Bill > SF2308

Introduced Session

This bill relates to certain charges for utility service. The bill provides legislative findings stating that water, electricity, and natural gas are essential services, that utility customers generally lack choice due to the monopolistic nature of service territories, that utility bills increasingly include nonusage fees that significantly increase costs without increasing service, and that such nonusage fees place a burden on Iowa residents. The bill prohibits a public utility from imposing, collecting, or billing any nonusage fee or surcharge to a customer, and provides that a utility bill may include only charges based on actual consumption and late payment charges. The bill prohibits a public utility from conditioning the provision or continuation of service on the payment of a nonusage fee. The bill prohibits utilities from charging customers, through any method, for franchise fees or similar payments made to a municipality or governmental entity. The bill directs the Iowa utilities commission to adopt rules to implement and enforce the new bill and to review all existing tariffs, rate schedules, and billing practices for compliance. Any tariff, rule, or billing practice inconsistent with the bill is void. The bill provides enforcement mechanisms for violations, including administrative penalties determined by the commission, refunds or bill credits to affected customers, and enforcement actions by the attorney general. Each billing statement containing a prohibited fee constitutes a separate violation. The bill applies to certain public utilities, including those that are otherwise not subject to full rate regulation by the utilities commission.

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Cherielynn Westrich (R)*, 

Subcommittee: Koelker, Drey, and Reichman. S.J. 314. (on 02/18/2026)

Official Document