74th OREGON LEGISLATIVE ASSEMBLY--2007 Regular Session
NOTE: Matter within { + braces and plus signs + } in an
amended section is new. Matter within { - braces and minus
signs - } is existing law to be omitted. New sections are within
{ + braces and plus signs + } .
LC 756
House Bill 2052
Ordered printed by the Speaker pursuant to House Rule 12.00A (5).
Presession filed (at the request of Governor Theodore R.
Kulongoski for Public Utility Commission)
SUMMARY
The following summary is not prepared by the sponsors of the
measure and is not a part of the body thereof subject to
consideration by the Legislative Assembly. It is an editor's
brief statement of the essential features of the measure as
introduced.
Authorizes Public Utility Commission to impose fees on
telecommunications cooperatives, consumer-owned utilities and
cable system operators to recoup commission costs incurred in
safety and reliability regulation and in conducting hearings
related to telecommunications cooperatives, consumer-owned
utilities and cable system operators. Limits amount of fees.
Applies to fees imposed for calendar years beginning on or
after January 1, 2008.
Declares emergency, effective on passage.
A BILL FOR AN ACT
Relating to Public Utility Commission funding; creating new
provisions; amending ORS 291.055, 756.310, 756.320, 756.360,
757.279 and 759.660; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. { + Section 2 of this 2007 Act is added to and made
a part of ORS chapter 756. + }
SECTION 2. { + (1) Each telecommunications cooperative,
consumer-owned utility and cable system operator shall pay to the
Public Utility Commission in each year all fees that the
commission finds and determines to be necessary to defray the
cost of performing safety and reliability duties imposed by law
upon the commission, and the cost of conducting hearings required
by law to be conducted, with respect to telecommunications
cooperatives, consumer-owned utilities and cable system
operators.
(2) In each calendar year, the commission shall by order
entered on or after March 1 of the year determine the fee to be
paid under subsection (1) of this section by a consumer-owned
utility for the year. Notice of orders shall be given to each
consumer-owned utility. The consumer-owned utility shall pay to
the commission the fee, or portion of the fee, by the date
specified in the notice, which shall be at least 15 days after
the date of mailing of the notice.
(3)(a) The fee payable under subsection (1) of this section by
a consumer-owned utility that provides electricity services to
consumers shall be based on a percentage of gross revenue of the
utility for the calendar year, but may not exceed two-hundredths
of one percent of the gross revenue of the utility for the
calendar year.
(b) Notwithstanding paragraph (a) of this subsection, the fee
may not be less than $100 in each calendar year.
(4) For each calendar year, the commission shall by order
determine the fee to be paid under subsection (1) of this section
by each telecommunications cooperative and cable system operator
and shall give notice of the orders to the cooperatives and
operators. The commission shall give notice of the orders at
least 60 days before the start of the year for which the fee is
determined. The cooperative or operator shall pay the fee to the
commission on or before April 1 of the year following the year
for which the fee is determined.
(5)(a) The fee payable under subsection (1) of this section by
a telecommunications cooperative or a cable system operator shall
be based on a percentage of gross retail intrastate revenue of
the cooperative or operator for the calendar year, but may not
exceed two-hundredths of one percent of the gross retail
intrastate revenue of the cooperative or operator for the year.
(b) Notwithstanding paragraph (a) of this subsection, the fee
may not be less than $100 for the calendar year.
(6) The fees imposed under this section are in addition to and
not in lieu of any other fee imposed by the commission on a
telecommunications cooperative, consumer-owned utility or cable
system operator.
(7) The commission may use any investigative and enforcement
powers granted the commission under this chapter to administer
and enforce this section.
(8) As used in this section:
(a) 'Cable system operator' means a person that:
(A) Lawfully provides cable service over a cable system, as
those terms are defined in ORS 30.192, in which the person
directly or through one or more affiliates owns a significant
interest; or
(B) Lawfully controls or is responsible for the management and
operation of a cable system.
(b) 'Consumer-owned utility' has the meaning given that term in
ORS 757.270.
