| 1 | + | *EH1163.1* |
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| 2 | + | February 16, 2024 |
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| 3 | + | ENGROSSED |
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| 4 | + | HOUSE BILL No. 1163 |
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| 5 | + | _____ |
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| 6 | + | DIGEST OF HB 1163 (Updated February 15, 2024 9:45 am - DI 140) |
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| 7 | + | Citations Affected: IC 8-1. |
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| 8 | + | Synopsis: Certificates of public convenience and necessity. Provides |
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| 9 | + | that: (1) a rural electric membership corporation (REMC); (2) a |
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| 10 | + | nonprofit corporation that is an electric cooperative and that has at least |
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| 11 | + | one member that is an REMC; and (3) certain corporations resulting |
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| 12 | + | from a merger or consolidation of an REMC and a telephone |
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| 13 | + | cooperative corporation; are exempt from the requirement that a public |
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| 14 | + | utility obtain a certificate of public convenience and necessity before |
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| 15 | + | beginning the construction, purchase, or lease of certain facilities to be |
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| 16 | + | used for furnishing public utility service. |
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| 17 | + | Effective: July 1, 2024. |
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| 18 | + | Hall, Soliday, Zimmerman, |
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| 19 | + | Pierce M |
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| 20 | + | (SENATE SPONSOR — KOCH) |
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| 21 | + | January 8, 2024, read first time and referred to Committee on Utilities, Energy and |
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| 22 | + | Telecommunications. |
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| 23 | + | January 16, 2024, reported — Do Pass. |
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| 24 | + | January 18, 2024, read second time, ordered engrossed. |
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| 25 | + | January 19, 2024, engrossed. |
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| 26 | + | January 22, 2024, read third time, passed. Yeas 94, nays 0. |
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| 27 | + | SENATE ACTION |
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| 28 | + | February 5, 2024, read first time and referred to Committee on Utilities. |
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| 29 | + | February 15, 2024, reported favorably — Do Pass. |
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| 30 | + | EH 1163—LS 6339/DI 119 February 16, 2024 |
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14 | | - | SECTION 1. IC 8-1-8.5-7, AS AMENDED BY P.L.264-2017, |
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15 | | - | SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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16 | | - | JULY 1, 2024]: Sec. 7. The certification requirements of this chapter |
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17 | | - | do not apply to a person that: |
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18 | | - | (1) constructs an electric generating facility primarily for that |
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19 | | - | person's own use and not for the primary purpose of producing |
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20 | | - | electricity, heat, or steam for sale to or for the public for |
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21 | | - | compensation; |
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22 | | - | (2) constructs an alternate energy production facility, |
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23 | | - | cogeneration facility, or a small hydro facility that complies with |
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24 | | - | the limitations set forth in IC 8-1-2.4-5; |
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25 | | - | (3) is a municipal utility, including a joint agency created under |
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26 | | - | IC 8-1-2.2-8, and installs an electric generating facility that has a |
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27 | | - | capacity of ten thousand (10,000) kilowatts or less; or |
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28 | | - | (4) is a public utility and: |
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29 | | - | (A) installs a clean energy project described in IC 8-1-8.8-2(2) |
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30 | | - | that is approved by the commission and that: |
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31 | | - | (i) uses a clean energy resource described in |
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32 | | - | IC 8-1-37-4(a)(1), IC 8-1-37-4(a)(2), or IC 8-1-37-4(a)(5); |
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33 | | - | and |
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34 | | - | (ii) has a nameplate capacity of not more than fifty thousand |
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35 | | - | (50,000) kilowatts; and |
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36 | | - | HEA 1163 2 |
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37 | | - | (B) uses a contractor that: |
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38 | | - | (i) is subject to Indiana unemployment taxes; and |
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39 | | - | (ii) is selected by the public utility through bids solicited in |
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40 | | - | a competitive procurement process; |
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41 | | - | in the engineering, procurement, or construction of the project; |
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42 | | - | or |
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43 | | - | (5) is: |
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44 | | - | (A) a corporation organized under IC 8-1-13; |
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45 | | - | (B) a corporation organized under IC 23-17 that is an |
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46 | | - | electric cooperative and that has at least one (1) member |
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47 | | - | that is a corporation organized under IC 8-1-13; or |
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48 | | - | (C) a: |
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49 | | - | (i) surviving corporation that remains after a merger of |
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50 | | - | two (2) or more corporations under IC 8-1-17.5; or |
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51 | | - | (ii) successor corporation that is formed from a |
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52 | | - | consolidation of two (2) or more corporations under |
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53 | | - | IC 8-1-17.5; |
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54 | | - | that installs an electric generating facility that has a capacity |
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55 | | - | of ten thousand (10,000) kilowatts or less. |
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56 | | - | However, a person described in this section shall, nevertheless, be |
