CHAPTER 283*
DEPARTMENT OF PUBLIC UTILITY CONTROL:
TELEGRAPH, TELEPHONE, ILLUMINATING,
POWER AND WATER COMPANIES

*Cited. 12 CA 499, 504.

Table of Contents

Sec. 16-228. Telegraph and telephone lines.
Sec. 16-229. Excavation in highway.
Sec. 16-230. Bond requirement.
Sec. 16-231. Appeal.
Sec. 16-232. Rights of companies organized under general law.
Sec. 16-233. Municipal and state signal wires.
Sec. 16-234. Rights of adjoining proprietors.
Sec. 16-235. Control by local authorities. Orders. Appeals.
Sec. 16-236. Appraisal of damages; costs.
Sec. 16-237. No prescriptive right.
Sec. 16-238. Wires may be cut; notice.
Sec. 16-239. Dispatches transmitted in order. Exceptions.
Sec. 16-240. Delivery of messages.
Sec. 16-241. Mortgage by telegraph company.
Sec. 16-242. Telephone service to telegraph companies.
Sec. 16-243. Jurisdiction of department over electricity transmission lines.
Sec. 16-243a. Private power producers. Purchase and sale of electricity. Avoided costs. Small renewable power projects.
Sec. 16-243b. Definitions. Jurisdiction.
Sec. 16-243c. Electricity transmission and distribution services for electric cooperatives utilizing cogeneration technology and renewable energy resources.
Sec. 16-243d. Project by private power producer deemed "industrial project".
Sec. 16-243e. Electric company purchase of electricity generated by municipal resources recovery facilities.
Sec. 16-243f. Private power providers. Regulations concerning the purchase and sale of electricity.
Sec. 16-243g. Assignment of electricity purchase agreements.
Sec. 16-243h. Credit to residential customers who generate electricity; metering.
Sec. 16-244. Electric deregulation; findings and declarations.
Sec. 16-244a. Rate freeze for electric service.
Sec. 16-244b. Electric customers to choose electric suppliers. Phase-in of electric deregulation.
Sec. 16-244c. Standard offer. Rates of standard offer established by department; duration; adjustments; eligibility. Duties of electric distribution company to provide default and back-up generation services; procedures.
Sec. 16-244d. Education outreach program for electric deregulation, scope. Hiring of consultant to implement program. Consumer Education Advisory Council established. Determination of environmental costs and benefits of energy sources.
Sec. 16-244e. Unbundling by electric companies of generation functions from transmission and distribution functions. Plan.
Sec. 16-244f. Divestiture of nonnuclear electric generation facilities. Plan. Approval of sale by department.
Sec. 16-244g. Divestiture of nuclear electric generation facilities. Plan. Approval of sale by department.
Sec. 16-244h. Code of conduct for electric distribution companies, generation entities or affiliates and electric suppliers. Contents of code. Penalties, damages.
Sec. 16-244i. Duties of electric distribution companies.
Sec. 16-245. Licensing of electric suppliers. Procedures. Penalties.
Sec. 16-245a. Portfolio standards for electric suppliers; electricity generated from renewable energy sources.
Sec. 16-245b. Municipalities and regional water authorities acting as electric aggregators; registration with department.
Sec. 16-245c. Municipal electric utilities participating in deregulated environment. Authority to provide generation services outside service area.
Sec. 16-245d. Billing of electric service; standard format; contents.
Sec. 16-245e. Stranded costs of electric companies. Definitions. Calculation by department, procedures, adjustments. Mitigation.
Sec. 16-245f. Funding of stranded costs through rate reduction bonds, restrictions.
Sec. 16-245g. Competitive transition assessment. Determination by department of amount and how applied to electric customers. Duration.
Sec. 16-245h. Transition property. Surplus competitive transition assessment. Restrictions on use of transition property by electric or electric distribution companies.
Sec. 16-245i. Department to issue financing orders for recovery of stranded costs.
Sec. 16-245j. Rate reduction bonds; terms.
Sec. 16-245k. Security interest in transition property described; creation; perfection. Transferring transition property. Duration of department's authority to issue financing orders.
Sec. 16-245l. Systems benefits charge. Determination by department of amount and how applied to customers.
Sec. 16-245m. Conservation and load management program; charge assessed against electric customers to fund program; scope and purpose of program.
Sec. 16-245n. Renewable Energy Investment Fund created; charge assessed against electric customers to fund Investment Fund; purpose.
Sec. 16-245o. Restrictions on use of customer information for marketing. Promotional inserts in electric bills prohibited. Procedures for entering and terminating service contracts. Penalties.
Sec. 16-245p. Information re electric supplier to be provided to customers; quarterly reports.
Sec. 16-245q. Changing electric suppliers.
Sec. 16-245r. Discrimination by electric suppliers prohibited.
Sec. 16-245s. Switching electric suppliers; procedures; penalties.
Sec. 16-245t. Complaints to department re electric suppliers; procedures; remedies.
Sec. 16-245u. Unfair and discriminatory conduct and unfair trade practices in electric market prohibited. Investigations.
Sec. 16-245v. List of displaced electric utility employees to be provided to distribution companies and electric suppliers.
Sec. 16-245w. Fee to be paid by self-generation facilities in lieu of certain assessments; study by department.
Sec. 16-245x. Monitoring and reporting by department of electric rates of each customer class. Action to minimize rate differential.
Sec. 16-245y. Annual reporting re status of electric deregulation.
Sec. 16-246. Other companies which may sell electricity.
Sec. 16-246a. Definitions.
Sec. 16-246b. Area within which domestic company may generate and transmit electric energy.
Sec. 16-246c. Area within which foreign electric company may generate and transmit electric energy.
Sec. 16-246d. Joint ownership of facility. Waiver of right to partition.
Sec. 16-246e. Procurement and sale by department of electric power capacity and power output from out-of-state producers. Approval by Governor.
Sec. 16-246f. Electric company emergency assistance.
Sec. 16-247. Foreign telephone companies.
Sec. 16-247a. Goals of the state. Definitions.
Sec. 16-247b. Unbundling of telephone company's network, services and functions. Access to telephone company's telecommunications services, functions and unbundled network elements. Rates for competitive or emerging competitive service. Subsidization prohibited.
Sec. 16-247c. Provision of intrastate telecommunications services. Civil penalty. Competition.
Sec. 16-247d. Biennial reports on competition for intrastate interexchange telecommunications service. Plan for implementing competition. General Assembly approval required.
Sec. 16-247e. Basic telecommunications services. Lifeline and telecommunications relay service programs. Universal service program.
Sec. 16-247f. Regulation of telecommunications services: Initial classifications, reclassifications, tariffs.
Sec. 16-247g. Certificate of public convenience and necessity for intrastate telecommunications services: Application, requirements, suspension, revocation. Fees. Obligation to serve.
Sec. 16-247h. Use of public right-of-way for provision of intrastate telecommunications service.
Sec. 16-247i. Telecommunications service and regulation status report.
Sec. 16-247j. Regulations.
Sec. 16-247k. Alternative forms of regulation for telephone companies: Plan requirements, monitoring period, modification.
Sec. 16-247l. Access by certified telecommunications providers to occupied buildings: Service, wiring, compensation, regulations, civil penalty.
Sec. 16-247m. Withdrawal by telephone company of retail telecommunications service. Applications.
Sec. 16-247n. Certification of telephone company's operations support systems interface. Rates. Proceedings.
Sec. 16-247o. Consultant to test operations support systems interface.
Sec. 16-247p. Quality-of-service standards. Performance Standards.
Sec. 16-247q. Education outreach program for telecommunications competition, scope. Consumer Education Advisory Council established.
Sec. 16-247r. Discrimination by telephone companies and certified telecommunications providers prohibited.
Sec. 16-247s. Directory assistance database.
Sec. 16-248. Rights of telephone company in operation May 23, 1985.
Sec. 16-249. Department to authorize extension of operations of telephone companies.
Sec. 16-250. Determination of public convenience and necessity for extension.
Sec. 16-250a. Reselling or sharing of line purchased or leased from telephone company.
Sec. 16-250b. Cellular mobile telephone service. Department jurisdiction over. Regulations.
Sec. 16-251. Bonds of telephone company.
Sec. 16-252. Bonds may be secured by mortgage.
Sec. 16-253. Amount of capital to be paid in.
Sec. 16-254. Subscriptions for cash.
Sec. 16-255. General powers.
Secs. 16-255a to 16-255i. Acquisition of control of domestic telephone companies limited; statement; expenses of department. Form of statement. Hearing re department approval of acquisition; standard of review. Nonvotable securities; injunctive relief. Regulations. Appeals. Remedial and penal provisions. Exemptions. Severability.
Sec. 16-256. Notice of offense in party line usage in telephone directory.
Sec. 16-256a. Directory assistance charge prohibited.
Sec. 16-256b. Special telecommunications equipment for deaf and hearing impaired persons. Fund. Amplification controls for coin and coinless telephones installed for public or semipublic use.
Sec. 16-256c. Extended local calling criteria. Calling volume. Subscriber survey and vote. Petitions.
Sec. 16-256d. Itemized telephone bills for business customers.
Sec. 16-256e. Recorded telephone message devices prohibited.
Sec. 16-256f. Blocking service available to customers.
Sec. 16-256g. Proceeding to determine monthly subscriber fee. Assessment of subscribers for Enhanced 9-1-1 Telecommunications Fund.
Sec. 16-256h. Business to residential pricing ratio for basic exchange service.
Sec. 16-256i. Primary local or intrastate interexchange carrier orders. Unauthorized switching. Penalty.
Sec. 16-256j. Billing for telecommunications services. Information re carriers.
Sec. 16-257. Recording of agreement of consolidation or merger of electric and gas companies.
Sec. 16-258. Standards concerning electricity and gas.
Sec. 16-258a. Registration of natural gas sellers. Procedures. Penalties.
Sec. 16-258b. Registration of electric generating facilities.
Sec. 16-259. Inspection of meters.
Sec. 16-259a. Inaccurate billing. Financial liability of customer. Payment plan.
Sec. 16-260. Water meters may be required.
Sec. 16-261. Extension of electric lines to unserved areas. Determination of rates.
Sec. 16-261a. Interagency electric and magnetic fields task force; composition; study. Assessment of electric public service companies for specified expenses of task force.
Sec. 16-262. Gas companies authorized to deal in natural gas.
Sec. 16-262a. Water company to have area resident as director or advisory council of area residents.
Sec. 16-262b. Notice of discharge of explosives or highway excavation to gas companies.
Sec. 16-262c. Termination of utility service for nonpayment, when prohibited. Amortization agreements. Moneys allowed to be deducted from customers' accounts and moneys to be included in rates as an operating expense. Hardship cases. Notice. Regulations. Annual reports. Privacy of individual customer utility usage and billing information.
Sec. 16-262d. Termination of residential utility service on account of nonpayment. Notice. Nontermination in event of illness during pendency of customer complaint or investigation. Amortization agreement. Appeal. Notice re credit rating information.
Sec. 16-262e. Notice furnished tenants re intended termination of utility service. Assumption by tenants of liability for future service. Liability of landlords for certain utility services. Deduction from rent.
Sec. 16-262f. Action for receivership of rents and common expenses by electric, electric distribution, gas and telephone companies; petition; hearing; appointment; duties; termination.
Sec. 16-262g. Penalty.
Sec. 16-262h. Nonexclusivity of remedy.
Sec. 16-262i. Regulations.
Sec. 16-262j. Refusal of residential utility service. Regulations. Refusal of telecommunications service to a candidate or committee. Interest on customer security deposits. Deposit index.
Sec. 16-262k. Interconnection of public water supply systems to relieve site-specific water shortages.
Sec. 16-262l. Receivership of water companies for failure to provide adequate service. Personal liability of directors, officers and managers.
Sec. 16-262m. Construction specifications for water companies.
Sec. 16-262n. Definition. Economic viability of water companies. Reviews. Failure to comply with orders. Hearings.
Sec. 16-262o. Acquisition of water company ordered by department. Rates and charges. Recovery of acquisition costs.
Sec. 16-262p. Improvements by acquiring entity.
Sec. 16-262q. Compensation for acquisition of water company.
Sec. 16-262r. Satellite management of water companies. Expedited rate proceedings.
Sec. 16-262s. Voluntary acquisition of water company. Surcharges.
Sec. 16-262t. Action for receivership of rent and common expenses by water companies; petition; hearing; appointment; duties; termination.


Sec. 16-228. Telegraph and telephone lines. Each telegraph company may maintain and construct telegraph lines, and, subject to the restrictions of sections 16-18, 16- 248, 16-249 and 16-250, each telephone company may construct and maintain telephone lines, upon any highway or across any waters in this state, by the erection and maintenance of the necessary fixtures, including posts, piers or abutments, for sustaining wires; but the same shall not be so constructed as to incommode public travel or navigation or injure any tree without the consent of the owner, nor shall such company construct any bridge across any waters. Such lines shall be personal property.
(1949 Rev., S. 5639; P.A. 85-187, S. 9, 15.)
History: P.A. 85-187 deleted obsolete reference to Sec. 16-247.
See Sec. 16-236 re appraisal of damages and assessment of costs.
Selectmen's permission does not justify telephone company in cutting trees on highway. 66 C. 559. Right of nonresident telegraph company to enter state and use highways. 91 C. 38. Cited. 235 C. 408, 410.
Cited. 44 CS 45, 47.

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Sec. 16-229. Excavation in highway. Any public service company incorporated under the provisions of the statutes or by special act for the purpose of transmitting or distributing gas, water or electricity or for telephone purposes, desiring to open or make any excavation in a portion of any public highway for the carrying out of any purpose for which it may be organized other than the placing or replacing of a pole or of a curb box, shall, if required by the authority having jurisdiction over the maintenance of such highway, make application to such authority, which may, in writing, grant a permit for such opening or excavation upon such terms and conditions as to the manner in which such work shall be carried on as may be reasonable.
(1949 Rev., S. 5640; 1959, P.A. 262.)
History: 1959 act added water companies to scope of section.
Cited. 162 C. 53.

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Sec. 16-230. Bond requirement. Before any such public service company makes any such application, it shall file with the Secretary of the State a bond, with surety, in form and amount satisfactory to and approved by him, to save harmless any person or corporation which may be injured by the negligent carrying on of such work, which bond may be a continuing bond to cover all of such work conducted by such public service company in this state during the term of such bond, but said Secretary may dispense with the filing of any such bond upon the furnishing to him of satisfactory proof of the solvency and the financial ability of such public service company to pay any damages resulting from such negligent carrying on of such work, and said Secretary shall issue to such company his certificate that such bond has been filed or proof of solvency furnished. No such bond or further proof of solvency and financial ability shall be required by the Secretary of the State, or by any other authority, of any such public service company which has, within the preceding twelve months, filed with the Secretary of the State a certification, attested by the secretary of such company, that the combined paid-in capital and surplus of such company is not less than five hundred thousand dollars.
(1949 Rev., S. 5641; 1957, P.A. 85; 1971, P.A. 367.)
History: 1971 act made waiver of bond applicable to companies with capital and surplus of five hundred thousand dollars or more rather than one hundred fifty thousand dollars or more.
Cited. 162 C. 53.

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Sec. 16-231. Appeal. Any such company aggrieved by the neglect or refusal of the authority having such jurisdiction to grant such permit, or by the terms and conditions therein imposed, may appeal to the Department of Public Utility Control, which may, upon giving reasonable notice of such appeal and of the time and place where it will be heard, determine whether such permit ought to be granted, or such terms and conditions altered, and may, subject to such right of appeal to the Superior Court as provided in the case of other orders, authorizations and decisions of the department, grant such permit in writing upon such terms and conditions as to the carrying on of such work as it finds just and reasonable.
(1949 Rev., S. 5642; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 100, 348.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation.
Cited. 162 C. 53.

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Sec. 16-232. Rights of companies organized under general law. No electric light or electric power company organized under any former joint stock law of this state shall use or occupy any highway or public grounds or be entitled to the powers or privileges enumerated in this chapter, without special authority from the General Assembly.
(1949 Rev., S. 5643.)
Electric light and power company is a public service corporation. 84 C. 312.

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Sec. 16-233. Municipal and state signal wires. Each town, city, borough, fire district or the Department of Transportation shall have the right to occupy and use for municipal and state signal wires, without payment therefor, one gain upon each public utility pole or in each underground communications duct system installed by a public service company within the limits of any such town, city, borough or district. The location or relocation of any such gain shall be prescribed by the Department of Public Utility Control. Any such gain shall be reserved for use by the town, city, borough, fire district or the Department of Transportation.
(1949 Rev., S. 5644; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 101, 348; P.A. 94-188, S. 14.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 94-188 granted the department of transportation the right to occupy and use for state signal wires, without payment therefor, one gain upon each public utility pole or in each underground communications duct system installed by a public service company and added a provision that any such gain would be reserved for use by the town, city, borough, fire district or the department of transportation.

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Sec. 16-234. Rights of adjoining proprietors. No telegraph, telephone or electric light company or association, nor any company or association engaged in distributing electricity by wires or similar conductors or in using an electric wire or conductor for any purpose, shall exercise any powers which may have been conferred upon it to change the location of, or to erect or place, wires, conductors, fixtures, structures or apparatus of any kind over, on or under any highway or public ground, without the consent of the adjoining proprietors, or, if such company or association is unable to obtain such consent, without the approval of the Department of Public Utility Control, which shall be given only after a hearing upon notice to such proprietors; or to cut or trim any tree on or overhanging any highway or public ground, without the consent of the owner thereof, or, if such company or association is unable to obtain such consent, without the approval of the tree warden or the consent of the department, which consent shall be given only after a hearing upon notice to such owner; but the department may, if it finds that public convenience and necessity require, authorize the changing of the location of, or the erection or placing of, such wires, conductors, fixtures, structures or apparatus over, on or under such highway or public ground; and the tree warden in any town or the department may, if he or it finds that public convenience and necessity require, authorize the cutting and trimming and the keeping trimmed of any brush or tree in such town on or overhanging such highway or public ground, which action shall be taken only after notice and hearing as aforesaid, which hearing shall be held within a reasonable time after the application therefor.
(1949 Rev., S. 5645; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 102, 348.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation.
See Secs. 16-11 and 16-18 re powers of Department of Public Utility Control.
See Sec. 16-236 re appraisal of damages and assessment of costs.
See Sec. 23-65 re defacement, pruning or removal of trees.
In use of public streets for transmission of electric currents, high degree of care is required. 67 C. 445; 70 C. 65; 75 C. 548; 80 C. 470. See 91 C. 563. Right of telephone company in street; effect of consent by abutting owners; mere maintenance of line illegally would not justify injunctive relief. 90 C. 182; 92 C. 635. Cited. 161 C. 430. Cited. 162 C. 93. A railroad's right-of-way is not a "highway" as contemplated by this section. 168 C. 478. The term "adjoining proprietors" as used in this section means owners of property contiguous to the highway or public ground over, on or under which the transmission line or other facility in question is erected or placed. 168 C. 478.

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Sec. 16-235. Control by local authorities. Orders. Appeals. Except as provided in section 16-243, the selectmen of any town, the common council of any city and the warden and burgesses of any borough shall, subject to the provisions of section 16-234, within their respective jurisdictions, have full direction and control over the placing, erection and maintenance of any such wires, conductors, fixtures, structures or apparatus, including the relocation or removal of the same and the power of designating the kind, quality and finish thereof, but no authority granted to any city or borough or a town planning, zoning, inland wetland, historic district, building, gas, water or electrical board, commission or committee created under authority of the general statutes or by virtue of any special act, shall be construed to apply to so much of the operations, plant, building, structures or equipment of any public service company as is under the jurisdiction of the Department of Public Utility Control, or the Connecticut Siting Council, but zoning commissions and inland wetland agencies may, within their respective municipalities, regulate and restrict the proposed location of any steam plant, gas plant, gas tank or holder, water tank, electric substation, antenna, tower or earth station receiver of any public service company not subject to the jurisdiction of the Connecticut Siting Council. Any local body mentioned in this section and the appellate body, if any, may make all orders necessary to the exercise of such power, direction or control, which orders shall be made within thirty days of any application and shall be in writing and recorded in the records of their respective communities, and written notice of any order shall be given to each party affected thereby. Each such order shall be subject to the right of appeal within thirty days from the giving of such notice by any party aggrieved to the Department of Public Utility Control, which, after rehearing, upon notice to all parties in interest, shall as speedily as possible determine the matter in question and shall have jurisdiction to affirm or modify or revoke such orders or make any orders in substitution thereof.
(1949 Rev., S. 5646; 1971, P.A. 575, S. 12; P.A. 73-458, S. 13; P.A. 75-375, S. 10, 12; 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 79-251; P.A. 80-482, S. 103, 348; P.A. 86-187, S. 7, 10; P.A. 87-589, S. 6, 30, 87.)
History: 1971 act added references to power facility evaluation council; P.A. 73-458 clarified jurisdiction of local boards, commissions etc. over companies "not subject to ... the power facility evaluation council"; P.A. 75-375 included references to inland wetland and historic district commissions and gave these two types of commission jurisdiction over companies not subject to power facility evaluation council rather than boards, commissions etc. having power to regulate location of structures, trades, industries and business; P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 79-251 allowed regulation of antennas, towers and earth station receivers; P.A. 80-482 made division of public utility control an independent department and deleted reference to abolished department of business regulation; P.A. 86-187 replaced power facility evaluation council with Connecticut siting council; P.A. 87- 589 made technical change, substituting Connecticut siting council for power facility evaluation council.
Telephone and railway companies may use the same pole for wires. 70 C. 54. Consent of adjoining proprietors need not precede action by municipal authorities; whether action by municipal authority on petition is mandatory, quaere. 71 C. 381. Charter power to construct underground conduits held to leave power of regulation with local authorities. 71 C. 657. Contract permitting telephone company to use poles belonging to city construed. 74 C. 326. Power of municipalities to regulate wires and fixtures of street railway; appeal. 80 C. 623. Zoning commission acts as special agency of the state and is empowered to issue orders regulating and restricting subject to appeal to public utilities commission. Constitutionality upheld. 140 C. 650; 145 C. 243. If order is on records of zoning commission, it is properly recorded. 145 C. 243. Personal service need only be made on those under duty to comply with order. Id. Provisions re recording and notice of order are directory. Id. Standard used by zoning commission should be that used in public utility regulation. Contract commitments of public utility outside franchise area held valid consideration for public utility commission's finding. Id. Zoning board of appeals may hear request of public service company for extension of nonconforming use and in such capacity acts as special agency of state. 147 C. 229. Cited. 149 C. 101, 104. This is not a condemnation statute. 152 C. 688. Claim that, for the purposes of section 16-236, phrase "anything done" under this section is restricted to case where there has been a physical invasion of plaintiff's property is without merit. Id., 690. Boards of zoning or selectmen do not have power to regulate power transmission lines over private property. 161 C. 430. Cited. 162 C. 53. Jurisdiction of water resources commission over transmission lines above rivers. 162 C. 89. Cited. 162 C. 93. Cited. 206 C. 65, 70.
Cited. 20 CA 474, 486.

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Sec. 16-236. Appraisal of damages; costs. Any judge of the Superior Court may, upon the application of any party interested, and after notice, unless the application has been unreasonably delayed, appoint three disinterested persons to make a written appraisal of all damages due any person by reason of anything done under any provision of section 16-228 or 16-234 or which is in violation of any order made under section 16-235. Such appraisal, when approved by such judge, shall be returned to and recorded by the clerk of the superior court for the judicial district where the cause of action arose, and thereupon the sum specified therein shall be paid immediately by the company to the party entitled to the same, or the judge may order the same to be paid immediately into the hands of such clerk, to be delivered by him on demand to such party. The costs of such proceedings shall be taxed by such judge and paid by such company, and he may issue execution therefor and for such damages.
(1949 Rev., S. 5647; 1963, P.A. 349; P.A. 78-280, S. 2, 127.)
History: 1963 act added "violations of orders under" Sec. 16-235 to first sentence; P.A. 78-280 substituted "judicial district" for "county".
Section valid; taking of land is not for private purpose. 90 C. 179; 92 C. 635. Cited. 149 C. 100. Legislative history. Id., 102. Indicates legislative intent to depart from strict eminent domain principles as basis for damages and to provide for payment, to any party interested, of damages for anything done under or by authority of section 16-235. Id., 104. Claim that plaintiff asking for damages under this section is required first to appeal to public utilities commission from the granting of the permit is without merit. 152 C. 690. Claim that phrase "anything done" under section 16-235 is restricted to case where there has been a physical invasion of plaintiff's property is without merit. Id. Whether plaintiff's application has been "unreasonably delayed" is an issue of fact, dependent upon the surrounding circumstances. Id., 691.

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Sec. 16-237. No prescriptive right. No person or corporation building and maintaining telegraph, telephone or electric light or power wires or fixtures, or electrical wires, conductors or fixtures of any kind shall, by reason of any occupation or use of any buildings or lands for the support of the wires of such person or corporation, or by reason of such wires passing over or through any buildings or lands, acquire by the continuance of such use or occupation any prescriptive right to so occupy or use the same. No length of possession, user or occupancy of any buildings or land, or adverse to any easement therein or right thereto belonging to a telegraph, telephone or electric light or power corporation, and used or acquired for use for its corporate purposes, shall create or continue any right in or to such land, or adverse to any such easement.
(1949 Rev., S. 5648.)

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Sec. 16-238. Wires may be cut; notice. When it is deemed necessary to cut or otherwise disconnect the wires or fixtures of any telegraph, telephone, electric light or power company or other company or association hereinbefore referred to, or to remove such wires from the poles or fixtures to which they are attached, for the transportation of any object on the highway or upon any waterway, any person or corporation may do so, exercising reasonable care therein, after obtaining written consent of the municipality or other authority having control over such highway or waterway and the public service company or companies affected, which consent may be granted under such reasonable conditions as such municipality or other authority having such control and such company or companies may impose. If such consent cannot be secured, or if any of such conditions is not acceptable to the person or corporation seeking such consent, the Department of Public Utility Control shall, upon written application by such person or corporation and after notice to all parties affected, determine the necessity of such disconnection or removal and order the terms and conditions under which it shall be made.
(1949 Rev., S. 5649; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 104, 348.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation.

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Sec. 16-239. Dispatches transmitted in order. Exceptions. Section 16-239 is repealed.
(1949 Rev., S. 5651; P.A. 88-220, S. 8, 11.)

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Sec. 16-240. Delivery of messages. Each telegraph company, engaged in the business of dispatching messages for the public, shall, in towns where no free delivery is maintained, deliver all dispatches to the persons to whom the same are addressed, or their agents, by messenger, upon prepayment by the person sending such dispatch of any proper charge for such delivery, provided such persons addressed, or their agents, reside within one mile of the telegraph station to which the dispatch is sent. For each failure to deliver a dispatch as required by this section, the person to whom the dispatch should have been delivered may recover of such company twenty dollars in an action on this section.
(1949 Rev., S. 5652.)

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Sec. 16-241. Mortgage by telegraph company. The mortgage by any telegraph company, to secure its bonds or other evidences of indebtedness, of all or any part of its lines, appliances, machines or machinery, whether owned by it at the date of such mortgage, or thereafter to be acquired by it, or both, shall be valid and effectual as respects all the property therein included and may be foreclosed in the same manner as mortgages of real estate; and the record thereof in the office of the Secretary of the State shall be a sufficient record and notice to protect the title under the mortgage, notwithstanding such company may remain in possession of all or any part of the mortgaged property.
(1949 Rev., S. 5653.)

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Sec. 16-242. Telephone service to telegraph companies. Each person or corporation owning, controlling or operating a telephone exchange or service in this state shall, on application of any telegraph company, furnish such company with the use of a telephone or telephones and telephone service and connection with their respective exchanges and the subscribers thereto, without discrimination between telegraph companies as to such connections, service or use of instruments furnished, or charges therefor, for the same class of service. Any court in this state having equity jurisdiction shall, upon petition of any party in interest, enforce the provisions of this section by any suitable process or decree in equity.
(1949 Rev., S. 5654.)

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Sec. 16-243. Jurisdiction of department over electricity transmission lines. The Department of Public Utility Control shall have exclusive jurisdiction and direction over the method of construction or reconstruction in whole or in part of each system used for the transmission or distribution of electricity, with the kind, quality and finish of all materials, wires, poles, conductors and fixtures to be used in the construction and operation thereof, and the method of their use, including all plants and apparatus used for generating electricity located upon private property upon which there are conductors capable of transmitting electricity to other premises in such manner as to endanger any person or property. The department may make any order necessary to the exercise of such power and direction, which order shall be in writing and entered in the records of the department. Each person or corporation operating any such system or generating plant shall, at its expense, comply with such order. Any person violating any provision of any such order shall be subject to the penalty prescribed in section 16-41.
(1949 Rev., S. 5655; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 105, 348; P.A. 98-28, S. 101, 117.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 98-28 added the distribution of electricity, effective July 1, 1998.
See Sec. 16-235 re control of placing, erection and maintenance of wires and other fixtures by local authorities.
Cited. 140 C. 650. Exclusive jurisdiction over direction of power line on private land is within the public utilities commission. 161 C. 430. Cited. 162 C. 89. Contains constitutionally adequate standards. 165 C. 687. Cited. 168 C. 478.

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Sec. 16-243a. Private power producers. Purchase and sale of electricity. Avoided costs. Small renewable power projects. (a) As used in this section, "avoided costs" means the incremental costs to an electric public service company, municipal electric energy cooperative organized under chapter 101a or municipal electric utility organized under chapter 101, of electric energy or capacity or both which, but for the purchase from a private power producer, as defined in section 16-243b, such company, cooperative or utility would generate itself or purchase from another source.
(b) Each electric public service company, municipal electric energy cooperative and municipal electric utility shall: (1) Purchase any electrical energy and capacity made available, directly by a private power producer or indirectly under subdivision (4) of this subsection; (2) sell backup electricity to any private power producer in its service territory; (3) make such interconnections necessary to accomplish such purchases and sales; (4) upon approval by the Department of Public Utility Control of an application filed by a willing private power producer, transmit energy or capacity from the private power producer to any other such company, cooperative or utility or to another facility operated by the private power producer; and (5) offer to operate in parallel with a private power producer. In making a decision on an application filed under subdivision (4) of this subsection, the department shall consider whether such transmission would (A) adversely impact the customers of the company, cooperative or utility which would transmit energy or capacity to the private power producer, (B) result in an uncompensated loss for, or unduly burden, such company, cooperative, utility or private power producer, (C) impair the reliability of service of such company, cooperative or utility or (D) impair the ability of the company, cooperative or utility to provide adequate service to its customers. The department shall issue a decision on such an application not later than one hundred twenty days after the application is filed, provided, the department may, before the end of such period and upon notifying all parties and intervenors to the proceeding, extend the period by thirty days. If the department does not issue a decision within one hundred twenty days after receiving such an application, or within one hundred fifty days if the department extends the period in accordance with the provisions of this subsection, the application shall be deemed to have been approved. The requirements under subdivisions (3), (4) and (5) of this subsection shall be subject to reasonable standards for operating safety and reliability and the nondiscriminatory assessment of costs against private power producers, approved by the Department of Public Utility Control with respect to electric public service companies or determined by municipal electric energy cooperatives and municipal electric utilities.
(c) The Department of Public Utility Control, with respect to electric public service companies, and each municipal electric energy cooperative and municipal electric utility shall establish rates and conditions of service for: (1) The purchase of electrical energy and capacity made available by a private power producer and (2) the sale of backup electricity to a private power producer. The rates for electricity purchased from a private power producer shall be based on the full avoided costs of the electric public service company, municipal electric energy cooperative or municipal electric utility, regardless of whether the purchaser is simultaneously making sales to the private power producer. Payment for energy and capacity purchased from a private power producer by any such company, cooperative or utility shall be pursuant to such rates and conditions or the terms of a contract between the parties. The rates and conditions of service for the purchase of energy and capacity established by the department pursuant to this subsection shall include specific schedules for pricing in long-term contracts for the sale of electricity from small renewable power projects to electric public service companies by private power producers. Such schedules shall not exceed the present worth of the projected avoided costs of the electric public service company over the term of the contract. The department shall apply to a proposed contract filed with the department after January 1, 1992, by a private power producer for a small renewable power project the rates and conditions of service, including the pricing schedule, in effect on the date the private power producer submits its proposed contract to the department, regardless of the subsequent creation of differing schedules or the subsequent amendment of existing schedules.
(d) When any person, firm or corporation proposes to enter into a contract to sell energy and capacity as a private power producer, an electric public service company, municipal electric energy cooperative or municipal electric utility shall respond promptly to all requests and offers and negotiate in good faith to arrive at a contract which fairly reflects the provisions of this section and the anticipated avoided costs over the life of the contract. Upon application by a private power producer, the department may approve a contract which provides for payment of less than the anticipated avoided costs if, considering all of the provisions, the contract is at least as favorable to the private power producer as a contract providing for the full avoided costs. The contract may extend for a period of not more than thirty years at the option of the private power producer if it has a generating facility with a capacity of at least one hundred kilowatts.
(e) The department shall consider generating capacity available from cogeneration technology and renewable energy resources in its periodic reviews of electric public service companies and shall require the companies to include the availability of such capacity in applications for rate relief filed in accordance with section 16-19a.
(f) If a private power producer believes that an electric company has violated any provision of this section it may submit a written petition alleging such violation to the department. Upon receipt of the petition, the department shall fix a time and place for a hearing and mail notice of the hearing to the parties in interest at least one week in advance. Upon the hearing, the department may, if it finds the company has violated any such provision, prescribe the manner in which it shall comply.
(g) After January 1, 1992, the department shall approve each proposed contract submitted by a private power producer for a small renewable power project, with any modifications agreed to by the parties to the contract, if the filing meets the standards for exemption from the proposal process and for an approvable contract established pursuant to section 16-6b, and is consistent with the pricing schedules adopted pursuant to subsection (c) of this section. Nothing in this section shall preclude a modification of such a contract if the parties to the contract agree to the modification. Any such modification shall be approved by the department. The department shall reconsider each decision issued pursuant to this section between January 1, 1992, and June 29, 1993, regarding such contracts and shall make any modifications to each such decision necessary to ensure that each such decision conforms with the provisions of this section.
(P.A. 79-214, S. 2; P.A. 80-167, S. 2; 80-482, S. 4, 40, 345, 348; P.A. 81-439, S. 6, 14; P.A. 82-164; P.A. 85-534, S. 4, 5; P.A. 86-289, S. 2, 5; 86-403, S. 111, 132; P.A. 89-43, S. 1, 2; P.A. 93-299, S. 1, 3.)
History: P.A. 80-167 included municipal electric energy cooperatives under provisions of section; P.A. 80-482 made division of public utility control an independent department and abolished department of business regulation; P.A. 81-439 repealed Subsecs. (a) and (b) and amended and relettered Subsecs. (c) and (d) to make rates and conditions of service applicable to all electricity generated by private power producer, rather than to excess electricity generated by producer of more than one megawatt by cogeneration or use of renewable resources, and to all electricity generated by producer of one megawatt or less by such methods; P.A. 82-164 substantially amended the section, adding provisions concerning avoided costs, interconnections, wheeling, parallel operations, contracting, and petitioning department of public utility control; P.A. 85-534 extended, from twenty to thirty years, the maximum contract period where a private power producer has a generating facility with a capacity of at least one hundred kilowatts; P.A. 86-289 made requirement under Subdiv. (4) of Subsec. (b) subject to department approval, set forth department considerations and deadlines for such approval proceedings and made technical revisions, effective June 5, 1986, but not applicable to applications filed under the section with the public utility control department before March 1, 1986; P.A. 86-403 changed applicable date in effective date of P.A. 86-289 from March 1 to May 7, 1986; P.A. 89-43 added provision in Subsec. (c) for specific schedules for pricing in long-term contracts; P.A. 93-299 amended Subsec. (c) by adding provision regarding rates and conditions to be applied to proposed contracts for small renewable power projects, deleting reference to producers with a capacity of five megawatts or less and added new Subsec. (g) regarding approval and modification of proposed contracts for small renewable power projects, effective June 29, 1993.
Cited. 210 C. 349, 357, 359.
Subsec. (a):
Cited. 210 C. 349, 354.
Subsec. (b):
Cited. 210 C. 349, 355, 358.
Subsec. (c):
Cited. 210 C. 349, 351. Subdiv. (2) cited. Id., 349, 355, 358.

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Sec. 16-243b. Definitions. Jurisdiction. (a) As used in this title:
(1) "Private power production facility" means a facility which generates electricity in the state (A) solely through the use of cogeneration technology, provided the average useful thermal energy output of the facility is at least twenty per cent of the total energy output of the facility, (B) solely through the use of renewable energy sources or (C) through both only;
(2) "Useful thermal energy output" means the thermal energy made available for use in any industrial or commercial process, or used in any heating or cooling application;
(3) "Private power producer" means (A) a subsidiary of a gas public service company which is not affiliated with an electric public service company, or a subsidiary of a holding company controlling, directly or indirectly, a gas public service company but not an electric public service company, which generates electricity solely through ownership of fifty per cent or less of a private power production facility or, with the approval of the Department of Public Utility Control, through ownership of one hundred per cent of a private power production facility which (i) uses a source of energy other than gas as the primary energy source of the facility or (ii) uses gas as the primary energy source of the facility and uses an improved and innovative technology which furthers the state energy policy as set forth in section 16a-35k, (B) a subsidiary of any other public service company or a subsidiary of a holding company controlling, directly or indirectly, such a public service company, which generates electricity solely through ownership of fifty per cent or less of a private power production facility or (C) the state, a political subdivision of the state or any other person, firm or corporation other than a public service company or any corporation which was a public service company, prior to July 1, 1981, and which consents to be regulated as a public service company or a holding company for a public service company, which generates electricity solely through ownership of one hundred per cent or less of a private power production facility or (D) any combination thereof;
(4) "Private power provider" means any person, firm, corporation, nonprofit corporation, limited liability company, governmental entity, or other entity, including any public service company, holding company, or subsidiary, which provides energy conservation or demand management measures pursuant to section 16-243f and regulations and orders issued hereunder, which replace the need for electricity generating capacity that electric public service companies would otherwise require;
(5) "Electricity conservation or demand management measures" means the provision pursuant to this section and section 16-243f and regulations and orders adopted hereunder by a private power provider to an electric public service company or its customers of equipment or services or both designed to conserve electricity or to manage electricity load; and
(6) "Small renewable power project" means any private power production facility which has a capacity of five megawatts or less and is fueled by a renewable resource, as defined in section 16a-2, other than wood.
(b) No provision of this section shall limit the jurisdiction of the Department of Public Utility Control with regard to the effects on a public service company of a private power producer which is an affiliate or a subsidiary of the public service company.
(P.A. 81-439, S. 1, 14; P.A. 85-534, S. 1, 5; P.A. 86-289, S. 1, 5; 86-403, S. 110, 111, 132; P.A. 88-195, S. 1, 3; P.A. 93-299, S. 2, 3; P.A. 95-79, S. 51, 189.)
History: P.A. 85-534 added Subsec. (b), enabling utilities to be deemed to be private power producers on limited basis; P.A. 86-289 replaced entire section with new provisions, effective June 5, 1986, but not applicable to applications filed under the section with the public utility control department before March 1, 1986; P.A. 86-403 made technical changes in definition of "private power production facility" enacted by P.A. 86-289 and changed applicable date in effective date from March 1 to May 7, 1986; P.A. 88-195 redefined "private power producer" to include any corporation which was a public service company before 1981 and which consents to be regulated and added definitions of "private power provider" and "electricity conservation or demand management measures"; P.A. 93-299 amended Subsec. (a) by adding Subdiv. (6) defining "small renewable power project", effective June 29, 1993; P.A. 95-79 redefined "private power provider" to include a limited liability company, effective May 31, 1995.
Subsec. (a):
Subdiv. (1) cited. 210 C. 349, 354. Subdiv. (3) cited. Id., 349, 355.

