BILL ANALYSIS

 

 

Senate Research Center	H.B. 4385
88R13446 CXP-D	By: Guillen (Alvarado)
	Water, Agriculture & Rural Affairs
	5/17/2023
	Engrossed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Under current law, if a water supply corporation or retail public utility fails to provide services to a municipality, the municipality is permitted to render retail water services without a certificate of public convenience and necessity. However, this provision does not apply to sewer services. H.B. 4385 seeks to address this issue by authorizing the Public Utility Commission of Texas to allow a municipality or utility or water supply corporation to render retail sewer services without a certificate of public convenience and necessity under certain circumstances.

 

H.B. 4385 amends current law relating to the provision of sewer service without a certificate of public convenience and necessity.

 

RULEMAKING AUTHORITY

 

Rulemaking authority is expressly granted to the Public Utility Commission of Texas in SECTION 1 (Section 13.242, Water Code) of this bill.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 13.242(c), Water Code, as follows:

 

(c) Authorizes the Public Utility Commission of Texas by rule to allow a municipality or utility or water supply corporation to render retail sewer service without a certificate of public convenience and necessity if the municipality has given notice under Section 13.255 (Single Certification in Incorporated or Annexed Areas) that it intends to provide retail sewer service to an area or if the utility or water supply corporation has less than 15 potential connections and is not within the certificated area of another retail public utility.

 

SECTION 2. Effective date: September 1, 2023.