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[Utah Code Table of Contents]
[TITLE 54. Table of Contents]
54-4-1 General jurisdiction.
The commission is hereby vested with power and jurisdiction
to supervise and regulate every public utility in this state,
and to supervise all of the business of every such public
utility in this state, and to do all things, whether herein
specifically designated or in addition thereto, which are
necessary or convenient in the exercise of such power and
jurisdiction; provided, however, that the Department of Transportation
shall have jurisdiction over those safety functions transferred
to it by the Department of Transportation Act.
1975
54-4-1.1 Wholesale electrical cooperative exempt from rate regulation - Requirements for rate increase.
The commission does not have the authority under the provisions of this title to regulate, fix, or otherwise approve or establish the rates, fares, tolls, or charges of a wholesale electrical cooperative. A wholesale electrical cooperative shall not vary its charges within any type or classification of service to any member or the public, one from the other, or from schedules of rates, fares, tolls, or charges which schedules shall be filed at least annually with the Division of Public Utilities for informational purposes only. The prohibition of this section applies only to the rates, fares, tolls, or charges and does not exempt wholesale electrical cooperatives from other areas of regulation under this title including, but not limited to, regulation having an indirect effect on rates, fares, tolls, or charges but which does not constitute an approval or establishment of them.
A wholesale electrical cooperative must, prior to the
implementation of any rate increase after January 1, 1984,
hold a public meeting for all its customers and members.
Notice must be mailed at least ten days prior to the meeting.
In addition, any schedule of new rates or other change that
results in new rates must be approved by the board of directors
of the wholesale electrical cooperative.
1984
54-4-1.5 Investigations, providing information, audits and recommendations by director.
In addition to its other powers and duties provided by law, the Public Service Commission may, with respect to any matter within its jurisdiction, order the director of the Division of Public Utilities to:
(1) conduct research, studies, and investigations;
(2) provide information, documents or records in compliance with the provisions regarding ex parte communications set forth in Section 54-7-1.5 ;
(3) conduct audits and inspections or take other enforcement actions to assure compliance with commission decisions and state and federal laws; and
(4) make recommendations regarding public utility regulations.
1983
54-4-2 Investigations - Hearings and notice - Findings.
Whenever the commission believes that in order to secure
a compliance with the provisions of this title or with the
orders of the commission, or that it will be otherwise in
the interest of the public, an investigation should be made
of any act or omission to act, or of anything accomplished
or proposed, or of any schedule, classification, rate, price,
charge, fare, toll, rental, rule, regulation, service or
facility of any public utility, it shall investigate the
same upon its own motion, and may fix a time and place for
a hearing thereof with notice to the public utility concerning
which such investigation shall be made, and upon such hearing
shall make such findings and orders as shall be just and
reasonable with respect to any such matter.
1953
54-4-4 Classification and fixing of rates after hearing.
(1) (a) The commission shall take an action described in Subsection (1)(b), if the commission finds after a hearing that:
(i) the rates, fares, tolls, rentals, charges, or classifications demanded, observed, charged, or collected by any public utility for, or in connection with, any service, product, or commodity, including the rates or fares for excursion or commutation tickets, or that the rules, regulations, practices, or contracts affecting the rates, fares, tolls, rentals, charges, or classifications are:
(A) unjust;
(B) unreasonable;
(C) discriminatory;
(D) preferential; or
(E) otherwise in violation of any provisions of law; or
(ii) the rates, fares, tolls, rentals, charges, or classifications described in Subsection (1)(a)(i) are insufficient.
(b) If the commission makes a finding described in Subsection (1)(a), the commission shall:
(i) determine the just, reasonable, or sufficient rates, fares, tolls, rentals, charges, classifications, rules, regulations, practices, or contracts to be thereafter observed and in force; and
(ii) fix the determination described in Subsection (1)(b)(i) by order as provided in this section.
(2) The commission may:
(a) investigate:
(i) one or more rates, fares, tolls, rentals, charges, classifications, rules, regulations, contracts, or practices of any public utility; or
(ii) one or more schedules of rates, fares, tolls, rentals, charges, classifications, rules, regulations, contracts, or practices of any public utility; and
(b) establish, after hearing, new rates, fares, tolls, rentals, charges, classifications, rules, regulations, contracts, practices, or schedules in lieu of them.
(3) (a) If in the commission's determination of just and reasonable rates the commission uses a test period, the commission shall select a test period that, on the basis of evidence, the commission finds best reflects the conditions that a public utility will encounter during the period when the rates determined by the commission will be in effect.
(b) In establishing the test period determined in Subsection (3)(a), the commission may use:
(i) a future test period that is determined on the basis of projected data not exceeding 20 months from the date a proposed rate increase or decrease is filed with the commission under Section 54-7-12 ;
(ii) a test period that is:
(A) determined on the basis of historic data; and
(B) adjusted for known and measurable changes; or
(iii) a test period that is determined on the basis of a combination of:
(A) future projections; and
(B) historic data.
(c) If pursuant to this Subsection (3), the commission establishes a test period that is not determined exclusively on the basis of future projections, in determining just and reasonable rates the commission shall consider changes outside the test period that:
(i) occur during a time period that is close in time to the test period;
(ii) are known in nature; and
(iii) are measurable in amount.
2003
54-4-4.1 Rules to govern rates - Shared earnings.
