196.19(5)
(5) If telecommunications utilities are furnishing joint telecommunications service to the public, or are required to furnish the service, and refuse or neglect to establish joint tolls, the commission, after notice and a public hearing, may establish by order the joint tolls. If the utilities fail to agree upon the apportionment of the joint tolls within 20 days after service of the order, the commission, upon a like hearing, may issue a supplemental order determining the apportionment of such joint tolls. The supplemental order shall take effect as part of the original order.
196.19(6)
(6) The commission may prescribe the form in which any schedule is issued under this section by any public utility.
196.19 Cross-reference
Cross-reference: See also chs.
PSC 113,
134, and
185, Wis. adm. code.
196.192
196.192
Market-based compensation, rates and contracts. 196.192(1)(1) In this section, "electric public utility" means a public utility whose purpose is the generation, distribution and sale of electric energy.
196.192(2)
(2) No later than March 1, 2000, each investor-owned electric public utility shall do each of the following:
196.192(2)(a)
(a) File with the commission rates that result in customers receiving market-based compensation for voluntary interruptions of firm load during peak periods of electric use.
196.192(2)(b)
(b) File with the commission market-based pricing options and options for individual contracts that allow a retail customer, through service from its existing public utility, to receive market benefits and take market risks for the customer's purchases of capacity or energy.
196.192(3)(a)(a) The commission shall approve market-based rates that are consistent with the options specified in
sub. (2), except that the commission may not approve a market-based rate unless the commission determines that the rate will not harm shareholders of the investor-owned electric public utility or customers who are not subject to the rate.
196.192(4)
(4) Subject to any approval of the commission that is necessary, an electric public utility that is not an investor-owned electric public utility may implement market-based rates approved under
sub. (3) (a) or implement the options in filings under
sub. (2) that are approved by the commission.
196.192 History
History: 1999 a 9.
196.193
196.193
Water and sewer rate increases without hearings. 196.193(1)(1)
When permitted. The commission may grant a rate increase to a municipally owned water or a municipally owned combined water and sewer public utility without a hearing if all of the following conditions are met:
196.193(1)(a)
(a) The revenue increase is calculated by multiplying the utility's prior year's revenues from sales of utility service by the rate increase factor under
sub. (2).
196.193(1)(b)
(b) The revenue increase under
par. (a), combined with the prior year's net operating income, either results in an overall rate of return that does not exceed the rate of return determined by the commission under
sub. (3) or results in an amount that does not exceed 6% of the utility's prior year's total operation and maintenance expenses.
196.193(1)(c)
(c) The utility will increase its rates for general service, wholesale service and public fire protection uniformly for all utility customers by the rate increase factor determined by the commission under
sub. (2), unless the commission determines that the utility has good cause for not meeting the condition under this paragraph.
196.193(1)(d)
(d) The effective date of the rate increase is not less than 12 months from the effective date of an increase previously filed under this section nor less than 45 days from the date on which the application was filed.
196.193(1)(e)
(e) If the utility's rates in effect prior to the rate increase under this section were authorized pursuant to a hearing under
s. 196.20, the rates have been in effect for a calendar year.
196.193(1)(f)
(f) The commission has not rejected the application for good cause.
196.193(1)(g)
(g) If the utility has 4,000 or more customers, the effective date of the rate increase is not more than 5 years from the effective date of an increase authorized pursuant to a hearing under
s. 196.20.
196.193(1)(h)
(h) If the utility has less than 4,000 customers, the total of all prior rate increases granted since the last hearing under
s. 196.20 does not result in rates that are more than 40% higher than the base rates previously authorized by a hearing under
s. 196.20.
196.193(2)
(2) Determination of the rate increase factor. Not later than March 1 annually, the commission shall set an increase factor to apply to rates of municipally owned water public utilities or municipally owned combined water and sewer public utilities. The factor shall be equal to the U.S. consumer price index for all urban consumers, U.S. city average, for the previous year; however, the factor may not be less than 3% nor more than 10%. The rate increase factor need not be defined by rule.
196.193(3)
(3) Determination of an overall rate of return. Not later than March 1 annually, the commission shall set the overall rate of return to be applicable to municipally owned water public utilities or municipally owned combined water and sewer public utilities for rate increases under this section. The overall rate of return shall be equal to the simple average, rounded to the nearest tenth of 1%, of the interest rates listed for state and local bonds in the Federal Reserve Statistical Release H.15 (519) published by the federal reserve board, for the last quarter of the prior year, plus 2%. The overall rate of return need not be defined by rule.
