By: Schofield H.B. No. 4659
A BILL TO BE ENTITLED
AN ACT
relating to an interim study of the financing of regional projects
and facilities to convert from groundwater to surface water.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. WORKING GROUP. (a) A working group is formed to
study, review, and report to the legislature on the methods for
financing or refinancing the regional water projects and facilities
to convert from groundwater to surface water.
(b) The working group is composed of representatives of the
Texas Water Development Board, the Texas Public Finance Authority,
and the local governments in Harris and Fort Bend counties that have
borrowed money for surface water conversion projects from the Texas
Water Development Board. The participation of said local
governments is not mandatory and the lack of participation by any
local government shall not affect the ability of the working group
to proceed.
(c) The chair of the Texas Water Development Board, or her
designee, shall serve as chair of the working group.
(d) The working group shall convene at the call of the
chair.
(e) All members of the Texas House or Texas Senate may
request to be kept informed of the working group's progress.
SECTION 2. STUDY. The working group formed by this Act
shall study:
(1) the extensive useful life of regional facilities
and improvements to convert from groundwater to surface water;
(2) the comparatively short period of time of the
financing of the cost of such facilities;
(3) the economic impact to current water users in
paying the costs of facilities that will provide service for future
water users;
(4) the terms of current and anticipated financings of
the costs of facilities;
(5) the goal of more even distribution of the costs so
that they are born by the users throughout the useful life of the
project;
(6) the fairness and equity benefits to the water
users of extension of financings for longer periods of time
compared to the potential increase in financing costs;
(7) methods for the financing and refinancing of
projects so that the cost of the projects are more evenly
distributed and born by the users throughout the useful life of the
project;
(8) policies and procedures of the State and the Texas
Water Development Board that can better accomplish the goal of
better distribution of the cost burden;
(9) whether the Texas Water Development Board's
financing terms and conditions of existing and future borrowings
can be improved to better accomplish the goal of better
distribution of the cost burden;
(10) whether funding could be applied to refinance or
restructure existing financings;
(11) whether costs of the projects could be fundied by
grants instead of loans or whether the State or the Texas Water
Development Board could forgive loans or portions of loans to
better accomplish the goal of better distribution of the cost
burden; and
(12) whether potential measures that could further the
goal of more even distribution of the costs so that they are born by
the users throughout the useful life of the project are precluded by
state law, and what changes to state law would be necessary to
enable their adoption.
SECTION 3. FINDINGS AND RECOMMENDATIONS. (a) If the
working group determines that changes and improvements by the State
or its agencies, including the Texas Water Development Board, are
warranted and possible without further legislative authorization,
the working group shall seek implementation of those changes and
improvements.
(b) Not later than September 1, 2024, the working group
formed by this Act shall report the working group's findings and
recommendations to the lieutenant governor, the speaker of the
house of representatives, and the governor.
SECTION 4. EXPIRATION. This Act expires September 1, 2025.
SECTION 5. EFFECTIVE DATE. 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.