1-1 By: Rodriguez, et al. (Senate Sponsor - Madla) H.B. No. 1989 1-2 (In the Senate - Received from the House May 1, 1995; 1-3 May 2, 1995, read first time and referred to Committee on Natural 1-4 Resources; May 8, 1995, reported adversely, with favorable 1-5 Committee Substitute by the following vote: Yeas 9, Nays 0; 1-6 May 8, 1995, sent to printer.) 1-7 COMMITTEE SUBSTITUTE FOR H.B. No. 1989 By: Armbrister 1-8 A BILL TO BE ENTITLED 1-9 AN ACT 1-10 relating to the underground storage of appropriated water 1-11 incidental to a beneficial use. 1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-13 SECTION 1. The legislature finds that: 1-14 (1) the underground storage of appropriated water, 1-15 incidental to a beneficial use, is a beneficial use of water; 1-16 (2) the use of aquifers for storage of appropriated 1-17 water: 1-18 (A) enhances the conservation and protection of 1-19 appropriated water by minimizing seepage and evaporation losses; 1-20 (B) reduces the incidental environmental impacts 1-21 associated with the construction of conventional water storage 1-22 facilities such as aboveground reservoirs; and 1-23 (C) enhances and protects groundwater resources; 1-24 (3) the underground storage of appropriated water 1-25 maximizes the conservation and beneficial use of water resources; 1-26 (4) the storage of appropriated water in aquifers 1-27 recognizes existing property rights, including the rights of a 1-28 landowner in groundwater; 1-29 (5) the storage of appropriated water in aquifers 1-30 recognizes the authority and jurisdiction of an underground water 1-31 conservation district; 1-32 (6) the use of aquifers for storage of appropriated 1-33 water may reduce a portion of the economic burden on taxpayers and 1-34 utility ratepayers associated with the construction of conventional 1-35 water storage facilities; 1-36 (7) the successful storage of appropriated water 1-37 underground has been demonstrated in Kerr County by the Upper 1-38 Guadalupe River Authority in the Hosston-Sligo Aquifer; and 1-39 (8) the Texas Natural Resource Conservation Commission 1-40 and the Texas Water Development Board are encouraged to evaluate 1-41 additional aquifers within the state to identify the potential for 1-42 storage of appropriated water underground to maximize and enhance 1-43 the future availability and beneficial use of the water resources 1-44 of the state. 1-45 SECTION 2. Subchapter D, Chapter 11, Water Code, is amended 1-46 by adding Sections 11.153, 11.154, and 11.155 to read as follows: 1-47 Sec. 11.153. PILOT PROJECTS FOR STORAGE OF APPROPRIATED 1-48 WATER IN AQUIFERS. (a) The commission shall investigate the 1-49 feasibility of storing appropriated water in various types of 1-50 aquifers around the state by encouraging the issuance of temporary 1-51 or term permits for pilot demonstration projects for the storage of 1-52 appropriated water for subsequent retrieval and beneficial use in 1-53 the following aquifers in the specified counties: 1-54 (1) the Anacacho, Austin Chalk, and Glen Rose 1-55 Limestone aquifers in Bexar County and Medina County; 1-56 (2) the Carrizo-Wilcox aquifer in Bexar, Smith, Wood, 1-57 Rains, and Van Zandt counties; 1-58 (3) the Hickory and Ellenberger aquifers in Gillespie 1-59 County; and 1-60 (4) the Gulf Coast aquifer in Cameron and Hidalgo 1-61 counties. 1-62 (b) A permit described by Subsection (a) must be for only 1-63 the duration of the pilot project to provide the commission and the 1-64 board further opportunity to evaluate the storage of appropriated 1-65 water in aquifers for subsequent retrieval and beneficial use. 1-66 (c) At the conclusion of a pilot project, a permit holder 1-67 may file an appropriate application for a permit or permit 1-68 amendment. After considering the success of the project and the 2-1 criteria set out in Section 11.154, the commission shall determine 2-2 whether to issue a permit or permit amendment authorizing the 2-3 continued storage of appropriated water in the aquifer. 2-4 (d) A final order granting a permit or amendment to a permit 2-5 authorizing the storage of appropriated water in aquifers for 2-6 subsequent beneficial use, other than for the pilot projects 2-7 authorized by this section, may not be issued before June 1, 1999. 2-8 (e) The board shall participate in the study of the pilot 2-9 projects authorized by Subsection (a). The pilot projects are 2-10 eligible for grants from the water loan assistance fund established 2-11 by Section 15.101. The board may authorize use of money from the 2-12 research and planning fund established by Section 15.402 to 2-13 participate in the study of pilot projects. 2-14 Sec. 11.154. PERMITS TO STORE APPROPRIATED WATER IN 2-15 AQUIFERS. (a) An application filed with the commission to 2-16 undertake a pilot project under Section 11.153 must include: 2-17 (1) the information required for an application for a 2-18 permit or permit amendment to appropriate state water; 2-19 (2) all information required for an application for a 2-20 permit for a Class V injection well without requiring a separate 2-21 hearing or notice; and 2-22 (3) a map or plat showing the injection facility and 2-23 the aquifer in which the water will be stored. 2-24 (b) If the application is for a permit or permit amendment 2-25 to store appropriated water in an underground water reservoir or a 2-26 subdivision of an underground water reservoir, as defined by 2-27 Chapter 52, that is under the jurisdiction of an underground water 2-28 conservation district: 2-29 (1) the applicant shall: 2-30 (A) provide a copy of the application to each 2-31 underground water conservation district that has jurisdiction over 2-32 the reservoir or subdivision; 2-33 (B) cooperate with the districts that have 2-34 jurisdiction over the reservoir or subdivision to ensure compliance 2-35 with the rules of each district; 2-36 (C) cooperate with each district that has 2-37 jurisdiction over the reservoir or subdivision to develop rules 2-38 regarding the injection, storage, and withdrawal of appropriated 2-39 water stored in the aquifer; and 2-40 (D) comply with the rules governing the 2-41 injection, storage, or withdrawal of appropriated water stored in 2-42 the reservoir or subdivision that are adopted by a district that 2-43 has jurisdiction over the reservoir or subdivision; and 2-44 (2) the commission shall require that any agreement 2-45 the applicant reaches with a district that has jurisdiction over 2-46 the reservoir or subdivision regarding the terms for the injection, 2-47 storage, and withdrawal of appropriated water be included as a 2-48 condition of the permit or permit amendment. 