SF 928

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to utilities; modifying definition of public 
  1.3             utility; prohibiting disconnection during heat 
  1.4             advisories; enacting residential customer protections; 
  1.5             amending Minnesota Statutes 2002, sections 216B.02, 
  1.6             subdivision 4; 216B.07; 216B.098, subdivisions 1, 3, 
  1.7             by adding subdivisions; 216B.81, by adding a 
  1.8             subdivision; proposing coding for new law in Minnesota 
  1.9             Statutes, chapter 216B.  
  1.10  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.11     Section 1.  Minnesota Statutes 2002, section 216B.02, 
  1.12  subdivision 4, is amended to read: 
  1.13     Subd. 4.  [PUBLIC UTILITY.] "Public utility" means persons, 
  1.14  corporations or other legal entities, their lessees, trustees, 
  1.15  and receivers, now or hereafter operating, maintaining, or 
  1.16  controlling in this state equipment or facilities for furnishing 
  1.17  at retail natural, manufactured or mixed gas or electric service 
  1.18  to or for the public or engaged in the production and retail 
  1.19  sale thereof but does not include (1) a municipality or a 
  1.20  cooperative electric association, organized under the provisions 
  1.21  of chapter 308A producing or furnishing natural, manufactured or 
  1.22  mixed gas or electric service or (2) a retail seller of 
  1.23  compressed natural gas used as a vehicular fuel which purchases 
  1.24  the gas from a public utility.  Except as otherwise provided, 
  1.25  the provisions of this chapter shall not be applicable to any 
  1.26  sale of natural, manufactured or mixed gas or electricity by a 
  1.27  public utility to another public utility for resale.  In 
  2.1   addition, the provisions of this chapter shall not apply to a 
  2.2   public utility whose total natural gas business consists of 
  2.3   supplying natural, manufactured or mixed gas to not more than 
  2.4   650 customers within a city pursuant to a franchise granted by 
  2.5   the city, provided a resolution of the city council requesting 
  2.6   exemption from regulation is filed with the commission.  The 
  2.7   city council may rescind the resolution requesting exemption at 
  2.8   any time, and, upon the filing of the rescinding resolution with 
  2.9   the commission, the provisions of this chapter shall apply to 
  2.10  the public utility.  No person shall be deemed to be a public 
  2.11  utility if it furnishes its services only to tenants or 
  2.12  cooperative or condominium owners in buildings owned, leased, or 
  2.13  operated by such person, unless the person collects from tenants 
  2.14  more than the person is billed for such service or assesses 
  2.15  administrative or other charges in connection with the provision 
  2.16  of utility service.  No person shall be deemed to be a public 
  2.17  utility if it furnishes service to occupants of a manufactured 
  2.18  home or trailer park owned, leased, or operated by such person, 
  2.19  unless the person collects from tenants more than the person is 
  2.20  billed for such service or assesses administrative or other 
  2.21  charges in connection with the provision of utility service.  No 
  2.22  person shall be deemed to be a public utility if it produces or 
  2.23  furnishes service to less fewer than 25 persons. 
  2.24     Sec. 2.  Minnesota Statutes 2002, section 216B.07, is 
  2.25  amended to read: 
  2.26     216B.07 [RATE PREFERENCE PROHIBITED.] 
  2.27     No public utility shall, as to rates or service, make or 
  2.28  grant any unreasonable preference or advantage to any person or 
  2.29  subject any person to any unreasonable prejudice or disadvantage.
  2.30  Rates, programs, or services provided to low-income households 
  2.31  are not considered unreasonably preferential, advantageous, or 
  2.32  prejudicial.  
  2.33     Sec. 3.  [216B.0975] [DISCONNECTION DURING EXTREME HEAT 
  2.34  CONDITIONS; RECONNECTION.] 
  2.35     (a) A utility may not disconnect services in affected 
  2.36  counties when a heat advisory, heat warning, or heat emergency 
  3.1   issued by the national weather service is in effect. 
  3.2      (b) A utility shall make reasonable attempts to reconnect 
  3.3   service to an occupied dwelling that has been disconnected when 
  3.4   an occupant states that there is a potential threat to health or 
  3.5   life that results from the combination of the heat and loss of 
  3.6   service.  For purposes of this section, "utility" means a public 
  3.7   utility, municipal utility, or cooperative electric association. 
  3.8      Sec. 4.  Minnesota Statutes 2002, section 216B.098, 
  3.9   subdivision 1, is amended to read: 
  3.10     Subdivision 1.  [APPLICABILITY.] The provisions of this 
  3.11  section and section 216B.099 apply to residential customers of 
  3.12  public utilities, municipal utilities, and cooperative electric 
  3.13  associations.  Each municipal utility and cooperative electric 
  3.14  association may establish terms and conditions for the plans and 
  3.15  agreements required under subdivisions 2 and 3. 
  3.16     Sec. 5.  Minnesota Statutes 2002, section 216B.098, is 
  3.17  amended by adding a subdivision to read: 
  3.18     Subd. 2a.  [CHARGES FOR SERVICE.] A utility may not enforce 
  3.19  charges for residential utility service against anyone other 
  3.20  than the person in whose name the service is provided.  
  3.21     Sec. 6.  Minnesota Statutes 2002, section 216B.098, 
  3.22  subdivision 3, is amended to read: 
  3.23     Subd. 3.  [PAYMENT AGREEMENTS.] (a) A utility shall offer a 
  3.24  payment agreement for the payment of arrears that considers the 
  3.25  financial resources of the household.  
  3.26     (b) A utility is not obligated to offer a payment agreement 
  3.27  for the payment of arrears if the customer has the financial 
  3.28  resources to make full payment.  A public utility declining to 
  3.29  offer a payment agreement based on this reason shall inform the 
  3.30  customer of the right to seek the assistance of the commission.  
