TITLE 46
Waters and Navigation

CHAPTER 46-15.2
Water Facilities Assistance Program

SECTION 46-15.2-6


§ 46-15.2-6. Decision on application and financing.

(a) Except as provided in § 46-15.2-4(d) with respect to intersystem facilities, no project shall be approved by the water resources board unless the project has been approved by the division of public utilities and carriers, as set forth in § 46-15.2-5(e), by the state planning council, as set forth in § 46-15.2-5(f), and by the department of the environmental management. The water resources board shall approve the project based upon its finding of fact, as provided in § 46-15.2-5(d)(1) through (d)(8), and upon approval by the division of public utilities and carriers, the state planning council, and the department of the environmental management. A project disapproved by either the division of public utilities and carriers, the state planning council, the department of health or the department of environmental management shall not be approved by the water resources board.

(b) The water resources board shall not approve a transmission facility project and intersystem facility project unless the applicant first adequately demonstrates that its seventy-five percent (75%) share or fifty percent (50%) share, as the case may be, of the project cost is available and obligated to the project.

(c) The water resources board shall not approve a project unless sufficient state funds to provide the state's share of the project cost are available.

(d) The water resources board shall ensure that the state's share of a project cannot be used by or transferred to a private or investor-owned water company.

(e) Upon approval of a proposed project as set forth in § 46-15.2-5, the water resources board shall so notify the applicant and shall establish the amount of state participation in the project representing the appropriate state share of eligible costs as determined from the application. Costs incurred in excess of those set forth in the application shall not automatically increase the amount of state participation. However, the applicant may submit a subsequent proposal, in accordance with § 46-15.2-4 and 46-15.2-5, that requests state participation in those costs. If the project is completed at a cost below that set forth in the application, the amount of state participation shall be reduced proportionately.

(f) The water resources board shall establish a schedule by which state funds shall be paid to the applicant that ensures that funds are disbursed only when required for the project.

(g) The water resources board is empowered to issue rules and regulations to provide proper security for the state's grant-in-aid for each approved project.

(h) The water resources board may condition the approval of any intersystem facilities project on the applicant agreeing that it will not charge any water system which uses such a facility an amount in excess of its costs for purchase, production, and transmission of water to the user, and an appropriate portion of its cost of repair, maintenance, and replacement of the facility based upon the capacity allocated to the user.

History of Section.
(P.L. 1983 (S.S.), ch. 332, art. II, § 1; P.L. 1988, ch. 129, art. 28, § 3; P.L. 1990, ch. 461, § 7; P.L. 1999, ch. 461, § 3.)