SECTION 785:11-3-2. Notice and hearing; disposition of application

(a)   Notice. An application for approval of a proposed acquisition shall be deemed filed as of the date the Board staff complete their review thereof and determine it to be ready for the notice and hearing process. Thereafter, the staff shall schedule a hearing and shall notify the acquiring party and the acquiree of the date, time and place of the hearing at least twenty (20) days prior to the date thereof. If so directed by the Board, the acquiring party shall give notice of the hearing at least fifteen (15) days prior to the date thereof to additional persons in the manner directed. Staff may also require that acquiree give notice of the hearing to its customers in the form, manner and time specified by the Board. Any expenses incurred by the acquiree in preparing and giving such notice to the acquiree's customers shall be paid by the acquiring party no later than thirty (30) days following submission of an invoice therefor to the acquiring party. If the acquiring party is a domestic water public utility, and the acquiree consents to the acquisition and timely files a written waiver of the hearing, and if no customer of the acquiree files an objection to the proposed acquisition prior to the hearing date, then the hearing may be cancelled and the Board may proceed to make its final determination on the application.

(b)   Hearing. Unless cancelled as provided in (a) of this Section, the Board shall hold a hearing on the application and proposed acquisition. Following the hearing, if any, the Board shall review the available evidence and application information to determine whether any of the following conditions will exist if the proposed acquisition is consummated:

(1)   The acquisition of assets and control would adversely affect the contractual obligations of the acquiree or adversely affect the level of service currently being rendered to the acquiree's customers;

(2)   The financial condition of the acquiring party might adversely affect the financial stability of the acquiree or otherwise adversely affect the interests of the acquiree's customers;

(3)   The acquiring party's plans to make any material change in the acquiree's assets, system or operations would be detrimental to the acquiree's customers and not in the public interest; or

(4)   The competence, experience and integrity of the persons who would control the operation of the acquiree or its assets are such that it would not be in the interest of the acquiree's customers and the public to permit the acquisition of control.

(c)   Decision on application. As soon as practical after the conclusion of the hearing, the Board staff shall prepare a proposed order with proposed findings of fact and conclusions of law and serve the same on the acquiring party, the acquiree, and any other interested persons as necessary. The proposed order shall be presented to the Board for its consideration and action. Upon consideration of the case, the Board shall approve the application and acquisition unless the Board finds that one or more of the conditions listed in (b) of this Section will exist if the acquisition is consummated. In the latter event, the Board shall disapprove the proposed acquisition and it shall not be consummated. In either case, the Board shall issue its final order within the time frame specified in 82 O.S. §1324.44(B).

[Source: Amended at 18 Ok Reg 2243, eff 7-1-01]