Sec. 20.70.09.05. Staff-Assisted Rate Case Procedures for a Small Water Company

A. The procedures for a staff-assisted rate case are:

(1) The Commission’s Accounting Investigations Division shall audit the small water company’s books and records, including those relating to depreciation;

(2) The Commission’s Engineering Division shall inspect the small water company’s facilities, provide a description of the various system components, evaluate the condition of the various system components, and evaluate the adequacy of service being provided;

(3) The Commission’s Telecommunications, Gas and Water Division shall establish a rate of return applicable to rates to be proposed for the applicant based on the work of the Accounting Investigations Division and the Engineering Division; and

(4) The work of the Commission’s technical staff shall be coordinated by the Office of Staff Counsel which, upon completion of all required work needed to propose rates, shall compile a report containing technical staff’s work papers, findings, and recommendation as to the small water company’s revenue requirement and rates which shall be forwarded to the Executive Director.

B. Upon approval from the Executive Director, technical staff’s report shall be sent to the applicant for its review and acceptance. Following the applicant’s acceptance, the report shall be sent to the Maryland Office of People’s Counsel and any known affected community association whose members are served by the applicant for the purpose of determining whether the proposed rates contained in technical staff’s report can be agreed upon.