|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to the powers of a public utility agency; authorizing fees |
|
and charges; granting the power of eminent domain. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Section 572.058(b), Local Government Code, is |
|
amended to read as follows: |
|
(b) A public utility agency may: |
|
(1) perform any act necessary to the full exercise of |
|
the agency's powers; |
|
(2) enter into a contract, lease, or agreement with or |
|
accept a grant or loan from a: |
|
(A) department or agency of the United States; |
|
(B) department, agency, or municipality or other |
|
political subdivision of this state; or |
|
(C) public or private corporation or person; |
|
(3) sell, lease, convey, or otherwise dispose of any |
|
right, interest, or property the agency considers to be unnecessary |
|
for the efficient operation or maintenance of its facilities; [and] |
|
(4) acquire, for the use and benefit of the agency, |
|
land, easements, or other property by purchase or by exercising the |
|
power of eminent domain according to Section 572.0585; |
|
(5) provide potable and nonpotable water service, |
|
sewer service, or both to the ultimate consumer for compensation; |
|
(6) establish, charge, and collect reasonable and |
|
nondiscriminatory tolls, fees, user fees, rates, and other charges |
|
for the sale or use of water, water service, water connections, |
|
wastewater service, wastewater connections, or other services |
|
sold, furnished, or supplied by the agency to retail, wholesale, |
|
industrial, and other users; |
|
(7) assess and collect an impact fee under Chapter 395 |
|
against new development in the area served by the agency; |
|
(8) adopt and enforce a water quality protection rule, |
|
applicable to development served by the agency but located outside |
|
the jurisdiction of a municipality, for the protection, |
|
preservation, and restoration of the purity or sanitary condition |
|
of water within this state, including areas served by the agency; |
|
(9) enter into a contract with a water district or a |
|
water supply corporation to receive a facility or conveyance from |
|
the district or corporation that the district or corporation |
|
received in a contract under Section 49.226(b), 51.150, or |
|
54.2351, Water Code, or Section 552.014 of this code; and |
|
(10) adopt rules to govern the operation of the agency |
|
and its employees, facilities, and service. |
|
SECTION 2. Subchapter C, Chapter 572, Local Government |
|
Code, is amended by adding Section 572.0585 to read as follows: |
|
Sec. 572.0585. USE OF EMINENT DOMAIN. (a) A public utility |
|
agency may, with a four-fifths vote of the agency's board of |
|
directors, exercise the power of eminent domain to acquire land, |
|
easements, or other property within the area served by the agency |
|
for water or sanitary sewer purposes or for any other of its |
|
projects or purposes, and may elect to condemn either the fee simple |
|
title or a lesser property interest. |
|
(b) A public utility agency must exercise the power of |
|
eminent domain in the manner provided in Chapter 21, Property Code, |
|
except that the agency is not required to give bond for appeal or |
|
bond for costs in any condemnation suit or other suit to which it is |
|
a party and is not required to deposit more than the amount of any |
|
award in any suit. |
|
(c) A public utility agency may not use the power of eminent |
|
domain to condemn land for the purpose of acquiring rights to |
|
groundwater or for the purpose of acquiring water or water rights. |
|
SECTION 3. Section 572.059(a), Local Government Code, is |
|
amended to read as follows: |
|
(a) A public utility agency may award a contract for |
|
construction of an improvement that involves the expenditure of |
|
more than $75,000 [$20,000] only on the basis of competitive bids. |
|
SECTION 4. Section 572.061(a), Local Government Code, is |
|
amended to read as follows: |
|
(a) A [In contracting with a public or private entity for
|
|
wastewater collection, transmission, treatment, or disposal
|
|
services or for water conservation, storage, transportation,
|
|
treatment, or distribution, a] public utility agency must charge |
|
tolls, fees, user fees, rates, and other charges sufficient to |
|
produce revenue adequate to: |
|
(1) pay all expenses of operation and maintenance; |
|
(2) pay when due the principal of and interest on |
|
obligations issued under this subchapter; |
|
(3) pay the principal of and interest on any legal debt |
|
of the agency; |
|
(4) pay when due all sinking and reserve fund |
|
payments; [and] |
|
(5) fulfill any agreements made with the holders of |
|
any obligations; and |
|
(6) if a depreciation and emergency fund is |
|
established under Subsection (b), provide a sufficient amount for |
|
that fund. |
|
SECTION 5. Subchapter C, Chapter 572, Local Government |
|
Code, is amended by adding Section 572.065 to read as follows: |
|
Sec. 572.065. PARTICIPATING PUBLIC ENTITY CONVEYANCE TO |
|
PUBLIC UTILITY AGENCY. (a) In this section, "utility system" has |
|
the meaning assigned by Section 1502.001, Government Code. |
|
(b) A participating public entity may convey a utility |
|
system, facility, or other asset or its interest in a utility |
|
system, facility, or other asset to a public utility agency without |
|
holding an election to approve the conveyance. |
|
(c) Chapter 1502, Government Code, does not apply to the |
|
conveyance or sale of a utility system or any related works, |
|
improvements, facilities, equipment, or appliances or an interest |
|
in a utility system, facility, or other asset by a participating |
|
public entity to a public utility agency. |
|
SECTION 6. 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, 2015. |