Effluent; proportional share; recharge; compensation
The bill's implementation would have significant implications for how municipal water providers manage effluent. It grants rights to eligible customers over the effluent produced from their wastewater, establishing their ownership unless the effluent is recharged in their area. Each municipal provider must accurately assess and value effluent to provide appropriate compensation to customers before billing for water services. This marks a shift towards greater accountability for municipal providers and a clearer understanding of customer rights regarding water resources.
House Bill 2413, introduced by Representative Kolodin, aims to amend Title 45 of the Arizona Revised Statutes by adding Article 16, which focuses on effluent compensation. The bill mandates that municipal providers, who operate within exclusive water service areas, are required to compensate eligible customers for a proportional share of the market value of effluent that is not recharged back in the customers' active management areas. This is intended to ensure that customers receive fair value for their contributions to the wastewater systems, particularly in regions where groundwater management is critical.
While the bill seeks to address compensation for effluent, concerns may arise regarding the complexity of its implementation. Municipal providers may face challenges in determining the volumes and market values of effluent, which could lead to disputes between customers and providers. The bill also allows for enforcement through a private right of action, meaning customers can challenge calculations that they believe are unfair. This aspect may lead to increased litigation as customers exercise this right, potentially straining resources for both municipalities and customers alike.