Senate Bill No. 210–Committee on Commerce and Labor

 

(On Behalf of Public Utilities Commission of Nevada)

 

February 20, 2001

____________

 

Referred to Committee on Commerce and Labor

 

SUMMARY—Makes various changes concerning regulation of utilities. (BDR 58‑540)

 

FISCAL NOTE:            Effect on Local Government: No.

                                    Effect on the State: No.

 

~

 

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

 

AN ACT relating to utilities; revising provisions governing the establishment of the rates of certain utilities; authorizing the release of certain accident reports under certain circumstances; revising provisions governing applications for changes to railroad crossings; changing the dates for the calculation and payment of assessments by railroads; revising provisions governing the adoption of water conservation and incentive plans by utilities; revising provisions governing the provision of utility services to mobile home parks and company towns to include services from alternative sellers; providing for the acquisition of utility services by mobile home parks from alternative sellers; and providing other matters properly relating thereto.

 

THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN

SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:

 

1-1    Section 1. NRS 704.095 is hereby amended to read as follows:

1-2    704.095  The commission shall adopt regulations which provide a

1-3  simplified procedure or methodology for a change of rates for those public

1-4  utilities which furnish water or services for the disposal of sewage, or both,

1-5  to persons within this state for compensation, and which:

1-6    1.  Serve 3,000 or fewer persons; and

1-7    2.  Had during the immediately preceding 12-month period gross sales

1-8  for water or services for the disposal of sewage, or both, amounting to

1-9  $1,000,000 or less.

1-10    Sec. 2.  NRS 704.190 is hereby amended to read as follows:

1-11    704.190  1.  Every public utility operating in this state shall, whenever

1-12  an accident occurs in the conduct of its operation causing death, give

1-13  prompt notice thereof to the commission, in such manner and within such

1-14  time as the commission may prescribe. If , in its judgment , the public

1-15  interest requires it, the commission may cause an investigation to be made

2-1  forthwith of any accident, at such place and in such manner as the

2-2  commission deems best.

2-3    2.  Every such public utility shall report to the commission, at the time,

2-4  in the manner and on such forms as the commission by its printed rules and

2-5  regulations prescribes, all accidents happening in this state and occurring

2-6  in, on or about the premises, plant, instrumentality or facility used by any

2-7  such utility in the conduct of its business.

2-8    3.  The commission shall adopt all reasonable rules and regulations

2-9  necessary for the administration and enforcement of this section. The rules

2-10  and regulations must [in any event] require that all accidents required to be

2-11  reported pursuant to this section be reported to the commission at least

2-12  once every calendar month by such officer or officers of the utility as the

2-13  commission directs.

2-14    4.  The commission shall adopt and utilize all accident report forms,

2-15  which [forms] must be so designed as to provide a concise and accurate

2-16  report of the accident . [and which]  The report must [in any event] show

2-17  the true cause of the accident. The accident report forms adopted for the

2-18  reporting of railroad accidents must  , as near as practicable, be the same

2-19  in design as [near as may be as] the railroad accident report forms provided

2-20  and used by the Surface Transportation Board.

2-21    5.  If any accident is reported to the commission [is reported] by the

2-22  utility as being caused by or through the negligence of an employee and

2-23  thereafter the employee is absolved from such negligence by the utility and

2-24  found not to be responsible for the accident, that fact must be reported by

2-25  the utility to the commission.

2-26    6.  All accident reports required pursuant to this section must be filed in

2-27  the office of the commission and there preserved. Notwithstanding any

2-28  [other provisions of law,]  specific statute to the contrary, neither any

2-29  accident report made as required by this chapter, nor any report of the

2-30  commission made pursuant to [any accident investigation made by it,]  its

2-31  investigation of an accident, may be open to public inspection or disclosed

2-32  to any person, except , upon request, to a governmental agency or the

2-33  utility that filed the accident report, or upon order of the commission, nor

2-34  may [either or any of the reports,]  any such report, or any portion thereof,

2-35  be admitted as evidence or used for any purpose in [any]  a suit or action

2-36  for damages growing out of any matter mentioned in the [accident report or

2-37  report of any such investigation.] report.

