CHAPTER 360


97-H 6744 am
Approved Jul. 7, 1997


AN ACT RELATING TO WATERS AND NAVIGATION -- PUBLIC DRINKING WATER SUPPLY SYSTEMS PROTECTION

It is enacted by the General Assembly as follows:

SECTION 1. Chapter 46-15.4 of the General Laws entitled 'Water Supply Management' is hereby repealed in its entirety.

{DEL 46-15.4-1. Legislative findings, intent, and objectives. -- DEL} {DEL The general assembly hereby declares:

(1) That Rhode Island has abundant supplies of surface and groundwater and an average level of precipitation adequate to replenish these supplies under normal conditions, and that these supplies are sufficient in quantity and quality to meet the present needs of the people and economy of this state, but that sources of drinking water are not always located where they are needed, are subject to contamination making them unfit for drinking purposes, may be used for purposes not requiring water suitable for drinking, and may not be adequate to meet all future needs.

(2) That systematic management of the state's drinking water supplies is essential to the proper conservation, development, utilization, and protection of this finite natural resource, if the present and future needs of the state are to be met on a continuing and sustainable basis.

(3) That the objectives of this chapter are:

(i) to insure that water supply management plans are prepared, maintained, and carried out by each municipality and by each municipal department, agency, district, authority, or other entity engaged in or authorized to engage in the supply, treatment, transmission, or distribution of drinking water, and

(ii) That the said plans and their execution achieve the effective and efficient conservation, development, utilization, and protection of this finite natural resource in ways that meet the present and future needs of the state and its people.DEL}

{DEL 46-15.4-2. Water supply management plan. -- DEL} {DEL All parties involved in the supply, transmission, and/or distribution of drinking water shall prepare, maintain, and carry out a water supply management plan as described by this chapter. This requirement applies without limitations to:

(1) All municipalities subject to chapter 45-22.2 of the general laws, the Comprehensive Planning and Land Use Regulation Act. The water supply management plan shall be part of the Services and Facilities Element required by section 45-22.2-6(F).

(2) All municipalities, municipal departments and agencies, districts, authorities or other entities engaged in or authorized to engage in the supply, treatment, transmission, or distribution of drinking water on a wholesale or retail basis, referred to herein as 'water suppliers', which obtain, transport, purchase, or sell more than fifty million (50,000,000) gallons of water per year. DEL}

{DEL 46-15.4-3. Content of water supply management plans. -- DEL} {DEL (a) A water supply management plan shall be prepared in the format, and shall address each of the topics, listed in this section, to the extent that each is relevant to the municipality or water supplier, the water source(s), the water system(s), and the area served or eligible to be served. Notwithstanding any other provisions of this chapter, water supply management plans shall be in conformity with all applicable provisions of the Federal Safe Drinking Water Act 42 U.S.C. section 300f et seq., chapter 13 of this title and chapter 14 of this title, as administered by the department of health. Any other topic of interest may be included.

(b) A water supply management plan shall include, without limitation:

(1) A statement of the goals that the plan is designed to achieve.

(2) A description of the water system(s) covered, including sources of water, the service area, present and anticipated future users, and other important characteristics.

(3) Data collection in a form that can be accepted directly into the Rhode Island Geographic Information System. Monitoring of system operations shall be performed at intervals approved by the director of the department of environmental management in coordination with the office of strategic planning of the division of planning so as to evaluate all critical aspects of the system, compare performance with capabilities and expectations, and provide a basis for continuing water supply planning at the system, municipal, regional, and state levels.

(4) Demand management measures that will achieve a high level of efficiency in the use of a limited resource, through the application of metering of one hundred percent (100%) of the water used; sanitary device retrofit; technical assistance to and performance of water use audits for major industrial, commercial, institutional, government, and agricultural and other outdoor water users; education and information; and use of appropriate fees, rates, and charges to influence use.

(5) System management measures to insure that the following elements are optimally operated and maintained, including: leak detection and repair; meter installation and replacement; and frequency of reading meters. Maintenance or reduction of non-account water to stated goals shall be considered an essential component of system management.

(6) Supply management measures to insure present and future availability of drinking water in adequate quantity and quality, including protection of the capacity and quality of drinking water sources; retaining water sources for standby or future use that are or can be improved to drinking water quality; reactivation of any water sources not in use; interconnection of systems for ongoing, standby, or emergency use; and supply augmentation.

(7) Emergency management, including risk assessment; responses to temporary or permanent loss of supplies due to natural or manmade causes; extraordinary treatment processes; interruptions in the delivery system; and contamination of water sources or delivery systems.

(c) The water supply management plans of water suppliers shall document that coordination has been accomplished with those plans of other suppliers in the vicinity and with operators of wastewater treatment and disposal facilities serving all or part of the same area or that a good faith effort to do so has been made. Plans shall be consistent with applicable local comprehensive plans and shall be integrated into the water supply plans of the municipality or municipalities in which the service area is or is planned to be located. Conversely, the local comprehensive plans shall be consistent with water supply plans.

(d) Water supply management plans shall designate the person or organization responsible for taking each action, others who must participate, and the time period in which each action is to be taken. The capital, operating, and maintenance cost (if any) of each action shall be estimated and the anticipated source of funds shall be identified.

