Ohio Code § 4929.111

§ 4929.111.

(A) A natural gas company may file an application with the public utilities commission

under section 4909.18 , 4929.05 , or 4929.11 of the Revised Code to implement a capital expenditure program for any of the following: (1) Any infrastructure expansion, infrastructure improvement, or infrastructure replacement

program; (2) Any program to install, upgrade, or replace information technology systems; (3) Any program reasonably necessary to comply with any rules, regulations, or orders

of the commission or other governmental entity having jurisdiction. (B) An application submitted under division (A) of this section shall specify the total

cost of the capital expenditure program. (C) If the commission finds that the capital expenditure program is consistent with the

natural gas company's obligation under section 4905.22 of the Revised Code to furnish necessary and adequate services and facilities, which services and facilities

the commission finds to be just and reasonable, the commission shall approve the application.  Any deferral or recovery authorized under division (D) of this section shall be

limited to amounts that are no greater than those consistent with the total cost of

the capital expenditure program as set forth in the application, unless the commission

in its discretion authorizes additional recovery under this section. (D) In approving an application under division (C) of this section, the commission shall

authorize the natural gas company to defer or recover in an application that the natural

gas company may file under section 4909.18 , 4929.05 , or 4929.11 of the Revised Code , both of the following: (1) A regulatory asset for the post-in-service carrying costs on that portion of the

assets of the capital expenditure program that are placed in service but not reflected

in rates as plant in service; (2) A regulatory asset for the incremental depreciation directly attributable to the

capital expenditure program and the property tax expense directly attributable to

the capital expenditure program. (E) A natural gas company shall not request recovery of the costs described in division

(D) of this section under section 4929.05 or 4929.11 of the Revised Code more than one time each calendar year. (F) The natural gas company may make any accounting accruals, necessary to establish

the regulatory assets authorized under division (D) of this section, in addition to

any allowance for funds used during construction. (G)(1) Any accrual for deferral or recovery under division (D) of this section shall be

calculated in accordance with the system of accounts established by the commission

under section 4905.13 of the Revised Code . (2) The natural gas company shall calculate the post-in-service carrying costs, described

in division (D)(1) of this section, for every investment in an asset of the capital

expenditure program.  This calculation shall be based on the cost of long-term debt of the natural gas

company. (H) Any accruals for deferral or recovery under division (D) of this section shall commence

when the assets of the capital expenditure program are placed in service and shall

cease when rates reflecting the cost of those assets are effective.