SB 214 - This act modifies provisions relating to utilities. ASSESSMENT OF SOLAR PROPERTY (Sections 137.010, 137.077, 137.080, and 137.115) This act provides that the definition of "tangible personal property" shall, for the purposes of property taxation, include solar panels, racking systems, inverters, and related solar equipment, components, materials, and supplies installed at commercial solar photovoltaic energy systems that were constructed and producing solar energy prior to August 9, 2022. (Section 137.010) This provision is identical to a provision in SS#2/SB 4 (2025), a provision in SB 414 (2025), and substantially similar to SB 1219 (2024) and provisions in HCS/HB 1836 (2024). Beginning January 1, 2026, for purposes of assessing all real and tangible personal property associated with a project that uses solar energy directly to generate electricity, the assessor shall determine the true value in money of such property as described in the act. The assessor shall request any documentation necessary to determine the true value in money of such property. The tax liability actually owed for solar energy property that was built prior to December 31, 2025, shall not exceed $500 per megawatt. For projects for which the land associated with such project is reclassified due to the project, the property tax liability incurred from such land shall be included in such limit. This provision shall expire on December 31, 2050. (Section 137.077) This provision is identical to SB 896 (2024), and substantially similar to a provision in HB 445 (2025), a provision in HB 1059 (2025), SB 1309 (2024), HCS/HB 1836 (2024), SCS/SB 607 (2023) and HB 1246 (2023). This act also creates a new subclass of tangible personal property that includes solar panels, racking systems, inverters, and related solar equipment, components, materials, and supplies installed at commercial solar photovoltaic energy systems that were constructed and producing solar energy prior to August 9, 2022, and provides that such subclass shall be assessed at three percent of its true value in money. (Section 137.080 and 137.115) This provision is identical to a provision in SS#2/SB 4 (2025), a provision in SB 414 (2025), and substantially similar to SB 1219 (2024) and to provisions in HCS/HB 1836 (2024). ASSESSMENT OF STATIONARY PROPERTY (Section 137.122) Beginning January 1, 2026, the provisions of current law relating to depreciable tangible personal property shall apply to all stationary property used for transportation or storage of liquid and gaseous products, including, but not limited to, natural gas that is not LP gas, water, and sewage that was or will be placed in service at any time. To estimate the value of such stationary property, this act requires that the assessor shall value such property by applying the twenty-year depreciation schedule provided in current law to the original cost of the property. The presumption as to the proper method of determining the assessed value of such property shall apply regardless of when such property was placed in service. The act requires each taxpayer to provide to the assessor, upon written request from the assessor received no later than May 1 of the applicable tax year, the original cost and year placed in service of such property summarized in a format that is substantially similar to the real property reporting and valuation forms contained in section 7.4 of the State Tax Commission assessor manual (revision date March 23, 2016). Upon the written request of the assessor, such information shall be provided for each taxing district within the assessor's jurisdiction if the assessor's written request includes a description of each taxing district that is sufficient to enable the taxpayer to provide such information and such information is maintained by and readily available to the taxpayer. The taxpayer shall certify that the information provided to the assessor is accurate to the best of its knowledge. All information provided to an assessor pursuant to this act shall be considered proprietary information and shall be accessible only to the assessor and the assessor's staff for internal use only. This provision is identical to a provision in HB 445 (2025), a provision in HCS/HB 531 (2025), a provision in HB 1059 (2025), SB 896 (2024), HB 2110 (2024), substantially similar a provision in SB 5 (2025), to SB 533 (2023), HB 349 (2023), SB 196 (2021), SCS/SB 785 (2020), and HCS/HB 1907 (2020), and to provisions in SCS/SB 944 (2022) and HCS/HB 2208 (2022). COMMON SEWER DISTRICTS (Sections 204.300 and 204.610) Current law authorizes trustees for certain common sewer districts to receive reasonable compensation for their services. This act provides that trustees may receive an attendance fee not to exceed $100 for attending each regular or special meeting, but not more than two meetings per month, or four meetings per month for trustees in a county of the first classification. These provisions are identical to provisions in SS#2/SB 4 (2025), provisions in SB 5 (2025), HB 148 (2025), provisions in SB 896 (2024), SCS/SB 740 (2024), HB 2476 (2024), HB 697 (2023), and provisions in HCS/SB 155 (2023), and similar to provisions in HB 445 (2025), provisions in HB 1059 (2025). AMOUNTS INCLUDED IN CONSTRUCTION WORK IN PROGRESS (Section 393.135) Under the act, an electrical corporation shall be permitted to include in the corporation's rate base any amounts recorded to construction work