BLS C.S.S.B. 1 75(R)BILL ANALYSIS
NATURAL RESOURCES
C.S.S.B. 1
By: Brown (Lewis, Ron)
5-1-97
Committee Report (Substituted)
BACKGROUND
Currently, water, more than any other natural resource, challenges Texas'
future. Scarcity and competition for water, heightened environmental
concerns, and the costliness of new water supply development make sound
water management increasingly difficult to achieve; however, with Texas'
population projected to double in the next 50 years and the water needs of
its cities and industries increasing correspondingly, additional water
development becomes essential.
This bill addresses Texas water policy in seven general areas: water
planning; water management, marketing, and transfers; emergency
authorizations and enforcement; surface water and groundwater supplies;
financial assistance for water needs and conservation; small communities
assistance; and water data collection and dissemination.
PURPOSE
To improve the development and management of the water resources of the
state.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is expressly
delegated to the Texas Natural Resource Conservation Commission in
SECTIONS 1.03, 2.07, 3.02, 3.03, 3.05, 4.26, 6.05, 6.19, 6.20, and 6.28 of
the bill.
It is the committee's opinion that rulemaking authority is expressly
delegated to the Texas Water Development Board in SECTIONS 1.01, 1.02,
1.06, 1.07, 2.15, 4.33, 5.03, 5.21, 5.23, 6.15, and 6.16 of the bill.
It is the committee's opinion that rulemaking authority is expressly
delegated to the Texas Agricultural Finance Authority in SECTION 5.10 of
the bill.
It is the committee's opinion that rulemaking authority is expressly
delegated to the State Office of Administrative Hearings in SECTION 4.33
of the bill.
It is the committee's opinion that rulemaking authority is expressly
delegated to the Texas Department of Health in SECTION 5.13 of the bill.
SECTION BY SECTION ANALYSIS
ARTICLE 1. WATER PLANNING: DROUGHT, CONSERVATION, DEVELOPMENT, AND
MANAGEMENT
SECTION 1.01. Amends Section 16.051, Water Code, as follows:
Sec. 16.051. New heading: STATE WATER PLAN: DROUGHT, CONSERVATION,
DEVELOPMENT, AND MANAGEMENT; EFFECT OF PLAN. Requires the Texas Water
Development Board (TWDB), rather than the executive administrator of TWDB,
no later than September 1, 2001, and every five years thereafter, to
adopt, rather than prepare, develop, and formulate, a comprehensive state
water plan that incorporates the regional water plans approved under
Section 16.053, Water Code. Requires the state water plan to provide for
certain goals related to the orderly development, management, and
conservation of water, as well as drought preparation and response.
Requires the state water plan, as formally adopted by TWDB, to be a guide
to state water policy. Requires the Texas Natural Resource Conservation
Commission (TNRCC) to take the plan into consideration in matters coming
before it. Requires TWDB, by rule, to define and designate river basins
and watersheds. Requires TWDB, in coordination with TNRCC and the Parks
and Wildlife Department (TPWD), to adopt, by rule, guidance principles for
the state water plan which reflect the public interest of the entire
state. Requires due consideration to be given to the construction and
improvement of surface water resources and the application of principles
that result in voluntary redistribution of water resources when adopting
guidance principles. Requires TWDB, on adoption, to deliver the state
water plan to certain persons and present it for review to the appropriate
legislative committees. Requires the plan to include legislative
recommendations that TWDB believes are needed and desirable to facilitate
more voluntary water transfers. Deletes existing text regarding
development of the state water plan by the executive administrator of
TWDB.
SECTION 1.02. Amends Sections 16.053-16.057, Water Code, as follows:
Sec. 16.053. New heading: REGIONAL WATER PLANS. Sets forth procedures
for the development of regional water plans by the regional water planning
group in each regional water planning area. Sets forth procedures for
TWDB designation and review of regional water planning areas. Sets forth
procedures for designation of regional water planning groups. Requires
TWDB to provide certain guidelines for consideration of existing regional
planning efforts. Establishes provisions for submission of regional water
plans to TWDB. Sets forth provisions and procedures related to adoption
and approval of regional water plans. Sets forth provisions related to
resolution of interregional conflicts, if any exist. Authorizes TWDB to
provide certain financial assistance to political subdivisions for water
projects only if TWDB determines that the such projects address needs in a
manner consistent with an approved regional water plan; allows for waiver
of this requirement by TWDB. Deletes existing text regarding a hearing on
the preliminary plan of the executive administrator of TWDB.
Sec. 16.054. New heading: LOCAL WATER PLANNING. Provides that it is the
policy of the state that water resource management, water conservation,
and drought planning should occur on an ongoing basis. Requires TWDB,
TNRCC, and TPWD to make available where appropriate technical and
financial assistance for such planning. Delineates local plans that may
be submitted to the appropriate regional water planning group. Requires a
regional water planning group to consider any plans submitted under this
section when preparing the regional water plan. Provides that a persons
should ensure, when preparing a water plan under this section, that the
plan is not in conflict with the applicable approved regional water plan.
Deletes existing text regarding a hearing on the completed state water
plan of the executive administrator of TWDB.
Sec. 16.055. New heading: DROUGHT RESPONSE PLAN. Requires the Division
of Emergency Management of the Office of the Governor to be responsible
for coordinating the drought response component of the state water plan.
Creates the drought response and monitoring committee and requires the
committee to meet as necessary to carry out the provisions of this
section. Sets forth composition of the drought response and monitoring
committee. Sets forth responsibilities of the drought response and
management committee. Sets forth criteria for the committee to consider
when determining if a drought exists. Deletes existing text regarding the
effect of the state water plan of the executive administrator of TWDB.
Sec. 16.056. New heading: FEDERAL ASSISTANCE IN FINANCING REGIONAL WATER
PLANS. Authorizes the executive administrator of TWDB to take all
necessary action to qualify for federal assistance in financing the
development and improvement of the regional water plans. Deletes
existing text regarding amendment of plan.
SECTION 1.03. Amends Chapter 11D, Water Code, by amending Sections 11.122
and 11.1271 and adding Section 11.1272, as follows:
Sec. 11.122. AMENDMENTS TO WATER RIGHTS REQUIRED. Adds a new
Subsection (b) to provide that an amendment shall be authorized if the
requested change will not cause adverse impact on other water right
holders or the environment on the stream of greater magnitude than under
circumstances in which the water right that is sought to be amended was
fully exercised according to its terms and conditions as they existed
before the requested amendment. Makes conforming changes.
Sec. 11.1271. ADDITIONAL REQUIREMENTS: WATER CONSERVATION PLANS.
Requires, rather than authorizes, TNRCC to require from an applicant for a
new or amended water right the formulation and submission of a water
conservation plan and the adoption of reasonable water conservation
measures, as defined by Subdivision (8)(B), Section 11.002, Water Code.
Requires TNRCC to require the holder of an existing permit, certified
filing, or certificate of adjudication for the appropriation of surface
water in the amount of 1,000 acre-feet a year or more to develop, submit,
and implement a water conservation plan, consistent with the appropriate
approved regional water plan, that adopts reasonable water conservation
measures, as defined by Section 11.002(8)(B), Water Code. Prohibits the
requirement for a water conservation plan under this section from
resulting in the need for an amendment to an existing permit, certified
filing, or certificate of adjudication. Requires TNRCC to adopt rules
establishing criteria and deadlines for submission of water conservation
plans.
Sec. 11.1272. ADDITIONAL REQUIREMENT: DROUGHT CONTINGENCY PLANS FOR
CERTAIN APPLICANTS AND WATER RIGHT HOLDERS. Requires TNRCC, by rule, to
require wholesale and retail public water suppliers and irrigation
districts to develop drought contingency plans consistent with the
appropriate approved regional water plan to be implemented during periods
of water shortages and drought. Requires the wholesale and retail public
water suppliers and irrigation districts to provide an opportunity for
public input during preparation of their drought contingency plans and
before submission of the plans to TNRCC.
SECTION 1.04. Amends Section 15.401, Water Code, to provide that the
research and planning program (program) is created to provide money for
research into and planning of, inter alia, the management of the state's
water resources and for regional planning by political subdivisions.
Authorizes the program to provide money for research and planning by Texas
political subdivisions related to the proper conservation, management, and
development of water resources of areas outside Texas if such research or
planning will result in water being available for use in or for the
benefit of Texas or will maintain and enhance the quality of water in
Texas.
SECTION 1.05. Amends Section 15.404(a), Water Code, to authorize the TWDB
to enter into a contract with any person for research by Texas political
subdivisions related to the proper conservation and development of water
resources of areas outside Texas if such research will result in water
being available for use in or for the benefit of Texas or will help
maintain and enhance the quality of water in Texas.
SECTION 1.06. Amends Section 15.406(f), Water Code, to require the TWDB
to adopt rules establishing criteria of eligibility for regional facility
planning money that considers the degree to which the regional facility
planning by the political subdivision is consistent with an approved
regional water plan for the area in which the political subdivision is
located.
SECTION 1.07. Amends Chapter 15F, Water Code, by adding Section 15.4061,
as follows:
Sec. 15.4061. FUNDING FOR REGIONAL WATER PLANS. Sets forth procedures
for funding the cost of developing or revising regional water plans.
Requires TWDB to adopt rules establishing criteria for eligibility for
regional water planning money that include certain considerations.
Requires TWDB to require that regional water plans developed or revised
under contracts entered into under this section be made available to TNRCC
and TPWD.
SECTION 1.08. Requires the state water plan in effect on the effective
date of this Act to remain in effect until a new state water plan is
adopted pursuant to Subsection (a), Section 16.051, Water Code, as amended
by Section 1.01 of this Act. Requires the state water plan to include
ongoing water development projects that have been issued a permit by TNRCC
or a predecessor agency for a regional water supply planning study.
ARTICLE 2. WATER MANAGEMENT, MARKETING AND TRANSFERS
SECTION 2.01. Amends Section 791.026, Government Code, to authorize
contracts to require the purchaser to develop alternative or replacement
supplies prior to the expiration of the contract and authorizes the
contract to provide for the enforcement of such terms by court order.
Provides that where a contract sets forth explicit expiration provisions,
no continuation of service obligation is implied. Makes conforming
changes.
SECTION 2.02. Amends Section 11.002, Water Code, by amending Subdivision
(4) and adding Subdivisions (9) and (10), to redefine "beneficial use,"
and to define "conserved water" and "surplus water."
SECTION 2.03. Amends Section 11.023(e), Water Code, to provide that
TNRCC may authorize an appropriation of a single amount or volume of
water for more than one purpose of use. Prohibits the total amount of
water actually diverted for all authorized purposes from exceeding total
water appropriated, if a single amount of water is appropriated for more
than one purpose of use.
SECTION 2.04. Amends Section 11.036, Water Code, to provide that if a
contract sets expiration provisions, no continuation of service is
implied. Authorizes the terms of a contract to provide that the person
using stored or conserved water is required to develop alternative or
replacement supplies prior to the expiration of the contract and may
enforce such terms by court order. Makes conforming changes.
SECTION 2.05. Amends Section 11.042, Water Code, as follows:
Sec. 11.042. (a) Authorizes a water control and improvement district
supplying stored or conserved water to use the bank and bed of any flowing
natural stream in the state to convey the water. Deletes a provision
requiring TNRCC to prescribe rules for this purpose.
(b) Requires a person who wishes to discharge and subsequently divert and
reuse the person's existing return flows derived from privately owned
groundwater to obtain prior authorization from TNRCC for the diversion and
reuse of these return flows. Provides that the authorization may allow for
the diversion and reuse by the discharger of existing return flows, less
carriage losses, and shall be subject to special conditions if necessary
to protect an existing water right that was granted based on the use or
availability of these return flows. Allows special conditions to also be
provided to help maintain instream uses and freshwater inflows to bays and
estuaries. Allows a person wishing to divert and reuse future increases
of return flows derived from privately owned groundwater to obtain
authorization to reuse increases in return flows before the increase.
(c) Requires a person who wishes to convey and subsequently divert water
in a watercourse or stream to obtain prior approval of TNRCC, except as
otherwise provided in this section. Requires the authorization to allow
to be diverted only a certain amount of water subject to certain special
conditions. Prohibits water discharged into a watercourse or stream under
this chapter from causing a degradation of water quality to the extent
that the stream segment's classification would be lowered. Authorizes
authorizations under this section and water quality authorizations to be
approved in a consolidated permit proceeding.
(d) Provides that nothing in this section shall be construed to affect
an existing project for which water rights and reuse authorizations have
been granted by the TNRCC before September 1, 1997.
SECTION 2.06. Amends Section 11.046, Water Code, as follows:
Sec. 11.046. New heading: RETURN SURPLUS WATER. Requires a person who
takes or diverts water from a watercourse or stream to conduct surplus
water back to the watercourse or stream from which it was taken under
certain circumstances. Authorizes TNRCC to include conditions in the
water right providing for the return of surplus water and the return
point, as necessary, in granting an application for a water right.
Authorizes water appropriated under a permit, certified filing, or
certificate of adjudication to be beneficially used and reused by a water
right holder prior to its release into a watercourse or stream, except as
specifically provided otherwise in the water right. Provides that water
diverted under a water right and returned to a watercourse or stream is
considered surplus water and is subject to reservation for instream uses
or beneficial inflows or appropriation unless expressly provided
otherwise. Prohibits water appropriated under a permit, certified filing,
or certificate of adjudication which is recirculated within a reservoir
for cooling purposes from being considered to be surplus for purposes of
this chapter.
SECTION 2.07. Amends Section 11.085, Water Code, as follows:
Sec. 11.085. New heading: INTERBASIN TRANSFERS. Provides that no person
may take or divert any state water from a river basin in this state and
transfer such water to any other river basin without first applying for
and receiving a water right or an amendment to a permit, certified filing,
or certificate of adjudication from TNRCC authorizing the transfer.
Deletes much of the existing text regarding interwatershed transfers.
Requires TNRCC to conduct at least one public meeting in both the basin of
origin and the basin receiving water from the proposed transfer, prior to
any action on an application for an interbasin transfer. Requires notice
to be provided pursuant to Subsection (e) of this section. Authorizes any
person to present certain relevant information at the meeting. Requires
TNRCC to give notice and hold an evidentiary hearing, if the application
is contested. Sets forth persons to receive notice of an application for
an interbasin transfer, and provides the manner in which notice is to be
given. Requires the applicant to pay the cost of notice. Authorizes
TNRCC, by rule, to establish procedures for payment of those costs.
Requires TNRCC to take certain actions related to review and comment, in
addition to other requirements of the Water Code relating to the review of
and action on an application for a new water right or amended permit,
certified filing, or certificate of adjudication. Requires TNRCC to
consider certain delineated items in weighing the effects of a proposed
transfer, in addition to other requirements of the Water Code relating to
the review of and action on an application for a new water right or
amended permit, certified filing, or certificate of adjudication.
Authorizes TNRCC to grant the application for an interbasin transfer,
wholly or in part, only to the extent that the detriments to the basin of
origin during the proposed transfer period are less than the benefits to
the receiving basin during the proposed transfer period, and only to the
extent that the applicant had prepared a drought contingency plan and has
developed and implemented a water conservation plan that will result in
the highest practicable levels of water conservation and efficiency
available within the jurisdiction of the applicant. Authorizes TNRCC to
grant new or amended water rights under this section with or without
specific terms or periods of use and with specific conditions under which
a transfer of water may occur. Provides that this section does not apply
to certain transfers. Requires the new water right or amended permit,
certified filing, or certificate of adjudication authorizing the transfer
to contain a condition for a period not greater than the contract term,
if the transfer is based on a contractual sale of water. Authorizes the
parties to a contract for an interbasin transfer to include provisions for
compensation and mitigation. Authorizes each county judge of a county
located in whole or in part in the basin of origin, if the party from the
basin of origin is a governmental entity, to provide input on the
appropriate compensation and mitigation for the interbasin transfer.
Provides that, for purposes of this section, a basin is designated as
provided in accordance with Section 16.051, Water Code. Prohibits a basin
from being redesignated in order to allow a transfer or diversion of water
otherwise in violation of this section. Provides that a person who
diverts water in violation of this section is subject to a fine of not
more than $10,000, rather than not less than $100 nor more than $500.
Provides that any proposed transfer of all or a portion of a water right
under this section is junior in priority to water rights granted before
the time application for transfer is accepted for filing. Authorizes an
appropriator of water for municipal purposes in the basin of origin to be
a party in any hearings under this section at the option of the
appropriator. Makes conforming and nonsubstantive changes.
