Texas 2015 84th Regular

Texas House Bill HB2031 Introduced / Bill

Filed 03/01/2015

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                    By: Lucio III H.B. No. 2031


 A BILL TO BE ENTITLED
 AN ACT
 relating to the development and production of marine seawater
 desalination, integrated marine seawater desalination, and
 facilities for the storage, conveyance, and delivery of desalinated
 marine seawater.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  (a) With this state facing an ongoing drought,
 continuing population growth, and the need to remain economically
 competitive, every effort must be made to secure and develop
 plentiful and cost-effective water supplies to meet the
 ever-increasing demand for water. The purpose of this Act is not to
 hinder the conservation or development of other surface water
 efforts; however, its purpose is to more fully explore and expedite
 the development of all water resources in order to balance the
 state's supply and demand for water, one of the most precious
 resources of this state.
 (b)  Currently, the projected long-term water needs of this
 state far exceed the firm supplies that are available and that can
 reasonably be made available from freshwater sources within the
 state. The legislature recognizes the importance of providing for
 this state's current and future water needs at all times, including
 during severe droughts.
 (b)  In Texas, marine seawater is a potential new source of
 public drinking water. This state has access to over 600
 quadrillion gallons of marine seawater from the Gulf of Mexico. The
 purpose of this Act is to streamline the process and reduce the cost
 and regulation of marine seawater desalination.
 (c)  The legislature finds that marine seawater desalination
 projects should be cost-effectively, timely, and concurrently
 developed, alongside other water planning solutions, to help this
 state meet its current and future firm water needs.
 (d)  The legislature finds that it is necessary and
 appropriate to grant certain rights or authority and provide for
 expedited and streamlined permitting for large-scale marine
 seawater desalination projects and integrated marine seawater
 desalination and power projects, to avoid unnecessary costs, delays
 and uncertainty and thereby help justify the investment of
 significant resources of the state in the development of such
 projects.
 SECTION 2.  Section 11.121, Water Code, is amended to read as
 follows:
 Sec. 11.121.  PERMIT REQUIRED.  Except as provided in
 Sections 11.142, 11.1421, [and] 11.1422, and 11.1423 [of this
 code], no person may appropriate any state water or begin
 construction of any work designed for the storage, taking, or
 diversion of water without first obtaining a permit from the
 commission to make the appropriation.
 SECTION 3.  Section 11.1311, Water Code, is amended by
 amending Subsection (b) and adding Subsection (b-1) to read as
 follows:
 (b)  The board may transfer interests in a permit issued
 under Subsection (a) [this section] to a municipality, river
 authority, other political subdivision, or water supply
 corporation organized under Chapter 67 as otherwise provided by
 law.
 (b-1)  In this subsection, "marine seawater" has the meaning
 assigned by Section 11.1423. On submission of an application to the
 commission, the commission shall issue without a hearing a permit
 to use the bed and banks of any flowing natural stream in the state
 to convey marine seawater. The commission shall adopt rules to
 implement a procedure for application for a permit to convey marine
 seawater consistent with this subsection. A flowing natural stream
 does not include impounded water. The commission shall provide
 notice and an opportunity for hearing for an application for a
 permit to convey marine seawater into or through a lake, reservoir,
 or other impoundment.
 SECTION 4.  Subchapter D, Chapter 11, Water Code, is amended
 by adding Section 11.1423 to read as follows:
 Sec. 11.1423.  PERMIT EXEMPTION FOR USE BY WATER SUPPLY
 ENTITY OF MARINE SEAWATER. (a) In this section:
 (1)  "Marine seawater" means water that contains a
 total dissolved solids concentration based on a yearly average of
 samples taken at the water source of more than 10,000 milligrams per
 liter that is derived from the Gulf of Mexico or an adjacent bay,
 estuary, or arm of the Gulf of Mexico.
 (2)  "Water supply entity" includes:
 (A)  a retail public utility as defined by Section
 13.002;
 (B)  a wholesale water supplier; or
 (C)  an irrigation district operating under
 Chapter 58.
 (b)  Without obtaining a permit, a water supply entity may
 use for any beneficial purpose state water that consists of marine
 seawater.
 (c)  A water supply entity must treat marine seawater so that
 it meets the water quality level of the receiving stream before the
 entity may put the water into a stream under an authorization
 granted under Section 11.042.
 (d)  This section does not prohibit a water supply entity
 from conveying water under this section in any other manner
 authorized by law, including through the use of facilities owned or
 operated by the state if authorized by the state.
