BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

In the Matters of (1) the Notification   )
by County Services, Inc., of the sale of ) DOCKET UW-980013
its Water System to Peninsula Light      )
Company and (2) the Request for Removal  ) ORDER GRANTING
of County Services, Inc., from Commission)  TRANSFER, REMOVAL
Regulation.       )   OF COMPANY FROM
. . . . . . . . . . . . . . . . .   ) REGULATION

On December 7, 1997, County Services, Inc., (Company)
notified the Commission by letter that the Company’s water system known as 
County Services, Inc., had been sold to Peninsula Light Company (Peninsula).  
On October 12, 1996, the Company requested to be removed from Commission 
regulation under the provisions of 
RCW 80.04.010.

The Company served 116 customers on Fox Island in 
Pierce County and is currently regulated by the Washington Utilities and 
Transportation Commission.    

      On June 30, 1997, Peninsula took over operation of the Company’s water 
system.  Peninsula is operated as a nonprofit, mutual rural cooperative and a 
Washington business corporation providing electric and water service to its 
members.  Peninsula is not subject to Commission jurisdiction.

Since June 30, 1997, when Peninsula took over operation 
of this Company’s water system, the Commission has not been informed of any 
customer concerns.  In a July 8, 1997, letter explaining rate issues, Peninsula 
notified all customers of the purchase of the Company’s water system.  
Peninsula invited all customers to an informational meeting on August 25, 1997, 
which approximately 40 customers attended.
    
On December 7, 1997, the Commission received a copy of 
the executed transfer documents dated June 30, 1997, whereby the Company does 
sell and transfer all right, title and interest in the Company’s water 
distribution system.

As a result of this transfer, the Company will no
longer provide water service.  The Commission can remove a water company from 
regulation under the provisions of RCW 80.04.010.  A water company cannot be 
removed from regulation except with the approval of the Commission.  Removing 
the Company from regulation will not be inconsistent with the public interest, 
because the water system is now operated by Peninsula on behalf of its 
members.  







FINDINGS

  THE COMMISSION FINDS:

  1. County Services, Inc., is a Washington business operated as a public 
service company subject to the jurisdic-tion of this Commission under the 
provisions of chapters 80.12 RCW.

DOCKET UW-980013        Page 1
  2. Peninsula Light Company is operated as a nonprofit, mutual rural 
cooperative providing electric and water service to its members.  Peninsula is 
not subject to Commission jurisdiction.

  3. It appears the transfer is reasonable and consistent with the public 
interest and should, therefore, be approved.

4. It appears removal of County Services, Inc. from 
regulation is reasonable and consistent with the public interest and should, 
therefore, be approved.  

O R D E R 

  THE COMMISSION ORDERS:

  1. County Services, Inc., is hereby authorized to transfer its water system 
to Peninsula Light Company, pursuant to the executed transfer documents filed 
with the Commission on 
December 7, 1997.

  2. County Services, Inc., is removed from regulation by this Commission as of 
the effective date of this order.

  DATED at Olympia, Washington, and effective on this 28th day of January, 1998.

  WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION


      

PAUL CURL, Acting Secretary