Section 704.63425 - System improvement rate: Filing deadline for application; requirements; recalculation and modification1. 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.
3. The system improvement rate revenue requirement calculated as part of an application must be recalculated in any subsequent application to establish a system improvement rate submitted pursuant to subsection 1. The system improvement rate revenue requirement must be modified annually in the manner prescribed by NAC 704.63435.Nev. Admin. Code § 704.63425
Added to NAC by Pub. Utilities Comm'n by R078-14, eff. 12/22/2014NRS 703.025, 704.210, 704.661, 704.663