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91_SB1729
LRB9109359JSpc
1 AN ACT to amend the Public Utilities Act by changing
2 Sections 5-104 and 9-230 and adding Section 13-301.2.
3 Be it enacted by the People of the State of Illinois,
4 represented in the General Assembly:
5 Section 5. The Public Utilities Act is amended by
6 changing Sections 5-104 and 9-230 and adding Section 13-301.2
7 as follows:
8 (220 ILCS 5/5-104) (from Ch. 111 2/3, par. 5-104)
9 Sec. 5-104. Depreciation accounts.
10 (a) The Commission shall have power, after hearing, to
11 require any or all public utilities, except electric public
12 utilities and telecommunications carriers, to keep such
13 accounts as will adequately reflect depreciation,
14 obsolescence and the progress of the arts. The Commission
15 may, from time to time, ascertain and determine and by order
16 fix the proper and adequate rate of depreciation of the
17 several classes of property for each public utility; and each
18 public utility shall conform its depreciation accounts to the
19 rates so ascertained, determined and fixed.
20 (b) The Commission shall have the power, after hearing,
21 to require any or all electric public utilities and
22 telecommunications carriers to keep such accounts as will
23 adequately reflect depreciation, obsolescence, and the
24 progress of the arts. The Commission may, from time to time,
25 ascertain and determine and by order fix the proper and
26 adequate rate of depreciation of the several classes of
27 property for each electric public utility and
28 telecommunications carrier; and each electric public utility
29 and telecommunications carrier shall thereafter, absent
30 further order of the Commission, conform its depreciation
31 accounts to the rates so ascertained, determined and fixed
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1 until at least the end of the first full calendar year
2 following the date of such determination.
3 (c) An electric public utility or a telecommunications
4 carrier may from time to time alter the annual rates of
5 depreciation, which for purposes of this subsection (c) and
6 subsection (d) shall include amortization, that it applies to
7 its several classes of assets so long as the rates are
8 consistent with generally accepted accounting principles.
9 The electric public utility or telecommunications carrier
10 shall file a statement with the Commission which shall set
11 forth the new rates of depreciation and which shall contain a
12 certification by an independent certified public accountant
13 that the new rates of depreciation are consistent with
14 generally accepted accounting principles. Upon the filing of
15 such statement, the new rates of depreciation shall be deemed
16 to be approved by the Commission as the rates of depreciation
17 to be applied thereafter by the electric public utility or
18 telecommunications carrier as though an order had been
19 entered pursuant to subsection (b).
20 (d) In any proceeding conducted pursuant to Section
21 9-201 or 9-202 to set an electric public utility's or
22 telecommunications carrier's rates for service, the
23 Commission may determine not to use, in determining the
24 depreciation expense component of the electric public
25 utility's or telecommunications carrier's rates for service,
26 the rates of depreciation established pursuant to subsection
27 (c), if the Commission in that proceeding finds based on the
28 record that different rates of depreciation are required to
29 adequately reflect depreciation, obsolescence and the
30 progress of the arts, and fixes by order and uses for
31 purposes of that proceeding new rates of depreciation to be
32 thereafter employed by the electric public utility or
33 telecommunications carrier until the end of the first full
34 calendar year following the date of the determination and
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1 thereafter until altered in accordance with subsection (b) or
2 (c) of this Section.
3 (Source: P.A. 90-561, eff. 12-16-97.)
4 (220 ILCS 5/9-230) (from Ch. 111 2/3, par. 9-230)
5 Sec. 9-230. Rate of return; capital involving nonutility
6 or unregulated companies. In determining a reasonable rate of
7 return upon investment for any public utility in any
8 proceeding to establish rates or charges, the Commission
9 shall not include any incremental risk, or increased cost of
10 capital, expense, or revenue, including revenue attributed to
11 telephone directory operations, which is the direct or
12 indirect result of the public utility's affiliation with
13 unregulated or nonutility companies.
14 (Source: P.A. 84-617.)
15 (220 ILCS 5/13-301.2 new)
16 Section 13-301.2. Affiliated company offering
17 competitive telecommunications services. The Commission
18 shall not prohibit a local exchange telecommunications
19 carrier from recommending to a customer the selection of an
20 affiliated company offering competitive interexchange
21 telecommunications services, provided the local exchange
22 telecommunications carrier also informs the customer that the
23 customer may select any company offering competitive
24 interexchange telecommunications services.
25 Section 99. Effective date. This Act takes effect upon
26 becoming law.