Texas 2015 84th Regular

Texas House Bill HB2031 Comm Sub / Bill

Filed 04/21/2015

                    84R19516 SMH-F
 By: Lucio III, Miller of Comal, Workman H.B. No. 2031
 Substitute the following for H.B. No. 2031:
 By:  Larson C.S.H.B. No. 2031


 A BILL TO BE ENTITLED
 AN ACT
 relating to the diversion, treatment, and use of marine seawater
 and the discharge of treated marine seawater and waste resulting
 from the desalination of marine seawater; adding provisions subject
 to a criminal penalty.
 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 efforts to conserve or develop other surface water supplies
 but rather to more fully explore and expedite the development of all
 this state's water resources in order to balance this state's supply
 and demand for water, which is 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 this
 state. The legislature recognizes the importance of providing for
 this state's current and future water needs at all times, including
 during severe droughts.
 (c)  In this state, marine seawater is a potential new source
 of water for drinking and other beneficial uses. This state has
 access to vast quantities of marine seawater from the Gulf of
 Mexico. The purpose of this Act is to streamline the regulatory
 process for and reduce the time required for and cost of marine
 seawater desalination.
 (d)  The legislature finds that marine seawater desalination
 facilities should be cost-effectively and timely developed,
 concurrently with other water planning solutions, to help this
 state meet its current and future water needs.
 (e)  The legislature finds that it is necessary and
 appropriate to grant authority and provide for expedited and
 streamlined authorization for marine seawater desalination
 facilities in order to avoid unnecessary costs, delays, and
 uncertainty and thereby help justify the investment of significant
 resources in the development of such facilities.
 SECTION 2.  Section 11.0237(b), Water Code, is amended to
 read as follows:
 (b)  This section does not alter the commission's
 obligations under Section 11.042(a-1), (a-2), (b), or (c),
 11.046(b), 11.085(k)(2)(F), 11.134(b)(3)(D), 11.147, 11.1471,
 11.1491, 11.150, 11.152, 16.058, or 16.059.
 SECTION 3.  Section 11.042, Water Code, is amended by adding
 Subsection (a-2) to read as follows:
 (a-2)  In this subsection, "water supply entity" has the
 meaning assigned by Section 11.156. With prior authorization
 granted under rules prescribed by the commission, a water supply
 entity may use the bed and banks of any flowing natural stream in
 this state or a lake, reservoir, or other impoundment in this state
 to convey marine seawater that has been treated so as to meet
 standards that are at least as stringent as the water quality
 standards applicable to the receiving stream or impoundment adopted
 by the commission. The commission shall provide for notice and an
 opportunity for the submission of written comment but may not
 provide an opportunity for a public hearing regarding commission
 actions relating to an authorization under this subsection to use
 the bed and banks of a flowing natural stream to convey treated
 marine seawater. The commission shall provide for notice, an
 opportunity for the submission of written comment, and an
 opportunity for a contested case hearing regarding commission
 actions relating to an authorization under this subsection to use a
 lake, reservoir, or other impoundment to convey treated marine
 seawater. A water supply entity may not discharge treated marine
 seawater into a flowing natural stream in this state or a lake,
 reservoir, or other impoundment in this state for the purpose of
 conveyance of the water under an authorization granted under this
 subsection unless the entity holds a permit under Section 26.054
 authorizing the discharge. Treated marine seawater that is
 conveyed under an authorization granted under this subsection may
 be used only by the water supply entity to which the authorization
 is granted. This subsection does not prohibit a water supply entity
 from conveying treated marine seawater in any other manner
 authorized by law.
 SECTION 4.  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 11.156 [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 5.  Subchapter D, Chapter 11, Water Code, is amended
 by adding Section 11.156 to read as follows:
 Sec. 11.156.  PERMIT OR PERMIT EXEMPTION FOR DIVERSION AND
 USE OF MARINE SEAWATER BY WATER SUPPLY ENTITY. (a) In this section,
 "water supply entity" includes:
 (1)  a retail public utility as defined by Section
 13.002;
 (2)  a wholesale water supplier; or
 (3)  an irrigation district operating under Chapter 58.
 (b)  A water supply entity must obtain a permit to divert and
 use state water that consists of marine seawater if:
 (1)  the point of diversion is located less than six
 miles from any point located on the coast of this state; or
 (2)  the seawater contains a total dissolved solids
 concentration based on a yearly average of samples taken at the
 water source of less than 20,000 milligrams per liter.
 (c)  A water supply entity may divert and use state water
 that consists of marine seawater without obtaining a permit if
 Subsection (b) does not apply.
