A 3980 — "Powering Up New Jersey Act"; establishes requirements for certain public utility infrastructure investments.*

of this section and as approved by the board;

and      (3)   a strategy for meeting any missed targets for energization time periods and interconnection time periods in the future.

     i.     To reflect changed circumstances and new information, and to achieve the goal of shortening energization time periods and interconnection time periods over time, the board shall periodically update the energization time periods and interconnection time periods submitted by an electric public utility pursuant to either paragraph (2) or paragraph (4) of subsection d.

of this section and the energization and interconnection report requirements prescribed under subsection h.

     e.   j.     (1) The Ifboard amay Gridestablish Modernizationperformance Planincentives isor approved,penalties theand may require an electric public utility shallto implementtake theremedial approvedactions planto withinachieve 90the daysrequirements afterof receiptthis ofsection.  However, the board’sboard writtenshall noticeestablish orpenalties afterfor therepeated expirationviolations of the 120-dayrequirements periodadopted establishedpursuant to this section, including for failure to undertake remedial actions authorized pursuant to this subsection, and other relevant requirements adopted by subsectionthe d.board.

of     thisk.    section,The asboard may adopt rules and regulations, pursuant to the case“Administrative mayProcedure be,Act,” orP.L.1968, withinc.410 another(C.52:14B-1 timeframeet agreedseq.), as may be necessary to byeffectuate the board.provisions of this section.

       (2) 3.    IfAs aused planin issections conditionally3 approved,through the10 board’sof writtenP.L.    , noticec.    shall(C.         specifythrough theC.        ) conditions(pending thatbefore are to be satisfied in order for the planLegislature toas be deemed approved pursuant to this section. bill):  The     electric“Board” publicmeans utility shall implement the conditionallyNew approvedJersey plan,Board in accordance with the conditions specified in the notice, either within 90 days after receipt of thePublic board’sUtilities notice or withinany anothersuccessor timeframeagency. agreed to by the board.

     (3) “Gas Ifpublic autility” planmeans is disapproved, the board’s written notice shall be accompanied by a detailedpublic statementutility, describingas thethat reasonsterm foris disapproval. defined Notin moreR.S.48:2-13, thanthat 30distributes daysgas after receipt of the board’s notice, the electric public utility shall submit a revised Grid Modernization Plan to theend board,users andwithin the boardState. shall approve, conditionally approve, or disapprove the revised plan in accordance with the provisions of this section.

       3. “In (Newservice” section)means a. when Noa laterproject thanapproved 90for daysinclusion afterin a Gridpublic Modernizationutility’s PlanInfrastructure receivesInvestment approval,Program oris withinfunctioning anotherin timeframeits agreedintended topurpose, byhas thefinished boardconstruction pursuantand tois sectionactively 2in ofuse, P.L.    ,and c.   is (C.          )actively (pendinghelping before the Legislaturepublic asutility thisto bill),provide theefficient electric public utility shallservice. commence implementing the plan.  The plan shall be fully implemented within the timeframe specified in the plan pursuant to subsection c.

of     section“Program” ofmeans P.L.    , c.    (C.          ) (pending before the LegislatureInfrastructure asInvestment thisProgram bill). established Inby the eventboard thatpursuant an electric public utility is unable to fullysubsection implementa. its plan, it shall provide written notice to this effect to the board.

    of b. section Subject4 toof reviewP.L.    , byc.    the(C.        ) board,(pending anbefore electric public utility shall be entitled to full and timely cost recovery for all costs incurred in the implementationLegislature ofas itsthis plan.bill).

       4. “Public (Newutility” section)means a.  No later than one year after the effectivesame dateas of this act, the board shall develop a program to provide grants to electric public utilities for the purpose of providing financial relief to ratepayers for rate increases caused by the implementation of a Grid Modernization Plan.       b.  The board shall develop priority ranking criteria for the award of grants under the program.  The priority ranking criteria shall provide additional priority for a project that receivesterm fundingis defined pursuant to theR.S.48:2-13. federal "Infrastructure Investment and Jobs Act," Pub.L.117-58, or the federal “Inflation Reduction Act,” Pub.L.117-169.

     c. “Water Therepublic isutility” establishedmeans ineither:  the(1) Boardan ofinvestor-owned Publicpublic Utilitiesutility athat special,provides nonlapsingwater fundpublic toutility beservice; known as the Grid Modernization Ratepayer Relief Fund.

