SB 1243: how to shut down a public utility agency

Caption

relating to the dissolution of a public utility agency.

Summary

Matching ordinances. The last member left can do it alone.

The bill lets the cities, counties or other public bodies that jointly run a public utility agency vote by matching ordinances to shut the agency down and hand its debts, property, permits and licenses to the remaining members. It also lets a single public body that is the last member left dissolve the agency on its own by ordinance. Local governments in a public utility agency gain a clear legal path to end it starting September 1, 2025.

Receipt

The receipt

89R-SB1243 · 2025-02-12

SOLD BY

Sen. Brian BirdwellRSenate 22

ITEM

relating to the dissolution of a public utility agency.

WHAT IT DOES

Matching ordinances. The last member left can do it alone.

The bill lets the cities, counties or other public bodies that jointly run a public utility agency vote by matching ordinances to shut the agency down and hand its debts, property, permits and licenses to the remaining members. It also lets a single public body that is the last member left dissolve the agency on its own by ordinance. Local governments in a public utility agency gain a clear legal path to end it starting September 1, 2025.

CHARGES

[ ] NONE FOUND

TOTAL

No fiscal implication to the State is anticipated.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · March 28, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

Feb 12, 2025Received by the Secretary of the Senate
Feb 12, 2025Filed
Feb 28, 2025Read first time
Feb 28, 2025Referred to Local Government
Mar 31, 2025Scheduled for public hearing on . . .
Mar 31, 2025Considered in public hearing
Mar 31, 2025Testimony taken in committee
Mar 31, 2025Left pending in committee
Apr 3, 2025Considered in public hearing
Apr 3, 2025Vote taken in committee
Apr 7, 2025Reported favorably w/o amendments
Apr 7, 2025Recommended for local & uncontested calendar
Apr 7, 2025Committee report printed and distributed
Apr 16, 2025Placed on local & uncontested calendar
Apr 16, 2025Laid before the Senate
Apr 16, 2025Read 2nd time & passed to engrossment
Apr 16, 2025Vote recorded in Journal
Apr 16, 2025Three day rule suspended
Apr 16, 2025Record vote
Apr 16, 2025Read 3rd time
Apr 16, 2025Passed
Apr 16, 2025Record vote
Apr 16, 2025Reported engrossed
Apr 17, 2025Received from the Senate
Apr 22, 2025Read first time
Apr 22, 2025Referred to Natural Resources
May 14, 2025Scheduled for public hearing on . . .
May 14, 2025Considered in public hearing
May 14, 2025Testimony taken/registration(s) recorded in committee
May 14, 2025Left pending in committee
May 21, 2025Considered in public hearing
May 21, 2025Reported favorably w/o amendment(s)
May 22, 2025Comte report filed with Committee Coordinator
May 22, 2025Committee report distributed
May 23, 2025Committee report sent to Calendars
May 23, 2025Considered in Calendars
May 25, 2025Placed on General State Calendar
May 27, 2025Read 2nd time
May 27, 2025Passed to 3rd reading
May 27, 2025Record vote RV#3813
May 27, 2025Statement(s) of vote recorded in Journal
May 28, 2025Read 3rd time
May 28, 2025Passed
May 28, 2025Record vote RV#3911
May 28, 2025House passage reported
May 28, 2025Reported enrolled
May 30, 2025Signed in the Senate
Jun 1, 2025Signed in the House
Jun 1, 2025Sent to the Governor
Jun 20, 2025Signed by the Governor
Jun 20, 2025Effective on 9/1/25

FILED UNDER

No verified beat found.

SIGNED FOR BY

House · 137 yea · 0 nay

Senate · 31 yea · 0 nay

Sources

House: Final passage · May 28, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

Senate: Final passage · Apr 16, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

No flags

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

Brian Birdwell

Donors

Texans for Lawsuit Reform PAC Austin TX$30,000

Good Government Fund Fort Worth TX$10,000

Texas Oil & Gas Assn. Good Govt. Cmte Austin TX$10,000

Derived from itemized gifts, Jul 1, 2024 to Jun 30, 2026. State data as of Nov 4, 2026.

Not tied to this bill.

Sources

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

$353,800 raised since Jul 1, 2024. Derived sum of published report totals. blank in the state's data, consistent with zero. Flow, Jul 1, 2024 through Jun 30, 2026. State filing data as of Nov 4, 2026. 4 of 4 filed reports carry a published figure.

$502,039 spent since Jul 1, 2024. Derived sum of published report totals. Flow, Jul 1, 2024 through Jun 30, 2026. State filing data as of Nov 4, 2026. 4 of 4 filed reports carry a published figure.

$731,044 cash on hand. Published report total. Stock, as of Jun 30, 2026. State filing data as of Nov 4, 2026.

$0 loans outstanding. Published report total. Stock, as of Jun 30, 2026. State filing data as of Nov 4, 2026.

