BEFORE THE WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION

In the Matter of the Application of   )
Thomas Water Service, Inc., and   )
Byron W. and Alice L. Lockwood Foundation, ) DOCKET UW-991603
for an Order Authorizing the    )
Transfer of Corporate Stock.   ) ORDER GRANTING 
     ) APPLICATION
. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 
)

MEMORANDUM

  On October 22, 1999, Thomas Water Service, Inc., (Thomas Water) and Byron W. 
and Alice L. Lockwood Foundation, (Lockwood Foundation) filed an application 
pursuant to the provisions of chapter 80.12 RCW for application for transfer of 
corporate stock of Thomas Water Service, Inc.  Thomas Water is located north of 
Arlington and serves approximately 64 customers in Snohomish County.  

  The Lockwood Foundation is a Washington charitable organization that is party 
to a settlement rendered in the complaint for foreclosure (Snohomish County 
Superior Court Cause No.  98-2-06863-7).

  The customers of Thomas Water were notified of this proposed application for 
transfer of corporate stock of Thomas Water.   Lockwood Foundation will acquire 
all operations and property of Thomas Water for $1.00.

  The benefits of this application include the settlement of ownership that has 
been an issue for a long time and access to expanded financial resources.  
Snohomish County PUD will continue to provide the water quality staff to 
provide all aspects of water system repair and operations.  The Lockwood 
Foundation will continue to operate Thomas Water locally in Arlington and 
anticipates shifting more services to Snohomish County PUD at a later date to 
help economize operations.

  Thomas Water rates will not change as a result of this application for 
transfer of corporate stock and any future rate changes will be reviewed by 
this Commission.

  This Commission neither approves nor disapproves the reasonableness of any 
fees, charges, rates, or accounting allocations involved with the proposed 
arrangement and reserves the right to review those fees, charges, rates, or 
accounting allocations in a future rate proceeding.

FINDINGS AND CONCLUSIONS

  1. Thomas Water Service, Inc., and Byron W. and Alice L. Lockwood Foundation, 
are Washington businesses.  The Lockwood Foundation is a Washington charitable 
organization.  Thomas Water Service, Inc.,  is operated as a public service 
company subject to the jurisdiction of this Commission under the provisions of 
chapter 80.12 RCW.

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

  3. It appears, upon investigation, that the application for transfer of 
corporate stock is reasonable and consistent with the public interest and 
should therefore be approved.

O R D E R

  THE COMMISSION ORDERS:

  1. Subject to the conditions of this order, Thomas Water Service, Inc., is 
hereby authorized to transfer corporate stock to the Byron W. and Alice L. 
Lockwood Foundation, pursuant to the application for transfer of corporate 
stock filed with the Commission October 22, 1999.

  2. No material change, revision, or amendment to the application and 
agreement shall become effective without the Commission's prior written 
approval.

  3. Byron W. and Alice L. Lockwood Foundation, shall file with the Commission 
within 60 days after the effective date of this order, for the Commission's 
prior written approval, the journal entries by which it proposes to record on 
its books the transfer of corporate stock authorized herein.

  4. The reasonableness of any fees, charges, rates, or accounting allocations 
involved in carrying out the provisions of ordering paragraph no. 1 of this 
order are neither approved nor disapproved in this proceeding.

  5. This order shall in no way affect the authority of this Commission over 
rates, services, accounts, evaluations, estimates, or determination of cost or 
any matters whatsoever that may come before it, nor shall anything herein be 
construed as an acquiescence in any estimate or determination of cost or any 
valuation of property claimed or asserted.

  DATED at Olympia, Washington, and effective this 30th day of November, 1999.

  WASHINGTON UTILITIES AND TRANSPORTATION COMMISSION




      CAROLE WASHBURN, Secretary