Southwestern Bell Telephone Co. v. Public Utility Commission

J. WOODFIN JONES, Justice.

With revisions to the Public Utility Regulatory Act (PURA) in 1995, the legislature created a statutory alternative to traditional rate-of-return ratemaking. 1 Appellant Southwestern Bell Telephone Company (SWBT) elected to be governed under this new scheme, which provides instead for “incentive regulation.” Pursuant to this scheme, SWBT applied to appellee, the Public Utility Commission (the Commission), for a rate-group reclassification. 2 The Commission denied the request in most respects, and SWBT sought judicial review in the district court. 3 The district court…