rules of department of economic development · 2017-11-20 · robin carnahan (11/30/06) code of...

CODE OF STATE REGULATIONS 1ROBIN CARNAHAN (11/30/06)Secretary of State

Rules of

Department of EconomicDevelopment

Division 240—Public Service CommissionChapter 3—Filing and Reporting Requirements

Title Page

4 CSR 240-3.010 General Definitions............................................................................7

4 CSR 240-3.015 Filing Requirements for Utility Company Applications forWaivers or Variances .........................................................................8

4 CSR 240-3.020 Filing Requirements Regarding Utility Company Name Changes .....................8

4 CSR 240-3.025 Utility Company Tariff Filings Which Create Cases.....................................8

4 CSR 240-3.030 Minimum Filing Requirements for Utility CompanyGeneral Rate Increase Requests ............................................................8

4 CSR 240-3.100 Definitions Pertaining Specifically to Electric Utility Rules ...........................8

4 CSR 240-3.105 Filing Requirements for Electric Utility Applications forCertificates of Convenience and Necessity..............................................10

4 CSR 240-3.110 Filing Requirements for Electric Utility Applications forAuthority to Sell, Assign, Lease or Transfer Assets ..................................10

4 CSR 240-3.115 Filing Requirements for Electric Utility Applications forAuthority to Merge or Consolidate.......................................................10

4 CSR 240-3.120 Filing Requirements for Electric Utility Applications for Authority to Issue Stock, Bonds, Notes and Other Evidences of Indebtedness ...............11

4 CSR 240-3.125 Filing Requirements for Electric Utility Applications for Authorityto Acquire the Stock of a Public Utility .................................................11

4 CSR 240-3.130 Filing Requirements and Schedule of Fees for Applications for Approvalof Electric Service Territorial Agreements and Petitions for Designationof Electric Service Areas...................................................................11

4 CSR 240-3.135 Filing Requirements and Schedule of Fees Applicable to Applicationsfor Post-Annexation Assignment of Exclusive Service Territoriesand Determination of Compensation .....................................................12

2 CODE OF STATE REGULATIONS (11/30/06) ROBIN CARNAHAN

Secretary of State

4 CSR 240-3.140 Filing Requirements for Applications for Authority for a Changeof Electrical Suppliers ......................................................................13

4 CSR 240-3.145 Filing Requirements for Electric Utility Rate Schedules ..............................13

4 CSR 240-3.150 Filing Requirements for Electric Utility Promotional Practices ......................16

4 CSR 240-3.155 Requirements for Electric Utility Cogeneration Tariff Filings........................16

4 CSR 240-3.160 Filing Requirements for Electric Utility General Rate Increase Requests ..........17

4 CSR 240-3.165 Annual Report Submission Requirements for Electric Utilities ......................18

4 CSR 240-3.175 Submission Requirements for Electric Utility Depreciation Studies.................19

4 CSR 240-3.180 Submission of Electric Utility Residential Heat-RelatedService Cold Weather Report .............................................................19

4 CSR 240-3.185 Submission of Reports Pertaining to the Decommissioning ofElectric Utility Plants.......................................................................20

4 CSR 240-3.190 Reporting Requirements for Electric Utilities and Rural Electric Cooperatives ...20

4 CSR 240-3.200 Definitions Pertaining Specifically to Gas Utility Rules...............................22

4 CSR 240-3.205 Filing Requirements for Gas Utility Applications for Certificates ofConvenience and Necessity................................................................23

4 CSR 240-3.210 Filing Requirements for Gas Utility Applications for Authority toSell, Assign, Lease or Transfer Assets ..................................................23

4 CSR 240-3.215 Filing Requirements for Gas Utility Applications for Authorityto Merge or Consolidate ...................................................................24

4 CSR 240-3.220 Filing Requirements for Gas Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evidences of Indebtedness ..................24

4 CSR 240-3.225 Filing Requirements for Gas Utility Applications for Authority toAcquire the Stock of a Public Utility ....................................................24

4 CSR 240-3.230 Filing Requirements for Gas Storage Companies Requesting the Authority toAcquire Property Through Eminent Domain Proceedings ...........................25

4 CSR 240-3.235 Filing Requirements for Gas Utility General Rate Increase Requests ...............25

4 CSR 240-3.240 Gas Utility Small Company Rate Increase Procedure..................................25

4 CSR 240-3.245 Annual Report Submission Requirements for Gas Utilities ...........................26

4 CSR 240-3.250 Submission of Gas Utility Residential Heat-RelatedService Cold Weather Report .............................................................27


4 CSR 240-3.255 Filing Requirements for Gas Utility Promotional Practices ...........................27

4 CSR 240-3.260 Filing Requirements for Gas Utility Rate Schedules ...................................28

4 CSR 240-3.265 Natural Gas Utility Petitions for Infrastructure SystemReplacement Surcharges....................................................................28

4 CSR 240-3.270 Submission Requirements Regarding Plans, Procedures and Programs for theTransportation of Natural Gas by Pipeline ..............................................31

4 CSR 240-3.275 Submission Requirements for Gas Utility Depreciation Studies......................31

4 CSR 240-3.280 Submission Requirements Regarding Gas Utility Written Drug andAlcohol Testing Plans.......................................................................32

4 CSR 240-3.285 Filing Requirements Regarding Certification of Gas Sellers ..........................32

4 CSR 240-3.290 Submission Requirements Regarding Gas Utility Incident, Annual andSafety-Related Condition Reports ........................................................32

4 CSR 240-3.295 Submission Requirements Regarding Gas Utility Written Procedures forConversion of Service and Uprating .....................................................33

4 CSR 240-3.300 Definitions Pertaining Specifically to Sewer Utility Rules ............................33

4 CSR 240-3.305 Filing Requirements for Sewer Utility Applications for Certificates ofConvenience and Necessity................................................................33

4 CSR 240-3.310 Filing Requirements for Sewer Utility Applications for Authority toSell, Assign, Lease or Transfer Assets ..................................................33

4 CSR 240-3.315 Filing Requirements for Sewer Utility Applications for Authority toMerge or Consolidate.......................................................................34

4 CSR 240-3.320 Filing Requirements for Sewer Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evidences of Indebtedness ..................34

4 CSR 240-3.325 Filing Requirements for Sewer Utility Applications for Authority toAcquire the Stock of a Public Utility ....................................................34

4 CSR 240-3.330 Sewer Utility Small Company Rate Increase Procedure ...............................35

4 CSR 240-3.335 Annual Report Submission Requirements for Sewer Utilities ........................35

4 CSR 240-3.340 Filing Requirements for Sewer Utility Tariff Schedules ...............................36

4 CSR 240-3.400 Filing Requirements for Steam Heating Utility Applications forCertificates of Convenience and Necessity .............................................38

4 CSR 240-3.405 Filing Requirements for Steam Heating Utility Applications for Authorityto Sell, Assign, Lease or Transfer Assets ..............................................38


Secretary of State

4 CSR 240-3.410 Filing Requirements for Steam Heating Utility Applications for Authority toMerge or Consolidate.......................................................................38

4 CSR 240-3.415 Filing Requirements for Steam Heating Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evidences of Indebtedness ..................39

4 CSR 240-3.420 Filing Requirements for Steam Heating Utility Applications forAuthority to Acquire the Stock of a Public Utility ....................................39

4 CSR 240-3.425 Filing Requirements for Steam Heating Utility Rate Schedules ......................39

4 CSR 240-3.435 Annual Report Submission Requirements for Steam Heating Utilities ..............40

4 CSR 240-3.440 Small Steam Heating Utility Rate Case Procedure .....................................41

4 CSR 240-3.500 Definitions Pertaining Specifically to Telecommunication Company Rules ........42

4 CSR 240-3.505 Filing Requirements for Telecommunications Company Applications forCertificates of Interchange Service Authority to Provide Customer-Owned Coin Telephone Service ..........................................................43

4 CSR 240-3.510 Filing Requirements for Telecommunications Company Applications forCertificates of Service Authority to Provide Telecommunications Services,Whether Interexchange, Local Exchange or Basic Local Exchange ................43

4 CSR 240-3.513 Filing and Submission Requirements for Telecommunications CompanyApplications for Approval of Interconnection Agreements, Amendmentsto Interconnection Agreements, and for Notices of Adoptions of Intercon-nection Agreements or Statements of Generally Available Terms...................43

4 CSR 240-3.515 Filing Requirements for Telecommunications Company Applications forCertificates of Service Authority to Provide Shared Tenant Services ..............44

4 CSR 240-3.520 Filing Requirements for Telecommunications Company Applicationsfor Authority to Sell, Assign, Lease or Transfer Assets..............................45

4 CSR 240-3.525 Filing Requirements for Telecommunications Company Applications forAuthority to Merge or Consolidate.......................................................45

4 CSR 240-3.530 Filing Requirements for Telecommunications Company Applications forAuthority to Issue Stock, Bonds, Notes and Other Evidences of Indebtedness ..46

4 CSR 240-3.535 Filing Requirements for Telecommunications Company Applications forAuthority to Acquire the Stock of a Public Utility ....................................46

4 CSR 240-3.540 Annual Report Submission Requirements for Telecommunications Companies ...46

4 CSR 240-3.545 Filing Requirements for Telecommunications Company Tariffs ......................47

4 CSR 240-3.550 Telecommunications Company Records and Reports...................................49


4 CSR 240-3.555 Telecommunications Company Residential Customer Inquiries ......................50

4 CSR 240-3.560 Telecommunications Procedure for Ceasing Operations ...............................50

4 CSR 240-3.565 Procedure for Telecommunications Companies That File Bankruptcy ..............51

4 CSR 240-3.570 Requirements for Carrier Designation as Eligible TelecommunicationsCarriers .......................................................................................51

4 CSR 240-3.600 Filing Requirements for Water Utility Applications for Certificatesof Convenience and Necessity ............................................................54

4 CSR 240-3.605 Filing Requirements for Water Utility Applications for Authority to Sell,Assign, Lease or Transfer Assets.........................................................54

4 CSR 240-3.610 Filing Requirements for Water Utility Applications for Authority toMerge or Consolidate.......................................................................55

4 CSR 240-3.615 Filing Requirements for Water Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evidences of Indebtedness ..................55

4 CSR 240-3.620 Filing Requirements for Water Utility Applications for Authority toto Acquire the Stock of a Public Utility .................................................55

4 CSR 240-3.625 Filing Requirements for Applications for Approval of Water Service Territorial Agreements......................................................................56

4 CSR 240-3.630 Schedule of Fees Applicable to Applications for Approval of Water ServiceTerritorial Agreements and Petitions for Designation of Water ServiceAreas ..........................................................................................56

4 CSR 240-3.635 Water Utility Small Company Rate Increase Procedure ...............................56

4 CSR 240-3.640 Annual Report Submission Requirements for Water Utilities.........................57

4 CSR 240-3.645 Filing Requirements for Water Utility Rate Schedules .................................58

4 CSR 240-3.650 Water Utility Petitions for Infrastructure System Replacement Surcharges.........59

Title 4—DEPARTMENT OFECONOMIC DEVELOPMENT

Division 240—Public Service CommissionChapter 3—Filing and Reporting

Requirements

4 CSR 240-3.010 General Definitions

PURPOSE: This rule sets forth the definitionsof certain terms used in rules 4 CSR 240-3.015 through 4 CSR 240-3.030, and alsoincludes the definitions of general terms usedwithin this chapter of the commission’s rules.Definitions of additional terms used in cer-tain utility-specific rules are found in 4 CSR240-3.100, 4 CSR 240-3.200, 4 CSR 240-3.300, and 4 CSR 240-3.500. All definitionsfound in this chapter supplement those defi-nitions found in Chapters 386, 392 and 393of the Missouri Revised Statutes.

(1) Applicant means any person or publicutility, as defined herein, on whose behalf anapplication is made.

(2) Bill means a written or electronic demandfor payment for service or equipment and thetaxes, assessments, and franchise fees relatedthereto.

(3) Commission means the Missouri PublicService Commission as created by Chapter386 of the Missouri Revised Statutes.

(4) Commission staff means all personnelemployed by the commission whether on apermanent or contractual basis who are notattorneys in the general counsel’s office, whoare not members of the commission’sresearch department, or who are not lawjudges.

(5) Complaint means an informal or formalcomplaint under 4 CSR 240-2.070.

(6) Corporation includes a corporation, com-pany, association, or joint stock company orassociation, or any other entity created bystatute which is allowed to conduct businessin the state of Missouri.

(7) Customer means any person, firm, part-nership, corporation, municipality, coopera-tive, organization, governmental agency, etc.,that accepts financial and other responsibili-ties in exchange for services provided by one(1) or more public utilities.

(8) Delinquent charge means a chargeremaining unpaid by a monthly billed cus-tomer at least twenty-one (21) days and for atleast sixteen (16) days by a quarterly billedcustomer from the rendition of the bill by the

utility or a charge remaining unpaid after thepreferred payment date selected by the cus-tomer.

(9) Deposit means a money advance to a util-ity for the purpose of securing payment ofdelinquent charges which might accrue to thecustomer who made the advance.

(10) Electric utility means an electrical cor-poration as defined in section 386.020(15),RSMo.

(11) Financing means acquisition of equity ordebt interests, loans, guarantees of loans,advances, sale and repurchase agreements,sale and leaseback agreements, sales on openaccount, conditional or installment sales con-tracts or other investments or extensions ofcredit.

(12) Gas utility means a gas corporation asdefined in section 386.020(18), RSMo.

(13) Guarantee means a written promise froma third party to assume liability up to a spec-ified amount for delinquent charges whichmight accrue to a particular customer.

(14) Municipality means a city, village ortown.

(15) Person means any individual, firm, jointventure, partnership, corporation, associa-tion, county, state, municipality, politicalsubdivision, cooperative association or jointstock association, and includes any trustee,receiver, assignee or personal representativeof them.

(16) Pleading means any application, com-plaint, petition, answer, motion, staff recom-mendation, or other similar written docu-ment, which is not a tariff orcorrespondence, and which is filed in a case.A brief is not a pleading under this defini-tion.

(17) Political subdivision means any town-ship, city, town, village, and any school,road, drainage, sewer and levee district, orany other public subdivision, public corpora-tion or public quasi-corporation having thepower to tax.

(18) Premises means a tract of land or realestate, including buildings and other appurte-nances thereon, to which utility service isprovided to a customer.

(19) Public counsel means the Office of thePublic Counsel as created by the OmnibusState Reorganization Act of 1974, and

includes the assistants who represent the pub-lic before the commission.

(20) Public utility means public utility asdefined in section 386.020(42), RSMo.

(21) Regulated electrical corporation meansevery electrical corporation as defined in sec-tion 386.020, RSMo, subject to commissionregulation pursuant to Chapter 393, RSMo.

(22) Regulated gas corporation means everygas corporation as defined in section386.020, RSMo, subject to commission reg-ulation pursuant to Chapter 393, RSMo.

(23) Regulated heating company means everyheating company as defined in section386.020, RSMo, subject to commission reg-ulation pursuant to Chapter 393, RSMo.

(24) Rule means all of these rules as a wholeor the individual rule in which the wordappears, whichever interpretation is consis-tent with the rational application of this chap-ter.

(25) Service means service as defined in sec-tion 386.020(47), RSMo.

(26) Sewer utility means a sewer corporationas defined in section 386.020(48), RSMo.

(27) Steam heating utility means a heatingcompany as defined in section 386.020(20),RSMo.

(28) Tariff means a document published by apublic utility, and approved by the commis-sion, that sets forth the services offered bythat utility and the rates, terms and conditionsfor the use of those services.

(29) Telecommunications company means atelecommunications company as defined insection 386.020(51), RSMo.

(30) Utility company means an electric utili-ty, a gas utility, a sewer utility, a steam heat-ing utility, a telecommunications company ora water utility, either individually or collec-tively, as those terms are defined herein.

(31) Variance means an exemption granted bythe commission from any applicable standardrequired pursuant to this chapter.

(32) Water utility means a water corporationas defined in section 386.020(58), RSMo.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003.


Chapter 3—Filing and Reporting Requirements 4 CSR 240-3

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996.

4 CSR 240-3.015 Filing Requirements forUtility Company Applications for Waiversor Variances

PURPOSE: This rule provides a reference tothe commission’s practice and procedure ruleregarding this subject.

(1) The requirements for filing applicationsfor waivers or variances from commissionrules and tariff provisions, as well as thosestatutory provisions that may be waived, arecontained in Chapter 2 of the commission’srules in rule 4 CSR 240-2.060.



4 CSR 240-3.020 Filing RequirementsRegarding Utility Company Name Changes


(1) The requirements for filings regardingutility company name changes are containedin Chapters 2 and 3 of the commission’s rulesin rules 4 CSR 240-2.060, 4 CSR 240-3.520,4 CSR 240-3.525 and 4 CSR 240-3.545.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Amended: Filed March 19,2004, effective Nov. 30, 2004.


4 CSR 240-3.025 Utility Company TariffFilings Which Create Cases


(1) The commission’s rule regarding tarifffilings which create cases, which includesvarious filing requirements, is contained inChapter 2 of the commission’s rules in rule 4CSR 240-2.065.



4 CSR 240-3.030 Minimum Filing Require-ments for Utility Company General RateIncrease Requests

PURPOSE: This rule prescribes the informa-tion which must be filed by all electric utili-ties, all large local exchange telecommunica-tions companies, all large gas, water andsewer utilities, and all steam heating utilitieswhen filing for a general company-wideincrease in rates. Additional requirementsregarding this subject matter are also foundin 4 CSR 240-3.160 for electric utilities and4 CSR 240-3.235 for gas utilities.

(1) This rule applies to all electric utilities; toall local exchange telecommunications com-panies with more than five thousand (5,000)access lines; to all gas utilities with morethan one thousand five hundred (1,500) cus-tomers; to all water utilities with more thanfive thousand (5,000) customers; to all sewerutilities with more than five thousand (5,000)customers; and to all steam heating utilities,under the jurisdiction of the commission.

(2) A general rate increase request is onewhere the company or utility files for anoverall increase in revenues through a com-pany-wide increase in rates for the utility ser-vice it provides, but shall not include requestsfor changes in rates made pursuant to anadjustment clause or other similar provisionscontained in a utility’s tariffs.

(A) With regard to any telecommunicationscompany subject to this rule, any increase inrevenues as a result of an increase in rateswithin a previously approved rate band for atransitionally competitive or competitive ser-vice pursuant to sections 392.500 and392.510, RSMo will not be considered a gen-eral rate increase and thereby not be subjectto these minimum filing requirements.

(3) At the time a tariff(s) is filed by any com-pany or utility subject to this rule which con-tains a general rate increase request, an orig-inal and fourteen (14) copies of the followinginformation shall be filed with the secretaryof the commission and two (2) copies shall beprovided to the Office of the Public Counsel:

(A) A letter transmitting the proposed tar-iff changes to the secretary of the commissionof the Missouri Public Service Commission;

(B) General information concerning the fil-ing which will be of interest to the public andsuitable for publication, including:

1. The amount of dollars of the aggre-gate annual increase and the percentage ofincrease over current revenues which the tar-iff(s) proposes;

2. Names of the counties and communi-ties affected;

3. The number of the customers to beaffected in each general category of serviceand in all rate classifications within each gen-eral category of service;

4. The average change requested in dol-lars and percentage change from current ratesfor each general category of service and forall rate classifications within each generalcategory of service;

5. The proposed annual aggregatechange by general categories of service andby rate classification within each general cat-egory of service including dollar amounts andpercentage of change in revenues from cur-rent rates;

6. Copies of any press releases relativeto the filing issued by the company or utilityprior to or at the time of the filing; and

7. A summary of the reasons for theproposed changes or a summary explanationof the reasons the additional rate is needed.

(4) For good cause shown, the commissionmay grant a waiver of any of the provisions ofthis rule.



4 CSR 240-3.100 Definitions PertainingSpecifically to Electric Utility Rules

PURPOSE: This rule sets forth the definitionsof certain terms used in rules 4 CSR 240-3.105 through 4 CSR-3.190, which are inaddition to the definitions set forth in rule4 CSR 240-3.010 of this chapter.

(1) Affiliate means any person who, directlyor indirectly, controls or is controlled by or isunder common control with an electric utili-ty.

(2) Appliance or equipment means any devicewhich consumes electric energy and anyancillary device required for its operation.

(3) Avoided costs means the incrementalcosts to an electric utility of electric energy


Secretary of State

4 CSR 240-3—DEPARTMENT OF ECONOMIC DEVELOPMENT Division 240—Public Service Commission

or capacity or both which, but for the pur-chase from the qualifying facility or qualify-ing facilities, that utility would generate itselfor purchase from another source.

(4) Consideration shall be interpreted in itsbroadest sense and shall include any cash,donation, gift, allowance, rebate, discount,bonus, merchandise (new or used), property(real or personal), labor, service, conveyance,commitment, right or other thing of value.

(5) Control (including the terms “control-ling,” “controlled by,” and “common con-trol”) means the possession, directly or indi-rectly, of the power to direct, or to cause thedirection of the management or policies of anentity, whether such power is exercisedthrough one (1) or more intermediary enti-ties, or alone, or in conjunction with, or pur-suant to an agreement with, one (1) or moreother entities, whether such power is exer-cised through a majority or minority owner-ship or voting of securities, common direc-tors, officers or stockholders, voting trusts,holding trusts, affiliated entities, contract orany other direct or indirect means. The com-mission shall presume that the beneficialownership of ten percent (10%) or more ofvoting securities or partnership interest of anentity constitutes control for purposes of thisrule. This provision, however, shall not beconstrued to prohibit a regulated electricalcorporation from rebutting the presumptionthat its ownership interest in an entity conferscontrol.

(6) Cost-effective means that the presentvalue of life-cycle benefits is greater than thepresent value of life-cycle costs to theprovider of an energy service.

(7) Decommissioning means those activitiesundertaken in connection with a nuclear gen-erating unit’s retirement from service toensure that the final removal, disposal,entombment or other disposition of the unitand of any radioactive components and mate-rials associated with the unit, are accom-plished in compliance with all applicablelaws, and to ensure that the final dispositiondoes not pose any undue threat to the publichealth and safety. Decommissioning includesthe removal and disposal of the structures,systems and components of a nuclear gener-ating unit at the time of decommissioning.

(8) Decommissioning costs means all reason-able costs and expenses incurred in connec-tion with decommissioning, including allexpenses to be incurred in connection withthe preparation for decommissioning, includ-ing, but not limited to, engineering and other

planning expenses; and to be incurred afterthe actual decommissioning occurs, includ-ing, but not limited to, physical security andradiation monitoring expenses, less proceedsof insurance, salvage or resale of machinery,construction equipment or apparatus the costof which was charged as a decommissioningexpense.

(9) Demand-side resource means any ineffi-cient energy-related choice that can be influ-enced cost-effectively by a utility. The mean-ing of this term shall not be construed toinclude load-building program.

(10) Energy service means the need that isserved or the benefit that is derived by theultimate consumer’s use of energy.

(11) Inefficient energy-related choice meansany decision that causes the life-cycle cost ofproviding an energy service to be higher thanit would be for an available alternativechoice.

(12) Load-building program means an orga-nized promotional effort by a utility to per-suade energy-related decision makers tochoose the form of energy supplied by thatutility instead of other forms of energy for theprovision of energy service or to persuadecustomers to increase their use of that utili-ty’s form of energy, either by substituting itfor other forms of energy or by increasing thelevel or variety of energy services used. Thisterm is not intended to include the provisionof technical or engineering assistance, infor-mation about filed rates and tariffs or otherforms of routine customer service.

(13) Promotional practices means any consid-eration offered or granted by an electric util-ity or its affiliate to any person for the pur-pose, express or implied, of inducing theperson to select and use the service or useadditional service of the utility or to select orinstall any appliance or equipment designedto use the utility service, or for the purposeof influencing the person’s choice or specifi-cation of the efficiency characteristics ofappliances, equipment, buildings, utilizationpatterns or operating procedures. The termpromotional practices shall not include thefollowing activities:

(A) Making any emergency repairs toappliances or equipment of customers;

(B) Providing appliances or equipmentincidental to demonstrations of sixty (60)days or less in duration;

(C) Providing light bulbs, street or outdoorlighting service, wiring, service pipe or otherservice equipment or appliances, in accor-

dance with tariffs filed with and approved bythe commission;

(D) Providing appliances or equipment toan educational institution for the purpose ofinstructing students in the use of the appli-ances or equipment;

(E) Merchandising appliances or equip-ment at retail and, in connection therewith,the holding of inventories, making and ful-fillment of reasonable warranties againstdefects in material and workmanship existingat the time of delivery and financing; provid-ed that the merchandising shall not violateany prohibition contained in 4 CSR 240-14.020;

(F) Inspecting and adjusting of appliancesor equipment by an electric utility;

(G) Repairing and other maintenance toappliances or equipment by an electric utilityif charges are at cost or above;

(H) Providing free or below-cost energyaudits or other information or analysisregarding the feasibility and cost-effective-ness of improvements in the efficiency char-acteristics of appliances, equipment, build-ings, utilization patterns or operatingprocedures;

(I) Offering to present or prospective cus-tomers by an electric utility technical or engi-neering assistance; and

(J) Advertising or publicity by an electricutility which is under its name and on itsbehalf and which does not in any manner,directly or indirectly, identify, describe, referto, mention or relate to any architect, builder,engineer, subdivider, developer or other sim-ilar person, or which mentions no less thanthree (3) existing projects, developments orsubdivisions.

(14) Purchase means the purchase of electricenergy or capacity or both from a qualifyingfacility by an electric utility.

(15) Qualifying facility means a cogenerationfacility or a small power production facilitywhich is a qualifying facility under Subpart Bof Part 292 of the Federal Energy RegulatoryCommission’s (FERC) regulations.

(16) Sale means the sale of electric energy orcapacity or both by an electric utility to aqualifying facility.





4 CSR 240-3.105 Filing Requirements forElectric Utility Applications for Certifi-cates of Convenience and Necessity

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate of convenience and necessity mustmeet the requirements of this rule. As noted inthe rule, additional requirements pertainingto such applications are set forth in 4 CSR240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications by an electric util-ity for a certificate of convenience and neces-sity shall include:

(A) If the application is for a servicearea—

1. A statement as to the same or similarutility service, regulated and nonregulated,available in the area requested;

2. If there are ten (10) or more residentsor landowners, the name and address of nofewer than ten (10) persons residing in theproposed service area or of no fewer than ten(10) landowners in the event there are no res-idences in the area, or, if there are fewer thanten (10) residents or landowners, the nameand address of all residents and landowners;

3. The legal description of the area to becertificated;

4. A plat drawn to a scale of one-halfinch (1/2") to the mile on maps comparableto county highway maps issued by the Mis-souri Department of Transportation or a platdrawn to a scale of two thousand feet (2,000')to the inch; and

5. A feasibility study containing plansand specifications for the utility system andestimated cost of the construction of the util-ity system during the first three (3) years ofconstruction; plans for financing; proposedrates and charges and an estimate of the num-ber of customers, revenues and expenses dur-ing the first three (3) years of operations;

(B) If the application is for electrical trans-mission lines, gas transmission lines or elec-trical production facilities—

1. A description of the route of con-struction and a list of all electric and tele-phone lines of regulated and nonregulatedutilities, railroad tracks or any undergroundfacility, as defined in section 319.015,RSMo, which the proposed construction willcross;

2. The plans and specifications for thecomplete construction project and estimatedcost of the construction project or a statementof the reasons the information is currentlyunavailable and a date when it will be fur-nished; and

3. Plans for financing;

(C) When no evidence of approval of theaffected governmental bodies is necessary, astatement to that effect;

(D) When approval of the affected govern-mental bodies is required, evidence must beprovided as follows:

1. When consent or franchise by a cityor county is required, approval shall beshown by a certified copy of the documentgranting the consent or franchise, or an affi-davit of the applicant that consent has beenacquired; and

2. A certified copy of the requiredapproval of other governmental agencies; and

(E) The facts showing that the granting ofthe application is required by the public con-venience and necessity.

(2) If any of the items required under this ruleare unavailable at the time the application isfiled, they shall be furnished prior to thegranting of the authority sought.



4 CSR 240-3.110 Filing Requirements forElectric Utility Applications for Authorityto Sell, Assign, Lease or Transfer Assets

PURPOSE: Applications to the commissionfor the authority to sell, assign, lease ortransfer assets must meet the requirements setforth in this rule. As noted in the rule, addi-tional requirements pertaining to such appli-cations are set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for authority tosell, assign, lease or transfer assets shallinclude:

(A) A brief description of the propertyinvolved in the transaction, including anyfranchises, permits, operating rights or cer-tificates of convenience and necessity;

(B) A copy of the contract or agreement ofsale;

(C) The verification of proper authority bythe person signing the application or a certi-fied copy of resolution of the board of direc-tors of each applicant authorizing the pro-posed action;

(D) The reasons the proposed sale of theassets is not detrimental to the public interest;

(E) If the purchaser is subject to the juris-diction of the commission, a balance sheetand income statement with adjustments show-

ing the results of the acquisitions of the prop-erty; and

(F) A statement of the impact, if any, thesale, assignment, lease or transfer of assetswill have on the tax revenues of the politicalsubdivisions in which any structures, facili-ties or equipment of the companies involvedin that sale are located.

(2) If the purchaser is not subject to the juris-diction of the commission, but will be subjectto the commission’s jurisdiction after thesale, the purchaser must comply with theserules.




4 CSR 240-3.115 Filing Requirements forElectric Utility Applications for Authorityto Merge or Consolidate

PURPOSE: Applications to the commissionfor the authority to merge or consolidate mustmeet the requirements set forth in this rule.As noted in the rule, additional requirementspertaining to such applications are set forthin 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for authority tomerge or consolidate shall include:

(A) A copy of the proposed plan and agree-ment of corporate merger and consolidation,including organizational charts depicting therelationship of the merging entities beforeand after the transaction;

(B) A certified copy of the resolution of theboard of directors of each applicant authoriz-ing the proposed merger and consolidation;

(C) The balance sheets and income state-ments of each applicant and a balance sheetand income statement of the surviving corpo-ration;

(D) The reasons the proposed merger isnot detrimental to the public interest;

(E) An estimate of the impact of the merg-er on the company’s Missouri jurisdictionaloperations relative to the merger and acquisi-tion in question; and

(F) A statement of the impact, if any, themerger or consolidation will have on the tax


Secretary of State


revenues of the political subdivision in whichany structures, facilities or equipment of thecompanies involved are located.





4 CSR 240-3.120 Filing Requirements forElectric Utility Applications for Authorityto Issue Stock, Bonds, Notes and OtherEvidences of Indebtedness

PURPOSE: Applications to the commissionfor the authority to issue stock, bonds, notesor other evidences of indebtedness must meetthe requirements set forth in this rule. Asnoted in the rule, additional requirementspertaining to such applications are set forthin 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for authority toissue stock, bonds, notes and other evidencesof indebtedness shall contain the following:

(A) A brief description of the securitieswhich applicant desires to issue;

(B) A statement of the purpose for whichthe securities are to be issued and the use ofthe proceeds;

(C) Copies of executed instruments defin-ing the terms of the proposed securities—

1. If these instruments have been previ-ously filed with the commission, a referenceto the case number in which the instrumentswere furnished;

2. If these instruments have not beenexecuted at the time of filing, a statement ofthe general terms and conditions to be con-tained in the instruments which are proposedto be executed; and

3. If none of these instruments is eitherexecuted or to be executed, a statement ofhow the securities are to be sold;

(D) A certified copy of resolutions of thedirectors of applicant authorizing the issuanceof the securities;

(E) A balance sheet and income statementwith adjustments showing the effects of theissuance of the proposed securities upon—

1. Bonded and other indebtedness; and2. Stock authorized and outstanding;

(F) A statement of what portion of theissue is subject to the fee schedule in section386.300, RSMo; and

(G) A five (5)-year capitalization expendi-ture schedule as required by section 393.200,RSMo.




