PRINTER'S NO. 533
No. 489 Session of 1977
INTRODUCED BY COWELL, PYLES, COLE, GARZIA, REED, CESSAR,
HALVERSON, PRATT, KUSSE, ABRAHAM, GILLETTE AND SCHMITT,
MARCH 7, 1977
REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, MARCH 7, 1977
AN ACT
1 Amending Title 66 (Public Utilities) of the Pennsylvania
2 Consolidated Statutes, adding provisions relating to public
3 utilities and making repeals.
4 TABLE OF CONTENTS
5 TITLE 66
6 PUBLIC UTILITIES
7 PART I. PUBLIC UTILITY CODE
8 SUBPART A. PRELIMINARY PROVISIONS
9 Chapter 1. General Provisions
10 § 101. Short title of part.
11 § 102. Definitions.
12 § 103. Prior rights preserved.
13 § 104. Interstate and foreign commerce.
14 Chapter 3. Public Utility Commission
15 Subchapter A. General Provisions
16 § 301. Establishment, members, qualifications and chairman.
17 § 302. Removal of commissioner.
18 § 303. Seal; certified documents.
1 § 304. Administrative law judges.
2 § 305. Secretary, employees and consultants.
3 § 306. Counsel.
4 § 307. Inspectors for enforcement.
5 § 308. Bureaus.
6 § 309. Oaths and subpoenas.
7 § 310. Depositions.
8 § 311. Witness fees.
9 § 312. Privilege and immunity.
10 § 313. Joint hearings and investigations; reciprocity.
11 § 314. Investigation of interstate rates, facilities and
12 service.
13 § 315. Burden of proof.
14 § 316. Effect of commission action.
15 § 317. Fees for services rendered by commission.
16 § 318. Commission to cooperate with other departments.
17 § 319. Code of ethics.
18 Subchapter B. Investigations and Hearings
19 § 331. Powers of commission and administrative law judges.
20 § 332. Procedures in general.
21 § 333. Prehearing procedures.
22 § 334. Presiding officers.
23 § 335. Initial decisions.
24 SUBPART B. COMMISSION POWERS, DUTIES,
25 PRACTICES AND PROCEDURES
26 Chapter 5. Powers and Duties
27 § 501. General powers.
28 § 502. Enforcement proceedings by commission.
29 § 503. Enforcement proceedings by Attorney General.
30 § 504. Reports by public utilities.
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1 § 505. Duty to furnish information to commission; cooperation
2 in valuing property.
3 § 506. Inspection of facilities and records.
4 § 507. Designation of statutory agent.
5 § 508. Contracts between public utilities and municipalities.
6 § 509. Power of the commission to vary, reform and revise
7 contracts.
8 § 510. Regulation of manufacture, sale or lease of appliances.
9 § 511. Assessment for regulatory expenses upon public
10 utilities.
11 § 512. Disposition, appropriation and disbursement of
12 assessments and fees.
13 § 513. Power of commission to require insurance.
14 § 514. Public letting of contracts.
15 Chapter 7. Procedure on Complaints
16 § 701. Complaints.
17 § 702. Service of complaints on parties.
18 § 703. Fixing of hearings.
19 Chapter 9. Appeal and Review
20 § 901. Right to trial by jury.
21 SUBPART C. REGULATION OF PUBLIC UTILITIES GENERALLY
22 Chapter 11. Certificates of Public Convenience
23 § 1101. Organization of public utilities and beginning of
24 service.
25 § 1102. Enumeration of acts requiring certificate.
26 § 1103. Procedure to obtain certificates of public convenience.
27 § 1104. Certain appropriations by right of eminent domain
28 prohibited.
29 Chapter 13. Rates and Rate Making
30 § 1301. Rates to be just and reasonable.
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1 § 1302. Tariffs; filing and inspection.
2 § 1303. Adherence to tariffs.
3 § 1304. Discrimination in rates.
4 § 1305. Advance payment of rates; interest on deposits.
5 § 1306. Apportionment of joint rates.
6 § 1307. Sliding scale of rates; adjustments.
7 § 1308. Voluntary changes in rates.
8 § 1309. Rates fixed on complaint; investigation of costs of
9 production.
10 § 1310. Temporary rates.
11 § 1311. Valuation of property of a public utility.
12 § 1312. Refunds.
13 § 1313. Price upon resale of public utility services.
14 Chapter 15. Service and Facilities
15 § 1501. Character of service and facilities.
16 § 1502. Discrimination in service.
17 § 1503. Discontinuance of service.
18 § 1504. Standards of service and facilities.
19 § 1505. Proper service and facilities established on complaint.
20 § 1506. Copies of service contracts, etc., to be filed with
21 commission.
22 § 1507. Testing of appliances for measurement of service.
23 § 1508. Reports of accidents.
24 § 1509. Billing procedures.
25 Chapter 17. Accounting and Budgetary Matters
26 § 1701. Mandatory systems of accounts.
27 § 1702. Continuing property records.
28 § 1703. Depreciation accounts; reports.
29 § 1704. Records and accounts to be kept in Commonwealth.
30 § 1705. Budgets of public utilities.
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1 § 1706. Applicability to municipal corporations.
2 Chapter 19. Securities and Obligations
3 § 1901. Registration of securities to be issued or assumed.
4 § 1902. Contents of securities certificates.
5 § 1903. Registration or rejection of securities certificates.
6 § 1904. Unauthorized securities may be declared void.
7 Chapter 21. Relations with Affiliated Interests
8 § 2101. Definition of affiliated interest.
9 § 2102. Approval of contracts with affiliated interests.
10 § 2103. Continuing supervision and jurisdiction over contracts.
11 § 2104. Contracts to be in writing; cost data.
12 § 2105. Contracts in violation of part void.
13 § 2106. Effect on rates.
14 § 2107. Federal regulatory agencies.
15 SUBPART D. SPECIAL PROVISIONS RELATING TO
16 REGULATION OF PUBLIC UTILITIES
17 Chapter 23. Common Carriers
18 § 2301. Operation and distribution of facilities of common
19 carriers.
20 § 2302. Transfers and time schedules of common carriers.
21 § 2303. Common carrier connections with other lines.
22 § 2304. Liability of common carriers for damages to property
23 in transit; bills of lading.
24 § 2305. Full crews.
25 Chapter 25. Contract Carrier by Motor Vehicle and Broker
26 § 2501. Definitions.
27 § 2502. Regulation and classification of contract carrier and
28 broker.
29 § 2503. Permits required of contract carriers.
30 § 2504. Dual operation by motor carriers.
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1 § 2505. Licenses and financial responsibility required of
2 brokers.
3 § 2506. Copies of contracts to be filed with commission;
4 charges and changes therein.
5 § 2507. Minimum rates fixed and practices prescribed on
6 complaint.
7 § 2508. Accounts, records and reports.
8 § 2509. Temporary permits and licenses.
9 Chapter 27. Railroads
10 § 2701. Railroad connections with sidetracks and laterals.
11 § 2702. Construction, relocation, suspension and abolition of
12 crossings.
13 § 2703. Ejectment in crossing cases.
14 § 2704. Compensation for damages occasioned by construction,
15 relocation or abolition of crossings.
16 § 2705. Speedometers.
17 § 2706. Flag protection.
18 Chapter 29. Telephone and Telegraph Wires
19 § 2901. Definitions.
20 § 2902. Private wire for gambling information prohibited.
21 § 2903. Written contract for private wire.
22 § 2904. Joint use of telephone and telegraph facilities.
23 SUBPART E. MISCELLANEOUS PROVISIONS
24 Chapter 31. Foreign Trade Zones
25 § 3101. Operation as a public utility.
26 § 3102. Establishment by private corporations and
27 municipalities.
28 § 3103. Formation and authority of private corporations.
29 § 3104. Municipalities and corporations to comply with law;
30 forfeiture of rights.
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1 § 3105. Reports to Department of Community Affairs.
2 Chapter 33. Violations and Penalties
3 § 3301. Civil penalties for violations.
4 § 3302. Criminal penalties for violations.
5 § 3303. Nonliability for enforcement of lawful tariffs and
6 rates.
7 § 3304. Unlawful issuance and assumption of securities.
8 § 3305. Misapplication of proceeds of securities.
9 § 3306. Execution of unlawful contracts.
10 § 3307. Refusal to obey subpoena and testify.
11 § 3308. Concealment of witnesses and records.
12 § 3309. Liability for damages occasioned by unlawful acts.
13 § 3310. Unauthorized operation by carriers and brokers.
14 § 3311. Bribery.
15 § 3312. Evasion of motor carrier and broker regulations.
16 § 3313. Excessive price on resale.
17 § 3314. Limitation of actions and cumulation of remedies.
18 § 3315. Disposition of fines and penalties.
19 PART II. OTHER PROVISIONS (Reserved)
20 The General Assembly of the Commonwealth of Pennsylvania
21 hereby enacts as follows:
22 Section 1. Title 66, act of November 25, 1970 (P.L.707,
23 No.230), known as the Pennsylvania Consolidated Statutes, is
24 amended by adding parts to read:
25 TITLE 66
26 PUBLIC UTILITIES
27 Parts
28 I. Public Utility Code
29 II. Other Provisions (Reserved)
30 PART I
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1 PUBLIC UTILITY CODE
2 Subpart
3 A. Preliminary Provisions
4 B. Commission Powers, Duties, Practices and Procedures
5 C. Regulation of Public Utilities Generally
6 D. Special Provisions Relating to Regulation of Public
7 Utilities
8 E. Miscellaneous Provisions
9 SUBPART A
10 PRELIMINARY PROVISIONS
1 Chapter
2 1. General Provisions
3 3. Public Utility Commission
4 CHAPTER 1
5 GENERAL PROVISIONS
6 Sec.
7 101. Short title of part.
8 102. Definitions.
9 103. Prior rights preserved.
10 104. Interstate and foreign commerce.
11 § 101. Short title of part.
12 This part shall be known and may be cited as the "Public
13 Utility Code."
14 § 102. Definitions.
15 Subject to additional definitions contained in subsequent
16 provisions of this part which are applicable to specific
17 provisions of this part, the following words and phrases when
18 used in this part shall have, unless the context clearly
19 indicates otherwise, the meanings given to them in this section:
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1 "Commission." The Pennsylvania Public Utility Commission of
2 this Commonwealth.
3 "Common carrier." Any and all persons or corporations
4 holding out, offering, or undertaking, directly or indirectly,
5 service for compensation to the public for the transportation of
6 passengers or property, or both, or any class of passengers or
7 property, between points within this Commonwealth by, through,
8 over, above, or under land, water, or air, and shall include
9 forwarders, but shall not include contract carriers by motor
10 vehicles, or brokers, or any bona fide cooperative association
11 transporting property exclusively for the members of such
12 association on a nonprofit basis.
13 "Common carrier by motor vehicle." Any common carrier who or
14 which holds out or undertakes the transportation of passengers
15 or property, or both, or any class of passengers or property,
16 between points within this Commonwealth by motor vehicle for
17 compensation, whether or not the owner or operator of such motor
18 vehicle, or who or which provides or furnishes any motor
19 vehicle, with or without driver, for transportation or for use
20 in transportation of persons or property as aforesaid, and shall
21 include common carriers by rail, water, or air, and express or
22 forwarding public utilities insofar as such common carriers or
23 such public utilities are engaged in such motor vehicle
24 operations, but does not include:
25 (1) A lessor under a lease given on a bona fide sale of
26 a motor vehicle where the lessor retains or assumes no
27 responsibility for maintenance, supervision, or control of
28 the motor vehicles so sold.
29 (2) Transportation of school children for school
30 purposes or to and from school sponsored extra curricular
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1 activities whether as participants or spectators, together
2 with chaperons who might accompany them as designated by the
3 board of school directors not exceeding five in number, or
4 between their homes and Sunday school in any motor vehicle
5 owned by the school district, private school or parochial
6 school, or transportation of school children between their
7 homes and school or to and from school-sponsored extra
8 curricular or educational activities whether as participants
9 or spectators, together with chaperons who might accompany
10 them as designated by the board of school directors not
11 exceeding five in number, if the person performing the extra
12 curricular transportation has a contract for the
13 transportation of school children between their homes and
14 school, with the private or parochial school, with the school
15 district or jointure in which the school is located, or with
16 a school district that is a member of a jointure in which the
17 school is located if the jointure has no contracts with other
18 persons for the transportation of students between their
19 homes and school, and if the person maintains a copy of all
20 contracts in the vehicle at all times, or children between
21 their homes and Sunday school in any motor vehicle operated
22 under contract with the school district, private school or
23 parochial school.
24 (3) Any owner or operator of a farm transporting
25 agricultural products from, or farm supplies to, such farm,
26 or any independent contractor or cooperative agricultural
27 association hauling agricultural products or farm supplies
28 exclusively for one or more owners or operators of farms.
29 (4) Any person or corporation who or which uses, or
30 furnishes for use, dump trucks for the transportation of
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1 ashes, rubbish, excavated and road construction materials.
2 (5) Transportation of property by the owner to himself,
3 or to purchasers directly from him, in vehicles owned and
4 operated by the owner of such property and not otherwise used
5 in transportation of property for compensation for others.
6 (6) Transportation of voting machines to and from
7 polling places by any person or corporation for or on behalf
8 of any political subdivision of this Commonwealth for use in
9 any primary, general, municipal or special election.
10 (7) Transportation of pulpwood, chemical wood, saw logs
11 or veneer logs from woodlots.
12 (8) Transportation by towing of wrecked or disabled
13 motor vehicles.
14 (9) Any person or corporation who or which furnishes
15 transportation for any injured, ill or dead person.
16 "Corporation." All bodies corporate, joint-stock companies,
17 or associations, domestic or foreign, their lessees, assignees,
18 trustees, receivers, or other successors in interest, having any
19 of the powers or privileges of corporations not possessed by
20 individuals or partnerships, but shall not include municipal
21 corporations, except as otherwise expressly provided in this
22 part, nor bona fide cooperative associations which furnish
23 service on a nonprofit basis only to their stockholders or
24 members.
25 "Facilities." All the plant and equipment of a public
26 utility, including all tangible and intangible real and personal
27 property without limitation, and any and all means and
28 instrumentalities in any manner owned, operated, leased,
29 licensed, used, controlled, furnished, or supplied for, by, or
30 in connection with, the business of any public utility. Property
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1 owned by the Commonwealth or any municipal corporation prior to
2 June 1, 1937, shall not be subject to the commission or to any
3 of the terms of this part, except as elsewhere expressly
4 provided in this part.
5 "Forwarder." Any person or corporation not included in the
6 terms "motor carrier" or "broker" who or which issues receipts
7 or billings for property received by such person or corporation
8 for transportation, forwarding, or consolidating, or for
9 distribution by any medium of transportation or combination or
10 media of transportation, other than solely by motor vehicle.
11 "Motor carrier." A common carrier by motor vehicle, and a
12 contract carrier by motor vehicle.
13 "Motor vehicle." Any vehicle which is self-propelled,
14 excepting power shovels, tractors other than truck tractors,
15 road rollers, agricultural machinery, and vehicles which solely
16 move upon or are guided by a track, or travel through the air.
17 "Municipal corporation." All cities, boroughs, towns,
18 townships, or counties of this Commonwealth, and also any public
19 corporation, authority, or body whatsoever created or organized
20 under any law of this Commonwealth for the purpose of rendering
21 any service similar to that of a public utility.
22 "Person." Individuals, partnerships, or associations other
23 than corporations, and includes their lessees, assignees,
24 trustees, receivers, executors, administrators, or other
25 successors in interest.
26 "Public utility."
27 (1) The term "public utility" includes persons or
28 corporations now or hereafter owning or operating in this
29 Commonwealth equipment or facilities for:
30 (i) Producing, generating, transmitting,
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1 distributing or furnishing natural or artificial gas,
2 electricity, or steam for the production of light, heat,
3 or power to or for the public for compensation.
4 (ii) Diverting, developing, pumping, impounding,
5 distributing, or furnishing water to or for the public
6 for compensation.
7 (iii) Transporting passengers or property as a
8 common carrier.
9 (iv) Use as a canal, turnpike, tunnel, bridge,
10 wharf, and the like for the public for compensation.
11 (v) Transporting or conveying natural or artificial
12 gas, crude oil, gasoline, or petroleum products,
13 materials for refrigeration, or oxygen or nitrogen, or
14 other fluid substance, by pipeline or conduit, for the
15 public for compensation.
16 (vi) Conveying or transmitting messages or
17 communications by telephone or telegraph or domestic
18 public land mobile radio service including, but not
19 limited to, point-to-point microwave radio service for
20 the public for compensation.
21 (vii) Sewage collection, treatment, or disposal for
22 the public for compensation.
23 (2) The term "public utility" does not include:
24 (i) Any person or corporation, not otherwise a
25 public utility, who or which furnishes service only to
26 himself or itself.
27 (ii) Any bona fide cooperative association which
28 furnishes service only to its stockholders or members on
29 a nonprofit basis.
30 (iii) Any producer of natural gas not engaged in
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1 distributing such gas directly to the public for
2 compensation.
3 "Railroad." Every railroad, other than a street railway, by
4 whatsoever power operated, for public use in the conveyance of
5 passengers or property, or both, and all the facilities thereof.
6 "Rate." Every individual, or joint fare, toll, charge,
7 rental, or other compensation whatsoever of any public utility,
8 or contract carrier by motor vehicle, made, demanded, or
9 received for any service within this part, offered, rendered, or
10 furnished by such public utility, or contract carrier by motor
11 vehicle, whether in currency, legal tender, or evidence thereof,
12 in kind, in services or in any other medium or manner
13 whatsoever, and whether received directly or indirectly, and any
14 rules, regulations, practices, classifications or contracts
15 affecting any such compensation, charge, fare, toll, or rental.
16 "Service." Used in its broadest and most inclusive sense,
17 includes any and all acts done, rendered, or performed, and any
18 and all things furnished or supplied, and any and all facilities
19 used, furnished, or supplied by public utilities, or contract
20 carriers by motor vehicle, in the performance of their duties
21 under this part to their patrons, employees, other public
22 utilities, and the public, as well as the interchange of
23 facilities between two or more of them, but shall not include
24 any acts done, rendered or performed, or any thing furnished or
25 supplied, or any facility used, furnished or supplied by public
26 utilities or contract carriers by motor vehicle in the
27 transportation of voting machines to and from polling places for
28 or on behalf of any political subdivision of this Commonwealth
29 for use in any primary, general or special election, or in the
30 transportation of any injured, ill or dead person, or in the
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1 transportation by towing of wrecked or disabled motor vehicles,
2 or in the transportation of pulpwood or chemical wood from
3 woodlots.
4 "Street railway." Every railroad and railway, or any
5 extension or extensions thereof, by whatsoever power operated,
6 for public use in the conveyance of passengers or property, or
7 both, located mainly or in part upon, above, below, through, or
8 along any highway in any city, borough, or town, and not
9 constituting or used as a part of a trunk line railroad system,
10 and all the facilities thereof.
11 "Tariff." All schedules of rates, all rules, regulations,
12 practices, or contracts involving any rate or rates, including
13 contracts for interchange of service, and, in the case of a
14 common carrier, schedules showing the method of distribution of
15 the facilities of such common carrier.
16 "Transportation of passengers or property." Any and all
17 service in connection with the receiving, transportation,
18 elevation, transfer in transit, ventilation, refrigeration,
19 icing, storage, handling, and delivering of property, baggage or
20 freight, as well as any and all service in connection with the
21 transportation or carrying of passengers, but shall not mean any
22 service in connection with the receiving, transportation,
23 handling or delivering of voting machines to and from polling
24 places for or on behalf of any political subdivision of this
25 Commonwealth for use in any primary, general or special
26 election, or the transportation of any injured, ill or dead
27 person, or the transportation by towing of wrecked or disabled
28 motor vehicles, or the transportation of pulpwood or chemical
29 wood from woodlots.
30 § 103. Prior rights preserved.
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1 (a) Existing law continued.--Except as otherwise
2 specifically provided in this part, it is the intention of this
3 part to continue existing law. Any public utility, contract
4 carrier by motor vehicle, or broker rendering service or having
5 the right to render service on the day preceding the effective
6 date of this part shall be entitled to the full enjoyment and
7 the exercise of all and every right, power and privilege which
8 it lawfully possessed on that date.
9 (b) Existing proceedings, certificates, regulations, tariffs
10 and contracts.--All litigation, hearings, investigations, and
11 other proceedings whatsoever, pending under any repealed statute
12 supplied by this part, shall continue and remain in full force
13 and effect, and may be continued and completed under the
14 provisions of this part. All certificates, permits, licenses,
15 orders, rules, regulations or tariffs made, issued, or filed
16 under any repealed statute supplied by this part, and in full
17 force and effect upon the effective date of this part, shall
18 remain in full force and effect for the term issued, or until
19 revoked, vacated, or modified under the provisions of this part.
20 All existing contracts and obligations of the commission or its
21 predecessor, entered into or created under any repealed statute
22 supplied by this part, and in force and effect upon the
23 effective date of this part, shall remain in full force and
24 effect and shall continue to be performed by the commission.
25 (c) Remedies cumulative.--Except as otherwise provided in
26 this part, nothing in this part shall abridge or alter the
27 existing rights of action or remedies in equity or under common
28 or statutory law of this Commonwealth, and the provisions of
29 this part shall be cumulative and in addition to such rights of
30 action and remedies.
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1 § 104. Interstate and foreign commerce.
2 The provisions of this part, except when specifically so
3 provided, shall not apply, or be construed to apply, to commerce
4 with foreign nations, or among the several states, except
5 insofar as the same may be permitted under the provisions of the
6 Constitution of the United States and the acts of Congress.
7 CHAPTER 3
8 PUBLIC UTILITY COMMISSION
9 Subchapter
10 A. General Provisions
11 B. Investigations and Hearings
12 SUBCHAPTER A
13 GENERAL PROVISIONS
14 Sec.
15 301. Establishment, members, qualifications and chairman.
16 302. Removal of commissioner.
17 303. Seal; certified documents.
18 304. Administrative law judges.
19 305. Secretary, employees and consultants.
20 306. Counsel.
21 307. Inspectors for enforcement.
22 308. Bureaus.
23 309. Oaths and subpoenas.
24 310. Depositions.
25 311. Witness fees.
26 312. Privilege and immunity.
27 313. Joint hearings and investigations; reciprocity.
28 314. Investigation of interstate rates, facilities and service.
29 315. Burden of proof.
30 316. Effect of commission action.
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1 317. Fees for services rendered by commission.
2 318. Commission to cooperate with other departments.
3 319. Code of ethics.
4 § 301. Establishment, members, qualifications and chairman.
5 (a) Appointment and terms of members.--The Pennsylvania
6 Public Utility Commission, established by the act of March 31,
7 1937 (P.L.160, No.43), as an independent administrative
8 commission, is hereby continued as such and shall consist of
9 five members who shall be appointed by the Governor, by and with
10 the advice and consent of two-thirds of all the members of the
11 Senate, for a term of ten years. No commissioner upon the
12 expiration of his term shall continue to hold office until his
13 successor shall be duly appointed or shall be qualified.
14 (b) Qualifications and restrictions.--Each commissioner, at
15 the time of his appointment and qualification, shall be a
16 resident of this Commonwealth and shall have been a qualified
17 elector therein for a period of at least one year next preceding
18 his appointment, and shall also be not less than 30 years of
19 age. No person shall be appointed a member of the commission who
20 occupies any official relation to any public utility. Commencing
21 July 1, 1977, commissioners shall devote full time to their
22 official duties. No commissioner shall hold any office or
23 position, the duties of which are incompatible with the duties
24 of his office as commissioner, or be engaged in any business,
25 employment or vocation, for which he shall receive any
26 remuneration, except as provided in this chapter. No employee,
27 appointee or official engaged in the service of or in any manner
28 connected with, the commission shall hold any office or
29 position, or be engaged in any employment or vocation, the
30 duties of which are incompatible with his employment in the
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1 service of or in connection with the work of the commission. No
2 commissioner shall be paid or accept for any service connected
3 with the office, any fee or emolument other than the salary and
4 expenses provided by law. No commissioner shall participate in
5 any hearing or proceeding in which he has any direct or indirect
6 pecuniary interest. Within 90 days of confirmation, each
7 commissioner shall disclose, at that time and thereafter
8 annually, the existence of all security holdings in any public
9 utility or its affiliates held by such commissioner, his or her
10 spouse and any minor or unemancipated children and must either
11 divest or place in a blind trust such securities. As used in
12 this part, blind trust means a trust over which neither the
13 commissioners, their spouses, nor any minor or unemancipated
14 children shall exercise any managerial control, and from which
15 neither the commissioners, their spouses, nor any minor or
16 unemancipated children shall receive any income from the trust
17 during the commissioner's tenure of office. Such disclosure
18 statement shall be filed with the secretary of the commission
19 and shall be open to inspection by the public during the normal
20 business hours of the commission during the tenure of the
21 commissioner. Every commissioner, and every individual or
22 official, employed or appointed to office under, in the service
23 of, or in connection with, the work of the commission, is
24 forbidden, directly or indirectly, to solicit or request from,
25 or to suggest or recommend to any public utility, or to any
26 officer, attorney, agent or employee thereof, the appointment of
27 any individual to any office, place or position in, or the
28 employment of any individual in any capacity by, such public
29 utility. Every commissioner, every bureau director and every
30 administrative law judge employed or appointed to office under,
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1 in the service of or in connection with the work of the
2 commission, is prohibited from accepting employment with any
3 public utility subject to the rules and regulations of the
4 commission for a period of one year after terminating employment
5 or service with the commission. If any person employed or
6 appointed in the service of the commission violates any
7 provision of this section, the commission shall forthwith remove
8 him from the office or employment held by him.
9 (c) Chairman.--A member designated by the Governor shall be
10 the chairman of the commission during such member's term of
11 office. When present, the chairman shall preside at all
12 meetings, but in his absence a member, designated by the
13 chairman, shall preside and shall exercise, for the time being,
14 all the powers of the chairman.
15 (d) Quorum.--A majority of the members of the commission
16 serving in accordance with law shall constitute a quorum and
17 such majority, acting unanimously, shall be required for any
18 action, including the making of any order or the ratification of
19 any act done or order made by one or more of the commissioners.
20 No vacancy in the commission shall impair the right of a quorum
21 of the commissioners to exercise all the rights and perform all
22 the duties of the commission.
23 (e) Compensation.--Each of the commissioners shall receive
24 an annual salary of $35,000, as of January 1, 1977, and $40,000,
25 as of January 1, 1978, except the chairman, who shall receive an
26 annual salary of $37,500, as of January 1, 1977, and $42,500, as
27 of January 1, 1978.
28 (f) Open proceedings.--The proceedings of the commission
29 shall be conducted in accordance with the provisions of the act
30 of July 19, 1974 (P.L.486, No.175), referred to as the Public
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1 Agency Open Meeting Law.
2 (g) Monitoring cases.--Each commissioner shall be
3 responsible for monitoring specified cases as shall be assigned
4 to him in a manner determined by the commission. All proceedings
5 properly before the commission shall be assigned immediately
6 upon filing.
7 § 302. Removal of commissioner.
