CLASSIFICATION OF CERTAIN PROPERTIES

This act reclassifies stationary property used for transportation or storage of liquid and gaseous products, including, but not limited to, natural gas that is not propane or LP gas, water, and sewage, from real property to tangible personal property. (Section 137.010)

Beginning January 1, 2022, the provisions of current law relating to depreciable tangible personal property shall apply to all stationary property used for transportation or storage of liquid and gaseous products, including, but not limited to, natural gas that is not LP gas, water, and sewage that was or will be placed in service at any time. (Section 137.122)

These provisions are identical to provisions contained in SCS/SB 944 (2022) and substantially similar to SB 196 (2021), SCS/SB 785 (2020), and HCS/HB 1907 (2020).

NET METERING

The act establishes the Task Force on Distributed Energy Resources and Net Metering, to conduct hearings and research information related to net metering as set forth in the act. The Task Force shall compile a report for the General Assembly by December 31, 2022. The Task Force shall dissolve on June 30, 2023, or when the Task Force concludes its work, whichever is sooner. (Section 386.885)

The act modifies the definitions of "customer-generator", "department", which is changed from the Department of Economic Development to the Department of Natural Resources, and "retail electric supplier", which term now includes municipally-owned utilities.

The sale of qualified electric energy units to any customer-generator shall be subject to provisions of law related to consumer protection. (Section 386.890)

These provisions are substantially similar to SCS/SB 763 (2022) and similar to HB 1852 (2022), SCS/SB 178 (2021), HB 539 (2021), SB 1065 (2020), and HB 2608 (2020).

ACCOUNTING PRACTICES OF ELECTRICAL CORPORATIONS

Under this act, electrical corporations, gas corporations, sewer corporations, and water corporations shall defer to a regulatory asset or liability account any difference in state or local property tax expenses actually incurred, and those on which the revenue requirement used to set rates in the corporation's most recently completed general rate proceeding was based. The regulatory asset or liability account balances shall be included in the revenue requirement used to set rates through an amortization over a reasonable period of time in such corporation's subsequent general rate proceedings, without any offset. (Section 393.1275)

This provision is identical to a provision contained in SCS/SB 756 (2022) and HCS/HB 1734 (2022).

FINANCING ORDERS

The act allows the Public Service Commission to directly contract counsel, financial advisors, or other consultants as necessary to carry out the Commission's duties related to financing orders and the Commission shall not be subject to provisions of law relating to competitive bidding for state entities. (Section 393.1700)

This provision is identical to a provision contained in SCS/SB 756 (2022) and HCS/HB 1734 (2022).

JAMIE ANDREWS