Highlights: PA PUC Public Session of December 3, 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 3, 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, December 17, 2009 at 10:00 a.m.  The minutes of the Public Meeting of November 6, 2009, were, by a vote of 5-0, approved without modification.

BUREAU OF TRANSPORTATION & SAFETY

1. 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  This matter was withdrawn by the Bureau of Transportation and Safety.

1. 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  This matter was withdrawn by the Bureau of Transportation and Safety.

1. Law Bureau Prosecutory Staff v. Columbia Gas of PA, Inc., 1203515-OSA,
   C-20077249.  Explosion and fire occurred on 8/10/06, at a residence in Mt. Pleasant Township.  On 1/4/07, LBPS filed a Complaint against Columbia alleging that the occurrence resulted from various violations of 49 CFR Part 192 and Columbia’s policy regarding Control Program for Areas of Active Corrosion. A Settlement Agreement was filed with the Commission on 3/12/08. On 5/6/09, the Commission issued a Secretarial Letter notifying the Parties that the information provided was insufficient for the Commission to evaluate the proposed settlement. The Commission requested that the Parties file additional information within 60 days. The LBPS filed a response on 7/1/09 and Columbia filed a response on 7/2/09. By Tentative Order issued 9/4/09, the Commission proposed a modification in the settlement and published the Settlement Agreement for comment. On 9/24/09, comments were filed by the LBPS and PULP.  Staff recommends that the Commission adopt the proposed Opinion and Order, approving the Settlement Agreement as modified by the Commission’s Tentative Order of 9/4/09.  Vote of 3-2 with Commissioner Powelson and Commission Pizzingrilli dissenting.

1. Law Bureau Prosecutory Staff v. Columbia Gas of PA, Inc., 1505396-OSA, M-2009-1505396.  Excavation contractor at a property in German Township, Fayette County, on 9/7/07, struck an unmarked two-inch plastic gas service line owned by Columbia. On 8/24/07, the Commission’s Gas Safety Division evaluated Columbia’s pipeline facility damage records for the property. The evaluation found that Columbia’s facility locator contractor failed to locate the idle service line.  LBPS alleged that Columbia had violated 49 CFR Part 192.614(5) regarding damage prevention and 52 Pa. Code § 59.37 regarding maps, plans and records. LBPS and Columbia engaged in negotiations and a Settlement Agreement was executed in 8/09.  It was filed with the Commission on 8/2/609.  Staff recommends that the Commission adopt the proposed Opinion and Order issuing the Settlement Agreement for comment.  Statement of Vice Chairman Christy is attached.  Vote of 5-0 with no further discussion.

1. T W Phillips Gas & Oil Co., 2013026-OSA, R-2008-2013026, R-2008-2075250.  Opinion and Order entered on 7/29/09, adopted ALJ Nene's Recommended Decision approving the Settlement resolving all issues in the TWP's 2009 purchased gas cost (PGC) proceeding docketed at R-2008-2075250.  The ALJ also recommended that TWP's 2008 PGC modification proceeding, at Docket No. R-2008-2013026, that had been consolidated with TWP's 2009 PGC proceeding be remanded for further hearing.  The Commission adopted the ALJ’s Recommended Decision in its Order entered 7/29/09. Bison Resources Corporation filed a Petition for Reconsideration on 8/13/09, asking the Commission to reverse or vacate its Order with regard to the remand of TWP’s 2008 PGC modification proceeding. By Order entered 8/27/09, the Commission granted the Petition, pending review and consideration on the merits.  Staff recommends that the Commission should adopt the Opinion and Order that denies Bison's Petition for Reconsideration.  Dissent of Vice Chairman Christy with Chairman Cawley associating himself with the dissent is attached.  Vote of 3-2 with no further discussion.

1. Delphine Matthews v. Philadelphia Gas Works, 2029557-OSA, C-2008-2029557.  Formal complaint filed on 2/11/08.  On 4/2/08, PGW filed a timely Answer. A hearing was held on 10/15/08. By Initial Decision issued on 12/30/08, ALJ Koster dismissed the Complaint. The Complainant filed Exceptions on 1/16/09.  PGW filed timely Replies to Exceptions on 3/16/09.  By Order entered 4/17/09, the Commission denied the Exceptions and adopted the Initial Decision.  On 5/4/09, the Complainant filed a Petition for Reconsideration.  On 5/18/09, PGW filed a Certificate of Satisfaction. By Order entered 7/28/09, the Commission vacated the Order entered 4/17/09, treated the Certificate of Satisfaction as a Motion to Withdraw a Pleading, and permitted the parties 60 days to submit information in support of said Motion. On 8/12/09, PGW filed a Petition for Reconsideration. The Complainant did not file an Answer. By Order entered 8/27/09, we granted the Petition pending further review on the merits.  Staff recommends that the Commission adopt the proposed Opinion and Order which denies reconsideration.  Vote of 3-2 with Commissioners Powelson and Pizzingrilli dissenting. 

