75R10964 MI-F                           

         By Lewis of Orange                                    H.B. No. 2333

         Substitute the following for H.B. No. 2333:

         By Counts                                         C.S.H.B. No. 2333

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to certain fees related to water quality.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Section 26.0291, Water Code (effective until

 1-5     delegation of NPDES permit authority), is amended by amending

 1-6     Subsections (a), (b), and (c) and adding Subsection (f) to read as

 1-7     follows:

 1-8           (a)  An annual waste treatment inspection fee is imposed on

 1-9     each permittee for each waste discharge permit held by the

1-10     permittee.  The fee is to supplement any other funds available to

1-11     pay expenses of the commission in inspecting waste treatment

1-12     facilities and enforcing the laws of the state, and the rules of

1-13     the commission, governing waste discharge, [and] waste treatment

1-14     facilities, and the quality of the water resources of the state.

1-15     The  fee for each year is imposed on each permit in effect during

1-16     any part of the year.

1-17           (b)  The commission, by rule, shall adopt a fee schedule for

1-18     determining the amount of the fee to be charged.  The amount of the

1-19     fee may not exceed $25,000 [$11,000] for each waste discharge

1-20     permit held by a permittee.  In determining the amount of a fee

1-21     under this section, the commission may consider permitting factors

1-22     such as flow volume, toxic pollutant potential, level of

1-23     traditional pollutants, and heat load.  The commission also may

1-24     consider the designated uses and segment ranking classification of

 2-1     the water affected by discharges from the permitted facility.

 2-2           (c)  The fees collected under this section shall be deposited

 2-3     in a special fund in the state treasury to be known as the water

 2-4     quality fund.  Money in the fund shall be used as follows:

 2-5                 (1)  to supplement any other funds available for paying

 2-6     expenses of the commission in carrying out water quality programs

 2-7     authorized under this chapter and inspecting waste treatment

 2-8     facilities;

 2-9                 (2)  to pay for the issuance and renewal of

2-10     certificates of competency under and to administer Section 26.0301

2-11     of this code; and

2-12                 (3)  to pay for processing plans or amendments to plans

2-13     and inspecting the construction of projects under those plans

2-14     pursuant to Section 26.0461 of this code and rules of the

2-15     commission adopted under Sections 26.046 and 26.0461 of this code.

2-16           (f)  The commission may consolidate any fee assessed against

2-17     a wastewater permit holder under Section 26.0135 with the

2-18     assessment of a wastewater inspection fee authorized under this

2-19     section.  In consolidating these assessments, the commission may

2-20     not recover under Section 26.0135(h) revenues in excess of the

2-21     amounts authorized by that section.  The commission also shall

2-22     ensure that any revenues collected from wastewater permit holders

2-23     under Section 26.0135 are allocated to meet the purposes of the

2-24     regional water quality assessment program authorized under that

2-25     section.

2-26           SECTION 2.  Section 26.0291, Water Code (effective upon

2-27     delegation of NPDES permit authority), is amended by amending

 3-1     Subsections (a), (b), and (c) and adding Subsection (f) to read as

 3-2     follows:

 3-3           (a)  An annual waste treatment inspection fee is imposed on

 3-4     each permittee for each waste discharge permit held by the

 3-5     permittee.  The fee is to supplement any other funds available to

 3-6     pay expenses of the commission in inspecting waste treatment

 3-7     facilities and enforcing the laws of the state and the rules of the

 3-8     commission governing waste discharge, [and] waste treatment

 3-9     facilities, and the quality of the water resources of the state.

3-10     The fee for each year is imposed on each permit in effect during

3-11     any part of the year.

3-12           (b)  The commission by rule shall adopt a fee schedule for

3-13     determining the amount of the fee to be charged.  The amount of the

3-14     fee may not exceed $40,000 [$25,000] for each waste discharge

3-15     permit held by a permittee.  In determining the amount of a fee

3-16     under this section, the commission may consider permitting factors

3-17     such as flow volume, toxic pollutant potential, level of

3-18     traditional pollutant, and heat load.  The commission may consider

3-19     the designated uses and segment ranking classification of the water

3-20     affected by discharges from the permitted facility.  Finally, the

3-21     commission also may consider the expenses necessary to obtain and

3-22     administer the NPDES program.  The commission shall not adopt any

3-23     rule designed to increase the fee imposed under this section on a

3-24     treatment works owned by a local government, as those terms are

3-25     defined in Section 26.001 of this code, for the purpose of paying

3-26     the additional expenses necessary to obtain and administer the

3-27     NPDES program, before August 31, 2001 [1999].

