By: Miller of Comal H.B. No. 3610
A BILL TO BE ENTITLED
AN ACT
relating to rates and methods of depreciation applied to a retired
class of property for regulated water utilities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 13.131, Water Code, is amended by
amending Subsection (c) to read as follows:
(c) The commission shall fix proper and adequate rates and
methods of depreciation, amortization, or depletion of the several
classes of property of each utility and shall require every utility
to carry a proper and adequate depreciation account in accordance
with those rates and methods and with any other rules the commission
prescribes. The commission shall also require the book cost less
net salvage of depreciable utility plant retired be charged in its
entirety to the accumulated depreciation account, consistent with
accounting treatment for other TCEQ and Texas PUC regulated
electric and gas utilities. Those rates, methods, and accounts
shall be utilized uniformly and consistently throughout the
rate-setting and appeal proceedings.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2009.