Bill Text: IN HB1126 | 2012 | Regular Session | Amended
Bill Title: Water and wastewater issues.
Spectrum: Bipartisan Bill
Status: (Enrolled - Dead) 2012-03-19 - Signed by the Governor [HB1126 Detail]
Download: Indiana-2012-HB1126-Amended.html
Citations Affected: IC 8-1.5; IC 36-9.
Synopsis: Extraterritorial water and sewer rates. Provides that: (1) a
municipality that operates a water, wastewater, or combined water and
wastewater utility; or (2) users of the utility's works whose property is
located outside the corporate boundaries of the municipality; may
petition the utility regulatory commission (IURC) under certain
circumstances for review and revision of the rates and charges imposed
on the users. Requires the IURC to prescribe the form and content of
the petition. Provides that a petition is considered approved if the IURC
does not approve or disapprove the petition within 120 days.
Authorizes the IURC to adopt rules.
Effective: July 1, 2012.
January 9, 2012, read first time and referred to Committee on Environmental Affairs.
January 25, 2012, amended, reported _ Do Pass.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or
A BILL FOR AN ACT to amend the Indiana Code concerning
utilities.
(1) water
(2) wastewater utility; or
(3) combined water and wastewater utility;
that
(b) As used in this section, "works" refers to water or wastewater utility works.
charges, shall be:
(1) published in accordance with IC 5-3-1 (IC 5-3-1-1 through
IC 5-3-1-9);
(2) mailed to owners of vacant or unimproved property if the
ordinance includes a fee for water or wastewater service to
vacant or unimproved property; and
(3) mailed to users of the waterworks of the works for service to
property located outside the municipality's corporate boundaries.
The notice may be mailed in any form so long as the notice of hearing
is conspicuous. The hearing may be adjourned from time to time.
Notice mailed under subdivision (3) must include a statement that,
following adoption of the ordinance, the users described in
subdivision (3) may be entitled to petition the commission under
section 8.3 of this chapter to review and adjust the rates and
charges imposed on the users if the conditions described in section
8.3(c) of this chapter apply and if the users described in subdivision
(3) do not file a petition under section 8.2 of this chapter with
respect to the same rate ordinance.
(c) (d) After the hearing, the municipal legislative body shall adopt
the ordinance establishing the rates and charges, either as originally
introduced or as modified. A copy of the schedule of rates and charges
adopted shall be kept on file and available for public inspection in the
offices of the board and the municipal clerk. The ordinance must
state in plain language the percentage difference between the rates
and charges imposed on:
(1) users of the works for service to property located outside
the corporate boundaries of the municipality; and
(2) users of the works for service to property located within
the corporate boundaries of the municipality.
(d) (e) The rates and charges established for any class of users or
property shall be extended to cover any additional property that is
subsequently served and falls within the same class, without any
hearing or notice.
(e) (f) The municipal legislative body may change or readjust the
rates and charges in the same manner as they were established.
(f) (g) Rates and charges collected under this chapter are considered
revenues of the waterworks. utility.
(1) "utility"; and
(2) "works";
have the meaning set forth for those terms in section 8.1 of this chapter.
(b) Owners of property connected or to be connected to and served by the
(1) the petition contains the names and addresses of the petitioners;
(2) the petitioners attended the public hearing provided under section 8.1 of this chapter;
(3) the written petition is filed with the municipal legislative body within five (5) days after the ordinance establishing the rates and charges is adopted under section 8.1 of this chapter;
(4) the written petition states specifically the ground or grounds of objection; and
(5) the petitioners have not filed a petition with the commission under section 8.3 of this chapter appealing the same rates and charges of the utility.
(c) Unless the objecting petition is abandoned, the municipal clerk shall file in the office of the clerk of the circuit or superior court of the county a copy of the rate ordinance or ordinances together with the petition. The court shall then set the matter for hearing at the earliest date possible, which must be within twenty (20) days after the filing of the petition with the court. The court shall send notice of the hearing by certified mail to the municipality and to the first signer of the petition at the address shown on the petition. All interested parties shall appear in the court without further notice, and the municipality may not conduct any further proceedings concerning the rates and charges until the matters presented by the petition have been heard and determined by the court.
(d) At the discretion and upon direction of the court, the petitioners shall file with the petition a bond in the sum and with the security fixed by the court. The bond must be conditioned on the petitioners' payment of all or part of the costs of the hearing and any damages awarded to the municipality if the petition is denied, as ordered by the court.
(e) Upon the date fixed in the notice, the court shall, without a jury, hear the evidence produced. The court may confirm the decision of the municipal legislative body or sustain the objecting petition. The order of the court is final and conclusive upon all parties to the proceeding and parties who might have appeared at the hearing, subject only to the
right of direct appeal. All questions that were presented or might have
been presented are considered to have been adjudicated by the order of
the court, and no collateral attack upon the decision of the municipal
legislative body or order of the court is permitted.
(f) If the court sustains the petition, or if the petition is sustained on
appeal, the municipal legislative body shall set the rates and charges in
accordance with the decision of the court.
(b) As used in this section:
(1) "utility"; and
(2) "works";
have the meaning set forth for those terms in section 8.1 of this chapter.
