[Congressional Bills 104th Congress]
[From the U.S. Government Publishing Office]
[S. 1317 Reported in Senate (RS)]





                                                       Calendar No. 584

104th CONGRESS

  2d Session

                                S. 1317

                          [Report No. 104-365]

_______________________________________________________________________

                                 A BILL

To repeal the Public Utility Holding Company Act of 1935, to enact the 
  Public Utility Holding Company Act of 1995, and for other purposes.

_______________________________________________________________________

                           September 9, 1996

        Reported with an amendment and an amendment to the title





                                                       Calendar No. 584
104th CONGRESS
  2d Session
                                S. 1317

                          [Report No. 104-365]

To repeal the Public Utility Holding Company Act of 1935, to enact the 
  Public Utility Holding Company Act of 1995, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

             October 12 (legislative day, October 10), 1995

 Mr. D'Amato (for himself, Mr. Murkowski, Mr. Dodd, Mr. Johnston, Mr. 
 Shelby, Mr. Mack, Mr. Faircloth, Mr. Dole, Mr. Lott, Mr. Cochran, Mr. 
 Heflin, Mr. Akaka, Mr. Coverdell, Mr. Inouye, Mr. Warner, Mr. Coats, 
 Mr. Grams, and Mr. Bennett) introduced the following bill; which was 
read twice and referred to the Committee on Banking, Housing, and Urban 
                                Affairs

                           September 9, 1996

  Reported by Mr. D'Amato, with an amendment and an amendment to the 
                                 title
 [Strike all after the enacting clause and insert the part printed in 
                                italic]

_______________________________________________________________________

                                 A BILL


 
To repeal the Public Utility Holding Company Act of 1935, to enact the 
  Public Utility Holding Company Act of 1995, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

<DELETED>SECTION 1. SHORT TITLE.</DELETED>

<DELETED>    This Act may be cited as the ``Public Utility Holding 
Company Act of 1995''.</DELETED>

 <DELETED>TITLE I--REPEAL OF THE PUBLIC UTILITY HOLDING COMPANY ACT OF 
                             1935</DELETED>

<DELETED>SEC. 101. PURPOSE.</DELETED>

<DELETED>    (a) The Public Utility Holding Company Act of 1935 was 
intended to facilitate the work of State and Federal regulators by 
placing certain constraints on the activities of holding company 
systems. Developments since 1935, including changes in other regulation 
and in the industry itself, have called into question the continued 
relevance of the model of regulation established by the 
statute.</DELETED>
<DELETED>    (b) There is, however, a continuing need for limited 
Federal regulation in this area to ensure the rate protection of 
utility consumers. The Public Utility Holding Company Act of 1995 is 
intended to eliminate unnecessary regulation, yet still provide for 
consumer protection by providing for State commission access to books 
and records of all companies in a holding company system, and for 
Federal audit authority and oversight of affiliate transactions, to the 
extent that such activities affect rates, while, at the same time, 
affording companies the flexibility required to compete in today's 
energy markets.</DELETED>

<DELETED>SEC. 102. REPEAL OF THE PUBLIC UTILITY HOLDING COMPANY ACT OF 
              1935.</DELETED>

<DELETED>    The Public Utility Holding Company Act of 1935, as 
amended, is hereby repealed, effective one year from the date of 
enactment of this Act.</DELETED>

<DELETED>TITLE II--ENACTMENT OF THE PUBLIC UTILITY HOLDING COMPANY ACT 
                           OF 1995</DELETED>

<DELETED>SEC. 201. PURPOSE.</DELETED>

<DELETED>    Limited Federal regulation is necessary to supplement the 
work of State commissions for the continued rate protection of electric 
and gas utility consumers. This Act is intended to address these 
concerns by providing for Federal and State access to books and records 
of all companies in a holding company system and for federal oversight 
of affiliate transactions, to the extent that such activities affect 
rates.</DELETED>