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Sec. 16-243c. Electricity transmission and distribution services for electric cooperatives utilizing cogeneration technology and renewable energy resources. The Department of Public Utility Control may issue orders requiring electric companies to provide, within their service areas, electricity transmission and distribution services between a generating facility operated by an electric cooperative under subsection (b) of section 33-219 and those members of the cooperative operating the facility to whom the cooperative is authorized to furnish electricity under subsection (d) of section 33- 221 and governing the rates for the service. The department may not issue any order under this subsection which would significantly impair the ability of an electric company to perform its responsibilities to the public or would otherwise be contrary to the purposes of this title.
(P.A. 81-439, S. 11, 14; P.A. 84-512, S. 15, 30.)
History: P.A. 84-512 deleted reference to repealed Sec. 16a-35.

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Sec. 16-243d. Project by private power producer deemed "industrial project". A project to be used for the production of electricity by a private power producer, as defined in section 16-243b, shall be deemed an "industrial project" under chapter 579, provided that a portion of such electricity is produced for sale to other persons.
(P.A. 81-439, S. 12, 14.)

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Sec. 16-243e. Electric company purchase of electricity generated by municipal resources recovery facilities. (a) Any electric company, as defined in section 16-1, purchasing electricity generated by a resources recovery facility, as defined in section 22a-260, owned by, or operated by or for the benefit of, a municipality or municipalities, shall enter into a contract with the owner of such facility requiring the electric company to purchase all of the electricity generated at such facility from waste which originated in the franchise area of the electric company, for a period beginning on the date that the facility begins generating electricity and having a duration of not less than twenty years, at the same rate that the electric company charges the municipality or municipalities for electricity.
(b) Not later than April 1, 2000, the department shall determine the rate paid for electricity generated at the facility from waste that originated within the electric company's franchise area and that was purchased under each contract entered into pursuant to subsection (a) of this section during calendar year 1999. Not later than October 1, 2000, and annually thereafter, the department shall calculate the difference between the amount paid by the successor electric distribution company pursuant to each such contract in effect during the preceding fiscal year for electricity generated at the facility from waste that originated within such franchise area and the amount that would have been paid had the company been obligated to pay the rate in effect during calendar year 1999, as determined by the department. The difference, if positive, shall be recovered through the systems benefits charge established under section 16-245l and remitted to the regional resource recovery authority acting on behalf of member municipalities.
(P.A. 83-529, S. 1; P.A. 85-297, S. 3, 4; P.A. 94-92, S. 1; P.A. 98-28, S. 61, 117.)
History: P.A. 85-297 required electricity to be purchased by contract where previously electric companies were required to compensate municipalities for electricity produced by recovery facilities; P.A. 94-92 required purchase of all electricity generated at such facility from waste which originated in the franchise area of the electric company; P.A. 98-28 designated existing provisions as Subsec. (a) and added new Subsec. (b) re the maintenance of municipal rates at rate in effect during calendar year 1999, effective July 1, 1998.
Does not require purchase of all electrical output of Southeastern Conn. Regional Resources Recovery Authority at "municipal rate". 210 C. 349, 351, 352, 354−359. Provides for exclusive use of the "municipal rate" for purchase by an electric company from a resource recovery facility of electrical output attributable to franchise waste and that the parties' agreement unambiguously requires payment of the "municipal rate" for the entire output so attributed. 244 C. 280.

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Sec. 16-243f. Private power providers. Regulations concerning the purchase and sale of electricity. (a) The Department of Public Utility Control shall adopt regulations, in accordance with chapter 54, which establish procedures to determine the manner in which capacity needs of electric public service companies may be met through the provision of electricity conservation and demand management measures by private power providers, in addition to or in lieu of electricity generation facilities and to determine the monitoring and evaluation plans to be employed in documenting the demand and energy savings achieved, including, where practicable and cost-effective, impact measurement methods implemented through metering arrangements, with appropriate adjustment for weather normalization and other factors influencing usage levels. In adopting and implementing said regulations, the department shall take into account state energy policy, pursuant to section 16a-35k.
(b) A private power provider may offer to provide electricity conservation or demand management measures to an electric public service company pursuant to section 16-243b and this section and the regulations adopted under subsection (a) of this section. The department shall review and evaluate such proposals based on the factors specified in said regulations, and after notice and a hearing, render a determination as to the feasibility of the proposed electricity conservation and demand management measures. The department may, in accordance with such regulations, order an electric public service company to enter into an agreement with a private power provider where the private power provider would furnish electricity conservation or demand management measures to the electric public service company or its customers.
(P.A. 88-195, S. 2, 3; P.A. 92-122, S. 2.)
History: P.A. 92-122 amended Subsec. (a) to require department to include in its regulations the determination of monitoring and evaluation plans to be employed in documenting savings.

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Sec. 16-243g. Assignment of electricity purchase agreements. Notwithstanding any provision of the general statutes or of any special act to the contrary, no electric company, as defined in section 16-1, municipal electric energy cooperative established under chapter 101a or municipal electric utility established under chapter 101 which has entered into a contract to purchase electricity from a private power producer, as defined in section 16-243b, shall refuse or neglect to execute an assignment of an electricity purchase agreement or contract to a trustee as security for or protection of bonds issued to refinance outstanding bonds originally issued or reissued to finance the major portion of the costs of the acquisition, construction and installation of a private power production facility, as defined in section 16-243b.
(P.A. 94-92, S. 2.)

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Sec. 16-243h. Credit to residential customers who generate electricity; metering. On and after January 1, 2000, each electric supplier, as defined in section 16-1, shall give a credit for any electricity generated by a residential customer from a Class I renewable energy source or a hydropower facility as described in subdivision (27) of section 16-1. The electric distribution company providing electric distribution services to such a customer shall make such interconnections necessary to accomplish such purpose. An electric distribution company, at the request of any residential customer served by such company and if necessary to implement the provisions of this section, shall provide for the installation of metering equipment that (1) measures electricity consumed by such customer from the facilities of the electric distribution company, (2) deducts from the measurement the amount of electricity produced by the customer and not consumed by the customer, and (3) registers, for each billing period, the net amount of electricity either (i) consumed and produced by the customer, or (ii) the net amount of electricity produced by the customer. A residential customer who generates electricity pursuant to the provisions of this section shall be assessed for the competitive transition assessment, pursuant to section 16-245g and the systems benefits charge, pursuant to section 16-245l based on the amount of electricity consumed by the customer from the facilities of the electric distribution company without netting any electricity produced by the customer. For purposes of this section, "residential customer" means a customer of a single-family dwelling or multifamily dwelling consisting of two to four units.
(P.A. 98-28, S. 43, 117.)
History: P.A. 98-28 effective July 1, 1998 (Revisor's note: In codifying this section, incorrect references to "section 11 of this act" and "section 16 of this act" were deemed by the Revisors to be references to "section 10" and "section 18" and codified as section 16-245g and section 16-245l, respectively).

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Sec. 16-244. Electric deregulation; findings and declarations. The General Assembly finds and declares that:
(1) The provision of affordable, safe and reliable electricity is key to the continuing growth of this state and to the health, safety and general welfare of its residents;
(2) Rates for electricity in this state and in the region are higher than the national average;
(3) Changes in generating technology now enable the provision of electric service at much lower rates than are currently being charged in Connecticut and competitive market forces can play a role in the reduction of Connecticut rates;
(4) It is in the best interest of the state to reduce rates for electricity to all customer classes, to prevent cross subsidization among customer classes and to allow for the competitive generation of electricity while retaining a regulated distribution system to ensure reliability;
(5) A competitive generation market should allow customers to choose among alternative generation services and allow customers a reasonable and fair opportunity to self- generate and interconnect;
(6) Those public policy measures under current law, including, but not limited to, those protecting customers under the winter moratorium and hardship provisions as well as conservation measures and incentives for using renewable energy sources, should be preserved;
(7) State regulations should encourage and allow for a sufficient number of in-state generating facilities to ensure an adequate and reliable power supply within the state and ensure development of a truly competitive generation market;
(8) The assurance of safe, reliable and available electric service to all customers in a uniform and equitable manner is an essential governmental objective and a restructured electric market must provide adequate safeguards to assure universal service and customer service protections;
(9) The generation of electricity must be achieved in a manner that does not endanger the public health or safety and that minimizes negative environmental impacts;
(10) The restructuring of the electric industry may result in a reduction in staffing levels at Connecticut generation facilities and those workers adversely affected by such restructuring should be protected;
(11) The current method of providing electric service has involved a balancing of costs, risks and rewards for electric utilities and their customers, and therefore the transition to a competitive generation market, including the determination of stranded costs, should be based on the principles of fairness and reasonableness and the result of a balance of the interests of electric customers, electric utilities and the public at large; and
(12) It is in the best interest of the state for all customers to use electricity as efficiently as possible.
(1949 Rev., S. 5656; P.A. 98-28, S. 2.)
History: P.A. 98-28 replaced existing provisions re authority of corporations to sell, transmit, convey and deliver electricity with declarations concerning deregulation of electric industry, effective July 1, 1998.
Cited. 145 C. 243.

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Sec. 16-244a. Rate freeze for electric service. (a) For purposes of this section, "base rates" means the total amount charged by an electric company to each end use customer class, as defined in its rate order in effect on July 1, 1998, for the fully bundled costs of electricity, including any customer service charge and any demand charge.
(b) Notwithstanding sections 16-19 and 16-19a for the period from July 1, 1998, until December 31, 1999, the base rates paid to an electric company by any customer in the state for electric services, other than a customer receiving electric services under a special contract, shall not exceed the base rates that have been approved by the Department of Public Utility Control for that electric company as of December 31, 1996. Base rates shall be adjusted to the extent of any increase or decrease in state taxes attributable to sections 12-264 and 12-265 and any other increase or decrease in state or federal taxes resulting from a change in state or federal law and shall continue to be adjusted during such period pursuant to section 16-19b. Base rates may be adjusted, by an increase or decrease, to the extent approved by the department, in the event that the revenue requirements of the company are affected as the result of changes in legislative enactments other than public act 98-28*, administrative requirements or accounting standards occurring after July 1, 1998, provided such accounting standards are adopted by entities independent of the company that have authority to issue such standards. Savings attributable to a reduction in taxes shall not be shifted between customer classes. The calculation of base rates for purposes of this section shall not be affected by the change in billing format provided in subsection (b) of section 16-244e.
(P.A. 98-28, S. 3, 117.)
*Public act 98-28 is entitled "An Act Concerning Electric Restructuring". (See Reference Table captioned "Public Acts of 1998" in Volume 16 which lists the sections amended, created or repealed by the act.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-244b. Electric customers to choose electric suppliers. Phase-in of electric deregulation. All customers of electric distribution companies, as defined in section 16-1, shall have the opportunity to purchase electric generation services from their choice of electric suppliers, as defined in said section 16-1, in a competitive generation market in accordance with the schedule provided in this section. On and after January 1, 2000, up to thirty-five per cent of the peak load of each rate class of an electric company or electric distribution company, as the case may be, may choose an electric supplier to provide their electric generation services, provided such customers shall be located in distressed municipalities, as defined in section 32-9p. In the event that the number of customers exceeds thirty-five per cent of such load, preference shall be given to customers located in distressed municipalities with a population greater than one hundred thousand persons. Participation shall be determined on a first-come, first-served basis. As of July 1, 2000, all customers shall have the opportunity to choose an electric supplier. On and after January 1, 2000, electric generation services shall be provided in accordance with section 16-244c to any customer who has not chosen an electric supplier or has declined, failed or been unable to enter into or maintain a contract for electric generation services with an electric supplier. The Department of Public Utility Control may adopt regulations in accordance with chapter 54 to implement the phase- in schedule provided in this subsection.
(P.A. 98-28, S. 4, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-244c. Standard offer. Rates of standard offer established by department; duration; adjustments; eligibility. Duties of electric distribution company to provide default and back-up generation services; procedures. (a) (1) On and after January 1, 2000, each electric distribution company, as defined in section 16-1, shall make available to all customers in its service area, the provision of electric generation and distribution services through a standard offer. Under the standard offer, a customer shall receive electric services at a rate established by the Department of Public Utility Control pursuant to subdivision (2) of this subsection. Each electric distribution company shall provide electric generation services in accordance with such option to any customer who affirmatively chooses to receive electric generation services pursuant to the standard offer or does not or is unable to arrange for or maintain electric generation services with an electric supplier, as defined in said section 16-1. The standard offer shall automatically terminate on January 1, 2004, unless extended by the General Assembly pursuant to section 74 of public act 98-28*. While providing electric generation services under the standard offer, an electric distribution company may provide electric generation services through any of its generation entities or affiliates, provided such entities or affiliates are licensed pursuant to section 16-245.
(2) Not later than October 1, 1999, the Department of Public Utility Control shall establish the standard offer for each electric distribution company, effective January 1, 2000, which shall allocate the costs of such company among electric transmission and distribution services, electric generation services, the competitive transition assessment and the systems benefits charge. The department shall hold a hearing that shall be conducted as a contested case in accordance with chapter 54 to establish the standard offer. The standard offer shall provide that the total rate charged under the standard offer, including electric transmission and distribution services, the conservation and load management program charge described in section 16-245m, the renewable energy investment charge described in section 16-245n, electric generation services, the competitive transition assessment and the systems benefits charge shall be at least ten per cent less than the base rates, as defined in section 16-244a, in effect on December 31, 1996. The standard offer shall be adjusted to the extent of any increase or decrease in state taxes attributable to sections 12-264 and 12-265 and any other increase or decrease in state or federal taxes resulting from a change in state or federal law and shall continue to be adjusted during such period pursuant to section 16-19b. Notwithstanding the provisions of section 16-19b, the provisions of said section 16-19b shall apply to electric distribution companies. The standard offer may be adjusted, by an increase or decrease, to the extent approved by the department, in the event that (A) the revenue requirements of the company are affected as the result of changes in legislative enactments other than public act 98-28**, administrative requirements or accounting standards occurring after July 1, 1998, provided such accounting standards are adopted by entities independent of the company that have authority to issue such standards, or (B) an electric distribution company incurs extraordinary and unanticipated expenses required for the provision of safe and reliable electric service to the extent necessary to provide such service. Savings attributable to a reduction in taxes shall not be shifted between customer classes.
(3) The price reduction provided in subdivision (2) of this subsection shall not apply to customers who, on or after July 1, 1998, are purchasing electric services from an electric company or electric distribution company, as the case may be, under a special contract or flexible rate tariff, and the company's filed standard offer tariffs shall reflect that such customers shall not receive the standard offer price reduction.
(b) On and after January 1, 2004, each electric distribution company shall serve any customer who does not or is unable to arrange for or maintain electric generation services with an electric supplier. The electric distribution company shall procure electric generation services for such customers through a competitive bidding process. An electric distribution company may procure electric generation services through any of its generation entities or affiliates, provided such entity or affiliate is the lowest qualified bidder and provided further any such entity or affiliate is licensed pursuant to section 16-245.
(c) On and after January 1, 2000, and until such time the regional independent system operator implements procedures for the provision of back-up power to the satisfaction of the Department of Public Utility Control, each electric distribution company shall provide electric generation services to any customer who has entered into a service contract with an electric supplier that fails to provide electric generation services for reasons other than the customer's failure to pay for such services. Between January 1, 2000, and December 31, 2003, an electric distribution company may procure electric generation services through a competitive bidding process or through any of its generation entities or affiliates. On and after January 1, 2004, such company shall procure electric generation services through a competitive bidding process. Such company may procure electric generation services through any of its generation entities or affiliates, provided such entity or affiliate is the lowest qualified bidder and provided further any such entity or affiliate is licensed pursuant to section 16-245.
(d) An electric distribution company is not required to be licensed pursuant to section 16-245 to provide standard offer electric generation services in accordance with subsection (a) of this section or back-up electric generation services prior to January 1, 2004, in accordance with subsection (c) of this section.
(e) The electric distribution company shall be entitled to recover reasonable costs incurred as a result of providing standard offer electric generation services pursuant to the provisions of subsection (a) of this section, the default service pursuant to subsection (b) of this section or the back-up electric generation services pursuant to subsection (c) of this section. The provisions of this section and section 16-244a shall satisfy the requirements of section 16-19a until January 1, 2004.
(f) The Department of Public Utility Control shall establish, by regulations adopted pursuant to chapter 54, standards or procedures for an electric distribution company's procuring power and competitive bidding for purposes of subsections (b) and (c) of this section in a commercially reasonable manner and procedures for when and how a customer is notified that his electric supplier has defaulted and of the need for the customer to choose a new electric supplier within a reasonable period of time.
(P.A. 98-28, S. 20, 117.)
*Note: Section 74 of public act 98-28 is special in nature and therefore has not been codified but remains in full force and effect according to its terms.
**Public act 98-28 is entitled "An Act Concerning Electric Restructuring". (See Reference Table captioned "Public Acts of 1998 in Volume 16 which lists the sections amended, created or repealed by the act.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-244d. Education outreach program for electric deregulation, scope. Hiring of consultant to implement program. Consumer Education Advisory Council established. Determination of environmental costs and benefits of energy sources. (a) Not later than December 1, 1998, the Department of Public Utility Control shall develop a comprehensive public education outreach program to educate customers about the implementation of retail competition among electric suppliers, as defined in section 16-1. The goals of the program shall be to maximize public information, minimize customer confusion and equip all customers to participate in a restructured generation market. The program shall include, but not be limited to: (1) The dissemination of information through mass media, interactive approaches and written materials with the goal of reaching every electric customer; (2) the conduct of public forums in different geographical areas of the state to foster public input and provide opportunities for an exchange of questions and answers; (3) involvement of community-based organizations in developing messages and in devising and implementing education strategies; (4) targeted efforts to reach rural, low income, elderly, foreign language, disabled, ethnic minority and other traditionally underserved populations; and (5) periodic evaluations of the effectiveness of educational efforts. The department shall assign one individual within the department to coordinate the outreach program and oversee the education process. The department shall begin to implement the outreach program not later than January 1, 1999.
(b) There shall be established a Consumer Education Advisory Council which shall advise the outreach program coordinator on the development and implementation of the outreach program until the termination of the standard offer under section 16-244c. Membership of the advisory council shall be established by the Consumer Counsel not later than December 1, 1998, and shall include, but not be limited to, representatives of the Department of Public Utility Control, the Office of Consumer Counsel, the Office of the Attorney General, the Office of Policy and Management, the Department of Environmental Protection, community and business organizations, consumer groups, including, but not limited to, a group that represents hardship customers, as defined in section 16-262c, electric distribution companies and electric suppliers. The advisory council shall determine the information to be distributed to customers as part of the education effort such as customers' rights and obligations in a restructured environment, how customers can exercise their right to participate in retail access, the types of electric suppliers expected to be licensed including the possibility of load aggregation, electric generation services options that will be available, the environmental characteristics of different types of generation facilities and other information determined by the advisory council to be necessary for customers. The advisory council shall advise the outreach program coordinator on the methods of distributing information in accordance with subsection (a) of this section and the timing of such distribution. The advisory council shall meet on a regular basis and report to the outreach program coordinator as it deems appropriate until termination of the advisory council's role upon the termination of the standard offer under section 16-244c.
(c) Not later than December 1, 1998, the Department of Public Utility Control shall submit a report to the joint standing committee of the General Assembly having cognizance of matters relating to energy, outlining the scope of the education outreach program developed by the department and identifying the individual acting as outreach program coordinator and the membership of the advisory council.
(d) The department may retain a consultant in accordance with section 16-18a to assist in developing and implementing the public education outreach program, provided the authorization to retain such consultant shall expire December 31, 2000. The reasonable and proper expenses for retaining the consultant and implementing the outreach program shall be reimbursed through the systems benefits charge as provided in subsection (b) of said section 16-18a.
(e) The advisory council shall, in consultation with the Connecticut Academy of Science and Engineering and the New England Conference of Public Utility Commissioners, analyze the environmental costs and benefits of the following categories of energy sources: (1) Class I renewable energy sources by type; (2) Class II renewable energy sources by type; (3) facilities using coal, natural gas, oil or other petroleum products as fuel which facilities are subject to the New Source Performance Standards in the federal Clean Air Act for such facilities; (4) facilities using coal, natural gas, oil or other petroleum products as fuel which facilities are not subject to the New Source Performance Standards; (5) nuclear power generating facilities; and (6) hydropower that does not meet the criteria for a Class II renewable energy source. The advisory council shall establish uniform standards for the disclosure of information to allow customers to easily compare rates of air pollutant emissions and the resource mix of various energy sources of electric suppliers.
(P.A. 98-28, S. 17, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-244e. Unbundling by electric companies of generation functions from transmission and distribution functions. Plan. (a) (1) Not later than October 1, 1998, each electric company shall submit an unbundling plan to the department to unbundle and separate, by October 1, 1999, all the company's generation assets that (A) prior to the date when the department approves a divestiture plan pursuant to section 16-244f or 16-244g, are not sold in accordance with section 16-43, and (B) on and after the date when the department approves such plan, will not be divested as of January 1, 2000, in accordance with sections 16-244f and 16-244g.
(2) For any nonnuclear generation asset that will not be divested by January 1, 2000, unbundling and separation shall occur by transfer on a functional basis to one or more corporate affiliates that are legally separate from the company's transmission and distribution assets and all related operations and functions, in which case, no stranded costs shall be recovered.
(3) For any nuclear generation asset that will not be sold by January 1, 2000, unbundling and separation shall occur by (A) divestiture pursuant to section 16-244g, (B) transfer on a functional basis to one or more corporate affiliates that are legally separate from the company's transmission and distribution assets and all related operations and functions, or (C) if required to comply with rules, regulations or licensing requirements of the United States Nuclear Regulatory Commission, transfer on a functional basis to one or more divisions that are structurally separate from the electric distribution company.
(4) The unbundling plan and order shall provide for the allocation of the rights and responsibilities pursuant to sections 16-245e to 16-245k, inclusive, between the electric distribution company and any generation entities or affiliates and shall provide for the allocation of revenue under a special contract among those components of a customer's bill specified in subdivision (1) of subsection (a) of section 16-245d. Such plan shall include a proposed modification or elimination to the adjustment pursuant to section 16- 19b. Such plan shall not allow the transfer of assets or liabilities allocable or belonging to transmission or distribution functions or facilities to the generation entity or affiliate of an electric company, nor allow the transfer of assets or liabilities, other than financial assets or liabilities to be funded by the competitive transition assessment pursuant to section 16-245g or the systems benefits charge pursuant to section 16-245l, allocable or belonging to generation functions or facilities to the electric distribution company, as defined in section 16-1, unless federal law or regulation requires such a transfer with regard to nuclear generation assets. All entitlements and obligations from any purchased power contract or independent power producer contract entered into before July 1, 1998, by the predecessor electric company which are not bought out shall succeed to the electric distribution company. Such plan shall include a discussion of the impacts of the proposed plan on the company's employees and plans for mitigating such impact.
(5) The department shall hold a hearing and issue a final order approving or modifying the plan in a time frame that will allow unbundling to be accomplished by October 1, 1999. Any hearing shall be conducted as a contested case in accordance with chapter 54. Such plan shall be submitted and such order issued consistent with the determination and implementation of the competitive transition assessment, as provided in section 16-245g.
(6) Once unbundling is completed to the satisfaction of the department and consistent with the provisions of section 16-244, any corporate affiliate or separate division that provides electric generation services as a result of unbundling pursuant to this subsection shall be considered a generation entity or affiliate of the electric company, and the division or corporate affiliate of the electric company that provides transmission and distribution services shall be considered an electric distribution company.
(b) Not later than August 1, 1998, the Department of Public Utility Control shall hold a hearing and issue a final order that unbundles prices or rates for electric generation services for each electric company from all other charges. Any hearing shall be conducted as a contested case in accordance with chapter 54. On and after July 1, 1999, each electric company or electric distribution company, as the case may be, shall provide all customers with a bill that separates the electric generation services component of those charges. Any unbundling of charges for electric generation services under this subsection shall not affect the calculation of base rates under section 16-244a.
(P.A. 98-28, S. 5, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-244f. Divestiture of nonnuclear electric generation facilities. Plan. Approval of sale by department. (a) As used in this section:
(1) "Generation assets" means electric generation facilities and generation-related operations and functions owned by an electric company and includes associated contractual obligations for energy or capacity from such generation assets; and
(2) "Net proceeds" means the book income from the sale or divestiture of assets, consisting of sales price less reasonable expenses of sale, related income and other taxes.
(b) (1) No electric company shall be eligible to claim any stranded costs as provided in sections 16-245e to 16-245k, inclusive, unless the electric company (A) prior to the date when the department approves a divestiture plan, has sold its nonnuclear generation assets in accordance with section 16-43, and (B) on and after the date when the department approves such plan, has submitted all of its nonnuclear generation assets owned or held as of April 29, 1998, to a public auction held in a commercially reasonable manner in accordance with this subsection.
(2) Each electric company that elects to divest itself of nonnuclear generation assets shall, not later than October 1, 1998, submit a divestiture plan to the Department of Public Utility Control. The divestiture plan shall include (A) any documentation the department determines is reasonably necessary to approve the auction procedure, including a copy of the request for proposal and a description of the solicitation process, (B) a detailed description of the process for the sale and transfer of nonnuclear generation assets, and (C) the book value of all assets the electric company intends to make available for sale. In structuring the divestiture plan, the electric company shall take into account the findings set forth in section 16-244. The department shall issue a final order approving or modifying the plan in a time frame that will allow divestiture to be accomplished by January 1, 2000. The department shall, after consultation with the Office of Consumer Counsel, appoint a consultant who shall be an entity unrelated to said company that meets qualifications set by the department, to conduct the auction process.
(3) The department shall not approve a sale unless (A) the sale price of an asset or assets equals or exceeds book value for the asset or assets, except for any dual-fueled nonnuclear generation unit that began operation between 1974 and 1976 and has a capacity of not less than four hundred twenty megawatts, in which case the sale price for that specific unit equals or exceeds the minimum bid established by the department for the unit, (B) the department determines the bidder meets all applicable qualifications established by federal law and regulation, (C) the sale is conducted in accordance with the divestiture plan as approved by the department, (D) the bidder proves to the satisfaction of the department that the bidder will preserve labor agreements in effect at the time of the sale, and (E) the sale will result in a net benefit to ratepayers, as determined by the department. Transfer in ownership of any asset shall not occur until the department determines the purchaser is fully qualified to provide electric generation services pursuant to section 16-245 or pursuant to applicable federal law and regulation. If the department approves a sale in accordance with the provisions of this section, no further proceedings under section 16-43 shall be required.
(4) The department shall determine the minimum bid price for a dual-fueled nonnuclear generation unit that began operation between 1974 and 1976 and has a capacity of not less than four hundred twenty megawatts, by determining the future net cash flow that a nonnuclear generation unit of comparable size, age and technical characteristics that is prudently and efficiently managed would be expected to produce over its expected remaining useful life, discounted to a present value.
(5) A generation entity or affiliate of an electric company may bid on any nonnuclear generation asset, provided such entity or affiliate is qualified to bid, as provided in this subsection.
(6) All net proceeds realized by an electric company from the sale of assets pursuant to this subsection that exceed the total book value of all the assets sold pursuant to this section shall be netted against the amount of stranded costs as provided in subdivision (4) of subsection (h) and subsection (i) of section 16-245e.
(7) If an electric company complies with the provisions of this subsection but does not receive any bids for an asset by a qualified bidder that equal or exceed the minimum bid as provided in this subsection, the department shall calculate the value of stranded costs for each such asset in accordance with the provisions of subsection (g) of section 16-245e.
(P.A. 98-28, S. 6, 117.)
History: P.A. 98-28 effective April 29, 1998.

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Sec. 16-244g. Divestiture of nuclear electric generation facilities. Plan. Approval of sale by department. (a) As used in this section, "generation assets" means "generation assets", as defined in section 16-244f, and "net proceeds" means "net proceeds", as defined in section 16-244f.
(b) Not later than January 1, 2004, each electric distribution company shall either (1) submit its nuclear generation assets to a public auction held in a commercially reasonable manner, in accordance with subsection (c) of this section in order to divest itself of remaining nuclear generation assets, or (2) transfer remaining nuclear generation assets to one or more legally separate corporate affiliates at their book value, in which case no stranded costs shall be recovered.
(c) (1) Each electric distribution company that elects to divest itself of its nuclear generation assets shall, in a time frame that will allow divestiture to occur by January 1, 2004, submit a divestiture plan to the Department of Public Utility Control. The divestiture plan shall include (A) any documentation the department determines is reasonably necessary to approve the auction procedure, including a copy of the request for proposal and a description of the solicitation process, (B) a detailed description of the process for the sale and transfer of nuclear generation assets, and (C) information the department determines is necessary for the department to determine the value of the minimum bid for each nuclear generation asset, as provided in subdivision (3) of this subsection. The department shall hold a hearing and issue a final order approving or modifying the plan in a time frame that will allow divestiture to be accomplished by January 1, 2004. Any hearing shall be conducted as a contested case in accordance with chapter 54. The department shall, after consultation with the Office of Consumer Counsel, appoint a consultant who shall be an entity unrelated to the said company that meets qualifications set by the department, to conduct the auction process.
(2) The department shall not approve a sale unless (A) the sale price equals or exceeds the minimum bid established by the department for the asset, (B) the department determines the bidder meets all applicable qualifications established by federal law and regulation, (C) the sale is conducted in accordance with the divestiture plan as approved by the department, (D) the bidder proves to the satisfaction of the department that the bidder will preserve labor agreements in effect at the time of the sale, and (E) the sale will result in a net benefit to ratepayers, as determined by the department. Transfer in ownership of any asset shall not occur until the department determines the purchaser is fully qualified to provide electric generation services pursuant to section 16-245 or pursuant to applicable federal law and regulation. If the department approves a sale in accordance with the provisions of this section, no further proceedings under section 16- 43 shall be required.
(3) The department shall determine the minimum bid price for each nuclear generation asset by determining the future net cash flow that a nuclear generation asset of comparable size, age and technical characteristics that is prudently and efficiently managed would be expected to produce over its expected remaining useful life, discounted to a present value.
(4) A generation entity or affiliate of an electric distribution company may bid on any nuclear generation asset, provided such entity or affiliate is qualified to bid, as provided in this subsection.
(5) If a final bid is less than book value for an asset, the electric distribution company shall be entitled to recover the difference between the bid price and the book value as stranded costs pursuant to subdivision (2) of subsection (h) of section 16-245e. If a final bid exceeds book value for an asset, the net proceeds realized by the electric distribution company that are above book value shall be netted against the amount of stranded costs as provided in subdivision (4) of subsection (h) of section 16-245e.
(d) (1) If an electric distribution company elects to sell all its remaining nuclear generation assets by public auction and complies with the provisions of subsection (c) of this section but does not receive any bids for an asset by a qualified bidder that equal or exceed the minimum bid price, as determined by the department in accordance with the provisions of subsection (c) of this section, the department shall calculate the value of stranded costs for each such asset in accordance with subdivision (3) of subsection (h) of section 16-245e.
(2) Not later than January 1, 2004, the electric distribution company shall transfer the nuclear generation assets described in subdivision (1) of this subsection to one or more legally separate corporate affiliates. If in order to comply with rules, regulations or licensing requirements of the United States Nuclear Regulatory Commission an electric distribution company is unable to legally separate its nuclear assets to one or more corporate affiliates, the generation assets may remain in separate divisions of the electric distribution company.
(e) (1) On and after January 1, 2000, and prior to the date when a nuclear generation asset is sold at public auction or transferred to a corporate affiliate, the difference between the return of and on capital costs allowed in rates for the nuclear generation asset and the income capitalization value established for such asset for such interim period pursuant to the methodology described in subdivision (3) of subsection (c) of this section shall be collected through the competitive transition assessment in accordance with section 16-245g.
(2) On or after the date when a nuclear generation asset is sold at public auction or transferred to a corporate affiliate, the department shall calculate the stranded costs for nuclear generation assets in accordance with subsection (h) of section 16-245e.
(3) In no event shall any costs described in this subsection be funded at any time with the proceeds of rate reduction bonds pursuant to sections 16-245e to 16-245k, inclusive.
(P.A. 98-28, S. 7, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-244h. Code of conduct for electric distribution companies, generation entities or affiliates and electric suppliers. Contents of code. Penalties, damages. (a) Not later than January 1, 1999, the Department of Public Utility Control shall, by regulations adopted pursuant to chapter 54, establish a code of conduct which shall apply to electric distribution companies, as defined in section 16-1, their generation entities or affiliates and electric suppliers. The code of conduct shall become effective upon the completion of unbundling but not later than July 1, 1999.
(b) The code of conduct shall include: (1) Measures to ensure information, revenues, expenses, costs, assets, liabilities or other resources derived from or associated with providing electric transmission or distribution services by an electric distribution company are not used to subsidize any generation entity or affiliate; (2) safeguards to assure fair dealing between electric distribution companies and all other electric suppliers, as defined in section 16-1, including any generation entities or affiliates of the electric company; (3) procedures for ensuring electric suppliers nondiscriminatory access to the transmission and distribution facilities of the electric distribution company; and (4) measures to ensure that an electric distribution company provides transmission and distribution service, applies tariffs to generation entities or affiliates and to unaffiliated electric suppliers in a nondiscriminatory manner and enforces such tariff provisions. The code of conduct shall, at a minimum, (A) prohibit any employee of a generation entity or affiliate from conducting distribution system operations or having access to system control centers or similar facilities used by distribution operations in any way that differs from the access available to employees of unaffiliated electric suppliers, (B) prohibit an employee of a generation entity or affiliate from having preferential access to any information concerning the electric distribution company's customers or distribution system that is not available on an equivalent basis to unaffiliated electric suppliers, (C) prohibit an employee of an electric distribution company from disclosing to an employee of a generation entity or affiliate information concerning its customers, the distribution system or other market information through nonpublic communications that is not available on an equivalent basis to all unaffiliated electric suppliers, (D) require employees of electric distribution companies to apply all tariff provisions relating to the sale or purchase of any retail access distribution service in a fair, impartial and nondiscriminatory manner, and (E) prohibit joint marketing activities between an electric distribution company and its generation entity or affiliate. The code of conduct shall not prohibit communications necessary for standard offer service pursuant to section 16-244c or when necessary to restore service or to prevent or respond to emergency conditions. Each electric distribution company shall annually submit to the department such information as the department may require in order to evaluate the actual effectiveness of the code of conduct in fulfilling the purposes of this section. The department shall consult with the independent system operator on a regular basis regarding issues raised under this section. The department may, upon its own motion or upon receipt of a complaint from any person alleging a violation of the code of conduct, investigate an electric distribution company's compliance with the code of conduct, and any such investigation shall be considered a contested case as defined in section 4-166. The department may enter into appropriate orders to enforce the code, including cease and desist orders, and it may levy civil penalties against these entities subject to the code after notice and hearing pursuant to section 16-41. Any person aggrieved by a violation of the code of conduct shall also have a private right of action for damages against the electric distribution company or generation entity or affiliate, as the case may be.
(P.A. 98-28, S. 15, 117.)
History: P.A. 98-28 effective July 1, 1998 (Revisor's note: In codifying this section an incorrect reference in Subsec. (b) to "section 19 of this act" was deemed by the Revisors to be a reference to "section 20" and therefore codified as section "16-244c").

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Sec. 16-244i. Duties of electric distribution companies. (a) The Department of Public Utility Control shall continue to regulate electric distribution companies, as defined in section 16-1, in accordance with the provisions of section 16-19 and subsection (a) of section 16-19e and in accordance with existing rate orders except for assets for which funds have been received by the company pursuant to sections 16-245g to 16- 245k, inclusive. Each electric distribution company shall maintain the integrity of the distribution system in conformity with the National Electric Safety Code and such other standards found applicable by the department that are practiced by the electric distribution industry, in a manner sufficient to provide safe and reliable service, regardless of whether or not its generation entity or affiliate is the electric supplier, to all customers connected to the system consistent with this title and regulations adopted thereunder. Each electric distribution company shall provide nondiscriminatory access of its distribution facilities to every electric supplier, as defined in said section 16-1, provided no electric distribution company shall provide access of its distribution facilities to an entity that is not licensed as an electric supplier pursuant to section 16-245 except as provided under federal law.
(b) Each electric distribution company shall have the obligation to connect all customers to the company's distribution system, subject to rates, terms and conditions as may be approved by the Department of Public Utility Control in accordance with section 16-19 and the principles in subsection (a) of section 16-19e.
(c) Each electric distribution company shall continue to provide metering, billing and collection services. The department shall determine billing and metering protocols and any appropriate cost-sharing allocations among electric distribution companies and electric suppliers.
(d) The department shall oversee quality and reliability of service for each electric distribution company and ensure that quality and reliability are the same as or better than levels that existed on July 1, 1998.
(P.A. 98-28, S. 16, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245. Licensing of electric suppliers. Procedures. Penalties. (a) No person shall execute any contract relating to the sale of electric generation services to be rendered after January 1, 2000, to end use customers located in the state unless such person has been issued a license by the department in accordance with the provisions of this section. No license shall be valid before July 1, 1999.
(b) On and after January 1, 2000, no person, no municipality and no regional water authority shall sell or attempt to sell electric generation services to end use customers located in the state using the transmission or distribution facilities of an electric distribution company, as defined in section 16-1, and no municipality, no regional water authority and the Connecticut Resources Recovery Authority except as provided in section 16-245b and no person shall aggregate, broker or market the sale of electric generation services to end use customers using the transmission or distribution facilities of an electric distribution company unless the person has been issued a license by the Department of Public Utility Control in accordance with the provisions of this section, provided an electric distribution company is not required to be licensed pursuant to this section to provide electric generation services pursuant to subsection (a) or, prior to January 1, 2004, subsection (c) of section 16-244c. Not later than January 1, 1999, the department shall, by regulations adopted pursuant to chapter 54, develop licensing procedures. The licensing process shall begin not later than April 1, 1999.
(c) To ensure the safety and reliability of the supply of electricity in this state, the Department of Public Utility Control shall not issue a license unless the person can demonstrate to the satisfaction of the department that: (1) The person has the technical, managerial and financial capability to provide electric generation services and provides and maintains a bond or other security in amount and form approved by the department, to ensure its financial responsibility and its supply of electricity to end use customers in accordance with contracts, agreements or arrangements; (2) the person or the entity or entities with whom the person has a contractual relationship to purchase power is in compliance with all applicable licensing requirements of the Federal Energy Regulatory Commission; (3) the person is registered with or certified by the regional independent systems operator or has a contractual relationship with one or more entities who are registered with or certified by the regional independent systems operator and is in compliance with all system rules and standards established by the regional independent systems operator; (4) the person owns or purchases such capacity and reserves as may be required by the regional independent system operator, to provide adequate electricity to all the person's customers; (5) the person's generation facilities located in North America are in compliance with regulations adopted by the Commissioner of Environmental Protection pursuant to section 22a-174j; and (6) for any generation facility within this state, the facility is in compliance with chapter 277a and state environmental laws and regulations. A license shall be subject to periodic review on a schedule to be established by the department.
(d) An application for a license shall be filed with the Department of Public Utility Control, accompanied by a fee pursuant to subsection (e) of this section. The application shall contain such information as the department may deem relevant, including, but not limited to, the following: (1) The address of the applicant's headquarters and the articles of incorporation, as filed with the state in which the applicant is incorporated; (2) the address of the applicant's principal office in the state and the address of the applicant's agent for service in the state; (3) the toll-free telephone number for customer service; (4) information about the applicant's corporate structure, including names and financial statements, as appropriate, concerning corporate affiliates; (5) a disclosure whether the applicant is currently under investigation for violation of any consumer protection law or regulation to which it is subject, either in this state or in another state; (6) a copy of its standard service contract; (7) an attestation that it is subject to chapters 208, 212, 212a and 219, as applicable, and that it shall pay all taxes it is subject to in this state; and (8) a scope of service plan which sets forth, among other things, a description of the geographic area the applicant plans to serve.
(e) The application fee shall include the costs to investigate and administer the licensing procedure and shall be commensurate with the level of investigation necessary, as determined by regulations adopted by the Department of Public Utility Control.
(f) Not more than thirty days after receiving an application, the Department of Public Utility Control shall notify the applicant whether the application is complete or whether the applicant must submit additional information. The department shall grant or deny a license application, after notice and a hearing, not more than ninety days after receiving all information required of an applicant. Any hearing shall be conducted as a contested case in accordance with chapter 54.
(g) The Department of Public Utility Control shall require, as conditions of a license, that: (1) The supplier complies with the National Labor Relations Act and regulations, if applicable; (2) the supplier complies with the Connecticut Unfair Trade Practices Act and applicable regulations; (3) each generating facility operated by or under long-term contract to the supplier complies with regulations adopted by the Commissioner of Environmental Protection, pursuant to section 22a-174j; (4) the supplier complies with the portfolio standards, pursuant to section 16-245a; (5) the supplier complies with the system rules and standards and any other reliability guidelines of the regional independent systems operator; (6) the supplier agrees to cooperate with the department and other electric suppliers, as defined in section 16-1, in the event of an emergency condition that may jeopardize the safety and reliability of electric service; (7) the supplier complies with the Code of Conduct established pursuant to section 16-244h; and (8) for a license to a participating municipal electric utility, the supplier provides open and nondiscriminatory access of its distribution facilities to other licensed electric suppliers. Also as a condition of a license, the department shall prohibit each supplier from declining to provide service to customers for the reason that the customers are located in economically distressed areas. The department may establish additional reasonable conditions to assure that all retail customers will continue to have access to electric generation services.
(h) The department shall maintain regular communications with the regional independent system operator to effectuate the provisions of this section and to ensure that an adequate, safe and reliable supply of electricity is available.
(i) Each licensee shall, at such times as the department requires but not less than annually, submit to the Department of Public Utility Control, on a form prescribed by the department, an update of information the department deems relevant. Each licensee shall notify the department at least ten days before: (1) A change in corporate structure that affects the licensee; (2) a change in the scope of service, as provided in the supplier's scope of service plan submitted to the department as part of the application process; and (3) any other change the department deems relevant.
(j) No license may be transferred without the prior approval of the department. The department may assess additional licensing fees to pay the administrative costs of reviewing a request for such transfer.
(k) An electric aggregator shall not be subject to the provisions of subdivisions (2) to (6), inclusive, of subsection (c) of this section and subdivisions (4) and (5) of subsection (g) of this section.
(l) Any person who fails to comply with a license condition or who violates any provision of this section shall be subject to sanctions by the Department of Public Utility Control in accordance with section 16-41, which may include, but are not limited to, the suspension or revocation of such license or a prohibition on accepting new customers.
(1949 Rev., S. 5657; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 106, 348; P.A. 98-28, S. 22, 117; P.A. 00-53, S. 13.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and abolished the department of business regulation; P.A. 98-28 deleted former provisions re notice of intent to sell and distribute electricity and added new Subsecs. (a) to (l) re licensing of electric suppliers, effective July 1, 1998; P.A. 00-53 amended Subsec. (b) by adding references to regional water authorities.
Cited. 145 C. 243.

