THE NEW JERSEY DIVISION OF THE RATEPAYER ADVOCATE ANNUAL REPORT JANUARY – DECEMBER 31, 2005 Richard J. Codey Seema M. Singh, Esq. Governor Ratepayer Advocate PREPARED BY SEEMA M. SINGH, ESQ RATEPAYER ADVOCATE 31 CLINTON STREET, 11TH FLOOR P.O. BOX 46005 NEWARK, NJ 07101 Tel: (973) 648-2690 • Fax: (973) 648-2193 • E-mail: [email protected] • Website: www.rpa.state.nj.us THE NEW JERSEY DIVISION OF THE RATEPAYER ADVOCATE ANNUAL REPORT JANUARY - DECEMBER 31, 2005 BY SEEMA M. SINGH, ESQ RATEPAYER ADVOCATE RATEPAYER ADVOCATE STAFF MEMBERS SEEMA M. SINGH, ESQ., Ratepayer Advocate Kimberly K. Holmes, Esq., Chief of Staff LEGISLATIVE OFFICE Paul Flanagan, Esq., Litigation Manager 28 W. State St. Michelle Giles, Legislative Liaison P. O. Box 560 Robyn Roberts, Public Information Officer Trenton, NJ 08625 Donna Carney, Office Manager MANAGING ATTORNEYS ELECTRIC- Ami Morita, Esq. NATURAL GAS - Felicia Thomas-Friel, Esq. TELECOMMUNICATIONS/CABLE TV - Christopher White, Esq. WATER/WASTEWATER - Paul Flanagan, Esq. (Acting) STAFF ATTORNEYS Judith Appel, Esq. James Glassen, Esq. Gina Hunt, Esq. Christine Juarez, Esq. Kurt Lewandowski, Esq. Susan McClure, Esq. Maria Novas-Ruiz, Esq. Henry Ogden, Esq. Jose Rivera-Benitez, Esq. Debra Robinson, Esq. Diane Schulze, Esq. Sarah Steindel, Esq. Badrhn Ubushin, Esq. LEGAL ASSOCIATE Bernard Smalls ATTORNEY ASSISTANTS Estrella Dominguez Lisa Gurkas Shelly Massey Tara Thomas SUPPORT STAFF Ivette A. Altamirano Esther Anta Veronica Benimadho Elsie Bradley Peggy Clemons Carmen Cotto Fabio Corro Bridgett Oloyede Leyda Rosario Vannessa Thompson Pamela Wright FISCAL AND ACCOUNTING SERVICES Florence Faraone, Chief Accountant Richard Hochstead, Accountant COMPUTER SERVICES Jose Selaya, Systems Manager Sandeep Sikka, Data Processing Programmer TABLE OF CONTENTS Page I. INTRODUCTION..................................................................................................iii A. SELECTED LISTING OF THE RATEPAYER ADVOCATE’S PUBLIC PRESENTATIONS IN 2005.......................................................................1 B. RATEPAYER ADVOCATE PARTICIPATION IN STATE AND NATIONAL UTILITY POLICY, WORKING GROUPS AND PROFESSIONAL ORGANIZATIONS .............................15 C. PUBLICATIONS.................................................................................................20 II. 2005 LEGISLATIVE REPORT............................................................................22 III. ENERGY............................................................................................................ 28 A. ENERGY RESTRUCTURING..................................................................28 B. MAJOR ENERGY PROCEEDINGS IN 2005........................................... 28 C. ELECTRIC MATTERS ..............................................................................40 D. NATURAL GAS MATTERS.......................................................................67 IV. TELECOMMUNICATIONS AND CABLE TELEVISION PROCEEDINGS AND DEVELOPMENTS......................................................................................77 A. FCC DEVELOPMENTS IN 2005..................................................................... 78 B. TELECOMMUNICATIONS - STATE PROCEEDINGS .......................................91 C . CABLE TELEVISION..........................................................................................115 V. WATER AND WASTEWATER........................................................................... 122 A. WATER QUALITY ISSUES ........................................................................ 122 B. BASE RATE CASES-WATER.........................................................................124 C. BASE RATE CASES-WASTEWATER (SEWER)...........................................132 D. MERGERS AND ACQUISITIONS ..................................................................133 i E. PURCHASED SEWERAGE TREATMENT ADJUSTMENT CLAUSES (“PSTAC”).......................................................................................................137 F. MUNICIPAL CONSENT MATTERS................................................................139 G. OTHER WATER RELATED MATTERS..........................................................139 i i A. SELECTED LISTING