2-38    7.  If a utility or governmental agency receives a report concerning

2-39  the utility pursuant to subsection 6 and the utility does not disclose the

2-40  information contained in the report or otherwise waives the

2-41  confidentiality of that information:

2-42    (a) The information received by the utility or a governmental agency

2-43  remains confidential; and

2-44    (b) The information may not be admitted as evidence or used for any

2-45  purpose in a suit or action for damages growing out of any matter

2-46  mentioned in the report.

2-47    Sec. 3.  NRS 704.300 is hereby amended to read as follows:

2-48    704.300  1.  After an investigation and hearing[,] which has been

2-49  initiated either upon the commission’s own motion[,] or as the result of the

3-1  filing of a formal application or complaint by the department of

3-2  transportation, the board of county commissioners of any county, the town

3-3  board or council of any town or municipality, or any railroad company, the

3-4  commission may determine, and order for the safety of the traveling public:

3-5    (a) The elimination, alteration, addition or change of a highway crossing

3-6  or crossings over any railroad at grade, or above or below grade, including

3-7  its approaches and surface.

3-8    (b) Changes in the method of crossing at grade, or above or below

3-9  grade.

3-10    (c) The closing of a crossing and the substitution of another therefor.

3-11    (d) The removal of obstructions to the public view in approaching any

3-12  crossing.

3-13    (e) Such other details of use, construction and operation as may be

3-14  necessary to make grade-crossing elimination, changes and betterments for

3-15  the protection of the public and the prevention of accidents effective.

3-16    2.  A formal application must be filed with the commission by the

3-17  department of transportation, the board of county commissioners of any

3-18  county, the town board or council of any town or municipality, or any

3-19  railroad company to:

3-20    (a) Eliminate, alter, add or change a highway crossing or crossings

3-21  over any railroad at grade, or above or below grade, including its

3-22  approaches and surface;

3-23    (b) Add or remove a traffic lane through a crossing;

3-24    (c) Add an active warning device to a crossing that does not have such

3-25  a device;

3-26    (d) Remove an active warning device at a crossing;

3-27    (e) Realign a roadway or track through a crossing, if the realignment

3-28  is more than 20 degrees from its current alignment; or

3-29    (f) Make any changes to the elevation of a track.

3-30  The commission shall act on an application filed pursuant to this

3-31  subsection within 6 months after the date on which it receives the

3-32  application.

3-33    3.  The commission shall order that the cost of any elimination,

3-34  removal, addition, change, alteration or betterment so ordered must be

3-35  divided and paid in such proportion by the state, county, town or

3-36  municipality and the railroad or railroads interested as is provided

3-37  according to the circumstances occasioning the cost, in NRS 704.305.

3-38    [3.] 4. All costs incurred by reason of any hearing held under this

3-39  section before the commission, including , but not limited to the

3-40  publication of notices, reporting, transcripts and rental of a hearing room,

3-41  must be apportioned 50 percent to the governmental unit or units affected

3-42  and 50 percent to the railroad or railroads.

3-43    Sec. 4.  NRS 704.309 is hereby amended to read as follows:

3-44    704.309  1.  The commission shall levy and collect an annual

3-45  assessment from each railroad subject to the jurisdiction of the commission

3-46  that transports cargo into, out of or through this state to support the

3-47  activities of the commission relating to railroad safety.

3-48    2.  The annual assessment levied on railroads:

4-1    (a) Must be equal to the costs incurred by the commission that are not

4-2  offset by the fees paid pursuant to NRS 459.512.

4-3    (b) Must be not more than 1 cent per ton of cargo transported by the

4-4  railroads into, out of or through this state during the immediately preceding

4-5  calendar year.

4-6    3.  On or before [August] September 1 of each year, the commission

4-7  shall:

4-8    (a) Calculate the amount of the assessment to be levied pursuant to this

4-9  section for the previous fiscal year; and

4-10    (b) Mail to each railroad subject to the provisions of this section to the

4-11  current address of the railroad on file with the commission a notice

4-12  indicating the amount of the assessment. The failure of the commission to

4-13  so notify a railroad does not invalidate the assessment.