(e) Water suppliers subject to this chapter shall utilize methods to implement management measures necessary to achieve the findings, intent, and objectives of this chapter. The water supplier may be required to document the validity or effectiveness of any management measure, implementation method, or other provision or action included in its plan. DEL}

{DEL 46-15.4-4. Completion and filing of water supply management plans. -- DEL} {DEL (a) Each party required by this chapter to prepare and maintain a water supply management plan shall complete and adopt an initial plan by October 1, 1993, except as provided in this section. In its discretion, the water supply management division may be regulation schedule the submittal of water supply management plans over a nine (9) month period starting on October 1, 1993.

(b) Municipalities and water suppliers subject to the requirements of section 46-15.4-2(b) shall file a copy of all plans and amendments thereto with the following:

(1) The water supply management division of the department of environmental management or its successor.

(2) The division of drinking water quality of the department of health.

(3) The division of planning of the department of administration.

(4) The administrator of the division of public utilities and carriers if the agency is subject to regulation under title 39.

(5) The water resources board.

(c)(1) Municipalities and water suppliers subject to section 46-15.4-2(2) shall review their plans at least once every five (5) years, and shall amend or replace their plan as required so as to remain current.

(2) Additionally, on a thirty (30) month basis, each supplier shall report to the water supply management division on the status of their plan implementation and shall provide the following information; metered source production; wholesale water sales and purchases; gross retail water sales; retail water sales by customer category beginning no later than first scheduled five (5) year plan update; calculation of non-account water; and number of customers served.

(d) A municipality or water supplier subject to section 46-15.4-2(2) may request, in writing, that the water supply management division of the department of environmental management or its successor extend the time in which to complete and submit filings required by this chapter, not to exceed one year. A request shall be approved only upon demonstration that an extension is justified by extraordinary circumstances beyond the control of the municipality or water supplier. An extension, if approved, shall not waive any of the requirements of sections 46-15.4-5. This provision does not apply to the section on emergency management. Should a municipality or water supplier fail to submit a filing as provided herein, a determination of non- compliance shall be made by the water supply management division. DEL}

{DEL 46-15.4-5. Expeditious review of water supply management plans. -- DEL} {DEL (a) The water supply management division of the department of environmental management or it successor shall coordinate the expeditious review of water supply management plans, replacements and amendments thereto prepared by water suppliers and all other subject to section 46-15.4-2(2b).

(b) Upon filing of water supply management plans, replacements and amendments thereto prepared by water suppliers under this chapter, the division of drinking water quality of the department of health, the division of planning of the department of administration, the division of public utilities and carriers, and the water resources board shall have ninety (90) days to review said filings and submit comments thereon to the water supply management division.

(c)(1) Upon consideration of written comments by all agencies designated herein the water supply management division shall determine whether the plan complies with the requirements of this chapter. Should any reviewing agency find that substantive deficiencies prevent the water supply management plan from meeting the requirements of this chapter, a determination of noncompliance shall be made by the water supply management division. This determination, unless otherwise extended pursuant to this chapter, shall be made within one hundred eighty (180) days of the initial submission. A thirty day public comment period shall be included in this one hundred eighty (180) day review period. Failure by the water supply management division to notify the water supplier or municipality of its determination within said time limit shall constitute approval.

(2) Should the water supply management division find that the water supply management plan is in noncompliance, or deficient due to incorrect, inconsistent or missing data or information but is in substantial compliance with the objectives of this chapter, the water supply management division shall issue a first notice of deficiencies. The water supplier or municipality shall have one hundred and twenty (120) days within which to correct the deficiencies and resubmit its filing addressing the comments of the water supply management division. Thereafter the division shall have ninety (90) days from the date of the resubmission to determine whether or not the new submission is in compliance with this chapter. Failure by the water supply management division to notify the water supplier of its determination, in writing within ninety (90) days of the date of resubmission shall constitute acknowledgement of compliance.

(d) Upon the submission of plans or plan amendments prior to the scheduled submittal date, as established by the water supply management division, the scheduled submittal date may be used for purposes of initiating the one hundred eighty (180) day review period. The time period for review of water supply management plans, replacements, or amendments thereto submitted after the scheduled submittal date, shall be as determined by the division of water supply management. DEL}

{DEL 46-15.4-6. Fees, rates and charges. -- DEL} {DEL (a) The fees, rates and charges for drinking water are a mandatory component of water supply management.

(b) The following factors shall be considered in setting fees, rates and charges:

(1) Recovery of all capital and operating costs, fixed and variable of production, conservation, use, management, protection, obtaining, development, procuring, and/or transporting water, and its sale at wholesale or retail.

(2) Marginal cost pricing.

(3) Emergency and drought period surcharges.

(4) Seasonal price structures.

(5) Difference in costs based upon different points of delivery.

(6) The effect of fees, rates, and charges on use of water and, where applicable, on wastewater costs and charges.

(7) The effect of reducing non-account water to levels consistent with stated goals.

(8) Preparing, maintaining and implementing water supply management programs.

