LAW OFFICES WILLIAM S. WINFREY, II. W, Va. State Bar 4093 I608 West Main Street Post Office Box I 159 Princeton, West Virginia 24740 [email protected] Telephone: (304)487- I887 February 12, 2010
VIA HAND DELIVERY
Sandra Squire, Executive Secretary WV Public Service Commission P. 0. Box 812 Charleston, W 25323 / 0 -0tlS- Pub- c ni“ RE: Glen White-Trap Hill Public Service District Water System Extensions and Upgrade - Phase II “Cove Creek Project” Application for a Certificate of Convenience and Necessity
Dear Mrs. Squire: Enclosed with this letter are the following documents with regard to the above- referenced matter: Thirteen Sets: 1. Application for a Certificate of Convenience and Necessity 2. Form No. 14, “Notice of Filing” 3. State of West Virginia, Office of Environmental Health Services Permit # 18,323, PWSID #W3304112
4. USDA-RUS Letter of Conditions 5. USDA-RUS Request for Obligation of Funds 6. Appalachian Regional Commission Commitment Letter 7. Water Operators Certifications 8. Evidence of Project SHPO (Environmental Report) 9. Rule 42 Exhibit Sandra Squire, Executive Secretary Page -2- February 12,2010
One CODVEach:
IO. Health Department Permit Application 1I. Contract Documents and Specifications 12. Final Engineering Report 13. Contract Plans
It is noted that the Health Department permit has been applied for and is pending.
This project has been approved for funding by the West Virginia Infrastructure & Jobs Development Council. Accordingly, no pre-filing of the project was made. The Applicant desires to put this project out for bid immediately, upon receiving permission from the Department of Health. There will be a 90-day bid hold. The Applicant understands this application process has a 180-day time limitation; the Applicant requests expedited treatment and that the Commission retain jurisdiction. It is requested that Staff assigned to Case No. 08-1697-W-CN be assigned to this case since the EPA/SAP Grant was approved under that case.
This Project involves ARRA stimulus funding. Please list the following email addresses of record: William S. Winfrey, II [email protected]. Counsel for the City of Welch Daniel R. Shorts, P.E. ds horts@Dentree .com Pentree, Incorporated
Yours very tr@;
Wi&m S. Winfrey, II WVSB M093 W SW, II/saw Enclosures cc: Glen White-Trap Hill Public Service District (wlenc.) Region I Planning and Development Council (w/enc.) Pentree, Incorporated (w/enc.) FORM N0.5 (Original and twelve copies to be filed) APPLICATION FOR A CERTIFICATE OF CONVENIENCE AND NECESSITY PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON
CASE NO.:
Application of Glen White-Trap Hill Public Service District for a Certificate of
Convenience and Necessity to construct a water svstem improvement at Posev-Saxon in the County of Raleiah and known as the "Cove Creek Proiect".
Comes now the above-named Glen-White Trap Hill Public Service District, the Petitioner herein, and respectfully shows the Commission as follows:
1. That the name and address of the Applicant are Glen White-Trap Hill
Public Service District, P. 0. Box 100. Fairdale, West Virginia 25839.
2. That the Applicant proposes to construct a water svstem improvement
at Posev-Saxon, in the County of Raleiah and furnish water service to the residents of those areas.
3. That the following is a full and complete description of the new
construction or extension, including a description of the manner in which the same will be
constructed: The proiect will consist of the installation of approximatelv 26-110 LF of 12",
30,581 LF of 6" and 5,787 LF of 2" water line: and one (11 2"/6" Dressure reducing station;
and all necessarv valves. controls and appurtenances.
4. Name of the other Public Utilities, Corporations or Persons with whom
the proposed construction may compete: none.
5. Service is not now rendered by an existing Utility, Corporation or
person. 6. The rates proposed to be charged are as follows: See attached
Rule 42 Exhibit.
7. It is estimated that the proposed construction, etc., will cost
$3.871.400.00.
8. It is proposed to finance the new construction, etc., as follows:
ARC Grant $1,000,000.00
USDA-RUS Grants (2) $ 371,400.00
USDA-RUS Loan $ 200,000.00 (4.75% for 38 years)
USDA-RUS Loans $2,300,000.00 (3.625% for 38 years)
9. Detailed estimate of operating revenues and expenses, as follows:
See attached Rule 42 Exhibit.
IO. A Certificate should be issued for the following reasons: The Proiect will provide increased service to PSD customers and provide additional service to approximatelv 60 new customers in the Posev-Saxon areas of Raleigh Countv, West
Vi rqi nia.
Dated this 12thday of February, 2010.
GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT
By: /s/ Robert Milam. Chairman Telephone No. (304)934-6234
William S. Winfrey, II, Attorney WVSB No. 4093 P. 0. Box 1159 Princeton, WV 24740
Telephone No. (304)487-1887 VERI FICAT1 0 N
State of West Virginia
County of Raleigh, ss.
Robert L. Milam, Chairman of the Glen White-Trap Hill Public Service District, located in Fairdale, West Virginia, the Applicant named in the foregoing application, being duly sworn says that the facts and allegations therein contained are true except so far as they are therein stated to be on information, and that, so far as they are therein stated to be on information, he believes them to be true.
GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT
BY:
Taken, sworn to and subscribed before me this day of ,2009.
5L C& Notary Public
My Commission expires on the 19 day of , 2Qk.l
OFFICIAL SEAL NOTARY PUBl.!r STATE OF WEST VIF, ~tt PAMELA S. GRKVkLY 133 HAMLlN COURT EECKLM, WV 25801 1 commhrlon axpima August 5,2018
(NOTE: Such application must be accompanied by information required by Rule 42.) Form No. 14
PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON
Entered by the Public Service Commission of West Virginia, in the City of Charleston on the day of February, 201 0.
CASE NO.
NAME OF APPLICANT: Glen White-Trap Hill Public Service District Application for a Certificate of Convenience and Necessity to construct a water system improvement at Posey-Saxon in the County of Raleigh, West Virginia (known as the "Cove Creek Project")
NOTICE OF FILING
WHEREAS, on February , 2010, the Glen White-Trap Hill Public Service District filed an application, duly verified, for a Certificate to construct a water system improvement at Posey-Saxon in the County of Raleigh, West Virginia (known as the "Cove Creek Project"). The application is on file with and available for public inspection at the Public Service Commission, 201 Brooks Street, in Charleston, West Virginia.
WHEREAS, the Glen White-Trap Hill Public Service District (Applicant) estimates that construction will cost approximately $3,871,400.00. It is proposed that the construction will be financed as follows:
ARC Grant $1,000,000.00 USDA-RUS Grants (2) $ 371,400.00 USDA-RUS Loan $ 200,000.00 (4.75% for 38 years) USDA-RUS Loan $2,300,000.00 (3.625% for 38 years)
WHEREAS, the utility anticipates the Water rates for its customers will not increase as a result of this Project, and there are two (2) resale customers: Raleigh County Public Service District and the Town of Lester.
Pursuant to 924-2-1 1, West Virginia Code, IT IS ORDERED that the Glen White-Trap Hill Public Service District give notice of the filing of said application, by publishing a copy of this order once in a newspaper duly qualified by the Secretary of State, published and of general circulation in Raleigh County, making due return to this Commission of proper certification of publication immediately after publication. Anyone desiring to protest or intervene should file a written protest or notice of intervention within 30 days following the date of this publication unless otherwise modified by Commission order. Failure to timely protest or intervene can affect your right to protest aspects of this certificate case, including any associated rate increases, or to participate in future proceedings. All protests or requests to intervene should briefly state the reason for the protest or intervention. Requests to intervene must comply with the Commission's rules on intervention set forth in the Commission's Rules of Practice and Procedure. All protests and interventions should be addressed to Sandra Squire, Executive Secretary, P. 0. Box 812, Charleston, West Virginia 25323. IT IS FURTHER ORDERED that if no protests are received within said thirty (30) day period, the Commission may waive formal hearing and grant the application based on the evidence submitted with said application and its review thereof.
FOR THE COMMISSION
Executive Secretary PERMIT NO.:18,323
1 THIS IS TO CERTIFY thatafterreviewing other essential information that 1 I isherebygrantedapprovalto: install line; oqe (1) 2"/6"pressur
I I
I wsH:cgw,PC. Inc. James W. Ellars, P.E.,PSC-Engineering Division Amy Swann, PSC-Water and Wastewater Division 1 Raleigh County Health Department OEHS-EED Beckley DO United States Department of Agriculture Rural Development West Virginia State Office August 1, 2008
Robeddlam, Chairman Glen e-Trap Hill Public Service District P.O. Bolx 100 F@f&le, WV 25839
/”- RE: Amendment No. 1 to Letter of Conditions
Dear Mr. Milam:
This letter, with Attachment No. 1 amends the letter of conditions dated July 8,2002 and further establishes conditions which must be understood and agreed to by you before further consideration may be given to your application. The loan and grant will be administered on behalf of the Rural Utilities Service (RUS) by the State and Area staff of USDA, Rural Development. Any changes in project cost, source of fbnds, scope of services, or any other significant changes in the project or applicant must be reported to and approved by USDA, Rural Development by written amendment to this letter. Any changes not approved by Rural Development shall be cause for discontinuing processing of the application. The docket may be completed onthe basis of an initial RUS loan in the amount of $200,000, a subsequent RUS loan in the amount of $2,300,000, an initial RUS grant in the amount of $176,000, a subsequent RUS grant in the amount of $195,400, and other funding in the amount of $1,000,000, for a total project cost of $3,871,400. The other funding is planned in the form of a grant from the Appalachian Regional Commission.
Subject to the requirements noted herein, all of the conditions of the July 8,2002 letter of conditions remain in effect and must be satisfied prior to loan and grant closing.
Extra copies of this letter are being provided for use by your engineer, attorney, bond counsel and accountant. The enclosures and attachments listed below are attached to the copies as noted.
The conditions referred to above are as follows: 1. The project construction budget, use and income analysis, and projected cash flow have been amended to reflect the revised funding scenario and additional borrowing. (Attachment No. 1).
2. Fund Usage - Funds obligated under the tern of this letter of conditions are committed on the basis that your project will proceed to the construction stage in an expedient manner. In accordance with RUS Staff Instruction 1782-1, Section 1782.20(~)(5),any hnds not disbursed within 60 months from the date of obligation will be de-obligated and
Federal Building 75 High Street Suite 320 Morgantown, WV 26705-7500 Phone: (304) 284-4880 OR 1-800-295-8228 Fax: (304) 284-4893 TDD (304) 284-4836 Web: http:llwww.Nrdev.usda.govlwv Committed to the future of rural communities. “USDA is an equal opportunity provider, employer and lender.” To file a complaint of discrimination write USDA, Director, Office of Civil Rights, 1400 Independence Avenue, S.W., Washington, DC 20250-9410 or call (800)795-3272 (voice) or (202) 72043382 (TDD). returned to the Department of Treasury for further disposition to other RUS project applicants. In the event that USDA determines that your project has not progressed within the-five (5) year timeline and that funds will be recaptured, you will be given appeal rights and due process to document reasons why you believe the decision to de- obligate your project funds is not justified.
3. Loan Reuawnent - The subsequent loan will be scheduled for repayment over a period of 40 years. The payments due the first 24 months will consist of interest only. The remaining 456 months will be equal amortized monthly installments. For planning purposes, use a 3.625% interest rate and monthly amortization factor of .00405 which provides for a monthly payment of $9,3 15.00 on the subsequent loan. The monthly payment for the initial $200,000 loan is $950.00 and the monthly payment for the subsequent $2,300,000 loan is $ is $9,315.00, for a total loan of $2,500,000 and a total monthly payment of $1 0,265.
The bond for the $2,300,000 subsequent loan will need to be a separate bond and it will include the interest rate determined applicable prior to loan closing. It will be satisfactory for the subsequent loan bond to be described in the same loan resolution as the $200,000 initial loan and for all other information and items of the loan resolution and bond transcript to reflect a $2,500,000 total issue consisting of two or more bonds. A copy of this letter should be provided to your bond counsel immediately.
4. Users - The conditional commitment is based upon the PSD providing evidence that there will be at least 2,224 bona fide users on the water system when the extension has been completed and is placed in operation. This evidence will consist of 48 signed user agreements and a certification from the PSD that identifies and attests to the number of users actually connected to the PSD’s water system at the time you request authorization to advertise the project for construction bids.
5. Public Service Commission Amroval - You must obtain PSC approval of the project’s proposed financing and user rates as may result from this amendment to the letter of conditions.
6. Vulnerabilitv Assessments (VA) and Emergencv Response Plans (ERP) - Congress enacted the Public Health Security and Bioterrorism Preparedness Response Act of 2002, Public Law 107-188 (Bioterrorism Act). The Bioten-orismAct amended the Safe Drinking Water (SDWA) to require all medium and large sized community water systems (serving populations greater than 3,300) to assess vulnerability to terrorist attack and develop emergency plans for response to such an attack. Medium and large community water systems are being monitored by the U.S. EPA for completion of VA’s and ERP’s.
Rural Development reauires all financed water and wastewater systems to have a vulnerability assessment NA) and an emergency resuonse plan (ERP) in place. New water or wastewater systems must provide a certification that an ERP is complete prior to the start of operations. A certification that a VA is complete must be submitted within one year of the start of operations. All other borrowers must provide a certification that a VA and ERP are complete prior to bid authorization.
2 ’,
, .<-
Rural Development does not need or want a copy of the VA or ERP. The requested certification will be sufficient to meet our needs. Technical assistance providers are available to provide you with on site assistance if desired.
7. At a properly called meeting, you must adopt and properly execute the following forms, and minutes showing the adoption must be provided (you must also provide us with a copy of the minutes showing the adoption of the forms associated with the original letter of conditions):
RUS Bulletin 1780-12 - “Water or Waste System Grant Agreement” Form 1940-1 - “Request for Obligation of Funds” RUS Bulletin 1780-27- “Loan Resolution” FormRD 1942-46 - “Letter of Intent to Meet Conditions”
If the conditions set forth in this letter are not met within six (6) months fiom the date hereof, RUS reserves the right to discontinue processing of the application. In the event the project has not advanced to the point of loan closing within the six-month period and it is determined the PSD still wishes to proceed, it will be necessary that the proposed budget be reviewed again in detail. If, during that review, it is determined the budget is no longer current and/or adequate, RUS reserves the right to require that it be revised or replaced.
We believe the information herein clearly sets forth the actions which must be taken; however, if you have any questions, please do not hesitate to contact me.
Sincerely,
.J
RICKIE E. RICE State Director
Enclosures cc: Area Director, Beckley ATTN: RUS Specialist Princeton, WV 24740 Griffith and Associates 950 Little Coal River Road David Cole, Executive Director Alum Creek, WV 25003 Region I Planning and Development Council William S. Winfrey LI, Esquire 1439 East Main Street, Suite 5 P.O.Box 1159 Princeton, WV 24740 Princeton, WV 24740
Steptoe and Johnson, PLLC P.O.Box 1588 Charleston, WV 25326
3 Attachment No. 1 to Letter of Conditions For: Glen White-Trap Hill PSD Date: August 1, 2008
Proiect Construction Budaet
Initial Initial Subsequent Subsequent PROJECT COST -ARC RUSGRANT RUSLOAN RUSGRANT RUSLOAN TOTAL
CONSTRUCTION $ 746,100 $ 131,300 $ 200,000 $ 153,000 $ 1,290,000 $ 2,492,000 CONST. CONTINGENCY $ 52,400 $ 9,200 $ 8,800 $ 104,600 $ 175,000 LAND & RIGHTS $ 8,100 $ 1,400 $ 1,400 $ 16,100 $ 27,000 LEGAL FEES $ 5,400 $ 900 $ 900 $ 10,800 $ 18,000 BOND COUNSEL $ 7,500 $ 1,300 $ 1,300 $ 14,900 $ 25,000 ACCOUNTING $ 3,600 $ 600 $ 600 $ 7,200 $ 12,000 ENGINEERING FEES $ 130,500 $ 23,000 $ 21,800 $ 260,700 $ 436,000 Basic - $236000 Insp. - $180000 Special - $20,000 INTEREST $ 91,000 $ 91,000 GMAC REFINANCING $ 412,000 $ 412,000 EQUIPMENT $ 4,500 $ 800 $ 700 $ 9,000 $ 15,000 TECHNICAL SERVICES $ 12,000 $ 2,100 $ 2,000 $ 23,900 $ 40,000 PROJECT CONTG. $ 29,900 $ 5,400 $ 4,900 $ 59,800 $ 128,400
TOTAL $ 1,000,000 $ 176,000 $ 200,000 $ 195,400 $ 2,300,000 $ 3,871,400
Amlicabilitv Applicable within the entire territory served.
Availability Available for residential, commercial, non-contract industrial and non-contract resale water service.
-Rates Customers with metered water supply
Fii 3,000 gallons Q $10.00 per M gallons Ne 7,000 gallons Q $8.00 per M gallons Nc 20,000 gallons Q $6.00 per M gallons Nt 20,000 gallons Q $4.00 per M gallons 0~ 50,000 gallons Q $3.00 per M gallons
Minimum Charae Each customer shall pay a minimum charge equivalent to 2,500 gallons of water usage
518" $ 25.00 per month 314" $ 37.50 per month 1 I1 $ 62.50 per month 1 112" $ 125.00 per month 2" $ 200.00 per month 3" $ 375.00 per month 4" $ 625.00 per month 6" $ 1,250.00 per month 8" $ 2,000.00 per month
Flat-Rate Charae Customers with non-metered water supply shall pay a minimum charge of $41 .OO equivalent to 4,500 gallons of water usage per month.
Delaved Pavment Penalty The above schedule is net. On all current usage billings not paid in full when due, ten percent (10%) will be added to the net current amount unpaid. This delayed payment penalty is not interest and is to be collected once for each bill where it is appropriate.
Water Service Connection Charae The following charges are to be made whenever the utility installs a new tap to serve an applicant
A tap fee of $1 00.00 will be charged to customers applying for service before construction is completed adjacent to the customer's premises in connection with a certificate proceeding before the Commission. This pre-construction tap fee will be invalid after the completion of construction adjacent to an applicant's premisis that is associated with a certificate proceeding
A tap fee of $350.00, or the actual cost of the connection (determined by District), whichever is greater, will be charged to all customers who apply for service outside of a certificate prroceeding before the Commission for each new tap to the system.
Returned Check Charae
A service charge of $25.00 will be imposed upon any customer whose check for payment of charges is returned by the bank for any reason.
Disconnect Charae/Reconnection Charae/Administrative Fee
Water service will not be restored until all past due water bills have been paid in full and all accrued penalties plus a disconnection charge of $25.00 have been paid.
There shall be a $25.00 reconnection charge paid prior to restoration of water service which had been previously disconnected for any reason.
In the event that District staff or agents collect money at the customer's residence in order to stop disconnection, an administrative fee of $25.00 shall be paid in addition to other charges to prevent disconnection.
Incremental Costs
An amount not to exceed $5.00 per 1,000 gallons is to be used when a 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 the customer's historical usage. The District shall establish a non-discriminatory policy regarding this provision for leak adjustments.
EFT, Credit Card and Drop Box Pavments
A service charge will be imposed on EFT, Credit Card or Drop Box payments. The amount shall be equal to the actual charges to the utility from the financial institution for processing payment.
Resale Rate
$4.00 per 1,000 gallons of water
Use and Income Analvsis - See Attached
Cash Flow Analvsis - See Attached Attachment No. 1 to Letter of Conditions For: Glen W hite-Trap Hill PSD Date: August 1, 2008
GLEN WHITE-TRAP HILL PSD PROFORMA USE AND INCOME ANALYSIS ALL CUSTOMERS EXCEPT RESALE
MGall Minimum Bills FIRST NEXT NEXT Next Over TOTAL Blocking Bills Ma. Rate Revenue 3,000 7,000 20,000 20,000 50,000 REVENUE $
518" Meter 3837.5 $ 25.00 $ 72,225.00 314" Meter $ 37.50 1 " Meter $ 62.50 $ 1 112" Meter $ 125.00 $ 2" Meter 7 8.9 $ 200.00 $ 1,400.00 3" Meter $ 375.00 $ 4 Meter 7 248.9 $ 625.00 $ 4,375.00 6 Meter 2 152 $ 1,250.00 $ 2,500.00 8" Meter $ 2,000.00 $ 2.5 - 3,000 686 1932.2 1932.2 3.1 - 10,000 4,960 23777.8 9920 13857.8 10.1 - 30,000 306 4261.9 612 2448 1201.9 30.1 - 50,000 18 705 36 144 360 165 Over 50,000 28 2564.9 56 224 560 560 I164.9 4 Month Sample 8,903 37489.1 $ 80,500.oo 12556.2 16673.8 2121.9 725 1164.9
Proposed Rates $ 10.00 $ 4 Month Sample 8,903 37489.1 $ 80,500.00 $ 125,562.00 $ 133,390.40 $ 12,731.40 $ 2,900.00 $ 3,494.70 $ 358,578.50
Annual $ 241,500.00 $ 376,686.00 $ 400,171.20 $ 38,194.20 $ 8,700.00 $ 10,484.10 $ 1,075,735.50
Adjustment Factor 0.970000
Projected Annual Revenues $1,043,463 Attachment No. 1 to Letter of Conditions For: Glen W hite-Trap Hill PSD Date: August 1, 2008 GLEN WHITE-TRAP HILL PSD PROFORMA USE AND INCOME ANALYSlS RESALE CUSTOMERS
MGaV Minimum Bills FIRST NEXT NEXT Next Over TOTAL Blocking Bills Mo. Rate Revenue 3,000 7,000 20,000 20,000 50,000 REVENUE
518" Meter $ 25.00 $ 314" Meter $ 37.50 1" Meter $ 62.50 $ 1 112" Meter $ 125.00 $ 2" Meter $ 200.00 $ 3" Meter $ 375.00 $ 4" Meter $ 625.00 $ 6" Meter !§ 1,250.00 $ 8" Meter $ 2,000.00 $ Reaale/M gallons 44 88326.6 $ 4.00 $ 353,306.40
2.5 - 3,000 3.1 - 10,000 lo.? - 30,000 30.Y - 50,000 Over 50.000 44 88326.6 $ 353,306.40 0 0 0 0 0
Proposed Rates $ 12.00 $ 8.00 $ 7.00 $ 6.00 $ 4.00 44 88326.6 $ 353,306.40 $ -$ -$ -$ -$ - $ 353,306.40
Adjustment Factor 1.090909
Projected Annual Revenues $385,425 GLEN WHITE-TRAP HILL PSD CASH FLOW ANALYSIS
OPERATING INCOME Metered Sales $ 1,043,463 Sale for Resale $ 385,425 Other Revenue $ 534 TOTAL OPERATING INCOME $ 1,429,422
NON OPERATING INCOME Interest income $ 1,000 Misc. $ 5,000 TOTAL NON OPERATING INCOME $ 6,000
TOTAL INCOME $ 1,435,422
EXPENSES 0&M $ 1,012,064 Taxes $ 23,100 TOTAL EXPENSES $ 1,035,164
INCOME AVAILABLE FOR D/S (A) $ 400,258
DEBT SERVICE Existing Bond P&l USDA (2007) $ 119,568
Proposed Bond P & I (Initial) $ 11,400 Proposed Bond P & I (Subsequent) $ 111,780 TOTAL DEBT SERVICE (B) $ 242,748
DEBT SERVICE RESERVE Debt Service Reserve $ 24,107 Depreciation Reserve (2.5% metered sales) $ 35,886 VIE Reserve $ 25,000 TOTAL RESERVE $ 04,993
Capital Additions $ 24,000
SURPLUS (DEFICIT) $ 48,517
DEBT COVERAGE (NB) 164.09% 4. u. *% United States 1 Rural PI Building I Department of Development i gh Street, Room 320 USDA Agriculture Morgantown, wv 26505-7500 Phone (304) 284-4888 FAX (304) 284-4892 TTYITDD (304) 284-4836
July 8, 2002 Robert L. Milam, Chairman Glen White - Trap Hill Public Service District P.O. Box 100 Fairdale, WV 25839
Dear MI-. Milam:
This letter, with Attachments 1 through 15 and enclosures, establishes conditions which must be understood and agreed to by you before further consideration may be given to your application. The loan and grant will be administered on behalf of the Rural Utilities Service (RUS) by the State and Area staff of USDA, Rural Development. Any changes in project cost, source of funds, scope of services, or any other significant changes in the project or applicant must be reported to and approved by USDA, Rural Development, by written amendment to this letter. Any changes not approved by Rural Development shall be cause for discontinuing processing of the application.
