Indiana 2024 Regular Session

Indiana House Bill HB1206 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	EH1206.1
	2	+	February 16, 2024
	3	+	ENGROSSED
	4	+	HOUSE BILL No. 1206
	5	+	_____
	6	+	DIGEST OF HB 1206 (Updated February 15, 2024 9:54 am - DI 119)
	7	+	Citations Affected: IC 8-1.
	8	+	Synopsis: Voting by small water and wastewater utilities. Amends as
	9	+	follows the statute setting forth the procedures by which certain small
	10	+	water or wastewater utilities may withdraw from and return to the
	11	+	jurisdiction of the Indiana utility regulatory commission (IURC): (1)
	12	+	Specifies that a sewage disposal company that is subject to the
	13	+	jurisdiction of the IURC for having been issued more than one
	14	+	enforcement order from the department of environmental management
	15	+	(department) may not seek to withdraw from the IURC's jurisdiction
	16	+	during the rate regulation period prescribed in the statute setting forth
	17	+	various requirements with respect to wastewater utilities that have been
	18	+	issued one or more enforcement orders by the department. (2)
	19	+	Authorizes a member or shareholder of the utility to cast a vote by
	20	+	secret absentee ballot on the question of the IURC's jurisdiction over
	21	+	the utility. (3) Provides that notice of the meeting on the question of the
	22	+	IURC's jurisdiction over the utility must be sent not less than 45 days
	23	+	(Continued next page)
	24	+	Effective: Upon passage.
	25	+	Meltzer, Zimmerman
	26	+	(SENATE SPONSOR — KOCH)
	27	+	January 9, 2024, read first time and referred to Committee on Utilities, Energy and
	28	+	Telecommunications.
	29	+	January 18, 2024, amended, reported — Do Pass.
	30	+	January 22, 2024, read second time, ordered engrossed. Engrossed.
	31	+	January 23, 2024, read third time, passed. Yeas 94, nays 1.
	32	+	SENATE ACTION
	33	+	February 5, 2024, read first time and referred to Committee on Utilities.
	34	+	February 15, 2024, reported favorably — Do Pass.
	35	+	EH 1206—LS 6863/DI 101 Digest Continued
	36	+	(instead of 30 days, under current law) before the meeting and must
	37	+	include: (A) instructions regarding how a member or shareholder who
	38	+	wishes to cast a vote by absentee ballot may request an absentee ballot;
	39	+	(B) a statement that a request for an absentee ballot precludes a
	40	+	member or shareholder from voting in person at the meeting held on
	41	+	the question of withdrawal from the IURC's jurisdiction; (C)
	42	+	instructions for returning or delivering an absentee ballot; and (D) the
	43	+	deadline for returning an absentee ballot, which must be: (i) not earlier
	44	+	than 10 calendar days; and (ii) not later than five calendar days; before
	45	+	the meeting on the question, along with information as to when an
	46	+	absentee ballot will be considered received by the board. (4) Provides
	47	+	that the 5% quorum required for members or shareholders to transact
	48	+	business and to take official action regarding the question of the
	49	+	IURC's jurisdiction over the utility includes votes cast by absentee
	50	+	ballot. (5) Provides that if: (A) a utility successfully withdraws from the
	51	+	IURC's jurisdiction; (B) after the withdrawal, a referendum is held on
	52	+	the question of the utility returning to the IURC's jurisdiction; and (C)
	53	+	less than a majority of the votes cast are in favor of returning to the
	54	+	IURC's jurisdiction; another referendum on the question of returning
	55	+	to the IURC's jurisdiction may not be conducted for two years (instead
	56	+	of four years, under current law) following the date of the meeting at
	57	+	which the vote is conducted. (6) Makes conforming changes.
	58	+	EH 1206—LS 6863/DI 101EH 1206—LS 6863/DI 101 February 16, 2024
1	59		Second Regular Session of the 123rd General Assembly (2024)
2	60		PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
3	61		Constitution) is being amended, the text of the existing provision will appear in this style type,
4	62		additions will appear in this style type, and deletions will appear in this style type.
