As Introduced

129th General Assembly Regular Session 2011-2012

H. B. No. 95

Representative Stautberg 

Cosponsors: Representatives Blessing, Uecker, Mecklenborg, Balderson, Hayes, Goodwin, Martin 

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A BILL

To amend sections 4903.083, 4905.302, 4906.06,

1

4909.05, 4909.06, 4909.07, 4909.08, 4909.15,

2

4909.156, 4909.17, 4909.18, 4909.19, 4928.18,

3

4929.05, 4929.051, 4929.11, and 4935.04 and to

4

enact section 4929.111 of the Revised Code to

5

permit certain rate-calculation adjustments for

6

natural gas companies, eliminate public notice

7

requirements for rate cases, and, for natural gas

8

companies, to make other regulatory changes

9

concerning audits, alternative rate plans, and

10

forecast reports, and allowing applications for

11

natural gas company capital expenditure programs.

12

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:

Section 1.  That sections 4903.083, 4905.302, 4906.06,	13
4909.05, 4909.06, 4909.07, 4909.08, 4909.15, 4909.156, 4909.17,	14
4909.18, 4909.19, 4928.18, 4929.05, 4929.051, 4929.11, and 4935.04	15
be amended and section 4929.111 of the Revised Code be enacted to	16
read as follows:	17

Sec. 4903.083.  For all cases involving applications for an	18
increase in rates pursuant to section 4909.18 of the Revised Code	19
the public utilities commission shall hold public hearings in each	20
municipal corporation in the affected service area having a	21
population in excess of one hundred thousand persons, provided	22
that, at least one public hearing shall be held in each affected	23
service area. At least one such hearing shall be held after 5:00	24
p.m. Notice of such hearing shall be published by the public	25
utilities commission once each week for two consecutive weeks in a	26
newspaper of general circulation in the service area. Said notice	27
shall state prominently the total amount of the revenue increase	28
requested in the application for the increase and shall list a	29
brief summary of the then known major issues in contention as set	30
forth in the respective parties' and intervenor's objections to	31
the staff report filed pursuant to section 4909.19 of the Revised	32
Code. The public utilities commission shall determine a uniform	33
format for the content of all notices required under this section.	34
Defects in the content of said notice shall not affect the	35
legality of notices published under this section provided the	36
public utilities commission meets the substantial compliance	37
provision of section 4905.09 of the Revised Code.	38

Sec. 4905.302.  (A)(1) For the purpose of this section, the	39
term "purchased gas adjustment clause" means:	40

(a) A provision in a schedule of a gas company or natural gas	41
company that requires or allows the company to, without adherence	42
to section 4909.18 or 4909.19 of the Revised Code, adjust the	43
rates that it charges to its customers in accordance with any	44
fluctuation in the cost to the company of obtaining the gas that	45
it sells, that has occurred since the time any order has been	46
issued by the public utilities commission establishing rates for	47
the company pertaining to those customers;	48

(b) A provision in an ordinance adopted pursuant to section	49
743.26 or 4909.34 of the Revised Code or Section 4 of Article	50
XVIII, Ohio Constitution, with respect to which a gas company or	51
natural gas company is required or allowed to adjust the rates it	52
charges under such an ordinance in accordance with any fluctuation	53
in the cost to the company of obtaining the gas that it sells,	54
that has occurred since the time of the adoption of the ordinance.	55

(2) For the purpose of this section, the term "special	56
purchase" means any purchase of interstate natural gas, any	57
purchase of liquifiedliquefied natural gas, and any purchase of	58
synthetic natural gas from any source developed after the	59
effective date of this section, April 27, 1976, provided that this	60
purchase be of less than one hundred twenty days duration and the	61
price for this purchase is not regulated by the federal power	62
commission. For the purpose of this division, the expansion or	63
enlargement of a synthetic natural gas plant existing at such date	64
shall be considered a source so developed.	65

(3) For the purpose of this section, the term "residential	66
customer" means urban, suburban, and rural patrons of gas	67
companies and natural gas companies insofar as their needs for gas	68
are limited to their residence. Such term includes those patrons	69
whose rates have been set under an ordinance adopted pursuant to	70
sections 743.26 and 4909.34 of the Revised Code or Section 4 of	71
Article XVIII, Ohio Constitution.	72

(4) For the purposes of this section, the term "customer	73
choice program" means a program of a natural gas company under	74
which customers may choose a natural gas supplier other than the	75
natural gas company.	76

(B) A purchased gas adjustment clause may not allow, and no	77
such clause may be interpreted to allow, a gas company or natural	78
gas company that has obtained an order from the public utilities	79
commission permitting the company to curtail the service of any	80
customer or class of customers other than residential customers,	81
such order being based on the company's inability to secure a	82
sufficient quantity of natural gas, to distribute the cost of any	83
special purchase made subsequent to the effective date of such	84
order, to the extent that such purchase decreases the level of	85
curtailment of any such customer or class of customers, to any	86
class of customers of the company that was not curtailed, to any	87
class of residential customers of the company, or to any class of	88
customers of the company whose level of curtailment was not	89
decreased and whose consumption increased as a result of, or in	90
connection with, the special purchase.	91

(C)(1) The commission shall promulgate a purchased gas	92
adjustment rule, consistent with this section, that establishes a	93
uniform purchased gas adjustment clause to be included in the	94
schedule of gas companies and natural gas companies subject to the	95
jurisdiction of the public utilities commission and that	96
establishes investigative procedures and proceedings including,	97
but not limited to, periodic reports, audits, and hearings.	98

(2) Unless otherwise ordered by the commission for good cause	99
shown and except as provided in division (D) of this section:	100

(a) The commission's staff shall conduct any audit or other	101
investigation of a natural gas company having fifteen thousand or	102
fewer customers in this state that may be required under the	103
purchased gas adjustment rule.	104

(b) Except as provided in section 4905.10 of the Revised	105
Code, the commission shall not impose upon such company any fee,	106
expense, or cost of such audit or other investigation or any	107
related hearing under this section.	108

(3) Unless otherwise ordered by the commission for good cause	109
shown either by an interested party or by the commission on its	110
own motion, no natural gas company having fifteen thousand or	111
fewer customers in this state shall be subject under the purchased	112
gas adjustment rule to any audit or other investigation or any	113
related hearing, other than a financial audit or, as necessary,	114
any hearing related to a financial audit.	115

(4) In issuing an order under division (C)(2) or (3) of this	116
section, the commission shall file a written opinion setting forth	117
the reasons showing good cause under such division and the	118
specific matters to be audited, investigated, or subjected to	119
hearing. Nothing in division (C)(2) or (3) of this section	120
relieves such a natural gas company from the duty to file such	121
information as the commission may require under the rule for the	122
purpose of showing that a company has charged its customers	123
accurately for the cost of gas obtained.	124

(D) Neither of the following shall be subject to any audit or	125
other investigation or any related hearing under division (C) of	126
this section:	127

(1) A natural gas company that does not sell natural gas	128
under a purchased gas adjustment clause;	129

(2) A natural gas company that has a customer choice program	130
under which thirty per cent or more of the natural gas company's	131
residential customers obtain natural gas.	132

(E) Nothing in this section or any other provision of law	133
shall be construed to mean that the commission, in the event of	134
any cost distribution allowed under this section, may issue an	135
order pursuant to which the prudent and reasonable cost of gas to	136
a gas company or natural gas company of any special purchase may	137
not be recovered by the company. For the purpose of this division,	138
such cost of gas neither includes any applicable franchise taxes	139
nor the ordinary losses of gas experienced by the company in the	140
process of transmission and distribution.	141

(E)(F) The commission shall not at any time prevent or	142
restrain such costs as are distributable under this section from	143
being so distributed, unless the commission has reason to believe	144
that an arithmetic or accounting inaccuracy exists with respect to	145
such a distribution or that the company has not accurately	146
represented the amount of the cost of a special purchase, or has	147
followed imprudent or unreasonable procurement policies and	148
practices, has made errors in the estimation of cubic feet sold,	149
or has employed such other practices, policies, or factors as the	150
commission considers inappropriate.	151

(F)(G) The cost of natural gas under this section shall not	152
include any cost recovered by a natural gas company pursuant to	153
section 4929.25 of the Revised Code.	154

Sec. 4906.06.  (A) An applicant for a certificate shall file	155
with the office of the chairperson of the power siting board an	156
application, in such form as the board prescribes, containing the	157
following information:	158

(1) A description of the location and of the major utility	159
facility;	160

(2) A summary of any studies that have been made by or for	161
the applicant of the environmental impact of the facility;	162

(3) A statement explaining the need for the facility;

163

(4) A statement of the reasons why the proposed location is	164
best suited for the facility;	165

(5) AIf applicable, a statement of how the facility fits	166
into the applicant's forecast contained in the report submitted	167
under section 4935.04 of the Revised Code;	168

(6) Such other information as the applicant may consider	169
relevant or as the board by rule or order may require. Copies of	170
the studies referred to in division (A)(2) of this section shall	171
be filed with the office of the chairperson, if ordered, and shall	172
be available for public inspection.	173

The application shall be filed not less than one year nor	174
more than five years prior to the planned date of commencement of	175
construction. Either period may be waived by the board for good	176
cause shown.	177

(B) Each application shall be accompanied by proof of service	178
of a copy of such application on the chief executive officer of	179
each municipal corporation and county, and the head of each public	180
agency charged with the duty of protecting the environment or of	181
planning land use, in the area in which any portion of such	182
facility is to be located.	183

(C) Each applicant within fifteen days after the date of the	184
filing of the application shall give public notice to persons	185
residing in the municipal corporations and counties entitled to	186
receive notice under division (B) of this section, by the	187
publication of a summary of the application in newspapers of	188
general circulation in such area. Proof of such publication shall	189
be filed with the office of the chairperson.	190

(D) Inadvertent failure of service on, or notice to, any of	191
the persons identified in divisions (B) and (C) of this section	192
may be cured pursuant to orders of the board designed to afford	193
them adequate notice to enable them to participate effectively in	194
the proceeding. In addition, the board, after filing, may require	195
the applicant to serve notice of the application or copies thereof	196
or both upon such other persons, and file proof thereof, as the	197
board considers appropriate.	198

(E) An application for an amendment of a certificate shall be	199
in such form and contain such information as the board prescribes.	200
Notice of such an application shall be given as required in	201
divisions (B) and (C) of this section.	202

(F) Each application for certificate or an amendment shall be	203
accompanied by the application fee prescribed by board rule. All	204
application fees, supplemental application fees, and other fees	205
collected by the board shall be deposited in the state treasury to	206
the credit of the power siting board fund, which is hereby	207
created. The chairperson shall administer and authorize	208
expenditures from the fund for any of the purposes of this	209
chapter. If the chairperson determines that moneys credited to the	210
fund from an applicant's fee are not sufficient to pay the board's	211
expenses associated with its review of the application, the	212
chairperson shall request the approval of the controlling board to	213
assess a supplemental application fee upon an applicant to pay	214
anticipated additional expenses associated with the board's review	215
of the application or an amendment to an application. If the	216
chairperson finds that an application fee exceeds the amount	217
needed to pay the board's expenses for review of the application,	218
the chairperson shall cause a refund of the excess amount to be	219
issued to the applicant from the fund.	220

Sec. 4909.05.  As used in this section:

221

(A) A "lease purchase agreement" is an agreement pursuant to	222
which a public utility leasing property is required to make rental	223
payments for the term of the agreement and either the utility is	224
granted the right to purchase the property upon the completion of	225
the term of the agreement and upon the payment of an additional	226
fixed sum of money or title to the property vests in the utility	227
upon the making of the final rental payment.	228

(B) A "leaseback" is the sale or transfer of property by a	229
public utility to another person contemporaneously followed by the	230
leasing of the property to the public utility on a long-term	231
basis.	232

(C) The public utilities commission shall prescribe the form	233
and details of the valuation report of the property of each public	234
utility or railroad in the state. Such report shall include all	235
the kinds and classes of property, with the value of each, owned	236
or, held, or, with respect to a natural gas company, projected to	237
be owned or held at the date certain, by each public utility or	238
railroad used and useful, or, with respect to a natural gas	239
company, projected to be used and useful at the date certain, for	240
the service and convenience of the public. Such report shall	241
contain the following facts in detail:	242

(C)(1) The original cost of each parcel of land owned in fee	243
and in use, or, with respect to a natural gas company, projected	244
to be owned in fee and in use, at the date certain determined by	245
the commission; and also a statement of the conditions of	246
acquisition, whether by direct purchase, by donation, by exercise	247
of the power of eminent domain, or otherwise;	248

(D)(2) The actual acquisition cost, not including periodic	249
rental fees, of rights-of-way, trailways, or other land rights	250
held, or, with respect to a natural gas company, projected to be	251
held at the date certain, by virtue of easements, leases, or other	252
forms of grants of rights as to usage;	253

(E)(3) The original cost of all other kinds and classes of	254
property used and useful, or, with respect to a natural gas	255
company, projected to be used and useful at the date certain, in	256
the rendition of service to the public. Such original costs of	257
property, other than land owned in fee, shall be the cost, as	258
determined to be reasonable by the commission, to the person that	259
first dedicated or dedicates the property to the public use and	260
shall be set forth in property accounts and subaccounts as	261
prescribed by the commission. To the extent that the costs of	262
property comprising a coal research and development facility, as	263
defined in section 1555.01 of the Revised Code, or a coal	264
development project, as defined in section 1551.30 of the Revised	265
Code, have been allowed for recovery as Ohio coal research and	266
development costs under section 4905.304 of the Revised Code, none	267
of those costs shall be included as a cost of property under this	268
division.	269

