Senate Study Bill 1236 SENATE FILE BY (PROPOSED COMMITTEE ON LOCAL GOVERNMENT BILL BY CHAIRPERSON QUIRMBACH) Passed Senate, Date Passed House, Date Vote: Ayes Nays Vote: Ayes Nays Approved A BILL FOR 1 An Act modifying water service requirements for rural water 2 providers. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 1992SC 82 5 eg/gg/14 PAG LIN 1 1 Section 1. NEW SECTION. 357A.2A WATER SERVICE WITHIN TWO 1 2 MILES OF A CITY == NOTICE. 1 3 1. A district or a rural water association incorporated 1 4 under this chapter or chapter 504 shall not provide water 1 5 service, other than water service provided as of April 1, 1 6 1987, within two miles of the limits of a city, except as 1 7 provided in this section. 1 8 2. A district or a rural water association incorporated 1 9 under this chapter or chapter 504 may give notice of intent to 1 10 provide water service to a new area within two miles of a city 1 11 by submitting a water plan to the city council, or if the city 1 12 has a municipal water utility that is governed by a board of 1 13 trustees to the city's utility board. The plan is only 1 14 required to indicate the area within two miles of the city 1 15 which the district or rural water association intends to 1 16 serve. If the city fails to respond to the plan within ninety 1 17 days of the city's receipt of the plan, the district or rural 1 18 water association may provide service in the area designated 1 19 in the plan. The city may inform the district or the rural 1 20 water association within ninety days of the city's receipt of 1 21 the plan that the city requires additional time or information 1 22 to study the question of providing water service outside the 1 23 limits of the city. If additional time or information is 1 24 required, the city shall respond to the plan within one 1 25 hundred eighty days of the city's receipt of the plan. In 1 26 responding to the plan, the city may waive its right to 1 27 provide water service within the areas designated for service 1 28 by the district or rural water association, or the city may 1 29 reserve the right to provide water service in some or all of 1 30 the areas which the district or association intends to serve. 1 31 If the city reserves the right to provide water service within 1 32 some or all of the areas which the district or rural water 1 33 association intends to serve, the city shall provide service 1 34 within four years of the city's receipt of the plan. This 1 35 section does not preclude a city from providing water service 2 1 in an area which is annexed by the city. 2 2 Sec. 2. Section 357A.2, unnumbered paragraphs 4 and 5, 2 3 Code 2007, are amended by striking the unnumbered paragraphs. 2 4 EXPLANATION 2 5 This bill creates new Code section 357A.2A that is 2 6 substantially similar to current Code section 357A.2 that 2 7 restricts a rural water district or a rural water association 2 8 from providing water service within two miles of a city. A 2 9 rural water district or a rural water association that intends 2 10 to provide such water service is required to notify the city 2 11 council or the city's utility board. 2 12 The bill makes the distinction between a rural water 2 13 district and a rural water association. A rural water 2 14 association is not a "district", i.e., organized under Code 2 15 chapter 357A. See Rural Water System #1 v. City of Sioux 2 16 Center, Iowa, 202 F.3d 1035 (8th Cir. 2000). 2 17 LSB 1992SC 82 2 18 eg:rj/gg/14