1. Penelec and Met Ed, 2036188-OSA, 2036188-OSA, M-2008-2036188,
   C-2008-2041260, C-2008-2042292, C-2008-2042426, M-2008-2036197, C-2008-2041212, C-2008-2042277, C-2008-2042339, M-2008-2036197.  Initial Transmission Service Charge (TSC) filed on 4/14/08.  Penelec's filing is in Supplement No. 5, to its Tariff Electric-Pa P.U.C. No. 79, and Met Ed's filing is in Supplements Nos. 5 and 6 to its Tariff Electric-Pa. P.U.C. No. 50.  Complaints to Penelec's TSC were filed by OSBA, the Met Ed Industrial Users Group, the Penelec Industrial Customer Alliance, and OCA.  Penelec filed timely answers to the Complaints of the OSBA, the OCA and the MEIUG/PICA.  Complaints to Met Ed's TSC were filed by the OSBA, the MEIUG, the PICA and the OCA.  Med Ed filed timely answers to the Complaints.  On 8/11/09, the Recommended Decision of ALJ Meehan was issued.  Exceptions and Reply Exceptions were filed by various Parties.  Staff recommends that the Commission adopt the proposed Opinion and Order which modifies the Recommended Decision and denies the Exceptions filed by the Parties.  This matter has been postponed until Public Meeting of December 17, 2009.

1. Charles Gallagher Jr. v. PECO Energy Company, 2075240-OSA, C-2008-2075240.  Formal Complaint filed on 11/6/08, alleging that his electric and gas service was erroneously transferred to an individual based on that individual's phone call and subsequently the account was closed.  When the error was discovered, his old account could not be reinstated.  He alleged that he had to give his bank account information in order to start a new budget billing plan, and asks for an investigation of PECO's practice.  The Initial Decision, issued 8/20/09, by ALJ Nguyen sustained the Complaint and ordered PECO to cease and desist from further violations of the Commission's regulations, 52 Pa. Code §56.16, and the Public Utility Code, 66 Pa. C.S. §1501.  PECO filed Exceptions 0n 9/10/09.  No Reply Exceptions were filed.  Staff recommends that the Commission adopt the proposed Opinion and Order that grants, in part, and denies, in part, the Exceptions and modifies the Initial Decision.  Vote of 4-1 with Commissioner Powelson dissenting.

1. 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.  This matter has been postponed until Public meeting of December 17, 2009.

1. Met Ed, Penelec, and Penn Power (First Energy), 2112849-OSA, M-2009-2112849.  Between 8/11/08 and 8/26/08, the companies terminated 492 customers without providing the required 10-day notice. Following an informal investigation a Settlement Agreement was filed on 6/10/09. The Settlement Agreement, inter alia, requires FirstEnergy to pay a civil penalty of $50,000, to make a $150,000 contribution to the Dollar Energy Fund, and to make restitution adjustments ranging between $50 and $200 to affected customers’ bills. By Opinion and Order entered 8/20/09, the Commission requested Comments on the Proposed Settlement, as amended by the Opinion and Order. Comments were received by the DEF, LBPS and PULP.  Reply Comments were submitted by FirstEnergy.  Staff recommends that the Commission adopt the proposed Opinion and Order which approves the Settlement Agreement, as amended by this Opinion and Order.  Vote of 3-2 with Commissioners Powelson and Pizzingrilli dissenting.

BUREAU OF FIXED UTILITY SERVICES

1. Duquesne Light Company, 2124035-FUS, A-2009-2124035.  letter of Notification filed on 8/2/09  A protest was filed but no hearing had been held.  Staff recommends that the Commission adopt the proposed Order.  This matter has been withdrawn by the Bureau of Fixed Utility Services.

1. AT&T Communications of PA LLC, 2130384-FUS, R-2009-230384.  Supplement No. 3 to Telecommunications Relay Service Tariff Pa. P.U.C. No. 24, filed on 9/10/09, for a rate increase in the session price per minute for providing intrastate relay service, to become effective 10/11/09.  By Secretarial Letter issued 9/21/09, Staff extended the effective date to 11/10/09.  The Company filed a voluntary postponement to further extend the filing until 12/11/09.  Staff recommends that the Commission adopt the proposed Order.  Statements of Vice Chairman Christy and Commissioner Pizzingrilli are attached.  Vote of 5-0 with no further discussion. 

LAW BUREAU

1. Full Service Network, L.P., 2097542-LAW, P-2009-2097542.  Petition for a Declaratory Order or, in the Alternative, an Exemption/Waiver of Various Chapter 64 Regulations as Applied to Prepaid Landline Service.  Staff recommends that the Commission adopt the Order that grants in part, and denies in part the petition.  Vote of 5-0 with no discussion.

1. 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.  This matter has been postponed until Public Meeting of December 17, 2009.