(F)(4) The cost of property constituting all or part of a	270
project leased to or used by the utility, or, with respect to a	271
natural gas company, projected to be leased to or used by the	272
utility at the date certain, under Chapter 165., 3706., 6121., or	273
6123. of the Revised Code and not included under division	274
(E)(C)(3) of this section exclusive of any interest directly or	275
indirectly paid by the utility with respect thereto whether or not	276
capitalized;	277

(G)(5) In the discretion of the commission, the cost to a	278
utility, in an amount determined to be reasonable by the	279
commission, of property constituting all or part of a project	280
leased to the utility, or, with respect to a natural gas company,	281
projected to be leased to the utility at the date certain, under a	282
lease purchase agreement or a leaseback and not included under	283
division (E)(C)(3) of this section exclusive of any interest	284
directly or indirectly paid by the utility with respect thereto	285
whether or not capitalized;	286

(H)(6) The proper and adequate reserve for depreciation, as	287
determined to be reasonable by the commission;	288

(I)(7) Any sums of money or property that the company may	289
have received, or, with respect to a natural gas company, is	290
projected to receive, on or before the date certain, as total or	291
partial defrayal of the cost of its property;	292

(J)(8) The valuation of the property of the company, which	293
shall be the sum of the amounts contained in the report pursuant	294
to divisions (C), (D), (E), (F), and (G)(1) to (5) of this	295
section, less the sum of the amounts contained in the report	296
pursuant to divisions (H)(C)(6) and (I)(7) of this section.	297

The report shall show separately the property used and useful	298
to such public utility or railroad in the furnishing of the	299
service to the public, and the property held by such public	300
utility or railroad for other purposes, and the property projected	301
to be used and useful to or held by a natural gas company, and	302
such other items as the commission considers proper. The	303
commission may require an additional report showing the extent to	304
which the property is used and useful, or, with respect to a	305
natural gas company, projected to be used and useful at the date	306
certain. Such reports shall be filed in the office of the	307
commission for the information of the governor and the general	308
assembly.	309

Sec. 4909.06.  The investigation and report required by	310
section 4909.05 of the Revised Code shall show, when the public	311
utilities commission deems it necessary, the amounts, dates, and	312
rates of interest of all bonds outstanding against each public	313
utility or railroad, the property upon which such bonds are a	314
lien, the amounts paid for them, and, the original capital stock	315
and the moneys received by any such public utility or railroad by	316
reason of any issue of stock, bonds, or other securities. Such	317
report shall also show the net and gross receipts of such public	318
utility or railroad and the method by which moneys were expended	319
or paid out and the purpose of such payments. The commission may	320
prescribe the procedure to be followed in making the investigation	321
and valuation, the form in which the results of the ascertainment	322
of the value of each public utility or railroad shall be	323
submitted, and the classifications of the elements that constitute	324
the ascertained value. Such investigation shall also show the	325
value of the property of every public utility or railroad as a	326
whole, and if such property is in more than one county, the value	327
of its property in each of such counties.	328

"Valuation" and "value," as used in this section, may include	329
projected valuation and value, if applicable, because of a future	330
date certain under section 4909.15 of the Revised Code.	331

Sec. 4909.07.  The public utilities commission, during the	332
making of the valuation provided for in sections 4909.04 to	333
4909.13, inclusive, of the Revised Code, and after its completion,	334
shall in like manner keep itself informed through its engineers,	335
experts, and other assistants of all extensions, improvements, or	336
other changes in the condition and value of the property of all	337
public utilities or railroads and shall ascertain the value of	338
such extensions, improvements, and changes. The commission shall,	339
as is required for the proper regulation of such public utilities	340
or railroads, revise and correct its valuations of property,	341
showing such revisions and corrections as a whole and as to each	342
county. Such revisions and corrections shall be filed in the same	343
manner as original reports.	344

"Valuation" and "value," as used in this section, may include	345
projected valuation and value, if applicable, because of a future	346
date certain under section 4909.15 of the Revised Code.	347

Sec. 4909.08.  When the public utilities commission has	348
completed the valuation of the property of any public utility or	349
railroad and before such valuation becomes final, it shall give	350
notice by registered letter to such public utility or railroad,	351
and if a substantial portion of said public utility or railroad is	352
situated in a municipal corporation, then to the mayor of such	353
municipal corporation, stating the valuations placed upon the	354
several kinds and classes of property of such public utility or	355
railroad and upon the property as a whole and give such further	356
notice by publication or otherwise as it shall deem necessary to	357
appraiseapprise the public of such valuation. If, within thirty	358
days after such notification, no protest has been filed with the	359
commission, such valuation becomes final. If notice of protest has	360
been filed by any public utility or railroad, the commission shall	361
fix a time for hearing such protest and shall consider at such	362
hearing any matter material thereto presented by such public	363
utility, railroad, or municipal corporation, in support of its	364
protest or by any representative of the public against such	365
protest. If, after the hearing of any protest of any valuation so	366
fixed, the commission is of the opinion that its inventory is	367
incomplete or inaccurate or that its valuation is incorrect, it	368
shall make such changes as are necessary and shall issue an order	369
making such corrected valuations final. A final valuation by the	370
commission and all classifications made for the ascertainment of	371
such valuations shall be public and are prima-facie evidence	372
relative to the value of the property.	373

"Valuation" and "value," as used in this section, may include	374
projected valuation and value, if applicable, because of a future	375
date certain under section 4909.15 of the Revised Code.	376

Sec. 4909.15.  (A) The public utilities commission, when	377
fixing and determining just and reasonable rates, fares, tolls,	378
rentals, and charges, shall determine:	379

(1) The valuation as of the date certain of the property of	380
the public utility used and useful in rendering the public utility	381
service for which rates are to be fixed and determined. The	382
valuation so determined shall be the total value as set forth in	383
division (J)(C)(8) of section 4909.05 of the Revised Code, and a	384
reasonable allowance for materials and supplies and cash working	385
capital, as determined by the commission.	386

The commission, in its discretion, may include in the	387
valuation a reasonable allowance for construction work in progress	388
but, in no event, may such an allowance be made by the commission	389
until it has determined that the particular construction project	390
is at least seventy-five per cent complete.	391

In determining the percentage completion of a particular	392
construction project, the commission shall consider, among other	393
relevant criteria, the per cent of time elapsed in construction;	394
the per cent of construction funds, excluding allowance for funds	395
used during construction, expended, or obligated to such	396
construction funds budgeted where all such funds are adjusted to	397
reflect current purchasing power; and any physical inspection	398
performed by or on behalf of any party, including the commission's	399
staff.	400

A reasonable allowance for construction work in progress	401
shall not exceed ten per cent of the total valuation as stated in	402
this division, not including such allowance for construction work	403
in progress.	404

