(C) The public utilities commission shall prescribe the form | 26 |
and details of the valuation report of the property of each public | 27 |
utility or railroad in the state. Such report shall include all | 28 |
the kinds and classes of property, with the value of each, owned, | 29 |
held, or, with respect to a natural gas, water-works, or sewage | 30 |
disposal system company, projected to be owned or held as of the | 31 |
date certain, by each public utility or railroad used and useful, | 32 |
or, with respect to a natural gas, water-works, or sewage disposal | 33 |
system company, projected to be used and useful as of the date | 34 |
certain, for the service and convenience of the public. Such | 35 |
report shall contain the following facts in detail: | 36 |
(3) The original cost of all other kinds and classes of | 50 |
property used and useful, or, with respect to a natural gas, | 51 |
water-works, or sewage disposal system company, projected to be | 52 |
used and useful as of the date certain, in the rendition of | 53 |
service to the public. Such original costs of property, other than | 54 |
land owned in fee, shall be the cost, as determined to be | 55 |
reasonable by the commission, to the person that first dedicated | 56 |
or dedicates the property to the public use and shall be set forth | 57 |
in property accounts and subaccounts as prescribed by the | 58 |
commission. To the extent that the costs of property comprising a | 59 |
coal research and development facility, as defined in section | 60 |
1555.01 of the Revised Code, or a coal development project, as | 61 |
defined in section 1551.30 of the Revised Code, have been allowed | 62 |
for recovery as Ohio coal research and development costs under | 63 |
section 4905.304 of the Revised Code, none of those costs shall be | 64 |
included as a cost of property under this division. | 65 |
The report shall show separately the property used and useful | 96 |
to such public utility or railroad in the furnishing of the | 97 |
service to the public, the property held by such public utility or | 98 |
railroad for other purposes, and the property projected to be used | 99 |
and useful to or held by a natural gas, water-works, or sewage | 100 |
disposal system company as of the date certain, and such other | 101 |
items as the commission considers proper. The commission may | 102 |
require an additional report showing the extent to which the | 103 |
property is used and useful, or, with respect to a natural gas, | 104 |
water-works, or sewage disposal system company, projected to be | 105 |
used and useful as of the date certain. Such reports shall be | 106 |
filed in the office of the commission for the information of the | 107 |
governor and the general assembly. | 108 |
Sec. 4909.06. The investigation and report required by | 109 |
section 4909.05 of the Revised Code shall show, when the public | 110 |
utilities commission deems it necessary, the amounts, dates, and | 111 |
rates of interest of all bonds outstanding against each public | 112 |
utility or railroad, the property upon which such bonds are a | 113 |
lien, the amounts paid for them, and, the original capital stock | 114 |
and the moneys received by any such public utility or railroad by | 115 |
reason of any issue of stock, bonds, or other securities. Such | 116 |
report shall also show the net and gross receipts of such public | 117 |
utility or railroad and the method by which moneys were expended | 118 |
or paid out and the purpose of such payments. The commission may | 119 |
prescribe the procedure to be followed in making the investigation | 120 |
and valuation, the form in which the results of the ascertainment | 121 |
of the value of each public utility or railroad shall be | 122 |
submitted, and the classifications of the elements that constitute | 123 |
the ascertained value. Such investigation shall also show the | 124 |
value of the property of every public utility or railroad as a | 125 |
whole, and if such property is in more than one county, the value | 126 |
of its property in each of such counties. | 127 |
Sec. 4909.07. The public utilities commission, during the | 133 |
making of the valuation provided for in sections 4909.04 to | 134 |
4909.13, inclusive, of the Revised Code, and after its completion, | 135 |
shall in like manner keep itself informed through its engineers, | 136 |
experts, and other assistants of all extensions, improvements, or | 137 |
other changes in the condition and value of the property of all | 138 |
public utilities or railroads and shall ascertain the value of | 139 |
such extensions, improvements, and changes. The commission shall, | 140 |
as is required for the proper regulation of such public utilities | 141 |
or railroads, revise and correct its valuations of property, | 142 |
showing such revisions and corrections as a whole and as to each | 143 |
county. Such revisions and corrections shall be filed in the same | 144 |
manner as original reports. | 145 |
Sec. 4909.08. When the public utilities commission has | 151 |
completed the valuation of the property of any public utility or | 152 |
railroad and before such valuation becomes final, it shall give | 153 |
notice by registered letter to such public utility or railroad, | 154 |
and if a substantial portion of said public utility or railroad is | 155 |
situated in a municipal corporation, then to the mayor of such | 156 |
municipal corporation, stating the valuations placed upon the | 157 |
