reglab/statecodes huggingface dataset:
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.5725 - "Regulatory Operations Staff" defined

Current through June 11,
				2024
"Regulatory Operations Staff" means the Regulatory Operations
				  Staff of the Commission.
Added to NAC by Pub.
				  Service Comm'n, eff. 11-5-93; A by Pub. Utilities Comm'n by R036-10,
				  12-16-2010
NRS
					 703.025,
					 704.095,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.575 - Applicability

Current through June 11, 2024
Except as otherwise provided in NAC 703.22075, the provisions
				  of NAC 704.570 to 704.628, inclusive, apply to public utilities whose rates are
				  subject to the jurisdiction of the Commission as set forth in
				  NRS
				  704.095.
Pub. Service Comm'n,
				  Gen. Order 26 § 2, eff. 8-6-80-NAC A 11-5-93; A by Pub. Utilities Comm'n
				  by R047-02, 10-24-2002; R036-10, 12-16-2010
NRS
					 703.025,
					 704.095,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.581 - Annual notification of gross domestic product deflator

Current through June 11, 2024
On or before February 1 of each year, the Regulatory
				  Operations Staff shall notify all public utilities to which the provisions of
				  NAC 704.570 to 704.628, inclusive, apply pursuant to NAC 704.575 of the most
				  recent gross domestic product deflator.
Added to NAC by Pub.
				  Utilities Comm'n by R036-10, eff. 12-16-2010
NRS
					 703.025,
					 704.095,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.582 - Range of reasonable returns on equity: Annual filing and service; contents; use in application for adjustments in rates

Current through
				June 11, 2024
1. On or
				before February 15 of each year, the Regulatory Operations Staff shall file
				with the Commission and serve upon the Consumer's Advocate and all public
				utilities that furnish water or services for the disposal of sewage, or both, a
				range of reasonable returns on equity that may be used by those public
				utilities when filing an application for adjustments in rates.
2. In a range of reasonable returns on equity
				filed pursuant to subsection 1, the Regulatory Operations Staff shall specify
				the appropriate return on equity applicable to a public utility that furnishes
				water or services for the disposal of sewage, or both, based upon:
(a) The size of the public utility;
				and
(b) Whether the public utility
				is a subsidiary of a holding company.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.583 - Calculation of amount of allowance for cash working capital

Current
				through June 11, 2024
1.
				To calculate the amount of an allowance for cash working capital, a public
				utility that furnishes water or services for the disposal of sewage, or both,
				may:
(a) Conduct a lead-lag study;
				or
(b) Use the 1/8 formula
				method.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.584 - Gross domestic product deflator advice letter: Filing and contents; memorandum of recommendations

Current through June 11,
				2024
1. Except as
				otherwise provided in this subsection, on or before April 1 of each year, a
				utility may file a gross domestic product deflator advice letter. A utility may
				not file a gross domestic product deflator advice letter pursuant to this
				subsection if, within the preceding calendar year, the utility filed:
(a) An application for a general rate change
				pursuant to NAC 704.586; or
(b) An
				application to recover increased costs of fuel or power pursuant to NAC
				704.595.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.586 - Application for general rate change: Filing, contents and service

Current through June 11, 2024
1. To request a general rate change, a
				utility must file an application with the Commission.
2. An application for a general rate change
				must include:
(a) The following forms, which
				are available from the Regulatory Operations Staff upon request:
(1) Form A, Company Information (pages
				1-2);
(2) Form B, Tariff Rate
				Schedule;
(3) Form C, Income
				Statement;
(4) Form D, Rate
				Base;
(5) Form E, Cost of Capital;
				and
(6) Form F, Statement of
				Services;
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.587 - Gross domestic product deflator advice letter or application for general rate change: Notice to customers; affidavit to Commission

