House Status:
Senate Status:
Senate Status:
Minutes for SB349 - Committee on Utilities
Short Title
Limiting increases on electric retail rates and providing certain exceptions.
Minutes Content for Wed, Feb 16, 2022
The Chairman called for continued oral opponent testimony.
Opponent Oral Testimony
Whitney Damron, representing Liberty Utilities, spoke as an opponent of the bill. He stated Liberty has concerns about SB349, including setting an arbitrary cap of 1% which "defies market realities and inflation", limits the utility's ability to invest and modernize its infrastructure, will make the electric industry less resiliant and less flexible when faced with unforeseen challenges or emergencies, and could cause a rate bomb for the next generation of customers. (Attachment 1)
Justin Grady, Chief of Revenue Requirements, Kansas Corporation Commission (KCC), provided opponent testimony. Mr. Grady stated KCC has concerns about the legality of the bill, and if the bill were to get through litigation and appeals, they have further concerns about the implementation. He also stated it appears to be in "violation of the Kansas Supreme Court mandate that ratemaking proceedings must consider and balance the interests of: (1) the utility's investors vs ratepayers; (2) present ratepayers vs. future ratepayers; and (3) the public interest." He also stated inflation could be a problem, and accumulated costs could have the consequence of a need for higher rates that would be passed on to future customers after the 10 year period is up. (Attachment 2)
Opponents Providing Written Only Testimony
Dorothy Barnett, Executive Director, Climate + Energy Project (Attachment 3)
Following Mr. Grady's testimony, the Chairman opened up for a period of questions and answers.
Seeing no more questions, the Chairman closed the hearing.
