HB-4390, As Passed House, March 31, 2009

SUBSTITUTE FOR

HOUSE BILL NO. 4390

     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,"

(MCL 460.1 to 460.11) by adding section 6t.

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

     Sec. 6t. (1) Except as otherwise provided in subsection (2),

an electric provider shall not use an electric service limiter in

this state. This subsection does not apply to advanced meters

except to the extent an advanced meter is used to perform the

function of an electric service limiter.

     (2) No later than October 1, 2009, the commission shall issue

a temporary order that establishes uniform standards for the use of

electric service limiters and advanced meters to the extent they

are used to perform the function of an electric service limiter by

electric providers in this state. Subsection (1) does not apply on

or after the effective date of the temporary order.

     (3) Within 1 year after the effective date of the amendatory

act that added this section, the commission shall promulgate rules

establishing uniform standards for the use of electric service

limiters and advanced meters to the extent they are used to perform

the function of an electric service limiter by electric providers

in this state pursuant to the administrative procedures act of

1969, 1969 PA 306, MCL 24.201 to 24.328. Upon promulgation of the

rules, the order under subsection (2) is rescinded.

     (4) An electric provider shall not use an electric service

limiter at a known senior citizen customer's household or a

household in which a known medical emergency exists in this state.

     (5) As used in this section:

     (a) "Advanced meter" means an electric meter which meets 1 or

more of the following criteria:

     (i) Measures and records usage data in time differentiated

registers, including hourly or other intervals.

     (ii) Allows electric consumers and electric service providers

to participate in price-based demand response programs, including

remote service switch capability activated by intervening direction

from the electric provider.

     (iii) Provides other data and functionality that address power

quality and other electricity service issues.

     (b) "Electric provider" means an electric utility, municipally

owned electric utility, cooperative electric utility, or

alternative electric supplier.

     (c) "Electric service limiter" means an electric meter or

device used in conjunction with an electric meter that

automatically interrupts all electric service to a customer without

intervening direction from the electric provider when a utility

imposed peak usage limit is exceeded.

     (d) "Medical emergency" means an existing medical condition of

the customer or a member of the customer's household, as defined

and certified by a physician or public health official on official

stationery or company-provided form, that will be aggravated by the

lack of utility service.

     (e) "Senior citizen customer" means an electric provider

customer who is 65 years of age or older.