1-1 By: Lewis of Orange (Senate Sponsor - Nixon) H.B. No. 1935
1-2 (In the Senate - Received from the House May 15, 1995;
1-3 May 17, 1995, read first time and referred to Committee on Natural
1-4 Resources; May 19, 1995, reported favorably by the following vote:
1-5 Yeas 10, Nays 0; May 19, 1995, sent to printer.)
1-6 A BILL TO BE ENTITLED
1-7 AN ACT
1-8 relating to single certification of an area served by a
1-9 municipality and certain retail public utilities.
1-10 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11 SECTION 1. Section 13.255(j), Water Code, is amended to read
1-12 as follows:
1-13 (j) This section shall apply only in a case where:
1-14 (1) the retail public utility that is authorized to
1-15 serve in the certificated area that is annexed or incorporated by
1-16 the municipality is a nonprofit water supply or sewer service
1-17 corporation or a special utility district under Chapter 65, Water
1-18 Code; or
1-19 (2) the retail public utility that is authorized to
1-20 serve in the certificated area that is annexed or incorporated by
1-21 the municipality is a retail public utility, other than a nonprofit
1-22 water supply or sewer service corporation, and whose service area
1-23 is located entirely within the boundaries of a municipality with a
1-24 population of 1.7 million or more according to the most recent
1-25 federal census.
1-26 SECTION 2. Section 13.255, Water Code, is amended by adding
1-27 Subsection (l) to read as follows:
1-28 (l) The compensation provided under Subsection (g) shall be
1-29 determined by a qualified individual or firm to serve as
1-30 independent appraiser, who shall be selected by the affected retail
1-31 public utility. The determination of compensation by the
1-32 independent appraiser shall be binding on the commission. The
1-33 costs of the independent appraiser shall be borne by the
1-34 municipality.
1-35 SECTION 3. Section 13.255, Water Code, is amended by adding
1-36 Subsection (m) to read as follows:
1-37 (m) The commission shall deny an application for single
1-38 certification by a municipality that fails to demonstrate
1-39 compliance with the commission's minimum requirements for public
1-40 drinking water systems.
1-41 SECTION 4. Section 13.255(g), Water Code, is amended to read
1-42 as follows:
1-43 (g) For the purpose of implementing this section, the value
1-44 of real property shall be determined <by the commission and/or the
1-45 court> according to the standards set forth in Chapter 21, Property
1-46 Code, governing actions in eminent domain; the value of personal
1-47 property shall be determined according to the <rules to be
1-48 promulgated by the commission pursuant to the> factors in this
1-49 subsection. The factors ensuring <Such rules shall assure> that
1-50 the compensation to a retail public utility for the taking, <and>
1-51 damaging, and/or loss of personal property, including the retail
1-52 public utility's business, is just and adequate, <and> shall, at a
1-53 minimum, include <take into account the following factors>: impact
1-54 on the existing indebtedness of the retail public utility and its
1-55 ability to repay that debt, the value of the service facilities
1-56 <personal and real property> of the retail public utility located
1-57 within the area in question, the amount of any expenditures for
1-58 planning, design, or construction of service facilities outside the
1-59 incorporated or annexed area that are allocable to service to the
1-60 area in question, the amount of the retail public utility's
1-61 contractual obligations allocable to the area in question, any
1-62 demonstrated impairment of service or increase of cost to consumers
1-63 of the retail public utility remaining after the single
1-64 certification, the impact on future revenues and expenses of the
1-65 retail public utility, necessary and reasonable legal expenses and
1-66 professional fees, factors relevant to maintaining the current
1-67 financial integrity of the retail public utility, and other
1-68 relevant factors.
2-1 SECTION 5. The importance of this legislation and the
2-2 crowded condition of the calendars in both houses create an
2-3 emergency and an imperative public necessity that the
2-4 constitutional rule requiring bills to be read on three several
2-5 days in each house be suspended, and this rule is hereby suspended,
2-6 and that this Act take effect and be in force from and after its
2-7 passage, and it is so enacted.
2-8 * * * * *