Utilities and Environment

H.B. 4 (Ritter/Fraser) – State Water Plan Funding:  this bill provides a mechanism to fund the State Water Plan and specifically provides that:

    1. the state water implementation fund for Texas is created as a special fund in the state treasury outside the general revenue fund.
    2. the fund should never be used for a purpose other than the support of projects in the state water plan.
    3. the fund consists of:
  1. money transferred or deposited to the credit of the fund by law;
  2. the proceeds of any fee or tax imposed by this state that the legislature by statute dedicates for deposit to the credit of the fund;
  3. any other revenue that the legislature by statute dedicates for deposit to the credit of the fund;
  4. interest earned on amounts credited to the fund; and
  5. money transferred to the fund under a bond enhancement agreement.
    1. the Texas Treasury Safekeeping Trust Company (an existing state special purpose entity that was created to efficiently and economically manage, invest, and safeguard funds for the state and various subdivisions of the state) shall manage and invest the fund, maintaining sufficient liquidity to meet the needs of the fund and adopting a written investment policy appropriate for the fund.
    2. at the direction of the Texas Water Development Board, the trust company shall make disbursements from the fund to another fund or account pursuant to a bond enhancement agreement in the amounts the board determines are needed for debt service payments on or security provisions of the board’s general obligation or revenue bonds.
    3. of the money disbursed from the fund during the five-year period between the adoption of a state water plan and the adoption of a new plan, the board shall apply not less than: (a) 10 percent to support projects included in the state water plan that are for rural political subdivisions or for agricultural water conservation; and (b) 20 percent to support projects included in the state water plan that are for water conservation or reuse.
    4. the board may direct the trust company to enter into bond enhancement agreements to provide a source of revenue or security for the payment of the principal or interest on bonds issued by the board to finance or refinance projects included in the state water plan, if the proceeds of the sale of the bonds have been or will be deposited to the credit of:
  1. the state water implementation revenue fund for Texas;
  2. the water infrastructure fund;
  3. the rural water assistance fund;
  4. the Texas Water Development Fund II state participation account; or
  5. the agricultural water conservation fund.
    1. the board may direct the trust company to make disbursements for the support of bonds the proceeds of which are used to provide financial assistance in the form of:
  1. a loan bearing an interest rate of not less than 50 percent of the then-current market rate of interest available to the board;
  2. a loan to finance a facility under repayment terms similar to the terms of debt customarily issued by the entity requesting assistance, not to exceed the lesser of the useful life or 30 years;
  3. a deferral of loan payment;
  4. incremental repurchase terms for an acquired facility; or
  5. a combination of the these methods.
  1. the board may not direct the trust company to enter into a bond enhancement agreement with respect to bonds issued by the board the proceeds of which have been or are to be used to make grants.
  2. each regional water planning group shall prioritize projects in its respective region using the uniform standards established by the board and the board shall prioritize projects in the state water plan for the purpose of providing financial assistance.
  3. the State Water Implementation Fund for Texas Advisory Committee is created and is composed of the comptroller, three members of the senate appointed by the lieutenant governor, and three members of the house appointed by the speaker of the house.
  4. the advisory committee shall submit recommendations to the board regarding the use of money in the fund for use by the board.
  5. the state water implementation revenue fund for Texas is created as a special fund in the state treasury outside the general revenue fund to be used by the board only for the purpose of providing financing for projects included in the state water plan. 
  6. the board may sell to the state water implementation revenue fund for Texas any political subdivision bonds purchased with money in the water infrastructure fund.
  7. the governing body of each political subdivision receiving financial assistance from the board shall require in all contracts for the construction of a project (in addition to the requirements in current law) that the contract include a requirement that iron and steel products and manufactured goods used in the project be produced in the United States, with certain exceptions.    

(Effective September 1, 2013.)

H.B. 200 (Murphy/Ellis) – Liability of Electric Utilities:  with regard to an electric utility located in a county with a population of four million or more: (1) allows the electric utility to enter into an agreement with a political subdivision to allow public access to and use of the premises of the electric utility for recreation, exercise, relaxation, travel, or pleasure; (2) provides that the utility by entering into an agreement under (1), above, does not assure that the premises are safe; (3) provides that the doctrine of attractive nuisance is not applicable to such agreed to use; and (4) provides that a written agreement described in (1), above, may require the political subdivision to provide or pay for insurance coverage for any defense costs or other litigation costs incurred by the electric utility for damage claims.  (Effective immediately.)

