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State of Florida
Public Service Commission
Capital Circle Office Center 2540 Shumard Oak Boulevard
Tallahassee, Florida 32399-0850
-M-E-M-O-R-A-N-D-U-M-
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DATE:
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September 21, 2006
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TO:
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Director, Division of the Commission Clerk &
Administrative Services (Bayó)
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FROM:
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Division of Economic Regulation (Walden,
Kaproth)
Office of the General
Counsel (Jaeger)
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RE:
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Docket No. 060475-SU – Application for
cancellation of Certificate No. 233-S, in Pinellas County, by Ranch Mobile WWTP, Inc.
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AGENDA:
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10/3/06 –
Regular Agenda – Interested Persons May Participate
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COMMISSIONERS
ASSIGNED:
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All Commissioners
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PREHEARING
OFFICER:
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Administrative
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CRITICAL DATES:
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None
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SPECIAL
INSTRUCTIONS:
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None
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FILE NAME AND LOCATION:
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S:\PSC\ECR\WP\060475.RCM.DOC
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Case Background
Ranch Mobile
WWTP, Inc. (Ranch Mobile) has been reselling wastewater service to three mobile
home parks and one restaurant in Pinellas County since 1976. The
wastewater is treated by the City of Largo. As
a result of reconfiguration of the collection system for the mobile home parks,
each mobile home park and the restaurant will soon receive service directly
from the City of Largo. An
agreement was signed by all three mobile home parks addressing the
reconfiguration of the collection system to allow each park to be a customer of
the City of Largo.
The restaurant did not share this collection system.
In 2005, Ranch
Mobile was providing service as a reseller to 2,040 ERCs, and received
wastewater revenues of $230,085. The net
loss for 2005 was $18,518. The utility
filed this application to cancel its certificate on June 22, 2006. This
recommendation addresses the cancellation of Certificate No. 233-S since Ranch
Mobile will no longer be a utility as defined by Section 367.021(12), Florida
Statutes.
Discussion
of Issues
Issue 1: Should
Certificate No. 233-S held by Ranch Mobile WWTP, Inc. be canceled?
Recommendation: Yes,
Certificate No. 233-S should be canceled effective the date that service is
provided directly by the City of Largo. Ranch Mobile
shall inform the Commission of the date that service is provided directly by
the City of Largo. Regulatory assessment fees for 2006 are due
to the Commission within 45 days of the Commission Order approving the
certificate cancellation. The
certificate should be canceled administratively after notification is received
from Ranch Mobile and the regulatory assessment fees are paid. (Walden, Kaproth)
Staff Analysis: On June 22, 2006, Ranch Mobile filed its
application for cancellation of certificate.
As a result of reconfiguration of the collection system, each of the
three mobile home parks and the restaurant that has heretofore been a customer
of Ranch Mobile will soon be a customer of the City of Largo. An agreement was signed by all three mobile
home parks addressing the reconfiguration of the system to allow each park to
be a customer of the City of Largo. The restaurant did not share this collection
system, having a point of connection outside the mobile home parks’ shared system.
Since Ranch Mobile no longer desires to resell wastewater
service, and each of its former customers will soon begin receiving wastewater
service directly from the City of Largo,
Ranch Mobile will no longer be a utility as defined by Section 367.021(12),
Florida Statutes. Staff has contacted Ranch
Mobile Mobile Home Park, Twin Palms Mobile Home Park, and Down Yonder Mobile
Home Park to confirm that these bulk customers have no objection to the
certificate cancellation. Each of the
mobile home parks will continue to include the cost of wastewater service in
the lot rental to each of its residents, and will therefore continue to be
exempt from Commission regulation.
An exact date for service from the City is not available since
the customers will not become direct customers of the City until the Commission
gives approval of this request for certificate cancellation. It is expected that direct service will be
accomplished shortly after Commission approval.
Ranch Mobile should be
required to notify the Commission of the date that service is provided by the
City of Largo.
Ranch Mobile holds
no customer deposits. In its
application, Ranch Mobile states that its certificate cannot be located and
returned for cancellation. The utility
is current with filing its annual reports and has no outstanding fines. There are no outstanding regulatory
assessment fees, penalties, or interest.
The utility has agreed to pay the 2006 regulatory assessment fees within
45 days of the issuance date of the Commission Order. No annual report for 2006 will need to be
filed since the certificate will have been canceled.
Staff, therefore, recommends that the utility’s
application and request for certificate cancellation be approved, effective the
date that the City begins providing service directly to each of the customers
of Ranch Mobile. Ranch Mobile
shall inform the Commission of the date that service is provided directly by
the City of Largo. Regulatory assessment fees for 2006 are due
to the Commission within 45 days of the Commission Order approving the
certificate cancellation. The
certificate should be canceled administratively after notification is received
from Ranch Mobile and the regulatory assessment fees for the utility’s 2006
revenues are paid.
Issue 2: Should this
docket be closed?
Recommendation: Yes,
because no further action is required, this docket should be closed
administratively after the Commission is informed that each mobile home park is
receiving service directly from the City of Largo,
and after the regulatory assessment fees are paid. (Jaeger)
Staff Analysis: No
further action by the Commission is required and this docket should be closed
administratively after the Commission is informed that service is directly
provided by the City of Largo, and
after the regulatory assessment fees are paid.