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Sec. 16-245a. Portfolio standards for electric suppliers; electricity generated from renewable energy sources. (a) To be licensed under section 16-245, an applicant for a license shall demonstrate to the satisfaction of the Department of Public Utility Control that not less than one-half of one per cent of its total electricity output shall be generated from Class I renewable energy sources and an additional five and one-half per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2001, not less than three-fourths of one per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional five and one-half per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2002, not less than one per cent of such output shall be generated from Class I renewable energy sources and an additional five and one-half per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2003, not less than one and one-half per cent of such output shall be generated from Class I renewable energy sources and an additional five and one-half per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2004, not less than two per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional six per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2005, not less than two and one-half per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional six per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2006, not less than three per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional six per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2007, not less than four per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional six per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2008, not less than five per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional six per cent of the total output shall be from Class I or Class II renewable energy sources. On and after July 1, 2009, not less than six per cent of the total output of any such supplier shall be generated from Class I renewable energy sources and an additional seven per cent of the total output shall be from Class I or Class II renewable energy sources. An electric supplier may satisfy the requirements of this subsection by participating in a renewable energy trading program approved by the state. Any supplier who provides electric generation services solely from a Class II renewable energy source shall not be required to comply with the provisions of this section.
(b) An applicant's demonstration of generation sources, as required under subsection (a) of this section, shall be based on historical data, which may consist of data filed with the regional independent system operator.
(c) The department may adopt regulations pursuant to chapter 54 to implement the provisions of this section.
(P.A. 98-28, S. 25, 117.)
History: P.A. 98-28 effective July 1, 1998.
See Sec. 16-6c regarding delay of implementation of portfolio standards.

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Sec. 16-245b. Municipalities and regional water authorities acting as electric aggregators; registration with department. Notwithstanding the provisions of subsection (a) of section 16-245, the provisions of said section shall not apply to (1) any municipality or regional water authority that aggregates the sale of electric generation services, or to the Connecticut Resources Recovery Authority if such authority aggregates the sale of electric generation services, for end use customers located within the boundaries of such municipality or regional water authority, (2) any municipality that joins together with other municipalities to aggregate the sale of electric generation services for end use customers located within the boundaries of such municipalities, or (3) any municipality or regional water authority that aggregates the purchase of electric generation services for municipal facilities, street lighting, boards of education and other publicly-owned facilities within (A) the municipality for which the municipality is financially responsible, or (B) the municipalities that are within the authorized service area of the regional water authority. Any municipality or regional water authority that aggregates in accordance with this section shall register not less than annually with the Department of Public Utility Control on a form prescribed by the department.
(P.A. 98-28, S. 23, 117; P.A. 00-53, S. 14.)
History: P.A. 98-28 effective July 1, 1998; P.A. 00-53 added references to regional water authorities, added reference to municipalities within the authorized service area of the regional water authority and made conforming changes.

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Sec. 16-245c. Municipal electric utilities participating in deregulated environment. Authority to provide generation services outside service area. (a) As used in this section, "service area" means the geographic area in which a municipal electric utility is authorized to provide electric generation or distribution services to an end use customer pursuant to section 7-214 or special act.
(b) No municipal electric utility established under chapter 101 shall use the transmission or distribution system or facilities of an electric distribution company, as defined in section 16-1, for the purpose of providing electric generation services to an end use customer outside its service area, unless the municipal electric utility is authorized to do so by the Department of Public Utility Control, in which case it shall be considered a participating municipal electric utility.
(c) As of the date that a municipal electric utility is authorized to be a participating municipal electric utility, the participating municipal electric utility may provide electric generation services to customers outside of its service area. Each participating municipal electric utility shall provide open and nondiscriminatory access of all distribution facilities it owns or operates to all electric suppliers, as defined in section 16-1, and shall allow customers within its service area to choose among electric suppliers for electric generation services in a manner comparable to all other end use customers of an electric distribution company.
(d) Each participating municipal electric utility that provides electric generation services shall be licensed by the department as an electric supplier in accordance with section 16-245. Notwithstanding the provisions of any municipal charter or special act to the contrary, no such license shall be granted unless, in addition to the requirements set forth in section 16-245, the participating municipal electric utility has (1) unbundled and separated all of its generation assets and all generation-related operations and functions by (A) sale or transfer to an unrelated entity, (B) transfer on a functional basis to one or more separate divisions of the participating municipal electric utility that are structurally separate from the participating municipal electric utility's transmission and distribution assets and all related operations and functions, or (C) such other substantially equivalent measure deemed appropriate by the department, after taking into account the size of the participating municipal electric utility and its existing structure and operations; and (2) the buyer or transferee of each such asset proves to the satisfaction of the department that the buyer or transferee will preserve labor agreements in effect at the time of the sale or transfer.
(e) Any municipal electric utility created on or after July 1, 1998, pursuant to section 7-214 or a special act and any municipal electric utility that expands its service area on or after July 1, 1998, shall collect from its new customers the competitive transition assessment imposed pursuant to section 16-245g, the systems benefits charge imposed pursuant to section 16-245l and the assessments charged under sections 16-245m and 16-245n in such manner and at such rate as the department prescribes, provided the department shall order the collection of said assessment and said charge in a manner and rate equal to that to which the customers would have been subject had the municipal electric utility not been created or expanded.
(f) The department shall, within a period of time to ensure that any municipal electric utility that intends to become a participating municipal electric utility can do so in a timely manner, establish procedures by regulations adopted in accordance with chapter 54 to authorize a municipal electric utility to become a participating municipal electric utility. Such procedures shall include those measures the department determines are necessary for the participating municipal electric utilities to function in a competitive environment.
(g) No municipal electric energy cooperative shall be allowed to be an electric supplier or to request authorization to provide electric generation services to any end use customers.
(P.A. 98-28, S. 19, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245d. Billing of electric service; standard format; contents. (a) The Department of Public Utility Control shall, by regulations adopted pursuant to chapter 54, develop a standard billing format that enables customers to compare pricing policies and charges among electric suppliers, as defined in section 16-1. On and after January 1, 2000, each electric company or electric distribution company, as defined in said section 16-1, as the case may be, shall, in accordance with the billing format developed by the department, include at a minimum the following information in each customer's bill: (1) The total amount owed by the customer, which shall be itemized to show, (A) the electric generation services component and any additional charges imposed by the electric supplier, if applicable, (B) the electric transmission and distribution charge, including all applicable taxes and the systems benefits charge, as provided in section 16-245l, (C) the competitive transition assessment, as provided in section 16-245g, and (D) the conservation and renewable energy charge, consisting of the conservation and load management program charge, as provided in section 16-245m and the renewable energy investment charge, as provided in section 16-245n; (2) any unpaid amounts from previous bills which shall be listed separately from current charges; (3) except for customers subject to a demand charge, the rate and usage for the current month and each of the previous twelve months in the form of a bar graph or other visual form; (4) the payment due date; (5) the interest rate applicable to any unpaid amount; (6) the toll-free telephone number of the electric distribution company to report power losses; (7) the toll-free telephone number of the Department of Public Utility Control for questions or complaints; (8) the toll-free telephone number and address of the electric supplier; and (9) a statement about the availability of information concerning electric suppliers pursuant to section 16-245p.
(b) The regulations shall provide guidelines for determining the billing relationship between the electric distribution company and electric suppliers, including but not limited to, the allocation of partial bill payments and late payments between the electric distribution company and the electric supplier. The electric distribution company shall be entitled to recover from the electric supplier all reasonable transaction costs to provide such billing services as well as a reasonable rate of return, in accordance with the principles in subsection (a) of section 16-19e.
(P.A. 98-28, S. 21, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245e. Stranded costs of electric companies. Definitions. Calculation by department, procedures, adjustments. Mitigation. (a) As used in this section and sections 16-245f to 16-245k, inclusive:
(1) "Rate reduction bonds" means bonds, notes, certificates of participation or beneficial interest, or other evidences of indebtedness or ownership, issued pursuant to an executed indenture or other agreement of a financing entity, in accordance with this section and sections 16-245f to 16-245k, inclusive, the proceeds of which are used, directly or indirectly, to provide, recover, finance, or refinance stranded costs, and which, directly or indirectly, are secured by, evidence ownership interests in, or are payable from, transition property;
(2) "Competitive transition assessment" means those non-bypassable rates and other charges, that are authorized by the department (A) in a financing order to recover those stranded costs that are eligible to be funded with the proceeds of rate reduction bonds pursuant to section 16-245f and the costs of providing, recovering, financing, or refinancing such stranded costs through a plan approved by the department in the financing order, including the costs of issuing, servicing, and retiring rate reduction bonds, (B) to recover those stranded costs determined under this section but not eligible to be funded with the proceeds of rate reduction bonds pursuant to section 16-245f, or (C) to recover costs determined under subdivision (1) of subsection (e) of section 16-244g. If requested by the electric company or electric distribution company, the department shall include in the competitive transition assessment non-bypassable rates and other charges to recover federal and state taxes whose recovery period is modified by the transactions contemplated in this section and sections 16-245f to 16-245k, inclusive;
(3) "Customer" means any individual, business, firm, corporation, association, tax- exempt organization, joint stock association, trust, partnership, limited liability company, the United States or its agencies, this state, any political subdivision thereof or state agency that purchases electric generation or distribution services as a retail end user in the state from any electric supplier, electric company or electric distribution company;
(4) "Finance authority" means the state, acting through the office of the State Treasurer;
(5) "Net proceeds" means "net proceeds" as defined in section 16-244f;
(6) "Stranded costs" means that portion of generation assets, generation-related regulatory assets or long-term contract costs determined by the department in accordance with the provisions of subsections (e), (f), (g) and (h) of this section;
(7) "Generation assets" means the total construction and other capital asset costs of generation facilities approved for inclusion in rates before July 1, 1997, but does not include any costs relating to the decommissioning of any such facility or any costs which the department found during a proceeding initiated before July 1, 1998, were incurred because of imprudent management;
(8) "Generation-related regulatory assets" means generation-related costs authorized or mandated before July 1, 1998, by the Department of Public Utility Control, approved for inclusion in the rates, and include, but are not limited to, costs incurred for deferred taxes, conservation programs, environmental protection programs, public policy costs and research and development costs, net of any applicable credits payable to customers, but does not include any costs which the department found during a proceeding initiated before July 1, 1998, were incurred because of imprudent management;
(9) "Long-term contract costs" mean the above-market portion of the costs of contractual obligations approved for inclusion in the rates that were entered into before January 1, 2000, arising from independent power producer contracts required by law or purchased power contracts approved by the Federal Energy Regulatory Commission;
(10) "Department" means the Department of Public Utility Control;
(11) "Financing entity" means the finance authority or any special purpose trust or other entity that is authorized by the finance authority to issue rate reduction bonds or acquire transition property pursuant to such terms and conditions as the finance authority may specify, or both;
(12) "Financing order" means an order of the department adopted in accordance with this section and sections 16-245f to 16-245k, inclusive; and
(13) "Transition property" means the property right created pursuant to this section and sections 16-245f to 16-245k, inclusive, in respect of those stranded costs that are eligible to be funded with the proceeds of rate reduction bonds pursuant to section 16- 245f, including, without limitation, the right, title, and interest of an electric company or electric distribution company or its transferee (A) in and to the rates and charges established pursuant to a financing order, as adjusted from time to time in accordance with subdivision (2) of subsection (b) of section 16-245i and the financing order, (B) to be paid the amount that is determined in a financing order to be the amount that the electric company or electric distribution company or its transferee is lawfully entitled to receive pursuant to the provisions of this section and sections 16-245f to 16-245k, inclusive, and the proceeds thereof, and in and to all revenues, collections, claims, payments, money, or proceeds of or arising from the rates and charges or constituting the competitive transition assessment that is the subject of a financing order including those non-bypassable rates and other charges referred to in subdivision (2) of this subsection, and (C) in and to all rights to obtain adjustments to the rates and charges pursuant to the terms of subdivision (2) of subsection (b) of section 16-245i and the financing order. "Transition property" shall constitute a current property right notwithstanding the fact that the value of the property right will depend on consumers using electricity or, in those instances where consumers are customers of a particular electric company or electric distribution company, the electric company or electric distribution company performing certain services.
(b) The department shall, in accordance with the provisions of this section, identify and calculate, upon application by an electric company, those stranded costs that may be collected through the competitive transition assessment which shall be calculated and collected in accordance with the provisions of section 16-245g. No electric distribution company shall be eligible to claim stranded costs unless a public auction has been held to divest itself of all nonnuclear generation assets in accordance with subsection (b) of section 16-244f or the electric company has sold its nonnuclear generation assets in accordance with section 16-43.
(c) (1) Notwithstanding subdivision (1) of subsection (e) of section 16-244g, any electric company seeking to claim stranded costs shall, in accordance with this subsection, mitigate such costs to the fullest extent possible. Prior to the approval by the department of any stranded costs, the electric company shall show to the satisfaction of the department that the electric company has taken all reasonable steps to mitigate to the maximum extent possible the total amount of stranded costs that it seeks to claim and to minimize the cost to be recovered from customers. Mitigation shall include: (A) Except to the extent provided in collective bargaining agreements or agreements to purchase generation assets entered into prior to July 1, 1998, the obtaining of written commitments from purchasers of generation facilities divested pursuant to sections 16- 244f and 16-244g, that the purchasers will offer employment to persons who were employed in nonmanagerial positions by a divested generation facility at any time during the three-month period prior to the divestiture, at levels of wages and overall compensation not lower than the employees' lowest level during the six-month period prior to the date the contract to divest the asset was entered into; (B) good faith efforts to negotiate the buyout, buydown or renegotiation of independent power producer contracts and purchased power contracts approved by the Federal Energy Regulatory Commission provided the fixed present value of any contract to which a political subdivision of the state is a party shall be calculated using the political subdivision's tax-exempt borrowing rate as the discount rate; and (C) the reasonable costs of the consultants appointed to conduct the auctions of generation assets pursuant to sections 16-244f and 16-244g. Mitigation may include, but is not limited to, reallocation of depreciation reserves to existing generation assets to the extent consistent with generally accepted accounting principles; reduction of book assets by application of net proceeds of any sale of existing assets; maximization of market revenues from existing generation assets; efforts to maximize current and future operating efficiency, including appropriate and timely maintenance, trouble shooting, aggressive identification and correction of potential problem areas; voluntary write-offs of above-market generation assets; the decision to retire uneconomical generation assets and efforts to divest generating sites at market prices reflective of best use of sites. Mitigation shall not include any expenditures to restart a nuclear generation asset that was not operating for reasons other than scheduled maintenance or refueling at the time such expenditure was made. Any mitigation efforts and associated costs shall be subject to approval by the department.
(2) The department shall allow the cost of such mitigation efforts to be included in the calculation of stranded costs to the extent that such mitigation costs are reasonable relative to the amount of the reduction in stranded costs resulting from the mitigation.
(d) An electric company shall submit to the department an application for recovery of that portion of generation-related regulatory assets, long-term contract costs, generation assets and mitigation costs which are determined by the department in accordance with subsections (c), (e), (f) and (g) of this section and subdivision (1) of subsection (e) of section 16-244g. The application shall include a description of mitigation efforts and a request for recovery through the competitive transition assessment and may include a request for a financing order. The department shall hold a hearing for each electric company and issue a finding of the calculation of stranded costs in a time frame that allows for collection of the competitive transition assessment to begin on January 1, 2000. Any hearing shall be conducted as a contested case in accordance with chapter 54.
(e) The department shall calculate the stranded costs for generation-related regulatory assets to be their book value as of January 1, 2000. In calculating the value of generation-related regulatory assets that are being provided in a lump sum as the result of a funding with the proceeds of rate reduction bonds, the department shall adjust the value of each such asset to reflect the time value of such lump sum, if any.
(f) (1) The department shall calculate the stranded costs for long-term contract costs that have been reduced to a fixed present value through the buyout, buydown, or renegotiation of independent power producer contracts and purchased power contracts approved by the Federal Energy Regulatory Commission as such present value. In making such calculation, the department shall net purchased power contracts approved by the Federal Energy Regulatory Commission that are below market value against any such contracts that are above-market value.
(2) The department shall calculate the stranded costs for any portion of a long-term contract cost that has not been reduced to a fixed present value by comparing the contract price to the market price at least annually. In making such calculation, the department shall net purchased power contracts approved by the Federal Energy Regulatory Commission that are below market value against any such contracts that are above-market value. The costs described in this subdivision shall be included in the competitive transition assessment pursuant to section 16-245g but shall not be included in any funding with the proceeds of rate reduction bonds.
(g) The department shall calculate the stranded cost for each generation asset described in subdivision (7) of subsection (b) of section 16-244f to be the difference between its book value and the market value of a prudently and efficiently managed nonnuclear generating facility of comparable size, age and technical characteristics in a competitive market. In determining the market value of any such asset, the department may consider (A) the dollars per kilowatt received from the sale of similar generation facilities, if any, (B) income capitalization based on the operating history and capacity of the facility, the market rates for power, and any existing long-term contracts for the sale of power or capacity, (C) independent market appraisals, or (D) other relevant factors. The department shall calculate the stranded costs for generation assets described in subdivision (7) of subsection (b) of section 16-244f at least every three years. The costs described in this subsection shall be included in the competitive transition assessment pursuant to section 16-245g but shall not be included in any funding with the proceeds of rate reduction bonds.
(h) (1) On or before January 1, 2004, an electric company may submit to the department an application for recovery of that portion of nuclear generation assets which is determined by the department in accordance with this subsection, which application shall include a request for recovery through the competitive transition assessment. The department shall hold a hearing for each electric company and issue a finding of the calculation of such nuclear generation assets in accordance with the provisions of this subsection. Any hearing shall be conducted as a contested case proceeding in accordance with chapter 54. The costs described in this subsection shall be included in the competitive transition assessment pursuant to section 16-245g but shall not be included in any funding with proceeds of rate reduction bonds.
(2) The department shall calculate the stranded costs for each nuclear generation asset that was divested at a price less than book value as described in subdivision (5) of subsection (c) of section 16-244g as the difference between the book value of this asset and the final bid price of the asset. The department's calculation of stranded costs pursuant to this subdivision shall be final and shall not be subject to further adjustment by the department.
(3) The department shall calculate the stranded costs for each nondivested nuclear generation asset described in subdivision (1) of subsection (d) of section 16-244g to be the difference between its book value and the market value of a prudently and efficiently managed nuclear generating facility of comparable size, age and technical characteristics in a competitive market. In determining the market value of any such asset, the department may consider (A) the dollars per kilowatt received from the sale of similar generation facilities, if any, (B) income capitalization based on the operating history and capacity of the facility, the market rates for power, and any existing long-term contracts for the sale of power or capacity, (C) the provision for decommissioning and related costs to be paid from the systems benefits charge provided in section 16-245l, (D) independent market appraisals, or (E) other relevant factors. At least every four years after the date when the department issues an initial finding of the calculation of the stranded costs for such nondivested nuclear generation assets as provided in this subdivision until the earlier of (i) the expiration of the collection of the competitive transition assessment, or (ii) the date when such an asset is divested, the department shall hold a hearing and issue a finding to adjust the stranded cost calculation of each such asset and to adjust the competitive transition assessment accordingly to true up the stranded cost recovery for the difference between the market value projected in such initial finding and the actual market value of a prudently and efficiently managed nuclear generating facility of comparable size, age and technical characteristics during the time period between the initial finding and the adjustment date, provided the second and subsequent adjustments shall reflect the difference during the time period since the most recent true-up. The department shall calculate the value of each such asset in accordance with the methodology provided in this subdivision. Any hearing shall be conducted as a contested case in accordance with chapter 54.
(4) After the department has calculated the total value of stranded costs for all nuclear generation assets, the department shall (A) reduce such amount by the net proceeds that are above book value realized by an electric company from the sale of nonnuclear generation assets pursuant to subdivision (6) of subsection (b) of section 16-244f, (B) reduce such valuation to reflect the total net proceeds that are above book value realized by an electric distribution company from the sale of any nuclear generation assets pursuant to subsection (c) of section 16-244g, and (C) reduce such amount by the net proceeds that are above book value received by an electric company for the sale or lease of any real property after July 1, 1998.
(i) If any net proceeds described in subdivision (4) of subsection (h) of this section remain after the reduction in the calculation of nuclear generation assets pursuant to said subdivision (4) or are realized after said reduction is calculated, the additional amount of such net proceeds shall be netted against long-term contract costs described in subdivision (2) of subsection (f) of this section, and the competitive transition assessment shall be adjusted accordingly.
(j) (1) No electric company shall be eligible to claim any stranded costs for a nuclear generation asset or for any generation-related regulatory asset related to such generation asset, if the generation asset is not operating as a result of an order issued by the United States Nuclear Regulatory Commission that applies specifically to such asset. Any such asset that is not eligible to be claimed as a stranded cost shall be eligible after it is permitted to and has resumed operation and is selling power.
(2) Any asset with a Nuclear Regulatory Commission capacity rating of 641 megawatts that does not resume operation after such order is no longer in effect shall not be eligible to be claimed as a stranded cost. An electric company or electric distribution company may apply to the department for retirement of such unit for economic reasons pursuant to section 16-19. The department shall include any recovery ordered in such proceeding in the competitive transition assessment but shall not include any costs relating to the decommissioning of any such facility or any costs which the department found during a proceeding initiated before July 1, 1998, were incurred because of imprudent management. Notwithstanding the provisions of this subdivision, nothing herein shall modify or supersede any statute or regulation in effect on July 1, 1998, pertaining to applications for retirement of nuclear generating facilities.
(k) If an electric company elected to transfer any of its nuclear generation assets and related operations and functions to a separate corporate affiliate or to a division that is functionally separate from the electric distribution company pursuant to section 16- 244g and subsequently sold any such assets in an arm's length transaction to an unrelated entity prior to January 1, 2012, the net proceeds realized from such sale that exceed book value for such assets shall be netted against the total amount of stranded costs, and the competitive transition assessment shall be adjusted accordingly and, if appropriate, other reimbursement shall be ordered by the department.
(P.A. 98-28, S. 8, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245f. Funding of stranded costs through rate reduction bonds, restrictions. An electric company or electric distribution company may submit to the department an application for a financing order with respect to the following stranded costs: (1) The cost of mitigation efforts, as calculated pursuant to subsection (c) of section 16- 245e; (2) generation-related regulatory assets, as calculated pursuant to subsection (e) of section 16-245e; and (3) those long-term contract costs that have been reduced to a fixed present value through the buyout, buydown, or renegotiation of such contracts, as calculated pursuant to subsection (f) of section 16-245e. No stranded costs shall be funded with the proceeds of rate reduction bonds unless (A) the electric company or electric distribution company proves to the satisfaction of the department that the savings attributable to such funding will be directly passed on to customers through lower rates, and (B) the department determines such funding will not result in giving the electric distribution company or any generation entities or affiliates an unfair competitive advantage. The department shall hold a hearing for each such electric distribution company to determine the portion of stranded costs that may be included in such funding and thereby constitute transition property. Any hearing shall be conducted as a contested case in accordance with chapter 54.
(P.A. 98-28, S. 9, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245g. Competitive transition assessment. Determination by department of amount and how applied to electric customers. Duration. (a) The Department of Public Utility Control shall assess and beginning January 1, 2000, impose the competitive transition assessment which shall be imposed on all customers of each electric distribution company to provide funds for the purposes described in subsection (d) of this section. The department shall hold a hearing that shall be conducted as a contested case in accordance with chapter 54 to determine the amount of the competitive transition assessment.
(b) The department shall consider the effect on all customer rates and other factors relevant to reducing rates in determining the amount of the competitive transition assessment and the manner in which and the period over which it shall be imposed in any decision of the department to set or adjust the competitive transition assessment.
(c) The competitive transition assessment shall be determined by the department in a general and equitable manner and shall be imposed on all customers at a rate that is applied equally to all customers of the same class in accordance with methods of allocation in effect on July 1, 1998, provided the competitive transition assessment shall not be imposed on customers receiving services under a special contract which is in effect on July 1, 1998, until such special contract expires. The competitive transition assessment shall be imposed beginning on January 1, 2000, on all customers receiving services under a special contract which is entered into or renewed after July 1, 1998. The competitive transition assessment shall have a generally applicable manner of determination that may be measured on the basis of percentages of total costs of retail sales of electric generation services. The competitive transition assessment shall be payable by customers on an equal basis on the same payment terms and shall be eligible or subject to prepayment on an equal basis. Any exemption of the competitive transition assessment by customers under a special contract shall not result in an increase in rates to any customer.
(d) The department shall establish, fix and revise the competitive transition assessment in an amount sufficient at all times to: (1) Pay the principal of and the interest on rate reduction bonds as the same shall become due and payable; (2) to pay all reasonable and necessary expenses relating to the financing; and (3) to pay an electric company stranded costs that are not funded with the proceeds of rate reduction bonds and interim capital costs determined under subdivision (1) of subsection (e) of section 16-244g.
(e) The competitive transition assessment shall be charged to customers until the rate reduction bonds are paid in full by the financing entity and stranded costs not funded with the proceeds of rate reduction bonds are fully recovered by the electric company or electric distribution company. Amounts collected from a customer shall be allocated on a pro rata basis among (1) rates and charges described in subparagraph (A) of subdivision (2) of subsection (a) of section 16-245e, (2) rates and charges described in subparagraph (B) of subdivision (2) of subsection (a) of section 16-245e, and (3) other charges. To the extent that the department, when issuing a financing order, determines that special treatment on customers' bills is necessary or desirable to distinguish rates and charges described in subparagraph (A) of subdivision (2) of subsection (a) of section 16-245e from rates and charges described in subparagraph (B) of subdivision (2) of subsection (a) of section 16-245e in order to facilitate the successful issuance and sale of rate reduction bonds, it may so provide as part of such financing order.
(P.A. 98-28, S. 10, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245h. Transition property. Surplus competitive transition assessment. Restrictions on use of transition property by electric or electric distribution companies. (a) The competitive transition assessment described in subparagraph (A) of subdivision (2) of subsection (a) of section 16-245e shall constitute transition property when, and to the extent that, a financing order authorizing such portion of the competitive transition assessment has become effective in accordance with sections 16-245e to 16- 245k, inclusive, and the transition property shall thereafter continuously exist as property for all purposes with all of the rights and privileges of sections 16-245e to 16-245k, inclusive, for the period and to the extent provided in the financing order, but in any event until the rate reduction bonds are paid in full, including all principal, interest, premium, costs, and arrearages on such bonds. Prior to its sale or other transfer by the electric company or electric distribution company pursuant to sections 16-245e to 16- 245k, inclusive, transition property shall be a vested contract right of the electric company or electric distribution company, notwithstanding any contrary treatment thereof for accounting, tax, or other purpose.
(b) Any surplus competitive transition assessment described in subparagraph (A) of subdivision (2) of subsection (a) of section 16-245e in excess of the amounts necessary to pay principal, premium, if any, interest and expenses of the issuance of the rate reduction bonds shall be remitted to the financing entity and may be used to benefit customers if this would not result in a recharacterization of the tax, accounting, and other intended characteristics of the financing, including, but not limited to, the following:
(1) Avoiding the recognition of debt on the electric company's or the electric distribution company's balance sheet for financial accounting and regulatory purposes;
(2) Treating the rate reduction bonds as debt of the electric company or electric distribution company or its affiliates for federal income tax purposes;
(3) Treating the transfer of the transition property by the electric company or electric distribution company as a true sale for bankruptcy purposes; or
(4) Avoiding any adverse impact of the financing on the credit rating of the rate reduction bonds or the electric company or electric distribution company.
(c) Electric companies and electric distribution companies may sell and assign all or portions of their interest in transition property to an affiliate. Electric companies and electric distribution companies or their affiliates may sell or assign their interests to one or more financing entities that make that property the basis for issuance of rate reduction bonds to the extent approved in the pertinent financing orders. Electric companies, electric distribution companies, their affiliates, or financing entities may pledge transition property as collateral, directly or indirectly, for rate reduction bonds to the extent approved in the pertinent financing orders providing for a security interest in the transition property, in the manner as set forth in section 16-245k. In addition, transition property may be sold or assigned by (1) the financing entity or a trustee for the holders of rate reduction bonds in connection with the exercise of remedies upon a default, or (2) any person acquiring the transition property after a sale or assignment pursuant to this subsection.
(d) To the extent that any interest in transition property is so sold or assigned, or is so pledged as collateral, the department shall authorize the electric company or electric distribution company to contract with the financing entity that it will continue to operate its system to provide service to its customers, will collect amounts in respect of the competitive transition assessment for the benefit and account of the financing entity, and will account for and remit these amounts to or for the account of the financing entity. Contracting with the financing entity in accordance with that authorization shall not impair or negate the characterization of the sale, assignment, or pledge as an absolute transfer, a true sale, or security interest, as applicable.
(P.A. 98-28, S. 11, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245i. Department to issue financing orders for recovery of stranded costs. (a) The department may issue financing orders in accordance with sections 16- 245e to 16-245k, inclusive, to facilitate the provision, recovery, financing, or refinancing of stranded costs. A financing order may be adopted only upon the application of an electric company or electric distribution company, pursuant to section 16-245f and shall become effective in accordance with its terms only after the electric company or electric distribution company files with the department the electric company's or the electric distribution company's written consent to all terms and conditions of the financing order.
(b) (1) Notwithstanding any general or special law, rule, or regulation to the contrary, except as otherwise provided in this subsection with respect to transition property that has been made the basis for the issuance of rate reduction bonds, the financing orders and the competitive transition assessment shall be irrevocable and the department shall not have authority either by rescinding, altering, or amending the financing order or otherwise, to revalue or revise for rate-making purposes the stranded costs, or the costs of providing, recovering, financing, or refinancing the stranded costs, determine that the competitive transition assessment is unjust or unreasonable, or in any way reduce or impair the value of transition property either directly or indirectly by taking the competitive transition assessment into account when setting other rates for the electric company or electric distribution company; nor shall the amount of revenues arising with respect thereto be subject to reduction, impairment, postponement, or termination.
(2) Notwithstanding any other provision of this section, the department shall approve the adjustments to the competitive transition assessment as may be necessary to ensure timely recovery of all stranded costs that are the subject of the pertinent financing order, and the costs of capital associated with the provision, recovery, financing, or refinancing thereof, including the costs of issuing, servicing, and retiring the rate reduction bonds contemplated by the financing order.
(3) Notwithstanding any general or special law, rule, or regulation to the contrary, any requirement under sections 16-245e to 16-245k, inclusive, or a financing order that the department take action with respect to the subject matter of a financing order shall be binding upon the department, as it may be constituted from time to time, and any successor agency exercising functions similar to the department and the department shall have no authority to rescind, alter, or amend that requirement in a financing order. Section 16-43 shall not apply to any sale, assignment, or other transfer of or grant of a security interest in any transition property or the issuance of rate reduction bonds under sections 16-245e to 16-245k, inclusive.
(c) The department shall provide in any financing order for a procedure for the timely approval by the department of periodic adjustments to the competitive transition assessment that is the subject of the pertinent financing order, as required by subdivision (2) of subsection (b) of this section. The procedure shall require the department to determine whether the adjustments are required on each anniversary of the issuance of the financing order, and at the additional intervals as may be provided for in the financing order, and for the adjustments, if required, to be approved within ninety days of each anniversary of the issuance of the financing order, or of each additional interval provided for in the financing order.
(P.A. 98-28, S. 12, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245j. Rate reduction bonds; terms. (a) A financing entity may issue rate reduction bonds upon approval by the department in the pertinent financing order. Rate reduction bonds shall be nonrecourse to the credit or any assets of the electric company or electric distribution company, other than the transition property as specified in the pertinent financing order.
(b) Except as otherwise provided in this subsection, the state of Connecticut does hereby pledge and agree with the owners of transition property and holders of rate reduction bonds that the state shall neither limit nor alter the competitive transition assessment, transition property, financing orders, and all rights thereunder until the obligations, together with the interest thereon, are fully met and discharged, provided nothing contained in this subsection shall preclude the limitation or alteration if and when adequate provision shall be made by law for the protection of the owners and holders. The finance authority as agent for the state is authorized to include this pledge and undertaking for the state in these obligations.
(c) (1) Financing orders and rate reduction bonds shall not be deemed to constitute a debt or liability of the state or of any political subdivision thereof, other than the financing entity, shall not constitute a pledge of the full faith and credit of the state or any of its political subdivisions, other than the financing entity, but shall be payable solely from the funds provided under sections 16-245e to 16-245k, inclusive, and shall not constitute an indebtedness of the state within the meaning of any constitutional or statutory debt limitation or restriction and, accordingly, shall not be subject to any statutory limitation on the indebtedness of the state and shall not be included in computing the aggregate indebtedness of the state in respect to and to the extent of any such limitation. This subsection shall in no way preclude bond guarantees or enhancements pursuant to sections 16-245e to 16-245k, inclusive. All rate reduction bonds shall contain on the face thereof a statement to the following effect: "Neither the full faith and credit nor the taxing power of the State of Connecticut is pledged to the payment of the principal of, or interest on, this bond."
(2) The issuance of rate reduction bonds under sections 16-245e to 16-245k, inclusive, shall not directly, indirectly, or contingently obligate the state or any political subdivision thereof to levy or to pledge any form of taxation therefor or to make any appropriation for their payment.
(3) The exercise of the powers granted by sections 16-245e to 16-245k, inclusive, shall be in all respects for the benefit of the people of this state, for the increase of their commerce, welfare, and prosperity, and as the exercise of such powers shall constitute the performance of an essential public function, neither the finance authority, any electric company or electric distribution company, any affiliate of any electric company or electric distribution company, any financing entity, or any collection or other agent of any of the foregoing shall be required to pay any taxes or assessments upon or in respect of any revenues or property received, acquired, transferred, or used by the finance authority, any electric company or electric distribution company, any affiliate of any electric company or electric distribution company, any financing entity, or any collection or other agent of any of the foregoing under the provisions of sections 16-245e to 16-245k, inclusive, or upon or in respect of the income therefrom, and any rate reduction bonds shall be treated as issued by or on behalf of a public instrumentality created under the laws of the state for purposes of chapter 229.
(4) The proceeds of any rate reduction bonds shall be used for the purposes approved by the department in the financing order, including but not limited to, the costs of refinancing or retiring of debt of the electric company or electric distribution company, and associated federal and state tax liabilities; provided such proceeds shall not be applied to purchase generation assets or to purchase or redeem stock or to pay dividends to shareholders or operating expenses other than taxes resulting from the receipt of such proceeds.
(5) Rate reduction bonds are made and declared (A) securities in which all public officers and public bodies of the state and its political subdivisions, all insurance companies, state banks and trust companies, national banking associations, savings banks, savings and loan associations, investment companies, executors, administrators, trustees and other fiduciaries may properly and legally invest funds, including capital in their control or belonging to them, and (B) securities which may properly and legally be deposited with and received by any state or municipal officer or any agency or political subdivision of the state for any purpose for which the deposit of bonds or obligations of the state is now or may be authorized.
(6) Rate reduction bonds shall mature at such time or times approved by the department in the financing order; provided that such maturity shall not be later than December 31, 2011.
(7) Rate reduction bonds issued and at any time outstanding may, if and to the extent permitted under the indenture or other agreement pursuant to which they are issued, be refunded by other rate reduction bonds.
(d) Any rate reduction bonds issued or sold pursuant to or in reliance on and in accordance with any financing order issued by the department pursuant to sections 16- 245e to 16-245k, inclusive, shall be valid and binding in accordance with their terms notwithstanding such financing order is later vacated, modified, or otherwise held to be wholly or partly invalid, unless operation of such financing order has been enjoined, stayed, or suspended by the department or a court of competent jurisdiction prior to such issuance.
(P.A. 98-28, S. 13, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245k. Security interest in transition property described; creation; perfection. Transferring transition property. Duration of department's authority to issue financing orders. (a) A security interest in transition property is valid, is enforceable against the pledgor and third parties, subject to the rights of any third parties holding security interests in the transition property perfected in the manner described in this section, and attaches when all of the following have taken place:
(1) The department has issued the financing order authorizing the competitive transition assessment included in the transition property.
(2) Value has been given by the pledgees of the transition property.
(3) The pledgor has signed a security agreement covering the transition property.
(b) A valid and enforceable security interest in transition property is perfected when it has attached and when a financing statement has been filed in accordance with part 4 of article 9 of title 42a naming the pledgor of the transition property as "debtor" and identifying the transition property. Any description of the transition property shall be sufficient if it refers to the financing order creating the transition property. A copy of the financing statement shall be filed with the department by the electric company or electric distribution company that is the pledgor or transferor of the transition property, and the department may require the electric company or electric distribution company to make other filings with respect to the security interest in accordance with procedures it may establish, provided that the filings shall not affect the perfection of the security interest.
(c) A perfected security interest in transition property is a continuously perfected security interest in all revenues and proceeds arising with respect thereto, whether or not the revenues or proceeds have accrued. Conflicting security interests shall rank according to priority in time of perfection. Transition property shall constitute property for all purposes, including for contracts securing rate reduction bonds, whether or not the revenues and proceeds arising with respect thereto have accrued.
(d) Subject to the terms of the security agreement covering the transition property and the rights of any third parties holding security interests in the transition property perfected in the manner described in this section, the validity and relative priority of a security interest created under this section are not defeated or adversely affected by the commingling of revenues arising with respect to the transition property with other funds of the electric company or electric distribution company that is the pledgor or transferor of the transition property, or by any security interest in a deposit account of that electric company or electric distribution company into which the revenues are deposited or in such revenues themselves perfected under article 9 of title 42a or otherwise. Subject to the terms of the security agreement, the pledgees of the transition property shall have a perfected security interest in all cash and deposit accounts of the electric company or electric distribution company in which revenues arising with respect to the transition property have been commingled with other funds, but the perfected security interest shall be limited to an amount not greater than the amount of the revenues with respect to the transition property received by the electric company or electric distribution company within twelve months before (1) any default under the security agreement or (2) the institution of insolvency proceedings by or against the electric company or electric distribution company, less payments from the revenues to the pledgees during that twelve-month period.
(e) If an event of default occurs under the security agreement covering the transition property, the pledgees of the transition property, subject to the terms of the security agreement, shall have all rights and remedies of a secured party upon default under article 9 of title 42a, and shall be entitled to foreclose or otherwise enforce their security interest in the transition property, subject to the rights of any third parties holding prior security interests in the transition property perfected in the manner provided in this section. In addition, the department may require, in the financing order creating the transition property, that, in the event of default by the electric company or electric distribution company in payment of revenues arising with respect to the transition property, the department and any successor thereto, upon the application by the pledgees or transferees, including transferees under this section, of the transition property, and without limiting any other remedies available to the pledgees or transferees by reason of the default, shall order the sequestration and payment to the pledgees or transferees of revenues arising with respect to the transition property. Any order shall remain in full force and effect notwithstanding any bankruptcy, reorganization, or other insolvency proceedings with respect to the debtor, pledgor, or transferor of the transition property. Any surplus in excess of amounts necessary to pay principal, premium, if any, interest, costs, and arrearages on the rate reduction bonds, and other costs arising under the security agreement, shall be remitted to the debtor or to the pledgor or transferor.
(f) Sections 42a-9-204 and 42a-9-205 shall apply to a pledge of transition property by an electric company or electric distribution company, an affiliate of an electric company or electric distribution company, or a financing entity.
(g) This section sets forth the terms by which a consensual security interest can be created and perfected in the transition property. Unless otherwise ordered by the department with respect to any series of rate reduction bonds on or prior to the issuance of the series, there shall exist a statutory lien as provided in this subsection. Upon the effective date of the financing order, there shall exist a first priority lien on all transition property then existing or thereafter arising pursuant to the terms of the financing order. This lien shall arise by operation of this section automatically without any action on the part of the electric company or electric distribution company, any affiliate thereof, the financing entity, or any other person. This lien shall secure all obligations, then existing or subsequently arising, to the holders of the rate reduction bonds issued pursuant to the financing order, the trustee or representative for the holders, and any other entity specified in the financing order. The persons for whose benefit this lien is established shall, upon the occurrence of any defaults specified in the financing order, have all rights and remedies of a secured party upon default under article 9 of title 42a, and shall be entitled to foreclose or otherwise enforce this statutory lien in the transition property. This lien shall attach to the transition property regardless of who shall own, or shall subsequently be determined to own, the transition property including any electric company or electric distribution company, any affiliate thereof, the financing entity, or any other person. This lien shall be valid, perfected, and enforceable against the owner of the transition property and all third parties upon the effectiveness of the financing order without any further public notice; provided, however, that any person may, but shall not be required to, file a financing statement in accordance with subsection (b) of this section. Financing statements so filed may be "protective filings" and shall not be evidence of the ownership of the transition property. A perfected statutory lien in transition property is a continuously perfected lien in all revenues and proceeds arising with respect thereto, whether or not the revenues or proceeds have accrued. Conflicting liens shall rank according to priority in time of perfection. Transition property shall constitute property for all purposes, including for contracts securing rate reduction bonds, whether or not the revenues and proceeds arising with respect thereto have accrued. In addition, the department may require, in the financing order creating the transition property, that, in the event of default by the electric company or electric distribution company in payment of revenues arising with respect to transition property, the department and any successor thereto, upon the application by the beneficiaries of the statutory lien, and without limiting any other remedies available to the beneficiaries by reason of the default, shall order the sequestration and payment to the beneficiaries of revenues arising with respect to the transition property. Any order shall remain in full force and effect notwithstanding any bankruptcy, reorganization, or other insolvency proceedings with respect to the debtor, pledgor, or transferor of the transition property. Any surplus in excess of amounts necessary to pay principal, premium, if any, interest, costs, and arrearages on the rate reduction bonds, and other costs arising in connection with the documents governing the rate reduction bonds, shall be remitted to the debtor or to the pledgor or transferor.
(h) A transfer of transition property by an electric company or electric distribution company to an affiliate or to a financing entity, or by an affiliate of an electric company or electric distribution company or a financing entity to another financing entity, which the parties have in the governing documentation expressly stated to be a sale or other absolute transfer, in a transaction approved in a financing order, shall be treated as an absolute transfer of all of the transferor's right, title, and interest, as in a true sale, and not as a pledge or other financing, of the transition property, in each case notwithstanding any contrary treatment of such transfer for accounting, tax, or other purposes. Granting to holders of rate reduction bonds a preferred right to revenues of the electric company or electric distribution company, or the provision by the company of other credit enhancement with respect to rate reduction bonds, shall not impair or negate the characterization of any transfer as a true sale, in each case notwithstanding any contrary treatment of such transfer for accounting, tax or other purposes.
(i) A transfer of transition property shall be deemed perfected as against third persons when both of the following have taken place:
(1) The department has issued the financing order authorizing the competitive transition assessment included in the transition property.
(2) An assignment of the transition property in writing has been executed and delivered to the transferee.
(j) As between bona fide assignees of the same right for value without notice, the assignee first filing a financing statement in accordance with part 4 of article 9 of title 42a naming the assignor of the transition property as debtor and identifying the transition property has priority. Any description of the transition property shall be sufficient if it refers to the financing order creating the transition property. A copy of the financing statement shall be filed by the assignee with the department, and the department may require the assignor or the assignee to make other filings with respect to the transfer in accordance with procedures it may establish, but these filings shall not affect the perfection of the transfer.
(k) Any successor to the electric company or electric distribution company, whether pursuant to any bankruptcy, reorganization, or other insolvency proceeding, or pursuant to any merger, sale, or transfer, by operation of law, or otherwise, shall perform and satisfy all obligations of the electric company or electric distribution company pursuant to sections 16-245e to 16-245k, inclusive, in the same manner and to the same extent as the electric company or electric distribution company, including, but not limited to, collecting and paying to the holders of rate reduction bonds or their representatives or the applicable financing entity revenues arising with respect to the transition property sold to the applicable financing entity or pledged to secure rate reduction bonds.
(l) The authority of the department to issue financing orders pursuant to sections 16-245e to 16-245k, inclusive, shall expire on December 31, 2008. The expiration of the authority shall have no effect upon financing orders adopted by the department pursuant to sections 16-245e to 16-245k, inclusive, or any transition property arising therefrom, or upon the charges authorized to be levied thereunder, or the rights, interests, and obligations of the electric company or electric distribution company or a financing entity or holders of rate reduction bonds pursuant to the financing order, or the authority of the department to monitor, supervise, or take further action with respect to the financing order in accordance with the terms of sections 16-245e to 16-245k, inclusive, and of the financing order.
(P.A. 98-28, S. 14, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245l. Systems benefits charge. Determination by department of amount and how applied to customers. (a) The Department of Public Utility Control shall establish and each electric distribution company shall collect a systems benefits charge to be imposed against all end use customers of each electric distribution company beginning January 1, 2000. The department shall hold a hearing that shall be conducted as a contested case in accordance with chapter 54 to establish the amount of the systems benefits charge. The department may revise the systems benefits charge or any element of said charge as the need arises. The systems benefits charge shall be used to fund (1) the expenses of the public education outreach program developed under subsection (a) of section 16-244d other than expenses for department staff, (2) the reasonable and proper expenses of the education outreach consultant pursuant to subsection (d) of section 16-244d, (3) the cost of hardship protection measures under sections 16-262c and 16-262d and other hardship protections, including but not limited to, electric service bill payment programs, funding and technical support for energy assistance, fuel bank and weatherization programs and weatherization services, (4) the payment program to offset tax losses described in section 12-94d, (5) any sums paid to a resource recovery authority pursuant to subsection (b) of section 16-243e, (6) low income conservation programs approved by the Department of Public Utility Control, (7) displaced worker protection costs, (8) unfunded storage and disposal costs for spent nuclear fuel generated before January 1, 2000, approved by the appropriate regulatory agencies, (9) postretirement safe shutdown and site protection costs that are incurred in preparation for decommissioning, (10) decommissioning fund contributions, and (11) legal, appraisal and purchase costs of a conservation or land use restriction and other related costs as the department in its discretion deems appropriate, incurred by a municipality on or before January 1, 2000, to ensure the environmental, recreational and scenic preservation of any reservoir located within this state created by a pump storage hydroelectric generating facility. As used in this subsection, "displaced worker protection costs" means the reasonable costs incurred, prior to January 1, 2006, by an electric company or a generation entity or affiliate arising from the dislocation of any employee other than an officer, provided such dislocation is a result of restructuring of the electric generation market and such dislocation occurs on or after July 1, 1998; and provided further such costs result from either the execution of agreements reached through collective bargaining for union employees or from the company's or entity's or affiliate's programs and policies for nonunion employees. "Displaced worker protection costs" includes costs incurred or projected for severance, retraining, early retirement, outplacement and related expenses. "Displaced worker protection costs" does not include those costs included in determining a tax credit pursuant to section 12-217bb.
(b) The amount of the systems benefits charge shall be determined by the department in a general and equitable manner and shall be imposed on all end use customers of each electric distribution company at a rate that is applied equally to all customers of the same class in accordance with methods of allocation in effect on July 1, 1998, provided the system benefits charge shall not be imposed on customers receiving services under a special contract which is in effect on July 1, 1998, until such special contracts expire. The system benefits charge shall be imposed beginning on January 1, 2000, on all customers receiving services under a special contract which are entered into or renewed after July 1, 1998. The systems benefits charge shall have a generally applicable manner of determination that may be measured on the basis of percentages of total costs of retail sales of generation services. The systems benefits charge shall be payable on an equal basis on the same payment terms and shall be eligible or subject to prepayment on an equal basis. Any exemption of the systems benefits charge by customers under a special contract shall not result in an increase in rates to any customer.
(P.A. 98-28, S. 18, 117; P.A. 99-17, S. 1, 2.)
History: P.A. 98-28 effective July 1, 1998; P.A. 99-17 amended Subsec. (a) by adding new Subdiv. (11) re costs of conservation or land use restriction, effective May 12, 1999 (Revisor's note: In Subdiv. (11) of Subsec. (a), "... department it its discretion ... was changed editorially by the Revisors to "... department in its discretion ... for accuracy).

