Transcript Highlights:

• We've still been working with utilities.
• And we will see what we can put together utilizing the brilliant legal minds at the AG's office, the

Bills: SB2339

Keywords: wildfire mitigation, utility liability, strict liability, electric utility, public service commission, PSC, rural electric cooperative, municipal utility, transmission provider, vegetation management, power lines, reclosers, electrical safety, wildfire prevention, grid reliability, public safety, first responders, ANSI A300, National Electrical Safety Code, community outreach

Summary: The Energy and Natural Resources Committee continued work on House Bill 1459, which concerns rare earth and critical mineral recovery from North Dakota lignite coal. Testimony from UND researcher Dan Ludo and industry representative David Straely focused on the urgency of developing the process quickly, the technical differences between extracting minerals from coal versus ash, and the potential value of elements such as terbium, dysprosium, gallium, germanium, and synthetic graphite. Straely argued the bill is constitutional, limited to minerals within the coal seam, and needed to avoid years of quiet title litigation and provide certainty for development and compensation to royalty owners. Committee members raised questions about landowner rights, compensation levels, possible amendments from the Department of Trust Lands, and whether the bill should be modified to address constitutional concerns or sunset provisions. No final action was taken on HB 1459; the chair said parties could work on language until Monday before the committee revisits it. The committee then returned to House Bill 1579, a high-load study bill with a possible energy infrastructure investment amendment. Jody Smith of the Retirement and Investment Office presented updated language adding guardrails for in-state infrastructure investing, including requiring approved projects to be underwritten and managed by a qualified investment manager or financial institution and to follow the Legacy Fund investment policy. Members discussed whether the amendment had been shared with the House sponsor and noted that the related bill 1330 was still pending, so HB 1579 was being held for the time being. Finally, the committee took up House Bill 1566, which had an amendment from the Agriculture Commissioner’s office. The committee adopted the amendment 7-0, then passed a due-pass motion on the amended bill and referred it to Appropriations, also by a 7-0 vote. Members discussed the bill’s fiscal impact, including an estimated $580,000 for two FTEs over two years, and clarified that the study component remains in the bill. Senator Gerhardt was assigned to carry the measure.

Transcript Highlights:

• Members, I'm here today with a local bill to update and streamline the Johnson County Special Utility
• As you know, members, special utility districts are created to provide utility services like water, wastewater
• HB 5671 allows the Johnson County Special Utility District to issue bonds.
• I'll just give a little bit of background on Johnson County Special Utility District.
• their water rights to the Public Utility Commission.

Bills: HB3115, HB5671, HB5693, SB790, SB1055, SB1302, SB1504, SB1625, SB1663, SB2692

Keywords: Cow Creek Groundwater Conservation District, groundwater, water wells, domestic well, livestock well, exempt well, metering device, well meter, groundwater conservation district, Special District Local Laws Code, Water Code, Section 36.117, groundwater regulation, water rights, aquifer management, municipal utility, retail public utility, groundwater export, water supply contract, election

