3 AAC 52.715. Public convenience and necessity finding for new utilities

(a) An entity that proposes to provide water or wastewater utility service through a system that is not yet built may not begin construction of the system until the commission determines that the public convenience and necessity requires the service.

(b) An entity described in (a) of this section must file an application for a finding of public convenience and necessity that includes the following:

(1) all information required by 3 AAC 52.710(b) (l) - (4), (6) - (8), (10) - (11), (14), and (18);

(2) an estimate of the cost to design and install the system in compliance with applicable requirements of 18 AAC 80 for a public water system or 18 AAC 72 for a domestic wastewater system;

(3) a projection of revenues and expenses, including capital recovery, for the first full fiscal year after the utility begins collecting fees from customers; if the estimated expenses exceed the estimated revenues, the source of supplemental money that is anticipated to sustain the utility's operation must be identified;

(4) if another utility provides similar service within one mile of the applicant's proposed service area, an explanation why connection to the existing service is not in the customer's interest;

(5) any additional filings the commission requires to explain or supplement the information filed under this subsection.

(c) The commission will determine if an application for a finding of public convenience and necessity is complete within 15 business days after the receipt of an application. An incomplete application will be handled as provided in 3 AAC 48.650.

(d) The commission will give notice of an application for a finding of public convenience and necessity as provided in 3 AAC 48.645(a) .

(e) The commission will issue a finding of public convenience and necessity or deny the application within 90 days after the entity proposing to provide water or wastewater utility service files a complete application.

(f) If the commission determines that the public convenience and necessity does not require the entity's proposed utility service and denies the application, the entity may request a hearing in accordance with AS 42.05.171 .

History: Eff. 6/19/2004, Register 170

Authority: AS 42.05.141

AS 42.05.151

AS 42.05.221

AS 42.05.241

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