Texas 2017 - 85th Regular

Texas Senate Bill SB1115 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	85R3435 DDT-F
2	2	By: Garcia S.B. No. 1115
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the revocation of certain water utilities' certificate
8	8	of public convenience and necessity for major rules violations.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subchapter G, Chapter 13, Water Code, is amended
11	11	by adding Section 13.2541 to read as follows:
12	12	Sec. 13.2541. APPOINTMENT OF TEMPORARY MANAGER. (a)
13	13	Utility commission staff shall file a petition to appoint a
14	14	temporary manager of an investor-owned water utility if the staff
15	15	has reason to believe:
16	16	(1) the utility has repeated or continuous violations
17	17	of commission rules or of the commission's predecessor agency rules
18	18	regarding well capacity, storage tank capacity, service pump
19	19	capacity, or pressure tank capacity for at least six years before
20	20	the petition is filed;
21	21	(2) neither an owner of the utility nor the utility has
22	22	borrowed money from a federally insured lending institution to
23	23	remedy a violation of a rule described by Subdivision (1);
24	24	(3) the utility serves more than 1,000 connections but
25	25	is made up of less than five public water systems;
26	26	(4) the utility does not serve customers who are
27	27	located in a municipality; and
28	28	(5) the utility is located in a county with a
29	29	population of more than 2.7 million.
30	30	(b) If, after notice and an opportunity for a hearing, the
31	31	utility commission finds that the facts alleged in the petition are
32	32	true, the utility commission may appoint a temporary manager and
33	33	may also refer the investor-owned utility to the attorney general
34	34	for the appointment of a receiver under Section 13.412. The utility
35	35	commission shall issue its final order not more than 180 days after
36	36	the date the petition is filed.
37	37	(c) If the utility commission appoints a temporary manager,
38	38	the manager shall have all the power and authority provided by
39	39	Section 13.4132(c). Not more than 120 days after the appointment of
40	40	the manager, the manager shall recommend to the utility commission
41	41	whether or not the utility's certificate should be revoked. If the
42	42	manager recommends revocation, the manager shall recommend one or
43	43	more retail public utilities that could provide service to the
44	44	certificated area.
45	45	(d) If a court appoints a receiver for the utility, the
46	46	temporary manager's appointment ends when the receiver executes the
47	47	bond required by Section 13.412. The temporary manager is eligible
48	48	to be appointed as the receiver.
49	49	(e) Not more than 90 days after the appointment of a
50	50	receiver by the court, the receiver shall recommend to the utility
51	51	commission whether or not the utility's certificate of convenience
52	52	and necessity should be revoked. If the receiver recommends
53	53	revocation, the receiver shall recommend one or more retail public
54	54	utilities that could provide service to the certificated area. The
55	55	receiver may recommend any other remedy authorized by this chapter.
56	56	(f) If the receiver recommends revocation, the utility
57	57	commission staff shall file a petition to revoke the certificate of
58	58	convenience and necessity under Section 13.254.
59	59	SECTION 2. This Act takes effect September 1, 2017.