2023 Senate Bill 504

Public utilities: electric utilities; long-term industrial load rates; prohibit from being subject to securitization charges.

A bill to amend 1939 PA 3, entitled “An act to provide for the regulation and control of public and certain private utilities and other services affected with a public interest within this state; to provide for alternative energy suppliers; to provide for licensing; to include municipally owned utilities and other providers of energy under certain provisions of this act; to create a public service commission and to prescribe and define its powers and duties; to abolish the Michigan public utilities commission and to confer the powers and duties vested by law on the public service commission; to provide for the powers and duties of certain state governmental officers and entities; to provide for the continuance, transfer, and completion of certain matters and proceedings; to abolish automatic adjustment clauses; to prohibit certain rate increases without notice and hearing; to qualify residential energy conservation programs permitted under state law for certain federal exemption; to create a fund; to encourage the utilization of resource recovery facilities; to prohibit certain acts and practices of providers of energy; to allow for the securitization of stranded costs; to reduce rates; to provide for appeals; to provide appropriations; to declare the effect and purpose of this act; to prescribe remedies and penalties; and to repeal acts and parts of acts,” by amending section 10gg (MCL 460.10gg), as added by 2018 PA 348.

House Fiscal Agency Analysis

Senate Bill 504 would amend 1939 PA 3, the enabling act for the Michigan Public Service Commission (MPSC), to provide that a long-term industrial load rate is not subject to any securitization charges approved by the MPSC under a financing order if the customer is taking service under that rate on the order’s effective date. This would apply to financing orders issued after the bill takes effect.

Introduced in the Senate

Sept. 19, 2023

Introduced by Sen. Kristen McDonald Rivet (D-35)

Referred to the Committee on Energy and Environment

March 14, 2024

Reported without amendment

March 19, 2024

Referred to the Committee of the Whole

Reported without amendment

Passed in the Senate 35 to 2 (details)

Received in the House

March 19, 2024

Referred to the Committee on Energy, Communications, and Technology

Nov. 13, 2024

Reported without amendment

Nov. 14, 2024

Passed in the House 82 to 20 (details)

Motion to give immediate effect by Rep. Abraham Aiyash (D-9)

The motion prevailed by voice vote