Florida Senate - 2012                      CS for CS for SB 1178
       
       
       
       By the Committees on Community Affairs; and Environmental
       Preservation and Conservation; and Senator Hays
       
       
       
       578-02961B-12                                         20121178c2
    1                        A bill to be entitled                      
    2         An act relating to water supply; amending s. 373.236,
    3         F.S.; specifying conditions of issuance; requiring
    4         that certain permits approved for the development of
    5         alternative water supplies by certain entities be
    6         granted for at least 30 years; requiring that such
    7         permits be extended under specified conditions;
    8         providing for a reduction in permitted water
    9         quantities during compliance reviews under certain
   10         circumstances; excluding from application of the act a
   11         permit for nonbrackish groundwater or nonalternative
   12         water supplies; providing an option for the duration
   13         of an alternative water supply permit to a county,
   14         special district, regional water supply authority,
   15         multijurisdictional water supply entity, or publicly
   16         or privately owned utility; creating the Study
   17         Committee on Investor-Owned Water and Wastewater
   18         Utility Systems; providing for membership and terms of
   19         service; prohibiting compensation of the members;
   20         providing for reimbursement of the members for certain
   21         expenses; providing for removal or suspension of
   22         members by the appointing authority; requiring the
   23         Public Service Commission to provide staff,
   24         information, assistance, and facilities that are
   25         deemed necessary for the committee to perform its
   26         duties; providing for funding from the Florida Public
   27         Service Regulatory Trust Fund; providing duties for
   28         the committee; providing for public meetings;
   29         requiring the committee to report to the Governor and
   30         Legislature its findings and make recommendations for
   31         legislative changes; providing for future termination
   32         of the committee; providing an effective date.
   33  
   34  Be It Enacted by the Legislature of the State of Florida:
   35  
   36         Section 1. Subsection (5) of section 373.236, Florida
   37  Statutes, is amended to read:
   38         373.236 Duration of permits; compliance reports.—
   39         (5)(a) Permits approved for the development of alternative
   40  water supplies shall be granted for a term of at least 20 years
   41  if there is sufficient data to provide reasonable assurance that
   42  the conditions for permit issuance will be met for the duration
   43  of the permit. However, if the permittee issues bonds for the
   44  construction of the project, upon request of the permittee
   45  before prior to the expiration of the permit, the that permit
   46  shall be extended for such additional time as is required for
   47  the retirement of bonds, not including any refunding or
   48  refinancing of such bonds, if provided that the governing board
   49  determines that the use will continue to meet the conditions for
   50  the issuance of the permit. Such a permit is subject to
   51  compliance reports under subsection (4).
   52         (b)1.Permits approved on or after July 1, 2012, for the
   53  development of alternative water supplies shall be granted for a
   54  term of at least 30 years if there is sufficient data to provide
   55  reasonable assurance that the conditions for permit issuance
   56  will be met for the duration of the permit. If, within 7 years
   57  after a permit is granted, the permittee issues bonds to finance
   58  the project, completes construction of the project, and requests
   59  an extension of the permit duration, the permit shall be
   60  extended to expire upon the retirement of such bonds or 30 years
   61  after the date construction of the project is complete,
   62  whichever occurs later. However, a permit’s duration may not be
   63  extended by more than 7 years beyond the permit’s original
   64  expiration date. A 7-year permit extension, as described in this
   65  subparagraph, shall be applicable to any 30-year permit for the
   66  development of alternative water supplies granted between June
   67  1, 2011, and July 1, 2012.
   68         2.Permits issued under this paragraph are subject to
   69  compliance reports under subsection (4). However, if the
   70  permittee demonstrates that bonds issued to finance the project
   71  are outstanding, the quantity of alternative water allocated in
   72  the permit may not be reduced during a compliance report review
   73  unless a reduction is needed to address unanticipated harm to
   74  water resources or to existing legal uses present when the
   75  permit was issued. A reduction required by an applicable water
   76  shortage order shall apply to permits issued under this
   77  paragraph.
   78         3. Permits issued under this paragraph may not authorize
   79  the use of nonbrackish groundwater supplies or nonalternative
   80  water supplies.
   81         (c) Entities that wish to develop alternative water
