HSB 594 (LSB 5647YC (1) 85)

HOUSE FILE _____

BY  (PROPOSED COMMITTEE ON LOCAL GOVERNMENT BILL BY CHAIRPERSON SCHULTZ)

A BILL FOR

An Act restricting the regulatory authority of the Iowa utilities board with regard to the deposit and debt collection policies of municipal utilities.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 476.1B, subsection 1, paragraph e, Code 2014, is amended to read as follows:
   e.  Disconnection of service, as set forth in section 476.20, other than in connection with deposit and debt collection policies and practices.
    Sec. 2.  Section 476.20, subsection 5, paragraph a, unnumbered paragraph 1, Code 2014, is amended to read as follows:

   The board shall establish rules which shall be uniform with respect to all public utilities furnishing gas or electricity, other than municipal utilities as provided in section 476.1B, relating to deposits which may be required by the public utility for the initiation or reinstatement of service.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill relates to the regulatory authority of the Iowa utilities board with regard to municipal utility disconnection procedures.
   Currently, Code section 476.1B provides that a municipally owned utility is not subject to regulation by the Iowa utilities board, subject to certain specified exceptions. One such exception is with regard to disconnection of service, as provided in Code section 476.20.
   The bill modifies this provision to provide that a municipally owned utility is subject to regulatory action pertaining to disconnection of service, other than in connection with deposit and debt collection policies and practices. The bill makes a corresponding change in Code section 476.20 to specify that the disconnection provisions contained therein do not apply to municipally owned utilities.