Bill Text: MS HB574 | 2014 | Regular Session | Introduced

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Bill Title: Utility cooperatives; include industrial customers in calculation of percentage of gross revenue sales paid to municipalities.

Sponsorship: Partisan Bill (Democrat 1)

Status: (Failed) 2014-02-04 - Died In Committee [HB574 Detail]

Download: Mississippi-2014-HB574-Introduced.html

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MISSISSIPPI LEGISLATURE

2014 Regular Session

To: Public Utilities

By: Representative Warren

House Bill 574

AN ACT TO AMEND SECTION 77-3-17, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT WHEN A COOPERATIVE PAYS TWO PERCENT (2%) OF ITS GROSS REVENUE FROM SALES TO MUNICIPALITIES, SUCH PERCENTAGE SHALL INCLUDE SALES OF THE COOPERATIVE'S INDUSTRIAL CUSTOMERS; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 77-3-17, Mississippi Code of 1972, is amended as follows:

     77-3-17.  In addition to such other rights as it may have to use the streets, alleys and public places of a municipality, a public utility which holds a certificate of public convenience and necessity granted under the provisions of this article covering the geographical area of such municipality, and which * * * 1) is operating under a municipal franchise on March 29, 1956, or * * * 2) shall have previously operated under such a municipal franchise which has expired within five (5) years prior to said date, or * * * 3) which shall hereafter operate under a municipal franchise hereafter granted, may, after the expiration of any such franchise continue to use the streets, alleys and public places therein situated upon condition that * * *1) such utility shall pay the * * * said municipality compensation therefor at the rate of two percent (2%) of * * * saidthe utility's gross revenue from sales to residential and commercial customers within * * * saidsuch municipality, in the case of a utility defined in subparagraphs (i) and (ii) of paragraph (d) of Section 77-3-3 and in the case of a utility defined in subparagraph (iii) of paragraph (d) of said section, the * * * said utility shall pay two percent (2%) of the monthly service charges in * * * saidsuch municipality whether * * * said the utility has a franchise to operate therein or not, such payments * * * toshall be made quarterly of each year, and * * * 2) after the expiration of such franchise the municipality, or any customer of such utility in such municipality, upon appropriate petition, shall be entitled to a hearing as to whether or not the certificate of convenience and necessity may then and thereafter be granted on a permanent basis.  Any cooperative which shall operate within any area of a municipality shall likewise pay such municipality two percent (2%) of the cooperative's gross revenue from sales to residential, * * * and commercial and industrial customers within * * * said the municipality.

     Any municipality shall have the right to acquire by purchase, negotiation or condemnation the facilities of any utility that is now or may hereafter be located within the corporate limits of such municipality; provided, however, prior to any municipality exercising the right of eminent domain as provided herein, the commission shall determine that the certificate of public convenience and necessity granted to the utility pursuant to Section 77-3-13 for the service area wherein such facilities are located, shall be cancelled as provided in Section 77-3-21.

     SECTION 2.  This act shall take effect and be in force from and after July 1, 2014.

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