ARTICLE 15 SUBSTITUTE A

RELATING TO PUBLIC UTILITY REGULATORY ASSESSMENT

SECTION 1. Section 39-1-26 of the General Laws in Chapter 39-1 entitled “Public

Utilities Commission” is hereby amended to read as follows:

39-1-26. Public utilities reserve fund created – Appropriations – Recovery of

expenses from utility companies. -- (a) There is hereby created a fund to be known as the public

utilities reserve account, an account within the public utilities commission in the general fund.

Such account, hereinafter referred to as the "fund", shall be used for the purpose of providing the

financial means for the commission and division to purchase materials, and to employ on a

contract or other basis, legal counsel, official stenographers, engineers, accountants, economists,

and other expert witnesses, and for other necessary expenses of the commission and division in

investigations and hearings related to applications and filings made by public utilities, or

commission or division initiated investigations into utility operating practices, or appeals to

federal courts. The general assembly shall annually appropriate to the fund a sum equal to twenty-

five one thousandths of one percent (.00025%) of the gross annual operating revenues of gas,

electric, and telephone companies attributable to their conduct of intrastate operations in this state

during the year next preceding; provided, however, that if at June 30, in any year the balance in

the fund shall be in excess of one hundred thousand dollars ($100,000), the amount of the excess

shall forthwith be transferred to the general fund of the state. Prebilled revenue shall be excluded

from an excess balance to be transferred to the general fund. The state controller is authorized and

directed to draw his or her orders upon the general treasurer for the payment from the fund of

such sums as may be required from time to time upon receipt by him or her of proper vouchers

approved by the administrator.

      (b) The public utility making an application or filing to the commission or division, or

subject to a commission or division initiated investigation, or any public utility distributing

electricity or gas whose retail rates would be affected by a filing made by the administrator or a

federally regulated electric or gas company before an agency of the federal government or a

federal court, shall be charged with and shall pay a portion of the expenses reasonably so incurred

by the commission and by the division for the purchase of materials and for the employment of

legal counsel, official stenographers, engineers, accountants, and expert witnesses, and for travel

and other necessary expenses as are reasonably attributable to the investigation or the hearing of

the proposal by the commission and the division, or to the administrator's representation of the

state before the agency of the federal government. The administrator or the commission

chairperson as appropriate, shall ascertain the expenses and shall determine the amount to be paid

by the public utility company or companies, and bills shall be rendered therefor either at the

conclusion of the investigation or hearing, or from time to time during its progress, and the

amount of each bill so rendered shall be paid by the public utility to the administrator or the

commission, as appropriate, within thirty (30) days from the date of its rendition unless, within

the thirty (30) day time period, the public utility so billed shall request an opportunity to be heard

by the commission as to the amount thereof. The commission shall comply with any such request.

Any amount of the bill not paid within thirty (30) days from the date of service of the

determination upon the hearing, or, if none shall be requested, within thirty (30) days from the

date of rendition of the bill, shall draw interest at the rate of twelve percent (12%) per annum. At

the discretion of the administrator, or the commission chairperson, as appropriate, utility

companies may be prebilled for contractual services utilized by the commission or division. Any

revenue received from public utilities not expended upon the completion of the case will be

promptly reimbursed to the utility company. The total amount which may be charged to any

public utility under authority of this section for proceedings before the commission or division in

any calendar year shall not exceed two hundred fifty thousand dollars ($250,000) five hundred

thousand dollars ($500,000), provided that any indirect cost recovery obligations pursuant to §

35-4-27 shall constitute a separate and additional assessment to public utilities to be added to the

foregoing expense assessment limit; in addition, the total amount which may be charged against

any public utility under authority of this section for the administrator's representation of the state

before agencies of the federal government in any calendar year shall not exceed two hundred fifty

thousand dollars ($250,000) five hundred thousand dollars ($500,000). All moneys collected by

the administrator or the commission pursuant to this section shall be paid by him or her monthly

to the general treasurer to be added to the public utilities reserve fund.

      (c) The division of public utilities shall adopt by regulation, a fee schedule for all

telecommunications filings, including initial applications and annual registrations, by

telecommunications providers which are not otherwise subject to the provisions of subsections (a)

or (b) of this section. The money assessed and paid shall be paid into the general fund and shall

not be a part of the public utilities reserve fund.

      (d) The general assembly shall annually appropriate such sums as it may deem

necessary for the salaries of the commissioners and their expenses incurred in the performance of

their duties, and for the operations of the commission and the division and payment of such office

expenses and assistance as from time to time may be required. The state controller is authorized

and directed to draw his or her orders upon the general treasurer for the payment of such sum, or

so much thereof, as may be required from time to time upon receipt by him or her of vouchers

approved by the administrator or his or her authorized agent.

SECTION 2. This article shall take effect as of July 1, 2009.