A. On an applicant's receipt of the net proceeds of the issuance of the transition bonds under section 40-606, subsection A, the commission has the authority to ensure that:

1. 1. Any undepreciated value of the transition assets on the applicant's books are reduced by the corresponding amount, including any reductions in associated regulatory assets or recorded liabilities, as applicable.
2. 2. Any regulatory assets that are related to significant event recovery costs are reduced by that corresponding amount.
3. 3. Any incurred costs of a recorded liability that are incurred and associated with significant event recovery costs are reduced by that corresponding amount.

B. This chapter does not abrogate or prevent the commission's authority to do any of the following:

1. 1. Establish and regulate rates of public service corporations.
2. 2. Investigate the practices of public service corporations.
3. 3. Review and audit the books and records of public service corporations, including the actions taken under a transition billing services tariff and the receipt, handling and remittance to the qualified special purpose entity of financing revenues.
4. 4. Investigate an applicant's compliance with the terms and conditions of a financing order and to require that the applicant comply with the financing order.
5. 5. Impose regulatory sanctions on an applicant for the wilful failure to comply with a financing order or this chapter.