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[104th Congress Public Law 126]
[From the U.S. Government Printing Office]

<DOC>
[DOCID: f:publ126.104]

[[Page 883]]

      VERMONT-NEW HAMPSHIRE INTERSTATE PUBLIC WATER SUPPLY COMPACT

[[Page 110 STAT. 884]]

Public Law 104-126
104th Congress

                            Joint Resolution

 
Granting the consent of Congress to the Vermont-New Hampshire Interstate 
 Public Water Supply Compact. <<NOTE: Apr. 1, 1996 -  [S.J. Res. 38]>> 

    Resolved by the Senate and House of Representatives of the United 
States of America in Congress assembled,

SECTION 1. CONGRESSIONAL CONSENT.

    The Congress consents to the Vermont-New Hampshire Interstate Public 
Water Supply Compact entered into between the States of Vermont and New 
Hampshire. The compact reads substantially as follows:

     ``Vermont-New Hampshire Interstate Public Water Supply Compact

                               ``ARTICLE I

                          ``general provisions

    ``(a) Statement of Policy.--It is recognized that in certain cases 
municipalities in Vermont and New Hampshire may, in order to avoid 
duplication of cost and effort, and in order to take advantage of 
economies of scale, find it necessary or advisable to enter into 
agreements whereby joint public water supply facilities are erected and 
maintained. The States of Vermont and New Hampshire recognize the value 
of and need for such agreements, and adopt this compact in order to 
authorize their establishment.
    ``(b) Requirement of Congressional Approval.--This compact shall not 
become effective until approved by the United States Congress.
    ``(c) Definitions.--
            ``(1) The term `public water supply facilities' shall mean 
        publicly owned water supply sources, storage, treatment, 
        transmission and distribution facilities, and ancillary 
        facilities regardless of whether or not the same qualify for 
        Federal or State construction grants-in-aid.
            ``(2) The term `municipalities' shall mean cities, towns, 
        village districts, or other incorporated units of local 
        government possessing authority to construct, maintain, and 
        operate public water supply facilities and to raise revenue 
        therefore by bonding and taxation, which may legally impose and 
        collect user charges and impose and enforce regulatory control 
        upon users of public water supply facilities.
            ``(3) The term `water supply agency' shall mean the agencies 
        within Vermont and New Hampshire possessing regulating

[[Page 110 STAT. 885]]

        authority over the construction, maintenance, and operation of 
        public water supply facilities and the administration of grants-
        in-aid from their respective State for the construction of such 
        facilities.
            ``(4) the term `governing body' shall mean the legislative 
        body of the municipality, including, in the case of a town, the 
        selectmen or town meeting, and, in the case of a city, the city 
        council, or the board of mayor and aldermen or any similar body 
        in any community not inconsistent with the intent of this 
        definition.

                              ``ARTICLE II

   ``procedures and conditions governing intergovernmental agreements

    ``(a) Cooperative Agreements Authorized.--Any two or more 
municipalities, one or more located in New Hampshire and one or more 
located in Vermont, may enter into cooperative agreements for the 
construction, maintenance, and operation of public water supply 
facilities serving all the municipalities who are parties thereto.
    ``(b) Approval of Agreements.--Any agreement entered into under this 
compact shall, prior to becoming effective, be approved by the water 
supply agency of each State, and shall be in a form established jointly 
by said agencies of both States.
    ``(c) Method of Adopting Agreements.--Agreements shall be adopted by 
the governing body of each municipality in accordance with statutory 
procedures for the adoption of interlocal agreements between 
municipalities within each State; provided, that before a Vermont 
municipality may enter into such agreement, the proposed agreement shall 
be approved by the voters.
    ``(d) Review and Approval of Plans.--The water supply agency of the 
State in which any part of a public water supply facility which is 
proposed under an agreement pursuant to this compact is proposed to be 
or is located, is hereby authorized and required, to the extent such 
authority exists under its State law, to review and approve or 
disapprove all reports, designs, plans, and other engineering documents 
required to apply for Federal grants-in-aid or grants-in-aid from said 
agency's State, and to supervise and regulate the planning, design, 
construction, maintenance, and operation of said part of the facility.
    ``(e) Federal Grants and Financing.--(1) Application for Federal 
grants-in-aid for the planning, design, and construction of public water 
supply facilities other than distribution facilities shall be made 
jointly by the agreeing municipalities, with the amount of the grant 
attributable to each State's allotment to be based upon the relative 
total capacity reserves allocated to the municipalities in the 
respective States determined jointly by the respective State water 
supply agencies. Each municipality shall be responsible for applying for 
Federal and State grants for distribution facilities to be located 
within the municipal boundaries.
    ``(2) Municipalities are hereby authorized to raise and appropriate 
revenue for the purpose of contributing pro rata to the planning, 
design, and construction cost of public water supply facilities 
constructed and operated as joint facilities pursuant to this compact.

