Bill Text: TX HB2091 | 2025-2026 | 89th Legislature | Engrossed

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Bill Title: Relating to the provision of financial assistance by the Texas Water Development Board for certain projects.

Sponsorship: Partisan Bill (Democrat 5)

Status: (Engrossed - Dead) 2025-05-20 - Referred to Water, Agriculture, & Rural Affairs [HB2091 Detail]

Download: Texas-2025-HB2091-Engrossed.html

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By: Martinez, Canales, Longoria, Guerra H.B. No. 2091

A BILL TO BE ENTITLED
AN ACT
relating to the provision of financial assistance by the Texas
Water Development Board for certain projects.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 15.102, Water Code, is amended by
amending Subsection (b) and adding Subsection (e) to read as
follows:
(b) The loan fund may also be used by the board to provide:
(1) grants or loans for projects that include
supplying water and wastewater services in economically distressed
areas or nonborder colonias as provided by legislative
appropriations, this chapter, and board rules, including projects
involving retail distribution of those services; [and]
(2) grants for:
(A) projects for which federal grant funds are
placed in the loan fund;
(B) projects, on specific legislative
appropriation for those projects; or
(C) water conservation, desalination, brush
control, weather modification, regionalization, and projects
providing regional water quality enhancement services as defined by
board rule, including regional conveyance systems; and
(3) grants to drainage districts established under
Section 52, Article III, or Section 59, Article XVI, Texas
Constitution, for water supply projects, including projects that
contain a flood control component.
(e) The board may not disqualify a drainage district from
receiving a grant under Subsection (b)(3) because the district does
not:
(1) notwithstanding Section 16.012(m), have
historical data about water use;
(2) provide retail water service to consumers; or
(3) have a certificate of convenience and necessity
under which it provides retail water or wastewater service.
SECTION 2. Section 15.437(d), Water Code, is amended to
read as follows:
(d) In addition to the criteria provided by Subsection (c),
the board must also consider at least the following criteria in
prioritizing projects:
(1) the local contribution to be made to finance the
project, including the up-front capital to be provided by the
applicant;
(2) the financial capacity of the applicant to repay
the financial assistance provided;
(3) the ability of the board and the applicant to
timely leverage state financing with local and federal funding;
(4) whether there is an emergency need for the
project, taking into consideration whether:
(A) the applicant is included at the time of the
application on the list maintained by the commission of local
public water systems that have a water supply that will last less
than 180 days without additional rainfall; and
(B) federal funding for which the project is
eligible has been used or sought;
(5) if the applicant is applying for financial
assistance for the project under Subchapter Q, whether the
applicant is ready to proceed with the project at the time of the
application, including whether:
(A) all preliminary planning and design work
associated with the project has been completed;
(B) the applicant has acquired the water rights
associated with the project;
(C) the applicant has secured funding for the
project from other sources; and
(D) the applicant is able to begin implementing
or constructing the project; [and]
(6) whether the project is a water supply project that
contains a flood control component, regardless of whether the
applicant holds a certificate of convenience and necessity under
which it provides retail water or wastewater service; and
(7) [(6)] the demonstrated or projected effect of the
project on water conservation, including preventing the loss of
water, taking into consideration, if applicable, whether the
applicant has filed a water audit with the board under Section
16.0121 that demonstrates that the applicant is accountable with
regard to reducing water loss and increasing efficiency in the
distribution of water.
SECTION 3. This Act takes effect September 1, 2025.