The Senate Committee on Agriculture, Water & Rural Affairs has published its interim report to the 86th Legislature.
The report examines on several issues including streamlining water permitting, Groundwater Conservation District and River Authority regulation, and agricultural fees in the state. For full details and conclusions from the committee, please see the complete report.
Spotlight on Recommendations
Interim Charge #1 – Streamlining Water Permitting: Study and recommend changes that promote streamlining of water right permit issuance and the amendment process by the TCEQ for surface water, and that promote uniform and streamline permitting by groundwater conservation districts for groundwater. Evaluate more transparent process needs and proper valuation of water.
- The committee is encouraged by the TCEQ process and their commitment to reduction in the backlog of surface water permits. The Legislature should continue to monitor the process to ensure that it operates in the most efficient manner while preserving the rights of Texans. Timelines should be monitored to improve the length of time for which TCEQ must process surface water permits and monitor the process for transparency and accuracy.
Interim Charge #2 – Regulatory Framework of Groundwater Conservation Districts and River Authorities: Study and make recommendations on the regulatory framework for managing groundwater in Texas to ensure that private property rights are being sufficiently protected. Study the role of river authorities and groundwater conservation districts including the state’s oversight role of their operations and fees imposed.
- Texas landowners and producers would be better served to have a GCD regulatory process that was similar across neighboring GCDs. The committee received testimony from TAGD during the June 2018 hearing that GCDs have engaged in collaborative work to move towards a goal of similar rules and administrative processes, while still protecting the integrity of their conservation efforts. Private property owners with land spanning more than one GCD would benefit from processes which are similar.
Interim Charge #3 – Agricultural Fees: Review licensing, permitting, or registration requirements and fees imposed on the agriculture industry by licensing agencies within the committee’s jurisdiction. Make recommendations for state licenses and fees that should be reduced, repealed or transitioned to private-sector enforcement.
- The committee recommends continuing to monitor the effects of the rules adopted by agencies related to licensing, permitting, or registration requirements and fees imposed on the agriculture industry.
- As supported during the Regular 85th Legislative Session, the committee recommends refiling legislation to authorize the Texas Parks and Wildlife Commission, by rule, to establish and provide for the collection of a fee for each Managed Land Deer Program participation option.
- The complexity of the timing of the collection of agricultural fees for the different fiscal periods including multi-period licensing creates unique accounting challenges. The state’s fiscal year does not coincide with the licensing periods of many agricultural industry sectors. As a consequence, prepayments under the cash method of financing can result in “sweeps” of cash that are tied to future licensing periods. The elimination of the carryover of unexpended balances and the lack of confidence in the accounting supporting the fee increases have created an internal accounting problem that allows for fees to be collected in excess of costs.
- The committee recommends a revisit with Texas Department of Agriculture to determine if the changes the State Auditor recommended have been made and the internal accounting policies and procedures modified to account for the fees. These changes will allow for LAR requests that can support the need for balance carryover or at least be considered in an LAR request. It is fair to say, that the decision to remove unexpended balance authority highlighted problems that existed long before its removal. Therefore, the tools are a legitimate point for discussion in the 86th legislative session. For cost recovery agencies to be effective, transparent and deserving of public trust, a higher level of accountability is necessary. Standards as to what is a recoverable cost and the ability to account for that recovery must be clear and those in charge knowledgeable in the implementation of these polices.
Monitoring: Monitor the implementation of legislation addressed by the Senate Committee on Agriculture, Water & Rural Affairs during the 85th Legislature, Regular Session, including, but not limited to: SB 1511 (prioritization in the regional water plan); SB 1538 (Floodplain Management Account uses); SB 864 (GCD application of state water); HB 2004 (Texas economic development fund for TDA); and HB 3433 (adoption of rules affecting rural communities. Make recommendations for any legislative improvements needed to improve, enhance, or complete implementation including regional water planning, flood planning, and groundwater production).
- The committee recommends continuing to monitor legislation as enacted by the 85th Legislature and how it affects the state. Specifically, the committee will monitor legislation that adversely affects rural communities in the state.
