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SECOND REGULAR SESSION
SENATE BILL NO. 1550
103RD GENERAL ASSEMBLY
INTRODUCED BY SENATOR CRAWFORD.
6640S.02I KRISTINA MARTIN, Secretary
AN ACT
To repeal sections 386.370 and 393.140, RSMo, and to enact in lieu thereof two new sections
relating to certain declarations made to the public service commission, with penalty
provisions.
Be it enacted by the General Assembly of the State of Missouri, as follows:
Section A. Sections 386.370 and 393.140, RSMo, are 1
repealed and two new sections enacted in lieu thereof, to be 2
known as sections 386.370 and 393.140, to read as follows:3
386.370. 1. The commission shall, prior to the 1
beginning of each fiscal year beginning with the fiscal year 2
commencing on July 1, 1947, make an estimate of the expenses 3
to be incurred by it during such fiscal year reasonably 4
attributable to the regulation of public utilities as 5
provided in chapters 386, 392 and 393 and shall also 6
separately estimate the amount of such expenses directly 7
attributable to such regulation of each of the following 8
groups of public utilities: electrical corporations, gas 9
corporations, water corporations, heating companies and 10
telephone corporations, telegraph corporations, sewer 11
corporations, and any other public utility as defined in 12
section 386.020, as well as the amount of such expenses not 13
directly attributable to any such group. For purposes of 14
this section, water corporations and sewer corporations will 15
be combined and considered one group of public utilities. 16
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2. The commission shall allocate to each such group of 17
public utilities the estimated expenses directly 18
attributable to the regulation of such group and an amount 19
equal to such proportion of the estimated expenses not 20
directly attributable to any group as the gross intrastate 21
operating revenues of such group during the preceding 22
calendar year bears to the total gross intrastate operating 23
revenues of all public utilities subject to the jurisdiction 24
of the commission, as aforesaid, during such calendar year. 25
The commission shall then assess the amount so allocated to 26
each group of public utilities, subject to reduction as 27
herein provided, to the public utilities in such group in 28
proportion to their respective gross intrastate operating 29
revenues during the preceding calendar year, except that the 30
total amount so assessed to all such public utilities, 31
except telecommunications corporations, shall not exceed 32
four hundred fifty thousandths of one percent of the total 33
gross intrastate operating revenues of all public utilities, 34
except telecommunications corporations, subject to the 35
jurisdiction of the commission. The total amount to be 36
assessed to all telecommunications corporations, including 37
interconnected voice over internet protocol service 38
providers, shall not exceed two hundred fifty thousandths of 39
one percent of the total gross intrastate operating revenues 40
of all telecommunications corporations and interconnected 41
voice over internet protocol service providers subject to 42
the jurisdiction of the commission. 43
3. The commission shall render a statement of such 44
assessment to each such public utility on or before July 45
first and the amount so assessed to each such public utility 46
shall be paid by it to the director of revenue in full on or 47
before July fifteenth next following the rendition of such 48
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statement, except that any such public utility may at its 49
election pay such assessment in four equal installments not 50
later than the following dates next following the rendition 51
of said statement, to wit: July fifteenth, October 52
fifteenth, January fifteenth and April fifteenth. The 53
director of revenue shall remit such payments to the state 54
treasurer. 55
4. The state treasurer shall credit such payments to a 56
special fund, which is hereby created, to be known as "The 57
Public Service Commission Fund", which fund, or its 58
successor fund created pursuant to section 33.571, shall be 59
devoted solely to the payment of expenditures actually 60
incurred by the commission and attributable to the 61
regulation of such public utilities subject to the 62
jurisdiction of the commission, as aforesaid. Any amount 63
remaining in such special fund or its successor fund at the 64
end of any fiscal year shall not revert to the general 65
revenue fund, but shall be applicable by appropriation of 66
the general assembly to the payment of such expenditures of 67
the commission in the succeeding fiscal year and shall be 68
applied by the commission to the reduction of the amount to 69
be assessed to such public utilities in such succeeding 70
fiscal year, such reduction to be allocated to each group of 71
public utilities in proportion to the respective gross 72
intrastate operating revenues of the respective groups 73
during the preceding calendar year. 74
5. In order to enable the commission to make the 75
allocations and assessments herein provided for, each public 76
utility subject to the jurisdiction of the commission as 77
aforesaid shall file with the commission, within ten days 78
after August 28, 1996, and thereafter on or before March 79
thirty-first of each year, a statement under oath, or 80
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otherwise satisfied by a declaration that the statement is 81
made under penalty of perjury pursuant to section 509.030, 82
showing its gross intrastate operating revenues for the 83
preceding calendar year, and if any public utility shall 84
fail to file such statement within the time aforesaid the 85
commission shall estimate such revenue which estimate shall 86
be binding on such public utility for the purpose of this 87
section. 88
393.140. The commission shall: 1
