2000 Extraordinary Session Legislation
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Electric Supplier Stabilization Act

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ELECTRIC SUPPLIER STABILIZATION ACT........................by MR. SPEAKER
             Requested by:  Ways and Means Committee
ELECTRIC SUPPLIER STABILIZATION ACT - Amends, repeals and adds to existing 
law to modify the Electric Supplier Stabilization Act to bring it into 
conformity with principles articulated by the Ninth Circut Court of Appeals 
in the 2000 decision of Snake River Valley Electric Association v. PacifiCorp 
and State of Idaho.

12/08     House intro - 1st rdg - to printing
  Rpt prt - to 2nd rdg
  Rls susp - PASSED - 70-0-0
  NAYS -- None
  Absent and excused -- None
  Senate intro - rls susp - PASSED - 30-2-3
  NAYS -- Burtenshaw, Hawkins
  Absent and excused -- Branch, Deide, Riggs
  Title apvd - to House
  To enrol - rpt enrol - Sp signed - Pres signed
  To Governor

Bill Text

                                                                        
                                                                        
  ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
 Fifty-sixth Legislature            First Extraordinary Session - 2000
                                                                        
                                                                        
                              IN THE HOUSE OF REPRESENTATIVES
                                                                        
                                      HOUSE BILL NO. 1
                                                                        
                                BY WAYS AND MEANS COMMITTEE
                                                                        
  1                                        AN ACT
  2    RELATING TO THE ELECTRIC SUPPLIER STABILIZATION ACT; TO PROVIDE A STATEMENT OF
  3        INTENT; AMENDING SECTION 61-332, IDAHO CODE, TO CLARIFY  THE  PURPOSES  OF
  4        THE ELECTRIC SUPPLIER STABILIZATION ACT AND TO MAKE TECHNICAL CORRECTIONS;
  5        AMENDING  SECTION  61-332A, IDAHO CODE, TO REVISE DEFINITIONS, TO DELETE A
  6        REFERENCE TO OBSOLETE MATERIAL AND TO MAKE TECHNICAL CORRECTIONS; AMENDING
  7        SECTION 61-332B, IDAHO CODE, TO REQUIRE APPROVAL OF THE  PUBLIC  UTILITIES
  8        COMMISSION  FOR  TRANSFERRING  CONSUMERS;  AMENDING SECTION 61-332C, IDAHO
  9        CODE, TO PROVIDE PROVISIONS FOR SELECTING AN  ELECTRIC  SUPPLIER  FOR  NEW
 10        ELECTRIC  SERVICE  ENTRANCES  AND  TO MAKE TECHNICAL CORRECTIONS; AMENDING
 11        CHAPTER 3, TITLE 61, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 61-332D,
 12        IDAHO CODE, TO SUPERVISE  WHEELING  SERVICES;   AMENDING  SECTION  61-333,
 13        IDAHO  CODE,  TO  REQUIRE ELECTRIC SERVICE TERRITORY CONTRACTS TO BE FILED
 14        WITH AND APPROVED BY THE  PUBLIC  UTILITIES  COMMISSION,  TO  PROVIDE  FOR
 15        NOTICE  AND HEARING REGARDING CONTRACT APPROVAL AND TO MAKE TECHNICAL COR-
 16        RECTIONS; AMENDING SECTION 61-334, IDAHO CODE, TO PROVIDE THAT THE  PUBLIC
 17        UTILITIES  COMMISSION  HAS  CERTAIN  AUTHORITY OVER ELECTRIC SUPPLIERS, TO
 18        PROVIDE FOR APPLICATION OF PUBLIC UTILITIES LAW AND TO MAKE TECHNICAL COR-
 19        RECTIONS; REPEALING SECTION 61-334A, IDAHO CODE; AMENDING SECTION 61-334B,
 20        IDAHO CODE, TO REDESIGNATE THE SECTION, TO PROVIDE FOR FILING A  COMPLAINT
 21        WITH  THE PUBLIC UTILITIES COMMISSION, TO PROVIDE FOR NOTICE AND HEARINGS,
 22        TO PROVIDE REMEDIES AND TO MAKE TECHNICAL CORRECTIONS; AMENDING CHAPTER 3,
 23        TITLE 61, IDAHO CODE, BY THE ADDITION OF  A  NEW  SECTION  61-334B,  IDAHO
 24        CODE, TO PROVIDE COMMISSION SUPERVISION AND AUTHORITY; AMENDING CHAPTER 3,
 25        TITLE  61,  IDAHO  CODE,  BY  THE ADDITION OF A NEW SECTION 61-334C, IDAHO
 26        CODE, TO PROVIDE ELECTRIC SUPPLIER IMMUNITY;  REPEALING  SECTIONS  61-332,
 27        61-332A,  61-332B, 61-332C, 61-332D, 61-333, 61-334,  61-334A, 61-334B AND
 28        61-334C, IDAHO CODE; AMENDING CHAPTER 3, TITLE  61,  IDAHO  CODE,  BY  THE
 29        ADDITION  OF  A  NEW SECTION 61-332, IDAHO CODE, TO PROVIDE THE PURPOSE OF
 30        THE ELECTRIC SUPPLIER STABILIZATION ACT; AMENDING  CHAPTER  3,  TITLE  61,
 31        IDAHO  CODE, BY THE ADDITION OF A NEW SECTION 61-332A, IDAHO CODE, TO PRO-
 32        VIDE DEFINITIONS FOR THE ELECTRIC  SUPPLIER  STABILIZATION  ACT;  AMENDING
 33        CHAPTER 3, TITLE 61, IDAHO CODE, BY THE ADDITION OF A NEW SECTION 61-332B,
 34        IDAHO  CODE, TO PROVIDE THAT AN ELECTRIC SUPPLIER SHALL BE PROHIBITED FROM
 35        SERVING CONSUMERS OR FORMER CONSUMERS OF ANOTHER SUPPLIER; AMENDING  CHAP-
 36        TER  3,  TITLE  61,  IDAHO CODE, BY THE ADDITION OF A NEW SECTION 61-332C,
 37        IDAHO CODE, TO PROVIDE RULES FOR  SELECTING  ELECTRIC  SUPPLIERS  FOR  NEW
 38        ELECTRIC  SERVICE  ENTRANCES; AMENDING CHAPTER 3, TITLE 61, IDAHO CODE, BY
 39        THE ADDITION OF A NEW SECTION 61-333, IDAHO CODE, TO  AUTHORIZE  CONTRACTS
 40        AMONG ELECTRIC SUPPLIERS TO RESOLVE TERRITORIES, CONSUMERS AND TO TRANSFER
 41        FACILITIES; AMENDING CHAPTER 3, TITLE 61, IDAHO CODE, BY THE ADDITION OF A
 42        NEW  SECTION  61-334,  IDAHO CODE, TO PROVIDE SPECIAL RULES OF INTERPRETA-
 43        TION; AMENDING CHAPTER 3, TITLE 61, IDAHO CODE, BY THE ADDITION OF  A  NEW
 44        SECTION  61-334A,  IDAHO CODE, TO PROVIDE LEGAL RELIEF FOR AGGRIEVED ELEC-
 45        TRIC CONSUMERS; AMENDING CHAPTER 3, TITLE 61, IDAHO CODE, BY THE  ADDITION
 46        OF A NEW SECTION 61-334B, IDAHO CODE, TO PROVIDE LEGAL REMEDIES FOR VIOLA-
                                                                        
