An Act To Improve the Ability of the Public Utilities Commission To Enforce State Laws, Rules and Requirements LR 1461(02)
Maine Legislature, Session 121, LD 1483
Committee Amendment CA_A_H342 (House)
Amends: 35-A MRSA §2102

COMMITTEE AMENDMENT "il" to H.P. 1088, L.D. 1483, Bill, "An 
Act To Improve the Ability of the Public Utilities Commission To 
Enforce State Laws, Rules and Requirements" 
Amend 
the bill in section 
in that part designated 
"§1507-A." in the first paragraph in the 4th and 5th lines (page 
5, lines 33 and 34 in L.D.) by striking out the following: 
"or 
misleading" and in the last line (page 5, line 35 in L.D.) by 
striking out the following: 
"or misleading" 
Further amend the bill by striking out all of section 23 and 
inserting in its place the following: 
'Sec. 23. 35·A MRSA §1508·A is enacted to read: 
§1508-A. 
Administrative penalty 
1. 
Penalty. 
Unless 
otherwise 
specified 
in 
law, 
the 
commission 
may, 
in 
an 
adjudicatory 
proceeding, 
impose 
an 
administrative penalty as specified in this section. 
A. 
For willful violations of this Title, a commission rule 
or a commission order by a public utility or a competitive 
electricity 
provider, 
the 
commission 
may 
impose 
an 
administrative penalty for each violation in an amount that 
does not exceed $5,000 or .25' of the annual gross revenue 
that 
the 
public utility or 
the 
competitive electricity 
provider received from sales in the State, whichever amount 
Page l-LR146l(2) 
COMMITTEE AMENDMENT 
,,:/~, 
<\<.~\ 
COMMITTEE AMENDMENT .. {j., to H.P. 1088, L.D. 1483 
is lower. 
Each day 
a 
violation continues constitutes a 
separate offense. 
The maximum administrative penalty for 
any related series of violations may not exceed $500,000 or 
5% of the annual gross revenue that the public utility or 
the competitive electricity provider received from sales in 
the State, whichever amount is lower. 
B. 
For 
a 
violation 
in 
which 
a 
public 
utility or 
a 
competitive electricity provider was explicitly notified by 
the 
commission that it was 
not in compliance with the 
reg;uirements 
of 
this 
Title, 
a 
commission 
rule 
or 
a 
commission order and that failure to comply could result in 
the imposition of administrative penalties, the commission 
may impose an administrative penalty that does not exceed 
$500,000. 
C. 
The commission may impose an administrative penalty in 
an amount that does not exceed $1,000 on any person that is 
not a public utility or a competitive electricity provider 
and that violates this Title, 
a 
commission 
rule 
or 
a 
COmmission 
order. 
Each 
day 
a 
violation 
continues 
constitutes a separate offense. 
The administrative penalty 
may not exceed $25,000 for any related series of violations. 
D. 
In addition to the administrative penalties authorized 
by tbi\? subsection, the commission may require disgorgement 
of profits or revenues realized as a result of a violation 
of tbis Title, a commission rule or a commission order. 
2. 
Considerations. 
In 
determining 
the 
amount 
of 
an 
administrative penalty under this section, the commission shall 
take into account: 
A. 
Tbe severity of the violation, including the intent of 
the violator 
and 
the 
nature, 
circumstances, 
extent 
and 
gravity of the prohibited act; 
B. 
The reasonableness of the violator's belief that the 
violator'\? action or lack of action was in conformance with 
this Title, a commission rule or a commission order: 
C. 
The violator's history of previous violations; 
D. 
The amount necessary to deter future violations; 
E. 
Tbe violator'\? good faith attempts 
to 
comply after 
notification of a violation: and 
F. 
Such other matters as justice reg;uires.' 
COMMITTEE AMENDMENT 
;;;1' 
\.~." 
-28 
COMMITTEE AMENDMENT ,,~. to H.P. 1088, L.D. 1483 
Further amend the bill by inserting after section 27 the 
following: 
'Sec. 28. 35-A MRSA §2102, sub-§l, as enacted by PL 1987, c. 
141, Pt. A, §6, is amended to read: 
1. 
Approval required. 
Except as provided in subsection 2 
and in section 4507, Be .2. public utility may Mt furnish any of 
the services set out in section 2101 in or to any municipality in 
or to which another public utility is furnishing or is authorized 
to 
furnish 
a 
similar 
service without 
the 
approval 
of 
the 
commission. 
The 
commission 
may 
condition 
approval 
upon 
the 
submission 
of 
a 
bond 
or 
other 
financial 
security if 
the 
commission determines that such a reguirement is necessary to 
ensure that a public utility has the financial ability to meet 
its obligations under this Title.' 
Further amend the bill by relettering 
nonconsecutive 
Part 
letter 
or 
section 
consecutively. 
SUMMARY 
or renumbering any 
number 
to 
read 
This amendment is the majority report of the Joint Standing 
Committee on Utilities and Energy. 
The 
amendment 
changes 
the 
section 
of 
the 
bill 
that 
authorizes 
the 
Public 
Utilities 
Commission 
to 
impose 
administrative penalties, in cases in which no other penalty is 
provided, 
for violations of the Maine Revised Statutes, Title 
35-A or commission rules or orders. 
It provides that in the case 
of a violation by a public utility or a competitive electricity 
provider, 
the violation must 
be willful, 
and it lowers 
the 
maximum per violation amount to the lesser of $5,000 or .25'1-0 of 
the annual gross revenue of the violator. 
It clarifies that a 
provision 
allowing 
the 
commission 
to 
impose 
administrative 
penalties of a 
lower amount applies to persons that are not 
public utilities or competitive electricity providers. 
It adds 
an 
additional 
standard 
to 
those 
to 
be 
considered 
by 
the 
commission in setting the amount of administrative penalties. 
It 
adds a provision providing that in addition to the administrative 
penalties, the commission may require disgorgement of profits or 
revenues realized as a result of the violation. 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT ,fi" to H,P, 1088, L,D, 1483 
The 
amendment 
also 
adds 
a 
prov~s~on 
authorizing 
the 
commission to condition its approval of a 
public utility to 
provide service on the submission of a bond to ensure the utility 
has the financial ability to meet its obligations. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 05/09/03 ~ac::.. 
Office of Fiscal and Program Review 
LD 1483 
An Act To Improve the Ability of the Public Utilities Commission To 
Enforce State Laws, Rules and Requirements 
LR 1461(02) 
Fiscal Note for Bill as Amended by Committee Amendment" " 
Committee: Utilities and Energy 
Fiscal Note Required: Yes 
Fiscal Note 
Undetermined current biennium cost increase - General Fund 
Undetermined current biennium revenue increase - General Fund 
Undetermined current biennium revenue increase - Other Special Revenue Funds 
Correctional and Judicial Impact Statements 
Establishes new Class C crimes; increases correctional and judicial costs 
Fiscal Detail and Notes 
This bill will also increase the collection of administrative penalties by the Public Utilities Commission in an amount 
that can not be determined at this time. 
LR1461(2) - Fiscal Note - Page 1 of 1