Texas Senate Bill SB1682

Texas 2021 - 87th Regular

Caption

Relating to the funding of utility reliability projects by the Texas Water Development Board and other entities; authorizing the issuance of revenue bonds, granting rulemaking authority, and making an appropriation.

Impact

If enacted, this bill will make significant amendments to Title 2 of the Texas Water Code, specifically focusing on the reliability of state utilities. By providing financial assistance through revenue bonds and establishing new funding avenues, SB1682 aims to facilitate infrastructure investment necessary for improving utility services. The bill restricts the purpose of funds to only cover expenses associated with financing qualifying projects, thereby ensuring that funds are directed solely toward utility enhancements.

Summary

SB1682 seeks to establish a robust funding mechanism for enhancing the reliability of various utility services across Texas, including water, electricity, natural gas, and broadband. This legislation introduces two primary financial instruments: the state utilities reliability fund and the state utilities reliability revenue fund. The former acts as an infrastructure bank, providing low-interest loans and deferred payment options for projects aimed at weatherizing facilities and ensuring adequate capacity during peak demand periods. The bill emphasizes the significance of reliable utilities in maintaining public safety and enhancing service continuity throughout the state.

Contention

There may be points of contention regarding the prioritization of projects funded under this bill, as the Texas Water Development Board is tasked with setting the criteria for financial assistance. Stakeholders might express concerns about transparency, especially regarding the process of determining which projects receive funding. Additionally, the involvement of the newly formed State Utilities Reliability Fund Advisory Committee opens pathways for various interests to influence the direction of funding, potentially leading to debates about political influence over essential utility projects.