Bills · H.R. 10468 · Text
Introduced in House
Confirmed from the official record
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[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 10468 Introduced in House (IH)]
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119th CONGRESS
2d Session
H. R. 10468
To provide financial and technical assistance to State utility
commissions to improve the oversight and regulation of energy utilities
and ensure the provision of safe and reliable energy utility services
at just and reasonable rates, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
September 16, 2026
Mr. Tonko introduced the following bill; which was referred to the
Committee on Energy and Commerce
_______________________________________________________________________
A BILL
To provide financial and technical assistance to State utility
commissions to improve the oversight and regulation of energy utilities
and ensure the provision of safe and reliable energy utility services
at just and reasonable rates, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``State Energy Oversight Act of
2026''.
SEC. 2. STATE ENERGY OVERSIGHT PROGRAM.
(a) Establishment.--The Secretary shall establish a program to
provide financial and technical assistance to States and other entities
to support State utility commissions and other State agencies in the
oversight and regulation of the provision of safe and reliable electric
service and natural gas service at just and reasonable rates.
(b) Eligible Uses of Financial Assistance by States.--Financial
assistance made available to a State under the program established
under subsection (a) may be used to--
(1) improve the technical and administrative capacities and
capabilities of a State utility commission, which may include--
(A) supporting data collection and access to
existing datasets, modeling, including access to
modeling software and subscriptions utilized by energy
utilities, and analysis in rate cases and other
proceedings before the State utility commission;
(B) hiring, training, and retaining staff of the
State utility commission for the purposes of conducting
work of a scientific, technical, engineering,
mathematical, legal, accounting, or otherwise highly
specialized or skilled nature; and
(C) conducting analysis of energy affordability
within the State, including participation in energy
affordability programs, the percentage of gross
household income spent on costs of electric service and
natural gas service, and the financial impacts of such
costs by income level and energy usage;
(2) improve transparency of and participation in rate cases
and other proceedings before the State utility commission,
including by supporting--
(A) public education;
(B) improved notification of potentially interested
parties of State utility commission activities;
(C) promotion of well-defined, public timelines and
deadlines for rate cases and other proceedings before
the State utility commission; and
(D) administration of an office of public
participation or other activities to support broader
participation and awareness of rate cases and other
proceedings before the State utility commission;
(3) support administration of an independent public
advocate with the expertise and authority to intervene in rate
cases and other proceedings before the State utility commission
on behalf of residential and small business energy utility
customers, which may include improving the technical capacities
and capabilities of such advocates, and such an advocate may be
administered--
(A) as an independent State agency;
(B) within the office of the State's attorney
general;
(C) as an independent office within the State
utility commission; or
(D) as an independent nonprofit organization
selected by the State;
(4) support administration of an intervenor funding program
to encourage participation of individuals and nonprofit
organizations representing the interests of residential and
small business energy utility customers in rate cases and other
proceedings before the State utility commission, which may
include improving the technical capacities and capabilities of
such individuals and nonprofit organizations;
(5) develop and implement alternatives to existing rate
design structures, which may include--
(A) energy affordability programs, including
percentage-of-income payment programs and arrears
management programs; and
(B) rate structures that better align energy
utility incentives with customer outcomes, including
performance-based rate structures that may seek to
incentivize predetermined, measurable targets for peak
demand reduction, energy efficiency, customer
engagement and information access, affordability
(including reductions in arrears or disconnections),
customer enrollment in energy affordability or
efficiency programs, or public policy goals of the
State; and
(6) improve coordination among State agencies, energy
utilities, community action agencies, and other relevant
organizations to reduce barriers for residential and small
business energy utility customers to access energy utility bill
assistance, weatherization assistance, and other incentive
programs.
(c) Allocation of Financial Assistance to States.--The Secretary
shall determine a formula to allocate financial assistance to States
under the program established under subsection (a), which may be--
(1) based on the population of each State, the amount of
energy used in each State, the price of energy in each State,
or the number of residential and small business energy utility
customers within each State determined to have a high
percentage of gross household income spent on energy utility
costs or otherwise struggling with energy affordability,
provided that each State receives not less than 1 percent of
funding made available under this section; or
(2) adopted from an existing formula utilized by the
Secretary to allocate financial assistance to States.
(d) Maintenance of Effort.--Each State receiving financial
assistance under the program established under subsection (a) shall
provide reasonable assurance to the Secretary that it has in effect
policies and procedures designed to assure that such financial
assistance will be used to supplement, and not to supplant, State and
other sources of funding for activities described in subsection (b).
(e) Reporting.--
(1) In general.--Each year, each State receiving financial
assistance under the program established under subsection (a)
shall report to the Secretary, at a time and in a manner
prescribed by the Secretary, the following information:
(A) The uses of financial assistance received under
such program, including how assistance has been used
to--
(i) improve the technical and
administrative capacities and capabilities of
the relevant State utility commission;
(ii) improve transparency of and
participation in rate cases and other
proceedings before the State utility
commission, including efforts to improve
outreach and engagement of residential and
small business energy utility customers;
(iii) support the administration of an
office of public participation;
(iv) support the administration of an
independent public advocate;
(v) support the administration of an
intervenor funding program; and
(vi) support the development of
alternatives to existing rate design
structures, including energy affordability
programs and performance-based rate structures.
