2015S0446-1 03/10/15 By: Kolkhorst S.B. No. 1936 A BILL TO BE ENTITLED AN ACT relating to the recovery of damages resulting from an emergency transfer of water authorized by the Texas Commission on Environmental Quality. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 11.139, Water Code, is amended by amending Subsection (j) and adding Subsection (j-1) to read as follows: (j) The person granted an emergency authorization under Subsection (h) [of this section] is liable to the owner and the owner's agent or lessee from whom the use is transferred for the fair market value of the water transferred as well as for any damages caused by the transfer of use. If [, within 60 days of the termination of the authorization,] the parties do not agree on the amount due, or if full payment is not made, either party may [file a complaint with the commission to determine the amount due. The commission may use dispute resolution procedures for a complaint filed under this subsection. After exhausting all administrative remedies under this subsection, an owner from whom the use is transferred may] file suit to [recover or] determine the amount due in a district court in the county where the owner from whom the use is transferred resides or has its headquarters. An owner from whom the use is transferred may file suit to recover the amount due in a district court in the county where the owner resides or has its headquarters. The prevailing party in a suit filed under this subsection is entitled to recover court costs and reasonable attorney's fees. (j-1) Subsection (j) applies to an owner from whom the use is transferred under Subsection (h) regardless of whether the owner's water right is subject to interruption or curtailment during a period of drought. SECTION 2. The change in law made by this Act applies only to an application for an emergency authorization or renewal of an emergency authorization that is submitted to the Texas Commission on Environmental Quality on or after the effective date of this Act. An application for an emergency authorization or renewal of an emergency authorization that is submitted to the commission before the effective date of this Act is governed by the law in effect immediately before the effective date of this Act, and that law is continued in effect for that purpose. SECTION 3. This Act takes effect September 1, 2015.