OF PUBLIC PRESENTATIONS BY THE RATEPAYER ADVOCATE IN 20051 JANUARY 5 Presentation, Public Hearing, In the Matter of the Petition of Atlantic City Electric, BPU Docket No. EE0411374, Cape May Court House, Middle Township 11 Moderator, New Jersey Technology Council “Beyond Outsourcing NJ and India”, 744 Broad St., Newark, New Jersey 12 Presentation, New Home Dedication, New Jersey Natural Gas, Asbury Park, New Jersey 14 Panelist “Women on Top”, South Asian Leadership Forum, Los Angeles, CA 16 Participation, 19th Annual Martin Luther King, Jr. Commemorative Celebration Ceremony, War Memorial, Trenton, New Jersey 21 Speaker, Chinese Cultural Night, South Jersey Community Center, Cherry Hill, New Jersey 25 Consumer Education Presentation, AARP Chapter, Roxbury Dept. of Recreation Building., Succasumna, New Jersey 26 55th Republic Day Greetings – WCNJ Radio 31 Participation in “LIHEAP: Action Day”, U.S. Congress, Washington, D.C. FEBRUARY 10 Meeting with Commissioner Jacob, Department of Health: Assisted Living Facilities, Trenton, New Jersey. 12 Presentation for Governor to the Greater Southern NJ Korean Association, Asian New Year’s Celebration, Angeloni’s Cedar Garden, Trenton, New Jersey 1The Ratepayer Advocate or her designee made each of the presentations listed. This listing does not include numerous small meetings and presentations held throughout the year at the request of individual state and municipal legislators, legislative and municipal staff people, representatives of not-for- profit advocacy groups, community organizations, retirement communities and individual ratepayers. 1 17 Presentation on Telecommunications Industry Forecast, New Jersey Technology Council, AT&T Headquarters, Bedminister, New Jersey 19 Keynote Speaker on Human Rights for Immigrants, New Jersey Immigration Policy Network at Rutgers University Labor Education Center, New Brunswick, New Jersey 25 Participation in State Homeland Security Exercise, War Memorial, Trenton, New Jersey 26 Presentation for Governor at the Asian American Engineer of the Year Award Banquet, Whippany, New Jersey 26 Keynote speaker, “Women in Law and Public Policy”, South Asian Women’s Leadership Conference, Price Waterhouse, New York City, New York 28 Keynote, Women’s Roundtable on Domestic Violence, Ratepayer Advocate Office, Newark, New Jersey MARCH 4 Presentation, Energy Assistance Grant Presentation Elizabethtown Gas and AGL Resources Foundation, Union Plaza, New Jersey 4 Keynote speaker, MANAVI’S 20th Anniversary Dinner, South Brunswick, New Jersey 5 Presentation, 30th Anniversary Celebration, Chinese American Cultural Association, Whippany, New Jersey 8 Presentation on behalf of Ratepayers to the Board of Directors of New Jersey Natural Gas Company Headquarters, Wall, New Jersey 12 Keynote, South Asian Bar Association of New Jersey, Hilton Woodbridge, Iselin, New Jersey 16 Radio Interview on Imaginasian Radio, San Francisco on Asian Indian Non- Traditional Professions, Broadcast on 96.1FKFQQ 16 Introductory Remarks Tomorrow’s Leaders: Living Dr. King’s Dream Today, Martin Luther King Commemorative Awards Ceremony, Ratepayer Advocate Office, Newark, New Jersey 17 Participation, NJ Immigration Policy Network, Healthcare Training Symposium, Beth Israel Medical Center, Newark, New Jersey 2 19 Presentation, Issues Affecting South Asians in Post 9/11 America to South Asian Leaders of Tomorrow (SAALT), Edison Public Library, Edison, New Jersey 21 Panelist, Women Change America in observance of National Women’s History Month sponsored by New Jersey Natural Gas, Wall, New Jersey 24 Consumer Education Presentation on Conservation, Energy Efficiency, Solar Energy and How to Read Your Utility Bill, New Brunswick Senior Citizen’s Resource Center, New Brunswick, New Jersey 30 Panelist, Legislative and Communication Strategies for LIHEAP and Fuel Fund Fundraising at the American Gas Association (AGA) Public Affairs Forum, savannah, GA APRIL 2 Keynote, Tsunami Aid Fundraiser, sponsored by Swarsaagar Academy of Music & Rita Dance Academy, Woodbridge High School, Woodbridge, New Jersey 9 Keynote, March of Dimes Rangeela 2005, West Windsor Plainsboro High School, West Windsor, New Jersey 10 Presentation on behalf of Governor to the 30th Annual