Highlights: PA PUC Public Session of December 17, 2009

Note: Audio from each public meeting is available on the Pennsylvania Public Utility Commission’s website for approximately six months.  To access the audio stream for this public meeting, please visit http://www.puc.state.pa.us/general/PMAudio.aspx.  The public meeting calendar and agendas may be viewed at http://www.puc.state.pa.us/general/public_meeting.aspx.

          At the December 17, 2009 Public Meeting of the Pennsylvania Public Utility Commission (“Commission”), the Commissioners adopted Staff’s recommendations for action by a vote of 5-0 on all items listed on the Main Agenda and Carry-In Agenda, except as reflected herein below under the respective Commission agenda headings.  Review of particular items addressed by the Commissioners at this Public Meeting which may be of interest are also addressed under the respective Commission agenda headings below.  Any relevant motions and statements are attached hereto and to the original of this Session Memo filed in the Public Meeting Agenda and Session Memo binder.  The next regular Public Meeting is tentatively scheduled for Thursday, January 14, 2010 at 10:00 a.m.  The minutes of the Public Meeting of November 19, 2009, were, by a vote of 5-0, approved without modification.

BUREAU OF TRANSPORTATION & SAFETY

• Donald Fix t/a Don Farr Moving Co., 2079774-TAS, R-2008-2079774.  Increase in rates.  West Mifflin, Allegheny County. Staff recommends that the Commission suspend Supplement No. 3 to Tariff Freight Pa. PUC No. 3, and that the carrier be offered the option of adopting a supplement reflecting changes recommended by the BTS.  This matter has been postponed.

• Donald Fix, Jr. t/a Hindman Moving & Storage, 2079778-TAS, R-2008-2079778.  Increase in rates.  Butler, Butler County.  Staff recommends that the Commission suspend Supplement No. 3 to Tariff Freight Pa. PUC No. 3 and Supplement No. 2, to Tariff Freight Pa. PUC No. 4, and that the carrier be offered the option of adopting a tariff reflecting changes recommended by the BTS.  This matter has been postponed.

• Personal Touch Transportation, LLC, 2128939-TAS, A-2009-2128939.  Application for the right to begin to transport as a common carrier by motor vehicle, persons in paratransit service.  Lancaster, Lancaster County.  Staff recommends that the Commission adopt the proposed order approving the application.  Vote of 5-0 with no discussion.

BUREAU OF AUDITS

• PECO Energy Company-Electric, 2128293-AUD, M-2009-2128293.  Tariff Electric - Universal Service Fund Charge and Supplemental Universal Service Fund Charge.  Staff recommends that the Commission approve the proposed USFC rate of 0.17 cents per KWH and proposed Supplement USFC rate of 0.05 cents per KWH, effective 1/1/10.  Statement of Commissioner Powelson is attached.  Vote of 5-0 with no further discussion.

• Metropolitan Edison Co., 2144764-AUD, M-2009-2144764.  Universal Service Charge Rate.  Staff recommends that the Commission approve the proposed Supplement No. 14 to Tariff Electric - Pa. PUC No. 50, reflecting a USC rate of $0.00588 per KWY, effective 1/1/10.  Statement of Commissioner Powelson is attached.  Vote of 5-0 with no further discussion. 

• Pennsylvania Electric Co., 2144792-AUD, M-2009-2144792.  Universal Service Charge Rate.  Staff recommends that the Commission approve the proposed Supplement No. 13 to Tariff Electric - Pa. PUC No. 79, reflecting a USC rate of $0.00902 per KWH, effective 1/1/10.  Statement of Commissioner Powelson is attached.  Vote of 5-0 with no further discussion.

• Pennsylvania Power Co., 2144793-AUD, M-2009-2144793.  Universal Service Charge Rate.  Staff recommends that the Commission approve the Supplement No. 61 to Tariff Electric - Pa. PUC No. 35, reflecting a USC rate of $0.01100 per KWH, effective 1/1/10.  Statement of Commissioner Powelson is attached.  Vote of 5-0 with no further discussion.

