HAMPSTEAD AREA WATER COMPANY, INC.
ORDER No. 25, 968
New Hampshire Public Utilities Commission
November 17, 2016
Petition for Financing Approval - 2016 Capital Additions
Order
Granting Approval of Financing for Ford F-250
Martin
P. Honigberg, Chairman
In this
order, the Commission approves the petition of Hampstead Area
Water Company, Inc., to borrow $39, 674 from Ford Motor
Credit Company. The company will use the loan proceeds to
purchase a 2016 Ford F-250 pickup truck. The Commission finds
the debt consistent with the public good and approves the
financing as proposed.
I.
BACKGROUND
Hampstead
Area Water Company, Inc. (HAWC), is a regulated public
utility and provides water service to over 3, 500 customers
in twelve towns in southern New Hampshire. On October 11,
2016, HAWC submitted a request pursuant to RSA 369:1 for
authority to borrow $39, 674 from Ford Motor Credit Company
to purchase a 2016 Ford F-250 pickup truck with an 8-foot
utility body. After receiving additional information from
HAWC related to the financing, Staff recommended approval.
HAWC's petition and subsequent docket filings, other than
any information for which confidential treatment is requested
of or granted by the Commission, are posted to the
Commission's website at
http://www.puc.nh.gov/Regulatory/Docketbk/2016/16-826.html.
II. POSITIONS OF THE PARTIES
A.
HAWC
HAWC
contends that its petition is consistent with the public
good. HAWC intends to purchase a new 2016 Ford F-250 for use
by one of HAWC's water system operators for its utility
business. The company proposes to finance the purchase by
borrowing $39, 674 from Ford Motor Credit Company at a fixed
interest rate to be determined at closing of 4.89% to 6.00%
for five years. The Company asserts that approval of this
loan and purchase of a new vehicle will better enable HWAC to
provide reliable service to its customers.
B.
Staff
Staff
found the proposed financing and HAWC's use of the
proceeds consistent with the public good and...