(1) The commission may, by rule or order, adopt any method of rate regulation consistent with this title, including a method whereby revenues or earnings of a public utility above a specified level are equitably shared between the public utility and its customers.
(2) Not later than 60 days from the entry of an order
or adoption of a rule adopting a method of rate regulation
whereby revenues or earnings of a public utility above a
specified level are equitably shared between the public utility
and its customers, the public utility may elect not to proceed
with the method of rate regulation by filing with the commission
a notice that it does not intend to proceed with the method
of rate regulation.
1990
54-4-7 Rules, equipment, service - Regulation after hearing.
Whenever the commission shall find, after a hearing, that
the rules, regulations, practices, equipment, appliances,
facilities, or service of any public utility, or the methods
of manufacture, distribution, transmission, storage or supply
employed by it, are unjust, unreasonable, unsafe, improper,
inadequate or insufficient, the commission shall determine
the just, reasonable, safe, proper, adequate or sufficient
rules, regulations, practices, equipment, appliances, facilities,
service or methods to be observed, furnished, constructed,
enforced or employed, and shall fix the same by its order,
rule or regulation. The commission, after a hearing, shall
prescribe rules and regulations for the performance of any
service or the furnishing of any commodity of the character
furnished or supplied by any public utility, and on proper
demand and tender of rates such public utility shall furnish
such commodity or render such service within the time and
upon the conditions provided in such rules.
1953
54-4-8 Improvements, extensions, repairs - Regulations - Apportioning costs.
(1) Except as provided under Section 54-3-8.1 :
(a) whenever the commission shall find that additions, extensions, repairs, or improvements to or changes in the existing plant, equipment, apparatus, facilities, or other physical property of any public utility or of any two or more public utilities ought reasonably to be made, or that a new structure or structures ought to be erected to promote the security or convenience of its employees or the public or in any way to secure adequate service or facilities, the commission shall make and serve an order directing that such additions, extensions, repairs, improvements, or changes be made or such structure or structures be erected in the manner and within the time specified in the order; and
(b) if any additions, extensions, repairs, improvements, or changes, or any new structure or structures which the commission has ordered to be erected, require joint action by two or more public utilities, the commission shall notify the public utilities that the additions, extensions, repairs, improvements, or changes, or new structure or structures have been ordered and shall be made at their joint cost; whereupon the public utilities shall have reasonable time as the commission may grant within which to agree upon the portion or division of cost of the additions, extensions, repairs, improvements, or changes or any new structure or structures which each shall bear.
(2) If at the expiration of the time in Subsection (1)(b)
the public utilities shall fail to file with the commission
a statement that an agreement has been made for division
or apportionment of the cost or expense of the additions,
extensions, repairs, improvements, or changes, or of the
new structure or structures, the commission shall have authority,
after further hearing, to make an order fixing the proportion
of the cost or expense to be borne by each public utility
and the manner in which the cost or expense shall be paid
or secured.
1998
54-4-12 Telegraph and telephone - Connections - Joint rates - Division of costs.
Whenever the commission shall find, after a hearing, that
a physical connection can reasonably be made between the
lines of two or more telephone corporations, or two or more
telegraph corporations, whose lines can be made to form a
continuous line of communication by the construction and
maintenance of suitable connections for the transfer of messages
or conversations, and that public convenience and necessity
will be subserved thereby, or shall find that two or more
telegraph or telephone corporations have failed to establish
joint rates, tolls or charges for service by or over their
said lines and that joint rates, tolls or charges ought to
be established, the commission may, by its order, require
that such connection be made, except where the purpose of
such connection is primarily to secure the transmission of
local messages or conversations between points within the
same city or town, and that conversations be transmitted
and messages transferred over such connections under such
rules and regulations as the commission may establish and
prescribe, and that through lines and joint rates, tolls
and charges be made and be used, observed and be in force
in the future. If such telephone or telegraph corporations
do not agree upon the division between themselves of the
cost of such physical connection or connections, or upon
the division of the joint rates, tolls or charges established
by the commission over such through lines, the commission
shall have authority, after a further hearing, to establish
such division by supplemental order.
1953
54-4-13 Joint use of properties by utilities - Adjustment of costs - Cable television easement rights.
(1) Whenever the commission shall find that public convenience and necessity require the use by one public utility of the conduits, subways, tracks, wires, poles, pipes or other equipment, or any part thereof, on, over or under any street or highway, belonging to another public utility, and that such use will not result in irreparable injury to the owner or other users of such conduits, subways, tracks, wires, poles, pipes or other equipment, or in any substantial detriment to the service, and that such public utilities have failed to agree upon such use or the terms and conditions or compensation for the same, the commission may, by order, direct that such use be permitted, and prescribe a reasonable compensation and reasonable terms and conditions for the joint use. If such use is directed, the public utility to whom the use is permitted shall be liable to the owner or other users of such conduits, subways, tracks, wires, poles, pipes or other equipment for such damage as may result therefrom to the property of such owner or other users thereof.
