Florida Senate - 2016                          SENATOR AMENDMENT
       Bill No. CS/CS/CS/HB 491, 1st Eng.
       
       
       
       
       
       
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                              LEGISLATIVE ACTION                        
                    Senate             .             House              
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                Floor: 1/R/2R          .        Floor: SENAT/RC         
             03/11/2016 05:05 PM       .      03/11/2016 10:38 AM       
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       Senator Hays moved the following:
       
    1         Senate Amendment (with directory and title amendments)
    2  
    3         Between lines 173 and 174
    4  insert:
    5         (7) The commission shall determine the reasonableness of
    6  rate case expenses and shall disallow all rate case expenses
    7  determined to be unreasonable. No rate case expense determined
    8  to be unreasonable shall be paid by a consumer.
    9         (a) In determining the reasonable level of rate case
   10  expense, the commission shall consider the following criteria as
   11  a basis for disallowing such rate case expense when the criteria
   12  are specifically raised in writing by the Public Counsel, an
   13  intervenor, or commission staff:
   14         1. The extent to which a utility has utilized or failed to
   15  utilize the provisions of paragraph (4)(a) or paragraph (4)(b).
   16         2. Whether the customers have received a material benefit
   17  as a result of the rate case.
   18         3. The amount of time between each rate case.
   19         4. The extent to which, at the time of the initial filing,
   20  the utility filed complete documentation as required by
   21  commission rule, including, but not limited to, minimum filing
   22  requirements.
   23         5. Whether the utility’s rate case filing seeks
   24  preferential benefits to shareholders, owners, or nonregulated
   25  affiliates.
   26         6. The proportion of any rate increase approved by the
   27  commission as compared to the amount initially requested by the
   28  utility.
   29         7. The amount of overall rate case expense incurred and
   30  requested as compared to the amount of rate increase approved by
   31  the commission.
   32         8. The utility management’s culpability in causing any
   33  deficiencies in the quality of service provided by the utility.
   34         9. and Such other criteria as the commission it may
   35  establish by rule.
   36         (b) If any of the criteria specified under paragraph (a)
   37  are specifically contested in an evidentiary proceeding, the
   38  commission shall make specific findings of fact, supported by
   39  competent, substantial evidence, for each criterion and the
   40  extent to which each criterion benefits the customer. The
   41  commission may allocate the benefits between the customers and
   42  the shareholders, owners, or affiliates accordingly and may
   43  disallow rate case expense in accordance with the specific
   44  findings of fact.
   45  
   46  ====== D I R E C T O R Y  C L A U S E  A M E N D M E N T ======
   47  And the directory clause is amended as follows:
   48         Delete line 68
   49  and insert:
   50  (4) and subsection (7) are amended, subsection (8) is renumbered
   51  as subsection (10),
   52  
   53  ================= T I T L E  A M E N D M E N T ================
   54  And the title is amended as follows:
   55         Delete line 21
   56  and insert:
   57         specified expense items; requiring the commission to
   58         consider certain criteria in determining the
   59         reasonableness of rate case expenses, when
   60         specifically raised in writing by certain parties;
   61         specifying standards for evidentiary proceedings
   62         involving challenges to such criteria; authorizing the
   63         commission to allocate benefits between the customers
   64         and shareholders, owners, or affiliates and to
   65         disallow rate case expense under certain
   66         circumstances; specifying the time period