Summary of SCC Proposal on Rate Caps,
rate cases prior to January 1, 2001, Interim rates;
Payment of refunds with interest

• Overview: Amends §56-582, the restructuring act’s capped rate provision. Under the section’s current provisions, utilities’ capped rates are those in effect as of July 1, 1999. However, with one exception, utilities may file rate cases to establish capped rates prior to January 1, 2001. The statute also provides that rates determined pursuant to such applications shall become effective on January 1, 2001.
• Proposal: The proposed amendment provides that capped rates established pursuant to rate applications made prior to January 1, 2001 will become effective on that date, but that these rates will be interim in nature and subject to refund with interest until the Commission has completed its investigations of these applications. This amendment would conform this special rate proceeding to current law with respect to the review of rates, and the refunding with interest of any amount of interim rates found to be excessive.