PUC Proposes Changes to Act 12 Notices, Process

In Saturday’s Pennsylvania Bulletin, the Pennsylvania Public Utility Commission published notice of a tentative order to address public notification and processes for the sale of municipal or authority-owned water and wastewater systems under Act 12 of 2016. PUC is accepting public input on these proposed changes until March 18.  

The Tentative Supplemental Implementation order makes four specific changes to these acquisitions, including:  

• Require utilities to hold at least two in-person public hearings before signing an asset purchase agreement. This could include a public meeting held by a municipality in which the purchase is on the agenda. The tentative order would provide flexible options for notifying the public about the hearing, including social media posts, community newsletters and direct outreach through text or email. 
• Require sales to include notice that the seller is aware of potential impacts to the utility’s rates and has communicated this to existing customers.  
• Make the valuation process consistent by requiring equal weights for cost, income, and market appraisals.  
• Publish a reasonableness review ratio by the PUC.  

To learn more about these changes or how to comment, click here for the notice in the Pennsylvania Bulletin.