Elbridge, Village of - Supplemental Decision, February 15, 1995
Supplemental Decision, February 15, 1995
STATE OF NEW YORK : DEPARTMENT OF ENVIRONMENTAL CONSERVATION
50 Wolf Road
Albany, New York 12233-1550 In the Matter of
the application of the VILLAGE OF ELBRIDGE for the Fixation of Water Rates.
Water Supply Application No. 9039
SUPPLEMENTAL DECISION
February 15, 1995
Supplemental Decision of the Commissioner
On November 21, 1994, the Decision of the Commissioner was issued in the captioned matter based on a record that was developed at a hearing before Administrative Law Judge ("ALJ" ) John H. Owen. Subsequently, the Villages of Elbridge and Jordan asked that the Decision be reconsidered claiming that ALJ Owen's Hearing Report contains certain errors and that there were other issues which should be addressed. ALJ Owen notified the parties that he would examine their claims and prepare an Amended Hearing Report if any issue warranted reconsideration.
In the Amended Hearing Report, ALJ Owen acknowledges that the treatment of the costs for the transmission line and for equipment repairs was not treated consistently throughout the original Hearing Report. The Amended Report corrects this problem and recalculates the water rate accordingly. This Supplemental Decision accepts the recommended change. All other issues the parties attempted to raise do not warrant reconsideration.
The Amended Hearing Report is adopted as my Supplemental Decision.
NOW, THEREFORE, having considered this matter and being duly advised it is DECIDED that:
- A fair and reasonable adjusted charge by the Village of Elbridge to the Village of Jordan for the 1991-1995 period shall be 3.2 per 100 cubic feet of water.
- This Decision supersedes my Decision of November 21, 1994.
IN WITNESS WHEREOF, the Department of Environmental Conservation has caused this Supplemental Decision to be signed and issued and has filed the same with all maps, plans, reports, and other papers relating thereto in its office in the County of Albany, New York this 15th day of February, 1995.
For the New York State Department
of Environmental Conservation
_____________/s/_____________
By: LANGDON MARSH, COMMISSIONER
To: The Honorable Timothy Ganey
Mayor
Village of Elbridge
210 West Main Street
Box 267
Elbridge, NY 13060
The Honorable Richard Platten
Mayor
Village of Jordan
Village Hall
Jordan, NY 13080
Edward W. Lavery, Esq.
Lavery & Lavery
13 East Genesee Street
P.O. Box 104
Skaneateles, NY 13152-0104
Douglas H. Young, Esq.
Melvin & Melvin
220 S. Warren Street, 7th Floor
Syracuse, NY 13202-1686
Ms. Joanne L. March
Division of Regulatory Affairs
Region 7, NYSDEC
615 Erie Boulevard West
Syracuse, NY 13204-7400
STATE OF NEW YORK
DEPARTMENT OF ENVIRONMENTAL CONSERVATION
50 Wolf Road
Albany, New York 12233-1550
In the Matter of
the application of the VILLAGE OF ELBRIDGE for the Fixation of Water Rates.
Water Supply Application No. 9039
AMENDED HEARING REPORT
- by -
____________/s/____________
John H. Owen
Administrative Law Judge
Proceedings
On August 25, 1993, Timothy J. Ganey, Mayor of the Village of Elbridge, acting on behalf of the Village, requested the Department to fix the water rate to be paid to the Village of Elbridge by the Village of Jordan for the transmission of water from the City of Syracuse transmission line through the Village of Elbridge transmission lines to the Village of Jordan. Following a hearing held before Administrative Law Judge ("ALJ") John H. Owen, Commissioner Langdon Marsh issued a Decision on November 21, 1994 fixing the rate to be paid by the Village of Jordan to the Village of Elbridge for the period 1991-1995 at 3.5 cents per 100 cubic feet of water.
By letter to ALJ Owen dated December 8, 1994, Douglas H. Young, Esq., attorney for the Village of Jordan ("Jordan") requested that the ALJ 1) consider ruling that Jordan "...should [receive] some type of credit for the revenue that the Village of Elbridge is receiving from distributions on the [Gorham Road feeder lines]," and 2) reconsider the findings in the earlier Hearing Report concerning the allocation of 35% of the operation and maintenance costs of the storage tank and reconciling the overall allocation of 85% of the transmission line and equipment repair costs, and that the Commissioner consider amending the Decision based on the ALJ's findings.