(2) Whenever a public utility including its successors, assigns, lessees, licensees and agents, is granted a right-of-way easement to construct, operate, maintain or remove utility facilities, electric power and other facilities as it may require upon, over, under and across land or upon, over, under and across a dedicated public utility strip, and such public utility has also entered into a pole attachment contract with a cable television company which has been granted a franchise by a city, county, municipal or other public authority including the right to use the wires, conduits, cables, or poles of such public utility, and providing for the attachment or installation of wires, cables, and other equipment of a cable television company, to certain poles or in certain conduits of such public utility under controlled conditions designed to ensure the continued safe operation of the utilities service and facilities without any additional burden on the grantor's property then, and in that event, the cable television company, has the right to share in and enjoy the use of the right-of-way easement, subject to the terms and conditions provided in the pole attachment contract, and the right-of-way easement or interest granted the public utility is apportionable to the cable television company under the following limitations or conditions:
(a) Consent is secured from the private property owner where the easement is located except this requirement shall not apply in the case of a dedicated public utility strip.
(b) The Public Service Commission determines that under the terms and conditions of the pole attachment contract the use of the utilities facilities by the cable television company will not interfere with the primary utility function or render its facilities unsafe, and that the contract is in the public interest.
(c) The right-of-way easement is not restricted to the sole use of the public utility; provided, that such restriction shall not apply in any easement granted for the use of a dedicated public utility strip.
(d) The use contemplated by the cable television company is the same or similar to that granted the public utility and that such use will not impose an additional burden upon the servient tenement.
(e) The use of the easement by the cable television company
will not cause irreparable injury or damage to the grantor's
property.
1973
54-4-14 Safety regulation.
The commission shall have power, by general or special
orders, rules or regulations, or otherwise, to require every
public utility to construct, maintain and operate its line,
plant, system, equipment, apparatus, tracks and premises
in such manner as to promote and safeguard the health and
safety of its employees, passengers, customers and the public,
and to this end to prescribe, among other things, the installation,
use, maintenance and operation of appropriate safety or other
devices or appliances including interlocking and other protective
devices at grade crossings or junctions, and block or other
system of signaling, and to establish uniform or other standards
of construction and equipment, and to require the performance
of any other acts which the health or safety of its employees,
passengers, customers or the public may demand, provided,
however, that the department of transportation shall have
jurisdiction over those safety functions transferred to it
by the Department of Transportation Act.
1975
54-4-15 Establishment and regulation of grade crossings.
(1) No track of any railroad shall be constructed across a public road, highway or street at grade, nor shall the track of any railroad corporation be constructed across the track of any other railroad or street railroad corporation at grade, nor shall the track of a street railroad corporation be constructed across the track of a railroad corporation at grade, without the permission of the Department of Transportation having first been secured; provided, that this subsection shall not apply to the replacement of lawfully existing tracks. The department shall have the right to refuse its permission or to grant it upon such terms and conditions as it may prescribe.
(2) The department shall have the power to determine and prescribe the manner, including the particular point of crossing, and the terms of installation, operation, maintenance, use and protection of each crossing of one railroad by another railroad or street railroad, and of a street railroad by a railroad and of each crossing of a public road or highway by a railroad or street railroad, and of a street by a railroad or vice versa, and to alter or abolish any such crossing, to restrict the use of such crossings to certain types of traffic in the interest of public safety and is vested with power and it shall be its duty to designate the railroad crossings to be traversed by school buses and motor vehicles carrying passengers for hire, and to require, where in its judgment it would be practicable, a separation of grades at any such crossing heretofore or hereafter established, and to prescribe the terms upon which such separation shall be made and the proportions in which the expense of the alteration or abolition of such crossings or the separation of such grades shall be divided between the railroad or street railroad corporations affected, or between such corporations and the state, county, municipality or other public authority in interest.
(3) Whenever the department shall find that public convenience and necessity demand the establishment, creation or construction of a crossing of a street or highway over, under or upon the tracks or lines of any public utility, the department may by order, decision, rule or decree require the establishment, construction or creation of such crossing, and such crossing shall thereupon become a public highway and crossing.
(4) (a) The commission retains exclusive jurisdiction for the resolution of any dispute upon petition by any person aggrieved by any action of the department pursuant to this section, except as provided under Subsection (4)(b).
(b) If a petition is filed by a person or entity engaged
in a subject activity, as defined in Section
19-3-318
, the commission's decision under Subsection
(4)(a) regarding resolution of a dispute requires the concurrence
of the governor and the Legislature in order to take effect.
1999
54-4-15.1 Signals or devices at grade crossings - Duty to provide.
The Department of Transportation so as to promote the
public safety shall as prescribed in this act provide for
the installing, maintaining, reconstructing, and improving
of automatic and other safety appliances, signals or devices
at grade crossings on public highways or roads over the tracks
of any railroad or street railroad corporation in the state.
1975
54-4-15.2 Signals or devices at grade crossings - Funds for payment of costs.
The funds provided by the state for purposes of this act
shall be used in conjunction with other available moneys,
including those received from federal sources, to pay all
or part of the cost of the installation, maintenance, reconstruction
or improvement of any signals or devices described in Section
54-4-15.1
at any grade crossing of a public highway or
any road over the tracks of any railroad or street railroad
corporation in this state.
1973
54-4-15.3 Signals or devices at grade crossings - Apportionment of costs.
