H. R. 6—390
of $10,000,000 of, or, by any means whatsoever, directly or 
indirectly, merge or consolidate with, a transmitting utility, 
an electric utility company, or a holding company in a holding 
company system that includes a transmitting utility, or an 
electric utility company, with a value in excess of $10,000,000 
without first having secured an order of the Commission author-
izing it to do so. 
‘‘(3) Upon receipt of an application for such approval the 
Commission shall give reasonable notice in writing to the Gov-
ernor and State commission of each of the States in which 
the physical property affected, or any part thereof, is situated, 
and to such other persons as it may deem advisable. 
‘‘(4) After notice and opportunity for hearing, the Commis-
sion shall approve the proposed disposition, consolidation, 
acquisition, or change in control, if it finds that the proposed 
transaction will be consistent with the public interest, and 
will not result in cross-subsidization of a non-utility associate 
company or the pledge or encumbrance of utility assets for 
the benefit of an associate company, unless the Commission 
determines that the cross-subsidization, pledge, or encumbrance 
will be consistent with the public interest. 
‘‘(5) The Commission shall, by rule, adopt procedures for 
the expeditious consideration of applications for the approval 
of dispositions, consolidations, or acquisitions, under this sec-
tion. Such rules shall identify classes of transactions, or specify 
criteria for transactions, that normally meet the standards 
established in paragraph (4). The Commission shall provide 
expedited review for such transactions. The Commission shall 
grant or deny any other application for approval of a transaction 
not later than 180 days after the application is filed. If the 
Commission does not act within 180 days, such application 
shall be deemed granted unless the Commission finds, based 
on good cause, that further consideration is required to deter-
mine whether the proposed transaction meets the standards 
of paragraph (4) and issues an order tolling the time for acting 
on the application for not more than 180 days, at the end 
of which additional period the Commission shall grant or deny 
the application. 
‘‘(6) For purposes of this subsection, the terms ‘associate 
company’, ‘holding company’, and ‘holding company system’ 
have the meaning given those terms in the Public Utility 
Holding Company Act of 2005.’’. 
(b) EFFECTIVE DATE.—The amendments made by this section 
shall take effect 6 months after the date of enactment of this 
Act. 
(c) TRANSITION PROVISION.—The amendments made by sub-
section (a) shall not apply to any application under section 203 
of the Federal Power Act (16 U.S.C. 824b) that was filed on or 
before the date of enactment of this Act. 
SEC. 1290. RELIEF FOR EXTRAORDINARY VIOLATIONS. 
(a) APPLICATION.—This section applies to any contract entered 
into the Western Interconnection prior to June 20, 2001, with 
a seller of wholesale electricity that the Commission has— 
(1) found to have manipulated the electricity market 
resulting in unjust and unreasonable rates; and
H. R. 6—391
(2) revoked the seller’s authority to sell any electricity 
at market-based rates. 
(b) RELIEF.—Notwithstanding section 222 of the Federal Power 
Act (as added by section 1262), any provision of title 11, United 
States Code, or any other provision of law, in the case of a contract 
described in subsection (a), the Commission shall have exclusive 
jurisdiction under the Federal Power Act (16 U.S.C. 791a et seq.) 
to determine whether a requirement to make termination payments 
for power not delivered by the seller, or any successor in interest 
of the seller, is not permitted under a rate schedule (or contract 
under such a schedule) or is otherwise unlawful on the grounds 
that the contract is unjust and unreasonable or contrary to the 
public interest. 
(c) APPLICABILITY.—This section applies to any proceeding 
pending on the date of enactment of this section involving a seller 
described in subsection (a) in which there is not a final, nonappeal-
able order by the Commission or any other jurisdiction determining 
the respective rights of the seller. 
Subtitle H—Definitions 
SEC. 1291. DEFINITIONS. 
(a) COMMISSION.—In this title, the term ‘‘Commission’’ means 
the Federal Energy Regulatory Commission. 
(b) AMENDMENT.—Section 3 of the Federal Power Act (16 U.S.C. 
796) is amended— 
(1) by striking paragraphs (22) and (23) and inserting the 
following: 
‘‘(22) ELECTRIC
UTILITY.—(A) The term ‘electric utility’ 
means a person or Federal or State agency (including an entity 
described in section 201(f)) that sells electric energy. 
