This text of Tennessee § 7-82-708 (Utility revitalization fund) is published on Counsel Stack Legal Research, covering Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.
(a)(1) There is created in the state treasury a fund to be known as the "utility revitalization fund." The fund must be initially funded by a deposit of the balance of funds held in the utility district revitalization fund previously created in accordance with § 7-82-707(a)(1) as such section existed prior to July 1, 2023.
(2)The Tennessee board of utility regulation shall administer the fund for grants to utility systems that have merged or consolidated under § 7-82-704 to mitigate the financial impact of the merger or consolidation.
(3)Utility systems pursuing a voluntary merger, consolidation, or acquisition may apply to the board for grants from the fund. The board has discretion to grant the application if it finds that the merger is in the best interest of at least one (1) utility
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(a) (1) There is created in the state treasury a fund to be known as the "utility revitalization fund." The fund must be initially funded by a deposit of the balance of funds held in the utility district revitalization fund previously created in accordance with § 7-82-707(a)(1) as such section existed prior to July 1, 2023. (2) The Tennessee board of utility regulation shall administer the fund for grants to utility systems that have merged or consolidated under § 7-82-704 to mitigate the financial impact of the merger or consolidation. (3) Utility systems pursuing a voluntary merger, consolidation, or acquisition may apply to the board for grants from the fund. The board has discretion to grant the application if it finds that the merger is in the best interest of at least one (1) utility system's service population, does not harm another service population, and the grant is necessary to achieve the merger. (4) The board may adopt rules for the fund's administration. (5) Interest and earnings of the fund remain a part of the fund. (6) No part of the fund reverts to the general fund at the end of a fiscal year, but remains a part of the fund available for expenditure in accordance with this part. (b) (1) It is the intent of the general assembly that, to the extent practicable, money from the fund is spent in all areas of the state. (2) In addition to subdivision (b)(1), it is the intent of the general assembly that in each fiscal year the fund be managed so that actual expenditures and obligations to be recognized at the end of the fiscal year do not exceed available reserves and appropriations of the fund. (c) (1) The board shall provide a report to the commissioner of finance and administration regarding the status of the appropriations for the fund by June 30 of each year. The report must include, at a minimum, the following information: (A) The amount of each grant accepted since the previous report and the name of the utility system receiving the grant; (B) The total outstanding commitments; and (C) The total unobligated appropriation. (2) The board shall transmit a copy of the report required under subdivision (c)(1) to the speaker of the house of representatives, the speaker of the senate, the state treasurer, the state comptroller of the treasury, the office of legislative budget analysis, the legislative librarian, and the secretary of state by July 30 of each year. (d) The board shall determine the appropriate amount of each grant based on: (1) Available funds in the fund; (2) The findings of a study performed pursuant to § 7-82-704 ; (3) Evidence provided by the Tennessee Association of Utility Districts; or (4) Another source or authority determined to be reliable, in the discretion of the board. (e) A utility system that is a recipient of a grant under this section shall submit quarterly reports to the board on a form approved by the board. (f) (1) A grant from this fund may be used to mitigate a utility system's operating expenses. (2) The board's order approving the grant must specify the total maximum amount of the grant, the time period over which the grant will be disbursed, the disbursement schedule, and a description of the expenses the grant is meant to mitigate. The grant must be used only as described in the board's order. (3) The comptroller of the treasury and the board may consider a disbursement made under this section to be operating revenue for purposes of determining whether a utility system is in financial distress. (4) The board may only approve grants to mitigate operating expenses if the applicant utility system establishes that, after the last disbursement from the grant is made, the system will be financially solvent.