4-14    4.  An assessment levied pursuant to this section is due on or before

4-15  [October] November 1 of each year. Each railroad that is subject to the

4-16  provisions of this section which fails to pay the assessment on or before

4-17  [November] December 1, shall pay, in addition to the assessment, a penalty

4-18  of 1 percent of the total unpaid balance for each month or portion thereof

4-19  that the assessment is delinquent or $10, whichever is greater, except that

4-20  no penalty may exceed $1,000 for each delinquent payment.

4-21    5.  If a railroad sells or transfers its certificate of public convenience

4-22  and necessity or sells or transfers substantially all of its assets, the

4-23  commission shall calculate, levy and collect the accrued assessment for the

4-24  current year not later than 30 days after the sale or transfer, unless the

4-25  purchaser or transferee has assumed liability for the assessment. For the

4-26  purposes of this subsection, the jurisdiction of the commission over the sale

4-27  or transfer of a railroad continues until the assessment of the railroad has

4-28  been paid.

4-29    6.  The commission may bring an appropriate action in its own name

4-30  for the collection of any assessment and penalty that is not paid pursuant to

4-31  this section.

4-32    Sec. 5.  NRS 704.662 is hereby amended to read as follows:

4-33    704.662  1.  Except as otherwise provided in subsection 5, each public

4-34  utility which furnishes, for compensation, any water for municipal,

4-35  industrial or domestic purposes shall adopt a plan of water conservation

4-36  based on the climate and the living conditions in its service area in

4-37  accordance with the provisions of NRS 704.6622. The provisions of the

4-38  plan must only apply to the public utility’s property and its customers.

4-39    2.  As part of the procedure of adopting a plan, the public utility shall

4-40  provide an opportunity for any interested party, including, but not limited

4-41  to, any private or public entity that supplies water for municipal, industrial

4-42  or domestic purposes, to submit written views and recommendations on the

4-43  plan.

4-44    3.  Except as otherwise provided in subsection 6, the plan:

4-45    (a) Must be available for inspection by members of the public during

4-46  office hours at the office of the public utility; and

4-47    (b) May be revised from time to time to reflect the changing needs and

4-48  conditions of the service area. Each such revision must be filed with the

5-1  commission and made available for inspection by members of the public

5-2  within 30 days after its adoption.

5-3    4.  [The plan must be submitted to the commission on or before July 1,

5-4  1992. The commission shall review the plan for compliance with this

5-5  section within 30 days after its submission.] The plan must be approved by

5-6  the commission before it is put into effect.

5-7    5.  In lieu of adopting a plan pursuant to subsection 1, a public utility

5-8  which is subject to the provisions of NRS 704.095 may elect to comply

5-9  with a plan of water conservation adopted by the commission for this

5-10  purpose.

5-11    6.  If the public utility is required by order of the commission to file a

5-12  management plan for water resources, the public utility may adopt and file

5-13  the plan of water conservation with the commission at the same time it is

5-14  required to file the management plan for water resources.

5-15    Sec. 6.  NRS 704.6624 is hereby amended to read as follows:

5-16    704.6624  1.  Each public utility which furnishes, for compensation,

5-17  any water for municipal, industrial or domestic purposes shall[, on or

5-18  before July 1, 1992,] adopt a plan to provide incentives:

5-19    (a) To encourage water conservation in its service area;

5-20    (b) To retrofit existing structures with plumbing fixtures designed to

5-21  conserve the use of water; and

5-22    (c) For the installation of landscaping that uses a minimal amount of

5-23  water.

5-24    2.  As part of the procedure of adopting a plan, the public utility shall

5-25  provide an opportunity for any interested person to submit written views

5-26  and recommendations on the plan.

5-27    3.  The plan:

5-28    (a) Must be available for inspection by members of the public during

5-29  office hours at the office of the public utility; and

5-30    (b) May be revised from time to time to reflect the changing needs and

5-31  conditions of the service area. Each such revision must be filed with the

5-32  commission and made available for inspection by members of the public

5-33  within 30 days after its adoption.

5-34    4.  The commission shall review the plan for compliance with this

5-35  section within 30 days after its submission. The plan must be approved by

5-36  the commission before it is put into effect.

