§ 32-64. Change in rates.

(a)

Application. Any public utility holding a valid certificate, and not in violation of any of the provisions of this chapter, desiring to change any rate, or change any rule or regulation relating thereto, shall file with the Board a written application showing the change or changes proposed and shall file with such application a written explanation of the reasons for and the reasonableness of the proposed change or changes and a verified financial statement, together with such other information as may be prescribed by rules or regulations adopted by the Board. Notwithstanding any other provision of Chapter 32 of the Code ofMetropolitan Miami-Dade County, no application, except as provided in subsections (b), (c) and (d), below, to change any rate or to change any rule or regulation relating thereto may be filed with the Board unless and until such application includes a statement of the Environmental Quality Control Board or DERM, the Director, Environmental Resources Management, of approved water service or approved sewage service, as appropriate to such application issued pursuant to Section 24-28 or 24-29 of the Code. No application for a change in rates may be considered unless the application is filed within one hundred eighty (180) days from the date of issue of such statement of approved service and such statement must be valid at the time the Board renders its decision on the application. A valid statement of approved water or sewer service filed by a public utility shall be conclusive proof of the quality of service furnished to the public by said public utility. The Board shall have the power to request and receive updated information from the Department of Environmental Resources Management regarding statements of approved service. The Board shall consider the quality of service as certified by the Environmental Quality Control Board or the Director of Environmental Resources Management in setting water or sewer rates. However, additional evidence concerning the quality of water or sewer service shall not be considered by the Board.

(b)

Cost pass-through clause. Any public utility holding a valid certificate, and not in violation of any of the provisions of this chapter, and

(1)

Which receives all or any part of its utility service (that is, water and sewer service on a bulk basis) from a governmental agency or based on rates set by a governmental agency and which redistributes all or a portion of that service to its utility consumers;

(2)

Which receives electrical power for its water or sewer system operations from a governmental agency, or which pays electrical power rates for water or sewer system operations set by a governmental agency; or

(3)

Which is subject to the payment of County or municipal taxes or service fees on its utility property or revenues;

may apply to the Board for an increase or decrease in the rates it charges when the charges for services or service fees or the taxes it is required to pay under (1), (2) or (3) above are changed. Notwithstanding other provisions of this section, the Board shall have the power to determine whether an increase or decrease in rates for service should be granted, after hearing and without the necessity of a statement of approved service from the Environmental Quality Control Board, or DERM, upon verified notice that the charges of or permitted by the governmental agency have changed. Any rate increase granted under this section shall not exceed the amount of the change in charges of or permitted by the governmental agency. Nothing herein shall prohibit the Board, upon its own motion or upon complaint, after notice to the utility and public hearing, from considering, investigating, changing or fixing those portions of the rates and charges of any public utility described in (1), (2) or (3) above.

(c)

Fire-flow surcharge.

(1)

Any public utility holding a valid certificate, and not in violation of any of the provisions of this chapter, which is required to upgrade its water system to meet the fire-flow requirements specified by Section 2-103.21 of this Code may apply to the Board for a fire-flow surcharge. Notwithstanding other provisions of this section, the Board shall have the power to determine whether a fire-flow surcharge should be granted, after notice and public hearing, without the necessity of a statement of approved service from the Environmental Quality Control Board or DERM. Said surcharge shall be assessed in those areas that require improvements to meet fire-flow standards and shall be based on required fire-flow gallonage, number of building units to be protected, the area of each such unit or any other factor or factors reasonable related to fire-flow protection of the particular area. Any fire-flow surcharge granted under this section shall be set forth separately on each periodic billing.

(2)

The funds collected by the utility as such surcharge shall be deposited in a separate account by the utility in a state or national banking institution or federal savings and loan institution at no less than the prevailing rate of interest. No expenditures shall be made of such funds including the interest thereon except for the purpose of constructing water system improvements which have been determined by the Board as needed to meet Miami-Dade County's fire-flow standards. As soon as reasonably possible after the implementation of this fire-flow surcharge, the utility shall present its plans for expenditure of such funds to the Board for approval and thereafter begin construction. Should the utility provide for phased construction of fire-flow improvements, each phase of construction shall be approved by the Board prior to the expenditure of surcharge funds on that phase.

