Each provider of potable water or sewer utility service shall collect a regulatory assessment from each retail customer as follows:

1. A public utility shall collect an assessment equal to 1% of the retail water or sewer service charge.
2. A water supply or sewer service corporation shall collect an assessment equal to 1/2 of 1% of the charge for retail water or sewer service.
3. A district shall collect an assessment equal to 1/2 of 1% of the charge for retail water or sewer service.

Penalties may be charged for late payment related to regulatory assessments as provided by commission rule. Penalties may also be assessed against municipalities with more than 1.5 million people not providing certain water and sewer services of not more than $1,000 per day for certain annexed areas.

Assessment revenue may be appropriated by a General Appropriations Act rider to an agency with duties related to water and sewer utility regulation or representation of residential and small commercial consumers of water and sewer utility services.

$25,000 penalty assessed against a municipally owned water utility if the utility fails to submit to the TWDB the required water loss mitigation plan. Collected under 3770 - Administrative penalties by TCEQ and deposited to General Revenue Fund 0001 (16.0122). 

On Jan. 15th of each year for the prior 12 months.

Deposit changed from GR Account -- Water Utility (0172) which was abolished by H.B. 3231, 75th Leg., R.S.

Redesignated from Water Code sec. 5.235 to 5.071 by H.B. 2912, 77th Leg., R.S.

H.B. 2694, 82nd Leg., R.S., provided assessment revenue may be appropriated to an agency with duties related to water and sewer utility regulation of residential and small commercial consumers.

Water loss mitigation plan penalty added by H.B. 29, 89th Leg., R.S.