House Bill No. [insert number] introduces the Water and Wastewater Affordability and Ratepayer Protection Act, which aims to establish affordability standards for essential residential water and wastewater services in qualifying municipalities in Louisiana. The bill defines key terms such as "municipal utility system," "qualifying municipality," and "essential residential utility usage." It stipulates that the total monthly essential utility charge for residential customers in these municipalities should not exceed 4.5% of the monthly equivalent of the municipality's median household income. The affordability standard is specifically designed to address the financial burdens faced by residents in municipalities with high poverty rates or low median household incomes.

Additionally, the bill mandates that municipal utility systems provide written notice of any residential rate increases exceeding 10% within a 12-month period, offer free meter accuracy testing upon request, and disclose the methodology for rate adjustments. It also requires qualifying municipalities to create an administrative process for reviewing affordability compliance and billing disputes, with advisory panels providing nonbinding recommendations. Importantly, the legislation clarifies that it does not expand or diminish the jurisdiction of the Louisiana Public Service Commission, nor does it authorize state management of municipal utility systems or impair existing contractual obligations. The act will take effect upon the governor's signature or after the designated period for gubernatorial action.