Sec. 560.2. Abstracts from law

(a) Authority for uniform system of accounts.

This uniform system of accounts for waterworks corporations is established and issued by the Public Service Commission under the following provision of the Public Service Law (chapter 48 of the Consolidated Laws):

“Section 89-c, subdivision 3. The commission shall have power, in its discretion, to prescribe uniform methods of keeping accounts, records and books to be observed by waterworks corporations. It may also, in its discretion, prescribe by order forms of accounts, records and memoranda to be kept by such corporations. Notice of alterations by the commission in the required method or form of keeping a system of accounts shall be given to such corporations by the commission at least six months before the same shall take effect. Any other and additional forms of accounts, records and memoranda kept by such corporations shall be subject to examination by the commission.”

(b) Definition of waterworks corporation.

“Section 2, subdivision 27. The term “waterworks corporation,” when used in this Chapter includes every corporation, company, association, joint stock association, partnership and person, their lessees, trustees or receivers, appointed by any court whatsoever, owning, operating or managing any water plant or waterworks, except where water is distributed solely on or through private property solely for the use of the distributor or its tenants and not for sale to others. With respect to waterworks corporations having a property value of $30,000 or less, only the provisions of this Chapter relating to the regulation of water rates shall apply.”

“Section 5-b. Corporations formed to acquire property or to transact business which would be subject to the provisions of this Chapter, and corporations possessing franchises for any of the purposes contempleted by this Chapter, shall be deemed to be subject to the provisions of this Chapter although no property may have been acquired, business transacted or franchises exercised.”

Notation

Whenever the term waterworks corporation is used in this uniform system of accounts it shall be understood to have the inclusive meaning given it by the definitions quoted above. The term waterworks company is used in the same sense as waterworks corporation.