S.B. No. 2662 aims to enhance the enforcement of drought contingency plans by water and sewer utilities in Texas, as well as by the Public Utility Commission of Texas. The bill amends several sections of the Water Code to clarify the regulatory authority of the utility commission over tariffs and operations of water and sewer utilities. It specifies that utilities must file tariffs that include their drought contingency plans, and it establishes that noncompliance with these plans can be grounds for discontinuing service. Additionally, the bill mandates that drought contingency plans must include specific targets for water use reductions and reasonable enforcement procedures for mandatory restrictions.

The legislation also emphasizes the collaborative role of the commission, the utility commission, and the board in identifying target goals for drought contingency plans and developing model programs for water suppliers. These model programs are intended to suggest best management practices for achieving significant water use reductions during drought conditions. The bill is set to 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: Water Code 13.041, Water Code 13.042, Water Code 13.136, Water Code 13.250, Water Code 11.1272 (Water Code 13, Water Code 11)
Senate Committee Report: Water Code 13.041, Water Code 13.042, Water Code 13.136, Water Code 13.250, Water Code 11.1272 (Water Code 13, Water Code 11)
Engrossed: Water Code 13.041, Water Code 13.042, Water Code 13.136, Water Code 13.250, Water Code 11.1272 (Water Code 13, Water Code 11)
House Committee Report: Water Code 13.041, Water Code 13.042, Water Code 13.136, Water Code 13.250, Water Code 11.1272 (Water Code 13, Water Code 11)
Enrolled: Water Code 13.041, Water Code 13.042, Water Code 13.136, Water Code 13.250, Water Code 11.1272 (Water Code 13, Water Code 11)