BILL ANALYSIS H.B. 561 By: Lopez, Ray Homeland Security, Public Safety & Veterans' Affairs Committee Report (Unamended) BACKGROUND AND PURPOSE The bill author has informed the committee that the strong relationship between the City of San Antonio and its military bases is integral not only to the city but also to the state's economy. These bases are vital to both the defense mission and the civilian community, as many citizens are employed on these bases and the military personnel stationed there also contribute taxpayer dollars that support the local economy. According to the office of the governor, the Defense Economic Adjustment Assistance Grant (DEAAG) program provides grants to support infrastructure improvements in defense communities negatively impacted by changes in U.S. Department of Defense operations, such as the closure of bases or the relocation of defense jobs. However, existing law does not provide for municipally owned utility companies to directly apply for DEAAG funding and, as a result, public utilities like the San Antonio Water System must rely on the city to apply for these grants on their behalf, which can complicate and slow down the process. H.B. 561 seeks to address this issue by making municipally owned utility companies eligible to directly apply for DEAAG funding. CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS H.B. 561 amends the Government Code to include a municipally owned utility that acts as a retail public utility in a defense community among the local governmental entities that are eligible for a grant by the Texas Military Preparedness Commission on the grounds that the entity may be affected by a federal realignment of defense worker jobs or facilities. The bill defines "municipally owned utility" and "retail public utility" by reference to their definitions in the Water Code as follows, respectively: any utility that is owned, operated, and controlled by a municipality or by a nonprofit corporation whose directors are appointed by one or more municipalities; and any person, corporation, public utility, water supply or sewer service corporation, municipality, political subdivision or agency operating, maintaining, or controlling facilities in Texas for providing potable water service or sewer service, or both, for compensation. EFFECTIVE DATE September 1, 2025.
BILL ANALYSIS
# BILL ANALYSIS
H.B. 561
By: Lopez, Ray
Homeland Security, Public Safety & Veterans' Affairs
Committee Report (Unamended)
H.B. 561
By: Lopez, Ray
Homeland Security, Public Safety & Veterans' Affairs
Committee Report (Unamended)
BACKGROUND AND PURPOSE The bill author has informed the committee that the strong relationship between the City of San Antonio and its military bases is integral not only to the city but also to the state's economy. These bases are vital to both the defense mission and the civilian community, as many citizens are employed on these bases and the military personnel stationed there also contribute taxpayer dollars that support the local economy. According to the office of the governor, the Defense Economic Adjustment Assistance Grant (DEAAG) program provides grants to support infrastructure improvements in defense communities negatively impacted by changes in U.S. Department of Defense operations, such as the closure of bases or the relocation of defense jobs. However, existing law does not provide for municipally owned utility companies to directly apply for DEAAG funding and, as a result, public utilities like the San Antonio Water System must rely on the city to apply for these grants on their behalf, which can complicate and slow down the process. H.B. 561 seeks to address this issue by making municipally owned utility companies eligible to directly apply for DEAAG funding.
CRIMINAL JUSTICE IMPACT It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS H.B. 561 amends the Government Code to include a municipally owned utility that acts as a retail public utility in a defense community among the local governmental entities that are eligible for a grant by the Texas Military Preparedness Commission on the grounds that the entity may be affected by a federal realignment of defense worker jobs or facilities. The bill defines "municipally owned utility" and "retail public utility" by reference to their definitions in the Water Code as follows, respectively: any utility that is owned, operated, and controlled by a municipality or by a nonprofit corporation whose directors are appointed by one or more municipalities; and any person, corporation, public utility, water supply or sewer service corporation, municipality, political subdivision or agency operating, maintaining, or controlling facilities in Texas for providing potable water service or sewer service, or both, for compensation.
EFFECTIVE DATE September 1, 2025.
BACKGROUND AND PURPOSE
The bill author has informed the committee that the strong relationship between the City of San Antonio and its military bases is integral not only to the city but also to the state's economy. These bases are vital to both the defense mission and the civilian community, as many citizens are employed on these bases and the military personnel stationed there also contribute taxpayer dollars that support the local economy. According to the office of the governor, the Defense Economic Adjustment Assistance Grant (DEAAG) program provides grants to support infrastructure improvements in defense communities negatively impacted by changes in U.S. Department of Defense operations, such as the closure of bases or the relocation of defense jobs. However, existing law does not provide for municipally owned utility companies to directly apply for DEAAG funding and, as a result, public utilities like the San Antonio Water System must rely on the city to apply for these grants on their behalf, which can complicate and slow down the process. H.B. 561 seeks to address this issue by making municipally owned utility companies eligible to directly apply for DEAAG funding.
CRIMINAL JUSTICE IMPACT
It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS
H.B. 561 amends the Government Code to include a municipally owned utility that acts as a retail public utility in a defense community among the local governmental entities that are eligible for a grant by the Texas Military Preparedness Commission on the grounds that the entity may be affected by a federal realignment of defense worker jobs or facilities. The bill defines "municipally owned utility" and "retail public utility" by reference to their definitions in the Water Code as follows, respectively:
any utility that is owned, operated, and controlled by a municipality or by a nonprofit corporation whose directors are appointed by one or more municipalities; and
any person, corporation, public utility, water supply or sewer service corporation, municipality, political subdivision or agency operating, maintaining, or controlling facilities in Texas for providing potable water service or sewer service, or both, for compensation.
EFFECTIVE DATE
September 1, 2025.