I 119THCONGRESS 1 STSESSION H. R. 1148 To amend the Public Utility Regulatory Policies Act of 1978 to require States to consider prohibiting cost recovery related to smart grid projects, and for other purposes. IN THE HOUSE OF REPRESENTATIVES FEBRUARY7, 2025 Mr. V ANDREWintroduced the following bill; which was referred to the Committee on Energy and Commerce A BILL To amend the Public Utility Regulatory Policies Act of 1978 to require States to consider prohibiting cost recovery related to smart grid projects, and for other purposes. Be it enacted by the Senate and House of Representa-1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Stop Misappropriating 4 Ratepayer Tariffs for Excessive Resources Act’’ or the 5 ‘‘SMARTER Act’’. 6 SEC. 2. SMART GRID COST RECOVERY. 7 (a) C ONSIDERATION AND DETERMINATIONRESPECT-8 INGCERTAINRATEMAKINGSTANDARDS.— 9 VerDate Sep 11 2014 21:12 Mar 08, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H1148.IH H1148 ssavage on LAPJG3WLY3PROD with BILLS 2 •HR 1148 IH (1) REPEAL.—Section 111(d)(18)(B) of the 1 Public Utility Regulatory Policies Act of 1978 (16 2 U.S.C. 2621(d)(18)(B)) is repealed. 3 (2) E STABLISHMENT.—Section 111(d) of the 4 Public Utility Regulatory Policies Act of 1978 (16 5 U.S.C. 2621(d)) is amended by adding at the end 6 the following: 7 ‘‘(22) P ROHIBITION ON RATE RECOVERY FOR 8 SMART GRID INVESTMENTS .—No electric utility may 9 recover from ratepayers any capital, operating ex-10 penditure, or other costs of the electric utility relat-11 ing to the deployment of any smart grid system.’’. 12 (b) O BLIGATIONSTOCONSIDER ANDDETERMINE.— 13 (1) T IME LIMITATIONS.—Section 112(b) of the 14 Public Utility Regulatory Policies Act of 1978 (16 15 U.S.C. 2622(b)) is amended by adding at the end 16 the following: 17 ‘‘(8)(A) Not later than 1 year after the date of 18 enactment of this paragraph, each State regulatory 19 authority (with respect to each electric utility for 20 which the State has ratemaking authority) and each 21 nonregulated utility shall commence consideration 22 under section 111, or set a hearing date for consid-23 eration, with respect to the standard established by 24 paragraph (22) of section 111(d). 25 VerDate Sep 11 2014 21:12 Mar 08, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H1148.IH H1148 ssavage on LAPJG3WLY3PROD with BILLS 3 •HR 1148 IH ‘‘(B) Not later than 2 years after the date of 1 enactment of this paragraph, each State regulatory 2 authority (with respect to each electric utility for 3 which the State has ratemaking authority), and each 4 nonregulated electric utility shall complete the con-5 sideration and make the determination under section 6 111 with respect to the standard established by 7 paragraph (22) of section 111(d).’’. 8 (2) F AILURE TO COMPLY .—Section 112(c) of 9 the Public Utility Regulatory Policies Act of 1978 10 (16 U.S.C. 2622(c)) is amended by adding at the 11 end the following: ‘‘In the case of the standard es-12 tablished by paragraph (22) of section 111(d), the 13 reference contained in this subsection to the date of 14 enactment of this Act shall be deemed to be a ref-15 erence to the date of enactment of that paragraph 16 (22).’’. 17 (3) P RIOR STATE ACTIONS.—Section 112 of the 18 Public Utility Regulatory Policies Act of 1978 (16 19 U.S.C. 2622) is amended by adding at the end the 20 following: 21 ‘‘(i) P RIORSTATEACTIONS.—Subsections (b) and 22 (c) shall not apply to the standard established by para-23 graph (22) of section 111(d) in the case of any electric 24 VerDate Sep 11 2014 21:12 Mar 08, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1148.IH H1148 ssavage on LAPJG3WLY3PROD with BILLS 4 •HR 1148 IH utility in a State if, before the date of enactment of this 1 subsection— 2 ‘‘(1) the State has implemented for the electric 3 utility the standard (or a comparable standard); 4 ‘‘(2) the State regulatory authority for the 5 State or the relevant nonregulated electric utility has 6 conducted a proceeding to consider implementation 7 of the standard (or a comparable standard) for the 8 electric utility; or 9 ‘‘(3) the State legislature has voted on the im-10 plementation of the standard (or a comparable 11 standard) for the electric utility during the 3-year 12 period ending on that date of enactment.’’. 13 (c) P RIOR ANDPENDINGPROCEEDINGS.—Section 14 124 of the Public Utility Regulatory Policies Act of 1978 15 (16 U.S.C. 2634) is amended by adding at the end the 16 following: ‘‘In the case of the standard established by 17 paragraph (22) of section 111(d), the reference contained 18 in this section to the date of enactment of this Act shall 19 be deemed to be a reference to the date of enactment of 20 that paragraph (22).’’. 21 Æ VerDate Sep 11 2014 21:12 Mar 08, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\H1148.IH H1148 ssavage on LAPJG3WLY3PROD with BILLS