S.B. No. 1413 amends the Water Code to modify the procedures for amending or revoking certificates of public convenience and necessity for certain water utilities. The bill introduces new provisions that allow landowners of tracts of at least 25 acres, who are not receiving water or sewer service, to petition for expedited release from such certificates. Specifically, it adds criteria for eligibility based on the population of the county where the land is located, including counties with populations of at least 1.2 million and adjacent counties, as well as certain other specified counties. The bill also establishes requirements for notifying certificate holders about the petition and outlines the process for compensation owed to certificate holders if the utility commission determines it is necessary.

Additionally, the bill stipulates that a landowner may agree to pay the certificate holder an amount necessary to pay off a federal loan associated with the certificate. It clarifies that the utility commission must require the certificate holder to provide the petitioner with the amount needed to pay or defease the loan. The changes made by this Act will only apply to proceedings that commence after its effective date of September 1, 2025, ensuring that any ongoing proceedings will continue under the existing law.

Statutes affected:
Introduced: Water Code 13.2541 (Water Code 13)
Senate Committee Report: Water Code 13.2541 (Water Code 13)
Engrossed: Water Code 13.2541 (Water Code 13)
House Committee Report: Water Code 13.2541 (Water Code 13)