8 The Governor, by and with the consent of two-thirds of all of
9 the members of the Senate, shall remove from office any
10 commissioner who violates the provision of section 301(b)
11 (relating to establishment, members, qualifications and
12 chairman) requiring commissioners to devote full time to their
13 official duties and may remove any commissioner for
14 inefficiency, neglect of duty or misconduct in office, giving
15 him a copy of the charges against him, and affording him an
16 opportunity to be publicly heard in person or by counsel in his
17 own defense upon not less than ten days notice. If the
18 commissioner is removed, the Governor shall file with the
19 Department of State a complete statement of all charges made
20 against the commissioner and his finding thereon, together with
21 a complete record of the proceedings.
22 § 303. Seal; certified documents.
23 (a) Seal.--The commission shall adopt and use an official
24 seal, by which the commission shall authenticate its
25 proceedings, and of which seal the courts shall take judicial
26 notice. A copy of any paper or document on file with the
27 commission authenticated by any such seal shall be evidence
28 equally and in like manner as the original.
29 (b) Certified copies of documents admissible in evidence.--
30 Copies of all official documents and orders filed or deposited
19770H0489B0533 - 21 -
1 in the office of the commission, certified by the secretary
2 under the official seal of the commission to be true copies of
3 the originals, shall be evidence in like manner as the
4 originals, in all matters before the commission and in the
5 courts of this Commonwealth.
6 § 304. Administrative law judges.
7 (a) General rule.--The office of administrative law judge to
8 the Pennsylvania Public Utility Commission is hereby created.
9 The commission shall have the power to appoint as many qualified
10 and competent administrative law judges as may be necessary for
11 proceedings pursuant to this part, and who shall devote full
12 time to their official duties and who shall perform no duties
13 inconsistent with their duties and responsibilities as
14 administrative law judges. Administrative law judges shall be
15 afforded employment security as provided by the act of August 5,
16 1941 (P.L.752, No.286), known as the "Civil Service Act."
17 Compensation for administrative law judges shall be established
18 by the commission within a range of $25,000 to $35,000. If the
19 commission is occasionally and temporarily understaffed of
20 administrative law judges, the commission may appoint qualified
21 and competent persons who meet the minimum standards established
22 by this part to temporarily serve as such judges, who shall
23 serve at the pleasure of the commission and shall receive such
24 compensation as the commission may establish.
25 (b) Staff.--The commission may appoint secretaries and legal
26 or technical advisors to assist each judge in performance of his
27 duties or may assign personnel from any of the other bureaus
28 within the commission.
29 (c) Qualifications.--All judges must meet the following
30 minimum requirements:
19770H0489B0533 - 22 -
1 (1) Be an attorney in good standing before the Supreme
2 Court of Pennsylvania.
3 (2) Have three years of practice before administrative
4 agencies or equivalent experience.
5 (3) Conform to such other requirements as shall be
6 established by the commission.
7 (d) Chief administrative law judge.--The commission shall
8 appoint one of the administrative law judges as chief
9 administrative law judge who shall be responsible for assigning
10 a hearing judge to every proceeding before the commission which
11 may require the utilization of an administrative law judge and
12 who shall receive remuneration above that of any other
13 administrative law judge. The position of chief administrative
14 law judge may not be withdrawn from a person so appointed, nor
15 his salary diminished, except for good cause shown. The chief
16 administrative law judge shall have such other responsibilities
17 as the commission may by rule prescribe.
18 § 305. Secretary, employees and consultants.
19 (a) Secretary.--The commission may appoint and fix the
20 compensation of a secretary to hold office at its pleasure. The
21 secretary shall have such powers and shall perform such duties
22 not contrary to law as the commission shall prescribe. The
23 commission shall have power and authority to designate, from
24 time to time, one of its clerks to perform the duties of the
25 secretary during his absence, and the clerk so designated shall
26 possess, for the time so designated, the powers of the secretary
27 of the commission.
28 (b) Employees and consultants.--The commission may appoint,
29 fix the compensation of, authorize and delegate such officers,
30 consultants, experts, engineers, statisticians, accountants,
19770H0489B0533 - 23 -
1 inspectors, clerks and employees as may be appropriate for the
2 proper conduct of the work of the commission. The total
3 compensation paid to consultants in any fiscal year shall not
4 exceed 4% of the commission's budget. The commission shall keep
5 records of the names of each consultant, the services performed
6 for the commission, and the amounts expended for each
7 consultant's services. The commission shall submit these records
8 as a part of its annual budget submission. Such records shall be
9 a matter of public record open for inspection at the office of
10 the commission during the normal business hours of the
11 commission. The commission shall establish, after consultation
12 with the Civil Service Commission, standardized qualifications
13 for employment and advancement, and all titles, and establish
14 different standards for different kinds, grades, and classes of
15 similar work or service. The employees of the commission shall
16 be afforded employment security as provided by the act of August
17 5, 1941 (P.L.752, No.286), known as the "Civil Service Act," or
18 the appropriate collective bargaining agreement, whichever is
19 applicable, but the commission shall set the salaries of all
20 employees in accordance with the employment standards
21 established under this section.
22 § 306. Counsel.
23 The office of chief counsel to the Pennsylvania Public
24 Utility Commission is hereby created. The chief counsel shall be
25 appointed by the commission and hold office at its pleasure. The
26 commission may also from time to time appoint such assistant
27 counsel to the commission as may be required for the proper
28 conduct of its work. Assistant counsel may be removed by the
29 commission only for good cause. The compensation of the counsel
30 shall be fixed by the commission. In accordance with the
19770H0489B0533 - 24 -
1 multifunction legal staff established in this part, such counsel
2 shall attend the hearings before the commission or a
3 commissioner, or a special agent or administrative law judge,
4 and conduct the examination of witnesses and shall represent the
5 commission upon appeals and other hearings in the courts of
6 common pleas and in the Commonwealth and Supreme Courts, or
7 other courts of this Commonwealth, or in any Federal court or
8 agency and in actions instituted to recover penalties and to
9 enforce regulations and orders of the commission. Such counsel
10 shall also assist the Attorney General in conducting all
11 mandamus, injunction and quo warranto proceedings at law or in
12 equity, instituted by him for the enforcement of the regulations
13 and orders of the commission, and shall perform such other
14 professional duties as may be required of them by the
15 commission.
16 § 307. Inspectors for enforcement.
17 The commission may employ such inspectors, as it may deem
18 necessary, for the purpose of enforcing the provisions of this
19 part. Such inspectors are hereby declared to be police officers,
20 and are hereby given police power and authority throughout this
21 Commonwealth to arrest on view, without writ, rule, order, or
22 process, any person operating as a motor carrier or common
23 carrier by airplane without a certificate or permit required by
24 this part. Such inspectors are hereby given authority to stop
25 vehicles on the highways of this Commonwealth, and to inspect
26 the cargoes of such vehicles, and any receipts or bills of
27 lading pertaining to such cargoes.
28 § 308. Bureaus.
29 (a) Enumeration.--There shall be established within the
30 commission the following bureaus and functions:
19770H0489B0533 - 25 -
1 (1) Law Bureau.
2 (2) Bureau of Conservation, Economics and Energy
3 Planning.
4 (3) Bureau of Consumer Services.
5 (b) Law Bureau.--The Law Bureau shall be a multifunction
6 legal staff, consisting of a prosecutory function and an
7 advisory function. Prosecutory counsel shall be responsible for
8 and shall assist in the development of, challenge of, and
9 representation on the record of all matters in the public's
10 interest. Advisory counsel shall advise the commission on any
11 and all matters. The counsel shall appear on behalf of the
12 commission in all courts of record and before district
13 magistrates. No counsel shall in the same case or a factually
14 related case perform duties in the prosecutory and advisory
15 functions, if such performance would represent a conflict of
16 interest.
17 (c) Bureau of Conservation, Economics and Energy Planning.--
18 The Bureau of Conservation, Economics and Energy Planning shall
19 conduct studies and research all matters within the commission's
20 jurisdiction and advise the commission of the results thereof in
21 order to enable the commission to provide prospective regulation
22 in the best interest of all parties concerned. Such studies and
23 research shall include long range forecasting of energy needs
24 and development; research into the use of new, efficient and
25 economic methods of energy production; the review of the
26 efficiency of the present generating systems operated within
27 this Commonwealth; and the development of an effective program
28 of energy conservation. The commission shall require all
29 electric and gas public utilities subject to its jurisdiction to
30 file with it an annual conservation report which shows the plans
19770H0489B0533 - 26 -
1 and progress achieved on programs of energy conservation. The
2 commission shall, by rule, prescribe guidelines for the form and
3 manner of such annual conservation report which report shall
4 describe the current and proposed programs of each such utility
5 designed to educate and encourage its customers in the optimum,
6 effective and efficient use by them of electric and gas energy.
7 The report shall include an accounting of the monetary and
8 personnel resources actually or proposed to be expended or
9 devoted to and the actual or anticipated results of such
10 programs. The bureau shall review all proposals for electric and
11 gas public utility plant expansion and shall submit for
12 consideration of the commission its findings on what impact, if
13 any, the electric and gas public utility plant expansion will
14 have on rates charged by the public utility.
15 (d) Bureau of Consumer Services.--The Bureau of Consumer
16 Services shall investigate and have prepared replies to all
17 informal consumer complaints and shall advise the commission as
18 to the need for formal commission action on any matters brought
19 to its attention by the complaints. The bureau shall on behalf
20 of the commission keep records of all complaints received, the
21 matter complained of, the utility involved, and the disposition
22 thereof and shall at least annually report to the commission on
23 such matters. The commission may take official notice of all
24 complaints and the nature thereof in any proceeding before the
25 commission in which the utility is a party. The commission shall
26 adopt, publish and generally make available rules by which a
27 consumer may make informal complaints. The bureau shall also
28 assist and advise the commission on matters of safety compliance
29 by public utilities.
30 (e) Other bureaus.--The commission shall establish such
19770H0489B0533 - 27 -
1 bureau or bureaus to perform such duties as the commission may
2 prescribe regarding all matters respecting rates of public
3 utilities and all matters respecting common carriers and
4 contract carriers. The establishment of these bureaus shall not
5 be construed to prohibit the commission from establishing any
6 additional bureaus which the commission finds necessary to
7 protect the interests of the people of this Commonwealth. The
8 bureaus may perform such other duties not inconsistent with law
9 as the commission may direct.
10 (f) Staff testimony.--Members of the staff of the commission
11 shall appear and present testimony in any proceeding before the
12 commission when called by the commission or any of the parties
13 to the proceeding. In addition to any cross-examination by
14 counsel as provided in section 306 (relating to counsel), any
15 member of the commission staff who participates in the analysis,
16 review and conclusions in any proceedings before the commission
17 may, in the discretion of commission counsel and with the
18 consent of the presiding officer, cross-examine any witness
19 presented by the parties to the proceeding at the public
20 hearing.
21 § 309. Oaths and subpoenas.
22 The commission, or its representative, shall have the power,
23 in any part of this Commonwealth, to subpoena witnesses, to
24 administer oaths, to examine witnesses, or to take such
25 testimony, or compel the production of such books, records,
26 papers, and documents as it may deem necessary or proper in, and
27 pertinent to, any proceeding, investigation, or hearing, held or
28 had by it, and to do all necessary and proper things and acts in
29 the lawful exercise of its powers or the performance of its
30 duties. The fees for serving a subpoena shall be the same as
19770H0489B0533 - 28 -
1 those paid sheriffs for similar services.
2 § 310. Depositions.
3 The commission, or any commissioner, or any party to
4 proceedings before the commission, may cause the deposition of
5 witnesses residing within or without this Commonwealth to be
6 taken in the manner prescribed by the Pennsylvania Rules of
7 Civil Procedure for taking depositions in civil actions.
8 § 311. Witness fees.
9 Witnesses who are summoned before the commission shall be
10 paid the same fees and mileage as are paid to witnesses in the
11 courts of common pleas. Witnesses whose depositions are taken
12 pursuant to the provisions of this part, and the officer taking
13 the same, shall be entitled to the same fees as are paid for
14 like services in such courts. All disbursements made in the
15 payment of such fees shall be included in and paid in the same
16 manner as is provided for the payment of other expenses of the
17 commission.
18 § 312. Privilege and immunity.
19 No person shall be excused from testifying or from producing
20 any book, document, paper, or account in any investigation or
21 inquiry by, or hearing before, the commission or its
22 representative, when ordered to do so, upon the ground that the
23 testimony or evidence, book, document, paper, or account
24 required may tend to incriminate him or subject him to penalty
25 or forfeiture. No person shall be prosecuted, punished, or
26 subjected to any forfeiture or penalty for or on account of any
27 act, transaction, matter, or thing concerning which he shall
28 have been compelled, under objection, to testify or produce
29 documentary evidence. No person so testifying shall be exempt
30 from prosecution or punishment for any perjury committed by him
19770H0489B0533 - 29 -
1 in his testimony.
2 § 313. Joint hearings and investigations; reciprocity.
3 (a) Joint hearings and investigations.--The commission shall
4 have full power and authority to make joint investigations, hold
5 joint hearings within or without this Commonwealth, and issue
6 joint or concurrent orders in conjunction or concurrence with
7 any official, board, commission, or agency of any state or of
8 the United States, whether in the holding of such investigations
9 or hearings, or in the making of such orders, the commission
10 shall function under agreements or compacts between states or
11 under the concurrent power of states to regulate the interstate
12 commerce, or as an agency of the Federal Government, or
13 otherwise.
14 (b) Reciprocity.--The commission shall have full power and
15 authority to arrange reciprocity of treatment of public
16 utilities and contract carriers by motor vehicle of this
17 Commonwealth by regulatory bodies, under regulatory laws of
18 other states, and to that end the commission is hereby vested
19 with power to impose upon public utilities and contract carriers
20 by motor vehicle of other states, the same penalties,
21 restrictions, and regulations as are imposed by the regulatory
22 body of such other states upon public utilities and contract
23 carriers by motor vehicle of this Commonwealth when operating
24 into, out of, or through such other states.
25 § 314. Investigation of interstate rates, facilities and
26 service.
27 The commission may investigate the interstate rates, traffic
28 facilities, or service of any public utility within this
29 Commonwealth, and when such rates, facilities or service are, in
30 the determination of the commission, unjust, unreasonable,
19770H0489B0533 - 30 -
1 discriminatory or in violation of any Federal law, or in
2 conflict with the rulings, orders or regulations of any Federal
3 regulatory body, the commission may apply, by petition to the
4 proper Federal regulatory body, for relief, or may present to
5 the proper Federal regulatory body all facts coming to its
6 knowledge as to the violation of the rules, orders, or
7 regulations of such regulatory body, or as to the violation of
8 the particular Federal law.
9 § 315. Burden of proof.
10 (a) Reasonableness of rates.--In any proceeding upon the
11 motion of the commission, involving any proposed or existing
12 rate of any public utility, or in any proceedings upon complaint
13 involving any proposed increase in rates, the burden of proof to
14 show that the rate involved is just and reasonable shall be upon
15 the public utility. The commission shall give to the hearing and
16 decision of any such proceeding preference over all other
17 proceedings, and decide the same as speedily as possible.
18 (b) Compliance with commission determinations and orders.--
19 In any case involving any alleged violation by a public utility,
20 contract carrier by motor vehicle, or broker of any lawful
21 determination or order of the commission, the burden of proof
22 shall be upon the public utility, contract carrier by motor
23 vehicle, or broker complained against, to show that the
24 determination or order of the commission has been complied with.
25 (c) Adequacy of services and facilities.--In any proceeding
26 upon the motion of the commission, involving the service or
27 facilities of any public utility, the burden of proof to show
28 that the service and facilities involved are adequate,
29 efficient, safe, and reasonable shall be upon the public
30 utility.
19770H0489B0533 - 31 -
1 (d) Justification of accounting entries.--The burden of
2 proof to justify every accounting entry questioned by the
3 commission shall be upon the public utility making, authorizing,
4 or requiring such entry, and the commission may suspend any
5 charge or credit pending submission of such proof by such public
6 utility.
7 (e) Use of future test year.--In discharging its burden of
8 proof the utility may utilize a future test year. The commission
9 shall promptly adopt rules and regulations regarding the
10 information and data to be submitted when and if a future test
11 period is to be utilized. Whenever a utility utilizes a future
12 test year in any rate proceeding and such future test year forms
13 a substantive basis for the final rate determination of the
14 commission, the utility shall provide, as specified by the
15 commission in its final order, appropriate data evidencing the
16 accuracy of the estimates contained in the future test year, and
17 the commission may after reasonable notice and hearing, in its
18 discretion, adjust the utility's rates on the basis of such
19 data.
20 § 316. Effect of commission action.
21 Whenever the commission shall make any rule, regulation,
22 finding, determination or order, the same shall be prima facie
23 evidence of the facts found and shall remain conclusive upon all
24 parties affected thereby, unless set aside, annulled or modified
25 on judicial review.
26 § 317. Fees for services rendered by commission.
27 (a) General rule.--The commission shall by rule establish on
28 a reasonable cost basis the fees to be charged and collected for
29 the following services:
30 (1) Copies of paper, testimony and records.
19770H0489B0533 - 32 -
1 (2) Certifying a copy of any paper, testimony or record.
2 (3) Preparing and certifying to the Commonwealth Court
3 any record in an appeal.
4 (4) Filing of each securities certificate, or each
5 application for a certificate of public convenience,
6 registration certificate, permit or license.
7 (b) Fees for testing.--The commission shall charge and
8 collect from public utilities for the testing of their
9 instruments of precision and measuring apparatus the following
10 fees:
11 For testing each watthour meter, $16.
12 For testing each indicating instrument, $10.
13 For testing each instrument transformer, $10.
14 For testing each standard cell, $5.
15 For testing each standard resistance, $10.
16 For testing each potentiometer, $50.
17 For testing each gas meter prover, $35.
18 For testing each calorimeter tested at the gas company's
19 plant, $35.
20 For testing each calorimeter tested at the commission
21 laboratory, $10.
22 For each water meter testing apparatus tested at the
23 company's plant, $15.
24 For each water meter tested at the commission laboratory,
25 $3.
26 § 318. Commission to cooperate with other departments.
27 (a) Vehicle registration plates.--The Department of
28 Transportation and the commission are hereby authorized and
29 directed to cooperate in the issuance by the Department of
30 Transportation, under the provisions of Title 75 (relating to
19770H0489B0533 - 33 -
1 vehicles), of registration plates for commercial motor vehicles,
2 which will classify and identify motor vehicles operated under
3 certificates or permits issued by the commission, without the
4 necessity of the requirement of separate identification plates
5 in addition to registration plates required under Title 75.
6 (b) Purity of water supply.--The commission may certify to
7 the Department of Environmental Resources any question of fact
8 regarding the purity of water supplied to the public by any
9 public utility over which it has jurisdiction, when any such
10 question arises in any controversy or other proceeding before
11 it, and upon the determination of such question by the
12 department incorporate the department's findings in its
13 decision.
14 (c) Powers of certain governmental agencies unaffected.--
15 Nothing in this part shall be construed to deprive the
16 Department of Health or the Department of Environmental
17 Resources of any jurisdiction, powers or duties now vested in
18 them.
19 § 319. Code of ethics.
20 (a) General rule.--Each commissioner and each administrative
21 law judge shall conform to the following code of ethics for the
22 Public Utility Commission. A commissioner and an administrative
23 law judge must:
24 (1) Avoid impropriety and the appearance of impropriety
25 in all activities.
26 (2) Perform all duties impartially and diligently.
27 (3) Avoid all ex parte communications prohibited in this
28 part.
29 (4) Abstain publicly from expressing, other than in
30 executive or public session, his personal views on the merits
19770H0489B0533 - 34 -
1 of a matter pending before the commission and require similar
2 abstention on the part of commission personnel subject to his
3 direction and control.
4 (5) Require staff and personnel subject to his direction
5 to observe the standards of fidelity and diligence that apply
6 to the commissioner and administrative law judge.
7 (6) Initiate appropriate disciplinary measures against
8 commission personnel for unprofessional conduct.
9 (7) Disqualify himself from proceedings in which his
10 impartiality might be reasonably questioned.
11 (8) Inform himself about his personal and fiduciary
12 interests and make a reasonable effort to inform himself
13 about the personal financial interests of his spouse and
14 children.
15 (9) Regulate his extra-curricular activities to minimize
16 the risk of conflict with his official duties. He may speak,
17 write or lecture and any reimbursed expenses, honorariums,
18 royalties, or other moneys received in connection therewith
19 shall be disclosed annually. Such disclosure statement shall
20 be filed with the secretary of the commission and shall be
21 open to inspection by the public during the normal business
22 hours of the commission during the tenure of the commissioner
23 or of the administrative law judge.
24 (10) Refrain from solicitation of funds for any
25 political, educational, religious, charitable, fraternal or
26 civic purposes, although he may be an officer, director or
27 trustee of such organizations.
28 (11) Refrain from financial or business dealing which
29 would tend to reflect adversely on impartiality, although the
30 commissioner or administrative law judge may hold and manage
19770H0489B0533 - 35 -
1 investments which are not incompatible with the duties of his
2 office.
3 (12) Conform to such additional rules as the commission
4 may prescribe.
5 (b) Removal of commissioner for violation.--Any commissioner
6 who violates the provisions of subsection (a) shall be removed
7 from office in the manner provided in section 302 (relating to
8 removal of commissioner).
9 (c) Removal of judge for violation.--Any administrative law
10 judge who violates the provisions of subsection (a) shall be
11 removed from office in the manner provided by the act of August
12 5, 1941 (P.L.752, No.286), known as the "Civil Service Act."
13 SUBCHAPTER B
14 INVESTIGATIONS AND HEARINGS
15 Sec.
16 331. Powers of commission and administrative law judges.
17 332. Procedures in general.
18 333. Prehearing procedures.
19 334. Presiding officers.
20 335. Initial decisions.
21 § 331. Powers of commission and administrative law judges.
22 (a) General rule.--Any investigation, inquiry or hearing
23 which the commission has power to undertake or hold shall be
24 conducted pursuant to the provisions of this chapter.
25 (b) Powers of chairman.--The commission may authorize the
26 chairman to:
27 (1) Designate the time and place for the conducting of
28 investigations, inquiries and hearings.
29 (2) Assign cases to a commissioner or commissioners for
30 hearing, investigation, inquiry, study or other similar
19770H0489B0533 - 36 -
1 purposes.
2 (3) Assign cases to special agents or administrative law
3 judges for the taking and receiving of evidence.
4 (4) Direct and designate officers and employees of the
5 commission to make investigations, inspections, inquiries,
6 studies and other like assignments for reports to the
7 commission.
8 (5) Be responsible through the secretary for
9 specifically enumerated daily administrative operations of
10 the commission.
11 (c) Requirements for presiding officers.--There shall
12 preside at the taking of evidence the commission, one or more
13 commissioners, or one or more administrative law judges
14 appointed as provided in this chapter. The functions of all
15 presiding officers shall be conducted in an impartial manner.
16 Any such officer may at any time withdraw from a proceeding if
17 he deems himself disqualified, and, upon the filing in good
18 faith of a timely and sufficient affidavit of personal bias or
19 disqualification of any such officer, the commission shall
20 determine the matter as a part of the record and decision in the
21 proceeding.
22 (d) Authority of presiding officers.--In addition to any
23 administrative rules of procedure contained in this part, the
24 commission may adopt and publish such additional rules of
25 procedure as are not inconsistent with this part. Officers
26 presiding at hearings shall have authority subject to the
27 published rules of the commission and within its powers, to:
28 (1) Administer oaths and affirmations.
29 (2) Issue subpoenas authorized by law.
30 (3) Rule upon offers of proof and receive relevant
19770H0489B0533 - 37 -
1 evidence, take or cause depositions to be taken whenever the
2 ends of justice would be served thereby.
3 (4) Regulate the course of the hearing.
4 (5) Hold conferences for settlement or simplification of
5 the issues by consent of the parties.
6 (6) Dispose of procedural requests or similar matters.
7 (7) Make decisions or recommend decisions in conformity
8 within this part.
9 (8) Take any other action authorized by commission rule.
10 (e) Interlocutory appeals.--A presiding officer may certify
11 to the commission, or allow the parties an interlocutory appeal
12 to the commission on any material question arising in the course
13 of a proceeding, where he finds that it is necessary to do so to
14 prevent substantial prejudice to any party or to expedite the
15 conduct of the proceeding. The presiding officer or the
16 commission may thereafter stay the proceeding if necessary to
17 protect the substantial rights of any of the parties therein.
18 The commission shall determine the question forthwith and the
19 hearing and further decision shall thereafter be governed
20 accordingly. No interlocutory appeal to the commission shall
21 otherwise be allowed, except as may be allowed by the
22 commission.
23 (f) Declaratory orders.--The commission, with like effect as
24 in the case of other orders, and in its sound discretion, may
25 issue a declaratory order to terminate a controversy or remove
26 uncertainty.
27 (g) Official notice defined.--As used in this chapter the
28 term "official notice" means a method by which the commission
29 may notify all parties that no further evidence will be heard on
30 a material fact and that unless the parties prove to the
19770H0489B0533 - 38 -
1 contrary, the commission's findings will include that particular
2 fact.
3 § 332. Procedures in general.
4 (a) Burden of proof.--Except as may be otherwise provided in
5 section 315 (relating to burden of proof) or other provisions of
6 this part or other relevant statute, the proponent of a rule or
7 order has the burden of proof.
8 (b) Admissibility of evidence.--Any oral or documentary
9 evidence may be received, but the commission shall as a matter
10 of policy provide for the exclusion of irrelevant, immaterial or
11 unduly repetitious evidence. No sanction shall be imposed or
12 rule or order be issued except upon consideration of the whole
13 record or such portions thereof as may be cited by any party and
14 as supported by and in accordance with the reliable, probative
15 and substantial evidence.
16 (c) Submission of evidence.--Every party is entitled to
17 present his case or defense by oral or documentary evidence, to
18 submit rebuttal evidence and to conduct such cross-examination
19 as may be required for a full and true disclosure of the facts.
20 The commission may, by rule, adopt procedures for the submission
21 of all or part of the evidence in written form.
22 (d) Record, briefs and argument.--The transcript of
23 testimony and exhibits, together with all papers and requests
24 filed in the proceeding, constitutes the exclusive record for
25 decision, and shall be available for inspection by the public.
26 Briefing and oral argument shall be held in accordance with
27 rules established by the commission.
28 (e) Official notice of facts.--When the commission's
29 decision rests on official notice of a material fact not
30 appearing in the evidence in the record, upon notification that
19770H0489B0533 - 39 -
1 facts are about to be or have been noticed, any party adversely
2 affected shall have the opportunity upon timely request to show
3 that the facts are not properly noticed or that alternative
4 facts should be noticed. The commission in its discretion shall
5 determine whether written presentations suffice, or whether oral
6 argument, oral evidence, or cross-examination is appropriate in
7 the circumstances. Nothing in this subsection shall affect the
8 application by the commission in appropriate circumstances of
9 the doctrine of judicial notice.
