Delaware 2023 2023-2024 Regular Session

Delaware Senate Bill SB56 Draft / Bill

                    SPONSOR:      Sen. Hansen & Rep. Heffernan & Rep. Phillips       Sens. Hoffner, S. McBride; Reps. Baumbach, Bolden, Morrison, Osienski, K. Williams           DELAWARE STATE SENATE   152nd GENERAL ASSEMBLY       SENATE BILL NO. 56       AN ACT TO AMEND TITLE 26 OF THE DELAWARE CODE RELATING TO THE PUBLIC SERVICE COMMISSION.      

     

     SPONSOR:      Sen. Hansen & Rep. Heffernan & Rep. Phillips       Sens. Hoffner, S. McBride; Reps. Baumbach, Bolden, Morrison, Osienski, K. Williams     

SPONSOR: Sen. Hansen & Rep. Heffernan & Rep. Phillips
Sens. Hoffner, S. McBride; Reps. Baumbach, Bolden, Morrison, Osienski, K. Williams

 SPONSOR:  

 Sen. Hansen & Rep. Heffernan & Rep. Phillips 

 Sens. Hoffner, S. McBride; Reps. Baumbach, Bolden, Morrison, Osienski, K. Williams 

   

 DELAWARE STATE SENATE 

 152nd GENERAL ASSEMBLY 

   

 SENATE BILL NO. 56 

   

 AN ACT TO AMEND TITLE 26 OF THE DELAWARE CODE RELATING TO THE PUBLIC SERVICE COMMISSION. 

   

  BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:     Section 1. Amend Chapter 1, Title 26 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:     102A. Public notice.    In any matter or proceeding before the Commission, the Commission may decide the manner and method of giving notice to those persons affected by, likely to be affected by or likely to be interested in the matter or proceeding. In making this determination, the Commission shall not be governed by the provisions for notice by publication set out in 10115(b) and 10124(1) of Title 29. Instead, such notice may be made by:    (1) Publication in 1 or more newspapers of general circulation;     (2) Delivery, by mail or other means, of a written notice to those directly affected, such as ratepayers or subscribers;     (3)  Notice on the commissions website or other digital media platforms;     ( 3 4 ) A combination of the above  2  procedures; or     (5)  Any other means which is reasonably likely to afford the affected and interested persons notice of the pendency of the matter so that they have the opportunity to present their views, such as the placement of a notice in a customers bill.     In making its determination, the Commission may consider the nature of the proceedings, the number of persons affected or interested, the ability of alternative means to reach those affected and interested and the comparative costs of the alternative methods. When, under this chapter, a public utility is required to give notice to the public, the Commission shall set the form and manner of such notice.     105. Compensation of Commissioners.    The members of the Commission shall each receive a salary  of $6,000 per year   as appropriated in the current fiscal year State of Delaware Operating Budget , to be paid in equal monthly payments by the Treasurer of the State.    Amend 115, Title 26 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:     (d) An assessment is imposed upon each public utility subject to regulation by the Public Service Commission in an amount equal to the product of  .003 (3 mills)   .004 (4 mills)  multiplied by its gross operating revenue for each calendar year, commencing with the calendar year beginning January 1,  1974.   2024.  No assessment shall be imposed upon a public utility having a gross operating revenue of less than $10,000 in any calendar year.    Section 2. Amend Chapter 13, Title 26 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:        1305.   Establishment   of   a   State   Water   Supply   Coordinating   Council.    (a) A   Water   Supply   Coordinating   Council   is   hereby   established.    The   Council   shall   have   the   following   members:   a. The   Secretary   of   the   Department   of   Natural   Resources   and   Environmental   Control   or   the   Secretarys   designee;    b. The   Secretary   of   the   Department   of   Agriculture   or   the   Secretarys   designee;    c. The   Executive   Director   of   the   Public   Service   Commission   or   the   Executive   Directors   designee;    d. The   Director   of   the   Delaware   Emergency   Management   Agency   or   the   Directors   designee;    e. The   Director   of   the   Division   of   Public   Health   or   the   Directors   designee;    f. The   Public   Advocate   or   the   Public   Advocates   designee;    g.The   Director   of   the   Delaware   Geological   Survey   or   the   Directors   designee;    h. The   Director   of   the   Water   Resources   Agency   at   the   University   of   Delaware   or   the   Directors   designee;      i. The   Executive   Director   of   the   Delaware   River   Basin   Commission   or   the   Executive   Directors   designee;      j. A   representative   of   the   office   of   the   Governor;   k. A   representative   of   the   Governments   of   New   Castle   County,   Kent   County   and   Sussex   County;      l. A   representative   of   each   public   and   private   water   utility   serving   New   Castle   County;   m. A   representative   of   public   water   supply   utilities   from   the   membership   of   Sussex   County   Association   of   Towns   (SCAT);    n. A   representative   of   public   water   supply   utilities   of   Kent   County   from   the   membership   of   the   League   of   Local   Governments;    o. A   representative   from   the   Delaware   Rural   Water   Association;   p. A   representative   from   the   membership   of   the   Delaware   Chapter   of   the   National   Association   of   Water   Companies   not   included   in   l   above;   q. One   representative   from   each   county   representing   local   Chambers   of   Commerce   in   New   Castle   County,   Kent   County   and   Sussex   County;    r. A   representative   of   the   Delaware   State   Chamber   of   Commerce;    s. A   representative   of   the   New   Castle   County   Chamber   of   Commerce;    t. A   representative   of   the   Delaware   Nursery   and   Landscape   Association;   u. A   representative   of   the   Delaware   Grounds   Management   Association;   v. A   representative   of   the   Delaware   State   Golf   Association;    w. A   representative   of   the   Delaware   Nature   Society;    x. A   representative   from   the   Delaware   Farm   Bureau;    y. A   representative   from   the   Center   for   Inland   Bays;    z. The   State   Fire   Marshal   or   the   State   Fire   Marshals   designee;      aa.   A   representative   from   the   Civic   League   of   New   Castle   County;     bb.   A   representative   from   the   Coalition   of   Natural   Stream   Valleys;   and       cc.   The   State   Climatologist   or   State   Climatologists   designee.   (b) The   Secretary   of   the   Department   of   Natural   Resources   and   Environmental   Control   or   the   Secretarys   designee   shall   serve   as   Chair   of   the   Council.   (c) The   Council,   by   majority   vote,   may   establish   subcommittees   to   address   water   supply   issues   and   plans   that   do   not   require   the   full   participation   of   the   Council.   The   subcommittees   shall   report   to   the   Council   and   any   recommended   actions   shall   require   the   approval   of   the   Council.       1306.   Reports   by   the   Water   Supply   Coordinating   Council.   (a) The   Water   Resources   Agency   (WRA),   the Delaware   Geological   Survey   (DGS),   the   Department   of   Natural Resources   and   Environmental   Control   (DNREC),   and   the   Division   of   Public   Health   (DPH)   shall   assist   the   Water   Supply   Coordinating   Council   (WSCC)   to   help   ensure   the   timely   implementation   of   the   projects   identified   in   the   WSCC   report   dated   January   17,   2003.   (b) The   WRA,   DGS,   DNREC,   and   DPH   shall   prepare   periodic   reports   on   behalf   of   the   Water   Supply   Coordinating   Council   (WSCC)   for   the   Governor   and   the   General   Assembly   summarizing   the   progress   towards   completion   of   the   projects   identified   in   the   report.   The   first   report   shall   be   submitted   on   or   before   December   31,   2003,   with   additional   reports   submitted   at   least   annually.   (c) The   principal   duty   of   the   Council   shall   be   to   work   cooperatively   with   WRA,   DGS,   DNREC,   and   DPH   To continue   to   achieve   water   supply   self   sufficiency   in   northern   New   Castle   County,   and   to   develop   and   publish   water   supply   plans   for   southern   New   Castle   County,   Kent   County   and   Sussex   County.   These   plans   shall   identify   and   describe   uses,   localities   or   areas   where   water   supply   issues   exist   and   identify   and   describe   localities   or   areas   where   future   water   supply   issues   may   occur.   These   areas   and   uses   should   include,   but   not   be   limited   to   Middletown-Odessa-Townsend,   Dover   and   central   Kent   County,   Coastal   Sussex   County   and   agricultural   irrigation   uses.   These   plans   shall   contain   an   estimate   of   existing   and   future   public   and   private   water   supplies   and   water   demands   through   2030.   Private   demands   shall   take   into   account,   to   the   maximum   extent   practicable,   all   domestic,   industrial   and   irrigation   uses.   Additional   duties   of   the   Council   shall   consist   of   performing   the   following   specific   functions:   (1) The   WSCC   may   explore   development   of   an   appropriate   funding   mechanism   to   facilitate   timely   completion   of   necessary   tasks   to   provide   technical   input   in   conducting   hydraulic   field   tests   and/or   modeling   to   optimize   and   expand,   where   appropriate,   water   utility connections;   and             (2) To   work   with   water   utilities   to   develop   cost   and   capacity   agreements   subject   to   approval   by   the   applicable   rate-setting   authority   for   the   purchase   of   water   supplies   during   drought   and   other   times   emphasizing   the   need   for   providers   with   supply   deficiencies   to   enter   agreements   which   assure   adequate   supply   to   customers;       (3) [Repealed.]       1307.   Recovery   of   costs   of   water   supply   enhancement   projects   in   rates   of   public   utilities.   In   the   case   of   a   public   utility   subject   to   the   jurisdiction   of   the   Public   Service   Commission,   upon   the   determination   by   the   Commission   that   a   water   supply   enhancement   project   identified   as   necessary   to   assure   adequate   supply   in   a   report   of   the   Water   Supply   Coordinating   Council   has   been   placed   into   service   by   the   utility   and   is   used   and   useful   in   the   provision   of   public   utility   service,   the   public   utility   shall   be   entitled   to   recover,   in   its   rates,   its   reasonable   and   prudently   incurred   capital   and   ongoing   operating   costs   for   such   project.   Nothing   in   this   section   shall   preclude   the   Commission   from   authorizing   an   allowance   for   funds   used   during   construction   for   any   such   identified   enhancement   project.       1308.   Length   of   service   for   the   Water   Supply   Coordinating   Council.   The   designation   of   the   Water   Supply   Coordinating   Council,   and   the   duties   and   responsibilities   conferred   by   this   section   shall   end   on   January   31,   2022.      

