MISSISSIPPI LEGISLATURE
2024 Regular Session
To: Conservation and Water Resources
By: Representative Yancey
AN ACT TO CREATE THE WATER QUALITY ACCOUNTABILITY ACT; TO DEFINE CERTAIN TERMS RELATING TO WATER AND WASTEWATER UTILITIES; TO PROVIDE THAT A WATER OR WASTEWATER UTILITY IS SUBJECT TO THE JURISDICTION OF THE DEPARTMENT OF HEALTH WITH RESPECT TO RATES, CHARGES, CERTAIN EVIDENCE OF INDEBTEDNESS, RULES AND ANNUAL REPORT FILINGS; TO PROVIDE CERTAIN REQUIREMENTS REGARDING WATER OR WASTEWATER UTILITIES THAT REQUEST A LOAN OR FINANCIAL ASSISTANCE; TO PROVIDE CERTAIN PERMIT AND PERMIT APPLICATION REQUIREMENTS; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. As used in this act, the following words have the meanings as defined in this section, unless the context clearly requires otherwise:
(a) "Department" means Department of Health.
(b) "Public utility" has the same meaning as the term "public utility" as defined in Section 77-3-3.
(c) "Water or wastewater utility" means a public utility that provides water service, wastewater service, or both water service and wastewater service to the public. Notwithstanding any other provisions of law to the contrary, these positions shall not apply to any water or wastewater utility service that does not meet both of the following conditions: (a) has not less than twenty thousand (20,000) service connections; (b) has been under an EPA consent decree within the past fifteen (15) years.
SECTION 2. (1) A water or wastewater utility that is organized as a legal entity is subject to the jurisdiction of the Department of Health with respect to:
(a) Rates and charges;
(b) Stocks, bonds, notes, or other evidence of indebtedness;
(c) Rules; and
(d) The annual report filing requirement;
for the period of ten (10) years beginning on the day on which the water or wastewater utility is organized as a legal entity.
(2) This section shall not apply to:
(a) Any statutes requiring or permitting a water or wastewater utility to petition the department before providing service to the public; or
(b) The department's jurisdiction regarding provisions of law and petitions referred to in subsection (2)(a) of this section.
SECTION 3. (1) If a water or wastewater utility requests a loan or other financial assistance from the department, such request must be accompanied by the following:
(a) All papers and opinions required by the department.
(b) Unless otherwise provided by the guidelines of the department, the following:
(i) An approving opinion of a nationally recognized bond counsel.
(ii) A certification and guarantee of signatures.
(iii) A certification that, as of the date of the loan or other financial assistance:
1. No litigation is pending challenging the validity of or entry into the loan or other financial assistance or any security for the loan or other financial assistance; or
2. If litigation is pending, the litigation will not have a material adverse effect on the validity of the loan or other financial assistance or any security for the loan or other financial assistance.
(iv) If litigation is pending, as an alternative to the certification as described in subparagraph (iii), an opinion of legal counsel that the litigation will not have a material adverse effect on the validity of the loan or other financial assistance.
(v) Documentation demonstrating that the water or wastewater utility has the financial, managerial, technical, and legal capability of operating and maintaining its wastewater collection and treatment system.
(2) Each water or wastewater utility to which, or for the benefit of which, a loan would be made or other financial assistance would be provided under this act, must demonstrate that it has developed, or is in the process of developing, an asset management program as set forth by the department.
SECTION 4. (1) A permit for the operation of a water treatment plant or a wastewater treatment plant that is issued, or
amended for the purposes of the inclusion of a newly constructed or newly acquired plant, or the expansion of an existing plant,
after the effective date of this act is subject to the requirements set forth in Sections 5 through 9 of this act.
(2) This act does not apply to the renewal of a permit for the operation of a water treatment plant or wastewater treatment plant.
SECTION 5. A permit described in Section 4, subsection (1) of this act may not be issued unless the applicant submits, along with the permit application, a certification that all of the following documents have been prepared and are complete under the requirements of this act:
(a) A life cycle cost-benefit analysis, as described in Section 6 of this act.
(b) A capital asset management plan, as described in Section 7 of this act.
(c) A cybersecurity plan, as described in Section 8 of this act.
SECTION 6. A water or wastewater utility's life cycle cost-benefit analysis shall include a comparison of:
(a) Meeting the water supply or wastewater service needs of the community or area served or proposed to be served through the operation of the water and wastewater treatment plant, as owned and operated, or proposed to be owned and operated
according to the terms of the permit application; and
(b) Meeting the water supply or wastewater service needs of the community or area served or proposed to be served through one (1) or more other potential means.
SECTION 7. A water or wastewater utility's capital asset management plan shall include all of the following:
(a) A plan to annually review infrastructure needs of the water or wastewater treatment plant.
(b) A detailed engineering analysis of asset conditions and useful life, to be used to develop an infrastructure inspection, repair and maintenance plan.
(c) An analysis of customer rates necessary to support the capital asset management plan, including emergency repairs.
(d) A certification that the water or wastewater treatment plant that has:
(i) A certified operator;
(ii) A corporate officer or system manager; and
(iii) Access to an engineer, either on staff or by contract.
(e) A detailed map of the geographic location of each major component of the water or wastewater system, including, but not limited to, each valve and fire hydrant in the system, using a global positioning system based on satellite or other location technology.
SECTION 8. A water or wastewater utility's cybersecurity plan shall provide for the protection of the water or wastewater treatment plant from unauthorized use, alteration, or destruction of electronic data.
SECTION 9. (1) The water or wastewater utility's analysis and plans as provided in Sections 6, 7, and 8 of this act shall be:
(a) Complete under the requirements of this act at the time an application for a permit, as described in Section 4, subsection (1) of this act, is submitted;
(b) Reviewed and revised at least once every five (5) years, for as long as the permit holder operates the water treatment plant or wastewater treatment plant; and
(c) Made publicly available.
(2) A certification that the analysis and plans as provided in Sections 6, 7, and 8 of this act are complete under the requirements of this act shall be submitted to the department:
(a) Under Section 5 of this act at the time an application for a permit described in Section 4, subsection (1) of this act is submitted; and
(b) At least once every five (5) years after an application for a permit described in Section 4, subsection (1) of this act is submitted, when the analysis and plans are reviewed and revised under subsection (1)(b) of this Section 9.
(3) A certification submitted to the department under this act shall be notarized. Failure to include a notarized certification with an application for a permit as provided in Section 4, subsection (1) of this act constitutes grounds for denial of the permit application.
SECTION 10. This act shall take effect and be in force from and after July 1, 2024.