           
         (A)     (B)     (C)  
         Test Year           With  
                     Increase  
   Calculation of Income Tax:                  
39    Revenue (Sch C-1, Col.(C) L4, C-1, Col. (D), L10)   $ 10,463,460        $ 12,019,506   
40    Operating Expenses Excluding Income Taxes   $ 8,189,759        $ 8,222,137   
41    Synchronized Interest (L53)   $ 1,327,150        $ 1,327,150   
42    Arizona Taxable Income (L39 - L40 - L41)   $ 946,551        $             2,470,219   
43    Arizona State Income Tax Rate     6.9680%          6.9680%   
44    Arizona Income Tax (L42 x L43)   $ 65,956        $ 172,125   
45    Federal Taxable Income (L42 - L44)   $ 880,595        $ 2,298,094   
46    Federal Tax   $ 299,402        $ 781,352   
47    Total Federal Income Tax   $ 299,402        $ 781,352   
48    Combined Federal and State Income Tax (L43 + L47)   $ 365,358        $ 953,477   
50    Effective Tax Rate      
                           
   Calculation of Interest Synchronization:         N/A   
51    Rate Base (ScheduleB-1)       $ 37,918,570   
52    Weighted Average Cost of Debt         3.5000%   
53    Synchronized Interest (L50 X L51)       $ 1,327,150   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)   
Docket No. W-20446A-12-0314    Settlement B-1        
Test Year Ended December 31, 2011   

RATE BASE - ORIGINAL COST

 

           (A)      (B)      (C)  

LINE

NO.

         

COMPANY

AS

FILED

      SETTLEMENT
ADJUSTMENTS		     

SETTLEMENT

AS

ADJUSTED

  
  1         Plant in Service      $ 90,376,391          $ (139,161)          $ 90,237,230    
  2         Less: Accumulated Depreciation      19,047,719          (43,488)          19,004,231    
    

 

 

     

 

 

     

 

 

  
  3         Net Plant in Service      $ 71,328,672          $ (95,673)          $ 71,232,999    
    

 

 

     

 

 

     

 

 

  
  LESS:         
  4         Contributions in Aid of Construction (CIAC)      $ 82,949          $ -                $ 82,949    
  5             Less: Accumulated Amortization      5,655          -                5,655    
    

 

 

  
  6                 Net CIAC      77,294          -                77,294    
  7         Advances in Aid of Construction (AIAC)      33,414,961          -                33,414,961    
  8         Imputed Reg AIAC      -               
  9         Imputed Reg CIAC      -               -                -        
  10         Accumulated Deferred Income Tax Credits      -               -                -        
  Customer Meter Deposits      1,193,499             1,193,499    
  ADD:         
  11         Accumulated Deferred Income Tax Debits      194          -                194    
  12         Cash Working Capital      18,800          -                18,800    
  13         Deferred Compensation      50,256          -                50,256    
  14         CIAC      29,820          -                29,820    
  15         Fixed Asset Depreciation      1,272,256          -                1,272,256    
  16         Deferred Debits      -               -                -        
  17         Purchase Wastewater Treatment Charges      -               -             
  18             Original Cost Rate Base      $         38,014,243          $             (95,673)          $       37,918,570    
    

 

 

     

 

 

     

 

 

  
  References:         
  Column (A), Company Schedule B-2         
  Column (B): Schedule B-2         
  Column (C): Column (A) + Column (B)         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)   

Settlement B-2

Docket No. W-20446A-12-0314   
Test Year Ended December 31, 2011   

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

                [A]     [B]     [B]     [C]  
LINE                ACCT.                        

 

SETTLEMENT

  
NO.           NO.           DESCRIPTION   COMPANY     Unsupported     Reclassification     AS  
                AS FILED    

        Plant        

    

ADJUSTMENTS

    

ADJUSTED

  
    PLANT IN SERVICE:         
1     303  

Land and Land Rights

     $ 62,847          $ -           $ -          $ 62,847    
2     304  

Structures and Improvements

     9,566,104              9,566,104    
3     306  

Lake, River and Other Intakes

     1,855              1,855    
4     307  

Wells and Springs

     4,459,478              4,459,478    
5     309  

Supply Mains

     2,340,773              2,340,773    
6     310  

Power Generation Equipment

     324,955              324,955    
7     311  

Pumping Equipment

     6,782,543          (139,161)           6,643,382    
8     320  

 Water Treatment Equipment

     27,095            (27,095)         -    
9     320.1  

Water Treatment Plant

         12,553          12,553    
10     320.2  

Solution Chemical Feeders

         14,541          14,541    
11     330  

 Distribution Reservoirs and Standpipes

     1,378,273                (1,378,273)         -    
12     330.1  

Storage Tanks

         820,301          820,301    
13     330.2  

Pressure Tanks

         557,973          557,973    
14     331  

Transmission and Distribution Mains

     44,363,056              44,363,056    
15     333  

Services

     4,645,439              4,645,439    
16     334  

Meters and Meter Installations

     3,792,641              3,792,641    
17     335  

Hydrants

     4,340,020              4,340,020    
18     336  

Backflow Prevention Devices

     15,144              15,144    
19     339  

Other Plant and Miscellaneous Equipment

     769,912              769,912    
20     340  

Office Furniture and Equipment

     505,281              505,281    
21     341  

Transportation Equipment

     585,195              585,195    
22     343  

Tools, Shop and Garage Equipment

     71,996              71,996    
23     344  

Laboratory Equipment

     103,063              103,063    
24     345  

Power Operated Equipment

     60,372              60,372    
25     346  

Communication Equipment

     640,845              640,845    
26     347  

Miscellaneous Equipment

     85,226              85,226    
27     348  

Other Tangible Plant

     5,448,566              5,448,566    
28     390  

Office Furniture & Equipment

     5,712              5,712    
       

 

 

    

 

 

    

 

 

  
29     Total Plant in Service     90,376,391          (139,161)         -               90,237,230    
30          
31     Accumulated Depreciation     19,047,719          (43,488)           19,004,231    
       

 

 

    

 

 

    

 

 

  
32     Net Plant in Service     $       71,328,672          $       (95,673)         $ -               $         71,232,999    
       

 

 

    

 

 

    

 

 

  
33          
34     LESS:         
35    

Contributions in Aid of Construction (CIAC)

     $ 82,949            $ -               $ 82,949    
36    

   Less: Accumulated Amortization

     5,655            $ -               5,655    
       

 

 

    

 

 

    

 

 

    

 

 

  
37    

      Net CIAC (L63 - L64)

     77,294          -              -               77,294    
38    

Advances in Aid of Construction (AIAC)

     33,414,961          -                33,414,961    
39    

 Customer Meter Deposits

     1,193,499              1,193,499    
40     ADD:            -        
41     Deferred Gains     194              194    
42     Bad Debt     18,800              18,800    
43     Deferred Compensation     50,256          -              -               50,256    
44     CIAC     29,820          -              -               29,820    
45     Fixed Asset depreciation     1,272,256          -              -               1,272,256    
46     Prepayments        -              -               -        
47     Projected Capital Expenditures     -               -              -               -        
48     Deferred Debits        -              -               -        
       

 

 

    

 

 

    

 

 

  
49     Original Cost Rate Base     $ 38,014,243          $ (95,673)         $ -               $ 37,918,570    
       

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement B-2a                        
Docket No. W-20446A-12-0314   
Test Year Ended December 31, 2011   

 

 

    Adjustment for Unsupported Plant

 

  

ACCT.

NO.

      DESCRIPTION    Company
as Filed  		      Settlement 
Adjustment		      Adjusted
Amount  		  
311       Pumping Equipment      6,782,543               (139,161)          6,643,382   

      Accumulated Depreciation

            #########               (43,488)                  19,004,231   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement C-1        
Docket No. W-20446A-12-0314   
Test Year Ended December 31, 2011   

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

          [A]      [B]      [C]      [D]      [E]  
                        SETTLEMENT                
          COMPANY      SETTLEMENT      TEST YEAR      SETTLEMENT         
LINE         TEST YEAR      TEST YEAR      AS      RECOMMENDED      SETTLEMENT  
 NO.    DESCRIPTION    AS FILED      ADJUSTMENTS      ADJUSTED      CHANGES      RECOMMENDED  
1    Metered Water Sales      10,083,750           -               10,083,750           $ 1,556,046           11,639,796     
2    Water Sales - Unmetered      -               -               -               -               -         
3    Other Operating Revenue      379,710           -               379,710           -               379,710     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
4    Total Operating Revenues      $     10,463,460           $ -               $ 10,463,460           $ 1,556,046           $ 12,019,506     
5    601 Salary and Wages - Employees      $ 1,268,835           $ (157,960)          $ 1,110,875           $ -               $ 1,110,875     
6    604 Employee Pensions and Benefits      -               -               -               -               -         
7    610 Purchased Water      -               -               -               -               -         
8    615 Purchased Power      768,901           (15,748)          753,153           -               753,153     
9    616 Fuel for Power Production      -               -               -               -               -         
10    618 Chemicals      53,341           (1,092)          52,248           -               52,248     
11    620 Materials and Supplies      47,783           (21,656)          26,127           -               26,127     
12    620.08 Materials and Supplies      -               -               -               -               -         
13    621 Office Supplies and Expense      90,035           -               90,035           -               90,035     
14    630 Outside Services      1,053,640           (346,035)          707,605           -               707,605     
15    635 Contractual Services - Testing      32,871           -               32,871              32,871     
16    636 Contractual Services - Other      -               -               -               -               -         
17    641 Rental of Building/Real Property      121,973           -               121,973           -               121,973     
18    642 Rental of Equipment      -               -               -               -               -         
19    650 Transportation Expenses      67,733           -               67,733           -               67,733     
20    657 Insurance - General Liability      74,487           -               74,487           -               74,487     
21    659 Insurance - Other      26,232           -               26,232              26,232     
22    660 Advertising Expense      -               -               -                  -         
23    666 Regulatory Commission Expense - Rate      105,801           (52,038)          53,762           -               53,762     
24    667 Rate Case Expense      -               -               -                  -         
25    670 Bad Debt Expense      53,925           19,319           73,244           10,892           84,137     
26    675 Miscellaneous Expenses      373,190           -               373,190              373,190     
27    403 Depreciation Expense      3,617,417           75,437           3,692,853              3,692,853     
28    403 Depreciation Expense - CIAC Amorilzat      (3,770)          -               (3,770)             (3,770)    
29    408 Taxes Other Than Income      40,010           -               40,010           -               40,010     
30    408.11 Taxes Other Than Income - Property      897,129           -               897,129           21,486           918,615     
31    408.13 Taxes Other Than Income - Other Ta      -               -               -                  -         
32    409 Income Taxes      98,898           266,460           365,358           $ 588,119           953,477     
   Intentionally Left Blank         -               -                  -         
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
33    Total Operating Expenses      8,788,430           (233,313)          8,555,117           620,497           9,175,614     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
34    Operating Income (Loss)      $ 1,675,030           $         233,313           $         1,908,343           $             935,549           $         2,843,892     
     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
  

 

References:

Column (A): Company Schedule C-1

Column (B): Schedule C-2

Column (C): Column (A) + Column (B)

Column (D): Schedule A-1, ADJ 2, ADJ &, ADJ 6

Column (E): Column (C) + Column (D)

  

  

  

  

  

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement C-2
Docket No. W-20446A-12-0314   
Test Year Ended December 31, 2011   

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

                Settlement Adjustments                                
          [A]     [B]     [C]     [D]     [E]     [F]     [G]     [H]  

LINE

 NO.

 

    

DESCRIPTION

 

  

COMPANY

AS FILED

    

Excess Water

Loss

ADJ #1

 

    

Bad Debts Exp
ADJ #2

 

    

Rate Case Exp
ADJ #3

 

    

Expense
Normalizations

ADJ #4

 

    

Deprec. Exp

ADJ #5

 

    

Income Taxes

ADJ #6

 

    

 

SETTLEMENT

AS

ADJUSTED

  
     

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  Revenues                
  1      Metered Water Sales     10,083,750          -              -              -              -                -              10,083,750     
  2      Water Sales - Unmetered     -                          -         
  3      Other Operating Revenue     379,710          -              -              -              -                -              379,710     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  4      Total Operating Revenues     $ 10,463,460          $ -              $ -              $ -              $ -                $ -              $ 10,463,460     
  Operating Expenses                
  5      601 Salary and Wages - Employees     1,268,835            -              -              (157,960)         $ -              $ -              $ 1,110,875     
  6      604 Employee Pensions and Benefits     -                  -              -              -              -              -         
  7      610 Purchased Water     -                  -                -              -              -         
  8      615 Purchased Power     768,901          (15,748 )                 753,153     
  9      616 Fuel for Power Production     -              -                        -         
  10      618 Chemicals     53,341          (1,092 )           -                  52,248     
  11      620 Materials and Supplies     47,783          -                  (21,656)             26,127     
  12      620.08 Materials and Supplies     -              -                        -         
  13      621 Office Supplies and Expense     90,035          -                        90,035     
  14      630 Outside Services     1,053,640          -                  (346,035)             707,605     
  15      635 Contractual Services - Testing     32,871          -                -                    32,871     
  16      636 Contractual Services - Other     -              -                        -         
  17      641 Rental of Building/Real Property     121,973          -                        121,973     
  18      642 Rental of Equipment     -              -                        -         
  19      650 Transportation Expenses     67,733          -                        67,733     
  20      657 Insurance - General Liability     74,487          -                        74,487     
  21      659 Insurance - Other     26,232          -                        26,232     
  22      660 Advertising Expense     -              -                        -         
  23      666 Regulatory Commission Expense – Ra     105,801          -                (52,038)               53,762     
  24      667 Rate Case Expense     -                          -         
  25      670 Bad Debt Expense     53,925            19,319                  73,244     
  26      675 Miscellaneous Expenses     373,190                      373,190     
  27      403 Depreciation Expense     3,617,417          -              -                  75,437            3,692,853     
  28      403 Depreciation Expense – CIAC Amortiz     (3,770)                     (3,770)    
  29      408 Taxes Other Than Income     40,010            -                      40,010     
  30      408.11 Taxes Other Than Income - Proper     897,129                     897,129     
  31      408.13 Taxes Other Than Income - Other     -                          -         
  32      409 Income Taxes     98,898                    266,460          365,358     
  Intentionally Left Blank                   -         
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  33      Total Operating Expenses     $ 8,788,430          $ (16,840)         $ 19,319          $ (52,038)         $ (525,651)         $ 75,437          $ 266,460          $ 8,555,117     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
  34      Operating Income     $       1,675,030          $           16,840          $          (19,319)         $           52,038          $         525,651          $         (75,437)         $        (266,460)         $           1,908,343     
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 1  
Docket No. W-20446A-12-0314    Water Loss  
Test Year Ended December 31, 2011     

OPERATING INCOME ADJUSTMENT #1 - EXCESS WATER LOSS

 

   

                
 

LINE

NO.

            
       
  1    One plus allowable water loss      110.00%    
  2    One plus actual water loss      112.30%    
  3    Allowable portion      97.95%    
       

 

 

  
  4    Disallowable portion      2.05%    
       
  5    Power Expense      768,901       
  6    Disallowance      $           15,748       
       
  7    Chemical Expense      53,341       
  8    Disallowance      $ 1,092       
    

 

Line 1: Maximum acceptable level of water losses

  

     Line 2: Actual level of water losses   
     Line 3:  Line 2 / line 3   
     Line 4: 1 minus line 4   
     Line 6: Line 1 times line 5   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 2
Docket No. W-20446A-12-0314    Bad Debt Expense
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #2 - BAD DEBT EXPENSE

 

     [A]    [B]    [C]     
   COMPANY    SETTLEMENT    SETTLEMENT     
   PROPOSED    ADJUSTMENTS    RECOMMENDED*     
  

 

  $             53,925

      $            19,319       $               73,244     
  

 

   

 

References:

Column (A), Company Workpapers

Column (B): Settlement

Column (C): Column (A) + Column (B), Per Co Response

                to Staff DR 5.8

 

 

Adjusted Test Year Revenues

      $          10,463,460     

Bad Debt Expense Rate

      0.70%    
  

 

 

  

Expected Bad Debt Expense

      $ 73,244     
  

 

 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 3
Docket No. W-20446A-12-0314    Rate Case Expense
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #3 - RATE CASE EXPENSE

 

    LINE    

NO.

        DESCRIPTION  

[A]

COMPANY
PROPOSED

    

[B]

SETTLEMENT
ADJUSTMENTS

    

[C]

SETTLEMENT

RECOMMENDED*

                                

1

          $           105,801      $         (52,038 )    $             53,762               
      

 

 

            
    

Company Proposed Rate

Case Expense

                
             Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

2

      Allocation Percentages       39.86%        40.32%        13.45%        3.78%        0.82%        1.58%        0.19%   

3

      Desert Mountain Analytical Services    $             122,063       $ 48,652        $ 49,218        $ 16,420        $ 4,616        $ 996        $ 1,927        $ 234    

4

      Insight Consulting, LLC    $ 216,000       $ 86,094        $ 87,095        $ 29,057        $ 8,168        $ 1,762        $ 3,410        $ 413    

5

      Roshka Dewulf & Patten, PLC    $ 370,303       $ 147,597        $ 149,313        $ 49,814        $ 14,004        $ 3,021        $ 5,646        $ 709    

6

      Ullmann & Company P C    $ 78,609       $ 31,412        $ 31,777        $ 10,602        $ 2,980        $ 643        $ 1,244        $ 151    
      

 

 

  

7

      Total    $ 787,174       $ 313,756        $ 317,402        $ 105,893        $ 29,768        $ 6,421        $ 12,427        $ 1,506    

8

      Amortization over 3 years:                

9

      Year 1    $ 262,391       $ 104,585        $ 105,801        $ 35,298        $ 9,923        $ 2,140        $ 4,142        $ 502    

10

      Year 2    $ 262,391       $ 104,585        $ 105,801        $ 35,298        $ 9,923        $ 2,140        $ 4,142        $ 502    

11

      Year 3    $ 262,391       $ 104,585        $ 105,801        $ 35,298        $ 9,923        $ 2,140        $ 4,142        $ 502    
      

 

 

  

12

      Totals    $ 787,174       $ 313,756        $ 317,402        $ 105,893        $ 29,768        $ 6,421        $ 12,427        $ 1,506    
     Settlement Rate Case Expense                 
13        Description   Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

14

      Settlement Amount    $ 400,000       $ 159,434        $ 161,287        $ 53,809        $ 15,127        $ 3,263        $ 6,315        $ 765    

15

      Amortization:                

16

      Year 1    $ 133,333       $ 53,145        $ 53,762        $ 17,936        $ 5,042        $ 1,088        $ 2,105        $ 255    

17

      Year 2    $ 133,333       $ 53,145        $ 53,762        $ 17,936        $ 5,042        $ 1,086        $ 2,105        $ 255    

18

      Year 3    $ 133,333       $ 53,145        $ 53,762        $ 17,936        $ 5,042        $ 1,088        $ 2,105        $ 255    
      

 

 

  

19

      Totals    $ 400,000       $           313,756        $               317,402        $           105,893        $        29,768        $           6,421        $          12,427        $              1,506    

20

      Adjustment Total, by System    $ (129,058 )     $ (51,441 )     $ (52,038 )     $ (17,361 )     $ (4,881 )     $ (1,053 )     $ (2,037 )     $ (247 ) 

 

 References:

 Column (A), Company Workpapers

 Column (B): Line 20 for respective system

 Column (C): Line 16 for respective system

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 4
Docket No. W-20446A-12-0314    Expense Normalizations
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #4 - EXPENSE NORMALIZATIONS

 

          [A]     [B]     [C]  
   LINE         COMPANY     SETTLEMENT     SETTLEMENT  
   NO.        ACCT / DESCRIPTION    PROPOSED     ADJUSTMENTS     RECOMMENDED    

   1

        601 Salary and Wages - Employees      $ 1,268,835        $ (157,960 )     $ 1,110,875     

   2

        620 Materials and Supplies      $ 47,783        $ (21,656 )     $ 26,127     

   3

        630 Outside Services      $ 1,053,640        $ (346,035 )     $ 707,605     
     

 

 

  
        $   2,370,258        $ (525,651 )     $           1,844,607     
     

 

 

  

 

References:

Column (A), Company Workpapers

Column (B): Staff Testimony GWB

Column (C): Column (A) + Column (B)

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 5
Docket No. W-20446A-12-0314    Depreciation
Test Year Ended December 31, 2011   

 

OPERATING INCOME ADJUSTMENT #5 - DEPRECIATION EXPENSE

 

LINE
NO.		   ACCT.
NO. 		  DESCRIPTION   

[A]

PLANT

BALANCE

    

[B] 

DEPRECIATION 

RATE 

    

[C]

DEPRECIATION

EXPENSE

  

1

   PLANT IN SERVICE:       

2

   303   Land and Land Rights      $ 62,847          0.00%        -         

3

   304   Structures and Improvements      9,566,104          3.33%        318,551     

4

   306   Lake, River and Other Intakes      1,855          2.50%        46     

5

   307   Wells and Springs      4,459,478          3.33%        148,501     

6

   309   Supply Mains      2,340,773          2.00%        46,815     

7

   310   Power Generation Equipment      324,955          5.00%        16,248     

8

   311   Pumping Equipment      6,643,382          12.50%        830,423     

9

   320   Water Treatment Equipment      -              0.00%        -         

10

   320.1             Water Treatment Plant      12,553          3.33%        418     

11

   320.2   Solution Chemical Feeders      14,541          20.00%        2,908     

12

   330   Distribution Reservoirs and Standpipes      -              0.00%        -         

13

   330.1   Storage Tanks      820,301          2.22%        18,211     

14

   330.2   Pressure Tanks      557,973          5.00%        27,899     

15

   331   Transmission and Distribution Mains      44,363,056          2.00%        887,261     

16

   333   Services      4,645,439          3.33%        154,693     

17

   334   Meters and Meter Installations      3,792,641          8.33%        315,927     

18

   335   Hydrants      4,340,020          2.00%        86,800     

19

   336   Backflow Prevention Devices      15,144          6.67%        1,010     

20

   339   Other Plant and Miscellaneous Equipment      769,912          6.67%        51,353     

21

   340   Office Furniture and Equipment      505,281          6.67%        33,702     

22

   341   Transportation Equipment      585,195          20.00%        117,039     

23

   343   Tools, Shop and Garage Equipment      71,996          5.00%        3,600     

24

   344   Laboratory Equipment      103,063          10.00%        10,306     

25

   345   Power Operated Equipment      60,372          5.00%        3,019     

26

   346   Communication Equipment      640,845          10.00%        64,085     

27

   347   Miscellaneous Equipment      85,226          10.00%        8,523     

28

   348   Other Tangible Plant      5,448,566          10.00%        544,857     

29

   390   Office Furniture & Equipment      5,712          5.00%        286     
      

 

 

      

 

 

  

30

     Total Utility Plant in Service        90,237,230            3,692,480     

31

     Less: Non Depreciable Plant       

32

     Land and Land Rights      $ 62,847         

33

     Net Depreciable Plant and Depreciation Amounts      $      90,174,383              $          3,692,480     

34

           

35

     Amortization of CIAC      $ 82,949          4.0948%          $                 3,397     
          

 

 

  

36

     Settlement Recommended Depreciation Expense            $          3,689,083     

37

     Company Proposed Depreciation Expense            $          3,613,647     

38

     Settlement Adjustment            $               75,437     
          
      References:             
  Col [A]   Schedule B-2         
  Col [B]   Proposed Rates per Staff Engineering Report for Non Allocated Plant       
  Col [C]   Col [A] times Col [B]             

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 6   
Docket No. W-20446A-12-0314    Income Taxes   
Test Year Ended December 31, 2011      

OPERATING INCOME ADJUSTMENT #6 - INCOME TAXES

 

    LINE
    NO.		    DESCRIPTION      [A]
  COMPANY
  PROPOSED		      [B]
SETTLEMENT
ADJUSTMENTS		      [C]  
SETTLEMENT  
RECOMMENDED  		  

    1

    Income Taxes      $       98,898           $       266,460           $      365,358     
     

 

 

     

 

 

     

 

 

  
  

 

 

References:

         
  

Column (A), Company Schedule C-2

  

  

Column (B): Staff Testimony GWB

  

  

Column (C): Column (A) + Column (B),

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement ADJ 7
Docket No. W-20446A-12-0314    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #7 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

        [A]          [B]
LINE          SETTLEMENT          SETTLEMENT
NO.     DESCRIPTION   AS ADJUSTED          RECOMMENDED
     1         Adjusted Test Year Revenues - 2011     $   10,463,460          $          10,463,460     
     2         Weight Factor     2          2     
    

 

 

    

 

 

  
     3         Subtotal (Line 1 * Line 2)     20,926,920          20,926,920     
     4         Adjusted Test Year Revenues - 2011     10,463,460       
     5         Settlement Recommended Revenue       12,019,507     
    

 

 

    

 

 

  
     6         Subtotal (Line 4 + Line 5)     31,390,379          32,946,426     
     7         Number of Years     3          3     
    

 

 

    

 

 

  
     8         Three Year Average (Line 5 / Line 6)     10,463,460          10,982,142     
     9         Department of Revenue Mutilplier     2          2     
    

 

 

    

 

 

  
     10         Revenue Base Value (Line 7 * Line 8)     20,926,920          21,964,284     
     11         Plus: 10% of CWIP     243,735          243,735     
     12         Less: Net Book Value of Licensed Vehicles     77,783          77,783     
    

 

 

    

 

 

  
     13         Full Cash Value (Line 10 + Line 11 - Line 12)     21,092,872          22,130,236     
     14         Assessment Ratio     20.0%         20.0%    
    

 

 

    

 

 

  
     15         Assessment Value (Line 13 * Line 14)     4,218,574          4,426,047     
     16         Composite Property Tax Rate     10.3559%         10.3559%    
    

 

 

    

 

 

  
     17         Test Year Adjusted Property Tax Expense (Line 15 * Line 16)     $ 436,871       
     18         Company Proposed Property Tax     $ 897,129       
    

 

 

    
     19         Test Year Adjustment (Line 17 - Line 18)     $ (460,258)      
    

 

 

    
     20         Property Tax onRecommended Revenue (Line 15 * Line 16)       $ 458,357     
     21         Test Year Adjusted Property Tax Expense (Line 17)       $ 436,871     
      

 

 

  
     22         Increase in Property Tax Due to Increase in Revenue Requirement       $ 21,486     
      

 

 

  
     23         Increase in Property Tax Due to Increase in Revenue Requirement (Line 22)       $ 21,486     
     24         increase in Revenue Requirement       $ 1,556,047     
     25         Increase in Property Tax Per Dollar Increase in Revenue (Line 23 / Line 24)       1.38079%    
  

 

REFERENCES:

Line 15: Composite Tax Rate, per Company

Line 18:  Company Schedule C-1, Line 36

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement D-1                                
Docket No. W-20446A-12-0314   
Test Year Ended December 31, 2011   

CALCULATION OF WEIGHTED AVERAGE COST OF CAPITAL - REQUIRED RATE OF RETURN

 

           

 Percent of 

 Total

      

 Cost Rate 

      

 Weighted  

 Cost

    
               
   Debt     57.8%      6.1%      3.5%   
               
   Equity     42.2%      9.5%      4.0%   
 

 

    

 

    

 

    

 

  
               
   Required Rate of Return        

7.5% 

  

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company (Santa Cruz)    Settlement Schedule H-3
Docket No. W-20446A-12-0314    Page 1 of 2
Test Year Ended December 31, 2011   

 

Changes in Representative Rate Schedules

Potable Water - All Meter Sizes and Classes*

Monthly Minimum Charges:

        Basic Service Charge  
        Present     Proposed  
Meter Size (All Classes*)         2014     2015     2016     2017     2018     2019     2020     2021   

 

  

5/6” X 3/4” Meter

       $ 27.68          $ 27.68        $ 28.40        $ 29.02        $ 29.21        $ 29.42        $ 29.61        $ 29.80        $ 29.82     

3/4” Meter

       27.68          27.68          28.40          29.02          29.21          29.42          29.61          29.80          29.82     

1” Meter

       69.20          69.20          71.00          72.55          73.03          73.55          74.03          74.50          74.55     

1.5” Meter

       138.40          138.40          142.00          145.10          146.05          147.10          148.05          149.00          149.10     

2” Meter

       221.44          221.44          227.20          232.16          233.68          235.36          236.88          238.40          238.56     

3” Meter

       442.88          442.88          454.40          464.32          467.36          470.72          473.76          476.80          477.12     

4” Meter

       692.00          692.00          710.00          725.50          730.25          735.50          740.25          745.00          745.50     

6” Meter

       1,384.00          1,384.00          1,420.00          1,451.00          1,460.50          1,471.00          1,480.50          1,490.00          1,491.00     

8” Meter

           2,766.00            2,766.00          2,840.00          2,902.00          2,921.00          2,942.00          2,961.00          2,980.00          2,982.00     

Commodity Rate Charges (per 1,000 gallons):

       

Rate Block

     Volumetric Change  
                       Present     Proposed  
       

 

 

  
        Present   Proposed           2014     2015     2016     2017     2018     2019     2020     2021   
   

 

    

 

 

  

Tier One Breakover

   1,000 Gallons     1,000 Gallons          $       1.30        $       1.30        $       1.35        $       1.39        $       1.41        $       1.42        $       1.43        $       1.45        $       1.45     

Tier Two Breakover

   5,000 Gallons     5,000 Gallons          2.12          2.12          2.20          2.27          2.29          2.31          2.33          2.36          2.36     

Tier Three Breakover

   10,000 Gallons     10,000 Gallons          2.94          2.94          3.05          3.15          3.18          3.21          3.24          3.27          3.27     

Tier Four Breakover

   18,000 Gallons     18,000 Gallons          3.76          3.76          3.90          4.03          4.06          4.10          4.14          4.18          4.18     

Tier Five Breakover

   25,000 Gallons     25,000 Gallons          4.58          4.58          4.75          4.90          4.95          5.00          5.04          5.09          5.10     

Tier Six Breakover

   Over 25,000     Over 25,000          5.48          5.48          5.69          5.87          5.92          5.98          6.04          6.09          6.10     

Conservation Rebate

            Proposed  
     Present                      2014      2015 and thereafter   

 

  

Threshold (“CRT”) in Gallons

      7,001          7,001           6,001     

Commodity rate rebate :

      65%         65%          60%    

(applied if consumption is below the CRT)

         

*Includes all potable water meters including irrigation meters.

 

Non-Potable Raw Water - All Meter Sizes and Classes

        Volumetric Charge  
               Present      Proposed  
    

 

 

  
                2014      2015      2016      2017      2018      2019      2020      2021   
    

 

 

  

All Gallons (Per Acre Foot)

        $       185.74         185.74       $   260.69         $   338.89         $   378.00         $   417.10         $   456.20         $   495.31         $   533.76     

All Gallons (per 1,000 Gallons)

        0.57         0.57           0.80           1.04           1.16           1.28           1.40           1.52           1.638     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Settlement Schedule H-3 

Page 2 of 2

 

Miscellaneous Service Charges   Present     Proposed     Change     

 

  

Establishment of Service

     $      35.00        $    35.00                    $        -         

Establishment of Service (After Hours)

     50.00                    Eliminate     

Re-establishment of Service (Within 12 Months)

     (a)        (a)     

Reconnection of Service (Delinquent)

     35.00        35.00        -         

Reconnection of Service – After Hours (Delinquent)

     50.00        Eliminate     

Meter Move at Customer Request

     (b)        (b)     

After Hours Service Charge, Per Hour

     50.00        Eliminate     

After Hours Service Charge

     NA        35.00     

Deposit

     (c)        (c)     

Deposit Interest

     NA        (c)     

Meter Re-Read (If Correct)

     30.00        30.00        -         

Meter Test Fee (If Correct)

     30.00        30.00        -         

NSF Check

     30.00        30.00        -         

Late Payment Charge (Per Month)

     1.50%        1.50%        0.00%   

Deferred Payment (Per Month)

     1.60%        1.60%        0.00%   

 

  

 

(a)  Number of Months off System times the monthly minimum per A.A.C. R14-2-403(D).

 

(b)  Cost to include parts, labor, overhead and all applicable taxes per A.A.C. R14-2-405(B)(S).

 

(c)  Per A.A.C. R14-2-403(B).

 

In addition to the collection of its regular rates and charges, the Company shall collect from customers their proportionate share of any privilege, sales or use tax in accordance with A.A.C. R14-2-409(D)(5).

 

Service Line and Meter Installation Charges (Refundable Pursuant to A.A.C. R14-2-405)  
    Present                       Proposed                                      
Meter Size   Service Line     Charges                 Total Charges     Service Line Charges     Meter Charges             Total Charges         Charge              

 

  

5/8 x 3/4” Meter

     $445.00            $155.00          $600.00          $445.00                        $155.00                $600.00                  0.00%           

      3/4” Meter

     445.00          255.00        700.00        445.00                      255.00              700.00                  0.00%           

1” Meter

     495.00          315.00        810.00        495.00                      315.00              810.00                  0.00%           

1 1/2” Meter

     550.00          525.00        1,075.00        550.00                      525.00              1,075.00                  0.00%           

2” Turbine Meter

     830.00          1,045.00        1,875.00        830.00                      1,045.00              1,875.00                  0.00%           

2” Compound Meter

     830.00          1,890.00        2,720.00        830.00                      1,890.00              2,720.00                  0.00%           

3” Turbine Meter

     1,045.00          1,670.00        2,715.00        1,045.00                      1,670.00              2,715.00                  0.00%           

3” Compound Meter

     1,165.00          2,545.00        3,710.00        1,165.00                      2,545.00              3,710.00                  0.00%           

4” Turbine Meter

     1,490.00          2,670.00        4,160.00        1,490.00                      2,670.00              4,160.00                  0.00%           

4” Compound Meter

     1,670.00          3,645.00        5,315.00        1,670.00                      3,645.00              5,315.00                  0.00%           

6” Turbine Meter

     2,210.00          5,025.00        7,235.00        2,210.00                      5,025.00              7,235.00                  0.00%           

6” Compound Meter

     2,330.00          6,920.00        9,250.00        2,330.00                      6,920.00              9,250.00                  0.00%           

8” and Larger Meter

     Cost          Cost        Cost        Cost                      Cost              Cost               

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2014

   

 

Rate Schedule:    5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed

Bill

      Increase      % increase

Median Usage

    5000    $    31.10       $    31.10      $        -        0.0%

 

   
     Present Bill      Proposed Bill         

Monthly

Consumption

    Gross      CRT      Net      Gross      CRT      Net     

Percent  

Increase  

  
     

-     

     $ 27.68        $         -             $ 27.68        $ 27.68        $         -             $ 27.68         0.0%   

1,000 

      28.98         (0.85)         28.14         28.98         (0.85)         28.14         0.0%   

2,000 

      31.10         (2.22)         28.88         31.10         (2.22)         28.88         0.0%   

3,000 

      33.22         (3.60)         29.62         33.22         (3.60)         29.62         0.0%   

4,000 

      35.34         (4.98)         30.36         35.34         (4.98)         30.36         0.0%   

5,000 

      37.46         (6.36)         31.10         37.46         (6.36)         31.10         0.0%   

6,000 

      40.40         (8.27)         32.13         40.40         (8.27)         32.13         0.0%   

7,000 

      43.34         (10.18)         33.16         43.34         (10.18)         33.16         0.0%   

8,000 

      46.28         -              46.28         46.28         -              46.28         0.0%   

9,000 

      49.22         -              49.22         49.22         -              49.22         0.0%   

10,000 

      52.16         -              52.16         52.16         -              52.16         0.0%   

15,000 

      70.96         -              70.96         70.96         -              70.96         0.0%   

20,000 

      91.40         -              91.40         91.40         -              91.40         0.0%   

25,000 

      114.30         -              114.30         114.30         -              114.30         0.0%   

50,000 

      251.30         -              251.30         251.30         -              251.30         0.0%   

75,000 

      388.30         -              388.30         388.30         -              388.30         0.0%   

100,000 

      525.30         -              525.30         525.30         -              525.30         0.0%   

125,000 

      662.30         -              662.30         662.30         -              662.30         0.0%   

150,000 

      799.30         -              799.30         799.30         -              799.30         0.0%   

175,000 

      936.30         -              936.30         936.30         -              936.30         0.0%   

200,000 

      1,073.30         -              1,073.30         1,073.30         -              1,073.30         0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2015

   

 

Rate Schedule:  5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    32.46        $      1.36      4.4%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   27.68        $         -           $ 27.68        $ 28.40        $         -           $ 28.40         2.6%   

1,000 

      28.98         (0.85 )      28.14         29.75         (0.81 )      28.94         2.9%   

2,000 

      31.10         (2.22 )      28.88         31.95         (2.13 )      29.82         3.3%   

3,000 

      33.22         (3.60 )      29.62         34.15         (3.45 )      30.70         3.6%   

4,000 

      35.34         (4.98 )      30.36         36.35         (4.77 )      31.58         4.0%   

5,000 

      37.46         (6.36 )      31.10         38.55         (6.09 )      32.46         4,4%   

6,000 

      40.40         (8.27 )      32.13         41.60         (7.92 )      33.68         4.8%   

7,000 

      43.34         (10.18 )      33.16         44.65         -            44.65         34.6%   

8,000 

      46.28         -            46.28         47.70         -            47.70         3.1%   

9,000 

      49.22         -            49.22         50.75         -            50.75         3.1%   

10,000 

      52.16         -            52.16         53.80         -            53.80         3.1%   

15,000 

      70.96         -            70.96         73.30         -            73.30         3.3%   

20,000 

      91.40         -            91.40         94.50         -            94.50         3.4%   

25,000 

      114.30         -            114.30         118.25         -            118.25         3.5%   

50,000 

      251.30         -            251.30         260.50         -            260.50         3.7%   

75,000 

      388.30         -            388.30         402.75         -            402.75         3.7%   

100,000 

      525.30         -            525.30         545.00         -            545.00         3.8%   

125,000 

      662.30         -            662.30         687.25         -            687.25         3.8%   

150,000 

      799.30         -            799.30         829.50         -            829.50         3.8%   

175,000 

      936.30         -            936.30         971.75         -            971.75         3.8%   

200,000 

      1,073.30         -            1,073.30         1,114.00         -            1,114.00         3.8%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2016

   

 

Rate Schedule:  5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    33.21        $      2.11      6.8%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $ 27.68        $         -           $ 27.68        $   29.02        $         -           $ 29.02         4.8%   

1,000 

      28.98         (0.85 )      28.14         30.41         (0.83 )      29.58         5.1%   

2,000 

      31.10         (2.22 )      28.88         32.68         (2.20 )      30.48         5.6%   

3,000 

      33.22         (3.60 )      29.62         34.95         (3.56 )      31.39         6.0%   

