House Bill 1550

AN ACT TO AMEND SECTION 77-15-1, MISSISSIPPI CODE OF 1972, TO PROHIBIT MEMBERS OF THE BOARDS OF DIRECTORS OF NATURAL GAS DISTRICTS FROM RECEIVING ANY COMPENSATION OTHER THAN PER DIEM AND ACTUAL TRAVEL REIMBURSEMENT; AND FOR RELATED PURPOSES.

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

SECTION 1. Section 77-15-1, Mississippi Code of 1972, is amended as follows:

77-15-1. Notwithstanding any other provisions of law to the contrary, all local natural gas districts containing two (2) or more municipalities and nonmunicipal customers shall establish and maintain a board of directors composed of: (a) the mayors of each municipality within the district whose terms shall be concurrent with their terms of office as mayor; and (b) one (1) system-user from each county within the district, who shall not be a public official. The county system-user board members shall be elected by the system-users residing outside of a municipality, in the county in which such board member resides. In order to qualify as a candidate for election to the board, each person shall obtain, on a petition, twenty-five (25) signatures from system-users in the county in which such person resides. The signatures shall be of system-users residing outside of a municipality and the candidate shall be a system-user who resides outside of a municipality. The board shall call an election within fifteen (15) days after July 1, 1989, to be held within sixty (60) days from the date such election is called. Those persons elected to the board shall serve until the next general election for supervisors and the election for such board members thereafter shall be held at the same time as the supervisor elections and the terms of such board members shall be concurrent with the terms of the supervisors. Any mayor who devotes a substantial amount of time to the operations of a local natural gas district may receive additional compensation as approved by the board of directors. From and after July 1, 2005, directors of natural gas districts who are operating in conformity to this section may receive compensation in the amount of Fifty Dollars ($50.00) per day for actual service rendered to the district and actual travel expenses. No such director shall receive any salary or other form of compensation except for what is provided in this section.

All board members shall file any required statements of economic interest with the Ethics Commission as required by law. This section shall not apply to any local natural gas district which leases its distribution system to an investor-owned utility company regulated by the Public Service Commission.

From and after July 1, 2004, the Board of Directors of the Chickasawhay Natural Gas District shall discontinue distribution of any of the revenues of the district to municipalities within the district.

SECTION 2. This act shall take effect and be in force from and after July 1, 2005.