Consumer groups are getting what they've wanted for years: a bill that turns the Colorado Public Utilities Commission into a welfare agency.

It's not supposed to be one. The law now prohibits such a role, and it's been upheld by the courts. But the prohibition is in statute, not the state constitution. Now that Democrats have taken over the entire Statehouse, they're intent on changing it.

Senate Bill 22, sponsored by Jennifer Veiga, D-Denver, would authorize the PUC to set discriminatory rates that favor low-income utility customers. They would pay less and everyone else would pay more to make up the difference.

The measure has passed both houses and is headed for Bill Ritter's desk. The governor should veto it.

This is - in effect if not in law - a tax hike that will be imposed by an unelected body. The three PUC members are appointed by the governor. "Taxation by regulation" is what former PUC commissioner Ray Gifford calls the bill.

We don't think utility rates should be used to redistribute income. Once that precedent is established, there's no end to billing add-ons that could be imposed in the name of well-intended social policy. But if the legislature is determined to push for discriminatory rates, it should do so directly. Instead, it has chosen to say the PUC "may" approve the new rates. When constituents complain, lawmakers can point their fingers at another body.

The bill is also discriminatory in that it applies only to regulated utilities like Xcel Energy. It would not apply to municipally owned utilities and rural electric cooperatives, which do not report to the PUC and are not controlled by it.

In theory, the PUC is supposed to protect consumers from the abuses of a monopoly power supplier. But the same power that is supposed to protect you from overcharges may soon be used to impose them.

"Low income," by the way, is defined as households with incomes at or below 185 percent of the federal poverty level. According to the bill's fiscal note, if you're living alone, that's $18,130; for a family of four, it's $37,000.

Xcel Energy is happy with the bill, and why not? The more it can shift rates onto the middle class, the easier it will be for it to collect what it is owed .

The utility bill is a perfect vehicle for welfare policy. Bills tend to fluctuate from month to month anyway, thanks to changes in the weather and in the cost of producing gas and electricity. That makes it harder for customers to tell which part of their bill reflects supply and demand, and which part reflects social policy.

There already are institutions in place to help the poor with their electric bills: the Low-Income Energy Assistance Program, for instance, funded in part by Energy Outreach Colorado, and various other nonprofits.

This legislation is bad policy, and if it becomes law could serve as a precedent for other groups that want to abuse the powers of the PUC.