House Consumer Protection committee debates 12-month moratorium on privatizing water systems

The House Consumer Protection, Technology & Utilities Committee considered House Bill 1964, the "Public Water Protection Act," which would impose a 12-month moratorium on the privatization of public water and wastewater systems and repeal the fair-market valuation rules set out in Act 12 of 2016.

A committee member opposing the bill told the panel that while no one wants rate increases, removing privatization as an option risks leaving communities with unsafe water and failing infrastructure. "The goal isn't 0 increases. The goal is actually, to be responsible and have sustainable systems over time," the committee member said, urging a no vote and saying municipalities need tools to address major repairs without unduly harming residents.

Other members pressed for additional stakeholder work. One member asked the committee to table the bill to consult state building trades, local government officials and law enforcement, noting those groups have submitted letters asking for more time to work through the issue.

A remote member described water authorities in their district as "struggling" to meet EPA standards and said selling an authority can be the only practical option to fund needed upgrades. "I'm not sure what we are accomplishing by taking choices away from these local authorities," that member said, and stated they would vote no on the bill.

Supporters said the bill creates a temporary pause to allow a working reform group to study utility structures and ensure access. A committee member who described water access as a right said the bill’s working group provision—created within 60 days of enactment and including the governor—would provide time for a careful evaluation: "Because of that, I will be a yes vote making sure that we have this working group and we can address these concerns during this moratorium."

The debate also included references to a specific local dispute: one member said the bill grew out of challenges involving the Chester Water Authority and argued the authority is jointly owned by two counties and operating well; that member said the moratorium was not the ideal tool but would nonetheless support the measure to protect the authority.

Committee discussion clarified that the moratorium would not block sales of distressed systems needed to protect public health. A member asked whether systems already in the sale process or those requiring emergency upgrades would be exempt; the chair confirmed such transactions could continue.

The clerk conducted a roll call related to the bill; the transcript records a tally of 15 yeas and 11 nays. The provided transcript segments do not include an explicit committee announcement of the bill's final disposition following that tally.

The committee also handled other business in the same session, holding House Bill 2131 for later consideration and passing House Resolution 403 designating April 2026 as Pennsylvania Safe Digging Month.