1-1     By:  Zaffirini                                        S.B. No. 1411
 1-2           (In the Senate - Filed March 12, 1999; March 15, 1999, read
 1-3     first time and referred to Special Committee on Border Affairs;
 1-4     April 9, 1999, reported adversely, with favorable Committee
 1-5     Substitute by the following vote:  Yeas 6, Nays 0; April 9, 1999,
 1-6     sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 1411               By:  Zaffirini
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the provision of utility services in economically
1-11     distressed areas.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Section 212.012, Local Government Code, is
1-14     amended to read as follows:
1-15           Sec. 212.012.  CONNECTION OF UTILITIES.  (a)  Except as
1-16     provided by Subsection (c), an entity described by Subsection (b)
1-17     may not serve or connect any land with water, sewer, electricity,
1-18     gas, or other utility service unless the entity has been presented
1-19     with or otherwise holds a certificate applicable to the land issued
1-20     under Section 212.0115.
1-21           (b)  The prohibition established by Subsection (a) applies
1-22     only to:
1-23                 (1)  a municipality and officials of a municipality
1-24     that provides water, sewer, electricity, gas, or other utility
1-25     service;
1-26                 (2)  a municipally owned or municipally operated
1-27     utility that provides any of those services;
1-28                 (3)  a public utility that provides any of those
1-29     services;
1-30                 (4)  a water supply or sewer service corporation
1-31     organized and operating under Chapter 67, Water Code [76, Acts of
1-32     the 43rd Legislature, 1st Called Session, 1933 (Article 1434a,
1-33     Vernon's Texas Civil Statutes)], that provides any of those
1-34     services;
1-35                 (5)  a county that provides any of those services; and
1-36                 (6)  a special district or authority created by or
1-37     under state law that provides any of those services.
1-38           (c)  An entity described by Subsection (b) may serve or
1-39     connect land with water, sewer, electricity, gas, or other utility
1-40     service regardless of whether the entity is presented with or
1-41     otherwise holds a certificate applicable to the land issued under
1-42     Section 212.0115 if:
1-43                 (1)  the land is covered by a development plat approved
1-44     under Subchapter B or under an ordinance or rule relating to the
1-45     development plat;
1-46                 (2)  the land was first served or connected with
1-47     service by an entity described by Subsection (b)(1), (b)(2), or
1-48     (b)(3) before September 1, 1987;
1-49                 (3)  the land was first served or connected with
1-50     service by an entity described by Subsection (b)(4), (b)(5), or
1-51     (b)(6) before September 1, 1989; or
1-52                 (4)  the municipal authority responsible for approving
1-53     plats issues a certificate stating that:
1-54                       (A)  the land:
1-55                             (i)[,]  before September 1, 1995, was sold
1-56     or conveyed to the person requesting service by any means of
1-57     conveyance, including a contract for deed or executory contract;
1-58                             (ii) [(B)  the land] is located in a
1-59     subdivision in which the entity has previously provided service;
1-60                             (iii) [(C)  the land] is located outside
1-61     the limits of the municipality;
1-62                             (iv) [(D)  the land] is located in a county
1-63     to which Subchapter B, Chapter 232, applies [an "affected county"
1-64     as that term is defined by Section 232.021]; and
 2-1                             (v)  is the site of [(E)] construction of a
 2-2     residence [on the land], evidenced by at least the existence of  a
 2-3     completed foundation, that was begun on or before May 1, 1997; or
 2-4                       (B)  the land was not subdivided after September
 2-5     1, 1995, and:
 2-6                             (i)  water service is available within 500
 2-7     feet of the subdivided land; or
 2-8                             (ii)  water service is available more than
 2-9     500 feet from the subdivided land and the extension of water
2-10     service to the land may be feasible, subject to a final
2-11     determination by the water service provider.
2-12           (d)  An entity described by Subsection (b) may provide
2-13     utility service to land described by Subsection (c)(4)(A) only if
2-14     the person requesting service:
2-15                 (1)  is not the land's subdivider or the subdivider's
2-16     agent; and
2-17                 (2)  provides to the entity a certificate described by
2-18     Subsection (c)(4)(A).
2-19           (e)  A person requesting service may obtain a certificate
2-20     under Subsection (c)(4)(A) only if the person provides to the
2-21     municipal authority responsible for approving plats either:
2-22                 (1)  a copy of the means of conveyance or other
2-23     documents that show that the land was sold or conveyed to the
2-24     person requesting service before September 1, 1995, and a notarized
2-25     affidavit by that person that states that construction of a
2-26     residence on the land, evidenced by at least the existence of a
2-27     completed foundation, was begun on or before May 1, 1997; or
2-28                 (2)  a notarized affidavit by the person requesting
2-29     service that states that the property was sold or conveyed to that
2-30     person before September 1, 1995, and that construction of a
2-31     residence on the land, evidenced by at least the existence of a
2-32     completed foundation, was begun on or before May 1, 1997.
2-33           (f)  A person requesting service may obtain a certificate
2-34     under Subsection (c)(4)(B) only if the person provides to the
2-35     municipal authority responsible for approving plats an affidavit
2-36     that states that the property was not sold or conveyed to that
2-37     person from a subdivider or the subdivider's agent after September
2-38     1, 1995.
