Indiana § 8-1-1-16 - Commission to consider effect of governmental requirements upon utility's operational expenses

§ 8-1-1-16. Commission to consider effect of governmental requirements upon utility's operational expenses

Sec. 16. (a) As used in this section, "commission" refers to the Indiana utility regulatory commission created by section 2 of this chapter.

(b) As used in this section, "governmental requirement" means a requirement imposed on a utility by a governmental unit in connection with:

(1) the federal Clean Water Act (33 U.S.C. 1251 et seq.);

(2) the federal Safe Drinking Water Act (42 U.S.C. 300f et seq.); or

(3) any other law, order, rule, or regulation administered or issued by the United States Environmental Protection Agency, the department of environmental management, or the department of natural resources in connection with the federal Clean Water Act or the federal Safe Drinking Water Act.

(c) As used in this section, "utility" means:

(1) a public utility (as defined in IC 8-1-2-1(a));

(2) a municipally owned utility (as defined in IC 8-1-2-1(h)); or

(3) a not-for-profit utility (as defined in IC 8-1-2-125(a));

that provides water or wastewater service to the public and is under the jurisdiction of the commission for the approval of rates and charges.

(d) In its deliberations in a general rate case of a utility, the commission shall consider governmental requirements and their effect upon the utility's operational expenses.

As added by P.L.233-2017, SEC.8.

IC 8-1-1.1Chapter 1.1. Office of the Utility Consumer Counselor

8-1-1.1-1Definitions 8-1-1.1-1Definitions 8-1-1.1-2Creation; administration 8-1-1.1-3Consumer counselor 8-1-1.1-4Repealed 8-1-1.1-4.1Powers and duties 8-1-1.1-5Repealed 8-1-1.1-5.1Proceedings before commission, department, or court; powers and duties of consumer counselor 8-1-1.1-6Repealed 8-1-1.1-6.1Professional and other employees; additional staff for particular cases; charge and payment of expenses; technical equipment; costs and duties under TDSIC statute 8-1-1.1-7Advisory council 8-1-1.1-7Repealed 8-1-1.1-8Repealed 8-1-1.1-8.1Meetings; duties 8-1-1.1-9Repealed 8-1-1.1-9.1Deputy consumer counselor for Washington affairs

IC 8-1-1.1-1Definitions Note: This version of section effective until 7-1-2027. See also following version of this section, effective 7-1-2027.

Sec. 1. As used in this chapter:

"Council" means the advisory council to the office of utility consumer counselor created under section 7 of this chapter.

"Counselor" means the consumer counselor established under section 2 of this chapter.

"Deputy consumer counselor" means the deputy consumer counselor for Washington affairs that may be established under section 9.1 of this chapter.

"Utility" means any public utility, municipally owned utility or subscriber owned utility under the jurisdiction of the commission.

As added by Acts 1981, P.L.104, SEC.3. Amended by P.L.43-1983, SEC.6; P.L.23-1988, SEC.18; P.L.1-1990, SEC.91.

IC 8-1-1.1-1Definitions Note: This version of section effective 7-1-2027. See also preceding version of this section, effective until 7-1-2027.

Sec. 1. As used in this chapter:

"Council" means the advisory council to the office of utility consumer counselor created under section 7 of this chapter (before its repeal).

"Counselor" means the consumer counselor established under section 2 of this chapter.

"Deputy consumer counselor" means the deputy consumer counselor for Washington affairs that may be established under section 9.1 of this chapter.

"Utility" means any public utility, municipally owned utility or subscriber owned utility under the jurisdiction of the commission.

As added by Acts 1981, P.L.104, SEC.3. Amended by P.L.43-1983, SEC.6; P.L.23-1988, SEC.18; P.L.1-1990, SEC.91; P.L.152-2026, SEC.75.

IC 8-1-1.1-2Creation; administration Sec. 2. There is created the office of utility consumer counselor. The office shall be administered by the consumer counselor appointed under section 3 of this chapter.

As added by Acts 1981, P.L.104, SEC.3.

IC 8-1-1.1-3Consumer counselor Sec. 3. The governor shall appoint a consumer counselor, for a term of four (4) years at a salary to be fixed by the governor. The counselor shall serve at the will and pleasure of the governor. The counselor shall be a practicing attorney, and qualified by knowledge and experience to practice in utility regulatory agency proceedings. The counselor shall apply the counselor's full efforts to the duties of the office and may not engage in any occupation, practice, profession or business that would conflict with the duties of the office.

As added by Acts 1981, P.L.104, SEC.3. Amended by P.L.27-2006, SEC.2.

IC 8-1-1.1-4RepealedAs added by Acts 1981, P.L.104, SEC.3. Amended by P.L.384-1987(ss), SEC.2; P.L.3-1989, SEC.45; P.L.99-1989, SEC.3. Repealed by P.L.1-1990, SEC.92.

IC 8-1-1.1-4.1Powers and duties Sec. 4.1. (a) The consumer counselor may appear on behalf of ratepayers, consumers, and the public in:

(1) hearings before the commission, the department of state revenue, or the Indiana department of transportation;

(2) appeals from the orders of the commission, the department of state revenue, or the Indiana department of transportation; and

(3) suits and actions in a court that may involve rates for service, services, extensions, and contracts for service, valuations of utilities, applications of utilities for authority to issue securities, applications for mergers and sales, and in all other proceedings, including proceedings before federal agencies, and suits and actions in which the subject matter of the action affects the consumers of a utility, motor carrier, or railroad doing business in Indiana.

(b) The counselor shall decide whether to appeal an order of the commission, the department of state revenue, or the Indiana department of transportation and may on the counselor's own motion initiate an appeal.

As added by P.L.1-1990, SEC.93.

IC 8-1-1.1-5RepealedAs added by Acts 1981, P.L.104, SEC.3. Amended by P.L.384-1987(ss), SEC.3; P.L.3-1989, SEC.46; P.L.99-1989, SEC.4. Repealed by P.L.1-1990, SEC.94.

