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| 4 | 4 | | |
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| 5 | 5 | | 2025 -- H 5815 |
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| 6 | 6 | | ======== |
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| 7 | 7 | | LC001304 |
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| 8 | 8 | | ======== |
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| 9 | 9 | | S T A T E O F R H O D E I S L A N D |
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| 10 | 10 | | IN GENERAL ASSEMBLY |
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| 11 | 11 | | JANUARY SESSION, A.D. 2025 |
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| 12 | 12 | | ____________ |
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| 13 | 13 | | |
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| 14 | 14 | | A N A C T |
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| 15 | 15 | | RELATING TO PUBLIC UTILITIES AND CARRIERS -- PUBLIC UTILITIES COMMISSION |
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| 16 | 16 | | Introduced By: Representatives Morales, Stewart, Cotter, Handy, Felix, Tanzi, Ajello, |
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| 17 | 17 | | Cruz, and Potter |
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| 18 | 18 | | Date Introduced: February 28, 2025 |
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| 19 | 19 | | Referred To: House Corporations |
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| 20 | 20 | | |
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| 21 | 21 | | |
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| 22 | 22 | | It is enacted by the General Assembly as follows: |
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| 23 | 23 | | SECTION 1. Chapter 39-1 of the General Laws entitled "Public Utilities Commission" is 1 |
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| 24 | 24 | | hereby amended by adding thereto the following section: 2 |
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| 25 | 25 | | 39-1-64. Public utility commission and energy facility siting board intervenor support 3 |
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| 26 | 26 | | program. 4 |
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| 27 | 27 | | (a) Definitions. As used in this part, unless the context requires otherwise: 5 |
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| 28 | 28 | | (1) "Commission" means the public utilities commission. 6 |
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| 29 | 29 | | (2) "Compensation" means payment for all or part, as determined by the commission, of 7 |
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| 30 | 30 | | reasonable advocate's fees, reasonable expert witness fees, and other reasonable costs of 8 |
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| 31 | 31 | | preparation for and participation in a proceeding, and includes the fees and costs of obtaining an 9 |
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| 32 | 32 | | award under this section and of obtaining judicial review, if any. 10 |
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| 33 | 33 | | (3) “Energy facility siting board” or “siting board” means the energy facilities siting board 11 |
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| 34 | 34 | | as established by chapter 98 of title 42. 12 |
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| 35 | 35 | | (4) "Expert witness fees" means recorded or billed costs incurred by an intervenor for an 13 |
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| 36 | 36 | | expert witness. 14 |
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| 37 | 37 | | (5) “Eligible local government entity” means a city, county, governmental bodies, federally 15 |
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| 38 | 38 | | recognized tribe, state-acknowledged tribe or state-recognized tribe or city and county that is not a 16 |
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| 39 | 39 | | publicly owned public utility that intervenes or participates in a commission proceeding. 17 |
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| 40 | 40 | | (6) “Interests of residential customers” means and includes, but is not limited to, 18 |
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| 41 | 41 | | considerations of utility service; the reduction of greenhouse gas emissions from the utility sector; 19 |
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| 42 | 42 | | |
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| 43 | 43 | | |
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| 44 | 44 | | LC001304 - Page 2 of 8 |
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| 45 | 45 | | public health; energy efficiency; weatherization; electrification; environmental justice; efficient 1 |
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| 46 | 46 | | and cost-effective measures, programs and services; and clean energy technologies. 2 |
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| 47 | 47 | | (7) "Intervenor" means a person or organization that has been admitted as an intervenor or 3 |
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| 48 | 48 | | participant in a commission proceeding. 4 |
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| 49 | 49 | | (8) "Intervenor compensation special fund" means the intervenor compensation special 5 |
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| 50 | 50 | | fund established in this section. 6 |
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| 51 | 51 | | (9) "Notice of intent to claim intervenor compensation" means a standardized document 7 |
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| 52 | 52 | | available on the commission website. 8 |
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| 53 | 53 | | (10) "Other reasonable costs" means reasonable out-of-pocket expenses, directly incurred 9 |
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| 54 | 54 | | by an intervenor, that are directly related to the contentions or recommendations made by the 10 |