(c) Notwithstanding the provisions of section 39-2-2 and 39-2-5 of the general laws, all rates and charges made by water suppliers which decline as quantity used increases are hereby declared to be no longer conducive to sound water supply management designed to properly conserve, develop, utilize, and protect this finite natural resource. The public utilities commission may order rates for suppliers of water which either do not vary with quantities used or when there is evidence of increasing costs to either the utility or to society, rates which increase as the quantity used increases. If the commission finds that changing rates to comply with this section will cause a hardship to a class of customers, the commission may order that rates for that class of customers be changed to comply with this section over a period of time not to exceed five (5) years.

(d) Notwithstanding the provisions of sections 39-2-2 and 39-2-5 of the general laws, the public utilities commission may order a reduction in rates consistent with the amount by which a supplier exceeds the stated goals for non-account water. Non-account water shall be defined as the difference between the metered supply and the metered consumption for a specific period including an allowance for firefighting. No estimates for non-metered usage, except for the firefighting allowance, shall be included in the calculation of accounted for water. DEL}

{DEL 46-15.4-7. Billing and collection of fees, rates, and charges. -- DEL} {DEL (a) Financial support of water supply and provision of timely and accurate information on costs to users are mandatory components of water supply management.

(b) Bills shall be rendered on a regular schedule for metered usage in the immediately preceding time period. Water supplies selling water to other water suppliers or at retail shall meter all water delivered and shall maintain and replace meters in accordance with their management plans. Water suppliers shall formulate and carry out a program for installation of remote reading or automatic reading systems. These programs shall be carried out not later than July 1, 1996.

(c) Water suppliers shall develop programs for recording metered usage and billing thereafter, at an interval less than one year as determined appropriate, not later than July 1, 2001. Alternatively, water suppliers must demonstrate that annual meter reading and billing is consistent with the purposes of this chapter.

(d) Unless the water supplier already engages in joint billing activities, a water supplier selling water at retail shall conduct feasibility studies of joint billing for water supply and wastewater treatment and disposal in cooperation with all parties responsible for the latter service within the same water supply service area. The water supplier shall evaluate arrangements with municipalities and waste water treatment and disposal agencies for operation of a combined billing system, including equitable sharing of costs. DEL}

{DEL 46-15.4-8. Sanitary device retrofitting. -- DEL} {DEL Water supply management shall include retrofitting existing water users not in conformance with the state plumbing code standards for new or replacement sanitary devices with water-saving plumbing equipment, including but not limited to low-flow faucet aerators and shower heads, toilet displacement equipment, and materials for toilet tank leak detection. A water utility may act as a central purchaser and supplier of water efficiency devices which comply with state plumbing codes and may enter into cooperative agreements with other water suppliers or other agencies to facilitate bulk purchases of water efficiency devices required to implement approved retrofit plans. A retrofitting program shall include, without limitation:

(1) Annual notification to each residential class user of the objectives and accomplishments of the retrofit program and of the availability of water-saving plumbing devices at cost or at no direct cost.

(2) Installation of water saving plumbing equipment for residential class users by the water supplier at cost or at no direct cost as scheduled in the water supply management plan.

(3) Technical assistance and water audits to formulate and implement retrofit programs for major multiple unit housing areas or developments and commercial and industrial users. Water suppliers may enter into cooperative agreements with the owners or management of such users for the preparation of specifications, bulk purchase, and installation of sanitary device retrofit equipment for the purpose of implementing retrofit programs. DEL}

{DEL 46-15.4-9. Financing water supply management. -- DEL} {DEL The cost of water supply management planning and water supply management as required by this chapter shall be financed as follows:

(1) The cost of preparing and maintaining water supply management plans as required by section 46-15.4-2(1) shall be paid by the municipality from any funds made available under chapter 45-22.2 of the general laws or from any other funds used to prepare, maintain, and amend local comprehensive plans. Expenses incurred in conducting these activities are exempt from reimbursement as a state mandate under sections 45-13-6 through 45-13-10 of the general laws.

(2) The cost of preparing and maintaining water supply management plans and carrying out water supply management programs as required by section 46-15.4-2(2) shall be paid from charges against water users. Such charges shall be limited to those necessary and reasonable to undertake the actions required by this chapter, and shall be included in bills rendered in accordance with section 46-15.4-6(b).

(3) A public or private utility, under the jurisdiction of the public utilities commission, providing water service may file with the public utilities commission proposed rates and charges, including emergency rate relief, so as to provide for the necessary and reasonable costs of carrying out the requirements of this chapter. The public utilities commission shall hear and decide such requests as provided by title 39 of the general laws, and shall allow adjustments in rates necessary to offset necessary and reasonable reductions in revenues resulting from implementation of a water supply management program.