4,000 

      35.34         (4.98 )      30.36         37.22         (4.92 )      32.30         6.4%   

5,000 

      37.46         (6.36 )      31.10         39.49         (6.28 )      33.21         6.8%   

6,000 

      40.40         (8.27 )      32.13         42.64         (8.17 )      34.47         7.3%   

7,000 

      43.34         (10.18 )      33.16         45.79         -            45.79         38.1%   

8,000 

      46.28         -            46.28         48.94         -            48.94         5.7%   

9,000 

      49.22         -            49.22         52.09         -            52.09         5.8%   

10,000 

      52.16         -            52.16         55.24         -            55.24         5.9%   

15,000 

      70.96         -            70.96         75.39         -            75.39         6.2%   

20,000 

      91.40         -            91.40         97.28         -            97.28         6.4%   

25,000 

      114.30         -            114.30         121.78         -            121.78         6.5%   

50,000 

      251,30         -            251.30         268.53         -            268.53         6.9%   

75,000 

      388.30         -            388.30         415.28         -            415.28         6.9%   

100,000 

      525.30         -            525.30         562.03         -            562.03         7.0%   

125,000 

      662.30         -            662.30         708.78         -            708.78         7.0%   

150,000 

      799.30         -            799.30         855.53         -            855.53         7.0%   

175,000 

      936.30         -            936.30         1,002.28         -            1,002.28         7.0%   

200,000 

      1,073.30         -            1,073.30         1,149.03         -            1,149.03         7.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                  

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2017

   

 

Rate Schedule:    5/8” and 3/4” Meters       All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    33.44        $      2.34      7.5% 

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent 

Increase 

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   27.68        $         -           $ 27.68        $ 29.21        $         -           $   29.21         5.5%   

1,000 

      28.98         (0.85 )      28.14         30.62         (0.85 )      29.77         5.8%   

2,000 

      31.10         (2.22 )      28.88         32.91         (2.22 )      30.69         6.3%   

3,000 

      33.22         (3.60 )      29.62         35.20         (3.59 )      31.61         6.7%   

4,000 

      35.34         (4.98 )      30.36         37.49         (4.97 )      32.52         7.1%   

5,000 

      37.46         (6.36 )      31.10         39.78         (6.34 )      33.44         7.5%   

6,000 

      40.40         (8.27 )      32.13         42.96         (8.25 )      34.71         8.0%   

7,000 

      43.34         (10.18 )      33.16         46.14         -            46.14         39.1%   

8,000 

      46.28         -            46.28         49.32         -            49.32         6.6%   

9,000 

      49.22         -            49.22         52.50         -            52.50         6.7%   

10,000 

      52.16         -            52.16         55.68         -            55.68         6.7%   

15,000 

      70.96         -            70.96         75.98         -            75.98         7.1%   

20,000 

      91.40         -            91.40         98.06         -            98.06         7.3%   

25,000 

      114.30         -            114.30         122.81         -            122.81         7.4%   

50,000 

      251.30         -            251.30         270.81         -            270.81         7.8%   

75,000 

      388.30         -            388.30         418.81         -            418.81         7.9%   

100,000 

      525.30         -            525.30         566.81         -            566.81         7.9%   

125,000 

      662.30         -            662.30         714.81         -            714.81         7.9%   

150,000 

      799.30         -            799.30         862.81         -            862.81         7.9%   

175,000 

      936.30         -            936.30         1,010.81         -            1,010.81         8.0%   

200,000 

      1,073.30         -            1,073.30         1,158.81         -            1,158.81         8.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2018

   

 

Rate Schedule:  5/8” and 3/4” Meters      All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    33.68        $      2.58      8.3% 

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   27.68        $         -           $   27.68        $   29.42        $         -           $   29.42         6.3%   

1,000 

      28.98         (0.85 )      28.14         30.84         (0.85 )      29.99         6.6%   

2,000 

      31.10         (2.22 )      28.88         33.15         (2.24 )      30.91         7.0%   

3,000 

      33.22         (3.60 )      29.62         35.46         (3.62 )      31.84         7.5%   

4,000 

      35.34         (4.98 )      30.36         37.77         (5.01 )      32.76         7.9%   

5,000 

      37.46         (6.36 )      31.10         40.08         (6.40 )      33.68         8.3%   

6,000 

      40.40         (8.27 )      32.13         43.29         (8.32 )      34.97         8.8%   

7,000 

      43.34         (10.18 )      33.16         46.50         -            46.50         40.2%   

8,000 

      46.28         -            46.28         49.71         -            49.71         7.4%   

9,000 

      49.22         -            49.22         52.92         -            52.92         7.5%   

10,000 

      52.16         -            52.16         56.13         -            56.13         7.6%   

15,000 

      70.96         -            70.96         76.63         -            76.63         8.0%   

20,000 

      91.40         -            91.40         98.93         -            98.93         8.2%   

25,000 

      114.30         -            114.30         123.93         -            123.93         8.4%   

50,000 

      251.30         -            251.30         273.43         -            273.43         8.8%   

75,000 

      388.30         -            388.30         422.93         -            422.93         8.9%   

100,000 

      525.30         -            525.30         572.43         -            572.43         9.0%   

125,000 

      662.30         -            662.30         721.93         -            721.93         9.0%   

150,000 

      799.30         -            799.30         871.43         -            871.43         9.0%   

175,000 

      936.30         -            936.30         1,020.93         -            1,020.93         9.0%   

200,000 

      1,073.30         -            1,073.30         1,170.43         -            1,170.43         9.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2019

   

 

Rate Schedule:   5/8” and 3/4” Meters     All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    33.91        $      2.81      9.0%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $ 27.68        $         -           $   27.68        $   29.61        $         -           $   29.61         7.0%   

1,000 

      28.98         (0.85 )      28.14         31.04         (0.86 )      30.18         7.3%   

2,000 

      31.10         (2.22 )      28.88         33.37         (2.26 )      31.11         7.7%   

3,000 

      33.22         (3.60 )      29.62         35.70         (3.65 )      32.05         8.2%   

4,000 

      35.34         (4.98 )      30.36         38.03         (5.05 )      32.98         8.6%   

5,000 

      37.46         (6.36 )      31.10         40.36         (6.45 )      33.91         9.0%   

6,000 

      40.40         (8.27 )      32.13         43.60         (8.39 )      35.21         9.6%   

7,000 

      43.34         (10.18 )      33.16         46.84         -            46.84         41.3%   

8,000 

      46.28         -            46.28         50.08         -            50.08         8.2%   

9,000 

      49.22         -            49.22         53.32         -            53.32         8.3%   

10,000 

      52.16         -            52.16         56.56         -            56.56         8.4%   

15,000 

      70.96         -            70.96         77.26         -            77.26         8.9%   

20,000 

      91.40         -            91.40         99.76         -            99.76         9.1%   

25,000 

      114.30         -            114.30         124.96         -            124.96         9.3%   

50,000 

      251.30         -            251.30         275.96         -            275.96         9.8%   

75,000 

      388.30         -            388.30         426.96         -            426.96         10.0%   

100,000 

      525.30         -            525.30         577.96         -            577.96         10.0%   

125,000 

      662.30         -            662.30         728.96         -            728.96         10.1%   

150,000 

      799.30         -            799.30         879.96         -            879.96         10.1%   

175,000 

      936.30         -            936.30         1,030.96         -            1,030.96         10.1%   

200,000 

      1,073.30         -            1,073.30         1,181.96         -            1,181.96         10.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2020

   

 

Rate Schedule:   5/8” and 3/4” Meters     All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    34.16        $      3.05      9.8%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   27.68        $         -           $   27.68        $   29.80        $         -           $   29.80         7.7%   

1,000 

      28.98         (0.85 )      28.14         31.25         (0.87 )      30.38         8.0%   

2,000 

      31.10         (2.22 )      28.88         33.61         (2.29 )      31.32         8.5%   

3,000 

      33.22         (3.60 )      29.62         35.97         (3.70 )      32.27         8.9%   

4,000 

      35.34         (4.98 )      30.36         38.33         (5.12 )      33.21         9.4%   

5,000 

      37.46         (6.36 )      31.10         40.69         (6.53 )      34.16         9.8%   

6,000 

      40.40         (8.27 )      32.13         43.96         (8.50 )      35.46         10.4%   

7,000 

      43.34         (10.18 )      33.16         47.23         -            47.23         42.4%   

8,000 

      46.28         -            46.28         50.50         -            50.50         9.1%   

9,000 

      49.22         -            49.22         53.77         -            53.77         9.2%   

10,000 

      52.16         -            52.16         57.04         -            57.04         9.4%   

15,000 

      70.96         -            70.96         77.94         -            77.94         9.8%   

20,000 

      91.40         -            91.40         100.66         -            100.66         10.1%   

25,000 

      114.30         -            114.30         126.11         -            126.11         10.3%   

50,000 

      251.30         -            251.30         278.36         -            278.36         10.8%   

75,000 

      388.30         -            388.30         430.61         -            430.61         10.9%   

100,000 

      525.30         -            525.30         582.86         -            582.86         11.0%   

125,000 

      662.30         -            662.30         735.11         -            735.11         11.0%   

150,000 

      799.30         -            799.30         887.36         -            887.36         11.0%   

175,000 

      936.30         -            936.30         1,039.61         -            1,039.61         11.0%   

200,000 

      1,073.30         -            1,073.30         1,191.86         -            1,191.86         11.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2021

   

 

Rate Schedule:   5/8” and 3/4” Meters     All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    31.10       $    34.18        $      3.07      9.9%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   27.68        $         -           $   27.68        $   29.82       $         -           $ 29.82         7.7%   

1,000 

      28.98         (0.85 )      28.14         31.27         (0.87 )      30.40         8.1%   

2,000 

      31.10         (2.22 )      28.88         33.63         (2.29 )      31.34         8.5%   

3,000 

      33.22         (3.60 )      29.62         35.99         (3.70 )      32.29         9.0%   

4,000 

      35.34         (4.98 )      30.36         38.35         (5.12 )      33.23         9.5%   

5,000 

      37.46         (6.36 )      31.10         40.71         (6.53 )      34.18         9.9%   

6,000 

      40.40         (8.27 )      32.13         43.98         (8.50 )      35.48         10.4%   

7,000 

      43.34         (10.18 )      33.16         47.25         -            47.25         42.5%   

8,000 

      46.28         -            46.28         50.52         -            50.52         9.2%   

9,000 

      49.22         -            49.22         53.79         -            53.79         9.3%   

10,000 

      52.16         -            52.16         57.06         -            57.06         9.4%   

15,000 

      70.96         -            70.96         77.96         -            77.96         9.9%   

20,000 

      91.40         -            91.40         100.70         -            100.70         10.2%   

25,000 

      114.30         -            114.30         126.20         -            126.20         10:4%   

50,000 

      251.30         -            251.30         278.70         -            278.70         10.9%   

75,000 

      388.30         -            388.30         431.20         -            431.20         11.0%   

100,000 

      525.30         -            525.30         583.70         -            583.70         11.1%   

125,000 

      662.30         -            662.30         736.20         -            736.20         11.2%   

150,000 

      799.30         -            799.30         888.70         -            888.70         11.2%   

175,000 

      936.30         -            936.30         1,041.20         -            1,041.20         11.2%   

200,000 

      1,073.30         -            1,073.30         1,193.70         -            1,193.70         11.2%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-l2-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2014

   

 

Rate Schedule:   1” Meters                        All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    72.62       $    72.62        $        -        0.0%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   69.20        $         -           $   69.20        $   69.20        $         -           $   69.20         0.0%   

1,000 

      70.50         (0.85 )      69.66         70.50         (0.85 )      69.66         0.0%   

2,000 

      72.62         (2.22 )      70.40         72.62         (2.22 )      70.40         0.0%   

3,000 

      74.74         (3.60 )      71.14         74.74         (3.60 )      71.14         0.0%   

4,000 

      76.86         (4.98 )      71.88         76.86         (4.98 )      71.88         0.0%   

5,000 

      78.98         (6.36 )      72.62         78.98         (6.36 )      72.62         0.0%   

6,000 

      81.92         (8.27 )      73.65         81.92         (8.27 )      73.65         0.0%   

7,000 

      84.86         (10.18 )      74.68         84.86         (10.18 )      74.68         0.0%   

8,000 

      87.80         -            87.80         87.80         -            87.80         0.0%   

9,000 

      90.74         -            90.74         90.74         -            90.74         0.0%   

10,000 

      93.68         -            93.68         93.68         -            93.68         0.0%   

15,000 

      112.48         -            112.48         112.48         -            112.48         0.0%   

20,000 

      132.92         -            132.92         132.92         -            132.92         0.0%   

25,000 

      155.82         -            155.82         155.82         -            155.82         0.0%   

50,000 

      292.82         -            292.82         292.82         -            292.82         0.0%   

75,000 

      429.82         -            429.82         429.82         -            429.82         0.0%   

100,000 

      566.82         -            566.82         566.82         -            566.82         0.0%   

125,000 

      703.82         -            703.82         703.82         -            703.82         0.0%   

150,000 

      840.82         -            840.82         840.82         -            840.82         0.0%   

175,000 

      977.82         -            977.82         977.82         -            977.82         0.0%   

200,000 

      1,114.82         -            1,114.82         1,114.82         -            1,114.82         0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                    

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2015

   

 

Rate Schedule:   1” Meters                        All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    72.62       $    74.55        $      1.93      2.7%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent  

Increase  

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   69.20        $         -           $   69.20        $   71.00        $         -           $   71.00         2.6%   

1,000 

      70.50         (0.85 )      69.66         72.35         (0.88 )      71.47         2.6%   

2,000 

      72.62         (2.22 )      70.40         74.55         (2.31 )      72.24         2.6%   

3,000 

      74.74         (3.60 )      71.14         76.75         (3.74 )      73.01         2.6%   

4,000 

      76.86         (4.98 )      71.88         78.95         (5.17 )      73.78         2.6%   

5,000 

      78.98         (6.36 )      72.62         81.15         (6.60 )      74.55         2.7%   

6,000 

      81.92         (8.27 )      73.65         84.20         (8.58 )      75.62         2.7%   

7,000 

      84.86         (10.18 )      74.68         87.25         -            87.25         16.8%   

8,000 

      87.80         -            87.80         90.30         -            90.30         2.8%   

9,000 

      90.74         -            90.74         93.35         -            93.35         2.9%   

10,000 

      93.68         -            93.68         96.40         -            96.40         2.9%   

15,000 

      112.48         -            112.48         115.90         -            115.90         3.0%   

20,000 

      132.92         -            132.92         137.10         -            137.10         3.1%   

25,000 

      155.82         -            155.82         160.85         -            160.85         3.2%   

50,000 

      292.82         -            292.82         303.10         -            303.10         3.5%   

75,000 

      429.82         -            429.82         445.35         -            445.35         3.6%   

100,000 

      566.82         -            566.82         587.60         -            587.60         3.7%   

125,000 

      703.82         -            703.82         729.85         -            729.85         3.7%   

150,000 

      840.82         -            840.82         872.10         -            872.10         3.7%   

175,000 

      977.82         -            977.82         1,014.35         -            1,014.35         3.7%   

200,000 

      1,114.82         -            1,114.82         1,156.60         -            1,156.60         3.7%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                  

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2016

   

 

Rate Schedule:   1” Meters                        All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    72.62       $    76.21        $      3.59      4.9%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent 

Increase 

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   69.20        $         -           $   69.20        $   72.55        $         -           $   72.55         4.8%   

1,000 

      70.50         (0.85 )      69.66         73.94         (0.90 )      73.04         4.9%   

2,000 

      72.62         (2.22 )      70.40         76.21         (2.38 )      73.83         4.9%   

3,000 

      74.74         (3.60 )      71.14         78.48         (3.85 )      74.63         4.9%   

4,000 

      76.86         (4.98 )      71.88         80.75         (5.33 )      75.42         4.9%   

5,000 

      78.98         (6.36 )      72.62         83.02         (6.81 )      76.21         4.9%   

6,000 

      81.92         (8.27 )      73.65         86.17         (8.85 )      77.32         5.0%   

7,000 

      84.86         (10.18 )      74.68         89.32         -            89.32         19.6%   

8,000 

      87.80         -            87.80         92.47         -            92.47         5.3%   

9,000 

      90.74         -            90.74         95.62         -            95.62         5.4%   

10,000 

      93.68         -            93.68         98.77         -            98.77         5.4%   

15,000 

      112.48         -            112.48         118.92         -            118.92         5.7%   

20,000 

      132.92         -            132.92         140.81         -            140.81         5.9%   

25,000 

      155.82         -            155.82         165.31         -            165.31         6.1%   

50,000 

      292.82         -            292.82         312.06         -            312.06         6.6%   

75,000 

      429.82         -            429.82         458.81         -            458.81         6.7%   

100,000 

      566.82         -            566.82         605.56         -            605.56         6.8%   

125,000 

      703.82         -            703.82         752.31         -            752.31         6.9%   

150,000 

      840.82         -            840.82         899.06         -            899.06         6.9%   

175,000 

      977.82         -            977.82         1,045.81         -            1,045.81         7.0%   

200,000 

      1,114.82         -            1,114.82         1,192.56         -            1,192.56         7.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4                  

Test Year Ended December 31, 2011

   

Typical Bill Analysis Proposed Settlement Rates

   

2017

   

 

Rate Schedule:   1” Meters                        All Classes  
      Gallons    Present Bill         

Proposed  

Bill  

      Increase       % Increase 

Median Usage

    5000    $    72.62       $    76.72        $      4.10      5.6%

 

Monthly

Consumption

   

 

Present Bill

      Proposed Bill     

Percent 

Increase 

  
  

 

Gross

      CRT     Net      Gross      CRT     Net     
               

-     

     $   69.20        $         -           $   69.20        $   73.03        $         -           $   73.03         5.5%   

1,000 

      70.50         (0.85 )      69.66         74.44         (0.92 )      73.52         5.5%   

2,000 

      72.62         (2.22 )      70.40         76.73         (2.41 )      74.32         5.6%   

3,000 

      74.74         (3.60 )      71.14         79.02         (3.89 )      75.12         5.6%   

4,000 

      76.86         (4.98 )      71.88         81.31         (5.38 )      75.92         5.6%   

5,000 

      78.98         (6.36 )      72.62         83.60         (6.87 )      76.72         5.6%   

6,000 

      81.92         (8.27 )      73.65         86.78         (8.94 )      77.84         5.7%   

7,000 

      84.86         (10.18 )      74.68         89.96         -            89.96         20.5%   

8,000 

      87.80         -            87.80         93.14         -            93.14         6.1%   

9,000 

      90.74         -            90.74         96.32         -            96.32         6.1%   

10,000 

      93.68         -            93.68         99.50         -            99.50         6.2%   

15,000 

      112.48         -            112.48         119.80         -            119.80         6.5%   

20,000 

      132.92         -            132.92         141.88         -            141.88         6.7%   

25,000 

      155.82         -            155.82         166.63         -            166.63         6.9%   

50,000 

      292.82         -            292.82         314.63         -            314.63         7.4%   

75,000 

      429.82         -            429.82         462.63         -            462.63         7.6%   

100,000 

      566.82         -            566.82         610.63         -            610.63         7.7%   

125,000 

      703.82         -            703.82         758.63         -            758.63         7.8%   

150,000 

      840.82         -            840.82         906.63         -            906.63         7.8%   

175,000 

      977.82         -            977.82         1,054.63         -            1,054.63         7.9%   

200,000 

      1,114.82         -            1,114.82         1,202.63         -            1,202.63         7.9%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4  

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

     

2018

     

 

Rate Schedule:   1” Meters                        All Classes      
      Gallons    Present Bill            Proposed
  Bill		    Increase    % Increase

 Median Usage

    5000    $  72.62         $  77.28     $   4.66    6.4%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   69.20       $         -           $ 69.20       $ 73.55       $         -            $ 73.55        6.3 % 
  1,000        70.50        (0.85)        69.66        74.97        (0.92)        74.05        6.3 % 
  2,000        72.62        (2.22)        70.40        77.28        (2.42)        74.86        6.3 % 
  3,000        74.74        (3.60)        71.14        79.59        (3.93)        75.66        6.4 % 
  4,000        76.86        (4.98)        71.88        81.90        (5.43)        76.47        6.4 % 
  5,000        78.98        (6.36)        72.62        84.21        (6.93)        77.28        6.4 % 
  6,000        81.92        (8.27)        73.65        87.42        (9.02)        78.40        6.5 % 
  7,000        84.86        (10.18)        74.68        90.63        -             90.63        21.4 % 
  8,000        87.80        -             87.80        93.84        -             93.84        6.9 % 
  9,000        90.74        -             90.74        97.05        -             97.05        7.0 % 
  10,000        93.68        -             93.68          100.26        -             100.26        7.0 % 
  15,000        112.48        -               112.48        120.76        -             120.76        7.4 % 
  20,000        132.92        -             132.92        143.06        -             143.06        7.6 % 
  25,000        155.82        -             155.82        168.06        -             168.06        7.9 % 
  50,000        292.82        -             292.82        317.56        -             317.56        8.4 % 
  75,000        429.82        -             429.82        467.06        -             467.06        8.7 % 
  100,000        566.82        -             566.82        616.56        -             616.56        8.8 % 
  125,000        703.82        -             703.82        766.06        -             766.06        8.8 % 
  150,000        840.82        -             840.82        915.56        -             915.56        8.9 % 
  175,000        977.82        -             977.82        1,065.06        -             1,065.06        8.9 % 
  200,000        1,114.82        -             1,114.82        1,214.56        -             1,214.56        8.9 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2019

   

 

Rate Schedule:   1” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

 Median Usage

    5000   $  72.62        $  77.79   $   5.16   7.1%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   69.20       $         -            $ 69.20       $ 74.03       $         -            $ 74.03        7.0 % 
  1,000        70.50        (0.85)        69.66        75.46        (0.93)        74.53        7.0 % 
  2,000        72.62        (2.22)        70.40        77.79        (2.44)        75.34        7.0 % 
  3,000        74.74        (3.60)        71.14        80.12        (3.96)        76.16        7.1 % 
  4,000        76.86        (4.98)        71.88        82.45        (5.47)        76.97        7.1 % 
  5,000        78.98        (6.36)        72.62        84.78        (6.99)        77.79        7.1 % 
  6,000        81.92        (8.27)        73.65        88.02        (9.09)        78.92        7.2 % 
  7,000        84.86        (10.18)        74.68        91.26        -             91.26        22.2 % 
  8,000        87.80        -             87.80        94.50        -             94.50        7.6 % 
  9,000        90.74        -             90.74        97.74        -             97.74        7.7 % 
  10,000        93.68        -             93.68          100.98        -             100.98        7.8 % 
  15,000        112.48        -             112.48        121.68        -             121.68        8.2 % 
  20,000        132.92        -             132.92        144.18        -             144.18        8.5 % 
  25,000        155.82        -             155.82        169.38        -             169.38        8.7 % 
  50,000        292.82        -             292.82        320.38        -             320.38        9.4 % 
  75,000        429.82        -             429.82        471.38        -             471.38        9.7 % 
  100,000        566.82        -             566.82        622.38        -             622.38        9.8 % 
  125,000        703.82        -             703.82        773.38        -             773.38        9.9 % 
  150,000        840.82        -             840.82        924.38        -             924.38        9.9 % 
  175,000        977.82        -             977.82        1,075.38        -             1,075.38        10.0 % 
  200,000        1,114.82        -             1,114.82        1,226.38        -             1,226.38        10.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2020

   

 

Rate Schedule:   1” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    5000   $  72.62        $  78.31    $   5.69   7.8%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 69.20      $         -           $ 69.20       $ 74.50      $         -            $ 74.50        7.7 % 
  1,000        70.50        (0.85)        69.66        75.95        (0.94)        75.01        7.7 % 
  2,000        72.62        (2.22)        70.40        78.31        (2.48)        75.83        7.7 % 
  3,000        74.74        (3.60)        71.14        80.67        (4.01)        76.66        7.8 % 
  4,000        76.86        (4.98)        71.88        83.03        (5.54)        77.49        7.8 % 
  5,000        78.98        (6.36)        72.62        85.39        (7.08)        78.31        7.8 % 
  6,000        81.92        (8.27)        73.65        88.66        (9.20)        79.46        7.9 % 
  7,000        84.86        (10.18)        74.68        91.93        -             91.93        23.1 % 
  8,000        87.80        -               87.80        95.20        -             95.20        8.4 % 
  9,000        90.74        -             90.74        98.47        -             98.47        8.5 % 
  10,000        93.68        -             93.68        101.74        -             101.74        8.6 % 
  15,000          112.48        -             112.48        122.64        -             122.64        9.0 % 
  20,000        132.92        -             132.92        145.36        -             145.36        9.4 % 
  25,000        155.82        -             155.82        170.81        -             170.81        9.6 % 
  50,000        292.82        -             292.82        323.06        -             323.06        10.3 % 
  75,000        429.82        -             429.82          475.31        -             475.31        10.6 % 
  100,000        566.82        -               566.82        627.56        -             627.56        10.7 % 
  125,000        703.82        -             703.82        779.81        -             779.81        10.8 % 
  150,000        840.82        -             840.82        932.06        -             932.06        10.9 % 
  175,000        977.82        -             977.82        1,084.31        -             1,084.31        10.9 % 
  200,000          1,114.82        -             1,114.82        1,236.56        -             1,236.56        10.9 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2021

   

 

Rate Schedule:   1” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    5000   $  72.62        $  78.36    $   5.74   7.9%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   69.20      $         -           $ 69.20      $ 74.55       $         -           $ 74.55        7.7 % 
  1,000        70.50        (0.85)        69.66        76.00        (0.94)        75.06        7.8 % 
  2,000        72.62        (2.22)        70.40        78.36        (2.48)        75.88        7.8 % 
  3,000        74.74        (3.60)        71.14        80.72        (4.01)        76.71        7.8 % 
  4,000        76.86        (4.98)        71.88        83.08        (5.54)        77.54        7.9 % 
  5,000        78.98        (6.36)        72.62        85.44        (7.08)        78.36        7.9 % 
  6,000        81.92        (8.27)        73.65        88.71        (9.20)        79.51        7.9 % 
  7,000        84.86        (10.18)        74.68        91.98        -             91.98        23.2 % 
  8,000        87.80        -             87.80        95.25        -             95.25        8.5 % 
  9,000        90.74        -             90.74        98.52        -             98.52        8.6 % 
  10,000        93.68        -             93.68        101.79        -             101.79        8.7 % 
  15,000        112.48        -             112.48        122.69        -             122.69        9.1 % 
  20,000        132.92        -             132.92        145.43        -             145.43        9.4 % 
  25,000        155.82        -             155.82        170.93        -             170.93        9.7 % 
  50,000        292.82        -             292.82        323.43        -             323.43        10.5 % 
  75,000        429.82        -             429.82        475.93        -             475.93        10.7 % 
  100,000        566.82        -             566.82        628.43        -               628.43        10.9 % 
  125,000        703.82        -               703.82          780.93        -             780.93        11.0 % 
  150,000        840.82        -             840.82        933.43        -             933.43        11.0 % 
  175,000        977.82        -             977.82        1,085.93        -             1,085.93        11.1 % 
  200,000        1,114.82        -             1,114.82        1,238.43        -             1,238.43        11.1 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2014

   

 

Rate Schedule:   1.5” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    15000   $  181.68        $  181.68   $    -      0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   138.40       $         -            $ 138.40       $ 138.40       $         -           $ 138.40        0.0 % 
  1,000        139.70        (0.85)        138.86        139.70        (0.85)        138.86        0.0 % 
  2,000        141.82        (2.22)        139.60        141.82        (2.22)        139.60        0.0 % 
  3,000        143.94        (3.60)        140.34        143.94        (3.60)        140.34        0.0 % 
  4,000        146.06        (4.98)        141.08        146.06        (4.98)        141.08        0.0 % 
  5,000        148.18        (6.36)        141.82        148.18        (6.36)        141.82        0.0 % 
  6,000        151.12        (8.27)        142.85        151.12        (8.27)        142.85        0.0 % 
  7,000        154.06        (10.18)        143.88        154.06        (10.18)        143.88        0.0 % 
  8,000        157.00        -             157.00        157.00        -             157.00        0.0 % 
  9,000        159.94        -             159.94        159.94        -             159.94        0.0 % 
  10,000        162.88        -             162.88        162.88        -             162.88        0.0 % 
  15,000        181.68        -             181.68        181.68        -             181.68        0.0 % 
  20,000        202.12        -             202.12          202.12        -             202.12        0.0 % 
  25,000        225.02        -             225.02        225.02        -             225.02        0.0 % 
  50,000        362.02        -             362.02        362.02        -             362.02        0.0 % 
  75,000        499.02        -             499.02        499.02        -             499.02        0.0 % 
  100,000        636.02        -             636.02        636.02        -             636.02        0.0 % 
  125,000        773.02        -               773.02        773.02        -               773.02        0.0 % 
  150,000        910.02        -             910.02        910.02        -             910.02        0.0 % 
  175,000        1,047.02        -             1,047.02        1,047.02        -             1,047.02        0.0 % 
  200,000        1,184.02        -             1,184.02        1,184.02        -             1,184.02        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2015

   

 

Rate Schedule:   1.5” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    15000   $  181.68        $  186.90    $   5.22   2.9%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   138.40       $         -            $   138.40       $   142.00       $         -            $ 142.00        2.6 % 
  1,000        139.70        (0.85)        138.86        143.35        (0.81)        142.54        2.7 % 
  2,000        141.82        (2.22)        139.60        145.55        (2.13)        143.42        2.7 % 
  3,000        143.94        (3.60)        140.34        147.75        (3.45)        144.30        2.8 % 
  4,000        146.06        (4.98)        141.08        149.95        (4.77)        145.18        2.9 % 
  5,000        148.18        (6.36)        141.82        152.15        (6.09)        146.06        3.0 % 
  6,000        151.12        (8.27)        142.85        155.20        (7.92)        147.28        3.1 % 
  7,000        154.06        (10.18)        143.88        158.25        -             158.25        10.0 % 
  8,000        157.00        -             157.00        161.30        -             161.30        2.7 % 
  9,000        159.94        -             159.94        164.35        -             164.35        2.8 % 
  10,000        162.88        -             162.88        167.40        -             167.40        2.8 % 
  15,000        181.68        -             181.68        186.90        -             186.90        2.9 % 
  20,000        202.12        -             202.12        208.10        -             208.10        3.0 % 
  25,000        225.02        -             225.02        231.85        -             231.85        3.0 % 
  50,000        362.02        -             362.02        374.10        -             374.10        3.3 % 
  75,000        499.02        -             499.02        516.35        -             516.35        3.5 % 
  100,000        636.02        -             636.02        658.60        -             658.60        3.6 % 
  125,000        773.02        -             773.02        800.85        -             800.85        3.6 % 
  150,000        910.02        -             910.02        943.10        -             943.10        3.6 % 
  175,000        1,047.02        -             1,047.02        1,085.35        -             1,085.35        3.7 % 
  200,000        1,184.02        -             1,184.02        1,227.60        -             1,227.60        3.7 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2016

   

 

Rate Schedule:   1.5” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    1500   $  181.68        $  191.47    $   9.79   5.4%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
  -           $   138.40       $         -            $   138.40       $   145.10       $         -            $   145.10        4.8 % 
  1,000        139.70        (0.85)        138.86        146.49        (0.83)        145.66        4.9 % 
  2,000        141.82        (2.22)        139.60        148.76        (2.20)        146.56        5.0 % 
  3,000        143.94        (3.60)        140.34        151.03        (3.56)        147.47        5.1 % 
  4,000        146.06        (4.98)        141.08        153.30        (4.92)        148.38        5.2 % 
  5,000        148.18        (6.36)        141.82        155.57        (6.28)        149.29        5.3 % 
  6,000        151.12        (8.27)        142.85        158.72        (8.17)        150.55        5.4 % 
  7,000        154.06        (10.18)        143.88        161.87        -             161.87        12.5 % 
  8,000        157.00        -             157.00        165.02        -             165.02        5.1 % 
  9,000        159.94        -             159.94        168.17        -             168.17        5.1 % 
  10,000        162.88        -             162.88        171.32        -             171.32        5.2 % 
  15,000        181.68        -             181.68        191.47        -             191.47        5.4 % 
  20,000        202.12        -             202.12        213.36        -             213.36        5.6 % 
  25,000        225.02        -             225.02        237.86        -             237.86        5.7 % 
  50,000        362.02        -             362.02        384.61        -             384.61        6.2 % 
  75,000        499.02        -             499.02        531.36        -             531.36        6.5 % 
  100,000        636.02        -             636.02        678.11        -             678.11        6.6 % 
  125,000        773.02        -             773.02        824.86        -             824.86        6.7 % 
  150,000        910.02        -             910.02        971.61        -             971.61        6.8 % 
  175,000        1,047.02        -             1,047.02        1,118.36        -             1,118.36        6.8 % 
  200,000        1,184.02        -             1,184.02        1,265.11        -             1,265.11        6.8 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2017

   

 

Rate Schedule:   1.5” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    15000   $  181.68        $  192.82    $    11.14   6.1%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   138.40       $          -            $   138.40       $   146.05       $          -            $   146.05        5.5 % 
  1,000        139.70        (0.85)        138.86        147.46        (0.85)        146.61        5.6 % 
  2,000        141.82        (2.22)        139.60        149.75        (2.22)        147.53        5.7 % 
  3,000        143.94        (3.60)        140.34        152.04        (3.59)        148.45        5.8 % 
  4,000        146.06        (4.98)        141.08        154.33        (4.97)        149.36        5.9 % 
  5,000        148.18        (6.36)        141.82        156.62        (6.34)        150.28        6.0 % 
  6,000        151.12        (8.27)        142.85        159.80        (8.25)        151.55        6.1 % 
  7,000        154.06        (10.18)        143.88        162.98        -             162.98        13.3 % 
  8,000        157.00        -             157.00        166.16        -             166.16        5.8 % 
  9,000        159.94        -             159.94        169.34        -             169.34        5.9 % 
  10,000        162.88        -             162.88        172.52        -             172.52        5.9 % 
  15,000        181.68        -             181.68        192.82        -             192.82        6.1 % 
  20,000        202.12        -             202.12        214.90        -             214.90        6.3 % 
  25,000        225.02        -             225.02        239.65        -             239.65        6.5 % 
  50,000        362.02        -             362.02        387.65        -             387.65        7.1 % 
  75,000        499.02        -             499.02        535.65        -             535.65        7.3 % 
  100,000        636.02        -             636.02        683.65        -             683.65        7.5 % 
  125,000        773.02        -             773.02        831.65        -             831.65        7.6 % 
  150,000        910.02        -             910.02        979.65        -             979.65        7.7 % 
  175,000        1,047.02        -             1,047.02        1,127.65        -             1,127.65        7.7 % 
  200,000        1,184.02        -             1,184.02        1,275.65        -             1,275.65        7.7 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2018

   

 

Rate Schedule:   1.5” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    15000   $  181.68        $  194.31    $   12.63   7.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $ 138.40       $         -            $ 138.40       $ 147.10       $         -            $ 147.10        6.3 % 
  1,000        139.70        (0.85)        138.86        148.52        (0.85)        147.67        6.3 % 
  2,000        141.82        (2.22)        139.60        150.83        (2.24)        148.59        6.4 % 
  3,000        143.94        (3.60)        140.34        153.14        (3.62)        149.52        6.5 % 
  4,000        146.06        (4.98)        141.08        155.45        (5.01)        150.44        6.6 % 
  5,000        148.18        (6.36)        141.82        157.76        (6.40)        151.36        6.7 % 
  6,000        151.12        (8.27)        142.85        160.97        (8.32)        152.65        6.9 % 
  7,000        154.06        (10.18)        143.88        164.18        -             164.18        14.1 % 
  8,000        157.00        -             157.00        167.39        -             167.39        6.6 % 
  9,000        159.94        -             159.94        170.60        -             170.60        6.7 % 
  10,000        162.88        -             162.88        173.81        -             173.81        6.7 % 
  15,000        181.68        -             181.68        194.31        -             194.31        7.0 % 
  20,000        202.12        -             202.12        216.61        -             216.61        7.2 % 
  25,000        225.02        -             225.02        241.61        -             241.61        7.4 % 
  50,000        362.02        -             362.02        391.11        -             391.11        8.0 % 
  75,000        499.02        -             499.02        540.61        -             540.61        8.3 % 
  100,000        636.02        -             636.02        690.11        -             690.11        8.5 % 
  125,000        773.02        -             773.02        839.61        -             839.61        8.6 % 
  150,000        910.02        -             910.02        989.11        -             989.11        8.7 % 
  175,000        1,047.02        -             1,047.02        1,138.61        -             1,138.61        8.7 % 
  200,000        1,184.02        -             1,184.02        1,288.11        -             1,288.11        8.8 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2019

   

 

Rate Schedule:   1.5” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    15000    $  181.68        $  195.70    $    14.02   7.7%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   138.40       $         -            $ 138.40       $   148.05       $         -            $   148.05        7.0 % 
  1,000        139.70        (0.85)        138.86        149.48        (0.86)        148.62        7.0 % 
  2,000        141.82        (2.22)        139.60        151.81        (2.26)        149.55        7.1 % 
  3,000        143.94        (3.60)        140.34        154.14        (3.65)        150.49        7.2 % 
  4,000        146.06        (4.98)        141.08        156.47        (5.05)        151.42        7.3 % 
  5,000        148.18        (6.36)        141.82        158.80        (6.45)        152.35        7.4 % 
  6,000        151.12        (8.27)        142.85        162.04        (8.39)        153.65        7.6 % 
  7,000        154.06        (10.18)        143.88        165.28        -             165.28        14.9 % 
  8,000        157.00        -             157.00        168.52        -             168.52        7.3 % 
  9,000        159.94        -             159.94        171.76        -             171.76        7.4 % 
  10,000        162.88        -             162.88        175.00        -             175.00        7.4 % 
  15,000        181.68        -             181.68        195.70        -             195.70        7.7 % 
  20,000        202.12        -             202.12        218.20        -             218.20        8.0 % 
  25,000        225.02        -             225.02        243.40        -             243.40        8.2 % 
  50,000        362.02        -             362.02        394.40        -             394.40        8.9 % 
  75,000        499.02        -             499.02        545.40        -             545.40        9.3 % 
  100,000        636.02        -             636.02        696.40        -             696.40        9.5 % 
  125,000        773.02        -             773.02        847.40        -             847.40        9.6 % 
  150,000        910.02        -             910.02        998.40        -             998.40        9.7 % 
  175,000        1,047.02        -             1,047.02        1,149.40        -             1,149.40        9.8 % 
  200,000        1,184.02        -             1,184.02        1,300.40        -             1,300.40        9.8 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2020

   

 