<DELETED>SEC. 202. DEFINITIONS.</DELETED>

<DELETED>    (a) When used in this title:</DELETED>
        <DELETED>    (1) ``Person'' means an individual or 
        company.</DELETED>
        <DELETED>    (2) ``Company'' means a corporation, joint stock 
        company, partnership, association, business trust, organized 
        group of persons, whether incorporated or not, or a receiver or 
        receivers, trustee or trustees of any of the 
        foregoing.</DELETED>
        <DELETED>    (3) ``Electric utility company'' means any company 
        that owns or operates facilities used for the generation, 
        transmission, or distribution of electric energy for 
        sale.</DELETED>
        <DELETED>    (4) ``Gas utility company'' means any company that 
        owns or operates facilities used for distribution at retail 
        (other than the distribution only in enclosed portable 
        containers) of natural or manufactured gas for heat, light or 
        power.</DELETED>
        <DELETED>    (5) ``Public utility company'' means an electric 
        utility company or gas utility company but does not mean a 
        qualifying facility as defined in the Public Utility Regulatory 
        Policies Act of 1992, or an exempt wholesale generator or a 
        foreign utility company defined by the Energy Policy Act of 
        1992.</DELETED>
        <DELETED>    (6) ``Holding company'' means (A) any company that 
        directly or indirectly owns, controls, or holds with power to 
        vote, 10 percent or more of the outstanding voting securities 
        of a public utility company or of a holding company of any 
        public utility company; and (B) any person, determined by the 
        Commission, after notice and opportunity for hearing, to 
        exercise directly or indirectly (either alone or pursuant to an 
        arrangement or understanding with one or more persons) such a 
        controlling influence over the management or policies of any 
        public utility or holding company as to make it necessary or 
        appropriate for the protection of consumers with respect to 
        rates that such person be subject to the obligations, duties, 
        and liabilities imposed in this title upon holding 
        companies.</DELETED>
        <DELETED>    (7) ``Subsidiary company'' of a holding company 
        means (A) any company 10 percent or more of the outstanding 
        voting securities of which are directly or indirectly owned, 
        controlled, or held with power to vote, by such holding 
        company; and (B) any person the management or policies of which 
        the Commission, after notice and opportunity for hearing, 
        determines to be subject to a controlling influence, directly 
        or indirectly, by such holding company (either alone or 
        pursuant to an arrangement or understanding with one or more 
        other persons) so as to make it necessary for the protection of 
        consumers with respect to rates that such person be subject to 
        the obligations, duties, and liabilities imposed in this title 
        upon subsidiary companies of holding companies.</DELETED>
        <DELETED>    (8) ``Holding company system'' means a holding 
        company together with its subsidiary companies.</DELETED>
        <DELETED>    (9) ``Associate company'' of a company means any 
        company in the same holding company system with such 
        company.</DELETED>
        <DELETED>    (10) ``Affiliate'' of a company means any company 
        5 percent or more of whose outstanding voting securities are 
        owned, controlled, or held with power to vote, directly or 
        indirectly, by such company.</DELETED>
        <DELETED>    (11) ``Voting security'' means any security 
        presently entitling the owner or holder thereof to vote in the 
        direction or management of the affairs of a company.</DELETED>
        <DELETED>    (12) ``Commission'' means the Federal Energy 
        Regulatory Commission.</DELETED>
        <DELETED>    (13) ``State Commission'' means any commission, 
        board, agency, or officer, by whatever name designated, of a 
        State, municipality, or other political subdivision of a State 
        that under the law of such State has jurisdiction to regulate 
        public utility companies.</DELETED>
<DELETED>    (b) No provision in this Act shall apply to, or be deemed 
to include: (1) the United States, (2) a State or any political 
subdivision of a State, (3) any foreign governmental authority not 
operating in the United States, (4) any agency, authority, or 
instrumentality of any of the foregoing, or (5) any officer, agent, or 
employee of any of the foregoing acting as such in the course of his 
official duty.</DELETED>

<DELETED>SEC. 203. EXEMPTIONS.</DELETED>

<DELETED>    (a) The provisions of this Act shall not apply to any 
person previously exempted, by rule or order, from regulation under the 
Public Utility Holding Company Act of 1935 and such person shall 
continue to be exempted from the provisions of this Act: Provided, That 
the Commission may institute proceedings to terminate such exemption if 
the termination of such exemption would be necessary for regulating the 
rates of a public utility company and necessary for the protection of 
consumers.</DELETED>
<DELETED>    (b) The Commission, by rules and regulations, or by order 
upon application, may conditionally or unconditionally exempt any 
person or transaction, or any class or classes of persons or 
transactions, from any provision or provisions of this title or of any 
rule or regulation thereunder, if the Commission finds that regulation 
of such person or transaction is not relevant to the rates of a public 
utility company; in considering whether to grant such an exemption, the 
Commission shall consult with the affected State commissions.</DELETED>

