SB3

2nd Special Session

Relating to outdoor warning sirens in flash flood-prone areas.

CriticalImmediate action required

High Cost

Effective:2025-09-01

Enforcing Agencies

Texas Water Development Board (TWDB) • Office of the Governor

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

Effective Date: September 1, 2025.
Compliance Deadline: Immediate for any entity submitting a financial assistance application to the TWDB on or after September 1, 2025. Physical installation deadlines will follow TWDB rulemaking.
Agency Rulemaking: The TWDB must adopt rules defining "flood-prone areas," technical siren standards, and testing protocols. Expect a regulatory gray zone between Q4 2025 and Q2 2026 where technical standards are proposed but not finalized, potentially stalling pending infrastructure loans.

Immediate Action Plan

1. Audit Existing Inventory: Immediately assess current siren infrastructure for independent backup power capabilities. Grid-tied systems are legally insufficient under the new mandate.
2. Freeze/Review TWDB Applications: If you have a water or sewer loan application pending submission after Sept 1, 2025, verify siren compliance immediately to avoid automatic rejection.
3. Monitor Texas Register: Assign legal staff to track TWDB proposed rules in Q4 2025 regarding the specific geographic maps of "flood-prone areas."
4. Review Insurance: Update liability policies to cover "failure to warn" claims, specifically regarding the failure of sensors and gauges during flash flood events.

Operational Changes Required

Contracts

Government Vendors: Update standard terms to include specific indemnification regarding the reliability of backup power systems (solar/battery). Grid-tied reliability is no longer sufficient.
Interlocal Agreements (ILAs): Municipalities should immediately draft ILAs for joint siren operation. Vendors should structure proposals to service regional clusters rather than single entities to align with Section 16.502(e).
Grant Contingencies: Contracts for installation must include "Notice to Proceed" contingencies based on the receipt of Governor’s Office grant awards, as local funding may be insufficient.

Hiring/Training

Engineering Firms: Civil engineering teams must integrate acoustic coverage modeling into flood mitigation planning immediately.
Maintenance Staff: Personnel must be trained/certified on the maintenance of specific backup power sources (solar arrays/battery banks), not just standard electrical grid maintenance.

Reporting & Record-Keeping

Mandatory Certification: Entities must generate a "Certification of Compliance" to attach to *every* TWDB financial assistance application.
Testing Logs: Establish a digital logging system for "regular functionality tests." These logs are subject to TWDB audit. Manual logs are a liability risk; automated logging software is recommended.

Fees & Costs

Retrofitting Costs: Existing sirens without independent backup power likely do not meet the new "Best Management Practices" exemption and must be retrofitted or replaced.
Capital Risk: The primary cost is not the siren itself, but the denial of low-interest state capital for broader water infrastructure projects due to non-compliance.
Grant Funding: While a grant program is established, the Fiscal Note indicates no specific appropriation for the grant corpus. Treat this as an unfunded mandate for budgeting purposes.

Strategic Ambiguities & Considerations

Definition of "Flood-Prone Area": The TWDB has discretion to define these zones. It is unclear if the designation will apply to an entire county or strictly to the hydrologic floodplain. A county-wide designation would triple installation costs.
"Regular" Testing: The statute mandates "regular" testing but fails to define frequency (weekly vs. monthly) or type (audible vs. silent). This will be defined in rulemaking and impacts maintenance budgets and noise ordinance compliance.
Backup Power Standards: The law requires backup power but leaves the technical specifications (duration of operation, fuel type) to TWDB rulemaking.

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Legislative Timeline

This bill's path through the Texas Legislature

TopicsDisaster Preparedness & Relief Governor Safety State Finances State Finances--management & Control Water Water--development Water--general Alert System Floods Water Development Board, Texas

Official Analysis

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BILL ANALYSIS

Senate Research Center	S.B. 3
89S20013 JAM-F	By: Bettencourt et al.
	Finance
	8/15/2025
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The recent devastating flood event in Kerr County and throughout Central Texas highlights how critical flood early warning systems are to public safety. Many rural river systems in flash flood alley are home to youth camps, campsites, RV parks, and other large gathering sites near floodprone rivers. With limited cell phone connectivity in parts of this region, there is a need to go back to old school technology, outdoor warning sirens, which we know work.

