Texas House Bill HB753

Texas 2021 - 87th Regular

Caption

Relating to municipal solid waste management services contracts; limiting the amount of a fee.

Impact

The implementation of HB 753 is expected to significantly alter the landscape of solid waste management services in Texas. By limiting municipal franchise fees, the bill aims to promote competition among waste management providers, which could lead to lower costs for consumers and businesses. Moreover, it is anticipated that the legislation will encourage firms to enter or remain in the market, thereby enhancing service options available to the public. However, this change may prompt concerns from municipalities, which could argue that the fee limitation restricts their financial autonomy and the resources required for effective waste management oversight.

Summary

House Bill 753 proposes amendments to the Health and Safety Code of Texas regarding municipal solid waste management services contracts. This legislation specifically establishes a cap on franchise fees that municipalities can charge to companies providing solid waste management services. According to the bill, municipalities are restricted to charging no more than two percent of the gross receipts of the franchisee for the sale of these services. This regulation is aimed at creating a more predictable and manageable financial structure for waste management providers operating within municipal boundaries.

Contention

There is potential for contention surrounding HB 753, primarily involving the balance of control between municipalities and waste management providers. Supporters of the bill argue that it protects waste management companies from excessive municipal fees that could hinder their operations. Conversely, opponents might contend that such a restriction undermines the authority of local governments to regulate and fund municipal services. The debate may focus on the adequacy of financial resources available to municipalities for maintaining standards in waste management and environmental sustainability, raising questions about whether the state's interests are being prioritized over local governance.