MISSISSIPPI LEGISLATURE

2006 Regular Session

To: Conservation and Water Resources; Appropriations

By: Representative Baker (74th)

House Bill 1364

AN ACT TO AMEND SECTION 51-9-1, MISSISSIPPI CODE OF 1972, TO REVISE THE MEMBERSHIP OF THE PEARL RIVER INDUSTRIAL COMMISSION; TO AMEND SECTION 51-9-107, MISSISSIPPI CODE OF 1972, TO REVISE THE TERMS OF THE MEMBERS OF THE COMMISSION; TO AMEND SECTION 51-9-121, MISSISSIPPI CODE OF 1972, TO REVISE THE DUTIES OF THE BOARD OF DIRECTORS OF THE PEARL RIVER VALLEY WATER SUPPLY DISTRICT; TO AMEND SECTION 51-9-123, MISSISSIPPI CODE OF 1972, TO REVISE HOW BIDS ARE ADVERTISED; TO AMEND SECTION 51-9-127, MISSISSIPPI CODE OF 1972, TO REQUIRE CERTAIN REPORTING BY THE COMMISSION TO THE LEGISLATURE, THE INTERNAL REVENUE SERVICE AND THE STATE TAX COMMISSION; AND FOR RELATED PURPOSES.

     BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

     SECTION 1.  Section 51-9-1, Mississippi Code of 1972, is amended as follows:

     51-9-1.  There is hereby created the Pearl River Industrial Commission, composed of Hinds, Leake, Madison, Neshoba, Rankin and such other counties in the state through which or bordering which the Pearl River runs.  The governor shall appoint one (1) member to the commission from each county from a list of three (3) names to be submitted by the board of supervisors in each participating county.  The three (3) names submitted by the board of supervisors of Madison and Rankin Counties shall be the names of persons who reside on and are holders or residential leases from the Pearl River Valley Water Supply District which are located in Rankin and Madison Counties.  In his appointment the governor shall designate the chairman and vice-chairman of the commission.  The board of supervisors in any county through which or by which the Pearl River runs, other than those counties named above, may bring that county in as a member of the commission by resolution presented to the Governor; and the board of supervisors in such county may, in its discretion, call an election prior to taking such action, said election to be held as nearly as possible in the same manner other elections are held in the county.

     SECTION 2.  Section 51-9-107, Mississippi Code of 1972, is amended as follows:

     51-9-107.  All powers of the district shall be exercised by a board of directors, to be composed of the following:

          (a)  Each member of the Pearl River Industrial Commission whose county becomes a part of the Pearl River Valley Water Supply District shall be a member of the Board of Directors of the Pearl River Valley Water Supply District.  Such directors shall serve on this board during their term of office on the Pearl River Industrial Commission.  In addition the board of supervisors of each county which becomes a part of the district shall appoint one (1) additional member who shall serve a four-year term beginning on the date of appointment and ending four (4) years later on the same day of the month on which the member was appointed.

          (b)  The Mississippi Commission on Environmental Quality, the Mississippi Commission on Wildlife, Fisheries and Parks, Forestry Commission and the State Board of Health of the State of Mississippi shall each appoint one (1) director from that department to serve on the Board of Directors of the Pearl River Valley Water Supply District to serve at the pleasure of the respective board appointing him.

          (c)  Each director shall take and subscribe to the oath of office required by Section 268 of the Constitution of the State of Mississippi before a chancery clerk, that he will faithfully discharge the duties of the office, which oath shall be filed with the said clerk and by him preserved.

          (d)  Each director shall receive per diem compensation in the amount as provided in Section 25-3-69 for attending regular and special call meetings of the board and for each day spent in attending to the necessary activities of the district that have been approved by the board as a whole and shall be reimbursed for actual expenses thus incurred upon express authorization of the board, including travel expenses, as provided in Section 25-3-41.