IC 8-1-1.1-5.1Proceedings before commission, department, or court; powers and duties of consumer counselor Sec. 5.1. (a) The commission, the department of state revenue, or the Indiana department of transportation shall immediately notify the counselor of the institution of any proceeding before the commission, the department of state revenue, or the Indiana department of transportation in which the counselor is authorized to appear and shall transmit to the counselor a copy of the petition or complaint filed.

(b) The commission, the department of state revenue, or the Indiana department of transportation may not proceed to hear a petition, complaint, or proceeding in which the counselor is entitled to appear until the counselor has been given at least ten (10) days notice, unless the counselor waived the notice.

(c) The consumer counselor may call the counselor's own witnesses to testify before a proceeding or hearing in which the counselor makes an appearance, and may require the production for examination of books and papers relating to a matter under investigation and in question before the commission, another agency, or a court.

(d) The consumer counselor has the right, with the consent of the petitioners or complainants, whenever a petition is filed on behalf of the ratepayers, consumers, or the public, to make amendments to the petition or complaint that the counselor considers advisable.

(e) In all proceedings before the commission, the department of state revenue, or the Indiana department of transportation and in a court in which the consumer counselor shall appear, the consumer counselor shall have charge of the interests of the ratepayers and consumers of the utility, motor carrier, or railroad involved. The counselor may give notice of the hearings to all municipalities, corporations, or organizations and persons that are parties to the proceedings, suit, or action other than the utility, motor carrier, or railroad.

As added by P.L.1-1990, SEC.95.

IC 8-1-1.1-6RepealedAs added by Acts 1981, P.L.104, SEC.3. Amended by P.L.43-1983, SEC.13; P.L.16-1984, SEC.6; P.L.384-1987(ss), SEC.4; P.L.3-1989, SEC.47; P.L.99-1989, SEC.5. Repealed by P.L.1-1990, SEC.96.

IC 8-1-1.1-6.1Professional and other employees; additional staff for particular cases; charge and payment of expenses; technical equipment; costs and duties under TDSIC statute Sec. 6.1. (a) The consumer counselor may employ and fix the compensation of, with the approval of the governor and the budget agency, accountants, utility economists, engineers, attorneys, stenographers, or other assistance necessary to carry out the duties of the office. The compensation of the consumer counselor and the counselor's staff shall be paid from an appropriation made for that purpose by the general assembly, or with the approval of the governor and the budget agency, from a contingency fund established under IC 8-1-6-1.

(b) The consumer counselor may make use of engineers, experts, and accountants employed by the commission or the Indiana department of transportation and direct them to make appraisals and audits in the performance of the consumer counselor's duties under this chapter and IC 8-1-1 and IC 8-1-2. In so doing, the consumer counselor shall have access to the records and files of the commission or the Indiana department of transportation.

(c) The consumer counselor may employ, with the approval of the governor and the budget agency, additional stenographers, examiners, experts, engineers, assistant counselors, accountants, and consulting firms with expertise in utility, motor carrier, or railroad economics or management or both, at salaries and compensation and for a length of time as the governor and the budget agency may approve for a particular case or investigation. The compensation for the additional personnel together with the cost of transportation, hotel, telegram, and telephone bills while traveling on public business shall be paid from the expert witness fee account, or, with the approval of the governor and the budget agency, from a contingency fund established under IC 8-1-6-1 on warrants drawn by the state comptroller, sworn to by the parties who incurred the expenses.

(d) Expenses incurred by the regular staff of the office and approved by the consumer counselor, or an expense incurred by the commission or the Indiana department of transportation under subsection (b), shall be charged and paid in the manner provided in IC 8-1-2-70 or IC 8-1-6, whichever is appropriate under the circumstances.

(e) Nothing in this chapter may be construed to prevent a party interested in a proceeding, suit, or action from appearing in person or from being represented by counsel.

(f) Persons hired by the consumer counselor as provided by this section are exempt from the job classifications and compensation schedules established under IC 4-15.

(g) The consumer counselor may purchase, lease, or otherwise acquire sufficient technical equipment necessary for the consumer counselor to carry out the consumer counselor's statutory duties.

(h) The consumer counselor may submit to the budget agency a request for funds sufficient to carry out any new duties or responsibilities created under IC 8-1-39-12(b). The consumer counselor shall include in its annual report to the interim study committee on energy, utilities, and telecommunications:

(1) a description of its activities under IC 8-1-39-12(b); and

(2) a summary of the costs associated with those activities.

As added by P.L.1-1990, SEC.97. Amended by P.L.133-2013, SEC.2; P.L.149-2016, SEC.33; P.L.9-2024, SEC.277.

IC 8-1-1.1-7Advisory council Note: This version of section effective until 7-1-2027. See also following repeal of this section, effective 7-1-2027.

Sec. 7. (a) There is created the advisory council to the office of the utility consumer counselor. The council consists of nine (9) members. Each Indiana congressional district must be represented by at least one (1) individual appointed under this section who is a resident of that congressional district. However, the reduction in membership of the council from ten (10) members to nine (9) shall be accomplished as the terms of members end and new members are appointed. Until the expiration of the term of a member who is serving on the council on January 1, 2014, and resides in the same congressional district as another member, the council consists of ten (10) members.

(b) Members of the council, including those filling vacancies occurring in the council membership, shall be appointed by the governor. All members shall be appointed to a term of four (4) years, except those who have been appointed to fill a vacancy in the council whose term will be the unexpired portion of the term. All members shall serve until their successor has been duly appointed and qualified.

(c) The membership shall be representative of the various sectors of Indiana economy, including, but not limited to: agriculture, business and industry, labor, and local government.

(d) The members shall annually elect of themselves a chairman.

(e) Members are entitled to receive per diem and travel expense reimbursement at the standard rates provided for state employees for expenses they incur in the performance of their duties under this chapter subject to the approval of the consumer counselor.