  3.31     Sec. 7.  Minnesota Statutes 2002, section 216B.098, is 
  3.32  amended by adding a subdivision to read: 
  3.33     Subd. 7.  [GRANTING OR DENYING NEW SERVICE; DEPOSIT.] (a) A 
  3.34  utility shall provide new service upon request of an applicant, 
  3.35  provided that the applicant: 
  3.36     (1) does not owe money for residential service provided by 
  4.1   the utility to a prior account in the applicant's name; or 
  4.2      (2) makes full payment of, or makes a payment agreement to 
  4.3   pay, amounts due for service provided by the utility to a prior 
  4.4   account in the applicant's name.  
  4.5      (b) Within five business days of receiving a completed 
  4.6   application for new service, a utility shall: 
  4.7      (1) provide prompt written notice to the applicant of a 
  4.8   decision to deny service; 
  4.9      (2) specify what the applicant must do to qualify for 
  4.10  service; and 
  4.11     (3) advise the applicant of the applicant's right to 
  4.12  investigation and review of the denial of service by the 
  4.13  commission, municipality, or electric cooperative association if 
  4.14  the applicant considers the denial to be without justification.  
  4.15     (c) A utility may not request a deposit from an applicant 
  4.16  for new service if the applicant is a recipient of public 
  4.17  assistance, including energy assistance.  
  4.18     Sec. 8.  Minnesota Statutes 2002, section 216B.098, is 
  4.19  amended by adding a subdivision to read: 
  4.20     Subd. 8.  [BILLING.] Bills rendered periodically to 
  4.21  customers must display in a conspicuous manner the telephone 
  4.22  number of the commission and a statement that the customers may 
  4.23  contact the commission for help with unresolved complaints.  
  4.24  This subdivision does not apply to customers of municipal 
  4.25  utilities and cooperative electric associations.  
  4.26     Sec. 9.  Minnesota Statutes 2002, section 216B.098, is 
  4.27  amended by adding a subdivision to read: 
  4.28     Subd. 9.  [THIRD PARTIES.] (a) A customer may designate a 
  4.29  third party to receive copies of bills and all notices relating 
  4.30  to collection of past due amounts and disconnection of service 
  4.31  and to accept responsibility for payment of utility bills on 
  4.32  behalf of the customer if the third party agrees in writing to 
  4.33  receive copies and notices and to accept payment responsibility. 
  4.34     (b) A utility shall provide notice of the availability of 
  4.35  third-party notice and payment options.  The notice must be easy 
  4.36  to understand and be provided to all new customers when they 
  5.1   apply for service and to existing customers at least once 
  5.2   annually.  
  5.3      Sec. 10.  Minnesota Statutes 2002, section 216B.098, is 
  5.4   amended by adding a subdivision to read: 
  5.5      Subd. 10.  [USE OF SERVICE LIMITERS.] A device that limits 
  5.6   or interrupts electric service in any way must not be used 
  5.7   during the periods specified in sections 216B.095 and 216B.097.  
  5.8   These types of devices include, but are not limited to, power 
  5.9   limiters, load limiters, and prepayment meters. 
  5.10     Sec. 11.  [216B.099] [DISCONNECTION OF SERVICE.] 
  5.11     Subdivision 1.  [NOTICE.] A utility may not disconnect 
  5.12  service without providing notice at least 15 calendar days 
  5.13  before the date on which service is to be disconnected.  
  5.14     Subd. 2.  [RESTRICTIONS ON DISCONNECTION.] A utility may 
  5.15  not disconnect service: 
  5.16     (1) before 8:00 a.m. or after 4:00 p.m., Monday through 
  5.17  Thursday; 
  5.18     (2) on Friday, Saturday, or Sunday; 
  5.19     (3) on a holiday or on the day preceding a holiday; 
  5.20     (4) on a day when the utility or the commission's offices 
  5.21  are closed; or 
  5.22     (5) during the period beginning December 24 and ending 
  5.23  January 2.  
  5.24     Subd. 3.  [SPECIAL PROTECTIONS.] (a) A utility may not 
  5.25  disconnect service to a household where the customer or a 
  5.26  resident of the customer's household is known to be 62 years of 
  5.27  age or older or five years of age or younger, or is known to 
  5.28  have a disability unless the utility provides a referral to, 
  5.29  including the telephone number of, the local energy assistance 
  5.30  program provider and notifies the appropriate county social or 
  5.31  human services department.  
  5.32     (b) Each utility shall make a diligent effort to identify 
  5.33  households in its service territory in which reside persons: 
  5.34     (1) who are at least 62 years of age; 
  5.35     (2) who are five years of age or younger; or 
  5.36     (3) who have disabilities.  
  6.1      Sec. 12.  Minnesota Statutes 2002, section 216B.81, is 
  6.2   amended by adding a subdivision to read: 
  6.3      Subd. 3.  [REPORTING.] By February 1 of each year, 
  6.4   distribution utilities shall report the following information 
  6.5   for the previous calendar year to the commission:  
  6.6      (1) the number of residential customers and number of 
  6.7   residential customers receiving energy assistance; 
  6.8      (2) the number of annual involuntary disconnections for 
  6.9   residential customers and residential customers receiving energy 
  6.10  assistance; 
  6.11     (3) the total number of residential customers in clause (2) 
  6.12  whose service was restored within 24 hours; 
  6.13     (4) the total annual number of residential customers and 
  6.14  residential customers receiving energy assistance involuntarily 
  6.15  placed on service or load limiters; and 
  6.16     (5) the number of residential customers and residential 
  6.17  customers receiving energy assistance who sought cold weather 
  6.18  rule protection and who were granted cold weather rule 
  6.19  protection.