88R18802 KBB-F
 
  By: Schofield H.B. No. 4659
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to a study of the financing of regional facilities that
  convert groundwater to surface water.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  DEFINITIONS. In this Act:
               (1)  "Board" means the Texas Water Development Board.
               (2)  "Facility" means a regional water facility that
  converts groundwater to surface water.
         SECTION 2.  WORKING GROUP. (a)  A working group composed of
  representatives of the Texas Water Development Board and the Texas
  Public Finance Authority is formed to study, review, and report to
  the legislature on the methods used to finance or refinance
  regional water facilities that convert groundwater to surface
  water.
         (b)  The working group may include representatives of local
  governments of Harris and Fort Bend Counties that have borrowed
  money from the board for a facility.
         (c)  The chair of the board, or a designee of the chair of the
  board, shall serve as the chair of the working group.
         (d)  The working group shall convene at the call of the
  chair.
         SECTION 3.  STUDY. The working group shall study:
               (1)  the useful life of regional water facilities that
  convert groundwater to surface water, including associated
  improvements during a facility's useful life;
               (2)  the typical period of time necessary to pay the
  costs associated with developing a financed facility;
               (3)  the economic effect on current water users paying
  the cost of a facility that will provide service to future water
  users;
               (4)  the financing terms of current and anticipated
  facilities;
               (5)  the ability to distribute the costs associated
  with the development of a facility to the users who benefit from the
  facility, including:
                     (A)  the fairness and equity benefits to water
  users of extending the financing of a facility compared to the
  potential increase in financing costs associated with an extension
  of financing;
                     (B)  the ability to use methods of financing or
  refinancing to accomplish this distribution;
                     (C)  policies and procedures of this state and the
  board that may be used to accomplish this distribution;
                     (D)  whether the board's financing terms and
  conditions can be improved to better accomplish this distribution,
  including whether the board may forgive a loan or a portion of a
  loan to better accomplish this distribution;
                     (E)  whether potential measures that could
  accomplish this distribution are precluded by state law; and
                     (F)  what changes to state law may be necessary to
  accomplish this distribution;
               (6)  whether financial assistance administered by the
  board may be used to refinance or restructure existing financing of
  a facility; and
               (7)  whether a facility is eligible for grant funding.
         SECTION 4.  FINDINGS AND RECOMMENDATIONS. (a)  The working
  group shall recommend any changes and improvements relating to the
  financing of regional facilities that convert groundwater to
  surface water that may be implemented by this state, the board, or
  another state agency without further legislative authorization.
         (b)  Not later than September 1, 2024, the working group
  shall report the working group's findings and recommendations to
  the lieutenant governor, the speaker of the house of
  representatives, and the governor.
         (c)  A member of the house or the senate may request to be
  kept informed of the working group's progress throughout the
  duration of the study.
         SECTION 5.  EXPIRATION. This Act expires September 1, 2025.
         SECTION 6.  EFFECTIVE DATE.  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, 2023.