860-037-0525 Applications for Authority to Guarantee Indebtedness (1) The requirements of this rule apply to wastewater utilities seeking authority under ORS 757.440. Every applicant shall set forth in its application to the Commission, in the manner and form indicated, the following information that should, to the extent possible, be furnished for each person, firm, or corporation involved: (a) The information required by OAR 860-037-0520(1)(a) to (g) inclusive; (b) A full description of the securities the applicant proposes to assume obligation or liability as guarantor, endorser, surety, or otherwise; (c) The amount of other securities of said person, firm, or corporation now held, owned, or controlled by the applicant; (d) A statement as to whether or not any application, with respect to the transaction or any part thereof, is required to be filed with any federal or other state regulatory body; (e) The reasons, in detail, why it is in applicant’s interest to guarantee such securities; (f) The reasons, in detail, why it is necessary for applicant to guarantee such securities; and (g) The facts relied upon by the applicant to show the assumption is: (A) For some lawful object within the applicant’s corporate purposes and compatible with the public interest; (B) Necessary or appropriate for or consistent with the applicant’s proper performance of service as a wastewater utility; (C) Does not impair its ability to perform that service; and (D) Reasonably necessary or required for such purposes. (2) Required Exhibits. The following exhibits shall be filed as part of the application: (a) EXHIBIT A. A copy of the applicant’s charter or articles of incorporation with amendments to date; (b) EXHIBIT B. A copy of the bylaws with amendments to date; (c) EXHIBIT C. Copies of all resolutions of directors authorizing the assumption in respect to which the application is made and, if stockholders’ approval has been obtained, a copy of the stockholders’ resolution should also be furnished; (d) EXHIBIT D. A copy of any mortgage, indenture, or other agreement securing any security which it proposes to guarantee; also, a copy of any mortgage, indenture, or other agreement securing applicant’s funded obligations; (e) EXHIBIT E. Balance sheets with supporting fixed capital or plant schedules in conformity with the form set forth in the annual report the applicant is required to file with the Commission; (f) EXHIBIT F. A statement of all known contingent liabilities, except minor items such as damage claims and similar items involving relatively small amounts at the date of the application; (g) EXHIBIT G. Comparative income statements in conformity with the form set forth in the annual report the applicant is required to file with the Commission; (h) EXHIBIT H. An analysis of surplus for the period covered by the income statements referred to in Exhibit G; and (i) EXHIBIT I. A statement showing the present market value or other basis of determining the value of the securities to be guaranteed. [ED. NOTE: Exhibits referenced are available from the agency.] Statutory/Other Authority: ORS 183, 756 & 757 Statutes/Other Implemented: ORS 756.040, 757.005, 757.061 & 757.440 History: PUC 5-2004, f. & cert. ef. 1-29-04 PUC 6-2000, f. 4-18-00, cert. ef. 4-20-00 PUC 9-1999(Temp), f. 10-22-99, cert. ef. 10-23-99 thru 4-19-00