Reference is to Printer's Date 1/11/2018-H.
Amend the bill, as and if amended, Section 58-31-20, as contained in SECTION 1, beginning on page 5, by striking subsection (E) and inserting:
/ (E)(1) The
terms of all twelve present members of the board of directors of
the Public Service Authority serving in office on the effective
date of this subsection expire on the effective date of this
subsection. However, the present members of the board shall
continue to serve in a holdover capacity after the effective
date of this subsection until their successors appointed in the
manner provided in this section qualify and take office.
(2)
The terms of all members of the board appointed
to succeed the present members of the board whose terms expire
as provided in item (1), notwithstanding any other provision of
this section, shall be for four years each and until their
successors are appointed and qualify.
(3)
Members of the board, notwithstanding their
terms of office or any other provision of law, may be removed or
replaced by the Governor at any time at the Governor's sole
discretion.
(4)
Members of the board must:
(A)
implement and oversee compliance with the Rate
Reduction and Stabilization Fund as mandated in Sections
58-31-105 and 58-31-106, and fully comply with their duties and
responsibilities under Section 58-31-106; and
(B)
cooperate fully with the Santee Cooper
Evaluation and Recommendation Committee in the performance of
the board's duties and responsibilities as provided by law.
/
Amend further by adding a new SECTION appropriately numbered to read:
/ SECTION __. A. Chapter 31, Title 58 of the 1976 Code is amended by adding:
"Section 58-31-105.
When used in Article 1, Chapter 31:
(1) 'Abandoned project'
means the Public Service Authority's interest in the two
abandoned partially completed nuclear generating units located
at the V.C. Summer Nuclear Station in Fairfield County, South
Carolina.
(2) 'Surplus moneys'
means, for any fiscal year, those funds of the Public Service
Authority remaining at the end of such fiscal year after the
payment of:
(a)
all necessary operating expenses and all annual debt
requirements on bonds, notes or other obligations at any time
outstanding from time to time and the discharge of all
obligations arising under finance agreements, indentures,
resolutions or other instruments under which bonds or
obligations have been or may be issued, or to fulfill the terms
and provisions of any agreements made with the purchasers or
holders thereof or others,
(b)
all other amounts required to be paid under this chapter,
and
(c)
deposits to such reserves as the board of directors of the
Public Service Authority shall determine necessary and prudent
conduct and operation of its business.
(3) 'Termination date'
means the date on which the board of directors of the Public
Service Authority finds that it has fully mitigated the impact
on electric rates and charges of the Public Service Authority
attributable to the undertaking of the Abandoned Project. This
finding shall fully state the basis therefor and be provided to
the President Pro Tempore of the Senate, Speaker of the House of
Representatives, and the Chairmen of the Labor, Commerce, and
Industry Committees for the Senate and House of Representatives
no later than ten days of the finding by the board of directors.
In determining whether the impact on electric rates and charges
has been so mitigated, the board of directors may take into
account maintenance and operation cost savings and
efficiencies."
B. Chapter 31, Title 58 of the 1976 Code is amended by adding:
"Section 58-31-106.
(A) Within ten days of the effective
date of this section, the Public Service Authority shall create
an interest bearing account known as the Rate Reduction and
Stabilization Fund. The account shall be held and maintained by
the Public Service Authority with an accounting of the balance
of the Rate Reduction and Stabilization Fund provided to the
President Pro-Tempore of the Senate, Speaker of the House of
Representatives, and the Chairmen of the Labor, Commerce, and
Industry Committees for the Senate and House of Representatives
each fiscal year. The Rate Reduction and Stabilization Fund
shall be funded, at the time of the creation of the account,
with the deposit by the Public Service Authority of the full
amount of the funds received by the Public Service Authority
from the Toshiba Corporation guarantee related to the Abandoned
Project, known as the Toshiba Settlement monetization funds, the
amount of which is eight hundred ninety-five million dollars,
together with any earnings thereon. Any other guarantees,
damages, settlements, or other recoveries, whenever received,
also shall be deposited into the Rate Reduction and
Stabilization Fund within ten days of receipt by the Public
Service Authority.
(B) Within sixty days
of the receipt of its audited financial statements for a fiscal
year and until the termination date, the Public Service
Authority shall deposit all surplus moneys to the Rate Reduction
and Stabilization Fund. The Public Service Authority also shall
deposit any moneys realized from cost savings undertaken to
mitigate the rate impact of the abandoned project.
(C) Any and all funds
received by the Public Service Authority from asset and salvage
sales from the abandoned project shall be deposited into the
Rate Reduction and Stabilization Fund within ten days of receipt
by the Public Service Authority.
(D) Funds deposited to
the Rate Reduction and Stabilization Fund shall be applied
annually for the purposes of reducing or stabilizing electric
rates and charges to mitigate the impact on electric rates and
charges of the Public Service Authority attributable to the
abandoned project. To that end the Public Service Authority by
resolution, not less than annually and until the termination
date, shall set forth the manner in which and the specific
purposes for which the moneys in the Rate Reduction and
Stabilization Fund shall be expended for debt reduction, and the
debt reduction may include cash-funding debt service through
redemption or defeasance of bonds, notes, or other evidences of
indebtedness, paying off existing debt, or avoiding debt
issuance. Funds deposited to the Rate Reduction and
Stabilization Fund shall be applied annually for the purposes of
reducing or stabilizing electric rates and charges.
The resolution shall include a finding of
the authority that the manner and purpose of the use of the
moneys in reducing or stabilizing rates constitutes the most
effective and efficient manner of providing rate relief for
customers for rates related to the abandoned project. The
resolution also shall set forth the amount of surplus moneys and
other money deposited to the Rate Reduction and Stabilization
Fund in the prior fiscal year, the current fiscal year, and
provide an itemization of reduction or stabilization of rates
achieve by such action. The resolution and any amendment
thereto shall be provided to the President Pro Tempore of the
Senate, Speaker of the House or Representatives, and the
Chairmen of the Labor, Commerce, and Industry Committees for the
Senate and House of Representatives upon adoption.
/
Amend further by striking SECTIONS 2, 3 and 4.
Renumber sections to conform.
Amend title to conform.