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56Ratification Number: 57Act Number: 22Type of Legislation: General Bill GBIntroducing Body: SenateIntroduced Date: 19990112Primary Sponsor: AlexanderAll Sponsors: Alexander, ElliottDrafted Document Number: l:\council\bills\bbm\9996som99.docDate Bill Passed both Bodies: 19990428Date of Last Amendment: 19990422Governor's Action: SDate of Governor's Action: 19990601Subject: Water or sewer system service, regulation of; bond amount increased, imposition of fines; Public Service CommissionHistory Body Date Action Description Com Leg Involved ______ ________ ______________________________________ _______ ____________ ------ 19990618 Act No. A22 ------ 19990601 Signed by Governor ------ 19990526 Ratified R57 Senate 19990428 Concurred in House amendment, enrolled for ratification House 19990423 Read third time, returned to Senate with amendment House 19990422 Read second time, unanimous consent for third reading on Friday, 19990423 House 19990422 Amended House 19990421 Committee report: Favorable with 26 HLCI amendment House 19990331 Introduced, read first time, 26 HLCI referred to Committee Senate 19990330 Amended, read third time, sent to House Senate 19990325 Read second time, ordered to third reading with notice of general amendments Senate 19990325 Committee amendment adopted Senate 19990324 Committee report: Favorable with 11 SJ amendment Senate 19990112 Introduced, read first time, 11 SJ referred to Committee Senate 19981118 Prefiled, referred to Committee 11 SJ Versions of This Bill Revised on March 24, 1999 - Word format Revised on March 25, 1999 - Word format Revised on March 30, 1999 - Word format Revised on April 21, 1999 - Word format Revised on April 22, 1999 - Word format
(A22, R57, S56)
AN ACT TO AMEND SECTION 58-5-710, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO THE PUBLIC SERVICE COMMISSION'S REGULATION OF WATER AND SEWER UTILITIES' ADEQUACY OF SERVICE, ISSUANCE OF AN ORDER TO PROVIDE ADEQUATE AND PROPER SERVICE, FINE OR PENALTY, AND LIEN ON PROPERTY OF THE UTILITY, SO AS TO REQUIRE RATHER THAN PERMIT THE IMPOSITION OF A PENALTY OR FINE UNDER CERTAIN CONDITIONS, AND INCREASE THE AMOUNT OF THE PENALTY OR FINE; AND TO AMEND SECTION 58-5-720, RELATING TO THE FILING OF A BOND OR CERTIFICATES OF DEPOSIT PRIOR TO APPROVAL BY THE PUBLIC SERVICE COMMISSION OF CONSTRUCTION OR OTHER WORK ON A WATER OR SEWER SYSTEM, SO AS TO INCREASE THE AMOUNT OF THE BOND.
Be it enacted by the General Assembly of the State of South Carolina:
Order to provide adequate service; penalties for noncompliance
SECTION 1. Section 58-5-710 of the 1976 Code is amended to read:
"Section 58-5-710. The Public Service Commission shall have the right to require any person or corporation, as defined in Section 58-5-10, operating a water or sewer utility system for which prior consent or approval by the commission is required to appear before the commission on proper notice and show cause why that utility should not be required to take steps as are necessary to provide adequate and proper service to its customers. If the commission upon hearing determines that the service is not being provided, it shall issue an order requiring the utility to take steps as are necessary to the provision of the service within a reasonable time as prescribed by the commission. Upon failure of the utility to provide the service within the time prescribed without cause or excuse, as shall be determined by the commission, the commission shall impose a penalty or fine against the utility in an amount not less than one hundred dollars per day but not more than one thousand dollars per day. Each day the failure or noncompliance continues shall be considered a separate and distinct breach or violation of the order. Any fine or penalty so imposed or assessed by the commission, upon proper filing in the appropriate county office or offices, constitutes a lien upon the properties and assets of the utility in like manner and form as any other judgment at law. Any fine or penalty so imposed by the commission shall go into the general fund of the State, unless otherwise provided by law."
Increase bond amount for utility construction
SECTION 2. Section 58-5-720 of the 1976 Code is amended to read:
"Section 58-5-720. The commission shall, before the granting of authority or consent to any water or sewer utility regulated by the commission, for the construction, operation, maintenance, acquisition, expansion, or improvement of any facility or system, prescribe as a condition to the consent or approval that the utility shall file with the commission a bond with sufficient surety, as approved by the commission, in an amount not less than one hundred thousand dollars and not more than three hundred fifty thousand dollars payable to the commission and conditioned upon the provision by the utility of adequate and sufficient service within its service area or deliver to the commission certificates of deposit, with endorsements as required by the commission, of federal or state chartered banks or savings and loan associations who maintain an office in this State and whose accounts are insured by either the Federal Deposit Insurance Corporation or the Federal Savings and Loan Insurance Corporation. The certificates of deposit shall not exceed the amount covered by insurance. The commission has the right, upon notice and hearing, to declare all or any part of the bond or certificate of deposit forfeited upon a determination by the commission that the utility failed to provide service without just cause or excuse and that this failure has continued for an unreasonable length of time. A further condition of the bond or certificate of deposit shall be the provision for payment to the commission of any fine or penalty imposed or assessed by the commission against the utility under the provisions of Section 58-5-710."
SECTION 3. This act takes effect upon approval by the Governor.
Ratified the 26th day of May, 1999.
Approved the 1st day of June, 1999.
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