SECTION 2.08. Amends Section 11.124(a), Water Code, to require an
application to appropriate unappropriated state water to contain the name
and address of the holder of certain liens. Makes other conforming and
nonsubstantive changes.
SECTION 2.09. Amends Section 11.135(b), Water Code, to require a permit
to include, among other information, a special condition limiting the
total amount of water to be diverted for all purposes to the amount of
water appropriated, if the appropriated water is authorized for multiple
purposes.
SECTION 2.10. Amends Section 11.142(a), Water Code, to authorize a person
to construct on the person's own property a dam or reservoir with normal
storage of, rather than a dam or reservoir to impound or contain, not more
than 200 acre-feet of water for domestic and livestock purposes, without
obtaining a permit.
SECTION 2.11. Amends Sections 11.176 and 11.177, Water Code, as follows:
Sec. 11.176. HEARING. Provides that a hearing on the cancellation of a
permit, certified filing, or certificate of adjudication as provided by
this chapter is unnecessary if such hearing is expressly waived by the
affected holder of a permit, certified filing, or certificate of
adjudication. Provides that a permit, certified filing, or certificate of
adjudication for a term does not vest in the holder of a permit, certified
filing, or certificate of adjudication any right to the diversion,
impoundment, or use of water for longer than the term of the permit,
certified filing, or certificate of adjudication and shall expire and be
cancelled in accordance with its terms without further need for notice or
hearing. Makes conforming changes.
Sec. 11.177. COMMISSION FINDING; ACTION. Requires TNRCC at the
conclusion of the hearing, to cancel the permit, certified filing, or
certificate of adjudication in whole or in part if TNRCC makes certain
findings. Deletes text of existing Subsection (a)(3). Sets forth the
conditions TNRCC is required to consider in determining what constitutes
reasonable diligence or a justified nonuse. Deletes much of the text in
existing Subsection (b). Makes conforming and nonsubstantive changes.
SECTION 2.12. Amends Section 15.701, Water Code, to define "trust."
SECTION 2.13. Amends Section 15.702, Water Code, to require TWDB to
administer the Texas Water Bank (water bank) to facilitate water
transactions, rather than facilitate the transfer of water from all
sources as necessary, to provide sources of adequate water supplies for
use within the State of Texas.
SECTION 2.14. Amends Section 15.703(a), Water Code, to authorize TWDB to
take all actions necessary to operate the water bank and to facilitate the
transfer of water rights from the water bank for future beneficial use
including, but not limited to, certain delineated actions.
SECTION 2.15. Amends Chapter 15K, Water Code, by adding Section 15.7031,
as follows:
Sec. 15.7031. TEXAS WATER TRUST. Provides that the Texas Water Trust is
established within the water bank to hold water rights dedicated to
environmental needs, including instream flows, water quality, fish and
wildlife habitat, or bay and estuary inflows. Requires TWDB, in
consultation with TPWD and TNRCC, to adopt rules governing the process for
holding and transferring water rights. Requires the dedication of any
water rights placed in trust to be reviewed and approved by TNRCC, in
consultation with TWDB and TPWD. Authorizes water rights to be held in
the trust for a term specified by contractual agreement or in perpetuity.
SECTION 2.16. Amends Section 15.704, Water Code, by amending Subsection
(a) and adding Subsection (c), to authorize a water right, rather than up
to 50 percent of a water right, to be deposited in the water bank for an
initial term of up to 10 years, unless otherwise held in the Texas Water
Trust. Authorizes a contract or option contract to allow use of a water
right under this subchapter to include a requirement that the purchaser
show diligence in pursuing feasible and practicable alternative water
supplies; provides that such a contract or option contract does not vest
any right in the purchaser beyond the stated terms and conditions of the
contract or option contract.
SECTION 2.17. Provides that all permits approved by TNRCC before the
effective date of this Act that allow the multiple use of the
appropriation of a specific amount of water and which are no longer
subject to appeal are validated in all respects as if they originally had
been legally authorized or accomplished. Provides that this article does
not apply to an application for an interbasin transfer filed and pending
before March 2, 1997. Requires any subsequent renewals of such
applications to be subject to the provisions of this Act. Provides that
nothing in this Act shall affect the validity of any interbasin transfer
permitted or authorized before the effective date of this Act.
ARTICLE 3. EMERGENCY AUTHORIZATIONS; ENFORCEMENT
SECTION 3.01. Amends Section 11.082(a), Water Code, to provide that a
person who wilfully takes, diverts, or appropriates state water without
complying with the applicable requirements of this chapter is liable to a
civil penalty of not more than $10,000, rather than $1,000, for each day
the person continues the taking, diversion, or appropriation.
SECTION 3.02. Amends Chapter 11C, Water Code, by adding Sections
11.0841-11.0843, as follows:
Sec. 11.0841. CIVIL REMEDY. Provides that this chapter does not affect
the right of any private corporation, individual, or political subdivision
that has a justiciable interest in pursuing any available common-law
remedy. Authorizes a district court to award the costs of litigation,
including reasonable attorney fees and expert costs, to any political
subdivision of the state, private corporation, or individual that is a
water right holder and that prevails in a suit for injunctive relief to
redress an unauthorized diversion, impoundment, or use of surface water in
violation of this chapter or a rule adopted pursuant to this chapter.
Sec. 11.0842. ADMINISTRATIVE PENALTY. Authorizes TNRCC to assess an
administrative penalty against a person who violates this chapter, or a
rule or order adopted under this chapter or Section 16.236, Water Code, or
a permit, certified filing, or certificate of adjudication issued under
this chapter. Provides that this section and Section 12.052, Water Code,
are not applicable to any violation resulting from the failure to obtain a
permit for the construction of a dam or reservoir for domestic and
livestock purposes initiated prior to March 2, 1997 if a registration for
authorization is submitted within two years of the effective date of this
section, unless modifications other than repairs are made to the dam or
reservoir after March 2, 1997. Requires TNRCC to issue a permit for the
dam or reservoir relating back to the date of completion of construction
(which may be established by the submission of competent evidence) on
registration of the location, approximate size, and date of completion of
the dam or reservoir. Limits the penalty to no more than $10,000 per day
of violation and provides that each day a violation continues may be
considered a separate violation for purposes of penalty assessment. Sets
forth criteria that TNRCC shall consider in determining the amount of the
penalty. Sets forth procedures to be followed by the executive director
and the TNRCC if the executive director concludes that a violation has
occurred. Provides that all proceedings under this subsection are subject
to Chapter 2001, Government Code. Sets forth the required actions
regarding payments received from a person who has been charged with
violation of this chapter. Sets forth the guidelines for appeal from the
imposition of such penalties. Sets forth the legal consequences for
noncompliance with TNRCC-imposed penalties. Authorizes TNRCC to
compromise, modify, or remit any penalty imposed under this section.
Sec. 11.0843. FIELD CITATION. Authorizes a watermaster or the
watermaster's deputy, as defined by TNRCC rule, to issue field citations
for violations of this chapter or a rule or order or a water right issued
under this chapter and sets forth guidelines for the issuance of field
citations. Requires TNRCC, by rule, to establish penalty amounts
corresponding to types of violations of this chapter or rules or orders
adopted or water rights issued under this chapter. Requires a penalty
collected under this section to be deposited in the state treasury to the
credit of the general revenue fund.
SECTION 3.03. Amends Section 11.139, Water Code, as follows:
Sec. 11.139. New heading: EMERGENCY AUTHORIZATIONS. Sets forth
procedures and conditions by which TNRCC is authorized to grant an
emergency permit, order, or amendment to an existing permit, certified
filing, or certificate of adjudication. Authorizes TNRCC to grant
emergency authorizations under this section for the temporary transfer and
use of all or part of a permit, certified filing, or certificate of
adjudication for other than domestic or municipal use to a retail or
wholesale water supplier for public health and safety reasons. Places
certain restrictions on TNRCC's authority under this section. Provides
that the person granted an authorization under Subsection (h) of this
section is liable to the owner and the owner's agent or lessee from whom
the use is transferred for the fair market value of the water transferred
as well as for any damages caused by the transfer of use. Sets forth
provisions related to filing of complaints, complaint resolution, suit in
district court, and attorneys fees for disagreements on compensation that
may arise because of a transfer of use. Provides that an emergency
authorization does not vest in the grantee any right to the diversion,
impoundment, or use of water and shall expire and be cancelled in
accordance with its terms. Deletes much of the existing text.
SECTION 3.04. Amends Section 12.052(c), Water Code, to provide that owners
of certain dams who wilfully fail or refuse to follow a final,
nonappealable order of TNRCC relating to the construction,
reconstruction, repair, or removal of the dam are liable for up to
$10,000, rather than $1,000, a day for each day of the violation. Makes a
conforming change.
SECTION 3.05. Amends Section 16.236, Water Code, as follows:
Sec. 16.236. New heading: CONSTRUCTION OF LEVEE WITHOUT APPROVAL OF
PLANS; LEVEE SAFETY. Requires TNRCC to make and enforce rules and orders
and perform all other acts necessary to provide for the safe construction,
maintenance, repair, and removal of levees located in this state. Sets
forth provisions related to penalties to be assessed for wilful failure or
refusal to comply with the rules and orders promulgated or issued under
this section. Sets forth guidelines and procedures for TNRCC to issue an
emergency order, either mandatory or prohibitory in nature, directing the
owner of a levee to repair, modify, maintain, dewater, or remove a levee
which is determined unsafe. Provides that nothing in this section or in
rules or orders adopted by the TNRCC shall be construed to relieve an
owner or operator of a levee of the legal duties, obligations, or
liabilities incident to ownership or operation. Provides that a person
commits a Class C misdemeanor and upon conviction is punishable by a fine
of not more than $4,000, rather than $100, if the person violates any
provision of Subsection (a) of this section. Adds two exemptions in
Subsection (h) from the provisions of Subsection (a). Makes conforming and
nonsubstantive changes. Deletes some existing text.
SECTION 3.06. Amends Chapter 16G, Water Code, by adding Section 16.237,
as follows:
Sec. 16.237. ADMINISTRATIVE PENALTY; CIVIL REMEDY. Authorizes TNRCC to
assess an administrative penalty against a person as provided by Section
11.0842, Water Code, if the person violates a TNRCC rule or order adopted
under Section 16.236, Water Code. Provides that nothing in this chapter
affects the right of any private corporation, individual, or political
subdivision that has a justiciable interest in pursuing a common-law
remedy.
ARTICLE 4. SURFACE WATER AND GROUNDWATER SUPPLIES
SECTION 4.01. Amends Section 11.134(b), Water Code, to require TNRCC to
grant an application only if the proposed appropriation is intended for a
beneficial use, considers the effects of any hydrological connection
between surface water and groundwater, and addresses a water supply need
in a manner that is consistent with the state water plan and an approved
regional water plan for any area in which the proposed appropriation is
located, unless TNRCC determines that conditions warrant waiver of this
requirement. Makes a conforming change.
SECTION 4.02. Amends Chapter 11D, Water Code, by adding Sections 11.1501
and 11.151, as follows:
Sec. 11.1501. CONSIDERATION AND REVISION OF PLANS. Requires TNRCC in
considering certain applications to consider the state water plan and any
approved regional water plan for the area or areas in which the water is
proposed to be stored, diverted, or used.
Sec. 11.151. EFFECTS OF PERMITS ON GROUNDWATER. Requires TNRCC, in
considering an application for a permit to store, take, or divert surface
water, to consider the effects, if any, on groundwater or groundwater
recharge.
SECTION 4.03. Amends Section 11.153, Water Code, by amending the section
heading and Subsections (a) and (d), as follows:
Sec. 11.153. New heading: PROJECTS FOR STORAGE OF APPROPRIATED WATER IN
AQUIFERS. Deletes the references to specific aquifers and the word
"pilot" in a provision requiring TNRCC to investigate the feasibility of
storing appropriated water in various types of aquifers. Requires TNRCC
to only issue a final order granting a permit or amendment to a permit
authorizing the storage of appropriated water in aquifers for subsequent
beneficial use where completed pilot projects or historically demonstrated
projects have been shown to be feasible under the criteria provided in
Sections 11.154(c) and (d). Makes conforming changes.
SECTION 4.04. Amends Sections 11.154(a)-(c), and (e), Water Code, to make
conforming and nonsubstantive changes.
SECTION 4.05. Amends Section 11.155(b), Water Code, to make conforming and
nonsubstantive changes.
SECTION 4.06. Amends Section 11.173(b), Water Code, to make conforming
changes.
SECTION 4.07. Amends Section 15.001(6), Water Code, to redefine "project"
and to define "facility."
SECTION 4.08. Amends Section 15.002(b), Water Code, to authorize projects
to be in the state or outside the state. Requires out-of-state projects
to be funded through a Texas political subdivision or an institution of
higher education and to result in water being available for use in or for
the benefit of Texas or to maintain and enhance the quality of water in
Texas.
SECTION 4.09. Amends Section 17.895, Water Code, by amending Subsection
(a) and adding Subsection (c), to authorize TWDB or lender districts to
make conservation loans for capital equipment or materials, labor,
preparation costs, and installation costs for preparing and maintaining
land to be used for certain brush control activities and for implementing
precipitation enhancement activities in certain areas of the state.
Authorizes TWDB to make conservation loans to borrower districts for the
cost of purchasing and installing devices, on public or private property,
designed to indicate the amount of water withdrawn for irrigation
purposes. Makes conforming changes.
SECTION 4.10. Amends Section 35.002(12), Water Code, to define "priority
groundwater management area" rather than "critical area."
SECTION 4.11. Amends Section 35.007, Water Code, as follows:
Sec. 35.007. New heading: IDENTIFYING, DESIGNATING, AND DELINEATING
PRIORITY GROUNDWATER MANAGEMENT AREAS. Requires the executive director
and the executive administrator to meet at least once a year to identify,
based on the information gathered by TNRCC and TWDB, those areas of the
state that are experiencing or that are expected to experience, within the
immediately following 25-year period, critical groundwater problems,
including shortages of surface water. Requires the executive director to
prepare a report to TNRCC if the executive director concludes that an area
of the state should be considered for designation as a priority
groundwater management area (area). Requires the executive director to
begin preparation of a priority groundwater management area report
(report) by requesting a study from the executive administrator, which
must assess the area's immediate, short-term, and long-term water supply
and needs; and be completed and delivered to the director on or before the
180th day following the date of request. Requires the executive director
to request a study from the director of TPWD for the purpose of preparing
the report required by this section. Sets forth the requirements of the
study. Requires the report to include certain items. Requires the
executive director to complete the report and file it with TNRCC on or
before the 240th day following the date on which the executive
administrator was requested to produce a study. Requires the executive
director to make the report available to the public by providing a copy of
the report to at least one public library and the county clerk's office in
each county in which the proposed priority groundwater management area is
located and to all districts adjacent to the area of the proposed priority
groundwater management area. Changes references to "critical areas" to
"priority groundwater management areas." Makes other conforming changes.
SECTION 4.12. Amends Section 35.008, Water Code, as follows:
Sec. 35.008. New heading: PROCEDURES FOR DESIGNATION OF PRIORITY
GROUNDWATER MANAGEMENT AREA; CONSIDERATION OF CREATION OF DISTRICT OR
ADDITION OF LAND IN PRIORITY GROUNDWATER MANAGEMENT AREA TO EXISTING
DISTRICT. Requires TNRCC to designate areas using the procedures provided
by this chapter in lieu of those provided by Chapter 2001B, Government
Code. Requires TNRCC to call an evidentiary hearing (hearing) to consider
the designation of an area, whether a district should be created over all
or part of an area, or whether all or part of the land in the area should
be added to an existing district. Requires the hearing to be held at a
location in one of the counties in which the area is located, or proposed
to be located, or in the nearest convenient location if adequate
facilities are not available in those counties. Requires TNRCC to hear
testimony and receive evidence from all affected persons and consider the
executive director's report, supporting information, the testimony and
evidence received at the hearing. Authorizes TNRCC to request such
information from any source, if TNRCC considers further information
necessary. Makes conforming changes.
SECTION 4.13. Amends Section 35.009, Water Code, to require TNRCC to
publish notice of the hearing in at least one newspaper with general
circulation in the county or counties in which the area being designated a
priority groundwater management area or the area within a priority
groundwater management area being considered for district creation or for
addition to an existing district is located. Sets forth the provisions of
the notice. Requires TNRCC to give written notice of the date, time,
place, and purpose of the hearing to the governing body of certain
entities which supply public drinking water located either partially or
entirely in the area or proposed area before the 30th day preceding the
date set for the hearing. Makes conforming and nonsubstantive changes.