4 CSR 240-3.125 Filing Requirements forElectric Utility Applications for Authorityto Acquire the Stock of a Public Utility

PURPOSE: Applications to the commissionfor the authority to acquire the stock of apublic utility must meet the requirements setforth in this rule. As noted in the rule, addi-tional requirements pertaining to such appli-cations are set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for authority toacquire the stock of a public utility shallinclude:

(A) A statement of the offer to purchasestock of the public utility or a copy of anyagreement entered with shareholders to pur-chase stock;

(B) A certified copy of the resolution of thedirectors of applicant authorizing the acquisi-tion of the stock; and

(C) Reasons why the proposed acquisitionof the stock of the public utility is not detri-mental to the public interest.




4 CSR 240-3.130 Filing Requirements andSchedule of Fees for Applications forApproval of Electric Service TerritorialAgreements and Petitions for Designationof Electric Service Areas

PURPOSE: This rule establishes require-ments and schedule of fees that applicationsto the commission for approval of territorialagreements between electric service providersand petitions for designation of electric ser-vice areas must meet. As noted in the rule,additional requirements pertaining to suchapplications are set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for commissionapproval of territorial agreements and peti-tions for designation of electric service areasshall include:

(A) A copy of the proposed territorialagreement and a specific designation of therequested boundaries, including maps show-ing the requested boundaries and a scheduleof the applicable Townships, Ranges and Sec-tions, by county. If the requested boundarycannot reliably be ascertained from the infor-mation supplied by the applicant, such appli-cant shall provide additional information asrequested by the commission or its staff, ifnecessary, including the legal description ofthe area that is the subject of the applicationor petition;

(B) A list of other electric utilities thatserve in the affected area(s), if any;

(C) An illustrative tariff which reflects anychanges in a regulated utility’s operations orcertification;

(D) An explanation as to why the territori-al agreement is not detrimental to the publicinterest or the proposed electric service areadesignation(s) is in the public interest; and

(E) A list of all persons and structureswhose utility service would be changed by theproposed agreement at the time of filing.

(2) If any of the information required by sub-sections (1)(A)–(E) of this rule is unavailableat the time the application is filed, the appli-cation must be accompanied by a statement ofthe reasons the information is currentlyunavailable and a date by which it will be fur-nished. All required information shall be fur-nished prior to the granting of the authoritysought.

(3) The application or petition shall beaccompanied by an initial filing fee in theamount of five hundred dollars ($500).



(4) An application for commission review ofproposed amendment(s) to an existing territo-rial agreement between electric serviceproviders shall not be subject to the fee offive hundred dollars ($500). However, theapplicants shall be responsible for the pay-ment of a fee which reflects necessary hear-ing time (including the minimum hearingtime charge) and the transcript costs as spec-ified in section (5) of this rule.

(5) In addition to the filing fee, the fee forcommission review is set at six hundredeighty-five dollars ($685) per hour of hearingtime, subject to a minimum charge for hear-ing time of six hundred eighty-five dollars($685). There is an additional charge ofthree dollars and fifty cents ($3.50) per pageof transcript. These fees are in addition tothe fees authorized by section 386.300,RSMo.

(6) The parties shall be responsible for pay-ment of any unpaid fees on and after theeffective date of the commission’s report andorder relating to the electric territorial agree-ment or petition for designation of serviceareas. The executive director shall send anitemized billing statement to the applicants onor after the effective date of the commission’sreport and order. Responsibility for paymentof the fees shall be that of the parties to theproceeding as ordered by the commission ineach case.

(7) On July 1 of each year, the filing fee andthe fee per hour of evidentiary hearing timemay be modified to match any percentagechange in the Consumer Price Index for thetwelve (12)-month period ending December31 of the preceding year.

AUTHORITY: sections 386.250 and 394.312,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003. Amended:Filed Feb. 24, 2005, effective Oct. 30, 2005.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; and 394.312, RSMo 1988, amended 1989.

4 CSR 240-3.135 Filing Requirements andSchedule of Fees Applicable to Applica-tions for Post-Annexation Assignment ofExclusive Service Territories and Determi-nation of Compensation

PURPOSE: This rule establishes the require-ments that must be met and a schedule of feesfor applications to the commission for post-annexation assignment of exclusive serviceterritories and determination of compensa-tion. As noted in the rule, additional require-

ments pertaining to such applications are setforth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), municipally owned electricutility applications for post-annexationassignment of exclusive service territoriesand determination or compensation shallinclude:

(A) An explanation as to why the request-ed relief is in the public interest;

(B) A specific designation of the proposedexclusive electric service territory boundaryincluding maps showing the boundary and aschedule of the applicable Townships,Ranges, and Sections, by county. If therequested boundary cannot reliably be ascer-tained from the information supplied by theapplicant, such applicant shall provide addi-tional information as requested by the com-mission or its staff, if necessary, includingthe legal description of the area;

(C) The electric rates that will be chargedif the proposed change of supplier is allowed;

(D) The municipal electric utility’s esti-mate of the fair and reasonable compensationto be paid to the affected electric supplier forthe existing distribution system within theproposed exclusive electric service territory,for any proposed acquisitions or transfers,including the valuation formulas and factorsused to calculate fair and reasonable compen-sation;

(E) Any effect on the municipal electricutility’s system operation, including, but notlimited to, how the increased load will beserved;

(F) Any power contracts that the munici-pality has agreed to with the affected electricsupplier to serve the annexed area;

(G) Any issues on which the municipallyowned electric utility and the affected electricsupplier agree;

(H) A copy of the newspaper notification,as well as notifications sent to any affectedsupplier; and

(I) Affirmation of compliance with thedeadlines for negotiation as outlined in sec-tion 386.800, RSMo.

(2) If any of the information required by sub-sections (1)(A)–(I) of this rule is unavailableat the time the application is filed, the appli-cation must be accompanied by a statement ofthe reasons the information is currentlyunavailable and a date by which it will be fur-nished. All required information shall be fur-nished prior to the granting of the authoritysought.

(3) The commission shall notify the affectedelectric suppliers within ten (10) days ofreceipt of an application from a municipallyowned electric utility and, that the affected

electric suppliers are made parties to the pro-ceeding and shall file with the commissionwithin twenty (20) days of the notice the fol-lowing information:

(A) A response to the applicant’s request-ed relief;

(B) The current electric rates that arecharged in the proposed exclusive electricservice territory;

(C) The electric supplier’s estimate of thefair and reasonable compensation to be paidby the applicant for the existing distributionsystem within the proposed exclusive electricservice territory, for any proposed acquisi-tions or transfers, including the valuation for-mulas and factors used to calculate fair andreasonable compensation;

(D) Any effect on the electric supplier’ssystem operation, including, but not limitedto, loss of load and loss of revenue; and

(E) Affirmation of compliance with thedeadlines for negotiation as outlined in sec-tion 386.800, RSMo.

(4) If any of the information required by sub-sections (3)(A)–(E) of this rule is unavailablewithin twenty (20) days of the notice, theresponsive pleading must be accompanied bya statement of the reasons the information iscurrently unavailable and a date by which itwill be furnished.

(5) The application shall be accompanied byan initial filing fee in the amount of five hun-dred dollars ($500).

(6) In addition to the filing fee, the fee forcommission review of the application is set atsix hundred eighty-five dollars ($685) perhour of hearing time, subject to a minimumcharge for hearing time of six hundred eighty-five dollars ($685). There is an additionalcharge of three dollars and fifty cents ($3.50)per page of transcript. These fees are inaddition to the fees authorized by section386.300, RSMo.

(7) The parties shall be responsible for pay-ment of any unpaid fees on and after theeffective date of the commission’s report andorder relating to the application. The execu-tive director shall send an itemized billingstatement to the applicants on or after theeffective date of the commission’s report andorder. Responsibility for payment of the feesshall be that of the parties to the proceedingas ordered by the commission in each case.

(8) On July 1 of each year, the filing fee andthe fee per hour of evidentiary hearing timemay be modified to match any percentagechange in the Consumer Price Index for thetwelve (12)-month period ending December31 of the preceding year.


Secretary of State


AUTHORITY: sections 386.250 and 386.800,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003. Amended:Filed Feb. 24, 2005, effective Oct. 30, 2005.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; 386.800, RSMo 1991.

4 CSR 240-3.140 Filing Requirements forApplications for Authority for a Change ofElectrical Suppliers

PURPOSE: Applications to the commissionfor the approval of a change of electrical sup-pliers must meet the requirements set forth inthis rule. As noted in the rule, additionalrequirements pertaining to such applicationsare set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for the approval ofa change in electrical suppliers shall include:

(A) A description of the type of structurewhere the change of supplier is sought, andthe street address, if any, of the structure;

(B) The name and address of the electricalsupplier currently providing service to thestructure;

(C) The name and address of the electricalsupplier to which the applicant wishes tochange;

(D) The applicant’s reasons for seeking achange of supplier;

(E) If the applicant’s reasons involve ser-vice problems, a description of the problemsand dates of occurrence, if known;

(F) If the applicant’s reasons involve ser-vice problems, a description of the contactswhich applicant has had with the current sup-plier regarding the problems, if any, and whatefforts the current supplier has made to solvethe problems, if any;

(G) The reasons a change of electrical sup-pliers is in the public interest;

(H) If the current electrical supplier andthe requested electrical supplier agree to therequested change, a verified statement foreach supplier with the application, indicatingagreement; and

(I) If the applicant is an electrical supplier,a list of the names and addresses of all cus-tomers whose electrical supplier is proposedto be changed.




4 CSR 240-3.145 Filing Requirements forElectric Utility Rate Schedules

PURPOSE: This rule prescribes the form andprocedures for filing and publishing sched-ules of rates of all electric utilities under thejurisdiction of the Public Service Commis-sion.

(1) Every electrical corporation, as defined insection 386.020, RSMo, engaged in the man-ufacture, generating, furnishing or transmis-sion of electricity for light, heat or powerwithin Missouri is directed to have on filewith this commission not later than October15, 1913, a schedule of all rates, rentals andcharges of whatever nature made by the elec-trical corporation for each kind of service itrenders which were in force on April 15,1913, together with proper supplements cov-ering all changes in rate schedules authorizedby this commission, if any, since April 15,1913.

(2) Every electrical corporation is directed onand after October 15, 1913, to publish all ofits schedules of rates with this commission asfollows:

(A) To keep all of its schedules of ratesestablished and filed with this commissionand in its main or principal operating officeand in each division office which is now ormay be established;

(B) To keep at each of its branch businessoffices where contracts for service are madeor payment for customer’s service isreceived, copies of all of its establishedschedules of rates which apply within thearea served; and

(C) That all schedules of rates at all timesduring business hours shall be readily acces-sible to the public and shall be immediatelyproduced for inspection upon the demand ofany person. The production for inspection ofschedules of rates shall be accompanied bysuch assistance on the part of the proper rep-resentative of the electrical corporation hav-ing a schedule to determine accurately therate or charge applicable to any particularkind of electrical service.

(3) All schedules of rates, rentals andcharges, or rules relating and applying to ser-vice rendered in connection with the supply-

ing of electrical energy for light, heat andpower or for any service rendered in connec-tion with electrical energy supply, lawfully onfile with the commission and in force onApril 15, 1913, will be considered as contin-uing in force and may be amended in themanner provided in this rule.

(4) All schedules of rates on file with thiscommission and in effect April 15, 1913, notin accordance with this rule shall be reprint-ed in the manner prescribed by this rule andfiled on or before October 15, 1913. All newschedules of rates issued after April 15,1913, must conform to this rule or they willbe subject to rejection by the commissionwhen tendered for filing. The commissionreserves the right to direct the reprinting ofany schedule at any time.

(5) In classifying rates for electrical servicethe following uniform system of classificationwill be followed as closely as practical:

(A) All lighting rates for residences, busi-ness places, theaters, public buildings, andthe like will be placed under the head of com-mercial lighting;

(B) All power rates, including rates for bat-tery charging, will be placed under the headof commercial power; and

(C) All rates for street lighting, includingmunicipal street lighting and the free lightingof public buildings as is done in connectionwith street lighting will be placed under thehead of street lighting.

(6) All schedules of rates should be on a goodserviceable quality of paper and, if in the dis-cretion of the commission, the volume ofschedule justifies it, a schedule shall not beaccepted for filing until printed.

(7) All schedules of rates filed with the com-mission shall bear a number with the follow-ing prefix: PSC Mo. Rate schedules shall benumbered in consecutive serial order com-mencing with a No. 1 for each electrical cor-poration (for example, the first schedule PSCMo., No. 1). The prefixes and numbers shallbe printed on schedules as required by section(9) of this rule. For convenience the prefix isreferred to as PSC.

(8) All schedules of rates shall be in book,sheet or pamphlet form of size eight and one-half inches by eleven inches (8 1/2" × 11").A loose-leaf plan may be used so that changesmay be made by reprinting and inserting asingle leaf. When the loose-leaf plan is used,all sheets except the title page must show inthe marginal space at the top of page or sheet,the name of the electrical corporation issuingthe PSC No., the number of the schedule and



the number of the page or sheet. At the bot-tom of the sheet in the marginal space mustbe shown, the date of issue and effective dateand the name, title and address of the officerby whom the schedule is issued.

(9) The title page or sheet, if loose leaf, ofevery schedule of rates shall show—

(A) The full corporate name of the issuingelectrical corporation;

(B) The PSC number of the schedule inbold type in the center of the marginal spaceat top of the page and immediately under it insmall type the PSC number(s) canceled;

(C) A brief description of the service areasfrom and to or within which the scheduleapplies;

(D) When a schedule rate is governed by ageneral publication, the reference to the gen-eral publication by its PSC number must begiven. The following phraseology, as the casemay be, will be used: “Governed except asotherwise provided herein by schedule PSCMo. No., which schedule, revised and addedpages or sheets or superseding issues thereofis hereby made a part of this schedule.” Therate publication referred to must be on filewith the commission and be kept at everyplace where the schedule making reference isto be kept for public inspection;

(E) The date of issue and the date effec-tive. If the schedule or any portion is made toexpire on a specified date, the followingclause must be used: “expires, unless soonerchanged, canceled or extended”;

(F) On every schedule, supplement orrevised or added sheet issued on less thanthirty (30) days’ notice, by permission of thecommission, the following notation must beshown: “Issued on ____ days’ notice to thepublic and the commission under special per-mission of the Public Service Commission ofMissouri, No. ____ of date ____.” If issuedin compliance with an order of the commis-sion, the following notation must be shown:“Issued on ____ days’ notice to the publicand the commission under order of the Pub-lic Service Commission of Missouri, of date____, in Case No. ____,” when issued byauthority of any section of this rule, thenotice must be that required by the particularsection granting permission;

(G) On the upper left-hand corner of aschedule of fewer than three (3) pages and onschedules issued in loose-leaf form, thewords, “No supplement to this tariff will beissued except for the purpose of cancelingthis tariff.” A schedule, not in loose-leafform, of three (3) or more pages shall includethe words, “Only one supplement to thisschedule will be in effect at any one time”;and

(H) On the marginal space at the bottom ofpage will be given the name, title and addressof the officer by whom the schedule is issued,the date of issue and the effective date.

(10) The schedule shall contain in the ordernamed:

(A) Table of Contents. Provide full andcomplete statement in alphabetical order ofthe exact location where information underthe general headings or subjects will befound, specifying the page of item numbers.If the schedule contains so small a volume ofmatter that its title page or interior arrange-ment plainly may disclose its contents, thetable of contents may be omitted;

(B) Description of Territory. A morelengthy description of the territory to beserved than can be briefly set forth on thetitle page will often be necessary; any itemsin this category which bear any relation to thevarious rates should be explained under thisheading;

(C) Classification of Service. Under thisheading the kind of service separatelygrouped for commercial lighting, commercialpower and street lighting will be set forth inthe order named together with a detailedstatement of the rate(s) in connection withsame. A definite separation must be madebetween prompt payment discount and quan-tity discount and stating the manner in whichthey are computed clearly. If guarantees ofany nature are required or a minimum chargemade, the principles upon which they arebased must be stated. In this case give thecompany’s charges or deposits for meters. Ifpenalties for delayed payments are exacted,the same must be stated. State whether cur-rent is estimated or metered and if so, how.State the company’s practice in regard tolamp renewals. If a charge is made to the con-sumer for installing and connecting the ser-vice wires, this should be stated. State thecharacter of the service, whether twenty-four(24)-hour or limited until midnight, whetherthe service is limited to certain hours of theday, on-peak, off-peak, optional service, aux-iliary service, breakdown service, and thelike. The kind of current, such as alternatingor direct, together with the voltage, phase andfrequency must be given in all cases;

(D) Rules. Under this heading will be setforth all rules which apply to contracts forfurnishing electrical energy for light, heatand power, and all of the company’s rules inany way relating to service, together with anyparticular regulations relating to a specialcontract for service rendered which have notalready been stated in connection with thedescription of rates under section (5) of thisrule; and

(E) Definition and Explanation of Refer-ence Marks. Under this heading, as its nameimplies, shall be given the necessary descrip-tion of any reference marks employed in con-nection with the rate tables, that is, explainthe meaning of watt, kilowatt hour, horse-power, and the like. If symbols or abbrevia-tions are used, explain their meanings, suchas kilowatt hour for K.W.H.; ampere foramp. When ratings are used based on capac-ity installation or a percentage of capacityinstallation, a table of equivalents for esti-mating these ratings must be given. Forexample, one (1) sixteen (16)-candle powercarbon filament lamp equals about fifty-five(55) watts. If terms maximum demand, loadfactor, rated capacity, peak, and the like, areused in the schedule, these should beexplained under this caption. All definitionsof terms and explanation of terms or symbols,abbreviations or reference marks should bearranged in logical sequence and in a mannerthat they will be readily understood.

(11) If a schedule or supplement to a sched-ule is issued which conflicts with a part ofanother schedule or supplement of a schedulewhich is in force at the time and which is notcanceled in full, it specifically shall state theportion of the other schedule which is can-celed and the other schedule, at the sametime, shall be correspondingly amended,effective on the same date, in the regularway; and the supplement to the amendedschedule shall be filed at the same time andin connection with the schedule which con-tains the new rates, rentals or charges.

(12) If a schedule is canceled with the pur-pose of canceling entirely the rates, rentals orcharges named in the schedule or whenthrough error or omission, a later issue failedto cancel the previous issue and a schedule iscanceled for the purpose of perfecting therecord, the cancellation notice must not begiven a new PSC number, but must be issuedas a supplement to the schedule which it can-cels, even though the schedule at the timemay have a supplement in effect.

(13) If a schedule or a part of a schedule iscanceled, the cancellation notice shall makespecific notice to the PSC number of theschedule in which the rates, rentals orcharges will be found; or if no rates, rentalsor charges are in effect, it shall state so. Can-cellation of a schedule also cancels a supple-ment to the schedule in effect, if any. If aschedule is canceled by a similar schedule totake its place, the cancellation notice mustnot be given by supplement, but by noticeprinted in a new schedule.


Secretary of State


(14) A change in a schedule shall be knownas an amendment and excepting amendmentsto schedules issued in loose-leaf form, shallbe printed in a supplement to the schedulewhich it amends, specifying the schedule byits PSC number. The supplement shall bereissued each time an amendment is madeand shall always contain all the amendmentsto the schedule that are in force. Supplementsto schedules shall be numbered consecutivelyas supplements to the schedules and shall notbe given new or separate PSC numbers. Anamendment must always be printed in thesupplement in its entirety as amended.

(15) A schedule which contains reissueditems brought forward from a previous issuewhich has not been in effect thirty (30) daysor a supplement which brings forward reis-sued items without change from a formersupplement or schedule, must bear the nota-tion “Effective _______________ , except asnoted in individual items.” “Example: Issued_____________________, 20___; effective_____________, 20___ , except as noted inindividual items.” Reissued items broughtforward without change must show in a con-spicuous form and convenient manner the fol-lowing: “Reissue” in black face type; theeffective or the date upon which it becomeseffective; in PSC Mo. No. ________ “or insupplement No. ________ to PSC Mo. No.__________.” When the reissued itembecame effective in a former supplement tothe same schedule, the PSC number may beomitted, but the supplement number must begiven.

(16) Except as otherwise provided in thisrule, there shall be at no time more than one(1) supplement in effect to any schedule andthe effective supplement to a schedule oftwenty (20) or more pages may not containmore than twenty percent (20%) of the num-ber of pages or sheets in the schedule, includ-ing the title page, a supplement to a scheduleof fewer than twenty (20) pages or ten (10)sheets may not contain more than four (4)pages or two (2) sheets, including the titlepage.

(17) All changes in and additions to schedulesissued in loose-leaf form must be made byreprinting both pages of the leaf or sheet uponwhich the change is made. When no changeor addition is made on one (1) of the pagesreprinted, it must bear the notation, “Nochange in this page.” Those pages or sheetsshall not be given supplement numbers, butmust be designated “First revised page orsheet,” “Second revised page or sheet,” andthe like and must show the name of the issu-

ing corporation and the PSC number of theschedule, the issued and effective dates andthe name, title and address of officer bywhom issued.

(18) If a new schedule is filed on statutorynotice canceling another schedule and afterthat filing and prior to the effective date ofthe new schedule, a supplement to the sched-ule to be so canceled should be lawfullyissued, the rates, rentals or charges in thatsupplement could not continue in effect forthe thirty (30) days required by law becausethe cancellation of the schedule also cancelsthe supplement to it. In this case the supple-ment containing changes not included in theschedule that is to become effective may beissued as a supplement both to the schedulein effect and to the schedule on file that willeffect a cancellation and be given both PSCnumbers. In other words, such an issue mustbe a supplement of each of the schedules andcopies must be filed accordingly. A supple-ment issued under this rule containing reis-sued items shall note in connection with eachitem, in addition to the effective date requiredby this rule, that the reissued items expire onthe date on which the new schedule willapply in lieu thereof; and the reissued itemsmust not be brought forward in a subsequentsupplement to the new schedule. This supple-ment may not contain any changes exceptthose lawfully made by supplement to theschedule which is to be canceled by theschedule that has been filed and that is alsosupplemented; and no other kind of a supple-ment to a schedule that is on file and not yeteffective may be made effective within thirty(30) days from the effective date of the sched-ule without special permission of the com-mission.

(19) The provisions of section (17) of thisrule as to the number of supplements to aschedule that may be in effect at any time andthe volume of supplemental matter they maycontain need not be observed in connectionwith a supplement issued under sections(15)–(19) of this rule.

(20) In case of change of ownership and oper-ation of any electrical corporation’s propertyor of the electrical corporation in possessionand operating the property, the electrical cor-poration taking over the operation of theproperties, if the existing rates would other-wise remain legally effective, shall issueimmediately and file with the commission,with PSC number, an adoption notice sub-stantially as follows:

(A) “The (name of the electrical corpora-tion) hereby adopts, ratifies and makes its

own, in every respect as if the same had beenoriginally filed by it, all schedules, rules,notices, concurrences, schedule agreements,divisions, authorities or other instrumentswhatsoever, filed with the PUBLIC SER-VICE COMMISSION, State of Missouri, bythe (name of the electrical corporation), priorto (date), the beginning of its possession. Bythis notice it also adopts and ratifies all sup-plements or amendments to any of the aboveschedules, etc., which (name of the electricalcorporation) has heretofore filed with saidcommission. This notice may be made effec-tive as of the date it is filed with the com-mission”;

(B) In the event that the successor corpora-tion does not intend to adopt some of thoseschedules, rates, rules, notices, concurrences,authorities or other instruments, the noticeshall specify those which are not adopted,and the successor corporation as to suchexceptions shall give the cancellation or with-drawal notice provided in this rule;

(C) The adoption notice shall stand and beeffective as to all of the local issues of thepredecessor electrical corporation; and

(D) In case of a receivership, the receivershall be deemed as continuing in force theschedules and rules of the corporation whoseproperty s/he has in charge.

(21) Schedules and schedule supplementsshall be filed with the commission by theproper officer of the electrical corporationdesignated to perform that duty; and supple-ments must be on file with the commission oraccompany the schedule or supplement.

(22) All changes in rates, charges or rentalsor in rules that affect the rates, charges orrentals shall be filed with the commission atleast thirty (30) days before the date uponwhich they are to become effective. The titlepage of every rate schedule or supplementand the reissue on any page or sheet mustshow a full thirty (30) days’ notice except asotherwise provided in this rule. The proposedchange shall be accompanied by a brief sum-mary, approximately one hundred (100)words or less, of the effect of the change onthe company’s customers. A copy of any pro-posed change and summary shall also beserved on the public counsel and be availablefor public inspection and reproduction duringregular office hours at the general businessoffice of the utility.

(23) Each electrical corporation has the dutyof filing with the commission all its schedulesof rates and supplements or any rule relativeto them which may be announced by the com-mission, under penalty for failure to do so.



The commission will give consistent assis-tance as it can in this respect, but the fact thatthe receipt of a rate schedule or a supplementto a rate schedule is acknowledged by thecommission, or the fact that a rate scheduleor supplement to a rate schedule is in the filesof the commission, will not serve or operateto excuse the electrical corporation or munic-ipality from its responsibility or liability forany violation of the law or of any ruling law-fully made which may have occurred in con-nection thereunder with the construction offiling of a rate schedule or supplement.

(24) Thirty (30) days’ notice to the commis-sion is required as to every publication relat-ing to electrical rates or service except wherepublications are made effective on less thanstatutory notice by permission, regulation orrequirement of the commission.

(25) Except as is otherwise provided, noschedule or supplement will be accepted forfiling unless it is delivered to the commissionfree from all charges or claims for postage,the full thirty (30) days required by lawbefore the date upon which the schedule orsupplement is stated to be effective. No con-sideration will be given to or for the time dur-ing which a schedule or supplement may beheld by the post office authorities because ofinsufficient postage. When a schedule or asupplement is issued and as to which thecommission is not given the statutory notice,it is as if it had not been issued and a fullstatutory notice must be given of any reissue.No consideration will be given to telegraphicnotices in computing the thirty (30) days’notice required. In these cases the schedulewill be returned to the sender and correctionof the neglect or omission cannot be madewhich takes into account any time elapsingbetween the date upon which that schedule orsupplement was received and the date of theattempted correction. For rate schedules andsupplements issued on short notice underspecial permission of the commission, literalcompliance with the requirements for noticenamed in any order, regulation or permissiongranted by the commission will be exacted.

(26) When a schedule is rejected by the com-mission as unlawful, the records will so showand that schedule should not in the future bereferred to as canceled, amended or other-wise except to note on the publication issuedin lieu of that rejected schedule, “In lieu of____________, rejected by the commission;”nor shall the number which it bears be usedagain.

(27) Rates, charges or rentals or regulationsrelating to them, prescribed by the commis-

sion in its decisions and orders, after hearingsupon formal complaints, shall in everyinstance be promulgated by the electrical cor-poration against which those orders areentered, in duly published and filed rateschedules, supplements or revised pages orsheets of schedules, and notice shall be sentto the commission that its order in Case No.___________ has been complied with in item________, page ______, of schedule PSCMo. No. _________; or supplement toschedule PSC Mo. No. __________; or reis-sued page or sheet No. _________ to sched-ule PSC Mo. No. _____________.

(28) Schedules and supplements shall be filedin numerical order of PSC numbers. If in anyinstance this procedure is not observed asrequired by these rules, a memorandum mustaccompany the schedule so filed with thecommission explaining omission of missingnumber(s).

(29) Electrical corporations are directed, infiling schedules, to transmit one (1) copy ofeach rate schedule, supplement or othercharges or regulations for the use of the com-mission. Schedules sent for filing must beaddressed to Public Service Commission, POBox 360, Jefferson City, MO 65102.

(30) All schedules filed with the commissionshall be accompanied by a letter of transmit-tal, in duplicate if receipt is desired, whichshall be prepared consistent with the formatdesignated by the commission.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996 and 393.140, RSMo 1939, amended 1949, 1967.

4 CSR 240-3.150 Filing Requirements forElectric Utility Promotional Practices

PURPOSE: Electric utilities with promotion-al practices must meet the filing requirementsin this rule prior to offering a promotionalpractice.

(1) Any promotional practices offered by anelectric utility must meet the requirements setout in the commission’s rules regarding utili-ty promotional practices (4 CSR 240-14).

(2) No electric utility or its affiliate shalloffer or grant any additional promotionalpractice or vary or terminate any existingpromotional practice, directly or indirectly,or in concert with others, or by any means

whatsoever, until a tariff filing showing theaddition or variation or termination in theform prescribed by this rule has been madewith the commission and a copy furnished toeach other electric utility providing the sameor competing utility service in any portion ofthe service area of the filing utility.

(A) The utility shall provide the followinginformation on the tariff sheets:

1. The name, number or letter designa-tion of the promotional practice;

2. The class of persons to which the pro-motional practice is being offered or granted;

3. Whether the promotional practice isbeing uniformly offered to all persons withinthat class;

4. A description of the promotionalpractice and a statement of its purpose orobjective;

5. A statement of the terms and condi-tions governing the promotional practice;

6. If the promotional practice is offeredor granted, in whole or in part, by an affili-ate or other person, the identity of the affili-ate or person and the nature of their partici-pation; and

7. Other information relevant to a com-plete understanding of the promotional prac-tice.

(3) The utility shall provide the followingsupporting information for each promotionalpractice:

(A) A description of the advertising orpublicity to be employed with respect to thepromotional practice;

(B) For promotional practices that aredesigned to evaluate the cost-effectiveness ofpotential demand-side resources, a descrip-tion of the evaluation criteria, the evaluationplan and the schedule for completing the eval-uation; and

(C) For promotional practices that aredesigned to acquire demand-side resources,documentation of the criteria used and theanalysis performed to determine that thedemand-side resources are cost-effective.



4 CSR 240-3.155 Requirements for Elec-tric Utility Cogeneration Tariff Filings

PURPOSE: This rule defines the require-ments of electric utilities pertaining to the fil-ing of tariffs regarding purchasing electricitygenerated by small power producers andcogenerators. Additional provisions pertain-


Secretary of State


ing to cogeneration are set forth in 4 CSR240-20.060.

(1) Terms defined in the Public Utility Regu-latory Policies Act of 1978 (PURPA) shallhave the same meaning for purposes of thisrule as they have under PURPA, unless fur-ther defined in this rule.

(2) All regulated electric utilities shall—(A) File tariffs providing standardized rates

for facilities at or under one hundred (100)kilowatts on design capacity. The tariffs are totake account of the stochastic effect achievedby the aggregate output of dispersed smallsystems, that is, statistically a dispersed arrayof facilities may produce a level of reliabilitynot enjoyed by any one (1) of the units takenseparately. When that aggregate capacityvalue which allows the utility to avoid acapacity cost occurs and can be reasonablyestimated, a corresponding credit must beincluded in the standard rates. The tariffsshould take into account patterns of availabil-ity of particular energy sources such as thebenefits to a summer peaking utility fromphotovoltaic systems or to a winter peakingutility for wind facilities. For the purposes ofthis rule, rate means any price, rate, chargeor classification made, demanded, observedor received with respect to the sale or pur-chase of electric energy or capacity or anyrule or practice respecting any such rate,charge or classification and any contract per-taining to the sale or purchase of electricenergy or capacity;

(B) Submit a standard form contract forfacilities over one hundred (100) kilowatts asthe basis for tariffs for these facilities. Issuessuch as avoided costs, losses, reliability andability to schedule are to be considered in thecontract.