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| 55 | 55 | | customer that resulted in a substantial contribution. 11 |
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| 56 | 56 | | (11) "Party" means any interested party, respondent public utility, or commission staff in a 12 |
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| 57 | 57 | | hearing or proceeding. 13 |
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| 58 | 58 | | (12) "Proceeding" means an application, complaint, or investigation; rulemaking; 14 |
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| 59 | 59 | | alternative dispute resolution procedures in lieu of formal proceedings as may be sponsored or 15 |
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| 60 | 60 | | endorsed by the commission; or other formal proceeding before the commission. 16 |
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| 61 | 61 | | (13) "Significant financial hardship" means either that the customer cannot afford, without 17 |
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| 62 | 62 | | undue hardship, to pay the costs of effective participation, including advocate’s fees, expert witness 18 |
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| 63 | 63 | | fees, and other reasonable costs of participation, or that, in the case of a group or organization, the 19 |
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| 64 | 64 | | economic interest of the individual members of the group or organization is small in comparison to 20 |
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| 65 | 65 | | the costs of effective participation in the proceeding. 21 |
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| 66 | 66 | | (14) "Siting permit" means the major energy facility siting permit established pursuant to 22 |
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| 67 | 67 | | this section and the rules and regulations promulgated by the commission. 23 |
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| 68 | 68 | | (15) "Substantial contribution" means that, in the judgment of the commission, the 24 |
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| 69 | 69 | | intervenor has substantially assisted the commission and supplied a perspective that is valued based 25 |
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| 70 | 70 | | on criteria for grant approval. 26 |
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| 71 | 71 | | (b) Intervenor support program established. 27 |
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| 72 | 72 | | (1) There is established an intervenor support program to provide compensation for 28 |
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| 73 | 73 | | reasonable advocate's fees, reasonable expert witness fees, and other reasonable costs to an 29 |
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| 74 | 74 | | intervenor who makes a substantial contribution to a proceeding resulting in a decision favorable 30 |
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| 75 | 75 | | to the interest of utility consumers. Ten percent (10%) of the approved potential grant may go to 31 |
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| 76 | 76 | | non-legal or non-administrative fees, if needed. The commission shall undertake a detailed review 32 |
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| 77 | 77 | | of the reasonableness of the actual claimed costs when it reviews an intervenor compensation claim. 33 |
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| 78 | 78 | | (2) The provisions of this subsection shall apply to all formal proceedings of the 34 |
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| 79 | 79 | | |
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| 80 | 80 | | |
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| 81 | 81 | | LC001304 - Page 3 of 8 |
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| 82 | 82 | | commission involving electric, gas, water, and telephone utilities, and of the energy facility siting 1 |
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| 83 | 83 | | board, and shall be administered in a manner that encourages the effective and efficient 2 |
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| 84 | 84 | | participation of all groups that have a stake in the public utility regulation process. 3 |
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| 85 | 85 | | (3) The process for finding eligibility for intervenor compensation shall be streamlined, 4 |
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| 86 | 86 | | and based upon such criteria as an intervenor’s issues, budget, and costs. 5 |
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| 87 | 87 | | (4) Intervenors may be compensated for making a substantial contribution to proceedings 6 |
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| 88 | 88 | | of the commission, as determined by the commission beforehand in their grant approval process, 7 |
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| 89 | 89 | | after reviewing the notices of intent intervenors submit. 8 |
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| 90 | 90 | | (5) Intervenor compensation grants shall be awarded to eligible intervenors in a timely 9 |
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| 91 | 91 | | manner, within thirty (30) days of the notice of the intent to participate. 10 |
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| 92 | 92 | | (6) This section may be administered in a manner that avoids unproductive or unnecessary 11 |
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| 93 | 93 | | participation that duplicates the participation of similar interests otherwise adequately represented 12 |
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| 94 | 94 | | or participation that is not necessary for a fair determination of the proceeding. 13 |
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| 95 | 95 | | (7) The commission shall develop: 14 |
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| 96 | 96 | | (i) Accessible, multi-lingual and easily comprehensible web-based educational materials, 15 |
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| 97 | 97 | | including forms and templates, to educate prospective grantees and the public on the intervenor 16 |