Current through
				June 11, 2024
If a utility files a gross domestic product deflator advice
				  letter pursuant to NAC 704.584 or an application pursuant to NAC
				  704.586:
1. The utility shall make
				available at its place of business a complete copy of the gross domestic
				product deflator advice letter or application that is readily accessible and
				can be conveniently inspected by its customers.
2. The utility shall, within 10 days after
				the date on which the gross domestic product deflator advice letter or
				application is filed, post a notice at its place of business which states that
				the gross domestic product deflator advice letter or application, as
				applicable, has been filed with the Commission and that a copy of the gross
				domestic product deflator advice letter or application, as applicable, is
				available for inspection by customers on the premises of the utility.
3. The utility shall, within 30 days after
				the date on which the gross domestic product deflator advice letter or
				application is filed, notify its customers of its intention to seek a change in
				its rates.
4. The utility shall,
				within 45 days after the date on which the gross domestic product deflator
				advice letter or application is filed, submit an affidavit to the Commission
				which demonstrates that the utility has complied with the requirements set
				forth in subsections 1, 2 and 3.
5.
				The utility shall, either by inclusion in the regular bill of charges or in a
				separate mailing, notify its customers of the hearing to be held to receive
				comments from customers and of any evidentiary hearing to be held. The utility
				shall provide the notice of the hearing in such a manner as to ensure that the
				customers are notified of the hearing not less than 10 days before the date of
				the hearing. The notice must specify:
(a) The
				date, time and location of the consumer hearing and evidentiary hearing, if
				any;
(b) The percentage of change
				in revenues requested in the gross domestic product deflator advice letter or
				application; and
(c) The current
				and proposed rates.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.595 - Application to recover increased costs of fuel or power: Filing and contents

Current through June 11, 2024
1. A utility may submit an application
				requesting increases in its scheduled rates to offset increased costs of fuel
				or power used for pumping in its water or sewer operations, or both, except
				that a utility may not file such an application more often than once every 30
				days.
2. If such an application is
				for increases for both water and sewer operations, the information concerning
				those operations must be separately stated. Such an application must include:
(a) Form A, Company Information.
(b) Form B, Tariff Rate Schedule.
(c) Worksheets showing calculations and other
				information on the increased costs, incurred in the latest 12-month period, of
				fuel or power purchased for pumping for its water or sewer
				operations.
(d) Legible copies of
				the fuel or power bills for each well or pumping station, showing the amounts
				of fuel or the kilowatt-hours used and the amounts paid. These bills must cover
				the latest 12-month period and support the data furnished in the worksheets
				required by paragraph (c).
(e) A
				statement for the water or sewer operation, or both, showing the increase in
				revenue which is needed to offset the increased cost of fuel or power purchased
				for pumping.
(f) Form G, Customer
				Notice.
The requested increases in rates must reflect only the
				  increased costs of fuel or power purchased for pumping which will be incurred
				  by the utility. The forms required by this section are available from the
				  Regulatory Operations Staff.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.600 - Financing for additions or improvements to plant or providing cash reserve for certain repairs, maintenance or replacements: Surcharge

Current through June 11, 2024
1. When requested by a utility, the
				Commission will consider a rate surcharge to:
(a) Finance large additions or improvements
				to a plant; or
(b) Provide a cash
				reserve for the purposes of:
(1) Funding
				significant, unanticipated repairs to, or maintenance of, a water supply or
				wastewater treatment system; or
(2)
				Funding significant but nonspecific capital improvements or replacements of
				capital assets.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.605 - Financing for additions or improvements to plant or providing cash reserve for certain repairs, maintenance or improvements: Written plan

