PUBLIC SERVICE COMMlSSlON
OF WEST VIRGINIA
CHARLESTON

At a session of the PUBLIC SERVICE COMMISSION OF WEST VIRGINIA in the City of Charleston on the 7th day of November 2023.

CASE NO. 23-0844-S-MA

TOWN OF HARMAN,
a municipal utility.
Investigation and suspension of increase in
sewer rates and charges as a result of
petitions filed in accordance with W.Va.
Code S24-2-4b.

COMMISSION ORDER

The Commission rescinds the suspension period established in the October 31, 2023 Order.

BACKGROUND AND DISCUSSION

On or about October 3, 2023, the Town of Harman (Town) adopted an ordinance increasing the rates and charges by approximately 21.12 percent to sewer customers of the Town. The Town claimed it is in such financial distress that a 45-day waiting period would be detrimental to its ability to deliver continued and compliant public services. Thus, the Town made the rates effective immediately after enactment.

On October 30, 2023, the Commission received a Petition of protest apparently signed by not less than 25 percent of the Town’s sewer customers. The Petition requested suspension of any sewer rate increase and Commission review of the ordinance pursuant to Rule 44 of the Commission’s Rules for the Construction and Filing of Tariffs under W.Va. Code Section 24-2-4b.

On October 31, 2023, the Commission issued an Order suspending the proposed sewer rates and referring this case to the Administrative Law Judges Division. (October 31 Order).

On November 1, 2023, the Town filed a Motion to Rescind, asserting that because the rate increase is less than 25 percent, the suspension of the effective date of the rates approved by the ordinance in the October 31 Order was inconsistent with the facts of the case and W.Va. Code Section 24-2-4b(d)(2).

The Town is correct. Pursuant to W.Va. Code Section 24-2-4b(d)(2), the Commission has jurisdiction to review the rates, because the Commission received a Petition of protest that appears to consist of not less than 25 percent of the Town’s sewer customers. W.Va. Code Section 24-2-4b(d)(2) provides, however, that a municipal rate ordinance that results in an increase of less than 25 percent of the gross revenue of the utility shall be presumed valid and rates shall be allowed to go into effect, subject to refund, on the date stated in the ordinance. Because the rate increase is less than 25 percent, the rates were to be effective as of the date stated in the ordinance, subject to refund. Furthermore, pursuant to W.Va. Code Section24-2-4b(b), the Town made the rates effective upon passage of the ordinance and waived the 45-day waiting period.

ORDER

IT IS THEREFORE ORDERED that the October 31, 2023 suspension of rates is rescinded pursuant to the requirements of W.Va. Code Section 24-2-4b(d), and the aforesaid proposed sewer rates and charges were effective as of October 3, 2023, subject to refund, until further order.

IT IS FURTHER ORDERED that this proceeding continue to be processed by the Division of Administrative Law Judges Division pursuant to the November 3, 2023 Order addressing the Commission Staff Motion to Toll.

IT IS FURTHER ORDERED that the Secretary of the Commission shall cause a copy of this Order to be published once, in a newspaper of general circulation in the Town of Harman, within five days of the date this Order is issued.

IT IS FURTHER ORDERED that the Executive Secretary of the Commission serve a copy of this Order on the Town of Harman by United States Certified Mail, Return Receipt Requested, by electronic service on all other parties of record who have filed an e-service agreement, by United States First Class Mail on all parties of record who have not filed an e-service Agreement, and on Commission Staff by hand delivery.

A True Copy, Teste,
Karen Buckley, Executive Secretary
11/13