(1) Have general supervision of all gas corporations, 2
electrical corporations, water corporations and sewer 3
corporations having authority under any special or general 4
law or under any charter or franchise to lay down, erect or 5
maintain wires, pipes, conduits, ducts or other fixtures in, 6
over or under the streets, highways and public places of any 7
municipality, for the purpose of furnishing or distributing 8
water or gas or of furnishing or transmitting electricity 9
for light, heat or power, or maintaining underground 10
conduits or ducts for electrical conductors, or for the 11
purpose of collecting, carrying, treating, or disposing of 12
sewage, and all gas plants, electric plants, water systems 13
and sewer systems owned, leased or operated by any gas 14
corporation, electrical corporation, water corporation, or 15
sewer corporation. 16
(2) Investigate and ascertain, from time to time, the 17
quality of gas or water supplied and sewer service furnished 18
by persons and corporations, examine or investigate the 19
methods employed by such persons and corporations in 20
manufacturing, distributing and supplying gas or electricity 21
for light, heat or power and in transmitting the same, and 22
in supplying and distributing water for any purpose 23
whatsoever, and in furnishing a sewer system, and have power 24
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to order such reasonable improvements as will best promote 25
the public interest, preserve the public health and protect 26
those using such gas, electricity, water, or sewer system, 27
and those employed in the manufacture and distribution 28
thereof, and have power to order reasonable improvements and 29
extensions of the works, wires, poles, pipes, lines, 30
conduits, ducts and other reasonable devices, apparatus and 31
property of gas corporations, electrical corporations, water 32
corporations, and sewer corporations. 33
(3) Have power, by order, to fix from time to time 34
standards for the measurement of the purity or illuminating 35
power of gas to be manufactured, distributed or sold by 36
persons or corporations for lighting, heating or power 37
purposes, to prescribe from time to time the efficiency of 38
the electric supply system, of the current supplied and of 39
the lamps furnished by the persons or corporations 40
generating and selling electric current, and to fix from 41
time to time standards for the measurement of the purity or 42
pressure of water to be distributed or sold by persons or 43
corporations for any purpose whatsoever, and to fix from 44
time to time the standards for designing, constructing, 45
operating and maintaining sewer systems of sewer 46
corporations, including sewers, sewage pumping stations, 47
sewage treatment works, primary treatment facilities, sludge 48
digestion and disposal facilities, secondary treatment 49
facilities, disinfection facilities, and any and all 50
facilities related thereto; provided, however, that such 51
standards shall be supplemental to and in no way set 52
standards lesser than the minimum standards adopted by the 53
state water pollution board, and by order to require gas so 54
manufactured, distributed or sold to equal the standards so 55
fixed by it, and to prescribe from time to time the 56
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reasonable minimum and maximum pressure at which gas shall 57
be delivered by said persons or corporations. For the 58
purpose of determining whether the gas manufactured, 59
distributed or sold by such persons or corporations for 60
lighting, heating or power purposes conforms to the 61
standards of illuminating power, purity and pressure, and 62
for the purpose of determining whether the efficiency of the 63
electric supply system, of the current supplied and of the 64
lamps furnished, and for the purpose of determining whether 65
the water furnished or sold conforms to the standard of 66
purity and pressure, and for the purpose of determining 67
whether the sewer system conforms to the standards for 68
designing, constructing, operating and maintaining sewer 69
systems, and conforms to the orders issued by the 70
commission, the commission shall have power, of its own 71
motion, to examine and investigate the plants and methods 72
employed in manufacturing, delivering and supplying gas, 73
electricity or water, and the collecting, carrying, treating 74
and disposing of sewage, and shall have access, through its 75
members or persons employed and authorized by it, to make 76
such examinations and investigations to all parts of the 77
manufacturing plants owned, used or operated for the 78
manufacture, transmission or distribution of gas or 79
electricity by any such person or corporation, and to all 80
parts of the systems owned, used or operated for the 81
supplying and distribution of water and the collecting, 82
carrying, treating and disposing of sewage by any such 83
person or corporation. Any employee or agent of the 84
commission who divulges any fact or information which may 85
come to his knowledge during the course of any such 86
inspection or examination, except insofar as he may be 87
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directed by the commission, or by a court or judge thereof, 88
or authorized by law, shall be guilty of a misdemeanor. 89
(4) Have power, in its discretion, to prescribe 90
uniform methods of keeping accounts, records and books, to 91
be observed by gas corporations, electrical corporations, 92
water corporations and sewer corporations engaged in the 93
manufacture, sale or distribution of gas and electricity for 94
light, heat or power, or in the distribution and sale of 95
water for any purpose whatsoever, or in the collection, 96
carriage, treatment and disposal of sewage for municipal, 97
domestic or other necessary beneficial purpose. It may 98
also, in its discretion, prescribe, by order, forms of 99
