CODING: Words stricken are deletions; words underlined are additions.





                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    

                            CHAMBER ACTION
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11  Senator Klein moved the following amendment:

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13         Senate Amendment (with title amendment) 

14         On page 3, lines 18 and 19, delete those lines

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16  and insert:

17         Section 2.  Section 1 of this act does not apply to

18  rate cases that are pending on March 11, 1999.

19         Section 3.  Subsection (7) of section 367.021, Florida

20  Statutes, is amended to read:

21         367.021  Definitions.--As used in this chapter, the

22  following words or terms shall have the meanings indicated:

23         (7)  "Governmental authority" means a political

24  subdivision, as defined by s. 1.01(8), or a regional water

25  supply authority created pursuant to s. 373.1962, or a

26  nonprofit corporation formed for the purpose of acting on

27  behalf of a political subdivision with respect to a water or

28  wastewater facility.

29         Section 4.  Section 367.022, Florida Statutes, is

30  amended to read:

31         367.022  Exemptions.--The following are not subject to

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                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    





 1  regulation by the commission as a utility nor are they subject

 2  to the provisions of this chapter, except as expressly

 3  provided:

 4         (1)  The sale, distribution, or furnishing of bottled

 5  water.;

 6         (2)  Systems owned, operated, managed, or controlled by

 7  governmental authorities, including water or wastewater

 8  facilities operated by private firms under water or wastewater

 9  facility privatization contracts as defined in s. 153.91, and

10  nonprofit corporations formed for the purpose of acting on

11  behalf of a political subdivision with respect to a water or

12  wastewater facility.;

13         (3)  Manufacturers providing service solely in

14  connection with their operations.;

15         (4)  Public lodging establishments providing service

16  solely in connection with service to their guests.;

17         (5)  Landlords providing service to their tenants

18  without specific compensation for the service.;

19         (6)  Systems with the capacity or proposed capacity to

20  serve 100 or fewer persons.;

21         (7)  Nonprofit corporations, associations, or

22  cooperatives providing service solely to members who own and

23  control such nonprofit corporations, associations, or

24  cooperatives.; and

25         (8)  Any person who resells water or wastewater service

26  at a rate or charge which does not exceed the actual purchase

27  price of the water or wastewater thereof, if such person files

28  at least annually with the commission a list of charges and

29  rates for all water service sold, the source and actual

30  purchase price thereof, and any other information required by

31  the commission to justify the exemption; but such person is

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                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    





 1  subject to the provisions of s. 367.122.

 2         (9)  Wastewater treatment plants operated exclusively

 3  for disposing of industrial wastewater.

 4         (10)  The sale of bulk supplies of desalinated water to

 5  a governmental authority.

 6         (11)  Any person providing only nonpotable water for

 7  irrigation purposes in a geographic area where potable water

 8  service is available from a governmentally or privately owned

 9  utility or a private well.

10         (12)  The sale for resale of bulk supplies of water or

11  the sale or resale of wastewater services to a governmental

12  authority or to a utility regulated pursuant to this chapter

13  either by the commission or the county.

14         Section 5.  Subsection (1) of section 367.071, Florida

15  Statutes, is amended to read:

16         367.071  Sale, assignment, or transfer of certificate

17  of authorization, facilities, or control.--

18         (1)  No utility shall sell, assign, or transfer its

19  certificate of authorization, facilities or any portion

20  thereof, or majority organizational control without

21  determination and approval of the commission that the proposed

22  sale, assignment, or transfer is in the public interest and

23  that the buyer, assignee, or transferee will fulfill the

24  commitments, obligations, and representations of the utility.

25  However, a sale, assignment, or transfer of its certificate of

26  authorization, facilities or any portion thereof, or majority

27  organizational control may occur prior to commission approval

28  if the contract for sale, assignment, or transfer is made

29  contingent upon commission approval.

30         Section 6.  Section 367.0816, Florida Statutes, is

31  amended to read:

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                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    





 1         367.0816  Recovery of rate case expenses.--The amount

 2  of rate case expense determined by the commission pursuant to

 3  the provisions of this chapter to be recovered through a

 4  public utilities rate shall be apportioned for recovery over a

 5  period of 4 years.  At the conclusion of the recovery period,

 6  the rate of the public utility shall be reduced immediately by

 7  the amount of rate case expense previously included in rates.

