Code of Maine Rules › 65 - DEPARTMENT OF PUBLIC UTILITIES COMMISSION › 407 - PUBLIC UTILITIES COMMISSION › Chapter 83 - POLITICAL ACTIVITIES, INSTITUTIONAL ADVERTISING, PROMOTIONAL ADVERTISING, AND PROMOTIONAL ALLOWANCES BY PUBLIC UTILITIES › Section 407-83-5 - Ratemaking Treatment

Current through 2024-29, July 17, 2024
A. Political
				Activities. It is the policy of the Commission and it adopts the standard that
				no pubic [public] utility shall recover from any person other than its
				shareholders or other owners for any expenditures, contributions, expenses, or
				costs of such utility incurred with respect to political activities. This
				subsection applies to all direct or indirect expenditures, contributions,
				expenses, and costs incurred by a public utility with respect to political
				activities, or through another corporation, organization, association, or
				individual which engages in political activities on behalf of the utility.
Each public utility which files with the Commission for a
				  change in rates shall account separately for all expenditures, contributions,
				  expenses, and costs associated with political activities, in accordance with
				  the provisions of section
				  3 of this rule, and shall not include
				  such expenditures, contributions, expenses, and costs as an operating expense
				  for ratemaking purposes. Any request for allowance of such expenditures,
				  contributions, expenses, or costs as an operating expense for ratemaking
				  purposes shall be made in the form of an adjustment to test period operating
				  expenses, which adjustment must be supported by adequate evidence and
				  documentation. The Commission may allow or disallow the adjustment, or any part
				  thereof, on the basis of the policy expressed in this rule and the justness and
				  reasonableness of the expenditure, contribution, expense, or cost in the
				  particular case.
B.
				Political Contributions under 35 M.R.S.A. §51-A. Notwithstanding any other
				provision of this rule, pursuant to 35 M.R.S.A. §51-A(1978), contributions
				or gifts to political candidates, political parties, political or legislative
				committees, or to any committees or organizations working to influence
				referendum petitions or elections, whether paid directly or indirectly, through
				reimbursement or otherwise, incurred by a public utility, shall not be included
				or incorporated in operating expenses.
C. Institutional Advertising, Promotional
				Advertising, and Promotional Allowances by Electric and Gas Utilities. It is
				the policy of the Commission and it adopts the standard that no electric or gas
				utility shall recover from any person other than its shareholders or other
				owners for any expenditures, contributions, expenses, or costs of such utility
				incurred with respect to institutional advertising, promotional advertising, or
				promotional allowances. This subsection applies to all direct or indirect
				expenditures, contributions, expenses, or costs incurred by a public utility
				with respect to institutional advertising, promotional advertising, or
				promotional allowances, or through another corporation, organization,
				association, or individual which engages in institutional advertising,
				promotional advertising, or promotional allowances, or through another
				corporation, organization, association, or individual which engages in
				institutional advertising, promotional advertising, or promotional allowances
				on behalf of the utility.
Each electric or gas utility which files with the Commission
				  for a change in rates shall account separately for all expenditures,
				  contributions, expenses, and costs associated with institutional advertising,
				  promotional advertising, and promotional allowances, in accordance with the
				  provisions of section
				  3 of this rule, and shall not include
				  such expenditures, contributions, expenses, and costs as an operating expense
				  for ratemaking purposes. Any request for allowance of such expenditures,
				  contributions, expenses, or costs as an operating expense for ratemaking
				  purposes shall be made in the form of an adjustment to test period operating
				  expenses, which adjustment must be supported by adequate evidence and
				  documentation. The Commission may allow or disallow the adjustment, or any part
				  thereof, on the basis of the policy expressed in this rule and the justness and
				  reasonableness of the expenditure, contribution, expense, or cost in the
				  particular case.
D. Other
				Expenses. The inclusion or exclusion of any provision in this rule shall not
				restrict or limit, nor be construed to restrict or limit, the Commission's
				power in any rate case involving any public utility to disallow, in whole or in
				part, any expense which the Commission finds to be unjust, unreasonable,
				excessive, or unwarranted.