1. (1) The Commission encourages the resolution of matters brought before it through stipulations and settlements. Settlements must be supported by substantial evidence.
2. (2) Proponents of a proposed settlement carry the burden of showing that the settlement is reasonable, in the public interest, or otherwise in compliance with law or regulatory policy. Proponents of the settlement should be prepared to call witnesses, file pre-filed testimony, and provide copies of any documents, financial analysis, exhibits, and an explanation of the underlying rationale to support the settlement. The Commission may require further development of an appropriate record supporting a proposed settlement as a condition of accepting or rejecting the settlement.

Authority: T.C.A. §§ 4-5-105 and 65-2-102. Administrative History: New rule filed August 11, 2025; effective November 9, 2025.