(a)  Water suppliers may, at their discretion, file with the commission a rate plan for a period not to exceed six (6) years, which rate plans shall set forth proposed rates:

(1)  That are adequate, as described in § 39-15.1-3(a), to pay for all reasonable costs of service associated with water supply during the period of the plan, and may include projections of cost increases, and are equitable as described in § 39-15.1-3(b);

(2)  That attribute the cost of increased seasonal demand to customers who or that contribute to increased seasonal demand and that may include conservation pricing pursuant to § 39-15.1-3(d);

(3)  That provide for infrastructure maintenance, repair, and replacement, especially in order to meet goals for reduction of leakage and the accounting of non-billed water, that are included in a water supply systems management plan; and

(4)  That provide for the establishment and maintenance of operating reserves, capital reserves, and debt-service reserves as described in § 39-15.1-3(a).

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(b)  The commission shall approve or reasonably amend the plan and the rates proposed therein.

(c)  A water supplier with a multiyear plan approved by the commission may change its rates consistent with provisions of the plan, provided that a forty-five (45) day notice is given to the commission and the division, which notice shall state the amount of the proposed rate changes, the manner in which the proposed rate is consistent with the approved plan, and the purpose of the proposed rate change. The proposed rate change shall be effective sixty (60) days after the notice to the commission and the division, unless the commission shall decide that the proposed rate increase may be unreasonable or inconsistent with the approved plan, in which case the commission shall hold a hearing on the proposed rate increase and may approve, or reasonably amend the proposed rate increase. Notwithstanding the foregoing notice provision, the commission shall be bound by the suspension period set forth in § 39-3-11.

(d)  A water supplier may petition the commission for a modification to an approved plan, and the commission in hearing and deciding the petition need only consider those portions or elements of the plan affected by the proposed modification. The commission shall approve or reasonably modify the proposed modification. An approved modification shall become part of the plan for purposes of subsection (c) of this section.

(e)  Each water supplier with an approved plan shall report annually to the commission and the division with regard to performance under the plan, including rates, revenues derived from rates, expenditures necessary to pay for all reasonable costs of service; and the level and status of operating reserves, capital reserves, and debt-service reserves.