Senate Bill 360 Alabama 2026 Session

Summary

Primary Sponsor

Clyde ChamblissSenator

Republican

Session

2026 Regular Session

Title

Public Service Commission; number of commissioners expanded to represent congressional districts, phase-in by election provided, term of office revised, position of Secretary of Energy established as cabinet member, calculation of electric utility rates revised

Summary

SB360 would reshape Alabama's Public Service Commission by expanding to seven district-based commissioners, creating a Secretary of Energy to run the PSC, and reforming electric rate setting.

What This Bill Does

It expands the PSC from three at-large members to seven commissioners, each representing a congressional district, with phased elections and six-year terms. It creates the Secretary of Energy as a cabinet member who directs the PSC and manages its staff. It delays base electric rate increases until 2029 and restricts certain costs (such as grants, lobbying, and advertising) from being included in rate calculations after 2029, requiring utilities to affirm compliance or have rate plans voided. It also requires at least one public meeting each year to discuss costs, reliability, and infrastructure, increasing public transparency and participation.

Who It Affects

• Electric utilities regulated by the Public Service Commission (rate-setting changes and new cost restrictions)
• Ratepayers/consumers (potential for more stable rates and greater transparency)
• PSC commissioners and the Secretary of Energy (new structure, duties, ethics rules)
• Governor and state legislative leaders (new appointment process and governance)
• Public and advocacy groups (better access to information and participation in meetings)

Key Provisions

• Expands PSC to seven commissioners, each from a congressional district, with phased implementation and six-year terms; initial four commissioners appointed by the Governor from three-name lists submitted by the Lt. Governor, Speaker, and President Pro Tempore.
• Creates the Secretary of Energy as a PSC administrator and cabinet member; appointed by the Governor; responsible for directing PSC activities, setting meeting agendas, overseeing PSC staff, and adhering to ethics laws and merit system rules.
• Imposes ethics and conflict rules on commissioners and the Secretary of Energy; prohibits certain relationships and prohibits commissioners or secretary from providing paid services to public utilities during tenure; utilities are restricted from contributing to PSC candidates; requires compliance with ethics laws.
• Prohibits electric base rate increases before June 1, 2029; after that date, prevents utilities from including certain costs (grants, lobbying, advertising except public-safety advertising approved by the PSC) in rate calculations; utilities must affirm non-inclusion, or rates are void and subject to investigation by the PSC.
• Requires at least one public meeting per calendar year with utility representatives to discuss cost trends, reliability, infrastructure investment, and other regulatory issues; meetings must be accessible to the public and allow participation.
• Makes conforming changes to relevant Alabama Code sections to reflect the new structure, repeals the old PSC commissioner section, and sets an effective date of June 1, 2026; leadership of the PSC (president, vice-president) to be elected among commissioners starting in 2028.
• Establishes vacancy rules and appointment processes for new and filling commissioners, including a three-name list process for filling vacancies and phased election scheduling through 2030.
• Introduces the Power to the People Act concept, aligning public oversight and accountability with the PSC's expanded role and new governance structure.

AI-generated summary using openai/gpt-5-nano-2025-08-07 on Mar 10, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Telecommunications & Utilities