§ 46-15.3-5. Water quality protection charge.
(a) There is hereby imposed on each supplier of water, for the purpose of protecting the
quality and safety of the public supply of water, a charge to be known as a "water
quality protection charge� based upon billings for sales of every supplier of public
drinking water at the rate of two and ninety two hundredth cents ($.0292) per one
hundred (100) gallons of each sale, whether the water is used for drinking or other
purposes. No supplier shall impose a water quality protection charge upon sales to
other suppliers of drinking water. Except as provided in subsections (c), (d) and
(e) hereof, the supplier shall add any water quality protection charge imposed hereunder
to the sale price, and, when added, the water quality protection charge shall constitute
a part of the price and shall also be a debt from the purchaser to the supplier and
be collectible in the same manner and have the benefit of any lien provided for the
amounts due for water charges from the purchaser to the supplier. Provided, however,
the water quality protection charge shall not be subject to the sales and use tax.
Subject to the provisions of § 39-1.1-1 for those suppliers which are public utilities, all suppliers may terminate service
for failure of purchasers to pay the water quality protection charge.
(b) Any water quality protection charge imposed hereunder shall not take effect earlier
than January 1, 1989; provided, however, the increase in water quality protection
charge by one and one-third cents ($0.01333) established by P.L. 1990, Ch. 65, Art. 39, § 1 shall take effect and be chargeable on all billings for water sales made by a supplier
on and after July 1, 1991.
(c) Each supplier shall provide for the exemption from the water quality protection charge,
for any sale to a purchaser sixty-five (65) years of age and over purchasing water
for the personal consumption of that person and other members of the person's household
under reasonable rules and regulations.
(d) All commercial agricultural producers, including those who provide food and fiber,
shall be exempt for that amount of water used to irrigate commercial crops either
in fields or greenhouses, provided, that the producers have a conservation plan on
file with their respective soil conservation districts.
(e) No water quality protection charge shall be imposed on that portion of such supplier's
retail billing representing potable water furnished to customers by purchase of water
in its finished, potable form from sources outside the state. The water quality protection
charge imposed by a supplier purchasing potable water from outside the state shall
be pro rata imposed on such supplier's retail billings for that portion of potable
water supplied from within the state in accordance with rules and regulations to be
finally promulgated by the water resources board on or before September 1, 1992.
(f) If any supplier of water fails to pay the water quality protection charge imposed
upon it, upon determination by the water resources board of failure to pay and the
amount unpaid, there shall be withheld from any state aid or grants of any nature
due such supplier an equivalent amount and such monies shall be transferred to the
appropriate water quality protection fund created under § 46-15.3-10.