in progress for any new natural gas generating unit. The Public Service Commission shall determine the amount of construction work in progress. Specifics of the amount are described in the act. Base rate recoveries arising from inclusion of construction work in base rates are subject to refund, as described in the act. These provisions shall expire on December 31, 2035, unless the Commission determines that good cause exists to extend these provisions through December 31, 2045. The secretary of the Commission shall notify the revisor of statutes when the conditions for the extension have been met. This provision is identical to a provision in HB 1084 (2025), SB 48 (2025), SB 610 (2025), substantially similar to a provision in SS#2/SB 4 (2025), and similar to HB 92 (2025), HB 853 (2025), a provision in HB 963 (2025), a provision in SCS/SB 186 (2025), SB 618 (2025). TEST YEAR FOR RATE PROCEEDINGS FOR CERTAIN UTILITIES (Section 393.150) Under the act, beginning July 1, 2026, the test year for rate proceedings, if requested by certain utilities, shall be a future year consisting of the first 12 full calendar months after the operation of law date for schedules stating new base rates filed by the utilities, unless the Public Service Commission makes a determination that using a future test year is detrimental to the public interest. The projected total rate base at the end of the future test year shall be used to establish new base rates. New base rates shall not go into effect before the 1st day of the future test year. Certain public utilities that elect to utilize a future test year within 45 days of the end of the future test year shall update their base rates as described in the act. The total ending rate base and expense items in the update shall not be greater than the total ending rate base and expense items approved by the Commission in its report and order establishing base rates. The Commission and parties to the case shall have 60 days to review the accuracy of the updated information provided by the utility. The Commission shall order the utility to file new tariff sheets reflecting the update, as described in the act. Certain utilities that request a test year shall not recover the costs of any plant investments made during the test year period under certain mechanisms described in current law. For utilities that elected to use a future test year, a reconciliation of the rate base at the end of the future test year shall be provided to the Commission within 45 days of the end of the future test year. If the actual rate base is less than the rate base used to set base rates in the prior general rate proceeding, the portion of the annual revenue requirement reflecting the rate base difference shall be returned to customers. The revenue requirement calculations are described in the act. The difference in revenue requirement shall be placed into a regulatory liability to be returned to customers in the next general rate proceeding with such regulatory liability to accrue carrying costs at the utility's weighted average cost of capital. The Commission may consider any change in business risk to the utility resulting from implementation of the adjustment mechanism in setting the utility's allowed return in any rate proceeding, in addition to any other changes in business risk experienced by the utility. For a utility that elected to use a future test year, a reconciliation of payroll expense, certain employee benefits, and rate case expense at the end of the future test year shall be provided to the Commission within 45 days of the end of the future test year. If the actual amounts are less than the amounts used to calculate the revenue requirement in the prior general rate proceeding, the difference shall be returned to customers. The difference in revenue requirement shall be placed into a regulatory liability to be returned to customers in the next general rate case with such regulatory liability to accrue carrying costs at the utility’s weighted average cost of capital. The act creates definitions for "base rates" and "revenue requirement". These provisions are substantially similar to HB 949 (2025), HB 154 (2025), and similar to provisions in SS#2/SB 4 (2025), SB 136 (2025), SCS/SB 1280 (2024), a provision in SCS/HCS/HB 1746 (2024), and a provision in HB 2167 (2024). PUBLIC WATER UTILITIES (Sections 393.320 and 393.1506) Currently, a large water public utility may choose certain procedures relating to the acquisition of a small water utility. Under the act, such procedures, if chosen, shall be used to establish the ratemaking rate base of a small water utility during an acquisition, provided that the Public Service Commission independently concludes that a certificate of convenience and necessity should be granted, unless the Commission finds that the application for the acquisition results in rates that are unjust and unreasonable. The act provides that for any acquisition of a small water utility by a large public water utility with an appraised value for $5,000,000 or less, the Public Service Commission shall issue a decision of such acquisition within six months from the submission of the application for such acquisition by the large public water utility. Prior to the expiration of the six-months period, the Commission staff or the office of the Public Counsel may request, upon a showing of good cause, from the Commission an extension for approval of the