Texas 2013 - 83rd 1st C.S.

Texas House Bill HB25 Latest Draft

Bill / Introduced Version

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                            83S10137 SLB-D
 By: Larson H.B. No. 25


 A BILL TO BE ENTITLED
 AN ACT
 relating to the underground storage of water for later retrieval
 and beneficial use; authorizing the imposition of fees.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 11.002, Water Code, is amended by adding
 Subdivisions (22) and (23) to read as follows:
 (22)  "Aquifer storage and recovery project" means an
 undertaking to facilitate the injection of surface water,
 groundwater, or treated effluent into a suitable aquifer by means
 of a well for later retrieval and beneficial use from that well or
 another well.
 (23)  "Target aquifer" means an aquifer used in an
 aquifer storage and recovery project.
 SECTION 2.  The heading to Section 11.153, Water Code, is
 amended to read as follows:
 Sec. 11.153.  AQUIFER STORAGE AND RECOVERY PROJECTS [FOR
 STORAGE OF APPROPRIATED WATER IN AQUIFERS].
 SECTION 3.  Sections 11.153(a), (b), (c), and (d), Water
 Code, are amended to read as follows:
 (a)  The commission shall expedite [investigate the
 feasibility of storing appropriated water in various types of
 aquifers around the state by encouraging] the issuance of temporary
 or term permits for aquifer [demonstration projects for the]
 storage and recovery projects [of appropriated water for subsequent
 retrieval and beneficial use].  The commission by rule shall allow
 the use of an existing permit for appropriated water that
 authorizes a consumptive use for a project to demonstrate the
 feasibility of an aquifer storage and recovery project.
 (b)  A permit described by Subsection (a) must authorize the
 use of a sufficient quantity of appropriated water to demonstrate
 the feasibility of [be for only the duration of] the aquifer storage
 and recovery [pilot] project for the duration of the project to
 provide the commission [and] the [board further] opportunity to
 evaluate the storage of appropriated water in the target aquifer
 [aquifers for subsequent retrieval and beneficial use].
 (c)  After [At the conclusion of a pilot project,] a permit
 holder has completed the feasibility project described by
 Subsection (a), the permit holder may file an appropriate
 application for a permit or permit amendment to store appropriated
 water in an aquifer storage and recovery project. After
 considering the success of the project and the criteria set out in
 Section 11.154, the commission shall determine whether to issue a
 permit or permit amendment authorizing the continued storage of
 appropriated water in the aquifer.
 (d)  The commission shall [only] issue a final order granting
 a permit or amendment to a permit authorizing the storage of
 appropriated water using an aquifer storage and recovery project
 [in aquifers for subsequent beneficial use] where the aquifer
 storage and recovery project is [completed pilot projects or
 historically demonstrated projects have been] shown to be feasible
 under the criteria provided in Sections 11.154(c) and (d).
 SECTION 4.  Section 11.154, Water Code, is amended to read as
 follows:
 Sec. 11.154.  PERMITS FOR AQUIFER STORAGE AND RECOVERY
 PROJECTS [TO STORE APPROPRIATED WATER IN AQUIFERS]. (a) An
 application filed with the commission [to undertake a project]
 under Section 11.153 for a permit or a permit amendment to authorize
 the storage of appropriated water in an aquifer storage and
 recovery project must include:
 (1)  the information required for an application for a
 permit or permit amendment to appropriate state water;
 (2)  all information required for an application for a
 permit for a Class V injection well without requiring a separate
 hearing or notice; and
 (3)  a map or plat showing the injection facility and
 the aquifer in which the water will be stored.
 (a-1)  Subsection (a)(1) does not apply to an application
 filed under this section if the application is for an amendment to
 an existing permit and:
 (1)  the permit the applicant seeks to amend authorizes
 a consumptive use of the appropriated water; and
 (2)  the requested amendment will not change the point
 of diversion or the rate of diversion authorized under the permit
 the applicant seeks to amend.
 (b)  If the application is for a permit or permit amendment
 to store appropriated water in a groundwater reservoir or a
 subdivision of a groundwater reservoir, as defined by Chapter 36,
 that is under the jurisdiction of a groundwater conservation
 district:
 (1)  the applicant shall:
 (A)  provide a copy of the application to each
 groundwater conservation district that has jurisdiction over the
 reservoir or subdivision;
 (B)  register the permit as provided by Subchapter
 N, Chapter 36, [cooperate] with each district that has jurisdiction
 over the reservoir or subdivision [to ensure compliance with the
 rules of each district]; and
 (C)  [cooperate with each district that has
 jurisdiction over the reservoir or subdivision to develop rules
 regarding the injection, storage, and withdrawal of appropriated
 water stored in the aquifer; and
 [(D)]  comply with the rules governing the
 injection, storage, and withdrawal of appropriated water stored in
 the reservoir or subdivision that are adopted by each district that
 has jurisdiction over the reservoir or subdivision, including a
 rule specifically relating to an aquifer storage and recovery
 project; and
 (2)  the commission shall require that the applicant
 notify the commission when the applicant has registered the permit
 with the district as required by Subdivision (1)(B) [any agreement
 the applicant reaches with a district that has jurisdiction over
 the reservoir or subdivision regarding the terms for the injection,
 storage, and withdrawal of appropriated water be included as a
 condition of the permit or permit amendment].
