Old | New | Differences | |
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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 | |
3 | 2 | 1 | |
4 | 3 | Public Utility Expenditures Amendments | |
5 | 4 | 2025 GENERAL SESSION | |
6 | 5 | STATE OF UTAH | |
7 | 6 | Chief Sponsor: Nate Blouin | |
8 | - | House Sponsor: | |
9 | 7 | 2 | |
10 | 8 | ||
11 | 9 | 3 | |
12 | 10 | LONG TITLE | |
13 | 11 | 4 | |
14 | 12 | General Description: | |
15 | 13 | 5 | |
16 | 14 | This bill prohibits a qualified utility from recovering in rates expenses related to | |
17 | 15 | 6 | |
18 | 16 | advertising, lobbying, and political activities. | |
19 | 17 | 7 | |
20 | 18 | Highlighted Provisions: | |
21 | 19 | 8 | |
22 | 20 | This bill: | |
23 | 21 | 9 | |
24 | 22 | ▸ defines terms; | |
25 | 23 | 10 | |
26 | 24 | ▸ prohibits a qualified utility from recovering in rates certain advertising, lobbying, and | |
27 | 25 | 11 | |
28 | 26 | political influence expenses; | |
29 | 27 | 12 | |
30 | 28 | ▸ requires a qualified utility to file an annual report detailing prior year expenses related to | |
31 | 29 | 13 | |
32 | 30 | advertising, lobbying, and political activities; | |
33 | 31 | 14 | |
34 | 32 | ▸ specifies information that must be included in the annual report; and | |
35 | 33 | 15 | |
36 | 34 | ▸ establishes penalties for a qualified utility that improperly recovers prohibited expenses. | |
37 | 35 | 16 | |
38 | 36 | Money Appropriated in this Bill: | |
39 | 37 | 17 | |
40 | 38 | None | |
41 | 39 | 18 | |
42 | 40 | Other Special Clauses: | |
43 | 41 | 19 | |
44 | 42 | None | |
45 | 43 | 20 | |
46 | 44 | Utah Code Sections Affected: | |
47 | 45 | 21 | |
48 | 46 | ENACTS: | |
49 | 47 | 22 | |
50 | 48 | 54-4-43, Utah Code Annotated 1953 | |
51 | 49 | 23 | |
52 | 50 | ||
53 | 51 | 24 | |
54 | 52 | Be it enacted by the Legislature of the state of Utah: | |
55 | 53 | 25 | |
56 | 54 | Section 1. Section 54-4-43 is enacted to read: | |
57 | 55 | 26 | |
58 | 56 | 54-4-43 . Cost recovery prohibitions. | |
59 | 57 | 27 | |
60 | 58 | (1) As used in this section: | |
61 | 59 | 28 | |
62 | 60 | (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 | |
64 | 61 | 29 | |
65 | 62 | in written, online, video, or audio form with the intent to: | |
66 | 63 | 30 | |
67 | 64 | (i) induce a person to purchase or use a product, service, or business; | |
68 | 65 | 31 | |
69 | - | (ii) promote a business's brand; or | |
66 | + | (ii) promote a business's brand; or S.B. 153 01-22 10:16 | |
70 | 67 | 32 | |
71 | 68 | (iii) influence public opinion on legislative, administrative, electoral, or other | |
72 | 69 | 33 | |
73 | 70 | governmental matter. | |
74 | 71 | 34 | |
75 | 72 | (b) "Advertising" does not include: | |
76 | 73 | 35 | |
77 | 74 | (i) advertising required by law, regulation, or rule; | |
78 | 75 | 36 | |
79 | 76 | (ii) advertising directly related to a program regarding income-based rates, energy | |
80 | 77 | 37 | |
81 | 78 | conservation, energy efficiency, or renewable energy offerings available to | |
82 | 79 | 38 | |
83 | 80 | customers; | |
84 | 81 | 39 | |
85 | 82 | (iii) messaging regarding service interruptions, safety measures, or emergency | |
86 | 83 | 40 | |
87 | 84 | conditions; or | |
88 | 85 | 41 | |
89 | 86 | (iv) advertising regarding employment opportunities with the qualified utility. | |
90 | 87 | 42 | |
91 | 88 | (c) "Expenses" means any payment made in the form of compensation that a qualified | |
92 | 89 | 43 | |
93 | 90 | utility pays to an external firm, a corporate affiliate, or an employee of the qualified | |
94 | 91 | 44 | |
95 | 92 | utility. | |
96 | 93 | 45 | |
97 | 94 | (d) "Lobbying" means directly, or through solicitation of others, communicating with an | |
98 | 95 | 46 | |
99 | 96 | individual who is in a position to make a policy decision, in order to influence the | |
100 | 97 | 47 | |
101 | 98 | outcome of a local, state, or federal legislation, regulation, or administrative rule. | |
102 | 99 | 48 | |
103 | 100 | (e) "Political activities" means activities that attempt to influence public opinion or sway | |
104 | 101 | 49 | |
105 | 102 | the outcome of legislation, regulation, administrative rule, ballot initiative, | |
106 | 103 | 50 | |
107 | 104 | referendum, or other electoral matter. | |
108 | 105 | 51 | |
109 | - | ( | |
106 | + | (2) A qualified utility may not recover in rates: | |
110 | 107 | 52 | |
111 | - | ||
108 | + | (a) advertising and public relations expenses that do not relate to a program or purpose | |