Where the commission permits an allowance for construction	405
work in progress, the dollar value of the project or portion	406
thereof included in the valuation as construction work in progress	407
shall not be included in the valuation as plant in service until	408
such time as the total revenue effect of the construction work in	409
progress allowance is offset by the total revenue effect of the	410
plant in service exclusion. Carrying charges calculated in a	411
manner similar to allowance for funds used during construction	412
shall accrue on that portion of the project in service but not	413
reflected in rates as plant in service, and such accrued carrying	414
charges shall be included in the valuation of the property at the	415
conclusion of the offset period for purposes of division (J)(C)(8)	416
of section 4909.05 of the Revised Code.	417

From and after April 10, 1985, no allowance for construction	418
work in progress as it relates to a particular construction	419
project shall be reflected in rates for a period exceeding	420
forty-eight consecutive months commencing on the date the initial	421
rates reflecting such allowance become effective, except as	422
otherwise provided in this division.	423

The applicable maximum period in rates for an allowance for	424
construction work in progress as it relates to a particular	425
construction project shall be tolled if, and to the extent, a	426
delay in the in-service date of the project is caused by the	427
action or inaction of any federal, state, county, or municipal	428
agency having jurisdiction, where such action or inaction relates	429
to a change in a rule, standard, or approval of such agency, and	430
where such action or inaction is not the result of the failure of	431
the utility to reasonably endeavor to comply with any rule,	432
standard, or approval prior to such change.	433

In the event that such period expires before the project goes	434
into service, the commission shall exclude, from the date of	435
expiration, the allowance for the project as construction work in	436
progress from rates, except that the commission may extend the	437
expiration date up to twelve months for good cause shown.	438

In the event that a utility has permanently canceled,	439
abandoned, or terminated construction of a project for which it	440
was previously permitted a construction work in progress	441
allowance, the commission immediately shall exclude the allowance	442
for the project from the valuation.	443

In the event that a construction work in progress project	444
previously included in the valuation is removed from the valuation	445
pursuant to this division, any revenues collected by the utility	446
from its customers after April 10, 1985, that resulted from such	447
prior inclusion shall be offset against future revenues over the	448
same period of time as the project was included in the valuation	449
as construction work in progress. The total revenue effect of such	450
offset shall not exceed the total revenues previously collected.	451

In no event shall the total revenue effect of any offset or	452
offsets provided under division (A)(1) of this section exceed the	453
total revenue effect of any construction work in progress	454
allowance.	455

(2) A fair and reasonable rate of return to the utility on	456
the valuation as determined in division (A)(1) of this section;	457

(3) The dollar annual return to which the utility is entitled	458
by applying the fair and reasonable rate of return as determined	459
under division (A)(2) of this section to the valuation of the	460
utility determined under division (A)(1) of this section;	461

(4) The cost to the utility of rendering the public utility	462
service for the test period less the total of any interest on cash	463
or credit refunds paid, pursuant to section 4909.42 of the Revised	464
Code, by the utility during the test period.	465

(a) Federal, state, and local taxes imposed on or measured by	466
net income may, in the discretion of the commission, be computed	467
by the normalization method of accounting, provided the utility	468
maintains accounting reserves that reflect differences between	469
taxes actually payable and taxes on a normalized basis, provided	470
that no determination as to the treatment in the rate-making	471
process of such taxes shall be made that will result in loss of	472
any tax depreciation or other tax benefit to which the utility	473
would otherwise be entitled, and further provided that such tax	474
benefit as redounds to the utility as a result of such a	475
computation may not be retained by the company, used to fund any	476
dividend or distribution, or utilized for any purpose other than	477
the defrayal of the operating expenses of the utility and the	478
defrayal of the expenses of the utility in connection with	479
construction work.	480

(b) The amount of any tax credits granted to an electric	481
light company under section 5727.391 of the Revised Code for Ohio	482
coal burned prior to January 1, 2000, shall not be retained by the	483
company, used to fund any dividend or distribution, or utilized	484
for any purposes other than the defrayal of the allowable	485
operating expenses of the company and the defrayal of the	486
allowable expenses of the company in connection with the	487
installation, acquisition, construction, or use of a compliance	488
facility. The amount of the tax credits granted to an electric	489
light company under that section for Ohio coal burned prior to	490
January 1, 2000, shall be returned to its customers within three	491
years after initially claiming the credit through an offset to the	492
company's rates or fuel component, as determined by the	493
commission, as set forth in schedules filed by the company under	494
section 4905.30 of the Revised Code. As used in division	495
(A)(4)(c)(b) of this section, "compliance facility" has the same	496
meaning as in section 5727.391 of the Revised Code.	497

(B) The commission shall compute the gross annual revenues to	498
which the utility is entitled by adding the dollar amount of	499
return under division (A)(3) of this section to the cost of	500
rendering the public utility service for the test period under	501
division (A)(4) of this section.	502

(C) The test period, unless otherwise ordered by the	503
commission, shall be the twelve-month period beginning six months	504
prior to the date the application is filed and ending six months	505
subsequent to that date. In no event shall the test period end	506
more than nine months subsequent to the date the application is	507
filed. TheExcept as provided in division (D) of this section, the	508
revenues and expenses of the utility shall be determined during	509
the test period. The date certain shall be not later than the date	510
of filing, except that it shall be, for a natural gas company, not	511
later than the last day of the test period.	512

(D) A natural gas company may propose adjustments to the	513
revenues and expenses to be determined under division (C) of this	514
section for any changes that are, during the test period or the	515
twelve-month period immediately following the test period,	516
reasonably expected to occur. The natural gas company shall	517
identify and quantify, individually, any proposed adjustments. The	518
commission shall incorporate the proposed adjustments into the	519
determination if the adjustments are reasonable.	520

(E) When the commission is of the opinion, after hearing and	521
after making the determinations under divisions (A) and (B) of	522
this section, that any rate, fare, charge, toll, rental, schedule,	523
classification, or service, or any joint rate, fare, charge, toll,	524
rental, schedule, classification, or service rendered, charged,	525
demanded, exacted, or proposed to be rendered, charged, demanded,	526
or exacted, is, or will be, unjust, unreasonable, unjustly	527
discriminatory, unjustly preferential, or in violation of law,	528
that the service is, or will be, inadequate, or that the maximum	529
rates, charges, tolls, or rentals chargeable by any such public	530
utility are insufficient to yield reasonable compensation for the	531
service rendered, and are unjust and unreasonable, the commission	532
shall:	533

(1) With due regard among other things to the value of all	534
property of the public utility actually used and useful for the	535
convenience of the public as determined under division (A)(1) of	536
this section, excluding from such value the value of any franchise	537
or right to own, operate, or enjoy the same in excess of the	538
amount, exclusive of any tax or annual charge, actually paid to	539
any political subdivision of the state or county, as the	540
consideration for the grant of such franchise or right, and	541
excluding any value added to such property by reason of a monopoly	542
or merger, with due regard in determining the dollar annual return	543
under division (A)(3) of this section to the necessity of making	544
reservation out of the income for surplus, depreciation, and	545
contingencies, and;	546