1. United Telephone Co. d/b/a CenturyLink, 2139215-LAW, P-2009-2139215.  Petitions for bona fide retail request deployment extensions of six-months relating to its Hewitt CSA 024 (Town Creek Road), Hewitt CSA 025 (Bear Camp), Hewitt CSA 023 (Flinstone Creek), and State Line CSA 021 (Beans Cove) pursuant to 66 Pa. C.S.
   § 3014(c)(5).  CenturyLink asserts in each case that the delay was attributable to factors beyond its control.  Staff recommends that the Commission adopt the proposed Order granting the petition.  Statement of Vice Chairman Christy is attached.  Commissioner Pizzingrilli is associating herself with Vice Chairman Christy's Statement.  Vote of 5-0 with no further discussion.

1. Proposed Policy Statement-Default Service & Retail Electric Markets, 2140580-LAW, M-2009-2140580.  Amends Title 52, Chapter 69, such that our current Policy Statement will be consistent with Act 129.  Staff recommends that the Commission adopt the Proposed Policy Statement.  This matter has been postponed until Public Meeting of December 17, 2009.

OFFICE OF ADMINISTRATIVE LAW JUDGE

1. Aretta Greenawald v. Verizon PA, 2051784-ALJ, F-2008-2051784.  Formal complaint filed on 6/28/08, alleging a billing dispute with respect to directory assistance charges on her telephone bill.  On 8/11/08, Verizon filed an answer.  A hearing was held on 4/7/09.  Commission staff reviewed and advised that the Commission adopt ALJ Meehan's Initial Decision dismissing the complaint for failure to satisfy the burden of proof.  Motion of Vice Chairman Christy that the Initial Decision of ALJ Meehan is adopted consistent with this Motion, that the Law Bureau, in conjunction with BCS investigate the billing of directory assistance calls by Verizon PA to ensure that they conform with the Public Utility Code 66 Pa. C.S. §§ 101, et seq., and the Commission's regulations, 52 Pa. Code §§ 1.1, et seq., that the Law Bureau, in conjunction with BCS conclude the investigation within 6 months of the entry date of this Order and report its findings to the PUC, that the OSA prepare an Opinion and Order consistent with this motion, that the Formal Complaint filed by Aretta M. Greenawald be dismissed with prejudice and that the Commission's Secretary shall mark this docket as closed, is attached.  Vote of 5-0 with no further discussion.

1. Earl McCarroll v. UGI Penn Natural Gas Company, 2090228-ALJ, C-2009-2090228.  Complaint filed on 2/11/09, alleging UGI is requiring payment to install a natural gas line that will provide natural gas service to his residence.  Complainant is requesting the Commission to direct UGI to install a gas line to Complainant's property at no additional charge.  On 3/9/09, UGI filed an answer to the complaint.  A hearing was held on 7/14/09.  Staff reviewed and advised that the Commission adopt ALJ Salapa's Initial Decision denying the complaint.  Motion of Vice Chairman Christy that the Initial Decision of ALJ Salapa issued 8/17/09 be modified in accordance with this motion and that the OSA prepare an Opinion and Order consistent with this motion, is attached.  Vote of 5-0 with no further discussion.

1. Robert W. Miller v. Verizon PA, 2094937-ALJ, C-2009-2094937.  Formal Complaint filed on 3/5/09, alleging billing issues and some long-standing service problems.  VZN filed its Answer and New Matter on 4/8/09; and, filed a Preliminary Objection, with a ten-day Notice to Plead, seeking preliminary dismissal of the complaint.  By Order dated 5/4/09, the Preliminary Objections were denied.  On 6/3/09, VZN filed a Petition for Issuance of a Protective Order, which the ALJ granted by Order dated 6/10/09.  Staff reviewed and advised that the Commission adopt ALJ Melillo's Initial Decision sustaining the complaint.  Motion of Commissioner Gardner that the Initial Decision be modified, Verizon North be ordered to pay a civil penalty of $5,000.00 and that the OSA prepare an Opinion and Order consistent with this Motion to both a public and a proprietary version, is attached and also Vice Chairman Christy is associating himself with this Motion.  Vote of 5-0 with no further discussion.

1. Joseph and Kirsta Branco v. City of Lancaster Water Department, 2101915-ALJ, C-2009-2094937.  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.  This matter has been postponed until Public Meeting of December 17, 2009.

1. Robert Redinger, Jr. v. Allegheny Power, 2112766-ALJ, F-2009-2112766.  Formal Complaint filed on 6/5/09, alleging a billing dispute.  West Penn filed its answer on 6/30/09.  A hearing was held on 01/6/09.  Staff reviewed and advised that the Commission adopt ALJ Nene's Initial Decision dismissing the complaint with prejudice for failure to prosecute.  Motion of Commissioner Gardner that the Initial Decision be modified consistent with this Motion and that the OSA prepare an Opinion and Order consistent with this Motion, is attached.  Vote of 5-0 with no further discussion.

NO ANNOUNCEMENTS

NEXT PUBLIC MEETING IS TENTATIVELY SCHEDULED FOR THURSDAY, DECEMBER 17, 2009 AT 10:00 A.M.

* Denotes Order