Bill Text: TX SB1985 | 2017-2018 | 85th Legislature | Introduced
Bill Title: Relating to the revocation or amendment of a certificate of public convenience and necessity for water utilities in a service area.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-03-27 - Referred to Agriculture, Water, & Rural Affairs [SB1985 Detail]
Download: Texas-2017-SB1985-Introduced.html
85R3703 GRM-F | ||
By: Miles | S.B. No. 1985 |
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relating to the revocation or amendment of a certificate of public | ||
convenience and necessity for water utilities in a service area. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 13.254, Water Code, is amended by | ||
amending Subsections (a-3), (a-4), (d), (e), (f), and (g) and | ||
adding Subsection (a-12) to read as follows: | ||
(a-3) Within 90 [ |
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commission determines the petition filed pursuant to Subsection | ||
(a-1) to be administratively complete, the utility commission shall | ||
grant the petition unless the utility commission makes an express | ||
finding that the petitioner failed to satisfy the elements required | ||
in Subsection (a-1) and supports its finding with separate findings | ||
and conclusions for each element based solely on the information | ||
provided by the petitioner and the certificate holder. The utility | ||
commission may grant or deny a petition subject to terms and | ||
conditions specifically related to the service request of the | ||
petitioner and all relevant information submitted by the petitioner | ||
and the certificate holder. In addition, the utility commission | ||
may require an award of compensation as otherwise provided by this | ||
section. | ||
(a-4) Chapter 2001, Government Code, does not apply to any | ||
petition filed under Subsection (a-1). [ |
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(a-12) The utility commission may not grant a petition | ||
received under Subsection (a-5) if, before the 30th day after the | ||
date the landowner files the petition under Subsection (a-5), the | ||
certificate holder demonstrates that the certificate holder, | ||
through planning, design, construction of facilities, or | ||
contractual obligations to serve the tract of land, has made | ||
service available to the tract. On the utility commission's | ||
determination that the certificate holder has made the | ||
demonstration, the utility commission shall inform the petitioner | ||
that: | ||
(1) the tract of land is not eligible for expedited | ||
release under Subsection (a-5); and | ||
(2) the landowner may seek expedited release under | ||
Subsection (a-1) if that subsection is applicable. | ||
(d) A petitioner whose petition under Subsection (a-1) or | ||
(a-5) has been granted shall provide just and adequate [ |
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compensation in accordance with Subsection (g), as determined by | ||
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order following a petition under Subsection (a-1) or (a-5) to | ||
revoke or amend a certificate takes effect on the date the | ||
petitioner pays the compensation or deposits an equal amount into | ||
the registry of the district court under Subsection (f). | ||
(e) The utility commission shall conduct a hearing to | ||
determine [ |
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petitioner under Subsection (a-1) or (a-5) must pay in accordance | ||
with Chapter 2001, Government Code. The utility commission shall | ||
make the determination [ |
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calendar day after the date on which [ |
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(f) If either party to a proceeding following a petition | ||
under Subsection (a-1) or (a-5) appeals the utility commission | ||
order to revoke or amend a certificate or the compensation order, | ||
the [ |
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the utility commission shall be deposited into the registry of the | ||
district court of Travis County pending the outcome of the appeal [ |
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(g) For the purpose of implementing this section, the value | ||
of real property owned and utilized by the retail public utility for | ||
its facilities shall be determined according to the standards set | ||
forth in Chapter 21, Property Code, governing actions in eminent | ||
domain and the value of personal property shall be determined | ||
according to the factors in this subsection. The factors ensuring | ||
that the compensation to a retail public utility is just and | ||
adequate shall include: the amount of the retail public utility's | ||
debt allocable for service to the area in question; the value of the | ||
service facilities of the retail public utility located within the | ||
area in question; the amount of any expenditures for planning, | ||
design, or construction of service facilities that are allocable to | ||
service to the area in question; the amount of the retail public | ||
utility's contractual obligations allocable to the area in | ||
question; any demonstrated impairment of service or increase of | ||
cost to consumers of the retail public utility remaining after the | ||
decertification; the impact of [ |
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professional fees; and other relevant factors. The utility | ||
commission shall adopt rules governing the evaluation of these | ||
factors. | ||
SECTION 2. Section 13.255, Water Code, is amended by | ||
amending Subsections (g) and (l) to read as follows: | ||
(g) For the purpose of implementing this section, the value | ||
of real property owned and utilized by the retail public utility for | ||
its facilities shall be determined according to the standards set | ||
forth in Chapter 21, Property Code, governing actions in eminent | ||
domain; the value of personal property shall be determined | ||
according to the factors in this subsection. The factors ensuring | ||
that the compensation to a retail public utility is just and | ||
adequate, shall, at a minimum, include: impact on the existing | ||
indebtedness of the retail public utility and its ability to repay | ||
that debt, the value of the service facilities of the retail public | ||
utility located within the area in question, the amount of any | ||
expenditures for planning, design, or construction of service | ||
facilities outside the incorporated or annexed area that are | ||
allocable to service to the area in question, the amount of the | ||
retail public utility's contractual obligations allocable to the | ||
area in question, any demonstrated impairment of service or | ||
increase of cost to consumers of the retail public utility | ||
remaining after the single certification, the impact of [ |
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revenues lost [ |
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legal expenses and professional fees, factors relevant to | ||
maintaining the current financial integrity of the retail public | ||
utility, and other relevant factors. | ||
(l) For an area incorporated or annexed by a municipality, | ||
the compensation provided under Subsection (g) shall be determined | ||
by the utility commission in accordance with Chapter 2001, | ||
Government Code [ |
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SECTION 3. Section 13.254(g-1), Water Code, is repealed. | ||
SECTION 4. The change in law made by this Act applies only | ||
to a proceeding affecting a certificate of public convenience and | ||
necessity that commences on or after the effective date of this Act. | ||
A proceeding affecting a certificate of public convenience and | ||
necessity that commenced before the effective date of this Act is | ||
governed by the law in effect on the date the proceeding commenced, | ||
and that law is continued in effect for that purpose. | ||
SECTION 5. This Act takes effect September 1, 2017. |