(2) With due regard to all such other matters as are proper,	547
according to the facts in each case,	548

(a) Including a fair and reasonable rate of return determined	549
by the commission with reference to a cost of debt equal to the	550
actual embedded cost of debt of such public utility,	551

(b) But not including the portion of any periodic rental or	552
use payments representing that cost of property that is included	553
in the valuation report under divisions (F)(C)(4) and (G)(5) of	554
section 4909.05 of the Revised Code, fix and determine the just	555
and reasonable rate, fare, charge, toll, rental, or service to be	556
rendered, charged, demanded, exacted, or collected for the	557
performance or rendition of the service that will provide the	558
public utility the allowable gross annual revenues under division	559
(B) of this section, and order such just and reasonable rate,	560
fare, charge, toll, rental, or service to be substituted for the	561
existing one. After such determination and order no change in the	562
rate, fare, toll, charge, rental, schedule, classification, or	563
service shall be made, rendered, charged, demanded, exacted, or	564
changed by such public utility without the order of the	565
commission, and any other rate, fare, toll, charge, rental,	566
classification, or service is prohibited.	567

(E)(F) Upon application of any person or any public utility,	568
and after notice to the parties in interest and opportunity to be	569
heard as provided in Chapters 4901., 4903., 4905., 4907., 4909.,	570
4921., and 4923. of the Revised Code for other hearings, has been	571
given, the commission may rescind, alter, or amend an order fixing	572
any rate, fare, toll, charge, rental, classification, or service,	573
or any other order made by the commission. Certified copies of	574
such orders shall be served and take effect as provided for	575
original orders.	576

Sec. 4909.156.  In fixing the just, reasonable, and	577
compensatory rates, joint rates, tolls, classifications, charges,	578
or rentals to be observed and charged for service by any public	579
utility, the public utilities commission shall, in action upon an	580
application filed pursuant to section 4909.18 of the Revised Code,	581
require a public utility to file a report showing the	582
proportionate amounts of the valuation of the property of the	583
utility, as determined under section 4909.05 or the Revised Code,	584
and the proportionate amounts of the revenues and expenses of the	585
utility that are proposed to be considered as attributable to the	586
service area involved in the application.	587

"Valuation," as used in this section, may include projected	588
valuation, if applicable, because of a future date certain under	589
section 4909.15 of the Revised Code.	590

Sec. 4909.17.  No rate, joint rate, toll, classification,	591
charge, or rental, no change in any rate, joint rate, toll,	592
classification, charge, or rental, and no regulation or practice	593
affecting any rate, joint rate, toll, classification, charge, or	594
rental of a public utility shall become effective until the public	595
utilities commission, by order, determines it to be just and	596
reasonable, except as provided in this section and sections	597
4909.18 and, 4909.19, 4929.05, 4929.11, and 4929.111 of the	598
Revised Code. Such sections do not apply to any rate, joint rate,	599
toll, classification, charge, or rental, or any regulation or	600
practice affecting the same, of railroads, street and electric	601
railways, motor transportation companies, and pipe line companies.	602

Sec. 4909.18.  Any public utility desiring to establish any	603
rate, joint rate, toll, classification, charge, or rental, or to	604
modify, amend, change, increase, or reduce any existing rate,	605
joint rate, toll, classification, charge, or rental, or any	606
regulation or practice affecting the same, shall file a written	607
application with the public utilities commission. Except for	608
actions under section 4909.16 of the Revised Code, no public	609
utility may issue the notice of intent to file an application	610
pursuant to division (B) of section 4909.43 of the Revised Code to	611
increase any existing rate, joint rate, toll, classification,	612
charge, or rental, until a final order under this section has been	613
issued by the commission on any pending prior application to	614
increase the same rate, joint rate, toll, classification, charge,	615
or rental or until two hundred seventy-five days after filing such	616
application, whichever is sooner. Such application shall be	617
verified by the president or a vice-president and the secretary or	618
treasurer of the applicant. Such application shall contain a	619
schedule of the existing rate, joint rate, toll, classification,	620
charge, or rental, or regulation or practice affecting the same, a	621
schedule of the modification amendment, change, increase, or	622
reduction sought to be established, and a statement of the facts	623
and grounds upon which such application is based. If such	624
application proposes a new service or the use of new equipment, or	625
proposes the establishment or amendment of a regulation, the	626
application shall fully describe the new service or equipment, or	627
the regulation proposed to be established or amended, and shall	628
explain how the proposed service or equipment differs from	629
services or equipment presently offered or in use, or how the	630
regulation proposed to be established or amended differs from	631
regulations presently in effect. The application shall provide	632
such additional information as the commission may require in its	633
discretion. If the commission determines that such application is	634
not for an increase in any rate, joint rate, toll, classification,	635
charge, or rental, the commission may permit the filing of the	636
schedule proposed in the application and fix the time when such	637
schedule shall take effect. If it appears to the commission that	638
the proposals in the application may be unjust or unreasonable,	639
the commission shall set the matter for hearing and shall give	640
notice of such hearing by sending written notice of the date set	641
for the hearing to the public utility and publishing notice of the	642
hearing one time in a newspaper of general circulation in each	643
county in the service area affected by the application. At such	644
hearing, the burden of proof to show that the proposals in the	645
application are just and reasonable shall be upon the public	646
utility. After such hearing, the commission shall, where	647
practicable, issue an appropriate order within six months from the	648
date the application was filed.	649

If the commission determines that said application is for an	650
increase in any rate, joint rate, toll, classification, charge, or	651
rental there shall also, unless otherwise ordered by the	652
commission, be filed with the application in duplicate the	653
following exhibits:	654

(A) A report of its property used and useful in rendering the	655
service referred to in such application, as provided in section	656
4909.05 of the Revised Code;	657

(B) A complete operating statement of its last fiscal year,	658
showing in detail all its receipts, revenues, and incomes from all	659
sources, all of its operating costs and other expenditures, and	660
any analysis such public utility deems applicable to the matter	661
referred to in said application;	662

(C) A statement of the income and expense anticipated under	663
the application filed;	664

(D) A statement of financial condition summarizing assets,	665
liabilities, and net worth;	666

(E) A proposed notice for newspaper publication fully	667
disclosing the substance of the application. The notice shall	668
prominently state that any person, firm, corporation, or	669
association may file, pursuant to section 4909.19 of the Revised	670
Code, an objection to such increase which may allege that such	671
application contains proposals that are unjust and discriminatory	672
or unreasonable. The notice shall further include the average	673
percentage increase in rate that a representative industrial,	674
commercial, and residential customer will bear should the increase	675
be granted in full;	676

(F) Such other information as the commission may require in	677
its discretion.	678

