An Act To Revise the Funding Formula for the Public Utilities Commission and the Public Advocate J \ LR 0261(02)
Maine Legislature, Session 121, LD 0479
Committee Amendment CA_A_S52 (Senate)
Amends: 35-A MRSA §116

COMMITTEE AMENDMENT .. A· to S.P. 166, L.D. 479, 
Act 
To 
Revise the Funding 
Formula for the Public 
Commission and the Public Advocate" 
Bill, "An 
Utilities 
Amend 
the bill by striking out all of section 
and 
inserting in its place the following: 
-Sec. 1. 35-A MRSA §116, sub-§1, as amended by PL 2001, c. 
136, §1, is further amended to read: 
1. 
Uti1ities subject to assessments. 
Every transmission 
and distribution, 
gas, 
telephone and water' utility and ferry 
Subject 
to 
regulation 
by 
the 
commission 
is 
subject 
to 
an 
assessment .eB--i-t.-s--4nt~-.3:&t.-at-e-~-epe-F-a1;-i-B<J-!'eveBlies to produce 
no more than $4,918,000 in revenues annually. 
The commission 
shall increase the assessment to produce an additional $318,000 
during fiscal year 2001-02 
and an additional $587,000 during 
fiscal . year 2002-03. 
The commission shall assess transmission 
and distribution utilities at 
a 
rate sufficient to 
produce 
$3,370,000 
and 
shall assess all other utilities at 
a 
rate 
sufficient to produce $1,548,000. 
The commission shall increase 
the 
assessment of transmissIon and distribution utilities to 
produce an additional $218,000 during fiscal year 2001-02 and an 
additional $402,000 during 
~iscal year 2002-03. 
The commission 
shall increase the assessment of all other utilities. to produce 
an 
additional 
$100,000 
du~ing fiscal 
year 
2001-02 
and 
an 
additional $185,000 during fiscal year 2002-03. 
The commission 
shall determine the assessments annually prior to May 1st and 
assess each utility for its pro rata share for expenditure during 
the fiscal year beginning July 1st. 
Each utility shall pay the 
asse'ssment charged to the utility on or before July 1st of each 
year. 
Any increase in the assessment that becomes effective 
Page l-LR0261(2) 
COMMITTEE AMENDMENT 
.~' 
~ 
1.0 
1.6 
COMMITTEE AMENDMENT .. A 
.. to S.P. 166, L.D. 479 
subsequent to May 1st may be billed on the effective date of the 
act authorizing the increase. 
A. 
The assessments charged to utilities under this section 
are just and reasonable operating costs for 
rate-making 
purposes. 
A-I. 
The commission shall base the assessment for each 
transmission and distribution utility on the pro rata share 
of each utility's intrastate gross operating revenues. 
The 
commission shall determine the percent revenue assessment 
required from each gas. telephone. water and ferry' utility 
group based on the pro rata share of the intrastate gross 
operating revenues from each respective utility g·roup. 
The 
commission. 
shall 
determine 
the 
assessment 
for 
each 
individual gas. telephone and ferry utility based on the pro 
rata share of each utility's intrastate gross operating 
revenue 
pursuant 
to 
the 
percent 
revenue 
assessment 
determined 
for 
each 
respective 
u~ility 
group. 
The 
commission 
shall 
determine 
the 
assessment 
for 
each 
individual water utility based on the pro rata share of the 
utility's metered water sales in thousands of gallons sold 
pursuant -to the percent revenue assessment determined for 
each respective utility' gro~p. 
For water utilities that do 
not have a customer metering program. the commission shall 
determine water sales to be 90~ of total water production. 
B. 
For the purposes of this section, "intrastate gross 
operating revenues" means intrastate revenues derived from 
filed rates, except revenues derived' from sales for resale. 
C. 
Gas 
utilities subject 
to 
the 
jurisdiction of 
the 
commission solely with respect to safety are not subject to 
any assessment. 
D. 
The commission may correct any errors in the assessments 
by means of a credit or debit to the following year's 
assessment rather than reassessing all ~tilities in the 
current year. 
E. 
The 
commission 
may 
exempt 
utilities 
-intrastate 
gross 
operating 
revenues 
under 
assessments under this section.' 
SUMMARY 
with 
annual 
$50,000 
from 
This amendment, which is the minod,ty report of the Joint 
Standing Committee on Utilities and Energy, replaces section 1 of 
COMMITTEE AMENDMENT 
COMMITTEE AMENDMENT .. /l· to S.P. 166, L.D. 479 
the bill to remove any changes to the cap on the Public Utilities 
Commission 
assessment on utilities. 
The 
amendment 
preserves 
those portions of the bill that change the method of determining 
the assessment on water utilities. 
. 
The 
level 
of 
the 
cap 
on 
the 
total 
Public Utilities 
Commission assessment is the sUbject of other legislation and it 
is not the intent of this amendment to affect decisions about the 
cap on assessments made in that other legislation. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 04/04/03 ~ac 
Office of Fiscal and Program Review 
LD479 
An Act To Revise the Funding Formula for the Public Utilities 
Commission and the Public Advocate 
J 
\ 
LR 0261(02) 
Fiscal Note for Bill as Amended by Committee Amendment 'A' S-5~ 
Committee: Utilites and Energy 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - Other Special Revenue 
Fiscal Detail and Notes 
This bill changes the method of allocating the costs of the Office of Public Advocate and the Public Utilites 
Commission among Maine's utilities. It does not diminish the full recovery of these costs. 
LR0261(2) - Fiscal Note - Page 1 of 1