1 | 1 | | 89R12292 SCR-F |
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2 | 2 | | By: Flores S.B. No. 2160 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to the jurisdiction of the Public Utility Commission of |
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10 | 10 | | Texas over municipally owned utility water and sewer service |
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11 | 11 | | outside the corporate limits of a municipality. |
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12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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13 | 13 | | SECTION 1. Sections 13.042(e) and (f), Water Code, are |
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14 | 14 | | amended to read as follows: |
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15 | 15 | | (e) The utility commission shall have exclusive original |
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16 | 16 | | jurisdiction over the [water and sewer utility] rates, operations, |
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17 | 17 | | and services: |
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18 | 18 | | (1) of a water and sewer utility for water or sewer |
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19 | 19 | | utility service provided outside [not within] the corporate |
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20 | 20 | | [incorporated] limits of a municipality exercising exclusive |
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21 | 21 | | original jurisdiction over those rates, operations, and services as |
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22 | 22 | | provided in this chapter; and |
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23 | 23 | | (2) of a municipally owned utility for water or sewer |
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24 | 24 | | utility service provided outside the corporate limits of the |
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25 | 25 | | municipality. |
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26 | 26 | | (f) This subchapter does not give the utility commission |
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27 | 27 | | power or jurisdiction to regulate or supervise the rates or service |
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28 | 28 | | of a municipally owned utility [utility owned and operated by a |
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29 | 29 | | municipality, directly or through a municipally owned |
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30 | 30 | | corporation,] within its corporate limits or to affect or limit the |
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31 | 31 | | power, jurisdiction, or duties of a municipality that regulates |
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32 | 32 | | land and supervises water and sewer utilities within its corporate |
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33 | 33 | | limits, except as provided by this code. |
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34 | 34 | | SECTION 2. Section 13.043(b), Water Code, is amended to |
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35 | 35 | | read as follows: |
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36 | 36 | | (b) Ratepayers of the following entities may appeal the |
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37 | 37 | | decision of the governing body of the entity affecting their water, |
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38 | 38 | | drainage, or sewer rates to the utility commission: |
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39 | 39 | | (1) a nonprofit water supply or sewer service |
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40 | 40 | | corporation created and operating under Chapter 67; |
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41 | 41 | | (2) a utility under the jurisdiction of a municipality |
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42 | 42 | | inside the corporate limits of the municipality; |
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43 | 43 | | (3) [a municipally owned utility, if the ratepayers |
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44 | 44 | | reside outside the corporate limits of the municipality, including |
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45 | 45 | | a decision of a governing body that results in an increase in rates |
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46 | 46 | | when the municipally owned utility takes over the provision of |
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47 | 47 | | service to ratepayers previously served by another retail public |
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48 | 48 | | utility; |
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49 | 49 | | [(4)] a district or authority created under Article |
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50 | 50 | | III, Section 52, or Article XVI, Section 59, of the Texas |
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51 | 51 | | Constitution that provides water or sewer service to household |
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52 | 52 | | users; and |
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53 | 53 | | (4) [(5)] a utility owned by an affected county, if |
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54 | 54 | | the ratepayer's rates are actually or may be adversely affected. |
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55 | 55 | | For the purposes of this section ratepayers who reside outside the |
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56 | 56 | | boundaries of the district or authority shall be considered a |
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57 | 57 | | separate class from ratepayers who reside inside those boundaries. |
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58 | 58 | | SECTION 3. The changes in law made by this Act apply only to |
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59 | 59 | | a rate proceeding initiated on or after the effective date of this |
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60 | 60 | | Act. |
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61 | 61 | | SECTION 4. This Act takes effect September 1, 2025. |
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