Drinking water quality analysis; increase MDOH fees for and allow fee adjustment in relation to the Producer Price Index.
Summary
SB 2740 amends Section 41-26-23 of the Mississippi Code to raise the Mississippi State Department of Health’s fees for drinking water quality analysis and related activities. The bill increases the maximum fee from $3.00 to $5.50 per connection, or from $40,000 to $50,000 per system, whichever is less. It also authorizes the department, with approval from the advisory committee, to adjust the fee based on the Producer Price Index, while limiting increases to no more than two times between July 1, 2025, and June 30, 2028.
The bill continues to place these fees into the Drinking Water Quality Analysis Fund, which is used to cover the direct and indirect costs of testing and related activities required under the federal Safe Drinking Water Act. It preserves the existing framework for annual fee-setting, public hearings, advisory committee review, penalties for nonpayment, and the equipment capital expenditure account used for drinking water testing equipment and repairs. The act would take effect July 1, 2025.
Impact
SB 2740 would directly amend Mississippi’s drinking water fee statute by increasing the statutory cap on water quality analysis fees and giving the Department of Health limited authority to index future fee changes to the Producer Price Index. The bill affects water suppliers subject to state-administered testing under the federal Safe Drinking Water Act, as well as the advisory committee that reviews program costs and recommends fee schedules. It does not create a new program, but it changes how the existing program is funded and how fees may be adjusted over time.
Sentiment
Based on the bill text and the absence of recorded committee debate or votes, the measure appears to be a routine administrative and funding adjustment rather than a controversial policy change. The structure of the bill suggests support for maintaining the drinking water testing program’s financial stability and aligning fees with rising costs. No recorded opposition, amendments, or vote history is provided in the materials.
Contention
The main potential point of contention is the fee increase itself, since it raises costs for water systems and may be passed through to customers. Another possible issue is the delegation of authority to adjust fees based on the Producer Price Index, which gives the Department of Health some flexibility in future rate-setting, though that authority is constrained by advisory committee approval and a limit on the number of increases. Any concerns would likely come from water utilities, local governments, or ratepayers affected by higher compliance costs, while public health and water quality stakeholders would likely favor the change.