SECTION 4.14. Amends Sections 35.012(b)-(e), Water Code, to authorize the
landowners in the area, following the issuance of a TNRCC order under
Subsection (b), to take certain actions relating to the creation of one or
more districts or the annexation of the area by an adjoining district.
Requires the Texas Agricultural Extension Service, if TNRCC proposes the
creation of one or more districts, to begin an education program within
such areas with the assistance and cooperation of certain entities to
inform the residents of the status of the area's water resources and
management options before beginning the procedures for creation of a
district. Changes references to "critical areas" to "priority groundwater
management areas." Makes conforming and nonsubstantive changes.
SECTION 4.15. Amends Section 35.013, Water Code, as follows:
Sec. 35.013. New heading: ADDING PRIORITY GROUNDWATER MANAGEMENT AREA
TO EXISTING DISTRICT. Authorizes a district board that votes to accept
the addition of an area to the district to request the Texas Agricultural
Extension Service, TNRCC, TWDB, and other state agencies to administer an
educational program to inform the residents of the status of the area's
water resources and management options. Requires a proposition to add a
priority groundwater management area to a district, if the district has
outstanding debts or taxes, rather than issued bonds, to include the
following language in the ballot: "and assumption by the described area of
a proportional share of the debts or taxes of the district." Changes
references to "critical areas" to "priority groundwater management areas."
Makes conforming changes.
SECTION 4.16. Amends Sections 35.014(b) and (c), Water Code, to change
references to "critical areas" to "priority groundwater management
areas.".
SECTION 4.17. Amends Section 35.015, Water Code, to delete text
prohibiting certain political subdivisions from being eligible to receive
certain financial assistance from the state. Changes references to
"critical areas" to "priority groundwater management areas." Makes
conforming and nonsubstantive changes.
SECTION 4.18. Amends Section 35.017, Water Code, to changes reference to
"critical area" to "priority groundwater management area."
SECTION 4.19. Amends Chapter 35, Water Code, by adding Section 35.018, as
follows:
Sec. 35.018. REPORTS. Requires TNRCC in conjunction with TWDB to
prepare and deliver to the governor, the lieutenant governor, and the
speaker of the house of representatives a comprehensive report concerning
activities during the preceding two years relating to the designation of
areas by TNRCC and the creation and operation of districts, no later than
January 31 of each odd-numbered year. Sets forth the required contents of
the report. Requires the report to include recommendations for the future
management of the area if voters fail to create a district in the area or
if voters fail to add the area to an existing district. Prohibits a new
election from being called for three years from the date of the last
election if TNRCC is required by the legislature to manage the area.
SECTION 4.20. Amends Section 36.001, Water Code, by amending Subdivision
(14) and adding Subdivisions (16)and (17), to define "priority groundwater
management area," "loan fund," and "applicant."
SECTION 4.21. Amends Chapter 36A, Water Code, by adding a new Section
36.0015, as follows:
Sec. 36.0015. PURPOSE. States that, in order to provide for the
conservation, preservation, protection, recharging, and prevention of
waste of groundwater, and of groundwater reservoirs or their subdivisions,
and to control subsidence caused by withdrawal of water from those
groundwater reservoirs or their subdivisions, consistent with the
objectives of Section 59, Article XVI, Texas Constitution, groundwater
conservation districts may be created as provided by this chapter. States
that groundwater conservation districts created as provided by this
chapter are the state's preferred method of groundwater management.
SECTION 4.22 Amends Section 36.012(c), Water Code, to make a conforming
change.
SECTION 4.23. Amends Section 36.013(d), Water Code, to make a conforming
change.
SECTION 4.24. Amends Chapter 36B, Water Code, by adding Section 36.0151,
as follows:
Sec. 36.0151. CREATION OF DISTRICT FOR PRIORITY GROUNDWATER MANAGEMENT
AREA. Requires TNRCC to provide that temporary directors be appointed
under Section 36.016 and that an election be called by the temporary
directors to confirm the creation of the district and to elect permanent
directors, if TNRCC proposes that a district be created under Section
35.012(d). Requires TNRCC to notify the county commissioners court of
each county with territory in the district of the district's creation as
soon as practicable after issuing the order creating the district.
SECTION 4.25. Amends Section 36.016, Water Code, to set forth requirements
for the appointment of temporary directors. Makes conforming and
nonsubstantive changes.
SECTION 4.26. Amends Chapter 36B, Water Code, by adding Section 36.0161,
as follows:
Sec. 36.0161. METHOD FOR APPOINTING TEMPORARY DIRECTORS FOR DISTRICT IN
PRIORITY GROUNDWATER MANAGEMENT AREA. Sets forth the apportionments for
appointment of temporary directors for a district in an area that is
contained within a certain amount of counties. Defines "estimated
groundwater use." Requires the apportionment of appointments under
Subsection (a) to be made by TNRCC so as to reflect the proportion each
county's estimated groundwater use bears to the sum of the estimated
groundwater use for the district as determined under Subsection (c).
Requires TNRCC, by rule, to determine the method it will use to implement
this subdivision. Requires TNRCC to develop an estimate of annual
groundwater use in acre-feet for each county area within the district if
the district for which temporary directors are to be appointed is
contained within two, three, or four counties.
SECTION 4.27. Amends Section 36.052, Water Code, as follows:
Sec. 36.052. OTHER LAWS NOT APPLICABLE. Provides that Sections 36.107
-36.108, Sections 36.159-36.161, and Subchapter I, Water Code, prevail
over a conflicting or inconsistent provision of a special law that governs
a specific district. Makes conforming changes.
SECTION 4.28. Amends Chapter 36D, Water Code, by amending Section 36.107
and adding Sections 36.1071-36.1073, as follows:
Sec. 36.107. New heading: RESEARCH. Makes a nonsubstantive change.
Sec. 36.1071. MANAGEMENT PLAN. Requires a district, in coordination
with surface water management entities on a regional basis, to develop a
comprehensive management plan ("management plan") that addresses certain
goals. Requires the management plan and amendments thereto adopted after
TWDB approval of a regional water plan for the region in which the
district is located to be consistent with the regional water plan.
Requires TNRCC and TWDB to provide certain technical assistance to a
district. Requires the district to include certain elements in the
management plan. Requires the board of directors of a district (board) to
adopt amendments to the management plan as necessary after notice and
hearing. Requires amendments to comply with the requirements of this
section. Makes conforming changes.
Sec. 36.1072. TEXAS WATER DEVELOPMENT BOARD REVIEW AND CERTIFICATION OF
MANAGEMENT PLAN. Requires a district to submit the management plan to
executive administrator of the TWDB (executive administrator) for review
and certification. Sets forth procedures for review and certification of
the management plan by the executive administrator, and appeals to TWDB.
Requires the district's board to readopt the plan with or without
revisions at least once every five years. Prohibits TNRCC from taking
enforcement action against a district under Subchapter I, Water Code,
until a certain date.
Sec. 36.1073. AMENDMENT TO MANAGEMENT PLAN. Requires any amendment to
the management plan to be submitted to the executive administrator within
60 days following adoption of the amendment by the district's board.
Requires the executive administrator to review and certify any amendment
which substantially affects the management plan in accordance with the
procedures established under Section 36.1072.
SECTION 4.29. Amends Section 36.108(a), Water Code, to make a conforming
change.
SECTION 4.30. Amends Section 36.113, Water Code, to require a district to
require an application for a permit be in writing and sworn to.
Authorizes the district to set forth the required contents of the permit
application. Requires the district to make certain considerations before
granting or denying a permit. Authorizes a district to prohibit changes
in the withdrawal and use of groundwater under a permit from being made
without prior approval of a permit amendment issued by the district.
Makes conforming and nonsubstantive changes.
SECTION 4.31. Amends Chapter 36D, Water Code, by adding Section 36.1131,
as follows:
Sec. 36.1131. ELEMENTS OF PERMIT. Requires a permit issued by the
district to the applicant under Section 36.113, Water Code, to state the
terms and provisions prescribed by the district. Sets forth the
authorized contents of the permit.
SECTION 4.32. Amends Section 36.117, Water Code, as follows:
Sec. 36.117. New heading: EXEMPTIONS; EXCEPTION; LIMITATIONS.
Authorizes a district to exempt wells from the requirements to obtain a
drilling permit, an operating permit, or any other permit required by this
chapter or the district's rules. Requires water wells drilled after
September 1, 1997, to supply water for hydrocarbon production activities
to meet the spacing requirements of the district unless no space is
available within 300 feet of the production well or the central injection
station. Requires a district to require water wells exempted under this
section to be registered with the district before drilling. Provides that
a well to supply water for a subdivision of land for which a plat approval
is required by law is not exempted under this section. Makes
nonsubstantive changes.
SECTION 4.33. Amends Chapter 36E, Water Code, by adding Sections
36.159-36.161, as follows:
Sec. 36.159. GROUNDWATER DISTRICT MANAGEMENT PLAN FUNDS. Authorizes
TWDB to allocate funds from the research and planning fund created under
Chapter 15F, Water Code, to a district to conduct initial data
collections under this chapter, to develop and implement a long-term
management plan under Section 36.1071, and to participate in regional
water plans.
Sec. 36.160. FUNDS. Sets forth certain activities to which TWDB, TNRCC,
TPWD, the Texas Agricultural Extension Service, and institutions of higher
education are authorized to allocate funds to carry out the objectives of
this chapter and Chapter 35.
Sec. 36.161. ELIGIBILITY FOR FUNDING. Sets forth requirements for
eligibility to receive funding and procedures for TWDB to discontinue
funding to a district. Authorizes TWDB to delegate to the State Office of
Administrative Hearings the responsibility to conduct a hearing under this
section.
SECTION 4.34. Amends Chapter 36G, Water Code, by adding Sections 36.206
and 36.207, as follows:
Sec. 36.206. DISTRICT FEES. Authorizes a temporary board of a district
to set user fees to pay for the creation and initial operation of a
district, until such time as the district has been confirmed and a
permanent board has been elected. Provides that rate of fees set for crop
or livestock production or other agricultural uses shall be no more than
20 percent of the rate applied to municipal uses.
Sec. 36.207. USE OF PERMIT FEES AUTHORIZED BY SPECIAL LAW. Authorizes
a district to use funds obtained from permit fees collected pursuant to
the special law governing the district for any purpose consistent with the
district's certified water management plan including, without limitation,
making grants, loans, or contractual payments to achieve, facilitate, or
expedite reductions in groundwater pumping of the development or
distribution of alternative water supplies.
SECTION 4.35. Amends Chapter 36I, Water Code, as follows:
SUBCHAPTER I: New heading: PERFORMANCE REVIEW AND DISSOLUTION
Sec. 36.301. DEFINITIONS. Defines "council" and "operational."
Sec. 36.302. FAILURE TO SUBMIT A MANAGEMENT PLAN. Requires TNRCC to take
appropriate action under Section 36.304 if a district fails to submit a
management plan or to receive certification of its management plan under
Section 36.1072 or fails to submit or receive certification of an
amendment to the management plan under Section 36.1073.
Sec. 36.303. GROUNDWATER MANAGEMENT COUNCIL REVIEW; DETERMINATION OF
WHETHER DISTRICT IS OPERATIONAL. Creates the Texas Groundwater Management
Council (council) for the sole purpose of determining whether districts
are operational. Sets forth the composition of the council. Provides
that a district is subject to review by the council under this section.
Requires TNRCC, TWDB and TPWD to provide technical assistance to the
council for the review. Requires the council to conduct a review to
determine whether a district is operational after the first anniversary of
the initial certification of the district's management plan by TWDB under
Section 36.1072 and following the end of every five-year period
thereafter. Requires the determination of whether a district is
operational to be made by the affirmative vote of at least three members
of the council. Requires the council to report the findings of its review
to TNRCC and to the governor, lieutenant governor, and speaker of the
house of representatives. Requires the member of the council representing
TWDB to be responsible for preparing and submitting the report. Requires
TNRCC to take appropriate action under Section 36.304 if the council
determines that the district is not operational.
Sec. 36.304. ACTION BY COMMISSION. Authorizes TNRCC, after notice and
hearing, to take actions TNRCC deems appropriate to enforce compliance
with rules or orders of TNRCC or any provisions of this chapter, including
certain actions. Additionally, authorizes TNRCC to recommend to the
legislature, based upon the report required by Section 35.018, Water Code,
actions TNRCC deems necessary to accomplish comprehensive management in
the district.
Sec. 36.305. New heading: DISSOLUTION OF DISTRICT. Authorizes TNRCC to
dissolve a district that is not operational, as determined under Section
35.303, and has no outstanding bond indebtedness. Makes conforming
changes and nonsubstantive changes.
Sec. 36.306. New heading: NOTICE OF HEARING FOR DISSOLUTION OF BOARD OR
DISTRICT. Makes conforming changes.
Sec. 36.307. INVESTIGATION. Requires the executive director to
investigate the facts and circumstances of any violations. Requires the
executive director to prepare and file a written report with TNRCC and the
district and include any actions the executive director believes TNRCC
should take under Section 36.304.
Sec. 36.308. ORDER OF DISSOLUTION OF BOARD. Sets forth procedures to be
followed if TNRCC enters an order to dissolve the district's board. Makes
conforming changes, including deletion of existing Section 36.304.
Sec. 36.309. CERTIFIED COPY OF ORDER. Created from existing Section
36.305.
Sec. 36.310. APPEALS. Requires appeals from any TNRCC order to be filed
and heard in the district court of any of the counties in which the land
is located. Deletes a requirement that trial appeal be de novo and that
the substantial evidence rule shall not apply. Redesignated from Section
36.306. Makes conforming changes.
Sec. 36.311. ASSETS ESCHEAT. Requires all assets of a district, upon
dissolution of the district by TNRCC, to be sold at public auction and the
proceeds given to the county if it is a single-county district. Requires
the proceeds, if it is a multicounty district, to be divided with the
counties in proportion to the surface land area in each county served by
the district. Deletes existing text regarding escheat of assets to the
State of Texas. Redesignated from Section 36.307.
Sec. 36.312. DISTRICT CREATED BY AN ACT OF THE LEGISLATURE. Requires a
district created by an Act of the legislature to hold a confirmation
election, if a confirmation election is required by that Act, before the
second anniversary of the effective date of that Act. Provides that, if a
district fails to hold an election as required above, the Act creating the
district expires on the second anniversary of the effective date of that
Act and the district has no further authority, except that any debts
incurred shall be paid and the organization of the district shall be
maintained until all debts are paid.
SECTION 4.36. Amends Section 36.325(b), Water Code, by changing reference
to "critical area" to "priority groundwater management area."
SECTION 4.37. Amends Section 36.331, Water Code, by changing reference
to "critical area" to "priority groundwater management area."
SECTION 4.38. Amends Section 151.318(g), Tax Code, to provide that each
person engaged in manufacturing, processing, fabricating, or repairing
personal property for sale is entitled to a refund or reduction of tax
imposed by this chapter for the purchase of certain equipment specifically
installed to: reduce water use and wastewater flow volumes from the
manufacturing, processing, fabrication, or repair operation; reuse and
recycle wastewater streams generated within the manufacturing, processing,
fabrication, or repair operation; or treat wastewater from another
industrial or municipal source for the purpose of replacing existing
freshwater sources in the manufacturing, processing, fabrication, or
repair operation. Makes nonsubstantive changes.
SECTION 4.39. (a) Repealer: Sections 35.010, 35.011, and 35.016, Water
Code.
(b) Repealer: Section 5.02, Chapter 133, Acts of the 69th Legislature,
Regular Session, 1985.
SECTION 4.40. Defines "district" for purposes of this section. Requires
a district which was created or, if the district required a confirmation
election, a district whose creation was confirmed before the effective
date of this Act, to submit a management plan for certification under
Section 36.1072, Water Code, as added by this Act, to TWDB not later than
September 1, 1998. Requires a district that was created by special law,
or whose creation was confirmed by an election required by the special
law, before the effective date of this Act, in deciding whether or not to
issue a permit and in setting the terms of the permit, to consider matters
set forth under Sections 36.113(d) and (e), Water Code, as amended by this
Act, including, without limitation, whether the proposed use of water is
consistent with the district's certified water management plan.
Authorizes a district that was created by special law, or whose creation
was confirmed by an election required by the special law, before the
effective date of this Act, to use funds obtained from permit fees
collected pursuant to the special law for any purpose consistent with the
district's certified water management plan including, without limitation,
making grants, loans, or contractual payments to achieve, facilitate, or
expedite reductions in groundwater pumping or the development or
distribution of alternative water supplies.
