Delaware 149th General Assembly (2017-2018) Status: Passed Senate 1 D cosponsors

SB 226 — AN ACT TO AMEND TITLE 6 AND TITLE 26 OF THE DELAWARE CODE RELATING TO THE PUBLIC SERVICE COMMISSION AND THE REGULATION OF MOTOR VEHICLE DEALERS AND PUBLIC UTILITIES.

Last action — Reported Out of Committee (Energy) in House with 6 On Its Merits

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  1. ✓
    Introduced
  2. ✓
    In Committee
  3. 3
    Passed Senate
  4. 4
    Passed House
  5. 5
    To Executive
  6. 6
    Enacted

This bill died with 149th General Assembly (2017-2018). It reached “Passed Senate” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.

This bill is no longer active — its legislative session has ended, so there is no live prognosis. It would have to be reintroduced in the current session to move again.

Summary

The Public Service Commission’s (“PSC”) authority over public utilities has been changed by recent decisions by the Federal Communications Commission (“FCC”) and legislation enacted in Delaware. This Act changes the statutory requirements for PSC public utilities to remove requirements that are no longer consistent with the FCC decisions and revised State laws but impose unnecessary burdens and costs on utilities and administrative costs to the PSC. This Act also removes an unnecessary administrative requirement regarding motor vehicle dealers. The specific changes are as follows: Section 1. Removes the requirement in § 4915 of Title 6 that an annual assessment be sent to motor vehicle dealers so that the PSC has the flexibility to send an annual assessment and notification to motor vehicle dealers only when the annual assessment is necessary to cover actual administrative costs. Current law requires that the annual assessment be sent even when the actual cost of administering this chapter is zero or de minimis. The PSC has had only 2 cases in the past 6 years and both were settled without significant cost. Section 2. Revises an internal reference to reflect a subsection redesignated by this Act. Section 3, Section 5, Sections 6 through 8. Amend §§ 215, 704, 705, 706, and 707 of Title 26 so that PSC approval is not needed for telecommunication filings for mergers, transfers of control, securities issuance, and financings. The telecommunications industry has continued to evolve and provide competitive services in Delaware. The FCC exercises regulatory authority over telecommunication service providers and recent statutory changes eliminated the PSC’s authority to regulate telecommunication customer service. Thus, applications for merger or transfer of control are typically permitted after there has been no PSC action within the required 30 day period. This section eliminates an unnecessary regulatory requirement and loses little oversight of competitive telecommunication service providers. Section 4. Eliminates PSC authority to regulate “rates changed” for basic cable services. On September 9, 2015, the FCC issued new rules declaring basic cable service to be competitive in all areas because fiber and satellite services offer a competitive alternative. To retain rate regulatory authority, states must petition the FCC showing a lack of competitive alternatives with their boundaries and Delaware has not filed a petition to do so. This change codifies the impact of that FCC ruling on PSC authority. Section 8. Amends § 707 of Title 26 to eliminate the annual rate filing by telecommunication providers. In 2013, HB 96 redefined basic service in Delaware to include an individual access line and residential local usage at a location where there is no alternative provider of telephone service available and switched access services. This revised definition eliminated all basic service in Delaware and the need for a telecommunication provider to file applications for rate changes, which had been calculated using the Gross Domestic Product Price Inflation Index. Under federal law, carriers are prohibited from increasing intrastate switched access rates, so there is no need for a State filing regarding a calculation related to switched access services. Thus, this change eliminates unnecessary regulatory filings. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.

Bill Text

How this bill changes current law

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The bill amends existing laws regarding the regulation of motor vehicle dealers and public utilities in Delaware, including modifications to assessment fees, approval processes for abandoning services, and definitions of service classifications.

  • § 4915, Title 6

    which shall may be established by the Commission as needed and shall must be no more than what is reasonably needed to defray the annual cost of administering this chapter → which shall be established by the Commission as needed and shall be no more than what is reasonably needed to defray the annual cost of administering this chapter

    Clarifies the authority of the Commission to establish motor vehicle dealer assessments.

  • § 203A, Title 26

    § 706(d) → § 706(c)

    Updates a reference to a section for clarity in the context of public utility business discontinuance.

  • § 215, Title 26

    is not required → shall not be required

    Clarifies that Commission approval is not required for internal reorganizations of telecommunications providers.

  • § 605, Title 26

    has → shall have

    Corrects verb tense for consistency in describing the powers of the Commission.

  • § 704, Title 26

    offering services as defined within § 705 of this title or any other provider offering competitive services → offering services as defined in § 705 of this title or any provider offering competitive services

    Standardizes language for clarity regarding services under Commission regulation.

  • § 705, Title 26

    Switched access services; means switched access services. → Switched access services.

    Removes redundancy in the definition of 'switched access services'.

  • § 705, Title 26

    competitive services shall mean: means either of the following: → competitive services shall mean either of the following:

    Corrects redundancy in the definition of 'competitive services'.

  • § 706, Title 26

    may not be required for any reorganization or merger, mortgage → shall not be required for any reorganization or merger, mortgage

    Clarifies the language regarding the requirement for Commission approval for reorganizations.

  • § 707, Title 26

    Except for the determination of rate changes for basic services, which determinations shall be made pursuant to the provisions of this section, the offering of basic services → Except for the determination of rate changes for basic services, which determinations shall be made pursuant to this section, the offering of basic services

    Simplifies and clarifies the introduction to the section regarding basic services.

