Bill Text: IA SSB3125 | 2021-2022 | 89th General Assembly | Introduced
Bill Title: A bill for an act relating to the regulation of specified gas and electric utilities.(See SF 2355.)
Spectrum: Committee Bill
Status: (Introduced - Dead) 2022-02-16 - Committee report approving bill, renumbered as SF 2355. [SSB3125 Detail]
Download: Iowa-2021-SSB3125-Introduced.html
Senate
Study
Bill
3125
-
Introduced
SENATE
FILE
_____
BY
(PROPOSED
COMMITTEE
ON
COMMERCE
BILL
BY
CHAIRPERSON
SCHULTZ)
A
BILL
FOR
An
Act
relating
to
the
regulation
of
specified
gas
and
electric
1
utilities.
2
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
3
TLSB
5465XC
(2)
89
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S.F.
_____
Section
1.
Section
364.3,
subsection
13,
paragraph
b,
1
subparagraph
(2),
Code
2022,
is
amended
to
read
as
follows:
2
(2)
Paragraph
“a”
does
not
apply
to
an
ordinance,
motion,
3
resolution,
or
amendment
relating
to
the
rates,
services,
or
4
governance
of
a
municipally
owned
public
utility
providing
5
gas
service
to
the
public
for
compensation
and
subject
to
6
the
jurisdiction
of
the
utilities
board
of
the
department
of
7
commerce
pursuant
to
section
476.1B
476.1A
.
8
Sec.
2.
Section
476.1A,
Code
2022,
is
amended
by
striking
9
the
section
and
inserting
in
lieu
thereof
the
following:
10
476.1A
Applicability
of
authority
——
certain
utilities.
11
1.
For
purposes
of
this
section,
unless
the
context
12
otherwise
requires:
13
a.
“Engineering
standards”
means
standards
adopted
by
the
14
American
national
standards
institute,
or
the
institute
of
15
electrical
and
electronics
engineers,
rural
utilities
service,
16
or
comparable
engineering
organization
or
engineering
standards
17
adopted
by
the
board.
18
b.
“Safety
standards”
means
applicable
regulations
19
promulgated
by
the
United
States
occupational
safety
and
health
20
administration
and
by
Iowa
occupational
safety
and
health
21
administration.
Safety
standards
for
electric
utilities
22
subject
to
this
section
also
include
those
contained
in
the
23
national
electric
safety
code,
as
published
by
the
institute
24
of
electrical
and
electronic
engineers,
inc.
and
approved
by
25
the
American
national
standards
institute.
Safety
standards
26
for
municipal
gas
utilities
subject
to
this
section
include
the
27
pipeline
safety
rules
contained
in
the
federal
regulations
at
28
49
C.F.R.
pts.
191
–
193
and
199.
29
2.
Electric
public
utilities
having
fewer
than
ten
thousand
30
customers,
electric
cooperative
corporations
and
associations,
31
and
municipally
owned
utilities
furnishing
gas
or
electricity
32
are
not
subject
to
the
regulation
authority
of
the
board,
33
except
for
regulatory
action
pertaining
to
the
following:
34
a.
Assessment
of
fees
for
the
support
of
the
division
and
35
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the
office
of
consumer
advocate,
pursuant
to
section
476.10.
1
b.
Safety
standards.
2
c.
Procedures
and
requirements
for
disconnection
of
service,
3
as
set
forth
in
section
476.20,
subsections
1
through
4.
4
d.
Assigned
area
of
service,
as
set
forth
in
sections
476.22
5
through
476.26.
6
e.
Public
utility
railroad
crossings,
as
set
forth
in
7
section
476.27.
8
f.
Filing
alternate
energy
purchase
program
plans
with
the
9
board,
and
offering
such
programs
to
customers,
pursuant
to
10
section
476.47.
11
g.
Civil
penalties
pursuant
to
section
476.51.
12
h.
Providing
energy
cost
information
pursuant
to
section
13
476.56.
14
i.
Distributed
generation
interconnection
safety
pursuant
to
15
section
476.58,
subsections
3
and
4.
16
j.