(4) Water utilities will be operated as financially self-supporting agencies and shall maintain revenue levels sufficient to cover all fixed and variable capital and operating costs of conservation, use, management, protection, development and other costs of water supply and may be allowed a reasonable profit. DEL}

{DEL 46-15.4-10. Review of implementation of water supply management plan. -- DEL} {DEL The water supply management division of the department of environmental management or its successor shall review the evidence of implementation provided with each water supplier's thirty (30) month report and determine whether water supply management plan implementation is sufficient to achieve the objectives of this chapter. Should the water supply management division find that plan implementation is not sufficient to substantially achieve the objectives of this chapter, a determination of noncompliance shall be made. DEL}

{DEL 46-15.4-11. Actions by the division of drinking water quality of the department of health. -- DEL} {DEL The division of drinking water quality of the department of health shall, as provided in section 46-15.4-5, review each water supply management plan, replacement or amendment thereto filed with it, submit comments in writing to the Water Supply Management Division of the Department of Environmental Management, as to its completeness, appropriateness for the area served, and adequacy to achieve the objectives of this chapter, and, as appropriate, to meet the requirements of the Federal Safe Drinking Water Act, 42 U.S.C. section 300f et seq., chapter 13 of this title, and chapter 14 of this title. DEL}

{DEL 46-15.4-12. Actions by the division of planning of the department of administration. -- DEL} {DEL The division of planning of the department of administration shall, review each water supply management plan, replacement, or amendment thereto submitted by a water supplier as provided by section 46-15.4-2(2) of the general laws and submit comments in writing to the Water Supply Management Division. Water supply management plans or amendments thereto prepared by municipalities as required by section 46-15.4-2(1) shall be reviewed as provided by chapter 45-22.2 of the general laws.DEL}

{DEL 46-15.4-13. Actions by the division of public utilities and carriers and the public utilities commission. -- DEL} {DEL (a) The division of public utilities and carriers shall, as provided in section 45-15.4-9, review each water supply management plan, replacement, or amendment thereto filed with it by a regulated water supplier submit comments in writing to the water supply management division of the department of environmental management as to its completeness, appropriateness for the area served, and adequateness to achieve the objective of this chapter.

(b) The public utilities commission shall, however, approve proposed rates and charges that it finds are necessary and reasonable for the preparation and maintenance, and implementation of water supply management plans. DEL}

{DEL 46-15.4-13.1. Actions by the water resources board. -- DEL} {DEL The water resources board shall as provided in section 46-15.4-5, review each water supply management plan, replacement or amendment thereto filed with it, and submit comments in writing to the water supply management division of the department of environmental management. DEL}

{DEL 46-15.4-14. Rules governing review and evaluation. -- DEL} {DEL The department of environmental management or its successor shall promulgate rules and regulations for the review of water supply management plans. Agencies designated in sections 46-15.4-11 through 46-15.4-13 shall promulgate the criteria or standards which these respective agencies will use to evaluate the implementation of approved water supply management plans. DEL}

{DEL 46-15.4-15. Enforcement. -- DEL} {DEL (a) The water supply management division shall forward any determination of non-compliance made pursuant to sections 46-15.4-4, 46-15.4-5 and 46-15.4-10 to the division of public utilities and carriers. The division of public utilities and carriers shall consider such determinations of non-compliance as a complaint under section 39-4-3.

(b) The order of the division of public utilities and carriers may be appealed pursuant to section 39-5-1. DEL}

{DEL 46-15.4-16. Severability. -- DEL} {DEL If any provision of this chapter or of any rule, regulation or determination made thereunder, or the application thereof to any person, agency or circumstances, is held invalid by a court of competent jurisdiction, the remainder of the chapter, rule, regulation, or determination and the application of such provisions to other persons, agencies, or circumstances shall not be affected thereby. The invalidity of any section or sections of this chapter shall not affect the validity of the remainder of this chapter. DEL}

SECTION 2. Sections 46-15.3-1, 46-15.3-1.1, 46-15.3-3, 46-15.3-5.1, and 46-15.3-7 of the General Laws in Chapter 46-15.3 entitled 'Public Drinking Water Protection' are hereby amended to read as follows:

46-15.3-1. Short title. -- This chapter shall be referred to as the 'Public Drinking Water {ADD Supply System ADD} Protection Act of {DEL 1987 DEL} {ADD 1997 ADD}'.

46-15.3-1.1. Legislative findings. -- The general assembly hereby recognizes and declares that:

(1) Water is vital to life and comprises an invaluable natural resource which is not to be abused by any segment of the state's population or its economy. It is the policy of this state to restore, enhance, and maintain the chemical, physical, and biological integrity of its waters to protect public health;

{ADD That Rhode Island has abundant supplies of surface and groundwater and an average level of precipitation adequate to replenish these supplies under normal conditions, and that these supplies are sufficient in quantity and quality to meet the present needs of the people and economy of this state, but that sources of drinking water are not always located where they are needed, are subject to contamination making them unfit for drinking purposes, may be used for purposes not requiring water suitable for drinking, and may not be adequate to meet all future needs; ADD}

(2) The waters of this state are a critical renewable resource which must be protected to insure the availability of safe and potable drinking water for present and future needs;

{ADD That systematic management of the state's drinking water supplies is essential to the proper conservation, development, utilization, and protection of this finite natural resource, if the present and future needs of the state are to be met on a continuing and sustainable basis; ADD}

(3) It is a paramount policy of the state to protect the purity of present and future drinking water supplies by protecting aquifers, recharge areas, and watersheds;

(4) It is the policy of the state to restore and maintain the quality of its waters to a quality consistent with its use for drinking supplies and other designated beneficial uses without treatment as feasible;

