FIRST REGULAR SESSION

HOUSE BILL NO. 434

93RD GENERAL ASSEMBLY

INTRODUCED BY REPRESENTATIVES RECTOR (Sponsor), BIVINS, LeVOTA, MYERS, HOBBS,

 QUINN, GEORGE, YOUNG, VIEBROCK, BARNITZ, SKAGGS, WAGNER, RICHARD, McGHEE,

 COOPER (120), SCHAD, WALSH, EMERY, PRATT, BYRD AND YATES (Co-sponsors).

         Read 1^st time February 2, 2005 and copies ordered printed.

STEPHEN S. DAVIS, Chief Clerk

1266L.01I

AN ACT

To amend chapter 386, RSMo, by adding thereto one new section relating to the public service commission's duties and powers.

Be it enacted by the General Assembly of the state of Missouri, as follows:

            Section A. Chapter 386, RSMo, is amended by adding thereto one new section, to be known as section 386.385, to read as follows:

            386.385. Notwithstanding any law to the contrary, the commission shall be authorized, in any case or proceeding before the commission, to approve alternate rate regulation plans submitted by or otherwise agreed to by electrical, gas, or water corporations, including requests for advance approval of rate making principles to be applied to future transactions or projects, or plans that utilize incentives or mechanisms to recover through timely periodic rate adjustments outside of general rate proceedings changes in any cost prudently incurred, whether capital or expense, including:

            (1) Fuel, including transportation costs, and purchased power costs;

            (2) Environmental compliance costs; or

            (3) Any other cost or revenue items affecting utility rates, or other mechanisms designed to more timely match revenues with the incurrence of costs.