Utah 2025 Regular Session

Utah Senate Bill SB0153 Compare Versions

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1-01-29 08:56 1st Sub. (Green) S.B. 153
2-Nate Blouin proposes the following substitute bill:
1+01-22 10:16 S.B. 153
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43 Public Utility Expenditures Amendments
54 2025 GENERAL SESSION
65 STATE OF UTAH
76 Chief Sponsor: Nate Blouin
8-House Sponsor:
97 2
108
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1210 LONG TITLE
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1412 General Description:
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1614 This bill prohibits a qualified utility from recovering in rates expenses related to
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1816 advertising, lobbying, and political activities.
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2018 Highlighted Provisions:
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2220 This bill:
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2422 ▸ defines terms;
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2624 ▸ prohibits a qualified utility from recovering in rates certain advertising, lobbying, and
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2826 political influence expenses;
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3028 ▸ requires a qualified utility to file an annual report detailing prior year expenses related to
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3230 advertising, lobbying, and political activities;
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3432 ▸ specifies information that must be included in the annual report; and
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3634 ▸ establishes penalties for a qualified utility that improperly recovers prohibited expenses.
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3836 Money Appropriated in this Bill:
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4038 None
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4240 Other Special Clauses:
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4442 None
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4644 Utah Code Sections Affected:
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4846 ENACTS:
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5048 54-4-43, Utah Code Annotated 1953
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5250
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5452 Be it enacted by the Legislature of the state of Utah:
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5654 Section 1. Section 54-4-43 is enacted to read:
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5856 54-4-43 . Cost recovery prohibitions.
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6058 (1) As used in this section:
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6260 (a) "Advertising" means publishing, disseminating, soliciting, or circulating information
63-1st Sub. S.B. 153 1st Sub. (Green) S.B. 153 01-29 08:56
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6562 in written, online, video, or audio form with the intent to:
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6764 (i) induce a person to purchase or use a product, service, or business;
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69-(ii) promote a business's brand; or
66+(ii) promote a business's brand; or S.B. 153 01-22 10:16
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7168 (iii) influence public opinion on legislative, administrative, electoral, or other
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7370 governmental matter.
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7572 (b) "Advertising" does not include:
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7774 (i) advertising required by law, regulation, or rule;
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7976 (ii) advertising directly related to a program regarding income-based rates, energy
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8178 conservation, energy efficiency, or renewable energy offerings available to
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8380 customers;
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8582 (iii) messaging regarding service interruptions, safety measures, or emergency
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8784 conditions; or
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8986 (iv) advertising regarding employment opportunities with the qualified utility.
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9188 (c) "Expenses" means any payment made in the form of compensation that a qualified
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9390 utility pays to an external firm, a corporate affiliate, or an employee of the qualified
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9592 utility.
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9794 (d) "Lobbying" means directly, or through solicitation of others, communicating with an
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9996 individual who is in a position to make a policy decision, in order to influence the
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10198 outcome of a local, state, or federal legislation, regulation, or administrative rule.
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103100 (e) "Political activities" means activities that attempt to influence public opinion or sway
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105102 the outcome of legislation, regulation, administrative rule, ballot initiative,
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107104 referendum, or other electoral matter.
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109-(f) "Qualified utility" means a large-scale electric utility or a large-scale natural gas
106+(2) A qualified utility may not recover in rates:
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111-utility.
108+(a) advertising and public relations expenses that do not relate to a program or purpose
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113-(2) A qualified utility may not recover in rates:
110+authorized by statute or commission rule;
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115-(a) advertising and public relations expenses that do not relate to a program or purpose
112+(b) expenses for:
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117-authorized by statute or commission rule;
114+(i) promoting or improving the qualified utility's brand;
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119-(b) expenses for:
116+(ii) influencing public opinion about the qualified utility; or
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121-(i) promoting or improving the qualified utility's brand;
118+(iii) lobbying or political activities;
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123-(ii) influencing public opinion about the qualified utility; or
120+(c) expenses for organizational or membership dues, or other contributions, to an
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125-(iii) lobbying or political activities;
122+organization, association, institution, corporation, or other entity that:
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127-(c) expenses for organizational or membership dues, or other contributions, to an
124+(i) engages in lobbying or political activities; or
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129-organization, association, institution, corporation, or other entity that:
126+(ii) engages in an activity with a similar purpose to lobbying and political activities; or
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131-(i) engages in lobbying or political activities; or
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128+(d) contributions to:
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134-(ii) engages in an activity with a similar purpose to lobbying and political activities; or
130+(i) a political candidate;
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136-(d) contributions to:
132+(ii) a campaign committee; or
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138-(i) a political candidate;
134+(iii) another similar political expense.
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140-(ii) a campaign committee; or
137+(3) A qualified utility shall file an annual report with the commission, by March 1 of each
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142-(iii) another similar political expense.
139+year, detailing the prior calendar year's expenses related to advertising, lobbying, and
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144-(3) A qualified utility shall file an annual report with the commission, by March 1 of each
141+political activities.
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146-year, detailing the prior calendar year's expenses related to advertising, lobbying, and
143+(4) The report described in Subsection (3) shall include:
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148-political activities.
145+(a) an itemization of all expenses that the qualified utility incurred related to advertising,
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150-(4) The report described in Subsection (3) shall include:
147+lobbying, and political activities, including expenditures made directly by the
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152-(a) an itemization of all expenses that the qualified utility incurred related to advertising,
149+qualified utility or through an affiliate organization, that would have been charged to
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154-lobbying, and political activities, including expenditures made directly by the
151+ratepayers but for the prohibitions in this section;
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156-qualified utility or through an affiliate organization, that would have been charged to
153+(b) the total number of employees of the qualified utility that are engaged in advertising,
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158-ratepayers but for the prohibitions in this section;
155+lobbying, political activities, or otherwise attempting to influence public opinion
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160-(b) the total number of employees of the qualified utility that are engaged in advertising,
157+about the qualified utility;
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162-lobbying, political activities, or otherwise attempting to influence public opinion
159+(c) for each employee described in Subsection (4)(b):
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164-about the qualified utility;
161+(i) the employee's job title and responsibilities;
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166-(c) for each employee described in Subsection (4)(b):
163+(ii) the business unit in which the employee works; and
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168-(i) the employee's job title and responsibilities;
165+(iii) the percentage of the employee's salary charged to ratepayers; and
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170-(ii) the business unit in which the employee works; and
167+(d) any other disclosures deemed relevant by the commission regarding advertising,
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172-(iii) the percentage of the employee's salary charged to ratepayers; and
169+lobbying, or political expenses.
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174-(d) any other disclosures deemed relevant by the commission regarding advertising,
171+(5) If the commission determines that a qualified utility violates this section by recovering
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176-lobbying, or political expenses.
173+expenses prohibited in Subection (2), the commission shall:
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178-(5) If the commission determines that a qualified utility violates this section by recovering
175+(a) require the qualified utility to reimburse ratepayers for the amount of expenses
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180-expenses prohibited in Subsection (2), the commission shall:
177+improperly recovered, plus interest; and
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182-(a) require the qualified utility to reimburse ratepayers for the amount of expenses
179+(b) assess a non-recoverable penalty to the qualified utility in an amount that is not less
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184-improperly recovered, plus interest; and
181+than the total amount of the cost that the qualified utility improperly recovered.
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186-(b) assess a non-recoverable penalty to the qualified utility in an amount that is not less
183+Section 2. Effective Date.
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188-than the total amount of the cost that the qualified utility improperly recovered.
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190-Section 2. Effective Date.
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192185 This bill takes effect on May 7, 2025.
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