The docket may be completed on the basis of an RUS loan in the amount of $200,000, an RUS grant in the amount of $176,000, and other funding in the amount of $1,000,000, for a total project cost of $1,376,000. The other funding is planned in the form of a grant from the Appalachian Regional Commission.
The loan will be considered approved on the date a signed copy of Form RD 1940-1, “Request for Obligation of Funds,” is mailed to you. The interest rate will be the lower of the rate in effect at the time of loan approval or the time of loan closing.
Extra copies of this letter are being provided for use by your engineer, attorney, bond counsel and accountant. The enclosures and attachments listed below are attached to the copies as noted. Enclosed are the following:
Attachment No. 1 - Project Construction Budget (All Copies) Attachment No. 2 - Water and Waste Processing Checklist for Glen White-Trap Hill PSD (All Copies) Attachment No. 3 - PUS Instruction 1780, Subparts A and B (Applicant Copy) Attachment No. 4 - kus Instruction 1780, Subpart C (Engineer Copy) Attachment No. 5 - RUS Instruction 1780, Subpart D (Attorney and Bond Counsel Copies)
USDA Rural Development is an Equal Opportunity Lender, Provider and Employer. Complaints of discrimination should be sent to: USDA, Director, Office of Civil Rights, Washington, DC 20250-9410, 2
Attachment No. 6 - RUS Supplemental General Conditions (Engineer Copy) Attachment No. 7 - RUS Bulletin 1780-26, “Guidance for the Use of EJCDC Standard Documents on Water and Waste Project with RUS Financial Assistance” Attachment No. 8 - Government Auditing Standards (Revision 1994) (Accountant COPY) Attachment No. 9 - RUS Bulletin 1780-30, ‘Water Programs Audit Guide and Compliance Supplement ” Attachment No. 10 - RUS Bulletin 1780-31, ‘Water Programs Compliance Supplement for OMB Circular A-133 Audits” Attachment No. 11 - Glen White-Trap Hill Water Users Agreement (Applicant and Attorney Copies) Attachment No. 12 - Declination Statement (Applicant and Attorney Copies) Attachment No. 13 - Labor Standards Provisions (Engineer Copy) Attachment No. 14 - Sample Credit Agreement (Applicant Copy) Attachment No. 15 - Various other RD Forms as identified on Attachment No. 2
Your documents concerning the creation of your authority are administratively acceptable; however, they will be further reviewed by our Office of the General Counsel at the time your fde is forwarded for closing instructions. Any changes required by our Office of the General Counsel will be included in the closing instructions.
The conditions referred to above are as follows:
1. Loan Repayment - The loan will be scheduled for repayment over a period of 40 years. The payments due the first 24 months will consist of interest only. Payments for the remaining 456 months will be equal amortized monthly installments. For planning purposes use a 4.75% interest rate and a monthly amortization factor of .00475, which provides for a monthly payment of $950. You have the option of participating in the PREAUTHORIZED DEBIT (PAD) payment process. It will allow for your payment to be electronically debited from your account on the day your payment is due. Your authority must establish and fund monthly a debt service reserve account, which equals 10%of your monthly payment each month until you accumulate the equivalent of one annual installment on your loan.
You are reminded that your authority may be required to refinance (graduate) the unpaid balance of its RUS loan, in whole or in part, upon the request of RUS if at any time it shall be determined the authority is able to obtain a loan for such purposes fiom responsible cooperative or private sources at reasonable rates and terms for loans for similar purposes and periods of time.
2. Security - The loan must be secured by a statutory lien on parity with the PSD’s Series R-1, R-2, and B-1 Revenue Bond Issues now held by the General Electric Credit Corporation, a pledge of the system’s revenues and other agreements ! 3
between you and RUS as set forth in the bond resolution which must be properly adopted and executed by the appropriate offcials of your organization. Additional security requirements are contained in RUS Bulletin 1780-12 and RUS Bulletin 1780- 27 which are mentioned later.
The PSD’s water revenue bond issue was sold in the 1987 asset sale. It will be necessary for the PSD’s bond counsel to contact the GMAC Commercial Mortgage Corporation, 650 Dresher Road, P.O. Box 1015, Horsham, Pennsylvania, 19044-8015, to obtain consent for additional borrowing, Evidence of GMAC’s consent must be provided to RUS prior to loan closing.
3. Users - This conditional commitment is based upon you providing evidence that you will have at least 1,909 bona fide users on the proposed system when it has been completed and is placed in operation. This evidence will consist of 48 signed user agreements and a certification from you that identifies and attests to the number of users actually connected to and using the PSD’s existing water system, which is to be partidy replaced by the new system, at the time you request authorization to advertise the proposed project for construction bids.
The enclosed Water Users Agreement (RUS Bulletin 1780-9) will be used. Each user signing an agreement must make a user contribution of $100. Each potential user who is located along planned lines and declines the offered service will be provided an opportunity to sign a “Service Declination Statement.” A guide “Service Declination Statement’’ is attached for your use. If a potential user refuses to sign either a user agreement or a declination statement, the individual making the contact for the PSD should complete the declination statement for that potential user and note thereon hisher visit with the potential user, the potential user’s refusal to sign, and the reason therefore. The declination statement should also be dated and signed by the individual making the contact.
Before RUS can agree to the project being advertised for construction bids, you must provide evidence that the total required number of bona fide users has been acquired and that all potential users have been offered the proposed service. Information and material evidencing compliance with this requirement must consist of (1) your certification (written) as to the number of users connected to and using the water service of the existing system (paying monthly bills), (2) signed user agreements, (3) signed service declination statements, (4) records evidencing user contributions having been paid, (5) a map locating each potential user’s property in the newservice area identrfyuzg it by number, (6)a list of all signed bona fide users numbered so as to be a cross-reference with the map, and (7) a list of all declination statements numbered so as to be a cross-reference with the map.
4. Bond Counsel - The services of a recognized bond counsel are required. The bond counsel will prepare the form of resolution to be used, in accordance with Subpart D of RUS Instruction 1780. You should immediately provide your bond counsel with a 4
copy of this letter of conditions, its attachments and enclosures.
5. Engineering Services - It will be necessary for you to obtain the services of an engineer. EJCDC No. 1910-1-FAy“Standard Form of Agreement between Owner and Engineer for Professional Services” (Funding Agency Edition) should be used to obtain the services of an engineer. The EJCDC document is issued under copyright and cannot be provided by RUS.
Prior to loan and grant closing, you must provide RUS with documentation that the West Virginia Public Service Commission has reviewed and approved the engineering agreement.
6. Legal Services - It will be necessary for you to obtain the services of a local attorney. For your convenience RUS Bulletin 1780-7, “Legal Services Agreement” is enclosed for your use.
7. Accounting Services - It will be necessary for you to obtain the services of a qualified accountant. The accountant must agree to develop and provide the following:
a. All necessary accounting material required by the Public Service Commission of West Virginia (Rule 42 Exhibit).
b. Prior to the advertisement of bids, your accountant must certlfy that the accounts and records as required by your bond resolution have been established and are operational.
The Accountant’s Agreement should be submitted to RUS for review. Compensation in the contract should include only those services identified above and not include payment for construction management services from the accountant unless RUS concurrence is obtained.
RUS regulations (Attachment No. 8) outline requirements for the submission of management reports and audits. Appropriate state statutes place certain audit . requirements on your PSD. The attached booklets, “Government Auditing Standards (Revised 1994)’’ (Attachment No. 8 ), and RUS Bulletins 1780-30 1780-31 (Attachment Nos. 9 and 10 ) outline audit requirements.
You are reminded that certain provisions of the Office of Management and Budget Circular A-133 are dpplicable to any public body or nonprofit association that expends $300,000 or more in federal funds in any one fiscal year. You must enter into an agreement annually with an accountant (or the State Tax Department) to perform the audit. The agreement must be in accordance with the requirements of the State Tax Commissioner of West Virginia. Compensation for preparation of the A-133 audit or your annual audit are not included in project funds and should be paid from the operational revenues generated from your system operation. 5
8. Facility Control - Prior to advertisement for construction bids, you must furnish satisfactory evidence that you have or can obtain adequate continuous and valid control over the lands and rights needed for the project. Such evidence must be in the following form:
a. A right-of-way map showing clearly the location of all lands and rights needed for the project. The map must designate public and private lands and rights and the appropriate legal ownership thereof.
b. A copy of deeds, contracts or options for any lands needed other than rights-of- way, along with a preliminary title opinion covering such lands. Form RD 1927-9, “Preliminary Title Opinion” may be used. In the case of your existing system or where the PSD already acquired real property (land or facilities), a preliminary title opinion(s) concerning all such property(s) will be provided.
c. A narrative opinion from your attorney concerning all permits, certifications and other items necessary to show that all legal requirements can be met and stating how they will be met. This narrative should also identlfy any condemnation proceedings that are anticipated and state how they will be handled.
d. A certification and legal opinion relative to title to rights-of-way and easements. Form RD 442-22, “Opinion of Counsel Relative to Rights-of- Way,” may be used. This form may contain a few exceptions such as properties that must be condemned; however, prior to the start of construction or loan closing, whichever occurs first, a new Form RD 442-22, must be provided which does not provide for any exceptions.
e. On the day of loan closing, the PSD’s attorney must furnish final title opinions on all land(s) being acquired. Form RD 1927-10, “Final Title Opinion” may be used. In the case of your existing system or where the PSD has already acquired real property(s) (land or facilities), the PSD’s attorney will provide a separate final title opinion(s) covering such property(s) on the day of loan closing.
9. Permits - Copies of all permits needed for the project must be provided for review prior to advertisemeht for construction bids. Such permits will include but are not limited to the following:
- West Virginia Department of Highways - Railroads - State Department of Health - Department of Environmental Protection 6
- Public Land Corporation
10. Public Service Commission ADprovals - You must obtain the following from the Public Service Commission of West Virginia:
a. A Certificate of Convenience and Necessity.
b. Approval of user charges that are acceptable to you and the Rural Utilities Service.
c. Approval of financing for the project’s proposed fmancing arrangements.
The “Rule 42” Exhibit to be attached to the Public Service Commission application must contain at least the information shown in Attachment No. 1. A copy of the Public Service Commission application and its “Rule 42” Exhibit must be provided for review.
11. Insurance and Bonding Requirements - Prior to preliminary loan closing, you must acquire the following insurance and bond coverage:
a. Liabilitv Insurance - Personal Liability - $500,000; Property Damage - $200,000 - $200,000. The limits of liability coverage noted herein should be considered as suggested amounts only. RUS recommends that you consider analyzing your actual needs in detail before you obtain coverage in a specific amount.
b. Workers’ Compensation - In accordance with appropriate State laws.
c. Position Fidelity Bond(s) - All positions occupied by persons entrusted with the receipt andor disbursement of funds must be bonded. As a good business practice you will probably wish to have each position bonded in an amount equal to the maximum amount of funds to be under the control of that position at any one time. The minimum coverage acceptable to RUS will be for each position to be bonded for an amount at least equal to one annual installment on your loan(s).
d. National Flood Insurance - In addition to meeting the requirements for the type of assistance requested, the following requirements must be met for 4 financial assistance for acquisition andor construction in designated special flood or mudslide prone areas:
(1) If flood insurance is available, you must purchase a flood insurance policy at the time of loan closing. i 7
(2) Applicants whose buildings, machinery or equipment are to be located in a community which has been notified as having special flood or mudslide prone areas will not receive financial assistance where flood insurance is not available.
e. Real Propertv Insurance - Prior to the acceptance of the facility from the contractor(s), you must obtain real property insurance (fire and extended coverage) on all above-ground structures, to include machinery and equipment housed therein. This does not apply to water reservoirs, standpipes, elevated tanks or noncombustible materials used in treatment plants, clearwells, filters and the like.
12. Contract Documents, Final Plans and Specifications -
a. The contract documents should consist of the following:
(1) EJCDC Document No. 1910-8-A-l-FA, 1997 Edition, “Standard Form of Agreement between Owner and Contractor on the Basis of Stipulated Price” and EJCDC Document No. 1910-8-FA, “Standard General Conditions of the Construction Contract - Funding Agency Edition” and Attachments. The EJCDC document is issued under copyright and cannot be provided by RUS.
(2) “RUS Supplemental General Conditions.”
RUS Bulletin 1780-26, “Guidance for the Use of EJCDC Standard Documents on Water and Waste Projects with RUS Financial Assistance,” is enclosed for use by your engineer in the preparation of the contract documents (Attachment No. 7).
(3) “Labor Standards Provisions” - Title 29, Subtitle A, Part 5, Section 5.5, Contract Provisions and Related Matters. One copy of this item is attached hereto (Attachment No. 13). Additional copies must be reproduced by the engineer.
b. The contract documents must provide, as a minimum, the following insurance:
(1) Liabilitv Insurance - Personal Liability - $500,000; Property Damage - $200,000 - $200,000. This coverage must include indemnification of the PSD and its bngineer. RUS Bulletin 1780-13, Attachment 9, suggests certain limits of liability for insurance coverage. Those limits should be considered as minimum requirements only. It is recommended you consider increasing the given limits of liability after analyzing your specific needs.
(2) Builder’s Risk Insurance - On all structures and mechanical and electrical 8
equipment in place or stored on the site to the full insurable value thereof.
(3) Workers’ Compensation - In accordance with applicable State laws.
c. The contract documents and final plans and specifications must be submitted to RUS for approval.
d. The project must be designed in compliance with Section 504 of the Rehabilitation Act of 1973.
13. Interim Financing - Interim financing will be used for the RUS loan if it is available at reasonable rates and terms. You must provide RUS with a copy of the tentative agreement reached in connection with interim financing. A copy of the proposed agreement should be provided for RUS review. A Sample Credit Agreement is attached €or your use in meeting this requirement (Attachment No. 13).
14. Disbursement of Funds - The RUS funds will be advanced as they are needed in the amount@)necessary to cover the RUS proportionate share of any disbursements required of your PSD, over 30 day periods. Any grant fbnds not disbursed immediately upon receipt must be deposited in an interest bearing account.
Public Bodies - Interest earned on grant funds in excess of $100 per year will be submitted to RUS at least quarterly as required in 7 CFR 3016.
The PSD must assure that all project funds are expended only for the eligible items included in the final project budget or as may be later approved by RUS.
15. Water Purchase Contract - You propose to purchase treated water from Beckley Water Company; therefore, you must enter into a Water Purchase Contract. Form RD 442-30 must be used unless you receive an exception from RUS.
4 6. At a properly called meeting, you must adopt and properly execute the following forms, and minutes showing the adoption must be provided:
Form RD 442-7 - “Operating Budget” Form RD 1940-1 - “Request for Obligation of Funds” RUS Bulletin 1780i12 - ‘Water or Waste System Grant Agreement” RUS Bulletin 1780-27 - “Loan Resolution (Public Bodies)” Form RD 400-1 - ‘%qual Opportunity Agreement” Form RD 400-4 - “Assurance Agreement” Form AD 1047 - “Certification Regarding Debarment - Prmmy” Form AD 1049 - “Certification Regarding Drug-Free Workplace” Form RD 19 10- 11 - “Applicant Certification, Federal Collection Policies” i 9
FmHA Instruction 1940-4, Exhibit A-1, “Certification for Contracts, Grants and Loans” Standard Form LLL - “Disclosure of Lobbying Activities” (If Applicable) Certification of Compliance Form F2D 1942-46, “Letter of Intent to Meet Conditions”
17. The enclosed Water and Waste Processing Checklist (Attachment No. 2) outlines the items needed to complete the loan and grant docket. AU the items listed must be included in the loan and grant docket when it is forwarded to the USDA - Rural Development State Office with a request for loan closing instructions to be issued.
18. Upon receipt of the loan and grant docket, which contains all the items required above, RUS may authorize you to advertise the project for construction bids. Such advertisement must be in accordance with appropriate State statutes. Immediately after bid opening you must provide RUS with (a) a bid tabulation, (b) recommendations from you and your engineer as to the acceptability of the bids received, and (c) your recommendations for contract awards. If all parties then agree the construction bids received are acceptable, it is determined that adequate funds are available to cover the total facility costs, and that all the administrative conditions of loan approval have been satisfied, loan closing instructions will be issued. The closing instructions, a copy of which will be forwarded to you, will set forth any further requirements that must be met before the loan cdn be closed.
When all parties agree that the closing requirements can be met, a mutually acceptable date for the loan closing will be scheduled.
Any applicant contribution shall be considered as the first funds expended. After providing for all authorized costs, any remaining RUS project funds will be considered to be RUS grant funds and refunded to RUS. If the amount of unused RUS project funds exceeds the RUS grant, that part would be RUS loan funds.
If the conditions set forth in this letter are not met within six (6) months fi-om the date .hereof, RUS reserves the right to discontinue processing of the application. In the event the project has not advanced to the point of loan closing within the six-month period and it is determined the authority still wishes to proceed, it will be necessary that the proposed budget be reviewed again in detail. If during that review, it is determined the budget is no longer current and/or adequate, RUS reserves the right to require that it be revised or replaced. / 10
We believe the information herein clearly sets forth the actions which must be taken; however, if you have any questions, please do not hesitate to contact me.
Sincerely yours,
&” JENNY N. PHILLIPS State Director
Enclosures
cc: Rural Development Specialist Robert D. Hazelwood Beckley, WV Pentree, Inc. Princeton, WV William S. Widkey, I1 Attorney at Law Princeton, WV
I Attachment No. 1 to Letter of Conditions For: Glen White-Trap Hill PSD, Phase II Date: July 8, 2002
Project Construction Budget
PROJECT COST ARC GRANT RUS GRANT BUS LOAN TOTAL
CONSTRUCTION $ 1,000,000 $ 26,000 24,400 $ ' 1,050,400 CONST. CONTINGENCY $ 43,300 40,700 $ 84,000 LAND & RIGHTS $ 5,200 4,800 $ 10,000 LEGAL FEES $ 5,400 5,100 $ 10,500 BOND COUNSEL $ 5,200 4,800 $ 10,000 ACCOUNTING $ 1,800 1,700 $ 3,500 ENGINEERING FEES $ 75,900 71,100 $ 147,000 Basic - 73,500 Insp. - 63,000 Special - 10,500 INTEREST 35,000 $ 35,000 EQUIPMENT 2,600 2,400 $ 5,000 PROJECT CONTG. 10,600 10,000 $ 20,600
TOTAL $ 1,000,000 $ 176,000 $ 200,000 $ 1,376,000
Rate Schedule 1
Available for general domestic, commercial and industrial service.
First 2000 gals. @ $7.56 per M gals. Next 48,000 gals. @ $ 5.66 per M gals. Over 50,000 gals. @ $4.04 per M gals.
Rate Schedule 2
Retail Service - $2.81 per 1,000gallons
Minimum Charae
No bill shall be rendered for less than the following amounts according to the size of meter installed.
5/8" x 3/4" meter $15.12 per month 3(4" meter $22.68 per month ' 1'I meter $37.80 per month 1 1/2" meter $75.60 per month 2"meter $120.96 per month 3" meter $226.80 per month 4" meter $378.00 per month 6" meter $756.00 per month
Minimum Monthly Bill - $ 15.12 for 2,000 gallons. , I
Delaved Pavment Penaltv
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 net amount shown.
If any bill is not paid within sixty (60) days after date, water service to the customer will be discontinued. Water service will not be restored until all past due water bills have been paid in full and all accrued penalties plus a reconnection charge have been paid.
Connection Charae
$20.00
Leak Adiustment Rate
$1.84 per 1,000 gallons. To be used when the bill reflects unusual consumption which can be attributed to eligible leakage on the customers side of the meter. This rate is to be applied to the excess consumption above the customer's historical average usage.