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Sec. 16-245m. Conservation and load management program; charge assessed against electric customers to fund program; scope and purpose of program. (a) On and after January 1, 2000, the Department of Public Utility Control shall assess or cause to be assessed a charge of three mills per kilowatt hour of electricity sold to each end use customer of an electric distribution company to be used to implement the program as provided in this section for conservation and load management programs but not for the amortization of costs incurred prior to July 1, 1997, for such conservation and load management programs.
(b) The electric distribution company shall establish an Energy Conservation and Load Management Fund which shall be held separate and apart from all other funds or accounts. Receipts from the charge imposed under subsection (a) of this section shall be deposited into the fund. Any balance remaining in the fund at the end of any fiscal year shall be carried forward in the fiscal year next succeeding. Disbursements from the fund by electric distribution companies to carry out the plan developed under subsection (d) of this section shall be authorized by the Department of Public Utility Control upon its approval of such plan.
(c) The Department of Public Utility Control shall appoint and convene an Energy Conservation Management Board which shall include representatives of: (1) An environmental group knowledgeable in energy conservation program collaboratives; (2) the Office of Consumer Counsel; (3) the Attorney General; (4) the Department of Environmental Protection; (5) the electric distribution companies in whose territories the activities take place for such programs; (6) a state-wide manufacturing association; (7) a chamber of commerce; (8) a state-wide business association; (9) a state-wide retail organization; and (10) residential customers. Such members shall serve for a period of five years and may be reappointed.
(d) The Energy Conservation Management Board shall advise and assist the electric distribution companies in the development and implementation of a comprehensive plan, which plan shall be approved by the Department of Public Utility Control, to implement cost-effective energy conservation programs and market transformation initiatives. Programs included in the plan shall be screened through cost-effectiveness testing which compares the value and payback period of program benefits to program costs to ensure that programs are designed to obtain energy savings whose value is greater than the costs of the programs. Program cost-effectiveness shall be reviewed annually, or otherwise as is practicable. If a program is determined to fail the cost- effectiveness test as part of the review process, it shall either be modified to meet the test or shall be terminated. On or before January 31, 2001, and annually thereafter until January 31, 2006, the board shall provide a report to the joint standing committees of the General Assembly having cognizance of matters relating to energy and the environment which documents expenditures, fund balances and evaluates the cost-effectiveness of such programs conducted in the preceding year. Such programs may include, but not be limited to: (1) Conservation and load management programs; (2) research, development and commercialization of products or processes which are more energy-efficient than those generally available; (3) development of markets for such products and processes; (4) support for energy use assessment, engineering studies and services related to new construction or major building renovation; (5) the design, manufacture, commercialization and purchase of energy-efficient appliances and heating, air conditioning and lighting devices; (6) program planning and evaluation and (7) public education regarding conservation. Such support may be by direct funding, manufacturers' rebates, sale price and loan subsidies, leases and promotional and educational activities. Any other expenditure by the collaborative shall be limited to retention of expert consultants and reasonable administrative costs provided such consultants shall not be employed by, or have any contractual relationship with, an electric distribution company. Such costs shall not exceed five per cent of the total revenue collected from the assessment.
(P.A. 98-28, S. 33, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245n. Renewable Energy Investment Fund created; charge assessed against electric customers to fund Investment Fund; purpose. (a) For purposes of this section, "renewable energy" means solar energy, wind, ocean thermal energy, wave or tidal energy, fuel cells, landfill gas and low emission advanced biomass conversion technologies and other energy resources and emerging technologies which have significant potential for commercialization and which do not involve the combustion of coal, petroleum or petroleum products, municipal solid waste or nuclear fission.
(b) On and after January 1, 2000, the Department of Public Utility Control shall assess or cause to be assessed a charge of not less than one-half of one mill per kilowatt hour charged to each end use customer of electric services in this state which shall be deposited into the Renewable Energy Investment Fund established under subsection (b) of this section. On and after July 1, 2002, such charge shall be three-quarters of one mill and on and after July 1, 2004, such charge shall be one mill.
(c) There is hereby created a Renewable Energy Investment Fund which shall be administered by Connecticut Innovations, Incorporated. The fund may receive any amount required by law to be deposited into the fund and may receive any federal funds as may become available to the state for renewable energy investments. Connecticut Innovations, Incorporated, may use any amount in said fund for expenditures which promote investment in renewable energy sources in accordance with a comprehensive plan developed by it to foster the growth, development and commercialization of renewable energy sources, related enterprises and stimulate demand for renewable energy and deployment of renewable energy sources which serve end use customers in this state. Such expenditures may include, but not be limited to, grants, direct or equity investments, contracts or other actions which support research, development, manufacture, commercialization, deployment and installation of renewable energy technologies, and actions which expand the expertise of individuals, businesses and lending institutions with regard to renewable energy technologies.
(d) The chairperson of the board of directors of Connecticut Innovations, Incorporated, shall convene a Renewable Energy Investments Advisory Committee to assist Connecticut Innovations, Incorporated, in matters related to the Renewable Energy Investment Fund, including, but not limited to, development of a comprehensive plan and expenditure of funds. The advisory committee shall include not more than twelve individuals with knowledge and experience in matters related to the purpose and activities of said fund. The advisory committee shall consist of the following members: (1) One person with expertise regarding renewable energy resources appointed by the speaker of the House of Representatives; (2) one person representing a state or regional organization primarily concerned with environmental protection appointed by the president pro tempore of the Senate; (3) one person with experience in business or commercial investments appointed by the majority leader of the House of Representatives; (4) one person representing a state or regional organization primarily concerned with environmental protection appointed by the majority leader of the Senate; (5) one person with experience in business or commercial investments appointed by the minority leader of the House of Representatives; (6) one person with experience in business or commercial investments appointed by the minority leader of the Senate; (7) two state officials with experience in matters relating to energy policy and one person with expertise regarding renewable energy resources appointed by the Governor; and (8) three persons with experience in business or commercial investments appointed by the board of directors of Connecticut Innovations, Incorporated. The advisory committee shall issue annually a report to such chairperson reviewing the activities of the fund in detail and shall provide a copy of such report to the joint standing committee of the General Assembly having cognizance of matters relating to energy.
(P.A. 98-28, S. 44, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245o. Restrictions on use of customer information for marketing. Promotional inserts in electric bills prohibited. Procedures for entering and terminating service contracts. Penalties. (a) To protect a customer's right to privacy from unwanted solicitation, each electric company or electric distribution company, as defined in section 16-1, as the case may be, shall distribute to each customer a form approved by the Department of Public Utility Control which the customer shall submit to his electric or electric distribution company in a timely manner if he does not want his name, address, telephone number and rate class to be released to electric suppliers, as defined in said section 16-1. On and after July 1, 1999, each electric or electric distribution company, as the case may be, shall make available to all electric suppliers customer names, addresses, telephone numbers, if known, and rate class, unless the electric company or electric distribution company has received a form from a customer requesting that such information not be released. Additional information about a customer for marketing purposes shall not be released to any electric supplier unless a customer signs a release which shall be made available by the department.
(b) All electric suppliers shall have equal access to customer information required to be disclosed under subsection (a) of this section. No electric supplier shall have preferential access to historical distribution company customer usage data.
(c) No electric or electric distribution company shall include in any bill or bill insert anything that directly or indirectly promotes a generation entity or affiliate of the electric distribution company. No electric supplier shall include a bill insert in an electric bill of an electric distribution company.
(d) All marketing information provided pursuant to the provisions of this section shall be formatted electronically by the electric company or electric distribution company, as the case may be, in a form that is readily usable by standard commercial software packages. Updated lists shall be made available within a reasonable time, as determined by the department, following a request by an electric supplier. Each electric supplier seeking the information shall pay a fee to the electric company or electric distribution company, as the case may be, which reflects the incremental costs of formatting, sorting and distributing this information, together with related software changes. Customers shall be entitled to any available individual information about their loads or usage at no cost.
(e) Each electric supplier shall, prior to the initiation of electric generation services, provide the potential customer with a written notice describing the rates, information on air emissions and resource mix of generation facilities operated by and under long- term contract to the supplier, terms and conditions of the service, and a notice describing the customer's right to cancel the service, as provided in this section. No electric supplier shall provide electric generation services unless the customer has signed a service contract or consents to such services pursuant to section 16-245s. A customer shall, until midnight of the third business day after the day on which the customer enters into a service agreement, have the right to cancel a contract for electric generation services entered into with an electric supplier.
(f) An electric supplier shall not advertise or disclose the price of electricity in such a manner as to mislead a reasonable person into believing that the electric generation services portion of the bill will be the total bill amount for the delivery of electricity to the customer's location. When advertising or disclosing the price for electricity, the electric supplier shall also disclose the electric distribution company's average current charges, including the competitive transition assessment and the systems benefits charge, for that customer class.
(g) Each electric supplier shall comply with the provisions of the telemarketing regulations adopted pursuant to 15 USC 6102.
(h) Any violation of this section shall be deemed an unfair or deceptive trade practice under subsection (a) of section 42-110b.
(P.A. 98-28, S. 26, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245p. Information re electric supplier to be provided to customers; quarterly reports. (a) Upon being issued a license pursuant to section 16-245, an electric supplier shall submit information to the Department of Public Utility Control that the department, after consultation with the Consumer Education Advisory Council, established under section 16-244d, determines will assist customers in making informed decisions when choosing an electric supplier, including, but not limited to, the information provided in subsection (b) of this section. Each supplier shall submit, on a form prescribed by the department, quarterly reports containing information on rates and any other information the department deems relevant, including, but not limited to, any change in the information as required by the department. After the department has received the information required pursuant to this subsection, the supplier shall be eligible to receive customer marketing information from electric or electric distribution companies, as provided in section 16-245o.
(b) The Department of Public Utility Control shall maintain and make available to customers upon request, a list of electric aggregators and the following information about each electric supplier, as defined in section 16-1: (1) Rates and charges provided by an electric supplier; (2) applicable terms and conditions of a contract for electric generation services provided by an electric supplier; (3) the percentage of each supplier's total electric output derived from each of the categories of energy sources provided in subsection (e) of section 16-244d, the rates at which each facility operated by or under long-term contract to the electric supplier emits nitrogen oxides, sulfur oxides, carbon dioxide, carbon monoxide, particulates, heavy metals and other wastes the disposal of which is regulated under state or federal law, and the analysis of the environmental characteristics of each such category of energy source prepared pursuant to subsection (e) of said section 16-244d and to the extent such information is unknown, the estimated percentage of the electric supplier's total electric output for which such information is unknown, along with the word "unknown" for that percentage; (4) a record of customer complaints and the disposition of each complaint; and (5) any other information the department determines will assist customers in making informed decisions when choosing an electric supplier. The department shall update the information at least quarterly. The department shall put such information in a standard format so that a customer can readily understand and compare the services provided by each electric supplier.
(P.A. 98-28, S. 27, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245q. Changing electric suppliers. A customer may change his electric supplier, as defined in section 16-1, at any time. The electric distribution company, as defined in said section 16-1, and electric supplier may each charge a reasonable fee, as approved by the Department of Public Utility Control, to make a change in the customer's supplier to reflect the actual cost to read the customer's meter and make changes in its billing records, except that every customer may seek a change in his electric supplier without charge once in any twelve-month period if the change occurs at the end of the customer's regularly scheduled meter reading and billing cycle.
(P.A. 98-28, S. 28, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245r. Discrimination by electric suppliers prohibited. No electric supplier, as defined in section 16-1, shall refuse to provide electric generation services to, or refuse to negotiate to provide such services to any customer because of age, race, creed, color, national origin, ancestry, sex, marital status, sexual orientation, lawful source of income, disability or familial status. No electric supplier shall decline to provide electric generation services to a customer for the sole reason that the customer is located in an economically distressed geographic area or the customer qualifies for hardship status under section 16-262c. No electric supplier shall terminate or refuse to reinstate electric generation services except in accordance with the provisions of this title.
(P.A. 98-28, S. 29, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245s. Switching electric suppliers; procedures; penalties. (a) No electric distribution company shall submit or execute a change in a customer's selection of an electric supplier unless the change has been confirmed by one of the following: (1) An independent third-party telephone verification; (2) receipt of a written confirmation received in the mail from the customer after the customer has received an information package confirming any telephone agreement; (3) the customer signs a document fully explaining the nature and effect of the change in service; or (4) the customer's consent is obtained through electronic means, including, but not limited to, a computer transaction.
(b) Third-party telephone verification shall be in accordance with the following procedures: (1) The electric supplier seeking to verify the change shall do so by connecting the customer by telephone to the third-party verification company or by arranging for the third-party verification company to call the resident to confirm the sale; and (2) the third-party verification company shall obtain the customer's oral confirmation regarding the change, and shall record that confirmation by obtaining appropriate verification data. The record shall be available to the customer upon request. Information obtained from the customer through confirmation shall not be used for marketing purposes. The verification procedure in this subsection shall not apply when a residential customer directly calls an electric distribution company to make changes in electric supplier service, provided an electric supplier shall not avoid the verification procedure by asking a residential customer to contact an electric distribution company directly to make changes in electric supplier service. For purposes of this section, "third-party verification company" means a company that: (A) Is independent from the electric supplier that seeks to provide the new service; (B) is not directly or indirectly managed, controlled or directed or owned wholly or in part by (i) an electric supplier that seeks to provide the new service, or (ii) any corporation, firm or person who directly or indirectly manages, controls or directs or owns more than five per cent of such supplier; (C) operates from facilities physically separate from those of the electric supplier that seeks to provide the new service; and (D) does not derive commissions or compensation based upon the number of sales confirmed.
(c) Any violation of this section shall be deemed an unfair or deceptive trade practice under subsection (a) of section 42-110b.
(P.A. 98-28, S. 30, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245t. Complaints to department re electric suppliers; procedures; remedies. (a) The Department of Public Utility Control shall be responsible for receiving and acting upon customer inquiries and complaints regarding electric suppliers, as defined in section 16-1. The department shall establish a toll-free telephone number for such purposes. Customers of any electric supplier having complaints regarding disputed bills, terminations of service or adequacy of service may bring their complaints to the department pursuant to any provision in section 16-20, sections 16-262c to 16-262j, inclusive, or the regulations adopted to implement those sections.
(b) Nothing contained in this section shall be construed so as to restrict the right of any person to pursue any other remedy available to the person under law.
(P.A. 98-28, S. 31, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245u. Unfair and discriminatory conduct and unfair trade practices in electric market prohibited. Investigations. (a) The Department of Public Utility Control shall monitor the market for electric generation services and electric distribution services to end use customers and take actions to prevent unfair or deceptive trade practices, anticompetitive or discriminatory conduct, and the unlawful exercise of market power.
(b) (1) Upon complaint or upon its own motion, for cause shown, the department shall conduct an investigation of any possible anticompetitive or discriminatory conduct affecting the retail sale of electricity or any unfair or deceptive trade practices. Such investigations may include, but are not limited to, the effect of mergers, consolidations, acquisition and disposition of assets or securities of electric suppliers, as defined in section 16-1, or transmission congestion on the proper functioning of a fully competitive market.
(2) The department may require an electric supplier to provide information, including documents and testimony, in accordance with the procedures contained in subsection (a) of section 16-8 and section 16-8c.
(3) Confidential, proprietary or trade secret information provided under this section may be submitted under a duly granted protective order. Any hearings that may be held during the course of the investigation may also be conducted in camera to prevent the inadvertent revelation of such confidential information.
(4) The Office of the Attorney General and the Office of Consumer Counsel shall have the right to participate in such investigations under appropriate nondisclosure agreements.
(5) At the conclusion of the investigation, and notwithstanding any previously granted protective orders, if the department finds that facts exist that indicate any violation of state or federal law, it shall transmit such written findings along with supporting information gathered in its investigation to appropriate enforcement officials. Such referrals may recommend that further investigation be made or that immediate enforcement procedures be initiated. Such referrals may be made to the Office of the Attorney General, the Department of Consumer Protection, the United States Department of Justice, the Securities and Exchange Commission, the Federal Energy Regulatory Commission, or any other appropriate enforcement agency. The department may intervene as permitted by law in any proceeding initiated under this subsection. The results of such investigations may also serve as a basis for department sanctions, after notice and hearing, under subsection (l) of section 16-245.
(c) Nothing contained in this section shall be construed so as to restrict the right of any person to pursue any other remedy available to the person under law.
(P.A. 98-28, S. 32, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245v. List of displaced electric utility employees to be provided to distribution companies and electric suppliers. (a) Each electric company, as defined in section 16-1, electric distribution company, as defined in said section 16-1, and generation entity or affiliate shall maintain and update regularly a roster of employees terminated as a direct result of restructuring of the electric industry. Such roster shall include each such employee's name, address, job title and job description at the time of termination. At the time of termination, the employer shall ask the employee if the employee wants to be included in the roster. After obtaining the permission of each such employee, the company shall provide the Department of Public Utility Control with a copy of the roster. In no event shall the information concerning any employee be added to the roster without the permission of the employee.
(b) The Department of Public Utility Control shall forward the roster to each electric company, electric distribution company, generation entity or affiliate and electric supplier, as defined in section 16-1. Such roster may be used by each such company or supplier in mitigating costs.
(c) The Department of Public Utility Control shall forward to each employee whose name appears on a roster submitted pursuant to subsection (a) of this section a list containing the name and business address of each electric supplier.
(P.A. 98-28, S. 46, 117.)
History: P.A. 98-28 effective April 29, 1998 until January 1, 2005.

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Sec. 16-245w. Fee to be paid by self-generation facilities in lieu of certain assessments; study by department. (a) As used in this section, "self-generation facility" means a facility that generates electricity, is owned or operated by an entity other than an electric distribution company, as defined in section 16-1, or electric supplier, as defined in said section 16-1, and operates in parallel with other generation on the distribution system of an electric distribution company and which reduces or eliminates the purchase of electricity through the distribution network.
(b) The Department of Public Utility Control shall design a process for determining a fee to be paid by customers who have installed self-generation facilities in order to offset any loss or potential loss in revenue from such facilities toward the competitive transition assessment, the systems benefits charge the conservation and load management assessment collected under section 16-245m and the Renewable Energy Investment Fund assessment collected under section 16-245n. Except as provided in subsection (c) of this section, such fee shall apply to customers who have installed self- generation facilities that begin operation on or after July 1, 1998.
(c) An exit fee shall not apply to a customer who has installed a self-generation facility that (1) exclusively services the load of one to four residential units, or (2) is installed in conjunction with the expansion of an industrial plant that began operation before July 1, 1998, if the self-generation facility predominantly services such industrial plant and the expansion of said industrial plant results in economic development, as determined by the department. The exemption under subdivision (2) of this subsection shall only apply to the amount of any new load provided by the self-generation facility to service the expansion.
(d) The department shall develop criteria for excluding units based on size or specialized use, balancing concerns of the potential impact on small businesses, equity among customer classes, and the need to offset losses to the competitive transition assessment and the systems benefits charge. The department shall establish procedures for distinguishing between existing load and new load for purposes of self-generation facilities described in subdivision (2) of subsection (c) of this section. The department shall determine how to identify self-generation facilities, such as through a registration process, and how to enforce the collection of such fees. The department shall establish criteria to determine how such fee shall be valued and the process for its collection, which shall include the ability of self-generation facilities to pay the fee over a period of time.
(e) Not later than January 1, 1999, the department shall submit its findings and recommendations to the joint standing committee of the General Assembly having cognizance of matters relating to energy.
(P.A. 98-28, S. 69, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245x. Monitoring and reporting by department of electric rates of each customer class. Action to minimize rate differential. (a) The Department of Public Utility Control shall, in consultation with the Office of Consumer Counsel, monitor on an on-going basis the state of competition, as it exists and as it is likely to evolve, and the average total rates of each customer class. Not later than January 1, 2002 and annually thereafter, the department shall report its findings to the joint standing committee of the General Assembly having cognizance of matters relating to energy.
(b) (1) As used in this subdivision, "total average residential rate" means the total residential revenues divided by total residential kilowatt hour sales, and "total average industrial rate" means the total industrial revenues divided by total industrial kilowatt hour sales. At least annually, the department shall compute the rate differential for electric service between residential and industrial customers by comparing the total average residential rate and the total average industrial rate, based on filings made by electric suppliers and electric distribution companies with the Federal Energy Regulatory Commission or the department. The rate differential shall be the difference between the total average residential rate and the total average industrial rates, divided by the total average residential rate.
(2) If the department determines that the rate differential for electric service between residential and industrial customers has increased by three percentage points or more from the rate differential that existed on January 1, 1998, the department shall institute an investigatory proceeding in which the Office of the Consumer Counsel shall participate. Not more than ninety days after the official commencement of the proceeding, the department shall issue written findings that identify the factors or circumstances that contributed to such increase in the rate differential. If the department finds that such increase is a result of a violation of this title or of other state or federal laws, the department shall take appropriate enforcement action or refer such violation to the appropriate state or federal authority. If the department finds that such increase is due to factors or circumstances other than a violation of state or federal law, the department shall take action in accordance with methods of allocation in effect on January 1, 1997, to minimize to the greatest extent possible such differential to less than three percentage points, within the authority granted to the department pursuant to section 16-7, subsection (a) or (b) of section 16-8, section 16-8c, 16-9, 16-10, 16-10a, 16-15, 16-19, 16-19a, subsection (g) of section 16-19b, section 16-19e, 16-19f, 16-19gg, 16-19hh, 16-19kk, 16-20, 16-21, 16-24, 16-28, 16-32, 16-41, 16-244c 16-245, 16-245g or 16-245l, provided any action taken by the department shall be in compliance with the principles set forth in section 16-244, and provided further the department shall not allow inter or intra class rate subsidization.
(3) Not later than January first, as applicable, the department shall report its findings described in subdivisions (1) and (2) of this subsection, including a description of the factors or circumstances that contributed to such increase in the rate differential and a description of actions taken by the department, along with any legislative recommendations to minimize such differential to less than three percentage points without creating intra or inter class rate subsidization, to members of the joint standing committee of the General Assembly having cognizance of matters relating to energy.
(c) Each electric distribution company shall submit, on a form prescribed by the department, quarterly reports containing (1) the average price for electric service for each customer class, and (2) separately within the residential class, the price for electric service under the standard offer, as provided in subsection (a) of section 16-244c and the price for default service, as provided in subsection (b) of said section 16-244c.
(d) The department shall require electric distribution companies and electric suppliers to supply to the department whatever pricing information the department needs to complete its reporting and monitoring requirements under this section. The department may grant confidential status to certain data if a valid claim is made that the information is competitively sensitive, provided composite numbers shall be public information. Any electric distribution company or electric supplier that fails to provide information requested by the department more than thirty days after the department makes such request shall be subject to enforcement measures under this title. The department may adopt regulations pursuant to chapter 54 to implement the provisions of this subsection.
(P.A. 98-28, S. 75, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-245y. Annual reporting re status of electric deregulation. (a) Not later than October 1, 1999, and annually thereafter, each electric company and electric distribution company, as defined in section 16-1, shall report to the Department of Public Utility Control its system average interruption duration index (SAIDI) and its system average interruption frequency index (SAIFI) for the preceding twelve months. For purposes of this section: (1) Interruptions shall not include outages attributable to major storms, scheduled outages and outages caused by customer equipment, each as determined by the department; (2) SAIDI shall be calculated as the sum of customer interruptions in the preceding twelve-month period, in minutes, divided by the average number of customers served during that period; and (3) SAIFI shall be calculated as the total number of customers interrupted in the preceding twelve-month period, divided by the average number of customers served during that period. Not later than January 1, 2000, and annually thereafter, the department shall report on the SAIDI and SAIFI data for each electric company and electric distribution, and all state-wide SAIDI and SAIFI data to the joint standing committee of the General Assembly having cognizance of matters relating to energy.
(b) Not later than October 1, 1999, and annually thereafter, each electric supplier, as defined in section 16-1, shall report to the Department of Public Utility Control and the Department of Environmental Protection the following information regarding the preceding twelve-month period or any part thereof that the supplier has been licensed pursuant to section 16-245: (1) Total megawatt hours of electricity produced from generating facilities owned by the supplier or under long-term contract to the supplier that are sold to end use customers in the state; (2) total megawatt hours of electricity purchased by the supplier from other sources and sold to end use customers in the state; (3) the proportion of such production from facilities listed under subdivision (1) of this subsection that use nuclear fuels, oil, coal, natural gas, hydropower and other fuels as the principal generation fuel; and (4) the amount of emissions from facilities listed under subdivision (1) of this subsection of the pollutants identified by the Department of Environmental Protection, which shall include, but not be limited to: (A) Volatile organic compounds; (B) nitrogen oxides; (C) sulfur oxides; (D) carbon dioxide; (E) carbon monoxide; (F) particulates; and (G) heavy metals. Not later than January 1, 2000, and annually thereafter, the Department of Environmental Protection, in consultation with the Department of Public Utility Control, shall report state-wide data for these variables to the joint standing committees of the General Assembly having cognizance of matters relating to the environment and energy.
(c) Not later than January 1, 1999, and annually thereafter until January 1, 2005, the Department of Public Utility Control shall report to the joint standing committees of the General Assembly having cognizance of matters relating to energy and labor the number of dislocated workers contained on the roster established pursuant to section 16-245v and the number of such workers hired by electric suppliers in the preceding twelve months.
(d) Not later than January 1, 1999, and annually thereafter, the Department of Public Utility Control shall report to the joint standing committee of the General Assembly having cognizance of matters relating to energy the number of applicants for licensure pursuant to section 16-245 during the preceding twelve months, the number of applicants licensed by the department and the average period of time taken to process a license application.
(P.A. 98-28, S. 77, 117.)
History: P.A. 98-28 effective July 1, 1998.

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Sec. 16-246. Other companies which may sell electricity. Any corporation authorized to construct and maintain dams or sites on any stream and to own and operate mills and manufacturing plants and to utilize the power generated by it in the operation of such plants in any town in this state and to generate, sell and distribute in any way electricity may, within the territory where it is so authorized to act and subject to the authority, supervision and order of the Department of Public Utility Control and the restrictions contained in section 16-245, transmit, convey and deliver electricity to any person, company or corporation desiring to use the same for any purpose incident to or connected with manufacturing purposes. The department shall have jurisdiction upon the application of any corporation or person so desiring to supply or be supplied with electricity, after such notice as it deems reasonable, to hear and determine all questions relating to expediency or necessity arising by reason of such application and to make an order respecting the furnishing of electricity and the rates and terms upon which the same shall be furnished if so ordered. Nothing herein shall be construed to authorize any such company to distribute and sell electricity in any town in which any other company or municipality has already been given the right to distribute and sell electricity.
(1949 Rev., S. 5658; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 107, 348.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation.

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Sec. 16-246a. Definitions. When used in sections 16-246a to 16-246d, inclusive, the following terms shall have the meanings herein specified, unless the context otherwise indicates:
(1) "Foreign electric company" means a corporation, company, association, joint stock association or trust organized under the laws of a state other than this state, as well as, a town, city, borough, or any municipal corporation, department or agency thereof, whether separately incorporated or not, of a state other than this state, authorized under the laws of the state in which organized to generate or transmit electric energy;
(2) "Domestic electric company" means an electric company organized under the laws of this state;
(3) "Utility facility" means an item of plant used or useful in the electric utility business, and shall include, but is not limited to, such items of plant as generating stations, transmission lines, office buildings and equipment and transportation equipment, and
(4) Except as otherwise provided in sections 16-246a to 16-246d, inclusive, terms which are defined in section 16-1 shall have the respective meanings specified therein.
(February, 1965, P.A. 124, S. 1; P.A. 73-442, S. 8, 9.)
History: P.A. 73-442 redefined "foreign electric company" to include town, city, borough or municipal corporation, department or agency authorized to generate or transmit electricity and added exception in Subsec. (4).
Texas-based utility fits definition of "foreign electric company". 243 C. 635.
Subdiv. (3):
"Utility facility"; cited. 161 C. 430.