As added by Acts 1981, P.L.104, SEC.3. Amended by Acts 1982, P.L.1, SEC.23; P.L.170-2002, SEC.56; P.L.53-2014, SEC.74.

IC 8-1-1.1-7Repealed Note: This repeal of section effective 7-1-2027. See also preceding version of this section, effective until 7-1-2027.

As added by Acts 1981, P.L.104, SEC.3. Amended by Acts 1982, P.L.1, SEC.23; P.L.170-2002, SEC.56; P.L.53-2014, SEC.74. Repealed by P.L.152-2026, SEC.76.

IC 8-1-1.1-8RepealedAs added by Acts 1981, P.L.104, SEC.3. Amended by P.L.3-1989, SEC.48; P.L.99-1989, SEC.6. Repealed by P.L.1-1990, SEC.98.

IC 8-1-1.1-8.1Meetings; duties Sec. 8.1. (a) The council shall meet at the call of the chairman or the consumer counselor.

(b) The council shall receive, review, and advise the consumer counselor with respect to problems and concerns of ratepayers and consumers arising from the regulation of utilities, motor carriers, or railroads in Indiana. The office of consumer counselor shall provide necessary clerical and staff assistance for the council.

As added by P.L.1-1990, SEC.99.

IC 8-1-1.1-9RepealedAs added by P.L.43-1983, SEC.7. Amended by P.L.3-1989, SEC.49; P.L.99-1989, SEC.7. Repealed by P.L.1-1990, SEC.100.

IC 8-1-1.1-9.1Deputy consumer counselor for Washington affairs Sec. 9.1. (a) The governor may appoint a deputy consumer counselor for Washington affairs. The utility consumer counselor may advise the governor in the appointment of a deputy consumer counselor for Washington affairs.

(b) The deputy consumer counselor shall serve for a term of four (4) years at a salary to be fixed by the governor. The deputy shall serve at the pleasure of the governor. The deputy consumer counselor shall be a practicing attorney, and qualified by knowledge and experience to practice in utility regulatory agency proceedings. The deputy consumer counselor shall apply full efforts to the duties of the office and may not be actively engaged in any other occupation, practice, profession, or business.

(c) The deputy consumer counselor may appear on behalf of ratepayers, consumers, and the public in:

(1) hearings before the federal energy regulatory commission;

(2) appeals from the orders of the federal energy regulatory commission; and

(3) all other proceedings, including proceedings before federal agencies, and suits and actions in which the subject matter of the action affects the consumers of a utility, motor carrier, or railroad doing business in Indiana.

(d) The deputy consumer counselor may establish and maintain an office in Washington, D.C. The deputy consumer counselor may, with the approval of the consumer counselor, the governor, and the budget agency employ and fix the compensation of accountants, utility economists, engineers, attorneys, stenographers, or other assistance necessary to carry out the duties of the office of the deputy consumer counselor. The compensation of the deputy consumer counselor and the staff shall be paid from an appropriation made for that purpose by the general assembly, or with the approval of the governor and the budget agency, from the contingency fund established under IC 8-1-6-1.

(e) The deputy consumer counselor may employ, with the approval of the consumer counselor, the governor, and the budget agency, additional stenographers, examiners, experts, engineers, assistant counselors, accountants, and consulting firms with expertise in utility, motor carrier, or railroad economics or management or both, at salaries and compensation and for a length of time as the consumer counselor, the governor, and the budget agency may approve for a particular case or investigation. The compensation for additional personnel together with the cost of transportation, hotel, telegram, and telephone bills while traveling on public business shall be paid from the expert witness fee account, or, with the approval of the governor and the budget agency, from the contingency fund established under IC 8-1-6-1 on warrants drawn by the state comptroller, sworn to by the parties who incurred the expenses.

(f) Any expenses incurred by the regular staff of the office of the deputy consumer counselor and approved by the deputy consumer counselor shall be charged and paid from the contingency fund established under IC 8-1-6-1.

As added by P.L.1-1990, SEC.101. Amended by P.L.9-2024, SEC.278.

IC 8-1-1.5Chapter 1.5. Utility Regulatory Commission Nominating Committee

8-1-1.5-0.3Validation of certain actions taken before March 5, 1985 8-1-1.5-1Purpose; intent 8-1-1.5-2Definitions 8-1-1.5-3Establishment; members; terms; vacancies; notice 8-1-1.5-4Term of office; reappointment 8-1-1.5-5Vacancy on public service commission; notice; meeting; nomination of candidates; appointment 8-1-1.5-6Candidates; evaluation; list of nominees for commission vacancy; number 8-1-1.5-7Meetings; rules 8-1-1.5-8Death or withdrawal of nominee; renomination of replacement 8-1-1.5-9Investigators and experts; aid of governor's staff; appropriation 8-1-1.5-10Compensation; expenses 8-1-1.5-11Reporting requirement

IC 8-1-1.5-0.3Validation of certain actions taken before March 5, 1985 Sec. 0.3. Any action taken before March 5, 1985, that would have been valid if taken under this chapter, as amended by P.L.87-1985, is validated.

As added by P.L.220-2011, SEC.184.

IC 8-1-1.5-1Purpose; intent Sec. 1. The purpose and intent of this chapter is to provide for the establishment, operation, and organization of a nominating committee to submit to the governor nominations of candidates to fill vacancies on the commission.

As added by P.L.43-1983, SEC.8. Amended by P.L.23-1988, SEC.19.

IC 8-1-1.5-2Definitions Sec. 2. As used in this chapter:

"Nominating committee" or "committee" means the nominating committee established by section 3 of this chapter.

"Vacancy" means an opening on the membership of the commission or nominating committee which occurs by reason of death, retirement, resignation, removal, expiration of term without reappointment.

As added by P.L.43-1983, SEC.8. Amended by P.L.23-1988, SEC.20.

IC 8-1-1.5-3Establishment; members; terms; vacancies; notice Sec. 3. (a) There is established a nominating committee for the purpose of submitting to the governor nominations of candidates to fill vacancies on the commission. The committee consists of seven (7) members, not more than four (4) of whom shall belong to the same political party and none of whom may be a member of the general assembly.

