Sec. 1. 35-A MRSA §314 is enacted to read:

§314.__Line extensions

Charges related to single-phase overhead line extensions by transmission and distribution utilities are governed by this section.

1.__Amortization.__A transmission and distribution utility that charges a customer for the cost of a single-phase overhead line extension to serve that customer must allow the customer to amortize the cost for up to 5 years.

2. Multiple users.__If more than one customer is connected to and served by a single-phase line extension, and if the transmission and distribution utility charges any of these customers for the cost of the extension, the charge must be apportioned among the customers based on the average length of line per customer.__If a new customer is added to a line extension for which other customers are being charged, the utility shall reapportion the charges to include the new customer as if the customer had been connected initially so that charges to all the customers terminate concurrently.

3.__Rules.__The commission shall adopt rules consistent with this section establishing standards for the payment of the costs associated with single-phase overhead line extensions provided by a transmission and distribution utility to a customer.__Rules adopted pursuant to this section are major substantive rules pursuant to Title 5, chapter 375, subchapter II-A and must be submitted to the Legislature for review by January 1, 2002.

SUMMARY

This bill establishes standards for transmission and distribution utilities that charge customers for single-phase overhead line extensions. The standards provide for amortization of the costs for up to 5 years and apportionment of costs among multiple users of the line. The bill also requires the Public Utilities Commission to adopt rules establishing standards for the payment of the costs associated with single-phase overhead line extensions provided by a transmission and distribution utility to a customer. These rules are major substantive rules and are required to be submitted for legislative review by January 1, 2002.