Highlights: PA PUC Public Session of August 27, 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 August 27, 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, September 10, 2009 at 10:00 a.m.  The minutes of the Public Meeting of July 23, 2009, were, by a vote of 5-0, approved without modification.

BUREAU OF TRANSPORTATION & SAFETY

1. Lifestar Ambulance, Inc., 1195650-TAS, A-00122163.  Application for the right to begin to transport as a common carrier by motor vehicle, persons in paratransit service.  Staff recommends that the Commission adopt the proposed order approving the application.  Vote of 5-0 with no discussion.

1. George Strohmaier, 2035839-TAS, A-2008-2035839.  Application for the right to begin to transport as a common carrier by motor vehicle, persons in paratransit service.  Oxford, Chester County.  Staff recommends that the Commission adopt the proposed order approving the application.  Vote of 5-0 with no discussion.

1. All Care Ambulette and Car Services, Inc., 2042180-TAS, A-2008-2042180.  Application for the right to begin to transport as a common carrier by motor vehicle, persons in paratransit service.  Nazareth, Northampton County.  Staff recommends that the Commission adopt the proposed order approving the application.  Vote of 5-0 with no discussion.

1. Blaise Rolison T/A Pioneer City Cab, 2042566-TAS, A-2008-2042566.  Application for the right to begin to transport as a common carrier by motor vehicle, persons in paratransit service.  Staff recommends that the Commission adopt the proposed Tentative Order approving the application.  Dissenting Statement of Vice Chairman Christy is attached.  The Chairman vote no and associated himself with the Vice Chairman's Statement.  Vote of 3-2 with no further discussion.

1. Gene Leman T/A Bangor Cab, 2061044-TAS, A-2008-2061044.  Application for the right to begin to transport as a common carrier by motor vehicle, persons in paratransit service.  Upper Mt. Bethel, Northampton County.  Staff recommends that the Commission adopt the proposed Tentative Order approving the application.  Dissenting Statement of Vice Chairman Christy is attached.  The Chairman vote no and associated himself with the Vice Chairman's Statement.  Vote of 3-2 with no further discussion.

BUREAU OF AUDITS

1. Aqua Pennsylvania, 2081721-AUD, D-2008-2081721.  Management Efficiency Investigation Evaluating the Implementation of Selected Recommendations from the 2006 Focused Management and Operations Audit.  Staff recommends that the Commission makes the MEI Report and Aqua PA's Implementation Plan public.  Statement of Commissioner Pizzingrilli is attached.  Vote of 5-0 with no further discussion.

OFFICE OF SPECIAL ASSISTANTS

1. Law Bureau Prosecutory Staff v. Equitable Gas Co., 1197285-OSA,
   C-20065790.  Formal Complaint  filed on 1/19/08, alleging violations of state and federal law related to a gas explosion on 8/21/04.  On 8/22/08, the Commission issued a Tentative Order for comment.  Upon review of the comments, the Commission proposed that the payment of the civil penalty be redirected as contributions to Equitable's LIURP and Hardship Fund in its Order issued 7/6/09 for further comment.  Based on the comments, the Commission directed Equitable to contribute the monies to its Hardship Fund and its Hardship Repair Fund.  Staff recommends that the Commission adopt the proposed Opinion and Order approving the Settlement that directs Equitable to contribute $25,000 to its Hardship Fund and $25,000 to its Hardship Repair Fund.  Vote of 3-2 with Commission Powelson dissenting as well as Commissioner Pizzingrilli dissenting.

1. Marco & Peter Auto Transit, 1206349-OSA, A-00123759F0002.  Applicant currently holds authority to provide group and party service.  On 6/13/07, the Applicant filed for authority to commence paratransit service.  Protests were filed.  A hearing was held on 7/9/08.  On 2/23/09, ALJ Rainey issued his Initial Decision granting the Applicant contract carrier authority.  The Applicant filed Exceptions on 3/30/09.  Reply Exceptions were filed by Protestants Bucks County Transport, Inc. and Krapf's Coaches, Inc., on 4/6/09, and 4/9/09, respectively.  Staff recommends that the Commission adopt the proposed Opinion and Order which grants the Exceptions, in part, and modifies the Initial Decision.  Motion of Vice Chairman Christy that the Initial Decision be affirmed and that the OSA prepare the necessary Opinion and Order is attached.  Vote of 4-1 with Commissioner Gardner dissenting.

