2023 -- H 6494

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LC003168

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2023

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A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS -- RHODE ISLAND UTILITY FAIR

SHARE ROADWAY REPAIR ACT

     

     Introduced By: Representatives Shallcross Smith, Ajello, Fogarty, Handy, Felix, Fellela,
Cruz, and Nardone

     Date Introduced: June 07, 2023

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Sections 39-2.2-3 and 39-2.2-5 of the General Laws in Chapter 39-2.2 entitled

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"Rhode Island Utility Fair Share Roadway Repair Act" are hereby amended to read as follows:

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     39-2.2-3. State road repair.

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     (a) Any repaving and repair of a state road required by § 39-2.2-2 shall be to the satisfaction

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of the director of the department of transportation.

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     (b) All utility work within and/or upon a state road or state right-of-way requires a state

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utility permit issued by the department of transportation prior to the work commencing. Any public

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utility or utility facility violating this section for non-emergency utility work without a state utility

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permit shall be fined five hundred dollars ($500) per incident in addition to the required road

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repaving and repair (restoration).

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     (c) As part of the state utility permit requirements:

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     (1) The public utility or utility facility shall obtain and submit to the state a performance

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bond in accordance with the state utility permit application requirements prior to the state utility

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permit being issued by the department of transportation; and

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     (2) The department of transportation will contract with pre-qualified vendors (Master Price

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Agreement) to conduct state-certified testing and inspection services on all utility work in

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accordance with the state utility permit requirements, and the public utility or utility facility shall

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reimburse the department of transportation for these costs.

 

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     (d) Prior to altering the conditions of a roadway, the public utility or utility facility shall

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plan utility work within and/or upon a state road or state right-of-way, in accordance with the state

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transportation improvement program (STIP) project schedules. The utilities shall develop and

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provide the department a comprehensive project schedule for utility projects with an immediate

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need and those occurring within five (5) and ten (10) years. The project list shall include the location

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of the project, duration, utility repair or replacement taking place, anticipated alterations to the

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roadway, and any additional information the department may request. If a road is not listed in the

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STIP, the utility shall seek a utility permit in accordance with subsection (b) of this section. If the

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department denies the request, the utility shall not proceed with any alterations to the roadway,

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unless they determine an emergency situation exists by providing evidence to the department of the

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emergency situation. If the department determines no emergency situation exists, the department

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may issue a violation and impose a penalty in accordance with subsection (b) of this section. The

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utility shall not pass the expense of a road repair on to the consumer nor shall they recoup funds

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through rate payer increases.

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     39-2.2-5. Recovery for failure to repair state road.

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     (a) If the director of the department of transportation deems any repaving or repair of a

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state road insufficient, defective, noncompliant, or incomplete and requests repairs, it will be the

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responsibility of the public utility or utility facility to complete the repairs to the satisfaction of the

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director of the department of transportation within thirty (30) days of being notified.

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     (b) If the public utility or utility facility fails to complete the repairs, the department of

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transportation will initiate the repairs through the performance bond claim process and/or

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recovering the amount required for the repairs from the public utility or utility facility.

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     (c) If any payment determined to be due from any public utility or utility facility for

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reparation, reconstruction, or repaving shall not be paid to the state within one year from the date

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of the determination, the state shall be entitled to recover the amount due in an action of debt,

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together with interest from six (6) months from the date of determination at the rate of ten percent

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(10%) per annum.

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     (d) If a public utility or utility facility violates the provisions of § 39-2.2-3(d), they shall

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be subject to penalties in accordance with that section. The utility shall not use rate payer funds to

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pay any penalties assessed for those violations.

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     (e) The public utility shall not request a rate payer increase from the public utilities

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commission to cover the expenses incurred from violations, nor shall the public utilities

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commission approve any rate increases that require rate payer funds for expenses incurred from

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violations.

 

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     (f) If a residential utility project requires repairs to a state road, the utility shall not charge

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or pass along the expense of the road repair to the homeowner.

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     SECTION 2. This act shall take effect on January 1, 2024.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO PUBLIC UTILITIES AND CARRIERS -- RHODE ISLAND UTILITY FAIR

SHARE ROADWAY REPAIR ACT

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     This act would require a utility to follow the state transportation improvement program

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(STIP) project schedules for road repair. This act would also require a permit for any non-road

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STIP project schedules. Failure to obtain a permit would be a violation subject to the imposition of

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monetary penalties. This act would further prohibit the utility from using rate payer increases to

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pay for any expenses for road repair or penalties.

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     This act would take effect on January 1, 2024.

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