Use and Income Analvsis - See Attached Cash Flow Analvsis - See Attached GLEN WHITETRAP HILL PSD USE AND INCOME ANALYSIS EXISTING SYSTEM INCLUDING PHASE I
Gall Minimum First Next Over TOTAL
3. Blocking Gust. Mo. Bills 2,000 48,000 50,000 REVENUE
0 - 2000 598 598.5 598 2001-50,000 1253 6,620.25 2506 41 14.25 > 50,008 10 J625.25 20 480 1125.25
Monthly Total ' 1861 8844 598 2526 4594.25 1125.25
Proposed Rates $ 15.12 $ 7.56 $ 5.66 $ 4.04
Monthly Revenues $ 9,041.76 $ 19,096.56 $ 26,003.46 $ 4,546.01 $ 58,687.79
Annual Revenues $ 108,501.12 $ 229,158.72 $ 312,041.46 $54,552.12 $ 704,253.42 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT USE AND INCOME ANALYSlS "IDENTIFIED EXTENSION AREAS" FOR PHASE II
Gal/ Minimum FIRST NEXT OVER TOTAL Blocking Cust. Mo. Bills 2,000 48,000 50,000 REVENUE
0 - 2000 38 76 38 2001 -50000 10 53 20 33 > 50000 Monthly Total 48 --129 38 20 33 0
Proposed Rates $ 15.12 $ 7.56 $ 5.66 $ 4.04
Monthly Revenues $ 574.56 $ 151.20 $ 186.78 $ 912.54
Annual Revenues $ 6,894.72 $ 1,814.40 $ 2,241.36 $ 10,950.48 GLEN WHITETRAP HILL PUBLIC SERVICE DISTRICT USE AND INCOME ANALYSIS RETAIL SERVICES
Gal/ Minimum TOTAL Blocking cust. Mo. Bills REVENUE
TOWN of LESTER 1 2057.08 2057.08
RALEIGH COUNTY PSD(ARNETT) 1 6787.16 6787.1 6 Monthly Total 2 8844.24 8844.24
Proposed Rates $ 2.81
Monthly Revenues $ 24,852.31 $ 24,852.31
Annual Revenues $ 298,227.77 $ 298,227.77
7 GLEN WHITE-TRAP HILL PSD OPERATING BUDGET
OPERATING INCOME Metered Sales $ 1,013,432 Penalties $ 13,628 Other Income Tap Fees $ 8,000 TOTAL OPERATING INCOME $ 1,035,060
NON OPERATING INCOME Interest income $ 8,680 TOTAL NON OPERATING INCOME $ 8,680
TOTAL INCOME $ 1,043,740
EXPENSES O&M $ 745,252 Plant Additions (1) $ 20,583 Taxes $ 21,247 TOTAL EXPENSES $ 787,082
INCOME AVAILABLE FOR D/S (A) $ 256,658
DEBT SERVICE Existing Bond P & I (B) $ 202,404 Proposed Bond P & I (6)(2) $ 11,400 Existing Long Term(Equipment)(B) $ 7,709 TOTAL DEBT SERVICE $ 221,513
DEBT SERVICE RESERVE Debt Service Reserve* (3) $ 21,381
TOTAL DEBT SERVICE RESERVE $ 21,381
SURPLUS (DEFICIT) $ 13,764
DEBT COVERAGE (AIB) $ 1.16
(1) Based on historical data as provibed by Consulting Eng. (2) Based on a RUS loan of $200,000 Q 4.75% for 38 Years; a RUS grant of $176,000; an ARC grant of $1,000,000: TOTAL PROJECT COST OF $1,376,000. (3) Based on existing reserve (20,241) plus proposed reserve(ll40) 1
Attachment No. 2 to Letter of Conditions For: GLEN WHITE-TRAP HILL, PSD Date: July 8, 2002
UNITED STATES DEPARTMENT OF AGRICULTURE RURAL UTILITIES SERVICE Water and Waste Precessing Checklist
Form Document Number Procedure Provided Tarbet Date File Number or Action Needed Reference By -Date Received Position
SF 424.2 Application for Federal Assistance 3 1780.31(b) Applicant HAVE 3
Public Notice of Intent to File App./ 1780.19(a) Env. Notice 3 1794 Applicant HAVE 3 Bulletin Applicant 1780-22 Eligibility Certif icationl Other Credit Certification 1 1780.33(d) Applicant HAVE 3
Bond Ordn. or Resol. On Outstanding Applicant/ Debts 1 1780.33(e) Attorney HAVE 5
Bonds or Notes Outstanding Applicant/ Debt 1 1780.33(e) Attorney HAVE 5
Audit for last year of Applicant/ operation 1 1780.33(e) Accountant HAVE 1
Staff Review Financial Statements 1 S.I. 1780.2 RUS 1
EJCDC No. Agreement 1910-1-FA between Owner Applicant/ & Engineer 3 1780.39(b) Engineer HAVE 6
Bulletin Legal Services 1780-7 or Agreement other with Local 1780.39 Applicant/ approved Attorney 3 (b)(2) Attorney HAVE 5 2 Form Document Number Procedure Provided Target Date File Number or Action Needed Reference SU -Date Received Position
Site Visit S.I. 1780-2 RUS 3
Processing Conference 1 1780.39(a) RUS 3
Environmental Report 2 1794 Applicant ' HAVE 3
Environmental RUS/ Assessment 2 1794 Engineer HAVE 3
FONSV Exhibit 1 Evidence of RUS1794 RUS/ Publication 1 News Ad Applicant HAVE 3
Bulletins Preliminary 1780-2 Engineering 1780-3 Report 2 1780.33(c) Engineer HAVE 6
Staff Engineer PER Review 1 1780.33(c) RUS HAVE 3
Bill Analysis for existing Applicant/ system (s) 2 1780.33(c) Engineer HAVE 8
Projected Bill Analysis for Applicant/ New Users 2 1780.33(c) Engineer HAVE 8
Statement reporting the -total number of potential Applicant/ users 1780.33(c) Engineer HAVE 8
Copy of Existing Rate Tariff 2 1780.33 Applicant HAVE 8
Applicant's IRS Tax Number(TIN) 1 1780.33(g) Applicant HAVE 3
Agency Det- ermination on the Availability of "Other Credit" with Docu- mentation 1 1780.7(d) RUS HAVE 3
Documentation on Service Area 1 1780.11 RUS HAVE 3 3 Form Document Number Procedure Provided Taraet Date File Number or Action Needed Reference Bu -DGe Received Position Bulletin Project 1780-1 Selection Criteria 2 1780.17 RUS HAVE 1
Automated Grant Deter- Form mination 3 1780.35(b) RUS HAVE 2
Letter of 1780.41 Conditions 7 (a)@) RUS HAVE 3
AD 1049 Certification Regarding Drug-Free HAVE Workplace 1 1780.33(h) Applicant 5
Minutes Adopting Drug-Free Workplace Program 1 LOC Applicant 5
Exhibit Certifications A I A-1 Regarding Lobbying 2 1780.33(h) Applicant HAVE 2
RD Project 1942-45 Summary 3 1780.41(a) RUS HAVE 1
RD Operating 442-7 Budget 3 1780.33(h) Applicant HAVE 3
RD Project Fund 1942-1 4 Analysis 3 1780.41(a) RUS HAVE 2
RD Request for 1940-1 Obligation of RUS/ Funds 4 1780.41 (a) Applicant HAVE 2
Bu Ilet in Association 1780-12 Water or Sewer System Grant RUS/ Agreement 2 1780.4qc) Applicant HAVE 2 RD Letter of Intent 1942-46 to Meet 1780.41 Conditions 2 (a)(6) Applicant HAVE 3
AD 1047 Certification Regarding Debarment HAVE (Primary) 1 1780.33(h) Applicant 5 F 4 Form Document Number Procedure Provided Target Date File Number or ACtion Needed Reference & -Date Received Position Relationships/ Associations with Agency Employees 1 1780.1 (f) RUS HAVE 3
RD Applicant I 1910-1 1 Certification, Federal Collect- ion Policies 1 1780.33(h) Applicant HAVE 3
Bulletin Loan 1780.45 1780-27 Resolution 1 (a)(2) Applicant HAVE 5
RD Equal 400-1 Opportunity Agreement 1 1901-E Applicant HAVE 6
RD Assurance 480-4 Agreement 1 1901-E Applicant HAVE 3
Legal Services Agreement with Bond 1780.39 Applicant/ Counsel 1 (b)(3) Bond Counsel 5
Agreement for Accounting 1780.39 Applicant/ Services 1 (b)(2) Accountant 5
Water Users Agreement 1780.39 (Copy) 1 (c)(3) Applicant 5
Evidence of Users:
1. Map of Users with each identified by Separate number 1 LOC Applicant File
2. List of Signed Users Numbered to Map 1 LOC Applicant 5
3. List of Declination Statements Num be red to Map 1 LOC Applicant 5 5 Form Document Number Procedure Provided Target Date File Number or Action Needed Reference & Q& Received Position 4. Evidence of Tap Fees Being Paid 1 LOC Applicant 5
5. Having Users Agreements and Declination t Statements Available LOC Applicant
6. Certification Relative to Existing Users 1 LOC Applicant 5
Verification of Users 1 1780.44(b) RUS 3
RD Water Applicant/ 442-30 Purchase 1780.62/ Attorney/ Contract 1 1780.63 RUS N/A 5
Accoutnant's Applicant/ Certification 1 LOC Accountant 3
RUS Review of Accounting S.I. 1780-4 Records 1 (l)(ii) RUS 3
copy of PSC Rule 42 Attorney/ Exhibit 1 State Accountant 3
Lender Interim Agreement/ Financing Bulletin Documenta- 1780-1O/ tion Applicant/
1780-1Oa ~ 1 1
DOH Permit 1 1780.15(d) Applicant 6
Railroad Permit 1 1780.1 5(d) Applicant 6
Public Land Corp.pqrmit1 1780.15 d) Applicant 6
corps of Engineers Permit 1 1780.1 5(d) Applicant 6
Bept. of Health Approval 1 1780.15(d) Engineer 6 6 Form nocument Number Procedure Provided Target Date File Number or Action Needed Reference Bu -Date Received Position Dept. of Environmental Protection Permit 1 1780.1 5(d) Engineer 6
Contract Docu- ments, Plans & Specifi- Separate cations 2 1780.61 (a) Engineer File
Agency Deter- mination on Procurement 1 1780.70(d) RUS 6
Preliminary Bond Transcript Documents w/o Defeasance Bond Provisions 2 1780.83 Counsel 5
Right-of-way Separate Map 1 1780.44(g) Engineer File
Deeds and/or Applicant/ Options 1780.44.(g) Attorney 5
RD Preliminary 1780.44 Applicant/ 1927-9 Title Opinion 1 (g)(2) Attorney 5
Narrative Opinion from Attorney 1 1780.44(g) Attorney 5
Waiver of Title Defects Letter 1 1780.44(9) RUS 5
RD Opinion of 442-22 Counsel Relative to 1780.44 RMlays (g)(l) Attorney 5
Review of I Outstanding RUS/ Judgment 1 1780.7(g) Attorney 3
Evidence of "Other Funds" 1 1780.44(f) Applicant 2 9- Form Document Number. Procedure Provided Target Bate File Number or Action Needed Reference Et -Date Received Position SF 3881 Electronic Funds Transfer Payment Applicantl Enrollment Financial Form 1 31 CFR 208 Institution 2
Positive Pro- gram to En- courage Con- nections when 1780.39 Completed 1 (c)(5) Applicant 5
PSC Applicant/ Approval 1 1780.15(b) Attorney 5
Bid Tabulation 1 1780.61 (b) Engineer 6
OGC Closing Instructions 1 1780.44(h) RUS 5
SI0 Closing Instructions 1 1780.44(h) RUS 5
RD Final Title 1780.44 Applicant/ 1927-10 Opinion 1 (g)(2) Attorney 5
Bond Tran- script Docu- ments wlo Defeasance Bond Separate Provisions 3 1780.83 Counsel File
RD Compliance 400-8 Review 1 1780.44(C) RUS 5
Liability lnsurance 1 1780.39(9) Applicant 7
Workers' Compensation Certificate 1 1780.39(g) Applicant 7 * Flood Insur- ance Policy 1 1780.39(g) Applicant 7
440-24 Fidelity Bond 1 1780.39(g) Applicant 7
1924-16 Record of Pre- Construction RUSI Conference 1 1780.76(a) Engineer 6. 8 8Form Date File Number or Action Needed Reference By -Date Received Position AD 1048 Cettif ication Regarding All Debarment Appropriate (Contractor) 1 each 1780.33(h) Vendors 5
OGC Final Opinion 1 1780.45(9) RUS 5 West Virginia Development Office
May 13,2003
Lee Milam, Chairman Glen White/Trap Hill Public Service District Post Office Box I00 Fairdale, West Virginia 25839
Dear Mr. Milam:
% Congratulations on the approval of an Appalachian Regional Commission (ARC) grant of $1,000,000 for the Glen White/Trap Hill Public Service District (PSD) Water Upgrade & Extensions project submitted by the PSD. A copy of the approval letter and . official ARC project description are enclosed. Please note that the U. S. Department of AgricuIturelRural Utilities Service (USDAIRUS) is responsible for the management of the grant. You must wait for their approval prior to initiating this project. Please keep this information with your project files.
Should there be a need for any changes in the scope of the project or project funding, a request should be made to the West Virginia Development Office.
Please be aware that ARC funds are considered to be the last source of funding committed to a project. Should there be a cost underrun, the funds not used are considered ARC funds and would be returned to the Commission.
If you should have any questions, please feel free to contact me at 304-558-2001.
Sincerely,
Tom Saunders ARC Representative
TJS:th Enclosures cc: Job Hazlewood I Rose Mary Christian, USDAIRD Region I PDC
1900 Kanawho Boulevard, East, Charleston, WV 25305-031 1 0 (3041.558-2234 . www wvdo org Notice to Obligate
To: Hilda G. Legg, Administrator ce: Mary Vance Rural Utilities Service Financial Accounting Branch - St. Louis U.S. Department of Agricuiture Rural Development South Building, Room 5014 FC-361 14th & Indepeadence Avenue: SW POI3 20001 1 Washington, DC 20250 St. Louis, MO 63120-0011 Am: Robin Pulkkinen STOP Code 2570
Pursuant to the Appalachian Regional Development Act of 1965, as amended, the Appalachian Regional Commission has approved the referenced project under appropriation 46x0200. Rural Development has agreed to obligate and administer the grant under the Memorandum of Agreement between ARC and USDA.
ARC Project Number: WV-14461-03-1-214 $s~jectTitle: Glen White/Trap Hill PSD Water Upgrade and Extensions
Grantee: Glen White/Trap Hill Public Service District (Raleigh County, WV) '
Approved Fundling:. ARC Section 214 $1,000,000 20.00% Grmt 1, 676,000 33.00% Lorn 2,449,000 48.00% Other Federal 0.00% State - 0.00%
Authokbed USDA Administrative Charge: na
Approved:
APW 2 9 2003 heB. Pope Date Zederal Co-Chair I
To: Anne B. Pope Federal Co-Chair
S ubje@: Glen White/Trap Hill PSD Water Upgrade and Extensions \W-14461-03-1-214
Grantee: Glen %te/Trap Hill Public Service District (West Virginia)
CQUIlty: Raleigh (distressed) Basic Agency: USDA Rural Development
Goal: . ARC Goal 2: Appalachiaz communities will have the physical infrastructure necessary for self-sustaining economic development and improved quality of life.
Purpose: To extend water service to new customers and upgrade existing service by constructing storage tanks and line extensions.
Fudhg: ARC (DC) $1,000,000 19% Federal 1,676,000 33% (RD Grant) Local +2,449,000 48% (RD Loan) Total $5,125,000 100%
Description: The Glen White-Trap Hill Public Service District (PSD) has requested ARC assistance for a project that will upgrade water service for existing customers, andprovide new service for residents in nearby communities. The PSD's system has hydraulic limitations that affect water pressure and the reliability of service for 3,287 existing customers. To remedy these problems, three new water storage tanks (two 500,000-gallon and one 100,000-gallon) would be built, and 17 . miles ofwater line would be added or replaced. These upgrades will also allow expanded service to 88 customers in the Cove Creek, Webb Fork and Lily Mountain areas, where many residents use cisterns or wells that generally yield water with hgh mineral content. In addition, 1,735 water meters will be replaced and 17 fire hydrants will be installed.
Rationale: a The original Glen mtewater system was built in 1974 to serve 1,500 customers but now serves more than twice that number. Upgrades are needed to provide reliable supplies ofpotable water. = Residents in nearby areas use cisterns or wells that provide poor water quality or quantitf7. 91 Additional capacity is needed to facilitate service to future development, including single family housing in this area near Beckley.
Benefits: = Three new water tanks, telemetry improvements, and line replacements will stabilize water pressure for customers and help meet state recommendations for minimum storage and fire flow. Residential customers will gain access to public water, limiting problems posed by wells and cisterns. Fire hydrants will also provide fire protection for new customers, helping to reduce insurance rates.
1668 CONRECTICUT AYIIUI. RIW, 5QITP 700 WASHIRGTOM, DC 20089-1088 (202) 884-7799 FAX (2632) 884-7591 Alabama Kentucky Missusipp~ North Carolina Pennsylvania Tennessee West Yirginia Georgia Maryland New York Ohio ,Snuth Pnrnlinn K-m'n;" Glen White-Trap HaPSD Water Urs&ade rend Extensions WV-14461-03-1-214 Page 2
Performance Measurement: outputs: 17.4 miles (91,970 LF) water line 3 water storage tanks totaling 1.1 million gallons Improved service for 3,287 existing customers Outcomes: 88 new household customers served
This project is consistent with the ARC Act and Code and is recommended for funding.
Executive Director
Environmental Report
for the Glen White-Trap for the Water System Upgrade and Extensions
Raleigh County, West Virginia
September, 2001
Prepared By: Pentree, Incorporated P.Q. Box I309 Princeton, WV 24740 Executive Summary
1.0 Purpose and Need for Project 1.1 Project Description 1.2 Purpose and Need of Project
2.0 Alternatives to the Proposed Action
3.0 Environmental Consequences 3.1 Land Use / Important Farmland / Formally Classified Lands 3.1.1 Affected Environment 3.1.2 Environmental Consequences 3.1.3 Mitigation 3.2 Floodplains 3.3 Wetlands 3.4 Cultural Resources 3.5 Biological Resources 3.6 Water Quality Issues 3.7 Coastal Resources 3.8 Socio-Economic / Environmental Justice Issues 3.9 Miscellaneous Issues 3.9.1 Air Quality 3.9.2 Transportation 3.9.3 Noise
4.0 Summary of Mitigation
5.0 Correspondence Historical and Archaeological Resources - West Virginia Department of History and Cultural
0 R/T/E Species and Wetlands - US Fish and Wildlife - WV Department of Natural Resources (R/T/E Species and Wetlands) - US Army Corps of Engineers
e Floodplains - US Army Corps of Engineers
e Soil Survey - USDA Natural Resources Conservation Service
* Exhibit 1 - Project Area Maps 0 Exhibit 2 - FEMA Flood Rate Insurance Maps * Exhibit 3 - Project Photos 1.0 Purpose and Need for Project
1.1 Proiect Description
The proposed project consists of (1) upgrading the District’s existing water distribution system and water storage system, and (2) constructing water system extensions to the Clay Branch, Lilly Mountain, Cove Creek, Webb Fork areas of Raleigh County and (3) providing water service to the Lake Stephens Park.
~ It is recommended the Glen White-Trap Hill P.S.D. (1) construct approximately 21,160 feet of 12” water lines, (2) 43,180 feet of 6” water lines, (3) 33,910 feet of 4” water lines, (4) 10,220 feet of 2” water lines, (5) I735 water meters (replacement), (6) 99 water meters, (7) 22 fire hydrants, (8) pressure reducing stations, (9) Lake Stephens Booster Station, 50 gpm, (10) Lilly Mountain Water Tank, 100,000 gallon, (1 1) two Fairdale main tanks, 500,000 gallon each.
1.2 Purpose and Need of Proiect
The purpose of the proposed project is to improve the quality of life in rural America by providing residents with adequate quantities of potable water and to provide a greater availability of potable water so that the area can (a) retain its current population and (b) have the potential to grow in population. Without this project the area will be vulnerable to declining population due to inadequate supplies of potable water and potential health hazards resulting from inadequate individual water systems.
2.0 Alternatives to the Proposed. Action
2.1 Alternatives to the Proposed Action
Alternatives to the proposed project include (1) minor adjustments to the location of the proposed water facilities, or (2) no action.
The minor adjustments to the location of the proposed water facilities will be made during the design and review process by the state regulatory agencies and the funding agencies involved.
The no action alternative will prevent the proposed project area from having a dependable supply of potable water which may result in a decline of population and will greatly hinder potential future population growth.
-1- 3.0 Environmental Consequences
3.1 Land Use / Imnortant Farmland / Formallv Classified Lands
Current land uses within the proposed project boundaries include residential, commercial, mining, logging and woodland areas. According to USDA Natural Resources Conservation Service, the project contains soils conducive to prime farmland where the area has not yet been urbanized. USDA NRCS indicated that the prime farm land units in most of the project area have already been converted to urban use. (See Section 5.0-Correspodence).
Based on USDA NRCS's review, the P 3-1006 Farmland Conversion Impact Rating
'7 -_," 9 nnt of a gnqc;l-lc sf260 points, wu~nindicates the prllllV .'--land in most of the project area has already been converted to urban use and does not warrant any furtner assessment (See Section 5.0 -Correspondence).
3.1.1 Affected Environment
Affects to the environment within the proposed project area should be minimal due to the fact that the waterline installations generally follows existing roadways and will be within the roadway right-of-ways. The proposed project will bring continued water service to (1) the District's existing 1,735 customers, (2) the Town of Lester serving 302 customers, (3) Raleigh County P.S.D. serving 1,250 customers in the Arnett area, (4) the 99 customers proposed to be served by the water extensions, (5) the Lake Stephens Park facilities present and hture, and (6) provide finished water for future expansion and future growth in the District's water system boundary.
3.1.2 Environmental Conseauences
No long lasting environmental consequences are anticipated due to the construction of the proposed project. Short term environmental consequences will be controlled through the use of various sediment and erosion control best management practices.
3.1.3 Mitigation
No mitigation is anticipated to be required. Areas where wetlands possibly exist are proposed to be traversed on existing roadway right-of-ways. Thus no harmful affects will occur to the wetlands. Water lines crossing streams could encounter minimal wetlands, but the water line construction would neither fill or dredge the ground and would be on a temporary disturbance, The stream work is covered under the Corp of Engineer Nationwide 12 Permit. This permit will need to be acquired prior to construction.
-2- 32 Floodelains
There are 100 year flood plain boundaries delineated on the FEMA flood rate maps in the project area along Marsh Fork and some of its tributaries. Water lines are proposed to be installed within these flood plain boundaries. The water booster station building proposed on the project is to be constructed out of and above the 100 year year flood plain boundaries, Permits for stream crossings and other stream activities will be required from the Army Corps of Engineers, West Virginia Division of Environmental Protection, and Public Land Corporation prior to construction. The District does not operate a water treatment plant. Water is purchased from Beckley Water Company.
Floodplain maps were obtained from the Corps of Engineers. See Exhibit 2 for FEMA Flood Rate Insurance Maps.
3.3 Wetlands
In USDA Natural Resources Conservation Service’s letter dated December 22, 2000 it was noted that possible wetland areas may be adjacent to the project site in the areas delineated as hyfriv soil unit At. The areas noted by USDA including Dingess Branch, Claypool Hollow, and Spanker Branch are not in actual project area.
The Corp of Engineers review did not identify any wetlands. Therefore, the project is not anticipated to affect this wetland. (See Section 5 .O-Correspondence).
There was no indication from US Fish and Wildlife and WV Department of Natural Resources that the project would have any affect on wetland areas (See Section 5.0- Correspondence).
The WV Department of Natural Resources in their letter dated November 22, 2000 indicated that they had no record of any wetlands that will be impacted by this project. this wetland. (See Section 5.0- Correspondence).
