An Act To Extend Arrearage Management Programs
Maine Legislature, Session 128, LD 1848
Committee Amendment CA_A_H708 (House)
Amends: 35-A MRSA §3214, 35-A MRSA §10110

COMMITTEE AMENDMENT" A" to H.P. 1285, L.D. 1848, Bill, "An Act To 
Extend Arrearage Management Programs" 
Amend the bill by striking out everything after the enacting clause and before the 
summary and inserting the following: 
'Sec. 1. 35-A MRSA §3214, sub-§2-A, as enacted by PL 2013, c. 556, §1, is 
amended to read: 
2-A. Arrearage management program. Each investor-owned transmission and 
distribution utility shall implement pursuant to this subsection an arrearage management 
program to assist eligible low-income residential customers who are in arrears on their 
electricity bills. 
An arrearage management program implemented pursuant to this 
subsection is a plan under which a transmission and distribution utility works with an 
eligible low-income residential customer to establish an affordable payment plan and 
provide credit to that customer toward the customer's accumulated arrears as long as that 
customer remains in compliance with the terms of the program. If a consumer-owned 
transmission and distribution utility elects to implement an arrearage management 
program, it must do so in accordance with this subsection and rules adopted pursuant to 
this subsection. The commission shall establish requirements relating to the arrearage 
management programs by rule. Rules adopted pursuant to this subsection are routine 
technical rules pursuant to Title 5, chapter 375, subchapter 2-A. 
In adopting rules regarding arrearage management programs, the commission shall: 
A. Consider best practices as developed and implemented in other states or regions; 
B. 
Require that an arrearage management program include an electricity usage 
assessment at no cost to the participant; 
C. Permit eaeh traasmissie» aad distrih:atiea :atility te prepese a start aate fer its 
llfOIR'Gm tRat lR l'IA later tRal'I Ostoher 1. 201 fi~ 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT .. 4,, to H.P. 1285, L.D. 1848 
D. 
Ensure that eaeh: ~ transmission and distribution utility develops terms and 
conditions for its arrearage management program in a manner that is consistent with 
the program's objectives and is in the best interests of all ratepayers; and 
E. Ensure that a transmission and distribution utility recovers in rates all reasonable 
costs of arrearage management programs, including insremental eosts, reemmeetion 
fees aB.d aGi'llliHstrative and marketing eosts oot not ineladiag the amount of aflY 
ainarage forgiven that is treated as bad debt for purposes of eost reeoy;ery by the 
trA1'1AR'liF111im:1 A1'1A cli11trih11tiA1'1 11tilitv.l 
(1) Incremental costs; 
(2) Reconnection fees; 
(3) Administrative costs: 
(4) Marketing costs; 
(5) Costs for any 3rd-party assistance it receives in administering its arrearage 
management program; and 
(6) Costs for providing financial and budgetary guidance to participants whether 
provided directly or through a 3rd party contracted by the transmission and 
distribution utility to provide that guidance. 
The amount of any arrearage forgiven that is treated as bad debt for purposes of cost 
recovery by the transmission and distribution utility may not be included as a 
reasonable cost under this paragraph. 
The Efficiency Maine Trust shall work with investor-owned transmission and distribution 
utilities, consumer-owned transmission and distribution utilities that elect to participate in 
an arrearage management program and other stakeholders to provide access to a 
complementary low-income energy efficiency program for participants in arrearage 
management programs in order to help reduce participants' energy consumption. 
No later than January 28, ~ 
2021, the commission shall prepare a report assessing the 
effectiveness of arrearage management programs, including the number of participants 
enrolled in the programs, the number of participants completing the programs, the 
number of participants who have failed to complete the programs, the payment patterns of 
participating customers after completing the programs, the dollar amount of arrears 
forgiven, a comparison of outcomes for those participating in the programs and those not 
participating, the impact on a any participating transmission and distribution utility's bad 
debt as a result of the programs, the costs and benefits to all ratepayers associated with 
the programs and recommendations for ways in which the programs might be improved 
or continued for the benefit of all ratepayers. In preparing its report, the commission 
shall hold at least one formal stakeholder meeting involving affected parties, including 
the Office of the Public Advocate and the participating transmission and distribution 
utilities. Parties must also be provided an opportunity to submit written comments to the 
commission regarding the performance of the programs. 
COMMITTEE AMENDMENT 
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COMMITTEE AMENDMENT ./1" to H.P. 1285, L.D. 1848 
The joint standing committee of the Legislature having jurisdiction over utilities matters 
may report out a bill relating to the commission report to the Seoond First Regular 
Session of the~ 130th Legislature. 
This subsection is repealed September 30, ~ 
2021. 
Sec. 2. 35-A MRSA §10110, sub-§2, ,IL, as enacted by PL 2013, c. 556, §2, is 
amended to read: 
L. Pursuant to section 3214, subsection 2-A, the trust shall work with investor-
owned transmission and distribution utilities. consumer-owned transmission and 
distribution utilities that elect to participate in an arrearage management program 
pursuant to section 3214, subsection 2-A and other stakeholders to provide access to 
a complementary low-income energy efficiency program for participants in the 
arrearage management programs in order to help reduce participants' energy 
consumption. 
This paragraph is repealed September 30, ~ 
2021.' 
SUMMARY 
This amendment makes implementation of an arrearage management program 
elective for consumer-owned transmission and distribution utilities. It also clarifies 
language regarding the recovery in rates of reasonable costs associated with an arrearage 
management program. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Fiscal Detail and Notes 
Approved: 04/01/18 feae!. 
LO 1848 
LR2930(02) 
An Act To Extend Arrearage Management Programs 
Fiscal Note for Bill as Amended by Committee Amendment 'fl• ( f-/-7 {)~ 
Committee: Energy, Utilities and Technology 
Fiscal Note Required: Yes 
Fiscal Note 
Minor cost increase - Other Special Revenue Funds 
Any additional costs to the Public Utilities Commission or the Efficiency Maine Trust as a result of changes to the 
rules regarding arrearage management programs and recovery in rates of reasonable costs associated with arrearage 
management programs are anticipated to be minor and can be absorbed within existing budgeted resources. 
LR2930(02) - Fiscal Note - Page 1 of 1