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Sec. 16-246b. Area within which domestic company may generate and transmit electric energy. Notwithstanding any limitation imposed by its charter, each domestic electric company is authorized and empowered to generate and transmit electric energy, and to acquire utility facilities necessary or convenient for the purposes of its electric utility business or undivided interests therein and to operate the same, anywhere within or without this state; provided nothing herein shall be construed to authorize such a company to sell electric energy in this state to any person, or within any area, except as otherwise authorized by its charter or the general statutes of this state.
(February, 1965, P.A. 124, S. 2.)
Cited. 161 C. 430.

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Sec. 16-246c. Area within which foreign electric company may generate and transmit electric energy. (a) Notwithstanding any limitations otherwise imposed by the general statutes on the transacting of an electric utility business in this state, any foreign electric company is authorized and empowered to generate and transmit electric energy, and to acquire utility facilities necessary or convenient for the purposes of its electric utility business or undivided interests therein and to operate the same, anywhere within this state; provided, unless otherwise authorized by the general statutes or any special act of this state, no such company shall have the power (1) to sell electric energy in this state to persons other than electric companies, (2) to erect, lay or maintain utility facilities in, over or under the public highways, streets and grounds in this state or (3) to take property in this state by condemnation or the exercise of a right of eminent domain.
(b) Before any foreign electric company commences the ownership or operation of any utility facility in this state pursuant to subsection (a) of this section, it shall notify the Department of Public Utility Control of the action proposed to be taken by it and, to the extent applicable, shall comply with the provisions of section 16-43 and shall furnish to the department from time to time such information with respect to its activities in this state as the department may reasonably request.
(c) Any foreign electric company which owns or operates any utility facility in this state pursuant to subsection (a) of this section shall constitute an "electric company" and a "public service company" for all purposes of this title, provided the department may waive the requirements of section 16-43 with respect to any borrowings or the issuance of any notes, bonds or other evidences of indebtedness or securities of any nature, upon its determination that authority over such borrowing or issue has been exercised by the state of domicile of such foreign electric company.
(February, 1965, P.A. 124, S. 3−5; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-97; 80-482, S. 108, 348.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-97 deleted requirement that foreign electric company file copy of its annual report with division of public utility control; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation.

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Sec. 16-246d. Joint ownership of facility. Waiver of right to partition. If any domestic or foreign electric company acquires or owns a joint or common interest with one or more electric companies or other persons in any property in this state which is used or acquired for use as a utility facility, the surrender or waiver by any owner of such property of its right to have a partition by division or partition by sale of the property for a period which does not exceed the period for which the property is used or useful for electric utility purposes shall not be invalid or unenforceable by reason of the length of such period.
(February, 1965, P.A. 124, S. 6.)

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Sec. 16-246e. Procurement and sale by department of electric power capacity and power output from out-of-state producers. Approval by Governor. (a) The Governor may designate the Department of Public Utility Control as the agent of the state, subject only to the limitation under subsection (b) of this section, to conduct negotiations and perform all acts necessary to procure electric power capacity, power output from such capacity or both from any out-of-state electric power producer, to transmit it to within the state and to sell or resell it on a nonprofit basis for distribution within the state to electric companies, as defined in section 16-1, municipal electric utilities established under chapter 101, municipal electric energy cooperatives organized under chapter 101a, membership electric cooperatives organized under chapter 597 and such other persons or entities as may be designated by the governor. The department, if designated as such agent, shall arrange for the sale or resale of such power on an equitable basis and in such manner as it finds will most effectively promote the objectives of this title, chapters 101, 101a and 597, and section 16a-35k, subject to any conditions or limitations imposed by the out-of-state electric power producer selling such power. The department, if so designated, may also enter into any contracts or other arrangements for the sale or resale of such power for transmission outside the state if such sale or resale is reasonably incidental to and furthers the needs of the state and the purposes of this section.
(b) The department shall submit any final action it takes under subsection (a) of this section to the Governor, who may, not later than sixty days after such submission, disapprove such action by notifying the department in writing of such disapproval and the reasons for it.
(P.A. 82-265, S. 1, 2.)

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Sec. 16-246f. Electric company emergency assistance. (a) As used in this section:
(1) "Assistance" means any aid or support provided, or any actions taken by a domestic electric company for or on behalf of another domestic electric company or by a foreign electric company for or on behalf of a domestic electric company including, without limitation, the temporary transfer or use of repair personnel and equipment;
(2) "Domestic electric company" means any electric company or electric distribution company, as defined in section 16-1, any membership electric cooperative organized under chapter 597 and any municipal electric utility or municipal electric energy cooperative, as defined respectively in section 7-233b, which has been chartered by or organized or constituted within or under the laws of this state;
(3) "Foreign electric company" shall have the same meaning as provided in section 16-246a.
(b) Notwithstanding any contrary provision of any general statute or special act, or any limitation imposed by its charter, a domestic electric company shall have the power to request assistance from and provide assistance to other domestic electric companies and to foreign electric companies and to enter into agreements regarding the reimbursement of expenses and other matters and to perform such other acts as may be necessary or desirable to request and provide such assistance. A domestic electric company shall not be exempt from nor forfeit the benefits of the provisions of any applicable laws solely by requesting or providing such assistance, except as provided in this section.
(c) Notwithstanding any contrary provision of any general statute or special act, a foreign electric company shall have the right to request assistance from and provide assistance to domestic electric companies and to enter into agreements regarding the reimbursement of expenses and other matters and to perform such other acts as may be necessary or desirable to request and provide such assistance. A foreign electric company shall not constitute an "electric company" or a "public service company" for the purposes of this title solely by requesting or providing assistance in this state.
(P.A. 87-213; P.A. 98-28, S. 53, 117.)
History: P.A. 98-28 redefined "domestic electric company" in Subdiv. (2) of Subsec. (a) by adding electric distribution companies, effective July 1, 1998.

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Sec. 16-247. Foreign telephone companies. Section 16-247 is repealed.
(1949 Rev., S. 5659; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 109, 348; P.A. 85-187, S. 13, 15.)

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Sec. 16-247a. Goals of the state. Definitions. (a) Due to the following: Affordable, high quality telecommunications services that meet the needs of individuals and businesses in the state are necessary and vital to the welfare and development of our society; the efficient provision of modern telecommunications services by multiple providers will promote economic development in the state; expanded employment opportunities for residents of the state in the provision of telecommunications services benefit the society and economy of the state; and advanced telecommunications services enhance the delivery of services by public and not-for-profit institutions, it is, therefore, the goal of the state to (1) ensure the universal availability and accessibility of high quality, affordable telecommunications services to all residents and businesses in the state, (2) promote the development of effective competition as a means of providing customers with the widest possible choice of services, (3) utilize forms of regulation commensurate with the level of competition in the relevant telecommunications service market, (4) facilitate the efficient development and deployment of an advanced telecommunications infrastructure, including open networks with maximum interoperability and interconnectivity, (5) encourage shared use of existing facilities and cooperative development of new facilities where legally possible, and technically and economically feasible, and (6) ensure that providers of telecommunications services in the state provide high quality customer service and high quality technical service. The department shall implement the provisions of this section, sections 16-1, 16-18a, 16-19, 16-19e, 16-22, 16-247b, 16-247c, 16-247e to 16-247i, inclusive, and 16-247k and subsection (e) of section 16-331 in accordance with these goals.
(b) As used in sections 16-247a to 16-247c, inclusive, 16-247e to 16-247i, inclusive, 16-247k, and sections 16-247m to 16-247r, inclusive:
(1) "Affiliate" means a person, firm or corporation which, with another person, firm or corporation, is under the common control of the same parent firm or corporation.
(2) "Competitive service" means (A) a telecommunications service deemed competitive in accordance with the provisions of section 16-247f, (B) a telecommunications service reclassified by the department as competitive in accordance with the provisions of section 16-247f, or (C) a new telecommunications service provided under a competitive service tariff accepted by the department, in accordance with the provisions of section 16-247f, provided the department has not subsequently reclassified the service set forth in subparagraph (A), (B) or (C) of this subdivision as noncompetitive pursuant to section 16-247f.
(3) "Emerging competitive service" means (A) a telecommunications service reclassified as emerging competitive in accordance with the provisions of section 16- 247f, or (B) a new telecommunications service provided under an emerging competitive service tariff accepted by the department, in accordance with the provisions of section 16-247f, or of a plan for an alternative form of regulation approved pursuant to section 16-247k, provided the department has not subsequently reclassified the service set forth in subparagraph (A) or (B) of this subdivision as competitive or noncompetitive pursuant to section 16-247f.
(4) "Noncompetitive service" means (A) a telecommunications service deemed noncompetitive in accordance with the provisions of section 16-247f, (B) a telecommunications service reclassified by the department as noncompetitive in accordance with the provisions of section 16-247f, or (C) a new telecommunications service provided under a noncompetitive service tariff accepted by the department, in accordance with the provisions of section 16-19, and any applicable regulations, or of a plan for an alternative form of regulation approved pursuant to section 16-247k, provided the department has not subsequently reclassified the service set forth in subparagraph (A), (B) or (C) of this subdivision as competitive or emerging competitive pursuant to section 16-247f.
(5) "Private telecommunications service" means any telecommunications service which is not provided for public hire as a common carrier service and is utilized solely for the telecommunications needs of the person that controls such service and any subsidiary or affiliate thereof, except for telecommunications service which enables two entities other than such person, subsidiary or affiliate to communicate with each other.
(6) "Telecommunications service" means any transmission in one or more geographic areas (A) between or among points specified by the user, (B) of information of the user's choosing, (C) without change in the form or content of the information as sent and received, (D) by means of electromagnetic transmission, including but not limited to, fiber optics, microwave and satellite, (E) with or without benefit of any closed transmission medium and (F) including all instrumentalities, facilities, apparatus and services, except customer premises equipment, which are used for the collection, storage, forwarding, switching and delivery of such information and are essential to the transmission.
(7) "Network elements" means "network elements", as defined in 47 USC 153(a)(29).
(P.A. 85-187, S. 1, 15; P.A. 94-83, S. 2, 16; P.A. 99-222, S. 2, 19.)
History: P.A. 94-83 added provisions designated as Subsec. (a) re goal of the state and amended prior provisions designated as Subsec. (b) by deleting definitions of "bypass service" and "community antenna television company" and "telephone company", adding definitions of "competitive service", "emerging competitive service" and "noncompetitive service", renumbering Subdivs. (4) and (5) as (5) and (6), and adding "in one or more geographic areas" in Subdiv. (6), effective July 1, 1994; P.A. 99-222 amended Subsec. (b) by making technical changes in introductory clause and Subdiv. (5) and adding new Subdiv. (7) defining "network elements", effective June 29, 1999.

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Sec. 16-247b. Unbundling of telephone company's network, services and functions. Access to telephone company's telecommunications services, functions and unbundled network elements. Rates for competitive or emerging competitive service. Subsidization prohibited. (a) On petition or its own motion, the department shall initiate a proceeding to unbundle a telephone company's network, services and functions that are used to provide telecommunications services and which the department determines, after notice and hearing, are in the public interest, are consistent with federal law and are technically feasible of being tariffed and offered separately or in combinations. Any telecommunications services, functions and unbundled network elements and any combination thereof shall be offered under tariff at rates, terms and conditions that do not unreasonably discriminate among actual and potential users and actual and potential providers of such local network services.
(b) Each telephone company shall provide reasonable nondiscriminatory access and pricing to all telecommunications services, functions and unbundled network elements and any combination thereof necessary to provide telecommunications services to customers. The department shall determine the rates that a telephone company charges for telecommunications services, functions and unbundled network elements and any combination thereof, that are necessary for the provision of telecommunications services. The rates for interconnection and unbundled network elements and any combination thereof shall be based on their respective forward looking long-run incremental costs, and shall be consistent with the provisions of 47 USC 252(d).
(c) (1) The rate that a telephone company charges for a competitive or emerging competitive telecommunications service shall not be less than the sum of (A) the rate charged to another telecommunications company for a noncompetitive or emerging competitive local network service function used by that company to provide a competing telecommunications service, and (B) the applicable incremental costs of the telephone company.
(2) On and after the date the department certifies a telephone company's operations support systems interface pursuant to section 16-247n, the department shall, upon petition, conduct a contested case proceeding to consider whether modification or removal of the pricing standard set forth in subdivision (1) of this subsection for a telecommunications service deemed competitive pursuant to section 16-247f is appropriate. Notwithstanding the provisions of subdivision (1) of this subsection, if the department determines that such a modification or removal is appropriate and is consistent with the goals set forth in section 16-247a, the department shall so modify or remove said pricing standard for such telecommunications service.
(3) Prior to the date that the department certifies a telephone company's operations support systems interface pursuant to section 16-247n, the department may, upon petition, conduct a contested case proceeding to consider whether modification or removal of the pricing standard set forth in subdivision (1) of this subsection for a telecommunications service deemed competitive pursuant to section 16-247f is appropriate. Any petition filed pursuant to this subdivision shall specify the geographic area in which the applicant proposes to modify or remove such pricing standard. Notwithstanding the provisions of subdivision (1) of this subsection, if the department determines that such modification or removal is appropriate, is consistent with the goals set forth in section 16-247a and facilities-based competition exists in the relevant geographic area, the department shall so modify or remove said pricing standard for such telecommunications service. In determining whether facilities-based competition exists in the relevant geographic area, the department shall consider:
(A) The number, size and geographic distribution of other providers of service;
(B) The availability of functionally equivalent services in the relevant geographic area at competitive rates, terms and conditions;
(C) The financial viability of each company providing functionally equivalent services in the relevant geographic market;
(D) The existence of barriers to entry into, or exit from, the relevant geographic market;
(E) Other indicators of market power that the department deems relevant, which may include, but not be limited to, market penetration and the extent to which the applicant can sustain the price for the service above the cost to the company of providing the service in the relevant geographic area;
(F) The extent to which other telecommunications companies must rely upon the noncompetitive services of the applicant to provide their telecommunications services and carrier access rates charged by the applicant;
(G) Other factors that may affect competition; and
(H) Other factors that may affect the public interest.
(d) A telephone company shall not use the revenues, expenses, costs, assets, liabilities or other resources derived from or associated with providing a noncompetitive service to subsidize the provision of competitive, emerging competitive or unregulated telecommunications services by such telephone company or any affiliate that is a certified telecommunications provider.
(P.A. 85-187, S. 2, 15; P.A. 93-330, S. 2, 9; P.A. 94-83, S. 3, 16; P.A. 99-222, S. 5, 19.)
History: P.A. 93-330 added Subsecs. (b), regarding access, access charges and rates, and (c) regarding telephone company subsidization of compensation or unregulated services, effective July 2, 1993; P.A. 94-83 deleted former Subsec. (a) re certificate of public convenience and necessity, inserted new Subsec. (a) re proceeding to unbundle certain functions of a telecommunications company's local network, amended Subsec. (b) by deleting "located within the state" and references to unregulated services and certified providers of telecommunications services, and replacing "provider for any basic service used to provide a competitive service" with "company for a noncompetitive or emerging competitive local network service function used by that company to provide a competing telecommunications service" in Subdiv. (1) and amended Subsec. (c) by deleting "local exchange service or other monopoly telecommunications services" and "intrastate" and adding references to noncompetitive and emerging competitive services, effective July 1, 1994; P.A. 99-222 amended Subsec. (a) by changing what can be unbundled by referring to unbundling of "a telephone company's network, services and functions", by changing criteria re when unbundling is appropriate and by making other conforming changes, amended Subsec. (b) by changing reference to "equipment, facilities and services" to "telecommunications services, functions and unbundled network elements and any combination thereof" and adding provision re rates for interconnection based on long-run incremental costs, designated provision formerly in Subsec. (b) re rates charged for competitive or emerging competitive service as Subdiv. (1) of Subsec. (c), redesignating former Subdivs. (1) and (2) as Subparas. (A) and (B), inserted new Subdivs. (2) and (3) in Subsec. (c) re modification or removal of pricing standard and relettered former Subsec. (c) as (d), effective June 29, 1999.

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Sec. 16-247c. Provision of intrastate telecommunications services. Civil penalty. Competition. (a) No person shall provide intrastate telecommunications services, except for private telecommunications service, commercial mobile telecommunications service to the extent regulated by the federal government and any service authorized under section 16-250a or a joint or shared user tariff approved by the Department of Public Utility Control, unless the person (1) offered, promoted and provided intrastate telecommunications services on or before January 1, 1984, pursuant to a special charter or certificate of public convenience and necessity or (2) is certified to provide intrastate telecommunications services by the Department of Public Utility Control pursuant to sections 16-247f to 16-247h, inclusive.
(b) Each provider of intrastate telecommunications services, as defined in subsection (a) of this section, or any officer, agent or employee thereof, which the department finds has failed to obey or comply with any applicable order made or regulation adopted by the department pursuant to this section shall be fined, by order of the department, not more than ten thousand dollars for each offense. Each distinct violation of any provision of this section or any such order or regulation shall be a separate offense and, in the case of a continued violation, each day thereof shall be deemed a separate offense. The department shall impose any such civil penalty in accordance with the procedure established in section 16-41.
(c) The department shall not prohibit or restrict the competitive provision of intrastate telecommunications services offered by a certified telecommunications provider unless the department finds that the competitive provision of a telecommunications service would be contrary to the goals set forth in section 16-247a, or would not be in accordance with the provisions of section 16-247a or 16-247b, this section, sections 16- 247e to 16-247h, inclusive, or section 16-247k.
(P.A. 85-187, S. 3, 15; P.A. 87-415, S. 1, 2, 13; P.A. 90-221, S. 8, 15; P.A. 93-330, S. 3, 9; P.A. 94-83, S. 4, 16; P.A. 99-222, S. 9, 19.)
History: P.A. 87-415 amended Subsec. (a) by deleting provisions re plan in Subdiv. (2), deleting Subdiv. (3) and provisions related thereto, deleting compensation provisions, deleting provisions re services provided pursuant to special charter or certificate of public convenience and necessity and inserting reference to Sec. 16-247f to Sec. 16-247h, and amended Subsec. (b) by deleting provisions re specialized telecommunications services, deleting provisions re regulations and inserting reference to Secs. 16-247f to 16-247h, inclusive; P.A. 90-221 made technical change in Subsec. (f); P.A. 93- 330 deleted Subsecs. (b) to (e), inclusive, re providers of interstate but not intrastate services, re compensation for prohibited intrastate interexchange services and re blocking unauthorized intrastate interexchange calls, relettered former Subsec. (f) as (b) and amended provisions to clarify its application to each intrastate interexchange services provider, effective July 2, 1993; P.A. 94-83 deleted "interexchange", changed "service" to "services", replaced "cellular mobile telephone, radio paging and mobile radio services" with "commercial mobile telecommunications service to the extent regulated by the federal government" in Subsec. (a) and made technical changes and added new Subsec. (c) re competitive provision of intrastate telecommunications services, effective July 1, 1994; P.A. 99-222 made technical changes, amended Subsec. (b) by increasing amount of fine from five to ten thousand dollars and amended Subsec. (c) by changing reference to person, firm or corporation authorized to provide telecommunications service to "certified telecommunications provider", effective June 29, 1999.

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Sec. 16-247d. Biennial reports on competition for intrastate interexchange telecommunications service. Plan for implementing competition. General Assembly approval required. Section 16-247d is repealed.
(P.A. 85-187, S. 4, 15; P.A. 87-415, S. 12, 13.)

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Sec. 16-247e. Basic telecommunications services. Lifeline and telecommunications relay service programs. Universal service program. (a) In order to ensure the universal availability of affordable, high quality telecommunications services to all residents and businesses throughout the state regardless of income, disability or location, the department shall (1) periodically investigate and determine, after notice and hearing, local service options, including the definition and components of any basic telecommunications services, necessary to achieve universal service and meet customer needs; and (2) establish lifeline and telecommunications relay service programs funded by all telecommunications carriers that provide intrastate telecommunications services, as such terms are defined in 47 USC 153, as amended from time to time, sufficient to provide low-income households or individuals or speech and hearing impaired individuals with a level of telecommunications service or package of telecommunications services that supports participation in the economy and society of the state. The department shall apportion the funding for the lifeline and telecommunications relay service programs among telecommunications carriers on an equitable basis based on the gross revenues of each telecommunications carrier that are generated in Connecticut, both interstate and intrastate. The lifeline and telecommunications relay service programs shall be administered by an entity authorized, and subject to oversight, by the department. The department shall determine by order which customers qualify for the lifeline program. Recipients of lifeline funds shall use such funds to pay for telecommunications services provided by any telecommunications carrier.
(b) The department may, if necessary, establish a universal service program, funded by all telecommunications companies or users in the state on an equitable basis, as determined by the department, to ensure the universal availability of affordable, high quality basic telecommunications services to all residents and businesses throughout the state regardless of location. Any funds contributed to a universal service program shall be used to support the availability of basic telecommunications services provided by any telecommunications company in a manner to be determined by the department.
(P.A. 85-187, S. 5, 15; P.A. 94-83, S. 5, 16; P.A. 97-121, S. 1, 2; P.A. 99-11, S. 1, 3.)
History: P.A. 94-83 entirely replaced previously existing language re telephone company rates and revenue requirement with new Subsec. (a) re basic service and lifeline program and new Subsec. (b) re universal service program, effective July 1, 1994; P.A. 97-121 amended Subsec. (a) to require telecommunications carriers that provide intrastate telecommunications services to fund lifeline program, based on their gross revenues and substituted "telecommunications carriers" for "telecommunications companies", effective June 6, 1997; P.A. 99-11 amended Subsec. (a) by adding references to telecommunications relay service program and to speech and hearing impaired individuals, effective May 12, 1999.

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Sec. 16-247f. Regulation of telecommunications services: Initial classifications, reclassifications, tariffs. (a) The department shall regulate the provision of telecommunications services in the state in a manner designed to foster competition and protect the public interest.
(b) Notwithstanding the provisions of section 16-19, a telecommunications service offered on or before July 1, 1994, by a certified telecommunications provider and a wide area telephone service, "800" service, centrex service or digital centrex service offered by a telephone company shall be deemed a competitive service. Any other service offered by a telephone company on or before July 1, 1994, shall be deemed a noncompetitive service, provided such initial classification shall not be a factual finding that such service is noncompetitive.
(c) On petition, on its own motion, or in conjunction with a tariff investigation conducted pursuant to subsection (f) of this section, after notice and hearing, and within ninety days of receipt of a petition or its motion or within the time period set forth in subsection (f) of this section, as applicable, the department may reclassify a telecommunications service as competitive, emerging competitive or noncompetitive, in accordance with the degree of competition which exists for that service in the marketplace, provided (1) a competitive service shall not be reclassified as an emerging competitive service, (2) the department may extend the period (A) before the end of the ninety- day period and upon notifying all parties to the proceedings by thirty days, or (B) in accordance with the provisions of subsection (f) of this section, as applicable.
(d) In determining whether to reclassify a telecommunications service, the department shall consider:
(1) The number, size and geographic distribution of certified telecommunications providers of the service, provided the department shall not reclassify any service as competitive if such service is available only from a telephone company or an affiliate of a telephone company that is a certified telecommunications provider;
(2) The availability of functionally equivalent services in the relevant geographic area at competitive rates, terms and conditions;
(3) The financial viability of each company providing a functionally equivalent service in the relevant market;
(4) The existence of barriers to entry into, or exit from, the relevant market;
(5) Other indicators of market power which the department deems relevant, which may include, but not be limited to, market penetration and the extent to which the provider of the service can sustain the price for the service above the cost to the company of providing that service;
(6) The extent to which other telecommunications companies must rely upon the service to provide their telecommunications services;
(7) Other factors that may affect competition; and
(8) Other factors that may affect the public interest.
(e) Each certified telecommunications provider and each telephone company shall file with the department a new or amended tariff for each competitive or emerging competitive intrastate telecommunications service authorized pursuant to section 16- 247c. A tariff for a competitive service shall be effective on five days' written notice to the department. A tariff for an emerging competitive service shall be effective on twenty-one days' written notice to the department. A tariff filing for a competitive or emerging competitive service shall include (1) rates and charges which may consist of a maximum rate and a minimum rate, (2) applicable terms and conditions, (3) a statement of how the tariff will benefit the public interest, and (4) any additional information required by the department. A telephone company filing a tariff pursuant to this section shall include in said tariff filing the information set forth in subdivisions (1) to (4), inclusive, of this subsection, a complete explanation of how the company is complying with the provisions of section 16-247b and, in a tariff filing which declares a new service to be competitive or emerging competitive, a statement addressing the considerations set forth in subsection (d) of this section. If the department approves a tariff which consists of a minimum rate and a maximum rate, the certified telecommunications provider or telephone company may amend its rates upon five days' written notice to the department and any notice to customers which the department may require, provided the amended rates are not greater than the approved maximum rate and not less than the approved minimum rate. A promotional offering for a previously approved competitive or emerging competitive tariffed service or a service deemed competitive pursuant to section 16-247f shall be effective on three business days' written notice to the department.
(f) On petition or its own motion, the department may investigate a tariff or any portion of a tariff, which investigation may include a hearing. The department may suspend a tariff or any portion of a tariff during such investigation. Not later than seventy- five days after the effective date of the tariff, unless the party filing the tariff, all statutory parties to the proceeding and the department agree to a specific extension of time, the department shall issue its decision, including whether to approve, modify or deny the tariff. If the department determines that a tariff filed as a new service is, in fact, a reclassification of an existing service, the department shall review the tariff filing as a petition for reclassification in accordance with the provisions of subsection (c) of this section.
(g) The provisions of this section shall not prohibit the department from ordering different tariff filing procedures or effective dates for an emerging competitive service, pursuant to a plan for an alternative form of regulation of a telephone company approved by the department in accordance with the provisions of section 16-247k.
(P.A. 87-415, S. 3, 13; P.A. 93-330, S. 4, 9; P.A. 94-83, S. 6, 16; P.A. 95-215, S. 2; P.A. 99-222, S. 10, 19.)
History: P.A. 93-330 amended Subsec. (a) by deleting provision regarding purchase or lease of foreign exchange service, making a preauthorization hearing permissive rather than mandatory and adding provision regarding denial of authorization, amended Subsec. (b) by stating it applies to telephone companies and certified competitive telecommunications providers, requiring rather than allowing department to consider all relevant factors, and adding new Subdivs. (4) to (7) regarding market barriers, control over rates, availability of services and pricing and cross-subsidization, and added new Subsecs. (c) and (d) regarding "10XXX" interexchange competition for intrastate interexchange services and tariffs for competitive intrastate interexchange services, respectively, effective July 1, 1993; P.A. 94-83 deleted Subsec. (a) re authorization to provide intrastate interexchange telecommunications services, Subsec. (b) re terms and conditions for the offering of competitive telecommunications service, and Subsec. (c) re "10XXX" interexchange competition for intrastate interexchange services, added new Subsec. (a) re regulation of the provision of telecommunications services, new Subsec. (b) re competitive services, and new Subsecs. (c) and (d) re reclassifying a telecommunications service, relettered and divided Subsec. (d) as (e) and (f), amended Subsec. (e) by deleting "proposed" and "interexchange", adding "emerging competitive", making tariffs effective on written notice, deleting provision re supporting cost and revenue information, adding provisions re Sec. 16-247b and Subsec. (d) of this section, making Subdivs. (1) to (4) applicable to tariff filings rather than tariffs, changing notice of rate change by provider or company with an approved tariff consisting of a minimum and a maximum rate from ten days to department and customers to five days to department and to customers as department may require, and adding provision re promotional offering, amended Subsec. (f) by adding "on petition or its own motion", deleting "proposed", allowing investigation without suspension of tariff, changing deadline for decision from sixty to seventy-five days, adding provisions re extension of time for decision and tariff treated as petition for reclassification, and added new Subsec. (g) re alternative form of regulation, effective July 1, 1994; P.A. 95-215 amended Subsec. (c) by adding time limit, Subdiv. indicators and Subdiv. (2) re extension of time; P.A. 99-222 made technical changes in Subsecs. (b), (d)(1) and (e), amended Subsec. (d)(1) by adding proviso prohibiting department from reclassifying service if service is available only from a telephone company or affiliate and amended Subsec. (e) by changing from fourteen to five the number of days after written notice is made for a tariff for a competitive service to become effective and by changing from five to three the number of days after written notice is made for a promotional offering to become effective, effective June 29, 1999.

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Sec. 16-247g. Certificate of public convenience and necessity for intrastate telecommunications services: Application, requirements, suspension, revocation. Fees. Obligation to serve. (a)(1) Any person may apply to the department for an initial certificate of public convenience and necessity to offer and provide intrastate telecommunications services. Such application shall include such information as the department shall require, and any reasonable fees, not to exceed actual cost, the department may prescribe, in regulations adopted pursuant to chapter 54. The department may issue such certificate and may, as a precondition to certification, require any applicant to procure a performance bond sufficient to cover moneys due or to become due to other telecommunications companies for the provision of access to local telecommunications networks, to protect any advances or deposits it may collect from its customers if the department does not order that such advances or deposits be held in escrow or trust, and to otherwise protect customers. Following receipt of such application, the department may approve or deny the application after holding a hearing with notice to all interested parties.
(2) Any person may object to a fee charged pursuant to this section by filing with the department, not later than thirty days after the fee was charged, a petition stating the amount of the fee charged to which it objects and the grounds upon which it claims such fee is excessive, erroneous, unlawful or invalid. Upon the request of the person filing the petition, the department shall hold a hearing. After reviewing the petition and testimony, if any, the department shall issue its order in accordance with its findings. The person shall pay the department the amount indicated in the order not later than thirty days after the date of the order.
(b) A certified telecommunications provider may petition the department to expand the authority granted in its certificate of public convenience and necessity to the provision of a previously-authorized service in an additional service area or to the provision of a service not previously authorized, or to both. Such petition shall include such information as the department shall require by regulations adopted pursuant to chapter 54. The department may expand the authority granted in such a certificate and may, as a precondition to such expansion, require a petitioner to procure a performance bond sufficient to cover moneys due or to become due to other telecommunications companies for the provision of access to local telecommunications networks, to protect any advances or deposits it may collect from its customers if the department does not order that such advances or deposits be held in escrow or trust, and to otherwise protect customers. Following receipt of such petition, the department may, on petition or its own motion, hold a hearing with notice to all interested parties, after which the department may approve or deny the application.
(c) The department may certify an applicant if the applicant: (1) Provides the information requested by the department pursuant to the provisions of sections 16-247f to 16-247h, inclusive, and section 16-247j; (2) provides a performance bond or complies with escrow or trust requirements, if required by the department; (3) provides a fee, if required by this section; and (4) possesses and demonstrates adequate financial resources, managerial ability and technical competency to provide the proposed service.
(d) Any certified telecommunications provider and any telephone company shall (1) maintain its accounts in such manner as the department shall require; (2) file financial reports at such times and in such form as the department shall prescribe; (3) file with the department such current descriptions of services and listings of rates and charges as it may require; (4) cooperate with the department in its investigations of consumer complaints and comply with any resulting orders; (5) comply with standards established pursuant to section 16-247p; and (6) comply with additional requirements as the department shall prescribe by regulation.
(e) Except as provided in subsection (f) of this section, on or after July 1, 2001, each certified telecommunications provider shall, within a period of time the department determines is reasonable after said provider is certified, be obligated to serve a residential or business customer in its authorized area of operation who is seeking from said provider telecommunications services that are provided by said provider.
(f) Any community antenna television company that is a certified telecommunications provider or an affiliate of a community antenna television company that is a certified telecommunications provider and that provides telecommunications services shall be obligated to serve all residential and business customers seeking local exchange service in its entire franchise area in which said company provides community antenna television services pursuant to section 16-331. Notwithstanding the provisions of this section, the department shall not require any such company to provide local exchange service outside of its franchise area. If, however, any such company elects to provide local exchange service to customers outside its franchise area, such company shall be subject to all geographic service requirements established by the department.
(g) Notwithstanding any decision of the department to allow the competitive provision of a telecommunications service or to grant a certificate pursuant to this section, the department, after holding a hearing with notice to all interested parties and determining that (1) continued competitive provision of a telecommunications service would be contrary to the goals set forth in section 16-247a, or would not be in accordance with the provisions of sections 16-247a to 16-247c, inclusive, section 16-247e or 16-247f, this section, or section 16-247h, or 16-247k, (2) a certified telecommunications provider does not have adequate financial resources, managerial ability or technical competency to provide the service, or (3) a certified telecommunications provider has failed to comply with an applicable order made or regulation adopted by the department, may suspend or revoke the authorization to provide said telecommunications service or take any other action it deems appropriate. In determining whether to suspend or revoke such authorization, the department shall consider, without limitation, (A) the effect of such suspension or revocation on the customers of the telecommunications service, (B) the technical feasibility of suspending or revoking the authorized usage only on an intrastate basis, and (C) the financial impact of such suspension or revocation on the provider of the telecommunications service.
(h) The department shall remit all fees collected under this section to the State Treasurer for deposit in the Consumer Counsel and Public Utility Control Fund established in section 16-48a.
(i) On October first, annually, the department shall submit to the joint standing committee of the General Assembly having cognizance of matters relating to energy and technology a report of all fees collected pursuant to this section during the preceding fiscal year.
(P.A. 87-415, S. 4, 13; P.A. 93-330, S. 5, 9; P.A. 94-83, S. 7, 16; P.A. 95-86, S. 1, 2; P.A. 99-222, S. 11, 19.)
History: P.A. 93-330 amended Subsec. (d) by making hearing mandatory rather than permissive, adding provisions regarding competition's impact on cost and determination of a provider's resources, ability and competency, allowing suspension of authorization or other action, and stating factors to consider before suspending or revoking authorization, effective July 2, 1993; P.A. 94-83 amended Subsec. (a) by replacing "interexchange telecommunications services authorized under section 16-247f" with "intrastate telecommunications services" and changing "local exchange networks" to "local telecommunications networks", amended Subsec. (b) by changing bases for denying certification to requirements for certifying an applicant and deleting reference to section 16-247c, amended Subsec. (c) by deleting "intrastate interexchange" and changing "service" to "services", amended Subsec. (d) by replacing "open a telecommunications service to competition pursuant to section 16-247f" with "allow the competitive provision of a telecommunications service", replaced provision re service open to competition impairing universal service or impacting cost of service with Subdiv. (1) re goals set forth in Sec. 16-247a and provisions of Secs. 16-247a to 16-247c, 16-247e, 16-247f, this section, 16-247h and 16-247k, adding Subdiv. (3) re department orders and regulations, and relettering Subdivs. (1) to (3) as Subparas. (A) to (C), effective July 1, 1994; P.A. 95-86 amended Subsec. (a) by designating existing provisions as Subdiv. (1), adding "an initial", provision re fees, and "and to otherwise protect customers" in Subdiv. (1) and adding Subdiv. (2) re objection to fees charged, added new Subsec. (b) re petitions for expanded authority, relettered Subsecs. (b) to (d) as (c) to (e), amended Subsec. (c) by adding provision re fee, and added new Subsecs. (f) and (g) re remittance and report of fees, effective May 31, 1995; P.A. 99-222 made technical changes, changed references to person, firm or corporation certified to provide telecommunications services in Subsecs. (b) and (d) to "certified telecommunications provider", inserted new Subsec. (e) requiring each certified telecommunications provider to serve residential and business customers in its authorized area, inserted new Subsec. (f) requiring community antenna television companies to serve all residential and business customers in its franchise area and relettered former Subsecs. (e) to (g) as (g) to (i), respectively, effective June 29, 1999.

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Sec. 16-247h. Use of public right-of-way for provision of intrastate telecommunications service. The department shall authorize any certified telecommunications provider to install, maintain, operate, manage or control poles, wires, conduits or other fixtures under or over any public highway or street for the provision of telecommunications service authorized by section 16-247c, if such installation, maintenance, operation, management or control is in the public interest, which includes but is not limited to, facilitating the efficient development and deployment of an advanced telecommunications infrastructure, facilitating maximum network interoperability and interconnectivity, and encouraging shared use of existing facilities and cooperative development of new facilities where legally possible and technically and economically feasible. The department shall adopt regulations, in accordance with chapter 54, governing such use of the public right-of-way, including, without limitation, design and construction standards and specifications to protect the public safety and implement the purposes of the goals set forth in sections 16-247a to 16-247c, inclusive, 16-247e to 16-247g, inclusive, this section and section 16-247j.
(P.A. 87-415, S. 5, 13; P.A. 93-330, S. 6, 9; P.A. 94-83, S. 8, 16; P.A. 99-222, S. 12, 19.)
History: P.A. 93-330 made authorization mandatory rather than permissive if acts to be authorized are in the public interest, effective July 2, 1993; P.A. 94-83 deleted "interexchange", changed reference of authorization to provide telecommunications service from Sec. 16-247f to Sec. 16-247c, added provision re what public interest includes, required adoption of regulations to implement purposes of goals in Sec. 16-247a, Secs. 16-247a to 16-247c, 16-247e to 16-247g, this section and 16-247j, effective July 1, 1994; P.A. 99-222 changed reference to person, firm or corporation certified pursuant to section 16-247g to "certified telecommunications provider", effective June 29, 1999.

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Sec. 16-247i. Telecommunications service and regulation status report. Not later than January 1, 1995, and annually thereafter, the department shall submit a report to the General Assembly on the status of telecommunications service and regulation in the state of Connecticut. Such report shall include: (1) An analysis of universal service and any changes therein; (2) an analysis of the impact, if any, of competition in telecommunications markets on the work force of the state and employment opportunities in the telecommunications industry in the state; (3) an analysis of the level of regulation which the public interest requires; (4) the status of implementing the provisions of sections 16-247a to 16-247c, inclusive, 16-247e to 16-247h, inclusive, 16-247k and this section, including achieving each of the objectives of the goals set forth in section 16- 247a; (5) the status of the development of competition for all telecommunications services; and (6) the status of the deployment of telecommunications infrastructure in the state.
(P.A. 87-415, S. 6, 13; P.A. 94-83, S. 10, 16.)
History: P.A. 94-83 required report for 1995 and thereafter to include, rather than contain, Subdivs. (1) to (6), deleted Subdiv. (2) re any services opened to competition, renumbered Subdiv. (3) as Subdiv. (2) and changed "workers" to "the work force of the state and employment opportunities in the telecommunications industry in the state", deleted Subdiv. (4) re federal tax reform and Subdiv. (5) re federal subscriber line charges, renumbered Subdiv. (6) as (3), and added new Subdiv. (4) re implementation of Secs. 16-247a to 16-247c, 16-247e to 16-247h, this section and 16-247k, new Subdiv. (5) re development of competition, and new Subdiv. (6) re deployment of infrastructure, effective July 1, 1994.

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Sec. 16-247j. Regulations. The Department of Public Utility Control shall adopt such regulations, in accordance with the provisions of chapter 54, as necessary to carry out the provisions of section 16-247c and sections 16-247f to 16-247i, inclusive.
(P.A. 87-415, S. 9, 13.)

