Texas House Bill HB4385

Texas 2023 - 88th Regular

• Filed: 3/9/23
• Out of House Committee: 4/17/23
• Voted on by House: 4/28/23
• Out of Senate Committee: 5/19/23
• Voted on by Senate: 5/24/23
• Governor Action: 6/13/23

Caption

Relating to the provision of sewer service without a certificate of public convenience and necessity.

Impact

The passage of HB 4385 is expected to have significant implications on how utility services are managed in Texas. By allowing smaller entities to bypass the certificate requirement, the bill facilitates quicker access to sewer services in areas that may have been underserved or constrained by existing regulations. This could potentially lead to improved public health outcomes through better sanitation and increased availability of sewer services. However, it also raises questions about the oversight and quality of service provided by smaller, less regulated entities.

Summary

House Bill 4385 relates to the provision of sewer service without requiring a certificate of public convenience and necessity. The bill amends Section 13.242 of the Texas Water Code to allow municipalities or water supply corporations to render retail sewer service without such a certificate if certain conditions are met, specifically that they provide notice of intention to provide service and have fewer than 15 potential connections in an area not already serviced by another utility. This aims to streamline the process for offering sewer services and reduce regulatory hurdles for smaller utilities.

Sentiment

The sentiment surrounding the bill appears largely supportive among legislators and stakeholders involved in the discussions. Proponents argue that the bill addresses practical needs in rural and underserved communities and promotes economic development by facilitating service availability. Conversely, there may be concerns among opposers regarding the effectiveness of regulations in ensuring service quality and the potential implications of less oversight in utility provision.

Contention

Notable points of contention may arise around the implications of reduced regulatory requirements. While supporters believe that the bill enhances efficiency, critics may argue that it could lead to inconsistent service quality and undermine public safeguards established in utility management. The balance between regulatory oversight and the need for prompt service provision is a central theme in the discussions regarding HB 4385.

Texas Constitutional Statutes Affected

Water Code

• Chapter 13. Water Rates And Services
  • Section: 242
  • Section: 242
  • Section: 242
  • Section: 242
  • Section: 242