HBA-NMO H.B. 2447 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2447
By: Counts
Natural Resources
4/5/1999
Introduced



BACKGROUND AND PURPOSE 

The Colorado River Municipal Water District (district) currently provides
water to over 340,000 people in West Texas.  The district has twenty-five
pump stations which require electricity in fourteen counties.  A retail
electric customer, with its services provided by four separate electric
utilities, the district spent approximately $6.2 million on electric
services in 1998.  H.B. 2447 authorizes the district to generate, purchase
at wholesale, and sell water power and electric energy and to acquire and
dispose of facilities for those purposes.    

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 340, Acts of the 51st Legislature, Regular
Session, 1949 (Article 8280-137, V.T.C.S.), by adding Subsection 7B, as
follows: 

Sec. 7B.  Authorizes the Colorado River Municipal Water District (district)
to: 

(1)  develop and generate water power and electric energy inside the
district's boundaries and sell water power and electric energy inside or
outside of its boundaries; 

(2)  purchase electric energy at wholesale for resale or for use at a
facility the district owns, operates, or maintains inside its boundaries; 

(3)  enter into an agreement to acquire, install, construct, finance,
operate, make an addition to, own, or operate an electric energy
generating, transmission, or distribution facility, jointly with another
person; or 

(4)  sell or otherwise dispose of any of the district's interest in a
jointly owned facility described by Subdivision (3) of this section.   

SECTION 2.Emergency clause.
  Effective date: upon passage.