PRINTER'S NO. 571
No. 527 Session of 1977
INTRODUCED BY HASAY, MACKOWSKI, D. S. HAYES, LEVI, DeVERTER, L. E. SMITH, SIRIANNI, MILLER, RYAN AND GEESEY, MARCH 7, 1977
REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, MARCH 7, 1977
AN ACT 1 Amending the act of May 28, 1937 (P.L.1053, No.286), entitled 2 "An act relating to the regulation of public utilities; 3 defining as public utilities certain corporations, companies, 4 associations, and persons; providing for the regulation of 5 public utilities, including, to a limited extent, 6 municipalities engaging in public utility business, by 7 prescribing, defining, and limiting their duties, powers, and 8 liabilities, and regulating the exercise, surrender or 9 abandonment of their powers, privileges, and franchises; 10 defining and regulating contract carriers by motor vehicle 11 and brokers in order to regulate effectively common carriers 12 by motor vehicle; conferring upon the Pennsylvania Public 13 Utility Commission the power and duty of supervising and 14 regulating persons, associations, companies, and 15 corporations, including, to a limited extent, municipal 16 corporations subject to this act, and administering the 17 provisions of this act; authorizing the commission to fix 18 temporary rates; placing the burden of proof on public 19 utilities to sustain their rates and certain other matters; 20 authorizing a permissive or mandatory sliding scale method of 21 regulating rates; providing for the supervision of financial 22 and contractural relations between public utilities and 23 affiliated interests, and supervision and regulation of 24 accounts and securities or obligations issued, assumed, or 25 kept by persons, associations, companies, corporations or 26 municipal corporations subject to this act; conferring upon 27 the commission power to vary, reform, or revise certain 28 contracts; conferring upon the commission the exclusive power 29 to regulate or order the construction, alteration, 30 relocation, protection, or abolition of crossings of 31 facilities of public utilities, and of such facilities by or 32 over public highways, to appropriate property for the 33 construction or improvement of such crossings, and to award 34 or apportion resultant costs and damages; authorizing owners
1 of such property to sue the Commonwealth for such damages; 2 providing for ejectment proceedings in connection with the 3 appropriation of property for crossings; conferring upon the 4 commission power to control and regulate budgets of public 5 utilities; imposing upon persons, associations, companies, 6 and corporations (except municipal corporations) subject to 7 regulation, the cost of administering this act; prescribing 8 and regulating practice and procedure before the commission 9 and procedure for review by the courts of commission action; 10 giving the court of common pleas of Dauphin County exclusive 11 original jurisdiction over certain proceedings; prescribing 12 penalties, fines, and imprisonment for violations of the 13 provisions of this act and regulations and orders of the 14 commission, and the procedure for enforcing such fines and 15 penalties; and repealing legislation supplied and superseded 16 by or inconsistent with this act," removing the cost of fuel 17 adjustment from the sliding scale of rates. 18 The General Assembly of the Commonwealth of Pennsylvania 19 hereby enacts as follows: 20 Section 1. Subsection (a) of Section 307, act of May 28, 21 1937 (P.L.1053, No.286), known as the "Public Utility Law," is 22 amended to read: 23 Section 307. Sliding Scale of Rates.--(a) Any public 24 utility, except a common carrier, may establish a sliding scale 25 of rates or such other method for the automatic adjustment of 26 the rates of the public utility as shall provide a just and 27 reasonable return on the fair value of the property used and 28 useful in the public service, to be determined upon such 29 equitable or reasonable basis as shall provide such fair return: 30 Provided, That a tariff showing the scale of rates under such 31 arrangement is first filed with the commission, and such tariff, 32 and each rate set out therein, approved by it: Provided further, 33 That the cost of fuel used by the utility shall be included in 34 the basic rate and shall not be subject to a sliding scale of 35 rates or to automatic adjustment of the rate. The commission may 36 revoke its approval at any time and fix other rates for any such 37 public utility if, after notice and hearing, the commission 38 finds the existing rates unjust or unreasonable. 19770H0527B0571 - 2 -
1 * * * 2 Section 2. This act shall take effect immediately. L2L52JKD/19770H0527B0571 - 3 -