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Sec. 16-247k. Alternative forms of regulation for telephone companies: Plan requirements, monitoring period, modification. (a) The department may, and is encouraged to, implement an alternative form of regulation, including, but not limited to, price indexing, price regulation, cost indexing or price benchmarks, for noncompetitive and emerging competitive services provided by a telephone company. Any such alternative form of regulation shall be developed for, and tailored to, the individual company. A plan for such an alternative form of regulation may be filed by a telephone company or developed at the initiative of the department. Prior to approval by the department of any such plan, the noncompetitive and emerging competitive services provided by a telephone company shall continue to be regulated in accordance with the provisions of sections 16-19 and 16-19e. Upon approval by the department of any such plan, the services to which the plan applies shall be regulated in accordance with the provisions of the plan, and the provisions of sections 16-19 and 16-19e shall not apply to such services.
(b) Upon the filing of a proposed plan for alternative regulation by a telephone company, the department shall, after notice and hearing, issue a decision in which it approves, modifies or denies the proposed plan. The department shall approve the proposed or modified plan only if it finds that such plan (1) includes a pricing methodology that reasonably ensures that customers and other telecommunications companies have access to the noncompetitive services of the telephone company at just and reasonable rates which reflect prudent and efficient management, and that such access is available on nondiscriminatory terms and conditions, (2) is designed to streamline, minimize the costs of and maximize the effectiveness of regulation for the telephone company, (3) encourages prudent infrastructure investment and improvements in productivity and service quality for noncompetitive services, (4) does not impede the continued development of competition for the noncompetitive services or disadvantage the provision of emerging competitive or competitive services by the telephone company, (5) ensures that the investment risk associated with the provision of competitive and emerging competitive services by the telephone company shall not be borne by customers of noncompetitive services, (6) notwithstanding the provisions of sections 16-19, 16-19e and 16- 22 and subsection (a) of this section, includes a mechanism by which the department may monitor the earnings of the affected company over a monitoring period, (7) is in the public interest, and (8) is consistent with the goals set forth in section 16-247a.
(c) During the monitoring period of an approved plan for an alternative form of regulation, the telephone company shall use any earnings in excess of a ceiling approved by the department to offset the depreciation reserve deficiency of the company.
(d) Following the monitoring period, an approved plan for alternative regulation of a telephone company shall continue unless or until the department (1) changes the form of regulation pursuant to an application filed by the company, or (2) determines that the plan does not continue to meet the criteria set forth in subsection (b) of this section. Upon such change or determination, the department may order a different form of alternative regulation consistent with the criteria set forth in subsection (b) of this section. If the department finds that competition has not developed or will not develop for certain services, the department may apply traditional cost-based rate of return regulation to those noncompetitive services.
(e) The department may modify a plan for an alternative form of regulation which it approved pursuant to this section and which is in effect if the department determines such modification is required due to previously unforeseen circumstances.
(P.A. 94-83, S. 9, 16.)
History: P.A. 94-83 effective July 1, 1994.

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Sec. 16-247l. Access by certified telecommunications providers to occupied buildings: Service, wiring, compensation, regulations, civil penalty. (a) As used in this section, "occupied building" means a building or a part of a building which is rented, leased, hired out, arranged or designed to be occupied, or is occupied (1) as the home or residence of three or more families living independently of each other, (2) as the place of business of three or more persons, firms or corporations conducting business independently of each other, or (3) by any combination of such families and such persons, firms or corporations totaling three or more, and includes trailer parks, mobile manufactured home parks, nursing homes, hospitals and condominium associations.
(b) No owner of an occupied building shall demand or accept payment, in any form, except as provided in subsection (f) of this section, in exchange for permitting a certified telecommunications provider on or within his property or premises, or discriminate in rental charges or the provision of service between tenants who receive such service and those who do not, or those who receive such service from different certified telecommunications providers, provided such owner shall not be required to bear any cost for the installation or provision of such service.
(c) An owner of an occupied building shall permit wiring to provide telecommunications service by a certified telecommunications provider in such building provided: (1) A tenant of such building requests services from that certified telecommunications provider; (2) the entire cost of such wiring is assumed by that certified telecommunications provider; (3) the certified telecommunications provider indemnifies and holds harmless the owner for any damages caused by such wiring; and (4) the certified telecommunications provider complies with all regulations of the Department of Public Utility Control pertaining to such wiring. The department shall adopt regulations, in accordance with the provisions of chapter 54, which shall set forth terms which may be included, and terms which shall not be included, in any contract to be entered into by an owner of an occupied building and a certified telecommunications provider concerning such wiring. No certified telecommunications provider shall present to an owner of an occupied building for review or for signature such a contract which contains a term prohibited from inclusion in such a contract by regulations adopted hereunder. The owner of an occupied building may require such wiring to be installed when the owner is present and may approve or deny the location at which such wiring enters such building.
(d) Prior to completion of construction of an occupied building, an owner of such a building in the process of construction shall permit prewiring to provide telecommunications services in such building provided: (1) The certified telecommunications provider complies with all the provisions of subdivisions (2), (3) and (4) of subsection (c) of this section and subsection (f) of this section; and (2) all wiring other than that to be directly connected to the equipment of a telecommunications service customer shall be concealed within the walls of such building.
(e) No certified telecommunications provider may enter into any agreement with the owner or lessee of, or person controlling or managing, an occupied building serviced by such provider, or commit or permit any act, that would have the effect, directly or indirectly, of diminishing or interfering with existing rights of any tenant or other occupant of such building to use or avail himself of the services of other certified telecommunications providers.
(f) The department shall adopt regulations in accordance with the provisions of chapter 54 authorizing certified telecommunications providers, upon application by the owner of an occupied building and approval by the department, to reasonably compensate the owner for any taking of property associated with the installation of wiring and ancillary facilities for the provision of telecommunications service. The regulations may include, without limitation:
(1) Establishment of a procedure under which owners may petition the department for additional compensation;
(2) Authorization for owners and certified telecommunications providers to negotiate settlement agreements regarding the amount of such compensation, which agreements shall be subject to the department's approval;
(3) Establishment of criteria for determining any additional compensation that may be due;
(4) Establishment of a schedule or schedules of such compensation under specified circumstances; and
(5) Establishment of application fees, or a schedule of fees, for applications under this subsection.
(g) Nothing in subsection (f) of this section shall preclude a certified telecommunications provider from installing telecommunications equipment or facilities in an occupied building prior to the department's determination of reasonable compensation.
(h) Any determination by the department under subsection (f) regarding the amount of compensation to which an owner is entitled or approval of a settlement agreement may be appealed by an aggrieved party in accordance with the provisions of section 4-183.
(i) Any person which the Department of Public Utility Control determines, after notice and opportunity for a hearing as provided in section 16-41, has failed to comply with any provision of subsections (b) to (e), inclusive, of this section shall pay to the state a civil penalty of not more than one thousand dollars for each day following the issuance of a final order by the department pursuant to section 16-41 that the person fails to comply with said subsections.
(P.A. 94-106, S. 1; P.A. 99-286, S. 2, 19.)
History: P.A. 99-286 deleted former Subsec. (a)(2) which defined "telecommunications provider", changed references to "telecommunications provider" to "certified telecommunications provider" and made technical changes, effective July 19, 1999.

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Sec. 16-247m. Withdrawal by telephone company of retail telecommunications service. Applications. (a) On and after July 1, 2001, a telephone company may apply to the Department of Public Utility Control to withdraw from the retail provision of a telecommunications service, provided such telecommunications service has been deemed competitive pursuant to section 16-247f prior to the date such application is submitted. Any such application shall specify (1) the service that the telephone company no longer wishes to provide, (2) the geographic area or areas in which the telephone company proposes to no longer provide the service, and (3) the number of customers of the telephone company that will be affected by the proposed withdrawal and a discussion of ways to mitigate such impact.
(b) In considering any application by a telephone company pursuant to subsection (a) of this section, the department shall consider (1) the impact the proposed withdrawal will have on the goals set forth in section 16-247a, (2) the impact the proposed withdrawal will have on the financial, managerial and technical ability of the telephone company to provide other retail and wholesale telecommunications services and the quality of such services, (3) the impact the proposed withdrawal will have on the rates paid by retail customers for the service that the telephone company no longer wishes to provide at retail, (4) the impact the proposed withdrawal will have on the retail availability of such service, and (5) the impact the proposed withdrawal will have on the ability of certified telecommunications providers to provide a functionally equivalent service at retail. The department shall not approve any such application for withdrawal unless it finds that such withdrawal (A) is consistent with the goals set forth in section 16-247a, and (B) is not contrary to the public interest. The department shall not approve any such application or authorize the withdrawal of a telephone company from the provision of a telecommunications service at retail unless the service that the telephone company no longer wishes to provide has been deemed competitive pursuant to section 16-247f. The department, in approving any such application, shall develop a method to allow customers receiving such service from the telephone company to choose a new provider of such service, provided the department shall not order the allocation or assignment of any customer.
(c) Any proceeding conducted pursuant to this section shall be considered a contested case, as defined in section 4-166.
(d) The provisions of this section shall not (1) preclude the withdrawal of a competitive or an emerging competitive tariff pursuant to section 16-247f, (2) preclude a telephone company from withdrawing a noncompetitive service in the normal course of business, or (3) apply to any certified telecommunications provider or any telephone company serving fewer than seventy-five thousand customers.
(P.A. 99-222, S. 3, 19.)
History: P.A. 99-222 effective June 29, 1999.

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Sec. 16-247n. Certification of telephone company's operations support systems interface. Rates. Proceedings. (a) The department shall (1) not later than September 1, 1999, require each telephone company serving seventy-five thousand or more retail customers to release complete and usable specifications and business rules relating to the interface into its operations support systems for unbundled network elements and combinations thereof and any changes to the interface must be in accordance with industry standards and consistent with change management principles, (2) not later than November 1, 2000, certify that any such telephone company's operations support systems interface associated with network elements and combinations thereof are fully functional at commercial volumes, (3) not later than April 1, 2000, establish standards pursuant to section 16-247p, and (4) not later than July 1, 2000, determine the rates for such unbundled network elements and combinations thereof, pursuant to section 16- 247b. If a ruling of the Federal Communications Commission pursuant to 47 USC 251(c)(3) or 47 USC 251(d)(2) necessitates a subsequent change in such rates, the department shall redetermine such rates no more than two hundred seventy days after such ruling is issued.
(b) Upon petition by any telephone company serving fewer than seventy-five thousand retail customers, the department shall conduct a proceeding to certify that such telephone company's operations support systems interface associated with network elements and combinations thereof are fully functional at commercial volumes.
(P.A. 99-222, S. 4, 19.)
History: P.A. 99-222 effective June 29, 1999.

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Sec. 16-247o. Consultant to test operations support systems interface. (a) The Department of Public Utility Control shall, after consultation with the Office of Consumer Counsel, retain a consultant for the purpose of overseeing the testing of a telephone company's interface into its operations support systems, as set forth in subsection (a) of section 16-247n, and attempting to resolve expeditiously any disputes that arise among interested parties. The costs of the consultant shall be recovered from certified telecommunications providers and telephone companies using such operations support systems in the manner provided in section 16-49. The contract with such consultant shall include provisions for the testing of operations support systems and shall require the consultant to recommend adequate performance standards and appropriate methodologies of operations support systems testing, that may include, but are not limited to, the use of an artificial telecommunications provider, and to implement whatever testing methodology is selected for use. The department shall select a testing methodology through a process that provides an opportunity for input from any certified telecommunications provider that uses such operations support systems, the applicable telephone company and the Office of Consumer Counsel. Such a contract shall also provide for status reports as required by the department.
(b) If the consultant hired pursuant to subsection (a) of this section is unable to resolve a dispute, the consultant shall immediately notify the department and the dispute shall be subject to a compulsory arbitration proceeding to be conducted by the department. The department shall provide notice to ensure all parties are given the opportunity to participate in such arbitration proceeding. The consultant shall appear at any such arbitration proceeding and present the consultant's position. Any such arbitration hearing shall not be considered a contested case, as defined in section 4-166. The decision of the arbitrator shall be final and binding on all parties and shall be subject to judicial review and enforcement against all parties in the manner prescribed by chapter 909.
(P.A. 99-222, S. 6, 19; P.A. 00-53, S. 5.)
History: P.A. 99-222 effective June 29, 1999; P.A. 00-53 made a technical change in Subsec. (a).

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Sec. 16-247p. Quality-of-service standards. Performance Standards. (a) Not later than April 1, 2000, the Department of Public Utility Control shall, by regulations adopted pursuant to chapter 54, establish quality-of-service standards that shall apply to all telephone companies and certified telecommunications providers and to all telecommunications services. Such standards shall include, but not be limited to, measures relating to customer trouble reports, service outages, installation appointments and repeat problems as well as timeliness in responding to complaints or reports. The department shall include with the quality of service standards methodologies for monitoring compliance with and enforcement of such standards. Such monitoring shall include input from employees of telephone companies and certified telecommunications providers, including members of collective bargaining units.
(b) Not later than April 1, 2000, the department shall, by regulations adopted pursuant to chapter 54, establish comprehensive performance standards and performance based reporting requirements for functions provided by a telephone company to a certified telecommunications provider, including, but not limited to, telephone company performance relating to customer ordering, preordering, provisioning, billing, maintenance and repair. Such service standards shall be sufficiently comprehensive to ensure that a telephone company meets its obligations under 47 USC 251. Such regulations may also contain provisions the department deems necessary to prevent anticompetitive actions by any telephone company or certified telecommunications provider.
(P.A. 99-222, S. 7, 19.)
History: P.A. 99-222 effective June 29, 1999.

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Sec. 16-247q. Education outreach program for telecommunications competition, scope. Consumer Education Advisory Council established. (a) Not later than January 1, 2001, the Department of Public Utility Control shall, in conjunction with the Office of Consumer Counsel, implement a comprehensive public education outreach program to educate customers about the implementation of competition among certified telecommunications providers, as defined in section 16-1, providing intrastate telecommunications services. The goals of the program shall be to maximize public information, minimize customer confusion and enable all customers to participate in a competitive environment. The program shall include, but not be limited to: (1) Dissemination of information through mass media, interactive approaches and written materials with the goal of reaching every telephone customer; (2) conduct of public forums in different geographical areas of the state to foster public input and provide opportunities for an exchange of questions and answers; (3) involvement of community-based organizations in developing messages and in devising and implementing education strategies; (4) targeted efforts to reach rural, low income, elderly, foreign language, disabled, ethnic minority and other traditionally underserved populations; and (5) periodic evaluations of the effectiveness of educational efforts. The department shall assign one individual within the department to coordinate the outreach program and oversee the education process. Reasonable costs incurred by the department to develop and implement the education outreach program shall be recovered from certified telecommunications providers and telephone companies other than telephone companies serving fewer than seventy-five thousand customers in the manner provided in section 16-49.
(b) There shall be established a Consumer Education Advisory Council which shall advise the department on the development and implementation of the outreach program. Membership of the advisory council shall be established by the Office of Consumer Counsel not later than September 1, 2000, and shall include, but not be limited to, representatives of the Department of Public Utility Control, the Office of Consumer Counsel, the office of the Attorney General, the Office of Policy and Management, community and business organizations, consumer groups, including, but not limited to, a group that represents hardship cases, as defined in section 16-262c, telephone companies and certified telecommunications providers. The advisory council shall determine the information to be distributed to customers as part of the education effort. The advisory council shall advise the outreach program coordinator on the methods of distributing information in accordance with subsection (a) of this section and the timing of such distribution. The advisory council shall meet on a regular basis and report to the outreach program coordinator as it deems appropriate.
(P.A. 99-222, S. 8, 19; P.A. 00-53, S. 4.)
History: P.A. 99-222 effective June 29, 1999; P.A. 00-53 amended Subsec. (a) by changing "2000" to "2001".

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Sec. 16-247r. Discrimination by telephone companies and certified telecommunications providers prohibited. No telephone company or certified telecommunications provider, as defined in section 16-1, shall refuse to provide telecommunications services to, or refuse to negotiate to provide such services to any customer because of age, race, creed, color, national origin, ancestry, sex, marital status, sexual orientation, lawful source of income, disability or familial status. No telephone company or certified telecommunications provider shall decline to provide telecommunications services to a customer for the sole reason that the customer is located in an economically distressed geographic area or the customer qualifies for hardship status under section 16-262c. No telephone company or certified telecommunications provider shall terminate or refuse to reinstate telecommunications services except in accordance with the provisions of this title.
(P.A. 99-222, S. 18, 19.)
History: P.A. 99-222 effective June 29, 1999.

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Sec. 16-247s. Directory assistance database. Each certified telecommunications provider, as defined in section 16-1, that provides local exchange service to customers in the state shall provide without charge to the telephone company serving more than one hundred thousand customers for directory assistance purposes all listings for its Connecticut customers other than those listings that are nonpublished. Said telephone company, or its agent or affiliate as applicable, shall, in accordance with the terms and conditions set forth in the federal Telecommunications Act of 1996, as from time to time amended, and any applicable order or regulation adopted by the Federal Communications Commission thereunder, including the availability and timing of updates and applicable rates, compile all such listings and all listings for its own Connecticut customers other than those that are nonpublished in a directory assistance database and make all such listings contained in said database available in electronic format to directory assistance providers. If a customer requests a customer listing from a certified telecommunications provider that does not provide directory assistance, said provider shall connect the customer at no charge with an entity that provides directory assistance to the customer. Each such certified telecommunications provider shall indemnify said telephone company for any damages caused by that certified telecommunications provider's negligence in misidentifying a nonpublished customer.
(P.A. 00-221, S. 3.)

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Sec. 16-248. Rights of telephone company in operation May 23, 1985. Every telephone company organized before May 23, 1985, under special or general law, for the transaction of a telephone exchange business, in whole or in part, is limited in its operation, so far as pertains to the telephone exchange business, to the limits of the town or towns in which the plant and structures of such company, association or corporation actually existed and were in operation, in whole or in part, on such date, except upon a finding that public convenience and necessity require an extension of such limits as hereinafter provided.
(1949 Rev., S. 5660; P.A. 85-187, S. 6, 15.)
History: P.A. 85-187 applied provisions of section to every telephone company organized before May 23, 1985, instead of to every company, association or corporation organized before May 3, 1899.

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Sec. 16-249. Department to authorize extension of operations of telephone companies. Every telephone company whose plant was in existence and in operation on May 23, 1985, desiring to extend its telephone exchange business to another town or towns, is prohibited from taking any steps under the general statutes for the location of its poles or conduits, and from commencing to construct its extension or its plant, until it has applied to the Department of Public Utility Control and has obtained from the department, in the manner hereinafter provided, a finding that public convenience and necessity require the carrying on of such telephone exchange business by such company, association or corporation, within the territorial limits, or some portion thereof, stated in its application.
(1949 Rev., S. 5661; P.A. 75-486, S. 1, 69; P.A. 80-482, S. 110, 348; P.A. 85-187, S. 7, 15.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 85-187 applied provisions of section to every telephone company whose plant was in existence and in operation on May 23, 1985, instead of to every company, association or corporation under former Sec. 16-248 whose plant was in existence and in operation on May 3, 1899 and to any other such company, association or corporation theretofore existing, or thereafter organized under state law to do a telephone exchange business.

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Sec. 16-250. Determination of public convenience and necessity for extension. Every telephone company whose plant was in existence and in operation on May 23, 1985, intending to extend a telephone system for doing a telephone exchange business, shall make application to the Department of Public Utility Control for a finding that public convenience and necessity require such extension by such company and any such application shall state the territorial limits in which it is intended in good faith to extend such system. The department shall thereupon fix a time and place to hear such application, and shall cause notice to be served, at least twelve days before the date of the hearing, upon any other telephone company, association or corporation, organized under special or general law, that may be affected by such extension, and upon the selectmen of any town, the mayor of any city or the warden and burgesses of any borough, within whose limits such extension may be made. The department may hear the parties and determine whether, upon consideration of the facts, circumstances and conditions of the business, public convenience and necessity require the extension as heretofore defined by such company and may make a finding that public convenience and necessity require the extension of such telephone exchange system by the applicant in the whole or a part of the territory named in the application.
(1949 Rev., S. 5662; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 111, 348; P.A. 85-187, S. 8, 15.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 85-187 applied provisions of section to every telephone company whose plant was in existence and in operation on May 23, 1985, instead of to every company, association under former Sec. 16-249 and applied provisions of section to extension of a telephone system instead to both extension and construction.

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Sec. 16-250a. Reselling or sharing of line purchased or leased from telephone company. The Department of Public Utility Control shall not prohibit any customer of a telephone company, as defined in section 16-1, from reselling or sharing any wide area telephone service or foreign exchange line purchased or leased from the telephone company, provided (1) the provision of telecommunications services is not the primary business of the customer and (2) the wide area telephone service or foreign exchange line is purchased or leased primarily for the customer's own use and is resold to or shared with persons or entities occupying or granted the right to use the customer's premises.
(P.A. 84-238.)

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Sec. 16-250b. Cellular mobile telephone service. Department jurisdiction over. Regulations. (a) The Department of Public Utility Control shall have jurisdiction over the provision of cellular mobile telephone service by cellular mobile telephone carriers licensed by the Federal Communications Commission to operate within the state.
(b) Not later than six months after July 3, 1985, the department shall adopt regulations in accordance with the provisions of chapter 54, establishing (1) conditions under which the department may forbear from regulating such carriers and (2) standards and procedures for the regulation, on an equal basis with regard to all carriers, of the rates and charges, services, accounting practices, safety and conduct of operations of such carriers if the department does not forbear from regulating such carriers. Such conditions, standards and procedures shall provide for the public convenience, necessity and welfare.
(P.A. 85-552, S. 7, 8.)

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Sec. 16-251. Bonds of telephone company. Any telephone company may borrow money, and issue its bonds therefor, under its seal and signed by its president or vice president and by its treasurer or assistant treasurer. The signatures of such officers may be facsimiles thereof and the seal of the company may be a facsimile of such seal.
(1949 Rev., S. 5663; 1957, P.A. 84, S. 1.)

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Sec. 16-252. Bonds may be secured by mortgage. All such bonds may be secured by a mortgage of the property, real, personal or mixed, of the mortgagor, executed by its president, under its corporate seal, to the Treasurer of the state, and his successors in office, in trust, for the holders of such bonds, and recorded in the office of the Secretary of the State, and such mortgage shall secure equally all such bonds as may be issued from time to time to the full amount specified in the mortgage, and may include not only the property then owned by the mortgagor but also property to be thereafter acquired by it. In such mortgage deed, it shall be sufficient to describe the lines, wires, poles, conduits, equipment and apparatus of the telephone company, in general terms and by general reference to locality. The provisions of sections 16-218 to 16-227, inclusive, concerning the foreclosure of mortgages of railroad companies, shall apply to any mortgages or bonds issued by telephone companies, associations or corporations.
(1949 Rev., S. 5665.)
Cited. 28 CS 459.

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Sec. 16-253. Amount of capital to be paid in. No corporation organized under the general corporation law after January 4, 1899, for the purpose of doing a telephone exchange business, shall continue or commence business until at least fifty per cent of its capital stock has been paid for in cash.
(1949 Rev., S. 5666.)

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Sec. 16-254. Subscriptions for cash. All subscriptions to the capital stock, whether original or increased, of any such company, shall be for cash only, and no increase of capital stock shall be issued except to bona fide subscribers and upon the cash payment of at least fifty per cent of the face value thereof.
(1949 Rev., S. 5667.)

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Sec. 16-255. General powers. All companies, associations or corporations affected by the provisions of sections 16-248 to 16-254, inclusive, shall, subject to the restrictions therein imposed, have all the powers and rights of construction that are or have by law been conferred upon any domestic telephone corporation by special charter or otherwise.
(1949 Rev., S. 5668; P.A. 85-187, S. 10, 15.)
History: P.A. 85-187 deleted obsolete reference to Sec. 16-247, substituting reference to Sec. 16-248.

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Secs. 16-255a to 16-255i. Acquisition of control of domestic telephone companies limited; statement; expenses of department. Form of statement. Hearing re department approval of acquisition; standard of review. Nonvotable securities; injunctive relief. Regulations. Appeals. Remedial and penal provisions. Exemptions. Severability. Sections 16-255a to 16-255i, inclusive, are repealed.
(P.A. 81-329, S. 2−11; P.A. 87-446, S. 2, 3.)

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Sec. 16-256. Notice of offense in party line usage in telephone directory. Every telephone directory distributed to the members of the general public in this state or in any portion thereof which lists the calling numbers of telephones of any telephone exchange located in this state shall contain a notice which explains the offense provided for in section 53-210, such notice to be printed in type which is not smaller than any other type on the same page and to be preceded by the word "warning" printed in type at least as large as the largest type on the same page; provided the provisions of this section shall not apply to those directories distributed solely for business advertising purposes, commonly known as classified directories. Any person that distributes or causes to be distributed in this state copies of a telephone directory, subject to the provisions of this section, which do not contain the notice herein provided shall be fined not more than fifty dollars.
(1957, P.A. 375, S. 2; P.A. 99-286, S. 9, 19.)
History: P.A. 99-286 made a technical change, effective July 19, 1999.

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Sec. 16-256a. Directory assistance charge prohibited. Section 16-256a is repealed.
(P.A. 79-494; P.A. 80-482, S. 4, 40, 345, 348; P.A. 95-217, S. 9.)

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Sec. 16-256b. Special telecommunications equipment for deaf and hearing impaired persons. Fund. Amplification controls for coin and coinless telephones installed for public or semipublic use. (a) Each telephone company and each certified telecommunications provider that makes equipment available to customers shall make special telecommunications equipment capable of serving the needs of deaf and hearing and speech impaired persons available for rental or purchase and be responsible for the maintenance and repair of any such equipment it leases or sells.
(b) (1) Each domestic telephone company having at least one hundred thousand customers shall pay into a Special Telecommunications Equipment Fund twenty thousand dollars not later than July 1, 1992. The fund shall be administered by the Commission on the Deaf and Hearing Impaired. The Department of Public Utility Control shall include all payments made by a company into said fund as operating expenses of the company for purposes of rate-making under section 16-19.
(2) Except for the funding specified in subdivision (1) of this subsection, the State Commission on the Deaf and Hearing Impaired may draw on funds obtained through agreements between the state and domestic telephone companies in accordance with a plan developed, after notice and hearing, by the commission not later than January first, annually, and approved by the joint standing committee of the General Assembly having cognizance of matters relating to public utilities. The plan shall provide for the distribution of moneys from the funds to deaf and hearing and speech impaired persons for the purchase, upgrading, rental, maintenance and repair of special telecommunications equipment capable of serving the needs of such persons or to vendors providing such equipment or servicing. The plan may also provide for the distribution of moneys from the funds for the provision of message relay services for persons using telecommunication devices for the deaf, upon a determination by the commission that such moneys are needed to ensure that such services are made available to such persons and that there are adequate moneys in the funds for special telecommunications equipment purposes. The plan shall provide that not more than ten per cent of the moneys annually paid into the fund shall be allocated to the commission to carry out its administrative responsibilities under this subdivision and not more than five per cent of the moneys annually paid by a telephone company into the fund shall be allocated to such corporation to carry out its responsibilities under subdivision (1) of this subsection. All moneys allocated to the commission shall be paid to the State Treasurer for deposit in the General Fund.
(3) The Commission on the Deaf and Hearing Impaired shall, not later than March first, annually, submit a written financial report on the fund it administers under subdivision (2) of this section to the General Assembly and the Auditors of Public Accounts. Such report shall include a balance sheet and income and expense statement for the preceding calendar year, clearly setting forth the fund's income and expenses and all amounts spent for the direct purpose of the fund.
(c) (1) Each telephone company and each certified telecommunications provider shall, in consultation with the Commission on the Deaf and Hearing Impaired, prepare and submit to the Department of Public Utility Control and the joint standing committee of the General Assembly having cognizance of matters relating to public utilities a plan which shall provide that, to the extent possible, (A) not less than eighty per cent of the coin and coinless telephones installed for public use by the telephone company or certified telecommunications provider shall be equipped, not later than July 1, 1995, with controls for the amplification of incoming transmissions and not less than eighty per cent of the coin and coinless telephones installed for public use by the telephone company or certified telecommunications provider after July 1, 1995, shall be equipped with such controls, and (B) not less than fifty per cent of the coin and coinless telephones installed for semipublic use by the telephone company or certified telecommunications provider pursuant to tariffs shall be equipped, not later than July 1, 1995, with such controls and not less than fifty per cent of the coin and coinless telephones installed for semipublic use by the telephone company or certified telecommunications provider pursuant to tariffs after July 1, 1995, shall be equipped with such controls.
(2) Not later than July first, annually, each such telephone company and each such certified telecommunications provider shall submit a report to said commission, department and joint standing committee on the implementation of the plan prepared under subdivision (1) of this subsection, provided, if a telephone company or a certified telecommunications provider documents in any such report that it has fully complied with the provisions of subdivision (1) of this subsection, it shall not be required to submit additional annual reports.
(3) The cost of compliance with the provisions of this subsection shall be recoverable from ratepayers through the overall rate structure approved by the Department of Public Utility Control.
(d) Not less than eighty per cent of the coin and coinless telephones installed for public use on or after July 1, 1993, by any person, other than a telephone company or a certified telecommunications provider shall be equipped with such amplification controls at the time the telephones are installed.
(P.A. 79-156; P.A. 80-482, S. 4, 40, 345, 348; P.A. 82-254, S. 1, 2; P.A. 83-125, S. 1, 2; P.A. 85-228, S. 1, 2; P.A. 86- 50, S. 2; P.A. 87-388, S. 1, 3; P.A. 88-158, S. 1, 2; P.A. 92-146, S. 4, 5; P.A. 93-34, S. 1, 2; P.A. 94-74, S. 7, 11; P.A. 99- 286, S. 10, 19; P.A. 00-53, S. 6.)
History: P.A. 80-482 made division of public utility control within the department of business regulation an independent department and abolished department of business regulation; P.A. 82-254 required telephone companies to maintain and repair only special telecommunications equipment they lease or sell and department to establish conditions of service and rates for such maintenance and repair, relettered subsections, made all provisions of Subsec. (a) applicable only to extent consistent with federal law and added new Subsec. (b) requiring establishment of special telecommunications equipment funds; P.A. 83-125 established procedure under Subsec. (b) for transferring administration of funds from telephone companies to tax-exempt corporation and added Subdiv. (3) to Subsec. (b) requiring corporation to submit annual financial report on fund to general assembly and auditors of public accounts; P.A. 85-228 added Subsecs. (c) and (d) re the installation of amplification controls for coin and coinless telephones for public use; P.A. 86-50 allowed the plan to provide for the distribution of funds for message relay services; P.A. 87-388 amended Subsec. (b) by requiring payment of seventy-five thousand dollars into fund by January 1, 1988; P.A. 88-158 amended Subsec. (b)(1) requiring that any person, firm or corporation authorized by the department to provide intrastate interexchange telecommunications service pay into the fund; extended the fund's existence to 1990 and provided for payments by telecompanies and others certified by the department to pay fifty thousand dollars into the fund in 1989 and twenty-five thousand dollars in 1990; P.A. 92-146 amended Subsec. (b) re funding of special telecommunications fund and specified commission on deaf and hearing impaired as administrator of fund; P.A. 93-34 amended Subsec. (c) by requiring each telephone company to submit a plan by January 1, 1994, to equip at least eighty per cent of coin and coinless telephones installed for public use and at least fifty per cent of coin and coinless telephones installed for semipublic use pursuant to tariffs with amplification controls by July 1, 1995, and thereafter, and submit a report by July 1, 1994, and amended Subsec. (d) by increasing the percentage of coin and coinless telephones installed for public use by anyone other than a telephone company which must be equipped with amplification controls from twenty-five to eighty per cent as of July 1, 1993, effective May 5, 1993; P.A. 94-74 amended Subsecs. (a), (c) and (d) by adding provision re persons, firms or corporations certified to provide intrastate telecommunication service, and amended Subsec. (a) by deleting provision re conditions of service and rates for equipment, effective July 1, 1994; P.A. 99-286 changed references to person, firm or corporation certified to provide intrastate telecommunications service to "certified telecommunications provider" and made technical changes, effective July 19, 1999; P.A. 00-53 made technical changes in Subsec. (b)(1).

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Sec. 16-256c. Extended local calling criteria. Calling volume. Subscriber survey and vote. Petitions. (a) In establishing criteria for the granting of extended local calling service to a telephone exchange, the Department of Public Utility Control may consider the volume of calls made by such exchange to other exchanges; provided, in considering whether to grant extended local calling service to a telephone exchange within the lowest exchange classification, the calling volume of such exchange shall not be the exclusive or determinative factor.
(b) In any survey of the subscribers of a telephone exchange subject to reclassification which is conducted by a telephone company in response to a petition for extended local calling telephone service, the Department of Public Utility Control shall approve and order such extended local calling if, after a hearing, the department finds that more than fifty per cent of the responding subscribers in each exchange required to be surveyed vote in favor of the additional extended local calling route and at least fifty per cent of all subscribers in each exchange required to be surveyed respond to the survey; provided, only validly completed and signed ballots shall be used in computing the required percentages.
(c) Notwithstanding any provision of the general statutes to the contrary, the Department of Public Utility Control shall consider a petition for extended local calling when (1) the petition is from an exchange which serves less than thirty-eight thousand equivalent main stations, (2) the petition is sponsored by the chief administrative officer of a distressed municipality, as defined in section 32-9p, which municipality is within the petitioning exchange, (3) the toll messages on the route requested average greater than or equal to four calls per customer per month from the petitioning exchange over a six- month period, and (4) the petitioning exchange has extended local calling to a contiguous exchange which has extended local calling to the exchange to which extended local calling is sought.
(P.A. 79-330; P.A. 80-242; 80-482, S. 4, 40, 345, 348; P.A. 85-36; 85-187, S. 14, 15; P.A. 95-217, S. 8; P.A. 96-266, S. 2.)
History: P.A. 80-242 added Subsec. (b) re extension of local calling through survey of subscribers; P.A. 80-482 made division of public utility control an independent department and abolished department of business regulation; P.A. 85-36 changed, from at least fifty-one per cent to more than fifty per cent, the favorable vote necessary to require department order for extended local calling; P.A. 85-187 changed effective date of P.A. 85-36 from October 1, 1985 to June 1, 1985; P.A. 95-217 added new Subsec. (c) re requirements to petition for extended local calling; P.A. 96-266 amended Subsec. (c)(1) to increase to thirty-eight thousand the maximum number of equivalent main stations.

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Sec. 16-256d. Itemized telephone bills for business customers. Each telephone company, as defined in section 16-1, shall, upon request of any business customer, provide the customer with an itemization of tariffed equipment and associated charges, indicating the number of telephones and lines and the types of service the customer is being billed for and the charge for each such telephone, line and service. Each such company shall, on a quarterly basis, notify its business customers of the availability of such itemizations.
(P.A. 83-172.)

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Sec. 16-256e. Recorded telephone message devices prohibited. No person may use any device which transmits an unsolicited recorded telephone message for any commercial, business or advertising purpose to any telephone customer in the state and which continues the call and message after the customer hangs up the receiver. Any person violating the provisions of this section shall be fined not more than five hundred dollars.
(P.A. 83-419; P.A. 99-286, S. 11, 19.)
History: P.A. 99-286 made technical changes, effective July 19, 1999.

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Sec. 16-256f. Blocking service available to customers. Each telephone company and each certified telecommunications provider may make blocking service available to its customers and may charge the customer for providing such service.
(P.A. 89-259, S. 4, 5; P.A. 94-74, S. 8, 11; P.A. 99-286, S. 12, 19.)
History: P.A. 94-74 added provision re persons, firms or corporations certified to provide intrastate telecommunication service, effective July 1, 1994; P.A. 99-286 changed reference to person, firm or corporation certified to provide intrastate telecommunications service to "certified telecommunications provider" and made a technical change, effective July 19, 1999.

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Sec. 16-256g. Proceeding to determine monthly subscriber fee. Assessment of subscribers for Enhanced 9-1-1 Telecommunications Fund. (a) By June first of each year, the Department of Public Utility Control shall conduct a proceeding to determine the amount of the monthly fee to be assessed against each subscriber of local telephone service and each subscriber of commercial mobile radio service, as defined in 47 CFR Section 20.3, to fund the development and administration of the enhanced emergency 9-1-1 program. The department shall base such fee on the findings of the Commissioner of Public Safety, pursuant to subsection (c) of section 28-24, taking into consideration any existing moneys available in the Enhanced 9-1-1 Telecommunications Fund. The department shall consider the progressive wire line inclusion schedule contained in the final report of the task force to study enhanced 9-1-1 telecommunications services established by public act 95-318*. The department shall not approve any fee greater than fifty cents per month per access line nor shall it approve any fee that does not include the progressive wire line inclusion schedule.
(b) Each telephone or telecommunications company providing local telephone service and each provider of commercial mobile radio service shall assess against each subscriber, the fee established by the department pursuant to subsection (a) of this section, which shall be deposited in the Enhanced 9-1-1 Telecommunications Fund.
(P.A. 89-259, S. 3, 5; P.A. 96-150, S. 3, 5; P.A. 99-286, S. 13, 19.)
*Note: Public act 95-318 is special in nature and therefore has not been codified but remains in full force and effect according to its terms.
History: P.A. 96-150 established, in Subsec. (a), annual proceeding to determine amount of monthly subscriber fee, lettered existing provisions as Subsec. (b), and amended Subsec. (b) to require assessment of such fee by local service providers and commercial mobile radio service providers rather than by "domestic telephone companies", effective May 31, 1996; P.A. 99-286 amended Subsec. (b) by making a technical change, effective July 19, 1999.

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Sec. 16-256h. Business to residential pricing ratio for basic exchange service. In a proceeding under subsection (a) of section 16-19, the Department of Public Utility Control may approve a modification of the existing business to residential pricing ratio for basic exchange service of a telephone company toward the then-current national average business to residential pricing ratio, as determined by the department, but shall not approve a modification which brings such ratio below two and seven-tenths to one prior to June 30, 1994, and shall not approve a modification which brings such ratio below two and five-tenths to one or the then-current national average business to residential pricing ratio, as determined by the department, whichever is higher, prior to June 30, 1995.
(P.A. 93-330, S. 8, 9.)
History: P.A. 93-330 effective July 2, 1993.

