By: Ashby, et al. (Senate Sponsor - Estes) H.B. No. 2647
         (In the Senate - Received from the House May 5, 2015;
  May 12, 2015, read first time and referred to Committee on Natural
  Resources and Economic Development; May 20, 2015, reported
  favorably by the following vote:  Yeas 8, Nays 2; May 20, 2015, sent
  to printer.)
 
 
 
  COMMITTEE VOTE
 
 
         YeaNayAbsentPNV
         FraserX
         EstesX
         BirdwellX
         HallX
         HancockX
         HinojosaX
         LucioX
         NicholsX
         SeligerX
         UrestiX
         ZaffiriniX
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to a limitation on the authority to curtail groundwater
  production from wells used for power generation or mining.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter D, Chapter 36, Water Code, is amended
  by adding Section 36.1175 to read as follows:
         Sec. 36.1175.  POWER GENERATION EXEMPTION.  (a)  This
  section applies to a well that produces groundwater used to support
  the operation of a power generation facility or a mine that provides
  fuel to a power generation facility, including production for
  boiler makeup water, fire suppression, dewatering, potable water,
  and depressurization.
         (b)  An owner or operator of a well to which this section
  applies is entitled to petition the district for a delay in the
  effective date of any district action that would reduce or curtail
  production from a well or limit the groundwater production rate of a
  well to an amount that is less than:
               (1)  the maximum annual amount of withdrawal as of
  September 1, 2014, authorized by the permit, regardless of whether
  the permit was issued by the district or the Railroad Commission of
  Texas; or
               (2)  the maximum annual historical amount of withdrawal
  recorded before September 1, 2014, if the well was in operation on
  that date and no permit from any entity was required for the
  operation of the well.
         (c)  The owner or operator of a well subject to this section
  may petition for a delay described by Subsection (b).  The petition
  must include evidence that the owner or operator is engaging in good
  faith efforts to identify practicable, readily available
  alternative sources of water with comparable quality.  After
  receipt of the petition, the district shall hold a public hearing
  and after the hearing shall make a final determination as to whether
  the proposed reduction or curtailment in groundwater production
  would threaten public health or safety or the reliability of the
  electric grid. The proposed reduction or curtailment for which the
  owner or operator is seeking a delay may not take effect until the
  district has made a final determination under this subsection.
         (d)  If the district determines under Subsection (c) that a
  proposed reduction or curtailment in groundwater production would
  threaten public health or safety or the reliability of the electric
  grid, the district shall delay the effective date of the reduction
  or curtailment to a date not earlier than seven years after the date
  that the final determination is made.
         (e)  If an owner or operator receives a delay under
  Subsection (d), the owner or operator may petition the district at
  any time before the delayed effective date of the proposed
  reduction or curtailment to delay the effective date a second time
  for an additional three years as provided by this subsection. After
  receiving the petition, the district shall hold a public hearing
  and after the hearing shall make a final determination to approve
  the additional three-year delay if the district determines that:
               (1)  the owner or operator has engaged in good faith
  efforts to identify and begin implementing strategies to comply
  with the proposed reduction or curtailment; and
               (2)  implementation of the proposed reduction or
  curtailment in groundwater production on the date set under
  Subsection (d) would threaten public health or safety or the
  reliability of the electric grid.
         (f)  In making a final determination described by Subsection
  (c), (d), or (e), the district shall request, obtain, and give great
  weight to an opinion issued by the Public Utility Commission of
  Texas.
         SECTION 2.  The changes in law made by this Act apply only to
  a reduction or curtailment in groundwater production ordered by a
  groundwater conservation district on or after the effective date of
  this Act. A reduction or curtailment in groundwater production
  ordered by a groundwater conservation district before the effective
  date of this Act is governed by the law in effect at the time the
  reduction or curtailment in groundwater production was ordered, and
  the former law is continued in effect for that purpose.
         SECTION 3.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2015.
 
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