Summary: The Committee on Natural Resources heard testimony on a series of water, utility, and groundwater-related bills. Early items included HB 5693, which would let Drainage District 7 hold board elections in November of odd-numbered years when a countywide election is occurring, and HB 5671, which would update the Johnson County Special Utility District by clarifying board eligibility, allowing bond issuance, and removing redundant TCEQ approval language to reduce costs and delays. Both bills were left pending after brief testimony from bill sponsors and local witnesses. The committee also heard SB 1504, which would update the Gulf Coast Authority to allow video-conference participation in meetings, and SB 1302, aimed at closing a TCEQ permitting loophole that allowed dischargers with prior denials or suspensions to reapply through an automated process without meaningful review. SB 2692 drew substantial discussion: it would change the signature threshold for outside-city-limits customers appealing municipal utility rates to the PUC by customer class. Valero supported the bill as a way to avoid requiring large-volume users to gather signatures from unrelated residential customers, while the City of Corpus Christi opposed it, arguing that lowering the threshold to one customer could trigger expensive appeals costing $500,000 to $1 million. A PUC witness said such cases are increasing and that the agency would need additional staff under the fiscal note. SB 790, creating a simplified PUC complaint process for small water and wastewater billing disputes, and SB 1663, expanding TCEQ notice requirements for nearby residents when groundwater contamination is discovered, were also heard and left pending. Additional bills included HB 3115, clarifying that the Cow Creek Groundwater Conservation District cannot require meters on exempt domestic or livestock wells; SB 1055, raising the Southeast Texas Groundwater Conservation District’s production fee cap from 1 cent to 7 cents per 1,000 gallons; and SB 1625, requiring private water and wastewater utilities to report cybersecurity incidents to TCEQ and DIR. The committee then took up pending business and adopted a substitute for SB 7, which made several changes to water fund use, eminent domain coordination, and EDAP-related provisions, and voted 10-0 to report it favorably. The committee also adopted a substitute for HB 2347, a county water conservation program bill, and reported it favorably 9-1. HB 5675 and SB 2476 were each reported favorably 10-0. The meeting concluded with adjournment.

Bills: HB3115, HB5671, HB5693, SB790, SB1055, SB1302, SB1504, SB1625, SB1663, SB2692

Keywords: Cow Creek Groundwater Conservation District, groundwater, water wells, domestic well, livestock well, exempt well, metering device, well meter, groundwater conservation district, Special District Local Laws Code, Water Code, Section 36.117, groundwater regulation, water rights, aquifer management, municipal utility, retail public utility, groundwater export, water supply contract, election

Transcript Highlights:

• Rate cases are a vital part of utility regulation that allow a utility to seek recovery of its reasonable
• When those utilities are acquired by larger utilities, if a cap at 20% is in place, that infrastructure
• Will be placed on the utility.
• And so You know, there is an element of consumer protectionism in the regulation through the public utility
• So if this this utility, this privately held utility is no longer capable of financially managing the

Bills: HB 29, HB 685, HB 1633, HB 1689, HB 1690, HB 1918, HB 2010, HB 2500, HB 2608, HB 2626

Keywords: water audit, water loss, water loss mitigation plan, municipally owned utility, municipal utility, water conservation, Texas Water Development Board, TCEQ, Texas Commission on Environmental Quality, water leakage, leak detection, billing data accuracy, utility validation, water audit validation, water scarcity, water management, infrastructure, public utility, conservation plan, administrative penalty

Transcript Highlights:

• , El Paso Water Utilities, and the...
• We're willing to act as a utility on this issue.
• So it's part of the utilities' water loss.
• The remaining utilities are struggling.
• These other utilities also have not announced any kind of plan.

Bills: HB29, HB685, HB1633, HB1689, HB1690, HB1918, HB2010, HB2500, HB2608, HB2626, HB29

Keywords: water audit, water loss, water loss mitigation plan, municipally owned utility, municipal utility, water conservation, Texas Water Development Board, TCEQ, Texas Commission on Environmental Quality, water leakage, leak detection, billing data accuracy, utility validation, water audit validation, water scarcity, water management, infrastructure, public utility, conservation plan, administrative penalty

Transcript Highlights:

• Rate cases are a vital part of utility regulation that allow a utility to seek.
• Rate regulation is a complex and critical aspect of ensuring reliable utility services, and any changes
• When those utilities are acquired by larger utilities, if a cap at 20% is imposed, it could hinder the
• So, there is an element of consumer protectionism in the regulation through the Public Utility Commission
• We have a division of utility outreach and a contractor that assists utilities, reaches out to them,

Bills: HB29, HB685, HB1633, HB1689, HB1690, HB1918, HB2010, HB2500, HB2608, HB2626, HB29

Keywords: water audit, water loss, water loss mitigation plan, municipally owned utility, municipal utility, water conservation, Texas Water Development Board, TCEQ, Texas Commission on Environmental Quality, water leakage, leak detection, billing data accuracy, utility validation, water audit validation, water scarcity, water management, infrastructure, public utility, conservation plan, administrative penalty