 SECTION 5.  Section 16.053(e)(5), Water Code, is amended by
 adding Subsection (J) as follows:
 (J)  opportunities for and the benefits of developing
 large-scale desalination facilities for marine seawater that serve
 local or regional entities or;
 SECTION 6.  Section 16.060, Water Code, is repealed.
 SECTION 7.  Subtitle C, Title 2, Water Code, is amended by
 adding Chapter 14 to read as follows:
 CHAPTER 14.  MARINE SEAWATER DESALINATION PROJECTS AND INTEGRATED
 MARINE SEAWATER DESALINATION AND POWER PROJECTS
 SUBCHAPTER A.  GENERAL PROVISIONS
 Sec. 14.001.  DEFINITIONS. In this chapter:
 (1)  "Board" means the Texas Water Development Board.
 (2)  "Commission" means the Texas Commission on
 Environmental Quality.
 (3)  "ERCOT" means the Electric Reliability Council of
 Texas.
 (4)  "GLO" means the General Land Office.
 (5)  "Political subdivision" means a city or county or
 other body politic or corporate of the state, including any
 district or authority created under Article III, Section 52, or
 Article XVI, Section 59, of the Texas Constitution.
 (6)  "Project" means any project to produce water
 supplies from marine seawater desalination, any integrated marine
 seawater desalination and power project, and any facilities for the
 storage, conveyance, and delivery of water.
 (7)  "PUC" means the Public Utility Commission.
 (8)  "School Land Board" means the Texas School Land
 Board.
 (9)  "TPWD" means the Texas Parks and Wildlife
 Department.
 SUBCHAPTER B. POWERS AND DUTIES
 Sec. 14.021  POWERS AND DUTIES OF THE BOARD.  The commission
 has general jurisdiction over the state financial assistance of
 projects to produce water supplies from marine seawater
 desalination, integrated marine seawater desalination and power
 projects, and facilities for the storage, conveyance, and delivery
 of water.
 Sec. 14.022  POWERS AND DUTIES OF THE COMMISSION.  (a) The
 commission has general jurisdiction over the permitting of projects
 to produce water supplies from marine seawater desalination,
 integrated marine seawater desalination and power projects, and
 facilities for the storage, conveyance, and delivery of water.
 (b)  The commission shall consult with the GLO, the School
 Land Board, the board, the TPWD, the PUC, and ERCOT, over all
 aspects of any project or facilities within the scope of subsection
 (a) that also fall within the general jurisdiction of each of those
 agencies.
 Sec. 14.023  POWERS OF CERTAIN POLITICAL SUBDIVISIONS.  A
 political subdivision that has a defined territory extending to the
 Gulf of Mexico may own all or any interest in a project or
 facilities within the scope of subsection (a) of section 14.021,
 and may sell water produced and power generated from such project.
 SUBCHAPTER C. RIGHTS AND AUTHORIZATIONS
 Sec. 14.031  GRANT OF WATER RIGHT TO CERTAIN POLITICAL
 SUBDIVISIONS.  (a) The political subdivision is hereby granted the
 right to divert marine seawater from the Gulf of Mexico at one or
 more points of diversion along the Texas coast, to desalinate such
 water and supply and use the desalinated water within the state for
 all beneficial uses, and to return the concentrated saline water
 resulting from the desalination process to the Gulf of Mexico at one
 or more points of return.
 (b)  The political subdivision is also granted the right to
 use marine seawater diverted from the Gulf of Mexico via a
 desalination project's intake facilities for power plant cooling or
 any other beneficial use before the marine seawater is desalinated,
 and then to either desalinate the unconsumed marine seawater or
 return the unconsumed marine seawater to the Gulf of Mexico via the
 project's return facilities.
 (c)  There are no limitations on the number of points of
 diversion or the rate of diversion at any point of diversion. There
 are no limitations on the number of points of return or the rate of
 return.
 (d)  The political subdivision may assign the rights granted
 to it under this section to any project to produce water supplies
 from marine seawater desalination or any integrated marine seawater
 desalination and power project, or to the owner(s) or operator(s)
 of such project.
