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Public Utility Commission of Texas
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Water Supply Corporations

Water Supply Corporations (WSCs) are non-profits, member-owned and member-controlled corporations organized under Chapter 67, Texas Water Code. WSCs are subject to the laws and regulations governing the operations of non-profit corporations. The operation of a WSC is the responsibility of its elected board of directors. Directors are elected by the corporation's members.

PUCT Jurisdiction Statement

WSCs govern themselves under the direction of their elected board of directors. The WSCs tariff and customer service policies are not subject to review or approval by the PUCT unless ten percent or more of the affected ratepayers file an appeal in the form of a petition with the PUCT to review the board's decision changing the rates. The PUCT issues Certificates of Convenience and Necessity (CCNs). These certificates grant the right and the obligation to provide retail water or sewer utility service in a specified geographic boundary or service area. Texas Law requires WSCs to obtain a CCN in order to lawfully provide retail water or sewer service to customers for a fee.

About Rates

Rates set by the board of directors are not subject to review or approval by the PUCT unless ten percent or more of the affected ratepayers petition the PUCT to review the board's decision changing the rates.

The Texas Water Code, Chapter 13, allows charges (other than those for regular membership and tap fees) for the installation of retail water or sewer service to be appealed to the PUCT by applicants seeking retail water or sewer service from a WSC.

This type of appeal is initiated by writing to the PUCT within 90 days after obtaining written information from the WSC regarding the costs to obtain service.

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Annual Report

Each IOU is required to file an annual report no later than June 1 for the previous year ending December 31. The annual report is used to monitor utility earnings and should reflect a 12-month period ending December 31. One report should be completed for each individual CCN. IOUs should file the report based on the utility's classification from Class A to Class D.

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We are excited to offer the Faucet Facts newsletter, a quarterly update from the Public Utility Commission of Texas (PUCT) on water and sewer retail public utility regulation.

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