Indiana Administrative Code
Title 170 - INDIANA UTILITY REGULATORY COMMISSION
Article 6 - WATER UTILITIES
Rule 1.5 - Extension of Water Mains
Section 1.5-40 - Special contract
Universal Citation: 170 IN Admin Code 1.5-40
Current through September 18, 2024
Authority: IC 8-1-1-3; IC 8-1-2-4; IC 8-1-12
Affected: IC 8-1-12
Sec. 40.
(a) A utility may require a special contract when:
(1) the requested main extension is of such
length and the prospective business to be developed by it is so meager as to
make it doubtful whether the business from the extension would ever pay a fair
return on the utility investment involved in such extension;
(2) the prospects are that the patronage and
demand will not be of such permanency as to warrant the capital expenditure
involved;
(3) there are industrial
installations requiring extensive water utility investment and where the demand
for water service is expected to be slight, irregular, or of unknown quantity;
or
(4) there are other abnormal or
extraordinary circumstances.
(b) The utility and the applicant requesting the extension may enter into a special contract establishing the terms and conditions on which the extension will be made. In the event they are unable to agree on the terms and conditions, the matter, including the contract embodying the terms and conditions, shall be submitted to the commission for determination.
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