(3) All tariffs and other data required to beprepared and filed by electric utilities underthe provisions of section (2) shall be submit-ted no later than January 15, 2005, andupdated and revised on or before January 15of every odd-numbered year after that, unlessotherwise ordered by the commission.

(4) In order to make available data fromwhich avoided costs may be derived, not laterthan January 15, 2005, and on or before Jan-uary 15 of every odd-numbered year afterthat, unless otherwise ordered by the com-mission, each regulated electric utility shallprovide to the commission and shall maintainfor public inspection the following data:

(A) The estimated avoided cost on the elec-tric utility’s system, solely with respect to theenergy component, for various levels of pur-chases from qualifying facilities. These levels

of purchases shall be stated in blocks of notmore than one hundred (100) megawatts forsystems with peak demand of one thousand(1,000) megawatts or more, and in blocksequivalent to not more than ten percent (10%)of the system peak demand for systems of lessthan one thousand (1,000) megawatts. Theavoided costs shall be stated on a cents perkilowatt-hour basis, during daily and season-al peak and off-peak periods, by year, for thecurrent calendar year and each of the nextfive (5) years;

(B) The electric utility’s plans for the addi-tion of capacity by amount and type, for pur-chases of firm energy and capacity and forcapacity retirements for each year during thesucceeding ten (10) years; and

(C) The estimated capacity costs at com-pletion of the planned capacity additions andplanned capacity firm purchases, on the basisof dollars per kilowatt and the associatedenergy costs of each unit, expressed in centsper kilowatt hour. These costs shall beexpressed in terms of individual generatingunits and of individual planned firm purchas-es.

(5) Special Rule for Small Electric Utilities.(A) Each electric utility (other than any

electric utility to which paragraph (5)(A)2.applies) upon request shall—

1. Provide comparable data to thatrequired under section (4) to enable qualify-ing facilities to estimate the electric utility’savoided costs for periods described in section(4); or

2. With regard to an electric utilitywhich is legally obligated to obtain all itsrequirements for electric energy and capacityfrom another electric utility, provide the dataof its supplying utility and the rates at whichit currently purchases the energy and capaci-ty.

(B) If any such electric utility fails to pro-vide this information on request, the qualify-ing facility may apply to the Public ServiceCommission for an order requiring that theinformation be provided.

(6) Commission Review.(A) Any data submitted by an electric util-

ity under this section shall be subject toreview by the commission.

(B) In any such review, the electric utilityhas the burden of coming forward with justi-fication for its projections.

(7) Implementation of Certain ReportingRequirements. Any electric utility which failsto comply with the requirements of subsec-tion (1)(B) shall be subject to the same penal-ties to which it may be subjected for failure to

comply with the requirements of the FederalEnergy Regulatory Commission’s (FERC’s)regulations issued under Section 133 ofPURPA.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003. Amended:Filed July 25, 2003, effective March 30,2004.


4 CSR 240-3.160 Filing Requirements forElectric Utility General Rate IncreaseRequests

PURPOSE: This rule prescribes informationwhich must be filed by all electric utilitieswhen filing for a general company-wideincrease in rates. As noted in the rule, addi-tional provisions pertaining to the filingrequirements for general rate increaserequests are found at 4 CSR 240-3.030.

(1) In addition to the requirements of 4 CSR240-3.030, any electric utility which submitsa general rate increase request shall submitthe following:

(A) Its depreciation study, database andproperty unit catalog. However, an electricutility need not submit a depreciation study,database or property unit catalog to the extentthat the commission’s staff received theseitems from the utility during the three (3)years prior to the utility filing for a generalrate increase or before five (5) years haveelapsed since the last time the commission’sstaff received a depreciation study, databaseand property unit catalog from the utility. Thedepreciation study, database and propertyunit catalog shall be compiled as follows:

1. The study shall reflect the average lifeand remaining life of each primary plantaccount or subaccount;

2. The database shall consist of dollaramounts, by plant account or subaccount,representing—

A. Annual dollar additions and dollarretirements by vintage year and year retired,beginning with the earliest year of availabledata;

B. Reserve for depreciation;C. Surviving plant balance as of the

study date; andD. Estimated date of final retirement

and surviving dollar investment for each



warehouse, electric generating facility, com-bustion turbine, general office building orother large structure; and

3. The property unit catalog shall con-tain a description of each retirement unit usedby the utility.



4 CSR 240-3.165 Annual Report Submis-sion Requirements for Electric Utilities

PURPOSE: Section 393.140(6), RSMo,includes an obligation for the commission torequire every person and corporation underits supervision to submit an annual report tothe commission. This rule establishes thestandards for the submission of annualreports by electric utilities that are subject tothe jurisdiction of the commission, includingthe procedures for submitting nonpublicannual report information.

(1) All electric utilities shall submit an annu-al report to the commission on or beforeApril 15 of each year, except as otherwiseprovided for in this rule.

(2) Electric utilities shall submit their annualreports either on a form provided by the com-mission or on a computer-generated replicathat is acceptable to the commission. Reportsbeing submitted on paper are to be preparedin looseleaf format and sent to the attention ofthe secretary of the commission. Computer-generated reports can be submitted throughthe commission’s electronic filing and infor-mation system (EFIS). Attempts to substituteforms such as stockholder reports withoutconcurrently submitting official commissionforms with appropriate cross-references willbe considered noncompliant. All requestedinformation shall be included in the annualreport, where applicable, even if it has beenprovided in a previous annual report.

(3) An electric utility that receives a noticefrom the commission stating that deficienciesexist in the information provided in the annu-al report shall respond to that notice withintwenty (20) days after the date of the notice,and shall provide the information requested inthe notice in its response.

(4) If an electric utility subject to this ruleconsiders the information requested on theannual report form to be nonpublic informa-

tion, it must submit both a fully completedversion to be kept under seal and a redactedpublic version that clearly informs the readerthat the redacted information has been sub-mitted as nonpublic information to be keptunder seal. Submittals made under this sec-tion that do not include both versions will beconsidered deficient. The staff on behalf ofthe commission will issue a deficiency letterto the company and if both versions of theannual report are not received within twenty(20) days of the notice, the submittal will beconsidered noncompliant. In addition to theforegoing, submittals made under this sectionmust meet the following requirements:

(A) A cover letter stating that the utility isdesignating some or all of the information inits annual report as confidential information,and including the name, phone number and e-mail address (if available) of the personresponsible for addressing questions regard-ing the confidential portions of the annualreport, must be submitted with the reports;

(B) The cover of each version of the reportmust clearly identify whether it is the publicor nonpublic version;

(C) A detailed affidavit that identifies thespecific types of information to be kept underseal, provides a reason why the specific infor-mation should be kept under seal and statesthat none of the information to be kept underseal is available to the public in any formatmust be prominently attached to both ver-sions of the report; and

(D) Each page of each version of the reportthat contains nonpublic information shall beclearly identified as containing such informa-tion.

(5) If an entity asserts that any of the infor-mation contained in the nonpublic version ofthe annual report should be made available tothe public, then that entity must file a plead-ing with the commission requesting an orderto make the information available to the pub-lic, and shall serve a copy of the pleading onthe utility affected by the request. The plead-ing must explain how the public interest isbetter served by disclosure of the informationthan the reason provided by the utility justi-fying why the information should be keptunder seal. The utility affected by the requestmay file a response to a pleading filed underthese provisions within fifteen (15) days afterthe filing of such a pleading. Within five (5)business days after the due date for the filingof the utility’s response to a request filedunder these provisions, the general counselby filing of a pleading will make a recom-mendation to the commission advisingwhether the request should be granted.

(6) An electric utility that is unable to meetthe submission date established in section (1)of this rule may obtain an extension of up tothirty (30) days for submitting its annualreport by:

(A) Submitting a written request, whichstates the reason for the extension, to theattention of the secretary of the commissionprior to April 15; and

(B) Certifying that a copy of the writtenrequest was sent to all parties of record inpending cases before the commission wherethe utility’s activities are the primary focus ofthe proceedings.

(7) An electric utility that is unable to meetthe submission date established in section (1)of this rule may request an extension ofgreater than thirty (30) days for submitting itsannual report by:

(A) Filing a pleading, in compliance withthe requirements of Chapter 2 of 4 CSR 240,which states the reason for and the length ofthe extension being requested, with the com-mission prior to April 15; and

(B) Certifying that a copy of the pleadingwas sent to all parties of record in pendingcases before the commission where the utili-ty’s activities are the primary focus of theproceedings.

(8) Responses to deficiency notices under theprovisions of section (3) of this rule, requestsfor confidential treatment under the provi-sions of section (4) of this rule, pleadingsrequesting public disclosure of informationcontained under seal under the provisions ofsection (5) of this rule, and requests forextensions of time under the provisions ofsections (6) or (7) of this rule may be sub-mitted through the commission’s electronicfiling and information system (EFIS).

(9) An electric utility that does not timely fileits annual report, or its response to a noticethat its annual report is deficient, is subject toa penalty of one hundred dollars ($100) andan additional penalty of one hundred dollars($100) for each day that it is late in filing itsannual report or its response to a notice ofdeficiency.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003. Amended:Filed Nov. 7, 2003, effective April 30, 2004.



Secretary of State


4 CSR 240-3.175 Submission Require-ments for Electric Utility DepreciationStudies

PURPOSE: This rule sets forth the require-ments regarding the submission of deprecia-tion studies by electric utilities.

(1) Each electric utility subject to the com-mission’s jurisdiction shall submit a depreci-ation study, database and property unit cata-log to the manager of the commission’senergy department and to the Office of thePublic Counsel, as required by the terms ofsubsection (1)(B).

(A) The depreciation study, database andproperty unit catalog shall be compiled as fol-lows:






and surviving dollar investment for eachwarehouse, electric generating facility, com-bustion turbine, general office building orother large structure; and

3. The property unit catalog shall con-tain a description of each retirement unit usedby the company.

(B) An electric utility shall submit itsdepreciation study, database and propertyunit catalog on the following occasions:

1. On or before the date adjoining thefirst letter of the name under which the cor-poration does business, excluding the wordthe, as indicated by the tariffs on file with thecommission.

A. The alphabetical categories andsubmission due dates are as follows:

(I) A, B, C, D: January 1, 1994;(II) E, F, G, H: July 1, 1994;(III) I, J, K, L: January 1, 1995;(IV) M, N, O, P: July 1, 1995;(V) Q, R, S, T: January 1, 1996;

and(VI) U, V, W, X, Y, Z: July 1,

1996.B. However—

(I) An electric utility need not sub-mit a depreciation study, database or proper-ty unit catalog to the extent that the commis-sion’s staff received these items from the

utility during the three (3) years prior to thedue dates listed in subparagraph (1)(B)1.A.;and

(II) A utility with simultaneous duedates under subparagraph (1)(B)1.A. aboveand 4 CSR 240-3.275(1)(B)1. may postponeits due date with respect to one (1) of theserules by six (6) months. To exercise thisoption, the utility must give written notice ofits intent to postpone compliance to the man-ager of the commission’s energy department,and to the Office of the Public Counsel,before the utility’s first due date;

2. Before five (5) years have elapsedsince the last time the commission’s staffreceived a depreciation study, database andproperty unit catalog from the utility.

(2) The commission may waive or grant avariance from the provisions of this rule, inwhole or in part, for good cause shown, upona utility’s written application.



4 CSR 240-3.180 Submission of ElectricUtility Residential Heat-Related ServiceCold Weather Report

PURPOSE: This rule sets forth the require-ments for electric utilities to submit reportsregarding services provided during the com-mission’s designated cold weather period.

(1) Each utility providing heat-related utilityservice shall submit a report to the consumerservices department of the commission foreach calendar month no later than the twenti-eth day of the following month. The utilityshall provide a copy of each report to theOffice of the Public Counsel. The utility shallreport for each operational district into whichthe utility has divided its Missouri serviceterritory the number of days it was permittedto discontinue service under 4 CSR 240-13.055, and the utility shall separately reporton the information listed below for customersreceiving energy assistance and customerswho are affected by 4 CSR 240-13.055 andknown not to be receiving energy assistance.All information submitted shall be consideredpublic information; however, no customer-specific information shall be reported ormade public. Utilities providing both electricand gas service shall report the informationseparately for their gas-only territory.

(A) How many customers were:1. Disconnected at the end of the period;2. Of those disconnected, how many

customers had service discontinued for non-payment during the period;

3. Of those discontinued during the peri-od, how many customers were restored toservice during the period.

(B) Of customers reported as disconnectedat the end of the period:

1. How many had broken a cold weath-er rule pay agreement;

2. How many had broken a non-coldweather rule pay agreement;

3. How many had not been on a payagreement.

(C) Of those customers reconnected duringthe period:

1. How many customers received energyassistance (pledged or paid) from:

A. Low Income Home Energy Assis-tance Program (LIHEAP);

B. Energy Crisis Intervention Pro-gram (ECIP);

C. Other sources known th the utility.2. How much energy assistance was pro-

vided by:A. LIHEAP;B. ECIP;C. Other sources known to the utility;D. Customer.

(D) Of customers restored to service dur-ing the period:

1. How many were put on a cold weath-er rule pay agreement;

2. How many were put on a non-coldweather rule pay agreement.

(E) How much was owed by those discon-nected at the end of the period:

1. How much was owed by those dis-connected during the period;

2. How much was owed by those recon-nected during the period.

(F) How many customers were registeredunder 4 CSR 240-13.055(1)(D) at the end ofthe period:

1. How many customers registered dur-ing the period;

2. How many of such registered cus-tomers had service discontinued during theperiod.

(G) For how many customers during theperiod did the utility receive:

1. LIHEAP;2. ECIP;3. Other assistance know to the utility.

(H) How much cash did the utility receiveon behalf of customers during the periodfrom:

1. LIHEAP;2. ECIP;3. Others know to the utility.



(I) How many customers who requestedreconnection under terms of this rule wererefused service pursuant to section 4 CSR240-13.055(9).

(J) How many customers received energyassistance insufficient in amount to retain orrestore service.

(K) The number of customers who agreedto pay for their heat-related utility serviceunder a payment agreement in accordancewith 4 CSR 240-13.055.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Amended: Filed April 24,2003, effective Dec. 30, 2003.


4 CSR 240-3.185 Submission of ReportsPertaining to the Decommissioning of Elec-tric Utility Plants

PURPOSE: Electric utilities with nuclearplants must submit the reports pertaining tothe decommissioning trust fund of the nucle-ar plants as outlined in this rule. The rulepertaining to decommissioning trust fundsmay be found at 4 CSR 240-20.070.

(1) The utility or the trustee shall file reportsquarterly to the commission. The reportsshall contain the following information:

(A) A total of all jurisdictional balances ofthe trust fund(s) based on a carrying cost(book) value;

(B) A total of all jurisdictional balances ofthe trust fund(s) based on a market value;

(C) A Missouri jurisdictional balance ofthe trust fund(s) based on a carrying cost(book) value;

(D) A Missouri jurisdictional balance ofthe trust fund(s) based on a market value;

(E) A summary of the trust account includ-ing the utility’s contributions, incomes,expenses and a weighted average after-taxreturn for the quarter;

(F) A portfolio summary per asset class byamount and percentage;

(G) A detailed report of daily transactions;and

(H) Any other information the commissionorders the utility or trustee to provide.

(2) In addition, the utility or the trustee shallfile reports annually to the commission thatcontain the following information:

(A) An asset maturity schedule;(B) A summary of the trust’s portfolio of

investments including a listing of each securi-

ty detailing the carrying cost, current marketvalue, maturity date, estimated annualincome and the yield to maturity;

(C) A copy of all correspondence includingincome tax returns and tax exempt rulingsconcerning the trust with the Internal Rev-enue Service (IRS) or any state revenue agen-cy; and

(D) Any other information the commissionorders the utility or trust to provide.

(3) On or before September 1, 1990 andevery three (3) years after that, utilities withdecommissioning trust funds shall performand file with the commission cost studiesdetailing the utilities’ latest cost estimates fordecommissioning their nuclear generatingunit(s) along with the funding levels neces-sary to defray these decommissioning costs.These studies shall be filed along with appro-priate tariff(s) effectuating the change in ratesnecessary to accomplish the fundingrequired. In addition, the commission, at anytime for just cause, may require a utility tofile an updated decommissioning cost study,funding requirement and associated tariff(s).

(4) At the time a tariff(s) is filed by a utilitywhich proposes any change in rates due tochanges in the estimate of decommissioningcost or the funding level of its nuclear decom-missioning trust fund(s), the utility shall filethe following minimum information in sup-port of the need for changes in its tariff rates:

(A) An updated decommissioning coststudy which estimates the cost of decommis-sioning and the funding levels necessary todefray these costs. This study shall containthe following information:

1. Detailed quantities and unit prices incurrent dollars for each system of the nucleargenerating unit to be decommissioned;

2. A detailed breakdown betweenradioactive contaminated systems and thosesystems which are not contaminated byradioactivity;

3. Funding levels which are computedon a levelized basis and which accrue futuredecommissioning costs over the remaininglicensed life of the nuclear generating unit.The utility shall include the earnings rate andinflation rate assumed in the cost study ascompared to those assumed in any previousstudy;

4. A detailed description of any facilitiesthat were added to or deleted from the coststudy filed in the previous case;

5. The beginning date for the expendi-ture of funds for decommissioning assumedin the study shall be no later than the expira-tion date of the unit’s current Nuclear Regu-latory Commission (NRC) license; and

6. The study shall consider and evaluateall reasonable practices or procedures whichwould reduce the ultimate cost of decommis-sioning; and

(B) A summary description of the reasons(for example, changes in regulation, technol-ogy or economics) that brought on the needto change the decommissioning cost estimate.

(5) Upon proper application and after duenotice and hearing, the commission maywaive any provision of this rule for goodcause shown.


*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996 and 393.292, RSMo 1989.

4 CSR 240-3.190 Reporting Requirementsfor Electric Utilities and Rural ElectricCooperatives

PURPOSE: This rule prescribes requirementsand procedures for the reporting of certainevents by electric utilities to the commissionto inform the commission of developmentswhich may affect the rendering of safe andadequate service and to enable the commis-sion to thoroughly and fairly investigate cer-tain events, which may have an impact infuture electric rate proceedings at the timeand in the context in which those eventsoccur. This rule also includes electrical facil-ities incident reporting requirements for elec-tric cooperatives.

(1) Commencing on September 1, 1991,every electric utility shall accumulate the fol-lowing information and transmit it to themanager of the Energy Department of thecommission, or his/her designee, no laterthan the last business day of the month fol-lowing the month to be reported and after thaton a monthly basis:

(A) All generating unit outages and de-rates, excluding hydroelectric generatingunits and units whose capacity comprises lessthan one and one-half percent (1 1/2%) of theelectric utilities installed capacity;

(B) All fuel purchases for power produc-tion purposes, including the terms of thosepurchases. A copy of the Monthly Report ofCost and Quality of Fuels for Electric Plantson FERC Form No. 423, as submitted to theFederal Energy Regulatory Commission(FERC), will satisfy the requirements of thissubsection;


Secretary of State


(C) Monthly as-burned fuel report for eachcarbon-based fuel generating unit, includingthe amount of each type of fuel consumed,the British thermal unit (Btu) value of eachfuel consumed, and the blending percentages(if applicable);

(D) Net system input for the electric utili-ty;

(E) Net hourly generation for each gener-ating unit;

(F) Megawatt amount and delivery pricesof hourly purchases and sales of electricityfrom or to other electrical services providers,independent power producers or cogenera-tors, including the parties to purchases andsales, and the terms of purchases and sales;

1. If adjustments are made to the priceof hourly purchases after the purchase ismade, provide the amount of the adjustmentand the time period over which the adjust-ment was made;

(G) Capacity purchases of longer thanseven (7) days’ duration;

(H) Planned outages of power productionfacilities, as they are scheduled or resched-uled. Changes from the planned outageschedule must be reported by telephone orelectronic transmission to the manager of theEnergy Department of the commission orhis/her designee prior to the initiation of theoutage, if the changes result in the plannedoutage schedule being different from theschedule in the most recently submittedmonthly report;

(I) Planned fuel test burns, unit heat-ratetests and accreditation runs as they are sched-uled or rescheduled. Changes from previous-ly planned fuel test burns, unit heat-rate testsand accreditation runs must be reported bytelephone or electronic transmission to themanager of the Energy Department of thecommission or his/her designee prior to theirinitiation, if these changes result in the sched-ule for fuel test burns, unit heat-rate tests andaccreditation runs being different from theschedule in the most recently submittedmonthly report;

(J) Citations or notices of violation relatedto power production facilities received fromany state or federal utility regulatory agencyor environmental agency including, but notlimited to, the FERC, the Nuclear Regulato-ry Commission (NRC), the EnvironmentalProtection Agency (EPA), the Department ofNatural Resources (DNR) and the Depart-ment of Energy (DOE);

(K) The terms of new contracts or existingcontracts which will be booked to Accounts310–346 or Accounts 502–546 of the FERC’sUniform System of Accounts requiring theexpenditure by the electric utility of morethan one hundred thousand dollars

($100,000) including, but not limited to, con-tracts for engineering, consulting, repairs andmodifications or additions to an electricplant; and

(L) Copies of all written reports on forcedgenerating unit outages of longer than three(3) days, test burns of fuel, heat-rate tests,accreditation runs and responses to state orfederal utility regulatory agencies or environ-mental agencies including, but not limited to,the FERC, the NRC, the EPA, the DNR andthe DOE, concerning any alleged infractions,deviations or noncompliance with those agen-cies’ rules or standards related to power pro-duction facilities.

(2) Any of the information required in section(1) of this rule may be provided to the man-ager of the Energy Department of the com-mission or his/her designee in electronic for-mat. The electronic files may be submittedthrough the commission’s Electronic Filingand Information System (EFIS).

(3) Every electric utility shall report to themanager of the Energy Department of thecommission or his/her designee by telephoneor through EFIS by the end of the first busi-ness day following discovery, the informationdescribed in subsections (3)(A)–(E) below.The electric utility shall submit, either bymail or through EFIS within five (5) businessdays following the discovery, an update of theincident and any details not available at thetime of the initial report:

(A) Details of any accident at a power plantinvolving serious physical injury or death orproperty damage in excess of one hundredthousand dollars ($100,000);

(B) Forced outages of any nuclear generat-ing unit(s) that could reasonably be anticipat-ed to last longer than three (3) days;

(C) Forced outages of any fossil-fuel firedgenerating unit(s) which constitutes twentypercent (20%) or more of the electric utility’saccredited capacity that reasonably could beanticipated to last longer than three (3) days,when the unit(s) is forced out due to a com-mon occurrence;

(D) Reductions of coal inventory below athirty (30)-day supply and reductions of oilinventory below fifty percent (50%) of nor-mal oil inventory; and

(E) Loss of transmission capability thatcould limit the output of a generating plant.

(4) Every electric utility and rural electriccooperative shall report to the manager of theEnergy Department of the commission orhis/her designee, by telephone or throughEFIS, a brief description of an accident bythe end of the first business day following the

discovery of any accident resulting from elec-trical contact with its energized electricalsupply facilities which results in admission toa hospital or the fatality of an employee orother person or any other accident resultingfrom electrical contact considered significantby the utility. The electric utility or ruralelectric cooperative shall submit, either bymail or through EFIS within five (5) businessdays following the discovery, an update of theincident and any details not available at thetime of the initial report.

(5) All reports and information submitted byelectric utilities and rural electric coopera-tives pursuant to this rule shall be subscribedby the president, treasurer, general manager,receiver or other authorized representative ofthe electric utility or rural electric coopera-tive having knowledge of the subject matterand shall be stated to be accurate and com-plete, and contain no material misrepresenta-tions or omissions, based upon facts of whichthe person subscribing the report or informa-tion has knowledge, information or belief.Any information submitted through EFIS willbear the electronic signature of the utility rep-resentative who is submitted it.

(6) The reporting requirements prescribed bythis rule shall be in addition to all otherreporting requirements prescribed by law.

(7) The information contained in the reportsfiled pursuant to this rule shall be subject tothe provisions of section 386.480, RSMo andthe use of that information in any proceedingbefore the commission shall be governed bythe terms of any protective order issued bythe commission in the proceeding, if a pro-tective order has been issued.

(8) The receipt by the commission or com-mission staff of reports prescribed by thisrule shall not bind the commission or com-mission staff to the approval or acceptanceof, or agreement with any matter contained inthe reports for the purpose of fixing rates orin determining any other issue that may comebefore the commission.

(9) Upon proper application and after noticeand an opportunity for hearing, the commis-sion, in its discretion, may waive any provi-sion of this rule for good cause shown.

AUTHORITY: sections 386.250 and 394.160,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003. Amended:Filed Oct. 14, 2003, effective April 30, 2004.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; and 394.160, RSMo 1939, amended 1949, 1984.



4 CSR 240-3.200 Definitions PertainingSpecifically to Gas Utility Rules

PURPOSE: This rule sets forth the definitionsof certain terms used in rules 4 CSR 240-3.205 through 4 CSR 240-3.295, which are inaddition to the definitions set forth in rule 4CSR 240-3.010 of this chapter.

(1) Affiliate means any person who, directlyor indirectly, controls or is controlled by or isunder common control with a gas utility.

(2) Appliance or equipment means any devicewhich consumes gas energy and any ancillarydevice required for its operation.

(3) Consideration shall be interpreted in itsbroadest sense and shall include any cash,donation, gift, allowance, rebate, discount,bonus, merchandise (new or used), property(real or personal), labor, service, conveyance,commitment, right or other thing of value.

(4) Control (including the terms “control-ling,” “controlled by,” and “common con-trol”) means the possession, directly or indi-rectly, of the power to direct, or to cause thedirection of the management or policies of anentity, whether such power is exercisedthrough one (1) or more intermediary enti-ties, or alone, or in conjunction with, or pur-suant to an agreement with, one (1) or moreother entities, whether such power is exer-cised through a majority or minority owner-ship or voting of securities, common direc-tors, officers or stockholders, voting trusts,holding trusts, affiliated entities, contract orany other direct or indirect means. The com-mission shall presume that the beneficialownership of ten percent (10%) or more ofvoting securities or partnership interest of anentity constitutes control for purposes of thisrule. This provision, however, shall not beconstrued to prohibit a regulated gas corpo-ration from rebutting the presumption that itsownership interest in an entity confers con-trol.

(5) Cost-effective means that the presentvalue of life-cycle benefits is greater than thepresent value of life-cycle costs to theprovider of an energy service.

(6) Demand-side resource means any ineffi-cient energy-related choice that can be influ-enced cost-effectively by a utility. The mean-ing of this term shall not be construed toinclude load-building program.

(7) Designated commission personnel meansthe commission’s Pipeline Safety ProgramManager at the address contained in 4 CSR

240-40.020(5) for written reports and the listof staff personnel supplied to the operatorsfor telephonic notices, both as are required by4 CSR 240-40.020.

(8) Gas means natural gas, flammable gas,manufactured gas or gas which is toxic orcorrosive.

(9) Gas seller means any person who uses,leases, or controls the distribution system ofa distributor or a political subdivision or anypart thereof to sell energy services at retailwithin a political subdivision, other than adistributor or a political subdivision.

(10) Inefficient energy-related choice meansany decision that causes the life-cycle cost ofproviding an energy service to be higher thanit would be for an available alternativechoice.

(11) Load-building program means an orga-nized promotional effort by a utility to per-suade energy-related decision makers tochoose the form of energy supplied by thatutility instead of other forms of energy for theprovision of energy service or to persuadecustomers to increase their use of that utili-ty’s form of energy, either by substituting itfor other forms of energy or by increasing thelevel or variety of energy services used. Thisterm is not intended to include the provisionof technical or engineering assistance, infor-mation about filed rates and tariffs or otherforms of routine customer service.

(12) Operator means a person who engages inthe transportation of gas.

(13) Pipeline or pipeline system means allparts of those physical facilities throughwhich gas moves in transportation including,but not limited to, pipe, valves and otherappurtenances attached to pipe, compressorunits, metering stations, regulator stations,delivery stations, holders and fabricatedassemblies.

(14) Pipeline facility means new and existingpipeline, rights-of-way and any equipment,facility or building used in the transportationof gas or in the treatment of gas during thecourse of transportation.

(15) Promotional practices means any consid-eration offered or granted by a gas utility orits affiliate to any person for the purpose,express or implied, of inducing the person toselect and use the service or use additionalservice of the utility or to select or install anyappliance or equipment designed to use theutility service, or for the purpose of influenc-

ing the person’s choice or specification of theefficiency characteristics of appliances,equipment, buildings, utilization patterns oroperating procedures. The term promotionalpractices shall not include the followingactivities:

(A) Making any emergency repairs toappliances or equipment of customers;

(B) Providing appliances or equipmentincidental to demonstrations of sixty (60)days or less in duration;

(C) Providing light bulbs, street or outdoorlighting service, wiring, service pipe or otherservice equipment or appliances, in accor-dance with tariffs filed with and approved bythe commission;

(D) Providing appliances or equipment toan educational institution for the purpose ofinstructing students in the use of the appli-ances or equipment;

(E) Merchandising appliances or equip-ment at retail and, in connection therewith,the holding of inventories, making and ful-fillment of reasonable warranties againstdefects in material and workmanship existingat the time of delivery and financing; provid-ed that the merchandising shall not violateany prohibition contained in 4 CSR 240-14.020;

(F) Inspecting and adjusting of appliancesor equipment by a gas utility;

(G) Repairing and other maintenance toappliances or equipment by a gas utility ifcharges are at cost or above;

(H) Providing free or below-cost energyaudits or other information or analysisregarding the feasibility and cost-effective-ness of improvements in the efficiency char-acteristics of appliances, equipment, build-ings, utilization patterns or operatingprocedures;

(I) Offering to present or prospective cus-tomers by a gas utility technical or engineer-ing assistance; and

(J) Advertising or publicity by a gas utilitywhich is under its name and on its behalf andwhich does not in any manner, directly orindirectly, identify, describe, refer to, men-tion or relate to any architect, builder, engi-neer, subdivider, developer or other similarperson, or which mentions no less than three(3) existing projects, developments or subdi-visions.

(16) Service line means a distribution linethat transports gas from a common source ofsupply to a) a customer meter or the connec-tion to a customer’s piping, whichever is far-ther downstream, or b) the connection to acustomer’s piping if there is no customermeter. A customer meter is the meter that


Secretary of State


measures the transfer of gas from an operatorto a consumer.

(17) Transmission line means a pipeline,other than a gathering line, that:

(A) Transports gas from a gathering line orstorage facility to a distribution center, stor-age facility, or large volume customer that isnot downstream from a distribution center (Alarge volume customer may receive similarvolumes of gas as a distribution center, andincludes factories, power plants, and institu-tional users of gas);

(B) Operates at a hoop stress of twenty per-cent (20%) or more of specified minimumyield strength (SMYS); or

(C) Transports gas within a storage field.

(18) Transportation of gas means the receiptof gas at one point on a regulated gas corpo-ration’s system and the redelivery of anequivalent volume of gas to the retail cus-tomer of the gas at another point on the reg-ulated gas corporation’s system including,without limitation, scheduling, balancing,peaking, storage, and exchange to the extentsuch services are provided pursuant to theregulated gas corporation’s tariff, andincludes opportunity sales.

(19) Yard line means an underground fuel linethat transports gas from the service line to thecustomer’s building. If multiple buildings arebeing served, building shall mean the build-ing nearest to the connection to the serviceline. For purposes of this definition, if above-ground fuel line piping at the meter locationis located within five feet (5') of a buildingbeing served by that meter, it shall be consid-ered to the customer’s building and no yardline exists. At meter locations where above-ground fuel line piping is located greater thanfive feet (5') from the building(s) beingserved, the underground fuel line from themeter to the entrance into the nearest build-ing served by that meter shall be consideredthe yard line and any other lines are not con-sidered yard lines.