(c) 'Telecommunications cooperative' means an unincorporated
association or a cooperative corporation that provides
telecommunications services. + }
SECTION 3. { + Section 2 of this 2007 Act applies to fees
imposed by the Public Utility Commission for calendar years
beginning on or after January 1, 2008. + }
SECTION 4. ORS 756.310 is amended to read:
756.310. (1) Subject to the provisions of subsections (3), (5)
and (6) of this section, each public utility and
telecommunications provider shall pay to the Public Utility
Commission in each year such fee as the commission finds and
determines to be necessary, with the amount of all other fees
paid or payable to the commission by such public utilities and
telecommunications providers in the current calendar year, to
defray the costs of performing the duties imposed by law upon the
commission in respect to such public utilities and
telecommunications providers, respectively { - , and to pay such
amounts as may be necessary to obtain matching funds to implement
the program referred to in ORS 824.058 - } .
(2) In each calendar year the fee per kilowatt-hour delivered
to end users required to be paid by each electric company that is
a public utility shall be determined by orders entered by the
commission on or after March 1 of each year and notice thereof
shall be given to each electric company. The company shall pay to
the commission the fee or portion thereof so computed on the date
specified in the notice, which date shall be at least 15 days
after the date of mailing the notice.
(3)(a) The average fee payable under subsection (1) of this
section by each electric company shall not exceed
eighteen-hundredths of one mill per kilowatt-hour applied to
kilowatt-hours delivered in the preceding calendar year or
portion thereof but in no case shall the fee be less than $10. If
appropriate to meet the conditions of paragraph (b) of this
subsection, fees for customer classes may exceed these
limitations.
(b) The fees established by the commission for different
electric companies shall bear the same approximate relationship
as the gross revenue fees per kilowatt-hour delivered to end
users paid by electric companies in 1997. The commission shall
adopt rules for allocation of a company's fee among the company's
retail customer classes so that the fees established for
different classes bear the same approximate relationship as the
gross revenues per kilowatt-hour paid by those classes in 1997.
After December 31, 2000, the commission may establish or allow
fees that are the same by customer classes for all such
companies, provided that the approximate relationship between
customer classes referred to in this subsection shall be
maintained.
(4) In each calendar year the percentage rate of the fee
required to be paid by public utilities, except electric
companies, shall be determined by orders entered by the
commission on or after March 1 of each year, and notice thereof
shall be given to each utility. The utility shall pay to the
commission the fee or portion thereof so computed upon the date
specified in such notice, which date shall be at least 15 days
after the date of mailing such notice.
(5) The fee payable under subsection (1) of this section by
each public utility, except electric companies, shall not exceed
twenty-five hundredths of one percent of such utility's gross
operating revenues derived within this state in the preceding
calendar year or portion thereof, but in no case shall the fee be
less than $10.
(6)(a) For a telecommunications provider, the fee payable under
subsection (1) of this section shall be a percentage amount not
to exceed twenty-five hundredths of one percent of the provider's
gross retail intrastate revenue for each calendar year, but in no
case shall the fee be less than $100. The percentage amount shall
be determined by order of the commission not less than 60 days
prior to the calendar year upon which the fee is based. The fee
shall be payable to the commission not later than April 1 of the
year following that calendar year.
(b) A telecommunications provider shall collect the fee payable
under subsection (1) of this section by charging an apportioned
amount to each of the provider's retail customers. The amount of
the charge shall be described on the retail customer's bill in a
manner determined by the provider.
(c) In the event a telecommunications utility has an approved
rate that includes the fee required under subsection (1) of this
section and separately charges retail customers for the fee
described in this section, at the time the utility begins
collecting the charge the utility shall file with the commission
a rate schedule reducing rates in an amount projected to equal
the amount separately charged to customers.
(7) The commission may use any of its investigatory and
enforcement powers provided under this chapter for the purpose of
administering and enforcing the provisions of this section.
