HB92--UTILITIES
SPONSOR: O'Donnell
Thisbillauthorizesanelectricalcorporationtoincludeinthe
corporation'sratebaseanyamountsrecordedtoconstructionwork
inprogressforanynewnaturalgasgeneratingunit.ThePublic
ServiceCommissionwilldeterminetheamountofconstructionwork
inprogressasspecifiedinthebill.Baseraterecoveriesarising
fromtheinclusionofconstructionworkinprogressinbaserates
aresubjecttorefund.
TheseprovisionswillexpireonDecember31,2035,unlessthe
Commissiondeterminesthatgoodcauseexiststoextendthese
provisionsthroughDecember31,2045.Thesecretaryofthe
CommissionmustnotifytheRevisorofStatutesiftheconditions
fortheextensionhavebeenmet.
ThePublicServiceCommissionmayalsorequireelectrical
corporationstoprovidedocumentationreflectinganelectrical
corporation'splantoownsufficientcapacitytomeetthe
electricalcorporation'sobligationsfortheupcomingandthree
subsequentplanningyears.Anelectricalcorporationmustsubmit
documentationreflectingit'scapacityposition,asspecifiedin
thebill.
TheCommissionmayrequireadditionalauditsandreporting
necessarytodeterminewhetheranelectricalcorporation'splan
providesforitsownershiporcontractualrightstosufficient
capacity.
Ifanelectricalcorporationfailstohavesufficientcapacityfor
theupcomingplanningyearandtheCommissiondeterminesthe
failureistheresultofthecorporation'simprudence,the
Commissionmaydisallowanyassociatedcostsrelatedtothe
failure. TheCommissionmayalsorequiresubmissionofaplanby
theelectricalcorporationwithinsixmonthstoresolveany
expectedcapacitydeficiencyforthesubsequentthreeplanning
years.
ByAugust28,2026,thePublicServiceCommission,andeveryfour
yearsasneededthereafter,mustcompleteanintegratedresource
planningproceedingforelectricalcorporationsasspecifiedinthe
bill.
NolaterthanAugust28,2027,theCommissionmustpublisha
scheduleforelectricalcorporationstofileanintegratedresource
planeveryfouryears.Eachintegratedresourceplanmustinclude
analternativeresourceplanmeetingcertainrequirements. All
alternativeresourceplansmustcoveraminimum16-yearplanning
horizonandmustreflectprojectionsofanelectricalcorporation's
loadobligationsandhowanelectricalcorporationwouldreliably meetitsprojectedloadobligations. Additionalrequirementsare
specifiedinthebill.
Afterahearingandnolaterthan360daysaftertheelectrical
corporationfilesanintegratedresourceplan,theCommissionmust
issueareportandorderdeterminingwhethertheelectrical
corporationhassubmittedsufficientdocumentationandselecteda
preferredresourceplanrepresentingareasonableandprudentmeans
ofmeetingtheelectricalcorporation'sloadservingobligationsat
justandreasonablerates.Inmakingthisdetermination, the
Commissionmustconsiderwhethertheplanappropriatelybalances
factorsspecifiedinthebill.TheCommissionmaygrantitselfan
extensionforgoodcausefortheissuanceofthereportandorder.
Upto150daysafteranelectricalcorporationmakesitsinitial
integratedresourceplanfiling,itmayfileanupdateofthecost
estimatesifthecostestimateshavemateriallychanged.
IftheCommissiondeterminesthatthepreferredresourceplanisa
reasonableandprudentmeansofmeetingtheelectrical
corporation'sloadservingobligations,thedeterminationwill
constitutetheCommission'spermissionfortheelectrical
corporationtoconstructoracquirethespecifiedsupply-side
resourcesthatwerereflectedintheimplementation plan.Whenthe
electricalcorporationfilesanapplicationforacertificateof
convenienceandnecessitytoauthorizeconstructionoracquisition
oftheresources,theCommissionwillbedeemedtohavedetermined
thattheresourcesarenecessaryorconvenientforthepublic
interest.
IftheCommissiondeterminesthatthepreferredresourceplanis
notareasonableandprudentmeansofmeetingtheelectrical
corporation'sloadservingobligations,theCommissionwillhave
theauthoritytospecifyinitsreportandorderthedeficiencies
inthepreferredresourceplan.Theproceduresforanelectrical
corporationtocurethedeficienciesisspecifiedinthebill.
Ifapprovedinaproceedinggrantingpermissionandapprovalto
constructanelectricplant,anelectricalcorporationmayin
certaincircumstancesbepermittedtoincludeinitsratebaseany
amountsrecordedtoconstructionworkinprogressforthe
investmentsforwhichpermissionisgranted. Theinclusionof
constructionworkinprogresswillbeinlieuofanyapplicable
allowanceforfundsusedduringconstructionthatwouldhave
accruedfromtheeffectivedateofnewbaseratesthatreflect
inclusionoftheconstructionworkinprogressinratebase.The
Commissionmustdeterminetheamountofconstructionworkin
progressthatmaybeincludedinratebase.