Report Title:

Agricultural Water Rates; Public Utilities

Description:

Directs the Public Utilities Commission to require public utilities that furnish agricultural water in an area zoned for agricultural use to establish a water rate structure for agricultural water users.

THE SENATE	S.B. NO.	3153
TWENTY-FOURTH LEGISLATURE, 2008
STATE OF HAWAII

A BILL FOR AN ACT

relating to water rates for agricultural use.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1.  For farmers and ranchers to be
competitive and self sustaining, the state must provide the

incentives and mechanisms to ensure that all means of

supporting our local agricultural industry are implemented. 

     One of the biggest obstacles facing our farmers and ranchers is the availability of water at discounted agricultural rates.  Many farmers are not able to access water provided by the state or counties at these lower agricultural rates and must, instead, depend on private entities, such as public utilities, to furnish their water.  The rate structure for water provided by these entities may not always contain discounted rates for agricultural water use.

     The purpose of this Act is to provide fair and equitable water rates for those relying on water provided by public utilities by directing the public utilities commission to require public utilities that furnish agricultural water in an area zoned for agricultural use to establish a water rate structure for agricultural water users.

     SECTION 2.  Chapter 269, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§269-     Ratemaking; furnishing of water for agricultural use. (a)  The public utilities commission shall require public utilities that furnish water used for agricultural purposes in an area zoned for agricultural use to establish a water rate structure for agricultural water users.  All public utilities furnishing water used for agricultural purposes in an area zoned for agricultural use shall establish a water rate structure for agricultural water use by January 1, 2009.

(b)  The public utilities commission shall adopt rules pursuant to chapter 91 to effectuate this section."

     SECTION 3.  New statutory material is underscored.

     SECTION 4.  This Act shall take effect upon its approval.

INTRODUCED BY:

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