SCS/SB 1280 - Under the act, the test year for new rate proceedings shall, if requested by certain utilities under the act, 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 certain utilities under the act. The new base rates shall not go into effect before the 1st date of the future test year. Certain public utilities that elect to utilize a future test year within 30 days of the end of the future test year shall update their base rates as described in the act. The Public Service Commission shall have 60 days to review the accuracy of the updated information provided by the utilities. 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 30 days of the end of the future test year. If the actual amounts for these expenses are less than the amounts used to calculate the revenue requirements in the prior general rate proceeding, the 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. 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 30 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 under the act, the portion of the annual revenue requirement comprising of such expense 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 removes the definitions for "true-up" and "true-up cutoff date". The act is identical to a provision in SCS/HCS/HB 1746 (2024), and similar to a provision in HB 2167 (2024). JULIA SHEVELEVA