{"data":{"id":"us-ky/krs-278.255","jurisdiction":"us-ky","citation":"KRS 278.255","heading":"Periodic management and operation audits.","body":"(1) The commission shall provide for periodic management and operation audits of\neach utility with annual intra -Kentucky assessable revenue as of December 31,\n1983, under KRS 278.150(1) not less than one hundred million dollars\n($100,000,000) to investigate ma nagement effectiveness and operating efficiency.\nThe commission shall complete or provide for a full and comprehensive audit of\neach such utility prior to January 1, 1990. After the initial audit of any utility, the\ncommission may order a subsequent audit of that utility focusing on issues\ndisclosed by the initial audit. A full and comprehensive audit of any utility initiated\nprior to July 13, 1984, may be deemed to satisfy the requirements of this subsection\nif the audit was required and directed by the commission and completed after July 1,\n1983.\n(2) The commission may provide for management or operations audits, or both, of any\nutility under its jurisdiction on a regular or irregular schedule to investigate all or\nany portion of the management and operati ng procedures or any other internal\nworkings of the utility.\n(3) Audits provided under this section may, at the discretion of the commission, be\nperformed by the commission staff or by a competent, qualified and independent\nfirm. When the commission orders  an audit to be performed by an independent\nfirm, the commission shall select the audit firm, which shall work for and under the\ndirection of the commission, with the cost to be borne by the utility. The\ncommission shall include the cost of conducting any audits required in this section\nin the cost of service of the utility for ratemaking purposes.\n(4) The commission shall adopt rules and regulations setting forth the scope and\napplication of audits, and procedures for the conduct of management and operations\naudits. The audit procedures shall provide the utility being audited the opportunity\nto comment at various stages of the audit, including an opportunity to comment on\nthe initial work plan and the opportunity to review and comment on preliminary\naudit drafts prior to issuance of a final document. The results of all audits shall be\nfiled with the commission and shall be open to public inspection.","path":["KRS Chapter 278"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=14094","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:53:30Z","sha256":"f00929fe1f289ca52ca01ae20cc90ab67e8c2963fa2ac8692e4fdb3a45d469ad","source_id":"us-ky","stale":false,"prev":"us-ky/krs-278.250","next":"us-ky/krs-278.260"},"notice":"GroundRules: Original legal text. Not legal advice."}