Rep. Ed Soliday

Authorizes the department of natural resources (department) to adopt emergency rules to carry out the duties of the department under the article of the Indiana Code concerning carbon dioxide. Requires the natural resources commission (commission) to adopt rules to implement the article of the Indiana Code concerning carbon dioxide. Provides that the rules adopted by the commission: (1) must include the provisions necessary for the department's discharge of the duties imposed upon the department under; and (2) may establish fees for the administration and implementation of; the article of the Indiana Code concerning carbon dioxide. Specifies that any fees established by the commission for the administration and implementation of the article: (1) are subject to review by the budget committee; and (2) may not be increased unless the budget committee reviews the increase.

Congratulating Vice Admiral Sean Buck on his retirement from the United States Navy.

Recognizing Officer Dustin Moody.

Permits a third class city to annex an area that is a proposed residential development in which not all lots have been platted or dwellings have been constructed. Expands the area outside the city in which the annexation can occur from three miles to 4.5 miles.

Provides that the commercial solar and wind energy ready communities development center (center) may be established within the Indiana office of energy development (office). Provides that the center, if established, shall: (1) provide comprehensive, easily accessible information concerning permits required for commercial solar projects and wind power projects; and (2) work with permit authorities concerning those projects. Requires the center to create and administer a program to certify counties and municipalities as commercial solar energy ready communities and wind energy ready communities. Requires the office to certify a county or municipality as a commercial solar energy ready community or a wind energy ready community if the county or municipality meets certain requirements, including the adoption of a commercial solar regulation or wind power regulation that includes standards that are not more restrictive than the default standards established by Indiana law. Provides that a commercial solar and wind energy ready communities incentive fund (fund) may be established by the office. Provides that if: (1) a county or municipality receives certification as a commercial solar energy ready community or a wind energy ready community; (2) a project owner constructs a commercial solar project or wind power project in the county or municipality; (3) the fund is established; and (4) there is a sufficient balance in the fund; the office may authorize the county or municipality to receive from the fund, for a period of 10 years, $1 per megawatt hour of electricity generated by the commercial solar project or wind power project.

Increases the per diem paid to a commissioner of a housing authority from $25 to an amount up to $100.

Amends the statute governing infrastructure improvement charges for water or wastewater utilities as follows: (1) Provides that in the case of a municipally owned utility or a not-for-profit utility, the adjustment amount to an eligible utility's basic rates and charges for the recovery of infrastructure improvement costs shall be recovered over a 12 month period, regardless of the amount of time over which the infrastructure improvement costs were incurred. (2) Provides that a utility may not recover through an infrastructure improvement charge any infrastructure improvement costs that are recovered by the utility through contributions in aid of construction. (3) Provides that when an eligible utility files a petition for an adjustment amount with the Indiana utility regulatory commission (IURC), the office of utility consumer counselor (OUCC) may examine information of the eligible utility, limited to confirming: (A) that the infrastructure improvements for which recovery is sought are eligible for cost recovery under the statute; and (B) the proper calculation of the proposed adjustment amount. (Existing law provides that the OUCC may examine the information of an eligible utility to confirm these matters, but does not specify that the OUCC's examination is limited to the confirmation of these matters.) (4) Provides that if the IURC finds that an eligible utility's proposed adjustment amount has not been calculated correctly, the IURC shall: (A) provide the correct calculation of the adjustment amount; and (B) allow the eligible utility to implement the corrected adjustment amount. (5) Amends the factors that the IURC may consider in determining the amount of allowable recovery of infrastructure improvement costs for a municipally owned utility or a not-for-profit utility to provide that the IURC may consider other expenses that the IURC considers appropriate, including money for the payment of any taxes that may be assessed against: (A) a municipally owned utility; or (B) a not-for-profit utility or its property; as applicable. (6) Specifies that in the case of a municipally owned utility or not-for-profit utility, the statute's cap limiting total adjustment revenues to 10% of an eligible utility's approved base revenue level applies over the course of each 12 month recovery period. (7) Amends the statute's provisions requiring an eligible utility to reconcile the difference between adjustment revenues and infrastructure improvement costs as follows: (A) Specifies that the reconciliation must occur at the end of each 12 month recovery period. (B) Provides that in the case of a municipally owned utility or a not-for-profit utility, the adjustment amount shall be reset to zero after all previously approved infrastructure improvement costs have been collected.

