By: Flores S.B. No. 2161
(In the Senate - Filed March 10, 2025; March 24, 2025, read
first time and referred to Committee on Water, Agriculture and
Rural Affairs; April 15, 2025, reported adversely, with favorable
Committee Substitute by the following vote: Yeas 7, Nays 0;
April 15, 2025, sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 2161 By: Hancock
A BILL TO BE ENTITLED
AN ACT
relating to expenses incurred in the appeal of rates for water or
sewer service charged to certain customers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 13.043, Water Code, is amended by adding
Subsection (e-1) to read as follows:
(e-1) A ratepayer of a municipally owned utility who resides
outside the corporate limits of the municipality and is represented
by an attorney may allege that rates prescribed by the municipally
owned utility are excessive and, if the ratepayer is a prevailing
party in a proceeding for review of the municipally owned utility's
rates, and the regulatory authority finds that a rate increase by
the municipally owned utility had no basis in fact or law, in the
same action the ratepayer may recover reasonable fees for attorneys
and expert witnesses and other costs incurred for the proceeding by
the ratepayer. The amount of the attorney's fees shall be fixed by
the utility commission.
SECTION 2. The changes in law made by this Act apply only to
an appeal under Section 13.043(b), Water Code, that is filed on or
after the effective date of this Act. An appeal that is filed
before the effective date of this Act is governed by the law in
effect on the date the appeal was filed, and the former law is
continued in effect for that purpose.
SECTION 3. This Act takes effect September 1, 2025.
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