87R5585 BRG-F By: Bell of Montgomery H.B. No. 2224 A BILL TO BE ENTITLED AN ACT relating to rates established by municipalities for water and sewer services. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter D, Chapter 13, Water Code, is amended by adding Section 13.0835 to read as follows: Sec. 13.0835. PROHIBITION ON RATE DISCRIMINATION. A municipality or a municipally owned utility may not establish a rate applicable only to entities that qualify for a sales tax or ad valorem tax exemption that is higher than a rate established for entities that receive comparable utility services. SECTION 2. This Act takes effect September 1, 2021.