3.4 Cultural Resources
After a Phase I Archaeological Survey was completed and reviewed, the West Virginia Division of Culture and History, by letter dated June 28, 2001 determined that no known historical, architectural, or archaeological sites listed on or eligible for inclusion in the National Register of Historical Places will be affected by this project. Therefore no fkrther consultation with the Division of Culture and History is required. (See Section 5.0- Correspondence)
-3 - 3.5 BioloPical Resources
During the initial review by the United States Department of the Interior, Fish and Wildlife Service and WV Department oSNatura! Fksources, it was indicated that the proposed project area possibly could affect the Federally listed endangered plant species Virvinia Spirea. On August 29, 2001, we field reviewed the project with Ms. Barbara Sargent of the WV Department of Natural Resources and Mr. Shane Jones ~ftheUnited States Department of the Interior, Fish and Wildlife Service. During this review, the Virginia Spirea was located only on the north side of Rt. 3 just before the intersection with Rt. 99 near the Post Office and on the east side of Rt. 3 just immediately after the intersection with Rt. 99. It was determined in the field that the water line construction would be located on the opposite side of the roadway in these two areas and would not impact the Federally listed endangered plant species Virginia Spirea. This information was provided to the Army Corps of Engineers who by letter dated September 14,2001 has issued the project a Nationwide #12 permit for all the stream crossings on the project. (See Section 5.0 -Correspondence)
3.6 Water Oualitv Issues
The Glen White-TrapHill Public Service District purchases potable water from Beckley Water Company. The scope of this project is such that it is not anticipated to affect the water quality in the project area.
3.7 Coastal Resources
The proposed project does not lie within a coastal region and thus the area has no coastal resources.
3.8 Socio-Economic / Environmental Justice Issues
The proposed project will benefit the area by ensuring that adequate amounts of potable water will be available. This will assist the area in retaining or increasing current property values. It is proposed that the average water rate for service to existing customers will be approximately $27.35 per month for 4,500 gallons on this project. The rate will be the same for any new customers as well. It is anticipated that an additional part-time field employee and a part time bookkeeper may be required as a result of the project. No other new permanent employment opportunities are anticipated as a result of the proposed project. The proposed project is not located within a minority or low-income community.
3.9 Miscellaneous Issues
There are no air quality monitoring stations in the vicinity of the Glen White-
-4- Trap Hill Public Service District. There are no major sources which produce air pollution in the District. The completed project will produce no long term air quality emissions thus no long term air quality control measures will be required for the proposed project. During the painting of the existing water tanks, however, measures will be taken to fully contain all air- borne materials that are associated with the removal of the existing coatings containing lead from the tanks and to contain all over-spray from the application of the new coatings.
3.9.2 Transportation
Transportation patterns will be affected during the construction process. These affects will be minimal and will be regulated by the West Virginia Department of Transportation Division of Highways.
3.9.3 Noise
I\ vlditional noise will be produced by the proposed project improvements, A1I Jristruction tC1-.:Fmentwill be required to employ mufflers andor mund >uppressingdevices as per ,'?HA Standards.
-5- 4.0 Summary of Mitigation
4.1 Summary of Mitigation
The proposed water distribution lines associated with this project generally follow existing roadways and thus will not cause significant negative impacts to any of the areas’ resources, Therefore mitigation should not be necessary.
Permits will be required prior to construction for water line installations across streams from the following regulatory agencies:
a. US Army Corps of Engineers - Nationwide Permit. ( This permit has already been acquired .)
b. West Virginia Division of Environmental Protection-Water Qualit., ’- .,l L: -6- West Virginia Department of History and Cultural CULTURE AND HISTORY June 28,2001 . Mr. Steve Skathakis , , ~ .-; ’ Big Blue gijchaeological P.O. Box 1:157 .? Morgantotyri, West ‘Virginia26507 ~:\; i 1 ‘;;i’\()\ RE: . Glen White-Tiap Hill PSD Water System Upgrade, .. qnd,Extensions .. .*-..I--. .., ._ ._r.:_...... ” , ~.” FR#: 01 -j%&RG-2 i. Dear Mr. Stathakis: We have reviewed the above mentioned project to determine its effects to cultural resources. As required by Seclion 106 of the National Historic Preservation Act, as amended, and its implementing regulations, 36 CFR 800: “Protection of Histoic Properties,” we submit our comments. Archaeological Resources: The reportsatisfactOrily addresses our concerns regarding the presence of cultural resources within the project area. Systematidtesting of the pioject area located no previously unrecorded historic or prehistoric sites, therefore, no further afchaeological investigations are recommended. We have also determined that no known archaeological sites listed on or eligible for inclusion in the National Register will be affected by this project. No Mer consultation is necessary. We appreciate the opportunity to be of service. rfroii have questions regarding our comments or the Section I06 process, call Rachel Black, Stu3Archaeologist at (304) 558-0220. Sincerely, &ivua.w Joanna Wilson Senior.Archaeologist reb THE CULWRAL CENTER 0 1900 KANAWHA BOULEVARD, EAST * CHARLESTON, WEST VIRGINIA 25305-0300 TELEPHONE 304-558-0220 a FAX 304-558-2779 TDD 304.558-3562 FFn/A A FMPT nYFR Big Blue hrrchaeollogicd Research, Inc. P.O. Box 1187 Morgantown, WV 26507 PHASE P CULTURAL RESOURCES SURVEY FOR THE GLEN WHITE-TRAP HILL PSD WATER SYSTEM UPGRADE AND EXTENSION PROJECT IN RALEIGH COUNTY, WEST VIRGINIA Pxepared For: Glen White-Trap Hill PSD POB 100 Fairdale, WV 25839 304.934.6234 June 2001 PHASE I CULTURAL RESOURCE3 SURVEY FOR THE GLEN WHITE-TRAP HILL PSD WATER SYSTEM UPGRADE AND EXTENSION PROJECT IN RALEIGH COUNTY,WEST VIRGINIA Author: Steven A, Stathakis Big Blue Archaeological Research, Inc. P.Q. Box 1187 Morgantown, WV 26507 304.292.7501 Completed on Behalf of: Glen White-Trap Hill PSD POB 100. Fairdale, WV 25839 304.934.6234 June 2001 1. INTRODUCTION This Phase I cultural resources survey was conducted by Big Blue Archaeological Research, Incorporated on behalf of Glen white-Trap Hill PSD. The work for this project was completed following federal and state guidelines designed to protect significant cultural resources, including historic and prehistoric archaeological sites. Federal mandates for cultural resources protection include: the Federal Highway Act of 1966, as amended in 1968; the National Environmental Policy Act of 1%9; the National Historic Preservation Act of 1966; Executive Order 11593; and the Archaeological and Historic Preservation Act of 1966. All work was performed in accordance with guidelines required to identify properties eligible for the National Register of Historic Places as described in Section 106 of the National Historic Preservation Act of 1966 as amended in 1980 and 1992, sections 2(a) and 2(b) of Executive Order 11593, and 36 CFR Part 800 as revised in 1999. SuEvey methods conform with Guidelines for Phase I Surveys, Phase II Testing, Phase III Mitigation and Cultural Resource Reports (October 1991). Report content and format conform to requirements for Abbreviated Technical Reports per West Virginia Division of Culture and History policy outlined in a statement issued February 18, 1999. This survey was designed to determine if any significant cultural resources might be impacted by the installation of water lines and activities associated with the construction of a water storage tank. The parcels proposed for the water line and storage tank, hereafter referred to as the project area, are located in southern West Virginia, west of the village of Eccles and the town of BeckIey, in Raleigh County (Figure 1). The 2.9 acres (1.1 hectares) project area consists of four discrete sections of proposed pipeline right-of-way (ROW) and a parcel proposed as the water storage tank location. The four sections of water line ROW included in the project area total about 3,562 feet (1,086 meters) long, with a ROW 30 feet (nine meters) wide. The water storage tank location measures about 150 by 150 feet (45 by 45 meters). The project area is situated on a relatively level terrace overlooking an unnamed tributary to Stephens Branch, a portion of a relatively level ridge top, a slightly sloping to relatively level terrace and lower hillsides overlooking Ugly Branch, and the narrow, relatively level flood plain and terrace adjacent to Ugly Branch (Figure 2). The area of potential effect (as defined in 36 CFR 0 800.2[c]) includes the project area and structures with a line of sight to the proposed water storage tank. Field work involved 1 visual inspection of the entire project area, a survey of structures within the area of potential effect, and subsurface testing at 50 foot (15 meter) intervals in all apparently undisturbed portions of the project area situated on surfaces with less than 20 percent surface slope. The first stage of the investigation consisted of background research designed to provide information about the prehistory and history of the project area and identify and locate previously reported archaeological sites and historic resources in the region in which the project area is situated. Background research, conducted by Steve Stathakis and Patrick Benintend, began May 7, 2001 with a review of resources available at various West Virginia University libraries and records maintained by the State of West Virginia in Charleston, including the National Register of Historic Places and archaeological site files. The field work portion of the project, conducted by Field Director Patrick Benintend, was begun May 8, 2001 and completed May 9, 2001, with two days spent in the field. Twenty-seven shovel test probes (STPs) were excavated, the entire project area was visually inspected, and properties within the defined area of potential effect were examined. No cultural resources were identified within the project area and no signifrant historic properties which would have a line of sight to the proposed facility were identified within the area of potential effect. Since no significant cultural resources which would be effected by planned land use were identified it is recommended that planned land use be permitted. 2 Figure 1. Map showing the location of the project area in West Virginia and Raleigh County. 3 Figure 2. Portion of the USGS Eccles (1989), WV topographic map showing the project area. 4 2. ENVIRONMENTAL SETTING The project area is located in a region defined geographically as the Appalachian Plateau (Cardwell 1975: 55). This region (Figure 3) is characterized as a deeply dissected plateau with deep, narrow, steep-sided valleys (Goman and Espy 1975: 71). The topography in which the project area is lccated is dominated by steep hillsides and narrow valleys. The majority of exposed rock in the region are sedimentary strata composed of siltstone, sandstone, shale, coal, and limestone. Soil in the project area consists of well drained and poorly drained silt loam. This region in which the project area is situated is drained by many small streams which empty into the Coal River, a tributary to the Kanawha River. The climate in south-central West Virginia varies widely, dependent on the changing topography. In general, the region experiences cold winters and mild summers, with extremes of cold in the higher elevations and of high temperatures in the valleys. The average winter temperature is about 34 degrees F., and the average daily minimum temperature is about 24 degrees F. In the summer, the average temperature is about 68 degrees F. and the average daily maximum temperature is about 80 degrees F. Annual precipitation averages about 45 inches, with a little more than half of the annual amount of precipitation falling as rain during the period April through September. Seasonal snowfall averages about 30 inches, with higher elevations receiving considerably more snow. April through September is the frost-free period which marks the optimal growing season. The first European settlers in the region encountered an environment which had become established circa 6000 BC, and remained essentially unchanged until their arrival. The predominant trees were oak, poplar, chestnut, spruce, maple, and hemlock; but less dominant species such as ash, blackgum, black walnut, sycamore, elm, beech, cherry, and butternut were also found. Shrubs included sumac, elder, pawpaw, dogwood, haw, sassafras, hazel, crab apple, redbud, laurel, and rhododendron, There were wild fruits such as blackbemes, strawberries, service berries, cherries, haws, mulberries, raspberries, grapes, plums, crab apples, elderberries, hucklebenies, and teaberries (Miller 1%9: 14). Fauna encountered by these first settlers included buffalo (bison), bear, deer, elk, panthers, wolves, wildcats, foxes, raccoons, beavers, opossums, skunks, otters, minks, 5 muskrats, squirrels, rabbits, and woodchucks (Miller 1969: 15). Most early settlers used the land primarily to grow the crops necessary to sustain themselves and their families. Historic and Current Land Use The land which would become West Virginia was claimed by various groups in the mid-eighteenth century. Shawnee and Delaware Indians lived and hunted along the Ohio and Allegheny Rivers and their tributaries. France laid claim to the area by virtue of explorations by de Saint Luggon in 1671 and Joliet and Marquette in 1673. The London Company was issued a patent for the land in 1609 by King James I and, in 1681, King Charles I1 granted a charter to William Penn giving Pennsylvania title to the land. The capture of the French Fort DuQuesne by British troops in 1758 partially settled the issue in favor of Pennsylvania. The demarcation of the Mason-Dixon Line in 1764 established the region as part of Virginia, and in 1863 the state of West Virginia was formed. Although traders and trappers had been exploring portions of what would become West Virginia as early as 1692 (Core 1W4: 128), there were no permanent settlers in what is now Raleigh County until about 1837 (North 1985: 84). Delaware and Shawnee Indians hunted in the land between the Allegheny Mountains and the Ohio River, and continued to fight European settlers over rights to the land until the end of the French and Indian War in 1763. In that year, a proclamation from the King of England forbade settling west of the Alleghenies. A peace treaty with the Indians was signed in 1764 and hostilities ceased for a time. Despite the king’s ban against moving into the area, cessation of warfare with Indians made western Virginia more attractive to large numbers of colonists. Settlers from Pennsylvania, Maryland, Virginia, and newly arrived European immigrants began moving into the frontier lands. War with England in 1775 brought renewed attacks against European settlements by native Americans incited by loyalist Tories. The end of the Revolutionary War did not bring peace between American settlers and Indians until the Wayne Treaty of 1795 was signed (Morton 1914: 65). Portions of southern West Virginia, especially areas which would become Fayette and Raleigh Counties, remained virtually uninhabited by European settlers through the early 1800s because of its rugged terrain and lack of navigable rivers (North 1985: 84). The first permanent settlers in the land which would become Raleigh County brought their families to a relatively flat part of an upland plateau in the central part of the county. General Alfred Beckley brought his family there from Pittsburgh in 1837. More 4 families followed, lured by stories of fertile, easily acquirable land, and settled the region around Beckley’s homestead (North 1985: 84). These settlers lived in the area of what would become the city of Beckley. The majority of these &y settlers were subsistence farmers who grew, hunted, trapped, and produced almost everything they needed. The population of the area remained small until the advent of the railroad. There were a sufficient number o€ people living in the area by the middle 1800s to warrant the formation of a county. Raleigh County was formed in 1850 with a population of 1,756, and named for Sir Walter Raleigh (North 1985: 84). After the Civil War, timbering operations began in the more accessible portions of the county. Large tracts of land were bought by speculators, and the timber industry was partly responsible for an economic and population boom in the last two decades of the nineteenth century (North 1985: W).The Chesapeake and Ohio Railroad laid tracks into the county along the New River in 1873, and followed these with branch lines through the central part of the county. This and other railroad company’s lines opened up previously inaccessible parts of the county for coal mining and timbering. In the period of time between 1880 and 1900, the population of the county increased from a little over 7,000 to over 12,000 (North 1985 84). The county continued to grow as coal production increased through. the first half of the twentieth century. By 1950 the population reached 96,273, and Beckley was proclaimed as the “Smokeless Coal Capital of the World” (North 1985: 84). The population has fluctuated since the 1950s, changing with variations in the demand for coal, and was a little over 86,000 in 1980. Although Raleigh County today supports various small industries, coal production, followed by timbering, remain is its most important. Eccles was hown originally as Admiralty, but was renamed for a mining official (Wood 1994: 651). Metalton was named in 1849 by residents who thought the region was “rich in minerals” (Wood 1994 652). The communities of Eccles and Metalton were briefly described by the Beckley Chamber of Commerce in 1929 (Wood 19M 646). Eccles was listed as a coal company town associated with the Crab Orchard Improvement Company. It had four stores, a theater, and a population of 1,200. Metalton, also a coal company town, had one coal company store and a population of 150. The project area is situated in a mountainous, rural area, which has historically been used as a source of natural resources such as lumber, coal and natural gas. Most of the project area appears to have been used primarily for agriculture and pasture. Vegetation within the project maconsists of small- to medium-sized deciduous and coniferous trees, various pasture grasses, and low brush. 7 Figure 3. Map showing physiographic:provinces in West Virginia. 3. FIELD TECHNIQUES A survey strategy based on a review of topographic maps and an inspection of the project area was devised prior to commencing field work. A combination of' subsurface survey and visual inspection was planned in order to thoroughly investigate the project area and area of potential effect, In order to increase the likelihood of discovering any archaeological sites which may exist in the project area, a plan for a systematic reconnaissance was devised and implemented. In order to adequately survey the project area, 16 inch (40 centimeter) STPs were excavated at 50 foot (15 meter) intervals on one transect in all undisturbed portions of the project area situated on surfaces with less than 20 percent surface slope. Excavated soils were passed through one-quarter inch (five millimeter) mesh hardware cloth screen and material which remained in the screen was examined for artifacts. The entire project area was also visually inspected. Visual inspection consisted of a pedestrian survey designed to investigate the ground surface for evidence of prehistoric and, or historic- period activities. Observed surface conditions and extant vegetation, soil descriptions, soil profiles, and locations of individual STPs were recorded in field notes. Shovel test pit locations were also recorded on a project map with measurements correlating to prominent topographic features and, or the pipeline centerline. In order to determine whether or not proposed land use would affect significant historic properties which might be located near the water storage tank portion of the project area, properties with a line of sight to the proposed water storage tank location were examined. Significant historic properties are defined as buildings or structures greater than 50 years old which may he eligible for consideration for inclusion on the National Register of Historic Places. There were no restraints which in any way affected the thoroughness of this survey. All portions of the project area were visually inspected and all areas requiring subsurface testing were adequately surveyed. 