MISSISSIPPIAdopted LEGISLATURECOMMITTEE REGULARAMENDMENT SESSIONNO 20231 By:PROPOSED TO House Bill No.

Representative698 YatesBY: To:

PublicCommittee UtilitiesAmend HOUSEby BILLstriking NO.all after the enacting clause and inserting in lieu thereof the following:

698 AN ACT TO AMEND SECTIONS 21-27-7 AND 21-27-189, MISSISSIPPI CODE OF 1972, TO ENSURE JUST, REASONABLE AND TRANSPARENT BILLING FOR MUNICIPAL WATER, WASTEWATER AND SEWER SERVICES;

AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

(1) (a) The governing authorities of municipalities shall have the power to erect, purchase, maintain and operate waterworks, and to regulate the same, and to prescribe the rates at which water shall be supplied to the inhabitants* * * *.users.

Except as provided in Section 21-27-77, the rates at which water, wastewater, and sewer services shall be supplied shall be just and reasonable,reasonable based on the actual cost to operate and maintain the systems, and rates may not be unreasonably preferential, 23/SS26/HB698A.J *SS26/HB698A.J* PAGE 1 prejudicial or discriminatory but shall be sufficient, equitable and consistent in application to each class of inhabitants.users.

(b)While Ratesa municipality may set different rates for different classifications of users, a municipality shall benot calculateddiscriminate in equitablesetting proportionrates toamong themembers servicesof andthe benefitssame rendered.classification.

ExceptThe asmunicipal providedgoverning inauthorities Sectionshall H.make a finding on the minutes of the governing body establishing the rate based on the actual cost to operate and maintain the system.

B.A municipality shall not charge a user a fee for services received which is less than the cost incurred by the municipality to provide such services.

No.(b) The governing authorities of a municipality shall establish and maintain rates and charges in equitable proportion to the use of the services and benefits rendered by the waterworks systems and water treatment facilities serving the municipal area.

698From *HR43/R1486*time ~to OFFICIALtime ~the G1/2governing 23/HR43/R1486authorities PAGEshall 1adjust (OM\EW)such 21-27-77,rates, to the calculationend ofthat anthe inhabitant'srevenues billtherefrom shallwill be limitedsufficient at all times to pay the actualexpenses amount of usage,operating plusand thosemaintaining feessuch reasonableworks, facilities and necessarysystems forand all of the costmunicipality's ofobligations capitalunder expenses,any systemcontract operationor andbond maintenance,resolution andwith debtrespect service.thereto.

(c)Except Noticeas ofprovided anyin changeSection in21-27-77, the ratecalculation atof whicha servicesuser's arebill supplied shall be postedlimited onto allthe billsactual sentamount toof inhabitantsvolumetric atusage, leastplus onethose (1)fees monthreasonable priorand tonecessary for the effectivecost date of thecapital rateexpenses, change.system operation and maintenance, and debt service.

23/SS26/HB698A.J *SS26/HB698A.J* PAGE 2 (c) If a user's meter is tampered with, unreadable, or otherwise out-of-order, a municipality may render an estimated bill to that user for a period not to exceed six (6) months.

In such circumstance, an estimated bill shall be based upon the prior average measured usage of the user.

(i) In the event a municipality is unable to meet the requirement of billing based solely on volumetric usage, the municipality may bill based on a flat fee rate.

In such circumstance, the municipality may set different flat fee rates for different classifications of users, but the municipality shall not discriminate in setting flat fee rates among members of the same classification.

(ii) The governing authorities of the municipality shall make a finding on the minutes of the governing body establishing the rate based upon the actual cost to operate and maintain the system, and the municipality shall not charge a user a fee for services received that is less than the cost incurred by the municipality to provide such services.

(d) Notice of any change in the rate or rate structure at which services are supplied shall be posted on all bills sent to users at least one (1) month prior to the effective date of the rate change.

(d)23/SS26/HB698A.J *SS26/HB698A.J* PAGE 3 (e) Nothing in this statute shall be construed as prohibiting ana inhabitantuser or governing authority of any municipality from applying for and receiving any federally or privately subsidized payment assistance, grant or other funds, nor shall this statute be construed as prohibiting a municipality from establishing or administering a program under Section 21-27-77.

(f) The governing authority of a municipality may provide for the calculation of a user's bill by a method other than volumetric usage only in exchange for consideration as part of our in connection with an incentive contract or other form of benefit or assistance related to the user's location, expansion, or maintenance of its commercial or industrial operation within the municipality, so long as such rate is equitable, fair, and non-discriminatory.

The governing authorities shall have the power to contract with any person for the maintenance and operation of H.waterworks.

B.* * * The authorities shall have the power to contract with any person for the erection and maintenance of 23/SS26/HB698A.J *SS26/HB698A.J* PAGE 4 waterworks for a term not exceeding twenty-five (25) years, fixing water rates in the contract subject to municipal regulations.

No.

698 *HR43/R1486* ~ OFFICIAL ~ 23/HR43/R1486 PAGE 2(OM\EW) waterworks.

* * * The authorities shall have the power to contract with any person for the erection and maintenance of waterworks for a term not exceeding twenty-five (25) years, fixing water rates in the contract subject to municipal regulations.

(a) To operate and manage sewerage systems, sewage treatment facilities and sewage disposal systems and related H.facilities serving the metropolitan area in conformance with the metropolitan area plan.

B.23/SS26/HB698A.J *SS26/HB698A.J* PAGE 5 (b) To construct, operate and maintain sewerage systems, sewage treatment facilities and sewage disposal systems in the manner and to the extent required by the metropolitan area plan.

No.

698 *HR43/R1486* ~ OFFICIAL ~ 23/HR43/R1486 PAGE 3(OM\EW) facilities serving the metropolitan area in conformance with the metropolitan area plan.

(b) To construct, operate and maintain sewerage systems, sewage treatment facilities and sewage disposal systems in the manner and to the extent required by the metropolitan area plan.

The rates shall be just and reasonable, and rates may not be unreasonably preferential, prejudicial,prejudicial or discriminatory but shall be sufficient, equitable and consistent in application to each class of inhabitants.users.

While the municipality may set different rates for different classifications of users, a municipality shall not discriminate in setting rates among members of the same classification.

The governing authorities of the municipality shall make a finding on the minutes of the governing body establishing the rate based upon the actual cost to operate and maintain the system, and a municipality shall not charge a user a fee for services received which is less 23/SS26/HB698A.J *SS26/HB698A.J* PAGE 6 than the cost incurred by the municipality to provide such services.

(f) To adopt rules and regulations necessary to carry out the implementation of the metropolitan area plan and to assure H.the payment of each participating person or public agency of its proportionate share of treatment costs.

B.

No.

698 *HR43/R1486* ~ OFFICIAL ~ 23/HR43/R1486 PAGE 4(OM\EW) the payment of each participating person or public agency of its proportionate share of treatment costs.

(j) To require by ordinance or by contract with a public agency or other person that all waste within the metropolitan area be disposed of through sewerage systems, treatment facilities and sewage disposal systems which comprise a part of the metropolitan area plan, to the extent that the same 23/SS26/HB698A.J *SS26/HB698A.J* PAGE 7 may be available, but no public agency shall be precluded from constructing, operating and maintaining its own sewerage system if the same be a part of the metropolitan area plan.