83R10158 JTS-F
 
  By: Lucio S.B. No. 1817
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to municipally owned utility systems.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1502.001, Government Code, is amended by
  adding Subdivision (4) to read as follows:
               (4)  "Water system" means any one or a combination of
  the following:
                     (A)  an untreated or partially treated water
  diversion, impoundment, and delivery system, including a stream,
  channel, resaca, or canal;
                     (B)  a treated water production, storage, and
  distribution system; or
                     (C)  a reclaimed water transmission, storage, and
  distribution system.
         SECTION 2.  Section 1502.057, Government Code, is amended to
  read as follows:
         Sec. 1502.057.  CHARGES FOR SERVICES. (a) The governing
  body of the [A] municipality or the board of trustees having
  management and control of a utility system shall impose and collect
  charges for services provided by a utility system in amounts at
  least sufficient to pay:
               (1)  all operating, maintenance, depreciation,
  replacement, improvement, and interest charges in connection with
  the utility system;
               (2)  for an interest and sinking fund sufficient to pay
  any public securities issued or obligations incurred for any
  purpose described by Section 1502.002 relating to the utility
  system; and
               (3)  any outstanding debt against the system.
         (b)  The rates charged for services provided by a utility
  system must be equal and uniform. A municipality or board of
  trustees may not allow any free service except for:
               (1)  municipal public schools; or
               (2)  buildings and institutions operated by the
  municipality.
         SECTION 3.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2013.