House Bill 935

(As Passed the House)

AN ACT TO AUTHORIZE THE PUBLIC SERVICE COMMISSION TO TRANSFER A PORTION OF A PUBLIC UTILITY'S CERTIFICATED AREA TO ANOTHER PUBLIC UTILITY PROVIDING SERVICE IN AN ADJACENT CERTIFICATED AREA, WITHIN A CERTAIN AREA, UPON CERTAIN DETERMINATIONS MADE BY THE COMMISSION; TO AMEND SECTION 77-3-12, MISSISSIPPI CODE OF 1972, IN CONFORMITY TO THE PROVISIONS OF THIS ACT; AND FOR RELATED PURPOSES.

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

SECTION 1. The Public Service Commission, after a hearing and finding of economic feasibility, may cancel a portion of the certificated area contained in any public utility's certificate of public convenience and necessity within the corporate boundaries of the City of Starkville and it may transfer that portion to another public utility providing service in an adjacent certificated area, if the commission determines all of the following:

(a) The public utility that holds a certificate for public convenience and necessity cannot serve a customer because of lack of infrastructure;

(b) A public utility providing service in an adjacent certificated area has infrastructure that would allow for service to a customer or customers with less cost; and

(c) The cost associated with not transferring the area would be burdensome to economic development including, but not limited to, residential, commercial and industrial development.

SECTION 2. Section 77-3-12, Mississippi Code of 1972, is amended as follows:

77-3-12. (1) Except as otherwise provided in Section 1 of this act, a certificate of public convenience and necessity issued by the Public Service Commission authorizing public utility services to or for the public for compensation in an area grants an exclusive right to the public utility to provide that service in the certificated area.

(2) Nothing contained in subsection (1) of this section or any other provision of law shall prohibit any utility system from extending its system plant, lines or other facilities in or through the certificated area of another utility for purposes other than providing services to or for the public for compensation in such certificated area similar to those services provided by the certificated utility.

SECTION 3. This act shall take effect and be in force from and after July 1, 2010.