Florida Public Service Commission native order document 05436-2026

FILED 8/24/2026
DOCUMENT NO. 05436-2026
FPSC 	- COMMISSION CLERK
BEFORE THE FLORIDA PUBLIC SERVICE COMMISSION
DOCKET NO. 20260050- EI
ORDER NO. PSC-2026-0298-TRF-EI
ISSUED: August 24, 2026
The following Commissioners participated in the disposition of this matter:
GABRIELLA PASSIDOMO SMITH, Chairman
GARY F. CLARK
MIKE LA ROSA
BOBBY PAYNE
ANA ORTEGA
ORDER APPROVING 2026 REVISIONS TO UNDERGROUND RESIDENTIAL AND
COMMERCIAL TARIFFS BY TAMPA ELECTRIC COMPANY
BY THE COMMISSION:
Background
On 	April 	1, 	2026, Tampa 	Electric Company (TECO 	or 	utility) 	filed 	a 	Petition 	for
Approval 	of Revised Underground 	Residential 	Distribution 	Tariffs 	(Petition) 	and 	associated
charges. These underground residential 	distribution (URD) 	tariffs represent the additional 	costs,
if 	any, TECO 	incurs 	to 	provide 	underground 	service 	in 	place 	of overhead 	service 	in new
residential 	subdivisions. TECO’s current URD charges were approved 	in Order No. PSC-2023-
021 1-TRF-EI (2023 Order). 1The proposed URD 	tariffs are contained in Attachment A.
The 	Petition was 	filed 	pursuant 	to 	Rule 	25-6.078(3), 	Florida 	Administrative 	Code
(F.A.C.), which 	states, 	in part, 	“If the cost 	differential 	as 	calculated in Form PSC 	1031 	(08/20)
varies from 	the Commission-approved 	differential by 	plus 	or minus 	10 	percent 	or more, 	the
utility 	shall 	file a written policy and supporting data and analyses 	as prescribed 	in 	subsections
(1), (4) and (5) of this rule on or before April 	1 of the following year; however, each utility shall
file a written policy and supporting data and analyses at least once every 3 years.”
The 	ten 	percent 	threshold 	outlined by 	the 	rule 	has 	not been met 	or 	exceeded 	since
TECO’s 	last URD 	tariff 	filing. 2 Because 	it has been 	three 	years 	since TECO 	last updated 	its
URD 	tariff, TECO filed updated URD tariff sheets in the subject docket.
1Order No. PSC-2023-021 1-TRF-EI, issued July 25, 2023, in Docket No. 20230042-EI, In re: Petition Company for
approval of revised underground residential distribution tariff by Tamp Electric Company.
2Order No. PSC-2023-021 1-TRF-EI, issued July 25, 2023, in Docket No. 20230042-EI, In re: Petition for approval
of revised underground residential distribution 	tariff, by Tampa Electric Company.
In re: Petition for approval of revised
underground residential distribution 	tariff, by
Tampa Electric Company._

ORDER NO. PSC-2026-0298-TRF-EI
DOCKET NO. 20260050-EI
PAGE 2
We suspended the proposed tariffs by Order No. PSC-2026-0158-PCO-EI, issued May
19, 2026, to allow Commission staff sufficient time to analyze the utility’s filing, pursuant to
Section 366.06(3), Florida Statutes (F.S.). Our staff issued one data request to the utility on June
12, 2026, to which TECO responded on June 26, 2026. 3 We have jurisdiction over this matter
pursuant to Sections 366.03, 366.04, 366.05, and 366.06, F.S.
Decision
Rule 25-6.078 F.A.C, defines investor-owned utilities’ (IOU) responsibilities for filing
updated URD tariffs. The URD tariffs provide standard charges for underground service in new
residential subdivisions and represent the additional costs, if any, the utility incurs to provide
underground service in place of overhead service. The cost of standard overhead construction is
recovered through base rates from all ratepayers. In lieu of overhead construction, customers
have the option of requesting underground facilities. Typically, the developer of a new
residential subdivision would be the utility customer utilizing the URD tariffs.
In its Petition, TECO updated its cost calculations and supporting documentation for its
low-density and high-density per lot service lateral cost differentials. The currently approved
high-density cost differential is $0.00 and the currently approved low-density cost differential is
$0.00. The utility’s calculations demonstrate that the per lot undergrounding differential for high-
density and low-density subdivisions should remain $0.00. TECO proposes that the URD
surcharge remain at $0.00 per lot, as discussed in paragraphs 9 and 14 of the Petition. TECO also
proposes modifications to several other charges and non-refundable deposits for underground
service, as shown in Exhibit B to the Petition.
While labor and material costs have increased since TECO’s 2023 URD filing, the main
reason for the low and high density underground differential remaining at zero is increasing
operational costs for overhead and decreasing operational costs for underground, as discussed
further below. A lower, or zero, URD differential charge is typically the result of the avoided
storm restoration costs associated with underground facilities, offsetting any higher labor and
material costs associated with underground construction.
Table 1
Comparison of URD Differential per Lot
Current Differential 	Proposed Differential
Low-density 	$0 	$0
High-density 	$0 	$0
Source: 2023 Order and TECO’s Petition.
Two primary factors impacted the calculation of TECO’s proposed URD charges which
are discussed in greater detail below: (1) updated labor and material costs and (2) updated
operational costs.
3 Document No. 03763-2026.

