06 LC 36
0112
House
Bill 1409
By:
Representatives Rogers of the
26th,
Stephens of the
164th,
and Harbin of the
118th
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Chapter 3 of Title 46 of the Official Code of Georgia Annotated, relating
to electrical service, so as require a document retention policy for electric
membership corporations; to allow for electronic voting by members of electric
membership corporations; to require a certified audit of policies and
procedures; to provide for legislative findings; to provide for related
matters; to provide effective dates; to repeal conflicting laws; and for other
purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
The
General Assembly finds that electric membership corporations in Georgia are
largely unregulated and do not face any market competition which would operate
to ensure that these electric membership corporations act in the best interest
of their members. Because the potential for abuse exists among electric
membership corporations absent state regulation, the General Assembly finds that
certain needed reforms will ensure that electric membership corporations deal
fairly with all consumers and classes of consumers and provides such reforms in
this Act.
SECTION
2.
Chapter
3 of Title 46 of the Official Code of Georgia Annotated, relating to electrical
service, is amended by adding new Code Sections 46-3-183 and 46-3-184 to read as
follows:
"46-3-183.
(a)
Electric membership corporations organized pursuant to this article shall retain
the following documents for a period of not less than 15 years:
(1)
Any and all documents reflecting payments by members for contributions in aid of
construction or other charges required by the electric membership corporation
prior to the provision of electric service;
(2)
Any and all documents reflecting the construction cost incurred by the electric
membership corporation for providing electric service;
(3)
Any and all contracts or other written agreements with members for the provision
of electric service;
(4)
Any and all documents utilized in calculating the construction costs incurred by
the electric membership corporation for providing electric service, including,
but not limited to, staking sheets, contract working papers, job analysis
reports, spreadsheets, proposals, and other similar documentation;
(5)
Minutes from all meetings of the board of directors;
(6)
Rate schedules;
(7)
Schedules for the apportionment and retirement of construction costs to the
consumer;
(8)
All financial statements and audits of the financial records;
(9)
All policies and procedures audits, as required by Code Section 46-3-184;
and
(10)
Documents reflecting charges assessed to and payments received from
members.
(b)
It shall be considered compliance with this Code section for the preservation of
these documents by electronic recordation, including microfilm, microfiche, or
digital imaging, provided that such electronic recordation fully and accurately
captures all information contained on the original document.
(c)
All documents described in this Code section in the possession of an electric
membership corporation at the time of the effective date of this Code section
shall be retained by the electric membership corporation. In the event such
documents are not in existence at the time of the effective date of this Code
section, no penalty shall be assessed against the electric membership
corporation.
(d)
In the event a civil action is filed against an electric membership corporation
and it is determined that the electric membership corporation has failed to
comply with the requirements of this Code section, the plaintiff in that action
shall be entitled to a charge to the jury as to spoliation of evidence relating
to any documents not properly retained in compliance with this Code section.
Destruction of documents beyond the time period provided for in this Code
section shall not subject the electric membership corporation to any such charge
to the jury.
46-3-184.
(a)
The board of directors of any electric membership corporation shall at least
once each year have made by independent certified public accountants an audit of
the policies and procedures of the electric membership corporation to ensure
that the electric membership corporation is complying with these policies and
procedures in an equitable manner.
(b)
A report of the audit made under subsection (a) of this Code section shall be
signed and certified by the accountants who make it. A signed copy of the
report shall be submitted to the board of directors for approval or rejection
and maintained in the files of the electric membership corporation for a period
of 15 years. The electric membership corporation shall also file an original of
the audit made under subsection (a) of this Code section with the Secretary of
State as provided in this
article."
SECTION
3.
Said
chapter is further amended by striking subsection (f) of Code Section 46-3-266,
relating to voting by electric membership corporation members generally, and
inserting a new subsection (f) to read as follows:
"(f)
The principles of subsection (e) of this Code section shall apply, insofar as
possible, to the execution of proxies, waivers, consents, or objections and for
the purpose of ascertaining the presence of a quorum.
(f)(1)
The General Assembly finds:
(A)
This Code section sets forth the qualifications and conditions of voting by
members of electric membership corporations;
(B)
Voting by Internet or e-mail proxy would allow for more members of electric
membership corporations to be involved in the voting process; and
(C)
It is advantageous to encourage members of electric membership corporations to
vote on all issues allowed by the bylaws of the electric membership corporation
and as allowed by law.
(2)
All electric membership corporations under this article shall allow members to
vote on all issues allowed by the bylaws of the electric membership corporation
and all other issues allowed by law by e-mail or the Internet using the electric
membership
corporatiońs
website. To facilitate this voting procedure and to ensure security and
integrity in the voting process, all electric membership corporations shall
issue unique user names and passwords to all
members."
SECTION
4.
(a)
Except as provided in subsection (b) of this Code section, this Act shall become
effective upon its approval by the Governor or upon its becoming law without
such approval.
(b) Subsection (f) of Code Section 46-3-266 shall become effective one year following approval of this Act by the Governor or upon its becoming law without such approval.
(b) Subsection (f) of Code Section 46-3-266 shall become effective one year following approval of this Act by the Governor or upon its becoming law without such approval.
SECTION
5.
All
laws and parts of laws in conflict with this Act are repealed.