B R I T IS H C O LU M B I A U T IL IT I E S C O M M IS S I O N O R D ER N U M B E R G-53-96 SIXTH FLOOR, 900 HOWE STREET, BOX 250 a TELEPHONE: (604) 660-4700 VANCOUVER, B.C. V6Z 2N3 BC TOLL FREE: 1-800-663-1385 CANADA FACSIMILE: (604) 660-1102 IN THE MATTER OF the Utilities Commission Act, S.B.C. 1980, c. 60, as amended and An Application by Centra Gas Fort St. John Inc. for Approval to Fix the Cost of Floating Rate Debt BEFORE: L.R. Barr, Deputy Chairperson; and ) F.C. Leighton, Commissioner ) June 3, 1996 O R D E R WHEREAS: A. On DecemberÊ20, 1995 Centra Gas Fort St. John Inc.Ê("Centra Gas") filed with the Commission its 1996/97 Revenue Requirements and Rate Design ApplicationÊ("the Rate Application") with additional evidence filed on JanuaryÊ8 and FebruaryÊ14, 1996; and B. The revenue requirements portion of the Rate Application was reviewed by the Negotiated Settlement Procedures through a settlement conference held on AprilÊ15, 1996 which resulted in a negotiated settlement. The negotiated settlement was approved by the Commission at a public hearing in Fort St.ÊJohn,ÊB.C. on MayÊ6, 1996. The settlement included agreement between Centra Gas, customer representatives and Commission staff to fix the cost of floating rate debt in order to minimize the exposure of the utility to interest rate fluctuations; and C. On MayÊ8, 1996 Centra Gas, pursuant to SectionÊ57 of the Utilities Commission ActÊ("the Act"), applied to the Commission to fix the cost of $8Êmillion of its existing floating rate debt for eight years through an interest rate swap at a weighted average all-in cost rate not exceeding 9.0Êpercent, on or before MayÊ15, 1996 ("the Application"); and D. As a result of staff information requests, Centra Gas filed a revised Application on MayÊ27, 1996, requesting approval to fix the cost of Floating Rate Debt effective upon receipt of such Commission approval; and E. The Commission has reviewed the revised Application and supporting material and finds that approval is necessary and in the public interest. NOW THEREFORE the Commission orders as follows: 1. The Commission approves for Centra Gas, pursuant to SectionÊ57 of the Act, the MayÊ27, 1996 Application to fix $8Êmillion of its existing floating rate debt for eight years at a weighted average all-in cost not to exceed 8.75Êpercent, subject to completion on a timely basis. . . . /2
2 2. Centra Gas is to provide the Commission with a copy of the competing bids from each financial institution showing the calculation of the all-in cost of the interest rate swap, including substantiation of the bid selected. 3. Centra Gas is to file with the Commission the final terms of the interest rate swap approved by this Order. DATED at the City of Vancouver, in the Province of British Columbia, this ÊÊÊÊÊÊÊÊ3rdÊÊÊÊÊÊÊday of June, 1996. Orders/CGFSJ-FltgPriceDebtB R IT I S H C O L U M B I A U T IL I T IE S C O M M I S S I O N O R D E R N U M B ER G-53-96 BY ORDER Original signed by: Lorna R. Barr Deputy Chairperson
You are being directed to the most recent version of the statute which may not be the version considered at the time of the judgment.