4 CSR 240-3.205 Filing Requirements forGas Utility Applications for Certificates ofConvenience and Necessity

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-

tificate of convenience and necessity mustmeet the requirements set forth in this rule.As noted in the rule, additional requirementspertaining to such applications are set forthin 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofconvenience and necessity by a gas companyshall include the following information:







(B) If the application is for gas transmis-sion lines—



3. Plans for financing;(C) When no evidence of approval of the

affected governmental bodies is necessary, astatement to that effect;








4 CSR 240-3.210 Filing Requirements forGas Utility Applications for Authority toSell, Assign, Lease or Transfer Assets







(E) If the purchaser is subject to the juris-diction of the commission, a balance sheetand income statement with adjustments show-ing the results of the acquisitions of the prop-erty; and

(F) A statement of the impact, if any, thesale, assignment, lease or transfer of assetswill have on the tax revenues of the political



subdivisions in which any structures, facili-ties or equipment of the companies involvedin that sale are located.





4 CSR 240-3.215 Filing Requirements forGas Utility Applications for Authority toMerge or Consolidate








(F) A statement of the impact, if any, themerger or consolidation will have on the taxrevenues of the political subdivision in whichany structures, facilities or equipment of thecompanies involved are located.

(2) If the purchaser is not subject to the juris-diction of the commission, but will be subject

to the commission’s jurisdiction after thesale, the purchaser must comply with theserules.




4 CSR 240-3.220 Filing Requirements forGas Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evi-dences of Indebtedness

















4 CSR 240-3.225 Filing Requirements forGas Utility Applications for Authority toAcquire the Stock of a Public Utility










Secretary of State


4 CSR 240-3.230 Filing Requirements forGas Storage Companies Requesting theAuthority to Acquire Property ThroughEminent Domain Proceedings

PURPOSE: Applications to the commissionfor the authority to acquire property througheminent domain proceedings must meet therequirements of this rule. As noted in the rule,additional requirements pertaining to suchapplications are set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for gas storagecompanies for authority to acquire propertythrough eminent domain proceedings shallinclude:

(A) The legal description of the areas to beacquired;

(B) A map showing the areas to beacquired;

(C) Names and addresses of all personswho may have any legal or equitable title ofrecord in the property to be acquired; and

(D) The reasons it is necessary to acquirethe property and why it is in the public inter-est.




4 CSR 240-3.235 Filing Requirements forGas Utility General Rate Increase Requests

PURPOSE: This rule prescribes informationwhich must be filed by all gas utilities whenfiling for a general company-wide increase inrates. As noted in the rule, additional provi-sions pertaining to the filing requirements forgeneral rate increase requests are found at 4CSR 240-3.030.

(1) In addition to the requirements of 4 CSR240-3.030, any gas utility which submits ageneral rate increase request shall submit thefollowing:

(A) Its depreciation study, database andproperty unit catalog. However, a gas utilityneed not submit a depreciation study, data-base or property unit catalog to the extentthat the commission’s staff received theseitems from the utility during the three (3)

years prior to the utility filing for a generalrate increase or before five (5) years haveelapsed since the last time the commission’sstaff received a depreciation study, databaseand property unit catalog from the utility. Thedepreciation study, database and propertyunit catalog shall be compiled as follows:






and surviving dollar investment for eachwarehouse, propane/air production facility,liquefied natural gas facility, undergroundnatural gas storage facility, general officebuilding or other large structure; and




4 CSR 240-3.240 Gas Utility Small Com-pany Rate Increase Procedure

PURPOSE: This rule provides procedures forsmall gas utilities to obtain rate increases.

(1) Notwithstanding any other rule to thecontrary, small companies, as defined in thisrule, may seek a general increase in revenuesthrough a small company rate case by filing aletter requesting the change. The request shallnot be accompanied by any tariff sheets. Forthe purpose of this rule, small companiesqualifying to use the small company rate casedescribed in this rule shall include gas utili-ties having three thousand (3,000) or fewercustomers. The small company rate case shallbe conducted as follows:

(A) The original letter requesting thechange shall be filed with the secretary of thecommission and one (1) copy shall be fur-nished to the public counsel. The letter shallstate the amount of the additional revenuerequested, the reason(s) for the proposed

change and a statement that all commissionannual assessments have been paid in full orare being paid under an installment plan. Theletter should also include a statement that thecompany’s current annual report is on filewith the commission. The company, in writ-ing, shall notify customers of the request foradditional revenue and the effect on the typi-cal residential customer’s bill. The noticeshall indicate that customers’ responses maybe sent to the appropriate commission depart-ment or the public counsel within thirty (30)days of the date shown on the notice. A draftcopy of the notice shall be sent to the appro-priate commission department for verifica-tion of the accuracy of the notice before beingsent to the company’s customers. A copy ofthe final notice shall then be sent to theappropriate commission department and thepublic counsel. The commission staff and thepublic counsel shall exchange copies of cus-tomer responses upon their receipt. Uponreceipt of the company’s request, the com-mission staff shall schedule an investigationof the company’s operations and an audit ofits financial records. When the investigationand audit are complete, the commission staffshall notify the company and public counselwhether the requested additional revenue isrecommended in whole or in part, of the ratedesign proposal for the increase, and of anyrecommended operational changes. If publiccounsel wishes to conduct an investigationand audit of the company, it must do so with-in the same time period as staff’s investiga-tion and audit;

(B) The commission staff, within twenty-one (21) days from the completion of itsinvestigation, shall arrange a conference withthe company and shall notify the public coun-sel of the conference prior to the conference,in order to provide the public counsel anopportunity to participate;

(C) If the conference between the commis-sion staff, the company and the public coun-sel results in an agreement concerning addi-tional revenue requirements and any othermatters pertaining to the company’s opera-tions, including responses to customer con-cerns, the agreement between the commissionstaff, the company and the public counselshall be reduced to writing. The companymay then file tariff sheet(s) with an effectivedate which is not fewer than thirty (30) daysafter the tariff’s issue date and no additionalcustomer notice or local public hearing shallbe required, unless otherwise ordered by thecommission. The company shall file a copyof the agreement with its tariff;

(D) If the conference results in an agree-ment between the commission staff and thecompany only, the company at this time shall



file the necessary tariff sheet(s) with the com-mission in accordance with the agreement.The tariff sheet(s) shall contain an effectivedate of not fewer than forty-five (45) daysfrom the issue date. The company shall noti-fy customers in writing of the proposed ratesresulting from the agreement. The noticeshall indicate that customers’ responses maybe sent to the appropriate commission depart-ment or the public counsel within twenty (20)days of the date shown on the notice. A copyof the notice shall be sent to the secretary ofthe commission and the public counsel. Thecommission staff and the public counsel shallexchange copies of the customer responsesupon their receipt. The public counsel shallfile a pleading indicating its agreement or dis-agreement with the tariff sheet(s) withintwenty-five (25) days of the date the tariffsheet(s) is filed, unless a public hearing isrequested;

(E) A request for a local public hearingmay be filed after the tariff sheet(s) is filed bythe company. The request shall be filed with-in twenty (20) days of the filing of the tariffsheet(s) by the company. Public counsel shallfile a pleading indicating agreement or dis-agreement with the tariff sheet(s) withinseven (7) days after the local public hearing;

(F) An agreement must be reached and tar-iff sheet(s) filed based upon the agreementwithin one hundred fifty (150) days from thedate the letter initiating the case is filed. Thistime period may be extended with the consentof the company. Written consent for an exten-sion shall be filed with the company’s tariff;and

(G) If no agreement can be reachedbetween the commission staff and the compa-ny, the company may initiate a standard ratecase.



4 CSR 240-3.245 Annual Report Submis-sion Requirements for Gas Utilities

PURPOSE: Section 393.140(6), RSMo,includes an obligation for the commission torequire every person and corporation underits supervision to submit an annual report tothe commission. This rule establishes thestandards for the submission of annualreports by gas utilities that are subject to thejurisdiction of the commission, including the

procedures for submitting nonpublic annualreport information.

(1) All gas utilities shall submit an annualreport to the commission on or before April15 of each year, except as otherwise providedfor in this rule.

(2) Gas utilities shall submit their annualreports either on a form provided by the com-mission or on a computer-generated replicathat is acceptable to the commission. Reportsbeing submitted on paper are to be preparedin loose-leaf format and sent to the attentionof the secretary of the commission. Comput-er-generated reports can be submittedthrough the commission’s electronic filingand information system (EFIS). Attempts tosubstitute forms such as stockholder reportswithout concurrently submitting official com-mission forms with appropriate cross-refer-ences will be considered noncompliant. Allrequested information shall be included in theannual report, where applicable, even if it hasbeen provided in a previous annual report.

(3) A gas utility that receives a notice fromthe commission stating that deficiencies existin the information provided in the annualreport shall respond to that notice withintwenty (20) days after the date of the notice,and shall provide the information requested inthe notice in its response.

(4) If a gas utility subject to this rule consid-ers the information requested on the annualreport form to be nonpublic information, itmust submit both a fully completed version tobe kept under seal and a redacted public ver-sion that clearly informs the reader that theredacted information has been submitted asnonpublic information to be kept under seal.Submittals made under this section that donot include both versions will be considereddeficient. The staff on behalf of the com-mission will issue a deficiency letter to thecompany and if both versions of the annualreport are not received within twenty (20)days of the notice, the submittal will be con-sidered noncompliant. In addition to the fore-going, submittals made under this sectionmust meet the following requirements:






(6) A gas utility that is unable to meet thesubmission date established in section (1) ofthis rule may obtain an extension of up tothirty (30) days for submitting its annualreport by:



(7) A gas utility that is unable to meet thesubmission date established in section (1) ofthis rule may request an extension of greaterthan thirty (30) days for submitting its annu-al report by:



Secretary of State




(9) A gas utility that does not timely file itsannual report, or its response to a notice thatits annual report is deficient, is subject to apenalty of one hundred dollars ($100) and anadditional penalty of one hundred dollars($100) for each day that it is late in filing itsannual report or its response to a notice ofdeficiency.



4 CSR 240-3.250 Submission of Gas Utili-ty Residential Heat-Related Service ColdWeather Report

PURPOSE: This rule sets forth the require-ments for gas utilities providing residentialheat-related utility service to submit reportsregarding services provided during the com-mission’s designated cold weather period.

(1) Each utility providing heat-related utilityservice shall submit a report to the consumerservices department of the commission foreach calendar month no later than the twenti-eth day of the following month. The utilityshall provide a copy of each report to theOffice of the Public Counsel. The utility shallreport for each operational district into whichthe utility has divided its Missouri serviceterritory the number of days it was permittedto discontinue service under 4 CSR 240-13.055, and the utility shall separately reporton the information listed below for customersreceiving energy assistance and customerswho are affected by 4 CSR 240-13.055 andnot known to be receiving energy assistance.

All information submitted shall be consideredpublic information; however, no customer-specific information shall be re-ported ormade public. Utilities providing both electricand gas service shall report the informationseparately for their gas-only territory:

(A) How many customers were:1. Disconnected, at the end of the peri-

od;2. Of those disconnected, how many

customers had service discontinued for non-payment during the period.

3. Of those discontinued during the peri-od, how many customers were restored toservice during the period.

(B) Of customers reported as disconnectedat the end of the period:

1. How many had broken a cold weath-er rule pay agreement;

2. How many had broken a non-coldweather rule pay agreement;

3. How many had not been on a payagreement.

(C) Of those customers reconnected duringthe period:

1. How many customers received energyassistance (pledged or paid) from:

A. Low Income Home Energy Assis-tance Program (LIHEAP);

B. Energy Crisis Intervention Pro-gram (ECIP);

C. Other serves known to the utilities.2. How much energy assistance was pro-

vided by:A. LIHEAP;B. ECIP;C. Other sources known to the utility;D. Customer.

(D) Of customers restored to service dur-ing the period:

1. How many were put on a cold weath-er rule pay agreement;

2. How many were put on a non-coldweather rule pay agreement.

(E) How much was owed by those discon-nected at the end of the period:

1. How much was owed by those dis-connected during the period;

2. How much was owed by those recon-nected during the period.

(F) How many customers were registeredunder 4 CSR 240-13.055(1)(D) at the end ofthe period:

1. How many customers registered dur-ing the period;

2. How many of such registered cus-tomers had service discontinued during theperiod.

(G) For how many customers during theperiod did the utility receive:

1. LIHEAP;2. ECIP;

3. Other assistance known to the utility.(H) How much cash did the utility receive

on behalf of customers during the periodfrom:

1. LIHEAP;2. ECIP;3. Others known to the utility.

(I) How many customers who requestedreconnection under terms of this rule wererefused service pursuant to section 4 CSR240-13.055(9).

(J) How many customers received energyassistance insufficient in amount to retain orrestore service.

(K) The number of customers who agreedto pay for their heat-related utility serviceunder a payment agreement in accordancewith 4 CSR 240-13.055.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Amended: Filed April 24,2003, effective Dec. 30, 2003.


4 CSR 240-3.255 Filing Requirements forGas Utility Promotional Practices

PURPOSE: This rule prescribes the filingrequirement for present, proposed or revisedpromotional practices.

(1) Any promotional practices offered by agas utility must meet the requirements set outin the commission’s rules regarding utilitypromotional practices (4 CSR 240-14).

(2) No gas utility or its affiliate shall offer orgrant any additional promotional practice orvary or terminate any existing promotionalpractice, directly or indirectly, or in concertwith others, or by any means whatsoever,until a tariff filing showing the addition orvariation or termination in the form pre-scribed by this rule has been made with thecommission and a copy furnished to eachother gas utility providing the same or com-peting utility service in any portion of the ser-vice area of the filing utility.

(A) The utility shall provide the followinginformation on the tariff sheets:

1. The name, number or letter designa-tion of the promotional practice;

2. The class of persons to which the pro-motional practice is being offered or granted;

3. Whether the promotional practice isbeing uniformly offered to all persons withinthat class;



4. A description of the promotionalpractice and a statement of its purpose orobjective;

5. A statement of the terms and condi-tions governing the promotional practice;

6. If the promotional practice is offeredor granted, in whole or in part, by an affili-ate or other person, the identity of the affili-ate or person and the nature of their partici-pation; and

7. Other information relevant to a com-plete understanding of the promotional prac-tice.

(B) The utility shall provide the followingsupporting information for each promotionalpractice:

1. A description of the advertising orpublicity to be employed with respect to thepromotional practice;

2. For promotional practices that aredesigned to evaluate the cost-effectiveness ofpotential demand-side resources, a descrip-tion of the evaluation criteria, the evaluationplan and the schedule for completing the eval-uation; and

3. For promotional practices that aredesigned to acquire demand-side resources,documentation of the criteria used and theanalysis performed to determine that thedemand-side resources are cost-effective.



4 CSR 240-3.260 Filing Requirements forGas Utility Rate Schedules

PURPOSE: This rule prescribes the formsand procedures for filing and publishingschedules of rates of all gas utilities under thejurisdiction of the Public Service Commis-sion.

(1) Every gas corporation engaged in themanufacture, furnishing or distribution of gasof any nature whatsoever for light, heat orpower, within the state of Missouri, is direct-ed not later than October 15, 1913, to haveon file with this commission and keep openfor public inspection, schedules showing allrates and charges in connection with suchservice of whatever nature made by the gascorporations for each and every kind of ser-vice which it renders as were in force onApril 15, 1913, together with proper supple-ments covering all changes in the rate sched-

ules authorized by this commission, if any,since April 15, 1913.

(2) All such rate schedules now on file withthe commission not in accordance with thisrule shall be issued in the form and mannerprescribed by this rule and all rate schedulesissued after April 15, 1913, must conform tothis rule.

(3) Rate schedules shall be drawn up substan-tially in accordance with Form No. 14 andshall be plainly printed or typewritten ongood quality of paper of size eight and one-half inches by eleven inches (8 1/2" × 11")in book, sheet or pamphlet form. A loose-leaf plan may be used so changes can bemade by reprinting and inserting a singleleaf. When the loose-leaf plan is used, allsheets, except the title page sheet, must showin the marginal space at the top of the pagethe name of the gas corporation issuing, thePSC number of schedule and the number ofthe page. In the marginal space at the bottomof sheet should be shown—the date of issue,the effective date and the name, title andaddress of the officer by whom the scheduleis issued. All schedules shall bear a numberwith the prefix PSC Mo. _____. Schedulesshall be numbered in consecutive serial orderbeginning with number 1 for each gas corpo-ration. If a schedule or part of a schedule iscancelled, a new schedule or part thereof(sheet(s) if loose-leaf) will refer to the sched-ule canceled by its PSC number; thus: PSCMo. No. _____ canceling PSC Mo. No._____.

(4) Each schedule shall be accompanied by aletter of transmittal, in duplicate if receipt isdesired, which shall be prepared consistentwith the format designated by the commis-sion.

(5) All proposed changes in rates, charges orrentals or in rules that affect rates, charges orrentals filed with the commission shall beaccompanied by a brief summary, approxi-mately one hundred (100) words or less of theeffect of the change on the company’s cus-tomers. A copy of any proposed change andsummary shall also be served on the publiccounsel and be available for public inspectionand reproduction during regular office hoursat the general business office of the utility.

(6) Thirty (30) days’ notice to the commis-sion is required as to every publication relat-ing to gas rates or service except where pub-lications are made effective on less thanstatutory notice by permission, rule orrequirement of the commission.

(7) Except as is otherwise provided, noschedule or supplement will be accepted forfiling unless it is delivered to the commissionfree from all charges or claims for postage,the full thirty (30) days required by lawbefore the date upon which the schedule orsupplement is stated to be effective. No con-sideration will be given to or for the time dur-ing which a schedule or supplement may beheld by the post office authorities because ofinsufficient postage. When a schedule or asupplement is issued and as to which thecommission is not given the statutory notice,it is as if it had not been issued and a fullstatutory notice must be given of any reis-suance. No consideration will be given totelegraphic notices in computing the thirty(30) days’ notice required. In those cases theschedule will be returned to the sender andcorrection of the neglect or omission cannotbe made which takes into account any timeelapsing between the date upon which theschedule or supplement was received and thedate of the attempted correction. For rateschedules and supplements issued on shortnotice under special permission of the com-mission, literal compliance with the require-ments for notice named in any order, rule orpermission granted by the commission willbe exacted.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000.* Original rule filed Aug. 16,2002, effective April 30, 2003, effective April30, 2003.


4 CSR 240-3.265 Natural Gas Utility Peti-tions for Infrastructure System Replace-ment Surcharges

PURPOSE: This rule sets forth the defini-tions, parameters and procedures relevant tothe filing and processing of petitions pertain-ing to an infrastructure system replacementsurcharge (ISRS), including the informationthat a natural gas utility must provide when itfiles a petition and associated rate schedulesto establish, change or reconcile an ISRS.

(1) As used in this rule, the following termsmean:

(A) Appropriate pretax revenues—the rev-enues necessary to:

1. Produce net operating income equalto the natural gas utility’s weighted cost ofcapital multiplied by the net original cost ofeligible infrastructure system replacements,including recognition of accumulated


Secretary of State


deferred income taxes and accumulateddepreciation associated with eligible infras-tructure system replacements that are includ-ed in a currently effective infrastructure sys-tem replacement surcharge (ISRS);

2. Recover state, federal, and localincome or excise taxes applicable to suchincome; and

3. Recover all other ISRS costs;(B) Eligible infrastructure system replace-

ments—natural gas utility plant projects that:1. Replace or extend the useful life of

existing infrastructure;2. Are in service and used and useful;3. Do not increase revenues by directly

connecting the infrastructure replacement tonew customers; and

4. Were not included in the natural gasutility’s rate base in its most recent generalrate case;

(C) Natural gas utility—a gas corporationas defined in section 386.020, RSMo;

(D) ISRS—infrastructure system replace-ment surcharge;

(E) ISRS costs—annual depreciationexpenses, and property taxes that will be duewithin twelve (12) months of the ISRS filingon the total cost of eligible infrastructure sys-tem replacements less annual depreciationexpenses and property taxes on any relatedfacility retirements;

(F) ISRS revenues—revenues producedthrough an ISRS, exclusive of revenues fromall other rates and charges;

(G) Natural gas utility plant projects—pro-jects that consist only of the following:

1. Mains, valves, service lines, regulatorstations, vaults, and other pipeline systemcomponents installed to comply with state orfederal safety requirements as replacementsfor existing facilities that have worn out or arein deteriorated condition;

2. Main relining projects, service lineinsertion projects, joint encapsulation pro-jects, and other similar projects extending theuseful life, or enhancing the integrity ofpipeline system components undertaken tocomply with state or federal safety require-ments; and

3. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of the United States, thisstate, a political subdivision of this state oranother entity having the power of eminentdomain; provided that the costs related tosuch projects have not been reimbursed to thenatural gas utility.

(2) Pursuant to the provisions of this rule andsections 393.1009 to 393.1015, RSMo, a nat-ural gas utility may file a petition and pro-

posed rate schedules with the commission toestablish or change ISRS rate schedules thatwill allow for the adjustment of its rates andcharges to provide for the recovery of costsfor eligible infrastructure system replace-ments; provided that the ISRS, on an annual-ized basis, must produce ISRS revenues of atleast the lesser of one-half of one percent(1/2%) of the natural gas utility’s base rev-enue level approved by the commission in thenatural gas utility’s most recent general ratecase proceeding or one (1) million dollars,but not in excess of ten percent (10%) of thesubject utility’s base revenue level approvedby the commission in the utility’s most recentgeneral rate proceeding.

(3) An ISRS, and any future changes thereto,shall be calculated and implemented in accor-dance with the provisions of this rule and sec-tions 393.1009 to 393.1015, RSMo.

(4) ISRS revenues shall be subject to refundbased upon a finding and order of the com-mission, to the extent provided in subsections(5) and (8) of section 393.1015, RSMo.

(5) The commission shall not approve anISRS for a natural gas utility that has not hada general rate proceeding decided or dis-missed by issuance of a commission orderwithin the past three (3) years, unless thatutility has filed for or is the subject of a newgeneral rate proceeding.

(6) In no event shall a natural gas utility col-lect an ISRS for a period exceeding three (3)years unless it has filed for or is the subjectof a new general rate proceeding; providedthat the ISRS may be collected until the effec-tive date of new rate schedules established asa result of the new general rate proceeding,or until the subject general rate proceeding isotherwise decided or dismissed by issuanceof a commission order without new ratesbeing established.

(7) Upon the filing of a petition seeking toestablish or change an ISRS, the commissionwill provide notice of the filing.

(8) The natural gas utility shall provide thefollowing notices to its customers, with suchnotices to be approved by the commission inaccordance with section (9) of this rule beforethey are sent to the customers:

(A) An initial, one (1)-time notice to allpotentially affected customers, such noticebeing sent to customers no later than whencustomers will receive their first bill thatincludes an ISRS, explaining the subject util-ity’s infrastructure system replacement pro-gram, explaining how its ISRS will be applied

to its various customer classes and identify-ing the statutory authority under which it isimplementing its ISRS;

(B) An annual notice to affected customerseach year that an ISRS is in effect explainingthe continuation of its infrastructure systemreplacement program and the resulting ISRS;and

(C) A surcharge description on all affectedcustomer bills, which informs the customersof the existence and amount of the ISRS onthe bills.

(9) Within twenty (20) days of the natural gasutility’s filing of a petition to establish anISRS, the subject utility shall submit the fol-lowing items to the commission for approvalor rejection, and the office of the publiccounsel may, within ten (10) days of the gasutility’s filing of this information, submitcomments regarding these notices to the com-mission:

(A) An example of the notice required bysubsection (8)(A) of this rule;

(B) An example of the notice required bysubsection (8)(B) of this rule; and

(C) An example customer bill showing howthe ISRS will be described on affected cus-tomers’ bills in accordance with subsection(8)(C) of this rule.

(10) When a natural gas utility files a petitionpursuant to the provisions of this rule andsections 393.1009 to 393.1015, RSMo, thecommission shall conduct an examination ofthe proposed ISRS.

(11) The staff of the commission may exam-ine the information of the natural gas utilityprovided pursuant to this rule and sections393.1009 to 393.1015, RSMo, to confirm theunderlying costs and proper calculation ofthe proposed ISRS, and may submit a reportregarding its examination to the commissionnot later than sixty (60) days after the naturalgas utility files its petition. The staff shall notexamine any other revenue requirement orratemaking issues in its consideration of thepetition or associated proposed rate sched-ules.

(12) The commission may hold a hearing onthe petition and the associated proposed rateschedules and shall issue an order to becomeeffective not later than one hundred twenty(120) days after the natural gas utility filesthe petition.

(13) If the commission finds that a petitioncomplies with the requirements of sections



393.1009 to 393.1015, RSMo, the commis-sion shall enter an order authorizing the nat-ural gas utility to impose an ISRS that is suf-ficient to recover appropriate pretaxrevenues, as determined by the commission.

(14) The monthly ISRS shall vary accordingto customer class and shall be calculatedbased on the customer numbers reported inthe most recent annual report of the naturalgas utility so long as the monthly ISRS foreach customer class maintains a proportionalrelationship equivalent to the proportionalrelationship of the monthly customer chargefor each customer class.

(15) Commission approval of a petition, andany associated rate schedules, to establish orchange an ISRS pursuant to sections393.1009 to 393.1015, RSMo, shall in noway be binding upon the commission indetermining the ratemaking treatment to beapplied to eligible infrastructure systemreplacements during a subsequent generalrate proceeding when the commission mayundertake to review the prudence of suchcosts. In the event the commission disallows,during a subsequent general rate proceeding,recovery of costs associated with eligibleinfrastructure system replacements previouslyin an ISRS, the natural gas utility shall offsetits ISRS in the future as necessary to recog-nize and account for any such overcollec-tions. Nothing in this rule or section393.1015, RSMo, shall be construed as lim-iting the authority of the commission toreview and consider infrastructure systemreplacement costs along with other costs dur-ing any general rate proceeding of any natu-ral gas utility.

(16) A natural gas utility may effectuate achange in an ISRS no more often than two (2)times during every twelve (12)-month period,with the first such period beginning on theeffective date of the rate schedules that estab-lish an initial ISRS. For the purposes of thissection, an initial ISRS is the first ISRSgranted to the subject utility or an ISRSestablished after an ISRS is reset to zero pur-suant to the provisions of section (18) of thisrule.

(17) At the end of each twelve (12)-monthperiod that an ISRS is in effect, the naturalgas utility shall reconcile the differencesbetween the revenues resulting from the ISRSand the appropriate pretax revenues as foundby the commission for that period and shallsubmit the reconciliation and proposed ISRSrate schedule revisions to the commission forapproval to recover or refund the difference,as appropriate.

(18) A natural gas utility that has implement-ed an ISRS shall file revised ISRS rate sched-ules to reset the ISRS to zero when new baserates and charges become effective followinga commission order establishing customerrates in a general rate proceeding that incor-porates eligible costs previously reflected inan ISRS into the subject utility’s base rates.If an over or under recovery of ISRS rev-enues, including any commission orderedrefunds, exists after the ISRS has been resetto zero, that amount of over or under recov-ery shall be tracked in an account and con-sidered in the next ISRS filing of the naturalgas utility. The commission shall reject anISRS petition after a commission order in ageneral rate proceeding unless the ISRS rev-enues requested in the petition, on an annual-ized basis, will produce ISRS revenues of atleast the lesser of one-half of one percent(1/2%) of the natural gas utility’s base rev-enue level approved by the commission in thenatural gas utility’s most recent general ratecase proceeding or one (1) million dollars,but not in excess of ten percent (10%) of thesubject utility’s base revenue level approvedby the commission in the utility’s most recentgeneral rate proceeding.

(19) Upon the inclusion of eligible costs pre-viously reflected in an ISRS into a natural gasutility’s base rates, the subject utility shallimmediately thereafter reconcile any previ-ously unreconciled ISRS revenues, and trackthem per section (18) of this rule, as neces-sary to ensure that revenues resulting fromthe ISRS match, as closely as possible, theappropriate pretax revenues as found by thecommission for that period.

(20) At the time that a natural gas utility filesa petition with the commission seeking toestablish, change or reconcile an ISRS, itshall submit proposed ISRS rate schedulesand its supporting documentation regardingthe calculation of the proposed ISRS with thepetition, and shall serve the office of the pub-lic counsel with a copy of its petition, its pro-posed rate schedules and its supporting docu-mentation. The subject utility’s supportingdocumentation shall include workpapersshowing the calculation of the proposedISRS, and shall include, at a minimum, thefollowing information:

(A) The state, federal, and local income orexcise tax rates used in calculating the pro-posed ISRS, and an explanation of the sourceof and the basis for using those tax rates;

(B) The regulatory capital structure used incalculating the proposed ISRS, and an expla-nation of the source of and the basis for usingthat capital structure;

(C) The cost rates for debt and preferredstock used in calculating the proposed ISRS,and an explanation of the source of and thebasis for using those cost rates;

(D) The cost of common equity used incalculating the proposed ISRS, and an expla-nation of the source of and the basis for usingthat equity cost;

(E) The property tax rates used in calcu-lating the proposed ISRS, and an explanationof the source of and the basis for using thosetax rates;

(F) The depreciation rates used in calculat-ing the proposed ISRS, and an explanation ofthe source of and the basis for using thosedepreciation rates;

(G) The applicable customer class billingunits used in calculating the proposed ISRS,and an explanation of the source of and thebasis for using those billing units;

(H) An explanation of how the proposedISRS is being proportioned between affectedcustomer classes, if applicable;

(I) An explanation of how the infrastruc-ture replacement projects associated with theISRS do not increase revenues by directlyconnecting the infrastructure replacement tonew customers;

(J) An explanation of when the infrastruc-ture replacement projects associated with theISRS were completed and became used anduseful;

(K) For each project for which recovery issought, the net original cost of the infrastruc-ture system replacements (original cost of eli-gible infrastructure system replacements,including recognition of accumulateddeferred income taxes and accumulateddepreciation associated with eligible infras-tructure system replacements which areincluded in a currently effective ISRS), theamount of related ISRS costs that are eligiblefor recovery during the period in which theISRS will be in effect, and a breakdown ofthose costs identifying which of the followingproject categories apply and the specificrequirements being satisfied by the infras-tructure replacements for each:

1. Mains, valves, service lines, regulatorstations, vaults, and other pipeline systemcomponents installed to comply with statesafety requirements;

2. Mains, valves, service lines, regulatorstations, vaults, and other pipeline systemcomponents installed to comply with federalsafety requirements;

3. Main relining projects, service lineinsertion projects, joint encapsulation pro-jects, and other similar projects undertaken tocomply with state safety requirements;


Secretary of State


4. Main relining projects, service lineinsertion projects, joint encapsulation pro-jects, and other similar projects undertaken tocomply with federal safety requirements;

5. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of the United States;

6. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of this state;

7. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of a political subdivision ofthis state; and

8. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of an entity other than theUnited States, this state, or a political subdi-vision of this state, having the power of emi-nent domain;

(L) For each project for which recovery issought, the statute, commission order, rule,or regulation, if any, requiring the project; adescription of the project; the location of theproject; what portions of the project are com-pleted, used and useful; what portions of theproject are still to be completed; and thebeginning and planned end date of the pro-ject.

