HBA-LJP, JLV H.B. 701 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 701
By: Najera
Land & Resource Management
2/15/2001
Introduced



BACKGROUND AND PURPOSE 

Under current law, certain water districts may adopt a charge or fee on
undeveloped property with approval of the Texas Natural Resource
Conservation Commission.  There are several cases in the Lower Valley Water
District (district) in which households have septic systems that were
installed before the district's wastewater system was available.  Some of
these households have opted not to connect to the district's sewer service
because they do not have the financial resources to pay for a connection to
the wastewater system.  The district is authorized to assess a necessary
fee to its service area property owners who are able to connect to the
district's sewer system but have opted not to.  House Bill 701 prohibits
the district from assessing a minimum rate fee and authorizes the district
to impose a standby fee on owners of undeveloped property. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 701 amends law to prohibit  the Lower Valley Water District
(district) from imposing a minimum rate fee on property where a service is
not provided or where service is underutilized.  The bill authorizes the
district to impose a monthly fee only for services provided by the district
and impose an annual approved standby fee on an owner of undeveloped
property. 

The bill provides that the notice of application for authority to adopt and
impose a standby fee must be in both English and Spanish and include a
clear explanation of the amount and purpose of the fee, as well as a
comparison of the costs of connecting to district services and the amount
of the fee.  The bill also provides that the district must annually, not
later than the 60th day before the date the district charges a property
owner a standby fee, give the owner of the property notice in both English
and Spanish that the fee will be imposed if the property owner does not
connect to the service for which the fee is imposed. 

EFFECTIVE DATE

On passage, or if the Act does not receive the necessary vote, the Act
takes effect September 1, 2001.