‘‘(B) The term ‘electric utility’ includes the Tennessee Valley 
Authority and each Federal power marketing administration. 
‘‘(23) TRANSMITTING
UTILITY.—The term ‘transmitting 
utility’ means an entity (including an entity described in section 
201(f)) that owns, operates, or controls facilities used for the 
transmission of electric energy— 
‘‘(A) in interstate commerce; 
‘‘(B) for the sale of electric energy at wholesale.’’; and 
(2) by adding at the end the following: 
‘‘(26) ELECTRIC COOPERATIVE.—The term ‘electric coopera-
tive’ means a cooperatively owned electric utility. 
‘‘(27) RTO.—The term ‘Regional Transmission Organiza-
tion’ or ‘RTO’ means an entity of sufficient regional scope 
approved by the Commission— 
‘‘(A) to exercise operational or functional control of 
facilities used for the transmission of electric energy in 
interstate commerce; and 
‘‘(B) to ensure nondiscriminatory access to the facilities. 
‘‘(28) ISO.—The term ‘Independent System Operator’ or 
‘ISO’ means an entity approved by the Commission— 
‘‘(A) to exercise operational or functional control of 
facilities used for the transmission of electric energy in 
interstate commerce; and 
‘‘(B) to ensure nondiscriminatory access to the facilities.
H. R. 6—392
‘‘(29) TRANSMISSION
ORGANIZATION.—The term ‘Trans-
mission 
Organization’ 
means 
a 
Regional 
Transmission 
Organization, Independent System Operator, independent 
transmission provider, or other transmission organization 
finally approved by the Commission for the operation of trans-
mission facilities.’’. 
(c) APPLICABILITY.—Section 201(f) of the Federal Power Act 
(16 U.S.C. 824(f)) is amended by striking ‘‘political subdivision 
of a state,’’ and inserting ‘‘political subdivision of a State, an electric 
cooperative that receives financing under the Rural Electrification 
Act of 1936 (7 U.S.C. 901 et seq.) or that sells less than 4,000,000 
megawatt hours of electricity per year,’’. 
Subtitle I—Technical and Conforming 
Amendments 
SEC. 1295. CONFORMING AMENDMENTS. 
(a) Section 201 of the Federal Power Act (16 U.S.C. 824) is 
amended— 
(1) in subsection (b)(2)— 
(A) in the first sentence— 
(i) by striking ‘‘The’’ and inserting ‘‘Notwith-
standing section 201(f), the’’; and 
(ii) by striking ‘‘210, 211, and 212’’ and inserting 
‘‘203(a)(2), 206(e), 210, 211, 211A, 212, 215, 216, 217, 
218, 219, 220, 221, and 222’’; and 
(B) in the second sentence— 
(i) by inserting ‘‘or rule’’ after ‘‘any order’’; and 
(ii) by striking ‘‘210 or 211’’ and inserting 
‘‘203(a)(2), 206(e), 210, 211, 211A, 212, 215, 216, 217, 
218, 219, 220, 221, or 222’’; and 
(2) in subsection (e), by striking ‘‘210, 211, or 212’’ and 
inserting ‘‘206(e), 206(f), 210, 211, 211A, 212, 215, 216, 217, 
218, 219, 220, 221, or 222’’. 
(b) Section 206 of the Federal Power Act (16 U.S.C. 824e) 
is amended— 
(1) in the first sentence of subsection (a), by striking 
‘‘hearing had’’ and inserting ‘‘hearing held’’; and 
(2) in the seventh sentence of subsection (b), by striking 
‘‘the public utility to make’’. 
(c) Section 211 of the Federal Power Act (16 U.S.C. 824j) 
is amended— 
(1) in subsection (c)— 
(A) by striking ‘‘(2)’’; 
(B) by striking ‘‘(A)’’ and inserting ‘‘(1)’’ 
(C) by striking ‘‘(B)’’ and inserting ‘‘(2)’’; and 
(D) by striking ‘‘termination of modification’’ and 
inserting ‘‘termination or modification’’; and 
(2) in the second sentence of subsection (d)(1), by striking 
‘‘electric utility’’ the second place it appears and inserting 
‘‘transmitting utility’’. 
(d) Section 315(c) of the Federal Power Act (16 U.S.C. 825n(c)) 
is amended by striking ‘‘subsection’’ and inserting ‘‘section’’.