20180518Decision Memo.pdf

DECISION MEMORANDIJM
TO:COMMISSIONER IC'ELLANDER
COMMISSIONER RAPER
COMIVtrSSIONER ANDERSON
COMMISSION SECRSTARY
COMMISSION STAFF
LEGAL
FROM:BRANDON I(ARPEN
DEPUTY ATTORNEY GENERAL
DATE: MAY 18,2018
SUBJECT:suEz WATER rNC. APPLICATION TO TRrIE-t P COSTS, RATES, AIYD
CHARGES RELATED TO CONNECTION AND TRANSFER OT BRIAN
WATER; CASE NO. SUZW-r8-01
On September 29, 2014, Suez and Brian Subdivision Water Users' Association
jointly applied to the Commission seeking an Onder authorizing Suez to connect to, and take over
operation of, Brian Water's water system. This request came about because insurmountable costs
related to contaminants in Brian Waterns ground water wells. Suez estimated costs $1.3 million
for Suez to connect the system.
The Commission authorized Suez to connect and provide service to Brian Water
customers and certain ratemaking tlsatment. Order 33195. The Commission Ordered that prior to
charging any former Brian Water customers for service, Suez complete the connection and file
conforming tariffs consistent with Commission Order.
Suez has completed the interconnection, and Brian Subdivision is now fully
connected and served by Suez. Suez now comes before the Commission to report that actual
project costs exceeded original estimates by $351,967. Suez attributes unanticipated bore piping
construction difficulties for the cost overun.
Consistent with Order 33195, Suez is requesting Commission approve of a trued-up
rate, and approve of the conforming taritrs. The Company provided supporting testimony and
documentary evidence supporting its application. The Company requests that the application be
processed by modified procedure. No effective date was requested.
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STAFF RECOIVIMENDATION
Sta.ff recommends that the Commission issue a Notice of Applicatioq and that the
processing of this matter by modified procedure is appropriate, and that the Commission order
the same. Stafffurther recornmends sening an intervention deadline of June 7,2018.
COMN/IISSION DECISION
Does the Commission wish to issue a notice of application, and adopt a case
scheduled as described above?
Deputy Attorney General
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