Current through Register Vol. 63, No. 9, September 1, 2024
(1) As used in this
rule:
(a) "Convert," "converting," or
"conversion" means the removal of overhead electric or communication facilities
and the replacement of those facilities with underground electric or
communication facilities at the same or different locations;
(b) "Conversion cost" means the difference in
cost between constructing an underground system and retaining the existing
overhead system. This difference is generally equal to the cost of all
necessary excavating, road crossings, trenching, backfilling, raceways, ducts,
vaults, transformer pads, other devices peculiar to underground service, and
"overhead retirement costs." However, if the conversion is required in
conjunction with a public project which would necessitate the relocation of the
electric company's or large telecommunications utility's facilities at the
utility's expense, "conversion costs" shall not include any "overhead
retirement costs;"
(c) "Electric or
communication facilities" means any works or improvements used or useful in
providing electric or communication service, including but not limited to
poles, supports, tunnels, manholes, vaults, conduits, pipes, wires, conductors,
guys, stubs, platforms, cross-arms, braces, transformers, insulators, cutouts,
switches, capacitors, meters, communication circuits, appliances, attachments
and appurtenances, and all related facilities required for the acceptance of
electric or communication services. However:
(A) "Electric facilities" excludes any
facilities used or intended to be used for the transmission of electric energy
at nominal voltage in excess of 35,000 volts;
(B) "Communication facilities" excludes
facilities used or intended to be used for the transmission of intelligence by
microwave or radio apparatus cabinets or outdoor public telephones;
(C) "Electric or communication facilities"
excludes any electric or communication facilities owned or used by or provided
for a railroad or pipeline and located upon or above the right-of-way of the
railroad or pipeline.
(d) "Local government" includes cities;
counties; authorities and agencies created pursuant to ORS Chapters 456 and
457; special districts of the type described in
198.010,
198.180; and all other political
subdivisions of Oregon;
(e)
"Overhead electric or communication facilities" means electric or communication
facilities located above the surface of the ground;
(f) "Overhead retirement cost" means the
original cost, less depreciation, less salvage value, plus removal costs, of
existing overhead distribution facilities no longer used or useful by reason of
the conversion;
(g) "Underground
electric or communication facilities" means electric or communication
facilities located below the surface of the ground exclusive of those
facilities such as substations, transformers, pull boxes, service terminals,
pedestal terminals, splice closures, apparatus cabinets, and similar facilities
which normally are above the surface in areas where electric company or large
telecommunications utility facilities are underground in accordance with
standard underground practices.
(2) This rule does not apply if the total
conversion cost incurred by the electric company or large telecommunications
utility during one calendar year does not exceed five-one hundredths of 1
percent (.05 percent) of the utility's annual revenues derived from customers
residing within the boundaries of the local government.
(3) When a local government requires an
energy or large telecommunications utility to convert electric or
telecommunications facilities at the utility's expense, the utility shall
collect the conversion costs from customers located within the boundaries of
the local government.
(4) The local
government may direct the electric company or large telecommunications utility
to collect conversion costs from only a portion of the customers located within
the boundaries of the local government.
(5) Conversion costs incurred by the electric
company or large telecommunications utility shall be accumulated in a separate
account in the electric company or large telecommunications utility's books.
Interest shall accrue from the date the electric company or large
telecommunications utility incurs the cost. The rate of such interest shall be
equal to the effective cost of the senior security issue which most recently
preceded the incurrence of the cost.
(6) The electric company or large
telecommunications utility shall collect the conversion costs and interest over
a reasonable period of time subject to the Commission's approval. However, the
pay-back period shall not exceed the depreciable life of the facilities.
Collection shall begin as soon as practical after the end of the year in which
the conversion costs are incurred.
(7) The conversion cost to be recovered from
each customer shall be calculated by applying a uniform percentage to each
customer's total monthly bill for service rendered within the boundaries of the
local government. The amount collected shall be separately stated and
identified on each bill.
(8) This
rule applies to conversions upon which construction began on or after August
13, 1984.
Stat. Auth.: ORS 183, 756 & 757
Stats. Implemented: ORS
756.040