5	63		Additions: Whenever a new statutory provision is being enacted (or a new constitutional
6	64		provision adopted), the text of the new provision will appear in this style type. Also, the
7	65		word NEW will appear in that style type in the introductory clause of each SECTION that adds
8	66		a new provision to the Indiana Code or the Indiana Constitution.
9	67		Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
10	68		between statutes enacted by the 2023 Regular Session of the General Assembly.
11		-	HOUSE ENROLLED ACT No. 1206
12		-	AN ACT to amend the Indiana Code concerning utilities.
	69	+	ENGROSSED
	70	+	HOUSE BILL No. 1206
	71	+	A BILL FOR AN ACT to amend the Indiana Code concerning
	72	+	utilities.
13	73		Be it enacted by the General Assembly of the State of Indiana:
14		-	SECTION 1. IC 8-1-2.7-2 IS AMENDED TO READ AS
	74	+	1 SECTION 1. IC 8-1-2.7-2 IS AMENDED TO READ AS
	75	+	2 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 2. (a) This chapter
	76	+	3 provides the exclusive statutory manner for a utility described in
	77	+	4 section 1.3(a)(1) or 1.3(a)(2) of this chapter to withdraw from the
	78	+	5 jurisdiction of the commission for the approval of the following:
	79	+	6 (1) Rates and charges.
	80	+	7 (2) Stocks, bonds, notes, or other evidence of indebtedness.
	81	+	8 (3) Rules.
	82	+	9 (4) The annual report filing requirement.
	83	+	10 (b) Notwithstanding any other provision in this article, a sewer
	84	+	11 disposal company described in section 1.3(a)(2) of this chapter shall
	85	+	12 not initiate operations or provide service or seek commission authority
	86	+	13 to do so within a territory for which the commission has granted
	87	+	14 operating and territorial authority to any other entity, which has not
	88	+	15 been revoked.
	89	+	EH 1206—LS 6863/DI 101 2
	90	+	1 (c) A sewage disposal company described in section 1.3(a)(2) of this
	91	+	2 chapter that has withdrawn from commission jurisdiction under this
	92	+	3 chapter shall offer service to all customers within the territory for
	93	+	4 which the commission has granted the utility territorial authority.
	94	+	5 (d) A sewage disposal company described in section 1.3(a)(2) of
	95	+	6 this chapter that is subject to the commission's jurisdiction under
	96	+	7 IC 8-1-1.9-5(e)(2) for having been issued more than one (1)
	97	+	8 enforcement order (as defined in IC 8-1-1.9-5(c)) within the time
	98	+	9 specified in IC 8-1-1.9-5(e)(2) may not seek to withdraw from the
	99	+	10 commission's jurisdiction under this chapter during the rate
	100	+	11 regulation period set forth in IC 8-1-1.9-5(e)(2).
	101	+	12 SECTION 2. IC 8-1-2.7-5 IS AMENDED TO READ AS
	102	+	13 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 5. (a) The
	103	+	14 referendum must be conducted at a special meeting called by the board.
	104	+	15 Written notice of the meeting must be sent to every member or
	105	+	16 shareholder of the withdrawing utility and to the secretary of the
	106	+	17 commission not less than thirty (30) forty-five (45) days before the
	107	+	18 date of the meeting. The notice must contain the following information:
	108	+	19 (1) The place, date, and hour of the meeting.
	109	+	20 (2) The purpose of the meeting, including an explanation of what
	110	+	21 the withdrawal from commission jurisdiction entails.
	111	+	22 (3) The fact that no proxies will be permitted.
	112	+	23 (4) A statement that a member or shareholder may cast a vote
	113	+	24 by secret absentee ballot.