(5) Development of land areas near to supplies of drinking water and related construction can threaten the quality of those supplies and, therefore, can endanger public health; thus it is necessary to take immediate and continuing steps to protect the watersheds of surface waters and the reservoirs and recharge areas of ground waters from land uses and activities which may degrade the quality of public drinking water;

(6) Protection of water quality is necessary from the collection source through the point of delivery to the ultimate consumer {DEL . DEL} {ADD ; ADD}

{ADD (7) That the objectives of this chapter are:

(a) To insure that water supply system management plans are prepared, maintained, and carried out by each municipality and by each municipal department, agency, district, authority, or other entity engaged in or authorized to engage in the supply, treatment, transmission, or distribution of drinking water, and

(b) That the said plans and their execution achieve the effective and efficient conservation, development, utilization, and protection of this finite natural resource in ways that meet the present and future needs of the state and its people. ADD}

{DEL 46-15.3-5.1. Water management plans -- Leak detection and repair. -- {ADD 46-15.3-5.1. Water supply systems management plans. -- ADD} {DEL (a) Every supplier of public water shall by July 1, 1991, complete a water management plan which shall at a minimum include: DEL}

{ADD (A) All parties involved in the supply, transmission, and/or distribution of drinking water shall prepare, maintain, and carry out a water supply system management plan as described by this chapter. This requirement applies, without limitations, to:

(1) All municipalities subject to chapter 45-22.2 of the general laws, the Comprehensive Planning and Land Use Regulation Act. The water supply management plan shall be part of the Services and Facilities Element required by section 45-22.2-6(F);

(2) All municipalities, municipal departments and agencies, districts, authorities or other entities engaged in or authorized to engage in the supply, treatment, transmission, or distribution of drinking water on a wholesale or retail basis, referred to herein as 'water suppliers', which obtain, transport, purchase, or sell more than fifty million (50,000,000) gallons of water per year.

(B) A water supply system management plan shall be prepared in the format, and shall address each of the topics, listed in this section, to the extent that each is relevant to the municipality or water supplier, the water source(s), the water system(s), and the area served or eligible to be served. Notwithstanding any other provisions of this chapter, water supply management plans shall be in conformity with all applicable provisions of the Federal Safe Drinking Water Act [42 U.S.C. section 300f et seq.], chapter 13 of this title, Public Drinking Water Supply and chapter 14 of this title, Contamination of Drinking Water, as administered by the department of health. Any other topic of interest may be included.

(C) A water supply system management plan shall include, without limitation, the following components:

(1) The water supply management component of the water supply system management plan shall include, without limitation:

(a) A statement of the goals that the plan is designed to achieve;

(b) A description of the water system(s) covered, including sources of water, the service area, present and anticipated future users, and other important characteristics;

(c) Data collection in a form that can be accepted directly into the Rhode Island Geographic Information System. Monitoring of system operations shall be performed at intervals approved by the director of the department of environmental management in coordination with the office of strategic planning of the division of planning so as to evaluate all critical aspects of the system, compare performance with capabilities and expectations, and provide a basis for continuing water supply planning at the system, municipal, regional, and state levels;

(d) Demand management measures that will achieve a high level of efficiency in the use of a limited resource, through the application of metering of one hundred percent (100%) of the water used; sanitary device retrofit; technical assistance to and performance of water use audits for major industrial, commercial, institutional, government, and agricultural and other outdoor water users; education and information; and use of appropriate fees, rates, and charges to influence use;

(e) System management measures to insure that the following elements are optimally operated and maintained, including: leak detection and repair; meter installation and replacement; and frequency of reading meters. Maintenance or reduction of non-account water to stated goals shall be considered an essential component of system management;

(f) Supply management measures to insure present and future availability of drinking water in adequate quantity and quality, including protection of the capacity and quality of drinking water sources; retaining water sources for standby or future use that are or can be improved to drinking water quality; reactivation of any water sources not in use; interconnection of systems for ongoing, standby, or emergency use; and supply augmentation;

(g) Emergency management, including risk assessment; responses to temporary or permanent loss of supplies due to natural or manmade causes; extraordinary treatment processes; interruptions in the delivery system; and contamination of water sources or delivery systems;

(h) The water supply system management plans of water suppliers shall document that coordination has been accomplished with those plans of other suppliers in the vicinity and with operators of wastewater treatment and disposal facilities serving all or part of the same area or that a good faith effort to do so has been made. Plans shall be consistent with applicable local comprehensive plans and shall be integrated into the water supply plans of the municipality or municipalities in which the service area is or is planned to be located. Conversely, the local comprehensive plans shall be consistent with water supply plans;

(i) Water supply system management plans shall designate the person or organization responsible for taking each action, others who must participate, and the time period in which each action is to be taken. The capital, operating, and maintenance cost (if any) of each action shall be estimated and the anticipated source of funds shall be identified;

(j) Water suppliers subject to this chapter shall utilize methods to implement management measures necessary to achieve the findings, intent, and objectives of this chapter. The water supplier may be required to document the validity or effectiveness of any management measure, implementation method, or other provision or action included in its plan.

(2) The water quality protection component of the water supply system management plan shall include, without limitations, those items enumerated in section 46-15.3-7.

