Indicates Matter Stricken

Indicates New Matter

 

Introduced

March 22, 2023

S. 657

Introduced by Senator Fanning

 

L. Printed 03/22/23--S.                                                                          [SEC 3/24/2023 1:11 PM]

Read the first time March 22, 2023

 

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A bill

 

to amend section 3 of act 802 of 1954, as amended, relating to the composition of the board of the chester county natural gas authority, so as to change the method of appointment; and to amend section 5 of act 802 of 1954, relating to revenues, so as to allow the board to utilize net revenues.

 

Be it enacted by the General Assembly of the State of South Carolina:

 

SECTION 1.  The General Assembly finds that:

 

    (A) The Chester County Natural Gas Authority "authority" was created pursuant to Act 802 of 1954, as amended by Act 527 of 1957, as amended by Act 528 of 1957, and as last amended by Act 1237 of 1966.

    (B) As a result of the changes in the service area's boundaries and population distribution, the General Assembly believes it is in the authority's and its customers' best interests that it alter the method whereby the members of the authority's governing board are appointed; and that the revenues be used to expand the system as needed and to subsidize the rates charged to its customers.

    (C) In order to better serve the populations residing within the authority's service area, the General Assembly has determined that Act 802 of 1954, as amended, should be amended as provided in SECTIONS 2 and 3 of this act.

 

SECTION 2.  SECTION 3 of Act 802 of 1954, as last amended by Act 527 of 1957 is amended to read:

 

    SECTION 3. The authority shall consist of a board of five members appointed by the Governor, two upon the recommendation of the City Council of the City of Chester, one upon the recommendation of the Great Falls Public Service Commission and two upon the recommendation of the Senator and one-half of the members of the House from the county at large. The present members of the board shall continue to serve for the term for which they were appointed and the new members shall be appointed for six year terms.  Hereafter all terms shall be for six years and until their successors are appointed and qualify.  In case any vacancy occurs in the membership of the board either during the initial or regular term, such vacancy shall be filled for the unexpired term as provided for the original appointment. No person shall be appointed as a member of the board who holds any public office with the City of Chester or the Great Falls Public Service District from the service territory of the authority. The board members must be appointed by the Governor upon the recommendation of a majority of the existing board, and such recommendation is approved by the Chester County Delegation, including the Senator. The initial terms of office begin as of the effective date of this act and continue for a term of six years and until the appointment and qualification of their successors. A vacancy in office must be filled for the unexpired term in the manner of the original appointment. The members of the authority shall serve without salary, and shall must be compensated only for actual expenses incurred on official business of the authority, and as provided by state law. A full record of all expenses that may be incurred by the members of the authority shall must be kept and shall must at all reasonable times be open to public inspection. As soon as convenient, the members of the authority shall convene and shall elect one of their number as chairman chairperson and another as secretary, each of whom shall hold office for terms to be fixed by the authority. The secretary of the Authority shall from time to time file, in the office of the Clerk of Court for Chester County, appropriate certificates showing the personnel of the Authority, and the duration of the terms of the respective members.

 

SECTION 3.  SECTION 5 of Act 802 of 1954 is amended to read:

 

    SECTION 5. All net revenues derived from the system, whose disposition the authority shall not have covenanted or contracted to otherwise dispose of, shall be paid over to the counties, municipalities and Public Service Districts which may from time to time be served by it, including the municipality and Public Service District named and others that may later be served by the System of the Authority, each county receiving a share thereof in the proportion that the per annum consumption of gas outside of the incorporated areas therein bears, and each municipality or Public Service District receiving a share thereof in the proportion that the per annum consumption of gas therein bears to the aggregate per annum consumption of gas by the entire Service Area of the Authority placed, as directed by the authority's governing board, in reserve in order that the authority:

    (A) may act to supplement the fees charged to its customers so that the customers shall not have to bear inordinate increases in their rates when the price of gas to the authority rises precipitously; and

    (B) shall have access to ready funding when the system requires expansion or extraordinary maintenance or updating.

 

SECTION 4.  The intended purpose of this act is to amend and replace SECTION 3 and SECTION 5 of Act 802 of 1954, as amended. Upon the effective date of this act, SECTION 3 and SECTION 5 of Act 802 of 1954 exist exclusively as set forth in this act, and all other provisions in Act 802 of 1954, as previously amended, shall remain unaltered and unaffected by this act, except in the event of a conflict between this act and other provisions of Act 802 of 1954, as amended, the provisions of this act shall govern and control.

 

SECTION 5.  This act takes effect upon approval by the Governor.

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