HB0818ham002 95TH GENERAL ASSEMBLY

Rep. Kevin Joyce

Filed: 4/25/2007

09500HB0818ham002 LRB095 08558 MJR 35429 a

AMENDMENT TO HOUSE BILL 818

AMENDMENT NO. ______. Amend House Bill 818, AS AMENDED, by replacing everything after the enacting clause with the following:

"Section 5. The Public Utilities Act is amended by adding Sections 16-131 and 16-132 as follows:

(220 ILCS 5/16-131 new)

Sec. 16-131. Prohibition against the installation, operation, and maintenance of electric distribution facilities and equipment.

(a) The General Assembly finds that the installation, maintenance, and operation of electric distribution facilities and equipment has traditionally been performed by electric utility employees and personnel of electric utility contractors who have the requisite skills, training, and experience to properly and safely install, maintain, and operate these facilities and equipment. The General Assembly further finds that it is unjust and unreasonable and a public safety and system reliability hazard for retail customers or persons or entities on their behalf to install, maintain or operate electric distribution facilities or equipment.

(b) For purposes of this Section:

"Retail customer", "alternative retail electric supplier", and "electric utility" have the same meanings as those terms are defined in Section 16-102 of the Public Utilities Act.

"Electric distribution facilities and equipment" means any and all of the facilities and equipment, including, but not limited to, substations, distribution feeder circuits, switches, protective equipment, primary circuits, distribution transformers, line extensions and service extensions both above or below ground, conduit, risers, elbows, transformer pads, junction boxes, manholes, pedestals, conductors, and all associated fittings that connect the transmission system to either the weatherhead on the retail customer's building or other structure for above ground service or to the terminals on the meter base of the retail customer's building or other structure for below ground service.

(c) Notwithstanding any law, tariff or Commission rule, order, or decision to the contrary, no electric utility shall allow a retail customer or any person, corporation, or agent on behalf of such customer to install, operate, or maintain any electric distribution facilities and equipment. The installation, operation, and maintenance of any electric distribution facilities and equipment shall be the obligation of the electric utility that provides delivery services to the retail customer.

(d) Subsection (c) of this Section shall not apply to a retail customer of a municipal system or electric cooperative as the terms "municipal system" and "electric cooperative" are respectively defined in Sections 3-119 and 16-102 of the Public Utilities Act.

(e) Subsection (c) of this Section shall not apply to a retail customer if that retail customer:

(1) receives electric energy or power to engage primarily in industrial, manufacturing, or large commercial activities of any kind, including activities ancillary or incidental thereto, and that retail customer receives at a point of delivery electric energy or power at a voltage of 2400 volts or greater; or

(2) is an alternative retail electric supplier using its own electric distribution facilities and equipment to serve its customers.

Nothing in this subsection (e) shall be construed to permit the retail customer to own, install, operate, or maintain the meter used by the electric utility or alternative retail electric supplier used to measure the electric power or energy usage of the retail customer. For purposes of this subsection (e), a "point of delivery" means the point at which the electric utility or alternative retail electric supplier providing electric distribution facilities and equipment connects its facilities and equipment to the electric distribution facilities and equipment owned or rented by the retail customer, without regard to the location or ownership of transformers, substations, or meters.

(f) The employees of an electric utility, including the collective bargaining representative or representatives of such employees, that are obligated to install, operate, or maintain electric distribution facilities and equipment shall have an independent statutory cause of action under State law to file a complaint against an electric utility, retail customer or person, corporation, or agent acting on behalf of a retail customer in circuit court for alleged violations of subsection (c) of this Section.

The employees of an electric utility, including the collective bargaining representative or representatives of such employees, may file a complaint in the circuit court of Cook, Sangamon, or Madison County or the circuit court of any county in which the alleged violation of subsection (c) of this Section has or is about to occur in order to have the alleged violation stopped or prevented either by mandamus or injunction. The circuit court shall specify a time, not exceeding 21 days after the service of the copy of the complaint for mandamus or injunction for the filing of an answer, and in the meantime the named defendant or defendants shall be restrained from continuing an alleged violation pending a hearing before the court. In the event of default, or after answer, the circuit court shall immediately inquire into the facts and circumstances of the case and enter an appropriate order with respect to the matters in the complaint. An appeal may be taken from the final judgment in the same manner and with the same effect as appeals are taken from judgments of the circuit court in other actions for mandamus or injunction.

Nothing in this subsection (f) shall limited the rights of employees of an electric utility, including the collective bargaining representative or representatives of such employees, that is obligated to install, operate, or maintain electric distribution facilities and equipment to file a complaint against the electric utility, retail customer, or person, corporation, or agent acting on behalf of a retail customer with the Commission for alleged violations of subsection (c) of this Section.

(g) In any case in which an employee of an electric utility, including the collective bargaining representative or representatives of such employees, demonstrates that an electric utility, retail customer or a person, corporation, or agent acting on behalf of a retail customer has violated or is about to violate subsection (c) of this Section, the circuit court shall permanently restrain the defendant or defendants from continuing the alleged violation and award the party bringing the action the reasonable expenses of the litigation, including all reasonable attorney's fees. The circuit court shall impose a civil penalty of not less than $2,000 and not greater than $30,000 for each violation. Each violation of subsection (c) of this Section shall be considered a separate and distinct violation. In the event of a continuing violation, each day's continuance thereof shall be a separate and distinct offense, provided, however, that the cumulative penalty for any continuing violation shall not exceed $500,000, and that these limits shall not apply where the violation was intentional and either (i) created substantial risk to the safety of the utility's employees or customers or the public; or (ii) was intended to cause economic benefits to accrue to the violator. No penalties shall accrue under this subsection (g) until 15 days after the mailing of a notice to such party or parties that they are in violation of subsection (c) of this Section, except that this notice provision shall not apply when the violation was intentional.

