Current through Register Vol. 48, No. 12, March 22, 2024
The utility shall extend service to customers under the following
terms and conditions:
a) The utility will
provide all supply plant (backbone plant) at its cost and expense without requiring
contributions or tap-on-fees from customers, developers or promoters, except in
those unusual cases where extensive plant additions are required before customers
can be attached. In such instances the utility may require the customer, developer
and/or promoter to advance funds, subject to refund as customers are attached, or
require a revenue guarantee in lieu of customers being attached. Each contract for
such an advance or revenue guarantee shall be filed with the Commission for
approval.
b) Unless other terms and
conditions are formally approved by the Commission, the utility shall extend its
water mains from the end of existing mains on the following terms and conditions:
1) Upon application being made for an extension of
a water main, the utility shall determine the necessary size, location and
characteristics of the main and of all valves, fittings and other appurtenances and
shall make an estimate of the cost of the proposed extension, including pipe,
valves, fittings, all other appurtenances and other materials and all other costs
such as labor, permits, etc., including the utility's expense for supervision,
engineering, insurance, tools and equipment, accounting and other overhead expenses.
Extensions made under this Section shall be on the basis of a main size of eight (8)
inches in diameter unless the requirements of the customer or customers to be served
call for a larger main, in which case the cost shall be based on the larger main. In
special cases, exceptions to the size of main can be made by the utility to comply
with good engineering principles.
2) If
the estimated cost of the extension is not greater than one and one-half (11/2)
times the utility's estimate of annual revenue to be received from customers who
will immediately attach to the extension, the utility will finance and make the
extension without the requirement of any payment.
3) If the estimated cost of the extension exceeds
one and one-half (11/2) times the utility's estimate of annual revenue to be
received from customers who will immediately attach to the extension, the applicant
or applicant's authorized agent shall contract for such extension and shall deposit
with the utility the estimated cost of the extension less one and one-half (11/2)
times such estimated annual revenue.
4)
Original prospective customers to be considered in (2) and (3) above shall be those
who sign a contract for at least one year's water service and guarantee to the
utility that they will take water service at their premises within thirty (30) days
after the date water is turned into the main, and whose street service connections
are directly connected to the mains installed under said extension. Estimates of
annual revenue shall be made by the utility and shall be the average revenue
received from similarly situated customers. Where there are no similarly situated
customers, the utility shall make an estimate of the annual bill.
5) The utility shall make refunds during the first
ten (10) years after the date upon which the deposit aforesaid was made and only to
the depositor, his successors or assigns, as follows:
A) Should the actual cost of the extension be less
than the estimated cost, the utility shall refund the difference as soon as the
actual cost has been ascertained. Should the actual cost of the extension exceed the
estimated cost, the difference shall be used as an offset against any refunds that
may become due pursuant to (B), (C) and (D) below.
B) Upon completion of the first yearly billing
period of the original customers, for whom there were no similarly situated
customers, as defined in subparagraph (4) above, the utility shall refund an amount
equal to one and one-half (11/2) times the difference between the annual revenue
originally estimated by the utility and the actual revenue received, provided the
actual revenue is greater than the estimated revenue. If the actual revenue is less
than the estimated revenue, the difference shall be used as an offset against
revenues which would otherwise become the basis for refund pursuant to (C)
below.
C) During the first ten (10)
years from the date of the aforesaid deposit the utility shall refund, for each
additional new customer taking service from said extension under a regular yearly
contract, at the end of the first year's billing for service to such additional new
customer, an amount equal to one and one-half (11/2) times the annual average water
revenue of similarly situated customers. If there are no similarly situated
customers, the utility shall refund one and one-half (11/2) times the actual annual
revenue received.
D) If the extension
abuts property which the applicant does not own or have an interest in, the utility
shall pro-rate the cost of the extension on a front foot or per lot basis and, if
during the term of the extension agreement the owner or occupant of such property
requests water service, the utility shall collect from such new applicant an amount
equal to his pro-rata cost of the extension less one and one-half (11/2) times the
estimated annual revenue to be received from said new applicant. The utility shall
refund money so collected to the original applicant, such refund being in addition
to the refund provided for in paragraph (C) above.
E) The total amount refunded to the original
applicant pursuant to paragraphs (A), (B), (C) and (D) above shall not exceed the
original deposit, without interest, and the utility shall not require any deposit
pursuant to the provisions of paragraph (D) in excess of the unrefunded deposit of
the original applicant. At the expiration of said 10 year period the refund account
will be closed and no further refunds will be made.
6) All mains, valves, fittings and other
appurtenances and materials installed in accordance with this Section shall be and
remain the sole property of the utility.
7) The utility shall have the right to further
extend its mains from and beyond the terminus of each main extension made under this
Section. The applicant making a deposit hereunder shall not be entitled to any
refund on account of any other or further extension or the attachment of any
services or hydrants to any other or further extension.
8) When the utility desires to install a main
larger than eight inches (8") in diameter for a purpose other than the applicant's
service requirements, then the utility shall pay the additional cost of the larger
main.
9) All water main extensions,
except those that may be installed by the utility without the necessity of a
contract, will be made by contract with the applicant in accordance with the
conditions of this particular Section as outlined above.
10) Any main extension agreement made pursuant to
this Section and the right to refund thereunder shall not be assigned by the
applicant without the prior written consent of the utility.
c)
1) The
utility shall furnish, install and maintain at its expense the permanent service
connection, meter and any other appliance necessary to deliver and measure the water
furnished. Temporary service connections and fire service connections shall be
installed in accordance with the rules and regulations of the utility on file with
the Commission. In those cases where services are installed in advance of paving,
the cost of such services shall be included in the deposit for the main extension.
The total cost of such services shall be computed and said amount divided by the
number of services so installed. Such average cost so computed shall be refunded
immediately to the applicant who made the deposit upon a customer being connected to
such a preinstalled service.
2) The
"service connection" furnished by the utility after the adoption of this Part shall
include a shut off device at the main (corporation cock), a shut off device located
near the curb line or property line (curb cock and curb box) and the water service
line between the main and the curb cock and curb box. In those instances where
outside meters are installed, a separate curb cock will not be required if the meter
setting is located near the curb line or property line and includes a shut off
valve. When the outside meter setting is installed near the curb line or property
line, the water service line furnished by the utility shall extend from the main to
the meter setting. The service connection shall be installed perpendicular to the
main where practical. It shall be located so that no portion of the customer's
service line shall pass through lands, buildings or parts of buildings which are not
the property of the applicant for service.
3) The customer shall be responsible to furnish,
install and maintain in good repair the necessary pipe to make the connection from
the curb stop or outside meter setting to the building to be served. Said line shall
be known as the "customers' service line." No tees or branch connections shall be
allowed before the meter unless to serve another meter.