00 CS FOR HOUSE BILL NO. 183(L&C) 01 "An Act relating to the chair of the Alaska Public Utilities Commission; relating 02 to membership on the Alaska Public Utilities Commission; relating to political 03 conduct by and removal of members of the Alaska Public Utilities Commission; 04 relating to hearings held by the Alaska Public Utilities Commission; relating to 05 timely action by the Alaska Public Utilities Commission; relating to procedural 06 motions of the Alaska Public Utilities Commission; relating to provisions for the 07 resolution of consumer complaints; permitting arbitrators to conduct formal 08 hearings before the Alaska Public Utilities Commission; relating to a management 09 information system; relating to the annual report of the Alaska Public Utilities 10 Commission; and providing for an effective date." 11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 12 * Section 1. AS 42.05.020(b) is amended to read: 13  (b) The  commission  [GOVERNOR] shall  select  [DESIGNATE] one member 14 of the commission  to serve  as  chair  [CHAIRMAN OF THE COMMISSION. THIS 01 MEMBER SHALL SERVE AS CHAIRMAN] for a term of  two  [FOUR] years . A 02 commissioner may be elected to successive terms as chair of the commission. The 03 governor may reject the commission's selection of a chair  [, BUT MAY BE 04 APPOINTED FOR SUCCESSIVE TERMS]. 05 * Sec. 2. AS 42.05.035 is repealed and reenacted to read: 06  Sec. 42.05.035. Removal of commissioners. The governor may remove a 07 commissioner from office only for cause, including incompetence, neglect of duty, or 08 misconduct in office, or because the member, while serving on the commission, is 09 convicted of a misdemeanor for violating a statute or regulation related to public 10 utilities or is convicted of a felony. The governor shall deliver to the commissioner 11 a copy of the charges against the commissioner. The commissioner shall have an 12 opportunity to present a defense in person or through counsel at a public hearing 13 before the governor or the governor's designee. The commissioner shall be informed 14 of the hearing by registered mail at least 10 days before the hearing date. At the 15 hearing, the commissioner may confront and cross-examine adverse witnesses. Upon 16 removal of the commissioner, the findings and a complete statement of all charges 17 made against the commissioner shall be filed in the Office of the Lieutenant Governor. 18 * Sec. 3. AS 42.05.040 is repealed and reenacted to read: 19  Sec. 42.05.040. Qualifications of members; prohibited conduct. (a) No 20 more than two members of the commission may be members of the same political 21 party. A person may not be appointed or reappointed to the commission for one year 22 after changing political party membership. 23  (b) A member of the commission may not participate in 24  (1) political management or in a political campaign for a candidate for 25 election to federal, state, or local office regardless of whether the campaign is partisan 26 or nonpartisan or for passage or defeat of a ballot measure of any type; 27  (2) the campaign of, or attend campaign fund-raising events for, a 28 candidate for governor or the legislature; 29  (3) a fund-raising event held on behalf of a political party or attend a 30 political party fund-raising event; or 31  (4) lobbying activities that would require a person to register as a 01 lobbyist. 02 * Sec. 4. AS 42.05.101(a) is amended to read: 03  (a) The  chair of the commission shall establish  for the commission a 04 principal office and branch offices necessary to discharge its business efficiently. For 05 the convenience of the public or of parties to a proceeding, the commission may hold 06 meetings, hearings, or other proceedings at other locations. 07 * Sec. 5. AS 42.05.111(b) is amended to read: 08  (b) The  chair of the commission may employ temporary legal counsel  for the 09 commission from time to time in proceedings before the commission in which the 10 attorney general is representing the public interest or a party before the commission. 11 * Sec. 6. AS 42.05.121 is amended to read: 12  Sec. 42.05.121. Employment of commission personnel. (a) The commission 13 may employ an executive director who shall have had at least five years of experience 14 in public utility management or regulation, law, accounting, engineering, or an allied 15 field. The executive director is responsible for directing the administrative functions 16 of the commission and carrying out the policies as set by the commission. The  chair 17 of the commission may employ engineers, hearing officers, administrative law judges 18 to the extent provided by AS 42.06.140(b), experts, clerks, accountants, and other 19 agents and assistants  considered [IT CONSIDERS] necessary  by the commission . 20 Employees and agents of the commission who are not partially exempt under 21 AS 39.25.120, other than legal counsel, are in the classified service under 22 AS 39.25.100. 