Monitoring the Session

HB 3322

Harris Bill Lets More 25-Acre Owners Exit Water Utility Areas

Died in committee

Verdict: No flags

No flagsInitial review
Rep. Cody HarrisRHouse 8

Initial review · graded Oct 20, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to the procedure for amending or revoking certificates of public convenience and necessity issued to certain water utilities.

Caption from analyzed text · version I.

Summary

Counties two steps from a 1.2M county qualify. Owners can offer to pay off the federal loan.

The bill widens the list of counties where an owner of 25 or more acres without water or sewer service can demand fast release of the land from a water utility's exclusive service area, adding counties two steps out from a county of at least 1.2 million people and dropping an old exclusion for one small population range. It touches rural and suburban landowners and developers, the water and sewer utilities holding those service areas, and the Public Utility Commission. It also lets a landowner offer to pay off a utility's federal loan as part of the release, makes the utility disclose the payoff amount on request, and lets the commission order the utility to accept the payment.

Labels

Labels: PENDING FOREVER. Heard by the House Natural Resources committee on Apr 30, 2025 and left pending. Never voted out. The bill died.

Receipt

The receipt

89R-HB3322 · 2025-02-25

SOLD BY

ITEM

relating to the procedure for amending or revoking certificates of public convenience and necessity issued to certain water utilities.

WHAT IT DOES

Counties two steps from a 1.2M county qualify. Owners can offer to pay off the federal loan.

The bill widens the list of counties where an owner of 25 or more acres without water or sewer service can demand fast release of the land from a water utility's exclusive service area, adding counties two steps out from a county of at least 1.2 million people and dropping an old exclusion for one small population range. It touches rural and suburban landowners and developers, the water and sewer utilities holding those service areas, and the Public Utility Commission. It also lets a landowner offer to pay off a utility's federal loan as part of the release, makes the utility disclose the payoff amount on request, and lets the commission order the utility to accept the payment.

CHARGES

[ ] NONE FOUND

TOTAL

Net to General Revenue · FY 2026($878,172)

LBB estimate, flow · fiscal note version I · ( ) = negative · source

Sources

Fiscal note · version I · April 29, 2025

Estimated Two-year Net Impact to General Revenue Related Funds for HB3322, As Introduced: a negative impact of ($1,756,344) through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

First year · FY 2026 · ($878,172)

Probable Net Positive/(Negative) Impact to General Revenue Related Funds

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

  1. Filed
  2. Read first time
  3. Referred to Natural Resources
  4. Scheduled for public hearing on . . .
  5. Considered in public hearing
  6. Committee substitute considered in committee
  7. Testimony taken/registration(s) recorded in committee
  8. Left pending in committee
FILED UNDER

DATA CENTERS, WATER AND THE GRID

THE TEXT

…“or a county adjacent to a county adjacent to a county with a population of at least 1.2 million”…

Bill text, introduced version (I)

The bill lets more large landowners pull their land out of a water utility's service territory, which shifts who serves the water and who carries the utility's federal loan debt.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Donors

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Oct 31, 2024 to Oct 22, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Texans for Lawsuit Reform PAC$131,199.90

Texans for Lawsuit Reform PAC

$131,199.90

Cash
$65,000.00
Paid by others
$66,199.90
Total
$131,199.90
grassroots $56,899.90polling $9,300.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 27, 2025 to Sep 21, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101008254, 101028696, 101039343, 101067574.

Texas Sands PAC$58,800.00

Texas Sands PAC

$58,800.00

Cash
$42,500.00
Paid by others
$16,300.00
Total
$58,800.00
polling $16,300.00

Also funds 121 other sitting lawmakers.

Derived recipient stock · Jul 3, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Nov 22, 2024 to Oct 22, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100985564, 101028696, 101039343, 101071425.

Texas REALTORS Political Action Committee$52,590.39

Texas REALTORS Political Action Committee

$52,590.39

Cash
$45,000.00
Paid by others
$7,590.39
Total
$52,590.39
digital $5,420.63text $1,960.28Other filed descriptions $209.48

Also funds 140 other sitting lawmakers.