The Department of Transportation, in accordance with the
provisions of Section
54-4-15
, shall apportion the cost of the installation,
maintenance, reconstruction or improvement of any signals
or devices described in Section
54-4-15.1
between the railroad or street railroad and
the public agency involved. Unless otherwise ordered by the
department, the liability of cities, towns and counties to
pay the share of maintenance cost assigned to the local agencies
by the department shall be limited to the funds provided
under this act. Payment of any moneys from the funds provided
shall be made on the basis of verified claims filed with
the Department of Transportation by the railroad or street
railroad corporation responsible for the physical installation,
maintenance, reconstruction or improvement of the signal
or device.
1975
54-4-15.4 Signals or devices at grade crossings - Provision of costs.
The Department of Transportation shall provide in its
annual budget for the costs to be incurred under this act.
1975
54-4-16 Investigation and report of accidents.
The commission shall investigate the cause of all accidents
occurring within this state upon the property of any public
utility, or directly or indirectly arising from or connected
with its maintenance or operation, resulting in loss of life
or injury to persons or property and requiring in the judgment
of the commission investigation by it, and shall have the
power to make such order or recommendation with respect thereto
as in its judgment may seem just and reasonable; provided,
that neither the order nor recommendation of the commission
nor any accident report filed with the commission shall be
admitted as evidence in any action for damage based on or
arising out of the loss of life or injury to person or property
in this section referred to. Every public utility is hereby
required to file with the commission, under such rules and
regulations as the commission may prescribe, a report of
each accident so occurring of such kinds or classes as the
commission may from time to time designate. The Department
of Transportation where private and public carriers are involved
shall have and assume all powers heretofore held by the commission
pursuant to this section; provided that the commission shall
retain exclusive jurisdiction for the resolution of any dispute
upon petition by any person aggrieved by any order of the
department issued pursuant thereto.
1975
54-4-18 Electric, gas, and water service.
The commission shall have power, after a hearing, to ascertain
and fix just and reasonable standards, classifications, regulations,
practices, measurements or service to be furnished, imposed,
observed and followed by all electrical, gas and water corporations;
to ascertain and fix adequate and serviceable standards for
the measurement of quantity, quality, pressure, initial voltage
or other conditions pertaining to the supply of the product,
commodity or service furnished or rendered by any such public
utility; to prescribe reasonable regulations for the examination
and testing of such products, commodity or service, and for
the measurement thereof; to establish reasonable rules, regulations,
specifications and standards to secure the accuracy of all
meters and appliances for measurements; and to provide for
the examination and testing of any and all appliances used
for the measurement of any product, commodity or service
of any such public utility.
1953
54-4-19 Right to enter upon public utility premises.
The commissioners and officers and employees of the commission
and the Department of Transportation, where public carriers
are involved, shall have power to enter upon any premises
occupied by any public utility for the purpose of making
the examinations and tests and exercising any of the other
powers provided for in this title and to set up and use on
such premises any apparatus and appliances necessary therefor.
The agents and employees of such public utility shall have
the right to be present at the making of such examinations
and tests.
1975
54-4-20 Consumer may have meter tested upon paying fee.
Any consumer or user of any product, commodity or service
of a public utility may have any appliance used in the measurement
thereof tested, upon paying the fees fixed by the commission.
The commission shall establish and fix reasonable fees to
be paid for testing such appliances on the request of the
consumer or user; the fee to be paid by the consumer or user
at the time of his request, but to be paid by the public
utility and repaid to the consumer or user under such rules
and regulations as may be prescribed by the commission, if
the appliance is found defective or incorrect to the disadvantage
of the consumer or user.
1953
54-4-21 Valuation of public utilities.
The commission shall have power to ascertain the value
of the property of every public utility in this state and
every fact which in its judgment may or does have any bearing
on such value. The commission shall have power to make revaluations
from time to time and to ascertain the value of new construction,
extensions, and additions to the property of every public
utility; provided, that the valuation of the property of
all public utilities doing business within this state located
in Utah as recorded in accordance with Section
54-4-22
of this chapter shall be considered the actual
value of the properties of said public utilities in Utah
unless otherwise changed after hearings by order of the commission.
In case the commission changes the valuation of the properties
of any public utility said new valuations found by the commission
shall be the valuations of said public utility for all purposes
provided in this chapter.
1953
54-4-22 Statements of valuations - Affidavits - Records of valuation.
The Public Service Commission must on or before the first day of December of each year furnish every public utility doing business in the state of Utah whose rates are based on the valuation of its properties or the amount of its investments with blank forms providing spaces for statements of the valuation of all of the properties of the public utilities located within this state. Said blank forms shall provide for whatever segregation or division of the values of said properties as the commission may require.
Each blank form shall have affixed thereto an affidavit which must be substantially as follows:
"I, ____, do swear that I am ____ (position held), of the ____ (name of company), and that as such I am in a position to know the valuations of both the tangible and intangible properties of the ____ (name of company), located in the state of Utah, and that to the best of my knowledge the above figures represent the true valuations of said properties at 12 noon on the first day of January of the year ____".
Said affidavit in addition to the above must state the principal place of business of the public utility and other information required by the commission.
The Public Service Commission shall require every public utility doing business within the state of Utah whose rates are based on the valuation of its properties or the amount of its investments to declare through its authorized agent on said blank forms the full value of all of the tangible and intangible properties of said utility which are located within the state of Utah, and it shall furthermore require that the valuation of the tangible properties be listed separately from the intangible properties. In making this declaration every public utility may take into consideration any increase or decrease in values of its property during the tax year last past and may raise or lower its declared true values accordingly.