H.B. 252 (Larson/Hegar)  – Water Shortage Reporting: requires that each municipally owned utility notify the Texas Commission on Environmental Quality when the utility is reasonably certain that the utility’s water supply is less than 180 days.  (Effective September 1, 2013.)

H.B. 788 (Smith/Hinojosa)  – Greenhouse Gas Emissions:  requires the Texas Commission on Environmental Quality to, in accordance with federal law, adopt a program for issuing permits that include the regulation of greenhouse gas emissions.  (Effective immediately.)   

H.B. 857 (Lucio/Ellis)  – Water Audits: requires that all municipally owned utilities that either receive financial assistance from the Texas Water Development Board or provide service to more than 3,300 connections perform and file with the board an annual water audit computing the utility’s system water loss during the preceding year.  (Note:  Current law requires only utilities that receive state aid to file such audits.)  (Effective September 1, 2013.)  

H.B. 1461 (Aycock/Fraser) – Water Conservation:  requires a retail public utility, including a city, that files a water loss audit to notify each of the utility’s customers of the water loss reported in the water audit on: (1) the utility’s next annual consumer confidence report delivered after the water audit is filed or (2) the next bill the customer receives after the water audit is filed.  (Effective September 1, 2013.)

H.B. 1554 (J. Rodriguez/Campbell) – Floodplain Management:  this bill:  (1) provides that a city may bring a civil action to enforce an ordinance relating to floodplain control and administration, including an ordinance regulating the placement of a structure, fill, or other materials in a designated floodplain; (2) a city may abate a violation of a floodplain management ordinance by causing the work necessary to bring real property into compliance with the ordinance, including the repair, removal, or demolition of a structure, fill, or other material illegally placed in the area designated as a floodplain, if: (a)  the city gives the owner reasonable notice and opportunity to comply with the ordinance; and (b) the owner of the property fails to comply with the ordinance; (3) the city may assess the costs incurred against the property and has a lien on the property for the costs incurred  and for interest until the municipality is paid; and (4) the city's lien is inferior to any previously-recorded bona fide mortgage lien attached to the real property to which the city's lien attaches, but is superior to all other previously-recorded judgment liens.  (Effective September 1, 2013.)

H.B. 1600 (Cook/Nichols) – Public Utility Commission:  this is the Public Utility Commission (PUC) Sunset bill.  Of particular interest to cities, the bill continues the functions of the PUC until 2023 and:

    1. increases PUC oversight of the Electric Reliability Council of Texas.
    2. authorizes the PUC to issue a cease and desist order against an electric utility in certain circumstances and provides procedures for doing so.
    3. on September 1, 2014, transfers to the PUC the powers, duties, functions, programs, and activities of the Texas Commission on Environmental Quality (TCEQ) relating to the economic regulation of water and sewer service, including the issuance and transfer of certificates of convenience and necessity, the determination of rates, and the administration of hearings and proceedings involving those matters.  Specifically, the bill provides that:
  1. certain duties relating to residential and small commercial water customer representation are assigned to the Office of Public Utility Counsel.
  2. a city retains original jurisdiction over water rates and service with its limits.
  3. the regulatory authority, including a city, may require, by order or subpoena served on any utility, the production at the time and place it may designate of any books, accounts, papers, or records kept by a water and sewer utility outside the state or verified copies of them if the regulatory authority so orders.
  4. includes essentially the same provisions as S.B. 567 (Watson/Geren), which are summarized below.    
  5. the PUC by rule shall require each utility to annually file a service, financial, and normalized earnings report that must include information sufficient to enable the PUC to properly monitor utilities in this state.
  1. provides that, by August 1, 2014, the TCEQ and the PUC shall enter into a memorandum of understanding that governs the transition and authorizes the Office of Public Utility Counsel to represent the interests of residential and small commercial water consumers.
  2. provides that the TCEQ and the PUC shall appoint a transition team to accomplish the purposes of bill and that will provide a final report on the implementation to the executive directors not later than September 1, 2014.

(Effective September 1, 2013.)

