South Carolina General Assembly
104th Session, 1981-1982

Bill 3635

                    Current Status

Bill Number:               3635
Ratification Number:       568
Act Number                 458
Introducing Body:          House
Subject:                   Relating to gas, heat, water, and certain
                           other public utilities putting suspended rates
                           into effect under bond and the interest
                           required on disallowed rate increases
View additional legislative information at the LPITS web site.

(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)

(A458, R568, H3635)

AN ACT TO AMEND SECTION 58-5-250, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO GAS, HEAT, WATER, AND CERTAIN OTHER PUBLIC UTILITIES PUTTING SUSPENDED RATES INTO EFFECT UNDER BOND AND THE INTEREST REQUIRED ON DISALLOWED RATE INCREASES, SECTION 58-9-550, RELATING TO TELEPHONE UTILITIES PUTTING SUSPENDED RATES INTO EFFECT UNDER BOND AND THE INTEREST REQUIRED ON DISALLOWED RATE INCREASES, AND SECTION 68-27-880, RELATING TO ELECTRICAL UTILITIES PUTTING SUSPENDED RATES INTO EFFECT UNDER BOND AND THE INTEREST REQUIRED ON DISALLOWED RATE INCREASES, SO AS TO INCREASE THE INTEREST RATE REQUIRED ON SUCH DISALLOWED RATE INCREASES FROM NINE TO TWELVE PERCENT.

Be it enacted by the General Assembly of the State of South Carolina:

Commission may suspend operation of schedule

Section 1. Section 58-5-250 of the 1976 Code is amended by striking on line nineteen "nine" and inserting "twelve". The section when amended shall read:

"Section 58-5-250. To enable it to make such investigations as in its opinion the public interest requires, the Commission may, in its discretion, suspend the operation of the new schedule for a period not exceeding sixty days. Unless as a result of its investigation the Commission otherwise orders before the termination of such period of sixty days, such new schedule or schedules shall thereupon become effective. Should the Commission order the operation of any new schedule or schedules suspended, as herein provided, the public utility may put such new schedule into operation on the date when it would otherwise become effective by filing with the Commission a satisfactory bond or by making other arrangements satisfactory to the Commission for the protection, during such period of suspension, of the parties interested should the Commission, after full hearing, determine and order that such schedule shall not become effective in whole or in part or without change or modification.

All increases in rates put into effect under the provisions of this section which are not approved and for which a refund shall be required shall bear interest at the rate of twelve percent per annum. Such interest shall commence on the date the disallowed increase is paid and continue until the date the refund is made."

Utility may put suspended rate into effect

Section 2. Section 58-9-550 of the 1976 Code is amended by striking on line nineteen "nine" and inserting "twelve". The section when amended shall read:

"Section 58-9-550. Notwithstanding any such order of suspension, the telephone utility may put such suspended rate or rates into effect on the date when it or they would have become effective, if not so suspended, by filing with the Commission a bond in a reasonable amount approved by the Commission, with sureties approved by the Commission, conditioned upon the refund, in a manner to be prescribed by order of the Commission, to the persons or corporations respectively entitled to the amount of excess, if the rate or rates so put into effect are finally determined to be excessive. Or there may be substituted for such bond other arrangements satisfactory to the Commission for the protection of the parties interested. During any such period of suspension the telephone utility involved shall provide records or other evidence of payments made by its subscribers or patrons under the rate or rates which the telephone utility has put into operation in excess of the rate or rates in effect immediately prior thereto.

All increases in rates put into effect under the provisions of this section which are not approved and for which a refund shall be required shall bear interest at the rate of twelve percent per annum. Such interest shall commence on the date the disallowed increase is paid and continue until the date the refund is made."

Further

Section 3. Section 58-27-880 of the 1976 Code is amended by striking on line fifteen "nine" and inserting "twelve". The section when amended shall read:

"Section 58-27-880. Notwithstanding any such order of suspension the electrical utility may put such suspended rate or rates into effect on the date when it or they would have become effective if not so suspended by filing with the Commission a bond in a reasonable amount approved by the Commission, with sureties approved by the Commission, conditioned upon the refund, in a manner to be prescribed by order of the Commission, to the persons, corporations or municipalities respectively entitled to the amount of the excess, if the rate or rates so put into effect are finally determined to be excessive; or there may be substituted for such bond other arrangements satisfactory to the Commission for the protection of the parties interested.

All increases in rates put into effect under the provisions of this section which are not approved and for which a refund shall be required shall bear interest at the rate of twelve percent per annum. Such interest shall commence on the date the disallowed increase is paid and continue until the date the refund is made."

Time effective

Section 4. This act shall take effect upon the approval by the Governor.