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A BILL TO BE ENTITLED
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AN ACT
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relating to the transfer of functions relating to the economic |
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regulation of water and sewer service from the Public Utility |
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Commission of Texas to the Texas Commission on Environmental |
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Quality. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. (a) Notwithstanding any other law, on September |
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1, 2022, the following are transferred from the Public Utility |
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Commission of Texas to the Texas Commission on Environmental |
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Quality: |
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(1) the powers, duties, functions, programs, and |
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activities of the Public Utility Commission of Texas relating to |
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the economic regulation of water and sewer service, including the |
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issuance and transfer of certificates of convenience and necessity, |
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the determination of rates, and the administration of hearings and |
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proceedings involving those matters, under Chapters 11, 12, and 13, |
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Water Code; |
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(2) any obligations and contracts of the Public |
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Utility Commission of Texas that are directly related to |
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implementing a power, duty, function, program, or activity |
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transferred under this Act; and |
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(3) all property and records in the custody of the |
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Public Utility Commission of Texas that are related to a power, |
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duty, function, program, or activity transferred under this Act and |
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all funds appropriated by the legislature for that power, duty, |
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function, program, or activity. |
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(b) The Texas Commission on Environmental Quality and the |
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Public Utility Commission of Texas shall enter into a memorandum of |
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understanding that: |
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(1) identifies in detail the applicable powers and |
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duties that are transferred by this Act; |
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(2) establishes a plan for the identification and |
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transfer of the records, personnel, property, and unspent |
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appropriations of the Public Utility Commission of Texas that are |
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used for purposes of the commission's powers and duties directly |
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related to the economic regulation of water and sewer service under |
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Chapters 11, 12, and 13, Water Code; and |
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(3) establishes a plan for the transfer of all pending |
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applications, hearings, rulemaking proceedings, and orders |
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relating to the economic regulation of water and sewer service |
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under Chapters 11, 12, and 13, Water Code, from the Public Utility |
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Commission of Texas to the Texas Commission on Environmental |
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Quality. |
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(c) The memorandum of understanding under this section is |
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not required to be adopted by rule under Section 5.104, Water Code. |
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(d) The executive directors of the Texas Commission on |
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Environmental Quality and the Public Utility Commission of Texas |
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may agree in the memorandum of understanding under this section to |
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transfer to the Texas Commission on Environmental Quality any |
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personnel of the Public Utility Commission of Texas whose functions |
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predominantly involve powers, duties, obligations, functions, and |
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activities related to the economic regulation of water and sewer |
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service under Chapters 11, 12, and 13, Water Code. |
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(e) The Texas Commission on Environmental Quality and the |
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Public Utility Commission of Texas shall periodically update the |
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Office of Public Utility Counsel on the anticipated contents of the |
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memorandum of understanding under this section during the |
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development of the memorandum. |
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(f) The Texas Commission on Environmental Quality and the |
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Public Utility Commission of Texas shall appoint a transition team |
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to accomplish the purposes of this section. The transition team may |
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consult with the Office of Public Utility Counsel to accomplish the |
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purposes of this section. |
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(g) A rule, form, policy, procedure, or decision of the |
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Public Utility Commission of Texas related to a power, duty, |
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function, program, or activity transferred under this Act continues |
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in effect as a rule, form, policy, procedure, or decision of the |
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Texas Commission on Environmental Quality and remains in effect |
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until amended or replaced by that agency. |
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(h) The memorandum required by this section must be |
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completed by August 1, 2022. |
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(i) The Public Utility Commission of Texas and the Texas |
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Commission on Environmental Quality shall adopt rules to implement |
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the transfer of powers, duties, functions, programs, and activities |
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as described by this Act not later than September 1, 2023. |
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SECTION 2. This Act takes effect September 1, 2021. |