A platform for research: civil engineering, architecture and urbanism
A platform for research: civil engineering, architecture and urbanism
City's Rate Increase Affirmed
Clarksville, Arkansas, owned a water utility system and operated it through the Clarksville Light and Water commission (CLWC). CLWC served retail customers inside and outside the city limits and also sold treated water wholesale to six other nearby systems. These transactions were governed by contracts that provided any rate increase or decrease should be based on a demonstrable increase or decrease in the cost of performance. In 1989, after conducting a rate study, the city raised rates for all customers effective April 15, 1990. The new rate structure resulted in an average wholesale price to the six systems of $1.56/1,000 gal. The systems refused to pay the higher rate but continued to pay the previous rate of $0.78/1,000 gal. The city sued the six systems to recover the difference, and the trial court ruled for the city.
City's Rate Increase Affirmed
Clarksville, Arkansas, owned a water utility system and operated it through the Clarksville Light and Water commission (CLWC). CLWC served retail customers inside and outside the city limits and also sold treated water wholesale to six other nearby systems. These transactions were governed by contracts that provided any rate increase or decrease should be based on a demonstrable increase or decrease in the cost of performance. In 1989, after conducting a rate study, the city raised rates for all customers effective April 15, 1990. The new rate structure resulted in an average wholesale price to the six systems of $1.56/1,000 gal. The systems refused to pay the higher rate but continued to pay the previous rate of $0.78/1,000 gal. The city sued the six systems to recover the difference, and the trial court ruled for the city.
City's Rate Increase Affirmed
1994-07-01
1 pages
Article (Journal)
Electronic Resource
English
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