• PPL Electric Utilities Corp, 2145179-AUD, M-2009-2145179.  Universal Service Rider Rate.  Staff recommends that the Commission adopt the proposed Secretarial Letter directing PPL Electric Utilities Corporation to file by 12/18/09, a tariff supplement implementing a revised USF rate to become effective 1/1/10.  Statement of Commissioner Powelson is attached.  Vote of 5-0 with no further discussion.

OFFICE OF SPECIAL ASSISTANTS

• Holly Robbins v. PECO Energy Company, 2078299-OSA, C-2008-2078299.  Formal Complaint filed on 12/3/08, requesting a payment arrangement and that late charges not be assessed.  On 12/3/08, PECO filed an Answer and New Matter which, inter alia, denied the allegations that the Complainant is entitled to a new payment arrangement.  On 8/21/09, ALJ Jones issued an Initial Decision wherein she dismissed the complaint because the Complainants did not meet their burden of proof.  The Complainants filed Exceptions on 9/9/09.  No Reply Exceptions were filed.  Staff recommends that the Commission adopt the proposed Opinion and Order which denied the Complainants' Exceptions and adopts the ALJ's Initial Decision, as amended by this Opinion and Order.  Motion of Vice Chairman Christy that the Initial Decision of ALJ Jones be modified in accordance with this motion, that the Exceptions de denied, that the OSA prepare an Opinion and Order consistent with this motion, is attached.  Vote of 5-0 with no further discussion.

• Equitable Gas Co., 2088072-OSA, R-2009-2088072, C-2009-2091475,
  C-2009-2098330, C-2009-2100312.  Petition for Reconsideration filed on 10/15/09, of the Order of 9/3/09.  Equitable is asking the Commission to remove its modification and reinstate the TETCO capacity settlement term.  Staff recommends that the Commission adopt the proposed Opinion and order which grants, in part, the Petition for Reconsideration and remands the proceeding for further hearings.  Vote of 5-0 with no discussion.

• Pennsylvania Energy Savings Corp. Just Energy Pennsylvania Corp (JEPC), 2097544-OSA, A-2009-2097544.  Application filed on 3/18/09, seeking to become a licensed electric generation supplier in the service territory of Duquesne Light Company.  No Protests were filed.  JEPC filed supplemental information.  By Order entered 11/9/09, the Commission denied the application without prejudice on the ground that the applicant is not fit and able to properly perform the proposed service.  On 11/20/09, JEPC filed the instant Petition for Reconsideration.  No answers were filed.  By Opinion and Order entered 12/7/09, the Commission granted reconsideration pending review of, and consideration on, the merits.  Staff recommends that the Commission adopt the proposed Opinion and Order, which grants reconsideration and grants the license subject to conditions.  The Dissenting Statement of Vice Chairman Christy stating that denied both applications once and "we do not rubber stamp these applications", and this will be monitored very closely, is attached.  Vote of 4-1 with no further discussion.

• Pennsylvania Energy Savings Corp. Just Energy Pennsylvania Corp (JEPC), 2098011-OSA, A-2009-2098011.  Application filed on 3/18/09, to operate as a supplier of natural gas supply services and a broker/marketer and aggregator engaged in the business of supplying natural gas services in the service territory of Columbia Gas of PA, Inc.  No Protests were filed.  JEPC filed supplemental information.  By Secretarial Letter dated 4/13/09, the Commission advised JEPC that the 45-day period for processing the license application was extended until further Order of the Commission.  By Order entered 11/9/09, the Commission denied the application without prejudice on the ground that the applicant is not fit and able to properly perform the proposed service.  On 11/20/09, JEPC filed the instant Petition for Reconsideration.  By Opinion and Order entered 12/3/09, the Commission granted reconsideration pending review of, and consideration on, the merits.  Staff recommends that the Commission adopt the proposed Opinion and Order, which grants reconsideration and grants the license subject to conditions.  The Dissenting Statement of Vice Chairman Christy stating that denied both applications once and "we do not rubber stamp these applications", and this will be monitored very closely, is attached.  Vote of 4-1 with no further discussion.

• Bureau of Transportation & Safety v. Twin Moving & Storage Co., Inc., 2103276-OSA, C-2009-2103276.  Application filed on 4/20/04, for household goods authority.  On 5/23/05, the Application was dismissed for noncompliance.  On 7/28/09, BTS instituted a Complaint alleging that the Respondent held itself out to transport household goods for compensation, while not then holding a Certified issued by the Commission.  BTS requested that a civil penalty of $1,000 be imposed.  On 8/11/09, the Respondent filed an Answer to the Complaint.  On 9/15/09, the Respondent and the Commission's Law Bureau Prosecutory Staff filed a Settlement Agreement in order to satisfy the Complaint.  As part of the Settlement, the proposed penalty of $1,000 is reduced to $500.  Staff recommends that the Commission adopt the proposed Opinion and Order which approves the proposed Settlement.  This matter has been withdrawn.

BUREAU OF FIXED UTILITY SERVICES

• Palmco Power PA, LLC, 2108338-FUS, A-2009-2108338.  Application filed on 5/20/09, for a license to offer, render, furnish or supply electricity or electric generation services for retail electric residential commercial and industrial customers in the service territories of PECO, Duquesne, PPL, Met Ed, Penelec, Pike County Light, Penn Power, and Allegheny Power.  Staff recommends that the Commission adopt the proposed Order which approves the application.  Vote of 5-0 with no discussion.

• Duquesne Light Company, 2124035-FUS, A-2009-2124035.  Letter of Notification filed on 8/2/09, for the construction of a 7.8 mile long single circuit 345 kV transmission line in the City of Pittsburgh, Municipality of Penn Hills, Verona Borough, and Plum Boro, Allegheny County,  A protest was filed but no hearing has been held.  Staff recommends that the Commission adopt the proposed Order that denies the application.

• Aqua Pennsylvania, Inc., 2136801-FUS, A-2009-2136801.  Application filed on 10/9/09, for the approval of acquisition of the water system assets of Paupackan Lake Association, Inc.; and, the right to begin to offer, render, furnish or supply water service to the public in a portion of Lake Township and an additional portion of Paupack Township, Wayne County, PA.  Proofs of service and publication to appropriate entities were submitted.  No protests were filed and no hearings were held.  Staff recommends that the Commission adopt the proposed Order that approves the application.

• Aqua Pennsylvania, Inc., 2138294-FUS, A-2009-2138294.  Application filed on 10/19/09, for the approval of the acquisition of the water system assets of Athens Township Authority, situated in a portion of the Township of Athens, Bradford County, which is located within Aqua's existing service territory; and, for confirmation of its authority, or such approvals and certificates as may be necessary granting authority, to offer, render, furnish and supply water service throughout the entirety of the Boroughs of Sayre, Athens, South Waverly and Township of Athens, Bradford County.  Staff recommends that the Commission adopt the proposed order that approves the application.  Vote of 5-0 with no discussion.

• XO Communications Services, Inc., 2138338-FUS, R-2009-2138338,
  R-2009-2138337.  Supplement 8 to Tariff Telephone Pa. P.U.;C. No. 13 and Supplement No. 8 to Tariff Telephone Pa. P.U.C. No. 11, filed on 10/28/09, proposing to modify billing dispute language to become effective 11/28/09.  On 11/10/09, the Commission issued a letter extending the review period of the filings by 30 days.  On 12/2/09, Verizon PA, Verizon North, Verizon Select Services, Bell Atlantic d/b/a Verizon Long Distance, Verizon Global Networks, Inc., MCImetro Access Transmission Services Inc. (collectively Verizon) filed a letter of complaint requesting that the Commission investigate the above-captioned tariff revisions.  Staff recommends that the Commission adopt the proposed Order.  This matter has been withdrawn by the Bureau.

• Verizon Pennsylvania Inc., 2139409-FUS, R-2009-2139409, P-2009-2139452.  2010 Annual Price Change Opportunity Filing and Tariff Changes to Telephone Tariff Pa. P.U.C. Nos. 180A, 182, 182A, 185B, 185C, and 500.  Report filed on 11/2/09, requesting a $7.353 million increase in rates from the implementation of its PCO.  No protests were filed and no hearings were held.  Staff recommends that the Commission adopt the proposed Order approving the proposed rate increases.  Statement of Vice Chairman Christy is attached.  Vote of 5-0 with no further discussion.