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| 98 | 98 | | support grant program; and 17 |
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| 99 | 99 | | (ii) A robust virtual and in-person outreach program to educate prospective grantees and 18 |
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| 100 | 100 | | the public about the intervenor support grant program. 19 |
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| 101 | 101 | | (8) The commission may award reasonable advocate’s fees, reasonable expert witness fees, 20 |
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| 102 | 102 | | and other reasonable costs of preparation for and participation in a hearing or proceeding to any 21 |
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| 103 | 103 | | customer who satisfies both of the following requirements: 22 |
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| 104 | 104 | | (i) The customer’s presentation makes a substantial contribution to the adoption, in whole 23 |
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| 105 | 105 | | or in part, of the commission’s order or decision, and 24 |
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| 106 | 106 | | (ii) Participation or intervention without an award of fees or costs imposes a significant 25 |
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| 107 | 107 | | financial hardship. 26 |
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| 108 | 108 | | (9) In determining whether to approve a grant to an applicant, the commission may 27 |
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| 109 | 109 | | consider: 28 |
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| 110 | 110 | | (i) Evidence of the applicant's experience and commitment to advancing the interests of 29 |
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| 111 | 111 | | residential utility consumers. 30 |
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| 112 | 112 | | (ii) The anticipated effect of the proposal contained in the application on residential utility 31 |
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| 113 | 113 | | consumers, including the immediate and long-term impacts of the proposal. 32 |
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| 114 | 114 | | (iii) The uniqueness or innovativeness of an applicant's position or point of view as it relates 33 |
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| 115 | 115 | | to advocating for residential utility consumers. 34 |
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| 116 | 116 | | |
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| 117 | 117 | | |
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| 118 | 118 | | LC001304 - Page 4 of 8 |
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| 119 | 119 | | (iv) Qualification as an intervenor generally, in accordance with intervention rules as set 1 |
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| 120 | 120 | | forth in 815-RICR-00-00-1.17. 2 |
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| 121 | 121 | | (10) The commission shall adopt a policy to allow reasonable advocate’s fees, reasonable 3 |
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| 122 | 122 | | expert witness fees, and other reasonable costs of preparation for and participation in a hearing or 4 |
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| 123 | 123 | | proceeding to an eligible local government entity that satisfies all of the following requirements: 5 |
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| 124 | 124 | | (i) The entity’s presentation makes a substantial contribution to the adoption, in whole or 6 |
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| 125 | 125 | | in part, of the commission’s order or decision. 7 |
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| 126 | 126 | | (ii) Participation or intervention without an award of fees or costs imposes a significant 8 |
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| 127 | 127 | | financial hardship. 9 |
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| 128 | 128 | | (iii) The subject of the hearing or proceeding is the result of a triggering event, as 10 |
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| 129 | 129 | | determined by the commission, that significantly impacted the residents of the local government 11 |
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| 130 | 130 | | entity. 12 |
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| 131 | 131 | | (11) A municipality that qualifies for the distressed community relief fund, as provided for 13 |
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| 132 | 132 | | in § 45-13-12, that is a prospective grantee for a proceeding pertaining to a major energy facility 14 |
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| 133 | 133 | | within its boundaries shall not be required to meet the criteria pursuant to this section to receive a 15 |
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| 134 | 134 | | grant award. 16 |
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| 135 | 135 | | (12) The commission shall submit an annual report to the legislature and to the ratepayers 17 |
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| 136 | 136 | | advisory board, as established in § 39-1-37.1. Such report shall include a description of all activities 18 |
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| 137 | 137 | | of the fund, including, but not limited to: 19 |
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| 138 | 138 | | (i) Amounts credited to the fund, amounts expended from the fund, and any unexpended 20 |
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| 139 | 139 | | balance; 21 |
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| 140 | 140 | | (ii) A summary of the intervenor support grant fund application process; 22 |
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| 141 | 141 | | (iii) The number of grant applications received, the number and amount of awards granted, 23 |
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| 142 | 142 | | and the number of grant applications rejected; 24 |
