AB389,7,1313 (h) One member appointed by the chairperson of the public service commission.
AB389, s. 2 14Section 2. 16.957 of the statutes is created to read:
AB389,7,15 1516.957 Utility public benefits. (1) Definitions. In this section:
AB389,7,1616 (bm) "Commission" means the public service commission.
AB389,8,3
1(c) "Commitment to community program" means a program by a municipal
2utility or retail electric cooperative for low-income assistance or an energy
3conservation program by a municipal utility or retail electric cooperative.
AB389,8,54 (cm) "Council" means the council on utility public benefits created under s.
515.107 (17).
AB389,8,86 (d) "Customer application of renewable resources" means the generation of
7electricity from renewable resources that takes place on the premises of a customer
8or member of an electric provider.
AB389,8,99 (e) "Division of housing" means the division of housing in the department.
AB389,8,1010 (f) "Electric provider" means an electric utility or retail electric cooperative.
AB389,8,1211 (g) "Electric utility" means a public utility that owns or operates a retail electric
12distribution system.
AB389,8,1413 (h) "Energy conservation program" means a program for reducing the demand
14for natural gas or electricity or improving the efficiency of its use during any period.
AB389,8,1515 (i) "Fiscal year" has the meaning given in s. 655.001 (6).
AB389,8,1816 (k) "Local unit of government" means the governing body of any county, city,
17town, village or county utility district or the elected tribal governing body of a
18federally recognized American Indian tribe or band.
AB389,8,2119 (L) "Low-income assistance" means assistance to low-income households for
20weatherization and other energy conservation services, payment of energy bills or
21early identification or prevention of energy crises.
AB389,9,222 (m) "Low-income household" means any individual or group of individuals in
23this state who are living together as one economic unit and for whom residential
24electricity is customarily purchased in common or who make undesignated

1payments for electricity in the form of rent, and whose household income is not more
2than 150% of the poverty line as determined under 42 USC 9902 (2).
AB389,9,73 (n) "Low-income need" means the amount obtained by subtracting from the
4total low-income energy bills in a fiscal year the product of 2.2% of the estimated
5average annual income of low-income households in this state in that fiscal year
6multiplied by the estimated number of low-income households in this state in that
7fiscal year.
AB389,9,108 (o) "Low-income need percentage" means the percentage that results from
9dividing the sum of the following by the amount of low-income need in fiscal year
101998-99:
AB389,9,1211 1. The total amount received by the department for low-income funding under
1242 USC 6861 to 6873 and 42 USC 8621 to 8629 in fiscal year 1997-98.
AB389,9,1413 1m. The public benefits fees established for fiscal year 1999-2000 under sub.
14(4) (c) 1.
AB389,9,1515 2. The total amount expended by utilities under s. 196.374.
AB389,9,1716 3. Fifty percent of the public benefits fees established for fiscal year 1999-2000
17that are charged by municipal utilities and retail electric cooperatives.
AB389,9,1918 (p) "Low-income need target" means the product of the low-income need
19percentage multiplied by low-income need in a fiscal year.
AB389,9,2120 (q) "Municipal utility" means an electric utility that is owned wholly by a
21municipality and that owns a retail distribution system.
AB389,9,2222 (qm) "Public utility" has the meaning given in s. 196.01 (5).
AB389,9,2323 (r) "Renewable resource" has the meaning given in s. 196.378 (1) (h).
AB389,9,2524 (s) "Retail capacity" means the total amount of electricity that an electric
25provider is capable of delivering to its retail customers or members and that is

1supplied by electric generating facilities owned or operated by the electric provider
2or any other person. "Retail capacity" does not include any electricity that is not used
3to satisfy the electric provider's retail load obligations.
AB389,10,64 (t) "Retail electric cooperative" means a cooperative association that is
5organized under ch. 185 for the purpose of providing electricity at retail to its
6members only and that owns or operates a retail electric distribution system.
AB389,10,97 (u) "Total low-income energy bills" means the total estimated amount that all
8low-income households are billed for residential electricity, natural gas and heating
9fuel in a fiscal year.
AB389,10,1210 (v) "Wholesale electric cooperative" means a cooperative association that is
11organized under ch. 185 for the purpose of providing electricity at wholesale to its
12members only.
AB389,10,1513 (w) "Wholesale supply percentage" means the percentage of a municipal
14utility's or retail electric cooperative's retail capacity in a fiscal year that is supplied
15by a wholesale supplier.
AB389,10,1816 (x) "Wholesale supplier" means a wholesale electric cooperative or a municipal
17electric company, as defined in s. 66.073 (3) (d), that supplies electricity at wholesale
18to a municipal utility or retail electric cooperative.
