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HB 87
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H. B. No. 87 As Introduced

As Introduced

129th General Assembly

Regular Session

2011-2012

H. B. No. 87

Representatives Goyal, Grossman

Cosponsors: Representatives Garland, Blessing, Gonzales, Reece, Fende

A BILL

To enact section 4909.181 of the Revised Code to limit recovery of rate-case expenses for certain water-works and sewage disposal system companies.

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

Section 1. That section 4909.181 of the Revised Code be enacted to read as follows:

Sec. 4909.181. (A) As used in this section:

(1) "Rate-case expenses" means any of the following:

(a) Fees, wages, or other compensation for labor paid to attorneys, consultants, witnesses, or employees in relation to an application for establishment of or change in rates;

(b) Expenses for attorneys, consultants, witnesses, or employees in relation to an application for establishment of or change in rates;

(c) Costs for preparing studies related to an application for establishment of or change in rates, including lead-lag studies, cost-of-service studies, depreciation studies, and other studies related to an application for establishment of or change in rates;

(d) Any other expenses incurred in relation to an application for establishment of or change in rates.

(2) "Application for establishment of or change in rates" means an application filed under any of the ratemaking mechanisms referenced in divisions (B) and (C) of this section.

(B) No water-works company that serves fifteen thousand or more customers in Ohio, no sewage disposal system company that serves fifteen thousand or more customers in Ohio, and no water-works company that is also a sewage disposal system company that serves a total of fifteen thousand or more customers in Ohio may recover from its customers more than fifty per cent of the total amount of rate-case expenses that it incurs for an application filed under section 4909.18 of the Revised Code.

(C) No water-works company that serves fifteen thousand or more customers in Ohio, no sewage disposal system company that serves fifteen thousand or more customers in Ohio, and no water-works company that is also a sewage disposal system company that serves a total of fifteen thousand or more customers in Ohio may recover from its customers any of the rate-case expenses that it incurs for an application filed under section 4909.16, 4909.171, or 4909.172 of the Revised Code or any other ratemaking mechanism established subsequent to the effective date of this section.