Rate Schedule:   1.5” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    15000   $  181.68        $  197.14    $   15.46   8.5%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   138.40       $         -            $   138.40       $   149.00       $          -            $   149.00        7.7 % 
  1,000        139.70        (0.85)        138.86        150.45        (0.87)        149.58        7.7 % 
  2,000        141.82        (2.22)        139.60        152.81        (2.29)        150.52        7.8 % 
  3,000        143.94        (3.60)        140.34        155.17        (3.70)        151.47        7.9 % 
  4,000        146.06        (4.98)        141.08        157.53        (5.12)        152.41        8.0 % 
  5,000        148.18        (6.36)        141.82        159.89        (6.53)        153.36        8.1 % 
  6,000        151.12        (8.27)        142.85        163.16        (8.50)        154.66        8.3 % 
  7,000        154.06        (10.18)        143.88        166.43        -             166.43        15.7 % 
  8,000        157.00        -             157.00        169.70        -             169.70        8.1 % 
  9,000        159.94        -             159.94        172.97        -             172.97        8.1 % 
  10,000        162.88        -             162.88        176.24        -             176.24        8.2 % 
  15,000        181.68        -             181.68        197.14        -             197.14        8.5 % 
  20,000        202.12        -             202.12        219.86        -             219.86        8.8 % 
  25,000        225.02        -             225.02        245.31        -             245.31        9.0 % 
  50,000        362.02        -             362.02        397.56        -             397.56        9.8 % 
  75,000        499.02        -             499.02        549.81        -             549.81        10.2 % 
  100,000        636.02        -             636.02        702.06        -             702.06        10.4 % 
  125,000        773.02        -             773.02        854.31        -             854.31        10.5 % 
  150,000        910.02        -             910.02        1,006.56        -             1,006.56        10.6 % 
  175,000        1,047.02        -             1,047.02        1,158.81        -             1,158.81        10.7 % 
  200,000        1,184.02        -             1,184.02        1,311.06        -             1,311.06        10.7 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2021

   

 

Rate Schedule:   1.5” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    5000   $  181.68        $  197.24    $   15.56   8.6%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   138.40       $         -            $   138.40       $   149.10       $         -            $   149.10        7.7 % 
  1,000        139.70        (0.85)        138.86        150.55        (0.87)        149.68        7.8 % 
  2,000        141.82        (2.22)        139.60        152.91        (2.29)        150.62        7.9 % 
  3,000        143.94        (3.60)        140.34        155.27        (3.70)        151.57        8.0 % 
  4,000        146.06        (4.98)        141.08        157.63        (5.12)        152.51        8.1 % 
  5,000        148.18        (6.36)        141.82        159.99        (6.53)        153.46        8.2 % 
  6,000        151.12        (8.27)        142.85        163.26        (8.50)        154.76        8.3 % 
  7,000        154.06        (10.18)        143.88        166.53        -             166.53        15.7 % 
  8,000        157.00        -             157.00        169.80        -             169.80        8.2 % 
  9,000        159.94        -             159.94        173.07        -             173.07        8.2 % 
  10,000        162.88        -             162.88        176.34        -             176.34        8.3 % 
  15,000        181.68        -             181.68        197.24        -             197.24        8.6 % 
  20,000        202.12        -             202.12        219.98        -             219.98        8.8 % 
  25,000        225.02        -             225.02        245.48        -             245.48        9.1 % 
  50,000        362.02        -             362.02        397.98        -             397.98        9.9 % 
  75,000        499.02        -             499.02        550.48        -             550.48        10.3 % 
  100,000        636.02        -             636.02        702.98        -             702.98        10.5 % 
  125,000        773.02        -             773.02        855.48        -             855.48        10.7 % 
  150,000        910.02        -             910.02        1,007.98        -             1,007.98        10.8 % 
  175,000        1,047.02        -             1,047.02        1,160.48        -             1,160.48        10.8 % 
  200,000        1,184.02        -             1,184.02        1,312.98        -             1,312.98        10.9 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2014

   

 

Rate Schedule:   2” Meters                         All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    19000   $  281.40        $  281.40    $      -        0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   221.44       $         -            $   221.44       $   221.44       $         -            $ 221.44        0.0 % 
  1,000        222.74        (0.85)        221.90        222.74        (0.85)        221.90        0.0 % 
  2,000        224.86        (2.22)        222.64        224.86        (2.22)        222.64        0.0 % 
  3,000        226.98        (3.60)        223.38        226.98        (3.60)        223.38        0.0 % 
  4,000        229.10        (4.98)        224.12        229.10        (4.98)        224.12        0.0 % 
  5,000        231.22        (6.36)        224.86        231.22        (6.36)        224.86        0.0 % 
  6,000        234.16        (8.27)        225.89        234.16        (8.27)        225.89        0.0 % 
  7,000        237.10        (10.18)        226.92        237.10        (10.18)        226.92        0.0 % 
  8,000        240.04        -             240.04        240.04        -             240.04        0.0 % 
  9,000        242.98        -             242.98        242.98        -             242.98        0.0 % 
  10,000        245.92        -             245.92        245.92        -             245.92        0.0 % 
  15,000        264.72        -             264.72        264.72        -             264.72        0.0 % 
  20,000        285.16        -             285.16        285.16        -             285.16        0.0 % 
  25,000        308.06        -             308.06        308.06        -             308.06        0.0 % 
  50,000        445.06        -             445.06        445.06        -             445.06        0.0 % 
  75,000        582.06        -             582.06        582.06        -             582.06        0.0 % 
  100,000        719.06        -             719.06        719.06        -             719.06        0.0 % 
  125,000        856.06        -             856.06        856.06        -             856.06        0.0 % 
  150,000        993.06        -             993.06        993.06        -             993.06        0.0 % 
  175,000        1,130.06        -             1,130.06        1,130.06        -             1,130.06        0.0 % 
  200,000        1,267.06        -             1,267.06        1,267.06        -             1,267.06        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2015

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    19000   $  281.40        $  289.40   $     8.00   2.8%

 

     
      Present Bill     Proposed Bill        
             

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $   221.44       $          -            $   221.44       $   227.20       $          -            $ 227.20        2.6 % 
  1,000        222.74        (0.85)        221.90        228.55        (0.81)        227.74        2.6 % 
  2,000        224.86        (2.22)        222.64        230.75        (2.13)        228.62        2.7 % 
  3,000        226.98        (3.60)        223.38        232.95        (3.45)        229.50        2.7 % 
  4,000        229.10        (4.98)        224.12        235.15        (4.77)        230.38        2.8 % 
  5,000        231.22        (6.36)        224.86        237.35        (6.09)        231.26        2.8 % 
  6,000        234.16        (8.27)        225.89        240.40        (7.92)        232.48        2.9 % 
  7,000        237.10        (10.18)        226.92        243.45        -             243.45        7.3 % 
  8,000        240.04        -             240.04        246.50        -             246.50        2.7 % 
  9,000        242.98        -             242.98        249.55        -             249.55        2.7 % 
  10,000        245.92        -             245.92        252.60        -             252.60        2.7 % 
  15,000        264.72        -             264.72        272.10        -             272.10        2.8 % 
  20,000        285.16        -             285.16        293.30        -             293.30        2.9 % 
  25,000        308.06        -             308.06        317.05        -             317.05        2.9 % 
  50,000        445.06        -             445.06        459.30        -             459.30        3.2 % 
  75,000        582.06        -             582.06        601.55        -             601.55        3.3 % 
  100,000        719.06        -             719.06        743.80        -             743.80        3.4 % 
  125,000        856.06        -             856.06        886.05        -             886.05        3.5 % 
  150,000        993.06        -             993.06        1,028.30        -             1,028.30        3.5 % 
  175,000        1,130.06        -             1,130.06        1,170.55        -             1,170.55        3.6 % 
  200,000        1,267.06        -             1,267.06        1,312.80        -             1,312.80        3.6 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2016

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

 Median Usage

    19000   $  281.40        $  296.39    $    14.99   5.3%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   221.44       $          -           $   221.44       $   232.16       $          -            $ 232.16        4.8 % 
  1,000        222.74        (0.85)        221.90        233.55        (0.83)        232.72        4.9 % 
  2,000        224.86        (2.22)        222.64        235.82        (2.20)        233.62        4.9 % 
  3,000        226.98        (3.60)        223.38        238.09        (3.56)        234.53        5.0 % 
  4,000        229.10        (4.98)        224.12        240.36        (4.92)        235.44        5.1 % 
  5,000        231.22        (6.36)        224.86        242.63        (6.28)        236.35        5.1 % 
  6,000        234.16        (8.27)        225.89        245.78        (8.17)        237.61        5.2 % 
  7,000        237.10        (10.18)        226.92        248.93        -             248.93        9.7 % 
  8,000        240.04        -             240.04        252.08        -             252.08        5.0 % 
  9,000        242.98        -             242.98        255.23        -             255.23        5.0 % 
  10,000        245.92        -             245.92        258.38        -             258.38        5.1 % 
  15,000        264.72        -             264.72        278.53        -             278.53        5.2 % 
  20,000        285.16        -             285.16        300.42        -             300.42        5.4 % 
  25,000        308.06        -             308.06        324.92        -             324.92        5.5 % 
  50,000        445.06        -             445.06        471.67        -             471.67        6.0 % 
  75,000        582.06        -             582.06        618.42        -             618.42        6.2 % 
  100,000        719.06        -             719.06        765.17        -             765.17        6.4 % 
  125,000        856.06        -             856.06        911.92        -             911.92        6.5 % 
  150,000        993.06        -             993.06        1,058.67        -             1,058.67        6.6 % 
  175,000        1,130.06        -             1,130.06        1,205.42        -             1,205.42        6.7 % 
  200,000        1,267.06        -             1,267.06        1,352.17        -             1,352.17        6.7 % 

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2017

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    19000   $  281.40        $  298.47    $   17.07   6.1%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 221.44       $         -            $ 221.44       $ 233.68       $         -            $ 233.68        5.5 % 
  1,000        222.74        (0.85)        221.90        235.09        (0.85)        234.24        5.6 % 
  2,000        224.86        (2.22)        222.64        237.38        (2.22)        235.16        5.6 % 
  3,000        226.98        (3.60)        223.38        239.67        (3.59)        236.08        5.7 % 
  4,000        229.10        (4.98)        224.12        241.96        (4.97)        236.99        5.7 % 
  5,000        231.22        (6.36)        224.86        244.25        (6.34)        237.91        5.8 % 
  6,000        234.16        (8.27)        225.89        247.43        (8.25)        239.18        5.9 % 
  7,000        237.10        (10.18)        226.92        250.61        -             250.61        10.4 % 
  8,000        240.04        -             240.04        253.79        -             253.79        5.7 % 
  9,000        242.98        -             242.98        256.97        -             256.97        5.8 % 
  10,000        245.92        -             245.92        260.15        -             260.15        5.8 % 
  15,000        264.72        -             264.72        280.45        -             280.45        5.9 % 
  20,000        285.16        -             285.16        302.53        -             302.53        6.1 % 
  25,000        308.06        -             308.06        327.28        -             327.28        6.2 % 
  50,000        445.06        -             445.06        475.28        -             475.28        6.8 % 
  75,000        582.06        -             582.06        623.28        -             623.28        7.1 % 
  100,000        719.06        -             719.06        771.28        -             771.28        7.3 % 
  125,000        856.06        -             856.06        919.28        -             919.28        7.4 % 
  150,000        993.06        -             993.06        1,067.28        -             1,067.28        7.5 % 
  175,000        1,130.06        -             1,130.06        1,215.28        -             1,215.28        7.5 % 
  200,000        1,267.06        -             1,267.06        1,363.28        -             1,363.28        7.6 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2018

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    19000   $  281.40        $  300.77    $   19.37   6.9%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 221.44       $          -            $ 221.44       $ 235.36       $          -            $ 235.36        6.3 % 
  1,000        222.74        (0.85)        221.90        236.78        (0.85)        235.93        6.3 % 
  2,000        224.86        (2.22)        222.64        239.09        (2.24)        236.85        6.4 % 
  3,000        226.98        (3.60)        223.38        241.40        (3.62)        237.78        6.4 % 
  4,000        229.10        (4.98)        224.12        243.71        (5.01)        238.70        6.5 % 
  5,000        231.22        (6.36)        224.86        246.02        (6.40)        239.62        6.6 % 
  6,000        234.16        (8.27)        225.89        249.23        (8.32)        240.91        6.6 % 
  7,000        237.10        (10.18)        226.92        252.44        -             252.44        11.2 % 
  8,000        240.04        -             240.04        255.65        -             255.65        6.5 % 
  9,000        242.98        -             242.98        258.86        -             258.86        6.5 % 
  10,000        245.92        -             245.92        262.07        -             262.07        6.6 % 
  15,000        264.72        -             264.72        282.57        -             282.57        6.7 % 
  20,000        285.16        -             285.16        304.87        -             304.87        6.9 % 
  25,000        308.06        -             308.06        329.87        -             329.87        7.1 % 
  50,000        445.06        -             445.06        479.37        -             479.37        7.7 % 
  75,000        582.06        -             582.06        628.87        -             628.87        8.0 % 
  100,000        719.06        -             719.06        778.37        -             778.37        8.2 % 
  125,000        856.06        -             856.06        927.87        -             927.87        8.4 % 
  150,000        993.06        -             993.06        1,077.37        -             1,077.37        8.5 % 
  175,000        1,130.06        -             1,130.06        1,226.87        -             1,226.87        8.6 % 
  200,000        1,267.06        -             1,267.06        1,376.37        -             1,376.37        8.6 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2019

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

Median Usage

    19000   $  281.40        $  302.89    $   21.49   7.6%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 221.44       $          -            $ 221.44       $ 236.88       $          -            $ 236.88        7.0 % 
  1,000        222.74        (0.85)        221.90        238.31        (0.86)        237.45        7.0 % 
  2,000        224.86        (2.22)        222.64        240.64        (2.26)        238.38        7.1 % 
  3,000        226.98        (3.60)        223.38        242.97        (3.65)        239.32        7.1 % 
  4,000        229.10        (4.98)        224.12        245.30        (5.05)        240.25        7.2 % 
  5,000        231.22        (6.36)        224.86        247.63        (6.45)        241.18        7.3 % 
  6,000        234.16        (8.27)        225.89        250.87        (8.39)        242.48        7.3 % 
  7,000        237.10        (10.18)        226.92        254.11        -             254.11        12.0 % 
  8,000        240.04        -             240.04        257.35        -             257.35        7.2 % 
  9,000        242.98        -             242.98        260.59        -             260.59        7.2 % 
  10,000        245.92        -             245.92        263.83        -             263.83        7.3 % 
  15,000        264.72        -             264.72        284.53        -             284.53        7.5 % 
  20,000        285.16        -             285.16        307.03        -             307.03        7.7 % 
  25,000        308.06        -             308.06        332.23        -             332.23        7.8 % 
  50,000        445.06        -             445.06        483.23        -             483.23        8.6 % 
  75,000        582.06        -             582.06        634.23        -             634.23        9.0 % 
  100,000        719.06        -             719.06        785.23        -             785.23        9.2 % 
  125,000        856.06        -             856.06        936.23        -             936.23        9.4 % 
  150,000        993.06        -             993.06        1,087.23        -             1,087.23        9.5 % 
  175,000        1,130.06        -             1,130.06        1,238.23        -             1,238.23        9.6 % 
  200,000        1,267.06        -             1,267.06        1,389.23        -             1,389.23        9.6 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2020

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

Median Usage

    19000    $  281.40        $  305.08    $   23.68   8.4%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 221.44       $          -            $ 221.44       $ 238.40       $         -            $ 238.40        7.7 % 
  1,000        222.74        (0.85)        221.90        239.85        (0.87)        238.98        7.7 % 
  2,000        224.86        (2.22)        222.64        242.21        (2.29)        239.92        7.8 % 
  3,000        226.98        (3.60)        223.38        244.57        (3.70)        240.87        7.8 % 
  4,000        229.10        (4.98)        224.12        246.93        (5.12)        241.81        7.9 % 
  5,000        231.22        (6.36)        224.86        249.29        (6.53)        242.76        8.0 % 
  6,000        234.16        (8.27)        225.89        252.56        (8.50)        244.06        8.0 % 
  7,000        237.10        (10.18)        226.92        255.83        -             255.83        12.7 % 
  8,000        240.04        -             240.04        259.10        -             259.10        7.9 % 
  9,000        242.98        -             242.98        262.37        -             262.37        8.0 % 
  10,000        245.92        -             245.92        265.64        -             265.64        8.0 % 
  15,000        264.72        -             264.72        286.54        -             286.54        8.2 % 
  20,000        285.16        -             285.16        309.26        -             309.26        8.5 % 
  25,000        308.06        -             308.06        334.71        -             334.71        8.7 % 
  50,000        445.06        -             445.06        486.96        -             486.96        9.4 % 
  75,000        582.06        -             582.06        639.21        -             639.21        9.8 % 
  100,000        719.06        -             719.06        791.46        -             791.46        10.1 % 
  125,000        856.06        -             856.06        943.71        -             943.71        10.2 % 
  150,000        993.06        -             993.06        1,095.96        -             1,095.96        10.4 % 
  175,000        1,130.06        -             1,130.06        1,248.21        -             1,248.21        10.5 % 
  200,000        1,267.06        -             1,267.06        1,400.46        -             1,400.46        10.5 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2021

   

 

Rate Schedule:   2” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

Median Usage

    19000   $  281.40        $  305.26    $   23.86   8.5%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 221.44       $          -            $ 221.44       $ 238.56       $          -            $ 238.56        7.7 % 
  1,000        222.74        (0.85)        221.90        240.01        (0.87)        239.14        7.8 % 
  2,000        224.86        (2.22)        222.64        242.37        (2.29)        240.08        7.8 % 
  3,000        226.98        (3.60)        223.38        244.73        (3.70)        241.03        7.9 % 
  4,000        229.10        (4.98)        224.12        247.09        (5.12)        241.97        8.0 % 
  5,000        231.22        (6.36)        224.86        249.45        (6.53)        242.92        8.0 % 
  6,000        234.16        (8.27)        225.89        252.72        (8.50)        244.22        8.1 % 
  7,000        237.10        (10.18)        226.92        255.99        -             255.99        12.8 % 
  8,000        240.04        -             240.04        259.26        -             259.26        8.0 % 
  9,000        242.98        -             242.98        262.53        -             262.53        8.0 % 
  10,000        245.92        -             245.92        265.80        -             265.80        8.1 % 
  15,000        264.72        -             264.72        286.70        -             286.70        8.3 % 
  20,000        285.16        -             285.16        309.44        -             309.44        8.5 % 
  25,000        308.06        -             308.06        334.94        -             334.94        8.7 % 
  50,000        445.06        -             445.06        487.44        -             487.44        9.5 % 
  75,000        582.06        -             582.06        639.94        -             639.94        9.9 % 
  100,000        719.06        -             719.06        792.44        -             792.44        10.2 % 
  125,000        856.06        -             856.06        944.94        -             944.94        10.4 % 
  150,000        993.06        -             993.06        1,097.44        -             1,097.44        10.5 % 
  175,000        1,130.06        -             1,130.06        1,249.94        -             1,249.94        10.6 % 
  200,000        1,267.06        -             1,267.06        1,402.44        -             1,402.44        10.7 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2014

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

Median Usage

    65000   $  721.30        $  721.30    $        -       0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 442.88       $          -            $ 442.88       $ 442.88       $          -            $ 442.88        0.0 % 
  1,000        444.18        (0.85)        443.34        444.18        (0.85)        443.34        0.0 % 
  2,000        446.30        (2.22)        444.08        446.30        (2.22)        444.08        0.0 % 
  3,000        448.42        (3.60)        444.82        448.42        (3.60)        444.82        0.0 % 
  4,000        450.54        (4.98)        445.56        450.54        (4.98)        445.56        0.0 % 
  5,000        452.66        (6.36)        446.30        452.66        (6.36)        446.30        0.0 % 
  6,000        455.60        (8.27)        447.33        455.60        (8.27)        447.33        0.0 % 
  7,000        458.54        (10.18)        448.36        458.54        (10.18)        448.36        0.0 % 
  8,000        461.48        -             461.48        461.48        -             461.48        0.0 % 
  9,000        464.42        -             464.42        464.42        -             464.42        0.0 % 
  10,000        467.36        -             467.36        467.36        -             467.36        0.0 % 
  15,000        486.16        -             486.16        486.16        -             486.16        0.0 % 
  20,000        506.60        -             506.60        506.60        -             506.60        0.0 % 
  25,000        529.50        -             529.50        529.50        -             529.50        0.0 % 
  50,000        666.50        -             666.50        666.50        -             666.50        0.0 % 
  75,000        803.50        -             803.50        803.50        -             803.50        0.0 % 
  100,000        940.50        -             940.50        940.50        -             940.50        0.0 % 
  125,000        1,077.50        -             1,077.50        1,077.50        -             1,077.50        0.0 % 
  150,000        1,214.50        -             1,214.50        1,214.50        -             1,214.50        0.0 % 
  175,000        1,351.50        -             1,351.50        1,351.50        -             1,351.50        0.0 % 
  200,000        1,488.50        -             1,488.50        1,488.50        -             1,488.50        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2015

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    65000    $  721.30        $  743.40    $   22.10   3.1%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 442.88       $          -            $ 442.88       $ 454.40       $          -            $ 454.40        2.6 % 
  1,000        444.18        (0.85)        443.34        455.75        (0.81)        454.94        2.6 % 
  2,000        446.30        (2.22)        444.08        457.95        (2.13)        455.82        2.6 % 
  3,000        448.42        (3.60)        444.82        460.15        (3.45)        456.70        2.7 % 
  4,000        450.54        (4.98)        445.56        462.35        (4.77)        457.58        2.7 % 
  5,000        452.66        (6.36)        446.30        464.55        (6.09)        458.46        2.7 % 
  6,000        455.60        (8.27)        447.33        467.60        (7.92)        459.68        2.8 % 
  7,000        458.54        (10.18)        448.36        470.65        -             470.65        5.0 % 
  8,000        461.48        -             461.48        473.70        -             473.70        2.6 % 
  9,000        464.42        -             464.42        476.75        -             476.75        2.7 % 
  10,000        467.36        -             467.36        479.80        -             479.80        2.7 % 
  15,000        486.16        -             486.16        499.30        -             499.30        2.7 % 
  20,000        506.60        -             506.60        520.50        -             520.50        2.7 % 
  25,000        529.50        -             529.50        544.25        -             544.25        2.8 % 
  50,000        666.50        -             666.50        686.50        -             686.50        3.0 % 
  75,000        803.50        -             803.50        828.75        -             828.75        3.1 % 
  100,000        940.50        -             940.50        971.00        -             971.00        3.2 % 
  125,000        1,077.50        -             1,077.50        1,113.25        -             1,113.25        3.3 % 
  150,000        1,214.50        -             1,214.50        1,255.50        -             1,255.50        3.4 % 
  175,000        1,351.50        -             1,351.50        1,397.75        -             1,397.75        3.4 % 
  200,000        1,488.50        -             1,488.50        1,540.00        -             1,540.00        3.5 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2017

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    65000   $  721.30        $  768.16    $   46.86   6.5%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 442.88       $         -            $ 442.88       $ 467.36       $         -            $ 467.36        5.5 % 
  1,000        444.18        (0.85)        443.34        468.77        (0.85)        467.92        5.5 % 
  2,000        446.30        (2.22)        444.08        471.06        (2.22)        468.84        5.6 % 
  3,000        448.42        (3.60)        444.82        473.35        (3.59)        469.76        5.6 % 
  4,000        450.54        (4.98)        445.56        475.64        (4.97)        470.67        5.6 % 
  5,000        452.66        (6.36)        446.30        477.93        (6.34)        471.59        5.7 % 
  6,000        455.60        (8.27)        447.33        481.11        (8.25)        472.86        5.7 % 
  7,000        458.54        (10.18)        448.36        484.29        -             484.29        8.0 % 
  8,000        461.48        -             461.48        487.47        -             487.47        5.6 % 
  9,000        464.42        -             464.42        490.65        -             490.65        5.6 % 
  10,000        467.36        -             467.36        493.83        -             493.83        5.7 % 
  15,000        486.16        -             486.16        514.13        -             514.13        5.8 % 
  20,000        506.60        -             506.60        536.21        -             536.21        5.8 % 
  25,000        529.50        -             529.50        560.96        -             560.96        5.9 % 
  50,000        666.50        -             666.50        708.96        -             708.96        6.4 % 
  75,000        803.50        -             803.50        856.96        -             856.96        6.7 % 
  100,000        940.50        -             940.50        1,004.96        -             1,004.96        6.9 % 
  125,000        1,077.50        -             1,077.50        1,152.96        -             1,152.96        7.0 % 
  150,000        1,214.50        -             1,214.50        1,300.96        -             1,300.96        7.1 % 
  175,000        1,351.50        -             1,351.50        1,448.96        -             1,448.96        7.2 % 
  200,000        1,488.50        -             1,488.50        1,596.96        -             1,596.96        7.3 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2018

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    65000   $  721.30        $  774.53   $   53.23   7.4%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 442.88       $         -            $ 442.88       $ 470.72       $         -             $ 470.72        6.3 % 
  1,000        444.18        (0.85)        443.34        472.14        (0.85)        471.29        6.3 % 
  2,000        446.30        (2.22)        444.08        474.45        (2.24)        472.21        6.3 % 
  3,000        448.42        (3.60)        444.82        476.76        (3.62)        473.14        6.4 % 
  4,000        450.54        (4.98)        445.56        479.07        (5.01)        474.06        6.4 % 
  5,000        452.66        (6.36)        446.30        481.38        (6.40)        474.98        6.4 % 
  6,000        455.60        (8.27)        447.33        484.59        (8.32)        476.27        6.5 % 
  7,000        458.54        (10.18)        448.36        487.80        -             487.80        8.8 % 
  8,000        461.48        -             461.48        491.01        -             491.01        6.4 % 
  9,000        464.42        -             464.42        494.22        -             494.22        6.4 % 
  10,000        467.36        -             467.36        497.43        -             497.43        6.4 % 
  15,000        486.16        -             486.16        517.93        -             517.93        6.5 % 
  20,000        506.60        -             506.60        540.23        -             540.23        6.6 % 
  25,000        529.50        -             529.50        565.23        -             565.23        6.7 % 
  50,000        666.50        -             666.50        714.73        -             714.73        7.2 % 
  75,000        803.50        -             803.50        864.23        -             864.23        7.6 % 
  100,000        940.50        -             940.50        1,013.73        -             1,013.73        7.8 % 
  125,000        1,077.50        -             1,077.50        1,163.23        -             1,163.23        8.0 % 
  150,000        1,214.50        -             1,214.50        1,312.73        -             1,312.73        8.1 % 
  175,000        1,351.50        -             1,351.50        1,462.23        -             1,462.23        8.2 % 
  200,000        1,488.50        -             1,488.50        1,611.73        -             1,611.73        8.3 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2019

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    65000   $  721.30        $  780.51    $   59.21   8.2%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 442.88       $         -            $ 442.88       $ 473.76       $         -            $ 473.76        7.0 % 
  1,000        444.18        (0.85)        443.34        475.19        (0.86)        474.33        7.0 % 
  2,000        446.30        (2.22)        444.08        477.52        (2.26)        475.26        7.0 % 
  3,000        448.42        (3.60)        444.82        479.85        (3.65)        476.20        7.1 % 
  4,000        450.54        (4.98)        445.56        482.18        (5.05)        477.13        7.1 % 
  5,000        452.66        (6.36)        446.30        484.51        (6.45)        478.06        7.1 % 
  6,000        455.60        (8.27)        447.33        487.75        (8.39)        479.36        7.2 % 
  7,000        458.54        (10.18)        448.36        490.99        -             490.99        9.5 % 
  8,000        461.48        -             461.48        494.23        -             494.23        7.1 % 
  9,000        464.42        -             464.42        497.47        -             497.47        7.1 % 
  10,000        467.36        -             467.36        500.71        -             500.71        7.1 % 
  15,000        486.16        -             486.16        521.41        -             521.41        7.3 % 
  20,000        506.60        -             506.60        543.91        -             543.91        7.4 % 
  25,000        529.50        -             529.50        569.11        -             569.11        7.5 % 
  50,000        666.50        -             666.50        720.11        -             720.11        8.0 % 
  75,000        803.50        -             803.50        871.11        -             871.11        8.4 % 
  100,000        940.50        -             940.50        1,022.11        -             1,022.11        8.7 % 
  125,000        1,077.50        -             1,077.50        1,173.11        -             1,173.11        8.9 % 
  150,000        1,214.50        -             1,214.50        1,324.11        -             1,324.11        9.0 % 
  175,000        1,351.50        -             1,351.50        1,475.11        -             1,475.11        9.1 % 
  200,000        1,488.50        -             1,488.50        1,626.11        -             1,626.11        9.2 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2020

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    65000   $  721.30        $  786.26    $   64.96   9.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -           $ 442.88       $         -            $ 442.88       $ 476.80       $         -            $ 476.80        7.7 % 
  1,000        444.18        (0.85)        443.34        478.25        (0.87)        477.38        7.7 % 
  2,000        446.30        (2.22)        444.08        480.61        (2.29)        478.32        7.7 % 
  3,000        448.42        (3.60)        444.82        482.97        (3.70)        479.27        7.7 % 
  4,000        450.54        (4.98)        445.56        485.33        (5.12)        480.21        7.8 % 
  5,000        452.66        (6.36)        446.30        487.69        (6.53)        481.16        7.8 % 
  6,000        455.60        (8.27)        447.33        490.96        (8.50)        482.46        7.9 % 
  7,000        458.54        (10.18)        448.36        494.23        -             494.23        10.2 % 
  8,000        461.48        -             461.48        497.50        -             497.50        7.8 % 
  9,000        464.42        -             464.42        500.77        -             500.77        7.8 % 
  10,000        467.36        -             467.36        504.04        -             504.04        7.8 % 
  15,000        486.16        -             486.16        524.94        -             524.94        8.0 % 
  20,000        506.60        -             506.60        547.66        -             547.66        8.1 % 
  25,000        529.50        -             529.50        573.11        -             573.11        8.2 % 
  50,000        666.50        -             666.50        725.36        -             725.36        8.8 % 
  75,000        803.50        -             803.50        877.61        -             877.61        9.2 % 
  100,000        940.50        -             940.50        1,029.86        -             1,029.86        9.5 % 
  125,000        1,077.50        -             1,077.50        1,182.11        -             1,182.11        9.7 % 
  150,000        1,214.50        -             1,214.50        1,334.36        -             1,334.36        9.9 % 
  175,000        1,351.50        -             1,351.50        1,486.61        -             1,486.61        10.0 % 
  200,000        1,488.50        -             1,488.50        1,638.86        -             1,638.86        10.1 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2021

   

 

Rate Schedule:   3” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    65000   $  721.30        $  787.00    $   65.70   9.1%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
               
  -          $ 442.88      $          -           $ 442.88      $ 477.12      $          -           $ 477.12        7.7 % 
  1,000        444.18        (0.85)        443.34        478.57        (0.87)        477.70        7.8 % 
  2,000        446.30        (2.22)        444.08        480.93        (2.29)        478.64        7.8 % 
  3,000        448.42        (3.60)        444.82        483.29        (3.70)        479.59        7.8 % 
  4,000        450.54        (4.98)        445.56        485.65        (5.12)        480.53        7.8 % 
  5,000        452.66        (6.36)        446.30        488.01        (6.53)        481.48        7.9 % 
  6,000        455.60        (8.27)        447.33        491.28        (8.50)        482.78        7.9 % 
  7,000        458.54        (10.18)        448.36        494.55        -             494.55        10.3 % 
  8,000        461.48        -             461.48        497.82        -             497.82        7.9 % 
  9,000        464.42        -             464.42        501.09        -             501.09        7.9 % 
  10,000        467.36        -             467.36        504.36        -             504.36        7.9 % 
  15,000        486.16        -             486.16        525.26        -             525.26        8.0 % 
  20,000        506.60        -             506.60        548.00        -             548.00        8.2 % 
  25,000        529.50        -             529.50        573.50        -             573.50        8.3 % 
  50,000        666.50        -             666.50        726.00        -             726.00        8.9 % 
  75,000        803.50        -             803.50        878.50        -             878.50        9.3 % 
  100,000        940.50        -             940.50        1,031.00        -             1,031.00        9.6 % 
  125,000        1,077.50        -             1,077.50        1,183.50        -             1,183.50        9.8 % 
  150,000        1,214.50        -             1,214.50        1,336.00        -             1,336.00        10.0 % 
  175,000        1,351.50        -             1,351.50        1,488.50        -             1,488.50        10.1 % 
  200,000        1,488.50        -             1,488.50        1,641.00        -             1,641.00        10.2 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2014

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  687.08    $        -       0.0%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   692.00       $         -            $ 692.00       $ 692.00       $         -            $ 692.00        0.0 % 
  1,000        693.30        (0.85)        692.46        693.30        (0.85)        692.46        0.0 % 
  2,000        695.42        (2.22)        693.20        695.42        (2.22)        693.20        0.0 % 
  3,000        697.54        (3.60)        693.94        697.54        (3.60)        693.94        0.0 % 
  4,000        699.66        (4.98)        694.68        699.66        (4.98)        694.68        0.0 % 
  5,000        701.78        (6.36)        695.42        701.78        (6.36)        695.42        0.0 % 
  6,000        704.72        (8.27)        696.45        704.72        (8.27)        696.45        0.0 % 
  7,000        707.66        (10.18)        697.48        707.66        (10.18)        697.48        0.0 % 
  8,000        710.60        -             710.60        710.60        -             710.60        0.0 % 
  9,000        713.54        -             713.54        713.54        -             713.54        0.0 % 
  10,000        716.48        -             716.48        716.48        -             716.48        0.0 % 
  15,000        735.28        -             735.28        735.28        -             735.28        0.0 % 
  20,000        755.72        -             755.72        755.72        -             755.72        0.0 % 
  25,000        778.62        -             778.62        778.62        -             778.62        0.0 % 
  50,000        915.62        -             915.62        915.62        -             915.62        0.0 % 
  75,000        1,052.62        -             1,052.62        1,052.62        -             1,052.62        0.0 % 
  100,000        1,189.62        -             1,189.62        1,189.62        -             1,189.62        0.0 % 
  125,000        1,326.62        -             1,326.62        1,326.62        -             1,326.62        0.0 % 
  150,000        1,463.62        -             1,463.62        1,463.62        -             1,463.62        0.0 % 
  175,000        1,600.62        -             1,600.62        1,600.62        -             1,600.62        0.0 % 
  200,000        1,737.62        -             1,737.62        1,737.62        -             1,737.62        0.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2015

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  704.90    $   17.82   2.6%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   692.00      $         -            $   692.00       $ 710.00       $          -           $ 710.00        2.6 % 
  1,000        693.30        (0.85)        692.46        711.35        (0.81)        710.54        2.6 % 
  2,000        695.42        (2.22)        693.20        713.55        (2.13)        711.42        2.6 % 
  3,000        697.54        (3.60)        693.94        715.75        (3.45)        712.30        2.6 % 
  4,000        699.66        (4.98)        694.68        717.95        (4.77)        713.18        2.7 % 
  5,000        701.78        (6.36)        695.42        720.15        (6.09)        714.06        2.7 % 
  6,000        704.72        (8.27)        696.45        723.20        (7.92)        715.28        2.7 % 
  7,000        707.66        (10.18)        697.48        726.25        -             726.25        4.1 % 
  8,000        710.60        -             710.60        729.30        -             729.30        2.6 % 
  9,000        713.54        -             713.54        732.35        -             732.35        2.6 % 
  10,000        716.48        -             716.48        735.40        -             735.40        2.6 % 
  15,000        735.28        -             735.28        754.90        -             754.90        2.7 % 
  20,000        755.72        -             755.72        776.10        -             776.10        2.7 % 
  25,000        778.62        -             778.62        799.85        -             799.85        2.7 % 
  50,000        915.62        -             915.62        942.10        -             942.10        2.9 % 
  75,000        1,052.62        -             1,052.62        1,084.35        -             1,084.35        3.0 % 
  100,000        1,189.62        -             1,189.62        1,226.60        -             1,226.60        3.1 % 
  125,000        1,326.62        -             1,326.62        1,368.85        -             1,368.85        3.2 % 
  150,000        1,463.62        -             1,463.62        1,511.10        -             1,511.10        3.2 % 
  175,000        1,600.62        -             1,600.62        1,653.35        -             1,653.35        3.3 % 
  200,000        1,737.62        -             1,737.62        1,795.60        -             1,795.60        3.3 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2016

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  720.22    $   33.14   4.8%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   692.00       $          -            $   692.00       $   725.50       $          -           $ 725.50        4.8 % 
  1,000        693.30        (0.85)        692.46        726.89        (0.83)        726.06        4.9 % 
  2,000        695.42        (2.22)        693.20        729.16        (2.20)        726.96        4.9 % 
  3,000        697.54        (3.60)        693.94        731.43        (3.56)        727.87        4.9 % 
  4,000        699.66        (4.98)        694.68        733.70        (4.92)        728.78        4.9 % 
  5,000        701.78        (6.36)        695.42        735.97        (6.28)        729.69        4.9 % 
  6,000        704.72        (8.27)        696.45        739.12        (8.17)        730.95        5.0 % 
  7,000        707.66        (10.18)        697.48        742.27        -             742.27        6.4 % 
  8,000        710.60        -             710.60        745.42        -             745.42        4.9 % 
  9,000        713.54        -             713.54        748.57        -             748.57        4.9 % 
  10,000        716.48        -             716.48        751.72        -             751.72        4.9 % 
  15,000        735.28        -             735.28        771.87        -             771.87        5.0 % 
  20,000        755.72        -             755.72        793.76        -             793.76        5.0 % 
  25,000        778.62        -             778.62        818.26        -             818.26        5.1 % 
  50,000        915.62        -             915.62        965.01        -             965.01        5.4 % 
  75,000        1,052.62        -             1,052.62        1,111.76        -             1,111.76        5.6 % 
  100,000        1,189.62        -             1,189.62        1,258.51        -             1,258.51        5.8 % 
  125,000        1,326.62        -             1,326.62        1,405.26        -             1,405.26        5.9 % 
  150,000        1,463.62        -             1,463.62        1,552.01        -             1,552.01        6.0 % 
  175,000        1,600.62        -             1,600.62        1,698.76        -             1,698.76        6.1 % 
  200,000        1,737.62        -             1,737.62        1,845.51        -             1,845.51        6.2 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2017

