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BOROUGH MEDIA AND MEDIA MUNICIPAL AUTHORITY v. PENNSYLVANIA PUBLIC UTILITY COMMISSION (08/21/80)

decided: August 21, 1980.

BOROUGH OF MEDIA AND THE MEDIA MUNICIPAL AUTHORITY, PETITIONERS
v.
THE PENNSYLVANIA PUBLIC UTILITY COMMISSION, RESPONDENT



Original jurisdiction in case of Borough of Media and the Media Municipal Authority v. The Pennsylvania Public Utility Commission.

COUNSEL

D. Barry Gibbons, Gibbons, Buckley, Smith, Palmer and Proud, for petitioner, Borough of Media.

Edward M. Gallagher, for petitioner, Media Municipal Authority.

No appearance for respondent.

Judge Rogers. Opinion by Judge Rogers.

Author: Rogers

[ 53 Pa. Commw. Page 536]

The Borough of Media owns and operates the Media Water Company which provides water service to customers in the Borough and also outside the Borough, including among the latter customers resident in the Townships of Nether Providence, Middletown and Upper Providence.*fn1 The Borough's rates and services to customers outside the Borough are of course subject to regulation by The Pennsylvania Public Utility Commission (PUC). The Borough wants to transfer all of its right, title and interest in the Media Water Company to the Media Municipal Authority, an Authority created by the Borough some time ago and heretofore used as the financial arm of the Media Water Company. The Authority has not been engaged in operating the Media Water Company. One of the purposes of the proposed transfer is that the rates of the Media Water Company might be relieved of regulation by the PUC.

On May 9, 1980, the Court of Common Pleas of Delaware County at the suit of the townships above named enjoined the Borough from effecting the transfer of the Media Water Company's properties to the Authority pending a determination by PUC of the propriety of the transfer.

On May 22, 1980, the Borough and the Authority filed in this court the Petition for Review seeking a declaratory judgment with respect to PUC's jurisdiction over the transfer and with respect to whether the Borough is required to obtain a Certificate of Convenience from PUC prior to abandoning its service to customers outside the Borough.

[ 53 Pa. Commw. Page 537]

On May 23, 1980, the Borough filed with PUC an application for a Certificate of Public Convenience reserving, however, the question of PUC's jurisdiction of the abandonment of service of the transfer to the Authority.*fn2

PUC has filed preliminary objections to the Borough and Authority's Petition for Review on the ground, inter alia, that PUC has exclusive jurisdiction over the matter of the proposed abandonment of out-of-Borough service and that therefore this court has none. The Borough and the Authority have filed a motion for summary relief pursuant to R.A.P. 1532(b), founded on their assertion that PUC has no jurisdiction of the abandonment of service by the Borough by transfer of the Water Company properties ...


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