AB389,10,20 19(2) Department duties. In consultation with the council, the department shall
20do all of the following:
AB389,11,221 (a) Low-income programs. After holding a hearing, establish programs to be
22administered by the department of administration through the division of housing
23for awarding grants from the appropriation under s. 20.505 (10) (r) to provide
24low-income assistance. In each fiscal year, the amount awarded under this

1paragraph in grants for weatherization and other energy conservation services shall
2be sufficient to equal 47% of the sum of the following:
AB389,11,431. All moneys received from the federal government under 42 USC 6861 to 6873
4and 42 USC 8621 to 8629 in a fiscal year.
AB389,11,65 2. All moneys spent in a fiscal year for low-income programs established under
6s. 196.374.
AB389,11,87 3. All moneys spent in a fiscal year on programs established under this
8paragraph.
AB389,11,99 4. Fifty percent of the moneys collected in public benefits fees under sub. (5).
AB389,11,1210 (b) Energy conservation and efficiency and renewable resource programs. 1.
11Subject to subd. 2., after holding a hearing, establish programs for awarding grants
12from the appropriation under s. 20.505 (10) (s) for each of the following:
AB389,11,1913 a. Proposals for providing energy conservation or efficiency services. In
14awarding grants under this subd. 1. a., the department shall give priority to
15proposals directed at the sectors of energy conservation or efficiency markets that
16are least competitive and at promoting environmental protection, electric system
17reliability or rural economic development. In each fiscal year, 1.75% of the
18appropriation under s. 20.505 (10) (s) shall be awarded in grants for research and
19development proposals regarding the environmental impacts of the electric industry.
AB389,11,2520 b. Proposals for encouraging the development or use of customer applications
21of renewable resources, including educating customers or members about renewable
22resources or encouraging uses of renewable resources by customers or members or
23encouraging research technology transfers. In each fiscal year, the department shall
24ensure that 4.5% of the appropriation under s. 20.505 (10) (s) is awarded in grants
25under this subd. 1. b.
AB389,12,5
12. For each fiscal year after fiscal year 2003-04, determine whether to continue,
2discontinue or reduce any of the programs established under subd. 1. and determine
3the total amount necessary to fund the programs that the department determines
4to continue or reduce under this subdivision. The department shall notify the
5commission if the department determines under this subdivision to reduce funding.
AB389,12,66 (c) Rules. Promulgate rules establishing all of the following:
AB389,12,117 1. Eligibility requirements for low-income assistance under programs
8established under par. (a). The rules shall prohibit a person who receives
9low-income assistance from a municipal utility or retail electric cooperative under
10a program specified in sub. (5) (d) 2. b. or 3. a. from receiving low-income assistance
11under programs established under par. (a).
AB389,12,1312 2. Requirements and procedures for applications for grants awarded under
13programs established under par. (a) or (b) 1.
AB389,12,1514 2m. Criteria for the selection of proposals by a corporation specified in sub. (3)
15(b).
AB389,12,1916 2n. Criteria for making the determination under par. (b) 2. Rules promulgated
17under this subdivision shall require the department to determine whether the need
18for a program established under par. (b) 1. is satisfied by the private sector market
19and, if so, whether the program should be discontinued or reduced.
AB389,13,620 4. Requirements for electric utilities to allow customers or members to include
21voluntary contributions to assist in funding a commitment to community program
22or a program established under par. (a) or (b) 1. with bill payments for electric service.
23The rules may require an electric utility to provide a space on an electric bill in which
24a customer or member may indicate the amount of a voluntary contribution and the
25customer's or member's preference regarding whether a contribution should be used

1for a program established under par. (a) or (b) 1. a. or b. The rules shall establish
2requirements and procedures for electric utilities to pay to the department any
3voluntary contributions included with bill payments and to report to the department
4customer or member preferences regarding use of the contributions. The
5department shall deposit all contributions received under this paragraph in the
6utility public benefits fund.
AB389,13,107 5. A method for estimating total low-income energy bills, average annual
8income of low-income households and the number of low-income households in a
9fiscal year for the purpose of determining the amount of low-income need in the fiscal
10year.
AB389,13,1211 (d) Other duties. 1. For each fiscal year after fiscal year 1998-99, determine
12the low-income need target for that fiscal year.
AB389,13,1613 2. Encourage customers or members to make voluntary contributions to assist
14in funding the programs established under pars. (a) and (b) 1. The department shall
15deposit all contributions received under this paragraph in the utility public benefits
16fund.
AB389,13,1817 3. Deposit all moneys received under sub. (4) (a) or (5) (c) or (d) in the utility
18public benefits fund.