(3) The leak detection and repair component of the water supply system management plan shall include, without limitation: ADD}

{DEL (1) DEL} {ADD (a)ADD} Methodology for leak detection;

{DEL (2) DEL} {ADD (b) ADD} Detailed program for the conducting of required repairs to the water supply system;

{DEL (3) DEL} {ADD (c) ADD} Impact assessment studies on the ability of the supplier to provide for peak demand services;

{DEL (4) DEL} {ADD (d) ADD} A priority list of actions for implementing these management measures {DEL . DEL} {ADD ; ADD}

{ADD (e) Every supplier of public water encompassed under this section shall conduct periodic leak detection and water calibration testing once every ten (10) years commencing July 1, 1991.ADD}

{DEL 46-15.3-7. Water quality protection plans. -- DEL} {ADD 46-15.3-7. Water quality protection component. -- ADD} (A) Every supplier of public water eligible for trust fund proceeds under this chapter shall, by July 1, 1988, complete a water quality protection {DEL plan DEL} {ADD component ADD} which shall at a minimum include:

(1) Determination of the boundaries of the watersheds of reservoirs serving the supplier or of the aquifers serving public wells.

(2) Identification of sources of contamination of each reservoir or well field.

(3) Identification of measures needed to protect each reservoir or well field from sources of contamination, including acquisition of buffer zones, diversion of storm water or spills, and desirable land use control regulations.

(4) A priority list of actions for implementing these protection measures.

(b) This {DEL plan DEL} {ADD component ADD} shall be adopted by the governing board of each water supplier following a public hearing. Notice of the public hearing shall be published once by the supplier at least twenty (20) days before the date set thereof, in a newspaper of general circulation in the State of Rhode Island. The notice shall set forth the date, time, and place of the hearing and shall include a brief description of the matter to be considered at the hearing. The {DEL plan DEL} {ADD component ADD} shall be updated at least once every five (5) years. Proceeds from the watershed protection fund shall be usable for reimbursement of suppliers for preparation of water quality protection plans.

SECTION 3. Chapter 46-15.3 of the General Laws entitled 'Public Drinking Water Protection' is hereby amended by adding thereto the following sections:

{ADD 46-15.3-7.3. Rules governing content of programs, components, review, evaluation, funding, and implementation. -- ADD} {ADD The water resources board with the concurrence of the department of environmental management, the department of health, the department of administration's division of planning, and the Rhode Island public utilities commission, as to water suppliers within its jurisdiction, shall forthwith promulgate rules and regulations for the review of components as described in this chapter. The water resources board with the concurrence of the department of environmental management, the department of health, the department of administration's statewide planning program, and the Rhode Island public utilities commission, as to water suppliers within its jurisdiction, shall promulgate the criteria or standards which it will use to evaluate the implementation of approved components, programs and funding mechanisms. ADD}

{ADD 46-15.3-7.4. Excluding requirement of state mandated cost. -- ADD} {ADD The provisions of sections 45-13-7 through 45-13-10 inclusive, shall not apply to chapter 46-15.3.ADD}

{ADD 46-15.3-7.5. Completion and filing of water supply system management plans. -- ADD} {ADD Each party required by this chapter to prepare and maintain a water supply system management plan shall complete and adopt an initial plan adhering to the schedule for the water supply management element as previously set by the division of water supply management of the department of environmental management with the understanding that the previously approved watershed protection element as approved by the water resources board corporate and the clean water infrastructure element as approved by the department of health shall be phased in with the water supply management element due date into the water supply system management plan as determined in consultation with the water resources board.

(a) Municipalities and water suppliers subject to the requirements of section 46-15.3-5.1 of this chapter shall file a copy of all plans and amendments thereto with the water resources board.

(b) Municipalities and water suppliers subject to section 46-15.3-5.1 shall review their plans at least once every five (5) years, and shall amend or replace their plan so as to remain current.

Additionally, on a thirty (30) month basis, each supplier shall report to the water resources board on the status of their plan implementation and shall provide the following information; metered source production; wholesale water sales and purchases; gross retail water sales; retail water sales by customer category beginning no later than first scheduled five (5) year plan update; calculation of non-account water; and number of customers served.

(c) A municipality or water supplier subject to section 46-15.3-5.1 of this chapter may request, in writing, that the water resources board extend the time in which to complete and submit filings required by this chapter, not to exceed one (1) year. A request shall be approved only upon demonstration that an extension is justified by extraordinary circumstances beyond the control of the municipality or water supplier. An extension, if approved, shall not waive any of the requirements of section 46-15.3-7.6. This provision does not apply to the section on emergency management. Should a municipality or water supplier fail to submit a filing as provided herein, a determination of non-compliance shall be made by the water resources board. ADD}

{ADD 46-15.3-7.6. Expeditious review of water supply system management plans. -- ADD} {ADD The water resources board shall coordinate the expeditious review of water supply system management plans, replacements and amendments thereto prepared by water suppliers and all other subject to section 46-15.3-5.1 of this chapter.

(a) Upon filing of water supply system management plans, replacements and amendments thereto prepared by water suppliers under this chapter the department of environmental management, the department of health, the division of planning of the department of administration, and the division of public utilities and carriers, shall have ninety (90) days to review said filings and submit comments thereon to the water resources board.