 Moneysor in(2) thea fundmunicipal shallpublic beutility usedthat byprovides thewater boardutility solelyservice forto themore purposethan of1,000 administeringbilled thecustomers grantin programanother developedmunicipality pursuantand tocharges thisa section. different Therate fundto shallcustomers bewithin administeredthe bymunicipality thethan boardit andcharges shallto becustomers creditedoutside with:of the municipality.

       (1)4.    moneysa.  The Board of Public Utilities shall permit, through a program to be known as an Infrastructure Investment Program, a public utility to accelerate its investment in the construction, installation, and rehabilitation of certain public utility plants and facilities that areenhance appropriatedsafety, intoreliability, and resiliency or support economic growth and the fundachievement byof applicable federal, State, regional, and local air quality and decarbonization standards, including, but not limited to, standards prescribed in section 2 of P.L.    , c.    (C.        ) (pending before the Legislature;Legislature as this bill).  The purpose of an Infrastructure Investment Program shall be to provide a rate recovery mechanism that encourages and supports necessary accelerated construction, installation, and rehabilitation of certain public utility plants and equipment.  As set forth in sections 3 through 10 of P.L.    , c.    (C.         through C.        ) (pending before the Legislature as this bill), such investment shall occur in a systematic and sustained way to advance construction, installation, and rehabilitation of public utility infrastructure needed for continued system safety, reliability, and resiliency and for sustained economic growth in the State of New Jersey.

     (2)b.    moneysThrough receivedthe fromInfrastructure theInvestment societalProgram, benefitsa chargepublic establishedutility pursuantmay obtain accelerated recovery of qualifying investments, subject to sectionthe 12terms of P.L.1999,sections c.233 (C.48:3-60),through 10 of P.L.    , c.    (C.         through C.        ) (pending before the Legislature as deemedthis appropriatebill), and any other conditions set by the board;board in approving a public utility’s Infrastructure Investment Program.  To participate in the program, a public utility shall apply to the board in a manner and form determined by the board.

     (3)c.     moneysThe madeboard availableshall torequire frequent and detailed reporting of expenditures during all phases of an Infrastructure Investment Program, as set forth in sections 3 through 10 of P.L.    , c.    (C.         through C.        ) (pending before the boardLegislature pursuantas this bill), to ensure prudent investment and compliance with the implementationprovisions of thesections Regional3 Greenhousethrough Gas10 Initiativeof andP.L.    , P.L.2007,c.    c.340(C.         (C.26:2C-45through etC.        ) seq.);(pending before the Legislature as this bill).

and       (4)5.    anya.  returnThe onprojects investmentwithin an Infrastructure Investment Program shall be:       (1)   related to safety, reliability, or resiliency or are otherwise necessary to comply with section 2 of moneysP.L.    , depositedc.    in(C.        ) (pending before the fund.Legislature as this bill);

       5.   (2)   Sectionnon-revenue ofproducing P.L.1999,unless c.23the (C.48:3-60)project is amendednecessary to readcomply with section 2 of P.L.    , c.    (C.        ) (pending before the Legislature as follows:this bill);

     12.(3)   specifically identified by the public utility within its petition in support of an Infrastructure Investment Program;

a.and      (4)   approved by the board for inclusion in a public utility’s Infrastructure Investment Program in response to the public utility’s petition.

