LOUISIANA PUBLIC SERVICE COMMISSION
DRAFT SPECIAL ORDER NO. XX-2020
LOUISIANA PUBLIC SERVICE COMMISSION,
EX PARTE
______________________________________________________________________________
In Re: Discussion and possible vote to ratify Executive Order dated March 13, 2020 and adopt
Draft Special Order
(Decided at the Commission’s Business and Executive Session held April 29, 2020)
I.

OVERVIEW

The Louisiana Public Service Commission, through the authority designated to the
Executive Secretary in General Order dated November 3, 2005 (“11/3/05 G.O.”), issued Executive
Order dated March 13, 2020 (“3/13/20 E.O.”) in response to the COVID-19 pandemic.
Specifically, 3/13/20 E.O. prohibits/suspends the disconnection of customers of Commissionjurisdictional public utilities for non-payment of service, with exceptions only when public safety
concerns unrelated to non-payment require disconnection.
II.

JURISDICTION

The jurisdiction of the Commission is set forth by the Louisiana Constitution, Article IV,
Section 21, which provides as follows:
The Commission shall regulate all common carriers and public
utilities and have such other regulatory authority as provided by law.
It shall adopt and enforce reasonable rules, regulations, and
procedures necessary for the discharge of its duties, and shall have
other powers and perform other duties as provided by law.
Consistent with this constitutional grant of rulemaking authority, the Commission adopted the
11/3/05 G.O., which grants the Commission’s Executive Secretary authority, in certain emergency
situations, to issue executive orders providing exceptions to Commission regulations. Specifically,
the General Order provides the Secretary,
limited authority to make temporary exceptions to Commission
rules and/or orders during a state of emergency in Louisiana
declared by the Governor of the State of Louisiana and/or President
of the United States and after approval of the requested action by the
Chairman of the Commission, or Vice Chairman of the Commission
if the Chairman is unavailable.
The 11/3/05 G.O. further provides that an executive order issued consistent therewith is to be
addressed at the next Commission open session.
On March 11, 2020, Governor John Bel Edwards declared a statewide public health
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 emergency, by issuance of Proclamation 25 JBE 2020. The 3/13/20 E.O. was issued shortly
thereafter, and its prohibition against the disconnection of Commission-jurisdictional services
remains in place.
III.

TERMINATION OF EXECUTIVE ORDER DATED MARCH 13, 2020
AND ADOPTION OF ADDITONAL MEASURES

Louisiana remains under the declaration of a statewide health emergency, and many of the
associated restrictions that triggered the 3/13/20 E.O. remain in place. Nonetheless, both the State
and Federal government have initiated discussions and protocols that provide a path forward, and
outline when certain restrictions currently imposed may be relaxed. Specifically, the “Opening Up
America Again” guidelines adopt a three-phased approach to removing the restrictions currently
in place.1 Beginning with “Phase II,” many businesses, schools, and other entities will be able to
reopen, and assume practices similar to those before the pandemic. Best practices would dictate
that the Commission and its jurisdictional-utilities continue to provide relief and assistance
opportunities to ratepayers until “Phase II” is achieved in Louisiana; however, the Commission
must also acknowledge that continuing these prohibitions will potentially impose financial impacts
on the regulated utilities. Accordingly, the Commission adopts the following protocols.
A. March 13, 2020 Executive Order Termination and Extension of Disconnection Prohibition
While the 3/13/20 E.O. is hereby terminated and superseded by this Special Order, the
prohibitions against disconnection/suspension of services for non-payment, except when the
public health warrants such disconnection, shall remain in place until the State of Louisiana enters
“Phase II” of the Opening Up America Again guidelines, or unless terminated earlier by the
Commission. Commencing with the first billing cycle following the State of Louisiana entering
“Phase II,” all Public Utilities subject to the jurisdiction of the Commission may commence
disconnection procedures for non-payment of outstanding principal balances on services rendered
after the State enters “Phase II.” Such disconnection procedures shall be according to the protocols
outlined in Commission General Orders dated February 20, 1973, July 12, 1976, and October 11,
2019. A utility may not disconnect a customer after entering “Phase II” for non-payment of the
arrears accumulated since the 3/13/20 E.O. was put in place, until three months after Louisiana
enters “Phase II” of the Opening Up America Again guidelines.
Furthermore, no interest shall accrue on arrearages for services incurred by a customer due
to the 3/13/20 E.O. disconnection prohibition.
This Order does not eliminate the requirement that ratepayers continue to pay their utility
bills during this suspension. Customers should continue paying their bills if they are able, and
should understand they will ultimately be responsible for the charges incurred during this
suspension of disconnection period.