 (c)  Before issuing [On receipt of an application for] a
 permit or an amendment to an existing permit authorizing the
 storage of appropriated water in an aquifer storage and recovery
 project, the [from an applicant with a completed pilot or
 historically demonstrated project, the commission shall evaluate
 the success of the project for purposes of issuing a final order
 granting a permit or permit amendment authorizing the storage of
 appropriated water incident to a beneficial use. The] commission
 shall consider whether:
 (1)  the introduction of water into the target aquifer
 will alter the physical, chemical, or biological quality of native
 groundwater to a degree that the introduction would:
 (A)  render groundwater produced from the aquifer
 harmful or detrimental to people, animals, vegetation, or property;
 or
 (B)  require treatment of the groundwater to a
 greater extent than the native groundwater requires before being
 applied to that beneficial use;
 (2)  the water stored in the target [receiving] aquifer
 can be successfully retrieved [harvested] from the aquifer for
 beneficial use; and
 (3)  reasonable diligence will be used to protect the
 water stored in the target [receiving] aquifer from unauthorized
 withdrawals to the extent necessary to maximize the permit holder's
 ability to retrieve and beneficially use the stored water without
 experiencing unreasonable loss of appropriated water.
 (d)  In making its evaluation under Subsection (c), the
 commission may consider all relevant facts, including:
 (1)  the location and depth of the target aquifer in
 which the stored water is located;
 (2)  the nature and extent of the surface development
 and activity above the stored water;
 (3)  the permit holder's ability to prevent
 unauthorized withdrawals by contract or the exercise of the power
 of eminent domain;
 (4)  the existence of a groundwater [an underground
 water] conservation district or other governmental entity with
 jurisdiction over the production of water from the target aquifer
 [storing the water] and the district's ability to adopt rules to
 protect [stored] water stored in the aquifer storage and recovery
 project; and
 (5)  the existence of any other political subdivision
 or state agency authorized to regulate the drilling of wells into or
 the production of water from the target aquifer.
 (e)  A permit or a permit amendment that authorizes the
 storage of [to store] appropriated water in a groundwater reservoir
 or subdivision, as defined by Chapter 36, shall provide as a
 condition to the permit or permit amendment that the permit holder
 shall:
 (1)  register the permit holder's injection and
 recovery wells that are used in connection with an aquifer storage
 and recovery project with a groundwater conservation district that
 has jurisdiction over the reservoir or subdivision, if any; and
 (2)  comply with the reporting requirements
 established under Subchapter N, Chapter 36 [each calendar month,
 provide the district, if any, with a written report showing for the
 previous calendar month:
 [(A)     the amount of water injected for storage;
 and
 [(B)  the amount of water recaptured for use].
 SECTION 5.  The heading to Section 11.155, Water Code, is
 amended to read as follows:
 Sec. 11.155.  AQUIFER STORAGE AND RECOVERY [PILOT] PROJECT
 REPORTS.
 SECTION 6.  Section 11.155(b), Water Code, is amended to
 read as follows:
 (b)  The board, as part of the state and regional water
 planning process, shall conduct [make other] studies,
 investigations, and surveys of the aquifers in the state, including
 target aquifers, as it considers necessary to determine the
 feasibility of recommending the occurrence, quantity, quality, and
 availability of other aquifers in which water may be stored and
 subsequently retrieved for beneficial use. [The board shall
 undertake the studies, investigations, and surveys in the following
 order of priority:
 [(1)  the aquifers described in Section 11.153(a);
 [(2)     areas designated by the commission as "priority
 groundwater management areas" under Section 35.008; and
 [(3)     other areas of the state in a priority to be
 determined by the board's ranking of where the greatest need
 exists.]
 SECTION 7.  Section 26.001, Water Code, is amended by adding
 Subdivisions (27) and (28) to read as follows:
 (27)  "Aquifer storage and recovery project" means an
 undertaking to facilitate the injection of surface water,
 groundwater, or treated effluent into a suitable aquifer by means
 of a well for later retrieval and beneficial use from that well or
 another well.
 (28)  "Target aquifer" means an aquifer used in an
 aquifer storage and recovery project.