                                           2
                                                                        
  1        TION  OF  THE  ELECTRIC SUPPLIER STABILIZATION ACT; DECLARING AN EMERGENCY
  2        FOR VARIOUS SECTIONS, PROVIDING A SUNSET CLAUSE FOR ONE SECTION  AND  PRO-
  3        VIDING AN EFFECTIVE DATE FOR OTHER SECTIONS OF THIS ACT.
                                                                        
  4    Be It Enacted by the Legislature of the State of Idaho:
                                                                        
  5        SECTION  1.  LEGISLATIVE INTENT. The provision of a safe and reliable sup-
  6    ply of electricity in a manner that prohibits the "pirating" of consumers  and
  7    discourages  duplication  of  facilities  is  essential  to  the well-being of
  8    Idaho's citizens and its economy. It was for these and other reasons that  the
  9    legislature passed the Electric Supplier Stabilization Act in 1970. The legis-
 10    lature  has been advised of federal antitrust litigation alleging that confor-
 11    mance with the provisions of this act does not confer federal antitrust  immu-
 12    nity  upon  parties  in  compliance with the act. The legislature finds that a
 13    negative judicial ruling would have the effect of repealing applicable  provi-
 14    sions of the act, undercutting the purposes for which this act was enacted.
 15        It  is  and  has been the intention of the legislature to confer antitrust
 16    immunity upon parties acting in compliance with the act under what is known as
 17    the state action doctrine. While the legislature believes that compliance with
 18    the existing provisions of this act confers such immunity, it  has  determined
 19    to  amend  the act to more fully address this issue. The legislature therefore
 20    finds that it is in the public interest to enact the following amendments.
                                                                        
