HOUSE BILL No. 6407

 

September 1, 2010, Introduced by Reps. Geiss and Horn and referred to the Committee on Energy and Technology.

 

     A bill to provide for the preservation of certain economic

 

development rates or contracts; to provide for the adoption of

 

certain rate-making policies for certain electric utilities; and to

 

prescribe the powers and duties of certain state agencies and

 

officials.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 1. This act shall be known and may be cited as the

 

"energy for economic development act of 2010".

 

     Sec. 3. As used in this act:

 

     (a) "Commission" means the Michigan public service commission

 

created in section 1 of 1939 PA 3, MCL 460.1.

 

     (b) "Electric utility" means that term as defined in section 2

 


of the electric transmission line certification act, 1995 PA 30,

 

MCL 460.562.

 

     Sec. 5. (1) If an electric utility executes or has executed a

 

written contract with a customer pursuant to an economic

 

development tariff provision approved by the commission, the

 

commission shall not take any action that would alter the rates,

 

terms, conditions, duration, or enforceability of that contract.

 

Such prohibited actions include, but are not limited to, an order

 

that would eliminate, phase out, or otherwise modify the economic

 

development tariff provision in a manner that would allow or

 

require an electric utility to alter the rates, terms, conditions,

 

duration, or enforceability of a contract entered into pursuant to

 

the economic development tariff.

 

     (2) If an electric utility executes or has executed a written

 

contract with a customer pursuant to an economic development tariff

 

provision approved by the commission, the commission shall allow

 

the utility to fully recover from all other ratepayers the full

 

amount of the subsidy, if any, as determined by the commission,

 

resulting from the application of that economic development tariff

 

provision.