Utility-owned
exterior
flood
lighting
pursuant
to
section
17
476.62.
18
k.
Customer
contribution
funds
pursuant
to
section
476.66.
19
l.
Chapters
476A
and
478,
to
the
extent
applicable.
20
3.
Electric
public
utilities
having
fewer
than
ten
21
thousand
customers
and
electric
cooperative
corporations
and
22
associations
are
also
subject
to
the
regulation
authority
of
23
the
board
for
engineering
standards
for
equipment,
operations,
24
and
procedures
and
shall
be
subject
to
section
476.21.
25
a.
This
subsection
shall
not
apply
to
a
municipally
owned
26
utility.
27
b.
This
subsection
shall
apply
to
an
electric
power
agency
28
as
defined
in
chapter
28F
and
section
390.9
that
includes
29
as
a
member
a
city
or
municipally
owned
utility
that
builds
30
transmission
facilities
after
July
1,
2001,
and
is
subject
to
31
applicable
transmission
reliability
rules
or
standards
adopted
32
by
the
board
for
those
facilities.
33
4.
Electric
public
utilities
having
fewer
than
ten
34
thousand
customers
and
electric
cooperative
corporations
and
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associations
not
subject
to
rate
regulation
by
the
board
1
shall
give
written
notice
of
a
proposed
increase
of
any
rate
2
or
charge
to
all
affected
customers
served
by
the
public
3
utility
at
least
thirty
days
prior
to
the
effective
date
of
4
the
increase
pursuant
to
section
476.6,
subsection
2.
This
5
subsection
shall
not
apply
to
a
municipal
utility.
6
5.
The
board
may
hear
complaints
regarding
the
practices,
7
facilities,
or
services
of
public
utilities
subject
to
8
this
section.
Such
complaints
shall
be
limited
solely
to
9
matters
directly
related
to
the
regulatory
actions
listed
10
in
subsections
2
through
4.
After
a
complaint
is
submitted
11
to
the
board
or
filed
by
the
board
upon
its
own
motion,
the
12
written
complaint
shall
be
forwarded
by
the
board
to
the
public
13
utility.
The
public
utility
shall
be
called
upon
to
satisfy
14
the
complaint
or
to
answer
it
in
writing
within
a
reasonable
15
time
to
be
specified
by
the
board.
16
a.
Copies
of
the
written
complaint
forwarded
by
the
board
to
17
the
public
utility
and
copies
of
all
correspondence
from
the
18
public
utility
in
response
to
the
complaint
shall
be
provided
19
by
the
board
in
an
expeditious
manner
to
the
consumer
advocate.
20
(1)
If
the
board
determines
the
public
utility’s
response
21
is
inadequate
and
there
appears
to
be
reasonable
ground
for
22
investigating
the
complaint,
the
board
shall
promptly
initiate
23
a
formal
proceeding.
24
(2)
If
the
consumer
advocate
determines
the
public
25
utility’s
response
to
the
complaint
is
inadequate,
the
consumer
26
advocate
may
file
a
petition
with
the
board
which
shall
27
promptly
initiate
a
formal
proceeding
if
the
board
determines
28
that
there
is
any
reasonable
ground
for
investigating
the
29
complaint.
30
(3)
The
complainant
or
the
public
utility
may
petition
the
31
board
to
initiate
a
formal
proceeding
and
such
petition
shall
32
be
granted
if
the
board
determines
that
there
is
any
reasonable
33
ground
for
investigating
the
complaint.
34
b.
The
formal
proceeding
may
be
initiated
at
any
time
by
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the
board
on
its
own
motion.
If
a
proceeding
is
initiated
1
upon
petition
filed
by
the
consumer
advocate,
complainant,
2
or
the
public
utility,
or
upon
the
board’s
own
motion,
the
3
board
shall
set
the
case
for
hearing
and
give
notice
as
it
4
deems
appropriate.
When
the
board,
after
a
hearing
held
after
5
reasonable
notice,
finds
a
public
utility’s
practices
or
6
services
over
which
it
exercises
regulatory
authority
pursuant
7
to
subsections
2
through
4
are
in
violation
of
law,
the
board
8
shall
determine
reasonable
practices,
services,
or
regulations
9
to
be
observed
and
enforced.
