An Act To Create Fair and Open Competition in Line Extension Construction
Maine Legislature, Session 125, LD 0935
Committee Amendment CA_A_H695 (House)
Amends: 35-A MRSA §315

COMMITTEE AMENDMENT" R" to H.P. 695, L.D. 935, Bill, "An Act To Create 
Fair and Open Competition in Line Extension Construction" 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 35-A MRSA §315 is enacted to read: 
§315. Transmission and distribution utility line extension construction 
1. Definitions. As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings. 
A. "Line" has the same meaning as in section 314, subsection 1, paragraph A. 
B. "Make-ready work" means work necessary to connect a line extension to existing 
utility infrastructure. 
2. Line extension charge. Amounts charged by a transmission and distribution 
utility serving more than 500,000 retail customers for a line extension are governed by 
this subsection. 
A. Through a proceeding or rulemaking and in accordance with this section and 
section 314, the commission shall establish the method to be used by a transmission 
and distribution utility serving more than 500,000 retail customers for line extension 
pricing. The method may include the amount to be charged per foot for the 
completion of a line extension. 
B. Revenue received by a transmission and distribution utility serving more than 
500,000 retail customers from a telephone utility may not be used to offset the total 
cost of or amount charged to a customer for a line extension. 
C. A transmission and distribution utility serving more than 500,000 retail customers 
shall report annually to the commission, on a date determined by the commission, the 
total amount charged to customers for line extensions and the total actual costs to the 
transmission and distribution utility serving more than 500,000 retail customers to 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT"~ "to H.P. 695, L.D. 935 
complete those line extensions for a prior 12-month period determined by the 
commission. 
D. If a report pursuant to paragraph C demonstrates that charges to customers for 
line extensions are less than 95% of total actual costs or greater than 105% of total 
actual costs during the reporting period, the commission, within 30 days of the date 
of the filing of the report, shall open an investigation to determine the appropriate 
adjustments to be made to the method used by the transmission and distribution 
utility pursuant to paragraph A to establish the amount charged to a customer for a 
line extension so that the total amount charged to customers is no less than 95% and 
no more than 105% of total actual costs for the line extensions. 
3. Cost recovery. Any cost associated with construction of a line extension that is 
not recovered by a transmission and distribution utility serving more than 500,000 retail 
customers through the charges established in accordance with subsection 2 must be borne 
by the utility and may not be recovered in rates. 
4. Fees for make-ready work. A transmission and distribution utility serving more 
than 500,000 retail customers may charge a customer taking polyphase service the actual 
costs of make-ready work associated with that customer's service. A transmission and 
distribution utility serving more than 500,000 retail customers may not charge a customer 
taking single-phase service for make-ready work associated with that customer's service. 
A transmission and distribution utility serving more than 500,000 retail customers may 
recover costs associated with such single-phase service make-ready work in rates. 
5. 
Rules. The commission shall adopt rules to implement this section. Rules 
adopted pursuant to this subsection are routine technical rules as defined in Title 5, 
chapter 375, subchapter 2-A. 
Nothing in this section may be construed to limit the activities of a transmission and 
distribution utility serving 500,000 or fewer retail customers.' 
SUMMARY 
This amendment is the majority report of the committee. It narrows the scope of the 
bill to transmission and distribution utilities serving more than 500,000 retail customers. 
It removes specific requirements for determining costs of line extensions and instead 
requires the Public Utilities Commission to determine the method to be used by such a 
utility to estimate the cost of line extensions. This amendment removes the requirement 
that utilities reimburse ratepayers retroactively to the year 2000 for any costs associated 
with the construction of a line extension that was recovered through electricity rates. 
This amendment clarifies the type of make-ready work that may be charged to the 
customers and which make-ready costs may be recoverable in rates and strikes the 
customer service requirement and contribution in aid of construction provisions in the 
bill. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 01/31112 frac 
LD935 
LR 662(02) 
An Act To Create Fair and Open Competition in Line Extension Construction 
Fiscal Note for Bill as Amended by Committee Amendment ,Ii" 
Committee: Energy, Utilities and Technology 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - Other Special Revenue Funds 
Fiscal Detail and Notes 
Requiring the Public Utilities Commission (PUC) to establish by rule standards for customer service, accounting and 
charges that transmission and distribution utilities must meet in undertaking line extensions may require the PUC to 
incur additional administrative costs that can be absorbed within existing budgeted resources. 
LR0662(02) - Fiscal Note - Page 1 of 1