9 4. RESULTS OF FIELD INVESTIGATIONS The project area was thoroughly surveyed by a combination of subsurface survey and visual inspection. In order to maintain provenience control the project area was divided into fields (Figure 4). Four fields, three portions of water line ROW and a portion of water line ROW and the water storage tank parcel, were delineated. Field boundaries are delineated by project area limits as shown on a project map. STP locations within each field are correlated to project area boundaries and, or the centerline of the water line ROW. Surface conditions, soil descriptions, and locations of STPs were recorded in field notes and on a project map using measurements from prominent topographic features and, or the centerline of the ROW. Field notes supported by photographs provide thorough documentation of conditions noted within the project area. No significant cultural resources were identified within the project area or with a line of sight to the proposed water storage tank location as a result of this survey. The Glen White-Trap Hill PSD Water System Upgrade and Extension project area covers approximately 2.9 acres ( 1.1 hectares) and includes more area than will be disturbed to facilitate construction planning. It consists of four discrete sections of proposed pipeline ROW and a parcel proposed as the water storage tank location. The total water line corridor included in the project area is about 3,562 feet (1,086 meters) long, with a ROW 30 feet (nine meters) wide. The water storage tank location measures about 150 by 150 feet (45 by 45 meters). The project area is situated on a relatively level terrace overlooking an unnamed tributary to Stephens Branch, a portion of a relatively level ridge top, a slightly sloping to relatively level terrace and lower hillsides overlooking Ugly Branch, and the narrow, relatively level flood plain and terrace adjacent to Ugly Branch, Elevations in the project area range from about 2,000 to 2,320 feet (609 to 707 meters) above mean sea level. A combination of subsurface testing and visual inspection was conducted to adequately survey the project area. Twenty-seven STPs were excavated at 50 feet (15 meters) intervds on transects situated in undisturbed portions of the project area situated on less than 20 percent surface slope. No- cultural resources were identified within the project area. A summary of survey methods used, topographic features, and extant vegetation encountered, supported by photographs of the project area follows. Survey Summary Field 1 includes about 1,250 feet (381 meters) of 30 feet (nine meters) wide water line ROW. It is situated on a portion of the narrow, relatively level flood plain and terrace adjacent to Ugly Branch (Figure 4). This portion of the project area was visually inspected and eight STPs were excavated. The proposed ROW follows and is crossed by Ugly Branch and is intersected by an earthen road. Shovel test pits were excavated on the proposed water line ROW centerhe at 50 feet (15 meter) intervals to an average depth of 10 inches (25.6 centimeters) below the surface. Field 2 includes about 437 feet (133 meters) of 30 feet (nine meters) wide water line ROW. It is situated on a portion of a relatively level terrace overlooking an unnamed tributary to Stephens Branch (Figure 5). This portion of the project area was visually inspected and five STPs were excavated. Shovel test pits were excavated on the proposed water line ROW centerline at 50 feet (15 meter) intervals to an average depth of 9.2 inches (23.8 centimeters) below the surface. Field 3 includes about 1,375 feet (419 meters) of 30 feet (nine meters) wide water line ROW. It is situated on a slightly sloping to relatively level terrace and lower hillsides overlooking Ugly Branch (Figure 6). This portion of the project area was visually inspected and nine STPs were excavated. Shovel test pits were excavated on the proposed water line ROW centerline at 50 feet (15 meter) intervals to an average depth of 10.9 inches (28 centimeters) below the surface. Field 4 includes about 500 feet (152 meters) of 30 feet (nine meters) wide water line ROW and the 150 by 150 feet (45 by 45 meters) parcel proposed as the water storage tank location. It is situated on a portion of a relatively level ridge top (Figure x). This portion of the project area was visually inspected and five STPs were excavated. Shovel test pits were excavated on the proposed water line ROW centerline, intersecting the water storage tank parcel, at 50 feet (15 meter) intervals to an average depth of 9.1 inches (23.4 centimeters) below the surface. Soils Soil profiles observed in STPs excavated during this survey are similar across the project area. The typical soil profile (Figure 8) consists of a thin A horizon an average of about 5.8 inches (15 centimeters) thick which consists of brown to dark brown (10 YR 4/3)silt loam. The A horizon is defined as the “mineral horizon, formed or forming at or near the surface in which an accumulation of humified organic matter is mixed with the mineral material” (Wright et al. 1982). STPs were excavated to a minimum of four inches (10 centimeters) into the B horizon or until bedrock was encountered. The B horizon, which consists of yellowish brown (10 YR 5/6) and brownish yellow (10 YR 616) silt clay loam, is defined as a mineral horizon beIow the A horizon (Wright et al. 1982). Historic Properties Survey A reconnaissance in the defined area of potential effect was made to determine if there are any significant (Le., National Register eligible) historic properties which would be affected by proposed land use. No structures which appear to be eligible for consideration for inclusion on the National Register of Historic Places are situated within the area of potential effect. 12 Figure 4. View looking east of a portion of Field 1, Figure 5. View looking southwest of a portion of Field 2. 13 Figure 6. View looking northeast of a portion of Field 3. Figure 7. View looking west of a portion of Field 4. 15 Figure 8. Map of the typical soil profde observed in excavated STPs. 16 REFERENCES CITED Cardwell, Dudley H 1975 Geologic History of West Virginia. West Virginia Geologic and Economic Survey, Morgantown, West Virginia. Core, Earl L. 1975 Chronicles of Core. McClain Printing Company, Parsons, West Virginia, Goman, John L. and Lester E. Espy 1 1975 Soil Survey of Fayette and Raleigh Counties, West Virginia.. United States Department of Agriculture Soil Conservation Service in cooperation with West Virginia University Agricultural and Forestry Experiment Station. Miller, Sampson Newton 1969 Annals of Webster County, West Virginia Before and Since Organization, 1860. Sampson N. Miller, West Virginia. Morton, Oren F. 1914 A History of Preston County West Virginia. The Journal Publishing Co., Kingwood, West Virginia. North, Lee E. 1985 The 55 West Virginias:A Guide to the State’s Counties. West Virginia University Press, Morgantown. Wood, Jim 1994 Raleigh County West Virginia. Raleigh County Historical Society, Beckley, West Virginia. 1 Wright, Edward, Charles H. Delp, Kelley Sponaugle, Carlos Cole, John T. Ammons, John Goman, and F, Dale Childs 1982 Soil Survey of Marion and Monongalia Counties West Virginia. United States Department of Agriculture Soil Conservation Service in cooperation with West Virginia University Agricultural Experiment Station. 18 West Vir@& State Historic Preservation QfXce Cultural Resources Files and Library User Registration snd Research Record Form NSTRUCTIOEU'S: Pan I must be compieted before you will be permined access to the SHPO Cultural Rzsource Files and Libnry. Part II is a record ofthe site files, culturd resource repons, CSGS ropognphic maps and other materials you utilize durins your visit. Parr III will be cornpiered and signed by a SHPO staff rnenber only when you have completed your research and have rcrurned the materiais to which you have been given access. r. IDEYTIFICATION Organization or Company: Is Address: Phone / FR Number (if known) 11. MATERIALS UTfLlZED .. .. i i Other Materials Ixr. MATERIALSRETUR~SED riy GOOD ORDER DATE: Jr/?/e r Photocopying Fees Dues CULTURE AND HISTORY April 20, 2001 Mr. Robert Hazelwood Pentree, Inc. 1428 Main Street gs P.O. Box 1309 Princeton, West Virginia 24740 RE: Glen White-Trap Hill PSD Water System Upgrade and Extension FR#: 0 1-268-RG- 1 Dear Mr. Hazelwood: We have reviewed the above mentioned project to determine its effects to cultural resources. As required by Section 106 of the National Historic Preservation Act, as amended, and its implementing regulations, 36 CFR 800: “Protection of Historic Properties,” we submit our comments. Archaeological Resources: A search of office site files and maps locates several known sites within the Area of Potential Effect of the project area, As well, due to the geographic nature of portions of the project area, we have concerns as to its archaeological potential. Therefore, we cannot provide comment regarding the effects of this project upon archaeological resources until the results of a Phase I archaeological survey are submitted. The areas to be surveyed include the following: portions of proposed waterlines that are not along existing roads or slopes greater than 20% and the proDosed 100,000 gallon tank site. For your convenience we are enclosing an archaeological consultants list from which you may select a qualified consultant. If you have questions regarding archaeological survey or bids you may receive for this process, please do not hesitate to contact this office. We appreciate the opportunity to be of service. Ifvou have questions regarding our comments or the Section 106 process, please call Rachel Black, StaffArchaeologist at (304) 558-0220. &-&Sincerely, Joanna Wilson Senior Archaeologist reb THE CULTURAL CENTER 0 1900 KANAWHA BOULEVARD, EAST e CHARLESTON,WEST VIRGINIA 25305-0300 TELEPHONE 304-558-0220 e FAX 304-558-2779 TDD 304-558-3562 I EEO/AA EMPLOYER PENTREE, INCORPORATED CONSULTING ENGINEERS 1428 MAIN STREET I! 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740-1309 TELEPHONE 304-43 1-7800 April 3, 2001 Joanna Wilson, Senior Archaeologist West Virginia Department of Education & the Art 1900 Kanawha Boulevard, East ‘Charleston, WV 25305-0300 I‘ - RE: Glen White-Trap Hill’PSD/Raleigh County Water System Upgrade and Extensions FR#: 01-268-RG Dear .Ms. Wilson: The scope of work and location of some of the water facilities (water tank & water mains) has been revised since your response dated November 21,2001 to our initial request. Therefore, we have enclosed two copies of the revised locations of the proposed water system facilities proposed to be constructed in which we have color coded various conditions and referenced the attached photos as well. Please provide us with information regarding documented archaeological and historical sites which may conflict with the proposed water facilities in this area that has been revised. As noted on the drawing, the waterlines are proposed to be constructed mainly along the county roadways, jeep trails, and local roadways, which have been disturbed previously, We have enclosed photos of typical locations that the water lines would be placed for your review. Please note that there have been numerous underground natural gas pipelines with access roads constructed throughout the Lilly Mountain area, especially along the ridges. If you have any questions regarding this project, please contact us at any time. Thank you for your assistance. . Sincerely, PENTREE, INCOWORATED , Robert D. Hazelwood, P.E. Enclosures Vice President cc: Glen White-Trap Hill PSD ACEC WEST VIRGINIA DIVISION -OF CULTURE AND HISTORY November 2 1,2000 Mr. Robert Hazelwood Pentree, Inc. 1428 Main Street P.O. Box 1309 Princeton, WV 24740 RE: Glen White-Trap Hill PSD Water System Upgrade and Extension FR#: 01-268-RG Dear Mr. Hazelwood: We have reviewed the above mentioned project to determine its effects to cultural resources. As required by Section 106 ofthe National Historic Preservation Act, as amended, and its implementing regulations, 36 CFR 800: "Protection of Historic Properties," we submit our comments. Archaeological Resources: For all proposed water lines falling within existing DOH right-of-ways, a search of office site files and maps located no known sites within the proposed project area. Therefore, we have determined that no known archaeological sites listed on or eligible for inclusion in the National Register of Historic Places will be affected by this portion of your project. This also holds true for the replacement of the Fairdale water tank, the Stephens Lake water booster station, and the proposed Lake Stephens water tank. There are, however, a few areas iri which your proposed waterline deviates from an existing right-of-way. For these areas that do not have existing waterlines in them, we cannot provide comment regarding the effects of this project upon archaeological resources until the results of a Phase I archaeological survey are submitted. The area to be surveyed includes the following: proposed 6" line directly to the south of Stephens Lake, proposed 6" line to the southwest of Stephens Lake just south of Ugly Branch, proposed 6" line in two locations on the eastern side of Stephens Lake, proposed 6" line on southeastern side of Stephens Lake running through the middle of a loop in an existing road, and proposed 6" line running between Clay cemetery and the existing road. Also, please be advised that there should be a 100 foot buffer zone between all construction and the outside perimeter of Clay cemetery. For your convenience we are enclosing an archaeological consultants list from which YOU may select a qualified consultant. If YOU have any questions regarding archaeological survey or bids you may receive for this process or concerning our comments, please do not hesitate to contact this office. We appreciate the opportunity to be of service. I~~ouhave questions regarding our comments or the Section IOdprocess, please call me at (304) 558-0220. reb cc: State Historic Preservation Officer Lou Capaldini Deputy State Historic Preservation Officer Susan M. Pierce THE CULTURAL CENTER e 1900 KANAWHA BOULEVARDl EAST e CHARLESTON, WEST VIRGINIA 25305-0300 TELEPHONE 304-558-0220 FAX 304-558-2779 TDD 304-558-3562 EEO/AA EMPLOYER PENTREE, INCORPORATED CONSULTING ENGINEERS E 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740-1309 TELEPHONE 304-431-7800 November 10,2000 Mr. William Farrar State Historic Preservation Officer West Virginia Department of Education & the Art 1900 Kanawha Boulevard, East Charleston, WV 25305 RE: Glen White-Trap Hill PSD/Raleigh County Water System Upgrade and Extensions Dear Mr. Farrar: We are preparing an Engineering Report for the Glen White-Trap Hill PSD in accordance with the requirements of the West Virginia Infrastructure and Jobs Development Council. As part of these requirements, we are notifying the Division of Culture and History of the locations of the proposed improvements. Two copies of the water system map are enclosed and have been highlighted to show the areas of the proposed improvements. Please provide us with information regarding documented archaeological and historical sites which may conflict with the proposed improvements. The waterlines are proposed to be constructed mainly along the roadways, which have been disturbed previously. Photos of the proposed water tank sites, booster station site, and typical waterline locations are enclosed for your review. If you have any questions regarding this project, please contact us at any time. Thank you for your assistance. Sincerely, PENTREE, INCORPORATED , Robert D. Hazelwood, P.E. i Enclosures Vice President I cc: Glen White-Trap Hill PSD AC EC Glen White-Trap Hill P.S.D. Water System Upgrade and Extension Project DescriFtion The project consists of (1) constructing approximately 21,160 feet of 12" water lines, (2) 43,180 feet of 6" water lines, (3) 33,910 feet of 4" water lines, (4) 10,220 feet of 2" water lines, (5) 1735 water meters (replacement), (6) 99 water meters, (7) 22 fire hydrants, (8) pressure reducing stations, (9) Lake Stephens Booster Station, 50 gpm, (1 0) Lilly Mountain Water Tank, 100,000 gallon, (1 1) two Fairdale main tanks, 500,000 gallon each. I R/T/E Species and Wetlands I US Fish and Wildlife WV Department of Natural Resources US Army Corps of Engineers I DEPARTMENT OF THE ARMY HUNTINGTON DISTRICT, CORPS OF ENGINEERS 502 EIGHTH STREET HUNTINGTON, WEST VIRGINIA 25761-2070 September 14,2001 REPLY TO .. - ATTENTION OF i-~ - I Operations and Readiness Division Regulatory Branch. Marsh Fork-Utility Lines-200 100365 i. Glen White-Trap Hill PSD 1 ! __ . -I . 1 100 Brunty Hollow Road k--x Fairdale, WV 25839 Dear Sir or Madam: I refer to the revised infomation submitted by Pentree, Inc., received in this office on September 06,2001, requesting authorization to conduct work in waters ofthe United States. The work involves 32 utility line crossings on Marsh Fork, U/T of Marsh Fork, Cove Creek, U/T of Cove Creek, Webb Fork, Dingess Branch, U/T of Dingess Branch, Mill Branch, U/T of Stevens Branch, Ugly Branch and U/T of Ugly Branch. The work is located near Fairdale, in Raleigh County, West Virginia. 2 The information provided indicates that the applicant has coordinated with the WVDNR and USFWS, as a result, the originally proposed project has been modified to protect the existing endangered i species known as “Virginia Spiraea”. Also, a review of the information provided indicates that the proposed project meets the criteria for a nationwide permit #12 (attached), under the March 9,2000 Federal Register, Final Notice Issuance and Modification of Nationwide Permits (65 FR 12818). This nationwide permit authorization does not obviate the requirement to obtain state or local assent required I by law for the activity. In view of the above, your project is authorized without further processing, subject to the terns and conditions of the enclosed material. It is your responsibility to ensure that your work conforms to all of the environmental management conditions listed within the enclosed material. This nationwide permit will expire on February 11,2002. If you commence or are under contract to commence this activity before that date, you will have twelve months to complete the activity under the present terms and conditions of this permit. Upon completion of the work, the attached certification must be signed and returned to this office. If you have any questions concerning the above, please contact Mr. Michael Hatten at 304-529- 5710. I Sincerely, Richard P. Buckley I L Chief, South Permit Section (< Enclosures I Copies Furnished: Mr. Lyle Bennett WVDEP 10 McJunkin Road Nitro, West Virginia 25143 Mr. Roger Anderson West Virginia Department of Natural Resources Post Office Box 67 Elkins, West Virginia 26241 William A. Tolin U.S. Fish and Wildlife Service 694 Beverly Pike Elkins, WV 26241 Mr. Robert D. Hazelwood Pentree, Inc. P.O. Box 1309 Princeton, WV 24740- 1309 0 ED CONSULTING ENGINEERS I I i 1428 MAIN STREET EO. BOX 1309 PRINCETON, WEST VIRGINIA 24740-1309 TELEPHONE 304-43 1-7800 September 5,2001 Mr. Richard Buckley, Chief Department of Army Huntington District, Corps of Engineers South Permit Section 502 Eight Street Huntington, WV 25701-2070 RE: Glen White-Trap Hill PSD/Raleigh County Water System Upgrade and Extension Project Dear Mr. Buckley: We are resubmitting our correspondence dated April 18,2001 for approval of a Nationwide Permit No. 12 for waterline construction. We field reviewed the project area with Ms. Barbara Sargent of WV Department of Natural Resources and Mr. Shane Jones of US Fish and Wildlife Service on August 29,200 1 to provide a definitive funding relative to the endangered plant species, Virginia Spiraea. Findings of the Virginia Spirea was limited to the north side of Rt. 3 immediately east of the Glen Daniel Post Office and on the east side of Route 3 just north of stop light at the Glen Daniel Post Office. It was determined in the field review that the proposed water line could be constructed on the opposite side of the road at these locations and not impact this endangered species. The Virginia Spirea was not found at any of the other proposed waterline locations or waterline crossings in the project area. Mr. cane Jones indicated that he would contact Mr. Mike Hatten of your office and inform him of their findings. Should your have any questions or need additional information, please let us know. Sincerely, PENTREE, INCORPOFUTED Robe& D. Hazelwood, P.E., P.S. Enclosure Vice President cc Glen White-TrapHill PSD ACEC DEPARTMENT OFTHE ARMY HUNTINGTON DISTRICT, CORPS OF ENGINEERS 502 EIGHTH STREET I HUNTINGTON, WEST VIRGINIA 25701-2070 i. 1 REPLY TO June 05,2001 ATTENTION OF: .,~,. ..,. I.--...... Operations and Readiness Division - 1- - Regulatory Branch i 1 I Utility Lines-200100365 4UN 3 2001 j Mr. Glen White - Trap Hill P.S.D. 100 Brunty Hollow Rd. Fairdale, WV 25839 I ! In refer to your application and drawings submitted by Pentree, Inc., requesting authorization to install potable water line crossings in waters of the United States. The proposed I I project would impact 0.05 acres by constructing 32 stream crossings. The project is located in I Marsh Fork, UIT of Marsh Fork, Cove Creek, U/T of Cove Creek, Webb Fork, UIT of Dingess Branch, Mill Branch, U/T of Stevens Branch and UIT of Ugly Branch, near Trap Hill, in Raleigh I i County, West Virginia i Based on a review of the provided information, we believe that the proposed project may i meet the criteria for a Nationwide permit (NWP) #12 (attached), under the March 9,2000 i Federal Register, Final Notice Issuance and Modification of Nationwide Permits (65 FR 128 18). However, it has come to our attention through coordination with the United States Fish and 1;. Wildlife Service that a portion of your proposed project may affect the federally listed I! endangered species known as Spirea virniniana. Nationwide Permit General Condition Number I 11 (a) states that "no activity under any NWP which is likely to jeopardize the continued j i existence of a threatened or endangered species or a species... under the Federal Endangered Species Act, or which will destroy or adversely modify the critical habitat of such species." I In order for your project to be authorized under a NWP 12, you must successfully complete consultation under Section 7 of the Endangered Species Act (ESA). You should contact Mr. Bill Tolin of the USFWS at (304) 636-6586 concerning ESA consultation. j Processing of your application has been terminated and is hereby returned to you. After the Section 7 consultation process is completed, you may resubmit your application for processing, I i If you have any questions, please contact Mr. Michael Hatten at 304-529-5710. I I I I Sincerely, j Richard P. Buckley 1- 1- I Chief, South Permit Section 1 Enclosures 1 ~ - . ~ ...... -- . ,...... , - . . .- ..