H.B. No. 1083         AN ACT   relating to authorizing a regulatory authority to establish reduced   water utility rates funded by donations for the benefit of certain   elderly customers.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 13.182, Water Code, is amended by   amending Subsection (b) and adding Subsection (b-1) to read as   follows:          (b)  Except as provided by Subsection (b-1), rates may [Rates   shall] not be unreasonably preferential, prejudicial, or   discriminatory but shall be sufficient, equitable, and consistent   in application to each class of consumers.          (b-1)  In establishing a utility's rates, the regulatory   authority may authorize the utility to establish reduced rates for   a minimal level of service to be provided solely to a class of   elderly customers 65 years of age or older to ensure that those   customers receive that level of service at more affordable rates.   The regulatory authority shall allow a utility to establish a fund   to receive donations to recover the costs of providing the reduced   rates.  A utility may not recover those costs through charges to the   utility's other customer classes.          SECTION 2.  Section 13.189, Water Code, is amended by adding   Subsection (c) to read as follows:          (c)  For purposes of this section, a reduced rate authorized   under Section 13.182(b-1) does not:                (1)  make or grant an unreasonable preference or   advantage to any corporation or person;                (2)  subject a corporation or person to an unreasonable   prejudice or disadvantage; or                (3)  constitute an unreasonable difference as to rates   of service between classes of service.          SECTION 3.  (a) The changes in law made by this Act apply   only to proceedings before a regulatory authority regarding water   utility rates concerning an application filed on or after January   1, 2018. Proceedings before a regulatory authority regarding water   utility rates concerning an application filed before January 1,   2018, are governed by the law in effect when the application was   filed, and the former law is continued in effect for that purpose.          (b)  The Public Utility Commission of Texas and other   regulatory authorities shall adopt rules as necessary to implement   the changes in law made by this Act not later than December 31,   2017.          SECTION 4.  This Act takes effect September 1, 2017.       ______________________________ ______________________________      President of the Senate Speaker of the House                   I certify that H.B. No. 1083 was passed by the House on April   20, 2017, by the following vote:  Yeas 130, Nays 12, 3 present, not   voting.     ______________________________   Chief Clerk of the House                 I certify that H.B. No. 1083 was passed by the Senate on May   19, 2017, by the following vote:  Yeas 29, Nays 2.     ______________________________   Secretary of the Senate       APPROVED:  _____________________                      Date                           _____________________                    Governor