several kinds and classes of property of such public utility or | 158 |
railroad and upon the property as a whole and give such further | 159 |
notice by publication or otherwise as it shall deem necessary to | 160 |
apprise the public of such valuation. If, within thirty days after | 161 |
such notification, no protest has been filed with the commission, | 162 |
such valuation becomes final. If notice of protest has been filed | 163 |
by any public utility or railroad, the commission shall fix a time | 164 |
for hearing such protest and shall consider at such hearing any | 165 |
matter material thereto presented by such public utility, | 166 |
railroad, or municipal corporation, in support of its protest or | 167 |
by any representative of the public against such protest. If, | 168 |
after the hearing of any protest of any valuation so fixed, the | 169 |
commission is of the opinion that its inventory is incomplete or | 170 |
inaccurate or that its valuation is incorrect, it shall make such | 171 |
changes as are necessary and shall issue an order making such | 172 |
corrected valuations final. A final valuation by the commission | 173 |
and all classifications made for the ascertainment of such | 174 |
valuations shall be public and are prima-facie evidence relative | 175 |
to the value of the property. | 176 |
The applicable maximum period in rates for an allowance for | 231 |
construction work in progress as it relates to a particular | 232 |
construction project shall be tolled if, and to the extent, a | 233 |
delay in the in-service date of the project is caused by the | 234 |
action or inaction of any federal, state, county, or municipal | 235 |
agency having jurisdiction, where such action or inaction relates | 236 |
to a change in a rule, standard, or approval of such agency, and | 237 |
where such action or inaction is not the result of the failure of | 238 |
the utility to reasonably endeavor to comply with any rule, | 239 |
standard, or approval prior to such change. | 240 |
(a) Federal, state, and local taxes imposed on or measured by | 274 |
net income may, in the discretion of the commission, be computed | 275 |
by the normalization method of accounting, provided the utility | 276 |
maintains accounting reserves that reflect differences between | 277 |
taxes actually payable and taxes on a normalized basis, provided | 278 |
that no determination as to the treatment in the rate-making | 279 |
process of such taxes shall be made that will result in loss of | 280 |
any tax depreciation or other tax benefit to which the utility | 281 |
would otherwise be entitled, and further provided that such tax | 282 |
benefit as redounds to the utility as a result of such a | 283 |
computation may not be retained by the company, used to fund any | 284 |
dividend or distribution, or utilized for any purpose other than | 285 |
the defrayal of the operating expenses of the utility and the | 286 |
defrayal of the expenses of the utility in connection with | 287 |
construction work. | 288 |
(b) The amount of any tax credits granted to an electric | 289 |
light company under section 5727.391 of the Revised Code for Ohio | 290 |
coal burned prior to January 1, 2000, shall not be retained by the | 291 |
company, used to fund any dividend or distribution, or utilized | 292 |
for any purposes other than the defrayal of the allowable | 293 |
operating expenses of the company and the defrayal of the | 294 |
allowable expenses of the company in connection with the | 295 |
installation, acquisition, construction, or use of a compliance | 296 |
facility. The amount of the tax credits granted to an electric | 297 |
light company under that section for Ohio coal burned prior to | 298 |
January 1, 2000, shall be returned to its customers within three | 299 |
years after initially claiming the credit through an offset to the | 300 |
company's rates or fuel component, as determined by the | 301 |
commission, as set forth in schedules filed by the company under | 302 |
section 4905.30 of the Revised Code. As used in division (A)(4)(b) | 303 |
of this section, "compliance facility" has the same meaning as in | 304 |
section 5727.391 of the Revised Code. | 305 |
(E) When the commission is of the opinion, after hearing and | 335 |
after making the determinations under divisions (A) and (B) of | 336 |
this section, that any rate, fare, charge, toll, rental, schedule, | 337 |
classification, or service, or any joint rate, fare, charge, toll, | 338 |
rental, schedule, classification, or service rendered, charged, | 339 |
demanded, exacted, or proposed to be rendered, charged, demanded, | 340 |
or exacted, is, or will be, unjust, unreasonable, unjustly | 341 |
discriminatory, unjustly preferential, or in violation of law, | 342 |
that the service is, or will be, inadequate, or that the maximum | 343 |
rates, charges, tolls, or rentals chargeable by any such public | 344 |
utility are insufficient to yield reasonable compensation for the | 345 |
service rendered, and are unjust and unreasonable, the commission | 346 |
shall: | 347 |
(1) With due regard among other things to the value of all | 348 |
property of the public utility actually used and useful for the | 349 |
convenience of the public as determined under division (A)(1) of | 350 |
this section, excluding from such value the value of any franchise | 351 |
or right to own, operate, or enjoy the same in excess of the | 352 |