1. The Arc of Chester County, 1206446-OSA, A-00123938.  Application filed on 6/27/07.  A timely Protest was filed by Krapf's Coaches, Inc.  A hearing was held on 6/13/08.  ALJ Jones on 10/20/08, issued the Initial Decision, wherein she recommended that the Application be approved for a contract carrier permit.  No Exceptions were filed.  By Commission Order entered 2/13/09, ALJ Jones' Decision became final.  On 5/6/09, Krapf's filed the instant Motion to Dismiss the Application of ARC.  On 6/4/09, ARC filed a Response to the Motion.  Staff recommends that the Commission adopt the proposed Opinion and Order, which dismisses the Motion to Dismiss the Application of ARC.  Vote of 5-0 with no discussion.

1. Law Bureau Prosecutory Staff v. UGI, 2031571-OSA, M-2009-2031571.  Settlement filed on 7/28/09, pertaining to the investigation of an explosion that occurred on 12/9/06, in Allentown, PA.  The proposed Settlement calls for, among other things, the payment of a civil penalty of $80,000, the review and modification of operator training and qualification procedures as well as the review and revision of UGI's drug and alcohol program.  Staff recommends that the Commission adopt the proposed Opinion and Order that issues the Settlement Agreement for comments from interested parties.  This matter has been postponed until Public Meeting of September 10, 2009.

BUREAU OF FIXED UTILITY SERVICES

1. All matters approved as submitted.

COMBINED BUREAU AGENDA

1. Lake Spangenberg Water Company, 2115743-FUS, R-2009-2115743.  Tariff Water-Pa. P.U.C. No. 5, filed on 6/24/09, proposing an annual increase in rates of $92,292 - 300.0% (per Company) to become effective 9/1/09.  Formal Complaints have been filed.  Staff recommends that the Commission adopt the proposed Order.  Vote of 5-0 with no discussion.

1. Lake Spangenberg Water Company, 2115743-OTS, R-2009-2115743.  Tariff Water-Pa. P.U.C. No. 5, filed on 6/24/09 cancelling Tariff Water-Pa PUC No. 4, to become effective 9/1/09, proposing an increase of $92,292, or 300% in annual revenues.  Staff recommends that the Commission institute an investigation and allow the filing to be suspended by operation of law for a period of7 months, or through 4/1/10.  Vote of 5-0 with no discussion.

1. Newtown Artesian Water Company, 2117550-FUS, R-2009-2117550.  Supplement No. 67 to Tariff Water-Pa. P.U.C. No. 9, filed on 7/1/09, requesting approval to create a Purchased Water Adjustment Clause to become effective 9/1/09.  The Office of Consumer Advocate has filed a Formal Complaint.  Staff recommends that the Commission adopt the proposed Order.  Vote of 5-0 with no discussion.

1. Newtown Artesian Water Company, 2117550-OTS, R-2009-2117550.  Supplement No. 67 to Tariff Water-Pa PUC No. 9, filed on 7/1/09, to become effective 9/1/09, requesting approval of a Purchased Water Adjustment Clause ("PWAC") in the Company's tariff.  The Company will not be able to utilize the tariff.  The Company will not be able to utilize the PWAC until 9/1/10, consistent with the stay-out provision in the Company's recent general rate case (Docket No. R-2008-2042293).  Staff recommends that the Commission institute an investigation and allow the filing to be suspended by operation of law for a period of 7 months, or through 3/1/10.  Vote of 5-0 with no discussion.