SECTION 4.41. Requires an area designated as a critical area under
Chapter 35, Water Code, as it existed before the effective date of this
Act, or under other prior law, to be known and referred to as a priority
groundwater management area on or after the effective date of this Act.
SECTION 4.42. Requires TNRCC to make all designations of priority
groundwater management areas for which critical area reports were required
to have been completed, under Chapter 35, Water Code, before the
effective date of this Act under Section 35.007, Water Code, as that
section existed immediately before the effective date of this Act, not
later than September 1, 1998.
ARTICLE 5. FINANCIAL ASSISTANCE FOR WATER NEEDS AND CONSERVATION
SECTION 5.01. Amends Section 15.431, Water Code, by amending Subsection
(d) and adding Subsection (g), to authorize TWDB to use money maintained
as principal in the agricultural trust fund to make conservation loans to
borrower districts and loans to lender districts for the purposes listed
in Section 17.895, Water Code. Provides that loans and conservation loans
made under this subchapter are subject to the provisions of Sections
17.896 through 17.903, Water Code. Requires repayments of principal and
interest on loans and conservation loans made under this subchapter to be
deposited in the agricultural trust fund. Defines "borrower district,"
"conservation loan," "individual borrower," "lender district," and "loan."
Deletes text prohibiting money maintained as principal in the agricultural
trust fund from being spent for any purpose.
SECTION 5.02. Amends Section 16.189, Water Code, to require TWDB, in
leasing a state facility for a term of years, to require payments that
will recover over the lease period not less than the total of all
principal and interest requirements applicable to the debt incurred by the
state in acquiring the facility and the state's cost for operation,
maintenance, and rehabilitation of the facility. Makes conforming changes.
SECTION 5.03. Amends Chapter 17, Water Code, by adding Subchapter L, as
follows:
SUBCHAPTER L. WATER FINANCIAL ASSISTANCE BOND PROGRAM
Sec. 17.951. DEFINITIONS. Defines "fund" and "resolution."
Sec. 17.952. ISSUANCE OF WATER FINANCIAL ASSISTANCE BONDS. Authorizes
TWDB by resolution to provide for the issuance of water financial
assistance bonds, which are required to be general obligation bonds of the
state, in an aggregate principal amount not to exceed the principal amount
authorized to be issued by Section 49-d-8, Article III, Texas
Constitution.
Sec. 17.953. CONDITIONS FOR ISSUANCE OF WATER FINANCIAL ASSISTANCE BONDS.
Sets forth terms and conditions by which water financial assistance bonds
may be issued.
Sec. 17.954. BOND ENHANCEMENT AGREEMENTS; PAYMENT OF EXPENSES. Sets forth
provisions by which TWDB is authorized to enter into one or more bond
enhancement agreements and pay expenses in connection with the issuance of
water financial assistance bonds and to provide financial assistance to
political subdivisions. Sets forth items that bond enhancement agreements
are authorized to include.
Sec. 17.955. PERSONS DESIGNATED TO ACT AS AGENTS OF THE BOARD. Sets forth
provisions related to the authority of certain persons authorized to act
as agents of TWDB during the time any series of water financial assistance
bonds are outstanding.
Sec. 17.956. TEXAS WATER DEVELOPMENT FUND II. Provides that the fund is a
special fund in the state treasury, and all water financial assistance
bond proceeds are required to be deposited in the state treasury to the
credit of the fund. Sets forth accounts required to be included in the
fund and requires proceeds from the sale of water financial assistance
bonds issued to provide financial assistance to political subdivisions to
be credited to such accounts as provided by resolution by TWDB.
Authorizes TWDB, by resolution, to create additional accounts within the
fund as TWDB determines are necessary or convenient for the administration
of the fund.
Sec. 17.957. STATE PARTICIPATION ACCOUNT. Provides that the Texas Water
Development Fund II state participation account (state participation
account) is an account established within the fund in the state treasury.
Requires transfers to be made from this account as provided by this
subchapter. Sets forth composition of the state participation account.
Authorizes money on deposit in the state participation account to be used
by TWDB for projects described in Section 16.131 in the manner TWDB
determines necessary for the administration of the fund.
Sec. 17.958. ECONOMICALLY DISTRESSED AREAS PROGRAM ACCOUNT. Provides that
the Texas Water Development Fund II economically distressed areas program
account (EDAP account) is an account established within the fund in the
state treasury. Requires transfers to be made from this account as
provided by this subchapter. Sets forth composition of the EDAP account.
Authorizes moneys on deposit in the EDAP account to be used by TWDB for
purposes provided by Subchapter K in the manner that TWDB determines
necessary for the administration of the fund.
Sec. 17.959. FINANCIAL ASSISTANCE ACCOUNT. Provides that the Texas Water
Development Fund II water financial assistance account (financial
assistance account) is an account established within the fund in the state
treasury. Requires transfers to be made from this account as provided by
this subchapter. Sets forth composition of the financial assistance
account. Authorizes moneys on deposit in the financial assistance account
to be used by TWDB for certain purposes in the manner that TWDB determines
necessary for the administration of the fund.
Sec. 17.960. BOND RESOLUTIONS. Authorizes TWDB by resolution to make
additional covenants with respect to water financial assistance bonds and
sets forth instances for which the covenants may provide. Authorizes
TWDB to invest and reinvest money in the fund and any account therein in
any obligations or securities as provided by the resolution or by rule
adopted by TWDB. Authorizes TWDB to adopt and execute other proceedings,
agreements, or trust agreements or instruments necessary in the issuance
of water financial assistance bonds, including bond enhancement
agreements.
Sec. 17.961. TRANSFERS TO REVOLVING FUNDS. Authorizes TWDB, in order to
implement certain revolving loan programs, to direct the comptroller to
transfer amounts from the financial assistance account other funds to
provide financial assistance pursuant to this subchapter. Sets forth
provisions by which TWDB is required to use the state water pollution
control revolving fund. Sets forth provisions and restrictions related to
TWDB using any additional state revolving funds.
Sec. 17.962. STATE APPROVALS. Prohibits the issuance of water financial
assistance bonds under this subchapter unless approved by the bond review
board. Provides that the proceedings relating to the water financial
assistance bonds are subject to review and approval by the attorney
general in the same manner as provided by Article 717q, V.T.C.S. Provides
that after approval by the attorney general of the proceedings relating to
the issuance of water financial assistance bonds, registration of the
proceedings by the comptroller, and delivery of the water financial
assistance bonds to the purchasers, water financial assistance bonds are
incontestable and constitute general obligations of the state.
Sec. 17.963. PAYMENT OF BOARD OBLIGATIONS. Sets forth terms by which TWDB
is required to cooperate with the comptroller to develop procedures for
the payment of principal and interest on water financial assistance bonds
and any obligation under a bond enhancement agreement.
Sec. 17.964. ELIGIBLE SECURITY. Provides that water financial assistance
bonds are eligible to secure deposits of public funds of the state and
political subdivisions of the state. Provides that water financial
assistance bonds are lawful and sufficient security for deposits to the
extent of their face value.
Sec. 17.965. LEGAL INVESTMENTS. Sets forth the entities for which water
financial assistance bonds are legal and authorized investments.
Sec. 17.966. MUTILATED, LOST, OR DESTROYED BONDS. Authorizes TWDB to
provide for the replacement of mutilated, lost, or destroyed water
financial assistance bonds.
Sec. 17.967. REFUNDING BONDS. Sets forth the terms by which TWDB is
authorized, by resolution, to provide for the issuance of water financial
assistance bonds to refund outstanding bonds and water financial
assistance bonds issued under this chapter and federal contractual
obligations incurred under Section 49-d, Article III, Texas Constitution.
Sets forth provisions related to TWDB's selling, and use of proceeds from,
the refunding water financial assistance bonds.
Sec. 17.968. SALE OF POLITICAL SUBDIVISION BONDS BY THE BOARD; USE OF
PROCEEDS. Sets forth the terms under which TWDB is authorized to sell or
dispose of political subdivision bonds purchased with money in the fund
and apply the proceeds of the sale of political subdivision bonds held by
TWDB. Requires TWDB to sell the political subdivision bonds at the price
and under the terms that it determines to be reasonable.
Sec. 17.969. TAX EXEMPT BONDS. Provides that water financial assistance
bonds, interest income and any profit made on the sale of water assistance
financial bonds issued under this subchapter are free from taxation and
any assessments by this state and any political subdivision of this state.
Sec. 17.970. ENFORCEMENT BY MANDAMUS. Authorizes payment of water
financial assistance bonds and obligations incurred under bond enhancement
agreements and performance of official duties prescribed by Section
49-d-8, Article III, Texas Constitution, to be enforced in a court of
competent jurisdiction by mandamus or other appropriate proceedings.
Sec. 17.971. SUBCHAPTER CUMULATIVE OF OTHER LAWS. Provides that this
subchapter is cumulative of other laws on the subject, and TWDB is
authorized to use provisions of other applicable laws in the issuance of
water financial assistance bonds and the execution of bond enhancement
agreements, but this subchapter is wholly sufficient authority for the
issuance of water financial assistance bonds, the execution of bond
enhancement agreements, and the performance of all other acts and
procedures authorized by this subchapter. Authorizes TWDB to exercise the
authority granted to the governing body of an issuer with regard to the
issuance of obligations under Article 717q, V.T.C.S. Authorizes TWDB to
exercise any powers granted to the it under this chapter and Chapter 16,
including the powers described in Subchapters D through G, and K,
notwithstanding any provision inconsistent with the provisions of this
subchapter.
SECTION 5.04. Amends Section 17.001(7), Water Code, to redefine "water
supply project."
SECTION 5.05. Amends Section 17.001, Water Code, by amending Subdivision
(17) and adding Subdivision (25), to redefine "financial assistance" and
define "water financial assistance bonds."
SECTION 5.06. Amends Section 17.011, Water Code, by adding Subsection
(c), to authorize TWDB, by resolution, to issue water financial assistance
bonds. Sets forth purposes for which the bonds may be issued.
SECTION 5.07. Amends Section 17.0111, Water Code, to provide that no
more than $250,000,000 in principal, rather than 50 percent of the amount
of bonds authorized by Article III, Section 49-d-7, of the Texas
Constitution, and issued under either that section or Article III, Section
49-d-8, of the Texas Constitution, may be dedicated to the purposes
provided by Subchapter K. Makes conforming changes.
SECTION 5.08. Amends Section 17.182, Water Code, to require proceeds
from the sale of political subdivision bonds held by TWDB either to be
credited to the account from which financial assistance was made or to be
deposited to the credit of the Texas Water Development Fund II, unless
used to pay debt service on bonds issued under this chapter. Sets forth
restrictions on the deposit of proceeds to the credit of the Texas Water
Development Fund II.
SECTION 5.09. Amends Section 17.278, Water Code, to prohibit TWDB, if an
application includes a proposal for a wastewater treatment plant that is
located outside the jurisdiction of this state and that is not subject to
the permitting authority of TNRCC, from delivering funds for the
wastewater treatment plant until after TWDB reviews the plans and
specifications in coordination with TNRCC and finds that the wastewater
treatment plant is capable of producing effluent that will meet federal
and Texas-approved water quality standards and if effluent produced will
result in water being available for use in or for the benefit of Texas.
SECTION 5.10. Amends Sections 44.007-44.010, Agriculture Code, to require
the board of directors of the Texas Agricultural Finance Authority (TAFA
board) to establish a linked deposit program to encourage commercial
lending for the financing of water conservation projects. Authorizes the
TAFA board or its administrator to receive and review linked deposit
program loan applications, make recommendations on them, and to represent
the state in agreements. Authorizes at any one time, not more than $15
million, of which $10 million is authorized only to be used to finance
water conservation projects, to be placed in linked deposits under this
chapter. Authorizes a loan granted pursuant to this chapter, when used to
finance eligible water conservation projects or equipment, to be applied
to existing debt resulting from the financing of water conservation
projects or equipment for agricultural purposes as defined by TAFA board
rule. Makes conforming and nonsubstantive changes.
SECTION 5.11. Amends Chapter 11B, Tax Code, by adding Section 11.32, as
follows:
Sec. 11.32. CERTAIN WATER CONSERVATION INITIATIVES. Authorizes the
governing body of a taxing unit by official action of the body adopted in
the manner required by law for official actions to exempt from taxation
part or all of the assessed value of property upon which approved water
conservation initiatives have been implemented. Requires approved water
conservation initiatives to be designated pursuant to an ordinance or
other law adopted by the governing unit for purposes of this section.
SECTION 5.12. Amends Section 2155.444, Government Code, by adding
Subsection (d), to require the General Services Commission and all state
agencies making purchase of vegetation for landscaping purposes, including
plants, to give preference to vegetation native to Texas if the cost to
the state is not greater and the quality is not inferior.
SECTION 5.13. Amends Chapter 5F, Water Code, by adding Sections 5.2361
and 5.2362, as follows:
Sec. 5.2361. WATER RESOURCE MANAGEMENT ASSESSMENT. Requires TNRCC to
collect a fee from each public water supply system in the state to ensure
the adequate support of the state's responsibilities for the management of
water resources, including the development of available water supplies,
the provision of adequate water utility services, and the protection of
the quality of water and drinking water sources in the state. Requires
TNRCC to collect the fee annually from the owner of each system authorized
under Chapter 341, Health and Safety Code, to distribute drinking water to
the public. Requires the fee to be submitted to TNRCC by the owner not
later than September 30 each year. Requires the public water supply
system to pay the annual fee to TNRCC on the basis of the number of
connections served during the preceding 12 months. Prohibits a public
water supply system from assessing or collecting a fee for a residential
user who consumes less than 7,000 gallons of water each month. Requires
each public water supply system to assess and collect on a monthly basis
the fee for each retail connection supplied by that system according to a
schedule. Sets out the monthly retail water connection fee schedule.
Authorizes the owner of a public water supply system subject to an
assessment under this section to retain from the fees collected by the
owner an amount equivalent to five cents per month for each connection on
its system to offset the administrative costs of assessment and
collection. Requires fees collected under this section to be deposited to
the credit of the water facilities fund. Authorizes fees assessed under
this section and Section 5.235(n) to be combined and listed on the
customer's bill as one line item entitled "State Water Resource Fee" and
requires the fees to be collected in addition to other charges for utility
services.
Sec. 5.2362. BOTTLED WATER FEE. Requires the Texas Department of Health
(TDH) to annually assess against each bottled water plant operator
certified by rule of TDH a fee based on annual gross receipts. Sets
forth the fee schedule. Requires fees assessed under this section to be
collected in the manner provided by TDH rule and to be deposited to the
credit of the water facilities fund. Provides that the annual gross
receipts from the sale of water purchased by a bottled water plant
operator are not subject to the fee imposed by this section.
SECTION 5.14. Amends Section 5.235(n)(2), Water Code, to authorize the
regulatory assessment to be combined with the fee assessed under Section
5.2361 and listed on the customer's bill as one line item as provided by
Section 5.2361(e).
SECTION 5.15. Amends Chapter 11D, Water Code, by adding Sections 11.1352
and 11.1353, as follows:
Sec. 11.1352. ANNUAL WATER RIGHTS FEE. Requires TNRCC to assess a fee
for water rights held under the authority of this chapter in certain
delineated amounts. Prohibits the assessment of a fee for saline water
rights or water rights for municipal use. Requires the fee to be paid
annually by the water right holder to TNRCC and, except as otherwise
provided in this section, to be based on the amount of water used under
the water right. Sets forth the uses and corresponding amounts for fees
assessed under this section. Requires the owner of a water right that
authorizes a single quantity of water for multiple uses to identify to
TNRCC a specific amount of water in proportion to the amount of water
actually being used under the water right for each use identified for fee
assessments under Subsection (b).
Requires the fee to be assessed against each customer of the water right
holder for the amount of water used or the amount of hydroelectric power
produced that is committed to the customer by contract. Requires the
water right holder to pay all fees assessed against its customers by the
payment deadline established by TNRCC, and each customer to reimburse the
water right holder on demand by the water right holder. Authorizes the
water right holder to waive its right to reimbursement against any
customer. Requires fees collected under this section to be deposited to
the credit of the water facilities fund. Provides that, except as
provided by Section 11.1353(a), a water right holder within the
jurisdiction of a watermaster authorized under this chapter who pays a
fee to reimburse the watermaster for the expenses of that office is not
subject to a fee for a water right under this section.