1

https://www.whitehouse.gov/openingamerica/ This link provides an overview of the three-phased approach,
including the initial gating criteria, as well as the criteria to move to each phase, and what each phase entails.
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 B. Applicability of Late Payment fees/charges/penalties
All Public Utilities subject to the jurisdiction of the Commission may commence assessing
late payment fees/charges/penalties, according to the protocols outlined in Commission General
Order dated July 12, 1976, on outstanding principal balances for services rendered after the Phase
II date to customers not timely paying utility bills. Unpaid balances accrued between the 3/13/20
E.O.’s inception and the date “Phase II” is implemented shall not be subject to late fees.
C. Notification to Customers and Time Period for Recovery of Past Due Balances
Utilities should make reasonable efforts, to personally contact and helpfully educate their
delinquent customers on payment options while still encouraging payment. All public utilities
subject to the jurisdiction of the Commission shall, first and primarily by way of personal phone
call, and in writing, notify delinquent customers of the following: 1) the termination of the
disconnect prohibition when Phase II protocols are implemented; 2) the delinquent customer’s
outstanding principal balance and their obligation to pay their outstanding balance; and 3) the
existence of a payment plan and other utility-specific options that allow a delinquent customer to
pay outstanding principal balances. Though other payment options may also be offered to each
customer, the utility shall discuss and make available to each customer in arrears a levelized billing
plan that allows payback of all amounts in arrears by equal, affordable monthly payments over an
extended period. The failure of the public utility to be able to contact a customer by telephone
after a good faith effort to do so shall not excuse the customer from the obligation to pay all
amounts due or affect the utilities right to disconnect in accordance with this order.
No interest shall accrue on payment plans for arrearages for services incurred by a customer
due to the 3/13/20 E.O.
D. Payment Plans for Recovery of Past Due Balances
Utilities shall continue to work with and provide payment plan options, levelized billing
options, etc. to those customers who have outstanding principal balances on bills rendered prior to
Phase II, and those rendered subsequent to Phase II. While no specific timelines for payment plans
are established herein, utilities are encouraged to provide reasonable, customer-specific payment
arrangements and options. At a later B&E, utilities will be required to report to the Commission
their efforts and action plans that were implemented to assist their customers during this time.
E. Utility Recovery of Costs
All Public Utilities subject to the jurisdiction of the Commission are hereby authorized to
record, for accounting purposes, expenses incurred from the suspension of disconnections and
collection of late fees imposed by both the 3/13/20 E.O. and this Order.
Additionally, all Public Utilities are entitled to formally petition the Commission to
recover, at a later date, actual revenues lost as a result of the effect of the 3/13/20 E.O. and this
Order, including administrative costs and expenses associated with the customer notification and
no recovery of interest, returns or profits shall be included in any such request. Such a request will
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 be subject to Commission review and approval, and the Commission is not by this Order creating
an obligation to allow recovery of any such requests. A Public Utility may request the method
whereby it seeks such recovery (e.g. rate filing, annual review, request for asset) and may request
such recovery on a dollar for dollar basis as limited by this paragraph and Order.
F. Customer Deposit Credit
All Public Utilities subject to the jurisdiction of the Commission are hereby required to
offer the option for qualifying customers to receive a one-time credit in the amount of the
customer’s utility deposit being held by the utility. A “qualifying customer” for the purpose of
this section is a customer who is in good standing with their utility such that they have paid utility
bills continuously for six months prior to the 3/13/20 E.O. Customers who have at any point
already received their utility deposit back from their utility do not qualify and would not receive
an additional credit.
IV.

COMMISSION CONSIDERATION

Commission Special Order No. XX-2020 was presented for consideration by the Commission at
the April 29, 2020 Business and Executive Session, with Staff recommending its adoption. On
motion of Commissioner ________, seconded by Commissioner ________, and unanimously
adopted, the Commission voted to adopt the draft Special Order.
IT IS THEREFORE ORDERED THAT:
1. Louisiana Public Service Commission Executive Order dated March 13, 2020, is
hereby terminated as outlined herein.
2. This Special Order No. XX-2020 is hereby adopted by the Commission.
3. This Order shall be effective immediately.
BY ORDER OF THE COMMISSION
BATON ROUGE, LOUISIANA
April XX, 2020

Special Order XX-2020
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