Bill Summary – FastDemocracy

State of Alaska
                                                          Fiscal Note
                                                                                           Bill Version:                    CSSB 123(RBE)
 2020 Legislative Session
                                                                                           Fiscal Note Number:              2
                                                                                           (S) Publish Date:                3/9/2020
 Identifier:       SB123CS(RBE)-DCCED-RCA-03-06-20                           Department:       Department of Commerce, Community and
 Title:            ELECTRIC RELIABILITY ORGANIZATIONS                                          Economic Development
 Sponsor:          RAILBELT ELECTRIC SYSTEM                                  Appropriation: Regulatory Commission of Alaska
 Requester: (S) Finance                                                      Allocation:       Regulatory Commission of Alaska
                                                                             OMB Component Number:              2417
 Expenditures/Revenues
 Note: Amounts do not include inflation unless otherwise noted below.                                                             (Thousands of Dollars)
                                                 Included in
                                    FY2021       Governor's
                                Appropriation      FY2021                                         Out-Year Cost Estimates
                                  Requested       Request
 OPERATING EXPENDITURES               FY 2021        FY 2021       FY 2022                   FY 2023           FY 2024            FY 2025         FY 2026
 Personal Services
 Travel
 Services
 Commodities
 Capital Outlay
 Grants & Benefits
 Miscellaneous
 Total Operating                            0.0           0.0          0.0                         0.0                0.0              0.0              0.0
 Fund Source (Operating Only)
 None
 Total                                          0.0             0.0             0.0                0.0                0.0              0.0              0.0
 Positions
 Full-time
 Part-time
 Temporary
 Change in Revenues
 None
 Total                                          0.0             0.0             0.0                0.0                0.0              0.0              0.0
 Estimated SUPPLEMENTAL (FY2020) cost:                                 0.0            (separate supplemental appropriation required)
 Estimated CAPITAL (FY2021) cost:                                      0.0            (separate capital appropriation required)
 Does the bill create or modify a new fund or account?       No
 (Supplemental/Capital/New Fund - discuss reasons and fund source(s) in analysis section)
 ASSOCIATED REGULATIONS
 Does the bill direct, or will the bill result in, regulation changes adopted by your agency?              Yes
 If yes, by what date are the regulations to be adopted, amended or repealed?                              12/31/23
 Why this fiscal note differs from previous version/comments:
 Updated for the current version of the bill: CSSB 123(RBE).
 Prepared By:            Robert M. Pickett, Chairman                                                             Phone:         (907)276-6222
 Division:               Regulatory Commission of Alaska
                                                                REPORT                                           Date:          03/04/2020 01:15 PM
                                                                              ED
                                                                 SFC 03/0 OUT OF
 Approved By:            Micaela Fowler, Administrative Services Director for DCCED                              Date:          03/06/20
 Agency:                 Office of Management and Budget
                                                                               9/2020
Printed 3/9/2020                                                  Page 1 of 2                                                            Control Code: wZqsJ
                                                                                                         CSSB 123(RBE) - Fiscal Note 2
                                                  FISCAL NOTE ANALYSIS
STATE OF ALASKA                                                                   BILL NO. SB 123
2020 LEGISLATIVE SESSION
Analysis
   SB 123 gives the Regulatory Commission of Alaska (RCA) new authority to certify electric reliability organizations, including
   the ability to form an electric reliability organization (ERO) if the RCA determines no person has applied for certification as
   an ERO. SB 123 provides a funding mechanism for, and permissible composition of, the governing board of an ERO.
   SB 123 addresses how an ERO will develop and file reliability standards with the RCA. It also provides an avenue to allow
   the RCA to require a reliability standard be developed or modified.
   A certified ERO under the proposed statute will be able to impose a penalty on a user, owner, or operator of an
   interconnected bulkpower system for violation of a reliability standard. Penalties may be appealed to the RCA and the
   RCA may modify a penalty imposed by an ERO. The RCA may also directly impose penalties for reliability standard
   violations.
   After certification, an ERO will be required to develop and file integrated resource plans for RCA approval. Plans must
   meet the reliability requirements of customers within its interconnected bulkpower system in a manner that provides the
   greatest value, consistent with the loadserving entities' obligations.
   The RCA will be required to approve new large projects for interconnected systems that are served by an ERO.
   SB 123 provides the RCA with authority to adopt regulations governing EROs, reliability standards, modifications to
   reliability standards, integrated resource plans, transmission system access, interconnection and cost recovery, and
   project preapproval.
   The RCA currently expects to implement the provisions of this legislation with existing resources, and does not anticipate
   fiscal impact from this legislation.
(Revised 10/22/19 OMB/LFD)                                                                                           Page 2 of 2
SB123CS(RBE)-DCCED-RCA-03-06-20                                 Page 2 of 2                                                Control Code: wZqsJ
Statutes affected: 
SB0123A, AM SB 123, introduced 05/14/2019: 42.05.293, 42.05.291, 42.05.294, 42.05.990, 42.05.292
SB0123B, AM CSSB 123(RBE), introduced 02/26/2020: 42.05.711, 42.05.762, 42.05.780, 42.05.760, 42.05.790, 42.05.765, 42.05.291, 42.05.767, 42.05.770, 42.05.772, 42.05.775, 42.05.785
SB0123C, AM CSSB 123(RBE) am H, introduced 03/19/2020, passed House 03/19/2020: 10.15.005, 10.15.575, 10.15.585, 10.25.010, 10.25.030, 10.25.040, 10.25.080, 10.25.090, 10.25.190, 10.25.100, 10.25.110, 10.25.175, 10.25.290, 10.25.430, 10.25.460, 10.25.810, 10.25.820, 10.25.840, 42.05.711, 42.05.762, 42.05.780, 42.05.760, 42.05.790, 42.05.765, 42.05.291, 42.05.767, 42.05.770, 42.05.772, 42.05.775, 42.05.785, 10.25.400
SB0123Z, AM Enrolled SB 123, introduced 03/20/2020: 10.15.005, 10.15.575, 10.15.585, 10.25.010, 10.25.030, 10.25.040, 10.25.080, 10.25.090, 10.25.190, 10.25.100, 10.25.110, 10.25.175, 10.25.290, 10.25.430, 10.25.460, 10.25.810, 10.25.820, 10.25.840, 42.05.711, 42.05.762, 42.05.780, 42.05.760, 42.05.790, 42.05.765, 42.05.291, 42.05.767, 42.05.770, 42.05.772, 42.05.775, 42.05.785, 10.25.400