Session of 1998
SENATE BILL No. 589
By Committee on Utilities
2-4
9
AN ACT concerning electric cooperative public
utilities; relating to juris-
10 diction of the state
corporation commission; amending K.S.A. 66-104d
11 and repealing the
existing section.
12
13 Be it enacted by the Legislature of the
State of Kansas:
14 Section 1. K.S.A.
66-104d is hereby amended to read as follows:
15 66-104d. (a) As used in this section,
``cooperative'' means any cooperative,
16 as defined by K.S.A. 17-4603 and amendments
thereto, which has fewer
17 than 15,000 customers and which
provides power principally at retail or
18 any nonstock member-owned cooperative
corporation incorporated and
19 providing electric power in the state of
Kansas.
20 (b) Except as otherwise
provided in subsection (f), a cooperative may
21 elect to be exempt from the jurisdiction,
regulation, supervision and con-
22 trol of the state corporation commission by
complying with the provisions
23 of subsection (c).
24 (c) To be exempt under
subsection (b), a cooperative shall poll its
25 members as follows:
26 (1) An election under
this subsection may be called by the board of
27 trustees or board of directors or
shall be called not less than 180 days
28 after receipt of a valid petition signed by
not less than 10% of the mem-
29 bers of the cooperative.
30 (2) The proposition for
deregulation shall be presented to a meeting
31 of the members, the notice of which shall
set forth the proposition for
32 deregulation and the time and place of the
meeting. Notice to the mem-
33 bers shall be written and delivered not
less than 21 nor more than 45
34 days before the date of the meeting.
35 (3) If the cooperative
mails information to its members regarding the
36 proposition for deregulation other than
notice of the election and the
37 ballot, the cooperative shall also include
in such mailing any information
38 in opposition to the proposition that is
submitted by petition signed by
39 not less than 1% of the cooperative's
members. All expenses incidental
40 to mailing the additional information,
including any additional postage
41 required to mail such additional
information, must be paid by the sig-
42 natories to the petition.
43 (4) If the proposition
for deregulation is approved by the affirmative
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1 vote of not less than a majority of
the members voting on the proposition,
2 the cooperative shall notify the
state corporation commission in writing
3 of the results within 10 days after
the date of the election.
4 (5) Voting on the
proposition for deregulation shall be by mail ballot.
5 (d) A cooperative
exempt under this section may elect to terminate
6 its exemption in the same manner as
prescribed in subsection (c).
7 (e) An election
under subsection (c) or (d) may be held not more
8 often than once every two years.
9 (f) Nothing in
this section shall be construed to affect the single cer-
10 tified service territory of a cooperative
or the authority of the state cor-
11 poration commission, as otherwise provided
by law, over a cooperative
12 with regard to service territory, charges
for transmission services, sales of
13 power for resale not
under the direction of an agency of the federal gov-
14 ernment, wire stringing and
transmission line siting, pursuant to K.S.A.
15 66-131, 66-183, 66-1,170 et seq. or
66-1,177 et seq., and amendments
16 thereto.
17
(g) (1) Notwithstanding a cooperative's election to be
exempt under
18 this section, the commission shall
investigate all rates, joint rates, tolls,
19 charges and exactions, classifications and
schedules of rates of such co-
20 operative if there is filed with the
commission, not more than one year
21 after a change in such cooperative's rates,
joint rates, tolls, charges and
22 exactions, classifications or schedules of
rates, a petition signed by not
23 less than 5% of all the cooperative's
customers or 3% of the cooperative's
24 customers from any one rate class or by
not less than 40% of the members
25 of a generation and transmission
cooperative. If, after investigation, the
26 commission finds that such rates, joint
rates, tolls, charges or exactions,
27 classifications or schedules of rates are
unjust, unreasonable, unjustly dis-
28 criminatory or unduly preferential, the
commission shall have the power
29 to fix and order substituted therefor such
rates, joint rates, tolls, charges
30 and exactions, classifications or schedules
of rates as are just and reason-
31 able.
32 (2) The cooperative's
rates, joint rates, tolls, charges and exactions,
33 classifications or schedules of rates
complained of shall remain in effect
34 subject to change or refund pending the
state corporation commission's
35 investigation and final order.
36 (3) Any customer of a
cooperative wishing to petition the commission
37 pursuant to subsection (g)(1) may request
from the cooperative the
38 names, addresses and rate classifications
of all the cooperative's customers
39 or of the cooperative's customers from any
one or more rate classes. The
40 cooperative, within 21 days after receipt
of the request, shall furnish to
41 the customer the requested names, addresses
and rate classifications and
42 may require the customer to pay the
reasonable costs thereof.
43 (h) (1) If a
cooperative is exempt under this section, not less than 10
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1 days' notice of the time and place of
any meeting of the board of trustees
2 at which rate changes are to be
discussed and voted on shall be given to
3 all members of the cooperative and
such meeting shall be open to all
4 members.
5 (2) Violations of
subsection (h)(1) shall be subject to civil penalties
6 and enforcement in the same manner as
provided by K.S.A. 75-4320 and
7 75-4320a, and amendments thereto, for
violations of K.S.A. 75-4317 et
8 seq. and amendments
thereto.
9
Sec. 2. K.S.A. 66-104d is hereby repealed.
10 Sec. 3. This act
shall take effect and be in force from and after its
11 publication in the statute book.
12