H.B. 1772 (Turner/Davis) – Electric/Gas Utility Disconnection:  provides additional procedures that an owner/landlord must follow when it receives notice of disconnection of gas or electric service to a nonsubmetered, master-metered multifamily property.  Of particular interest to cities, the bill provides that: (1) if the property is located in a city and served by a municipal utility, the owner/landlord shall provide notice of a pending disconnection to tenants and to the governing body of that city by certified mail; (2) the governing body of the city may provide additional notice to the property’s tenants and owner/landlord after receipt of the service disconnection notice; and (3) if the property is served by a retail electric provider in an area where customer choice has not been introduced or by an investor owned gas utility, the owner/landlord shall send a written notice of service disconnection to a city before the retail electric provider disconnects service if the property is located in the city and the city establishes an authorized representative to receive the notice.  (Effective January 1, 2014.)

H.B. 2152 (Callegari/Lucio) – Water Rates:  prohibits a municipally owned utility that provides nonsubmetered master metered utility service to a recreational vehicle park from assessing a fee that the utility does not charge other commercial businesses that serve transient customers.  (Effective September 1, 2013.)   

H.B. 2290 (Lozano/Estes) – Supplemental Environmental Projects:  allows a local government that receives money to implement a supplemental environmental project from the Texas Commission on Environmental Quality to retain up to ten percent of the amount received for administrative costs associated with implementing the project.  (Effective immediately.)   

H.B. 2585 (Harper-Brown/Paxton) – Utility Relocation:  removes the expiration provision from the state law providing that the Texas Department of Transportation and a utility, including a municipally owned utility, shall share equally the cost of the relocation of a utility facility required by the improvement of state-run toll road projects.  (Effective immediately.) 

H.B. 2615 (Johnson/Fraser)  – Water Rights Reporting:  this bill: (1) increases the penalty for a person who has been issued a water right and fails to file the required annual report from $25 per day to: (a) $100 per day if the person is the holder of a right appropriating 5,000 acre-feet or less per year or (b) $500 per day if the person is the holder of a right appropriating more than 5,000 acre-feet per year; (2) requires the executive director of the Texas Commission on Environmental Quality (TCEQ) to establish a reasonable deadline by which a person must make available information requested by the commission that is related to the water right; and (3) requires the TCEQ to establish a process by which a water right report may be submitted electronically.  (Effective September 1, 2013.)

H.B. 2781 (Fletcher/Campbell) – Rainwater Harvesting: this bill: (1) requires that a privately owned rainwater harvesting system with a capacity of more than 500 gallons and an auxiliary water supply have a backflow prevention assembly or an air gap installed a installed at the storage facility for the harvested rainwater; (2) requires a person who intends to use a public water supply system as an auxiliary water supply to give written notice of that intention to the city in which the rainwater harvesting system is located; (3) prohibits the public water supply system being used as an auxiliary water source from being connected to the plumbing of a structure; (4) requires the Texas Water Development Board to provide training for each member of the permitting staff of a city with a population of more than 10,000 whose work relates directly to permits involving rainwater harvesting; and (5) requires a seller of property to disclose any rainwater harvesting system located on the property that is larger than 500 gallons and that uses a public water supply as an auxiliary water source.  (Effective September 1, 2013.) 

H.B. 3233 (Ritter/Fraser) – Interbasin Transfers: this bill: (1) removes the requirement to include the projected effect on user rates and fees for each class of ratepayers on an application for an interbasin transfer; (2) limits the evidentiary hearing for an application to transfer water to contested issues related to the requirements in the bill; (3) changes the notice of an application requirement from once a week for two consecutive weeks to two different weeks in a 30 day period; and (4) exempts from the permit requirement a proposed transfer from the part of the service area of a retail water utility that is within the basin of origin for use in that part of the geographic area of the county or city, or that contiguous part of the retail service area of the utility, not within the basin of origin.  (Effective September 1, 2013.)

H.B. 3511 (Ritter/Eltife) – Contractual Immunity: provides that: (1) a water district or authority that enters into a written contract stating the essential terms under which the local district or authority is to provide water to a purchaser for use in connection with the generation of electricity waives sovereign immunity to suit for the purpose of adjudicating a claim that the local district or authority breached the contract by not providing water, or access to water, according to the contract's terms; (2) sovereign immunity to suit is waived by a local government entity, including a city, that enters into a written contract, including a right of first refusal, regarding the sale or delivery of not less than 1,000 acre-feet of reclaimed water by a local governmental entity intended for industrial use; and (3) a prevailing party in a contract governed by (2), above, is liable for actual damages, specific performance, or injunctive relief in an adjudication brought against a local governmental entity.  (Effective immediately.)

