Bill Text: TX HB2787 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to late payment fees charged by a municipally owned water utility.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2023-04-18 - Left pending in committee [HB2787 Detail]
Download: Texas-2023-HB2787-Introduced.html
| 88R12152 KBB-D | ||
| By: Gates | H.B. No. 2787 | |
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| relating to late payment fees charged by a municipally owned water | ||
| utility. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subchapter C, Chapter 13, Water Code, is amended | ||
| by adding Section 13.0442 to read as follows: | ||
| Sec. 13.0442. LATE PAYMENT FEES CHARGED BY MUNICIPALITY. | ||
| (a) Notwithstanding the provisions of a resolution or ordinance, a | ||
| customer charged a fee that violates Section 13.089 may appeal the | ||
| charge by filing a petition with the utility commission. | ||
| (b) The utility commission shall hear the appeal de novo, | ||
| and the municipality charging the fee has the burden of proof to | ||
| establish that the fee complies with Section 13.089. The utility | ||
| commission shall set the fees to be charged by the municipality in | ||
| accordance with Section 13.089. | ||
| SECTION 2. Subchapter D, Chapter 13, Water Code, is amended | ||
| by adding Section 13.089 to read as follows: | ||
| Sec. 13.089. LATE PAYMENT FEES CHARGED BY MUNICIPALITY. | ||
| (a) A municipality may not charge a late payment fee that is more | ||
| than the greater of: | ||
| (1) $5; or | ||
| (2) two percent of the amount past due, not to exceed | ||
| $500. | ||
| (b) A late payment penalty period may not begin before the | ||
| 30th day after the date the municipality mails or transmits | ||
| electronically the customer's bill. | ||
| (c) A late payment penalty period must end on the date the | ||
| customer pays all past due amounts to the municipality. | ||
| SECTION 3. The changes in law made by this Act apply only to | ||
| a fee charged on or after the effective date of this Act. A fee | ||
| charged before the effective date of this Act is governed by the law | ||
| in effect on the date the fee was charged, and the former law is | ||
| continued in effect for that purpose. | ||
| SECTION 4. 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, 2023. | ||