ORDER NO. PSC-2026-0298-TRF-EI
DOCKET NO. 20260050-EI
PAGE 3
Updated Labor and Material Costs
The installation costs of both underground and overhead facilities include the labor and
material 	costs 	to 	provide 	primary, 	secondary, 	and 	service 	distribution 	lines 	as 	well 	as
transformers. The costs of poles are specific to overhead service while the costs of trenching and
backfilling are specific to underground service. Table 2 compares the currently approved 2023
costs and 2026 costs for underground and overhead labor and material for the two subdivision
models.
Table 2
Labor and Material Costs per Lot
2023 Costs 	2026 Costs 	Difference
Low-density
Underground labor/material
costs
$4,108 	$4,034 	$(74)
Overhead labor/material costs 	$1,797 	$1,974 	$177
Per lot differential 	$2,310 	$2,060 	$(250)
High-density
Underground labor/material
costs
$3,052 	$2,956 	$(96)
Overhead labor/material costs. 	$1,413 	$1,547 	$134
Per lot differential 	$1,639 	$1,409 	$(230)
Source: 2023 Order and TECO’s Petition.
While overhead labor and material costs increased, underground labor and material costs
decreased, resulting in a decrease in the differential. The utility states that the reasons for the
decrease in labor and material costs for undergrounding is due to and expansion of the utility
work 	force, 	increased 	availability 	of 	qualified 	contractor 	partners, 	and 	advancements 	in
horizontal directional drilling equipment that allows for smaller crew sizes. While the reasons for
overhead increasing are due to increased demand for transmission and distribution equipment
due 	to 	load 	growth, 	renewable 	energy 	expansion, 	data 	center 	development, 	and 	grid
modernization and hardening initiatives that has placed upward pressure on material and
equipment prices.4
Updated Operational Costs
Rule 25-6.078(4), F.A.C., provides that the differences in net present value (NPV) of
operational costs between overhead and underground systems, including average historical storm
restoration costs over the life of the facilities, be included in the URD charge. Operational costs
include operations and maintenance costs and capital costs. The inclusion of the operational costs
is intended to capture longer term costs and benefits of undergrounding.
4 TECO’s Responses to Staff’s First Data Request, Response Nos. 1 and 2.

ORDER NO. PSC-2026-0298-TRF-EI
DOCKET NO. 20260050-EI
PAGE 4
In its Petition, TECO used actual costs from storms that impacted TECO’s service area
between 2023 and 2025. This resulted in the average annual storm costs being $139,613,926
over the 3-year period. TECO stated that based on impacts and data from Hurricanes Idalia,
Debby, Helene, and Milton, the utility updated the allocation factors to attribute 99 percent of the
storm costs to overhead and 1 percent to underground.5 Therefore $138,217,786 (99 percent of
the total $139,613,926 storm costs) represents the avoided overhead storm restoration costs when
facilities are placed underground.
Table 3
NPV of Operational Costs Differential per Lot
2023 Calculation 	2026 Calculation 	Difference
Low-density
Underground NPV- Operational Costs 	$2,571 	$1,657 	$(914)
Overhead NPV- Operational Costs 	$4,928 	$5,507 	$579
Per lot Differential 	$(2,358) 	$(3,849) 	$(1,491)
High-density
Underground NPV- Operational Costs 	$1,208 	$786 	$(422)
Overhead NPV- Operational Costs 	$3,656 	$4,065 	$409
Per lot Differential 	$(2,449) 	$(3,279) 	$(830)
Source: 2023 Order and TECO’s 2026 filing.
As shown above, the overhead operational costs are greater than underground, resulting
in operational savings from undergrounding. The NPV differential of operational costs, including
avoided storm restoration costs, increased in both low-density and high-density subdivision
models, resulting in an increase in the NPV operational cost credit.
To illustrate the calculation for the low-density subdivision URD charge, the 2026 labor
and material costs differential is $2,060 (Table 2). Subtracting the NPV of operational costs
differential of $3,849 (Table 3) results in a negative $1,789 URD differential. Since the tariffed
URD charge cannot be a negative, it is set at $0.
Other Proposed Tariff Changes
TECO’s proposed URD tariffs also include standard charges for the installation and
trenching of underground service laterals from overhead distribution, underground service
laterals converted from existing overhead service drops, and non-refundable deposits for cost
estimates for the conversion of existing overhead distribution facilities to underground facilities.
If a customer requests an underground service lateral, the tariff includes a credit to the customer
for avoiding a pole that is otherwise required for overhead service. The charges have been
updated to reflect current material and labor costs.
5 TECO’s Responses to Staff’s First Data Request, Response No. 3.

