Arizona Constitution Practice Test

What is the primary responsibility of the Corporation Commission?

1. Taxing corporations

2. Regulating and creating new corporations

3. Regulating rates of public services corporations

4. Regulating rates of corporations and preventing monopolies

The correct answer is: Regulating rates of public services corporations

The primary responsibility of the Corporation Commission in Arizona is to regulate rates of public service corporations. This includes utility companies such as those providing water, electricity, and telecommunications. The Commission ensures that these companies provide safe, reliable services at fair rates to the public. Its regulatory authority extends to overseeing the rates charged to consumers, ensuring that pricing is just and reasonable, and monitoring the quality and reliability of the services provided. While the regulation of corporations is part of the Commission's broader duties, the focus primarily lies in managing and regulating the rates of public service corporations to protect consumers' interests. The other options do touch on aspects of corporate governance or regulation but do not capture the central focus of the Corporation Commission's role as effectively as the regulation of rates, which addresses the necessity of maintaining equitable access to essential services.