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A BILL TO BE ENTITLED
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AN ACT
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relating to certificates of public convenience and necessity for |
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water or sewer services. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Sections 13.254(a), (a-1), and (a-3), Water |
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Code, are amended to read as follows: |
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(a) The commission at any time after notice and hearing |
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may[, on its own motion or on receipt of a petition described by
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Subsection (a-1),] revoke or amend any certificate of public |
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convenience and necessity with the written consent of the |
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certificate holder or if it finds that: |
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(1) the certificate holder has never provided, is no |
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longer providing, is incapable of providing, or has failed to |
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provide continuous and adequate service in the area, or part of the |
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area, covered by the certificate; |
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(2) in an affected county as defined in Section |
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16.341, the cost of providing service by the certificate holder is |
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so prohibitively expensive as to constitute denial of service, |
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provided that, for commercial developments or for residential |
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developments started after September 1, 1997, in an affected county |
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as defined in Section 16.341, the fact that the cost of obtaining |
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service from the currently certificated retail public utility makes |
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the development economically unfeasible does not render such cost |
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prohibitively expensive in the absence of other relevant factors; |
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(3) the certificate holder has agreed in writing to |
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allow another retail public utility to provide service within its |
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service area, except for an interim period, without amending its |
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certificate; or |
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(4) the certificate holder has failed to file a cease |
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and desist action pursuant to Section 13.252 within 180 days of the |
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date that it became aware that another retail public utility was |
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providing service within its service area, unless the certificate |
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holder demonstrates good cause for its failure to file such action |
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within the 180 days. |
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(a-1) As an alternative to decertification under Subsection |
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(a), the owner of a tract of land that is at least 25 [50] acres and |
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that is not in a platted subdivision actually receiving water or |
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sewer service may petition the commission under this subsection for |
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expedited release of the area from a certificate of public |
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convenience and necessity [so that the area may receive service
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from another retail public utility. The petitioner shall deliver,
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via certified mail, a copy of the petition to the certificate
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holder, who may submit information to the commission to controvert
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information submitted by the petitioner.
The petitioner must
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demonstrate that:
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[(1)
a written request for service, other than a
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request for standard residential or commercial service, has been
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submitted to the certificate holder, identifying:
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[(A) the area for which service is sought;
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[(B)
the timeframe within which service is needed
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for current and projected service demands in the area;
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[(C)
the level and manner of service needed for
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current and projected service demands in the area; and
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[(D)
any additional information requested by the
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certificate holder that is reasonably related to determination of
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the capacity or cost for providing the service;
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[(2)
the certificate holder has been allowed at least
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90 calendar days to review and respond to the written request and
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the information it contains;
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[(3) the certificate holder:
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[(A) has refused to provide the service;
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[(B)
is not capable of providing the service on a
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continuous and adequate basis within the timeframe, at the level,
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or in the manner reasonably needed or requested by current and
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projected service demands in the area; or
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[(C)
conditions the provision of service on the
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payment of costs not properly allocable directly to the
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petitioner's service request, as determined by the commission; and
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[(4)
the alternate retail public utility from which
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the petitioner will be requesting service is capable of
providing
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continuous and adequate service within the timeframe, at the level,
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and in the manner reasonably needed or requested by current and
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projected service demands in the area]. |
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(a-3) Not later than 60 [Within 90] calendar days after |
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[from] the date a landowner files a petition with the commission |
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under [determines the petition filed pursuant to] Subsection (a-1) |
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[to be administratively complete], the commission shall grant the |
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petition [unless the commission makes an express finding that the
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petitioner failed to satisfy the elements required in Subsection
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(a-1) and supports its finding with separate findings and
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conclusions for each element based solely on the information
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provided by the petitioner and the certificate holder.
The
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commission may grant or deny a petition subject to terms and
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conditions specifically related to the service request of the
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petitioner and all relevant information submitted by the petitioner
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and the certificate holder]. The commission may not deny a petition |
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based on the fact that a certificate holder is a borrower under a |
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federal loan program. In addition, the commission may require an |
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award of compensation to the decertified retail public utility as |
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otherwise provided by this section. |
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SECTION 2. The changes in law made by Section 13.254, Water |
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Code, as amended by this Act, apply only to a petition filed on or |
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after the effective date of this Act. A petition filed before the |
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effective date of this Act is subject to the law in effect on the |
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date the petition is filed, and that law is continued in effect for |
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that purpose. |
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SECTION 3. This Act takes effect September 1, 2011. |