(b) Upon consideration of written comments by all agencies designated herein the water resources board shall determine whether the plan complies with the requirements of this chapter. Should any reviewing agency find that substantive deficiencies prevent the water supply system management plan from meeting the requirements of this chapter, a determination of noncompliance shall be made by the water resources board. This determination, unless otherwise extended pursuant to this chapter, shall be made within one hundred eighty (180) days of the initial submission. A thirty (30) day public comment period shall be included in this one hundred eighty (180) day review period. Failure by the water resources board to notify the water supplier or municipality of its determination within said time limit shall constitute approval.

Should the water resources board find that the water supply system management plan is in noncompliance, or deficient due to incorrect, inconsistent or missing data or information but is in substantial compliance with the objectives of this chapter, the water resources board shall issue a first notice of deficiencies. The water supplier or municipality shall have one hundred and twenty (120) days within which to correct the deficiencies and resubmit its filing addressing the comments of the water resources board. Thereafter the water resources board shall have ninety (90) days from the date of the resubmission to determine whether or not the new submission is in compliance with this chapter. Failure by the water resources board to notify the water supplier of its determination, in writing within ninety (90) days of the date of resubmission shall constitute acknowledgement of compliance.

(c) Upon the submission of plans or plan amendments prior to the scheduled submittal date, as established by the water resources board, the scheduled submittal date may be used for purposes of initiating the one hundred eighty (180) day review period. The time period for review of water supply system management plans, replacements, or amendments thereto submitted after the scheduled submittal date, shall be as determined by the water resources board. ADD}

{ADD 46-15.3-7.7. Water suppliers -- Temporary exemption. -- ADD} {ADD Those water suppliers, and all others subject to the provisions of this chapter, who, at the time that this chapter takes effect, have in process the development of a water supply management plan, or component thereof, as required under any provision of the general laws, shall be temporarily exempt from having to comply with this chapter, for a period of five (5) years following the submission of a water supply management plan required under other provisions of the general laws. ADD}

{ADD 46-15.3-15. Actions by the water resources board. -- ADD} {ADD The water resources board shall review the evidence of implementation provided with each water supplier's thirty (30) month report and determine whether water supply system management plan implementation is sufficient to achieve the objectives of this chapter. Should the water resources board find that plan implementation is not sufficient to substantially achieve the objectives of this chapter, a determination of noncompliance shall be made. ADD}

{ADD 46-15.3-16. Actions by the department of health. -- ADD} {ADD The department of health shall review each water supply system management plan, replacement or amendment thereto filed with it, submit comments in writing to the water resources board, as to its completeness, appropriateness for the area served, and adequacy to achieve the objectives of this chapter, and, as appropriate, to meet the requirements of the Federal Safe Drinking Water Act, Chapter 46-13, Public Drinking Water Supply, and Chapter 46-14, Contamination of Drinking Water. ADD}

{ADD 46-15.3-17. Actions by the department of environmental management. -- ADD} {ADD The department of environmental management shall review each water supply system management plan, replacement or amendment thereto filed with it, and submit comments in writing to the water resources board. ADD}

{ADD 46-15.3-18. Actions by the division of planning of the department of administration. -- ADD} {ADD The division of planning of the department of administration shall:

(a) Review each water supply system management plan, replacement, or amendment thereto submitted by a water supplier as provided by section 46-15.3-5.1 and submit comments in writing to the water resources board. Water supply system management plans or amendments thereto prepared by municipalities as required by section 46-15.3-5.1 shall be reviewed as provided by chapter 45-22.2 of the general laws. ADD}

{ADD 46-15.3-19. Actions by the division of public utilities and carriers and the public utilities commission. -- ADD} {ADD The division of public utilities and carriers shall review each water supply system management plan, replacement or amendment thereto filed with it by a regulated water supplier and submit comments in writing to the water resources board as to its completeness, appropriateness for the area served and adequateness to achieve the objective of this chapter. ADD}

{ADD 46-15.3-20. Enforcement. -- ADD} {ADD (a) The water resources board shall forward any determination of non-compliance made pursuant to sections 46-15.3-7.5, 46-15.3-7.6 and 46-15.3-15 to the division of public utilities and carriers. The division of public utilities and carriers shall consider such determinations of non-compliance as a complaint under section 39-4-3.

(b) The order of the division of public utilities and carriers may be appealed pursuant to section 39-5-1. ADD}

SECTION 4. Chapter 46-15.3 of the General Laws entitled 'Public Drinking Water Protection' is hereby amended by adding thereto the following sections:

{ADD 46-15.3-21. Fees, rates and charges. -- ADD} {ADD (a) The fees, rates, and charges for drinking water are a mandatory component of water supply system management.

(b) The following factors shall be considered in setting fees, rates, and charges:

(1) Recovery of all capital and operating costs, fixed and variable of production, conservation, use, management, protection, obtaining, development, procuring, and/or transporting water, and its sale at wholesale or retail;

(2) Marginal cost pricing;

(3) Emergency and drought period surcharges;

(4) Seasonal price structures;

(5) Difference in costs based upon different points of delivery;

(6) The effect of fees, rates, and charges on use of water and, where applicable, on wastewater costs and charges;

(7) The effect of reducing non-account water to levels consistent with stated goals;

(8) Preparing, maintaining and implementing water supply system management programs.

