Read the full stored bill text
Senate
File
2308
-
Introduced
SENATE
FILE
2308
BY
WESTRICH
A
BILL
FOR
An
Act
relating
to
certain
charges
for
utility
service.
1
BE
IT
ENACTED
BY
THE
GENERAL
ASSEMBLY
OF
THE
STATE
OF
IOWA:
2
TLSB
6121XS
(2)
91
sb/js
S.F.
2308
Section
1.
Section
476.1A,
subsection
1,
Code
2026,
is
1
amended
by
adding
the
following
new
paragraph:
2
NEW
PARAGRAPH
.
f.
Allowable
charges
to
customers,
as
set
3
forth
in
section
476.6B.
4
Sec.
2.
Section
476.1B,
subsection
1,
Code
2026,
is
amended
5
by
adding
the
following
new
paragraph:
6
NEW
PARAGRAPH
.
g.
Allowable
charges
to
customers,
as
set
7
forth
in
section
476.6B.
8
Sec.
3.
Section
476.1C,
subsection
1,
paragraph
a,
Code
9
2026,
is
amended
to
read
as
follows:
10
a.
Are
not
subject
to
the
regulation
authority
of
the
11
utilities
commission
under
this
chapter
unless
otherwise
12
specifically
provided.
Sections
476.6B,
476.10,
476.20
,
13
476.21
,
and
476.51
apply
to
such
gas
utilities.
14
Sec.
4.
NEW
SECTION
.
476.8A
Allowable
charges
to
customers.
15
1.
The
general
assembly
finds
the
following:
16
a.
Water,
electricity,
and
natural
gas
are
essential
17
services
necessary
for
life,
health,
and
safety.
18
b.
Public
utility
customers
in
Iowa
generally
have
no
19
meaningful
ability
to
choose
among
competing
providers
due
to
20
the
monopolistic
nature
of
utility
service
territories.
21
c.
Utility
bills
in
Iowa
increasingly
include
charges
that
22
are
not
directly
related
to
the
actual
consumption
of
utility
23
service,
including
but
not
limited
to
franchise
fees,
meter
24
fees,
customer
charges,
and
per-unit
or
per-meter
surcharges.
25
d.
Nonusage
fees
described
in
paragraph
“c”
significantly
26
increase
utility
bills
without
increasing
the
amount
of
utility
27
service
received.
28
e.
Iowa
residents
currently
pay
among
the
highest
utility
29
rates
in
the
nation,
and
additional
nonusage
fees
further
30
burden
households,
renters,
homeowners,
and
small
businesses.
31
2.
a.
Notwithstanding
any
other
provision
of
law,
a
32
public
utility
shall
not
impose,
collect,
or
bill
any
nonusage
33
fee
or
surcharge
to
a
customer.
A
utility
bill
issued
to
a
34
customer
in
this
state
shall
consist
of
only
the
following
35
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LSB
6121XS
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91
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4
S.F.
2308
charges,
regardless
of
the
number
of
meters
serving
a
property
1
or
the
number
of
dwelling
units
or
tenants
served
by
a
single
2
connection:
3
(1)
Usage
charges
based
on
actual
consumption.
4
(2)
Late
payment
charges,
if
applicable.
5
b.
A
public
utility
shall
not
condition
the
provision
or
6
continuation
of
service
on
payment
of
any
nonusage
fee.
7
3.
Notwithstanding
any
other
provision
of
law,
a
utility
8
shall
not
recover,
pass
through,
itemize,
or
otherwise
charge
9
a
customer
for
any
franchise
fee,
franchise
assessment,
or
10
similar
payment
made
to
a
municipality
or
other
governmental
11
entity.
Any
franchise
fee
obligation
shall
be
borne
by
the
12
utility
as
a
cost
of
doing
business
and
shall
not
be
recovered
13
directly
or
indirectly
from
customers.
14
4.
a.
The
commission
shall
adopt
rules
as
necessary
to
15
implement
and
enforce
this
section.
16
b.
The
commission
shall
review
all
existing
tariffs,
rate
17
schedules,
and
billing
practices
to
ensure
compliance
with
this
18
section.
19
c.
Any
tariff,
rule,
or
billing
practice
inconsistent
with
20
this
section
is
void.
21
5.
a.
A
public
utility
that
violates
this
section
is
22
subject
to
all
the
following:
23
(1)
Administrative
penalties
as
determined
by
the
24
commission.
25
(2)
Refunds
or
bill
credits
to
affected
customers.
26
(3)
Enforcement
action
by
the
attorney
general
under
27
applicable
consumer
protection
laws.
28
b.
Each
billing
statement
containing
a
prohibited
fee
29
constitutes
a
separate
violation.
30
6.
Notwithstanding
section
476.1,
subsection
3,
this
31
section
applies
to
all
municipally
owned
waterworks,
waterworks
32
having
less
than
two
thousand
customers,
joint
water
utilities
33
established
pursuant
to
chapter
389,
rural
water
districts
34
incorporated
and
organized
pursuant
to
chapters
357A
and
504,
35
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S.F.
2308
and
cooperative
water
associations
incorporated
and
organized
1
pursuant
to
chapter
499
in
addition
to
other
public
utilities
2
providing
gas
or
electric
service.
3
EXPLANATION
4
The
inclusion
of
this
explanation
does
not
constitute
agreement
with
5
the
explanation’s
substance
by
the
members
of
the
general
assembly.
6
This
bill
relates
to
certain
charges
for
utility
service.
7
The
bill
provides
legislative
findings
stating
that
water,
8
electricity,
and
natural
gas
are
essential
services,
that
9
utility
customers
generally
lack
choice
due
to
the
monopolistic
10
nature
of
service
territories,
that
utility
bills
increasingly
11
include
nonusage
fees
that
significantly
increase
costs
without
12
increasing
service,
and
that
such
nonusage
fees
place
a
burden
13
on
Iowa
residents.
14
The
bill
prohibits
a
public
utility
from
imposing,
15
collecting,
or
billing
any
nonusage
fee
or
surcharge
to
a
16
customer,
and
provides
that
a
utility
bill
may
include
only
17
charges
based
on
actual
consumption
and
late
payment
charges.
18
The
bill
prohibits
a
public
utility
from
conditioning
the
19
provision
or
continuation
of
service
on
the
payment
of
a
20
nonusage
fee.
21
The
bill
prohibits
utilities
from
charging
customers,
22
through
any
method,
for
franchise
fees
or
similar
payments
made
23
to
a
municipality
or
governmental
entity.
24
The
bill
directs
the
Iowa
utilities
commission
to
adopt
25
rules
to
implement
and
enforce
the
new
bill
and
to
review
all
26
existing
tariffs,
rate
schedules,
and
billing
practices
for
27
compliance.
Any
tariff,
rule,
or
billing
practice
inconsistent
28
with
the
bill
is
void.
29
The
bill
provides
enforcement
mechanisms
for
violations,
30
including
administrative
penalties
determined
by
the
31
commission,
refunds
or
bill
credits
to
affected
customers,
and
32
enforcement
actions
by
the
attorney
general.
Each
billing
33
statement
containing
a
prohibited
fee
constitutes
a
separate
34
violation.
35
-3-
LSB
6121XS
(2)
91
sb/js
3/
4
S.F.
2308
The
bill
applies
to
certain
public
utilities,
including
1
those
that
are
otherwise
not
subject
to
full
rate
regulation
by
2
the
utilities
commission.
3
-4-
LSB
6121XS
(2)
91
sb/js
4/
4