MISSISSIPPI LEGISLATURE

2019 Regular Session

To: Energy

By: Senator(s) Seymour

Senate Bill 2393

AN ACT TO AMEND SECTIONS 77-2-1 AND 77-2-9, MISSISSIPPI CODE OF 1972, TO REVISE THE POWERS AND DUTIES OF THE PUBLIC UTILITIES STAFF BY REMOVING LANGUAGE PROVIDING FOR THE CONSIDERATION OF THE INTERESTS OF THE PUBLIC UTILITIES; AND FOR RELATED PURPOSES.

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

     SECTION 1.  Section 77-2-1, Mississippi Code of 1972, is amended as follows:

     77-2-1.  There is hereby established a Public Utilities Staff, which shall be completely separate and independent from the Public Service Commission and the Public Service Commission staff.  Such staff shall consist of the personnel positions of the executive director, the economic and planning division, legal division, engineering division and accounting division with a State Personnel Board organizational code of twenty thousand (20,000) or larger which were formerly authorized and appropriated under the provisions of Section 77-3-8, Mississippi Code of 1972.  The executive director shall establish the organizational structure of the staff, and shall have the authority to create units as deemed appropriate to carry out the responsibilities of the staff.  The Public Utilities Staff shall represent the broad interests of the State of Mississippi by * * *balancing representing the respective concerns of the residential, commercial or industrial ratepayers, and the state and its agencies and departments * * *, and the public utilities.  The staff shall consist of a sufficient number of professional, administrative, technical, clerical and other personnel as may be necessary for the staff to perform its duties and responsibilities as hereinafter provided.  All such personnel shall be competitively appointed by the executive director and shall be dismissed only for cause in accordance with the rules and regulations of the State Personnel Board.  All equipment, supplies, records and any funds appropriated by the Legislature to the Public Service Commission for and on behalf of the Public Utilities Staff shall be transferred to such staff on September 1, 1990.  The Public Utilities Staff shall be funded separately from the Mississippi Public Service Commission.  Any appropriated funds to the Public Utilities Staff shall be maintained in an account separate from any funds of the Public Service Commission and shall never be commingled therewith. 

     Notwithstanding any provision of this chapter to the contrary, the personnel positions of the data processing division and the gas pipeline safety division of the Public Utilities Staff shall be the Public Service Commission staff positions authorized under Section 77-3-8, and shall be under the control and supervision of the Public Service Commission from and after March 15, 1991.  However, the Public Service Commission staff shall continue to provide at no cost administrative support in the nature of data processing and bookkeeping to the Public Utilities Staff in order to avoid duplication of services.

     This section shall stand repealed on July 1, 2022.

     SECTION 2.  Section 77-2-9, Mississippi Code of 1972, is amended as follows:

     77-2-9.  (1)  The executive director shall have general charge of the operations and administration of the Public Utilities Staff.  It shall be the duty and responsibility of the executive director to supervise and manage the offices and personnel on the Public Utilities Staff and formulate written policies and procedures for the effective and efficient operation thereof.  The executive director shall be responsible for hiring persons on the staff who meet established qualifications for comparable positions of duty and responsibility.  The Public Utilities Staff as formerly created in Section 77-3-8, Mississippi Code of 1972, which consists of the Economic and Planning Division, Legal Division, Engineering Division, Accounting Division and Administrative Services Division, and has a State Personnel Board organizational code of twenty thousand (20,000) or larger, is abolished from and after August 31, 1990.  All such former employees shall be eligible to be rehired by the executive director for positions on the Public Utilities Staff created pursuant to Section 77-2-1.  Such former employees shall not, by virtue of abolishing such staff, lose any vacation or sick leave benefits previously accrued and, if rehired, shall continue vacation and sick leave as if they had not been terminated.  For a period of one (1) year after July 1, 1990, the personnel actions of the Public Utilities Staff shall be exempt from State Personnel Board procedures in order to give the Public Utilities Staff flexibility in making an orderly, effective and timely transition to the mandated reorganization.

     (2)  The following personnel and members of the Public Utilities Staff shall be competitively appointed by the executive director and shall have at least the knowledge, skills and abilities set forth herein.  These requirements shall not be waived, and possession thereof shall be certified by the State Personnel Board:

          (a)  A chief engineer who is a graduate licensed engineer and who has a thorough knowledge of engineering principles as applied to the design, construction, operation, maintenance and expansion of utility facilities and rate structure determination.  The chief engineer shall possess a thorough knowledge of techniques and practices of public utility service and regulation and shall have the ability to evaluate same and to formulate accurate conclusions therefrom.

