An Act to Extend the Time for Certain Public Utilities Commission Proceedings
Maine Legislature, Session 131, LD 1654
Committee: Energy, Utilities and Technology
Sponsors: LAWRENCE
Amends: 35-A MRSA §307, 35-A MRSA §310, 35-A MRSA §707, 35-A MRSA §708, 35-A MRSA §3132

Legislative Document
No. 1654
S.P. 659
In Senate, April 13, 2023
An Act to Extend the Time for Certain Public Utilities Commission 
Proceedings
Submitted by the Public Utilities Commission pursuant to Joint Rule 204.
Reference to the Committee on Energy, Utilities and Technology suggested and ordered 
printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator LAWRENCE of York.
Be it enacted by the People of the State of Maine as follows:
Sec. 1.  35-A MRSA §307, as amended by PL 1999, c. 398, Pt. A, §13 and affected 
by §§104 and 105, is repealed and the following enacted in its place:
§307.  Changes in schedules; notice; suspension; rate increase limit
1.  Definitions.  As used in this section, unless the context otherwise indicates, the 
following terms have the following meanings.
A.  "Final determination of the public utility's revenue requirement" means a decision 
by the commission on the merits of a public utility's request after consideration of at 
least the public utility's direct case in support of its request.
B. "General increase in rates" means a change in a rate, toll or charge of a public utility, 
the effect of which is to increase the annual operating revenue of the public utility by 
more than 1%. "General increase in rates" does not include a rate change made for the 
sole purpose of implementing a gas cost adjustment rate pursuant to section 4703 or a 
rate change made for the sole purpose of implementing an energy conservation 
adjustment rate pursuant to section 3154.
2.  Notice requirements.  A public utility may not change a schedule, including a 
schedule of joint rates, unless the public utility provides notice to the commission 30 days 
prior to the time the changes are to take effect. The public utility must indicate all proposed 
changes on the schedule in effect at the time notice is provided.  For good cause shown, the 
commission may allow changes after less than the notice specified in this subsection or 
modify the requirements of this section and section 308 with respect to publishing, posting 
and filing of a schedule, either in a particular instance or by rule applicable to a special 
circumstance or condition. 
At the commission's discretion, the commission may require the information relating to 
changes described in this subsection to be filed in a general increase in rates at the same 
time as the schedules are filed. The commission may require a public utility whose gross 
revenues exceed $5,000,000 annually to notify the commission not more than 2 months in 
advance of filing a general increase in rates under this section that a filing is planned and 
to disclose the approximate amount of the increase and the approximate rate of return and 
include a general statement of the major issues that might be presented and the approximate 
rate of return the utility would be seeking. 
3.  Suspension pending investigation.  Pending an investigation and order pursuant 
to section 310, subsection 1, at any time within the period preceding the effective date of 
the schedule the commission may suspend the operation of the schedule or any part of the 
schedule by filing with the schedule and delivering to the public utility affected a statement 
of its reasons for the suspension. The suspension may not be for a period longer than 12 
months from the effective date of the order of suspension unless:
A.  All parties agree to extend the suspension beyond 12 months; or 
B.  The commission determines that the party seeking the extension would be 
unreasonably disadvantaged because of circumstances beyond that party's control 
unless the extension were granted, as long as the party prior to the request for extension 
had prosecuted its case in good faith and with due diligence.
4.  General rate increase case limitation.  A public utility may not file a schedule for 
a general increase in rates pursuant to this section within one year of a prior filing for a 
general increase in rates pursuant to this section, unless the proceeding initiated by a prior 
filing was terminated without a final determination of the public utility's revenue 
requirement or with approval of the commission. The limitation of this subsection does not 
prevent a public utility, at any time, from notifying the commission in advance, either 
voluntarily or in accordance with a commission requirement under this section, of plans by 
the public utility to file a general increase in rates. 
Nothing in this subsection may be construed to limit a public utility's right, at any time, to 
petition pursuant to section 1322 for temporary rate relief.
Sec. 2.  35-A MRSA §310, as amended by PL 2009, c. 237, §1, is further amended 
by amending the section headnote to read:
§310.  Investigation of proposed changes in rates of public utilities; suspension 
pending investigation
Sec. 3.  35-A MRSA §310, sub-§2, as enacted by PL 1987, c. 141, Pt. A, §6, is 
repealed.
Sec. 4.  35-A MRSA §310, sub-§3, as amended by PL 2009, c. 237, §1, is further 
amended to read:
3.  Exception: Municipal and quasi-municipal water utilities and consumer-
owned transmission and distribution utilities.  This section and section 307, subsection 
does not apply to:
A.  Municipal or quasi-municipal corporations that are water utilities within the 
definition of section 102, any provisions in any charter notwithstanding, and that elect 
to proceed pursuant to the terms of section 6104 or 6104‑A, unless by the express terms 
of section 6104 or 6104‑A the provisions of this section are made applicable to those 
corporations;
A-1.  Municipal or quasi-municipal corporations that are water utilities within the 
definition of section 102, any provisions in any charter notwithstanding, and that file a 
change in a schedule pursuant to section 307 that changes rates, tolls or charges for 
service other than the provision of water, only if the cumulative revenue impact of all 
such changes that become effective within any consecutive 12-month period does not 
exceed 1% of the utility's total annual revenue; or
B.  Consumer-owned transmission and distribution utilities organized in accordance 
with chapter 35, unless by the express terms of chapter 35 the provisions of this section 
are made applicable to those districts.
