Ind. Code ch. 8-1-1.9

Ind. Code § 8-1-1.9-1 "Commission"

Sec. 1. As used in this chapter, "commission" refers to the Indiana utility regulatory commission created by IC 8-1-1-2. As added by P.L.126-2018, SEC.1.

Ind. Code § 8-1-1.9-2 "Public utility"

Sec. 2. As used in this chapter, "public utility" has the meaning set forth in IC 8-1-2-1(a). As added by P.L.126-2018, SEC.1.

Ind. Code § 8-1-1.9-3 "Water or wastewater utility"

Sec. 3. As used in this chapter, "water or wastewater utility" means: (1) a public utility that provides water service, wastewater service, or both water service and wastewater service to the public; or (2) a municipally owned utility that provides water service to less than eight thousand (8,000) customers. As added by P.L.126-2018, SEC.1. Amended by P.L.160-2020, SEC.1.

Ind. Code § 8-1-1.9-4 Water or wastewater utility organized after June 2018 subject to IURC jurisdiction

Sec. 4. (a) Notwithstanding IC 8-1-2.7 and any other law under which a water or wastewater utility is exempt from or may withdraw from the jurisdiction of the commission, a water or wastewater utility that is organized after June 30, 2018, is subject to the jurisdiction of the commission with respect to: (1) rates and charges; (2) stocks, bonds, notes, or other evidence of indebtedness; (3) rules; and (4) the annual report filing requirement; for the period of ten (10) years beginning on the day on which the water or wastewater utility is organized. (b) This section does not affect: (1) any statutes requiring or permitting a water or wastewater utility to petition the commission before providing service to the public; or (2) the commission's jurisdiction regarding statutes and petitions referred to in subdivision (1). As added by P.L.126-2018, SEC.1. Amended by P.L.160-2020, SEC.2.

Ind. Code § 8-1-1.9-5 Water or wastewater utility not under commission jurisdiction; requirements if enforcement order issued

Sec. 5. (a) This section applies to a water or wastewater utility that: (1) is not subject to the jurisdiction of the commission for the approval of rates and charges; and (2) has been issued one (1) or more enforcement orders after: (A) June 30, 2022, in connection with the provision of wastewater service; or (B) June 30, 2025, in connection with the provision of water service. (b) As used in this section, "department enforcement action" means an action of the department of environmental management commenced under IC 13-30-3. (c) As used in this section, "enforcement order" means an order, including an agreed order under IC 13-30-3-3: (1) resulting from a department enforcement action; and (2) relating to environmental or health and human safety issues. (d) Notwithstanding section 3 of this chapter, as used in this section, "water or wastewater utility" means any of the following that provides water service, wastewater service, or both water service and wastewater service to the public in Indiana: (1) A public utility (as defined in IC 8-1-2-1(a)). (2) A municipally owned utility (as defined in IC 8-1-2-1(h)). (3) A not-for-profit utility (as defined in IC 8-1-2-125(a)). (4) A cooperatively owned corporation. (5) A conservancy district established under IC 14-33. (6) A regional water or sewer district established under IC 13-26. (e) The following apply to a water or wastewater utility that is subject to this section: (1) Except as provided in clause (C) in the case of a water utility, upon the issuance of the first enforcement order with respect to the water or wastewater utility, the commission shall do the following: (A) Perform an informal review, using such procedures as the commission may choose, of the rates and charges of the water or wastewater utility to determine if the rates and charges are sufficient to: (i) operate and maintain the water or wastewater utility's distribution system or collection and treatment system, as applicable; and (ii) pay all obligations of the water or wastewater utility's distribution system or collection and treatment system, as applicable. (B) Determine whether all elements of an adequate asset management program are in place with respect to the water or wastewater utility's distribution system or collection and treatment system, as applicable. (C) In the case of a water utility, the commission shall not: (i) initiate an informal review of the water utility's rates and charges under clause (A); or (ii) proceed to determine whether all elements of an adequate asset management program are in place with respect to the water utility's distribution system under clause (B); unless twelve (12) months have elapsed since the effective date of the first enforcement order and the water utility has not remedied within that time the violation for which the enforcement order was issued. In making a determination under clause (B), the commission may consult with the drinking water and wastewater infrastructure research and extension program authorized by IC 5-1.2-11.5-10. Notwithstanding IC 8-1-1-5(b), commission staff shall not be subject to cross examination in any subsequent proceeding in connection with any documents prepared during an informal review under this subdivision. (2) If within two (2) years of the effective date of the first enforcement order a second enforcement order is issued with respect to the water or wastewater utility in connection with the same type of service for which the first enforcement order was issued, the water or wastewater utility: (A) shall undergo a base rate case before the commission; and (B) becomes subject to the jurisdiction of the commission for the approval of rates and charges upon the effective date of the second enforcement order; with respect to that service. After this first required rate case, the water or wastewater utility shall undergo one (1) subsequent rate case before the commission not earlier than three (3) years after the effective date of the commission's order in the first rate case under this subdivision. The water or wastewater utility shall remain subject to the jurisdiction of the commission for the approval of rates and charges for a minimum of five (5) years from the effective date of the commission's order in the first rate case under this subdivision and for at least one (1) year after the effective date of the commission's order in the second rate case under this subdivision. For purposes of determining rates and charges under this subdivision, if a wastewater utility also provides storm water services or is considered a combined sewer system, the commission may consider any revenues collected by the wastewater utility for storm water services. However, the commission may not order storm water rates to be adjusted. (3) Notwithstanding IC 8-1-2.7, if the water or wastewater utility: (A) satisfies the requirements set forth in subdivision (2); and (B) is not issued any additional enforcement orders during the rate regulation period described in subdivision (2); the water or wastewater utility shall provide to the commission written notice to that effect. If the commission determines that the water or wastewater utility has satisfied the requirements set forth in subdivision (2) and has not been issued any additional enforcement orders during the rate regulation period described in subdivision (2), the water or wastewater utility shall be withdrawn from the commission's jurisdiction. (4) If, during the rate regulation period described in subdivision (2): (A) one (1) or more additional enforcement orders are issued with respect to the water or wastewater utility in connection with the same service for which the first two (2) enforcement orders were issued; or (B) the commissioner of the department of environmental management otherwise determines that environmental or health and human safety considerations so warrant; the commission may, in consultation with the department of environmental management, initiate a receivership proceeding with respect to the water or wastewater utility. (5) Subdivision (1) applies with respect to any enforcement order that is issued with respect to the water or wastewater utility after the completion of the rate regulation period described in subdivision (2). (f) The commission may enter into an agreement with the department to carry out the requirements set forth in subsection (e). (g) An action by the department of environmental management under this section is subject to review under IC 4-21.5. (h) An action by the commission under this section is subject to review under IC 8-1-3. As added by P.L.18-2022, SEC.12. Amended by P.L.24-2025, SEC.1.

