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A BILL TO BE ENTITLED
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AN ACT
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Relating to solid waste management contracts |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter F, Chapter 363, Health and Safety |
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Code, is amended by adding Section 363.120 to read as follows: |
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Sec. 363.120. EXCLUSIVE SOLID WASTE MANAGEMENT CONTRACTS. |
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(a) In entering into an exclusive contract or franchise |
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agreement for the provision of solid waste services, a public |
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agency may limit the scope of a contract to certain and specific |
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solid waste management services, preserving the right of any |
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resident, property owner or their agent within the jurisdiction of |
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that public agency to contract with private, commercial operators |
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for the provision of services not otherwise subject to the contract |
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of the public agency. |
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(b) If, at any time, a public agency chooses to expand the |
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scope of an exclusive contract or franchise agreement to apply to |
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other solid waste services and thereby displace a private operator |
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currently providing services under a separate open market contract |
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or agreement, the public agency shall: |
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(1) allow the private solid waste service provider to |
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continue operation under any existing contract or agreement until |
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the end of the term of that agreement or two years, whichever occurs |
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first; and |
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(2) For an operator providing solid waste management |
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services without a contract or similar agreement, the public agency |
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may displace that operator without further obligation 60 days after |
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providing notice to the operator of the effective date of the |
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amended, exclusive local contract or franchise. |
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(c) For the purposes of this section, the displacement of a |
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solid waste services provider due to the adoption of an exclusive |
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contract or franchise does not include: |
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(1) the result of a competitive process between a |
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public agency and a private company for individual contracts for |
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provision of solid waste management services to individual |
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commercial businesses or institutions; |
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(2) actions by which a public agency, at the end of the |
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term of an exclusive contract or franchise agreement with one or |
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more private companies, declines to renew the contract and either |
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awards the contract to another private company or decides for any |
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reason to provide the solid waste management service itself; or |
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(3) solid waste collection services provided in an |
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area annexed by a municipality, but only to the extent that the |
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provisions of Section 43.0661(c), Local Government Code, apply. |
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SECTION 2. Section 363.120, Health and Safety Code, as |
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added by this Act, applies only to a contract or franchise agreement |
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entered into or amended after the effective date of the Act. A |
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contract for the provision of solid waste services governed by this |
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chapter that is entered into or amended before the effective date of |
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this Act is governed by the law in effect when the contract or |
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franchise agreement was entered into or amended and the former law |
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is continued in effect for that purpose. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2023. |