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  724.92    $   37.84   5.5%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -            $ 692.00       $          -             $   692.00       $   730.25       $          -             $ 730.25        5.5 % 
  1,000        693.30        (0.85)        692.46        731.66        (0.85)        730.81        5.5 % 
  2,000        695.42        (2.22)        693.20        733.95        (2.22)        731.73        5.6 % 
  3,000        697.54        (3.60)        693.94        736.24        (3.59)        732.65        5.6 % 
  4,000        699.66        (4.98)        694.68        738.53        (4.97)        733.56        5.6 % 
  5,000        701.78        (6.36)        695.42        740.82        (6.34)        734.48        5.6 % 
  6,000        704.72        (8.27)        696.45        744.00        (8.25)        735.75        5.6 % 
  7,000        707.66        (10.18)        697.48        747.18        -             747.18        7.1 % 
  8,000        710.60        -             710.60        750.36        -             750.36        5.6 % 
  9,000        713.54        -             713.54        753.54        -             753.54        5.6 % 
  10,000        716.48        -             716.48        756.72        -             756.72        5.6 % 
  15,000        735.28        -             735.28        777.02        -             777.02        5.7 % 
  20,000        755.72        -             755.72        799.10        -             799.10        5.7 % 
  25,000        778.62        -             778.62        823.85        -             823.85        5.8 % 
  50,000        915.62        -             915.62        971.85        -             971.85        6.1 % 
  75,000        1,052.62        -             1,052.62        1,119.85        -             1,119.85        6.4 % 
  100,000        1,189.62        -             1,189.62        1,267.85        -             1,267.85        6.6 % 
  125,000        1,326.62        -             1,326.62        1,415.85        -             1,415.85        6.7 % 
  150,000        1,463.62        -             1,463.62        1,563.85        -             1,563.85        6.8 % 
  175,000        1,600.62        -             1,600.62        1,711.85        -             1,711.85        6.9 % 
  200,000        1,737.62        -             1,737.62        1,859.85        -             1,859.85        7.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2018

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  730.11    $   43.03   6.3%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   692.00       $          -            $   692.00       $   735.50       $          -            $   735.50        6.3 % 
  1,000        693.30        (0.85)        692.46        736.92        (0.85)        736.07        6.3 % 
  2,000        695.42        (2.22)        693.20        739.23        (2.24)        736.99        6.3 % 
  3,000        697.54        (3.60)        693.94        741.54        (3.62)        737.92        6.3 % 
  4,000        699.66        (4.98)        694.68        743.85        (5.01)        738.84        6.4 % 
  5,000        701.78        (6.36)        695.42        746.16        (6.40)        739.76        6.4 % 
  6,000        704.72        (8.27)        696.45        749.37        (8.32)        741.05        6.4 % 
  7,000        707.66        (10.18)        697.48        752.58        -             752.58        7.9 % 
  8,000        710.60        -             710.60        755.79        -             755.79        6.4 % 
  9,000        713.54        -             713.54        759.00        -             759.00        6.4 % 
  10,000        716.48        -             716.48        762.21        -             762.21        6.4 % 
  15,000        735.28        -             735.28        782.71        -             782.71        6.5 % 
  20,000        755.72        -             755.72        805.01        -             805.01        6.5 % 
  25,000        778.62        -             778.62        830.01        -             830.01        6.6 % 
  50,000        915.62        -             915.62        979.51        -             979.51        7.0 % 
  75,000        1,052.62        -             1,052.62        1,129.01        -             1,129.01        7.3 % 
  100,000        1,189.62        -             1,189.62        1,278.51        -             1,278.51        7.5 % 
  125,000        1,326.62        -             1,326.62        1,428.01        -             1,428.01        7.6 % 
  150,000        1,463.62        -             1,463.62        1,577.51        -             1,577.51        7.8 % 
  175,000        1,600.62        -             1,600.62        1,727.01        -             1,727.01        7.9 % 
  200,000        1,737.62        -             1,737.62        1,876.51        -             1,876.51        8.0 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2019

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  734.80    $   47.72   6.9%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $   692.00       $          -            $    692.00       $   740.25       $          -            $    740.25        7.0 % 
  1,000        693.30        (0.85)        692.46        741.68        (0.86)        740.82        7.0 % 
  2,000        695.42        (2.22)        693.20        744.01        (2.26)        741.75        7.0 % 
  3,000        697.54        (3.60)        693.94        746.34        (3.65)        742.69        7.0 % 
  4,000        699.66        (4.98)        694.68        748.67        (5.05)        743.62        7.0 % 
  5,000        701.78        (6.36)        695.42        751.00        (6.45)        744.55        7.1 % 
  6,000        704.72        (8.27)        696.45        754.24        (8.39)        745.85        7.1 % 
  7,000        707.66        (10.18)        697.48        757.48        -             757.48        8.6 % 
  8,000        710.60        -             710.60        760.72        -             760.72        7.1 % 
  9,000        713.54        -             713.54        763.96        -             763.96        7.1 % 
  10,000        716.48        -             716.48        767.20        -             767.20        7.1 % 
  15,000        735.28        -             735.28        787.90        -             787.90        7.2 % 
  20,000        755.72        -             755.72        810.40        -             810.40        7.2 % 
  25,000        778.62        -             778.62        835.60        -             835.60        7.3 % 
  50,000        915.62        -             915.62        986.60        -             986.60        7.8 % 
  75,000        1,052.62        -             1,052.62        1,137.60        -             1,137.60        8.1 % 
  100,000        1,189.62        -             1,189.62        1,288.60        -             1,288.60        8.3 % 
  125,000        1,326.62        -             1,326.62        1,439.60        -             1,439.60        8.5 % 
  150,000        1,463.62        -             1,463.62        1,590.60        -             1,590.60        8.7 % 
  175,000        1,600.62        -             1,600.62        1,741.60        -             1,741.60        8.8 % 
  200,000        1,737.62        -             1,737.62        1,892.60        -             1,892.60        8.9 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2020

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  739.54    $   52.46   7.6%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -           $    692.00       $          -            $    692.00       $    745.00       $          -            $   745.00        7.7 % 
  1,000        693.30        (0.85)        692.46        746.45        (0.87)        745.58        7.7 % 
  2,000        695.42        (2.22)        693.20        748.81        (2.29)        746.52        7.7 % 
  3,000        697.54        (3.60)        693.94        751.17        (3.70)        747.47        7.7 % 
  4,000        699.66        (4.98)        694.68        753.53        (5.12)        748.41        7.7 % 
  5,000        701.78        (6.36)        695.42        755.89        (6.53)        749.36        7.8 % 
  6,000        704.72        (8.27)        696.45        759.16        (8.50)        750.66        7.8 % 
  7,000        707.66        (10.18)        697.48        762.43        -             762.43        9.3 % 
  8,000        710.60        -             710.60        765.70        -             765.70        7.8 % 
  9,000        713.54        -             713.54        768.97        -             768.97        7.8 % 
  10,000        716.48        -             716.48        772.24        -             772.24        7.8 % 
  15,000        735.28        -             735.28        793.14        -             793.14        7.9 % 
  20,000        755.72        -             755.72        815.86        -             815.86        8.0 % 
  25,000        778.62        -             778.62        841.31        -             841.31        8.1 % 
  50,000        915.62        -             915.62        993.56        -             993.56        8.5 % 
  75,000        1,052.62        -             1,052.62        1,145.81        -             1,145.81        8.9 % 
  100,000        1,189.62        -             1,189.62        1,298.06        -             1,298.06        9.1 % 
  125,000        1,326.62        -             1,326.62        1,450.31        -             1,450.31        9.3 % 
  150,000        1,463.62        -             1,463.62        1,602.56        -             1,602.56        9.5 % 
  175,000        1,600.62        -             1,600.62        1,754.81        -             1,754.81        9.6 % 
  200,000        1,737.62        -             1,737.62        1,907.06        -             1,907.06        9.8 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Santa Cruz Water Company    Settlement H-4

Test Year Ended December 31, 2011

Typical Bill Analysis Proposed Settlement Rates

   

2021

   

 

Rate Schedule:   4” Meters                        All Classes   
      Gallons   Present Bill        

  Proposed 

  Bill

   Increase   % Increase

Median Usage

    7500   $  687.08        $  740.04    $   52.96   7.7%

 

   
      Present Bill     Proposed Bill        
     

  Monthly

  Consumption

     Gross     CRT     Net     Gross     CRT     Net    

Percent

Increase

  
     
  -            $   692.00       $          -            $   692.00       $   745.50       $          -            $   745.50        7.7 % 
  1,000        693.30        (0.85)        692.46        746.95        (0.87)        746.08        7.7 % 
  2,000        695.42        (2.22)        693.20        749.31        (2.29)        747.02        7.8 % 
  3,000        697.54        (3.60)        693.94        751.67        (3.70)        747.97        7.8 % 
  4,000        699.66        (4.98)        694.68        754.03        (5.12)        748.91        7.8 % 
  5,000        701.78        (6.36)        695.42        756.39        (6.53)        749.86        7.8 % 
  6,000        704.72        (8.27)        696.45        759.66        (8.50)        751.16        7.9 % 
  7,000        707.66        (10.18)        697.48        762.93        -             762.93        9.4 % 
  8,000        710.60        -             710.60        766.20        -             766.20        7.8 % 
  9,000        713.54        -             713.54        769.47        -             769.47        7.8 % 
  10,000        716.48        -             716.48        772.74        -             772.74        7.9 % 
  15,000        735.28        -             735.28        793.64        -             793.64        7.9 % 
  20,000        755.72        -             755.72        816.38        -             816.38        8.0 % 
  25,000        778.62        -             778.62        841.88        -             841.88        8.1 % 
  50,000        915.62        -             915.62        994.38        -             994.38        8.6 % 
  75,000        1,052.62        -             1,052.62        1,146.88        -             1,146.88        9.0 % 
  100,000        1,189.62        -             1,189.62        1,299.38        -             1,299.38        9.2 % 
  125,000        1,326.62        -             1,326.62        1,451.88        -             1,451.88        9.4 % 
  150,000        1,463.62        -             1,463.62        1,604.38        -             1,604.38        9.6 % 
  175,000        1,600.62        -             1,600.62        1,756.88        -             1,756.88        9.8 % 
  200,000        1,737.62        -             1,737.62        1,909.38        -             1,909.38        9.9 % 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

ATTACHMENT A

Willow Valley Water Co., Inc.

Schedules

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement A-1
Docket No. W-01732A-12-0315   
Test Year Ended December 31, 2011   

REVENUE REQUIREMENT

 

LINE

NO.

   

DESCRIPTION

    (A)
COMPANY
ORIGINAL
COST		      (B)
COMPANY
FAIR
VALUE		     (C)
SETTLEMENT
ORIGINAL
COST		        

(D)
SETTLEMENT
FAIR

VALUE

  
1    Adjusted Rate Base    $   2,359,391        $   2,359,391       $ 2,278,955         $ 2,278,955    
2    Adjusted Operating Income (Loss)    $ (58,493)       $ (58,493)      $ (71,868)        $ (71,868)   
3    Current Rate of Return (L2 / L1)      -2.48%         -2.48%        -3.15%          -3.15%   
4    Required Rate of Return      10.60%         10.60%        7.50%          7.50%   
5    Required Operating Income (L4 * L1)    $ 250,024        $ 250,024       $ 170,922         $ 170,922    
6    Operating Income Deficiency (L5 - L2)    $ 308,517        $ 308,517       $ 242,790         $ 242,790    
7    Gross Revenue Conversion Factor      1.645086          1.645086         1.665100           1.665100    
                   
8    Required Revenue Increase (L7 * L6)    $ 507,537        $ 507,537       $ 404,269         $ 404,269    
9    Adjusted Test Year Revenue    $ 702,652        $ 702,652       $ 702,652         $ 702,652    
10    Proposed Annual Revenue (L8 + L9)    $ 1,210,190        $ 1,210,190       $ 1,106,922         $   1,106,922    
11    Required Increase in Revenue (%)      72.23%         72.23%        57.53%          57.53%   
12    Rate of Return on Common Equity (%)      11.44%         11.44%        9.50%          9.50%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Schedule: A-1a   
Docket No. W-01732A-12-0315    Settlement Phase In   
Test Year Ended December 31, 2011      

REVENUE PHASE IN PER SETTLEMENT

 

      Year        

Revenue Increase

(Relative

to Test

Year)         

     

Revenue Increase

(Relative to

Previous

Year)             

  

          2014 

      -                             -                   

          2015 

      202,135                       202,135             

          2016 

      404,269                       202,134             

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement Gross Revenue Conversion Factor
Docket No. W-01732A-12-0315    GRCF
Test Year Ended December 31, 2011   

GROSS REVENUE CONVERSION FACTOR

 

LINE

NO.

   

DESCRIPTION

   (A)      (B)     (C)  
   Calculation of Gross Revenue Conversion Factor:       

1

    Revenue                             100.0000%         
    

 

 

       

2

    Uncollecible Factor (Line 11)     0.3561%         
    

 

 

       

3

    Revenues (L1 - L2)     99.6439%         
    

 

 

       

4

    Combined Federal and State Income Tax and Property Tax Rate (Line 23)     39.5874%         
    

 

 

       

5

    Subtotal (L3 - L4)     60.0564%         
    

 

 

       

6

    Revenue Conversion Factor (L1 / L5)     1.665100         
    

 

 

       
   Calculation of Uncollecttible Factor:       

7

    Unity     100.0000%         
    

 

 

       

8

    Combined Federal and State Tax Rate (Line 17)     38.5989%         
    

 

 

       

9

    One Minus Combined Income Tax Rate (L7 - L8 )     61.4011%         
    

 

 

       

10

    Uncollectible Rate     0.5800%         
    

 

 

       

11

    Uncollectible Factor (L9 * L10)                            0.3561%      
       

 

 

    
   Calculation of Effective Tax Rate:       

12

    Operating Income Before Taxes (Arizona Taxable Income)     100.0000%         
    

 

 

       

13

    Arizona State Income Tax Rate     6.9680%         
    

 

 

       

14

    Federal Taxable Income (L12 - L13)     93.0320%         
    

 

 

       

15

    Applicable Federal Income Tax Rate (Line 44)     34.0000%         
    

 

 

       

16

    Effective Federal Income Tax Rate (L14 x L15)     31.6309%         
    

 

 

       

17

    Combined Federal and State Income Tax Rate (L13 +L16)        38.5989%      
       

 

 

    
   Calculation of Effective Property Tax Factor       

18

    Unity     100.0000%         

19

    Combined Federal and State income Tax Rate (L17)     38.5989%         

20

    One Minus Combined Income Tax Rate (L18-L19)     61.4011%         

21

    Property Tax Factor (ADJ 8, L25)     1.6100%         
    

 

 

       

22

    Effective Property Tax Factor (L20*L21)        0.9886%      
       

 

 

  

23

    Combined Federal and State Income Tax and Property Tax Rate (L17+L22)          39.5874%   
         

 

 

  

24

    Required Operating Income (Schedule A-1)    $ 170,922          

25

    AdjustedTest Year Operating Income (Loss) (Schedule C-1, Line 36)    $ (71,868)         
    

 

 

       

26

    Required Increase in Operating Income (L24 - L25)      $ 242,790       

27

    Income Taxes on Recommended Revenue (Col. (C), L48)    $ 57,306          

28

    Income Taxes on Test Year Revenue (Col. (A), L48)    $ (95,321)         
    

 

 

       

29

    Required Increase in Revenue to Provide for Income Taxes (L27 - L28)      $ 152,626       

30

    Required Revenue Increase (Schedule A-1, Line 8)    $ 404,269          
    

 

 

       

31

    Uncollectible Rate (Line 10)     0.5800%         
    

 

 

       

32

    Uncollectible Expense on Recommended Revenue (L30 * L31)    $ 2,345          

33

    Adjusted Test Year Uncollectible Expense - N/A    $ -              
    

 

 

       

34

    Required Increase in Revenue to Provide for Uncollectible Exp.      $ 2,345       

35

    Property Tax with Recommended Revenue (ADJ 8, Line 21)    $ 40,440          

36

    Property Tax on Test Year Revenue (ADJ 8, Col A, L19)    $ 33,931          
    

 

 

       

37

    Increase in Property Tax Due to Increase in Revenue (L35-L36)      $ 6,509       
       

 

 

    

38

    Total Required Increase in Revenue (L26 + L29 + L34+ L37)      $ 404,270       
       

 

 

    
         (A)      (B)     (C)  
         Test Year                
                      Recommended  
   Calculation of Income Tax:                   

39

    Revenue (Schedule C-1)    $ 702,652            $ 1,106,923     

40

    Operating Expenses Excluding Income Taxes    $ 869,841            $ 878,695     

41

    Synchronized Interest (L53)    $ 79,763            $ 79,763     

42

    Arizona Taxable Income (L39 - L40 - L41)    $ (246,952)          $ 148,464     

43

    Arizona State Income Tax Rate     6.9680%           6.9680%    

44

    Arizona Income Tax (L42 x L43)    $ (17,208)          $ 10,345     

45

    Federal Taxable Income (L42 - L44)    $ (229,745)          $ 138,119     

46

    Federal Tax    $ (78,113)          $ 46,961     

47

    Total Federal Income Tax    $ (78,113)          $ 46,961     

48

    Combined Federal and State Income Tax (L43 + L47)    $ (95,321)          $ 57.306     

50

    Effective Tax Rate       
 
   Calculation of Interest Synchronization:          N/A   

51

    Rate Base (Schedule B-1)         $             2,278,955     

52

    Weighted Average Cost of Debt          3.5000%    

53

    Synchronized Interest (L50 X L51)         $ 79,763     

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)   Settlement B-1
Docket No. W-01732A-12-0315  
Test Year Ended December 31, 2011  

RATE BASE - ORIGINAL COST

 

           (A)      (B)      (C)  

LINE

NO.

       

COMPANY

AS

FILED

      SETTLEMENT
ADJUSTMENTS		     

SETTLEMENT
AS

ADJUSTED

  

1

   Plant in Service      $ 5,113,538           $ (80,436)          $ 5,033,102     

2

   Less: Accumulated Depreciation      (1,742,556)          -                (1,742,556)    
    

 

 

     

 

 

     

 

 

  

3

   Net Plant in Service      $ 3,370,982           $ (80,436)          $ 3,290,546     
    

 

 

     

 

 

     

 

 

  
  LESS:         

4

   Contributions in Aid of Construction (CIAC)      $ -                $ -                $ -          

5

  

 Less: Accumulated Amortization

         -                -          
    

 

 

     

 

 

     

 

 

  

6

  

 Net CIAC

      -                -                -          

7

   Advances in Aid of Construction (AIAC)      610,760           -                610,760     

8

   Imputed Reg AIAC      -                

9

   Imputed Reg CIAC      -                -                -          

10

   Accumulated Deferred Income Tax Credits      391,114           -                391,114     
  Customer Meter Deposits      36,233              36,233     
  ADD:         

11

   Accumulated Deferred Income Tax Debits      26,516           -                26,516     

12

   Cash Working Capital      -                -                -          

13

   Deferred Compensation      -                -                -          

14

   CIAC      -                -                -          

15

   Fixed Asset Depreciation      -                -                -          

16

   Deferred Debits      -                -                -          

17

   Purchase Wastewater Treatment Charges      -                -             

18

  

 Original Cost Rate Base

      $         2,359,391           $       (80,436)         $         2,278,955     
    

 

 

     

 

 

     

 

 

  
  References:         
  Column (A), Company Schedule B-2         
  Column (B): Schedule B-2         
  Column (C): Column (A) + Column (B)         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)   Settlement B-2
Docket No. W-01732A-12-0315  
Test Year Ended December 31, 2011  

SUMMARY OF ORIGINAL COST RATE BASE ADJUSTMENTS

 

                  

[A]

     

[B]

     

[I]

  
LINE
NO.		        ACCT.
NO.		    DESCRIPTION    COMPANY     

Reclassification

and PTYP

ADJ B-2a

      SETTLEMENT  
                   AS FILED                                        ADJUSTED  
     PLANT IN SERVICE:         

1

      303     Land and Land Rights      $ 18,293             $ -               $ 18,293     

2

      304     Structures and Improvements      464,273              464,273     

3

      306     Lake, River and Other Intakes      -                  -     

4

      307     Wells and Springs      1,623,786              1,623,786     

5

      309     Supply Mains      5,441              5,441     

6

      310     Power Generation Equipment      10,751              10,751     

7

      311     Pumping Equipment      537,335              537,335     

8

      320     Water Treatment Equipment      572,865           (572,865)          -     

9

      320.1    Water Treatment Plant         303,188           303,188     

10

      320.2    Solution Chemical Feeders         269,677           269,677     

11

      330     Distribution Reservoirs and Standpipes      265,900           (265,900)          -     

12

      330.1    Storage Tanks         220,751           220,751     

13

      330.2    Pressure Tanks         45,148           45,148     

14

      331     Transmission and Distribution Mains      670,561              670,561     

15

      333     Services      96,681              96,681     

16

      334     Meters and Meter Installations      533,416              533,416     

17

      335     Hydrants      47,803              47,803     

18

      336     Backflow Prevention Devices      1,024              1,024     

19

      339     Other Plant and Miscellaneous Equipment      20,318              20,318     

20

      340     Office Furniture and Equipment      22,646              22,646     

21

      341     Transportation Equipment      21,527              21,527     

22

      343     Tools, Shop and Garage Equipment      43,388              43,388     

23

      344     Laboratory Equipment      9,508              9,508     

24

      345     Power Operated Equipment      38,925              38,925     

25

      346     Communication Equipment      13,877              13,877     

26

      347     Miscellaneous Equipment      90,659           (80,436)          10,223     

27

      348     Other Tangible Plant      3,937              3,937     

28

      390     Office Furniture & Equipment      625              625     
          

 

 

     

 

 

     

 

 

  

29

                 

30

      Total Plant in Service      5,113,538           (80,436)          5,033,102     

31

      Accumulated Depreciation      (1,742,556)          -             (1,742,556)    
          

 

 

     

 

 

     

 

 

  

32

      Net Plant in Service      $ 3,370,982           $ (80,436)          $ 3,290,546     

33

              

34

      LESS:         

35

      Net Contributions in Aid of Construction (CIAC)      $ -                  $ -         

36

      Advances in Aid of Construction (AIAC)      610,760           -               610,760     

37

      Customer Meter Deposits      36,233              36,233     

38

      Deferred Income Tax Credits      391,114              391,114     

39

              

40

      ADD:         

41

      Unamortized Finance Charges      -                  -         

42

      Deferred Income Tax Assets      -                  -         

43

          Meter Deposits      16,555              16,555     

44

          Deferred Gain      794              794    

45

          Bad debt      4,414              4,414     

46

          Deferred compensation      4,754           -               4,754     

47

          CIAC      -               -               -         

48

      Working Capital      -               -               -         

49

      Utility Plant Acquisition Adjustment      -               -               -         

50

              -            
          

 

 

     

 

 

  

51

      Original Cost Rate Base      $ 2,359,391           $       (80,436)          $             2,278,955     
          

 

 

     

 

 

  

52

              

53

              
  Supporting Schedules:      Recap Schedules:         
  B-2      A-1         
  B-3         
  E-1         
  B-5         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement B-2a
Docket No. W-01732A-12-0315    Post Test Year Plant
Test Year Ended December 31, 2011   

RATE BASE ADJUSTMENT #1 POST TEST YEAR PLANT

 

                      [A]      [B]      [C]  

LINE

NO.

    ACCT
NO.		    Description          

COMPANY
AS

FILED

      SETTLEMENT
ADJUSTMENTS		      SETTLEMENT
AS
ADJUSTED		  
1    348      Miscellaneous Equipment           80,436         (80,436)           -      
     

 Disallowed PTYP

            
       SCADA - WVWC      $  80,436            

References:

Column [A] : Disallowed Amount reflected in Acct. 348, PTYP, Per Co Schedule B-2.1

Column [B] , Col [C] less Col [A]

Column [C] , Per Staff testimony GWB and Engineering testimony

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)   Settlement C-1
Docket No. W-01732A-12-0315  
Test Year Ended December 31, 2011  

OPERATING INCOME STATEMENT - TEST YEAR AND SETTLEMENT

 

               [A]      [B]      [C]      [D]      [E]  

LINE

NO.

    DESCRIPTION   

COMPANY
TEST YEAR

AS FILED

      SETTLEMENT
TEST YEAR
ADJUSTMENTS		     

SETTLEMENT
TEST YEAR

AS

ADJUSTED

      SETTLEMENT
RECOMMENDED
CHANGES		      SETTLEMENT
RECOMMENDED		  
           $ -               $ -               $ -               $ -               $ -         

 1

    Metered Water Sales      689,274           -               689,274           404,270           1,093,545     

 2

    Water Sales - Unmetered      -                  -               

 3

    Other Operating Revenue      13,378           -               13,378           -               13,378     
        

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 4

    Total Operating Revenues      $ 702,652           $ -               $ 702,652           $ 404,270           $ 1,106,923     

 5

    601            Salary and Wages - Employees      $ 263,312           $ (15,369)          $ 247,943           $ -               $ 247,943     

 6

    604            Employee Pensions and Benefits      -               -               -               -               -         

 7

    610            Purchased Water      -               -               -               -               -         

 8

    615            Purchased Power      43,747           (4,751)          38,997           -               38,997     

 9

    616            Fuel for Power Production      -               -               -               -               -         

10

    618            Chemicals      55,422           (6,018)          49,404           -               49,404     

11

    620            Materials and Supplies      36,002           (15,453)          20,549           -               20,549     

12

    621            Office Supplies and Expense      27,025           -               27,025           -               27,025     

13

    630            Outside Services      97,501           (17,749)          79,752           -               79,752     

14

    635            Contractual Services - Testing      20,993           (5,285)          15,708           -               15,708     

15

    636            Contractual Services - Other      -               -               -                  -         

16

    641            Rental of Building/Real Property      10,241           -               10,241           -               10,241     

17

    642            Rental of Equipment      -               -               -               -               -         

18

    650            Transportation Expenses      24,173           -               24,173           -               24,173    

19

    657            Insurance - General Liability      7,125           -               7,125           -               7,125     

20

    659            Insurance - Other      4,218           -               4,218           -               4,218     

21

    666            Regulatory Commission Expense – Rate C      9,922           (4,880)          5,042              5,042     

22

    667            Rate Case Expense      -               -               -                  -         

23

    670            Bad Debt Expense      8,251           (4,175)          4,075           2,345           6,420     

24

    675            Miscellaneous Expenses      24,563           (9,383)          15,180              15,180     

25

    403            Depreciation Expense      200,668           85,029           285,696              285,696     

26

    408            Taxes Other Than Income      782           -               782              782     

27

    408            Taxes Other Than Income - Property Taxes      33,931           -               33,931           6,509           40,440     

28

    409            Income Taxes            (106,730)          11,410           (95,321)          152,626           57,306     
        

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

29

    Total Operating Expenses      761,145           13,375           774,521           161,480           936,001     
        

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

30

    Operating Income (Loss)      $ (58,493)          $         (13,375)          $           (71,868)          $             242,790           $                 170,922     
        

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  
   References:               
   Column (A): Company Schedule C-1               
   Column (B): Schedule C-2               
   Column (C): Column (A) + Column (B)               
   Column (D): Schedule A-1               
   Column (E): Column (C) + Column (D)               

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)      Settlement C-2   
Docket No. W-01732A-12-0315   
Test Year Ended December 31, 2011   

SUMMARY OF OPERATING INCOME ADJUSTMENTS - TEST YEAR

 

               [A]      [B]      [C]      [D]      [E]      [E]      [F]             [H]  
                      Excess Water                    Expense                              
LINE                     Loss      Bad Debts Exp      Rate Case Exp      Normalizations      Water Testing      Deprec. Exp      Income Taxes         
NO.    SCRIPTION    COMPANY      ADJ #1      ADJ #2      ADJ #3      ADJ #4      ADJ #5      ADJ #6      ADJ #7      SETTLEMENT  
          AS FILED                                                       ADJUSTED  

1

    Revenues                           

1

    Metered Water Sales      $ 689,274           $ -               $ -               $ -               $ -                  $ -                  $ 689,274     

2

    Water Sales - Unmetered      -                                    -         

3

    Other Operating Revenue      13,378           -               -               -               -                  -                  13,378     
        

 

 

     

 

 

  

4

    Total Operating Revenues      $ 702,652           $ -               $ -               $ -               $ -                  $ -                  $ 702,652     
   Operating Expenses                           

5

        601    Salary and Wages - Employees      263,312              -               -               (15,369)          -               -                  247,943     

6

        604    Employee Pensions and Benefits      -               -               -               -               -               -               -                  -         

7

        610    Purchased Water      -                     -                  -               -                  -         

8

        615    Purchased Power      43,747           (4,751)          -                              38,997     

9

        616    Fuel for Power Production      -               -               -                              -         

10

        618    Chemicals      55,422           (6,018)          -                  -                        49,404     

11

        620    Materials and Supplies      36,002           -               -                  (15,453)                   20,549     

12

        621    Office Supplies and Expense      27,025           -               -                  -                        27,025     

13

        630    Outside Services      97,501           -               -                  (17,749)                   79,752     

14

        635    Contractual Services - Testing      20,993           -               -                  -               (5,285)                15,708     

15

        636    Contractual Services - Other      -               -               -               -               -                        -         

16

        641    Rental of Building/Real Property      10,241           -               -                  -                        10,241     

17

        642    Rental of Equipment      -               -               -                  -                        -         

18

        650    Transportation Expenses      24,173           -               -                  -                        24,173     

19

        657    Insurance - General Liability      7,125           -               -                  -                        7,125     

20

        659    Insurance - Other      4,218           -               -                  -                        4,218     

21

        666    Regulatory Commission Expense – Rate Case      9,922           -               -               (4,880)          -                        5,042     

22

        667    Rate Case Expense      -               -               -                  -                        -         

23

        670    Bad Debt Expense      8,251           -               (4,175)             -                        4,075     

24

        675    Miscellaneous Expenses      24,563                    (9,383)                   15,180     

25

        403    Depreciation Expense      200,668                          85,029              285,696     

26

        408    Taxes Other Than Income      782                                782     

27

        408    Taxes Other Than Income - Property Taxes      33,931                                33,931     

28

        409    Income Taxes            (106,730)                               (95,321)    
        

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

29

    Total Operating Expenses      $ 761,145           $         (10,769)          $         (4,175)          $         (4,880)          $         (57,954)          $           (5,285)          $ 85,029           $ 11,410           $             774,521     
        

 

 

     

 

 

  

30

    Operating Income (Loss)      $ (58,493)          $ 10,769           $ 4,175           $ 4,880           $ 57,954           $ 5,285           $         (85,029)          $         (11,410)          $ (71,868)    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement ADJ 1                                   
Docket No. W-01732A-12-0315    Water Loss                                  
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #1 - EXCESS WATER LOSS

 

   

LINE

NO.

             
 

1

      One plus allowable water loss     110.00%    
 

2

      One plus actual water loss     123.40%    
 

3

      Allowable portion     89.14%    
        

 

 

  
 

4

      Disallowable portion     10.86%    
 

5

      Power Expense     43,747     
 

6

      Disallowance     $ 4,751     
 

7

      Chemical Expense             55,422     
 

8

      Disallowance     $ 6,018     

 

Line 1: Maximum acceptable level of water losses

Line 2: Actual level of water losses

Line 3:  Line 2 / line 3

Line 4: 1 minus line 4

Line 6: Line 1 times line 5

Lines 1 - 6: See also Staff testimony GWB

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement ADJ 2                                   
Docket No. W-01732A-12-0315    Bad Debt Expense                                   
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #2 - BAD DEBT EXPENSE

 

    LINE
NO.		   DESCRIPTION     [A]
  COMPANY
  PROPOSED		     [B]
SETTLEMENT
ADJUSTMENTS		    

  [C]

  SETTLEMENT
  RECOMMENDED*

  
 

1

       $         8,251       $             (4,175)        $                     4,075     
     

 

 

  
   

References:

      
   

Column (A), Company Workpapers

  

    
   

Column (B): Staff Testimony GWB

  

    
   

Column (C): Column (A) + Column (B), Per Co Response

                to Staff DR 5.8

  

  

    
   

Adjusted Test Year Revenues

  

       $ 702,652     
   

Bad Debt Expense Rate

  

       0.58%    
         

 

 

  
   

Expected Bad Debt Expense

  

       $ 4,075     
   

Co Proposed

  

       $ 8,251     
         

 

 

  
            $ (4,175)    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement ADJ 3
Docket No. W-01732A-I2-0315    Rate Case Expense
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #3 - RATE CASE EXPENSE

 

        [A]     [B]     [C]        
    LINE       COMPANY     SETTLEMENT     SETTLEMENT    
    NO.   DESCRIPTION   PROPOSED     ADJUSTMENTS     RECOMMENDED    
         

    1

      $                 9,922       $ (4,880 )    $ 5,042     
   

 

 

    
    Company Proposed Rate                                            
    Case Expense                                            
        Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

    2

   Allocation Percentages       39.86 %      40.32 %      13.45 %      3.78 %      0.82 %      1.58 %      0.19 % 

    3

   Desert Mountain Analytical Services    $ 122,063       $ 48,652       $ 49,218       $ 16,420       $ 4,616       $ 996       $ 1,927       $ 234   

    4

   Insight Consulting, LLC    $ 216,000       $ 86,094       $ 87,065       $ 29,057       $ 8,168       $ 1,762       $ 3,410       $ 413   

    5

   Roshka Dewulf & Patten, PLC    $ 370,303       $ 147,597       $ 149,313       $ 49,814       $ 14,004       $ 3,021       $ 5,846       $ 709   

    6

   Ullmann & Company P C    $ 78,809       $ 31,412       $ 31,777       $ 10,502       $ 2,980       $ 643       $ 1,244       $ 151   
   

 

 

  

    7

   Total    $         787,174       $         313,756       $         317,402       $         105,893       $         29,768       $         6,421       $       12,427       $           1,506   

    8

   Amortization over 3 years:                

    9

   Year 1    $ 262,391       $ 104,585       $ 105,801       $ 35,298       $ 9,923       $ 2,140       $ 4,142       $ 502   

    10

   Year 2    $ 262,391       $ 104,585       $ 105,801       $ 35,298       $ 9,923       $ 2,140       $ 4,142       $ 502   

    11

   Year 3    $ 262,391       $ 104,585       $ 105,801       $ 35,298       $ 9,923       $ 2,140       $ 4,142       $ 502   
   

 

 

  

    12

   Totals    $ 787,174       $ 313,756       $ 317,402       $ 105,893       $ 29,768       $ 6,421       $ 12,427       $ 1,506   
 

Settlement Rate Case Expense

  

              
    13   Description   Total     Palo Verde     Santa Cruz     Town Division     Willow Valley     Tonopah     Buckeye     WUNS  

    14

   Recommended Amount    $ 400,000       $ 159,434       $ 161,287       $ 53,809       $ 15,127       $ 3,263       $ 6,315       $ 765   

    15

   Amortization:                

    16

   Year 1    $ 133,333       $ 53,145       $ 53,762       $ 17,936       $ 5,042       $ 1,088       $ 2,105       $ 255   

    17

   Year 2    $ 133,333       $ 53,145       $ 53,762       $ 17,936       $ 5,042       $ 1,088       $ 2,105       $ 255   

    18

   Year 3    $ 133,333       $ 53,145       $ 53,762       $ 17,936       $ 5,042       $ 1,088       $ 2,105       $ 255   
   

 

 

  

    19

   Totals    $ 400,000       $ 313,756       $ 317,402       $ 105,893       $ 29,768       $ 6,421       $ 12,427       $ 1,506   

    20

   Adjustment Total, by System    $ (129,058 )     $ (51,441 )     $ (52,038 )     $ (17,361 )     $ (4,881 )     $ (1,053 )     $ (2,037 )     $ (247 ) 
 

References:

                
 

Column (A), Company Workpapers

  

          
 

Column (B): Line 20 for respective system

  

          
 

Column (C): Line 16 for respective system

  

            

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement ADJ 4
Docket No. W-01732A-12-0315    Expense Normalizations
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #4 - EXPENSE NORMALIZATIONS

 

                            
              [A]        [B]     [C]  
  LINE           COMPANY       SETTLEMENT     SETTLEMENT  
  NO.    ACCT /DESCRIPTION      PROPOSED      ADJUSTMENTS     RECOMMENDED*  
          
 

1

    601    Salary and Wages - Employees      $ 263,312      $ (15,369 )    $ 247,943     
 

2

    620    Materials and Supplies      $ 36,002      $ (15,453 )    $ 20,549     
 

3

    630    Outside Services      $ 97,501      $ (17,749 )    $ 79,752     
 

4

    675    Miscellaneous Expenses      $ 24,563      $ (9,383 )    $ 15,180     
      

 

 

  
          $ 421,378      $ (57,954 )    $ 363,424     
    

 

          References:

  

    
    

          Column (A), Company Workpapers

  

    
    

          Column (B): Staff Testimony GWB

  

    
    

          Column (C): Column (A) + Column (B)

  

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement ADJ 5
Docket No. W-01732A-12-0315    Water Testing
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #5 - WATER TESTING EXPENSE

 

         [A]     [B]     [C]  
  LINE        COMPANY     SETTLEMENT     SETTLEMENT  
  NO.    ACCT / DESCRIPTION   PROPOSED     ADJUSTMENTS     RECOMMENDED  
        

  1

   

Contractual Services - Testing

   $ 20,993       $ (5,285 )    $ 15,708   
  

References:

      
  

Column (A), Company Workpapers

      
  

Column (B): Staff Testimony GWB

      
  

Column (C): Column (A) + Column (B)

      

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)      Settlement ADJ 6   
Docket No. W-01732A-12-0315      Depreciation   
Test Year Ended December 31, 2011   

 

OPERATING INCOME ADJUSTMENT #6 - DEPRECIATION EXPENSE

 

               [A]      [B]     [C]  
LINE    ACCT.         PLANT      DEPRECIATION     DEPRECIATION  
NO.    NO.    DESCRIPTION    BALANCE      RATE     EXPENSE  

1

   

PLANT IN SERVICE:

        