Provides that it is the continuing policy of the state that decisions concerning Indiana's electric generation resource mix, energy infrastructure, and electric service ratemaking constructs must take into account the following attributes of electric utility service: (1) Reliability. (2) Affordability. (3) Resiliency. (4) Stability. (5) Environmental sustainability. Requires the Indiana utility regulatory commission (IURC) to take each of these attributes into account when: (1) reviewing, and preparing a final director's report for, an integrated resource plan submitted by an electric utility; (2) acting upon a petition for the construction, purchase, or lease of an electric generation facility; and (3) reviewing whether the public convenience and necessity continues to require the completion of an electric generation facility under construction. Requires the IURC to commence before September 1, 2023, a comprehensive study to consider the appropriate: (1) design and framework for; and (2) requirements with respect to; performance based ratemaking for investor-owned electricity suppliers. Sets forth certain topics that the IURC shall consider and evaluate in conducting the required study. Requires the IURC to include in its annual report that is due before October 1, 2025, a report containing the IURC's analysis and recommendations on the specified topics. Provides that the report must contain recommendations, supported by sufficient data and analysis from the IURC's study, with respect to the appropriate: (1) design and framework for; and (2) requirements with respect to; performance based ratemaking for electricity suppliers, so as to enable the general assembly to fully evaluate the impact of performance based ratemaking on all classes of ratepayers, while considering the five attributes of electric utility service set forth as state policy in the bill. Amends the statute governing reliability adequacy metrics for certain electric utilities ("public utilities" under the statute) as follows: (1) Defines the terms: (A) "fall unforced capacity", or "fall UCAP"; and (B) "spring unforced capacity", or "spring UCAP"; for purposes of the prescribed reliability adequacy metrics. (2) Reduces to 15% the 30% limit (under current law) for a public utility's summer or winter unforced capacity (UCAP) that the public utility is authorized to acquire from capacity markets, for purposes of the reliability adequacy metrics included in a resource planning report (report) submitted to the IURC after June 30, 2023. (3) Provides that the reliability metrics included in a report submitted to the IURC after June 30, 2026, must include specified information concerning a public utility's ability to meet its spring UCAP and fall UCAP. (4) Provides that if, after reviewing a public utility's report, the IURC is not satisfied that the public utility can: (A) provide reliable electric service to its Indiana customers; or (B) either: (i) satisfy both its planning reserve margin requirement or other federal reliability requirements and the reliability adequacy metrics set forth in the bill; or (ii) provide sufficient reason as to why it is unable to satisfy both its planning reserve margin requirement or other federal reliability requirements and the reliability adequacy metrics set forth in the bill; the IURC may conduct an investigation into the matter. (Current law does not require the IURC to consider whether the public utility can provide sufficient reason as to its inability to satisfy both its planning reserve margin requirement or other federal reliability requirements and the reliability adequacy metrics set forth in the bill.) (5) Requires the IURC to include in its 2025 annual report its analysis regarding the appropriate percentage or portion of: (A) total spring UCAP; and (B) total fall UCAP; that public utilities should be authorized to acquire from capacity markets.

Amends the Indiana Code provision concerning a system of accounting for public utilities to provide the following: (1) That a public utility, municipally owned utility, or not-for-profit utility may defer for consideration by the Indiana utility regulatory commission (IURC) and for future recovery costs incurred or to be incurred in a regulatory asset, to the extent that the specific costs are incremental and are not otherwise already included for recovery in the utility's rates. (2) That preapproval of the IURC is not required for the creation of a regulatory asset. (3) That a public utility, municipally owned utility, or not-for-profit utility may recover through the utility's rates over a reasonable period, as determined by the IURC, costs that are: (A) deferred under these provisions; and (B) found to be reasonable and prudent by the IURC. Amends the Indiana Code provision concerning a public utility's depreciation account and depreciation rates to provide the following: (1) That depreciation rates shall be calculated to recover a reasonable estimate of the future cost of removing retired assets of the public utility. (2) That in a proceeding in which the costs of a capital asset are being recognized for ratemaking purposes, a public utility may account for any asset retirement obligations and recover, through rates charged to customers, reasonably and prudently incurred costs associated with asset retirement obligations, to the extent the specific asset retirement obligation costs are incremental and have not been included in depreciation rates. (3) That the IURC shall make changes in a public utility's depreciation rates as necessary to reflect changes in: (A) the public utility's estimated asset retirement costs, including all reasonable and prudent costs of removing retired assets; and (B) the estimated retirement dates of the public utility's assets. Amends the Indiana Code chapter concerning federally mandated requirements for energy utilities to specify that recovery of the 80% of IURC-approved federally mandated costs that an energy utility may recover through a rate adjustment mechanism must commence no earlier than: (A) the date of a final agency action regarding the federally mandated requirement; or (B) in the absence of a final agency action, the date on which the federally mandated requirement becomes effective.

Changes the rated electric generating capacity from 350 megawatts to 470 megawatts for purposes of the definition of "small modular nuclear reactor" as used in the statutes concerning: (1) certificates of public convenience and necessity issued by the Indiana utility regulatory commission for the construction, lease, or purchase of electric generation facilities; and (2) financial incentives for energy utilities that invest in clean energy projects. Makes a technical correction.