MISSISSIPPI LEGISLATURE

2026 Regular Session

To: Energy

By: Senator(s) Carter

Senate Bill 2058

AN ACT TO AMEND SECTION 49-17-745, MISSISSIPPI CODE OF 1972, TO CLARIFY AND EXPAND THE RIGHTS, POWERS AND AUTHORITY OF COUNTY AUTHORITIES AND REGIONAL UTILITY AUTHORITIES CREATED UNDER THE MISSISSIPPI GULF REGION UTILITY ACT; TO PROVIDE A RIGHT OF FIRST REFUSAL FOR WATER, WASTEWATER AND STORMWATER SERVICES WITH CERTIFICATED AREAS; TO PROHIBIT UTILITY SERVICE AND PROVIDE PENALTIES THEREFOR; TO PROVIDE ENFORCEMENT AUTHORITY TO THE COUNTY AUTHORITY; TO PROVIDE THAT ALL POWERS GRANTED HEREIN ARE SUPPLEMENTAL TO, AND NOT IN LIMITATION OF, ANY OTHER RIGHTS, POWERS, OR REMEDIES PROVIDED UNDER THE MISSISSIPPI GULF REGION UTILITY ACT OR ANY OTHER PROVISION OF LAW; AND FOR RELATED PURPOSES.

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

     SECTION 1.  It is the intent of the Legislature to:

          (a)  Promote efficient, coordinated and reliable delivery of water, wastewater and stormwater services;

          (b)  Prevent unnecessary duplication of infrastructure;

          (c)  Protect public investment in utility systems;

          (d)  Ensure compliance with certificated areas established by the Mississippi Public Service Commission;

          (e)  Safeguard public health and welfare by affirming the authority of regional and county utility authorities; and

          (f)  Establish a right of first refusal and robust remedies to prevent competing or conflicting service providers from offering service within county authority service areas without consent.

     SECTION 2.  Section 49-17-745, Mississippi Code of 1972, is amended as follows:

     49-17-745.  (1)  The county authority shall have the power, duty and responsibility to exercise general supervision over the design, construction, operation and maintenance of water, wastewater and storm water systems.

     (2)  The county authority shall adopt rules and regulations regarding the design, construction or installation, operation and maintenance of water, wastewater and storm water systems.

     (3)  The county authority shall adopt rules and regulations regarding the use of decentralized treatment systems, individual on-site wastewater treatment systems and centralized wastewater treatment systems.

     (4)  The county authority shall adopt rules establishing performance standards for water, wastewater and storm water systems and the operation and maintenance of the same.  Such rules and regulations shall include the implementation of a standard application form for the installation, operation and maintenance of such systems; application review; approval or denial procedures for any proposed system; inspection, monitoring and reporting guidelines; and enforcement procedures.

     (5)  (a)  Before a building or development which requires the installation of a water, wastewater or storm water system is constructed, the system must be submitted to the county authority for certification that the system complies with the county authority requirements for such system.

          (b)  Before approving or renewing a water, wastewater or storm water related permit for a system within a county authority, the state agency must require certification that the system complies with the requirements of the county authority.

     (6)  Any system of any municipality, public agency or other persons which contracts with a county authority, shall be subject to the terms of that contract and the terms of this act.

     (7)  Notwithstanding the provisions of Section 51-39-1 et seq., the county authority shall have the full power to adopt rules and regulations and to construct, maintain and operate facilities for the control of storm water quality and quantity.  In addition, the provisions of Section 51-33-1 et seq. relating to drainage districts and flood control districts do not apply to the county authority.

     (8)  The county authority may control and operate the local retail water, wastewater or storm water services and may provide or be responsible for direct servicing of those services to residences, businesses and individuals; however, the county authority shall not provide the same service in an area provided by a public utility or person holding a certificate of public convenience and necessity issued by the Mississippi Public Service Commission for the provision of such services in the certificated area.

     (9)  (a)  For any property located within the service area of a county authority that is not within the certificated area of a public utility or person holding a certificate of public convenience and necessity issued by the Mississippi Public Service Commission, the county authority shall possess the exclusive right of first refusal to provide water, wastewater or stormwater service.

          (b)  Before any municipality, private utility or other entity may provide service to any such property, written notice shall be provided to the county authority.

          (c)  The county authority shall have ninety (90) days from receipt of written notice to elect to provide such service.

          (d)  If the county authority elects to provide service, no other entity shall construct, install, connect or operate utility service to the property.

     (10)  No municipality, public or private utility, person or entity shall construct, install, connect, operate, extend or continue operating any water, wastewater or stormwater system to serve any customer or property within the service area of the county authority without:

          (a)  The written consent of the county authority; and

          (b)  Compliance with all applicable Mississippi Public Service Commission certifications and requirements.

     (11)  Any person or entity providing unauthorized service shall be subject to:

          (a)  A civil penalty not to exceed Five Hundred Dollars ($500.00) per day for each day of unauthorized operation;

          (b)  Injunctive relief prohibiting continued operation; and

          (c)  Recovery of reasonable attorney's fees, expert fees and costs by the prevailing county authority.

     (12)  The county authority shall have standing to bring suit in any court of competent jurisdiction to enforce its certificated rights, prevent unauthorized service and recover penalties and damages.

     (13)  All powers granted hereunder shall be supplemental to, and not in limitation of, any other rights, powers, or remedies provided under the Mississippi Gulf Region Utility Act or any other provision of law.

     SECTION 3.  This act shall take effect and be in force from and after July 1, 2026.