N.J. Admin. Code § 14:9-6.11

Current through Register Vol. 56, No. 24, December 18, 2024

Section 14:9-6.11 - Acquisition costs

(a) If the small water company and/or small sewer company have not agreed with the acquiring entity as to acquisition costs or other matters relevant to the takeover proceedings, the Board's and the Department's designated representatives shall convene at least one meeting within 60 days of the issuance of the joint hearing report required by N.J.A.C. 14:9-6.9(a). If all matters are not resolved at this meeting, another meeting shall be held within 15 days after issuance of the proposed joint takeover order.

(b) The meetings required under (a) above shall address issues that must be resolved in order to complete the takeover proceedings required under this subchapter.

(c) Representatives of Rate Counsel, non-complying small water company and/or small sewer company, and the acquiring entity shall be notified of each meeting.

(d) Meetings shall be continued if the Department's and Board's designated representatives determine that a reasonable possibility of success for an agreement exists.

(e) The Board's and the Department's representatives shall certify in writing, to the Department and the Board, the status of these meetings every three months.

(f) An agreement between the acquiring entity and the small water company and/or small sewer company on acquisition costs shall not be final unless the Board and the Department approve the agreement.

(g) If the acquiring entity and the small water company and/or small sewer company do not come to an agreement on acquisition costs, or if the entities agree but the Board does not approve the acquisition costs, the purchase price for the small water company and/or small sewer company shall be determined through the use of eminent domain, in accordance with N.J.S.A. 20:3-1 et seq. The acquiring entity shall provide notice of the commencement of these proceedings to the Board, the Department, and all affected persons.

(h) If the parties to the proceedings reach an agreement on acquisition costs, which the Board approves, the Board and the Department shall continue proceedings under the Act in accordance with this subchapter.

(i) The proposed joint takeover order shall provide that any acquisition costs that the Board staff, after consultation with Department staff and Rate Counsel, determines are necessary and reasonable may be included in the acquiring entity's rates, provided that the small water company and/or small sewer company agree. The Board staff's determination under this subsection shall be based on evidence from the joint public hearing and comments on the joint hearing report.

N.J. Admin. Code § 14:9-6.11

Amended by R.2006 d.367, effective 10/16/2006.
See: 38 N.J.R. 1538(a), 38 N.J.R. 4490(b).
Rewrote the section.
Amended by R.2014 d.049, effective 3/17/2014.
See: 45 N.J.R. 2174(a), 46 N.J.R. 550(a).
In (a), substituted "required by" for "pursuant to", and updated the N.J.A.C. reference.