S.B. No. 1169 amends the Local Government Code and the Water Code to enhance the authority and operational framework of public utility agencies in Texas. The bill expands the definition of "public entity" to include water supply and sewer service corporations, and it grants public utility agencies the power to issue bonds, impose assessments, and acquire public utilities. Additionally, it clarifies that these agencies can enter into contracts for the management and operation of facilities and establishes a process for public entities to join or withdraw from a public utility agency.

The legislation also specifies that public utility agencies cannot impose taxes but can exercise powers similar to municipalities regarding facilities. It introduces requirements for agencies to notify ratepayers about rate changes and outlines the Public Utility Commission of Texas's appellate jurisdiction over rates charged by these agencies. The bill aims to improve the management and financing of water infrastructure projects while ensuring accountability and transparency in rate-setting. It will take effect immediately if it receives a two-thirds vote from both houses; otherwise, it will take effect on September 1, 2025.

Statutes affected:
Introduced: Local Government Code 572.001, Local Government Code 572.012, Local Government Code 572.051, Local Government Code 572.052, Local Government Code 572.053, Local Government Code 572.058, Local Government Code 572.061, Local Government Code 572.062, Water Code 13.002, Water Code 13.043, Water Code 13.242 (Water Code 13, Local Government Code 572)