House File 2233 - Introduced HOUSE FILE 2233 BY WOLFE A BILL FOR An Act relating to permissible charges imposed by a public 1 utility furnishing water to a city in connection with the 2 installation and maintenance of fire sprinkler systems. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5771YH (3) 84 rn/sc
H.F. 2233 Section 1. Section 476.6, Code Supplement 2011, is amended 1 by adding the following new subsection: 2 NEW SUBSECTION . 15A. Water costs for fire protection —— 3 limitation. 4 a. Notwithstanding subsection 15, paragraph “a” , a public 5 utility furnishing water to a city may not include in the rates 6 or charges assessed to consumers receiving fire protection 7 service by the city, or otherwise impose, any fee or recurring 8 maintenance charge for the installation and maintenance of a 9 fire sprinkler system that exceeds the actual costs associated 10 with the water line to the system. 11 b. For the purposes of this subsection, “actual costs” 12 include direct labor, material, and other charges associated 13 with an individual sprinkler line documented by either 14 an invoice or work order that specifically assigns to the 15 individual line the costs associated with that line. 16 EXPLANATION 17 This bill relates to permissible charges imposed by a public 18 utility furnishing water to a city in connection with the 19 installation and maintenance of fire sprinkler systems. 20 Currently, Code section 476.6, subsection 15, permits a city 21 furnished water by a public utility subject to rate regulation 22 to apply to the Iowa utilities board for inclusion of all or 23 a part of the costs of fire hydrants or other improvements, 24 maintenance, and operations for the purpose of providing 25 adequate water production, storage, and distribution for public 26 fire protection in the rates or charges assessed to consumers 27 covered by the applicant’s fire protection service. 28 This bill provides that, notwithstanding this provision, 29 a public utility furnishing water to a city may not include 30 in the rates or charges assessed to consumers receiving fire 31 protection service by the city, or otherwise impose, any fee 32 or recurring maintenance charge for the installation and 33 maintenance of a fire sprinkler system that exceeds the actual 34 costs associated with the water line to the system. The bill 35 -1- LSB 5771YH (3) 84 rn/sc 1/ 2
H.F. 2233 defines “actual costs” to include direct labor, material, and 1 other charges associated with an individual sprinkler line 2 documented by either an invoice or work order that specifically 3 assigns the costs incurred to the individual line. 4 -2- LSB 5771YH (3) 84 rn/sc 2/ 2