Reglas sobre gastos en la regulación del agua y alcantarillado

(g) The regulatory authority may promulgate reasonable rules and regulations with respect to the allowance or disallowance of certain expenses for ratemaking purposes. (h) The regulatory authority may not include for ratemaking purposes: (1) legislative advocacy expenses, whether made directly or indirectly, including legislative advocacy expenses included in trade association dues; (2) costs of processing a refund or credit under this subchapter; or (3) any expenditure found by the regulatory authority to be unreasonable, unnecessary, or not in the public interest, including executive salaries, advertising expenses, legal expenses, and civil penalties or fines. (i) Water and sewer utility property in service that was acquired from an affiliate or developer before September 1, 1976, and that is included by the utility in its rate base shall be included in all ratemaking formulas at the installed cost of the property rather than the price set between the entities. Unless the funds for this Statute text rendered on: 1/1/2024 - 424 - WATER CODE property are provided by explicit customer agreements, the property is considered invested capital and not contributions in aid of construction or customer-contributed capital. (j) Depreciation expense included in the cost of service includes depreciation on all currently used, depreciable utility property owned by the utility except for property provided by explicit customer agreements or funded by customer contributions in aid of constr