Action History

  1. Reported Out of Committee (Energy) in House with 6 On Its Merits

  2. Assigned to Energy Committee in House

  3. Passed By Senate. Votes: 19 YES 2 ABSENT

  4. Reported Out of Committee (Environmental, Natural Resources & Energy) in Senate with 5 On Its Merits

  5. Introduced and Assigned to Environmental, Natural Resources & Energy Committee in Senate

Sponsors

Sponsorship breakdown

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2 sponsors · 3 co-sponsors · 57 not signed on

Sponsors (2)

Co-sponsors (3)

Not signed on (57)

57 members have not signed on to this bill.

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"Not signed on" means a member has not sponsored or co-sponsored this bill — it does not imply opposition. Members flagged Voted No have a recorded No vote on this bill.

Whip count is in markup. Polling the chamber and every recorded vote this session. Only the first open is slow. It’s instant for you after this. Calling the roll · Tallying · Engrossing

Votes

SM

Passed 19 Yea · 0 Nay · 2 Other
Party YeaNayPresentNot Voting
Unaffiliated 10002
Democratic 5000
Republican 4000
Total 19002
% of votes cast 90%0%0%10%
How each member voted (21)
Member Party Vote
Anthony Delcollo — Yea
Brian J. Bushweller — Yea
Bruce C. Ennis — Yea
Catherine Cloutier — Not Voting
Colin Bonini — Yea
David B. McBride — Yea
Ernesto B Lopez — Yea
F. Gary Simpson — Not Voting
Gregory F. Lavelle — Yea
Harris B. McDowell — Yea
Margaret Rose Henry — Yea
Robert Marshall — Yea
Bryan Townsend Democratic Yea
David P. Sokola Democratic Yea
John "Jack" Walsh Democratic Yea
Nicole Poore Democratic Yea
Stephanie L. Hansen Democratic Yea
Brian Pettyjohn Republican Yea
Bryant L. Richardson Republican Yea
Dave G. Lawson Republican Yea
Gerald W. Hocker Republican Yea

Official roll call →

Subjects

public-safety transportation technology
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Frequently asked questions

What does SB 226 do?
The Public Service Commission’s (“PSC”) authority over public utilities has been changed by recent decisions by the Federal Communications Commission (“FCC”) and legislation enacted in Delaware. This Act changes the statutory requirements for PSC public utilities to remove requirements that are no longer consistent with the FCC decisions and revised State laws but impose unnecessary burdens and costs on utilities and administrative costs to the PSC. This Act also removes an unnecessary administrative requirement regarding motor vehicle dealers. The specific changes are as follows: Section 1. Removes the requirement in § 4915 of Title 6 that an annual assessment be sent to motor vehicle dealers so that the PSC has the flexibility to send an annual assessment and notification to motor vehicle dealers only when the annual assessment is necessary to cover actual administrative costs. Current law requires that the annual assessment be sent even when the actual cost of administering this chapter is zero or de minimis. The PSC has had only 2 cases in the past 6 years and both were settled without significant cost. Section 2. Revises an internal reference to reflect a subsection redesignated by this Act. Section 3, Section 5, Sections 6 through 8. Amend §§ 215, 704, 705, 706, and 707 of Title 26 so that PSC approval is not needed for telecommunication filings for mergers, transfers of control, securities issuance, and financings. The telecommunications industry has continued to evolve and provide competitive services in Delaware. The FCC exercises regulatory authority over telecommunication service providers and recent statutory changes eliminated the PSC’s authority to regulate telecommunication customer service. Thus, applications for merger or transfer of control are typically permitted after there has been no PSC action within the required 30 day period. This section eliminates an unnecessary regulatory requirement and loses little oversight of competitive telecommunication service providers. Section 4. Eliminates PSC authority to regulate “rates changed” for basic cable services. On September 9, 2015, the FCC issued new rules declaring basic cable service to be competitive in all areas because fiber and satellite services offer a competitive alternative. To retain rate regulatory authority, states must petition the FCC showing a lack of competitive alternatives with their boundaries and Delaware has not filed a petition to do so. This change codifies the impact of that FCC ruling on PSC authority. Section 8. Amends § 707 of Title 26 to eliminate the annual rate filing by telecommunication providers. In 2013, HB 96 redefined basic service in Delaware to include an individual access line and residential local usage at a location where there is no alternative provider of telephone service available and switched access services. This revised definition eliminated all basic service in Delaware and the need for a telecommunication provider to file applications for rate changes, which had been calculated using the Gross Domestic Product Price Inflation Index. Under federal law, carriers are prohibited from increasing intrastate switched access rates, so there is no need for a State filing regarding a calculation related to switched access services. Thus, this change eliminates unnecessary regulatory filings. This Act also makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual.
Who sponsors SB 226?
SB 226 is sponsored by Nicole Poore (Democratic), Ruth Briggs King, F. Gary Simpson, Catherine Cloutier, and Helene M. Keeley.
What is the current status of SB 226?
This bill died with 149th General Assembly (2017-2018). It reached “Passed Senate” and never advanced before the session ended, so it can no longer move — a new version would have to be reintroduced in the current session.
Where can I track SB 226?
Track SB 226 free on One Click Politics — get push/email alerts when it moves.

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