SB 2327
bill letting water and sewer corporations sell power in ERCOT
Died in committee
Verdict: No flags
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 generation of electric power for sale by a water supply or sewer service corporation.
Caption from analyzed text · version I.
Summary
Power money only pays power costs or water and sewer purposes.
The bill lets a water supply or sewer service corporation operating in the ERCOT grid register as a power generation company and sell electricity in the ERCOT region. Money from those power sales can be spent only on the costs of making and selling the power or on the corporation's existing water and sewer purposes, and it must be accounted for under the corporation's existing revenue rules. Nonprofit water and sewer corporations in ERCOT gain a new revenue line as power sellers starting September 1, 2025.
Labels
Labels: PENDING FOREVER. Heard by the Senate Business & Commerce committee on May 1, 2025 and left pending. Never voted out. The bill died.
Receipt
The receipt
89R-SB2327 · 2025-03-12
SOLD BY
ITEM
relating to the generation of electric power for sale by a water supply or sewer service corporation.
WHAT IT DOES
Power money only pays power costs or water and sewer purposes.
The bill lets a water supply or sewer service corporation operating in the ERCOT grid register as a power generation company and sell electricity in the ERCOT region. Money from those power sales can be spent only on the costs of making and selling the power or on the corporation's existing water and sewer purposes, and it must be accounted for under the corporation's existing revenue rules. Nonprofit water and sewer corporations in ERCOT gain a new revenue line as power sellers starting September 1, 2025.
CHARGES
[ ] NONE FOUND
TOTAL
No significant fiscal implication to the State is anticipated.
LBB estimate · fiscal note version I · source
Sources
Fiscal note · version I · April 29, 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
- Received by the Secretary of the Senate
- Filed
- Read first time
- Referred to Business & Commerce
- Posting rule suspended
- Scheduled for public hearing on . . .
- Considered in public hearing
- Testimony taken in committee
- Left pending in committee
FILED UNDER
DATA CENTERS, WATER AND THE GRID
THE TEXT
…“may generate electric power for sale in the ERCOT power region to provide revenue for the corporation”
Bill text, introduced version (I)
The bill lets water and sewer service corporations become power generators selling into the ERCOT grid.
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 · Jul 1, 2024 to Oct 23, 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.
Killam Development Ltd.$72,700.00
Killam Development Ltd.
$72,700.00
- Cash
- $10,000.00
- Paid by others
- $62,700.00
- Total
- $72,700.00
Also funds 3 other sitting lawmakers.
Derived recipient stock · Dec 9, 2024 to Sep 28, 2026. State data as of Nov 4, 2026.
Name match, not a verified identity: normalized filed name and state.
Sources
Derived itemized flow · Dec 16, 2025 to Aug 20, 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: 101011018, 101057658.
Texas Trial Lawyers Association PAC$60,000.00
Texas Trial Lawyers Association PAC
$60,000.00
- Cash
- $60,000.00
- Paid by others
- $0.00
- Total
- $60,000.00
Also funds 137 other sitting lawmakers.
Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · Nov 11, 2024 to Aug 31, 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: 100959783, 100987492, 101011018, 101035338, 101057658.
Missing data does not establish zero giving. Display amounts are rounded.
Killam Development Ltd.
$72,700.00
- Cash
- $10,000.00
- Paid by others
- $62,700.00
- Total
- $72,700.00
Also funds 3 other sitting lawmakers.
Derived recipient stock · Dec 9, 2024 to Sep 28, 2026. State data as of Nov 4, 2026.
Name match, not a verified identity: normalized filed name and state.
Sources
Derived itemized flow · Dec 16, 2025 to Aug 20, 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: 101011018, 101057658.
Texas Trial Lawyers Association PAC
$60,000.00
- Cash
- $60,000.00
- Paid by others
- $0.00
- Total
- $60,000.00
Also funds 137 other sitting lawmakers.
Derived recipient stock · Jul 24, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.
TEC account match.
TeamSources
Derived itemized flow · Nov 11, 2024 to Aug 31, 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: 100959783, 100987492, 101011018, 101035338, 101057658.
Votes
No floor vote loaded for this bill.
Fiscal
No significant fiscal implication to the State is anticipated.
LBB estimate · fiscal note version I · source
Sources
Fiscal note · version I · April 29, 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 Mar 12, 2025
05/01/2025 S Left pending in committee
Texas Legislature Online · Introduced
Data snapshot Oct 26, 2026 at 4:20 AM CDT. Grades, charges, quotes and corrections follow the published record.
Senate committee · Business & Commerce · Final status: Died in committee
Companion
HB 3896 by Raymond (identical)
Subjects
Business & Commerce--General
Corporations & Associations
Utilities--Electric
Utilities--Water & Sewer
Text
The text as introduced · 194 words
89R13089 JXC-F By: Zaffirini S.B. No. 2327 A BILL TO BE ENTITLED AN ACT relating to the generation of electric power for sale by a water supply or sewer service corporation. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter A, Chapter 67, Water Code, is amended by adding Section 67.0115 to read as follows: Sec. 67.0115. ELECTRIC GENERATION. (a) A corporation operating in ERCOT, as defined by Section 31.002, Utilities Code, may register as a power generation company under Section 39.351, Utilities Code. (b) A corporation registered as a power generation company may generate electric power for sale in the ERCOT power region to provide revenue for the corporation. The revenue that accrues from the sale of electric power may be used by the corporation only for: (1) the corporation's costs of producing and selling electric power, including administration, employees, equipment, fuel, and maintenance; or (2) a purpose described by Section 67.002. (c) A corporation that generates electric power for sale shall account for and use the revenue from those sales in a manner that complies with Section 67.004. SECTION 2. This Act takes effect September 1, 2025.