 (d)  A water supply entity may use marine seawater diverted
 as authorized by a permit issued under Subsection (b), or as
 authorized by Subsection (c), for any beneficial purpose, but only
 if the seawater is treated in accordance with rules adopted by the
 commission before it is used. Rules adopted under this subsection
 may impose different treatment requirements based on the purpose
 for which the seawater is to be used but must require that the
 seawater be treated in accordance with:
 (1)  Section 341.0316(b)(2), Health and Safety Code, if
 the water is to be used as public drinking water;
 (2)  Section 11.042(a-2) if the bed and banks of a
 flowing natural stream in this state or a lake, reservoir, or other
 impoundment in this state are to be used to convey the water; and
 (3)  Section 26.054(c)(1) if the water is to be
 discharged into a flowing natural stream in this state or a lake,
 reservoir, or other impoundment in this state.
 (e)  The commission shall adopt rules providing an expedited
 procedure for acting on an application for a permit under
 Subsection (b). The rules must provide for notice, an opportunity
 for the submission of written comment, and an opportunity for a
 contested case hearing regarding commission actions relating to a
 permit.
 (f)  The point of diversion of marine seawater may not be in a
 bay or estuary.
 (g)  The commission shall adopt rules prescribing the number
 of points from which, and the rate at which, a facility may divert
 marine seawater.
 (h)  The Parks and Wildlife Department and the General Land
 Office jointly shall conduct a study to identify zones in the Gulf
 of Mexico that are appropriate for the diversion of marine
 seawater, taking into account the need to protect marine organisms,
 and shall recommend zones for designation by the commission. Not
 later than September 1, 2020, the commission shall adopt rules
 designating appropriate diversion zones. A diversion zone may be
 contiguous to or the same as or may overlap a discharge zone
 designated under Section 26.054. The point or points at which a
 facility may divert marine seawater must be located in a diversion
 zone designated by the commission under rules adopted under this
 subsection if:
 (1)  the facility is authorized by a permit issued
 under Subsection (b) after the rules are adopted; or
 (2)  the facility is exempt under Subsection (c) from
 the requirement of a permit and construction of the facility begins
 after the rules are adopted.
 (i)  Until the commission adopts rules under Subsection (h),
 a water supply entity must consult the Parks and Wildlife
 Department and the General Land Office regarding the point or
 points at which the facility the entity proposes to construct may
 divert marine seawater before submitting an application for a
 permit for the facility if Subsection (b) applies or before
 beginning construction of the facility if Subsection (c) applies.
 SECTION 6.  Section 16.053(e), Water Code, is amended to
 read as follows:
 (e)  Each regional water planning group shall submit to the
 development board a regional water plan that:
 (1)  is consistent with the guidance principles for the
 state water plan adopted by the development board under Section
 16.051(d);
 (2)  provides information based on data provided or
 approved by the development board in a format consistent with the
 guidelines provided by the development board under Subsection (d);
 (2-a)  is consistent with the desired future conditions
 adopted under Section 36.108 for the relevant aquifers located in
 the regional water planning area as of the date the board most
 recently adopted a state water plan under Section 16.051 or, at the
 option of the regional water planning group, established subsequent
 to the adoption of the most recent plan;
 (3)  identifies:
 (A)  each source of water supply in the regional
 water planning area, including information supplied by the
 executive administrator on the amount of modeled available
 groundwater in accordance with the guidelines provided by the
 development board under Subsections (d) and (f);
 (B)  factors specific to each source of water
 supply to be considered in determining whether to initiate a
 drought response;
 (C)  actions to be taken as part of the response;
 and
 (D)  existing major water infrastructure
 facilities that may be used for interconnections in the event of an
 emergency shortage of water;
 (4)  has specific provisions for water management
 strategies to be used during a drought of record;
 (5)  includes but is not limited to consideration of
 the following:
 (A)  any existing water or drought planning
 efforts addressing all or a portion of the region;
 (B)  approved groundwater conservation district
 management plans and other plans submitted under Section 16.054;
 (C)  all potentially feasible water management
 strategies, including but not limited to improved conservation,
 reuse, and management of existing water supplies, conjunctive use,
 acquisition of available existing water supplies, and development
 of new water supplies;
 (D)  protection of existing water rights in the
 region;
 (E)  opportunities for and the benefits of
 developing regional water supply facilities or providing regional
 management of water supply facilities;
 (F)  appropriate provision for environmental
 water needs and for the effect of upstream development on the bays,
 estuaries, and arms of the Gulf of Mexico and the effect of plans on
 navigation;
 (G)  provisions in Section 11.085(k)(1) if
 interbasin transfers are contemplated;
 (H)  voluntary transfer of water within the region
 using, but not limited to, regional water banks, sales, leases,
 options, subordination agreements, and financing agreements; [and]
 (I)  emergency transfer of water under Section
 11.139, including information on the part of each permit, certified
 filing, or certificate of adjudication for nonmunicipal use in the
 region that may be transferred without causing unreasonable damage
 to the property of the nonmunicipal water rights holder; and
 (J)  opportunities for and the benefits of
 developing large-scale desalination facilities for marine seawater
 that serve local or regional entities;
 (6)  identifies river and stream segments of unique
 ecological value and sites of unique value for the construction of
 reservoirs that the regional water planning group recommends for
 protection under Section 16.051;
 (7)  assesses the impact of the plan on unique river and
 stream segments identified in Subdivision (6) if the regional water
 planning group or the legislature determines that a site of unique
 ecological value exists;
 (8)  describes the impact of proposed water projects on
 water quality; and
 (9)  includes information on:
 (A)  projected water use and conservation in the
 regional water planning area; and
 (B)  the implementation of state and regional
 water plan projects, including water conservation strategies,
 necessary to meet the state's projected water demands.
