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Committee advances bill barring shutoffs while utilities are under investigation

Senate Standing Committee on Energy and Telecommunications · March 24, 2026
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Summary

S.904B, sponsored by Senator Gonzales, would prohibit utilities from disconnecting service while under investigation and bar late fees or penalties for 120 days after an investigation concludes; members debated how PSC investigations are triggered and what complaints qualify.

Senator Gonzales introduced S.904B, which would prevent utility companies from terminating service while they are the subject of an investigation and would bar late fees or penalties for 120 days after the investigation concludes. "We have so many constituents that are dealing with affordability issues," the sponsor said, asking for consumer protections when utilities are under formal review.

Senator Wolczyk questioned whether utilities would be barred from shutoffs even if an investigation ultimately found in the utility's favor and sought clarity on how an investigation is initiated. Sponsor Gonzales and staff explained the Public Service Commission (PSC) must determine whether complaints are plausible and worth investigating; staff also clarified the bill excludes commission inquiries triggered by an individual customer complaint and does not convert every customer call into a formal investigation.

Committee members discussed statutory thresholds: some read Section 71 as requiring investigation upon written complaints from a specified number of customers, while staff and other members said the PSC applies discretion and some proceedings (for example, rate cases) are explicitly excluded. The sponsor reiterated that if the PSC ultimately finds the utility acted appropriately, the customers still must pay any amounts due, but protections should apply while investigations proceed.

The committee moved S.904B to third reading. The transcript records detailed member questions about triggers for PSC investigations and the bill's carve-outs.