HB 1072 Summary

• Allows municipalities operating water utilities or users of waterworks outside municipal boundaries to petition the Indiana Utility Regulatory Commission (IURC) for review of water rates and charges when outside rates exceed inside rates by more than 10 percent.

• Requires municipalities to include a statement in hearing notices informing outside users of their right to petition the IURC for rate review, and to disclose in adopted ordinances the percentage difference between rates for outside and inside users.

• Petition must be filed within 14 days of ordinance adoption and automatically stays the ordinance; previous rates remain in effect until the IURC approves, disapproves, or adjusts the new rates.

• Petition is deemed approved if the IURC fails to act within 120 days; automatically disapproved if petitioners filed a simultaneous local court challenge under existing law.

• IURC may establish reasonable rates for outside users if it determines current rates are unjust, but cannot review rates for inside users or return the utility to full IURC jurisdiction; effective July 1, 2011.