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Public Service Commission of Wisconsin Requests Additional Information from Stanley Municipal Waterworks

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— 1 min read

The Public Service Commission (Commission) of Wisconsin has issued a regulatory update requesting additional information from Stanley Municipal Waterworks (applicant) to process their application to construct improvements at the Central Water Treatment Plant and Well No. 3 in the City of Stanley. The Commission staff requires the applicant to provide responses to several questions and concerns, including a meeting with Ace Ethanol and Stanley Correctional Institute to discuss the impact of the proposed 48 percent rate increase on monthly water bills.

Key Takeaways:

  • The Public Service Commission of Wisconsin has issued a data request to Stanley Municipal Waterworks to provide additional information on their application to construct improvements at the Central Water Treatment Plant and Well No. 3.
  • The applicant must provide a summary of meeting minutes with Ace Ethanol and Stanley Correctional Institute within two weeks of receiving the letter.
  • Approximately 85 percent of the applicant's annual revenue requirement is comprised of fixed costs, which must be generated from water sales regardless of the amount sold.
  • The Commission staff calculates the rate impact for the proposed project at about 48 percent, which would increase the water bill for an average Residential customer from $47 to $70 per month.
  • Ace Ethanol represents approximately 50 percent and Stanley Correctional Institute represents approximately 30 percent of the applicant's total annual water sales by volume.
  • The applicant must describe their efforts to ensure that Ace Ethanol and Stanley Correctional Institute continue to purchase the same quantities of water as in the past few years.
  • The applicant has not implemented a municipal ordinance that prohibits customers located adjacent to a public main from drilling private wells.

Statistics:

  • Approximately 85 percent of the applicant's annual revenue requirement is comprised of fixed costs.
  • The rate impact for the proposed project is estimated at about 48 percent.
  • The proposed rate increase would increase the water bill for an average Residential customer using 3,000 gallons per month from $47 to $70.
  • Ace Ethanol represents approximately 50 percent and Stanley Correctional Institute represents approximately 30 percent of the applicant's total annual water sales by volume.

Sources:

  • Public Service Commission of Wisconsin: Application of the City of Stanley, as a Water Public Utility, for Authority to Construct Improvements at the Central Water Treatment Plant and Well No. 3, in the City of Stanley, Chippewa and Clark Counties, Wisconsin.
  • PSC REF#: 537510
  • Commission's Electronic Records Filing (ERF) system under the docket number 5670-CW-105.

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