HB 2500 amends the Water Code to enhance the regulatory processes managed by the Public Utility Commission (PUC) regarding water and sewer services. It introduces alternative ratemaking methodologies, such as phased rate changes and system improvement charges, to allow utilities more efficient cost recovery. Applications for system improvement charges must include supporting documentation like receipts and contracts. Additionally, the bill establishes expedited processes for acquiring utilities in receivership, supervision, or temporary management, waiving public notice requirements and allowing regulatory approval if acquisitions are deemed in the public interest. It specifies that municipally owned utilities, counties, or similar entities may act as receivers or acquire utilities under specific conditions. Other amendments improve oversight and management of utilities, particularly smaller ones, to ensure adequate service. The provisions apply to applications submitted on or after September 1, 2025, the bill's effective date​.