By Alexander                                          H.B. No. 1898

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the relocation of utilities by the Texas Department of

 1-3     Transportation essential to the timely completion of a state

 1-4     highway improvement project.

 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-6           SECTION 1.  Sections 203.092(a) and (b), Transportation Code,

 1-7     are amended to read as follows:

 1-8           (a)  A utility shall make a relocation of a utility facility

 1-9     at the expense of this state if:

1-10                 (1)  relocation of the utility facility is required by

1-11     improvement of a highway in this state established by appropriate

1-12     authority as part of the National System of Interstate and Defense

1-13     Highways[;] and

1-14                 [(2)]  the relocation is eligible for federal

1-15     participation; or

1-16                 (2)  relocation of the utility facility is required by

1-17     improvement of any segment of the state highway system and the

1-18     utility has a compensable property interest in the land occupied by

1-19     the facility to be relocated.

1-20           (b)  By agreement with the utility the department may

1-21     relocate the utility facility in accordance with this section

1-22     [subchapter].

1-23           SECTION 2.  Subchapter E, Chapter 203, Transportation Code,

1-24     is amended by adding Section 203.0921 to read as follows:

 2-1           Sec. 203.0921.  DEPARTMENT RELOCATION OF UTILITY FACILITIES

 2-2     FOR ESSENTIAL HIGHWAY IMPROVEMENT.  (a)  At the discretion of the

 2-3     department, the department may cause a utility to relocate a

 2-4     utility facility, or make a relocation of a utility facility, not

 2-5     eligible for reimbursement under Section 203.092 at the expense of

 2-6     the state upon a finding of the commission that:

 2-7                 (1)  relocation of the utility facility is essential to

 2-8     the timely completion of a state highway improvement project;

 2-9                 (2)  continuous service to utility customers is

2-10     essential to the public well-being or the local economy;

2-11                 (3)  a short-term financial condition would prevent a

2-12     utility from being able to pay the cost of relocation in full or in

2-13     part at the time of relocation or, if paid at that time, would

2-14     adversely affect the utility's ability to operate or provide

2-15     essential services to its customers; and

2-16                 (4)  the affected utility has been contacted by the

2-17     department and such utility and the department have reached an

2-18     agreement that:

2-19                       (A)  appropriate safeguards are in place to

2-20     ensure that relocation work activities are conducted safely in full

2-21     compliance with applicable law and utility construction standards;

2-22                       (B)  relocation work can be coordinated between

2-23     the department and the utility in a manner that will ensure that

2-24     any disruption of utility service is minimized;

2-25                       (C)  the contractor, and any subcontractors,

2-26     selected for relocation work activities are qualified to perform

2-27     such work activities; and

 3-1                       (D)  there exists a factual basis for the

 3-2     commission findings required under Subdivision (3).

 3-3           (b)  A utility whose facilities are relocated under

 3-4     Subsection (a) shall reimburse the department for any amount

 3-5     expended or advanced by the department for the relocation.  The

 3-6     utility shall enter into an agreement with the department providing

 3-7     for reimbursement.  The agreement shall:

 3-8                 (1)  require reimbursement of the amount expended plus

 3-9     interest to the department within five years from the date of

3-10     completion of the work;

3-11                 (2)  provide for reimbursement by a lump-sum payment or

3-12     by installments;

3-13                 (3)  require payment of interest at a rate of six

3-14     percent per annum from the date of completion through the date of

3-15     final payment; and

3-16                 (4)  contain other terms and conditions as may be

3-17     mutually agreed upon by the department and the utility.

3-18           (c)  In the absence of an agreement required by Subsection

3-19     (b), a utility shall reimburse the department the full cost of

3-20     relocation within 30 days of the date of completion of the work.

3-21           (d)  All funds received by the department under this section

3-22     shall be deposited in the state treasury to the credit of the state

3-23     highway fund.

3-24           SECTION 3.  Section 203.093(a), Transportation Code, is

3-25     amended to read as follows:

3-26           (a)  Reimbursement of the cost of relocation of the utility

3-27     facility, as required by Section 203.092, may [shall] be made from

 4-1     the state highway fund to the utility owning the facility.

 4-2           SECTION 4.  Subchapter E, Chapter 203, Transportation Code,

 4-3     is amended by adding Section 203.0941 to read as follows:

 4-4           Sec. 203.0941.  UTILITY RELOCATION ELIGIBLE FOR FINANCIAL

 4-5     ASSISTANCE FROM WATER DEVELOPMENT BOARD.  (a)  The relocation of a

 4-6     utility facility required by improvement of any segment of the

 4-7     state highway system, for which a political subdivision receives

 4-8     financial assistance made available from either Subchapter D, F, G,

 4-9     or K, Chapter 17, Water Code, is not subject to the requirements of

4-10     Sections 17.183(1)-(6), Water Code, if the political subdivision

4-11     has agreed to allow the department to contract for the construction

4-12     of the utility facility relocation.

4-13           (b)  The department and the Texas Water Development Board may

4-14     enter into a memorandum of understanding to facilitate

4-15     administration of utility facility relocation that is required by

4-16     state highway system improvement and that receives financial

4-17     assistance from the Texas Water Development Board.

4-18           SECTION 5.  The importance of this legislation and the

4-19     crowded condition of the calendars in both houses create an

4-20     emergency and an imperative public necessity that the

4-21     constitutional rule requiring bills to be read on three several

4-22     days in each house be suspended, and this rule is hereby suspended,

4-23     and that this Act take effect and be in force from and after its

4-24     passage, and it is so enacted.