Bill Text: NH HB1237 | 2020 | Regular Session | Amended
Bill Title: Establishing a committee to study the requirements of reporting by utility companies of information required for valuation of certain utility property for purposes of RSA 72.
Spectrum: Slight Partisan Bill (Democrat 2-1)
Status: (Engrossed - Dead) 2020-06-16 - Vacated from Committee and Laid on Table, Motion Adopted, Voice Vote; 06/16/2020 Senate Journal 8 [HB1237 Detail]
Download: New_Hampshire-2020-HB1237-Amended.html
HB 1237-FN - AS AMENDED BY THE HOUSE
19Feb2020... 0617h
2020 SESSION
20-2469
10/04
HOUSE BILL 1237-FN
SPONSORS: Rep. Merner, Coos 7; Rep. French, Graf. 14; Rep. McGhee, Hills. 40
COMMITTEE: Science, Technology and Energy
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AMENDED ANALYSIS
This bill establishes a committee to study the requirements of reporting by utility companies of information required for valuation of certain utility property for purposes of RSA 72.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
19Feb2020... 0617h
20-2469
10/04
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Twenty
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Committee Established. There is established a committee to study the requirements of reporting by utility companies of information required for valuation of utility transmission and generation property for purposes of RSA 72.
2 Membership and Compensation.
I. The members of the committee shall be as follows:
(a) Three members of the house of representatives, one of whom shall be a member of the science, technology and energy committee, one of whom shall be a member of the ways and means committee, and one of whom shall be from the minority party, appointed by the speaker of the house of representatives.
(b) One member of the senate, appointed by the president of the senate.
II. Members of the committee shall receive mileage at the legislative rate when attending to the duties of the committee.
3 Duties. The committee shall study and report as to whether legislation is recommended regarding the form and content of reporting by utility companies of the value of utility transmission and generation property for purposes of RSA 72.
4 Chairperson; Quorum. The members of the study committee shall elect a chairperson from among the members. The first meeting of the committee shall be called by the first-named house member. The first meeting of the committee shall be held within 45 days of the effective date of this section. Three members of the committee shall constitute a quorum.
5 Report. The committee shall report its findings and any recommendations for proposed legislation to the speaker of the house of representatives, the president of the senate, the house clerk, the senate clerk, the governor, and the state library on or before November 1, 2020.
6 Effective Date. This act shall take effect upon its passage.
20-2469
11/4/19
HB 1237-FN- FISCAL NOTE
AS INTRODUCED
AN ACT relative to reporting of information required for utility property valuation.
FISCAL IMPACT: [ X ] State [ ] County [ X ] Local [ ] None
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| Estimated Increase / (Decrease) | |||
STATE: | FY 2020 | FY 2021 | FY 2022 | FY 2023 |
Appropriation | $0 | $0 | $0 | $0 |
Revenue | $0 | Indeterminable | Indeterminable | Indeterminable |
Expenditures | $0 | Indeterminable | Indeterminable | Indeterminable |
Funding Source: | [ X ] General [ X ] Education [ ] Highway [ ] Other | |||
LOCAL: |
|
|
|
|
Revenue | $0 | $0 | Indeterminable | Indeterminable |
Expenditures | $0 | $0 | $0 | $0 |
METHODOLOGY:
This bill adds additional information to what is currently required to be reported by a utility for property located in a municipality but such report will now only be required when requested by a municipality or the Department of Revenue Administration (DRA). Failure to provide such report when requested will bar a utility from filing for an appeal of the assessed value of the utility's property within such municipality, whether such assessment is made by the municipality or the DRA.
The bill also requires the DRA to value electric, gas, and water utilities' distribution assets using only the methodology outlined in RSA 72:8-d. The DRA indicates it currently utilizes the unit valuation method for the whole utility property, including distribution, transmission, and generation assets. For equalization purposes, the DRA allocates a percentage of this total value to each municipality where the utility is located based on original cost. The DRA assumes it will incorporate the formula specified in RSA 72:8-d for distribution assets only and will continue to allocate the total value of the utility's property to each municipality based on original cost. Therefore, the allocated value for equalization purposes of the distribution assets located within a municipality may still vary from the value determined by a municipality pursuant to RSA 72:8-d. State utility property tax revenues may also change based on the resulting new values of utility property. The bill is effective upon passage and the DRA assumes this change will be applicable to the 2021 tax year (FY 2022 for equalization purposes). The DRA is unable to calculate the possible impact of valuing utility distribution assets differently or estimating any possible effect on the equalization process. The DRA may need to update its tax system by an indeterminable amount or possibly need to hire additional staff.
AGENCIES CONTACTED:
Department of Revenue Administration
