HomeMy WebLinkAbout20110321_3279.pdfDECISION MEMORANDUM
TO: COMMISSIONER KEMPTON
COMMISSIONER SMITH
COMMISSIONER REDFORD
COMMISSION SECRETARY
COMMISSION STAFF
DON HOWELL
FROM: KRISTINE SASSER
DEPUTY ATTORNEY GENERAL
DATE: MARCH 16, 2011
SUBJECT: BRIAN WATER CORPORATION’S APPLICATION TO INCREASE ITS
BASE RATES, CASE NO. BRN-W-11-01
On February 25, 2011, Brian Water Corporation filed an Application for authority to
increase its base rate from $12.50 to $18.00 for the first 4,000 gallons per month. The Company
requests that the increase become effective as soon as possible.
THE APPLICATION
Brian Water asserts that its last request for a rate increase was in 2007. Its actual
revenues since the Commission’s approval of its 2007 increase have been lower than expected
due to cool, wet weather over the past few years. Brian Water also states that its nitrate levels
exceed the EPA’s maximum contamination level (MCL) of 10 mg/L. The Application states that
DEQ is directing the Company “to enact a longer range solution to keep the levels below the
MCL.” Application at 1. As a result, the Company is considering a new, deeper well.
The Application maintains that an increase in base rates would provide the revenues
needed and put the Company’s rates more in line with other water systems.
STAFF RECOMMENDATION
Staff has reviewed the Application and recommends that the Company’s Application
be processed by Modified Procedure.
COMMISSION DECISION
Does the Commission find that the public interest may not require a hearing, and that
this proceeding may be processed under Modified Procedure?