accounts, records and memoranda to be kept by such persons 100
and corporations. Notice of alterations by the commission 101
in the required method or form of keeping a system of 102
accounts shall be given to such persons or corporations by 103
the commission at least six months before the same shall 104
take effect. Any other and additional forms of accounts, 105
records and memoranda kept by such corporation shall be 106
subject to examination by the commission. 107
(5) Examine all persons and corporations under its 108
supervision and keep informed as to the methods, practices, 109
regulations and property employed by them in the transaction 110
of their business. Whenever the commission shall be of the 111
opinion, after a hearing had upon its own motion or upon 112
complaint, that the rates or charges or the acts or 113
regulations of any such persons or corporations are unjust, 114
unreasonable, unjustly discriminatory or unduly preferential 115
or in any wise in violation of any provision of law, the 116
commission shall determine and prescribe the just and 117
reasonable rates and charges thereafter to be in force for 118
the service to be furnished, notwithstanding that a higher 119
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rate or charge has heretofore been authorized by statute, 120
and the just and reasonable acts and regulations to be done 121
and observed; and whenever the commission shall be of the 122
opinion, after a hearing had upon its own motion or upon 123
complaints, that the property, equipment or appliances of 124
any such person or corporation are unsafe, insufficient or 125
inadequate, the commission shall determine and prescribe the 126
safe, efficient and adequate property, equipment and 127
appliances thereafter to be used, maintained and operated 128
for the security and accommodation of the public and in 129
compliance with the provisions of law and of their 130
franchises and charters. 131
(6) Require every person and corporation under its 132
supervision and it shall be the duty of every person and 133
corporation to file with the commission an annual report, 134
verified by the oath, or otherwise satisfied by a 135
declaration that the statement is made under penalty of 136
perjury pursuant to section 509.030, of the president, 137
treasurer, general manager or receiver, if any, thereof. 138
The verification shall be made by said official holding 139
office at the time of the filing of said report, and if not 140
made upon the knowledge of the person verifying the same, 141
shall set forth the sources of his information and the 142
grounds of his belief as to any matters not stated to be 143
verified upon his knowledge. The report shall show in 144
detail the amount of its authorized capital stock and the 145
amount thereof issued and outstanding; the amount of its 146
authorized bonded indebtedness and the amount of its bonds 147
and other forms of evidence of indebtedness issued and 148
outstanding; its receipts and expenditures during the 149
preceding year; the amount paid as dividends upon its stock 150
and as interest upon its bonds; the names of its officers 151
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and the aggregate amount paid as salaries to them and the 152
amount paid as wages to its employees; the location of its 153
plant or plants and system, with a full description of its 154
property and franchises, stating in detail how each 155
franchise stated to be owned was acquired; and such other 156
facts pertaining to the operation and maintenance of the 157
plant and system, and the affairs of such person or 158
corporation as may be required by the commission. Such 159
reports shall be in the form, cover the period and be filed 160
at the time prescribed by the commission. The commission 161
may, from time to time, make changes and additions in such 162
forms. When any such report is defective or believed to be 163
erroneous, the commission shall notify the person or 164
corporation making such report to amend the same within a 165
time prescribed by the commission. Any such person or 166
corporation which shall neglect to make any such report or 167
which shall fail to correct any such report within the time 168
prescribed by the commission shall be liable to a penalty of 169
one hundred dollars and an additional penalty of one hundred 170
dollars for each day after the prescribed time for which it 171
shall neglect to file or correct the same, to be sued for in 172
the name of the state of Missouri. The amount recovered in 173
any such action shall be paid to the public school fund of 174
the state. The commission may extend the time prescribed for 175
cause shown. 176
(7) Have power, either through its members or 177
inspectors or employees duly authorized by it, to enter in 178
or upon and to inspect the property, buildings, plants, 179
factories, powerhouses, ducts, conduits and offices of any 180
such corporations or persons. 181
(8) Have power to examine the accounts, books, 182
contracts, records, documents and papers of any such 183
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corporation or person, and have power, after hearing, to 184
prescribe by order the accounts in which particular outlays 185
and receipts shall be entered, charged or credited. 186
(9) Have power to compel, by subpoena duces tecum, the 187
production of any accounts, books, contracts, records, 188
documents, memoranda and papers. In lieu of requiring 189
production of originals by subpoena duces tecum the 190
commission or any commissioner may require sworn copies of 191
any such books, records, contracts, documents and papers, or 192
parts thereof, to be filed with it. The commission may 193
require of all such corporations or persons specific answers 194
to questions upon which the commission may need information, 195
and may also require such corporations or persons to file 196
periodic reports in the form, covering the period and filed 197
