2017 -- S 0701

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LC002242

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2017

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A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS -- DUTIES OF UTILITIES AND

CARRIERS

     Introduced By: Senators Coyne, Felag, Conley, Seveney, and DiPalma

     Date Introduced: April 04, 2017

     Referred To: Senate Commerce

     It is enacted by the General Assembly as follows:

     SECTION 1. Section 39-2-15 of the General Laws in Chapter 39-2 entitled "Duties of

Utilities and Carriers" is hereby amended to read as follows:

     39-2-15. Interference with construction -- Notice.

     (a) No utility shall interfere with, or delay the progress of work under any contract with

or undertaken by the state department, agency, division or board, or any municipality, political

subdivision, or quasi-governmental entity of the state of Rhode Island, for the construction,

reconstruction, or improvements of any highway, street, road, railroad grade crossing, bridge,

tunnel, underpass, overpass, laying of sewer or water or other underground pipes, or any other

state or municipal contract work, by failing to remove or relocate its poles, wires, cables,

conduits, pipes, or any other facilities or structures within the time schedule therefor by an

agreement or under the terms of an agreement between the department, agency, division or board,

municipality, political subdivision, or quasi-governmental entity, and the utility, or, if no time is

fixed by an agreement or under the terms of such an agreement, within the time fixed by the

department, agency, division, or board, municipality, political subdivision, or quasi-governmental

entity, by notice served upon the utility by the state department, agency, division, or board,

municipality, political subdivision or quasi-governmental entity.

     (b) If the notice is utilized, it shall describe the public improvement and the geographical

location thereof, the date of commencement, and the date of completion, if any, provided for by

the contract, the contractor's name and address, the manner in which and the extent to which the

facilities and structures of the utility obstruct or prevent the contractor from progressing or

performing the work comprehended by the contract, and shall fix the date or time within which

the utility is required to remove or relocate its facilities or structures, specifying the same, in

order to provide the contractor with the site when required by the contractor for progressing or

performing the work pursuant to the state contract. The notice shall be in writing and shall be

served upon the utility either personally or by certified mail at its principal office or place of

business in the county where the work under the contract is to be performed, or, if there is no

principal office or place of business in the county, at the nearest principal office or place of

business of the utility, outside of the county.

     (c) In the event the utility to whom the notice described in subsection (b) of this section

was directed is, for any reason, unable, within the prescribed period, to remove or relocate the

facilities or structures specified in the notice, the utility shall immediately advise the department,

agency, division, or board, municipality, political subdivision, or quasi-governmental entity, and

the contractor, in writing, of the inability, and in the same communication so advise the

department, agency, division, or board, municipality, political subdivision, or quasi-governmental

entity, and the contractor of the approximate date that the removal or relocation of facilities or

structures could be effected; and shall further state the basis for the inability of the utility to

remove or relocate the facilities or structures within the time specified by the notice served

thereon by the department, agency, division, or board, municipality, political subdivision, or

quasi-governmental entity. The department, agency, division, or board, municipality, political

subdivision, or quasi-governmental entity, after examining and considering the utility's basis for

establishing a different schedule for the removal or relocation, shall, if its basis is reasonable,

establish and notify the utility of a revised schedule for completing the removal or relocation.

     (d) In cases where the utility has been reimbursed for removal, relocation, replacement,

or reconstruction, a utility failing to complete the removal or relocation of the structures or

facilities within a period of thirty (30) days beyond the time fixed therefor by the latest time

schedule established in accordance with this section, shall be liable and responsible to any

contractor for any damages, direct or consequential, sustained by any contractor as the result

thereof, in an action to be brought by the contractor against the utility in a court of competent

jurisdiction within three (3) years from the time fixed for the removal or relocation of the

structures or facilities. If an action is commenced against a utility, as heretofore provided, the

utility may interpose in its answer in the action any defense available under the provisions of the

civil practice law and rules. The unreasonableness of the time schedule imposed by the state

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department, agency, division, or board, municipality, political subdivision, or quasi-governmental

entity, shall be an absolute defense by the utility to any action by the contractor. If, in any action,

the utility is found to owe nothing to the contractor, or if an offer of settlement is made by the

utility which is not accepted by the contractor, and the resulting verdict against the utility is less

than the offer of settlement, then in either event, the total cost of the utility of litigation, including

reasonable attorney's fees, shall be paid to the utility by the contractor.

     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 PUBLIC UTILITIES AND CARRIERS -- DUTIES OF UTILITIES AND

CARRIERS

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     This act would extend the co-operation requirement public utilities have by law with

contractors involved in state construction projects to municipal, political subdivisions and other

quasi-governmental agencies.

     This act would take effect upon passage.

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