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| 143 | 143 | | (iv) The number of intervenors who participated in proceedings with and without support 25 |
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| 144 | 144 | | from the fund; 26 |
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| 145 | 145 | | (v) An itemization of costs incurred by and payments made to grantees; 27 |
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| 146 | 146 | | (vi) An evaluation of the impact and contribution of grantees in commission and board 28 |
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| 147 | 147 | | proceedings; 29 |
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| 148 | 148 | | (vii) A summary of education and outreach activities conducted by the commission related 30 |
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| 149 | 149 | | to the intervenor support grant program; and 31 |
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| 150 | 150 | | (viii) Any recommended changes to the program. 32 |
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| 151 | 151 | | (c) Intervenor compensation program - Awarding of compensation. 33 |
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| 152 | 152 | | (1) An intervenor who intends to seek an award for compensation under this subsection 34 |
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| 153 | 153 | | |
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| 154 | 154 | | |
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| 155 | 155 | | LC001304 - Page 5 of 8 |
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| 156 | 156 | | shall, at the earliest reasonable time, file a notice of intent to claim intervenor compensation with 1 |
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| 157 | 157 | | the commission. The intervenor shall include within the filing a statement of the nature and extent 2 |
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| 158 | 158 | | of the intervenor's planned participation including their potential substantial contribution, an 3 |
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| 159 | 159 | | itemized estimate of the compensation that the customer expects to request, including anticipated 4 |
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| 160 | 160 | | expert witness fees and other reasonable costs, and a statement explaining the intervenor's 5 |
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| 161 | 161 | | significant financial hardship. 6 |
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| 162 | 162 | | (2) Intervenors shall receive a grant after submitting a notice of intent to participate, if 7 |
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| 163 | 163 | | approved by the commission based on eligibility standards. Intervenor compensation shall be 8 |
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| 164 | 164 | | awarded to eligible intervenors by the commission no later than thirty (30) days after the 9 |
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| 165 | 165 | | intervenors’ original notice of intent is submitted. Intervenors shall describe in their notice of intent 10 |
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| 166 | 166 | | to participate, the substantial contribution they intend to contribute to the proceeding. This process 11 |
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| 167 | 167 | | would be separate from the required standard motion to intervene in a docket. If approved under 12 |
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| 168 | 168 | | consideration from factors in subsection (b) of this section as well as given standing as an 13 |
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| 169 | 169 | | intervenor, the approved funds shall be granted before the proceeding as a guarantee. 14 |
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| 170 | 170 | | (i) Grantees shall not receive funds as approved if they withdraw from the proceeding. 15 |
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| 171 | 171 | | (ii) The commission shall make disbursements pursuant to a grant in advance of an 16 |
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| 172 | 172 | | applicant’s proposed actions as set forth in the application if necessary to enable the applicant to 17 |
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| 173 | 173 | | initiate, continue, or complete the proposed actions. 18 |
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| 174 | 174 | | (iii) If upon completion of the proceeding and submittal of the grantee’s report to the 19 |
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| 175 | 175 | | commission, the grantee’s budget exceeds the actual spending, such excess funds shall be returned 20 |
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| 176 | 176 | | to the intervenor compensation special fund. 21 |
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| 177 | 177 | | (3) The commission shall encourage grant making to nonprofits representing 22 |
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| 178 | 178 | | environmental justice communities and communities with the highest energy burdens. 23 |
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| 179 | 179 | | (4) Any computer model that is the basis for any intervenor compensation shall be available 24 |
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| 180 | 180 | | to, and subject to verification by, the commission and parties to the hearing or proceedings to the 25 |
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| 181 | 181 | | extent necessary for cross-examination or rebuttal. 26 |
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| 182 | 182 | | (5) The computation of a compensation award shall take into consideration the market rates 27 |
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| 183 | 183 | | paid to persons of comparable training and experience who offer similar services. The 28 |
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| 184 | 184 | | compensation awarded shall not, in any case, exceed the comparable market rate for services paid 29 |