ORDER NO. PSC-2026-0298-TRF-EI
DOCKET NO. 20260050-EI
PAGE 	5
Conclusion
We have reviewed TECO’ s proposed changes to 	its URD 	tariffs and associated charges,
the accompanying work 	papers, 	and 	responses 	to Commission' staffs 	data 	request. We 	find
TECO’s proposed URD 	tariffs and associated charges as 	filed in the Petition are cost-based and
we hereby approve the 	tariffs shown in Attachment A. The 	tariffs 	shall become effective on the
date of our vote, August 4, 2026.
Based on the foregoing, 	it 	is
ORDERED by the Florida Public Service Commission 	that Tampa Electric Company’s
proposed 	revised 	underground 	residential 	distribution 	tariffs, 	and 	associated 	charges, 	as
discussed in the body of this Order, are hereby approved, effective August 4, 2026. 	It is further
ORDERED 	that 	if a 	protest 	is 	filed within 21 	days of issuance of the Order, 	the 	tariff
shall remain in effect with any charges held subject to refund pending resolution of the protest. If
no 	timely 	protest 	is 	filed, 	this 	docket 	shall be 	closed upon 	the 	issuance 	of a Consummating
Order.
By ORDER of the Florida Public Service Commission this 24th day of August, 2026 	.
ADAM T^FTOTAK
Commission Cjerk
Florida Public Service Commission
2540 Shumard Oak Boulevard
Tallahassee, Florida 32399
(850)413-6770
www.floridapsc.com
Copies 	furnished: A 	copy 	of 	this document 	is
provided 	to 	the 	parties 	of record 	at 	the 	time 	of
issuance and, if applicable, interested, persons.

ORDER NO. PSC-2026-0298-TRF-EI
DOCKET NO. 20260050-EI
PAGE 6
NOTICE OF FURTHER PROCEEDINGS
The Florida Public Service Commission is required by Section 120.569(1), Florida
Statutes, to notify parties of any administrative hearing or judicial review of Commission orders
that is available under Sections 120.57 or 120.68, Florida Statutes, as well as the procedures and
time limits that apply. 	This notice should not be construed to mean all requests for an
administrative hearing or judicial review will be granted or result in the relief sought.
Mediation may be available on a case-by-case basis. 	If mediation is conducted, it does
not affect a substantially interested person's right to a hearing.
The Commission's decision on this tariff is interim in nature and will become final, unless
a person whose substantial interests are affected by the proposed action files a petition for a
formal proceeding, in the form provided by Rule 28-106.201, Florida Administrative Code. This
petition must be received by the Office of Commission Clerk, 2540 Shumard Oak Boulevard,
Tallahassee, Florida 32399-0850, by the close of business on September 14, 2026.
In the absence of such a petition, this Order shall become final and effective upon the
issuance of a Consummating Order.
Any objection or protest filed in this docket before the issuance date of this order is
considered abandoned unless it satisfies the foregoing conditions and is renewed within the
specified protest period.

