PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON

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1 PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON Entered by the Public Service Commission of West Virginia, in the City of Charleston on the 10th day of October CASE NO PSD-CN UNION PUBLIC SERVICE DISTRICT Kanawha County, West Virginia Application for a certificate of convenience and necessity to construct sanitary sewer extensions to Rocky Fork and 40th Street areas, an upgrade of the Koontz Drive lift station, and upgrade of the Rocky Fork Wastewater Treatment Plant. COMMISSION ORDER On October 2,20 17, Union Public Service District filed a duly verified application for a certificate of convenience and necessity to construct sanitary sewer extensions to Rocky Fork and 40th Street areas, an upgrade of the Koontz Drive lift station, and upgrade of the Rocky Fork Wastewater Treatment Plant. Pursuant to , W.Va. Code, IT IS ORDERED that Union Public Service District give notice of the filing of said application, by publishing a copy of the attached Notice of Filing once in a qualified newspaper as provided in W.Va. Code et seq., published and of general circulation in counties where service is provided, making due return to this Commission of proper certification of publication within thirty (30) days from the date of publication. IT IS FURTHER ORDERED that within thirty (30) days of the date ofthis Order, CJnion Public Service District shall have completed the mailing ofseparate notices to each of its customers by one or a combination of the following methods: (i) inclusion of the Form No. 14 Notice of Filing as a bill insert; (ii) separately mailing the Form No. 14 Notice of Filing; or (iii) only for utilities that bill by postcard instead of in an envelope, and who elect not to separately mail the Form No. 14 Notice of Filing, inclusion of a statement on a postcard billing as follows: This utility is seeking a rate increase. Details available in newspaper publications or at the utility office after October 2, 2017, by calling (304) , and the utility shall have made due return to this Coinmission of its affidavit as proper certification that the notice was provided.

2 IT IS FURTHER ORDERED that in the absence of substantial protest received within the stated thirty (30) day period, the Commission may waive formal hearing and render its decision on the application based on the evidence submitted with the application and the Commission's review thereof. A True Copy, Teste, s.doc Ingrid Ferrell, Executive Secretary

3 CASE NO PSD-CN PUBLIC SERVICE C O~~ISSION OF WEST VIRGINIA CHARLESTON IJNION PlJBLIC SERVICE DISTRICT Kanawha County, West Virginia Application for a certificate of convenience and necessity to construct sanitary sewer extensions to Rocky Fork and 40th Street areas, an upgrade of the Koontz Drive lift station, and upgrade of the Rocky Fork Wastewater Treatment Plant. NOTICE OF FILING On October 2,20 17, IJnion Public Service District (District) filed a duly verified application for a certificate of convenience and necessity to construct sanitary sewer extensions to Rocky Fork and 40 Street areas, an upgrade of the Koontz Drive lift station, and upgrade of the Rocky Fork Wastewater Treatment Plant. The District proposes to install a new gravity sewer collection system in the Rocky Fork Fishers 3ranch area to serve approximately 144 customers, two (2) proposed lift stations - Rocky Fork Lift Station and Amy Road Lift Station, install a sewage force main from the Rocky Fork lift Station to the existing wastewater treatment plant under Contract 1. Contract 2 consists of installation ofa new gravity sewer collection system in the 40th Street area to serve approximately 39 customers, one (1) proposed lift station - Crest Drive Lift Station which will convey flow from a section of tho collection system to a manhole which will then be transported to the 40th Street wastewater treatment plant. Contract 3 consists of installation of a new sewage lift station and replacement of an existing sewage force main. Contract 4 consists of installation of a new garageioffke building and a new packaged headworks system, replacement of existing clarification equipment and relocation of existing utilities. The application is on file with and available for public inspection at the Public Service Commission Brooks Street, in Charleston, West Virginia. The District estimates that the project will cost approximately $8,637,000. It is proposed that the prqject will be financed with a CWSRF loan in the amount of $8,637,000 for a term of20 years at 3% interest. The District anticipates charging the following increased rates for its customers: APPLICABLITY Applicable within the entire area served. 3

4 AVAIL,ARILITY Available for general domestic, commercial, industrial service. RATES (Customers with metered water supply) First 5,000 gallons used per month $ 9.98 per 1,000 gallons Next 15,000 gallons used per month $ 8.09 per 1,000 gallons Ail over 20,000 gallons used per month $ 6.59 per 1,000 gallons MINIMlJM CHARGE No bill will be rendered for less than $19.96 per month, which is the equivalent of 2,000 gallons. FLA I RATE CHARGE (Customers with non-metered water supply) tquivalent to 4,500 gallons of water usage $ DELAYED PAYMENT PENTALTY The above schedule is net. On all accounts not paid in full when due, ten percent (I 0%) 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. I AP FEE The following charges are to be made whenever the utility installs a new tap to serve an applicant. A tap fee of$ will be charged to customers applying for service before construction is completed adjacent to customer s premises in connection with a certificate proceeding before the Commission. This pre-construction tap fee will be invalid -after the completion of construction adjacent to an applicant s premises that is associated with a certificate proceeding. A tap fee of $ will be charged to all customers who apply for service outside of a certificate proceeding. Before the Commission for each new tap on the system. RE TURNEXI CHECK CHARGE A scrvice charge equal to the actual bank fee assessed to the sewer utility up to 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. RULES PERTAINING TO SUBDIVISIONS A. Each subdivision must obtain the required approval of the Planning and Zoning Commission of Kanawha County. B. l he plans and sketches for the proposed sewer system shall meet all requirements of the Department of Health of West Virginia and shall be approved by the Division of Sanitary Engineering. C The subdivider s sewer system shall itself be inspected by Union Public Service District, and, if approved by the Health Department of West Virginia end the aforesaid Planning and Zoning Commission and llnion Public Service District, the said District will accept a conveyance of the system and will be solely responsible for its future repair and maintenance. 4