S.B. 3 requires the Texas Water Development Board (TWDB) to identify areas that have a history of severe flooding, as well as other relevant factors such as loss of human life to flooding and the existence of residences or other dwellings in flood-prone areas. Upon identifying these key areas, TWDB will direct the municipality or county on where to install outdoor warning siren systems.

The bill requires TWDB to adopt rules and procedures to implement the bill, including:

�Procedures for the operation of an outdoor warning siren in a flood-prone area of this state.

�Minimum standards for an outdoor warning siren installed, maintained, or operated in a flood-prone area.

�Minimum standards for a backup operating system capable of powering an outdoor warning siren in a flood-prone area that is different from the primary operating system.

�TWDB may consult with other entities when adopting their rules and procedures.

Lastly, S.B. 3 allows for the use of any money made available from the state to assist municipalities, counties, and other governmental entities in covering the costs of installing outdoor warning sirens.

As proposed, S.B. 3 amends current law relating to outdoor warning sirens in flood-prone areas.

RULEMAKING AUTHORITY

Rulemaking authority is expressly granted to the Texas Water Development Board in SECTION 2 (Section 16.502, Water Code) of this bill.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Subchapter B, Chapter 418, Government Code, by adding Section 418.027, as follows:

Sec. 418.027. GRANT PROGRAM FOR REQUIRED OUTDOOR WARNING SIRENS. (a) Requires the Office of the Governor (governor's office), using any money available for that purpose, to establish and administer a grant program to assist municipalities, counties, and other governmental entities with covering the costs of installing outdoor warning sirens required under Section 16.502, Water Code.

(b) Requires the governor's office to establish eligibility criteria for grant applicants, grant application procedures, guidelines relating to grant amounts, procedures for evaluating grant applications, and procedures for monitoring the use of a grant awarded under the program and ensuring compliance with any conditions of a grant.

(c) Authorizes the governor to delegate to a state agency the authority to administer the grant program established under this section.

SECTION 2. Amends Chapter 16, Water Code, by adding Subchapter M, as follows:

SUBCHAPTER M. OUTDOOR WARNING SIRENS

Sec. 16.501. DEFINITIONS. Defines "flood-prone area" and "outdoor warning siren."

Sec. 16.502. OUTDOOR WARNING SIRENS REQUIRED IN FLOOD-PRONE AREAS. (a) Requires the Texas Water Development Board (TWDB) to identify each area of this state that:

(1) has a history of consistent or severe flooding; and

(2) based on the history under Subdivision (1) and any other factor TWDB considers relevant, warrants the installation, maintenance, and operation of one or more outdoor warning sirens.

(b) Provides that other relevant factors TWDB is authorized to consider in making determinations under Subsection (a)(2) include, as to each area, loss of human life to flooding, the existence of residences or other dwelling structures in a flood-prone area, and the potential damage to real or personal property resulting from a flood.

(c) Requires TWDB, except as provided by Subsection (d), for each area� identified under Subsection (a)(2), to require the appropriate municipality or county to install, maintain, and operate one or more outdoor warning sirens in accordance with the rules adopted by TWDB under this section. Provides that, if the site of the installation is in the boundaries of a municipality, the municipality is required to install, maintain, and operate the siren, or in the unincorporated area of a county, the county is required to install, maintain, and operate the siren.

(d) Prohibits TWDB from requiring an outdoor warning siren for an area in which a governmental entity already maintains and operates an outdoor warning siren that meets the minimum standards adopted by TWDB rule.

(e) Authorizes municipalities, counties, and other governmental entities by written agreement to jointly install, maintain, or operate an outdoor warning siren required under this section.

(f) Requires TWDB to require each county or municipality with an outdoor warning siren required under this section or any other governmental entity with an outdoor warning siren in a flood-prone area to regularly test the functionality of the outdoor warning siren and document the results of those tests.

(g) Provides that TWDB's determinations under this section on whether an area requires an outdoor warning siren are final and binding.