5-37    Sec. 7.  NRS 704.905 is hereby amended to read as follows:

5-38    704.905  As used in NRS [704.910] 704.905 to 704.960, inclusive:

5-39    1.  “Alternative seller” includes:

5-40    (a) For electric services, an alternative seller as that term is defined in

5-41  NRS 704.967; and

5-42    (b) For gas services, an alternative seller as that term is defined in

5-43  NRS 704.994.

5-44    2. “Company town” means a community whose primary purpose is to

5-45  provide housing to employees of a person who owns not less than 70

5-46  percent of the dwellings, and may include commercial or other supporting

5-47  establishments.

5-48    [2.] 3. “Dwelling” includes a commercial or other supporting

5-49  establishment.

6-1    [3.] 4. “Utility” includes a public utility and all city, county or other

6-2  governmental entities which provide electric, gas or water service to a

6-3  mobile home park or a company town.

6-4    Sec. 8.  NRS 704.910 is hereby amended to read as follows:

6-5    704.910  1.  The provisions of NRS 704.910 to 704.960, inclusive,

6-6  apply to mobile home parks governed by the provisions of chapters 118B

6-7  and 461A of NRS, utilities and alternative sellers which provide utility

6-8  service to those parks and landlords who operate those parks.

6-9    2.  A utility or an alternative seller which provides gas, water or

6-10  electricity to any landlord exclusively for distribution or resale to tenants

6-11  residing in mobile homes or for the landlord’s residential use shall not

6-12  charge the landlord for those services at a rate higher than the current rates

6-13  offered by the utility or alternative seller, as appropriate, to its residential

6-14  customers.

6-15    Sec. 9.  NRS 704.920 is hereby amended to read as follows:

6-16    704.920  1.  The provisions of NRS 704.920 to 704.960, inclusive,

6-17  apply to company towns, utilities and alternative sellers which provide

6-18  utility services to company towns, and persons who own and operate

6-19  company towns.

6-20    2.  The commission shall require a public utility or an alternative

6-21  seller, as appropriate, which provides [service] utility services to a mobile

6-22  home park or to a company town, or an independent person who is

6-23  qualified, to conduct examinations to examine and test the lines and

6-24  equipment for distributing electricity and gas within the park or town at the

6-25  request of the manufactured housing division of the department of business

6-26  and industry or a city or county which has responsibility for the

6-27  enforcement of the provisions of chapter 461A of NRS. The utility[,] or

6-28  alternative seller, the person selected to conduct the examination and the

6-29  commission may enter a mobile home park or company town at reasonable

6-30  times to examine and test the lines and equipment, whether or not they are

6-31  owned by a utility[.] or an alternative seller.

6-32    3.  The utility or alternative seller, as appropriate, or the person

6-33  selected to conduct the examination , shall conduct the examination and

6-34  testing to determine whether any line or equipment is unsafe for service

6-35  under the safety standards adopted by the commission for the maintenance,

6-36  use and operation of lines and equipment for distributing electricity and

6-37  gas, and shall report the results of the examination and testing to the

6-38  commission.

6-39    4.  The owner of the mobile home park or company town shall pay for

6-40  the costs of the examination and testing.

6-41    5.  If the landlord of a mobile home park or owner of a company town

6-42  refuses to allow the examination and testing to be made as provided in this

6-43  section, the commission shall deem the unexamined lines and equipment to

6-44  be unsafe for service.

6-45    6.  If the commission finds:

6-46    (a) Or deems any lines or equipment within a mobile home park or

6-47  company town to be unsafe for service, it shall take appropriate action to

6-48  protect the safety of the residents of the park or town.

7-1    (b) Such lines or equipment to be unsafe for service or otherwise not in

7-2  compliance with its safety standards, it may, after a hearing, order the

7-3  landlord or owner to repair or replace such lines and equipment. For this

7-4  purpose [he] , the landlord or owner may expend some or all of the money

7-5  in his account for service charges for utilities, which he is required to keep

7-6  under NRS 704.940.

