1. (1) This rule applies to rate-regulated water utilities.

2. (2) CWIP is an accounting treatment for capital improvement projects under construction, but not yet placed in service. The treatment allows rate-regulated water utilities to place recoverable capital improvements costs into plant. The Commission may approve the cost of a specific capital improvement project into rates if:

   1. (a) The capital improvement project is under construction;
   2. (b) The water utility uses the additional revenues solely for the purpose of completing the capital improvement project;
   3. (c) The water utility demonstrates that it is in the public interest to provide funding for the capital improvement through rates; and
   4. (d) The costs are approved by the Commission.

Statutory/Other Authority

ORS 183, 756 & 757

Statutes/Other Implemented

ORS 756.040, 757.120 & 757.355

History

PUC 1-2017, f. & cert. ef. 1-24-17