	114	+	25 (b) The notice provided under subsection (a) must include:
	115	+	26 (1) instructions for how a member or shareholder who wishes
	116	+	27 to cast a vote by absentee ballot may request an absentee
	117	+	28 ballot;
	118	+	29 (2) a statement that a request for an absentee ballot precludes
	119	+	30 a member or shareholder from voting in person at the
	120	+	31 meeting held on the question of withdrawal from the
	121	+	32 commission's jurisdiction;
	122	+	33 (3) instructions that a member or shareholder voting by
	123	+	34 absentee ballot must:
	124	+	35 (A) return the absentee ballot by United States mail; or
	125	+	36 (B) deliver the absentee ballot in person to the offices of the
	126	+	37 utility; and
	127	+	38 (4) the deadline for returning or delivering an absentee ballot,
	128	+	39 which must be:
	129	+	40 (A) not earlier than ten (10) calendar days; and
	130	+	41 (B) not later than five (5) calendar days;
	131	+	42 before the meeting on the question of withdrawal, along with
	132	+	EH 1206—LS 6863/DI 101 3
	133	+	1 information as to when an absentee ballot will be considered
	134	+	2 received by the board.
	135	+	3 (c) The form of an absentee ballot authorized by this section
	136	+	4 must be as follows:
	137	+	5 [] YES, I want to withdraw from the jurisdiction of the
	138	+	6 commission.
	139	+	7 [] NO, I want to remain under the jurisdiction of the
	140	+	8 commission.
	141	+	9 (d) An absentee ballot authorized by this section must not:
	142	+	10 (1) require a member or shareholder to include the member's
	143	+	11 or shareholder's name on the absentee ballot or to sign the
	144	+	12 absentee ballot; or
	145	+	13 (2) be marked with any number or identifier that can be
	146	+	14 traced to the member or shareholder;
	147	+	15 so as to compromise the confidentiality of the member's or
	148	+	16 shareholder's vote.
	149	+	17 SECTION 3. IC 8-1-2.7-6 IS AMENDED TO READ AS
	150	+	18 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 6. A quorum
	151	+	19 consisting of not less than five percent (5%) of the members or
	152	+	20 shareholders must:
	153	+	21 (1) be present at the meeting; or
	154	+	22 (2) vote by absentee ballot;
	155	+	23 to transact business and to take official action regarding the jurisdiction
	156	+	24 question.
	157	+	25 SECTION 4. IC 8-1-2.7-7 IS AMENDED TO READ AS
	158	+	26 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 7. The board shall
	159	+	27 distribute secret written ballots to the members or shareholders present
	160	+	28 at the meeting. The form of the ballots must be as follows:
	161	+	29 [] YES, I want to withdraw from the jurisdiction of the
	162	+	30 commission.
	163	+	31 [] NO, I want to remain under the jurisdiction of the commission.
	164	+	32 Only those members or shareholders present at the meeting are eligible
	165	+	33 to vote, and proxy votes are not permitted. Each member or shareholder
	166	+	34 present is entitled to one (1) vote, either in person at the meeting or
	167	+	35 by absentee ballot, on the question of withdrawal from commission
	168	+	36 jurisdiction. Proxy votes may not be permitted. If a majority of
	169	+	37 voting members or shareholders present vote in favor of the utility
	170	+	38 withdrawing from commission jurisdiction, the withdrawal becomes
	171	+	39 effective thirty (30) days after the date of the meeting at which the
	172	+	40 vote is conducted. If less than a majority of the voting members or
	173	+	41 shareholders present vote in favor of withdrawal from commission
	174	+	42 jurisdiction, the utility is prohibited from seeking withdrawal for two
	175	+	EH 1206—LS 6863/DI 101 4
	176	+	1 (2) years following the date of the meeting at which the vote is
	177	+	2 conducted.
	178	+	3 SECTION 5. IC 8-1-2.7-10 IS AMENDED TO READ AS
	179	+	4 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 10. (a) If a utility
	180	+	5 successfully withdraws from commission jurisdiction, the board of
	181	+	6 directors shall, within five (5) days of the meeting, send written
	182	+	7 confirmation to the secretary of the commission containing the
	183	+	8 following information:
	184	+	9 (1) The total membership or number of shareholders of the utility.
	185	+	10 (2) The total number of members or shareholders:
	186	+	11 (A) present at the meeting; and
	187	+	12 (B) voting by absentee ballot.
	188	+	13 (3) The vote totals both for and against withdrawal.
	189	+	14 (4) Written verification of notice of the meeting.
	190	+	15 (5) An affidavit, signed by all of the members of the board of
	191	+	16 directors, stating that all of the requirements of this chapter have
	192	+	17 been met.