Simultaneously     withb.    theProjects startingwithin datea forpublic utility’s Infrastructure Investment Program may include:       (1)   the implementationreplacement of retailgas choiceutilization aspressure determinedcast byiron themains boardwith pursuantelevated topressure subsectionmains a.and associated services;

of     section(2)   5 of P.L.1999, c.23 (C.48:3-53), the boardreplacement shallof permitmains each electric public utility and gasservices public utility to recover some or all of the following costs through a societal benefits charge that shallare beidentified collected as ahigh non-bypassablerisk chargein imposeda on all electric public utility customers and gas public utilityutility’s customers,Distribution asIntegrity appropriate:Management Plan;

     (1)(3)   the costsinstallation for the social programs for which rate recovery was approved by the board prior to April 30, 1997.  For the purpose of establishinggas initialexcess unbundledflow ratesvalves pursuantwhere toexisting sectiongas 4 of P.L.1999, c.23 (C.48:3-52), the societal benefits charge shall be set to recover the same level of social program costs as is being collected in the bundled rates of the electric public utility onservice theline effectivereplacements daterequire ofthem, P.L.1999,excluding c.23excess (C.48:3-49flow etvalves al.). installed Theupon boardcustomer mayrequest subsequently order, pursuant to its49 rulesC.F.R. and regulations, an increase or decrease in the societal benefits charge to reflect changes in the costs to the utility of administering existing social programs.  Nothing in P.L.1999, c.23 (C.48:3-49 et al.) shall be construed to abolish or change any social program required by statute or board order or rule or regulation to be provided by an electric public utility.  Any such social program shall continue to be provided by the utility until otherwise provided by law, unless the board determines that it is no longer appropriate for the electric public utility to provide the program, or the board chooses to modify the program;

    s.192.383; (2)  nuclear plant decommissioning costs;

     (3) (4)   the costs of demand side management programs that were approved by the board pursuant to its demand side management regulations prior to April 30, 1997.  For the purpose of establishing initial unbundled rates pursuant to section 4 of P.L.1999, c.23 (C.48:3-52), the societal benefits charge shall be set to recover the same level of demand side management program costs as is being collected in the bundled rates of the electric publicdistribution utilityautomation oninvestments, theincluding, effectivebut datenot oflimited P.L.1999,to, c.23supervisory (C.48:3-49control et al.).  Within four months of the effective date of P.L.1999, c.23 (C.48:3-49 et al.), and everydata fouracquisition yearsequipment, thereafter,cybersecurity theinvestments, boardrelays, shallreclosers, initiatevoltage a proceeding and causereactive topower becontrol, undertakencommunications anetworks, comprehensive resource analysis of energy programs, and withindistribution eightmanagement monthssystem ofintegration; initiating such proceeding and after notice, provision of the opportunity for public comment, and public hearing, the board, in consultation with the Department of Environmental Protection, shall determine the appropriate level of funding for energy efficiency, light, medium, and heavy-duty plug-in electric vehicles, including school buses, and associated plug-in electric vehicle charging infrastructure, energy storage, [and] Class I renewable energy programs that provide environmental benefits above and beyond those provided by standard offer or similar programs in effect as of the effective date of P.L.1999, c.23 (C.48:3-49 et al.);

