12
THE KANSAS LIFELINE
July 2018
he Kansas Rural Water Association receives many
phones calls and many more emails every day from
cities, water districts, associates, even legislators,
with questions or concerns on a wide variety of issues that
are of concern. Most of these questions can be answered
fairly quickly. At other times, KRWA
staff need to visit the utility to gather
more information and then provide the
answer or give other referrals. This
article discusses questions that many
people have asked.
T
By Greg Duryea, Assistant General Manager, KRWA
HB 2080
A bill was passed in the 2018 Kansas Legislature that
affected rural water districts. It was HB 2080. This
legislation allows the reinstatement of a benefit unit (meter
or membership) in a rural water district by paying the past
due amount instead of paying a new
benefit unit cost if the back charges are
less than the cost of a new benefit unit.
The scenario is this: A RWD has had a
customer not pay the water will for
more than six months. By the
provisions of the district's bylaws, the
membership could be forfeited. Four years
later another person purchases the property
and wants to have service by the local RWD.
The question that is asked is, “How far back
must we go before the district is not required
to abide by HB 2080?” The quick answer is
that there is no time limit. Obviously at some
point paying the back charges would be
greater than the customer just paying for a
new service.
Take the example above. Four years later a
customer purchases the home where a RWD
benefit unit was forfeited. To purchase a new
benefit unit the cost is $3,000. Suppose that
the past due amount is $525. Now, add the
monthly fee that should have been collected
for four years after the forfeiture at $40 per
month times 48 months (4 years) equals
another $1,920. Add the two together and the
total is $2,445. Plus the district can impose a
reinstatement fee not to exceed 20 percent of
the cost of a new benefit. If the full amount
allowed was imposed then another $600
The quick answer is that
there is no time limit.
Questions
Concerning
Legislation
and Rate
Adjustments