	193	+	18 (b) If a utility successfully withdraws from commission jurisdiction,
	194	+	19 the utility is not required to pay the public utility fee imposed under
	195	+	20 IC 8-1-6.
	196	+	21 (c) Notwithstanding any other provision of this chapter, a utility
	197	+	22 described in section 1.3(a)(2) of this chapter that has withdrawn from
	198	+	23 commission jurisdiction remains subject to commission jurisdiction
	199	+	24 with regard to the requirements of IC 8-1-2-89(f).
	200	+	25 (d) Whenever two (2) or more utilities described in section 1.3(a)(1)
	201	+	26 or 1.3(a)(2) of this chapter propose to consolidate, and at least one (1),
	202	+	27 but not all of the utilities have withdrawn from commission
	203	+	28 jurisdiction, then the following apply:
	204	+	29 (1) For purposes of the consolidation, all of the utilities are under
	205	+	30 the commission's jurisdiction.
	206	+	31 (2) The new corporation that is formed as a result of the
	207	+	32 consolidation is under the commission's jurisdiction for all
	208	+	33 purposes and must fully comply with this chapter in order to
	209	+	34 withdraw from commission jurisdiction.
	210	+	35 (e) If two (2) or more utilities described in section 1.3(a)(1)(C) or
	211	+	36 1.3(a)(2)(C) of this chapter propose to consolidate, and all of the
	212	+	37 cooperatives have withdrawn from commission jurisdiction, the new
	213	+	38 utility continues to operate outside the commission's jurisdiction under
	214	+	39 the terms of this section.
	215	+	40 (f) The commission's approval is not required for consolidation of
	216	+	41 two (2) or more utilities that have all withdrawn from commission
	217	+	42 jurisdiction.
	218	+	EH 1206—LS 6863/DI 101 5
	219	+	1 SECTION 6. IC 8-1-2.7-12 IS AMENDED TO READ AS
	220	+	2 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 12. If a utility
	221	+	3 returns to commission jurisdiction, the commission assumes
	222	+	4 jurisdiction over the following thirty (30) days after the date of the
	223	+	5 meeting at which the vote over the following: is conducted:
	224	+	6 (1) Rates and charges.
	225	+	7 (2) Stocks, bonds, notes, or other evidence of indebtedness.
	226	+	8 (3) Rules.
	227	+	9 (4) The annual report filing requirement.
	228	+	10 If less than a majority of the voting members or shareholders present
	229	+	11 vote in favor of returning to commission jurisdiction, a referendum on
	230	+	12 the question may not be conducted for four (4) two (2) years following
	231	+	13 the date of the meeting at which the vote is conducted.
	232	+	14 SECTION 7. IC 8-1-2.7-13 IS AMENDED TO READ AS
	233	+	15 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 13. If a utility
	234	+	16 attempts to return to commission jurisdiction, the board of directors
	235	+	17 shall, within five (5) days following the meeting, send written
	236	+	18 confirmation to the secretary of the commission containing the
	237	+	19 following information:
	238	+	20 (1) The total membership or number of shareholders of the utility.
	239	+	21 (2) The total number of members or shareholders:
	240	+	22 (A) present at the meeting; and
	241	+	23 (B) voting by absentee ballot.
	242	+	24 (3) The vote totals both for and against the return.
	243	+	25 (4) Written verification of notice of the meeting.
	244	+	26 (5) An affidavit, signed by all the members of the board of
	245	+	27 directors, stating that all of the requirements of this chapter have
	246	+	28 been met.
	247	+	29 SECTION 8. IC 8-1-2.7-14.5 IS AMENDED TO READ AS
	248	+	30 FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 14.5. (a) This
	249	+	31 section applies when a utility fails to follow the procedures provided in
	250	+	32 this chapter for withdrawal from or return to the commission's
	251	+	33 jurisdiction.
	252	+	34 (b) To contest compliance with this chapter:
	253	+	35 (1) parties aggrieved by the decision to withdraw from or return
	254	+	36 to commission jurisdiction; or
	255	+	37 (2) other interested parties;
	256	+	38 must file an action in the circuit or superior court with jurisdiction in
	257	+	39 the county where the utility has its principal office.