(b) The governor shall appoint three (3) members of the nominating committee and designate one (1) as chairman. The speaker of the house of representatives, the president pro tempore of the senate, the minority leader of the senate, and the minority leader of the house of representatives shall each appoint one (1) member of the nominating committee. Each appointment shall be certified to the secretary of state within ten (10) days of the appointment.

(c) Each member of the nominating committee shall be appointed for a term of four (4) years.

(d) Whenever a vacancy occurs on the nominating committee, the chairman of the committee shall promptly notify the official who appointed the member whose position is vacant. That official shall appoint a new member within sixty (60) days after receiving notice of the vacancy. The term of the member so appointed shall be for the unexpired term of the member whose vacancy he has filled. An appointment to fill a vacancy shall be certified to the secretary of state within ten (10) days of the appointment.

(e) After the names of members appointed to the nominating committee have been certified to the secretary of state, the secretary of state shall, by regular mail, notify the members of the committee of their appointment.

As added by P.L.43-1983, SEC.8. Amended by P.L.87-1985, SEC.1.

IC 8-1-1.5-4Term of office; reappointment Sec. 4. A member of the nominating committee serves until his successor is appointed. No committee member is eligible for successive reappointment, unless he has been appointed to fill a vacancy on the committee for less than three (3) years in which case he is eligible, upon the expiration of that term, for a succeeding term.

As added by P.L.43-1983, SEC.8.

IC 8-1-1.5-5Vacancy on public service commission; notice; meeting; nomination of candidates; appointment Sec. 5. (a) When a vacancy occurs on the commission, the governor shall promptly notify the chairman of the nominating committee of the vacancy. The chairman shall call a meeting of the committee within ten (10) days after the notice. The nominating committee shall submit its nominations of three (3) candidates for each vacancy and certify them to the governor no later than forty (40) days from the time the vacancy occurs. When it is known that a vacancy will occur at a definite future date, but the vacancy has not yet occurred, the governor shall notify the nominating committee immediately thereof, and the committee may, within sixty (60) days of the notice of the vacancy, make its nominations and submit to the governor the names of three (3) persons nominated for the forthcoming vacancy.

(b) The governor may appoint to the commission one (1) of the three (3) persons nominated by the nominating committee for a vacancy, or the governor may reject all of such nominees. If the governor rejects all of such nominees, he shall so notify the chairman of the nominating committee, and the committee shall certify the nominations of three (3) additional candidates to the governor not later than forty (40) days after receipt of such notice. The governor shall fill the vacancy on the commission from one (1) of such additional nominees.

As added by P.L.43-1983, SEC.8.

IC 8-1-1.5-6Candidates; evaluation; list of nominees for commission vacancy; number Sec. 6. (a) It is the intent of this chapter that the nominating committee shall submit to the governor, from among those names the committee considers for a vacancy on the commission, the names of only the three (3) most highly qualified candidates. In determining which candidates are most highly qualified, each committee member shall evaluate each candidate on the following considerations:

(1) Education and academic honors and awards achieved.

(2) Professional experience and reputation.

(3) Financial interests, including any such interest which might conflict with the performance of commission responsibilities.

(4) Activities in public service.

(5) Any other pertinent information which the committee believes is important in selecting the most highly qualified individuals for commission membership.

(b) The nominating committee shall not make an investigation to determine these considerations until the individual states in writing that he desires to be appointed to fill an existing or forthcoming commission vacancy.

(c) The nominating committee shall submit with the list of three (3) nominees to the governor their written evaluation of each such nominee, based on those considerations stated in subsection (a) of this section. The list of names submitted to the governor may be publicly disclosed by the committee. The evaluations of candidates whose names have been submitted to the governor shall remain confidential.

As added by P.L.43-1983, SEC.8.

IC 8-1-1.5-7Meetings; rules Sec. 7. (a) The nominating committee shall meet from time to time as may be necessary to discharge its responsibilities under this chapter. Meetings of the committee shall be called by its chairman, or in the event of his failure to call a meeting when a meeting may be necessary, upon the call of any four (4) members of the committee. The chairman, whenever he deems a meeting necessary or upon the request of any four (4) members of the committee for a meeting, shall give each member of the committee at least five (5) days written notice by mail of the time and place of every meeting, unless the committee at its previous meeting designated the time and place of its next meeting.

(b) Meetings of the nominating committee are to be held at such a place in Indiana as the chairman of the committee may arrange.

(c) The nominating committee shall act only at a meeting and may act only on the concurrence of a majority of its members attending a meeting. Four (4) members shall constitute a quorum. The committee has the power to adopt rules under IC 4-22-2 for the conduct of its proceedings and the discharge of its duties. These rules shall include procedures by which eligible candidates for a vacancy on the commission may submit their names to the nominating committee.

As added by P.L.43-1983, SEC.8.

IC 8-1-1.5-8Death or withdrawal of nominee; renomination of replacement Sec. 8. (a) If any nominee dies or requests in writing that his name be withdrawn, the nominating committee shall nominate another person to replace him from the list of candidates previously considered for that vacancy.

(b) Whenever there are existing at the same time two (2) or more vacancies, the committee shall submit to the governor a single list of the names of those persons nominated for the vacancies. The number of names that the nominating committee shall include on the list equals three (3) times the number of vacancies. The rights provided and duties assigned to the governor and the nominating committee by section 5(b) of this chapter also apply to a list of names submitted by the nominating committee to the governor under this subsection.

As added by P.L.43-1983, SEC.8. Amended by P.L.87-1985, SEC.2.

IC 8-1-1.5-9Investigators and experts; aid of governor's staff; appropriation Sec. 9. (a) The nominating committee shall have the authority to employ investigators and such experts as the committee in its discretion determines to be necessary to carry out its functions and purposes.

(b) The office and staff of the governor shall also serve the nominating committee in performing its functions under this chapter.