Current through June 11, 2024
1. An applicant for a rate surcharge must
				submit a written plan for the replacement or expansion of the plant and its
				financing, or for the provision of cash reserves, whichever is applicable, to
				the Commission for its consideration. The plan must be in sufficient detail to
				enable the Commission to determine the need for the proposed additions or
				improvements or for the cash reserves, whichever is applicable.
2. A written plan submitted by an applicant
				for a rate surcharge to finance large additions or improvements to a plant
				pursuant to paragraph (a) of subsection 1 of NAC 704.600 must include, but is
				not limited to, the following information and documents:
(a) A brief description of the proposed
				additions or improvements, together with the estimated cost and the source of
				that estimate, and an estimate of the time needed for construction and the
				estimated date of commencement and date of completion of the
				construction;
(b) A list of the
				proposed projects in order of priority, which contains the reasons for the
				priorities;
(c) The need for the
				proposed additions or improvements;
(d) The size, in terms of capital
				requirements, of the additions or improvements;
(e) Any letter of credit, loan commitment or
				other evidence that funding is or is not available to the applicant;
				and
(f) The availability of other
				methods of financing.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.615 - Application for general rate change: Action by Commission's Division of Consumer Complaint Resolution and Regulatory Operations Staff

Current
				through June 11, 2024
1.
				Not later than 30 days after a utility files with the Commission an application
				for a general rate change pursuant to NAC 704.586, the Commission's Division of
				Consumer Complaint Resolution will prepare and file with the Commission a
				report on all service complaints received by the Division subsequent to the
				utility's last request for a general rate change.
2. Upon receipt of an application filed
				pursuant to NAC 704.586, the Regulatory Operations Staff shall conduct an
				examination of the books and records of the utility and a field inspection of
				the facilities of the utility. The Regulatory Operations Staff may request a
				utility to submit information in addition to that specifically required by NAC
				704.586. Not later than 90 days after the Regulatory Operations Staff receives
				the application and based upon the examination and inspection conducted
				pursuant to this subsection, the Regulatory Operations Staff shall prepare and
				serve upon the utility and the interveners, if any:
(a) A summary of the results of operations as
				submitted to the Commission, revised based on the Regulatory Operations Staff's
				findings relating to the appropriate capital structure, reasonable expenses,
				rate base and revenues; and
(b) A
				recommended schedule of a fee for service and charges for a
				commodity.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.622 - Application for general rate change or request submitted concurrently with assistance of Regulatory Operations Staff

Current through June 11,
				2024
1. Except as
				otherwise provided in subsection 7, a utility may request the assistance of the
				Regulatory Operations Staff in preparing an application for a general rate
				change or in preparing a request submitted concurrently with an application
				pursuant to section 18 by submitting a written request for assistance to the
				Assistant Secretary of the Commission.
2. Not later than 10 days after the
				Regulatory Operations Staff receives a utility's written request for
				assistance, the Regulatory Operations Staff shall notify the utility, in
				writing, of the information the Regulatory Operations Staff requires to make a
				determination of recommended rates and charges.
3. The Regulatory Operations Staff shall
				offer to meet with the utility not later than 30 days after the Regulatory
				Operations Staff receives the written request for assistance. At that meeting,
				the utility must:
(a) Make arrangements for
				the Regulatory Operations Staff to examine the books and records of the utility
				and to inspect the condition of the utility's facilities; and
(b) Except as otherwise provided in this
				paragraph, provide all the required information identified in the Regulatory
				Operations Staff's written notice issued pursuant to subsection 2. If the
				utility does not provide all the required information at the meeting, the
				utility may provide the required information not later than 15 days after the
				meeting. If the utility fails to provide the required information, the
				Regulatory Operations Staff shall notify the utility in writing that no further
				action will be taken on the request until the information is
				provided.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.625 - Disclosure of transactions

Current through June 11,
				2024
1. Each utility
				shall disclose in a separate statement as a part of its application all
				transactions in which it engaged during the preceding year or since its most
				recent filing with the Commission, whichever period is shorter, with any
				affiliate or other person who is an owner or stockholder of the utility
				company.
2. The statement must
				include the nature of the transactions, the amounts of money involved, and how
				those amounts were determined.
Pub. Service Comm'n,
				  Gen. Order 26 § 11, eff. 8-6-80-NAC A by Pub. Utilities Comm'n by R036-10,
				  12-16-2010
NRS
					 703.025,
					 704.095,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.6265 - Placement of utility in receivership

