Amendment SSA1-SB614

SB614-SSA1,11,18 66.91 (5) (e) The commission may separately compute, on any reasonable basis, both capital and operating costs of providing sewerage service to any federal, state, county or municipal facility and may, upon approval by the public service commission, directly bill the federal government, the state, the county or the municipality.

SB614-SSA1, s. 31 Section 31. 66.912 (2) (a) of the statutes is amended to read:

SB614-SSA1,11,21 66.912 (2) (a) Compute a proposed uniform schedule of charges based on operating expenses to be recovered from users under this subsection.

SB614-SSA1, s. 32 Section 32. 66.912 (2) (b) of the statutes is amended to read:

SB614-SSA1,11,24 66.912 (2) (b) Adopt Propose the uniform schedule of charges computed under par. (a). The commission may modify the schedule periodically.

SB614-SSA1, s. 33 Section 33. 66.912 (2) (c) of the statutes is amended to read:

SB614-SSA1,12,4 66.912 (2) (c) Submit the proposed schedule adopted under par. (b) and every modification to every municipality within the sewerage service area as early in every calendar year as practicable the public service commission for approval under ch. 196.

SB614-SSA1, s. 34 Section 34. 66.912 (3) of the statutes is amended to read:

SB614-SSA1,12,12 66.912 (3) Factors in charge schedules. In computing a proposed charge schedule under sub. (2) (a), the sewerage commission shall require each user to pay the proportion of total operating cost of the system incurred by the transmission and treatment of the user's wastewater. In determining such proportional costs, the sewerage commission shall consider such factors, without limitation because of enumeration, as strength, volume and delivery flow rate characteristics of each user's sewage.

SB614-SSA1, s. 35 Section 35. 66.912 (5) of the statutes is repealed.

SB614-SSA1, s. 36 Section 36. 144.241 (6) (b) 9. of the statutes is created to read:

SB614-SSA1,12,16 144.241 (6) (b) 9. Making special grants under sub. (13h) from the appropriation under s. 20.320 (1) (h).

SB614-SSA1, s. 37 Section 37. 144.241 (8) (g) of the statutes is amended to read:

SB614-SSA1,12,21 144.241 (8) (g) The Except as provided in sub. (13h) (b) 2., the sum of all of the financial assistance to a municipality approved under this section and s. 144.2415 for a project may not result in the municipality paying less than 30% of the cost of the project.

SB614-SSA1, s. 38 Section 38. 144.241 (13h) of the statutes is created to read:

SB614-SSA1,12,25 144.241 (13h) Special grants. (a) Subject to par. (b), the department shall provide a grant under this subsection to a municipality if all of the following conditions are met:

SB614-SSA1,13,2 1. The municipality qualifies for financial assistance under this section and s. 144.2415.

SB614-SSA1,13,4 2. The median household income in the municipality is 80% or less of the median household income in this state.

SB614-SSA1,13,5 3. One of the following applies:

SB614-SSA1,13,9 a. The estimated total annual charges per residential user in the municipality that relate to wastewater treatment would exceed 2% of the median household income in the municipality if the municipality receives the maximum amount of assistance under this section, excluding a grant under this subsection.

SB614-SSA1,13,14 b. The estimated total annual charges per residential user in the municipality that relate to wastewater treatment would exceed 2% of the median household income in the municipality without assistance under sub. (13) but the municipality is not able to receive assistance under sub. (13) because insufficient financial hardship assistance funding is available.

SB614-SSA1,13,16 (b) The department may not award a grant under par. (a) that does any of the following:

SB614-SSA1,13,19 1. Results in the estimated total annual charges per residential user in the municipality that relate to wastewater treatment being less than 2% of the median household income in the municipality.

SB614-SSA1,13,21 2. Exceeds 90% of the cost of the project, for a municipality to which par. (a) 3. a. applies, or 70% of the cost of the project for any other municipality.

SB614-SSA1,14,2 (c) The department shall establish a special grant funding list for each fiscal year that ranks, in the same order that they appear on the priority list under sub. (8e), projects of municipalities that are eligible under par. (a), and that submit complete financial assistance applications under sub. (9) (a) no later than June 30 of the preceding fiscal year.

SB614-SSA1,14,5 (d) The department shall promulgate a rule under which a municipality seeking financial assistance under this subsection may request, and have conducted, a survey to determine the median household income in the municipality.

