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PRIOR PRINTER'S NO. 1896
PRINTER'S NO. 1909
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No.
1490
Session of
2017
INTRODUCED BY TURZAI, READSHAW, CALTAGIRONE, D. COSTA, P. COSTA,
DEASY, ENGLISH, EVANKOVICH, KAUFFMAN, KORTZ, KULIK, MILLARD,
MUSTIO, ORTITAY, QUIGLEY, WARD, WHEELAND AND MAHER,
JUNE 2, 2017
AS REPORTED FROM COMMITTEE ON CONSUMER AFFAIRS, HOUSE OF
REPRESENTATIVES, AS AMENDED, JUNE 5, 2017
AN ACT
Amending Title 66 (Public Utilities) of the Pennsylvania
Consolidated Statutes, providing for water and sewer
authorities in cities of the second class.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Title 66 of the Pennsylvania Consolidated
Statutes is amended by adding a chapter to read:
CHAPTER 32
WATER AND SEWER AUTHORITIES
IN CITIES OF THE
SECOND CLASS
Sec.
3201. Definitions.
3202. Application of provisions of title.
3203. Prior tariffs.
3204. Tariff filing and compliance plan.
3205. Maintenance, repair and replacement of facilities and
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equipment.
3206. Duties of Office of Consumer Advocate and Office of Small
Business Advocate.
3207. Commission assessment.
3208. Power of authority.
3209. Proprietary information of authority.
§ 3201. Definitions.
The following words and phrases when used in this chapter
shall have the meanings given to them in this section unless the
context clearly indicates otherwise:
"Authority." A body politic or corporate established by a
city of the second class under 53 Pa.C.S. Ch. 56 (relating to
municipal authorities), under the former act of June 28, 1935
(P.L.463, No.191), known as the Municipality Authorities Act of
one thousand nine hundred and thirty-five, or under the former
act of May 2, 1945 (P.L.382, No.164), known as the Municipality
Authorities Act of 1945, which owns or operates equipment or
facilities for any of the following purposes:
(1) Diverting, developing, pumping, impounding,
distributing or furnishing water to customers for
compensation.
(2) Wastewater collection, treatment or disposal to
customers for compensation.
§ 3202. Application of provisions of title.
(a) Application.--Beginning on January 1, 2018, the
(A) APPLICATION.--THE FOLLOWING APPLY:
(1) BEGINNING ON JANUARY 1, 2018, THE
provisions of this title, except Chapters 11 (relating to
certificates of public convenience) , 19 (relating to securities
and obligations) and 21 (relating to relations with affiliated
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interests), shall apply to the service of an authority in the
same manner as the service of a public utility.
(2) NOTWITHSTANDING PARAGRAPH (1), SECTION 1103 SHALL
APPLY TO AN AUTHORITY THAT SEEKS TO ACQUIRE, CONSTRUCT OR
BEGIN TO OPERATE ANY EQUIPMENT, PLANT OR OTHER FACILITY FOR
THE RENDERING OF SERVICE BEYOND THE AREAS SERVED AS OF THE
EFFECTIVE DATE OF THIS SECTION.
(b) Exception.--Upon request of an authority, the commission
may suspend or waive the applicability of any provision of this
title to the authority, except for this section.
§ 3203. Prior tariffs.
(a) Service.--An authority shall continue to provide service
to the authority's customers in accordance with a prior tariff
until the effective date of a commission's order approving a new
tariff. If the effective date of a commission's order approving
a new tariff has been stayed by a court of competent
jurisdiction, the prior tariff shall remain in effect until the
stay has been dissolved.
(b) Disputes or conflicts.--In accordance with section 3208
(relating to power of authority), the commission shall resolve
all disputes or conflicts arising under a prior tariff.
(c) Definition.--As used in this section, the term "prior
tariff" shall mean the tariff, rate schedule and riders
incorporated into the tariff, including the bylaws, terms and
conditions or other documents setting forth the rates and terms
and conditions of service provided by an authority on the date
the commission assumes jurisdiction over the authority.
§ 3204. Tariff filing and compliance plan.
(a) Filing.--An authority shall file an initial A tariff AND
SUPPORTING DATA with the commission within 60 days of the
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effective date of this section. The commission shall conduct an
initial A rate proceeding in accordance with the commission's
procedures for initial tariff filings. To the extent practical,
public hearings on the initial tariff filing shall be held
within the boundaries of an authority.
(b) Compliance plan.-- The compliance plan WITHIN 120 DAYS OF
THE EFFECTIVE DATE OF THIS SECTION, AN AUTHORITY SHALL FILE A
COMPLIANCE PLAN WITH THE COMMISSION WHICH shall include
provisions to convert BRING an authority's existing information
technology, accounting, billing, collection and other operating
systems and procedures to comply INTO COMPLIANCE with the
requirements applicable to jurisdictional water and wastewater
utilities under this title and applicable rules, regulations and
orders of the commission. THE COMPLIANCE PLAN SHALL ALSO INCLUDE
A LONG-TERM INFRASTRUCTURE IMPROVEMENT PLAN IN ACCORDANCE WITH
SUBCHAPTER B OF CHAPTER 13 (RELATING TO DISTRIBUTION SYSTEMS).