Current through June 11,
				2024
1. Any interested
				person may file a petition with the Commission to request that the Commission
				consider taking action to have a utility whose rates are subject to the
				jurisdiction of the Commission as set forth in
				NRS
				704.095 placed in receivership. A petition
				filed with the Commission pursuant to this subsection must be served on the
				utility, the Regulatory Operations Staff, the Consumer's Advocate and the
				Bureau of Health Protection Services of the Division of Public and Behavioral
				Health of the Department of Health and Human Services and must be accompanied
				by proof of service. The Commission may, on its own motion, initiate an
				investigation into whether such a utility should be placed in
				receivership.
2. The Commission
				will issue a public notice of a petition filed pursuant to subsection 1. The
				utility that is the subject of the notice of petition may file an answer to the
				petition within the time set forth in the notice.
3. On its own motion, upon the request of the
				utility or upon the request of any interested person who has filed comments
				pursuant to a notice of petition, the Commission will hold a hearing to
				determine whether the Commission should take action to have the utility placed
				in receivership.
4. In considering
				whether to take action to have the utility placed in receivership, the
				Commission may consider:
(a) Whether the
				utility has complied with a written plan for the replacement or expansion of
				the plant of the utility that has been approved by the Commission;
(b) Whether the utility is providing
				reasonably adequate service;
(c)
				Whether the operation of the utility is affecting the public health in a
				detrimental manner;
(d) Whether the
				utility can meet its financial obligations; or
(e) Any other factor that may become apparent
				from a petition, answers filed thereto, or evidence gathered at the
				hearing.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Rates and Service › Section 704.628 - Standards of service

Current through June 11,
				2024
Each public utility subject to the provisions of NAC 704.570
				  to 704.628, inclusive, shall comply with the following standards of
				  service:
1. For water resources, water
				rights must be sufficient to supply adequate amounts of water to satisfy
				existing commitments.
2. For water
				production, the utility must be capable of producing, from surface water or
				groundwater sources or by obtaining water from another utility, sufficient
				quantities of water to meet the historic maximum daily demand of the
				system.
3. For water distribution,
				the distribution system of the utility must meet each of the following
				requirements:
(a) Service connections from
				the utility must not exceed the hydraulic capabilities of the system.
(b) The network of pipes of the system must
				be capable of delivering maximum day demand concurrently with required fire
				flows. Maximum day demand must be determined from historical records or, in the
				absence of historical data, calculated by using a factor of three times the
				average day demand. Requirements for fire flow and duration of the fire flow
				must be established by the county or local agency having jurisdiction over fire
				protection. In the absence of a local agency exercising jurisdiction over fire
				protection, the requirements for fire flow must be established using the
International Fire Code
, as adopted by reference in NAC
				704.569.
(c) The distribution
				system, in conjunction with production, storage and pressure control
				facilities, must be capable of maintaining, during periods of maximum day
				demand, a minimum residual pressure of 40 pounds per square inch throughout the
				distribution system. Static pressure must not exceed 100 pounds per square inch
				at the lowest elevation in any pressure zone. During periods of fire flow, the
				residual pressure at any point in the distribution system must not fall below
				20 pounds per square inch.
(d) To
				deliver the quantity of water necessary to comply with the requirements of
				public fire protection, the utility shall provide and maintain an adequate
				quantity of hydrants at the prescribed spacing as established by the county or
				local agency having jurisdiction over fire protection. In the absence of any
				local agency having jurisdiction over fire protection, the spacing of fire
				hydrants must be determined by using the
International Fire
				Code
, as adopted by reference in NAC 704.569.
(e) The utility shall not allow the amount of
				water lost from its distribution system because of leakage to exceed 10 percent
				of the amount of water required for the system.
(f) All water sources must have a master
				meter.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Real Property and Goods › Section 704.6321 - "Essential real property and goods" defined

