REGIONALIZATION OF PUBLIC UTILITIES.

View NCGA Bill Details2013-2014 Session
House Bill 488 (Public) Filed Thursday, March 28, 2013
A BILL TO BE ENTITLED AN ACT TO PROMOTE THE PROVISION OF REGIONAL WATER AND SEWER SERVICES BY TRANSFERRING OWNERSHIP AND OPERATION OF CERTAIN PUBLIC WATER AND SEWER SYSTEMS TO A METROPOLITAN WATER AND SEWERAGE DISTRICT.
Intro. by Moffitt, McGrady, Ramsey.

Status: Ch. SL 2013-50 (House Action) (May 14 2013)

SOG comments (2):

Long title change.

House amendment to the 2nd edition changes the long title.  The original long title was:

A BILL TO BE ENTITLED AN ACT TO PROMOTE THE PROVISION OF REGIONAL WATER AND SEWER SERVICES BY TRANSFERRING OWNERSHIP AND OPERATION OF CERTAIN PUBLIC WATER OR SEWER SYSTEMS THAT DO NOT FUNCTION AS JOINT OR REGIONAL WATER OR SEWER SYSTEMS TO A METROPOLITAN WATER AND SEWERAGE DISTRICT.

TRO

from News & Observer, 5/15/2013:

"Wake County Superior Court Judge Don Stephens Tuesday afternoon issued a temporary restraining order preventing the City of Asheville's water system from being transferred to a regional water system.

The City of Asheville had sued the state, after the Republican-led legislature had passed a bill transferring the city's water system. GOP Gov. Pat McCrory said he would let the bill become law without signing it.

The judge said he would hold a hearing on the preliminary injunction within 10 days. The transfer of the water system was to have taken place Wednesday."

Read more here: http://projects.newsobserver.com/dome#storylink=cpy

Bill History:

H 488/S.L. 2013-50

Bill Summaries:

  • Summary date: May 14 2013 - More information

    A BILL TO BE ENTITLED AN ACT TO PROMOTE THE PROVISION OF REGIONAL WATER AND SEWER SERVICES BY TRANSFERRING OWNERSHIP AND OPERATION OF CERTAIN PUBLIC WATER AND SEWER SYSTEMS TO A METROPOLITAN WATER AND SEWERAGE DISTRICT. Enacted May 13, 2013. Effective May 15, 2013.


  • Summary date: Apr 29 2013 - More information

    Senate amendment #2 makes the following changes to the 4th edition.

    Amends new GS 162A-85.5,dealing with the general powers of a Metropolitan Water and Sewerage District, to provide that each such district is authorized to exercise any power of a Metropolitan Water District under GS 162A-36, except for subdivision (9) of that section (was, under Article 4 of GS Chapter 162A) and of a Metropolitan Sewerage District underGS 162A-69, except for subdivision (9) of that section (was, under Article 5 of GS Chapter 162A). Subdivision (9) of the respective sections authorizesa district deemed to be a public body to levy and collect taxes.


  • Summary date: Apr 25 2013 - More information

    Senate amendment makes the following changes to the 4th edition.

    Creates a new section, GS 162A-66.5 (Approval of all political subdivisions required) providing that before an adoption of a resolution under GS 162A-66, on or after April 1, 2013, the Environmental Management Commission (EMC) must receive a resolution that supports the establishment of a district board from (1) the board of commissioners of the county or counties that are located, wholly or partly, within the boundaries of the proposed district and (2) the governing board of each political subdivision in the county or counties located, wholly or partly, within the boundaries of the proposed district. If such a resolution is not received by the EMC, a resolution for the creation of the district board cannot be adopted by the EMC.


  • Summary date: Apr 24 2013 - More information

    Senate committee substitute makes the following changes to the 3rd edition.

    Enacts new GS 162A-85.4 to authorize a district board to expand to include other political subdivisions provided that the district board and the political subdivisions adopt identical resolutions indicating that the political subdivision will become a participant in the district board. Requires the district board and the political subdivision to hold a minimum of two public hearingsat least 30 days apart before adopting the mutual resolutions. Requires publication ofthe notices of the public hearings in a newspaper of general circulation at least 10 days before the date of each public hearing. Directs the political subdivision to appoint a district member under new GS 162A-85.3(a), upon the adoption of the resolution, if the political subdivision is entitled to an appointment under that section.

    Amends new GS 162A-85.13, providing that rates, fees, rents, and charges pledged to the payment of the district's revenue bonds be fixed and revised to provide sufficient revenues to pay for the maintenance, repair, and operating costsof the water or sewerage system (was, just sewerage system).

    Amends GS 162A-85.19 to clarify that the governing body of any political subdivision is authorized and empowered to transfer jurisdiction overto a district and lease, lend, sale, grant, or convey in whole or part any existing water or sewerage system, real property, or personal property subject to the approval of the Local Government Commission regarding the disposition of any outstanding debt related to the water system, the sewer system, or both.

    Amends GS 162A-85.21 to require that the district board present preliminary plans for any improvement before the final plans are made for the extension (was, location and construction) of any water or sewerage system. Directs the district board to make every effort to cooperate with a county or municipality in the location and construction of any new proposed facility (was, any proposed facility authorized) under proposed Article 5A. Declares that this section does not apply to renovations, repairs, or regular maintenance of water or sewer systems.