(h) Requires TWDB to adopt rules and procedures to implement this section, including procedures for the operation of an outdoor warning siren in a flood-prone area of this state and minimum standards for an outdoor warning siren installed, maintained, or operated in a flood-prone area, including standards requiring that an outdoor warning siren be equipped with a backup power source that is different from the siren's primary power source.

(i) Authorizes TWDB to consult with other entities when adopting rules and procedures to implement this section.

SECTION 3. Effective date: upon passage or on the 91st day after the last day of the legislative session.

Bill Text(with markup)

S.B. No. 3

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

	AN ACT
	relating to outdoor warning sirens in flash flood-prone areas.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. Subchapter B, Chapter 418, Government Code, is
	amended by adding Section 418.027 to read as follows:
	Sec. 418.027. GRANT PROGRAM FOR REQUIRED OUTDOOR WARNING
	SIRENS. (a) Using any money available for that purpose, the office
	of the governor shall establish and administer a grant program to
	assist municipalities, counties, and other governmental entities
	with covering the costs of installing outdoor warning sirens
	required under Section 16.502, Water Code.
	(b) The office of the governor shall establish:
	(1) eligibility criteria for grant applicants;
	(2) grant application procedures;
	(3) guidelines relating to grant amounts;
	(4) procedures for evaluating grant applications; and
	(5) procedures for monitoring the use of a grant
	awarded under the program and ensuring compliance with any
	conditions of a grant.
	(c) The governor may:
	(1) transfer to a state agency any money necessary to
	carry out the grant program established under this section and the
	powers and duties established under Subchapter M, Chapter 16, Water
	Code; and
	(2) delegate to a state agency the authority to
	administer the grant program established under this section,
	including any authority necessary for that state agency to:
	(A) transfer to an appropriate fund or account
	administered by the state agency any money transferred to the
	agency under Subdivision (1); and
	(B) use money transferred under Subdivision (1)
	for the necessary and reasonable expenses incurred by the state
	agency in administering this section or Subchapter M, Chapter 16,
	Water Code.
	SECTION 2. Chapter 16, Water Code, is amended by adding
	Subchapter M to read as follows:
	SUBCHAPTER M. OUTDOOR WARNING SIRENS
	Sec. 16.501. DEFINITIONS. In this subchapter:
	(1) "Flash flood-prone area" means an area of this
	state included in the disaster declaration issued by the governor
	under Section 418.014, Government Code, in response to the July
	2025 Hill Country floods.
	(2) "Outdoor warning siren" means a system that
	produces a sound designed to alert a person who is outdoors of an
	imminent disaster and encourage that person to immediately seek
	shelter or move to higher ground and includes sensors, gauges, and
	all other components essential to the function of the system.
	Sec. 16.502. OUTDOOR WARNING SIRENS REQUIRED IN FLASH
	FLOOD-PRONE AREAS. (a) The board shall identify each area in a
	flash flood-prone area that:
	(1) has a history of consistent or severe flooding;
	and
	(2) based on the history under Subdivision (1) and any
	other factor the board considers relevant, warrants the
	installation, maintenance, and operation of one or more outdoor
	warning sirens.
	(b) Other relevant factors the board may consider in making
	determinations under Subsection (a)(2) include, as to each area:
	(1) loss of human life to flooding;
	(2) the existence of residences or other dwelling
	structures in a flash flood-prone area; and
	(3) the potential damage to real or personal property
	resulting from a flood.
	(c) Except as provided by Subsection (d), for each area
	identified under Subsection (a)(2), the appropriate municipality
	or county shall install, maintain, and operate one or more outdoor
	warning sirens in accordance with the rules adopted by the board
	under this section. If the site of the installation is:
	(1) in the boundaries of a municipality, the
	municipality shall install, maintain, and operate the siren; or
	(2) in the unincorporated area of a county, the county
	shall install, maintain, and operate the siren.
	(d) An outdoor warning siren is not required for an area in
	which a governmental entity already maintains and operates an
	outdoor warning siren that meets the best management practices and
	guidance adopted by board rule.
	(e) Municipalities, counties, and other governmental
	entities by written agreement may jointly install, maintain, or
	operate an outdoor warning siren required under this section.
	(f) Each county or municipality with an outdoor warning
	siren required under this section or any other governmental entity
	with an outdoor warning siren in a flash flood-prone area shall
	regularly test the functionality of the outdoor warning siren and
	document the results of those tests.
	(g) The board's identification under this section of an area
	that warrants an outdoor warning siren is final and binding.
	(h) The board shall adopt rules and procedures to implement
	this section, including facilitating development of best
	management practices and guidance:
	(1) for the operation of an outdoor warning siren in a
	flash flood-prone area of this state; and
	(2) for an outdoor warning siren installed,
	maintained, or operated in a flash flood-prone area, including
	guidance that an outdoor warning siren be equipped with a backup
	power source that is different from the siren's primary power
	source.
	(i) The board may contract or consult with other entities
	when adopting rules and procedures to implement this section.
	(j) The board may not approve financial assistance, other
	than financial assistance for an outdoor warning siren, including
	assistance described by Section 418.027, Government Code, for a
	county or municipality until the county or municipality certifies
	to the board that it is in compliance with this section.
	SECTION 3. Section 16.502(j), Water Code, as added by this
	Act, applies only to an application for financial assistance
	submitted to the Texas Water Development Board on or after the
	effective date of this Act.
	SECTION 4. This Act takes effect immediately if it receives
	a vote of two-thirds of all the members elected to each house, as
	provided by Section 39, Article III, Texas Constitution. If this
	Act does not receive the vote necessary for immediate effect, this
	Act takes effect on the 91st day after the last day of the
	legislative session.