The Public Service Commission shall also require that
this blank form be filed with the commission on or before
a specific date each year to be determined by the commission,
and shall require the affidavit of this blank form to be
signed and sworn to by a duly qualified and acting officer
of the respective public utility in the manner provided by
law. The Public Service Commission shall prepare each year
a book to be called "Record of Valuations of Utility Companies,"
in which must be entered the names of every person, organization,
or corporation engaged in any utility business in Utah together
with the valuation of the tangible and the valuation of the
intangible properties of each of said person, organization,
or corporation as determined and declared by the duly qualified
officers of said public utilities and as declared and filed
in accordance with the provisions of this section or as otherwise
determined by the commission according to law. The Public
Service Commission shall accept the values filed as provided
herein unless otherwise changed by the commission upon evidence
taken by and filed with the commission as the true values
of the tangible and the intangible properties of the public
utility and these last declared values shall be the values
upon which said utility might earn a fair return. Under no
circumstances shall an increase in the rates of any public
utility be found justified by the commission if the increase
shall result in an earning by the respective utility of an
amount greater than a fair return on the value of the properties
of the public utility located in the state of Utah as shown
on the forms provided herein.
2000
54-4-23 Accounts and records of utilities.
The commission shall have power to establish a system
of accounts to be kept by public utilities subject to its
jurisdiction, to classify said public utilities and to establish
a system of accounts for each class and to prescribe the
manner in which such accounts shall be kept. It may also,
in its discretion prescribe the forms of accounts, records
and memoranda to be kept by such public utilities, including
accounts, records and memoranda of the movement of traffic
as well as of the receipts and expenditures of moneys, and
any other forms, records and memoranda which in the judgment
of the commission may be necessary to carry out any of the
provisions of this title. The system of accounts established
by the commission and the forms of accounts, records and
memoranda prescribed by it shall not be inconsistent, in
the case of corporations subject to the provisions of the
Act of Congress entitled, "An Act to Regulate Commerce,"
approved February 4, 1887, and the acts amendatory thereof
and supplementary thereto, with the system and forms from
time to time established for such corporations by the Interstate
Commerce Commission; but nothing herein contained shall affect
the power of the commission to prescribe forms of accounts,
records and memoranda covering information in addition to
that required by the Interstate Commerce Commission. The
commission may, after hearing had upon its own motion or
upon complaint, prescribe by order the accounts in which
particular outlays and receipts shall be entered, charged
or credited. When the commission shall have prescribed the
forms of accounts, records or memoranda to be kept by any
public utility corporation for any of its business it shall
thereafter be unlawful for such public utility to keep any
accounts, records or memoranda for such business other than
those so prescribed or those prescribed by or under the authority
of any other state or of the United States, excepting such
accounts, records or other memoranda as shall be explanatory
of and supplemental to the accounts, records or memoranda
prescribed by the commission.
1953
54-4-24 Depreciation accounts and fund.
The commission shall have power to require any or all
public utilities to carry a proper and adequate depreciation
account in accordance with such rules, regulations and forms
of account as the commission may prescribe. The commission
may from time to time ascertain, determine and, by order,
fix the proper and adequate rates of depreciation of the
several classes of property of each public utility. Each
public utility shall conform its depreciation accounts to
the rates so ascertained, determined and fixed, and shall
set aside the money so provided for out of earnings and carry
the same in a depreciation fund and expend such fund only
for such purposes and under such rules and regulations, both
as to original expenditure and subsequent replacement, as
the commission may prescribe. The income upon investments
of money in such fund shall likewise be carried in such fund.
1953
54-4-25 Certificate of convenience and necessity prerequisite to construction and operation - Electrical suppliers.
(1) Except as provided in Section 11-13-304 , a gas corporation, electric corporation, telephone corporation, telegraph corporation, heat corporation, water corporation, or sewerage corporation may not establish, or begin construction or operation of a line, route, plant, or system or of any extension of a line, route, plant, or system, without having first obtained from the commission a certificate that present or future public convenience and necessity does or will require the construction.
(2) This section may not be construed to require any corporation to secure a certificate for an extension:
(a) within any city or town within which it has lawfully commenced operations;
(b) into territory, either within or without a city or town, contiguous to its line, plant, or system that is not served by a public utility of like character; or
(c) within or to territory already served by it, necessary in the ordinary course of its business.
(3) If any public utility in constructing or extending its line, plant, or system interferes or may interfere with the operation of the line, plant, or system of any other public utility already constructed, the commission, on complaint of the public utility claiming to be injuriously affected, may, after a hearing, make an order and prescribe the terms and conditions for the location of the lines, plants, or systems affected as the commission determines are just and reasonable.
(4) (a) Each applicant for a certificate shall file in the office of the commission evidence as required by the commission to show that the applicant has received the required consent, franchise, or permit of the proper county, city, municipal, or other public authority.
(b) Each applicant, except an interlocal entity defined in Section 11-13-103 , shall also file in the office of the commission a statement that any proposed line, plant, or system will not conflict with or adversely affect the operations of any existing certificated fixed public utility which supplies the same product or service to the public and that it will not constitute an extension into the territory certificated to the existing fixed public utility.