<DELETED>SEC. 204. FEDERAL ACCESS TO BOOKS AND RECORDS.</DELETED>

<DELETED>    (a) Every holding company and subsidiary company thereof 
shall maintain, and make available to the Commission, such books, 
records, accounts, and other documents as the Commission deems relevant 
to costs incurred by a public utility company that is an associate 
company of such holding company and necessary or appropriate for the 
protection of consumers with respect to rates.</DELETED>
<DELETED>    (b) Every affiliate of a holding company or of any 
subsidiary company thereof shall maintain, and make available to the 
Commission, such books, records, accounts, and other documents with 
respect to any transaction with another affiliate, as the Commission 
deems relevant to costs incurred by a public utility company that is an 
associate company of such holding company and necessary or appropriate 
for the protection of consumers with respect to rates.</DELETED>
<DELETED>    (c) The Commission may examine the books and records of 
any company in a holding company system, or any affiliate thereof, as 
the Commission deems relevant to costs incurred by a public utility 
company within such holding company system and necessary or appropriate 
for the protection of consumers with respect to rates.</DELETED>
<DELETED>    (d) No member, officer, or employee of the Commission 
shall divulge any fact or information that may come to his knowledge 
during the course of examination of books, accounts, or other 
information as hereinbefore provided, except insofar as he may be 
directed by the Commission or by a court.</DELETED>

<DELETED>SEC. 205. STATE ACCESS TO BOOKS AND RECORDS.</DELETED>

<DELETED>    (a) Upon the written request of a State commission having 
jurisdiction to regulate a public utility company in a holding company 
system, and subject to such terms and conditions as may be necessary 
and appropriate to safeguard against unwarranted disclosure to the 
public of any trade secrets or sensitive commercial information, a 
holding company or its associate company or affiliate thereof, wherever 
located, shall produce for inspection such books and records as have 
been identified in reasonable detail in a proceeding before the State 
commission, are relevant to costs incurred by such public utility 
company and are necessary for the effective discharge of the State 
commission's responsibilities with respect to such 
proceeding.</DELETED>
<DELETED>    (b) Nothing in this section shall preempt applicable State 
law concerning the provision of records and other information, or in 
any way limit a State's rights to obtain books and records and other 
information under Federal law, contract, or otherwise.</DELETED>

<DELETED>SEC. 206. AFFILIATE TRANSACTIONS.</DELETED>

<DELETED>    Nothing in this Act shall preclude the Commission or a 
State commission from exercising its jurisdiction under otherwise 
applicable law to determine whether a public utility company may 
recover in rates any costs of an activity performed by an associate 
company, or any costs of goods or services acquired by such public 
utility company from an associate company.</DELETED>

<DELETED>SEC. 207. EFFECT ON OTHER REGULATION.</DELETED>

<DELETED>    Nothing in this Act shall preclude a State commission from 
exercising its jurisdiction under otherwise applicable law to protect 
utility consumers.</DELETED>

<DELETED>SEC. 208. ENFORCEMENT.</DELETED>

<DELETED>    The Commission shall have the same powers as set forth in 
Sections 306 through 317 of the Federal Power Act (16 U.S.C. 825d-825p) 
to enforce the provisions of this Act.</DELETED>

<DELETED>SEC. 209. SAVINGS PROVISION.</DELETED>

<DELETED>    Nothing in this Act prohibits a person from engaging in 
activities in which it is legally engaged or authorized to engage on 
the effective date of the Public Utility Holding Company Act of 1995, 
provided that it continues to comply with the terms of any 
authorization, whether by rule or by order.</DELETED>

<DELETED>SEC. 210. IMPLEMENTATION.</DELETED>

<DELETED>    The Commission shall promulgate regulations necessary or 
appropriate to implement this Act not later than one year after the 
date of the enactment of this title.</DELETED>

<DELETED>SEC. 211. RESOURCES</DELETED>

<DELETED>    All books and records that relate primarily to the 
function hereby vested in the Commission shall be transferred from the 
Securities and Exchange Commission to the Commission. It is the sense 
of the Congress that, subject to the approval of the Director of the 
Office of Management and Budget and the Chairman of the Securities and 
Exchange Commission all personnel of the Office of Public Utility 
Regulation of the Securities and Exchange Commission as of the date of 
enactment of this title should be transferred to the 
Commission.</DELETED>