   82  supplies may apply for a permit under paragraph (a) or paragraph
   83  (b).
   84         Section 2. Study Committee on Investor-Owned Water and
   85  Wastewater Utility Systems.—
   86         (1) There is created a Study Committee on Investor-Owned
   87  Water and Wastewater Utility Systems, which shall be composed of
   88  17 members designated and appointed as follows:
   89         (a) Two Senators appointed by the President of the Senate,
   90  one of whom shall be appointed as chair by the President of the
   91  Senate.
   92         (b) Two Representatives appointed by the Speaker of the
   93  House of Representatives.
   94         (c) The Secretary of Environmental Protection or his or her
   95  designee, who shall be a nonvoting member of the committee.
   96         (d) The chair of the Public Service Commission or his or
   97  her designee, who shall be a nonvoting member of the committee.
   98         (e) A representative of a water management district
   99  appointed by the Governor.
  100         (f) A representative of a water or wastewater system owned
  101  or operated by a municipal government appointed by the Governor.
  102         (g) A representative of a water or wastewater system owned
  103  or operated by a county government appointed by the Governor.
  104         (h) The chair of a county commission that regulates
  105  investor-owned water or wastewater utility systems, who shall be
  106  a nonvoting member of the committee.
  107         (i) A representative of a county health department
  108  appointed by the Governor, who shall be a nonvoting member of
  109  the committee.
  110         (j) A representative of the Florida Rural Water Association
  111  appointed by the Governor.
  112         (k) A representative of a small investor-owned water or
  113  wastewater utility appointed by the Governor.
  114         (l) A representative of a large investor-owned water or
  115  wastewater utility appointed by the Governor.
  116         (m) The Public Counsel or his or her designee.
  117         (n) A customer of a Class C water or wastewater utility
  118  appointed by the Governor.
  119         (o) A representative of a government authority that was
  120  created pursuant to chapter 367, Florida Statutes, appointed by
  121  the Governor.
  122         (2) The members shall serve until the work of the committee
  123  is complete and the committee is terminated, except that if a
  124  member no longer serves in the position required for
  125  appointment, the member shall be replaced by the individual who
  126  serves in such position.
  127         (3) Members of the committee shall serve without
  128  compensation, but are entitled to reimbursement for all
  129  reasonable and necessary expenses, including travel expenses, in
  130  the performance of their duties as provided in s. 112.061,
  131  Florida Statutes.
  132         (4) The appointing authority may remove or suspend a member
  133  appointed by it for cause, including, but not limited to,
  134  failure to attend two or more meetings of the committee.
  135         (5) The Public Service Commission shall provide the staff,
  136  information, assistance, and facilities as are deemed necessary
  137  for the committee to carry out its duties under this section.
  138  Funding for the committee shall be paid from the Florida Public
  139  Service Regulatory Trust Fund.
  140         (6) The committee shall identify issues of concern of
  141  investor-owned water and wastewater utility systems,
  142  particularly small systems, and their customers and research
  143  possible solutions. In addition, the committee shall consider:
  144         (a) The ability of a small investor-owned water and
  145  wastewater utility to achieve economies of scale when purchasing
  146  equipment, commodities, or services.
  147         (b) The availability of low-interest loans to a small,
  148  privately owned water or wastewater utility.
  149         (c) Any tax incentives or exemptions, temporary or
  150  permanent, which are available to a small water or wastewater
  151  utility.
  152         (d) The impact on customer rates if a utility purchases an
  153  existing water or wastewater utility system.
  154         (e) The impact on customer rates of a utility providing
  155  service through the use of a reseller.
  156         (f) Other issues that the committee identifies during its
  157  investigation.
  158         (7) The committee shall meet at the time and location as
  159  the chair determines, except that the committee shall meet a
  160  minimum of four times. At least two meetings must be held in an
  161  area that is centrally located to utility customers who have
  162  recently been affected by a significant increase in water or
  163  wastewater utility rates. The public shall be given the
  164  opportunity to speak at the meeting.
  165         (8) By December 31, 2012, the committee shall prepare and
  166  submit to the Governor, the President of the Senate, and the
  167  Speaker of the House of Representatives a report detailing its
  168  findings pursuant to subsection (6) and making specific
  169  legislative recommendations.
  170         (9) This section expires and the committee terminates June
  171  30, 2013.
  172         Section 3. This act shall take effect July 1, 2012.