[[Page 110 STAT. 886]]

    ``(f) Contents of Agreements.--Agreements entered into pursuant to 
this compact shall contain at least the following:
            ``(1) A system of charges for users of the joint public 
        water supply facilities.
            ``(2) A uniform set of standards for users of the joint 
        public water supply facilities.
            ``(3) A provision for the pro rata sharing of operating and 
        maintenance costs based upon the ratio of actual usage as 
        measured by devices installed to gauge such usage with 
        reasonable accuracy.
            ``(4) A provision establishing a procedure for the 
        arbitration and resolution of disputes.
            ``(5) A provision establishing a procedure for the carriage 
        of liability insurance, if such insurance is necessary under the 
        laws of either State.
            ``(6) A provision establishing a procedure for the 
        modification of the agreement.
            ``(7) A provision establishing a procedure for the adoption 
        of regulations for the use, operation, and maintenance of the 
        public water supply facilities.
            ``(8) A provision setting forth the means by which the 
        municipality that does not own the joint public water supply 
        facility will pay the other municipality its share of the 
        maintenance and operating costs of said facility.

    ``(g) Applicability of State Laws.--Cooperative agreements entered 
into by municipalities under this compact shall be consistent with, and 
shall not supersede, the laws of the State in which each municipality is 
located. Notwithstanding any provision of this compact, actions taken by 
a municipality pursuant to this compact, or pursuant to an agreement 
entered into under this compact, including the incurring of obligations 
or the raising and appropriating of revenue, shall be valid only if 
taken in accordance with the laws of the State in which such 
municipality is located.

                             ``construction

    ``Nothing in this compact shall be construed to authorize the 
establishment of interstate districts, authorities, or any other new 
governmental or quasi-governmental entity.

                              ``ARTICLE III

                            ``effective date

    ``This compact shall become effective when ratified by the States of 
Vermont and New Hampshire and approved by the United States Congress.''.

SEC. 2. RIGHT TO ALTER, AMEND, OR REPEAL.

    The right to alter, amend, or repeal this joint resolution is hereby 
expressly reserved. The consent granted by this joint resolution shall 
not be construed as impairing or in any manner affecting any right or 
jurisdiction of the United States in and over the region which forms the 
subject of the compact.

SEC. 3. CONSTRUCTION AND SEVERABILITY.

    It is intended that the provisions of this compact shall be 
reasonably and liberally construed to effectuate the purposes thereof. 
If any part or application of this compact, or legislation

[[Page 110 STAT. 887]]

enabling the compact, is held invalid, the remainder of the compact or 
its application to other situations or persons shall not be affected.

SEC. 4. INCONSISTENCY OF LANGUAGE.

    The validity of this compact shall not be affected by any 
insubstantial difference in its form or language as adopted by the two 
States.

    Approved April 1, 1996.

LEGISLATIVE HISTORY--S.J. Res. 38 (H.J. Res. 129):
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HOUSE REPORTS: No. 104-485 accompanying H.J. Res. 129 (Comm. on the 
Judiciary).
CONGRESSIONAL RECORD:
                                                        Vol. 141 (1995):
                                    Dec. 18, considered and passed 
                                        Senate.
                                                        Vol. 142 (1996):
                                    Mar. 19, H.J. Res. 129 and S.J. Res. 
                                        38 considered and passed House.

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