          (e)  The board of directors shall annually elect from its number a president and a vice president of the district, and such other officers as in the judgment of the board are necessary.  The president shall be the chief executive officer of the district and the presiding officer of the board, and shall have the same right to vote as any other director.  The vice president shall perform all duties and exercise all powers conferred by this article upon the president when the president is absent or fails or declines to act, except the president's right to vote.  The board shall also appoint a secretary and a treasurer who may or may not be members of the board, and it may combine those offices.  The treasurer shall give bond in the sum of not less than Fifty Thousand Dollars ($50,000.00) as set by the board of directors and each director shall give bond in the sum of not less than Ten Thousand Dollars ($10,000.00), and the premiums on said bonds shall be an expense of the district.  The condition of each such bond shall be that the treasurer or director will faithfully perform all duties of office and account for all money which shall come into his custody as treasurer or director of the district.

     SECTION 3.  Section 51-9-121, Mississippi Code of 1972, is amended as follows:

     51-9-121.  The Pearl River Valley Water Supply District through its board of directors is hereby empowered:

          (a)  To impound overflow water and the surface water of the Pearl River or its tributaries within the project area, within or without this district at the place or places and in the amount as may be approved by the Office of Land and Water Resources of the State of Mississippi, by the construction of a dam or dams, reservoir or reservoirs, works, plants, and any other necessary or useful related facilities contemplated and described as a part of the project within or without the district, to control, store, and preserve these waters, and to use, distribute, and sell the same. The Pearl River Valley Water Supply District is also empowered to construct or otherwise acquire within the project area all works, plants, or other facilities necessary or useful to the project for the purpose of processing the water and transporting it to cities and others for domestic, municipal, commercial, industrial, agricultural, and manufacturing purposes and is hereby given the power to control open channels for water delivery purposes.

          (b)  To acquire and develop any other available water necessary or useful to the project and to construct, acquire, and develop all facilities within the project area deemed necessary or useful with respect thereto.

          (c)  To prevent or aid in the prevention of damage to person or property from the waters of the Pearl River or any of its tributaries.

          (d)  To forest and reforest, and to aid in the foresting and reforesting of the project area, and to prevent and aid in the prevention of soil erosion and floods within this area; to control, store, and preserve within the boundaries of the project area the waters of the Pearl River or any of its tributaries, for irrigation of lands and for prevention of water pollution.

          (e)  To acquire by purchase, lease, gift, or in any other manner (otherwise than by condemnation) and to maintain, use, and operate all property of any kind, real, personal, or mixed, or any interest therein within the project area, within or without the boundaries of the district, necessary for the project and convenient to the exercise of the powers, rights, privileges, and functions conferred upon the district by this article.

          (f)  To acquire by condemnation all property of any kind, real, personal, or mixed, or any interest therein within the project area not exceeding one-quarter (1/4) mile from the  outside line of the three hundred (300) feet above sea level contour on each side of Pearl River except as provided for rights-of-way under subsection (g) of this section, within or without the boundaries of the district, necessary for the project and the exercise of the powers, rights, privileges, and functions conferred upon the district by this article, according to the procedure provided by law for the condemnation of lands or other property taken for rights-of-way or other purposes by railroads, telephone, or telegraph companies.  For the purposes of carrying out this article, the right of eminent domain of the district shall be superior and dominant to the right of eminent domain of railroad, telegraph, telephone, gas, power, and other companies or corporations, and shall be sufficient to enable the acquisition of county roads, state highways, or other public property in the project area and the acquisition, or relocation, of the above mentioned utility property in the project area; however, Mississippi Highway 43 as presently located shall be kept open as part of the state highway system.  The cost of right-of-way purchases, rerouting, and elevating all other county maintained roads affected by construction of the reservoir shall be borne by the water district, and new construction shall be of equal quality as in roads existing as of May 5, 1958.  The amount and character of interest in land, other property, and easements thus to be acquired shall be determined by the board of directors, and their determination shall be conclusive and shall not be subject to attack in the absence of manifold abuse of discretion or fraud on the part of such board in making such determination.  However,

              (i)  In acquiring lands, either by negotiation or condemnation, the district shall not acquire minerals or royalties within the project area; sand and gravel shall not be considered as minerals within the meaning of this section; and

              (ii)  No person or persons owning the drilling rights or the right to share in production shall be prevented from exploring, developing, or producing oil or gas with necessary rights-of-way for ingress and egress, pipe lines, and other means of transporting these products by reason of the inclusion of such lands or mineral interests within the project area, whether below or above the water line; but any such activities shall be under such reasonable regulations by the board of directors as will adequately protect the reservoir; and

              (iii)  In drilling and developing, these persons are hereby vested with a special right to have the mineral interest integrated and their lands developed in such drilling unit or units as the State Oil and Gas Board shall establish after due consideration of the rights of all of the owners to be included in the drilling unit.