 SECTION 7.  Subchapter B, Chapter 26, Water Code, is amended
 by adding Section 26.054 to read as follows:
 Sec. 26.054.  DISCHARGE OF TREATED MARINE SEAWATER OR WASTE
 RESULTING FROM DESALINATION OF MARINE SEAWATER. (a) In this
 section, "water supply entity" has the meaning assigned by Section
 11.156.
 (b)  A water supply entity must obtain a permit to discharge:
 (1)  marine seawater into a flowing natural stream in
 this state or a lake, reservoir, or other impoundment in this state;
 or
 (2)  waste resulting from the desalination of marine
 seawater into the Gulf of Mexico.
 (c)  A water supply entity must:
 (1)  treat marine seawater so as to meet standards that
 are at least as stringent as the water quality standards applicable
 to the receiving stream or impoundment adopted by the commission
 before discharging the seawater under a permit described by
 Subsection (b)(1); and
 (2)  comply with all applicable state and federal
 requirements when discharging waste resulting from the
 desalination of marine seawater into the Gulf of Mexico under a
 permit described by Subsection (b)(2).
 (d)  The commission shall adopt rules providing an expedited
 procedure for acting on an application for a permit under
 Subsection (b). The rules must provide for:
 (1)  notice, an opportunity for the submission of
 written comment, and an opportunity to request a public meeting and
 may authorize a contested case hearing regarding commission actions
 relating to a permit described by Subsection (b)(1);
 (2)  notice, an opportunity for the submission of
 written comment, an opportunity to request a public meeting, and an
 opportunity for a contested case hearing regarding commission
 actions relating to a permit described by Subsection (b)(2) if the
 point of discharge is located within six miles of any point located
 on the coast of this state; and
 (3)  notice and an opportunity for the submission of
 written comment regarding commission actions relating to a permit
 described by Subsection (b)(2) if Subdivision (2) of this
 subsection does not apply.
 (e)  A water supply entity may not discharge waste resulting
 from the desalination of marine seawater into a bay or estuary.
 (f)  The Parks and Wildlife Department and the General Land
 Office jointly shall conduct a study to identify zones in the Gulf
 of Mexico that are appropriate for the discharge of waste resulting
 from the desalination of marine seawater, taking into account the
 need to protect marine organisms, and shall recommend zones for
 designation by the commission. Not later than September 1, 2020,
 the commission shall adopt rules designating appropriate discharge
 zones. The point at which a facility may discharge waste resulting
 from the desalination of marine seawater must be located in a
 discharge zone designated by the commission under rules adopted
 under this subsection if the facility is authorized by a permit
 issued under Subsection (b)(2) after the rules are adopted.
 (g)  Until the commission adopts rules under Subsection (f),
 a water supply entity must consult the Parks and Wildlife
 Department and the General Land Office regarding the point at which
 the facility the entity proposes to construct may discharge waste
 resulting from the desalination of marine seawater before
 submitting an application for a permit under Subsection (b)(2) for
 the facility.
 SECTION 8.  Subchapter C, Chapter 341, Health and Safety
 Code, is amended by adding Section 341.0316 to read as follows:
 Sec. 341.0316.  DESALINATION OF MARINE SEAWATER FOR DRINKING
 WATER. (a) This section applies only to a desalination facility
 that is intended to treat marine seawater for the purpose of
 producing 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 that treats marine seawater for the purpose of removing
 primary or secondary drinking water contaminants unless the
 commission approves the construction of the facility.
 SECTION 9.  Section 16.060, Water Code, is repealed.
 SECTION 10.  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.