2

    303   

Land and Land Rights

      $ 18,293           0.00 %      -         

3

    304   

Structures and Improvements

      464,273           3.33 %      15,460     

4

    306   

Lake, River and Other Intakes

      -               2.50 %      -         

5

    307   

Wells and Springs

      1,623,786           3.33 %      54,072     

6

    309   

Supply Mains

      5,441           2.00 %      109     

7

    310   

Power Generation Equipment

      10,751           5.00 %      538     

8

    311   

Pumping Equipment

      537,335           12.50 %      67,167     

9

    320   

Water Treatment Equipment

      -               0.00 %      -         

10

    320.1   

Water Treatment Plant

      303,188           3.33 %      10,096     

11

    320.2   

Solution Chemical Feeders

      269,677           20.00 %      53,935     

12

    330   

Distribution Reservoirs and Standpipes

      -               0.00 %      -         

13

    330.1   

Storage Tanks

      220,751           2.22 %      4,901     

14

    330.2   

Pressure Tanks

      45,148           5.00 %      2,257     

15

    331   

Transmission and Distribution Mains

      670,561           2.00 %      13,411     

16

    333   

Services

      96,681           3.33 %      3,219     

17

    334   

Meters and Meter Installations

      533,416           8.33 %      44,434     

18

    335   

Hydrants

      47,803           2.00 %      956     

19

    336   

Backflow Prevention Devices

      1,024           6.67 %      68     

20

    339   

Other Plant and Miscellaneous Equipment

      20,318           6.67 %      1,355     

21

    340   

Office Furniture and Equipment

      22,646           6.67 %      1,510     

22

    341   

Transportation Equipment

      21,527           20.00 %      4,305     

23

    343   

Tools, Shop and Garage Equipment

      43,388           5.00 %      2,169     

24

    344   

Laboratory Equipment

      9,508           10.00 %      951     

25

    345   

Power Operated Equipment

      38,925           5.00 %      1,946     

26

    346   

Communication Equipment

      13,877           10.00 %      1,388     

27

    347   

Miscellaneous Equipment

      10,223           10.00 %      1,022     

28

    348   

Other Tangible Plant

      3,937           10.00 %      394     

29

    390   

Office Furniture & Equipment

      625           5.00 %      31     
        

 

 

       

 

 

  

30

            5,033,102             285,696     

31

      

Less: Non Depreciable Plant

        

32

      

Land and Land Rights

      18,293          
        

 

 

       

33

      

Net Depreciable Plant and Depreciation Amounts

      $         5,014,809             $ 285,696     

34

              

35

              

36

      

Amortization of CIAC

      $ -               5.6971 %      $ -         
             

 

 

  

37

      

Settlement Depreciation Expense

           $ 285,696     

38

      

Company Proposed Depreciation Expense

           $ 200,668     
             

 

 

  

39

      

Settlement Adjustment

           $ 85,029     
     

    

        
       

References:

        
   Col [A]   

Schedule B-2

        
   Col [B]   

Proposed Rates per Staff Engineering Report

        
   Col [C]   

Col [A] times Col [B]

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Global Water - Willow Valley Water Company (Willow Valley)      Settlement ADJ 7   
Docket No. W-01732A-I2-0315      Income Taxes   
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #7 - INCOME TAXES

 

          [A]      [B]      [C]  
LINE         COMPANY      SETTLEMENT      SETTLEMENT  
NO.    DESCRIPTION    PROPOSED      ADJUSTMENTS      RECOMMENDED  

1

   

Income Taxes

     $ (106,730)         $ 11,410           $ (95,321)    
     

 

 

     

 

 

     

 

 

  
   References:         
   Column (A), Company Schedule C-2         
   Column (B): Staff Testimony GWB         
   Column (C): Column (A) + Column (B),         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement ADJ 8
Docket No. W-01732A-12-0315    Property Taxes
Test Year Ended December 31, 2011   

OPERATING INCOME ADJUSTMENT #8 - PROPERTY TAX EXPENSE GRCF COMPONENT

 

         [A]          [B]  
LINE  
NO.		   DESCRIPTION    SETTLEMENT
AS ADJUSTED		         

SETTLEMENT  

RECOMMENDED  

  
1   Adjusted Test Year Revenues - 2011      $ 702,652             $ 702,652     
2   Weight Factor      2             2     
    

 

 

       

 

 

  
3   Subtotal (Line 1 * Line 2)      1,405,305             1,405,305     
4   Adjusted Test Year Revenues - 2011      702,652          
5   Recommended Revenue           1,106,925     
    

 

 

       

 

 

  
6   Subtotal (Line 4 + Line 5)      2,107,957             2,512,230     
7   Number of Years      3             3     
    

 

 

       

 

 

  
8   Three Year Average (Line 5 / Line 6)      702,652             837,410     
9   Department of Revenue Mutilplier      2             2     
    

 

 

       

 

 

  
10   Revenue Base Value (Line 7 * Line 8)      1,405,305             1,674,820     
11   Plus: 10% of CWIP      47             47     
12   Less: Net Book Value of Licensed Vehicles      340             340     
    

 

 

       

 

 

  
13   Full Cash Value (Line 10 + Line 11 - Line 12)      1,405,012             1,674,527     
14   Assessment Ratio      21.0%            21.0%    
    

 

 

       

 

 

  
15   Assessment Value (Line 13 * Line 14)      295,052             351,651     
16   Composite Property Tax Rate      11.5000%             11.5000%    
    

 

 

       

 

 

  
17   Test Year Adjusted Property Tax Expense (Line 15 * Line 16)      $ 33,931          
18   Company Proposed Property Tax      $ 33,931          
    

 

 

       
19   Test Year Adjustment (Line 17 - Line 18)      $ 0          
    

 

 

       
20   Property Tax on Recommended Revenue (Line 15 * Line 16)           $ 40,440     
21   Test Year Adjusted Property Tax Expense (Line 17)           $ 33,931     
         

 

 

  
22   Increase in Property Tax Due to Increase in Revenue Requirement           $ 6,509     
         

 

 

  
23   Increase in Property Tax Due to Increase in Revenue Requirement (Line 22)           $ 6,509     
24   Increase in Revenue Requirement           $ 404,272     
25   Increase in Property Tax Per Dollar Increase in Revenue (Line 23 / Line 24)               1.61000%    
 

REFERENCES:

Line 15: Composite Tax Rate, per Company

Line 18: Company Schedule C-1, Line 36

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement D-1
Docket No. W-01732A-12-0315   
Test Year Ended December 31, 2011   

CALCULATION OF WEIGHTED AVERAGE COST OF CAPITAL - REQUIRED RATE OF RETURN

 

     Percent of
Total		           Cost Rate          Weighted
Cost		  

Debt

      57.8%            6.1%           3.5%   

Equity            

      42.2%            9.5%           4.0%   
  

 

 

        

 

 

       

 

 

  
             

Required Rate of Return

                 7.5%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Global Water - Willow Valley Water Company (Willow Valley)    Settlement Schedule H-3
Docket No. W-01732A-12-0315    Page 1 of 2
Test Year Ended December 31, 2011   

Changes in Representative Rate Schedules

Potable Water - All Meter Sizes and Classes*

Monthly Minimum Charges;

 

     Basic Service Charge  
     Present      Proposed  
Meter Size (All Classes*)            2014      2015      2016  

5/8" X 3/4" Meter

    $ 21.12       $ 21.12       $ 26.56       $ 32.00   

3/4" Meter

      21.12         21.12         26.56         32.00   

1" Meter

      52.80         52.80         66.40         80.00   

1.5" Meter

      105.60         105.60         132.80         160.00   

2" Meter

      168.96         168.96         212.48         256.00   

3" Meter

      337.92         337.92         424.96         512.00   

4" Meter

      528.00         528.00         664.00         800.00   

6" Meter

      1,056.00         1,056.00         1,328.00         1,600.00   

6" Meter

      2,112.00         1,689.60         2,124.80         2,560.00   

Commodity Rate Charges (per 1,000 gallons):

 

     Rate Block      Volumetric Charge  
                   Present      Proposed  
        

 

 

  
     Present      Proposed             2014      2015      2016  
  

 

 

     

 

 

  

Tier One Breakover

      1,000 Gallons         1,000 Gallons         $     1.48       $     1.48       $     1.99         $     2.50   

Tier Two Breakover

      5,000 Gallons         5,000 Gallons         2.99         2.99         4.02         5.04   

Tier Three Breakover

      10,000 Gallons         10,000 Gallons         4.51         4.51         6.07         7.60   

Tier Four Breakover

      16,000 Gallons         18,000 Gallons         6.00         6.00         8.08         10.12   

Tier Five Breakover

      25,000 Gallons         25,000 Gallons         7.50         7.50         10.10         12.65   

Tier Six Breakover

      Over 25,000         Over 25,000         9.00         9.00         12.11         15.17   

Conservation Rebate

 

            Proposed  
      Present      2014      2015 and thereafter  

Threshold (“CRT”) in Gallons

      6,401          6,401          6,401    

Commodity rate rebate:

      45%         45%         50%   

(applied if consumption is below the CRT)

         

*Includes all potable water meters including irrigation meters.

 

Non-Potable Water - All Meter Sizes and Classes    Present      Proposed      Change  

All Gallons (Per Acre Foot)

      185.74         533.76         346.02   

All Gallons (Per 1,000 Gallons)

      0.57         1.64         1.07   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Settlement Schedule H-3

Page 2 of 2

 

Miscellaneous Service Charges    Present      Proposed      Change  

Establishment of Service

    $ 35.00       $ 35.00        $ -       

Establishment of Service - After Hours

      50.00         Eliminate      

Re-establishment of Service (Within 12 Months)

      (a)         (a)      

Reconnection of Service (Delinquent)

      35.00         35.00          -       

Reconnection of Service - After Hours (Delinquent)

      50.00         Eliminate      

Meter Move at Customer Request

      (b)         (b)       

After Hours Service Charge, Per Hour

      50.00         Eliminate      

After Hours Service Charge

      NA         35.00       

Deposit

      (c)         (c)       

Meter Re-Read (If Correct)

      30.00         30.00          -       

Meter Test Fee (if Correct)

      30.00         30.00          -       

NSF Check

      30.00         30.00          -       

Late Payment Charge (Per Month)

      1.50%         1.50%          0.00%   

Deferred Payment Charge (Per Month)

      1.50%         1.90%          0.00%   

 

(a) Number of Months off System times the monthly minimum per A.A.C. R14-2-403(D).
(b) Cost to include parts, labor, overhead and all applicable taxes per A.A.C R14-2-405(B)(5).
(c) Per A.A.C. R14-2-403(B).

In addition to the collection of its regular rates and charges, the company shall collect from customers their proportionate share of any privilege, sales or use tax in accordance with A.A.C. R14-2-409(D)(5).

Service Line and Meter installation Charges (Refundable Pursuant to A.A.C. R14-2-405)

 

Meter Size    Present
Service Line Charges		      Meter
Charges		      Total
Charges		      Proposed
Service Line Charges		      Meter
Charges		      Total
Charges		      Change  

5/8 X 3/4" Meter

      $445.00         $155.00         $600.00         $445.00         $155.00         $600.00         0.00 % 

    3/4" Meter

      445.00         255.00         700.00         445.00         255.00         700.00         0.00 % 

1" Meter

      495.00         315.00         810.00         495.00         315.00         810.00         0.00 % 

1 1/2" Meter

      550.00         525.00         1,075.00         550.00         525.00         1,075.00         0.00 % 

2" Turbine Meter

      830.00         1,045.00         1,875.00         830.00         1,045.00         1,875.00         0.00 % 

2" Compound Meter

      830.00         1,890.00         2,720.00         830.00         1,890.00         2,720.00         0.00 % 

3" Turbine Meter

      1,045.00         1,670.00         2,715.00         1,045.00         1,670.00         2,715.00         0.00 % 

3" Compound Meter

      1,165.00         2,545.00         3,710.00         1,165.00         2,545.00         3,710.00         0.00 % 

4" Turbine Meter

      1,490.00         2,670.00         4,160.00         1,490.00         2,670.00         4,160.00         0.00 % 

4" Compound Meter

      1,670.00         3,645.00         5,315.00         1,670.00         3,645.00         5,315.00         0.00 % 

6" Turbine Meter

      2,210.00         5,025.00         7,235.00         2,210.00         5,025.00         7,235.00         0.00 % 

6" Compound Meter

      2,330.00         6,920.00         9,250.00         2,330.00         6,920.00         9,250.00         0.00 % 

8" and Larger Meters

      Cost         Cost         Cost         Cost         Cost         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   5/8" and 3/4" Meters      All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    2500   $   24.40      $    24.40   $     -   0.0%

 

   
         Present Bill     Proposed Bill           

    Monthly 

    Consumption 

     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $ 21.12        $         -            $ 21.12       $ 21.12       $         -            $   21.12           0.0%   
  1,000        22.60         (0.67)        21.93        22.60        (0.67)        21.93           0.0%   
  2,000        25.59         (2.01)        23.58        25.59        (2.01)        23.58           0.0%   
  3,000        28.58         (3.36)        25.22        28.58        (3.36)        25.22           0.0%   
  4,000        31.57         (4.70)        26.87        31.57        (4.70)        26.87           0.0%   
  5,000        34.56         (6.05)        28.51        34.56        (6.05)        28.51           0.0%   
  6,000        39.07         (8.08)        30.99        39.07        (8.08)        30.99           0.0%   
  7,000        43.58         -             43.58        43.58        -             43.58           0.0%   
  8,000        48.09         -             48.09        48.09        -             48.09           0.0%   
  9,000        52.60         -             52.60        52.60        -             52.60           0.0%   
  10,000        57.11         -             57.11        57.11        -             57.11           0.0%   
  15,000        87.11         -             87.11        87.11        -             87.11           0.0%   
  20,000        120.11         -             120.11        120.11        -             120.11           0.0%   
  25,000        157.61         -             157.61        157.61        -             157.61           0.0%   
  50,000        382.61         -             382.61        382.61        -             382.61           0.0%   
  75,000        607.61         -             607.61        607.61        -             607.61           0.0%   
  100,000        832.61         -             832.61        832.61        -             832.61           0.0%   
  125,000        1,057.61         -             1,057.61        1,057.61        -             1,057.61           0.0%   
  150,000        1,282.61         -             1,282.61        1,282.61        -             1,282.61           0.0%   
  175,000        1,507.61         -             1,507.61        1,507.61        -             1,507.61           0.0%   
  200,000        1,732.61         -             1,732.61        1,732.61        -             1,732.61           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   5/8" and 3/4" Meters      All Classes  
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    2500   $   24.40      $    30.57   $     6.17   25.3%

 

   
         Present Bill     Proposed Bill           

    Monthly

    Consumption 

     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   21.12       $ -            $   21.12       $   26.56       $ -          $   26.56           25.8%   
  1,000        22.60         (0.67)        21.93        28.55        (1.00)        27.56           25.6%   
  2,000        25.59         (2.01)        23.58        32.57        (3.01)        29.57           25.4%   
  3,000        28.58         (3.36)        25.22        36.59        (5.02)        31.58           25.2%   
  4,000        31.57         (4.70)        26.87        40.61        (7.03)        33.59           25.0%   
  5,000        34.56         (6.05)        28.51        44.63        (9.04)        35.60           24.8%   
  6,000        39.07         (8.08)        30.99        50.70        (12.07)        38.63           24.6%   
  7,000        43.58         -             43.58        56.77        -             56.77           30.3%   
  8,000        48.09         -             48.09        62.84        -             62.84           30.7%   
  9,000        52.60         -             52.60        68.91        -             68.91           31.0%   
  10,000        57.11         -             57.11        74.98        -             74.98           31.3%   
  15,000        87.11         -             87.11        115.38        -             115.38           32.5%   
  20,000        120.11         -             120.11        159.82        -             159.82           33.1%   
  25,000        157.61         -             157.61        210.32        -             210.32           33.4%   
  50,000        382.61         -             382.61        513.07        -             513.07           34.1%   
  75,000        607.61         -             607.61        815.82        -             815.82           34.3%   
  100,000        832.61         -             832.61        1,118.57        -             1,118.57           34.3%   
  125,000        1,057.61         -             1,057.61        1,421.32        -             1,421.32           34.4%   
  150,000        1,282.61         -             1,282.61        1,724.07        -             1,724.07           34.4%   
  175,000        1,507.61         -             1,507.61        2,026.82        -             2,026.82           34.4%   
  200,000        1,732.61         -             1,732.61        2,329.57        -             2,329.57           34.5%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   5/8" and 3/4" Meters      All Classes  
      Gallons    Present Bill         

Proposed

Bill

    Increase    % Increase 

 Median Usage

    2500    $   24.40       $    37.03    $   12.63    51.8%

 

   
          Present Bill      Proposed Bill         

    Monthly 

    Consumption 

      Gross      CRT      Net      Gross      CRT      Net      Percent  
Increase  		  
     
  -           $   21.12        $     -             $   21.12        $   32.00        $     -             $     32.00         51.5%   
  1,000         22.60         (0.67)         21.93         34.50         (1.25)         33.25         51.6%   
  2,000         25.59         (2.01)         23.58         39.54         (3.77)         35.77         51.7%   
  3,000         28.58         (3.36)         25.22         44.58         (6.29)         38.29         51.8%   
  4,000         31.57         (4.70)         26.87         49.62         (8.81)         40.81         51.9%   
  5,000         34.56         (6.05)         28.51         54.66         (11.33)         43.33         52.0%   
  6,000         39.07         (8.08)         30.99         62.26         (15.13)         47.13         52.1%   
  7,000         43.58         -              43.58         69.86         -              69.86         60.3%   
  8,000         48.09         -              48.09         77.46         -              77.46         61.1%   
  9,000         52.60         -              52.60         85.06         -              85.06         61.7%   
  10,000         57.11         -              57.11         92.66         -              92.66         62.2%   
  15,000         87.11         -              87.11         143.26         -              143.26         64.5%   
  20,000         120.11         -              120.11         198.92         -              198.92         65.6%   
  25,000         157.61         -              157.61         262.17         -              262.17         66.3%   
  50,000         382.61         -              382.61         641.42         -              641.42         67.6%   
  75,000         607.61         -              607.61         1,020.67         -              1,020.67         68.0%   
  100,000         832.61         -              832.61         1,399.92         -              1,399.92         68.1%   
  125,000         1,057.61         -              1,057.61         1,779.17         -              1,779.17         68.2%   
  150,000         1,282.61         -              1,282.61         2,158.42         -              2,158.42         68.3%   
  175,000         1,507.61         -              1,507.61         2,537.67         -              2,537.67         68.3%   
  200,000         1,732.61         -              1,732.61         2,916.92         -              2,916.92         68.4%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   1" Meters                  All Classes  
      Gallons    Present Bill         

Proposed

Bill

    Increase    % Increase 

 Median Usage

    4500    $   59.37       $    59.37    $    -    0.0%

 

   
          Present Bill      Proposed Bill         

    Monthly

    Consumption 

      Gross      CRT      Net      Gross      CRT      Net      Percent  
Increase  		  
     
  -            $   52.80       $     -             $   52.80        $   52.80        $     -             $   52.80         0.0%   
  1,000         54.28         (0.67)         53.61         54.28         (0.67)         53.61         0.0%   
  2,000         57.27         (2.01)         55.26         57.27         (2.01)         55.26         0.0%   
  3,000         60.26         (3.36)         56.90         60.26         (3.36)         56.90         0.0%   
  4,000         63.25         (4.70)         58.55         63.25         (4.70)         58.55         0.0%   
  5,000         66.24         (6.05)         60.19         66.24         (6.05)         60.19         0.0%   
  6,000         70.75         (8.08)         62.67         70.75         (8.08)         62.67         0.0%   
  7,000         75.26         -              75.26         75.26         -              75.26         0.0%   
  8,000         79.77         -              79.77         79.77         -              79.77         0.0%   
  9,000         84.28         -              84.28         84.28         -              84.28         0.0%   
  10,000         88.79         -              88.79         88.79         -              88.79         0.0%   
  15,000         118.79         -              118.79         118.79         -              118.79         0.0%   
  20,000         151.79         -              151.79         151.79         -              151.79         0.0%   
  25,000         189.29         -              189.29         189.29         -              189.29         0.0%   
  50,000         414.29         -              414.29         414.29         -              414.29         0.0%   
  75,000         639.29         -              639.29         639.29         -              639.29         0.0%   
  100,000         864.29         -              864.29         864.29         -              864.29         0.0%   
  125,000         1,089.29         -              1,089.29         1,089.29         -              1,089.29         0.0%   
  150,000         1,314.29         -              1,314.29         1,314.29         -              1,314.29         0.0%   
  175,000         1,539.29         -              1,539.29         1,539.29         -              1,539.29         0.0%   
  200,000         1,764.29         -              1,764.29         1,764.29         -              1,764.29         0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   1" Meters      All Classes  
      Gallons    Present Bill          Proposed
Bill		    Increase    % Increase

Median Usage

    4500    $   59.37       $    74.43    $     15.06    25.4%

 

   
          Present Bill      Proposed Bill         

    Monthly

    Consumption 

      Gross      CRT      Net      Gross      CRT      Net      Percent  
Increase  		  
     
  -           $   52.80        $     -             $   52.80       $   66.40        $     -             $   66.40         25.8%   
  1,000         54.28         (0.67)         53.61         68.39         (1.00)         67.40         25.7%   
  2,000         57.27         (2.01)         55.26         72.41         (3.01)         69.41         25.6%   
  3,000         60.26         (3.36)         56.90         76.43         (5.02)         71.42         25.5%   
  4,000         63.25         (4.70)         58.55         80.45         (7.03)         73.43         25.4%   
  5,000         66.24         (6.05)         60.19         84.47         (9.04)         75.44         25.3%   
  6,000         70.75         (8.08)         62.67         90.54         (12.07)         78.47         25.2%   
  7,000         75.26         -              75.26         96.61         -              96.61         28.4%   
  8,000         79.77         -              79.77         102.68         -              102.68         28.7%   
  9,000         84.28         -              84.28         108.75         -              108.75         29.0%   
  10,000         88.79         -              88.79         114.82         -              114.82         29.3%   
  15,000         118.79         -              118.79         155.22         -              155.22         30.7%   
  20,000         151.79         -              151.79         199.66         -              199.66         31.5%   
  25,000         189.29         -              189.29         250.16         -              250.16         32.2%   
  50,000         414.29         -              414.29         552.91         -              552.91         33.5%   
  75,000         639.29         -              639.29         855.66         -              855.66         33.8%   
  100,000         864.29         -              864.29         1,158.41         -              1,158.41         34.0%   
  125,000         1,089.29         -              1,089.29         1,461.16         -              1,461.16         34.1%   
  150,000         1,314.29         -              1,314.29         1,763.91         -              1,763.91         34.2%   
  175,000         1,539.29         -              1,539.29         2,066.66         -              2,066.66         34.3%   
  200,000         1,764.29         -              1,764.29         2,369.41         -              2,369.41         34.3%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   1" Meters                           All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    4500   $   59.37      $    90.07   $    30.70   51.7%

 

   
         Present Bill     Proposed Bill  
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net  
     
  -           $   52.80        $         -            $   52.80       $   80.00       $         -            $   80.00   
  1,000        54.28         (0.67)        53.61        82.50        (1.25)        81.25   
  2,000        57.27         (2.01)        55.26        87.54        (3.77)        83.77   
  3,000        60.26         (3.36)        56.90        92.58        (6.29)        86.29   
  4,000        63.25         (4.70)        58.55        97.62        (8.81)        88.81   
  5,000        66.24         (6.05)        60.19        102.66        (11.33)        91.33   
  6,000        70.75         (8.08)        62.67        110.26        (15.13)        95.13   
  7,000        75.26         -             75.26        117.86        -             117.86   
  8,000        79.77         -             79.77        125.46        -             125.46   
  9,000        84.28         -             84.28        133.06        -             133.06   
  10,000        88.79         -             88.79        140.66        -             140.66   
  15,000        118.79         -             118.79        191.26        -             191.26   
  20,000        151.79         -             151.79        246.92        -             246.92   
  25,000        189.29         -             189.29        310.17        -             310.17   
  50,000        414.29         -             414.29        689.42        -             689.42   
  75,000           639.29         -                639.29        1,068.67        -             1,068.67   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   1.5" Meters                        All Classes  

 

      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    31000   $  296.09      $  296.09   $  -         0.0%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   105.60        $         -            $   105.60       $ 105.60       $         -            $   105.60           0.0%   
  1,000        107.08         (0.67)        106.41        107.08        (0.67)        106.41           0.0%   
  2,000        110.07         (2.01)        108.06        110.07        (2.01)        108.06           0.0%   
  3,000        113.06         (3.36)        109.70        113.06        (3.36)        109.70           0.0%   
  4,000        116.05         (4.70)        111.35        116.05        (4.70)        111.35           0.0%   
  5,000        119.04         (6.05)        112.99        119.04        (6.05)        112.99           0.0%   
  6,000        123.55         (8.08)        115.47        123.55        (8.08)        115.47           0.0%   
  7,000        128.06         -             128.06        128.06        -             128.06           0.0%   
  8,000        132.57         -             132.57        132.57        -             132.57           0.0%   
  9,000        137.08         -             137.08        137.08        -             137.08           0.0%   
  10,000        141.59         -             141.59        141.59        -             141.59           0.0%   
  15,000        171.59         -             171.59        171.59        -             171.59           0.0%   
  20,000        204.59         -             204.59        204.59        -             204.59           0.0%   
  25,000        242.09         -             242.09        242.09        -             242.09           0.0%   
  50,000        467.09         -             467.09        467.09        -             467.09           0.0%   
  75,000        692.09         -             692.09        692.09        -             692.09           0.0%   
  100,000        917.09         -             917.09        917.09        -             917.09           0.0%   
  125,000        1,142.09         -             1,142.09        1,142.09        -             1,142.09           0.0%   
  150,000        1,367.09         -             1,367.09        1,367.09        -             1,367.09           0.0%   
  175,000        1,592.09         -             1,592.09        1,592.09        -             1,592.09           0.0%   
  200,000        1,817.09         -             1,817.09        1,817.09        -             1,817.09           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:   1.5" Meters                        All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    31000   $  296.09      $  389.22   $    93.13   31.5%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   105.60        $         -            $   105.60       $   132.80       $         -            $   132.80           25.8%   
  1,000        107.08         (0.67)        106.41        134.79        (1.00)        133.80           25.7%   
  2,000        110.07         (2.01)        108.06        138.81        (3.01)        135.81           25.7%   
  3,000        113.06         (3.36)        109.70        142.83        (5.02)        137.82           25.6%   
  4,000        116.05         (4.70)        111.35        146.85        (7.03)        139.83           25.6%   
  5,000        119.04         (6.05)        112.99        150.87        (9.04)        141.84           25.5%   
  6,000        123.55         (8.08)        115.47        156.94        (12.07)        144.87           25.5%   
  7,000        128.06         -             128.06        163.01        -             163.01           27.3%   
  8,000        132.57         -             132.57        169.08        -             169.08           27.5%   
  9,000        137.08         -             137.08        175.15        -             175.15           27.8%   
  10,000        141.59         -             141.59        181.22        -             181.22           28.0%   
  15,000        171.59         -             171.59        221.62        -             221.62           29.2%   
  20,000        204.59         -             204.59        266.06        -             266.06           30.0%   
  25,000        242.09         -             242.09        316.56        -             316.56           30.8%   
  50,000        467.09         -             467.09        619.31        -             619.31           32.6%   
  75,000        692.09         -             692.09        922.06        -             922.06           33.2%   
  100,000        917.09         -             917.09        1,224.81        -             1,224.81           33.6%   
  125,000        1,142.09         -             1,142.09        1,527.56        -             1,527.56           33.8%   
  150,000        1,367.09         -             1,367.09        1,830.31        -             1,830.31           33.9%   
  175,000        1,592.09         -             1,592.09        2,133.06        -             2,133.06           34.0%   
  200,000        1,817.09         -             1,817.09        2,435.81        -             2,435.81           34.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   1.5" Meters                        All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

Median Usage

    31000   $  296.09      $  481.19   $    185.10   62.5%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   105.60        $         -            $   105.60       $   160.00       $         -            $   160.00           51.5%   
  1,000        107.08         (0.67)        106.41        162.50        (1.25)        161.25           51.5%   
  2,000        110.07         (2.01)        108.06        167.54        (3.77)        163.77           51.6%   
  3,000        113.06         (3.36)        109.70        172.58        (6.29)        166.29           51.6%   
  4,000        116.05         (4.70)        111.35        177.62        (8.81)        168.81           51.6%   
  5,000        119.04         (6.05)        112.99        182.66        (11.33)        171.33           51.6%   
  6,000        123.55         (8.08)        115.47        190.26        (15.13)        175.13           51.7%   
  7,000        128.06         -             128.06        197.86        -             197.86           54.5%   
  8,000        132.57         -             132.57        205.46        -             205.46           55.0%   
  9,000        137.08         -             137.08        213.06        -             213.06           55.4%   
  10,000        141.59         -             141.59        220.66        -             220.66           55.8%   
  15,000        171.59         -             171.59        271.26        -             271.26           58.1%   
  20,000        204.59         -             204.59        326.92        -             326.92           59.8%   
  25,000        242.09         -             242.09        390.17        -             390.17           61.2%   
  50,000        467.09         -             467.09        769.42        -             769.42           64.7%   
  75,000        692.09         -             692.09        1,148.67        -             1,148.67           66.0%   
  100,000        917.09         -             917.09        1,527.92        -             1,527.92           66.6%   
  125,000        1,142.09         -             1,142.09        1,907.17        -             1,907.17           67.0%   
  150,000        1,367.09         -             1,367.09        2,286.42        -             2,286.42           67.2%   
  175,000        1,592.09         -             1,592.09        2,665.67        -             2,665.67           67.4%   
  200,000        1,817.09         -             1,817.09        3,044.92        -             3,044.92           67.6%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   2" Meters                          All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase     % Increase 

Median Usage

    6500   $  180.07      $  180.07   $   -      0.0%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   168.96        $         -            $   168.96       $   168.96       $         -            $   168.96           0.0%   
  1,000        170.44         (0.67)        169.77        170.44        (0.67)        169.77           0.0%   
  2,000        173.43         (2.01)        171.42        173.43        (2.01)        171.42           0.0%   
  3,000        176.42         (3.36)        173.06        176.42        (3.36)        173.06           0.0%   
  4,000        179.41         (4.70)        174.71        179.41        (4.70)        174.71           0.0%   
  5,000        182.40         (6.05)        176.35        182.40        (6.05)        176.35           0.0%   
  6,000        186.91         (8.08)        178.83        186.91        (8.08)        178.83           0.0%   
  7,000        191.42         -             191.42        191.42        -             191.42           0.0%   
  8,000        195.93         -             195.93        195.93        -             195.93           0.0%   
  9,000        200.44         -             200.44        200.44        -             200.44           0.0%   
  10,000        204.95         -             204.95        204.95        -             204.95           0.0%   
  15,000        234.95         -             234.95        234.95        -             234.95           0.0%   
  20,000        267.95         -             267.95        267.95        -             267.95           0.0%   
  25,000        305.45         -             305.45        305.45        -             305.45           0.0%   
  50,000        530.45         -             530.45        530.45        -             530.45           0.0%   
  75,000        755.45         -             755.45        755.45        -             755.45           0.0%   
  100,000        980.45         -             980.45        980.45        -             980.45           0.0%   
  125,000        1,205.45         -             1,205.45        1,205.45        -             1,205.45           0.0%   
  150,000        1,430.45         -             1,430.45        1,430.45        -             1,430.45           0.0%   
  175,000        1,655.45         -             1,655.45        1,655.45        -             1,655.45           0.0%   
  200,000        1,880.45         -             1,880.45        1,880.45        -             1,880.45           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.     
Test Year Ended December 31, 2011     
Typical Bill Analysis     

2015

     

 

Rate Schedule:    2" Meters                    All Classes  
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    6500   $   180.07      $    226.07   $     45.99   25.5%

 

     
       Present Bill      Proposed Bill         

Monthly

Consumption

      Gross      CRT     Net      Gross      CRT     Net        Percent
  Increase 		  
     
  -             $  168.96         $        -             $  168.96         $  212.48         $        -             $  212.48           25.8%    
  1,000         170.44         (0.67 )      169.77         214.47         (1.00 )      213.48         25.7%    
  2,000         173.43         (2.01 )      171.42         218.49         (3.01 )      215.49         25.7%    
  3,000         176.42         (3.36 )      173.06         222.51         (5.02 )      217.50         25.7%    
  4,000         179.41         (4.70 )      174.71         226.53         (7.03 )      219.51         25.6%    
  5,000         182.40         (6.05 )      176.35         230.55         (9.04 )      221.52         25.6%    
  6,000         186.91         (8.08 )      178.83         236.62         (12.07 )      224.55         25.6%    
  7,000         191.42         -             191.42         242.69         -             242.69         26.8%    
  8,000         195.93         -             195.93         248.76         -             248.76         27.0%    
  9,000         200.44         -             200.44         254.83         -             254.83         27.1%    
  10,000         204.95         -             204.95         260.90         -             260.90         27.3%    
  15,000         234.95         -             234.95         301.30         -             301.30         28.2%    
  20,000         267.95         -             267.95         345.74         -             345.74         29.0%    
  25,000         305.45         -             305.45         396.24         -             396.24         29.7%    
  50,000         530.45         -             530.45         698.99         -             698.99         31.8%    
  75,000         755.45         -             755.45         1,001.74         -             1,001.74         32.6%    
  100,000         980.45         -             980.45         1,304.49         -             1,304.49         33.1%    
  125,000         1,205.45         -             1,205.45         1,607.24         -             1,607.24         33.3%    
  150,000         1,430.45         -             1,430.45         1,909.99         -             1,909.99         33.5%    
  175,000         1,655.45         -             1,655.45         2,212.74         -             2,212.74         33.7%    
  200,000         1,880.45         -             1,880.45         2,515.49         -             2,515.49         33.8%    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.     
Test Year Ended December 31, 2011     
Typical Bill Analysis     

2016

     

 

Rate Schedule:    2" Meters                    All Classes  
      Gallons    Present Bill           

Proposed

Bill

    Increase    % Increase

Median Usage

    6500    $  180.07         $  273.03    $  92.96    51.6%

 

     
       Present Bill      Proposed Bill         

Monthly

Consumption

      Gross      CRT     Net      Gross      CRT     Net      Percent
Increase		  
     
  -             $  168.96         $        -            $  168.96         $  256.00         $        -            $  256.00                 51.5%   
  1,000         170.44         (0.67 )      169.77         258.50         (1.25 )      257.25         51.5%   
  2,000         173.43         (2.01 )      171.42         263.54         (3.77 )      259.77         51.5%   
  3,000         176.42         (3.36 )      173.06         268.58         (6.29 )      262.29         51.6%   
  4,000         179.41         (4.70 )      174.71         273.62         (8.81 )      264.81         51.6%   
  5,000         182.40         (6.05 )      176.35         278.66         (11.33 )      267.33         51.6%   
  6,000         186.91         (8.08 )      178.83         286.26         (15.13 )      271.13         51.6%   
  7,000         191.42         -            191.42         293.86         -            293.86         53.5%   
  8,000         195.93         -            195.93         301.46         -            301.46         53.9%   
  9,000         200.44         -            200.44         309.06         -            309.06         54.2%   
  10,000         204.95         -            204.95         316.66         -            316.66         54.5%   
  15,000         234.95         -            234.95         367.26         -            367.26         56.3%   
  20,000         267.95         -            267.95         422.92         -            422.92         57.8%   
  25,000         305.45         -            305.45         486.17         -            486.17         59.2%   
  50,000         530.45         -            530.45         865.42         -            865.42         63.1%   
  75,000         755.45         -            755.45         1,244.67         -            1,244.67         64.8%   
  100,000         980.45         -            980.45         1,623.92         -            1,623.92         65.6%   
  125,000         1,205.45         -            1,205.45         2,003.17         -            2,003.17         66.2%   
  150,000         1,430.45         -            1,430.45         2,382.42         -            2,382.42         66.6%   
  175,000         1,655.45         -            1,655.45         2,761.67         -            2,761.67         66.8%   
  200,000         1,880.45         -            1,880.45         3,140.92         -            3,140.92         67.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Willow Valley Water Company, Inc.     
Test Year Ended December 31, 2011     
Typical Bill Analysis     

2014

     

 

Rate Schedule:    3" Meters                    All Classes  
      Gallons    Present Bill           

Proposed

Bill

    Increase    % Increase

Median Usage

    9000    $  369.40         $  369.40    $        -    0.0%

 

     
       Present Bill      Proposed Bill         

Monthly

Consumption

      Gross      CRT     Net      Gross      CRT     Net      Percent
Increase		  
     
  -             $  337.92         $        -            $  337.92         $  337.92         $        -            $  337.92                   0.0%   
  1,000         339.40         (0.67 )      338.73         339.40         (0.67 )      338.73         0.0%   
  2,000         342.39         (2.01 )      340.38         342.39         (2.01 )      340.38         0.0%   
  3,000         345.38         (3.36 )      342.02         345.38         (3.36 )      342.02         0.0%   
  4,000         348.37         (4.70 )      343.67         348.37         (4.70 )      343.67         0.0%   
  5,000         351.36         (6.05 )      345.31         351.36         (6.05 )      345.31         0.0%   
  6,000         355.87         (8.08 )      347.79         355.87         (8.08 )      347.79         0.0%   
  7,000         360.38         -            360.38         360.38         -            360.38         0.0%   
  8,000         364.89         -            364.89         364.89         -            364.89         0.0%   
  9,000         369.40         -            369.40         369.40         -            369.40         0.0%   
  10,000         373.91         -            373.91         373.91         -            373.91         0.0%   
  15,000         403.91         -            403.91         403.91         -            403.91         0.0%   
  20,000         436.91         -            436.91         436.91         -            436.91         0.0%   
  25,000         474.41         -            474.41         474.41         -            474.41         0.0%   
  50,000         699.41         -            699.41         699.41         -            699.41         0.0%   
  75,000         924.41         -            924.41         924.41         -            924.41         0.0%   
  100,000         1,149.41         -            1,149.41         1,149.41         -            1,149.41         0.0%   
  125,000         1,374.41         -            1,374.41         1,374.41         -            1,374.41         0.0%   
  150,000         1,599.41         -            1,599.41         1,599.41         -            1,599.41         0.0%   
  175,000         1,824.41         -            1,824.41         1,824.41         -            1,824.41         0.0%   
  200,000         2,049.41         -            2,049.41         2,049.41         -            2,049.41         0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.     
Test Year Ended December 31, 2011     
Typical Bill Analysis     

2015

     

 

Rate Schedule:    3" Meters                    All Classes  
      Gallons    Present Bill           

Proposed

Bill

    Increase    % Increase

Median Usage

    9000    $  369.40         $  467.31    $  97.91    26.5%

 

