Hereby Requests Ministerial Review of the Following Changes in Tariff Sheets Applicable to Its Los Angeles County Division
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May 16, 2012 Advice Letter 414 U337W TO THE PUBLIC UTILITIES COMMISSION OF THE STATE OF CALIFORNIA San Gabriel Valley Water Company ("San Gabriel") hereby requests ministerial review of the following changes in tariff sheets applicable to its Los Angeles County division: Canceling CPUC Schedule CPUC Sheet No. Title No. Sheet No. 2125-W General Metered Service LA-1 2073-W 2126-W General Metered Service (cont.) LA-1 2092-W 2127-W General Metered Service - Conservation LA-1C 2075-W 2128-W Private Fire Service LA-4 2076-W 2129-W Recycled Water Metered Service LA-6 2077-W 2130-W Recycled Water Metered Service (cont.) LA-6 2094-W 2131-W Construction & Tank Truck Service LA-9C 2079-W 2132-W Service to Tract Houses During Construction LA-9CL 2080-W 2133-W California Alternative Rates For Water LA-CARW 2110-W 2134-W Preliminary Statement (cont.) N/A 2088-W 2135-W Preliminary Statement (cont.) N/A 2089-W 2136-W Table of Contents (cont.) N/A 2123-W 2137-W Table of Contents N/A 2124-W An original and four copies of this advice letter are submitted in compliance with Ordering Paragraph No. 11 of Decision No. 11-11-018 as modified in Decision No. 12-02-027 in Application No. 10-07-019 to implement a revenue increase of $1,091,383, or 1.92% for Escalation Year 2012-2013. This is designated as a Tier 2 advice letter, with a requested July 1, 2012 effective date. Purpose and Background This advice letter submittal is to implement rates for Escalation Year 2012-2013 authorized by the Commission for the Los Angeles County division in Decision No. 11-11-018, dated November 10, 2011, as modified in Decision No. 12-02-027 dated February 27, 2012 in Application No. 10-07-019. Ordering Paragraph No. 11 of Decision 11-11-018 states: 11. For escalation years 2012-2013 and 2013-2014, San Gabriel Valley Water Company shall file Tier 2 advice letters in Advice Letter No. 414 May 16, 2012 Page No. 2 conformance with General Order 96-B on or before May 16, 2012 and May 16, 2013 proposing new revenue requirements and corresponding revised tariff schedules, as set forth in the Commission's Rate Case Plan (Decision 07-05-062) for Class A Water Utilities. These advice letters shall include appropriate supporting workpapers. The revised tariff schedules shall take effect no earlier than July 1, 2012 and July 1, 2013, respectively, and shall apply to service rendered on and after their effective dates. The proposed revised revenue requirements and rates shall be reviewed by the Commission's Division of Water and Audits. The Division of Water and Audits shall inform the Commission if it finds that the revised rates do not conform to the Rate Case Plan, this, or other Commission decisions, and if so, shall reject the filing. Based on DRA's April 2012 escalation factors for 2011, 2012, and 2013, San Gabriel requests a revenue increase of $1,091,383, or 1.92% for Escalation Year 2012-2013. The effect of the adopted increase will raise the typical monthly bill of the typical residential customer (5/8" x 3/4" meter and 23 Ccf) on General rates by $1.54 or 1.9% from $79.37 to $80.91 and of the typical residential customer on Conservation rates by $1.53 or 1.9% from $79.25 to $80.78. In accordance with Ordering Paragraph No. 11 of Decision No. 11-11-018 as modified in Decision No. 12-02-027, the revised tariff schedules shall take effect on July 1, 2012. Discussion The present rate schedules in the Los Angeles County division became effective on November 15, 2011, through Advice Letter 407 to implement the adopted rates for Test Year 2011-2012. The following summary lists the recorded, authorized, and pro forma rates of return in the Los Angeles County division for the twelve months ending March 31, 2012. The pro forma rate of return is calculated in accordance with guidelines provided by the Commission's Water Division staff. Recorded 10.35% Authorized 9.25% Pro Forma 7.12% The tariff schedules reflecting the Escalation increase are attached hereto. San Gabriel has provided workpapers supporting the recorded and pro forma rates of return set forth herein, Advice Letter No. 414 May 16, 2012 Page No. 3 as well as the calculation of the proposed rates, to the Commission's Water Division staff for their review as required by the Decision. In accordance with the requirements of Water Industry Rule 4.1 of General Order No. 96-B, this advice letter is being sent to the parties listed on the attached