amount, exclusive of any tax or annual charge, actually paid to | 353 |
any political subdivision of the state or county, as the | 354 |
consideration for the grant of such franchise or right, and | 355 |
excluding any value added to such property by reason of a monopoly | 356 |
or merger, with due regard in determining the dollar annual return | 357 |
under division (A)(3) of this section to the necessity of making | 358 |
reservation out of the income for surplus, depreciation, and | 359 |
contingencies, and; | 360 |
(b) But not including the portion of any periodic rental or | 366 |
use payments representing that cost of property that is included | 367 |
in the valuation report under divisions (C)(4) and (5) of section | 368 |
4909.05 of the Revised Code, fix and determine the just and | 369 |
reasonable rate, fare, charge, toll, rental, or service to be | 370 |
rendered, charged, demanded, exacted, or collected for the | 371 |
performance or rendition of the service that will provide the | 372 |
public utility the allowable gross annual revenues under division | 373 |
(B) of this section, and order such just and reasonable rate, | 374 |
fare, charge, toll, rental, or service to be substituted for the | 375 |
existing one. After such determination and order no change in the | 376 |
rate, fare, toll, charge, rental, schedule, classification, or | 377 |
service shall be made, rendered, charged, demanded, exacted, or | 378 |
changed by such public utility without the order of the | 379 |
commission, and any other rate, fare, toll, charge, rental, | 380 |
classification, or service is prohibited. | 381 |
(F) Upon application of any person or any public utility, and | 382 |
after notice to the parties in interest and opportunity to be | 383 |
heard as provided in Chapters 4901., 4903., 4905., 4907., 4909., | 384 |
4921., and 4923. of the Revised Code for other hearings, has been | 385 |
given, the commission may rescind, alter, or amend an order fixing | 386 |
any rate, fare, toll, charge, rental, classification, or service, | 387 |
or any other order made by the commission. Certified copies of | 388 |
such orders shall be served and take effect as provided for | 389 |
original orders. | 390 |
Sec. 4909.156. In fixing the just, reasonable, and | 391 |
compensatory rates, joint rates, tolls, classifications, charges, | 392 |
or rentals to be observed and charged for service by any public | 393 |
utility, the public utilities commission shall, in action upon an | 394 |
application filed pursuant to section 4909.18 of the Revised Code, | 395 |
require a public utility to file a report showing the | 396 |
proportionate amounts of the valuation of the property of the | 397 |
utility, as determined under section 4909.05 orof the Revised | 398 |
Code, and the proportionate amounts of the revenues and expenses | 399 |
of the utility that are proposed to be considered as attributable | 400 |
to the service area involved in the application. | 401 |
Sec. 4909.172. (A) A waterworks company, or a sewage | 407 |
disposal system company, that is a public utility may file an | 408 |
application with the public utilities commission for approval to | 409 |
collect an infrastructure improvement surcharge, determined in | 410 |
accordance with this section, from customers located in the | 411 |
company's affected service areas and subject to affected schedules | 412 |
filed by the company under section 4905.314905.32 of the Revised | 413 |
Code. The application shall be in such form and contain such | 414 |
information as the commission prescribes. At the time of filing, | 415 |
the company shall serve a copy of the application upon the chief | 416 |
executive of each municipal corporation, the board of township | 417 |
trustees of each township, and the board of county commissioners | 418 |
of each county in which affected customers are located. A company | 419 |
for which aan infrastructure improvement surcharge is authorized | 420 |
under this section may file an application for another such | 421 |
surcharge not sooner than twelve months after the filing date of | 422 |
its most recent infrastructure improvement surcharge application. | 423 |
Sec. 4909.18. Any public utility desiring to establish any | 509 |
rate, joint rate, toll, classification, charge, or rental, or to | 510 |
modify, amend, change, increase, or reduce any existing rate, | 511 |
joint rate, toll, classification, charge, or rental, or any | 512 |
regulation or practice affecting the same, shall file a written | 513 |
application with the public utilities commission. Except for | 514 |
actions under section 4909.16 of the Revised Code, no public | 515 |
utility may issue the notice of intent to file an application | 516 |
pursuant to division (B) of section 4909.43 of the Revised Code to | 517 |
increase any existing rate, joint rate, toll, classification, | 518 |
charge, or rental, until a final order under this section has been | 519 |
issued by the commission on any pending prior application to | 520 |
increase the same rate, joint rate, toll, classification, charge, | 521 |
or rental or until two hundred seventy-five days after filing such | 522 |
application, whichever is sooner. Such application shall be | 523 |
verified by the president or a vice-president and the secretary or | 524 |
treasurer of the applicant. Such application shall contain a | 525 |
schedule of the existing rate, joint rate, toll, classification, | 526 |