(21) In addition to the information requiredby section (20) of this rule, natural gas utili-ties shall, either when they file their proposedISRS rate schedules or when they file theirnext general rate case after an ISRS goes intoeffect, submit, at a minimum, the followingsupporting documentation to staff and theoffice of the public counsel, for each ISRSfiled since the utility’s last general rate case:

(A) An explanation of how long any infras-tructure that was replaced associated with theISRS had been installed when it was removedor abandoned;

(B) An explanation of the efforts of the nat-ural gas utility to quantify and to seek reim-bursement of any costs associated with relo-cations required due to construction orimprovement of a highway, road, street, pub-lic way, or other public work by or on behalfof the United States, this state, a politicalsubdivision of this state, or another entityhaving the power of eminent domain, whichcould offset the requested ISRS revenues;

(C) If any infrastructure replacement pro-jects associated with the ISRS were fundedthrough financing arrangements directedtoward these projects, an explanation of howthe infrastructure replacement projects were

funded, including the amount of any debt andthe interest rate on that debt; and

(D) An explanation of the request for pro-posal (RFP) process, or the reasons for notusing an RFP process, used to establish whatentity performed the infrastructure replace-ment projects associated with the proposedISRS.

(22) In addition to the information requiredby section (20) of this rule, the natural gasutility shall also provide the following infor-mation when it files a petition with the com-mission seeking to establish, change or rec-oncile an ISRS:

(A) A description of all information postedon the subject utility’s website regarding theinfrastructure system replacement surchargeand related infrastructure system replacementprojects; and

(B) A description of all instructions pro-vided to personnel at the subject utility’s callcenter regarding how those personnel shouldrespond to calls pertaining to the ISRS.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000, and 393.1015.11, RSMo Supp.2003.* Original rule filed Sept. 19, 2003,effective May 30, 2004.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; 393.140, RSMo 1939, amended 1949, 1967; and393.1015, RSMo 2003.

4 CSR 240-3.270 Submission Require-ments Regarding Plans, Procedures andPrograms for the Transportation of Natu-ral Gas by Pipeline

PURPOSE: This rule sets forth the plans,procedures and programs related to the trans-portation of natural gas by pipelines, whichare to be submitted to designated commissionpersonnel under various provisions of 4 CSR240-40.

(1) General. All gas systems under thepipeline safety jurisdiction of the MissouriPublic Service Commission must establishand submit welding procedures, joining pro-cedures and construction specifications andstandards to designated commission person-nel before construction activities begin. Allother plans, procedures and programsrequired by rules 4 CSR 240-40.020, 4 CSR240-40.030, and 4 CSR 240-40.080 must beestablished and submitted to designated com-mission personnel before the system is putinto operation.

(2) The plans, procedures and programs list-ed in subsections (A)–(H) below must be sub-

mitted to designated commission personnel inaccordance with 4 CSR 240-40.030(1)(J) andmaintained and modified in accordance with4 CSR 240-40.030(1)(G).

(A) Written welding procedures in accor-dance with 4 CSR 240-40.030(5);

(B) Written procedures for joiningpipelines other than by welding in accordancewith 4 CSR 240-40.030(6)(B) and (6)(G);

(C) Written procedures for controlling cor-rosion in accordance with the operation andmaintenance requirements contained in 4CSR 240-40.030(9) in accordance with 4CSR 240-40.030(9)(C);

(D) A manual of written procedures forconducting operations and maintenance activ-ities and for emergency response in accor-dance with 4 CSR 240-40.030(12)(C).Transmission lines that are not exempt under4 CSR 240-40.030(12)(C)3.E. must also sub-mit a manual that includes procedures forhandling abnormal operations in accordancewith 4 CSR 240-40.030(12)(C)3.;

(E) A written operator qualification pro-gram for individuals performing coveredtasks on a pipeline facility in accordance with4 CSR 240-40.030(12)(D);

(F) A written program to prevent damageto pipelines by excavation activities in accor-dance with 4 CSR 240-40.030(12)(I)1.;

(G) Written procedures to minimize thehazard resulting from a gas pipeline emer-gency in accordance with 4 CSR 240-40.030(12)(J)1.; and

(H) Written programs for the replacementof unprotected steel service lines and yardlines and cast iron mains and the cathodicprotection or replacement of unprotectedsteel mains in accordance with 4 CSR 240-40.030(15)(B).



4 CSR 240-3.275 Submission Require-ments for Gas Utility Depreciation Studies

PURPOSE: This rule sets forth the require-ments regarding the submission of deprecia-tion studies by gas utilities.

(1) Each gas utility subject to the commis-sion’s jurisdiction shall submit a depreciationstudy, database and property unit catalog tothe manager of the commission’s energydepartment and to the Office of the Public



Counsel, as required by the terms of subsec-tion (1)(B).

(A) The depreciation study, database andproperty unit catalog shall be compiled as fol-lows:






and surviving dollar investment for eachwarehouse, propane/air production facility,liquefied natural gas facility, undergroundnatural gas storage facility, general officebuilding or other large structure; and


(B) A gas utility shall submit its deprecia-tion study, database and property unit catalogon the following occasions:

1. On or before the date adjoining thefirst letter of the name under which the cor-poration does business, excluding the wordthe, as indicated by the tariffs on file with thecommission.

A. The alphabetical categories andsubmission due dates are as follows:

(I) A, B, C, D: January 1, 1994;(II) E, F, G, H: July 1, 1994;(III) I, J, K, L: January 1, 1995;(IV) M, N, O, P: July 1, 1995;(V) Q, R, S, T: January 1, 1996;

and(VI) U, V, W, X, Y, Z: July 1,

1996.B. However—

(I) A gas utility need not submit adepreciation study, database or property unitcatalog to the extent that the commission’sstaff received these items from the utilityduring the three (3) years prior to the duedates listed in subparagraph (1)(B)1.A.; and

(II) A utility with simultaneous duedates under subparagraph (1)(B)1.A. aboveand 4 CSR 240-3.175(1)(B)1. may postponeits due date with respect to one (1) of theserules by six (6) months. To exercise thisoption, the utility must give written notice ofits intent to postpone compliance to the man-ager of the commission’s energy department,and to the Office of the Public Counsel,before the utility’s first due date;

2. Before five (5) years have elapsedsince the last time the commission’s staffreceived a depreciation study, database andproperty unit catalog from the utility.

(2) The commission may waive or grant avariance from the provisions of this rule, inwhole or in part, for good cause shown, upona utility’s written application.



4 CSR 240-3.280 Submission Require-ments Regarding Gas Utility Written Drugand Alcohol Testing Plans

PURPOSE: This rule prescribes the require-ments for submitting drug and alcohol testingplans for natural gas corporations, which arefurther described in 4 CSR 240-40.080.

(1) Written Drug and Alcohol Testing Plans.A written plan for drug and alcohol testing inaccordance with 4 CSR 240-40.080 must besubmitted to designated commission person-nel.



4 CSR 240-3.285 Filing RequirementsRegarding Certification of Gas Sellers

PURPOSE: This rule establishes the proce-dure for certification of gas sellers pursuantto sections 393.297 through 393.301, RSMo.

(1) Each natural gas seller seeking certifica-tion shall submit an agreement containingonly the following, pursuant to section393.299, RSMo:

(A) Its agreement to pay all applicablebusiness license taxes, or its proportionateshare of the franchise fee or payment in lieuof taxes (PILOT) in each political subdivisionin which it sells gas;

(B) A statement that it waives its right tochallenge the validity of the agreement;

(C) A statement that it waives its right tothe refund of any amounts paid pursuant tothe agreement; and

(D) Its agreement to make its records avail-able to the commission and the political sub-division with the right to audit the records.

(2) Each gas seller seeking certification shallalso provide the following information to thecommission:

(A) Its name, address, telephone number,and the name of a person(s) to contact regard-ing certification, location of records and busi-ness operations in Missouri; and

(B) A list of each political subdivision inwhich it sells gas.

(3) The application for certification shall bein the form prescribed by the commission.


*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996 and 393.299, RSMo 1998.

4 CSR 240-3.290 Submission Require-ments Regarding Gas Utility Incident,Annual and Safety-Related ConditionReports

PURPOSE: This rule prescribes the require-ments for submitting incident, annual, andsafety-related condition reports, which arefurther described in 4 CSR 240-40.020.

(1) Incident Reports. Incident reports must besubmitted to designated commission person-nel in accordance with 4 CSR 240-40.020(4)(C), 4 CSR 240-40.020(4)(D)1., 4CSR 240-40.020(6) and 4 CSR 240-40.020(9).

(2) Safety-Related Condition Reports. Safety-related condition reports required by 4 CSR240-40.020(12) must be submitted to desig-nated commission personnel in accordancewith 4 CSR 240-40.020(4)(E) and 4 CSR240-40.020(13).

(3) Annual Reports. Annual reports must besubmitted to designated commission person-nel in accordance with 4 CSR 240-40.020(4)(D)2., 4 CSR 240-40.020(7) and 4CSR 240-40.020(10).




Secretary of State


4 CSR 240-3.295 Submission Require-ments Regarding Gas Utility Written Pro-cedures for Conversion of Service andUprating

PURPOSE: This rule prescribes the require-ments for submitting written procedures forconversion of service and uprating ofpipelines, which are further described in 4CSR 240-40.030.

(1) Conversion to Service. Conversion ofsteel pipelines, previously used in service notsubject to this rule, for use under this rulemust follow written procedures in accordancewith 4 CSR 240-40.030(1)(H).

(2) Uprating. Written procedures to uprate asegment of pipeline must be established thatwill ensure compliance with 4 CSR 240-40.030(11) in accordance with 4 CSR 240-40.030(11)(B)3.

(3) Waivers of Compliance. Waivers of Com-pliance from any rules and requirements thatare more stringent than the minimum federalrequirements must be submitted in accor-dance with 4 CSR 240-40.030(16).



4 CSR 240-3.300 Definitions PertainingSpecifically to Sewer Utility Rules


(1) Outlet means a service sewer connectionto the collecting sewer.

(2) Sewage means ground garbage, humanand animal excretions and all other liquidwaste normally disposed of by a residential,commercial or industrial establishment,through the sanitary sewer system.

(3) Sewer service means the removal andtreatment of sewage.

(4) Sewer system includes all pipes, pumps,canals, lagoons, plants, structures and appli-ances and all other real estate, fixtures andpersonal property, owned, operated, con-trolled or managed in connection with or to

facilitate the collection, carriage, treatmentand disposal of sewage for municipal, domes-tic or other beneficial or necessary purpose.



4 CSR 240-3.305 Filing Requirements forSewer Utility Applications for Certificatesof Convenience and Necessity

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate of convenience and necessity mustmeet the requirements set forth in this rule.As noted in the rule, additional requirementspertaining to such applications are set forthin 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofconvenience and necessity by a sewer compa-ny shall include the following information:







(B) When no evidence of approval of theaffected governmental bodies is necessary, astatement to that effect;

(C) When approval of the affected govern-mental bodies is required, evidence must beprovided as follows:



(D) The facts showing that the granting ofthe application is required by the public con-venience and necessity.




4 CSR 240-3.310 Filing Requirements forSewer Utility Applications for Authority toSell, Assign, Lease or Transfer Assets








(F) A statement of the impact, if any, thesale, assignment, lease or transfer of assets



will have on the tax revenues of the politicalsubdivisions in which any structures, facili-ties or equipment of the companies involvedin that sale are located.





4 CSR 240-3.315 Filing Requirements forSewer Utility Applications for Authority toMerge or Consolidate













4 CSR 240-3.320 Filing Requirements forSewer Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evi-dences of Indebtedness











1. Bonded and other indebtedness; and

2. Stock authorized and outstanding;(F) A statement of what portion of the

issue is subject to the fee schedule in section386.300, RSMo; and





4 CSR 240-3.325 Filing Requirements forSewer Utility Applications for Authority toAcquire the Stock of a Public Utility










Secretary of State


4 CSR 240-3.330 Sewer Utility Small Com-pany Rate Increase Procedure

PURPOSE: This rule provides procedures forsmall sewer utilities to obtain rate increases.

(1) Notwithstanding any other rule to thecontrary, small companies, as defined in thisrule, may seek a general increase in revenuesthrough a small company rate case by filing aletter requesting the change. The request shallnot be accompanied by any tariff sheets. Forthe purpose of this rule, small companiesqualifying to use the small company rate casedescribed in this rule shall include sewer util-ities having eight thousand (8,000) or fewercustomers. The small company rate case shallbe conducted as follows:

(A) The original letter requesting thechange shall be filed with the secretary of thecommission and one (1) copy shall be fur-nished to the public counsel. The letter shallstate the amount of the additional revenuerequested, the reason(s) for the proposedchange and a statement that all commissionannual assessments have been paid in full orare being paid under an installment plan. Theletter should also include a statement that thecompany’s current annual report is on filewith the commission. The company, in writ-ing, shall notify customers of the request foradditional revenue and the effect on the typi-cal residential customer’s bill. The noticeshall indicate that customers’ responses maybe sent to the appropriate commission depart-ment or the public counsel within thirty (30)days of the date shown on the notice. A draftcopy of the notice shall be sent to the appro-priate commission department for verifica-tion of the accuracy of the notice before beingsent to the company’s customers. A copy ofthe final notice shall then be sent to theappropriate commission department and thepublic counsel. The commission staff and thepublic counsel shall exchange copies of cus-tomer responses upon their receipt. Uponreceipt of the company’s request, the com-mission staff shall schedule an investigationof the company’s operations and an audit ofits financial records. When the investigationand audit are complete, the commission staffshall notify the company and public counselwhether the requested additional revenue isrecommended in whole or in part, of the ratedesign proposal for the increase, and of anyrecommended operational changes. If publiccounsel wishes to conduct an investigationand audit of the company, it must do sowithin the same time period as staff’s inves-tigation and audit;

(B) The commission staff, within twenty-one (21) days from the completion of its

investigation, shall arrange a conference withthe company and shall notify the public coun-sel of the conference prior to the conference,in order to provide the public counsel anopportunity to participate;


(D) If the conference results in an agree-ment between the commission staff and thecompany only, the company at this time shallfile the necessary tariff sheet(s) with the com-mission in accordance with the agreement.The tariff sheet(s) shall contain an effectivedate of not fewer than forty-five (45) daysfrom the issue date. The company shall noti-fy customers in writing of the proposed ratesresulting from the agreement. The noticeshall indicate that customers’ responses maybe sent to the appropriate commission depart-ment or the public counsel within twenty (20)days of the date shown on the notice. A copyof the notice shall be sent to the secretary ofthe commission and the public counsel. Thecommission staff and the public counsel shallexchange copies of the customer responsesupon their receipt. The public counsel shallfile a pleading indicating its agreement or dis-agreement with the tariff sheet(s) withintwenty-five (25) days of the date the tariffsheet(s) is filed, unless a public hearing isrequested;


(F) An agreement must be reached and tar-iff sheet(s) filed based upon the agreementwithin one hundred fifty (150) days from thedate the letter initiating the case is filed. Thistime period may be extended with the consentof the company. Written consent for an exten-sion shall be filed with the company’s tariff;and




4 CSR 240-3.335 Annual Report Submis-sion Requirements for Sewer Utilities

PURPOSE: Section 393.140(6), RSMo,includes an obligation for the commission torequire every person and corporation underits supervision to submit an annual report tothe commission. This rule establishes thestandards for the submission of annualreports by sewer utilities that are subject tothe jurisdiction of the commission, includingthe procedures for submitting nonpublicannual report information.

(1) All sewer utilities shall submit an annualreport to the commission on or before April15 of each year, except as otherwise providedfor in this rule.

(2) Sewer utilities shall submit their annualreports either on a form provided by the com-mission or on a computer-generated replica isacceptable to the commission. Reports beingsubmitted on paper are to be prepared inloose-leaf format and sent to the attention ofthe secretary of the commission. Computer-generated reports can be submitted throughthe commission’s electronic filing and infor-mation system (EFIS). Attempts to substituteforms such as stockholder reports withoutconcurrently submitting official commissionforms with appropriate cross-references willbe considered noncompliant. All requestedinformation shall be included in the annualreport, where applicable, even if it has beenprovided in a previous annual report.

(3) A sewer utility that receives a notice fromthe commission stating that deficiencies existin the information provided in the annualreport shall respond to that notice withintwenty (20) days after the date of the notice,and shall provide the information requested inthe notice in its response.

(4) If a sewer utility subject to this rule con-siders the information requested on the annu-al report form to be nonpublic information, itmust submit both a fully completed version to



be kept under seal and a redacted public ver-sion that clearly informs the reader that theredacted information has been submitted asnonpublic information to be kept under seal.Submittals made under this section that donot include both versions will be considereddeficient. The staff on behalf of the commis-sion will issue a deficiency letter to the com-pany and if both versions of the annual reportare not received within twenty (20) days ofthe notice, the submittal will be considerednoncompliant. In addition to the foregoing,submittals made under this section must meetthe following requirements:






(6) A sewer utility that is unable to meet thesubmission date established in section (1) ofthis rule may obtain an extension of up tothirty (30) days for submitting its annualreport by:



(7) A sewer utility that is unable to meet thesubmission date established in section (1) ofthis rule may request an extension of greaterthan thirty (30) days for submitting its annu-al report by:




(9) A sewer utility that does not timely file itsannual report, or its response to a notice thatits annual report is deficient, is subject to apenalty of one hundred dollars ($100) and anadditional penalty of one hundred dollars($100) for each day that it is late in filing itsannual report or its response to a notice ofdeficiency.



4 CSR 240-3.340 Filing Requirements forSewer Utility Tariff Schedules

PURPOSE: This rule prescribes the form,contents and procedures for filing tariffschedules by all sewer corporations under thejurisdiction of the Public Service Commis-sion.

(1) Each sewer utility shall have on file withthis commission a tariff schedule and allforms of contracts and agreements of whatev-er nature made by such sewer utility for eachand every kind of service which it renders.For purposes of this rule the term tariffschedule shall include: schedules showing allrates and charges; all rules relating to rates,charges of service; all general privilegesgranted or allowed; and all maps of the areaserved or professed to be served and the legaldescription thereof.

(2) All tariff schedules now on file with thecommission, not in accordance with this rule,shall be reissued in the form and manner pre-scribed and all tariff schedules issued afterMarch 2, 1973 must conform to this rule.

(3) Tariff schedules shall be drawn up sub-stantially in accordance with this commis-sion’s Form No. 13 and shall be plainly print-ed or typewritten on good quality paper ofeight and one-half inches by eleven inches (81/2" × 11") in book, sheet or pamphletform. A loose-leaf plan may be used sochanges can be made by reprinting and insert-ing a single leaf. When the loose-leaf plan isused, all sheets, except the title page sheet,must show in the marginal space at top ofpage the name of the sewer utility issuing, thePSC number of schedule and the number ofthe page. In the marginal space at bottom ofsheet shall be shown the date of issue, theeffective date and the name, title and addressof the officer by whom the schedule is issued.All tariff schedules shall bear a number withthe prefix PSC Mo. No. _____. Tariff sched-ules for each sewer utility shall be numberedin consecutive serial order beginning with 1.If a tariff schedule or part thereof is canceled,a new schedule or part thereof (sheet(s) ifloose-leaf) will refer to the schedule can-celed, by its PSC number; thus, the PSC Mo.No. _____ canceling PSC Mo. No. _____.


(5) Each sewer utility shall keep a copy of itstariff schedule open for public inspection and


Secretary of State


readily accessible to any member of the pub-lic upon demand during business hours at itsprincipal operating office and in each divi-sion office which is now or may be estab-lished. Any proposed changes in the tariffschedule shall be readily accessible to anymember of the public upon demand in theoffices of the sewer utility for a period of thir-ty (30) days prior to the effective date of suchchange. If, for good cause shown, the com-mission allows a change without thirty (30)days’ notice, the sewer utility shall displaysuch proposed change at its office for theperiod prescribed by the commission prior tothe effective date of the change.

(6) The following shall apply to all sewer util-ities operating in the state of Missouri andeach utility shall have on file as a part of itstariff schedule, rules which substantially con-form thereto:

(A) Each sewer utility shall have on filewith the commission rules relating to advancepayments and deposits. If a utility requiresadvance payments for sewer service, it willnot be permitted to require the customer tomake a deposit to insure payment of bills. Ifthe utility does not require advance paymentsfor sewer service, it may require from anycustomer at any time a cash deposit, provid-ed that the amount of any such deposit sorequired shall not exceed the amount due forservice for one (1) billing period plus thirty(30) days;

(B) Interest at the rate of six percent (6%)per annum covering the period of the depositshall be paid by the utility to the customer orapplied to the customer’s account, uponreturn of any deposit to the customer or theapplication of such deposit to the customer’saccount; provided the cash deposit remainswith the utility for a period of at least twelve(12) months;

(C) These provisions shall not apply to anydeposits or guarantees made by the customerfor the purpose of securing an extension of oradditions to a utility’s collecting system inaccordance with the utility’s rules coveringthe extensions as filed with this commission;

(D) Interest shall not accrue on any cashdeposit after the date the utility has made abona fide effort to return such deposit to thedepositor. The utility shall keep in its recordsevidence of its effort to return such deposit;

(E) Each utility shall issue to every cus-tomer from whom a deposit is received, anonassignable receipt;

(F) Each utility shall maintain accuraterecords of customer deposits which includethe original amount, the date of the depositand any transaction relating to the deposit orinterest on the deposit; and

(G) If a customer requests discontinuanceof sewer service to the premises, the utilitywill refund the unearned portion of anyadvance payment on a pro rata basis, provid-ed the customer has given proper notice tothe utility as required by its rules on file withthe Public Service Commission.

(7) Each sewer utility shall file with the com-mission a sample of each type of customerbill form used by the utility, which shall pro-vide for inclusion of the gross and/or netamount of the bill and the date by which thecustomer must pay the bill in order to benefitfrom any discount or to avoid any penalty.The utility shall specify its billing period,which shall in no case exceed a period of six(6) months.

(8) Each utility shall specify the conditionsunder which it may discontinue service to acustomer, which conditions may include, butnot necessarily be limited to, nonpayment forservices rendered in accordance with the tar-iff schedule on file for the utility with thiscommission and noncompliance with the util-ity’s rules filed with the commission.

(9) Each utility shall include in its rules thatprior to physical discontinuance of service,the utility will mail at least thirty (30) days’written notice to the customers by certifiedmail return receipt requested and a copy ofthe written notice will be forwarded to thiscommission. The written notice shall statethe violation and service may be discontinuedat any time after the expiration of the speci-fied period, provided satisfactory arrange-ments for continuance of the service have notbeen made. The requirement of a thirty (30)-day written notice prior to discontinuance ofservice may be waived where discharge ofmaterials which might be detrimental to thepublic health and safety or cause damage tothe sewer system of the utility are discovered.In the event of discontinuance of service forthis reason, the customer and the commissionshall be notified of such discontinuanceimmediately with a statement concerning thereasons for discontinuance.

(10) Each sewer utility shall include in its tar-iff schedule a statement of the practices andpolicies of the utility governing extension ofits collecting system to provide service toprospective customers.

(11) Each utility shall specify the conditionsunder which it may refuse to provide serviceto an applicant, which conditions mayinclude, but shall not be necessarily limitedto, noncompliance with the utility’s rules asfiled with this commission, rules of this com-

mission or local governmental regulations. Ifthe utility refuses to serve an applicant underthe provisions of this rule or any other rule,the utility shall inform the applicant in writ-ing of the basis for its refusal and the appli-cant may appeal to the commission for a rul-ing.

(12) The utility shall physically inspect allservice sewer connections to its system. Theapplicant for service shall provide adequateadvance notice to the utility to facilitate theinspection.

(13) Each sewer utility shall also have on fileas a part of its tariff schedule, rules applica-ble to, but not limited to, the following items:applications for service; availability of ser-vice; interruption of service; and right ofaccess to customer’s premises.

(14) All proposed changes in rates, chargesor rentals or in rules that affect rates, chargesor rentals filed with the commission shall beaccompanied by a brief summary, approxi-mately one hundred (100) words or less, ofthe effect of the change on the company’scustomers. A copy of any proposed changeand summary shall also be served on the pub-lic counsel and be available for public inspec-tion and reproduction during regular officehours at the general business office of theutility.

(15) Thirty (30) days’ notice to the commis-sion is required as to every publication relat-ing to sewer rates or service except wherepublications are made effective on less thanstatutory notice by permission, regulation orrequirement of the commission.

(16) Except as is otherwise provided, noschedule or supplement will be accepted forfiling unless it is delivered to the commissionfree from all charges or claims for postage,the full thirty (30) days required by lawbefore the date upon which such schedule orsupplement is stated to be effective. No con-sideration will be given to or for the time dur-ing which a schedule or supplement may beheld by the post office authorities because ofinsufficient postage. When a schedule or asupplement is issued and as to which thecommission is not given the statutory notice,it is as if it had not been issued and a fullstatutory notice must be given of any reis-suance. No consideration will be given totelegraphic notices in computing the thirty(30) days’ notice required. In such cases theschedule will be returned to the sender andcorrection of the neglect or omission cannotbe made which takes into account any timeelapsing between the date upon which the



schedule or supplement was received and thedate of the attempted correction. For rateschedules and supplements issued on shortnotice under special permission of the com-mission, literal compliance with the require-ments for notice named in any order, regula-tion or permission granted by the commissionwill be exacted.



4 CSR 240-3.400 Filing Requirements forSteam Heating Utility Applications forCertificates of Convenience and Necessity

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate of convenience and necessity mustmeet the requirements of this rule. As noted inthe rule, additional requirements pertainingto such applications are set forth in 4 CSR240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofconvenience and necessity shall include thefollowing information:







(B) If the application is for electrical trans-mission lines or electrical production facili-ties—



3. Plans for financing;(C) When no evidence of approval of the

affected governmental bodies is necessary, astatement to that effect;








4 CSR 240-3.405 Filing Requirements forSteam Heating Utility Applications forAuthority to Sell, Assign, Lease or Trans-fer Assets


(1) In addition to the requirements of 4 CSR240-2.060(1), applications for authority to

sell, assign, lease or transfer assets shallinclude:




(D) The reasons the proposed sale of theassets is not detrimental to the public interest;and

(E) If the purchaser is subject to the juris-diction of the commission, a balance sheetand income statement with adjustments show-ing the results of the acquisitions of the prop-erty.





4 CSR 240-3.410 Filing Requirements forSteam Heating Utility Applications forAuthority to Merge or Consolidate






Secretary of State



(D) The reasons the proposed merger isnot detrimental to the public interest; and

(E) An estimate of the impact of the merg-er on the company’s Missouri jurisdictionaloperations relative to the merger and acquisi-tion in question.





4 CSR 240-3.415 Filing Requirements forSteam Heating Utility Applications forAuthority to Issue Stock, Bonds, Notes andOther Evidences of Indebtedness

















4 CSR 240-3.420 Filing Requirements forSteam Heating Utility Applications forAuthority to Acquire the Stock of a PublicUtility









4 CSR 240-3.425 Filing Requirements forSteam Heating Utility Rate Schedules

PURPOSE: This rule prescribes the form andgoverns the filing and publication of rateschedules of steam heating utilities regulatedby the Public Service Commission.

(1) Every steam heating company engaged inmanufacturing and distributing and selling, ordistribution or distributing steam for motivepower, heating, cooking or for any public useor service, is directed not later than October15, 1913, to have on file with this commis-sion, and keep open for public inspection,schedules showing all rates and charges inconnection with such service of whatevernature made by such steam heating compa-nies for each and every kind of service whichit renders as were in force on April 15, 1913,together with proper supplements covering allchanges in the rate schedules authorized bythis commission, if any, since April 15,1913.

(2) All rate schedules on file on October 15,1913, with the commission, not in accor-dance with these rules, shall be issued in theform and manner prescribed by this rule andall rate schedules issued after October 15,1913, must conform to this rule.

(3) Rate schedules shall be drawn up substan-tially in accordance with PSC Form No. 16and shall be plainly printed or typewritten ongood quality of paper of size eight and one-half inches by eleven inches (8 1/2" × 11")in book, sheet or pamphlet form. A loose-leaf plan may be used so changes can bemade by reprinting and inserting a singleleaf. When the loose-leaf plan is used, allsheets, except the title page sheet, must show,in the marginal space at top of page, the nameof the heating company, the PSC number ofthe schedule and the number of the page. Inthe marginal space at the bottom of the sheetshall be shown the date of issue, effectivedate and the name, title and address of theofficer by whom the schedule is issued. Allschedules shall bear a number with the prefixPSC Mo. _____. Schedules shall be num-bered in consecutive serial order beginningwith number 1 for each steam heating com-pany. If a schedule or a part is canceled, a



new schedule or part (sheet(s) if loose-leaf)will refer to the schedule canceled by its PSCnumber; thus, PSC Mo. No. _____ cancelingPSC Mo. No. _____.


(5) Thirty (30) days’ notice to the commis-sion is required as to every publication relat-ing to steam heating rates or service exceptwhere publications are made effective on lessthan statutory notice by permission, regula-tion or requirement of the commission.

(6) Except as is otherwise provided, noschedule or supplement will be accepted forfiling unless it is delivered to the commissionfree from all charges or claims for postage,the full thirty (30) days required by lawbefore the date upon which such schedule orsupplement is stated to be effective. No con-sideration will be given to or for the time dur-ing which a schedule or supplement may beheld by the post office authorities because ofinsufficient postage. When a schedule or asupplement is issued and as to which thecommission is not given the statutory notice,it is as if it had not been issued and a fullstatutory notice must be given of any reis-suance. No consideration will be given totelegraphic notices in computing the thirty(30) days’ notice required. In such cases theschedule will be returned to the sender andcorrection of the neglect or omission cannotbe made which takes into account any timeelapsing between the date upon which suchschedule or supplement was received and thedate of the attempted correction. For rateschedules and supplements issued on shortnotice under special permission of the com-mission, literal compliance with the require-ments for notice named in any order, regula-tion or permission granted by the commissionwill be exacted.

AUTHORITY: sections 386.250, 393.140 and393.290, RSMo 2000.* Original rule filedAug. 16, 2002, effective April 30, 2003.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; 393.140, RSMo 1939, amended 1949, 1967; and393.290, RSMo 1939, amended 1967.

4 CSR 240-3.435 Annual Report Submis-sion Requirements for Steam Heating Util-ities

PURPOSE: Section 393.140(6), RSMo,includes an obligation for the commission torequire every person and corporation underits supervision to submit an annual report tothe commission, and section 393.290 pro-vides for the commission’s jurisdiction oversteam heating utilities. This rule establishesthe standards for the submission of annualreports by steam heating utilities that are sub-ject to the jurisdiction of the commission,including the procedures for submitting non-public annual report information.

(1) All steam heating utilities shall submit anannual report to the commission on or beforeApril 15 of each year, except as is otherwiseprovided for in this rule.

(2) Steam heating utilities shall submit theirannual reports either on a form provided bythe commission or on a computer-generatedreplica that is acceptable to the commission.Reports being submitted on paper are to beprepared in loose-leaf format and sent to theattention of the secretary of the commission.Computer-generated reports can be submittedthrough the commission’s electronic filingand information system (EFIS). Attempts tosubstitute forms such as stockholder reportswithout concurrently submitting official com-mission forms with appropriate cross-refer-ences will be considered noncompliant. Allrequested information shall be included in theannual report, where applicable, even if it hasbeen provided in a previous annual report.

(3) A steam heating utility that receives anotice from the commission stating that defi-ciencies exist in the information provided inthe annual report shall respond to that noticewithin twenty (20) days after the date of thenotice, and shall provide the informationrequested in the notice in its response.