H.B. 3605 (Burnam/Hegar) – Water Loss:  requires: (1) a retail public utility, which includes a city, that receives financial assistance from the Texas Water Development Board to use a portion of the financial assistance to mitigate the utility system’s water loss if the water loss exceeds a threshold amount to be established by the board; (2) the board, when reviewing applications for financial assistance from a retail public utility with 3,300 or more connections, to evaluate the utility’s water conservation plan for compliance with the board’s best management practices and issue a report to the utility detailing the results of the evaluation; and (3) that plans and specifications submitted to the board in connection with an application for financial assistance include a seal by a licensed engineer affirming that the plans and specifications are consistent with and conform to current industry design and construction standards.  (Effective September 1, 2013.)

S.B. 186 (Corona/Giddings) – Mosquito Abatement: provides that: (1) a city, county, or local health authority may abate, without notice, certain collections of water in which mosquitoes are breeding that: (a) are located on residential property reasonably presumed to be abandoned or uninhabited due to foreclosure; and (b) are an immediate danger to the health, life, or safety of any person; (2) public officials, agents, and employees charged with the enforcement of health, environmental, or safety laws may enter the premises described in (1), above, at a reasonable time to inspect, investigate, or abate the nuisance; (3) mosquito abatement described in (1), above, is limited to treatment of stagnant water with a mosquito larvicide; and (4) a notice must be posted on the front door of a residence described in (1), above, stating the identity of the treating authority, the purpose and date of treatment, the area treated, the type of larvicide used, and the known risks of the larvicide to humans or animals. (Effective immediately.)

S.B. 349 (Nichols/Creighton) – Municipally Owned Electric Utility Power Lines: with respect to municipal power lines, provides that: (1) a “distribution line” means a power line operated below 60,000 volts when measured phase to phase, and a “transmission line” means a power line operated at 60,000 volts or more when measured phase to phase; and (2) distribution and transmission lines shall be constructed along highways and at other places in accordance with the national electrical safety code.  (Effective Immediately.)

S.B. 385 (Carona/Keffer) – Clean Energy Assessments:  this bill: (1) enacts the Property Assessed Clean Energy (PACE) Act, which would authorize a city to create PACE districts to promote private sector water conservation and energy efficiency; (2) provides detailed procedures for the creation of a PACE district; and (3) provides that property owners in a PACE district would be able to obtain low-cost, long-term financing from private sector lenders for water conservation improvements and energy efficiency retrofits to existing structures. (Effective immediately.)

S.B. 514 (Davis/Wu) – Saltwater Pipelines: provides that: (1) a saltwater pipeline operator is entitled to install, maintain, and operate a saltwater pipeline facility through, under, along, across, or over a public road only if: (a) the pipeline facility complies with applicable federal and state regulations, as well as any municipal regulations regarding the accommodation of utility facilities on a public road or right-of-way, including regulations relating to the horizontal or vertical placement of the pipeline facility; and (b) the saltwater pipeline operator ensures that the public road and associated facilities are promptly restored to their former condition of usefulness after the installation or maintenance of the pipeline facility is complete; (2) the governing body of a city may require a saltwater pipeline operator to relocate a saltwater pipeline facility at the cost of the saltwater pipeline operator to accommodate construction or expansion of a public road or for any other public work unless the saltwater pipeline operator has a property interest in the land occupied by the facility to be relocated; and (3) the bill does not affect the authority of a city to regulate the use of a public right-of-way by a saltwater pipeline operator under any other law or require the payment of a franchise fee for the use of municipal rights-of-way.  (Effective immediately.) 

S.B. 567 (Watson/Geren) – Water Rates:  this omnibus water utility reform bill transfers functions relating to the economic regulation of water and sewer service from the Texas Commission on Environmental Quality to the Public Utility Commission of Texas (PUC).  In addition, the bill would provide that:

  1. certain duties relating to residential and small commercial water customer representation are assigned to the Office of Public Utility Counsel.
  2. a city retains original jurisdiction over water rates and service with its limits.
  3. the regulatory authority, including a city, may require, by order or subpoena served on any utility, the production at the time and place it may designate of any books, accounts, papers, or records kept by a water and sewer utility outside the state or verified copies of them if the regulatory authority so orders.
  4. for purposes of water rate and service regulation, create utility classifications as follows: (1) a Class A utility means a public utility that provides retail water or sewer utility service through 10,000 or more taps or connections; (b) a Class B utility means a public utility that provides retail water or sewer utility service through 500 or more taps or connections but fewer than 10,000 taps or connections; and (c) a Class C utility means a public utility that provides retail water or sewer utility service through fewer than 500 taps or connections.
  5. a Class A utility may not make changes in its rates except by delivering a statement of intent (which must include a description of the process by which a ratepayer may intervene in the ratemaking proceeding) to each ratepayer and with the regulatory authority having original jurisdiction at least 35 days (Note: Reduced from 60 days in current law.) before the effective date of the proposed change.
  6. the regulatory authority shall, not later than the 30th day after the effective date of a rate change, begin a hearing to determine the propriety of a rate change request by a Class A utility.
  7. a Class A utility is not required to provide a formal answer or file any other formal pleading in response to a city’s notice that the city will hold a hearing on  rate change request, and the absence of an answer does not affect an order for a hearing.
  8. a utility may put a changed rate into effect throughout the area in which the utility sought to change its rates, including an area over which the utility commission is exercising appellate or original jurisdiction, by filing a bond with the PUC if the suspension period has been extended and PUC fails to make a final determination before the 151st day after the date the rate change would otherwise be effective.
  9. a Class B utility may not make changes in its rates except by delivering a statement of intent to each ratepayer and with the regulatory authority having original jurisdiction at least 35 days before the effective date of the proposed change.
  10. when the statement of intent under (9), above, is delivered, the Class B utility shall file with the regulatory authority an application to change rates.
  11. if, before the 91st day after the effective date of the rate change under (10), above, the regulatory authority receives a complaint from any affected city, or from the lesser of 1,000 or 10 percent of the ratepayers of the utility, the regulatory authority shall set the matter for hearing.
  12. the Class B utility is not required to provide a formal answer or file any other formal pleading in response to the notice, and the absence of an answer does not affect an order for a hearing.
  13. the Class B utility shall mail notice, which must include a description of the process by which a ratepayer may intervene in the ratemaking proceeding, of the hearing to each ratepayer before the hearing.
  14. a Class B utility or two or more utilities under common control and ownership may not file a statement of intent to increase its rates more than once in a 12-month period, unless the regulatory authority determines that a financial hardship exists.
  15. the PUC by rule shall adopt procedures to allow a Class C utility to receive without a hearing an annual rate adjustment based on changes in a price index adopted by the PUC.
  16. a Class C utility may adjust its rates using the procedures adopted under (15), above, not more than once each year and not more than four times between formal rate proceedings.

(Effective September 1, 2013.)

S.B. 654 (West/Anchia) – Civil Actions: authorizes a city to bring a civil action or use quasi-judicial enforcement procedures to enforce an ordinance relating to: (1) animal care and control; and (2) water conservation measures, including watering restrictions. (Effective September 1, 2013.)

S.B. 701 (Hegar/Herrero) – Utilities:  would make it a defense to a criminal trespass charge that an individual is an employee or agent of a municipally owned utility.  (Effective September 1, 2013.)

S.B. 885 (Hinojosa/Harper-Brown) – Gas Rate Notices:  would provide that, instead of mailing a customer notice of a rate increase, an investor owned gas utility may send the notice by email if the customer’s email address is available to the utility and the customer has consented in writing to receive the notice by email.  (Effective September 1, 2013.)

S.B. 900 (Fraser/Wu) – Railroad Commission Fines:  increase the maximum amount of various civil penalties issued by the Railroad Commission for a violation of pipeline safety or pollution rules.  (Effective September 1, 2013.)

S.B. 902 (Fraser/Callegari) – Water Districts:  makes numerous changes to the laws that affect water districts.  Of particular interest to cities, the bill provides that: (1) a city may enter into a contract with a water district or with a non-profit water supply corporation under which the district or corporation will acquire for the benefit of and convey to the city, either separately or together, one or more water, sewer, drainage, or road projects; (2) that the contract under (1), above, may provide that any payments due are payable from and are secured by a pledge of a specified part of the revenues of the city, including revenues from municipal sales and use taxes; (3) a peace officer contracted for by a water district, individually or through a county, sheriff, constable, or city, is an independent contractor, and the district is responsible for the acts or omissions of the peace officer only to the extent provided by law for other independent contractors; (4) a water district providing potable water or sewer service to household users may, separately or jointly with another district, city, or other political subdivision, establish, operate, and maintain, finance with ad valorem taxes, mandatory fees, or  voluntary contributions, and issue bonds for a fire department to perform all firefighting services within the district and may provide for the construction and purchase of necessary buildings, facilities, land, and equipment and the provision of an adequate water supply; and (5) a city may provide in its written consent for the inclusion of land in a district that is initially located wholly or partly outside the corporate limits of the city that a contract (“allocation agreement”) between the district and the city be entered into prior to the first issue of bonds, notes, warrants, or other obligations of the district.  (City-related provisions are effective September 1, 2013.) (Note:  Any city in an area with water districts should carefully review the provisions of this bill to determine its impact on the city’s relationship with those districts.)