 21        SECTION 2.  That Section 61-332, Idaho Code, be, and the  same  is  hereby
 22    amended to read as follows:
                                                                        
 23        61-332.  PURPOSE  OF  ELECTRIC  SUPPLIER STABILIZATION ACT. A.(1) This act
 24    includes sections 61-332, 61-332A, 61-332B, 61-332C, 61-333, 61-334,  61-334A,
 25    and  through  61-334BC,  Idaho Code, as herein enacted, section 61-333A, Idaho
 26    Code, as herein amended, and sections 61-333B  and  61-333C,  Idaho  Code,  as
 27    already  enacted,  and  shall  be  referred to herein as "this act" and may be
 28    cited and referred to as the "eElectric sSupplier sStabilization aAct."
 29        B.(2)  This act is and its amendments  are  designed  to  promote  harmony
 30    among  and  between electric suppliers furnishing electricity within the state
 31    of Idaho, prohibit the "pirating" of customers consumers of  another  electric
 32    supplier,  discourage  duplication  of electric facilities, actively supervise
 33    certain conduct of electric suppliers as it relates to this act, and stabilize
 34    the territories and customers consumers served with electricity by such  elec-
 35    tric suppliers.
                                                                        
 36        SECTION  3.  That  Section 61-332A, Idaho Code, be, and the same is hereby
 37    amended to read as follows:
                                                                        
 38        61-332A.  DEFINITIONS FOR ELECTRIC SUPPLIER STABILIZATION ACT. As used  in
 39    this act, unless the context requires otherwise:
 40        (1.)  "Public  utility"  means  an electric utility regulated by the Idaho
 41    public utilities commission.
 42        (2.)  "Cooperative" means a cooperative  corporation  furnishing  electric
 43    service  in the state of Idaho to its consumer-members who own and operate the
 44    cooperative.
 45        (3.)  "Municipality" means any municipal  corporation  or  quasi-municipal
 46    corporation  furnishing  electric service to its citizens the consumers of the
 47    municipality in the state of Idaho.
 48        (4.)  "Electric sSupplier"  means  any  public  utility,  cooperative,  or
 49    municipality supplying or intending to supply electric service to a consumer.
                                                                        
                                           3
                                                                        
  1        (5.)  "Electric  service"  means electricity furnished to an ultimate con-
  2    sumer by an electric supplier.
  3        (6.)  "Consumer" is any person, firm, corporation, or other entity receiv-
  4    ing or intending to receive  electric service at a specific service entrance.
  5        (7.)  "Service entrance" means  the  entrance  of  electric  service  from
  6    facilities  of the supplier to the  service equipment or utilization equipment
  7    of the consumer. In determining "service entrance" reference shall be made  to
  8    the  definition of "entrance of the service to the service equipment or utili-
  9    zation equipment" as defined in the national electrical code of 1965  location
 10    on  the consumer's property where the consumer's main disconnect switch, fuses
 11    or other disconnect equipment exists, and which are intended  to  provide  the
 12    means of cutoff of the supply.
 13        (8.)  "New  service  entrance"  means  a  service  entrance not previously
 14    served with electricity. A change, improvement, replacement,  enlargement,  or
 15    change  in  location  of a service entrance shall not be deemed a "new service
 16    entrance" if utilized to serve any service or utilization equipment previously
 17    served with electricity from the former service entrance, but  for  the  rules
 18    provisions of this act shall be deemed the former "service entrance." A change
 19    in consumer shall not be construed to make an existing service entrance a "new
 20    service  entrance." A change, enlargement, or other modification of service or
 21    utilization equipment served from an existing service entrance  shall  not  be
 22    construed to make it a "new service entrance."
 23        (9.)  "Transmission  line,"  for the purposes of this act, means any elec-
 24    tric line of an electric supplier for carrying a voltage of sixty-nine (69) KV
 25    or more.
 26        (10.) "Service line," for the purposes of this act, means  any  single  or
 27    multi-phase  electric line of an electric supplier used for carrying less than
 28    sixty-nine (69) KV and used or capable of use to provide electric service  for
 29    a consumer.
 30        (11.) "Existing service line" means any electric service line in existence
 31    at the time of the event in question and constructed to supply a consumer that
 32    could  be  lawfully  served by that electric supplier under this act. It shall
 33    not mean any service line constructed to obtain an advantage under  this  act,
 34    or to evade its purpose or terms.
 35        (12) "Commission" means the Idaho public utilities commission.
                                                                        
 36        SECTION  4.  That  Section 61-332B, Idaho Code, be, and the same is hereby
 37    amended to read as follows:
                                                                        
 38        61-332B.  ELECTRIC SUPPLIER PROHIBITED FROM SERVING  CONSUMERS  OR  FORMER
 39    CONSUMERS  OF  ANOTHER ELECTRIC SUPPLIER. No electric supplier shall construct
 40    or extend facilities, nor make any electric connections, nor permit  any  con-
 41    nections  to  be  made  to  any of its facilities for the purpose of supplying
 42    electric service nor shall it supply or furnish electric service to any  elec-
 43    tric service entrance that is then or had at any time previously been lawfully
 44    connected  for  electric  service  to facilities of another electric supplier,
 45    without the written consent of such other electric  supplier;  provided,  how-
 46    ever,  (a)  such  other  electric supplier is then, or was previously the last
 47    supplier, lawfully connected to said electric service entrance, and  (b)  such
 48    other  electric supplier is willing and able to provide adequate electric ser-
 49    vice except as provided in this act.
                                                                        