[provided     that(5)   the] and ratepayer relief grants issued pursuant to section 4 of P.L.    , c.    (C.          ) (pending before the Legislature as this bill).  The funding for such programs shall be no less than 50 percent of the total Statewide amount being collected in electric and gas public utility rates for demand side management programs on the effective date of P.L.1999, c.23 (C.48:3-49 et al.) for an initial period of four years from the issuance of the first comprehensive resource analysis following the effective date of P.L.1999, c.23 (C.48:3-49 et al.), and [provided that] percent of this amount shall be used to provide funding for Class I renewable energy projects in the State.  In each of the following fifth through eighth years, the Statewide funding for such programs shall be no less than 50 percent of the total Statewide amount being collected in electric and gas public utility rates for demand side management programs on the effective date of P.L.1999, c.23 (C.48:3-49 et al.), except that as additional funds are made available as a result of the expiration of past standard offer or similar commitments, the minimum amount of funding for such programs shall increase by an additional amount equal to 50 percent of the additional funds made available, until the minimum amount of funding dedicated to such programs reaches $140,000,000 total.  After the eighth year the board shall make a determination as to the appropriate level of funding for these programs.  Such programs shall include a program to provide financial incentives for the installation of Classbreak-predictive Iwater renewablesensors energy projects in the State, and thewastewater board,sensors in consultation with the Department of Environmental Protection, shall determine the level and total amount of such incentives as well as the renewable technologies eligible for such incentives which shall include, at a minimum, photovoltaic, wind, and fuel cells.  The board shall simultaneously determine, as a result of the comprehensive resource analysis, the programs to becurtail fundedcombined bysewer theoverflows; societal benefits charge, the level of cost recovery and performance incentives for old and new programs and whether the recovery of demand side management programs’ costs currently approved by the board may be reduced or extended over a longer period of time.  The board shall make these determinations taking into consideration existing market barriers and environmental benefits, with the objective of transforming markets, capturing lost opportunities, making energy services more affordable for low income customers and eliminating subsidies for programs that can be delivered in the marketplace without electric public utility and gas public utility customer funding.  In addition to the determinations above, the board shall allocate sufficient funding from the societal benefits charge to cover the remaining cost of fully funding incentive awards issued for transmission-scale energy storage systems that are eligible projects pursuant to P.L.2025, c.136 (C.48:3-121.2 et al.), after accounting for funding allocated to this purpose from other sources;

     (4)(6)   manufacturedelectric gasdistribution plantinfrastructure remediationinvestments, costs,including, whichbut shallnot belimited determinedto, initiallypoles, inwires, asubstations, manner consistent with mechanisms in the remediation adjustment clauses for the electric public utility and gasother publicfacilities; utility adopted by the board;

and      (5)(7)   theother cost[,]projects ofdeemed consumerappropriate education, as determined by the board,board. which shall be in an amount that, together with the consumer education surcharge imposed on electric power supplier license fees pursuant to subsection h.

of     sectionc.     29A public utility shall maintain its capital expenditures on projects similar to those proposed within the public utility’s Infrastructure Investment Program approved by the board.  These capital expenditures shall amount to at least 10 percent of P.L.1999,any c.23approved (C.48:3-78)Infrastructure andInvestment Program.  These capital expenditures shall be made in the consumernormal educationcourse surchargeof imposedbusiness onand gasrecovered supplierin licensea feesbase pursuantrate proceeding and shall not be subject to subsectionthe g.recovery mechanism set forth in N.J.A.C.14:3-2A.6 or it successor.

of  section     306.    ofa.  P.L.1999,A c.23public (C.48:3-79),utility shallseeking beto sufficientestablish toan fundInfrastructure theInvestment consumerProgram educationshall, programwithin establishedits pursuantpetition to sectionthe 36board, ofpropose P.L.1999,annual c.23baseline (C.48:3-85). spending     levels b.   to Therebe ismaintained establishedby inthe public utility throughout the Boardlength of Publicthe Utilitiesproposed aInfrastructure nonlapsingInvestment fundProgram.  toThese expenditures shall be knownrecovered asby the "Universalpublic Serviceutility Fund." in Thethe boardnormal shallcourse determine:within the public utility’s next base rate case.

the     levelb.    ofIn fundingproposing andannual thebaseline appropriatespending administrationlevels ofpursuant theto fund;subsection a.

of this section, the purposespublic andutility programsshall provide appropriate data to bejustify fundedthe withproposed moniesannual frombaseline spending levels, which may include historical capital expenditure budgets, projected capital expenditure budgets, depreciation expenses, and any other data relevant to the fund;public utility's proposed baseline spending level.

which     socialc.     programsUpon approving a public utility’s proposed Infrastructure Investment Program, the board shall beestablish, providedwithin byits anorder electricapproving the public utilityutility’s asInfrastructure partInvestment Program, annual baseline spending levels for each year of the provisionInfrastructure ofInvestment Program.  In establishing the annual baseline spending levels, the board shall set forth, within its regulatedorder servicesapproving whichthe provideInfrastructure Investment Program, the factors used to establish the annual baseline spending levels.  The board, in its discretion, may consider a public benefit;utility’s historical capital expenditure budgets, projected capital expenditure budgets, depreciation expenses, or any other data deemed relevant by the board in establishing the annual baseline spending levels.