AB389,13,2019 4. Provide for an annual independent audit and submit an annual report to the
20legislature under s. 13.172 (2) that describes each of the following:
AB389,13,2221 a. The expenses of the department, other state agencies and grant recipients
22in administering or participating in the programs under pars. (a) and (b).
AB389,13,2423 b. The effectiveness of the programs under par. (a) in providing assistance to
24low-income individuals.
AB389,14,3
1c. The effectiveness of the programs under par. (b) in reducing demand for
2electricity and increasing the use of renewable resources owned by customers or
3members.
AB389,14,54 d. Any other issue identified by the governor, speaker of the assembly or
5majority leader of the senate.
AB389,14,9 6(3) Contracts. (a) The division of housing shall, on the basis of competitive
7bids, contract with community action agencies described in s. 46.30 (2) (a) 1.,
8nonstock, nonprofit corporations organized under ch. 181 or local units of
9government to provide services under the programs established under sub. (2) (a).
AB389,14,1510 (b) The department shall, on the basis of competitive bids, contract with one
11or more nonstock, nonprofit corporations organized under ch. 181 to administer the
12programs established under sub. (2) (b) 1., including soliciting proposals, processing
13grant applications, selecting, based on criteria specified in rules promulgated under
14sub. (2) (c) 2m., proposals for the department to make awards and distributing grants
15to recipients.
AB389,14,2016 (c) In selecting proposals and awarding grants under sub. (2) (b), the
17department or a nonprofit corporation specified in par. (b) may not discriminate
18against an electric provider or its affiliate or a wholesale electric supplier or its
19affiliate solely on the basis of its status as an electric provider, wholesale electric
20supplier or affiliate.
AB389,14,25 21(4) Electric utilities. (a) Requirement to charge public benefits fees. Each
22electric utility, except for a municipal utility, shall charge each customer a public
23benefits fee in an amount established in rules promulgated by the department under
24par. (b). An electric utility, except for a municipal utility, shall collect and pay the fees
25to the department in accordance with the rules promulgated under par. (b).
AB389,15,4
1(am) Electric bills. An electric utility shall include a public benefits fee in a
2customer's bill and shall provide the customer with an annual statement that
3identifies the annual charges for public benefits fees and describes the programs for
4which fees are used.
AB389,15,85 (b) Rules. In consultation with the council, the department shall promulgate
6rules that establish the amount of a public benefits fee under par. (a). Fees
7established in rules under this paragraph may vary by class of customer, but shall
8be uniform within each class, and shall satisfy each of the following:
AB389,15,109 1. The fees may not be based on the kilowatt-hour consumption of electricity
10by customers.
AB389,15,1311 2. Seventy percent of the total amount of fees charged by an electric provider
12may be charged to residential customers and 30% of the total may be charged to
13nonresidential customers.
AB389,15,1514 3. The fees shall allow an electric provider to recover the reasonable and
15prudent expenses incurred by the electric provider in complying with this section.
AB389,15,1716 (c) Amount of public benefits fees. A fee established in rules promulgated under
17par. (b) shall satisfy each of the following:
AB389,15,2418 1. `Low-income funding.' In fiscal year 1999-2000, a portion of the public
19benefits fee shall be an amount that, when added to 50% of the estimated public
20benefits fees charged by municipal utilities and retail electric cooperatives under
21sub. (5) (a) for that fiscal year, shall equal $27,000,000. In each fiscal year after fiscal
22year 1999-2000, a portion of the public benefits fee shall be an amount that, when
23added to the sum of the following shall equal the low-income need target for that
24fiscal year determined by the department under sub. (2) (d) 1.:
AB389,16,2
1a. Fifty percent of the estimated public benefits fees charged by municipal
2utilities and retail electric cooperatives under sub. (5) (a) for that fiscal year.
AB389,16,43b. All moneys received under 42 USC 6861 to 6873 and 42 USC 8621 to 8629
4for that fiscal year.
AB389,16,65 c. The total amount spent on programs or contributed to the commission by
6utilities under s. 196.374 (3) for that fiscal year.
AB389,16,147 2. `Energy conservation and efficiency and renewable resource funding.' For
8fiscal year 1999-2000, a portion of the public benefits fee shall be in an amount that,
9when added to 50% of the estimated public benefits fees charged by municipal
10utilities and retail electric cooperatives under sub. (5) (a) for that fiscal year, shall
11equal $20,000,000. In each fiscal year after fiscal year 1999-2000, a portion of the
12public benefits fee shall be the amount determined under this subdivision for fiscal
13year 1999-2000, except that if the department determines to reduce or discontinue
14a program under sub. (2) (b) 2., the department shall reduce the amount accordingly.
