Text: HSB00643                          Text: HSB00645
Text: HSB00600 - HSB00699               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index



House Study Bill 644

Bill Text

PAG LIN
  1  1    Section 1.  Section 476.8, Code 2003, is amended to read as
  1  2 follows:
  1  3    476.8  UTILITY CHARGES AND SERVICE.
  1  4    1.  Every public utility is required to furnish reasonably
  1  5 adequate service and facilities.  "Reasonably adequate service
  1  6 and facilities" for public utilities furnishing gas or
  1  7 electricity includes programs for customers to encourage the
  1  8 use of energy efficiency and renewable energy sources.  The
  1  9 charge made by any public utility for any heat, light, gas,
  1 10 energy efficiency and renewable energy programs, water or
  1 11 power produced, transmitted, delivered or furnished, or
  1 12 communications services, or for any service rendered or to be
  1 13 rendered in connection therewith shall be reasonable and just,
  1 14 and every unjust or unreasonable charge for such service is
  1 15 prohibited and declared unlawful.
  1 16    2.  Where a public utility estimates consumption in lieu of
  1 17 meter measurement per rule and the actual usage is determined
  1 18 to be less than the estimated usage, the public utility shall
  1 19 charge for the actual usage as follows:
  1 20    a.  The customer shall first be charged at the lowest
  1 21 declining block rate for up to the total maximum lowest
  1 22 declining block rate usage offered and established for those
  1 23 billing periods estimated and overcharged.
  1 24    b.  For any remaining actual usage for those billing
  1 25 periods estimated and overcharged, the customer shall be
  1 26 charged according to the public utility's applicable declining
  1 27 block rate scale.
  1 28    c.  After recalculating the actual usage and appropriate
  1 29 rate pursuant to this subsection, the public utility shall
  1 30 refund any overcharge to the customer or credit the customer's
  1 31 billing account.
  1 32    3.  In determining reasonable and just rates, the board
  1 33 shall consider all factors relating to value and shall not be
  1 34 bound by rate base decisions or rulings made prior to the
  1 35 adoption of this chapter.
  2  1    4.  The board, in determining the value of materials or
  2  2 services to be included in valuations or costs of operations
  2  3 for rate-making purposes, may disallow any unreasonable profit
  2  4 made in the sale of materials to or services supplied for any
  2  5 public utility by any firm or corporation owned or controlled
  2  6 directly or indirectly by such utility or any affiliate,
  2  7 subsidiary, parent company, associate or any corporation whose
  2  8 controlling stockholders are also controlling stockholders of
  2  9 such utility.  The burden of proof shall be on the public
  2 10 utility to prove that no unreasonable profit is made.  
  2 11                           EXPLANATION
  2 12    This bill relates to the method a public utility uses to
  2 13 assign declining block rates to overcharges caused by
  2 14 estimating usage.  The bill requires that when an overcharge
  2 15 exists due to billing by estimated consumption rather than
  2 16 actual meter measurement, the public utility must first charge
  2 17 the actual usage at the lowest established declining block
  2 18 rate for the entire period of overcharge up to the maximum
  2 19 usage offered at the lowest block rate.  Any usage which
  2 20 exceeds the maximum usage offered at the lowest rate may be
  2 21 charged according to the remaining applicable rates on the
  2 22 declining block rate scale.  After recalculation, the public
  2 23 utility must refund any overcharged amount to the customer or
  2 24 credit the customer's billing account.  
  2 25 LSB 6277HC 80
  2 26 kk/gg/14.1
     

Text: HSB00643                          Text: HSB00645
Text: HSB00600 - HSB00699               Text: HSB Index
Bills and Amendments: General Index     Bill History: General Index

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