at the time prescribed by the commission. If such 198
corporation or person shall fail to make specific answer to 199
any question or shall fail to make a periodic report when 200
required by the commission as herein provided within the 201
time and in the form prescribed by the commission for the 202
making and filing of any such report or answer, such 203
corporation or person shall forfeit to the state the sum of 204
one hundred dollars for each and every day it shall continue 205
to be in default with respect to such report or answer. 206
Such forfeiture shall be recovered in an action brought by 207
the commission in the name of the state of Missouri. The 208
amount recovered in any such action shall be paid to the 209
public school fund of the state. 210
(10) Have power in all parts of the state, either as a 211
commission or through its members, to subpoena witnesses, 212
take testimony and administer oaths to witnesses in any 213
proceeding or examination instituted before it, or conducted 214
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by it, in reference to any matter under sections 393.110 to 215
393.285. 216
(11) Have power to require every gas corporation, 217
electrical corporation, water corporation, and sewer 218
corporation to file with the commission and to print and 219
keep open to public inspection schedules showing all rates 220
and charges made, established or enforced or to be charged 221
or enforced, all forms of contract or agreement and all 222
rules and regulations relating to rates, charges or service 223
used or to be used, and all general privileges and 224
facilities granted or allowed by such gas corporation, 225
electrical corporation, water corporation, or sewer 226
corporation; but this subdivision shall not apply to state, 227
municipal or federal contracts. Unless the commission 228
otherwise orders, no change shall be made in any rate or 229
charge, or in any form of contract or agreement, or any rule 230
or regulation relating to any rate, charge or service, or in 231
any general privilege or facility, which shall have been 232
filed and published by a gas corporation, electrical 233
corporation, water corporation, or sewer corporation in 234
compliance with an order or decision of the commission, 235
except after thirty days' notice to the commission and 236
publication for thirty days as required by order of the 237
commission, which shall plainly state the changes proposed 238
to be made in the schedule then in force and the time when 239
the change will go into effect. The commission for good 240
cause shown may allow changes without requiring the thirty 241
days' notice under such conditions as it may prescribe. No 242
corporation shall charge, demand, collect or receive a 243
greater or less or different compensation for any service 244
rendered or to be rendered than the rates and charges 245
applicable to such services as specified in its schedule 246
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filed and in effect at the time; nor shall any corporation 247
refund or remit in any manner or by any device any portion 248
of the rates or charges so specified, nor to extend to any 249
person or corporation any form of contract or agreement, or 250
any rule or regulation, or any privilege or facility, except 251
such as are regularly and uniformly extended to all persons 252
and corporations under like circumstances. The commission 253
shall have power to prescribe the form of every such 254
schedule, and from time to time prescribe by order such 255
changes in the form thereof as may be deemed wise. The 256
commission shall also have power to establish such rules and 257
regulations, to carry into effect the provisions of this 258
subdivision, as it may deem necessary, and to modify and 259
amend such rules or regulations from time to time. 260
(12) In case any electrical corporation, gas 261
corporation, water corporation or sewer corporation engaged 262
in carrying on any other business than owning, operating or 263
managing a gas plant, electric plant, water system or sewer 264
system which other business is not otherwise subject to the 265
jurisdiction of the commission, and is so conducted that its 266
operations are to be substantially kept separate and apart 267
from the owning, operating, managing or controlling of such 268
gas plant, electric plant, water system or sewer system, 269
said corporation in respect to such other business shall not 270
be subject to any of the provisions of this chapter and 271
shall not be required to procure the consent or 272
authorization of the commission to any act in such other 273
business or to make any report in respect thereof. But this 274
subdivision shall not restrict or limit the powers of the 275
commission in respect to the owning, operating, managing or 276
controlling by such corporation of such gas plant, electric 277
plant, water system or sewer system, and said powers shall 278
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include also the right to inquire as to, and prescribe the 279
apportionment of, capitalization, earnings, debts and 280
expenses fairly and justly to be awarded to or borne by the 281
ownership, operation, management or control of such gas 282
plant, electric plant, water system or sewer system as 283
distinguished from such other business. In any such case if 284
the owning, operating, managing or controlling of such gas 285
plant, electric plant, water system or sewer system by any 286
such corporation is wholly subsidiary and incidental to the 287
other business carried on by it and is inconsiderable in 288
amount and not general in its character, the commission may 289
by general rules exempt such corporation from making full 290
reports and from the keeping of accounts as to such 291
subsidiary and incidental business. 292
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