Bill Text: TX SB1612 | 2013-2014 | 83rd Legislature | Engrossed
Bill Title: Relating to the authority of certain municipalities to provide water and sewer service to areas within the municipal boundaries without obtaining a certificate of public convenience and necessity.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed - Dead) 2013-05-16 - No action taken in committee [SB1612 Detail]
Download: Texas-2013-SB1612-Engrossed.html
By: Zaffirini | S.B. No. 1612 |
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relating to the authority of certain municipalities to provide | ||
water and sewer service to areas within the municipal boundaries | ||
without obtaining a certificate of public convenience and | ||
necessity. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subsection (a), Section 13.247, Water Code, is | ||
amended to read as follows: | ||
(a) If an area is within the boundaries of a municipality, | ||
all retail public utilities certified or entitled to certification | ||
under this chapter to provide service or operate facilities in that | ||
area may continue and extend service in its area of public | ||
convenience and necessity within the area pursuant to the rights | ||
granted by its certificate and this chapter, unless the | ||
municipality exercises its power of eminent domain to acquire the | ||
property of the retail public utility under Subsection (d). Except | ||
as provided by Section 13.2476 or 13.255, a municipally owned or | ||
operated utility may not provide retail water and sewer utility | ||
service within the area certificated to another retail public | ||
utility without first having obtained from the commission a | ||
certificate of public convenience and necessity that includes the | ||
areas to be served. | ||
SECTION 2. Subchapter G, Chapter 13, Water Code, is amended | ||
by adding Section 13.2476 to read as follows: | ||
Sec. 13.2476. CERTIFICATES OF PUBLIC CONVENIENCE AND | ||
NECESSITY TO PROVIDE WATER AND SEWER SERVICE IN CERTAIN | ||
MUNICIPALITIES. (a) This section applies only to a municipality: | ||
(1) with a population of less than 50,000; and | ||
(2) that has an area within the boundaries of the | ||
municipality that is certificated to an investor-owned utility that | ||
provides water and sewer service through 10,000 or more taps or | ||
connections inside and outside the municipality. | ||
(b) A municipality may provide water and sewer service to an | ||
area entirely within the municipality's boundaries without first | ||
having to obtain from the commission a certificate of public | ||
convenience and necessity that includes the area to be served, | ||
regardless of whether the area to be served is certificated to a | ||
public utility. | ||
(c) Not less than 30 days before the municipality begins | ||
providing water or sewer service to an area certificated to a public | ||
utility, the municipality shall provide notice to the utility and | ||
the commission of its intention to provide service to the area. | ||
(d) On receipt of the notice required by Subsection (c), a | ||
public utility may: | ||
(1) petition the commission to decertify its | ||
certificate for the area to be served by the municipality; or | ||
(2) discontinue service to the area to be served by the | ||
municipality. | ||
(e) This section may not be construed to limit the right of a | ||
public utility to provide service in an area certificated to the | ||
utility. | ||
(f) This section does not expand a municipality's power of | ||
eminent domain under Chapter 21, Property Code. | ||
SECTION 3. As soon as practicable after the effective date | ||
of this Act, the Texas Commission on Environmental Quality shall | ||
adopt rules and establish procedures relating to the notice | ||
required under Section 13.2476, Water Code, as added by this Act. | ||
SECTION 4. This Act takes effect September 1, 2013. |