(B) A description of energy utility rates within
the State, including average bills of electric service
and natural gas service for residential and small
business customers, disaggregated by rate class,
average delivery and supply costs, average fixed charge
costs, and authorized return on equity for each energy
utility regulated by the State utility commission.
(C) A description of the outcomes of recent rate
cases and other proceedings before the State utility
commission.
(D) A description of efforts to make public
hearings, workshops, and State utility commission
meetings, as well as the outcomes of such proceedings,
more accessible to residential and small business
energy utility customers.
(E) A description of the participation of public
advocates and other intervenors representing the
interests of residential and small business energy
utility customers in rate cases and other proceedings
before the State utility commission.
(F) Information on the availability and use of
incentives, arrears management programs, and other
programs administered by the State, energy utilities in
the State, or third-parties in the State to reduce the
percentage of gross household income residential and
small business energy utility customers spend on energy
utility costs within such State.
(2) Public availability.--
(A) Reports.--The Secretary shall ensure all
reports submitted by States under this subsection are
posted online and available to the public.
(B) Database.--Based on the reports required by
this subsection, the Secretary shall direct the
Administrator of the Energy Information Administration
to publish and maintain a national database of energy
utility rates, disaggregated by rate class, including
residential, commercial, industrial, and any other rate
class established by the relevant State utility
commission, that is updated not less than once per
year. The Administrator of the Energy Information
Administration shall, to the extent practicable,
coordinate with existing data collection efforts of the
Energy Information Administration to avoid duplication
of reporting burdens on States and energy utilities.
(3) Failure to report.--Upon determining that a State
receiving financial assistance under the program established
under subsection (a) has failed to fulfill the reporting
requirements of this subsection, the Secretary shall withhold
future assistance to be allocated to such State under such
program and redistribute future assistance to the remaining
States.
(f) Technical Assistance.--
(1) In general.--In carrying out the program established
under subsection (a), the Secretary shall provide information,
recommendations, best practices, and other forms of technical
assistance related to the consideration of rate cases, the
design of rate structures, the design and implementation of
energy affordability programs, and other matters that typically
come before a State utility commission, to States, State
utility commissions, energy utilities, and not-for-profit
entities that own or operate distribution or transmission
facilities to provide retail electric or natural gas services.
(2) Education and training of commissioners, commission
employees, and public advocates.--
(A) In general.--In carrying out the program
established under subsection (a), the Secretary may
provide financial assistance to nonprofit organizations
that have experience in providing educational and
training opportunities for State utility commission
commissioners, State utility commission employees, or
public advocates to support the development and
delivery of educational programs, curricula, workshops,
conferences, and other convenings to train State
utility commission commissioners, State utility
commission employees, or public advocates on issues
that may include rate case analysis, utility cost-of-
service and rate design studies, analysis of
appropriate return on equity, performance-based
ratemaking, energy affordability, grid modernization,
emerging energy technologies, and other issues that may
come before a State utility commission.
(B) Condition on assistance.--As a condition of
receiving financial assistance under this paragraph, a
nonprofit organization shall agree that any educational
program, curriculum, workshop, conference, or other
convening to be developed and delivered using such
assistance will be developed and delivered without
financial support from, or material direction or
editorial control by, any entity regulated by a State
utility commission, or by any trade association or
other representative of such an entity.
(3) Fellowship program.--In carrying out the program
established under subsection (a), the Secretary may provide
financial assistance for recent graduates of academic
institutions and energy professionals to temporarily work at
State utility commissions, State energy offices, and public
advocate offices to improve the technical and administrative
capacities and capabilities of such State utility commissions
and offices.
(4) Funding set-aside.--The Secretary shall set-aside 10
percent of funding made available under this section for the
purpose of carrying out this subsection.
(g) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section $50,000,000 for
each of fiscal years 2027 through 2031.
(h) Definitions.--In this section:
(1) Energy utility.--The term ``energy utility'' means--
(A) a State regulated electric utility; and
(B) a State regulated gas utility.
(2) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(3) State.--The term ``State'' means a State, the District
of Columbia, Puerto Rico, or any territory or possession of the
United States.
(4) State regulated electric utility.--The term ``State
regulated electric utility'' has the meaning given such term in
section 3(18) of the Public Utility Regulatory Policies Act of
1978 (16 U.S.C. 2602(18)).
(5) State regulated gas utility.--The term ``State
regulated gas utility'' has the meaning given such term in
section 302(3) of the Public Utility Regulatory Policies Act of
1978 (15 U.S.C. 3202(3)).
(6) State utility commission.--The term ``State utility
commission'' means--
(A) with respect to the regulation of a State
regulated electric utility, a State regulatory
authority (as defined in section 3(17) of the Public
Utility Regulatory Policies Act of 1978 (16 U.S.C.
2602(17))); and
(B) with respect to the regulation of a State
regulated gas utility, a State regulatory authority (as
defined in section 302(8) of the Public Utility
Regulatory Policies Act of 1978 (15 U.S.C. 3202(8))).
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