10 (f) Actions of parties and counsel.--Any party who shall
11 fail to be represented at a scheduled conference or hearing
12 after being duly notified thereof, shall be deemed to have
13 waived the opportunity to participate in such conference or
14 hearing, and shall not be permitted thereafter to reopen the
15 disposition of any matter accomplished thereat, or to recall for
16 further examination of witnesses who were excused, unless the
17 presiding officer shall determine that failure to be represented
18 was unavoidable and that the interests of the other parties and
19 the public would not be prejudiced by permitting such reopening
20 or further examination. If the actions of a party or counsel in
21 a proceeding shall be determined by the commission, after due
22 notice and opportunity for hearing, to be obstructive to the
23 orderly conduct of the proceeding and inimical to the public
24 interest, the commission may reject or dismiss any rule or order
25 in any manner proposed by the offending party or counsel, and,
26 with respect to counsel, may bar further participation by him in
27 any proceedings before the commission.
28 § 333. Prehearing procedures.
29 (a) Conferences.--The presiding officer shall have the
30 authority to hold one or more prehearing conferences during the
19770H0489B0533 - 40 -
1 course of the proceeding on his own motion or at the request of
2 a party to the proceeding. The presiding officer shall normally
3 hold at least one prehearing conference in proceedings where the
4 issues are complex or where it appears likely that the hearing
5 will last a considerable period of time. In addition to other
6 matters which the commission may prescribe by rule, the
7 presiding officer at a prehearing conference may direct the
8 parties to exchange their evidentiary exhibits and witness lists
9 prior to the hearing. Where good cause exists, the parties may
10 at any time amend, by deletion or supplementation, their
11 evidentiary exhibits and witness lists.
12 (b) Depositions.--A party to the proceeding shall be able to
13 take depositions of witnesses upon oral examination or written
14 questions for purposes of discovering relevant, unprivileged
15 information, subject to the following conditions:
16 (1) The taking of depositions shall normally be deferred
17 until there has been at least one prehearing conference.
18 (2) The party seeking to take a deposition shall apply
19 to the presiding officer for an order to do so.
20 (3) The party seeking to take a deposition shall serve
21 copies of the application on the other party or parties to
22 the proceedings, who shall be given an opportunity, along
23 with the deponent, to notify the presiding officer of any
24 objections to the taking of the deposition.
25 (4) The presiding officer shall not grant an application
26 to take a deposition if he finds that the taking of the
27 deposition would result in undue delay.
28 (5) The presiding officer shall otherwise grant an
29 application to take a deposition unless he finds that there
30 is not good cause for doing so.
19770H0489B0533 - 41 -
1 (6) The deposing of a commission employee shall only be
2 allowed upon an order of the presiding officer based on a
3 specific finding that the party applying to take the
4 deposition is seeking significant, unprivileged information
5 not discoverable by alternative means. Any such order shall
6 be subject to an interlocutory appeal to the commission.
7 (7) An order to take a deposition shall be enforceable
8 through the issuance of a subpoena ad testificandum.
9 (c) Disclosure of information on witnesses.--At the
10 prehearing conference or at some other reasonable time prior to
11 the hearing, which may be established by commission rule, each
12 party to the proceeding shall make available to the other
13 parties to the proceeding the names of the witnesses he expects
14 to call and the subject matter of their expected testimony.
15 Where good cause exists, the parties shall have the right at any
16 time to amend, by deletion or supplementation, the list of names
17 of the witnesses they plan to call and the subject matter of the
18 expected testimony of those witnesses.
19 (d) Interrogatories.--Any party to a proceeding may serve
20 written interrogatories upon any other party for purposes of
21 discovering relevant, unprivileged information. A party served
22 with interrogatories may, before the time prescribed either by
23 commission rule or otherwise for answering the interrogatories,
24 apply to the presiding officer for the holding of a prehearing
25 conference for the mutual exchange of evidence exhibits and
26 other information. Each interrogatory which requests information
27 not previously supplied at a prehearing conference or hearing
28 shall be answered separately and fully in writing under oath,
29 unless it is objected to, in which event the reasons for the
30 objections shall be stated in lieu of an answer. The party upon
19770H0489B0533 - 42 -
1 whom the interrogatories have been served shall serve a copy of
2 the answers and objections within a reasonable time, unless
3 otherwise specified, upon the party submitting the
4 interrogatories. The party submitting the interrogatories may
5 petition the presiding officer for an order compelling an answer
6 to an interrogatory or interrogatories to which there has been
7 an objection or other failure to answer. The commission shall
8 designate an appropriate official on whom other parties to the
9 proceeding may serve written interrogatories directed to the
10 commission. That official shall arrange for agency personnel
11 with knowledge of the facts to answer and sign the
12 interrogatories on behalf of the commission. The attorney or
13 employee appearing on behalf of the commission in the proceeding
14 shall have the authority to make and sign objections to
15 interrogatories served upon the commission. Interrogatories
16 directed to the commission shall be allowed only upon an order
17 of the commission based upon a specific finding that the
18 interrogating party is seeking significant, unprivileged
19 information not discoverable by alternative means.
20 (e) Requests for admissions.--A party to a proceeding may
21 serve upon any other party and upon the commission to the same
22 extent permissible in subsection (d) a written request for the
23 admission, for purposes of the pending proceeding and to
24 conserve hearing time, of any relevant, unprivileged, undisputed
25 facts, the genuineness of any document described in the request,
26 the admissibility of evidence, the order of proof and other
27 similar matters.
28 (f) Subpoena duces tecum.--A party to a proceeding may
29 obtain in accordance with commission rules a subpoena duces
30 tecum requiring the production of or the making available for
19770H0489B0533 - 43 -
1 inspection, copying or photographing of relevant necessary
2 designated documents at a prehearing conference or other
3 specific time and place.
4 (g) Scheduling.--The presiding officer shall have the
5 authority to impose schedules on the parties to the proceeding
6 specifying the periods of time during which the parties may
7 pursue each means of discovery available to them under the rules
8 of the commission. Such schedules and time periods shall be set
9 with a view to accelerating disposition of the case to the
10 fullest extent consistent with fairness.
11 (h) Certification of interlocutory appeals.--Except as
12 provided in subsection (b)(6), an interlocutory appeal from a
13 ruling of the presiding officer on discovery shall be allowed
14 only upon certification by the presiding officer that the ruling
15 involves an important question of law or policy which should be
16 resolved at that time. Notwithstanding the presiding officer's
17 certification, the commission shall have the authority to
18 dismiss summarily the interlocutory appeal if it should appear
19 that the certification was improvident. An interlocutory appeal
20 shall not result in a stay of the proceedings except upon a
21 finding by the presiding officer and the commission that
22 extraordinary circumstances exist.
23 (i) Protective orders.--The presiding officer shall have the
24 authority, upon motion by a party or by the person from whom
25 discovery is sought, and for good cause shown, to make any
26 order, subject to the rules of the commission, which justice
27 requires to protect the party or person.
28 (j) Other subpoenas.--The presiding officer shall have the
29 power in accordance with commission rules to issue subpoenas ad
30 testificandum and duces tecum at any time during the course of
19770H0489B0533 - 44 -
1 the proceeding.
2 § 334. Presiding officers.
3 (a) Presiding officers to decide.--The same presiding
4 officer shall to the fullest extent possible preside at all the
5 reception of evidence in a particular case to which he has been
6 assigned. The same presiding officer who presides at the
7 reception of evidence shall make the recommended decision or
8 initial decision except where such presiding officer becomes
9 unavailable to the commission.
10 (b) Outside consultation prohibited.--Save to the extent
11 required for the disposition of ex parte matters not prohibited
12 by this part, no presiding officer shall consult any person or
13 party on any fact in issue unless upon notice and opportunity
14 for all parties to participate; nor shall any presiding officer
15 be responsible to or subject to the supervision or direction of
16 any officer, employee or agent engaged in the performance of
17 investigative or prosecuting functions for the commission. No
18 employee, appointee, commissioner or official engaged in the
19 service of, or in any manner connected with the commission shall
20 engage in ex parte communications save to the extent permitted
21 by this part. No officer, employee or agent engaged in the
22 performance of investigative or prosecuting functions for the
23 commission in any case shall, in that or a factually related
24 case, participate or advise in the decision, recommended
25 decision or commission review, except as witness or counsel in
26 public proceedings.
27 (c) Ex parte communications.--Ex parte communications
28 prohibited in this section shall mean any off-the-record
29 communications to or by any member of the commission,
30 administrative law judge, or employee of the commission,
19770H0489B0533 - 45 -
1 regarding the merits or any fact in issue of any matter pending
2 before the commission in any contested on-the-record proceeding.
3 Contested on-the-record proceeding means a proceeding required
4 by a statute, constitution, published commission rule or
5 regulation or order in a particular case, to be decided on the
6 basis of the record of a commission hearing, and in which a
7 protest or a petition or notice to intervene in opposition to
8 requested commission action has been filed. This subsection does
9 not prohibit off-the-record communications to or by any employee
10 of the commission prior to the actual beginning of hearings in a
11 contested on-the-record proceeding when such communications are
12 solely for the purpose of seeking clarification of or
13 corrections in evidentiary materials intended for use in the
14 subsequent hearings.
15 § 335. Initial decisions.
16 (a) Procedures.--When the commission does not preside at the
17 reception of evidence, the presiding officer shall initially
18 decide the case, unless the commission requires, either in
19 specific cases or by general rule, the entire record to be
20 certified to it for decision. When the presiding officer makes
21 an initial decision, that decision then shall be approved by the
22 commission and may become the opinion of the commission without
23 further proceeding within the time provided by commission rule.
24 On review of the initial decision, the commission has all the
25 powers which it would have in making the initial decision except
26 as it may limit the issues on notice or by rule. When the
27 commission makes the decision in a rate determination proceeding
28 without having presided at the reception of the evidence, the
29 presiding officer shall make a recommended decision to the
30 commission in accordance with the provisions of this part.
19770H0489B0533 - 46 -
1 Alternatively, in all other matters:
2 (1) the commission may issue a tentative decision or one
3 of its responsible employees may recommend a decision; or
4 (2) this procedure may be omitted in a case in which the
5 commission finds on the record that due and timely execution
6 of the functions imperatively and unavoidably so requires.
7 (b) Exceptions or proposed findings and conclusions.--Before
8 a recommended, initial or tentative decision issued under this
9 section, or a decision on commission review of the decision of
10 subordinate employees, the parties are entitled to a reasonable
11 opportunity to submit for the consideration of the commission:
12 (1) (i) proposed findings and conclusions; or
13 (ii) exceptions to the decisions or recommended
14 decisions of subordinate employees or to tentative
15 commission decisions; and
16 (2) supporting reason for the exceptions or proposed
17 findings or conclusions.
18 (c) Record.--The record shall show the ruling on each
19 finding, conclusion or exception presented. All decisions,
20 including initial, recommended and tentative decisions, are a
21 part of the record and shall include a statement of:
22 (1) findings and conclusions, and the reasons or basis
23 therefor, on all material issues of fact, law or discretion
24 presented on the record; and
25 (2) the appropriate rule, order, sanction, relief or
26 denial thereof.
27 SUBPART B
28 COMMISSION POWERS, DUTIES, PRACTICES AND PROCEDURES
29 Chapter
30 5. Powers and Duties
19770H0489B0533 - 47 -
1 7. Procedure on Complaints
2 9. Appeal and Review
3 CHAPTER 5
4 POWERS AND DUTIES
5 Sec.
6 501. General powers.
7 502. Enforcement proceedings by commission.
8 503. Enforcement proceedings by Attorney General.
9 504. Reports by public utilities.
10 505. Duty to furnish information to commission; cooperation in
11 valuing property.
12 506. Inspection of facilities and records.
13 507. Designation of statutory agent.
14 508. Contracts between public utilities and municipalities.
15 509. Power of the commission to vary, reform and revise
16 contracts.
17 510. Regulation of manufacture, sale or lease of appliances.
18 511. Assessment for regulatory expenses upon public utilities.
19 512. Disposition, appropriation and disbursement of assessments
20 and fees.
21 513. Power of commission to require insurance.
22 514. Public letting of contracts.
23 § 501. General powers.
24 (a) Enforcement of provisions of part.--In addition to any
25 powers expressly enumerated in this part, the commission shall
26 have full power and authority, and it shall be its duty to
27 enforce, execute and carry out, by its regulations, orders, or
28 otherwise, all and singular, the provisions of this part, and
29 the full intent thereof; and shall have the power to rescind or
30 modify any such regulations or orders. The express enumeration
19770H0489B0533 - 48 -
1 of the powers of the commission in this part shall not exclude
2 any power which the commission would otherwise have under any of
3 the provisions of this part.
4 (b) Administrative authority and regulations.--The
5 commission shall have general administrative power and authority
6 to supervise and regulate all public utilities doing business
7 within this Commonwealth. The commission may make such
8 regulations, not inconsistent with law, as may be necessary or
9 proper in the exercise of its powers or for the performance of
10 its duties.
11 § 502. Enforcement proceedings by commission.
12 Whenever the commission shall be of opinion that any person
13 or corporation, including a municipal corporation, is violating,
14 or is about to violate, any provisions of this part; or has
15 done, or is about to do, any act, matter, or thing herein
16 prohibited or declared to be unlawful; or has failed, omitted,
17 neglected, or refused, or is about to fail, omit, neglect, or
18 refuse, to perform any duty enjoined upon it by this part, or
19 has failed, omitted, neglected or refused, or is about to fail,
20 omit, neglect, or refuse to obey any lawful requirement,
21 regulation or order made by the commission; or any final
22 judgment, order, or decree made by any court, then and in every
23 such case the commission may institute in the Commonwealth
24 Court, injunction, mandamus, or other appropriate legal
25 proceedings, to restrain such violations of the provisions of
26 this part, or of the regulations, or orders of the commission,
27 and to enforce obedience thereto; and such court is hereby
28 clothed with exclusive jurisdiction throughout this Commonwealth
29 to hear and determine all such actions. No injunction bond shall
30 be required to be filed by the commission. Such persons,
19770H0489B0533 - 49 -
1 corporations, or municipal corporations as the court may deem
2 necessary or proper to be joined as parties, in order to make
3 its judgment, order or writ effective, may be joined as parties.
4 The final judgment in any such action or proceeding shall either
5 dismiss the action or proceeding, or direct that the writ of
6 mandamus or injunction issue or be made permanent as prayed for
7 in the petition, or in such modified or other form as will
8 afford appropriate relief.
9 § 503. Enforcement proceedings by Attorney General.
10 The Attorney General, in addition to the exercise of the
11 powers and duties now conferred upon him by law, shall also,
12 upon request of the commission, or upon his own motion, proceed
13 in the name of the Commonwealth, by mandamus, injunction, or quo
14 warranto, or other appropriate remedy at law or, in equity, to
15 restrain violations of the provisions of this part, or of the
16 regulations or orders of the commission, or the judgments,
17 orders, or decrees of any court, or to enforce obedience
18 thereto.
19 § 504. Reports by public utilities.
20 The commission may require any public utility to file
21 periodical reports, at such times, and in such form, and of such
22 content, as the commission may prescribe, and special reports
23 concerning any matter whatsoever about which the commission is
24 authorized to inquire, or to keep itself informed, or which it
25 is required to enforce. The commission may require any public
26 utility to file with it a copy of any report filed by such
27 public utility with any Federal department or regulatory body.
28 All reports shall be under oath or affirmation when required by
29 the commission.
30 § 505. Duty to furnish information to commission; cooperation
19770H0489B0533 - 50 -
1 in valuing property.
2 Every public utility shall furnish to the commission, from
3 time to time, and as the commission may require, all accounts,
4 inventories, appraisals, valuations, maps, profiles, reports of
5 engineers, books, papers, records, and other documents or
6 memoranda, or copies of any and all of them, in aid of any
7 inspection, examination, inquiry, investigation, or hearing, or
8 in aid of any determination of the value of its property, or any
9 portion thereof, and shall cooperate with the commission in the
10 work of the valuation of its property, or any portion thereof,
11 and shall furnish any and all other information to the
12 commission, as the commission may require, in any inspection,
13 examination, inquiry, investigation, hearing, or determination
14 of such value of its property, or any portion thereof.
15 § 506. Inspection of facilities and records.
16 The commission shall have full power and authority, either by
17 or through its members, or duly authorized representatives,
18 whenever it shall deem it necessary or proper in carrying out
19 any of the provisions of, or its duties under this part, to
20 enter upon the premises, buildings, machinery, system, plant,
21 and equipment, and make any inspection, valuation, physical
22 examination, inquiry, or investigation of any and all plant and
23 equipment, facilities, property, and pertinent records, books,
24 papers, accounts, maps, inventories, appraisals, valuations,
25 memoranda, documents, or effects whatsoever, of any public
26 utility, or prepared or kept for it by others, and to hold any
27 hearing for such purposes. In the performance of such duties,
28 the commission may have access to, and use any books, records,
29 or documents in the possession of, any department, board, or
30 commission of the Commonwealth, or any political subdivision
19770H0489B0533 - 51 -
1 thereof.
2 § 507. Designation of statutory agent.
3 Every public utility, contract carrier by motor vehicle, and
4 broker shall file with the commission a designation in writing
5 of the name and post office address of a person within this
6 Commonwealth upon whom service of any notice, order, or process
7 may be made under this part. Such designation may, from time to
8 time, be changed by like writing similarly filed.
9 § 508. Contracts between public utilities and municipalities.
10 Except for a contract between a public utility and a
11 municipal corporation to furnish service at the regularly filed
12 and published tariff rates, no contract or agreement between any
13 public utility and any municipal corporation shall be valid
14 unless filed with the commission at least 30 days prior to its
15 effective date. Upon notice to the municipal authorities, and
16 the public utility concerned, the commission may, prior to the
17 effective date of such contract or agreement, institute
18 proceedings to determine the reasonableness, legality or any
19 other matter affecting the validity thereof. Upon the
20 institution of such proceedings, such contract or agreement
21 shall not be effective until the commission grants its approval
22 thereof.
23 § 509. Power of commission to vary, reform and revise
24 contracts.
25 The commission shall have power and authority to vary,
26 reform, or revise, upon a fair, reasonable, and equitable basis,
27 any obligations, terms, or conditions of any contract heretofore
28 or hereafter entered into between any public utility and any
29 person, corporation, or municipal corporation, which embrace or
30 concern a public right, benefit, privilege, duty, or franchise,
19770H0489B0533 - 52 -
1 or the grant thereof, or are otherwise affected or concerned
2 with the public interest and the general well-being of this
3 Commonwealth. Whenever the commission shall determine, after
4 reasonable notice and hearing, upon its own motion or upon
5 complaint, that any such obligations, terms, or conditions are
6 unjust, unreasonable, inequitable, or otherwise contrary or
7 adverse to the public interest and the general well-being of
8 this Commonwealth, the commission shall determine and prescribe,
9 by findings and order, the just, reasonable, and equitable
10 obligations, terms, and conditions of such contract. Such
11 contract, as modified by the order of the commission, shall
12 become effective 30 days after service of such order upon the
13 parties to such contract.
14 § 510. Regulation of manufacture, sale or lease of appliances.
15 It is unlawful for any public utility engaged in the
16 manufacture, sale, or lease of any appliance or equipment
17 offered by such public utility for sale to the public to:
18 (1) Discontinue service to any consumer for failure of
19 such consumer to pay the whole, or any installment, of the
20 purchase price, or rental, of any appliance or equipment sold
21 to such consumer.
22 (2) Apply to the purchase price or rental, or any part
23 thereof, of any appliance or equipment purchased by, or
24 leased to, a consumer of the service of the public utility,
25 any deposit or other moneys of the consumer in the possession
26 of the public utility. This restriction does not apply to any
27 claims of the public utility against such consumer when such
28 claims arise from damages to meters or other facilities used
29 to measure and ascertain the quantity of service rendered by
30 the public utility.
19770H0489B0533 - 53 -
1 (3) Employ in the manufacture, sale, or lease of any
2 such appliance or equipment, any property used in, or revenue
3 derived from, the rendering of service to the public, unless
4 separate accounts as to the property used and the costs
5 incurred by, and the revenue derived from, the manufacture,
6 lease, or sale of such appliance or equipment are adopted,
7 used, and kept by the public utility.
8 (4) Employ in the manufacture, sale, or lease of any
9 such appliance or equipment, the service of any officer or
10 employee engaged in rendering service to the public, unless
11 separate accounts as to the amount paid to such officer or
12 employee, while engaged in the manufacture, lease or sale of
13 such appliance or equipment, and whether any amount be
14 salary, bonus, commission, or expense are adopted, used, and
15 kept by the public utility.
16 § 511. Assessment for regulatory expenses upon public
17 utilities.
18 (a) Determination of assessment.--Before March 1 of each
19 year, the commission shall estimate its total expenditures in
20 the administration of this part for the fiscal year beginning
21 July of that year, which estimate shall not exceed three-tenths
22 of 1% of the total gross intrastate operating revenues of the
23 public utilities under its jurisdiction for the preceding
24 calendar year. Such estimate shall be submitted to the Governor,
25 and to the appropriation committees of the House and Senate
26 through their respective chairmen, for their respective
27 approvals of such estimate in the amount submitted or such
28 lesser amount as each of them may determine. Unless the
29 Governor, or either committee through its chairman, shall notify
30 the commission in writing of his or its action within 30 days
19770H0489B0533 - 54 -
1 after such submission, the estimate as submitted shall be deemed
2 approved by him or by the committee. The least of the amounts so
3 approved by the three approving authorities shall be the final
4 estimate; and approval of such least amount shall constitute
5 compliance with section 604 of the act of April 9, 1929
6 (P.L.177, No.175), known as "The Administrative Code of 1929."
7 The commission or its designated representatives shall be
8 afforded an opportunity to appear before the Senate and House
9 Appropriations Committees regarding their estimates. The
10 commission shall subtract from the final estimate:
11 (1) the estimated fees to be collected pursuant to
12 section 317 (relating to fees for services rendered by
13 commission); and
14 (2) the estimated balance of the appropriation,
15 specified in section 512 (relating to disposition,
16 appropriation and disbursement of assessments and fees), to
17 be carried over into such fiscal year from the preceding one.
18 The remainder so determined, herein called the total assessment,
19 shall be allocated to, and paid by, such public utilities in the
20 manner prescribed in this part.
21 (b) Allocation of assessment.--On or before March 31 of each
22 year, every public utility shall file with the commission a
23 statement under oath showing its gross intrastate operating
24 revenues for the preceding calendar year. If any public utility
25 shall fail to file such statement on or before March 31, the
26 commission shall estimate such revenues, which estimate shall be
27 binding upon the public utility for the purposes of this
28 section. For each fiscal year, the allocation shall be made as
29 follows:
30 (1) The commission shall determine for the preceding
19770H0489B0533 - 55 -
1 calendar year the amount of its expenditures directly
2 attributable to the regulation of each group of utilities
3 furnishing the same kind of service, and debit the amount so
4 determined to such group.
5 (2) The commission shall also determine for the
6 preceding calendar year the balance of its expenditures, not
7 debited as aforesaid, and allocate such balance to each group
8 in the proportion which the gross intrastate operating
9 revenues of such group for that year bear to the gross
10 intrastate operating revenues of all groups for that year.
11 (3) The commission shall then allocate the total
12 assessment prescribed by subsection (a) to each group in the
13 proportion which the sum of the debits made to it bears to
14 the sum of the debits made to all groups.
15 (4) Each public utility within a group shall then be
16 assessed for and shall pay to the commission such proportion
17 of the amount allocated to its group as the gross intrastate
18 operating revenues of the public utility for the preceding
19 calendar year bear to the total gross intrastate operating
20 revenues of its group for that year.
21 (c) Notice, hearing and payment.--The commission shall give
22 notice by registered or certified mail to each public utility of
23 the amount lawfully charged against it under the provisions of
24 this section, which amount shall be paid by the public utility
25 within 30 days of receipt of such notice, unless the commission
26 specifies on the notices sent to all public utilities an
27 installment plan of payment, in which case each public utility
28 shall pay each installment on or before the date specified
29 therefor by the commission. Within 15 days after receipt of such
30 notice, the public utility against which such assessment has
19770H0489B0533 - 56 -
1 been made may file with the commission objections setting out in
2 detail the grounds upon which the objector regards such
3 assessment to be excessive, erroneous, unlawful or invalid. The
4 commission, after notice to the objector, shall hold a hearing
5 upon such objections. After such hearing, the commission shall
6 record upon its minutes its findings on the objections and shall
7 transmit to the objector, by registered or certified mail,
8 notice of the amount, if any, charged against it in accordance
9 with such findings, which amount or any installment thereof then
10 due, shall be paid by the objector within ten days after receipt
11 of notice of the findings of the commission with respect to such
12 objections. If any payment prescribed by this subsection is not
13 made as aforesaid, the commission may suspend or revoke
14 certificates of public convenience, certify automobile
15 registrations to the Department of Transportation for suspension
16 or revocation or, through the Department of Justice, may
17 institute an appropriate action at law for the amount lawfully
18 assessed, together with any additional cost incurred by the
19 commission or the Department of Justice by virtue of such
20 failure to pay.
21 (d) Suits by public utilities.--No suit or proceeding shall
22 be maintained in any court for the purpose of restraining or in
23 anywise delaying the collection or payment of any assessment
24 made under subsections (a), (b) and (c), but every public
25 utility against which an assessment is made shall pay the same
26 as provided in subsection (c). Any public utility making any
27 such payment may, at any time within two years from the date of
28 payment, sue the Commonwealth in an action at law to recover the
29 amount paid, or any part thereof, upon the ground that the
30 assessment was excessive, erroneous, unlawful, or invalid, in
19770H0489B0533 - 57 -
1 whole or in part, provided objections, as hereinbefore provided,
2 were filed with the commission, and payment of the assessment
3 was made under protest either as to all or part thereof. In any
4 action for recovery of any payments made under this section, the
5 claimant shall be entitled to raise every relevant issue of law,
6 but the findings of fact made by the commission, pursuant to
7 this section, shall be prima facie evidence of the facts therein
8 stated. Any records, books, data, documents, and memoranda
9 relating to the expenses of the commission shall be admissible
10 in evidence in any court and shall be prima facie evidence of
11 the truth of their contents. If it is finally determined in any
12 such action that all or any part of the assessment for which
13 payment was made under protest was excessive, erroneous,
14 unlawful, or invalid, the commission shall make a refund to the
15 claimant out of the appropriation specified in section 512 as
16 directed by the court.
17 (e) Certain provisions not applicable.--The provisions of
18 this part relating to the judicial review of orders and
19 determinations of the commission shall not be applicable to any
20 findings, determinations, or assessments made under this
21 section.
22 (f) Intent of section.--It is the intent and purpose of this
23 section that each public utility subject to this part shall
24 advance to the commission its reasonable share of the cost of
25 administering this part. The commission shall keep records of
26 the costs incurred in connection with the administration and
27 enforcement of this part or any other statute. The commission
28 shall also keep a record of the manner in which it shall have
29 computed the amount assessed against every public utility. Such
30 records shall be open to inspection by all interested parties.
19770H0489B0533 - 58 -
1 The determination of such costs and assessments by the
2 commission, and the records and data upon which the same are
3 made, shall be considered prima facie correct; and in any
4 proceeding instituted to challenge the reasonableness or
5 correctness of any assessment under this section, the party
6 challenging the same shall have the burden of proof.
7 (g) Saving provision.--This section does not affect or
8 repeal any of the provisions of the act of July 31, 1968
9 (P.L.769, No.240), known as the "Commonwealth Documents Law."
10 § 512. Disposition, appropriation and disbursement of
11 assessments and fees.
