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  H.B. No. 147
 
 
 
 
AN ACT
  relating to the deferral of an administrative penalty imposed by
  the Texas Commission on Environmental Quality against certain
  utilities and districts.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter B, Chapter 7, Water Code, is amended
  by adding Section 7.034 to read as follows:
         Sec. 7.034.  DEFERRAL OF PENALTY FOR CERTAIN UTILITY
  FACILITIES.  (a)  In this section:
               (1)  "District" means any district or authority created
  under either Article III, Section 52, or Article XVI, Section 59, of
  the Texas Constitution, regardless of how created.  The term
  "district" shall not include any navigation district or port
  authority created under general or special law or any conservation
  and reclamation district governed by Chapter 36 unless a special
  law creating the district or amending the law creating the district
  states that Chapter 49 applies to the district.
               (2)  "Municipally owned utility" and "water supply or
  sewer service corporation" have the meanings assigned by Section
  13.002.
         (b)  The commission may allow a municipally owned utility, a
  water supply or sewer service corporation, or a district to defer
  the payment of all or part of an administrative penalty imposed
  under Subchapter C for a violation on the condition that the entity
  complies with all provisions for corrective action in a commission
  order to address the violation.
         (c)  In determining whether deferral of a penalty under this
  section is appropriate, the commission shall consider the factors
  to be considered under Section 7.053 and the following factors:
               (1)  the financial position of the entity and its
  ability to reasonably pay the costs of corrective action under the
  terms of a commission order;
               (2)  risks to public health and the environment of any
  delay in addressing the corrective actions as a result of limited
  financial resources;
               (3)  alternatives reasonably available to the entity
  for paying both the costs of corrective action and the penalty; and
               (4)  potential effects of the payment of the penalty on
  other essential public health and safety services for which the
  entity is responsible.
         (d)  At the discretion of the commission, any penalty
  deferred under this section becomes due and payable on a commission
  determination that the entity is not in compliance with a provision
  for corrective action in a commission order to address the
  violation.
         SECTION 2.  Section 7.034, Water Code, as added by this Act,
  applies only to a violation that occurs on or after the effective
  date of this Act. A violation that occurs before the effective date
  of this Act is covered by the law in effect on the date the violation
  occurred, and the former law is continued in effect for that
  purpose.
         SECTION 3.  This Act takes effect September 1, 2007.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 147 was passed by the House on May 8,
  2007, by the following vote:  Yeas 146, Nays 0, 2 present, not
  voting; and that the House concurred in Senate amendments to H.B.
  No. 147 on May 25, 2007, by the following vote:  Yeas 139, Nays 0, 1
  present, not voting.
 
  ______________________________
  Chief Clerk of the House   
 
         I certify that H.B. No. 147 was passed by the Senate, with
  amendments, on May 23, 2007, by the following vote:  Yeas 31, Nays
  0.
 
  ______________________________
  Secretary of the Senate   
  APPROVED: __________________
                  Date       
   
           __________________
                Governor