-.... - - . .. , FEDERALLY LISTED ENDANGERED AND THREATENED SPECIES IN WEST VlRGlNiA None Eagle, bald jialiaeetus leucoceohalus T' Entire state Nest sites: (I) Mineral, (2) Hampshire, (1) Hancock, (1) Pendleton, (1) Grant,, (3) Hardy, and (1) Wood Counties Bat, Indiana Mvotis sodalis E Known hibernacula in Tucker, Pocahontas, Greenbrier, Randolph, Preston, Pendlatoo, Monroe and Mercer Counties. Critical habitat: Hellhole Cave, Pendleton County - Eats may occupy summer' habitat,throughout the entire state Bat, Virginia big-eared Corvnorhinus ( =: Plecotusl E Primarily northeastern counties, especially Pendleton, Tucker and Grant Counties. Critical habitat: Hellhole xownsendii virainianus Cave, Cave Mountain Cave, Hoffman School Cave, arid Sinnit Cave in Pendleton Co.; Cave Hollow Cave in Tucker Co. Bat, gray Mvotis g- E Hellhole Cave, Pendleton Co. Cougar, eastern Felis concolor couaar E Entire state, may be extinct Squirrel, West Virginia Glaucomva Sabrinus fuscus~~~ E Pocahontas, Tucker, Pendleton, Greenbrier, Webster, and Raridoloh Counties, within oroclamation boundarv northern flying . .. . . of Monongahela National Forest Snail, flat-spired three- Iriodoosis Dlatvsavoidea T Monongalia and Preston Counties, mainly in Cooper's Rock State Forest area, both sides of Cheat River toothed land Gorge Mussel, tubercled- bioblasma ( = Ovsnomid E Kanawha River, Fayette Co., may be extinct blossom pearly torulosa torulosa Mussel, pink mucket Lamosilis abruota J =orbiculatal E Kanawha River, Fayette Co., Ohio River, Cabell, Mason and Wood Counties; Elk River, Kanawha Co. pearly Mussel, James spiny Pleurobema (..Canthvria\ collinp E Monroe Co., South Fork of Potts Creek Mussel, fanshell CvDroaeniq steaaria j =irrorat& E Kanawha River, Fayette Co.; Ohio River, Wood Co. Mussel, clubshell Pleuroberna E Elk River, Braxton, Kanawha, and Clay Counties; Hackers Creek, Lewis Co.; Meathouse Fork, Doddridge, Co.; South Fork Hughes River, Ritchie County Mussel, northern &- torulosa yanaianq E Elk River, Kanawha Co. riffleshell CC ONNAME SCIENTIFIC NAME STATUS ...... Harperella B-rn nodosurq E Morgan and Berkeley Counties Shale barren rock cress &&& serotina E Greenbrier, Hardy, and Pendleton Counties Running buffalo clover Trifoliurq stoloniferun E Fayette, Webster, Tucker, Pocahontas, Barbour and Randolph Counties Virginia spiraea Zoiraeq virqiniana T Nicholas, Fayette, Mercer, Raleigh, Summers, and Greenbrier Counties Northeastern bulrush Scirous ancistrochaetus Cheat Mountain Plethodon nettinqi T Pendletan, Pocahontas, Randolph, Grant and Tbcker Counties salamander * Threatened ** Endangered United States Department of the Interior H AND WILDLIFE CE West Virginia Field Office 694 Beverly Pike Elkins, West Virginia 26241 Mr. Robert D. Hazelwood, Vice President Pentree Inc. P.O. Box 1309 Princeton, WV 24740-1309 Dear Mr. Pentree: This letter responds to your letter dated November 10, 2000, the letter from the West Virginia Division of Natural Resources (WVDNR) dated November 20,2000, and the notification from the United States Army, Corps of Engineers (Corps) dated April 30,2001 regarding an application for authorization under Nationwide Permit #12. The Glen White -Trap Hill PSD proposes construction of potable water lines in the Metalton, Surveyor, Glen Daniel, Trap Hill, Redbird, and Saxon areas of Raleigh County. Shane Jones, of my staff, has communicated with you numerous times since your original letter, the WVDNR, and with Michael Hatten, of the Corps, in the last few weeks regarding this project. - As you are aware, The only federally listed species that is known to occur in a portion of the project area and could occur in additional locations is the federally listed Virginia spiraea, Spiraea virginiana. As disclosed in the WVDNR letter sent to you dated November 20,2000, this species is known to occur in and around the project area in the vicinity of the town of Glen Daniel, During the week of May 2 1, 2001 , Jeff Hajenga of the WVDNR, Beckley office, reviewed the project area at Mr. Jones' request to verify the bornIdcations ofthe Virginia spiraea, One known location is along the east side of Route 3 just north of the town of Glen Daniel. According to the plan map, the proposed waterline would not affect this subpopulation because it would be located along the west side of Route 3. The other known subpopulation exists on the north side of Route 99 in the town of Glen Daniel near the post office. As proposed, the water line would directly impact this subpopulation. The Service recommends relocation of this portion of the waterline to the opposite (south) side of Route 99. Furthermore, potential habitat exists within the Marsh Fork watershed, including the two tributaries which form Marsh Fork, Web Fork and Cove Creek. Because distributional data on the Virginia spiraea is incomplete, it is not possible to provide a definitive finding relative to the Virginia spiraea in the remainder of the project area within the Marsh Fork watershed. Therefore, further Section 7 consultation under the Endangered Species Act (87 Stat. 884, as such as this, where abitats nearby, a botanist, knowledg the areas surrounding the proposed stream cros aries to Marsh Fork. Before conducting field work, the investigator should coordinate with this office to review the survey plan. Please provide this office a copy of design changes to avoid the known subpopulation of the Virginia spiraea along Route 99. Also, regardless of your survey findings, you should provide this office a copy of the survey results. If additional subpopulations of the Virginia spiraea are located in the Marsh Fork watershed, fwther design changes will be necessary to avoid adverse impacts to this federally listed plant species. If you have any questions regarding this letter, please have your staff contact Shane Jones of my staff, or contact me directly, at (304) 636-6586, or at the letterhead address. 1I Sincerely, I cc7& d2-Jeffiey K. Towner Field Supervisor PENTREE, ZNCORPO ED CONSULTING ENGINEERS 1428 MAIN STREET I? 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740-1 309 TELEPHONE 304-43 1-7800 April 18,2001 The District Engineer US Army Engineer District-Huntington 502 8thStreet Huntington, WV 25701-2070 Re: Glen White - Trap Hill Public Service District Water System Upgrade and Extensions Dear Sir: The Glen White - Trap Hill P.S.D. is in the design stage of a water project to construct potable water lines in the Metalton, Surveyor, Glen Daniel, Trap Hill, Redbird, and Saxon areas of Raleigh County. Information is being submitted for your review to determine if the project qualifies for a Nationwide Permit under Section 404. We are submitting (1) an application, (2) a project area map, which includes portions of the Eccles and Arnett Quadrangles, which shows the proposed stream crossings, and (3) a typical stream crossing profile for your review. Also please provide us with information and comments regarding potential wetland conflicts we may encounter. We would appreciate your review and comments so that the project can obtain the required permits and proceed to construction at the earliest date. Should you have any questions or need additional information, please let us know. Sincerely, BENTREE, INCORPORATED n Robert D. Hazelwood, P.E., P.S. Vice President Enclosures cc: Glen White - Trap Hill PSD .ic E C PENTREE, INCORPORATED 1- P I CONSULTING ENGINEERS I? 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740-1309 TELEPHONE 304-43 1-7800 November 10,2000 Mr. William A. Tolin Endangered Species Specialist U.S. Fish and Wildlife Service P. 0.Box 1278 Elkins, WV 26241 RE: Glen White-Trap Hill PSD/Raleigh County Water System Upgrade and Extensions Dear Mr. Tolin: We are preparing an Engineering Report for the Glen White-Trap Hill PSD in accordance with the requirements of the West Virginia Infrastructure and Jobs Development Council. As part of these requirements, we are notifying your office of the locations of the proposed improvements. Two(2) copies of the water system map is enclosed and has been highlighted to show the areas of the proposed improvements. It is being proposed to construct the waterlines mainly along existing roadways. Please provide us with information and comments regarding potential endangered species and wetland conflicts we may encounter. If you have any questions regarding this project, please contact us at any time. Thank you for your assistance. Sincerely, PENTREE, INCORPORATED Robert D. Hazelwood, P.E. Enclosure Vice President 1 cc: Glen White-Trap Hill PSD I ACEC BlVlSlOM OF NATURAL RESOURCES Wildlife Resources Section Operations Center P.O. Box 67 Elkins, West Virginia 26241-3235 Cecil H. Underwood Telephone (304) 637-0245 JohnB. Racier Governor Fax (304) 637-0250 Director November 22,2000 r -_ I, i Mr. Robert D. Hazelwood Pentree, Inc. P.O. Box 1309 Princeton, WV 24740-1309 1 ""i Dear Mr. Hazelwood: I....,_, .,..,,I._ .._.."...-..... - 1.1. We have reviewed our files for information on rare, threatened and endangered (RTE) I species and wetlands for the area of the proposed water system upgrade and extensions for the 1 Glen White-Trap Hill PSD in Raleigh County, WV. If i' We have no known records of any wetlands that will be impacted by this project since the waterlines will follow existing roadways. We do, however, have an occurrence for Virginia I spirea (Spiraea virginiana),a federally threatened plant species, at Glen Daniel (see attached 1 map). According to the field form for this population of spirea, it is found "along north edge of Rt. 3 at Glen Daniel P.O. Also across road and on east side of Rt. 3 after it heads north at either end of guardrail." The subpopulation located near the Glen Daniel Post Office could be directly impacted by your project, while the other subpopulations appear to be on the opposite side of the road. Please coordinate with Mr. Bill Tolin of the U.S. Fish and Wildlife Service (304-636- 6586) regarding your project and its impacts upon Virginia spirea. I This response is based on information currently available and should not be considered a comprehensive survey of the area under review. Enclosed please find an invoice. Thank you for your inquiry, and should you have any questions please feel free to call upon us. I Barbara Sargent i Environmental Resources Specialist ! Nongame Wildlife & Natural Heritage Program Wildlife Resources Section enclosures cc: Bill Tolin - USFWS PENTREE, INCORPORATED E 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740- 1309 TELEPHONE 304-43 1-7800 November 10,2000 Ms. Barbara Sargent Natural Heritage Program West Virginia Department of Commerce Labor and Environmental Protection P. 0. Box 67 Elkins, WV 26241 RE: Glen White-Trap Hill PSD/Raleigh County Water System Upgrade and Extensions Dear Ms. Sargent: We are preparing an Engineering Report for the Glen White-Trap Hill PSD in accordance with the requirements of the West Virginia Infrastructure and Jobs Development Council. As part of these requirements, we are notifying the Division of Natural Resource of the locations of the proposed improvements. Two copies of the water system map are enclosed3 and have been highlighted to show the areas of the proposed improvements. It is being proposed to construct the waterlines mainly along existing roadways. Please provide us with information and comments regarding potential endangered species and wetland conflicts we may encounter. If you have any questions regarding this project, please contact us at any time, Thank you for your assistance. Sincerely, PENTREE, INCORPORATED I I Robert D. Hazelwood, P.E. i Enclosure Vice President cc: Glen White-Trap Hill PSD ACEC PENTREE, INCORPORATED CONSULTING ENGINEERS 1428 MAIN STREET I! 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740- 1309 TELEPHONE 304-43 1-7800 November 10,2000 U.S. Army Corp of Engineers Huntington COE Mr. James S. Evermen, Chief Planning Division 502 Eight Street Huntington, WV 25701 RE: Glen White-Trap Hill PSD/Raleigh County Water System Upgrade and Extensions Dear Mr. Evermen: We are preparing an Engineering Report for the Glen White-Trap Hill PSD in accordance with the requirements of the West Virginia Infrastructure and Jobs Development Council, AS part of these requirements, we are notifying the COE of the locations of the proposed improvements. We may also need copies of flood maps or flood elevations for the 100 year flood for the project area if flood rate maps are not available on the county level, If we need flood elevations from your office, we will let you how. If you have any questions regarding this project, please contact us at any time. Thank YOU for your assistance. Sincerely, PENTREE, INCORPORATED Robert D. Hazelwood, P.E. Enclosures Vice President cc: Glen White-Trap Hill PSD 5 ' ACEC Soil Survey I h 1 USDA Natural Resources Conservation Service United States J Oepartment of Robert D. Hazelwood, P.E. )' culture Pentree, Inc. ' Natural 1428 Main Street ! Resources P.O. Box 1309 Conservation Princeton, WV 24740-1309 , Service RE: Glen White-Trap Hill PSD/Raleigh County, Water System 1465 Ragland Rd. Beckley, WV Upgrade and Extensions ,25801 I December 22, 2000 i Phone: (304)255-9225 Mr. Hazelwood: i \Fax: (304)255-1 250 The above referenced site does contain a small amount of Prime Farmland and Statewide Important Farmland. The AD- 1006, Farmland Conversion Impact Rating, is attached. With a total of only 38, this falls below the required score of 160 to qualify for FPPA. Some areas adjacent to the waterline construction are hydric soils, map unit At, and may be wetland areas; most notably on Dingess Branch, Claypool Hollow, and Spanker Branch on Sheet #3. Please contact Ms. Susan Joy, [email protected], (304)529-5710 if you have any questions about wetland permitting. If you have any questions, or need any further information, please contact me anytime. Sincerely, Robert N. Pate Resource Soil Scientist [email protected] The United States Department of Agriculture (USDA) prohibits discrimination in all its programs and activities on the basis of race, color, national origin, gender, religion, age, disability, political beliefs, sexual orientation, and marital or familial status. (Not all prohibited bases apply to all programs.) Persons with disabilities who require alternative means for communication of program information, (Braille, large print, audiotape, etc,) should contact USDA's TARGET center at (202)720-2600 (voice and TDD). To file a complaint of discrimination,write USDA, Director, Office of Civil Rights, Room 326W,Whitten Building, 14m and Independence Avenue, SW, Washington DC 20250-9410,or call (202)720-5964(voice or TDD). USDA is an equal opportunity provider and employer. 6 US.GOVERNMENT PRINTING OFFICE 1984-45!.159/1324 _- . Is Is U.S. Department of Agriculture i 81 PENTREE, INCORPORATED 1428 MAIN STREET E! 0. BOX 1309 PRINCETON, WEST VIRGINIA 24740-1309 TELEPHONE 304-43 1-7800 November 10,2000 ' Robert N. Pate, Resource Soil Scientist USDA-Natural Resources Conservation Service 465 Ragland Road Beckley, W 25801 RE: Glen White-Trap Hill PSD/Raleigh County Water System Upgrade and Extensions Dear Mr. Pate: We are preparing an Engineering Report for the Glen White-Trap Hill PSD in accordance with the requirements of the West Virginia Infrastructure and Jobs Development Council and USDA-Rural Utilities Service. As part of these requirements, we are notifying the Natural Resources Conservation Service of the locations of the proposed improvements. Two copies of the water system map are enclosed and have been highlighted to show the areas of the proposed improvements. The waterlines are proposed to be constructed mainly along the roadways, which have been disturbed previously. Please provide us with information and comments regarding the potential impact of the project on the prime farmland in the area. We also request that your office complete the USDA Farmland Conversion Impact Rating for any areas that may met the criteria for prime farmland and statewide important farmland. If you have any questions regarding this project, please contact us at any time. Thank you for your assistance. Sincerely, PENTREE, INCORPORATED Robert D. Hazelwood, P.E. Enclosures Vice President , cc: Glen White-Trap Hill PSD ' ACEC .. . OUTLINE MAP WEST VIRGINIA WATER SYSTEM UPGRADE 8( EXTENSIONS I -1 I RM310ND DATE B" RALEIGH COUNTY WEST VIRGINIA 2"PROPOSED - WATER SYSTEM WATER SYSTEM UPGRADE 81 EXTENSIONS 6 8 4" PROPOSED RALEIGH COUNTY WEST VIRGINIA 4" EXISTING I I I I I I I I I I I I I I I I GLLN WHllL - IKAP HILL P.S.U. II I IPentree WATER SYSTEM n WATER SYSTEM UPGRADE & EXTENSIONS ~ 2" PROPOSED 6" & 4" PROPOSED EXTENSIONS Consultlna Enqlneers @ PHASE II I RALEIGH COUNTY. WEST VIRGINIA I ozooo PENTREE IN< 2 PROPOSED - -- 6" PROPOSED - 6" EXISTING 12" PROPOSED 8" EXISTING Y WESTVlRGlNlA 02000 PENTREE INC i Exhibit 2 FEMA Flood Insurance Rate Maps DEPARTMENT OF THE ARMY US. ARMY ENGINEER DISTRICT, HUNTINGTON 502 EIGHTH STREET HUNTINGTON, WEST VIRGINIA 25701-2070 April 30, 2001 Planning Branch FPWSpecial Studies Section Mr. Robert D. Hazelwood Pentree, Incorporated P.O. Box 1309 Princeton, WV 24740-1309 Dear Mr. Hazelwood: This is in response to your previous requests for flood maps for various projects. As per our phone conversation on April 27,2001, enclosed are the FEMA Flood Insurance Rate Maps (I?lRMs) for the Glen White-Trap Hill and Gauley River projects. You stated that you no longer required flood maps for the Gap Mills, Red Sulphur, and the Town of Davy projects. You indicated that you do need wetlands information for all mentioned projects. Your project maps have been forwarded to our Regulatory Office for review. They will respond separately. If you require any further information please contact me at 304-529-5644. Sincerely, Encls Civil Engineer FPWSpecial Studies Section structures in the zones where elevations or depths have been estab- jshed . .i-o determine if flood insurance is available in this community, contact your insurance agent, or call the National Flood Insurance qrograrn, at (800) 638-6620. APPROXIMATE SCALE 1000 0. . 1000 FEET I f--rHc-l 1 .. FLOOD IHSURWNCE RATE MAP I - _- RALEIGH COUNTY, WEST VIRGINIA (UNINCORPORATED AREAS) 5 I PANEL 70 OF 155 (SEE MAP INDEX FOR PANELS NOT PRINTED) Federal Emergency Management Agency KEY TO MAP ]Base Flood Elevation Line -513- With Elevation In Feet** !Base Flood Elevation in Feet {EL 987) ;Where Uniform Within Zone** Elevation Reference Mark RM7X j Zone 0 Boundary - - River Mile mM1.5 ,**Referenced to the National Geodetic Vertical Datum of 1929 , i *EXPLANATION OF ZONE DESIGNATlONS ZONE EXPLANATION -A Areas of 100-year ffood; base flood elevations and flood hazard factors not determined. A0 Areas of 100-year shallow flooding where depths are between one (1) and three (3) feet; average depths of inundat?on are shown, but no flood hazard factors are determined. AH Areas of 100-year shallow flooding where depths are between one (1) and three (3) feet; base flood elevations are shown, but no flood hazard factors are determined. 't 430 Areas of 100-year flood; base flood elevations and flood hazard facton determined. A99 Areas of 100-year flood to be protected by flood protection system under construction; base flood elevations and flood hazard factors not determined. B Ares between limits of the lOQyear flood and 500- year flood; or certain areas subject to 100-year flood- ingwith average depths less than one (1) foot or where I the contributing drainage area is less than one square mile; or areas protected by levees from the base flood. (Medium shading) C Areas of minimal flooding. (No shading) D Areas of undetermined, but possible, flood hazards. v Areas of 100-year coastal flood with velocity (wave actlon); base flood elevations and flood hazard factors not determined. V1-V30 Areas of 100-year coastal flood with velocity (wave action); base flood elevations and flood hazard factors determined. NOTES TO USER Ceriain areas not in the special flood hazard areas (zones A and V) may be protected by flood control structures. ~ This map is for flood insurance purposes only; it does not neces- sarily show all areas subject to flooding in the community or all planimetric features outside special flood hazard areas. , 'For adjoining map panels, see separately printed Index To Map Panels. INITIAL IDENTIFICATION: I APRIL25,1975 FLOOD HAZARD BOUNDARY MAP REVISIONS: . --.. -- --~- b ZONE C i, ZONE C ZONE C ZONE C structures in the zones where elevations or depths have been estab- lished. ! To determine if flood insurance is available in this community, contact your insurance agent, or call the National Flood Insurance Program, at (800) 638-6620. I APPROXIMATE SCALE IOQO 0 7000 FEET WHH I KEY TO MAP Base Flood Elevation Line -573- With Elevation In Feet** Base Flood Elevation in Feet (EL9871 Where Uniform Within Zone** Elevation Reference Mark RM7x Zone D Boundary -7 - River Mile oM1.5 **Referenced to the National Geodetic Vertical Datum of 1929 *EXPLANATION OF ZONE DESIGNATIONS ZONE EXPLANATION A Areas of 100-year flood; base flood elevations and flood hazard factors not determined. A0 Areas of 100-year shallow flooding where depths are between one (1) and three (3) feet;average depths of inundation are shown, but no flood hazard factors are determined. An Areas of 100-year shallow flooding where depths are between one (1) and three (3) feet; base flood ..^ elevations are shown, but no flood hazard factors are determined. A30 Areas of 100-year flood; base flood elevations and flood hazard factors determined. A99 Areas of 100-year flood to be protected by flood protection system under construction; base flood elevations and flood hazard factors not determined. 3 Areas between limits of the 100-year flood and 500- year flood; or certain areas subject to 100-year flood- ing with average depths less than one (1) foot or where the contributing drainage area is less than one square mile; or areas protected by levees from the base flood. (Medium shading) C Areas of minimal flooding. (No shading) D Areas of undetermined, but possible, flood hazards. W Areas of 100-year coastal flood with velocity (wave action); base flood elevations and flood hazard factors not determined. VI-V30 Areas of 100-year coastal flood with velocity (wave action); base flood elevations and flood hazard factors determined. NOTES TO USER Cehaifl areas not in the 5pf~ialflead hazard argar (zones A and V) may be protected by flood control structures. This map is for flood insurance purposes only; it does not neces- sarily show all areas subject to flooding in the community or all planimetric features outside special flood hazard areas. For adjoining map panels, see separately printed Index TO,Map Panels. '\ INITIAL IDENTIFICATION: I APRIL 25,1975 , FLOOD HAZARD BOUNDARY MAP REVISIONS: . - . - - - - - i I ZONE C \ ZONE C i \ ZONE C I PHOTO 1 .. FAIRDALE WATER TANK SITE I (Replace existing 100,000 gallon water tank with two 500,000 gallon water tanks.) PHOTO 3 - EXISTING BOLT \YATEK T,4NK PHOTO 3 - PRELIMINARY LOCATION OF PROPOSED STEPHENS LAKE WATER BOOSTER STATION PEIQTO 5 - EXISTING STEPHENS LAKE WATER TANKS PHOTO 6 - EXISTING STEPHENS LAKE RAW WATFIR WFi,! PHOTO 7 - WATER MAIN EXTENSION ALONG ROADWAY (Along WV Route 99 in Glen Daniel) i PHOTO 9 - WATER MAIN EXTENSION ALONG ROADWAY (Couxlty Route 15/1 - Claypool Hill Road) PHOTO 11 - WATER MAIN EXTENSION ALONG ROADWAY I..- (County Route 3/16 - Clay Branch Road) !\... PWCjTO 13 - WATER ILrAIN EXTENSION ALONG ROADWAY (County Route 3/28 - Stephens Lake Road) PHOTO 15 - WATER MAIN EXTENSION ALQNG ROADWAY (Stepens Lake Road Across Dam) I PHOTO 17 - WATER MAIN EXTENSION ALONG ROADWAY (County Route 13 - Saxon Area) i PHOTO 19 - WATER MAIN EXTENSION ALONG ROADWAY (County Route 13/3 - Cove Creek Area) PHOTO 21 - WATER MAIN EXTENSION ALONG ROADWAY (Delta Route 911 - Cove Creek Area) PHOTO 23 .. WATER MAIN EXTENSION ALONG ROADWAY (Route 13 - Webb Fork Area) i; PHOTO 25 - WATER iMAlN EXTENSION ALONG ROADWAY (Route 13/2 - Webb Fork Area) I,*- ! 