application for an additional 30 days. A large water public utility's choice to comply with the provisions relating to the acquisition of a small water utility does not automatically ensure that the transaction is in the public interest. The Commission shall independently determine if the acquisition is in the public interest, regardless of whether the matter has been put to a vote of the small water utility's ratepayers. This act further modifies the definition of "large water public utility". These provisions are similar to provisions in HB 1059 (2025), provisions in SB 896 (2024), SCS/SB 740 (2024), SCS/SB 741 (2024), provisions in SCS/HCS/HB 1746 (2024), SB 567 (2023), provisions in SCS/HCS/HB 1152 (2023),provisions in HCS/SB 275 (2023). RENEWABLE ENERGY STANDARD (Section 393.1030) The act modifies provisions relating to the current renewable energy standard. Under the act, energy that meets the criteria of the renewable energy portfolio requirements under this act and contracted for by an accelerated renewable buyer must do the following: (1) Have all associated renewable energy certificates retired by the accelerated renewable buyer and the certificates shall not be used to meet the electric utility's portfolio requirements under in the act; (2) Be excluded from the total electric utility's sales used to determine the portfolio requirements under the act; (3) Be used to offset all or a portion of its electric load to determine compliance with the portfolio requirements under the act. The act defines an "accelerated renewable buyer" as a customer of an electric utility, with an aggregate load of over 100 average megawatts, who enters into a contract to obtain renewable energy certificates from renewable energy sources or energy sources described in the act. Under the act, the accelerated renewable buyer shall be exempt from any renewable energy standard compliance costs as established by the utility and approved by the Public Service Commission under the act. Under the act, each electric utility shall certify, and verify as necessary, to the Commission that the accelerated renewable buyer has satisfied the exemption requirements under the act. The accelerated renewable buyer may also certify the exemption requirements to the Commission individually. Provisions under the act apply to electric utilities with more than 250,000 but less than one million retail customers as of 2022. This provision is identical to a provision in HB 1059 (2025), a provision in HB 445 (2025), SB 896 (2024), SCS/SB 374 (2023) and HCS/HB 1293 (2023), and similar to a provision in SS#2/SB 4 (2025), a provision in SB 6 (2025), a provision in HB 713 (2025), a provision in SCS/SB 740 (2024), SB 838 (2024), a provision in SCS/HCS/HB 1746 (2024). DISCOUNTED GAS RATES (Section 393.1645) The act creates provisions for gas corporation customers to be considered for a discounted gas rate. Under the act, a new or an existing gas corporation account meeting the criteria under the act shall qualify for the following discounts: (1) When the customer is a new customer and the new load is reasonably projected to be at least 270,000 CCF annually, the discount shall equal 25% and shall apply for four years; or (2) When the customer is an existing customer and the new load is reasonably projected to be at least 135,000 CCF annually, the discount shall equal 25% and shall apply for four years. To obtain one of the discounts under the act, the customer's load shall be incremental, net of any offsetting load reductions due to the termination of other accounts of the customer or an affiliate of the customer within twelve months prior to the commencement of service to the new load. The customer shall receive an economic development incentive from a governmental entity, as described in the act, in conjunction with the incremental load. The customer shall meet the criteria set forth in the electrical corporation's economic development rider tariff sheet, as approved by the Public Service Commission, that are not inconsistent with the act. The gas corporation, as defined in the act, shall verify the customer's consumption annually to determine continued qualification for the applicable discount. In each general rate proceeding concluded after August 28, 2025, the difference in revenues with the discounts under the act and the revenues without such discounts shall not be imputed into the gas corporation's revenue requirement. Instead, such revenue requirement shall be set as described in the act. A gas corporation's authority to offer discounted rates shall terminate on the date that such natural gas corporation’s authority to make deferrals expires. This provision is identical to a provision in HB 445 (2025), a provision in HB 1059 (2025), a provision in SB 896 (2024), SCS/SB 740 (2024), HB 2054 (2024), substantially similar to a provision in SCS/HCS/HB 1746 (2024), SB 638 (2023) and HCS/HB 1143 (2023), and similar to a provision in SS#2/SB 4 (2025). REVIEW OF FINANCING ORDERS FOR ENERGY TRANSITION COSTS (Section 393.1700) Under the act, the Public Service Commission may directly contract counsel, financial advisors or other consultants as necessary to review financing orders for energy transition costs. This provision shall not be subject to state purchasing provisions, but the Commission shall establish a policy for the bid process. Such policy shall be publicly available and any information related to contracts under the