23  (b) In addition to  the [ITS] staff of regular employees, the  chair of the 24 commission may contract for and engage the services of consultants and experts the 25 commission considers necessary. 26 * Sec. 7. AS 42.05.141 is amended by adding a new subsection to read: 27  (d) On the filing of a petition, application, or complaint concerning a matter 28 within the jurisdiction of the commission under this chapter for which a hearing is 29 clearly warranted, the chair of the commission shall assign a priority rating to the issue 30 and promptly fix a date for hearing. The hearing shall be expedited in accordance 31 with the priority rating. Regardless of the priority rating, a hearing may not be 01 scheduled to begin later than five months after the petition, application, or complaint 02 was filed unless the commission approves an extension of time for good cause. After 03 the conclusion of the hearing, the commission shall enter its order within 60 days. 04 * Sec. 8. AS 42.05.151(b) is amended to read: 05  (b) The commission shall adopt regulations governing practice and procedure, 06 consistent with due process of law, including the conduct of formal and informal 07 investigations,  prehearing  [PRE-HEARING] conferences, hearings,  mediation, 08 arbitration, and proceedings, and the handling of procedural motions by a single 09 commissioner.  The commission, or an assigned commissioner, shall enter an order 10 on procedural motions within 10 days after the close of the applicable briefing 11 period.  Technical rules of evidence need not apply to investigations,  prehearing  12 [PRE-HEARING] conferences, hearings,  mediation, arbitration, and proceedings 13 before the commission. The commission shall provide for representation by out-of- 14 state attorneys substantially in accordance with Rule 81, Alaska Rules of Civil Procedure. 15 * Sec. 9. AS 42.05 is amended by adding a new section to read: 16  Sec. 42.05.165. Consumer complaints. The commission shall by regulation 17 provide for 18  (1) the expedited hearing and resolution of consumer complaints; and 19  (2) penalties against a party to a complaint who causes unjustified 20 delays in a consumer complaint proceeding. 21 * Sec. 10. AS 42.05.171 is amended to read: 22  Sec. 42.05.171. Formal hearings. A formal hearing that the commission has 23 power to hold may be held by or before three or more commissioners, a hearing 24 officer, or an administrative law judge designated for the purpose by the commission. 25  In appropriate cases, a formal hearing may be held before an arbitrator 26 designated for the purpose by the commission.  The testimony and evidence in a 27 formal hearing may be taken by the commissioners, by the hearing officer, [OR] by 28 the administrative law judge , or by the arbitrator  to whom the hearing has been 29 assigned.  A decision of an arbitrator is not final until approved by the 30 commission.  A commissioner who has not heard or read the testimony, including the 31 argument, may not participate in making a decision of the commission. In determining 01 the place of a hearing ,  the commission shall give preference to holding the hearing at 02 a place most convenient for those interested in the subject of the hearing. 03 * Sec. 11. AS 42.05.211 is amended to read: 04  Sec. 42.05.211. Annual report. The commission shall, by February  1  [15] of 05 each year, publish an annual report reviewing its work and notify the legislature that 06 the report is available. The report must contain 07   (1)  information and data that bear a significant relationship to the 08 development and regulation of public utility services in the state ; 09  (2)  [AND INCLUDE] an outline of the commission's program for the 10 development and regulation of public utility services in the forthcoming year ; 11  (3) a summary of the activities of the commission during the 12 previous year; and 13  (4) a report on and evaluation of the timeliness of the commission's 14 action on dockets during the previous year . 15 * Sec. 12. AS 42.05.050 is repealed. 16 * Sec. 13. MANAGEMENT INFORMATION SYSTEM. The legislature encourages the 17 Alaska Public Utilities Commission to continue to develop its management information system 18 and to make the system accessible by the general public through the Internet for the purpose 19 of tracking, scheduling, and managing all dockets within the commission. 20 * Sec. 14. The provisions of AS 42.05.035, repealed and reenacted by sec. 2 of this Act, 21 apply to a member of the Alaska Public Utilities Commission serving on the effective date 22 of this Act. This Act is intended to extinguish any existing right of a sitting commissioner 23 to the removal procedure specified in former AS 42.05.035. 24 * Sec. 15. The provisions of AS 42.05.141(d), enacted by sec. 7 of this Act, apply to 25 petitions, applications, and complaints first filed with the commission on or after the effective 26 date of this Act. 27 * Sec. 16. This Act takes effect immediately under AS 01.10.070(c).