Bill Text: MS HB1294 | 2012 | Regular Session | Introduced


Bill Title: Rural water associations; authorize to convert to public water authorities.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Failed) 2012-03-06 - Died In Committee [HB1294 Detail]

Download: Mississippi-2012-HB1294-Introduced.html

MISSISSIPPI LEGISLATURE

2012 Regular Session

To: Public Utilities

By: Representative Brown (20th)

House Bill 1294

AN ACT TO CREATE NEW SECTION 51-41-8, MISSISSIPPI CODE OF 1972, TO PROHIBIT THE STATE, A MUNICIPALITY AND ANY POLITICAL SUBDIVISION OF THE STATE FROM EXERCISING THE POWER OF EMINENT DOMAIN OVER THE FACILITIES OF A QUALIFIED CORPORATION OR WATER AUTHORITY EXCEPT WHEN THE PUBLIC SERVICE COMMISSION CANCELS THE CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY GRANTED TO THE FACILITIES; TO AMEND SECTION 77-3-5, MISSISSIPPI CODE OF 1972, TO PROHIBIT THE PUBLIC SERVICE COMMISSION FROM REGULATING THE RATES FOR THE SALE OF WATER OR SEWER SERVICES BY CERTAIN ENTITIES; TO AMEND SECTIONS 51-41-1 AND 51-41-3, MISSISSIPPI CODE OF 1972, TO CONFORM TO THE PROVISIONS OF THIS ACT; AND FOR RELATED PURPOSES.

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

     SECTION 1.  The following shall be codified as Section 51-41-8, Mississippi Code of 1972:

     51-41-8.  The state, a municipality and any political subdivision of the state may not exercise the power of eminent domain over the facilities of a qualified corporation or water authority unless the Mississippi Public Service Commission, in accordance with Section 77-3-21, cancels the certificate of public convenience and necessity granted to the qualified corporation or water authority in accordance with Section 77-3-13 for the service area where those facilities are located.  Nothing in this chapter shall be construed to constitute a waiver by any water authority, qualified corporation or water provider of any right granted to it under federal law.

     SECTION 2.  Section 77-3-5, Mississippi Code of 1972, is amended as follows:

     77-3-5.  Subject to the limitations imposed in this article and in accordance with the provisions hereof, the Public Service Commission shall have exclusive original jurisdiction over the intrastate business and property of public utilities.  However, the commission shall not have jurisdiction over the production and gathering of natural gas or the sale of natural gas in or within the vicinity of the field where produced, or over the facilities and equipment utilized in any such operations, including, but not limited to, such facilities as separators, scrubbers and gasoline plants of all types.  Moreover, the commission shall not have jurisdiction to regulate the rates for the sales:

          (a)  Of gas, water, electricity or sewage disposal services by municipalities to such persons as said municipalities are authorized by law to serve;

          (b)  Of gas or electricity by cooperative gas or electric power associations to the members thereof as consumers, except as provided by Sections 77-3-15 and 77-3-17, where service is rendered in a municipality;

          (c)  Of water or sewage disposal service by nonprofit corporations, associations or water authorities created under Chapter 41, Title 51, Mississippi Code of 1972; or

          (d)  Of water by districts organized under the provisions of Chapter 45, Laws of 1966-1967, Extraordinary Session.

     SECTION 3.  Section 51-41-1, Mississippi Code of 1972, is amended as follows:

     51-41-1.  It is the intent of the Legislature to provide a means, in addition to the incorporation of districts authorized in Sections 19-5-151 through 19-5-207, by which not-for-profit corporations or associations involved in the provision

of * * * water or sewer services to members of the public and others for compensation may convert their entity status from that of a body corporate to that of a body politic, thereby allowing those entities the opportunity to access the tax-exempt capital markets and thereby assuring the State of Mississippi and the customers of those entities of * * * water or sewer services at reasonable rates * * *.

     SECTION 4.  Section 51-41-3, Mississippi Code of 1972, is amended as follows:

     51-41-3.  As used in this chapter, unless the context otherwise requires:

          (a)  "Board" means the board of directors of the water authority;

          (b)  "Bond" means any bond, promissory note, lease purchase agreement or other evidence of indebtedness of any nature along with all debt securing instruments of every nature related thereto;

          (c)  "Indenture" means a mortgage, an indenture of mortgage, deed of trust, trust agreement, loan agreement, security agreement or trust indenture executed by the water authority as security for any bonds;

          (d)  "Project" means any raw or potable water or wastewater intake, treatment, distribution, transmission, storage, pumping, well site, well field or other facility or system, or any combination of the foregoing, that has as its purpose the providing of * * * water or sewer services for compensation to members of the public and commercial, industrial or other users or the treatment of wastewater, along with any and all other appurtenances, equipment, betterments or improvements related thereto.  The above projects may include any lands, or interest in any lands, deemed by the board to be desirable in connection with the projects, and necessary equipment for the proper     functioning and operation of the buildings or facilities involved;

          (e)  "Qualified corporation" means any not-for-profit corporation or association that provides, distributes, transmits, treats, pumps or stores * * * water or provides sewer services to or for the benefit of members of the general public and commercial, industrial and other users for compensation;

          (f)  "United States" means the United States of America or any of its agencies or instrumentalities;

          (g)  "State" means the State of Mississippi; and

          (h)  "Water authority" means that body politic and governmental entity organized under the provisions of this chapter.

     SECTION 5.  This act shall take effect and be in force from and after July 1, 2012.


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