Local governments could arrange group electricity purchases for customers

Counties and municipalities could approve group electricity purchasing programs by ordinance or resolution after public notice and a hearing. Programs would cover local retail electricity customers, except those under special contracts or rate plans expressly exempted by the commission. Electric cooperatives and municipal utilities could also offer or join programs under their boards’ rules and the chapter’s customer protections. Programs would need to register with the Public Service Commission and the Office of Regulatory Staff and obtain authorization before serving customers. Local governments could operate together through an agreement approved by each participating government.

Programs would have to send at least two written notices before enrolling customers, explaining rates, terms, fees, and how to decline. Customers could decline participation and keep their utility’s electricity supply service. Later departures could carry reasonable switching rules and state-approved fees needed to prevent costs from shifting to other customers. Low-income customers and customers in medical-related or similar utility programs would not owe fees to leave after enrollment. Programs could not require residential deposits and would have to offer bill assistance at least equivalent to the utility’s regular service. The penalty-free period would last at least 30 days after the second notice. Customers could leave at any time afterward under the applicable switching rules.

Programs would have to charge fair and reasonable electricity supply rates, and the Public Service Commission would approve utility cost recovery charges. The rules would cover group purchasing programs and the utilities supporting them. Bills would have to clearly show the utility’s regular supply rates and the group program’s rates. Approved charges could recover past power supply investments and public program costs even when customers buy electricity through a group program. Reasonable utility costs for supporting program implementation would be recovered through approved charges.

Programs would have to protect customer information, use clear marketing, and provide bills that explain prices, terms, and how to complain. The Office of Regulatory Staff would establish a complaint and dispute process for program customers. Utility transfers of customer information would follow privacy rules, customer consent requirements, and commission regulations. Customer data could be used only to provide service. Programs could not sell or share it except as needed for operations under confidentiality duties. Programs would have to safeguard customer information and notify affected customers and the Office of Regulatory Staff of data breaches consistent with state law.

Programs would have to meet electricity reliability standards, maintain financial security, and submit annual reports to state regulators. Annual reports would cover service, finances, and customer complaints. Emissions and renewable energy reports would be public, and renewable offerings would need accurate disclosures. The Office of Regulatory Staff could audit programs and their vendors. Programs would need annual power purchasing plans and financial backing, such as a bond or bank guarantee. The commission could require additional reserves. Ending service would require an approved transition plan that keeps utility supply uninterrupted and protects customers from undue costs. After outstanding obligations are paid, remaining funds would return to customers or support customer programs approved by the commission. The act would take effect upon the Governor’s approval. The Public Service Commission would have to adopt its initial rules within 12 months of that date.