BILL ANALYSIS

Senate Research Center	C.S.H.B. 1699
88R24448 LRM-F	By: King, Tracy O. (Flores)
	Local Government
	5/12/2023
	Committee Report (Substituted)

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

With limited exceptions, the current statutory cap on an export fee charged by the Evergreen Underground Water Conservation District (district) on water transferred out of the district is 2.5 cents per thousand gallons. That cap has not been raised in over 20 years. Due to the increasing demand for groundwater, the board of directors of the district has determined that a fee increase is necessary to fulfill their statutory duties. H.B. 1699 seeks to authorize the district to impose certain fees and sets a cap on the amount of a production and export fee at 20 cents for every thousand gallons of exported water.

(Original Author's/Sponsor's Statement of Intent)

C.S.H.B. 1699 amends current law relating to the authority of the Evergreen Underground Water Conservation District to impose certain fees.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 197, Acts of the 59th Legislature, Regular Session, 1965, by adding Section 22A, as follows:

Sec. 22A. FEES. Authorizes the board of directors of the Evergreen Underground Water Conservation District (district) to impose:

(1) a combined production and export fee on water exported from the district in an amount not to exceed 20 cents for each thousand gallons of water exported from the district; and

(2) other fees as authorized by Chapter 36 (Groundwater Conservation Districts), Water Code.

(b) Authorizes a fee collected under Subsection (a)(1) of this section to be used only to maintain the operability of wells significantly affected by groundwater export projects and as authorized by Section 36.122(l) (relating to prohibiting a district from using certain revenues to prohibit the transfer of groundwater outside a district), Water Code.

SECTION 2. Effective date: upon passage or September 1, 2023.