Chapter 189


Enacted 07/01/11





     Introduced By: Representatives JP O`Neill, Bennett, Hull, Blazejewski, and Slater

     Date Introduced: March 17, 2011


It is enacted by the General Assembly as follows:


     SECTION 1. Section 39-3-11.1 of the General Laws in Chapter 39-3 entitled "Regulatory

Powers of Administration" is hereby amended to read as follows:


     39-3-11.1. Changes in rates of publicly owned water authorities. -- (a)

Notwithstanding any other provisions of this chapter, the commission shall not have the power to

suspend the taking effect of any change or changes in the rates, tolls, and charges filed and

published in compliance with the requirements of sections 39-3-10 and 39-3-11 by any public

waterworks or water service owned or furnished by a city, town, or any other municipal

corporation defined as a public utility in section 39-1-2, when the change or changes are proposed

to be made solely for the purpose of making payments or compensation to any city or town for

reimbursement of any loans or advances of money previously issued to any public waterworks or

water service by any city or town under existing contracts or arrangements; provided, however,

that the change or changes shall take effect subject to refund or credit pending further

investigation, hearing, and order by the commission within eight (8) months after the effective

date. The public waterworks or water service shall file with the commission the new rate schedule

along with the documentary evidence of the indebtedness supporting the new rates. Further, the

rate schedule shall be published in a newspaper of general circulation in the service area by the

waterworks or water service at least ten (10) days prior to the effective date thereof.

      (b) The provisions of this section shall not be construed to bar recovery of loans or

advances of money not otherwise reflected in existing rates, tolls, and charges issued to May 19,


     (c) In setting rates for publicly owned water authorities, the commission shall not require

the payment of rental fees for fire hydrants from any municipality that has prohibited such fees by

ordinance as provided in section 45-39-4 and has given notice to the commission of said



     SECTION 2. Chapter 45-39 of the General Laws entitled "Sale of Water" is hereby

amended by adding thereto the following section:


     45-39-4. Payment for hydrant rentals. Notwithstanding any general or special law

relating to publicly owned water authorities, a municipality may provide by enactment of an

ordinance and complying with the notice requirements of section 39-3-11.1, that the rental usage

or fees for any fire hydrant within the municipality shall be the responsibility of the water

ratepayers within the municipality which enacted the enabling ordinance, provided that this

provision shall apply only where the municipality owns the water supplier and is the exclusive

supplier of public water within the municipality.


     SECTION 3. This act shall take effect upon passage.



LC01695/SUB A