2016 -- H 7924

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LC005356

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2016

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A N   A C T

RELATING TO WATERS AND NAVIGATION -- DRINKING WATER SUPPLY SYSTEM

PROTECTION

     Introduced By: Representatives Messier, Barros, Johnston, and Coughlin

     Date Introduced: March 10, 2016

     Referred To: House Finance

     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, 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 §

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) 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) 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) 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 § 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 would

provide for the administration of the funds deposited therein by either the water supplier or the

city of Providence.

     This act would take effect upon passage.

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LC005356

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