Derived recipient stock · Jul 2, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Dec 11, 2024 to Sep 21, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100985564, 101008254, 101028696, 101035469, 101039343, 101057705, 101067574.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

Texans for Lawsuit Reform PAC

$131,199.90

Cash
$65,000.00
Paid by others
$66,199.90
Total
$131,199.90
grassroots $56,899.90polling $9,300.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 27, 2025 to Sep 21, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101008254, 101028696, 101039343, 101067574.

×

Texas Sands PAC

$58,800.00

Cash
$42,500.00
Paid by others
$16,300.00
Total
$58,800.00
polling $16,300.00

Also funds 121 other sitting lawmakers.

Derived recipient stock · Jul 3, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Nov 22, 2024 to Oct 22, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100985564, 101028696, 101039343, 101071425.

×

Texas REALTORS Political Action Committee

$52,590.39

Cash
$45,000.00
Paid by others
$7,590.39
Total
$52,590.39
digital $5,420.63text $1,960.28Other filed descriptions $209.48

Also funds 140 other sitting lawmakers.

Derived recipient stock · Jul 2, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Dec 11, 2024 to Sep 21, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 100985564, 101008254, 101028696, 101035469, 101039343, 101057705, 101067574.

Votes

No floor vote loaded for this bill.

Fiscal
Net to General Revenue · FY 2026($878,172)

LBB estimate, flow · fiscal note version I · ( ) = negative · source

Sources

Fiscal note · version I · April 29, 2025

Estimated Two-year Net Impact to General Revenue Related Funds for HB3322, As Introduced: a negative impact of ($1,756,344) through the biennium ending August 31, 2027. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

First year · FY 2026 · ($878,172)

Probable Net Positive/(Negative) Impact to General Revenue Related Funds

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version I by claude-opus-5-5, Oct 20, 2026, against the published rubric.

Sources

Texas House · Filed Feb 25, 2025

04/30/2025 H Left pending in committee

Texas Legislature Online · Introduced

Data snapshot Oct 26, 2026 at 4:19 AM CDT. Grades, charges, quotes and corrections follow the published record.

House committee · Natural Resources · Final status: Died in committee

Companion

SB 1413 by Nichols (identical)

Subjects

Utilities--Water & Sewer

FEDERAL RELATIONS

LOANS

PUBLIC UTILITY COMMISSION

Text

The text as introduced · 422 words

89R10822 ANG-D

By: Harris
H.B. No. 3322

A BILL TO BE ENTITLED

AN ACT

relating to the procedure for amending or revoking certificates of

public convenience and necessity issued to certain water utilities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 13.2541, Water Code, is amended by

amending Subsection (b) and adding Subsection (e-1) to read as

follows:

(b) As an alternative to decertification or expedited

release under Section 13.254, the owner of a tract of land that is

at least 25 acres and that is not receiving water or sewer service

may petition for expedited release of the area from a certificate of

public convenience and necessity in the manner provided by this

section and is entitled to that release if the landowner's property

is located in a county with a population of at least 1.2 million, a

county adjacent to a county with a population of at least 1.2

million, [ or ] a county with a population of more than 200,000 and

less than 233,500 that does not contain a public or private

university that had a total enrollment in the most recent fall

semester of 40,000 or more, or a county adjacent to a county

adjacent to a county with a population of at least 1.2 million [ and

not in a county that has a population of more than 50,500 and less

than 52,000 ].

(e-1) A landowner that submits a petition under this section

may agree to pay to the certificate holder that is the subject of

the petition under this section an amount equal to the amount

necessary to pay or defease a federal loan for a certificate holder

that is a borrower under a federal loan program. On request from

the petitioner, the certificate holder must provide the petitioner

with the amount necessary to pay or defease the federal loan. The

utility commission may issue an order to require the certificate

holder to accept a loan payment or defeasance under this section.

SECTION 2. The changes in law made by this Act apply only to

a proceeding affecting a certificate of public convenience and

necessity that commences on or after the effective date of this Act.

A proceeding affecting a certificate of public convenience and

necessity that commenced before the effective date of this Act is

governed by the law in effect on the date the proceeding is

commenced, and that law is continued in effect for that purpose.

SECTION 3. This Act takes effect September 1, 2025.