Small private water companies would face regular state audits

The Public Service Commission would conduct full audits of covered water companies. The requirement would cover regulated private water companies with gross yearly revenue below $250,000, meaning total revenue before expenses. Audits would review investment, safety compliance, finances, management, and water quality, adequacy, and affordability. The state environmental agency would cooperate and share information needed for the audits. The act would take effect immediately upon becoming law. The commission would choose an audit cycle of three to five years.

The commission would require public updates on compliance with the order and could set and collect fines for reporting violations. Reporting would cover regulated private water companies with gross yearly revenue below $250,000 investigated by commission motion or an order to show cause, which requires a formal response. The commission would decide how often companies must report and how they must share updates. Fines could be higher for repeated reporting violations. The act would take effect immediately upon becoming law.