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A BILL TO BE ENTITLED
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AN ACT
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relating to the generation of electric power by a water supply or |
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sewer service corporation. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 67, Water Code, is amended |
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by adding Section 67.0115 to read as follows: |
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Sec. 67.0115. ELECTRIC GENERATION. (a) A corporation may |
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generate electric power for use in the corporation's operations, |
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limited to: |
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(1) powering water well pumps, service pumps, and |
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other equipment for the production, treatment, and transportation |
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of raw water; and |
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(2) powering infrastructure for the treatment and |
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delivery of potable drinking water. |
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(b) For the purposes of Subsection (a), a corporation |
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operating solely as a wholesale water supplier or sewer service in a |
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county with a population of less than 350,000 may generate excess |
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electric power in conjunction with the uses described in Subsection |
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(a) for sale in the ERCOT power region to provide revenue for the |
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corporation only if the corporation: |
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(1) primarily generates electric power solely for the |
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uses described in Subsection (a); and |
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(2) registers as a power generation company under |
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Section 39.351, Utilities Code. |
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(c) A corporation that generates electric power for sale |
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under Subsection (b) shall account for and use the revenue from |
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those sales in a manner that complies with Section 67.004. The |
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revenue that accrues from those sales of electric power may be used |
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by the corporation only for: |
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(1) the corporation's costs of producing and selling |
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electric power, including administration, employees, equipment, |
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fuel, and maintenance; or |
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(2) a purpose described by Section 67.002. |
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SECTION 2. This Act takes effect September 1, 2025. |