196.193(4)
(4) Notice requirements. A utility seeking an increase in rates under this section shall notify all customers, upon a form approved by the commission, by newspaper publication or by mail. The utility shall include a copy of the issued notice in its filing of an application under this section. The notice shall include all of the following:
196.193(4)(a)
(a) The anticipated date of filing of the rate increase application and the anticipated effective date of the rate increase.
196.193(4)(b)
(b) The impact on customer bills resulting from the rate increase calculated for at least 5 different usage levels, including an average residential usage level.
196.193(4)(c)
(c) A statement that the increase is being proposed under this section and that no hearing is required.
196.193(4)(d)
(d) Other information required by the commission to be included in a notice under this subsection.
196.193 History
History: 1995 a. 363.
196.194
196.194
Public utility individual contracts. 196.194(1)
(1)
Telecommunications utilities. Except as provided in this subsection, nothing in this chapter prohibits the commission from approving the filing of a tariff which permits a telecommunications utility to enter into an individual contract with an individual customer if substitute telecommunications services are available to customers or potential customers of the telecommunications utility and the absence of such a tariff will cause the telecommunications utility to be disadvantaged in competing for business. A tariff filed under this subsection shall include the condition that any such contract shall be compensatory as determined under
s. 196.204 (5) and
(6). The tariff shall include any other condition and procedure required by the commission in the public interest. Within 20 days after a contract authorized under this subsection or an amendment to such a contract has been executed, the telecommunications utility shall submit to the commission written notice of the general nature of the contract and the parties to the contract. Upon request, the commission shall inform a person, or direct that the person be informed, that notice has been received by the commission of execution of a contract under this subsection. Within 6 months after receiving substantial evidence that a contract may be noncompensatory, or upon its own motion, the commission shall investigate and determine whether the contract is compensatory. If the commission determines that the contract is noncompensatory, the commission may make appropriate adjustments in the rates or tariffs of the telecommunications utility that has entered into the contract, in addition to other remedies under this chapter. The dollar amount of the adjustment may not be less than the amount by which the contract was found to be noncompensatory.
196.194(2)
(2) Gas utilities. Nothing in
ss. 196.03,
196.19,
196.20,
196.21,
196.22,
196.37,
196.60,
196.604 and
196.625 prohibits the commission from approving the filing of a tariff which permits a gas utility to enter into an individual contract with an individual customer if the term of the contract is no more than 5 years, or a longer period approved by the commission, and if the commission determines that substitute gas services are available to customers or potential customers of the gas utility and the absence of such a tariff will cause the gas utility to be disadvantaged in competing for business. A tariff filed under this subsection shall include the condition that any such contract shall be compensatory. The tariff shall include any other condition and procedure required by the commission in the public interest. Within 20 days after a contract authorized under this subsection or an amendment to such a contract has been executed, the gas utility shall submit the contract to the commission. The commission shall give notice to any person, upon request, that a contract authorized under this subsection has been received by the commission. The notice shall identify the gas utility that has entered into the contract. Within 6 months after receiving substantial evidence that a contract may be noncompensatory, or upon its own motion, the commission shall investigate and determine whether the contract is compensatory. If the commission determines that the contract is noncompensatory, the commission may make appropriate adjustments in the rates or tariffs of the gas utility that has entered into the contract, in addition to other remedies under this chapter. The dollar amount of the adjustment may not be less than the amount by which the contract was found to be noncompensatory.
196.194 Annotation
This section protects ratepayers, not competitors. MCI Telecommunications v. PSC,
164 Wis. 2d 489,
476 N.W.2d 575 (Ct. App. 1991).
196.195
196.195
Partial deregulation of competitive telecommunications services. 196.195(1)
(1)
Regulation imposed. Except as provided in this section and
ss. 196.202,
196.203,
196.215 and
196.219, a telecommunications utility is subject to every applicable provision of this chapter and
ch. 201.
196.195(2)(a)(a) Except as provided under
par. (b), in response to a petition from any interested person or upon its own motion, the commission may hold a hearing to determine whether effective competition exists in a market for a telecommunications service which competition justifies a lesser degree of regulation by suspending the application of one or more provisions of law under
sub. (5) and whether competition under a lesser degree of regulation in that market will serve the public interest. In making this determination, the commission shall consider factors including:
196.195(2)(a)1.
1. The number and size of telecommunications utilities or other persons providing the same, equivalent or substitutable service in the relevant market.
196.195(2)(a)2.
2. The extent to which the same, equivalent or substitutable service is available in the relevant market.
196.195(2)(a)3.
