PCS for HB 1331 — Florida House of Representatives, Municipal Utilities (2023)
- Issuer
- Congressional materials
- Document type
- 2023 3226 Energy Communications Cybersecurity Subcommittee Proposed Committee Bills Pcbs F
- Case
- 2023 3226 Energy Communications Cybersecurity Subcommittee Proposed Committee Bills Pcbs Fn Pcs For Hb 1331
Summary
A PCS for HB 1331 from the Florida House of Representatives, 2023, a bill relating to municipal utilities. Section 1 amends section 166.201, Florida Statutes, to let a municipality that owns and operates an electric, natural gas, water or wastewater utility fund general government functions with a portion of utility revenues, capped by transfer rates tied to rates of return on equity approved by the Public Service Commission. The transfer rate is reduced by 150, 300 or 450 basis points when more than 15, 30 or 45 percent of retail customers are outside the municipal boundaries, unless an elected utility authority board gives those customers proportionate representation. Section 2 amends section 180.191 on rates charged to water and sewer consumers outside city limits. The act would take effect July 1, 2024.
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Cite this document
“PCS for HB 1331 — Florida House of Representatives, Municipal Utilities (2023).”
Original at www.flhouse.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/2023-3226-energy-communications-cybersecurity-subcommittee-proposed-committee-bills-pcbs-fn-pcs-for-hb-1331/
, SHA-256 f72bce0017f5431cd93d9f8cc0bc617ed87a26a2fb434d7033fca6cc0e4cd988.Full text
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
PCS for HB 1331 2023
1 A bill to be entitled
2 An act relating to municipal utilities; amending s.
3 166.201, F.S.; authorizing a municipality to fund or
4 finance general government functions with a portion of
5 revenues from utility operations; establishing limits
6 on utility revenue transfers for municipal utilities
7 that serve customers located outside the municipal
8 boundaries; amending s. 180.1291, F.S.; modifying
9 provisions relating to permissible rates, fees, and
10 charges imposed by municipal water and sewer utilities
11 on customers located outside the municipal boundaries;
12 providing an effective date.
13
14 Be It Enacted by the Legislature of the State of Florida:
15
16 Section 1. Section 166.201, Florida Statutes, is amended
17 to read:
18 166.201 Taxes and charges.—
19 (1) A municipality may raise, by taxation and licenses
20 authorized by the constitution or general law, or by user
21 charges or fees authorized by ordinance, amounts of money which
22 are necessary for the conduct of municipal government and may
23 enforce their receipt and collection in the manner prescribed by
24 ordinance not inconsistent with law.
25 (2)(a) A municipality that owns and operates an electric,
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F L O R I D A H O U S E O F R E P R E S E N T A T I V E S
PCS for HB 1331 2023
26 natural gas, water, or wastewater utility may fund or finance
27 general government functions using a portion of the revenues
28 generated from rates, fees, and charges for the provision of
29 such utility service. The portion of utility revenues that may
30 be used during a fiscal year to fund or finance general
31 government functions, after payment of all utility expenses, may
32 not exceed:
33 1. For revenues generated from electric utility
34 operations, a transfer rate equal to the amount derived by
35 applying the average of the midpoints of the rates of return on
36 equity approved by the Public Service Commission for each
37 investor-owned electric utility in the state to the municipal
38 electric utility’s revenues.
39 2. For revenues generated from natural gas utility
40 operations, a transfer rate equal to the amount derived by
41 applying the average of the midpoints of the rates of return on
42 equity approved by the Public Service Commission for each
43 investor-owned natural gas utility in the state to the municipal
44 natural gas utility’s revenues.
45 3. For revenues generated from water or wastewater
46 operations, a transfer rate equal to the amount derived by
47 applying the rate of return on equity established by the Public
48 Service Commission under s. 367.081(4)(f) to the municipal water
49 or wastewater utility’s revenues.
50 (b) Except as provided in paragraph (c), the transfer rate
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PCS for HB 1331 2023
51 applied to municipal utility revenues under subparagraphs (a)1.-
52 3. shall be reduced as follows:
53 1. If more than 15 percent of a municipal utility’s retail
54 customers, as measured by total meters served, are located
55 outside the municipal boundaries, the transfer rate applied to
56 utility revenues shall be reduced by 150 basis points.
57 2. If more than 30 percent of a municipal utility’s retail
58 customers, as measured by total meters served, are located
59 outside the municipal boundaries, the transfer rate applied to
60 utility revenues shall be reduced by 300 basis points.
61 3. If more than 45 percent of a municipal utility’s retail
62 customers, as measured by total meters served, are located
63 outside the municipal boundaries, the transfer rate applied to
64 utility revenues shall be reduced by 450 basis points.
65 (c) The reductions specified in paragraph (b) shall not
66 apply to a municipal utility service if the utility service is
67 governed by a utility authority board that, through the election
68 of voting members from outside the municipal boundaries,
69 provides for representation of retail customers located outside
70 the municipal boundaries approximately proportionate to the
71 percentage of such customers, as measured by total meters
72 served, that receive service from the utility.
73 Section 2. Subsection (1) of section 180.191, Florida
74 Statutes, is amended to read:
75 180.191 Limitation on rates charged consumer outside city
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PCS for HB 1331 2023
76 limits.—
77 (1) Any municipality within the state operating a water or
78 sewer utility outside of the boundaries of such municipality
79 shall charge consumers outside the boundaries rates, fees, and
80 charges determined in one of the following manners:
81 (a) It may charge the same rates, fees, and charges as
82 consumers inside the municipal boundaries. However, in addition
83 thereto, the municipality may add a surcharge of not mo re than
84 25 percent of such rates, fees, and charges to consumers outside
85 the boundaries. Fixing of such rates, fees, and charges in this
86 manner shall not require a public hearing except as may be
87 provided for service to consumers inside the municipality.
88 (b)1. It may charge rates, fees, and charges that are just
89 and equitable and which are based on the same factors used in
90 fixing the rates, fees, and charges for consumers inside the
91 municipal boundaries. In addition thereto, the municipality may
92 add a surcharge not to exceed 25 percent of such rates, fees,
93 and charges for said services to consumers outside the
94 boundaries. However, the total of all such Such rates, fees, and
95 charges for the services to consumers outside the boundaries
96 shall not be more than 25 50 percent greater than in excess of
97 the total amount the municipality charges consumers served
98 within the municipality for corresponding service. No such
99 rates, fees, and charges shall be fixed until after a public
100 hearing at which all of the users of the water or sewer systems;
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PCS for HB 1331 2023
101 owners, tenants, or occupants of property served or to be served
102 thereby; and all others interested shall have an opportunity to
103 be heard concerning the proposed rates, fees, and charges. Any
104 change or revision of such rates, fees, or charges may be made
105 in the same manner as such rates, fees, or charges were
106 originally established, but if such change or revision is to be
107 made substantially pro rata as to all classes of service, both
108 inside and outside the municipality, no hearing or notice shall
109 be required.
110 (2) Any municipality within the state operating a water or
111 sewer utility that provides service to consumers within the
112 boundaries of a separate municipality through the use of a water
113 treatment plant or sewer treatment plant located within the
114 boundaries of that separate municipality may charge consumers in
115 the separate municipality no more than the rates, fees, and
116 charges imposed on consumers inside its own municipal
117 boundaries.
118 Section 3. This act shall take effect July 1, 2024.
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File and source
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- SHA-256
- f72bce0017f5431cd93d9f8cc0bc617ed87a26a2fb434d7033fca6cc0e4cd988
- Original
- www.flhouse.gov