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Rate and Regulatory Matters
3 Months Ended
Mar. 31, 2016
Rate and Regulatory Matters [Abstract]  
Rate and Regulatory Matters

Note 2 Rate and Regulatory Matters

 

Middlesex-In April 2016, Middlesex filed a petition with the New Jersey Board of Public Utilities (the NJBPU) seeking approval to set a tariff rate under a purchased water adjustment clause to recover additional costs of less than $0.1 million for the purchase of treated water from a non-affiliated regulated water utility. We cannot predict whether the NJBPU will ultimately approve, deny or reduce the amount of the request.

 

Tidewater - Effective January 1, 2016, Tidewater increased its Delaware Public Service Commission-approved Distribution System Improvement Charge (DSIC) rate, which is expected to generate $0.2 million of annual revenues. A DSIC is a rate-mechanism that allows water utilities to recover investments in, and generate a return on, qualifying capital improvements to their water distribution system made between base rate proceedings.

 

Pinelands - In April 2016, the NJBPU approved $0.2 million and $0.1 million increases, respectively, in Pinelands Water and Pinelands Wastewater's annual base water and wastewater rates. In October 2015, the companies had filed petitions with the NJBPU seeking permission to increase base rates by approximately $0.5 million per year. The rate filings were necessitated by capital infrastructure investments the companies have made, or have committed to make, increased operations and maintenance costs and lower non-fixed fee revenues. The Pinelands Water base water rate increase will be phased-in over two years.

 

Twin Lakes - In November 2015, Twin Lakes filed a petition with the Pennsylvania Public Utilities Commission (the PAPUC) seeking permission to increase its base water rates by approximately $0.2 million per year. This request was necessitated by capital infrastructure investments Twin Lakes has made, or committed to make, and increased operations and maintenance costs. In March 2016, Twin Lakes, along with the regulatory agencies intervening in the rate matter, submitted a joint petition of settlement with the administrative law judge (ALJ), which recommends a $0.1 million rate increase to be phased in over two years. We cannot predict whether the ALJ or, ultimately, the PAPUC will approve, deny, or change the amount of the settlement. A final decision is expected during the second quarter of 2016.