By letter to the ALJ, dated January 13, 1995, Edward W. Lavery, Esq., attorney for the Village of Elbridge ("Elbridge"), stated that 1) Elbridge duplicated expenses under Account Code 13.3 (Repair and Maintenance - 100%) and Account Code 13.4 (Miscellaneous) leading the ALJ to believe that Elbridge purchased two time clocks within about two years and resulting in the disallowance of the second time clock (earlier Hearing Report, Page 15), 2) the Elbridge Mayor's salary was apportioned 2% to transmission in the earlier Hearing Report but 3% in the computation chart attached to that Report as Appendix B and 3) the earlier Hearing Report contains some typographical, name-spelling and other errors, concerning which Mr. Lavery attached a list.
By letter of January 13, 1995 to Mr. Young, Mr. Lavery, Ms. Joanne March (Region 7 Regulatory Affairs) and Thomas J. Fucillo, Esq. (Region 7 Regional Attorney) the ALJ stated that he proposed to prepare an Amended Hearing Report concerning the points raised and submit it for review by the Commissioner who would presumably issue an Amended Decision. The ALJ also requested that any objections to this procedure be made known "promptly". There has been no response to the ALJ's letter from anyone.
Mr. Young's Feeder Lines Matter
What Jordan is obviously seeking is some part of the bill payments made by those receiving water from the Gorham Road line diverted to Elbridge's feeder lines which run to Elbridge homes and businesses.
Yet surely Elbridge has borne all of the installation, equipment, repair and all other costs associated with the installation and maintenance of the feeder lines. Moreover, Elbridge tapping into the transmission lines does not appear to be prohibited by either the contracts or the Decision of the Commissioner referred to at Page 4 of the earlier Hearing Report.
Lastly, Elbridge pays for the water it uses and Elbridge tapping off results is no less water reaching Jordan.
Mr. Young's Water Tank Matter
Upon review of Mr. Young's request and the earlier Hearing Report, especially Appendix B of that report, I find that the transmission line and equipment repair costs for the years 1986-87, 1987,88, 1988-89 and 1989-90 as shown on the line for Account Code 12 inadvertently had been calculated at 85% instead of 35% of the tank related costs and 85% of the remainder of the costs and that the 1988-89 repair costs to the Kingston Road line had also been calculated at 85% instead of the 50% as allocated in the Report.
A revised Appendix B reflecting the 35% allocation to storage tank costs, a 50% allocation of the 1988-89 repair costs to the Kingston Road line and an 85% allocation of the remaining costs is attached to this Report. The revised Appendix B also contains recalculated values for the total transmission costs and transmission rates for the years 1986-87, 1987-88, 1988-89 and 1989-90.
Using the recalculated values for the transmission rates for the years 1986-87, 1987-88, 1988-89 and 1989-90 and 1990-91 ( yr.) in the same fashion as in the original Hearing Report (p. 17), the average of the transmission rates for the full five years and the one-half year is:
| 1. | 1985-86 | 2.186 |
| 2. | 1986-87 | 3.419 |
| 3. | 1987-88 | 3.372 |
| 4. | 1988-89 | 3.086 |
| 5. | 1989-90 | 2.740 |
| 6. | 1990-91( yr.) | 4.319 |
| 19.122 | ||
| ÷ | 6 | |
| 3.19 |
Mr. Lavery's Duplication of Expense Matter
Concerning the disallowance of one time clock (reported as two within about two years), this is not an error but a correct impression from the record as made. Elbridge did not correct this impression either at the hearing or in its post-hearing submission, and it should not be dealt with now.
Mr. Lavery's Notation of 2% versus 3% Allocated to the Mayor's Salary
The earlier Hearing Report at Page 10 fixed the transmission allocation to the Elbridge Mayor's salary (Account Code 1 - Payroll) at 2% whereas it was transposed to the computation chart at 3% across the chart. Calculation reveals that deducting $35 (from $105) per time period for the Mayor's salary would result in an average rate for the 5 years of 3.48. The earlier average was 3.49 rounded to 3.5 and 3.48 would also have been rounded to 3.5. Then too, this error would only benefit Jordan not Elbridge and Jordan has not raised it, perhaps because it is clearly subject to the age-old maxim: de minimis non-curat lex.
Mr. Lavery's Notation of Other Errors
Concerning the typographical, name-spelling and other errors noted, these are corrected in the Errata sheet attached to this Amended Report as Appendix C.