112 | 109 | 53 | |
113 | - | ||
110 | + | authorized by statute or commission rule; | |
114 | 111 | 54 | |
115 | - | ( | |
112 | + | (b) expenses for: | |
116 | 113 | 55 | |
117 | - | ||
114 | + | (i) promoting or improving the qualified utility's brand; | |
118 | 115 | 56 | |
119 | - | ( | |
116 | + | (ii) influencing public opinion about the qualified utility; or | |
120 | 117 | 57 | |
121 | - | ( | |
118 | + | (iii) lobbying or political activities; | |
122 | 119 | 58 | |
123 | - | ( | |
120 | + | (c) expenses for organizational or membership dues, or other contributions, to an | |
124 | 121 | 59 | |
125 | - | ||
122 | + | organization, association, institution, corporation, or other entity that: | |
126 | 123 | 60 | |
127 | - | ( | |
124 | + | (i) engages in lobbying or political activities; or | |
128 | 125 | 61 | |
129 | - | ||
126 | + | (ii) engages in an activity with a similar purpose to lobbying and political activities; or | |
130 | 127 | 62 | |
131 | - | (i) engages in lobbying or political activities; or | |
132 | - | - 2 - 01-29 08:56 1st Sub. (Green) S.B. 153 | |
128 | + | (d) contributions to: | |
133 | 129 | 63 | |
134 | - | ( | |
130 | + | (i) a political candidate; | |
135 | 131 | 64 | |
136 | - | ( | |
132 | + | (ii) a campaign committee; or | |
137 | 133 | 65 | |
138 | - | (i) a political candidate; | |
134 | + | (iii) another similar political expense. | |
135 | + | - 2 - 01-22 10:16 S.B. 153 | |
139 | 136 | 66 | |
140 | - | ( | |
137 | + | (3) A qualified utility shall file an annual report with the commission, by March 1 of each | |
141 | 138 | 67 | |
142 | - | ||
139 | + | year, detailing the prior calendar year's expenses related to advertising, lobbying, and | |
143 | 140 | 68 | |
144 | - | ||
141 | + | political activities. | |
145 | 142 | 69 | |
146 | - | ||
143 | + | (4) The report described in Subsection (3) shall include: | |
147 | 144 | 70 | |
148 | - | ||
145 | + | (a) an itemization of all expenses that the qualified utility incurred related to advertising, | |
149 | 146 | 71 | |
150 | - | ||
147 | + | lobbying, and political activities, including expenditures made directly by the | |
151 | 148 | 72 | |
152 | - | ||
149 | + | qualified utility or through an affiliate organization, that would have been charged to | |
153 | 150 | 73 | |
154 | - | ||
151 | + | ratepayers but for the prohibitions in this section; | |
155 | 152 | 74 | |
156 | - | qualified utility | |
153 | + | (b) the total number of employees of the qualified utility that are engaged in advertising, | |
157 | 154 | 75 | |
158 | - | ||
155 | + | lobbying, political activities, or otherwise attempting to influence public opinion | |
159 | 156 | 76 | |
160 | - | ||
157 | + | about the qualified utility; | |
161 | 158 | 77 | |
162 | - | ||
159 | + | (c) for each employee described in Subsection (4)(b): | |
163 | 160 | 78 | |
164 | - | ||
161 | + | (i) the employee's job title and responsibilities; | |
165 | 162 | 79 | |
166 | - | ( | |
163 | + | (ii) the business unit in which the employee works; and | |
167 | 164 | 80 | |
168 | - | ( | |
165 | + | (iii) the percentage of the employee's salary charged to ratepayers; and | |
169 | 166 | 81 | |
170 | - | ( | |
167 | + | (d) any other disclosures deemed relevant by the commission regarding advertising, | |
171 | 168 | 82 | |
172 | - | ||
169 | + | lobbying, or political expenses. | |
173 | 170 | 83 | |
174 | - | ( | |
171 | + | (5) If the commission determines that a qualified utility violates this section by recovering | |
175 | 172 | 84 | |
176 | - | ||
173 | + | expenses prohibited in Subection (2), the commission shall: | |
177 | 174 | 85 | |
178 | - | ( | |
175 | + | (a) require the qualified utility to reimburse ratepayers for the amount of expenses | |
179 | 176 | 86 | |
180 | - | ||
177 | + | improperly recovered, plus interest; and | |
181 | 178 | 87 | |
182 | - | ( | |
179 | + | (b) assess a non-recoverable penalty to the qualified utility in an amount that is not less | |
183 | 180 | 88 | |
184 | - | improperly recovered | |
181 | + | than the total amount of the cost that the qualified utility improperly recovered. | |
185 | 182 | 89 | |
186 | - | ||
183 | + | Section 2. Effective Date. | |
187 | 184 | 90 | |
188 | - | than the total amount of the cost that the qualified utility improperly recovered. | |
189 | - | 91 | |
190 | - | Section 2. Effective Date. | |
191 | - | 92 | |
192 | 185 | This bill takes effect on May 7, 2025. | |
193 | 186 | - 3 - |