policy shall be included in the publicly available rate case documentation. This provision is identical to HB 238 (2025), a provision in HB 445 (2025), a provision in HB 713 (2025), a provision in HB 1059 (2025), a provision in SB 6 (2025), SB 837 (2024), SB 896 (2024), HCS/HB 1071 (2023), a provision in SCS/HCS/HB 1746 (2024), and substantially similar to provision in SCS/SB 740 (2024), SB 838 (2024), and similar to a provision in SS#2/SB 4 (2025), SB 520 (2023). INTEGRATED RESOURCE PLANNING (Section 393.1900) Under the act, by August 28, 2026, the Public Service Commission, and every four years as needed thereafter, shall commence an integrated resource planning proceeding for electrical corporations. The Commission's responsibilities pursuant to the integrated resource planing proceeding are described in the act. No later than August 28, 2027, the Commission shall publish a schedule for electrical corporations to file an integrated resource plan every four years. Each integrated resource plan shall include an alternative resource plan meeting the requirements under the act. All alternative resource plans shall cover a minimum 16-year planning horizon. All such plans shall reflect projections of an electrical corporations's load obligations and how an electrical corporation under such plan would reliably meet its projected load obligations. Other requirements to be included in the plan are described in the act. After a hearing, the Commission shall issue a report and order no later than 360 days after the electrical corporation files an integrated resource plan, unless the Commission grants itself an extension for good cause for the issuance of the report and order. Up to 150 days after an electrical corporation makes its initial integrated resource plan filing, the electrical corporation may file an update of the cost estimates if the cost estimates have materially changed. The Commission's report and order shall determine whether the electrical corporation has submitted sufficient documentation and selected a preferred resource plan representing a reasonable and prudent means of meeting the electrical corporation's load serving obligations at just and reasonable rates. In making this determination, the Commission shall consider whether the plan appropriately balances specific factors described in the act. If the Commission determines that the preferred resource plan is a reasonable and prudent means of meeting the electrical corporation's load serving obligations, such determination shall constitute the Commission's permission for the electrical corporation to construct or acquire the specified supply-side resources that were reflected in the implementation plan, as described in the act. When the electrical corporation files an application for a certificate of convenience and necessity to authorize construction or acquisition of such resources, the Commission shall be deemed to have determined that the supply-side resources are necessary or convenient for the public interest. In the certificate of convenience and necessity proceeding, the Commission's inquiry shall be limited, as described in the act. If the Commission determines that the preferred resource plan is not a reasonable and prudent means of meeting the electrical corporation's load serving obligations, the Commission shall have the authority to specify in its report and order the deficiencies in the preferred resource plan. Procedures to cure the deficiencies as described in the act. If approved in a proceeding granting permission and approval to construct an electric plant, an electrical corporation may, subject to certain limitations, be permitted to include in its rate base any amounts recorded to construction work in progress for the investments for which permission is granted. The inclusion of construction work in progress shall be in lieu of any applicable allowance for funds used during construction that would have accrued from the effective date of new base rates that reflect inclusion of the construction work in progress in rate base. The Commission shall determine the amount of construction work in progress that may be included in rate base, as described in the act. The amount shall be limited by specifics described in the act. This provision is identical to a provision in HB 1084 (2025), a provision in SB 48 (2025), a provision in SB 610 (2025), a provision in SB 618 (2025), and similar to a provision in SS#2/SB 4 (2025), a provision in SCS/SB 186 (2025). CONDEMNATION OF LAND BY CERTAIN UTILITIES (Section 523.010) Under the act, the authority of any electrical corporation to condemn property shall not extend to the construction of any structure or facility that uses wind or solar energy to generate or manufacture electricity. The authority of any electrical corporation to condemn property shall extend to acquisition of rights needed to construct, operate, and maintain certain electrical infrastructure, described in the act, needed to collect and deliver solar or wind energy to the distribution or transmission grid. This provision is identical to SB 199 (2025), SB 1262 (2024), to a provision in SB 805 (2024), a provision in HB 1449 (2024), a provision in SCS/HCS/HB 1746 (2024), provisions in HB 1052 (2023) and substantially similar to a provision in HB 221 (2025), a provision in HCS#2/HBs 440 & 1160 (2025), HB 475 (2025), a provision in SB 139 (2025), HB 1750 (2024), and SB 577 (2023). JULIA SHEVELEVA