PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 15-1851-S-CN
TOWN OF FRANKLIN SEWER SYSTEM
Pendleton County, West Virginia
Application for a certificate of convenience and
necessity to construct certain additions and
improvements to its existing sewerage system.
NOTICE OF FILING
On November 13, 2015, the Town of Franklin Sewer System (Franklin) filed a duly verified application for a certificate to construct certain additions and improvements to its existing sewerage system.
Franklin proposes to construct certain additions and improvements to its sewerage system consisting of: (i) Contract No. 1 – consists of approximately 3,862 linear feet of 6-inch, 7,024 linear feet of 8-inch, and 1,566 linear feet of 12-inch sanitary sewer pipe rehabilitation using U-Liner, 56 manhole insertions on the existing sewer system, 185 lateral reinsertions, reconnection of existing sewer line in two locations, three tie ins to existing manholes, removal and replacement of approximately 1,189 linear feet of 6-inch, 312 linear feet of 8-inch, and 913 linear feet of 10-inch PVC SDR 35 gravity sewer line, removal of approximately 895 linear feet of 10-inch PVC SDR 35, installation of approximately 1,216 linear feet of 10-inch PVC SDR 35 gravity sewer line, 702 linear feet of 4-inch PVC SDR 35 service lateral, 12 new manholes, the removal and replacement of 10 manholes, the removal of two manholes, and all related appurtenances; and (ii) Contract No. 2 – consists of improvements to the chlorine outfall structure, upgrading the existing pump station, new blower installation, relocation of the chart recorder, removal and disposal of 500,000 gallons of existing sludge, replacement of the existing lagoon pond liners, replacement of the floating baffles, chlorination improvements, new bar screen conveyor system, the removal/reinstallation of the aeration system, and all related appurtenances.
The application is on file with and available for public inspection at the Public Service Commission, 201 Brooks Street, Charleston, West Virginia.
The estimated cost of the Project is $3,040,900. Franklin proposes to fund the project with a $1,500,000 Small Cities Block Grant, a $1,140,900 loan from the Clean Water State Revolving Fund for a term of 40 years at 0{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c} interest, 0.5{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c} administrative fee, and a $400,000 grant from the West Virginia Infrastructure and Jobs Development Council.
Franklin anticipates charging the following rates, which have been enacted by the Town Council following municipal ordinance procedures:
SCHEDULE I
APPLICABILITY
Applicable to entire territory served.
RATES FOR GENERAL DOMESTRIC, COMMERCIAL, AND INDUSTRIAL SERVICE EXCEPT RESALE
First 1,000 gallons used per month
$17.60 per 1,000 gallons
All Over 1,000 gallons used per month
$10.56 per 1,000 gallons
MINIMUM CHARGE
No minimum bill will be rendered for less than $17.60 per month, which is the equivalent of 1,000 gallons.
DELAYED PAYMENT PENALTY
The above schedule is net. On all accounts not paid in full when due, ten percent 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.
RETURNED CHECK CHARGE
A service charge equal to the actual bank fee assessed to the Town of a maximum of $25.00 will be imposed upon any customer whose check for payment of charges is returned by their bank due to insufficient funds.
DELINQUENT BILLS
The Town of Franklin will pursue collection of delinquent accounts to the full extent of and subject to the applicable provisions of law. If any bill of sewer service is not paid in full within forty (40) days after billing date, the customer’s sewer service shall be subject to disconnection by the Town, subject to and in accordance with Public Service Commission rules and regulations. Service shall not be restored until all delinquent bills and penalties plus a reconnection charge of $50.00 have been paid.
TAP FEE
A tap fee of $350.00, or the greater of the actual cost of the connection (solely determined by the Utility), will be charged to customers applying for service outside a certificate proceeding before the Commission for each new tap to the system.
SECURITY DEPOSIT
Not to exceed fifty dollars ($50) or two-twelfths (2/12) of the average annual usage of the applicant’s specific customer class, whichever is greater.
CALL OUT CHARGES
A fee of $50.00 will be charged to customers for call outs after working hours or on holidays for problems other than the Town’s responsibility. This charge will be assessed if the problem originates in an area beyond the utility’s point of service is so determined at the time of the call out by the Town.
LEAK ADJUSTMENTS
Upon the incidence of unusual water consumption which can be attributed to eligible leakage on a customer’s side of the meter, an adjustment to the bill will be applied equal to the amount over and above the customer’s historical average usage.
MUNICIPAL EXCISE TAX SURCHARGE
The municipality listed below, having imposed public utility tax computed on the basis of 2.00 percent of the revenues from water sales by the Franklin Municipal Sewer Department within the corporate limits of such municipality, shall be billed as a “Utility Tax” to the customers receiving service within said corporate limits.
The water utility is required to collect the utility tax pursuant to West Virginia Code § 8-13-5a.
Customers receiving sewer service within the corporate limits of the specified municipality shall pay a surcharge based on the following surcharge rate:
Utility Excise Tax
Municipality Local Tax Rate
Town of Franklin 2.00{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
SCHEDULE II
SURFACE OR GROUND WATER SURCHARGE
Whenever the Town has discovered that a customer’s roof drain, downspouts, storm sewer, or other similar facilities conducting surface water have been connected to the Town’s sewer system, and such customer has failed to take appropriate action within thirty (30) days of receipt of a demand by the Town, in accordance with the Rules and Regulations of the Public Service Commission, to eliminate such connection, a surcharge will be imposed upon the customer calculated on the basis of the following formula:
S = A x R x .0006233 x C
S = The surcharge in dollars.
A = The area under roof and/or the area of any other water collection surface connected to the sanitary sewer, in square feet.
R = The measured monthly rainfall, in inches.
0006233 = A conversion factor to change inches of rain x square feet of surface to thousands of gallons of water.
C = The Town’s approved rate per thousand gallons of metered water usage.
The Town shall not impose the surcharge unless and until the customer has been notified by certified mail, return receipt requested, or by hand delivery, that it has been established by smoke testing, dye testing, or on-site inspection that rain or other surface water is being introduced into the sanitary sewer system at the customer’s location, and that the customer has not acted within thirty (30) days from receipt of such notice to divert the water from the sanitary sewer system.
Said surcharge shall be calculated and imposed for each month that said condition continues to exist. Failure to pay the surcharge and/or correct the situation shall give rise to the possible termination of water service in accordance with the Rules and Regulations of the Public Service Commission of West Virginia.
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 (2,620 gallons) $4.54 15{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
Industrial (1,483 gallons) $2.97 15{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
Public Authority (6,264 gallons) $9.57 15{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
Commercial (6,821 gallons) $10.33 15{4ceb532c6f579389df471c6c1e832caf2346b74dc60fcbf6aabd4d29df3baf9c}
The Town of Franklin Sewer system has no resale customers.
The proposed increased rates and charges related to the project will produce approximately $31,430 annually in additional revenue, an increase of 14.74{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.
Anyone desiring to protest or intervene in the Certificate proceeding should file a written protest or request to intervene within 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 rates increases, or 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 Commission’s rules on interventions and should be addressed to Ingrid Ferrell, Director, Executive Secretary Division, 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. 1c