(c) The commission may, after a hearing:
(i) issue the certificate as requested;
(ii) refuse to issue the certificate; or
(iii) issue the certificate for the construction of a portion only of the contemplated line, plant, or system, or extension thereof, or for the partial exercise only of the right or privilege.
(d) The commission may attach to the exercise of the rights granted by the certificate the terms and conditions as in its judgment public convenience and necessity may require.
(e) (i) If a public utility desires to exercise a right or privilege under a franchise or permit which it contemplates securing but which has not yet been granted to it, the public utility may apply to the commission for an order preliminary to the issue of the certificate.
(ii) The commission may make an order declaring that it will upon application, under rules and regulations as it may prescribe, issue the desired certificate upon terms and conditions as it may designate after the public utility has obtained the contemplated franchise or permit.
(iii) Upon presentation to the commission of evidence satisfactory to it that the franchise or permit has been secured by the public utility, the commission shall issue the certificate.
(5) (a) Any supplier of electricity which is brought under the jurisdiction and regulation of the Public Service Commission by this act may file with the commission an application for a certificate of convenience and necessity, giving the applicant the exclusive right to serve the customers it is serving in the area in which it is serving at the time of this filing, subject to the existing right of any other electrical corporation to likewise serve its customers in existence in the area at the time.
(b) The application shall be prima facie evidence of the applicant's rights to a certificate, and the certificate shall be issued within 30 days after the filing, pending which, however, the applicant shall have the right to continue its operations.
(c) Upon good cause shown to the commission by anyone protesting the issuance of such a certificate, or upon the commission's own motion, a public hearing may be held to determine if the applicant has sufficient finances, equipment, and plant to continue its existing service. The commission shall issue its order within 45 days after the hearing according to the proof submitted at the hearing.
(d) Every electrical corporation, save and except those applying for a certificate to serve only the customers served by applicant on May 11, 1965, applying for a certificate shall have established a ratio of debt capital to equity capital or will within a reasonable period of time establish a ratio of debt capital to equity capital which the commission shall find renders the electrical corporation financially stable and which financing shall be found to be in the public interest.
(6) Nothing in this section affects the existing rights
of municipalities.
2002
54-4-26 Contracts calling for expenditures - Commission to approve.
Every public utility when ordered by the commission shall,
before entering into any contract for construction work or
for the purchase of new facilities or with respect to any
other expenditures, submit such proposed contract, purchase
or other expenditure to the commission for its approval;
and, if the commission finds that any such proposed contract,
purchase or other expenditure diverts, directly or indirectly,
the funds of such public utility to any of its officers or
stockholders or to any corporation in which they are interested,
or is not proposed in good faith for the economic benefit
of such public utility, the commission shall withhold its
approval of such contract, purchase or other expenditure,
and may order other contracts, purchases or expenditures
in lieu thereof for the legitimate purposes and economic
welfare of such public utility.
1953
54-4-27 Payment of dividends - Notice - Restraint.
No gas or electric corporation doing business in this
state shall pay any dividend upon its common stock prior
to thirty days after the date of the declaration of such
dividend by the board of directors of such utility corporation.
Within five days after the declaration of such dividend the
management of such corporation shall notify the utilities
commission in writing of the declaration of said dividend,
the amount thereof, the date fixed for payment of the same,
and shall also cause to be published a notice in a newspaper
having general circulation in the city or town where its
principal place of business is located, stating in substance
the contents of the notice herein required to be given the
utilities commission. If the commission, after investigation,
shall find that the capital of any such corporation is being
impaired or that its service to the public is likely to become
impaired or is in danger of impairment, it may issue an order
directing such utility corporation to refrain from the payment
of said dividend until such impairment is made good or danger
of impairment is avoided. The district court of any county
in which said utility is doing business in this state is
authorized upon a suit by the commission to enforce the order
of the commission, and empowered to issue a restraining order
pending final determination of the action.
1953
54-4-28 Merger, consolidation, or combination.
No public utility shall combine, merge nor consolidate
with another public utility engaged in the same general line
of business in this state, without the consent and approval
of the Public Service Commission, which shall be granted
only after investigation and hearing and finding that such
proposed merger, consolidation or combination is in the public
interest.
2001
54-4-29 Acquiring voting stock or securities of like utility only on consent of commission.
Hereafter no public utility shall purchase or acquire
any of the voting securities or the secured obligations of
any other public utility engaged in the same general line
of business without the consent and approval of the Public
Service Commission, which shall be granted only after investigation
and hearing and finding that such purchase and acquisition
of such securities, or obligations, will be in the public
interest.
2001
54-4-30 Acquiring properties of like utility only on consent of commission.
Hereafter no public utility shall acquire by lease, purchase
or otherwise the plants, facilities, equipment or properties
of any other public utility engaged in the same general line
of business in this state, without the consent and approval
of the Public Service Commission. Such consent shall be given
only after investigation and hearing and finding that said
purchase, lease or acquisition of said plants, equipment,
facilities and properties will be in the public interest.
2001
54-4-31 Electrical corporation to issue securities only on consent of commission - Exceptions - Validity of securities.
(1) Except as provided by Subsection (2) or (4), without prior written approval of the commission, no electrical corporation may:
(a) issue any security; or
(b) assume any obligation or liability as guarantor, endorser, surety, or otherwise, for any security of another person relating to the financing of pollution control revenue bonds.