Transcript Highlights:

• In addition to the fees, the utility pays a... ...the utility pays a separate 3% gross receipt tax and

Bills: SB271, SB295, SB309

Keywords: SB271, Alabama, municipalities, city fees, town fees, franchise fees, utility franchise, natural gas, manufactured gas, gas utility, public streets, public places, right-of-way, municipal consent, gross receipts tax, license tax, privilege tax, Public Service Commission, PSC, utility regulation

Bills: HB443

Keywords: HB443, Underground Damage Prevention Program, One-Call Notification System, 811, utility locate, dig law, excavation safety, damage prevention, underground utilities, pipeline safety, public utilities, buried facilities, excavation notice, demolition notice, Alabama Public Service Commission, sunset extension, utility protection, locate request, call before you dig, gas pipeline

Transcript Highlights:

• How do they even know that the utility has...?
• The bill is considered if I have a utility taking over a defunct or inept utility, and then you get an
• It could be that getting service from a neighboring utility, retail public utility, whether it's another
• So it's not for new utilities.
• Expanded to include a larger subset of the water utilities.

Bills: SB863, SB1190, SB1261, SB1413, SB1624, SB1662, SB1663, SB1855, SB1967, SB2124, SB2204, SB1623

Keywords: Edwards Aquifer, water conservation, reclaimed water, aquifer storage, environmental protection, water loss, municipally owned utilities, Texas Water Development Board, administrative penalties, water audit, water infrastructure, water supply, state water plan, water management strategies, water financing, municipal bonds, revenue bonds, public debt, obligations, TWDB

Transcript Highlights:

• How do they even know that the utility has or doesn't have service?
• or inept utility and then you get an expedited CCN that impacts that new utility provider that just took
• Getting service from a neighboring utility, retail public utility, whether it's another CCN holder or
• Some utilities straddled the edge of the EAA.
• So it's not for new utilities.

Bills: SB863, SB1190, SB1261, SB1413, SB1624, SB1662, SB1663, SB1855, SB1967, SB2124, SB2204, SB1623

Keywords: Edwards Aquifer, water conservation, reclaimed water, aquifer storage, environmental protection, water loss, municipally owned utilities, Texas Water Development Board, administrative penalties, water audit, water infrastructure, water supply, state water plan, water management strategies, water financing, municipal bonds, revenue bonds, public debt, obligations, TWDB

Summary: The Senate Committee on Water, Agriculture, and Rural Affairs heard several water-related bills, with testimony focused on drinking water quality, groundwater contamination notice, flood infrastructure funding, water rights conservation, and utility service areas. SB 1662 would limit TCEQ’s advance notice to public water systems to no more than 24 hours before testing after a consumer complaint, to reduce the chance of temporary treatment affecting results. SB 1663 would allow TCEQ to notify private well owners, groundwater conservation districts, and nearby residents by direct means about known groundwater contamination, rather than relying mainly on first-class mail and annual reporting. SB 2124 would move the deadline for publishing the Texas Groundwater Protection Committee’s annual report from April 1 to June 1. Witnesses on the first two bills described long-running water quality problems and delayed notice in their communities and supported the measures. No opposition was recorded, and each bill was left pending for a later vote. The committee also heard SB 1967, which would expand eligibility for Flood Infrastructure Fund financing to multipurpose projects that both reduce flooding and create water supply. Senator Hinojosa and Hidalgo County representatives described the Delta Reclamation Project as a shovel-ready example that would capture flood and drainage water, treat it, and produce new potable supply while also providing detention and flood mitigation. A Sierra Club witness also supported the bill, saying such projects could help manage floodwaters and reduce polluted discharges to bays and estuaries. The bill was left pending. A lengthy and divided discussion followed on SB 1413, which would expand the streamlined expedited release process for landowners seeking removal from a water or sewer CCN in additional counties. Senator Nichols said the bill was a property-rights measure aimed at legacy monopolies and bad actors who use CCNs to hold landowners hostage, while supporters described cases where developers could not get timely service, including fire flow, or were asked to fund infrastructure without reasonable recoupment. Opponents from rural water corporations and utility associations argued the bill would undermine investment in water infrastructure, strand debt, and weaken the return on planned expansion. PUC and TCEQ resource witnesses explained that compensation is handled case by case through appraisal and can include stranded costs, planning, design, construction, and some legal fees, but members noted the statute is unclear and discussed possible committee substitute language. Public testimony was closed with the bill left pending. Later, SB 1624 would allow the Texas Water Trust within the Texas Water Bank to hold donated water rights for conservation purposes and protect them from use-it-or-lose-it cancellation, and SB 863 would address Edwards Aquifer utilities that straddle the aquifer boundary by allowing them to continue using Edwards water within their certificated areas under specified conditions. Both bills were laid out, received no public opposition in the hearing, and were left pending.

