CHARLESTON, W.Va. — Citing financial distress, the Coolfont Mountainside Association LLC has requested a rate increase from the West Virginia Public Service Commission that could increase water rates by 16.04 percent and sewer rates by 13.70 percent.
The state PSC says it is a recommended decision that becomes a PSC order in 20 days unless an objection is filed
Following is the paperwork released by the WV PSC regarding the order:
PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
Entered: June 24, 2024
CASE NO. 24-0457-WS-19A
COOLFONT MOUNTAINSIDE ASSOCIATION, INC.
Rule 19-A application to increase water and sewer rates and charges.
INTERIM RECOMMENDED DECISION
BACKGROUND
On May 16, 2024, Coolfont Mountainside Association, Inc. (Coolfont) filed a 19A
request to increase its rates. It also requested an emergency rate increase.
The same day, the Commission referred the matter to the Division of
Administrative Law Judges.
On June 21, 2024, Commission Staff filed an Initial Staff Memorandum Including
Interim Rate Recommendation, recommending the Commission approve an emergency
interim rate increases for both water and sewer operations.
Staff recommends an emergency interim water rate increase, subject to refund,
which would generate an annual increase of $25,270 or 16.04% over Coolfont’s current
water rates. The resulting levels of available cash would be sufficient to cover Coolfont’s
total cash requirements of $107,508, and would result in a cash surplus of $2,965.
Staffs recommended emergency interim sewer rate increase, also subject to
refund, would generate an annual increase of $3,334 or 13.70% over Coolfont’s current
sewer rates. The resulting levels of available cash would be sufficient to cover Coolfont’s
total cash requirements of $26,386, and would result in a cash surplus of $1,277.
FINDINGS OF FACT
1. Coolfont filed an application to increase its water and sewer rates and
requested emergency rate relief. (Application filed May 16, 2024).
2. Coolfont is in need of emergency financial relief in the form of emergency
interim rates subject to refund. (Initial Staff Memorandum Including Interim Rate
Recommendation filed June 21, 2024).
Public Service Commission
of West Virginia
Charleston
CONCLUSION OF LAW
Consistent with the Staff analysis that shows financial distress in the absence of
interim rates and the Commission’s authority under W.Va. Code §24-2-4a, it is
reasonable to grant interim rates subject to refund.
ORDER
IT IS THEREFORE ORDERED that an emergency interim water rate increase, as
reflected on the interim tariff sheets attached as Appendix A, is approved for Coolfont
Mountainside Association, Inc., effective for bills rendered on and after the effective date
of this Order.
IT IS FURTHER ORDERED that an emergency interim sewer rate increase, as
reflected on the interim tariff sheets attached as Appendix B, is approved for Coolfont
Mountainside Association, Inc., effective for bills rendered on and after the effective date
of this Order.
IT IS FURTHER ORDERED that the emergency interim rate authorized herein is
subject to refund in the event the Commission finally determines that the rates are not
cost justified.
IT IS FURTHER ORDERED that within thirty days of the date of this Order,
Coolfont Mountainside Association, Inc. shall file an original and six copies of its revised
tariff sheets reflecting the emergency interim rates approved in this Order.
IT IS FURTHER ORDERED that Coolfont Mountainside Association, Inc. publish
the Notice of Emergency Interim Rate Increase, attached as Appendix C, one time in a
newspaper published and of general circulation in the county where it provides service.
This notice must be published as soon as possible but no later than seven days after the
date of this Order. Coolfont Mountainside Association, Inc. shall file the affidavit of
publication immediately upon receipt.
IT IS FURTHER ORDERED that the Executive Secretary serve a copy of this
Order on the West Virginia State Auditor’s Office pursuant to W.Va. Code §59-3-2(e).
The Executive Secretary is ordered to serve this Order upon the Commission and
its Staff by hand delivery, upon all parties of record who have filed an e-service
agreement with the Commission by electronic service and upon all other parties by
United States First Class Mail.
Leave is granted to the parties to file written exceptions supported by a brief with
the Executive Secretary of the Commission within fifteen days of the date of this Order.
If exceptions are filed, the parties filing exceptions shall certify that all parties of record
have been served the exceptions.
Public Service Commission
of West Virginia
Charleston
If no exceptions are filed, this Order shall become the Order of the Commission,
without further action or order, five days following the expiration of the fifteen day time
period, unless it is ordered stayed by the Commission.
Any party may request waiver of the right to file exceptions by filing an appropriate
petition in writing with the Executive Secretary. No such waiver, however, will be
effective until approved by order of the Commission.
–Darren Olofson
Administrative Law Judge
D0:s:lc
PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 24-0457-WS-19A
COO LFO N T M 0 U N TAI N S I DE AS SOC I AT1 0 N , I N C .
Rule 19-A application to increase water and sewer rates and charges.
APPROVED INTERIM TARIFF – WATER
Subject to refund
APPLICABILITY
Applicable within the entire territory served.
AVAlLABILITY OF SERVICE
Available for general domestic, commercial, industrial and sale for resale water
service.
RATE
$29.74 per 1,000 gallons for all gallons used per quarter.
MINIMUM CHARGE
No bills will be rendered for less than $133.83 per quarter.
