I
107TH CONGRESS
1ST SESSION
H. R. 268
To require the Federal Energy Regulatory Commission to order refunds
of unjust, unreasonable, unduly discriminatory or preferential rates and
charges for electricity, to establish cost-based rates for electricity sold
at wholesale in the Western Systems Coordinating Council, and for
other purposes.
IN THE HOUSE OF REPRESENTATIVES
JANUARY 30, 2001
Mr. FILNER (for himself, Mrs. DAVIS of California, Mrs. NAPOLITANO, Mr.
HONDA, Mr. STARK, Mr. MATSUI, and Ms. MILLENDER-MCDONALD) in-
troduced the following bill; which was referred to the Committee on En-
ergy and Commerce
A BILL
To require the Federal Energy Regulatory Commission to
order refunds of unjust, unreasonable, unduly discrimina-
tory or preferential rates and charges for electricity, to
establish cost-based rates for electricity sold at wholesale
in the Western Systems Coordinating Council, and for
other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘California Electricity
Consumers Relief Act of 2001’’.
SEC. 2. ADDITIONAL REFUND AUTHORITY UNDER FEDERAL
POWER ACT.
Section 206 of the Federal Power Act (16 U.S.C.
824e) is amended by adding the following at the end there-
of:
‘‘(e)(1) The provisions of this subsection shall apply
only to refunds of rates and charges in effect pursuant
to a rule or order of the Commission providing for market-
based rates and charges for a transmission or sale of elec-
tric energy subject to the jurisdiction of the Commission.
The provisions of subsection (b) concerning refunds shall
not apply to such rates and charges.
‘‘(2) When the Commission has found, after notice
and opportunity for a hearing, on its own motion or upon
complaint, that any rate or charge referred to in para-
graph (1) is unjust, unreasonable, unduly discriminatory
or preferential, the Commission shall order a refund of
the portion of such rate or charge that exceeds the rate
or charge that the Commission finds to be just, reasonable
and not unduly discriminatory or preferential. Such re-
fund shall include interest from the date on which the rate
or charge was paid.
‘‘(3) No order providing for a refund under this sub-
section may be issued with respect to amounts paid prior
to the date 2 years before the date on which the notice
referred to in paragraph (2) is published in the Federal
Register.’’
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall not apply to any complaint filed before
August 1, 2000.
(c) SAVINGS PROVISIONS.—Nothing in the amend-
ment made by subsection (a) shall affect any authority
of the Commission (or of any court) existing before the
enactment of this section, including any such authority to
issue any rule or order relating to market-based rates, to
approve or fix rates and charges, or to order refunds of
any rate or charge.
SEC. 3. ESTABLISHMENT OF COST-BASED RATES FOR
WHOLESALE SALES OF ELECTRICITY IN THE
WESTERN UNITED STATES.
(a) EXERCISE OF AUTHORITY TO ESTABLISH MAX-
IMUM PRICES.—
(1) DETERMINATION
ON
ITS
OWN
MO-
TION.—The Federal Energy Regulatory Com-
mission shall issue an order establishing the
maximum price for electricity sold at wholesale
subject to the jurisdiction of the Commission
under the Federal Power Act in the Western
Systems Coordinating Council for any period
after June 1, 2000, if the Commission deter-
mines that any rates charged for such wholesale
sales of electricity are unjust, unreasonable, un-
duly discriminatory or preferential under sec-
tion 206 of the Federal Power Act. The Com-
mission may make such determination on its
own motion at any time. If the Governor of any
State within the Western Systems Coordinating
Council submits a petition to the Commission to
make such determination with respect to any
such rates, within 30 days after receipt of the
petition, the Commission shall determine if such
rates are unjust, unreasonable, unduly discrimi-
natory or preferential under section 206 of the
Federal Power Act.
(b) MAXIMUM PRICE.—The maximum price estab-
lished by the Federal Energy Regulatory Commission pur-
suant to subsection (a) shall be a price based on the sell-
er’s costs, including a return of and on invested capital,
established in accordance with part II of the Federal
Power Act.
(c) REFUNDS OF PRICES PAID IN EXCESS OF MAX-
IMUM PRICE.—Any prices paid in excess of the maximum
price established pursuant to this section shall be refunded
pursuant to section 206 of the Federal Power Act, as
amended by section 2 of this Act.
(d) PENALTIES.—Any person who violates any re-
quirement of this section shall be subject to civil penalties
equal to 3 times the value of the amount involved in such
violation. The Federal Energy Regulatory Commission
shall assess such penalties, after notice and opportunity
for public hearing, in accordance with the same provisions
as are applicable under section 31(d) of the Federal Power
Act in the case of civil penalties assessed under such sec-
tion 31.
(e) SAVINGS PROVISIONS.—Nothing in this section
shall affect any authority of the Commission existing be-
fore the enactment of this section to approve or fix rates
and charges, or to order refunds of any rate or charge.
SEC. 4. SEVERABILITY.
If any provision of this Act is found to be unenforce-
able or invalid, no other provision of this Act shall be in-
validated thereby.
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