AB389,16,2015 3. `Limitation on electric bill increases.' For the period beginning on the
16effective date of this subdivision .... [revisor inserts date], and ending on June 30,
172008, the total increase in a customer's electric bills that is based on the requirement
18to pay public benefits fees, including any increase resulting from an electric utility's
19compliance with this section, may not exceed 3% of the total of every other charge for
20which the customer is billed for that period or $750 per month, whichever is less.
AB389,17,3 21(5) Municipal utilities and retail electric cooperatives. (a) Requirement to
22charge public benefits fees.
Each retail electric cooperative and municipal utility
23shall charge a monthly public benefits fee to each customer or member in amount
24that is sufficient for the retail electric cooperative or municipal utility to collect an
25annual average of $17 per meter. A retail electric cooperative or municipal utility

1may determine the amount that a particular class of customers or members is
2required to pay under this paragraph and may charge different fees to different
3classes of customers or members.
AB389,17,104 (am) Public benefits fee restriction. Notwithstanding par. (a), for the period
5beginning on the effective date of this paragraph .... [revisor inserts date], and ending
6on June 30, 2008, the total increase in a customer's or member's electric bills that is
7based on the requirement to pay public benefits fees, including any increase
8resulting from a retail electric cooperative's or municipal utility's compliance with
9this section, may not exceed 3% of the total of every other charge for which the
10member or customer is billed for that period or $750 per month, whichever is less.
AB389,17,1511 (b) Election to contribute to department programs. 1. No later than the first
12day of the 12th month beginning after the effective date of this subdivision ....
13[revisor inserts date], each municipal utility or retail electric cooperative shall notify
14the department whether it has elected to contribute to the programs established
15under sub. (2) (a) or (b) 1. for a 3-year period.
AB389,17,1916 2. No later than every 3rd year after the date specified in subd. 1., each
17municipal utility or retail electric cooperative shall notify the department whether
18it has elected to contribute to the programs established under sub. (2) (a) or (b) 1. for
19a 3-year period.
AB389,17,2420 (c) Full contribution. If a municipal utility or retail electric cooperative elects
21under par. (b) 1. or 2. to contribute to the programs established both under sub. (2)
22(a) and under sub. (2) (b) 1., it shall pay 100% of the public benefits fees that it charges
23under par. (a) to the department in each fiscal year of the 3-year period for which it
24has made the election.
AB389,18,3
1(d) Partial contributions and commitment to community spending. A
2municipal utility or retail electric cooperative not specified in par. (c) shall do one of
3the following:
AB389,18,74 1. If the municipal utility or retail electric cooperative elects to contribute only
5to the programs established under sub. (2) (a), the municipal utility or retail electric
6cooperative shall, in each fiscal year of the 3-year period for which it elects to
7contribute under par. (b) 1. or 2., do all of the following:
AB389,18,98 a. Pay no less than 50% of the public benefits fees that it charges under par.
9(a) to the department.
AB389,18,1110 b. Spend no less than 50% of the public benefits fees that it charges under par.
11(a) on energy conservation programs.
AB389,18,1512 2. If the municipal utility or retail electric cooperative elects to contribute only
13to the programs established under sub. (2) (b) 1., the municipal utility or retail
14electric cooperative shall, in each fiscal year of the 3-year period for which it elects
15to contribute under par. (b) 1. or 2., do all of the following:
AB389,18,1716 a. Pay 50% of the public benefits fees that it charges under par. (a) to the
17department.
AB389,18,1918 b. Spend no less than 50% of the public benefits fees that it charges under par.
19(a) on programs for low-income assistance.
AB389,18,2320 3. If the municipal utility or retail electric cooperative elects not to contribute
21to any of the programs established under sub. (2) (a) or (b) 1., the municipal utility
22or retail electric cooperative shall, in each fiscal year of the 3-year period for which
23it elects not to contribute under par. (b) 1. or 2., do all of the following:
AB389,18,2524 a. Spend no less than 50% of the public benefits fees that it charges under par.
25(a) on programs for low-income assistance.
AB389,19,2
1b. Spend no less than 50% of the public benefits fees that it charges under par.
2(a) on energy conservation programs.
AB389,19,63 (e) Wholesale supplier credit. If a wholesale supplier has established a program
4for low-income assistance or an energy conservation program, a municipal utility or
5retail electric cooperative that is a customer or member of the wholesale supplier
6may do any of the following:
AB389,19,117 1. Include an amount equal to the product of the municipal utility's or retail
8electric cooperative's wholesale supply percentage and the amount that the
9wholesale supplier has spent on low-income assistance in a fiscal year in calculating
10the amount that the municipal utility or retail electric cooperative has spent on
11low-income assistance in that fiscal year under par. (d) 2. b. or 3. a.
Loading...
Loading...