Transcript Highlights:

• I'd like to welcome everyone to our Utilities Committee meeting.
• So that's a legal term used in the utility world, basically saying that the group that's causing extra
• So the first part of this bill deals with battery storage protections and regulations.
• It's putting regulation on an industry that is largely unregulated today.
• House Bill 2989 allows electric utilities to prepare a wildfire mitigation plan.

Bills: HB2989, HB3724, HB2992, HB3464, HB4246, HB3989

Keywords: high-demand facilities, electric utilities, public infrastructure, water management, taxpayer-funded subsidies, decommissioning plans, local control, citizen initiative, referendum, HB2992, Data Center Customer Ratepayer Protection Act of 2026, Corporation Commission, Oklahoma utilities, ratepayer protection, data centers, artificial intelligence computing, AI data centers, cryptocurrency mining, large load customer, electric rates

Transcript Highlights:

• following all the ada8 uh regulations following all the ada8 uh regulations that that's after when if
• uh after a while any any regulations uh after a while any any regulations uh after a while when dods
• able to stop in there so that people be able to stop in there so that people be able to stop and utilize
• them and do whatever it is and utilize them and do whatever it is and utilize them and do whatever it
• big old they pretty good for utilities big old building like that one building like that one building

Bills: SB 26, SB 28, SJR 36, SB 616, SB 565, SB 384, SB 28, SB 28, SR 131, SR 168, SR 174, SR 175

Keywords: teacher compensation, education funding, public school educators, teacher retention, teacher designation, lottery, gambling, internet gaming, mobile application, criminal offenses, aquifer, water management, Edwards Aquifer, sustainability, regulatory framework, SB 565, Texas Water Code, TCEQ, Texas Commission on Environmental Quality, compliance agreement

Transcript Highlights:

• their perspective, Robert, on some of the... issues, how they feel about what's going on, and then utilize
• As part of what you utilize as part of your input. in decisions that you make concerning bills and votes
• If we choose to, on common sense, common sense regulation. that will keep us safer, keep our children
• the past three years. and the commission on why the agency was not exercising its authority. to regulate
• summer and fall of 24 with the Sunset Commission, where the agency denied it had the authority to regulate

Bills: SB26, SB28, SJR36, SB616, SB565, SB384, SB28, SB28, SR131, SR168, SR174, SR175

Keywords: teacher compensation, education funding, public school educators, teacher retention, teacher designation, lottery, gambling, internet gaming, mobile application, criminal offenses, aquifer, water management, Edwards Aquifer, sustainability, regulatory framework, SB 565, Texas Water Code, TCEQ, Texas Commission on Environmental Quality, compliance agreement

Transcript Highlights:

• Passing legislation to regulate something that does not yet exist puts the cart before the horse.
• In short, this legislation attempts to regulate a process that has not been called, may never occur,
• legislation to regulate Passing legislation to regulate something<00:28:43.440> that<00:28:43.840
• a process that has not been regulate a process that has not been called,<00:29:56.399> may<00
• Simply put, this bill attempts to regulate a convention that has not been called and that the states

