An Act to Protect Utility Customers and Improve Disclosure of Political and Advertising Spending by Public Utilities and Their Affiliates
Maine Legislature, Session 131, LD 1388
Committee: Energy, Utilities and Technology
Sponsors: GROHOSKI, TIPPING
Amends: 35-A MRSA §302, 35-A MRSA §302-A

Legislative Document
No. 1388
S.P. 553
In Senate, March 28, 2023
An Act to Protect Utility Customers and Improve Disclosure of 
Political and Advertising Spending by Public Utilities and Their 
Affiliates
Reference to the Committee on Energy, Utilities and Technology suggested and ordered 
printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator GROHOSKI of Hancock.
Cosponsored by Senator: TIPPING of Penobscot.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  35-A MRSA §302, as enacted by PL 1987, c. 141, Pt. A, §6, is repealed and 
the following enacted in its place:
§302.  Limitations on rates
1. Limitations on rates. The following expenses, whether paid directly or indirectly, 
through reimbursement or otherwise, incurred by a public utility or an affiliated interest 
may not be included or incorporated in operating expenses to be recovered in rates:  
A. Contributions or gifts to political candidates, political parties, political or legislative 
committees or any committee or organization working to influence referendum 
petitions or elections;
B. Contributions to a public charity, as defined in Title 5, section 194, subsection 1, 
including but not limited to a charity managed by the public utility or affiliated interest; 
and
C. Educational expenditures, as defined by the commission by rule under section 
302-A, in excess of $1,000 per month unless preapproved by the commission as serving 
a public necessity. Educational expenditures include any expenditures relating to 
educational information delivered to the public or to utility customers by radio, 
television, the Internet, print and other media or through sponsorships, paid 
endorsements and public relations campaigns. 
2. Political, charitable and educational expenses annual report. A public utility 
shall file a report annually with the commission containing a written, itemized description 
of any expenses described in subsection 1. For each expense, the report must include the 
date, the payee, the amount and a description of the purpose of the expense. 
3. Major political activities quarterly report. In addition to the report required under 
subsection 2, if a public utility or an affiliated interest engages in major political activities, 
as defined by the commission by rule, the public utility shall file a quarterly report 
containing a written description of those major political activities and the expenditures 
associated with those activities. For each expenditure, the report must include the date, the 
payee, the amount and a description of the purpose of the expenditure.
4.  Definition.  For the purposes of this section, unless the context otherwise indicates, 
"affiliated interest" has the same meaning as in section 707, subsection 1, paragraph A.
Sec. 2.  35-A MRSA §302-A, as enacted by PL 2005, c. 204, §1, is amended to read:
§302-A.  Rules governing political activities, promotional advertising, charitable 
contributions, educational expenditures and institutional advertising
Rules adopted by the commission concerning promotional advertising; promotional 
allowances, including, but not limited to, the granting of promotional rebates or credits; 
advertising to promote corporate image or goodwill; contributions to public charities as 
defined in Title 5, section 194, subsection 1; educational expenditures; or political 
activities, including major political activities, by a public utilities utility or an affiliated 
interest as defined in section 707, subsection 1, paragraph A are major substantive rules as 
defined in Title 5, chapter 375, subchapter 2‑A.  Rules on these matters in effect on the 
effective date of this section remain in effect and do not require legislative approval but 
any changes to such rules are subject to review and approval in accordance with Title 5, 
chapter 375, subchapter 2‑A.
Sec. 3.  Rulemaking.  By November 1, 2023, the commission shall initiate 
rulemaking in accordance with the Maine Revised Statutes, Title 5, chapter 375, subchapter 
2-A to implement the requirements of this Act.
SUMMARY
This bill prohibits a public utility from including in operating expenses costs, whether 
incurred by the public utility or an affiliated interest, as defined in the Maine Revised 
Statutes, Title 35-A, section 707, subsection 1, paragraph A, associated with educational 
expenditures in excess of $1,000, political contributions and charitable contributions.  A 
public utility may include in operating expenses costs for educational expenditures in 
excess of $1,000 with the preapproval of the Public Utilities Commission. The bill requires 
a public utility to file an annual report with the commission of the political, charitable and 
educational expenses of the utility and its affiliated interests. If a public utility or an 
affiliated interest engages in major political activities, it must also file a quarterly report 
with the commission. The bill requires commission rules regarding charitable contributions 
and educational expenditures by a public utility or an affiliated interest to be major 
substantive rules.