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23-4-111. Valuation of public utility property for ratemaking purposes — Definitions.
Arkansas Code — all titles (historical 2020) · legal_authorities
23-4-111. Valuation of public utility property for ratemaking purposes — Definitions.
(a) As used in this section:
(1)(A) “Public utility” means a public utility as that term is defined under § 23-1-101.
(B) However, “public utility” does not mean an incumbent local exchange carrier that has elected to be regulated under §§ 23-17-406 — 23-17-408 or § 23-17-412;
(2) “Original cost” means the cost incurred by a public utility when plant or property was first devoted to public service; and
(3) “Net book value” means the original cost less reasonable accumulated depreciation of the plant or property.
(b)(1) In determining the value of plant or property that is to be included in the rate base upon which the public utility will be allowed the opportunity to earn a return, the Arkansas Public Service Commission shall use the net book value of the plant or property unless the commission determines that an adjustment is appropriate under subsection (c), subsection (d), or subsection (e) of this section.
(2) However, for affiliate acquisitions, the value of plant or property that is to be included in the rate base upon which the public utility will be allowed the opportunity to earn a return, the commission shall use the net book value of the plant or property or a lesser amount, but in no event may the commission make an adjustment above net book value under subsection (c) of this section.
(3) If the original cost of the plant or property is unknown, the commission shall estimate the net book value.
(c) For plant or property acquired for an amount above net book value, the commission may allow the recovery through rates of an amount greater than net book value but not more than actual cost if the public utility can prove by a preponderance of the evidence that:
Source: Arkansas Code — historical release 78 (November 6, 2020) · 23-4-111
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. A text match is a research starting point; applicability is not established.
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Stable record: arkansas_code:legal_authorities:23-4-111
Source file: gov.ar.code.title.23.odt
Pages: Not recorded – Not recorded
Passage SHA-256: 2702ef97e46bd37965b146bbea3a4107f897bdc853f5858bdc2abdaba1eb70a5
Source location: content.xml paragraph 2884
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23-4-111. Valuation of public utility property for ratemaking purposes — Definitions.
(a) As used in this section:
(1)(A) “Public utility” means a public utility as that term is defined under § 23-1-101.
(B) However, “public utility” does not mean an incumbent local exchange carrier that has elected to be regulated under §§ 23-17-406 — 23-17-408 or § 23-17-412;
(2) “Original cost” means the cost incurred by a public utility when plant or property was first devoted to public service; and
(3) “Net book value” means the original cost less reasonable accumulated depreciation of the plant or property.
(b)(1) In determining the value of plant or property that is to be included in the rate base upon which the public utility will be allowed the opportunity to earn a return, the Arkansas Public Service Commission shall use the net book value of the plant or property unless the commission determines that an adjustment is appropriate under subsection (c), subsection (d), or subsection (e) of this section.
(2) However, for affiliate acquisitions, the value of plant or property that is to be included in the rate base upon which the public utility will be allowed the opportunity to earn a return, the commission shall use the net book value of the plant or property or a lesser amount, but in no event may the commission make an adjustment above net book value under subsection (c) of this section.
(3) If the original cost of the plant or property is unknown, the commission shall estimate the net book value.
(c) For plant or property acquired for an amount above net book value, the commission may allow the recovery through rates of an amount greater than net book value but not more than actual cost if the public utility can prove by a preponderance of the evidence that:
(1) The original cost of the plant or property was reasonable and prudent; and
(2) The public utility's customers will receive known and measurable benefits that are at least equal to the incremental amount for which the utility seeks recovery under this subsection.
(d) For plant or property acquired for an amount below net book value, the commission may allow the recovery through rates of an amount greater than the cost of acquisition but not more than the net book value if the public utility can prove by a preponderance of the evidence that:
(1) The original cost of the plant or property was reasonable and prudent; and
(2) The public utility's customers will receive known and measurable benefits that are at least equal to the incremental amount for which the utility seeks recovery under this subsection.
(e) The commission may allow the recovery through rates of an amount less than net book value if the commission determines that the original cost of the plant or property was not reasonable or was imprudent.
(f) However, for plant or property costs incurred in compliance with § 23-18-106(a), the public utility shall have a rebuttable presumption of reasonableness and prudence for the purpose of the commission's determinations in subsections (c)-(e) of this section.
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Arkansas Code — all titles (historical 2020) · legal_authorities
23-1-101. Definitions.