 4-1           (c)  The fees collected under this section shall be deposited

 4-2     in a special fund in the state treasury to be known as the water

 4-3     quality fund.  Money in the fund shall be used as follows:

 4-4                 (1)  to supplement any other funds available for paying

 4-5     expenses of the commission in carrying out water quality programs

 4-6     authorized under this chapter and inspecting waste treatment

 4-7     facilities;

 4-8                 (2)  to pay for the issuance and renewal of

 4-9     certificates of competency under and to administer Section 26.0301

4-10     of this code;

4-11                 (3)  to pay for processing plans or amendments to plans

4-12     and inspecting the construction of projects under those plans

4-13     pursuant to Section 26.0461 of this code and rules of the

4-14     commission adopted under Sections 26.046 and 26.0461 of this code;

4-15     and

4-16                 (4)  to pay for any expenses of the commission

4-17     necessary to obtain and administer the NPDES program in lieu of the

4-18     federal government.

4-19           (f)  The commission may consolidate any fee assessed against

4-20     a wastewater permit holder under Section 26.0135 with the

4-21     assessment of a wastewater inspection fee authorized under this

4-22     section.  In consolidating these assessments, the commission may

4-23     not recover under Section 26.0135(h) revenues in excess of the

4-24     amounts authorized by that section.  The commission also shall

4-25     ensure that any revenues collected from wastewater permit holders

4-26     under Section 26.0135 are allocated to meet the purposes of the

4-27     regional water quality assessment program authorized under that

 5-1     section.

 5-2           SECTION 3.  Section 341.041, Health and Safety Code, is

 5-3     amended to read as follows:

 5-4           Sec. 341.041.  FEES.  (a)  The commission by rule may charge

 5-5     fees to a person who owns, operates, or maintains a public drinking

 5-6     water supply system.  The fee is to supplement other money

 5-7     available to pay the commission's expenses for:

 5-8                 (1)  [recover the costs of] public drinking water

 5-9     supply system programs or services authorized by this subchapter or

5-10     performed pursuant to the requirements of the federal Safe Drinking

5-11     Water Act (42 U.S.C.  Section 300f et seq.);

5-12                 (2)  oversight of and technical assistance to water and

5-13     wastewater utilities to ensure the delivery of safe and adequate

5-14     water and wastewater services under the Water Code;

5-15                 (3)  technical assistance to underground water

5-16     conservation districts organized and operating under Chapter 36,

5-17     Water Code;

5-18                 (4)  water resource management programs and the

5-19     regulation of water rights authorized under the Water Code; and

5-20                 (5)  oversight of and technical assistance to

5-21     conservation and reclamation districts under the Water Code other

5-22     than a district described by Subdivision (3).

5-23           (b)  The commission may establish a schedule of fees.  The

5-24     amount of the fees may not exceed the reasonable costs of

5-25     administering the programs and services authorized in this section

5-26     [subchapter] or the federal Safe Drinking Water Act.

5-27           (c) [(b)]  The commission by rule may assess penalties and

 6-1     interest for late payment of fees owed by persons who own, operate,

 6-2     or maintain public drinking water supply systems.  Penalties and

 6-3     interest established under this section may not exceed the rates

 6-4     established for delinquent taxes under  Sections 111.060 and

 6-5     111.061, Tax Code.

 6-6           SECTION 4.  Section 26.0291(f), Water Code (effective until

 6-7     delegation of NPDES permit authority), as added by Section 1 of

 6-8     this Act, and Section 26.0291(f), Water Code (effective upon

 6-9     delegation of NPDES permit authority), as added by Section 2 of

6-10     this Act, take effect only if the 75th Legislature enacts

6-11     legislation that becomes law extending the expiration date of

6-12     Section 26.0135(h), Water Code, relating to the regional assessment

6-13     of water quality, beyond January 1, 1999.  If Section 26.0135(h),

6-14     Water Code, is not extended beyond that date, Section 26.0291(f),

6-15     Water Code, as added by Sections 1 and 2 of this Act, has no

6-16     effect.

6-17           SECTION 5.  The importance of this legislation and the

6-18     crowded condition of the calendars in both houses create an

6-19     emergency and an imperative public necessity that the

6-20     constitutional rule requiring bills to be read on three several

6-21     days in each house be suspended, and this rule is hereby suspended,

6-22     and that this Act take effect and be in force from and after its

6-23     passage, and it is so enacted.