IC 8-1.5-2-7: Public convenience and necessity; declaratory resolution

Sec. 7. (a) A certificate of public convenience and necessity is not required as a condition precedent to the owning, leasing, acquisition, construction, or operation of a utility by a municipality, even if there is a public utility engaged in a similar service. The acquisition of electric utility property and assignment of a municipal electric utility's service area are, however, subject to the provisions of IC 8-1-2.3 and IC 8-1-2-95.1.

(b) Subsection (d) applies to the following:

(1) A municipality that wants to acquire an existing utility, including by purchase or condemnation under IC 8-1-2-92, IC 8-1-2-93, or otherwise.

(2) A municipality that wants to own and operate a utility in a location where, or contiguous to where, there is a public utility engaged in a similar service:

(A) under a franchise granted by the municipality; or

(B) under an indeterminate permit as defined in IC 8-1-2-1.

(c) Notwithstanding subsection (b), subsection (d) does not apply to the following:

(1) A municipality that owns and operates a water utility as of July 1, 2012.

(2) An action brought under:

(A) IC 8-1-2-92;

(B) IC 8-1-2-93; or

(C) this chapter;

before March 1, 2013.

(d) Before a municipality described in subsection (b) may declare by ordinance that public convenience and necessity require the establishment of a municipally owned utility, the municipality shall conduct a hearing under section 10 of this chapter.