The bill, S.B. No. 2872, amends the Utilities Code in Texas to establish regulations regarding connection reservation contracts between individuals and municipalities or special utility districts. A new definition for "Connection" is introduced, which describes it as a standardized measure of consumption, use, generation, or discharge attributable to an individual unit of development. This measure can be expressed in various terms, such as single-family equivalent connections or living unit equivalents.

Additionally, the bill mandates that any contract for reserving a connection must include an expiration date, which cannot exceed ten years from the reservation date. It also requires municipalities or special utility districts to notify individuals at least 30 days before the expiration of the connection term. This legislation aims to provide clarity and enforceability in connection reservation contracts, ensuring that individuals are adequately informed about the status of their connections. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Utilities Code 49.001 (Utilities Code 49)