Senate amendment to the 3rd edition makes the following changes. Amends new GS 162A-19.1 (sale of public water or sewer system) to delete requirement that moneys paid by a private company to a local government service provider for the purchase of a water or sewer system be invested in local water, wastewater, or stormwater infrastructure or programs; or reducing or offsetting water and sewer service rates, in addition to other required purposes. Adds the requirement that any unspent funds remaining after debts and federal grant awards have been repaid must be deposited in the general fund of the local government service provider. Makes technical changes. Amends new GS 162A-19.2 (limitation on water and sewer rates charged to customers outside of the jurisdictional boundaries of the provider) to delete the requirement that such charges must be just and equitable and based on the same factors used in fixing the rates, fees, and charges for customers inside the boundaries of the local government service provider. Makes conforming changes to account for deleted text.
Bill Summaries: S515 WATER AND SEWER AFFORDABILITY ACT.
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Bill S 515 (2023-2024)Summary date: Apr 25 2023 - View Summary
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Bill S 515 (2023-2024)Summary date: Apr 19 2023 - View Summary
Senate committee substitute to the 2nd edition makes the following changes. Amends new GS 162A-19.2(b) (limitations on water and sewer rates charged to customers outside the jurisdictional boundaries of the providers) to specify that a provider is not required to hold a public hearing if that total of all rates, fees, and charges, excluding tap fees and impact fees, does not exceed the rates, fees, and charges to customers inside its boundaries by more than 25% (was, does not exceed 25%) and uses same language for public hearing requirement in that section. Deletes proposed amendments to GS 153A-277(a), GS 160A-58.5, GS 160A-314, GS 162A-6, GS 162A-36, GS 162A-69, and GS 162A-87.3 which would have prohibited counties, cities, water and sewer authorities, and water and sewerage districts from charging customers in excess of those amounts allowed by GS 162A-19.2. Makes conforming changes to the long title.
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Bill S 515 (2023-2024)Summary date: Apr 18 2023 - View Summary
Senate committee substitute to the 1st edition makes the following changes.
Revises new GS 162A-19.1 to limit the requirement for local government service providers to hold a hearing and determine that the sale of a water and sewer system is in the public interest, to only sales to private companies.
Amends new GS 162A-19.2, revising the limitations set forth for local government service providers establishing an increase in the rates, fees, or charges for water or sewer system customers outside of its jurisdictional boundaries. No longer provides two distinct manners in which local government service providers can establish such an increase that include surcharges and capital fees. Instead generally authorizes the imposition of rates, fees, and charges that exceed the charges to customers inside its boundaries so long as the charges are just and equitable and based on the same factors used in fixing the rates, fees, and charges of customers inside its boundaries. Requires a public hearing when the total of all rates, fees, and charges, excluding tap fees and impact fees, exceeds 25% of those charged to customer inside its boundaries, to demonstrate that the charges are just and equitable and based on the same factors used in fixing that of customers inside its boundaries. Adds that these provisions do not prohibit charging a tap fee or impact fee separately.
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Bill S 515 (2023-2024)Summary date: Apr 3 2023 - View Summary
Amends GS 62-133.1B, adding authority for the Utilities Commission (Commission) to suspend the effect of proposed base rates and the Water and Sewer Investment Plan implementation pending investigation, pursuant to GS 62-134(b), for up to 300 days. Makes conforming changes to no longer refer to the maximum suspension period of 270 days set out in GS 62-134(b).
Enacts GS 162A-19.1 to require local government service providers, defined as one of nine identified public entities, to hold a hearing and determine that sale of a water and sewer system that provides service to the public is in the public interest. Lists nine considerations in determining whether a sale is in the public interest. Directs the local government service provider to prepare a statement showing that the sale is in the public interest. Requires using all moneys paid by a private company for the purchase for debt reduction for the system, if applicable; repayment of federal grant awards associated with the system as required by law; investment in local water, wastewater, or stormwater infrastructure programs; or reducing or offsetting water and sewer service rates.
Enacts GS 162A-19.2 to require local government service providers, defined as one of nine identified public entities, establishing an increase in the rates, fees, or charges for water or sewer system customers outside of its jurisdictional boundaries to charge customers outside the boundaries rates, fees, and charges in one of the two described manners: (1) by charging the same rates, fees, and charges as it charges customers inside its boundaries with the option to include an additional surcharge of up to 25% (not subject to public hearing requirements); or (2) by charging more than the rates, fees, and charges charged to customers inside its boundaries that are just and equitable as specified, with the option to include an additional surcharge of up to 25% and a capital fee for those customers' share of the system capital investments, but cannot exceed 75% in excess of the total amount of charges for customers served within its boundaries for corresponding service without a public hearing.
Amends the following statutes to prohibit counties, cities, water and sewer authorities, and water and sewerage districts, as applicable, from charging customers in excess of those allowed by GS 162A-19.2, as enacted: GS 153A-277; GS 160A-58.5; GS 160A-314; GS 162A-6; GS 162A-36; GS 162A-69; and GS 162A-87.3.