PRINTER'S NO. 187

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 164 Session of 1983


        INTRODUCED BY LLOYD, KUKOVICH, CIMINI, BELFANTI, PRATT, MORRIS,
           HALUSKA, BLAUM, KOSINSKI, ZWIKL, D. R. WRIGHT AND CARN,
           FEBRUARY 8, 1983

        REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, FEBRUARY 8, 1983

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, providing for a tariff calculated to
     3     increase gross annual operating expenses; and prohibiting
     4     multiple filings.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     Section 1.  Section 1308(d) of Title 66 of the Pennsylvania
     8  Consolidated Statutes is amended and a subsection is added to
     9  read:
    10  § 1308.  Voluntary changes in rates.
    11     * * *
    12     (d)  General rate increases.--Whenever there is filed with
    13  the commission by any public utility described in paragraph
    14  (1)(i), (ii), (vi) or (vii) of the definition of "public
    15  utility" in section 102 (relating to definitions), and such
    16  other public utility as the commission may by rule or regulation
    17  direct, any tariff stating a new rate which constitutes a
    18  general rate increase, the commission shall promptly enter into


     1  an investigation and analysis of said tariff filing [and]. If
     2  the tariff states a new rate which is calculated to increase the
     3  public utility's gross annual intrastate operating revenues by
     4  less than $10,000,000, the commission may by order setting forth
     5  its reasons therefor, upon complaint or upon its own motion,
     6  upon reasonable notice, enter upon a hearing concerning the
     7  lawfulness of such rate, and the commission may, at any time by
     8  vote of a majority of the members of the commission serving in
     9  accordance with law, permit such tariff to become effective,
    10  except that absent such order such tariff shall be suspended for
    11  a period not to exceed seven months from the time such rate
    12  would otherwise become effective. [Before the expiration of such
    13  seven-month period,] If the tariff states a new rate which is
    14  calculated to increase the public utility's gross annual
    15  operating revenues by at least $10,000,000, the commission
    16  shall, upon reasonable notice, enter upon a hearing concerning
    17  the lawfulness of the rate and the tariff shall be suspended for
    18  a period not to exceed nine months from the date on which the
    19  public utility filed the tariff with the commission. Before the
    20  expiration of the maximum period of suspension of any tariff
    21  stating a new rate which constitutes a general rate increase, a
    22  majority of the members of the commission serving in accordance
    23  with law, acting unanimously, shall make a final decision and
    24  order, setting forth its reasons therefor, granting or denying,
    25  in whole or in part, the general rate increase requested. If,
    26  however, such an order has not been made at the expiration of
    27  [such seven-month period,] the maximum period of suspension, the
    28  proposed general rate increase shall go into effect at the end
    29  of such period, but the commission may by order require the
    30  interested public utility to refund, in accordance with section
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     1  1312 (relating to refunds), to the persons in whose behalf such
     2  amounts were paid, such portion of such increased rates as by
     3  its decision shall be found not justified, plus interest, which
     4  shall be the average rate of interest specified for residential
     5  mortgage lending by the Secretary of Banking in accordance with
     6  the act of January 30, 1974 (P.L.13, No.6), referred to as the
     7  Loan Interest and Protection Law, during the period or periods
     8  for which the commission orders refunds. The rate in force when
     9  the tariff stating such new rate was filed shall continue in
    10  force during the period of suspension unless the commission
    11  shall grant extraordinary rate relief as prescribed in
    12  subsection (e). The commission shall consider the effect of such
    13  suspension in finally determining and prescribing the rates to
    14  be thereafter charged and collected by such public utility,
    15  except that the commission shall have no authority to prescribe,
    16  determine or fix, at any time during the pendency of a general
    17  rate increase proceeding or prior to a final determination of a
    18  general rate increase request, temporary rates as provided in
    19  section 1310, which rates may provide retroactive increases
    20  through recoupment. As used in this part general rate increase
    21  means a tariff filing which affects more than 5% of the
    22  customers and amounts to in excess of 3% of the total gross
    23  annual intrastate operating revenues of the public utility. If
    24  the public utility furnishes two or more types of service, the
    25  foregoing percentages shall be determined only on the basis of
    26  the customers receiving, and the revenues derived from, the type
    27  of service to which the tariff filing pertains.
    28     (d.1)  Multiple filings prohibited.--Except as required to
    29  implement an order granting extraordinary rate relief, no public
    30  utility which has filed one tariff, or one supplement to a
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     1  proposed or existing tariff, stating a new rate which
     2  constitutes a general rate increase shall file an additional
     3  tariff, or supplement, stating a new rate which constitutes a
     4  general rate increase for the same type of service until the
     5  commission has made a final decision and order on the first
     6  tariff or supplement or, if earlier, until the expiration of the
     7  maximum period of suspension of the first tariff or supplement.
     8  Except as required to implement an order granting extraordinary
     9  rate relief, no public utility shall simultaneously file
    10  multiple tariffs, multiple supplements to an existing or a
    11  proposed tariff or tariffs, or a tariff and a supplement to a
    12  proposed or existing tariff stating a new rate which constitutes
    13  a general rate increase for the same type of service.
    14     * * *
    15     Section 2.  This act shall take effect in 60 days.










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