LEGISLATIVE SERVICES AGENCY
OFFICE OF FISCAL AND MANAGEMENT ANALYSIS
200 W. Washington St., Suite 301
Indianapolis, IN 46204
(317) 233-0696
iga.in.gov
FISCAL IMPACT STATEMENT
LS 6339 NOTE PREPARED: Feb 23, 2024
BILL NUMBER: HB 1163 BILL AMENDED:
SUBJECT: Certificates of Public Convenience and Necessity.
FIRST AUTHOR: Rep. Hall BILL STATUS: Enrolled
FIRST SPONSOR: Sen. Koch
FUNDS AFFECTED: GENERAL IMPACT: State
XDEDICATED
FEDERAL
Summary of Legislation: This bill provides that: (1) a rural electric membership corporation (REMC); (2)
a nonprofit corporation that is an electric cooperative and that has at least one member that is an REMC; and
(3) certain corporations resulting from a merger or consolidation of an REMC and a telephone cooperative
corporation; are exempt from the requirement that a public utility obtain a certificate of public convenience
and necessity before beginning the construction, purchase, or lease of certain facilities to be used for
furnishing public utility service.
Effective Date: July 1, 2024.
Explanation of State Expenditures: To the extent this bill decreases requests for certificates of public
convenience and necessity (CPCN) filed with the Indiana Utility Regulatory Commission (IURC), workload
of the IURC would decrease. Since 2000, there have been 12 CPCNs filed by cooperatives providing
generation and transmission services to their members, with only one instance in the past decade. Decreases
in workload are expected to be minimal.
Explanation of State Revenues:
Explanation of Local Expenditures:
Explanation of Local Revenues:
State Agencies Affected: IURC.
HB 1163 1 Local Agencies Affected: Rural electric membership corporations, electric cooperative nonprofit
corporations, merged corporations.
Information Sources: Luke Wilson, IURC.
Fiscal Analyst: Bill Brumbach, 317-232-9559.
HB 1163 2