6. Required Fee on Debt Authority
When we authorize a utility to issue debt, the Commission is required to charge and collect a fee in accordance with Code § 1904(b).4 The following table shows the calculation of the fee that California American must pay for the additional $35,000,000 in borrowing capacity authorized by this decision.
Code § 1904(b) Fee | ||
Rate and Formula |
Amount | |
Fee on First $1 Million |
$2 per $1,000 ($1,000,000/$1,000) x $2 |
$ 2,000 |
Fee on $2-$10 Million |
$1 per $1,000 ($9,000,000/$1,000) x $1 |
$ 9,000 |
Fee on $25 million |
$0.50 per $1000 ($25,000,000/1000) x $0.50 |
$12,500 |
Total Fee on $35 million |
$23,500 | |
4 For a certificate authorizing an issue of bonds, notes, or other evidences of indebtedness, two dollars ($2) for each one thousand dollars ($1,000) of the face value of the authorized issue or fraction thereof up to one million dollars ($1,000,000), one dollar ($1) for each one thousand dollars ($1,000) over one million dollars ($1,000,000) and up to ten million dollars ($10,000,000), and fifty cents ($0.50) for each one thousand dollars ($1,000) over ten million dollars ($10,000,000), with a minimum fee in any case of fifty dollars ($50). No fee need be paid on such portion of any such issue as may be used to guarantee, take over, refund, discharge, or retire any stock, bond, note or other evidence of indebtedness on which a fee has, theretofore, been paid to the Commission. If the Commission modified the amount of the issue requested in any case and the applicant thereupon elects not to avail itself of the Commission's authorization, no fee shall be paid, and if such fee is paid prior to the issuance of such certificate by the Commission, such fee shall be returned.