(c) There is annually appropriated to the nominating committee the sum of five thousand dollars ($5,000) from the state general fund for the purpose of defraying any and all expenses which may be incurred in the administration of this chapter.

As added by P.L.43-1983, SEC.8. Amended by P.L.87-1985, SEC.3.

IC 8-1-1.5-10Compensation; expenses Sec. 10. Each member of the nominating committee is entitled to receive the minimum salary per diem as provided in IC 4-10-11-2.1(b) while performing his duties. Such a member is also entitled to reimbursement for traveling expenses and other expenses actually incurred in connection with his duties, as provided in the state travel policies and procedures established by the department of administration and approved by the state budget agency.

As added by P.L.43-1983, SEC.8. Amended by P.L.87-1985, SEC.4.

IC 8-1-1.5-11Reporting requirement Sec. 11. On or before July 1, 2027, and July 1 biennially thereafter, the committee shall submit a report to the executive director of the legislative services agency, in an electronic format under IC 5-14-6, for review by the interim committee on government in accordance with IC 1-1-15.5-4 and IC 2-5-1.3-13(g). The report shall describe:

(1) official action taken; and

(2) actionable items considered;

by the committee during the preceding two (2) years.

As added by P.L.161-2025, SEC.11.

IC 8-1-1.9Chapter 1.9. Regulation of New Water and Wastewater Utilities

8-1-1.9-1"Commission" 8-1-1.9-2"Public utility" 8-1-1.9-3"Water or wastewater utility" 8-1-1.9-4Water or wastewater utility organized after June 2018 subject to IURC jurisdiction 8-1-1.9-5Water or wastewater utility not under commission jurisdiction; requirements if enforcement order issued 8-1-1.9-6Wastewater utility not under the jurisdiction of the commission; required proposals; approval; IURC annual report

IC 8-1-1.9-1"Commission" Sec. 1. As used in this chapter, "commission" refers to the Indiana utility regulatory commission created by IC 8-1-1-2.

As added by P.L.126-2018, SEC.1.

IC 8-1-1.9-2"Public utility" Sec. 2. As used in this chapter, "public utility" has the meaning set forth in IC 8-1-2-1(a).

As added by P.L.126-2018, SEC.1.

IC 8-1-1.9-3"Water or wastewater utility" Sec. 3. As used in this chapter, "water or wastewater utility" means:

(1) a public utility that provides water service, wastewater service, or both water service and wastewater service to the public; or

(2) a municipally owned utility that provides water service to less than eight thousand (8,000) customers.

As added by P.L.126-2018, SEC.1. Amended by P.L.160-2020, SEC.1.

IC 8-1-1.9-4Water or wastewater utility organized after June 2018 subject to IURC jurisdiction Sec. 4. (a) Notwithstanding IC 8-1-2.7 and any other law under which a water or wastewater utility is exempt from or may withdraw from the jurisdiction of the commission, a water or wastewater utility that is organized after June 30, 2018, is subject to the jurisdiction of the commission with respect to:

(1) rates and charges;

(2) stocks, bonds, notes, or other evidence of indebtedness;

(3) rules; and

(4) the annual report filing requirement;

for the period of ten (10) years beginning on the day on which the water or wastewater utility is organized.

(b) This section does not affect:

(1) any statutes requiring or permitting a water or wastewater utility to petition the commission before providing service to the public; or

(2) the commission's jurisdiction regarding statutes and petitions referred to in subdivision (1).

As added by P.L.126-2018, SEC.1. Amended by P.L.160-2020, SEC.2.

IC 8-1-1.9-5Water or wastewater utility not under commission jurisdiction; requirements if enforcement order issued Sec. 5. (a) This section applies to a water or wastewater utility that:

(1) is not subject to the jurisdiction of the commission for the approval of rates and charges; and

(2) has been issued one (1) or more enforcement orders after:

(A) June 30, 2022, in connection with the provision of wastewater service; or

(B) June 30, 2025, in connection with the provision of water service.

(b) As used in this section, "department enforcement action" means an action of the department of environmental management commenced under IC 13-30-3.

(c) As used in this section, "enforcement order" means an order, including an agreed order under IC 13-30-3-3:

(1) resulting from a department enforcement action; and

(2) relating to environmental or health and human safety issues.

(d) Notwithstanding section 3 of this chapter, as used in this section, "water or wastewater utility" means any of the following that provides water service, wastewater service, or both water service and wastewater service to the public in Indiana:

(1) A public utility (as defined in IC 8-1-2-1(a)).

(2) A municipally owned utility (as defined in IC 8-1-2-1(h)).

(3) A not-for-profit utility (as defined in IC 8-1-2-125(a)).

(4) A cooperatively owned corporation.

(5) A conservancy district established under IC 14-33.

(6) A regional water or sewer district established under IC 13-26.

(e) The following apply to a water or wastewater utility that is subject to this section:

(1) Except as provided in clause (C) in the case of a water utility, upon the issuance of the first enforcement order with respect to the water or wastewater utility, the commission shall do the following:

(A) Perform an informal review, using such procedures as the commission may choose, of the rates and charges of the water or wastewater utility to determine if the rates and charges are sufficient to:

(i) operate and maintain the water or wastewater utility's distribution system or collection and treatment system, as applicable; and

(ii) pay all obligations of the water or wastewater utility's distribution system or collection and treatment system, as applicable.

(B) Determine whether all elements of an adequate asset management program are in place with respect to the water or wastewater utility's distribution system or collection and treatment system, as applicable.

(C) In the case of a water utility, the commission shall not:

(i) initiate an informal review of the water utility's rates and charges under clause (A); or

(ii) proceed to determine whether all elements of an adequate asset management program are in place with respect to the water utility's distribution system under clause (B);

unless twelve (12) months have elapsed since the effective date of the first enforcement order and the water utility has not remedied within that time the violation for which the enforcement order was issued.