Current through June
				11, 2024
As used in NAC 704.6321 to 704.6327, inclusive, "essential
				  real property and goods" means the real property, water rights, fixtures,
				  facilities, and plant that are used or required for the provision of water or
				  sewer services and are required to be recorded under account numbers 303 to
				  339, inclusive, of the 1984 Uniform System of Accounts for class C water
				  utilities. The term does not include tangible personal property such as
				  vehicles, office equipment, computers, or calculators.
Added to NAC by Pub.
				  Service Comm'n, eff. 11-5-93-Substituted in revision for NAC
				  704.996
NRS
					 703.025,
					 704.210,
					 704.668
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Real Property and Goods › Section 704.6323 - Applicability

Current through June 11, 2024
The provisions of NAC 704.6321 to 704.6327, inclusive, apply
				  to public utilities that are required to comply with the provisions of
				  NRS
				  704.668. To determine whether a public
				  utility is required to comply with the provisions of
				  NRS
				  704.668, a public utility that serves 3,000
				  or fewer persons shall be deemed to include a public utility that serves 3,000
				  or fewer service connections.
Added to NAC by Pub.
				  Service Comm'n, eff. 11-5-93; A by Pub. Utilities Comm'n by R047-02,
				  10-24-2002-Substituted in revision for NAC
				  704.995
NRS
					 703.025,
					 704.210,
					 704.668
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Real Property and Goods › Section 704.6325 - Requirements concerning essential real property and goods

Current
				through June 11, 2024
A utility shall own, lease or have access to sufficient
				  essential real property and goods to comply with the requirements of NAC
				  704.628. The utility shall protect and maintain the essential real property and
				  goods in a manner to ensure continued performance.
Added to NAC by Pub.
				  Service Comm'n, eff. 11-5-93; A by Pub. Utilities Comm'n by R079-99,
				  11-16-99-Substituted in revision for NAC 704.997
NRS
					 703.025,
					 704.210,
					 704.668
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Utilities That Service Limited Number of Customers: Real Property and Goods › Section 704.6327 - Application for sale, transfer or other disposal of essential real property and goods and for sale or transfer of water rights; notice of application and hearing

Current through June 11,
				2024
1. A utility shall
				submit an application to the Commission requesting approval for:
(a) The sale, transfer, or other disposal of
				essential real property and goods, other than water rights, that have a
				replacement value of more than $5,000 which are not being replaced immediately
				by the utility; and
(b) Any sale or
				transfer of water rights, other than a transfer which does not remove water
				rights from the control of the utility for use within the utility's
				certificated service area.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.633 - Definitions

Current through June 11, 2024
As used in NAC 704.633 to 704.63455, inclusive, unless the
				  context otherwise requires, the words and terms defined in NAC 704.6331 to
				  704.6338, inclusive, have the meanings ascribed to them in those
				  sections.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6331 - "Carrying costs" defined

Current through June 11,
				2024
"Carrying costs" means the return on an eligible project or,
				  if applicable, the return on any plant that may be retired as part of the
				  construction of the eligible project, adjusted for accumulated depreciation and
				  accumulated deferred income taxes, utilizing the utility's authorized pretax
				  rate of return.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63315 - "Cost of service" defined

Current through June 11,
				2024
"Cost of service" means the average embedded cost of
				  providing water service to a customer class.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6332 - "Customer class" defined

Current through June 11,
				2024
"Customer class" means a category of customers identified in
				  the rate schedule of a utility.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63325 - "Depreciation expense" defined

Current through June 11,
				2024
"Depreciation expense" means the return of an eligible
				  project or, if applicable, the return of any plant that may be retired as part
				  of the construction of the eligible project, utilizing the utility's authorized
				  rate of depreciation.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6333 - "Distribution system" defined

