PSC-05-14-00001-EP Clarification of a Prior Commission Order  

  • 2/5/14 N.Y. St. Reg. PSC-05-14-00001-EP
    NEW YORK STATE REGISTER
    VOLUME XXXVI, ISSUE 5
    February 05, 2014
    RULE MAKING ACTIVITIES
    PUBLIC SERVICE COMMISSION
    EMERGENCY/PROPOSED RULE MAKING
    NO HEARING(S) SCHEDULED
     
    I.D No. PSC-05-14-00001-EP
    Filing Date. Jan. 16, 2014
    Effective Date. Jan. 16, 2014
    Clarification of a Prior Commission Order
    PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:
    Proposed Action:
    The Public Service Commission adopted an order clarifying the cost estimates and requirements for the public letting of engineering contracts of a prior order authorizing a financing agreement with the Environmental Facilities Corporation for the reconstruction of the West Valley Crystal Water Company distribution system.
    Statutory authority:
    Public Service Law, sections 89-f and 110
    Finding of necessity for emergency rule:
    Preservation of public health and general welfare.
    Specific reasons underlying the finding of necessity:
    This action is taken on an emergency basis, under Public Service Law §§ 89-f and 110, to clarify the requirements of a November 29, 2012 Commission Order (2012 Order) that authorized West Valley Crystal Water Company, Inc. (West Valley) to enter into a financing agreement with the Environmental Facilities Corporation (EFC) to fund the reconstruction of West Valley’s infrastructure. The 2012 Order required the public letting of engineering contracts and included projections for the cost elements of the reconstruction. Due to irregularities in the bidding process and a winning bid that was significantly higher than 2012 Order’s projection, EFC requested clarification of the Order’s terms from the Secretary to the Commission, and would not release the reconstruction funds until its concerns were met.
    Because the Secretary does have the authority to answer EFC’s questions, the Commission issued an order clarifying the terms of the 2012 Order. This is being done an emergency basis because West Valley’s system is in danger of failing and works needs to begin on its reconstruction as soon as possible to ensure there is no loss of service for its ratepayers.
    Subject:
    The clarification of a prior Commission Order.
    Purpose:
    To clarify the terms of a prior Commission Order to allow for the timely release of reconstruction funds.
    Substance of emergency/proposed rule:
    The Public Service Commission adopted an Order clarifying, on an emergency basis, the terms of a November 29, 2012 Commission Order (2012 Order) that authorized West Valley Crystal Water Company, Inc. (West Valley) to enter into a financing agreement with the Environmental Facilities Corporation (EFC) to fund the reconstruction of West Valley’s infrastructure. The 2012 Order required the public letting of engineering contracts and included projections for the cost elements of the reconstruction. The EFC requested clarification of the 2012 Order’s terms to confirm that the bidding process carried out by West Valley complies with the 2012 Order and that individual cost elements may deviate from the 2012 Order’s projections provided that the total cost of the loan is below the authorized amount. The Commission’s Order states that the bidding process as carried out in this case satisfies the terms of the 2012 Order and that individual cost elements.
    This notice is intended:
    to serve as both a notice of emergency adoption and a notice of proposed rule making. The emergency rule will expire April 15, 2014.
    Text of rule may be obtained from:
    Deborah Swatling, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, (518) 486-2659, email: Deborah.Swatling@dps.ny.gov
    Data, views or arguments may be submitted to:
    Kathleen H. Burgess, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, (518) 474-6530, email: secretary@dps.ny.gov
    Public comment will be received until:
    45 days after publication of this notice.
    Regulatory Impact Statement, Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement
    Statements and analyses are not submitted with this notice because the amended rule is within the definition contained in section 102(2)(a)(ii) of the State Administrative Procedure Act.
    (11-W-0059EP1)

Document Information

Effective Date:
1/16/2014
Publish Date:
02/05/2014