In making a determination under clause (B), the commission may consult with the drinking water and wastewater infrastructure research and extension program authorized by IC 5-1.2-11.5-10. Notwithstanding IC 8-1-1-5(b), commission staff shall not be subject to cross examination in any subsequent proceeding in connection with any documents prepared during an informal review under this subdivision.

(2) If within two (2) years of the effective date of the first enforcement order a second enforcement order is issued with respect to the water or wastewater utility in connection with the same type of service for which the first enforcement order was issued, the water or wastewater utility:

(A) shall undergo a base rate case before the commission; and

(B) becomes subject to the jurisdiction of the commission for the approval of rates and charges upon the effective date of the second enforcement order;

with respect to that service. After this first required rate case, the water or wastewater utility shall undergo one (1) subsequent rate case before the commission not earlier than three (3) years after the effective date of the commission's order in the first rate case under this subdivision. The water or wastewater utility shall remain subject to the jurisdiction of the commission for the approval of rates and charges for a minimum of five (5) years from the effective date of the commission's order in the first rate case under this subdivision and for at least one (1) year after the effective date of the commission's order in the second rate case under this subdivision. For purposes of determining rates and charges under this subdivision, if a wastewater utility also provides storm water services or is considered a combined sewer system, the commission may consider any revenues collected by the wastewater utility for storm water services. However, the commission may not order storm water rates to be adjusted.

(3) Notwithstanding IC 8-1-2.7, if the water or wastewater utility:

(A) satisfies the requirements set forth in subdivision (2); and

(B) is not issued any additional enforcement orders during the rate regulation period described in subdivision (2);

the water or wastewater utility shall provide to the commission written notice to that effect. If the commission determines that the water or wastewater utility has satisfied the requirements set forth in subdivision (2) and has not been issued any additional enforcement orders during the rate regulation period described in subdivision (2), the water or wastewater utility shall be withdrawn from the commission's jurisdiction.

(4) If, during the rate regulation period described in subdivision (2):

(A) one (1) or more additional enforcement orders are issued with respect to the water or wastewater utility in connection with the same service for which the first two (2) enforcement orders were issued; or

(B) the commissioner of the department of environmental management otherwise determines that environmental or health and human safety considerations so warrant;

the commission may, in consultation with the department of environmental management, initiate a receivership proceeding with respect to the water or wastewater utility.

(5) Subdivision (1) applies with respect to any enforcement order that is issued with respect to the water or wastewater utility after the completion of the rate regulation period described in subdivision (2).

(f) The commission may enter into an agreement with the department to carry out the requirements set forth in subsection (e).

(g) An action by the department of environmental management under this section is subject to review under IC 4-21.5.

(h) An action by the commission under this section is subject to review under IC 8-1-3.

As added by P.L.18-2022, SEC.12. Amended by P.L.24-2025, SEC.1.

IC 8-1-1.9-6Wastewater utility not under the jurisdiction of the commission; required proposals; approval; IURC annual report Sec. 6. (a) This section applies to a wastewater utility that:

(1) is not subject to the jurisdiction of the commission for the approval of rates and charges; and

(2) receives wholesale wastewater service from another wastewater utility.

(b) As used in this section, "wastewater utility" means a:

(1) public utility;

(2) municipally owned utility (as defined in IC 8-1-2-1(h)) that serves fewer than eight thousand (8,000) customers;

(3) not-for-profit utility (as defined in IC 8-1-2-125(a));

(4) cooperatively owned corporation;

(5) conservancy district established under IC 14-33; or

(6) regional sewer district established under IC 13-26.

(c) Before a wastewater utility may:

(1) disconnect from the wholesale wastewater service provided by another wastewater utility; and

(2) construct a new wastewater treatment plant to serve its customers;

the wastewater utility must obtain the approval of the commission of its plan to disconnect from the other wastewater utility's wholesale wastewater service and construct a new wastewater treatment plant.

(d) A wastewater utility to which subsection (c) applies must submit to the commission as part of the wastewater utility's case in chief:

(1) the current costs incurred by the wastewater utility for utility service with the other wastewater utility providing wholesale wastewater service;

(2) the projected future costs to be incurred by the wastewater utility for utility service if the other wastewater utility were to continue providing wholesale wastewater service; and

(3) the projected future costs to be incurred by the wastewater utility for utility service if the wastewater utility were to disconnect from the other wastewater utility providing wholesale wastewater service and construct a new wastewater treatment plant.

(e) The commission may approve a wastewater utility's proposal under subsection (c) if the commission finds that:

(1) the disconnection from the wholesale wastewater service and the construction of a new wastewater treatment plant is reasonable and in the public interest;

(2) the total rates charged by the wastewater utility for wastewater service will not increase above the projected cost of continued service with the wholesale wastewater service provider as a result of the disconnection from the wholesale wastewater service and the new wastewater treatment plant construction;

(3) the wastewater utility has developed an asset management program, as defined in guidelines adopted by the Indiana finance authority under IC 5-1.2; and

(4) the wastewater utility has the legal, managerial, technical, and financial expertise to construct and manage a new wastewater treatment plant.

(f) In the commission's annual report under IC 8-1-1-14, the commission shall include a description of any activity under this section.

As added by P.L.232-2023, SEC.1. Amended by P.L.9-2024, SEC.279.