2-39           (g)  On request, the municipal authority responsible for
2-40     approving plats shall provide to the attorney general and any
2-41     appropriate local, county, or state law enforcement official a copy
2-42     of any document on which the municipal authority relied in
2-43     determining the legality of providing service.
2-44           (h) [(g)]  This section may not be construed to abrogate any
2-45     civil or criminal proceeding or prosecution or to waive any penalty
2-46     against a subdivider for a violation of a state or local law,
2-47     regardless of the date on which the violation occurred.
2-48           (i) [(h)]  In this section:
2-49                 (1)  "Foundation" means the lowest division of a
2-50     residence, usually consisting of a masonry slab or a pier and beam
2-51     structure, that is partly or wholly below the surface of the ground
2-52     and on which the residential structure rests.
2-53                 (2)  "Subdivider" has the meaning assigned by Section
2-54     232.021.
2-55           SECTION 2.  Section 232.029, Local Government Code, is
2-56     amended by amending Subsections (c), (d), and (e), adding a new
2-57     Subsection (f), and relettering Subsections (f), (g), (h), and (i)
2-58     as Subsections (g), (h), (i), and (j) to read as follows:
2-59           (c)  An electric, gas, water, or sewer service utility may
2-60     serve or connect subdivided land with water, sewer, electricity,
2-61     gas, or other utility service regardless of whether the utility
2-62     receives a certificate issued by the commissioners court under
2-63     Section 232.028(a) or receives a determination from the
2-64     commissioners court under Section 232.028(b) if the utility is
2-65     provided with a certificate issued by the commissioners court that
2-66     states that:
2-67                 (1)  [before July 1, 1995,] the subdivided land:
2-68                       (A)  before September 1, 1995, was sold or
2-69     conveyed to the person requesting service by any means of
 3-1     conveyance, including a contract for deed or executory contract;
 3-2                       (B) [(2)  the land] is located in a subdivision
 3-3     in which the utility has previously provided service; and
 3-4                       (C)  is the site of [(3)]  construction of a
 3-5     residence [on the land], evidenced by at least the existence of a
 3-6     completed foundation, that was begun on or before May 1, 1997; or
 3-7                 (2)  the land was not subdivided after September 1,
 3-8     1995, and:
 3-9                       (A)  water service is available within 500 feet
3-10     of the subdivided land; or
3-11                       (B)  water service is available more than 500
3-12     feet from the subdivided land and the extension of water service to
3-13     the land may be feasible, subject to a final determination by the
3-14     water service provider.
3-15           (d)  A utility may provide utility service to subdivided land
3-16     described by Subsection (c)(1) only if the person requesting
3-17     service:
3-18                 (1)  is not the land's subdivider or the subdivider's
3-19     agent; and
3-20                 (2)  provides to the utility a certificate described by
3-21     Subsection (c)(1).
3-22           (e)  A person requesting service may obtain a certificate
3-23     under Subsection (c)(1) only if the person provides to the
3-24     commissioners court either:
3-25                 (1)  a copy of the means of conveyance or other
3-26     documents that show that the land was sold or conveyed to the
3-27     person requesting service before September [July] 1, 1995, and a
3-28     notarized affidavit by that person that states that construction of
3-29     a residence on the land, evidenced by at least the existence of a
3-30     completed foundation, was begun on or before May 1, 1997; or
3-31                 (2)  a notarized affidavit by the person requesting
3-32     service that states that the property was sold or conveyed to that
3-33     person before September [July] 1, 1995, and that construction of a
3-34     residence on the land, evidenced by at least the existence of a
3-35     completed foundation, was begun on or before May 1, 1997.
3-36           (f)  A person requesting service may obtain a certificate
3-37     under Subsection (c)(2) only if the person provides to the
3-38     commissioners court an affidavit that states that the property was
3-39     not sold or conveyed to that person from a subdivider or the
3-40     subdivider's agent after September 1, 1995.
3-41           (g)  On request, the commissioners court shall provide to the
3-42     attorney general and any appropriate local, county, or state law
3-43     enforcement official a copy of any document on which the
3-44     commissioners court relied in determining the legality of providing
3-45     service.
3-46           (h) [(g)]  This section may not be construed to abrogate any
3-47     civil or criminal proceeding or prosecution or to waive any penalty
3-48     against a subdivider for a violation of a state or local law,
3-49     regardless of the date on which the violation occurred.
3-50           (i) [(h)]  The prohibition established by this section shall
3-51     not prohibit an electric or gas utility from providing electric or
3-52     gas utility connection or service to a lot being sold, conveyed, or
3-53     purchased through a contract for deed or executory contract or
3-54     other device by a subdivider prior to July 1, 1995, which is
3-55     located within a subdivision where the utility has previously
3-56     established service and was subdivided by a plat approved prior to
3-57     September 1, 1989.
3-58           (j) [(i)]  In this section, "foundation" means the lowest
3-59     division of a residence, usually consisting of a masonry slab or a
3-60     pier and beam structure, that is partly or wholly below the surface
3-61     of the ground and on which the residential structure rests.
3-62           SECTION 3.  This Act takes effect September 1, 1999.
3-63           SECTION 4.  The importance of this legislation and the
3-64     crowded condition of the calendars in both houses create an
3-65     emergency and an imperative public necessity that the
3-66     constitutional rule requiring bills to be read on three several
3-67     days in each house be suspended, and this rule is hereby suspended.
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