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Minutes for HB2225 - Committee on Utilities
Short Title
Limiting cost recovery for certain electric public utilities' transmission-related costs.
Minutes Content for Wed, Mar 22, 2023
The Chairman opened the hearing and called upon Nick Myers for a revisor overview of the bill.
The Chairman called for proponent testimony on the bill.
Justin Grady informed the committee of support for the bill as amended by the House committee, a process that produced a compromise by conferee stakeholders and committee members. Mr. Grady applauded the open and transparent review process contained in the amended legislation that will make the utility more accountable to regulators/public and improve the understanding of local transmission investment plans.
Eric Stafford explained that the bill would grant the KCC stronger oversite into to what he termed "excessive" increases in the transmission delivery charge passed onto ratepayers.
Paul Snider explained that the compromise amended into the bill sought to level the playing field on local transmission investments intended to:
- lower the return on equity (ROE);
- create a more comprehensive oversight process;
- require more focus on regionally competitive rates; and
- more consideration concerning the impact of higher rates on economic development.
Mr. Snider noted that the compromise did not impact Southwest Power Pool (SPP) directed investments or the utility's ability to adjust Transmission Delivery Charge (TDC) on an annual basis.
Chuck Caisley emphasized that his utility did not support the bill as originally introduced, but expressed satisfaction and support for the amended bill currently being considered by the committee.
Written-Only Proponent testimony:
Randy Stookey, Renew Kansas, KGFA and KARA
Written-Only Neutral testimony:
Jason Watkins, Wichita Regional Chamber of Commerce
Elizabeth Patton, Americans for Prosperity (AFP)
Seeing no additional testimony, the Chairman closed the hearing on the bill and announced that he intended to open discussion on the bill during the next scheduled meeting.
