| 1 | 1 | | 84R23355 JXC-D |
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| 2 | 2 | | By: Nevárez H.B. No. 2852 |
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| 3 | 3 | | Substitute the following for H.B. No. 2852: |
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| 4 | 4 | | By: Bonnen of Brazoria C.S.H.B. No. 2852 |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to municipal fees charged to public school districts for |
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| 10 | 10 | | water and sewer service. |
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| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 12 | | SECTION 1. The legislature finds that the imposition of |
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| 13 | 13 | | fees for water service that are based on the number of students or |
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| 14 | 14 | | employees of a public school district diverts to other purposes |
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| 15 | 15 | | money appropriated in accordance with Section 1, Article VII, Texas |
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| 16 | 16 | | Constitution, for the education of students. For that reason, the |
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| 17 | 17 | | imposition of fees on those bases by a political subdivision |
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| 18 | 18 | | violates the Texas Constitution. |
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| 19 | 19 | | SECTION 2. The heading to Section 13.044, Water Code, is |
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| 20 | 20 | | amended to read as follows: |
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| 21 | 21 | | Sec. 13.044. RATES CHARGED BY MUNICIPALITY TO CERTAIN |
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| 22 | 22 | | SPECIAL DISTRICTS [DISTRICT]. |
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| 23 | 23 | | SECTION 3. Subchapter C, Chapter 13, Water Code, is amended |
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| 24 | 24 | | by adding Section 13.0441 to read as follows: |
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| 25 | 25 | | Sec. 13.0441. FEES CHARGED BY MUNICIPALITY TO PUBLIC SCHOOL |
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| 26 | 26 | | DISTRICTS. (a) This section applies only to fees charged by a |
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| 27 | 27 | | municipality for water or sewer service to a public school |
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| 28 | 28 | | district. |
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| 29 | 29 | | (b) Notwithstanding the provisions of a resolution, |
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| 30 | 30 | | ordinance, or agreement, a public school district charged a fee |
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| 31 | 31 | | that violates Section 13.088 may appeal the charge by filing a |
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| 32 | 32 | | petition with the utility commission. The utility commission shall |
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| 33 | 33 | | hear the appeal de novo, and the municipality charging the fee has |
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| 34 | 34 | | the burden of proof to establish that the fee complies with Section |
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| 35 | 35 | | 13.088. The utility commission shall fix the fees to be charged by |
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| 36 | 36 | | the municipality in accordance with this chapter, including Section |
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| 37 | 37 | | 13.088. |
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| 38 | 38 | | SECTION 4. Subchapter D, Chapter 13, Water Code, is amended |
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| 39 | 39 | | by adding Section 13.088 to read as follows: |
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| 40 | 40 | | Sec. 13.088. MUNICIPAL FEES FOR PUBLIC SCHOOL DISTRICTS. A |
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| 41 | 41 | | municipally owned utility that provides retail water or sewer |
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| 42 | 42 | | utility service to a public school district may not charge the |
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| 43 | 43 | | district a fee based on the number of district students or employees |
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| 44 | 44 | | in addition to the rates the utility charges the district for the |
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| 45 | 45 | | service. |
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| 46 | 46 | | SECTION 5. (a) This section applies only to a public |
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| 47 | 47 | | school district that, after September 1, 2009, was charged a fee for |
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| 48 | 48 | | retail water or sewer utility service based on the number of |
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| 49 | 49 | | district students or employees in addition to the rates charged for |
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| 50 | 50 | | the service. |
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| 51 | 51 | | (b) Notwithstanding any other law or agreement, on the |
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| 52 | 52 | | petition of a public school district, the Public Utility Commission |
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| 53 | 53 | | of Texas shall evaluate a fee for retail water or sewer utility |
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| 54 | 54 | | service charged by a municipally owned utility to the district |
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| 55 | 55 | | after September 1, 2009, to determine whether the fee complies with |
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| 56 | 56 | | Section 13.088, Water Code, as added by this Act. |
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| 57 | 57 | | (c) If the Public Utility Commission of Texas determines |
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| 58 | 58 | | under Subsection (b) of this section that the fee does not comply |
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| 59 | 59 | | with Section 13.088, Water Code, as added by this Act, the |
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| 60 | 60 | | commission: |
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| 61 | 61 | | (1) shall fix or eliminate the fees to be charged by |
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| 62 | 62 | | the municipally owned utility in accordance with Section 13.088, |
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| 63 | 63 | | Water Code, as added by this Act; |
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| 64 | 64 | | (2) shall establish the original effective date of the |
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| 65 | 65 | | fee that does not comply with Section 13.088, Water Code, as added |
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| 66 | 66 | | by this Act, based on information submitted by the municipally |
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| 67 | 67 | | owned utility; |
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| 68 | 68 | | (3) by order shall require the municipally owned |
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| 69 | 69 | | utility to refund to the public school district money collected |
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| 70 | 70 | | from the fee described by Subdivision (2) of this subsection in |
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| 71 | 71 | | excess of the fee fixed under Subdivision (1) of this subsection; |
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| 72 | 72 | | and |
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| 73 | 73 | | (4) may allow the public school district to recover |
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| 74 | 74 | | from the municipally owned utility any reasonable expenses incurred |
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| 75 | 75 | | by the district in the process of submitting a petition under this |
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| 76 | 76 | | section. |
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| 77 | 77 | | (d) This section expires and a public school district may |
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| 78 | 78 | | not submit a petition under this section after September 1, 2020. |
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| 79 | 79 | | SECTION 6. This Act takes effect immediately if it receives |
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| 80 | 80 | | a vote of two-thirds of all the members elected to each house, as |
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| 81 | 81 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 82 | 82 | | Act does not receive the vote necessary for immediate effect, this |
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| 83 | 83 | | Act takes effect September 1, 2015. |
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