BILL ANALYSIS

 

 

Senate Research Center

H.B. 693

83R1700 DDT-D

By: Phillips (Deuell)

 

Natural Resources

 

5/9/2013

 

Engrossed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Under current law, a utility may choose to collect as part of its billing process a voluntary contribution on behalf of a volunteer fire department or an emergency medical service. H.B. 693 amends the Water Code to add a local library to the entities on behalf of which a water and sewer utility is authorized to implement as part of its billing process a program to collect from its customers a voluntary contribution.

 

H.B. 693 amends current law relating to the authority of a water and sewer utility to collect voluntary contributions on behalf of a local library.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Sections 13.143(a), (b), and (d), Water Code, as follows:

 

(a) Authorizes a utility to implement as part of its billing process a program under which the utility collects from its customers a voluntary contribution, including a voluntary membership or subscription fee, on behalf of a local library, a volunteer fire department, or an emergency medical service.

 

(b) Requires a utility that collects contributions under this section to provide each customer at the time that the customer first becomes a customer, and at least annually thereafter, a written statement:

 

(1)  describing the procedure by which the customer is required to make a contribution with the customer's bill payment;

 

(2)  designating the local library, volunteer fire department, or emergency medical service to which the utility will deliver the contribution;

 

(3)  informing the customer that a contribution is voluntary; and

 

(4)  describing the deductibility status of the contribution under federal income tax law.

 

(d) Requires the utility to promptly deliver contributions that it collects under this section to the designated local library, volunteer fire department, or emergency medical service, except that the utility is authorized to keep from the contributions an amount equal to the lesser of the utility's expenses in administering the contribution program or five percent of the amount collected as contributions.

 

SECTION 2. Effective date: upon passage or September 1, 2013.