     Moreover, where any site or plot of land is to be rented, leased, or sold to any person, firm, or corporation for the purpose of operating recreational facilities thereon for profit, then the board shall, by resolution, specify the terms and conditions of the sale, rental, or lease, and shall advertise for public bids thereon.  When bids are received, they shall be publicly opened by the board, and the board shall thereupon determine the highest and best bid submitted and shall immediately notify the former owner of the site or plot of the amount, terms, and conditions of the highest and best bid.  The former owner of the site or plot shall have the exclusive right at his option, for a period of thirty (30) days after the determination of the highest and best bid by the board, to rent, lease, or purchase said site or plot of land by meeting such highest and best bid and by complying with all terms and conditions of the renting, leasing, or sale as specified by the board.  However, the board shall not in any event rent, lease, or sell to any former owner more land than was taken from the former owner for the construction of the project, or one-quarter (1/4) mile of shoreline, whichever is the lesser.  If this option is not exercised by the former owner within a period of thirty (30) days, then the board shall accept the highest and best bid submitted.

     Any bona fide, resident householder, actually living or maintaining a residence on land taken by the district by condemnation shall have the right to repurchase not exceeding forty (40) acres of his former land or other available land from the board of directors for a price not exceeding the price paid for condemning his land.

          (g)  To require the necessary relocation of roads and highways, railroad, telephone, and telegraph lines and properties, electric power lines, gas pipelines and mains and facilities in the project area, or to require the anchoring or other protection of any of these, provided due compensation is first paid the owners thereof or agreement is had with the owners regarding the payment of the cost of the relocation.  It is further provided that the district is hereby authorized to acquire easements or rights-of-way in or outside of the project area for the relocation of the roads, highways, railroad, telephone, and telegraph lines and properties, electric power lines, gas pipelines and mains and facilities, and to convey the same to the owners thereof in connection with the relocation as a part of the construction of the project; however, the directors of the district shall not close any public access road to the reservoir existing prior to the construction of the reservoir unless the board of supervisors of the county in which the road is located agrees.

          (h)  To overflow and inundate any public lands and public property, including sixteenth section lands and in lieu lands, within the project area.

          (i)  To construct, extend, improve, maintain, and reconstruct, to cause to be constructed, extended, improved, maintained, and reconstructed, and to use and operate facilities of any kind within the project area necessary or convenient to the project and to the exercise of such powers, rights, privileges, and functions.  From and after July 1, 2006, funds expended for improvements made to residences owned by the district may only be made for permanent fixtures to such residences.

          (j)  To sue and be sued in its corporate name.

          (k)  To adopt, use, and alter a corporate seal.

          (l)  To make bylaws for the management and regulation of its affairs.

          (m)  (i)  To employ engineers, attorneys, and all necessary agents and employees to properly finance, construct, operate, and maintain the project and the plants and facilities of the district and carry out the provisions of this article, and to pay reasonable compensation for the services.  For all services in connection with the issuance of bonds as provided in this article, the attorney's fee shall not exceed one-quarter of one percent (1/4 of 1%) of the principal amount of said bonds.  For any other services, only reasonable compensation shall be paid for these services.  * * * Without limiting the generality of the foregoing, it may employ fiscal agents or advisors in connection with its financing program and in connection with the issuance of its bonds.

              (ii)  The board shall have the right to employ a general manager, who shall, at the discretion of the board, have the power to employ and discharge employees.  If the board provides the general manager with a vehicle or reimbursement for mileage in use of a vehicle, the board must certify in its records that the vehicle used by the general manager is the most economical mode of transportation.  The board shall report all of the general manager's taxable compensation provided by the board to the Internal Revenue Service and the State Tax Commission by January 31, 2007, for the 2006 tax year and by January 31 each year thereafter for the preceding tax year, all taxable income compensation of the general manager and the appropriate withholdings from such compensation for income tax and Federal Insurance Contributions Act (FICA) purposes.

