December 1, 2011, Introduced by Senators WALKER, KAHN, CASWELL, SCHUITMAKER, BOOHER, JOHNSON, BIEDA, NOFS, PROOS, EMMONS, MARLEAU, JONES, YOUNG and CASPERSON and referred to the Committee on Energy and Technology.
A bill to amend 1939 PA 3, entitled
"An act to provide for the regulation and control of public and
certain private utilities and other services affected with a public
interest within this state; to provide for alternative energy
suppliers; to provide for licensing; to include municipally owned
utilities and other providers of energy under certain provisions of
this act; to create a public service commission and to prescribe
and define its powers and duties; to abolish the Michigan public
utilities commission and to confer the powers and duties vested by
law on the public service commission; to provide for the
continuance, transfer, and completion of certain matters and
proceedings; to abolish automatic adjustment clauses; to prohibit
certain rate increases without notice and hearing; to qualify
residential energy conservation programs permitted under state law
for certain federal exemption; to create a fund; to provide for a
restructuring of the manner in which energy is provided in this
state; to encourage the utilization of resource recovery
facilities; to prohibit certain acts and practices of providers of
energy; to allow for the securitization of stranded costs; to
reduce rates; to provide for appeals; to provide appropriations; to
declare the effect and purpose of this act; to prescribe remedies
and penalties; and to repeal acts and parts of acts,"
by amending sections 6e, 9q, and 10u (MCL 460.6e, 460.9q, and
460.10u), section 6e as added by 1980 PA 50, section 9q as added by
2009 PA 171, and section 10u as added by 2000 PA 141.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
6e. (1) Three years after the effective date of section
6d,
By March 25, 1983, the standing committees of the legislature
responsible for energy issues shall undertake a review and
evaluation of the impact of section 6d and report to the
legislature.
(2) The legislative committees shall hold a public hearing.
Notice of the public hearing shall be given to interested parties
who shall be given an opportunity to testify. Following the public
hearing, the legislative committees shall prepare a report.
(3) The report shall be submitted to the clerk of the house
and
secretary of the senate, and made available to all members of
the legislature, and posted on the commission's internet website.
Sec. 9q. (1) A provider may shut off service temporarily for
reasons of health or safety or in a state or national emergency.
When a provider shuts off service for reasons of health or safety,
the provider shall leave a notice at the premises.
(2) Subject to the requirements of this act, a provider may
shut off or terminate service to a residential customer for any of
the following reasons:
(a) The customer has not paid a delinquent account that
accrued within the last 6 years.
(b) The customer has failed to provide a deposit or guarantee
as required by the provider.
(c) The customer has engaged in unauthorized use of a
provider's service.
(d) The customer has failed to comply with the terms and
conditions of a payment plan entered into with the provider in
accordance with the provider's rules.
(e) The customer has refused to arrange access at reasonable
times for the purpose of inspection, meter reading, maintenance, or
replacement of equipment that is installed upon the premises or for
the removal of a meter.
(f) The customer misrepresented his or her identity for the
purpose of obtaining a provider service or put service in another
person's name without permission of the other person.
(g) The customer has violated any rules of the provider so as
to
adversely affect the safety of the customer or other persons
individuals or the integrity of the provider's system.
(h)
A person An individual living in the customer's residence
meets both of the following:
(i) Has a delinquent account for service with the provider
within the past 3 years that remains unpaid.
(ii) The customer individual lived in the person's
customer's
residence when all or part of the debt was incurred. The provider
may transfer a prorated amount of the debt to the customer's
account,
based upon the length of time that the customer individual
resided
at the person's customer's
residence. This subdivision does
not
apply if the customer individual
was a minor while living in
the
person's customer's residence.
(3) A provider shall not shut off service unless it sends a
notice to the customer by first-class mail or personally serves the
notice not less than 10 days before the date of the proposed
shutoff. A provider shall maintain a record of the date the notice
was sent.
(4)
Subject to the requirements of sections 9r and 9s, and
9r,
a provider's governing body shall establish a policy to allow a
customer the opportunity to enter into a payment plan for an amount
owed to the provider that is not in dispute, if a customer claims
an inability to pay in full. A provider shall post the policy
established under this subsection on the provider's internet
website. A provider is not required to enter into a subsequent
payment plan with a customer until the customer has complied fully
with the terms of an existing or previous payment plan unless the
customer demonstrates a significant change in economic
circumstances and requests a modification of the payment plan. A
provider is not required to enter into a subsequent payment plan
with a customer who defaulted on the terms and conditions of a
payment plan within the last 12 months.
(5) A notice of shutoff under subsection (3) shall contain all
of the following information:
(a) The name and address of the customer, and the address at
which service is provided, if different.
(b) A clear and concise statement of the reason for the
proposed shutoff of service.
(c) The date on or after which the provider may shut off
service, unless the customer takes appropriate action.
(d) That the customer has the right to enter into a payment
plan with the provider for an amount owed to the provider that is
not in dispute and that the customer is presently unable to pay in
full.
(e) The telephone number and address of the provider where the
customer may make inquiry, enter into a payment plan, or file a
complaint.