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57 | | - | required to report to the commission the proposed construction of such |
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58 | | - | a facility before beginning construction of the facility. |
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59 | | - | HEA 1163 Speaker of the House of Representatives |
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60 | | - | President of the Senate |
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61 | | - | President Pro Tempore |
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62 | | - | Governor of the State of Indiana |
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63 | | - | Date: Time: |
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64 | | - | HEA 1163 |
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| 46 | + | 1 SECTION 1. IC 8-1-8.5-7, AS AMENDED BY P.L.264-2017, |
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| 47 | + | 2 SECTION 5, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE |
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| 48 | + | 3 JULY 1, 2024]: Sec. 7. The certification requirements of this chapter |
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| 49 | + | 4 do not apply to a person that: |
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| 50 | + | 5 (1) constructs an electric generating facility primarily for that |
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| 51 | + | 6 person's own use and not for the primary purpose of producing |
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| 52 | + | 7 electricity, heat, or steam for sale to or for the public for |
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| 53 | + | 8 compensation; |
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| 54 | + | 9 (2) constructs an alternate energy production facility, |
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| 55 | + | 10 cogeneration facility, or a small hydro facility that complies with |
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| 56 | + | 11 the limitations set forth in IC 8-1-2.4-5; |
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| 57 | + | 12 (3) is a municipal utility, including a joint agency created under |
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| 58 | + | 13 IC 8-1-2.2-8, and installs an electric generating facility that has a |
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| 59 | + | 14 capacity of ten thousand (10,000) kilowatts or less; or |
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| 60 | + | 15 (4) is a public utility and: |
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| 61 | + | 16 (A) installs a clean energy project described in IC 8-1-8.8-2(2) |
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| 62 | + | 17 that is approved by the commission and that: |
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| 63 | + | EH 1163—LS 6339/DI 119 2 |
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| 64 | + | 1 (i) uses a clean energy resource described in |
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| 65 | + | 2 IC 8-1-37-4(a)(1), IC 8-1-37-4(a)(2), or IC 8-1-37-4(a)(5); |
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| 66 | + | 3 and |
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| 67 | + | 4 (ii) has a nameplate capacity of not more than fifty thousand |
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| 68 | + | 5 (50,000) kilowatts; and |
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| 69 | + | 6 (B) uses a contractor that: |
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| 70 | + | 7 (i) is subject to Indiana unemployment taxes; and |
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| 71 | + | 8 (ii) is selected by the public utility through bids solicited in |
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| 72 | + | 9 a competitive procurement process; |
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| 73 | + | 10 in the engineering, procurement, or construction of the project; |
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| 74 | + | 11 or |
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| 75 | + | 12 (5) is: |
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| 76 | + | 13 (A) a corporation organized under IC 8-1-13; |
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| 77 | + | 14 (B) a corporation organized under IC 23-17 that is an |
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| 78 | + | 15 electric cooperative and that has at least one (1) member |
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| 79 | + | 16 that is a corporation organized under IC 8-1-13; or |
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| 80 | + | 17 (C) a: |
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| 81 | + | 18 (i) surviving corporation that remains after a merger of |
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| 82 | + | 19 two (2) or more corporations under IC 8-1-17.5; or |
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| 83 | + | 20 (ii) successor corporation that is formed from a |
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| 84 | + | 21 consolidation of two (2) or more corporations under |
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| 85 | + | 22 IC 8-1-17.5; |
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| 86 | + | 23 that installs an electric generating facility that has a capacity |
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| 87 | + | 24 of ten thousand (10,000) kilowatts or less. |
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| 88 | + | 25 However, a person described in this section shall, nevertheless, be |
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| 89 | + | 26 required to report to the commission the proposed construction of such |
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| 90 | + | 27 a facility before beginning construction of the facility. |
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| 91 | + | EH 1163—LS 6339/DI 119 3 |
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| 92 | + | COMMITTEE REPORT |
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| 93 | + | Mr. Speaker: Your Committee on Utilities, Energy and |
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| 94 | + | Telecommunications, to which was referred House Bill 1163, has had |
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| 95 | + | the same under consideration and begs leave to report the same back |
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| 96 | + | to the House with the recommendation that said bill do pass. |
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| 97 | + | (Reference is to HB 1163 as introduced.) |
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| 98 | + | SOLIDAY |
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| 99 | + | Committee Vote: Yeas 12, Nays 0 |
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| 100 | + | _____ |
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| 101 | + | COMMITTEE REPORT |
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| 102 | + | Madam President: The Senate Committee on Utilities, to which was |
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| 103 | + | referred House Bill No. 1163, has had the same under consideration |
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| 104 | + | and begs leave to report the same back to the Senate with the |
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| 105 | + | recommendation that said bill DO PASS. |
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| 106 | + | (Reference is to HB 1163 as printed January 16, 2024.) |
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| 107 | + | |
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| 108 | + | KOCH, Chairperson |
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| 109 | + | Committee Vote: Yeas 9, Nays 0 |
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| 110 | + | EH 1163—LS 6339/DI 119 |
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