Current through June 11,
				2024
"Distribution system" means distribution mains, valves,
				  hydrants, service lines, meters, meter installations and any other
				  appurtenances which are necessary to transport treated water from the point at
				  which the water exits a water production facility to the point at which the
				  water is delivered to a customer.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63335 - "Eligible project" defined

Current through June 11,
				2024
"Eligible project" means an improvement to a distribution
				  system, production system, transmission system or wastewater system that the
				  Commission designates as being eligible for the recovery of costs through a
				  system improvement rate pursuant to subsection 5 of NAC
				  704.6339.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6334 - "Eligible project regulatory asset account" and "regulatory asset account" defined

Current through June 11,
				2024
"Eligible project regulatory asset account" or "regulatory
				  asset account" means an account in which a utility records an amount equal to
				  the monthly system improvement rate revenue requirement for one or more new
				  eligible projects, less the revenue the utility receives from an established
				  system improvement rate.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63345 - "Large utility" defined

Current through June 11,
				2024
"Large utility" means a utility that had an annual gross
				  operating revenue of $1,000,000 or more for at least 1 year during the
				  immediately preceding 3 years.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6335 - "Production system" defined

Current through June 11,
				2024
"Production system" means wells, water treatment facilities,
				  chemical feed systems, associated piping and any other appurtenances which are
				  necessary for production.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63355 - "Resource plan" defined

Current through June 11,
				2024
"Resource plan" has the meaning ascribed to it in NAC
				  704.5654.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6336 - "System improvement rate" defined

Current through June 11,
				2024
"System improvement rate" means a rate established by the
				  Commission pursuant to NAC 704.6343.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63365 - "System improvement rate revenue requirement" defined

Current
				through June 11, 2024
"System improvement rate revenue requirement" means an amount
				  equal to depreciation expense plus carrying costs, less the depreciation
				  expense and carrying costs associated with any plant retired as part of the
				  construction of an eligible project.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6337 - "Transmission system" defined

Current through June 11,
				2024
"Transmission system" means transmission mains, storage
				  facilities, booster stations, valves and any other appurtenances which are
				  necessary for transmission.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63375 - "Utility" defined

Current through June 11,
				2024
"Utility" means a public utility which furnishes, for
				  compensation, any water for municipal, industrial or domestic purposes, or
				  services for the disposal of sewage, or both.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6338 - "Wastewater system" defined

Current through June 11,
				2024
"Wastewater system" means wastewater mains, lift stations,
				  facilities for wastewater treatment and any other appurtenances which are
				  necessary for the collection of wastewater, treatment of wastewater,
				  reclamation of wastewater and disposal of effluent.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63385 - Request for recovery of certain amounts and costs; requirements; concurrent submission with request for assistance of Regulatory Operations Staff; approval; alternative rate design

Current through June 11,
				2024
1. A utility may
				include in an application to make changes in any schedule submitted pursuant to
				NRS
				704.110 a request to recover:
(a) An amount based on the anticipated
				effects of implementing a plan of water conservation, including, without
				limitation, the anticipated effects of decreased consumption of water by
				customers of the utility as the result of the implementation of a plan for
				water conservation or the charging of rates to encourage water conservation;
				or
(b) The costs of providing
				service without respect to the difference in the quantity of water actually
				sold by the utility by taking into account the adjusted and annualized quantity
				of water sold during a test year and the growth in the number of customers of
				the utility.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6339 - Request or application for designation as eligible project; requirements; action by Commission