12 (a) Payment into General Fund.--All assessments and fees
13 received, collected or recovered under this chapter shall be
14 paid by the commission into the General Fund of the State
15 Treasury through the Department of Revenue.
16 (b) Use and appropriation of funds.--All such assessments
17 and fees, having been advanced by public utilities for the
18 purpose of defraying the cost of administering this part, shall
19 be held in trust solely for that purpose, and shall be earmarked
20 for the use of, and are hereby appropriated to, the commission
21 for disbursement solely for that purpose.
22 (c) Requisition of funds.--All requisitions upon such
23 appropriation shall be signed by the chairman and secretary of
24 the commission, or such deputies as they may designate in
25 writing to the State Treasurer, and shall be presented to the
26 State Treasurer and dealt with by him and the Treasury
27 Department in the manner prescribed by the act of April 9, 1929
28 (P.L.343, No.176), known as "The Fiscal Code."
29 § 513. Power of commission to require insurance.
30 The commission may, as to motor carriers, prescribe, by
19770H0489B0533 - 59 -
1 regulation or order, such requirements as it may deem necessary
2 for the protection of persons or property of their patrons and
3 the public, including the filing of surety bonds, the carrying
4 of insurance, or the qualifications and conditions under which
5 such carriers may act as self-insurers with respect to such
6 matters. All motor carriers of passengers, whose current liquid
7 assets do not exceed their current liabilities by at least
8 $100,000, shall cover each and every vehicle, transporting such
9 passengers, with a public liability insurance policy or a surety
10 bond issued by an insurance carrier or a bonding company
11 authorized to do business in this Commonwealth, in such amounts
12 as the commission may prescribe, but not less than $5,000 for
13 one and $10,000 for more than one person injured in any one
14 accident.
15 § 514. Public letting of contracts.
16 Whenever the commission deems that the public interest so
17 requires, it may direct, by regulation or order, that any public
18 utility shall award contracts or agreements for the
19 construction, improvement, or extension, of its plant or system
20 to the lowest responsible bidder, after a public offering has
21 been made, after advertisement and notice. Any such public
22 utility may participate as a bidder in any such public offering.
23 The commission may prescribe regulations relative to such
24 advertisement, notice, and public letting.
25 CHAPTER 7
26 PROCEDURE ON COMPLAINTS
27 Sec.
28 701. Complaints.
29 702. Service of complaints on parties.
30 703. Fixing of hearings.
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1 § 701. Complaints.
2 The commission, or any person, corporation, or municipal
3 corporation having an interest in the subject matter, or any
4 public utility concerned, may complain in writing, setting forth
5 any act or thing done or omitted to be done by any public
6 utility in violation, or claimed violation, of any law which the
7 commission has jurisdiction to administer, or of any regulation
8 or order of the commission. Any public utility, or other person,
9 or corporation likewise may complain of any regulation or order
10 of the commission, which the complainant is or has been required
11 by the commission to observe or carry into effect. The
12 Commonwealth through the Attorney General may be a complainant
13 before the commission in any matter solely as an advocate for
14 the Commonwealth as a consumer of public utility services. The
15 commission may prescribe the form of complaints filed under this
16 section.
17 § 702. Service of complaints on parties.
18 Upon the filing of a complaint, the commission shall serve
19 upon each party named in the complaint a copy of the complaint
20 and notice from the commission calling upon such party to
21 satisfy the complaint, or to answer the same in writing, within
22 such time as is specified by the commission in the notice.
23 Service in all hearings, investigations and proceedings pending
24 before the commission shall be made by registered or certified
25 mail.
26 § 703. Fixing of hearings.
27 (a) Satisfaction of complaint or hearing.--If any party
28 complained against, within the time specified by the commission,
29 shall satisfy the complaint, the commission shall dismiss the
30 complaint. Such party shall be relieved from responsibility only
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1 for the specific matter complained of. If such party shall not
2 satisfy the complaint within the time specified, and it shall
3 appear to the commission from a consideration of the complaint
4 and answer, or otherwise, that reasonable ground exists for
5 investigating such complaint, it shall be the duty of the
6 commission to fix a time and place for a hearing.
7 (b) Notice of hearing.--The commission shall fix the time
8 and place of hearing, within or without this Commonwealth, if
9 any is required, and shall serve notice thereof upon parties in
10 interest. The commission may dismiss any complaint without a
11 hearing if, in its opinion, a hearing is not necessary in the
12 public interest.
13 (c) Hearing and record.--All hearings before the commission,
14 or its representative, shall be public, and shall be conducted
15 in accordance with such regulations as the commission may
16 prescribe. A full and complete record shall be kept of all
17 proceedings had before the commission, or its representative, on
18 any formal hearing, and all testimony shall be taken down by a
19 reporter appointed by the commission, and the parties shall be
20 entitled to be heard in person or by attorney, and to introduce
21 evidence.
22 (d) Informal hearings.--The commission may, in addition to
23 the hearings specially provided by this part, conduct such other
24 hearings as may be required in the administration of the powers
25 and duties conferred upon it by this part and by other acts
26 relating to public utilities. Reasonable notice of all such
27 hearings shall be given the persons interested therein.
28 (e) Decisions by commission.--After the conclusion of the
29 hearing, the commission shall make and file its findings and
30 order with its opinion, if any. Its findings shall be in
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1 sufficient detail to enable the court on appeal, to determine
2 the controverted question presented by the proceeding, and
3 whether proper weight was given to the evidence. A copy of such
4 order, certified under the seal of the commission, shall be
5 served by registered or certified mail upon the party or parties
6 against whom it runs, or his attorney, and notice thereof shall
7 be given to the other parties to the proceedings or their
8 attorney. Such order shall take effect and become operative as
9 designated therein, and shall continue in force either for a
10 period which may be designated therein, or until changed or
11 revoked by the commission. The commission may grant and
12 prescribe such additional time as, in its judgment, is
13 reasonably necessary to comply with the order, and may, on
14 application and for good cause shown, extend the time for
15 compliance fixed in its order.
16 (f) Rehearing.--After an order has been made by the
17 commission, any party to the proceedings may, within 15 days
18 after the service of the order, apply for a rehearing in respect
19 of any matters determined in such proceedings and specified in
20 the application for rehearing, and the commission may grant and
21 hold such rehearing on such matters. No application for a
22 rehearing shall in anywise operate as a supersedeas, or in any
23 manner stay or postpone the enforcement of any existing order,
24 except as the commission may, by order, direct. If the
25 application be granted, the commission may affirm, rescind, or
26 modify its original order.
27 (g) Rescission and amendment of orders.--The commission may,
28 at any time, after notice and after opportunity to be heard as
29 provided in this chapter, rescind or amend any order made by it.
30 Any order rescinding or amending a prior order shall, when
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1 served upon the person, corporation, or municipal corporation
2 affected, and after notice thereof is given to the other parties
3 to the proceedings, have the same effect as is herein provided
4 for original orders.
5 CHAPTER 9
6 APPEAL AND REVIEW
7 Sec.
8 901. Right to trial by jury.
9 § 901. Right to trial by jury.
10 Nothing in this part shall be construed to deprive any party,
11 upon any judicial review of the proceedings and orders of the
12 commission, of the right to trial by jury of any issue of fact
13 raised thereby or therein, where such right is secured either by
14 the Constitution of Pennsylvania or the Constitution of the
15 United States, but in every such case such right of trial by
16 jury shall remain inviolate. When any judicial review is sought,
17 such right shall be deemed to be waived upon all issues, unless
18 expressly reserved in such manner as shall be prescribed by the
19 court.
20 SUBPART C
21 REGULATION OF PUBLIC UTILITIES GENERALLY
22 Chapter
23 11. Certificates of Public Convenience
24 13. Rates and Rate Making
25 15. Service and Facilities
26 17. Accounting and Budgetary Matters
27 19. Securities and Obligations
28 21. Relations with Affiliated Interests
29 CHAPTER 11
30 CERTIFICATES OF PUBLIC CONVENIENCE
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1 Sec.
2 1101. Organization of public utilities and beginning of
3 service.
4 1102. Enumeration of acts requiring certificate.
5 1103. Procedure to obtain certificates of public convenience.
6 1104. Certain appropriations by right of eminent domain
7 prohibited.
8 § 1101. Organization of public utilities and beginning of
9 service.
10 Upon the application of any proposed public utility and the
11 approval of such application by the commission evidenced by its
12 certificate of public convenience first had and obtained, it
13 shall be lawful for any such proposed public utility to begin to
14 offer, render, furnish, or supply service within this
15 Commonwealth. The commission's certificate of public convenience
16 granted under the authority of this section shall include a
17 description of the nature of the service and of the territory in
18 which it may be offered, rendered, furnished or supplied.
19 § 1102. Enumeration of acts requiring certificate.
20 (a) General rule.--Upon the application of any public
21 utility and the approval of such application by the commission,
22 evidenced by its certificate of public convenience first had and
23 obtained, and upon compliance with existing laws, it shall be
24 lawful:
25 (1) For any public utility to begin to offer, render,
26 furnish or supply within this Commonwealth service of a
27 different nature or to a different territory than that
28 authorized by:
29 (i) A certificate of public convenience granted
30 under this part or under the former provisions of the act
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1 of July 26, 1913 (P.L.1374, No.854), known as "The Public
2 Service Company Law," or the act of May 28, 1937
3 (P.L.1053, No.286), known as the "Public Utility Law."
4 (ii) An unregistered right, power or privilege
5 preserved by section 103 (relating to prior rights
6 preserved).
7 (2) For any public utility to abandon or surrender, in
8 whole or in part, any service, except that this provision is
9 not applicable to discontinuance of service to a patron for
10 nonpayment of a bill, or upon request of a patron.
11 (3) For any public utility or an affiliated interest of
12 a public utility as defined in section 2101 (relating to
13 definition of affiliated interest), except a common carrier
14 by railroad subject to the Interstate Commerce Act, to
15 acquire from, or to transfer to, any person or corporation,
16 including a municipal corporation, by any method or device
17 whatsoever, including the sale or transfer of stock and
18 including a consolidation, merger, sale or lease, the title
19 to, or the possession or use of, any tangible or intangible
20 property used or useful in the public service. Such approval
21 shall not be required if:
22 (i) the undepreciated book value of the property to
23 be acquired or transferred does not exceed $1,000;
24 (ii) the undepreciated book value of the property to
25 be acquired or transferred does not exceed the lesser of:
26 (A) 2% of the undepreciated book value of all
27 fixed assets of such public utility; or
28 (B) $5,000 in the case of personalty or $50,000
29 in the case of realty;
30 (iii) the property to be acquired is to be installed
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1 new as a part of or consumed in the operation of the used
2 and useful property of such public utility; or
3 (iv) the property to be transferred by such public
4 utility is obsolete, worn out or otherwise unserviceable.
5 Subparagraphs (i) through (iv) shall not be applicable, and
6 approval of the commission evidenced by a certificate of
7 public convenience shall be required, if any such acquisition
8 or transfer of property involves a transfer of patrons.
9 (4) For any public utility to acquire 5% or more of the
10 voting capital stock of any corporation.
11 (5) For any municipal corporation to acquire, construct,
12 or begin to operate, any plant, equipment, or other
13 facilities for the rendering or furnishing to the public of
14 any public utility service beyond its corporate limits.
15 (b) Protection of railroad employees.--As a condition of its
16 approval of any transaction covered by this section and
17 involving those railroad carriers wholly located within this
18 Commonwealth subject to the provisions of this part, the
19 commission shall require a fair and equitable arrangement to
20 protect the interests of the railroad employees affected and the
21 commission shall include in its order of approval the terms and
22 conditions it deems fair and equitable for the protection of the
23 employees. The terms and conditions which the commission
24 prescribes shall provide that, during the period of four years
25 from the effective date of the order, the employees of the
26 railroad carrier affected by the order shall not be in a worse
27 position with respect to their employment except that any
28 protection afforded an employee shall not be required to
29 continue for a period longer than that during which the employee
30 was in the employ of the railroad carrier prior to the effective
19770H0489B0533 - 67 -
1 date of the order. Notwithstanding any other provision of this
2 section, the commission may accept as fair and equitable an
3 agreement pertaining to the protection of the interests of the
4 employees entered into by the railroad carrier and the duly
5 authorized representatives of the employees.
6 § 1103. Procedure to obtain certificates of public
7 convenience.
8 (a) General rule.--Every application for a certificate of
9 public convenience shall be made to the commission in writing,
10 be verified by oath or affirmation, and be in such form, and
11 contain such information, as the commission may require by its
12 regulations. A certificate of public convenience shall be
13 granted by order of the commission, only if the commission shall
14 find or determine that the granting of such certificate is
15 necessary or proper for the service, accommodation, convenience,
16 or safety of the public. The commission, in granting such
17 certificate, may impose such conditions as it may deem to be
18 just and reasonable. In every case, the commission shall make a
19 finding or determination in writing, stating whether or not its
20 approval is granted. Any holder of a certificate of public
21 convenience, exercising the authority conferred by such
22 certificate, shall be deemed to have waived any and all
23 objections to the terms and conditions of such certificate.
24 (b) Investigations and hearings.--For the purpose of
25 enabling the commission to make such finding or determination,
26 it shall hold such hearings, which shall be public, and, before
27 or after hearing, it may make such inquiries, physical
28 examinations, valuations, and investigations, and may require
29 such plans, specifications, and estimates of cost, as it may
30 deem necessary or proper in enabling it to reach a finding or
19770H0489B0533 - 68 -
1 determination.
2 § 1104. Certain appropriations by right of eminent domain
3 prohibited.
4 Unless its power of eminent domain existed under prior law,
5 no domestic public utility or foreign public utility authorized
6 to do business in this Commonwealth shall exercise any power of
7 eminent domain within this Commonwealth until it shall have
8 received the certificate of public convenience required by
9 section 1101 (relating to organization of public utilities and
10 beginning of service).
11 CHAPTER 13
12 RATES AND RATE MAKING
13 Sec.
14 1301. Rates to be just and reasonable.
15 1302. Tariffs; filing and inspection.
16 1303. Adherence to tariffs.
17 1304. Discrimination in rates.
18 1305. Advance payment of rates; interest on deposits.
19 1306. Apportionment of joint rates.
20 1307. Sliding scale of rates; adjustments.
21 1308. Voluntary changes in rates.
22 1309. Rates fixed on complaint; investigation of costs of
23 production.
24 1310. Temporary rates.
25 1311. Valuation of property of a public utility.
26 1312. Refunds.
27 1313. Price upon resale of public utility services.
28 § 1301. Rates to be just and reasonable.
29 Every rate made, demanded, or received by any public utility,
30 or by any two or more public utilities jointly, shall be just
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1 and reasonable, and in conformity with regulations or orders of
2 the commission. Only public utility service being furnished or
3 rendered by a municipal corporation, or by the operating
4 agencies of any municipal corporation, beyond its corporate
5 limits, shall be subject to regulation and control by the
6 commission as to rates, with the same force, and in like manner,
7 as if such service were rendered by a public utility.
8 § 1302. Tariffs; filing and inspection.
9 Under such regulations as the commission may prescribe, every
10 public utility shall file with the commission, within such time
11 and in such form as the commission may designate, tariffs
12 showing all rates established by it and collected or enforced,
13 or to be collected or enforced, within the jurisdiction of the
14 commission. The tariffs of any public utility also subject to
15 the jurisdiction of a Federal regulatory body shall correspond,
16 so far as practicable, to the form of those prescribed by such
17 Federal regulatory body. Every public utility shall keep copies
18 of such tariffs open to public inspection under such rules and
19 regulations as the commission may prescribe.
20 § 1303. Adherence to tariffs.
21 No public utility shall, directly or indirectly, by any
22 device whatsoever, or in anywise, demand or receive from any
23 person, corporation, or municipal corporation a greater or less
24 rate for any service rendered or to be rendered by such public
25 utility than that specified in the tariffs of such public
26 utility applicable thereto. The rates specified in such tariffs
27 shall be the lawful rates of such public utility until changed,
28 as provided in this part. Any public utility, having more than
29 one rate applicable to service rendered to a patron, shall,
30 after notice of service conditions, compute bills under the rate
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1 most advantageous to the patron.
2 § 1304. Discrimination in rates.
3 No public utility shall, as to rates, make or grant any
4 unreasonable preference or advantage to any person, corporation,
5 or municipal corporation, or subject any person, corporation, or
6 municipal corporation to any unreasonable prejudice or
7 disadvantage. No public utility shall establish or maintain any
8 unreasonable difference as to rates, either as between
9 localities or as between classes of service. Unless specifically
10 authorized by the commission, no public utility shall make,
11 demand, or receive any greater rate in the aggregate for the
12 transportation of passengers or property of the same class, or
13 for the transmission of any message or conversation for a
14 shorter than for a longer distance over the same line or route
15 in the same direction, the shorter being included within the
16 longer distance, or any greater rate as a through rate than the
17 aggregate of the intermediate rates. This section does not
18 prohibit the establishment of reasonable zone or group systems,
19 or classifications of rates or, in the case of common carriers,
20 the issuance of excursion, commutation, or other special tickets
21 at special rates, or the granting of nontransferable free
22 passes, or passes at a discount to any officer, employee, or
23 pensioner of such common carrier. No rate charged by a
24 municipality for any public utility service rendered or
25 furnished beyond its corporate limits shall be considered
26 unjustly discriminatory solely by reason of the fact that a
27 different rate is charged for a similar service within its
28 corporate limits.
29 § 1305. Advance payment of rates; interest on deposits.
30 No public utility shall require the payment of rates in
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1 advance, or the making of minimum payments, ready to serve
2 charges, or deposits to secure future payments of rates, except
3 as the commission, by regulation or order, may permit. Any
4 deposit made by any domestic consumer, under the provisions of
5 this section or under any repealed statute supplied by this
6 part, shall be returned with any interest due thereon to the
7 consumer making such deposit when he shall have paid undisputed
8 bills for service over a period of 12 consecutive months.
9 § 1306. Apportionment of joint rates.
10 Where public utilities entitled to share in any joint rate
11 shall be unable to agree upon the division thereof, or shall
12 make any unjust or unreasonable division or apportionment
13 thereof, the commission may, after hearing, upon its own motion
14 or upon complaint, fix the proportion to which each public
15 utility shall be entitled.
16 § 1307. Sliding scale of rates; adjustments.
17 (a) General rule.--Any public utility, except a common
18 carrier, may establish a sliding scale of rates or such other
19 method for the automatic adjustment of the rates of the public
20 utility as shall provide a just and reasonable return on the
21 fair value of the property used and useful in the public
22 service, to be determined upon such equitable or reasonable
23 basis as shall provide such fair return. A tariff showing the
24 scale of rates under such arrangement shall first be filed with
25 the commission, and such tariff, and each rate set out therein,
26 approved by it. The commission may revoke its approval at any
27 time and fix other rates for any such public utility if, after
28 notice and hearing, the commission finds the existing rates
29 unjust or unreasonable.
30 (b) Mandatory system for automatic adjustment.--The
19770H0489B0533 - 72 -
1 commission, by regulation or order, upon reasonable notice and
2 after hearing, may prescribe for any class of public utilities,
3 except a common carrier, a mandatory system for the automatic
4 adjustment of their rates, by means of a sliding scale of rates
5 or other method, on the same basis as provided in subsection
6 (a), to become effective when and in the manner prescribed in
7 such regulation or order. Every such public utility shall,
8 within such time as shall be prescribed by the commission, file
9 tariffs showing the rates established in accordance with such
10 regulation or order.
11 (c) Fuel cost adjustment.--In any method automatically
12 adjusting rates to reflect changes in fossil fuel cost under
13 this section, the fuel cost used in computing the adjustment
14 shall be limited, in the case of an electric utility, to the
15 cost of such fuel delivered to the utility at the generating
16 site at which it is to be consumed, and the cost of disposing of
17 solid waste from scrubbers or other devices designed so that the
18 consumption of Pennsylvania-mined coal at the generating site
19 would comply with the sulfur oxide emission standards prescribed
20 by the Commonwealth. The cost of fuel handling after such
21 delivery, or of waste disposal, other than as prescribed in this
22 section, shall be excluded from such computation. In any method
23 automatically adjusting rates to reflect changes in fuel cost
24 other than fossil fuel cost under this section, the fuel cost
25 used in computing the adjustment shall be limited, in the case
26 of an electric utility, to the cost of such fuel delivered to
27 the utility at the generating site at which it is to be consumed
28 after deducting therefrom the present salvage or reuse value of
29 such fuel, as shall be established by commission rule or order.
30 (d) Fuel cost adjustment audits.--The commission shall
19770H0489B0533 - 73 -
1 conduct or cause to be conducted, at such times as it may order,
2 but at least annually, an audit of each public utility which, by
3 any method described in this section, automatically adjusts its
4 rates to reflect changes in its fuel costs, which audit shall
5 enable the commission to determine the propriety and correctness
6 of amounts billed and collected under this section. Whoever
7 performs the audit shall be a person knowledgable in the subject
8 matter encompassed within the operation of the automatic
9 adjustment clause. The auditors report shall be in a form and
10 manner directed by the commission.
11 (e) Automatic adjustment reports and proceedings.--
12 (1) Within 30 days following the end of such 12-month
13 period as the commission shall designate, each public utility
14 using an automatic adjustment clause shall file with the
15 commission a statement which shall specify for such period:
16 (i) the total revenues received pursuant to the
17 automatic adjustment clause;
18 (ii) the total amount of that expense or class of
19 expenses incurred which is the basis of the automatic
20 adjustment clause; and
21 (iii) the difference between the amounts specified
22 by subparagraphs (i) and (ii).
23 Such report shall be a matter of public record and copies
24 thereof shall be made available to any person upon request to
25 the commission.
26 (2) Within 60 days following the submission of such
27 report by a public utility, the commission shall hold a
28 public hearing on the substance of the report and any matters
29 pertaining to the use by such public utility of such
30 automatic adjustment clause in the preceding period and the
19770H0489B0533 - 74 -
1 present and subsequent periods.
2 (3) Absent good reason being shown to the contrary, the
3 commission shall, within 60 days following such hearing, by
4 order direct each such public utility to, over an appropriate
5 12-month period, refund to its patrons an amount equal to
6 that by which its revenues received pursuant to such
7 automatic adjustment clause exceeded the amount of such
8 expense or class of expenses, or recover from its patrons an
9 amount equal to that by which such expense or class of
10 expenses exceeded the revenues received pursuant to such
11 automatic adjustment clause.
12 (4) For the purpose of this subsection, where a 12-month
13 report period and 12-month refund or recovery period shall
14 have been previously established or designated, nothing in
15 this section shall impair the continued use of such
16 previously established or designated periods nor shall
17 anything in this section prevent the commission from amending
18 at any time any method used by any utility in automatically
19 adjusting its rates, so as to provide the commission more
20 adequate supervision of the administration by a utility of
21 such method and to decrease the likelihood of collection by a
22 utility, in subsequent periods, of amounts greater or less
23 than that to which it is entitled, or, in the event that such
24 deficiency or surplus in connected amounts is found, more
25 prompt readjustment thereof.
26 § 1308. Voluntary changes in rates.
27 (a) General rule.--Unless the commission otherwise orders,
28 no public utility shall make any change in any existing and duly
29 established rate, except after 60 days notice to the commission,
30 which notice shall plainly state the changes proposed to be made
19770H0489B0533 - 75 -
1 in the rates then in force, and the time when the changed rates
2 will go into effect. The public utility shall also give such
3 notice of the proposed changes to other interested persons as
4 the commission in its discretion may direct. All proposed
5 changes shall be shown by filing new tariffs, or supplements to
6 existing tariffs filed and in force at the time. The commission,
7 for good cause shown, may allow changes in rates, without
8 requiring the 60 days notice, under such conditions as it may
9 prescribe.
10 (b) Hearing and suspension of rate change.--Whenever there
11 is filed with the commission by any public utility any tariff
12 stating a new rate, the commission may, either upon complaint or
13 upon its own motion, upon reasonable notice, enter upon a
14 hearing concerning the lawfulness of such rate, and pending such
15 hearing and the decision thereon, the commission, upon filing
16 with such tariff and delivering to the public utility affected
17 thereby a statement in writing of its reasons therefor, may, at
18 any time before it becomes effective, suspend the operation of
19 such rate for a period not longer than six months from the time
20 such rate would otherwise become effective, and an additional
21 period of not more than three months pending such decision. The
22 rate in force when the tariff stating the new rate was filed
23 shall continue in force during the period of suspension, unless
24 the commission shall establish a temporary rate as authorized in
25 section 1310 (relating to temporary rates). The commission shall
26 consider the effect of such suspension in finally determining
27 and prescribing the rates to be thereafter charged and collected
28 by such public utility. This subsection does not apply to any
29 tariff stating a new rate which constitutes a general rate
30 increase as defined in subsection (d).
19770H0489B0533 - 76 -
1 (c) Determination.--If, after such hearing, the commission
2 finds any such rate to be unjust or unreasonable, or in anywise
3 in violation of law, the commission shall determine the just and
4 reasonable rate to be charged or applied by the public utility
5 for the service in question, and shall fix the same by order to
6 be served upon the public utility.
7 (d) General rate increases.--Whenever there is filed with
8 the commission by any public utility described in paragraph
9 (1)(i),(ii),(vi) or (vii) of the definition of "public utility"
10 in section 102 (relating to definitions), and such other public
11 utility as the commission may by rule or regulation direct, any
12 tariff stating a new rate which constitutes a general rate
13 increase, the commission shall promptly enter into an
14 investigation and analysis of said tariff filing and may by
15 order setting forth its reasons therefor, upon complaint or upon
16 its own motion, upon reasonable notice, enter upon a hearing
17 concerning the lawfulness of such rate, and the commission may,
18 at any time by vote of a majority of the members of the
19 commission serving in accordance with law, permit such tariff to
20 become effective, except that absent such order such tariff
21 shall be suspended for a period not to exceed seven months from
22 the time such rate would otherwise become effective. Before the
23 expiration of such seven-month period, a majority of the members
24 of the commission serving in accordance with law, acting
25 unanimously, shall make a final decision and order, setting
26 forth its reasons therefor, granting or denying, in whole or in
27 part, the general rate increase requested. If, however, such an
28 order has not been made at the expiration of such seven-month
29 period, the proposed general rate increase shall go into effect
30 at the end of such period, but the commission may by order
19770H0489B0533 - 77 -
1 require the interested public utility to refund, in accordance
2 with section 1312 (relating to refunds), to the persons in whose
3 behalf such amounts were paid, such portion of such increased
4 rates as by its decision shall be found not justified, plus
5 interest, which shall be the average rate of interest specified
6 for residential mortgage lending by the Secretary of Banking in
7 accordance with the act of January 30, 1974 (P.L.13, No.6),
8 referred to as the Loan Interest and Protection Law, during the
9 period or periods for which the commission orders refunds. The
10 rate in force when the tariff stating such new rate was filed
11 shall continue in force during the period of suspension unless
12 the commission shall grant extraordinary rate relief as
13 prescribed in subsection (e). The commission shall consider the
14 effect of such suspension in finally determining and prescribing
15 the rates to be thereafter charged and collected by such public
16 utility, except that the commission shall have no authority to
17 prescribe, determine or fix, at any time during the pendency of
18 a general rate increase proceeding or prior to a final
19 determination of a general rate increase request, temporary
20 rates as provided in section 1310, which rates may provide
21 retroactive increases through recoupment. As used in this part
22 general rate increase means a tariff filing which affects more
23 than 5% of the customers and amounts to in excess of 3% of the
24 total gross annual intrastate operating revenues of the public
25 utility. If the public utility furnishes two or more types of
26 service, the foregoing percentages shall be determined only on
27 the basis of the customers receiving, and the revenues derived
28 from, the type of service to which the tariff filing pertains.