LEGISLATIVE BUDGET BOARD
Austin, Texas

FISCAL NOTE, 89TH LEGISLATURE 2nd CALLED SESSION 2025


August 15, 2025

TO:	Honorable Joan Huffman, Chair, Senate Committee on Finance

FROM:	Jerry McGinty, Director, Legislative Budget Board

IN RE:	SB3 by Bettencourt (Relating to outdoor warning sirens in flood-prone areas.), As Introduced

Estimated Two-year Net Impact to General Revenue Related Funds for SB3, As Introduced: a negative impact of ($2,695,396) through the biennium ending August 31, 2027.

The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.

General Revenue-Related Funds, Five- Year Impact:

Fiscal Year	Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2026	($1,795,298)
2027	($900,098)
2028	($900,098)
2029	($900,098)
2030	($918,098)

All Funds, Five-Year Impact:

Fiscal Year	Probable Savings/(Cost) from General Revenue Fund 1	Change in Number of State Employees from FY 2025
2026	($1,795,298)	6.0
2027	($900,098)	6.0
2028	($900,098)	6.0
2029	($900,098)	6.0
2030	($918,098)	6.0

Fiscal Analysis

The bill would amend the Water Code related to outdoor warning sirens (sirens) in flood-prone areas. The bill would define flood-prone areas as areas in Texas identified in the Governor's disaster declaration issued in response to the July 2025 Hill Country floods.

The bill would require the Office of the Governor (OOG) to establish and administer a grant program, using any money available for that purpose, to assist municipalities, counties, and other governmental entities (local entities) with covering the costs of installing outdoor warning sirens. Under the provisions of the bill, OOG would be responsible for establishing details related to applicants' eligibility criteria, application procedures, grant amount guidelines, evaluations of applications, and monitoring procedures of the grant program. The bill would also allow the OOG to delegate authority to administer the grant program to another state agency.

The bill would require the Texas Water Development Board (TWDB) to identify areas within flood-prone areas with a history of consistent or severe flooding, and if those areas warrant installation, maintenance, and operation of sirens. The bill would allow TWDB to consider other factors deemed relevant in making these determinations. The bill would also allow TWDB to require local entities within flood-prone areas to install/maintain/operate sirens based on standards established by TWDB, unless the locals have already installed/maintained/operated sirens that meet those standards, and locals may jointly install/maintain/operate sirens by written agreement. The bill would require local entities to regularly test the functionality of their sirens and document the results to TWDB. The bill would establish that TWDB's determinations of whether an area would be prone to flooding or would require a siren would be considered final and binding. The bill would require TWDB to adopt rules and procedures related to the installation/maintenance/operation standards of sirens in flood-prone areas, including standards related to siren backup operating systems, and would allow TWDB to consult with other entities when considering rules and procedures.

