BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

In the Matter of the Application  )
for sale and transfer of the   )  DOCKET UW-960587
Burton Water System   )
from Gerald Garrison &    )  ORDER GRANTING
James Garrison to     )       APPLICATION
Burton Water Company, Inc.   )  SALE AND TRANSFER
      )  
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .  )


  On May 1, 1996, Burton Water Company (Burton Water) and Burton Water Company, 
Inc. filed a joint appli-ca-tion, in Docket  UW-960587 for approval to transfer 
Burton Water System from Burton Water to Burton Water Company, Inc.  Mr. Gerald 
Garrison and James Garrison are the sole stockholders of Burton Water Company, 
Inc.

  Burton Water is incorporating to obtain the benefits of incorporation for the 
operators of the water system.  As share-hol-ders, the owners of the water 
system face limited corporate liabil-ity compared to the unlimited liability 
faced by sole propri-etors. There is no intent to cause an increase in rates or 
increase rate base through this transfer.

  The Burton Water System includes but is not limited to well sites and tank 
farm owned by the applicant.  In addition, all plant, tools and office 
equipment and inventory will be transferred.  Further, the tariff rights will 
be transferred to the new corporation.

  The purchase price will be twenty thousand dollars in equal shares of stock 
to Gerald Garrison and James Garrison along with a note to Gerald Garrison in 
the amount of $117,875 and a note to James Garrison in the amount of $23,992.

FINDINGS


 THE COMMISSION FINDS:

 1. Gerald Garrison and James Garrison, d.b.a. Burton Water Company a sole 
propri-etorship, and Burton Water Company, Inc., a Washington corpora-tion, are 
public service companies subject to the juris-diction of this Commission under 
the provisions of chapter 80.12 RCW.

 2. As to form, the application herein, meets the require-ments of chapter 
80.12 RCW and the rules and regulations of the Commission adopted pursuant 
thereto.

Docket UW-960587 Page 1


 3. The sale and transfer of the proposed Burton Water System by Gerald 
Garrison and James Garrison, d.b.a. Burton Water Company is reason-able and 
consistent with the public interest and should therefore be approved.


O R D E R

 THE COMMISSION ORDERS:

 1. After the effective date of this order and subject to the provisions 
hereof, Gerald Garrison & James Garrison, d.b.a. Burton Water Company is hereby 
autho-rized to sell and Burton Water Company, Inc., is hereby authorized to 
purchase and accept the transfer of Burton Water System under the terms and 
condi-tions of the proposed bill of sale filed as an exhibit in the application 
herein.

 2. The above-authorized sale and transfer shall be ex-changed for the amount 
of Twenty Thousand Dollars ($20,000.00) stock and outstanding Notes from Burton 
Water Company, Inc. to Gerald Garrison and James Garrison. 

 3. Within 30 days after the above-authorized sale and transfer has been 
executed, a true copy of sale and transfer actually executed and delivered 
shall be filed with the Commis-sion, together with a report of the date of 
delivery.

 4. Burton Water Company, Inc., affirms that it will adopt the tariff of Burton 
Water Company without change to the rates contained in that tariff occasioned 
by this sale and transfer as it applies to the system described in paragraph 
one of this order. Burton Water Company, Inc., will continue to bill the 
customers at the Burton Water Company's tariffed rate. 

 5. Not later than 60 days after the effective date of this order, Burton Water 
Company, Inc., shall file with the Commis-sion, for its prior written approval, 
the journal entries by which they propose to record on their books the sale and 
transfer of proper-ty authorized by this order.

 6. This order shall in no way affect the authority of this Commission over 
rates, service, accounts, valuations, estimates, or determination of costs, or 
any matters whatsoever that may come before it, nor shall anything herein be 
construed as an acquies-cence in any estimate or determination of costs or any 
valuation of property claimed or asserted.

 7. Company acknowledges that any Federal Income Tax consequences from this 
transaction will be the respon-sibility of the company stockholders and not 
company ratepayers.

Docket UW-960587         Page 3


  DATED at Olympia, Washington, and effective this      day of 
June, 1996.

 WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION




       STEVE KING 
       Acting Secretary