Ind. Code § 8-1-1.9-6 Wastewater utility not under the jurisdiction of the commission; required proposals; approval; IURC annual report

Sec. 6. (a) This section applies to a wastewater utility that: (1) is not subject to the jurisdiction of the commission for the approval of rates and charges; and (2) receives wholesale wastewater service from another wastewater utility. (b) As used in this section, "wastewater utility" means a: (1) public utility; (2) municipally owned utility (as defined in IC 8-1-2-1(h)) that serves fewer than eight thousand (8,000) customers; (3) not-for-profit utility (as defined in IC 8-1-2-125(a)); (4) cooperatively owned corporation; (5) conservancy district established under IC 14-33; or (6) regional sewer district established under IC 13-26. (c) Before a wastewater utility may: (1) disconnect from the wholesale wastewater service provided by another wastewater utility; and (2) construct a new wastewater treatment plant to serve its customers; the wastewater utility must obtain the approval of the commission of its plan to disconnect from the other wastewater utility's wholesale wastewater service and construct a new wastewater treatment plant. (d) A wastewater utility to which subsection (c) applies must submit to the commission as part of the wastewater utility's case in chief: (1) the current costs incurred by the wastewater utility for utility service with the other wastewater utility providing wholesale wastewater service; (2) the projected future costs to be incurred by the wastewater utility for utility service if the other wastewater utility were to continue providing wholesale wastewater service; and (3) the projected future costs to be incurred by the wastewater utility for utility service if the wastewater utility were to disconnect from the other wastewater utility providing wholesale wastewater service and construct a new wastewater treatment plant. (e) The commission may approve a wastewater utility's proposal under subsection (c) if the commission finds that: (1) the disconnection from the wholesale wastewater service and the construction of a new wastewater treatment plant is reasonable and in the public interest; (2) the total rates charged by the wastewater utility for wastewater service will not increase above the projected cost of continued service with the wholesale wastewater service provider as a result of the disconnection from the wholesale wastewater service and the new wastewater treatment plant construction; (3) the wastewater utility has developed an asset management program, as defined in guidelines adopted by the Indiana finance authority under IC 5-1.2; and (4) the wastewater utility has the legal, managerial, technical, and financial expertise to construct and manage a new wastewater treatment plant. (f) In the commission's annual report under IC 8-1-1-14, the commission shall include a description of any activity under this section. As added by P.L.232-2023, SEC.1. Amended by P.L.9-2024, SEC.279.