H.B. No. 2369
AN ACT
relating to municipal fees charged to public school districts for
water and sewer service.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The legislature finds that the imposition of
fees for water service that are based on the number of students or
employees of a public school district diverts to other purposes
money appropriated in accordance with Section 1, Article VII, Texas
Constitution, for the education of students. For that reason, the
imposition of fees on those bases by a political subdivision
violates the Texas Constitution.
SECTION 2. The heading to Section 13.044, Water Code, is
amended to read as follows:
Sec. 13.044. RATES CHARGED BY MUNICIPALITY TO CERTAIN
SPECIAL DISTRICTS [DISTRICT].
SECTION 3. Subchapter C, Chapter 13, Water Code, is amended
by adding Section 13.0441 to read as follows:
Sec. 13.0441. FEES CHARGED BY MUNICIPALITY TO PUBLIC SCHOOL
DISTRICTS. (a) This section applies only to fees charged by a
municipality for water or sewer service to a public school
district.
(b) Notwithstanding the provisions of a resolution,
ordinance, or agreement, a public school district charged a fee
that violates Section 13.088 may appeal the charge by filing a
petition with the utility commission. The utility commission shall
hear the appeal de novo, and the municipality charging the fee has
the burden of proof to establish that the fee complies with Section
13.088. The utility commission shall fix the fees to be charged by
the municipality in accordance with this chapter, including Section
13.088.
SECTION 4. Subchapter D, Chapter 13, Water Code, is amended
by adding Section 13.088 to read as follows:
Sec. 13.088. MUNICIPAL FEES FOR PUBLIC SCHOOL DISTRICTS. A
municipally owned utility that provides retail water or sewer
utility service to a public school district may not charge the
district a fee based on the number of district students or employees
in addition to the rates the utility charges the district for the
service.
SECTION 5. 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, 2017.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 2369 was passed by the House on May 4,
2017, by the following vote: Yeas 145, Nays 0, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 2369 was passed by the Senate on May
23, 2017, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor