Plain Text Law

Chapter 08. Establishing Rates for Small Sewage Disposal Companies

Regulation .01 Scope.Copy Citation

This chapter applies to small sewage disposal companies whose gross annual revenues for the most recent calendar year do not exceed $350,000.

Regulation .02 Definitions.Copy Citation

A.
In this chapter, the following terms have the meanings indicated.
B.
Terms Defined.
(1)
“Applicant” means a small sewage disposal company seeking a change in rates or rate design under the provisions of this chapter.
(2)
“Small sewage disposal company” means a sewage disposal company as defined in Public Utilities Article, §1-101, Annotated Code of Maryland eligible to seek a change in rates or rate design under the provisions of this chapter.
(3)
“Staff-assisted rate case” means a proceeding by which a small sewage disposal company may, under the conditions of this chapter, seek a rate increase or change in rate design.

Regulation .03 Waiver.Copy Citation

Upon application by an applicant, the Commission may waive the application of a regulation in this chapter to an applicant that demonstrates good cause.

Regulation .04 Development of a Staff-Assisted Rate Case.Copy Citation

A.
A Staff-assisted rate case shall be developed upon the submission of the following documents to the Commission’s Executive Director:
(1)
A letter requesting development of a staff-assisted rate case; and
(2)
A completed staff-assisted rate case application for a small sewage disposal company including all necessary attachments or exhibits.
B.
Upon receipt of all completed materials listed in §A of this regulation, the Commission’s technical staff shall send the applicant and the Maryland Office of People’s Counsel written notice that the application has been received, and the staff-assisted rate case shall be deemed submitted.
C.
If the application is not complete:
(1)
Technical staff shall give notice to the applicant in writing of any deficiencies;
(2)
The applicant shall have a reasonable opportunity, not to exceed 90 business days, after receipt of the notice to file information to remedy the indicated deficiencies; and
(3)
If deficiencies are not resolved in a timely manner, the applicant shall be informed in writing that the application for a staff-assisted rate case has been rejected.

Regulation .05 Staff-Assisted Rate Case Procedures.Copy Citation

A.
The procedures for a staff-assisted rate case are:
(1)
The Commission’s Accounting Investigations Division shall audit the small sewage disposal company’s books and records, including those relating to depreciation;
(2)
The Commission’s Engineering Division shall inspect the small sewage disposal 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 sewage disposal company’s revenue requirements 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.

Regulation .06 Stipulation and Settlement.Copy Citation

A.
The applicant, the Maryland Office of People’s Counsel, the Commission’s technical staff, and any other interested persons shall engage in negotiations for the purpose of reaching a settlement agreement.
B.
If an agreement is reached, it shall be reduced to writing in the form of a stipulation and settlement with such exhibits as are appropriate.
C.
A stipulation and settlement derived under §A of this regulation shall be filed with the Commission together with a summary letter from technical staff and the technical staff report.
D.
Upon filing as described by §C of this regulation, the stipulation and settlement shall be assigned a case number and treated as any other case which is filed with the Commission.
E.
If no agreement is reached under §A of this regulation, the applicant may file a request for a revision of its retail rates under Public Utilities Article, §§4-203(a) and 4-204, Annotated Code of Maryland.
Chapter annotations
Authority: Public Utilities Article, §§2-113, 2-121, and 4-203(c), Annotated Code of Maryland
History: Effective date: April 22, 2019 (46:8 Md. R. 402)