This bill proposes an amendment to the Constitution of Alabama of 2022 specifically for Madison County, aimed at bringing certain privately owned sewer systems that utilize public rights-of-way of public roads under the jurisdiction of the Public Service Commission (PSC). The amendment stipulates that any privately owned entity that collects, treats, or disposes of sewage must be certified and regulated by the PSC if it meets specific criteria, including using public rights-of-way for its operations, discharging to designated wastewater treatment facilities, and billing customers a flat service fee or a fee based on water usage. The PSC will determine the implementation of this amendment and the applicable rates and charges until a rate control agreement is established.

Additionally, the amendment allows counties, municipalities, or governmental utility service corporations (GUSCs) to opt out of PSC regulation if they enter into a rate control agreement with the private entity. However, if such an agreement is found invalid or terminated, PSC jurisdiction will be restored. The amendment also includes provisions regarding the opt-out option for municipalities that serve customers across multiple jurisdictions and establishes a five-year period during which a county or municipality cannot re-exercise its opt-out power after PSC jurisdiction is reinstated. The bill outlines the process for an election to ratify the proposed amendment, which will become valid upon approval by a majority of voters.