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Public Service Commission


NEWS RELEASE


02/16/2012 Contact: 850-413-6482

PSC Lowers AUF Revenue Requirement; Encourages Continued Service and System Improvements


TALLAHASSEE — Florida’s Public Service Commission (PSC) has approved a revenue requirement of $15,871,146 for Aqua Utilities Florida, Inc. (AUF), which had requested $17,186,014, reflecting a $1.3 million decrease.  The Commission also reduced the company’s return on equity by 50 basis points from a proposed 9.76 to 9.26 percent, reflecting its determination that AUF’s quality of service was “marginal.”

While noting AUF’s improved service quality since the last rate case, Commissioners said more work was needed and directed AUF to file quarterly compliance reports with the PSC on improvements to aesthetic water quality, customer notifications for boiled water requirements, compliance with environmental requirements, and certain call center statistics.

“Although AUF continues to improve its systems, we listened to customers and determined the utility’s service to be marginal, while also lowering its allowed revenue,” said PSC Chairman Ronald A. Brisé.  “We will continue to monitor AUF’s service and encourage further system upgrades.”

The Commission approved two rate bands for AUF’s water and wastewater customers.  AUF’s monthly water rates for residential customers using 7,000 gallons are: $44.37 for Rate Band 1 and $68.30 for Rate Band 2.  Wastewater rates for residential customers using 6,000 gallons are: $69.97 for Rate Band 1 and $87.53 for Rate Band 2.  There is a separate rate band for general service-only wastewater customers.

AUF filed a proposed agency action (PAA) rate increase application with the PSC in September 2010, and the Commission acted on the petition in May 2011 granting a revenue requirement of $16,044,446.  OPC and other intervenors protested the Commission’s final order, which, by Florida Statute, triggers a full rate case.  Last August-October, Commissioners attended 10 customer service hearings in AUF’s service territory and heard from hundreds of customers about the Utility’s proposed rate increase and its quality of service.  Commissioners included a hearing in Chuluota, though the system is not included in this petition, to hear from customers about AUF’s service improvements resulting from its Commission-directed monitoring plan.

This case included approximately 17,154 water and 6,595 wastewater customers served by AUF’s 58 water and 27 wastewater systems in 17 Florida counties.

Customers who have service quality or billing concerns can call the PSC’s Consumer Assistance toll free number at 800-342-3552.  For additional information, visit www.floridapsc.com.

Follow the PSC on Twitter, @floridapsc.

 

Water and Wastewater Rate Bands
Aqua Utilities Florida, Inc. - Docket No. 100330-WS
Test Year Ending April 30, 2010
Listing of Systems Within Recommended Rate Bands
WATER
Commission Approved:
Rate Band 1=Prior Rate Band 1+Prior Stand Alone Systems
Jasmine LakesFairways
Kings Cove
Ocala Oaks
Picciola Island
Silver Lake Estates/Western Shores
Tangerine
Rate Band 2=Prior Rate Band 2+Prior Rate Band 3
(Capped Band)Carlton Village48 Estates
Fern TerraceGibsonia Estates
Grand TerraceInterlachen Lake/Park Manor
Lake Gibson EstatesLake Osborne Estates
Piney WoodsOrange Hill/Sugar Creek
Sunny HillsQuail Ridge
Valencia TerraceRavenswood
Venetian Village
+Prior Rate Band 4+Prior Stand Alone Systems
Arredondo Estates/FarmsBreeze Hill
Beecher's PointPeace River
East Lake Harris/Friendly Center
Haines Creek
Harmony Homes
Hermits Cove/St. Johns Highlands
Hobby Hills
Holiday Haven
Imerial Mobile Estates
Jungle Den
Kingswood
Lake Josephine/Sebring Lakes
Lake Suzy
Leisure Lakes
Morningview
Oakwood
Palm Port
Palm Terrace
Palms MHP
Pomona Park
River Grove
Rosalie Oaks
Silver Lake Oaks
Skycrest
Stone Mountain
Summit Chase
The Woods
Tomoka
Twin Rivers
Village Water
Welaka
Wootens
Zephyr Shores
Source: Staff Recommendation, Dkt. No. 100330-WS (post-hearing), Attachment 1, pp. 238-239.
WASTEWATER
Commission Approved:
Rate Band 1=Prior Rate Band 1
Kings Cove
Leisure Lakes
Summit Chase
Valencia Terrace
Rate Band 2=Prior Rate Band 2+Prior Rate Band 3+Prior Stand Alone Systems
(Capped Band)Arredondo FarmsBeecher's PointBreeze Hill
Holiday HavenJungle DenFairways
Jasmine LakesLake Gibson EstatesPeace River
Lake SuzyRosalie Oaks
Morningview
Palm Port
Palm Terrace
Park Manor
Silver Lake Oaks
South Seas
Sunny Hills
The Woods
Venetian Village
Zephyr Shores
Rate Band 3=Prior Rate Band 4
General Service-Village Water
Only WastewaterFL Central Commerce Park
Source: Staff Recommendation, Dkt. No. 100330-WS (post-hearing), Attachment 3, p. 242.


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