 50        SECTION 5.  That Section 61-332C, Idaho Code, be, and the same  is  hereby
 51    amended to read as follows:
                                                                        
                                           4
                                                                        
  1        61-332C.  RULES  PROVISIONS  FOR SELECTING ELECTRIC SUPPLIER FOR NEW ELEC-
  2    TRIC SERVICE ENTRANCES. (1) In the event more than one  electric  supplier  is
  3    willing and able to provide adequate electric service to a consumer at any new
  4    electric  service  entrance, the following rules shall determining which elec-
  5    tric supplier will provide electric service for a new  service  entrance,  the
  6    following provisions will govern:
  7        1.(a)  If  no  electric  supplier  has an existing service line within one
  8        thousand three hundred and twenty (1,320) feet (1,320 ft.) of  the  a  new
  9        service  entrance  the consumer shall have the right of choice of electric
 10        supplier.
 11        2.(b)  If only one (1) electric supplier  has  an  existing  service  line
 12        within  one  thousand three hundred and twenty (1,320) feet (1,320 ft.) of
 13        the new service entrance that electric supplier shall have  the  right  to
 14        serve the consumer at the new service entrance.
 15        3.(c)  If more than one (1) electric supplier has an existing service line
 16        within  one  thousand three hundred and twenty (1,320) feet (1,320 ft.) of
 17        the new service entrance the electric supplier whose existing service line
 18        is nearest the new service entrance shall have the right to serve the con-
 19        sumer at the new service entrance.
 20        4.(d)  If more than one (1) electric supplier has an existing service line
 21        within one thousand three hundred and twenty (1,320) feet (1,320  ft.)  of
 22        the  new  service  entrance and the existing service lines are equidistant
 23        from the service entrance, or and it cannot be determined by  proof  which
 24        service  line is nearest the new service entrance, then the consumer shall
 25        have the right of choice of supplier or an electric supplier  shall  peti-
 26        tion  the  commission  for an order determining which electric supplier is
 27        nearest the new service entrance.
 28        (e)  For purposes of this act distances shall mean the exact distance mea-
 29        sured using standard land surveying practices as established by the  board
 30        of professional engineers and land surveyors of the state of Idaho.
 31        (2)  No  electric  supplier shall construct or extend facilities, nor make
 32    any electric connections, nor permit any connection to be made from any of its
 33    facilities to any new service entrance nor shall it supply electric service to
 34    any new service entrance in violation of the rules herein, without the written
 35    consent of any electric supplier with a prior right under the rules  to  serve
 36    the  consumer  at the new service locations provisions of this section, except
 37    as ordered by the commission pursuant to this act.
                                                                        
 38        SECTION 6.  That Chapter 3, Title 61, Idaho Code,  be,  and  the  same  is
 39    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 40    ignated as Section 61-332D, Idaho Code, and to read as follows:
                                                                        
 41        61-332D.  WHEELING  SERVICES.  (1)  An  electric  supplier  shall  not  be
 42    required to provide wheeling service over its system if such  service  results
 43    in retail wheeling and/or a sham wholesale transaction.
 44        (2)  An  electric  supplier declining to furnish wheeling service pursuant
 45    to this section shall petition the  commission  for  review  of  the  electric
 46    supplier's  action  in  respect  to a request for such service. The commission
 47    shall, upon notice and opportunity for hearing, review the electric supplier's
 48    action for consistency with the purposes and provisions of this act, and issue
 49    an order in accordance with its finding, ordering  either  that  the  wheeling
 50    service shall, or shall not, be required.
                                                                        
 51        SECTION  7.  That  Section  61-333, Idaho Code, be, and the same is hereby
 52    amended to read as follows:
                                                                        
                                           5
                                                                        
  1        61-333.  AUTHORIZING CONTRACTS AMONG ELECTRIC SUPPLIERS TO RESOLVE  TERRI-
  2    TORIES, CONSUMERS AND TO TRANSFER FACILITIES. A.(1)  Any electric supplier may
  3    contract  in writing with any other electric supplier for the purpose of allo-
  4    cating territories, consumers, and future consumers between the electric  sup-
  5    pliers  and  designating  which  territories and consumers are to be served by
  6    which contracting electric supplier. The territories and  consumers  so  allo-
  7    cated  and  designated  may  include all or any portion of the territories and
  8    consumers which are being served by any or all  of  the  contracting  electric
  9    suppliers at the time the contract is entered into, or which could be economi-
 10    cally  served by the then existing facilities of any contracting electric sup-
 11    plier, or by reasonable and economic extensions thereto.  All  such  contracts
 12    shall  be  filed  with  the commission. The commission shall, after notice and
 13    opportunity for hearing, review and approve or reject contracts between  coop-
 14    eratives,  between cooperatives and public utilities and between public utili-
 15    ties. The commission shall, after notice and opportunity for  hearing,  review
 16    and  approve  or  reject contracts between municipalities and cooperatives, as
 17    well as between municipalities and public  utilities,  provided  however,  the
 18    commission shall have jurisdiction only over cooperatives and public utilities
 19    in  such  approvals.   The  commission  shall approve such contracts only upon
 20    finding that the allocation of territories or consumers is in conformance with
 21    the provisions and purposes of this act.
 22        B.(2)  Any electric supplier may also contract in writing with  any  other
 23    electric  supplier  for the sale, exchange, transfer, or lease of equipment or
 24    facilities located within territory which is the  subject  of  any  allocation
 25    contracted  for under subsection A hereof. C.  Any (1) of this section and any
 26    contract validly entered pursuant to this section into  and  approved  by  the
 27    commission after notice and opportunity for hearing shall be binding and shall
 28    be  legally  enforceable pursuant to this act, or by any other remedy provided
 29    by law.
                                                                        
