SRC-TNM S.B. 1512 75(R)   BILL ANALYSIS


Senate Research Center   S.B. 1512
By: Truan
International Relations Trade & Technology
4-1-97
As Filed


DIGEST 

Currently, a significant number of people are living in subdivisions that
have been developed in economically distressed areas throughout South
Texas along the international border with Mexico and in some parts of East
Texas.  Many people purchased land in these subdivisions based on the
assumption and sometimes on the promise of the developer, that basic
service, such as water, sewer, electricity, and gas, would be provided.
Many of these developers have disappeared without platting the
subdivisions and without providing for basic services.   

Texas penalizes the residents of subdivisions that have been abandoned by
the developer.  A water, sewer, electric, or gas utility is prohibited
from providing hook-ups or service to residents of a subdivision that has
not been platted.  Therefore, even in subdivisions where current water,
sewer, electric, or gas services exist, residents may be prohibited from
utilizing those services.  This prohibition on the utilization of existing
services increases the risk of health hazard from third world illnesses
for the residents of these subdivisions.  Health risk along the border in
affected countries, the mobile nature of the residents and trade,
transportation, and commerce along the border of the United States
increases the risk of disease spreading to the residents of this state.
S.B. 1512 would allow utilities to serve residents who purchased lots
prior to July 1, 1995 in subdivisions in which the utilities currently
provide service.     

PURPOSE

As proposed, S.B. 1512 outlines provisions regarding the provision of
utility service in economically distressed subdivisions. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 232.029, Local Government Code, to authorize an
electric, gas, water, or sewer utility connection or service to a lot if
certain conditions are satisfied, notwithstanding the requirements of
Subsections (a) or (b) of this section.  Deletes text prohibiting an
electric or gas utility from providing electric or gas utility connection
or service to a certain lot by a certain subdivider prior to July 1, 1995.
Sets forth items a purchaser is required to provide to the utility in
order to establish that a lot was sold or conveyed prior to July 1, 1995
under Subsection (c). 

SECTION 2. Amends Section 212.012, Local Government Code, to set forth
instances in which an entity described in Subsection (b) is authorized to
provide water, sewer, electricity, gas or other utility connection or
service to land, notwithstanding the requirements of Subsection (a) of
this section.  Deletes existing Subsection (c) describing an area for
which this section does not apply. Sets forth items the purchaser is
required to provide to the utility in order to establish that a lot was
sold or conveyed prior to September 1, 1995.  Deletes existing Subsection
(d) regarding certain prohibitions. 

SECTION 3. Emergency clause.
  Effective date: upon passage.