Sec. 11.1353. WATER RIGHT WITHIN WATERMASTER'S JURISDICTION; GROUNDWATER
CONSERVATION DISTRICT; FEES. (a) Requires a political subdivision that
holds a water right located in an area under the jurisdiction of a
watermaster to pay fees at the rates established under Section 11.1352(b)
according to the amount of water actually diverted and used during the
previous calendar year as reflected in the records of the appropriate
watermaster in order to be eligible to receive financial assistance under
Section 15.015(a). Requires the fees to be paid annually beginning before
the first anniversary of the date on which the fees were first imposed by
law if the political subdivision already is located within the
jurisdiction of a watermaster. Requires the political subdivision to pay
fees under this subsection beginning before the first anniversary of the
establishment of the watermaster if the political subdivision comes within
the jurisdiction of a watermaster after the date on which the fees were
first imposed by law. Authorizes a groundwater conservation district to
elect to pay an annual fee of $3 for each residential connection served by
public water supply systems in a county with a population of 40,000 or
less in the district instead of the water supply systems paying the fees
under Section 5.2361(b). Requires fees collected under this section to be
deposited to the credit of the water facilities fund.
SECTION 5.16. Amends Chapter 11C, Water Code, by adding Section 11.0851
as follows:
Sec. 11.0851. COMPENSATION TO BASIN OF ORIGIN. Requires TNRCC, in
approving an application under Section 11.085, to determine an amount of
money to be paid by the applicant to the benefit of the basin of origin to
assist the basin of origin in providing projects to conserve, convey, and
develop surface or subsurface water resources, to provide for the
maintenance and enhancement of the quality of water, and to provide
nonstructural or structural flood control. Prohibits the amount of money
to be paid from being less than $1 per acre-foot authorized to be
transferred each year. In determining the amount, requires TNRCC to
consult with TWDB and consider, in part, the projected future needs of the
basin of origin as identified in the state water plan. Requires the
compensation determined by TNRCC to be paid annually during the term for
which the transfer is authorized for the benefit of the basin of origin
and deposited to the credit of the water facilities fund. Requires the
payments to be accounted for separately according to the appropriate basin
of origin, and prohibits them from being used in determining the
percentage of money allocated under Sections 15.014(b) and (c). Sets
forth authorized uses of these payments by TWDB to benefit the basin of
origin.
SECTION 5.17. Amends Chapter 13E, Water Code, by adding Section 13.143
as follows:
Sec. 13.143. NOTICE OF WHOLESALE WATER SUPPLY CONTRACT. Requires a
district or authority created under Section 52, Article III, or Section
59, Article XVI, Texas Constitution, a retail public utility, a wholesale
water service, or other person providing a retail public utility with a
wholesale water supply to provide TNRCC with a certified copy of any
wholesale water supply contract with a retail public utility within 30
days after the date of the execution of the contract. Requires the
submission to include certain information.
SECTION 5.18. Amends Section 15.001(5), Water Code, by redefining
"political subdivision." Makes conforming changes.
SECTION 5.19. Amends Section 15.002(a), Water Code, by making
legislative findings that it is in the public interest and to the benefit
of the general public of the state to encourage and to assist in the
planning and construction of projects to develop and conserve the ordinary
flows of the subsurface water resources in the state and to allow the
purchase of water rights for future transfer or for use, or for holding or
retiring for environmental purposes, to provide a mechanism for state
acquisition and enhancement of fish or wildlife habitat.
SECTION 5.20. Amends Section 15.008, Water Code, to provide that Chapter
783, Government Code, rather than Article 4413(32g), V.T.C.S., does not
apply to a contract under Subchapter C, F, H, J, K, or L of this chapter.
Makes conforming changes.
SECTION 5.21. Amends Chapter 15B, Water Code, as follows:
SUBCHAPTER B. New heading: WATER ASSISTANCE FUND AND WATER
FACILITIES FUND
Sec. 15.011. WATER ASSISTANCE FUND. Authorizes TWDB, after notice and
hearing and subject to any limitations established by the General
Appropriations Act, to transfer money from the fund the project
acquisition fund created under Subchapter E of this chapter, the pilot
weather modification fund created under Subchapter N of this chapter, and
the conservation and restoration fund created under Subchapter O of this
chapter, provided the hydrographic survey account transfer does not exceed
$425,000. Makes conforming changes.
Sec. 15.012. MANAGEMENT OF FUND. Authorizes money from the water
facilities fund to be transferred to the water assistance fund at the
direction of the legislature or TWDB. Requires money appropriated to the
fund by the legislature for a specific purpose stated in Subchapter C, E,
F, M, N, or O of this chapter or appropriated to any other fund into which
money from the fund may be transferred to be placed in the appropriate
fund created by that subchapter.
Sec. 15.013. WATER FACILITIES FUND. Provides that the water facilities
fund is a special account in the general revenue fund. Requires TWDB to
administer the fund under this chapter and rules adopted by TWDB.
Provides that the fund is created and requires it to be maintained to
provide funding for the state's various programs for water resources
development and management. Sets forth composition of the water facilities
fund.
Sec. 15.014. MANAGEMENT AND USE OF WATER FACILITIES FUND.
(a) Authorizes an amount not to exceed 2-1/2 percent of the fees deposited
in the water facilities fund to be used to pay the operating expenses of
TNRCC relating to water resources management and protection. Authorizes
fees collected under Sections 5.2361 and 5.2362 to be used to supplement
any other money available to TNRCC to support TNRCC's regulatory and water
resource programs under the Water Code and Chapter 341, Health and Safety
Code. Authorizes fees collected under Sections 11.1352 and 11.1353 to be
used to supplement any other money available to TNRCC for the
administration of Chapter 11 and other provisions of the Water Code
relating to the management of the surface water resources of the state.
Authorizes fees described by this subsection to be used only for the uses
described by this subsection, except as provided by Subsections (b), (c),
and (d). Authorizes TWDB to transfer money from the water facilities fund
to the water resource management account in the general revenue fund.
(b) Authorizes all money deposited in the water facilities fund under
Sections 15.013(b)(3), (4), and (8) and 70 percent of the money in the
water facilities fund remaining after uses prescribed by Subsection (a) to
be used only as prescribed by TWDB rule to provide financial assistance
through the financial assistance programs of TWDB included under
Subdivisions (1)-(5), including financial assistance for hardship
projects. Requires TWDB to assure that at least 25 percent of the money
in the water facilities fund will be used to provide financial assistance
to political subdivisions that regularly serve fewer than 15,000 persons.
Authorizes TWDB to determine the amounts to be allocated for transfer to,
and to order the transfer of those amounts, to certain funds.
(c) Requires TWDB, when possible, to give first priority to the transfer
of funds from the water facilities fund to provide a match for federal
funds or to provide other funds to enhance programs that use federal
money, including the state water pollution control revolving fund or
additional state revolving funds under Subsection (b)(4). Requires TWDB
to give next priority in the transfer of funds to payment of debt service
on bonds issued for the state participation program under Subsection
(b)(2), followed by projects that enhance or encourage regional benefits.
(d) Requires the money deposited annually into the water facilities fund
and not used under Subsection (a) or dedicated for use under Subsection
(b) to be divided annually in equal amounts to be used for certain listed
purposes.
(e) Authorizes TWDB to transfer money allocated for a specific purpose
under Subsections (d)(1)-(10) to be used for another purpose under
Subsections (d)(1)-(10) if, at the end of a biennium, the money has not
been used for that specific purpose.
(f) Requires TWDB to transfer money allocated by Subsection (d) to be
used under Subsections (d)(1)-(10) from the water facilities fund in
amounts determined by TWDB to certain funds. Within each category of use
under Subsections (d)(1)-(10), requires TWDB to give priority in funding
to projects that provide the greatest benefit when compared to cost and to
adopt rules for the submission and prioritization of applications to meet
this requirement. Authorizes TWDB to give priority to a project without
regard to its benefit compared to its cost on a finding of imminent public
necessity. Prohibits money transferred under this subsection to be used
for making grants for projects that meet the eligibility requirements
under Section 15.102(b) or 15.407 or Subchapter K, Chapter 17. Authorizes
money transferred under this subsection to be used for financial
assistance for projects in economically distressed areas that are not
eligible for economically distressed areas funding. On a finding of
imminent public necessity, authorizes TWDB annually to redistribute not
more than 15 percent of the money allocated under Subsections (d)(1)-(10)
to be used for any of the purposes authorized by Subsections (d)(1)-(10).
Provides that, at the request of TPWD, money allocated by Subsection
(d)(11) shall be transferred to the conservation and restoration fund for
TPWD's use under Subchapter O.
(g) Authorizes TWDB to pledge an amount not to exceed one-half of the
first revenues deposited in the water facilities fund from fees collected
under Sections 5.2361, 5.2362, 11.1352, and 11.1353 to repay revenue bonds
issued under the authority of Subchapter I, Chapter 17.
(h) Prohibits the water facilities fund certain uses.
(i) Sets certain limitations on using the money contributed annually to
the fund to purchase water rights. Prohibits money in the fund from being
transferred and used for the administration of the water bank unless the
use is approved in the General Appropriations Act.
(j) Authorizes TWDB by rule to establish the method for determining
certain interest rates.
(k) Authorizes TWDB to invest, reinvest, and direct the investment of
money accumulated in the water facilities fund as provided by law for the
investment of money under Section 404.024, Government Code.
Sec. 15.0141. FUNDING FOR BRUSH CONTROL. Authorizes TWDB to transfer
money allocated for brush control under Section 15.014(d) to the brush
control fund of the State Soil and Water Conservation Board to be used for
the purposes of Subchapter E, Chapter 203, Agriculture Code. Authorizes
TWDB to transfer the money to the State Soil and Water Conservation Board
as needed to close a grant. Prohibits money transferred under this section
from being used by the State Soil and Water Conservation Board for any
administrative costs incurred from administering the cost-sharing program
under Subchapter E, Chapter 203, Agriculture Code.
Sec. 15.015. ELIGIBILITY FOR FINANCIAL ASSISTANCE. Sets forth
eligibility criteria for political subdivisions to receive financial
assistance made available from the water facilities fund. Provides that
the payment of fees does not guarantee that a political subdivision will
receive financial assistance made available from the water facilities
fund. Provides that if a person, after the date on which the fee is first
imposed by law, is granted a water right on which a fee will be assessed
under Section 11.1352, the person is required to pay fees under this
section from the date of issuance of the water right; if after the
effective date of this section a water right for which there are any
unpaid fees due under Section 11.1352 is transferred to a person, the new
water right holder is liable for the payment of those fees.
SECTION 5.22. Amends Section 15.101(b), Water Code, to require
repayments of loans to be deposited in the water facilities fund. Makes
conforming changes.
SECTION 5.23. Amends Section 15.102, Water Code, by amending Subsection
(a) and adding Subsections (e) and (f) as follows:
(a) Authorizes TWDB to use the loan fund to provide loans of financial
assistance to certain entities for the construction, acquisition,
improvement, or enlargement of projects involving water conservation,
water development, flood control, or water quality enhancement as provided
by legislative appropriations, this chapter, or TWDB rule, including
certain listed projects. Makes conforming and nonsubstantive changes.
(e) Requires TWDB by rule to establish the interest rate at or below
market interest rates for loans made from the loan fund.
(f) Authorizes TWDB to make a grant to a political subdivision for a
purpose listed in Section 15.014(d) in an amount not to exceed 90 percent
of the net cost of the project to the political subdivision after
deducting federal funds available for the project. Authorizes TWDB to
provide a grant under this subsection only if it makes certain findings.
Authorizes TWDB, in considering a grant application for a local project
that it finds would provide more benefit if undertaken on a regional
level, to offer a larger grant if the applicant resubmits or amends the
application to propose the project as a regional rather than a local
project. Requires TWDB by rule to establish the procedure for grant
applications and the method for determining which projects receive grants.
SECTION 5.24. Amends Section 15.105, Water Code, to make a conforming
change
SECTION 5.25. Amends the heading to Chapter 15E, Water Code, as follows
(and makes a conforming change): SUBCHAPTER E. PROJECT ACQUISITION
PROGRAM
SECTION 5.26. Amends Section 15.301, Water Code, as follows:
Sec. 15.301. FUND CREATED. Provides that there is created a fund in the
state treasury to be known as the project acquisition fund which is to be
funded by direct appropriations and by transfers from the fund at the
discretion of TWDB or direction of the legislature. Makes conforming
changes.
SECTION 5.27. Amends Section 15.302(a), Water Code, to authorize TWDB to
use the project acquisition fund for projects including the acquisition
of land or options for the acquisition of land to hold for future water
supply projects. Makes conforming changes.
SECTION 5.28. Amends Sections 15.304 and 15.306, Water Code, as follows:
Sec. 15.304. PERMITS REQUIRED. Except as provided by Section 15.3041,
Water Code, Requires TWDB to obtain permits from TNRCC for the storage,
transportation, and application to beneficial use of water in reservoirs
and associated works constructed by TWDB, and any other permit required by
state law, and authorizes TWDB to spend money from the project acquisition
fund for those purposes.
Sec. 15.306. BOARD FINDINGS. Before TWDB may acquire facilities,
requires TWDB to find affirmatively that the needs addressed by the
project will be addressed in a manner consistent with the state water
plan, unless TWDB determines that conditions warrant waiver of this
requirement. Deletes existing text requiring TWDB to find affirmatively
that it is reasonable to expect that the state will recover its
investments in the facilities. Makes other conforming and nonsubstantive
changes.
SECTION 5.29. Amends Section 15.3061(a), Water Code, to require TWDB to
prepare and submit with its biennial budget request to the Legislative
Budget Board and to the presiding officers of each house of the
legislature a list of all projects that could have been funded had
sufficient money been available, if money is not available in the fund to
provide money for projects approved under this subchapter.
SECTION 5.30. Amends Section 15.307, Water Code, to prohibit TWDB from
acquiring any facility to the extent that TWDB finds that the political
subdivision has not qualified by obtaining the necessary permit.
Authorizes TWDB to make a commitment to acquire a facility contingent on
all required permits being obtained by the political subdivision or TWDB.
SECTION 5.31. Amends Section 15.308(a), Water Code, by making a
conforming change.
SECTION 5.32. Amends Section 15.309, Water Code, by making conforming
and nonsubstantive changes.
SECTION 5.33. Amends Section 15.313(a), Water Code, by making a
conforming change.
SECTION 5.34. Amends Sections 15.314 and 15.316, Water Code, as follows:
Sec. 15.314. PERMIT REQUIRED. Requires the applicant to first secure all
permits for water use or other permits for operation of the project from
TNRCC before TWDB grants the application to buy, receive, or lease the
facilities. Makes a conforming change.
Sec. 15.316. New heading: PROJECT LAND. Makes a conforming change.
SECTION 5.35. Amends Sections 15.319-15.324, 15.326, and 15.327, Water
Code, as follows:
Sec. 15.319. COSTS DEFINED. Redefines "direct cost of acquisition."
Sec. 15.320. LEASE PAYMENTS. In leasing a state facility for a term of
years, requires TWDB to require payments that will recover over the term
of the lease not less than the total of all principal and interest
requirements applicable to the debt incurred by the state in acquiring the
facility, and the state's cost for operation, maintenance, and
rehabilitation of the facility, including a portion of TWDB's cost of
administering the project acquisition program under this subchapter.
Sec. 15.321. SALE OR LEASE: CONDITION PRECEDENT. Provides that no sale,
transfer, or lease of a state facility is valid unless TWDB first finds,
inter alia, that the applicant has a permit granted by TNRCC if a permit
is required to operate the project. Deletes the word "revenue" in front of
the word "bonds" throughout the section.
Sec. 15.322. DISPOSITION OF PROCEEDS. Requires the money received from
any sale, transfer, or lease of facilities, or in the case of a sale or
transfer involving bonds, the money received as matured interest or
principal on the bonds to be placed in the water facilities fund. Makes
conforming changes. Deletes "revenue" before "bonds" in existing text.
Sec. 15.323. SALE OF STORED WATER. Authorizes TWDB to sell any
unappropriated public water of the state and other water acquired by the
state or TWDB that is stored by or for it. Makes conforming changes.
Sec. 15.324. SALE CONTRACT: PROVISIONS, LIMITATIONS. Authorizes TWDB to
determine the consideration and other provisions to be included in water
sale contracts or in contracts for treatment of wastewater or any other
use of any TWDB facility. Authorizes TWDB to include charges for standby
service, which means holding water and conservation storage space for use
and for actual delivery of water or reserving capacity for wastewater
treatment for use and for actual treatment. Requires TWDB to make the same
determinations with respect to the sale of water or to other use of
TWDB-owned facilities as are required by Section 15.321, Water Code, with
respect to the sale or lease of facilities. Prohibits TWDB from competing
with any political subdivisions in the sale of water or use of facilities
when this competition jeopardizes the ability of the political subdivision
to meet obligations incurred to finance its own projects. Makes conforming
changes.
