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OregonSB 8452025 Regular SessionSenate

Relating to water utilities regulated by the Public Utility Commission.

Sponsored By: Sponsor information unavailable

Signed by Governor

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 0 costs, 1 mixed.

More emergency repair funding for water

The law raises Oregon's emergency water repair funding cap from $5,000 to $100,000 every two years, using utility fees. Customers must lack service and likely face an unreasonably long outage, with restoration needed for their health and safety. The utility must be unwilling or unable to repair service, or unreachable after reasonable efforts. The commission must try to recover the money from the utility and can also seek a penalty. It can order the utility to make emergency repairs instead of, or alongside, spending these funds.

New protections for water utility customers

Oregon's Public Utility Commission can order the sale of a regulated water utility that cannot provide safe, adequate water. First, it must give written reasons, allow reasonable time for alternatives, and hold a formal hearing. It must find service-related violations, failure to follow a safety order within a reasonable time, and inability to maintain safe service. Continued operation must also pose an unreasonable health or safety risk, and alternatives must be impractical or financially unworkable. Alternatives include repairs, new management, outside operators, mergers, or public or cooperative ownership. The commission sets the sale process; the utility and buyer agree on the price. The commission can also appoint an independent administrator to protect customers, with duties listed in its order.

Water utility sales shape customer rates

Special rate rules apply after a utility receives commission notice and seeks approval for a covered transfer or property transaction. The asset value used to set rates cannot fall below net book value or exceed the buyer's offered price. The commission must weigh customer benefits and the public interest. Buyers' acquisition costs are deferred at the old utility's average financing cost for later recovery through customer rates. Covered costs include environmental and engineering work, financial reviews, legal services, financing, and regulatory approvals; no rate increase is specified.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 69 • No: 20

House vote • 5/20/2025

Third reading. Carried by Helm. Passed.

Yes: 41 • No: 9

House vote • 5/12/2025

Agriculture, Land Use, Natural Resources, and Water: Heard and Reported Out

Yes: 7 • No: 0

Senate vote • 4/10/2025

Third reading. Carried by Golden. Passed.

Yes: 18 • No: 9

Senate vote • 4/1/2025

Natural Resources and Wildfire: Heard and Reported Out with Amendments

Yes: 3 • No: 2

Actions Timeline

  1. Effective date, January 1, 2026.

    6/6/2025Senate

  2. Chapter 233, 2025 Laws.

    6/6/2025Senate

  3. Governor signed.

    5/28/2025Senate

  4. Speaker signed.

    5/22/2025House

  5. President signed.

    5/21/2025Senate

  6. Third reading. Carried by Helm. Passed.

    5/20/2025House

  7. Rules suspended. Carried over to May 20, 2025 Calendar.

    5/19/2025House

  8. Second reading.

    5/15/2025House

  9. Recommendation: Do pass.

    5/14/2025House

  10. Work Session held.

    5/12/2025House

  11. Public Hearing held.

    4/28/2025House

  12. Referred to Agriculture, Land Use, Natural Resources, and Water.

    4/15/2025House

  13. First reading. Referred to Speaker's desk.

    4/10/2025House

  14. Third reading. Carried by Golden. Passed.

    4/10/2025Senate

  15. Carried over to 04-10 by unanimous consent.

    4/9/2025Senate

  16. Second reading.

    4/8/2025Senate

  17. Recommendation: Do pass with amendments. (Printed A-Eng.)

    4/7/2025Senate

  18. Work Session held.

    4/1/2025Senate

  19. Public Hearing held.

    2/18/2025Senate

  20. Referred to Natural Resources and Wildfire.

    1/17/2025Senate

  21. Introduction and first reading. Referred to President's desk.

    1/13/2025Senate

Bill Text

  • SNRW Amendment -1 (Adopted)

    4/1/2025

    PDF

  • A-Engrossed

    PDF

  • Enrolled

    PDF

  • Introduced

    PDF

  • Senate Amendments to Introduced

    PDF

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