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Sec. 16-256i. Primary local or intrastate interexchange carrier orders. Unauthorized switching. Penalty. (a) As used in this section:
(1) "Customer" means (A) in the case of a residential customer, any adult who is authorized by the individual in whose name the local exchange carrier has established an account for telecommunications services to authorize a change in telecommunications services, and (B) in the case of a business customer, any individual who is authorized by the business to authorize a change in telecommunications services;
(2) "Telemarketer" means any individual who, by telephone, initiates the sale of telecommunications services for a telecommunications company; and
(3) "Telemarketing" means the act of soliciting by telephone the sale of telecommunications services.
(b) A telecommunications company shall not submit a primary, local or intrastate interexchange carrier change order to a company providing local exchange telephone service prior to the order being confirmed in accordance with the provisions of Subpart K of Part 64 of Title 47 of the Code of Federal Regulations, as from time to time amended, and the provisions of this section, if applicable.
(c) A telecommunications company or its affiliate or authorized representative using telemarketing to initiate the sale of telecommunications services shall comply with the following requirements for all such telemarketing calls: (1) The telemarketer shall identify himself by name and identify the telecommunications company providing the proposed services and the name of the business, firm, corporation, association, joint stock association, trust, partnership, or limited liability company, if different from the telecommunications company, for whom the call is made; (2) the telemarketer shall state that only the customer may authorize a change in service; (3) the telemarketer shall confirm that he is speaking to the customer; (4) the telemarketer shall clearly explain the proposed services in detail and explain that an affirmative response will change the customer's telecommunications carrier; (5) the telemarketer shall obtain from the customer an affirmative response that the customer agrees to a change in his primary, local or intrastate interexchange carrier; and (6) the primary, local or intrastate interexchange carrier change order or independent third party verification record shall identify the individual with whom the telemarketer confirmed the authorization to change the primary, local or intrastate interexchange carrier.
(d) (1) A telecommunications company or its affiliate or authorized representative using telemarketing to initiate the sale of telecommunications services shall (A) prior to submitting a change in primary, local or intrastate interexchange carriers, obtain verbal authorization confirmed by an independent third party or written authorization of such change from the customer, and (B) not more than four business days after obtaining notification or confirmation that the change in carrier has been made, send by first class mail to the customer notification that the customer's primary, local or intrastate interexchange carrier has been changed, along with a postpaid postcard or toll-free number which the customer can use to deny authorization for the change order. If the telecommunications company receives a postcard or telephone call at the toll-free number provided in the notification denying authorization for the change, the company shall immediately notify the customer's previous carrier and shall cause the customer's primary, local or intrastate interexchange service to be switched back to the customer's previous carrier and shall: (i) Adjust the affected customer's bill so that the customer pays no more than the customer would have paid had his carrier not been switched; (ii) pay the previous carrier an amount equal to all charges paid by the customer after the change to the new carrier; and (iii) pay the previous carrier an amount equal to all expenses assessed by the local exchange company for switching the customer's primary, local or intrastate interexchange service.
(2) It shall be an unfair or deceptive trade practice, in violation of chapter 735a, for any telecommunications company to unreasonably delay or deny a request by a customer to switch a customer's primary, local or intrastate interexchange carrier back to the customer's previous carrier.
(e) The department shall adopt regulations in accordance with the provisions of chapter 54 to implement the provisions in this section.
(f) A telecommunications company, or its affiliate or authorized representative using telemarketing to initiate the sale of telecommunications services, which the department determines, after notice and opportunity for a hearing as provided in section 16- 41, has failed to comply with the provisions of this section or section 16-256j shall pay to the state a civil penalty of not more than five thousand dollars per violation.
(P.A. 95-326; P.A. 96-266, S. 1; P.A. 98-148, S. 1.)
History: P.A. 96-266 made section applicable to "local" interexchange carrier change orders; P.A. 98-148 added new Subsec. (a) re definitions, designated most of existing provisions as Subsec. (b) and made technical changes, added new Subsecs. (c) to (e) re telemarketing, designated existing penalty provision as Subsec. (f) and added to Subsec. (f) references to telemarketing and Sec. 16-256j.

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Sec. 16-256j. Billing for telecommunications services. Information re carriers. All bills for telecommunications services, whether issued by a telecommunications company or by a billing service, shall contain the name of each carrier providing service as well as a toll-free number for customer complaints for each such carrier printed clearly and conspicuously on the portion of the bill relating to each carrier.
(P.A. 98-148, S. 2.)

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Sec. 16-257. Recording of agreement of consolidation or merger of electric and gas companies. Any corporation, incorporated for or engaged in the business of manufacturing, distributing or using electricity for purposes of light, heat, power or other lawful purposes, or supplying gas for any or all of said purposes, which has consolidated with or merged into itself, or consolidates with or merges into itself, any other corporation, in accordance with the provisions of its charter and of the statutes, may record in the office of the Secretary of the State the agreement of such consolidation or merger. When such agreement has been so recorded, it shall not be necessary to record the same in the towns where the property of such consolidating companies or such companies so being merged is located, but the same shall be valid and effectual notice of the facts therein set forth, provided a certificate shall be filed in the office of the town clerk of each town where the property of any such consolidating companies or of such companies so being merged is located, setting forth the names of the consolidating company and the companies so consolidated or the name of the company into which such companies owning such property may have become merged and the names of such companies, the date of such agreement and the fact that the same has been filed and recorded in the office of the Secretary of the State. The clerk of any town where any such certificate is filed shall record the same.
(1949 Rev., S. 5669.)

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Sec. 16-258. Standards concerning electricity and gas. Section 16-258 is repealed.
(1949 Rev., S. 5670; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 112, 348; P.A. 95-217, S. 9.)

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Sec. 16-258a. Registration of natural gas sellers. Procedures. Penalties. (a) Each person that sells natural gas to an end user in the state and is not (1) a gas company, as defined in section 16-1, (2) a municipal gas utility established under chapter 101 or any other gas utility owned, leased, maintained, operated, managed, or controlled by any unit of local government under any general statute or any public or special act, or (3) a gas pipeline or gas transmission company subject to the provisions of chapter 208, shall register with the Department of Public Utility Control prior to making any such sale by filing a form supplied by said department.
(b) Each person registered with the department shall: (1) Maintain a bond or other security in amount and form approved by the department, to ensure the person's financial responsibility and its supply of natural gas to end-use customers in accordance with contracts, agreements or arrangements; (2) have a contractual relationship with an entity or entities to purchase natural gas supply; (3) comply with the National Labor Relations Act and regulations, if applicable; (4) comply with the Connecticut Unfair Trade Practices Act and applicable regulations; and (5) agree to cooperate with (A) each gas company, (B) each municipal gas utility established under chapter 101 or any other gas utility owned, leased, maintained, operated, managed or controlled by any unit of local government under any general statute or special act, (C) each gas pipeline or gas transmission company subject to the provisions of chapter 208, (D) the department, and (E) all other gas suppliers in the event of an emergency condition that may jeopardize the safety and reliability of the state's natural gas system.
(c) Each person registered with the department shall, at such times as the department requires but not less than annually, submit to the department, on a form prescribed by the department, an update of information the department deems relevant. A registered person shall notify the department at least ten days before a change in corporate structure that affects the person. Each registered person shall pay an annual registration fee to be determined by the department which shall not exceed the actual administrative costs of the department.
(d) No registration may be transferred without the prior approval of the department. The department may assess additional registration fees to pay the administrative costs of reviewing a request for such transfer.
(e) Any person who violates any provision of this section shall be subject to sanctions by the department in accordance with section 16-41, which may include, but are not limited to, the suspension or revocation of such registration or a prohibition on accepting new customers.
(P.A. 95-114, S. 1, 5; P.A. 98-218, S. 1, 3; P.A. 00-91, S. 1.)
History: P.A. 95-114 effective July 1, 1995; P.A. 98-218 moved "in the state", effective July 1, 1998; P.A. 00-91 made technical changes in existing provisions, designated existing provisions as Subsec. (a) and inserted new Subsecs. (b) to (e), inclusive, re gas registrant requirements and penalties.

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Sec. 16-258b. Registration of electric generating facilities. Each person, as defined in section 16-1, operating an electric generating facility in this state shall register with the Department of Public Utility Control. Not later than January 1, 2001, the department shall adopt regulations in accordance with chapter 54 to establish standards and procedures for the registration of electric generators pursuant to this section. The provisions of this section shall not apply to any (1) hydroelectric generating facility, or (2) electric generating device (A) with a generating capacity of four megawatts or less, or (B) that is owned and operated by an electric distribution company or gas company, as defined in section 16-1.
(P.A. 00-186, S. 2.)

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Sec. 16-259. Inspection of meters. Upon petition of any person and the payment of a fee of ten dollars for each meter, the Department of Public Utility Control may cause to be inspected any meter used in measuring electricity, gas or water supplied to the petitioner. The department may prescribe such limits of variation from accurate registration by such meters as it determines to be reasonable. The company supplying electricity, gas or water through any such meter shall reimburse the petitioner for the inspection fee if the meter is found not to register accurately within the limit of variation so prescribed, and the company may not again use the meter until it is corrected and approved by the department.
(1949 Rev., S. 5671; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 113, 348; P.A. 81-348, S. 2.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 81-348 increased fee from one to ten dollars and made inspection optional rather than mandatory.

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Sec. 16-259a. Inaccurate billing. Financial liability of customer. Payment plan. (a) No electric, electric distribution, gas or water company or electric supplier, which inaccurately bills a retail customer for service may bill or otherwise hold the customer financially liable for more than one year after the customer receives such service, unless the customer, either alone or with an individual other than an employee of the company, by an affirmative act, is responsible for the inaccurate billing or fails to provide for reasonable access to the premises where the company's meter is located by an employee of the company during business hours for the purpose of reading the meter.
(b) Any such electric, electric distribution, gas or water company or electric supplier which inaccurately bills a retail customer for service may bill or otherwise hold the customer financially liable for not more than one year after the customer receives such service, unless a delayed bill for the service (1) would deprive the customer of the opportunity to apply for or receive energy assistance or (2) is the result of the customer's meter erroneously registering another customer's consumption, in which case the company may not bill or otherwise hold the customer liable for the service provided to another customer.
(c) No telephone company or certified telecommunications provider that inaccurately bills a retail customer for service may bill or otherwise hold the customer financially liable for more than two years or the time provided in federal law, whichever is longer, after the customer receives such service, unless the customer, either alone or with a person other than an employee of the telephone company or certified telecommunications provider by an affirmative act, is responsible for the inaccurate billing.
(d) Any company, electric supplier or certified telecommunications provider that holds a customer financially liable under subsection (a), (b) or (c) of this section shall establish a payment plan which prorates all arrearages for service the customer owes over a period of time that is no shorter than the period for which the customer is being held financially liable by such company, electric supplier or certified telecommunications provider. The payment plan shall provide that no payment charged to a customer under such plan shall exceed fifty per cent of the average amount that the company charged such customer for each billing period over the previous twelve-month period for services received during that period. Notwithstanding the provisions of this subsection, a company, electric supplier or certified telecommunications provider may require immediate payment of the full amount due under subsection (a), (b) or (c) of this section if such customer fails to make timely payments in accordance with the payment plan established by such company, electric supplier or certified telecommunications provider.
(P.A. 84-218; P.A. 94-74, S. 9, 11; P.A. 96-136; P.A. 98-28, S. 37, 117; P.A. 99-286, S. 14, 19.)
History: P.A. 94-74 amended Subsecs. (a) and (b) by deleting telephone companies, and added new Subsec. (c) re telephone companies and persons, firms or corporations certified to provide intrastate telecommunication services, effective July 1, 1994; P.A. 96-136 changed period in Subsecs. (a) and (b) for which an electric, gas or water company may hold a customer financially liable from six months or three billing periods to one year after the customer receives service and added Subsec. (d) re payment plans; P.A. 98-28 added electric suppliers and electric distribution companies, effective July 1, 1998; P.A. 99-286 changed reference to person, firm or corporation certified to provide intrastate telecommunications services to "certified telecommunications provider" and made technical changes, effective July 19, 1999.

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Sec. 16-260. Water meters may be required. Any water company supplying water to the inhabitants of any city, town, village or borough, for domestic, manufacturing or fire protection purposes, may refuse to furnish water, except by metered measurement at established rates, to the owner or occupant of any premises upon which water is allowed to be wasted by reason of defective fixtures, or otherwise, after notification to such owner or occupant and reasonable time given to him to make necessary repairs.
(1949 Rev., S. 5672.)

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Sec. 16-261. Extension of electric lines to unserved areas. Determination of rates. (a) The Department of Public Utility Control shall order and direct the electric and electric distribution companies providing electric distribution services in this state to extend lines in their chartered territory to all unserved areas having a density of subscribers for electric distribution service averaging at least two per mile on such proposed new lines, in accordance with the provisions of this section.
(b) The Department of Public Utility Control is directed, in considering the rates of electric or electric distribution companies or in the proceedings having to do with such rates, to consider the expenses and revenues of each company as a whole, in arriving at a fair return on the fair value of such properties. In prescribing a rate for service on such new lines, the department shall exercise its statutory powers, except that the guarantee required shall not exceed thirteen dollars and fifty cents per mile per month.
(c) The Department of Public Utility Control is directed to advance the objects of this section in every lawful manner.
(d) Nothing in this section shall authorize the Department of Public Utility Control to order and direct electric or electric distribution companies to extend their lines in their chartered territory over or under any body of water or elsewhere than along public highways unless such department, exercising its powers under section 16-20, finds such extension to be economically justifiable.
(1949 Rev., S. 5673; 1955, S. 2616d; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 114, 348; P.A. 98-28, S. 102, 117.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 98-28 amended Subsec. (a) by changing electric utility companies distributing current to electric and electric distribution companies providing electric distribution services and amended Subsecs. (b) and (d) by adding electric distribution companies, effective July 1, 1998.
To refuse an extension the commission must find facts from which it reasonably concludes that the order for extension would amount to a use of the company's property without just compensation or to the imposition of a discriminatory rate upon other subscribers. 142 C. 359.

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Sec. 16-261a. Interagency electric and magnetic fields task force; composition; study. Assessment of electric public service companies for specified expenses of task force. (a) There is established an interagency task force to study electric and magnetic fields. The task force shall determine the appropriate role of the state in addressing the potential problems associated with electric and magnetic fields and may make recommendations to the General Assembly regarding any legislation which it deems appropriate. The task force shall consist of (1) the Commissioner of Public Health or his designee; (2) the Commissioner of Environmental Protection or his designee; (3) the Commissioner of Economic and Community Development or his designee; (4) the Secretary of the Office of Policy and Management or his designee; (5) the chairperson of the Public Utilities Control Authority or his designee and (6) the chairman of the Connecticut Siting Council or his designee.
(b) The Commissioner of Environmental Protection, in consultation with the Department of Public Health and the Department of Public Utility Control, shall assess all electric public service companies, as defined in section 16-1, for a total of one hundred fifty thousand dollars for the fiscal year ending June 30, 1992. The commissioner, in consultation with the task force, shall develop an equitable method of assessing the companies for their reasonable pro rata share of the assessment. The moneys assessed by the commissioner shall be deposited with the Treasurer and shall only be expended by the interagency electric and magnetic fields task force for the purpose of (1) contracting for the services of electric and magnetic fields experts to assist the task force in determining the need for and the development of recommendations to the public concerning prudent methods of avoiding exposure to electric and magnetic fields, and (2) reviewing and compiling the existing scientific literature concerning electric and magnetic fields to identify any significant adverse effects caused by exposure to electric and magnetic fields and to determine whether there are gaps in the existing scientific literature that could be filled by original scientific research completed in Connecticut. The task force shall submit reports of its findings and recommendations to the joint standing committees on energy and technology, public health and the environment on or before February 1, 1998.
(P.A. 91-317, S. 1−3; P.A. 92-169, S. 1−3; P.A. 93-381, S. 9, 39; P.A. 95-250, S. 1; P.A. 95-257, S. 12, 21, 58; P.A. 96-211, S. 1, 5, 6; 96-245, S. 12, 44.)
History: P.A. 92-169 amended Subsec. (a) to authorize the task force to make recommendations to the general assembly and amended Subsec. (b) to provide for consultation by the commissioner with the task force in assessing companies under this section and to change the date re submission of reports by the task force from February 1, 1992, to February 1, 1995; P.A. 93-381 replaced department and commissioner of health services with department and commissioner of public health and addiction services, effective July 1, 1993; P.A. 95-250 and P.A. 96-211 replaced Commissioner and Department of Economic Development with Commissioner and Department of Economic and Community Development; P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995; (Revisor's note: The phrase "Commissioner of the Department of Environmental Protection" in Subsec. (b) was replaced editorially by the Revisors with "Commissioner of Environmental Protection" for consistency with customary statutory usage); P.A. 96-245 amended Subsec. (b) to change the date re submission of reports by the task force from February 1, 1995, to February 1, 1998, effective June 6, 1996.

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Sec. 16-262. Gas companies authorized to deal in natural gas. Any gas company is authorized to buy, manufacture, produce, sell, furnish, transport, store, distribute, dispose of or otherwise deal in natural gas and a mixture of natural and manufactured gas and the by-products thereof, to the same extent and with the same rights, privileges and limitations conferred or imposed upon it with respect to manufactured gas, and within the same territorial limitations within which it is authorized to deal in manufactured gas.
(1951, S. 2614d.)

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Sec. 16-262a. Water company to have area resident as director or advisory council of area residents. The board of directors of each water company shall include at least one member who is a resident of the area served by such company and who is not an officer or employee of the company; provided, in lieu of this requirement, such company may establish an area advisory council, consisting of three or more members who are residents of the area served by the company and who are not officers or employees of the company. The members of the advisory council shall be appointed as follows: (1) If the service area contains three or more municipalities, the chief elected official of each municipality shall appoint one member to the council, (2) if the service area contains two municipalities, the chief elected official of each municipality shall appoint one member and the local legislative body shall appoint one member and (3) if the service area contains one municipality, the chief elected official shall appoint two members and the local legislative body shall appoint two members. Such company shall report to the Department of Public Utility Control, within thirty days after appointment, the names and towns of residence of such appointees. Each company having such a council shall, through its officers and board of directors, consult and advise with the council on matters of local interest.
(1961, P.A. 220; P.A. 75-486, S. 1, 69; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 115, 348; P.A. 91-300, S. 1.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 91-300 added provision concerning the appointment of advisory council members by the chief elected official and the local legislative body, replacing provision whereby company appointed members.

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Sec. 16-262b. Notice of discharge of explosives or highway excavation to gas companies. Section 16-262b is repealed.
(1961, P.A. 278; P.A. 77-350, S. 12.)
See chapter 293 re excavation, demolition or discharge of explosives.

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Sec. 16-262c. Termination of utility service for nonpayment, when prohibited. Amortization agreements. Moneys allowed to be deducted from customers' accounts and moneys to be included in rates as an operating expense. Hardship cases. Notice. Regulations. Annual reports. Privacy of individual customer utility usage and billing information. (a) Notwithstanding any other provision of the general statutes no electric, electric distribution, gas, telephone or water company, no electric supplier or certified telecommunications provider, and no municipal utility furnishing electric, gas, telephone or water service shall cause cessation of any such service by reason of delinquency in payment for such service (1) on any Friday, Saturday, Sunday, legal holiday or day before any legal holiday, provided such a company, electric supplier, certified telecommunications provider or municipal utility may cause cessation of such service to a nonresidential account on a Friday which is not a legal holiday or the day before a legal holiday when the business offices of the company, electric supplier, certified telecommunications provider or municipal utility are open to the public the succeeding Saturday, (2) at any time during which the business offices of said company, electric supplier, certified telecommunications provider or municipal utility are not open to the public, or (3) within one hour before the closing of the business offices of said company, electric supplier or municipal utility.
(b) (1) From November first to April fifteenth, inclusive, no electric or electric distribution company, as defined in section 16-1, no electric supplier and no municipal utility furnishing electricity shall terminate or refuse to reinstate residential electric service in hardship cases where the customer lacks the financial resources to pay his or her entire account. From November first to April fifteenth, inclusive, no gas company and no municipal utility furnishing gas shall terminate or refuse to reinstate residential gas service in hardship cases where the customer uses such gas for heat and lacks the financial resources to pay his or her entire account, except a gas company that, between April sixteenth and October thirty-first, terminated gas service to a residential customer who uses gas for heat and who, during the previous period of November first to April fifteenth, had gas service maintained because of hardship status, may refuse to reinstate the gas service from November first to April fifteenth, inclusive, only if the customer has failed to pay, since the preceding November first, the lesser of: (A) Twenty per cent of the outstanding principal balance owed the gas company as of the date of termination, (B) one hundred dollars, or (C) the minimum payments due under the customer's amortization agreement. Notwithstanding any other provision of the general statutes to the contrary, no electric, electric distribution or gas company, no electric supplier and no municipal utility furnishing electricity or gas shall terminate or refuse to reinstate residential electric or gas service where the customer lacks the financial resources to pay his or her entire account and for which customer or a member of the customer's household the termination or failure to reinstate such service would create a life-threatening situation.
(2) During any period in which a residential customer is subject to termination, an electric, electric distribution or gas company, an electric supplier or a municipal utility furnishing electricity or gas shall provide such residential customer whose account is delinquent an opportunity to enter into a reasonable amortization agreement with such company, electric supplier or utility to pay such delinquent account and to avoid termination of service. Such amortization agreement shall allow such customer adequate opportunity to apply for and receive the benefits of any available energy assistance program. An amortization agreement shall be subject to amendment on customer request if there is a change in the customer's financial circumstances.
(3) As used in this section, (A) "household income" means the combined income over a twelve-month period of the customer and all adults, except children of the customer, who are and have been members of the household for six months or more, and (B) "hardship case" includes, but is not limited to: (i) A customer receiving local, state or federal public assistance; (ii) a customer whose sole source of financial support is Social Security, Veterans' Administration or unemployment compensation benefits; (iii) a customer who is head of the household and is unemployed, and the household income is less than three hundred per cent of the poverty level determined by the federal government; (iv) a customer who is seriously ill or who has a household member who is seriously ill; (v) a customer whose income falls below one hundred twenty-five per cent of the poverty level determined by the federal government; and (vi) a customer whose circumstances threaten a deprivation of food and the necessities of life for himself or dependent children if payment of a delinquent bill is required.
(4) In order for a residential customer of a gas company using gas for heat to be eligible to have any moneys due and owing deducted from the customer's delinquent account pursuant to this subdivision, the company furnishing gas shall require that the customer (A) apply and be eligible for benefits available under the Connecticut energy assistance program or state appropriated fuel assistance program; (B) authorize the company to send a copy of the customer's monthly bill directly to any energy assistance agency for payment; (C) enter into and comply with an amortization agreement, which agreement is consistent with decisions and policies of the Department of Public Utility Control. Such an amortization agreement shall reduce a customer's payment by the amount of the benefits reasonably anticipated from the Connecticut energy assistance program, state appropriated fuel assistance program or other energy assistance sources. Unless the customer requests otherwise, the company shall budget a customer's payments over a twelve-month period with an affordable increment to be applied to any arrearage, provided such payment plan will not result in loss of any energy assistance benefits to the customer. If a customer authorizes the company to send a copy of his monthly bill directly to any energy assistance agency for payment, the energy assistance agency shall make payments directly to the company. If, on April thirtieth, a customer has been in compliance with the requirements of subparagraphs (A) to (C), inclusive, of this subdivision, during the period starting on the preceding November first, or from such time as the customer's account becomes delinquent, the company shall deduct from such customer's delinquent account an additional amount equal to the amount of money paid by the customer between the preceding November first and April thirtieth and paid on behalf of the customer through the Connecticut energy assistance program and state appropriated fuel assistance program. Any customer in compliance with the requirements of subparagraphs (A) to (C), inclusive, of this subdivision, on April thirtieth who continues to comply with an amortization agreement through the succeeding October thirty-first, shall also have an amount equal to the amount paid pursuant to such agreement and any amount paid on behalf of such customer between May first and the succeeding October thirty-first deducted from the customer's delinquent account. In no event shall the deduction of any amounts pursuant to this subdivision result in a credit balance to the customer's account. No customer shall be denied the benefits of this subdivision due to an error by the gas company. The Department of Public Utility Control shall allow the amounts deducted from the customer's account pursuant to the implementation plan, described in subdivision (5) of this subsection, to be recovered by the company in its rates as an operating expense, pursuant to said implementation plan. If the customer fails to comply with the terms of the amortization agreement or any decision of the department rendered in lieu of such agreement and the requirements of subparagraphs (A) to (C), inclusive, of this subdivision, the company may terminate service to the customer, pursuant to all applicable regulations, provided such termination shall not occur between November first and April fifteenth.
(5) Each gas company shall submit to the Department of Public Utility Control annually, on or before July first, an implementation plan which shall include information concerning amortization agreements, counseling, reinstatement of eligibility, rate impacts and any other information deemed relevant by the department. The Department of Public Utility Control may, in consultation with the Office of Policy and Management, approve or modify such plan within ninety days of receipt of the plan. If the department does not take any action on such plan within ninety days of its receipt, the plan shall automatically take effect at the end of the ninety-day period, provided the department may extend such period for an additional thirty days by notifying the gas company before the end of the ninety-day period. Any amount recovered by a company in its rates pursuant to this subsection shall not include any amount approved by the Department of Public Utility Control as an uncollectible expense. The department may deny all or part of the recovery required by this subsection if it determines that the company seeking recovery has been imprudent, inefficient or acting in violation of statutes or regulations regarding amortization agreements.
(6) On or after January 1, 1993, the Department of Public Utility Control may require gas companies to expand the provisions of subdivisions (4) and (5) of this subsection to all hardship customers. Any such requirement shall not be effective until November 1, 1993.
(7) (A) All electric, electric distribution and gas companies, electric suppliers and municipal utilities furnishing electricity or gas shall collaborate in developing, subject to approval by the Department of Public Utility Control, standard provisions for the notice of delinquency and impending termination under subsection (a) of section 16- 262d. Each such company and utility shall place on the front of such notice a provision that the company, electric supplier or utility shall not effect termination of service to a residential dwelling for nonpayment of disputed bills during the pendency of any complaint. In addition, the notice shall state that the customer must pay current and undisputed bill amounts during the pendency of the complaint. (B) At the beginning of any discussion with a customer concerning a reasonable amortization agreement, any such company or utility shall inform the customer (i) of the availability of a process for resolving disputes over what constitutes a reasonable amortization agreement, (ii) that the company, electric supplier or utility will refer such a dispute to one of its review officers as the first step in attempting to resolve the dispute and (iii) that the company, electric supplier or utility shall not effect termination of service to a residential dwelling for nonpayment of a delinquent account during the pendency of any complaint, investigation, hearing or appeal initiated by the customer, unless the customer fails to pay undisputed bills, or undisputed portions of bills, for service received during such period. (C) Each such company, electric supplier and utility shall inform and counsel all customers who are hardship cases as to the availability of all public and private energy conservation programs, including programs sponsored or subsidized by such companies and utilities, eligibility criteria, where to apply, and the circumstances under which such programs are available without cost.
(8) The Department of Public Utility Control shall adopt regulations in accordance with chapter 54 to carry out the provisions of this subsection. Such regulations shall include, but not be limited to, criteria for determining hardship cases and for reasonable amortization agreements, including appeal of such agreements, for categories of customers. Such regulations may include the establishment of a reasonable rate of interest which a company may charge on the unpaid balance of a customer's delinquent bill and a description of the relationship and responsibilities of electric suppliers to customers.
(c) Each electric, electric distribution and gas company, electric supplier and municipal utility shall, not later than December first, annually, submit a report to the department and the General Assembly indicating (1) the number of customers in each of the following categories and the total delinquent balances for such customers as of the preceding April fifteenth: (A) Customers who are hardship cases and (i) who made arrangements for reasonable amortization agreements, (ii) who did not make such arrangements and (B) customers who are nonhardship cases and who made arrangements for reasonable amortization, (2) (A) the number of heating customers receiving energy assistance during the preceding heating season and the total amount of such assistance and (B) the total balance of the accounts of such customers after all energy assistance is applied to the accounts, (3) the number of hardship cases reinstated between November first of the preceding year and April fifteenth of the same year, the number of hardship cases terminated between April fifteenth of the same year and November first and the number of hardship cases reinstated during each month from April to November, inclusive, of the same year, (4) the number of reasonable amortization agreements executed and the number breached during the same year by (A) hardship cases and (B) nonhardship cases and (5) the number of accounts of (A) hardship cases and (B) nonhardship cases for which part or all of the outstanding balance is written off as uncollectible during the preceding year and the total amount of such uncollectibles.
(d) Nothing in this section shall (1) prohibit a public service company, electric supplier or municipal utility from terminating residential utility service upon request of the customer or in accordance with section 16-262d upon default by the customer on an amortization agreement or collecting delinquent accounts through legal processes, including the processes authorized by section 16-262f, or (2) relieve such company, electric supplier or municipal utility of its responsibilities set forth in sections 16-262d and 16-262e to occupants of residential dwellings or, with respect to a public service company or electric supplier, the responsibilities set forth in section 19a-109.
(e) No provision of the Freedom of Information Act, as defined in section 1-200, shall be construed to require or permit a municipal utility furnishing electric, gas or water service, a municipality furnishing water or sewer service, a district established by special act or pursuant to chapter 105 and furnishing water or sewer service or a regional authority established by special act to furnish water or sewer service to disclose records under the Freedom of Information Act, as defined in section 1-200, which identify or could lead to identification of the utility usage or billing information of individual customers, to the extent such disclosure would constitute an invasion of privacy.
(f) If an electric supplier suffers a loss of revenue by operation of this section, the supplier may make a claim for such revenue to the department. The electric distribution company shall reimburse the electric supplier for such losses found to be reasonable by the department at the lower of (1) the price of the contract between the supplier and the customer, or (2) the electric distribution company's price to customers for default service, as determined by the department. The electric distribution company may recover such reimbursement, along with transaction costs, through the systems benefits charge.
(1969, P.A. 194, S. 1; P.A. 75-625, S. 2, 8; P.A. 79-362, S. 1, 2; P.A. 83-505, S. 1, 3; P.A. 90-338; P.A. 91-150, S. 1, 2; P.A. 95-39, S. 1, 3; 95-274, S. 2; P.A. 96-46, S. 3; 96-204; P.A. 97-9, S. 1, 2; 97-20, S. 1, 2; 97-47, S. 32; P.A. 98-28, S. 38, 117; P.A. 99-222, S. 14, 19.)
History: P.A. 75-625 included telephone companies and service and municipal utilities providing gas, electric, telephone or water service in provisions and added "notwithstanding" phrase; P.A. 79-362 prohibited cessation of services to any customer because of delinquent payment "within one hour before the closing" of business office and added Subsecs. (b) and (c); P.A. 83-505 relettered Subdiv. (4) of Subsec. (b) to Subdiv. (5) and inserted new Subdiv. (4) setting forth requirements re notice to customers of termination and reasonable amortization agreement procedures and energy conservation programs and relettered Subsec. (c) as Subsec. (d) and inserted new Subsec. (c) requiring companies and utilities to submit annual report consisting of data re delinquencies and terminations; P.A. 90-338 added Subsec. (e) re nondisclosure of certain customer information; P.A. 91-150 inserted new Subdivs. (4), (5) and (6) in Subsec. (b) establishing procedures which allow a gas company to deduct moneys from a customer's bill upon compliance with certain conditions and authorizing gas companies to include such moneys deducted as an operating expense, requiring each gas company to annually submit a report to the department concerning the procedures and authorizing the department to expand the procedures to apply to all hardship customers, renumbering as necessary; P.A. 95-39 amended Subsec. (a) by dividing Subsec. into Subdivs. and adding proviso in Subdiv. (1) re nonresidential accounts, effective July 1, 1995; P.A. 95-274 amended Subsec. (b) by adding provision in Subdiv. (1) re life-threatening termination or refusal to reinstate and in Subdiv. (3) adding definition of "household income", changing lettering and numbering and in new (iii) adding provision re federal poverty level; P.A. 96-46 amended Subsec. (b)(5) to make the approval or modification of plans by the department discretionary rather than mandatory and to add provision re effect of plan if department takes no action on it; P.A. 96-204 amended Subsec. (b) to add exception in Subdiv. (1) allowing gas companies to refuse to reinstate service in certain circumstances and to make technical changes to Subdiv. (2); P.A. 97-9 amended Subsec. (a) to delete termination date of July 1, 1997, in Subdiv. (1), effective July 1, 1997; P.A. 97-20 amended Subdiv. (1) of Subsec. (b) to substitute "the preceding November first" for "April fifteenth", effective July 1, 1997; P.A. 97-47 substituted "the Freedom of Information Act, as defined in Sec. 1- 18a" for "chapter 3"; P.A. 98-28 added provisions re electric suppliers and electric distribution companies, made technical changes and added new Subsec. (f) re electric supplier losses, effective July 1, 1998; P.A. 99-222 amended Subsec. (a) by adding "certified telecommunications provider" and making a technical change, effective June 29, 1999.
Cited. 183 C. 85, 94.
Cited. 12 CA 499, 505. Cited. 25 CA 226, 228.
Subsec. (a):
Cited. 12 CA 499, 505.
Subsec. (b):
Subdiv. (1) cited. 12 CA 499, 505.

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Sec. 16-262d. Termination of residential utility service on account of nonpayment. Notice. Nontermination in event of illness during pendency of customer complaint or investigation. Amortization agreement. Appeal. Notice re credit rating information. (a) No electric, electric distribution, gas, telephone or water company, no electric supplier and no municipal utility furnishing electric, gas or water service may terminate such service to a residential dwelling on account of nonpayment of a delinquent account unless such company, electric supplier or municipal utility first gives notice of such delinquency and impending termination by first class mail addressed to the customer to which such service is billed, at least thirteen calendar days prior to the proposed termination, except that if an electric, electric distribution or gas company, electric supplier or municipal utility furnishing electric or gas service has issued a notice under this subsection but has not terminated service prior to issuing a new bill to the customer, such company, electric supplier or municipal utility may terminate such service only after mailing the customer an additional notice of the impending termination, addressed to the customer to which such service is billed either (1) by first class mail at least thirteen calendar days prior to the proposed termination or (2) by certified mail, at least seven calendar days prior to the proposed termination. In the event that multiple dates of proposed termination are provided to a customer, no such company, electric supplier or municipal utility shall terminate service prior to the latest of such dates. For purposes of this subsection, the thirteen-day periods and seven-day period shall commence on the date such notice is mailed. If such company, electric supplier or municipal utility does not terminate service within one hundred twenty days after mailing the initial notice of termination, such company, electric supplier or municipal utility shall give the customer a new notice at least thirteen days prior to termination. Every termination notice issued by a public service company, electric supplier or municipal utility shall contain or be accompanied by an explanation of the rights of the customer provided in subsection (c) of this section.
(b) No such company, electric supplier or municipal utility shall effect termination of service for nonpayment during such time as any resident of a dwelling to which such service is furnished is seriously ill, if the fact of such serious illness is certified to such company, electric supplier or municipal utility by a registered physician within such period of time after the mailing of a termination notice pursuant to subsection (a) of this section as the Department of Public Utility Control may by regulation establish, provided the customer agrees to amortize the unpaid balance of his account over a reasonable period of time and keeps current his account for utility service as charges accrue in each subsequent billing period.
(c) No such company, electric supplier or municipal utility shall effect termination of service to a residential dwelling for nonpayment during the pendency of any complaint, investigation, hearing or appeal, initiated by a customer within such period of time after the mailing of a termination notice pursuant to subsection (a) of this section as said Department of Public Utility Control may by regulation establish; provided, any telephone company during the pendency of any complaint, investigation, hearing or appeal may terminate telephone service if the amount of charges accruing and outstanding subsequent to the initiation of any complaint, investigation, hearing or appeal exceeds on a monthly basis the average monthly bill for the previous three months or if the customer fails to keep current his telephone account for all undisputed charges or fails to comply with any amortization agreement as hereafter provided.
(d) Any customer who has initiated a complaint or investigation under subsection (c) of this section shall be given an opportunity for review of such complaint or investigation by a review officer of the company, electric supplier or municipal utility other than a member of such company's, electric supplier's or municipal utility's credit department, provided the Department of Public Utility Control may waive this requirement for any company, electric supplier or municipal utility employing fewer than twenty-five full- time employees, which review shall include consideration of whether the customer should be permitted to amortize the unpaid balance of his account over a reasonable period of time. No termination shall be effected for any customer complying with any such amortization agreement, provided such customer also keeps current his account for utility service as charges accrue in each subsequent billing period.
(e) Any customer whose complaint or request for an investigation has resulted in a determination by a company, electric supplier or municipal utility which is adverse to him may appeal such determination to the Department of Public Utility Control or a hearing officer appointed by the department.
(f) If, following the receipt of a termination notice or the entering into of an amortization agreement, the customer makes a payment or payments amounting to twenty per cent of the balance due, the public service company or electric supplier shall not terminate service without giving notice to the customer, in accordance with the provisions of this section, of the conditions the customer must meet to avoid termination, but such subsequent notice shall not entitle such customer to further investigation, review or appeal by the company, electric supplier, municipal utility or department.
(g) No electric distribution, gas, telephone or water company, certified telecommunications provider, gas registrant or municipal utility furnishing electric, gas or water service shall submit to a credit rating agency, as defined in section 36a-695, any information about a residential customer's nonpayment for electric, gas, telephone, telecommunications or water service unless the customer is more than sixty days delinquent in paying for such service. In no event shall such a company, certified telecommunications provider, gas registrant or municipal utility submit to a credit rating agency any information about a residential customer's nonpayment for such service if the customer has initiated a complaint, investigation hearing or appeal with regard to such service under subsection (c) of this section that is pending before the department. If such a company, certified telecommunications provider, gas registrant or municipal utility intends to submit to a credit rating agency information about a customer's nonpayment for service, it shall, at least thirty days before submitting such information, send the customer by first class mail notification that includes the statement, "AS AUTHORIZED BY LAW, FOR RESIDENTIAL ACCOUNTS, WE SUPPLY PAYMENT INFORMATION TO CREDIT RATING AGENCIES. IF YOUR ACCOUNT IS MORE THAN SIXTY DAYS DELINQUENT, THE DELINQUENCY REPORT COULD HARM YOUR CREDIT RATING".
(P.A. 75-486, S. 1, 69; 75-625, S. 1, 8; P.A. 77-20; 77-614, S. 162, 610; P.A. 80-482, S. 116, 348; P.A. 96-141; P.A. 97-11; P.A. 98-28, S. 39, 117; 98-254; P.A. 00-41.)
History: P.A. 75-486 allowed replacement of public utilities commission with public utilities control authority where appearing in P.A. 75-625; P.A. 77-20 required thirteen days' notice of termination rather than seven days' notice and made period begin on date notice mailed; P.A. 77-614 replaced authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division of public utility control an independent department and deleted reference to abolished department of business regulation; P.A. 96-141 amended Subsec. (a) to add provision re seven days' notice and to require utilities to include an explanation of customers' rights with notice of termination; P.A. 97-11 amended Subsec. (a) to add Subdiv. designators, adding Subdiv. (1) re thirteen-day notice by first class mail, and designating as Subdiv. (2) existing language re seven-day notice by certified mail and restated provision re termination when multiple notices of proposed termination are provided to customer; P.A. 98-28 added electric suppliers and electric distribution companies and made technical changes, effective July 1, 1998; P.A. 98-254 added new Subsec. (g) re provision of information concerning residential customers to credit rating agencies; P.A. 00-41 amended Subsec. (g) by making provisions apply to electric distribution companies, certified telecommunications providers and gas registrants and by adding provisions re credit rating notification to customers.
Cited. 183 C. 85, 94.
Cited. 12 CA 499, 505. Cited. 25 CA 226, 228.
Subsec. (a):
Cited. 12 CA 499, 505.