10
6.
Electric
public
utilities
having
fewer
than
ten
11
thousand
customers
and
electric
cooperative
corporations
and
12
associations
under
this
section
shall
not
make
or
grant
any
13
unreasonable
preferences
or
advantages
as
to
rates
or
services
14
to
any
person
or
subject
any
person
to
any
unreasonable
15
prejudice
or
disadvantage.
This
subsection
shall
not
apply
to
16
municipal
utilities
subject
to
section
388.6.
17
7.
The
board
of
directors
or
the
membership
of
an
electric
18
cooperative
otherwise
exempt
from
rate
regulation
may
19
elect
to
have
the
cooperative’s
corporation
or
association
20
rates
regulated
by
the
board.
The
board
shall
adopt
rules
21
prescribing
the
manner
in
which
the
board
of
directors
or
the
22
membership
of
an
electric
cooperative
may
so
elect.
23
a.
If
the
board
of
directors
or
the
membership
of
an
24
electric
cooperative
has
elected
to
have
the
cooperative’s
25
rates
regulated
by
the
board,
after
two
years
have
elapsed
from
26
the
effective
date
of
such
election
the
board
of
directors
or
27
the
membership
of
an
electric
cooperative
may
elect
to
exempt
28
the
cooperative
from
the
rate
regulation
authority
of
the
29
board.
30
b.
If
the
membership
of
an
electric
cooperative
elected
to
31
have
the
cooperative’s
rates
regulated
by
the
board,
only
the
32
membership
may
elect
to
exempt
the
cooperative
from
the
rate
33
regulation
authority
of
the
board.
34
8.
A
municipal
utility
providing
local
exchange
services
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is
not
subject
to
regulation
by
the
board
under
this
chapter
1
except
for
regulatory
action
pertaining
to
the
enforcement
of
2
sections
476.95,
476.95A,
476.95B,
476.100,
and
476.102.
3
9.
The
Iowa
utilities
board
does
not
have
direct
or
indirect
4
rate
authority
over
the
utilities
in
this
section,
unless
an
5
electric
cooperative
has
elected
rate
regulation
authority.
6
Sec.
3.
Section
476.2,
subsection
4,
Code
2022,
is
amended
7
to
read
as
follows:
8
4.
The
board
shall
have
authority
,
to
the
extent
reasonably
9
necessary
to
implement
the
provisions
of
this
chapter,
to
10
inquire
into
the
management
of
the
business
of
all
public
11
utilities
that
are
subject
to
regulation
pursuant
to
this
12
chapter
,
and
shall
keep
itself
informed
as
to
the
manner
and
13
method
in
which
the
same
such
business
is
conducted,
and
may
14
obtain
from
any
public
utility
all
necessary
the
information
15
reasonably
necessary
to
enable
the
board
to
perform
its
duties
,
16
as
provided
in
this
chapter
.
17
Sec.
4.
Section
476.6,
subsection
2,
Code
2022,
is
amended
18
to
read
as
follows:
19
2.
Written
notice
of
increase.
All
Rate-regulated
public
20
utilities
,
except
those
exempted
from
rate
regulation
by
21
section
476.1
and
telecommunications
service
providers
22
registered
pursuant
to
section
476.95A
,
shall
give
written
23
notice
of
a
proposed
increase
of
any
rate
or
charge
to
all
24
affected
customers
served
by
the
public
utility
no
more
25
than
sixty-two
days
prior
to
the
time
the
application
for
26
the
increase
is
filed
with
the
board.
Public
utilities
27
exempted
from
rate
regulation
by
section
476.1
,
except
28
telecommunications
service
providers
registered
pursuant
to
29
section
476.95A
,
The
notice
to
affected
customers
shall
state
30
that
the
customer
has
a
right
to
file
a
written
objection
to
31
the
rate
increase
and
that
the
affected
customers
may
request
32
the
board
to
hold
a
public
hearing
to
determine
if
the
rate
33
increase
should
be
allowed.