    Deletes proposed GS 162A-85.9 regarding the determination of the tax rate by the district board.


  • Summary date: Apr 11 2013 - More information

    House amendment makes the following changes to the 2nd edition.

    Changes the long title.

    Amends Section 1(a) of the previous edition, providing that all assets and outstanding debts of any public water system meeting the following criteria are transferred to the metropolitan sewerage district operating in the county where the public water system is located and operated as a Metropolitan Water and Sewage District.

    (1) The public water system is owned and operated by a municipality located in a county where a metropolitan sewerage district is operating.

    (2) The public water system has not been issued a certificate for an interbasin transfer.

    (3) The public water system serves a population greater than 120,000 people, according to data submitted pursuant to GS 143-355(l).

    Amends Section 1(b), deleting the requirement that public sewer systems must not be operated as either a joint or regional public sewer system in order for the provisions of that section to apply.

    Amends Section 1(d), providing that members of the metropolitan sewerage district will continue to serve on the district board of the Metropolitan Water and Sewerage District until the governing body appoints or replaces that member on the district board.

    Adds Section 1(f), which provides, for the purposes of this section, that the transfer of all outstanding debts will make the Metropolitan Water and Sewer District liable for debts attached to and related to the assets transferred under this section and establishes that the Metropolitan Water and Sewer District will indemnify and hold harmless the grantor entity for outstanding debts transferred under this section.

    Creates new section GS 162A-85.2, (Creation), providing that two or more political subdivisions can establish a metropolitan water and sewerage district if a resolution is adopted, setting out specified terms and conditions.  Also provides the procedures and processes that must take place prior to the adoption of a resolution.

    Amends GS 162A-85.3, (District board), deleting the limitation that a district board cannot have more than 15 members.

    Amends the enactment clause, providing that the act is effective May 15, 2013, and the Metropolitan Water and Sewer District, pursuant to Section 1 of the act, will be created by operation of law.


  • Summary date: Apr 9 2013 - More information

    House committee substitute makes the following changes to the 1st edition.

    Requires the assets and outstanding debts of any public sewer system operated by the metropolitan sewerage district receiving assets pursuant to this bill to be transferred to that metropolitan sewerage district and to be operated as a Metropolitan Water and Sewerage District.

    Provides that the governing body of any political subdivision is authorized and empowered to take specified actions in regards to water systems (1st edition did not mention water systems in this section).

    Changes effective date to May 15, 2013 (was, effective when it became law).

     


  • Summary date: Apr 1 2013 - More information

    Transfers all assets and outstanding debts of any public water system operated by a subdivision of the state and body politic that serves a population of more than 120,000 people that is not operated as either a joint or regional public water supply, to the metropolitan sewerage district in the county in which the system is located, to be operated as a Metropolitan Water and Sewerage District. Requires the assets and outstanding debts of any public sewer system operated by a subdivision of the state and body politic that is interconnected with the metropolitan sewerage district receiving assets under the above requirement, that is not operated as either a joint or regional public sewer system, to be transferred to that metropolitan sewerage district to be operated as a Metropolitan Water and Sewerage District. Provides that until the appointments are made, the district board of the metropolitan sewerage district in the county in which the public water system the assets of which are being transferred is located must function as the district board. Requires that all necessary operation permits also be transferred.

    Enacts new Article 5A (Metropolitan Water and Sewerage Districts) in GS Chapter 162A. Provides that a district board consists of no more than 15 members, appointed as specified, who serve three year terms. Provides for reappointment, vacancies, removal, oath of office, officers and chairs, meetings and quorum, and compensation. Sets out the district's powers as exercising any power of a Metropolitan Water District and those of a Metropolitan Sewerage District, and doing all acts and things necessary or convenient to carry out the powers granted by the Article. Gives a metropolitan water and sewerage district the power to issue bonds and notes from time to time under the Local Government Finance Act.

    Sets out the process for the determination of tax rate by the district board and the, levy, collection, and remittance of tax.

    Allows the district board to fix, and revise, rents, rates, fees, and other charges for the use of and services furnished to or to be furnished by any water system or sewerage system. Sets out further requirements for such rates and charges.

    Provides that a right of way or easement in, along, or across any state highway system, road, or street, and along or across any city or town street within a district is granted to a district in case such right of way is found to be necessary or convenient for carrying out any of the district's work.

    Provides that the governing body of any political subdivision is authorized and empowered to take specified actions, including, to pay any obligation to the district under a contract from any available funds of the political subdivision and to levy and collect a tax for making the payment.

    Requires the district board to present preliminary plans to the county or city governing board before making final plans for the location and construction of any water system or sewerage system. Directs district boards to coordinate its plans for construction of water system or sewerage system improvements with the overall plans for the development of the planning area if the district is located wholly or partly within a county or municipal planning area.

    Gives a district the same power as a city to asses civil fines and penalties for violations of its ordinances and allows for injunctions. Provides further guidance on penalties and violations.

    Prohibits the district board from privatizing the provision of water or sewer to the customers of the district unless related to administrative matters only.

    Make conforming changes to GS 159-44, GS 159-48, and GS 159-81.


  • Summary date: Mar 28 2013 - More information

    To be summarized at a later date.


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