89R26204 JXC-F     By: Raymond H.B. No. 3896     Substitute the following for H.B. No. 3896:     By:  King C.S.H.B. No. 3896       A BILL TO BE ENTITLED   AN ACT   relating to the generation of electric power by a water supply or   sewer service corporation.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subchapter A, Chapter 67, Water Code, is amended   by adding Section 67.0115 to read as follows:          Sec. 67.0115.  ELECTRIC GENERATION. (a)  A corporation may   generate electric power for use in the corporation's operations,   limited to:                (1)  powering water well pumps, service pumps, and   other equipment for the production, treatment, and transportation   of raw water; and                (2)  powering infrastructure for the treatment and   delivery of potable drinking water.          (b)  For the purposes of Subsection (a), a corporation   operating solely as a wholesale water supplier or sewer service in a   county with a population of less than 350,000 may generate excess   electric power in conjunction with the uses described in Subsection   (a) for sale in the ERCOT power region to provide revenue for the   corporation only if the corporation:                (1)  primarily generates electric power solely for the   uses described in Subsection (a); and                (2)  registers as a power generation company under   Section 39.351, Utilities Code.          (c)  A corporation that generates electric power for sale   under Subsection (b) shall account for and use the revenue from   those sales in a manner that complies with Section 67.004.  The   revenue that accrues from those sales of electric power may be used   by the corporation only for:                (1)  the corporation's costs of producing and selling   electric power, including administration, employees, equipment,   fuel, and maintenance; or                (2)  a purpose described by Section 67.002.          SECTION 2.  This Act takes effect September 1, 2025.