89R3929 SCF-D By: Hinojosa of Hidalgo S.B. No. 448 A BILL TO BE ENTITLED AN ACT relating to certain cost sharing requirements for a desalination facility operating under a public-private partnership. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter B, Chapter 2267, Government Code, is amended by adding Section 2267.067 to read as follows: Sec. 2267.067. COST SHARING REQUIREMENTS FOR CERTAIN QUALIFYING PROJECTS. (a) Subject to Subsection (b), a comprehensive agreement or service contract for a qualifying project authorizing the operation of a desalination facility, including a brackish water desalination facility, shall require a private entity to pay at least 50 percent of the energy costs to operate the facility. (b) This section applies only after a desalination facility charges the first customer for water produced by the facility. SECTION 2. Section 2267.067, Government Code, as added by this Act, applies only to a comprehensive agreement or service contract executed for a qualifying project authorizing the operation of a desalination facility that begins charging customers for water produced by the facility on or after the effective date of this Act. A comprehensive agreement or service contract executed for the operation of a desalination facility that began charging customers for water produced by the facility before the effective date of this Act is governed by the law in effect on the date the agreement or contract was entered into, and the former law is continued in effect for that purpose. SECTION 3. This Act takes effect September 1, 2025.