 30        SECTION 8.  That Section 61-334, Idaho Code, be, and the  same  is  hereby
 31    amended to read as follows:
                                                                        
 32        61-334.  SPECIAL  RULES  OF  INTERPRETATION. Nothing contained in this act
 33    shall be construed to:
 34        (1.)  Grant Idaho public utilities the commission jurisdiction over  coop-
 35    eratives or municipalities except as authorized in this act.
 36        (2.)  Apply to controversies between two (2) or more public utilities.
 37        (3.)  Preclude  any  electric  supplier from extending electric service to
 38    its own property or facilities or to another  electric  supplier  for  resale,
 39    provided  any line extension made under this clause shall not be considered in
 40    determining the right of electric suppliers to  serve  new  service  entrances
 41    under section 61-332C, Idaho Code.
 42        (4)  Abrogate  or  limit the authority of any municipality under any other
 43    statute or law with respect to the municipality providing electricity  to  the
 44    municipality or the consumers of the municipality within the boundaries of the
 45    municipality.
                                                                        
 46        SECTION  9.  That  Section 61-334A, Idaho Code, be, and the same is hereby
 47    repealed.
                                                                        
 48        SECTION 10.  That Section 61-334B, Idaho Code, be, and the same is  hereby
 49    amended to read as follows:
                                                                        
 50        61-334BA.  LEGAL  REMEDIES  FOR  VIOLATION OF THIS ACT. A.(1) Any electric
                                                                        
                                           6
                                                                        
  1    supplier or consumer whose rights under this act shall be violated or  threat-
  2    ened  with  violation,  shall  be  entitled  to injunctive relief against said
  3    violation upon proper may file a complaint and proof in accordance with  Idaho
  4    rules of civil procedure in district court, against the other with the commis-
  5    sion  against  an  electric  supplier and any other person responsible for the
  6    violation.
  7        B.(2)  In any suit for injunctive relief After notice and opportunity  for
  8    hearing,  the  commission  shall  make findings of fact and conclusions by the
  9    court that any rules under of law determining whether this act or any   orders
 10    issued  under  this  act  have  been violated or threatened to be violated and
 11    shall require findings and conclusions by the court of determine whether there
 12    is actual or threatened irreparable injury as to the electric supplier or con-
 13    sumer whose rights are violated or threatened with violation as  a  basis  for
 14    equitable relief hereunder granting relief.
 15        C.(3)  The  injunctive  relief to be granted under this section for viola-
 16    tion of this act shall be negative in form, enjoining forbid further  acts  in
 17    violation  of  such  rules  orders,  shall be affirmative in form in requiring
 18    order the removal of any electric connections, facilities  or  equipment  that
 19    constitute  the  violation, and shall be or a combination thereof necessary to
 20    enforce compliance with this act.
 21        D.  Any aggrieved party may also pursue any other remedy provided by law.
                                                                        
 22        SECTION 11.  That Chapter 3, Title 61, Idaho Code, be,  and  the  same  is
 23    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 24    ignated as Section 61-334B, Idaho Code, and to read as follows:
                                                                        
 25        61-334B.  COMMISSION SUPERVISION AND AUTHORITY. (1) Upon a petition by  an
 26    electric  supplier  or  consumer for an exception to the provisions of section
 27    61-332B or 61-332C(1)(a), (b) or (c), Idaho Code, the commission  shall  issue
 28    an  order granting such request only upon finding that granting the request is
 29    consistent with the purposes of this act as set forth in section 61-332, Idaho
 30    Code.
 31        (2)  The commission shall have power to issue  authorizations  and  orders
 32    requested  under  this  act, or to refuse to issue the same, and may attach to
 33    any authorization and order as a condition of approval such terms  and  condi-
 34    tions as it determines are consistent with the purposes and provisions of this
 35    act.
 36        (3)  In  all  matters  arising  under this act, which are submitted to the
 37    commission for decision, order or review, the procedure shall be  governed  by
 38    chapters  6  and 7, title 61, Idaho Code, and the commission's rules of proce-
 39    dure. Reconsideration of, appeal from, enforcement  of,  and  stay  of  orders
 40    issued  pursuant  to  this act shall be governed by law as for other orders of
 41    the commission in other matters.
                                                                        
