TITLE 16. ECONOMIC REGULATION
PART 2. PUBLIC UTILITY COMMISSION OF TEXAS
CHAPTER 24. SUBSTANTIVE RULES APPLICABLE TO WATER AND SEWER SERVICE PROVIDERS
SUBCHAPTER H.
The Public Utility Commission of Texas (commission) adopts amendments to §24.245 (relating to Revocation of a Certificate of Convenience and Necessity or Amendment of a Certificate of Convenience and Necessity by Decertification, Expedited Release, or Streamlined Expedited Release) and §24.257 (relating to Mapping Requirements for Certificate of Convenience and Necessity Applications) with no changes to the proposed text as published in the April 18, 2025 issue of the Texas Register (50 TexReg 2467). The amended rules will require an applicant to attest that it has reviewed the commission's online mapping resources--including all video files--as a necessary component of an application submission. The rules will not be republished.
Public Comments
In addition to comments on the proposed rule, the commission invited interested parties to comment on the following questions.
Should the commission adopt remedial requirements for an applicant that fails to present adequate mapping information despite the submission of an attestation? If so, what measures are appropriate? For example, should the rule require an applicant to attest to re-review of PUC mapping resources upon the commission' s determination that mapping information in a previous application was deficient?
TAWC requested the commission reject the proposed rule's remedial attestation requirements and, instead, approve alternative rule language requiring that all mapping requirements be in writing and subject to prior commission review and approval.
TAWC further recommended that any mapping deficiency recommendation or corrective guidance be based on specific commission-approved rules and articulated in writing on the record so that a complete record is available to all parties and the presiding officer for evaluation of the alleged deficiency's substance.
Commission Response
The commission agrees with an underlying sentiment expressed by TAWC, which is that the commission's online mapping resources provide guidance on a range of topics that is not identical to those that are relevant for sufficiency determinations. Accordingly, the commission does not modify the rule to include a remedial attestation requirement for an applicant that fails to present adequate mapping information.
The commission declines to withdraw this rulemaking in favor of a requirement that all mapping requirements be in writing and subject to prior commission review and approval, because these two concepts are unrelated. The intent behind this amendment is to improve the quality of mapping information submitted by applicants. In many cases these improvements will lead to improved sufficiency outcomes, but the commission expects it will produce additional benefits beyond what is strictly required by other portions of the rules.
General Comments
TAWC expressed concern with the attestation requirement because the commission's mapping resources "are not comprehensive" and do not address most of the mapping requirements that are applied by the commission to recommend deficiencies.
Commission Response
The mapping attestation and mapping resources webpage addresses frequently asked questions from first time applicants on preliminary issues identified by commission staff. The intent behind this amendment is to improve the quality of mapping information submitted by applicants. In many cases these improvements will lead to improved sufficiency outcomes, but the commission expects it will produce additional benefits beyond what is strictly required by other portions of the rule.
TAWC made a number of recommendations proposing rule modifications related to commission staff's recommendations of application sufficiency and commission sufficiency determinations in related contested case proceedings. These modifications included defining "deficiency" under the rule to include a materiality threshold for recommended non-substantive edits to maps, a requirement commission staff to articulate the specific nature of deficiencies in writing, and the commission sufficiency determinations be based on written standards previously approved by the commission. TAWC's comments acknowledge that its proposed changes may require "adopting different rules in a different project" and that TAWC would support "initiating a separate rulemaking project" to allow for a more comprehensive review of the rules necessary to effect its recommended changes.
Commission Response
The recommendations made by TAWC related to sufficiency recommendations and determinations in related contested cases are beyond the noticed scope of the proposed rule amendments in this rulemaking project. The commission appreciates TAWC's explicit acknowledgment that its recommendations may require action in a separate project. The commission and commission staff will continue to work with stakeholders to achieve better and more efficient outcomes in mapping-related contested cases.
Statutory Authority
The amendments are adopted under Texas Water Code §13.041(a), which provides the commission the general power to regulate and supervise the business of each public utility within its jurisdiction and to do anything specifically designated or implied by the Texas Water Code that is necessary and convenient to the exercise of that power and jurisdiction; Texas Water Code §13.041(b), which provides the commission with the authority to adopt and enforce rules reasonably required in the exercise of its powers and jurisdiction §13.242(c) which governs applications for exempt utility registration; § 13.244 which governs the procedure for a utility to obtain and amend CCN applications; §13.245, which governs procedures for service extensions within the boundaries or extraterritorial jurisdiction of certain municipalities by a retail public utility; §13.250 which governs a utility's application to discontinue service & cancel CCN; §13.255 which governs single certification for incorporated or annexed areas; §13.301 which governs sale, transfer, merger (STM) application; §13.2451 which governs procedures for extension of a municipalities extraterritorial jurisdiction into the service area of a retail public utility; §13.254 which authorizes the commission, after notice and hearing, to revoke or amend a CCN upon written consent of the certificate holder and governs procedures for the expedited release of an area from a CCN's service territory; §13.2541 which governs procedures for the streamlined expedited release of an area from a CCN's service territory as an alternative to decertification or expedited release under §13.254.
Cross Reference to Statute: Texas Water Code §§13.041(a) and (b); 13.242(c); 13.244; 13.250; 13.255;13.301; 13.245; 13.2451, 13.254, 13.2541.
The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.
Filed with the Office of the Secretary of State on July 10, 2025.
TRD-202502320
Adriana Gonzales
Rules Coordinator
Public Utility Commission of Texas
Effective date: July 30, 2025
Proposal publication date: April 18, 2025
For further information, please call: (512) 936-7322