20201023Decision Memo.pdf

RE
DECISION MEMORANDUM
TO COMMISSIONER KJELLAI\DER
COMMISSIONER RAPER
COMMISSIONER ANDERSON
COMMISSION SECRETARY
COMMISSION STAFF
FROM: JOHN R. HAMMOND JR.
DATE: OCTOBER 23,2020
CDS STONERIDGE UTILITIES, LLC CHARGING CUSTOMERS IN
EXCESS OF THE COMMISSION.APPROVED TARIFF RATE FOR A
NEW WATER SERVICE CONNECTION; CASE NO. SWS-W-20-02.
On September 9, 2020, the Commission issued Order No. 34770 directing CDS
Stoneridge Utilities, LLC ("Company") to immediately cease all billing practices that conflict with
its Tariff, including but not limited to, charging new customers more than the Commission-
approved $1,200 Hook-up Fee to connect to the Company's water system. See Order No. 34770
at 4.
The Commission also directed the Company to file a written response within twenty-
one (21) days of the service date of OrderNo. 34770 to confirm or deny the findings of Staff and
the Commission's response to those findings. Id. Additionally, the Commission directed the
Company to produce and provide the Commission copies of all records about new customer
connections to the water system since November of 2018 through the present, including an
itemization and description of the labor performed, equipment and materials installed, and all
charges the customer paid to connect to the Company's water system. Id. at 5.
The Company filed its Response on October 21,2020, and under separate cover has
provided Staff with a spreadsheet containing a list of new connections from 2018 to present and
the amount the customer was charged to connect to the water system. Through its on-going audit,
Staff already possessed this information. But Staff still has not received backup documentation
on each new connection that the Company was required to provide by Order No. 34770.1
I O, th" day the Company filed its response, October 21, 2020, counsel for the Company represented in
correspondence that the Company was still working on providing Staff the required backup documentation.
DECISION MEMORANDUM 1
STAFF'S RECOMMENDATION
Staff requests that the Commission issue an order authorizing Staff to reply to the
Company's response within twenty-one (21) days from the service date of the order. Staff also
recommends that the Commission allow the Company to file a sur-reply to Staffs reply within
seven (7) days after Stafffiles its reply.
If the Company has not provided the additional documentation by November 4,2020,
Staff may not have adequate time to review the documentation prior to filing its reply. Staff is
concerned that the continued delay to provide this documentation may harm customers and is
contrary to the directives in Commission Order No. 34770.
COMMISSION DECISION
Does the Commission wish to allow the Commission Staff to reply to the Company's
response within twenty-one (21) days from the service date of the order?
Does the Commission wish to allow the Company to file a sur-reply to Staffs reply
within seven (7) days after Staff files its reply with the Commission?
Does the Commission wish to address any other matter in this case?
R. Hammond Jr
Attorney General
I:[Eg8I\WATER\SWS-W-2042\memos\SWSW2002_memo I jh.docx
DECISION MEMORANDUM 2