2-49 (c) On completion of a pilot project and receipt of an 2-50 appropriate application for a permit or an amendment to an existing 2-51 permit, the commission shall evaluate the success of the pilot 2-52 project for purposes of issuing a final order granting a permit or 2-53 permit amendment authorizing the storage of appropriated water 2-54 incident to a beneficial use. The commission shall consider 2-55 whether: 2-56 (1) the introduction of water into the aquifer will 2-57 alter the physical, chemical, or biological quality of native 2-58 groundwater to a degree that the introduction would: 2-59 (A) render groundwater produced from the aquifer 2-60 harmful or detrimental to people, animals, vegetation, or property; 2-61 or 2-62 (B) require treatment of the groundwater to a 2-63 greater extent than the native groundwater requires before being 2-64 applied to that beneficial use; 2-65 (2) the water stored in the receiving aquifer can be 2-66 successfully harvested from the aquifer for beneficial use; and 2-67 (3) the permit holder has provided evidence that 2-68 reasonable diligence will be used to protect the water stored in 2-69 the receiving aquifer from unauthorized withdrawals to the extent 2-70 necessary to maximize the permit holder's ability to retrieve and 3-1 beneficially use the stored water without experiencing unreasonable 3-2 loss of appropriated water. 3-3 (d) In making its evaluation under Subsection (c), the 3-4 commission may consider all relevant facts, including: 3-5 (1) the location and depth of the aquifer in which the 3-6 stored water is located; 3-7 (2) the nature and extent of the surface development 3-8 and activity above the stored water; 3-9 (3) the permit holder's ability to prevent 3-10 unauthorized withdrawals by contract or the exercise of the power 3-11 of eminent domain; 3-12 (4) the existence of an underground water conservation 3-13 district with jurisdiction over the aquifer storing the water and 3-14 the district's ability to adopt rules to protect stored water; and 3-15 (5) the existence of any other political subdivision 3-16 or state agency authorized to regulate the drilling of wells. 3-17 (e) A permit to store appropriated water in an underground 3-18 water reservoir or subdivision, as defined by Chapter 52, shall 3-19 provide as a condition to the permit that the permit holder shall: 3-20 (1) register the permit holder's injection and 3-21 recovery wells with an underground water conservation district that 3-22 has jurisdiction over the reservoir or subdivision, if any; and 3-23 (2) each calendar month, provide the district, if any, 3-24 with a written report showing for the previous calendar month: 3-25 (A) the amount of water injected for storage; 3-26 and 3-27 (B) the amount of water recaptured for use. 3-28 Sec. 11.155. AQUIFER STORAGE PILOT PROJECT REPORTS. (a) On 3-29 completion of each pilot project, the board and the commission 3-30 jointly shall: 3-31 (1) prepare a report evaluating the success of the 3-32 project; and 3-33 (2) provide copies of the report to the governor, 3-34 lieutenant governor, and speaker of the house of representatives. 3-35 (b) The board shall make other studies, investigations, and 3-36 surveys of the aquifers in the state as it considers necessary to 3-37 determine the occurrence, quantity, quality, and availability of 3-38 other aquifers in which water may be stored and subsequently 3-39 retrieved for beneficial use. The board shall undertake the 3-40 studies, investigations, and surveys in the following order of 3-41 priority: 3-42 (1) the aquifers identified in Section 11.153(a); 3-43 (2) areas designated by the commission as "critical 3-44 areas" under Section 52.053; and 3-45 (3) other areas of the state in a priority to be 3-46 determined by the board's ranking of where the greatest need 3-47 exists. 3-48 (c) Not later than January 1 of each odd-numbered year, the 3-49 board shall prepare and provide to the legislature a report that 3-50 includes at least the following information: 3-51 (1) the progress of the pilot projects authorized 3-52 under this subchapter and of any related project; 3-53 (2) the results of the board's studies of the other 3-54 aquifers of the state during the preceding biennium; and 3-55 (3) the anticipated appropriation from general 3-56 revenues necessary to investigate other aquifers in the state 3-57 during the upcoming biennium. 3-58 SECTION 3. (a) The change in law made by this Act applies 3-59 only to an application made on or after the effective date of this 3-60 Act for a permit or a permit amendment for a pilot project to 3-61 appropriate water and to store appropriated water in an aquifer 3-62 identified in this Act. 3-63 (b) A permit issued by the commission authorizing the 3-64 storage of appropriated water in an aquifer incident to a 3-65 beneficial use before the effective date of this Act or an 3-66 application for a permit or permit amendment to appropriate water 3-67 that includes authorization to store appropriated water in an 3-68 underground structure filed before the effective date of this Act 3-69 is not affected by the changes in law made by this Act. 3-70 SECTION 4. The importance of this legislation and the 4-1 crowded condition of the calendars in both houses create an 4-2 emergency and an imperative public necessity that the 4-3 constitutional rule requiring bills to be read on three several 4-4 days in each house be suspended, and this rule is hereby suspended, 4-5 and that this Act take effect and be in force from and after its 4-6 passage, and it is so enacted. 4-7 * * * * *