HB 2091

relating to the provision of financial assistance by the Texas
Water Development Board for certain projects.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subchapter D, Chapter 17, Water Code, is amended
by amending Section 17.121 and adding Section 17.1215 to read as
Sec. 17.121.  FINANCIAL ASSISTANCE.  The water supply
account may be used by the board to provide financial assistance,
including grants, to political subdivisions for the construction,
acquisition, or improvement of water supply projects, including
those projects initiated for the sole purpose of conservation as
defined in Section 17.001(23)(B) of this code.
Sec. 17.1215.  GRANT PROGRAM.  (a) The board may provide
grants under this subchapter to a political subdivision, including
a drainage district established under Section 59, Article XVI,
Texas Constitution, for the construction, acquisition, or
improvement of water supply projects, including projects that
contain a flood control component.
(b)  The board shall adopt rules necessary to implement this
section, including rules establishing eligibility requirements for
the use of grants provided under this section.  Eligibility
requirements established under this section may not disqualify a
drainage district from receiving a grant because the district does
(1)  have historical data about water use;
(2)  provide retail water service to consumers; or
(3)  have a certificate of convenience and necessity
under which it provides retail water or wastewater service.
SECTION 2.  This Act takes effect September 1, 2025.