(2) (a) Authorization of the commission is not required for the issuance or renewal of, or assumption of liability on, a note or draft if:
(i) the maturity date of the note or draft is not more than one year after the date of the issue, renewal, or assumption of liability; and
(ii) the aggregate value of the note or draft together with all other outstanding notes and drafts of a maturity of one year or less on which the public utility is primarily or secondarily liable is not more than 5% of the par value of the other outstanding securities of the public utility.
(b) In the case of securities having no par value, the par value for the purpose of this section is the fair market value as of the date of issue.
(3) Any securities issued pursuant to an order entered by authority of this section shall be valid notwithstanding the outcome of any further proceedings, unless:
(a) application for stay is filed with a court of competent jurisdiction within five days following the issuance of the order; and
(b) a stay is entered by the commission or a court of competent jurisdiction within ten days after the order is issued.
(4) The commission may by rule, or by order pursuant to
standards promulgated by rule, exempt any security, class
of securities, electrical corporation, or class of electrical
corporation from the requirement of Subsection (1), subject
to any terms and conditions prescribed in the order or rule,
if it finds that the application of Subsection (1) to the
security, class of securities, electrical corporation, or
class of electrical corporation is not required by the public
interest.
1997
54-4-37 Definitions - Unauthorized charge to account - Penalties - Procedures for verification - Authority of commission and Division of Public Utilities.
(1) For purposes of this section:
(a) "Agents" includes any person representing a public utility for purposes of billing for a service or merchandise from a third-party supplier.
(b) "Billing aggregator" means any person that:
(i) initiates charges;
(ii) combines or aggregates charges from third-party suppliers of services or merchandise; or
(iii) (A) creates bills for account holders; and
(B) passes these bills for the billing of account holders to:
(I) another billing aggregator; or
(II) a public utility.
(c) (i) "Public utility" is as defined in Section 54-2-1 .
(ii) "Public utility" does not include a telecommunications corporation providing only mobile wireless service or Internet access.
(d) "Subscriber" means a person or government or a person acting legally on behalf of a person or government who authorizes a charge from a third-party provider of service or merchandise.
(e) (i) "Third party" means any person other than the account holder and the public utility.
(ii) "Third party" includes:
(A) a billing aggregator;
(B) a public utility;
(C) a nonpublic utility provider of services and merchandise;
(D) those persons billing for services or merchandise; and
(E) those persons verifying a subscriber's authorization.
(iii) "Third party" does not include:
(A) an affiliated or subsidiary company of a public utility whose charges the commission determines by rule would be reasonably associated by a subscriber with the type of charges that would appear on that particular public utility's bill;
(B) a presubscribed local or long distance telecommunications corporation or its affiliated or subsidiary company as to charges for local or long distance telephone, data, or wireless services.
(2) This section does not apply to:
(a) telecommunications services that are used, initiated, or requested by the customer, including dial-around services such as:
(i) 10-10-XXX;
(ii) 1-900 numbers;
(iii) directory assistance;
(iv) operator-assisted calls;
(v) acceptance of collect calls; and
(vi) other casual calling by the customer;
(b) changes in telecommunications providers regulated by Section 54-8b-18 ;
(c) the provision of any charges for financing by an affiliated or subsidiary company of a public utility in connection with the purchase of services or merchandise if there is a written agreement for the financing between the customer and the affiliated or subsidiary company; or
(d) except for Subsections (5) and (6), services provided by any of the following that are billed through a public utility:
(i) a city;
(ii) a town; or
(iii) a county.
(3) Pursuant to this section, a public utility may not charge an account holder for services the account holder never:
(a) ordered; or
(b) knowingly authorized.
(4) A public utility shall ensure that its account holders receive:
(a) identification of a third-party provider of services or merchandise;
(b) upon subscriber request, toll-free numbers to enable a subscriber to contact the third party to resolve disputes;
(c) a clear, concise description of services or merchandise being billed;
(d) highlight or identification of each service or merchandise different from prior billing cycle services or merchandise;
(e) clear identification of the payment amount needed for each service or merchandise to ensure that any public utility service will continue;
(f) prompt and courteous treatment of all disputed charges; and
(g) information abut the provisions in Subsections (5) and (6).
(5) (a) Unless specifically instructed by the account holder, each public utility shall first apply all payments received to the account holder's bill for the public utility's own tariffed utility services.
(b) Any remaining credit after the application of payment under Subsection (5)(a) shall be allocated proportionally to other charges, unless otherwise specified by the account holder.
(6) A public utility may not disconnect or threaten disconnection of any account holder's basic utility service for failure to pay third-party charges.
(7) Accounts receivable purchased by a public utility from third parties may not be treated as public utility charges regardless of the service or product upon which the account receivable is based.
(8) (a) If an account holder informs the public utility that a third-party service or merchandise charge is neither knowingly used nor authorized, or the charge in whole or part is disputed, the public utility shall:
(i) (A) immediately credit the account holder's account for the disputed amount; and
(B) refer the matter back to the third party for collection; or
(ii) suspend the account holder's obligation of payment of the disputed amount until it is determined whether the charge was either knowingly used or authorized.
(b) The public utility may not request the account holder to contact the third party to resolve the dispute prior to applying the credit under Subsection (8)(a).
