BILL ANALYSIS C.S.H.B. 1989 By: Rodriguez 4-10-95 Committee Report (Substituted) BACKGROUND Presently, state law allows "state water" to be appropriated, stored or diverted for any "beneficial use" as mandated by the Texas Water Code, Section 11.023(b). This Section outlines the purposes for which water may be appropriated and used. This broad authorization becomes limited if the proposed use of the State water is to "recharge" the portions of the Edwards Aquifer under Kinney, Uvalde, Medina, Bexar, Comal, and Hays Counties as cited in the Texas Water Code, Section 11.023(c)-(d). In that case, the statute sets out certain requirements. Development of new municipal water storage facilities can be achieved in an aquifer much faster than a conventional surface reservoir, which today is estimated to take approximately 20 years. Additionally, the use of aquifers for purposes of storing or recharging State water is in accordance with the State of Texas' initiative to comply with the mandate of the Texas Conservation Amendment (Tex. Const. Art XVI, §59), which constitutes protecting and conserving State water and enhancing and maximizing its beneficial use. PURPOSE The purpose of this Bill is clarify the present ability, under Texas law (1) to put State water to beneficial use, and incident to such purpose store the water in an aquifer, or (2) to use such State water to recharge an aquifer other than those portions of the Edwards Aquifer in Kinney, Uvalde, Medina, Bexar, Comal, and Hays Counties. This Bill does not seek to diminish the effectiveness of current State environmental law, nor does it seek to diminish the authority of underground water districts or the rights of landowners to capture water for beneficial use. Under this new legislation, all existing regulatory protection will remain in place in addition to requiring a permit from the Texas Natural Resource Conservation Commission (TNRCC) for the purpose of appropriating State water for either putting State water to beneficial use (the storing of State water in an aquifer) or for using State water for the recharging of an aquifer other than those portions of the Edwards Aquifer mentioned previously. Also, this Bill will not change existing law with regard to the Edwards Aquifer. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS Section 1. Legislative findings relating to the storage of State water. Section 2. Amends Subchapter D, Chapter 11, Water Code, by adding Sections 11.153, 11.154, and 11.155, which provide as follows: Sec. 11.153.: Provides that the Texas Natural Resource Conservation Commission (TNRCC) will encourage, by temporary or term permitting, pilot projects on storing appropriated water in certain aquifers; provides that the Texas Water Development Board (TWDB) shall participate and may authorize certain money for such projects. Sec. 11.154.: Provides permitting procedures for permits under Section 11.153. Sec. 11.155.: Provides that the TNRCC and the TWDB shall prepare pilot project reports and distribute them to the governor, lieutenant governor, and speaker of the house of representatives; provides that the TWDB shall make studies, investigations, and surveys of other aquifers in which other water may be stored and retrieved for beneficial use; prioritizes such studies, investigations, and surveys; provides that, not later than January 1 of each odd-numbered year, the TWDB shall provide the legislature with a report including information on the progress of pilot and related projects, the results of studies, and the anticipated appropriation from general revenues necessary to investigate other state aquifers during the upcoming biennium. Section 3. Provides that the change in law made by this Act applies to new applications only and does not affect permits already issued by the TNRCC, or applications determined to be administratively complete before the effective date. Section 4. Emergency clause and effective date. COMPARISON OF ORIGINAL TO SUBSTITUTE The Original provided for statewide Aquifer storage and recovery projects and authorized the use of state water for recharge. It also gave the TNRCC authority to issue final permits or amend existing permits. The Substitute does not expressly authorize the use of state water for recharge, but does provide for encouragement of pilot projects on aquifer storage and recovery though temporary and term permitting. The Substitute limits these projects to aquifers in specified counties. The Substitute does not contain guidance criteria for issuance of final permits for storage of water. SUMMARY OF COMMITTEE ACTION H.B.1989 was considered by the committee in a public hearing on March 27, 1995. The committee considered a complete substitute for the bill. No action was taken on the substitute. The following persons testified in favor of the bill: Mr. Ed McCarthy, representing Bexar Medina Atascosa Counties WCID and Bexar Metropolitan Water District; Mr. David J. Davenport, Canyon Regional Water Authority, representing himself; Mr. Louis T. Rosenberg, representing himself, Bexar Metropolitan Water District, and Canyon Regional Water Authority; Mr. John Wendele, General Manager of and representing UGRA; Mr. Paul B. Thornhill, representing himself. The following persons testified against the bill: Mr. Keith Pate, representing Evergreen Underground Water Conservation District; Mr. Scott Holland, Irion County Water Conservation District, representing himself; Mr. Allan J. Lange, representing Lipan-Kickapoo Water Conservation District. The following persons testified on the bill: Mr. Randy Williams, representing Texas Water Development Board; Mr. C.E. Williams, representing Panhandle Ground Water Conservation District; Mr. Richard Bowers, General Manager of and representing North Plains Ground Water Conservation District No.2; Mr. Lee Arrington, representing South Plains Underground Water Conservation District. The bill was referred to the Subcommittee on H.B.1989, a subcommittee consisting of Representatives King, Yost, and Walker, Chair. H.B.1989 was considered by the Subcommittee on H.B.1989 in a public hearing on April 3, 1995. The subcommittee considered a complete substitute for the bill. No action was taken on the substitute. The following persons testified in favor of the bill: Mr. Ed McCarthy, representing BMA and Bexar Met. Water Districts; Mr. John W. Ward III, President of the Board of and representing BMA Water District; Mr. Louis T. Rosenberg, representing himself and Bexar Metropolitan Water District; Mr. David Davenport, Canyon Regional Water Authority, representing himself; Representative Ciro Rodriguez. The following persons testified against the bill: Mr. Allan J. Lange, representing Lipan-Kickapoo Water Conservation District; Mr. Keith Pate, representing Evergreen Underground Water Conservation District; Mr. Lee Arrington, representing South Plains Underground Water Conservation District. The following person testified on the bill: Mr. Paul D. Thornhill, CH2M Hill, representing himself; Dr. Tommy Knowles, representing Texas Water Development Board; Ms. Luana Buckner, representing herself and Medina County Underground Water District; Mr. Richard Bowers, representing North Plains Ground Water Conservation District No.2. The bill was left pending. After being recalled from subcommittee, the bill was considered by the committee in a public hearing on April 10, 1995. The committee considered a complete substitute for the bill. The substitute was adopted without objection. No testimony was received. The bill was reported favorably as substituted, with the recommendation that it do pass and be printed and be sent to the Committee on Local and Consent Calendars, by a record vote of 7 ayes, 0 nays, 0 pnv, 2 absent.