	258	+	40 (c) An action filed under this section must be filed not later than
	259	+	41 thirty (30) days after the date of the meeting at which the vote
	260	+	42 regarding commission jurisdiction over the utility is conducted.
	261	+	EH 1206—LS 6863/DI 101 6
	262	+	1 SECTION 9. An emergency is declared for this act.
	263	+	EH 1206—LS 6863/DI 101 7
	264	+	COMMITTEE REPORT
	265	+	Mr. Speaker: Your Committee on Utilities, Energy and
	266	+	Telecommunications, to which was referred House Bill 1206, has had
	267	+	the same under consideration and begs leave to report the same back
	268	+	to the House with the recommendation that said bill be amended as
	269	+	follows:
	270	+	Page 1, between the enacting clause and line 1, begin a new
	271	+	paragraph and insert:
	272	+	"SECTION 1. IC 8-1-2.7-2 IS AMENDED TO READ AS
15	273		FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 2. (a) This chapter
16	274		provides the exclusive statutory manner for a utility described in
17	275		section 1.3(a)(1) or 1.3(a)(2) of this chapter to withdraw from the
18	276		jurisdiction of the commission for the approval of the following:
19	277		(1) Rates and charges.
20	278		(2) Stocks, bonds, notes, or other evidence of indebtedness.
21	279		(3) Rules.
22	280		(4) The annual report filing requirement.
23	281		(b) Notwithstanding any other provision in this article, a sewer
24	282		disposal company described in section 1.3(a)(2) of this chapter shall
25	283		not initiate operations or provide service or seek commission authority
26	284		to do so within a territory for which the commission has granted
27	285		operating and territorial authority to any other entity, which has not
28	286		been revoked.
29	287		(c) A sewage disposal company described in section 1.3(a)(2) of this
30	288		chapter that has withdrawn from commission jurisdiction under this
31	289		chapter shall offer service to all customers within the territory for
32	290		which the commission has granted the utility territorial authority.
33	291		(d) A sewage disposal company described in section 1.3(a)(2) of
34	292		this chapter that is subject to the commission's jurisdiction under
35	293		IC 8-1-1.9-5(e)(2) for having been issued more than one (1)
36		-	HEA 1206 2
37	294		enforcement order (as defined in IC 8-1-1.9-5(c)) within the time
38	295		specified in IC 8-1-1.9-5(e)(2) may not seek to withdraw from the
39	296		commission's jurisdiction under this chapter during the rate
40		-	regulation period set forth in IC 8-1-1.9-5(e)(2).
41		-	SECTION 2. IC 8-1-2.7-5 IS AMENDED TO READ AS
42		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 5. (a) The
43		-	referendum must be conducted at a special meeting called by the board.
44		-	Written notice of the meeting must be sent to every member or
45		-	shareholder of the withdrawing utility and to the secretary of the
46		-	commission not less than thirty (30) forty-five (45) days before the
47		-	date of the meeting. The notice must contain the following information:
48		-	(1) The place, date, and hour of the meeting.
49		-	(2) The purpose of the meeting, including an explanation of what
50		-	the withdrawal from commission jurisdiction entails.
51		-	(3) The fact that no proxies will be permitted.
52		-	(4) A statement that a member or shareholder may cast a vote
53		-	by secret absentee ballot.
54		-	(b) The notice provided under subsection (a) must include:
55		-	(1) instructions for how a member or shareholder who wishes
56		-	to cast a vote by absentee ballot may request an absentee
57		-	ballot;
58		-	(2) a statement that a request for an absentee ballot precludes
59		-	a member or shareholder from voting in person at the
60		-	meeting held on the question of withdrawal from the
61		-	commission's jurisdiction;
62		-	(3) instructions that a member or shareholder voting by
63		-	absentee ballot must:
64		-	(A) return the absentee ballot by United States mail; or
65		-	(B) deliver the absentee ballot in person to the offices of the
66		-	utility; and
67		-	(4) the deadline for returning or delivering an absentee ballot,
68		-	which must be:
69		-	(A) not earlier than ten (10) calendar days; and
70		-	(B) not later than five (5) calendar days;
71		-	before the meeting on the question of withdrawal, along with
72		-	information as to when an absentee ballot will be considered
73		-	received by the board.