3. The ability of customers in the relevant market to obtain the same, equivalent or substitutable services at comparable rates, terms and conditions.
196.195(2)(a)4.
4. The ability of telecommunications utilities or other persons to make the same, equivalent or substitutable service readily available in the relevant market at comparable rates, terms and conditions.
196.195(2)(a)5.
5. The relevant market power of each telecommunications utility or other person providing the same, equivalent or substitutable service in the relevant market and any apparent trends in how the market power of each telecommunications utility may change in the future.
196.195(2)(a)6.
6. Any affiliation of any telecommunications utility providing the service in the relevant market which may affect competition.
196.195(2)(a)7.
7. The existence of any significant barrier to the entry or exit of a provider of the service in the relevant market.
196.195(2)(b)
(b) If the commission suspends the application of any provision of law for any telecommunications utility, the commission, upon its own motion or in response to a petition from any interested person, may waive the hearing required under
par. (a), with notice to all known interested parties, for any similarly situated telecommunications utility which is providing the same, equivalent or substitutable service in the same market and which requests a waiver of the same provision of law for the service, if the waiver is in the public interest.
196.195(3)
(3) Levels of regulation. If after the proceeding under
sub. (2) the commission has determined that effective competition exists in a market for a telecommunications service that justifies lesser regulation, the commission shall establish the level of regulation for telecommunications utilities providing the service in that market as follows:
196.195(3)(a)
(a) The level of regulation imposed upon all telecommunications utilities providing the service in that market shall be equal unless the commission finds that the public interest requires that different regulatory requirements be imposed.
196.195(3)(b)
(b) The level of regulation imposed upon all telecommunications utilities providing the service in that market shall be the amount of regulation which does not hinder competition and is consistent with protecting the public interest.
196.195(4)(a)(a) Except as provided in
par. (b), the commission shall issue written findings of fact on each of the factors specified in
sub. (2) (a) 1. to
7. and on any other factors considered by the commission in making the following determinations:
196.195(4)(a)1.
1. Whether effective competition exists in the market for the telecommunications service that justifies lesser regulation.
196.195(4)(a)2.
2. The level of regulation to be imposed upon each telecommunications utility providing the service in that market.
196.195(4)(a)3.
3. The different regulatory requirements, if any, determined for each telecommunications utility providing the service in the market.
196.195(4)(b)
(b) If the commission conducts more than one hearing under
sub. (2) on the same telecommunications service or the same market, the commission may, if appropriate and if no new finding of fact is required, rely on a finding of fact made under
par. (a) in a prior hearing.
196.195(7)
(7) Conditions on deregulation. If the commission suspends the application of any provision of law to a telecommunications utility under
sub. (5), it may require the telecommunications utility to comply with any condition reasonably necessary to protect the public interest because of the suspended application.
196.195(8)
(8) Records for commission review. The commission may suspend the application of a provision of law relating to an accounting or reporting requirement under
sub. (5) only if, with consideration given to any conditions imposed under
sub. (7), the commission determines that it will have enough information to determine whether the suspension of the application of any provision of law under
sub. (5) is justified at any time after the suspension is ordered.
196.195(10)
(10) Revocation of deregulation. If necessary to protect the public interest, the commission, at any time by order, may revoke its order to suspend the applicability of any provision of law suspended under
sub. (5).
196.195(12)
(12) Incentive regulation for telecommunications utilities. 196.195(12)(a)(a) To provide incentives for telecommunications utilities to achieve any of the goals listed in
par. (b) 1. a., the commission may suspend any of the provisions listed in
sub. (5) except
ss. 196.19,
196.20 (1m),
196.22,
196.26,
196.37,
196.60 and
196.604 or may approve a regulatory method alternative to traditional rate-of-return regulation that does not require suspension of any provisions listed in
sub. (5).
196.195(12)(b)1.1. Except as provided in
subd. 2., after opportunity for hearing, the commission shall determine whether it is in the public interest to suspend any of the provisions identified in
par. (a) or to approve an alternative regulatory method. In making this determination, the commission shall identify all of the following:
196.195(12)(b)1.a.
a. The goals to be achieved, which may include promoting competition, infrastructure deployment, economic development, consumer choice, productivity, efficiency, quality of life, societal goals or universal service.
196.195(12)(b)1.b.
b. The authorized incentive and how the incentive is expected to help achieve the identified goals.
196.195(12)(b)1.c.
c. The measurement to be used to evaluate successful attainment of the identified goals.
196.195(12)(b)2.