(8) As used in this section:
(a) 'Electric company' means any entity that is a public
utility under ORS 757.005 that is engaged in the business of
distributing electricity to retail electric customers in Oregon.
(b) 'Retail customer' does not include a purchaser of
intrastate telecommunications services who is a
telecommunications provider, telecommunications cooperative,
interexchange carrier or radio common carrier.
(c) 'Telecommunications provider' means any entity that is a
telecommunications utility or a competitive telecommunications
provider as defined in ORS 759.005.
SECTION 5. ORS 756.320 is amended to read:
756.320. Payment of each fee or portion { - thereof - } { +
of a fee + } provided for in ORS 756.310 { + or section 2 of
this 2007 Act + } shall be accompanied by a statement verified by
the { - public utility or telecommunications provider
involved - } { + entity filing the statement + }, showing the
basis upon which the fee or portion { - thereof - } { + of
the fee + } is computed. { - This - } { + The + } statement
shall be in such form and detail as the Public Utility Commission
shall prescribe and shall be subject to audit by the commission.
The commission may refund any overpayment of any { - such - }
fee { + described in this section + } in the same manner as
other claims and expenses of the commission are payable as
provided by law.
SECTION 6. ORS 756.360 is amended to read:
756.360. All fees, fines, penalties and other moneys collected
by the Public Utility Commission under ORS 756.310, 756.320,
756.350, 758.015, 758.400 to 758.475 { + and section 2 of this
2007 Act + } and ORS chapter 759 shall be paid by the commission
into the State Treasury within 30 days after the collection
thereof, and shall be placed by the State Treasurer to the credit
of the Public Utility Commission Account and the fees, fines,
penalties and other moneys collected from:
(1) Public utilities shall be used only for the purpose of
paying the expenses of the commission in performing the duties
imposed by law upon the commission { - in - } { + with + }
respect to utilities, and for the purpose of paying the expenses
of the Office of the Governor for its responsibilities in
administering energy conservation and allocation programs.
(2) Telecommunications providers shall be used only for the
purpose of paying the expenses of the commission in performing
the duties imposed by law upon the commission { - in - }
{ + with + } respect to telecommunications providers, and for
the purpose of paying the expenses of the Office of the Governor
for its responsibilities in administering energy conservation and
allocation programs.
{ + (3) Entities subject to section 2 of this 2007 Act shall
be used only for the purpose of paying the expenses of the
commission in performing the duties imposed by law upon the
commission with respect to telecommunications cooperatives,
consumer owned utilities and cable system operators. + }
SECTION 7. ORS 757.279 is amended to read:
757.279. { - (1) - } Whenever the Public Utility Commission
of Oregon finds, after hearing had upon complaint by a licensee,
a public utility, a telecommunications utility or a
consumer-owned utility that the rates, terms or conditions
demanded, exacted, charged or collected in connection with
attachments or availability of surplus space for such attachments
are unjust or unreasonable, or that such rates or charges are
insufficient to yield a reasonable compensation for the
attachment and the costs of administering the same, the
commission shall determine the just and reasonable rates, terms
and conditions thereafter to be observed and in force and shall
fix the same by order. In determining and fixing such rates,
terms and conditions, the commission shall consider the interest
of the customers of the licensee, as well as the interest of the
customers of the public utility, telecommunications utility or
consumer-owned utility that owns the facility upon which the
attachment is made.
{ - (2) When the order applies to a consumer-owned utility,
the order shall also provide for payment by the parties of the
cost of the hearing. The payment shall be made in a manner which
the commission considers equitable. - }
SECTION 8. ORS 759.660 is amended to read:
759.660. { - (1) - } Whenever the Public Utility Commission
of Oregon finds, after hearing had upon complaint by a licensee
or people's utility district or a telecommunications utility that
the rates, terms or conditions demanded, exacted, charged or
collected in connection with attachments or availability of
surplus space for such attachments are unjust or unreasonable, or
that such rates or charges are insufficient to yield a reasonable
compensation for the attachment and the costs of administering
the same, the commission shall determine the just and reasonable
rates, terms and conditions thereafter to be observed and in
force and shall fix the same by order. In determining and fixing
such rates, terms and conditions, the commission shall consider
the interest of the customers of the licensee, as well as the
interest of the customers of the telecommunications utility or
people's utility district which owns the facility upon which the
attachment is made.
