exempt

                                                  (Reprinted with amendments adopted on April 3, 2003)

 

Senate Bill No. 126–Committee on Commerce and Labor

 

(On Behalf of the Nevada League of
Cities and Municipalities)

 

February 13, 2003

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Exempts retail customers who purchase energy from municipal and local governmental utilities from payment of universal energy charge. (BDR 58‑344)

 

FISCAL NOTE:  Effect on Local Government: No.

                           Effect on the State: Yes.

 

~

 

EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.

 

AN ACT relating to energy; exempting retail customers who purchase energy from municipal and local governmental utilities from the payment of the universal energy charge; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1  Section 1.  NRS 702.060 is hereby amended to read as follows:

1-2  702.060  “Municipal or local governmental utility” includes,

1-3  without limitation:

1-4  1.  A utility established pursuant to chapter 709 or 710 of NRS.

1-5  2.  Any other utility that is owned, operated or controlled by [a]

1-6  any county, city , town or other local governmental entity.

1-7  Sec.  2.  NRS 702.150 is hereby amended to read as follows:

1-8  702.150  1.  The provisions of NRS 702.160 do not apply to

1-9  any therm of natural gas or any kilowatt-hour of electricity that a

1-10  retail customer purchases from:

1-11      (a) A rural electric cooperative established pursuant to chapter

1-12  81 of NRS.

1-13      (b) A general improvement district established pursuant to

1-14  chapter 318 of NRS.

2-1  (c) A cooperative association, nonprofit corporation, nonprofit

2-2  association or provider of service which is declared to be a public

2-3  utility pursuant to NRS 704.673 and which provides service only to

2-4  its members.

2-5  (d) A municipal or local governmental utility.

2-6  2.  If a retail customer is exempted from paying the universal

2-7  energy charge pursuant to subsection 1, the retail customer may not

2-8  receive money or other assistance from:

2-9  (a) The Welfare Division pursuant to NRS 702.260 for any

2-10  utility service for which the retail customer is exempted from paying

2-11  the universal energy charge; or

2-12      (b) The Housing Division pursuant to NRS 702.270.

2-13      Sec.  3.  NRS 702.160 is hereby amended to read as follows:

2-14      702.160  1.  Except as otherwise provided in this section and

2-15  NRS 702.150, each retail customer shall pay:

2-16      (a) A universal energy charge of 3.30 mills on each therm of

2-17  natural gas that the retail customer purchases from another person

2-18  for consumption in this state; and

2-19      (b) A universal energy charge of 0.39 mills on each kilowatt-

2-20  hour of electricity that the retail customer purchases from another

2-21  person for consumption in this state.

2-22      2.  The provisions of subsection 1 do not apply to:

2-23      (a) Any therm of natural gas used as a source of energy to

2-24  generate electricity.

2-25      (b) Any kilowatt-hour of electricity used in industries utilizing

2-26  electrolytic-manufacturing processes.

2-27      3.  If a retail customer uses the distribution services of a public

2-28  utility [or municipal utility] to acquire natural gas or electricity that

2-29  is subject to the universal energy charge, the public utility [or

2-30  municipal utility] providing the distribution services shall:

2-31      (a) Collect the universal energy charge from each such retail

2-32  customer;

2-33      (b) Ensure that the universal energy charge is set forth as a

2-34  separate item or entry on the bill of each such retail customer; and

2-35      (c) Not later than 30 days after the end of each calendar quarter,

2-36  remit to the Commission the total amount of money collected by the

2-37  public utility [or municipal utility] for the universal energy charge

2-38  for the immediately preceding calendar quarter.

2-39      4.  If a retail customer does not use the distribution services of a

2-40  public utility [or municipal utility] to acquire natural gas or

2-41  electricity that is subject to the universal energy charge, not later

2-42  than 30 days after the end of each calendar quarter, the retail

2-43  customer shall remit to the Commission the total amount of money

2-44  owed by the retail customer for the universal energy charge for the

2-45  immediately preceding calendar quarter.

3-1  5.  If, during a calendar quarter, a single retail customer or

3-2  multiple retail customers under common ownership and control pay,

3-3  in the aggregate, a universal energy charge of more than $25,000 for

3-4  all consumption of natural gas and electricity during the calendar

3-5  quarter, such retail customers are entitled to a refund, for that

3-6  calendar quarter, of the amount of the universal energy charge that

3-7  exceeds $25,000. To receive a refund pursuant to this section, not

3-8  later than 90 days after the end of the calendar quarter for which the

3-9  refund is requested, such retail customers must file with the

3-10  Commission a request for a refund. If a request for a refund is filed

3-11  with the Commission:

3-12      (a) The Commission shall determine and certify the amount of

3-13  the refund; and

3-14      (b) The refund must be paid as other claims against the State are

3-15  paid from money in the Fund.

3-16      Sec.  4.  NRS 702.170 is hereby amended to read as follows:

3-17      702.170  1.  The Commission shall adopt regulations to carry

3-18  out and enforce the provisions of NRS 702.160. Such regulations

3-19  may require public utilities [, municipal utilities] and retail

3-20  customers that are required to collect or remit money for

3-21  the universal energy charge to file reports and to provide the

3-22  Commission with information relating to compliance with the

3-23  requirements of the universal energy charge.

3-24      2.  In carrying out the provisions of NRS 702.160, the

3-25  Commission shall solicit advice from the Consumer’s Advocate of

3-26  the Bureau of Consumer Protection in the Office of the Attorney

3-27  General, public utilities [and municipal utilities] and other

3-28  knowledgeable persons.

3-29      3.  The Commission may conduct audits and investigations of

3-30  public utilities [, municipal utilities] and retail customers that are

3-31  required to collect or remit money for the universal energy charge, if

3-32  the Commission determines that such audits and investigations are

3-33  necessary to verify compliance with the requirements of the

3-34  universal energy charge. In conducting such audits and

3-35  investigations, the Commission may exercise any of the

3-36  investigative powers granted to the Commission pursuant to chapter

3-37  703 of NRS, including, without limitation, the power to issue orders

3-38  to compel the appearance of witnesses and the production of books,

3-39  accounts, papers and records.

3-40      4.  To carry out its powers and duties pursuant to this chapter,

3-41  the Commission is entitled to an administrative charge of not more

3-42  than 3 percent of the money collected for the universal energy

3-43  charge. After deduction of its administrative charge, the

3-44  Commission shall deposit the remaining money collected for the

3-45  universal energy charge in the State Treasury for credit to the Fund.

4-1  5.  The Commission may bring an appropriate action in its own

4-2  name for recovery of any money that a person fails to pay, collect or

4-3  remit in violation of the requirements of the universal energy

4-4  charge.

 

4-5  H