SENATE BILL NO. 297

A bill to amend 1939 PA 3, entitled

"An act to provide for the regulation and control of public and certain private utilities and other services affected with a public interest within this state; to provide for alternative energy suppliers; to provide for licensing; to include municipally owned utilities and other providers of energy under certain provisions of this act; to create a public service commission and to prescribe and define its powers and duties; to abolish the Michigan public utilities commission and to confer the powers and duties vested by law on the public service commission; to provide for the powers and duties of certain state governmental officers and entities; to provide for the continuance, transfer, and completion of certain matters and proceedings; to abolish automatic adjustment clauses; to prohibit certain rate increases without notice and hearing; to qualify residential energy conservation programs permitted under state law for certain federal exemption; to create a fund; to encourage the utilization of resource recovery facilities; to prohibit certain acts and practices of providers of energy; to allow for the securitization of stranded costs; to reduce rates; to provide for appeals; to provide appropriations; to declare the effect and purpose of this act; to prescribe remedies and penalties; and to repeal acts and parts of acts,"

by amending sections 1 and 2 (MCL 460.1 and 460.2).

the people of the state of michigan enact:

Sec. 1. (1) A commission to be known and designated as the "Michigan public service commission" is hereby created, which The Michigan public service commission is created in the department of licensing and regulatory affairs.

(2) Before January 1, 2025, the commission shall consist of 3 members, not more than 2 of whom shall be are members of the same political party, appointed by the governor with the advice and consent of the senate. Beginning January 1, 2025, the existing appointed Michigan public service commission is abolished and replaced with a nonpartisan elected Michigan public service commission as provided in chapter VIA of the Michigan election law, 1954 PA 116, MCL 168.87 to 168.87n.

(3) Each member shall of the commission must be a citizen of the United States, and a resident of the this state, of Michigan, and no member of said commission shall not be pecuniarily interested in any public utility or public service person subject to the jurisdiction and control of the commission.

(4) During his a member's term, no a member shall not serve as an officer or committee member of any political party organization, or hold any office, or be employed by any other commission, board, department, or institution in this state. No commission

(5) A member of the commission shall not be retained or employed by any public utility or public service person subject to the jurisdiction and control of the commission during the time he while the member is acting as such commissioner, and a member of the commission and for 6 months thereafter, and no after that time.

(6) A member of the commission , who is a member of the bar of the state State Bar of Michigan , shall not practice his profession law or act as counselor or attorney in any court of this state during the time he while the individual is a member of said the commission. : Provided, however, This shall

(7) This section does not require any commissioner to retire from , or dissolve any partnership , of which he the individual is a member, but said the partnership , while he is a member of the commission, shall must not engage in public utility practice . Immediately upon the taking effect of this act, the offices of the present members of the Michigan public service commission are hereby abolished, and the members of the Michigan public service commission as herein created shall be appointed by the governor with the advice and consent of the senate, for terms of 6 years each: Provided, That of the members first appointed, 1 shall be appointed for a term of 2 years, 1 for a term of 4 years, and 1 for a term of 6 years. Upon the expiration of said terms successors shall be appointed with like qualifications and in like manner for terms of 6 years each, and until their successors are appointed and qualified. Vacancies shall while the individual is a member of the commission.

(8) Before January 1, 2025, vacancies must be filled in the same manner as is provided for appointment in the first instance. Beginning January 1, 2025, vacancies must be filled as provided in section 87l of the Michigan election law, 1954 PA 116, MCL 168.87l.

Sec. 2. (1) Members of said the commission shall qualify by taking and subscribing to the constitutional oath of office. , and shall hold office until the appointment and qualification of their successor. The

(2) Before January 1, 2025, the governor shall designate 1 member to serve as chairman chairperson of the commission. Any Beginning January 1, 2025, the members of the commission shall select the chairperson of the commission.

(3) The governor may remove any member of the commission may be removed by the governor for misfeasance, malfeasance, or nonfeasance in office after a hearing.

(4) A vacancy in the commission shall does not impair the right of the 2 remaining members to exercise all the powers of the commission. Two members of the commission shall at all times constitute a quorum.

(5) The commission shall adopt an official seal , of which all the courts shall take judicial notice and proceedings, and from which orders and decrees may be authenticated. thereby. It shall be the duty of the

(6) The board of state auditors to shall provide suitable offices, supplies, and equipment for said the commission in the city of Lansing. , the The expenses thereof to of the commission shall be audited, allowed, and paid in such a manner and out of such from funds as may be provided by law.

Enacting section 1. This amendatory act does not take effect unless Senate Bill No. 298 of the 102nd Legislature is enacted into law.