2. If the commission suspends the application of any provision identified in
par. (a) or approves an alternative regulatory method for any telecommunications utility, the commission may waive the hearing opportunity required under
subd. 1., with notice to all known interested parties, for any similarly situated telecommunications utility, if the waiver is in the public interest.
196.195(12)(b)3.
3. The commission shall regulate telecommunications utilities with the goal of developing alternative forms of regulation. The commission shall, by order, develop and approve an incentive regulatory plan for each telecommunications utility to implement this subdivision. The commission may not increase regulation of a small telecommunications utility in implementing this subdivision. For telecommunications utilities with more than 150,000 access lines in use in this state,
s. 196.196 (2) applies to access service rates in any regulatory plan approved under this subdivision.
196.195(12)(d)1.1. If after 10 days' written notice and opportunity for interested persons to comment the commission finds that a telecommunications utility has adequately demonstrated that a telecommunications service which it offers and which is subject to the jurisdiction of the commission is subject to competition that may justify a lesser degree of regulation under
sub. (5) and that it may be materially disadvantaged in such competition without commission authorization under this paragraph, the commission, prior to a determination under
sub. (5), may authorize the telecommunications utility to provide the telecommunications service under a tariff which specifies a range of rates which may be charged for the service or may authorize the telecommunications utility to file a price list for the service which is effective upon at least 10 days' written notice to affected consumers.
196.195(12)(d)2.
2. If the commission authorizes a telecommunications utility to provide a service under
subd. 1., the telecommunications utility may not provide the service at a price which does not recover total service long-run incremental cost.
196.195(12)(d)3.
3. The commission may investigate the price of any service authorized under
subd. 1. to assure that the price complies with
subd. 2. and may suspend any price which does not comply with
subd. 2.
196.195(12)(d)4.
4. A request for authorization under
subd. 1. constitutes a request for a hearing on partial deregulation under
sub. (2). An order granting such authorization expires on the first day of the 9th month following its issuance or upon the date of the commission order granting or denying suspension of any provision of law under
sub. (5), whichever is earlier, unless extended by the commission for good cause pending issuance of a final order.
196.195(12)(e)
(e) If under this subsection the commission authorizes a telecommunications utility to provide a telecommunications service under a tariff that specifies a range of rates which may be charged for the service or authorizes the telecommunications utility to file a price list for the service which is effective after a minimum period of notice to affected customers, the telecommunications utility may not provide the service at a price which does not recover total service long-run incremental cost.
196.195 Annotation
Subs. (5) (a) and (7) (a) do not violate the interstate commerce clause of the U. S. constitution. Alliant Energy Corporation v. Bie,
330 F.3d 904 (2003).
196.196
196.196
Telecommunications utility price regulation. 196.196(1)(1)
Price regulation of basic local exchange services. 196.196(1)(a)1.1. This subsection governs rates for basic local exchange service, standard business access lines and usage by small businesses with no more than 3 access lines and basic message telecommunications service and any changes in those rates for telecommunications utilities electing to be price regulated. A telecommunications utility shall elect to become a price-regulated utility by filing a written election with the commission.
196.196(1)(a)2.
2. The commission may include, following notice and opportunity for hearing, as part of the services subject to price regulation under this subsection all of the following:
196.196(1)(a)2.a.
a. Those services and technological features found by the commission to be a necessary component of universal service under
s. 196.218.
196.196(1)(a)2.b.
b. Advanced telecommunications services, if the commission finds that the advanced telecommunications service is essential to the public interest; that the advanced telecommunications service, or reasonably equivalent service, is not available at reasonable prices and terms and conditions from alternative providers; and that price regulation of the advanced telecommunications service is essential to the public interest.
196.196(1)(b)
(b) If a telecommunications utility elects to become a price-regulated telecommunications utility within 30 days after September 1, 1994, the telecommunications utility shall set the initial rates to be charged under this section for services under
par. (a) and file the rates with the commission. The rates shall be effective at the time specified in the filing with the commission. The rates shall not be greater than the rates allowed for the telecommunications utility for those services as of December 31, 1993, unless the telecommunications utility has more than 500,000 access lines in use in this state, in which case the telecommunications utility shall reduce its rate for residential access line service and for single line business access line service by at least 10%. If a telecommunications utility elects to become a price-regulated telecommunications utility more than 30 days after September 1, 1994, the telecommunications utility shall set the initial rates and file those rates with the commission on at least 45 days' notice. The rates shall be no higher than those in effect on the December 31 immediately preceding the election unless the telecommunications utility has more than 500,000 access lines in use in this state, in which case the telecommunications utility shall reduce its rate for residential access line service and for single line business access line service by at least 10%.
