MO HB2078

Electrical corporations serving fewer than one million customers may recover prudently incurred transmission expenses and government-mandated property taxes not recovered through existing rate adjustment mechanisms by deferring them in regulatory asset or liability accounts.

Deferred amounts for smaller electrical corporations must be amortized over three years in the next general rate proceeding without any offset or reduction, with annual amortized amounts capped at two percent of the corporation's base revenue level.

Electrical corporations serving more than one million customers may defer government-mandated property tax changes in regulatory accounts, with annual amortized amounts capped at one quarter of one percent of base revenue level and a five-year amortization period in the next rate proceeding.

The commission retains authority to review property taxes for prudence during the next general rate proceeding for larger electrical corporations.

This section expires August 27, 2018, with any remaining regulatory account balances to be included in the next general rate proceeding.