     
       Present Bill      Proposed Bill         

Monthly

Consumption

      Gross      CRT     Net      Gross      CRT     Net      Percent
Increase		  
     
  -             $  337.92         $        -            $  337.92         $  424.96         $        -            $  424.96                 25.8%   
  1,000         339.40         (0.67 )      338.73         426.95         (1.00 )      425.96         25.7%   
  2,000         342.39         (2.01 )      340.38         430.97         (3.01 )      427.97         25.7%   
  3,000         345.38         (3.36 )      342.02         434.99         (5.02 )      429.98         25.7%   
  4,000         348.37         (4.70 )      343.67         439.01         (7.03 )      431.99         25.7%   
  5,000         351.36         (6.05 )      345.31         443.03         (9.04 )      434.00         25.7%   
  6,000         355.87         (8.08 )      347.79         449.10         (12.07 )      437.03         25.7%   
  7,000         360.38         -            360.38         455.17         -            455.17         26.3%   
  8,000         364.89         -            364.89         461.24         -            461.24         26.4%   
  9,000         369.40         -            369.40         467.31         -            467.31         26.5%   
  10,000         373.91         -            373.91         473.38         -            473.38         26.6%   
  15,000         403.91         -            403.91         513.78         -            513.78         27.2%   
  20,000         436.91         -            436.91         558.22         -            558.22         27.8%   
  25,000         474.41         -            474.41         608.72         -            608.72         28.3%   
  50,000         699.41         -            699.41         911.47         -            911.47         30.3%   
  75,000         924.41         -            924.41         1,214.22         -            1,214.22         31.4%   
  100,000         1,149.41         -            1,149.41         1,516.97         -            1,516.97         32.0%   
  125,000         1,374.41         -            1,374.41         1,819.72         -            1,819.72         32.4%   
  150,000         1,599.41         -            1,599.41         2,122.47         -            2,122.47         32.7%   
  175,000         1,824.41         -            1,824.41         2,425.22         -            2,425.22         32.9%   
  200,000         2,049.41         -            2,049.41         2,727.97         -            2,727.97         33.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.     
Test Year Ended December 31, 2011     
Typical Bill Analysis     

2016

     

 

Rate Schedule:    3" Meters                    All Classes  
      Gallons    Present Bill           

Proposed

Bill

    Increase    % Increase

Median Usage

    9000    $  369.40         $  565.06    $  195.66    53.0%

 

     
       Present Bill      Proposed Bill         

Monthly

Consumption

      Gross      CRT     Net      Gross      CRT     Net      Percent
Increase		  
     
  -             $  337.92         $        -            $  337.92         $  512.00         $        -            $  512.00                 51.5%   
  1,000         339.40         (0.67 )      338.73         514.50         (1.25 )      513.25         51.5%   
  2,000         342.39         (2.01 )      340.38         519.54         (3.77 )      515.77         51.5%   
  3,000         345.38         (3.36 )      342.02         524.58         (6.29 )      518.29         51.5%   
  4,000         348.37         (4.70 )      343.67         529.62         (8.81 )      520.81         51.5%   
  5,000         351.36         (6.05 )      345.31         534.66         (11.33 )      523.33         51.6%   
  6,000         355.87         (8.08 )      347.79         542.26         (15.13 )      527.13         51.6%   
  7,000         360.38         -            360.38         549.86         -            549.86         52.6%   
  8,000         364.89         -            364.89         557.46         -            557.46         52.8%   
  9,000         369.40         -            369.40         565.06         -            565.06         53.0%   
  10,000         373.91         -            373.91         572.66         -            572.66         53.2%   
  15,000         403.91         -            403.91         623.26         -            623.26         54.3%   
  20,000         436.91         -            436.91         678.92         -            678.92         55.4%   
  25,000         474.41         -            474.41         742.17         -            742.17         56.4%   
  50,000         699.41         -            699.41         1,121.42         -            1,121.42         60.3%   
  75,000         924.41         -            924.41         1,500.67         -            1,500.67         62.3%   
  100,000         1,149.41         -            1,149.41         1,879.92         -            1,879.92         63.6%   
  125,000         1,374.41         -            1,374.41         2,259.17         -            2,259.17         64.4%   
  150,000         1,599.41         -            1,599.41         2,638.42         -            2,638.42         65.0%   
  175,000         1,824.41         -            1,824.41         3,017.67         -            3,017.67         65.4%   
  200,000         2,049.41         -            2,049.41         3,396.92         -            3,396.92         65.8%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:   4" Meters                          All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    5500   $   536.63      $    536.63   $     -   0.0%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   528.00        $         -            $   528.00       $   528.00       $         -            $   528.00           0.0%   
  1,000        529.48         (0.67)        528.81        529.48        (0.67)        528.81           0.0%   
  2,000        532.47         (2.01)        530.46        532.47        (2.01)        530.46           0.0%   
  3,000        535.46         (3.36)        532.10        535.46        (3.36)        532.10           0.0%   
  4,000        538.45         (4.70)        533.75        538.45        (4.70)        533.75           0.0%   
  5,000        541.44         (6.05)        535.39        541.44        (6.05)        535.39           0.0%   
  6,000        545.95         (8.08)        537.87        545.95        (8.08)        537.87           0.0%   
  7,000        550.46         -            550.46        550.46        -            550.46           0.0%   
  8,000        554.97         -            554.97        554.97        -            554.97           0.0%   
  9,000        559.48         -            559.48        559.48        -            559.48           0.0%   
  10,000        563.99         -            563.99        563.99        -            563.99           0.0%   
  15,000        593.99         -            593.99        593.99        -            593.99           0.0%   
  20,000        626.99         -            626.99        626.99        -            626.99           0.0%   
  25,000        664.49         -            664.49        664.49        -            664.49           0.0%   
  50,000        889.49         -            889.49        889.49        -            889.49           0.0%   
  75,000        1,114.49         -            1,114.49        1,114.49        -            1,114.49           0.0%   
  100,000        1,339.49         -            1,339.49        1,339.49        -            1,339.49           0.0%   
  125,000        1,564.49         -            1,564.49        1,564.49        -            1,564.49           0.0%   
  150,000        1,789.49         -            1,789.49        1,789.49        -            1,789.49           0.0%   
  175,000        2,014.49         -            2,014.49        2,014.49        -            2,014.49           0.0%   
  200,000        2,239.49         -            2,239.49        2,239.49        -            2,239.49           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:    4" Meters                          All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    5500   $   536.63      $    674.55   $     137.92   25.7%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   528.00        $         -            $   528.00       $ 664.00       $         -            $   664.00           25.8%   
  1,000        529.48         (0.67)        528.81        665.99        (1.00)        665.00           25.8%   
  2,000        532.47         (2.01)        530.46        670.01        (3.01)        667.01           25.7%   
  3,000        535.46         (3.36)        532.10        674.03        (5.02)        669.02           25.7%   
  4,000        538.45         (4.70)        533.75        678.05        (7.03)        671.03           25.7%   
  5,000        541.44         (6.05)        535.39        682.07        (9.04)        673.04           25.7%   
  6,000        545.95         (8.08)        537.87        688.14        (12.07)        676.07           25.7%   
  7,000        550.46         -             550.46        694.21        -             694.21           26.1%   
  8,000        554.97         -             554.97        700.28        -             700.28           26.2%   
  9,000        559.48         -             559.48        706.35        -             706.35           26.3%   
  10,000        563.99         -             563.99        712.42        -             712.42           26.3%   
  15,000        593.99         -             593.99        752.82        -             752.82           26.7%   
  20,000        626.99         -             626.99        797.26        -             797.26           27.2%   
  25,000        664.49         -             664.49        847.76        -             847.76           27.6%   
  50,000        889.49         -             889.49        1,150.51        -             1,150.51           29.3%   
  75,000        1,114.49         -             1,114.49        1,453.26        -             1,453.26           30.4%   
  100,000        1,339.49         -             1,339.49        1,756.01        -             1,756.01           31.1%   
  125,000        1,564.49         -             1,564.49        2,058.76        -             2,058.76           31.6%   
  150,000        1,789.49         -             1,789.49        2,361.51        -             2,361.51           32.0%   
  175,000        2,014.49         -             2,014.49        2,664.26        -             2,664.26           32.3%   
  200,000        2,239.49         -             2,239.49        2,967.01        -             2,967.01           32.5%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:    4" Meters                          All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    5500   $   536.63      $    813.23   $     276.60   51.5%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   528.00        $         -            $   528.00       $   800.00       $         -            $   800.00           51.5%   
  1,000        529.48         (0.67)        528.81        802.50        (1.25)       801.25           51.5%   
  2,000        532.47         (2.01)        530.46        807.54        (3.77)        803.77           51.5%   
  3,000        535.46         (3.36)        532.10        812.58        (6.29)        806.29           51.5%   
  4,000        538.45         (4.70)        533.75        817.62        (8.81)        808.81           51.5%   
  5,000        541.44         (6.05)        535.39        822.66        (11.33)        811.33          51.5%   
  6,000        545.95         (8.08)        537.87        830.26        (15.13)        815.13           51.5%   
  7,000        550.46         -             550.46        837.86        -             837.86           52.2%   
  8,000        554.97         -             554.97        845.46        -             845.46           52.3%   
  9,000        559.48         -             559.48        853.06        -             853.06           52.5%   
  10,000        563.99         -             563.99        860.66        -             860.66           52.6%   
  15,000        593.99         -             593.99        911.26        -             911.26           53.4%   
  20,000        626.99         -             626.99        966.92        -             966.92           54.2%   
  25,000        664.49         -             664.49        1,030.17        -             1,030.17           55.0%   
  50,000        889.49         -             889.49        1,409.42        -             1,409.42           58.5%   
  75,000        1,114.49         -             1,114.49        1,788.67        -             1,788.67           60.5%   
  100,000        1,339.49         -             1,339.49        2,167.92        -             2,167.92           61.8%   
  125,000        1,564.49         -             1,564.49        2,547.17        -             2,547.17           62.8%   
  150,000        1,789.49         -             1,789.49        2,926.42        -             2,926.42           63.5%   
  175,000        2,014.49         -             2,014.49        3,305.67        -             3,305.67           64.1%   
  200,000        2,239.49         -             2,239.49        3,684.92        -             3,684.92           64.5%   

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2014

   

 

Rate Schedule:    6" Meters                          All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    0   $  1,056.00      $  1,056.00   $      -       0.0%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   1,056.00        $         -            $   1,056.00       $   1,056.00       $         -            $   1,056.00           0.0%   
  1,000        1,057.48         (0.67)        1,056.81        1,057.48        (0.67)        1,056.81           0.0%   
  2,000        1,060.47         (2.01)        1,058.46        1,060.47        (2.01)        1,058.46           0.0%   
  3,000        1,063.46         (3.36)        1,060.10        1,063.46        (3.36)        1,060.10           0.0%   
  4,000        1,066.45         (4.70)        1,061.75        1,066.45        (4.70)        1,061.75           0.0%   
  5,000        1,069.44         (6.05)        1,063.39        1,069.44        (6.05)        1,063.39           0.0%   
  6,000        1,073.95         (8.08)        1,065.87        1,073.95        (8.08)        1,065.87           0.0%   
  7,000        1,078.46         -             1,078.46        1,078.46        -             1,078.46           0.0%   
  8,000        1,082.97         -             1,082.97        1,082.97        -             1,082.97           0.0%   
  9,000        1,087.48         -             1,087.48        1,087.48        -             1,087.48           0.0%   
  10,000        1,091.99         -             1,091.99        1,091.99        -             1,091.99           0.0%   
  15,000        1,121.99         -             1,121.99        1,121.99        -             1,121.99           0.0%   
  20,000        1,154.99         -             1,154.99        1,154.99        -             1,154.99           0.0%   
  25,000        1,192.49         -             1,192.49        1,192.49        -             1,192.49           0.0%   
  50,000        1,417.49         -             1,417.49        1,417.49        -             1,417.49           0.0%   
  75,000        1,642.49         -             1,642.49        1,642.49        -             1,642.49           0.0%   
  100,000        1,867.49         -             1,867.49        1,867.49        -             1,867.49           0.0%   
  125,000        2,092.49         -             2,092.49        2,092.49        -             2,092.49           0.0%   
  150,000        2,317.49         -             2,317.49        2,317.49        -             2,317.49           0.0%   
  175,000        2,542.49         -             2,542.49        2,542.49        -             2,542.49           0.0%   
  200,000        2,767.49         -             2,767.49        2,767.49        -             2,767.49           0.0%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2015

   

 

Rate Schedule:    6" Meters                          All Classes   
      Gallons   Present Bill        

Proposed

Bill

   Increase   % Increase 

 Median Usage

    0   $   1,056.00      $   1,328.00   $     272.00   25.8%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -            $   1,056.00        $         -            $   1,056.00       $   1,328.00       $         -            $   1,328.00           25.8%   
  1,000        1,057.48         (0.67)        1,056.81        1,329.99        (1.00)        1,329.00           25.8%   
  2,000        1,060.47         (2.01)        1,058.46        1,334.01        (3.01)        1,331.01           25.7%   
  3,000        1,063.46         (3.36)        1,060.10        1,338.03        (5.02)        1,333.02           25.7%   
  4,000        1,066.45         (4.70)        1,061.75        1,342.05        (7.03)        1,335.03           25.7%   
  5,000        1,069.44         (6.05)        1,063.39        1,346.07        (9.04)        1,337.04           25.7%   
  6,000        1,073.95         (8.08)        1,065.87        1,352.14        (12.07)        1,340.07           25.7%   
  7,000        1,078.46         -             1,078.46        1,358.21        -             1,358.21           25.9%   
  8,000        1,082.97         -             1,082.97        1,364.28        -             1,364.28           26.0%   
  9,000        1,087.48         -             1,087.48        1,370.35        -             1,370.35           26.0%   
  10,000        1,091.99         -             1,091.99        1,376.42        -             1,376.42           26.0%   
  15,000        1,121.99         -             1,121.99        1,416.82        -             1,416.82           26.3%   
  20,000        1,154.99         -             1,154.99        1,461.26        -             1,461.26           26.5%   
  25,000        1,192.49         -             1,192.49        1,511.76        -             1,511.76           26.8%   
  50,000        1,417.49         -             1,417.49        1,814.51        -             1,814.51           28.0%   
  75,000        1,642.49         -             1,642.49        2,117.26        -             2,117.26           28.9%   
  100,000        1,867.49         -             1,867.49        2,420.01        -             2,420.01           29.6%   
  125,000        2,092.49         -             2,092.49        2,722.76        -             2,722.76           30.1%   
  150,000        2,317.49         -             2,317.49        3,025.51        -             3,025.51           30.6%   
  175,000        2,542.49         -             2,542.49        3,328.26        -             3,328.26           30.9%   
  200,000        2,767.49         -             2,767.49        3,631.01        -             3,631.01           31.2%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

Willow Valley Water Company, Inc.   

Test Year Ended December 31, 2011

   

Typical Bill Analysis

   

2016

   

 

Rate Schedule:   6" Meters                          All Classes   
      Gallons   Present Bill         Proposed Bill   Increase   % Increase 

Median Usage

    0   $   1,056.00      $   1,600.00   $     544.00   51.5%

 

   
         Present Bill     Proposed Bill           
    Monthly 
    Consumption 		     Gross      CRT     Net     Gross     CRT     Net        Percent  
Increase  		  
     
  -           $   1,056.00        $         -         $   1,056.00       $   1,600.00       $         -           $   1,600.00           51.5%   
  1,000        1,057.48         (0.67)        1,056.81        1,602.50        (1.25)        1,601.25           51.5%   
  2,000        1,060.47         (2.01)        1,058.46        1,607.54        (3.77)        1,603.77           51.5%   
  3,000        1,063.46         (3.36)        1,060.10        1,612.58        (6.29)        1,606.29           51.5%   
  4,000        1,066.45         (4.70)        1,061.75        1,617.62        (8.81)        1,608.81           51.5%   
  5,000        1,069.44         (6.05)        1,063.39        1,622.66        (11.33)        1,611.33           51.5%   
  6,000        1,073.95         (8.08)        1,065.87        1,630.26        (15.13)        1,615.13           51.5%   
  7,000        1,078.46         -             1,078.46        1,637.86        -             1,637.86           51.9%   
  8,000        1,082.97         -             1,082.97        1,645.46        -             1,645.46           51.9%   
  9,000        1,087.48         -             1,087.48        1,653.06        -             1,653.06           52.0%   
  10,000        1,091.99         -             1,091.99        1,660.66        -             1,660.66           52.1%   
  15,000        1,121.99         -             1,121.99        1,711.26        -             1,711.26           52.5%   
  20,000        1,154.99         -             1,154.99        1,766.92        -             1,766.92           53.0%   
  25,000        1,192.49         -             1,192.49        1,830.17        -             1,830.17           53.5%   
  50,000        1,417.49         -             1,417.49        2,209.42        -             2,209.42           55.9%   
  75,000        1,642.49         -             1,642.49        2,588.67        -             2,588.67           57.6%   
  100,000        1,867.49         -             1,867.49        2,967.92        -             2,967.92           58.9%   
  125,000        2,092.49         -             2,092.49        3,347.17        -             3,347.17           60.0%   
  150,000        2,317.49         -             2,317.49        3,726.42        -             3,726.42           60.8%   
  175,000        2,542.49         -             2,542.49        4,105.67        -             4,105.67           61.5%   
  200,000        2,767.49         -             2,767.49        4,484.92        -             4,484.92           62.1%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT  B

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Attachment B

List of ICFA or ICFA Type Agreements

 

Builder/Owner/GW Reference         Party(ies) to agreement    Date of
Execution		         Recordation Number

Fulton Homes

      Fulton Homes    1/20/2004      CC&R

Maracay

        Maracay    2/9/2004        CC&R

Centex

        Centex    2/9/2004        CC&R

Hacienda

        Hacienda    1/26/2004        CC&R

Engle

        Engle    1/26/2004        CC&R

Engle

        Engle    1/26/2004        CC&R

Engle

        Engle    10/28/2003        CC&R

Centex

        Centex    1/26/2004        CC&R

Ryland

        Ryland    10/28/2003        CC&R

Hacienda

        Hacienda    1/26/2004        CC&R

Hacienda

        Hacienda    1/27/2004        CC&R

Avante

        Avante    10/28/2003        CC&R

Brown

        Brown    1/30/2004        CC&R

Brown

        Brown    1/30/2004        CC&R

Ryland

        Ryland    10/28/2003        CC&R

Avante

        Avante    10/28/2003        CC&R

Meritage/Hacienda Homes

        Pecan Valley Investments, LLC    1/28/2004        2004-036883

Engle Homes

        Rio Verde/Munich 640, LLC    1/28/2004        2004-036882

DR Horton

        Homestead Village North, LLC    1/28/2004        2004-036880

Standard Pacific

        Homestead Village South, LLC    1/28/2004        2004-036884

Performance Construction

        Santa Rosa Development, Inc.    1/28/2004        2004-036885

Newport Holdings, Inc.

        Newport Holdings, Inc.    1/28/2004        2004-036886

Elliott

        Elliott Homes, Inc.    1/28/2004        2004-036881

Chandler Boys Ventures, LLC

(small commercial)

        Chandler Boys Ventures, LLC ; Edison Road
Development, LLC		    1/28/2004         

Neely

        Pitaco Farms Limited Partnership    7/1/2004        2004-069865

Neely

        Pitaco Farms Limited Partnership    7/1/2004        2004-069866

Neely

        Pitaco Farms Limited Partnership    7/1/2004        2004-069867

Neely

        Pitaco Farms Limited Partnership    7/1/2004        2004-069868

Commercial

        JNAN, LLC    7/1/2004        2004-069869

Shea Homes

        JNAN, LLC    7/1/2004        2004-069870

Lennar

        Mace Holdings, LLC    7/23/2004        2004-069871

WestPac

        Maricopa 400, LLC    7/23/2004        2004-069874

WestPac

        Maricopa 32, LLC    7/23/2004        2004-069875

Cook/El Dorado, LLC

        Cook/El Dorado, LLC    7/23/2004        2004-069878

Little/El Dorado, LLC

        Little/El Dorado, LLC    7/23/2004        2004-069880

Paul Gore

        William P. Gore and Margie L. Gore    7/23/2004        2004-069876

Ray Christrian

        L&R Contracting, Inc. and Trap King, LLLP,
and Sue Flores and Pro Active Remarketing,
LLC and Sean Aldous and Guy Gedeon		    7/15/2004        2004-069863

Western Pinal

        Western Pinal Industrial Park, LLC    7/23/2004        2004-069877

Maricopa-Casa Grande Hwy 813

        Maricopa-Casa Grande Highway, LLC    7/23/2004        2004-069879

W half of Sec 10 T5S R4E

        Kruse Farms    7/21/2004        2004-069864

SWQ Sec 4 T5S R4E

        Maricopa 240, LLC    7/28/2004        2004-069873

SWQ and SEQ of NWQ

        Desert Sunrise, LLC    7/23/2004        2004-069872

Hallcraft Homes

        Bera Ventures, LLC; DAC Maricopa
Investment, LLC; JJD Development LLC;
Maricopa Investment Group LLC;
Jacob/McCaslin/Eden LLC; Mesquite
Groves LLC		    7/2/2004        2004-069881

MAL, LLC (Bill Lund)/Westpac

        MAL, LLC    5/17/2005        2005-060416

Trend Homes, Inc. /Westpac

        Trend Homes, Inc.    5/17/2005        2005-060408

 

                                     1      DECISION NO.      74364           

DOCKET NO. W-01212A-12-0309 ET AL.

 

Attachment B

List of ICFA or ICFA Type Agreements

 

Builder/Owner/GW Reference         Party(ies) to agreement    Date of
Execution		          Recordation Number

Amarillo Creek Unit 1 / Shea Homes

      Amarillo Creek South, LLC and Desert
Cedars, LLC		    5/17/2005       2005-060422

Amarillo Creek South, LLC and Desert

Cedars, LLC

        Amarillo Creek South, LLC and Desert
Cedars, LLC		    5/17/2005         2005-060421

CHI Construction Company

        CHI Construction Company    5/17/2005         2005-060411

HAM Maricopa, L.L.C.

        HAM Maricopa, L.L.C.    3/30/2005         2005-106216

HAM Papago, L.L.C.

        HAM Papago, LLC    3/30/2005         2005-106214

HAM-Mesa, L.L.C.

        HAM-Mesa, LLC    3/30/2005         2005-106217

Pecan Woods, LLC

        Pecan Woods, LLC    5/17/2005         2005-060414

Terrazo/Miller & White 815, LLC

        Miller & White 812, LLP    5/17/2005         2005-060413

HAM Maricopa, L.L.C./HAM

Queen Creek, LLC

        HAM Maricopa, LLC, HAM

Queen Creek, LLC

    3/30/2005         2005-106213

HAMs and Trusts

        Various    3/30/2005         2005-106215

Hidden Valley Ranch 1, LLC

        Hidden Valley Ranch I, LLC    3/30/2005         2005-060419

Hidden Valley Ranch 2, LLC

        Hidden Valley Ranch II, LLC    3/30/2005         2005-060420

Dennis & Carolyn Peed

        Dennis M. Peed and Carolyn Peed    5/17/2005         2005-060409

RJ2, LLC / Maricopa Opus

        NF 26 Land, LLC    5/17/2005         2005-060412

Vineyards, LLC

        Vineyards, LLC    5/17/2005         2005-060410

RAJAC Dev Real Estate Partners, LLC

        RAJACDEV Real Estate Partners, LLC    5/17/2005         2005-060415

Stanfield Holdings, LLC

        Stanfield Holdings, LLC    5/17/2005         2005-060418

Langley Farms

        Langley Farms Investments, LLC    5/17/2005         2005-060417

Pinal 347

        Pinal 347, LLC    5/17/2005         2005-064326

Lennar Communities

        Lennar Communities    10/27/2003         2005-090252

Desert Cedars/Alterra

        Desert Cedars Equities    7/6/2005         2005-090252

Red Valley

        Red Valley Investments, LLC    7/15/2005         2005-106212

Pulte Home

        DR Horton-Dietz Crane and Pulte Home
Corporation		    7/15/2005         2005-099210

KB Homes

        KB Home Phoenix, Inc.    7/15/2005         2005-090248

McDavid Office Park

        McDavid Business Park, LLC    7/15/2005         2005-099211

Vistoso

        Marathon Farming Investments, LLC and
Craig D. Scott and Linda J. Scott		    7/15/2005         2005-090250
         ABCDW, LLC    7/21/2005         2005-090249
         Torrey Pines Development, LLC    7/21/2005         2005-090253

Maricopa Meadows, LLC

        Maricopa Meadows, LLC .    12/3/2004         MUA

Maricopa Meadows, LLC

        Maricopa Meadows, LLC    12/3/2004         MUA

Maricopa Meadows, LLC

        Maricopa Meadows, LLC    12/3/2004         MUA

Land Solutions Maricopa LLC

        Land Solutions Maricopa LLC    10/15/2003         MUA

Cottonwood Land Group VIII, LLC

        Cottonwood Land Group VIII, LLC    3/16/2004         MUA

Omega/Murphy Land

        Omega/Murphy Land    9/20/2005         2005-124524

Carranza Associates / Turner Dunn

        Carranza Associates, LLC    12/28/2005         2006-022169

Stanfield Estates / Turner Dunn

        GKH Limited L.P. and East PAC, LLC and
Loren Huweiler		    12/28/2005         2006-022196

Dart Property / Terry Button

        Dart Properties, LLC    12/28/2005         2006-022197

Santa Cruz Land Co / Santa Cruz

Ranch / Anderson Val Vista 6

        Anderson & Val Vista 6, LLC   

12/28/2005

        

2006-022198

SCR, LLC / Scott Cole & Bryan Hartman

        SCR, LLC    12/28/2005         2006-022199

JP Holdings LP / Solana Ranch North

        JP Holdings Limited Partnership    12/28/2005         2006-022191

 

                                     2      DECISION NO.      74364           

DOCKET NO. W-01212A-12-0309 ET AL.

 

Attachment B

List of ICFA or ICFA Type Agreements

 

Builder/Owner/GW Reference         Party(ies) to agreement   Date of
Execution		         Recordation Number

Anderson & Barnes 580 LLP /

Solana Ranch South

      Anderson and Barnes 580, LLP   12/28/2005      2006-022193

120 Townsend (Yount)

        120 Townsend, LLC   12/28/2005        2006-022187

NS120 (Yount)

        NS 120 Limited Partnership   12/28/2005        2006-022175

Montgomery 156 (Yount)

        Montgomery 156 Limited Partnership LLLP   12/28/2005        2006-022179

CG 215 (Yount)

        CG 215 Limited Partnership LLLP   12/28/2005        2006-022188

Casa Grande Montgomery 240 (Yount)

        Casa Grande Montgomery 240 Limited
Partnership LLLP		   12/28/2005        2006-022177

RRY Casa Grande 320 (Yount)

        RRY Casa Grande 320 Limited Partnership
LLLP		   12/28/2005        2006-022180

SVVM 80 (Yount)

        SVVM 80 Limited Partnership LLLP   12/28/2005        2006-022181

VV Monty (Yount)

        VV Monty LLC   12/28/2005        2006-022176

RRY Real Estate (Yount)

        RRY Real Estate LLC   12/28/2005        2006-022182

Robin R Yount LTD (Yount)

        Robin R. Yount, LTD   12/28/2005        2006-022189

Richard and Dana (Yount)

        Richard and Dana, LLC   12/28/2005        2006-022186

Bruce and Karen (Yount)

        Bruce and Karen, LLC   12/28/2005        2006-022185

Sacaton BL (Yount)

        Sacaton BL, LLC   12/28/2005        2006-022178

Trading Post Road LLC (Yount)

        Trading Post Road, LLC and SLW
Associates LP		   12/28/2005        2006-022183

Chartwell Casa Grande (Yount)

        Chartwell Casa Grande 40, LLC   12/28/2005        2006-022184

Polich - Non Pulte

        Gallup Financial, LLC   12/28/2005        2006-022194

Polich - Pulte

        Gallup Financial, LLC   12/28/2005        2006-022192

CRW Holdings, LLC (Mark Williams)

        CRW Holdings I, LLC   12/28/2005        2006-022203

Val Vista & Montgomery (Mark Williams)

        Val Vista & Montgomery, LLC   12/28/2005        2006-022202

Williams Trusts (Mark Williams)

        Williams Family Revocable Trust, UTA and
Lora G. Williams Special Trust, UTA and
Lora A. Williams Trust, UTA and Mark C.
Williams Revocable Trust, UTA		   12/28/2005        2006-022173

Blevins

        Brian Blevins and Jessica Blevins   12/28/2005        2006-022201

Kronwald Family Trust

        Michael Nothum, Jr. Children’s Irrevocable
Trust I and Carol Kronwald Children’s
Irrevocable Trust I		   12/28/2005        2006-022205

Henry McMillan and Alexander McMillan

        Henry McMillan and Alexander McMillan   12/28/2005        2006-022200

Teel 80 (Reinbold)

        Teel 80, LLC   12/28/2005        2006-022195

Ken Lowman

        KEJE Group, LLC   12/28/2005        2006-022204

Tim Nyberg / Hampden and Chambers

        Hampden and Chambers, LLC and
Bevnorm Olive, LLC		   12/28/2005        2006-022190

ROB-LIN Marketing (Vistoso)

        ROB-LIN Marketing, Inc.   10/13/2008        2008-098153

Vistoso Partners / Jorde Hacienda

        Jorde Hacienda, Inc.   10/13/2008        2008-098154

ABCDW, LLC (Vistoso Stanfield 1942)

        ABCDW, LLC   10/13/2008        2008-098151

Vanderbilt Farms, LLC (Thude/Vistoso)

        Vanderbilt Farms, LLC and ABCDW, LLC   10/13/2008        2008-098152

Langley Stanfield Estates (Hay Hollow)

        Langley Stanfield Estates, LLC   12/28/2005        2006-022209

Langley Properties Stanmar 160)

        Langley Stanmar 160, LLC and Robinson
Family Farms, LLC		   12/28/2005        2006-022208

 

                                     3      DECISION NO.      74364           

DOCKET NO. W-01212A-12-0309 ET AL.

 

Attachment B

List of ICFA or ICFA Type Agreements

 

Builder/Owner/GW Reference         Party(ies) to agreement   Date of
Execution		         Recordation Number

Langley Properties (CCB

Standfield Estates)

      CCB Stanfield Estates, LLC   12/28/2005      2006-022207

Matt Montgomery/SPD, INC

        Matt Montgomery/SPD, INC, Tom-T, L.L.C.,
T & T Farms, L.L.C., and TTTT Farms,		   6/6/2005        Not recorded

El Dorado: Parker Estates

        Parker Estates, LLC   12/28/2005        2006-022206

El Dorado: Hondo 640

        Hondo 640, LLC   12/28/2005        2006-022170

El Dorado: Rio Lobo, LLC

        Rio Lobo, LLC   12/28/2005        2006-022174

Terbus Investments

        Terbus Investments, LLC   12/28/2005        2006-022172

Douqlas Payne

        Douglas Payne   12/28/2005        2006-022171

Ari D’Jong / Vistoso

        ABCDW, LLC and De Jon Arie H. Family
Trust Dated and Millar Charles & Ide
Daniel William and Milky Way Dairy, LLC		   7/21/2006        2007-068432

JEKE Group (NW parcel)

        Wildcat Capital Manager, Inc.   7/21/2006        2007-068435

Southern Dunes

        Southern Dunes Golf Club, Inc.   7/21/2006        2006-138949

Hogenes Dairy

        Hogenes Farms Limited Partnership   7/21/2006        2006-132111

TOTTR (JCON)

        TOTRR Corp. and Redwood Financial Ltd.,
Profit Sharing Plan & Trust Rollover Dated
December 31, 2003		   7/21/2006        2006-138243
         J-Con Development, Inc and Redwood
Financial Ltd., Profit Sharing Plan & Trust,
dated January 1, 1998, The Dale M. and
Wanda S. Micetic Family Trust dated 5-29-
1996		   7/21/2006        2007-025647

Redfield

        Redfield Financial, Inc. and Redfield
Financial Partners IV, LLC and Redfield
Financial Partners II, LLC		   7/21/2006        2007-068438

Sunset Mountain Dev. Group

        Sunset Mountain Development Group, LLC   7/21/2006        2006-139522

Maracay Homes

        Maracay Homes Arizona I, LLC   7/21/2006        2007-068437

Kelly Anderson

        Anderson Palmisano Farms   7/21/2006        2007-068433

Eagle Shadow

        Eagle Shadow South East, LLC   7/21/2006        2006-132115

Hartman Ranch

        Hartman Ranch, LLC and Cole Maricopa
193, LLC and Philip McD Hartman &
Shirley Ann Hartman as Co-Trustees of the
Philip McD and Shirley Ann Hartman Trust
Dated June 15, 2004		   7/21/2006        2006-132119

Legacy Charter School at San Travasa

        Redfield Ring, LLC   7/20/2006        2006-132124

San Travasa

        John E. Smith & Mary Lou Smith and The
Smith Family Irrevocable Trust dated
June 23,1989 and The John and Mary Lout Smith
Family Trust dated April 29, 2002		   7/21/2006        2006-132125
         Central Arizona College (CAC)   8/17/2011        2011-075658

HBE Farms

        Rudolph Lee Echeverria & Helen Biehn
Echeverria		   7/21/2006        2006-132121

Chris Whitt

        Chris Whitt   7/21/2006        2006-139523

Brian Stevenson

        Brian R. Stevenson   7/21/2006        2007-068436

KSK Land Ventures (Geddes)

        KSK Land Ventures, LLC   7/21/2006        2006-132117

Nicholas Toronto

        Nicholas J. Toronto & Colette Ann Toronto
and NSB Investments, LLC		   7/21/2006        2007-046079

Quassey Holdings

        Quassey Holdings, LLC   7/21/2006        2006-132116

Ivett Aviles

        Ivett O. Aviles   7/21/2006        2006-132122

Dana Byron

        Dana B. Byron   7/21/2006        2006-132114

 

                                     4      DECISION NO.      74364           

DOCKET NO. W-01212A-12-0309 ET AL.

 

Attachment B

List of ICFA or ICFA Type Agreements

 

Builder/Owner/GW Reference        Party(ies) to agreement   Date of
Execution		         Recordation Number

Byron/Tse

     Dana B. Byron & Maritza Tse   7/21/2006      2007-027768

Dana Byron

       Dana B. Byron   7/21/2006        2006-132113

Byron/Maccllum

       Dana B. Byron & Jamie Maccallum   7/21/2006        2007-027767

Walton Cactus Springs

       Walton Cactus Springs Limited Partnership   7/21/2006        2006-132126

Beauchene LP (Ray Christian)

       Kino Trails, LLC   7/21/2006        2006-132120

Gene Montemore

       Montemore Family Revocable Trust   7/21/2006        2007-016473

Redfield Financial Partners V

       Redfield Financial Partners V, LLC   7/21/2006        2006-132129

Rio Blanco

       Rio Blanco, LLC   7/21/2006        2006-138242

Redfield Financial

       Redfield Financial Partners VII, LLC   7/21/2006        2007-018719

Cando Ranch

       Cando Ranch, LLC   7/21/2006        2007-068434

Ray Morrow

       Ray Morrow   7/21/2006        2006-141209

K Investment Enterprises

       K. Investment Enterprises, LLC   7/21/2006        2006-132112

Redfield Ring

       Redfield Ring, LLC   7/21/2006        2006-132124

Redfield Financial

       Redfield Financial, Inc.   7/21/2006        2006-132123

DYE Equities

       Dye Equities, LLC   7/21/2006        2006-132128

Kevin Norby

       Kevin G. Norby, LLC   7/21/2006        2006-132127

NF 26 Land

       NF 26 Land, LLC   7/21/2006        2006-132118

Midway

       ABCDW, LLC and Bernadette Wolfswinkel
and Grace Holdings, LLC and Vanderbilt
Farms, LLC and Sarival Holdings, LLC and
New Meridian SPE, LLC and Verde Grande
Commercial Building, LLC		   10/13/2008        2008-098150

La Osa

       ABDCE, LLC and Torry Pines Development,
LLC and Riggs/Queen Creek 480, LLC and
Ellsworth Road 160, LLC and Vanderbilt
Farms, LLC and Irvine Land Partners, LLC		   10/13/2008        2008-098149

Citrus Orchards

       The Orchard at Picacho, LLC   1/8/2008        2008-004128

Hassayampa Ranch

       Hassayampa Ranch Ventures, LLC   6/24/2005        2008-0913586

Silver Water/Springs Ranch (Vegas)

       Sierra Negra Ranch, LLC   7/10/2006        2006-0939440

Copperleaf Development

       First American Title Insurance Company   7/10/2006        2006-0939366

I10-339th

       339th & I-10, LLC   5/20/2008        2008-0679693

Belmont

       Various   12/20/2007        2008-0061205

 

                                     5      DECISION NO.      74364           

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

TABLE  I

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
 

FIGURE 15

   

SIB PLANT TABLE 1 – GORDON DRIVE (2014)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Pace 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   309

Supply

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Supply mains not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
                     
                                         
     

Estimated Total Cost

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM

SIB PLANT TABLE I – GORDON DRIVE (2014)

Information to be included with SIB-Eligible Project Notification

 

    NARUC

Acct No.

(SIB-
eligible

plant)

   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.

   331

T&D

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost

(by NARUC
Acct No)

   Estimated
Cost
(by project)		  
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         

1    

   331   1,626   6   PVC   $66.96   Gordon Drive   2014       $108,876  

Install approximately 1,626 LF of 6-inch water main that will replace the existing water main that is constructed of 4 inch Asbestos Cement (AC) pipe. Also, 4 new valves will be installed at appropriate locations as to provide adequate system isolation when necessary. There have been seven recorded main line breaks on this section of water main over the last three years.

                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
     

Estimated Total Cost

 

   $108,876

 

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – GORDON DRIVE (2014)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC  

Acct No.
(SIB-
eligible
plant)

   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.*

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   333

Service

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

       Expected

In-Service

Date

   Estimated

Subtotal

Cost

(by NARUC

Acct No)

   Estimated

Subtotal

Cost

(by project)

  
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       
                       

1

 

   333

 

   47

 

   1-inch

 

   Copper

 

   $2,099

 

   Gordon Drive

 

   2014

 

       $98,674

 

  

 

Install approximately 6,078 LF of 1” copper services lines to 47 service connections for this project.

 

                     

 

2

 

                                        
                     

 

3

 

                                        
                     

 

4

 

                                        
                     

 

5

 

                                        
                     

 

6

 

                                        
                     

 

7

 

                                        
                     

 

8

 

                                        
                     

 

9

 

                                        

Estimated Total Cost

 

   $98,674

 

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE 1 – GORDON DRIVE (2014)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)
(SIB-eligible plant)		   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related Page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   334

Meters

   Pipe length/
Quantity		   Diameter/

Size

   Material   installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost
(by project)		  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

Meters not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
                     
                                         
     

Estimated Total Cost

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM

SIB PLANT TABLE I – GORDON DRIVE (2014)

Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)  

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project  

No.  

   335  

Hydrants  

   Pipe length/  

Quantity  

   Diameter/

Size  

   Material     Installed  

Cost/Unit  

(estimated)  

       Expected  

In-Service  

Date  

   Estimated  
Subtotal  

Cost  

(by NARUC  
Acct No)  

   Estimated  
Subtotal  

Cost  

(by project)  

  
                                       
                                       
                                       
                                       
                                       
                                       
                                       
                                       
                                       
                                       
    1       335   2   5-1/4 inch   Cast Iron   $1,970   Gordon Drive   2014       $3,941  

Install approximately two new fire hydrants to replace the existing hydrants that are not up to current standards and specifications.

