Utility Regulation Bill Sent to Governor's Desk
A bill reshaping oversight of electric cooperative subsidiaries — exempting nonprofits while giving customers of for-profit utilities new tools to challenge rates — is now awaiting the governor's signature or veto.
TOPEKA, Kan. — Legislation rewriting state oversight of electric cooperative subsidiaries has cleared both chambers of the Legislature and been presented to the governor for final action.
SB 348 exempts not-for-profit, wholly owned subsidiaries of electric cooperatives from Kansas Corporation Commission jurisdiction. At the same time, the bill creates new regulatory recourse for customers of for-profit subsidiary utilities, granting them the right to petition the commission to investigate rates. If the commission finds rates to be unjust, unreasonable or discriminatory, it could order new ones. Customers would also gain the ability to terminate a subsidiary's exemption by vote.
The bill addresses a gap in Kansas utility regulation where subsidiary utilities operated outside commission oversight, leaving customers — many in isolated rural areas with no alternative provider — without recourse on rate disputes. The House passed the measure 119-0 on March 4.
The governor now has 10 days to sign the bill, veto it, or allow it to become law without her signature.
Found a mistake? Have a news tip or feedback to share? Contact our newsroom using the button below: