A. Availability. A non-investor-owned utility
may receive a limited revenue increase through an abbreviated filing process
requiring submission of less data than would otherwise be required under
§§
5.5, 5.6, and 5.9 of this Part. Information required of water
utilities pursuant to R.I. Gen. Laws §
39-3-12.1 must be filed.
B. Limitation on Revenue Increase. The
allowable revenue increase will be limited to twenty-five (25%) percent over a
normalized test year period. Increases to test year amounts will be allowed for
known and measurable changes to:
1. debt
service requirements;
2. salaries,
wages, and employee benefits;
3.
property taxes;
4.
chemicals;
5. insurance;
6. infrastructure replacement program
funding; and
7. purchased
water.
C. For other
accounts, increases from test year amounts for known and measurable changes
will be allowed only when the proforma amount is at least ten (10%) percent
greater than the test year. Account increases utilizing a general attrition or
inflation factor will not be permitted.
D. Restrictions on Abbreviated Filing. The
abbreviated filing procedure is not available to a utility in the following
instances:
1. if a net utility operating loss
has occurred for the prior two fiscal years;
2. if a general rate order has not been
issued during the preceding five years;
3. if the utility proposes a significant
change in revenue recovery among rate classes;
4. if the utility has not filed all annual
reports to the Commission;
5. if
the utility has not complied with directives of prior Commission
orders.
E. Filing
Requirements. §§
5.5(A)(3) and 5.9 of this Part are superseded by the
following requirements:
1. Cost of service
schedules for the test year and the proposed rate year; a balance sheet for the
test year.
2. Supporting
calculations and data for known and measurable changes allowed per §
5.10(B) of this Part.
3. A
comparative statement of revenues and expenditures for the past three (3)
fiscal years.
4. Workpapers
detailing the test year revenues by source, tariff, rate class, etc. The sales
volumes/quantities and customer counts by rate class shall be
presented.
5. A schedule presenting
the principal and interest amounts paid on long term and short-term debt
service for the test year and the amounts projected for the rate year. Schedule
amounts by bond issue, note/mortgage loan, etc. as appropriate. Provide a
description of each issue to include: source of funding, amount of original
issue, date, interest rate, repayment terms, security pledged on borrowing, and
other pertinent information.
6. For
rate filings requesting an increase in debt service requirements:
a. a capital program in support of the debt
service requested;
b. evidence of
voter/board approval for the debt issuance; and
c. a summary of debt issuance
costs.
7. A summary of
expenses incurred and projected to be incurred related to the instant rate case
filing, and a schedule showing any unamortized amounts from prior rate filings.
This schedule shall reconcile the total amount of expense allowed in the last
order, the recovery or amortization of expense through the test year, and the
projected balance of any unrecovered or unamortized amount at the beginning of
the rate year.
8. A summary on the
status of compliance and reporting required by prior Commission
orders.
9. An accounting summary of
restricted accounts to provide the funding, interest accrual, and expenditures
of each restricted account since the date of the last rate order.
F. Representation by Counsel. A
filing under this section may be made without the assistance of any attorney.
However, if the matter results in a contested hearing, the utility must be
represented by counsel as directed under §
1.5(A)(1) of this Subchapter,
the Commission's Rules of Practice & Procedure.
