SB 241 IN

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Became Law

Amends the statute that authorizes a conservancy district providing water service to withdraw from the jurisdiction of the Indiana utility regulatory commission (IURC) if the conservancy district serves less than 2,000 customers, so as to authorize a withdrawal from the IURC's jurisdiction if the conservancy district serves less than 3,000 customers. Amends the existing statute authorizing alternative regulatory procedures for water or sewer utilities with customer bases not exceeding specified numbers to include within the scope of the statute a procedure that promotes economic development opportunities in rural areas while providing just and reasonable protections to a utility's existing ratepayers. Prohibits a water or wastewater utility (utility) from charging or collecting a capacity related fee or a tap fee to an eligible customer for connecting workforce housing to the utility's water or wastewater system (system) under certain circumstances. Provides that if the utility determines that the extension of service to the workforce housing will not result in a positive contribution to the utility's overall cost of service over a 20 year period, the utility may charge and collect from the eligible customer a capacity related fee or a tap fee that does not exceed the difference between: (1) the otherwise applicable capacity related fee or tap fee; minus (2) the contribution to the utility's overall cost of service over a 20 year period that will result from the extension of service to the workforce housing. Provides that for purposes of these provisions, an "eligible customer" means a not-for-profit organization that: (1) has entered into an agreement with the Indiana housing and community development authority under which the person will construct workforce housing in Indiana; and (2) seeks to connect the workforce housing to the system of a utility under the terms of a special contract with the utility. Authorizes a water or wastewater utility that is eligible under existing law to recover costs for service enhancement improvements (eligible utility) to adjust the statutory adjustment tracker to reflect certain per unit chemical and power costs if those costs have increased or decreased by more than 3% over the two most recent years. Provides that if the costs: (1) have increased by more than 3% over the two year period, the amount of the adjustment shall be included in the adjustment rider as an expense; or (2) have decreased by more than 3% over the two year period, the amount of the adjustment shall be included in the adjustment rider as a credit. Provides that an eligible utility is not required to seek preapproval of a plan from the IURC in order to seek recovery of the costs of chemicals and power. Requires an eligible utility for which the IURC has issued an order approving an adjustment rider for the recovery of chemical or power costs to file a petition for a change in its adjustment amount: (1) not later than 30 days after the end of each 12 month period after the date of the IURC's order approving the adjustment rider; and (2) until the IURC issues an order in the eligible utility's next general rate case. Specifies that the costs of chemicals and power may be recovered in full and without deferring 20% of the costs for recovery as part of the eligible utility's next general rate case.

• Eric Koch Republican · author
• Spencer Deery Republican · author
• Andrea Hunley Democratic · author
• Edmond Soliday Republican · sponsor

1. Jan 8, 2026 First reading: referred to Committee on Utilities · upper
2. Jan 8, 2026 Authored by Senator Koch · upper
3. Jan 15, 2026 Senator Deery added as second author · upper
4. Jan 15, 2026 Senator Hunley added as third author · upper
5. Jan 15, 2026 Committee report: amend do pass, adopted · upper
6. Jan 15, 2026 Senators Doriot, Maxwell added as coauthors · upper
7. Jan 20, 2026 Second reading: ordered engrossed · upper
8. Jan 22, 2026 Third reading: passed; Roll Call 59: yeas 42, nays 2 · upper
9. Jan 22, 2026 House sponsor: Representative Soliday · upper
10. Jan 23, 2026 Referred to the House · upper
11. Jan 28, 2026 First reading: referred to Committee on Utilities, Energy and Telecommunications · lower
12. Feb 3, 2026 Committee report: amend do pass, adopted · lower
13. Feb 3, 2026 Representatives Hall, Pressel added as cosponsors · lower
14. Feb 5, 2026 Second reading: ordered engrossed · lower
15. Feb 9, 2026 Third reading: passed; Roll Call 210: yeas 91, nays 3 · lower
16. Feb 10, 2026 Returned to the Senate with amendments · lower
17. Feb 16, 2026 Motion to concur filed · upper
18. Feb 25, 2026 Senate concurred with House amendments; Roll Call 284: yeas 44, nays 3 · upper
19. Feb 27, 2026 Signed by the President Pro Tempore · upper
20. Feb 27, 2026 Signed by the President of the Senate · upper
21. Feb 27, 2026 Signed by the Speaker · lower
22. Mar 5, 2026 Signed by the Governor · executive
23. Mar 5, 2026 Public Law 127 · upper