Z-0686.1  _______________________________________________

                         SENATE BILL 5649

          _______________________________________________

State of Washington      57th Legislature     2001 Regular Session

By Senators Fraser, Franklin, Jacobsen, Eide, Regala, Kohl‑Welles, Kline, Prentice, Shin, Haugen, Rasmussen, Kastama and McAuliffe; by request of Governor Locke

Read first time 01/29/2001.  Referred to Committee on Environment, Energy & Water.

Authorizing the Washington utilities and transportation commission to determine if an electrical company's acquisition of an electricity generation resource is prudent for rate-making purposes.

    AN ACT Relating to acquiring electricity generation resources; and adding a new section to chapter 80.28 RCW.

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

NEW SECTION. Sec. 1.  A new section is added to chapter 80.28 RCW to read as follows:

    At any time prior to a general rate proceeding, an electrical company may file with the commission information concerning any decision made by the company to acquire electricity generation resources.  The commission shall by rule adopt standards governing the filing of such information by electrical companies under this section.  The commission shall consider the information in subsequent rate-making proceedings, as well as any other information deemed relevant to the proceedings.  Nothing in this section relieves the company of its burden to prove, based on this or other information, that its acquisitions of electricity generation resources are reasonable and prudent for rate-making purposes.  For the purposes of this section, "electricity generation resources" includes resources acquired by the company either by contract or ownership.

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