SB614-SSA1, s. 39 Section 39. 144.2415 (3) (e) of the statutes, as affected by 1995 Wisconsin Act 27, is amended to read:

SB614-SSA1,14,13 144.2415 (3) (e) The department may expend, for financial assistance in a biennium other than financial hardship assistance under s. 144.241 (13) (e) and special grants under s. 144.241 (13h), an amount up to 85% of the amount approved by the legislature under par. (d). The department may expend such amount only from the percentage of the amount approved under par. (d) that is not available under par. (f) for financial hardship assistance.

SB614-SSA1, s. 40 Section 40. 184.01 (2) of the statutes is amended to read:

SB614-SSA1,15,7 184.01 (2) "Public service corporation" means and embraces every corporation, except municipalities and other political subdivisions that are not regulated districts under s. 196.01 (6m), which is a public utility or regulated district as defined in s. 196.01, and every corporation which is a railroad as defined in s. 195.02, but shall not include a public utility corporation receiving an annual gross revenue of less than $1,000 for the calendar year next preceding the issuance of any securities by it. "Public service corporation" includes a holding company, as defined under s. 196.795 (1) (h), which is a public utility, as defined under s. 196.01 (5). "Public service corporation" does not include a telecommunications utility, as defined in s. 196.01 (10). "Public service corporation" does not include any other holding company unless the holding company was formed after November 28, 1985, and unless the commission has determined, under s. 196.795 (7) (a), that each nonutility affiliate, as defined under s. 196.795 (1) (j), does not and cannot reasonably be expected to do at least one of the items specified in s. 196.795 (7) (a). "Public service corporation" does not include a company, as defined in s. 196.795 (1) (f), which owns, operates, manages or controls a telecommunications utility, as defined in s. 196.01 (10), unless such company also owns, operates, manages or controls a public utility which is not a telecommunications utility.

SB614-SSA1, s. 41 Section 41. 184.03 (1m) of the statutes is created to read:

SB614-SSA1,15,11 184.03 (1m) A public service corporation that is a regulated district under s. 196.01 (6m) may not issue any security that confers any ownership interest in the public service corporation.

SB614-SSA1, s. 42 Section 42. 196.01 (6m) of the statutes is created to read:

SB614-SSA1,15,14 196.01 (6m) "Regulated district" means a metropolitan sewerage district created under s. 66.882.

SB614-SSA1, s. 43 Section 43. 196.02 (1) of the statutes is amended to read:

SB614-SSA1,15,18 196.02 (1) Jurisdiction. The commission has jurisdiction to supervise and regulate every public utility and regulated district in this state and to do all things necessary and convenient to its jurisdiction.

SB614-SSA1, s. 44 Section 44. 196.02 (2) of the statutes is amended to read:

SB614-SSA1,16,3 196.02 (2) Definition; classification. In this subsection, "public utility" does not include a telecommunications cooperative or a small telecommunications utility except as provided under s. 196.205 or 196.215 (2) and does not include an alternative telecommunications utility. The commission shall provide for a comprehensive classification of service for each public utility and each regulated district. The classification may take into account the quantity used, the time when used, the purpose for which used, and any other reasonable consideration. Each public utility and regulated district shall conform its schedules of rates, tolls and charges to such classification.

SB614-SSA1, s. 45 Section 45. 196.02 (4) (a) of the statutes is amended to read:

SB614-SSA1,16,9 196.02 (4) (a) The commission may inquire into the management of the business of all public utilities and all regulated districts. The commission shall keep itself informed as to the manner and method in which the same is conducted. The commission may obtain from any public utility or any regulated district any information necessary to enable the commission to perform its duties.

SB614-SSA1, s. 46 Section 46. 196.02 (4) (c) of the statutes is amended to read:

SB614-SSA1,16,16 196.02 (4) (c) If any public utility or regulated district fails to furnish the commission with information required of it by the commission, the commission may issue an order directing the delinquent public utility or regulated district to furnish the information immediately or to show good cause why the information cannot be obtained. Failure of any public utility or regulated district to comply with the order of the commission is a violation of this chapter within the meaning of s. 196.66.

