Georgia 2025-2026 Regular Session

Georgia House Bill HB449 Compare Versions

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1-25 LC 55 0635S
2-The Senate Committee on Regulated Industries and Utilities offered the following
3-substitute to HB 449:
1+25 LC 55 0562S
2+House Bill 449 (COMMITTEE SUBSTITUTE)
3+By: Representatives Rhodes of the 124
4+th
5+, Ridley of the 6
6+th
7+, Hitchens of the 161
8+st
9+, Smith of the
10+70
11+th
12+, Williams of the 148
13+th
14+, and others
415 A BILL TO BE ENTITLED
516 AN ACT
6-To amend Titles 44 and 46 of the Official Code of Georgia Annotated, relating to property1
7-and public utilities and public transportation, respectively, so as to prohibit certain2
8-restrictions on the installation, operation, or maintenance of private water wells for irrigation3
9-purposes on real property; to prohibit covenants running with the land from prohibiting or4
10-restricting property owners from installing, operating, or maintaining private water wells for5
11-irrigation purposes on their property; to prohibit companies that provide water services6
12-through certain water systems in this state from prohibiting or restricting customers of such7
13-company from installing, operating, or maintaining private water wells for irrigation8
14-purposes on such customers' property; to provide for statutory construction; to provide for9
15-definitions; to provide an effective date; to provide for related matters; to repeal conflicting10
16-laws; and for other purposes.11
17-BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:12
18-SECTION 1.13
19-Title 44 of the Official Code of Georgia Annotated, relating to property, is amended in14
20-Article 3 of Chapter 5, relating to covenants and warranties, by adding a new Code section15
21-to read as follows:16
22-- 1 - 25 LC 55 0635S
23-"44-5-60.1.17
24-(a) No covenant running with the land shall prohibit or restrict a property owner from18
25-installing, operating, or maintaining a water well on such property owner's property that19
26-exclusively provides water for irrigation purposes to such property, provided that such20
27-water well does not provide water to any other parcel of land that is not owned by such21
28-property owner and such property owner does not sell water from such water well or, in22
29-exchange for consideration, authorize the use of such water well by any other person.23
30-(b) Any provision in a covenant running with the land, or any subsidiary document24
31-adopted pursuant to a covenant running with the land, that violates subsection (a) of this25
32-Code section is declared to be contrary to public policy and shall be void and26
33-unenforceable.27
34-(c) It is the intent of the General Assembly that the provisions of this Code section shall28
35-apply to any covenant running with the land, or any subsidiary document adopted pursuant29
36-to a covenant running with the land, regardless of when such covenant running with the30
37-land was created or became effective.31
38-(d) Nothing in this Code section is intended to prevent the application of any provision of32
39-law or regulation of any county, municipality, or consolidated government concerning the33
40-installation, operation, or maintenance of water wells in this state."34
41-SECTION 2.35
42-Title 46 of the Official Code of Georgia Annotated, relating to public utilities and public36
43-transportation, is amended by revising Chapter 10, which is reserved, as follows:37
44-"CHAPTER 1038
45-46-10-1.39
46-As used in this chapter, the term:40
47-- 2 - 25 LC 55 0635S
48-(1) 'Covered water system' means any water system that is owned and operated by a41
49-private company and that provides water services by means of pipes or conduits to 2,00042
50-or more customer service connections in this state. Such term shall not include any water43
51-system that is owned or operated by the state or any political subdivision or authority44
52-thereof.45
53-(2) 'Surface water' means all rivers, streams, branches, creeks, ponds, tributary streams,46
54-drainage basins, natural lakes, and artificial reservoirs and impoundments.47
55-(3) 'Water services' means water services, sanitary sewer services, or both.48
56-(4) 'Water system' means a system for the provision to the public of piped water for49
57-human consumption that is sourced exclusively from surface water, sanitary sewer50
58-services, or both. Such term includes but is not limited to any collection, treatment,51
59-storage, and distribution facilities under the control of the operator of such system and52
60-used primarily in connection with such system and any collection or pretreatment storage53
61-facilities not under such control which are used primarily in connection with such system.54
62-46-10-2.55
63-(a) No company that owns a covered water system shall enter into or seek to enforce any56
64-contractual provision that prohibits or restricts the ability of any customer of such company57
65-who receives water services from such company through such covered water system from58
66-installing, operating, or maintaining a water well on such customer's property that59
67-exclusively provides water for irrigation purposes to such customer, provided that such60
68-water well does not provide water to any parcel of land that is not owned by such customer61
69-and such customer does not sell water from such water well or, in exchange for62
70-consideration, authorize the use of such water well by any other person.63
71-(b) Any contractual provision entered into by a company that owns a covered water system64
72-that violates the provisions of subsection (a) of this Code section is declared to be contrary65
73-to public policy and shall be void and unenforceable.66
74-- 3 - 25 LC 55 0635S
75-(c) It is the intent of the General Assembly that the provisions of this Code section shall67
76-apply to any contractual provision entered into by a company that owns a covered water68
77-system regardless of when such contractual provision was entered into or otherwise became69
78-effective.70
79-46-10-3.71
80-No company that owns a covered water system shall prohibit any customer of such72
81-company who receives water services from such company through such covered water73
82-system from installing, operating, or maintaining, or discontinue the provision of water74
83-services to such customer solely due to the installation, operation, or maintenance of, a75
84-water well on such customer's property that exclusively provides water for irrigation76
85-services to such customer; provided that such water well does not provide water to any77
86-parcel of land that is not owned by such customer and such customer does not sell water78
87-from such water well or, in exchange for consideration, authorize the use of such water79
88-well by another person.80
89-46-10-4.81