 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE: 

   Section 1. Amend Chapter 1, Title 26 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows: 

   102A. Public notice. 

  In any matter or proceeding before the Commission, the Commission may decide the manner and method of giving notice to those persons affected by, likely to be affected by or likely to be interested in the matter or proceeding. In making this determination, the Commission shall not be governed by the provisions for notice by publication set out in 10115(b) and 10124(1) of Title 29. Instead, such notice may be made by: 

  (1) Publication in 1 or more newspapers of general circulation;  

  (2) Delivery, by mail or other means, of a written notice to those directly affected, such as ratepayers or subscribers;  

  (3)  Notice on the commissions website or other digital media platforms;  

  ( 3 4 ) A combination of the above  2  procedures; or  

  (5)  Any other means which is reasonably likely to afford the affected and interested persons notice of the pendency of the matter so that they have the opportunity to present their views, such as the placement of a notice in a customers bill.  

  In making its determination, the Commission may consider the nature of the proceedings, the number of persons affected or interested, the ability of alternative means to reach those affected and interested and the comparative costs of the alternative methods. When, under this chapter, a public utility is required to give notice to the public, the Commission shall set the form and manner of such notice. 

   105. Compensation of Commissioners. 

  The members of the Commission shall each receive a salary  of $6,000 per year   as appropriated in the current fiscal year State of Delaware Operating Budget , to be paid in equal monthly payments by the Treasurer of the State. 

  Amend 115, Title 26 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:  

  (d) An assessment is imposed upon each public utility subject to regulation by the Public Service Commission in an amount equal to the product of  .003 (3 mills)   .004 (4 mills)  multiplied by its gross operating revenue for each calendar year, commencing with the calendar year beginning January 1,  1974.   2024.  No assessment shall be imposed upon a public utility having a gross operating revenue of less than $10,000 in any calendar year. 

  Section 2. Amend Chapter 13, Title 26 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:  

     1305.   Establishment   of   a   State   Water   Supply   Coordinating   Council. 

  (a) A   Water   Supply   Coordinating   Council   is   hereby   established. 

