Kentucky Public Service Commission

Final Order Entered: 1. The findings contained in the Staff Report are adopted and incorporated by reference into this Order as if fully set out herein. 2. The rates proposed by Jonathan Creek County are denied. 3. The rates set forth in the Appendix to this Order are approved for services rendered by Jonathan Creek on and after the date of this Order. 4. Within 20 days of the date of this Order, Jonathan Creek shall file with this Commission, using the Commission's electronic Tariff Filing System, new tariff sheets setting forth the rates and charges approved herein and their effective date, and stating that the rates and charges were authorized by this Order. 5. Jonathan Creek shall use the mid-point of the depreciable life ranges found reasonable in the National Association of Regulatory Utility Commissioners' publication titled Depreciation Practices for Small Utilities, as proposed in the application and agreed upon by Staff, to depreciate water plant assets for accounting purposes in all future reporting periods. No adjustment to accumulated depreciation, or retained earnings should be made to account for this change in the accounting estimate.

Jonathan Creek Water District Response to Commission Staff Report

Notice of Filing of Commission Staff Report

Order Entered: 1. No later than November 30, 2017, Commission Staff shall file with the Commission and serve upon all parties of record a written report containing its findings and recommendations regarding Jonathan Creek's requested rate adjustment. 2. All provisions of the Commission's Order of August 16, 2017, in conflict with the provisions of this Order are vacated. All other provisions of the Order of August 16, 2017, shall remain in effect.

Order Entered: 1. No later than November 2, 2017, Commission Staff shall file with the Commission and serve upon all parties of record a written report ("Commission Staff Report") containing its findings and recommendations regarding Jonathan Creek's requested rate adjustment. 2. No later than 14 days after the date of the filing of the Commission Staff Report each party of record shall file with the Commission: a. Its written comments on and any objections to the findings contained in the Commission Staff Report; and b. Any additional evidence for the Commission to consider. 3. If Commission Staff finds that Jonathan Creek's financial condition supports a higher rate than Jonathan Creek proposes or the assessment of an additional rate or charge not proposed in the Application, Jonathan Creek in its response to the Commission Staff Report shall also state its position in writing on whether the Commission should authorize the assessment of the higher rate or the additional rate or charge. 4. If Commission Staff finds that changes should be made to the manner in which Jonathan Creek accounts for the depreciation of Jonathan Creek's assets, Jonathan Creek in its response to the Commission Staff Report shall also state its position in writing on whether the Commission should require Jonathan Creek to implement the proposed change for accounting purposes.

No deficiency letter

Acknowledge Receipt of Filing

Jonathan Creek Water District Application for an Alternative Rate Adjustment