2014 -- S 2313 SUBSTITUTE A

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2014

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A N   A C T

RELATING TO WATERS AND NAVIGATION - DRINKING WATER SUPPLY SYSTEM

PROTECTION

     Introduced By: Senator V. SusanSosnowski

     Date Introduced: February 12, 2014

     Referred To: Senate Environment & Agriculture

     (by request)

It is enacted by the General Assembly as follows:

     SECTION 1. Section 46-15.3-10 of the General Laws in Chapter 46-15.3 entitled "Public

Drinking Water Supply System Protection" is hereby amended to read as follows:

     46-15.3-10. Water quality protection funds. -- (a) (1) There are hereby created three (3)

two (2) classes of water quality protection funds: one of which shall be administered by and be in

the custody of the treasurer of the water resources board and maintained by each supplier that

produces water from its own sources of supply, and/or pays directly to the water resources board

and one of which shall be administered by and be in the custody of the city of Providence acting

through the Providence water supply board, and one of which shall be in the custody of the

general treasurer. The first two (2) mentioned funds shall consist of such amounts as the state or

the city of Providence may from time to time appropriate, all water quality protection charges

other than the six and nine tenths percent (6.9%) and fifty-seven percent (57.0%) portions

referred to in section 46-15.3-9, proceeds from the sale of bonds and notes, as provided in

subsection (b) below, and any money which may have been obtained as grants, bequests,

donations, gifts, or fines which are intended to be used for purposes consistent with this chapter.

This third mentioned fund shall be hereby established as a general revenue receipt account known

as the "water resources operating fund".

      (2) The general revenue appropriations made available from the general revenue receipts

credited to "Water Resources Operating Fund" shall be used for the administration and support of

the water resources board.

      (b) The water resources board shall borrow money and issue its notes and bonds therefor,

for the purposes set forth in this chapter, and pursuant to the authority and the procedures set forth

in chapter 15.1 of this title, which shall be secured by pledging or assigning, in whole or in part,

the revenues and other monies held or to be deposited in the water quality protection funds and

any other revenues derived under this chapter.

      (c)(b) Any supplier with its own water quality protection fund may borrow money,

and/or issue its bonds or notes therefor, or may lease public facilities or public equipment for the

purposes set forth in this chapter. The supplier must secure any borrowings, bonds, notes, or

leases by pledging or assigning, in whole or in part, the revenues and other monies held by it in

its own water quality protection fund.

      (d)(c) All amounts in the water quality protection fund, water quality protection charges,

and any other revenues of the water resources board, excluding those deposited as general

revenues, received under the provisions of this chapter shall be deemed to be trust funds to be

held and applied solely as provided in this chapter and chapter 15.1 of this title.

      (e)(d) Any money which may accumulate in the water quality protection funds, which is

in excess of that pledged to repayment of outstanding bonds or notes or lease payments or loan

repayments at any given time, may be used directly for eligible expenditures from the fund and

shall be disbursed for these purposes in accordance with section 46-15.3-11.

     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO WATERS AND NAVIGATION - DRINKING WATER SUPPLY SYSTEM

PROTECTION

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     This act would classify the two (2) types of water quality protection funds and designate

who would administer the funds deposited therein.

     This act would take effect upon passage.

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