 42        SECTION 12.  That Chapter 3, Title 61, Idaho Code, be,  and  the  same  is
 43    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 44    ignated as Section 61-334C, Idaho Code, and to read as follows:
                                                                        
 45        61-334C.  ELECTRIC SUPPLIER IMMUNITY. No action under the  Idaho  competi-
 46    tion  act, chapter 1, title 48, Idaho Code, or any other provision or doctrine
 47    of law of the state of Idaho shall lie against an electric supplier for action
 48    or inaction that is in compliance with the provisions of this act or any  com-
 49    mission order issued pursuant to this act.
                                                                        
 50        SECTION  13.  That  Sections  61-332,  61-332A, 61-332B, 61-332C, 61-332D,
                                                                        
                                           7
                                                                        
  1    61-333, 61-334, 61-334A, 61-334B and 61-334C, Idaho Code, be, and the same are
  2    hereby repealed.
                                                                        
  3        SECTION 14.  That Chapter 3, Title 61, Idaho Code, be,  and  the  same  is
  4    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
  5    ignated as Section 61-332, Idaho Code, and to read as follows:
                                                                        
  6        61-332.  PURPOSE OF ELECTRIC SUPPLIER  STABILIZATION  ACT.  (1)  This  act
  7    includes  sections  61-332, 61-332A, 61-332B, 61-332C, 61-333, 61-334, 61-334A
  8    and 61-334B, Idaho Code, as herein enacted, and sections 61-333A, 61-333B  and
  9    61-333C,  Idaho  Code,  as already enacted, and shall be referred to herein as
 10    "this act" and may be cited and referred to as the "Electric Supplier Stabili-
 11    zation Act."
 12        (2)  This act is designed to promote harmony among  and  between  electric
 13    suppliers  furnishing  electricity  within  the  state  of Idaho, prohibit the
 14    "pirating" of customers of another supplier, discourage duplication  of  elec-
 15    tric facilities, and stabilize the territories and customers served with elec-
 16    tricity by such suppliers.
                                                                        
 17        SECTION  15.  That  Chapter  3,  Title 61, Idaho Code, be, and the same is
 18    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 19    ignated as Section 61-332A, Idaho Code, and to read as follows:
                                                                        
 20        61-332A.  DEFINITIONS  FOR ELECTRIC SUPPLIER STABILIZATION ACT. As used in
 21    this act, unless the context requires otherwise:
 22        (1)  "Consumer" is any person, firm, corporation, or other entity  receiv-
 23    ing or intending to receive electric service at a specific service entrance.
 24        (2)  "Cooperative"  means  a  cooperative  corporation furnishing electric
 25    service in the state of Idaho to its consumer-members who own and operate  the
 26    cooperative.
 27        (3)  "Electric  service"  means  electricity furnished to an ultimate con-
 28    sumer by a supplier.
 29        (4)  "Existing service line" means any electric service line in  existence
 30    at the time of the event in question and constructed to supply a consumer that
 31    could  be  lawfully  served by that supplier under this act. It shall not mean
 32    any service line constructed to obtain an advantage  under  this  act,  or  to
 33    evade its purpose or terms.
 34        (5)  "Municipality"  means  any  municipal  corporation or quasi-municipal
 35    corporation furnishing electric service to its citizens in the state of Idaho.
 36        (6)  "New service entrance" means a service entrance not previously served
 37    with electricity. A change, improvement, replacement, enlargement or change in
 38    location of a service entrance shall not be deemed a "new service entrance" if
 39    utilized to serve any service or utilization equipment previously served  with
 40    electricity  from  the  former service entrance, but for the rules of this act
 41    shall be deemed the former "service entrance." A change in consumer shall  not
 42    be  construed to make an existing service entrance a "new service entrance." A
 43    change, enlargement, or other modification of service or utilization equipment
 44    served from an existing service entrance shall not be construed to make  it  a
 45    "new service entrance."
 46        (7)  "Public  utility"  means  an  electric utility regulated by the Idaho
 47    public utilities commission.
 48        (8)  "Service entrance" means the entrance of electric service from facil-
 49    ities  of the supplier to the service equipment or  utilization  equipment  of
 50    the consumer. In determining "service entrance" reference shall be made to the
 51    definition of "entrance of the service to the service equipment or utilization
                                                                        
                                           8
                                                                        
  1    equipment" as defined in the national electrical code of 1965.
  2        (9)  "Service  line"  means  any  electric line of a supplier for carrying
  3    less than sixty-nine (69) KV and used or capable of use  to  provide  electric
  4    service for a consumer.
  5        (10) "Supplier"  means  any  public  utility, cooperative, or municipality
  6    supplying or intending to supply electric service to a consumer.
  7        (11) "Transmission line" means any electric line of a supplier for  carry-
  8    ing a voltage of sixty-nine (69) KV or more.
                                                                        
