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  AS 42.05.035 is repealed and reenacted to read:                                                         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).