90-Nothing in this chapter is intended to prevent the application of any provision of law or82
91-regulation of any county, municipality, or consolidated government concerning the83
92-installation, operation, or maintenance of water wells in this state. Reserved."84
93-SECTION 3.85
94-This Act shall become effective on July 1, 2025.86
95-SECTION 4.87
96-All laws and parts of laws in conflict with this Act are repealed.88
17+To amend Title 46 of the Official Code of Georgia Annotated, relating to public utilities and
18+1
19+public transportation, so as to subject the rates and charges for water services provided2
20+through certain water systems in this state to regulation by the Public Service Commission;3
21+to provide for the review of certain increases to such rates and charges by the commission;4
22+to provide for financial record keeping of companies that own such water systems; to provide5
23+for rules and regulations; to provide for assessments and legislative recommendations by the6
24+commission; to provide for construction; to provide for definitions; to provide an effective7
25+date; to provide for related matters; to repeal conflicting laws; and for other purposes.8
26+BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:9
27+SECTION 1.10
28+Title 46 of the Official Code of Georgia Annotated, relating to public utilities and public11
29+transportation, is amended by revising Chapter 10, which is reserved, as follows:12
30+H. B. 449 (SUB)
31+- 1 - 25 LC 55 0562S
32+"CHAPTER 10
33+13
34+46-10-1.14
35+As used in this chapter, the term:
36+15
37+(1) 'Covered water system' means any water system that is owned and operated by a16
38+private company and that provides water services by means of pipes or conduits to 2,00017
39+or more customer service connections in this state. Such term shall not include any water18
40+system that is owned or operated by the state or any political subdivision or authority19
41+thereof.20
42+(2) 'Surface water' means all rivers, streams, branches, creeks, ponds, tributary streams,21
43+drainage basins, natural lakes, and artificial reservoirs and impoundments.22
44+(3) 'Water services' means water services, sanitary sewer services, or both.23
45+(4) 'Water system' means a system for the provision to the public of piped water for24
46+human consumption that is sourced exclusively from surface water, sanitary sewer25
47+services, or both. Such term includes but is not limited to any collection, treatment,26
48+storage, and distribution facilities under the control of the operator of such system and27
49+used primarily in connection with such system and any collection or pretreatment storage28
50+facilities not under such control which are used primarily in connection with such system.29
51+46-10-2.30
52+The rates and charges for water services provided through covered water systems shall be31
53+just and reasonable and shall be subject to the jurisdiction of the commission as provided32
54+in Code Section 46-10-3.33
55+46-10-3.34
56+(a) Any increase to the rates or charges for water services provided through a covered35
57+water system that would amount to an increase of 15 percent or more to the lowest amount36
58+H. B. 449 (SUB)
59+- 2 - 25 LC 55 0562S
60+such rates or charges have been set over the prior three calendar years shall be subject to37
61+the jurisdiction of the commission as provided in Code Section 46-2-25, including, without38
62+limitation, the authority of the commission, upon its election, to enter upon a hearing39
63+concerning the lawfulness of such increase, and the company that owns such covered water40
64+system shall comply with the notice provisions of subsection (a) of said Code section prior41
65+to making such increase to such rates or charges.42
66+(b) If a hearing on the lawfulness of an increase to the rates or charges for water services43
67+provided through a covered water system is held pursuant to subsection (a) of this Code44
68+section and the commission determines at such hearing that such increase is just and45
69+reasonable, the commission shall not hold another hearing concerning an increase to the46
70+rates or charges for water services provided through such covered water system for a period47
71+of three years, unless the company that owns such covered water system intends to increase48
72+the rates or charges for such water services during such three-year period by 15 percent or49
73+more to the rates or charges found to be just and reasonable by the commission at such50
74+hearing.51
75+(c) For purposes of calculating whether an increase to the rates or charges for water52
76+services provided through a covered water system constitutes an increase of 15 percent or53
77+more to the lowest amount such rates or charges have been set over the prior three calendar54
78+years, the following shall not be included in such calculation:55
79+(1) One-time fees or charges assessed by the company that owns such covered water56
80+system for connecting to the water or sewer lines of such covered water system; or57
81+(2) Recovered costs that were incurred by the company that owns such covered water58
82+system as the result of a flood, tornado, hurricane, earthquake, or other occurrence for59
83+which the President of the United States has made a federal disaster declaration under the60
84+federal Robert T. Stafford Disaster Relief and Emergency Assistance Act, 42 U.S.C.61
85+Sections 5121-5206.62
86+H. B. 449 (SUB)
87+- 3 - 25 LC 55 0562S
88+46-10-4.63
89+A company that owns a covered water system shall keep records relating to its financial64
90+condition and profits and losses in accordance with generally accepted accounting65
91+principles. Such records shall be made available to the commission upon request.66
92+46-10-5.67
93+The commission shall have the power to promulgate reasonable rules and regulations not68
94+inconsistent with this chapter or other laws of this state that are necessary to carry out the69
95+provisions of this chapter.70
96+46-10-6.71
97+The commission shall conduct regular assessments of its jurisdiction over the rates or72
98+charges for water services provided through covered water systems as provided in this73
99+chapter. When appropriate, the commission may make recommendations to the General74
100+Assembly on any legislative changes or revisions to this chapter that may be needed to75
101+regulate such rates or charges and to protect the interests of consumers in this state.76
102+46-10-7.77
103+Nothing in this chapter shall apply to water services provided by the state or any political78
104+subdivision or authority thereof or subject such entities to the jurisdiction of the79
105+commission. Reserved."80
106+SECTION 2.81
107+This Act shall become effective on January 1, 2026.82
108+SECTION 3.83
109+All laws and parts of laws in conflict with this Act are repealed.84
110+H. B. 449 (SUB)
97111 - 4 -