Bill > SB1243

This bill modifies the Texas Local Government Code to provide new procedures for changes in public utility agencies, specifically expanding the options for adding or removing participating public entities and introducing a mechanism for dissolving such agencies. The bill allows participating public entities to add or remove members through concurrent ordinances, and now explicitly permits the complete dissolution of a public utility agency, with all obligations, assets, permits, and licenses being transferred to the remaining public entities. Additionally, the bill clarifies that if a public utility agency is left with only one participating entity, that entity can independently choose to dissolve the agency through an ordinance. This legislative change provides more flexibility for local governments in managing and restructuring public utility agencies, potentially streamlining administrative processes and allowing for more efficient governance of utility services. The bill is set to take effect on September 1, 2025, and was passed unanimously in both the Senate (31-0) and the House (137-0).

Agriculture and Natural Resources, Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB1243