After rejecting a request by EPCOR Water for a consolidation of districts and new water rates late last month, the Arizona Corporation Commission immediately ordered the company to submit a new application for interim rates for its service areas.

The hearing officer for the new case held an organizational hearing on the matter Friday, Feb. 1, and has set dates for public input and a new hearing next week. Public input is set for 10 a.m. on Tuesday, Feb. 19, at the commission offices, 1200 W. Washington St. in Phoenix. Hearings are set for Feb. 20 and 21, also at 10 a.m. in the same downtown offices.

At the commission meeting on Jan. 25, the motion to approve the consolidation/rate application failed to pass on a 2-2 vote. Tie votes defer to the negative.

The commission has just 60 days to make a decision on the interim rates. Based on that EPCOR officials expect a decision at a March meeting of the board, according to Rebecca Stenholm, the community and government relations manager for EPCOR.

The EPCOR Chaparral district that covers Fountain Hills last had a rate increase in mid-2014 based on a test year of 2012. A surcharge was applied to the rate here is 2017.

EPCOR was acting on an order from the commission to apply for a consolidation of its 11 separate districts of operation. It had filed the application seeking consolidation of those districts to include new single rate schedule for all operations. The administrative law judge who heard that case recommended that the plan not go forward at this time. Stenholm said it is not known when or if the company will revisit the consolidation option.

Commissioner Sandra Kennedy had recused herself from the case. In a letter to the chairman on Jan. 14, Kennedy explained that while campaigning for election this past fall she was accused of violating the ex parte rules in the EPCOR case. Ex parte prohibits officials from discussing cases they might rule on while campaigning.

Kennedy said she does not believe she violated the rules, but chose to excuse herself to avoid any appearance of ethical concern.