Case Background
North Florida Community Water Systems, Inc. (NFCWS or utility) provides water and wastewater service to several counties including a
system in Okaloosa County. The utility’s Okaloosa County system provides water
service to approximately 236 residential customers.[1] The utility has never had a
rate case, but recently had a price index that was approved by the Commission in 2023.[2]
On October 10, 2023, pursuant to Section 367.091(5), Florida
Statutes (F.S.), NFCWS filed a request to include additional base facility charges (BFC) based on the American Water Works Association (AWWA) meter equivalents for larger meter sizes. The
utility indicated in its application that it had a request to install a
one-inch meter size in the Okaloosa water system. According to the utility’s
current tariff, the utility only has a BFC for a 5/8 x 3/4 inch meter size for
both residential and general service classes. This recommendation addresses the
utility’s request to include additional BFCs up to a six-inch meter size to the
residential and general service tariffs as shown in Attachment A to the
recommendation. The Commission has jurisdiction pursuant to Section 367.091,
F.S.
Discussion
of Issues
Issue 1:
Should NFCWS's proposed
tariff which includes BFCs for additional meter sizes based on the AWWA meter
equivalents for the residential and general service classes be approved?
Recommendation:
Yes, the utility’s proposed tariff
which includes BFCs for additional meter sizes based on the AWWA meter equivalents
for the residential and general service classes should be approved. The utility’s
proposed Second Revised Sheet No. 12.4 and Second Revised Sheet No. 13.4 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. (Bruce)
Staff Analysis:
In its application, the utility is requesting BFCs
for meter sizes up to 6 inches for the residential and general service classes.
As mentioned earlier, the utility’s residential and general
service tariff only has a BFC for meter size of 5/8 x 3/4 inches. The utility’s
proposed BFCs for the additional meter sizes are calculated by using the
utility’s existing residential BFC of $33.86 for the 5/8 x 3/4 inch size meter
as a foundation, and then applying the AWWA’s meter equivalent factor. The AWWA
meter equivalent factors are contained in Rule 25-30.055, Florida
Administrative Code. NFCWS’s proposed BFCs for the residential and
general service meters based on the AWWA meter equivalents are shown in Table
1-1
Table 1-1
Current and Proposed Residential and General
Service BFC Charges
|
Meter Size
|
AWWA Meter Factor
|
BFC
|
|
5/8" x 3/4"
|
1
|
$33.86
|
|
3/4"
|
1.5
|
$50.79
|
|
1"
|
2.5
|
$84.65
|
|
1-1/2"
|
5
|
$169.30
|
|
2"
|
8
|
$270.88
|
|
3"
|
16
|
$541.76
|
|
4"
|
25
|
$846.50
|
|
6"
|
50
|
$1,693.00
|
Source:
Utility’s filing
Conclusion
The utility’s
proposed tariff which includes BFCs for additional meter sizes based on the
AWWA meter equivalents for the residential and general service classes should
be approved. The utility’s proposed Second Revised Sheet No. 12.4 and Second
Revised Sheet No. 13.4 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.
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. (Thompson)
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.
