ARC 0376D

ARC 0376D

UTILITIES COMMISSION[199]

Notice of Intended Action

Proposing rulemaking related to uniform rules on agency procedure
and providing an opportunity for public comment

    The Utilities Commission hereby proposes to amend Chapter 1, “Organization and Operation”; to rescind Chapter 7, “Practice and Procedure”; and to adopt new Chapter 2505, “Fair Information Practices,” and Chapter 2506, “Contested Cases,” Iowa Administrative Code.

Legal Authority for Rulemaking

    This rulemaking is proposed under the authority provided in Iowa Code chapter 17A and sections 474.5 and 476.2.

State or Federal Law Implemented

    This rulemaking implements, in whole or in part, Iowa Code chapter 17A.

Purpose and Summary

    Effective January 13, 2026, the Administrative Rules Coordinator adopted the new Uniform Rules on Agency Procedure, including procedures for contested cases (7—Chapter 2506), which are effective for any agency that does not have existing rules covering the subject matter of that uniform rule. The current Commission rules that govern contested cases, as shown in Chapter 7, have been specifically curated over many years and continuous engagement between the Commission and stakeholders. Prior to Executive Order 10, the Commission had a standard five-year rolling chapter review schedule, which included stakeholder engagement. The stakeholder engagement remained as the Commission’s contested case rules were reviewed again during the Executive Order 10 process. The area of utility regulates the type of cases (dockets) that come before the Commission that require specialty rules, as utility regulation is complex and specific in nature. The Uniform Rules on Agency Procedure were drafted for agencies with presiding officers who conduct hearings and handle other prehearing matters, which is not how the Commission is statutorily configured pursuant to Iowa Code section 474.1. (The Commission is a quasijudicial agency with three Commissioners who make policy and adjudicate the matters that come before the Commission). These complex matters and procedures include detailed filings and the need for expert witnesses, which utilize prefiled testimony and exhibits and extensive discovery that can last up until the time of hearing. By retaining the Commission’s contested case rules, stakeholders who come before the Commission are able to continue using the rules stakeholders have spent time in helping develop. This will allow stability within the utility sector because the stakeholders know what is expected when the parties/stakeholders file with the Commission, the time frame for motions/answers, the time frame for intervention, and the expectation for discovery will all remain the same; as will the myriad of other concerns expressed by stakeholders during discussions of the Uniform Rules on Agency Procedure. The Commission is appreciative of the Administrative Rules Coordinator’s agreement to the opt-out request for the contested case rules.

    Similarly, rule 199—1.7(22) covers how the Commission handles requests for confidential treatment/open records. While not granted opt-out privileges for fair information practices, the Commission was allowed by the Administrative Rules Coordinator to include two additional provisions to Chapter 2505. These are subrule 2505.5(4) for compliance and rule 199—2505.9(17A,22) for a laundry list of items that automatically receive confidential treatment. The Commission receives numerous requests for confidential treatment due to the utility regulatory environment. The Commission’s rule is the result of collaboration with industry and offers an efficient and predictable way to handle the requests. By adding these additional rules, the Commission is able to adopt the Uniform Rules on Agency Procedure while maintaining its current practices. This allows the utility stakeholders to continue with the known standard leading to a more predictable process for the handling of confidential treatment requests.

    Due to the continuous stakeholder engagement, streamlined processes, and niche regulatory environment, the Commission was granted opt-out permission from the Administrative Rules Coordinator for the uniform rule regarding contested cases. To be consistent with other executive agencies, the Commission’s contested cases chapter will be renumbered to 199—Chapter 2506. To be consistent with the Uniform Rules on Agency Procedure, this subrule and rule will be numbered 199—subrule 2505.5(4) and rule 199—2505.9(17A,22).

Fiscal Impact

    This rulemaking has no fiscal impact to the State of Iowa.

Jobs Impact

    After analysis and review of this rulemaking, no impact on jobs has been found.

Waivers

    No waiver provision is included in the proposed amendments because the Commission has a general waiver provision in rule 199—1.3(17A,474,476) that provides procedures for requesting a waiver of the rules in these chapters.

Public Comment

     Any interested person may submit written or oral comments concerning this proposed rulemaking, which must be received by the Commission no later than 4:30 p.m. on July 14, 2026. Comments should be directed to:

Public Hearing

     No public hearing is scheduled at this time. As provided in Iowa Code section 17A.4(1)“b,” an oral presentation regarding this rulemaking may be demanded by 25 interested persons, a governmental subdivision, the Administrative Rules Review Committee, an agency, or an association having 25 or more members.

Review by Administrative Rules Review Committee

    The Administrative Rules Review Committee, a bipartisan legislative committee which oversees rulemaking by executive branch agencies, may, on its own motion or on written request by any individual or group, review this rulemaking at its regular monthly meeting or at a special meeting. The Committee’s meetings are open to the public, and interested persons may be heard as provided in Iowa Code section 17A.8(6).

Emergency Rulemaking Adopted by Reference

    This proposed rulemaking is also published herein as an Adopted and Filed Emergency rulemaking (see ARC 0375D, IAB 06/24/26). The purpose of this Notice of Intended Action is to solicit public comment on that emergency rulemaking, whose subject matter is hereby adopted by reference.