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                                                       PRINTER'S NO. 167

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 179 Session of 1999


        INTRODUCED BY GEORGE, FAIRCHILD, STABACK, WALKO, COY, DeWEESE,
           BELFANTI, TRAVAGLIO, TIGUE, LEVDANSKY, MELIO, LUCYK, SOLOBAY,
           SHANER, M. COHEN, CALTAGIRONE, PESCI, PRESTON, SCRIMENTI,
           CORRIGAN, HARHAI, WOJNAROSKI, SURRA, BELARDI, TRELLO,
           STEELMAN, LESCOVITZ AND GIGLIOTTI, JANUARY 27, 1999

        REFERRED TO COMMITTEE ON CONSUMER AFFAIRS, JANUARY 27, 1999

                                     AN ACT

     1  Amending Title 66 (Public Utilities) of the Pennsylvania
     2     Consolidated Statutes, adding definitions; and providing for
     3     water line services to municipal corporations.

     4     The General Assembly of the Commonwealth of Pennsylvania
     5  hereby enacts as follows:
     6     Section 1.  Section 102 of Title 66 of the Pennsylvania
     7  Consolidated Statutes is amended by adding definitions to read:
     8  § 102.  Definitions.
     9     Subject to additional definitions contained in subsequent
    10  provisions of this part which are applicable to specific
    11  provisions of this part, the following words and phrases when
    12  used in this part shall have, unless the context clearly
    13  indicates otherwise, the meanings given to them in this section:
    14     "Annual line extension costs."  The sum of a water utility's
    15  additional annual operating and maintenance costs, debt costs
    16  and depreciation charges associated with the construction,
    17  operation and maintenance of a line extension.

     1     "Annual revenue."  A water utility's expected additional
     2  annual revenue from a line extension based on the utility's
     3  currently effective tariff rates and on the average annual usage
     4  of customers similar in nature and size to a bona fide service
     5  applicant.
     6     "Bona fide service applicant."  A person or entity applying
     7  for water service to an existing or proposed structure within a
     8  water utility's certificated service territory for which a valid
     9  occupancy or building permit has been issued if the structure is
    10  either a primary residence of the applicant or place of
    11  business. An applicant shall not be deemed a bona fide service
    12  applicant if any of the following applies:
    13         (1)  The applicant requests water service to a building
    14     lot, subdivision or a secondary residence.
    15         (2)  The request for service is part of a plan for the
    16     development of a residential dwelling or subdivision.
    17         (3)  The applicant requests special utility service.
    18     * * *
    19     "Line extension."  An addition to a public utility's water
    20  main which is necessary to serve the premises of a customer.
    21     * * *
    22     "Water main."  The pipe of a public utility system, excluding
    23  service connections, located in a public highway, street, alley
    24  or private right-of-way which pipe is used in transporting
    25  water.
    26     Section 2.  Title 66 is amended by adding sections to read:
    27  § 531.  Water utility line extensions.
    28     (a)  General rule.--A water utility from which a bona fide
    29  service applicant requests a line extension that will not
    30  generate annual revenue equal to or exceeding the utility's
    19990H0179B0167                  - 2 -

     1  annual line extension costs shall apportion the applicant's
     2  customer advance for the extension and any other required
     3  facilities to the current number of applicants and the
     4  foreseeable number of future applicants to attach service lines
     5  to the water main. The Office of Consumer Advocate shall have
     6  the authority to resolve disputes about the foreseeable number
     7  of future applicants.
     8     (b)  Proportional advances limited.--Subject to the oversight
     9  of the commission and the Office of Consumer Advocate, no
    10  applicant shall be required to make a proportional advance any
    11  greater than is necessary to serve the current number of
    12  applicants.
    13  § 1502.1.  Service to certain municipal corporations.
    14     If a municipal corporation pays 90% or more of total costs
    15  for installing water lines or water line extensions, then the
    16  appropriate public utility shall supply water to those lines,
    17  unless the public utility can prove that:
    18         (1)  the municipal corporation has not complied with
    19     Commonwealth and municipal regulations governing water
    20     service and the approved rules and regulations of the
    21     utility; or
    22         (2)  the municipal corporation does not have adequate
    23     facilities to render the service desired; or
    24         (3)  the service desired by the municipal corporation is
    25     of a character that is likely to have a detrimental effect
    26     upon service to other customers.
    27     Section 3.  This act shall take effect in 60 days.


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