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| 185 | 185 | | by the commission or the public utility, whichever is greater, to persons of comparable training and 30 |
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| 186 | 186 | | experience who are offering similar services. 31 |
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| 187 | 187 | | (6) The commission may audit the records and books of the intervenor to the extent 32 |
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| 188 | 188 | | necessary, and may contract the services of a third party, to verify the basis for the award. 33 |
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| 189 | 189 | | (7) The commission may deny any award to any intervenor who attempts to delay or 34 |
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| 190 | 190 | | |
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| 191 | 191 | | |
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| 192 | 192 | | LC001304 - Page 6 of 8 |
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| 193 | 193 | | obstruct the orderly and timely fulfillment of the commission's responsibilities. 1 |
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| 194 | 194 | | (8) The commission may require public utilities to pay into the intervenor compensation 2 |
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| 195 | 195 | | special fund. 3 |
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| 196 | 196 | | (9) The award shall be paid out of the intervenor compensation special fund. 4 |
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| 197 | 197 | | (10) Participation by a customer that materially supplements, complements, or contributes 5 |
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| 198 | 198 | | to the presentation of another party, including the commission staff, shall be fully eligible for 6 |
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| 199 | 199 | | compensation if the participation makes a substantial contribution to a commission order or 7 |
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| 200 | 200 | | decision, and if this participation was approved beforehand for the grant. 8 |
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| 201 | 201 | | (11) Within thirty (30) days after the completion of a proceeding, each grantee shall submit 9 |
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| 202 | 202 | | to the commission a report that: 10 |
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| 203 | 203 | | (i) Identifies the use of the funds during the proceeding; 11 |
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| 204 | 204 | | (ii) The substantial contribution provided by its participation; and 12 |
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| 205 | 205 | | (iii) A demonstration that its participation and the use of the funding did not cause a delay 13 |
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| 206 | 206 | | in the proceeding. Upon this submittal, any adjustments to the difference between the original grant 14 |
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| 207 | 207 | | given and the actual spending that occurred will be made. 15 |
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| 208 | 208 | | (12) Any grants awarded pursuant to this section shall be used only in proceedings before 16 |
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| 209 | 209 | | the commission or the siting board, and not for any judicial appeal of such agencies’ final decisions. 17 |
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| 210 | 210 | | (d) Intervenor compensation special fund. 18 |
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| 211 | 211 | | (1) There is established the intervenor compensation special fund within the commission, 19 |
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| 212 | 212 | | into which shall be deposited any funds so designated by the commission, and from which awards 20 |
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| 213 | 213 | | for intervenor compensation under this section may be paid. 21 |
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| 214 | 214 | | (2) The fund shall consist of the following sources: 22 |
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| 215 | 215 | | (i) Sums the general assembly may appropriate; 23 |
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| 216 | 216 | | (ii) Monies received from federal or state entities, including bond funds or court awards; 24 |
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| 217 | 217 | | (iii) Fees levied by the commission or siting board; 25 |
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| 218 | 218 | | (iv) Monies received from any private donor for the intervenor compensation special fund; 26 |
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| 219 | 219 | | (v) Any interest earned on monies in the fund; and 27 |
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| 220 | 220 | | (vi) Annual assessment on electric and gas distribution companies. 28 |
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| 221 | 221 | | (3) An annual assessment on electric and gas distribution companies shall occur: 29 |
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| 222 | 222 | | (i) If the total funds available would result in the special fund having a balance below a 30 |
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| 223 | 223 | | reasonable annual budget as set by the commission; 31 |
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| 224 | 224 | | (ii) If the general assembly appropriates funds, the utility shall be assessed up to an equal 32 |
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| 225 | 225 | | amount as the appropriation, in order that the fund shall be capped at one hundred fifty percent 33 |
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| 226 | 226 | | (150%) of a reasonable annual budget as set by the commission. 34 |
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| 227 | 227 | | |
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| 228 | 228 | | |
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| 229 | 229 | | LC001304 - Page 7 of 8 |