Sec. 4909.19.  Upon the filing of any application for	679
increase provided for by section 4909.18 of the Revised Code the	680
public utility shall forthwith publish the substance and prayer of	681
such application, in a form approved by the public utilities	682
commission, once a week for three consecutive weeks in a newspaper	683
published and in general circulation throughout the territory in	684
which such public utility operates and affected by the matters	685
referred to in said application, and the public utilities	686
commission shall at once cause an investigation to be made of the	687
facts set forth in said application and the exhibits attached	688
thereto, and of the matters connected therewith. Within a	689
reasonable time as determined by the commission after the filing	690
of such application, a written report shall be made and filed with	691
the commission, a copy of which shall be sent by certified mail to	692
the applicant, the mayor of any municipal corporation affected by	693
the application, and to such other persons as the commission deems	694
interested. If no objection to such report is made by any party	695
interested within thirty days after such filing and the mailing of	696
copies thereof, the commission shall fix a date within ten days	697
for the final hearing upon said application, giving notice thereof	698
to all parties interested. At such hearing the commission shall	699
consider the matters set forth in said application and make such	700
order respecting the prayer thereof as to it seems just and	701
reasonable.	702

If objections are filed with the commission, the commission	703
shall cause a pre-hearing conference to be held between all	704
parties, intervenors, and the commission staff in all cases	705
involving more than one hundred thousand customers.	706

If objections are filed with the commission within thirty	707
days after the filing of such report, the application shall be	708
promptly set down for hearing of testimony before the commission	709
or be forthwith referred to an attorney examiner designated by the	710
commission to take all the testimony with respect to the	711
application and objections which may be offered by any interested	712
party. The commission shall also fix the time and place to take	713
testimony giving ten days' written notice of such time and place	714
to all parties. The taking of testimony shall commence on the date	715
fixed in said notice and shall continue from day to day until	716
completed. The attorney examiner may, upon good cause shown, grant	717
continuances for not more than three days, excluding Saturdays,	718
Sundays, and holidays. The commission may grant continuances for a	719
longer period than three days upon its order for good cause shown.	720
At any hearing involving rates or charges sought to be increased,	721
the burden of proof to show that the increased rates or charges	722
are just and reasonable shall be on the public utility.	723

When the taking of testimony is completed, a full and	724
complete record of such testimony noting all objections made and	725
exceptions taken by any party or counsel, shall be made, signed by	726
the attorney examiner, and filed with the commission. Prior to the	727
formal consideration of the application by the commission and the	728
rendition of any order respecting the prayer of the application, a	729
quorum of the commission shall consider the recommended opinion	730
and order of the attorney examiner, in an open, formal, public	731
proceeding in which an overview and explanation is presented	732
orally. Thereafter, the commission shall make such order	733
respecting the prayer of such application as seems just and	734
reasonable to it.	735

In all proceedings before the commission in which the taking	736
of testimony is required, except when heard by the commission,	737
attorney examiners shall be assigned by the commission to take	738
such testimony and fix the time and place therefor, and such	739
testimony shall be taken in the manner prescribed in this section.	740
All testimony shall be under oath or affirmation and taken down	741
and transcribed by a reporter and made a part of the record in the	742
case. The commission may hear the testimony or any part thereof in	743
any case without having the same referred to an attorney examiner	744
and may take additional testimony. Testimony shall be taken and a	745
record made in accordance with such general rules as the	746
commission prescribes and subject to such special instructions in	747
any proceedings as it, by order, directs.	748

Sec. 4928.18.  (A) Notwithstanding division (D)(E)(2)(a) of	749
section 4909.15 of the Revised Code, nothing in this chapter	750
prevents the public utilities commission from exercising its	751
authority under Title XLIX of the Revised Code to protect	752
customers of retail electric service supplied by an electric	753
utility from any adverse effect of the utility's provision of a	754
product or service other than retail electric service.	755

(B) The commission has jurisdiction under section 4905.26 of	756
the Revised Code, upon complaint of any person or upon complaint	757
or initiative of the commission on or after the starting date of	758
competitive retail electric service, to determine whether an	759
electric utility or its affiliate has violated any provision of	760
section 4928.17 of the Revised Code or an order issued or rule	761
adopted under that section. For this purpose, the commission may	762
examine such books, accounts, or other records kept by an electric	763
utility or its affiliate as may relate to the businesses for which	764
corporate separation is required under section 4928.17 of the	765
Revised Code, and may investigate such utility or affiliate	766
operations as may relate to those businesses and investigate the	767
interrelationship of those operations. Any such examination or	768
investigation by the commission shall be governed by Chapter 4903.	769
of the Revised Code.	770

(C) In addition to any remedies otherwise provided by law,	771
the commission, regarding a determination of a violation pursuant	772
to division (B) of this section, may do any of the following:	773

(1) Issue an order directing the utility or affiliate to	774
comply;	775

(2) Modify an order as the commission finds reasonable and	776
appropriate and order the utility or affiliate to comply with the	777
modified order;	778

(3) Suspend or abrogate an order, in whole or in part;

779

(4) Issue an order that the utility or affiliate pay	780
restitution to any person injured by the violation or failure to	781
comply;	782

(D) In addition to any remedies otherwise provided by law,	783
the commission, regarding a determination of a violation pursuant	784
to division (B) of this section and commensurate with the severity	785
of the violation, the source of the violation, any pattern of	786
violations, or any monetary damages caused by the violation, may	787
do either of the following:	788

(1) Impose a forfeiture on the utility or affiliate of up to	789
twenty-five thousand dollars per day per violation. The recovery	790
and deposit of any such forfeiture shall be subject to sections	791
4905.57 and 4905.59 of the Revised Code.	792

(2) Regarding a violation by an electric utility relating to	793
a corporate separation plan involving competitive retail electric	794
service, suspend or abrogate all or part of an order, to the	795
extent it is in effect, authorizing an opportunity for the utility	796
to receive transition revenues under a transition plan approved by	797
the commission under section 4928.33 of the Revised Code.	798

Corporate separation under this section does not prohibit the	799
common use of employee benefit plans, facilities, equipment, or	800
employees, subject to proper accounting and the code of conduct	801
ordered by the commission as provided in division (A)(1) of this	802
section.	803

(E) Section 4905.61 of the Revised Code applies in the case	804
of any violation of section 4928.17 of the Revised Code or of any	805
rule adopted or order issued under that section.	806

Sec. 4929.05.  (A) As part of an application filed pursuant	807
to section 4909.18 of the Revised Code, aA natural gas company	808
may request approval of an alternative rate plan by filing an	809
application under section 4909.18 of the Revised Code, regardless	810
of whether the application is for an increase in rates. After	811
notice, investigation, and hearing, and after determining just and	812
reasonable rates and charges for the natural gas company pursuant	813
to section 4909.15 of the Revised Code, the public utilities	814
commission shall authorize the applicant to implement an	815
alternative rate plan if the natural gas company has made a	816
showing and the commission finds that both of the following	817
conditions are met:	818