  The   Council   shall   have   the   following   members: 

 a. The   Secretary   of   the   Department   of   Natural   Resources   and   Environmental   Control   or   the   Secretarys   designee; 

  b. The   Secretary   of   the   Department   of   Agriculture   or   the   Secretarys   designee; 

  c. The   Executive   Director   of   the   Public   Service   Commission   or   the   Executive   Directors   designee; 

  d. The   Director   of   the   Delaware   Emergency   Management   Agency   or   the   Directors   designee; 

  e. The   Director   of   the   Division   of   Public   Health   or   the   Directors   designee; 

  f. The   Public   Advocate   or   the   Public   Advocates   designee; 

  g.The   Director   of   the   Delaware   Geological   Survey   or   the   Directors   designee; 

  h. The   Director   of   the   Water   Resources   Agency   at   the   University   of   Delaware   or   the   Directors   designee; 

    i. The   Executive   Director   of   the   Delaware   River   Basin   Commission   or   the   Executive   Directors   designee; 

    j. A   representative   of   the   office   of   the   Governor; 

 k. A   representative   of   the   Governments   of   New   Castle   County,   Kent   County   and   Sussex   County; 

    l. A   representative   of   each   public   and   private   water   utility   serving   New   Castle   County; 

 m. A   representative   of   public   water   supply   utilities   from   the   membership   of   Sussex   County   Association   of   Towns   (SCAT); 

  n. A   representative   of   public   water   supply   utilities   of   Kent   County   from   the   membership   of   the   League   of   Local   Governments; 

  o. A   representative   from   the   Delaware   Rural   Water   Association; 

 p. A   representative   from   the   membership   of   the   Delaware   Chapter   of   the   National   Association   of   Water   Companies   not   included   in   l   above; 

 q. One   representative   from   each   county   representing   local   Chambers   of   Commerce   in   New   Castle   County,   Kent   County   and   Sussex   County; 

  r. A   representative   of   the   Delaware   State   Chamber   of   Commerce; 

  s. A   representative   of   the   New   Castle   County   Chamber   of   Commerce; 

  t. A   representative   of   the   Delaware   Nursery   and   Landscape   Association; 

 u. A   representative   of   the   Delaware   Grounds   Management   Association; 

 v. A   representative   of   the   Delaware   State   Golf   Association; 

  w. A   representative   of   the   Delaware   Nature   Society; 

  x. A   representative   from   the   Delaware   Farm   Bureau; 

  y. A   representative   from   the   Center   for   Inland   Bays; 

  z. The   State   Fire   Marshal   or   the   State   Fire   Marshals   designee; 

    aa.   A   representative   from   the   Civic   League   of   New   Castle   County; 

   bb.   A   representative   from   the   Coalition   of   Natural   Stream   Valleys;   and   

   cc.   The   State   Climatologist   or   State   Climatologists   designee. 

 (b) The   Secretary   of   the   Department   of   Natural   Resources   and   Environmental   Control   or   the   Secretarys   designee   shall   serve   as   Chair   of   the   Council. 

 (c) The   Council,   by   majority   vote,   may   establish   subcommittees   to   address   water   supply   issues   and   plans   that   do   not   require   the   full   participation   of   the   Council.   The   subcommittees   shall   report   to   the   Council   and   any   recommended   actions   shall   require   the   approval   of   the   Council. 

     1306.   Reports   by   the   Water   Supply   Coordinating   Council. 

 (a) The   Water   Resources   Agency   (WRA),   the Delaware   Geological   Survey   (DGS),   the   Department   of 

 Natural Resources   and   Environmental   Control   (DNREC),   and   the   Division   of   Public   Health   (DPH)   shall   assist   the   Water   Supply   Coordinating   Council   (WSCC)   to   help   ensure   the   timely   implementation   of   the   projects   identified   in   the   WSCC   report   dated   January   17,   2003. 

 (b) The   WRA,   DGS,   DNREC,   and   DPH   shall   prepare   periodic   reports   on   behalf   of   the   Water   Supply 

 Coordinating   Council   (WSCC)   for   the   Governor   and   the   General   Assembly   summarizing   the   progress   towards   completion   of   the   projects   identified   in   the   report.   The   first   report   shall   be   submitted   on   or   before   December   31,   2003,   with   additional   reports   submitted   at   least   annually. 