S.B. 958 (Fraser/Keffer) – Water Districts and Authorities: would provide that a local water district or water authority (but not a city) that enters into a written contract to provide water to a purchaser for use in connection with the generation of electricity waives sovereign immunity to suit for the purpose of adjudicating a claim that the local district or authority breached the contract by not providing water, or access to water, according to the contract’s terms.  (Effective immediately.) 

S.B. 981 (Van de Putte/Menendez) – Municipally Owned Electric Utility Discounts: would provide that the governing body of a municipally owned utility may establish a bill payment assistance program for a customer who is a military veteran who a medical doctor certifies has a significantly decreased ability to regulate the individual’s body temperature because of severe burns received in combat.  (Effective immediately.)

S.B. 1063 (Hegar/KolkHorst) – Natural Gas:  provides that natural gas purchased by a public facility corporation for resale to a local government under an interlocal cooperation contract between the sponsor and the local government is considered a public facility.  (Note: Under current law, a local government “sponsor” can create a public facility corporation to finance or to provide for the acquisition, construction, rehabilitation, renovation, repair, equipping, furnishing, and placement in service of public facilities at the lowest possible borrowing costs.) (Effective immediately.)

S.B. 1282 (Duncan/Price) – Desired Future Conditions:  provides that a proposal for the adoption of desired future conditions for the relevant aquifers within a management area is not required before May 1, 2016.  (Note: This does not prevent districts in a management area from voting on a proposal for the adoption of desired future conditions before May 1, 2016.)  (Effective September 1, 2013.)  

S.B. 1300 (Eltife/Lewis) – Texas Environmental, Health, and Safety Audit Privilege Act:  amends the Texas Environmental, Health, and Safety Audit Privilege Act to: (1) allow a person that begins an audit before becoming the owner of a regulated facility or operation to continue the audit after the acquisition closing date, if the person gives notice; (2) requires an audit be completed within a reasonable, time not to exceed six months after the date the audit is initiated or the acquisition closing date, unless an extension is granted by the governmental entity with regulatory authority over the facility; (3) provides that disclosure of the audit report by the person considering the acquisition does not waive the provided immunity; and (4) provides that a disclosure is voluntary if, not more than the 45th day after the acquisition closing date, the violation was discovered during an audit conducted before the acquisition closing date by a person considering the acquisition of the regulated facility or operation.  (Effective September 1, 2013.)  

S.B. 1364 (Schwertner/Murphy) – Electric Rate Cases: would provide that a city or the Texas Railroad Commission, when computing an electric utility’s federal income tax expenses in a rate case, must include with an allowable expense or investment the applicable reduction in income tax liability. (Effective September 1, 2013.)

S.B. 1756 (Uresti/Villalba) – Clean Air Act:  allows an applicant to request the expedited processing of a permit application filed under the Clean Air Act if the applicant demonstrates that the purpose of the application will benefit the economy of this state or an area of this state.  (Effective immediately.)

S.J.R. 1 (Williams/Pitts) – State Water Implementation Fund:  amends the Texas Constitution to: (1) establish a special revolving fund in the state treasury and outside the general revenue fund called the state water implementation fund to be used only to fund water infrastructure projects included in the State Water Plan; (2) provide that the legislature by general law may authorize the Texas Water Development Board to enter into bond enhancement agreements to provide security for general obligation or revenue bonds, the proceeds of which are used to finance state water plan projects; and (3) establish that money in the fund is dedicated by the constitution for purposes of certain constitutional restrictions on appropriations and that an appropriation from the economic stabilization fund to the credit of the state water implementation fund for Texas is an appropriation of constitutionally-dedicated state tax revenues for purposes of those restrictions on appropriations. (Effective if approved at the election on November 5, 2013.)  (Note: This resolution provides the funding mechanism for H.B. 4 (Ritter/Fraser), above.) 

TML member cities may use the material herein for any purpose. 
No other person or entity may reproduce, duplicate, or distribute any part
of this document without the written authorization of the Texas Municipal League.

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