MISSISSIPPI LEGISLATURE

2000 Regular Session

To: Local and Private Legislation

By: Representatives Cummings, Franks

AN ACT TO AUTHORIZE THE CITY OF IUKA, MISSISSIPPI, TO OPERATE ITS WATER DISTRIBUTION SYSTEM OUTSIDE THE CORPORATE LIMITS OF THE CITY OF IUKA WITHIN TISHOMINGO COUNTY; TO AUTHORIZE THE CITY OF IUKA TO ACQUIRE AND ASSUME THE OPERATION AND MAINTENANCE OF THE HARMONY CENTRAL WATER ASSOCIATION AND TO ASSUME ALL THE LIABILITIES, OBLIGATIONS, ASSETS, DUTIES AND RESPONSIBILITIES OF SUCH ASSOCIATION; AND FOR RELATED PURPOSES.

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

SECTION 1. (1) Notwithstanding any provisions of Section 21-27-39, Mississippi Code of 1972, to the contrary, the governing authorities of the City of Iuka, Mississippi, in their discretion, may construct, expand, operate and maintain the water distribution system of the City of Iuka within any area in Tishomingo County greater than one (1) mile outside the corporate limits of the City of Iuka not certificated to another water utility for such service or if certificated, upon obtaining a release of the Certificate of Public Convenience and Necessity from that utility and obtaining the appropriate Certificate of Public Convenience and Necessity from the Public Service Commission. Whenever such water service is furnished to any consumer residing outside the corporate limits of the City of Iuka, the consumer may not be charged at a rate greater than twice the rate charged for the same service within the corporate limits of the City of Iuka.

(2) In connection with the construction, expansion, operation and maintenance of its water distribution system within the area authorized under subsection (1) of this section, the governing authorities of the City of Iuka may acquire the Harmony Central Water Association and assume the operation and maintenance of the Harmony Central Water Association; and, in connection therewith, such governing authorities may assume all liabilities, obligations, assets, duties and responsibilities of such association. The city shall have such powers and authority concerning the association and its facilities as is now or hereafter granted by law to municipalities concerning water distribution systems.

(3) The authority conferred by this act shall not be construed as an exemption from the provisions of Chapter 3, Title 77, Mississippi Code of 1972, as to the requirements of obtaining a Certificate of Public Convenience and Necessity, the jurisdiction of the Public Service Commission to regulate rates or any other provision of that law.

(4) The governing authorities of the City of Iuka shall make a reasonable effort to provide service to everyone within the water distribution system existing on the effective date of this act who requests such service. For the purpose of this subsection, the term "system" means all areas that are being served by the Harmony Central Water Association on the effective date of this act.

(5) The governing authorities of the City of Iuka shall have a financial report on the water distribution system filed annually with the State Auditor for his review. The audited financial statements shall be maintained in the office of the system for public inspection and shall be made available to the public during normal business hours.

SECTION 2. This act shall take effect and be in force from and after its passage.