BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

In the Matters of     )
(1) the Staff Investigation of  )
View Royal Water Company, Inc., ) DOCKET UW-990190
being jurisdictional and   )
(2) the removal of     )ORDER REMOVING COMPANY
View Royal Water Company, Inc., ) FROM REGULATION AND 
from Commission Regulation.  ) CANCELING TARIFF
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . )

  On February 18, 1999, the Commission instituted a staff investigation to 
determine if View Royal Water Company, Inc., (View Royal) remains 
jurisdictional under RCW 80.04.010.

  On February 28, 1997, American Water Resources, Inc., (American Water) took 
over operation and ownership of the View Royal water system.  On 
March 26, 1997, under Docket UW-970413, the Commission approved the sale and 
transfer of View Royal.  American Water Resources, Inc., is operated as a 
public water utility and, as such, is subject to Commission jurisdiction.

  The staff investigation is now complete.  American Water considers the 
customers to be fully part of its business structure and the matter closed.  
This conclusion was affirmed in UW-980258, Compliance Filing dated January 21, 
1999.

  A water company cannot be removed from regulation except with the approval of 
the Commission. The Commission can remove a water company from regulation under 
the provisions of RCW 80.04.010.  As a result of this investigation, View Royal 
Water Company is determined to no longer provide regulated water service. 
Removing View Royal from regulation will not be inconsistent with the public 
interest, because the water system is now operated and owned by American Water 
that is regulated by this Commission.

  From all indications, it appears to be in the public interest to grant the 
request of removal from regulation and cancel the corresponding tariff.

O R D E R

  THE COMMISSION ORDERS:

  1. View Royal Water Company, Inc., is hereby determined not to be 
jurisdictional pursuant to the Commission staff investigation and documents 
filed with the Commission.

  2. View Royal Water Company, Inc., is removed from regulation by this 
Commission and its current tariff, WN U-1, canceled as of the effective date of 
this order.

  DATED at Olympia, Washington, and effective this 10th day of 
March, 1999.

  WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION




      CAROLE J. WASHBURN
      Secretary