House Bill No. 3701 amends Section 85.24 of the Education Code to enhance the authority of the board of regents of The Texas A&M University System regarding utility systems on university property. The bill allows the board to construct, acquire, improve, extend, and equip steam plants, power plants, and related utility systems, specifically in Brazos County. It clarifies that the board can acquire property for these purposes and outlines the approval process for construction costs, types, capacities, and specifications. Additionally, the bill specifies that the board may provide various utility services to all buildings and facilities at the institutions and determine the associated costs.

The bill also introduces new provisions that allow the board to allocate costs for utility services to revenue-producing buildings and facilities, as well as to other buildings. It permits the board to pledge net revenues from these services to support the repayment of revenue bonds issued for utility construction and improvements. The new language emphasizes the board's expanded authority in managing utility systems and financing related projects, while removing outdated references to "central power plants" and other specific terms. The act will take effect immediately upon receiving a two-thirds vote from both houses or on September 1, 2025, if that threshold is not met.

Statutes affected:
Introduced: Education Code 85.24 (Education Code 85)
House Committee Report: Education Code 85.24 (Education Code 85)