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Committee advances bill requiring wastewater providers to perform five-year rate studies and reserve for failures
Summary
House Code/HB1701, as amended, creates a wastewater counterpart to the state's water law requiring wastewater utilities to complete a rate analysis every five years, implement rates to sustain systems, and set aside reserves; the committee passed the measure by voice vote.
The City, County & Local Affairs Committee passed House Code/HB1701 as amended, a bill that requires wastewater providers (public, not private) to conduct a rate analysis every five years and implement rates sufficient to sustain their systems.
Senator K. Gary Stubblefield explained that the measure is the wastewater counterpart to prior water-sector legislation (Act 605), which requires regular rate studies, a 5% revenue set‑aside for failures and board-member training. Heath Ward, executive director of Springdale Water Utilities and legislative chair for the Arkansas Water and Wastewater Managers Association, said the amendment cleans up Department of Energy language and that the bill had no opposition in the House.
Sponsor and witnesses framed the bill as ensuring wastewater utilities remain financially independent and able to pay for major repairs without repeatedly appealing to the state for funding. Senator Rice asked about prior changes to the related water law and heard that adjustments had focused on training requirements for long‑serving board members; supporters said most feedback on the water law had been positive.
A motion to adopt the amendment passed by voice vote; the committee then passed HB1701 as amended on a voice vote with no recorded opposition.
