Sec. 16. (a) In addition to the review of the continued appropriateness of an environmental compliance plan under section 15 of this chapter, the commission shall, at the request of a public utility, conduct an ongoing review of the cost and implementation of the public utility’s approved environmental compliance plan. The public utility shall submit to the commission:

(1) each year; or

Terms Used In Indiana Code 8-1-28-16

  • commission: refers to the Indiana utility regulatory commission. See Indiana Code 8-1-1-1
  • environmental compliance plan: means a plan developed by a public utility to comply in whole or in part with the requirements of the Safe Drinking Water Act or the Clean Water Act. See Indiana Code 8-1-28-2
  • Fraud: Intentional deception resulting in injury to another.
  • Property: includes personal and real property. See Indiana Code 1-1-4-5
  • public utility: means a public utility, a municipally owned utility, or a cooperatively owned utility. See Indiana Code 8-1-28-3
  • Year: means a calendar year, unless otherwise expressed. See Indiana Code 1-1-4-5
(2) at other times the commission and the public utility agree on;

a progress report that includes any information the commission may require.

     (b) If the commission approves the cost and implementation of the part of the environmental compliance plan under review, then, absent fraud, concealment, or gross mismanagement, the approval forecloses subsequent challenges to:

(1) the recovery in rates of those costs; and

(2) if the public utility is allowed by law to earn a return on the public utility’s investment, the addition to the fair value of the public utility’s property of the fair value of a completed capital project, or portion of a capital project, that:

(A) is constructed and consists of:

(i) new systems, equipment, or facilities; or

(ii) modifications to existing systems, equipment, or facilities; and

(B) is part of the environmental compliance plan implementation approved by the commission;

up to the amount approved under section 7(2) or 12 of this chapter, whichever is applicable. The public utility may not recover costs in excess of the cost estimate approved by the commission under section 7(2) or 12 of this chapter, whichever is applicable, unless the commission finds that the additional costs were necessary and prudent.

     (c) If the commission does not issue an order disapproving all or part of the implementation of the part of the environmental compliance plan under review within six (6) months of the commencement of the action seeking the commission’s approval, the commission shall be considered to have approved all of the implementation of that part of the environmental compliance plan unless the commission issues an order extending the time for such review.

As added by P.L.76-1991, SEC.2.

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