20070720Decision memo.pdf

DECISION MEMORANDUM
TO:CO MMISSI 0 NER KJELLAND ER
COMMISSIONER SMITH
CO MMISSI 0 NER HANSEN
COMMISSION SECRETARY
COMMISSION STAFF
LEGAL
FROM:WELDON STUTZMAN
DATE:JULY 19, 2007
SUBJECT:CASE NO. UWI-07-
UNITED WATER'S MOTION FOR APPROV AL OF AMENDMENT TO
SPECIAL FACILITIES AGREEMENT
In final Order No. 30345 issued in Case No. UWI-07-, the Commission denied
approval of a Special Facilities Agreement (SFA) between United Water and Avimor LLC. The
Commission did not approve the SF A because it provided for a refund to A vimor of a significant part
of the cost of a water transmission main. In disapproving the SF A, the Commission stated
Accordingly, the Commission does not approve the SF A as filed, but will approve it if amended to
require the entire transmission main be contributed by Avimor." Order No. 30345 p.
On July 6, 1007, United Water filed a Compliance Filing and Motion setting forth an
amendment to the SFA by United Water and Avimor. The amendments to the SFA remove the terms
providing for refunds to A vimor for part of the construction of the water transmission main. The
changes also make clear that all of the transmission main costs, whether identified as "on-site main" or
off-site main" will be paid for by Avimor, and "shall be recorded on the Company s books as a
contribution in aid of construction." United Water requests approval of the amendments made to the
SFA.
Staff recommends the Commission issue an Order approving the Special Facilities
Agreement between United Water and A vimor as amended.
COMMISSION DECISION:
Should the Special Facilities Agreement between United Water and Avimor, as amended
be approved?
/-~~
Weldon B. Stutzman
bls/M:UWI-O7-01 ws2