 (c) The   principal   duty   of   the   Council   shall   be   to   work   cooperatively   with   WRA,   DGS,   DNREC,   and   DPH 

 To continue   to   achieve   water   supply   self   sufficiency   in   northern   New   Castle   County,   and   to   develop   and   publish   water   supply   plans   for   southern   New   Castle   County,   Kent   County   and   Sussex   County.   These   plans   shall   identify   and   describe   uses,   localities   or   areas   where   water   supply   issues   exist   and   identify   and   describe   localities   or   areas   where   future   water   supply   issues   may   occur.   These   areas   and   uses   should   include,   but   not   be   limited   to   Middletown-Odessa-Townsend,   Dover   and   central   Kent   County,   Coastal   Sussex   County   and   agricultural   irrigation   uses.   These   plans   shall   contain   an   estimate   of   existing   and   future   public   and   private   water   supplies   and   water   demands   through   2030.   Private   demands   shall   take   into   account,   to   the   maximum   extent   practicable,   all   domestic,   industrial   and   irrigation   uses.   Additional   duties   of   the   Council   shall   consist   of   performing   the   following   specific   functions: 

 (1) The   WSCC   may   explore   development   of   an   appropriate   funding   mechanism   to   facilitate   timely   completion   of   necessary   tasks   to   provide   technical   input   in   conducting   hydraulic   field   tests   and/or   modeling   to   optimize   and   expand,   where   appropriate,   water   utility connections;   and 

           (2) To   work   with   water   utilities   to   develop   cost   and   capacity   agreements   subject   to   approval   by   the   applicable   rate-setting   authority   for   the   purchase   of   water   supplies   during   drought   and   other   times   emphasizing   the   need   for   providers   with   supply   deficiencies   to   enter   agreements   which   assure   adequate   supply   to   customers; 

     (3) [Repealed.] 

     1307.   Recovery   of   costs   of   water   supply   enhancement   projects   in   rates   of   public   utilities. 

 In   the   case   of   a   public   utility   subject   to   the   jurisdiction   of   the   Public   Service   Commission,   upon   the 

 determination   by   the   Commission   that   a   water   supply   enhancement   project   identified   as   necessary   to   assure   adequate   supply   in   a   report   of   the   Water   Supply   Coordinating   Council   has   been   placed   into   service   by   the   utility   and   is   used   and   useful   in   the   provision   of   public   utility   service,   the   public   utility   shall   be   entitled   to   recover,   in   its   rates,   its   reasonable   and   prudently   incurred   capital   and   ongoing   operating   costs   for   such   project.   Nothing   in   this   section   shall   preclude   the   Commission   from   authorizing   an   allowance   for   funds   used   during   construction   for   any   such   identified   enhancement   project. 

     1308.   Length   of   service   for   the   Water   Supply   Coordinating   Council. 

 The   designation   of   the   Water   Supply   Coordinating   Council,   and   the   duties   and   responsibilities   conferred   by   this   section   shall   end   on   January   31,   2022. 

   

  SYNOPSIS   This is an omnibus bill that updates several aspects of the Delaware Public Utility Code, Title 26, including the following: (a) Expanding the public notice options for the Public Service Commission in order to reduce costs, increase transparency, and raise public awareness of Commission proceedings; (b) Amending the statute which sets the salary of Commissioners to provide for a salary as appropriated in the annual State Operating Budget; (c) Increasing the utility assessment rate; and (d) Eliminating references to the Water Supply Coordinating Council, which reached its sunset date of January 31, 2022.    Author: Senator Hansen  

 SYNOPSIS 

 This is an omnibus bill that updates several aspects of the Delaware Public Utility Code, Title 26, including the following: (a) Expanding the public notice options for the Public Service Commission in order to reduce costs, increase transparency, and raise public awareness of Commission proceedings; (b) Amending the statute which sets the salary of Commissioners to provide for a salary as appropriated in the annual State Operating Budget; (c) Increasing the utility assessment rate; and (d) Eliminating references to the Water Supply Coordinating Council, which reached its sunset date of January 31, 2022.  

 Author: Senator Hansen