Text: SF02017 Text: SF02019 Text: SF02000 - SF02099 Text: SF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 476.23, subsection 1, Code 1995, is 1 2 amended to read as follows: 1 3 1. An electric utility shall not construct or extend 1 4 facilities or furnish or offer to furnish electric service to 1 5 the existing point of delivery of any customer already 1 6 receiving electric service from another electric utility 1 7 without having first filed with the board the express written 1 8 agreement of the electric utility presently serving this 1 9 customer, except as otherwise provided in this section. Any 1 10 municipal corporation, after being authorized by a vote of the 1 11 people, or any electric utility may file a petition with the 1 12 board requesting a certificate of authority to furnish 1 13 electric service to the existing point of delivery of any 1 14 customer already receiving electric service from another 1 15 electric utility. If, after notice by the board to the 1 16 electric utility currently serving the customer, objection to 1 17 the petition is not filed and investigation is not deemed 1 18 necessary, the board shall issue a certificate within thirty 1 19 days of the filing of the petition. When an objection is 1 20 filed, if the board, after notice and opportunity for hearing, 1 21 determines that service to the customer by the petitioner is 1 22 in the public interest, including consideration of any 1 23 unnecessary duplication of facilities,itthe board shall 1 24 grant this certificate in whole or in part, upon such terms, 1 25 conditions, and restrictions as may be justified. Whether or 1 26 not an objection is filed, any certificate issued shall 1 27 require that the petitioner pay to the electric utility 1 28 presently serving the customer, the reasonable price for 1 29 facilities serving the customer.This price determination by1 30the board shall include due consideration of the cost of the1 31facilities being acquired, any necessary generating capacity1 32and transmission capacity dedicated to the customer,1 33depreciation, loss of revenue, and the cost of facilities1 34necessary to reintegrate the system of the utility after1 35detaching the portion sold.For purposes of this section 2 1 "reasonable price" means original cost less depreciation of 2 2 the facilities being acquired. 2 3 EXPLANATION 2 4 This bill addresses the situation where a municipal 2 5 corporation or an electric utility (petitioner) has been 2 6 issued a certificate of authority from the Iowa utilities 2 7 board allowing the municipal corporation or electric utility 2 8 to furnish electricity to a customer that is already receiving 2 9 electric service from another utility. When a petitioner is 2 10 issued a certificate of authority, the petitioner must pay a 2 11 reasonable price for the facilities of the electric utility 2 12 presently serving the customer. Current law requires that the 2 13 Iowa utilities board determine what a reasonable price would 2 14 be by taking into account due consideration of the cost of the 2 15 facilities being acquired, any necessary generating capacity 2 16 and transmission capacity dedicated to the customer, 2 17 depreciation, loss of revenue, and the cost of facilities 2 18 necessary to reintegrate the system of the utility after 2 19 detaching the portion that was sold. 2 20 This bill changes the factors for determining what 2 21 constitutes a "reasonable price" by defining reasonable price 2 22 as the original cost less depreciation of the facilities being 2 23 acquired. 2 24 LSB 3170SS 76 2 25 js/cf/24
Text: SF02017 Text: SF02019 Text: SF02000 - SF02099 Text: SF Index Bills and Amendments: General Index Bill History: General Index
Iowa General Assembly
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