't.. ... (' I'/ PHOTO 27 - WATER MAIN EXTENSION ALONG ROADWAY (Local Road off of Route 13 - Webb Fork Area) PHOTO lL - WATER MAIN EXTENSION ALONG ROADWAY @xisting Park Road - Lake Stevens Area) PHOTO 2L - WATER hIAIN EXTENSION ALONG ROADWAY (Existing Park Road =. Lake Stevens Area) PHOTO 3L - WATER MAIN EXTENSION ALONG ROADWAY (Existing Driveway off of Rt. 3 - Ugly Branch Area) PHOTO 4L - WATER MAIN EXTENSION ALONG ROADWAY (Local Road off of Lilly Mountain Road - Near Metalton) PHOTO 5L - WATER MAIN EXTENSION (Cross Country from Local Road toward Ugly Branch - Near Metalton) PHOTO SL - WATER MAIN EXTENSION ALONG RBADWAE’ (Existing D94iven~ayoff of Local Road - Near. iNleta18on) PHOTO 7L - WATER MAIN EXTENSION ALONG ROADWAY (Lilly Mountain Road - Near Metalton) 6' PHOTO SL - WATER MATN EXTENSION ALONG ROADYVAY (Lilly itllountain Road - Near Metalton) PHOTO 91, - WATER mm EXTENSION (Cross Country from Lilly Mountain Road toward Rt. 3 - Near Metalton) ?HOT0 1OL - WATER MlAIN EXTENSTON ALONG ROADWAY (Existing Driveway off of Rt. 3 - Near Metalton) PHOTO 11L - WATER MAIN EXTENSION (Cross Country from Existing Driveway toward Lilly Mountain Road Near Metalton) c PHQTQ 12L - W'ATER hfAIN EXTENSION ALONG ROADWAY (Existing Driveway off of Eilly Mountain Road - Near Metalton) PHOTO 13L - WATER MAIN EXTENSION ALONG ROADWAY (Shawnee Road - Near Shady Grove) i:'"'. j '-.. . PHOTO 14L - WATER MAIN EXTENSION ALONG ROADWAY (Existing Driveway off of Shawnee Road - Near Sliady Grove) PHOTO 15L - WATER MAIN EXTENSION ALONG ROADWAY (Shawnee Road - Near Shady Grove) PHOTO IGL - WATER MAIN EXTENSION ALONG ROADWAY (Existing Driveway off of Shawnee Road - Near Shady Grove) PHOTO 172 - WATER MAIN EXTENSION ALONG ROADWAY (Lilly Mountain Road - Near Metalton) i PHOTO 18L - WATER MAIN EXTENSION ALONG ROADWAY (Existing Driveway off of Lilly Mountain Road - Near Metalton) PHOTO 19E - WATER MAIN EXTENSION ALONG ROADWAY (Existing Driveway off of Shawnee Road - Near Metalton) PHOTO 20L - WATER IMAIN EXTENSION ALONG ROADWAY (Shawnee Road I Near Metalton) GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT PHASE 2 WATER EXTENSION PROJECT RULE 42 EXHIBIT Based on the Fiscal Year Ended June 30,2008 and Current and Plannin GRlFFlTH & ASSOCIATES, PLLC 950 LITTLE COAL RIVER ROAD ALUM CREEK, WEST VIRGINIA 25003 Phone No. (304) 756 - 3600 November 72, 2009 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE ll WATER EXTENSION PROJECT - RULE 42 EXHIBIT FOR THE FISCAL YEAR ENDED JUNE 30,2008 TABLE OF CONTENTS PAGE NUMBER Introduction Letter A Statement of Net Income 1 Schedule I- Detail of Operating Revenues 2 Schedule 2 - Detail of Operation and Maintenance Expenses 3 Schedule 3 - Depreciation, Depletion, and Amortization 4 Schedule 4 - Taxes Other Than Federal Income Taxes 5 Schedule 6 - Other Income 6 Schedule 7 - Other Income Deductions 7 B Plant In Service and Contributions Schedule 1 - Plant in Service 8-9 Schedule IO- Contributions in Aid of Construction 10 C Debt/Equity Capital 11 D Bill Analysis 12-15 Schedule I- Per Books Rates (Eff: 12/06/07 - 1/19/09> 16-17 Schedule 2 - Per Books Rates (Eff: 1/20/09 - 4/12/09) 18-19 Schedule 3 - Proposed Going Level Rates 20-21 Schedule 4 - Proposed Project Rates 22-23 E Allocation of Cost of Service 24 F Balance Sheets 25 G Detail of Adjustments 26-27 H Cash Flow Analysis 28 Griffith & Associates, PLLC Accountants & Consultants 8-/ Glen White-Trap Hill Public Service District District Board and Management Post Ofice Box 100 Fairdale, West Virginia 25839 RE: Glen White-Trap Hill Public Service District - Rule 42 Exhibit Phase I1 Water Extension Project District Board and Management: This exhibit is a compilation of financial information as prescribed by Rule 42 of the Public Sewice Commission of West Urginia Rules of Practice and Procedure for the Filing of Tarzfls. The Glen White-Trap Hill Public Service District currently provides water service to approximately 1,992 residential and small commercial customers, which include 35 new customers which recently came online under Phase I of this Water Extension project, located in parts of Trap Hill District, Lester, Glen Daniel, Bolt and Glen White Town District, Raleigh County, West Virginia. The District also has two resale customers: Raleigh County Public Service District and the Town of Lester. The proposed Project will provide service to an additional 60 new customers. We used (80% or 48 total) for ratedplanning. This exhibit is the basis for a recommendation for the water rates set forth to meet current operational requirements, needed capital improvements, and the debt service associated with this Project. We have prepared this report based on billing information from the District, the District’s Annual Report for the fiscal year ended June 30, 2008, and current information as available and necessary. We also used project cost and operation and maintenance estimates as provided by Pentree Engineering. The funding scenario for this project is currently estimated as follows: ARC Grant $1,000,000 USDA-RUS Grants (2) 371,400 USDA-RUS Loan 200,000 (4.75% for 38 years) USDA-RUS Loans 2,300,000 (3.625% for 38 years) Total $3,871,400 ...... MichaeCD. Gnith, @A, AFI 950 tittlk CoaC@ver QadACum Creek w25003 [email protected] Phone: (304) 756.3600 Facsimilk (304) 756.2911 ll/OOM81210 58 PM J.Wn whne Trap Hill Phase II Waler MI8110 8 08 doc Glen White Trap Hill Page 2 October 30,2009 We acknowledge the assistance of the District and hereby submit this exhibit for District’s approval and filing at the Public Service Commission. If you have any questions concerning this report feel free to contact my ofice. Sincerely, Grifith & Associates, PLLC MDGIrm cc: William Winfiey, Attorney for the PSD Dan Shorts, PE, Pentree Engineering USDA-RUS, Beckley Office USDA-RUS State Ofice, Morgantown 11/03/0912:lOPM j \glen white trap hill phase ii water ext let IO 8 O9.doc STATEMENT A GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE I1 WATER EXTENSION PROJECT - RULE 42 EXHIBIT STATEMENT OF NET INCOME FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PER LEVEL GOING PROFORMA DESCRIPTION REFERENCE BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA $ $ $ $ $ $ Operating Revenues Schedule 1 913,722 337,066 1,250,788 229,103 1,479,892 Operating Revenue Deductions Operation and Maintenance Exp. Schedule 2 938,434 48,298 986,732 22,388 1,009,121 Depreciation Schedule 3 115.750 115.750 115,750 Taxes Other Than Income Taxes Schedule 4 141762 172 14,934 355 15,289 P Total Operating Expenses 1,068,946 48,470 1,117,416 22,743 1.140.160 Net Operating Income Loss) (155,224) 288,596 133,372 206,360 339,732 Plus: Other Income Schedule 6 882,837 (882,379) 458 458 Less: Other Income Deductions Schedule 7 72,580 22,533 95,113 92,356 187,469 Net Income (Loss) (A) 655,033 (6 16,3 16) 38,717 114,004 152,721 STATEMENT A SCHEDULE 1 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT DETAIL OF OPERATING REVENUES FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PSC PER LEVEL GOING PROFORMA -Acct DESCRIPTION BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA -0 $ $ $ $ $ 3 Sales of Water m Iu Water Sales to All Customers Except Resale 703,426 141,261 (1) 844,687 161,215 (11) 1,005,903 9.3 3 Other Sales E 462 Private Fire Protection Service s- 263 Public Fire Protection Service a, 464 Other Sales to Public Authorities 2 465 Sales to Irrigation Customers p 466 Sales for Resale 205,666 187,765 (2) 393,431 70,499 (12) 463,930 0 467 Interdepartmental Sales 21. 3 Other Ooeratina Revenues Forfeited Discounts 0 470 4,630 8,040 (3) 12,670 -2,611(13) 10,059 471 Miscellaneous Service Revenues s 472 Rents From Water Property 473 Interdepartmental Rents 474 Other Water Revenues TOTAL WATER OPERATING REVENUES 913,722 337,066 1,250,788 229,103 1,479,892 0.66% 1.50% 1 .OO% “UNAUDITED PER PER GOING RATE COMPARISONS BOOKS 1 BOOKS 2 LEVEL PROPOSED 2,000Gallons $ 14.24 $ 16.24 $ 18.66 $ 22.02 4,000Gallons $ 25.32 $ 28.82 $ 29.94 $ 36.00 4,200Gallons (Residential Average) $ 26.43 $ 30.08 $ 31.25 $ 37.60 4,500Gallons $ 28.09 $ 31.97 $ 36.81 $ 43.45 STATEMENT A SCHEDULE 2 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT - WATER PHASE II WATER EXTENSION PROJECT ~ RULE 42 EXHIBIT DETAIL OF OPERATING EXPENSES FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PSC PER LEVEL GOING PROFORMA & PESCRlPnON ea?!SADJUsTmENT S -LEVEL ADJUSTMENTS PROFORMA 8 S S 8 S Source of Supply Expenses 600 Operation Labor -a 601 Purchased Water 543,008 32,830 (4) 575.838 3,266 (14) 579,104 602 Operation Supplies and Expenses 605 Maintenance of Water Source Plant Total Source of Supply Expenses 543,008 32,830 575,838 3,266 579,104 Pumping Expenses 620 Operation Labor 621 Fuel for Power Production 622 Fuel or Power Purchased for Pumping 623 Operation Supplies and Expenses 625 Miscellaneous Expenses 630 Maintenance Supervision a Engineenng Total Pumping Expenses Water Treatment Expenses 640 Operation Supervision 8 Engineering -a 641 Chemicals 643 Miscellaneous Expenses 270 270 270 650 Maintenance of Distribution Reservoirs 8 Standpipes 651 Maintenance of Mains 652 Maintenance of Water Treatment Equipment 653 Maintenance of Meters 654 Maintenance of Hydrants 655 Maintenance of Other Plant Total Water Treatment Expenses 270 270 Tnnsmlsrion 8 Distribution Expenses 660 Operation SupeNision a Engineering 8 119,604 119,604 S 119,604 662 Transmission 8 Distribution Line Expenses 672 Maintenance of Distribution Reservoirr 8 StandDiDes 32,688 32,688 32,688 674 Maintenance of Fire Mains 675 Maintenance of Services 676 Maintenance of Water Meters 678 Maintenance of MiscellaneousPlant 67,705 67,705 67,705 Total T8D Expenses 219,997 219,997 219,997 Customer Accounts Expenses 901 Supervision -s 902 Meter Reading Expenses 903 Customer Records 8 Collection Expenses 904 Uncollectible Accounls 4,223 (6) 4,223 806 (15) 5,030 Total Customer Accounts Expenses 4,223 4,223 806 5,030 Administrative and General Expenses 920 Administrative and General Salaries 42,461 42,461 42,461 921 Ofice Supplies and Olher Expenses 38.130 38,130 38,130 923 Outside Services Employed 10,421 10,421 10,421 924 Property Insurance 10,047 10,047 10,047 925 Injuries and Damages 926 Employee Pensions and Benefits 72,513 72,513 72,513 928 Regulatory Commission Expenses 1,467 1,467 1,467 930.1 Institutionalor Goohill Advenising Expenses 930.2 Miscellaneous General Expenses 931.0 Rents 120 120 120 933 Transporlation Expenses 935 Maintenance of General Plant Total Administrative and General Expenses 175,159 175159 175,159 Phase I Project Expenses Per Pentree Engineera 4,245 (5) 4,245 4,245 Rate Case Expense ($21,00013 Years) 7,000 (7) 7,000 7,000 Phase II Project Expenses Per Pentree Engineers 9,158 (16) 9.158 TOTAL WATER OPERATION AND MAINTENANCE EXPENSES 938,434 48,298 986,732 22,388 1,009,121 "UNAUDITED Prepared by Michael D. Griffith, CPA Page 3 STATEMENT A SCHEDULE 3 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT DETAIL OF DEPRECIATION SCHEDULE 3 FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PSC co. PER LEVEL GOING PROFORMA --Acct. Acct. DESCRIPTION RATES BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA $ $ s $ $ Supply W Y 312 2173 Collecting and Impounding Reservoirs 4.00% z 311 2173 Structures 3.00% is' 5 a, Pumping n, P Treatment 0 332 2172 Treatment Equipment 5.50% 1. 3i -3 Transmission & Distribution 341 2175 Tanks 3.50% 0 343 2175 Mains 3.50% B 345 2 175 Services 7.00% 346 2175 Meters & Meter Installation 5.50% General Plant Assets 392 2120 Transportation Equipment 6.00% 399 2120 Other Equipment 7.00% Total Depreciation 115,750 115,750 115,750 "UNAUDITED" STATEMENT A SCHEDULE 4 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE It WATER EXTENSION PROJECT - RULE 42 EXHIBIT TAXES OTHER THAN INCOME TAXES FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PSC PER LEVEL GOING PROFORMA -Acct. DESCRIPTION BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA U $ $ $ $ $ -08 9) Taxes Other Than Income Taxes: Pii3 Ycr 408.1 Payroll Related Taxes 14,762 172 (8) 14,934 355 (17) 15,289 p Total Taxes Other Than Income Taxes 14,762 172 14,934 355 15,289 0 1. rc3 7 (8) Phase 1 Project Taxes per Pentree Engineers (17) Phase 2 Project Taxes per Pentree Engineers STATEMENT A SCHEDULE 6 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT - WATER PHASE I1 WATER EXTENSION PROJECT - RULE 42 EXHIBIT OTHER INCOME FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PSC PER LEVEL GOING PROFORMA -Acct. DESCRIPTION BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA $ $ $ $ $ Other Income P 41 9 Interest Income 458 458 458 s 42 1 Misc. Non-Operating 882,379 (882,379)(9) 2 Total Other Income 5 882,837 (882,379) 458 458 6 D "UNAUDITED" STATEMENT A SCHEDULE 7 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT OTHER INCOME DEDUCTIONS FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PSC PER LEVEL GOING PROFORMA Yu -Acct. DESCRIPTION BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA 6. 5 $ $ $ $ $ a, (D p Other Income Deductions 427 Long-Term Interest Expense 72,580 22,533 (IO) 95,113 92,356(18) 187,469 s 431 Short-Term Interest Expense rc2 5 Total Other Income Deductions 72,580 22,533 95,113 92,356 187,469 TOTAL DEBT INTEREST 72,580 22,533 95,113 92,356 187,469 "UNAUDITED" STATEMENT B SCHEDULE I GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT PLANT IN SERVICE -SHEET I FOR THE FISCAL YEAR ENDED JUNE 30.2008 Balance Balance Average PSC Beginning Other End Monthly -Acct. DESCRIPTION ofYear Ada&U Retirements Chames u $ $ $ $ $ $ Y IntanglblePlant 302 Franchises and Consents 303 Miscellaneous Intangible Plant Total Intangible Plant Source of Supply Plant P 310 Land & Land Rights 31 1 Structures & Improvements 312 Collecting & impounding Reservoirs 313 Lake, River & Othyer intakes 314 Wells & Springs 0 315 Infiltration Galleries &Tunnels 316 Supply Mains 317 Other Water Source Plant B Total Source of Supply Pumping Plant 320 Land & Land Rights 321 Structures & improvements 322 Boiler Plant Equipment 323 Other Power Production Equipment 324 Steam Pumping Equipment 325 Electric Pumping Equipment 28,931 28,931 28,931 326 Diesel Pumping Equipment 327 Hydraulic Pumping Equipment 328 Other Pumping Equipment Total Pumping Plant 28,931 28,931 28,931 Water Treatment Plant 330 Land & Land Rights 331 Structures & Improvements 332 Water Treatment Equipment Total Water Treatment Plant “UNAUDITED STATEMENT B SCHEDULE 1 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT * WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT PLANT IN SERVICE - SHEET 2 FOR THE FISCAL YEAR ENDED JUNE 30,2008 Balance Balance Average PSC Beginning Other End Monthly CT Acct. DESCRIPTION ofYear Additions Retiremenb Charaes ofYellr Balance Y $ $ $ $ $ 8 Transmission 8 Distribution Plant 340 Land 8 Land Rights 25,648 1351 26,997 26,322 341 Structures 8 Improvements 110.814 110,814 110,814 342 Dlstribution Reservoirs & Standpipes P 343 Transmission 8 Distribution Mains 2,176,002 3,094,572 5,270,574 3,723,288 344 Fire Mains 345 Services 346 Maters 30.708 3,000 33,708 32,208 347 Meter installations 348 Hydrants 349 Other Transmission 8 Distribution Plant Total Transmission 8 Distribution Plant 2,343,170 3,098.923 5,442,093 3,892,632 General Plant 369 Land & Land Rights 390 Structures & Improvements 39 1 Omce Furniture 8 Equipment 22,392 1,500 23.892 23,142 392 Transportation Equipment 145,680 145,680 145.680 393 Stores Equipment 394 Tools, Shop, 8 Garage Equipment 395 Laboratory Equipment 396 Power Operated Equipment 397 Communication Equipment 398 Miscellaneous Equipment 399 Other Tangible Property Total General Plant 168,072 1,500 189.572 168,822 Totals 2,540,173 3,100,423 5,640,596 4,090,385 Project 2,491,272 6,581,857 “UNAUDITED GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE 11 WATER EXTENSION PROJECT - RULE 42 EXHIBIT CONTRIBUTIONS SCHEDULE 10 FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 Balance Balance Average PSC Beginning Other End Monthly -Acct. DESCRIPTION ofYear Additions Retirements Charaes of Year $ $ $ $ $ 30X Intangible Plant 31 1 .X Land & Land Rights 312.X Structures ,& improvements 32X Collecting System 0- 33x Pumping dystem Y Total Supply 35x Treatment 8 Disposal P Total Treatment 8. Disposal System 342 Tanks 343 Mains 345 Services 0 346 Meters & Meter Installation B Total Transmission & Distribution 392 Transportation Equipment 399 Other Equipment Total General Plant Assets Totals 1,107,730 1,107,730 I,I 07,730 Per Books Adjustments Per Books Adjusted 1,107,730 "UNAUDITED" STATEMENT C GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT DEBT @JUNE 30,2008 FOR THE FISCAL YEAR ENDED JUNE 30,2008 PSC Outstanding Interest 2009 -2009 -Acct. Class of Obliaation -Years PrinciDal -Rate PrinciDal Interest Princ. & Interest $ $ $ Lona Term Debt 221 Capmark Finance (Formally FHA) 38 351,938 5.00% Will be paid off with Project loan USDA-RUS (2007) 3% 2,249,000 4.25% 24,284 95,113 119,397 24,284 95,113 119,397 Other Debt P Proposed Project Loans (USDA: $2,300,000 @3.625%, 38 Years} 38 2,300,000 3.625% 28,882 82,898 111,780 (USDA: $200,000 @4.75%, 38 Years} 4.750% 1,942 9,458 1 I,400 0 38 200,000 B Totals 5,100,938 55,108 187,469 242,577 "UNAUDITED" STATEMENT D SCHEDULE 2 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT CUSTOMER BILL ANALYSIS - GOING LEVEL (11 MOS) SHEET 1 FOR THE FISCAL YEAR ENDED JUNE 30,2009 ALL CUSTOMERS EXCEPT RESALE 2,000 Gallons 4.500 Gallons I $ 18.66 $ 36.81 1 GOING NUMBER MINIMUM MIN. BILL FIRST NEXT NEXT NEXT OVER CALCULATED LEVEL BLOCKING OF BILLS MGALS RATE REVENUE 2,000 8,000 20,000 20,000 50,000 REVENUE REVENUE 518 Inch Meters 6,659 6,729.0 $ 18.66 $ 124,257 CT Inch Meters Y 314 27.99 1 Inch Meters 1 46.65 47 1 112 Inch Meters 93.30 2 Inch Meters 17 25.7 149.28 2,538 3 Inch Meters 279.90 4 Inch Meters 11 210.8 466.50 5,132 P 6 Inch Meters 10 451.3 933.00 9,330 s 8 Inch Meters 1,492.80 cc3 5 OVER THE MINIMUMS 2.1-10,000 Gallons 14,312 63,786.4 28,624.0 35,162.4 D 10.1-30,000 Gallons 813 11,555.6 1,626.0 6,504.0 3,425.6 30.1-50,000 Gallons 33 1.265.8 66.0 264.0 660.0 275.8 Over 50,000 Gallons 60 8,406.2 120.0 480.0 1200.0 1200.0 5,406.2 TOTALS 21,916 92,430.9 30,436.0 42,410.4 5,285.6 1,475.8 5,406.2 GOING LEVEL RATES 9.33 7.26 5.99 4.30 3.50 GOING LEVEL REVENUES FOR 11 MOS 141,303 283,968 307,900 31,661 6,346 18,922 790,099 ANNUALIZATION FACTOR 1.09091 GOING LEVEL ANNUAL REVENUES 861,926 844,687 Average 1,992 4.2 Correction Factor 0.980000 1 STATEMENT D SCHEDULE 2 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SHEET 2 CUSTOMER BILL ANALYSIS -GOING LEVEL (12 MOS) FOR THE FISCAL YEAR ENDED JUNE 30,2009 RESALE CUSTOMERS 2,000 Gallons 4.500 Gallons I$ 18.66 $ 36.81 I GOING NUMBER MINIMUM MIN. BILL FIRST NEXT NEXT NEXT OVER CALCULATED LEVEL BLOCKING OF BILLS MGALS RATE REVENUE 2,000 8,000 20,000 20,000 50,000 REVENUE REVENUE Inch Meters $ $ Yu 5/8 18.66 314 Inch Meters 27.99 s 1 Inch Meters 46.65 s- 1 1/2 Inch Meters 93.30 a, co 2 Inch Meters 149.28 3 Inch Meters 279.90 P 4 Inch Meters 466.50 6 Inch Meters 933.00 8 Inch Meters 1,492.80 Resale Rate per 1,000Gallons 48 113,708.3 3.46 393,431 OVER THE MINIMUMS D 2.1-10,000 Gallons 0.0 0.0 10.1-30,000 Gallons 0.0 0.0 0.0 30.1-50.000 Gallons 0.0 0.0 0.0 0.0 Over 50,000 Gallons 0.0 0.0 0.0 0.0 0.0 TOTALS 48 113.708.3 0.0 0.0 0.0 0.0 0.0 GOING LEVEL RATES 3.46 3.46 3.46 3.46 3.46 GOING LEVEL ANNUAL REVENUES FOR 11 MOS 393,431 393,431 ANNUALIZATION FACTOR I.oooooo GOING LEVEL ANNUAL REVENUES 393,431 393,431 Average 4 2,368.9 Correction Factor 1.000000 City of Lester 19,525,002 $3.21 per 1,000 Gallons Raleigh County PSD 94,183,302 $3.21 per 1,000 Gallons 113,708,304 1 STATEMENT D SCHEDULE 3 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT *WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SHEET 3 CUSTOMER BILL ANALYSIS -PROFORMA (11 MOS) FISCAL YEAR ENDING JUNE 30,2009 ALL CUSTOMERS EXCEPT RESALE 2,000 Gallons 4.600 Gallons 1 $ 22.02 $ 43.451 NUMBER MINIMUM MIN.BlLL FIRST NEXT NEXT NEXT OVER CALCULATED PROFORMA BLOCKING OF BILLS MGALS RATE REVENUE 2,000 8,000 20,000 20,000 50,000 REVENUE REVENUE 5/8 Inch Meters 6,659 6,729.0 $ 22.02 $ 146,631 3/4 Inch Meters 33.03 1 Inch Meters 1 55.05 55 1 1/2 Inch Meters 110.10 2 Inch Meters 17 25.7 176.16 2,995 3 Inch Meters 330.30 4 Inch Meters 11 210.8 550.50 6,056 6 Inch Meters 10 451.3 1,101.00 11,010 8 Inch Meters 1,761.60 OVER THE MINIMUMS 2.1- 10,000 Gallons * 14,587 64,611.4 29,174.0 35,437.4 10.1- 30,000 Gallons 813 11,555.6 1,626.0 6,504.0 3,425.6 30.1- 50,000 Gallons 33 1,265.8 66.0 264.0 660.0 275.6 Over 50,000 Gallons 60 8,406.2 120.0 480.0 1200.0 1200.0 5,406.2 TOTALS 22,191 93,255.9 30,986.0 42,685.4 5,285.6 1,475.8 5,406.2 PROFORMA RATES 11.01 8.57 7.07 5.07 4.13 PROFORMA REVENUES FOR 11 MOS 166,746 341,156 365,814 37,369 7,482 22,328 940,895 ANNUALEATION FACTOR 1.09091 PROFORMA ANNUAL REVENUES 1,026,431 1,005,903 Average 2,017 4.2 Correctlon Factor 0.980000 Includes 25 new Project custornerS x 3,000 gallrno. I STATEMENT D SCHEDULE 3 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SHEET 4 CUSTOMER BILL ANALYSIS - PROFORMA (12 MOS) FOR THE FISCAL YEAR ENDED JUNE 30,2008 RESALE CUSTOMERS 2,000 Gallons 4.500 Gallons 1 $ 22.02 $ 43.45 I NUMBER MINIMUM MIN.BlLL FIRST NEXT NEXT NEXT OVER CALCULATED PROFORMA BLOCKING OF BILLS MGALS RATE REVENUE 2,000 8,000 20,000 20,000 50,000 REVENUE REVENUE 5/8 Inch Meters $ 22.02 $ 314 Inch Meters 33.03 1 Inch Meters 55.05 1 112 Inch Meters 110.10 Yu 2 Inch Meters 176.16 3 Inch Meters 330.30 4 Inch Meters 550.50 6 Inch Meters 1, IOI. 00 8 Inch Meters 1,761.60 Resale Rate per 1,000 Gallons 48 113,708.3 4.08 483,930 OVER THE MINIMUMS 2.1- 10,000 Gallons 0.0 0.0 10.1- 30,000 Gallons 0.0 0.0 0.0 30.1- 50,000 Gallons 0.0 0.0 0.0 0.0 0 Over 50,000 Gallons 0.0 0.0 0.0 0.0 0.0 B TOTALS 40 113,708.3 0.0 0.0 0.0 0.0 0.0 PROFORMA RATES 4.08 4.00 4.08 4.08 4.08 PROFORMA ANNUAL REVENUES FOR II MOS 463.930,--- 463.930 ANNUALIZATION FACTOR I.oooooo PROFORMA ANNUAL REVENUES 463,930 463,930 Average 4 2368.9 Correction Factor 1.000000 City of Lester 19,525,002 $3.21 per 1,000 Gallons Raleigh County PSD 94,183,302 $3.21 per 1,000 Gallons 113,708,304 1 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER STATEMENT D PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 1 PER BOOKS TARIFF (EFF: 12/6/07 - 1/19/09) PAGE 1 FOR THE FISCAL YEAR ENDED JUNE 30,2008 APPLICABILITY Applicable within entire territory served. AVAILABILITY Availability for general domestic, commercial, industrial and sales for resale water service. service. RATES (customers with metered water supply) First 2,000 gallons used per month $ 7.12 per 1,000gallons Next 8,000gallons used per month $ 5.54 per 1,000gallons Next 20,000 gallons used per month $ 4.57 per 1,000gallons Next 20,000 gallons used per month $ 3.28 per 1,000 gallons All Over 50,000 gallons used per month $ 2.67 per 1,000 gallons MINIMUM CHARGE No bill will be rendered for less than the following based on meter size: 518 inch meter $ 14.00 per month 3 /4 inch meter $ 21.00 per month 1 inch meter $ 35.00 permonth 1 112 inch meter $ 70.00 permonth 2 inch meter $ 112.00 per month 3 inch meter $ 210.00 permonth 4 inch meter $ 350.00 per month 6 inch meter $ 700.00 per month 8 inch meter $ 1,120.00 per month The above minimum charge is subject to an additional $0.12 per 1,000 gallons of water used per month. RESALE RATE All water for resale to the City of Lester and Raleigh County Public Service District will be billed in accordance with the approved rate of $2.64 per 1,000 gallons used per month. DELAYED PAYMENT PENALTY The above tariff is net. On all accounts not paid in full when due, ten percent (10%) will be added to net current amount unpaid . This delayed payment penalty is not interest and is to be collected only once for each bill where it is appropriate. Prepared by Michael D. Griffith, CPA Page 16 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER STATEMENT D PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 1 PER BOOKS TARIFF (EFF: 12/6/07 - 1/19/09) PAGE 2 FOR THE FISCAL YEAR ENDED JUNE 30,2008 RECONNECTION $10.00 To be charged whenever the supply of water is turned off for violations of rules, nonpayment of bills, or fraudulent use of water. TAP FEE The following charges are to be made whenever the utility