BILL ANALYSIS
C.S.S.B. 953
By: Truan
Water
4-13-95
Committee Report (Substituted)
BACKGROUND
Colonias provide an affordable housing alternative while promoting
a positive community atmosphere. However, few homes in colonias
are being connected to adequate drinking water and wastewater
systems.
The Economically Distressed Areas Program (EDAP) was created to
correct this situation. Also, Certificates of Convenience and
Necessity (CCN) are elements of this solution. They are grants of
exclusive monopoly authority to provide utility service to a
particular area. Cities and water districts are not required to
have CCNs within their boundaries, but water supply corporations
depend on these state-issued certificates. The system for granting
of CCNs, under current law, is coordinated with neither the EDAP
program nor any regional service plan, which has led to problems
with overlapping utility service areas and contested cases over
certificate issuance, both of which delay colonias projects and
drain program resources.
PURPOSE
As proposed, S.B. 953 makes provisions for the regional planning of
water supply or sewer services to an area eligible for economically
distressed area program financial assistance.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is granted
to the Texas Water Development Board under SECTION 3 (Section
17.956, Water Code) of this bill.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 13.244, Water Code, by adding Subsection
(d), to require each applicant for a certificate for an area
eligible for financial assistance under Chapter 17K to file
evidence with the Texas Water Commission (TWC) that the applicant's
proposed water supply or sewer services have been certified as
consistent with regional water supply and sewer service (water
service) planning under Section 17.952. Provides that this
subsection does not apply to an applicant for a certificate for an
area located in a region described by Section 17.958.
SECTION 2. Amends Section 13.246, Water Code, by adding Subsections
(d)-(e), as follows:
(d) Requires TWC to deny an application for a certificate to
serve an area eligible for financial assistance, unless the
application is certified to be consistent with regional water
service planning. Provides that this subsection does not
apply to an applicant for a certificate for an area located in
a region described by Section 17.958.
(e) Requires TWC to deny an application if the area is
included in a certificate held by a retail public utility
indebted to the U.S. government under certain federal
programs.
SECTION 3. Amends Chapter 17, Water Code, by adding Subchapter L,
as follows:
SUBCHAPTER L. REGIONAL PLANNING OF WATER AND SEWER SERVICES
Sec. 17.951. DEFINITION. Defines "hazardous flood zone."
Sec. 17.952. WATER SUPPLY AND SEWER SERVICE CERTIFICATION.
(a) Requires a person proposing to supply water services
within an economically distressed area eligible for financial
assistance to apply to the regional planning commission
(regional commission) created for the area under Chapter 391,
Local Government Code, for certification that the proposed
water services do not conflict with any regional water
service plan or policy.
(b) Requires the applicant, within 10 days of making
application, to publish and mail to specific parties notice
of the application, containing a request that objections to
the application be delivered to the regional commission.
(c) Authorizes the regional commission, if it receives no
requests within 30 days of the notice's publication and
mailing, to certify without a hearing that the services are
consistent with regional service planning.
(d) Requires the regional commission, if it receives an
objection within 30 days of the notice's publication or
mailing, to set a public hearing on the application.
Requires the regional commission to provide notice of the
hearing.
(e) Authorizes the regional commission to combine hearings
on competing proposals for water services after notice is
given.
(f) Authorizes the regional commission to consider written
testimony concerning an objection to the proposed services.
Requires the commission to make written testimony available
for public examination.
(g) Authorizes the regional commission to call a recess to
allow for negotiation of a settlement of any issue and to
provide mediation services to negotiating parties.
(h) Requires the regional commission, in determining whether
the proposal is consistent with regional planning, to
consider certain factors.
(i) Requires the regional commission to certify a proposed
plan as consistent with regional planning if the proposed
plan existed before September 1, 1995, and any portion of
the plan was financed, constructed, or providing services
before September 1, 1995.
(j) Requires TWC and the Texas Water Development Board
(board) to assist the regional commission in conducting the
hearing, evaluating proposals and testimony, and
coordinating negotiation or mediation.
(k) Provides that this section does not apply to water
services proposed for an area not served by a regional
commission created under Chapter 391, Local Government Code.
Sec. 17.953. COORDINATION OF REGIONAL WATER SUPPLY AND SEWER
SERVICES IN CERTAIN AREAS. (a) Requires a regional commission
created under Chapter 391, Local Government Code, whose region
contains an area eligible for assistance under Chapter 17K, to
coordinate water service planning in the area.
(b) Requires the regional commission to assess and foster
opportunities to address inadequate water services by
cooperation of political subdivisions; with a single,
regionwide, water and sewer development policy; and through
peer review to enhance the efficiency and quality of
proposals for water service projects.
(c) Requires the regional commission to assist and advise a
political subdivision applying for assistance to construct
a water service project in the eligible area.
(d) Requires TWC and the board to assist the regional
commission by training and advising it in performing its
duties under this subchapter.
Sec. 17.954. RELOCATION FINANCING. Authorizes the board to
use certain funds in the economically distressed areas account
to provide assistance to a regional commission that undertakes
to relocate individuals who are living in a hazardous flood
zone within an economically distressed area. Authorizes the
funds to be used to purchase property in a hazardous flood
zone and to relocate individuals living in the flood zone.
Sec. 17.955. REIMBURSEMENT FOR REGIONAL PLANNING EXPENSES.
Requires the board to use certain money in the economically
distressed areas account to reimburse a regional commission,
upon application, for expenses incurred in performing its
duties under this subchapter.
Sec. 17.956. APPLICATIONS AND CONSIDERATIONS FOR RELOCATION
AND REIMBURSEMENT COSTS. (a) Requires the board to adopt
rules which identify the form and substance of an application
for assistance under Section 17.954.
(b) Requires the board to adopt rules which identify the
form and substance of an application for reimbursement of
the expenses incurred by a regional commission in performing
its duties under this subchapter.
Sec. 17.957. COORDINATION OF PRESENTATIONS TO BORDER
ENVIRONMENTAL COOPERATION COUNCIL. Authorizes a regional
commission to coordinate and facilitate presentations to the
Border Environmental Cooperation Council concerning area water
supply and wastewater issues.
Sec. 17.958. APPLICABILITY. Provides that this chapter does
not apply to a proposal to supply water or sewer services in
a region for which a regional planning commission was created
under Chapter 391, Local Government Code, if the planning
commission's region includes a county that is located on an
international border and has a population of more than
575,000.
SECTION 4. Effective date: September 1, 1995.
SECTION 5. Emergency clause.