SENATE AMENDED
        PRIOR PRINTER'S NOS. 2190, 2634,2930          PRINTER'S NO. 3014

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1787 Session of 1979


        INTRODUCED BY MESSRS. McCLATCHY AND PIEVSKY, OCTOBER 2, 1979

        AS AMENDED ON SECOND CONSIDERATION, MARCH 4, 1980

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, FURTHER PROVIDING FOR THE ASSESSMENT    <--
     3     OF REGULATORY EXPENSES UPON PUBLIC UTILITIES AND providing
     4     for the use of certain Federal funds.

     5     The General Assembly of the Commonwealth of Pennsylvania
     6  hereby enacts as follows:
     7     SECTION 1.  SECTION 510(A) OF TITLE 66, ACT OF NOVEMBER 25,    <--
     8  1970 (P.L.707, NO.230), KNOWN AS THE PENNSYLVANIA CONSOLIDATED
     9  STATUTES, IS AMENDED TO READ:
    10  § 510.  ASSESSMENT FOR REGULATORY EXPENSES UPON PUBLIC
    11          UTILITIES.
    12     (A)  DETERMINATION OF ASSESSMENT.--BEFORE [MARCH 1] JANUARY
    13  15 OF EACH YEAR, THE COMMISSION SHALL ESTIMATE ITS TOTAL
    14  EXPENDITURES IN THE ADMINISTRATION OF THIS PART FOR THE FISCAL
    15  YEAR BEGINNING JULY OF THAT YEAR, WHICH ESTIMATE SHALL NOT
    16  EXCEED THREE-TENTHS OF 1% OF THE TOTAL GROSS INTRASTATE
    17  OPERATING REVENUES OF THE PUBLIC UTILITIES UNDER ITS
    18  JURISDICTION FOR THE PRECEDING CALENDAR YEAR. [SUCH ESTIMATE

     1  SHALL BE SUBMITTED TO THE GOVERNOR, AND TO THE APPROPRIATION
     2  COMMITTEES OF THE HOUSE AND SENATE THROUGH THEIR RESPECTIVE
     3  CHAIRMEN, FOR THEIR RESPECTIVE APPROVALS OF SUCH ESTIMATE IN THE
     4  AMOUNT SUBMITTED OR SUCH LESSER AMOUNT AS EACH OF THEM MAY
     5  DETERMINE. UNLESS THE GOVERNOR, OR EITHER COMMITTEE THROUGH ITS
     6  CHAIRMAN, SHALL NOTIFY THE COMMISSION IN WRITING OF HIS OR ITS
     7  ACTION WITHIN 30 DAYS AFTER SUCH SUBMISSION, THE ESTIMATE AS
     8  SUBMITTED SHALL BE DEEMED APPROVED BY HIM OR BY THE COMMITTEE.
     9  THE LEAST OF THE AMOUNTS SO APPROVED BY THE THREE APPROVING
    10  AUTHORITIES SHALL BE THE FINAL ESTIMATE; AND APPROVAL OF SUCH
    11  LEAST AMOUNT SHALL CONSTITUTE COMPLIANCE WITH SECTION 604 OF THE
    12  ACT OF APRIL 9, 1929 (P.L.177, NO.175), KNOWN AS "THE
    13  ADMINISTRATIVE CODE OF 1929."] THE COMMISSION OR ITS DESIGNATED   <--
    14  REPRESENTATIVES SHALL BE AFFORDED AN OPPORTUNITY TO APPEAR
    15  BEFORE THE SENATE AND HOUSE APPROPRIATIONS COMMITTEES REGARDING
    16  THEIR ESTIMATES] OR BUDGET. THE COMMISSION SHALL SUBTRACT FROM    <--
    17  THE FINAL ESTIMATE:
    18         (1)  [THE] THE ESTIMATED FEES TO BE COLLECTED PURSUANT TO
    19     SECTION 317 (RELATING TO FEES FOR SERVICES RENDERED BY
    20     COMMISSION)[; AND] DURING SUCH FISCAL YEAR.
    21         (2)  [THE] THE ESTIMATED BALANCE OF THE APPROPRIATION,
    22     SPECIFIED IN SECTION 511 (RELATING TO DISPOSITION,
    23     APPROPRIATION AND DISBURSEMENT OF ASSESSMENTS AND FEES), TO
    24     BE CARRIED OVER INTO SUCH FISCAL YEAR FROM THE PRECEDING ONE.
    25  THE REMAINDER SO DETERMINED, HEREIN CALLED THE TOTAL ASSESSMENT,
    26  SHALL BE ALLOCATED TO, AND PAID BY, SUCH PUBLIC UTILITIES IN THE
    27  MANNER PRESCRIBED [IN THIS PART]. A PROPOSED BUDGET SHALL BE
    28  SUBMITTED TO THE GENERAL ASSEMBLY AND THE GOVERNOR'S BUDGET
    29  OFFICE. IF THE GENERAL ASSEMBLY FAILS TO APPROVE THE
    30  COMMISSION'S BUDGET FOR THE PURPOSES OF THIS PART, BY APRIL 30,   <--
    19790H1787B3014                  - 2 -

     1  MARCH 15, THE COMMISSION SHALL ASSESS PUBLIC UTILITIES ON THE     <--
     2  BASIS OF THE LAST APPROVED OPERATING BUDGET. AT SUCH TIME AS THE
     3  GENERAL ASSEMBLY APPROVES THE PROPOSED BUDGET THE COMMISSION
     4  SHALL HAVE THE AUTHORITY TO MAKE AN ADJUSTMENT IN THE
     5  ASSESSMENTS TO REFLECT THE APPROVED BUDGET.
     6     * * *
     7     Section 1 2.  Title 66, act of November 25, 1970 (P.L.707,     <--
     8  No.230), known as the Pennsylvania Consolidated Statutes, is
     9  amended by adding a section to read:
    10  § 511.1.  Use of Federal funds under energy program.
    11     (a)  General rule.--The commission is authorized to apply for
    12  and, subject to appropriation by the General Assembly, use
    13  Federal funds pursuant to the National Energy Act which is
    14  composed of:
    15         (1)  The "National Energy Conservation Policy Act,"
    16     Public Law 95-619.
    17         (2)  The "Powerplant and Industrial Fuel Use Act of
    18     1978," Public Law 95-620.
    19         (3)  The "Public Utility Regulatory Policies Act of
    20     1978," Public Law 95-617.
    21         (4)  The "Natural Gas Policy Act of 1978," Public Law 95-
    22     621.
    23         (5)  The "Energy Tax Act of 1978," Public Law 95-618.
    24         (6)  The "Energy Conservation and Production Act of
    25     1976," Public Law 94-385.
    26         (7)  Any future Federal legislation or amendments to the
    27     statutes listed in this subsection providing special funds
    28     for:
    29             (i)  Rate making research and development.
    30             (ii)  Energy conservation research and development.
    19790H1787B3014                  - 3 -

     1             (iii)  Motor carrier and rail transportation safety
     2         programs.
     3             (iv)  Gas safety programs.
     4     (b)  Funds not subject to lapse.--Funds received by the
     5  commission pursuant to subsection (a) shall not be subject to
     6  lapsing at the end of any fiscal period.
     7     (c)  Reimbursement to utilities prohibited.--Funds received
     8  by the commission pursuant to subsection (a) shall not be
     9  reimbursed to any public utility.
    10     Section 2 3.  This act shall take effect immediately.          <--














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