installs a new tap to serve an applicant: A tap fee of $200.00 will be charged to all customers who apply for service outside of a certificate proceeding before the Commission for each new tap to the service. RETURNED CHECK CHARGE A service charge equal to the actual bank fee assessed to the District or a maximum of $25.00 will be imposed upon any customer whose check for payment of charges is returned by their bank due to insufficient funds. LEAK ADJUSTMENT $1.76 per 1,000 gallons is to be used when the bill reflects unusual consumption which can be attributed to eligible leakage on customerk side of the meter. This rate shall be applied to all such consumption above customer's historical average usage. Prepared by Michael D. Griffith, CPA Page 1Z GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER STATEMENT D PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 2 PER BOOKS TARIFF (EFF: 1/20/09 - 4/12/09) PAGE 1 FOR THE FISCAL YEAR ENDED JUNE 30,2008 APPLICABILITY Applicable within entire territory served. AVAl LABI LlTY Availability for general domestic, commercial, industrial and sales for resale water service. service. RATES (customers with metered water supply) First 2,000 gallons used per month $ 8.12 per 1,000 gallons Next 8,000 gallons used per month $ 6.29 per 1,000gallons Next 20,000 gallons used per month $ 5.16 per 1,000gallons Next 20,000 gallons used per month $ 3.67 per 1,000 gallons All Over 50,000 gallons used per month $ 2.96 per 1,000gallons MINIMUM CHARGE No bill will be rendered for less than the following based on meter size: 518 inch meter $ 16.24 permonth 3 14 inch meter $ 24.36 per month 1 inch meter $ 40.60 per month 1 1/2 inch meter $ 81.20 per month 2 inch meter $ 129.92 permonth 3 inch meter $ 243.60 permonth 4 inch meter $ 406.00 per month 6 inch meter $ 812.00 permonth 8 inch meter $ 1,299.20 per month RESALE RATE All water for resale to the City of Lester and Raleigh County Public Service District will be billed in accordance with the approved rate of $2.93 per 1,000gallons used per month. DELAYED PAYMENT PENALTY The above tariff is net. On all accounts not paid in full when due, ten percent (10%) will be added to net current amount unpaid . This delayed payment penalty is not interest and is to be collected only once for each bill where it is appropriate. Prepared by Michael D. Griffith, CPA Page 18 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER STATEMENT D PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 2 PER BOOKS TARIFF (EFF: 1120109 - 4/12/09) PAGE 2 FOR THE FISCAL YEAR ENDED JUNE 30,2008 RECONNECTION $1 0.00 To be charged whenever the supply of water is turned off for violations of rules, nonpayment of bills, or fraudulent use of water. TAP FEE The following charges are to be made whenever the utility installs a new tap to serve an applicant: A tap fee of $200.00 will be charged to all customers who apply for service outside of a certificate proceeding before the Commission for each new tap to the service. RETURNED CHECK CHARGE A service charge equal to the actual bank fee assessed to the District or a maximum of $25.00 will be imposed upon any customer whose check for payment of charges is returned by their bank due to insufficient funds. LEAK ADJUSTMENT $2.30 per 1,000 gallons is to be used when the bill reflects unusual consumption which can be attributed to eligible leakage on customer's side of the meter. This rate shall be applied to all such consumption above customer's historical average usage. RETURNED CHECK CHARGE A service charge equal to the actual bank fee assessed to the utility or a maximum of $25.00 will be imposed upon any customer whose check for payment of charges is returned by their bank due to insufficient funds. Prepared by Michael D. Griffith, CPA Page 19 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER STATEMENT D PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 3 GOING LEVEL TARIFF PAGE 1 FOR THE FISCAL YEAR ENDED JUNE 30,2008 SCHEDULE 1 -Y -Y Applicable within the entire territory served. AVAILABLILTY Available for residential, commercial, industrial and sale for resale water service. (I) (Customers with metered water supply) First 2,000 gallons used per month 9.33 per 1,000 gallons Next 8,000 gallons used per month 7.26 per 1,000 gallons Next 20,000 gallons used per month 5.99 per 1,000 gallons Next 20,000 gallons used per month 4.30 per 1,000 gallons All Over 50,000 gallons used per month 3.50 per 1,000 gallons (C,I) MINIMUM BILL Each customer shall pay a minimum charge of a 18.66 per month (Equivalent to 2,000 gallons of water usage) EQUIVALENT GALLONS 5/8 Inch Meter 18.66 per month 2,000 3/4 Inch Meter 27.99 per month 3,285 1 Inch Meter 46.65 per month 5,855 1 112 Inch Meter 93.30 per month 12,765 2 Inch Meter 149.28 per month 22,110 3 Inch Meter 279.90 per month 49,386 4 Inch Meter 466.50 per month 102,560 6 Inch Meter 933.00 per month 235,846 8 Inch Meter 1,492.80 per month 395,789 (N) FLAT-RATE CHARGE (Customers with nonmetered water supply) Each customer shall pay a minimum charge of a 36.81 per month (Equivalent to 4,500 gallons of water usage) (C,I) RESALE RATE All water for resale to the City of Lester and Raleigh County Public Service District will be billed at the rate of $3.46 per 1,000 gallons used per month. (C) DELAYED PAYMENT PENALTY The above schedule is net. On all current usage billings not paid in full when due, ten percent (10%) will be added to the net current amount unpaid. This delayed payment penally is not interest and is to be collected once for each bill where it is appropriate. (CJ) WATER SERVICE CONNECTION CHARGE $ 360.00 The following charges are to be made whenever the utility installs a new tap to serve an applicant: A tap fee of $100.00 will be charged to customers applying for service before construction is completed adjacent to the customer's premises in connection with a certificate proceeding before the Commission. This pre-construction tap fee will be invalid after the completion of construction adjacent to an applicant's premises that is associated with a certificate proceeding. A tap fee of $350.00, or the actual cost of the connection (solely determined by the City), whichever is greater, will be charged to all customers who apply for service outside of a certificate proceeding before the Commission for each new tap to the system. Prepared by Michael D. Griffith, CPA Page 20 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER STATEMENT D FOR THE FISCAL YEAR ENDED JUNE 30,2008 SCHEDULE 3 GOING LEVEL TARIFF PAGE 2 SCHEDULE 1 (Can't) RETURNED CHECK CHARGE 3 25.00 A service charge of $25.00 will be imposed upon any customer whose check for payment of charges is returned by the bank for any reason. DISCONNECT CHARGWRECONNECTION CHARGElADMlNlSTRATlVE FEE 3 25.00 Water service will not be restored until all past due water bills have been paid in full and all accrued penalties plus a disconnection charge of $25.00 have been paid. There shall be a $25.00 reconnection charge paid prior to restoration of water service which had been previously disconnected for any reason. In the event that City staff or agents collect money at the customer's residence in order to stop dis- connection, an administrative fee of $25.00 shall be paid in addition to other charges to prevent disconnection. INCREMENTAL COSTS 3 3.50 per 1,000 gallons An amount not to exceed $3.47 per 1,000 gallons is to be used when a 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 the customer's historical usage. The District shall extablish a non-discriminatory policy regarding this provision for leak adjustments. EFT, ACH. CREDIT CARD AND DROP BOX PAYMENTS A service charge will be imposed on EFT, ACH, Credit Card or Drop Box payments. The amount shall be equal to the actual charges to the utility from the financial institution for processing payment. I .Indicates Increase C-Indicates Change N-Indicates New Prepared by Michael D. Griffith, CPA Page 21 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT - WATER STATEMENT D PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 4 PROFORMA TARIFF (EFF: UPON SUBSTANTIAL PROJECT PAGE 1 COMPLETION OR COMMENCEMENT OF PROJECT LOAN PAYMENT) SCHEDULE 1 APPLICABILITY Applicable within the entire territory served AVAILABLILTY Available for residential, commercial, non-contract industrialand non-contract resale water service (I) (Customers with metered water supply) First 2,000 gallons used per month $ 11.01 per 1,000 gallons Next 8,000 gallons used per month t 8.57 per 1,000 gallons Next 20,000 gallons used per month $ 7.07 per 1,000 gallons Next 20,000 gallons used per month S 5.07 per 1,000 gallons All Over 50,000 gallons used per month $ 4.13 per 1,000 gallons (I) MINIMUM BILL Each customer shall pay a minimum charge of S 22.02 permonth (Equivalent to 2,000 gallons of water usage) EQUIVALENT GALLONS 518 Inch Meter $ 22.02 per month 2,000 3/4 Inch Meter S 33.03 per month 3,285 1 Inch Meter $ 55.05 per month 5,854 1 112 Inch Meter $ 110.10 permonth 12,761 2 Inch Meter t 176.16 permonth 22,105 3 Inch Meter $ 330.30 permonth 49,393 4 Inch Meter $ 550.50 per month 102,571 6 Inch Meter S 1,101.00 per month 235,810 8 Inch Meter t 1,761.60 per month 395,816 (I) FLAT-RATE CHARGE (Customers with nonmetered water supply) Each customer shall pay a minimum charge of $ 43.45 per month (Equivalent to 4,500 gallons of water usage) (I) RESALE RATE All water for resale to the City of Lester and Raleigh County Public Service District will be billed in accordance with the approved rate of $4.08 per 1,000 gallons used per month. DELAYED PAYMENT PENALTY The above schedule is net. On all current usage billings not paid in full when due, ten percent (10%) will be added IO the net current amount unpaid. This delayed payment penany is not interest and is to be collected once for eact bill where It is appropriate. WATER SERVICE CONNECTION CHARGE $ 350.00 The following charges are to be made whenever the utility installs a new tap to serve an applicant: A tap fee of $100.00 will be charged to customers applying for seivice before construction is completed adjacent to the customef's premises in connection with a certificate proceeding before the Commission. This pre-construction tap fee will be invalid after the completion of construction adjacent to an applicant's premises that is associated with a certificate proceeding. A tap fee of $350.00, or the actual cost of the connection (solely determined by the City). whichever is greater, will be charged to all customers who apply for service outside of a certificate proceeding before the Commission for each new lap to the system. Prepared by Michael D. Griffith, CPA Page 22 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT - WATER STATEMENT D PHASE I1 WATER EXTENSION PROJECT - RULE 42 EXHIBIT SCHEDULE 4 PROFORMA TARIFF (EFF: UPON SUBSTANTIAL PROJECT PAGE 2 COMPLETION OR COMMENCEMENT OF PROJECT LOAN PAYMENT) SCHEDULE 1 (Con't) RETURNED CHECK CHARGE $ 25.00 A service charge of $25.00 will be imposed upon any customer whose check for payment of charges is returned by the bank for any reason. DISCONNECT CHARGElRECONNECTlON CHARGE/ADMINISTRATIVE FEE $ 25.00 Water service will not be restored until all past due water bills have been paid in full and all accrued penalties plus a disconnection charge oft25.00 have been paid. There shall be a $25.00 reconnection charge paid prior to restoration of water service which had been previously disconnected for any reason. In the event that City staff or agents collect money at the customer's residence in order to stop dis- connection, an administrative fee of625.00 shall be paid in addition to other charges to prevent disconnection. (1) INCREMENTAL COSTS $ 4.13 per 1,000 gallons An amount not to exceed $4.09 per 1,000 gallons is to be used when a 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 the customer's historical usage. The District shall extablish a nondiscriminatory policy regarding this provision for leak adjustments. EFT. ACH. CREDIT CARD AND DROP BOX PAYMENTS A service charge will be imposed on EFT, ACH, Credit Card or Drop Box payments. The amount shall be equal to the actual charges to the utility from the financial institution for processing payment. I - indicates Increase C-Indicates Change N-Indicates New Prepared by Michael D. Griffith, CPA Page 23 GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT STATEMENT E ALLOCATION OF COST OF SERVICE FOR THE FISCAL YEAR ENDED JUNE 30,2008 THE PROPOSED REVENUE INCREASE HAS BEEN SPREAD TO CUSTOMER CLASSES ON AN EQUAL PERCENT ACROSS THE BOARD BASIS. U iii U a, Piii CT Y P GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT BALANCE SHEETS STATEMENT F BASED ON FISCAL YEAR ENDED JUNE 30,2008 ASSETS 2007 Current Assets: Cash 2,609 2,498 Accounts Receivable ~ Net 105,019 95,370 Special Deposits 17,797 18,745 Materials 8 Supplies 9,200 9,200 Temporary Cash Investments 3,000 13,285 Total Current Assets 137,625 139,098 Restricted Assets: Other Investments Sinking Funds 21,807 148 Depreciation Funds 3,417 1,002 Total Restricted Assets 25,224 1,150 Fixed Assets: Water Property. Plant and Equipment 2,540.1 73 5,640,595 Less Accumulated Depreciation (1,620,587) (1,736,337) Utility Plant Adjustments Total Net Fixed Assets 919,588 3,904,258 Deferred Debits: Unamortized Debt Discount 8 Expense Preliminary Survey 8 Investigation Charges Miscellaneous Deferred Debits Total Deferred Debits 0 0 TOTALASSETS 1,082,435 4,044,506 LIABILITIES AND EQUITY Current Liabilities: Accounts Payable 71,751 129,484 Notes Payable 64,419 61,905 Customer Deposits 18,100 18,365 lntrest &Taxes Accrued 1,201 53,866 Miscellaneous Current 8 Accrued Liabilities 9,290 19,719 Total Current Liabilities 162,761 283,339 Long-Term Debt: Bonds 412,044 2,600,958 Notes and Bonds Payable Total Long Term Debt 412,044 2,600,958 Fund Equity: Other Deferred Credits 2453 Retained Earnings (602,553) 52,479 Total Equity (600,100) 52,479 Contributions in Aid of Construction 1,107,730 1,107,730 Adjustment TOTAL LlABlLlTiES AND EQUITY 1,082,435 4,044,506 Prepared by Michael D. Griffith, CPA Page 25 STATEMENT G SCHEDULE 2 Going LevelAdjustments GLEN WHITE-TRAP HILL PUBLIC SERVICE DlSTRiCT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT DETAIL OF ADJUSTMENTS ADJMT Acc't INCREASE NUMBER mr lDECREASE) 1 4xx Water Sales- All Except Resale A- 1 Going Level Water Sales 844,687 Per Books Adj. Water Sales 703,426 Increase 141,261 To reflect increase in going level water revenues based on District proposed rates. 2 466 Water Sales - Resale A- 1 Going Level Water Sales For Resale 393,431 Per Books Adj. Water Sales For Resale 205,666 Increase 187,765 To reflect increase in going level resale water revenues based on District proposed rates. 3 470 Forfeited Discounts A- 1 Going Level Water Sales 844,687 Recommendad Rat0 of Revenues lo Penalties 1.5% Going Level Forfeited Discounts 12,670 Per Books Adj. Forfeited Discounts 4,630 Increase 8.040 To adjust penalties to the recommended rate. 4 601 Purchased Water A-2 Going Level Purchased Water Expense 575,838 Per Books Adj. Purchased Water Expense 543,008 Increase 32,830 To adjust to current purchased water rate approved in Case No 08-0404-W-42T. 5 6% Phase 1 Project Expenses A-2 To provide for Phase 1 Project expenses as provided by Pentree 4,245 Engineers. 6 904 Uncollectible Accounts A-2 Going Level Water Sales + Penalties 844,687 Recommended Uncollectible Rate .5% Going Level Uncollectibles 4,223 Per Books Adj. Uncollectibles increase 4,223 To provide for uncollectibles at .5% of going level sales plus penalties. 7 6M Rate Case Expenses A-2 To provide for rate case expenses amortized over three years 7,000 8 408.1 Taxes Other Than Income Taxes A-4 Going Level Taxes Other Than Income Taxes 14,934 Per Books Adj. Taxes other Than lnwme taxes 14,762 Increase 172 To adjust to level of taxes other than income taxes estimated by Pentree Engineers in the Phase I Project. 9 4M Other Income A-6 Going Level Other Income 458 Per Books Adj. Other Income 882,379 Decrease (882,3791 To remove non-recurring income (grants). 10 427 Other Income Deductions A-7 Going Level Other Income Deductions 95,113 Per Books Adj. Other Income Deductions 72,580 Increase 22,533 To adjust to current amortization schedules and provide for the long-term debt interest associated with the Phase I Project loan. f Prepared by Michael D. Griffith, CPA Page 26 STATEMENT 0 SCHEDULE 3 Pro Forma Adjustments GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT - WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT DETAIL OF ADJUSTMENTS pro forma adjustments ADJMT Acc't INCREASE NUMBER Number LDECREASE] -Sched. $ 4M Water Sales- All Except Resale A- 1 Proforma Water Sales 1,005,903 Going Level Water Sales 844.687 Increase 161,215 To reflect increase in going level water revenues based on District proposed Project rates. 466 Water Sales - Resale A- 1 Proforma Water Sales For Resale 463.930 Going Level Water Sales For Resale 393,431 Increase 70,499 To reflect increase in going level resale water revenues based on District proposed Project rates. 470 Forfeited Discounts A- 1 Proforma Water Sales 1,005,903 Recommended Rat0 of Revenues to Penalties 1.O% Proforma Forfeited Discounts 10,059 Going Level Forfeited Discounts Increase To adjust penalties to the recommended rate. 601 Purchased Water A-2 Proforma Purchased Water 579,104 Going Level Purchased water 575,838 Increase -3,266 To provide for the addional purchased water required for the 48 new Project customers (3,000 gallmo x @I.89 Mgal) 904 Uncollectible Accounts A-2 Proforma Water Sales + Penalties 1,005,903 Recommended Uncollectible Rate 3% Proforma Uncollectibles 5,030 Going Level Uncollectibles 4,223 Increase 806 To provide for uncollectibles at 3% of proforma sales plus penalties 6XX Phase 2 Project Expenses A-2 To provide for Phase 2 Project expenses as provided by Pentree 9,158 Engineers 408 1 Taxes Other Than Income Taxes A-4 Proforma Taxes Other Than Income Taxes 15,289 Going Level Taxes Other Than Income Taxes 14,934 Increase 355 To adjust to level of taxes other than income taxes estimated by Pentree Engineers in the current Project 427 Other Income Deductions A- 7 Proforma Other Income Deductions 187,469 Going Level Other Income Deductions 95,113 Increase 92,356 To provide for the long-term interest associated with the proposed Project loan. Prepared by Michael D. Griffith, CPA Page 27 STATEMENT H GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT -WATER PHASE II WATER EXTENSION PROJECT - RULE 42 EXHIBIT CASH FLOW ANALYSIS FOR THE FISCAL YEAR ENDED JUNE 30,2008 2008 GOING PER LEVEL GOING PROFORMA DESCRIPTION BOOKS ADJUSTMENTS LEVEL ADJUSTMENTS PROFORMA $ 0 $ $ '0 Available Cash: Id Operating income 8 913,722 $ 337,066 $ 1,250,788 $ 229,103 $ 1,479,892 a, Other lnwme 882,837 (882,379) 458 458 Id Total Available Cash 1,796,559 Q Yr Cash Reauirements: Operating Expenses (Includes Admin Fees) 938,434 48,298 986,732 22,388 1,009,121 Other Taxes 14,762 172 14,934 355 15,289 Total Cash Requirements P before Debt Service 953,196 48,470 1,001,666 22,743 1,024,410 0 1. Cash Available for Debt Service (A) 843.363 (593,783) 249,580 206,360 455,940 g Vehicle Replacement Revolving Account 25,000 25,000 25,000 5 Project Loan (PSI) 123,180 123,180 Long-Term Debt Interest 72,580 22,533 95,113 95,113 :: Long-Term Debt Principal 21,863 2,421 24,284 24,284 D Total Debt Service (B) 94,443 24,954 144,397 123,180 267,577 Debt Service Reserve Funding 9,444 4,995 14.440 9.818 24.258 Depreciation Reserve Funding 44,914 (13,633) 31,281 5,728 37,009 Surplus (Deficit) For Capital Additions 694,562 (610,100) 59,462 67,635 127,097 Capital Additions 0 48,000 48,000 48,000 OVERALL CASH SURPLUS (DEFICIT) 694,562 (658,100) 11,462 67,635 79,097 Percent of Coverage (A I B) Maximum Debt Service 94,443 119,397 242,577 % REVENUE INCREASE 36.9% 18.3% AVERAGE BILL - 4,500 GALLONS $ 33.23 $ 36.81 $ 43.45 PROPOSED RATE INCREASE % - 4,500 GALLONS 10.8% 18.0% "UNAUDITED" 1002 13sec0212 1O.wpd PUBLIC SERVICE COMMISSION OF WEST VIRGINIA CHARLESTON Entered by the PUBLIC SERVICE COMMISSION OF WEST VIRGINIA, in the City of Charleston, on the 12th day of February 2010. CASE NO. 10-02 13-PWD-CN GLEN WHITE-TRAP HILL PUBLIC SERVICE DISTRICT Application for a certificate of convenience and necessity to construct water system improvements at Posey-Saxon, the Cove Creek Project, in Raleigh County. NOTICE OF FILING On February 12, 2010, Glen White-Trap Hill Public Service District (District) filed an application for a Certificate to construct water system improvements at Posey-Saxon, the Cove Creek Project, in Raleigh County. The application is on file with and available for public inspection at the Public Service Commission, 20 1 Brooks Street, in Charleston, West Virginia. The District estimates that construction will cost approximately $3,87 1,400.00. It is proposed that the construction will be financed as follows: ARC Grant $1,000,000.00 USDA-RUS Grants (2) $ 371,400.00 USDA-RUS Loan $ 200,000.00 (4.75% interest for 38 years) USDA-RUS Loan $2,300,000.00 (3.625% interest for 38 years) The District anticipates that the water rates for its customers will not increase as a result of this Project. The District has two resale customers: Raleigh County Public Service District and the Town of Lester. The requested rates and charges are only a proposal and are subject to change (increases or decreases) by the Public Service Commission in its review of this filing. Pursuant to W. Va. Code $24-2- 1 1, IT IS ORDERED that the Glen White-Trap Hill Public Service District give notice of the filing of said application, by publishing a copy of this order once in a qualified newspaper as provided in W. Va. Code 559-3-1 et seq, published and of general Public Service Commission of West Virginia Charleston circulation in Raleigh County, making due return to this Commission of proper certification of publication immediately after publication. Anyone desiring to protest or intervene should file a written protest or notice of intervention within 30 days following the date of this publication unless otherwise modified by Commission order. Failure to timely protest or intervene can affect your right to protest aspects of this certificate case, including any associated rate increases, or to participate in future proceedings. All protests or requests to intervene should briefly state the reason for the protest or intervention. Requests to intervene must comply with the Commission’s rules on intervention set forth in the Commission’s Rules of Practice and Procedure. All protests and interventions should be addressed to Sandra Squire, Executive Secretary, P. 0.Box 8 12, Charleston, West Virginia 25323. IT IS FURTHER ORDERED that ifthere is no substantial protest to the Application received within said thirty day period, the Commission may waive formal hearing and grant the application based on the evidence submitted with said application and its review thereof. FOR THE COMMISSION: Sandra Squi43- Executive Secretary SSIS 1002 13s Public Service Commission of West Virginia Charleston 2