Bills: HB433, HB443

Keywords: tax distribution, Talladega County, economic development, public safety, rural infrastructure, HB443, Underground Damage Prevention Program, One-Call Notification System, 811, utility locate, dig law, excavation safety, damage prevention, underground utilities, pipeline safety, public utilities, buried facilities, excavation notice, demolition notice, Alabama Public Service Commission

Bills: HB606, HB606

Keywords: HB606, Alabama, Department of Transportation, DOT, public highways, utility relocation, right-of-way, state right-of-way, road construction, bridge, tunnel, toll road, interstate highway, defense highway, utility facilities, broadband, telecommunications, cable, electricity, gas

Transcript Highlights:

• and electricity utilities.
• <00:10:11.000> It electricity utilities. It electricity utilities.
• utility scale projects. utility scale projects.
• largest utilities. largest utilities.
• by five dynamic energy providers spanning multiple cooperatives and regulated utilities.

Bills: HF4308, HF4153, HF4703, HF4711

Keywords: HF4308, Monticello nuclear plant, Prairie Island, renewable development account, RDA, nuclear waste, spent fuel, dry cask storage, utility tax, commercial-industrial property tax, state general levy, property tax exemption, residential heating fuels, natural gas tax exemption, electricity sales tax exemption, year-round sales tax exemption, distributed solar energy standard, solar mandate, community solar, grid modernization

Transcript Highlights:

• operator of a non-compliant or failing utility or corporation.
• and the Public Utility Commission.
• , is remember that water utilities are serving a significant purpose as regulated entities.
• We have one utility serving them.
• It's typically dealing with big utilities.

Bills: HB4530, HB4931, HB5559, HB5560

Keywords: water rights, Texas Water Trust, water bank, environmental conservation, water quality, instream flows, aquifer, water injection, Edwards Aquifer, environmental regulation, groundwater, Texas Commission on Environmental Quality, water conservation, drought, utility regulation, water use restrictions, Public Utility Commission, civil penalties, drought contingency, environmental protection

Summary: The Committee on Natural Resources met with a quorum present and first took up several pending bills for reconsideration and committee substitute adoption. House Bill 2692, relating to codification and clarification of local laws concerning the San Antonio River Authority, was reported favorably to the full House and sent to the Committee on Local and Consent Calendars by an 11-0 vote. House Bills 1407, 1520, 1535, 2970, 4153, 291, 3663, and 3915 were also reconsidered or laid out as pending business, with committee substitutes adopted where needed and each bill reported favorably, generally by unanimous vote, to the full House and then to Calendars or Calendars/Calendars-related referral as applicable. The committee then heard House Bill 4530, which would expand the Texas Water Trust framework to include groundwater rights, require Texas Water Development Board review and approval of groundwater dedications, and notify local groundwater districts when groundwater rights are placed in the trust. The bill’s author and witnesses from the Environmental Defense Fund, The Nature Conservancy, and Chispa Texas supported the measure as a conservation tool and a way to create a clear process for voluntary donations; a Texas Water Development Board witness testified neutrally. The bill was left pending. House Bill 4931, relating to an aquifer storage and recovery project in Medina County, drew support from the author, the Medina County judge, and a regional water alliance witness, who described severe stress on the Edwards Aquifer, low levels at Medina Lake, and the need for a local water-supply tool. The bill was left pending. House Bill 5559, which would clarify enforcement of drought contingency plans for investor-owned water utilities and involve the PUC in model plan development, received support from groundwater district representatives but also concerns from water company and utility witnesses about enforcement authority, approval procedures, and potential conflicts with existing obligations to provide continuous service; the committee substitute was withdrawn and the bill was left pending. House Bill 5560, which would raise the maximum civil penalty for certain groundwater conservation district enforcement actions from $10,000 to $25,000 per violation, prompted debate over whether current law is already sufficient; supporters said the higher cap would better deter overpumping, while opponents argued existing penalties are already severe. That bill was also left pending, and the committee adjourned subject to call of the chair.

