Showing posts with label water attorney in Texas. Show all posts
Showing posts with label water attorney in Texas. Show all posts

Thursday, January 30, 2014

Texas to proceed with water lawsuit against NM

From the Las Cruces Sun News
By: Susan Montoya Bryan

ALBUQUERQUE >> The U.S. Supreme Court ruled Monday that Texas can proceed with its lawsuit against New Mexico over management of the Rio Grande.
Texas contends that groundwater pumping near the Texas-New Mexico border has resulted in Texas farmers and residents being deprived of Rio Grande water.
The dispute's complex history focuses especially upon farmers in the Elephant Butte Irrigation District, which delivers river water in Doña Ana County and southern Sierra County. Many growers have been anxiously wondering whether the high court would give a green light to the case.
There's a lot of uncertainty about the direction the case could go and about the ultimate result, said Gary Esslinger, manager of the 8,500-member irrigation district.
"I really don't know what the outcome will be," he said. "It's really unfortunate we're in this predicament. We'll just have to see."
Thorny debate
New Mexico argues that downstream users are getting what's required under a compact between the states and that the Supreme Court should have let lower courts consider the dispute.
New Mexico Attorney General Gary King said Monday he was not surprised by the court's ruling.
"I am confident that the court takes such state-to-state disputes very seriously, and we look forward to being able to tell New Mexico's side of the story and to have our day in court," King said.
The Supreme Court gave New Mexico 60 days to file a motion seeking the case's dismissal. Texas would then have an opportunity to respond.
The Texas Commission on Environmental Quality first asked the Supreme Court to weigh in more than a year ago, alleging that New Mexico was violating the 1938 Rio Grande Compact that governs how water is shared by Texas, New Mexico and Colorado.
EBID officials have said the Supreme Court dispute puts the irrigation district in awkward position. That's because, for groundwater purposes, EBID is squarely under New Mexico authority. But for river water regulation, it's lumped in with Texas under the Rio Grande Compact.
It's that arrangement, Esslinger said, that may prompt EBID to try to intervene in the new Supreme Court case as a third party, independent from New Mexico or Texas.
"We'll not necessarily be taking New Mexico's side or taking Texas' side," he said.
EBID officials have blamed the Texas action in the Supreme Court on a separate federal lawsuit brought by King, who challenged a 2008 water-sharing agreement between EBID and its irrigation district counterpart in El Paso County.
EBID officials have said they don't believe Texas would have filed the action, if King hadn't filed his.
Esslinger said he believes EBID is well-positioned to argue its case to the Supreme Court because the 2008 agreement has guaranteed that farmers in Texas are getting their share of river water.
"We think that it's working," he said. "We're going to continue to stand behind that position."
King argued that the agreement unfavorably changed the allocation of water for his state.
EBID officials have said the agreement was aimed at heading off a legal battle between the two states that could ultimately harm Doña Ana County farmers by cutting off their right to use groundwater.
Drought persists
Nearly all of New Mexico has been mired in drought for the past several years, leaving stretches of the Rio Grande dry at times and reservoirs along the river at record-low levels. Without any promise for moisture this winter, farmers are still making hard choices about whether to grow staple crops such as chile, onions and pecans.
Those farmers who made it through last year had access to wells for irrigating because there was not enough Rio Grande water left for New Mexico. This year, irrigation officials have yet to make predictions about how much water might be allocated.
Sun-News reporter Diana Alba Soular contributed to this report. 

Friday, October 26, 2012

Water Utility's Handling of Customer Deposits

Texas Water Lawyer & Water Rights Attorney Trey Wilson wrote:

Ever wondered what happens to water customer deposits, or whether there are any laws or rules governing what a Texas water utility does with them?

The Texas Legislature has specifically authorized governmental water districts to require deposits as a condition of supplying water to a customer. In addition, the Lege has left to each District's discretion the decision of whether interest will be paid on the deposits.  Below is the partial text of Water Code section 49.212.

Sec. 49.212.  FEES AND CHARGES.  (a)  A district may adopt and enforce all necessary charges, mandatory fees, or rentals, in addition to taxes, for providing or making available any district facility or service, including fire-fighting activities provided under Section 49.351.
(b)  A district may require a deposit for any services or facilities furnished and the district may or may not provide that the deposit will bear interest.

The TCEQ has also adopted a Rule governing the handling of water customer depositsThat Rule provides the following:

Records of deposits.
(1) The utility shall keep records to show:
(A) the name and address of each depositor;
(B) the amount and date of the deposit;
(C) each transaction concerning the deposit; and
(D) the amount of interest earned on customer deposit funds.

(2) The utility shall issue a receipt of deposit to each service applicant or customer from whom a deposit is received.

Notably, there is no requirement in the Rule that the funds be kept in a separate account. However, the funds are held in trust/escrow, and need to be accounted for separately from the District’s funds.

With regard to interest on deposits, the Rule provides:

(d) Interest on deposits. Each utility shall pay a minimum interest on all customer deposits at an annual rate at least equal to a rate set each calendar year by the Public Utility Commission of Texas in accordance with the provisions of Texas Civil Statutes, Article 1440a. Payment of the interest to the customer shall be made annually if requested by the customer, or at the time the deposit is returned or credited to the customer's account. Inquiries about the appropriate interest rate to be paid each year a deposit is held may be directed to the Water Utilities Division of the commission.

This portion of the Rule (relating to Interest on deposits) is in direct conflict with  Texas Water Code Section 49.212(b), as it appears above. Further, the TCEQ apparently doesn't enforce this portion of the Rule, since they issued this TCEQ memo, which provides (in relevant part):

Can They Make Me Pay a Deposit?
Yes. The Water Code allows districts to require a deposit
for any services or facilities furnished. Districts do not have
to pay interest on deposits or return deposits after a set
amount of time has passed. Typically, a district will hold a
customer’s deposit until the account has been terminated and
all outstanding balances have been paid.

Most utilities have adopted their own rules or regulations that comply with the Water Code and TCEQ Rules.

Trey Wilson: Texas Water Lawyer -- Texas Groundwater Permit and Water Rights Attorney

Trey Wilson: Texas Water Lawyer -- Texas Groundwater Permit and Water Rights Attorney
Trey Wilson -- Texas Water Lawyer, Groundwater Permit and Water Rights Attorney