 SECTION 8.  Sections 26.0271(b) and (c), Water Code, are
 amended to read as follows:
 (b)  In any permit or amendment to a permit issued under this
 chapter, at the request of the applicant the commission may
 authorize a wastewater treatment facility to contribute treated
 domestic wastewater produced by the facility as reclaimed water to
 a reuse water system, or for storage in an aquifer storage and
 recovery project, if the commission has approved the use of
 reclaimed water from the wastewater treatment facility.
 (c)  In any permit or amendment to a permit issued under this
 chapter, at the request of the applicant the commission shall
 authorize, subject to any required approval by the United States
 Environmental Protection Agency, a wastewater treatment facility
 to:
 (1)  contribute reclaimed water into a reuse water
 system operated by the agency; [and]
 (2)  discharge reclaimed water contributed to a reuse
 water system at any outfall for which a discharge from the reuse
 water system is authorized in any permit issued for any wastewater
 treatment facility operated by the agency; or
 (3)  inject the reclaimed water for storage in an
 aquifer storage and recovery project.
 SECTION 9.  Section 26.029(a), Water Code, is amended to
 read as follows:
 (a)  In each permit, the commission shall prescribe the
 conditions on which it is issued, including:
 (1)  the duration of the permit;
 (2)  the location of the point of discharge of the
 waste;
 (3)  the maximum quantity of waste that may be
 discharged under the permit at any time and from time to time;
 (4)  the character and quality of waste that may be
 discharged under the permit; [and]
 (5)  any monitoring and reporting requirements
 prescribed by the commission for the permittee; and
 (6)  the target aquifer into which the treated effluent
 may be injected as a contribution to an aquifer storage and recovery
 project.
 SECTION 10.  Chapter 36, Water Code, is amended by adding
 Subchapter N to read as follows:
 SUBCHAPTER N. AQUIFER STORAGE AND RECOVERY PROJECTS
 Sec. 36.451.  DEFINITIONS.  In this subchapter:
 (1)  "Aquifer storage and recovery project" means an
 undertaking to facilitate the injection of surface water,
 groundwater, or treated effluent into a suitable aquifer by means
 of a well for later retrieval and beneficial use from that well or
 another well.
 (2)  "Target aquifer" means an aquifer used in an
 aquifer storage and recovery project.
 Sec. 36.452.  AQUIFER STORAGE AND RECOVERY PROJECT WELLS.
 (a) A well that is constructed and operated as part of an aquifer
 storage and recovery project is subject to the permitting
 requirements established under Section 11.154.
 (b)  A well that is constructed and operated as part of an
 aquifer storage and recovery project is not subject to:
 (1)  permitting by a district; or
 (2)  rules adopted by a district relating to spacing,
 setback, or production limits.
 Sec. 36.453.  REGISTRATION OF WELLS. (a) A well that is
 constructed and operated as part of an aquifer storage and recovery
 project must be registered with the district.
 (b)  The registration application shall include:
 (1)  the longitude and latitude coordinates of the
 well;
 (2)  the depth at which the deepest point of the well is
 located and the aquifer, groundwater reservoir, or aquifer
 subdivision into which the well penetrates;
 (3)  a designation of the well as a well for injection,
 recovery, or injection and recovery;
 (4)  a copy of the commission's Class V injection well
 authorization, if applicable;
 (5)  a copy of an authorization, if required, to use the
 surface and subsurface of the property to construct and operate an
 aquifer storage and recovery project, including a deed, lease, or
 easement;
 (6)  evidence that each well associated with the
 aquifer storage and recovery project is metered; and
 (7)  a copy of the following, as applicable:
 (A)  a permit authorizing the use of the water to
 be injected into a storage well, if use of that water requires a
 permit;
 (B)  a permit for use of unappropriated water from
 the commission; or
 (C)  a production and operating permit issued by a
 district other than the district in which the well is registered.
 (c)  A district shall register a well that is the subject of
 an application that meets the requirements of Subsection (b).
 Sec. 36.454.  PROTECTION OF RIGHTS TO STORED WATER. (a)
 Except as provided by Subsection (b), a district shall adopt rules
 to protect water stored in an aquifer storage and recovery project
 to the greatest extent practicable.
 (b)  The district is not required to adopt rules to prohibit
 the withdrawal of water stored in an aquifer storage and recovery
 project by the holder of a permit issued by a district from a well
 located outside of the area described in the aquifer storage and
 recovery project well registration.
 (c)  Nothing in this subchapter may be construed as
 authorizing the production of groundwater from an aquifer,
 groundwater reservoir, or subdivision of an aquifer within the
 jurisdiction of a district without a permit issued under this
 chapter.