(c) The disputed charge shall be removed from the public utility's bill to the account holder no later than two billing cycles following the billing cycle during which the complaint or dispute is registered unless it is later determined that the charge was authorized and the account holder is required to pay the charge.
(d) Immediately upon the account holder's first complaint or inquiry, the public utility shall inform the account holder of:
(i) the process provided in this Subsection (8); and
(ii) the account holder's options.
(e) Except as provided in Subsection (8)(c), once the charges have been removed from the account holder's utility bill:
(i) the third party may not use the utility bill to:
(A) rebill the charges; or
(B) further attempt to collect the charge; and
(ii) the public utility may not allow any further collection attempts by the third party to involve the utility bill.
(9) (a) If requested by the account holder, a public utility shall provide the account holder with toll-free numbers supplied by the provider of the service or merchandise, so the account holder may contact the third-party supplier of the services or merchandise billed.
(b) The public utility responsibility prescribed by Subsection (9)(a) applies through all layers of third parties, including:
(i) public utilities;
(ii) service providers;
(iii) merchandise providers;
(iv) affiliate billing companies; or
(v) billing aggregators.
(c) A public utility shall perform due diligence to acquire the information required under this Subsection (9) from any provider for whom it bills.
(10) A third-party provider of services or merchandise may not request a public utility to bill its charges unless and until it:
(a) has provided to the public utility valid toll-free numbers to enable a subscriber to contact the third-party to resolve any disputed charges;
(b) has provided updated toll-free numbers to the public utility upon any change in the numbers; and
(c) has received authorization from the subscriber for the service or merchandise through:
(i) obtaining the subscriber's written authorization;
(ii) having the subscriber's oral authorization verified by an independent verifier; or
(iii) any means provided by rule of the commission.
(11) If the subscriber is not an individual, an authorization shall be valid only if given by an authorized representative of the subscriber.
(12) The written authorization for the service or merchandise described in Subsection (10) shall:
(a) be signed by the subscriber; and
(b) contain a clear, conspicuous, and unequivocal request by the subscriber for the service or merchandise.
(13) The confirmation by a verifier shall, at a minimum:
(a) (i) confirm the subscriber's identity with information unique to the customer; or
(ii) if the customer refuses to provide identifying information, note the fact that the customer would not provide the identifying information;
(b) confirm that the subscriber requests the service or merchandise be provided by the third party; and
(c) confirm that the subscriber has the authority to request the service or merchandise be provided by the third party.
(14) A verifier shall meet each of the following:
(a) any criteria set for verifiers by the commission;
(b) not be directly or indirectly managed, controlled, directed, or owned wholly or in part by:
(i) the public utility on whose bill the charge will appear;
(ii) a third-party provider;
(iii) an agent of a public utility or third-party provider that seeks to provide the service or merchandise;
(iv) a person who directly owns or indirectly manages, controls, directs, or owns more than 5% of the public utility or third-party provider described in Subsection (14)(b)(i) or (ii);
(v) the marketing entity that seeks to market the third-party provider's service or merchandise; or
(vi) any person who directly or indirectly manages, controls, or owns more than 5% of the marketing entity described in Subsection (14)(b)(v);
(c) operate from facilities physically separated from those facilities of:
(i) the public utility on whose bill the charge will appear;
(ii) the third party or its agents that seek to provide the service or merchandise to the subscriber; or
(iii) the marketing entity that seeks to market the third-party provider's service or merchandise to the subscriber; and
(d) not derive commissions or compensation based upon the number of authorizations verified.
(15) A verifier that obtains the subscriber's oral verification regarding the change shall record that verification by obtaining the appropriate verification data.
(16) (a) The record verifying a subscriber's request for a third-party to provide services or merchandise shall be available to the subscriber upon request.
(b) Information obtained from the subscriber through verification may not be used for any other purpose.
(c) Any intentional unauthorized release of the information in violation of Subsection (16)(b) is grounds for:
(i) penalties or other action by the commission; or
(ii) remedies provided by law to the aggrieved subscriber against any of the following who is responsible for the violation:
(A) the third-party provider;
(B) the verifier;
(C) an agent or employee of the third-party provider or verifier.
(17) The verification shall occur in the same language as that in which the request was solicited.
(18) Each public utility shall allow account holders to prohibit the public utility from billing for all or selected third parties for services or merchandise.
(19) (a) Each public utility shall maintain monthly records of the number of complaints about unauthorized charges that appear on a public utility bill.
(b) The records described in Subsection (19)(a) shall be available to the commission upon request.
(20) (a) Proceedings for violations of this section may be commenced by request for agency action filed with the commission by:
(i) an account holder;
(ii) a public utility;
(iii) the Division of Public Utilities; or
(iv) the commission on the commissioner's own motion.
(b) The remedies provided by this chapter are not exclusive and are in addition to all other causes of action, remedies, and penalties provided by law.
(21) Any public utility, its agents, or a third-party provider of goods or services who violates this section or rules adopted to implement this section shall be subject to Sections 54-7-23 through 54-7-29 .
(22) The Division of Public Utilities shall have power to seek injunctive relief to stop repeated unauthorized violations of this section by a public utility or a third-party provider of service or merchandise.
(23) The commission is granted authority to:
(a) enforce this section; and
(b) implement rules to carry out the requirements of the
section.
2001