whether     thed.    fundsOnly appropriatedexpenditures toin fundexcess theof "Lifeline Credit Program" established pursuant to P.L.1979, c.197 (C.48:2-29.15 et seq.), the "Tenants'annual Lifelinebaseline Assistancespending Program"levels, established pursuantby to P.L.1981, c.210 (C.48:2-29.30 et seq.), the fundsboard received pursuant to thesubsection Lowc. Income Home Energy Assistance Program established pursuant to 42 U.S.C.

s.8621of etthis seq.,section, and fundsthat collectedmeet bythe electricother andrequirements gasof publicsections utilities,3 asthrough authorized10 byof theP.L.    , board,c.    to(C.        ) offset(pending uncollectiblebefore electricitythe andLegislature naturalas gasthis billsbill) shouldshall be depositedeligible infor theaccelerated fund;recovery pursuant to N.J.A.C.14:3-2A.6 or it successor.

and  whether     new7.    chargesa.  shouldA bepublic imposedutility tomay fundpetition newthe orboard expandedfor socialapproval programs.of an Infrastructure Investment Program extending for a period of five years or less.

(cf:     b.    The board may limit the size of a public utility’s Infrastructure Investment Program due to its anticipated impact on public utility rates or for any other reason determined by the board.

P.L.2025,     c.136,c.     s.7)A  public     utility 6.   that Sectionoffers 7more ofthan P.L.2007,one c.340regulated (C.26:2C-51)service ismay amendedfile separate petitions to readestablish asseparate follows:Infrastructure Investment Programs for each regulated service offered by the public utility.  Under these circumstances, each Infrastructure Investment Program approved by the board shall be subject to its own respective spending cap.

     7.d.    A water public utility shall not simultaneously maintain an Infrastructure Investment Program and utilize the board's Distribution System Improvement Charge authorized pursuant to N.J.A.C.14:9-10.1 et seq.

a.or its successor.  Before filing a petition in support of a proposed Infrastructure Investment Program pursuant to sections 3 through 10 of P.L.    , c.    (C.         through C.        ) (pending before the Legislature as this bill), a water public utility shall first close out any existing Distribution System Improvement Charge program.

The     agenciese.     administeringAllowance programsfor establishedFunds pursuantUsed toDuring thisConstruction section shall maximizebe coordinationpermitted inunder thean administrationInfrastructure ofInvestment theProgram programsbut toa avoidpublic overlaputility betweenshall thenot usesutilize ofAllowance thefor fundFunds prescribedUsed inDuring thisConstruction section.once Infrastructure Investment Program facilities are placed in service.

     b.   f.     MoneysYear-to-year variations in thea fund,public afterutility’s appropriationapproved annuallyInfrastructure forInvestment paymentProgram’s annual budget of administrativeup coststo authorized10 pursuantpercent toshall subsectionbe c.permitted, provided that the total budget for a public utility’s Infrastructure Investment Program is not exceeded.

ofVariations thisin section,excess shallof be10 annuallypercent appropriatedshall andrequire used for the followingboard’s purposes:approval.

       (1) 8.    Sixtya.  percent shall be allocated to the New Jersey Economic Development Authority to provide grants and other forms of financial assistance to commercial, institutional, and industrial entities to support end-use energy efficiency projects and new, efficient electric generation facilities that are state of the art, as determined by the department, including but not limited to energy efficiency and renewable energy applications, to develop combined heat and power production and other high efficiency electric generation facilities, to stimulate or reward investment in the development of innovative carbon emissions abatement technologies with significant carbon emissions reduction or avoidance potential, to develop qualified offshore wind projects pursuant to section 3 of P.L.2010, c.57 (C.48:3-87.1), and to provide financial assistance to manufacturers of equipment associated with qualified offshore wind projects.  The authority, in consultation with the board and the department, shall determine: not (a)require thea appropriatepublic levelutility of grants or other forms of financial assistance to beestablish awardedan toInfrastructure individualInvestment commercial,Program. institutional, and industrial sectors and to individual projects within each of these sectors;

