Bill Text: NJ A4024 | 2020-2021 | Regular Session | Introduced
Bill Title: Requires BPU to consider certain revenue-raising limitations when determining whether to approve increases in public utility rates, fares or charges that may be assessed to municipalities.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2020-05-04 - Introduced, Referred to Assembly Telecommunications and Utilities Committee [A4024 Detail]
Download: New_Jersey-2020-A4024-Introduced.html
Sponsored by:
Assemblyman RONALD S. DANCER
District 12 (Burlington, Middlesex, Monmouth and Ocean)
SYNOPSIS
Requires BPU to consider certain revenue-raising limitations when determining whether to approve increases in public utility rates, fares, or charges that may be assessed to municipalities.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning public utility rate-making and amending R.S.48:2-21.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. R.S.48:2-21 is amended to read as follows:
48:2-21. [Schedule of rates.] (a) The board may require every public utility to file with [it] the board complete schedules of every classification employed and of every individual or joint rate, toll, fare, or charge made, charged, or exacted by [it] the board for any product supplied or service rendered within this State, as specified in the requirement.
[Fix rates.] (b) The board may after hearing, upon notice, by order in writing:
1. Fix just and reasonable individual rates, joint rates, tolls, charges, or schedules thereof, as well as commutation, mileage and other special rates which shall be imposed, observed, and followed thereafter by any public utility, whenever the board shall determine any existing rate, toll, charge, or schedule thereof, commutation, mileage, or other special rate to be unjust, unreasonable, insufficient, or unjustly discriminatory or preferential. In every [such] rate proceeding, the board shall complete and close the hearing within [6] six months and enter its final order within [8] eight months after the filing of the order of the board initiating [such] the proceeding, when [such] the proceeding is on the board's own motion; or after issue is joined through the filing of an answer to a complaint, when [such] the proceeding is initiated by complaint.
2. Fix just and reasonable joint rates, which shall be charged, enforced, collected, and observed by railroads and street railroads in the carrying of freight. Whenever the railroads or street railroads involved fail to agree upon the apportionment or division of a joint rate so established, the board may issue a supplemental order declaring the apportionment or division of the joint rate.
[Demurrage rates.] (c) The board may fix the rates or charges to be made by any corporation subject to the provisions of this chapter for the detention of a railroad car containing property transported by railroad to any point in this State or for the use of railroad tracks occupied by [such] the railroad car, commonly called demurrage or car service, or for both [such] the railroad car's detention and use. [Such] The rates and charges shall conform as nearly as possible to the rates and charges for demurrage or car service prescribed and fixed by the [Interstate Commerce Commission] federal Surface Transportation Board for similar service.
[Increase in rates; hearings.] (d) When any public utility shall increase any existing individual rates, joint rates, tolls, charges, or schedules thereof, as well as commutation, mileage, and other special rates, or change or alter any existing classification, the board, either upon written complaint or upon its own initiative, shall have power after hearing, upon notice, by order in writing, to determine whether the increase, change, or alteration is just and reasonable. The burden of proof to show that the increase, change, or alteration is just and reasonable shall be upon the public utility making the [same] increase, change, or alteration. The board, pending [such] the hearing and determination, may order the suspension of the increase, change, or alteration until the board shall have approved the [same] increase, change, or alteration, not exceeding [4] four months. If the hearing and determination shall not have been concluded within [such 4] four months, the board may, during [such] the hearing and determination, order a further suspension for an additional period not exceeding, [4] four months. The board shall approve the increase, change, or alteration upon being satisfied that the [same] increase, change, or alteration is just and reasonable. In arriving at any determination pursuant to this subsection concerning the justness or reasonableness of any increase in a public utility rate, fare, or charge when the increase in rate, fare, or charge is to be assessed to one or more municipalities in this State, the board shall consider any limitations that are imposed, pursuant to section 10 of P.L.2007, c.62 (C.40A:4-45.45), on the ability of a municipality or municipalities to raise sufficient revenues to pay an increase in the public utility rate, fare, or charge, in addition to any other factors that the board deems necessary to arrive at its determination pursuant to this subsection. If the board determines the increase is just and reasonable, it shall, within a written order approving the increase, make a finding of the facts on the basis of which it approved the increase, including a review of the limitations imposed by section 10 of P.L.2007, c.62 (C.40A:4-45.45).
(cf: P.L.1962, c.198, s.13)
2. This act shall take effect immediately.
STATEMENT
This bill amends R.S.48:2-21 to require the Board of Public Utilities to consider any limitations imposed on a municipality's revenue-raising ability pursuant to section 10 of P.L.2007, c.62 (C.40A:4-45.45), in arriving at any determination as to the justness and reasonableness of an increase in public utility rates, fares, or charges that may be assessed to one or more municipalities in this State.