(4) If a steam heating utility subject to thisrule considers the information requested onthe annual report form to be nonpublic infor-mation, it must submit both a fully complet-ed version to be kept under seal and a redact-ed public version that clearly informs thereader that the redacted information has beensubmitted as nonpublic information to be keptunder seal. Submittals made under this sec-tion that do not include both versions will beconsidered deficient. The staff on behalf ofthe commission will issue a deficiency letterto the company and if both versions of theannual report are not received within twenty(20) days of the notice, the submittal will be

considered noncompliant. In addition to theforegoing, submittals made under this sectionmust meet the following requirements:


(B) The cover of each version of the reportmust clearly identify whether it is the publicor non-public version;


(D) Each page of each version of the reportthat contains non-public information shall beclearly identified as containing such informa-tion.


(6) A steam heating utility that is unable tomeet the submission date established in sec-tion (1) of this rule may obtain an extensionof up to thirty (30) days for submitting itsannual report by:


(B) Certifying that a copy of the writtenrequest was sent to all parties of record inpending cases before the commission where


Secretary of State


the utility’s activities are the primary focus ofthe proceedings.

(7) A steam heating utility that is unable tomeet the submission date established in sec-tion (1) of this rule may request an extensionof greater than thirty (30) days for submittingits annual report by:




(9) A steam heating utility that does not time-ly file its annual report, or its response to anotice that its annual report is deficient, issubject to a penalty of one hundred dollars($100) and an additional penalty of one hun-dred dollars ($100) for each day that it is latein filing its annual report or its response to anotice of deficiency.

AUTHORITY: sections 386.250, 393.140 and393.290, RSMo 2000.* Original rule filedAug. 16, 2002, effective April 30, 2003.Amended: Filed Nov. 7, 2003, effective April30, 2004.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; 393.140, RSMo 1939, amended 1949, 1967; and393.290, RSMo 1939, amended 1967.

4 CSR 240-3.440 Small Steam HeatingUtility Rate Case Procedure

PURPOSE: This rule provides procedureswhereby small steam heating utilities mayrequest increases in their annual operatingrevenues, without the necessity of meeting thefiling requirements for a general rate increaserequest as set forth in 4 CSR 240-3.030.

(1) Notwithstanding any other rule to thecontrary, a small steam heating utility serving

one hundred (100) or fewer customers (smallsteam heating utility) may request an increasein its annual operating revenues through theprocedures set forth in this rule by filing a let-ter requesting the change. The request shallnot be accompanied by any tariff sheets. Thesmall steam heating utility rate case shall beconducted as follows:

(A) The original letter requesting thechange shall be filed with the secretary of thecommission and one (1) copy shall be fur-nished to the public counsel. The letter shallstate:

1. The amount of the additional revenuerequested;

2. The reason(s) for the proposedchange;

3. A statement that all commissionannual assessments have been paid in full orare being paid under an installment plan; and

4. A statement that the small steamheating utility’s current annual report is onfile with the commission;

(B) The small steam heating utility, in writ-ing, shall notify each customer and eachprovider of gas or electric service in the areaof the request for additional revenue and theeffect on the typical commercial and indus-trial customer’s bill. The notice shall indicatethat customers’ responses may be sent to theEnergy Department manager of the commis-sion or the public counsel within thirty (30)days of the date shown on the notice. A draftcopy of the notice shall be sent to the EnergyDepartment manager of the commission forverification of the accuracy of the noticebefore being sent to the small steam heatingutility’s customers. A copy of the final noticeshall then be sent to the Energy Departmentmanager of the commission and the publiccounsel. The commission staff and the publiccounsel shall exchange copies of customerresponses upon their receipt;

(C) Any customer, gas or electric serviceprovider responding within thirty (30) days ofthe date of the notice shall be entitled tocopies of all filings, with the possible excep-tion of any information deemed to be confi-dential or proprietary, subsequently made inthe case and may participate in any confer-ences or hearings therein;

(D) Upon receipt of the steam heating util-ity’s request, the commission staff shallschedule an investigation of the steam heatingutility’s operations and an audit of its finan-cial records. The steam heating utility, incompliance with commission rule 4 CSR240-2.090 Discovery and Prehearing, shallmake available the following:

1. All financial records;2. All billing and sales data; and3. All customer information;

(E) When the investigation and audit arecomplete, the commission staff shall notifythe steam heating utility and public counselwhether the requested additional revenue isrecommended in whole or in part, of the ratedesign proposal for the increase, and of anyrecommended operational changes;

(F) If public counsel wishes to conduct aninvestigation and audit of the steam heatingutility, it must do so within the same timeperiod as staff’s investigation and audit;

(G) The commission staff, within twenty-one (21) days from the completion of itsinvestigation, shall arrange a conference withthe steam heating utility and shall notify thepublic counsel of the conference prior to theconference, in order to provide the publiccounsel an opportunity to participate;

(H) If the conference between the commis-sion staff, the steam heating utility and thepublic counsel results in an agreement con-cerning additional revenue requirements andany other matters pertaining to the steamheating utility’s operations, includingresponses to customer concerns, the agree-ment among the commission staff, the steamheating utility and the public counsel shall bereduced to writing. The steam heating utilitymay then file tariff sheet(s) with an effectivedate which is not fewer than thirty (30) daysafter the tariff’s issue date and no additionalcustomer notice or local public hearing shallbe required, unless otherwise ordered by thecommission. The steam heating utility shallfile a copy of the agreement with its tariff;

(I) If the conference results in an agree-ment between the commission staff and thesteam heating utility only, the steam heatingutility at this time shall file the necessary tar-iff sheet(s) with the commission in accor-dance with the agreement. The tariff sheet(s)shall contain an effective date of not fewerthan forty-five (45) days from the issue date.The steam heating utility shall notify cus-tomers in writing of the proposed rates result-ing from the agreement. The notice shallindicate that customers’ responses may besent to the Energy Department manager ofthe commission or the public counsel withintwenty (20) days of the date shown on thenotice. A copy of the notice shall be sent tothe secretary of the commission and the pub-lic counsel. The commission staff and thepublic counsel shall exchange copies of thecustomer responses upon their receipt. Thepublic counsel shall file a pleading indicatingits agreement or disagreement with the tariffsheet(s) within twenty-five (25) days of thedate the tariff sheet(s) is filed, unless a pub-lic hearing is requested;

(J) A request for a local public hearingmay be filed after the tariff sheet(s) is filed by



the steam heating utility. The request shall befiled within twenty (20) days of the filing ofthe tariff sheet(s) by the steam heating utility.Public counsel shall file a pleading indicatingagreement or disagreement with the tariffsheet(s) within seven (7) days after the localpublic hearing;

(K) An agreement must be reached and tar-iff sheet(s) filed based upon the agreementwithin one hundred fifty (150) days from thedate the letter initiating the case is filed. Thistime period may be extended with the consentof the steam heating utility. Written consentfor an extension shall be filed; and

(L) If no agreement can be reachedbetween the commission staff and the steamheating utility, the steam heating utility mayinitiate a standard rate case.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000, and 393.291, RSMo Supp.2003.* Original rule filed Sept. 22, 2003,effective April 30, 2004.


4 CSR 240-3.500 Definitions PertainingSpecifically to Telecommunication Compa-ny Rules


(1) Access line means an analog line or a dig-ital voice-grade equivalent line used to con-nect an end-user to a company’s centraloffice. Voice-grade equivalent should be con-sidered as each channel available for voicetraffic on a high capacity line. One (1) highcapacity line equipped with twenty-four (24)voice-grade channels will be consideredtwenty-four (24) access lines.

(2) Base rate area means an area within anexchange as specified in the telecommunica-tions company’s tariffs and maps, withinwhich each class of basic local telecommuni-cations service is furnished at a uniform ratewithout the application of mileage or zonecharges.

(3) Basic local telecommunications servicemeans basic local telecommunications ser-vice as defined in section 386.020(4), RSMo.

(4) Call means a customer’s attemptedtelecommunications transmission whethercompleted or not.

(5) Central office means the facility housingone (1) or more switching units in a telecom-munications system which provides service tothe general public and has the necessaryequipment and operating arrangements forterminating and interconnecting customerlines and trunks or trunks only.

(6) Channel means a path for telecommuni-cations between two (2) or more stations orcentral offices, furnished in any manner thecarrier may elect.

(7) Class of service means the type of servicebeing provided to the customer such as resi-dential or business services.

(8) Customer means any individual, firm,partnership, corporation, municipality, coop-erative, organization, governmental agency,or other entity that accepts financial andother responsibilities in exchange fortelecommunications service.

(9) Exchange means exchange as defined insection 386.020(16), RSMo.

(10) Held application means an applicationfor establishment of basic local telecommuni-cations service which a company has not sat-isfied within thirty (30) days after the dateapplicant desires that service begin. Thiswould not include those applications held forcredit reasons.

(11) Incumbent local exchange telecommuni-cations company means incumbent localexchange telecommunications company asdefined in section 386.020(22), RSMo.

(12) Line is a general term used in thetelecommunications industry in several dif-ferent senses, the most common of which areaccess line, trunk, channel and route.

(13) Long distance service means at a mini-mum two-way switched voice servicebetween points in different local callingscopes as determined by the commission.

(14) Message means a completed call.

(15) New customer means any customer whohas no prior service history with the telecom-munications company with whom service isbeing requested.

(16) Pay telephone means a coin or non-cointelephone installed for use by the generalpublic from which calls can be paid for at the

time they are made by means of coins,tokens, credit cards, debit cards or a billing toan alternate number.

(17) Person means person as defined in sec-tion 386.020(30), RSMo.

(18) Public utility means public utility asdefined in section 386.020(42), RSMo.

(19) Rate means rate as defined in section386.020(45), RSMo.

(20) Service means service as defined in sec-tion 386.020(47), RSMo.

(21) Service objective means an acceptablelevel of service for an established category ofservice as identified in 4 CSR 240-32.080.Service objectives should be maintained onan exchange-specific basis or as otherwisemonitored according to 4 CSR 240-32.080.

(22) Station means a point of input to or out-put from the network, including a telephoneinstrument or other terminal device.

(23) Surveillance level means a substandardlevel of performance for an established cate-gory of service as identified in 4 CSR 240-32.080. A company whose service falls with-in a surveillance level shall immediatelyinvestigate and take appropriate correctiveaction to achieve and maintain the commis-sion’s service objective.

(24) Switching is a generic term for machinesthat switch telephone calls from/to other tele-phones or trunks.

(25) Tandem means a central office wheretrunks are interconnected to transmittelecommunications traffic between othercentral offices.

(26) Tariff means a schedule of rates, ser-vices and rules approved by the commission.

(27) Telecommunication company meanstelecommunications company as defined insection 386.020(51), RSMo.

(28) Telecommunications service meanstelecommunications service as defined in sec-tion 386.020(53), RSMo.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Amended: Filed Oct. 30,2003, effective June 30, 2004.



Secretary of State


4 CSR 240-3.505 Filing Requirements forTelecommunications Company Applica-tions for Certificates of Interexchange Ser-vice Authority to Provide Customer-Owned Coin Telephone Service

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate for providing interexchange serviceauthority for customer-owned coin telephoneservice must meet the requirements set forthin this rule. As noted in the rule, additionalrequirements pertaining to such applicationsare set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofinterexchange service authority to providecustomer-owned coin telephone (COLT) ser-vice shall be filed on the form provided bythe commission.

(A) Applications for COLT service shallinclude a description of the general area inwhich service is to be offered.

(B) Providers of COLT service shall beexempt from the provisions of sections392.390(1) and (3), RSMo, but shall remainsubject to the provisions of section 386.370,RSMo.




4 CSR 240-3.510 Filing Requirements forTelecommunications Company Applica-tions for Certificates of Service Authorityto Provide Telecommunications Services,Whether Interexchange, Local Exchangeor Basic Local Exchange

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate for providing telecommunications ser-vices, whether interexchange, local exchangeor basic local exchange services, must meetthe requirements set forth in this rule. Asnoted in the rule, additional requirementspertaining to such applications are set forthin 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofservice authority to provide telecommunica-

tions services, whether interexchange, localexchange or basic local exchange, shallinclude:

(A) A request to be classified as a compet-itive telecommunications company, if appli-cable, and a description of the types of ser-vice the applicant intends to provide;

(B) If the application is for basic localexchange service authority, the applicant shallindicate the exchange(s) in which service is tobe offered; and

(C) A proposed tariff with an effective datewhich is not fewer than forty-five (45) daysafter the tariff’s issue date. Before servicecan be provided, a tariff and any applicableinterconnection agreements must be filedwith the commission and approved. However,filing the tariff and any applicable intercon-nection agreements simultaneously with thecertificate application is optional.

(D) If the application is for basic localexchange service authority, the applicationshall also include the following:

1. A statement that the applicant pos-sesses sufficient technical, financial and man-agerial resources and abilities to providebasic local telecommunications service.

A. The application shall contain sup-portive financial information that includestwelve (12) months of historical financialstatements comprised of a balance sheet andan income statement for any applicant thathas been engaged in previous business opera-tions and any company that will be providingfinancial support to the applicant. Entitieswith no prior business operations or any rela-tionship with a company that will be provid-ing financial support to the applicant will notbe expected to provide any historical financialinformation.

B. Applicant shall submit on a proforma basis, at least twelve (12) months offinancial statements comprised of a balancesheet and an income statement.

C. Financial data shall reflect Mis-souri specific information to the extent suchinformation is available. Company-widefinancial information may be substituted inthe event that Missouri specific information isnot available.

D. Pro forma financial informationmust demonstrate the following:

(I) The applicant has a debt to totalcapital ratio no greater than sixty-two percent(62%) and a pretax interest coverage of atleast 2.3x; and/or

(II) The applicant has a cash orcash equivalent balance of at least four (4)months operating expenses inclusive of inter-est expense and taxes.

(a) If the pro forma for the appli-cant demonstrates the requirement set forth in

subparagraph D. above, only the pro formafor the applicant need be submitted. If the proforma for the applicant does not demonstratethe requirement in subparagraph D., theapplicant must submit a combined pro formafor the applicant and the company that will beproviding support for the applicant, thatmeets the requirement in subparagraph D.

(b) If any of the items requiredunder this rule have been submitted by appli-cant in a previous application within a year ofthis application, the same may be incorporat-ed by reference to the case number in whichthe information was furnished, so long assuch applicable information is current andcorrect;

2. A statement that the applicant willsatisfy the minimum standards established bythe commission;

3. A statement that sets forth the geo-graphic area in which the applicant proposesto offer service and demonstrates that sucharea follows exchange boundaries of theincumbent local exchange telecommunica-tions company and is no smaller than anexchange;

4. A statement that the applicant willoffer basic local telecommunications serviceas a separate and distinct service; and

5. A statement that the applicant willgive equitable access to all Missourians,regardless of where they live or their income,to affordable telecommunications services.


AUTHORITY: sections 386.250, 392.450,392.451 and 392.455, RSMo 2000.* Originalrule filed Aug. 16, 2002, effective April 30,2003. Amended: Filed March 19, 2004,effective Nov. 30, 2004.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996; 392.450, RSMo 1987, amended 1996; 392.451,RSMo 1996; and 392.455, RSMo 1996.

4 CSR 240-3.513 Filing and SubmissionRequirements for TelecommunicationsCompany Applications for Approval ofInterconnection Agreements, Amendmentsto Interconnection Agreements, and forNotices of Adoptions of InterconnectionAgreements or Statements of GenerallyAvailable Terms

PURPOSE: An application to approve aninterconnection agreement or statement ofgenerally available terms under 47 U.S.C.



section 252(f), or an amendment to an inter-connection agreement, or a notice of adop-tion of an interconnection agreement oradoption of statements of generally availableterms shall meet the requirements set forth inthis rule.

(1) Interconnection Agreements Arrived atthrough Negotiation.

(A) Applications shall comply with appli-cable requirements identified in 4 CSR 240-2.040, 4 CSR 240-2.060, and 4 CSR 240-2.080.

(B) The interconnection agreement shall:1. Sequentially number all pages of the

interconnection agreement; and2. Be signed by both parties to the

agreement.(C) Changes made to a pending intercon-

nection agreement shall be signed by bothparties to the agreement.

(D) Changes made to a pending intercon-nection agreement more than sixty (60) daysafter the application was filed shall bedeemed to be the withdrawal of the agreementwhich is pending approval and the filing of anew agreement, thus starting a new ninety(90)-day period for commission action.

(2) Applications for Statements of GenerallyAvailable Terms under 47 U.S.C. section252(f) shall comply with applicable require-ments identified in 4 CSR 240-2.040, 4 CSR240-2.060, and 4 CSR 240-2.080.

(3) Interconnection Agreements Arrived atthrough Arbitration.

(A) The interconnection agreements shallcomply with the requirements identified in 4CSR 240-36.050.

(B) The interconnection agreement shall:1. Sequentially number all pages of the

interconnection agreement; and2. Be signed by both parties to the

agreement.

(4) Adoptions of Interconnection AgreementPreviously Approved by this Commission.

(A) Either company may submit a letter tothe secretary of the commission. The lettershall include the case number in which theadopted agreement was previously approvedby this commission, along with the trackingnumber(s) or case number(s) of any amend-ments the parties will adopt. The letter shallalso include a copy of the signature pagesigned by both parties to the adoption. Theadoption shall be deemed approved on thedate it is properly submitted as set forth inthis rule. No adoption will become effectiveprior to the date it is properly submitted asset forth in this rule.

(B) If both parties have not signed the sig-nature page to the adoption, the adoptingcompany shall file an application with thecommission.

1. The application shall comply with theapplicable requirements identified in 4 CSR240-2.040, 4 CSR 240-2.060, and 4 CSR240-2.080.

2. The application shall explain theapplicant’s inability to obtain the otherparty’s signature on the adoption.

3. The commission will send notice tothe non-signatory party allowing twenty (20)days for objection.

4. If the non-signatory party does notfile an objection on or before the twentiethday, the adoption shall be deemed approvedand the commission will close the case. Ifthe non-signatory party does file an objectionon or before the twentieth day, the commis-sion, after following an appropriate proce-dure, will determine whether to approve orreject the adoption.

(5) Adoption of an Approved Statement ofGenerally Available Terms under 47 U.S.C.section 252(f).

(A) Adoptions shall be accomplished bysubmitting a letter to the secretary of thecommission. The letter shall inform thecommission about the adoption of the state-ment or agreement along with a copy of thesignature page signed by both parties to theadoption.

(B) The adoption of the statement or agree-ment shall be deemed approved on the date itis properly submitted as set forth in this rule.

(C) No adoption will become effectiveprior to the date it is properly submitted asset forth in this rule.

(6) Amendments to Approved Interconnec-tion Agreements or Approved Statements ofGenerally Available Terms under 47 U.S.C.section 252(f).

(A) Applications for Adoption of Amend-ments Previously Approved by this Commis-sion.

1. Either company may submit to thesecretary of the commission a letter and one(1) copy of the proposed amendment alongwith one (1) copy of the signature page signedby both parties to the adoption.

2. The letter shall generally describe theproposed amendment and the case number ortracking number where the amendment waspreviously approved.

3. Applications for adoption of amend-ments previously approved by this commis-sion shall be deemed approved on the datethey are properly submitted as set forth in this

rule, if both parties have signed the signaturepage of the amendment.

4. No adoption of an amendment willbecome effective prior to the date it is prop-erly submitted as set forth in this rule.

(B) If both parties have not signed the sig-nature page to the adoption of an amendment,the adopting company shall file an applica-tion with the commission.

1. The application shall comply with theapplicable requirements identified in 4 CSR240-2.040, 4 CSR 240-2.060, and 4 CSR240-2.080.

2. The application shall explain theapplicant’s inability to obtain the otherparty’s signature on the adoption of theamendment.

3. The commission will send notice tothe non-signatory party allowing twenty (20)days for objection.

4. If the non-signatory party does notfile an objection on or before the twentiethday, the adoption of the amendment shall bedeemed approved and the commission willclose the case. If the non-signatory partydoes file an objection on or before the twen-tieth day, the commission, after following anappropriate procedure, will determinewhether to approve or reject the adoption ofthe amendment.

(C) Applications for proposed amendmentsnot previously approved by this commissionshall comply with applicable requirementsidentified in 4 CSR 240-2.040, 4 CSR 240-2.060, and 4 CSR 240-2.080.

1. Changes made to a pending amend-ment shall be signed by both parties to theamendment.

2. Changes made to a pending amend-ment more than sixty (60) days after theamendment was filed shall be deemed to bethe withdrawal of the amendment which ispending approval and the filing of a newamendment, thus starting a new ninety (90)-day period for commission action.

AUTHORITY: sections 386.250 and 386.410,RSMo 2000.* Original rule filed Dec. 7,2004, effective June 30, 2005.

*Original authority: 386.250, RSMo 1939, amended1963, 1967, 1977, 1980, 1987, 1988, 1991, 1993, 1995,1996 and 386.410, RSMo 1939, amended 1947, 1977,1996.

4 CSR 240-3.515 Filing Requirements forTelecommunications Company Applica-tions for Certificates of Service Authorityto Provide Shared Tenant Services

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate of service authority to provide shared


Secretary of State


tenant services must meet the requirementsset forth in this rule. As noted in the rule,additional requirements pertaining to suchapplications are set forth in 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofservice authority to provide shared tenant ser-vices (STS) shall be filed on the form provid-ed by the commission.

(A) STS applications shall include:1. A description of all telecommunica-

tions services to be offered at the certificatedlocation;

2. A description of any non-telecommu-nications services to be offered at the certifi-cated location;

3. A copy of the contract or contracts tobe used with tenants at the certificated loca-tion;

4. A copy of the contract or contracts tobe signed with the local exchange company(LEC);

5. A description of the type of STS tech-nology to be used at the certificated location;

6. A description of the form of intercon-nection to be used to provide toll services totenants at the certificated location;

7. A copy of the notice used to informtenants that local exchange access line servicemay not be immediately available if STS isterminated at the certificated location;

8. A statement of the rates to be chargedtenants at the certificated location; and

9. A statement of the total number oftenants and corresponding stations to beserved at the certificated location.




4 CSR 240-3.520 Filing Requirements forTelecommunications Company Applica-tions for Authority to Sell, Assign, Leaseor Transfer Assets

PURPOSE: Applications to the commissionfor the authority to sell, assign, lease ortransfer assets must meet the requirements setforth in this rule. As noted in the rule, addi-

tional requirements pertaining to such appli-cations are set forth in 4 CSR 240-2.060(1).

(1) Competitive telecommunications compa-nies are exempt from subsections (2)(C) and(E) of this rule.




(C) The verification of proper authority bythe person signing the application or a certi-fied copy of the resolution of the board ofdirectors of each applicant authorizing theproposed action;


(E) If the purchaser is subject to the juris-diction of the commission, a balance sheetand income statement with adjustments show-ing the results of the acquisitions of the prop-erty;

(F) A statement of the impact, if any, thesale, assignment, lease or transfer of assetswill have on the tax revenues of the politicalsubdivisions in which any structures, facili-ties or equipment of the companies involvedin that sale are located; and

(G) A copy of the customer notification tobe provided to any customers who willreceive service from a different telecommu-nications company, informing them of thetransaction. Such notice shall inform cus-tomers of:

1. The name of the company that will beproviding service after the sale, assignment,lease or transfer of assets is complete;

2. The name, address and contact infor-mation for the new telecommunications com-pany;

3. The right to transfer their service toanother provider as a result of the sale,assignment, lease or transfer of assets; and

4. Where to go to locate other carriersproviding service in the area.





4 CSR 240-3.525 Filing Requirements forTelecommunications Company Applica-tions for Authority to Merge or Consoli-date


(1) Competitive telecommunications compa-nies are exempt from subsections (2)(B) and(C) of this rule.






(E) An estimate of the impact of the merg-er on the company’s Missouri jurisdictionaloperations relative to the merger and acquisi-tion in question;

(F) A statement of the impact, if any, themerger or consolidation will have on the taxrevenues of the political subdivision in whichany structures, facilities or equipment of thecompanies involved are located; and

(G) A copy of the customer notification tobe provided to any customers who willreceive service from a different telecommu-nications company, informing them of thetransaction. Such notice shall inform cus-tomers of:

1. The name of the company that willbe providing service after the merger or con-solidation is complete;



2. The name, address and contact infor-mation for the new telecommunications com-pany;

3. The right to transfer their service toanother provider as a result of the merger orconsolidation; and

4. Where to go to locate other carriersproviding service in the area.





4 CSR 240-3.530 Filing Requirements forTelecommunications Company Applica-tions for Authority to Issue Stock, Bonds,Notes and Other Evidences of Indebted-ness


(1) Competitive telecommunications compa-nies are exempt from subsections (2)(D)through (G) of this rule.












(G) A five (5)-year capitalization expendi-ture schedule as required by section 392.310or 393.200, RSMo.




4 CSR 240-3.535 Filing Requirements forTelecommunications Company Applica-tions for Authority to Acquire the Stock ofa Public Utility









4 CSR 240-3.540 Annual Report Submis-sion Requirements for TelecommunicationsCompanies

PURPOSE: Section 392.210.1, RSMoincludes a requirement that telecommunica-tions companies subject to the commission’sjurisdiction must submit an annual report tothe commission. This rule establishes thestandards for the submission of annualreports by such telecommunications compa-nies, including the procedures for submittingnonpublic annual report information.

(1) Except for private pay telephoneproviders, which are exempted under the pro-visions of 4 CSR 240-3.505(1)(B), alltelecommunications companies shall submitan annual report to the commission on orbefore April 15 of each year, except as other-wise provided for in this rule.

(2) Telecommunications companies shall sub-mit their annual reports either on a form pro-vided by the commission or on a computer-generated replica that is acceptable to thecommission. Reports being submitted onpaper are to be prepared in loose-leaf formatand sent to the attention of the secretary ofthe commission. Computer-generated reportscan be submitted through the commission’selectronic filing and information system(EFIS). Attempts to substitute forms such asstockholder reports without concurrently sub-mitting official commission forms withappropriate cross-references will be consid-ered noncompliant. All requested informationshall be included in the annual report, whereapplicable, even if it has been provided in aprevious annual report.

(A) Annual reports submitted by providersof shared tenant services (STS) shall includea list of all premises at which STS servicesare provided, and a list of all STS-relatedcomplaints received from tenants, including a


Secretary of State


summary of the nature of each such com-plaint, and a list of case numbers for any for-mal complaints filed with the commission.

(3) A telecommunications company thatreceives a notice from the commission statingthat deficiencies exist in the information pro-vided in the annual report shall respond tothat notice within twenty (20) days after thedate of the notice, and shall provide the infor-mation requested in the notice in its response.

(4) If a telecommunications company subjectto this rule considers the information request-ed on the annual report form to be nonpublicinformation, it must submit both a fully com-pleted version to be kept under seal and aredacted public version that clearly informsthe reader that the redacted information hasbeen submitted as nonpublic information tobe kept under seal. Submittals made underthis section that do not include both versionswill be considered deficient. The staff onbehalf of the commission will issue a defi-ciency letter to the company and if both ver-sions of the annual report are not receivedwithin twenty (20) days of the notice, the sub-mittal will be considered noncompliant. Inaddition to the foregoing, submittals madeunder this section must meet the followingrequirements:





(5) If an entity asserts that any of the infor-mation contained in the nonpublic version ofthe annual report should be made available tothe public, then that entity must file a plead-ing with the commission requesting an orderto make the information available to the pub-lic, and shall serve a copy of the pleading on

the utility affected by the request. The plead-ing must explain how the public interest isbetter served by disclosure of the informationthan the reason provided by the utility justi-fying why the information should be keptunder seal. The utility affected by the requestmay file a response to a pleading filed underthese provisions within fifteen (15) days afterthe filing of such a pleading. Within five (5)business days after the due date for the filingof the utility’s response to a request filedunder these provisions, the general counselby filing of a pleading will make a recom-mendation to the commission advisingwhether the request should be granted.

(6) A telecommunications company that isunable to meet the submission date estab-lished in section (1) of this rule may obtain anextension of up to thirty (30) days for sub-mitting its annual report by:



(7) A telecommunications company that isunable to meet the submission date estab-lished in section (1) of this rule may requestan extension of greater than thirty (30) daysfor submitting its annual report by:




(9) A telecommunications company that doesnot timely file its annual report, or itsresponse to a notice that its annual report isdeficient, is subject to a penalty of one hun-

dred ($100) dollars for each day that it is latein filing its annual report or its response to anotice of deficiency.



4 CSR 240-3.545 Filing Requirements forTelecommunications Company Tariffs

PURPOSE: This rule prescribes the form andprocedures for filing tariffs for all telecom-munications companies under the jurisdictionof the Missouri Public Service Commission.

(1) Unless otherwise allowed by statute, atelecommunications company as defined insection 386.020, RSMo, shall file with theMissouri Public Service Commission (com-mission), a tariff as defined in section (8) ofthis rule.

(2) Every telecommunications company shallmaintain for public inspection, and makeavailable at its principal operating office oron its website, a copy of all current tariffs.

(3) A tariff will be considered as continuingin force until amended in the manner provid-ed for in this rule. Unless specifically indi-cated in another section of this rule, tariffpages or sheets in effect as of the effectivedate of this rule are considered in compliancewith the rule.

(4) A tariff shall bear a number with the fol-lowing prefix: PSC Mo. No. ___. Tariffsshall be numbered in consecutive order, com-mencing with a No. 1 and continuing innumerical order.

(5) A tariff should be electronic or printed onloose-leaf paper, which shall be white, eightand one-half inches by eleven inches (81/2"× 11"). The commission may acceptother formats for the filing of a tariff.

(6) Each sheet of the tariff shall show in themarginal space at the top of the sheet, thename of the telecommunications company,the PSC Mo. No.__ of the tariff and the num-ber of the sheet. All sheets of the tariff shallhave a sheet number in sequential numberformat. If tariffs include section numbers,each section will begin with the number oneand continue sequentially throughout the sec-tion.



(7) The name, title and address of the issuingofficer or company-designated representativeshall appear in the marginal space at the bot-tom of the sheet. The marginal space at thebottom of the sheet shall also include thenotation “Issued, _____ 20____; effective,_____ 20_____”.

(8) Tariffs for all telecommunications ser-vices shall contain the following informationand shall be updated as changes occur. Fornew tariffs filed after the effective date of thisrule, information contained in subsections(8)(A) through (F) will appear at the begin-ning of the company’s tariff.

(A) Company name as registered with theMissouri Secretary of State and as certificat-ed by the commission;

(B) If applicable, certification authoritygranted by the commission, including casenumber(s);

(C) Waivers of Missouri Statutes and com-mission rules as granted by the commissionin connection with certification to provideservice. Include case number(s) if other thancase number(s) listed in subsection (8)(B);

(D) The address, telephone number andwebsite or email address, along with anyother suitable means of communications, towhich the general public can make requestsfor information on rates and services;

(E) Table of Contents—Listing of generalheadings specifying sheet numbers and sec-tion numbers, if applicable;

(F) An explanation of reference marks,technical abbreviations and definitions ofterms commonly used in the tariff;

(G) For each service, tariffs shall providethe following:

1. The name of the service, which clear-ly identifies the regulated intrastate offering,as it will be advertised and offered to the cus-tomer. Any service name that references arate will accurately reflect the applicableintrastate rate(s) for the service;

2. A detailed description of the serviceoffered;

3. The specific rates and charges in U.S.dollars and the period of time covered by therate or charge; and

4. Any terms and customer require-ments that affect the rates or charges for theservice.

(H) For competitive and incumbent localexchange telecommunications carriers, a tar-iff shall contain an alphabetical list of theexchange area service by rate group if appli-cable, including state name if other than Mis-souri. Competitive local exchange carriershall be permitted to provide an alphabeticallist of the exchange area by incumbent localexchange carrier. Areas served with basic

local exchange service must follow exchangeboundaries of the incumbent local exchangetelecommunications company and also mustbe no smaller than an exchange absent a rul-ing by the commission under 392.200.2(b)RSMo, 2000.