<DELETED>SEC. 212. EFFECTIVE DATE.</DELETED>

<DELETED>    This Act shall take effect one year after the date of 
enactment.</DELETED>

<DELETED>SEC. 213. SEVERABILITY.</DELETED>

<DELETED>    If any provision of this Act, or the application of such 
provision to any person or circumstance, shall be held invalid, the 
remainder of the Act, and the application of such provision to persons 
or circumstances other than those as to which it is held invalid, shall 
not be affected thereby.</DELETED>

   <DELETED>TITLE III--CONFORMING CHANGES TO OTHER STATUTES</DELETED>

<DELETED>SEC. 301. FEDERAL POWER ACT.</DELETED>

<DELETED>    Section 318 of the Federal Power Act (16 U.S.C. 285g) if 
hereby repealed.</DELETED>

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Public Utility Holding Company Act 
of 1996''.

SEC. 2. FINDINGS AND PURPOSES.

    (a) Findings.--The Congress finds that--
            (1) the Public Utility Holding Company Act of 1935 was 
        intended to facilitate the work of Federal and State regulators 
        by placing certain constraints on the activities of holding 
        company systems;
            (2) developments since 1935, including changes in other 
        regulation and in the electric and gas industries, have called 
        into question the continued relevance of the model of 
        regulation established by that Act;
            (3) there is a continuing need for limited Federal and 
        State regulation in order to ensure the rate protection of 
        utility customers; and
            (4) limited Federal regulation is necessary to supplement 
        the work of State commissions for the continued rate protection 
        of electric and gas utility customers.
    (b) Purposes.--The purposes of this Act are--
            (1) to eliminate unnecessary regulation, yet continue to 
        provide for consumer protection by facilitating existing rate 
        regulatory authority through improved Federal and State 
        commission access to books and records of all companies in a 
        holding company system, to the extent that such information is 
        relevant to rates paid by utility customers, while affording 
        companies the flexibility required to compete in the energy 
        markets; and
            (2) to address protection of electric and gas utility 
        customers by providing for Federal and State access to books 
        and records of all companies in a holding company system that 
        are relevant to utility rates.

SEC. 3. DEFINITIONS.

    For purposes of this Act--
            (1) the term ``affiliate'' of a company means any company 5 
        percent or more of the outstanding voting securities of which 
        are owned, controlled, or held with power to vote, directly or 
        indirectly, by such company;
            (2) the term ``associate company'' of a company means any 
        company in the same holding company system with such company;
            (3) the term ``Commission'' means the Federal Energy 
        Regulatory Commission;
            (4) the term ``company'' means a corporation, partnership, 
        association, joint stock company, business trust, or any 
        organized group of persons, whether incorporated or not, or a 
        receiver, trustee, or other liquidating agent of any of the 
        foregoing;
            (5) the term ``electric utility company'' means any company 
        that owns or operates facilities used for the generation, 
        transmission, or distribution of electric energy for sale;
            (6) the terms ``exempt wholesale generator'' and ``foreign 
        utility company'' have the same meanings as in sections 32 and 
        33, respectively, of the Public Utility Holding Company Act of 
        1935, as those sections existed on the day before the effective 
        date of this Act;
            (7) the term ``gas utility company'' means any company that 
        owns or operates facilities used for distribution at retail 
        (other than the distribution only in enclosed portable 
        containers or distribution to tenants or employees of the 
        company operating such facilities for their own use and not for 
        resale) of natural or manufactured gas for heat, light, or 
        power;
            (8) the term ``holding company'' means--
                    (A) any company that directly or indirectly owns, 
                controls, or holds, with power to vote, 10 percent or 
                more of the outstanding voting securities of a public 
                utility company or of a holding company of any public 
                utility company; and
                    (B) any person, determined by the Commission, after 
                notice and opportunity for hearing, to exercise 
                directly or indirectly (either alone or pursuant to an 
                arrangement or understanding with one or more persons) 
                such a controlling influence over the management or 
                policies of any public utility company or holding 
                company as to make it necessary or appropriate for the 
                rate protection of utility customers with respect to 
                rates that such person be subject to the obligations, 
                duties, and liabilities imposed by this Act upon 
                holding companies;
            (9) the term ``holding company system'' means a holding 
        company, together with its subsidiary companies;
            (10) the term ``jurisdictional rates'' means rates 
        established by the Commission for the transmission of electric 
        energy in interstate commerce, the sale of electric energy at 
        wholesale in interstate commerce, the transportation of natural 
        gas in interstate commerce, and the sale in interstate commerce 
        of natural gas for resale for ultimate public consumption for 
        domestic, commercial, industrial, or any other use;
            (11) the term ``natural gas company'' means a person 
        engaged in the transportation of natural gas in interstate 
        commerce or the sale of such gas in interstate commerce for 
        resale;
            (12) the term ``person'' means an individual or company;
            (13) the term ``public utility'' means any person who owns 
        or operates facilities used for transmission of electric energy 
        in interstate commerce or sales of electric energy at wholesale 
        in interstate commerce;
            (14) the term ``public utility company'' means an electric 
        utility company or a gas utility company;
            (15) the term ``State commission'' means any commission, 
        board, agency, or officer, by whatever name designated, of a 
        State, municipality, or other political subdivision of a State 
        that, under the laws of such State, has jurisdiction to 
        regulate public utility companies;
            (16) the term ``subsidiary company'' of a holding company 
        means--
                    (A) any company, 10 percent or more of the 
                outstanding voting securities of which are directly or 
                indirectly owned, controlled, or held with power to 
                vote, by such holding company; and
                    (B) any person, the management or policies of which 
                the Commission, after notice and opportunity for 
                hearing, determines to be subject to a controlling 
                influence, directly or indirectly, by such holding 
                company (either alone or pursuant to an arrangement or 
                understanding with one or more other persons) so as to 
                make it necessary for the rate protection of utility 
                customers with respect to rates that such person be 
                subject to the obligations, duties, and liabilities 
                imposed by this Act upon subsidiary companies of 
                holding companies; and
            (17) the term ``voting security'' means any security 
        presently entitling the owner or holder thereof to vote in the 
        direction or management of the affairs of a company.

