Hawaii 2024 Regular Session

Hawaii Senate Bill SB841 Compare Versions

Only one version of the bill is available at this time.

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1	1	THE SENATE S.B. NO. 841 THIRTY-SECOND LEGISLATURE, 2023 STATE OF HAWAII A BILL FOR AN ACT relating to WATER common carriers. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
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3	3	THE SENATE S.B. NO. 841
4	4	THIRTY-SECOND LEGISLATURE, 2023
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7	7	THE SENATE
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9	9	S.B. NO.
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11	11	841
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13	13	THIRTY-SECOND LEGISLATURE, 2023
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17	17	STATE OF HAWAII
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31	31	A BILL FOR AN ACT
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37	37	relating to WATER common carriers.
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43	43	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
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47	47	SECTION 1. Section 271G-17.5, Hawaii Revised Statutes, is amended to read as follows: "[[]§271G-17.5[]] Issuance of securities[; execution of leases]. A water common carrier may, on securing the prior approval of the public utilities commission, and not otherwise, issue stocks and stock certificates, bonds, notes, and other evidences of indebtedness, payable at periods of more than twelve months after the date thereof, [and enter into long-term leases of more than three years and leverage leases,] for the following purposes and no other, namely: (1) For the acquisition of property; [or] (2) For the construction, completion, extension, or improvement of or addition to its facilities or service; [or] (3) For the discharge or lawful refunding of its obligations; or (4) For the reimbursement of moneys actually expended from income or from any other moneys in its treasury not secured by or obtained from the issue of its stocks or stock certificates, or bonds, notes, or other evidences of indebtedness, for any of the aforesaid purposes, except maintenance of service, replacements, and substitutions not constituting capital expenditure in cases where the water carrier has kept its accounts for [such] expenditures in [such] a manner as to enable the commission to ascertain the amount of moneys so expended and the purposes for which the expenditures were made, and the sources of the funds in its treasury applied to the expenditures. As used herein, "property" and "facilities" mean property and facilities used in all operations of a water carrier whether or not included in its regulated operations or rate base. A water carrier may not issue securities [nor enter into long-term leases of more than three years and leverage leases,] to acquire property or to construct, complete, extend or improve or add to its facilities or service, if the commission determines that the proposed purpose will have a material adverse effect on its operations. No carrier shall repurchase or reissue its own common stock without prior commission approval. All stock and every stock certificate, and every bond, note, or other evidence of indebtedness of a water carrier not payable within twelve months, issued without an order of the commission authorizing the same, then in effect, shall be void. [In addition, all long-term leases of more than three years and all leverage leases entered into by a water carrier without an order of the commission authorizing the same then in effect shall be void.]" SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored. SECTION 3. This Act shall take effect upon its approval. INTRODUCED BY: _____________________________
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49	49	SECTION 1. Section 271G-17.5, Hawaii Revised Statutes, is amended to read as follows:
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51	51	"[[]§271G-17.5[]] Issuance of securities[; execution of leases]. A water common carrier may, on securing the prior approval of the public utilities commission, and not otherwise, issue stocks and stock certificates, bonds, notes, and other evidences of indebtedness, payable at periods of more than twelve months after the date thereof, [and enter into long-term leases of more than three years and leverage leases,] for the following purposes and no other, namely:
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53	53	(1) For the acquisition of property; [or]
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55	55	(2) For the construction, completion, extension, or improvement of or addition to its facilities or service; [or]
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57	57	(3) For the discharge or lawful refunding of its obligations; or
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59	59	(4) For the reimbursement of moneys actually expended from income or from any other moneys in its treasury not secured by or obtained from the issue of its stocks or stock certificates, or bonds, notes, or other evidences of indebtedness, for any of the aforesaid purposes, except maintenance of service, replacements, and substitutions not constituting capital expenditure in cases where the water carrier has kept its accounts for [such] expenditures in [such] a manner as to enable the commission to ascertain the amount of moneys so expended and the purposes for which the expenditures were made, and the sources of the funds in its treasury applied to the expenditures.
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61	61	As used herein, "property" and "facilities" mean property and facilities used in all operations of a water carrier whether or not included in its regulated operations or rate base. A water carrier may not issue securities [nor enter into long-term leases of more than three years and leverage leases,] to acquire property or to construct, complete, extend or improve or add to its facilities or service, if the commission determines that the proposed purpose will have a material adverse effect on its operations. No carrier shall repurchase or reissue its own common stock without prior commission approval.
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63	63	All stock and every stock certificate, and every bond, note, or other evidence of indebtedness of a water carrier not payable within twelve months, issued without an order of the commission authorizing the same, then in effect, shall be void. [In addition, all long-term leases of more than three years and all leverage leases entered into by a water carrier without an order of the commission authorizing the same then in effect shall be void.]"
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65	65	SECTION 2. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.
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67	67	SECTION 3. This Act shall take effect upon its approval.
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71	71	INTRODUCED BY: _____________________________
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73	73	INTRODUCED BY:
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101	101	Report Title: Common Carriers; Water Carriers; Public Utilities Commission; Long Term Leases Description: Removes the requirement that water common carriers secure prior approval of the Public Utilities Commission to enter into long term leases of more than three years and leverage leases. The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
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109	109	Common Carriers; Water Carriers; Public Utilities Commission; Long Term Leases
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113	113	Description:
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115	115	Removes the requirement that water common carriers secure prior approval of the Public Utilities Commission to enter into long term leases of more than three years and leverage leases.
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123	123	The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.