1.1                          A bill for an act 
  1.2             relating to utilities; modifying cold weather rule; 
  1.3             amending Minnesota Statutes 2002, section 216B.098, 
  1.4             subdivision 2; Minnesota Statutes 2003 Supplement, 
  1.5             section 216B.095; repealing Minnesota Statutes 2002, 
  1.6             section 325E.015. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 2003 Supplement, section 
  1.9   216B.095, is amended to read: 
  1.10     216B.095 [DISCONNECTION DURING COLD WEATHER.] 
  1.11     (a) The commission shall amend its rules governing 
  1.12  disconnection of residential utility customers who are unable to 
  1.13  pay for utility service during cold weather to include the 
  1.14  following: 
  1.15     (1) coverage of customers whose household income is less 
  1.16  than 50 percent of the state median income; 
  1.17     (2) a requirement that a customer who pays the utility at 
  1.18  least ten percent of the customer's income or the full amount of 
  1.19  the utility bill, whichever is less, in a cold weather month 
  1.20  cannot be disconnected during that month.  The customer's income 
  1.21  means the actual monthly income of the customer or the average 
  1.22  monthly income of the customer computed on an annual calendar 
  1.23  year, whichever is less, and does not include any amount 
  1.24  received for energy assistance; 
  1.25     (3) that the ten percent figure in clause (2) must be 
  1.26  prorated between energy providers proportionate to each 
  2.1   provider's share of the customer's total energy costs where the 
  2.2   customer receives service from more than one provider; 
  2.3      (4) verification of income by the local energy assistance 
  2.4   provider or the utility, unless the customer is automatically 
  2.5   eligible for protection against disconnection as a recipient of 
  2.6   any form of public assistance, including energy assistance, that 
  2.7   uses income eligibility in an amount at or below the income 
  2.8   eligibility in clause (1); 
  2.9      (5) (3) a requirement that the customer receive referrals 
  2.10  to energy assistance, weatherization, conservation, or other 
  2.11  programs likely to reduce the customer's energy bills; and 
  2.12     (6) (4) a requirement that customers who have demonstrated 
  2.13  an inability to pay on forms provided for that purpose by the 
  2.14  utility, and who make reasonably timely payments to the utility 
  2.15  under a payment plan that considers the financial resources of 
  2.16  the household, cannot be disconnected from utility service from 
  2.17  October 15 through April 15.  A customer who is receiving energy 
  2.18  assistance is deemed to have demonstrated an inability to pay. 
  2.19     (b) For the purposes of this section, "disconnection" 
  2.20  includes a service or load limiter or any device that limits or 
  2.21  interrupts electric service in any way. 
  2.22     Sec. 2.  Minnesota Statutes 2002, section 216B.098, 
  2.23  subdivision 2, is amended to read: 
  2.24     Subd. 2.  [BUDGET BILLING PLANS.] A utility shall offer a 
  2.25  customer a budget billing plan for payment of charges for 
  2.26  service, including adequate notice to customers prior to 
  2.27  changing budget payment amounts.  A "budget billing plan" means 
  2.28  a billing method in which estimated annual energy consumption 
  2.29  costs are billed to the customer in approximately equal monthly 
  2.30  payments and at least annual reconciliations are performed.  
  2.31  Municipal utilities having 3,000 or fewer customers are exempt 
  2.32  from this requirement.  Municipal utilities having more than 
  2.33  3,000 customers shall implement this requirement before July 1, 
  2.34  2003. 
  2.35     Sec. 3.  [REPEALER.] 
  2.36     Minnesota Statutes 2002, section 325E.015, is repealed.