(9) All new tariffs or all new pages added totariffs shall be designated as an original sheet(page). All changes to tariffs must be desig-nated substantially as follows: “First revisedsheet (page) canceling (cancels, replaces)original sheet,” “Second revised sheet (page)canceling (cancels, replaces) first revisedsheet (page),” etc. and must contain refer-ence marks denoting changes.

(10) A tariff shall be filed with the commis-sion by a duly-designated official or an autho-rized agent of the telecommunications com-pany.

(11) Subject to commission approval, atelecommunications company may concur inthe tariff filed by another telecommunicationscompany. The sheet indicating concurrenceshall contain language substantially as fol-lows: “The company concurs in the (rules,rates, etc.) governing (name of service) as setforth in (name of company)’s tariff as filedwith the Missouri Public Service Commis-sion, including any subsequent changes to(name of company)’s tariff.”

(12) Subject to Missouri Revised Statutes andcommission rules, all telecommunicationscompanies shall file with the commission anychanges in rates, charges or rules that affectrates or charges. A proposed change shall besubmitted in the form of a revised tariffaccompanied by a cover letter and a copy ofany customer notice sent or required to besent as a result of the proposed change. Thecover letter should be limited to approximate-ly one hundred (100) words or less. A copyof the cover letter and any proposed changeshall be filed with the commission or submit-ted electronically through the commission’selectronic filing and information system(EFIS), shall be served on the Office of thePublic Counsel. A copy of the proposedchange(s) shall be made available for publicinspection and reproduction at the company’sprincipal operating office or on its website.The cover letter shall identify each proposedchange, provide a brief summary of each pro-posed change, and provide the requestedeffective date of the revised tariff. The sum-mary shall identify each product, service, orcategory of services that will be affected bythe proposed change and shall identify thechange in the terms and conditions that thecompany proposes for that product, service,

or category of services including any changeor adjustment in the price or fee for thatproduct or service. Upon request by commis-sion staff or the Office of the Public Counsel,a telecommunications company shall providesupporting documentation for each change oradjust ment in prices or fees. A request forsupporting documentation shall be madewithin five (5) business days of the filing andresponses shall be provided within five (5)business days of receipt of the request forsupporting documentation. The documenta-tion shall identify:

(A) The current price or fee; (B) The proposed price or fee; (C) Whether the change or adjustment

results in an increase or decrease in price;and

(D) The percentage change in price.

(13) All telecommunications companies arerequired to provide a clear and concise state-ment as to the purpose of the filing when sub-mitting any tariff filing electronically throughEFIS. This statement may be in lieu of thecover letter required in 4 CSR 240-3.545(12)providing it contains all the informationrequired of cover letters as outlined in 4 CSR240-3.545(12). This statement shall beentered on the appropriate EFIS tariff sub-mission screen.

(14) All telecommunications companies arerequired to submit revisions to each PSC Mo.No. as a separate filing to be assigned a sep-arate tracking number in EFIS. Related tar-iff filings impacting multiple PSC Mo. No.tariffs shall be linked together, when techni-cally feasible.

(15) All telecommunications companies arerequired to submit to the commission withthe tariff filing, a copy of the notification ofrate increases that was sent or will be sent tocustomers pursuant to 4 CSR 240-33.040(4)and a positive affirmation in writing that thenotice was sent or will be sent to customersat least ten (10) days in advance of the rate’seffective date.

(16) Requirements for Tariff Filings Pursuantto Section 392.500, RSMo.

(A) The commission shall be notified atleast ten (10) days in advance of a proposedincrease in rates or charges or a proposedchange in any classification or tariff resultingin an increase in rates or charges for compet-itive telecommunications services.

1. A proposed increase in rates orcharges or a proposed change in any classifi-cation or tariff resulting in an increase inrates or charges pursuant to section 392.500


Secretary of State


is defined as a rate increase to existing ratesor charges for any competitive service.

2. No other tariff changes, except asdirected by commission order or as allowedunder section (19) below, are permitted onten (10) day’s notice.

3. Commission notice shall be in theform of a tariff filing with a proposed effec-tive date that is ten (10) days after the tariffhas been filed.

(B) The commission shall be notified atleast one (1) day in advance of a proposeddecrease in rates or charges or a proposedchange in any classification or tariff resultingin a decrease in rates or charges for compet-itive telecommunications services.

1. A proposed decrease in rates orcharges or a proposed change in any classifi-cation or tariff resulting in a decrease in ratesor charges pursuant to section 392.500 isdefined as:

A. A rate decrease to existing rates orcharges for any competitive service;

B. A proposal to establish or revise apackage of services involving a regulatedintrastate service provided all regulatedintrastate telecommunications services in thepackage are currently tariffed on an individu-al basis.

2. No other tariff changes, except asdirected by commission order, are permittedon one (1) day’s notice.

3. Commission notice shall be in theform of a tariff filing with a proposed effec-tive date that is one (1) day after the tariff hasbeen filed.

(C) A thirty (30)-day tariff filing isrequired to introduce or revise the terms andconditions of any competitive service avail-able on an individual basis. A thirty (30)-daytariff filing is required to eliminate any pack-age of services.

(17) When a telecommunications companyfiles a revised tariff or sheet(s) pursuant to acommission order the cover letter shall statethat the filing is in compliance with the com-mission’s order in Case No. ___ and shallindicate the location of the changes in thePSC Mo. No.___.

(18) Except as otherwise provided in thisrule, no tariff will be accepted for filingunless it is delivered to the commission freefrom all charges or claims for postage andallows the full thirty (30) days required bylaw from date of receipt until effective daterequested in the cover letter.

(19) Promotions are those service offeringsthat provide a reduction or waiver of a tar-iffed rate for a limited period of time. Pro-

motions are allowed to go into effect afterseven (7) days prior notice to the commissionfor competitive services and after ten (10)days prior notice to the commission for non-competitive services. Promotions must beoffered under tariff, and prior notification tothe commission via a tariff filing is required.Promotions must have established start andend dates and must be offered in a nondis-criminatory manner.

(20) In the case of a change of name, thetelecommunications company shall issueimmediately and file with the commission anadoption notice substantially as follows: “The(name of telecommunications company) here-by adopts, ratifies and makes its own, inevery respect as if the same had been origi-nally filed by it, all tariffs filed with the Pub-lic Service Commission, State of Missouri,by the (name of telecommunications compa-ny) prior to (date) or the telecommunicationscompany shall file a new tariff under the newname.” Specific requirements for filingsregarding company name changes are con-tained in Chapter 2 of the commission’s rulesin rule 4 CSR 240-2.060. In addition to fil-ing the items in 4 CSR 240-2.060, applicantmust notify its customers at or before the nextbilling cycle of any name change affectingcustomer recognition of the company and filea copy of that notice with the adoption notice.

(21) Tariffs sent for filing should be ad-dressed to Secretary, Public Service Commis-sion, 200 Madison Street, PO Box 360, Jef-ferson City, MO 65102.

(22) Within six (6) months of the effectivedate of the rule, all telecommunications com-panies shall update the commission’s elec-tronic filing system with the current name,address, telephone number and email addressfor the regulatory contact person within thetelecommunications company. This informa-tion shall be updated in the electronic filingsystem within ten (10) business days of whenchanges occur.

(23) Waivers regarding compliance with therequirements of this rule granted under previ-ously used rule numbers such as 4 CSR 240-30.010(2)(C) will continue in effect unlessotherwise ordered by the commission.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Rescinded and readopted:Filed Jan. 28, 2004, effective Sept. 30, 2004.Amended: Filed May 12, 2006, effective Dec.30, 2006.


4 CSR 240-3.550 TelecommunicationsCompany Records and Reports

PURPOSE: This rule prescribes the type,location and retention of records, and reportson telecommunications service.

(1) This rule does not apply to private sharedtenant service providers or private pay tele-phone service providers.

(2) Each telecommunications company shallmake and maintain records of its operationsin sufficient detail to permit review of thoseoperations. These records shall be retained inan easily accessible place for a period of atleast three (3) years. These records shall bemade available upon request to the commis-sion or its authorized representatives. Theserecords shall include all reports filed with thecommission, together with the informationnecessary to verify each report.

(3) All records required by this rule shall bemade available for review within the state atany time upon request. Reasonable time, notto exceed thirty (30) days, will be permittedto assemble and deliver records to the loca-tion where they are to be reviewed.

(4) For companies providing basic localtelecommunications service, the recordsspecified in section (2) above shall includethe following:

(A) Each company shall record each appli-cation for basic local telecommunicationsservice; and

(B) Each company shall keep a record, byexchange, of each held application for basiclocal telecommunications service that is notsatisfied within thirty (30) days. The recordwill list the name and address of each appli-cant for service, whether the applicant’s loca-tion is inside or outside the base rate area, thedate of application, the date service isrequested to begin, the date service waspromised to begin, the class of serviceapplied for and the reason for the delay inproviding the requested service.

(5) Companies shall file the following infor-mation with the commission:

(A) Each company providing basic localtelecommunications service shall file with thecommission no later than forty-five (45) daysfollowing the end of each quarter a report,referred to as the quarterly report, of thequality of the telephone service provided toits customers. The quarterly report shallinclude:



1. The aggregated service level for eachaspect of service quality for which there hasbeen established a service objective in 4 CSR240-32.080, together with such other infor-mation concerning service quality that thecompany deems applicable or the commis-sion specifically requests. If the reported ser-vice level falls within the commission’s iden-tified surveillance level on an exchange-specific basis or as otherwise monitoredaccording to 4 CSR 240-32.080, then thecompany shall list the service level and pro-vide an explanation of what corrective actionwill be taken to achieve and maintain thecommission’s service objective;

2. The number of applications held forboth basic local telecommunications service.Those numbers will be kept distinct from oneanother. The listing shall categorize the num-ber held for thirty (30), sixty (60), ninety(90) and one hundred twenty (120) days; and

3. The number of applications listedpursuant to subsection (4)(B) above, byexchange, and the number of such applica-tions that were satisfied during that quarter;

(B) Each company shall have its tariff onfile with the commission in accordance with4 CSR 240-3.545;

(C) Each company providing basic localtelecommunications service shall have on filewith the commission an exchange boundarymap for each of its exchanges within the state.Each map shall clearly show the boundarylines of the area in which the companyaccepts responsibility for providing such ser-vice. Exchange boundary lines shall be locat-ed by appropriate measurement to an identifi-able location where that portion of theboundary line is not otherwise located on sec-tion lines, waterways, railroads, roads, etc.Maps shall contain both detail and reasonableand readable scale. Competitive localexchange companies may submit a tariff sheetadopting the tariff map on file with the com-mission for a specific exchange served by theincumbent local exchange provider. Theexchange maps shall be available for publicinspection at each public business office forthe area served by the office. Each companyfiling an original or revised map shall submitproof of notice of the proposed boundary toany other company adjoining the area inwhich a boundary line is to be established orchanged;

(D) Each company shall advise the com-mission’s customer services department ofabnormal service conditions by submittingelectronically via the commission’s electron-ic filing and information system (EFIS), ortelephone or facsimile. Abnormal conditionsinclude any tandem outage, central office orexchange isolation, cable cut, or central

office problem that involves three hundred(300) or more customers and lasts thirty (30)minutes or more or any other service condi-tion the company wishes to bring to the atten-tion of the customer services department; and

(E) Each company shall make and file withthe commission a disaster recovery plan,which shall be reviewed by the company atleast annually and modified as necessary.Any modifications shall be submitted asamendments.

(6) Waivers regarding compliance with therequirements of this rule granted under previ-ously used rule numbers such as 4 CSR 240-32.030(4)(C) will continue in effect unlessotherwise ordered by the commission.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Amended: Filed Oct. 30,2003, effective June 30, 2004.


4 CSR 240-3.555 TelecommunicationsCompany Residential Customer Inquiries

PURPOSE: This rule establishes proceduresto be followed when residential customersmake inquiries of telecommunications compa-nies so that such inquiries are handled in areasonable manner.

(1) A telecommunications company shalladopt procedures which will ensure theprompt and thorough receipt, investigationand, where possible, resolution of inquiries.The telecommunications company, uponrequest, shall submit the procedures to thecommission and the telecommunicationscompany shall notify the commission of anysubstantive changes in these procedures priorto their implementation.

(2) A telecommunications company shall pre-pare a statement which in layman’s termsdescribes the rights and responsibilities ofboth the telecommunications company and itscustomers under this chapter. This statementshall appear in the front part of the telephonedirectory or the telecommunications compa-ny will mail or otherwise deliver such state-ment to its existing and new customers. Ifmultiple telecommunications companies arerepresented in a directory, and each has iden-tical statements of rights and responsibilities,the information need only appear once. Uponrequest the statement shall be submitted tothe commission, its staff, or Office of the

Public Counsel. The statement shall includedescriptions of:

(A) Billing procedures;(B) Customer payment requirements and

procedures;(C) Deposit and guarantee requirements;(D) Conditions of termination, discontinu-

ance and reconnection of service;(E) Procedures for handling inquiries;(F) A procedure whereby a customer may

avoid discontinuance of service during a peri-od of absence;

(G) Complaint procedures under 4 CSR240-2.070;

(H) The telephone number and address ofall offices of the Missouri Public ServiceCommission and the statement that this com-pany is regulated by the Missouri Public Ser-vice Commission;

(I) The address and telephone number ofthe Office of the Public Counsel and a state-ment of the function of that office; and

(J) Where provided, a prominent descrip-tion of Lifeline and Link-up services.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed Aug. 16, 2002, effectiveApril 30, 2003. Amended: Filed Jan. 28,2004, effective Sept. 30, 2004.


4 CSR 240-3.560 Telecommunications Pro-cedure for Ceasing Operations

PURPOSE: This rule describes the procedurefor certificated telecommunications compa-nies ceasing operations in the state of Mis-souri or discontinuing service to any geo-graphic service area of the state.

(1) All telecommunications companies ceas-ing operation in Missouri or discontinuingbasic local or interexchange telecommunica-tions service to any geographic service areawithin the state shall provide to the commis-sion at least thirty (30) days prior to cessationor discontinuance:

(A) A statement of reasons for ceasing ordiscontinuing service;

(B) Date of planned service cessation ordiscontinuance;

(C) Geographic areas affected by cessationor discontinuance of service;

(D) A brief description of the service(s) tobe ceased or discontinued;

(E) A statement as to whether the compa-ny’s tariff(s) and certificate shall remain ineffect or be cancelled;


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(F) A statement that all affected customershave been notified at least thirty (30) daysprior to the cessation or discontinuance; and

(G) A statement that all affected customershave been informed as to how they can selecta new service provider.

(2) If the information provided in section (1)above is submitted electronically, it will besubmitted as a non-case related submission inthe commission’s Electronic Filing Informa-tion System (EFIS).

(3) If the information provided in section (1)above is submitted in paper format, it will besubmitted to the manager of the Telecommu-nications Department.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed March 19, 2004, effectiveNov. 30, 2004.

*Original authority: 386.250, RSMo 1939, amended1967, 1977, 1980, 1988, 1991, 1993, 1995, 1996.

4 CSR 240-3.565 Procedure for Telecom-munications Companies that File Bank-ruptcy

PURPOSE: This rule describes the procedurefor certificated telecommunications compa-nies and their affiliates that file bankruptcy.

(1) Any telecommunications company certifi-cated in Missouri that files bankruptcy or hasan affiliate that files bankruptcy shall, withinten (10) working days of filing bankruptcy,provide to the commission:

(A) A notice that the company or an affil-iate has filed bankruptcy including:

1. The bankruptcy case number;2. The bankruptcy filing date;3. The bankruptcy chapter number; and,4.The bankruptcy court.

(B) If Missouri certificated telecommuni-cations companies have certificated or non-certificated affiliates that file bankruptcy,only one (1) of the Missouri certificatedtelecommunications companies need provideto the commission the items in subsections(1)(A)1.–4. The responsibility of providingthe information in subsections (1)(A)1.–4.will fall to the carrier first certificated in Mis-souri. The certificated company providingthese items shall also provide the name(s) ofits other Missouri certificated affiliate(s).

(2) If the bankruptcy court approves thetransfer of customers to another telecommu-nications company, a copy of the bankruptcyorder shall be provided to the commissionwith the application for service authority or

application for approval to transfer assets.An application for service authority or appli-cation for approval to transfer assets may befiled before, but shall be filed no more thanten (10) working days after the effective dateof, the bankruptcy court’s order approvingthe transfer of the customers.

(A) The application for service authorityor application for approval to transfer assetsshall contain a statement as to whether theexisting company’s tariff and certificate shallremain in effect or be cancelled.

(3) If the telecommunications company filingbankruptcy has telecommunications facilitiesthat are located at the premises of anothertelecommunications company, the companyfiling bankruptcy shall, within seventy-five(75) days after filing bankruptcy, provide tothe commission:

(A) A statement identifying the telecom-munications facilities and their locations;

(B) A statement identifying the entitieswith an interest in the telecommunicationsfacilities;

(C) A statement describing the dispositionof the telecommunications facilities and theentity conducting the disposition of the facil-ities; and

(D) A statement informing the commissionof the date when the telecommunicationsfacilities have been or will be disconnectedand removed from the premises of the othertelecommunications company and disposed ofproperly.

(4) If the information provided in sections(1)–(3) above is submitted electronically, itwill be submitted as a non-case related sub-mission in the commission’s Electronic FilingInformation System (EFIS).

(5) If the information provided in sections(1)–(3) above is submitted in paper format, itwill be submitted to the manager of theTelecommunications Department.

AUTHORITY: section 386.250, RSMo 2000.*Original rule filed March 19, 2004, effectiveNov. 30, 2004.

*Original authority: 386.250, RSMo 1939, amended1967, 1977, 1980, 1988, 1991, 1993, 1995, 1996.

4 CSR 240-3.570 Requirements for Carri-er Designation as Eligible Telecommunica-tions Carriers

PURPOSE: This rule establishes criteria forsubmission to the commission when a compa-ny seeks designation as an eligible telecom-munications carrier and to establish criteria

for carriers designated as eligible telecom-munications carriers.

(1) For purposes of this rule, the followingdefinitions apply.

(A) Alternative local exchange telecommu-nications company (ALEC) is as defined insection 386.020(1), RSMo.

(B) Commercial mobile radio service(CMRS) provider provides service as identi-fied in 47 CFR Parts 20 and 24.

(C) Eligible telecommunications carrier(ETC) is a carrier designated as such by theMissouri Public Service Commission pur-suant to 47 U.S.C. 214(e) in order to receiveuniversal service support. Eligible telecom-munications carrier (ETC) shall refer to alter-native local exchange carriers and commer-cial mobile radio service providers and shallnot include incumbent local exchange carriersunless otherwise specified.

(D) Incumbent local exchange telecommu-nications company is as defined in Section386.020(22), RSMo.

(E) Reasonable request for service refers toa request for service of a type and quantitythat is not in excess of service which is nor-mally requested by like customers and is forservice at a location within the carrier’s des-ignated service area.

(2) Applications for Designation as an ETC.(A) Each request for ETC designation shall

include: 1. Intended use of the high-cost support,

including detailed descriptions of any con-struction plans with start and end dates, pop-ulations affected by construction plans, exist-ing tower site locations for CMRS celltowers, and estimated budget amounts;

2. A two (2)-year plan demonstrating,with specificity, that high-cost universal ser-vice support shall only be used for the provi-sion, maintenance and upgrading of facilitiesand services for which the support is intend-ed in the Missouri service area in which ETCdesignation was granted.

A. For purposes of this section, “sup-port is intended” is defined consistent withthe Telecommunications Act which outlinesthe following principles:

(I) Quality and rates—quality ser-vices should be available at just, reasonable,and affordable rates;

(II) Access to advanced services—access to advanced telecommunications andinformation services should be provided in allregions of the state;

(III) Access in rural and high-costareas—consumers in all regions of Missouri,including those in rural, insular and high-costareas will have access to telecommunications




Secretary of State


and information services, including interex-change services and advanced telecommuni-cations and information services, that are rea-sonably comparable to those servicesprovided in urban areas and that are availableat rates that are reasonably comparable torates charged for similar services in urbanareas;

3. The two (2)-year plan shall include ademonstration that universal service supportshall be used to improve coverage, servicequality or capacity on a wire center-by-wirecenter basis throughout the Missouri servicearea for which the requesting carrier seeksETC designation including:

A. A detailed map of coverage areabefore and after improvements and in the caseof CMRS providers, a map identifying exist-ing tower site locations for CMRS cell tow-ers;

B. The specific geographic areaswhere improvements will be made;

C. The projected start date and com-pletion date for each improvement;

D. The estimated amount of invest-ment for each project that is funded by high-cost support;

E. The estimated population that willbe served as a result of the improvements;

F. If an applicant believes that serviceimprovements in a particular wire center arenot needed, it must explain its basis for thisdetermination and demonstrate how fundingwill otherwise be used to further the provi-sion of supported services in that area; and

G. A statement as to how the pro-posed plans would not otherwise occur absentthe receipt of high-cost support and that suchsupport will be used in addition to anyexpenses the ETC would normally incur;

4. A demonstration of the carrier’s abil-ity to remain functional in emergency situa-tions, including a demonstration that the car-rier has a reasonable amount of back-uppower to ensure functionality without anexternal power source, is able to reroute traf-fic around damaged facilities and is capableof managing traffic spikes resulting fromemergency situations;

5. A demonstration that the commis-sion’s grant of the applicant’s request forETC designation would be consistent with thepublic interest, convenience and necessity;

6. A commitment to advertise the avail-ability of services and charges therefore usingmedia of general distribution throughout theETC service area;

7. A commitment to provide Lifelineand Link Up discounts consistent with 47CFR 54.401 and 47 CFR 54.411. Eachrequest for ETC designation shall include acommitment to publicize the availability of

Lifeline service in a manner reasonablydesigned to reach those likely to qualify forthe service consistent with 47 CFR 54.405;

8. A statement that the carrier will sat-isfy consumer privacy protection standards asprovided in 47 CFR 64 Subpart U and servicequality standards as applicable;

9. A statement that the requesting carri-er acknowledges it shall provide equal accesspursuant to 4 CSR 240-32.100(3) and (4) ifall other ETCs in that service area relinquishtheir designations pursuant to section 214(e)of the Telecommunications Act of 1996; and

10. A commitment to offer a local usageplan comparable to those offered by theincumbent local exchange carrier in the areasfor which the carrier seeks designation. Suchcommitment shall include a commitment toprovide Lifeline and Link Up discounts andMissouri Universal Service Fund (MoUSF)discounts pursuant to 4 CSR 240-31, if appli-cable, at rates, terms and conditions compa-rable to the Lifeline and Link Up offeringsand MoUSF offerings of the incumbent localexchange carrier providing service in theETC service area.

(B) Each request for ETC designation by aCMRS provider shall include a commitmentto abide by the consumer code for wirelessservice recognized by the Cellular Telecom-munications and Internet Association (CTIA)at the time of the ETC designation request.As part of the initial application, a CMRSprovider shall include a copy of the consumercode for wireless service currently recog-nized by CTIA to which it commits to abide.Any CMRS provider designated as an ETCshall file with the commission, any change(s)to the consumer code for wireless serviceincluded with its application or any subse-quent code approved under this section of therule, within thirty (30) days of the change(s).The commission shall allow interested partiesthirty (30) days to provide comment as towhether the CMRS provider should berequired to commit to the proposed changes,or should continue to abide by the consumercode for wireless service currently approvedfor that provider.

(C) Each request for ETC designation shallinclude a plan outlining the method for han-dling unusual construction or installationcharges.

(3) Service Requirements of ETCs.(A) ETCs shall develop a bill design that

can be easily interpreted by their customersand clearly sets forth charges in compliancewith state and federal billing requirements.

(B) ETCs shall provide customer servicecontact information online and on billing

statements. This requirement also applies toETCs that use a third party billing agent.

(C) Service Provisioning Commitment.1. ETC shall make available to each end-

user subscribing to its supported serviceswithin its ETC designated service area thefollowing service features:

A. Dual tone multi-frequency signal-ing or its functional equivalent;

B. Single-party service or its func-tional equivalent:

C. Access to emergency services;D. Emergency telephone number ser-

vices capable of automatic number identifica-tion, automatic location identification andcall routing facilities to facilitate public safe-ty response; e.g., Enhanced 911 Service,where the local government agency servingthe end-user has implemented enhanced 911systems;

E. Access to interexchange service;F. Access to telecommunications relay

services by dialing 711;G. Access to Directory Assistance

service;H. Access to operator services; andI. Toll limitation and/or blocking for

qualifying low-income consumers.2. ETCs shall publicize the construction

of all new facilities that will enhance servicesin unserved or underserved areas so that con-sumers are aware of the improved service inthe area.

3. ETCs shall extend their networks toserve new customers upon a reasonablerequest. ETCs shall take the following steps,as applicable, to respond to all such reason-able requests for service within its ETC ser-vice area.

A. If a request comes from a cus-tomer residing within the ETC service areawhere the ETC already provides service, theETC shall immediately provide service usingits standard customer equipment.

B. If a request comes from a customerresiding within the ETC service area wherethe ETC does not already provide service, theETC shall take reasonable steps to provideacceptable service at no cost to the customer,including: modifying or replacing customerequipment; deploying a roof-mounted anten-na or other network equipment at the premis-es; making adjustments at the nearest cell siteor to other network or customer facilities;employing, leasing or constructing an addi-tional cell site, a cell-extender, repeater orother similar equipment; or offering resoldservice of other carriers that have facilitiesavailable to that premises.

C. Where special conditions or spe-cial requirements of the customer involveunusual construction or installation costs, the

customer may be required to pay a reasonableportion of such costs in accordance with theplan outlining the method for handling unusu-al construction or installation chargesapproved by the commission at the time ofdesignation as an ETC.

D. If there is no possibility of provid-ing service to the requesting customer, theETC shall notify the customer and includesuch information in its annual certificationdocumentation to the commission.

(D) Within thirty (30) days of receivingETC status, each CMRS carrier designated asan ETC shall make an informational filingwith the commission consisting of a completedescription of all of its service offerings.Such informational filings will be amended asservice offerings are introduced or modified.

(E) ETCs shall maintain a record of cus-tomer complaints that have been received bythe company in a manner that includes, at aminimum: the end-user name; the accountnumber; a description of the complaint; thedate the complaint was filed; the resolution;and the amount of refund or credit, if any.ETCs shall also maintain a record of com-plaints from consumers in the Missouri ser-vice area in which ETC designation wasgranted that have been submitted to or filedwith the Federal Communications Commis-sion for which the company has knowledge ina manner that includes, at a minimum: adescription of the complaint; the date thecomplaint was filed; the date the complaintwas resolved; the resolution of the complaintand the amount of refund or credit, if any.

(F) ETCs shall, within ten (10) days of achange in the company-designated contacts,either notify the manager of the Telecommu-nications Department, in writing or by elec-tronic mail, or shall update the commission’selectronic filing system (EFIS). The notifi-cation or update shall include the name(s),address(es) and/or telephone number(s) ofthe designated individual(s). The contactname(s) provided pursuant to this sectionshall be the individual(s) primarily responsi-ble for: customer service; repair and mainte-nance; answering complaints; authorizingand/or furnishing refunds to customers; andinformational or tariff filing issues.

(4) Annual Filing Requirements for ETCs.(A) All ETCs, including incumbent local

exchange telecommunications carriers thatreceive federal high-cost support, shall, byAugust 15 of each year, submit an affidavitexecuted by an officer of the company attest-ing that federal high-cost support is used con-sistent with the commission’s rules and theTelecommunications Act of 1996. The affi-davit will be accompanied by documentation

of support received and costs incurred. Thecommission or its staff may request addition-al information regarding the annual certifica-tion. Questions regarding the appropriatedocumentation for ETCs should be directedto the commission’s TelecommunicationsDepartment.

(B) ETCs seeking certification by October1 of each year shall, no later than June 15 ofeach year, set up a meeting with the Telecom-munications Department staff and the Officeof the Public Counsel to review and discussthe ETC’s proposal for the two (2)-yearimprovement plan. The meeting shall includea discussion of the proposed plan and anychanges to the plan that would improve cov-erage, service quality or capacity in unservedor underserved areas in the Missouri servicearea in which ETC designation was granted.

1. A two (2)-year improvement planshall include progress updates on any previ-ously submitted plan. The two (2)-yearimprovement plan shall include, with speci-ficity, proposed improvements or upgrades tothe carrier’s network on a wire center-by-wire center basis throughout its proposeddesignated service area and address all of theseparate components addressed in the initialplan, set forth in (2)(A)2. above.

2. Reports on unfilled service requestsand customer complaints for the previousyear and how the two (2)-year improvementplan may address such requests and com-plaints.

(C) ETCs shall submit a demonstration thatthe receipt of high-cost support was usedonly for the provision, maintenance andupgrading of facilities and services for whichthe support is intended in the Missouri ser-vice area in which ETC designation wasgranted.

1. For purposes of this section, “supportis intended” is defined consistent with theTelecommunications Act which outlines thefollowing principles:

A. Quality and rates—quality servicesshould be available at just, reasonable, andaffordable rates;

B. Access to advanced services—access to advanced telecommunications andinformation services should be provided in allregions of the state;

C. Access in rural and high-costareas—consumers in all regions of Missouri,including those in rural, insular and high-costareas will have access to telecommunicationsand information services, including interex-change services and advanced telecommuni-cations and information services, that are rea-sonably comparable to those servicesprovided in urban areas and that are availableat rates that are reasonably comparable to

rates charged for similar services in urbanareas.

(D) ETC shall submit a demonstration thathigh-cost support was used to improve cov-erage, service quality or capacity in the Mis-souri service area in which ETC designationwas granted and that such support was usedin addition to any expenses the ETC wouldnormally incur.

(E) ETCs shall submit an affidavit signedby an officer of the company certifying thatthe ETC continues to comply with theapproved consumer code for wireless servicerecognized by the Cellular Telecommunica-tions and Internet Association (CTIA) and/orapplicable service quality standards and con-sumer protection rules, certifying that theETC continues to be able to function in emer-gency situations, continues to offer a localusage plan comparable to that offered by theincumbent local exchange telecommunica-tions carrier in the relevant service areas (ifapplicable), and continues to acknowledgethat it shall provide equal access pursuant to4 CSR 240-32.100(3) and (4) if all otherETCs in that service area relinquish their des-ignations pursuant to section 214(e)(3) of theTelecommunications Act of 1996.

(F) ETCs shall submit a report of com-plaints from consumers in the Missouri ser-vice area in which ETC designation wasgranted that have been submitted to or filedwith the Federal Communications Commis-sion in the previous twelve (12) months forwhich the company has knowledge. Suchreport shall include, at a minimum: adescription of the complaint; the date thecomplaint was filed; the date the complaintwas resolved; the resolution of the complaintand the amount of refund or credit, if any. Ifthe commission finds the ETC’s resolution ofcomplaints is not satisfactory or if a particu-lar type of complaint is recurring withoutbeing satisfactorily addressed, then the com-mission may decline to certify the ETC dur-ing the annual certification process.

(G) An application for ETC designationshall be deemed to be acceptance of MissouriPublic Service Commission jurisdiction overany issues related to ETC designation and sta-tus and USF funding and acceptance of addi-tional rules made applicable to that ETC.

(H) All ETCs, including incumbent localexchange telecommunications carriers, innon-rural areas of Missouri shall, in conjunc-tion with the annual high-cost certificationprocess, assist the commission staff in com-paring residential rates in rural areas servedby non-rural incumbent local exchange carri-ers to urban rates nationwide.



(I) All reports required to be submitted tothe commission shall be attested to by an offi-cer or authorized agent of the ETC or incum-bent local exchange telecommunications car-rier.

(J) Except as otherwise provided in com-mission rules, ETCs shall keep all books andrecords associated with its ETC designationand/or the commission’s annual certificationprocess in accordance with good businesspractices, and at such place as they are nor-mally kept in the usual course of business.The ETC shall make its books and recordsassociated with its ETC designation and/orthe commission’s annual certification processavailable to the commission at reasonabletimes for examination and inspection at alocation designated by the commission.

(K) All records required by this rule shallbe preserved for at least two (2) years.

(L) ETCs, or carrier requesting ETC des-ignation, shall promptly furnish requestedinformation, including financial information,related to its designation as an ETC to thecommission, its staff or the Office of thePublic Counsel.

(5) Additional Requirements.(A) Each CMRS provider shall submit to

the commission a letter reflecting a change tothe name and/or change, deletion or additionof a trade name under which the ETC will bedoing business in the state of Missouri,attaching, as applicable, an amended Certifi-cate of Incorporation, Fictitious Name regis-tration or an amendment thereof. The CMRSprovider shall modify its current information-al filing, as required in subsection (3)(D) toreflect the new name and shall attest that norevisions are being made, except for the namechange.

(B) ETCs shall not self-certify to the Uni-versal Service Administrative Company forreceipt of federal universal service funds.

(C) ETCs, including incumbent localexchange telecommunications carriers, shallnot willfully make any false entry in any busi-ness record of any kind kept by it, nor shall itwillfully destroy, mutilate, alter or by anymethod falsify any such record, nor shall itwillfully neglect or fail to make full, true andcorrect entries in such records of all facts andtransactions appertaining to its business, norshall it falsify any statement to the commis-sion.

(D) Allegations of failure to comply withthis rule shall be filed with the commission inthe form of a formal complaint pursuant to 4CSR 240-2.070. Resolution of the complaintmay result in revocation of the ETC designa-tion.

(E) The commission shall not certify, byOctober 1 of each year, any ETC, includingincumbent local exchange telecommunica-tions carriers, that fails to comply with theserules.

(F) ETCs shall submit to the commissionstaff, by August 15, 2006, a statement ofcompliance with 4 CSR 240-3.570. All carri-ers with requests for ETC designation pend-ing as of the effective date of this rule shallsubmit, within thirty (30) days of the effec-tive date of the rule, any missing informationrequired by 4 CSR 240-3.570 or a statementthat all required information was previouslysubmitted as part of the request for ETC des-ignation.

AUTHORITY: sections 386.040, 386.250,392.451 and 392.470, RSMo 2000.* Originalrule filed Oct. 31, 2005, effective June 30,2006.

*Original authority: 386.040, RSMo 1939; 386.250,RSMo 1939, amended 1963, 1967, 1977, 1980, 1987,1988, 1991, 1993, 1995, 1996; 392.451, RSMo 1996; and392.470, RSMo 1987.

4 CSR 240-3.600 Filing Requirements forWater Utility Applications for Certificatesof Convenience and Necessity

PURPOSE: Applications to the commissionrequesting that the commission grant a cer-tificate of convenience and necessity mustmeet the requirements set forth in this rule.As noted in the rule, additional requirementspertaining to such applications are set forthin 4 CSR 240-2.060(1).

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for a certificate ofconvenience and necessity by a water compa-ny shall include the following information:





4. A plat drawn to a scale of one-halfinch (1/2") to the mile on maps comparableto county highway maps issued by the Mis-souri Department of Transportation or a plat

drawn to a scale of two thousand feet (2,000')to the inch; and


(B) When no evidence of approval of theaffected governmental bodies is necessary, astatement to that effect;

(C) When approval of the affected govern-mental bodies is required, evidence must beprovided as follows:



(D) The facts showing that the granting ofthe application is required by the public con-venience and necessity.




4 CSR 240-3.605 Filing Requirements forWater Utility Applications for Authority toSell, Assign, Lease or Transfer Assets






Secretary of State







(F) A statement of the impact, if any, thesale, assignment, lease or transfer of assetswill have on the tax revenues of the politicalsubdivisions in which any structures, facili-ties or equipment of the companies involvedin that sale are located.





4 CSR 240-3.610 Filing Requirements forWater Utility Applications for Authority toMerge or Consolidate





(C) The balance sheets and income state-ments of each applicant and a balance sheet

and income statement of the surviving corpo-ration;








4 CSR 240-3.615 Filing Requirements forWater Utility Applications for Authority toIssue Stock, Bonds, Notes and Other Evi-dences of Indebtedness







2. If these instruments have not beenexecuted at the time of filing, a statement ofthe general terms and conditions to be con-

tained in the instruments which are proposedto be executed; and










4 CSR 240-3.620 Filing Requirements forWater Utility Applications for Authority toAcquire the Stock of a Public Utility








Secretary of State




4 CSR 240-3.625 Filing Requirements forApplications for Approval of Water ServiceTerritorial Agreements

PURPOSE: This rule establishes require-ments that applications to the commission forapproval of territorial agreements betweenwater service providers must meet. As notedin the rule, additional requirements pertain-ing to such applications are set forth in 4CSR 240-2.060(1) and 4 CSR 240-3.630.

(1) In addition to the requirements of 4 CSR240-2.060(1), applications for commissionapproval of territorial agreements betweenwater service providers shall include:

(A) A copy of the territorial agreement anda specific designation of the boundary,including legal description;

(B) An illustrative tariff which reflects anychanges in a regulated utility’s operations orcertification;

(C) An explanation as to why the territori-al agreement is in the public interest;

(D) A list of all persons whose utility ser-vice would be changed by the agreement; and

(E) A check for the initial filing fee setforth in 4 CSR 240-3.630.

(2) If any of the items required by subsections(1)(A)–(D) of this rule are unavailable at thetime the application is filed, they shall be fur-nished prior to the granting of the authoritysought.


*Original authority: 247.172, RSMo 1939, amended1976, 1978, 1985, 1986, 1993, 1996, 1997, 1998 and386.250, RSMo 1939, amended 1963, 1967, 1977, 1980,1987, 1988, 1991, 1993, 1995, 1996.

4 CSR 240-3.630 Schedule of Fees Applica-ble to Applications for Approval of WaterService Territorial Agreements and Peti-tions for Designation of Water ServiceAreas

PURPOSE: This rule establishes a scheduleof fees for commission review of proposed ter-ritorial agreements and petitions for commis-sion designation of water service areasbetween water service providers.

(1) Commission review of an application fora proposed territorial agreement or a petitionfor commission designation of water serviceareas between water service providers shallbe accompanied by an initial filing fee in theamount of five hundred dollars ($500).

(2) In addition to the filing fee, the fee forcommission review of an application forapproval of a proposed territorial agreementbetween water service providers or a petitionfor commission designation of water serviceareas is set at six hundred eighty-five dollars($685) per hour of hearing time, subject to aminimum charge for hearing time of six hun-dred eighty-five dollars ($685). There is anadditional charge of three dollars and fiftycents ($3.50) per page of transcript. Thesefees are in addition to the fees authorized bysection 386.300, RSMo.

(3) The parties shall be responsible for pay-ment of any unpaid fees on and after theeffective date of the commission’s report andorder relating to the water service territorialagreement or designation of water servicearea. The executive director shall send anitemized billing statement to the applicants onor after the effective date of the commission’sreport and order. Responsibility for the pay-ment of the fees shall be that of the parties tothe proceeding as ordered by the commissionin each case.

(4) An application for commission review ofproposed amendment(s) to an existing territo-rial agreement between water serviceproviders shall not be subject to the fee offive hundred dollars ($500) specified in sec-tion (1) of this rule. However, the applicantsshall be responsible for the payment of a feewhich reflects necessary hearing time(including the minimum hearing time charge)and the transcript costs as specified in section(2) of this rule.

(5) On July 1 of each year, the filing fee andthe fee per hour of evidentiary hearing timewill be modified to match any percentagechange in the Consumer Price Index for thetwelve (12)-month period ending December31 of the preceding year.


*Original authority: 247.172, RSMo 1939, amended1976, 1978, 1985, 1986, 1993, 1996, 1997, 1998 and386.250, RSMo 1939, amended 1963, 1967, 1977, 1980,1987, 1988, 1991, 1993, 1995, 1996.

4 CSR 240-3.635 Water Utility Small Com-pany Rate Increase Procedure

PURPOSE: This rule provides procedures forsmall water utilities to obtain rate increases.

(1) Notwithstanding any other rule to thecontrary, small companies, as defined in thisrule, may seek a general increase in revenuesthrough a small company rate case by filing aletter requesting the change. The request shallnot be accompanied by any tariff sheets. Forthe purpose of this rule, small companiesqualifying to use the small company rate casedescribed in this rule shall include water util-ities having eight thousand (8,000) or fewercustomers. The small company rate case shallbe conducted as follows:

(A) The original letter requesting thechange shall be filed with the secretary of thecommission and one (1) copy shall be fur-nished to the public counsel. The letter shallstate the amount of the additional revenuerequested, the reason(s) for the proposedchange and a statement that all commissionannual assessments have been paid in full orare being paid under an installment plan. Theletter should also include a statement that thecompany’s current annual report is on filewith the commission. The company, in writ-ing, shall notify customers of the request foradditional revenue and the effect on the typi-cal residential customer’s bill. The noticeshall indicate that customers’ responses maybe sent to the appropriate commission depart-ment or the public counsel within thirty (30)days of the date shown on the notice. A draftcopy of the notice shall be sent to the appro-priate commission department for verifica-tion of the accuracy of the notice before beingsent to the company’s customers. A copy ofthe final notice shall then be sent to theappropriate commission department and thepublic counsel. The commission staff and thepublic counsel shall exchange copies of cus-tomer responses upon their receipt. Uponreceipt of the company’s request, the com-mission staff shall schedule an investigationof the company’s operations and an audit ofits financial records. When the investigationand audit are complete, the commission staffshall notify the company and public counselwhether the requested additional revenue isrecommended in whole or in part, of the ratedesign proposal for the increase, and of anyrecommended operational changes. If publiccounsel wishes to conduct an investigation

and audit of the company, it must do so with-in the same time period as staff’s investiga-tion and audit;

(B) The commission staff, within twenty-one (21) days from the completion of itsinvestigation, shall arrange a conference withthe company and shall notify the public coun-sel of the conference prior to the conference,in order to provide the public counsel anopportunity to participate;


(D) If the conference results in an agree-ment between the commission staff and thecompany only, the company at this time shallfile the necessary tariff sheet(s) with the com-mission in accordance with the agreement.The tariff sheet(s) shall contain an effectivedate of not fewer than forty-five (45) daysfrom the issue date. The company shall noti-fy customers in writing of the proposed ratesresulting from the agreement. The noticeshall indicate that customers’ responses maybe sent to the appropriate commission depart-ment or the public counsel within twenty (20)days of the date shown on the notice. A copyof the notice shall be sent to the secretary ofthe commission and the public counsel. Thecommission staff and the public counsel shallexchange copies of the customer responsesupon their receipt. The public counsel shallfile a pleading indicating its agreement or dis-agreement with the tariff sheet(s) withintwenty-five (25) days of the date the tariffsheet(s) is filed, unless a public hearing isrequested;


(F) An agreement must be reached and tar-iff sheet(s) filed based upon the agreementwithin one hundred fifty (150) days from thedate the letter initiating the case is filed. This

time period may be extended with the consentof the company. Written consent for an exten-sion shall be filed with the company’s tariff;and




4 CSR 240-3.640 Annual Report Submis-sion Requirements for Water Utilities

PURPOSE: Section 393.140(6), RSMo,includes an obligation for the commission torequire every person and corporation underits supervision to submit an annual report tothe commission. This rule establishes thestandards for the submission of annualreports by water utilities that are subject tothe jurisdiction of the commission, includingthe procedures for submitting nonpublicannual report information.

(1) All water utilities shall submit an annualreport to the commission on or before April15 of each year, except as otherwise providedfor in this rule.

(2) Water utilities shall submit their annualreports either on a form provided by the com-mission or on a computer-generated replicathat is acceptable to the commission. Reportsbeing submitted on paper are to be preparedin loose-leaf format and sent to the attentionof the secretary of the commission. Comput-er-generated reports can be submittedthrough the commission’s electronic filingand information system (EFIS). Attempts tosubstitute forms such as stockholder reportswithout concurrently submitting official com-mission forms with appropriate cross-refer-ence will be considered noncompliant. Allrequested information shall be included in theannual report, where applicable, even if it hasbeen provided in a previous annual report.

(3) A water utility that receives a notice fromthe commission stating that deficiencies existin the information provided in the annualreport shall respond to that notice withintwenty (20) days after the date of the notice,and shall provide the information requested inthe notice in its response.

(4) If a water utility subject to this rule con-siders the information requested on the annu-al report form to be nonpublic information, itmust submit both a fully completed version tobe kept under seal and a redacted public ver-sion that clearly informs the reader that theredacted information has been submitted asnonpublic information to be kept under seal.Submittals made under this section that donot include both versions will be considereddeficient. The staff on behalf of the com-mission will issue a deficiency letter to thecompany and if both versions of the annualreport are not received within twenty (20)days of the notice, the submittal will be con-sidered noncompliant. In addition to theforegoing, submittals made under this sectionmust meet the following requirements:





(5) If an entity asserts that any of the infor-mation contained in the nonpublic version ofthe annual report should be made available tothe public, then that entity must file a plead-ing with the commission requesting an orderto make the information available to the pub-lic, and shall serve a copy of the pleading onthe utility affected by the request. The plead-ing must explain how the public interest isbetter served by disclosure of the informationthan the reason provided by the utility justi-fying why the information should be keptunder seal. The utility affected by the requestmay file a response to a pleading filed underthese provisions within fifteen (15) days afterthe filing of such a pleading. Within five (5)business days after the due date for the filingof the utility’s response to a request filedunder these provisions, the general counsel




Secretary of State


by filing of a pleading will make a recom-mendation to the commission advisingwhether the request should be granted.

(6) A water utility that is unable to meet thesubmission date established in section (1) ofthis rule may obtain an extension of up tothirty (30) days for submitting its annualreport by:



(7) A water utility that is unable to meet thesubmission date established in section (1) ofthis rule may request an extension of greaterthan thirty (30) days for submitting its annu-al report by:




(9) A water utility that does not timely file itsannual report, or its response to a notice thatits annual report is deficient, is subject to apenalty of one hundred dollars ($100) and anadditional penalty of one hundred dollars($100) for each day that it is late in filing itsannual report or its response to a notice ofdeficiency.



4 CSR 240-3.645 Filing Requirements forWater Utility Rate Schedules

PURPOSE: This rule prescribes the form andprocedures for filing and publishing sched-ules of rates of all water utilities under thejurisdiction of the Public Service Commis-sion.

(1) Every water corporation engaged in thefurnishing or distribution of water for domes-tic or other beneficial use in the state of Mis-souri is directed not later than October 15,1913, to have on file with this commissionand keep open for public inspection, sched-ules showing all rates and charges in connec-tion with the service or whatever nature madeby these water corporations for each andevery kind of service which it renders as werein force on April 15, 1913, together withproper supplements covering all changes inthe rate schedules authorized by this commis-sion, if any, since April 15, 1913.

(2) All the rate schedules now on file with thecommission not in accordance with theserules shall be issued in the form and mannerprescribed by this rule and all rate schedulesissued after April 15, 1913, must conform tothis rule.

(3) Rate schedules shall be drawn up substan-tially in accordance with Form No. 13 andshall be plainly printed or typewritten ongood quality of paper of size eight and one-half inches by eleven inches (8 1/2" × 11")in book, sheet or pamphlet form. A loose-leaf plan may be used so changes can bemade by reprinting and inserting a singleleaf. When the loose-leaf plan is used, allsheets, except the title page sheet, must showin the marginal space at top of page the nameof the water corporation issuing, the PSCnumber of the schedule and the number of thepage. In the marginal space at bottom of thesheet, should be shown: the date of issue, theeffective date and the name, title and addressof the officer by whom the schedule is issued.All schedules shall bear a number with theprefix PSC Mo. _____. Schedules shall benumbered in consecutive serial order begin-ning with number 1 for each water corpora-tion. If a schedule or part thereof is canceled,a new schedule or part thereof (sheet orsheets if loose-leaf) will refer to the schedulecanceled by its PSC number; thus, PSC Mo.No. _____ canceling PSC Mo. No. _____.


(5) All proposed changes in rates, charges orrentals or in rules that affect rates, charges orrentals, filed with the commission shall beaccompanied by a brief summary, approxi-mately one hundred (100) words or less, ofthe effect of the change on the company’scustomers. A copy of any proposed changeand summary shall also be served on the pub-lic counsel and be available for public inspec-tion and reproduction during regular officehours at the general business office of theutility.

(6) Thirty (30) days’ notice to the commis-sion is required as to every publication relat-ing to water rates or service except wherepublications are made effective on less thanstatutory notice by permission, regulation orrequirement of the commission.

(7) Except as is otherwise provided, noschedule or supplement will be accepted forfiling unless it is delivered to the commissionfree from all charges or claims for postage,the full thirty (30) days required by lawbefore the date upon which such schedule orsupplement is stated to be effective. No con-sideration will be given to or for the time dur-ing which a schedule or supplement may beheld by the post office authorities because ofinsufficient postage. When a schedule or asupplement is issued and as to which thecommission is not given the statutory notice,it is as if it had not been issued and a fullstatutory notice must be given of any reis-suance. No consideration will be given totelegraphic notices in computing the requiredthirty (30) days’ notice. In such cases theschedule will be returned to the sender andcorrection of the neglect or omission cannotbe made which takes into account any timeelapsing between the date upon which suchschedule or supplement was received and thedate of the attempted correction. For rateschedules and supplements issued on shortnotice under special permission of the com-mission, literal compliance with the require-ments or notice named in any order, regula-tion or permission granted by the commissionwill be exacted.



4 CSR 240-3.650 Water Utility Petitions forInfrastructure System Replacement Sur-charges

PURPOSE: This rule sets forth the defini-tions, parameters and procedures relevant tothe filing and processing of petitions pertain-ing to an infrastructure system replacementsurcharge (ISRS), including the informationthat an eligible water utility must providewhen it files a petition and associated rateschedules to establish, change or reconcilean ISRS.

(1) As used in this rule, the following termsmean:

(A) Appropriate pretax revenues—the rev-enues necessary to:

1. Produce net operating income equalto the eligible water utility’s weighted cost ofcapital multiplied by the net original cost ofeligible infrastructure system replacements(original cost of eligible infrastructure systemreplacements, net of accumulated deferredincome taxes and accumulated depreciationassociated with the replacements), includingrecognition of accumulated deferred incometaxes and accumulated depreciation associat-ed with eligible infrastructure system replace-ments that are included in a currently effec-tive ISRS;

2. Recover state, federal, and localincome or excise taxes applicable to suchincome; and

3. Recover all other ISRS costs;(B) Eligible infrastructure system replace-

ments—water utility plant projects that:1. Replace or extend the useful life of

existing infrastructure;2. Are in service and used and useful;3. Do not increase revenues by directly

connecting the infrastructure replacement tonew customers;

4. Were not included in the eligiblewater utility’s rate base in its most recentgeneral rate case; and

5. Were made in a county with a charterform of government and with more than one(1) million inhabitants;

(C) Eligible water utility—a water corpora-tion as defined in section 386.020(58),RSMo, that provides service to more than tenthousand (10,000) customers in a county witha charter form of government and with morethan one (1) million inhabitants;

(D) ISRS—infrastructure system replace-ment surcharge;

(E) ISRS costs—annual depreciationexpenses, and property taxes that will be duewithin twelve (12) months of the ISRS filing,on the total cost of eligible infrastructure sys-tem replacements, reduced by annual depre-

ciation expenses and property taxes on anyrelated facility retirements;

(F) ISRS revenues—revenues producedthrough an ISRS, exclusive of revenues fromall other rates and charges;

(G) Water utility plant projects—projectsthat consist only of the following:

1. Mains, and associated valves andhydrants, installed as replacements for exist-ing facilities that have worn out or are in dete-riorated condition;

2. Main cleaning and relining projects;and

3. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of the United States, thisstate, a political subdivision of this state oranother entity having the power of eminentdomain; provided that the costs related tosuch projects have not been reimbursed to theeligible water utility.

(2) Pursuant to the provisions of this rule andsections 393.1000 to 393.1006, RSMo, aneligible water utility may file a petition withthe commission to establish or change ISRSrate schedules that will allow for the adjust-ment of its rates and charges to provide forthe recovery of costs for eligible infrastruc-ture system replacements; provided that anISRS, on an annualized basis, must produceISRS revenues of at least one (1) million dol-lars but not in excess of ten percent (10%) ofthe subject utility’s base revenue levelapproved by the commission in the utility’smost recent general rate proceeding.

(3) An ISRS, and any future changes thereto,shall be calculated and implemented in accor-dance with the provisions of this rule and sec-tions 393.1000 to 393.1006, RSMo.

(4) ISRS revenues shall be subject to refundbased upon a finding and order of the com-mission, to the extent provided in subsections5 and 8 of section 393.1006, RSMo.

(5) The commission shall not approve anISRS for an eligible water utility that has nothad a general rate proceeding decided or dis-missed by issuance of a commission orderwithin the past three (3) years, unless thatutility has filed for or is the subject of a newgeneral rate proceeding.

(6) In no event shall an eligible water utilitycollect an ISRS for a period exceeding three(3) years unless it has filed for or is the sub-ject of a new general rate proceeding; provid-ed that the ISRS may be collected until theeffective date of new rate schedules estab-lished as a result of the new general rate pro-

ceeding, or until the subject general rate pro-ceeding is otherwise decided or dismissed byissuance of a commission order without newrates being established.

(7) Upon the filing of a petition seeking toestablish or change an ISRS, the commissionwill publish notice of the filing.

(8) The eligible water utility shall provide thefollowing notices to its customers, with suchnotices to be approved by the commission inaccordance with section (9) of this rule beforethey are sent to the customers:

(A) An initial, one (1)-time notice to allpotentially affected customers, with suchnotice to be sent to customers no later thanwhen customers will receive their first billthat includes an ISRS, explaining the subjectutility’s infrastructure system replacementprogram, explaining how its ISRS will beapplied to its various customer classes andidentifying the statutory authority underwhich it is implementing its ISRS;

(B) An annual notice to affected customerseach year that an ISRS is in effect explainingthe continuation of its infrastructure systemreplacement program and the resulting ISRS;and

(C) A surcharge description on all affectedcustomer bills, which informs the customersof the existence and amount of the ISRS onthe bills.

(9) Within twenty (20) days of the eligiblewater utility’s filing of a petition to establishan ISRS, the subject utility shall submit thefollowing items to the commission forapproval or rejection, and the office of thepublic counsel may, within ten (10) days ofthe water utility’s filing, submit commentsregarding these items to the commission:

(A) An example of the notice required bysubsection (8)(A) of this rule;

(B) An example of the notice required bysubsection (8)(B) of this rule; and

(C) An example customer bill showing howthe ISRS will be described on affected cus-tomers’ bills in accordance with subsection(8)(C) of this rule.

(10) When an eligible water utility files apetition pursuant to the provisions of this ruleand sections 393.1000 to 393.1006, RSMo,the commission shall conduct an examinationof the proposed ISRS.

(11) The staff of the commission may exam-ine the information the eligible water utilityprovides pursuant to the provisions of thisrule and sections 393.1000 to 393.1006,



RSMo, to confirm the underlying costs relat-ed to and the proper calculation of the pro-posed ISRS, and may submit a report regard-ing its examination to the commission notlater than sixty (60) days after the eligiblewater utility files its petition. The staff shallnot examine any other revenue requirementor ratemaking issues in its consideration ofthe petition or associated proposed rateschedules.

(12) The commission may hold a hearing onthe petition and the associated proposed rateschedules, and shall issue an order to becomeeffective not later than one hundred twenty(120) days after the eligible water utility filesthe petition.

(13) If the commission finds that a petitioncomplies with the requirements of sections393.1000 to 393.1006, RSMo, the commis-sion shall enter an order authorizing the eli-gible water utility to impose an ISRS that issufficient to recover appropriate pretax rev-enues, as determined by the commission.

(14) Commission approval of a petition, andany associated rate schedules, to establish orchange an ISRS pursuant to sections393.1000 to 393.1006, RSMo, shall in noway be binding upon the commission indetermining the ratemaking treatment to beapplied to eligible infrastructure systemreplacements during a subsequent generalrate proceeding when the commission mayundertake to review the prudence of suchcosts. In the event the commission disallowsrecovery of costs associated with eligibleinfrastructure system replacements previouslycollected through an ISRS, as a part of itsorder in a subsequent general rate proceed-ing, the water utility shall offset its ISRS inthe future as needed to recognize and accountfor any such disallowances. Nothing in thisrule or section 393.1006, RSMo, shall beconstrued as limiting the authority of thecommission to review and consider infras-tructure system replacement costs along withother costs during any general rate proceed-ing of an eligible water utility.

(15) An eligible water utility may effectuate achange in an ISRS no more often than two (2)times during every twelve (12)-month period,with the first such period beginning on theeffective date of the rate schedules that estab-lish an initial ISRS. For the purposes of thissection, an initial ISRS is the first ISRSgranted to the subject utility or an ISRSestablished after an ISRS is reset to zero pur-suant to the provisions of section (17) of thisrule.

(16) At the end of each twelve (12)-monthperiod that an ISRS is in effect, the eligiblewater utility shall reconcile the differencesbetween the revenues resulting from the ISRSand the appropriate pretax revenues as foundby the commission for that period, and shallsubmit the reconciliation and proposed ISRSrate schedule revisions to the commission forapproval to recover or refund the difference,as appropriate.

(17) An eligible water utility that has imple-mented an ISRS shall file revised ISRS rateschedules to reset the ISRS to zero when newbase rates and charges become effective fol-lowing a commission order establishing cus-tomer rates in a general rate proceeding thatincorporates eligible costs previously reflect-ed in an ISRS into the subject utility’s baserates. If an over or under recovery of ISRSrevenues, including any commission orderedrefunds, exists after the ISRS has been resetto zero, the amount of over or under recoveryshall be tracked in an account and consideredin the water utility’s next ISRS filing that itsubmits pursuant to the provisions of section(2) of this rule.

(18) Upon the inclusion of eligible costs pre-viously reflected in an ISRS in an eligiblewater utility’s base rates, the subject utilityshall immediately thereafter reconcile anypreviously unreconciled ISRS revenues asnecessary to ensure that revenues resultingfrom the ISRS match, as closely as possible,the appropriate pretax revenues as found bythe commission for that period, and shalltrack such revenues pursuant to the provi-sions of section (17) of this rule.

(19) At the time that an eligible water utilityfiles a petition with the commission seekingto establish, change or reconcile an ISRS, itshall submit proposed ISRS rate schedulesand its supporting documentation regardingthe calculation of the proposed ISRS with thepetition, and shall serve the office of the pub-lic counsel with a copy of its petition, its pro-posed rate schedules and its supporting docu-mentation. The subject utility’s supportingdocumentation shall include workpapersshowing the calculation of the proposedISRS, and shall include, at a minimum, thefollowing information:

(A) The state, federal, and local income orexcise tax rates used in calculating the pro-posed ISRS, and an explanation of the sourceof and the basis for using those tax rates;

(B) The regulatory capital structure used incalculating the proposed ISRS, and an expla-nation of the source of and the basis for usingthat capital structure;

(C) The cost rates for debt and preferredstock used in calculating the proposed ISRS,and an explanation of the source of and thebasis for using those cost rates;

(D) The cost of common equity used incalculating the proposed ISRS, and an expla-nation of the source of and the basis for usingthat equity cost;

(E) The property tax rates used in calcu-lating the proposed ISRS, and an explanationof the source of and the basis for using thosetax rates;

(F) The depreciation rates used in calculat-ing the proposed ISRS, and an explanation ofthe source of and the basis for using thosedepreciation rates;

(G) The costs that are eligible for recoveryduring the period in which the ISRS will bein effect, including the net original cost of theinfrastructure system replacements and theamount of ISRS costs related to the eligiblereplacements; and a breakdown of the eligiblereplacements identified by work order or costcenter for each of the following project cate-gories:

1. Mains, and associated valves andhydrants, installed as replacements for exist-ing facilities that have worn out or are in dete-riorated condition;

2. Main cleaning and relining projects;3. Facilities relocations required due to

construction or improvement of a highway,road, street, public way, or other public workby or on behalf of the United States;

4. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of this state;

5. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of a political subdivision ofthis state; and

6. Facilities relocations required due toconstruction or improvement of a highway,road, street, public way, or other public workby or on behalf of an entity other than theUnited States, this state or a political subdi-vision of this state, having the power of emi-nent domain;

(H) The applicable customer class billingdeterminants used in calculating the proposedISRS, and an explanation of the source of andthe basis for using those billing determinants;

(I) An explanation of how the customers towhom the proposed ISRS will apply are ben-efiting from the water utility plant projectsthat will be recovered through the ISRS;

(J) An explanation of how the proposedISRS is being prorated between affected cus-tomer classes, if applicable;


Secretary of State




(K) An explanation of how the proposedISRS is being applied in a manner consistentwith the customer class cost-of-service studyrecognized by the commission in the subjectutility’s most recent general rate proceeding,if applicable;

(L) An explanation of how the proposedISRS is being applied consistent with the ratedesign methodology utilized to develop thesubject utility’s rates resulting from its mostrecent general rate proceeding;

(M) An explanation of how the infrastruc-ture replacement projects associated with theISRS do not increase revenues by directlyconnecting the infrastructure replacement tonew customers; and

(N) An explanation of when the infrastruc-ture replacement projects associated with theISRS were completed and became used anduseful.

(20) In addition to the information requiredby section (19) of this rule, the eligible waterutility shall also submit the following infor-mation, either when it submits the informa-tion required by section (19) of this rule orwhen it files its next general rate case:

(A) An explanation of the efforts to quan-tify and seek reimbursement for any costsassociated with facility relocations requireddue to construction or improvement of a high-way, road, street, public way, or other publicwork by or on behalf of the United States,this state, a political subdivision of this stateor another entity having the power of eminentdomain, which could offset the requestedISRS revenues;

(B) If any of the projects associated withthe ISRS were funded through financingarrangements directed specifically to the pro-jects, an explanation of how the projects werefunded, including the amount of debt and theinterest rate on that debt;

(C) An explanation of how long any facili-ties that were replaced by eligible infrastruc-ture system replacements had been in servicewhen they were replaced or abandoned; and

(D) An explanation of the request for pro-posal (RFP) process used, or the reasons thata RFP process was not used, to select theentity that performed the infrastructurereplacement projects associated with theISRS.

(21) In addition to the information requiredby section (19) of this rule, the eligible waterutility shall also provide the following infor-mation when it files a petition with the com-mission seeking to establish, change or rec-oncile an ISRS:

(A) A description of all information postedon the subject utility’s website regarding theinfrastructure system replacement surcharge

and related infrastructure system replacementprojects; and

(B) A description of all instructions pro-vided to personnel at the subject utility’s callcenter regarding how those personnel shouldrespond to calls pertaining to the ISRS.

AUTHORITY: sections 386.250 and 393.140,RSMo 2000 and 393.1006.10, RSMo Supp.2003.* Original rule filed Sept. 19, 2003,effective May 30, 2004.


rules of department of economic development · 2017-11-20 · robin carnahan (11/30/06) code of...

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