Recommendations
It is hereby recommended that the Commissioner 1) deny Jordan's request that it receive payments from Elbridge's feeder lines; 2) issue an Amended Decision which resets the rate to be paid by the Village of Jordan to the Village of Elbridge for 1991-1995 at 3.2 cents per 100 cubic feet; 3) deny adjustment for the time clock matter; 4) deny adjustment for the Elbridge Mayor's salary; and 5) amend to earlier Hearing Report nunc pro tunc pursuant to the attached Errata sheet.
APPENDIX C
ERRATA
Earlier Hearing Report
Page 1 PROCEEDINGS: 1st Paragraph, line 2, should read Timothy "J." Ganey
Page 2 PROCEEDINGS (Cont'd), 1st Paragraph,
line 8, Spelling - "Jeanette"
line 10, Spelling - "Weisskopf"
line 11, Spelling - "Lawrence"
Description of Water Sys, 2nd Paragraph,
line 6 - the intersection of "East" Main Street
Description of Water Sys, 2nd Paragraph,
line 7 - ...which carry water west along "East and" West
Main Street"s".
Description of Water Sys, 2nd Paragraph,
line 10 - Gorham Road and then north along "Jordan" Road. (No lines on Vinegar Hill Road)
Description of Water Sys, 2nd Paragraph,
line 10 - Gorham Road and run north on "Jordan" Road
Page 3 Details of the Dispute, 4th Paragraph,
line 1 - ...the "1980" contract
Page 4 Discussion of Water Sys, 1st Paragraph,
line 2 - Located on a hill [NOT Science Hill]
Page 6 Backup Functions, 2nd Paragraph,
line 2 - Add: "East and" West Main
Backup Functions, 3rd Paragraph,
line 4 - Delete: "Vinegar Hill" and replace with "Jordan"
Backup Functions, 3rd Paragraph,
line 5 - Add: "East and" West Main
Page 9 One Trustee, 1st Paragraph,
line 2 - Correct name spelling: Weisskopf
One Trustee, 1st Paragraph,
line 2 - Correct name spelling: Weisskopf
Page 18 FEE NEGOTIATION OF O&M AGREEMENT (Cont'd.)
Paragraph 3, line 4: Should read 1986-1990
FEE NEGOTIATION OF O&M AGREEMENT (Cont'd.)
Paragraph 3, lines 5 & 11: Should read 1981-1985
Page 19 FINDINGS OF FACT (Cont'd.) - Item 6
1st Paragraph, line 3: 1991-1995
Page 19 RECOMMENDATION - line 2: 1991-1995
| ACCT. ELIGIBLE CODE ACCOUNT |
1985-86 for 1st & 2nd qtrs of 1986 | % | CALC. | 1986-87 | % | CALC. | 1987-88 | % | CALC. | 1988-89 | % | CALC. | 1989-90 | % | CALC. | 1990-91 for 3rd & 4th qtrs of 1990 | % | CALC. |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1 PAYROLL | ||||||||||||||||||
| KING - TOTAL WAGES | 3600.00 | 12 | 432 | 4000.00 | 12 | 480 | 17500.00 | 6 | 1050.00 | 18200.00 | 6 | 1092 | 19800.00 | 6 | 1188 | 21600.00 | 6 | 1296 |
| 1 TRUSTEE | 1000.00 | 6 | 60 | 1000.00 | 6 | 60 | 1000.00 | 6 | 60 | 1000.00 | 6 | 60 | 1000.00 | 6 | 60 | 1000.00 | 6 | 60 |
| MAYOR | 3500.00 | 3 | 105 | 3500.00 | 3 | 105 | 3500.00 | 3 | 105 | 3500.00 | 3 | 105 | 3500.00 | 3 | 105 | 3500.00 | 3 | 105 |