IC 8-1-2Chapter 2. Utility Regulation

8-1-2-0.3Effective date of certain amendments made to section 103 of this chapter 8-1-2-0.5State policy to promote utility investment in infrastructure while protecting affordability of utility service 8-1-2-0.6State policy concerning Indiana's electric generation resource mix, energy infrastructure, and electric service ratemaking; attributes to be considered 8-1-2-0.7State policy recognizing natural gas and propane as clean energy or green energy for state or federal funding or incentive programs; existing definitions not affected 8-1-2-1Definitions 8-1-2-1.1Transmitting communications through Internet Protocol enabled retail services; regulatory status 8-1-2-1.2Landlord, condominium association, or homeowners association distributing water or sewer service; not considered public utility; permissible charges; disclosure; complaints 8-1-2-1.3"Electric vehicle"; "electric vehicle supply equipment"; person making EV supply equipment available for public use; compensation based on kilowatt hours sold; regulatory status; retail customer's private provision of electricity to EV supply equipment on premises 8-1-2-2Legal counsel for commission 8-1-2-3Repealed 8-1-2-3.5Methods of payment; consolidated bill 8-1-2-4Services to public; rates and charges 8-1-2-4.1Public water or wastewater utilities; changes in federal or state income tax rate; petition to commission for surcharge 8-1-2-4.2Rate adjustment reflecting repeal of utility receipts tax; notice to affected customers 8-1-2-4.3Rate or charge adjustment reflecting repeal of utility receipts tax; notice to affected customers 8-1-2-4.7Levelized billing plans for income eligible electric customers; option to opt out; reconciliation mechanism; customer notice; use of term "budget billing" prohibited 8-1-2-5Joint use of facilities; failure of parties to agree; resolution by commission 8-1-2-5.5Attachments by cable operators to electric distribution poles owned by rural electric cooperatives or municipalities; calculation of rental fees; unauthorized attachments; transfers and relocations 8-1-2-6Valuation of property 8-1-2-6.1Indiana coal and clean coal technology; research, development, and preconstruction expenses 8-1-2-6.6Valuation of property; qualified pollution control property constructed before March 31, 2002 8-1-2-6.7Depreciation of clean coal technology 8-1-2-6.8Valuation of property; qualified pollution control property constructed after March 31, 2002 8-1-2-7Valuation of property; hearings 8-1-2-8Valuation of property; expenses; orders 8-1-2-9Valuation of property; revaluation 8-1-2-10Accounting systems; recovery of deferred costs 8-1-2-11Accounts and accounting; other subsidiary business 8-1-2-12Books, accounts, papers, and records 8-1-2-13Forms; conduct of business 8-1-2-14Books, accounts, papers, or records; approval of system 8-1-2-15Books, accounts, papers, or records; removal from state; directors; residence 8-1-2-16Accounts; closing date; filing with commission 8-1-2-17Accounts; examination and audit 8-1-2-18Books, accounts, papers, records, and memoranda; inspection and examination 8-1-2-19Depreciation account; calculation of depreciation rates; inclusion of depreciation and asset retirement costs in utility rates 8-1-2-20Depreciation account; rules, regulations, and forms 8-1-2-21Depreciation; rates, tolls, and charges 8-1-2-22Depreciation fund; management 8-1-2-23Construction accounts; additions or extension; approval by commission 8-1-2-23.5Public utility may seek approval of plan to develop future source of water supply; treatment of cost for ratemaking purposes 8-1-2-24Arrangement for distribution of profits or sliding scale of charges; temporary discount to demand component of electricity rates and charges 8-1-2-25Rates and charges; rules and regulations involving changes 8-1-2-26Financial statements and accounts 8-1-2-27Repealed 8-1-2-28Repealed 8-1-2-29Public inspection of commission reports, files, and records; access of parties to relevant rate information 8-1-2-30Repealed 8-1-2-31Repealed 8-1-2-32Standard commercial units of product or service 8-1-2-33Standard measurements for units of product or service 8-1-2-34Meters and measuring appliances; specifications and standards 8-1-2-34.5Customer service; determination of complaints 8-1-2-35Meters and measuring appliances; testing 8-1-2-36Meters and measuring instruments; purchase by commission for examinations and tests 8-1-2-36.5Installation of submetering equipment for individual units; adoption of rules 8-1-2-37Entry on property; testing meters and measuring instruments 8-1-2-38Filing schedule of rates and charges 8-1-2-39Filing schedule of rates and charges; rules and regulations to accompany 8-1-2-40Copies of schedule; public inspection 8-1-2-41Schedule of joint rates and charges; printing 8-1-2-42Changes in schedules 8-1-2-42.1Cost recovery; substitute natural gas contracts 8-1-2-42.3Calculation of relevant period; determination of reduction; exception 8-1-2-42.5Periodic review of rates and charges; commission to post summary of reviews of electricity suppliers on website 8-1-2-42.7Petition to change basic rates and charges; applicability; designation of test period; temporary implementation of rates and charges; extension of time; reconciliation 8-1-2-43New schedules; filing 8-1-2-44Overcharges and undercharges 8-1-2-45Rate schedules; changes in form 8-1-2-46Classification of service; commission may allow water or wastewater utility to establish customer assistance program 8-1-2-46.1Classification of service; rate for furnishing traction power 8-1-2-46.2Water or wastewater utility extension of service for economic development, to rural area, or to developed but underserved area without deposit from customers 8-1-2-46.3Connection to sewer system not required upon improvement to dwelling if no addition of bedroom and determination that septic tank soil absorption system not failing 8-1-2-47Inspections; tests; audits and investigations; rules and regulations 8-1-2-48Conduct of business; information; excessive wages; inquiry or audit of utility's power plant efficiency and system reliability 8-1-2-49Inspection of books and records; affiliated interests; jurisdiction; annual reports 8-1-2-50Compelling production of books, papers, and records; offenses 8-1-2-51Investigations; commission 8-1-2-52Information; submission to commission 8-1-2-53Information; furnishing to commission 8-1-2-54Complaints against utilities; hearing 8-1-2-54.1Actions for mandate to compel hearing or issuance of orders 8-1-2-55Complaints against utilities; notice to