Honorable Robert Puente, Chair, House Committee on Natural Resources
FROM:
John S. O'Brien, Director, Legislative Budget Board
IN RE:
HB2301 by Talton (Relating to the authority of certain special districts to establish differences in rates between customer classes.), As Introduced
No fiscal implication to the State is anticipated.
The bill would amend the Water Code to authorize certain special districts to establish different levels of charges, fees, rentals, or deposits among classes of customers that are based on any factor the district deems appropriate.
Local Government Impact
If a district were to establish different rates among classes of customers, it is assumed rates would be set so as to avoid a negative fiscal impact to the district. Whether the fiscal impact would be neutral or positive, and how much if positive, would depend on the rates at which charges would be set.