  9        SECTION  16.  That  Chapter  3,  Title 61, Idaho Code, be, and the same is
 10    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 11    ignated as Section 61-332B, Idaho Code, and to read as follows:
                                                                        
 12        61-332B.  ELECTRIC  SUPPLIER  PROHIBITED  FROM SERVING CONSUMERS OR FORMER
 13    CONSUMERS OF ANOTHER SUPPLIER. No electric supplier shall construct or  extend
 14    facilities,  nor  make any electric connections, nor permit any connections to
 15    be made to any of its facilities for the purpose of supplying electric service
 16    nor shall it supply or  furnish  electric  service  to  any  electric  service
 17    entrance  that  is then or had at any time previously been connected for elec-
 18    tric service to facilities of another electric supplier, without  the  written
 19    consent  of  such  other  electric  supplier; provided however: (1) such other
 20    electric supplier is then, or was previously the last supplier, lawfully  con-
 21    nected to said electric service entrance; and (2) such other electric supplier
 22    is willing and able to provide adequate electric service.
                                                                        
 23        SECTION  17.  That  Chapter  3,  Title 61, Idaho Code, be, and the same is
 24    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 25    ignated as Section 61-332C, Idaho Code, and to read as follows:
                                                                        
 26        61-332C.  RULES  FOR  SELECTING ELECTRIC SUPPLIER FOR NEW ELECTRIC SERVICE
 27    ENTRANCES. In the event more than one (1) electric  supplier  is  willing  and
 28    able  to  provide  adequate electric service to a consumer at any new electric
 29    service entrance, the following rules shall govern:
 30        (1)  If no electric supplier has an existing service line within one thou-
 31    sand three hundred twenty (1,320) feet of the new service  entrance  the  con-
 32    sumer shall have the right of choice of supplier.
 33        (2)  If only one (1) electric supplier has an existing service line within
 34    one  thousand  three  hundred  twenty (1,320) feet of the new service entrance
 35    that supplier shall have the right to serve the consumer at  the  new  service
 36    entrance.
 37        (3)  If  more  than one (1) electric supplier has an existing service line
 38    within one thousand three hundred twenty  (1,320)  feet  of  the  new  service
 39    entrance  the  supplier whose existing service line is nearest the new service
 40    entrance shall have the right  to  serve  the  consumer  at  the  new  service
 41    entrance.
 42        (4)  If  more  than one (1) electric supplier has an existing service line
 43    within one thousand three hundred twenty  (1,320)  feet  of  the  new  service
 44    entrance  and  the  existing  service  lines  are equidistant from the service
 45    entrance, or it cannot be determined by proof which service  line  is  nearest
 46    the  new service entrance, then the consumer shall have the right of choice of
 47    supplier.
 48    No electric supplier shall construct or extend facilities, nor make any  elec-
 49    tric connections, nor permit any connection to be made from any of its facili-
 50    ties  to  any new service entrance nor shall it supply electric service to any
 51    new service entrance in violation of the rules  herein,  without  the  written
                                                                        
                                           9
                                                                        
  1    consent  of  any electric supplier with a prior right under the rules to serve
  2    the consumer at the new service locations.
                                                                        
  3        SECTION 18.  That Chapter 3, Title 61, Idaho Code, be,  and  the  same  is
  4    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
  5    ignated as Section 61-333, Idaho Code, and to read as follows:
                                                                        
  6        61-333.  AUTHORIZING CONTRACTS AMONG ELECTRIC SUPPLIERS TO RESOLVE  TERRI-
  7    TORIES,  CONSUMERS  AND  TO TRANSFER FACILITIES. (1) Any electric supplier may
  8    contract in writing with any other electric supplier for the purpose of  allo-
  9    cating  territories, consumers, and future consumers between the suppliers and
 10    designating which territories and consumers are to be  served  by  which  con-
 11    tracting  supplier.  The territories and consumers so allocated and designated
 12    may include all or any portion of the  territories  and  consumers  which  are
 13    being  served  by any or all of the contracting suppliers at the time the con-
 14    tract is entered into, or which could  be  economically  served  by  the  then
 15    existing facilities of any contracting supplier, or by reasonable and economic
 16    extensions thereto.
 17        (2)  Any  electric  supplier  may  also contract in writing with any other
 18    electric supplier for the sale, exchange, transfer or lease  of  equipment  or
 19    facilities  located  within  territory  which is the subject of any allocation
 20    contracted for under subsection (1) of this section.
 21        (3)  Any contract validly entered pursuant to this section shall be  bind-
 22    ing  and  shall  be  legally enforceable pursuant to this act, or by any other
 23    remedy provided by law.
                                                                        
