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A BILL TO BE ENTITLED
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AN ACT
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relating to a study of the financing of regional facilities that |
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convert groundwater to surface water. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. DEFINITIONS. In this Act: |
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(1) "Board" means the Texas Water Development Board. |
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(2) "Facility" means a regional water facility that |
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converts groundwater to surface water. |
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SECTION 2. WORKING GROUP. (a) A working group composed of |
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representatives of the Texas Water Development Board and the Texas |
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Public Finance Authority is formed to study, review, and report to |
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the legislature on the methods used to finance or refinance |
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regional water facilities that convert groundwater to surface |
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water. |
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(b) The working group may include representatives of local |
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governments of Harris and Fort Bend Counties that have borrowed |
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money from the board for a facility. |
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(c) The chair of the board, or a designee of the chair of the |
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board, shall serve as the chair of the working group. |
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(d) The working group shall convene at the call of the |
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chair. |
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SECTION 3. STUDY. The working group shall study: |
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(1) the useful life of regional water facilities that |
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convert groundwater to surface water, including associated |
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improvements during a facility's useful life; |
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(2) the typical period of time necessary to pay the |
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costs associated with developing a financed facility; |
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(3) the economic effect on current water users paying |
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the cost of a facility that will provide service to future water |
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users; |
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(4) the financing terms of current and anticipated |
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facilities; |
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(5) the ability to distribute the costs associated |
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with the development of a facility to the users who benefit from the |
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facility, including: |
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(A) the fairness and equity benefits to water |
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users of extending the financing of a facility compared to the |
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potential increase in financing costs associated with an extension |
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of financing; |
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(B) the ability to use methods of financing or |
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refinancing to accomplish this distribution; |
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(C) policies and procedures of this state and the |
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board that may be used to accomplish this distribution; |
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(D) whether the board's financing terms and |
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conditions can be improved to better accomplish this distribution, |
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including whether the board may forgive a loan or a portion of a |
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loan to better accomplish this distribution; |
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(E) whether potential measures that could |
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accomplish this distribution are precluded by state law; and |
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(F) what changes to state law may be necessary to |
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accomplish this distribution; |
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(6) whether financial assistance administered by the |
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board may be used to refinance or restructure existing financing of |
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a facility; and |
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(7) whether a facility is eligible for grant funding. |
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SECTION 4. FINDINGS AND RECOMMENDATIONS. (a) The working |
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group shall recommend any changes and improvements relating to the |
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financing of regional facilities that convert groundwater to |
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surface water that may be implemented by this state, the board, or |
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another state agency without further legislative authorization. |
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(b) Not later than September 1, 2024, the working group |
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shall report the working group's findings and recommendations to |
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the lieutenant governor, the speaker of the house of |
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representatives, and the governor. |
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(c) A member of the house or the senate may request to be |
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kept informed of the working group's progress throughout the |
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duration of the study. |
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SECTION 5. EXPIRATION. This Act expires September 1, 2025. |
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SECTION 6. EFFECTIVE DATE. This Act takes effect |
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immediately if it receives a vote of two-thirds of all the members |
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elected to each house, as provided by Section 39, Article III, Texas |
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Constitution. If this Act does not receive the vote necessary for |
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immediate effect, this Act takes effect September 1, 2023. |