Presentation describing the basics of Minnesota\'s Cold Weather Rule

1. Winter Warm Up!
MSSA
March 26, 2008
Public Utilities Commission
Tracy Smetana
Department of Commerce
Jeff Mitchell
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2. Public Utilities Commission
• Regulates local and in-state long
distance companies; investor-
owned electric and natural gas
utilities; permitting for power
plants, pipelines, transmission
lines.
• Commissioners appointed by
Governor, serve staggered terms
• 40 staff
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3. Cold Weather Rule
• The purpose of the Cold Weather
Rule is to protect residential heat-
affected customers, who are
unable to pay their utility bills,
from disconnection of service
during the winter months.
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4. Cold Weather Rule
History of the Cold Weather Rule
• 1974 Public Utilities Act requiring Customer Service Standards Rule
• 1976 Temperature-based Cold Weather Rule implemented
• 1978 Public Utility Regulatory Act requiring service termination standards
• 1979 Date-based Cold Weather Rule implemented
• 1989 Legislation expanding Cold Weather Rule
• 1990 Expanded Cold Weather Rule implemented
• 2001 Cold Weather Rule modified–closer link with Energy Assistance Program
• 2003 Cold Weather Rule modified–service limiters, “hot weather rule”
• 2007 Cold Weather Rule for municipal and cooperative utilities modified to
include reconnection of service
• 2008 Cold Weather Rule for regulated utilities modified
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5. Cold Weather Rule
Prior to CWR Season:
• Bill inserts
• Many utilities also work to
reconnect as many as possible.
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6. Cold Weather Rule
Pre-season bill inserts
• Minnesota Statutes 216B.096, Subd. 2(h)
• (1) an explanation of the Cold Weather Rule;
(2) an explanation of no-cost and low-cost methods to
reduce the consumption of energy;
(3) a third-party notice;
(4) ways to avoid disconnection;
(5) information regarding payment agreements;
(6) an explanation of the customer's right to appeal;
(7) a list of names and telephone numbers for county
and local energy assistance and weatherization
providers in each county served by the utility.
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7. Cold Weather Rule
CWR PAYMENT PLAN
• Reconnect service OR prevent
disconnection.
• Available to all residential customers,
regardless of income.
• Payment installments need not be equal; may
be based on factors such as lump sum
payments or additional income expected
during payment period.
• If income at or below 50% of state median,
payments no more than 10% of household
income. 7

8. Cold Weather Rule
• Disconnect notice
• Ten working days prior to
disconnection date
• CWR “packet” must be included
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9. Cold Weather Rule
• No deposit or late fees if household
income at or below 50% of state
median income -- 216B.096, Subd 7(b)
• No disconnection during any appeal
process -- 216B.096, Subd 7(c)(1)
• Timely payment = within 7 calendar
days – 216B.096, Subd 2(f)
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10. Cold Weather Rule
• Keys to protection
– Contact utility company
– Payment plan based on customer’s
financial situation
– Make and keep a payment plan
– PUC available to answer questions,
assist customers
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11. Life Support Households
Minnesota Statutes 216B.098, Subd. 5 (emphasis added)
• Medically necessary equipment. A utility shall
reconnect or continue service to a customer’s
residence where a medical emergency exists or where
medical equipment requiring electricity necessary to
sustain life is in use, provided that the utility receives
from a medical doctor written certification, or initial
certification by telephone and written certification
within five business days, that failure to reconnect or
continue service will impair or threaten the health or
safety of a resident of the customer’s household. The
customer must enter into a payment agreement.
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12. Hot Weather Rule
Minnesota Statutes 216B.0975
• A utility may not effect an
involuntary disconnection of
residential services in affected
counties when an excessive heat
watch, heat advisory, or
excessive heat warning issued by
the National Weather Service is in
effect.
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13. Cold Weather Rule
Minnesota Statutes
• 216B.096 Cold Weather Rule; Public Utility.
Regulated Utilities
• 216B.097 Cold weather rule, cooperative or
municipal utility.
• 216B.0975 Disconnection during extreme
heat conditions.
• 216B.098 Residential customer protections.
• www.revisor.leg.state.mn.us 13

14. Telephone Discounts
• Available to customers of
“traditional” telephone service (not
cellular, not VOIP)
• Participate in qualifying program
OR household income at or below
135% of federal poverty
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15. Telephone Discounts
• Qualifying programs
– Medicaid/Medical Assistance
– Food Support
– MFIP
– SSI
– Federal Housing Assistance (Section 8)
– Temporary Assistance to Needy Families (TANF)
– Low Income Home Energy Assistance (LIHEAP)
– National School Free Lunch Program
– Bureau of Indian Affairs General Assistance if living on a
reservation
– Tribally Administered Temporary Assistance for Needy Families
(TANF) if living on a reservation
– Tribal National School Free Lunch Program if living on a
reservation
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16. Telephone Discounts
• Link Up
– One time credit when hooking up new
service
• Telephone Assistance Plan
• Lifeline
– Minimum discount = $1.75/month, up to
$10/month
• Application + proof of income to local
telephone company
• www.lifeline.org
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17. Winter Warm Up!
Tracy Smetana
Consumer Mediator
Minnesota Public Utilities Commission
121 Seventh Place East
Suite 350
651-296-0406, option 1
1-800-657-3782, option 1
Fax 651-297-7073
consumer.puc@state.mn.us
www.puc.state.mn.us
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