Amends and adds to existing law to provide when wastewater corporations may be a public utility.

LEGISLATURE OF THE STATE OF IDAHO Sixty-eighth Legislature Second Regular Session - 2026 IN THE SENATE SENATE BILL NO. 1397 BY STATE AFFAIRS COMMITTEE AN ACT1 RELATING TO PUBLIC UTILITIES; AMENDING CHAPTER 1, TITLE 61, IDAHO CODE, BY2 THE ADDITION OF A NEW SECTION 61-126, IDAHO CODE, TO DEFINE "WASTEWATER3 SYSTEM"; AMENDING CHAPTER 1, TITLE 61, IDAHO CODE, BY THE ADDITION OF A4 NEW SECTION 61-127, IDAHO CODE, TO DEFINE "WASTEWATER SERVICE CONNEC-5 TION"; AMENDING CHAPTER 1, TITLE 61, IDAHO CODE, BY THE ADDITION OF A NEW6 SECTION 61-128, IDAHO CODE, TO DEFINE "WASTEWATER CORPORATION"; AMEND-7 ING SECTION 61-129, IDAHO CODE, TO REVISE PROVISIONS REGARDING PUBLIC8 UTILITIES; AND DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE.9

Be It Enacted by the Legislature of the State of Idaho:10

SECTION 1. That Chapter 1, Title 61, Idaho Code, be, and the same is11 hereby amended by the addition thereto of a NEW SECTION, to be known and des-12 ignated as Section 61-126, Idaho Code, and to read as follows:13 61-126. WASTEWATER SYSTEM. The term "wastewater system" when used in14 this chapter means any facility or system designed or used primarily for the15 collection, conveyance, storage, treatment, reuse, or disposal of waste-16 water or sewage, including pipelines, pump stations, treatment works, la-17 goons, and related components, that are owned, operated, or managed to pro-18 vide wastewater services.19

SECTION 2. That Chapter 1, Title 61, Idaho Code, be, and the same is20 hereby amended by the addition thereto of a NEW SECTION, to be known and des-21 ignated as Section 61-127, Idaho Code, and to read as follows:22 61-127. WASTEWATER SERVICE CONNECTION. The term "wastewater service23 connection" when used in this chapter means each individual physical point24 of discharge where a customer's private sewage piping connects, or will con-25 nect, to a wastewater system, typically at the wastewater system's collec-26 tion main.27

SECTION 3. That Chapter 1, Title 61, Idaho Code, be, and the same is28 hereby amended by the addition thereto of a NEW SECTION, to be known and des-29 ignated as Section 61-128, Idaho Code, and to read as follows:30 61-128. WASTEWATER CORPORATION. (1) The term "wastewater corpora-31 tion" when used in this chapter includes every person and corporation, as32 those terms are defined in this chapter, including their lessees and desig-33 nated agents, owning, controlling, operating, or managing any wastewater34 system for compensation within the state.35 (2) A wastewater corporation serving a wastewater system with fewer36 than one hundred (100) wastewater service connections that are actively37 flowing or in which the customer pays a fee for standby, ready-to-serve, or38

2 capacity reservation purposes shall not be considered a wastewater corpora-1 tion and shall be exempt from regulation as a public utility.2 (3) The public utilities commission may assess reasonable fees to a3 wastewater corporation that is subject to its regulation. The fee shall not4 exceed the reasonable costs incurred by the commission for the oversight and5 regulation of the wastewater corporation.6

SECTION 4. That Section 61-129, Idaho Code, be, and the same is hereby7 amended to read as follows:8 61-129. PUBLIC UTILITY. The term "public utility" when used in this9 act includes every common carrier, pipeline corporation, gas corporation,10 electrical corporation, telephone corporation and, water corporation, and11 wastewater corporation that has been classified as a public utility pursuant12 to this chapter, as those terms are defined in this chapter and each thereof13 is hereby declared to be a public utility and to be subject to the jurisdic-14 tion, control and regulation of the commission and to the provisions of this15 act. The term "public utility" as used in this act shall cover cases:16 (1) Where the service is performed and the commodity delivered directly17 to the public or some portion thereof, and where the service is performed or18 the commodity delivered to any corporation or corporations, or any person or19 persons, who in turn, either directly or indirectly or mediately or immedi-20 ately, performs the services or delivers such commodity to or for the public21 or some portion thereof; and22 (2) Where a pipeline corporation delivers the commodity to any corpo-23 ration, person, their lessees, receivers or trustees regardless of whether24 it offers the pipeline service or commodity to the public or some portion25 thereof. Such pipeline shall be subject to the safety supervision and reg-26 ulation of the commission only, unless and until such pipeline corporation27 makes application to the commission to be regulated generally as a public28 utility.29

SECTION 5. An emergency existing therefor, which emergency is hereby30 declared to exist, this act shall be in full force and effect on and after31 July 1, 2026.32