distribution list. No other parties have requested notification of tariff filings related to the Los Angeles County division. No further public notice is required because all public notices in connection with Application No. 10-07-019 have already been mailed to the customers or published in accordance with applicable law and Commission rules. Protest and Responses Anyone may respond to or protest this advice letter. A response supports the filing and may contain information that proves useful to the Commission in evaluating the advice letter. A protest objects to the advice letter in whole or in part and must set forth the specific grounds on which it is based. These grounds are: (1) San Gabriel did not properly serve or give notice of the advice letter; (2) The relief requested in the advice letter would violate statute or Commission order, or is not authorized by statute or Commission order on which San Gabriel relies; (3) The analysis, calculations, or data in the advice letter contain material error or omissions; (4) The relief requested in the advice letter is pending before the Commission in a formal proceeding; (5) The relief requested in the advice letter requires consideration in a formal hearing, or is otherwise inappropriate for the advice letter process; or (6) The relief requested in the advice letter is unjust, unreasonable, or discriminatory provided that such a protest may not be made where it would require relitigating a prior order of the Commission. A protest shall provide citations or evidence where available to allow staff to properly consider the protest. A response or protest must be made in writing or by electronic mail and must be received by the Division of Water and Audits within 20 days of the date this advice letter is filed. The address for mailing or delivering a protest is: Tariff Unit, Division of Water and Audits, 3rd floor California Public Utilities Commission, 505 Van Ness Avenue, San Francisco, CA 94102 [email protected] Advice Letter No. 414 May 16, 2012 Page No. 4 On the same date the response or protest is submitted to the Division of Water and Audits, the respondent or protestant shall send a copy of the protest by mail to us, addressed to San Gabriel: San Gabriel Valley Water Company Director, Rates and Revenue 11142 Garvey Avenue El Monte, CA 91733 FAX: (626)448-5530 or E-mail [email protected] If you have not received a reply to your protest within 10 business days, contact me at (626)448-6183. Cities and counties that need approval of their Board of Supervisors or Board of Commissioners to protest should inform the Division of Water and Audits, within the 20 day protest period, so that a late filed protest can be entered. The informing document should include an estimate of the date the proposed protest might be voted on. Conclusion San Gabriel requests processing by the Commission's Division of Water and Audits so the proposed rates will become effective on July 1, 2012, as provided in Ordering Paragraph No. 11 of D.11-11-018 as modified in D. 12-02-027. Thank you for your assistance in processing this advice letter. San Gabriel Valley Water Company Daniel A. Dell'Osa Director of Rates and Revenue cc: Bruce DeBerry, CPUC - Division of Water and Audits Hani Moussa, CPUC - Water Branch, DRA Danilo Sanchez, CPUC - Water Branch, DRA 11142 GARVEY AVENUE Revised Cal. P.U.C. Sheet No. 2125-W EL MONTE, CALIFORNIA 91733 Cancelling Revised Cal. P.U.C. Sheet No. 2073-W SCHEDULE NO. LA-1 Los Angeles County Tariff Area GENERAL METERED SERVICE APPLICABILITY Applicable to all metered water service, except for those Residential customers required to be served under Schedule LA-1C. TERRITORY Portions of Arcadia, Baldwin Park, El Monte, City of Industry, Irwindale, La Puente, Montebello, Monterey Park, Pico Rivera, Rosemead, San Gabriel, Santa Fe Springs, South El Monte, West Covina, Whittier and vicinity, Los Angeles County. RATES Quantity Rates: For all water delivered, per 100 cu. ft $ 2.5842 (I) Per Meter Service Charge: Per Month For 5/8 x 3/4-inch meter S 21.47 (I) For 3/4-inch meter 32.20 For 1-inch meter 53.66 For 1-1/2-inch meter 107.33 For 2-inch meter 171.74 For 3-inch meter 321.98 For 4-inch meter 536.63 For 6-inch meter 1,070.00 For 8-inch meter 1,710.00 For 10-inch meter 2,470.00 For 12-inch meter 3,540.00 For 14-inch meter 4,720.00 (I) (continued) (To be inserted by utility) Issued by (To be inserted by Cal. P.U.C.) Advice Letter No. 414 Date Filed R. W. Nicholson Decision No. 11-11-018 NAME Effective President Resolution No. TITLE 11142 GARVEY AVENUE Revised Cal. P.U.C.