85R436 DDT-F
By: Phelan H.B. No. 2777
A BILL TO BE ENTITLED
AN ACT
relating to an application for the amendment of a certificate of
public convenience and necessity in an area within the boundaries
of a political subdivision.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 13.002, Water Code, is amended by adding
Subdivision (13-a) to read as follows:
(13-a) "Municipal utility district" means a political
subdivision of this state operating under Chapter 54.
SECTION 2. Section 13.244(a), Water Code, is amended to
read as follows:
(a) Except as provided by Section 13.258, to [To] obtain a
certificate of public convenience and necessity or an amendment to
a certificate, a public utility or water supply or sewer service
corporation shall submit to the utility commission an application
for a certificate or for an amendment as provided by this section.
SECTION 3. Section 13.246, Water Code, is amended by adding
Subsection (j) to read as follows:
(j) This section does not apply to an application under
Section 13.258.
SECTION 4. Subchapter G, Chapter 13, Water Code, is amended
by adding Section 13.258 to read as follows:
Sec. 13.258. UTILITY'S APPLICATION FOR AMENDMENT AND USE OF
MUNICIPAL UTILITY DISTRICT'S CERTIFICATE UNDER CONTRACT. (a)
Notwithstanding any other provision of this chapter, a Class A
utility may apply to the commission for an amendment of a municipal
utility district's certificate of convenience and necessity to
allow the utility to have the same rights and powers under the
certificate as the municipal utility district.
(b) An application under this section must be accompanied
by:
(1) information identifying the applicant;
(2) the identifying number of the certificate of
convenience and necessity to be amended;
(3) the written consent of the municipal utility
district that holds the certificate of convenience and necessity;
(4) a written statement by the municipal utility
district that the application is supported by a contract between
the municipal utility district and the utility for the utility to
provide services inside the certificated area and inside the
boundaries of the municipal utility district; and
(5) a description of the proposed service area by:
(A) a metes and bounds survey certified by a
licensed state land surveyor or a registered professional land
surveyor;
(B) the Texas State Plane Coordinate System;
(C) verifiable landmarks, including roads,
creeks, or railroad lines; or
(D) if a recorded plat of the area exists, lot and
block number.
(c) For an application under this section, the utility
commission may not require any information other than the
information required by this section.
(d) Not later than the 60th day after the date an applicant
files an application for an amendment under this section, the
utility commission shall review whether the application is
complete. If the utility commission finds that the application is
complete, the utility commission shall:
(1) find that the amendment of the certificate is
necessary for the service, accommodation, convenience, or safety of
the public; and
(2) grant the application and amend the certificate.
(e) The utility commission's decision under this section
becomes final after reconsideration, if any, authorized by utility
commission rule, and may not be appealed.
(f) The consent of a municipality is not required for the
utility commission to amend a certificate as provided by Subsection
(a) for an area that is in the municipality's extraterritorial
jurisdiction.
(g) Sections 13.241(d) and 13.245 do not apply to an
application under this section.
(h) Chapter 2001, Government Code, does not apply to an
application for an amendment of a certificate of public convenience
and necessity under this section.
SECTION 5. Section 341.035(d), Health and Safety Code, is
amended to read as follows:
(d) A person is not required to file a business plan under
Subsection (a)(1) or (b) if the person:
(1) is a county;
(2) is a retail public utility as defined by Section
13.002, Water Code, unless that person is a utility as defined by
that section;
(3) has executed an agreement with a political
subdivision to transfer the ownership and operation of the water
supply system to the political subdivision; [or]
(4) is a Class A utility, as defined by Section 13.002,
Water Code, that has applied for or been granted an amendment of a
certificate of convenience and necessity under Section 13.258,
Water Code, for the area in which the construction of the public
drinking water supply system will operate; or
(5) is a noncommunity nontransient water system and
the person has demonstrated financial assurance under Chapter 361
or 382 of this code or Chapter 26, Water Code.
SECTION 6. The change in law made by this Act applies only
to an application for an amendment of a certificate of public
convenience and necessity filed on or after the effective date of
this Act. An application filed before the effective date of this Act
is governed by the law in effect on the date the application is
filed, and the former law is continued in effect for that purpose.
SECTION 7. This Act takes effect September 1, 2017.