PRINTER'S NO. 839
No. 773 Session of 1979
INTRODUCED BY LETTERMAN, LIVENGOOD AND B. D. CLARK,
MARCH 20, 1979
REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, MARCH 20, 1979
AN ACT
1 Amending Title 66 (Public Utilities) of the Pennsylvania
2 Consolidated Statutes, further providing for the disallowance
3 of certain advertising expenses from rate determinations.
4 The General Assembly of the Commonwealth of Pennsylvania
5 hereby enacts as follows:
6 Section 1. Title 66, act of November 25, 1970 (P.L.707,
7 No.230), known as the Pennsylvania Consolidated Statutes, added
8 July 1, 1978 (No.116), is amended by adding a section to read:
9 § 1315. Certain advertising expenses disallowed.
10 Expenses of a public utility which are incurred for
11 advertising in any manner for the actual or apparent purpose of
12 soliciting the initial or additional purchase of its services,
13 or for public relations or good will, shall be disallowed by the
14 commission for purposes of determining a just and reasonable
15 rate of such public utility; provided, advertising expenses of a
16 public utility which are incurred for the actual purpose and
17 with the effect of informing customers of utility services
18 available to them without charge, informing them of their
1 rights, supplying them with information necessary to understand
2 their bills, assisting them to conserve resources, encouraging
3 more efficient off peak use of the utility service, and similar
4 advertising calculated to primarily benefit the customers shall
5 be allowed by the commission in determining a just and
6 reasonable rate to the extent that the advertising as a whole is
7 directed to such a purpose.
8 Section 2. This act shall take effect immediately.
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