DF 98-090
PENNICHUCK WATER WORKS, INC.
Petition for Authority to Issue and
Sell $450,000 of Unsecured Debt
Order Nisi Approving Financing
O R D E R N O. 22,959
June 22, 1998
The Petitioner, Pennichuck Water Works, Inc. (PWW or
the Company), is a public utility engaged in the distribution and
sale of water in and about the City of Nashua and portions of the
Towns of Merrimack, Milford, Amherst, Hollis, Derry, Epping,
Bedford and Plaistow, New Hampshire. On May 22, 1998, PWW filed
a petition seeking authorization to issue and sell unsecured debt
securities in the amount of $445,000. The proceeds will be used
to develop and construct additional wells and storage facilities
in the East Derry and Hubbard Hill Community Water Systems to
accommodate current supply deficiencies and projected increases
in water demand.
The Company has filed an application with the New
Hampshire Department of Environmental Services (NHDES) State
Revolving Loan Fund (SRF) for the projects. The East Derry and
Hubbard Hill Community Water Systems are included on the State's
FY97 Drinking Water State Revolving Loan Priority List. The
financing will be for 20 years at a fixed annual rate of 4.216%.
PWW will be required to provide the State of New Hampshire with
security for these borrowings in the form of a collateral
assignment of its East Derry and Hubbard Hill receipts.
Based upon Staff's review, we find the proposed
financing and use of the proceeds to be prudent and in the public
interest. We hereby instruct PWW to forward the final terms of
the financing to the Commission as soon as they are available.
Based upon the foregoing, it is hereby
ORDERED NISI, that pursuant to RSA 369, PWW is
authorized to borrow up to $445,000 under the terms and
conditions set forth above; and it is
FURTHER ORDERED, that PWW submit the final terms and
conditions of the financing to the Commission as soon as they are
available; and it is
FURTHER ORDERED, that pursuant to N.H. Admin. Rules,
Puc 1604.03 or Puc 1605.03, the Petitioner shall cause a copy of
this Order Nisi to be published once in a statewide newspaper of
general circulation or of circulation in those portions of the
state where operations are conducted, such publication to be no
later than June 29, 1998 and to be documented by affidavit filed
with this office on or before July 6, 1998; and it is
FURTHER ORDERED, that all persons interested in
responding to this petition be notified that they may submit
their comments or file a written request for a hearing on this
matter before the Commission no later than July 13, 1998; and it
is
FURTHER ORDERED, that any party interested in
responding to such comments or request for hearing shall do so no
later than July 20, 1998; and it is
FURTHER ORDERED, that this Order Nisi shall be
effective July 22, 1998, unless the Commission provides otherwise
in a supplemental order issued prior to the effective date; and
it is
By order of the Public Utilities Commission of New
Hampshire this twenty-second day of June, 1998.
Douglas L. Patch Bruce B. Ellsworth Susan S. Geiger
Chairman Commissioner Commissioner
Attested by:
Claire D. DiCicco
Assistant Secretary