SSB 1178 (LSB 2099XC (2) 90)

SENATE FILE _____ 

BY  (PROPOSED COMMITTEE ON COMMERCE BILL BY CHAIRPERSON BROWN)

A BILL FOR

An Act relating to rate increase notice requirements for public utilities.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 476.6, subsection 2, Code 2023, is amended to read as follows:
   2.  Written notice of increase.  All public utilities, except those exempted from rate regulation by section 476.1 and telecommunications service providers registered pursuant to section 476.95A, shall give written notice of a proposed increase of any rate or charge to all affected customers served by the public utility no more than sixty-two thirty days prior to the time the application for the increase is filed with the board. Public utilities exempted from rate regulation by section 476.1, except telecommunications service providers registered pursuant to section 476.95A, shall give written notice of a proposed increase of any rate or charge to all affected customers served by the public utility at least thirty days prior to the effective date of the increase. If the public utility is subject to rate regulation, the written notice to affected customers shall also include an estimate of the total bill impact on a typical customer in each affected customer class, provide a general explanation of the board’s rate increase review process, and state that the customer has a right to file a written objection to the rate increase and that the affected customers may request the board to hold a public hearing to determine if the rate increase should be allowed. The board shall prescribe the manner and method that the written notice to each affected customer of the public utility shall be served in the manner in which the customer elects to receive bills and other communications from the public utility.
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 rate increase notice requirements for public utilities.
   The bill modifies the date specified public utilities shall notify their customers of a proposed rate or charge increase from 62 to 30 days before the public utility files an application with the Iowa utilities board for the proposed rate or charge increase. The bill provides that a notice relating to rate increase information shall include an estimate of the bill impact for a typical customer, an explanation of the Iowa utilities board’s rate increase review process, and that the customer has a right to file an objection and request a public hearing. The bill provides that written notice of the increase shall be delivered in the same method that the customer elects to receive bills and other communications from the utility. The bill removes the requirement that the Iowa utilities board prescribe the manner and method that the notice is to be served.