(f) That the provider will postpone the shutoff of service if
a certified medical emergency exists at the customer's residence
and the customer informs and provides documentation to the provider
of that medical emergency.
(g) That during the heating season the provider will postpone
shutoff of service if a customer is an eligible low-income customer
that enters into a winter protection payment plan with the provider
and the customer provides documentation that the customer is
actively seeking emergency assistance from an energy assistance
program.
(h) The energy assistance telephone line number at the
department of human services or an operating 2-1-1 system telephone
number.
(6) Subject to the requirements of this act, a provider may
shut off service to a customer on the date specified in the notice
of shutoff or at a reasonable time following that date. If a
provider does not shut off service and mails a subsequent notice,
then the provider shall not shut off service before the date
specified in the subsequent notice. Shutoff shall occur only
between the hours of 8 a.m. and 4 p.m.
(7) A provider shall not shut off service on a day, or a day
immediately preceding a day, when the services of the provider are
not available to the general public for the purpose of restoring
service.
(8) For an involuntary shutoff, at least 1 day before shutoff
of
service, the provider shall make not fewer than at least 2
attempts to contact the customer by 1 or more of the following
methods:
(a) A personal or automated telephone call where direct
contact is made with a member of the customer's household or a
message is recorded on an answering machine or voice mail.
(b) First-class mail.
(c) A personal visit to the customer.
(d) A written notice left at or on the customer's door.
(e) Any other method approved by the commission for regulated
utilities.
(9) A notice of shutoff sent under subsection (3) shall be
considered as 1 attempt under subsection (8).
(10) The provider shall document all attempts to contact the
customer under subsection (8).
(11)
Immediately preceding before
the shutoff of service, an
employee of the provider who is designated to perform that function
may identify himself or herself to the customer or another
responsible
person individual at the premises and may announce the
purpose of his or her presence.
(12) When a provider employee shuts off service, the employee
shall leave a notice. The notice shall state that service has been
shut off and shall contain the address and telephone number of the
provider where the customer may arrange to have service restored.
(13) For an involuntary shutoff using meters with remote
shutoff and restoration ability, at least 1 day before shutoff of
service, the provider shall make at least 2 attempts to contact the
customer by 1 of the methods listed in subsection (8). Any notice
shall state that the disconnection of service will be done remotely
and that a provider representative will not return to the premises
before disconnection. The provider shall document all attempts to
contact the customer. If the provider contacts the customer or
other
responsible person individual
in the customer's household by
telephone on the day service is to be shut off, the provider shall
inform
the customer or other responsible person individual that
shutoff of service is imminent and of the steps necessary to avoid
shutoff. Unless the customer presents evidence that reasonably
demonstrates that the claim is satisfied or is in dispute, or the
customer makes payment, the employee may shut off service. If the
provider complies with the notice requirements of this subsection,
no further customer contact is required on the day service is to be
shut off and the provider may shut off service.
(14) A provider shall not shut off service for any of the
following reasons:
(a) The customer has not paid for concurrent service received
at a separate metering point, residence, or location.
(b) The customer has not paid for service at a premises
occupied by another person. A provider may shut off service in any
of the following circumstances where proper notice has been given:
(i) If the customer supplies a written, notarized statement
that the premises are unoccupied.
(ii) If the premises are occupied and the occupant agrees, in
writing, to the shutoff of service.
(iii) If it is not feasible to provide service to the occupant
as a customer without a major revision of existing distribution
facilities.
(iv) If it is feasible to provide service to the occupant as a
customer without a major revision of existing distribution
facilities and the occupant refuses to put the account in their
name.
(15) After a provider has shut off service, it shall restore
service upon the customer's request when the cause has been cured
or credit arrangements satisfactory to the provider have been made.
(16) When a provider is required to restore service at the
customer's meter manually, the provider shall make reasonable
efforts to restore service on the day the customer requests
restoration. Except for reasons beyond its control, the provider
shall restore service not later than the first working day after
the customer's request.
(17) For providers using meter technology with remote shutoff
and restoration capability, service shall be restored on the first
working day after the customer requests restoration, except in the
case of documented equipment failure.
(18) The provider may assess the customer a charge for
restoring service or relocating the customer's meter.
(19) As used in this section, "provider" means a municipally
owned electric or natural gas utility.
Sec.
10u. The commission shall file compile
a report with the
governor
and legislature by February 1 of
each year that shall be
posted on the commission's internet website and disseminated by any
other means that the commission determines will properly notify the
citizens of this state. A copy of the report shall be provided to
the governor, the clerk of the house of representatives, and the
secretary of the senate. The report shall include all of the
following:
(a) The status of competition for the supplying of electricity
in this state.
(b) Recommendations for legislation, if any.
(c) Actions taken by the commission to implement measures
necessary to protect consumers from unfair or deceptive business
practices by utilities, alternative electric suppliers, and other
market participants.
(d) Information regarding consumer education programs,
approved by the commission, to inform consumers of all relevant
information regarding the purchase of electricity and related
services from alternative electric suppliers.