SB614-SSA1, s. 47 Section 47. 196.02 (5) of the statutes is amended to read:

SB614-SSA1,16,24 196.02 (5) Inspect books. The commission or any commissioner or any person employed by the commission for that purpose may, upon demand, inspect the books, accounts, papers, records and memoranda of any public utility or regulated district, and examine under oath any officer, agent or employe of the public utility or regulated district in relation to its business and affairs. Any person, other than one of the commissioners, who makes a demand shall produce his or her authority to make the inspection.

SB614-SSA1, s. 48 Section 48. 196.02 (6) of the statutes is amended to read:

SB614-SSA1,17,8 196.02 (6) Production of records. The commission may require, by order or subpoena served on any public utility or regulated district as a summons is served in circuit court, the production within this state at the time and place the commission designates of any books, accounts, papers or records kept by the public utility or regulated district outside the state, or verified copies in lieu thereof, if the commission orders. If a public utility or regulated district fails or refuses to comply with the order or subpoena, for each day of the failure or refusal the public utility or regulated district shall forfeit not less than $50 nor more than $500.

SB614-SSA1, s. 49 Section 49. 196.02 (13) of the statutes is created to read:

SB614-SSA1,17,24 196.02 (13) Sale or lease of regulated district assets. The public service commission may, upon demand, inspect the books, accounts, papers, records and memoranda of a regulated district and examine under oath any commissioner of a regulated district, agent or employe of the regulated district in order to obtain information bearing upon the determinations to be made by the public service commission under s. 66.891 (1) (a) and (b). If the public service commission makes the determinations under s. 66.891 (1) (a) and (b) and if the public service commission believes that the commission of the regulated district has not acted in the best interests of the regulated district's ratepayers in selling or leasing the district's assets and facilities, the public service commission may appoint an individual to negotiate and enter into agreements for the sale or lease of any or all of the district's assets and facilities. This individual may exercise, on behalf of the regulated district, the powers given the commission of the regulated district under ss. 66.90 (1) and 66.904 (1). The district shall pay all costs incurred by the individual in the performance of his or her duties under this subsection.

SB614-SSA1, s. 50 Section 50. 196.025 of the statutes is renumbered 196.025 (1).

SB614-SSA1, s. 51 Section 51. 196.025 (2) of the statutes is created to read:

SB614-SSA1,18,14 196.025 (2) No later than the first day of the 10th month beginning after the effective date of this subsection .... [revisor inserts date], the commission and the department of natural resources shall enter into a memorandum of understanding specifying the manner in which the commission and the department of natural resources will coordinate their activities relative to the regulation of regulated districts in situations in which provisions in chs. 30, 66, 144, 147 and 196 assign overlapping duties, powers or jurisdiction to the commission and the department of natural resources. Under the memorandum of understanding, the commission may authorize the department of natural resources to act as its agent to enforce or administer a provision in one of those chapters as it relates to a regulated district. Under the memorandum of understanding, the department of natural resources may authorize the commission to act as its agent to enforce or administer a provision in one of those chapters as it relates to a regulated district.

SB614-SSA1, s. 52 Section 52. 196.03 (1) of the statutes is amended to read:

SB614-SSA1,18,22 196.03 (1) Subject to s. 196.63, a public utility and a regulated district shall furnish reasonably adequate service and facilities. The charge made by any public utility or regulated district for any heat, light, water, sewerage service, telecommunications service or power produced, transmitted, delivered or furnished or for any service rendered or to be rendered in connection therewith shall be reasonable and just and every unjust or unreasonable charge for such service is prohibited and declared unlawful.

SB614-SSA1, s. 53 Section 53. 196.05 of the statutes is amended to read:

SB614-SSA1,19,3 196.05 (title) Public utility and regulated district property; valuation; revaluation. If the commission deems it proper or necessary for effective regulation, the commission shall value or revalue all the property of every public utility and every regulated district actually used and useful for the convenience of the public.

SB614-SSA1, s. 54 Section 54. 196.06 of the statutes is amended to read:

SB614-SSA1,19,7 196.06 Uniform accounting; forms; books; office. (1) Every public utility and every regulated district shall keep and render to the commission in the manner and form prescribed by the commission uniform accounts of all business transacted.

