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Senate Bill 567 |
Senate Author: Watson et al. |
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Effective: 9-1-13 |
House Sponsor: Geren |
Senate Bill 567 transfers on September 1, 2014, from the Texas Commission on Environmental Quality (TCEQ) to the Public Utility Commission of Texas (PUC) the powers, duties, functions, programs, and activities of TCEQ relating to the economic regulation of water and sewer service, including the issuance and transfer of certificates of convenience and necessity, the determination of rates, and the administration of hearings and proceedings involving those matters. The bill sets out procedural provisions relating to the transfer and makes a number of conforming and related changes to the Water Code, Local Government Code, and Special District Local Laws Code.
Senate Bill 567 grants the PUC authority to regulate and supervise the business of each water and sewer utility within its jurisdiction, including ratemaking and other economic regulation, and clarifies that TCEQ retains the authority to regulate water and sewer utilities within its jurisdiction to ensure safe drinking water and environmental protection. The bill authorizes the PUC to delegate to an administrative law judge of the State Office of Administrative Hearings the responsibility and authority to issue interlocutory orders related to interim water rates. The bill establishes that the independent Office of Public Utility Counsel represents the interests of residential and small commercial consumers regarding water rates and services and sets out the office's powers and duties in representing those consumers.
Senate Bill 567 classifies public utilities that provide retail water or sewer utility service as Class A, Class B, or Class C utilities according to the number of taps or connections through which a utility provides service and revises the rate change procedures for utilities based on those classifications.