Negative Revenue Adjustments Assessed for Alleged Gas Safety Violations in 2014, 2015, and 2016
NY-ADR
2/21/18 N.Y. St. Reg. PSC-08-18-00004-P
NEW YORK STATE REGISTER
VOLUME XL, ISSUE 8
February 21, 2018
RULE MAKING ACTIVITIES
PUBLIC SERVICE COMMISSION
PROPOSED RULE MAKING
NO HEARING(S) SCHEDULED
I.D No. PSC-08-18-00004-P
Negative Revenue Adjustments Assessed for Alleged Gas Safety Violations in 2014, 2015, and 2016
PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following proposed rule:
Proposed Action:
The Commission is considering a joint proposal filed by Department of Public Service Staff and National Fuel Gas Distribution Corporation to resolve issues related to Negative Revenue Adjustments (NRAs) assessed for years 2014, 2015 and 2016.
Statutory authority:
Public Service Law, sections 5, 65 and 66
Subject:
Negative revenue adjustments assessed for alleged gas safety violations in 2014, 2015, and 2016.
Purpose:
To encourage active efforts by the utility company to maximize gas safety.
Substance of proposed rule:
The Public Service Commission is considering a joint proposal filed on January 23, 2018 by Department of Public Service Staff (Staff) and National Fuel Gas Distribution Corporation (NFGD). The joint proposal resolves disputes between Staff and NFGD regarding negative revenue adjustments (NRAs) assessed against NFGD for alleged violations of Gas Safety Performance Mechanisms that were established in the two-year rate plan approved by the Commission in May 2014. The NRAs were assessed for alleged violations discovered during Staff audits conducted in 2014, 2015 and 2016. Pursuant to the joint proposal, settlement of the disputes would cost NFGD $930,000, which would be deposited into NFGD’s Leak Prone Pipe Replacement and Safety Fund. The funds would be used to replace NFGD’s aging infrastructure. In addition, NFGD proposes to withdraw various appeals and a rehearing petition currently pending before the Commission regarding the NRAs. In consideration, Staff proposes to waive its rights to seek further NRAs against NFGD with respect to NFGD’s actions, inactions, or practices under the Gas Safety Performance Mechanisms established in the May 2014 Order. The full text of the joint proposal may be reviewed online at the Department of Public Service web page: www.dps.ny.gov. The Commission may adopt, reject, or modify, in whole or in part, the relief proposed and may resolve related matters.
Text of proposed rule and any required statements and analyses may be obtained by filing a Document Request Form (F-96) located on our website http://www.dps.ny.gov/f96dir.htm. For questions, contact:
John Pitucci, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, (518) 486-2655, email: [email protected]
Data, views or arguments may be submitted to:
Kathleen H. Burgess, Secretary, Public Service Commission, 3 Empire State Plaza, Albany, New York 12223-1350, (518) 474-6530, email: [email protected]
Public comment will be received until:
April 22, 2018.
Regulatory Impact Statement, Regulatory Flexibility Analysis, Rural Area Flexibility Analysis and Job Impact Statement
Statements and analyses are not submitted with this notice because the proposed rule is within the definition contained in section 102(2)(a)(ii) of the State Administrative Procedure Act.
(13-G-0136SP7)
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