ORDER NO. PSC-2026-0298-TRF-EI 	Attachment A
DOCKET NO. 20260050-EI 	Page 1 of 3
PAGE 7
TECO
TAMPA ELECTRIC
AN EMERA COMPANY
THIRTEENTH TWELFTH REVISED SHEET NO. 5.510
CANCELS TWELFTH ELEVENTH REVISED SHEET NO.
5.510
Continued from Sheet No. 5.500
3.6. 5.1 	Single Meter Commercial Service
Mobile Home Parks will be supplied single-meter commercial service only where park owner or
operator supplies (furnishes) electrical service as a part of his rental and/or general service
charge to tenants. Resale of electric energy through park owned meters will not be permitted
(See 2.2.1)
3.6. 5.2 	Individual Company Metered Service
Mobile Home Parks will be supplied through company installed individual meters for individual
tenants and other types of service required in park under the provisions required on 3.4.3 and
3.4.4 and the subparts appertaining thereto.
3.6.6 	Miscellaneous Types of Electric Service
Certain other types of electric service are available from the company. Information on such
services not specifically covered in this Tariff may be obtained at the nearest company office.
Such special cases will be given individual consideration.
3.7 	SCHEDULE OF STANDARD CHARGES AND NON-REFUNDABLE
DEPOSITS FOR COST ESTIMATES FOR UNDERGROUND ELECTRIC
DISTRIBUTION SYSTEMS
3.7.1 	Standard Charges
The Standard Charges listed here are Contributions In Aid of Construction (CIAC) which are
referenced by other sections of these rules and regulations.
3.7. 1.1 	Residential Subdivision
Low Density Subdivisions per service lateral or dwelling 	unit... 	$0.00
High Density Subdivisions per service lateral ordwelling 	unit... 	$0.00
3.7. 1.2 New Single-phase UG Service Laterals from Overhead
Distribution Systems
Fixed Charge for 2/0 service lateral 	$36.61 42.14
Fixed Charge for 4/0 service lateral 	$1 89.1 1181 .76
Per trench foot charge for 2/0 service lateral 	$18.44 15.17
Per trench foot charge for 4/0 service lateral 	$4-9^4916.27
Credit for service pole 	if otherwise required for overhead service 	$963.79 994.45
Continued to Sheet No. 5.515
ISSUED BY: A. D. Collins, President 	DATE EFFECTIVE: 	July 11,2023

ORDER NO. PSC-2026-0298-TRF-EI 	Attachment A
DOCKET NO. 20260050-EI 	Page 2 of 3
PAGE 8
TECO
TAMPA ELECTRIC
AN EMERA COMPANY
NINETEENTH EIGHTEENTH REVISED SHEET NO. 5.515
CANCELS EIGHTEENTH SEVENTEENTH REVISED
SHEET NO. 5.515
Continued from Sheet No. 5.510
3.7. 1.3 Single-phase UG Service Laterals Converted from
Existing Overhead Service Drops
Removal charge for overhead service with no service pole 	$233.57 212.80
Removal charge for overhead service with a service pole 	$997.13 918.79
Fixed Charge for 2/0 service lateral 	$ 3&6442.14
Fixed Charge for 4/0 service lateral 	$ 	189.1 1181 .76
Per trench foot charge for 2/0 service lateral 	$ 	18.44 15.17
Per trench foot charge for 4/0 service lateral 	$ 4^491 6,27
Credit for service pole 	if otherwise required for overhead service $963.79 994.45
Continued to Sheet No. 5.516
ISSUED BY: A. D. Collins, President 	DATE EFFECTIVE: 	July 11,2023

ORDER NO. PSC-2026-0298-TRF-EI 	Attachment A
DOCKET NO. 20260050-EI 	Page 3 of 3
PAGE 9
TECO
TAMPA ELECTRIC
AN EMERA COMPANY
THIRTEENTH TWELFTH REVISED SHEET NO. 5.516
CANCELS TWELFTH ELEVENTH REVISED SHEET NO.
5.516
Continued from Sheet No. 5.515
3.7.2 	Non-refundable Deposits for Estimates of CIAC for Conversion of Existing
Overhead Distribution Facilities to Underground Facilities
Qualified applicants can request, upon payment of a non-refundable deposit as listed below,
the conversion of overhead distribution facilities to underground 	in accordance with these
Rules and Regulations for conversion areas of not less than one (1) city block in length along
both sides of the main distribution system, or in the absence of city blocks, not less than five
(5) contiguous building lots along both sides of the main distribution system, or in the absence
of both, not the less than 600 pole-feet of the main distribution system, including 	all customers
served along both sides of the main distribution system, and so as to result in a decrease in
the number of non-lighting poles in the system.
Requests for conversions, except for individual residential service covered under Section
3.4. 3. 3, will be accompanied by a non-refundable amount as follows:
Density Class 	Deposit Amount
Urban Commercial or Residential 	$1 1.74 212,881 per mile*
Rural Commercial or Residential 	$ 6r7-12 7,363 per mile*
High or Low Density Subdivision 	$ 	55-60 per lot
* As measured along the existing overhead primary and secondary distribution system.
ISSUED BY: A. D. Collins, President 	DATE EFFECTIVE: 	July 11,2023