22nd Alaska State Legislature
Representative Bill Williams

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State Capitol, Room 515
Juneau, AK 99801-1182
Phone: (907) 465-3424
Fax: (907) 465-3793

50 Front Street, Suite 203
Ketchikan, AK 99901
Phone: (907) 247-4672
Fax: (907) 225-8546

716 W 4th Avenue, Suite 360
Anchorage, AK 99501
Phone: (907) 269-0129
Fax: (907) 269-0128

Sponsor Statements for HB 496
Public Utilities Exempt from Regulation

An Act providing that a utility or electric operating entity owned and operated by a political subdivision of the state competing directly with a telecommunications utility is not subject to the Alaska Public Utilities Regulatory Act.

Last Updated:

April 8, 2002


Randy Ruaro, Aide to Representative Bill Williams at (907) 465-2812

HB 496 allows a municipality to continue to self-regulate its municipally owned utilities even if another utility enters into competition with it.

Alaska law presently provides that a municipally owned utility is exempt from rate regulation by the Regulatory Commission of Alaska ("RCA"). However, the exemption is lost if another utility enters into competition with the municipally owned utility. The municipally owned utility loses its exemption even if the competing utility is not rate regulated in any way.

The result of competition between a municipally owned utility and a non-rate regulated utility under present law would require the municipally owned utility to become fully rate regulated by the RCA while its competition could be completely unregulated.

HB 496 attempts to level the playing field. HB 496 continues the exemption for municipal utilities in the face of competition except when the competition is from a fully rate regulated utility. At that point, the municipal utility loses its exemption and both the municipal utility and the competing utility would become fully rate regulated by the RCA.

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Related Links

City of Ketchikan

Regulatory Commission of Alaska

SB 324 : Senate Companion bill

HB 122 : Electric Cooperatives: Expansion & Political Activity

HB 267 : Small Water and Wastewater Public Utility

HB 333 : Extending The Regulatory Com. Of Alaska

HB 436 : Mechanical Code

HB 437 : Uniform Mechanical Code

HB 475 : Water/Sewer/Waste Grants To Utilities

HB 496 : Public Utilities Exempt From Regulation

HCR 9 : Matanuska Electric Association Deregulation

SB 84 : Public Utility Joint Action Agencies

SB 184 : Construction of Water & Sewage Facilities

SB 253 : Extending The Regulatory Com. Of Alaska

SB 280 : Water/Sewer/Waste Grants To Utilities