 8         Section 7.  Section 367.0814, Florida Statutes, is

 9  amended to read:

10         367.0814  Rates and charges; requests for staff

11  assistance in changing.--

12         (1)  The commission may establish rules by which a

13  water or wastewater utility whose gross annual revenues are

14  $150,000 or less may request and obtain staff assistance for

15  the purpose of changing its rates and charges.  A utility may

16  request staff assistance by filing an application with the

17  commission.

18         (2)  The official date of filing is established as 30

19  days after official acceptance by the commission of the

20  application.  If a utility does not remit a fee, as provided

21  by s. 367.145, within 30 days after acceptance, the commission

22  may deny the application.  The commission has 15 months after

23  the official date of filing within which to issue a final

24  order.

25         (3)  The provisions of s. 367.081(1), (2)(a), and (3)

26  shall apply in determining the utility's rates and charges.

27         (4)  The commission may, upon its own motion, or upon

28  petition from the regulated utility, authorize the collection

29  of interim rates until the effective date of the final order.

30  Such interim rates may be based upon a test period different

31  from the test period used in the request for permanent rate

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                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    





 1  relief.  To establish interim relief, there must be a

 2  demonstration that the operation and maintenance expenses

 3  exceed the revenues of the regulated utility, and interim

 4  rates shall not exceed the level necessary to cover operation

 5  and maintenance expenses as defined by the Uniform System of

 6  Accounts for Class C Water and Wastewater Utilities (1996) of

 7  the National Association of Regulatory Utility Commissioners.

 8         (5)  The commission may require that the difference

 9  between the interim rates and the previously authorized rates

10  be collected under bond, escrow, letter of credit, or

11  corporate undertaking subject to refund with interest at a

12  rate ordered by the commission.

13         (6)(4)  The utility, in requesting staff assistance,

14  shall agree to accept the final rates and charges approved by

15  the commission unless the final rates and charges produce less

16  revenue than the existing rates and charges.

17         (7)(5)  In the event of a protest or appeal by a party

18  other than the utility, the commission may provide for

19  temporary rates subject to refund with interest.

20         (8)(6)  If a utility becomes exempt from commission

21  regulation or jurisdiction during the pendency of a

22  staff-assisted rate case, the request for rate relief is

23  deemed to have been withdrawn. Interim rates, if previously

24  approved, shall become final. Temporary rates, if previously

25  approved, must be discontinued, and any money collected

26  pursuant to the temporary rates, or the difference between

27  temporary and interim rates, if previously approved, must be

28  refunded to the customers of the utility with interest.

29         (9)(7)  The commission may by rule establish standards

30  and procedures whereby rates and charges of small utilities

31  may be set using criteria other than those set forth in s.

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                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    





 1  367.081(1), (2)(a), and (3).

 2         Section 8.  Subsection (7) of section 367.082, Florida

 3  Statutes, is amended to read:

 4         367.082  Interim rates; procedure.--

 5         (7)  If a utility becomes exempt from commission

 6  regulation or jurisdiction during the pendency of a rate case,

 7  the request for rate relief pending before the commission is

 8  deemed to have been withdrawn. Interim rates, if previously

 9  approved, must be discontinued, and any money collected

10  pursuant to interim rate relief must be refunded to the

11  customers of the utility with interest.

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13  (Redesignate subsequent sections.)

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15

16  ================ T I T L E   A M E N D M E N T ===============

17  And the title is amended as follows:

18         On page 1, line 14, after the semicolon,

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20  insert:

21         amending s. 367.021, F.S.; redefining the term

22         "governmental authority"; amending s. 367.022,

23         F.S.; eliminating the annual report requirement

24         for exempt resellers; providing for an

25         additional exemption; amending s. 367.071,

26         F.S.; authorizing specified transactions before

27         Public Service Commission approval; amending s.

28         367.0816, F.S.; removing provisions requiring

29         rate-case expense reductions at the conclusion

30         of the recovery period; amending 367.0814,

31         F.S.; authorizing the commission to authorize

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                                                  SENATE AMENDMENT

    Bill No. CS for SB 1352

    Amendment No.    





 1         the collection of interim rates under certain

 2         circumstances; providing criteria; authorizing

 3         the commission to require collection of certain

 4         rate differentials; providing for finalization

 5         of interim rates under certain circumstances;

 6         providing for refund of certain rate

 7         differentials under certain circumstances;

 8         amending s. 367.082, F.S.; clarifying a

 9         procedure relating to a withdrawal of a request

10         for rate relief during the pendency of a rate

11         case;

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