P.R. Laws tit. 22, § 161a
(a) For purposes of §§ 141-161a of this title, the following terms shall have the meaning provided in the “Puerto Rico Aqueduct and Sewer Authority for the Revitalization Act”:
(1) Corporation;
(2) Revitalization Charges;
(3) Approved Financing Costs;
(4) Adjustment Mechanism;
(5) Bonds; and
(6) Financing Resolution.
(b) In accordance with the Puerto Rico Aqueduct and Sewer Authority for the Revitalization Act, the Authority shall be authorized to the following:
(1) To agree with the Corporation the processes and assistance to be mutually provided to carry out the purposes of said act;
(2) To provide any pertinent information as necessary so the Corporation may, evaluate and approve the mechanism for the calculation of the revitalization charges and the adjustment mechanism, and be able to take any other actions needed to issue the Corporation’s financing resolution;
(3) To act as Servicer to impose, bill, and collect the revitalization charges approved by the Corporation and, in accordance with the foregoing and the contracts provisions to that effect entered into between the Corporation and the Authority, to modify its billing model to include the revitalization charges;
(4) The Authority shall publish on its website, and on any other means it may deem appropriate, no later than ninety (90) days following the approval of the Puerto Rico Aqueduct and Sewer Authority for the Revitalization Act, the Ten-Year Capital Improvement Program Plan corresponding to the ten (10)- year period following the approval of this act, whereby, among other issues: the Authority adopts and plans the implementation of the water utility industry’s best practices in order to improve its operational efficiency and the monitoring its internal control measures, establishing among others, a three (3)-year loss control plan, to be amended every three (3) years. Such Plan shall include, in addition to the goals of the Authority, specific initiatives and the costs associated therewith, which shall be evaluated annually from the Authority’s cost-benefit stand point, and evaluated and approved by the Governing Board of the Authority, as well as evaluated by the Advisory Committee of the Governing Board. Such initiatives shall be made available on the Authority’s website for public comment and discussion during a meeting of the Governing Board open to the public. Notwithstanding the foregoing, a strictly enforceable standard shall be established to measure the increase in the rate of recovery of water loss or unbilled water, between 2016 and 2019. The required reduction shall be measured in terms of the gallons of water produced per day in all facilities supplying the distribution system in comparison to the gallons per day that are billed to all customers. The net result of such comparison shall reflect at least a five percent (5%) increase in the rate of recovery of water loss or unbilled water, within the period from the date of approval of the Act to September 30, 2019. No later than October 31st, 2019, the Authority shall file a report with the Secretary of the Senate and the Clerk of the House of Representatives, stating all the measures taken during the initial three (3)-year period stated above, including the projects under the Capital Improvement Program, meter replacement initiatives, and the distribution infrastructure rehabilitation efforts that have been implemented for the purpose of complying with the established operational efficiency standards. The Ten-Year Plan shall also include the manner in which the Authority shall progressively reduce, within that period, its reliance on external financing, until it represents no more than fifty percent (50%) of the cost of its Capital Improvement Program, excluding for purposes of this calculation financing provided through federal government agencies or federal programs, such as the Office of Rural Development and the Revolving Fund Program.
(5) Any other action or process needed to comply with the “Puerto Rico Aqueduct and Sewer Authority Revitalization Act”, including, but not limited to, taking actions as are necessary and implementing internal cost control measures that promote operational efficiency, promote the reduction and control operating expenses, and generate savings, to prevent increases in the billings sent to the customers of the Authority during the current fiscal year and the next two fiscal years, that is, fiscal years 2015-2016, 2016-2017, 2017-2018, except as stipulated in the Authority’s agreements with its respective bondholders in effect as of date of approval of the “Puerto Rico Aqueduct and Sewer Authority Revitalization Act” Once the “Puerto Rico Aqueduct and Sewer Authority Revitalization Act” is implemented and the first bond issue in benefit of the Authority is made, it shall give priority to the payment to its suppliers and contractors under the Capital Improvement Program, to whom money is owed to as of the date of approval of the aforementioned act. By virtue of the approval of the “Puerto Rico Aqueduct and Sewer Authority Revitalization Act”, and the benefits that the Authority shall receive therefrom, the Authority shall review its rate to transfer to its customers the savings and benefits received under said act.
History —July 12, 2016, No. 68, § 2.17.