Sec. 1. 35-A MRSA §116, sub-§1, as amended by PL 2001, c. 136, §1, is further amended to read:

1. Utilities subject to assessments. Every transmission and distribution, gas, telephone and water utility and ferry subject to regulation by the commission is subject to an assessment on its intrastate gross operating revenues to produce that produces no more than $4,918,000 $5,505,000 in revenues annually. The commission shall increase the assessment to produce an additional $318,000 during fiscal year 2001-02 and an additional $587,000 during fiscal year 2002-03. The commission shall assess transmission and distribution utilities at a rate sufficient to produce $3,370,000 $3,772,000 and shall assess all other utilities at a rate sufficient to produce $1,548,000 $1,733,000. The commission shall increase the assessment of transmission and distribution utilities to produce an additional $218,000 during fiscal year 2001-02 and an additional $402,000 during fiscal year 2002-03. The commission shall increase the assessment of all other utilities to produce an additional $100,000 during fiscal year 2001-02 and an additional $185,000 during fiscal year 2002-03. The commission shall base the assessment for each transmission and distribution utility on the pro rata share of each utility's intrastate gross operating revenues.__The commission shall determine the percent revenue assessment required from each gas, telephone, water and ferry utility group based on the pro rata share of the intrastate gross operating revenues from each respective utility group.__The commission shall determine the assessment for each individual gas, telephone and ferry utility based on the pro rata share of each utility's intrastate gross operating revenue pursuant to the percent revenue assessment determined for each respective utility group.__The commission shall determine the assessment for each individual water utility based on the pro rata share of the utility's metered water sales in thousands of gallons sold pursuant to the percent revenue assessment determined for each respective utility group. The commission shall determine the assessments annually prior to May 1st and assess each utility for its pro rata share for expenditure during the fiscal year beginning July 1st. Each utility shall pay the assessment charged to the utility on or before July 1st of each year. Any increase in the assessment that becomes effective subsequent to May 1st may be billed on the effective date of the act authorizing the increase.

A. The assessments charged to utilities under this section are just and reasonable operating costs for rate- making purposes.