(b)     theb.    evaluationA criteriapublic forutility selectingrequesting projectsapproval to be awarded grants or other forms of financialan assistance,Infrastructure whichInvestment criteriaProgram shall include thewithin abilityits ofpetition:  the     project(1)   toprojected resultannual incapital aexpenditure measurablebudgets reductionfor of the emission of greenhouse gases or a measurablefive-year reductionperiod, inidentified energyby demand,major provided,categories however, that neither the development of aexpenditures; new combined heat and power production facility, nor an increase in the electrical and thermal output of an existing combined heat and power production facility, shall be subject to the requirement to demonstrate such a measurable reduction;

and     (c)(2)   theactual processannual bycapital whichexpenditures grants or other forms of financial assistance can be applied for and awarded including, if applicable, the paymentprevious termsfive andyears, conditionsidentified forby authoritymajor investmentscategories inof certainexpenditures; projects with commercial viability;

     (2) (3)   Twentyan percentengineering shallevaluation beand allocatedreport identifying the specific projects to be included in a public utility’s proposed Infrastructure Investment Program with descriptions of project objectives, including the board:specific expected resilience benefits, detailed cost estimates, in-service dates, and any applicable cost-benefit analysis for each project;

to     support(4)   programsan thatInfrastructure areInvestment designedProgram tobudget reducesetting electricityforth demandannual orbudget costsexpenditures; to electricity customers in the low-income and moderate-income residential sector with a focus on urban areas, including efforts to address heat island effect and reduce impacts on ratepayers attributable to the implementation of P.L.2007, c.340 (C.26:2C-45 et al.) [or] ;

to     support(5)   thea lightproposal dutyaddressing plug-inwhen electric vehicle incentive program and the incentivepublic programutility forintends in-hometo electricfile vehicleits servicenext equipmentbase establishedrate pursuantcase, toconsistent sectionswith 4N.J.A.C.14:3-2A.6(f) andor 6its ofsuccessor; P.L.2019, c.362 (C.48:25-4 and C.48:25-6);

or     to(6)   provideproposed ratepayerannual reliefbaseline grantsspending pursuantlevels, toconsistent section 4 of P.L.    , c.    (C.          ) (pending before the Legislature as this bill) .  For the purposes of this paragraph, the board, in consultation with theN.J.A.C. authority and the department, shall determine the types of programs to be supported and the mechanism by which to quantify benefits to ensure that the supported programs result in:

a14:3-2A.3(a) measurableand reduction(b) inor energyits demandsuccessor; [or] ;

accomplishment     of(7)   the plug-inmaximum electricdollar vehicleamount, goalsin establishedaggregate, pursuantthat the public utility seeks to sectionrecover 3through ofits P.L.2019,Infrastructure c.362Investment (C.48:25-3);Program;

orand effective     subsidization(8)   ofthe gridestimated modernizationrate projectsimpact pursuantof tothe P.L.    ,proposed c.   Infrastructure (C.          )Investment (pendingProgram beforeon the Legislaturepublic asutility’s thiscustomers. bill);

     (3) c.     TenIn percentconsidering shalla bepublic allocatedutility’s topetition thein department to support programsof designedan toInfrastructure promoteInvestment localProgram, governmentthe effortsboard tomay plan,require developthat andthe implementpublic measuresutility:  to     reduce(1)   greenhouseprovide gasany emissions,supplemental includinginformation, butbeyond notthe limitedinformation torequired technicalunder assistanceN.J.A.C.14:3-2A.5(b) toor localits governments,successor, andthat the awardingboard ofdeems grantsnecessary and other forms of assistance to localevaluate governments to conduct and implement energy efficiency, renewable energy, and distributed energy programs and land use planning where the grantpublic orutility’s assistancepetition results in asupport measurable reduction of theits emissionInfrastructure ofInvestment greenhouseProgram; gases or a measurable reduction in energy demand.

