(a) Except in connection with replacement or exchange, an individual, partnership, or unincorporated association conducting such public service business shall not make a sale or lease or series of sales or leases in any one calendar year constituting 10 percent or more of its property located within this State and actually used in or required for public service operations or mortgage or pledge any of its property or issue any bonds, notes, or other evidences of indebtedness without the consent of the Public Utility Commission, given on petition and after opportunity for hearing and a finding that the same will promote the general good of the State. Notice of such hearing shall be given as the Commission directs.

(b) Notwithstanding subsection (a) of this section, an individual, partnership, or unincorporated association may issue evidences of indebtedness payable within one year from date of issue without such consent provided such borrowing is necessary as an emergency to restore service immediately after disaster or provided its total evidences of indebtedness so payable within one year do not exceed 20 percent of its total assets. If such evidences of indebtedness in an amount which would cause its total evidences of indebtedness so payable within one year to exceed 20 percent of its total assets, then it shall give the Commission notice in writing of its intention so to do at least 10 days before the date of the proposed issue. If the Commission determines after considering the notice and the said individual, partnership, or unincorporated association's report to the Commission that further inquiry is warranted, it shall order such individual, partnership, or unincorporated association not to issue such evidences of indebtedness under this subsection without the consent of the Commission given after opportunity for hearing, provided, however, that if the Commission does not make such an order within 10 days from the time it receives such notice under this subsection, then the individual, partnership, or unincorporated association may issue such evidences of indebtedness without the consent of the Public Utility Commission, and the Commission shall so notify such individual, partnership, or unincorporated association in writing.

(c) Nothing in this section shall restrict the right of a common carrier by motor vehicle to issue evidences of indebtedness payable within one year from the date of issue without prior notice to or consent by the Commission. (Amended 1959, No. 329 (Adj. Sess.), § 39(b), eff. March 1, 1961; 1993, No. 21, § 9, eff. May 12, 1993.)