FINAL BILL REPORT

SB 5122

This analysis was prepared by non-partisan legislative staff for the use of legislative members in their deliberations. This analysis is not a part of the legislation nor does it constitute a statement of legislative intent.

Background: Water-Sewer Districts. Water-sewer districts (districts) provide water and sewer services to incorporated and unincorporated areas. District powers include the authority to purchase, construct, maintain, and supply waterworks to furnish water to inhabitants, and to develop and operate systems of sewers and drainage. Districts may also fix rates and charges for services, enter into contracts, levy taxes, and issue bonds.

The governing body of a district is a board of elected commissioners consisting of three members, or five or seven members in the event of an increase. Commissioners are elected to six-year terms of office.

Insurance Coverage. A district may enter into contracts to provide health care services, group insurance, term life insurance, or Social Security insurance for the benefit of its employees and may pay all or any part of the cost. Any two or more districts may join in procuring health care services, group insurance, or term life insurance, and a participating district may authorize its respective district to pay all or any part of the cost. A district with 5000 or more customers that provides health, group, or life insurance to its employees may provide its commissioners with the same coverage. Per person amounts for such insurance paid by the district may not exceed the per person amounts paid by the district for its employees.

Votes on Final Passage:

Senate	46	0
House	81	12