Florida Senate - 2013                          SENATOR AMENDMENT
       Bill No. CS for CS for SB 1472
       
       
       
       
       
       
                                Barcode 313776                          
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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                Floor: 1/AD/2R         .                                
             04/25/2013 09:23 AM       .                                
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       Senators Legg, Latvala, Simpson, and Brandes moved the
       following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete lines 93 - 188
    4  and insert:
    5  licensing or certification.
    6         (c) After a utility obtains a license or certification, it
    7  must petition the commission for approval before proceeding with
    8  preconstruction work beyond those activities necessary to obtain
    9  or maintain a license or certificate.
   10         1. The only costs that a utility that has obtained a
   11  license or certification may recover before obtaining commission
   12  approval are those that are previously approved or necessary to
   13  maintain the license or certification.
   14         2. In order for the commission to approve preconstruction
   15  work on a plant, it must determine that:
   16         a. The plant remains feasible; and
   17         b. The projected costs for the plant are reasonable.
   18         (d) After a utility obtains approval to proceed with
   19  postlicensure or postcertification preconstruction work, it must
   20  petition the commission for approval of any preconstruction
   21  materials or equipment purchases that exceed 1 percent of the
   22  total projected cost for the project. Such petition shall be
   23  reviewed and completed in the annual Nuclear Cost Recovery
   24  Clause proceeding in which it is filed or in a separate
   25  proceeding by the utility.
   26         (e) A utility must petition the commission for approval
   27  before beginning the construction phase.
   28         1. The only costs that a utility that has obtained
   29  commission approval may recover before beginning construction
   30  work are those that are previously approved or necessary to
   31  maintain the license or certification.
   32         2. In order for the commission to approve proceeding with
   33  construction on a plant, it must determine that:
   34         a. The plant remains feasible; and
   35         b. The projected costs for the plant are reasonable.
   36         (f)1. If a utility has not begun construction of a plant
   37  within:
   38         a. Ten years after the date on which the utility obtains a
   39  combined license from the Nuclear Regulatory Commission for a
   40  nuclear power plant or a certification for an integrated
   41  gasification combined cycle power plant, the utility must
   42  petition the commission to preserve the opportunity for future
   43  recovery under this section for costs relating to that plant.
   44  The commission must determine whether the utility remains intent
   45  on building the plant.
   46         (I) If the commission finds that the utility remains intent
   47  on building the plant, the utility may continue to recover costs
   48  under this section.
   49         (II) If the commission finds a lack of such intent, it may
   50  enter an order prohibiting recovery of any future costs relating
   51  to the plant under this section.
   52         b. Twenty years after the date on which the utility obtains
   53  a combined license from the Nuclear Regulatory Commission for a
   54  nuclear power plant or a certification for an integrated
   55  gasification combined cycle power plant, the utility may not,
   56  under this section, recover future costs relating to that plant.
   57         2. Consistent with subsection (4), nothing in this section
   58  shall preclude a utility from recovering the full revenue
   59  requirements of the nuclear power plant or integrated
   60  gasification combined cycle power plant in base rates upon the
   61  commercial in-service date.
   62         3. Beginning January 1, 2014, in making its determination
   63  for any cost recovery under this paragraph, the commission may
   64  find that a utility intends to construct a nuclear or integrated
   65  gasification combined cycle power plant only if the utility
   66  proves by a preponderance of the evidence that it has committed
   67  sufficient, meaningful, and available resources to enable the
   68  project to be completed and that its intent is realistic and
   69  practical.
   70         (6) If the utility does elects not to complete or is
   71  precluded from completing construction of the nuclear power
   72  plant, including new, expanded, or relocated electrical
   73  transmission lines or facilities necessary thereto, or of the
   74  integrated gasification combined cycle power plant, the utility
   75  shall be allowed to recover all prudent preconstruction and
   76  construction costs incurred following the commission’s issuance
   77  of a final order granting a determination of need for the
   78  nuclear power plant and electrical transmission lines and
   79  facilities necessary thereto or for the integrated gasification
   80  combined cycle power plant. The utility shall recover such costs
   81  through the capacity cost recovery clause over a period equal to
   82  the period during which the costs were incurred or 5 years,
   83  whichever is greater. The unrecovered balance during the
   84  recovery period will accrue interest at the utility’s weighted
   85  average cost of capital as reported in the commission’s earnings
   86  surveillance reporting requirement for the prior year. However,
   87  if the utility elects not to complete construction of the
   88  nuclear power plant, rather than being precluded from completing
   89  such construction, the utility may not recover or retain any
   90  rate of return under this section. Any cost recovery after the
   91  date of the decision not to complete construction of the plant
   92  may not include a rate of return. A utility that elects not to
   93  complete construction shall refund to its customers the costs
   94  recovered before the date of the decision which are attributable
   95  to a recovery of a rate of return.
   96         Section 2. This act does not apply to costs incurred, or
   97  contracts or settlement agreements entered into, before July 1,
   98  2013. It also does not apply if, on or before that date, the
   99  Public Service Commission receives written notice that a utility
  100  has elected not to complete construction of a power plant.
  101  
  102  ================= T I T L E  A M E N D M E N T ================
  103         And the title is amended as follows:
  104         Delete lines 10 - 19
  105  and insert:
  106         that the commission may not determine that a utility
  107         intends to complete construction of a power plant
  108         unless the utility proves its efforts by a
  109         preponderance of the evidence; providing that a
  110         utility that elects not to complete construction of a
  111         nuclear power plant may not recover or retain any rate
  112         of return for related costs; exempting certain actions
  113         taken before this act takes effect; providing an
  114         effective date.