utilities 8-1-2-56Complaints; notice to public utility and complainant 8-1-2-57Complaints against utilities; separate hearings 8-1-2-58Complaints against utilities; investigations 8-1-2-59Complaints against utilities; investigations; hearing 8-1-2-60Complaints against utilities; hearings; decision and order 8-1-2-61Complaint by utility; contents; notice; summary orders; public hearings; alternative pricing structures for retail energy service 8-1-2-61.5Rate orders; formal public hearing; proposed regulatory procedures for small water or sewer utilities; commission findings 8-1-2-61.6Small water utilities; changes in wholesale rates; notice to purchaser; rate relief 8-1-2-61.7Petition for review of rates and charges for wholesale sewage service contracts 8-1-2-61.8"Rental unit community" 8-1-2-62Evidence; compelling production; witnesses; compelling attendance 8-1-2-63Witnesses; expenses 8-1-2-64Witnesses; depositions 8-1-2-65Record of commission proceedings and investigations 8-1-2-66Investigations; transcript of evidence; admissibility 8-1-2-67Investigations; transcript of evidence; copy 8-1-2-68Rates and charges; order fixing 8-1-2-69Complaints against utilities; orders of commission 8-1-2-70Expenses of investigations 8-1-2-71Rate schedules; changes 8-1-2-72Orders; rescission; modification 8-1-2-73Burden of proof; proceedings against utilities 8-1-2-74Investigations; self-incrimination 8-1-2-75Orders of commission; distribution of copies 8-1-2-75.5Telegraph utility stocks, bonds, commercial paper, and other evidences of indebtedness; authority to issue 8-1-2-76Stocks, bonds, commercial paper, and other evidences of indebtedness; limitations upon authority to issue 8-1-2-77Stock; consideration; discount or premium 8-1-2-78Stocks, bonds, commercial paper, and other evidences of indebtedness; authority to issue 8-1-2-79Securities; issuance; approval; fraud; offense 8-1-2-80Stocks, bonds, commercial paper, and evidences of indebtedness; certificate of authority for issuance 8-1-2-81Stocks, bonds, commercial paper, or other evidences of indebtedness; state not obligated to pay or guarantee 8-1-2-82Franchise; sale; transfer; assignment or encumbrance 8-1-2-83Franchises; sale; transfer; assignment or encumbrance; special rate contracts 8-1-2-84Merger or consolidation; acquisition, lease, sale, or encumbrance of property 8-1-2-85Municipally owned utilities; securities; fee for issuance 8-1-2-86Second utility serving same area; declaration of public convenience and necessity 8-1-2-86.5Repealed 8-1-2-87Gas utilities; necessity certificates; requirements 8-1-2-87.5Transportation of gas; necessity certificate; application; public hearing; grounds for granting certificate; revocation 8-1-2-87.6Exemption of Indiana produced natural gas; petition and hearing on rates for purchase or transport 8-1-2-87.7Gas utilities; tariffs; reasonableness factors 8-1-2-88Repealed 8-1-2-88.5Repealed 8-1-2-88.6Access charges for interconnection to local exchange facilities 8-1-2-88.7Telephone companies that are REA borrowers; rates sufficient to repay financial assistance 8-1-2-89Sewers and sewer systems; certificate of territorial authority; municipal or county acquisition and operation 8-1-2-90Repealed 8-1-2-91Grant of licenses, permits, or franchises; state corporations or citizens 8-1-2-92Indeterminate licenses, permits, or franchises; purchase or condemnation by municipality 8-1-2-93Acceptance of indeterminate licenses, permits, or franchises; effect 8-1-2-94Repealed 8-1-2-94.1Repealed 8-1-2-95Repealed 8-1-2-95.1Electric utilities; eminent domain against electric utility property prohibited 8-1-2-96Repealed 8-1-2-97Repealed 8-1-2-98Repealed 8-1-2-99Repealed 8-1-2-100Repealed 8-1-2-101Municipal regulations; county executive's power; relocation of facilities 8-1-2-101.2Municipal council or county executive prohibited from regulating utility service based on energy source used 8-1-2-101.5Compliance by municipal water or wastewater utility with Indiana utility regulatory commission rules regarding main extensions; dispute resolution 8-1-2-101.6"Capacity related fee"; "contributions in aid of construction"; "local unit"; "tap fee"; "utility"; "utility infrastructure"; capacity related fee or tap fee established after June 30, 2022; prohibition against inclusion of contributions in aid of construction; property owner's right to request meeting with local unit or utility; petition to commission; right to appeal 8-1-2-101.7Connection of workforce housing to water or wastewater system; effect of connection on utility's overall cost of service; exemption from or reduction in capacity related fee or tap fee; special contract required; discretion by utility to avoid subsidization by other customers; exemption or reduction not considered discriminatory 8-1-2-102Political influence or activities; free or reduced rates or charges for products or services; violations; offense 8-1-2-103Rates and charges; discriminatory overcharges and undercharges; offense; free service or special rate exceptions 8-1-2-104Rates and charges; undercharges by furnishing facilities to utility prohibited; exception 8-1-2-105Rates and charges; discrimination; penalty; exceptions 8-1-2-106Rates and charges; undercharges by rebates or concessions prohibited; offense 8-1-2-107Damages; loss or injury caused by violation 8-1-2-108Officers and employees; violations; municipally owned utilities; annual reports 8-1-2-109General penalty provision 8-1-2-110Repealed 8-1-2-111Repealed 8-1-2-112Continuing acts as separate offenses 8-1-2-113Commission's recommendation to governor to declare disaster emergency or state energy emergency; commission's alteration, amendment, or suspension of rates or services; limitations 8-1-2-114Accidents, investigation, and report 8-1-2-115Enforcement of law; recovery of forfeitures or penalties 8-1-2-116Orders and decisions; compliance 8-1-2-117Rates, penalties, or forfeitures; recovery action 8-1-2-118Public service commission; traveling expenses and per diem 8-1-2-119Repealed 8-1-2-120Repealed 8-1-2-121Termination of residential electric or gas service 8-1-2-122Notice of termination of service; requisites 8-1-2-125"Not-for-profit utilities"; services and facilities; reasonable and just charges; not-for-profit sewer utilities 8-1-2-126Electrical power generated outside the United States 8-1-2-127Customer billing; indication of amount of federal energy tax 8-1-2-128Nonjurisdictional water or wastewater utilities; quadrennial reports on asset management program; general administrative order by commission; required training or continuing education