7-7    Sec. 10.  NRS 704.930 is hereby amended to read as follows:

7-8    704.930  If a utility [furnishes] or an alternative seller provides a

7-9  utility service to a mobile home park or company town and the landlord of

7-10  the park or owner of the town charges his tenants or the occupants of his

7-11  dwellings for that service, [he] the landlord or owner shall:

7-12    1.  Provide that service to his tenants or the occupants of his dwellings

7-13  in a manner which is consistent with the utility’s tariffs on file with the

7-14  commission , if applicable, and any law, ordinance or governmental

7-15  regulation relating to the provision of [those services.] that service. The

7-16  landlord or owner of the town shall not interrupt such a service for

7-17  nonpayment of charges unless the interruption is performed in a manner

7-18  which is consistent with the utility’s tariffs on file with the commission , if

7-19  applicable, and any law, ordinance or governmental regulation relating to

7-20  the manner of interrupting such a service for nonpayment of charges.

7-21    2.  Not more than 5 days after he receives notice of a proposed increase

7-22  in the [utility’s rates,] rates of the utility service, give notice to his tenants

7-23  or those occupants of the proposed increase.

7-24    Sec. 11.  NRS 704.940 is hereby amended to read as follows:

7-25    704.940  1.  In a mobile home park or company town where the

7-26  landlord or owner is billed by a gas or electric utility or an alternative

7-27  seller and in turn charges the tenants or occupants of the dwellings for the

7-28  service provided by the utility[,] or alternative seller, and the park or

7-29  town:

7-30    (a) Is equipped with individual meters for each lot, the landlord or

7-31  owner shall not charge a tenant or occupant for that service at a rate higher

7-32  than the rate paid by the landlord or owner.

7-33    (b) Is not equipped with individual meters for each lot, the landlord or

7-34  owner shall prorate the cost of the service equally among the tenants of the

7-35  park or occupants of the dwellings who use the service, but the prorated

7-36  charges must not exceed in the aggregate the cost of the service to the

7-37  landlord or owner.

7-38    2.  In a mobile home park or company town that:

7-39    (a) Is equipped with individual water meters for each lot, the individual

7-40  meters must be read and billed by the purveyor of the water.

7-41    (b) Is not equipped with individual water meters for each lot and the

7-42  landlord or owner is billed by the purveyor of the water and in turn charges

7-43  the tenants or occupants of the dwellings for the service provided by the

7-44  purveyor, the landlord or owner shall prorate the cost of the service equally

7-45  among the tenants of the park or occupants of the dwellings who use the

7-46  service, but the prorated charges must not exceed in the aggregate the cost

7-47  of the service to the landlord or owner.

7-48  The landlord or owner of a mobile home park that converts from a master-

7-49  metered water system to individual water meters for each mobile home lot

8-1  shall not charge or receive any fee, surcharge or rent increase to recover

8-2  from his tenants the costs of the conversion. The owner of a company town

8-3  that is not equipped with individual water meters shall not convert from the

8-4  master-metered water system to individual water meters.

8-5    3.  To the extent that the cost of providing a utility service to the

8-6  common area of a mobile home park or company town can be identified,

8-7  the landlord or owner may not recover the cost of [service provided by] the

8-8  utility service provided to the common area by directly charging a tenant or

8-9  the occupant of a dwelling for those services.

8-10    4.  The landlord of a mobile home park or owner of a company town

8-11  may assess and collect a charge to reimburse him for the actual cost of the

8-12  service charge he is required to pay to a water utility serving the park or

8-13  town. If he collects such a charge, he shall prorate the actual cost of the

8-14  service charge to the tenants or occupants of dwellings who use the service.

8-15  He shall not collect more than the aggregate cost of the service to him.

8-16    5.  The landlord may assess and collect a service charge [for gas and

8-17  electric utilities] from the tenants of the park[,] for the provision of gas

8-18  and electric utility services, but the amount of the charge must not be more

8-19  than the tenants would be required to pay the [serving utility.] utility or

8-20  alternative seller providing the service. The landlord shall:

8-21    (a) Keep the money from the service charges in a separate account and

8-22  expend it only for federal income taxes which must be paid as a result of

8-23  the collection of the service charge, for preventive maintenance or for

8-24  repairing or replacing utility lines or equipment when ordered or granted

8-25  permission to do so by the commission; and

8-26    (b) Retain for at least 3 years a complete record of all deposits and

8-27  withdrawals of money from the account and file the record with the

8-28  commission on or before March 30 of each year.

