The proposed bill authorizes electrical, gas, and water companies in Washington State to utilize securitization financing for costs associated with disasters or emergencies, aiming to lower customer costs. It amends the Revised Code of Washington (RCW) to introduce definitions and provisions related to "rate recovery assets," "rate recovery bonds," and "financing orders." The legislation establishes a framework for companies to recover costs from federally or state-declared disasters while maintaining the authority of the utilities and transportation commission over rates and services. Key provisions include the process for companies to petition for financing orders and the requirements for justifying expenditures as bondable.

Additionally, the bill modifies existing laws regarding conservation service tariffs, allowing companies to file these tariffs without previous requirements for determinations on bondable conservation investments. It clarifies that while the commission retains authority over conservation policies, companies are not obligated to file for conservation service tariffs or issue conservation bonds. The bill also introduces new provisions to protect the rights of secured parties in the event of bankruptcy, ensuring that security interests in rate recovery assets are valid and enforceable. Overall, the legislation aims to streamline financing processes for utility companies while safeguarding customer interests and ensuring regulatory oversight.

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