South Carolina Senate Bill S0656

South Carolina 2025-2026 Regular Session

• Introduced: 5/6/25
• Refer: 5/6/25

Caption

Public Utility Property

Impact

The enactment of S0656 could significantly affect how public utilities approach property acquisitions from local entities such as counties and municipalities. By ensuring that acquisitions are assessed based on fair market value as determined by independent appraisals, the bill promotes transparency and fairness in public utility operations. It aims to protect local governments and property owners by preventing undervaluation of critical infrastructure related to water and sewerage, thereby promoting better regulatory practices in the public interest.

Summary

Bill S0656 aims to amend the South Carolina Code of Laws by adding Section 58-5-70, which establishes regulations for the Public Service Commission (PSC) regarding the evaluation of applications from public utilities seeking to acquire property or assets related to water supply, sewerage collection, or sewerage disposal. The bill mandates that in order to evaluate such applications, the PSC must consider the fair market value of the assets based on two independent appraisals conducted by mutually selected experts, alongside any appraisal provided by the Office of Regulatory Staff. This requirement seeks to create a standard procedure for property acquisition to ensure fair evaluations.

Contention

Notable points of contention may arise around the implications of the bill on local governance and the autonomy of municipalities in property transactions. Some stakeholders may express concerns regarding the potential for delays in property acquisition processes due to the required appraisals and hearings that must be conducted by the PSC. Additionally, the impact on the financial responsibilities of public utilities could incite debate, especially if the costs of fair appraisals lead to increased rates for consumers in the future. Ultimately, stakeholders will need to balance the needs for fair market practices with the operational efficiency of public utilities.