(c) If the municipal legislative body adopts an ordinance under section 8.1 of this chapter that imposes rates and charges on users of the works for service to property located outside the corporate boundaries of the municipality that exceed by more than ten percent (10%) the rates and charges imposed on users for service to property located within the corporate boundaries of the municipality, either or both of the following may petition the commission to review and adjust, if necessary, the rates and charges imposed on users for service to property located outside the corporate boundaries of the municipality:
(1) The municipality.
(2) The lesser of:
(A) ten percent (10%) of; or
(B) twenty-five (25);
users whose property is located outside the corporate boundaries of the municipality.
A petition must be filed not more than fourteen (14) days after the date on which the ordinance is adopted.
(d) The filing of a petition with the commission under subsection (c) stays the ordinance adopted under section 8.1 of this chapter. The rates and charges in effect before the adoption of the ordinance remain in effect until:
(1) the commission approves or disapproves the petition, or the petition is considered approved under subsection (e); and
(2) if applicable, the commission adjusts the rates and charges
imposed by the ordinance on users whose property is located
outside the corporate boundaries of the municipality.
(e) The commission shall prescribe the form and manner in
which a petition must be filed under subsection (c). The burden of
proof to demonstrate that the proposed rates and charges are
reasonable and just is on the municipality, regardless of who
petitions the commission under subsection (c). If the commission
fails to approve or disapprove a petition within one hundred
twenty (120) days after the petition is filed in the form and manner
prescribed by the commission, the petition is considered approved.
A petition is automatically disapproved if the petitioner has filed
a petition under section 8.2 of this chapter with respect to the same
rate ordinance.
(f) If the commission determines that the rates and charges
imposed on users for service to property located outside the
corporate boundaries of the municipality are not reasonable and
just, the commission may:
(1) establish reasonable and just rates and charges for users
for service to property located outside the corporate
boundaries of the municipality; and
(2) order the municipal legislative body to adopt an ordinance
imposing the reasonable and just rates and charges.
(g) This section does not:
(1) authorize the commission to review or revise rates and
charges imposed on users for service to property located
within the corporate boundaries of the municipality; or
(2) otherwise return or subject a utility to the jurisdiction of
the commission for the approval of rates and charges.
(h) The commission may adopt rules under IC 4-22-2 to
implement this section.
(1) published in accordance with IC 5-3-1;
(2) mailed to owners of vacant or unimproved property if the ordinance includes a fee for sewer availability to vacant or
unimproved property; and
(3) mailed to users of the sewage works for service to property
located outside the municipality's corporate boundaries.
The notice may be mailed in any form so long as the notice of the
hearing is conspicuous. The hearing may be adjourned from time to
time. Notice mailed under subdivision (3) must include the
statement required by IC 8-1.5-3-8.1(c).
(b) After the hearing, the municipal legislative body shall adopt the
ordinance establishing the fees, either as originally introduced or as
modified. A copy of the schedule of fees adopted shall be kept on file
and available for public inspection in the offices of the board and the
municipal clerk. The ordinance must state in plain language the
percentage difference between the rates and charges imposed on:
(1) users of the works for service to property located outside
the corporate boundaries of the municipality; and
(2) users of the works for service to property located within
the corporate boundaries of the municipality;
as required by IC 8-1.5-3-8.1(d).
(c) Subject to section 37 of this chapter, the fees established for any
class of users or property shall be extended to cover any additional
property that is subsequently served and falls within the same class,
without any hearing or notice.
(d) The municipal legislative body may change or readjust the fees
in the same manner by which they were established.
(e) Fees collected under this chapter are considered revenues of the
sewage works.
(1) the petition contains the names and addresses of the petitioners;
(2) the petitioners attended the public hearing provided under section 26 of this chapter;
(3) the written petition is filed with the municipal legislative body within five (5) days after the ordinance establishing the rates and charges is adopted under section 26 of this chapter;
(4) the written petition states specifically the ground or grounds of objection; and
(5) the petitioners have not filed a petition with the commission under IC 8-1.5-3-8.3 appealing the same rates and
charges of the utility.
(b) Unless the objecting petition is abandoned, the municipal clerk
shall file in the office of the clerk of the circuit or superior court of the
county a copy of the rate ordinance or ordinances together with the
petition. The court shall then set the matter for hearing at the earliest
date possible, which must be within twenty (20) days after the filing of
the petition with the court. The court shall send notice of the hearing
by certified mail to the municipality and to the first signer of the
petition at the address shown on the petition. All interested parties shall
appear in the court without further notice, and the municipality may not
conduct any further proceedings concerning the rates and charges until
the matters presented by the petition have been heard and determined
by the court.
(c) At the discretion and upon direction of the court, the petitioners
shall file with the petition a bond in the sum and with the security fixed
by the court. The bond must be conditioned on the petitioners' payment
of all or part of the costs of the hearing and any damages awarded to
the municipality if the petition is denied, as ordered by the court.
(d) Upon the date fixed in the notice, the court shall, without a jury,
hear the evidence produced. The court may confirm the decision of the
municipal legislative body or sustain the objecting petition. The order
of the court is final and conclusive upon all parties to the proceeding
and parties who might have appeared at the hearing, subject only to the
right of direct appeal. All questions that were presented or might have
been presented are considered to have been adjudicated by the order of
the court, and no collateral attack upon the decision of the municipal
legislative body or order of the court is permitted.
(e) If the court sustains the petition, or if it is sustained on appeal,
the municipal legislative body shall set the rates and charges in
accordance with the decision of the court.
