Department of Health; extend timeframe to increase fees for water quality analysis as required by Safe Drinking Water Act.

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To: Public Health and Human
Services
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Shanks

HOUSE BILL NO. 937

AN ACT TO AMEND SECTION 41-26-23, MISSISSIPPI CODE OF 1972, 1
TO EXTEND THE TIMEFRAME DURING WHICH THE STATE DEPARTMENT OF 2
HEALTH MAY INCREASE THE AMOUNT OF FEES FOR WATER QUALITY ANALYSIS 3
AND RELATED ACTIVITIES AS REQUIRED BY THE FEDERAL SAFE DRINKING 4
WATER ACT; AND FOR RELATED PURPOSES. 5
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 6
SECTION 1. Section 41-26-23, Mississippi Code of 1972, is 7
amended as follows: 8
41-26-23. (1) There is created in the State Treasury a fund 9
to be designated as the "Drinking Water Quality Analysis Fund." 10
The fund shall be treated as a special trust fund. Interest 11
earned on the principal in the fund shall be credited by the 12
Treasurer to the fund. The fund may receive monies from any 13
available public or private source, including fees, proceeds and 14
grants. The department shall expend or utilize monies in the fund 15
to pay all reasonable direct and indirect costs of water quality 16
analysis and related activities as required by the federal Safe 17
Drinking Water Act, as amended. Monies in the fund at the end of 18
the fiscal year shall be retained in the fund for use in the 19
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succeeding fiscal year. Except as provided in subsection (5) of 20
this section, if the annual fees collected exceed the cost of 21
administering the water quality analysis program in that fiscal 22
year, the excess shall be applied to the cost of administering the 23
program in the succeeding fiscal year. In the succeeding fiscal 24
year, the total to be collected from fees shall be reduced by the 25
excess retained in the fund, and the assessment rates shall be 26
adjusted proportionately. 27
(2) The department annually shall assess and collect fees 28
for water quality analysis and related activities as required by 29
the federal Safe Drinking Water Act, as amended, which shall not 30
exceed Three Dollars and Seventy-five Cents ($3.75) per connection 31
or Fifty Thousand Dollars ($50,000.00) per system, whichever is 32
less. Except as otherwise provided by law, the fee may be 33
increased no more than one (1) time during the period from July 1, 34
2025, through June 30, * * * 2029, and any such increase shall be 35
based on the most recent increase in the Producer Price Index. 36
The department annually shall adopt by rule, in accordance with 37
the Administrative Procedures Law and following a public hearing, 38
a fee schedule to cover all reasonable direct and indirect costs 39
of water quality analysis and related activities as required by 40
the federal Safe Drinking Water Act, as amended. In adopting a 41
fee schedule, the department shall consider the recommendations of 42
the advisory committee created in this section, if those 43
recommendations are made in a timely manner as provided. 44
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(3) An advisory committee is created to study the program 45
needs and costs for the implementation of the water quality 46
analysis program and to conduct an annual review of the needs and 47
costs of administering that program. The annual review shall 48
include an independent recommendation on an equitable fee schedule 49
for the succeeding fiscal year. Each annual review report shall 50
be due to the department by May 1. The advisory committee shall 51
consist of one (1) member appointed by the Mississippi Rural Water 52
Association, one (1) member appointed by the Mississippi Municipal 53
Association, one (1) member appointed by the Mississippi 54
Association of Supervisors and one (1) member appointed by the 55
Mississippi Water and Pollution Control Operators Association, 56
Inc. 57
(4) All suppliers of water for which water quality analysis 58
and related activities as required by the federal Safe Drinking 59
Water Act, as amended, are performed by the State Department of 60
Health shall pay the water quality analysis fee within forty-five 61
(45) days following receipt of an invoice from the department. In 62
the discretion of the department, any supplier of water required 63
to pay the fee shall be liable for a penalty equal to a maximum of 64
two (2) times the amount of fees due and payable plus an amount 65
necessary to reimburse the costs of delinquent fee collection for 66
failure to pay the fee within ninety (90) days following the 67
receipt of the invoice. Any person making sales to customers of 68
water for residential, noncommercial or nonagricultural use and 69
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ST: Department of Health; extend timeframe to
increase fees for water quality analysis as
required by Safe Drinking Water Act.
who recovers the fee required by this section or any portion 70
thereof from any customer shall indicate on each statement 71
rendered to customers that these fees are for water quality 72
analyses required by the federal government under the Safe 73
Drinking Water Act, as amended. 74
(5) There is created within the Drinking Water Quality 75
Analysis Fund an equipment capital expenditure account, 76
hereinafter referred to as the "account." The department may 77
transfer any excess fees, not exceeding ten percent (10%) of the 78
total fees assessed under this section, to the account. The 79
balance in the account shall not exceed Five Hundred Thousand 80
Dollars ($500,000.00). Funds in the account shall be used by the 81
department, as appropriated by the Legislature, to defray the 82
costs of purchasing new equipment or repairing existing equipment 83
for the analysis of drinking water. 84
Require timely reporting to towns, cities and water systems 85
of any report by telephone, email and portal system. Water 86
operators should be made aware immediately or within twenty-four 87
(24) hours. 88
SECTION 2. This act shall take effect and be in force from 89
and after July 1, 2026. 90