Derived sum of itemized contributions in regular reports and uncovered special-session dates. Unitemized contributions are not included. Flow, Jul 1, 2024 through Jun 30, 2026. State filing data as of Nov 4, 2026.

Money

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

Votes5

House May 28, 2025

Yea: 137
Nay: 0
Present, not voting: 2
Absent: 4
Excused: 7

Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 3911

SB 1243 was passed by (Record 3911): 137 Yeas, 0 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

Yea: 137 (published)
Nay: 0 (published)
Present, not voting: 2 (published)
Absent: 4 (derived from named list)
Excused: 7 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

House May 27, 2025

Yea: 123
Nay: 14
Present, not voting: 2
Absent: 8
Excused: 3

Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 3813

SB 1243 was passed to third reading by (Record 3813): 123 Yeas, 14 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

Yea: 123 (published)
Nay: 14 (published)
Present, not voting: 2 (published)
Absent: 8 (derived from named list)
Excused: 3 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Senate Apr 16, 2025

Final passage

Yea: 31
Nay: 0
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed

Names

Senate journal

Names were not printed. No individual positions are inferred.

The journal row lists three votes in order: passage to engrossment, suspension of the three-day rule, and final passage. This entry records final passage. Repeated tallies belong to separate votes.

Sources

SB 1243 (Birdwell) Relating to the dissolution of a public utility agency. (viva voce vote) (31-0) (31-0)

Published stock of positions for this vote, except where marked derived.

Yea: 31 (published)
Nay: 0 (published)
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Senate Apr 16, 2025

Suspension of the three-day rule

Yea: 31
Nay: 0
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed

Names

Senate journal

Names were not printed. No individual positions are inferred.

The journal row lists three votes in order: passage to engrossment, suspension of the three-day rule, and final passage. This entry records suspension of the three-day rule. Repeated tallies belong to separate votes.

Sources

SB 1243 (Birdwell) Relating to the dissolution of a public utility agency. (viva voce vote) (31-0) (31-0)

Published stock of positions for this vote, except where marked derived.

Yea: 31 (published)
Nay: 0 (published)
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Senate Apr 16, 2025

Passage to engrossment

Yea: Not printed
Nay: Not printed
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed

Names

Senate journal

Names were not printed. No individual positions are inferred.

The journal row lists three votes in order: passage to engrossment, suspension of the three-day rule, and final passage. This entry records passage to engrossment. Repeated tallies belong to separate votes.

Voice vote. No numeric tally or individual yeas are inferred.

Sources

SB 1243 (Birdwell) Relating to the dissolution of a public utility agency. (viva voce vote) (31-0) (31-0)

Published stock of positions for this vote, except where marked derived.

Yea: Not printed
Nay: Not printed
Present, not voting: Not printed
Absent: Not printed
Excused: Not printed

Senate journal. Source snapshot 2026-10-19, Central time.

Witnesses6

For: 6
Against: 0
On: 0

Names

For

Acton Municipal Utility1 registration
Acton Municipal Utility District4 registrations
Self; Seeger Water1 registration

Sources

6 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

House witness list. Source snapshot 2026-10-20, Central time.

Senate witness list. Source snapshot 2026-10-20, Central time.

Fiscal

No fiscal implication to the State is anticipated.

LBB estimate · fiscal note version I · source

Sources

Fiscal note · version I · March 28, 2025

No first-year general revenue figure available here.

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 Senate · Filed Feb 12, 2025

06/20/2025 E Effective on 9/1/25

Texas Legislature Online · Introduced · Senate Committee Report · Engrossed · House Committee Report · Enrolled

Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.

Companion

HB 4583 by Slawson (identical)

Subjects

Special Districts & Authorities--Municipal Utility Districts

Utilities--General

Text

The text as introduced · 159 words

89R9468 ANG-F

By: Birdwell
S.B. No. 1243

A BILL TO BE ENTITLED

AN ACT

relating to the dissolution of a public utility agency.

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

SECTION 1. Section 572.053, Local Government Code, is

amended to read as follows:

Sec. 572.053. CHANGES IN PUBLIC ENTITIES PARTICIPATING IN

OR DISSOLUTION OF PUBLIC UTILITY AGENCY. (a) The public entities

that participate in a public utility agency may by concurrent

ordinances :

(1) add a public entity to, or delete a public entity

from, participation in the public utility agency ; or

(2) dissolve the public utility agency and transfer

all obligations, assets, permits, and licenses of the public

utility agency to the remaining public entities .

(b) A public entity that is the only remaining participant

in a public utility agency may by ordinance dissolve the public

utility agency in accordance with Subsection (a)(2).

SECTION 2. This Act takes effect September 1, 2025.

Verdict: No flags

The receipt

SOLD BY

ITEM

WHAT IT DOES

CHARGES

TOTAL

HISTORY

SIGNED FOR BY

Donors

House May 28, 2025

House May 27, 2025

Senate Apr 16, 2025

Senate Apr 16, 2025

Senate Apr 16, 2025

For

Companion