[Congressional Record Volume 140, Number 8 (Thursday, February 3, 1994)]
[Extensions of Remarks]
[Page E]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: February 3, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]

 
          H.R. 3790, THE RURAL CONSUMER PROTECTION ACT OF 1994

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                           HON. JILL L. LONG

                               of indiana

                    in the house of representatives

                       Thursday, February 3, 1994

  Ms. LONG. Mr. Speaker, today Congressman Skelton, Congressman 
Gunderson and I introduced legislation--the Rural Consumer Protection 
Act of 1994--to ensure affordable electric rates for rural consumers 
who are members of electric cooperatives.
  Specifically, this bill would prohibit a municipal utility from 
forcing a cooperative to stop serving its existing territory if the 
municipal decides to annex that territory into its own boundaries. I 
must emphasize that this legislation does not prevent municipal 
annexation. It simply prevents a municipal system from condemning, in a 
hostile manner, the service territory of a rural electric cooperative, 
thereby depriving the rural electric system of the chance to serve a 
few densely settled areas in order to balance the higher cost of 
serving more sparsely settled rural areas.
  This legislation picks up where the Congress left off last session. 
As my colleagues may recall, House and Senate conferees agreed to 
include this legislative language in the 1993 Omnibus Budget 
Reconciliation Act. However, the provision was deleted, like many other 
provisions, by the ``Byrd Rule.''
  The language contained in the bill we have introduced today mirrors 
the language of last year with one important change. This legislation 
will allow a municipal electric the option of having an independent 
third party determine which electric distributor would best serve the 
public interest.
  Just like the language from last year, nothing in this legislation 
will prevent a State from implementing its own provision concerning the 
curtailment or limitation of electric service and will not apply to any 
action by an electric utility taken prior to enactment of this 
legislation. Just as last year, this bill would afford rural electric 
cooperatives the same treatment as rural water systems with regard to 
providing electric service to an area annexed by a city.
  I understand that additional changes may need to be made to this or 
similar legislation. Certain accommodations may need to be made to move 
forward on this issue. In that regard, we need to undertake official 
hearings. In fact, some organizations impacted by last year's language 
were concerned about the lack of hearings on this issue. They had a 
good point. Hearings must be held on this issue. All parties impacted 
by this legislation must be heard. In this regard, I have officially 
requested a subcommittee hearing on this legislation.
  Mr. Speaker, the introduction of the Rural Consumer Protection Act of 
1994 marks a starting point. I look forward to working with my 
colleagues and all interested parties on this important matter.

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