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HomePublic Utilities CodeDiv. 1Pt. 1Ch. 2.5Art. 1§ 404 Fee Recovery And Adjustment

§ 404 Fee Recovery And Adjustment

Public Utilities Code·California
AI Summary·Official Text·Key Terms·Related Statutes·References
AI SummaryVerified

§ 404 Fee Recovery And Adjustment

Key Takeaways

  • •Companies can add a fee to your bill to pay for government costs. This fee is like a small extra charge to help them follow the rules.
  • •The fee must be shown clearly on your bill so you know what you're paying for.
  • •The company collects this fee from you and then sends it to the government. They can't keep it for themselves.
  • •Special rules apply for fun activities like hot air balloon rides, river rafting, or skiing trips.

Example

You get your monthly phone bill, and there's a small extra charge labeled 'Government Fee' for $0.50.

The phone company adds this fee to your bill to cover costs they have to pay the government. They show it separately so you know it's not part of their regular service charge. They collect this fee from you and send it to the government later.

AI-generated — May contain errors. Not legal advice. Always verify source.

Official Source
View on CA.gov

§ 404 Fee Recovery And Adjustment

(a) All fees paid pursuant to this chapter, exclusive of any penalties for delinquency, shall be allowed by the commission in a separate order as an ordinary operating expense for purposes of establishing rates or charges. The commission shall authorize each person or corporation subject to Section 421 or 431 to annually adjust its rates or charges for intrastate services so as to collect from its customers and subscribers an amount sufficient to pay the amount of the fee required by Section 421 or 431 together with the costs of collecting the fee from each customer or subscriber. (b) The commission shall adopt rules to determine the appropriate level of fees for carriers that provide transportation services incidental to commercial balloon operations, commercial river rafting, or skiing. (c) Each person or corporation subject to Section 421 or 431 may identify separately, on the bill of each customer or subscriber, the amount to be paid by each customer or subscriber for purposes of funding the commission pursuant to this chapter. (d) Persons or corporations subject to Section 421 or 431 shall pay the fee in accordance with Section 423 or 433 after collection from their customers or subscribers. (Amended (as amended by Stats. 1991, Ch. 636, Sec. 1) by Stats. 1993, Ch. 125, Sec. 1. Effective January 1, 1994.)

Last verified: January 23, 2026

Key Terms

corporationcommissionportcalifornia public utilitiesaccordancecollection

Related Statutes

  • § 405 Penalty For Late Reports
  • § 406 Commission Fee Collection Actions
  • § 422 Carrier Fee Assessment Rules
  • § 423 Carrier Fee Payment Schedule
  • § 701.6 Mobilehome Energy Efficiency Programs

References

  • Official text at leginfo.legislature.ca.gov
  • California Legislature. Public Utilities Code. Section 404.
View Official Source