SEC. 4. REPEAL OF THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935.

    The Public Utility Holding Company Act of 1935 (15 U.S.C. 79a et 
seq.) is repealed, effective 18 months after the date of enactment of 
this Act.

SEC. 5. FEDERAL ACCESS TO BOOKS AND RECORDS.

    (a) In General.--Each holding company and each associate company 
thereof shall maintain, and shall make available to the Commission, 
such books, accounts, memoranda, and other records as the Commission 
deems to be relevant to costs incurred by a public utility or natural 
gas company that is an associate company of such holding company and 
necessary or appropriate for the protection of utility customers with 
respect to jurisdictional rates for the transmission of electric energy 
in interstate commerce, the sale of electric energy at wholesale in 
interstate commerce, the transportation of natural gas in interstate 
commerce, and the sale in interstate commerce of natural gas for resale 
for ultimate public consumption for domestic, commercial, industrial, 
or any other use.
    (b) Affiliate Companies.--Each affiliate of a holding company or of 
any subsidiary company of a holding company shall maintain, and make 
available to the Commission, such books, accounts, memoranda, and other 
records with respect to any transaction with another affiliate, as the 
Commission deems to be relevant to costs incurred by a public utility 
or natural gas company that is an associate company of such holding 
company and necessary or appropriate for the protection of utility 
customers with respect to jurisdictional rates.
    (c) Holding Company Systems.--The Commission may examine the books, 
accounts, memoranda, and other records of any company in a holding 
company system, or any affiliate thereof, as the Commission deems to be 
relevant to costs incurred by a public utility or natural gas company 
within such holding company system and necessary or appropriate for the 
protection of utility customers with respect to jurisdictional rates.
    (d) Confidentiality.--No member, officer, or employee of the 
Commission shall divulge any fact or information that may come to his 
or her knowledge during the course of examination of books, accounts, 
memoranda, or other records as provided in this section, except as may 
be directed by the Commission or by a court of competent jurisdiction.

SEC. 6. STATE ACCESS TO BOOKS AND RECORDS.

