What are the procedures for establishing public utilities in a municipality?

Establishing public utilities in a municipality in Texas requires two main procedures. First, the municipality must pass an ordinance to create the public utility. This ordinance must include information such as the purpose for creating the public utility, its name, and the terms of its operation. Second, the municipality must hold a public hearing to receive input from residents about the public utility. At this hearing, the municipality must present the ordinance, answer any questions the public may have, and then accept or reject any public comments. The municipality then needs to create rules and regulations to govern the operations of the public utility. These rules and regulations will define how the public utility will operate, including the fees that customers will pay for services. The rules and regulations must be consistent with state and federal laws, as well as any existing ordinances or resolutions passed by the municipality. The final step in establishing a public utility in a municipality is to obtain a certificate of convenience and necessity from the state. This certificate, which is issued by the Texas Public Utility Commission, grants the public utility the authority to operate in the municipality. Once the certificate is obtained, the public utility can begin operations.

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