PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 21-0718-PWD-CN
NAME OF APPLICANT:
Armstrong Public Service District
PO Box 156
Kimberly, WV 25118
Application for a Certificate of Convenience and Necessity to undertake improvements to provide quality and dependable potable water service to approximately 920 customers (865 EDUs), as well as fire protection service to most of the service area, which consists of replacing the existing Powellton water storage tank, upgrading the existing water mains in the Powellton area, and upgrading the existing water mains in the Deepwater area, as well as providing fire protection service to Deepwater; in the County of Fayette, West Virginia.
NOTICE OF FILING
On October 1, 2021, the Armstrong Public Service District filed an application, duly verified, for a Certificate to undertake improvements to provide quality and dependable potable water service to approximately 920 customers (865 EDUs), as well as fire protection service to most of the service area, which consists of replacing the existing Powellton water storage tank, upgrading the existing water mains in the Powellton area, and upgrading the existing water mains in the Deepwater area, as well as providing fire protection service to Deepwater; in the County of Fayette, West Virginia. Water will be supplied by the recently upgraded water treatment plant in Kimberly. No new customers will be picked up by this project. However, this project includes the replacement of a significant portion of the existing water distribution system, which has been problematic for the District for years in terms of water loss, maintenance costs, and safety hazards.
This project has no alternative project deductions and/or additions that the applicant intends to make in the event a project modification becomes necessary.
The application is on file with and available for public inspection at the Public Service Commission, 201 Brooks Street, in Charleston, West Virginia.
The Armstrong Public Service District (Applicant) estimates that construction will cost approximately $2,503,000.00: Funding for the project has been confirmed or will be confirmed as follows: USDA Rural Utilities Service Loan $385,000.00(binding commitment has been requested and is expected within the normal time frame), USDA Rural Utilities Service Grant $618,000.00 (binding commitment has been requested and is expected within the normal time frame), and West Virginia Community Development Block Grant in the amount of $1,500,000.00.
The utility anticipates charging the following proforma rates for its customers:
SCHEDULE I
APPLICABILITY
Applicable within the entire area served (except for the area formerly served by Deepwater).
AVAILABILITY OF SERVICE
Available for general domestic, commercial and industrial service and sale for resale sewer service.
(I) RATES (Customers with metered water supply)
First 2,000 gallons used per month $ 20.01 per 1,000 gallons
Next 3,000 gallons used per month $ 13.70 per 1,000 gallons
All over 5,000 gallons used per month $ 8.40 per 1,000 gallons
(I) MINIMUM CHARGE
No bill will be rendered for less than the following, according to the size of the meter installed:
5/8 inch meter $ 40.02 per month
3/4 inch meter $ 60.03 per month
1 inch meter $ 100.05 per month
1 ½ inch meter $ 200.10 per month
2 inch meter $ 320.16 per month
3 inch meter $ 640.32 per month
4 inch meter $ 1,000.50 per month
6 inch meter $ 2,001.00 per month
RETURNED CHECK CHARGE
A service charge equal to the actual bank fee assessed to the District, not to exceed $25.00, will be imposed upon any customer whose check for payment of charges is returned by the bank due to insufficient funds.
DELAYED PAYMENT PENALTY
The above schedule is net. On all accounts not paid in full when due, ten percent (10%) will be added to the net current amount unpaid. This delayed payment penalty is not interest and is to be collected only once for each bill where it is appropriate.
DISCONNECT/RECONNECT FEE
A disconnection fee of $20.00 is to be charged whenever the supply of water is turned off for violation of rules, non-payment of bills, or fraudulent use of water.
Whenever water service, which has been previously disconnected, is reconnected, a fee of $20 shall be charged.
TAP FEE
The following charges are to be made whenever the utility installs a new tap to serve an applicant.
A tap fee of $300 will be charged to customers applying for service, outside of a certificate pending before the Commission, for each new tap to the system.
LEAK ADJUSTMENT
$1.39 per 1,000 gallons is to be used when the bill reflects unusual consumption which can be attributed to eligible water leakage on the customer’s side of the meter. This rate shall be applied to all such consumption above the customer’s historical average usage.