Heritage Festival Ball, May Fair Farms, West Orange, New Jersey 13 Interview on Prime Time, Points of Views on Emerging Utility Issues by American Desi TV, New York City, New York 16 Keynote speaker and Honoree, Garden State Sikh Association, Bridgewater Raritan Middle School, Bridgewater, New Jersey 21 Speaker, New Jersey State Bar Association’s Public Utility Law Section Spring Annual Conference, Woodbridge Sheraton, Iselin, New Jersey 22 Presentation, NJ Chamber of Commerce’s 8th Annual NJ Small Business Conference, New Brunswick, New Jersey 29 Presentation, Public Hearing on Regulations of Cable Television Bills for Service, Form of Bill, Due Date of Payment and Notice of Discontinuance, Proposed Amendments to N.J.A.C. 14:18-3.7 and 3.9, Board of Public Utilities, Newark, New Jersey 3 MAY 2 Presentation of Awards, NJ Employee Recognition Awards Ceremony, War Memorial, Trenton, New Jersey 4 Presentation, “Safe Drinking Water Celebration” Iselin, New Jersey 6 Presentation for Governor at NJ Chinese American Chamber of Commerce 2nd Anniversary Gala, Edison, New Jersey 9 Presentation, Dedication of Photovoltaic System at Island Beach State Park, Seaside Park, New Jersey 17 Presentation, Consumer Issues to the Board of Directors for New Jersey Natural Gas Company, Wall, New Jersey 19 Presentation, Libraries-on-Line Open House, Long Branch Public Library, Long Branch, New Jersey 20 Participation, “Shaping New Jersey’s Future in Telecommunications” at Princeton University, Princeton, New Jersey 23 Presentation, Asian Pacific American Heritage Month Celebration, Ratepayer Advocate Office, Newark, New Jersey 26 Presentation, “Volunteers to Assist Victims of Domestic Violence in the Asian American Community”, Project Planning Meeting, Ratepayer Advocate Office, Newark, New Jersey 28 Participation on behalf of Governor at National Federation of Indian American Associations (NFIA) 25th Anniversary Celebration, Terrace on the Park, Queens, New York JUNE 3 Participation Employment Law Seminar, NJ Department of Personnel, Mercer County Community College, West Windsor, New Jersey 12 Presentation Indian American Political Action Council Anniversary Dinner, Crowne Plaza, Englewood, New Jersey 15 Panelist, New Jersey League of Municipalities Mayor’s State Summit, on The Status of Verizon System Wide Video Telecommunications Franchise, Lawrenceville National Guard Armory, New Jersey 4 23 Convened Women’s Roundtable on Domestic Violence Planning, Ratepayer Advocate Office, Newark, New Jersey 23 Participation at New Jersey Chamber of Commerce 8th Annual Legislative Reception, Trenton, New Jersey 25 Keynote Speaker 4th Annual Hindi Mahotsav, International Hindi Association West Windsor at Plainsboro High School, Plainsboro, New Jersey 30 Interview EBC (WTTM 1689 AM) Radio on the “Four Cs of Conservation” Metuchen, New Jersey JULY 3 Speaker, Human and Legal Rights of Immigrants at 2005 North American Bengali Conference Hotel, New York, New York 6 Consumer Education Presentation on “Conservation, Energy Efficiency, Solar Energy and How to Read Your Utility Bill,” Harrison, New Jersey 11 Speaker at the New Jersey Motor Vehicle Commission (MVC) Initiative for Non- U.S Citizens, Harrison Senior Citizens Center MVC, Press Conference, MVC Wayne Regional Center, Wayne, New Jersey 15 Consumer Education Presentation on Conservation, Energy Efficiency, Solar Energy and How to Read Your Utility Bill to Morris Council of Older Persons, Morris Plains, New Jersey 21 Presentation, on the Awarding of 100,000 New Jersey SHARE Grants, New Jersey Board of Public Utilities, Newark, New Jersey 27 Interview, EBC Radio on the Importance of Community Involvement in CERT (Community Emergency Response Teams), Metuchen, New Jersey 28 Presentation on “Domestic Violence in Asian American Communities”, Ratepayer Advocate Office, Newark, New Jersey 29 Induction as member to New Jersey Council on Volunteerism, Governor’s Office State House, Trenton, New Jersey AUGUST 9 Presentation, Public Hearing in the Matter of the Petition of Pivotal Utility Holdings d/b/a Elizabethtown Gas Company to (1) Reconcile its Periodic Basic Gas Supply and Industrial Air Conditioning Distributed Generation 5
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