In the event the public utility is prohibited from depositing such surcharge funds in a separate account, or is prohibited from restricting the expenditure of such surcharge funds and interest thereon to fire-flow improvements, or such deposit or expenditure would cause a default, under existing water system financial agreements of the public utility, including, but not limited to, bond covenants, then such public utility may request a waiver of such requirements from the Board of County Commissioners. Such waiver may be granted by resolution of the Board of County Commissioners, after public hearing. Notwithstanding the granting of a waiver by the Board of County Commissioners, the utility, as soon as reasonably possible after the implementation of the surcharge, shall present its plans for expenditure of funds for the fire-flow improvements to the Board for approval, and thereafter begin construction. Furthermore, notwithstanding the granting of a waiver, should the utility provide for phased construction of fire-flow improvements, each phase of construction shall be approved by the Board prior to the expenditure of any funds therefor.

(3)

In consideration of the privilege to collect and spend the funds obtained by means of this surcharge, each utility shall include with its application filed with the Board an agreement that said utility shall transfer, deed and convey all improvements constructed with fire-flow surcharge funds to Miami-Dade County or the Miami-Dade Water and Sewer Authority without receiving further consideration, within ten (10) days of the date, if every, upon which Miami-Dade County files its petition for condemnation or upon which Miami-Dade County or the Miami-Dade Water and Sewer Authority signs a contract to purchase that utility.

(4)

The utility shall permit the Board, with reasonable notice given, to review on an annual basis the separate surcharge funds account to ensure compliance with the terms of this section. When the Board determines that there are sufficient funds in the trust account reasonably to assure the upgrading of the water system to meet fire-flow standards, it shall immediately order the utility to cease making the surcharge.

(d)

Changes in supplementary charges, rules and regulations. Any public utility holding a valid certificate, and not in violation of any of the provisions of this chapter, may apply to the Board to change such supplementary charges for turn-on, turn-off, deposit, developer contributions in aid of construction and any other rate which is supplementary to the rates charged for the furnishing of water and sewer service, as well as changes in any rule or regulation relating thereto. Notwithstanding other provisions of this section, the Board shall have the power to determine whether such increase or decrease in supplementary rate or change in rule or regulation relating thereto should be granted, after notice and public hearing and without the necessity of a statement of approved service from the Environmental Quality Control Board or DERM. Nothing herein shall prohibit the Board, upon its own motion or upon complaint, after notice to the utility and public hearing, from considering investigating, changing or fixing the supplementary rates and charges and any rule or regulation relating thereto of any public utility.

(e)

Notice of hearing date. The public utility shall notify all of its customers of:

(1)

The date, time and place of the public hearing as set by the Board;

(2)

The present rate charged by the public utility;

(3)

The new rate proposed by the public utility in its application to the Board;

(4)

The name, address and phone number of the Water and Sewer Board; and

(5)

The name, address and phone number of the consumer advocate.

Such notice shall be received not less than fifteen (15) days before the date of the public hearing as set by the Board. Notice under this section may be given by special letter, may be included in the public utility's billing correspondence, or may be stamped on the public utility's billing forms; provided, however, that notice in any form provided herein must be received not less than the said fifteen (15) days before the date of the hearing as set by the Board. Said special letter or other form of notice must be reviewed and approved by the Board's staff prior to mailing.

However, notice of hearing held pursuant to subsections (b) and (d) above, "cost pass-through clause," and "changes in supplementary changes and rules" shall be by one (1) publication in a newspaper of general circulation no less than seven (7) days before the date of the hearing.

(f)

Public hearing. The Board shall hold the public hearing at the date, time and place as scheduled to determine whether the proposed rates are just, reasonable, sufficient, compensatory or excessive. Every public hearing shall be conducted with all practicable and feasible expedition and with only such continuances or other delays as in the judgment of the Board are imperatively and unavoidably necessary in the public interest. At such public hearing it shall be the burden of the public utility to justify any increase in existing rates by appropriate and proper testimony and evidence. Any continuance or adjournment must be to a date, time and place certain, and such date, time and place must be determined and announced at the public hearing before the continuance or adjournment is made.

(g)

Decision of Board within specified time. Within sixty (60) days after concluding such public hearing, the Board shall render its decision upon the application, which decision shall embody a statement by the Board of the reasons therefor and finding of the facts upon which the determination is predicated.

(Ord. No. 60-20, § 22, 7-5-60; Ord. No. 69-8, § 1, 2-4-69; Ord. No. 75-28, §§ 12—14, 5-7-75; Ord. No. 77-14, § 3, 3-1-77; Ord. No. 77-41, § 1, 6-21-77; Ord. No. 78-88, § 1, 12-12-78; Ord. No. 78-92, § 1, 12-12-78; Ord. No. 80-73, § 1, 7-1-80; Ord. No. 80-111, § 1, 10-7-80; Ord. No. 83-101, § 1, 11-1-83)