Sec. 1. 35-A MRSA §6114 is enacted to read:

§6114.__Fire protection charges

Notwithstanding any other provision of this Title, after January 1, 2002, the charge a water utility collects from a customer for water service to support the operation of a private fire protection system, including private hydrants, automatic sprinkler systems, standpipes and other appurtenances installed by the customer to assist in extinguishing fires, must be based on actual metered water use.

Sec. 2. Public Utilities Commission rules; application. By January 1, 2002, the Public Utilities Commission shall amend Chapter 640 of its rules to bring them into accordance with the provisions of section 1 of this Act. The rules must establish the method of calculating fire protection charges and may not permit a water utility to impose charges for services to private fire protection systems based on demand potential rather than actual usage.

SUMMARY

This bill provides that beginning January 1, 2002, the charge a water utility collects from a customer for water service to support the operation of a private fire protection system must be based on actual metered water use and not potential use.