Assigned to NREW FOR COMMITTEE
ARIZONA STATE SENATE
Fifty-Fifth Legislature, Second Regular Session
FACT SHEET FOR H.B. 2232
nonprofit generation and transmission cooperatives
Purpose
Exempts, from annual Arizona Corporation Commission (ACC) assessments, gross
intrastate revenues derived from the sale of electricity from one cooperative electric utility to
another.
Background
Statute requires the ACC to annually assess regulated Arizona public service corporations
(PSCs), including non-municipal corporations that furnish electricity, to finance ACC activities.
A PSC must annually file a statement with ACC showing its gross operating revenues derived
from intrastate operations during the preceding calendar year to calculate the PSC's assessment
(A.R.S. § 40-401; Ariz. Const. art. 15 § 2).
A generation and transmission cooperative may: 1) own, operate, lease or control plants
and facilities to generate, manufacture, purchase, acquire, accumulate and transmit electric energy;
2) construct, maintain and operate electric transmission lines on and across public lands; and
3) become a member of or financially invest in another cooperative organization or corporation
(A.R.S. § 10-2127).
There is no anticipated fiscal impact to the state General Fund associated with this
legislation.
Provisions
1. Exempts, from the annual ACC assessment, a generation and transmission cooperative's gross
intrastate revenues derived from electricity sales to another ACC-regulated cooperative electric
utility subject to the annual ACC assessment.
2. Stipulates that a generation and transmission cooperative regulated by the ACC is subject to
the annual ACC assessment.
3. Becomes effective on the general effective date.
House Action
NREW 2/1/22 DP 12-0-0-0
3
rd
Read 2/17/22 59-0-1
Prepared by Senate Research
March 7, 2022
RC/MAH/slp