New Jersey § 48:19-29

§ 48:19-29.

As used in P.L.2023, c. 315 ( C.48:19-29 et seq. ): “ Adjusted weighted average cost of capital ” means the weighted average of the debt and equity components of a utility's capital

structure, where the equity component shall equal the equity rate approved by the

board in the utility's most recent base rate case and the debt component shall equal

the approved embedded long-term cost of debt (LTD), which component shall be adjusted

semi-annually to reflect the actual embedded cost of LTD at the end of the RESIC recovery

period, and which component shall not include short-term debt. “ Board ” means the Board of Public Utilities or any successor agency. “ Depreciation expense ” means the amount equal to the total amount of RESIC eligible investments, multiplied

by the weighted composite depreciation rate on those assets utilizing depreciation

rates, as most recently approved by the board. “ In-service ” means when a RESIC-eligible project has been substantially completed, is functioning

in its intended purpose, and is used and useful for the provision of utility service. “ Pre-tax adjusted weighted average cost of capital ” means the adjusted weighted average cost of capital calculated on a pre-income tax

basis. “ Requirement ” means a decision or regulation imposed on a utility by the State, including any

political subdivision thereof, or the federal government, in connection with any of

the following: the “Federal Water Pollution Control Act Amendments of 1972” ( 33 U.S.C. s.1251 et seq. ); the federal “Safe Drinking Water Act” ( 42 U.S.C. 300f et seq. ); any other law, order, or regulation administered by the United States Environmental

Protection Agency, the United States Army Corps of Engineers, the United States Department

of Transportation, the United States Department of Homeland Security, the New Jersey

Office of Homeland Security and Preparedness, the New Jersey Department of Transportation,

or the New Jersey Department of Environmental Protection; or a regulation imposed by any local government unit related to the provision of water

or wastewater service, or both, or imposing more stringent standards than those adopted

by law. “ RESIC ” means the Resiliency and Environmental System Investment Charge program, established

pursuant to P.L.2023, c. 315 ( C.48:19-29 et seq. ). “ RESIC-cap ” or “ cap ” means the maximum amount of RESIC revenues that a utility may recover, during the

period the RESIC rate is in effect, through the assessment or surcharge computed pursuant

to P.L.2023, c. 315 ( C.48:19-29 et seq. ). “ RESIC-eligible project ” or “ eligible project ” means a water or wastewater system project, or both, with projected costs that are: non-revenue producing; specifically identified by the utility within its petition in support of a RESIC; not already being recovered through current base rates, as set by the utility's most

recent base rate case proceeding or through another infrastructure surcharge mechanism;

and approved by the board for inclusion in a RESIC in response to the utility's petition. “ RESIC filing ” means the semi-annual filing made by a utility pursuant to section 4 of P.L.2023, c. 315 ( C.48:19-32 ) for each RESIC recovery period, which filing contains actual data for the RESIC

recovery period. “ RESIC period ” means the period of time between the effective date of the foundational filing and

the rate effective date of the next base rate case. “ RESIC rate ” means the surcharge added to a utility customer's bill, calculated pursuant to the

provisions of P.L.2023, c. 315 ( C.48:19-29 et seq. ), which rate shall be assessed on the basis of meter charges or meter equivalent

basis, and which shall remain in effect for the duration of the RESIC period. “ RESIC recovery period ” means the six-month period preceding each RESIC filing submitted pursuant to subsection

b. of section 4 of P.L.2023, c. 315 ( C.48:19-32 ), provided that the RESIC-eligible project for which filing is submitted shall be

completed and in-service during this period. “ RESIC revenue requirement recovery amount ” means the total eligible amount to be recovered through the RESIC rate, as calculated

pursuant to section 7 of P.L.2023, c. 315 ( C.48:19-35 ). “ Restoration costs ” means costs necessary to restore construction to preconstruction condition or as

dictated by federal, State, county, or municipal laws, rules, ordinances, orders,

or regulations, including, but not limited to, paving, sidewalks, curbing, landscaping,

and traffic control costs for RESIC-eligible projects approved in a foundational filing. “ Revenue factor ” means a gross-up for the associated revenue taxes, uncollectibles, board assessment,

and Division of Rate Counsel assessment, adjusted to properly reflect the revenue

required to generate the agreed upon rate of return. “ Utility ” means a water utility and wastewater utility as defined in this section. “ Wastewater treatment service ” means the management of wastewater and includes any activity related to the collection,

storage, transport, handling, delivery, processing, treatment, or disposal of wastewater,

and other similar activities. “ Wastewater utility ” means an investor-owned public utility, as defined in R.S.48:2-13 , that provides wastewater treatment service. “ Water utility ” means an investor-owned public utility, as defined in R.S.48:2-13 , that provides water service, or a municipal public utility that provides water service

to more than 1,000 billed customers in another municipality and charges a different

rate to customers inside the municipality than it charges customers outside of the

municipality.