29 (e) Extraordinary rate relief.--Upon petition to the
30 commission at the time of filing of a rate request or at any
19770H0489B0533 - 78 -
1 time during the pendency of proceedings on such rate request,
2 any public utility may seek extraordinary rate relief of such
3 portion of the total rate relief requested as can be shown to be
4 immediately necessary for the maintenance of financial stability
5 in order to enable the utility to continue providing normal
6 services to its customers, avoid reductions in its normal
7 maintenance programs and avoid substantially reducing its
8 employment, and which will provide no more than the rate of
9 return on the utility's common equity established by the
10 commission in consideration of the utility's preceding rate
11 filing except that no utility shall file, either with a request
12 for a general rate increase or at any time during the pendency
13 of such a request, more than one petition under this subsection
14 pertaining to rates for a particular type of service, nor any
15 supplement or amendment thereto, except when permitted to do so
16 by order of the commission. Any public utility requesting
17 extraordinary rate relief shall file with the petition
18 sufficient additional testimony and exhibits which will permit
19 the commission to make appropriate findings on the petition. The
20 public utility shall give notice of the petition in the same
21 manner as its filing upon which this petition is based. The
22 commission shall within 30 days from the date of the filing of a
23 petition for extraordinary rate relief, and after hearing for
24 the purpose of cross-examination of the testimony and exhibits
25 of the public utility, and the presentation of such other
26 evidentiary testimony as the commission may by rule prescribe,
27 by order setting forth its reasons therefor, grant or deny, in
28 whole or in part, the extraordinary relief requested. Absent
29 such order, the petition shall be deemed to have been denied.
30 Rates established pursuant to extraordinary rate relief shall
19770H0489B0533 - 79 -
1 not be deemed to be temporary rates within the meaning of that
2 term as it is used in section 1310.
3 § 1309. Rates fixed on complaint; investigation of costs of
4 production.
5 Whenever the commission, after reasonable notice and hearing,
6 upon its own motion or upon complaint, finds that the existing
7 rates of any public utility for any service are unjust,
8 unreasonable, or in anywise in violation of any provision of
9 law, the commission shall determine the just and reasonable
10 rates, including maximum or minimum rates, to be thereafter
11 observed and in force, and shall fix the same by order to be
12 served upon the public utility, and such rates shall constitute
13 the legal rates of the public utility until changed as provided
14 in this part. Whenever a public utility does not itself produce
15 or generate that which it distributes, transmits, or furnishes
16 to the public for compensation, but obtains the same from
17 another source, the commission shall have the power and
18 authority to investigate the cost of such production or
19 generation in any investigation of the reasonableness of the
20 rates of such public utility.
21 § 1310. Temporary rates.
22 (a) General rule.--The commission may, in any proceeding
23 involving the rates of a public utility, except a proceeding
24 involving a general rate increase, brought either upon its own
25 motion or upon complaint, after reasonable notice and hearing,
26 if it be of opinion that the public interest so requires,
27 immediately fix, determine, and prescribe temporary rates to be
28 charged by such public utility, pending the final determination
29 of such rate proceeding. Such temporary rates, so fixed,
30 determined, and prescribed, shall be sufficient to provide a
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1 return of not less than 5% upon the original cost, less accrued
2 depreciation, of the physical property, when first devoted to
3 public use, of such public utility, used and useful in the
4 public service, and if the duly verified reports of such public
5 utility to the commission do not show such original cost, less
6 accrued depreciation, of such property, the commission may
7 estimate such cost less depreciation and fix, determine, and
8 prescribe rates as hereinbefore provided.
9 (b) Exception where records unavailable.--If any public
10 utility does not have continuing property records, kept in the
11 manner prescribed by the commission under the provisions of
12 section 1702 (relating to continuing property records), then the
13 commission, after reasonable notice and hearing, may establish
14 temporary rates which shall be sufficient to provide a return of
15 not less than an amount equal to the operating income for such
16 prior calendar or fiscal year as the commission may deem proper,
17 to be determined on the basis of data appearing in the annual
18 report of such public utility to the commission for such prior
19 year as the commission may deem proper, plus or minus such
20 return as the commission may prescribe from time to time upon
21 such net changes of the physical property as are reported to and
22 approved for rate-making purposes by the commission. In
23 determining the net changes of the physical property, the
24 commission may, in its discretion, deduct from gross additions
25 to such physical property the amount charged to operating
26 expenses for depreciation or, in lieu thereof, it may determine
27 such net changes by deducting retirements from the gross
28 additions. The commission, in determining the basis for
29 temporary rates, may make such adjustments in the annual report
30 data as may, in the judgment of the commission, be necessary and
19770H0489B0533 - 81 -
1 proper.
2 (c) Periodicity of rates.--The commission may fix,
3 determine, and prescribe temporary rates every month, or at any
4 other interval, if it be of opinion that the public interest so
5 requires, and the existence of proceedings begun for the purpose
6 of establishing final rates shall not prevent the commission
7 from changing every month, or at any other interval, such
8 temporary rates as it has previously fixed, determined, and
9 prescribed.
10 (d) Excessive rates.--Whenever the commission, upon
11 examination of any annual or other report, or of any papers,
12 records, books, or documents, or of the property of any public
13 utility, shall be of opinion that any rates of such public
14 utility are producing a return in excess of a fair return upon
15 the fair value of the property of such public utility, used and
16 useful in its public service, the commission may, by order,
17 prescribe for a trial period of at least six months, which trial
18 period may be extended for one additional period of six months,
19 such temporary rates to be observed by such public utility as,
20 in the opinion of the commission, will produce a fair return
21 upon such fair value, and the rates so prescribed shall become
22 effective upon the date specified in the order of the
23 commission. Such rates, so prescribed, shall become permanent at
24 the end of such trial period, or extension thereof, unless at
25 any time during such trial period, or extension thereof, the
26 public utility involved shall complain to the commission that
27 the rates so prescribed are unjust or unreasonable. Upon such
28 complaint, the commission, after hearing, shall determine the
29 issues involved, and pending final determination the rates so
30 prescribed shall remain in effect.
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1 (e) Effect and adjustment of rates.--Temporary rates so
2 fixed, determined, and prescribed under this section shall be
3 effective until the final determination of the rate proceeding,
4 unless terminated sooner by the commission. In every proceeding
5 in which temporary rates are fixed, determined, and prescribed
6 under this section, the commission shall consider the effect of
7 such rates in fixing, determining, and prescribing rates to be
8 thereafter demanded or received by such public utility on final
9 determination of the rate proceeding.
10 § 1311. Valuation of property of a public utility.
11 The commission may, after reasonable notice and hearing,
12 ascertain and fix the fair value of the whole or any part of the
13 property of any public utility, insofar as the same is material
14 to the exercise of the jurisdiction of the commission, and may
15 make revaluations from time to time and ascertain the fair value
16 of all new construction, extensions, and additions to the
17 property of any public utility. When any public utility
18 furnishes more than one of the different types of utility
19 service, the commission shall segregate the property used and
20 useful in furnishing each type of such service, and shall not
21 consider the property of such public utility as a unit in
22 determining the value of the property of such public utility for
23 the purpose of fixing rates. In fixing any rate of a public
24 utility engaged exclusively as a common carrier by motor
25 vehicle, the commission may, in lieu of other standards
26 established by law, fix the fair return by relating the fair and
27 reasonable operating expenses, depreciation, taxes and other
28 costs of furnishing service to operating revenues.
29 § 1312. Refunds.
30 (a) General rule.--If, in any proceeding involving rates,
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1 the commission shall determine that any rate received by a
2 public utility was unjust or unreasonable, or was in violation
3 of any regulation or order of the commission, or was in excess
4 of the applicable rate contained in an existing and effective
5 tariff of such public utility, the commission shall have the
6 power and authority to make an order requiring the public
7 utility to refund the amount of any excess paid by any patron,
8 in consequence of such unlawful collection, within two years
9 prior to the date of the filing of the complaint, together with
10 interest at the legal rate from the date of each such excessive
11 payment. In making a determination under this section, the
12 commission need not find that the rate complained of was
13 extortionate or oppressive. Any order of the commission awarding
14 a refund shall be made for and on behalf of all patrons subject
15 to the same rate of the public utility. The commission shall
16 state in any refund order the exact amount to be paid, the
17 reasonable time within which payment shall be made, and shall
18 make findings upon pertinent questions of fact.
19 (b) Suit for refund.--If the public utility fails to make
20 refunds within the time for payment fixed by any final order of
21 the commission or court, any patron entitled to any refund may
22 sue therefor in any court of common pleas of this Commonwealth,
23 and the findings and order made by the commission shall be prima
24 facie evidence of the facts therein stated, and that the amount
25 awarded is justly due the plaintiff in such suit, and the
26 defendant public utility shall not be permitted to avail itself
27 of the defense that the service was, in fact, rendered to the
28 plaintiff at the rate contained in its tariffs in force at the
29 time payment was made and received, nor shall the defendant
30 public utility be permitted to avail itself of the defense that
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1 the rate was reasonable. Any patron entitled to any refund shall
2 be entitled to recover, in addition to the amount of refund, a
3 penalty of 50% of the amount of such refund, together with all
4 court costs and reasonable attorney fees. No suit may be
5 maintained for a refund unless instituted within one year from
6 the date of the order of the commission or court. Any number of
7 patrons entitled to such refund may join as plaintiffs and
8 recover their several claims in a single action, in which action
9 the court shall render a judgment severally for each plaintiff
10 as his interest may appear.
11 (c) Condition for suit.--No action shall be brought in any
12 court for a refund, unless and until the commission shall have
13 determined that the rate in question was unjust or unreasonable,
14 or in violation of any regulation or order of the commission, or
15 in excess of the applicable rate contained in an existing and
16 effective tariff, and then only to recover such refunds as may
17 have been awarded and directed to be paid by the commission in
18 such order.
19 § 1313. Price upon resale of public utility services.
20 Whenever any person, corporation or other entity, not a
21 public utility, electric cooperative corporation, municipality
22 authority or municipal corporation, purchases service from a
23 public utility and resells it to consumers, the bill rendered by
24 the reseller to any residential consumer shall not exceed the
25 amount which the public utility would bill its own residential
26 consumers for the same quantity of service under the residential
27 rate of its tariff then currently in effect.
28 CHAPTER 15
29 SERVICE AND FACILITIES
30 Sec.
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1 1501. Character of service and facilities.
2 1502. Discrimination in service.
3 1503. Discontinuance of service.
4 1504. Standards of service and facilities.
5 1505. Proper service and facilities established on complaint.
6 1506. Copies of service contracts, etc., to be filed with
7 commission.
8 1507. Testing of appliances for measurement of service.
9 1508. Reports of accidents.
10 1509. Billing procedures.
11 § 1501. Character of service and facilities.
12 Every public utility shall furnish and maintain adequate,
13 efficient, safe, and reasonable service and facilities, and
14 shall make all such repairs, changes, alterations,
15 substitutions, extensions, and improvements in or to such
16 service and facilities as shall be necessary or proper for the
17 accommodation, convenience, and safety of its patrons,
18 employees, and the public. Such service also shall be reasonably
19 continuous and without unreasonable interruptions or delay. Such
20 service and facilities shall be in conformity with the
21 regulations and orders of the commission. Subject to the
22 provisions of this part and the regulations or orders of the
23 commission, every public utility may have reasonable rules and
24 regulations governing the conditions under which it shall be
25 required to render service. Any public utility service being
26 furnished or rendered by a municipal corporation beyond its
27 corporate limits shall be subject to regulation and control by
28 the commission as to service and extensions, with the same force
29 and in like manner as if such service were rendered by a public
30 utility. The commission shall have sole and exclusive
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1 jurisdiction to promulgate rules and regulations for the
2 allocation of natural or artificial gas supply by a public
3 utility.
4 § 1502. Discrimination in service.
5 No public utility shall, as to service, make or grant any
6 unreasonable preference or advantage to any person, corporation,
7 or municipal corporation, or subject any person, corporation, or
8 municipal corporation to any unreasonable prejudice or
9 disadvantage. No public utility shall establish or maintain any
10 unreasonable difference as to service, either as between
11 localities or as between classes of service, but this section
12 does not prohibit the establishment of reasonable
13 classifications of service.
14 § 1503. Discontinuance of service.
15 (a) Days discontinuance prohibited.--Except when required to
16 prevent or alleviate an emergency as defined by the commission,
17 and except in the case of danger to life or property, no public
18 utility, as defined in paragraph (1)(i),(ii),(v) or (vii) of the
19 definition of "public utility" in section 102 (relating to
20 definitions), shall discontinue, and the commission shall not
21 authorize such a public utility to discontinue, except upon
22 request of the customer, for nonpayment of charges or for any
23 other reason, the rendering of service during the following
24 periods:
25 (1) On Friday, Saturday or Sunday.
26 (2) On a bank holiday or on the day preceding a bank
27 holiday.
28 (3) On a holiday observed by the public utility or on
29 the day preceding such holiday. A holiday observed by a
30 public utility shall mean any day on which the business
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1 office of the public utility is closed to observe a legal
2 holiday, to attend public utility meetings or functions or
3 for any other reason.
4 (4) On a holiday observed by the commission or on the
5 day preceding such holiday.
6 (b) Personal contact before service discontinued.--Except
7 when required to prevent or alleviate an emergency as defined by
8 the commission, and except in the case of danger to life or
9 property, no public utility referred to in subsection (a) shall
10 discontinue, and the commission shall not authorize such a
11 public utility to discontinue, except upon request of a
12 customer, for nonpayment of charges or for any other reason, the
13 rendering of service without personally contacting the customer
14 at least three days prior to such discontinuance, in addition to
15 any written notice of discontinuance of service. Personal
16 contact shall mean:
17 (1) Contacting the customer by means other than writing.
18 (2) Contacting another person whom the customer has
19 designated to receive a copy of any notice of disconnection.
20 (3) If the customer has not made such designation,
21 contacting a community interest group or other entity,
22 including local police departments, which have previously
23 agreed to receive a copy of the notice of disconnection and
24 to attempt to contact the customer.
25 (4) If the customer has not made such designation and no
26 such community interest group or other entity has previously
27 agreed to receive a copy of the notice of disconnection,
28 contacting the commission or such other local government unit
29 as the commission shall, by rule or regulation, designate.
30 § 1504. Standards of service and facilities.
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1 The commission may, after reasonable notice and hearing, upon
2 its own motion or upon complaint:
3 (1) Prescribe as to service and facilities, including
4 the crossing of facilities, just and reasonable standards,
5 classifications, regulations and practices to be furnished,
6 imposed, observed and followed by any or all public
7 utilities.
8 (2) Prescribe adequate and reasonable standards for the
9 measurement of quantity, quality, pressure, initial voltage
10 or other condition pertaining to the supply of the service of
11 any and all public utilities.
12 (3) Prescribe reasonable regulations for the examination
13 and testing of such service, and for the measurement thereof.
14 (4) Prescribe or approve reasonable rules, regulations,
15 specifications and standards to secure the accuracy of all
16 meters and appliances for measurement.
17 (5) Provide for the examination and testing of any and
18 all appliances used for the measurement of any service of any
19 public utility.
20 § 1505. Proper service and facilities established on complaint.
21 Whenever the commission, after reasonable notice and hearing,
22 upon its own motion or upon complaint, finds that the service or
23 facilities of any public utility are unreasonable, unsafe,
24 inadequate, insufficient, or unreasonably discriminatory, or
25 otherwise in violation of this part, the commission shall
26 determine and prescribe, by regulation or order, the reasonable,
27 safe, adequate, sufficient, service or facilities to be
28 observed, furnished, enforced, or employed, including all such
29 repairs, changes, alterations, extensions, substitutions, or
30 improvements in facilities as shall be reasonably necessary and
19770H0489B0533 - 89 -
1 proper for the safety, accommodation, and convenience of the
2 public.
3 § 1506. Copies of service contracts, etc., to be filed with
4 commission.
5 Any public utility shall, when required by the commission,
6 file with the commission verified copies of any and all
7 contracts, writings, agreements, leases, arrangements, or other
8 engagements, in relation to its public service, entered into by
9 such public utility with any person, corporation, State
10 Government, or the Federal Government, or any branch or
11 subdivision thereof, or any other public utility.
12 § 1507. Testing of appliances for measurement of service.
13 Every public utility, furnishing service upon meter or other
14 similar measurement, shall provide, and keep in and upon the
15 premises of such public utility, suitable and proper apparatus,
16 to be approved from time to time and stamped or marked by the
17 commission, for testing and proving the accuracy of meters
18 furnished by such public utility for use; and by which apparatus
19 every meter may be tested, upon the written request of the
20 consumer to whom the same shall be furnished, and in the
21 presence of the consumer, if he shall so desire. If the meter so
22 tested shall be found to be accurate, within such commercially
23 reasonable limits as the commission may fix for such meters, a
24 reasonable fee, to be fixed by the commission, sufficient to
25 cover the cost of such test, shall be paid by the consumer
26 requiring such test; but, if not so found, then the cost thereof
27 shall be borne by the public utility furnishing the meter.
28 § 1508. Reports of accidents.
29 Every public utility shall give immediate notice to the
30 commission of the happening of any accident in or about, or in
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1 connection with, the operation of its service and facilities,
2 wherein any person shall have been killed or injured, and
3 furnish such full and detailed report of such accident, within
4 such time and in such manner as the commission shall require.
5 Such report shall not be open for public inspection, except by
6 order of the commission, and shall not be admitted in evidence
7 for any purpose in any suit or action for damages growing out of
8 any matter or thing mentioned in such report.
9 § 1509. Billing procedures.
10 All bills rendered by a public utility as defined in
11 paragraph (1)(i),(ii),(vi) or (vii) of the definition of "public
12 utility" in section 102 (relating to definitions) to its service
13 customers, except bills for installation charges, shall allow at
14 least 15 days for nonresidential customers and 20 days for
15 residential customers from the date of transmittal of the bill
16 for payment without incurring any late payment penalty charges
17 therefor. All customers shall be permitted to receive bills
18 monthly and shall be notified of their right thereto. All bills
19 shall be itemized to separately show amounts for basic service,
20 Federal excise taxes, applicable State sales and gross receipts
21 taxes, to the extent practicable, fuel adjustment charge, if
22 any, State tax adjustment charge or such other similar
23 components of the total bill as the commission may order. Any
24 electric or gas public utility billing customers on a bimonthly
25 or quarterly basis and rendering interim statements or bills
26 each month shall include in such interim statement or bill an
27 amount for the fuel adjustment charge based upon one-half of the
28 total expected bimonthly kilowatt hour or cubic foot billing or
29 one-third of the total expected quarterly billing and using the
30 fuel adjustment charge rate applicable in the month of the
19770H0489B0533 - 91 -
1 interim statement or bill. At the time of preparing the
2 bimonthly or quarterly bill, an appropriate adjustment shall be
3 made in the total fuel adjustment charge billing for the period.
4 Any public utility rendering bills on a bimonthly basis or
5 quarterly basis shall calculate the fuel adjustment charge per
6 kilowatt hour or cubic foot for the entire period as the
7 weighted average of the two monthly rates or the three monthly
8 rates whichever is applicable.
9 CHAPTER 17
10 ACCOUNTING AND BUDGETARY MATTERS
11 Sec.
12 1701. Mandatory systems of accounts.
13 1702. Continuing property records.
14 1703. Depreciation accounts; reports.
15 1704. Records and accounts to be kept in Commonwealth.
16 1705. Budgets of public utilities.
17 1706. Applicability to municipal corporations.
18 § 1701. Mandatory systems of accounts.
19 The commission may, after reasonable notice and hearing,
20 establish systems of accounts, including cost finding
21 procedures, to be kept by public utilities, or may classify
22 public utilities and establish a system of accounts for each
23 class, and prescribe the manner and form in which such accounts
24 shall be kept. Every public utility shall establish such systems
25 of accounting, and shall keep such accounts in the manner and
26 form required by the commission. The accounting system of any
27 public utility also subject to the jurisdiction of a Federal
28 regulatory body shall correspond, as far as practicable, to the
29 system prescribed by such Federal regulatory body. The
30 commission may require any such public utility to keep and
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1 maintain supplemental or additional accounts to those required
2 by any such regulatory body.
3 § 1702. Continuing property records.
4 The commission may require any public utility to establish,
5 provide, and maintain as a part of its system of accounts,
6 continuing property records, including a list or inventory of
7 all the units of tangible property used or useful in the public
8 service, showing the current location of such property units by
9 definite reference to the specific land parcels upon which such
10 units are located or stored. The commission may require any
11 public utility to keep accounts and records in such manner as to
12 show, currently, the original cost of such property when first
13 devoted to the public service, and the reserve accumulated to
14 provide for the depreciation thereof.
15 § 1703. Depreciation accounts; reports.
16 (a) Accounts.--Every public utility shall carry on its books
17 or records of account, proper and reasonable sums representing
18 the annual depreciation on its property used or useful in the
19 public service, which sums shall be based upon the average
20 estimated life of each of the several units or classes of
21 depreciable property. The commission, by appropriate order,
22 after hearing, shall, except where found to be inappropriate,
23 establish for each class of public utilities, the units of
24 depreciable property, the loss upon the retirement of which
25 shall be charged to the depreciation reserve.
26 (b) Statements.--Every public utility shall file with the
27 commission, at such times and in such form as the commission may
28 prescribe, statements setting forth the details supporting its
29 computation of annual depreciation, as recorded on the books or
30 records of accounts of the public utility. If the commission,
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1 upon review of such statements, is of the opinion that the
2 amount of annual depreciation so recorded by any public utility
3 is not reasonable and proper, it may, after hearing, require
4 that provision be made for annual depreciation in such sums as
5 may be found by it to be reasonable and proper. In making its
6 findings, the commission shall give consideration to the
7 experience of the public utility, and the predecessors of the
8 public utility in accumulating depreciation reserves, the
9 retirements actually made, and such other factors as may be
10 deemed relevant.
11 (c) Use of estimates.--The commission shall not be bound in
12 rate proceedings to accept, as just and reasonable for rate-
13 making purposes, estimates of annual depreciation established
14 under the provisions of this section, but in such rate
15 proceedings it shall give consideration to statements submitted
16 under this section, in addition to such other factors as may be
17 relevant.
18 § 1704. Records and accounts to be kept in Commonwealth.
19 (a) General rule.--Every public utility shall keep such
20 books, accounts, papers, records, and memoranda, as shall be
21 required by the commission, in an office within this
22 Commonwealth, and shall not remove the same, or any of them,
23 from this Commonwealth, except upon such terms and conditions as
24 may be prescribed by the commission.
25 (b) Exceptions.--This section does not apply to a public
26 utility of another state, engaged in interstate commerce, whose
27 accounts are kept at its principal place of business without
28 this Commonwealth, in the manner prescribed by any Federal
29 regulatory body. Such public utility, when required by the
30 commission, shall furnish to the commission, within such
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1 reasonable time as it shall fix, certified copies of its books,
2 accounts, papers, records, and memoranda relating to the
3 business done by such public utility within this Commonwealth.
4 § 1705. Budgets of public utilities.
5 (a) Proposed budgets; adjustments; determination.--The
6 commission may, by regulation, require any class of public
7 utilities, except common carriers, to file proposed budgets with
8 the commission on or before the first day of each budgetary
9 period, showing the amount of money which each public utility
10 within such class, will in its judgment, expend during the
11 budgetary period for payment of salaries of executive officers,
12 donations, advertising, lobbying expenses, entertainment,
13 political contributions, expenditures, and major contracts for
14 the sale or purchase of facilities, and all items covering or
15 contemplating any payment to any affiliated interest for advice,
16 auditing, associating, sponsoring, engineering, managing,
17 operating, financing, legal, or other services. Adjustments or
18 additions to any such budget may be made from time to time by
19 filing supplementary budgets with the commission. When any such
20 budget or supplemental budget has been filed, the commission may
21 examine into and investigate the same to determine whether any
22 or all of the contemplated expenditures are unreasonable or
23 contrary to the public interest and if after reasonable notice
24 and hearing, it shall so determine, it shall make its findings
25 and order in writing rejecting the same or any part thereof.
26 (b) Rejected budgets.--Upon such rejection, the public
27 utility concerned shall not make further expenditures or
28 payments under the budget or part thereof rejected, and no
29 expenditures at any time made under such rejected budget, or
30 part thereof, shall be allowed as an operating expense, or
19770H0489B0533 - 95 -
1 capital expenditure in any rate or valuation proceeding, or in
2 any other proceeding or hearing before the commission, unless
3 and until the propriety thereof shall have been established to
4 the satisfaction of the commission, and any such finding or
5 order shall remain in full force and effect, unless and until
6 such finding or order shall be vacated, modified or set aside by
7 the commission, or upon an appeal, as provided in this part.
8 (c) Use of budgets.--The filing of any budget, its
9 examination, investigation, or determination by the commission,
10 under this section, shall not bar or estop the commission from
11 determining, in any rate valuation or other proceeding, whether
12 any or all of the expenditures made under any budget or
13 supplemental budget are reasonable or commensurate with the
14 service or facilities received.
15 § 1706. Applicability to municipal corporations.
16 The provisions of sections 505 (relating to duty to furnish
17 information to commission; cooperation in valuing property), 506
18 (relating to inspection of facilities and records), 1701
19 (relating to mandatory systems of accounts) and 1703 (relating
20 to depreciation accounts; reports), shall apply to any municipal
21 corporation rendering or furnishing to the public any public
22 utility service.
23 CHAPTER 19
24 SECURITIES AND OBLIGATIONS
25 Sec.
26 1901. Registration of securities to be issued or assumed.
27 1902. Contents of securities certificates.
28 1903. Registration or rejection of securities certificates.
29 1904. Unauthorized securities may be declared void.
30 § 1901. Registration of securities to be issued or assumed.
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1 (a) General rule.--Under such regulations as the commission
2 may prescribe, every public utility, before it shall issue or
3 assume securities, shall file with the commission and receive
4 from it, notice of registration of a document to be known as a
5 securities certificate.
6 (b) Issuance of securities defined.--Issuance of securities
7 includes any act of a public utility executing, causing to be
8 authenticated, delivering or making any change or extension in
9 any term, condition or date of, any stock certificate, or other
10 evidence of equitable interest in itself or any bond, note,
11 trust certificate or other evidence of indebtedness of itself.
12 Issuance of securities does not include the execution,
13 authentication or delivery of the following:
14 (1) Securities to replace identical securities lost,
15 mutilated or destroyed while in the ownership of a bona fide
16 holder-for-value who properly indemnifies the public utility
17 therefor.
18 (2) Securities in exchange for the surrender of
19 identical securities, solely for the purpose of registering
20 or facilitating changes in the ownership thereof between bona
21 fide holders-for-value, which surrendered securities are
22 thereupon cancelled.
23 (3) Securities from the treasury of the public utility
24 previously reacquired from bona fide holders-for-value and
25 held alive.
