SB551 H GO AM 2-17

Cooke 3345

The Committee on Government Organization moves to amend the bill on page, four, section four-g, line 23, after the words “negotiate a” by striking the word “fair”;

On page four, section four-g, line 23, after the word “assets” by striking the following phrase “that lies between ascertainable minimum and maximum values set forth in this section”;

On page four, section four-g, line 25, after the words “assets in” by striking the following phrase “the acquiring utility’s”;

On page five, section four-g, line 42, after the word “citizens.” by striking the words “Fair value” and inserting in lieu thereof the word “Value”;

On page five, section four-g, line 45 after the words “assets that” by striking “falls between the depreciated original cost and the reproduction cost new less depreciation, and in that case the applicants will present evidence of those two values in the application.” and inserting in lieu thereof the following:

“is in accordance with utility asset valuation methodologies, such as the depreciated original cost, or as an example the reproduction cost new less depreciation, or other industry standard utility asset valuation methods, excluding the use of fair market appraisal valuation methods: Provided, That the applicants will present evidence of those asset values in the application: Provided, however, That the utility asset valuation methodologies and definitions referenced in 24-2-4g (d) apply solely to cases filed pursuant to Chapter 24 of this code.”;

On page five, section four-g, line 51, after the word “then” by striking “if the negotiated sale price:” and inserting in lieu thereof the following “the commission will establish the rate based addition at the negotiated sale price, as determined and in accordance with subdivision (1) of this subsection.”;

On page six, section four-g, line 53 by striking in out paragraph (A) and paragraph (B) in their entirety;

On page eight, section four-g, line 116, after the word “assets” by inserting the following “, net of depreciation.”;

And,

On page eight, section four-g, line 123, after subdivision (8) by inserting a new subdivision (9) to read as follows: “(9) “Utility Asset Valuation” means industry standard valuation methods of determining the value of utility assets, regardless of original sources of funding.”

Adopted

Rejected