COMBINED BUREAU AGENDA

• Pennsylvania Utility Co. - Water, 2103937-FUS, R-2009-2103937.  Supplement No. 1 to Tariff Water - Pa. P.U.C. No. 1 (Corrected to Supplement No. 2 to Tariff Water-Pa. P.U.C. No. 1) filed on 10/30/09, proposing an annual increase in rates of $112,309 (69.4% to become effective 12/29/09, and based on a future test year ending 12/31/09.  The Commission granted extensions of time for filing the general rate increase request.  Formal Complaints have been filed.  Staff recommends that the Commission adopt the proposed Order that suspends the tariff and institutes an investigation.  Vote of 5-0 to the extent it is consistent with 2103937-OTS.

• Pennsylvania Utility Co. - Water, 2103937-OTS, R-2009-2103937.  Supplement Tariff No. 2 Water - Pa. PUC No. 1, filed on 10/30/09, to become effective 12/29/09, proposing an increase of $112,309 or 69.4%.  Staff recommends that the Commission institute an investigation and suspend the filing for a period of 7 months, or through 7/29/10.  Vote of 5-0 to the extent it is consistent with 2103937-FUS.

• Pennsylvania Utility Co-Wastewater, 2103980-FUS, R-2009-2103980.  Supplement No. 1 to Tariff Wastewater - Pa. P.U.C. No. 1 (Corrected to Supplement No. 2 to Tariff Wastewater - Pa. P.U.C. No. 1), filed on 10/30/09, proposing an annual increase in rates of $369,827 (232.8%) to become effective 12/29/09, and based on a future test year ending 12/31/09.  By letters dated 5/4/09 and 7/28/09, the Commission granted an extension of time for filing the general rate increase request.  Formal Complaints have been filed.  Staff recommends that the Commission adopt the proposed Order that suspends the tariff and institutes an investigation.  Vote of 5-0 to the extent it is consistent with 2103980-OTS. 

• Pennsylvania Utility Co-Wastewater, 2103980-OTS, R-2009-2103980.  Supplement Tariff No. 2 Wastewater - Pa. PUC No. 1, filed on 10/30/09, to become effective 12/29/09, proposing an increase of $369,827 or 232.8%.  Staff recommends that the Commission institute an investigation and suspend the filing for 7 months, or through 7/29/10.  Vote of 5-0 to the extent it is consistent with 2103980-FUS.

LAW BUREAU

• Rulemaking - Amendment to Ch. 64, 1200232-LAW, L-00060179.  Provision of Basic Service Packages Plan by Local Exchange Carriers.  Staff recommends that the Commission adopt the Final Rulemaking order on Reconsideration and Revised Annex A.  Statement of Commissioner Pizzingrilli is attached.  Vote of 5-0 with no further discussion.

• Philadelphia Gas Works, 2136508-LAW, P-2009-2136508.  Petition filed on 10/16/09, requesting that the Commission issue a "Statement of Policy" explaining  how it intends to apply PGW's Cash Flow Ratemaking Method on a going forward basis.  Answers to the Petition were filed by numerous parties.  PGW filed a Reply to the Answers.  Staff recommends that the Commission adopt the proposed Order that, among other things, grants this Petition and Statement of Policy with modifications.  Motion of Commissioner Pizzingrilli that the proposed Statement of Policy should be issued for further public comment, that the staff recommendation is modified consistent with this Motion, that the Law Bureau prepare an Order consistent with this Motion and that the Order and proposed Statement of Policy should be served on the parties in this case and comments should be filed within thirty days of the entry date of the Order, is attached.  Vote of 5-0 with Vice Chairman Christy concurring in result only.

• Voluntary Energy Efficiency and Conservation Program, 2142851-LAW,
  M-2009-2142851.  Invitation for Electric Distribution Companies, not covered by Act 129, to file voluntary Energy Efficiency and Conservation Plans.  Staff recommends that the Commission adopt the proposed Secretarial Letter.  Statement of Commissioner Powelson is attached.  Vote of 5-0 with no further discussion.

OFFICE OF ADMINISTRATIVE LAW JUDGE

• Shyrock Brothers Inc. v. Uwchlan Township, 1200874-ALJ, C-20066648.  Formal Complaint filed 7/13/06, alleging that the township was operating as a de facto public utility outside of its corporate limits.  An Initial Decision was issued on 5/2/07, granting Shryocks' Motion for Partial Summary Judgment in part, and returned the remaining issues to OALJ for adjudication.  A Joint Petition for Settlement was filed 9/4/09.  Staff reviewed and advised that the Commission adopt ALJ Melillo's Recommended Decision approving the Settlement.  Vote of 5-0 with no discussion.

• Joseph and Krista Branco v. City of Lancaster Water Department, 210915-ALJ, F-2009-2101915.  Formal Complaint filed on 4/11/09, alleging a billing dispute.  Respondent filed its answer to the complaint on 5/9/09.  A hearing was held on 9/24/09.  Staff reviewed and advised that the Commission adopt ALJ Salapa's Initial Decision denying the complaint.  Motion of Chairman Cawley that the Initial Decision be reversed, the Complaint be sustained, the Respondent issue a credit to the Complainants for the difference between the amount billed of $1,809.39 and the amount paid of $50.62 plus any finance charges, that the OSA prepare an Opinion and Order consistent with this motion, is attached.  Vice Chairman Christy associated himself with Chairman Cawley's Motion.  Vote of 5-0 with no further discussion.

• Cooperstown Water Company, 2105668-ALJ, R-2009-2105668.  Supplement No. 19 to Tariff Water-Pa. P.U.C. No. 3, filed on 4/30/09, to become effective on 8/17/09, containing proposed changes in rates, rules and regulations calculated to produce additional annual revenues.  By Order dated 9/4/09, the Commission instituted an investigation and suspended the filing by operation of law until 3/17/10, unless otherwise directed by Order of the Commission.  By virtue of the Company's filing a tariff supplement agreeing to extend the statutory deadline to allow for mediation, the suspension date of 3/17/10 was extended to 5/17/10.  A mediation session was held on 9/3/09.  A Joint Petition for Settlement was agreed upon after the session and filed 9/29/09.  Staff reviewed and advised that the Commission adopt ALJ Dunderdale's Recommended Decision approving the Settlement.  Vote of 5-0 with no discussion.

CARRY-IN AGENDA

BUREAU OF AUDITS

• North East Heat & Light Co., 2134358-AUD, M-2009-2134358.  Request for relief from interest charges pursuant to 52 Pa. Code 53.66(d) related to overcollections.  Staff recommends that the Commission grant a waiver of its regulations under 52 Pa. Code 53.66(d) and a rate of 2% interest be applied to net overcollections experienced by NEH&L relating to the 12-month GCR reconciliation period ended 8/31/09.  Statement of Vice Chairman Christy is attached.  The Statement of Commissioner Gardner is also attached.  Vote of 5-0 with no further discussion.

BUREAU OF FIXED UTILITY SERVICES

• All matters approved as submitted.

LAW BUREAU

• All matters approved as submitted.

OFFICE OF ADMINISTRATIVE LAW JUDGE

• Trigen-Philadelphia Energy Corp, 2111011-ALJ, R-2009-2111011.  Supplement No. 5 to Tariff Heating and Cooling-Pa. P.U.C. No. 4, filed on 6/26/09.  The tariff supplement was suspended by operation of law until 8/1/10.  On 8/12/09 and 8/25/09, respectively, Large Steam Users Group and the Penn Trustees filed complaints.  On 8/21/09, Jefferson University and Hospital filed a Petition to Intervene.  Three mediation sessions took place on 10/6/09, 10/28/09, and 11/17/09.  On 11/25/09, a Joint Petition for Settlement was filed.  Staff reviewed and advised that the Commission adopt ALJ Nguyen's Recommended Decision approving the Settlement.  Vote of 5-0 with no discussion.

SUPPLEMENTAL CARRY-IN AGENDA

LAW BUREAU

• All matters approved as submitted.

NO ANNOUNCEMENTS

NEXT PUBLIC MEETING IS TENTATIVELY SCHEDULED FOR THURSDAY, JANUARY 14, 2010 AT 10:00 A.M.

* Denotes Order