Current through June 11,
				2024
1. A large utility
				may include in the action plan component of the utility's resource plan
				submitted pursuant to
				NRS
				704.661 a request to designate a project for
				an improvement to a distribution system, production system, transmission system
				or wastewater system as an eligible project for which a system improvement rate
				may be established. The project proposed for designation as an eligible project
				must be a new improvement project that is included in the action plan for which
				the large utility seeks approval pursuant to NAC 704.5682. If the large utility
				furnishes both water and services for the disposal of sewage, the annual gross
				operating revenue of the large utility for each service must be considered
				separately for the purpose of determining whether the large utility is eligible
				to submit a request pursuant to this subsection for either service.
2. A utility that is not required to submit a
				resource plan pursuant to
				NRS
				704.661 may file an application with the
				Commission to designate a project for an improvement to a distribution system,
				production system, transmission system or wastewater system as an eligible
				project for which a system improvement rate may be established.
3. A large utility submitting a request
				pursuant to subsection 1 or a utility submitting an application pursuant to
				subsection 2 shall include with the request or application:
(a) A description of the project.
(b) A statement explaining the necessity of
				the project.
(c) The resulting
				benefits of the project to the utility and the customers of the utility upon
				the completion of the project.
(d)
				A statement supported by written testimony that the project is not designed to
				increase revenues by connecting an improvement to a distribution system or
				wastewater system to new customers.
(e) A statement that the project was not
				included in the rate base of the utility in its most recent general rate
				case.
(f) A statement that the
				project costs for which recovery will be sought represent an investment to be
				made by the utility and which will not be paid by another funding source,
				including, without limitation, a grant, developer contribution or other form of
				reimbursement.
(g) If submittal to
				the Commission is not otherwise required by law or regulation, the utility's
				plan for construction and the proposed schedule for construction. A plan for
				construction and a proposed schedule for construction submitted pursuant to
				this paragraph must comply with the provisions of paragraph (a) of subsection 4
				of NAC 704.568.
(h) If submittal to
				the Commission is not otherwise required by law or regulation, a budget of
				planned expenditures which complies with the provisions of NAC
				704.5681.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63395 - Notice of request or application for designation as eligible project

Current through June 11, 2024
1. A large utility that submits a request
				pursuant to subsection 1 of NAC 704.6339 or a utility that submits an
				application pursuant to subsection 2 of NAC 704.6339 shall, not later than 30
				days after the date on which the Commission receives the request or
				application, provide notice of the request or application to each customer of
				the utility. The notice may be provided directly to each customer as an insert
				in the bill of charges provided to each customer or by written notice mailed
				separately from the bill of charges.
2. A notice provided pursuant to subsection 1
				must contain:
(a) A brief description of the
				need for the system improvement rate and an estimate of its amount;
				and
(b) Information concerning
				where a customer may obtain from the utility and the Commission additional
				information with respect to the system improvement rate.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.634 - Commission to provide approved budget estimate

Current through June
				11, 2024
The Commission will include with the approval of a request
				  submitted by a large utility pursuant to subsection 1 of NAC 704.6339 or an
				  application submitted by a utility pursuant to subsection 2 of NAC 704.6339 an
				  approved budget estimate for the eligible project.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210,
					 704.661,
					 704.663
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6341 - Calculation of eligible project regulatory asset account

Current
				through June 11, 2024
The calculation for the eligible project regulatory asset
				  account for an eligible project begins on the last day of the month during
				  which the eligible project is placed in service and ends on the date on which
				  the project is accounted for in the rate base of the utility as the result of
				  the approval of a general rate case application filed pursuant to
				  NRS
				  704.110.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210,
					 704.661,
					 704.663
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63415 - Costs must be accounted for and readily identifiable

Current
				through June 11, 2024
All costs of an eligible project must be accounted for in the
				  books and records of a utility separately from accounts attributable to any
				  other activity. Each regulatory asset account must be maintained in a manner
				  that will allow costs to be readily identified.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210,
					 704.661,
					 704.663
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6342 - Calculation of carrying costs, annual system improvement rate revenue requirement, authorized pretax rate of return and weighted average return