charge, or rental, or regulation or practice affecting the same, a | 527 |
schedule of the modification amendment, change, increase, or | 528 |
reduction sought to be established, and a statement of the facts | 529 |
and grounds upon which such application is based. If such | 530 |
application proposes a new service or the use of new equipment, or | 531 |
proposes the establishment or amendment of a regulation, the | 532 |
application shall fully describe the new service or equipment, or | 533 |
the regulation proposed to be established or amended, and shall | 534 |
explain how the proposed service or equipment differs from | 535 |
services or equipment presently offered or in use, or how the | 536 |
regulation proposed to be established or amended differs from | 537 |
regulations presently in effect. The application shall provide | 538 |
such additional information as the commission may require in its | 539 |
discretion. If the commission determines that such application is | 540 |
not for an increase in any rate, joint rate, toll, classification, | 541 |
charge, or rental, the commission may permit the filing of the | 542 |
schedule proposed in the application and fix the time when such | 543 |
schedule shall take effect. If it appears to the commission that | 544 |
the proposals in the application may be unjust or unreasonable, | 545 |
the commission shall set the matter for hearing and shall give | 546 |
notice of such hearing by sending written notice of the date set | 547 |
for the hearing to the public utility and publishing notice of the | 548 |
hearing one time in a newspaper of general circulation in each | 549 |
county in the service area affected by the application. At such | 550 |
hearing, the burden of proof to show that the proposals in the | 551 |
application are just and reasonable shall be upon the public | 552 |
utility. After such hearing, the commission shall, where | 553 |
practicable, issue an appropriate order within six months from the | 554 |
date the application was filed. | 555 |
Sec. 4909.191. (A) If the public utilities commission, under | 577 |
division (D) of section 4909.15 of the Revised Code, incorporated | 578 |
proposed adjustments to revenues and expenses into the | 579 |
commission's determination under that section, the natural gas, | 580 |
water-works, or sewage disposal system company shall, not later | 581 |
than ninety days after actual data for all of the incorporated | 582 |
adjustments becomes known, submit to the commission proposed rate | 583 |
or charge adjustments that provide for the recalculation of rates | 584 |
or charges, reflective of customer-class responsibility, | 585 |
corresponding to the differences, if any, between the incorporated | 586 |
adjustments to revenues and expenses and the actual revenues and | 587 |
expenses associated with the incorporated adjustments. | 588 |
(B) If the commission incorporated projected value or | 589 |
valuation of property into the commission's determination under | 590 |
division (A)(1) of section 4909.15 of the Revised Code, the | 591 |
natural gas, water-works, or sewage disposal system company shall, | 592 |
not later than ninety days after data for the actual value or | 593 |
valuation as of the date certain becomes known, submit to the | 594 |
commission proposed rate or charge adjustments that provide for | 595 |
the recalculation of rates or charges, reflective of | 596 |
customer-class responsibility, corresponding to the differences, | 597 |
if any, between the projected value or valuation incorporated into | 598 |
the commission's determination and the actual value or valuation | 599 |
as of the date certain. | 600 |
Sec. 4909.42. If the proceeding on an application filed with | 633 |
the public utilities commission under section 4909.18 of the | 634 |
Revised Code by any public utility requesting an increase on any | 635 |
rate, joint rate, toll, classification, charge, or rental or | 636 |
requesting a change in a regulation or practice affecting the same | 637 |
has not been concluded and an order entered pursuant to section | 638 |
4909.19 of the Revised Code at the expiration of two hundred | 639 |
seventy-five days from the date of filing the application, an | 640 |
increase not to exceed the proposed increase shall go into effect | 641 |
upon the filing of an undertakinga bond or a letter of credit by | 642 |
the public utility. The undertakingbond or letter of credit shall | 643 |
be filed with the commission and shall be payable to the state for | 644 |
the use and benefit of the customers affected by the proposed | 645 |
increase or change. | 646 |
The undertakingAn affidavit attached to the bond or letter | 647 |
of credit must be signed by two of the officers of the utility, | 648 |
under oath, and must contain a promise on behalf of the utility to | 649 |
refund any amounts collected by the utility over the rate, joint | 650 |
rate, toll, classification, charge, or rental, as determined in | 651 |
the final order of the commission. All refunds shall include | 652 |
interest at the rate stated in section 1343.03 of the Revised | 653 |
Code. The refund shall be in the form of a temporary reduction in | 654 |
rates following the final order of the commission, and shall be | 655 |
accomplished in such manner as shall be prescribed by the | 656 |
commission in its final order. The commission shall exercise | 657 |
continuing and exclusive jurisdiction over such refunds. | 658 |