Public Utilities and Carriers

Public Utilities Commission

SECTION 39-1-53

§ 39-1-53 Agreement of the state.

The state of Rhode Island does hereby pledge to and agree with the holders of any transition bonds issued under the authority of this chapter and with any electric distribution company with respect to which a securitization order is adopted pursuant to this chapter and any assignee or financing party who may enter into contracts with an electric distribution company or assignee pursuant to such provisions of the general laws, that the state will not limit or alter the rights vested in an electric distribution company or assignee or financing party pursuant to a securitization order (including without limitation, the intangible transition charges, intangible transition property, securitization orders, and all rights thereunder) until the principal of, interest on and premium, if any, with respect to such transition bonds, or, with respect to certificates of participation, beneficial interest or ownership, amounts corresponding thereto, and costs related thereto, are fully paid and discharged and such contracts are fully performed on the part of all parties to the transactions contemplated in the financing plan approved by the commission, including without limitation the electric distribution company, its successors and assigns and any other party providing electric service as described in § 39-1-45(4); provided that, subject to other requirements of law, nothing herein contained shall preclude such limitation or alteration if and when full compensation, giving due effect to the payment of principle and interest (or amounts corresponding thereto) and other costs and charges, shall be provided by law for the protection of the electric distribution company, its successor, if any, the holders of such transition bonds, and any assignee or financing party entering into such contracts with the electric distribution company or an assignee. The electric distribution company or an assignee is authorized to include this pledge and undertaking for the state in these obligations.

History of Section.
(P.L. 1997, ch. 142, § 1.)