SB614-SSA1,19,15 (2) The commission may require any public utility or any regulated district engaged directly or indirectly in any business other than that of the production, transmission or furnishing of heat, light, water, sewerage service, telecommunications service or power to keep and render separately to the commission in like manner and form the accounts of all such other business. This chapter applies to the books, accounts, papers and records of such other business if the commission requires the keeping and rendering separately of the accounts under this subsection.

SB614-SSA1,19,19 (3) Each public utility and each regulated district shall keep and render its books, accounts, papers and records accurately and faithfully in the manner and form prescribed by the commission and shall comply with all directions of the commission relating to such books, accounts, papers and records.

SB614-SSA1,19,25 (6) Each public utility and each regulated district shall have an office in one of the towns, villages or cities in this state in which its property or some part thereof is located, in which it shall keep all books, accounts, papers and records required by the commission to be kept within the state. No books, accounts, papers or records required by the commission to be kept within the state shall be removed from the state, except upon conditions prescribed by the commission.

SB614-SSA1, s. 55 Section 55. 196.07 of the statutes is amended to read:

SB614-SSA1,20,8 196.07 Balance sheet filed annually. (1) Each public utility and each regulated district shall close its accounts annually on December 31 and promptly prepare a balance sheet of that date. On or before the following April 1 every public utility and every regulated district shall file with the commission the balance sheet together with any other information the commission prescribes, verified by an officer of the public utility or regulated district. The commission, for good cause shown, may extend the time for filing the balance sheet and prescribed information.

SB614-SSA1,20,18 (2) If a public utility or a regulated district fails to file a report with the commission containing its balance sheet and other information prescribed by the commission by the date the report is due under sub. (1), the commission may prepare the report from the records of the public utility or regulated district. All expenses of the commission in preparing the report, plus a penalty equal to 50% of the amount of the expenses, shall be assessed against and collected from the public utility or regulated district under s. 196.85. The amount of the charge to a public utility or regulated district shall not be limited by s. 196.85 (1) and shall be in addition to any other charges assessable under s. 196.85. The penalty provision of the charge shall be credited to the general fund under s. 20.906.

SB614-SSA1, s. 56 Section 56. 196.09 (1) of the statutes is amended to read:

SB614-SSA1,21,5 196.09 (1) In this section, "public utility" does not include a telecommunications cooperative except as provided under s. 196.205. In subs. (2) to (7), "public utility" does not include a telecommunications utility. Subsection (9) only applies to a telecommunications utility. Every public utility and every regulated district shall file with the commission, within such time as may be required by the commission, its estimate of the annual rate of depreciation required for each of its classes of fixed capital used for public utility or regulated district purposes, and of the composite annual rate of depreciation required for such fixed capital as an aggregate, which shall constitute the public utility's or regulated district's estimates of the amount which should be returned to it out of its rates for service, to meet the depreciation of its property.

SB614-SSA1, s. 57 Section 57. 196.09 (2) of the statutes is amended to read:

SB614-SSA1,21,17 196.09 (2) After the submission of the estimates under sub. (1), the commission shall review the estimates. If the commission determines that the estimates submitted are reasonable and proper, it shall certify its determination to the public utility or regulated district. If the commission determines that the estimates submitted are not reasonable and proper, it shall certify to the public utility or regulated district the percentages which it considers reasonable and proper. If the fixed capital accounts of the public utility or regulated district are not subdivided to permit the rates for the various classes of fixed capital used for public utility or regulated district purposes to be applied, the estimates submitted by the public utility or the regulated district and the percentages determined by the commission may be based upon the aggregate of such fixed capital.

SB614-SSA1, s. 58 Section 58. 196.09 (3) of the statutes is amended to read:

SB614-SSA1,22,2 196.09 (3) After the commission certifies to the public utility or regulated district its findings as to the percentages required for depreciation under sub. (2), the public utility or regulated district shall have 30 days within which to make application to the commission for a hearing and order. If the public utility or regulated district does not make application to the commission for a hearing and order within the time set, the commission's certification of findings shall have the effect of an order and the public utility or regulated district shall have the right of appeal from the certification as provided in this chapter.

SB614-SSA1, s. 59 Section 59. 196.09 (4) of the statutes is amended to read:

SB614-SSA1,22,11 196.09 (4) The commission may provide, in order to meet changing conditions, that a public utility or regulated district submit from time to time the estimate required under sub. (1). If it requires such resubmission of estimates, the commission shall follow the procedure for certifying its findings under sub. (2). In revising the reasonable and proper percentages of depreciation, the commission shall give consideration to the experience of the public utility or regulated district in accumulating a depreciation reserve under previous rates, any retirements actually made and any other relevant factor.

