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	Amend SB 3, on third reading, by adding the following 
appropriately numbered SECTIONS to the bill and renumbering the 
subsequent SECTIONS of the bill accordingly:
	SECTION ____. Sections 13.002 (1-a), (5), and (8), Water 
Code, are amended to read as follows:
		(1-a) "Landowner," "owner of a tract of land," and 
"owners of each tract of land" include multiple owners of a single 
deeded tract of land as shown on the appraisal roll of the appraisal 
district established for each county in which the property is 
located.
		(5) "Commission" means the Texas [Natural Resource 
Conservation] Commission on Environmental Quality.
		(8) "Executive director" means the executive director 
of the commission [Texas Natural Resource Conservation 
Commission].
	SECTION ____. Section 13.2451, Water Code, is amended to read 
as follows:    
	Sec. 13.2451. EXTENSION BEYOND EXTRATERRITORIAL 
JURISDICTION. (a) If [Except as provided by Subsection (b), if] a 
municipality extends its extraterritorial jurisdiction to include 
an area certificated to a retail public utility, the retail  public 
utility may continue and extend service in its area of public 
convenience and necessity under the rights granted by its 
certificate and this chapter.
	(b) A municipality that seeks to extend a certificate of 
public convenience and necessity beyond the municipality's 
extraterritorial jurisdiction must ensure that the municipality 
complies with Section 13.241 in relation to the area covered by the 
portion of the certificate that extends beyond the municipality's 
extraterritorial jurisdiction.
	(c) The commission, after notice to the municipality and an 
opportunity for a hearing, may decertify an area outside a 
municipality's extraterritorial jurisdiction if the municipality 
does not provide service to the area on or before the fifth 
anniversary of the date the certificate of public convenience and 
necessity was granted for the area. This subsection does not apply 
to a certificate of public convenience and necessity for an area:
		(1) that was transferred to a municipality on approval 
of the commission; and
		(2) in relation to which the municipality has spent 
public funds.    
	(d) To the extent of a conflict between this section and 
Section 13.245, Section 13.245 prevails. [The commission may not 
extend a municipality's certificate of public convenience and 
necessity beyond its extraterritorial jurisdiction without the 
written consent of the landowner who owns the property in which the 
certificate is to be extended. The portion of any certificate of 
public convenience and necessity that extends beyond the 
extraterritorial jurisdiction of the municipality without the 
consent of the landowner is void.]
	SECTION ____. The changes to Water Code Sec. 13.2451 apply 
only to:          
		(1) an application for a certificate of public 
convenience and necessity or for an amendment to a certificate of 
public convenience and necessity submitted to the Texas Commission 
on Environmental Quality on or after the effective date of this Act;
		(2) a proceeding to amend or revoke a certificate of 
public convenience and necessity initiated on or after the 
effective date of this Act;
		(3) a certificate of public convenience and necessity 
issued to a municipality, regardless of the date the certificate 
was issued;
		(4) an application by a municipality or by a utility 
owned by a municipality for a certificate of public convenience and 
necessity or for an amendment to a certificate, regardless of the 
date the application was filed; and
		(5) a proceeding to amend or revoke a certificate of 
public convenience and necessity held by a municipality or by a 
utility owned by a municipality, regardless of the date the 
proceeding was initiated.