For     the(2)   purposeretain an independent Infrastructure Investment Program monitor, as a condition of conductingapproval anyof programthe pursuantpublic utility’s petition, to thisreview paragraph,and theprovide department,quarterly inor consultationsemi-annual withreports to the authorityboard and to the board,Division of Rate Counsel, where the monitor shall determine: be (a)paid by the appropriatepublic levelutility.  ofIf grantsthe orboard otherrequires formsan independent Infrastructure Investment Program monitor, the monitor’s reports shall address:       (a)   the effectiveness of financialInfrastructure assistanceInvestment toProgram beinvestments awardedin tomeeting localproject governments;objectives;

(b)     (b)   the evaluationcost-effectiveness criteriaand forefficiency selecting projects to be awarded grants or other forms of financialinvestments; assistance;

(c)     (c)   the processappropriateness by which grants or other forms of financialcost assistanceassignments; can be applied for and awarded;

and (d)     a(d)   mechanismany byother whichinformation torequired quantifyby benefits;the board.

and      (4) d.    TenBefore percentthe shallboard beapproves allocateda topublic utility’s Infrastructure Investment Program, the departmentboard toshall supportconduct programsa thatpublic enhancehearing.  Notice of the stewardshippublic andhearing restorationshall ofcontain the State'smaximum forestsdollar amount the public utility seeks to recover through its Infrastructure Investment Program and tidalthe marshesestimated thatrate provideimpact importantof opportunitiesthe topublic sequesterutility’s orInfrastructure reduceInvestment greenhouseProgram gases.on the public utility’s customers.

      c.e.     Following the board’s approval of a public utility’s petition in support of the public utility’s Infrastructure Investment Program, the public utility shall file supportive semi-annual status reports with the board and the Division of Rate Counsel for project management and oversight purposes that, at a minimum, contain the following:       (1)   forecasted and actual costs of the public utility’s Infrastructure Investment Program for the applicable reporting period, and for the Infrastructure Investment Program to date, where Infrastructure Investment Program projects are identified by major category;

(1)     The(2)   departmentthe mayestimated usetotal upquantity to four percent of thework totalcompleted amountunder in the fundpublic eachutility’s yearInfrastructure toInvestment payProgram foridentified administrative costs justifiable and approved in the annual budget process, incurred by themajor departmentcategory.  inIf administering the provisionswork ofcannot P.L.2007,be c.340quantified, (C.26:2C-45major ettasks al.)completed andshall inbe administeringprovided; programs to reduce the emissions of greenhouse gases including any obligations that may arise under subsection a.

of     section(3)   11estimated ofcompletion P.L.2007,dates c.340for (C.26:2C-55).the public utility’s Infrastructure Investment Program as a whole and estimated completion dates for each major Infrastructure Investment Program category;

     (2) (4)   Theanticipated boardchanges may use up to twoInfrastructure percentInvestment ofProgram theprojects, totalif amountany; in the fund each year to pay for administrative costs justifiable and approved in the annual budget process, incurred by the board in administering the provisions of P.L.2007, c.340 (C.26:2C-45 et al.) and in administering programs to reduce the emissions of greenhouse gases including any obligations that may arise under subsection a.

of     section(5)   11actual capital expenditures made by the public utility in the normal course of P.L.2007,business c.340on (C.26:2C-55).similar projects, identified by major category;

and      (3) (6)   Theany Newother Jerseyperformance Economicmetrics Developmentconcerning Authoritya maypublic useutility’s upInfrastructure toInvestment twoProgram percentas ofmay thebe totalrequired amount in the fund each year to pay for administrative costs justifiable and approved in the annual budget process, incurred by the authorityboard. in administering the provisions of P.L.2007, c.340 (C.26:2C-45 et al.) and in administering programs to reduce the emissions of greenhouse gases.

       d.   9.    Thea.  StateA Comptrollerpublic shallutility conductmay file for annual or supervisesemi-annual independentrate auditrecovery andfor fiscalfacilities oversightconstructed functionsand ofplaced thein fundservice andunder itsan uses.Infrastructure Investment Program.