 (d)  In considering an application for a permit for
 production from a highly productive aquifer, as determined by
 district rule, for purposes of storing the water produced in an
 aquifer storage and recovery project, a district shall consider:
 (1)  the benefits of storing the water in the aquifer
 storage and recovery project; and
 (2)  the ability of the more productive contributing
 aquifer to recover and replace the water stored in the target
 aquifer.
 Sec. 36.455.  REPORTS. (a) A person operating an aquifer
 storage and recovery project shall meter the volume of water
 injected and recovered from each well associated with the project
 at the wellhead and file a monthly report with the district in which
 each well is located. The report must contain the following
 information:
 (1)  the amount of water injected for storage in each
 well located in the district and the source of the injected water;
 and
 (2)  the amount of water recovered from each well
 located in the district.
 (b)  The report required by Subsection (a) must be filed not
 later than the 20th day of each month.
 (c)  A person operating an aquifer storage and recovery
 project shall file an annual report with the district in which each
 well associated with the project is located. The report must
 contain the following information:
 (1)  the cumulative amount of water in storage in the
 project; and
 (2)  a map showing the areal extent of the underground
 movement of the stored water as of the end of the year in which the
 report is prepared.
 (d)  The report required by Subsection (c) must be filed not
 later than January 20 of each year.
 (e)  If water is injected into a well for storage in one
 district and later recovered from a well located in a different
 district, the reports required under this section shall be provided
 to each district in which a well associated with the project is
 located.
 Sec. 36.456.  FEES. (a) Except as provided by Subsections
 (b) and (c), a district may not assess against an aquifer storage
 and recovery project a fee, assessment, or tax.
 (b)  A district may require:
 (1)  the payment of a fee of $100 for each well related
 to an aquifer storage and recovery project that is registered as
 provided by Section 36.453, payable at the time the well is
 registered with the district, except as provided by Subsection (c);
 and
 (2)  the payment of an annual fee not to exceed $5 per
 acre-foot of water injected in an aquifer storage and recovery
 project during the preceding year, which must be submitted with the
 annual report required under Section 36.455(c).
 (c)  The fees collected by a district:
 (1)  under Subsection (b)(1) may not exceed $10,000 for
 a single aquifer storage and recovery project and may only be used
 to compensate the district for the cost of conducting field
 inspections to verify:
 (A)  the location of wells associated with an
 aquifer storage and recovery project; and
 (B)  the installation of meters on each well
 associated with an aquifer storage and recovery project; and
 (2)  under Subsection (b)(2) must be deposited into a
 mitigation account and may be used by the district only to
 compensate a person who meets the requirements prescribed by
 Subsection (d).
 (d)  A district may pay money from a mitigation account to a
 person in an amount equal to the costs incurred by the person to
 repair, rehabilitate, or replace a well if the person presents
 evidence to the district's board of directors that demonstrates to
 a reasonable degree of certainty that the operation of the aquifer
 storage and recovery project resulted in damage to the person's
 well.
 (e)  A district's payment of money under Subsection (d) may
 not be construed as an admission of liability by an aquifer storage
 and recovery project.
 Sec. 36.457.  STORAGE AND RECOVERY. (a) Water in an aquifer
 storage and recovery project may be stored in and recovered from
 multiple aquifers, provided that the storage and recovery is
 accomplished using injection and recovery wells completed in the
 target aquifer. Individual injection and recovery wells may be
 completed only in a single aquifer to prevent cross-contamination
 of aquifers.
 (b)  Water stored in an aquifer storage and recovery project
 is not subject to production limits, cutbacks, or other action by
 the district to reduce production.
 Sec. 36.458.  REGULATION BY DISTRICT. An aquifer storage
 and recovery project, and the water stored in a project, is not
 subject to any provision or requirement of this chapter related to
 the desired future conditions or modeled available groundwater
 adopted by the district or the applicable groundwater management
 area.
 Sec. 36.459.  ADMINISTRATION. The executive administrator
 shall develop for adoption by the Texas Water Development Board or
 any successor agency model rules for the administration of aquifer
 storage and recovery projects for districts not later than December
 31, 2013. The model rules, once adopted, are applicable to all
 districts in the state and must be adopted by each district on or
 before the 60th day following the date of adoption by the Texas
 Water Development Board.
 Sec. 36.460.  WASTEWATER USAGE. Under a permit issued under
 Chapter 26, treated wastewater effluent may be stored in an aquifer
 storage and recovery project.
 Sec. 36.461.  STATE FUNDING. An aquifer storage and
 recovery project is eligible for state funding in the form of loans
 and grants from any available fund or revenue source used to fund
 projects included in the state water plan.
 SECTION 11.  Sections 11.153(e) and 11.155(a), Water Code,
 are repealed.
 SECTION 12.  This Act takes effect on the 91st day after the
 last day of the legislative session.