MUNICIPAL UTILITY* LAW UPDATE *Electric and Telco Utilities Anita T. Gallucci, Partner 608.283.1770 [email protected] Municipal Electric Update 2 Wisconsin’s MEUs 82 municipally owned electric systems Smallest – Merrillan (427 customers) Largest – Manitowoc (17,785 customers) Youngest – Centuria (1946) Oldest – New Richmond (1890) WI, one of 5 states, to fully regulate MEUs 3 Territorial Disputes • St. Croix Coop vs New Richmond, 5195-EI-100 (1/17/13). – Issue: premises or 500 ft rule? – Answer: 500 ft rule. – Issue: Can abandoned, inoperable distribution line be starting point for 500 ft rule? – Answer: Yes, as long as it still exists and was once used to provide service. Applicable Statute: § 196.495 Wis. Admin. Code: § PSC 112.08 5 Municipal Utility Customer Privacy Law • 2013 Wis. Act 25, eff. 7/7/13 (amended by 2013 Wis. Act 47) • Municipal Customer Information no longer subject to Open Records Law. Can’t be disclosed without customer consent. • Exceptions include: – Entity utility hires to perform a service – ATC or distribution utilities and operators within whose geographic service territory the customer is located – PSC or anyone who PSC authorizes – Any person otherwise authorized by law – Participants in real estate closings and foreclosures – Landlords or their agents -- municipal securities issuances Municipal CLEC Update 7 Municipal CLECs/ATUs 26 “Active” Muni CLECs • • • • Reedsburg & Sun Prairie became CLECs on 1/29/2000 Reedsburg -- provides “triple play” via FTTH (1 gig symmetrical) Sun Prairie is considering a FTTH project Others provide dark fiber leasing services or wireless broadband 8 Shawano Declaratory Ruling (5350-DR-100, eff. 8/14/2012) Applicability of § 66.0817 to Shawano’s sale of assets used to provide video, VoIP, and Internet services. Under § 66.0817, the sale or lease of a “complete public utility plant,” requires (a) PSC approval of transaction and (b) approval by public referendum Issue: Does statute apply if municipality sells all of its assets used to provide the triple play, but excludes assets used solely to provide VoIP services. Answer: No, because the facilities sought to be sold did not constitute a “complete public utility plant.” 9 Impact of Deregulation on Muni CLECs § 66.0422 unchanged as to process for authorizing construction of broadband facility § 66.0817 unchanged as to process for selling complete muni telco plant § 196.204 unchanged as to pricing of voice services § 196.06 as to PSC accounting rules no longer apply No need for CLEC status under § 196.203 to provide data or info services 10 QUESTIONS
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