Water supply: systems and utilities; water shutoff protection act; enact. Creates new act. TIE BAR WITH: SB 0248'25, SB 0250'25
The passage of SB 252 would result in significant changes to existing utility laws, implementing a framework that prioritizes customer welfare while managing shutoff procedures. Providers would be legally obligated to establish and communicate payment plans effectively, with particular attention to low-income customers. By enforcing more stringent rules around service disconnections and the protocols for re-establishing service, the law seeks to prevent undue hardships on households affected by economic difficulties.
Senate Bill 252, titled the 'Water Shutoff Protection Act', establishes comprehensive regulations guiding the practices of providers of retail water service in Michigan. The bill primarily aims to restrict the circumstances under which water service can be shut off, particularly safeguarding vulnerable populations such as critical care customers, who rely on continuous access to water for medical equipment. It also emphasizes maintaining accountability among providers regarding communication efforts, mandating that they notify customers multiple times before proceeding with service interruptions due to non-payment.
While the bill has garnered support for its focus on protecting disadvantaged populations, it has also faced criticism for potentially placing additional administrative burdens on water service providers. Stakeholders have expressed concerns that complying with the new mandates may result in increased operational costs and complexities. Critics argue that the balance between ensuring customer rights and safeguarding the financial health of utility providers is critical, noting that While protections are essential, they must not hinder providers' abilities to operate sustainably.