Relating to the provision of water or sewer service by public entities operating jointly or concurrently; providing authority to issue bonds; providing authority to impose assessments.

HB 1407 allows counties, cities, and water/sewer districts to jointly operate water and sewer systems with greater financial flexibility. It grants participating public entities the authority to issue bonds, acquire land (including via eminent domain), and share facility costs, while clarifying that these joint agencies are separate political subdivisions. The bill amends Texas Local Government Code sections to define "public utility agency" and specify that these entities can use revenue from service fees to secure bonds, without imposing taxes. This directly affects local governments managing shared water and sewer infrastructure.