2016 -- H 7925

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LC005357

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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 -- PUBLIC 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:

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     SECTION 1. Sections 46-15.3-9, 46-15.3-11 and 46-15.3-25 of the General Laws in

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Chapter 46-15.3 entitled "Public Drinking Water Supply System Protection" are hereby amended

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to read as follows:

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     46-15.3-9. Collection of charges. -- (a) A record shall be maintained by every supplier

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showing the amounts of water sold, and the amounts of water quality protection charges billed.

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The records shall be subject to public review. The water quality protection charges shall be

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deemed to be trust funds for the purposes of this chapter and shall be held in a separate account

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restricted receipt account maintained by each supplier.

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      (1) For all suppliers, other than the city of Providence acting through the Providence

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water supply board, or suppliers purchasing water from the city of Providence acting through the

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Providence water supply board, thirty-six and one tenth percent (36.1%) of the amount billed

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each month shall be remitted to the treasurer of the water resources board on or before the

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twentieth (20th) day of the second month following the month of billing the amount billed each

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month shall be transferred into the designated restricted receipt account maintained by each

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supplier by the tenth day of the month following billing.

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      (2) For suppliers purchasing water from the city of Providence acting through the

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Providence water supply board, for that portion of such supplier's retail billings representing

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water furnished to the purchasers from the Providence water supply board, thirty-six and one

 

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tenth percent (36.1%) of the amount billed each month shall be remitted to the Providence water

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supply board, on or before the twentieth (20th) day of the second month following the month of

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billing, and for that portion of such supplier's retail billings representing water furnished to the

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purchasers from sources other than the Providence water supply board, thirty-six and one tenth

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percent (36.1%) of the amount billed each month shall be remitted to the treasurer of the water

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resources board on or before the twentieth (20th) day of the second month following the month of

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billing transferred into the designated restricted receipt account maintained by each supplier by

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the tenth day of the month following billing.

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      (3) The amounts remitted by suppliers purchasing water from the city of Providence to

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the Providence water supply board and treasurer of the water resources board those amounts

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being transferred to restricted receipt accounts pursuant to the previous sentence this section shall

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be based pro rata on metered water production originating from the Providence water supply

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board and from all other sources in accordance with rules and regulations to be finally

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promulgated by the water resources board on or before September 1, 1992.

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      (b) For all suppliers, including the city of Providence acting through the Providence

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water supply board, fifty-seven percent (57.0%) of the amount billed each month shall be

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remitted through the water resources board to the general treasurer of the state of Rhode Island on

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or before the twentieth (20th) day of the second month following the month of billing and shall be

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deposited as general revenues.

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      (c) All suppliers may disburse an amount not to exceed the six and nine tenths percent

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(6.9%) of the charges collected and retained by the supplier as an administrative charge for any

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purpose relating to the operation of the supplier. All suppliers shall use or pledge the thirty-six

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and one tenth percent (36.1%) of the charges collected to pay principal or interest on bonds,

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notes, or other obligations issued for the purposes of this chapter or lease payments in connection

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with any bonds, notes, or obligations or for the purposes set forth in §46-15.3-11. It shall not be

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necessary for any supplier of public drinking water whose rates may be regulated by the public

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utilities commission, pursuant to chapter 1 of title 39, to obtain approval from the commission for

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billing of the water quality protection charge. The public utilities commission shall not, in

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determining rates for any supplier hereunder, consider the funds billed hereunder when

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determining revenue requirements for the supplier.

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      (d) In no event shall any supplier be responsible to collect or pay more than a single

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water quality protection charge with respect to water sold by such supplier, whether the date of

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sale was on, before, or after July 1, 1992.

