State of Florida

pscSEAL

 

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-

 

DATE:

September 24, 2026

TO:

Office of Commission Clerk (Teitzman)

FROM:

Division of Economics (McClelland, Bruce)

Office of the General Counsel (Rauch, Crawford)

RE:

Docket No. 20260130-WU – Request for establishment of a backflow testing charge, meter tampering charge and investigation of meter tampering charge, by North Florida Community Water Systems.

AGENDA:

10/06/26 – Regular Agenda – Tariff Decision – Interested Persons May Participate

COMMISSIONERS ASSIGNED:

All Commissioners

PREHEARING OFFICER:

Administrative

CRITICAL DATES:

10/30/2026 (60-day statutory deadline to approve, deny, or suspend tariff)

SPECIAL INSTRUCTIONS:

None

 

 Case Background

North Florida Community Water Services (NFCWS or Utility) is a Class B water and wastewater utility serving in Alachua, Duval, Franklin, Leon, Okaloosa, and Washington Counties. According to the Utility’s 2025 annual report the Utility provides water service to 2,337 residential and 56 general service customers.[1] NFCWS’ rates were last amended by a price index in 2026.

On August 31, 2026, NFCWS filed an application for approval of a tariff amendment to implement a backflow prevention device test charge, meter tampering charge, and investigation of meter tampering charge. In response to staff’s request, on September 16, 2026, the Utility filed its cost justification.

This recommendation addresses the Utility’s request to charge for testing backflow prevention devices, establish an investigation of meter tampering charge, and meter tampering charge, which includes tariff sheets reflecting the requested charges. Furthermore, the Utility provided a proposed tariff reflecting the Department Environmental Protection (DEP) annual backflow prevention testing requirements. The Commission has jurisdiction over this matter pursuant to Sections 367.081 and 367.091, Florida Statutes (F.S.).

 


Discussion of Issues

Issue 1: 

 Should the Commission approve NFCWS’ proposed tariff sheets to implement a backflow prevention device charge and the backflow prevention testing requirements?

Recommendation: 

 Yes. NFCWS’ proposed tariff sheets, Original Sheet No. 16.5 and Original Sheet No. 16.6, shown on Attachment A are appropriate and should be approved. The charge should be effective on or after the stamped approval date on the tariff pursuant to Rule 25-30.475, Florida Administrative Code (F.A.C.). In addition, the approved charge should not be implemented until staff has approved the proposed customer notice and the notice has been received by the customers. The Utility should provide proof of the date notice was given within 10 days of the date of the notice. (McClelland)

Staff Analysis: 

 In its original application, NFCWS included proposed tariffs Original Sheet No. 16.5 to include DEP’s requirement for annual inspection of backflow prevention devices and Original Sheet No 16.6 to indicate the backflow prevention assembly test charge. Section 367.091, F.S., authorizes the Commission to change miscellaneous service charges. The Utility’s request for a charge was accompanied by its reason for requesting the charge, as well as cost justification required by Section 367.091(6), F.S. The Utility states that the purpose of its request is to comply with DEP Rules 62-555.330 and 62-555.360, F.A.C., which include the required language regarding backflow prevention device testing.

The Utility’s Cross-Connection Control Program mandates that a backflow prevention device be installed on all connections, which may represent a source of contamination due to a lawn irrigation system. On May 20, 2025, the Utility was cited with a deficiency by DEP stating that 77 residential connections with backflow assemblies had not been tested within the past two years. However, during inspection, the Utility discovered that only 50 connections required assemblies in Sunny Hills. The deficiency also stated that the residential assemblies be tested biennially.

The customers are responsible for piping and appurtenances beyond the Utility’s water meter toward the dwelling. Rule 25-30.231, F.A.C., requires each utility to operate and maintain safe and proper condition of all the facilities and equipment used in connection with the distribution, regulation, measurement and delivery of water service to the customer up to and the point of delivery into the piping owned by the customer. In addition, Rule 25-30.210(7), F.A.C., states that the point of delivery for a water system is the outlet connection with the customer’s piping. Due to the location of the backflow devices, which is past the meter, the cost of inspection will be borne by the customer. The Utility sends out a notice on an annual basis advising of the testing requirement per DEP’s rule. Customers will have 30 days from the date of the notice to complete the testing and provide documentation to the Utility.