Sec. 5.  35-A MRSA §707, sub-§3, ¶A, as enacted by PL 1987, c. 141, Pt. A, §6, 
is amended to read:
A.  Unless the commission disapproves it within 60 days of filing, a contract or 
arrangement filed with the commission under this section is deemed approved.  The 
commission may, however, suspend the effective date of the contract or arrangement 
for an additional 60 days if necessary to enable the commission to complete its review 
of the contract or arrangement or for a longer period by agreement of all the parties or 
by the commission if the commission determines that the party seeking the extension 
would be unreasonably disadvantaged because of circumstances beyond that party's 
control unless the extension were granted, as long as the party prior to the request for 
extension had prosecuted its case in good faith and with due diligence.
Sec. 6.  35-A MRSA §708, sub-§2, ¶A, as amended by PL 2019, c. 353, §2, is 
further amended to read:
A.  Unless exempted by rule or order of the commission, a reorganization may not take 
place without the approval of the commission.  A reorganization may not be approved 
by the commission unless it is established by the applicant for approval that the 
reorganization is consistent with the interests of the utility's ratepayers and investors.  
If a reorganization would result in the transfer of ownership and control of a public 
utility or the parent company of a public utility, a reorganization may not be approved 
by the commission unless it is established by the applicant for approval that the 
reorganization provides net benefits to the utility's ratepayers.  The commission shall 
rule upon all requests for approval of a reorganization within 60 days of the filing of 
the request for approval.  If it determines that the necessary investigation cannot be 
concluded within 60 days, the commission may extend the period for a further period 
of no more than 120 days, unless this period is extended either by agreement of all the 
parties or by the commission upon its determination that the party seeking the extension 
would be unreasonably disadvantaged because of circumstances beyond that party's 
control unless the extension were granted, as long as the party prior to the request for 
the extension had prosecuted its case in good faith and with due diligence.  In granting 
its approval, the commission shall impose such terms, conditions or requirements as, 
in its judgment, are necessary to protect the interests of ratepayers.  These conditions 
must include provisions that ensure the following:
(1)  That the commission has reasonable access to books, records, documents and 
other information relating to the utility or any of its affiliates, except that the Public 
Utilities Commission may not have access to trade secrets unless it is essential to 
the protection of the interests of ratepayers or investors.  The commission shall 
afford trade secrets and other information such protection from public disclosure 
as is provided in the Maine Rules of Civil Procedure;
(2)  That the commission has all reasonable powers to detect, identify, review and 
approve or disapprove all transactions between affiliated interests;
(3)  That the utility's ability to attract capital on reasonable terms, including the 
maintenance of a reasonable capital structure, is not impaired;
(4)  That the ability of the utility to provide safe, reasonable and adequate service 
is not impaired;
(5)  That the utility continues to be subject to applicable laws, principles and rules 
governing the regulation of public utilities;
(6)  That the utility's credit is not impaired or adversely affected;
(7)  That reasonable limitations be imposed upon the total level of investment in 
nonutility business, except that the commission may not approve or disapprove of 
the nature of the nonutility business;
(8)  That the commission has reasonable remedial power including, but not limited 
to, the power, after notice to the utility and all affiliated entities of the issues to be 
determined and the opportunity for an adjudicatory proceeding, to order divestiture 
of or by the utility in the event that divestiture is necessary to protect the interest 
of the utility, ratepayers or investors.  A divestiture order must provide a reasonable 
period within which the divestiture must be completed; and
(9)  That neither ratepayers nor investors are adversely affected by the 
reorganization, and if the reorganization would result in the transfer of ownership 
and control of a public utility or the parent company of a public utility, that the 
reorganization provides net benefits to the utility's ratepayers.
Sec. 7.  35-A MRSA §3132, sub-§2, as amended by PL 2017, c. 201, §1, is further 
amended to read:
2.  Construction of transmission line.  Except as otherwise provided in subsection 
3‑A, whenever any person proposes to erect within this State a transmission line capable 
of operating at 69 kilovolts or more, that person shall file a petition for the approval of the 
proposed line in accordance with subsection 2‑C.  The petition for approval must be set 
down for public hearing.  The commission shall issue its order within 9 12 months after the 
petition is filed unless this period is extended either by agreement of all the parties or by 
the commission upon its determination that the party seeking the extension would, because 
of circumstances beyond that party's control, be unreasonably disadvantaged unless the 
extension were granted, as long as the party to that time had prosecuted its case in good 
faith and with due diligence.
At the time of filing of a petition for approval of a proposed line under this section, the 
person filing the petition shall send a copy of the petition by certified mail to the municipal 
officers of the municipality or municipalities in which the line is to be located.
SUMMARY
This bill extends the time period during which the Public Utilities Commission may 
make determinations on rate increases, affiliate transactions, reorganizations and 
certificates of public convenience and necessity.   It allows for an extension of a period of 
suspension of the operation of a schedule of a public utility under certain circumstances.  It 
extends the period of approval for a petition for a proposed transmission line from 9 to 12 
months.