(c) Notwithstanding the provisions of sections 39-2-2 and 39-2-5, all rates and charges made by water suppliers which decline as quantity used increased are hereby declared to be no longer conducive to sound water supply system management designed to properly conserve, develop, utilize, and protect this finite natural resource. The public utilities commission may order rates for suppliers of water which either do not vary with quantities used or when there is evidence of increasing costs to either the utility or to society, rates which increase as the quantity used increases. If the commission finds that changing rates to comply with this section will cause a hardship to a class of customers, the commission may order that rates for that class of customers be changed to comply with this section over a period of time not to exceed five (5) years.

(d) Notwithstanding the provisions of sections 39-2-2 and 39-2-5, the public utilities commission may order a reduction in rates consistent with the amount by which a supplier exceeds the stated goals for non-account water. Non-account water shall be defined as the difference between the metered supply and the metered consumption for a specific period including an allowance for firefighting. No estimates for non-metered usage, except for the firefighting allowance, shall be included in the calculation of accounted for water. ADD}

{ADD 46-15.3-22. Billing and collection of fees, rates, and charges. -- ADD} {ADD (a) Financial support of water supply and provision of timely and accurate information on costs to users are mandatory components of water supply system management.

(b) Bills shall be rendered on a regular schedule for metered usage in the immediately preceding time period. Water suppliers selling water to other water suppliers or at retail shall meter all water delivered and shall maintain and replace meters in accordance with their management plans. Water suppliers shall formulate and carry out a program for installation of remote reading or automatic reading systems. These programs shall be carried out not later than July 1, 1996.

(c) Water suppliers shall develop programs for recording metered usage and billing thereafter, at an interval less than one year as determined appropriate, not later than July 1, 2001. Alternatively, water suppliers must demonstrate that annual meter reading and billing is consistent with the purposes of this chapter.

(d) Unless the water supplier already engages in joint billing activities, a water supplier selling water at retail shall conduct feasibility studies of joint billing for water supply and wastewater treatment and disposal in cooperation with all parties responsible for the latter service within the same water supply service area. The water supplier shall evaluate arrangements with municipalities and wastewater treatment and disposal agencies for operation of a combined billing system, including equitable sharing of costs. ADD}

{ADD 46-15.3-23. Sanitary device retrofitting. -- ADD} {ADD Water supply system management shall include retrofitting existing water users not in conformance with the state plumbing code standards for new or replacement sanitary devices with water-saving plumbing equipment, including but not limited to low-flow faucet aerators and shower heads, toilet displacement equipment, and materials for toilet tank leak detection. A water utility may act as a central purchaser and supplier of water efficiency devices which comply with state plumbing codes and may enter into cooperative agreements with other water suppliers or other agencies to facilitate bulk purchases of water efficiency devices required to implement, approved retrofit plans. A retrofitting program shall include, without limitation:

(1) Annual notification to each residential class user of the objectives and accomplishments of the retrofit program and of the availability of water-saving plumbing devices at cost or at no direct cost;

(2) Installation of water saving plumbing equipment for residential class users by the water supplier at cost or at no direct cost as scheduled in the water supply system management plan;

(3) Technical assistance and water audits to formulate and implement retrofit programs for major multiple unit housing areas or developments and commercial and industrial users. Water suppliers may enter into cooperative agreements with the owners or management of such users for the preparation of specifications, bulk purchase, and installation of sanitary device retrofit equipment for the purpose of implementing retrofit programs. ADD}

{ADD 46-15.3-24. Financing water supply system management. -- ADD} {ADD The cost of water supply system management planning and water supply system management as required by this chapter shall be financed as follows:

(1) The cost of preparing and maintaining water supply system management plans as required by section 46-15.3-1.1(7)(A)(1) shall be paid by the municipality from any funds made available under chapter 22.2 of title 45 or from any other funds used to prepare, maintain, and amend local comprehensive plans. Expenses incurred in conducting these activities are exempt from reimbursement as a state mandate under sections 45-13-6 through 45-13-10;.

(2) The cost of preparing and maintaining water supply system management plans and carrying out water supply system management programs as required by section 46-15.3-1.1(7)(A)(2), shall be paid from charges against water users. Such charges shall be limited to those necessary and reasonable to undertake the actions required by this chapter, and shall be included in bills rendered in accordance with section 46-15.3-21(b);.

(3) A public or private utility, under the jurisdiction of the public utilities commission, providing water service may file with the public utilities commission proposed rates and charges, including emergency rate relief, so as to provide for the necessary and reasonable costs of carrying out the requirements of this chapter. The public utilities commission shall hear and decide such requests as provided by title 39, and shall allow adjustments in rates necessary to offset necessary and reasonable reductions in revenues resulting from implementation of a water supply system management program;

(4) Water utilities will be operated as financially self-supporting agencies and shall maintain revenue levels sufficient to cover all fixed and variable capital and operating costs of conservation, use, management, protection, development and other costs of water supply and may be allowed a reasonable profit. ADD}

SECTION 5. This act shall take effect on July 1, 1997.



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