DOCKET UW-981518 and UW-990263 Page 1 BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION In the Matter of Tariff Revisions ) DOCKETS UW-981518 and and the Requested Waiver of ) UW-990263 Statutory Notice in Connection ) with the Tariff Revisions Filed by ) ORDER DISMISSING Gamble Bay Water, Inc. ) COMPLAINT AND ORDER ) SUSPENDING TARIFF REVISIONS ) AND GRANTING LESS . . . . . . . . . . . . . . . . . . ) THAN STATUTORY NOTICE On March 3, 1999, Gamble Bay Water, Inc., filed with the Commission revisions to its currently effective Tariff WN U-2, designated as: Third Revision Sheet No. 2 Canceling Second Revision Sheet No. 2 and Original Sheet No. 34. The tariff sheets bear inserted effective dates of April 3, 1999. This date recognizes statutory notice as required. The company requests, however, that statutory notice be waived and that the revisions become effective March 11, 1999. Gamble Bay Water is seeking Less Than Statutory Notice (LSN) treatment to coincide with building season and developer requests for connections. The tariff revision will add a Facilities Charge for residential customers served on the Vincent Road, Bucklin Hill water systems or any system extension served by these water systems. Gamble Bay serves approximately 250 customers located on 13 water systems on Bainbridge Island and near Poulsbo. This tariff revision provides for Gamble Bay to establish a facilities charge (Schedule No. 11) to the Bucklin and Vincent Road potential customers for a portion of the upgrade cost. The total cost of upgrades and improvements is estimated at $344,000. Facilities charge monies will be used to fund about $203,500. The facilities charge monies will be used to repay a projected loan the company has applied for. The loan is administered by the Washington State Public Works Board - Drinking Water State Revolving Fund Program. This program provides low interest, long term loans for public works projects. Monies from a loan will be used to acquire a tank site, construct a 100,000 gallon reservoir and to intertie the Bucklin water system and the Vincent Road water system. Vincent Road water system is located near Kitsap County Landfill. The sole source of water for this system is having problems with testing results. The system is designed for nine (9) connections and is currently at capacity. However, the system has water rights for up to 31 connections. Gamble Bay intends to intertie the two systems (resolving water quality issues) and transfer water rights to the Bucklin water system. By this transfer of water rights the company could fully utilize the 31 connection capacity. Customer notice was not provided for this rate filing as potential applicants or customers are unknown. Facilities Charge Current Proposed Facilities Charge - Schedule No. 11 --- $2,600 The facilities charge amount would be treated as Contribution in Aid of Construction and would be deducted from future rate base calculations. Additionally, the company would provide quarterly reporting of funds received and monies spent for the system upgrades and improvements. This filing is in conjunction with a new definition of the company's service area. The service area is being defined as only those customers that the company is currently providing water. This definition is consistent with Commission Service Area as defined in WAC 480-110-021 (6). The facilities charge would then apply to any new customer connecting to the Vincent Road and Bucklin water systems or any system extension served by these water systems and owned by Gamble Bay. Since the tariff revisions filed herein are 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 March 11, 1999. FINDINGS After careful examination of the tariff revisions filed herein by Gamble Bay Water, Inc., March 3, 1999, and giving consideration to all relevant matters and for good cause shown, the Commission finds that the tariff revisions should become effective March 11, 1999. O R D E R THE COMMISSION THEREFORE ORDERS: 1. The Complaint and Order Suspending Tariff Revision in Docket UW-981517, dated December 23, 1998, is dismissed. 2. The requested waiver of statutory notice in connection with the tariff revisions filed herein by Gamble Bay Water, Inc., March 3, 1999, is granted, and said tariff revisions shall become effective March 11, 1999. 3. Gamble Bay Water, Inc., shall forward copies of Facilities Charge Quarterly Report in the form provided by water section staff to water section staff on a quarterly basis. This reporting shall start with the quarter ending June 30, 1999. Reporting shall continue until the company is notified by Commission staff letter that the reports are no longer required. Reports shall be forwarded within 30 days of the quarter ending. DATED at Olympia, Washington, and effective this 10th day of March, 1999. WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION MARILYN SHOWALTER, Chairwoman RICHARD HEMSTAD, Commissioner WILLIAM R. GILLIS, Commissioner