An Act To Encourage and Facilitate Regional Utility Districts
Maine Legislature, Session 123, LD 1573
Committee: Utilities and Energy
Sponsors: ADAMS, BERRY, BRAUTIGAM, McCORMICK, SNOWE-MELLO
Amends: 35-A MRSA §6401, 35-A MRSA §6419, 38 MRSA §1069, 38 MRSA §1163, 38 MRSA §1252

Legislative Document 
No. 1573 
H.P.1098 
House of Representatives, March 20, 2007 
An Act To Encourage and Facilitate Regional Utility Districts 
Reference to the Committee on Utilities and Energy suggested and ordered printed. 
Presented by Representati ve TREAT of Farmingdale. 
111~/J7·711~ 
MILLICENT M. MacFARLAND 
Clerk 
Cosponsored by Representatives: ADAMS of Portland, BERRY of Bowdoinham, 
BRAUTIGAM of Falmouth, Senators: McCORMICK of Kennebec, SNOWE-MELLO of 
Androscoggin. 
Printed on recycled paper 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 35-A MRS A §6106, sub-§l, as amended by PL 1987, c. 490, Pt. B, §15, 
is further amended to read: 
1. Investment. The governing body of a consumer-owned water utility may choose 
to make no investment in a water main extension or service line and may require persons 
requesting a water main extension or service line to advance to the utility the full cost of 
construction, including associated appurtenances required solely as a result of the 
construction of the water main extension or service line and used solely for the operation 
of the main extension or service line. Apportionment of the costs among customers sflal.l 
must be determined by the commission by rule. A consumer-owned water utility may not 
lend funds to any person requesting a water main extension or service line. 
Sec. 2. 35-A MRSA §6401, sub-§2, ~A, as amended by PL 2003, c. 147, §1, is 
l3 
further amended to read: 
A. 
The following proVISIOns apply to all water districts, regardless of when 
chartered, and any portion of a water district charter that is contrary to the provisions 
is void and of no effect: 
(1) Section 6410, subsection 7; 
(2) Section 6410, subsection 8; 
(3) Section 64l3-A; aOO 
(4) Section 6414-A-:; and 
(5) Section 6419. 
Sec. 3. 35-A MRSA §6419 is enacted to read: 
§6419. Water districts; ownership of assets 
The assets of a water district are owned by the ratepayers. 
Sec. 4. 38 MRSA §1069 is enacted to read: 
§1069. Ownership of assets 
The assets of a sanitary district are owned by the ratepayers. 
Sec. 5. 38 MRSA §1163, sub-§3 is enacted to read: 
3. Investment. A sanitary district may choose to make no investment in a sewer 
extension and may require persons requesting a sewer extension to advance to the district 
the full cost of construction, including associated appurtenances required solely as a 
result of the construction of the sewer extension and used solely for the operation of the 
sewer extension. If a sanitary district chooses to invest in a sewer extension, the district 
must first adopt an investment policy for sewer extensions in its governing ordinance that 
parallels and is consistent with the water main extension policy set forth in the Public 
Page I -123LR1957(Ol)-1 
Utilities Commission's rules governing investments in water main extensions. A sanitary 
~istrict may not lend district funds to any person requesting a sewer extension. 
Sec. 6. 38 MRSA §1252, sub-§7, ~C is enacted to read: 
C. A sewer district may choose to make no investment in a sewer extension and may 
require persons requesting a sewer extension to advance to the district the full cost of 
construction, including associated appurtenances required solely as a result of the 
construction of the sewer extension and used solely for the operation of the sewer 
extension. If a sewer district chooses to invest in a sewer extension, the district must 
first adopt an investment policy for sewer extensions in its governing ordinance that 
parallels and is consistent with the water main extension policy set forth in the Public 
Utilities Commission's rules governing investments in water main extensions. 
A 
sewer district may not lend district funds to any person re(:luesting a sewer extension. 
Sec. 7. 38 MRSA §1252, sub-§12 is enacted to read: 
12. Ownership of assets. The assets of a sewer district are owned by the ratepayers. 
SUMMARY 
Under current law, a consumer-owned water utility may choose to make no 
investment in a water main extension and may require anyone requesting an extension to 
advance to the utility the entire cost of the extension. This bill grants that same authority 
to sewer districts and sanitary districts. Under current law, if a consumer-owner water 
utility chooses to invest consumer funds in water main extensions, the Public Utilities 
Commission provides clear policy and procedures governing investment in water main 
extensions, including investment amounts and the process for making such investments. 
This bill requires that a sewer district or sanitary district that chooses to invest in sewer 
main extensions first adopt similar investment policies for the protection of its ratepayers. 
The bill also prohibits a consumer-owned water utility, sewer district or sanitary district 
from lending district funds to any person requesting a water or sewer extension. The bill 
also specifies that the assets of water districts, sewer districts and sanitary districts are 
owned by the ratepayers ofthe district.