The bill authorizes electrical, gas, and water companies in Washington State to use securitization financing to recover costs associated with disasters or emergencies, with the goal of reducing customer expenses. It establishes a framework for the utilities and transportation commission to approve financing orders, which may include the issuance of rate recovery bonds that are not considered public debt. The legislation requires the commission to align its approvals with state climate goals and defines "bondable rate recovery expenditures" as costs incurred from federally or state-declared disasters. The bill also outlines the process for companies to petition the commission for financing orders, ensuring consumer protection and adherence to environmental objectives.

Additionally, the bill amends existing laws related to the financing and recovery of expenditures by utility companies, streamlining the process for issuing financing orders and specifying the maximum bondable rate recovery expenditures. It modifies conservation service tariff provisions, removing previous requirements for bondable conservation investment determinations and clarifying that the commission cannot revalue these investments for rate-making. The bill also addresses the handling of rate recovery assets, establishing the priority of security interests and ensuring that transfers of these assets are protected from prior claims. Overall, the legislation aims to enhance the efficiency of cost recovery for utility companies while maintaining regulatory oversight and consumer protections.

Statutes affected:
Original Bill: 80.28.005, 80.28.303, 80.28.306, 80.28.309, 80.08.140
Substitute Bill: 80.28.005, 80.28.303, 80.28.306, 80.28.309, 80.08.140
Second Substitute: 80.28.005, 80.28.303, 80.28.306, 80.28.309, 80.08.140
Bill as Passed Legislature: 80.28.005, 80.28.303, 80.28.306, 80.28.309, 80.08.140
Session Law: 80.28.005, 80.28.303, 80.28.306, 80.28.309, 80.08.140