(1) The natural gas company is in compliance with section	819
4905.35 of the Revised Code and is in substantial compliance with	820
the policy of this state specified in section 4929.02 of the	821
Revised Code;	822

(2) The natural gas company is expected to continue to be in	823
substantial compliance with the policy of this state specified in	824
section 4929.02 of the Revised Code after implementation of the	825
alternative rate plan.	826

(B) The applicant shall have the burden of proof under this	827
section.	828

(C) No request may be made under this section prior to one	829
hundred eighty days after the effective date of this section.	830

Sec. 4929.051. (A) An alternative rate plan filed by a	831
natural gas company under section 4929.05 of the Revised Code and	832
proposing to initiate or continue a revenue decoupling mechanism	833
mayshall be considered an application not for an increase in	834
rates if the rates, joint rates, tolls, classifications, charges,	835
or rentals are based upon the billing determinants and revenue	836
requirement authorized by the public utilities commission in the	837
company's most recent rate case proceeding and the plan also	838
establishes, continues, or expands an energy efficiency or energy	839
conservation program.	840

(B) An alternative rate plan filed by a natural gas company	841
under section 4929.05 of the Revised Code and seeking	842
authorization to continue a previously approved alternative rate	843
plan shall be considered an application not for an increase in	844
rates.	845

Sec. 4929.11. Nothing in the Revised Code prohibits(A) Upon	846
an application filed under this section, and the public utilities	847
commission may allow, any automatic adjustment mechanism or device	848
in a natural gas company's rate schedules that allows a natural	849
gas company's rates or charges for a regulated service or goods to	850
fluctuate automatically in accordance with changes in a specified	851
cost or costs.	852

(B) Upon an application filed under section 4909.18 or	853
4929.05 of the Revised Code, the commission may allow any	854
automatic adjustment mechanism or device as described in division	855
(A) of this section.	856

Sec. 4929.111. (A) A natural gas company may file an	857
application with the public utilities commission under section	858
4909.18, 4929.05, or 4929.11 of the Revised Code to implement a	859
capital expenditure program for any of the following:	860

(1) Any infrastructure expansion, infrastructure improvement,	861
or infrastructure replacement program;	862

(2) Any program to install, upgrade, or replace information	863
technology systems;	864

(3) Any program reasonably necessary to comply with any	865
rules, regulations, or orders of the commission or other	866
governmental entity having jurisdiction.	867

(B) If the commission finds that the capital expenditure	868
program is consistent with the natural gas company's obligation	869
under section 4905.22 of the Revised Code to furnish necessary and	870
adequate services and facilities, the commission shall approve the	871
application.	872

(C) In approving an application under division (B) of this	873
section, the commission shall authorize the natural gas company to	874
defer, for subsequent recovery in an application that the natural	875
gas company may file under section 4909.18, 4929.05, or 4929.11 of	876
the Revised Code, both of the following:	877

(1) A regulatory asset for the post-in-service carrying costs	878
on that portion of the assets of the capital expenditure program	879
that are placed in service but not reflected in rates as plant in	880
service;	881

(2) A regulatory asset for the incremental depreciation	882
directly attributable to the capital expenditure program and the	883
property tax expense directly attributable to the capital	884
expenditure program.	885

(D) The natural gas company may make any accounting accruals,	886
necessary to establish the regulatory assets authorized under	887
division (C) of this section, in addition to any allowance for	888
funds used during construction.	889

(E)(1) Any accrual for recovery under division (C) of this	890
section shall be calculated in accordance with the system of	891
accounts established by the commission under section 4905.13 of	892
the Revised Code.	893

(2) The natural gas company shall calculate the	894
post-in-service carrying costs, described in division (C)(1) of	895
this section, for every investment in an asset of the capital	896
expenditure program. This calculation shall be based on the cost	897
of long-term debt incurred by the natural gas company.	898

(F) Any accruals for recovery under division (C) of this	899
section shall commence when the assets of the capital expenditure	900
program are placed in service and shall cease when rates	901
reflecting the cost of those assets are effective.	902

Sec. 4935.04.  (A) As used in this chapter:

903

(1) "Major electric utility facility" means:

904

(a) Anan electric transmission line and associated	905
facilities of a design capacity of one hundred twenty-five	906
kilovolts or more;	907

(b) A gas or natural gas transmission line and associated	908
facilities designed for, or capable of, transporting gas or	909
natural gas at pressures in excess of one hundred twenty-five	910
pounds per square inch.	911

"Major electric utility facility" does not include electric,	912
gas, or natural gas distributing lines and gas or natural gas	913
gathering lines and associated facilities as defined by the public	914
utilities commission; facilities owned or operated by industrial	915
firms, persons, or institutions that produce or transmit gas or	916
natural gas, or electricity primarily for their own use or as a	917
byproduct of their operations; gas or natural gas transmission	918
lines and associated facilities over which an agency of the United	919
States has certificate jurisdiction; facilities owned or operated	920
by a person furnishing gas or natural gas directly to fifteen	921
thousand or fewer customers within this state.	922

(2) "Person" has the meaning set forth in section 4906.01 of	923
the Revised Code.	924

(B) Each person owning or operating a gas or natural gas	925
transmission line and associated facilities within this state over	926
which an agency of the United States has certificate jurisdiction	927
shall furnish to the commission a copy of the energy information	928
filed by the person with that agency of the United States.	929

(C) Each person owning or operating a major electric utility	930
facility within this state, or furnishing gas, natural gas, or	931
electricity directly to more than fifteen thousand customers	932
within this state annually shall furnish a report to the	933
commission for its review. The report shall be termed the	934
long-term forecast report and shall contain:	935

(1) A year-by-year, ten-year forecast of annual energy	936
demand, peak load, reserves, and a general description of the	937
resource plan to meet demand;	938

(2) A range of projected loads during the period;

939

(3) A description of major electric utility facilities	940
planned to be added or taken out of service in the next ten years,	941
including, to the extent the information is available, prospective	942
sites for transmission line locations;	943

(4) For gas and natural gas, a projection of anticipated	944
supply, supply prices, and sources of supply over the forecast	945
period;	946

(5) A description of proposed changes in the transmission	947
system planned for the next five years;	948

(6)(5) A month-by-month forecast of both energy demand and	949
peak load for electric utilities, and gas sendout for gas and	950
natural gas utilities, for the next two years. The report shall	951
describe the major electric utility facilities that, in the	952
judgment of such person, will be required to supply system demands	953
during the forecast period. The report from a gas or natural gas	954
utility shall cover the ten- and five-year periods next succeeding	955
the date of the report, and the report from an electric utility	956
shall cover the twenty-, ten-, and five-year periods next	957
succeeding the date of the report. Each report shall be made	958
available to the public and furnished upon request to municipal	959
corporations and governmental agencies charged with the duty of	960
protecting the environment or of planning land use. The report	961
shall be in such form and shall contain such information as may be	962
prescribed by the commission.	963