Sec. 15.326. PREFERENCES. Requires TWDB to give political subdivisions a
preferential right, but not an exclusive right, to purchase, acquire, or
lease facilities and to purchase water or capacity from facilities. For
water use, requires preferences to be given in these respects in accord
with the provisions of Section 11.123, Water Code. Makes conforming
changes.
Sec. 15.327. LEASE OF LAND PRIOR TO PROJECT CONSTRUCTION. Requires the
lease to provide for expiration before completion, rather than initiation,
of project construction. Required the money received from such leases to
be placed in the water facilities fund. Makes conforming changes.
SECTION 5.36. Amends Chapter 15, Water Code, by adding Subchapters N and
O as follows:
SUBCHAPTER N. PILOT WEATHER MODIFICATION PROGRAM
Sec. 15.821. PROGRAM CREATION. Creates the pilot weather modification
program to provide money for research on the effectiveness of weather
modification operations to augment existing surface water and groundwater
supplies to benefit agricultural operations, surface water users,
groundwater users, or the general economy of the state. Requires the
program to be operated by TWDB and to be designed, and operated for a
sufficient number of years, to provide scientifically supportable
determinations as to the effectiveness of weather modification.
Sec. 15.822. PILOT WEATHER MODIFICATION FUND. Provides that the pilot
weather modification fund is a special account in the general revenue
fund, consisting of direct appropriations and money transferred to the
fund under Section 15.014(e).
Sec. 15.823. FINANCIAL ASSISTANCE. Authorizes the pilot weather
modification fund to be used by TWDB to provide grants to any person for
research on any matter related to determining the effectiveness of weather
modification as described in Section 15.821.
Sec. 15.824. REPORTS. Requires TWDB, with the assistance of TNRCC, to
report to the legislature and the governor each biennium on progress made
in determining the effectiveness of weather modification.
SUBCHAPTER O. CONSERVATION AND RESTORATION PROGRAM
Sec. 15.841. PROGRAM CREATION. Establishes the conservation and
restoration program to provide money to assist in meeting mitigation
requirements and enhancing conservation benefits of water projects,
securing water rights for fish and wildlife, and other necessary
expenditures to assure that water projects may be completed in a timely
fashion and maximize the project's water and conservation benefits.
Sec. 15.842. CONSERVATION AND RESTORATION FUND. Provides that the
conservation and restoration fund is a special account in the general
revenue fund, consisting of direct appropriations and money transferred to
the fund under Section 15.014(f). Requires the conservation and
restoration fund to be administered by TPWD.
Sec. 15.843. FINANCIAL ASSISTANCE. Authorizes the conservation and
restoration fund to be used by TPWD to assist in meeting mitigation
requirements and enhancing conservation benefits of water projects,
securing water rights for fish and wildlife, and making other necessary
expenditures to assure the timely completion of water projects and to
maximize the water and conservation benefits of water projects.
Sec. 15.844. BENEFICIAL USE OF WATER RIGHTS. Provides that the use of
any state water right by TPWD under this program for conservation purposes
is a beneficial use for purposes of this chapter and Chapter 11.
SECTION 5.37. Amends Section 17.077(a), Water Code, to require that all
money received by TWDB in any fiscal year (with certain exceptions),
including all amounts received as repayment of loans to political
subdivisions and interest on those loans and any transfers to the fund by
TWDB from the sources available to TWDB, shall be credited to the
clearance fund.
SECTION 5.38. Amends Section 17.853(c), Water Code, to authorize TWDB to
only use the fund, among other things, to provide financial assistance to
participants for the construction of projects authorized by Section
15.102(a), Water Code. Makes conforming changes.
SECTION 5.39. Amends Section 17.859(a), Water Code, to authorize TWDB to
issue its revenue bonds for the purpose of providing money for the fund
and to deposit into the fund all money authorized by law to be placed in
the fund. Makes conforming and nonsubstantive changes.
SECTION 5.40. Amends Section 16.001(7), Water Code, to redefine
"political subdivision."
SECTION 5.41. Amends Section 17.001(6), Water Code, to redefine
"political subdivision".
SECTION 5.42. Provides that Sections 15.320, 15.321, 15.322, 15.324, and
15.327, Water Code, as amended by this Act, apply only to a lease or
contract for sale entered into on or after the effective date of this Act.
SECTION 5.43. Requires the initial payment by a public water supply
system of the annual fee imposed by Section 5.2361(b), Water Code, as
added by this Act, to be submitted to TNRCC by the owner of the system not
later than September 30, 1998. Authorizes a public water supply system to
assess and collect the monthly fee the public water supply system is
required to assess and collect by Section 5.2361(b), Water Code, as added
by this Act, beginning on the effective date of this Act.
ARTICLE 6. SMALL COMMUNITIES ASSISTANCE
SECTION 6.01. Amends Section 5.311, Water Code, to authorize TNRCC to
delegate to an administrative law judge of the State Office of
Administrative Hearings the authority to issue interlocutory orders
related to interim rates under Chapter 13. Requires the administrative
law judge to report to TNRCC on the hearing in the manner provided by law,
except as provided in Subsection (a). Makes conforming changes.
SECTION 6.02. Amends Sections 13.002(11), (21), and (24), Water Code, to
redefine "member," "service," and "water supply or sewer service
corporation."
SECTION 6.03. Amends Section 13.181, Water Code, by making a
nonsubstantive, reorganizational change.
SECTION 6.04. Amends Section 13.183, Water Code, by adding Subsection
(c), to authorize the regulatory authority to develop methodologies for
water or sewer rates using factors other than rate of return and those
specified in Section 13.185, to ensure that retail customers receive
higher quality or more reliable water or sewer service. Sets forth
requirements for overall revenues determined pursuant to an alternate
methodology developed under this section. Requires the regulatory
authority, in determining to use alternate ratemaking methodologies, to
assure that rates, operations, and services are just and reasonable to the
consumers and to the utilities.
SECTION 6.05. Amends Section 13.184(a), Water Code, to prohibit TNRCC
from prescribing any rate that will yield more than a fair return on the
invested capital used and useful in rendering service to the public unless
TNRCC establishes alternate rate methodologies in accordance with Section
13.183(c). Authorizes the governing body of a municipality exercising its
original jurisdiction over rates and services to use alternate ratemaking
methodologies established by ordinance or by TNRCC rule in accordance with
Section 13.183(c). Sets forth certain rate restrictions. Makes a
conforming change.
SECTION 6.06. Amends Section 13.185(a), Water Code, to require
components of invested capital and net income to be determined according
to the rules stated in this section, unless alternate methodologies are
adopted as provided in Sections 13.183(c) and 13.184(a). Makes a
conforming change.
SECTION 6.07. Amends Chapter 13G, Water Code, by adding Section 13.241,
as follows:
Sec. 13.241. GRANTING CERTIFICATES. Sets forth guidelines to be used by
TNRCC when determining whether to grant a certificate of public
convenience and necessity (certificate) to ensure that the applicant
utility possesses the financial, managerial, and technical capability to
provide adequate and continuous service. Requires the applicant to
demonstrate that regionalization or consolidation with another retail
public utility is not economically feasible before TNRCC grants a new
certificate for an area which would require construction of a physically
separate water or sewer system.
SECTION 6.08. Amends Section 13.246, Water Code, as follows:
Sec. 13.246. NOTICE AND HEARING; ISSUANCE OR REFUSAL; FACTORS CONSIDERED.
Authorizes TNRCC to impose special conditions necessary on an application
for a certificate to ensure that continuous and adequate service is
provided. Authorizes TNRCC to require an applicant for a certificate to
provide a bond or other financial assurance. Requires TNRCC, where
applicable, in addition to other factors in this section, to consider the
efforts of the applicant to extend service to any economically distressed
areas located within the service areas certificated to the applicant.
Defines "economically distressed area."
SECTION 6.09. Amends Section 13.253, Water Code, as follows:
Sec. 13.253. IMPROVEMENTS IN SERVICE; INTERCONNECTING SERVICE. (a)
Authorizes TNRCC, after notice and hearing, to: order any retail public
utility that is required to possess a certificate, or that possesses a
certificate and is located in an affected county, as defined in Section
16.341, Water Code, to provide specified improvements in its service in a
defined area under certain circumstances, or develop, implement, and
follow certain practices to ensure that continuous and adequate service is
provided to any areas currently certificated to the retail public utility
if the retail public utility has not provided continuous and adequate
service to any of those areas and, for a utility, to provide certain
financial assurance of the utility's ability to operate the system in
accordance with applicable laws and rules; order two or more public
utilities or water supply or sewer service corporations to establish
specified facilities for interconnecting service; order a public utility
or water supply or sewer service corporation that has not demonstrated
that it can provide continuous and adequate service from its drinking
water source or sewer treatment facility to obtain service sufficient to
meet its obligation to provide continuous and adequate service on at least
a wholesale basis from another consenting utility service provider; or
issue an emergency order, with or without a hearing, under Section 13.041,
Water Code. Makes conforming and nonsubstantive changes.
(b) Authorizes the TNRCC, after notice and an opportunity for the retail
public utility to be heard, to immediately order specified improvements
and repairs to the water or sewer system, the costs of which may be paid
by the bond or other financial assurance in an amount determined by TNRCC
not to exceed the amount of the bond or financial assurance, if TNRCC has
reason to believe that improvements and repairs to a water or sewer
service system are necessary to enable a retail public utility to provide
continuous and adequate service in any portion of its service area and the
retail public utility has provided financial assurance under Section
341.0355, Health and Safety Code, or Chapter 13, Water Code. Authorizes
the order requiring the improvements to be an emergency order if it is
issued after the retail public utility has had an opportunity to be heard
by the commissioners at a TNRCC meeting. Authorizes TNRCC, after notice
and hearing, to require a retail public utility to obligate additional
money to replace the financial assurance used for the improvements.
SECTION 6.10. Amends Section 13.254, Water Code, to set forth the
conditions TNRCC must find to authorize TNRCC to revoke or amend any
certificate of public convenience and necessity. Authorizes TNRCC to
require one or more retail public utilities with their consent to provide
service in the area in question, if the certificate of any retail public
utility is revoked or amended, but provides that TNRCC's order shall not
be effective to transfer property. Prohibits a retail public utility from
rendering retail water or sewer service to the public in an area that has
been decertified under this section without providing compensation for any
property that TNRCC determines is rendered useless or valueless to the
decertified retail public utility as a result of decertification. Sets
forth procedures for the determination of the monetary amount of
compensation and the method of payment.
SECTION 6.11. Amends Section 13.301, Water Code, to require a utility or
a water supply or sewer service corporation on or before the 120th day
before the effective date of a sale, acquisition, lease, or rental of a
water or sewer system that is required by law to possess a certificate or
the effective date of a merger or consolidation with such a utility or
water supply or sewer service corporation to file a written application
with TNRCC and give public notice of the action unless public notice is
waived by the executive director for good cause shown. Authorizes TNRCC to
require the purchaser or acquirer to demonstrate adequate capability to
provide continuous and adequate service to the requested area and any
areas currently certificated to the person. Authorizes TNRCC to require
the person to provide a bond or other financial assurance if the person
purchasing or acquiring the water or sewer system cannot demonstrate
adequate financial capability. Authorizes the executive director to
request a hearing if the application filed with TNRCC of the public notice
was improper, if the purchaser or acquirer has not demonstrated capability
for providing continuous and adequate service to the service area being
acquired and to any areas currently certificated to the person, or for
other reasons in existing law. Prohibits the sale, acquisition, lease, or
rental from being completed if a hearing is requested or if the utility or
water supply or sewer service corporation fails to make the application as
required or to provide public notice, unless TNRCC determines that the
proposed transaction serves the public interest. Makes conforming and
nonsubstantive changes.
SECTION 6.12. Amends Section 13.302, Water Code, to set forth
requirements for an application for a person acquiring a controlling
interest in a utility or a utility purchasing voting stock in another
utility doing business in this state. Authorizes TNRCC to require a
person acquiring a controlling interest in a utility to demonstrate
adequate capability to provide continuous and adequate service to the
requested area and any areas currently certificated to the person.
Authorizes TNRCC to require the person acquiring the controlling interest
to provide a bond or other financial assurance to ensure the provision of
continuous and adequate utility service if the person cannot demonstrate
adequate financial capability. Prohibits the purchase or acquisition from
being completed if a hearing is requested or if the person or utility
fails to make the application to the TNRCC as required, unless TNRCC
determines that the proposed transaction serves the public interest.
Makes conforming and nonsubstantive changes.
SECTION 6.13. Amends Section 13.412, Water Code, by amending Subsections
(a) and (b) and adding Subsections (f) and (g), to require the attorney
general, at the request of TNRCC, to bring suit for the appointment of a
receiver to collect the assets and carry on the business of a water or
sewer utility that informs TNRCC that the owner is abandoning the system.
Requires the court to appoint a receiver if an appointment is necessary to
guarantee continuous and adequate service to the customers of the utility.
Defines abandonment to include certain actions for purposes of Sections
13.412 and 13.4132, Water Code. Authorizes a receiver appointed under
this section, notwithstanding Section 64.021, Civil Practice and Remedies
Code, to seek TNRCC approval to acquire the water or sewer utility's
facilities and transfer the utility's certificate. Requires the receiver
to apply in accordance with Chapter 13H. Makes conforming changes.
SECTION 6.14. Amends Sections 13.4132(a) and (c), Water Code, to
authorize TNRCC, after providing to the utility an opportunity to be heard
by the commissioners at a TNRCC meeting, to authorize a willing person to
manage certain utilities. Provides that a person appointed under this
section has the power and duty, inter alia, to access all system
components. Makes conforming and nonsubstantive changes.
SECTION 6.15. Amends Section 15.602, Water Code, to define "community
water system," "disadvantaged community," "nonprofit noncommunity water
system," "public water system," "Safe Drinking Water Act," and "safe
drinking water revolving fund," and to redefine "political subdivision."
Makes conforming changes.
SECTION 6.16. Amends Chapter 51J, Water Code, by adding Section 15.6041,
as follows:
Sec. 15.6041. FINANCIAL ASSISTANCE UNDER THE SAFE DRINKING WATER
REVOLVING FUND. Requires the safe drinking water revolving fund to be
administered by TWDB under this subchapter and rules adopted by TWDB.
Requires the fund to be held and administered by TWDB in the same manner
as provided by Section 15.603, except that the fund shall be used in
accordance with the Safe Drinking Water Act (SDWA) and shall be used to
provide financial assistance for certain purposes. Authorizes TWDB to
establish accounts in the fund and sets forth specific accounts and their
uses. Sets forth authorization provisions for financial assistance from
the disadvantaged community account. Requires TWDB, in providing
financial assistance from the disadvantaged community account, to
determine the amount of a loan which the political subdivision cannot
repay based on affordability criteria established by TWDB by rule.
Requires TWDB to forgive repayment of that portion of the principal of the
loan which it determines the political subdivision cannot repay.
Prohibits financial assistance from the disadvantaged community account
from exceeding the allowable percentage of the amount of the
capitalization grant received by the state pursuant to the SDWA.
SECTION 6.17. Amends Sections 15.603(c) and (g), Water Code, to remove the
existing provision that the revolving fund consists of money derived "to
provide the required state match for the purposes of this subchapter."
Also, makes conforming and nonsubstantive changes.
SECTION 6.18. Amends Section 341.031(a), Health and Safety Code, to delete
a requirement that public drinking water comply with the standards
established by the United States Public Health Service.
SECTION 6.19. Amends Chapter 341C, Health and Safety Code, by adding
Section 341.0315, as follows:
Sec. 341.0315. PUBLIC DRINKING WATER SUPPLY SYSTEM REQUIREMENTS.
Requires TNRCC to ensure that public drinking water supply systems meet
certain requirements. Requires TNRCC to encourage and promote the
development and use of regional and areawide drinking water supply
systems. Requires each public drinking water supply system to provide an
adequate and safe drinking water supply. Requires the supply to meet the
requirements of Section 341.031, Health and Safety Code, and TNRCC rules.
Requires TNRCC to consider compliance history in determining issuance of
new permits, renewal permits, and permit amendments for a public drinking
water system.
SECTION 6.20. Amends Chapter 341C, Health and Safety Code, by amending
Section 341.035, and adding Sections 341.0351-341.0356, as follows:
Sec. 341.035. APPROVED PLANS REQUIRED FOR PUBLIC WATER SUPPLIES.
