PSC Case No 15 1672 PWD CN

CASE NO. 15-1672-PWD-CN
Tucker County, West Virginia
Application for a certificate of convenience and necessity to
construct certain additions and improvements to its existing
waterworks system.
On October 8, 2015, Hamrick Public Service District (the “District”) filed an application, duly verified, for a certificate of convenience and necessity to construct certain additions and improvements to the District’s existing waterworks system.
The District proposes to construct the following additions and improvements to its waterworks system consisting of: (i) Contract No. 1 – replacement of approximately 440 meters and service lines, removal and replacement of two gate valve assemblies, replacement of numerous fire hydrant assemblies, elimination of the St. George Altitude valve vault, installation of a new 2-inch solenoid valve and vault, and installation of a new solenoid control building with booster chlorination and telemetry; (ii) Contract No. 2 – repaint and rehabilitate the District’s existing 200,000 gallon water storage tank; (iii) Contract No. 3 – expansion of the existing 200 gallon per minute water treatment plant to a 250 gallon per minute water treatment plant with major work to consist of replacing the existing two 200 gallon per minute raw water pumps with two 250 gallon per minute pumps with variable frequency drives, replacement of the existing package filtration units with two new package filtration units including controls, valves and process equipment in a new pre-engineered building, demolition and removal of the existing packaged filtration units and flocculation tank, and installation of an emergency generator; (iv) Contract No. 4 – installation of approximately 36,085 linear feet of 4-inch water line, installation of one 39 gallon per minute duplex booster station with booster chlorination and variable frequency drives, installation of one 50 gallon per minute constant pressure hydro-pneumatic station with booster chlorinate and variable frequency drives, and installation of one 15,000 gallon water storage tank with mixing; and (v) installation of all necessary mechanical, electrical, piping, valves, controls and appurtenances related to the contracts. The Project will allow the District to provide new water service to approximately 42 customers in the Location Road area of Tucker County, West Virginia.
The application is on file with and available for public inspection at the Public Service Commission, 201 Brooks Street, Charleston, West Virginia.
The District estimates that the project will cost approximately $6,250,000. The District proposes to fund the Project with a $250,000 Small Cities Block Grant, a $600,000 grant from the West Virginia Infrastructure and Jobs Development Council (“WVIJDC”), a $4,150,000 loan from the WVIJDC for a term of 40 years at 1{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c} interest, and a $1,250,000 West Virginia Water Development Authority grant anticipation note.
The District anticipates charging the following increased rates for its customers:
Applicable within the entire territory served.
Available for general domestic, commercial, industrial water service.
First     3,000     gallons used per month     $13.42     per 1,000 gallons
Next     3,000     gallons used per month     $11.95     per 1,000 gallons
Next     4,000     gallons used per month     $9.92     per 1,000 gallons
Next     10,000     gallons used per month     $8.68     per 1,000 gallons
Over    20,000     gallons used per month    $6.00     per 1,000 gallons
No minimum bill will be rendered for less than the following amounts, according to the size of meter installed, to wit:
5/8    inch meter    $40.25
3/4    inch meter    $60.38
1    inch meter    $100.63
1 – 1 /2     inch meter    $201.26
2    inch meter    $322.02
3    inch meter    $644.04
4    inch meter    $1,006.31
6    inch meter    $2,012.63
8    inch meter    $3,220.20
The above schedule is net. On all accounts not paid in full when due, ten percent (10{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}) 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.
The following charge is to be made whenever the utility installs a new tap to serve an applicant:
A tap fee of $300.00 will be charged to all customers who apply for service outside of a certificate proceeding before the Commission for each new tap to the system.
To be charged whenever the supply of water is turned off for violations of rules, nonpayment of bills or fraudulent use of water.
Where connections, hydrants, sprinklers, etc., on private property are maintained by customer:
Fire Hydrants    $74.57 per year
Sprinkler Heads    $0.27 per year
A service charge equal to the actual bank fee assessed to the District up to a maximum of $25.00 will be imposed upon any customer whose check for payment of charges is returned by the bank due to insufficient funds.
$1.00 per 1,000 gallons is to be used when the bill reflects unusual consumption which can be attributed to eligible 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.
A deposit of $50.00 or two-twelfths (2/12) of the average annual usage of the applicant’s specific customer class, whichever is greater.
These rates represent the following project-related increases that will become effective upon substantial completion of the project unless otherwise ordered:
($) INCREASE    ({4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}) INCREASE
Residential    $16.65    46.8{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
Public Authority    $27.43    46.8{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
Commercial    $38.30    46.8{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
The District has no resale customers.
The proposed increased rates and charges related to the project will produce approximately $168,659 annually in additional revenue, an increase of 55.3{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}. The total increase granted 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 in the Certificate proceeding 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 or participate in future proceedings. All protests or requests to intervene should briefly state the reason for the protest or request to intervene. Requests to intervene must comply with the rules on intervention set forth in the Commission Rules of Practice and Procedure. All protests and requests to intervene should be addressed to Executive Secretary, P.O. Box 812, Charleston, West Virginia 25323.
In the absence of substantial protest received within thirty (30) days of this publication, the Commission may waive formal hearing and grant the application based on Commission review of the evidence submitted with the application.