(cf:     b.    Each filing made by a public utility seeking accelerated recovery under an Infrastructure Investment Program shall seek recovery, at a minimum, of at least 10 percent of overall Infrastructure Investment Program expenditures.

P.L.2019,     c.362,c.     s.12)A  public     utility’s 7.   expenditures Thismade actprior to the board’s approval of an Infrastructure Investment Program shall takenot effectbe immediately.eligible for accelerated recovery.

       d.    STATEMENTRates  approved      by Thisthe billboard wouldfor requirerecovery eachof electricexpenditures publicunder utilityan inInfrastructure theInvestment StateProgram toshall developbe accelerated and implementrecovered through a planseparate clause of the utility’s board-approved tariff.  However, the separate clause shall not exceed five percent of the amount billed to modernizethe public utility’s customers under the electricapplicable distributiondelivery systemrates withinof itsthe territory.public utility.  The board may, upon petition by a public utility, waive the five percent-limit under this subsection to ensure and maintain adequate, efficient, safe, reliable, and reasonable public utility service.

          Thee.     billRates wouldapproved requireby eachthe Gridboard Modernizationfor Planrecovery (plan)of toexpenditures beunder submitteda topublic theutility’s BPUInfrastructure noInvestment laterProgram thanshall onebe yearprovisional, aftersubject theto bill'srefund effectiveand date. interest.  ThePrudence billof wouldInfrastructure provideInvestment thatProgram theexpenditures planshall maybe includedetermined projectsin related to energy storage, the interconnectionpublic ofutility’s distributednext energybase sourcesrate (e.g.case.

rooftop     solarf.     facilities),A andpublic theutility abilityshall tofile deliverits cleannext energybase pursuantrate tocase thenot State's greenhouse gas emissions goals, as well as other items.  The bill would require each plan to include a timeline for its implementation.  No later than 90five daysyears after an electric public utility receives the BPU'sboard’s approval of itsthe plan,public itutility’s wouldInfrastructure beInvestment requiredProgram tostart begindate.  implementingHowever, the plan. board Themay bill would require thea public utility to completefile theits plannext withinbase therate providedcase timeline,within ora elseshorter provideperiod. notice to the BPU that it is unable to do so.

          Theg.    billA would require the BPU to develop a program to provide grants to electric public utilitiesutility formay thecontinue purpose of providing financial relief to ratepayersfile for rateaccelerated increasesrecoveries causedduring by the implementationapproved ofInfrastructure aInvestment plan. Program Theperiod billnotwithstanding would also authorize the BPUfiling to use moneys in the Clean Energy Fund (the colloquial name for moneys collected through the societal benefits charge) and moneys collected through the State's participation in the Regional Greenhouse Gas Initiative (RGGI), in order to issue ratepayer relief grants under the program.  The bill would amend current law establishing the permitted uses of funds from the societalpublic benefitsutility’s chargenext andbase RGGIrate tocase. provide for the use of those funds to provide ratepayer relief grants to offset the costs of a project undertaken pursuant to a plan.

     h.    An earnings test shall be required, where return on equity shall be determined based on the actual net income of the public utility for the most recent 12-month period divided by the average of the beginning and ending common equity balances for the corresponding period.

     i.     For any Infrastructure Investment Program approved by the board, if the calculated return on equity exceeds the allowed return on equity from the public utility’s last base rate case by 50 basis points or more, accelerated recovery shall not be allowed for the applicable filing period.

       10.  The board shall adopt rules and regulations, pursuant to the “Administrative Procedure Act,” P.L.1968, c.410 (C.52:14B-1 et seq.), as may be necessary to effectuate the provisions of sections 3 through 9 of P.L.    , c.    (C.         through C.        ) (pending before the Legislature as this bill), including, but not limited to, rules and regulations updating the board’s existing Infrastructure Investment Program established pursuant to regulations adopted under subchapter 2A of chapter 3 of Title 14 of the New Jersey Administrative Code.

       11.  This act shall take effect immediately.