7-82-102 - Review of rates and services.
7-82-102. Review of rates and services.
(a) In all counties and districts, except those excluded in subsection (b), the following shall apply:
(1) Except as to those districts coming within the provisions of § 7-82-103, in addition to any other procedure provided by law for the review of the actions of the board of commissioners, there is hereby granted to the utility management review board the authority to review rates charged and services provided by public utility districts. The review provided for in this subsection (a) can only be initiated by a petition signed by at least ten percent (10%) of the users within the authorized area of the public utility district. The petition shall be addressed to the utility management review board and a copy of the petition shall be served upon the board of commissioners of the affected utility district. The review by the utility management review board shall be held only upon public hearings, after notice, in the county in which the utility district maintains its principal office;
(2) The utility management review board shall review those petitions pertaining to rates on the basis of all provisions of this chapter governing the establishment of rates, the provisions of any bond resolutions or other debt contract instruments binding upon such utility districts, and the rules and regulations promulgated by the comptroller of the treasury pursuant to § 7-82-401;
(3) It is the express intent of the general assembly that the review granted in this subsection (a) shall be a substantive and meaningful review. In order to accomplish this intention, the utility district shall take no action that will result in contractually binding the district or obligating the district to issue bonds that would require a rate increase, until the district shall have first given notice to the users of the district of such anticipated action; and
(4) The Uniform Administrative Procedures Act, compiled in title 4, chapter 5, shall apply to all procedures and proceedings coming before the utility management review board pursuant to the provisions of this subsection (a), to the extent not inconsistent with this chapter.
(b) In those counties and districts specified in subdivision (b)(5), the following shall apply:
(1) Except as to those districts coming within the provisions of § 7-82-103, in addition to any other procedure provided by law for the review of the actions of the board of commissioners, there is hereby granted to the Tennessee regulatory authority the authority to review rates charged and services provided by public utility districts. The review provided for in this subsection (b) can only be initiated by a petition signed by at least ten percent (10%) of the users within the authorized area of the public utility district. The petition shall be addressed to the authority and a copy of the petition shall be served upon the board of commissioners of the affected utility district. The review by the authority shall be held only upon public hearings, after notice, in the county in which the utility district maintains its principal office;
(2) The authority shall review those petitions pertaining to rates as fully as in the case of private utility companies; provided, that the burden shall be upon the petitioners to show that the rates are discriminatory or unjust and unreasonable. In considering rate petitions, the authority shall take no action that adversely impairs the obligation of contracts or payment of existing bonds by such district, and may, within its sound legal discretion, assess costs of such hearings as equity and justice may demand;
(3) It is the express intent of the general assembly that the review granted in this subsection (b) shall be a substantive and meaningful review. In order to accomplish this intention, the utility district shall take no action that will result in contractually binding the district or obligating the district to issue bonds that would require a rate increase, until the district shall have first given notice to the users of the district of such anticipated action;
(4) The Uniform Administrative Procedures Act, compiled in title 4, chapter 5, shall apply to all procedures and proceedings coming before the authority pursuant to the provisions of this subsection (b), to the extent not inconsistent with this chapter; and
(5) (A) The provisions of this subsection (b) apply to any gas utility district for the reasons set out in § 7-82-103; and
(B) The provisions of this subsection (b) also apply in counties having the following populations, according to the 1980 federal census or any subsequent federal census.
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[Acts 1973, ch. 249, § 6; T.C.A., § 6-2637; Acts 1984, ch. 796, § 1; 1987, ch. 422, § 1; 1989, ch. 221, § 1; 1995, ch. 305, § 81.]