8-29    6.  Money collected by the landlord or owner for service provided by a

8-30  utility or an alternative seller to the tenants of a mobile home park or

8-31  occupants of the dwellings may not be used to maintain, repair or replace

8-32  utility lines or equipment serving the common area of the mobile home

8-33  park or company town.

8-34    7.  The owner of a company town who provides a utility service

8-35  directly to the occupants of the town may charge the occupants their pro

8-36  rata share of his cost of providing that service. Where meters are available,

8-37  the pro rata share must be based on meter readings. Where meters are not

8-38  available, the owner shall determine a fair allocation which must be

8-39  explained in detail to the commission in the reports required by NRS

8-40  704.960. The commission may modify the allocation in accordance with its

8-41  regulations if it determines the owner’s method not to be fair. The

8-42  commission shall adopt regulations governing the determination of the

8-43  costs which an owner of a company town may recover for providing a

8-44  utility service directly to the occupants of that town and the terms and

8-45  conditions governing the provision of that service.

8-46    8.  The landlord or owner shall itemize all charges for [utilities] utility

8-47  services on all bills for rent or occupancy. [He] The landlord or owner

8-48  may pass through to the tenant or occupant any increase in a rate for a

9-1  utility service and shall pass through any decrease in a charge for a utility

9-2  service as it becomes effective.

9-3    9.  The landlord or owner shall retain for at least 3 years a copy of all

9-4  billings for [utilities] utility services made to his tenants or the occupants of

9-5  his dwellings and shall make these records available upon request to the

9-6  commission for verification of charges made for [utilities.] utility services.

9-7    10.  A landlord whose interest in a mobile home park terminates for

9-8  any reason shall transfer to his successor in interest any balance remaining

9-9  in the account for service charges for utilities. Evidence of the transfer

9-10  must be filed with the commission.

9-11    11.  The commission may at any time examine all books and records

9-12  which relate to the landlord’s or owner’s purchase of or billing for a

9-13  service provided by a utility or an alternative seller if he is charging the

9-14  tenants of the mobile home park or occupants of the dwellings for that

9-15  service.

9-16    Sec. 12.  NRS 461A.230 is hereby amended to read as follows:

9-17    461A.230  1.  Each mobile home park constructed after July 1, 1981,

9-18  but before October 1, 1989, must provide direct electrical and gas service

9-19  from [the] a utility or an alternative seller to each lot if those services are

9-20  available.

9-21    2.  Each mobile home park constructed after October 1, 1989, must

9-22  provide direct:

9-23    (a) Electrical and gas service from a public utility or an alternative

9-24  seller, or a city, county or other governmental entity which provides

9-25  electrical or gas service, to each lot if those services are available.

9-26    (b) Water service from a public utility or a city, county or other

9-27  governmental entity which provides water service, the provisions of NRS

9-28  704.230 notwithstanding, to the park if that service is available.

9-29    3.  In a county whose population is 400,000 or more, each mobile home

9-30  park constructed after October 1, 1995, must provide direct water service,

9-31  as provided in paragraph (b) of subsection 2, that is connected to individual

9-32  meters for each lot. The individual meters must be installed in compliance

9-33  with any uniform design and construction standards adopted by the public

9-34  utility or city, county or other governmental entity which provides water

9-35  service in the county.

9-36    4.  As used in this section, “alternative seller” includes:

9-37    (a) For electric services, an alternative seller as that term is defined in

9-38  NRS 704.967; and

9-39    (b) For gas services, an alternative seller as that term is defined in

9-40  NRS 704.994.

9-41    Sec. 13.  1.  This section and section 4 of this act become effective on

9-42  July 1, 2001.

9-43    2.  Sections 1, 2, 3 and 5 to 12, inclusive, of this act become effective

9-44  on October 1, 2001.

 

9-45  H