Wash. Rev. Code » Title 80 · Chapter 80.16
Revised Code of Washington

Wash. Rev. Code § 80.16.030 (2025)

Payments to affiliated interest disallowed if not reasonable

✓ laws through the 2025 session: 2026 session laws are not yet included
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In any proceeding, whether upon the commission's own motion or upon complaint, involving the rates or practices of any public service company, the commission may exclude from the accounts of the public service company any payment or compensation to an affiliated interest for any services rendered or property or service furnished, as described in this section, under existing contracts or arrangements with the affiliated interest unless the public service company establishes the reasonableness of the payment or compensation. In the proceeding the commission shall disallow the payment or compensation, in whole or in part, in the absence of satisfactory proof that it is reasonable in amount. In such a proceeding, any payment or compensation may be disapproved or disallowed by the commission, in whole or in part, if satisfactory proof is not submitted to the commission of the cost to the affiliated interest of rendering the service or furnishing the property or service described in this section.
[ 1998 c 47 s 2; 1961 c 14 s 80.16.030. Prior: 1933 c 152 s 3; RRS s 10440-3.]
Notes of Decisions
Cited in 4 cases, 1997–2007 · leading case: US West Commc'ns, Inc. v. Utils. & Transp. Comm'n, 949 P.2d 1337 (Wash. 1997).
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US West Commc'ns, Inc. v. Utils. & Transp. Comm'n, 949 P.2d 1337 (Wash. 1997). · cites it 2× “Furthermore, RCW 80.16.030 authorizes the Commission to disallow unreasonable compensation to an affiliated company for purposes of rate making.”
Qwest Corp. v. Wash. Util. & Transp. Com'n, 166 P.3d 732 (Wash. Ct. App. 2007). “¶ 26 In Puget Sound Energy, an order from WUTC regarding approval of agreements between PSE and its subsidiary, WUTC merely drew a distinction between its sources of authority to review transactions between parents and subsidiaries ("general rate-making authority") and…”
Qwest Corp. v. Washington Utils. & Transp. Comm'n, 140 Wash. App. 255 (Wash. Ct. App. 2007). “¶26 In Puget Sound Energy, an order from WUTC regarding approval of agreements between Puget Sound Energy and its subsidiary, WUTC, merely drew a distinction *266 between its sources of authority to review transactions between parents and subsidiaries (“general rate-making…”
US West v. Utils. & Transp. Com'n, 949 P.2d 1337 (Wash. 1998). · cites it 2× “Furthermore, RCW 80.16.030 authorizes the Commission to disallow unreasonable compensation to an affiliated company for purposes of ratemaking.”
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