                     

    2    

 

                                        
                     

    3    

 

                                        
                     

    4    

 

                                        
                     

    5    

 

                                        
                     

    6    

 

                                        
                     

    7    

 

                                        

Estimated Total Cost

 

   $3,941

 

 

 

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
 

FIGURE 16

    SIB PLANT TABLE 1 – CLEARVIEW DR (2015)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant) (SIB-eligible plant)   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project

No.

   309

Supply

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost

(by NARUC
Acct No)

   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

    1    

 

                                      

 

Supply mains not included in this project

 

    2    

 

                                        

    3    

 

                                        

    4    

 

                                        

    5    

 

                                        

    6    

 

                                        

    7    

 

                                        
                     
                                         
     

Estimated Total Cost

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
     SIB PLANT TABLE I – CLEARVIEW DR (2015)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC

Acct No.

(SIB-
eligible

plant)

   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   331

T&D

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Cost
(by project)		  
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         

1

   331   1,805   6   PVC   $60.99   Clearview Drive   2015       $110,103  

Install approximately 1,805 LF of 6-inch water main that will replace the existing water main that is constructed of 4 inch Asbestos Cement (AC) pipe. Also, 3 new valves will be installed at appropriate locations as to provide adequate system isolation when necessary. There was one recorded main line break on this section of water main recorded in the year 2013.

                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
     

Estimated Total Cost

 

   $110,103

 

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
     SIB PLANT TABLE I – CLEARVIEW DR (2015)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC

Acct No.

(SIB-
eligible

plant)

   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project

No.

   333

Service

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost
(by project)		  
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         

 

1

 

   333   48   1-inch   Copper   $1,269   Clearview Drive   2015       $60,919  

Install approximately 4,647 LF of I” copper services lines to 48 service connections for this project.

 

2

 

                                        

 

3

 

                                        

 

4

 

                                        

 

5

 

                                        

 

6

 

                                        

 

7

 

                                        

 

8

 

                                        

 

9

 

                                        
     

Estimated Total Cost

 

   $60,919

 

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
     SIB PLANT TABLE I – CLEARVIEW DR (2015)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant) (SIB-eligible plant)   Site

(location description)

   Replacement Plant   

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related Page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project

No.

   334

Meters

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost

(by NARUC
Acct No)

   Estimated
Subtotal
Cost
(by project)		   
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      

1

 

                                       

Meters not included in this project

 

2

 

                                         

3

 

                                         

4

 

                                         

5

 

                                         

6

 

                                         

7

 

                                         
                     
                                          
     

Estimated Total Cost

 

         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM

SIB PLANT TABLE I – CLEARVIEW DR (2015)

Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority; Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers; reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project  

No.  

   335  

Hydrants  

   Pipe  
length/Quantity  		   Diameter/  

Size  

   Material     Installed  

Cost/Unit  

(estimated)  

       Expected  

In-Service  

Date  

   Estimated  
Subtotal  

Cost  

(by NARUC  
Acct No)  

   Estimated  
Subtotal  

Cost  

(by project)  

  
                                       
                                       
                                       
                                       
                                       
                     

1

 

                                      

Hydrants not included in this project

 

                     

2

 

                                        
                     

3

 

                                        
                     

4

 

                                        
                     

5

 

                                        
                     

6

 

                                        
                     

7

 

                                        
     

Estimated Total Cost

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
 

FIGURE 17

    SIB PLANT TABLE I – A STREET (2016)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant) (SIB-eligible plant)   Site

(location description)

   Replacement Plant   

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related Page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project  

No.  

   309

Supply

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost

(by NARUC
Acct No)

   Estimated
Subtotal
Cost
(by project)		   
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      
                      

1

 

                                       

Supply Mains not included in this project

 

2

 

                                         

3

 

                                         

4

 

                                         

5

 

                                         

6

 

                                         
                     
                                          
     

Estimated Total Cost

 

         

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
     SIB PLANT TABLE I – A STREET (2016)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

Project  

No.  

   331

T&D

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

1

 

   331   1,447   6   PVC   $65.21   A Street   2016       $94,370  

Install approximately 1,447 LF of 6-inch water main that will replace the existing water main that is constructed of 4 inch Asbestos Cement (AC) pipe. Also, 4 new valves will be installed at appropriate locations as to provide adequate system isolation when necessary. There have been three recorded main line breaks on this section of water main over the last two years.

 

                     
                                         
                     
                                         
                     
                                         
     

Estimated Total Cost

 

   $94,370    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM
     SIB PLANT TABLE I – A STREET (2016)
     Information to be included with SIB-Eligible Project Notification

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project  

No.  

   333

Service

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

1

 

   333   39   1-inch   Copper   $1,299   A Street   2016       $50,670  

Install approximately 3,894 LF of 1” copper services lines to 39 service connections for this project.

 

2

 

                                        

3

 

                                        

4

 

                                        

5

 

                                        
     

Estimated Total Cost

 

   $50,670    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – A STREET (2016)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   334

Meters

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Meters not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        
                     
                                         
     

Estimated Total Cost            

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – A STREET (2016)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   335

Hydrants

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Hydrants not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        
     

Estimated Total Cost            

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

FIGURE 18

    WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – WELL STREET (2017)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

Project    

No.    

   309

Supply

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Supply mains not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
                     
                                         
     

Estimated Total Cost            

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – WELL STREET (2017)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   331

T&D
Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

   331   1,328   6   PVC   $63.33   Well Street   2017       $84,103  

 

Install approximately 1,328 LF of 6-inch water main that will replace the existing water main that is constructed of 4 inch Asbestos Cement (AC) pipe. Also, 2 new valves will be installed at appropriate locations as to provide adequate system isolation when necessary. There have been three recorded main line breaks on this section of water main over the last two years.

 

                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
     

Estimated Total Cost            

 

   $84,103    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – WELL STREET (2017)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   333

Service

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

   333   35   1-inch   Copper   $1,417   Well Street   2017       $49,598   Install approximately 3,909 LF of I” copper services lines to 35 service connections for this project.

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        

 

8    

 

                                        

 

9    

 

                                        
     

Estimated Total Cost            

 

   $49,598    

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – WELL STREET (2017)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers. The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   334

Meters

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Meters not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
                     
                                         
     

Estimated Total Cost            

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – WELL STREET (2017)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 10 in SIB Engineering Report.

 

Project    

No.    

   335

Hydrants

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Hydrants not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        
     

Estimated Total Cost            

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

FIGURE 19

    WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – KING WAY, BORDER LANE, LARK LANE (2018)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site
(location description)		   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 11 in SIB Engineering Report.

 

Project    

No.    

   309

Supply
Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

Supply mains not included in this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
                     
                                         
     

Estimated Total Cost            

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – KING WAY, BORDER LANE, LARK LANE (2018)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 11 in SIB Engineering Report.

 

Project    

No.    

   331

T&D

Mains

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Cost
(by project)		  
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         
                         

1

   331   2,479   6   PVC   $62.43   King Way, Border
Lane, Lark Lane		   2018       $154,769  

Install approximately 2,479 LF of 6-inch water main that will replace the existing water main that is constructed of 4 inch Asbestos Cement (AC) pipe. Also, 5 new valves will be installed at appropriate locations as to provide adequate system isolation when necessary. There have been one recorded main line breaks on this section of water main over the last two years.

                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
                     
                                         
     

Estimated Total Cost            

   $84,103    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – KING WAY, BORDER LANE, LARK LANE (2018)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant) (SIB-eligible plant)   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 11 in SIB Engineering Report.

 

Project    

No.    

   333

Service

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated
Subtotal
Cost
(by NARUC
Acct No)		   Estimated
Subtotal
Cost
(by project)		  
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               
                               

 

    1    

 

   333   61   1-inch   Copper   $987   King Way, Border
Lane, Lark Lane		   2018       $60,210  

Install approximately 4,176 LF of 1” copper services lines to 61 service connections for this project.

 

    2    

 

                                        

 

    3    

 

                                        

 

    4    

 

                                        

 

    5    

 

                                        

 

    6    

 

                                        

 

    7    

 

                                        

 

    8    

 

                                        

 

    9    

 

                                        

 

Estimated Total Cost            

 

  

 

$60,210

 

    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – KING WAY, BORDER LANE, LARK LANE (2018)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report.

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 11 in SIB Engineering Report.

 

Project    

No.    

   334

Meters

   Pipe length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated

Subtotal

Cost

(by NARUC

Acct No)

   Estimated

Subtotal

Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Meters not included on this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
                     
                                         
     

Estimated Total Cost            

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     WILLOW VALLEY WATER COMPANY - KING STREET WATER SYSTEM      
    

SIB PLANT TABLE I – KING WAY, BORDER LANE, LARK LANE (2018)

Information to be included with SIB-Eligible Project Notification

      
          

 

    NARUC
Acct No.
(SIB-
eligible
plant)		   Replacement Plant Description (new plant)

(SIB-eligible plant)

   Site

(location description)

   Replacement Plant  

1. Provide narrative why Replacement Plant is necessary:

- Replacement of existing plant that has exceeded its designated useful life and has worn out or is in severe deteriorating condition

 

- Replacement of existing plant to address excessive water loss (greater than 20%)

 

- Replacement of existing plant for other reasons detailed in SIB Engineering Report

 

2. Provide narrative explaining why this segment of plant is a priority: Please reference Page 10 in SIB Engineering Report.

 

3. Provide narrative explaining how replacing this plant will benefit existing customers: reduction in overall system water loss, fewer water outages due to reduction in main line breaks, brings infrastructure to current standards, adds appropriate working valves and hydrants to provide better overall service to customers.

 

4. Provide affirmation that Replacement Plant does not include the costs for extending or expanding facilities to serve new customers.

The detailed engineering drawings in the SIB Engineering Report will prove that all work is to replace existing failing infrastructure, not to provide new service lines for future customers.

 

5. Provide reference to related page No. in the submitted detailed Engineering Analysis supporting the need for SIB. Please reference Page 11 in SIB Engineering Report.

 

Project    

No.    

   335

Hydrants

   Pipe
length/
Quantity		   Diameter/

Size

   Material   Installed

Cost/Unit

(estimated)

     Expected

In-Service

Date

   Estimated

Subtotal

Cost

(by NARUC

Acct No)

   Estimated

Subtotal

Cost

(by project)

  
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     
                     

 

1    

 

                                      

 

Hydrants not included on this project

 

 

2    

 

                                        

 

3    

 

                                        

 

4    

 

                                        

 

5    

 

                                        

 

6    

 

                                        

 

7    

 

                                        
     

Estimated Total Cost                

 

        

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

TABLE  II

 

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     Water System Name and PWS ID No.      
    

SIB PLANT TABLE II (Page 1 of 2)

Information to be included with SIB-Eligible Completed Project Filings

      
          

 

    

NARUC    
Acct No.    
(SIB-    
eligible    
plant)    

 

  

Replacement Plant Description (new plant)

(SIB-eligible plant)

  

Site

(location

description)

   Replacement Plant  

Original Plant

(Plant Being Retired)

Project    

No.    

  

309    

Supply    

Mains    

 

331    

T&D    

Mains    

 

333    
Services    

 

334    
Meters    

 

335    
Hydrants    

 

   Description      

Pipe    

Length/    

Quantity    

  

Diameter/    

Size    

   Material      

Installed    

Cost/Unit    

(actual    

cost)    

        In-Service    
Date
(provide    
ADEQ AOC    
and other    
related    
approvals by    
state and/or    
federal    
agencies
when    
applicable;    
pictures of    
installed    
plant)    		  

Subtotal    
Actual    
Cost    

(by    
NARUC    
Acct No)    

  

Subtotal    

Actual    

Cost    

(by    

project)    

  

Actual    

Retirement    

Date    

  

Original    

In-    

Service    

Date    

  

Original    

Cost    

   Accumulated    
Depreciation    
Reserve    
(as of the    
actual    
retirement    
date)    
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
                             
                                                         
           

Total Actual Cost        

                    

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

     Water System Name and PWS ID No.      
    

SIB PLANT TABLE II (Page 2 of 2, Summary)

 

Information to be included with SIB-Eligible Completed Project Filings

      
          

 

             

Project    

No.    

 

  

PWS    

ID No.    

 

  

Project Description

 

  

Estimated    

Cost    

(from TABLE I)    

 

  

Actual  

Cost  

 

  

  Detailed explanation of why actual costs have exceeded estimated costs by more     

  than 10% for the project.

    
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       
             
                       

 

Total Cost    

 

              

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

 

ATTACHMENT C

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:  Valencia Water Company - Town Division   DECISION NO.                             

DOCKET NO.: W-01212A-12-0309

   EFFECTIVE DATE:                      

OFF-SITE HOOK-UP FEE (WATER)

 

I.

Purpose and Applicability

The purpose of the off-site hook-up fees payable to Valencia Water Company - Town Division (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide water production, delivery, storage and pressure among all new service connections. These charges are applicable to all new service connections established after the effective date of this tariff undertaken via Main Extension Agreements or requests for service not requiring a Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

II.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-401 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing water utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of water facilities to serve new service connections; and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties. ·

“Company” means   Valencia Water Company - Town Division.

“Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of water facilities necessary to the Company to serve new service connections within a development, or installs such water facilities necessary to serve new service connections and transfer ownership of such water facilities to the Company, which agreement shall require the approval of the Commission pursuant to A.A.C. R-14-2-406, and shall have the same meaning as “Water Facilities Agreement” or “Line Extension Agreement.”

“Off-site Facilities” means wells, storage tanks and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include booster pumps, pressure tanks, transmission mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the applicant and will benefit the entire water system.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 2 of 4

 

“Service Connection” means and includes all service connections for single-family residential, commercial, industrial or other uses, regardless of meter size.

 

III.

Off-Site Water Hook-up Fee

For each new service connection, the Company shall collect an off-site hook-up fee derived from the following table:

 

 

OFF-SITE HOOK-UP FEE TABLE

 

Meter Size

       Size Factor                           Total Fee                     

5/8” x 3/4 “

   1   $1,750

3/4”

   1.5   $2,625

1”

   2.5   $4,375

1-1/2 “

   5   $8,750

2”

   8   $14,000

3”

   16   $28,000

4”

   25   $43,750

6” or larger

   50   $87,500

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Hook-up Fee:     The off-site hook-up fee may be assessed only once per parcel, service connection, or lot within a subdivision (similar to meter and service line installation charge).

(B)       Use of Off-Site Hook-up Fee:   Off-site hook-up fees may only be used to pay for capital items of off-site facilities or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)       Time of Payment:

 

  1)

For those requiring a Main Extension Agreement:  In the event that the Applicant is required to enter into a Main Extension Agreement, whereby the Applicant agrees to advance the costs of installing mains, valves, fittings, hydrants and other on-site improvements or construct such improvements in order to extend service in accordance with R-14-2-406(B), payment of the hook-up fees required hereunder shall be made by the Applicant no later than 15 calendar days after receipt of notification from the Company that the Utilities Division of the Arizona Corporation Commission has approved the Main Extension Agreement in accordance with R-14-2-406(M).

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 3 of 4

 

 

  2)

For those connecting to an existing main: In the event that the Applicant is not required to enter into a Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time the meter and service line installation fee is due and payable.

(D)      Off-Site Facilities Construction By Developer:   Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)      Failure to Pay Charges; Delinquent Payments:   The Company will not be obligated to make an advance commitment to provide or to actually provide water service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company set a meter or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)      Large Subdivision and/or Development Projects:   In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and water service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)      Off-Site Hook-Up Fees Non-refundable: The amounts collected by the Company as hook-up fees pursuant to the off-site hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)      Use of Off-Site Hook-Up Fees Received: All funds collected by the Company as off-site hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities that will benefit the entire water system.

(I)       Off-Site Hook-up Fee in Addition to On-site Facilities:   The off-site hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Main Extension Agreement.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 4 of 4

 

(J)       Disposition of Excess Funds: After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site hook-up fees, or if the off-site hook-up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)      Fire Flow Requirements: In the event the Applicant for service has fire flow requirements that require additional facilities beyond those facilities whose costs were included in the off-site hook-up fee, and which are contemplated to be constructed using the proceeds of the off-site hook-up Fee, the Company may require the Applicant to install such additional facilities as are required to meet those additional fire flow requirements, as a non-refundable contribution, in addition to the off-site hook-up fee.

(L)       Status Reporting Requirements to the Commission: The Company shall submit a calendar year Off-Site Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:  Global Water-Palo Verde Utilities Company

   DECISION NO.                             

DOCKET NO.: SW-20445A-12-0310

   EFFECTIVE DATE:                      

OFF-SITE FACILITIES HOOK-UP FEE (WASTEWATER)

 

I.

Purpose and Applicability

The purpose of the off-site facilities hook-up fees payable to   Global Water-Palo Verde Utilities Company  (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide wastewater treatment plant facilities among all new service laterals. These charges are applicable to all new service laterals established after the effective date of this tariff undertaken via Collection Main Extension Agreements or requests for service not requiring a Collection Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

II.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-601 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing sewer utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of wastewater facilities to serve new service laterals, and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties.

“Company” means       Global Water-Palo Verde Utilities Company.

“Collection Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of wastewater facilities necessary to the Company to serve new service laterals within a development, or installs such wastewater facilities necessary to serve new service laterals and transfer ownership of such wastewater facilities to the Company, which agreement does not require the approval of the Commission pursuant to A.A.C. R-14-2-606, and shall have the same meaning as “Wastewater Facilities Agreement”.

“Off-site Facilities” means the wastewater treatment plant, sludge disposal facilities, effluent disposal facilities and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include lift stations, transportation mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the Applicant and benefit the entire wastewater system.

“Service Lateral” means and includes all service laterals for single-family residential, commercial, industrial or other uses.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 2 of 4

 

 

III.

Off-Site Facilities Hook-up Fee

For each new service lateral, the Company shall collect an off-site facilities hook-up fee as listed in the following table:

 

 

OFF-SITE WASTEWATER HOOK-UP FEE TARIFF TABLE

 

Service Lateral Size

   Factor   Fee

4-inch

   1   $1,250

6-inch

   2.25   $2,812.5

8-inch

   4   $5,000

10-inch

   6.25   $7,812.5

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Facilities Hook-up Fee: The off-site facilities hook-up fee may be assessed only once per parcel, service lateral, or lot within a subdivision (similar to a service lateral installation charge).

(B)       Use of Off-Site Facilities Hook-up Fee: Off-site facilities hook-up fees may only be used to pay for capital items of off-site facilities, or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)       Time of Payment:

 

  (1)

For those requiring a Collection Main Extension Agreement: In the event that the Applicant is required to enter into a Collection Main Extension Agreement, whereby Applicant agrees to advance the costs of on-site improvements or construct such improvements, payment of the fees required hereunder shall be made by the Applicant when payment is made for the on-site improvements or 30 days after the Collection Main Extension Agreement is executed, whichever is later.

 

  (2)

For those connecting to an existing main: In the event that the Applicant is not required to enter into a Collection Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time wastewater service is requested for the property.

(D)      Off-Site Facilities Construction by Developer:   Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 3 of 4

 

off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)       Failure to Pay Charges; Delinquent Payments:   The Company will not be obligated to make an advance commitment to provide or to actually provide wastewater service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company connect service or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)       Large Subdivision and/or Development Projects:   In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and wastewater service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)       Off-Site Hook-Up Fees Non-refundable:   The amounts collected by the Company as hook-up fees pursuant to the off-site facilities hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)       Use of Off-Site Hook-Up Fees Received:   All funds collected by the Company as off-site facilities hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities.

(I)        Off-Site Facilities Hook-up Fee in Addition to On-site Facilities:   The off-site facilities hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Collection Main Extension Agreement.

(J)        Disposition of Excess Funds:   After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site facilities hook-up fees, or if the off-site facilities hook-up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)       Status Reporting Requirements to the Commission:   The Company shall submit a calendar year Off-Site Facilities Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 4 of 4

 

interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:  Water Utility of Northern Scottsdale

  DECISION NO.                             

DOCKET NO.: W-03720A-12-0311

  EFFECTIVE DATE:                      

OFF-SITE HOOK-UP FEE (WATER)

 

I.

Purpose and Applicability

The purpose of the off-site hook-up fees payable to Water Utility of Northern Scottsdale (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide water production, delivery, storage and pressure among all new service connections. These charges are applicable to all new service connections established after the effective date of this tariff undertaken via Main Extension Agreements or requests for service not requiring a Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

II.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-401 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing water utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of water facilities to serve new service connections, and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties.

“Company” means     Water Utility of Northern Scottsdale.

“Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of water facilities necessary to the Company to serve new service connections within a development, or installs such water facilities necessary to serve new service connections and transfer ownership of such water facilities to the Company, which agreement shall require the approval of the Commission pursuant to A.A.C. R-14-2-406, and shall have the same meaning as “Water Facilities Agreement” or “Line Extension Agreement.”

“Off-site Facilities” means wells, storage tanks and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include booster pumps, pressure tanks, transmission mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the applicant and will benefit the entire water system.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 2 of 4

 

“Service Connection” means and includes all service connections for single-family residential, commercial, industrial or other uses, regardless of meter size.

 

III.

Off-Site Water Hook-up Fee

For each new service connection, the Company shall collect an off-site hook-up fee derived from the following table:

 

 

OFF-SITE HOOK-UP FEE TABLE

 

Meter Size

           Size Factor                               Total Fee                     

5/8” × 3/4 “

   1   $1,750

3/4”

   1.5   $2,625

1”

   2.5   $4,375

1-1/2 “

   5   $8,750

2”

   8   $14,000

3”

   16   $28,000

4”

   25   $43,750

6” or larger

   50   $87,500

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Hook-up Fee:    The off-site hook-up fee may be assessed only once per parcel, service connection, or lot within a subdivision (similar to meter and service line installation charge).

(B)       Use of Off-Site Hook-up Fee:  Off-site hook-up fees may only be used to pay for capital items of off-site facilities or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)        Time of Payment:

 

  1)

For those requiring a Main Extension Agreement: In the event that the Applicant is required to enter into a Main Extension Agreement, whereby the Applicant agrees to advance the costs of installing mains, valves, fittings, hydrants and other on-site improvements or construct such improvements in order to extend service in accordance with R-14-2-406(B), payment of the hook-up fees required hereunder shall be made by the Applicant no later than 15 calendar days after receipt of notification from the Company that the Utilities Division of the Arizona Corporation Commission has approved the Main Extension Agreement in accordance with R-14-2-406(M).

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 3 of 4

 

  2)

For those connecting to an existing main: In the event that the Applicant is not required to enter into a Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time the meter and service line installation fee is due and payable.

(D)      Off-Site Facilities Construction By Developer:    Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)      Failure to Pay Charges; Delinquent Payments:    The Company will not be obligated to make an advance commitment to provide or to actually provide water service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company set a meter or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)      Large Subdivision and/or Development Projects:    In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and water service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)      Off-Site Hook-Up Fees Non-refundable: The amounts collected by the Company as hook-up fees pursuant to the off-site hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)      Use of Off-Site Hook-Up Fees Received: All funds collected by the Company as off-site hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities that will benefit the entire water system.

(I)        Off-Site Hook-up Fee in Addition to On-site Facilities:  The off-site hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Main Extension Agreement.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 4 of 4

 

(J)      Disposition of Excess Funds: After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site hook-up fees, or if the off-site hook-up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)     Fire Flow Requirements: In the event the Applicant for service has fire flow requirements that require additional facilities beyond those facilities whose costs were included in the off-site hook-up fee, and which are contemplated to be constructed using the proceeds of the off-site hook-up Fee, the Company may require the Applicant to install such additional facilities as are required to meet those additional fire flow requirements, as a non-refundable contribution, in addition to the off-site hook-up fee.

(L)      Status Reporting Requirements to the Commission: The Company shall submit a calendar year Off-Site Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:   Water Utility of Greater Tonopah

    DECISION NO.                                              

DOCKET NO.: W-02450A-12-0312

    EFFECTIVE DATE:                    

OFF-SITE HOOK-UP FEE (WATER)

 

I.

Purpose and Applicability

The purpose of the off-site hook-up fees payable to Water Utility of Greater Tonopah (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide water production, delivery, storage and pressure among all new service connections. These charges are applicable to all new service connections established after the effective date of this tariff undertaken via Main Extension Agreements or requests for service not requiring a Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

II.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-401 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing water utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of water facilities to serve new service connections, and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties.

“Company” means   Water Utility of Greater Tonopah.

“Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of water facilities necessary to the Company to serve new service connections within a development, or installs such water facilities necessary to serve new service connections and transfer ownership of such water facilities to the Company, which agreement shall require the approval of the Commission pursuant to A.A.C. R-14-2-406, and shall have the same meaning as “Water Facilities Agreement” or “Line Extension Agreement.”

“Off-site Facilities” means wells, storage tanks and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include booster pumps, pressure tanks, transmission mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the applicant and will benefit the entire water system.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 2 of 4

 

“Service Connection” means and includes all service connections for single-family residential, commercial, industrial or other uses, regardless of meter size.

 

III.

Off-Site Water Hook-up Fee

For each new service connection, the Company shall collect an off-site hook-up fee derived from the following table:

 

 

OFF-SITE HOOK-UP FEE TABLE

 

Meter Size

           Size Factor                               Total Fee                     

5/8” × 3/4 “

   1   $1,750

3/4”

   1.5   $2,625

1”

   2.5   $4,375

1-1/2 “

   5   $8,750

2”

   8   $14,000

3”

   16   $28,000

4”

   25   $43,750

6” or larger

   50   $87,500

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Hook-up Fee:     The off-site hook-up fee may be assessed only once per parcel, service connection, or lot within a subdivision (similar to meter and service line installation charge).

(B)       Use of Off-Site Hook-up Fee:   Off-site hook-up fees may only be used to pay for capital items of off-site facilities or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)       Time of Payment:

 

  1)

For those requiring a Main Extension Agreement:  In the event that the Applicant is required to enter into a Main Extension Agreement, whereby the Applicant agrees to advance the costs of installing mains, valves, fittings, hydrants and other on-site improvements or construct such improvements in order to extend service in accordance with R-14-2-406(B), payment of the hook-up fees required hereunder shall be made by the Applicant no later than 15 calendar days after receipt of notification from the Company that the Utilities Division of the Arizona Corporation Commission has approved the Main Extension Agreement in accordance with R-14-2-406(M).

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 3 of 4

 

 

  2)

For those connecting to an existing main:  In the event that the Applicant is not required to enter into a Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time the meter and service line installation fee is due and payable.

(D)       Off-Site Facilities Construction By Developer:   Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)       Failure to Pay Charges; Delinquent Payments:   The Company will not be obligated to make an advance commitment to provide or to actually provide water service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company set a meter or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)       Large Subdivision and/or Development Projects:   In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and water service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)       Off-Site Hook-Up Fees Non-refundable: The amounts collected by the Company as hook-up fees pursuant to the off-site hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)       Use of Off-Site Hook-Up Fees Received: All funds collected by the Company as off-site hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities that will benefit the entire water system.

(I)       Off-Site Hook-up Fee in Addition to On-site Facilities:   The off-site hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Main Extension Agreement.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 4 of 4

 

(J)       Disposition of Excess Funds: After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site hook-up fees, or if the off-site hook-up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)       Fire Flow Requirements: In the event the Applicant for service has fire flow requirements that require additional facilities beyond those facilities whose costs were included in the off-site hook-up fee, and which are contemplated to be constructed using the proceeds of the off-site hook-up Fee, the Company may require the Applicant to install such additional facilities as are required to meet those additional fire flow requirements, as a non-refundable contribution, in addition to the off-site hook-up fee.

(L)       Status Reporting Requirements to the Commission: The Company shall submit a calendar year Off-Site Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:

  

Valencia Water Company - Greater Buckeve

   

DECISION NO.                      

DOCKET NO.:

  

W-02451A-12-0313

   

EFFECTIVE DATE:               

OFF-SITE HOOK-UP FEE (WATER)

 

I.

Purpose and Applicability

The purpose of the off-site hook-up fees payable to Valencia Water Company - Greater Buckeve (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide water production, delivery, storage and pressure among all new service connections. These charges are applicable to all new service connections established after the effective date of this tariff undertaken via Main Extension Agreements or requests for service not requiring a Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

II.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-401 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing water utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of water facilities to serve new service connections, and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties.

“Company” means     Valencia Water Company - Greater Buckeye.

“Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of water facilities necessary to the Company to serve new service connections within a development, or installs such water facilities necessary to serve new service connections and transfer ownership of such water facilities to the Company, which agreement shall require the approval of the Commission pursuant to A.A.C. R-14-2-406, and shall have the same meaning as “Water Facilities Agreement” or “Line Extension Agreement.”

“Off-site Facilities” means wells, storage tanks and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include booster pumps, pressure tanks, transmission mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the applicant and will benefit the entire water system.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 2 of 4

 

“Service Connection” means and includes all service connections for single-family residential, commercial, industrial or other uses, regardless of meter size.

 

III.

Off-Site Water Hook-up Fee

For each new service connection, the Company shall collect an off-site hook-up fee derived from the following table:

 

 

OFF-SITE HOOK-UP FEE TABLE

 

Meter Size

           Size Factor                               Total Fee                     

5/8” × 3/4 “

   1   $1,750

3/4”

   1.5   $2,625

1”

   2.5   $4,375

1-1/2 “

   5   $8,750

2”

   8   $14,000

3”

   16   $28,000

4”

   25   $43,750

6” or larger

   50   $87,500

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Hook-up Fee:     The off-site hook-up fee may be assessed only once per parcel, service connection, or lot within a subdivision (similar to meter and service line installation charge).

(B)       Use of Off-Site Hook-up Fee:   Off-site hook-up fees may only be used to pay for capital items of off-site facilities or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)       Time of Payment:

 

  1)

For those requiring a Main Extension Agreement:  In the event that the Applicant is required to enter into a Main Extension Agreement, whereby the Applicant agrees to advance the costs of installing mains, valves, fittings, hydrants and other on-site improvements or construct such improvements in order to extend service in accordance with R-14-2-406(B), payment of the hook-up fees required hereunder shall be made by the Applicant no later than 15 calendar days after receipt of notification from the Company that the Utilities Division of the Arizona Corporation Commission has approved the Main Extension Agreement in accordance with R-14-2-406(M).

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 3 of 4

 

 

  2)

For those connecting to an existing main:  In the event that the Applicant is not required to enter into a Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time the meter and service line installation fee is due and payable.

(D)       Off-Site Facilities Construction By Developer:   Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)       Failure to Pay Charges; Delinquent Payments:   The Company will not be obligated to make an advance commitment to provide or to actually provide water service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company set a meter or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)       Large Subdivision and/or Development Projects:   In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and water service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)       Off-Site Hook-Up Fees Non-refundable:   The amounts collected by the Company as hook- up fees pursuant to the off-site hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)       Use of Off-Site Hook-Up Fees Received:   All funds collected by the Company as off-site hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities that will benefit the entire water system.

(I)       Off-Site Hook-up Fee in Addition to On-site Facilities:   The off-site hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Main Extension Agreement.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 4 of 4

 

(J)       Disposition of Excess Funds:   After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site hook-up fees, or if the off-site hook- up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)       Fire Flow Requirements:   In the event the Applicant for service has fire flow requirements that require additional facilities beyond those facilities whose costs were included in the off-site hook-up fee, and which are contemplated to be constructed using the proceeds of the off-site hook-up Fee, the Company may require the Applicant to install such additional facilities as are required to meet those additional fire flow requirements, as a non-refundable contribution, in addition to the off-site hook-up fee.

(L)       Status Reporting Requirement to the Commission:   The Company shall submit a calendar year Off-Site Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:        Santa Cruz Water Company

   

DECISION NO.                              

DOCKETNO.: W-20446A-12-0314

   

EFFECTIVE DATE:                      

OFF-SITE HOOK-UP FEE (WATER)

 

I.

Purpose and Applicability

The purpose of the off-site hook-up fees payable to Santa Cruz Water Company (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide water production, delivery, storage and pressure among all new service connections. These charges are applicable to all new service connections established after the effective date of this tariff undertaken via Main Extension Agreements or requests for service not requiring a Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

ll.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-401 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing water utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of water facilities to serve new service connections, and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties.

“Company” means     Santa Cruz Water Company  .

“Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of water facilities necessary to the Company to serve new service connections within a development, or installs such water facilities necessary to serve new service connections and transfer ownership of such water facilities to the Company, which agreement shall require the approval of the Commission pursuant to A.A.C. R-14-2-406, and shall have the same meaning as “Water Facilities Agreement” or “Line Extension Agreement.”

“Off-site Facilities” means wells, storage tanks and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include booster pumps, pressure tanks, transmission mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the applicant and will benefit the entire water system.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 2 of 4

 

“Service Connection” means and includes all service connections for single-family residential, commercial, industrial or other uses, regardless of meter size.

 

III.

Off-Site Water Hook-up Fee

For each new service connection, the Company shall collect an off-site hook-up fee derived from the following table:

 

 

OFF-SITE HOOK-UP FEE TABLE

 

Meter Size

            Size Factor                                Total Fee                     

5/8” × 3/4 “

    1    $1,250

3/4”

    1.5    $1,875

1”

    2.5    $3,125

1-1/2 “

    5    $6,250

2”

    8    $10,000

3”

    16    $20,000

4”

    25    $31,250

6” or larger

    50    $62,500

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Hook-up Fee:     The off-site hook-up fee may be assessed only once per parcel, service connection, or lot within a subdivision (similar to meter and service line installation charge).

(B)       Use of Off-Site Hook-up Fee:   Off-site hook-up fees may only be used to pay for capital items of off-site facilities or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)       Time of Payment:

 

  1)

For those requiring a Main Extension Agreement:  In the event that the Applicant is required to enter into a Main Extension Agreement, whereby the Applicant agrees to advance the costs of installing mains, valves, fittings, hydrants and other on-site improvements or construct such improvements in order to extend service in accordance with R-14-2-406(B), payment of the hook-up fees required hereunder shall be made by the Applicant no later than 15 calendar days after receipt of notification from the Company that the Utilities Division of the Arizona Corporation Commission has approved the Main Extension Agreement in accordance with R-14-2-406(M).

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 3 of 4

 

 

  2)

For those connecting to an existing main: In the event that the Applicant is not required to enter into a Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time the meter and service line installation fee is due and payable.

(D)      Off-Site Facilities Construction By Developer: Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)      Failure to Pay Charges; Delinquent Payments: The Company will not be obligated to make an advance commitment to provide or to actually provide water service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company set a meter or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)      Large Subdivision and/or Development Projects: In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and water service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)      Off-Site Hook-Up Fees Non-refundable: The amounts collected by the Company as hook-up fees pursuant to the off-site hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)      Use of Off-Site Hook-Up Fees Received: All funds collected by the Company as off-site hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities that will benefit the entire water system.

(I)      Off-Site Hook-up Fee in Addition to On-site Facilities: The off-site hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Main Extension Agreement.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 4 of 4

 

(J)      Disposition of Excess Funds: After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site hook-up fees, or if the off-site hook-up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)      Fire Flow Requirements: In the event the Applicant for service has fire flow requirements that require additional facilities beyond those facilities whose costs were included in the off-site hook-up fee, and which are contemplated to be constructed using the proceeds of the off-site hook-up Fee, the Company may require the Applicant to install such additional facilities as are required to meet those additional fire flow requirements, as a non-refundable contribution, in addition to the off-site hook-up fee.

(L)      Status Reporting Requirements to the Commission: The Company shall submit a calendar year Off-Site Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

Page 1 of 4

 

TARIFF SCHEDULE

 

UTILITY:  Willow Valley Water Company

    DECISION NO.                             

DOCKET NO.: W-01732A-12-0315

    EFFECTIVE DATE:                      

OFF-SITE HOOK-UP FEE (WATER)

 

I.

Purpose and Applicability

The purpose of the off-site hook-up fees payable to Willow Valley Water Company  (“the Company”) pursuant to this tariff is to equitably apportion the costs of constructing additional off-site facilities necessary to provide water production, delivery, storage and pressure among all new service connections. These charges are applicable to all new service connections established after the effective date of this tariff undertaken via Main Extension Agreements or requests for service not requiring a Main Extension Agreement. The charges are one-time charges and are payable as a condition to Company’s establishment of service, as more particularly provided below.

 

II.

Definitions

Unless the context otherwise requires, the definitions set forth in R-14-2-401 of the Arizona Corporation Commission’s (“Commission”) rules and regulations governing water utilities shall apply in interpreting this tariff schedule.

“Applicant” means any party entering into an agreement with Company for the installation of water facilities to serve new service connections, and may include Developers and/or Builders of new residential subdivisions and/or commercial and industrial properties.

“Company” means     Willow Valley Water Company.

“Main Extension Agreement” means any agreement whereby an Applicant agrees to advance the costs of the installation of water facilities necessary to the Company to serve new service connections within a development, or installs such water facilities necessary to serve new service connections and transfer ownership of such water facilities to the Company, which agreement shall require the approval of the Commission pursuant to A.A.C. R-14-2-406, and shall have the same meaning as “Water Facilities Agreement” or “Line Extension Agreement.”

“Off-site Facilities” means wells, storage tanks and related appurtenances necessary for proper operation, including engineering and design costs. Offsite facilities may also include booster pumps, pressure tanks, transmission mains and related appurtenances necessary for proper operation if these facilities are not for the exclusive use of the applicant and will benefit the entire water system.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

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“Service Connection” means and includes all service connections for single-family residential, commercial, industrial or other uses, regardless of meter size.

 

III.

Off-Site Water Hook-up Fee

For each new service connection, the Company shall collect an off-site hook-up fee derived from the following table:

 

 

OFF-SITE HOOK-UP FEE TABLE

 

Meter Size

         Size Factor                       Total Fee               

5/8” × 3/4 “

   1   $1,750

3/4”

   1.5   $2,625

1”

   2.5   $4,375

1-1/2 “

   5   $8,750

2”

   8   $14,000

3”

   16   $28,000

4”

   25   $43,750

6” or larger

   50   $87,500

 

IV.

Terms and Conditions

(A)       Assessment of One Time Off-Site Hook-up Fee:     The off-site hook-up fee may be assessed only once per parcel, service connection, or lot within a subdivision (similar to meter and service line installation charge).

(B)       Use of Off-Site Hook-up Fee:   Off-site hook-up fees may only be used to pay for capital items of off-site facilities or for repayment of loans obtained to fund the cost of installation of off-site facilities. Off-site hook-up fees shall not be used to cover repairs, maintenance, or operational costs. The Company shall record amounts collected under this tariff as Contributions in Aid of Construction (“CIAC”); however, such amounts shall not be deducted from rate base until such amounts have been expended for utility plant.