26 (4) Any evidence of indebtedness, the date of maturity
27 of which is at a period of less than one year from the date
28 of its execution.
29 (5) Any evidence of indebtedness for which no date of
30 maturity is fixed but which matures upon demand of the
19770H0489B0533 - 97 -
1 holder.
2 (6) Any evidence of indebtedness in the nature of a
3 contract between a public utility and a vendor of equipment
4 wherein the public utility promises to pay installments upon
5 the purchase price of equipment acquired and which is not in
6 the form of an equipment trust certificate or similar
7 instrument readily marketable to the general public.
8 (c) Assumption of securities defined.--Assumption of
9 securities includes any act of a public utility assuming primary
10 or contingent liability for the payment of any dividends upon
11 any stocks or of any principal or interest of any indebtedness,
12 created or incurred by any other person or corporation.
13 Assumption of securities does not include the acquisition of all
14 property of the issuing company by the assuming company as
15 provided in section 1102(3) (relating to enumeration of acts
16 requiring certificate) if the approval of the commission is
17 obtained.
18 § 1902. Contents of securities certificates.
19 Every securities certificate shall be verified by oath or
20 affirmation, and shall be in such form, and contain such
21 information pertinent to a proposed issuance or assumption of
22 securities, as the commission may require by its regulations. If
23 two or more issues of securities are proposed to be issued or
24 assumed by a public utility, a separate securities certificate
25 shall be submitted to the commission for the issuance or
26 assumption of each security issue. All information submitted to
27 the commission or obtained through investigation or hearing
28 shall become a part of the securities certificate.
29 § 1903. Registration or rejection of securities certificates.
30 (a) General rule.--Upon the submission or completion of any
19770H0489B0533 - 98 -
1 securities certificate, as provided in this part, the commission
2 shall register the same if it shall find that the issuance or
3 assumption of securities in the amount, of the character, and
4 for the purpose therein proposed, is necessary or proper for the
5 present and probable future capital needs of the public utility
6 filing such securities certificate; otherwise it shall reject
7 the securities certificate. The commission may consider the
8 relation which the amount of each class of securities issued by
9 such public utility bears to the amount of other such classes,
10 the nature of the business of such public utility, its credit
11 and prospects, and other relevant matters. If, at the end of 30
12 days after the filing of a securities certificate, no order of
13 rejection has been entered, such certificate shall be deemed, in
14 fact and law, to have been registered. The commission may, by
15 written order, giving reasons therefor, extend the 30-day
16 consideration period.
17 (b) Effect of registration.--Such registration or rejection
18 may be as to all or part of the securities to which such
19 securities certificate pertains, and any registration may be
20 made subject to such conditions as the commission may deem
21 reasonable in the premises. No registration, however, shall be
22 construed to imply any guaranty or obligation on the part of the
23 Commonwealth as to such securities, nor shall it be taken as
24 requiring the commission, in any proceeding brought before it
25 for any purpose, to fix a valuation which shall be equal to the
26 total of such securities and any other outstanding securities of
27 such public utility, or to approve or prescribe a rate which
28 shall be sufficient to yield a return on such securities or the
29 total securities of such public utility.
30 (c) Written notice.--Written notice of the registration or
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1 rejection of any securities certificate shall be served by
2 registered mail upon the public utility. Every notice of
3 rejection shall contain a statement of the specific reasons for
4 rejection. Both registered and rejected securities certificates
5 shall be retained in the files of the commission.
6 (d) Amendment of rejected certificate.--At any time within
7 30 days after the commission shall have rejected a securities
8 certificate, the public utility submitting such securities
9 certificate may submit amendments thereto, verified by oath or
10 affirmation, whereupon the commission shall again consider and
11 act upon the securities certificate, as provided in subsection
12 (a); but a securities certificate which shall have been twice
13 rejected by the commission shall not be amended again. The
14 registration by the commission of a securities certificate,
15 either as completed or amended, shall bind the public utility
16 submitting such securities certificate to issue or assume the
17 securities only under the terms, and for the purpose recited in
18 such securities certificate and the issuance or assumption of
19 the securities under any other terms, or for any other purpose,
20 shall be unlawful.
21 (e) Judicial review.--Appeals from the action of the
22 commission upon any securities certificates may be taken as
23 provided by law. The completed securities certificate shall
24 constitute the record to be certified to the appellate court in
25 such appeal.
26 § 1904. Unauthorized securities may be declared void.
27 In addition to any other penalty provided in this part for
28 any violation of this chapter, the commission, after due
29 consideration of the public interest, may declare void any
30 securities issued, or any assumption of securities made in
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1 violation of this chapter. Any such declaration shall not be
2 construed as a bar to the recovery, by an innocent holder-for-
3 value of such securities, of any losses sustained by reason of
4 the wrongful acts of the issuing or assuming public utility.
5 CHAPTER 21
6 RELATIONS WITH AFFILIATED INTERESTS
7 Sec.
8 2101. Definition of affiliated interest.
9 2102. Approval of contracts with affiliated interest.
10 2103. Continuing supervision and jurisdiction over contracts.
11 2104. Contracts to be in writing; cost data.
12 2105. Contracts in violation of part void.
13 2106. Effect on rates.
14 2107. Federal regulatory agencies.
15 § 2101. Definition of affiliated interest.
16 (a) General rule.--As used in this part "affiliated
17 interest" with a public utility means and includes the
18 following:
19 (1) Every corporation and person owning or holding
20 directly or indirectly 5% or more of the voting securities of
21 such public utility.
22 (2) Every corporation and person in any chain of
23 successive ownership of 5% or more of voting securities.
24 (3) Every corporation 5% or more of whose voting
25 securities are owned by any person or corporation owning 5%
26 or more of the voting securities of such public utility or by
27 any person or corporation in any such chain of successive
28 ownership of 5% or more of voting securities.
29 (4) Every person who is an officer or director of such
30 public utility or of any corporation in any chain of
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1 successive ownership of 5% or more of voting securities.
2 (5) Every corporation operating a public utility or a
3 servicing organization for furnishing supervisory,
4 construction, engineering, accounting, legal and similar
5 services to utilities, which has one or more officers or one
6 or more directors in common with such public utility, to
7 every other corporation which has directors in common with
8 such public utility where the number of such directors is
9 more than one-third of the total number of the utility's
10 directors.
11 (6) Every corporation or person which the commission may
12 determine as a matter of fact after investigation and hearing
13 is actually exercising any substantial influence over the
14 policies and actions of such public utility even though such
15 influence is not based upon stockholding, stockholders,
16 directors or officers to the extent specified in this
17 section. As used in this part substantial influence means any
18 corporation or person which or who stands in such
19 relationship to the public utility that there is an absence
20 of free and equal bargaining power between it or him and the
21 public utility.
22 (7) Every person or corporation who or which the
23 commission may determine as a matter of fact after
24 investigation and hearing is actually exercising such
25 substantial influence over the policies and actions of such
26 public utility in conjunction with one or more other
27 corporations or persons, or both, with which or whom they are
28 related by ownership or blood relationship, or both, or by
29 action in concert that together they are affiliated with such
30 public utility within the meaning of this section even though
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1 no one of them alone is so affiliated.
2 (b) Construction of section.--The term "person" shall not be
3 construed to exclude trustees, lessees, holders of beneficial
4 equitable interest, voluntary associations, receivers and
5 partnerships.
6 § 2102. Approval of contracts with affiliated interests.
7 (a) General rule.--No contract or arrangement providing for
8 the furnishing of management, supervisory, construction,
9 engineering, accounting, legal, financial, or similar services,
10 and no contract or arrangement for the purchase, sale, lease, or
11 exchange of any property, right, or thing or for the furnishing
12 of any service, property, right or thing other than those above
13 enumerated, made or entered into after the effective date of
14 this section between a public utility and any affiliated
15 interest shall be valid or effective unless and until such
16 contract or arrangement has received the written approval of the
17 commission. If such contract is oral, a complete statement of
18 the terms and conditions thereof shall be filed with the
19 commission and subject to its approval.
20 (b) Filing and action on contract.--It shall be the duty of
21 every public utility to file with the commission a verified copy
22 of any such contract or arrangement, or a verified summary as
23 described in subsection (a) of any such unwritten contract or
24 arrangement. All such contracts and arrangements, whether
25 written or unwritten, entered into prior to the effective date
26 of this section and required to be on file with the commission
27 by prior act and in full force and effect at the effective date
28 of this section shall be subject to the provisions of the
29 sections regarding affiliated interests. The commission shall
30 approve such contract or arrangement made or entered into after
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1 the effective date of this section only if it shall clearly
2 appear and be established upon investigation that it is
3 reasonable and consistent with the public interest. If at the
4 end of 30 days after the filing of a contract or arrangement, no
5 order of rejection has been entered, such contract or
6 arrangement, whether written or unwritten, shall be deemed, in
7 fact and law, to have been approved. The commission may, by
8 written order, giving reasons therefor, extend the 30-day
9 consideration period. No such contract or arrangement shall
10 receive the commission's approval unless satisfactory proof is
11 submitted to the commission of the cost to the affiliated
12 interest of rendering the services or of furnishing the property
13 or service described herein to the public utility. No proof
14 shall be satisfactory within the meaning of the foregoing
15 sentence unless it includes the original (or verified copies) of
16 the relevant cost records and other relevant accounts of the
17 affiliated interest, or such abstract thereof or summary taken
18 therefrom as the commission may deem adequate, properly
19 identified and duly authenticated. The commission may, where
20 reasonable, approve or disapprove such contracts or arrangements
21 without the submission of such cost records or accounts.
22 (c) Disallowance of excessive amounts.--If the commission
23 shall determine that the amounts paid or payable under a
24 contract or arrangement filed in accordance with this section
25 are in excess of the reasonable price for furnishing the
26 services provided for in the contract, or that such services are
27 not reasonably necessary and proper, it shall disallow such
28 amounts, insofar as found excessive, in any proceeding involving
29 the rates or practices of the public utility. In any proceeding
30 involving such amounts, the burden of proof to show that such
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1 amounts are not in excess of the reasonable price for furnishing
2 such services, and that such services are reasonable and proper,
3 shall be on the public utility.
4 (d) Exceptions.--The provisions requiring the written
5 approval of the commission shall not apply to transactions with
6 affiliated interests of any common carrier by railroad or motor
7 vehicle that is subject to the Interstate Commerce Act unless
8 required by order of the commission, nor where the amount of
9 consideration involved is not in excess of $10,000 or 5% of the
10 par value of outstanding common stock, whichever is smaller.
11 Regularly recurring payments under a general or continuing
12 arrangement which aggregate a greater annual amount shall not be
13 broken down into a series of transactions to come within this
14 exemption. Where the commission has given its approval generally
15 as to a class or category of transactions, the commission may
16 apply such approval to all subsidiary or related transactions.
17 Such transactions shall be valid or effective without commission
18 approval under this section. However, in any proceeding
19 involving the rates or practices of the public utility, the
20 commission may disallow any payment or compensation made
21 pursuant to such transaction unless the public utility shall
22 establish the reasonableness of such payment or compensation.
23 § 2103. Continuing supervision and jurisdiction over contracts.
24 The commission shall have continuing supervisory control over
25 the terms and conditions of contracts and arrangements as
26 described in section 2102 (relating to approval of contracts
27 with affiliated interests) so far as necessary to protect and
28 promote the public interest. The commission shall have the same
29 jurisdiction over the modifications or amendment of contracts or
30 arrangements as it has over such original contracts and
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1 arrangements. The fact that the commission shall have approved
2 entry into such contracts or arrangements shall not preclude
3 disallowance or disapproval of payments made pursuant thereto,
4 if upon actual experience under such contract or arrangement it
5 appears that the payments provided for or made were or are
6 unreasonable.
7 § 2104. Contracts to be in writing; cost data.
8 The commission may, by regulation or order, require any
9 contract with an affiliated interest to be in writing. The
10 commission may also, by regulation or order, require that any
11 contract with an affiliated interest shall contain a provision
12 whereby the affiliated interest shall agree to furnish to the
13 public utility, at the time of billing such public utility for
14 any service, property, security, right, or thing, under such
15 contract, a detailed statement of the cost to the affiliated
16 interest of such service, property, security, right, or thing.
17 § 2105. Contracts in violation of part void.
18 Every contract with an affiliated interest, made effective or
19 modified in violation of any provision of this part, or of any
20 regulation or order of the commission made under this part,
21 shall be void; and any purchase, sale, payment, lease, loan, or
22 exchange of any service, property, money, security, right, or
23 thing under such contract, or under any contract with an
24 affiliated interest, the terms of which shall have been breached
25 by the affiliated interest, shall be unlawful.
26 § 2106. Effect on rates.
27 In any proceeding, upon the commission's own motion, or upon
28 application or complaint, involving rates or practices of any
29 public utility, the commission may disallow, in whole or in
30 part, any payment or compensation to an affiliated interest for
19770H0489B0533 - 106 -
1 any services rendered or property or service furnished, or any
2 property, right, or thing received by such public utility, or
3 donation given or received, under existing contracts or
4 arrangements with such affiliated interest unless such public
5 utility shall establish the reasonableness thereof. In such
6 proceeding no payment shall be approved or allowed by the
7 commission, in whole or in part, unless satisfactory proof is
8 submitted to the commission of the cost to the affiliated
9 interest of rendering the service or furnishing the service,
10 property, security, right or thing to the public utility. No
11 proof shall be satisfactory, within the meaning of the foregoing
12 sentence, unless it includes the original (or verified copies)
13 of the relevant cost records and other relevant accounts of the
14 affiliated interest, or such abstract thereof or summary taken
15 therefrom as the commission may deem adequate, properly
16 identified and duly authenticated. The commission may, where
17 reasonable, approve or disapprove such contracts or arrangements
18 without the submission of such cost records or accounts.
19 § 2107. Federal regulatory agencies.
20 The provisions of this chapter shall not be applicable to the
21 rates and related terms and conditions for the interstate
22 transmission of electricity, natural gas, liquified natural gas,
23 substitute natural gas, liquified propane gas or naphtha which
24 have been submitted to and approved by a Federal regulatory
25 agency having jurisdiction thereof, except that the commission
26 may regulate the volume of such purchases.
27 SUBPART D
28 SPECIAL PROVISIONS RELATING TO REGULATION
29 OF PUBLIC UTILITIES
30 Chapter
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1 23. Common Carriers
2 25. Contract Carrier by Motor Vehicle and Broker
3 27. Railroads
4 29. Telephone and Telegraph Wires
5 CHAPTER 23
6 COMMON CARRIERS
7 Sec.
8 2301. Operation and distribution of facilities of common
9 carriers.
10 2302. Transfers and time schedules of common carriers.
11 2303. Common carrier connections with other lines.
12 2304. Liability of common carriers for damages to property
13 in transit; bills of lading.
14 2305. Full crews.
15 § 2301. Operation and distribution of facilities of common
16 carriers.
17 Every common carrier shall furnish a reasonably sufficient
18 number of safe facilities, and run and operate the same with
19 such motive power as may reasonably be required, in the
20 transportation of all such passengers or property as may seek,
21 or be offered to it, for such transportation, and shall operate
22 its facilities with sufficient frequency, at such reasonable and
23 proper times, and to and from such stations or points, as the
24 commission, having regard to the accommodation, convenience, and
25 safety of the public, may require; and, when required by the
26 commission, shall change the time schedule for the operation of
27 its facilities, and, generally, shall make any other
28 arrangements and improvements in its service which the
29 commission may require. If, at any particular time, a common
30 carrier may not have sufficient facilities to meet the
19770H0489B0533 - 108 -
1 requirements for the transportation of property, then it shall
2 lawfully distribute all available facilities among the several
3 applicants therefor without discrimination between shippers,
4 localities, or competitive or noncompetitive points, in
5 accordance with such regulations as the commission may
6 prescribe. Such regulations, in the case of common carriers also
7 engaged in interstate commerce, shall conform so far as
8 practicable to those prescribed by any Federal regulatory body
9 on the subject. Preference may always be given in the supply of
10 facilities for transportation of fuel, livestock, or perishable
11 matter.
12 § 2302. Transfers and time schedules of common carriers.
13 Whenever the commission shall, after hearing had upon its own
14 motion or upon complaint, deem it necessary or proper for the
15 accommodation, convenience, and safety of the public in the
16 transportation of passengers, every common carrier shall
17 transfer such passengers to or from another part of the system
18 of such common carrier and, to this end, shall make proper and
19 convenient arrangement or adjustment of the time schedules of
20 such common carrier, and shall also make such proper and
21 convenient arrangement or adjustment of the time schedules of
22 such common carrier with those of like adjustment of the time
23 schedules of such common carrier with those of like, contiguous,
24 or connecting common carriers, as the commission shall deem
25 necessary or proper for the accommodation, convenience, and
26 safety of the public.
27 § 2303. Common carrier connections with other lines.
28 (a) General rule.--Every common carrier shall construct and
29 maintain, whenever the commission may, after hearing had upon
30 its own motion or upon complaint, require the same, such switch
19770H0489B0533 - 109 -
1 or other connections with or between the lines of a like common
2 carrier, where the same is reasonably practical, to form a
3 continuous line of transportation, and to cause the
4 transportation of passengers or property between points within
5 this Commonwealth to be without unreasonable interruption or
6 delay, and shall establish through routes and service therein,
7 and joint rates applicable thereto, and, where practicable,
8 shall transport passengers or property over the same without
9 transfer from the originating facilities. In case of failure of
10 the common carriers concerned to agree among themselves upon the
11 division of the cost of construction, maintenance, and operation
12 of the connections thus provided for, or the allowance to be
13 made for the interchange of service, the commission shall
14 ascertain and, by order, prescribe and fix the equitable and
15 just apportionment and division of the same.
16 (b) Limitation.--Every common carrier and motor carrier is
17 hereby prohibited from interchanging, receiving or delivering,
18 with, from or to any common carrier by motor vehicle which does
19 not have in force a certificate or permit authorizing it to
20 transport property within the jurisdiction of this part.
21 § 2304. Liability of common carriers for damages to property
22 in transit; bills of lading.
23 (a) General rule.--Every common carrier that receives
24 property for transportation between points within this
25 Commonwealth shall issue a receipt or bill of lading therefor,
26 and shall be liable to the lawful holder thereof for any loss,
27 damage, or injury to such property caused by it, or any other
28 common carrier to which such property may be delivered, or over
29 whose line such property may be transported. No contract,
30 receipt, rule or regulation shall exempt such common carrier
19770H0489B0533 - 110 -
1 from the liability hereby imposed. The commission may, by
2 regulation or order, authorize or require any common carrier to
3 establish and maintain rates related to the value of shipments
4 declared in writing by the shipper, or agreed upon in writing as
5 the release value of such shipments; such declaration or
6 agreement to have no effect other than to limit liability and
7 recovery to an amount not exceeding the value so declared or
8 released. Any tariff filed pursuant to such regulation or order
9 shall specifically refer thereto.
10 (b) Rights of holder and common carrier.--This section does
11 not deprive any lawful holder of such receipt or bill of lading
12 of any remedy or right of action which such holder has under
13 existing laws. Any common carrier issuing such receipt or bill
14 of lading shall, in the event of a recovery of a judgment
15 against, or of a satisfaction made by, such common carrier for
16 such loss or damage, be entitled to recover from the common
17 carrier on whose line the loss or damage shall have been
18 sustained, an amount not in excess of the loss or damage to such
19 property which the lawful holder of such bill of lading or
20 receipt would otherwise have been entitled to recover against
21 such last mentioned common carrier, and not in excess of the
22 amount actually paid to the holder of such receipt or bill of
23 lading.
24 § 2305. Full crews.
25 After reasonable notice and hearing had upon its own motion,
26 or upon complaint, the commission may, by order, require any
27 common carrier to employ such number of men upon any of its
28 facilities as, in the judgment of the commission, is requisite
29 for the safe and efficient operation of such facilities.
30 CHAPTER 25
19770H0489B0533 - 111 -
1 CONTRACT CARRIER BY MOTOR VEHICLE AND BROKER
2 Sec.
3 2501. Definitions.
4 2502. Regulation and classification of contract carrier and
5 broker.
6 2503. Permits required of contract carriers.
7 2504. Dual operation by motor carriers.
8 2505. Licenses and financial responsibility required of
9 brokers.
10 2506. Copies of contracts to be filed with commission; charges
11 and changes therein.
12 2507. Minimum rates fixed and practices prescribed on
13 complaint.
14 2508. Accounts, records and reports.
15 2509. Temporary permits and licenses.
16 § 2501. Definitions.
17 The following words and phrases when used in this part shall
18 have, unless the context clearly indicates otherwise, the
19 meanings given to them in this section:
20 "Broker." Any person or corporation not included in the term
21 "motor carrier" and not a bona fide employee or agent of any
22 such carrier, or group of such carriers, who or which, as
23 principal or agent, sells or offers for sale any transportation
24 by a motor carrier, or the furnishing, providing, or procuring
25 of facilities therefor, or negotiates for, or holds out by
26 solicitation, advertisement, or otherwise, as one who sells,
27 provides, furnishes, contracts, or arranges for such
28 transportation, or the furnishing, providing, or procuring of
29 facilities therefor, other than as a motor carrier directly or
30 jointly, or by arrangement with another motor carrier, and who
19770H0489B0533 - 112 -
1 does not assume custody as a carrier.
2 "Contract carrier by motor vehicle."
3 (1) The term "contract carrier by motor vehicle"
4 includes any person or corporation who or which provides or
5 furnishes transportation of passengers or property, or both,
6 or any class of passengers or property, between points within
7 this Commonwealth by motor vehicle for compensation, whether
8 or not the owner or operator of such motor vehicle, or who or
9 which provides or furnishes, with or without drivers, any
10 motor vehicle for such transportation, or for use in such
11 transportation, other than as a common carrier by motor
12 vehicle.
13 (2) The term "contract carrier by motor vehicle" does
14 not include:
15 (i) A lessor under a lease given on a bona fide sale
16 of a motor vehicle where the lessor retains or assumes no
17 responsibility for maintenance, supervision or control of
18 the motor vehicle so sold.
19 (ii) Any bona fide agricultural cooperative
20 association transporting property exclusively for the
21 members of such association on a nonprofit basis, or any
22 independent contractor hauling exclusively for such
23 association.
24 (iii) Any owner or operator of a farm transporting
25 agricultural products from or farm supplies to such farm,
26 or any independent contractor hauling agricultural
27 products or farm supplies, exclusively, for one or more
28 owners or operators of farms.
29 (iv) Transportation of school children for school
30 purposes or to and from school sponsored extra curricular
19770H0489B0533 - 113 -
1 activities whether as participants or spectators,
2 together with chaperons who might accompany them as
3 designated by the board of school districts not exceeding
4 five in number, or between their homes and Sunday school
5 in any motor vehicle owned by the school district,
6 private school or parochial school, or the transportation
7 of school children between their homes and school or to
8 and from school sponsored extra curricular or educational
9 activities whether as participants or spectators,
10 together with chaperons who might accompany them as
11 designated by the board of school directors not exceeding
12 five in number, if the person performing the extra
13 curricular transportation has a contract for the
14 transportation of school children between their homes and
15 school, with the private or parochial school, with the
16 school district or jointure in which the school is
17 located, or with a school district that is a member of a
18 jointure in which the school is located if the jointure
19 has no contracts with other persons for the
20 transportation of students between their homes and
21 school, and if the person maintains a copy of all
22 contracts in the vehicle at all times, or children
23 between their homes and Sunday school in any motor
24 vehicle operated under contract with the school district,
25 private school or parochial school.
26 (v) Any person or corporation who or which uses, or
27 furnishes for use, dump trucks for the transportation of
28 ashes, rubbish, excavated or road construction materials.
29 (vi) Transportation of voting machines to and from
30 polling places by any person or corporation for or on
19770H0489B0533 - 114 -
1 behalf of any political subdivision of this Commonwealth
2 for use in any primary, general or special election.
3 (vii) Transportation of pulpwood, chemical wood, saw
4 logs or veneer logs from woodlots.
5 (viii) Transportation by towing of wrecked or
6 disabled motor vehicles.
7 (ix) Any person or corporation who or which
8 furnishes transportation for any injured, ill or dead
9 person.
10 § 2502. Regulation and classification of contract carrier
11 and broker.
12 (a) Regulation.--The commission shall regulate:
13 (1) Contract carriers by motor vehicle, and to that end
14 the commission may prescribe minimum rates which are just and
15 reasonable, and establish requirements with respect to
16 uniform systems of accounts, records, reports, preservation
17 of records, safety of service and equipment and insurance.
18 (2) Brokers, and to that end the commission may
19 prescribe requirements with respect to licensing, financial
20 responsibility, accounts, reports, records, services and
21 practices of any such brokers.
22 (b) Classification.--The commission may from time to time
23 establish such classifications of contract carriers by motor
24 vehicle, or brokers, as the special nature of the service of
25 such carriers or brokers shall require and as deemed necessary
26 or desirable in the public interest.
27 § 2503. Permits required of contract carriers.
28 (a) General rule.--No person or corporation shall render
29 service as a contract carrier by motor vehicle unless there is
30 in force with respect to such carrier a permit issued by the
19770H0489B0533 - 115 -
1 commission, authorizing such person or corporation to engage in
2 such business. The application for such permit shall be
3 determined by the commission in accordance with the provisions
4 of subsection (b).
5 (b) Application and issuance.--Every application for such
6 permit shall be made to the commission in writing, be verified
7 by oath or affirmation, and shall be in such form and contain
8 such information as the commission may require by its
9 regulations. A permit shall be issued by the commission to any
10 qualified applicant therefor authorizing in whole or in part the
11 service covered by the application, if it appears from the
12 application, or from any hearing held thereon, that the
13 applicant is fit, willing and able properly to perform the
14 service of a contract carrier by motor vehicle, and to conform
15 to the provisions of this chapter and the lawful orders or
16 regulations of the commission thereunder, and that the proposed
17 service to the extent authorized by the permit will be
18 consistent with the public interest; otherwise such application
19 shall be denied.
20 (c) Special permit provisions.--The commission shall specify
21 in the permit the business of the contract carrier by motor
22 vehicle covered thereby, and the route and area required in
23 serving the customers in such business, and shall attach to it,
24 at the time of issuance, and from time to time thereafter, such
25 reasonable terms, conditions, flexibility and limitations
26 consistent with the character of the holder as are necessary to
27 carry out, with respect to the service of such carrier, the
28 requirements of this part.
29 § 2504. Dual operation by motor carriers.
30 No person or corporation shall at the same time hold a
19770H0489B0533 - 116 -
1 certificate of public convenience as a common carrier by motor
2 vehicle and a permit as a contract carrier by motor vehicle,
3 unless for good cause shown, the commission shall find that such
4 certificate and permit may be held consistently with the public
5 interest.
6 § 2505. Licenses and financial responsibility required of
7 brokers.
8 (a) General rule.--No person or corporation shall engage in
9 the business of a broker in this Commonwealth unless such person
10 holds a brokerage license issued by the commission. No such
11 person or corporation, by virtue of a brokerage license, shall
12 render service as a motor carrier unless he holds a certificate
13 of public convenience or permit, as the case may be. It shall be
14 unlawful for any broker to employ any motor carrier who or which
15 is not the lawful holder of an effective certificate of public
16 convenience or permit.