(c) Costs.--The following apply:
(1) The commission shall examine the costs and
administrative burdens of converting existing systems and
procedures of an authority to meet the requirements of this
title.
(2) The commission shall conduct an analysis of a
conversion under paragraph (1) in order to assess whether the
costs of the conversion outweigh the benefits. If the
commission determines that the costs outweigh the benefits,
the commission may waive any provision of this title or the
commission's regulations or orders.
(3) If the commission determines the benefits outweigh
the costs, the commission shall permit a full recovery of the
costs by an authority.
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(C) COMMISSION REVIEW.--THE COMMISSION SHALL REVIEW THE
COMPLIANCE PLAN FILED BY AN AUTHORITY UNDER SUBSECTION (B) AND
MAY ORDER THE AUTHORITY TO FILE A NEW OR REVISED COMPLIANCE PLAN
IF THE COMPLIANCE PLAN FAILS TO ADEQUATELY ENSURE AND MAINTAIN
THE PROVISION OF ADEQUATE, EFFICIENT, SAFE, RELIABLE AND
REASONABLE SERVICE.
§ 3205. Maintenance, repair and replacement of facilities and
equipment.
(a) Authorization.--The commission may require an authority
to maintain, repair and replace facilities and equipment used to
provide services under this chapter to ensure that the equipment
and facilities comply with section 1501 (relating to character
of service and facilities).
(b) Petition.--An authority may petition the commission for
the establishment of a distribution system improvement charge.
An authority which establishes a distribution system improvement
charge shall comply with all applicable requirements of
Subchapter B of Chapter 13 (relating to distribution systems).
§ 3206. Duties of Office of Consumer Advocate and Office of
Small Business Advocate.
(a) Office of Consumer Advocate.--The Office of Consumer
Advocate shall represent the interests of consumers as a party,
or otherwise participate for the purpose of representing the
interests of consumers, in any matter properly before the
commission relating to an authority.
(b) Office of Small Business Advocate.--The Office of Small
Business Advocate shall represent the interests of consumers as
a party, or otherwise participate for the purpose of
representing the interests of small business consumers, in any
matter properly before the commission relating to an authority.
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(c) Authorization.--In addition to any other powers
conferred upon the Office of Consumer Advocate or Office of
Small Business Advocate, the Office of Consumer Advocate or
Office of Small Business Advocate may represent an interest of
consumers presented to it for consideration, in writing, by a
substantial number of individuals who make, direct, use or are
the recipients of a product or service provided by an authority.
§ 3207. Commission assessment.
(a) Sworn statement.--In order to allow the commission to
carry out the commission's duties under this chapter, the
president of an authority shall file, within 60 days of the
effective date of this section AND ON OR BEFORE MARCH 31 OF EACH
YEAR THEREAFTER , a sworn statement which specifies the
authority's gross intrastate revenues for the immediately
preceding fiscal year in the same manner as required under
section 510(b) (relating to assessment for regulatory expenses
upon public utilities).
(b) Billing.--The commission shall make an estimate based on
the gross intrastate revenues specified under subsection (a) in
accordance with the procedures set forth in section 510(b) and
shall impose an assessment on an authority based on the
authority's proportional share of the commission's expenses
RELATING TO THE COMMISSION'S UTILITY GROUP in accordance with
section 510(b)(4) 510(B) . An authority shall pay an assessment
on an annual basis in accordance with section 510.
§ 3208. Power of authority.
(a) Power.--Nothing in this chapter shall be construed to
rescind or limit the power of a city of the second class to
establish an authority or determine the powers, functions,
budget or activities of an authority .
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(b) Audits.--Nothing in this chapter shall be construed to
limit or prevent a city official of a city of the second class
from conducting audits and examinations of the financial affairs
of an authority in accordance with the city official's duties.
§ 3209. Proprietary information of authority.
Proprietary information, trade secrets and competitively
sensitive information of an authority shall not be public
records under the act of February 14, 2008 (P.L.6, No.3), known
as the Right-to-Know Law, and shall not be subject to mandatory
public disclosure. Nothing in this section CHAPTER shall be
construed to exempt an authority from providing information to
the commission as specified under sections 501 (relating to
general powers), 504 (relating to reports by public utilities),
505 (relating to duty to furnish information to commission;
cooperation in valuing property) and 506 (relating to inspection
of facilities and records) OR ANY OTHER PROVISION OF THIS TITLE
WHICH REQUIRES INFORMATION TO BE PROVIDED TO THE COMMISSION .
Section 2. All acts or parts of acts are repealed insofar as
they are inconsistent with this act.
Section 3. This act shall take effect as follows:
(1) The addition of 66 Pa.C.S. § 3207 shall take effect
in 60 days.
(2) The remainder of this act shall take effect
immediately.
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