HOUSE AMENDED
        PRIOR PRINTER'S NOS. 602, 933                 PRINTER'S NO. 1274

THE GENERAL ASSEMBLY OF PENNSYLVANIA


SENATE BILL

No. 543 Session of 1985


        INTRODUCED BY BELL AND STAUFFER, MARCH 12, 1985

        AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
           JUNE 27, 1985

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, further defining "public utility."      <--
     3     UTILITY"; FURTHER PROVIDING THAT THE TRANSCRIPT OF PUBLIC      <--
     4     HEARINGS BE CONSIDERED PART OF THE RECORD IN PROCEEDINGS
     5     BEFORE THE COMMISSION; AND PROVIDING THE PUBLIC UTILITY
     6     COMMISSION WITH AUTHORITY TO ORDER ELECTRIC UTILITIES TO
     7     CANCEL OR MODIFY CONSTRUCTION OF GENERATING UNITS.

     8     The General Assembly of the Commonwealth of Pennsylvania
     9  hereby enacts as follows:
    10     Section 1.  The definition of "public utility" in section 102
    11  of Title 66 of the Pennsylvania Consolidated Statutes, amended
    12  December 21, 1984 (P.L.1270, No.241), is amended to read:
    13  § 102.  Definitions.
    14     Subject to additional definitions contained in subsequent
    15  provisions of this part which are applicable to specific
    16  provisions of this part, the following words and phrases when
    17  used in this part shall have, unless the context clearly
    18  indicates otherwise, the meanings given to them in this section:
    19     * * *

     1     "Public utility."
     2         (1)  Any person or corporations now or hereafter owning
     3     or operating in this Commonwealth equipment or facilities
     4     for:
     5             (i)  Producing, generating, transmitting,
     6         distributing or furnishing natural or artificial gas,
     7         electricity, or steam for the production of light, heat,
     8         or power to or for the public for compensation.
     9             (ii)  Diverting, developing, pumping, impounding,
    10         distributing, or furnishing water to or for the public
    11         for compensation.
    12             (iii)  Transporting passengers or property as a
    13         common carrier.
    14             (iv)  Use as a canal, turnpike, tunnel, bridge,
    15         wharf, and the like for the public for compensation.
    16             (v)  Transporting or conveying natural or artificial
    17         gas, crude oil, gasoline, or petroleum products,
    18         materials for refrigeration, or oxygen or nitrogen, or
    19         other fluid substance, by pipeline or conduit, for the
    20         public for compensation.
    21             (vi)  Conveying or transmitting messages or
    22         communications, except as set forth in paragraph (2)(iv),
    23         by telephone or telegraph or domestic public land mobile
    24         radio service including, but not limited to, point-to-
    25         point microwave radio service for the public for
    26         compensation.
    27             (vii)  Sewage collection, treatment, or disposal for
    28         the public for compensation.
    29         (2)  The term "public utility" does not include:
    30             (i)  Any person or corporation, not otherwise a
    19850S0543B1274                  - 2 -

     1         public utility, who or which furnishes service only to
     2         himself or itself.
     3             (ii)  Any bona fide cooperative association which
     4         furnishes service only to its stockholders or members on
     5         a nonprofit basis.
     6             (iii)  Any producer of natural gas not engaged in
     7         distributing such gas directly to the public for
     8         compensation.
     9             (iv)  Any person or corporation, not otherwise a
    10         public utility, who or which furnishes mobile domestic
    11         cellular radio telecommunications service.
    12         (3)  For the purposes of sections 2702 (relating to
    13     construction, relocation, suspension and abolition of
    14     crossings), 2703 (relating to ejectment in crossing cases),
    15     2704 (relating to compensation for damages occasioned by
    16     construction, relocation or abolition of crossings), and
    17     those portions of sections 1501 (relating to character of
    18     service and facilities), 1505 (relating to proper service and
    19     facilities established on complaint) and 1508 (relating to
    20     reports of accidents), as those sections or portions thereof
    21     relate to safety only, a municipal authority or
    22     transportation authority organized under the laws of this
    23     Commonwealth shall be considered a public utility when it
    24     owns or operates, for the carriage of passengers or goods by
    25     rail, a line of railroad composed of lines formerly owned or
    26     operated by the Pennsylvania Railroad, the Penn-Central
    27     Transportation Company, the Reading Company OR the             <--
    28     Consolidated Rail Corporation. or the Philadelphia Suburban    <--
    29     Transportation Company.
    30     * * *
    19850S0543B1274                  - 3 -

