Case Background
Southwest Ocala
Utility, Inc. (Southwest Ocala or utility) is a Class C utility providing water
service to approximately 539 residential, 10 general service, and two private
fire protection customers located in Marion County. Southwest Ocala’s current rates were
approved by the Commission in 2015 in a transfer of the utility from
County-Wide Utility Co., Inc. to Southwest Ocala.
On August 10,
2022, Southwest Ocala filed a request to add additional base facility charges
(BFC) to its tariff for larger meter sizes for general service customers. On
September 9, 2022, the utility filed a corrected tariff sheet No. 13.1. Currently,
the utility only has Commission-approved general service BFCs up to a 6-inch
meter. This recommendation addresses the utility’s request to add the
additional BFCs for larger meter sizes to the general service tariff and
adjustments to the BFCs in the private fire protection tariff. The Commission
has jurisdiction pursuant to Section 367.091, Florida Statutes (F.S.).
Discussion
of Issues
Issue 1:
Should the utility's proposed tariffs containing the
BFCs for additional meter sizes for the general service and private fire
protection classes be approved?
Recommendation:
Yes, the utility’s proposed tariffs containing the
BFCs for additional meter sizes for the general service and revised and
additional BFCs for the private fire protection classes conform to the American
Water Works Association’s meter equivalent factors and should be approved.
Southwest Ocala’s Fourth Revised Sheet No. 12.0 and Fourth Revised Sheet No.
13.1 should be approved as filed. The approved tariffs should be effective on
the date of the Commission vote. Since no current customers are affected by the
proposed tariff revisions, no customer notices are required. (Ward)
Staff Analysis:
The utility explained that it is anticipating the
possible addition of some larger meter size multifamily residential or general
service customers. Currently, Southwest Ocala’s general service tariff only has
BFCs for meter sizes up to 6 inches. The utility’s proposed BFCs for the
additional meter sizes are calculated by using the utility’s existing BFC of
$11.50 for the 5/8 inch x 3/4 inch size meter as a foundation, and then
applying the American Water Works Association’s (AWWA’s) meter equivalent
factor. The AWWA meter equivalent factors are contained in Rule 25-30.055, Florida
Administrative Code (F.A.C.). Southwest Ocala’s existing BFCs and the BFCs for
the three proposed additional general service meters based on the AWWA meter
equivalents are shown in Table 1-1.
Table 1-1
Current and Proposed General
Service BFC Charges
|
Meter Size
|
AWWA Meter Factor
|
BFC
|
|
5/8” X 3/4”
|
1
|
$11.50
|
|
3/4"
|
1.5
|
$17.25
|
|
1”
|
2.5
|
$28.75
|
|
1-1/2"
|
5
|
$57.50
|
|
2”
|
8
|
$92.00
|
|
3”
|
16
|
$184.00
|
|
4”
|
25
|
$287.50
|
|
6”
|
50
|
$575.00
|
|
8”
|
90
|
$1035.00
|
|
10”
|
145
|
$1667.50
|
|
12”
|
215
|
$2472.50
|
Source: Utility’s filing
The utility also proposed one additional meter size (12
inches) for the private fire protection tariff and adjusted the existing fire
protection BFCs for the 8-inch and 10-inch meter sizes in order to comply with
the AWWA equivalent factors contained in Rule 25-30.055, F.A.C. Pursuant to
Rule 25-30.465, F.A.C., the BFCs for private fire protection are 1/12th
the amount of the equivalent sized general service BFCs. Southwest Ocala’s
current and proposed BFCs for the private fire protection tariff are shown in
Table 1-2.
Table 1-2
Current and Proposed Fire
Protection BFC Charges
|
Meter Size
|
Current BFC
|
Proposed BFC
|
|
4”
|
$23.96
|
$23.96
|
|
6”
|
$47.92
|
$47.92
|
|
8”
|
$76.67
|
$86.25
|
|
10”
|
$110.21
|
$138.96
|
|
12”
|
-
|
$206.04
|
Source: Utility’s filing
Conclusion
The utility’s proposed tariffs containing the BFCs for
additional meter sizes for the general service and revised and additional BFCs
for the private fire protection classes conform to the American Water Works
Association’s meter equivalent factors and should be approved. Southwest
Ocala’s Fourth Revised Sheet No. 12.0 and Fourth Revised Sheet No. 13.1 should
be approved as filed. The approved rates should be effective on the date of the
Commission vote. Since no current customers are affected by the proposed tariff
revisions, no customer notices are required.
Issue 2:
Should this docket be closed?
Recommendation:
Yes. If Issue 1 is approved, the tariff sheets
should become effective on the date of the Commission vote. If a protest is
filed within 21 days of the issuance of the Order, the tariff should remain in
effect with the revenues held subject to refund pending resolution of the
protest, and the docket should remain open. If no timely protest is filed, the
docket should be closed upon the issuance of a Consummating Order. (Dose)
Staff Analysis:
If Issue 1 is approved, the tariff sheets should
become effective on the date of the Commission vote. If a protest is filed
within 21 days of the issuance of the Order, the tariff should remain in effect
with the revenues held subject to refund pending resolution of the protest, and
the docket should remain open. If no timely protest is filed, the docket should
be closed upon the issuance of a Consummating Order.
