|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to the authority of certain municipalities to provide |
|
water and sewer service to areas within the municipal boundaries |
|
without obtaining a certificate of public convenience and |
|
necessity. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Subsection (a), Section 13.247, Water Code, is |
|
amended to read as follows: |
|
(a) If an area is within the boundaries of a municipality, |
|
all retail public utilities certified or entitled to certification |
|
under this chapter to provide service or operate facilities in that |
|
area may continue and extend service in its area of public |
|
convenience and necessity within the area pursuant to the rights |
|
granted by its certificate and this chapter, unless the |
|
municipality exercises its power of eminent domain to acquire the |
|
property of the retail public utility under Subsection (d). Except |
|
as provided by Section 13.2476 or 13.255, a municipally owned or |
|
operated utility may not provide retail water and sewer utility |
|
service within the area certificated to another retail public |
|
utility without first having obtained from the commission a |
|
certificate of public convenience and necessity that includes the |
|
areas to be served. |
|
SECTION 2. Subchapter G, Chapter 13, Water Code, is amended |
|
by adding Section 13.2476 to read as follows: |
|
Sec. 13.2476. CERTIFICATES OF PUBLIC CONVENIENCE AND |
|
NECESSITY TO PROVIDE WATER AND SEWER SERVICE IN CERTAIN |
|
MUNICIPALITIES. (a) This section applies only to a municipality: |
|
(1) with a population of less than 50,000; and |
|
(2) that has an area within the boundaries of the |
|
municipality that is certificated to an investor-owned utility that |
|
provides water and sewer service through 10,000 or more taps or |
|
connections inside and outside the municipality. |
|
(b) A municipality may provide water and sewer service to an |
|
area entirely within the municipality's boundaries without first |
|
having to obtain from the commission a certificate of public |
|
convenience and necessity that includes the area to be served, |
|
regardless of whether the area to be served is certificated to a |
|
public utility. |
|
(c) Not less than 30 days before the municipality begins |
|
providing water or sewer service to an area certificated to a public |
|
utility, the municipality shall provide notice to the utility and |
|
the commission of its intention to provide service to the area. |
|
(d) On receipt of the notice required by Subsection (c), a |
|
public utility may: |
|
(1) petition the commission to decertify its |
|
certificate for the area to be served by the municipality; or |
|
(2) discontinue service to the area to be served by the |
|
municipality. |
|
(e) This section may not be construed to limit the right of a |
|
public utility to provide service in an area certificated to the |
|
utility. |
|
(f) This section does not expand a municipality's power of |
|
eminent domain under Chapter 21, Property Code. |
|
SECTION 3. As soon as practicable after the effective date |
|
of this Act, the Texas Commission on Environmental Quality shall |
|
adopt rules and establish procedures relating to the notice |
|
required under Section 13.2476, Water Code, as added by this Act. |
|
SECTION 4. This Act takes effect September 1, 2013. |