The bill would take effect immediately if it receives a two-thirds vote of both houses, or on the ninety-first day after the last day of the legislative session, if a two-thirds vote is not received.

Methodology

Based on information provided by TWDB, it is assumed that additional staff and resources would be needed for TWDB to implement the provisions of the bill related to: (1) identifying flood-prone areas; (2) developing procedures for operating flood warning sirens; and (3) performing inspections of sirens.

According to TWDB, 6.0 Full-Time Equivalent (FTE) positions and associated costs from General Revenue Funds totaling $1,795,298 in fiscal year 2026 and $900,098 in fiscal year 2027 would address these responsibilities, with certain FTEs serving multiple functions. The 6.0 FTE positions would include: one Data Analyst III, one Data Analyst V, one Engineer V, two Program Specialist IV, and one Project Manager IV. The Data Analyst and Engineer positions would perform duties related to functions 1 and 2 above, the two Program Specialists positions would perform duties related to function 3 above, and the Project Manager positions would oversee functions 1, 2, and 3.

Salary and wage costs for the 6.0 FTEs would total $657,074 per fiscal year from 2026 to 2030. Benefit costs would total $186,740 per fiscal year from 2026 to 2030. Professional service fee costs would total $750,000 only in fiscal year 2026 for consulting related to developing siren operating procedures. Other administrative and staff costs would total $201,884 in fiscal year 2026, $56,284 per fiscal year from 2027 to 2029, and $74,284 in fiscal year 2030. This includes initial capital costs for licenses, furniture, and equipment in fiscal year 2026.

According to OOG, no significant fiscal implication is anticipated to administer the new grant program.

NOTE: This analysis assumes that General Revenue funds would be required for OOG or a delegated agency to provide funding for the new grant program to assist locals with covering the costs of installing sirens; however, theexact amounts and timing of any appropriations that would be provided for grants for the new programare unknown at this time.

According to TWDB, if authority to administer the grant program were delegated from OOG to TWDB, and depending on theexact amounts and timing of any appropriations for providing grants, additional staff and resources would be needed to administer the grant program.

Local Government Impact

The fiscal impact to local government entities cannot be determined at this time. Local entities may receive grants for the installation of sirens through the new grant program. However, the amount and timing of such grants is unknown at this time. Additionally, any costs local government entities may incur to meet the requirements of installing/maintaining/operating sirens cannot be determined at this time.

Source Agencies:

300 Trusteed Programs Within the Office of the Governor, 580 Water Development Board

LBB Staff:

JMc, CMA, FV, MW, AJL

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Frequently Asked Questions

Common questions about SB3

What does Texas SB3 do?

SB3 establishes a conditional mandate requiring municipalities and counties in the "July 2025 Hill Country flood" zones to install outdoor warning sirens equipped with independent backup power. The critical business impact is financial: the Texas Water Development Board (TWDB) is statutorily prohibited from approving any new financial assistance applications (for water, sewer, or flood projects) until the applicant certifies compliance with these new siren standards. Implementation Timeline Effective Date: September 1, 2025.

Who authored SB3?

SB3 was authored by Texas Senator Paul Bettencourt during the 2nd Special Session.

When was SB3 signed into law?

SB3 was signed into law by Governor Greg Abbott on September 5, 2025.

Which agencies enforce SB3?

SB3 is enforced by Texas Water Development Board (TWDB) and Office of the Governor.

How urgent is compliance with SB3?

The compliance urgency for SB3 is rated as "critical". Businesses and organizations should review the requirements and timeline to ensure timely compliance.

What is the cost impact of SB3?

The cost impact of SB3 is estimated as "high". This may vary based on industry and implementation requirements.

What topics does SB3 address?

SB3 addresses topics including disaster preparedness & relief, governor, safety, state finances and state finances--management & control.

Legislative data provided by LegiScanLast updated: November 25, 2025

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