BEECHER - NAWC

Water ComparedAppendix AState Telecommunications Electricity Natural Gas[a] [b] [c]Arkansas 1997. Alternative 4/97. Legislative Study Group No activity reportedregulation begins. established; report due 1999.9/30/97 and 10/17/97. PSC heldpublic hearings utility's plan forderegulation. On I 0/7 preliminarydeal announced.12/97. PSC agreed to utility'srestructuring plan, including ratereductions, $200 million over 2years; debt reduction of$165 millionover 5 years; creation of a specialTransition Cost Account to be usedto collect funds for stranded costsrecovery (funded by excess earningsabove I% return on equity during therate freeze period); and calls for ahearing in 1998 to address numerousrestructuring issues. The PSC wouldprovide guidance on the issues to theArkansas Legislature for its 1999session.12/97. PSC established 4 dockets toinvestigate specific restructuringissues."Transition-to-competition" planproposed for dealing with strandedcosts.105 September 1998