SB 855 — AN ACT CONCERNING THE DECOUPLING OF THE PUBLIC UTILITIES REGULATORY AUTHORITY AND THE DEPARTMENT OF ENERGY AND ENVIRONMENTAL PROTECTION.

Senate General Assembly RaisedFile Bill No.

85578 January Session, 2021 LCOSenate Bill No.

3161855 ReferredSenate, toMarch 17, 2021 The Committee on ENERGYEnergy ANDand TECHNOLOGYTechnology Introducedreported by:through SEN.

(ET)NEEDLEMAN ANof ACTthe CONCERNING33rd THEDist., DECOUPLINGChairperson OFof THEthe PUBLICCommittee UTILITIESon REGULATORYthe AUTHORITYpart ANDof THEthe DEPARTMENTSenate, OFthat ENERGYthe ANDbill ENVIRONMENTALought PROTECTION.to pass.

AN ACT CONCERNING THE DECOUPLING OF THE PUBLIC UTILITIES REGULATORY AUTHORITY AND THE DEPARTMENT OF ENERGY AND ENVIRONMENTAL PROTECTION.

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85578 This1 actSB855 shallFile takeNo. effect as follows and shall amend the following sections:

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78 The following Fiscal Impact Statement and Bill Analysis are prepared for the benefit of the members of the General Assembly, solely for purposes of information, summarization and explanation and do not represent the intent of the General Assembly or either chamber thereof for any purpose.

In general, fiscal impacts are based upon a variety of informational sources, including the analyst’s professional knowledge.

Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.

OFA Fiscal Note State Impact:

Agency Affected Fund-Effect FY 22 $ FY 23 $ Public Utility Control, Dept.

CC&PUCF - Cost None Up to $750,000 Note:

CC&PUCF=Consumer Counsel and Public Utility Control Fund Municipal Impact:

None Explanation The bill requires that the Department of Energy and Environmental Protection (DEEP) develop and implement a plan to decouple from the Public Utilities Regulatory Authority (PURA), beginning no later than October 1 and implementing the plan thereafter.

There are anticipated personnel costs related to the hiring of fiscal administration staff as a result of the separation.

Based on the deadlines outlined in the bill, it is not anticipated that the decoupling of these entities would incur costs until FY 23.

Currently, DEEP provides fiscal administration services for PURA.

It is anticipated that decoupling from DEEP would require PURA to hire fiscal-related employees at an annual cost of $746,960 for salary and fringe benefits.

1 The Out Years The annualized ongoing fiscal impact identified above would continue into the future subject to inflation.

1The fringe benefit costs for employees funded out of other appropriated funds are budgeted within the fringe benefit account of those funds, as opposed to the fringe benefit accounts within the Office of the State Comptroller.

The estimated active employee fringe benefit cost associated with most personnel changes for other appropriated fund employees is 95.57% of payroll in FY 22 and FY 23 SB855 / File No.

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78 OLR Bill Analysis SB 855 AN ACT CONCERNING THE DECOUPLING OF THE PUBLIC UTILITIES REGULATORY AUTHORITY AND THE DEPARTMENT OF ENERGY AND ENVIRONMENTAL PROTECTION.

SUMMARY This bill requires the Department of Energy and Environmental Protection(DEEP)commissionertobegindecouplingthePublicUtilities Regulatory Authority (PURA) and DEEP by October 1, 2021.

By January 1, 2022, the commissioner must submit to the Energy and Technology Committee a report that includes an implementation plan for the decoupling, any progress made toward decoupling, and any recommendations for legislation.

PURA is within DEEP by law, and the PURA chairperson needs the DEEP commissioner’s approval to, among other things, conduct comprehensive planning for PURA and organize the authority into divisions, bureaus, or other units (CGS § 16-2).

Additionally, the law makes the commissioner a party in every PURA proceeding and allows her to participate in proceedings at her discretion (CGS § 16-9b).

EFFECTIVE DATE:

Upon passage COMMITTEE ACTION Energy and Technology Committee Joint Favorable Yea 24 Nay 2 (03/02/2021) SB855 / File No.

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