BILL ANALYSIS Senate Research Center S.B. 863 89R5697 JBD-F By: Perry Water, Agriculture and Rural Affairs 4/2/2025 As Filed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT In 1993, the 73rd Legislature enacted S.B. 1477 creating the Edwards Aquifer Authority (EAA) to, in relevant part, regulate groundwater withdrawals from the environmentally sensitive Edwards Aquifer. Among the restrictions placed on the use of Edwards Aquifer water was a general prohibition against use of water withdrawn from the aquifer outside the EAA's jurisdiction. Certain utilities straddle the edge of the EAA's jurisdiction, serving territory both within and just outside of the EAA. These utilities serve certificated areas instituted by certificates of convenience and necessity authorized under state law prior to the creation of the EAA, and have historically used water withdrawn from Edwards Aquifer wells within the parts of their certificated areas located outside the EAA's boundary. Generally speaking, these utilities do not have the technical capability or resources to easily separate water withdrawn from within EAA jurisdiction from the portions of their systems located outside the EAA without significantly raising rates. The subdivision of their certificated areas by the EAA boundary, and the undue burden that came with it, was essentially a legislative oversight that has resulted in these utilities inadvertently violating state law for over three decades. S.B. 863 resolves the oversight by authorizing the affected utilities to use Edwards Aquifer water within their certificated areasincluding the territory outside EAA jurisdictionas those areas currently exist, provided any part of the certificated area was located within EAA jurisdiction on the day the EAA became operational: June 28, 1996. As proposed, S.B. 863 amends current law relating to the use of water withdrawn from the Edwards Aquifer. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 1.34(b), Chapter 626, Acts of the 73rd Legislature, Regular Session, 1993, as follows: (b) Requires that water withdrawn from the Edwards Aquifer be used within certain areas, including the certificated area of a retail public utility according to a certificate of convenience and necessity, as the certificate existed on September 1, 2025, any part of which was located within the boundaries of the authority on June 28, 1996. Makes nonsubstantive changes. SECTION 2. Effective date: September 1, 2025.
BILL ANALYSIS
Senate Research Center S.B. 863
89R5697 JBD-F By: Perry
Water, Agriculture and Rural Affairs
4/2/2025
As Filed
Senate Research Center
S.B. 863
89R5697 JBD-F
By: Perry
Water, Agriculture and Rural Affairs
4/2/2025
As Filed
AUTHOR'S / SPONSOR'S STATEMENT OF INTENT
In 1993, the 73rd Legislature enacted S.B. 1477 creating the Edwards Aquifer Authority (EAA) to, in relevant part, regulate groundwater withdrawals from the environmentally sensitive Edwards Aquifer. Among the restrictions placed on the use of Edwards Aquifer water was a general prohibition against use of water withdrawn from the aquifer outside the EAA's jurisdiction.
Certain utilities straddle the edge of the EAA's jurisdiction, serving territory both within and just outside of the EAA. These utilities serve certificated areas instituted by certificates of convenience and necessity authorized under state law prior to the creation of the EAA, and have historically used water withdrawn from Edwards Aquifer wells within the parts of their certificated areas located outside the EAA's boundary.
Generally speaking, these utilities do not have the technical capability or resources to easily separate water withdrawn from within EAA jurisdiction from the portions of their systems located outside the EAA without significantly raising rates. The subdivision of their certificated areas by the EAA boundary, and the undue burden that came with it, was essentially a legislative oversight that has resulted in these utilities inadvertently violating state law for over three decades.
S.B. 863 resolves the oversight by authorizing the affected utilities to use Edwards Aquifer water within their certificated areasincluding the territory outside EAA jurisdictionas those areas currently exist, provided any part of the certificated area was located within EAA jurisdiction on the day the EAA became operational: June 28, 1996.
As proposed, S.B. 863 amends current law relating to the use of water withdrawn from the Edwards Aquifer.
RULEMAKING AUTHORITY
This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 1.34(b), Chapter 626, Acts of the 73rd Legislature, Regular Session, 1993, as follows:
(b) Requires that water withdrawn from the Edwards Aquifer be used within certain areas, including the certificated area of a retail public utility according to a certificate of convenience and necessity, as the certificate existed on September 1, 2025, any part of which was located within the boundaries of the authority on June 28, 1996. Makes nonsubstantive changes.
SECTION 2. Effective date: September 1, 2025.