DOCKET UW-981192        Page 1
 
BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION


In the Matter of the Requested )
Waiver of Statutory Notice in ) DOCKET UW-981192
Connection with the Tariff )
Revision Filed by ) ORDER GRANTING LESS
Gamble Bay Water, Inc. ) THAN STATUTORY     ) NOTICE
 


  On September 11, 1998, Gamble Bay Water, Inc., (Gamble Bay) filed with the 
Commission revisions to its currently effective Tariff WN U-2, designated as:

  First Revision Sheet No. 2
  Canceling Original sheet No. 2, and
  Original Sheet No. 25.

  The tariff sheets bear an inserted effective date of November 1, 1998.  This 
date recognizes statutory notice as required.  The company requests, however, 
that statutory notice be waived and that the revisions become effective 
September 24, 1998.  Gamble Bay serves approximately 250 customers located on 
12 water systems on Bainbridge Island and near Poulsbo.

  These tariff revisions provide for Gamble Bay to start a surcharge (Schedule 
No. 5) for recovery of cost for emergency backup generator.  This surcharge is 
the amount of $3.00 for one (1) year.  The customers have the option of a lump 
sum payment of $34.00 to avoid interest cost.  The total cost to the emergency 
backup generator is $1,800.00.  This surcharge and generator are for the 
Rimrock water system only which has about 54 customers.

  Customers of the Rimrock water system requested the company provide backup 
power generation equipment for their system.  The customers were notified of 
this surcharge request on 
July 22, 1998.  Since then, several customers have chosen the lump sum payment.

 Surcharge Item   Start Date Amount Stop Date 
Surcharge - Schedule No. 5 10/98  $ 3.00     9/99

  This surcharge amount will be treated as Contribution in Aid of Construction 
and will not be included in any future rate base calculations.  Additionally, 
the company will provide quarterly reporting of funds received and monies spent 
for the emergency backup generator.

  Gamble Bay is seeking Less Than Statutory Notice (LSN) treatment in an 
attempt to match monthly collection of the surcharge and monthly payments to 
the bank.

  Since the tariff revisions filed herein appear fair, just and reasonable, and 
waiver of statutory notice is not inconsistent with the public interest, it is 
deemed appropriate that the company be granted the waiver it is requesting with 
an effective date of September 24, 1998.

FINDINGS

  After careful examination of the tariff revisions filed herein by Gamble Bay 
Water, Inc., September 11, 1998, and giving consideration to all relevant 
matters and for good cause shown, the Commission finds that the tariff 
revisions should become effective September 24, 1998.

O R D E R

  THE COMMISSION ORDERS:

  1. Subject to the conditions of this order, Gamble Bay Water, Inc., is hereby 
authorized that the filing herein filed September 11, 1998 be and the same 
shall become effective September 24, 1998.

  2. No material change, revisions, or amendment to the agreement described in 
ordering paragraph number 1 of this order shall become effective without the 
Commission's prior written approval.

  3. The funds received as a result of this Surcharge (Schedule No. 5) will be 
deposited into a separate reserve account exclu-sively for the purpose of 
making capital improvements identified as emergency backup generator for 
Rimrock water system.  This separate reserve account shall be listed on all 
company financial records and shall be considered a cash account asset (NARUC 
account #127).  Expenditures from the reserve account shall be subject to prior 
written approval of Commission staff, and shall be treated for rate-making 
purposes as customer contri-butions.

  4. The company will submit to the Commission quarter-ly reports of the 
separate reserve account.  This report shall consist of Commission staff 
approved Quarterly Report form. Quarterly reports are to be filed 30 days 
following the last billing date of each quarter, starting with the quarter 
ended December 31, 1998, and continuing until notified by Commission staff 
letter to be no longer necessary.

  5. This order shall in no way affect the authority of this Commission over 
rates, service, or accounts, evaluations, esti-mates, or determination of cost 
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 cost or any 
valuation of property claimed or asserted.

  DATED at Olympia, Washington, and effective this 23rd day of September, 1996.

WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

     CAROLE J. WASHBURN
     Secretary