          (b)  A certified public accountant who possesses a thorough knowledge of standard accounting procedures, techniques and systems with specific reference to the utility industry.  Such accountant shall be experienced in public utility accounting and shall have a thorough knowledge of the financial and organizational structure of public utility companies to include knowledge of the methods by which financing of major additions and extensions to utility operations is acquired.

          (c)  A director of economics and planning who holds at least a bachelor's degree in economics and possesses a thorough knowledge of the principles and techniques of economic and financial research and statistical analysis.  The director of economics and planning shall have a thorough knowledge of the sources of economic, financial and statistical information and the methods of utilizing these sources, as well as considerable knowledge of capital markets with specific reference to utility financing.  This employee shall be experienced in conducting analyses of the utility industry, the economy, cost of money, availability and cost of fuel and energy and other related matters within the authority of the commission.

          (d)  Supportive technical personnel consisting of rate analysts, accountants, inspectors and statisticians as authorized and appropriated by the Legislature.

          (e)  A general counsel, who shall be a member of The Mississippi Bar, shall have practiced law for a minimum of five (5) years and who shall possess considerable knowledge of utility regulation generally and of the case law, statutory law and the common law relating thereto.

     (3)  It shall be the duty and responsibility of the Public Utilities Staff by and through the executive director to:

          (a)  In uncontested matters review, investigate and make appropriate written recommendations to the commission with respect to the reasonableness of rates charged or proposed to be charged by any public utility and with respect to the consistency of such rates with the public policy of assuring an energy supply adequate to protect the public health and safety and to promote the general welfare;

          (b)  Review, investigate and make appropriate written recommendations to the commission with respect to the service furnished or proposed to be furnished by any utility;

          (c)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi, the using and consuming public, and the public utilities, make written recommendations and reports to the commission regarding all commission proceedings affecting the rates or service of any public utility;

          (d)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, petition the commission to initiate proceedings to review, investigate and take appropriate action with respect to the rates or service of public utilities.  Receipt of such petition shall be spread on the minutes of the Public Service Commission.  The commission shall, within thirty (30) days of receipt of such petition, spread upon its minutes and forward to the Executive Director of the Public Utilities Staff a response detailing actions taken or proposed to be taken;

          (e)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, make written recommendations and reports to the commission regarding all certificate applications filed and provide assistance to the commission in making the analysis and plans required;

          (f)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, make written recommendations and reports to the commission regarding all proceedings wherein any public utility proposes to reduce or abandon service to the public;

          (g)  Make studies with respect to standards, regulations, practices or service of any public utility; however, the Public Utilities Staff shall have no duty, responsibility or authority with respect to the enforcement of natural gas pipeline safety law, or the federal railroad safety laws, rules or regulations;

          (h)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, make written recommendations and reports to the commission regarding all commission proceedings with respect to transfers of franchises, mergers, consolidation and combination of public utilities;

          (i)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public * * *and the public utilities, review and investigate contracts of public utilities with affiliates or subsidiaries;

          (j)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, advise the commission with respect to regulations and transactions;

          (k)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, review and make recommendations to the commission on all miscellaneous uncontested filings;

          (l)  Advise the Public Service Commission in writing as to the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities in all major rate cases and automatic adjustment clauses;

          (m)  When deemed necessary by the executive director, in the broad public interest of the State of Mississippi * * *, and the using and consuming public, * * *and the public utilities, review and investigate the justness and reasonableness * * *, to * * *both the public * * *and the public utility, of rates charged or proposed to be charged by any public utility, the rates of which are subject to regulation under the provisions of this chapter; and

          (n)  Accumulate evidence and other information from public utilities and other sources as required or as may be requested by the Public Service Commission.

     (4)  The Executive Director of the Public Utilities Staff shall employ the resources of the staff to furnish to the commission, in a timely and expeditious manner, such information and reports or conduct such investigations and provide such other assistance as may be required in order to enforce the laws providing for the regulation of public utilities.

     (5)  All written recommendations and reports provided to the Public Service Commission from the Public Utilities Staff shall bear the signature of the executive director, who shall maintain a record thereof, including the date such recommendation or report was submitted to the commission.

     (6)  In no event shall the duties and responsibilities of the Public Utilities Staff be exercised with regard to matters not within the jurisdiction and powers of the Public Service Commission.

     (7)  This section shall stand repealed on July 1, 2022.

     SECTION 3.  This act shall take effect and be in force from and after July 1, 2019.