 |
ARIZONA STATE SENATE
Fifty-Fifth Legislature, Second Regular Session
nonprofit generation and transmission cooperatives
Purpose
Exempts, from annual Arizona Corporation Commission (ACC) assessments, gross intrastate revenues derived from the sale of electricity from one cooperative electric utility to another.
Background
Statute requires the ACC to annually assess regulated Arizona public service corporations (PSCs), including non-municipal corporations that furnish electricity, to finance ACC activities. A PSC must annually file a statement with ACC showing its gross operating revenues derived from intrastate operations during the preceding calendar year to calculate the PSC's assessment (A.R.S. § 40-401; Ariz. Const. art. 15 § 2).
A generation and
transmission cooperative may: 1) own, operate, lease or control plants and
facilities to generate, manufacture, purchase, acquire, accumulate and transmit
electric energy; 2) construct, maintain and operate electric transmission lines
on and across public lands; and
3) become a member of or financially invest in another cooperative organization
or corporation (A.R.S.
§ 10-2127).
There is no anticipated fiscal impact to the state General Fund associated with this legislation.
Provisions
1. Exempts, from the annual ACC assessment, a generation and transmission cooperative's gross intrastate revenues derived from electricity sales to another ACC-regulated cooperative electric utility subject to the annual ACC assessment.
2. Stipulates that a generation and transmission cooperative regulated by the ACC is subject to the annual ACC assessment.
3. Becomes effective on the general effective date.
House Action
NREW 2/1/22 DP 12-0-0-0
3rd Read 2/17/22 59-0-1
Prepared by Senate Research
March 7, 2022
RC/MAH/slp