74		-	(c) The form of an absentee ballot authorized by this section
75		-	must be as follows:
76		-	[] YES, I want to withdraw from the jurisdiction of the
77		-	commission.
78		-	[] NO, I want to remain under the jurisdiction of the
79		-	HEA 1206 3
80		-	commission.
81		-	(d) An absentee ballot authorized by this section must not:
82		-	(1) require a member or shareholder to include the member's
83		-	or shareholder's name on the absentee ballot or to sign the
84		-	absentee ballot; or
85		-	(2) be marked with any number or identifier that can be
86		-	traced to the member or shareholder;
87		-	so as to compromise the confidentiality of the member's or
88		-	shareholder's vote.
89		-	SECTION 3. IC 8-1-2.7-6 IS AMENDED TO READ AS
90		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 6. A quorum
91		-	consisting of not less than five percent (5%) of the members or
92		-	shareholders must:
93		-	(1) be present at the meeting; or
94		-	(2) vote by absentee ballot;
95		-	to transact business and to take official action regarding the jurisdiction
96		-	question.
97		-	SECTION 4. IC 8-1-2.7-7 IS AMENDED TO READ AS
98		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 7. The board shall
99		-	distribute secret written ballots to the members or shareholders present
100		-	at the meeting. The form of the ballots must be as follows:
101		-	[] YES, I want to withdraw from the jurisdiction of the
102		-	commission.
103		-	[] NO, I want to remain under the jurisdiction of the commission.
104		-	Only those members or shareholders present at the meeting are eligible
105		-	to vote, and proxy votes are not permitted. Each member or shareholder
106		-	present is entitled to one (1) vote, either in person at the meeting or
107		-	by absentee ballot, on the question of withdrawal from commission
108		-	jurisdiction. Proxy votes may not be permitted. If a majority of
109		-	voting members or shareholders present vote in favor of the utility
110		-	withdrawing from commission jurisdiction, the withdrawal becomes
111		-	effective thirty (30) days after the date of the meeting at which the
112		-	vote is conducted. If less than a majority of the voting members or
113		-	shareholders present vote in favor of withdrawal from commission
114		-	jurisdiction, the utility is prohibited from seeking withdrawal for two
115		-	(2) years following the date of the meeting at which the vote is
116		-	conducted.
117		-	SECTION 5. IC 8-1-2.7-10 IS AMENDED TO READ AS
118		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 10. (a) If a utility
119		-	successfully withdraws from commission jurisdiction, the board of
120		-	directors shall, within five (5) days of the meeting, send written
121		-	confirmation to the secretary of the commission containing the
122		-	HEA 1206 4
123		-	following information:
124		-	(1) The total membership or number of shareholders of the utility.
125		-	(2) The total number of members or shareholders:
126		-	(A) present at the meeting; and
127		-	(B) voting by absentee ballot.
128		-	(3) The vote totals both for and against withdrawal.
129		-	(4) Written verification of notice of the meeting.
130		-	(5) An affidavit, signed by all of the members of the board of
131		-	directors, stating that all of the requirements of this chapter have
132		-	been met.
133		-	(b) If a utility successfully withdraws from commission jurisdiction,
134		-	the utility is not required to pay the public utility fee imposed under
135		-	IC 8-1-6.
136		-	(c) Notwithstanding any other provision of this chapter, a utility
137		-	described in section 1.3(a)(2) of this chapter that has withdrawn from
138		-	commission jurisdiction remains subject to commission jurisdiction
139		-	with regard to the requirements of IC 8-1-2-89(f).
140		-	(d) Whenever two (2) or more utilities described in section 1.3(a)(1)
141		-	or 1.3(a)(2) of this chapter propose to consolidate, and at least one (1),
142		-	but not all of the utilities have withdrawn from commission
143		-	jurisdiction, then the following apply:
144		-	(1) For purposes of the consolidation, all of the utilities are under
145		-	the commission's jurisdiction.
146		-	(2) The new corporation that is formed as a result of the
147		-	consolidation is under the commission's jurisdiction for all
148		-	purposes and must fully comply with this chapter in order to
149		-	withdraw from commission jurisdiction.