17 (b) License application and issuance.--Every application for
18 a brokerage license shall be made to the commission in writing,
19 be verified by oath or affirmation, and shall be in such form
20 and contain such information as the commission may, by its
21 regulations, require. A brokerage license shall be issued to any
22 qualified applicant therefor, authorizing the whole or any part
23 of the service covered by the application, if it is found that
24 the applicant is fit, willing and able properly to perform the
25 service proposed and to conform to the provisions of this part
26 and the lawful orders and regulations of the commission
27 thereunder, and that the proposed service, to the extent
28 authorized by the license, will be consistent with the public
29 interest.
30 (c) Regulation and bond.--The commission shall prescribe
19770H0489B0533 - 117 -
1 reasonable regulations to be observed by any broker for the
2 protection of passengers or property transported by motor
3 vehicle, and no brokerage license shall be issued or remain in
4 force unless the holder thereof shall have furnished a bond or
5 other security approved by the commission, in such form and
6 amount as will insure the financial responsibility of the broker
7 and the transportation of passengers or property in accordance
8 with contracts, agreements or arrangements therefor.
9 (d) Transferability of permits and licenses.--Any permit or
10 brokerage license issued under this chapter may be transferred
11 pursuant to such regulations as the commission may prescribe.
12 § 2506. Copies of contracts to be filed with commission;
13 charges and changes therein.
14 (a) General rule.--It shall be the duty of every contract
15 carrier by motor vehicle to reduce to writing and file with the
16 commission all contracts, or copies thereof, pertaining to the
17 service of such carrier, and such schedules or other information
18 pertaining to the rates of such carrier, in such form and
19 detail, and at such times, as the commission may require. No
20 such contract carrier shall engage in the transportation of
21 passengers or property, unless the minimum charges for such
22 transportation by such carrier have been filed with the
23 commission, or copies of all contracts reduced to writing and
24 filed with the commission. No reduction shall be made in any
25 charge either directly or by means of any change in any rule,
26 regulation or practice affecting such charge, except after 60
27 days notice of the proposed change filed in such form and manner
28 as the commission may by regulation prescribe, but the
29 commission may, in its discretion, allow such change upon less
30 notice. Such notice shall plainly state the change proposed to
19770H0489B0533 - 118 -
1 be made and the time when such change will become effective. No
2 such carrier shall demand, charge, or collect a less
3 compensation for such transportation than the charges filed in
4 accordance with this section, as affected by any rule,
5 regulation, or practice so filed, or as prescribed by the
6 commission from time to time, and it shall be unlawful for any
7 such carrier, by the furnishing of special service, facilities,
8 or privileges, or by any other device whatsoever, to charge,
9 accept or receive less than the minimum charge so filed or
10 prescribed.
11 (b) Reduced charges.--Whenever any such contract carrier
12 shall file with the commission any schedule or contract stating
13 a reduced charge for the transportation of passengers or
14 property directly or by means of any rule, regulation or
15 practice, the commission is hereby authorized and empowered,
16 upon complaint, or upon its own motion, at once and if it so
17 orders, without answer or other formal pleading, but upon
18 reasonable notice, to enter upon a hearing concerning the
19 reasonableness and justness of such charge, rule, regulation, or
20 practice; and pending such hearing and decision thereon, the
21 commission, by filing with such schedule or contract, and
22 delivering to the carrier affected thereby, a statement in
23 writing of its reasons for such suspension, may suspend the
24 operation of such schedule or contract, or defer the use of such
25 charge, rule, regulation or practice for a period of 90 days;
26 and if the proceeding has not been concluded and a final order
27 made within such period, the commission may, from time to time,
28 extend the period of suspension, but not for a longer period in
29 the aggregate than 180 days beyond the time when it would
30 otherwise become effective; and after hearing, whether completed
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1 before or after the charge, rule, regulation, or practice
2 becomes effective, the commission may make such order with
3 reference thereto, as would be proper in a proceeding instituted
4 after it had become effective.
5 § 2507. Minimum rates fixed and practices prescribed on
6 complaint.
7 Whenever, after hearing upon complaint or its own motion, the
8 commission finds that any rate of any contract carrier by motor
9 vehicle, or any regulation or practice of any such carrier
10 affecting such rate for the transportation of passengers or
11 property, contravenes the public interest, the commission may
12 prescribe such minimum rates or such regulations or practices as
13 in its judgment may be just and reasonable to promote the public
14 interest. Such minimum rates or such regulations or practices so
15 prescribed by the commission shall not be inconsistent with the
16 public interest, and the commission shall give due consideration
17 to the cost of the service of such carriers, and to the effect
18 of such minimum rates or such regulations or practices upon the
19 transportation of passengers or property by such carriers, and
20 diversion of the business of any common carrier by motor vehicle
21 to other forms of transportation. All complaints to the
22 commission under this section shall state fully the facts
23 complained of and the reasons for such complaints, and shall be
24 made under oath or affirmation.
25 § 2508. Accounts, records and reports.
26 (a) Reports.--The commission is hereby authorized to require
27 annual, periodical, or special reports from all contract
28 carriers by motor vehicle and brokers; to prescribe the manner
29 and form in which such reports shall be made; and to require
30 from such carriers and brokers, specific answers to all
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1 questions upon which the commission may deem information to be
2 necessary. Such reports shall be under oath or affirmation
3 whenever the commission so requires.
4 (b) Form of accounts and records.--The commission may
5 prescribe the forms of any and all accounts, records, and
6 memoranda, including the accounts, records, and memoranda of the
7 movement of traffic, as well as of the receipts and expenditures
8 of money, to be kept by contract carriers by motor vehicle, and
9 brokers, and the length of time such accounts, records, and
10 memoranda shall be preserved; and whenever the commission shall
11 so prescribe, it shall be the duty of every contract carrier by
12 motor vehicle, and broker, affected to comply therewith. In
13 every case of a contract carrier by motor vehicle, or broker,
14 subject to the jurisdiction of any Federal regulatory body, the
15 systems of accounts, records, and memoranda prescribed by the
16 commission shall conform, so far as practicable, to those
17 prescribed by such regulatory body.
18 § 2509. Temporary permits and licenses.
19 The commission, under such regulations as it shall prescribe,
20 may, without hearing, in proper cases, consider and approve
21 applications for permits and licenses, and in emergencies grant
22 temporary permits and licenses under this chapter, pending
23 action on permanent permits or licenses; but no application
24 shall be denied without right of hearing thereon being tendered
25 the applicant.
26 CHAPTER 27
27 RAILROADS
28 Sec.
29 2701. Railroad connections with sidetracks and laterals.
30 2702. Construction, relocation, suspension and abolition of
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1 crossings.
2 2703. Ejectment in crossing cases.
3 2704. Compensation for damages occasioned by construction,
4 relocation or abolition of crossings.
5 2705. Speedometers.
6 2706. Flag protection.
7 § 2701. Railroad connections with sidetracks and laterals.
8 (a) General rule.--Every public utility engaged in a
9 railroad business shall, upon application of any owner or
10 operator of any lateral railroad, or any private sidetrack, or
11 of any shipper tendering property for transportation, or of any
12 consignee, construct, maintain, and operate, at a reasonable
13 place and upon reasonable terms, a switch connection with any
14 such lateral railroad or private sidetrack which may be
15 constructed to connect with its railroad, where such connection
16 may be reasonably practicable and can be put in with safety, and
17 will furnish sufficient business to justify the construction and
18 maintenance of the same.
19 (b) Additional connections and use.--Whenever any lateral
20 line of railroad or private sidetrack has been so connected with
21 a line of any railroad, or whenever any owner of such lateral
22 railroad or private sidetrack has at any time heretofore sold or
23 leased, or shall hereafter sell or lease, such lateral railroad
24 or sidetrack to any public utility engaged in a railroad
25 business, any person or corporation, including a municipal
26 corporation, shall be entitled to connect therewith, or to use
27 the same upon payment to the party incurring the primary expense
28 thereof of a reasonable proportion of the cost of such lateral
29 railroad or private sidetrack, and of the maintenance thereof,
30 which shall be determined, in case of disagreement among the
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1 parties, by the commission, after notice to the interested
2 parties, and a hearing. Such connection and use can be made
3 without unreasonable interference with the use thereof by the
4 party incurring the primary expense of owning or leasing such
5 lateral railroad or sidetrack.
6 § 2702. Construction, relocation, suspension and abolition of
7 crossings.
8 (a) General rule.--No public utility, engaged in the
9 transportation of passengers or property, shall, without prior
10 order of the commission, construct its facilities across the
11 facilities of any other such public utility or across any
12 highway at grade or above or below grade, or at the same or
13 different levels; and no highway, without like order, shall be
14 so constructed across the facilities of any such public utility,
15 and, without like order, no such crossing heretofore or
16 hereafter constructed shall be altered, relocated, suspended or
17 abolished.
18 (b) Acquisition of property and regulation of crossing.--The
19 commission is hereby vested with exclusive power to appropriate
20 property for any such crossing, except as to such property as
21 has been or may hereafter be condemned by the Department of
22 Transportation for projects financed entirely by the
23 Commonwealth and for Federal Aid Projects under section 1004 of
24 the act of June 1, 1945 (P.L.1242, No.428), known as the "State
25 Highway Law," in which case the provisions of that statute shall
26 be in effect, and to determine and prescribe, by regulation or
27 order, the points at which, and the manner in which, such
28 crossing may be constructed, altered, relocated, suspended or
29 abolished, and the manner and conditions in or under which such
30 crossings shall be maintained, operated, and protected to
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1 effectuate the prevention of accidents and the promotion of the
2 safety of the public. The commission shall require every
3 railroad the right-of-way of which crosses a public highway at
4 grade to cut or otherwise control the growth of brush and weeds
5 upon property owned by the railroad within 200 feet of such
6 crossing on both sides and in both directions so as to insure
7 proper visibility by motorists.
8 (c) Mandatory relocation, alteration, suspension or
9 abolition.--Upon its own motion or upon complaint, the
10 commission shall have exclusive power after hearing, upon notice
11 to all parties in interest, including the owners of adjacent
12 property, to order any such crossing heretofore or hereafter
13 constructed to be relocated or altered, or to be suspended or
14 abolished upon such reasonable terms and conditions as shall be
15 prescribed by the commission. In determining the plans and
16 specifications for any such crossing, the commission may lay
17 out, establish, and open such new highways as, in its opinion,
18 may be necessary to connect such crossing with any existing
19 highway, or make such crossing more available to public use; and
20 may abandon or vacate such highways or portions of highways as,
21 in the opinion of the commission, may be rendered unnecessary
22 for public use by the construction, relocation, or abandonment
23 of any of such crossings. The commission may order the work of
24 construction, relocation, alteration, protection, suspension or
25 abolition of any crossing aforesaid to be performed in whole or
26 in part by any public utility or municipal corporation concerned
27 or by the Commonwealth.
28 (d) Procedure for appropriation of property.--When any real
29 property is appropriated by the commission under this section,
30 each parcel of such property so appropriated, shall be
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1 accurately described by metes and bounds, and the record owner
2 of each such parcel shall be named in the order of
3 appropriation. Unless otherwise recorded, the commission shall
4 file with the recorder of deeds of the proper county, a copy of
5 that portion of the order of the commission which appropriates
6 such property, and such plans and other detailed information as
7 the commission may deem necessary. Such portion of the
8 commission's order dealing with the specific property
9 appropriated shall be recorded and indexed under the name or
10 names of the record owners of such specific property at the
11 expense of the utility or utilities, political subdivision,
12 municipality or municipalities, governmental agency, including
13 the Department of Transportation and Public Utility Commission,
14 corporation or persons upon whose instigation, petition or
15 complaint and said crossing was constructed, reconstructed,
16 relocated, altered, suspended or abolished, as may be ordered,
17 to bear such expense or recording by the commission.
18 (e) Reactivation.--The commission may, within its discretion
19 upon petition by any railroad, the Commonwealth, a political
20 subdivision or any other affected party by order reactivate any
21 crossing suspended under this section.
22 (f) Danger to safety.--Upon the commission's finding of an
23 immediate danger to the safety and welfare of the public at any
24 such crossing, the commission shall order the crossing to be
25 immediately altered, improved, or suspended. Thereafter hearing
26 shall be held and costs shall be allocated in the manner
27 prescribed in this part.
28 (g) Suspensions.--Any order of suspension under this section
29 shall require the following for the protection of the motoring
30 public:
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1 (1) Removal or covering of crossing warning devices.
2 (2) (i) Paving over the tracks;
3 (ii) removal of the tracks and paving over of the
4 area formerly occupied by said tracks; or
5 (iii) barricading the crossing.
6 § 2703. Ejectment in crossing cases.
7 When any real property is appropriated by the commission in
8 connection with a crossing improvement under this part, the
9 commission may direct the removal of all structures within the
10 lines of such appropriation. In any case where any such order
11 has been or shall be made, the court of common pleas of the
12 county wherein the property appropriated shall be situate, may,
13 upon petition by the commission, the Department of
14 Transportation or the county commissioners, issue a writ or
15 writs of possession. The petition shall be served upon the
16 parties named therein and such other parties as the court may
17 direct. If no answer is filed, or if an answer is filed, and
18 after such hearing as the court shall direct, it shall deem the
19 same to be insufficient, the court shall, upon motion, direct
20 such writ to issue, and shall order and direct the sheriff to
21 execute such writ and deliver possession to the Commonwealth or
22 the county, as the case may be. Such procedure shall not be
23 considered as in derogation of, or in any manner affecting, any
24 other powers or procedure possessed by the Commonwealth or
25 county in such cases. No bond or other form of security shall be
26 required to be filed by the Commonwealth or the county.
27 § 2704. Compensation for damages occasioned by construction,
28 relocation or abolition of crossings.
29 (a) General rule.--The compensation for damages which the
30 owners of adjacent property taken, injured, or destroyed may
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1 sustain in the construction, relocation, alteration, protection,
2 or abolition of any crossing under the provisions of this part,
3 shall, after due notice and hearing, be ascertained and
4 determined by the commission. Such compensation, as well as the
5 cost of construction, relocation, alteration, protection, or
6 abolition of such crossing, and of facilities at or adjacent to
7 such crossing which are used in any kind of public utility
8 service, shall be borne and paid, as provided in this section,
9 by the public utilities or municipal corporations concerned, or
10 by the Commonwealth, in such proper proportions as the
11 commission may, after due notice and hearing, determine, unless
12 such proportions are mutually agreed upon and paid by the
13 interested parties.
14 (b) Judicial review.--Any party to the proceeding
15 dissatisfied with the determination of the commission may appeal
16 therefrom, as provided by law, and for this purpose is hereby
17 authorized to sue the Commonwealth. The commission may, of its
18 own motion, or upon application of any party in interest, submit
19 to the court of common pleas of the county wherein the property
20 affected is located, the determination of the amount of damages
21 to any property owner due to such condemnation, for which
22 purpose such court shall appoint viewers, from whose award of
23 damages an appeal to said court shall lie on the part of any
24 person or party aggrieved thereby, under the general law
25 applicable to the appointment of viewers, for the ascertainment
26 of damages due to the condemnation of private property for
27 public use.
28 (c) Payment of compensation.--The amount of damages or
29 compensation determined and awarded to be paid the owners of
30 adjacent property by the Commonwealth shall, in each instance,
19770H0489B0533 - 127 -
1 be paid by the State Treasurer, on a warrant drawn by the State
2 Treasurer, upon the presentation to that officer of a statement
3 setting forth the amount determined to be paid as aforesaid,
4 duly certified by the commission; such payment to be paid out of
5 any funds specifically appropriated for the improvement of the
6 roads or highways of this Commonwealth; and in case of a verdict
7 and judgment thereon for the damages or compensation, recorded
8 by any such adjacent property owners upon appeal, the same shall
9 be paid out of any funds appropriated as aforesaid; and any
10 court of common pleas hearing and determining such appeal is
11 hereby authorized and empowered to issue a writ of mandamus to
12 such commission and the State Treasurer, or either of them, as
13 the case may require, for the payment of such judgment.
14 (d) Recovery of compensation.--The commission shall have the
15 right to recover, for and on behalf of the Commonwealth, by due
16 process of law, as debts of like amount are now by law
17 recoverable, from the public utility or municipal corporation
18 concerned, in such amounts or proportions against each as may be
19 determined by the commission, as hereinbefore provided in this
20 section, the amount of the damages or compensation awarded to
21 the owners of adjacent property by the commission, or by the
22 court, and the amounts so received shall be paid into the State
23 Treasury, through the Department of Revenue, to the credit of
24 the Motor License Fund.
25 § 2705. Speedometers.
26 (a) General rule.--No railroad locomotive shall be operated
27 in excess of 30 miles per hour in this Commonwealth without a
28 speedometer and speed recorder functioning correctly within four
29 miles per hour within the view of the engineer or operator of
30 such locomotive.
19770H0489B0533 - 128 -
1 (b) Locomotives used exclusively within yard limits.--
2 Locomotives operated or used exclusively within designated yard
3 limits in switching or transfer service need not be equipped in
4 accordance with the provisions of this section.
5 (c) Notification of compliance.--Each railroad shall notify
6 the commission of the date that each such locomotive comes into
7 compliance with the provisions of this section. The notification
8 shall state the serial number or other identification of the
9 locomotive.
10 (d) Schedule of regulated locomotives.--Each railroad
11 affected by the provisions of this section shall maintain at a
12 designated location a list or schedule of the locomotives
13 referred to in this section. It shall set forth, along with
14 other information, the date that the speedometer and speed
15 recorder referred to in subsection (a) was calibrated and found
16 to be functioning in accordance with the provisions of this
17 section. It shall advise the commission as to such location.
18 (e) Enforcement.--The commission shall enforce the
19 provisions of this section and may issue such order or orders as
20 may be proper to require compliance therewith.
21 § 2706. Flag protection.
22 (a) General rule.--All railroads operating in this
23 Commonwealth shall promulgate and maintain appropriate operating
24 rules and special instructions for the government of their
25 respective employees in conformity with the following:
26 (1) When a train stops under circumstances in which it
27 may be overtaken by another train, a member of the crew must
28 provide flagging protection by going back immediately with a
29 red flag, torpedoes and fusees by day and with a red and/or
30 white light, torpedoes and fusees by night, a sufficient
19770H0489B0533 - 129 -
1 distance to insure full protection, placing two torpedoes on
2 the rail and also, when necessary, display lighted fusees.
3 (2) When recalled and safety to the train will permit,
4 he may return.
5 (3) When conditions require, he will leave the torpedoes
6 and a lighted fusee.
7 (4) The front of the train must be protected in the same
8 way, when necessary, by a member of the crew.
9 (5) When a train is moving under circumstances in which
10 it may be overtaken by another train, a member of the crew
11 must take such action as may be necessary to insure full
12 protection. By night, or by day, when the view is obscured,
13 lighted fusees must be dropped off the moving train or
14 displayed at proper intervals.
15 (6) When day signals cannot be plainly seen, owing to
16 weather or other conditions, night signals must also be used.
17 (7) Conductors and enginemen are responsible for the
18 protection of their trains.
19 (8) When a pusher engine is assisting a train, coupled
20 behind the cabin or caboose car, and the member of the crew
21 who protects the rear-end of the train is riding in the cabin
22 or caboose car, the requirements as to the fusees will be met
23 by dropping them off between the cabin or caboose car and
24 pusher engine on the track the train is using, and not
25 between that track and an adjacent track.
26 (b) Exceptions.--Unless specific circumstances indicate to
27 the contrary, it will be presumed that trains stopping under the
28 following circumstances will not be overtaken by another train:
29 (1) Passenger trains making normal station stops.
30 (2) All trains stopping in manual block territory
19770H0489B0533 - 130 -
1 protected by absolute block.
2 (3) All trains stopping so as to be completely within
3 the limits of classification or storage yards at the usual
4 place to change crews or remove power.
5 (c) Construction of section.--For the purposes of this
6 section a "train" means a movement on which the air brakes must
7 be connected and functioning under Federal law. This section is
8 not intended to require the employment of additional employees
9 or restrict the use of crew members in any manner.
10 (d) Enforcement.--The commission shall enforce the
11 provisions of this section.
12 CHAPTER 29
13 TELEPHONE AND TELEGRAPH WIRES
14 Sec.
15 2901. Definitions.
16 2902. Private wire for gambling information prohibited.
17 2903. Written contract for private wire.
18 2904. Joint use of telephone and telegraph facilities.
19 § 2901. Definitions.
20 The following words and phrases when used in this chapter
21 shall have, unless the context clearly indicates otherwise, the
22 meanings given to them in this section:
23 "Dissemination." The act of transmitting, distributing,
24 advising, spreading, communicating, conveying or making known.
25 "Private wire." Any and all service equipment, facilities,
26 conduits, poles, wires, circuits, systems by which or by means
27 of which service is furnished for communication purposes, either
28 through the medium of telephone, telegraph, Morse,
29 teletypewriter, loudspeaker or any other means, or by which the
30 voice or electrical impulses are sent over a wire, and which
19770H0489B0533 - 131 -
1 services are contracted for or leased for service between two or
2 more points specifically designated, and are not connected to or
3 available for general telegraphic or telephonic exchange or toll
4 service, and shall include such services known as "special
5 contract leased wire service," "leased line," "private line,"
6 "private system," "Morse line," "private wire," but shall not
7 include the usual and customary telephone service by which the
8 subscriber may be connected at each separate call to any other
9 telephone designated by him only through the general telephone
10 exchange system or toll service, and shall not include private
11 wires used for fire or burglar alarm purposes, nor telegraph
12 messenger call boxes and circuits used in connection therewith,
13 time clock circuits used for furnishing correct time service,
14 nor telegraph teleprinters when these teleprinters terminate in
15 the telegraph companies' offices and are not directly connected
16 between two customers.
17 "Public utility." A person, partnership, association or
18 corporation, now or hereafter owning or operating in this
19 Commonwealth, equipment or facilities for conveying or
20 transmitting messages or communications by telephone or
21 telegraph to the public for compensation.
22 § 2902. Private wire for gambling information prohibited.
23 (a) General rule.--It is unlawful for any public utility
24 knowingly to furnish to any person any private wire for use or
25 intended for use in the dissemination of information in
26 furtherance of gambling or for gambling purposes. Any contract
27 shall constitute prima facie evidence that such private wire
28 will be used in furtherance of gambling or for gambling purposes
29 if it shall appear in such contract, or otherwise, that such
30 private wire will be used, is intended to be used or has been
19770H0489B0533 - 132 -
1 used for the dissemination of information pertaining to any
2 horse-racing, race track, race horse, betting, betting odds or
3 any information relative thereto.
4 (b) Burden of proof.--In any proceeding before the
5 commission under this chapter and in any hearing or proceeding
6 on appeal, the burden of proof shall be on the public utility
7 and the person contracting for such private wire to show that
8 the private wire has not been used, or is not being used, or is
9 not intended for use in the furtherance of gambling or for
10 gambling purposes.
11 § 2903. Written contract for private wire.
12 (a) General rule.--It is unlawful for any public utility to
13 furnish to any person any private wire, except in pursuance of a
14 written contract signed by the public utility, by the person
15 contracting for said private wire and responsible under the
16 terms of the contract for the payment for the service, and by
17 the person in possession or control of any place or location
18 designated in the contract for installation or connection of
19 said private wire, which contract shall include a detailed
20 written statement of the purpose for which such private wire is
21 intended to be used.
22 (b) Exceptions.--This section does not apply to:
23 (1) The furnishing of any private wire in case of public
24 emergency, or where the furnishing of the said private wire
25 is for a temporary purpose not to exceed 48 hours.
26 (2) Any private wire furnished for use in radio
27 broadcasting, or to any private wire furnished for use by any
28 protective service operating under a franchise granted by any
29 municipality, or to any private wire furnished for use in
30 interstate commerce, or to any private wire furnished for use
19770H0489B0533 - 133 -
1 of newspapers of general circulation.
2 (c) Action by commission.--It is unlawful for any public
3 utility to furnish to any person any private wire without first
4 furnishing to the commission a duplicate original of the written
5 contract required by this section. The commission shall examine
6 the same forthwith and conduct such investigation as it may deem
7 necessary, and, if upon examination of the contract, or after
8 investigation, or otherwise at any time, the commission shall
9 find that the said private wire is intended for or has been used
10 for or is being used for the transmission of information or
11 advice in furtherance of gambling, the commission shall
12 disapprove the said contract and give notice of such disapproval
13 to the contracting parties. Thereafter it shall be unlawful for
14 any public utility to furnish the said private wire provided for
15 in the said contract. This subsection does not apply to the
16 furnishing of any private wire in case of public emergency, or
17 where the furnishing of the said private wire is for a temporary
18 purpose not to exceed 48 hours.
19 (d) Hearing.--Any public utility or other person party to
20 the contract who shall feel aggrieved at the action of the
21 commission in disapproving any contract for any private wire
22 shall be entitled to a hearing before the commission upon
23 written request.
24 (e) Illegal use.--It is unlawful for any person, who has
25 been furnished a private wire by any public utility in
26 accordance with the provisions of this chapter, to use such
27 private wire for any purpose other than that specified in the
28 contract.
29 § 2904. Joint use of telephone and telegraph facilities.
30 (a) Through lines for continuous service.--The commission
19770H0489B0533 - 134 -
1 may, upon complaint or upon its own motion, after reasonable
2 notice and hearing, by order, require any two or more public
3 utilities, whose lines or wires form a continuous line of
4 communication, or could be made to do so by the construction and
5 maintenance of suitable connections or the joint use of
6 facilities, or the transfer of messages at common points,
7 between different localities which cannot be communicated with,
8 or reached by, the lines of either public utility alone, where
9 such service is not already established or provided, to
10 establish and maintain through lines within this Commonwealth
11 between two or more such localities. The rate for such service
12 shall be just and reasonable and the commission shall have power
13 to establish the same, and declare the portion thereof to which
14 each company affected thereby is entitled and the manner in
15 which the same must be secured and paid. All facilities
16 necessary to establish such service shall be constructed and
17 maintained in such manner and under such rules, with such
18 division of expense and labor, as may be required by the
19 commission.
20 (b) Trunk line connections.--The commission may, upon
21 complaint or upon its own motion, after reasonable notice and
22 hearing, by order, require any one or more public utilities to
23 connect their facilities, through the medium of suitable trunk
24 lines, with such manual or automatic inter-communicating
25 telephone or telegraph systems as may be wholly owned or leased
26 by such public utilities, or by any other person or corporation.
27 Rates for such trunk line connections and service shall be in
28 accordance with tariffs filed with and approved by the
29 commission.
30 SUBPART E
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1 MISCELLANEOUS PROVISIONS
2 Chapter
3 31. Foreign Trade Zones
4 33. Violations and Penalties
5 CHAPTER 31
6 FOREIGN TRADE ZONES
7 Sec.
8 3101. Operation as a public utility.
9 3102. Establishment by private corporations and municipalities.
10 3103. Formation and authority of private corporations.
11 3104. Municipalities and corporations to comply with law;
12 forfeiture of rights.
13 3105. Reports to Department of Community Affairs.
14 § 3101. Operation as public utility.