Transcript Highlights:

• or operator of a noncompliant or failing utility or corporation.
• and the Public Utility Commission.
• , is remember that water utilities are serving a significant purpose as regulated entities.
• So rather than have 1800 plus wells, we have one utility serving them.
• It's typically dealing with Brian Sledge: big utilities.

Bills: HB 4530, HB 4931, HB 5559, HB 5560

Keywords: water rights, Texas Water Trust, water bank, environmental conservation, water quality, instream flows, aquifer, water injection, Edwards Aquifer, environmental regulation, groundwater, Texas Commission on Environmental Quality, water conservation, drought, utility regulation, water use restrictions, Public Utility Commission, civil penalties, drought contingency, environmental protection

Transcript Highlights:

• We represent about over 900 utilities that provide water and wastewater utility services to rural communities
• We represent about over 900 utilities that provide water and wastewater utility services to rural communities

Bills: SB480, SB767, SB790, SB971, SB1066

Keywords: water resources, interlocal contracts, local government, collaboration, planning activities, wildfire response, firefighting equipment, emergency services, state database, Texas Forest Service, customer complaints, Public Utility Commission, water service, complaint process, utility regulation, SB 971, Texas Water Assistance Program, Water Code, rural political subdivision, rural water

Summary: The Senate Committee on Water, Agriculture, and Rural Affairs met on Texas Water Day and limited public testimony to two minutes. The chair emphasized the need to move quickly because of scheduling conflicts with other committees and noted the importance of water policy and related stakeholders. The committee heard several bills focused on water administration, rural utilities, emergency response, and public works contracting. Senate Bill 790 by Senator Alvarado would let the Public Utility Commission create a simplified process for resolving tenant complaints over water or wastewater bill discrepancies; it was described as a way to avoid lengthy contested-case hearings for small disputes. Senate Bill 971 by Senator Sparks would clean up conflicting statutory definitions of “rural political subdivision” so Texas Water Development Board programs are applied consistently; Texas Rural Water Association testified in support. Senate Bill 767, also by Senator Sparks, would expand and improve a statewide database of fire-response equipment so departments, including volunteer and rural departments, can locate and share resources more effectively during emergencies; fire service witnesses supported the bill and suggested annual updates to keep the database current. Chair Perry laid out Senate Bill 480 to clarify that local governments and special districts may enter interlocal agreements for water-related planning and research, including aquifer management and flood/water planning. He also presented Senate Bill 1066, which raises payment and performance bond thresholds for Texas Parks and Wildlife Department public works contracts to $150,000, arguing the change would reflect inflation and help smaller vendors on lower-risk projects. Witnesses were heard on the bills, with no opposition recorded in the transcript. The committee voted out all five bills favorably. SB 1066, SB 480, SB 767, SB 790, and SB 971 each received unanimous committee approval and were recommended to the local and contested calendar, with SB 767 noted as amended by a suggested annual-update requirement for the equipment database.

Transcript Highlights:

• Utility customers are protected by the Public Utility Commission through original jurisdiction.
• Senate Bill 2160 places original jurisdiction over water and sewer utility rates with the Public Utility
• This includes not only costs for the utilities and ratepayers, but also costs for the public utilities
• That's our water utility CCN.
• districts, municipal utility districts, and others.

Bills: SB1169, SB1285, SB1583, SB1611, SB1898, SB1976, SB2160, SB2161, SB2658, SB2661, SB2662, SB2692, SB1055, SB1359, SB2660

Keywords: water service, sewer service, public utility, joint operation, infrastructure, municipality, compliance, SB 1285, bats, bat protection, wildlife protection, Texas Parks and Wildlife Code, Parks and Wildlife Code Section 63.101, hunting bats, bat possession, bat sales, bat trade, pest control, licensed pest control professional, animal control officer