Bill > SB255

This bill modifies the legal framework governing the Chippewa and Flambeau Improvement Company, a water management organization responsible for managing water reservoirs and flow in certain rivers. The bill expands the company's financial flexibility by allowing tolls (fees charged to water power operators) to be used for acquiring and improving the reservoir system, which was previously prohibited. Currently, tolls were limited to covering operational costs and providing a modest return on investment. The new legislation permits tolls to also cover taxes, depreciation, and working capital expenses. Additionally, the bill changes the toll assessment rules so that water power operators who use facilities for at least two months of a six-month period will be charged for the entire period, whereas previously they were exempt. The bill also removes previous restrictions on the company's bond financing, allowing negotiable interest-bearing bonds to fund more than half the cost of dam and reservoir acquisitions. Furthermore, the bill eliminates the previous prohibition against the company paying stockholder dividends while bonds are outstanding and removes the requirement to invest earnings in a sinking fund for bond retirement, subject to Public Service Commission approval. These changes aim to provide the Chippewa and Flambeau Improvement Company with greater financial management capabilities and operational flexibility.

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https://docs.legis.wisconsin.gov/2025/proposals/reg/sen/bill/sb255