          (n)  To make contracts and to execute instruments necessary or convenient to the exercise of the powers, rights, privileges, and functions conferred upon it by this article.

          (o)  To make or cause to be made surveys and engineering investigations relating to the project, or related projects, for the information of the district to facilitate the accomplishment of the purposes for which it is created.

          (p)  To apply for and accept grants from the United States of America, or from any corporation or agency created or designated by the United States of America, and to ratify and accept applications heretofore or hereafter made by voluntary associations to these agencies for grants to construct, maintain, or operate any project or projects which hereafter may be undertaken or contemplated by the district.

          (q)  To do any other acts or things necessary or convenient to the exercising of the powers, rights, privileges, or functions conferred upon it by this article or any other law.

          (r)  To make contracts in the issuance of bonds that may be necessary to insure the marketability thereof.

          (s)  To enter into contracts with municipalities, corporations, districts, public agencies, political subdivisions of any kind, and others for any services, facilities or commodities that the project may provide.  The district is also authorized to contract with any municipality, corporation, or public agency for the rental, leasing, purchase, or operation of  the water production, water filtration or purification, water supply and distributing facilities of the municipality, corporation, or public agency upon such consideration as the district and such entity may agree.  Any such contract may be upon any terms and for any time as the parties may agree, and it may provide that it shall continue in effect until bonds specified therein and refunding bonds issued in lieu of these bonds are paid.  Any contract with any political subdivision shall be binding upon said political subdivision according to its terms, and any municipalities or other political subdivisions shall have the power to enter into such contracts as in the discretion of the governing authorities thereof would be to the best interest of the people of the municipality or other political subdivision.  These contracts may include, within the discretion of the governing authorities, a pledge of the full faith and credit of the political subdivisions for the performance thereof.

          (t)  To fix and collect charges and rates for any services, facilities, or commodities furnished by it in connection with the project, and to impose penalties for failure to pay these charges and rates when due.

          (u)  To operate and maintain within the project area with the consent of the governing body of any city or town located within the district, any works, plants, or facilities of any city deemed necessary or convenient to the accomplishment of the purposes for which the district is created.

          (v)  Subject to the provisions of this article, from time to time to lease, sell, or otherwise dispose of any property of any kind, real, personal, or mixed, or any interest therein within the project area or acquired outside the project area as authorized in this article, for the purpose of furthering the business of the district.

          (w)  When, in the opinion of the board of directors as shown by resolution duly passed, it shall not be necessary to the carrying on of the business of the district that the district own any lands acquired, then the board shall advertise these lands for sale to the highest and best bidder for cash and shall receive and publicly open the bids thereon.  The board shall, by resolution, determine the highest and best bid submitted for such land and shall thereupon notify the former owner, his heirs or devisees, by registered mail of the land to be sold and the highest and best bid received therefor, and the former owner, or his heirs or devisees, shall have the exclusive right at his or their option for a period of thirty (30) days in which to meet the highest and best bid and to purchase the property.

          (x)  In addition to, or in conjunction with, any other powers and duties of the district arising under this chapter, to exercise those powers, duties and functions of a joint water management district set forth in Sections 51-8-27 through 51-8-55, except the power of eminent domain under Section 51-8-33.  Before exercising those powers and duties, the district must comply with the provisions of Sections 51-8-63 and 51-8-65.  In exercising the functions of a joint water management district, the district may apply to the Environmental Quality Permit Board for delegation of those powers and duties as provided by Section 51-3-15, and to apply to the Mississippi Commission on Environmental Quality for delegation of those powers and duties provided by Section 51-3-21.

   Any transaction regarding any property under the provisions of this section shall be executed in accordance with the provisions of Section 29-1-1.