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Sec. 16-262e. Notice furnished tenants re intended termination of utility service. Assumption by tenants of liability for future service. Liability of landlords for certain utility services. Deduction from rent. (a) Notwithstanding the provisions of section 16-262d, wherever an owner, agent, lessor or manager of a residential dwelling is billed directly by an electric, electric distribution, gas, telephone or water company or by a municipal utility for utility service furnished to such building not occupied exclusively by such owner, agent, lessor, or manager, and such company or municipal utility or the electric supplier providing electric generation services has actual or constructive knowledge that the occupants of such dwelling are not the individuals to whom the company or municipal utility usually sends its bills, such company, electric supplier or municipal utility shall not terminate such service for nonpayment of a delinquent account owed to such company, electric supplier or municipal utility by such owner, agent, lessor or manager unless: (1) Such company, electric supplier or municipal utility makes a good faith effort to notify the occupants of such building of the proposed termination by the means most practicable under the circumstances and best designed to provide actual notice; and (2) such company, electric supplier or municipal utility provides an opportunity, where practicable, for such occupants to receive service in their own names without any liability for the amount due while service was billed directly to the lessor, owner, agent or manager and without the necessity for a security deposit; provided, if it is not practicable for such occupants to receive service in their own names, the company, electric supplier or municipal utility shall not terminate service to such residential dwelling but may pursue the remedy provided in section 16-262f.
(b) Whenever a company, electric supplier or municipal utility has terminated service to a residential dwelling whose occupants are not the individuals to whom it usually sends its bills, such company, electric supplier or municipal utility shall, upon obtaining knowledge of such occupancy, immediately reinstate service and thereafter not effect termination unless it first complies with the provisions of subsection (a) of this section.
(c) The owner, agent, lessor or manager of a residential dwelling shall be liable for the costs of all electricity, gas, water or heating fuel furnished by a public service company, electric supplier, municipal utility or heating fuel dealer to the building, except for any service furnished to any dwelling unit of the building on an individually metered or billed basis for the exclusive use of the occupants of that dwelling unit. If service is not provided on an individually metered or billed basis and the owner, agent, lessor or manager fails to pay for such service, any occupant who receives service in his own name may deduct, in accordance with the provisions of subsection (d) of this section, a reasonable estimate of the cost of any portion of such service which is for the use of occupants of dwelling units other than such occupant's dwelling unit.
(d) Any payments made by the occupants of any residential dwelling pursuant to subsection (a) or (c) of this section shall be deemed to be in lieu of an equal amount of rent or payment for use and occupancy and each occupant shall be permitted to deduct such amounts from any sum of rent or payment for use and occupancy due and owing or to become due and owing to the owner, agent, lessor or manager.
(e) Wherever a company, electric supplier or municipal utility provides service pursuant to subdivision (2) of subsection (a), the company, electric supplier or municipal utility shall notify each occupant of such building in writing that service will be provided in the occupant's own name. Such writing shall contain a conspicuous notice in boldface type stating,
"NOTICE TO OCCUPANT. YOU MAY DEDUCT THE FULL AMOUNT YOU PAY (name of company or municipal utility) FOR (type of service) FROM THE MONEY YOU PAY YOUR LANDLORD OR HIS AGENT."
(f) The owner, agent, lessor or manager shall not increase the amount paid by such occupant for rent or for use and occupancy in order to collect all or part of that amount lawfully deducted by the occupant pursuant to this section.
(g) Nothing in this section shall be construed to prevent the company, electric supplier, municipal utility, heating fuel dealer or occupant from pursuing any other action or remedy at law or equity that it may have against the owner, agent, lessor, or manager.
(P.A. 75-625, S. 3, 8; P.A. 84-321; P.A. 98-28, S. 40, 117.)
History: P.A. 84-321 inserted new Subsec. (c) re liability of landlords for electricity, gas, water and heating fuel not furnished on an individually metered or billed basis, relettering former Subsecs. (c) through (f) accordingly; P.A. 98-28 added electric suppliers and electric distribution companies and made technical changes, effective July 1, 1998.
Cited. 183 C. 85, 94.
Cited. 12 CA 499, 505. Cited. 25 CA 177, 180; Id., 226, 228, 229.
Subsec. (a):
Cited. 191 C. 514, 518, 519. Cited. 231 C. 441, 445, 446. Cited. 239 C. 313.
Cited. 12 CA 499, 505. Subdiv. (2) cited. 25 CA 226, 228. Cited. Id., 226 −228.
Subsec. (c):
A nursing home is not a "residential dwelling" within context of statute. 25 CA 177−180.

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Sec. 16-262f. Action for receivership of rents and common expenses by electric, electric distribution, gas and telephone companies; petition; hearing; appointment; duties; termination. (a) (1) Upon default of the owner, agent, lessor or manager of a residential dwelling who is billed directly by an electric, electric distribution, gas or telephone company or by a municipal utility for electric or gas utility service furnished to such building, such company or municipal utility or electric supplier providing electric generation services may petition the Superior Court or a judge thereof, for appointment of a receiver of the rents or payments for use and occupancy or common expenses, as defined in section 47-202, for any dwelling for which the owner, agent, lessor or manager is in default. The court or judge shall forthwith issue an order to show cause why a receiver should not be appointed, which shall be served upon the owner, agent, lessor or manager or his agent in a manner most reasonably calculated to give notice to such owner, agent, lessor or manager as determined by such court or judge, including, but not limited to, a posting of such order on the premises in question.
(2) A hearing shall be had on such order no later than seventy-two hours after its issuance or the first court day thereafter. The sole purpose of such a hearing shall be to determine whether there is an amount due and owing between the owner, agent, lessor or manager and the company, electric supplier or municipal utility. The court shall make a determination of any amount due and owing and any amount so determined shall constitute a lien upon the real property of such owner. A certificate of such amount may be recorded in the land records of the town in which such property is located describing the amount of the lien and the name of the party in default. When the amount due and owing has been paid the company, electric supplier or municipality shall issue a certificate discharging the lien and shall file the certificate in the land records of the town in which such lien was recorded.
(3) The receiver appointed by the court shall collect all rents or payments for use and occupancy or common expenses forthcoming from the occupants of the building in question in place of the owner, agent, lessor or manager.
(4) The receiver shall pay the petitioner or other supplier, from such rents or payments for use and occupancy or common expenses for electric, gas, telephone, water or heating oil supplied on and after the date of his appointment. The owner, agent, lessor or manager shall be liable for such reasonable fees and costs determined by the court to be due the receiver, which fees and costs may be recovered from the rents or payments for use and occupancy under the control of the receiver, provided no such fees or costs shall be recovered until after payment for current electric, gas, telephone and water service and heating oil deliveries has been made. The owner, agent, lessor or manager shall be liable to the petitioner for reasonable attorney's fees and costs incurred by the petitioner, provided no such fees or costs shall be recovered until after payment for current electric, gas, telephone and water service and heating oil deliveries has been made and after payments of reasonable fees and costs to the receiver. Any moneys from rental payments or payments for use and occupancy or common expenses remaining after payment for current electric, gas, telephone and water service or heating oil deliveries, and after payment for reasonable costs and fees to the receiver, and after payment to the petitioner for reasonable attorney's fees and costs, shall be applied to any arrearage found by the court to be due and owing the company, electric supplier or municipal utility from the owner, agent, lessor or manager for service provided such building. Any moneys remaining thereafter shall be turned over to the owner, agent, lessor or manager. The court may order an accounting to be made at such times as it determines to be just, reasonable, and necessary.
(b) Any receivership established pursuant to subsection (a) shall be terminated by the court upon its finding that the arrearage which was the subject of the original petition has been satisfied, or that all occupants have agreed to assume liability in their own names for prospective service supplied by the petitioner, or that the building has been sold and the new owner has assumed liability for prospective service supplied by the petitioner.
(c) Nothing in this section shall be construed to prevent the petitioner from pursuing any other action or remedy at law or equity that it may have against the owner, agent, lessor or manager.
(d) Any owner, agent, lessor or manager who collects or attempts to collect any rent or payment for use and occupancy from any occupant of a building subject to an order appointing a receiver shall be found, after due notice and hearing, to be in contempt of court.
(e) If a proceeding is initiated pursuant to sections 47a-14a to 47a-14h, inclusive, or sections 47a-56 to 47a-56i, inclusive, or if a receiver of rents is appointed pursuant to chapter 735a or pursuant to any other action involving the making of repairs to residential rental property under court supervision, rent or use and occupancy payments shall be made pursuant to such proceeding or action without regard to whether such proceeding or action is initiated before or after a receivership is established under this section, and such proceeding or action shall take priority over a receivership established under this section in regard to expenditure of such rent or use and occupancy payments.
(P.A. 75-625, S. 4, 8; P.A. 77-452, S. 51, 72; P.A. 84-394, S. 1; P.A. 89-254, S. 15; P.A. 91-310, S. 2; P.A. 98-28, S. 41, 117; 98-102, S. 1.)
History: P.A. 77-452 replaced court of common pleas with superior court and deleted phrase which had limited judge's power to act to time when court not in session; P.A. 84-394 inserted references to payment for heating oil in Subsec. (a); P.A. 89-254 added Subsec. (e) re the payment and expenditure of rent or use and occupancy payments made pursuant to certain proceedings or actions in relation to receiverships established under this section; P.A. 91-310 added provision allowing companies or municipal utilities to obtain a lien against parties in default; P.A. 98-28 amended Subsec. (a) by adding electric suppliers and electric distribution companies, effective July 1, 1998; P.A. 98-102 amended Subsec. (a) by inserting Subdiv. indicators, deleting water companies and inserting "common expenses".
Cited. 183 C. 85 et seq. Provisions of this statute which do not provide exemption for public housing authorities had to prevail over those earlier enacted in Sec. 8-65. 191 C. 514, 516−522. Cited. 196 C. 172, 183. Cited. 231 C. 441, 442, 445−448, 450, 451. Cited. 239 C. 313.
Cited. 7 CA 802. Cited. 12 CA 499, 500, 503−506. Cited. 25 CA 226−230.
Remedy provided by statute is not an unconstitutional taking of private property for a public purpose; legislative intent was that receivership proceeding should be a summary proceeding, not a "civil action"; personal service by sheriff not required. 35 CS 609, 610, 612−616.
Subsec. (a):
Cited. 191 C. 514, 522, 525, 526. Cited. 231 C. 441, 444. Cited. 239 C. 313.
Cited. 12 CA 499, 503, 505. Cited. 25 CA 226, 228.
Subsec. (b):
Cited. 191 C. 514, 524−527.
Cited. 25 CA 226, 230.
Subsec. (c):
Cited. 231 C. 441, 449.
Subsec. (d):
Cited. 183 C. 85, 95.
Cited. 25 CA 226, 229.

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Sec. 16-262g. Penalty. Any wilful or malicious violation of sections 16-262c to 16-262i, inclusive, by any agent, owner, lessor, manager or any company, electric supplier or municipal utility shall be punishable by a fine of not more than five hundred dollars or imprisonment for not more than thirty days or both.
(P.A. 75-625, S. 5, 8; P.A. 98-28, S. 62, 117.)
History: P.A. 98-28 added electric suppliers, effective July 1, 1998.
Cited. 183 C. 85, 94.
Cited. 12 CA 499, 505. Cited. 25 CA 226, 228.

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Sec. 16-262h. Nonexclusivity of remedy. Nothing in sections 16-262c to 16-262i, inclusive, shall be construed to prevent the occupant of such building from pursuing any other action or remedy at law or equity that it may have against the owner, agent, lessor, manager, company, electric supplier, certified telecommunications provider or municipal utility.
(P.A. 75-625, S. 6, 8; P.A. 98-28, S. 63, 117; P.A. 99-222, S. 16, 19.)
History: P.A. 98-28 added electric suppliers, effective July 1, 1998; P.A. 99-222 added "certified telecommunications provider", effective June 29, 1999.
Cited. 183 C. 85, 94.
Cited. 12 CA 499, 505. Cited. 25 CA 226, 228.

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Sec. 16-262i. Regulations. (a) The Department of Public Utility Control shall adopt regulations necessary to carry out the purposes of sections 16-262c to 16-262h, inclusive.
(b) The department may adopt regulations in accordance with the provisions of chapter 54, setting forth the terms and conditions under which electric, electric distribution, gas, telephone and water companies, electric suppliers, certified telecommunications providers and municipal utilities furnishing electric, gas or water service may be prohibited from terminating service to a residential dwelling on account of nonpayment of a delinquent account in the name of the former spouse or spouse of the individual who occupies the dwelling, if the marriage of such individuals has been dissolved or annulled or such individuals are legally separated or have an action for dissolution or annulment of a marriage or for legal separation pending, pursuant to chapter 815j.
(P.A. 75-486, S. 1, 69; 75-625, S. 7, 8; P.A. 77-614, S. 162, 610; P.A. 80-482, S. 117, 348; P.A. 85-103; P.A. 98-28, S. 42, 117; P.A. 99-222, S. 15, 19.)
History: P.A. 75-486 replaced public utilities commission with public utilities control authority where appearing in P.A. 75-625; P.A. 77-614 replaced public utilities control authority with division of public utility control within the department of business regulation, effective January 1, 1979; P.A. 80-482 made division an independent department and deleted reference to abolished department of business regulation; P.A. 85-103 added Subsec. (b) re regulations concerning termination of utility service for persons who have separated or whose marriage has been dissolved or annulled; P.A. 98-28 added electric suppliers and electric distribution companies and made technical changes in Subsec. (b), effective July 1, 1998; P.A. 99- 222 amended Subsec. (b) by adding "certified telecommunications providers", effective June 29, 1999.
Cited. 183 C. 85, 94.
Cited. 12 CA 499, 505. Cited. 25 CA 226, 228.

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Sec. 16-262j. Refusal of residential utility service. Regulations. Refusal of telecommunications service to a candidate or committee. Interest on customer security deposits. Deposit index. (a) No public service company and no electric supplier shall refuse to provide electric, gas or water service to a residential customer based on the financial inability of such customer to pay a security deposit for such service. The Department of Public Utility Control shall adopt regulations in accordance with chapter 54 to carry out the provisions of this subsection.
(b) No telephone company and no certified telecommunications provider shall refuse to provide telecommunications service to a candidate or a committee, as defined in section 9-333a, on the grounds that such candidate, such committee or the person acting on behalf of such committee has offered to pay the security deposit for such service with a credit card.
(c) Each public service company, certified telecommunications provider and electric supplier shall pay interest on any security deposit it receives from a customer at the average rate paid, as of December 30, 1992, on savings deposits by insured commercial banks as published in the Federal Reserve Board bulletin and rounded to the nearest one-tenth of one percentage point, except in no event shall the rate be less than one and one-half per cent. On and after January 1, 1994, the rate for each calendar year shall be not less than the deposit index as defined in subsection (d) of this section for that year and rounded to the nearest one-tenth of one percentage point, except in no event shall the rate be less than one and one-half per cent.
(d) The deposit index for each calendar year shall be equal to the average rate paid on savings deposits by insured commercial banks as last published in the Federal Reserve Board bulletin in November of the prior year. The Commissioner of Banking shall determine the deposit index for each calendar year and publish such deposit index in the Department of Banking news bulletin no later than December fifteenth of the prior year. For purposes of this section, "Federal Reserve Board bulletin" means the monthly survey of selected deposits published as a special supplement to the Federal Reserve Statistical Release Publication H.6 published by the Board of Governors of the Federal Reserve System or, if such bulletin is superseded or becomes unavailable, a substantially similar index or publication.
(P.A. 79-329; P.A. 80-482, S. 4, 40, 345, 348; P.A. 83-178, S. 1, 2; P.A. 91-407, S. 34, 42; P.A. 93-242, S. 1, 2; P.A. 98-28, S. 64, 117; P.A. 99-222, S. 17, 19.)
History: P.A. 80-482 made division of public utility control an independent department and deleted reference to division's being within abolished department of business regulation; P.A. 83-178 consolidated Subsecs. (a) and (b) into Subsec. (a) and added new Subsec. (b) requiring companies to pay interest on customer security deposits at legal rate; P.A. 91-407 inserted new Subsec. (b) prohibiting telephone company from refusing service to candidate or committee on grounds that security deposit was offered to be paid with a credit card, relettering former Subsec. (b) as (c); P.A. 93-242 amended Subsec. (c) by changing the interest rate on customer security deposits from the legal rate provided in Sec. 37-1 to, from July 1, 1993, to January 1, 1994, the average rate paid on savings deposits but not less than one and one-half per cent, and, on and after January 1, 1994, not less than the deposit index, and added new Subsec. (d) defining the deposit index, effective July 1, 1993; (Revisor's note: In 1997 a reference in Subsec. (d) to "Banking Commissioner" was changed editorially by the Revisors to "Commissioner of Banking" for consistency with customary statutory usage); P.A. 98-28 added electric suppliers in Subsecs. (a) and (c), effective July 1, 1998; P.A. 99-222 amended Subsecs. (b) and (c) by adding "certified telecommunications provider", effective June 29, 1999.

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Sec. 16-262k. Interconnection of public water supply systems to relieve site- specific water shortages. The Department of Public Utility Control may require any water company as defined in section 16-1 to connect its public water supply system with that of another water company or municipal utility if it finds that such a connection would be an effective means of relieving site-specific water shortages.
(P.A. 81-358, S. 3.)

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Sec. 16-262l. Receivership of water companies for failure to provide adequate service. Personal liability of directors, officers and managers. (a) As used in this section, "water company" includes every corporation, company, association, joint stock association, partnership or person, or lessee thereof, except an association providing water only to its members, owning, leasing, maintaining, operating, managing or controlling any pond, lake, reservoir, stream, well or distributing plant or system employed for the purpose of supplying water to twenty-five or more consumers on a regular basis, provided if any corporation, company, association, joint stock association, partnership or person, or lessee thereof, owns or controls eighty per cent of the equity value of more than one such water supply system, the number of consumers shall, for the purposes of this definition, be the total number of consumers of all such systems so controlled by that corporation, company, association, joint stock association, partnership or person, or lessee thereof.
(b) If the Department of Public Utility Control determines, after notice and hearing, that any water company is unable or unwilling to provide adequate service to its consumers, the department may petition the superior court for any judicial district wherein the company conducts its business for an order attaching the assets of the company and placing it under the sole control and responsibility of a receiver.
(c) Notwithstanding the provisions of subsection (b) of this section, the Department of Public Utility Control, the Department of Public Health, the municipality served by a water company or an organization representing twenty per cent of the consumers of the company may, upon notice to the company, petition the Superior Court for an order attaching the assets of the water company and placing it under the sole control and responsibility of a receiver, if (1) the company has failed to supply water to consumers for at least five days during the preceding three months, (2) the Department of Public Health determines that the company has not met the standards adopted under section 25-32 for the quantity and quality of public drinking water or (3) the petitioner has reasonable cause to believe the consumers of the company have not received and are unlikely to receive adequate service due to gross mismanagement of the company. Upon the filing of such a petition, the court shall order the company to show cause why such an order of attachment and receivership should not issue ten days from the date of service of the order to show cause upon the company at its last known address.
(d) Any receiver appointed by the court shall file a bond in accordance with section 52-506 unless the court finds it unnecessary. The receiver shall operate the company to preserve its assets and to serve the best interests of its consumers. If the receiver determines that the water company's actions which caused it to be placed under the control and responsibility of the receiver under subsection (b) or (c) of this section were due to misappropriation or wrongful diversion of the assets or income of such company or to other wilful misconduct by any director, officer or manager of the company, the receiver shall file a petition, with the superior court that issued the order of attachment and receivership, for an order that such director, officer or manager be ordered to pay compensatory damages to the company by reason of such misappropriation, diversion or misconduct.
(e) The Department of Public Utility Control shall determine the value of the assets of a water company at the time of appointment of a receiver and immediately prior to return of the assets to the owner. The claim of the owner of the company shall be limited to the value determined at the time of the appointment of the receiver. The assets shall be returned to the owner after full restitution has been made to the receiver for the value of any improvements to the system and after payment has been made for any appraisal pursuant to this subsection.
(P.A. 81-358, S. 4; P.A. 82-472, S. 51, 183; P.A. 83-542; P.A. 84-330, S. 7; P.A. 93-381, S. 9, 39; P.A. 95-257, S. 12, 21, 58; 95-329, S. 8, 31.)
History: P.A. 82-472 made technical correction in Subsec. (a); P.A. 83-542 added Subsec. (c), allowing, in addition to department, municipalities and organizations representing water company consumers to petition superior court for receivership in certain situations and providing for expedited judicial proceedings in such situations and added provisions in Subsec. (d) allowing receiver to petition superior court in certain situations for order that director, officer or manager pay compensatory damages to company; P.A. 84-330 added Subsec. (e) re valuation of assets of water company; P.A. 93- 381 replaced department of health services with department of public health and addiction services, effective July 1, 1993; P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995; P.A. 95-329 added in Subsec. (c), Department of Public Health and Addiction Services [sic] to the list of those who may petition Superior Court, and in Subdiv. (2) of Subsec. (c) added "quantity" to the reference to adopted standards, effective July 1, 1995.

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Sec. 16-262m. Construction specifications for water companies. (a) As used in this section and section 8-25a, "water company" means a corporation, company, association, joint stock association, partnership, municipality, other entity or person, or lessee thereof, owning, leasing, maintaining, operating, managing or controlling any pond, lake, reservoir, stream, well or distributing plant or system employed for the purpose of supplying water to fifteen or more service connections or twenty-five or more persons on a regular basis.
(b) No water company may begin the construction of a water supply system, and no water company, except a water company supplying more than two hundred fifty service connections or one thousand persons, may begin expansion of a water supply system without having first obtained a certificate of public convenience and necessity for the construction or expansion from the Department of Public Utility Control and the Department of Public Health. An application for a certificate shall be on a form prescribed by the Department of Public Utility Control in consultation with the Department of Public Health and accompanied by a copy of the water company's construction or expansion plans and a fee of one hundred dollars. The departments shall issue a certificate to an applicant upon determining, to their satisfaction, that (1) no feasible interconnection with an existing system is available to the applicant, (2) the applicant will complete the construction or expansion in accordance with engineering standards established by regulation by the Department of Public Utility Control for water supply systems, (3) the applicant has the financial, managerial and technical resources to operate the proposed water supply system in a reliable and efficient manner and to provide continuous adequate service to consumers served by the system, (4) the proposed construction or expansion will not result in a duplication of water service in the applicable service area and (5) the applicant meets all federal and state standards for water supply systems, provided subdivisions (1) and (4) of this subsection shall not apply to any water supply system (A) owned and operated or proposed to be owned and operated, by a municipality, municipal district or regional water authority, (B) owned by a municipality, municipal district or regional water authority and operated, or proposed to be operated, on its behalf by an operator that has obtained all required certifications from the Department of Public Health, including but not limited to certifications required by regulations established pursuant to section 25-32, or (C) owned or operated by a nonprofit corporation on behalf of one or more municipalities for the purpose of providing water service to an elderly housing project which has obtained all required certifications from the Department of Public Health, including but not limited to certifications required by regulations established pursuant to section 25-32. Nothing in this section shall prevent a municipality, municipal district or regional water authority from voluntarily transferring ownership of a water supply system to another water company, a municipal public service company or regional water authority. Any construction or expansion with respect to which a certificate is required shall thereafter be built, maintained and operated in conformity with the certificate and any terms, limitations or conditions contained therein.
(c) The Department of Public Utility Control, in consultation with the Department of Public Health, shall adopt regulations in accordance with the provisions of chapter 54 to carry out the purposes of this section.
(P.A. 81-427, S. 1, 3; P.A. 84-330, S. 1; P.A. 86-247, S. 1, 2; P.A. 93-245; 93-381, S. 9, 39; 93-435, S. 59, 95; P.A. 94-219, S. 3; P.A. 95-257, S. 12, 21, 58; P.A. 98-250, S. 22, 39.)
History: P.A. 84-330 amended Subsec. (a) to apply definition of water company "to sections 16-262n to 16-262q, inclusive, and section 8-25a", to include municipalities in such definition and to expand the definition by including companies supplying water to not less than fifteen service connections or twenty-five persons nor more than two hundred fifty service connections or one thousand persons, amended Subsec. (b) to require, as a condition for issuing a certificate that determination be made that no feasible interconnection with an existing system is available and that applicant meets all federal and state standards for community water supply and amended Subsecs. (b) and (c) to require departments of public utility control and health services to jointly carry out purposes of the section; P.A. 86-247 added provision in Subsec. (b) re certificate for a community water supply system for an elderly housing project; P.A. 93-245 amended Subsec. (b) by deleting exception for elderly housing projects and adding provisions regarding excepted community water supply systems and voluntarily transferring ownership of community water supply systems; P.A. 93-381 and 93-435 replaced department of health services with department of public health and addiction services, effective July 1, 1993; P.A. 94-219 made a technical change in Subsec. (a); P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995; P.A. 98-250 amended Subsec. (a) to delete "nor more than two hundred fifty service connections or one thousand persons", amended Subsec. (b) to add exception re "a water company supplying more than two hundred fifty service connections or one thousand persons" and delete reference to "community" water supply systems, and made technical changes, effective July 1, 1998.
Cited. 44 CS 34−38.

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Sec. 16-262n. Definition. Economic viability of water companies. Reviews. Failure to comply with orders. Hearings. (a) As used in this section, sections 16- 262o to 16-262q, inclusive, and section 16-262s, "water company" means a corporation, company, association, joint stock association, partnership, municipality, other entity or person, or lessee thereof, owning, leasing, maintaining, operating, managing or controlling any pond, lake, reservoir, stream, well or distributing plant or system employed for the purpose of supplying water to not less than two service connections or twenty-five persons.
(b) The Department of Public Utility Control, in consultation with the Department of Public Health and the Department of Environmental Protection, may review the economic viability of a water company, except a municipal water company, based upon performance measures of the company's stability and financial condition, technical and managerial expertise and efficiency, and physical condition and capacity of plant. The Department of Public Utility Control shall make recommendations for improvement or provide counseling to a reviewed water company to assist in improving the company's economic viability.
(c) Whenever any water company fails to comply with an order issued pursuant to section 16-11, 25-32, 25-33 or 25-34, concerning the availability or potability of water or the provision of water at adequate volume and pressure, or if the Department of Public Utility Control determines a water company does not possess economic viability pursuant to subsection (b) of this section, the Department of Public Utility Control, the Department of Public Health and, when its participation is required, the Department of Environmental Protection, may, or following a request from a water company filed pursuant to section 16-46, shall, after notice to public and private water companies, municipal utilities furnishing water service, municipalities or other appropriate governmental agencies in the service area of the water company, conduct a hearing in accordance with the provisions of sections 4-176e, 4-177, 4-177c and 4-180 to determine the actions that may be taken and the expenditures that may be required, including the acquisition of the water company by a suitable public or private entity, to assure the availability and potability of water and the provision of water at adequate volume and pressure to the persons served by the water company at a reasonable cost.
(P.A. 84-330, S. 2; P.A. 88-317, S. 64, 107; P.A. 93-381, S. 9, 39; P.A. 94-219, S. 4; P.A. 95-118, S. 4; 95-174, S. 1; 95-257, S. 12, 21, 58; P.A. 97-69, S. 1, 3.)
History: P.A. 88-317 added references to Secs. 4-176e, 4-177c and 4-180, effective July 1, 1989, and applicable to all agency proceedings commencing on or after that date; P.A. 93-381 replaced department of health services with department of public health and addiction services, effective July 1 1993; P.A. 94-219 made existing section Subsec. (b) and added provisions as Subsec. (a) defining water company for purposes of Secs. 12-262n to 12-262q, inclusive; P.A. 95-118 in Subsec. (a) changed the reference from "sections 12-262n to 12-262q" to "sections 12-262o to 12-262q" and added provision in Subsec. (b) re request from a water company pursuant to Sec. 16-46; P.A. 95-174 amended Subsec. (a) by correcting reference from "12-262n to 12-262q" to "16-262n to 16-262q" and changing fifteen service connections to two service connections, inserted new Subsec. (b) re economic viability of water companies, relettered existing Subsec. (b) as (c), adding provisions re economic viability and Department of Environmental Protection and inserting "at a reasonable cost"; P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995; P.A. 97-69 added reference to Sec. 16-262s in Subsec. (a) and substituted "a suitable" for "the most suitable" in Subsec. (c), effective July 1, 1997.

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Sec. 16-262o. Acquisition of water company ordered by department. Rates and charges. Recovery of acquisition costs. (a) The Department of Public Utility Control, in consultation with the Department of Public Health, upon a determination that the costs of improvements to and the acquisition of the water company are necessary and reasonable, shall order the acquisition of the water company by the most suitable public or private entity. In making such determination, the department shall consider: (1) The geographical proximity of the plant of the acquiring entity to the water company, (2) whether the acquiring entity has the financial, managerial and technical resources to operate the water company in a reliable and efficient manner and to provide continuous, adequate service to the persons served by the company, (3) the current rates that the acquiring entity charges its customers, and (4) any other factors the department deems relevant. Such order shall authorize the recovery through rates of all reasonable costs of acquisition and necessary improvements. A public entity acquiring a water company beyond the boundaries of such entity may charge customers served by the acquired company for water service and may, to the extent appropriate, as determined by the governing body of the public entity, recover through rates all reasonable costs of acquisition and necessary improvements.
(b) Notwithstanding the provisions of any special act, the Department of Public Utility Control shall extend the franchise areas of the acquiring water company to the service area of the water company acquired pursuant to this section.
(c) On and after December 1, 1989, in the case of any proposed acquisition of a water company for which the Department of Public Utility Control has provided notice of a hearing pursuant to section 16-262n, the department may, to encourage and facilitate such acquisition, and shall, if it orders such acquisition, require the acquiring water company, as defined in section 16-1, to implement, and revise quarterly thereafter, a rate surcharge applied to the rates of the acquired water company or of both the acquiring water company and the acquired water company, as determined by the department, that would recover on a current basis all costs of such acquisition and of needed improvements to the acquired water company's system. Such surcharge may be designed to recover one hundred per cent of the revenues necessary to provide a net after-tax return on investment actually made in the acquisition and improvement of the acquired water company, at a rate of return equivalent to that authorized for the acquiring water company in its last general rate proceeding. The department shall, not later than December 1, 1989, adopt regulations, in accordance with chapter 54, to carry out the purposes of this section.
(P.A. 84-330, S. 3; P.A. 89-261, S. 3, 4; P.A. 93-380, S. 1, 19; 93-381, S. 9, 39; P.A. 94-219, S. 5; P.A. 95-257, S. 12, 21, 58.)
History: P.A. 89-261 added new Subsec. (d) re recovery of costs of acquisition of a water company; P.A. 93-380 amended Subsec. (a) by specifying the public entity determines when recovering costs through rates is appropriate, deleted Subsec. (c) regarding rates charged customers of water company acquired by public entity, relettered Subsec. (d) as (c) and amended provisions to define acquiring water companies as those defined in Sec. 16-1, effective June 30, 1993; P.A. 93-381 replaced department of health services with department of public health and addiction services, effective July 1, 1993; P.A. 94-219 in Subsec. (a) added a new Subdiv. (3) requiring the department to consider the current rates that the acquiring entity charges its customers and renumbered the remaining Subdiv. accordingly; P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995.
Cited. 219 C. 121, 131.

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Sec. 16-262p. Improvements by acquiring entity. Any recipient of an order pursuant to section 16-262o shall make improvements it determines are necessary within a reasonable time after transfer of the company to the acquiring entity to assure the availability and potability of water and the provision of water at adequate volume and pressure to the persons served by the water company. The water company shall immediately take the steps necessary for the transfer of the company to the acquiring company, municipal water authority, municipality or other public or private entity.
(P.A. 84-330, S. 4; P.A. 93-380, S. 2, 19.)
History: P.A. 93-380 specified that the recipient determines what improvements are necessary and that they be made within a reasonable time, effective June 30, 1993.
Cited. 219 C. 121, 131, 132.

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Sec. 16-262q. Compensation for acquisition of water company. Compensation for the acquisition of a water company pursuant to section 16-262o shall be determined by the procedures for determining compensation under section 25-42 or by agreement between the parties, provided the Department of Public Utility Control in consultation with the Department of Public Health, after a hearing, approves such agreement. The provisions of this section shall not apply to the sale of a private water company to a municipally owned and operated water company providing service in such municipality. In such cases, if the parties determine compensation for such acquisition by agreement the sale may proceed without the approval of the Department of Public Utility Control.
(P.A. 84-330, S. 5; P.A. 93-381, S. 9, 39; May Sp. Sess. P.A. 94-4, S. 11, 85; P.A. 95-160, S. 64, 69; 95-257, S. 12, 21, 58.)
History: P.A. 93-381 replaced department of health services with department of public health and addiction services, effective July 1, 1993; May Sp. Sess. P.A. 94-4 exempted sales of private water companies to a municipally owned and operated water company, effective June 9, 1994; P.A. 95-160 revised effective date of May Sp. Sess. P.A. 94-4 but without affecting this section; P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995.
Cited. 219 C. 121, 131, 132.

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Sec. 16-262r. Satellite management of water companies. Expedited rate proceedings. (a) As used in this section:
(1) "Provider water company" means a water company, as defined in section 16- 1, which provides satellite management services.
(2) "Recipient water company" means a water company, as defined in section 25- 32a, which receives satellite management services.
(3) "Satellite management services" includes any of the following services relating to public water systems: Operation, maintenance, administration, emergency and scheduled repairs, monitoring and reporting, billing, operator training and the purchase of supplies and equipment.
(b) A provider water company may provide satellite management services to a recipient water company.
(c) In any proceeding pursuant to section 16-19 on a rate amendment proposed by a provider water company, the Department of Public Utility Control shall review any revenue derived and expenses incurred from satellite management services provided by the provider water company, and the department, if it deems appropriate, may deem such revenue and expenses to be excluded for purposes of rate-making under said section 16-19.
(d) The department, if it deems appropriate, may equalize the rates charged to customers by a provider water company and a recipient water company having fifty or more consumers, which are participating in a satellite management services arrangement. The department may phase in such equalization over a period of time.
(e) Notwithstanding any provision of subdivision (4) of subsection (a) of section 16-19e, the department, if it deems appropriate, may award a premium rate of return to a provider water company, in accordance with the provisions of subdivisions (1), (2), (3) and (5) of subsection (a) of section 16-19e, on any water system which the company voluntarily acquires or acquires pursuant to an order issued under section 16-262o.
(P.A. 85-259, S. 1.)
Subsec. (d):
Cited. 219 C. 121, 127.

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Sec. 16-262s. Voluntary acquisition of water company. Surcharges. In the case of a proposed acquisition of a water company that is not economically viable, as determined by the Department of Public Utility Control in accordance with the criteria provided in subsection (b) of section 16-262n, by a water company that is economically viable, as determined by the department in accordance with said criteria, upon petition of the acquiring water company and after notice and hearing, the department may allow the acquiring water company to implement, and revise quarterly thereafter, a rate surcharge applied to the rates of the acquired water company or of both the acquiring water company and the acquired water company, as determined by the department, that would recover on a current basis those costs of such acquisition and of needed improvements to the acquired water company's system, to the extent the department deems such costs appropriate. The regulations adopted by the department pursuant to section 16-262o shall apply for purposes of this section.
(P.A. 97-69, S. 2, 3.)
History: P.A. 97-69 effective July 1, 1997.

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Sec. 16-262t. Action for receivership of rent and common expenses by water companies; petition; hearing; appointment; duties; termination. (a) (1) Upon default of the owner, agent, lessor or manager of a residential dwelling or dwellings who is billed directly by a water company or by a municipal water utility for water service furnished to such building or buildings, such company or municipal utility may petition the Superior Court or a judge thereof, for appointment of a receiver of the rents or payments for use and occupancy or common expenses, as defined in section 47-202, for any dwelling or dwellings for which the owner, agent, lessor or manager is in default. The court or judge shall forthwith issue an order to show cause why a receiver should not be appointed, which shall be served upon the owner, agent, lessor or manager or his agent in a manner most reasonably calculated to give notice to such owner, agent, lessor or manager as determined by such court or judge, including, but not limited to, a posting of such order on the premises in question. If a petition or petitions are filed by a single petitioner regarding more than one building under the same ownership, the court shall, if practicable, appoint a common receiver for all such buildings and, if filed as separate actions, may consolidate such petitions and treat them as a single action.
(2) A hearing shall be had on such order no later than seventy-two hours after its issuance or the first court day thereafter. The sole purpose of such a hearing shall be to determine whether there is an amount due and owing between the owner, agent, lessor or manager and the company or municipal utility. The court shall make a determination of any amount due and owing and any amount so determined shall constitute a lien upon the real property of such owner. A certificate of such amount may be recorded in the land records of the town in which such property is located describing the amount of the lien and the name of the party in default. When the amount due and owing has been paid, the company or municipality shall issue a certificate discharging the lien and shall file the certificate in the land records of the town in which such lien was recorded.
(3) Not more than ten days after receipt of the order of appointment by the receiver, such receiver shall provide written notice to all occupants of the building or buildings, delivered separately to each dwelling unit, stating that the receiver has been authorized to collect all rents or payments for use and occupancy or common expenses, as defined in section 47-202, due from such occupant and that the owner, agency, lessor or manager, as the case may be, is prohibited from collecting such rents or payments for use and occupancy or common expenses. The notice shall include the address to which payments are to be made and a telephone number at which the receiver can be contacted. The notice shall be in plain and simple language and shall be written in English and in Spanish. A copy of the court order appointing the receiver and authorizing the collection of rents shall be attached to the notice.
(4) The receiver appointed by the court shall collect all rents or payments for use and occupancy or common expenses forthcoming from the occupants of the building or buildings in question in place of the owner, agent, lessor or manager. The court may authorize the receiver to make reasonable repairs and provide reasonable maintenance to the premises, as determined by the court, the reasonable cost of which shall be added to the total amount due and owing from the owner, agency, lessor or manager.
(5) The receiver shall pay to the petitioner, other supplier or receiver, as is appropriate, from such rents or payments for use and occupancy or common expenses from such building or buildings, in the following priority: (A) For electric, gas, telephone, water or heating oil supplied on and after the date of his appointment and for the reasonable cost of repairs and maintenance made or provided pursuant to subdivision (4) of this subsection; (B) for such reasonable fees and costs determined by the court to be due the receiver; (C) for reasonable attorney's fees and costs incurred by the petitioner; and (D) for any arrearage found by the court to be due and owing the company or municipal utility from the owner, agent, lessor or manager for service provided such building or buildings. The owner, agent, lessor or manager shall be liable for all such costs. Any moneys remaining thereafter shall be turned over to the owner, agent, lessor or manager. The court may order an accounting to be made at such times as it determines to be just, reasonable and necessary.
(b) Any receivership established pursuant to subsection (a) of this section, shall be terminated by the court upon its finding that the arrearage which was the subject of the original petition or petitions have been satisfied for all buildings subject to the receivership, or that all occupants of a building have agreed to assume liability in their own names for prospective service supplied by the petitioner, or that the building has been sold and the new owner has assumed liability for prospective service supplied by the petitioner.
(c) On motion by the receiver, the court may authorize the receiver to institute a summary process action pursuant to chapter 832 against an occupant, upon a prima facie showing that: (1) The occupant has received notice in accordance with subdivision (3) of subsection (a) of this section; (2) the receiver has made reasonable efforts to supplement such notice with other written and oral notice; (3) after the occupant has received notice in accordance with subdivision (3) of subsection (a) of this section, payments equal to one month's rent or use and occupancy have not been made by or on behalf of the occupant during the most recent sixty consecutive days; and (4) the duty to make such payments has not been suspended as a result of the condition of the premises or any applicable preoccupancy certification requirements. In any such summary process action, the receiver shall be subject to all claims and defenses that the occupant could assert against the owner, agent, lessor or manager of the dwelling.
(d) Nothing in this section shall be construed to prevent the petitioner from pursuing any other action or remedy at law or equity that it may have against the owner, agent, lessor or manager.
(e) Any owner, agent, lessor or manager who collects or attempts to collect any rent or payment for use and occupancy or common expenses, as defined in section 47-202, from any occupant of a building or buildings subject to an order appointing a receiver or who in any other way interferes with the receiver in the performance of his duties shall be found, after due notice and hearing, to be in contempt of court.
(f) If a proceeding is initiated pursuant to sections 47a-14a to 47a-14h, inclusive, or sections 47a-56 to 47a-56i, inclusive, or if a receiver of rents is appointed pursuant to chapter 735a or pursuant to any other action involving the making of repairs to residential rental property under court supervision, rent or use and occupancy payments and common expenses, as defined in section 47-202, shall be made pursuant to such proceeding or action without regard to whether such proceeding or action is initiated before or after a receivership is established under this section, and such proceeding or action shall take priority over a receivership established under this section in regard to expenditure of such rent or use and occupancy payments.
(P.A. 98-102, S. 2.)
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