OFFICE OF ADMINISTRATIVE LAW JUDGE

1. David A. Flick v. West Penn Power, 2057950-ALJ, C-2008-2057950.  Complaint filed on 8/1/08, requesting an affordable payment arrangement in an appeal from an earlier BCS decision.  On 9/8/08, WPP filed its answer.  A hearing was held on 2/25/09.  Staff reviewed and advised that the Commission adopt ALJ Nene's Initial Decision dismissing the complaint with prejudice.  Joint Motion of Commissioners Gardner and Powelson that the Initial Decision be modified so that the Formal Complaint is dismissed without prejudice and that the OSA prepare an Opinion and Order consistent with the Motion, is attached.  Vote of 5-0 with no further discussion.

1. Philadelphia HGI Associates LP v. Hess Corporation, 2069141-ALJ, C-2008-2069141.  Complaint filed 10/7/08, alleging a billing dispute.  Hess filed its answer and new matter 11/5/08.  A hearing was not held.  Staff reviewed and advised that the Commission adopt ALJ Koster's Initial Decision dismissing the case.  Dissenting Statement of Vice Chairman Christy is attached.  Vote of 4-1 with no further discussion.

1. UGI Penn Natural Gas Company, 2079660-ALJ, R-2008-2079660.  Original Tariff Gas - Pa. P.U.C. Nos. 8 and 8-S and Supplement No. 15 to Tariff Gas - Pa. P.U.C. No. 1, filed on 1/28/09,requesting an increase in annual revenues.  Also on 1/28/09, UGI CPG filed Supplement No. 38 to Tariff Gas - PA P.U.C. No. 3, and Supplement No. 18 to Tariff Gas PA P.U.C. No. 3S requesting an increase in annual revenues.  The cases were consolidated for hearing and decisional purposes. The parties involved in litigation filed Joint Petitions for Settlement of all issues in both cases on 7/2/09.  Staff reviewed and advised that the Commission adopt ALJ Cocheres' Recommended Decision approving the Settlement Petitions with one minor modification regarding the treatment of customer complaints.  Statement of Chairman Cawley is attached.  Vote of 5-0 with no further discussion.

1. PECO Energy Company Electric, 2094494-ALJ, P-2009-2094494. Pursuant to the Alternative Energy Portfolio Standards Act of 2004, 73 P.S. §§ 1648.1 et seq., petition filed on 3/3/09, requesting:  (1) Approval of Proposals to procure up to 8,000 solar Tier 1 alternative energy credits annually for a 10-year period to satisfy a portion of its solar-related future AEPS requirements;  (2) Approval of form Solar AEC Purchase and Sale Agreement for use with any successful bidder, and in the event any affiliate of PECO is a successful bidder, approved for purposes of 66 Pa. C.S.§ 2102; and (3) Permit PECO's recovery of all costs related to and in compliance with its RFP consistent with its existing AEPs cost recovery tariff provision, as previously approved by the Commission at Docket No. P-00072260.  On 07/02/09, a Joint Petition for Settlement was filed.  Staff reviewed and advised that the Commission adopt ALJ Rainey's Recommended Decision approving the Settlement in its entirety without modifications.  Statement of Chairman Cawley as well as the Statement of Vice Chairman Christy are attached.  Commissioner Pizzingrilli is associates with the Chairman's Statement.  Vote of 5-0 with no further discussion.

CARRY-IN AGENDA

BUREAU OF FIXED UTILITY SERVICES

1. Orwell Natural Gas Company, 2074706-FUS, A-2008-2074706.  Amended joint application for approval to amend the Order entered 3/2/09 for the indirect transfer of control of the former to the latter, and the corporate reorganization of Energy West into a holding company structure.  Staff recommends that the Commission adopt the proposed Order.  Vote of 5-0 with no discussion.

ANNOUNCEMENTS

1. Compliments were given to Tom Charles with regards to the improvements made to the sound system.

NEXT PUBLICMEETING IS TENTATIVELY SCHEDULED FOR
THURSDAY, SEPTEMBER 10, 2009 AT 10:00 A.M. 

* Denotes Order