SCS/SBs 125 & 290 - This act allows gas and corporations to file a petition with the Public Service Commission to recover costs associated with certain infrastructure system replacements once per year. This charge is referred to as an infrastructure replacement surcharge (ISRS). The ISRS must produce at least $1,000,000 in revenues but not in excess of 10% of the water or gas corporations's base revenue level. A company seeking approval of an ISRS must have had a general rate proceeding within the last three years to begin or continue collecting the ISRS.

Petition filing requirements for the ISRS are specified in the act as well as factors which may be considered by the PSC in its evaluation of the petition. The corporation is required to reconcile the revenues generated with the underlying costs of the infrastructure replacements. The PSC is given authority to promulgate rules for the implementation of these provisions.

The act also allows electric, gas, and water corporations to recover prudent expenditures for security measures incurred after August 28, 2003. Applications for recovery of such items shall be confidential as determined by the PSC. Electric corporations may also apply to the PSC to recover unreimbursed costs for capital projects for required relocations. Such recoveries may only begin or continue if the corporation has been subject to a general rate proceeding within the past three years.

Similar provisions are contained in SS/SCS/HB 208 (2003) and CCS/HS/HCS/SS/SCS/SB 361 and HS/HCS/HBs 404, 324, 403, 344, 426 & 541 (2003).
CINDY KADLEC