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| 230 | 230 | | (4) Such an assessment shall be proposed prior to April 1 of each year, and go into effect 1 |
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| 231 | 231 | | on April 1 of each year, or other such date as approved by the commission. 2 |
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| 232 | 232 | | (5) A grant awarded pursuant to this section shall not exceed fifty thousand dollars 3 |
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| 233 | 233 | | ($50,000) per proceeding for any single awardee. The commission shall, at the commission’s sole 4 |
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| 234 | 234 | | discretion, determine the amount of financial support being granted, considering the demonstrated 5 |
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| 235 | 235 | | needs of the intervenor and the complexity of the proceeding. The commission may, at the 6 |
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| 236 | 236 | | commission’s sole discretion: 7 |
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| 237 | 237 | | (i) Upon the petition of a prospective grantee, award a grant exceeding fifty thousand 8 |
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| 238 | 238 | | dollars ($50,000) only upon a demonstration of good cause, including the complexity of the 9 |
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| 239 | 239 | | proceeding in which the grantee is intervening; and 10 |
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| 240 | 240 | | (ii) Upon the petition of a prospective grantee, provide grant funding in addition to the 11 |
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| 241 | 241 | | funding initially requested under subsection (c) of this section upon a showing that new, novel or 12 |
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| 242 | 242 | | complex issues have arisen in the proceeding since the time the grant application was submitted 13 |
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| 243 | 243 | | pursuant to subsection (c) of this section. 14 |
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| 244 | 244 | | (6) The commission may consider the potential for intervenors to share costs through 15 |
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| 245 | 245 | | collaborative efforts with other parties to a proceeding as part of determining the amount of funding 16 |
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| 246 | 246 | | awarded to any prospective grantee and such intervenors may be expected to reduce duplicative 17 |
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| 247 | 247 | | costs to the extent possible in instances where the position or positions of multiple intervenors 18 |
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| 248 | 248 | | align. 19 |
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| 249 | 249 | | (7) The aggregate grant funding for any individual proceeding shall not exceed one hundred 20 |
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| 250 | 250 | | thousand dollars ($100,000). Where the aggregate amount of funding being requested exceeds one 21 |
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| 251 | 251 | | hundred thousand dollars ($100,000), funding shall be allocated to prospective grantees based on 22 |
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| 252 | 252 | | their relative financial hardship. The commission may, upon a determination of good cause, provide 23 |
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| 253 | 253 | | funding exceeding one hundred thousand dollars ($100,000) for any individual commission or 24 |
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| 254 | 254 | | board proceeding. 25 |
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| 255 | 255 | | SECTION 2. This act shall take effect On September 1, 2025. 26 |
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| 256 | 256 | | ======== |
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| 257 | 257 | | LC001304 |
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| 258 | 258 | | ======== |
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| 259 | 259 | | |
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| 260 | 260 | | |
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| 261 | 261 | | LC001304 - Page 8 of 8 |
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| 262 | 262 | | EXPLANATION |
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| 263 | 263 | | BY THE LEGISLATIVE COUNCIL |
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| 264 | 264 | | OF |
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| 265 | 265 | | A N A C T |
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| 266 | 266 | | RELATING TO PUBLIC UTILITIES AND CARRIERS -- PUBLIC UTILITIES COMMISSION |
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| 267 | 267 | | *** |
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| 268 | 268 | | This act would establish an intervenor support program to provide compensation for 1 |
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| 269 | 269 | | reasonable advocate's fees, reasonable expert witness fees, and other reasonable costs to an 2 |
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| 270 | 270 | | intervenor who makes a substantial contribution to a proceeding resulting in a decision favorable 3 |
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| 271 | 271 | | to the interest of utility consumers. The act would also establish an intervenor compensation special 4 |
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| 272 | 272 | | fund within the public utilities commission, forwarding grants to intervenors. 5 |
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| 273 | 273 | | This act would take effect on September 1, 2025. 6 |
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| 274 | 274 | | ======== |
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| 275 | 275 | | LC001304 |
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| 276 | 276 | | ======== |
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