LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 83RD LEGISLATIVE REGULAR SESSION

April 5, 2013

TO:	Honorable Allan Ritter, Chair, House Committee on Natural Resources
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB3233 by Ritter (Relating to interbasin transfers of state water.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would affect the permitting process for inter-basin transfers of surface water rights. The bill would remove the requirement that an application for an inter-basin transfer must include the projected effect on user rates and fees for each class of rate payers. The bill would change notification requirements, and it would substitute the term “service area of a retail water utility” for “municipality's retail service area.”

The changes proposed by the bill could shorten the permitting process for an inter-basin transfer. The bill also could increase the number of utilities that would be exempt from requirements for an inter-basin transfer application because the term “service area of retail water utility” encompasses more utility service areas than the existing language of “municipality's retail service area.”

Passage of the bill is not expected to result in a significant impact on the Texas Commission on Environmental Quality's workload.

Local Government Impact

Units of local government that apply for inter-basin transfers of water may experience lower permitting costs, but the amount of any savings would vary widely and depend on the unique operating environment of the local government.

Source Agencies:

582 Commission on Environmental Quality

LBB Staff:

UP, SZ, TL