Electric
public
utilities
having
34
fewer
than
ten
thousand
customers
and
electric
cooperative
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corporations
and
associations
not
subject
to
rate
regulation
1
by
the
board
shall
give
written
notice
of
a
proposed
increase
2
of
any
rate
or
charge
to
all
affected
customers
served
by
the
3
public
utility
at
least
thirty
days
prior
to
the
effective
4
date
of
the
increase.
If
the
public
utility
is
subject
5
to
rate
regulation,
the
notice
to
affected
customers
shall
6
also
state
that
the
customer
has
a
right
to
file
a
written
7
objection
to
the
rate
increase
and
that
the
affected
customers
8
may
request
the
board
to
hold
a
public
hearing
to
determine
9
if
the
rate
increase
should
be
allowed.
The
board
shall
10
prescribe
the
manner
and
method
that
the
written
notice
to
each
11
affected
customer
of
the
public
utility
shall
be
served.
This
12
subsection
shall
not
apply
to
municipal
utilities
subject
to
13
section
384.84.
14
Sec.
5.
Section
476.20,
subsection
3,
paragraph
a,
Code
15
2022,
is
amended
to
read
as
follows:
16
a.
The
board
shall
establish
adopt
rules
which
shall
17
be
uniform
with
respect
to
all
public
utilities
furnishing
18
gas
or
electricity
relating
to
establishing
the
procedures
19
and
requirements
for
disconnection
of
service.
The
rules
20
adopted
by
the
board
shall
be
uniform
with
respect
to
all
21
rate-regulated
public
utilities
furnishing
gas
or
electricity.
22
The
rules
adopted
by
the
board
shall
reflect
the
limited
23
scope
of
the
board’s
jurisdiction
pursuant
to
section
476.1A.
24
This
subsection
applies
both
to
regulated
rate-regulated
25
utilities
,
utilities
over
which
the
board’s
jurisdiction
is
26
limited
by
section
476.1A,
and
to
municipally
owned
utilities
27
and
unincorporated
villages
which
own
their
own
distribution
28
systems,
and
violations
of
this
subsection
subject
the
29
utilities
to
civil
penalties
under
section
476.51
.
30
Sec.
6.
Section
476.58,
subsections
3
and
4,
Code
2022,
are
31
amended
to
read
as
follows:
32
3.
Procedures
and
requirements
provided
in
rules
adopted
33
pursuant
to
subsection
2
shall
apply
to
all
electric
utilities
34
and
all
interconnection
customers
in
this
state.
However,
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only
those
rule
provisions
concerning
interconnections
between
1
distributed
generation
facilities
and
electric
distribution
2
systems
and
safety
issues
shall
apply
to
utilities
over
which
3
the
board’s
jurisdiction
is
limited
by
section
476.1A
or
4
476.1B
.
5
4.
This
section
shall
not
be
construed
to
expand
the
6
board’s
jurisdiction
over
a
utility
over
which
the
board’s
7
jurisdiction
is
limited
by
section
476.1A
or
476.1B
.
This
8
section
shall
not
be
construed
to
authorize
the
board
to
9
require
that
an
installation
or
connection
of
a
distributed
10
generation
facility,
disconnection
device,
or
interconnection
11
between
a
distributed
generation
facility
and
an
electric
12
distribution
system
be
performed
by
a
licensed
electrician,
13
installer,
or
professional
engineer.
This
section
shall
not
14
be
construed
to
require
inspection
of
a
distributed
generation
15
facility,
disconnection
device,
or
interconnection
between
a
16
distributed
generation
facility
and
an
electric
distribution
17
system
pursuant
to
chapter
103
.
18
Sec.
7.
REPEAL.
Section
476.1B,
Code
2022,
is
repealed.
19
EXPLANATION
20
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
21
the
explanation’s
substance
by
the
members
of
the
general
assembly.
22
This
bill
relates
to
the
regulatory
authority
of
the
Iowa
23
utilities
board
regarding
specified
gas
and
electric
utilities.
