|SB 0366||Allows gas and electric corporations to petition PSC for preconstruction determination of ratemaking principles|
|LR Number:||0786S.03I||Fiscal Note:||0786-03|
|Committee:||Commerce and Environment|
|Last Action:||03/18/03 - SCS Voted Do Pass S Commerce & Environment||Journal page:|
|Title:||SCS SB 366|
|Effective Date:||August 28, 2003|
SCS/SB 366 - This act allows gas and electrical corporations to file a petition with the Public Service Commission (PSC) for a determination of ratemaking principles and treatment which would apply to the recovery of costs for the construction of a new facility in order to assure the financial community that the company will earn a return on common equity sufficient to ensure confidence in the financial integrity to maintain the credit and ability of the company to attract capital. The company must also file prepared direct testimony and exhibits supporting the company's application which shall also be served on the Office of Public Counsel. Public notice and intervention shall be allowed. The application may be joined with an application for a certificate of convenience and necessity. In order to be eligible for such a determination, the facility must be a gas or electric plant which would have a total investment or least cost of at least $5 million for companies serving between 100,000 and 1 million customers and $25 million for companies serving more than 1 million customers.
The PSC must then issue an order setting forth the ratemaking principles and treatment in all rate cases after the facility is placed in service. If the PSC fails to issue a determination within 180 days of the application, the ratemaking principles and treatment proposed by the company will apply. Once the order is issued by the PSC, the company has 12 months to notify the PSC whether it will proceed with the project.
These provisions are similar to HS/HCS/HBs 404, 324, 403,
344, 426 & 541 (2003).