15 Each foreign trade zone established and maintained within the
16 limits of this Commonwealth as set forth in this chapter shall
17 be operated as a public utility, and all rates and charges for
18 all services or privileges within the zone shall be fair and
19 reasonable, but no such rates or charges shall be subject to
20 supervision, regulation or control by the commission. Every
21 municipality and private corporation operating and maintaining a
22 foreign trade zone shall afford to all who may apply for the use
23 of the trade zone and its facilities and appurtenances, uniform
24 treatment under like conditions, subject to such treaties or
25 commercial conventions as are now in force or may hereafter be
26 made from time to time by the United States with foreign
27 governments.
28 § 3102. Establishment by private corporations and
29 municipalities.
30 Any private corporation formed in this Commonwealth for the
19770H0489B0533 - 136 -
1 purposes expressed in this part and any municipality of this
2 Commonwealth, is hereby authorized to make application in
3 accordance with the provisions of the act of Congress of the
4 United States, approved June 18, 1934, entitled "An act to
5 provide for the establishment, operation, and maintenance of
6 foreign trade zones in ports of entry of the United States; to
7 expedite and encourage foreign commerce, and for other
8 purposes," (Public Act No. 397, 73rd Congress), referred to in
9 this chapter as "the act of Congress"; to the board consisting
10 of the Secretary of Commerce, the Secretary of the Treasury, and
11 the Secretary of War, thereby established, referred to in this
12 chapter as "the board"; for the privilege of establishing,
13 operating, and maintaining a foreign trade zone in, or adjacent
14 to, any port of entry under the jurisdiction of the United
15 States in order to expedite and encourage foreign commerce. If,
16 and when, such application is granted, the grantee shall have
17 power to establish, operate, and maintain such foreign trade
18 zone. Any foreign trade zone established by a municipality may
19 be operated and maintained only within the limits of such
20 municipality, or adjacent thereto. Any such foreign trade zone
21 shall be established, operated, and maintained by a municipality
22 or private corporation in accordance with the provisions of the
23 act of Congress.
24 § 3103. Formation and authority of private corporations.
25 Any such private corporation desiring to engage in the
26 business set forth in this chapter shall be formed as a business
27 corporation under the act of May 5, 1933 (P.L.364, No.106),
28 known as the "Business Corporation Law," and shall have all the
29 powers, rights and privileges, and be subject to all the
30 restrictions and limitations provided by the "Business
19770H0489B0533 - 137 -
1 Corporation Law."
2 § 3104. Municipalities and corporations to comply with law;
3 forfeiture of rights.
4 Each municipality and private corporation establishing,
5 operating, and maintaining a foreign trade zone shall fully
6 comply with all of the provisions of the act of Congress and the
7 rules and regulations prescribed by the board thereunder, and
8 shall have all the powers, rights, privileges, and authority
9 conferred by the act of Congress and said rules and regulations,
10 and be subject to the limitations and restrictions contained in
11 said act and said rules and regulations. Any such municipality
12 or private corporation shall forfeit any right and privilege to
13 operate and maintain a foreign trade zone, under the provisions
14 of this part or under the charter of any private corporation
15 formed as aforesaid, if, and when, its grant of privilege is
16 finally revoked under the authority granted in the act of
17 Congress.
18 § 3105. Reports to Department of Community Affairs.
19 Each municipality and private corporation operating a foreign
20 trade zone within the limits of this Commonwealth shall file a
21 copy of every report which it shall make, or be required to
22 make, under the act of Congress with the Department of Community
23 Affairs.
24 CHAPTER 33
25 VIOLATIONS AND PENALTIES
26 Sec.
27 3301. Civil penalties for violations.
28 3302. Criminal penalties for violations.
29 3303. Nonliability for enforcement of lawful tariffs and rates.
30 3304. Unlawful issuance and assumption of securities.
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1 3305. Misapplication of proceeds of securities.
2 3306. Execution of unlawful contracts.
3 3307. Refusal to obey subpoena and testify.
4 3308. Concealment of witnesses and records.
5 3309. Liability for damages occasioned by unlawful acts.
6 3310. Unauthorized operation by carriers and brokers.
7 3311. Bribery.
8 3312. Evasion of motor carrier and broker regulations.
9 3313. Excessive price on resale.
10 3314. Limitation of actions and cumulation of remedies.
11 3315. Disposition of fines and penalties.
12 § 3301. Civil penalties for violations.
13 (a) General rule.--If any public utility, or any other
14 person or corporation subject to this part, shall violate any of
15 the provisions of this part, or shall do any matter or thing
16 herein prohibited; or shall fail, omit, neglect, or refuse to
17 perform any duty enjoined upon it by this part; or shall fail,
18 omit, neglect or refuse to obey, observe, and comply with any
19 regulation or final direction, requirement, determination or
20 order made by the commission, or any order of the commission
21 prescribing temporary rates in any rate proceeding, or to comply
22 with any final judgment, order or decree made by any court, such
23 public utility, person or corporation for such violation,
24 omission, failure, neglect, or refusal, shall forfeit and pay to
25 the Commonwealth a sum not exceeding $1,000, to be recovered by
26 an action of assumpsit instituted in the name of the
27 Commonwealth. In construing and enforcing the provisions of this
28 section, the violation, omission, failure, neglect, or refusal
29 of any officer, agent, or employee acting for, or employed by,
30 any such public utility, person or corporation shall, in every
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1 case be deemed to be the violation, omission, failure, neglect,
2 or refusal of such public utility, person or corporation.
3 (b) Continuing offenses.--Each and every day's continuance
4 in the violation of any regulation or final direction,
5 requirement, determination, or order of the commission, or of
6 any order of the commission prescribing temporary rates in any
7 rate proceeding, or of any final judgment, order or decree made
8 by any court, shall be a separate and distinct offense. If any
9 interlocutory order of supersedeas, or a preliminary injunction
10 be granted, no penalties shall be incurred or collected for or
11 on account of any act, matter, or thing done in violation of
12 such final direction, requirement, determination, order, or
13 decree, so superseded or enjoined for the period of time such
14 order of supersedeas or injunction is in force.
15 (c) Gas pipeline safety violations.--Any person or
16 corporation, defined as a public utility in this part, who
17 violates any provisions of this part governing the safety of
18 pipeline or conduit facilities in the transportation of natural
19 gas, flammable gas, or gas which is toxic or corrosive, or of
20 any regulation or order issued thereunder, shall be subject to a
21 civil penalty of not to exceed $1,000 for each violation for
22 each day that the violation persists, except that the maximum
23 civil penalty shall not exceed $200,000 for any related series
24 of violations.
25 (d) Deduction from sums owing by Commonwealth.--The amount
26 of the penalty, when finally determined, may be deducted from
27 any sums owing by the Commonwealth to the person or corporation
28 charged or may be recovered in a civil action.
29 § 3302. Criminal penalties for violations.
30 Any person, including an officer, agent or employee of any
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1 public utility, or any corporation, who or which shall knowingly
2 fail, omit, neglect or refuse to obey, observe, and comply with
3 any regulation or final order, direction, or requirement of the
4 commission, or any order of the commission prescribing temporary
5 rates in any rate proceeding, or any final order or decree of
6 any court, or who shall knowingly procure, aid, or abet any such
7 violation, omission, failure, neglect, or refusal, shall be
8 guilty of a misdemeanor of the first degree.
9 § 3303. Nonliability for enforcement of lawful tariffs and
10 rates.
11 (a) Public utilities.--No public utility, nor any officer,
12 agent or employee thereof, shall be liable for any penalty or
13 forfeiture, or be subject to any prosecution, on account of
14 demanding, collecting, or receiving any rate for any service, or
15 for enforcing any regulation, or practice when such rate,
16 regulation, or practice is contained in a tariff properly filed
17 with the commission, and posted or published as herein provided,
18 and is applicable by the terms thereof at the time to such
19 service although such rate, regulation, method or practice may
20 be found by the commission to be unjust or unreasonable.
21 (b) Contract carrier by motor vehicle.--No contract carrier
22 by motor vehicle, nor any officer, agent or employee thereof,
23 shall be liable for any penalty or forfeiture, or be subject to
24 any prosecution on account of demanding, collecting or receiving
25 any minimum rate prescribed by the commission under the
26 provisions of this part.
27 § 3304. Unlawful issuance and assumption of securities.
28 Any individual who shall knowingly affix his name or
29 attestation to any stock certificate or other evidence of
30 equitable interest, or any bond, note, trust certificate, or
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1 other security issued or assumed by any public utility, or any
2 director who shall knowingly assent to the issuance or
3 assumption of any such stock certificate, or other evidence of
4 equitable interest, or any bond, note or other evidence of
5 indebtedness, or other security issued by any public utility, or
6 any director who shall knowingly assent to the issue of any such
7 certificate of stock, trust certificate, corporate bond, note,
8 or other evidence of indebtedness, or other security of any
9 public utility, in violation of any of the provisions or
10 requirements of this part, or any individual who shall knowingly
11 make or assent to any false statement in any securities
12 certificate required to be registered with the commission under
13 the provisions of Chapter 19 (relating to securities and
14 obligations) who shall by any false statements, oral or written,
15 knowingly make, procure, or seek to procure, of the commission
16 the registration of any such securities certificate, shall be
17 guilty of a misdemeanor of the first degree.
18 § 3305. Misapplication of proceeds of securities.
19 Any individual who shall knowingly make or assent to any
20 application or disposition of any stock certificate, or other
21 evidence of equitable interest, or any bond, note, trust
22 certificate, or other evidence of indebtedness, or other
23 security, or the proceeds of the sale or pledge thereof, or any
24 part thereof, in violation of any statement or contrary to any
25 purpose in relation thereto set forth or contained in any
26 securities certificate required to be registered with the
27 commission under the provisions of Chapter 19 (relating to
28 securities and obligations) who shall knowingly make or assent
29 to any false statement in any report or account to the
30 commission as to the disposition or application of the proceeds,
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1 or any part thereof, of any sale or pledge of any stock
2 certificate, or other evidence of equitable interest, or any
3 bond, note, trust certificate, or other evidence of
4 indebtedness, or other security, shall be guilty of a
5 misdemeanor of the first degree.
6 § 3306. Execution of unlawful contracts.
7 Any individual who shall knowingly affix his name or
8 attestation to any written contract or arrangement, or who shall
9 enter into any written contract or arrangement, or any
10 individual who shall knowingly assent to the entering into of
11 any written or verbal contract, in violation of any of the
12 provisions or requirements of this part, or any individual
13 knowingly making or assenting to any false statement in any
14 application for the approval of any contract or arrangement, the
15 approval of which is required by this part, shall be guilty of a
16 misdemeanor of the first degree.
17 § 3307. Refusal to obey subpoena and testify.
18 If any individual who shall be subpoenaed to attend before
19 the commission, or its representative, shall fail to obey the
20 command of such subpoena, or if any individual in attendance
21 before the commission, or its representative, shall refuse to be
22 sworn or to be examined, or to answer any relevant question, or
23 to produce any relevant data, book, record, paper, or document
24 when ordered so to do by the commission, or its representative,
25 such person shall be guilty of a summary offense.
26 § 3308. Concealment of witnesses and records.
27 If any individual shall absent himself from the jurisdiction
28 of this Commonwealth or conceal himself for the purpose of
29 avoiding service of a subpoena issued by the commission, or its
30 representative; or shall remove relevant data, books, records,
19770H0489B0533 - 143 -
1 papers, or other documents out of this Commonwealth for the
2 purpose of preventing their examination by the commission; or
3 shall destroy or conceal any such data, books, records, papers
4 or other documents for such purpose, he shall be adjudged guilty
5 of contempt; and any court of common pleas may impose a fine of
6 not less than $100 for each day during the continuance of such
7 refusal, neglect, concealment, or removal; and if such court
8 shall find that the neglect, refusal, or concealment, or the
9 removal or destruction of data, books, records, papers, or other
10 documents by such witness, has been occasioned by the advice or
11 consent of any party to the proceedings before the commission,
12 or in anywise aided or abetted by such party, then, in default
13 of payment of such fine by the individual in contempt, the same
14 shall be paid by such party and may be recovered from such party
15 by an action in the name of the Commonwealth, in any court of
16 common pleas, as other like fines and penalties are now by law
17 recoverable. Imprisonment for contempt shall be by commitment to
18 the county jail of the county in which such hearing is held.
19 § 3309. Liability for damages occasioned by unlawful acts.
20 (a) General rule.--If any person or corporation shall do or
21 cause to be done any act, matter, or thing prohibited or
22 declared to be unlawful by this part, or shall refuse, neglect,
23 or omit to do any act, matter, or thing enjoined or required to
24 be done by this part, such person or corporation shall be liable
25 to the person or corporation injured thereby in the full amount
26 of damages sustained in consequence thereof. The liability of
27 public utilities, contract carriers by motor vehicles, and
28 brokers for negligence, as heretofore established by statute or
29 by common law, shall not be held or construed to be altered or
30 repealed by any of the provisions of this part.
19770H0489B0533 - 144 -
1 (b) Rights of Commonwealth unaffected.--The recovery in this
2 section authorized shall in no manner affect a recovery by the
3 Commonwealth of the penalty prescribed in section 3301 (relating
4 to civil penalties for violations) for such violations of this
5 part.
6 § 3310. Unauthorized operation by carriers and brokers.
7 Any person or corporation operating as a motor carrier or as
8 a common carrier by airplane, and any operator or employee of
9 such carrier, and any person or corporation operating as a
10 broker, without a certificate of public convenience, permit or
11 license, authorizing the service performed, as required by this
12 part, shall be guilty of a summary offense, and any subsequent
13 offense by such person or corporation shall constitute a
14 misdemeanor of the third degree.
15 § 3311. Bribery.
16 Any officer, attorney, agent, or employee of any public
17 utility who offers to any commissioner, or to any person
18 appointed or employed by the commission, any office, place,
19 appointment, or position, or offers to give to any commissioner,
20 or to any person employed in the service of the commission, any
21 free pass or transportation, or any reduction in fares to which
22 the public generally is not entitled, or any free carriage of
23 property, or any present, gift, or gratuity, money, or valuable
24 thing of any kind, shall be guilty of a misdemeanor of the third
25 degree.
26 § 3312. Evasion of motor carrier and broker regulations.
27 Any person, whether carrier, shipper, consignee, or broker,
28 or any officer, employee, agent, or representative thereof, who
29 shall knowingly offer, grant, or give, or solicit, accept, or
30 receive any rebate, concession, or discrimination, in violation
19770H0489B0533 - 145 -
1 of any provision of this part with respect to motor carriers, or
2 who, by means of false statements or representations or by use
3 of false or fictitious bill, bill of lading, receipt, voucher,
4 roll, account, claim, certificate, affidavit, deposition, lease,
5 or bill of sale, or by any other means or device, shall
6 knowingly and willfully, assist, suffer or permit any person or
7 persons, natural or artificial, to obtain transportation of
8 property by motor carrier subject to this part, for less than
9 the applicable rate, fare or charge, or who shall knowingly and
10 willfully, by any such means, or otherwise seek to evade or
11 defeat regulation in this part provided for motor carriers or
12 brokers, shall be guilty of a summary offense.
13 § 3313. Excessive price on resale.
14 Any person, corporation or other entity violating the
15 provisions of section 1313 (relating to price upon resale of
16 public utility services) shall be guilty of a summary offense
17 and shall, upon conviction, be sentenced to pay a fine of $100
18 multiplied by the number of residential bills exceeding the
19 maximum prescribed in section 1313.
20 § 3314. Limitation of actions and cumulation of remedies.
21 (a) General rule.--No action for the recovery of any
22 penalties or forfeitures incurred under the provisions of this
23 part, and no prosecutions on account of any matter or thing
24 mentioned in this part, shall be maintained unless brought
25 within three years from the date at which the liability therefor
26 arose, except as otherwise provided in this part.
27 (b) Remedies and penalties cumulative.--All suits, remedies,
28 prosecutions, penalties, and forfeitures provided for, or
29 accruing under, this part, shall be cumulative.
30 § 3315. Disposition of fines and penalties.
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1 All fines imposed, and all penalties recovered, under the
2 provisions of this part, shall be paid to the commission, and by
3 it paid into the State Treasury, through the Department of
4 Revenue, to the credit of the General Fund.
5 PART II
6 OTHER PROVISIONS (RESERVED)
7 Section 2. Repeals.--(a) Absolute repeals.--The following
8 acts and parts of acts are repealed:
9 Section 7, act of May 5, 1832 (P.L.501, No.189), entitled "An
10 act regulating lateral Rail-Roads."
11 Sections 12 and 18, act of February 19, 1849 (P.L.79, No.76),
12 entitled "An act regulating railroad companies."
13 Act of April 15, 1851 (1852 P.L.720, No.401), entitled "An
14 act to incorporate the Susquehanna and Erie railroad company."
15 Act of December 16, 1863 (1864 P.L.1124, No.962), entitled
16 "An act in relation to feeding stock, while awaiting
17 transportation on railroads."
18 Act of April 11, 1867 (P.L.69, No.49), entitled "An act to
19 regulate the carriage of baggage by railroad companies, and to
20 prescribe the duties and obligations of carriers and passengers
21 in relation thereto."
22 Sections 10 and 11, act of April 4, 1868 (P.L.62, No.29),
23 entitled "An act to authorize the formation and regulation of
24 railroad corporations."
25 Section 2, act of June 19, 1871 (P.L.1360, No.1264), entitled
26 "An act relating to legal proceedings by or against
27 corporations."
28 Act of May 15, 1874 (P.L.178, No.109), entitled "An act to
29 enforce the sixth section of the seventeenth article of the
30 constitution of this commonwealth, providing that no president,
19770H0489B0533 - 147 -
1 director, officer, agent or employee of any railroad or canal
2 company shall be interested in the furnishing of material or
3 supplies to such company, or in the business of transportation
4 as a common carrier of freight or passengers over the works
5 owned, leased, controlled or worked by such company."
6 Act of June 15, 1874 (P.L.289, No.176), entitled "An act to
7 carry into effect section eight of article seventeen of the
8 constitution, in relation to granting free passes or passes at a
9 discount by railroad or other transportation companies."
10 Act of May 5, 1876 (P.L.116, No.87), entitled "An act
11 regulating the passenger fare and freight rates on railroads
12 operated by steam power, not exceeding fifteen miles in length."
13 Act of May 19, 1879 (P.L.71, No.80), entitled "An act to
14 repeal all local or special laws regulating or fixing the rates
15 of fare to be charged by city passenger railway companies, in
16 cities of the third class."
17 Act of June 7, 1901 (P.L.531, No.253), entitled "An act
18 relating to railroad crossings of highways, and for the
19 regulation, alteration and abolition of grade crossings, except
20 in cities of the first and second classes."
21 Act of May 4, 1905 (P.L.380, No.232), entitled "An act to
22 empower railroad companies to change the location and grade, or
23 either, of bridges and their approaches belonging to bridge
24 corporations, to accommodate the location and construction of
25 their railroad, or the changing, relocating, widening,
26 straightening, or improvement thereof."
27 Act of April 5, 1907 (P.L.59, No.52), entitled "An act to
28 regulate the maximum rate and minimum fare to be charged for
29 transportation of passengers by railroad companies, and
30 prescribing the penalty for violation thereof."
19770H0489B0533 - 148 -
1 Act of May 31, 1907 (P.L.352, No.252), entitled "An act to
2 enforce the provisions of section five, article seventeen, of
3 the Constitution of Pennsylvania, relating to the powers of
4 incorporated common carriers and the privileges of mining and
5 manufacturing companies; making the violation thereof a
6 misdemeanor, and providing a punishment for the same."
7 Act of May 31, 1907 (P.L.352, No.253), entitled "An act to
8 carry into effect the provisions of section seven, article
9 seventeen, of the Constitution of Pennsylvania, relating to
10 discriminations and preferences in charges and facilities; and
11 making the violation thereof a misdemeanor, and providing a
12 penalty for the same."
13 Act of May 31, 1907 (P.L.353, No.254), entitled "An act to
14 enforce the provisions of section four, article seventeen, of
15 the Constitution of Pennsylvania, pertaining to the
16 consolidation of parallel or competing lines of railroads,
17 canals, or other companies, and restricting the officers of such
18 companies; empowering juries to decide whether companies are
19 parallel or competing lines; and making the violation thereof a
20 misdemeanor, and providing a punishment for the same."
21 Act of May 31, 1907 (P.L.354, No.255), entitled "An act to
22 carry into effect the provisions of section three, article
23 seventeen, of the Constitution of Pennsylvania, relating to the
24 transportation of persons and property; and making the violation
25 thereof a misdemeanor, and providing a penalty for the same."
26 Act of June 1, 1907 (P.L.359, No.259), entitled "An act
27 forbidding those officers, employes, or agents of any railroad
28 company operating within this Commonwealth, who have charge,
29 directly or indirectly, of the distribution of cars to shippers
30 thereon, to own or have any interest, directly or indirectly, in
19770H0489B0533 - 149 -
1 any operated coal property, or in the stock of any mining or
2 manufacturing company, along the line of such railroad; making
3 the violation hereof a misdemeanor, and providing a punishment
4 for the same.
5 Act of June 7, 1907 (P.L.464, No.313), entitled "An act to
6 prevent discrimination by, and to regulate rates and charges for
7 carrying freight and passengers by, narrow-gage railroads within
8 the Commonwealth; and providing a remedy for the violation
9 thereof."
10 Act of June 10, 1911 (P.L.867, No.339), entitled "An act
11 fixing the width of public highways, where such highways are
12 crossed above or below grade by the tracks of any railroad,
13 except in cities and boroughs."
14 Act of July 10, 1919 (P.L.901, No.357), entitled "An act
15 supplementary to the Public Service Company Law, approved the
16 twenty-sixth day of July, Anno Domini one thousand nine hundred
17 and thirteen, giving to the Public Service Commission the power,
18 in the elimination of grade crossings, to direct the
19 construction of bridges or viaducts over, above, and across
20 railroads and railways, and, where necessary, across rivers and
21 streams; and, in order to effect said elimination, to change the
22 location to a new place or to another street or highway; and,
23 where the said bridge or viaduct is located by the commission
24 and directed to be constructed in the line of any street or
25 highway which crosses a navigable river, or a stream which has
26 been declared a public highway by act of Assembly, at a point
27 where the Commonwealth has been authorized to construct a public
28 bridge to replace a county bridge destroyed by flood or other
29 casualty, to provide for the payment by the Commonwealth of part
30 of the cost of said improvement from appropriations made to the
19770H0489B0533 - 150 -
1 Board of Commissioners of Public Grounds and Buildings, the
2 making of the contract, and the expenditure of said
3 appropriation."
4 Act of April 7, 1927 (P.L.134, No.105), entitled "An act
5 relating to such highways as are opened by the order of the
6 Public Service Commission of the Commonwealth of Pennsylvania in
7 proceedings relating to elimination of grade crossings; and
8 relating to the establishment of such roads and connecting roads
9 as State highways; and providing for their construction and
10 maintenance at the expense of the Commonwealth; and providing in
11 certain event for the opening and maintaining of said roads by
12 city, borough, incorporated town, and township authorities."
13 Section 303, act of April 9, 1929 (P.L.177, No.175), known as
14 "The Administrative Code of 1929."
15 Act of June 10, 1935 (P.L.291, No.126), entitled "An act
16 empowering private corporations hereafter formed and
17 municipalities to establish, operate, and maintain foreign-trade
18 zones in or adjacent to ports of entry of the United States in
19 accordance with the act of Congress of the United States; and
20 prescribing the powers and duties of such corporations and
21 municipalities in connection therewith."
22 Act of March 31, 1937 (P.L.160, No.43), entitled "An act
23 creating a commission to be known as the Pennsylvania Public
24 Utility Commission; defining in part the powers and duties of
25 such commission; abolishing The Public Service Commission of the
26 Commonwealth of Pennsylvania, terminating the terms of the
27 members thereof, and transferring to the Pennsylvania Public
28 Utility Commission the records, employes, property, and
29 equipment of The Public Service Commission of the Commonwealth
30 of Pennsylvania; authorizing the Pennsylvania Public Utility
19770H0489B0533 - 151 -
1 Commission to appear in and complete all pending proceedings,
2 legal or otherwise, instituted before, by or against The Public
3 Service Commission of the Commonwealth of Pennsylvania;
4 providing that all certificates of public convenience,
5 contracts, orders, and rules and regulations of the latter
6 commission shall remain effective until repealed, changed or
7 modified by the Pennsylvania Public Utility Commission, and
8 transferring and appropriating to the Pennsylvania Public
9 Utility Commission any unexpended balance of any existing
10 appropriation to The Public Service Commission of the
11 Commonwealth of Pennsylvania."
12 Act of May 28, 1937 (P.L.1053, No.286), known as the "Public
13 Utility Law."
14 Act of December 1, 1938 (Sp.Sess., P.L.111, No.45), entitled
15 "An act making illegal the furnishing of certain telephone and
16 telegraph wires and services by certain public utilities for use
17 in the dissemination of information in furtherance of gambling;
18 making it unlawful for any public utility to furnish private
19 wires, except by written contract; conferring and imposing upon
20 the Pennsylvania Public Utility Commission the power and duty to
21 disapprove all contracts for private wires used for, or intended
22 to be used for, the transmission of information or advices in
23 furtherance of gambling; making illegal the furnishing of
24 certain wires by certain public utilities after the disapproval
25 of the contract therefor by the Pennsylvania Public Utility
26 Commission; making illegal the use of certain wires for purposes
27 other than those specified in the written contract therefor;
28 imposing penalties; making the dissemination of information
29 pertaining to horse racing over certain wires prima facie
30 evidence that the same is in furtherance of gambling;
19770H0489B0533 - 152 -
1 prescribing the burden of proof in proceedings hereunder; and
2 providing for appeal."
3 Section 3(d)(11), act of August 5, 1941 (P.L.752, No.286),
4 known as the "Civil Service Act."
5 Act of June 5, 1943 (P.L.901, No.373), entitled "An act to
6 regulate persons, partnerships and corporations engaged in the
7 business of renting motor vehicles; authorizing the Public
8 Utility Commission to administer and enforce the provisions of
9 this act; and imposing penalties."
10 Act of January 5, 1972 (1971 P.L.660, No.174), entitled "An
11 act requiring certain locomotives operating over thirty miles
12 per hour to have certain equipment thereon by certain dates;
13 requiring the maintenance of certain records thereof by
14 railroads operating same, the notification of the Public Utility
15 Commission thereof, and placing certain duties on that
16 commission."
17 Act of March 28, 1972 (P.L.158, No.60), entitled "An act
18 limiting the rates at which certain entities other than public
19 utilities may resell public utility service to residential
20 consumers; and providing penalties."
21 Act of July 25, 1975 (P.L.96, No.49), entitled "An act
22 requiring speed recorders on locomotives."
23 Act of December 3, 1975 (P.L.481, No.142), entitled "An act
24 requiring that flag protection be provided against following
25 trains occupying the same track."
26 (b) Repeal as inconsistent.--Section 709, act of April 9,
27 1929 (P.L.177, No.175), known as "The Administrative Code of
28 1929," is repealed insofar as it is inconsistent with this act.
29 Section 3. Effective date.--This act shall take effect in 60
30 days except that the provisions of 66 Pa.C.S. §§ 1308 and 1310,
19770H0489B0533 - 153 -
1 insofar as they are different from the law repealed hereby,
2 shall take effect October 7, 1977.
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