Bill not drafted by TLC or Senate E&E.

      Line and page numbers may not match official copy.

      By Rangel                                       H.B. No. 2316

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the provision of utility service in economically

 1-3     distressed subdivisions.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 232.029, Local Government Code, is

 1-6     amended to read as follows:

 1-7           Sec. 232.029.  Connection of Utilities.  (a)  Except as

 1-8     provided by Section 232.037(c), a utility may not serve or connect

 1-9     any subdivided land with water or sewer services unless the utility

1-10     receives a certificate issued by the commissioners court under

1-11     Section 232.028(a) or receives a determination from the

1-12     commissioners court under Section 232.028(b)(1) that the plat has

1-13     been reviewed and approved by the commissioners court.

1-14           (b)  Except as provided by Section 232.037(c), a utility may

1-15     not serve or connect any subdivided land with electricity or gas

1-16     unless the entity receives a determination from the county

1-17     commissioners court under Section 232.028(b)(2) that adequate water

1-18     and sewer services have been installed to service the subdivision.

1-19           (c)  Notwithstanding the requirements of subsections (a) or

1-20     (b) of this section, an electric, gas, water or sewer utility may

1-21     provide utility connection or service to a lot if the following

1-22     conditions are satisfied:

1-23                             (i)  the lot was sold or conveyed through a

1-24     contract for deed, executory contract, or other means of conveyance

 2-1     prior to July 1, 1995; and

 2-2                             (ii)  the lot is located within a

 2-3     subdivision where the utility has previously established service.

 2-4           [(c)  The prohibition established by this section shall not

 2-5     prohibit an electric or gas utility from providing electric or gas

 2-6     utility connection or service to a lot being sold, conveyed, or

 2-7     purchased through a contract for deed or executory contract or

 2-8     other device by a subdivider prior to July 1, 1995, which is

 2-9     located within a subdivision where the utility has previously

2-10     established service and was subdivided by a plat approved prior to

2-11     September 1, 1989.]

2-12           (d)  In order to establish that a lot was sold or conveyed

2-13     prior to July 1, 1995 under subsection (c), the purchaser shall

2-14     provide the utility with either:

2-15                             (i)  a copy of the contract for deed,

2-16     executory contract, or other conveyancing device by which the

2-17     property was sold or conveyed to the purchaser prior to July 1,

2-18     1995; or

2-19                             (ii)  a notarized affidavit stating that

2-20     the purchaser bought or was conveyed the lot prior to July 1, 1995.

2-21           SECTION 2.  Section 212.012, Local Government Code, is

2-22     amended to read as follows:

2-23           Sec. 212.012.  Connection of Utilities.  (a)  An entity

2-24     described by Subsection (b) may not serve or connect any land with

2-25     water, sewer, electricity, gas, or other utility service unless the

2-26     entity has been presented with or otherwise holds a certificate

2-27     applicable to the land issued under Section 212.0115.

2-28           (b)  The prohibition established by Subsection (a) applies

2-29     only to:

2-30                 (1)  a municipality and officials of a municipality

 3-1     that provides water, sewer, electricity, gas, or other utility

 3-2     service;

 3-3                 (2)  a municipally owned or municipally operated

 3-4     utility that provides any of those services;

 3-5                 (3)  a public utility that provides any of those

 3-6     services;

 3-7                 (4)  a water supply or sewer service corporation

 3-8     organized and operating under Chapter 76, Acts of the 43rd

 3-9     Legislature, 1st Called Session, 1933 (Article 1434a, Vernon's

3-10     Texas Civil Statutes), that provides any of those services;

3-11                 (5)  a county that provides any of those services;

3-12                 (6)  a special district or authority created by or

3-13     under state law that provides any of those services.

3-14           (c)  Notwithstanding the requirements of subsection (a) of

3-15     this section, an entity described in subsection (b) may provide

3-16     water, sewer, electricity, gas, or other utility connection or

3-17     service to land if one of the following conditions is met:

3-18                             (i)  the land is covered by a development

3-19     plat approved under Subchapter B or under an ordinance or rule

3-20     relating to the development plat;

3-21                             (ii)  the land was first served or

3-22     connected with service by an entity described by Subsection (b)(1),

3-23     (2), or (3) prior to September 1, 1987;

3-24                             (iii)  the land was first served or

3-25     connected with service by an entity described by Subsection (b)(4),

3-26     (5), or (6) prior to September 1, 1989; or

3-27                             (iv)  the land was sold or conveyed through

3-28     a contract for deed, executory contract, or other means of

3-29     conveyance prior to September 1, 1995 and the land is located

3-30     within a subdivision where the entity has previously provided

 4-1     service.

 4-2           [(c)  This section does not apply to any area covered by a

 4-3     development plat duly approved under Subchapter B or under an

 4-4     ordinance or rule relating to the development plat.]

 4-5           (d)  In order to establish that a lot was sold or conveyed

 4-6     prior to September 1, 1995 under subsection (c), the purchaser

 4-7     shall provide the utility with either:

 4-8                             (i)  a copy of the contract for deed,

 4-9     executory contract, or other conveyancing device by which the

4-10     property was sold or conveyed to the purchaser prior to September

4-11     1, 1995; or

4-12                             (ii)  a notarized affidavit stating that

4-13     the purchaser bought or was conveyed the lot prior to September 1,

4-14     1995.

4-15           [(d)  The prohibition established by Subsection (a) applies

4-16     only to land that an entity described by Subsection (b)(1), (2), or

4-17     (3) first serves or first connects with services on or after

4-18     September 1, 1987.  The prohibition applies only to land that an

4-19     entity described by Subsection (b)(4), (5), or (6) first serves or

4-20     first connects with services on or after September 1, 1989.]

4-21           SECTION 3. EMERGENCY.  The importance of this legislation and

4-22     the crowded condition of the calendars in both houses create an

4-23     emergency and an imperative public necessity that the

4-24     constitutional rule requiring bills to be read on three several

4-25     days in each house be suspended, and this rule is hereby suspended,

4-26     and that this Act take effect and be in force from and after its

4-27     passage, and it is so enacted.