HSB 191 (LSB 2358YC (3) 86)

HOUSE FILE _____

BY  (PROPOSED COMMITTEE ON COMMERCE BILL BY CHAIRPERSON COWNIE)

A BILL FOR

An Act requiring that disconnection devices be installed for certain distributed electric generation facilities, providing penalties, and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  476.58  Distributed generation facilities —— disconnection device required —— penalty.
   1.  For purposes of this section:
   a.  “Disconnection device” means a bypass meter socket and lockable visual disconnect or other disconnection device capable of disconnecting and de-energizing the residual voltage in a distributed generation facility.
   b.  “Distributed generation facility” means a cogeneration facility or a small power production facility that is a qualifying facility under 18 C.F.R. pt. 292, subpt. B, used by an interconnection customer to generate electricity that operates in parallel with the electric distribution system, or an alternate energy purchase facility.
   c.  “Electric distribution system” means the facilities and equipment owned and operated by an electric utility and used to transmit electricity to ultimate usage points from interchanges with higher voltage transmission networks that transport bulk power over long distances.
   d.  “Electric meter” means a device used by an electric utility that measures and registers the integral of an electrical quantity with respect to time.
   e.  “Electric utility” means a public utility that furnishes electricity to the public for compensation.
   f.  “Interconnection customer” means a person that interconnects a distributed generation facility to an electric distribution system.
   2.  An interconnection customer shall install a disconnection device below the electric meter at the location where a new or existing distributed generation facility that is interconnected to an electric distribution system is located. For a new distributed generation facility, an interconnection customer shall complete the installation within ten days after receiving authorization from an electric utility to interconnect the new distributed generation facility to an electric distribution system. An interconnection customer shall provide written notification to the electric utility that uses the electric meter that the interconnection customer will install a disconnection device before the installation is completed. An interconnection customer shall permanently affix an emblem or other label to the disconnection device identifying the disconnection device as a disconnection device.
   3.  a.  An interconnection customer shall submit the following information in writing to the nearest local paid or volunteer fire department within ten days of the installation of a disconnection device as required by this section:
   (1)  The interconnection customer’s name and address.
   (2)  The location of the distributed generation facility and disconnection device.
   (3)  Documentation of the interconnection customer’s interconnection agreement with an electric utility.
   (4)  The date of the installation of the disconnection device. 
   b.  The state fire marshal may adopt rules pursuant to chapter 17A to establish a format for the submission of information required by this subsection and to require the submission of additional information beyond that required by paragraph “a” as necessary.
   c.  Other emergency services personnel or an electric utility shall be afforded access to the information submitted to a local paid or volunteer fire department pursuant to this subsection upon request.
   4.  A local paid or volunteer fire department shall maintain a registry of information received pursuant to subsection 3 for the purpose of alerting fire fighters responding to an emergency situation that a location is equipped with a distributed generation facility and that reasonable precautions may be necessary when responding to the emergency situation.
   5.  a.  An interconnection customer who, after written notice by the board of a violation of this section, does not remedy the violation, is subject to a civil penalty of not less than one thousand dollars and not more than five thousand dollars per violation. The written notice given by the board shall specify an appropriate time for compliance.
   b.  Each violation is a separate offense. For a continuing violation, each day of violation, after the time specified for compliance in the written notice by the board, is a separate and distinct offense. Any civil penalty may be compromised by the board. In determining the amount of the penalty, or the amount agreed upon in a compromise, the board may consider the appropriateness of the penalty in relation to the interconnection customer, the gravity of the violation, and the good faith of the interconnection customer in attempting to achieve compliance following notification of a violation, and any other relevant factors.
   c.  Civil penalties collected pursuant to this section shall be remitted by the board to the treasurer of state for deposit in the general fund of the state.
    Sec. 2.  EFFECTIVE DATE.  This Act takes effect January 1, 2016.
EXPLANATION
The inclusion of this explanation does not constitute agreement with

the explanation’s substance by the members of the general assembly.
   This bill requires an interconnection customer to install a disconnection device below the electric meter at the location where a new or existing distributed generation facility that is interconnected to an electric distribution system is located.
   The bill defines “interconnection customer” as a person that interconnects a distributed generation facility to an electric distribution system. The bill defines “distributed generation facility” as a cogeneration facility or a small power production facility that is a qualifying facility under 18 C.F.R. pt. 292, subpt. B, used by an interconnection customer to generate electricity that operates in parallel with the electric distribution system, or an alternate energy purchase facility. The bill defines “disconnection device” as a bypass meter socket and lockable visual disconnect or other disconnection device capable of disconnecting and de-energizing the residual voltage in a distributed generation facility. The bill defines “electric distribution system” as the facilities and equipment owned and operated by an electric utility and used to transmit electricity to ultimate usage points from interchanges with higher voltage transmission networks that transport bulk power over long distances.
   For a new distributed generation facility, the bill requires an interconnection customer to complete the installation within 10 days after receiving authorization from an electric utility to interconnect the new distributed generation facility to an electric distribution system. The bill requires an interconnection customer to provide written notification to the electric utility that uses the electric meter that the interconnection customer will install a disconnection device before the installation is completed. The bill requires an interconnection customer to permanently affix an emblem or other label to the disconnection device identifying the disconnection device as a disconnection device.
   The bill requires an interconnection customer to submit certain information relating to the interconnection customer, the distributed generation facility, and the disconnection device to the nearest local paid or volunteer fire department within 10 days of the installation of a disconnection device as required by the bill. The state fire marshal is given rulemaking authority relating to the submission of such information. The bill requires that other emergency services personnel or an electric utility be afforded access to the information submitted pursuant to the bill upon request.
   The bill requires a local paid or volunteer fire department to maintain a registry of information received pursuant to the bill for the purpose of alerting fire fighters responding to an emergency situation that a location is equipped with a distributed generation facility and that reasonable precautions may be necessary when responding to the emergency situation.
   An interconnection customer who violates the requirements of the bill is subject to a civil penalty from the utilities board of not less than $1,000 and not more than $5,000 per violation, if the violation is not remedied after written notice by the board of the violation. The bill permits the board to compromise a civil penalty and provides factors that the board may consider in determining the amount of a civil penalty.
   The bill takes effect January 1, 2016.