DELAYED PAYMENT PENALTY
The above tariff is net. On all accounts not paid in full within twenty (20) days of
date of bill, ten percent (10%) will be added to the net current amount unpaid. This
delayed penalty is not interest and is only to be collected once for each bill where it is
appropriate.
RECONNECT FEE
$25.00 to be charged whenever the supply of water is turned off for violations of
rules, non-payment of bills, or fraudulent use of water.
Public Service Commission
of West Virginia
Charleston
APPENDIX A
Page 2 of 2
LEAK ADJUSTMENT
$2.25 per 1,000 gallons is to be used when the bill reflects unusual consumption
which can be attributed to eligible leakage on the customer’s side of the meter. This rate
shall be applied to all such consumption above 200% of the customer’s historic usage.
TAP FEE
A tap fee of $350 will be charged to customers who apply for service outside of a
certificate proceeding before the Commission for each new tap to the system.
RETURNED CHECK CHARGE
A service charge equal to the actual bank fee assessed to the water utility up to a
maximum of $25.00 will be imposed upon any customer whose check for payment of
charges is returned by the bank due to insufficient funds.
S E C U R I TY DEPOSIT
Not to exceed two times the average monthly bill of the applicant’s specific
customer class, or fifty dollars, whichever is greater. This fee may be changed by
applicable statutory provisions.
__~
Public Service Commission
of West Virginia
Charleston
APPENDIX B
Page 1 of 2
PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 24-0457-WS-I 9A
COOLFONT MOUNTAINSIDE ASSOCIATION, INC.,
Rule 19A application to increase water rates and charges
and request for emergency rates.
APPROVED INTERIM TARIFF – SEWER
Subject to refund /I APPLICABILITY
I Applicable within the entire territory served.
AVAl LAB I Ll TY
Available for general domestic, commercial, industrial and sale for resale sewer
service.
RATE
$8.66 per thousand gallons for all gallons used per quarter.
MINIMUM CHARGE
No bills will be rendered for less than $38.97 per quarter.
FLAT RATE CHARGE (Customers with non-metered sewer SUPP~V)
Equivalent of 4,500 gallons per quarter, $38.97 per quarter.
DELAYED PAYMENT PENALTY
The above tariff is net. On all accounts not paid in full when twenty (20) days of
date of bill, ten percent (10%) will be added to the net current amount unpaid. This
delayed penalty is not interest and is to be collected once for each bill where it is
appropriate .
Public Service Commission
of West Virginia
Charleston
APPENDIX B
Page 2 of 2
LEAK ADJUSTMENT
$0.59 per 1,000 gallons is to be is to be used when the customer’s bill reflects
unusual consumption which can be attributed to eligible water leakage on the customer’s
side of the meter. This rate shall be applied to all such consumption above 200% of the
customer’s historical average usage.
TAP FEE
A tap fee of $350.00 will be charged to customers who apply for service outside of
a certificate proceeding before the Commission for each new tap to the system.
SECURITY DEPOSIT
Not to exceed two times the average monthly bill of the applicant’s specific
customer class, or fifty dollars, whichever is greater. This fee may be changed by
applicable statutory provisions.
____________________
APPLICATION:
PUBLIC SERVICE COMMISSION
OF WEST VIRGINIA
CHARLESTON
CASE NO. 24-0457-WS-19A
COOLFONT MOUNTAINSIDE ASSOCIATION, INC.,
Rule 19A application to increase water rates and charges
and request for emergency rates.
NOTICE OF EMERGENCY INTERIM RATE INCREASE
On May 16, 2024, the Coolfont Mountainside Association, Inc. (District) filed an
application requesting water and sewer rate increases. To qualify for the optional rate
procedure for small utilities established by Rule 8.2 (Old Rule 19-A) of the Public Service
Commission Rules for the Construction and Filina of Tariffs (Tariff Rules), 150 C.S.R. 2,
the annual gross revenue of the utility must not exceed $3,000,000.
On the recommendation of Commission Staff, the Commission approved an
emergency interim water rate increase of 16.04% and an emergency interim sewer rate
increase of 13.70% effective immediately. The specific rates approved are as follows:
WATER
RATE
$29.74 per 1,000 gallons for all gallons used per quarter.
MINIMUM CHARGE
No bills will be rendered for less than $133.83 per quarter
SEWER
RATE
$8.66 per 1,000 gallons for all gallons used per quarter
MINIMUM CHARGE
No bills will be rendered for less than $38.97 per quarter
___
Public Service Commission
of West Virginia
Charleston
APPENDIX C
Page 2 of 2
~ FLAT RATE CHARGE (Customers with non-metered sewer supplv)
This emergency interim rate increase is applicable to all customers of Coolfont.
l The emergency interim rates are subject to refund if not justified by an ongoing Staff
audit and final decision in this matter. Customers may review the specific emergency
interim rate changes at Coolfont’s office.
Equivalent of 4,500 gallons per quarter, $38.97 per quarter.
These rates are interim rates only and may be increased, decreased or left
unchanged at the conclusion of this rate case. During the course of this proceeding the
Staff of the Commission will recommend final rates for use by Coolfont. Those rates will
be published at a later date and may be protested at that time.
COOLFONT MOUNTAINSIDE ASSOCIATION, LLC