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     46-15.3-11. Disbursements from the funds Use of funds. -- (a) Only suppliers which

 

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withdraw water from wells, reservoirs, springs, or other original sources of potable water shall be

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entitled to disbursements from the first of the two (2) mentioned funds created under § 46-15.3-10

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administered by the water resources board. From amounts available from bond proceeds held by

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the water resources board, that board shall disburse to each supplier contributing to the fund a

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proportional amount based upon each supplier's pro rata withdrawal of water by volume from

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wells, reservoirs, springs, or other original sources of water averaged over the three (3) calendar

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years preceding disbursement as determined by the water resources board. Suppliers shall be

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required to expend this money proceeds from bonds supported by these funds as follows:

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      (1) Not less than fifty-five percent (55%) shall be spent for acquisition of land or rights

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in land or physical improvements to acquired land required to protect the quality of raw water of

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the water supply system. Expenditures for maintenance, administration, and payment of taxes on

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land acquired under this chapter shall be included within this subdivision.

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      (2) Any remaining funds may be used for any eligible expenditures as defined in § 46-

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15.3-4.

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      (b) The city of Providence shall make expenditures from amounts available in the fund

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held by the city of Providence based on the same formula as in subdivisions (a)(1) and (a)(2)

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above; provided, however, the city of Providence shall be exempt from participating in the use of

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an alternate deicing mixture within the Scituate watershed unless drinking water supply sodium

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levels exceed fifteen (15) ppm (parts per million) for three (3) consecutive years or seventeen

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(17) ppm (parts per million) for one year. The city of Providence will monitor sodium levels and

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report sodium testing results to the Rhode Island department of health and the public on a yearly

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basis. If drinking water supply sodium levels exceed fifteen (15) ppm for three (3) consecutive

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years or seventeen (17) ppm for one year, the city of Providence shall immediately participate in

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the use of an alternative deicing mixture within the Scituate watershed. In December of 2008, the

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city of Providence will provide a three (3) year report to the Rhode Island department of

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environmental management, the general assembly and the public. Every three (3) years, the city

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of Providence will submit a report to the general assembly on monitoring data for sodium levels

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within the Scituate watershed. This report will include monitoring data from the previous three

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(3) year period.

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      (c) In making decisions about the expenditure of money under the provisions of this

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chapter, suppliers shall take into account the following factors:

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      (1) The likelihood of development of the specific parcel proposed for acquisition;

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      (2) The existing land uses, as well as the likelihood of development, in the watershed;

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      (3) The potential threat to public drinking water sources posed by development in the

 

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watershed including, but not limited to, the intensity of development, the types of land uses,

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proximity to reservoirs and/or well heads, and the buffering and filtration capacity of the natural

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systems;

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      (4) Whether alternative protection measures are available and/or have been attempted,

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including local land use regulations;

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      (5) The number of persons who presently depend on the sources for their drinking water,

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as well as the number of persons who may depend on it in the future;

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      (6) The anticipated cost of the parcel proposed to be purchased, and whether less than a

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fee interest may be acquired which would reduce the cost significantly while still providing

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protection to the source;

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      (7) Other cost effectiveness considerations, including whether protection of the source

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can be provided by the construction of physical improvements;

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      (8) Whether acquisition of the specific parcel, and the protection of the watershed of

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which it is a part, is consistent with other planning considerations;

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      (9) Proposed management techniques for the parcel proposed to be acquired which will

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maximize its capacity to protect the source.

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      (d) The costs of issuance of notes and bonds authorized by § 46-15.3-10 may be payable

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from any monies in the water quality protection funds.

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     46-15.3-25. Transfer of charges to Rhode Island infrastructure bank Transfer of

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charges. -- Notwithstanding any law, rule or regulation to the contrary, upon the dissolution of

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the water resources board (corporate) pursuant to § 46-15.1-22, any charges previously remitted

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to the water resources board (corporate) pursuant to this chapter shall be remitted to the Rhode

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Island infrastructure bank, a body politic and corporate and public instrumentality of the state

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established pursuant to chapter 12.2 of title 46 maintained by each supplier's water quality

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protection program.

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     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 -- PUBLIC DRINKING WATER SUPPLY

SYSTEM PROTECTION

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     This act would make a number of changes in the procedure for the remittance and

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disbursement of water charges. It would also provide that upon dissolution of the water resources

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board (corporate), charges previously remitted to the board would be maintained and retained by

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each supplier to support water quality protection programs.

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     This act would take effect upon passage.

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