| CLERK - TOTAL SALARY | 15000.00 | 1 | 150 | 15750.00 | 1 | 158 | 16700.00 | 1 | 167 | 17360.00 | 1 | 174 | 19000.00 | 1 | 190 | 20400.00 | 1 | 204 |
| FRINGE BENEFITS 25% OF ABOVE | 187 | 201 | 346 | 358 | 386 | 416 | ||||||||||||
| 2 UTILITIES (100%) | ||||||||||||||||||
| 2 NY TEL & NYSEG 6/85-11/86 | 2025.37 | 2 | 40.51 | 1112.32 | 2 | 22.25 | ||||||||||||
| 2.1 NY TEL 12/86 TO PRESENT | 545.14 | 2 | 10.90 | 581.76 | 2 | 11.64 | 605.82 | 2 | 12.12 | 746.34 | 2 | 14.93 | 2 | |||||
| 2.2 NYSEG 12/86 TO PRESENT | 1957.86 | 2 | 39.16 | 2439.20 | 2 | 48.78 | 2673.56 | 2 | 53.47 | 2565.31 | 2 | 51.31 | 3500.00 | 2 | 70.00 | |||
| 2.3 WATER FOR MUNICIPAL BUILDING | 56.00 | 0 | 0 | 56.00 | 0 | 0 | 88.00 | 0 | 0 | 0 | ||||||||
| 3 OFFICE EXPENSES | 695.04 | 1 | 6.95 | 578.49 | 1 | 5.78 | 1591.81 | 1 | 15.92 | 1638.50 | 1 | 16.39 | 1470.30 | 1 | 14.70 | 1195.00 | 1 | 11.95 |
| 4 INSURANCE (Pd by Gen. Fund) | 5400.00 | 1 | 54.00 | 6000.00 | 1 | 60.00 | 5000.00 | 1 | 50.00 | 4500.00 | 1 | 45.00 | 5000.00 | 1 | 50.00 | 5500.00 | 1 | 55.00 |
| 5 WATER BILLING EXPENSES | 183.60 | 1 | 1.84 | 393.70 | 1 | 3.94 | 926.10 | 1 | 9.26 | 944.88 | 1 | 9.45 | 764.00 | 1 | 7.64 | 350.00 | 1 | 3.50 |
| 6 TRAVEL (Inc. Samples to Skan.) | 191.22 | 4 | 7.65 | 117.80 | 4 | 4.71 | 117.60 | 4 | 4.70 | 5.88 | 4 | .24 | 0 | 4 | 0 | 0 | 4 | |
| 8 TAXES | 1223.54 | 35 | 482.24 | 1218.98 | 35 | 426.64 | 1294.12 | 35 | 452.94 | 1464.79 | 35 | 512.68 | 1442.01 | 35 | 504.70 | 0 | 35 | |
| 10.1 ENG/LEGAL: TRANSMISSION | 429.59 | 100 | 429.59 | 3949.88 | 100 | 3949.88 | 470.85 | 100 | 470.85 | 1822.20 | 100 | 1822.20 | 470.20 | 100 | 470.20 | 1600.00 | 100 | 1600.00 |
| 12 TRANS. LINE & EQUIP. REPAIR(100%) | 3188.23 | 85 | 2710.00 | 3183.90 | 68.4 | 2177.74 | 8200.34 | 64.7 | 5303.91 | 4289.95 | 54.3 | 2329.74 | 3900.16 | 63.6 | 2481.81 | 3600.00 | 85 | 3060.00 |
| 13 VEHICLE & EQUIP. MAIN. (100%) | 52.80 | 6 | 3.17 | 5.71 | 6 | .34 | ||||||||||||
| 13.1 GASOLINE (100%) | 1451.89 | 12 | 174.23 | 842.12 | 12 | 101.05 | 1266.30 | 6 | 75.98 | 877.21 | 6 | 52.63 | 1594.30 | 6 | 95.66 | 1300.00 | 6 | 78.00 |
| 13.2 VEHICLE PURCHASE (100%) | 2863.38 | 12 | 343.61 | 2863.38 | 12 | 343.61 | 4213.38 | 6 | 252.80 | 4213.38 | 6 | 252.80 | 4213.38 | 6 | 252.80 | 4400.00 | 6 | 264.00 |
| 13.3 REPAIR & MAINT. (100%) | 929.62 | 12 | 111.55 | 1588.94 | 12 | 190.67 | 1806.03 | 6 | 108.36 | 1996.27 | 6 | 119.78 | 2618.57 | 6 | 157.11 | 2200.00 | 6 | 132.00 |
| 13.4 MISCELLANEOUS | 325.75 | 6 | 19.55 | 21.80 | 6 | 1.31 | 178.40 | 6 | 10.70 | |||||||||
| TOTAL TRANSMISSION COSTS | 5296.17 | 8340.33 | 8555.86 | 7017.15 | 6040.56 | 7355.45 | ||||||||||||
| TOTAL PURCHASED (x 100 C2) | 242,239 | 243,920 | 253,770 | 227,390 | 220,490 | 170,320 | ||||||||||||
| TRANSMISSION RATE | 0.021863407 | 0.03419 | 0.03372 | 0.03086 | 0.02740 | 0.04319 |
REVISED APPENDIX B