Per the Utility’s request, if a customer fails to have the annual inspection performed and provide documentation of the test to the Utility within 30 days of the notice, water service will be disconnected. Rule 25-30.320(2), F.A.C., states that service may be discontinued for noncompliance with any state regulation governing such utility service.

The Utility’s proposed tariff indicates a backflow testing charge of $68.46, which will allow NFCWS to conduct the required backflow prevention assembly testing on behalf of customers that choose the Utility to perform the test or customers that failed to have the test performed within a 30-day noticing period. The Utility requested that the proposed charge be equivalent to the Utility’s premises visit charge. The costs will be the same as a premises visit and performed by the same personnel. If a compliance inspection is needed, it falls within the confines of Rule 25-30.460, F.A.C, which is an assessment of a service issue that is the customer’s responsibility.  Therefore, staff believes the cost of the premises visit charge is appropriate for the backflow prevention charge. 

Staff recommends that NFCWS’ proposed tariff sheets, Original Sheet No. 16.5 and Original Sheet No. 16.6, shown on Attachment A are appropriate and should be approved. The charges should be effective on or after the stamped approval date on the tariff pursuant to Rule 25-30.475, F.A.C. In addition, the approved charges should not be implemented until staff has approved the proposed customer notice and the notice has been received by the customers. The Utility should provide proof of the date notice was given within 10 days of the date of the notice.


 

 

Issue 2: 

 Should NFCWS’ request for meter tampering charge and investigation of meter tampering charges be approved?

Recommendation: 

 Yes. Staff recommends that NFCWS’ proposed tariff, Original Sheet No. 16.7, shown on Attachment B indicating a meter a tampering charge at actual cost and the investigation of meter tampering charge of $68.46 should be approved. The Utility should be required to file a proposed notice to reflect the Commission-approved charges. The approved charges should be effective for service rendered or connections made on or after the stamped approval date on the tariff pursuant to Rule 25-30.475, F.A.C. In addition, the tariff sheets should be approved upon staff’s verification that the tariffs are consistent with the Commission’s decision and the proposed customer is adequate. (McClelland)

Staff Analysis: 

 In its application, NFCWS proposed to implement a meter tampering charge at actual cost. Rule 25-30.320(2)(j), F.A.C., provides that a utility may refuse or discontinue service without notice in the event of unauthorized or fraudulent use of service. Whenever service is discontinued for fraudulent use of such service, the Utility, before restoring service, may require the customer to make at his own expense all changes in piping or equipment necessary to eliminate illegal use and to pay an amount reasonably estimated as the deficiency in revenue resulting from the customer’s fraudulent use before restoring service.

The Utility also requested an investigation of meter tampering charge. In the Utility’s original filing, NFCWS proposed a meter tampering charge of $50.00. However, on September 16, 2026, in response to staff’s request for cost justification, the Utility filed supplemental documents revising the requested investigation of meter tampering charge from $50.00 to $68.46.[2] This charge is the same as the Utility’s existing premises visits charge. The Utility stated that the task would incur the same cost as a premises visit. NFCWS also explained that the language of its existing premises visit charge would allow a meter investigation charge to fall within the definition of its tariff.

 

Based on the above, staff recommends that NFCWS’ proposed tariff, Original Sheet No. 16.7, shown on Attachment B indicating a meter a tampering charge at actual cost and the investigation of meter tampering charge of $68.46 should be approved. The Utility should be required to file a proposed notice to reflect the Commission-approved charges approved charges should be effective for service rendered or connections made on or after the stamped approval date on the tariff pursuant to Rule 25-30.475, F.A.C. In addition, the tariff sheets should be approved upon staff’s verification that the tariffs are consistent with the Commission’s decision and the proposed customer is adequate.

 


Issue 3: 

 Should this docket be closed?

Recommendation: 

 If a timely protest is filed, the tariff should not be implemented while the protest is pending. If no protest is filed by a person whose substantial interests are affected within 21 days of the issuance of the Order, this docket should be closed upon the issuance of a Consummating Order. (Rauch)

Staff Analysis: 

 If a timely protest is filed, the tariff should not be implemented while the protest is pending. If no protest is filed by a person whose substantial interests are affected within 21 days of the issuance of the Order, this docket should be closed upon the issuance of a Consummating Order.


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[1]Number of customers as reported in 2025 Annual Report ending December 31, 2025.

[2] Document No. 06726-2026