SCS CSHB 108(CRA): "An Act relating to the regulation of water and sewer utilities of political subdivisions that are not in competition with other water and sewer utilities; and providing for an effective date."
00 SENATE CS FOR CS FOR HOUSE BILL NO. 108(CRA) 01 "An Act relating to the regulation of water and sewer utilities of political subdivisions 02 that are not in competition with other water and sewer utilities; and providing for an 03 effective date." 04 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 05 * Section 1. AS 42.05.711(b) is amended to read: 06 (b) Except as otherwise provided in this subsection and in (o) of this section, 07 public utilities owned and operated by a political subdivision of the state, or electric 08 operating entities established as the instrumentality of two or more public utilities 09 owned and operated by political subdivisions of the state, are exempt from this 10 chapter, other than AS 42.05.221 - 42.05.281 and 42.05.385. However, 11 (1) the governing body of a political subdivision may elect to be 12 subject to this chapter; and 13 (2) a utility or electric operating entity that is owned and operated by a 14 political subdivision and that directly competes with another utility or electric
01 operating entity is subject to this chapter and any other utility or electric operating 02 entity owned and operated by the political subdivision is also subject to this chapter; 03 this paragraph does not apply to 04 (A) a utility or electric operating entity owned and operated by 05 a political subdivision that competes with a telecommunications utility; 06 (B) a water utility owned by a political subdivision that 07 does not directly compete with another water utility; or 08 (C) a sewer utility owned by a political subdivision that 09 does not directly compete with another sewer utility. 10 * Sec. 2. The uncodified law of the State of Alaska is amended by adding a new section to 11 read: 12 EFFECT ON PENDING MATTERS BEFORE THE REGULATORY 13 COMMISSION. On and after the effective date of this section, the Regulatory Commission 14 of Alaska may continue to investigate and make determinations in regard to any matter 15 concerning a water or a sewer utility exempt from AS 42.05 as provided by 16 AS 42.05.711(b)(2)(B) and (C), added by sec. 1 of this Act, that is pending on the effective 17 date of this section; however, the authority of the Regulatory Commission of Alaska to 18 continue to investigate and make determinations concerning a matter is limited to issues 19 relating to the time period before the effective date of this section. A ruling made by the 20 Regulatory Commission of Alaska in a rate case pending on the effective date of this Act 21 remains in effect until the public body described in sec. 3 of this Act is established and 22 completes a rate review process based on the utility's costs in a test year. The test year shall 23 be a year not earlier than 2004. 24 * Sec. 3. The uncodified law of the State of Alaska is amended by adding a new section to 25 read: 26 CONTINGENT EFFECT. (a) The additions of AS 42.05.711(b)(2)(B) and 27 42.05.711(b)(2)(C) made by sec. 1 of this Act, and sec. 2 of this Act, take effect only if the 28 governing body of at least one political subdivision that owns a water utility subject to 29 AS 42.05.711(b)(2)(B), added by sec. 1 of this Act, or the governing body of at least one 30 political subdivision that owns a sewer utility subject to AS 42.05.711(b)(2)(C), added by sec. 31 1 of this Act, approves an ordinance that establishes a public body composed of members
01 approved by the governing body to establish a fair and open process for setting rates for the 02 water or sewer utility based on standard industry practices and that includes a role for a 03 consumer advocate who will represent ratepayer interests in relation to rate-setting 04 proceedings. 05 (b) The chair of the Regulatory Commission of Alaska shall promptly notify the 06 lieutenant governor and the revisor of statutes of the occurrence of the first of the 07 contingencies described in (a) of this section. 08 * Sec. 4. Sections 1 and 2 of this Act take effect on the day after the date the chair of the 09 Regulatory Commission of Alaska notifies the lieutenant governor and the revisor of statutes 10 under sec. 3(b) of this Act that a political subdivision has approved an ordinance that 11 establishes a public body composed of members approved by the governing body to establish 12 a fair and open process for setting rates for the water or sewer utility based on standard 13 industry practices, or on the effective date of sec. 3 of this Act, whichever is later.