COMMITTEE ON WAYS AND MEANS DAN ROSTENKOWSKI, Illinois, Chairman SAM M. GIBBONS, Florida BILL ARCHER, Texas J.J. PICKLE, Texas GUY VANDER JAGT, Michigan CHARLES B. RANGEL, New York PHILIP M. CRANE, Illinois FORTNEY PETE STARK, California DICK SCHULZE, Pennsylvania ANDY JACOBS, JR., Indiana BILL GRADISON, Ohio HAROLD E. FORD, Tennessee BILL THOMAS, California ED JENKINS, Georgia RAYMOND J. MCGRATH, New York THOMAS J. DOWNEY, New York ROD CHANDLER, Washington FRANK J. GUARINI, New Jersey E. CLAY SHAW, JR., Florida MARTY RUSSO, Illinois DON SUNDQUIST, Tennessee DON J. PEASE, Ohio NANCY L. JOHNSON, Connecticut ROBERT T. MATSUI, California JIM BUNNING, Kentucky FRED GRANDY, Iowa ROBERT J. LEONARD, Chief Counsel and Staff Director PHILLIP D. MOSELEY, Minority Chief of Staff SUBCOMMITTEE ON SELECT REVENUE MEASURES CHARLES B. RANGEL, New York, Chairman BYRON L. DORGAN, North Dakota GUY VANDER JAGT, Michigan BARBARA B. KENNELLY, Connecticut DON SUNDQUIST, Tennessee MICHAEL A. ANDREWS, Texas FRED GRANDY, Iowa ROD CHANDLER, Washington (II) CONTENTS Page American Gas Association, H. Steven Wagner Arnold, G. Stephen, MidCon Corp., Lombard, IL, and Interstate Natural Gas Association of America ............ Boyle, Joseph V., General Waterworks Corp., and National Association of Causseaux, Ann, Florida Public Service Commission Dawson, Julie A., US West, Inc., and United States Telephone Association Diversified Utilities Group, Larry J. Newsome Edison Electric Institute, Everett L. Morris and John D. McCallum Florida Progress Corp., St. Petersburg, FL, Larry J. Newsome... Florida Public Service Commission, Ann Causseaux Florida Office of Public Counsel, Victoria A. Montanaro General Waterworks Corp., Joseph V. Boyle.. GTE Telecommunications Products & Services, Terry S. Parker Interstate Natural Gas Association of America, G. Stephen Arnold........... McCallum, John D., Potomac Electric Power Co., Washington, DC, and the Edison Electric Institute...... MidCon Corp., Lombard, IL G. Stephen Arnold Montanaro, Victoria A., Florida Office of Public Counsel Morris, Everett L., Public Service Electric & Gas Co., Newark, NJ, and the Edison Electric Institute....... National Association of Regulatory Utility Commissioners, Hon. Joseph Rhodes, Jr....... National Association of State Utility Consumer Advocates, Irwin A. Popowsky National Association of Water Companies, Joseph V. Boyle ..... National Fuel Gas Distribution Corp., Buffalo, NY, H. Steven Wagner.......... Newsome, Larry J., Florida Progress Corp., St. Petersburg, FL, and Diversi- Parker, Terry S., GTE Telecommunications Products & Services, and United States Telephone Association ..... Pennsylvania Gas Association, Harrisburg, PA, H. Steven Wagner Pennsylvania Office of Consumer Advocate, Irwin A. Popowsky.... Pennsylvania Public Utility Commission: Popowsky, Irwin A., Pennsylvania Office of Consumer Advocate, and National Association of State Utility Consumer Advocates ...... Potomac Electric Power Co., Washington, DC, John D. McCallum Public Service Electric & Gas Co., Newark, NJ, Everett L. Morris Rhodes, Hon. Joseph, Jr., Pennsylvania Public Utility Commission, and Na- tional Association of Regulatory Utility Commissioners............ Standard Group, Inc., Cornelia, GA, Dean Swanson....... Stodghill, LaBrenda Garrett, United States Telephone Association Swanson, Dean, Standard Group, Inc., Cornelia, GA, and United States Tele- Page United States Telephone Association: LaBrenda Garrett Stodghill ..... Dean Swanson ............ sylvania Gas Association, Harrisburg, PA, and American Gas Association.... 184 192 203 212 203 113 100 113 167 SUBMISSIONS FOR THE RECORD 224 226 ...... 227 231 242 243 Air Transport Association of America, statement. Vogel, joint statement ........ . letter ....... MacMaster, John P., American Bar Association, Section of Taxation, Commit tee on Regulated Public Utilities, statement......... Walker, statement........... 247 250 261 274 279 285 |