 24        SECTION 19.  That Chapter 3, Title 61, Idaho Code, be,  and  the  same  is
 25    hereby  amended by the addition thereto of a NEW SECTION, to be known and des-
 26    ignated as Section 61-334, Idaho Code, and to read as follows:
                                                                        
 27        61-334.  SPECIAL RULES OF INTERPRETATION. Nothing contained  in  this  act
 28    shall be construed to:
 29        (1)  Grant  Idaho  public  utilities commission jurisdiction over coopera-
 30    tives or municipalities.
 31        (2)  Apply to controversies between two (2) or more public utilities.
 32        (3)  Preclude any electric supplier from extending electric service to its
 33    own property or facilities or to another electric supplier  for  resale,  pro-
 34    vided  any  line  extension  made under this clause shall not be considered in
 35    determining the right of suppliers to serve new service entrances  under  sec-
 36    tion 61-332C, Idaho Code.
                                                                        
 37        SECTION  20.  That  Chapter  3,  Title 61, Idaho Code, be, and the same is
 38    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
 39    ignated as Section 61-334A, Idaho Code, and to read as follows:
                                                                        
 40        61-334A.  LEGAL  RELIEF  FOR AGGRIEVED ELECTRIC CONSUMER. (1) Any consumer
 41    of electricity who feels aggrieved with his present electric service may apply
 42    to the district court of the county of his residence  for  an  order  to  show
 43    cause  why  he  should  not  be permitted to change supplier, and if the court
 44    finds and concludes that the electric  service  is  inadequate  and  will  not
 45    likely be made adequate or that the rates are unreasonable and will not likely
 46    be made reasonable, the court may authorize the change to the new supplier.
 47        (2)  The  present  and  prospective electric supplier shall both be made a
 48    party to any suit under this section.
 49        (3)  This section and any order hereunder shall not be construed to  grant
                                                                        
                                           10
                                                                        
  1    any franchise or right to a public utility or cooperative to commence electric
  2    service within a municipality where it does not already have such franchise or
  3    right.
                                                                        
  4        SECTION  21.  That  Chapter  3,  Title 61, Idaho Code, be, and the same is
  5    hereby amended by the addition thereto of a NEW SECTION, to be known and  des-
  6    ignated as Section 61-334B, Idaho Code, and to read as follows:
                                                                        
  7        61-334B.  LEGAL  REMEDIES FOR VIOLATION OF THIS ACT. (1) Any electric sup-
  8    plier whose rights under this act shall be violated or threatened with  viola-
  9    tion,  shall  be  entitled  to  injunctive  relief against said violation upon
 10    proper complaint and proof in accordance with Idaho rules of  civil  procedure
 11    in  district  court,  against the other electric supplier and any other person
 12    responsible for the violation.
 13        (2)  In any suit for injunctive relief findings  and  conclusions  by  the
 14    court  that  any  rules  under this act have been violated or threatened to be
 15    violated shall require findings and conclusions by  the  court  of  actual  or
 16    threatened  irreparable  injury  as  to the electric supplier whose rights are
 17    violated or threatened with violation as a basis for equitable relief  hereun-
 18    der.
 19        (3)  The  injunctive relief to be granted under this section for violation
 20    of this act shall be negative in form, enjoining further acts in violation  of
 21    such  rules, shall be affirmative in form in requiring removal of any electric
 22    connections, facilities or equipment that constitute the violation  and  shall
 23    be a combination thereof necessary to enforce compliance with this act.
 24        (4)  Any aggrieved party may also pursue any other remedy provided by law.
                                                                        
 25        SECTION  22.  An  emergency  existing  therefor, which emergency is hereby
 26    declared to exist, Sections 1 through 12 of this act shall be  in  full  force
 27    and  effect on and after its passage and approval; Section 1 of this act shall
 28    be null,  void and of no force and effect on and after March 1, 2001; and Sec-
 29    tions 13 through 21 of this act shall be in full force and effect on and after
 30    March 1, 2001.

Statement of Purpose / Fiscal Impact



                       STATEMENT OF PURPOSE
                            RS 10574C3


This Legislation will clarify that the purpose of the Electric
Supplier Stabilization Act is to confer certain immunities,
including antitrust immunity, upon electric suppliers who are in
compliance with the Act.  The Legislation will provide the Idaho
Public Utilities Commission with active supervisory authority over
certain electric supplier contracts, including contracts for
wheeling services.  The provisions of this Legislation shall be
effective upon passage and approval, and shall be null and void on
and after March 1, 2001, at which time the original provisions of
the Act will again be effective unless further amended or repealed
by legislative enactment.



                          FISCAL NOTE
There should be no impact on the General Fund or other state
government funds.


CONTACT:
Representative Bruce Newcomb
Senator Robert Geddes
332-1000




STATEMENT OF PURPOSE/FISCAL NOTE                  H1