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AN ACT
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relating to the appeal of rates for water or sewer service charged |
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to certain customers of a municipality. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 13.043, Water Code, is amended by |
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amending Subsection (b) and adding Subsection (b-4) to read as |
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follows: |
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(b) Ratepayers of the following entities may appeal the |
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decision of the governing body of the entity affecting their water, |
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drainage, or sewer rates to the utility commission: |
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(1) a nonprofit water supply or sewer service |
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corporation created and operating under Chapter 67; |
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(2) a utility under the jurisdiction of a municipality |
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inside the corporate limits of the municipality; |
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(3) a municipally owned utility, if the ratepayers |
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reside outside the corporate limits of the municipality, including |
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a decision of a governing body that results in an increase in rates |
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when the municipally owned utility takes over the provision of |
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service to ratepayers previously served by another retail public |
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utility; |
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(4) a district or authority created under Article III, |
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Section 52, or Article XVI, Section 59, of the Texas Constitution |
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that provides water or sewer service to household users; and |
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(5) a utility owned by an affected county, if the |
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ratepayer's rates are actually or may be adversely affected. For |
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the purposes of this section ratepayers who reside outside the |
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boundaries of the district or authority shall be considered a |
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separate class from ratepayers who reside inside those boundaries. |
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(b-4) Subsection (b)(3) does not apply to a municipally |
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owned utility that takes over the provision of service to |
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ratepayers previously served by another retail public utility if |
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the municipally owned utility: |
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(1) takes over the service at the request of the |
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ratepayer; |
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(2) takes over the service in the manner provided by |
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Subchapter H; or |
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(3) is required to take over the service by state law, |
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an order of the commission, or an order of the utility commission. |
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SECTION 2. (a) Notwithstanding Section 13.043(c), Water |
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Code, a ratepayer described by Section 13.043(b), Water Code, as |
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amended by this Act, may use the appeal process in Section 13.043, |
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Water Code, to appeal increased rates charged to the ratepayer by a |
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municipally owned utility by filing a petition for review with the |
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Public Utility Commission of Texas and the municipally owned |
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utility not later than December 1, 2021, if the municipally owned |
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utility began providing service to the ratepayer on or after |
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September 1, 2016. |
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(b) Subsection (a) of this section applies only to rates |
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that the municipally owned utility has not changed since the |
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municipally owned utility began providing service to the ratepayer. |
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SECTION 3. This Act takes effect September 1, 2021. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I hereby certify that S.B. No. 387 passed the Senate on |
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April 9, 2021, by the following vote: Yeas 31, Nays 0. |
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______________________________ |
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Secretary of the Senate |
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I hereby certify that S.B. No. 387 passed the House on |
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May 23, 2021, by the following vote: Yeas 143, Nays 2, two present |
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not voting. |
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______________________________ |
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Chief Clerk of the House |
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Approved: |
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______________________________ |
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Date |
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______________________________ |
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Governor |