Bill > HB1990

This bill authorizes electrical, gas, and water utility companies to securitize certain costs related to disasters, emergencies, or energy conservation through a process called "rate recovery bonds." The bill allows utility companies to petition the Washington Utilities and Transportation Commission (UTC) to approve financing for specific expenditures, such as costs incurred during declared emergencies or energy efficiency investments. When approved, the utility can issue rate recovery bonds that are repaid through a special charge on customer utility bills, which cannot be avoided even if a customer changes service providers. The key purpose is to provide utilities with a potentially lower-cost method of recovering extraordinary expenses, with the goal of minimizing the financial impact on customers. The bill includes detailed provisions about how these bonds can be created, secured, and repaid, and explicitly states that these bonds are not a public debt or a pledge of the state's full faith and credit. The UTC must consider whether the expenditures align with Washington state climate goals when reviewing applications, and the bill includes safeguards to protect both the utility companies and customers during the securitization process. The legislation is designed to provide financial flexibility for utilities while maintaining regulatory oversight and attempting to keep costs as low as possible for consumers.

Agriculture and Natural Resources, Budget and Finance

https://app.leg.wa.gov/billsummary?BillNumber=1990&Year=2025&Initiative=false