{ - (2) When the order applies to a people's utility
district, the order also shall provide for payment by the parties
of the cost of the hearing. The payment shall be made in a manner
which the commission considers equitable. - }
SECTION 9. ORS 291.055 is amended to read:
291.055. (1) Notwithstanding any other law that grants to a
state agency the authority to establish fees, all new state
agency fees or fee increases adopted after July 1 of any
odd-numbered year:
(a) Are not effective for agencies in the executive department
of government unless approved in writing by the Director of the
Oregon Department of Administrative Services;
(b) Are not effective for agencies in the judicial department
of government unless approved in writing by the Chief Justice of
the Supreme Court;
(c) Are not effective for agencies in the legislative
department of government unless approved in writing by the
President of the Senate and the Speaker of the House of
Representatives;
(d) Shall be reported by the state agency to the Oregon
Department of Administrative Services within 10 days of their
adoption; and
(e) Are rescinded on July 1 of the next following odd-numbered
year, or on adjournment sine die of the regular session of the
Legislative Assembly meeting in that year, whichever is later,
unless otherwise authorized by enabling legislation setting forth
the approved fees.
(2) This section does not apply to:
(a) Any tuition or fees charged by the State Board of Higher
Education and state institutions of higher education.
(b) Taxes or other payments made or collected from employers
for unemployment insurance required by ORS chapter 657 or premium
assessments required by ORS 656.612 and 656.614 or contributions
and assessments calculated by cents per hour for workers'
compensation coverage required by ORS 656.506.
(c) Fees or payments required for:
(A) Health care services provided by the Oregon Health and
Science University, by the Oregon Veterans' Homes and by other
state agencies and institutions pursuant to ORS 179.610 to
179.770.
(B) Assessments and premiums paid to the Oregon Medical
Insurance Pool established by ORS 735.614 and 735.625.
(C) Copayments and premiums paid to the Oregon medical
assistance program.
(D) Assessments paid to the Office of Private Health
Partnerships under section 12, chapter 727, Oregon Laws 2005.
(d) Fees created or authorized by statute that have no
established rate or amount but are calculated for each separate
instance for each fee payer and the fee assessed is based on
actual cost of services provided.
(e) State agency charges on employees for benefits and
services.
(f) Any intergovernmental charges.
(g) Forest protection district assessment rates established by
ORS 477.210 to 477.265 and the Oregon Forest Land Protection Fund
fees established by ORS 477.760.
(h) State Department of Energy assessments required by ORS
469.421 (8) and 469.681.
(i) Any charges established by the State Parks and Recreation
Director in accordance with ORS 565.080 (3).
(j) Assessments on premiums charged by the Insurance Division
of the Department of Consumer and Business Services pursuant to
ORS 731.804 or fees charged by the Division of Finance and
Corporate Securities of the Department of Consumer and Business
Services to banks, trusts and credit unions pursuant to ORS
706.530 and 723.114.
(k) Public Utility Commission operating assessments required by
ORS 756.310 { + or section 2 of this 2007 Act, + } or charges
paid to the Residential Service Protection Fund required by
chapter 290, Oregon Laws 1987.
(L) Fees charged by the Housing and Community Services
Department for intellectual property pursuant to ORS 456.562.
(3)(a) Fees temporarily decreased for competitive or
promotional reasons or because of unexpected and temporary
revenue surpluses may be restored to their normal level if, at
the time the fee is decreased, the state agency specifies the
following:
(A) The reason for the fee decrease; and
(B) The conditions under which the fee will be restored to its
normal level.
(b) Fees that are decreased for reasons other than those
described in paragraph (a) of this subsection may not be
subsequently increased except as allowed by ORS 291.050 to
291.060 and 294.160.