24
The
bill
provides
that
municipally
owned
gas
or
utility
25
companies,
electric
public
utilities
having
less
than
26
10,000
customers,
and
electric
cooperative
corporations
and
27
associations
shall
not
be
subject
to
the
regulation
authority
28
of
the
board
except
for
the
assessment
of
fees
for
the
29
support
of
the
office
of
consumer
advocate,
safety
standards,
30
assigned
areas
of
service,
public
utility
railroad
crossings,
31
procedures
for
the
disconnection
of
service,
alternative
32
energy
program
plans
filed
with
the
board,
specified
civil
33
penalties,
energy
cost
information,
distributed
generation
34
interconnection
safety,
utility-owned
exterior
flood
lighting,
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customer
contribution
funds,
and
electric
power
generation
and
1
transmission
under
Code
chapter
476A
and
electric
transmission
2
lines
under
Code
chapter
478.
3
The
bill
provides
that
electric
public
utilities
with
less
4
than
10,000
customers
and
electric
cooperative
corporations
5
and
associations,
and
certain
electric
power
agencies
are
6
subject
to
board
regulation
for
engineering
standards
and
are
7
prohibited
from
discriminatory
rates
or
charges
under
Code
8
section
476.21.
This
provision
is
inapplicable
to
municipal
9
utilities.
10
The
bill
provides
that
an
electric
cooperative
not
subject
11
to
rate
regulation
may
elect
to
have
their
rates
regulated
12
by
the
board.
After
two
years,
rate
regulation
may
be
13
reconsidered.
If
the
membership
of
the
electric
cooperative
14
chooses
to
have
the
rates
regulated,
only
the
membership
may
15
elect
to
be
exempt
from
regulation.
16
The
bill
provides
that
a
municipal
utility
providing
local
17
exchange
services
is
not
subject
to
regulation
by
the
board
18
except
for
regulatory
action
pertaining
to
Code
sections
19
476.95,
476.95A,
476.95B,
476.100,
and
476.102.
20
The
bill
provides
that
electric
public
utilities
with
less
21
than
10,000
customers
and
electric
cooperative
corporations
22
and
associations
shall
not
make
or
grant
any
unreasonable
23
preferences
or
advantages
as
to
rates
or
services
to
any
24
person
or
subject
any
person
to
any
unreasonable
prejudice
or
25
disadvantage.
The
bill
provides
that
this
bill
does
not
apply
26
to
municipal
utilities
subject
to
the
prohibition
relating
to
27
discrimination
in
rates
specified
in
Code
section
388.6.
28
Rate-regulated
public
utilities
shall
give
written
notice
to
29
customers
of
a
proposed
rate
increase
or
charge
no
more
than
62
30
days
prior
to
filing
an
application
for
a
proposed
increase.
31
The
notice
from
the
rate-regulated
public
utility
shall
include
32
a
provision
whereby
customers
are
informed
of
rights
to
file
an
33
objection
and
request
a
hearing.
The
bill
provides
electric
34
public
utilities
with
less
than
10,000
customers
and
electric
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cooperative
corporations
and
associations
that
are
not
subject
1
to
rate
regulation
by
the
board
shall
give
written
notice
to
2
customers
regarding
a
proposed
rate
increase
or
charge
at
least
3
30
days
before
the
effective
date
of
the
increase.
These
4
notice
provisions
are
made
inapplicable
to
municipal
utilities
5
subject
to
the
rates
and
charges
provisions
of
Code
section
6
384.84.
7
The
bill
establishes
a
written
complaint
and
response
8
process.
Both
the
board
and
the
division
of
the
office
9
of
the
consumer
advocate
may
determine
if
the
utility’s
10
response
is
inadequate
and
initiate
further
action.
The
bill
11
establishes
practices
and
procedures
for
a
formal
action
filed
12
by
complainants.
13
The
bill
provides
that
the
board
shall
adopt
rules
14
establishing
procedures
and
requirements
for
public
utilities
15
supplying
gas
or
electricity
and
to
utilities
over
which
the
16
board’s
jurisdiction
is
limited
by
the
bill
relating
to
the
17
disconnection
of
service.
These
rules
must
be
uniform
for
all
18
rate-regulated
public
utilities.
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