Each person not owning or operating a major utility facility	964
within this state and serving fifteen thousand or fewer gas or	965
natural gas, or electric customers within this state shall furnish	966
such information as the commission requires.	967

(D) The commission shall:

968

(1) Review and comment on the reports filed under division	969
(C) of this section, and make the information contained in the	970
reports readily available to the public and other interested	971
government agencies;	972

(2) Compile and publish each year the general locations of	973
proposed and existing transmission line routes within its	974
jurisdiction as identified in the reports filed under division (C)	975
of this section, identifying the general location of such sites	976
and routes and the approximate year when construction is expected	977
to commence, and to make such information readily available to the	978
public, to each newspaper of daily or weekly circulation within	979
the area affected by the proposed site and route, and to	980
interested federal, state, and local agencies;	981

(3) Hold a public hearing:

982

(a) On the first long-term forecast report filed after	983
January 11, 1983;	984

(b) At least once in every five years, on the latest report	985
furnished by any person subject to this section;	986

(c)(b) On the latest report furnished by any person subject	987
to this section if the report contains a substantial change from	988
the preceding report furnished by that person. "Substantial	989
change" includes, but is not limited to:	990

(i) A change in forecasted peak loads or energy consumption	991
over the forecast period of greater than an average of one-half of	992
one per cent per year;	993

(ii) Demonstration of good cause to the commission by an	994
interested party.	995

The commission shall fix a time for the hearing, which shall	996
be not later than ninety days after the report is filed, and	997
publish notice of the date, time of day, and location of the	998
hearing in a newspaper of general circulation in each county in	999
which the person furnishing the report has or intends to locate a	1000
major electric utility facility and will provide service during	1001
the period covered by the report. The notice shall be published	1002
not less than fifteen nor more than thirty days before the hearing	1003
and shall state the matters to be considered.	1004

Absent a showing of good cause, the commission shall not hold	1005
hearings under division (D)(3) of this section with respect to	1006
persons who, as the primary purpose of their business, furnish gas	1007
or natural gas, or electricity directly to fifteen thousand or	1008
fewer customers within this state solely for direct consumption by	1009
those customers.	1010

(4) Require such information from persons subject to its	1011
jurisdiction as necessary to assist in the conduct of hearings and	1012
any investigation or studies it may undertake;	1013

(5) Conduct any studies or investigations that are necessary	1014
or appropriate to carry out its responsibilities under this	1015
section.	1016

(E)(1) The scope of the hearing held under division (D)(3) of	1017
this section shall be limited to issues relating to forecasting.	1018
The power siting board, the office of consumers' counsel, and all	1019
other persons having an interest in the proceedings shall be	1020
afforded the opportunity to be heard and to be represented by	1021
counsel. The commission may adjourn the hearing from time to time.	1022

(2) The hearing shall include, but not be limited to, a	1023
review of:	1024

(a) The projected loads and energy requirements for each year	1025
of the period;	1026

(b) The estimated installed capacity and supplies to meet the	1027
projected load requirements.	1028

(F) Based upon the report furnished pursuant to division (C)	1029
of this section and the hearing record, the commission, within	1030
ninety days from the close of the record in the hearing, shall	1031
determine if:	1032

(1) All information relating to current activities,	1033
facilities agreements, and published energy policies of the state	1034
has been completely and accurately represented;	1035

(2) The load requirements are based on substantially accurate	1036
historical information and adequate methodology;	1037

(3) The forecasting methods consider the relationships	1038
between price and energy consumption;	1039

(4) The report identifies and projects reductions in energy	1040
demands due to energy conservation measures in the industrial,	1041
commercial, residential, transportation, and energy production	1042
sectors in the service area;	1043

(5) Utility company forecasts of loads and resources are	1044
reasonable in relation to population growth estimates made by	1045
state and federal agencies, transportation, and economic	1046
development plans and forecasts, and make recommendations where	1047
possible for necessary and reasonable alternatives to meet	1048
forecasted electric power demand;	1049

(6) The report considers plans for expansion of the regional	1050
power grid and the planned facilities of other utilities in the	1051
state;	1052

(7) All assumptions made in the forecast are reasonable and	1053
adequately documented.	1054

(G) The commission shall adopt rules under section 111.15 of	1055
the Revised Code to establish criteria for evaluating the	1056
long-term forecasts of needs for gas and electric transmission	1057
service, to conduct hearings held under this section, to establish	1058
reasonable fees to defray the direct cost of the hearings and the	1059
review process, and such other rules as are necessary and	1060
convenient to implement this section.	1061

(H) The hearing record produced under this section and the	1062
determinations of the commission shall be introduced into evidence	1063
and shall be considered in determining the basis of need for power	1064
siting board deliberations under division (A)(1) of section	1065
4906.10 of the Revised Code. The hearing record produced under	1066
this section shall be introduced into evidence and shall be	1067
considered by the public utilities commission in its initiation of	1068
programs, examinations, and findings under section 4905.70 of the	1069
Revised Code, and shall be considered in the commission's	1070
determinations with respect to the establishment of just and	1071
reasonable rates under section 4909.15 of the Revised Code and	1072
financing utility facilities and authorizing issuance of all	1073
securities under sections 4905.40, 4905.401, 4905.41, and 4905.42	1074
of the Revised Code. The forecast findings also shall serve as the	1075
basis for all other energy planning and development activities of	1076
the state government where electric and gas data areis required.	1077

(I)(1) No court other than the supreme court shall have power	1078
to review, suspend, or delay any determination made by the	1079
commission under this section, or enjoin, restrain, or interfere	1080
with the commission in the performance of official duties. A writ	1081
of mandamus shall not be issued against the commission by any	1082
court other than the supreme court.	1083

(2) A final determination made by the commission shall be	1084
reversed, vacated, or modified by the supreme court on appeal, if,	1085
upon consideration of the record, such court is of the opinion	1086
that such determination was unreasonable or unlawful.	1087

The proceeding to obtain such reversal, vacation, or	1088
modification shall be by notice of appeal, filed with the	1089
commission by any party to the proceeding before it, against the	1090
commission, setting forth the determination appealed from and	1091
errors complained of. The notice of appeal shall be served, unless	1092
waived, upon the commission by leaving a copy at the office of the	1093
chairperson of the commission at Columbus. The court may permit an	1094
interested party to intervene by cross-appeal.	1095

(3) No proceeding to reverse, vacate, or modify a	1096
determination of the commission is commenced unless the notice of	1097
appeal is filed within sixty days after the date of the	1098
determination.	1099

Section 2.  That existing sections 4903.083, 4905.302,	1100
4906.06, 4909.05, 4909.06, 4909.07, 4909.08, 4909.15, 4909.156,	1101
4909.17, 4909.18, 4909.19, 4928.18, 4929.05, 4929.051, 4929.11,	1102
and 4935.04 of the Revised Code are hereby repealed.	1103