SECTION 10. ORS 291.055, as amended by section 15, chapter 727,
Oregon Laws 2005, and section 24e, chapter 744, Oregon Laws 2005,
is amended to read:
291.055. (1) Notwithstanding any other law that grants to a
state agency the authority to establish fees, all new state
agency fees or fee increases adopted after July 1 of any
odd-numbered year:
(a) Are not effective for agencies in the executive department
of government unless approved in writing by the Director of the
Oregon Department of Administrative Services;
(b) Are not effective for agencies in the judicial department
of government unless approved in writing by the Chief Justice of
the Supreme Court;
(c) Are not effective for agencies in the legislative
department of government unless approved in writing by the
President of the Senate and the Speaker of the House of
Representatives;
(d) Shall be reported by the state agency to the Oregon
Department of Administrative Services within 10 days of their
adoption; and
(e) Are rescinded on July 1 of the next following odd-numbered
year, or on adjournment sine die of the regular session of the
Legislative Assembly meeting in that year, whichever is later,
unless otherwise authorized by enabling legislation setting forth
the approved fees.
(2) This section does not apply to:
(a) Any tuition or fees charged by the State Board of Higher
Education and state institutions of higher education.
(b) Taxes or other payments made or collected from employers
for unemployment insurance required by ORS chapter 657 or premium
assessments required by ORS 656.612 and 656.614 or contributions
and assessments calculated by cents per hour for workers'
compensation coverage required by ORS 656.506.
(c) Fees or payments required for:
(A) Health care services provided by the Oregon Health and
Science University, by the Oregon Veterans' Homes and by other
state agencies and institutions pursuant to ORS 179.610 to
179.770.
(B) Assessments and premiums paid to the Oregon Medical
Insurance Pool established by ORS 735.614 and 735.625.
(C) Copayments and premiums paid to the Oregon medical
assistance program.
(d) Fees created or authorized by statute that have no
established rate or amount but are calculated for each separate
instance for each fee payer and the fee assessed is based on
actual cost of services provided.
(e) State agency charges on employees for benefits and
services.
(f) Any intergovernmental charges.
(g) Forest protection district assessment rates established by
ORS 477.210 to 477.265 and the Oregon Forest Land Protection Fund
fees established by ORS 477.760.
(h) State Department of Energy assessments required by ORS
469.421 (8) and 469.681.
(i) Any charges established by the State Parks and Recreation
Director in accordance with ORS 565.080 (3).
(j) Assessments on premiums charged by the Insurance Division
of the Department of Consumer and Business Services pursuant to
ORS 731.804 or fees charged by the Division of Finance and
Corporate Securities of the Department of Consumer and Business
Services to banks, trusts and credit unions pursuant to ORS
706.530 and 723.114.
(k) Public Utility Commission operating assessments required by
ORS 756.310 { + or section 2 of this 2007 Act, + } or charges
paid to the Residential Service Protection Fund required by
chapter 290, Oregon Laws 1987.
(L) Fees charged by the Housing and Community Services
Department for intellectual property pursuant to ORS 456.562.
(3)(a) Fees temporarily decreased for competitive or
promotional reasons or because of unexpected and temporary
revenue surpluses may be restored to their normal level if, at
the time the fee is decreased, the state agency specifies the
following:
(A) The reason for the fee decrease; and
(B) The conditions under which the fee will be restored to its
normal level.
(b) Fees that are decreased for reasons other than those
described in paragraph (a) of this subsection may not be
subsequently increased except as allowed by ORS 291.050 to
291.060 and 294.160.
SECTION 11. { + The amendments to ORS 756.310, 756.320,
756.360, 757.279 and 759.660 by sections 4 to 8 of this 2007 Act
become operative on January 1, 2008. + }
SECTION 12. { + This 2007 Act being necessary for the
immediate preservation of the public peace, health and safety, an
emergency is declared to exist, and this 2007 Act takes effect on
its passage. + }
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