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IL HB1828

IL HB1828
UTILITIES-WATER COST CAUSATION


summary

Introduced
01/28/2025
In Committee
04/11/2025
Crossed Over
Passed
Dead

Introduced Session

Potential new amendment
104th General Assembly

Bill Summary

Amends the Public Utilities Act. Provides that the Illinois Commerce Commission, in a general rate case proceeding initiated by a public utility that provides water and wastewater service in Illinois, is authorized to approve rate designs requested by a public utility that provides water and wastewater service in Illinois if it finds that such rate designs will enhance the equitable provision of safe, reliable, and affordable water and wastewater services or are otherwise in the public interest. Provides that if the Commission finds that any rate design will enhance the equitable provision of safe, reliable, and affordable water and wastewater services or is in the public interest, the Commission shall enter an order approving such rate design. Requires the Commission to take certain evidence presented by the public utility into account when entering its order. Provides that the Commission may require the public utility, in addition to and as part of the required notice to its customers, to provide a description of any rate design being considered in the proceeding, a statement of the estimated bill impact as a result of rate design approved by the Commission, and any other information that the Commission deems necessary. Provides that the Commission may adopt rules to implement the provisions. Effective immediately.

AI Summary

This bill amends the Public Utilities Act to provide the Illinois Commerce Commission (ICC) with more flexibility in approving rate designs for water and wastewater utilities. The bill recognizes that water and wastewater utilities have unique characteristics that may require alternative approaches to traditional rate-setting principles. It authorizes the ICC to approve rate designs that deviate from conventional cost causation methods if such designs enhance the equitable provision of safe, reliable, and affordable water and wastewater services or are in the public interest. When considering a proposed rate design, the utility must provide detailed evidence, including current customer rates, capital investments, future infrastructure needs, potential impacts on customer income levels, and overall benefits to the utility's customer base. The bill requires the ICC to approve a rate design if it finds that the design meets these criteria, and allows the commission to mandate additional customer notifications about proposed rate changes. The legislation also explicitly states that the new provisions do not conflict with existing utility regulations and gives the ICC the authority to adopt implementing rules. By providing this regulatory flexibility, the bill aims to support infrastructure investment and ensure more equitable water and wastewater service across Illinois.

Committee Categories

Transportation and Infrastructure

Sponsors (1)

Last Action

House Floor Amendment No. 1 Rule 19(c) / Re-referred to Rules Committee (on 04/11/2025)

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