    (a) In General.--Upon the written request of a State commission 
having jurisdiction to regulate a public utility company in a holding 
company system, and subject to such terms and conditions as may be 
necessary and appropriate to safeguard against unwarranted disclosure 
to the public of any trade secrets or sensitive commercial information, 
a holding company or its associate company or affiliate thereof, 
wherever located, shall produce for inspection books, accounts, 
memoranda, and other records that--
            (1) have been identified in reasonable detail in a 
        proceeding before the State commission;
            (2) the State commission deems are relevant to costs 
        incurred by such public utility company; and
            (3) are necessary for the effective discharge of the 
        responsibilities of the State commission with respect to such 
        proceeding.
    (b) Effect on State Law.--Nothing in this section shall preempt 
applicable State law concerning the provision of books, records, or any 
other information, or in any way limit the rights of any State to 
obtain books, records, or any other information under Federal law, 
contract, or otherwise.
    (c) Court Jurisdiction.--Any United States district court located 
in the State in which the State commission referred to in subsection 
(a) is located shall have jurisdiction to enforce compliance with this 
section.

SEC. 7. EXEMPTION AUTHORITY.

    (a) Rulemaking.--Not later than 90 days after the date of enactment 
of this Act, the Commission shall promulgate a final rule to exempt 
from the requirements of section 5 any person that is a holding 
company, solely with respect to one or more--
            (1) qualifying facilities under the Public Utility 
        Regulatory Policies Act of 1978;
            (2) exempt wholesale generators; or
            (3) foreign utility companies.
    (b) Other Authority.--If, upon application or upon its own motion, 
the Commission finds that the books, records, accounts, memoranda, and 
other records of any person are not relevant to the jurisdictional 
rates of a public utility company, or if the Commission finds that any 
class of transactions is not relevant to the jurisdictional rates of a 
public utility company, the Commission shall exempt such person or 
transaction from the requirements of section 5.

SEC. 8. AFFILIATE TRANSACTIONS.

    Nothing in this Act shall preclude the Commission or a State 
commission from exercising its jurisdiction under otherwise applicable 
law to determine whether a public utility company may recover in rates 
any costs of an activity performed by an associate company, or any 
costs of goods or services acquired by such public utility company from 
an associate company.

SEC. 9. APPLICABILITY.

    No provision of this Act shall apply to, or be deemed to include--
            (1) the United States;
            (2) a State or any political subdivision of a State;
            (3) any foreign governmental authority not operating in the 
        United States;
            (4) any agency, authority, or instrumentality of any entity 
        referred to in paragraph (1), (2), or (3); or
            (5) any officer, agent, or employee of any entity referred 
        to in paragraph (1), (2), or (3) acting as such in the course 
        of his or her official duty.

SEC. 10. EFFECT ON OTHER REGULATIONS.

    Nothing in this Act precludes the Commission or a State commission 
from exercising its jurisdiction under otherwise applicable law to 
protect utility customers.

SEC. 11. ENFORCEMENT.

    The Commission shall have the same powers as set forth in Sections 
306 through 317 of the Federal Power Act (16 U.S.C. 825d-825p) to 
enforce the provisions of this Act.

SEC. 12. SAVINGS PROVISIONS.

    (a) In General.--Nothing in this Act prohibits a person from 
engaging in or continuing to engage in activities or transactions in 
which it is legally engaged or authorized to engage on the effective 
date of this Act, if that person continues to comply with the terms of 
any such authorization, whether by rule or by order.
    (b) Effect on Other Commission Authority.--Nothing in this Act 
limits the authority of the Commission under the Federal Power Act 
(including section 301 of that Act) or the Natural Gas Act (including 
section 8 of that Act).

SEC. 13. IMPLEMENTATION.

    Not later than 18 months after the date of enactment of this Act, 
the Commission shall--
            (1) promulgate such regulations as may be necessary or 
        appropriate to implement this Act; and
            (2) submit to the Congress detailed recommendations on 
        technical and conforming amendments to Federal law necessary to 
        carry out this Act and the amendments made by this Act.

SEC. 14. TRANSFER OF RESOURCES.

    All books and records that relate primarily to the functions 
transferred to the Commission under this Act shall be transferred from 
the Securities and Exchange Commission to the Commission.

SEC. 15. EFFECTIVE DATE.

    This Act shall take effect 18 months after the date of enactment of 
this Act.

SEC. 16. AUTHORIZATION OF APPROPRIATIONS.

    There are authorized to be appropriated such funds as may be 
necessary to carry out this Act.

SEC. 17. CONFORMING AMENDMENT TO THE FEDERAL POWER ACT.

    Section 318 of the Federal Power Act (16 U.S.C. 825q) is repealed.
            Amend the title so as to read as follows: ``A bill to 
        repeal the Public Utility Holding Company Act of 1935, to enact 
        the Public Utility Holding Company Act of 1996, and for other 
        purposes.''.