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IN SB0257

Bill

Status

Passed

3/22/2016

Primary Sponsor

Ed Charbonneau

Click for details

Origin

Senate

2016 Regular Session

AI Summary

SB 257 Summary

  • Amends Indiana utility law to expand the definition of "utility company" eligible to acquire distressed water and wastewater utilities to include public utilities, municipally owned utilities, not-for-profit utilities, and regional sewer or water districts.

  • Establishes a rebuttable presumption that cost differentials in acquisitions between willing buyers and sellers are reasonable, with the acquiring utility able to petition the commission to include these costs in its rate base.

  • Requires the commission to approve acquisition petitions if the distressed utility meets specified conditions including inadequate service, failed maintenance standards, reasonable purchase price, and non-affiliation between parties.

  • Creates a new process for municipalities selling utility property adopted after March 28, 2016, requiring commission approval and establishing a 210-day timeline for the commission's final order.

  • Allows municipally owned utility property to be sold for less than appraised value if the municipality determines it would reduce rates charged by the prospective purchaser to existing utility customers.

Legislative Description

Distressed water and wastewater utilities. Specifies that for purposes of the statute governing the acquisition of distressed water or wastewater utilities, a "utility company" includes, in addition to a regional sewer or water district, a: (1) public utility; (2) municipally owned utility; or (3) not-for-profit utility; that provides water or wastewater service. Eliminates a provision under which the IURC was not required to approve a petition by an acquiring utility company under the statute to recover the cost differentials associated with the purchase of a distressed utility unless the IURC found that the distressed utility being acquired: (1) served not

Last Action

Public Law 98

3/22/2016

Committee Referrals

Utilities, Energy and Telecommunications2/9/2016
Environmental Affairs1/7/2016

Full Bill Text

No bill text available