By: Gerdes H.B. No. 4445 A BILL TO BE ENTITLED AN ACT relating to water loss in water delivery systems for certain municipally owned water utilities. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter B, Chapter 552, Local Government Code, is amended by adding Section 552.025 to read as follows: Sec. 552.025. ACCEPTABLE DELIVERY SYSTEM WATER LOSS FOR CERTAIN MUNICIPALLY OWNED UTILITIES. (a) In this section, "municipally owned utility" and "utility" have the meanings assigned by Section 13.002, Water Code. (b) This section applies only to a municipally owned utility with more than 150,000 service connections; (c) A municipally owned utility with a Texas Water Development Board Water Loss Audit indicating water loss equal to or more than 15 percent shall: (1) within 180 days, enact Stage 2 water restrictions, as specified in the utility's drought contingency plan, for a maximum of two years until a new Texas Water Development Board Water Loss Audit indicates water loss of less than 15 percent; and (2) after two years, enact Stage 3 water restrictions, as specified in the utility's drought contingency plan, until a new Texas Water Development Board Water Loss Audit indicates water loss of less than 15 percent. SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2023.