150		-	(e) If two (2) or more utilities described in section 1.3(a)(1)(C) or
151		-	1.3(a)(2)(C) of this chapter propose to consolidate, and all of the
152		-	cooperatives have withdrawn from commission jurisdiction, the new
153		-	utility continues to operate outside the commission's jurisdiction under
154		-	the terms of this section.
155		-	(f) The commission's approval is not required for consolidation of
156		-	two (2) or more utilities that have all withdrawn from commission
157		-	jurisdiction.
158		-	SECTION 6. IC 8-1-2.7-12 IS AMENDED TO READ AS
159		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 12. If a utility
160		-	returns to commission jurisdiction, the commission assumes
161		-	jurisdiction over the following thirty (30) days after the date of the
162		-	meeting at which the vote over the following: is conducted:
163		-	(1) Rates and charges.
164		-	(2) Stocks, bonds, notes, or other evidence of indebtedness.
165		-	HEA 1206 5
166		-	(3) Rules.
167		-	(4) The annual report filing requirement.
168		-	If less than a majority of the voting members or shareholders present
169		-	vote in favor of returning to commission jurisdiction, a referendum on
170		-	the question may not be conducted for four (4) two (2) years following
171		-	the date of the meeting at which the vote is conducted.
172		-	SECTION 7. IC 8-1-2.7-13 IS AMENDED TO READ AS
173		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 13. If a utility
174		-	attempts to return to commission jurisdiction, the board of directors
175		-	shall, within five (5) days following the meeting, send written
176		-	confirmation to the secretary of the commission containing the
177		-	following information:
178		-	(1) The total membership or number of shareholders of the utility.
179		-	(2) The total number of members or shareholders:
180		-	(A) present at the meeting; and
181		-	(B) voting by absentee ballot.
182		-	(3) The vote totals both for and against the return.
183		-	(4) Written verification of notice of the meeting.
184		-	(5) An affidavit, signed by all the members of the board of
185		-	directors, stating that all of the requirements of this chapter have
186		-	been met.
187		-	SECTION 8. IC 8-1-2.7-14.5 IS AMENDED TO READ AS
188		-	FOLLOWS [EFFECTIVE UPON PASSAGE]: Sec. 14.5. (a) This
189		-	section applies when a utility fails to follow the procedures provided in
190		-	this chapter for withdrawal from or return to the commission's
191		-	jurisdiction.
192		-	(b) To contest compliance with this chapter:
193		-	(1) parties aggrieved by the decision to withdraw from or return
194		-	to commission jurisdiction; or
195		-	(2) other interested parties;
196		-	must file an action in the circuit or superior court with jurisdiction in
197		-	the county where the utility has its principal office.
198		-	(c) An action filed under this section must be filed not later than
199		-	thirty (30) days after the date of the meeting at which the vote
200		-	regarding commission jurisdiction over the utility is conducted.
201		-	SECTION 9. An emergency is declared for this act.
202		-	HEA 1206 Speaker of the House of Representatives
203		-	President of the Senate
204		-	President Pro Tempore
205		-	Governor of the State of Indiana
206		-	Date: Time:
207		-	HEA 1206
	297	+	regulation period set forth in IC 8-1-1.9-5(e)(2).".
	298	+	Renumber all SECTIONS consecutively.
	299	+	and when so amended that said bill do pass.
	300	+	(Reference is to HB 1206 as introduced.)
	301	+	SOLIDAY
	302	+	Committee Vote: yeas 12, nays 0.
	303	+	EH 1206—LS 6863/DI 101 8
	304	+	COMMITTEE REPORT
	305	+	Madam President: The Senate Committee on Utilities, to which was
	306	+	referred House Bill No. 1206, has had the same under consideration
	307	+	and begs leave to report the same back to the Senate with the
	308	+	recommendation that said bill DO PASS.
	309	+	(Reference is to HB 1206 as printed January 18, 2024.)
	310	+
	311	+	KOCH, Chairperson
	312	+	Committee Vote: Yeas 9, Nays 0
	313	+	EH 1206—LS 6863/DI 101