Prohibits a person from beginning construction of a public drinking water
supply system unless the executive director approves certain items, except
as provided by Subsection (d). Requires the prospective owner or operator
of the system to submit a business plan that meets certain requirements to
the executive director. Requires the executive director to review the
business plan and authorizes the executive director to order the
prospective owner or operator to provide certain financial assurance,
unless the executive director finds that the business plan demonstrates
adequate financial capability. Requires the prospective owner or
operator of the proposed system to provide to TNRCC completed plans and
specifications for review and approval in accordance with TNRCC rules.
Provides that certain persons are not required to file a business plan
under Subsection (a)(1) or (b). Deletes existing text regarding approval
of plans. Makes conforming changes.
Sec. 341.0351. New heading: NOTIFICATION OF SYSTEM CHANGES.
Redesignated from existing Section 341.035(b). Makes a nonsubstantive
change.
Sec. 341.0352. New heading: ADVERTISED QUALITY OF WATER SUPPLY.
Redesignated from existing Section 341.035(c).
Sec. 341.0353. New heading: DRINKING WATER SUPPLY COMPARATIVE RATING
INFORMATION. Redesignated from existing Section 341.035(d). Makes
nonsubstantive changes.
Sec. 341.0354. New heading: HIGHWAY SIGNS FOR APPROVED SYSTEM RATING.
Redesignated from existing Section 341.035(e).
Sec. 341.0355. FINANCIAL ASSURANCE FOR CERTAIN SYSTEMS. Authorizes
TNRCC to require the owner or operator of certain public drinking water
supply systems to provide a business plan that meets certain requirements
and to provide certain financial assurances. Requires, if TNRCC relies on
rate increases or customer surcharges as the form of financial assurance,
such funds to be deposited in an escrow account and released only with the
approval of TNRCC.
Sec. 341.0356. ORDER TO STOP OPERATIONS. Requires a public water supply
system to stop operations on receipt of a written notification of the
executive director of TNRCC or an order of TNRCC issued under this
section. Authorizes the executive director or TNRCC to order a public
water supply system to stop operations if certain criteria are met.
Authorizes a notification or order issued under this section to be
delivered by facsimile, by personal service, or by mail. Provides that a
water supply system subject to notification or an order under this
section, on written request, is entitled to an opportunity to be heard by
the commissioners at a TNRCC meeting. Prohibits the public water supply
system from resuming operations until TNRCC, the executive director, or a
court authorizes resumption.
SECTION 6.21. Amends Sections 341.047(a) and (b), Health and Safety
Code, to provide that a person commits an offense if the person begins
construction of, rather than establishes, a drinking water supply system
without TNRCC's approval, violates a provision of 341.0351 or 341.0352; or
fails to remove a sign as required by Section 341.0354. Deletes a
provision that an offense under Subsection (a) is punishable by a fine of
not less than $100. Makes conforming changes.
SECTION 6.22. Amends Sections 341.048(b)-(i), Health and Safety Code, to
require a person who causes, suffers, allows, or permits a violation under
this subchapter to be assessed a civil penalty of not less than $50 nor
more than $10,000, rather than $500, for each violation. Deletes the
provision which establishes the penalties ascribed to subsequent
violations. Makes conforming and nonsubstantive changes.
SECTION 6.23. Amends Section 341.049(a), Health and Safety Code, to
increase the penalty provision to not less than $50 nor more than $10,000,
rather than $500, for each violation (a conforming change).
SECTION 6.24. Amends Section 1, Chapter 190, Acts of the 66th Legislature,
Regular Session, 1979 (Article 1110f, Vernon's Texas Civil Statutes), to
provide that the conservation, storage, transportation, treatment, and
distribution of water are activities in which certain public entities are
authorized to engage. Provides that the listed alternatives are to serve
as a means of achieving economies of scale by providing essential water
and sewer systems to the public and promoting the orderly economic
development of the state while providing environmentally sound protection
of future water and wastewater needs of the state and its inhabitants.
SECTION 6.25. Amends Section 2, Chapter 190, Acts of the 66th Legislature,
Regular Session, 1979 (Article 1110f, Vernon's Texas Civil Statutes), to
redefine "private entity, " "facilities," and "public utility agency" or
"agency."
SECTION 6.26. Amends Section 3(a), Chapter 190, Acts of the 66th
Legislature, Regular Session, 1979 (Article 1110f, Vernon's Texas Civil
Statutes), to provide that no agency, as defined by that Act, is
authorized to engage in any utility business other than the collection,
transportation, treatment, or disposal of sewage or the conservation,
storage, transportation, treatment, and distribution of water for the
participating public entities that are joint owners with the agency of a
facility located within the state. Also, provides that a public entity,
as defined by that Act, at the time of the passage of the concurrent
ordinance, must be one that has the authority to engage in the collection,
transportation, treatment, or disposal of sewage or the conservation,
storage, transportation, treatment, and distribution of water, but the
entity may subsequently dispose of its facilities.
SECTION 6.27. Amends Sections 4(f) and (g), Chapter 190, Acts of the
66th Legislature, Regular Session, 1979 (Article 1110f, Vernon's Texas
Civil Statutes), to provide that each agency, as defined by that Act, may
contract with those public entities creating the agency for the
collection, transportation, treatment, and disposal of sewage or the
conservation, storage, transportation, treatment, and distribution of
water, and the authority to contract for these services shall also extend
to private entities under terms and conditions the agency's board of
directors may consider appropriate. Requires the agency, in contracting
with any public or private entity for wastewater collection, transmission,
treatment, or disposal services or for water conservation, storage,
transportation, treatment, and distribution, to charge rates sufficient to
produce certain adequate revenues.
SECTION 6.28. Amends Section 13.411, Water Code, to require the
executive director, if he or she has reason to believe that the failure of
the owner or operator of a water utility to properly operate, maintain, or
provide adequate facilities presents an imminent threat to human health or
safety, to immediately notify the utility's representative; and initiate
enforcement action consistent with this subchapter and procedural rules
adopted by TNRCC. Makes a nonsubstantive change and conforming changes.
SECTION 6.29. Amends Section 13.418, Water Code, as follows:
Sec. 13.418. New heading: DISPOSITION OF FINES AND PENALTIES; WATER
UTILITY IMPROVEMENT ACCOUNT. Requires fines and penalties collected under
this chapter from a retail public utility that is not a public utility in
other than criminal proceedings to be paid to TNRCC and deposited in the
general revenue fund. Requires fines and penalties collected from a
public utility under this chapter in other than criminal proceedings to be
paid to TNRCC and deposited in the water utility improvement account as
provided by Section 341.0485, Health and Safety Code, rather than the
General Revenue Fund. Makes conforming changes.
SECTION 6.30. Amends Chapter 341C, Health and Safety Code, by adding
Section 341.0485 as follows:
Sec. 341.0485. WATER UTILITY IMPROVEMENT ACCOUNT. Creates the water
utility improvement account outside of the state treasury. Requires a
civil or administrative penalty payable to the state that is collected
from a utility for a violation of this subchapter to be deposited in the
account. Requires the comptroller to manage the account for the benefit of
TNRCC and to invest the money and deposit interest and other investment
proceeds in the account. Requires the comptroller to release money from
the account in the manner provided by TNRCC. Sets forth the permissible
uses for money in the account. Prohibits money used for capital
improvements to the water or sewer system of a utility that has paid
certain fines or penalties that have been deposited into the account from
exceeding the amount of the civil or administrative penalties the utility
has paid. Prohibits capital improvements made with money from the account
from being considered as invested capital of the utility for any purpose.
Requires a certain portion of the sales price to be immediately
distributed equally to the current customers of the utility if the utility
is sold to another owner. Prohibits money used for capital improvements
and operating and maintenance expenses for a utility placed in
receivership or under a temporary manager under Section 13.4132, Water
Code, from being considered as invested capital of the utility for any
purpose. Defines "utility" for purposes of this section.
ARTICLE 7. WATER DATA COLLECTION AND DISSEMINATION
SECTION 7.01. Amends Section 16.012, Water Code, to require the
executive administrator, in cooperation with other entities of the state,
to guide the development of a statewide water resource data collection and
dissemination network. Requires TWDB to facilitate access to basic data
and summary information concerning state water resources and provide
guidance regarding data formats and descriptions required to access and
understand Texas water resource data. Requires the executive
administrator to determine suitable, cost-effective water supply
alternatives on a regional basis, including aggressive water conservation;
monitor the effects of fresh water inflows upon the bays and estuaries of
Texas; monitor instream flows; lead a statewide effort, in coordination
with federal, state, and local governments, institutions of higher
learning, and other interested parties, to develop a network for
collecting and disseminating water resource-related information that is
sufficient to support assessment of ambient water conditions statewide;
make recommendations for optimizing the efficiency and effectiveness of
water resource data collection and dissemination as necessary to ensure
that basic water resource data are maintained and available for Texas;
make basic data and summary information accessible to state agencies and
other interested persons; and cooperate with the Texas Agricultural
Extension Service to facilitate development and delivery of educational
programs as appropriate for rural and urban water users. Requires the
executive administrator to consider advice from TPWD in performing certain
duties. Requires all entities of the state that collect or use water data
or information to cooperate with TWDB in the development of a coordinated,
efficient, and effective statewide water resource data collection and
dissemination network. Requires TNRCC, no later than December 31, 1999,
to obtain or develop an updated water availability model for six river
basins as determined by TNRCC. Requires TNRCC to obtain or develop an
updated water availability model for all remaining river basins no later
than December 31, 2001. Requires TNRCC to provide, within 90 days of
completing a water availability model for a river basin, to all holders of
existing permits, certified filings, and certificates of adjudication in
that river basin the projected amount of water that would be available:
during a drought of record; when flows are at 75 percent of normal; and
when flows are at 50 percent of normal. Requires TNRCC to provide, within
90 days of completing a water availability model for a river basin, to
each regional water planning group created under Section 16.053, Water
Code, in that river basin the projected amount of water that would be
available if cancellation procedures were instigated under the provisions
of Subchapter E, Chapter 11, Water Code. Requires TNRCC, within 90 days
of completing a water availability model for a river basin, in
coordination with TPWD, to determine the potential impact of reusing
municipal and industrial effluent on existing water rights, instream uses,
and freshwater inflows to bays and estuaries. Within 30 days of making
this determination, requires TNRCC to provide the projections to TWDB and
each regional water planning group created under Section 16.053, Water
Code, in that river basin.
Sets forth regulations for the development and use of a water availability
model. Makes conforming changes.
SECTION 7.02. Amends Section 16.021, Water Code, to require the executive
administrator to establish the Texas Natural Resources Information System
(TNRIS) to serve Texas agencies and citizens as a centralized
clearinghouse and referral center for natural resource, census, and other
socioeconomic data. Provides that the Texas Geographic Information
Council (TGIC) is created to provide strategic planning and coordination
in the acquisition and use of geo-spatial data and related technologies in
the State of Texas. Sets forth the method by which entities shall be
designated as members of TGIC and select representatives to serve on the
TGIC. Requires the duties of the TGIC to include providing guidance to
the executive administrator in carrying out his duties under this section
and guidance to the Department of Information Resources for developing
certain rules. Deletes the provision regarding the composition of the
Natural Resources Information System Task Force. Sets forth the terms by
which, under the guidance of TGIC, the executive administrator is required
to further develop the TNRIS; make recommendations to the Department of
Information Resources; acquire and disseminate natural resource and
related socioeconomic data describing the Texas-Mexico border region; and
coordinate, conduct, and facilitate the development, maintenance, and use
of mutually compatible statewide digital base maps depicting natural
resources and manmade features. Makes conforming and nonsubstantive
changes.
SECTION 7.03. Provides that on September 1, 1997, the Texas Natural
Resources Information System Task Force and the Texas Geographic
Information Systems Planning Council are merged into the Texas Geographic
Information Council. Requires all designated member agencies of both
predecessor entities to continue to serve as member agencies of the Texas
Geographic Information Council.
ARTICLE 8. REPEALER; EFFECTIVE DATE; SAVING; EMERGENCY
SECTION 8.01. Repealer: Section 11.028, Water Code (Exception).
SECTION 8.02. (a) Effective date: September 1, 1997, except as
provided by Subsections (b)(f) of this section.
(b) Provides that this section and Sections 2.03, 2.08, 2.09, 2.17, and
3.03 of this Act take effect immediately.
(c) Provides that Section 4.38 of this Act takes effect on the first day
of the first calender quarter beginning on or after the date that it may
take effect under Section 39, Article III, Texas Constitution.
(d) Establishes that the change in law made by Section 4.38 of this Act
to Section 151.318, Tax Code, does not affect taxes imposed before the
effective date of Section 4.38 of this Act, and the law in effect before
the effective date of that section is continued in effect for purposes of
liability for and collection of those taxes.
(e) Provides that Sections 5.03 and 5.05-5.08 of this Act take effect on
the date on which the constitutional amendment proposed by S.J.R. No. 17,
Acts of the 75th Legislature, Regular Session, 1997, takes effect.
Provides that, if that amendment is not approved by the voters, those
sections have no effect.
(f) Provides that Section 5.11 of this Act takes effect on the date on
which the constitutional amendment proposed by H.J.R. No. 102 or similar
legislation enacted by the 75th Legislature, Regular Session, 1997, takes
effect. Provides that, if that amendment is not approved by the voters,
that section has no effect.
(g) Provides that the change in law made by Section 5.11 of this Act to
Subchapter B, Chapter 11, Tax Code, does not affect taxes imposed before
the effective date of Section 5.11 of this Act, and the law in effect
before the effective date of that section is continued in effect for
purposes of liability for and collection of those taxes.
SECTION 8.03. (a) Provides that the requirement of Section 341.035, Health
and Safety Code, as amended by Section 6.20 of this Act, that certain
persons must provide the executive director of TNRCC with a business plan,
applies only to the prospective owner or operator of a public drinking
water supply system for which construction begins on or after September 1,
1997.
(b) Makes application of Section 341.0355, Health and Safety Code, as
added by Section 6.20 of this Act, retroactive.
SECTION 8.04. Makes a change in law made by this Act that applies to a
criminal, civil, or administrative penalty apply prospectively. Provides
that, for the purposes of this Act, an offense is committed or a violation
occurs before the effective date of this Act if any element of the offense
or violation occurs before that date.
SECTION 8.05. Provides that an Act creating an underground water
conservation district that requires a confirmation election enacted by the
71st, 72nd, 73rd, or 74th Legislature is repealed, effective on the second
anniversary of the effective date of this Act, unless the district has
been approved at a confirmation election before the second anniversary of
the effective date of this Act. Provides that, if an Act creating an
underground water conservation district is repealed by this section, the
district has no further authority, except that any debts incurred shall be
paid and the organization of the district shall be maintained until all
debts are paid.
SECTION 8.06. Emergency clause.
COMPARISON OF ORIGINAL TO SUBSTITUTE
SECTION 1.01. The substitute deletes a sentence in the original, in
proposed section 16.051(b), Water Code, that provides that nothing in the
state water plan or any amendment or modification of the plan affects any
vested right existing before August 30, 1965.
SECTION 1.02. In proposed section 16.053(a), Water Code, the words "and
local water plans prepared under Section 16.054" (and a nonsubstantive,
conforming change to the same sentence) were added in the substitute and
were not in the original measure.
SECTION 1.02. In proposed Section 16.053(e)(4)(B), Water Code, the words
"and other plans submitted under Section 16.054 of this code" were added
in the substitute and were not in the original measure.
SECTION 1.02. In proposed Section 16.053(e)(4)(C), Water Code, the word
"reuse" was added in the substitute and was not in the original measure.
SECTION 1.02. Proposed Section 16.053(e)(4)(I), Water Code, was added in
the substitute and was not in the original measure.
SECTION 1.02. The second and third sentences of proposed Section
16.053(h)(3), Water Code, which require the regional water planning group
to make copies of the regional water plan available for public inspection
and specify that notice of the hearing shall include a listing of
locations where the plan is available for review, were added in the
substitute and were not in the original measure.
SECTION 1.02. In proposed Section 16.053(i), Water Code, the words "at
least" in the sentence requiring subsequent regional water plans to be
submitted at least every five years after the original submission were
added in the substitute and were not in the original measure.
SECTION 1.02. Proposed Section 16.054, Water Code. In the original, the
heading of this proposed section was "OTHER WATER PLANNING," while, in
the substitute, the heading is "LOCAL WATER PLANNING." There are no
differences between the two versions in proposed Section 16.054(a).
