Oklahoma Administrative Code › Title 165 - Corporation Commission › Chapter 65 - Water Service Utilities › Subchapter 3 - Plant, Equipment, and Facilities › Section 165:65-3-5 - Sale or disposal of facilities by utility

Current through Vol. 41, No. 20, July 1, 2024
(a) The parties to a transaction, the
				performance of which will result in the transfer of any portion of a water
				utility's jurisdictional plant or operating system or the transfer of some or
				all of a water utility's customers to a person or entity that is not an
				affiliate of such utility, shall, at least ninety (90) calendar days before the
				effective date of such sale or transfer, request the approval of the Commission
				of the transaction by filing an original and four (4) copies of a joint
				application, consistent with OAC
				165:5-7-1, with the Commission's
				Court Clerk, accompanied by the applicable filing fee. At the time the joint
				application is filed, the parties to the transaction shall serve a copy of the
				joint application, with all attachments thereto, upon the Attorney General and
				the Department of Environmental Quality. Additionally, the person or entity
				receiving the facilities or customers shall, at the time of the filing, be
				providing water service to Oklahoma customers or be seeking approval, in the
				joint application or in a separate cause, to provide such service to Oklahoma
				customers.
(b) The joint
				application referred to in (a) of this Section shall include the following
				information:
(1) The names of the parties to
				the transaction and the addresses of their respective principal places of
				business;
(2) A narrative
				description of the transaction, including, without limitation, a description of
				the transferring party's jurisdictional plant or operating system to be
				transferred to the acquiring party, the number and types of customers to be
				transferred to the acquiring party as a result of the transfer of those
				jurisdictional assets, the contemplated effective date of the transfer, and the
				consideration to be given for consummating the transfer;
(3) A statement as to whether the
				consideration to be given for consummating the transfer is below or above the
				net book value of the transferred assets;
(4) A narrative description of how the
				transferred customers will continue to receive safe and reliable water service
				after the effective date of the transaction, any proposed changes to the rates
				charged for that service after the effective date of the transaction, including
				a summary of the effect that the proposed changes to rates would have on an
				average customer's bill, and any other proposed changes in the terms and
				conditions of that service after such effective date subject to the terms of
				(g) of this Section;
(5) A
				narrative description of the principal occupation or business of the acquiring
				party and all affiliates thereof during the previous five (5) years, and the
				names and relevant biographical information of all principals, officers, and
				directors of the acquiring party;
(6) A narrative description of the
				operational and managerial experience of the acquiring party's personnel to be
				responsible for the operation and management of the facilities to be used to
				provide water service to the transferred customers after the effective date of
				the transaction;
(7) The names,
				addresses, email addresses, and telephone numbers of representatives of the
				acquiring party who will be the contacts for PUD and CSD and who will be
				primarily responsible for:
(A) Customer
				service issues;
(B) Repair and
				maintenance issues;
(C) Customer
				complaint issues;
(D) Authorizing
				and furnishing refunds to customers;
(E) Tariff issues; and
(F) Receiving notices related to causes
				docketed at the Commission;
(8) Audited financial statements of the
				acquiring party, to include but not be limited to balance sheets and income
				statements, covering the previous three (3) years;
(9) An unaudited financial statement of the
				acquiring party, covering the most recent quarter closed immediately preceding
				the filing of the application;
(10)
				An affidavit by the acquiring party stating that the acquiring party possesses
				the financial and managerial ability to provide safe and reliable water utility
				service to the transferred customers and that the acquiring party is aware of
				and will abide by all Commission rules applicable to the provision of such
				service;
(11) The information
				required by OAC
				165:65-11-3(o) and
				(q) and an affirmation that the records and
				reports required by OAC 165:65-9 exist and may be subject to review by the
				Commission during the application process.
(12) A copy of the agreement governing the
				terms of the transaction;
(13) If
				the acquiring party is also a public utility subject to the jurisdiction of the
				Commission, a statement to that effect. The information listed in (5) through
				(9) of this subsection is not required if the acquiring party is a public
				utility currently engaged in the furnishing of public utility services under
				the jurisdiction of the Commission at the time that the application is filed;
				and
(14) The name and address of
				the acquiring party's service agent registered with the Oklahoma Secretary of
				State.