     1     SECTION 2.  SECTION 332(D) OF TITLE 66 IS AMENDED TO READ:     <--
     2  § 332.  PROCEDURES IN GENERAL.
     3     * * *
     4     (D)  RECORD, BRIEFS AND ARGUMENT.--THE TRANSCRIPT OF A PUBLIC
     5  INPUT HEARING, THE TRANSCRIPT OF TESTIMONY AND EXHIBITS,
     6  TOGETHER WITH ALL PAPERS AND REQUESTS FILED IN THE PROCEEDING,
     7  CONSTITUTES THE EXCLUSIVE RECORD FOR DECISION, AND SHALL BE
     8  AVAILABLE FOR INSPECTION BY THE PUBLIC. BRIEFING AND ORAL
     9  ARGUMENT SHALL BE HELD IN ACCORDANCE WITH RULES ESTABLISHED BY
    10  THE COMMISSION. FOR THE PURPOSE OF THIS SECTION, A PUBLIC INPUT
    11  HEARING IS A HEARING HELD IN THE SERVICE AREA AT WHICH THE
    12  RATEPAYERS MAY OFFER TESTIMONY, WRITTEN OR OTHERWISE, RELATING
    13  TO ANY MATTER WHICH HAS A BEARING ON THE PROCEEDING.
    14     * * *
    15     SECTION 3.  TITLE 66 IS AMENDED BY ADDING A SECTION TO READ:
    16  § 520.  POWER OF COMMISSION TO ORDER CANCELLATION OR
    17             MODIFICATION OF CONSTRUCTION OF ELECTRIC GENERATING
    18             UNITS.
    19     (A)  GENERAL RULE.--THE COMMISSION SHALL ORDER ANY PUBLIC
    20  UTILITY ENGAGED IN PRODUCING, GENERATING, TRANSMITTING,
    21  DISTRIBUTING OR FURNISHING ELECTRICITY TO CANCEL OR MODIFY THE
    22  CONSTRUCTION OF, OR ITS PARTICIPATION IN THE CONSTRUCTION OF,
    23  ANY GENERATING UNIT WHERE THE COMMISSION, AFTER NOTICE AND AN
    24  OPPORTUNITY FOR HEARING, DETERMINES THAT THE CONSTRUCTION IS NOT
    25  IN THE PUBLIC INTEREST. IN ADDITION TO ANY OTHER RELEVANT
    26  MATTERS, THE COMMISSION SHALL CONSIDER IN ITS DETERMINATION
    27  WHETHER:
    28         (1)  THE GENERATING UNIT IS NECESSARY FOR THE UTILITY TO
    29     PROVIDE ADEQUATE AND RELIABLE SERVICE TO THE PUBLIC.
    30         (2)  THERE ARE LESS COSTLY ALTERNATIVES BY WHICH THE
    19850S0543B1274                  - 4 -

     1     UTILITY COULD MAINTAIN ITS ABILITY TO PROVIDE ADEQUATE AND
     2     RELIABLE SERVICE.
     3     (B)  INVESTIGATIONS AND HEARINGS.--FOR THE PURPOSE OF
     4  ENABLING THE COMMISSION TO MAKE ITS DETERMINATION, IT MAY HOLD
     5  HEARINGS, MAKE INQUIRIES AND REQUIRE THE SUBMISSION OF
     6  INFORMATION WHICH IT DEEMS NECESSARY OR PROPER IN ENABLING IT TO
     7  REACH A DETERMINATION. THE BURDEN OF PROOF AT THESE HEARINGS TO
     8  SHOW THAT CONSTRUCTION OF THE GENERATING UNIT IS IN THE PUBLIC
     9  INTEREST SHALL BE ON THE PUBLIC UTILITY.
    10     (C)  REGULATORY TREATMENT OF COSTS.--NOTWITHSTANDING ANY
    11  OTHER PROVISIONS OF THIS TITLE, FOR A GENERATING UNIT CANCELED
    12  AFTER THE EFFECTIVE DATE OF THIS SECTION, EITHER VOLUNTARILY OR
    13  BY COMMISSION ORDER, AN ELECTRIC UTILITY MAY BE PERMITTED TO
    14  RECOVER A RETURN OF, BUT NOT A RETURN ON, PRUDENTLY INCURRED
    15  COSTS ON ANY PARTIALLY COMPLETED FACILITY WHEN CANCELLATION IS
    16  FOUND BY THE COMMISSION TO BE IN THE PUBLIC INTEREST. THE BURDEN
    17  OF PROOF TO SHOW THAT ANY COSTS CLAIMED WERE PRUDENTLY INCURRED
    18  SHALL BE ON THE PUBLIC UTILITY.
    19     Section 2 4.  (a)  The act of January 22, 1968 (P.L.42,        <--
    20  No.8), known as the Pennsylvania Urban Mass Transportation Law,
    21  is repealed insofar as it is inconsistent with this act.
    22     (b)  All other acts and parts of acts are repealed insofar as
    23  they are inconsistent with this act.
    24     Section 3.  This act shall take effect in 60 days.             <--
    25     SECTION 5.  (A)  SECTIONS 1, 2 AND 4 OF THIS ACT SHALL TAKE    <--
    26  EFFECT IN 60 DAYS.
    27     (B)  THE REMAINDER OF THIS ACT SHALL TAKE EFFECT IMMEDIATELY.


    B27L66RZ/19850S0543B1274         - 5 -