However, in the original, proposed Section 16.054(b) provided as follows:
"When preparing individual water plans that address drought or the
development, management, or conservation of water resources from the
holders of existing permits, certified filings, or certificates of
adjudication, the water suppliers, groundwater districts, special
districts, irrigation districts, and other water users should ensure that
the plan is consistent with the applicable approved regional water plan
for their region." There were no proposed Sections 16.054(c) and (d) in
the original. In the substitute, the language in proposed Sections
16.054(b),(c), and (d): clarifies which local plans may be submitted to
the regional water planning group for consideration in the preparation of
the regional water plan; ensures that they will be considered; and
provides that the local plans not be in conflict with the applicable
approved regional water plan.
SECTION 1.02. Proposed Section 16.055(b)(7), Water Code, which includes
the State Soil and Water Conservation Board in the composition of the
drought response and monitoring committee, was added in the substitute and
was not in the original measure. Made a conforming change.
SECTION 1.02. In the substitute, in proposed Section 16.055(e)(4), Water
Code, the word "water" was inserted between the word "regional" and the
word "planning" to clarify that the regional water planning groups were
being referenced in that provision.
SECTION 1.03. In the original, existing Section 11.122, Water Code, was
not amended. In the substitute, that section is amended. A conforming
change was also made to the introductory language of SECTION 1.03 in the
substitute.
SECTION 1.03. In the substitute, in proposed Section 11.1271(a), Water
Code, the words "from an applicant for a new or amended water right" were
added to clarify who would be required to formulate and submit a plan
under that subsection.
SECTION 1.03. In the substitute, in proposed Section 11.1271(b), Water
Code, the word "approved" was inserted between the word "appropriate" and
the word "regional" to clarify that TNRCC shall require the plans of the
specified water right holders to be consistent with the appropriate
"approved" regional water plan, rather than one that has not yet been
approved.
SECTION 1.03. Proposed Section 11.1272(b), Water Code, was added in the
substitute and was not in the original measure. Made a conforming change.
SECTION 1.08. Subsection (b) of this section was added in the
substitute and was not in the original measure. A conforming change was
made in subsection (a) of this section.
SECTION 2.05. In proposed Section 11.042(a), Water Code, the substitute
added the words "water improvement district."
SECTION 2.05. Proposed Section 11.042(b), Water Code, of the substitute
was not in the original measure. The remaining subsections from the
original (proposed Sections 11.042(c) and (d), Water Code, in the
substitute) were renumbered accordingly with conforming changes.
SECTION 2.07. In subdivisions (1) through (4) of proposed Section
11.085(d), Water Code, and in proposed Section 11.085(e), Water Code, the
words "or the receiving basin" were added in the substitute and were not
in the original measure.
SECTION 2.07. In the original, the consideration in proposed Section
11.085(h)(3) was "proposed mitigation or compensation, if any, to the
basin of origin by the applicant...". That provision was changed in the
substitute to reflect the addition of the provisions in SECTION 5.16 of
the substitute, and to distinguish such compensation from any other
compensation or mitigation that might be included in a contract between
the parties.
SECTION 2.07. The language in proposed Section 11.085(i)(2), Water Code,
was added in the substitute and was not in the original measure. Made a
conforming change.
SECTION 2.07. Proposed Section 11.085(j), Water Code, of the substitute
was not in the original measure. The remaining subsections from this
proposed section in the original were renumbered accordingly.
SECTION 2.07. In proposed Section 11.085(k)(1), Water Code, the words "in
combination with any existing transfers" were added in the substitute and
were not in the original measure.
SECTION 2.07. Proposed Sections 11.085(q) and (r), Water Code, were
added in the substitute and were not in the original measure.
SECTION 2.08. Proposed Section 11.124(a)(8), Water Code, was added in the
substitute and was not in the original measure.
SECTION 2.10. In proposed Section 11.142(a), Water Code, the words "with
normal storage of" in the substitute replaced the words "with a normal
conservation storage capacity of" in the original measure.
SECTION 3.02. In proposed Section 11.0842(a), Water Code, the words "of
the location, approximate size, and date of completion of the dam or
reservoir" were added in the substitute to clarify what had to be
registered under that provision. Those words were not in the original
measure.
SECTION 3.02. In proposed Section 11.0843(a), Water Code, the words "or a
rule or order" were added in the substitute and were not in the original
measure.
SECTION 3.03. In proposed Section 11.139(f), Water Code, the words "after
notice to the governor" were added in the substitute and were not in the
original measure.
SECTION 4.07. In proposed Section 15.001(6), Water Code, the substitute
defines "'project' or 'facility'" while the original only defined
"project." Also, in proposed Section 15.001(6)(A), Water Code, the words
"including planning activities and work to obtain regulatory authority at
the local, state, and federal level" and the words "to provide for the
acquisition of water rights and the repair of unsafe dams" were added in
the substitute and were not in the original measure.
SECTION 4.14. In proposed Section 35.012(d), Water Code, the words "and
cooperation" were added in the substitute and were not in the original
measure.
SECTION 4.21. SECTION 4.21 of the substitute, amending Chapter 36A, Water
Code, by adding a new Section 36.0015, was inserted into the substitute
and was not in the original measure. The remaining sections from ARTICLE 4
of the original were renumbered accordingly in the substitute to reflect
the insertion of this section.
SECTION 4.28. In SECTION 4.28 of the substitute (SECTION 4.27 of the
original), in proposed Sections 36.1072 and 36.1073, Water Code, the
references to "the executive administrator" in the substitute were
references to "the Texas Water Development Board" in the original. In
proposed Section 36.1072(d), Water Code, the original provided for a
management plan to take effect on certification by the Texas Water
Development Board, while the substitute provides for a management plan to
take effect on certification by the executive administrator or, if
appealed, on certification by the Texas Water Development Board. In
proposed Section 36.1072(f), Water Code, the following language was added
in the substitute and was not in the original measure: "The executive
administrator's decision may be appealed to the Texas Water Development
Board. The decision of the Texas Water Development Board on whether to
certify the management plan may not be appealed."
SECTION 4.32. SECTION 4.32 of the substitute, amending Section 36.117,
Water Code, was inserted into the substitute and was not in the original
measure. The remaining sections from ARTICLE 4 of the original were
renumbered accordingly in the substitute to reflect the insertion of this
section.
SECTION 4.34. SECTION 4.34 of the substitute (corresponding with SECTION
4.32 of the original) amends Chapter 36G, Water Code, by adding Sections
36.206 and 36.207, while the corresponding section of the original only
added Section 36.206, Water Code. Therefore, proposed Section 36.207,
Water Code, was added in the substitute and was not in the original
measure. Also, in proposed Section 36.206(b), Water Code, the words "crop
or livestock production or other" were added in the substitute and were
not in the original measure.
SECTION 4.35. SECTION 4.35 of the substitute corresponds to SECTION 4.33
of the original. Within those corresponding SECTIONS:
_ The language in proposed Section 36.301, Water Code, of the substitute
was added in the substitute and was not in the original measure;
_ Proposed Section 36.302, Water Code, of the substitute corresponds with
proposed Section 36.301, Water Code, of the original (with conforming
changes);
_ Proposed Section 36.303, Water Code, of the substitute corresponds with
proposed Section 36.302, Water Code, of the original. However, in the
original, the district review process established by this proposed section
was to be done by the state auditor as follows:
Sec. 36.302. LEGISLATIVE AUDIT REVIEW; DETERMINATION OF WHETHER DISTRICT
IS OPERATIONAL. Provides that a district is subject to review by the
state auditor under the direction of the legislative audit committee.
Requires TNRCC, TWDB, and TPWD to provide technical assistance to the
state auditor's office for the review. Requires the state auditor to make
a determination of whether a district is actively engaged in achieving the
objectives of the district's management plan based on an audit of the
district's performance under the plan. Requires the state auditor to
conduct such audits following the first anniversary of the initial
certification of the plan by TWDB and following the end of every five-year
period thereafter. Requires TNRCC to take appropriate action under
Section 36.303, Water Code (in the original), if the state auditor finds
that the district is not operational.
In the substitute, the district review process established by this section
is to be done by a newlycreated Texas Groundwater Management Council as
follows:
Sec. 36.303. GROUNDWATER MANAGEMENT COUNCIL REVIEW; DETERMINATION OF
WHETHER DISTRICT IS OPERATIONAL. Creates the Texas Groundwater Management
Council (council) for the sole purpose of determining whether districts
are operational. Sets forth the composition of the council. Provides
that a district is subject to review by the council under this section.
Requires TNRCC, TWDB and TPWD to provide technical assistance to the
council for the review. Requires the council to conduct a review to
determine whether a district is operational after the first anniversary of
the initial certification of the district's management plan by TWDB under
Section 36.1072, Water Code, and following the end of every five-year
period thereafter. Requires the determination of whether a district is
operational to be made by the affirmative vote of at least three members
of the council. Requires the council to report the findings of its review
to TNRCC and to the governor, lieutenant governor, and speaker of the
house of representatives. Requires the member of the council representing
TWDB to be responsible for preparing and submitting the report. Requires
TNRCC to take appropriate action under Section 36.304, Water Code (in the
substitute) if the council determines that the district is not
operational;
_ Proposed Section 36.304, Water Code, of the substitute corresponds with
proposed Section 36.303, Water Code, of the original. However, proposed
Section 36.304(a)(1), Water Code, of the substitute provides that TNRCC
actions may include "issuing an order requiring the district to take
certain actions or to achieve the goals or objectives of the district's
management plan" while the corresponding provision in the original states
"issuing an order requiring the district to take certain actions or to
refrain from taking certain actions." The substitute also makes
conforming changes;
_ Proposed Section 36.305, Water Code, of the substitute corresponds with
proposed Section 36.304, Water Code, of the original. The substitute
makes conforming changes;
_ Proposed Section 36.306, Water Code, of the substitute corresponds with
proposed Section 36.305, Water Code, of the original;
_ Proposed Section 36.307, Water Code, of the substitute corresponds with
proposed Section 36.306, Water Code, of the original. The substitute
makes conforming changes;
_ Proposed Section 36.308, Water Code, of the substitute corresponds with
proposed Section 36.307, Water Code, of the original;
_ Proposed Section 36.309, Water Code, of the substitute corresponds with
proposed Section 36.308, Water Code, of the original;
_ Proposed Section 36.310, Water Code, of the substitute corresponds with
proposed Section 36.309, Water Code, of the original;
_ Proposed Section 36.311, Water Code, of the substitute corresponds with
proposed Section 36.310, Water Code, of the original; and
_ Proposed Section 36.312, Water Code, of the substitute was added in the
substitute and has no corresponding provision in the original measure.
SECTION 4.36 of Original. SECTION 4.36 of the original was deleted in its
entirety in the substitute. It amended Chapter 36, Water Code, by adding
Subchapter L, as follows:
SUBCHAPTER L. GROUNDWATER DISTRICT LOAN ASSISTANCE FUND
Sec. 36.371. GROUNDWATER DISTRICT LOAN ASSISTANCE FUND. Created the
groundwater district loan assistance fund, to be funded by direct
appropriation and by TWDB, at its discretion, from the water assistance
fund. Required repayments of loans to be deposited in the water
assistance fund.
Sec. 36.372. FINANCIAL ASSISTANCE. Authorized the loan fund to be used
by TWDB to provide loans to newly confirmed districts and legislatively
created districts that do not require a confirmation election to pay for
their creation and initial operations. Required TWDB to establish rules
for the use and administration of the loan fund.
Sec. 36.373. APPLICATION FOR ASSISTANCE. Set forth information required
to be included in an application to TWDB for financial assistance from the
loan fund. Prohibited TWDB from accepting a loan application from the
loan fund unless it is submitted in affidavit form by the applicant's
board. Required TWDB to prescribe the affidavit form in its rules.
Prohibited the rules implementing this section from restricting or
prohibiting TWDB from requiring additional factual material from an
applicant.
Sec. 36.374. APPROVAL OF APPLICATION. Authorized TWDB, by resolution, to
approve an application if it finds that granting financial assistance to
the applicant will serve the public interest and that the revenue pledged
by the applicant will be sufficient to meet obligations assumed by the
applicant.
The remaining sections in Article 4 were renumbered accordingly in the
substitute to reflect the deletion of SECTION 4.36 of the original.
SECTION 4.40. SECTION 4.40 of the substitute (corresponding with SECTION
4.39 of the original) includes a new subsection (c) which was added in
the substitute and was not in the original measure.
SECTION 5.04. Proposed Section 17.001(7)(D), Water Code, was added in the
substitute and was not in the original measure. Makes a conforming
change.
SECTION 5.10. In proposed Subsections (d), (e), (f), and (h) of Section
44.007, Agriculture Code, the references to "or the administrator of the
Texas Agricultural Finance Authority" were added in the substitute and
were not in the original measure.
SECTION 5.12. In proposed Section 2155.444(d), Government Code, the
substitute provides that preference should be given to vegetation native
to Texas "if the cost to the state is not greater and the quality is not
inferior," while the original provided that such preference should be
given "if the cost to the state and the quality are equal."
SECTIONS 5.13 through 5.43 of the substitute were added in the substitute
and were not in the original measure.
SECTION 6.07. In proposed Section 13.241, Water Code, the original
applied to both granting and amending certificates of public convenience
and necessity (certificates), while the substitute applies only to the
granting of certificates and deletes all references to amending them.
SECTION 6.08. In proposed Section 13.246, Water Code, the original applied
to both granting and amending certificates, while the substitute applies
only to the granting of certificates and deletes all references to
amending them. Also, proposed Section 13.246(d), Water Code, of the
original, which authorized TNRCC to require that an applicant for a
certificate demonstrate adequate capability for providing continuous and
adequate service to the requested area and any areas currently
certificated to the applicant, was deleted in the substitute. The
remaining proposed subsections of proposed Section 13.246, Water Code,
were renumbered accordingly.
SECTION 6.09. In proposed Section 13.253(a)(1)(B), Water Code, the
language "and, for a utility, to provide financial assurance of the
utility's ability to operate the system in accordance with applicable laws
and rules, in the form of a bond or other financial assurance in a form
and amount specified by the commission" was added in the substitute and
was not in the original measure. Also, proposed Section 13.253(b), Water
Code, of the substitute was added in the substitute and was not in the
original measure. Made conforming changes.
SECTION 6.10. In proposed Section 13.254(d), Water Code, the words
"without the consent of the retail public utility that previously held the
certificate of convenience and necessity" were in the original between the
words "decertified under this section" and the words "without providing"
but were deleted in the substitute.
SECTION 6.10. In the original, in proposed Section 13.254(f), Water Code,
the independent appraiser was to be selected by the executive director
after considering the recommendations of the decertified retail public
utility and the retail public utility seeking to serve the area. In the
substitute, in proposed Section 13.254(f), Water Code, the independent
appraiser is to be selected by the decertified retail public utility.
SECTION 6.20. In proposed Section 341.035(d), Health and Safety Code, of
the substitute, "(1)" was added in the substitute between "Subsection (a)"
and "or" to clarify the reference.
SECTIONS 6.24 through 6.30 of the substitute were added in the substitute
and were not in the original measure.
SECTION 7.01. In proposed Section 16.012(b)(2), Water Code, the words
"including aggressive water conservation" were added in the substitute and
were not in the original measure. Made a nonsubstantive, conforming
change.
SECTION 7.01. In proposed Section 16.012(j), Water Code, the original
required TNRCC to determine the "maximum amount of municipal effluent that
may be reused without causing harm to existing water rights, instream
uses, and freshwater inflows to bays and estuaries" while the substitute
requires TNRCC to determine the "potential impact of reusing municipal and
industrial effluent on existing water rights, instream uses, and
freshwater inflows to bays and estuaries." Also, in proposed Section
16.012(j), Water Code, the substitute requires TNRCC to provide the
projections to both TWDB and the regional water planning group, rather
than only to the regional water planning group as provided in the
original.
SECTION 8.02. Conforming changes are made to subsections (c) and (d) of
SECTION 8.02 of the substitute.
SECTION 8.02. Subsection (e) of the original provides that Section 5.11 of
this Act takes effect on the date on which the constitutional amendment
proposed by S.J.R. No. 17, 75th Legislature, Regular Session, 1997, takes
effect. In the substitute, the effective date provisions for Section 5.11
of this Act are in Subsection (f) (rather than Subsection (e)), which
provides that Section 5.11 of this Act takes effect on the date on which
the constitutional amendment proposed by H.J.R. No. 102 or similar
legislation enacted by the 75th Legislature, Regular Session, 1997, takes
effect. In both instances, Section 5.11 of this Act has no effect if the
relevant constitutional amendment is not approved by the voters.
SECTION 8.02. Subsection (g) of the substitute corresponds with Subsection
(f) of the original.
SECTION 8.05. SECTION 8.05 of the substitute was added in the substitute
and was not in the original measure. The remaining section was renumbered
accordingly.