Regulators went behind closed doors to talk about CWIP law

door with closed meeting sign

Corporation Commissioners Revisit CWIP Law in Closed-Door Meeting

More than a year after Oklahoma lawmakers approved a controversial utility financing measure, members of the Oklahoma Corporation Commission appear to be reassessing the impact of the law they once strongly opposed.

According to a filing for a meeting exempt from the state’s Open Meeting Act, Commissioners Kim David, Todd Hiett, and Brian Bingman met behind closed doors on January 14, with part of the discussion focused on Senate Bill 998, the 2025 legislation that expanded the use of Construction Work in Progress (CWIP) for utility projects.

Lawmakers Approved Measure Over Commission Objections

SB998 became law last year without the signature of Gov. Kevin Stitt, despite unanimous opposition from the three statewide-elected commissioners. The central concern was the bill’s CWIP provision, which allows utilities to begin collecting costs from ratepayers while large infrastructure projects are still under construction.

At the time, commissioners warned the policy shift favored utilities at the expense of consumers.

“SB998 only benefits the utility company at the expense of the ratepayer, who will be forced to fund these projects prior to receiving the benefits,” Commission Chairman Kim David said in May 2025.

She also cautioned that CWIP represented a fundamental break from long-standing regulatory principles.

“The Construction Work in Progress issue as imagined in SB998 goes against 100 years of ratemaking principles and usurps the constitutional duty of the statewide-elected Corporation Commissioners to keep rates fair, just, and reasonable.”

Utilities Now Seeking CWIP Approval

Since the law took effect, major utilities including Oklahoma Gas & Electric and Public Service Company of Oklahoma have filed cases seeking approval to recover CWIP-related costs from customers.

While the commission’s January meeting lasted nearly an hour, the required post-meeting disclosure provided few details about what was discussed regarding SB998. The filing did not indicate whether commissioners considered a constitutional challenge to the law, though critics have raised constitutional concerns in recent months. To date, no formal challenge has been filed with the Oklahoma Supreme Court.

Data Center Legislation Also Discussed

Commissioners also discussed House Bill 2992, a proposed measure filed by Rep. Brad Boles, R-Marlow, who is also a declared candidate for the Corporation Commission.

HB2992, titled the Data Center Consumer Ratepayer Protection Act of 2026, is currently a shell bill and does not yet contain specific language. The measure is expected to address concerns over whether data centers — some of the state’s largest electricity users — should bear a greater share of infrastructure costs rather than shifting those expenses onto residential and small-business ratepayers.

Internal Structure and Support Services Reviewed

In addition to legislative issues, the commissioners’ closed-door agenda included discussion of the agency’s organizational structure, particularly potential changes to commissioner support services.

Those discussions involved Interim Director of Administration Jim Marshall, who has been reviewing communications and legal support provided during open meetings.

Also present were several commission staff members, including:

  • Jeff Kline, legal adviser to Commissioner David

  • Erica O’Neal, regulatory assistant/paralegal to Commissioner David

  • Nicole King, legal adviser to Commissioner Hiett

  • Jana Slatton, director of operations to Commissioner Hiett

  • Jared Haines, administrative aide to Commissioner Bingman

The commission did not publicly release details on any decisions or next steps resulting from the meeting.

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