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A BILL TO BE ENTITLED
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AN ACT
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relating to the establishment of a grant program to plug leaking |
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water wells in certain counties; making an appropriation. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 28, Water Code, is amended by adding |
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Subchapter E to read as follows: |
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SUBCHAPTER E. LEAKING WATER WELLS GRANT PROGRAM |
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Sec. 28.101. DEFINITIONS. In this subchapter: |
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(1) "District" means a district or authority created |
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under Section 52, Article III, or Section 59, Article XVI, Texas |
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Constitution, that has the authority to regulate the spacing of |
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water wells, the production of water wells, or both. |
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(2) "Fund" means the leaking water wells fund created |
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under Section 28.103. |
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(3) "Program" means the leaking water wells program |
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established under Section 28.104. |
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Sec. 28.102. APPLICABILITY OF SUBCHAPTER. This subchapter |
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applies only to a district in a county that: |
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(1) has a population of 16,000 or less; and |
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(2) is adjacent to at least seven counties with |
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populations of less than 15,000. |
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Sec. 28.103. LEAKING WATER WELLS FUND. (a) The leaking |
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water wells fund is created as a fund in the state treasury outside |
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the general revenue fund. |
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(b) The fund consists of: |
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(1) money appropriated, credited, or transferred to |
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the fund by the legislature; |
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(2) gifts or grants contributed to the fund; and |
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(3) interest earned on deposits and investments of the |
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fund. |
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(c) Interest earned on money deposited to the credit of the |
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fund is exempt from Section 404.071, Government Code. Interest |
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earned on money in the fund shall be retained in the fund. |
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(d) The fund may be used only to implement the program |
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established under Section 28.104, including the costs of program |
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administration and operation. |
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Sec. 28.104. LEAKING WATER WELLS PROGRAM. The commission |
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shall establish and administer the leaking water wells program to |
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plug leaking water wells. Under the program, the commission shall |
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provide grants to districts for eligible projects to offset the |
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cost of plugging leaking water wells. |
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Sec. 28.105. APPLICATION FOR GRANT. (a) A district may |
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apply for and receive a grant for an eligible project under the |
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program. |
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(b) An application for a grant under this subchapter must be |
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made on a form provided by the commission and must contain the |
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information required by the commission. |
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Sec. 28.106. ELIGIBILITY OF PROJECTS FOR GRANTS; |
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PRIORITIZATION. (a) To be eligible for a grant for a project, a |
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district must: |
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(1) demonstrate that the project includes a leaking |
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water well: |
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(A) that: |
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(i) is located within 2,000 feet of a |
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drinking water well, a water well for livestock or irrigation, or a |
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sensitive wildlife area; or |
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(ii) has seasonal or annual flow to the |
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surface, or a hydrological connection to surface water, including a |
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waterway, intermittent stream, or springs system; and |
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(B) of which: |
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(i) the plug, casing, completion interval, |
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or general integrity is known by the district to be deficient; or |
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(ii) the completion interval is |
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sufficiently proximate to other known intervals or pressurized |
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zones with high concentrations of salinity, chlorides, sulfides, or |
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other hazardous or toxic components; |
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(2) obtain any necessary approval from a surface owner |
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for access to the property where the leaking water well is located; |
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and |
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(3) as necessary and subject to Subsection (b), engage |
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in a bid process to select and hire a contractor or subcontractor to |
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perform the work. |
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(b) Notwithstanding any other law, a contract for work on a |
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project for which a grant is provided under the program: |
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(1) must be awarded to a contractor or subcontractor |
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selected from a list of approved well pluggers maintained by the |
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Railroad Commission of Texas; and |
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(2) may be awarded to the contractor or subcontractor |
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whose bid or proposal the recipient of the grant determines |
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provides the best value for the recipient based on the selection |
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criteria published by the recipient. |
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(c) The commission by rule shall establish criteria for |
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prioritizing projects eligible to receive a grant under the |
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program. |
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Sec. 28.107. RESTRICTION ON USE OF GRANT. (a) A recipient |
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of a grant provided under the program may use the grant only to pay |
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the cost of the project for which the grant is provided. A recipient |
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may not use the grant to pay administrative costs associated with |
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the project. |
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(b) A leaking water well plugged under the program must be |
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permanently plugged. The commission, in consultation with the |
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Railroad Commission of Texas, shall establish criteria for ensuring |
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that a well is permanently plugged. |
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(c) The amount of a grant provided under the program that is |
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not spent for the completion of a project must be returned to the |
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commission for deposit to the credit of the fund. |
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SECTION 2. The amount of $40 million is appropriated from |
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the general revenue fund to the comptroller of public accounts for |
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the purpose of transferring that amount immediately to the credit |
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of the leaking water wells fund, as created by this Act. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2023. |