84R2669 JAM-D
 
  By: Keffer H.B. No. 2308
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the consideration by the Texas Commission on
  Environmental Quality of the economic impact of an appropriation of
  state water in determining whether to grant an application for the
  appropriation.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter D, Chapter 11, Water Code, is amended
  by adding Section 11.1274 to read as follows:
         Sec. 11.1274.  ADDITIONAL REQUIREMENT: ECONOMIC IMPACT
  STUDY. The commission shall require from an applicant for a new or
  amended water right the formulation and submission of an economic
  impact study that assesses how approval or denial of the new or
  amended water right will economically impact affected communities.
         SECTION 2.  Section 11.134(b), Water Code, is amended to
  read as follows:
         (b)  The commission shall grant the application only if:
               (1)  the application conforms to the requirements
  prescribed by this chapter and is accompanied by the prescribed
  fee;
               (2)  unappropriated water is available in the source of
  supply;
               (3)  the proposed appropriation:
                     (A)  is intended for a beneficial use;
                     (B)  does not impair existing water rights or
  vested riparian rights;
                     (C)  is not detrimental to the public welfare;
                     (D)  considers any applicable environmental flow
  standards established under Section 11.1471 and, if applicable, the
  assessments performed under Sections 11.147(d) and (e) and Sections
  11.150, 11.151, [and] 11.152, and 11.1521; and
                     (E)  addresses a water supply need in a manner
  that is consistent with the state water plan and the relevant
  approved regional water plan for any area in which the proposed
  appropriation is located, unless the commission determines that
  conditions warrant waiver of this requirement; and
               (4)  the applicant has provided evidence that
  reasonable diligence will be used to avoid waste and achieve water
  conservation as defined by Section 11.002(8)(B).
         SECTION 3.  Subchapter D, Chapter 11, Water Code, is amended
  by adding Section 11.1521 to read as follows:
         Sec. 11.1521.  ASSESSMENT OF ECONOMIC IMPACT OF PERMITS OR
  AMENDMENTS. (a)  In its consideration of an application for a
  permit to store, take, or divert water, or for an amendment to a
  permit, certified filing, or certificate of adjudication, the
  commission shall assess the economic impact, if any, of the
  issuance or denial of the permit or amendment on any community
  affected by the issuance or denial of the permit or amendment and
  may require the applicant to take reasonable actions to mitigate
  adverse economic impacts on affected communities if the permit or
  amendment is issued.  In determining whether to require an
  applicant to mitigate the adverse economic impact of a project
  authorized by a permit or amendment, the commission may consider
  any net benefit produced by the project.
         (b)  For the purposes of Subsection (a), the commission shall
  consider among other factors:
               (1)  the study submitted by the applicant under Section
  11.1274; and
               (2)  any testimony provided at a hearing on the
  application held under Section 11.133.
         SECTION 4.  The changes in law made by this Act apply only to
  an application for a new or amended water right received by the
  Texas Commission on Environmental Quality on or after the effective
  date of this Act. An application received before the effective date
  of this Act is governed by the law in effect on the date the
  application was received, and the former law is continued in effect
  for that purpose.
         SECTION 5.  This Act takes effect September 1, 2015.