As used in this act, unless the context otherwise requires:
(1) “Affiliated interest with a public utility” includes the following:
(A) Every corporation and person owning or holding directly or indirectly twenty-five percent (25%) or more of the voting securities of the public utility;
(B) Every corporation or person in any chain of successive ownership, or holding, of twenty-five percent (25%) or more of the voting securities of that public utility;
(C) Every corporation, twenty-five percent (25%) or more of whose voting securities is owned by any person or corporation owning twenty-five percent (25%) or more of the voting securities of the public utility or is owned by any person or corporation in any chain of successive ownership of twenty-five percent (25%) or more of the voting securities; and
(D) Every person who is an officer or director of that public utility or of any corporation in any chain of successive ownership or holding of twenty-five percent (25%) or more of the voting securities of the public utility;
(2) “Commission” means the Arkansas Public Service Commission or the Arkansas Department of Transportation with respect to the particular public utilities and matters over which each agency has jurisdiction;
(3) “Commissioner” means one (1) of the commissioners of the Arkansas Public Service Commission with respect to the particular public utilities and matters over which that commission has jurisdiction;
(4) “Corporation” includes without limitation a private corporation, an association, a joint-stock association, a business trust, an electric cooperative corporation, and a limited liability company providing service for charge or compensation in any area or from any facility for which the commission has granted a
Source: Arkansas Code — historical release 78 (November 6, 2020) · 23-1-101
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 23-1-101. This identifies an authority to review, not proof of applicability.
Arkansas Code — all titles (historical 2020) · legal_authorities
23-17-406. Electing companies.
(a) Any incumbent local exchange carrier may elect to have the rates, terms, and conditions for its telecommunications services determined pursuant to the provisions of this section.
(b) An incumbent local exchange carrier shall file a notice of its intent with the Arkansas Public Service Commission to be an electing company and to be regulated pursuant to this section and §§ 23-17-407 and 23-17-408.
(c)(1) Upon such a filing, all rates, terms, and conditions for the services provided by that incumbent local exchange carrier contained in the tariffs and end-user contracts that were in effect on the date twelve (12) months prior to the date of election under this section shall be deemed just and reasonable.
(2) However, nothing herein shall restrict any customer's right to complain to the commission regarding quality of service or the commission's right to enforce any quality of service rules and standards which are equally imposed on all telecommunications providers.
(d)(1) A rural telephone company, excluding tier one companies, which elects to be regulated pursuant to this section may terminate that election by filing a notice with the commission.
(2) Upon terminating that election, the rural telephone company for a period of five (5) years from the date of the termination notice under this subsection may not elect thereafter to be regulated under this section.
Source: Arkansas Code — historical release 78 (November 6, 2020) · 23-17-406
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 23-17-406. This identifies an authority to review, not proof of applicability.
Arkansas Code — all titles (historical 2020) · legal_authorities
23-17-408. Regulatory framework for electing companies.
(a) The earnings of an electing company shall not be subject to rate of return or rate-base monitoring or regulation, and the Arkansas Public Service Commission shall not consider rate of return, rate base, or the earnings of an electing company in connection with rate changes made pursuant to this section or § 23-17-407.
(b) An electing company is authorized to determine and account for its investments, revenues, and expenses, including depreciation expenses, pursuant to generally accepted accounting principles.
(c)(1) An electing company may increase or decrease its rates for telecommunications services other than basic local exchange service and switched-access services and establish rates for new services by filing a tariff or a price list with the commission.
(2) The rates shall not require commission approval.
(3) The tariff or price list shall be effective upon filing or at a future time as the electing company shall designate.
(4) So long as rates for services are in accordance with this section and § 23-17-407, the rates are deemed just and reasonable.
(5) Any service that is not a telecommunications service is not subject to commission regulation, and rates for the services need not be filed with the commission.
(d) An electing company may package any of its services with any other service it or its affiliates offer, with or without a discount, provided that services whose rates are capped under § 23-17-407 may be purchased separately at the rate which is capped in accordance with § 23-17-407.
Source: Arkansas Code — historical release 78 (November 6, 2020) · 23-17-408
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 23-17-408. This identifies an authority to review, not proof of applicability.
Arkansas Code — all titles (historical 2020) · legal_authorities
23-17-412. Optional alternative regulation of eligible telecommunications companies.
(a)(1) Telephone companies that file notice with the Arkansas Public Service Commission of an election to be regulated in accordance with the provisions of this section are authorized to determine and account for their respective revenues and expenses, including depreciation expenses, pursuant to generally accepted accounting principles and, except as provided in this section, shall be subject to regulation only in accordance with this section and shall not be subject to any rate review or rate of return regulation by the commission.
(2) The companies shall file rate lists for their telecommunications services which rates shall be effective upon filing, except the rates for basic local exchange services and switched-access services, which rates shall be effective upon compliance and in accordance with the procedures in this section.
(3) Any service that is not a telecommunications service is not subject to regulation by the commission, and rates for the services need not be filed with the commission.
(b) On the effective date of an election pursuant to this section, the tariffed rates of a company electing to be subject to the provisions of this section are deemed just and reasonable and shall continue to be deemed just and reasonable as long as any increases in the company's tariffed rates are in accordance with the provisions of this section.
(c)(1) The company may increase its basic local exchange service rates after sixty (60) days' notice to all affected subscribers.
(2) Rates for basic local exchange services may be reduced and be effective immediately upon filing or at a later time specified in the filing.
(3) Notice by the company to its subscribers shall be by reg
Source: Arkansas Code — historical release 78 (November 6, 2020) · 23-17-412
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. The source passage cites 23-17-412. This identifies an authority to review, not proof of applicability.