Current through June 11, 2024
For the purpose of calculating carrying costs, unless
				  otherwise established by the Commission in the utility's general rate case, the
				  authorized rate of return used to calculate the annual system improvement rate
				  revenue requirement for the utility shall be deemed to be 10.2 percent. The
				  authorized pretax rate of return must be calculated by adjusting the weighted
				  average return on equity, which shall be deemed to be 6 percent for federal
				  income taxes. The weighted average return on equity must be calculated using an
				  equity ratio which shall be deemed to be 40 percent and a return on equity
				  which shall be deemed to be 15 percent.
Added to
				  NAC by Pub. Utilities Comm'n by
				  R078-14,
				  eff. 12/22/2014
NRS
					 703.025,
					 704.210
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63425 - System improvement rate: Filing deadline for application; requirements; recalculation and modification

Current through June 11,
				2024
1. An application
				to establish a system improvement rate must be filed not later than 90 days
				after the completion of an eligible project.
2. An application filed pursuant to
				subsection 1 must include:
(a) The actual
				cost of the eligible project and invoices supporting the calculation of the
				actual cost.
(b) The approved
				budget for the eligible project provided by the Commission pursuant to NAC
				704.634.
(c) A calculation of the
				system improvement rate revenue requirement for each eligible project included
				in the system improvement rate. The system improvement rate revenue requirement
				for an eligible project must be calculated on an annual basis. The monthly
				system improvement rate revenue requirement is one-twelfth of the annual system
				improvement rate revenue requirement. The annual system improvement rate
				revenue requirement initially must be calculated using the information
				available on the last day of the month during which the eligible project is
				placed in service.
(d) The proposed
				system improvement rate to be collected from the customers of the utility. If
				the eligible project is an improvement to a distribution system, production
				system or transmission system, the proposed system improvement rate must be
				based upon water consumption by each customer class during the 12-month period
				ending on the last day of the month during which the eligible project was
				placed in service. If the eligible project is an improvement to a wastewater
				system, the proposed system improvement rate must be based upon the customer
				class contribution to total revenues for the 12-month period ending on the last
				day of the month during which the eligible project was placed in service.
The utility has the burden of proving the reasonableness and
				  prudence of the costs incurred to develop the eligible project.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.6343 - System improvement rate: Approval of application; authority to limit system improvement rate revenue requirement; deadline

Current through June 11, 2024
1. The Commission may approve an application
				to establish a system improvement rate filed pursuant to NAC 704.63425 for the
				purpose of recovering:
(a) The system
				improvement rate revenue requirement associated with the eligible project for
				which a utility files the application.
(b) The amortized amount of the balance of
				the eligible project regulatory asset account for each eligible project
				included in the system improvement rate as calculated during the 12-month
				period identified in subsection 3 of NAC 704.63435.
The Commission may, in establishing a new system improvement
				  rate pursuant to this section, incorporate into the new rate an existing system
				  improvement rate which has previously been approved pursuant to this section
				  and which is currently being recovered by the utility. A utility shall not
				  recover the system improvement rate revenue requirement associated with an
				  eligible project simultaneously from more than one approved system improvement
				  rate.
Nevada Administrative Code › Chapter 704 - Regulation of Public Utilities Generally › WATER SERVICE AND SEWAGE SERVICE › Recovery of Certain Costs by Certain Utilities › Section 704.63435 - System improvement rate: Annual application for continuation or adjustment; requirements; deadline for approval

Current through
				June 11, 2024
1. A
				utility that is charging a system improvement rate shall, on or before April 1
				of each year after the establishment of the system improvement rate, file an
				application recommending continuation of the system improvement rate or an
				adjustment to the system improvement rate.
2. An application filed pursuant to
				subsection 1:
(a) Must:
(1) Provide the most current balance in the
				regulatory asset account for the system improvement rate.
(2) Recommend an adjustment to account for
				the difference between the actual revenues from the system improvement rate and
				the uncollected balance of the system improvement rate revenue
				requirement.