BILL ANALYSIS

Senate Research Center	H.B. 3750
87R13421 JXC-D	By: Lucio III; Guillen (Lucio)
	Water, Agriculture & Rural Affairs
	5/20/2021
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The economically distressed areas program (EDAP) administered by the Texas Water Development Board provides financial assistance to projects serving economically distressed areas where water or sewer services do not exist or fail to meet minimum standards.

However, the program does not currently provide assistance for backup generators in these areas for public water supply and sanitary sewer systems, which would help to keep critical water infrastructure online during power outages in high-need communities.

H.B. 3750 seeks to remedy this situation by providing financial assistance, using EDAP funds, to economically distressed areas for the costs associated with backup power generators for facilities of public water supply and sanitary sewer systems.

H.B. 3750 amends current law relating to financial assistance by the Texas Water Development Board for backup power generators in economically distressed areas for public water supply and sanitary sewer systems.

RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to Texas Water Development Board in SECTION 1 (Section 17.9227, Water Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Subchapter K, Chapter 17, Water Code, by adding Section 17.9227, as follows:

Sec. 17.9227. GENERATORS TO SUPPORT WATER SUPPLY AND SEWER SERVICE. (a) Provides that the legislature finds that it is in the public interest to use funds in the economically distressed areas account to provide financial assistance for the costs associated with backup power generators for facilities of public water supply and sanitary sewer systems.

(b) Authorizes a political subdivision to use financial assistance to pay for the installation, maintenance, operation, and fueling of a backup power generator for a facility of a public water supply and sanitary sewer system.

(c) Requires that assistance under this section only be provided to political subdivisions that demonstrate an inability to pay for the installation, maintenance, operation, and fueling of a backup power generator described by Subsection (b) in accordance with board rules. Authorizes the Texas Water Development Board (TWDB), if TWDB determines that a political subdivision to which assistance has been provided is ineligible to receive the assistance, to seek reimbursement from the political subdivision.

(d)� Requires TWDB to adopt rules to implement this section.

SECTION 2. Effective date: September 1, 2021.