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MN HF4567

Bill

Status

Introduced

3/23/2022

Primary Sponsor

Jordan Rasmusson

Click for details

Origin

House of Representatives

92nd Legislature 2021-2022

AI Summary

  • Creates a Public Utilities Commission process allowing natural gas utilities to issue "extraordinary event bonds" to recover costs from events like storms, cyberattacks, or price spikes that damage infrastructure or impose significant costs on customers.

  • Establishes "extraordinary event charges" as nonbypassable charges on all customer bills to repay the bonds and financing costs, with charges billed separately from base rates.

  • Requires utilities to demonstrate that bond financing provides tangible customer savings or rate impact mitigation compared to traditional financing methods, with bonds rated AA/Aa2 or better.

  • Creates "extraordinary event property" as a separate property right that utilities can transfer to assignees to secure the bonds, with detailed provisions for security interests and true sales of this property.

  • Appropriates unspecified funding from the general fund to the Public Utilities Commission in fiscal year 2023 to contract with outside experts to evaluate bond financing applications and ensure compliance with the new law.

Legislative Description

Public Utilities Commission regulation process created allowing natural gas utilities to sell bonds as a way to reduce economic impacts on customers when extraordinary events damage utility infrastructure or impose significant costs, account established, and money appropriated.

Last Action

Introduction and first reading, referred to Climate and Energy Finance and Policy

3/23/2022

Committee Referrals

Climate and Energy Finance & Policy3/23/2022

Full Bill Text

No bill text available