(220 ILCS 5/16-132 new)

Sec. 16-132. Installation of new electric distribution facilities and equipment for retail customers; customer credits.

(a) It is the intent of the General Assembly that every electric utility meet minimum deadlines for the installation of new electric service requested by retail customers.

(b) For purposes of this Section:

"Agricultural use" has the same meaning as a person or entity engaged in activities defined as "production agriculture" under Section 3-35 of the Use Tax Act.

"Electric distribution facilities and equipment" has the same meaning as the term defined in subsection (b) of Section 16-131 of this Act.

"Retail customer" means a retail customer as defined by Section 16-102 of this Act that receives or is eligible to receive delivery services from an electric utility and uses electric power or energy for residential use, agricultural use, or small commercial use. The term "residential use" for purposes of this Section shall include a subdivision developer requesting new electric service for one or more residences.

"Small commercial use" means the receipt at a single premises electric power or energy at a voltage of less than 2,400 volts for use in commercial activities.

(c) The Commission shall promulgate rules establishing deadlines by which electric utilities must install electric distribution facilities and equipment so retail customers can receive new electric service. The rules shall be consistent with Section 16-131 of this Act and shall include fines, penalties, customer credits, and other enforcement mechanisms. In developing the rules, the Commission shall consider, at a minimum, the electric utility's gross annual intrastate revenue; the frequency, duration, and recurrence of the violation; and the relative harm caused to the affected retail customer or other users of electric distribution facilities and equipment. In imposing fines, the Commission shall take into account compensation or credits paid by the electric utility to its retail customers pursuant to this Section. These rules shall become effective within one year after the effective date of this amendatory Act of the 95th General Assembly.

(d) The rules shall, at a minimum, require each electric utility to do all of the following:

(1) Install electric distribution facilities and equipment for new electric service within 15 business days after the receipt of an order from the retail customer unless that customer requests an installation date that is beyond 15 business days after placing the order for new electric service and to inform the retail customer of its duty to install service within this timeframe. If installation of new electric service is requested on or by a date more than 15 business days in the future, the electric utility shall install service by the date requested.

(2) Keep all installation appointments for new electric service when a customer premises visit requires a retail customer to be present.

(3) Inform a customer when an appointment requires the retail customer to be present.

(4) Maintain all records relating to new electric service requests received from retail customers.

(5) Report to the Commission all new electric service requests that were or were not installed by the deadline established by this subsection (d).

(e) The rules shall include provisions for retail customers to be credited by the electric utility for violations of new electric service deadlines as described in subsection (d) of this Section. The credits shall be applied on the statement issued to the retail customer for the next monthly billing cycle following the violation or following the discovery of the violation. The performance levels established in subsection (d) of this Section shall be used by the Commission, at a minimum, to assess whether the electric utility has sufficient staffing levels of electric utility employees who perform new electric service installations. At a minimum, the rules for customer credits shall include the following:

(1) If an electric utility fails to install new electric service as required under subsection (d) of this Section, the electric utility shall waive 50% of any installation charges, or in the absence of an installation charge, the electric utility shall provide the customer with a credit of $100. If the electric utility fails to install service within 20 business days after the service request is placed, or fails to install service within 5 business days after the retail customer's requested installation date, if the requested date was more than 15 business days after the date of the order, the electric utility shall waive 100% of the installation charge, or in the absence of an installation charge, the electric utility shall provide a credit of $200. For each day that the failure to install new electric service continues beyond the initial 20 business days, or beyond 5 business days after the retail customer's requested installation date, if the requested date was more than 15 business days after the date of the order, the electric utility shall also provide an additional credit of $20 per day.

(2) If the electric utility fails to keep a scheduled installation appointment when a customer premises visit requires a retail customer to be present, the electric utility shall credit the customer $50 per missed appointment. A credit required by this subsection (d) does not apply when the electric utility provides the retail customer with 24-hour notice of its inability to keep the appointment.

(3) Credits required by this subsection do not apply if the violation of a service quality standard: (A) occurs as a result of a negligent or willful act of the retail customer; (B) occurs as a result of a malfunction of customer-owned equipment or inside wiring; (C) occurs as a result of, or is extended by, an emergency situation as defined in Commission rules, provided that a strike, lockout or other work stoppage caused by a labor dispute between the electric utility and its employees shall not constitute an emergency situation; (D) is extended by the electric utility's ability to gain access to the customer's premises to due to the customer missing an appointment, provided that the violation is not extended further by the electric utility; (E) occurs as a result of a retail customer request to change the scheduled appointment, provided that the violation is not further extended by the electric utility; or (F) occurs as a result of an electric utility's right to refuse service to a customer as provided in the Commission's rules.

(4) The provisions of this subsection (e) are cumulative and shall not in any way diminish or replace other civil or administrative remedies available to a retail customer.

(e) The rules shall require each electric utility to provide to the Commission, on a quarterly basis and in a form suitable for posting on the Commission's website, a public report that includes performance data for new electric service installations. The performance data shall be disaggregated for each geographic area of the State for which the electric utility operates and in a manner established by the Commission. The report shall include, at minimum, performance data on new electric service installations and missed installation commitments.

Section 99. Effective date. This Act takes effect upon becoming law.".