5 - DI SCONNF.:C'TIRECONNECTION ADMIN FEE Whenever water service has been disconnected for non-payment of sewer bills, in connection with a water service termination agreement with West Virginia-American Water Company, a disconnection fee of $25 shall be charged; or in the event a delinquent sewer bill is collected by the water company, an administrative fee of $25.00 shall be charged. Whenever water service has been previously disconnected or otherwise withheld for nonpayment of a sewer bill in conjunction with a water service termination agreement with West Virginia-American Water Company, is reconnected, a reconnection fee of $25.OO shall be charged. LEAK AIIJUSTMEN?' $0.70 per 1,000 gallons is to be used when a bill reflects unusual water consumption which can be attributed to eligible leakage on a customer's side of the meter. This rate shall be applied to all such consumption above the customer's historical average usage. SECURI'I-Y DEPOSIT A deposit of $50.00 or 2/12ths of the average usage of the applicant's specific customer class, whichever is greater. SURCI-IARGE FORMULA TO BE APPLIED IN THE CASE OF USERS PRODUCING UNlJSUAL WATER The charge for the treatment of unusual waste will be calculated on the following formula: Ci VoVi +BoBi+SoSi Ci = Charge to unusual users per year Vo = average unit cost to transport and treatment chargeable to volume, in dollars per gallon. Vi = volume of wastewater from unusual users in gallons per year., Bo = average unit cost of treatment, chargeable to Biochemical Oxygen Demand (BOD) in dollars per pound. Bi = weight of BOD from unusual users in pounds per year So = average unit cost of treatment (including sludge treatment) chargeable to total solids in dollars per pound. Si = weight of -total solids from unusual users in pounds per year. When an unusual user is to be served, a preliminary study of its wastes, and the cost of transport and treatment thereof will be made. The total cost of any such study performed shall be borne entirely by the unusual user, waste containing materials which, in the judgment of the Union Public Service District, should not be introduced into the sewer system, need not be handled by it. The results of the preliminary study will be used to determine the feasibility of the proposed sewer service and the charge therefore, based upon the formula set out above, 5

6 .Thereafter, unusual sewage wilt be monitored on a regular basis and at the conclusion of each fiscal year, based on the investigation aforesaid investigation and audit the Union Public Service District's records, new cost figures will be calculated for use in the above formula. The cost of establishing the monitoring facilities shall be paid by the unusual user, or refund given by the [inion Public Service District, as the case may be. Such audited figures will then be used for the preliminary billing for the next fiscal year, at the end of which an adjustment will be made as aforesaid. SURCHARGE WHEN SURFACE DRAINAGE IS CONNECTED TO TIE UNION PUBLIC SERVICE DISTRICT SANITARY SEWERAGE SYSTEM An additional amount shall be charged where surface or ground water is introduced into the District's sanitary system where evidence of a violation exists. APPLICABI1,ITY Whenever the Union Public Service District has discovered that a customer's roof drain, downspout, storm sewer or similar facilities conducting surface water have been connected to the District's sewer system, and such customer has failed to take appropriate action within thirty (30) days of receipt of a demand by the District in accordance with the rules and regulations of the Public Service Commission to eliminate such connection, a surcharge will be imposed upon the customer as calculated on the basis of the following formula: S = Ax Rx x c S = The surcharge in dollars Ax = The area under roof and/or the area of any other water collection surface connected to the sanitary sewer, in square feet. Rx = The measured monthly rainfall, in inches, = A conversion factor to change inches of rain x square feet of surface to thousands gallons of water. c = The district's approved rate per thousand gallons of metered water usage. The Union Public Service District 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 surface water is being introduced into Districts 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 District's sanitary sewer system, Said surcharge will be calculated and imposed for each month that the 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. BULK TREATMEN'l RATES (Based on flow meter usage) All leachate from the Kanawha Western Landfill will be treated for the rate of$7.99 per gallons 6

7 B'CJLK TREATMENT RATES (Based on M gallons of wastewater transported for treatment to the Union Public Service District) All wastewater from Cadle Sanitary Service will be treated at the rate of $7.99 per 1,000 gallons These rates represent the following project-related increases to become effective upon substantial completion of the project unless otherwise ordered: Residential - Flat rate Residential -- Metered Commercial lndustrial Public Authority ($)INCREASE $ (%)INCREASE The District has no resale customers. The proposed increased rates related to the project will produce approximately $747,663 annually in additional revenue, an increase of 34.8%. The total increase granted will not exceed this estimate unless further notice is provided. The increases shown above 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 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 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 Ingrid Ferrell, Executive Secretary, P.O. Box 8 12, Charleston, West Virginia 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. 7