Providence city officials are facing criticism for backing legislation that aims to create a regional water authority in the state. 

A House bill introduced by Providence state Rep. Scott Slater would allow water suppliers to combine resources. 

Supporters say that would protect the state in case a major water supply ever gets contaminated. 

Currently, 60 percent of the state’s water supply comes from the Providence Water Supply Board (PWSB), and Slater said that poses a problem.

“We need to stop governing by crisis. Right now people just take for granted where they get their water. We need to protect water on a statewide level and it shouldn’t be left up to the city of Providence to provide 60 percent of water for the state,” said Slater.

Spokeswoman for Providence Mayor Jorge Elorza, Emily Crowell, described the three main goals of the bill: “Goals of the legislation would be to protect employees; ensure long term rate stability within the larger system; and share municipal representation, making sure all municipalities that use Providence water have a seat at the table.”

But critics like GOP Chairman Brandon Bell say the bill will actually drive-up the cost of water. 

“This ridiculous bill is just a scheme to bail out the City of Providence by hiking up the water bills of customers across Rhode Island,” said Bell in a statement Monday.

Providence continues to face serious financial challenges in funding more than $800 million in municipal pension obligations. 

In 2016, consultants hired by Providence Mayor Jorge Elorza suggested finding a way to monetize the city’s water supply board, which had assets valued at more than $370 million. 

Elorza has since said he opposes the sale of any of PWSB’s assets. But the creation of a regional water entity would give the city’s water board access to a wider customer base.

Meanwhile, Cranston Mayor Allan Fung says he’s skeptical of creating another quasi-public entity that can borrow money unchecked.

“It has the potential to create large debt that will lead to significant rate increases before the state Public Utilities Commission can say ‘yay’ or ‘nay,’” said Fung.

The Rhode Island Public Utilities Commission is also against the proposal despite a support of “a regional water authority that is independent of a municipality.”  

Deputy Chief of Legal Affairs Cynthia Wilson-Frias wrote a letter to the Corporations Committee. The letter said the current bill removes PUC and Division of Public Utilities and Carriers oversight.

“The impact of the bill will be to increase water rates while foreclosing the possibility of those additional revenues benefiting taxpayers,” added Wilson-Frias.

Wilson-Frias said although a regional water authority could help prevent a tax increase in Providence, the remaining ratepayers would bear the burden.

“This legislation is not in the best interests of ratepayers,” weighed in House Speaker Nicholas Mattiello. “It does not have my support.”

Testimony over the bill took place in a House Corporations Committee hearing Tuesday.