(C)       Time of Payment:

 

  1)

For those requiring a Main Extension Agreement:  In the event that the Applicant is required to enter into a Main Extension Agreement, whereby the Applicant agrees to advance the costs of installing mains, valves, fittings, hydrants and other on-site improvements or construct such improvements in order to extend service in accordance with R-14-2-406(B), payment of the hook-up fees required hereunder shall be made by the Applicant no later than 15 calendar days after receipt of notification from the Company that the Utilities Division of the Arizona Corporation Commission has approved the Main Extension Agreement in accordance with R-14-2-406(M).

 

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  2)

For those connecting to an existing main: In the event that the Applicant is not required to enter into a Main Extension Agreement, the hook-up fee charges hereunder shall be due and payable at the time the meter and service line installation fee is due and payable.

(D)       Off-Site Facilities Construction By Developer:   Company and Applicant may agree to construction of off-site facilities necessary to serve a particular development by Applicant, which facilities are then conveyed to Company. In that event, Company shall credit the total cost of such off-site facilities as an offset to off-site hook-up fees due under this Tariff. If the total cost of the off-site facilities constructed by Applicant and conveyed to Company is less than the applicable off-site hook-up fees under this Tariff, Applicant shall pay the remaining amount of off-site hook-up fees owed hereunder. If the total cost of the off-site facilities contributed by Applicant and conveyed to Company is more than the applicable off-site hook-up fees under this Tariff, Applicant shall be refunded the difference upon acceptance of the off-site facilities by the Company.

(E)       Failure to Pay Charges; Delinquent Payments:   The Company will not be obligated to make an advance commitment to provide or to actually provide water service to any Applicant in the event that the Applicant has not paid in full all charges hereunder. Under no circumstances will the Company set a meter or otherwise allow service to be established if the entire amount of any payment due hereunder has not been paid.

(F)       Large Subdivision and/or Development Projects:   In the event that the Applicant is engaged in the development of a residential subdivision and/or development containing more than 150 lots, the Company may, in its discretion, agree to payment of off-site hook-up fees in installments. Such installments may be based on the residential subdivision and/or development’s phasing, and should attempt to equitably apportion the payment of charges hereunder based on the Applicant’s construction schedule and water service requirements. In the alternative, the Applicant shall post an irrevocable letter of credit in favor of the Company in a commercially reasonable form, which may be drawn by the Company consistent with the actual or planned construction and hook up schedule for the subdivision and/or development.

(G)       Off-Site Hook-Up Fees Non-refundable:   The amounts collected by the Company as hook-up fees pursuant to the off-site hook-up fee tariff shall be non-refundable contributions in aid of construction.

(H)       Use of Off-Site Hook-Up Fees Received:   All funds collected by the Company as off-site hook-up fees shall be deposited into a separate interest bearing bank account and used solely for the purposes of paying for the costs of installation of off-site facilities, including repayment of loans obtained for the installation of off-site facilities that will benefit the entire water system.

(I)       Off-Site Hook-up Fee in Addition to On-site Facilities:   The off-site hook-up fee shall be in addition to any costs associated with the construction of on-site facilities under a Main Extension Agreement.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

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(J)       Disposition of Excess Funds: After all necessary and desirable off-site facilities are constructed utilizing funds collected pursuant to the off-site hook-up fees, or if the off-site hook-up fee has been terminated by order of the Arizona Corporation Commission, any funds remaining in the bank account shall be refunded. The manner of the refund shall be determined by the Commission at the time a refund becomes necessary.

(K)       Fire Flow Requirements: In the event the Applicant for service has fire flow requirements that require additional facilities beyond those facilities whose costs were included in the off-site hook-up fee, and which are contemplated to be constructed using the proceeds of the off-site hook-up Fee, the Company may require the Applicant to install such additional facilities as are required to meet those additional fire flow requirements, as a non-refundable contribution, in addition to the off-site hook-up fee.

(L)       Status Reporting Requirements to the Commission: The Company shall submit a calendar year Off-Site Hook-Up Fee status report each January 31st to Docket Control for the prior twelve (12) month period, beginning January 31, 2015, until the hook-up fee tariff is no longer in effect. This status report shall contain a list of all customers that have paid the hook-up fee tariff, the amount each has paid, the physical location/address of the property in respect of which such fee was paid, the amount of money spent from the account, the amount of interest earned on the funds within the tariff account, and a list of all facilities that have been installed with the tariff funds during the 12 month period.

 

DECISION NO.     74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

ATTACHMENT D

 

  DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

LOGO

 

BEFORE THE ARIZONA CORPORATION COMMISSION

COMMISSIONERS

 

KRISTIN K. MAYES - Chairman

GARY PIERCE

PAUL NEWMAN

SANDRA D. KENNEDY

BOB STUMP

   LOGO  

 

IN THE MATTER OF THE APPLICATION OF JOHNSON UTILITIES, L.L.C., DBA JOHNSON UTILITIES COMPANY FOR AN INCREASE IN ITS WATER AND WASTEWATER RATES FOR CUSTOMERS WITHIN PINAL COUNTY, ARIZONA.   

    DOCKET NO. WS-02987A-08-0180

 

    DECISION NO. 71854

 

    OPINION AND ORDER

 

 

   

 

DATES OF HEARING:

January 27, February 26 (Procedural Conferences); April 20, (Pre-Hearing Conference); April 23, 24, 27 (Hearing); July 23 (Procedural Conference/Oral Arguments); September 21, 24, 25, October 1, 2, 5, 6, and 7, 2009 (Hearing).

 

PLACE OF HEARING:

Phoenix, Arizona

 

ADMINISTRATIVE LAW JUDGE:

Teena Wolfe

 

APPEARANCES:

Mr. Jeffrey W. Crockett, Mr. Bradley S. Carroll and Mr. Robert Metli, SNELL & WILMER, on behalf of Johnson Utilities, LLC;

 

 

Mr. Craig A. Marks, CRAIG A. MARKS, PLC, on behalf of Swing First Golf, LLC;

 

 

Ms. Jodi Jerich, Director, Mr. Daniel Pozefsky, Chief Counsel and Ms. Michelle Wood, Staff Attorney, on behalf of the Residential Utility Consumer Office;

 

 

Mr. James E. Mannato, Town Attorney, on behalf of the Town of Florence; and

 

 

Ms. Nancy Scott, Ms. Ayesha Vohra, and Ms. Robin Mitchell, Staff Attorneys, Legal Division, on behalf of the Utilities Division of the Arizona Corporation Commission.

 

  1  
  DECISION NO.      74364        

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closely monitor the Company’s collection of CAGRD fees and the Company’s treatment of monies collected to pay the CAGRD fees. The Company was in favor of the establishment of a CAGRD recovery mechanism, but was unwilling to agree to abide by the conditions that Staff argued are necessary to safeguard the Company’s ratepayers.

1.    Staff Proposed Adjustor and Conditions

Staff recommended that the Company recover its CAGRD tax assessment through the use of an adjustor mechanism, subject to specific enumerated conditions. Staff recommended that the CAGRD adjustor mechanism only be authorized with the following conditions attached:

 

  1.

The initial adjuster fee shall apply to all water sold after the date new rates from this case become effective. In order to calculate this initial fee, the Company shall submit the 2008 data, as per condition No. 7 below, within 30 days of the date of the final order in this matter.

 

 

  2.

The Company shall, on a monthly basis, place all CAGRD monies collected from customers in a separate, interest bearing account (“CAGRD Account”).

 

 

  3.

The only time the Company can withdraw money from the CAGRD Account is to pay the annual CAGRD fee to the CAGRD, which is due on October 15th of each year.

 

 

  4.

The Company must provide to Staff a semi-annual report of the CAGRD Account and CAGRD use fees collected from customers and paid to the CAGRD, with reports due during the last week of October and the last week of April each year.

 

 

  5.

The Company must provide to Staff, every even-numbered year (first year being 2010) by June 30th, the new firm rates set by the CAGRD for the next two years.

 

 

  6.

The CAGRD adjustor fees shall be calculated as follows: The total CAGRD fees for the most current year in the Phoenix AMA shall be divided by the gallons sold in that year to determine a CAGRD fee per 1,000 gallons. Similarly, the total CAGRD fees for the most current year in the Pinal AMA shall be divided by the gallons sold in that year to determine a CAGRD fee per 1,000 gallons.

 

 

  7.

By August 25th of each year, beginning in 2010, the Company shall submit for Commission consideration its proposed CAGRD adjustor fees for the Phoenix and Pinal AMAs, along with the calculations and

 

 

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  documentation from the relevant state agencies to support the data used in the calculations. Failure to provide such documentation to Staff shall result in the immediate cessation of the CAGRD adjustor fee. Commission-approved fees shall become effective on the following October 1st.  

 

  8. If the CAGRD changes its current method of assessing fees (i.e. based on the current volume of water used by customers) to some other method, such as, but not limited to, future projection of water usage, or total water allocated to the Company, the Company’s collection from customers of CAGRD fees shall cease.  

 

  9. As a compliance item, the Company shall submit a new tariff reflecting the initial adjustor fee as per Condition No. 1 above and shall annually submit a new tariff reflecting the reset adjustor fee prior to the fee becoming effective.243  

2.    Company Arguments Against Conditions

The Company opposed, or requested modification of Staff’s recommended Condition Nos. 3, 4, 5, 7, and 8. Staff opposed the Company’s requested modifications to Staff’s recommended conditions.244

 

  a. Condition No. 3

The Company stated that it is concerned that Condition No. 3 lacks sufficient flexibility to allow for changes in CAGRD’s payment policies and other policies with regard to the use of CAGRD monies.245 The Company submitted that it should be permitted to withdraw funds from the CAGRD account as necessary to comply with the conditions of its membership in the CAGRD, as those conditions exist now or as they may be modified in the future.246

Staff stated that the Company’s requested modification of Condition No. 3 should be disregarded, as the Company should not be allowed to spend funds in the CAGRD account for any

 

 

243 

 Staff Br. at 20-21, citing to Revised Surrebuttal Testimony of Jeffrey Michlik (Exh. S-43) at 4.

244 

 Staff Reply Br. at 21-23.

245 

 Rebuttal Testimony of Company witness Brian Tompsett (Exh. A-5) at 20.

246 

 Id.

 

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purpose other than the CAGRD expense item than has been analyzed in this proceeding and that the proposed adjustor is designed to recover.247

 

  b.

Condition No. 4

The Company argued that a single annual report, instead of the semi-annual report required by Condition No. 4, would be sufficient for Staff’s verification of the accounting for CAGRD monies collected and remitted.248 Staff opposed the Company’s requested modification of Condition No. 4 because Staff believes it is important for the Commission to have the ability closely monitor the Company’s collection of CAGRD fees and the state of the CAGRD Account.249

 

  c.

Condition No. 5

The Company opposed Condition No. 5, arguing that the information it requires is publicly available and it would be more efficient for Staff to obtain the information directly from CAGRD.250 The Company also argued that compliance with regulatory conditions adds costs that are ultimately borne by the ratepayers and should only be imposed as necessary to achieve important regulatory objectives.251

Staff opposed modification of Condition No. 5 because the rates established by the CAGRD involve calculations with many variables that may or may not be accessible or publicly available on the CAGRD’s website now or in the future.252 Staff stated that because the Company will be in possession of the information as part of its own record keeping and compliance requirements, it will therefore be in the best position to provide the Commission and Staff with the information.253 Staff indicated that as a result of this rate case, it lacks confidence in the Company’s record keeping

 

247 

 Staff Br. at 21.

248 

 Rebuttal Testimony of Company witness Brian Tompsett (Exh. A-5) at 20.

249 

 Staff Br. at 22.

250 

 Rebuttal Testimony of Company witness Brian Tompsett (Exh. A-5) at 20.

251 

 Id. at 20-21.

252 

 Staff Br at 22.

253 

 Id.

 

  40   DECISION NO.      71854                            
  DECISION NO.      74364        

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DOCKET NO. WS-02987A-08-0180                    

 

abilities, and the submittal required by Condition No. 5 is necessary to confirm that the Company is charging its customers the correct rates.254

 

  d.

Condition No. 7

The Company stated that it is not clear what consideration or approval the Commission would exercise with regard to the assessment, and therefore opposes Condition No. 7.255 The Company argued that this requirement is unnecessary as the CAGRD assessments are fixed by CAGRD and are not subject to interpretation.256

Staff stated that Condition No. 7 is important because it allows the Company to receive the required documentation first from CAGRD, and Staff and the Commission must have the ability to review the calculations and documentation, including the CAGRD invoice.257 Staff stated that the language “for Commission consideration” should not be changed because it is standard language that allows the Commission to monitor and ultimately approve the exact adjustor fee charged to customers.258 Staff stated that the Commission review and approval process each year would ensure that the Company is submitting data to ADWR that is consistent with annual reports filed with the Commission, that the Company is not misinterpreting the correct assessment rate, and that the Company is calculating the customer fee correctly.259

 

  e.

Condition No. 8

The Company opposed Condition No. 8’s requirement that the collection of fees cease should the CAGRD change its current method of assessing fees.260 The Company argued that if the

 

254 

Staff Reply Br. at 8.

255 

Rebuttal Testimony of Company witness Brian Tompsett (Exh. A-5) at 21.

256 

Id.

257 

Staff Br. at 22; Tr. at 912.

258 

Staff Br. at 22.

259 

Staff Reply Br. at 8.

260 

Rebuttal Testimony of Company witness Brian Tompsett (Exh. A-5) at 21.

 

  41   DECISION NO.      71854                            
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DOCKET NO. WS-02987A-08-0180                    

 

CAGRD changes its method of assessing fees, that Johnson would likewise change the way it passes through the fee to its customers, consistent with the CAGRD changes.261

Staff stated that Condition No. 8 should be retained because it is unlikely that CAGRD would change the assessment methodology without notice, and if it were changed, the Company could request a modification of the approved methodology.

3.    RUCO Proposed Expense Adjustment and Opposition to Adjustor

RUCO asserted that the use of an adjustor mechanism is not a necessary or appropriate means for the recovery of CAGRD expense.262 RUCO argued that the circumstances of the CAGRD assessment do not warrant an adjustor mechanism because it is a routine yearly expense and because its progressive increase is not volatile.263 RUCO stated that rate stability is important in today’s economic environment, and because adjustors lead to changes in residential ratepayers’ rates, they should be’ approved only in extraordinary circumstances.264 RUCO also argued that oversight of Staff’s proposed adjustor would unnecessarily and inappropriately increase the Staff’s workload.265

RUCO recommended that the CAGRD be treated as an expense, and proposed a normalization adjustment to test year expenses based on the known and measurable costs of the Company’s CAGRD assessments through 2010.266 RUCO’s proposed adjustment is based on the Company’s test year water sold and a 2009-2010 composite of Phoenix AMA and Pinal AMA CAGRD fees per thousand gallons.267 RUCO asserted that because the Company has stated an intention to file a new rate case every three years, RUCO’s recommended adjustment would provide

 

261 

 Id.

262 

 RUCO Br. at 8-14; Reply Br. at 5.

263 

 RUCO Br. at 12-13.

264 

 Id.

265 

 Id.

266 

 RUCO Br. at 8; 14; Tr. at 205; Direct Testimony of RUCO witness Rodney Moore (Exh. R-l) at 16-17; RUCO Final Schedules RLM 7 and RLM-16.

267 

 RUCO Final Schedule RLM-16.

 

  42   DECISION NO.      71854                            
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DOCKET NO. WS-02987A-08-0180                    

 

the Company with complete recovery of the CAGRD expense without requiring extraordinary ratemaking treatment for a routine cost.268

In support of its recommendation that a CAGRD adjustor mechanism be put in place for the Company, Staff stated that the CAGRD assessment represents a significant annual expense for the Company, which is anticipated to progressively increase, and that in order to keep its membership in the CAGRD, the Company must pay the fee.269 Staff asserted that the CAGRD assessment is amenable to an adjustor mechanism because the assessment, unlike a pass-through tax, is not easily calculated and assigned.270 Staff noted that the Commission has approved adjustor mechanisms where appropriate in order to advance important policy concerns that protect the public interest.271 Staff stated that the Commission has approved adjustors for expenses that are not extremely volatile for Demand Side Management and the Renewable Energy Standards Tariff, based on a determination that the advancement of energy conservation programs and the move to renewable sources of energy were necessary policy considerations to advance the public interest.272 Staff opined that it would be appropriate, in the Commission’s support of groundwater conservation, to adopt the Staff’s recommendation regarding an adjustor for the Company’s CAGRD assessment.

4.    Conclusion

We agree with Staff that this Commission has in the past approved adjustor mechanisms where appropriate to advance important policy concerns that protect the public interest. The CAGRD adjustor mechanism that Staff designed, inclusive of all eight conditions without modification, appears to be a just and reasonable means of dealing with the costs of the CAGRD. Conservation and wise stewardship of increasingly stressed water supplies is a matter of paramount concern in Arizona, and we believe that it is important to send appropriate, signals to water

 

268 

 RUCO Br. at 14.

269 

 Staff Br. at 20, citing to Revised Surrebuttal Testimony of Jeffrey Michlik (Exh. S-43) at 1.

270 

 Id.

271 

 Staff Reply Br. at 7-8.

272 

 Id.

 

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DOCKET NO. WS-02987A-08-0180                    

 

companies regarding their duty to fully engage in conservation programs administered by the ADWR. The CAGRD assessment fee is not discretionary for Companies such as Johnson Utilities, and the Commission believes that the CAGRD participation represents the kind of investment that is appropriate for timely cost recovery. To not allow the Company to recover its CAGRD costs in real time may threaten the Company’s ability to participate in the CAGRD program and would send a negative signal to water providers regarding this Commission’s support for sound regional approaches to achieving safe yield in Active Management Areas. While we are not satisfied with the Company’s past accounting methodologies, and are supportive of the steps taken in this Order to require Johnson Utilities to come into compliance with NARUC accounting standards, we believe Staff’s adjustor mechanism proposal will accord the Commission maximum oversight over the application of the adjustor mechanism. We will therefore approve the CAGRD adjustor mechanism, inclusive of all eight conditions proposed by Staff.

B.    Rate Case Expense

The Company requested recovery of $100,000 in rate case expense for each division.273 There was no disagreement on the amount of expense. Staff recommended normalization of the expense over three years, and the Company agreed.274 RUCO recommended an amortization of five years to reflect the Company’s propensity for not timely filing rate applications.275 The Company pointed out that RUCO’s CAGRD expense normalization assumed that the Company would be filing a rate case in three years.276 We find that the three year normalization period is appropriate, and will adopt it.

. . .

. . .

 

 

273 

 Rebuttal Testimony of Company witness Thomas Bourassa (Exh. A-2) Vol. II at 23.

274 

 Id.

275 

 RUCO Br. at 7.

 

  44   DECISION NO.      71854                            
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ATTACHMENT E

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Town Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For potable water service, the Company adopts the Rules of the Arizona Corporation Commission for water service (A.A.C. R14-2-401 to R14-2-411), as supplemented by this Tariff.

 

3.0 Special provisions for non-potable water service.

3.1       “Non-potable water service” means the delivery of water, other than water for human consumption or recycled water.

 

  3.2 The following provisions apply to non-potable water service.

 

  3.2.1 Establishment of service. Establishment of non-potable water service will be in accordance with A.A.C. R14-2-403.

 

  3.2.2 Customer information. The Company will provide the information to non-potable water customers as required in R14-2-404.

 

  3.2.3 Main extensions. Main extensions for non-potable water service will be subject to the requirements of A.A.C. R14-2-406.

 

  3.2.4 Provision of Service. Non-potable water service will be subject to the requirements of A.A.C. Rl4-2-407, except that R14-2-407(E), Minimum Deliver Pressure shall not apply because non-potable water is an unpressurized service.

 

  3.2.5 Meter reading. Meter reading for non-potable water service will be subject to the requirements of A.A.C. Rl4-2-408.

 

  3.2.6 Billing. Billing and collection for non-potable water service will be subject to the requirements of A.A.C. R14-2-409.

 

  3.2.7 Termination of service. Termination of service for non-potable water service will be subject to the requirements of A.A.C. R14-2-410.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Town Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0 Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

5.1       Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Town Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Town Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Palo Verde Utilities Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For wastewater service, the Company adopts the Rules of the Arizona Corporation Commission for wastewater service (A.A.C. R14-2-601 to R14- 2-610), as supplemented by this Tariff.

 

3.0 Special provisions for recycled water service.

3.1      “Recycled water service” means the delivery of wastewater that has undergone secondary treatment, filtration, nitrogen removal treatment, and disinfection. The following provisions apply to recycled water service.

3.1.1      Establishment of service. Establishment of recycled water service will be in accordance with A.A.C. R14-2-603.

3.1.2       Customer information. The Company will provide the information to recycled water customers as required in R14-2-604.

3.1.3      Main extensions. Main extensions for recycled service will be subject to the requirements of A.A.C. R14-2-606.

3.1.4      Provision of Service. Recycled water service will be subject to the requirements of A.A.C. R14-2-607.

3.1.5      Meter reading. Meter reading for recycled water service will be subject to the requirements of A.A.C. R14-2-408.

3.1.6      Billing. Billing and collection for recycled water service will be subject to the requirements of A.A.C. R14-2-608.

3.1.7      Termination of service. Termination of service for recycled water service will be subject to the requirements of A.A.C. R14-2-609.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Palo Verde Utilities Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0      Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

 

  5.1

Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Palo Verde Utilities Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Palo Verde Utilities Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Northern Scottsdale, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For potable water service, the Company adopts the Rules of the Arizona Corporation Commission for water service (A.A.C. R14-2-401 to R14-2-411), as supplemented by this Tariff.

 

3.0 Special provisions for non-potable water service.

3.1         “Non-potable water service” means the delivery of water, other than water for human consumption or recycled water.

 

  3.2 The following provisions apply to non-potable water service.

 

  3.2.1 Establishment of service. Establishment of non-potable water service will be in accordance with A.A.C. R14-2-403.

 

  3.2.2 Customer information. The Company will provide the information to non-potable water customers as required in R14-2-404.

 

  3.2.3 Main extensions. Main extensions for non-potable water service will be subject to the requirements of A.A.C. R14-2-406.

 

  3.2.4 Provision of Service. Non-potable water service will be subject to the requirements of A.A.C. R14-2-407, except that R14-2-407(E), Minimum Deliver Pressure shall not apply because non-potable water is an unpressurized service.

 

  3.2.5 Meter reading. Meter reading for non-potable water service will be subject to the requirements of A.A.C. R14-2-408.

 

  3.2.6 Billing. Billing and collection for non-potable water service will be subject to the requirements of A.A.C. R14-2-409.

 

  3.2.7 Termination of service. Termination of service for non-potable water service will be subject to the requirements of A.A.C. R14-2-410.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Northern Scottsdale, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0 Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

5.1      Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Northern Scottsdale, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Northern Scottsdale, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Greater Tonopah, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For potable water service, the Company adopts the Rules of the Arizona Corporation Commission for water service (A.A.C. R14-2-401 to R14-2-411), as supplemented by this Tariff.

 

3.0 Special provisions for non-potable water service.

3.1         “Non-potable water service” means the delivery of water, other than water for human consumption or recycled water.

 

  3.2 The following provisions apply to non-potable water service.

 

  3.2.1 Establishment of service. Establishment of non-potable water service will be in accordance with A.A.C. R14-2-403.

 

  3.2.2 Customer information. The Company will provide the information to non-potable water customers as required in R14-2-404.

 

  3.2.3 Main extensions. Main extensions for non-potable water service will be subject to the requirements of A.A.C. R14-2-406.

 

  3.2.4 Provision of Service. Non-potable water service will be subject to the requirements of A.A.C. R14-2-407, except that R14-2-407(E), Minimum Deliver Pressure shall not apply because non-potable water is an unpressurized service.

 

  3.2.5 Meter reading. Meter reading for non-potable water service will be subject to the requirements of A.A.C. R14-2-408.

 

  3.2.6 Billing. Billing and collection for non-potable water service will be subject to the requirements of A.A.C. R14-2-409.

 

  3.2.7 Termination of service. Termination of service for non-potable water service will be subject to the requirements of A.A.C. R14-2-410.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Greater Tonopah, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0 Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

5.1      Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Greater Tonopah, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Water Utility of Greater Tonopah, Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Greater Buckeye Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For potable water service, the Company adopts the Rules of the Arizona Corporation Commission for water service (A.A.C. R14-2-401 to R14-2-41 1), as supplemented by this Tariff.

 

3.0 Special provisions for non-potable water service.

3.1       “Non-potable water service” means the delivery of water, other than water for human consumption or recycled water.

 

  3.2 The following provisions apply to non-potable water service.

 

  3.2.1 Establishment of service. Establishment of non-potable water service will be in accordance with A.A.C. R14-2-403.

 

  3.2.2 Customer information. The Company will provide the information to non-potable water customers as required in R14-2-404.

 

  3.2.3 Main extensions. Main extensions for non-potable water service will be subject to the requirements of A.A.C. R14-2-406.

 

  3.2.4 Provision of Service. Non-potable water service will be subject to the requirements of A.A.C. R14-2-407, except that R14-2-407(E), Minimum Deliver Pressure shall not apply because non-potable water is an unpressurized service.

 

  3.2.5 Meter reading. Meter reading for non-potable water service will be subject to the requirements of A.A.C. R14-2-408.

 

  3.2.6 Billing. Billing and collection for non-potable water service will be subject to the requirements of A.A.C. R14-2-409.

 

  3.2.7 Termination of service. Termination of service for non-potable water service will be subject to the requirements of A.A.C. Rl4-2-410.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Greater Buckeye Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0 Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

5.1       Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Greater Buckeye Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Valencia Water Company – Greater Buckeye Division   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Santa Cruz Water Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For potable water service, the Company adopts the Rules of the Arizona Corporation Commission for water service (A.A.C. R14-2-401 to R14-2-411), as supplemented by this Tariff.

 

3.0 Special provisions for non-potable water service.

3.1      “Non-potable water service” means the delivery of water, other than water for human consumption or recycled water.

 

  3.2 The following provisions apply to non-potable water service.

 

  3.2.1 Establishment of service. Establishment of non-potable water service will be in accordance with A.A.C. R14-2-403.

 

  3.2.2 Customer information. The Company will provide the information to non-potable water customers as required in R14-2-404.

 

  3.2.3 Main extensions. Main extensions for non-potable water service will be subject to the requirements of A.A.C. R14-2-406.

 

  3.2.4 Provision of Service. Non-potable water service will be subject to the requirements of A.A.C. R14-2-407, except that R14-2-407(E), Minimum Deliver Pressur, shall not apply because non-potable water is an unpressurized service.

 

  3.2.5 Meter reading. Meter reading for non-potable water service will be subject to the requirements of A.A.C. R14-2-408.

 

  3.2.6 Billing. Billing and collection for non-potable water service will be subject to the requirements of A.A.C. R14-2-409.

 

  3.2.7 Termination of service. Termination of service for non-potable water service will be subject to the requirements of A.A.C. R14-2-410.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Santa Cruz Water Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0 Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

5.1       Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Santa Cruz Water Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Global Water — Santa Cruz Water Company   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Willow Valley Water Co., Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

1.0 Applicability. This Terms and Conditions of Service Tariff applies to all services provided by the Company.

 

2.0 Adoption of Rules. For potable water service, the Company adopts the Rules of the Arizona Corporation Commission for water service (A.A.C. R14-2-401 to R14-2-411), as supplemented by this Tariff.

 

3.0 Special provisions for non-potable water service.

3.1       “Non-potable water service” means the delivery of water, other than water for human consumption or recycled water.

 

  3.2 The following provisions apply to non-potable water service.

 

  3.2.1 Establishment of service. Establishment of non-potable water service will be in accordance with A.A.C. R14-2-403.

 

  3.2.2 Customer information. The Company will provide the information to non-potable water customers as required in R14-2-404.

 

  3.2.3 Main extensions. Main extensions for non-potable water service will be subject to the requirements of A.A.C. R14-2-406.

 

  3.2.4 Provision of Service. Non-potable water service will be subject to the requirements of A.A.C. R14-2-407, except that R14-2-407(E), Minimum Deliver Pressure shall not apply because non-potable water is an unpressurized service.

 

  3.2.5 Meter reading. Meter reading for non-potable water service will be subject to the requirements of A.A.C. R14-2-408.

 

  3.2.6 Billing. Billing and collection for non-potable water service will be subject to the requirements of A.A.C. R14-2-409.

 

  3.2.7 Termination of service. Termination of service for non-potable water service will be subject to the requirements of A.A.C. R14-2-410.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Willow Valley Water Co., Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

4.0 Electronic Billing. Electronic Billing is an optional billing service whereby Customers may elect to receive, view, and pay their bills electronically. The Company may modify its Electronic Billing services from time to time. A Customer electing an electronic billing service may receive an electronic bill in lieu of a paper bill. Customers electing an electronic billing service may be required to complete additional forms and agreements. Electronic Billing may be discontinued at any time by the Company or the Customer. An Electronic Bill will be considered rendered at the time it is electronically sent to the Customer. Failure to receive bills or notices which have been properly sent by an Electronic Billing system does not prevent these bills from becoming delinquent and does not relieve the Customer of the Customer’s obligations therein. Any notices which the Company is required to send to a Customer who has elected an Electronic Billing service may be sent by electronic means at the option of the Company. Except as otherwise provided in this section, all other provisions of the Company’s tariffs and the Commission’s Rules and Regulations are applicable to Electronic Billing. The Customer must provide the Company with a current email address for electronic bill delivery. If the Electronic Bill is electronically sent to the Customer at the email address that Customer provided to the Company, then the Electronic Bill will be considered properly sent. Further, the Customer will be responsible for updating the Company with any changes to this email address. Failure to do so will not excuse the Customer from timely paying the Company for utility service.

 

5.0 Liability.

5.1       Water pressure for Private Fire Service and Public Fire Hydrant Service. The Company will supply only such water at such pressures as may be available from time to time as a result of the normal operation of its water system. The Company does not guarantee a specific water pressure or gallons per minute flow rate at any public fire hydrant or private fire service. In the event service is interrupted or irregular or defective or fails from causes beyond the Company’s control or through ordinary negligence of its employees or agents, the Company will not be liable for any injuries or damages arising therefrom. Ratepayers shall not be required to reimburse through rates, damages from the acts or omissions of the Company, its principals, agents or employees.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Willow Valley Water Co., Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.2 Limitation of Company responsibility. The Company does not assume the responsibility of inspecting or maintaining any customer’s piping or apparatus and will not be responsible therefor; however, the Company reserves the right to refuse water service unless the customer’s piping or apparatus is installed in such manner as to prevent cross connections or backflow into the Company’s system in compliance with the Company’s Cross-Connection/Backflow Tariff as approved by the Commission.

 

  5.3 Third party claims. Company will not be responsible for any third-party claims against Company that arise from Customer’s use of Company’s utility service unless such claims are caused by the Company’s willful misconduct or gross negligence.

 

  5.4 Indemnity. Customer will indemnify, defend and hold harmless the Company (including the costs of reasonable attorney’s fees) against all claims (including, without limitation, claims for damages to any business or property, or injury to, or death of, any person) arising out of any wrongful act or negligent omission of the Customer, or the Customer’s agents, in connection with the Company’s service or facilities.

 

  5.5 Limitation of damages. The liability of the Company for damages of any nature arising from errors, mistakes, omissions, interruptions, or delays of the Company, its agents, servants, or employees, in the course of establishing, furnishing, rearranging, moving, terminating, or changing the service or facilities or equipment shall not exceed an amount equal to the charges applicable under the Company’s tariff (calculated on a proportionate basis where appropriate) to the period during which the error, mistake, omission, interruption or delay occurs, except if such damages are caused by the Company’s willful misconduct or gross negligence.

 

DECISION NO.      74364        

   DOCKET NO. W-01212A-12-0309 ET AL.
Company:            Decision No.:                                      
Willow Valley Water Co., Inc.   
Phone: 623-518-4000    Effective Date:                                    

TERMS AND CONDITIONS OF SERVICE TARIFF

 

  5.6 Incidental, indirect, special, or consequential damages. In no event will the Company be liable for any incidental, indirect, special, or consequential damages (including lost revenue or profits) of any kind whatsoever regardless of the cause or foreseeability thereof.

 

  5.7 Interference with Company facilities. The Company will not be responsible in any occasion for any loss or damage caused by the negligence or wrongful act of the Customer or any of his agents, employees or licensees in installing, maintaining, using, operating or interfering with any Company facilities.

# # #

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

 

ATTACHMENT F

 

 

 

 

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Attachment F

  Tariffs to be filed under the Settlement Agreement

 

Tariff   

Agreement    

Section

    Utility    Due Date
Hook Up Fee Tariffs    7.2   

All Applicants

   

Within 30 days of Decision (Takes effect on effective date of order)

 

Hook Up Fee Tariffs    7.2   

Picacho Water, Picacho

Utilities, Hassayampa

   

Within 30 days of Decision

 

Low Income Tariff    8.1    Northern Scottsdale   

Within 30 days of Decision (Takes effect on effective date of order)

 

CAGRD Tariff    8.2    Greater Tonopah   

Within 30 days of Decision

 

BMPTariff    8.3    Northern Scottsdale    Within 30 days of Decision
Rate Tariffs    8.5    All Applicants   

Within 30 days of Decision (effective January 1, 2014)

 

Terms and Conditions Tariff    8.4    All Applicants   

Within 30 days of Decision

 

Code of Conduct    8.7    All Applicants   

May 2, 2014

 

  List of other filings required by the Agreement

 

Filing   

Agreement    

Section

 

    Utility    Due Date
Hook Up Fee Report   

7.3

 

    All    Annual, per tariffs
Hook Up Fee
Compliance Affidavit		   

7.3

 

    All    Annual

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

Filing   

Agreement    

Section

 

    Utility    Due Date
CAGRD semi-annual reports    8.2    Greater Tonopah   

Last week of April and October, each year

 

CAGRD rates    8.2    Greater Tonopah   

June 30 of even numbered years

 

CAGRD annual rate    8.2    Greater Tonopah   

August 25, each year

 

Water Loss Reports    9.1    Valencia-Town; Valencia- Buckeye; Greater Tonopah; Santa Cruz; Willow Valley    May of each year

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

ATTACHMENT B

 

                                     
                                     
     2015     2016     2017     2018     2019  
                                     

SIB GROSS INVESTMENT

   $       211,491       $       171,022       $       145,040       $       133,701       $       214,979    

CUMULATIVE GROSS INVESTMENT

   $ 211,491       $ 382,513       $ 527,553       $ 661,254       $ 876,233    
                                         

REV INCREASES SETTLEMENT AMOUNTS, NO SIB

   $ 202,135       $ 404,269       $ 404,269       $ 404,269       $ 404,269    
                                         

REV INCREASES SETTLEMENT AMOUNTS, WITH SIB

   $ 229,478       $ 453,125       $ 470,792       $ 486,582       $ 512,501    
                                         

OVERALL INCREASE FOR SIB

   $ 27,343       $ 48,856       $ 66,523       $ 82,313       $ 108,232    
                                         

LESS EFFICIENCY CREDIT

   $ (1,367)      $ (2,443)      $ (3,326)      $ (4,116)      $ (5,412)   
                                         

ADDITIONAL REV FOR SIB, LESS EFF. CREDIT

   $ 25,976       $ 46,413       $ 63,197       $ 78,197       $ 102,820    
                                         

INCREMENTAL REV FOR SIB, LESS EFF. CREDIT

   $ 25,976       $ 20,437       $ 16,784       $ 15,001       $ 24,623    
                                         

TEST YEAR REVENUES

   $ 702,652       $ 702,652       $ 702,652       $ 702,652       $ 702,652    
                                         

INCREASE W/O SIB

     28.77%        57.53%        57.53%        57.53%        57.53%   
                                         

INCREASE WITH SIB

     32.46%        64.14%        66.53%        68.66%        72.17%   

 

DECISION NO.      74364        

DOCKET NO. W-01212A-12-0309 ET AL.

 

           SURCHARGES *
           2015      2016      2017      2018      2019
                                             
   

5/8” Residential

    $ 1.21        $ 2.17        $ 2.95        $ 3.65        $            4.80 
   

3/4” Residential

    $ 1.82        $ 3.25        $ 4.42        $ 5.47        $            7.20 
   

1” Residential

    $ 3.03        $ 5.42        $ 7.37        $ 9.12        $          12.00 
   

5/8” Commercial

    $ 1.21        $ 2.17        $ 2.95        $ 3.65        $            4.80 
   

1” Commercial

    $ 3.03        $ 5.42        $ 7.37        $ 9.12        $          12.00 
   

1.5” Commercial

    $ 6.06        $ 10.83        $ 14.75        $ 18.25        $          23.99 
   

2” Commercial

    $ 9.70        $ 17.33        $ 23.60        $ 29.20        $          38.39 
   

6” Commercial

    $ 60.62        $ 108.31        $ 147.48        $ 182.48        $        239.94 
   

1” Irrigation

    $ 3.03        $ 5.42        $ 7.37        $ 9.12        $          12.00 
   

2” Irrigation

    $ 9.70        $ 17.33        $ 23.60        $ 29.20        $          38.39 
   

4” Irrigation

    $         30.31        $         54.16        $         73.74        $         91.24        $        119.97 
   

3” Hydrant

    $ 19.40        $ 34.66        $ 47.19        $ 58.39        $          76.78 
                                              
                                              
   

MEDIAN BILL IMPACTS FOR 5/8 X 3/4” CUSTOMERS

                                         
   

TBA’s ** without SIB

    $ 30.57        $ 37.03        $ 37.03        $ 37.03        $          37.03 
   

Previous Year Bill

    $ 24.40        $ 30.57        $ 37.03        $ 37.03        $          37.03 
   

increase over previous year

    $ 6.17        $ 6.46        $ -            $ -            $              -      
   

% increase over previous year

      25.3%         21.1%         0.0%         0.0%       0.0%
                                              
                                              
   

TBA’s ** without SIB

      30.57          37.03          37.03          37.03        37.03 
   

SIB SURCHARGE

    $ 1.21        $ 2.17        $ 2.95        $ 3.65        $            4.80 
   

TBA’s with SIB

    $ 31.78        $ 39.20        $ 39.98        $ 40.68        $          41.83 
   

Previous Year Bill

    $ 24.40        $ 31.78        $ 39.20        $ 39.98        $          40.68 
   

increase over previous year

    $ 7.38        $ 7.41        $ 0.78        $ 0.70        $            1.15 
   

% increase over previous year

      30.3%         23.3%         2.0%         1.8%       2.8%
                                              
                                              

* 

  

Surcharges represent cumulative amounts, after 2015

  

                                

        ** 

  

TBA’s are Typical Bill Analyses (in this case,

  

                                
   

for the median customer with a 5/8 x 3/4” meter)

  

                                

 

DECISION NO.      74364