Texas House Bill HB2672

Texas 2015 - 84th Regular

Caption

Relating to the powers of a public utility agency; authorizing fees and charges; granting the power of eminent domain.

Impact

The bill expands the legal framework under which public utility agencies can operate by allowing them to acquire land and property through eminent domain with a four-fifths majority vote from their board of directors. This provision is crucial, as it enables agencies to secure essential land for utility projects without undergoing lengthy public election processes, streamlining infrastructure development. Moreover, by authorizing agencies to set fees and charges for services, the bill aims to foster financial stability, ensuring that operational costs are met without relying heavily on state or local government funding.

Summary

House Bill 2672 addresses the authority and powers of public utility agencies in Texas. This legislation grants these agencies significant powers, including the ability to exercise eminent domain to acquire necessary properties for their operations, specifically in relation to providing water and sanitary sewer services. The bill outlines a framework for these agencies to enter contracts, lease agreements, and actively collect reasonable fees for services provided to various users, aiming to enhance operational efficiencies and financial sustainability.

Contention

Despite the potential benefits, there are concerns regarding the broad powers conferred to public utility agencies. Opponents argue that the ability to invoke eminent domain without stringent oversight could lead to abuses of power, with agencies potentially prioritizing their interests over community needs. The exclusion of groundwater rights from the scope of eminent domain further highlights a contention point, as some stakeholders believe it may restrict necessary environmental protections. The legislation’s immediate effect upon passage also raises questions about the appropriateness of granting such powers in a potentially rushed manner.