 Sec. 14.032  APPROVALS OF GLO AND SCHOOL LAND BOARD
 REQUIRED.  Before construction of any intake or return facilities
 may commence, the political subdivision first must obtain the GLO's
 and the School Land Board's approvals of the locations of the points
 of intake and return and plans and specifications for facilities
 located on state lands. The GLO's and School Land Board's review and
 approval processes are not subject to the requirements relating to
 a contested case hearing under any statute or rule including,
 without limitation, the provisions of this chapter or other chapter
 of the Water Code, Chapter 33, Natural Resources Code, or
 Subchapters C-G, Chapter 2001, Government Code.
 SUBCHAPTER D. EXPEDITED AND STREAMLINED PERMITTING
 Sec. 14.041  DIRECTION TO PERMITTING AUTHORITIES  (a) This
 section applies to all applications for permits or other
 authorizations, and all applications or requests for contracts,
 leases, easements, or grants of interests in property, needed from
 any state or local governmental authority for any project and
 facilities within the scope of subsection (a) of section 14.021.
 Such applications and requests include, but are not limited to, all
 applications to the TCEQ for permits or authorizations to discharge
 under Chapter 26, Water Code, all applications to the TCEQ for
 permits or authorizations under the Texas Clean Air Act, Chapter
 382, Health and Safety Code, and all applications to the School Land
 Board to acquire rights in coastal public land under Chapter 33,
 Natural Resources Code.
 (b)  All governmental authorities are directed to expedite
 and streamline to the extent possible the processing of and action
 on all applications and requests.
 (c)  A governmental authority's processing of and action on
 any application for a permit or other authorization or any
 application or request for a contract, lease, easement, or grant of
 interest in property shall not be subject to the requirements
 relating to a contested case hearing under any statute or rule
 including, without limitation, the provisions of this chapter or
 other chapter of the Water Code, Chapter 33, Natural Resources
 Code, or Subchapters C-G, Chapter 2001, Government Code.
 SECTION 8.  Section 341.001, Health and Safety Code, is
 amended by adding Subdivisions (1-a) and (2-a) to read as follows:
 (1-a) "Desalination facility" means a facility used for
 the treatment of brackish water or marine seawater to remove
 dissolved mineral salts and other dissolved solids; and
 (2-a) "Marine seawater" means water that contains a
 total dissolved solids concentration based on a yearly average of
 samples taken at the water source of more than 10,000 milligrams per
 liter that is derived from the Gulf of Mexico or an adjacent bay,
 estuary, or arm of the Gulf of Mexico.
 SECTION 9.  Subchapter C, Chapter 341, Health and Safety
 Code, is amended by adding Section 341.0359 to read as follows:
 Sec. 341.0359.  DESALINATION OF WATER FOR DRINKING WATER.
 (a) This section applies only to a desalination facility that is
 intended to produce water for the public drinking water supply.
 This section does not apply to a desalination facility used to
 produce nonpotable water.
 (b)  The commission shall adopt rules to:
 (1)  allow water treated by a desalination facility to
 be used as public drinking water; and
 (2)  ensure that water treated by a desalination
 facility meets the requirements of Section 341.031 and rules
 adopted under that section.
 (c)  A person may not begin construction of a desalination
 facility unless the commission approves in writing the plans and
 specifications for the facility.
 (d)  A person may not begin construction of a desalination
 facility that treats marine seawater for the purpose of removing
 primary or secondary drinking water contaminants unless the
 commission approves in writing a report containing:
 (1)  a computer model acceptable to the commission;
 (2)  a pilot study with a minimum 40-day run duration
 without treatment intervention to meet federal and state safe
 drinking water standards;
 (3)  data from a similar system installed at another
 desalination facility that treats source water of a similar or
 lower quality; or
 (4)  a full-scale verification protocol with a minimum
 40-day run duration without treatment intervention to meet federal
 and state safe drinking water standards.
 (e)  If a full-scale verification protocol report is
 approved, a person may not send water to a public water distribution
 system without a full-scale verification study:
 (1)  completed after construction; and
 (2)  approved by the commission.
 (f)  Not later than the 100th day after the date the
 commission receives the report for a proposed desalination
 facility, the commission shall review the report and issue an
 exception response letter that may contain conditions for approval.
 (g)  Not later than the 60th day after the date the
 commission receives the plans and specifications for a proposed
 desalination facility, the commission shall review the plans and
 specifications and issue a response letter that may contain
 conditions for approval.
 (h)  A person violates this section if the person fails to
 meet a condition for approval in a letter issued to the person under
 Subsection (f) or (g).
 SECTION 10.  EFFECTIVE DATE OF THIS ACT. 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,
 2015.