Opinion ID: 2622975
Heading Depth: 3
Heading Rank: 2

Heading: Ratepayer Standing

Text: ¶ 51 We first note that ratepayers who were parties to the proceedings below may have appellate standing in a given case if they exhaust all administrative remedies and are aggrieved by the Commission's decision. But in this case, where none of the Petitioners were parties to the action below, the Petitioners argue that ratepayers have appellate standing because they qualify as pecuniarily interested in the public utility and are aggrieved by the Commission's decision to approve Questar's cost recovery. There is no dispute among the parties that the ratepayers are adversely affected in the short term by the Commission's decision. In fact, Questar concedes that their cost recovery will result in an approximate $0.50 increase per month in a ratepayer's gas bill until the stipulated transition period is completed as planned in 2008. Differences arise, however, in the parties' interpretation of the term pecuniarily interested in the public utility. ¶ 52 According to the Petitioners, a pecuniary interest in the public utility means having some kind of financial interest related to the public utility. So the Petitioners argue that because ratepayers are financially affected by Questar's cost recovery, ratepayers qualify as pecuniarily interested in the public utility and therefore have standing to appeal the Commission's decision. ¶ 53 On the other hand, the Respondents argue that having a pecuniary interest in the public utility means having a direct financial stake in the public utility, such as that of a stockholder, rather than having a financial relation to the public utility, such as that of a ratepayer. We agree. ¶ 54 First, under the doctrine of ejusdem generis, ratepayers simply do not qualify as persons pecuniarily interested in the public utility by the very terms of the statute. [57] The term pecuniarily interested in the public utility must be interpreted as a class consistent with the terms stockholder and bondholder. [Ejusdem generis] declares that in order to give meaning to the general term, the general term is understood as restricted to include things of the same kind, class, character, or nature as those specifically enumerated, unless there is something to show a contrary intent. [58] The statute first speaks in terms of stockholders and bondholders, individuals that have a specific financial stake in the public utility, whether it be equity or debt. A ratepayer, although financially affected in the sense of paying higher or lower rates as a consumer, does not have a stake in the public utility akin to a stockholder or bondholder and therefore does not qualify as a person pecuniarily interested in the public utility. Furthermore, a ratepayer's financial interest is in direct opposition to that of stockholders and bondholders and therefore inconsistent with a pecuniary interest in the public utility. Indeed, ratepayers want low rates, while stockholders generally want greater revenues, and as a result, higher rates. It would be nonsensical to interpret ratepayers as falling within the same class of persons as stockholders when the interests of the two classes are opposed to each other. [59] ¶ 55 Second, we note the complete absence of the term ratepayer or customer in this section of the statute. The Legislature was well aware of these terms as evidenced by their frequent use in the PUA, yet the terms are notably absent from section 54-7-15. [60] ¶ 56 Third, sections 54-1-11 and 54-4a-5 of the PUA support our interpretation of the term pecuniarily interested in the public utility. Section 54-1-11(1)(a) states that [n]o person employed as a commissioner or as personnel of the commission shall, while so employed . . . [h]ave any pecuniary interest, whether as the holder of stock or other securities . . . [of] any public utility. Similarly, section 54-4a-5(1) states that [n]o employee of the Division of Public Utilities shall, while so employed . . . have any pecuniary interest, whether as the holder of stock or other securities . . . [of] any public utility. [61] Thus, consistent with these sections, a commissioner or employee with a pecuniary interest is one who holds stock or other securities of a public utility, not a mere ratepayer, a category that would presumably include all commissioners. ¶ 57 Ultimately, although the ratepayers are aggrieved by the increase to their gas bill resulting from the Commission's decision, they lack appellate standing because they have no pecuniary interest in the public utility and therefore do not fall within the classes of persons to whom standing is granted. We now turn to the remaining three petitioners who have provided stock certificates to verify their status as Questar stockholders.