          (y)  To study its district-wide needs and prepare a written report for the Legislature and file such report with the Clerk of the House of Representatives, the Secretary of the Senate, and the PEER Committee by December 1, 2006, which includes the following:

              (i)  How the district intends to expand garbage collection and mosquito control;

              (ii)  Prospective improvements to recreational facilities and infrastructure;

              (iii)  How the district intends to reduce the cost of the vehicle and mileage reimbursement provided to the general manager;

              (iv)  The report given to the Internal Revenue Service and the State Tax Commission by January 31, 2007, for the 2006 tax year and by January 31 each year thereafter for the preceding tax year, of all taxable income compensation of the general manager and the appropriate withholdings from such compensation for income tax and Federal Insurance Contributions Act (FICA) purposes; and     

              (v)  The district's intent to improve any other facilities and services used by residents of the district and the general public. 

     SECTION 4.  Section 51-9-123, Mississippi Code of 1972, is amended as follows:

     51-9-123.  (1)  All construction contracts by the district, where the amount of the contract shall exceed Two Thousand Five Hundred Dollars ($2,500.00), shall be made upon at least three (3) weeks public notice by advertisement in a newspaper of general circulation in the district, which notice shall state the thing to be done and invite sealed proposals, to be filed with the secretary of the district, to do the work; and in all such cases, before the notice shall be published, the plans and specification for the work shall be filed with the secretary of the district and there remain.  The board of directors of the district shall award the contract to the lowest bidder, who will comply with the terms imposed by such board and enter into bond with sufficient sureties, to be approved by the board, in such penalty as shall be fixed by such board, but in no case to be less than the contract price, conditioned for the prompt, proper, and efficient performance of the contract.  The board of directors shall not work with one (1) developer, exclusively, before publishing the required notice in this section. 

     (2)  The public notice by advertisement required by this section shall not be worded in such a manner that targets one (1) certain developer.       

     SECTION 5.  Section 51-9-127, Mississippi Code of 1972, is amended as follows:

     51-9-127.  (1)  The board of directors of the district shall have the power to adopt and promulgate all reasonable regulations as follows to secure, maintain, and preserve the sanitary condition of all water in and to flow into any reservoir owned by the district, to prevent waste of water or the unauthorized use thereof, and to regulate residence, hunting, fishing, boating, camping, circulation of vehicular traffic on land, the parking of such vehicles, and all recreational and business privileges in, along, or around any such reservoir, any body of land, or any easement owned by the district.

     (2)  The board of directors shall require reporting of measures of performance and progress toward measurable goals that demonstrate what the service outputs are, the expected quality levels of the outputs and the productivity expected from various employees and funds by all divisions that the board governs.

     (3)  The board of directors shall establish a policy to require any consultant to disclose any interests that the consultant may have in the development firms that the consultant may recommend and to prohibit a contractor from gain interest in any firm that may subsequently bid on matters that were subjects of the contractor's work for the district.

     (4)  The board shall create and utilize an advisory board composed of one (1) resident from each homeowner's association of  neighborhoods located on district property that would inform the committees of the board of directors on issues of district development and any other issues chosen by the board of directors.

     (5)  All such regulations prescribed by the board of directors, after publication in a daily newspaper of statewide circulation and in a newspaper of general circulation in each county comprising the area of the district, shall have the full force and effect of law; and violation thereof shall be punishable by fine not to exceed One Thousand Dollars ($1,000.00), as may be prescribed in such regulations, or by imprisonment not to exceed fifteen (15) days, or both the amount of the fine and the term of the imprisonment, within the maximum limit set by this statute and within the maximum limit prescribed in such regulations, to be determined by the court.

     All such rules and regulations so prescribed and the penalties fixed thereunder relating to hunting, fishing, and boating shall not conflict with, exceed, alter, or suspend any regulations, rules, or penalties prescribed by general statute or by the Mississippi Commission on Wildlife, Fisheries and Parks; and all fines and penalties levied and collected under this article shall be remitted and accounted for in accordance with the general statutes relating thereto.

     (6) In the event of a violation of any regulation adopted to prevent pollution of the waters in any reservoir owned by the district, or the threat of continuous violation thereof, the district shall have authority to sue for and obtain damages and other appropriate relief, including injunctive relief.

     SECTION 6.  This act shall take effect and be in force from and after July 1, 2006.