SB614-SSA1, s. 60 Section 60. 196.09 (5) of the statutes is amended to read:

SB614-SSA1,22,20 196.09 (5) If the commission establishes, by certification or order, the reasonable and proper percentages of depreciation, the percentages shall constitute the percentages to be used in any proceeding involving the rates or practices of the public utility or regulated district, except that if at the time of such proceeding the commission finds that the percentages of depreciation previously established are no longer reasonable and proper, the commission shall establish reasonable and proper percentages for the purpose of such proceeding and certify the new percentages under this section.

SB614-SSA1, s. 61 Section 61. 196.09 (6) (a) of the statutes is amended to read:

SB614-SSA1,23,6 196.09 (6) (a) If the commission establishes for any public utility or regulated district, by certification or order, the percentages necessary for depreciation on fixed capital used for public utility or regulated district purposes, the public utility or regulated district shall credit to its depreciation reserve in each accounting period the amount required to provide for depreciation at the percentage established. If the public utility is a corporation, the corporation may not pay any dividend out of earnings for any fiscal period subsequent to the commission's certification or order, or carry any portion of its earnings to its surplus account, except out of earnings remaining after crediting its depreciation reserve in accordance with the rates established by the commission, except as provided under par. (b).

SB614-SSA1, s. 62 Section 62. 196.09 (6) (b) of the statutes is amended to read:

SB614-SSA1,23,13 196.09 (6) (b) After application and hearing the commission, upon a finding that it is necessary in the public interest, may exempt a public utility or regulated district from the duty of crediting to the depreciation reserve in any accounting period a greater amount than is possible without impairing its ability to pay dividends for the current calendar year. Nothing in this section shall be construed to modify the requirements of ss. 180.0623 and 180.0640.

SB614-SSA1, s. 63 Section 63. 196.09 (7) (intro.) of the statutes is amended to read:

SB614-SSA1,23,23 196.09 (7) (intro.) If a public utility or regulated district desires to account for depreciation on a sinking fund basis and the commission determines that such basis of accounting for depreciation reasonably may be employed, the commission shall establish, under sub. (2), the composite rate to be applied to the aggregate fixed capital used for public utility or regulated district purposes to determine the amount which shall be charged to operating expenses, and the interest rate applicable to the reserve balance at which additional credits to the reserve shall be computed. If a public utility or regulated district accounts for depreciation on a sinking fund basis, the public utility or regulated district shall:

SB614-SSA1, s. 64 Section 64. 196.09 (7) (b) of the statutes is amended to read:

SB614-SSA1,24,4 196.09 (7) (b) Be subject to the same restrictions and regulations in its accounting for the entire amount to be credited to the depreciation reserve as are applicable to other public utilities which account for depreciation by other methods under this section.

SB614-SSA1, s. 65 Section 65. 196.09 (8) of the statutes is amended to read:

SB614-SSA1,24,7 196.09 (8) No public utility or regulated district may charge to its depreciation reserve anything except losses on property actually retired from service.

SB614-SSA1, s. 66 Section 66. 196.10 of the statutes is amended to read:

SB614-SSA1,24,13 196.10 Construction; accounting. The commission shall keep itself informed of all new construction, extensions and additions to the property of public utilities and regulated districts, and shall prescribe the necessary forms, regulations and instructions for the keeping of construction accounts, which shall clearly distinguish all operating expenses from new construction.

SB614-SSA1, s. 67 Section 67. 196.11 (1) of the statutes is amended to read:

SB614-SSA1,24,18 196.11 (1) A public utility or a regulated district may enter into any reasonable arrangement with its consumers or employes, for the division or distribution of its surplus profits, or providing for a sliding scale of charges, or other financial device if the arrangement is meets all of the following conditions:

SB614-SSA1,24,20 (a) Practicable The arrangement is practicable and advantageous to the parties interested; and.

SB614-SSA1,24,24 (b) Entered The arrangement is entered into by a public utility other than a telecommunications utility or by a regulated district and the arrangement is found by the commission to be reasonable and just and consistent with the purposes of this chapter.