SECURITY DEPOSIT
Not to exceed two-twelfths (2/12) of the average annual usage of the applicant’s specific customer class, or fifty dollars, whichever is greater. This fee may be changed by applicable statutory provisions.
SCHEDULE II
APPLICABILITY
Applicable within the entire area served (formerly served by Deepwater).
AVAILABILITY OF SERVICE
Available for general domestic, commercial and industrial service and sale for resale sewer service.
(I) RATES (Customers with metered water supply)
First 2,700 gallons used per month $ 14.83 per 1,000 gallons
Next 2,300 gallons used per month $ 12.96 per 1,000 gallons
Next 5,000 gallons used per month $ 8.40 per 1,000 gallons
All over 5,000 gallons used per month $ 7.23 per 1,000 gallons
(I) MINIMUM CHARGE
No bill will be rendered for less than the following, according to the size of the meter installed:
5/8 inch meter $ 40.04 per month
3/4 inch meter $ 60.06 per month
1 inch meter $ 100.10 per month
1 ¼ inch meter $ 146.15 per month
1 ½ inch meter $ 200.21 per month
2 inch meter $ 320.33 per month
3 inch meter $ 640.66 per month
RETURNED CHECK CHARGE
A service charge equal to the actual bank fee assessed to the District, not to exceed $25.00, will be imposed upon any customer whose check for payment of charges is returned by the bank due to insufficient funds.
DELAYED PAYMENT PENALTY
The above schedule is net. On all accounts not paid in full when due, ten percent (10%) will be added to the net current amount unpaid. This delayed payment penalty is not interest and is to be collected only once for each bill where it is appropriate.
DISCONNECT/RECONNECT FEE
A disconnection fee of $20.00 is to be charged whenever the supply of water is turned off for violation of rules, non-payment of bills, or fraudulent use of water.
Whenever water service, which has been previously disconnected, is reconnected, a fee of $20 shall be charged.
TAP FEE
The following charges are to be made whenever the utility installs a new tap to serve an applicant.
A tap fee of $300 will be charged to customers applying for service , outside of a certificate proceeding before the Commission, for each new tap to the system.
LEAK ADJUSTMENT
$1.39 per 1,000 gallons is to be used when the bill reflects unusual consumption which can be attributed to eligible water leakage on the customer’s side of the meter. This rate shall be applied to all such consumption above the customer’s historical average usage.
SECURITY DEPOSIT
Not to exceed two-twelfths (2/12) of the average annual usage of the applicant’s specific customer class, or fifty dollars, whichever is greater. This fee may be changed by applicable statutory provisions.
These rates represent the following project-related increases to become effective upon substantial completion of the project unless otherwise ordered:
ARMSTRONG:
($)INCREASE (%)INCREASE
Residential 4.40 8.45 %
Commercial 5.47 8.46 %
Industrial 11.40 8.43 %
Other 3.12 8.46 %
DEEPWATER:
($)INCREASE (%)INCREASE
Residential 3.13 8.48 %
Commercial 3.13 8.48 %
Resale 76.31 8.53 %
The District has one resale customer, West Virginia American Water Company.
The increased rates and charges related to the Project will produce approximately $41,908 annually in additional revenue, an increase of 8.38%. The total increase will not exceed this estimate unless further notice is provided.
The increases shown are based on averages of all customers in the indicated class. Individual customers may receive increases that are greater or less than average. Furthermore, the requested rates and charges among the various classes of customers are only a proposal and are subject to change (increases or decreases) by the Public Service Commission in its review of this filing.
Anyone desiring to protest or intervene should file a written protest or request to intervene within thirty (30) days following the date of this publication unless otherwise modified by Commission order. Failure to timely protest or intervene can affect your right to protest aspects of this certificate case, including any associated rate increases, or to participate in future proceedings. All protests or requests to intervene should briefly state the reason for the protest or intervention. Requests to intervene must comply with the rules on intervention set forth in the Commission’s Rules of Practice and Procedure. All protests and requests to intervene should be addressed to Connie Graley, Executive Secretary, P. O. Box 812, Charleston, West Virginia 25323.
In the absence of substantial protest received within said thirty (30) day period, the Commission may waive formal hearing and render its decision on the application based on the evidence submitted with said application and its review thereof.