H.B. 2662 78(R) BILL ANALYSIS H.B. 2662 By: Puente Natural Resources Committee Report (Unamended) BACKGROUND AND PURPOSE A provision was added to legislation in the 76th legislative session which allowed a municipality to sell a water or sewer system without an election. Since the passage of this language, concerns have been raised regarding the provision about the opportunity for public input and approval of this type of transaction. H.B. 2662 repeals the provision which allowed this sale. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS H.B. 2662 repeals Section 402.908, Local Government Code, which allows a municipality to sell a water or sewer system without an election. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect on September 1, 2003.