Texas 2009 - 81st Regular

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11 S.B. No. 2497
22
33
44 AN ACT
55 relating to the creation of the North Texas Groundwater
66 Conservation District; providing authority to issue bonds.
77 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
88 SECTION 1. Subtitle H, Title 6, Special District Local Laws
99 Code, is amended by adding Chapter 8856 to read as follows:
1010 CHAPTER 8856. NORTH TEXAS GROUNDWATER CONSERVATION DISTRICT
1111 SUBCHAPTER A. GENERAL PROVISIONS
1212 Sec. 8856.001. DEFINITIONS. In this chapter:
1313 (1) "Board" means the board of directors of the
1414 district.
1515 (2) "Director" means a member of the board.
1616 (3) "District" means the North Texas Groundwater
1717 Conservation District.
1818 Sec. 8856.002. NATURE OF DISTRICT; FINDINGS. (a) The
1919 district is a groundwater conservation district in Collin, Cooke,
2020 and Denton Counties created under and essential to accomplish the
2121 purposes of Section 59, Article XVI, Texas Constitution.
2222 (b) The district is created to serve a public use and
2323 benefit.
2424 (c) All of the land and other property included within the
2525 boundaries of the district will be benefited by the works and
2626 projects that are to be accomplished by the district under powers
2727 conferred by this chapter and by Chapter 36, Water Code.
2828 (d) Any fees imposed by the district under this chapter are
2929 necessary to pay for the costs of accomplishing the purposes of the
3030 district, including the conservation and management of groundwater
3131 resources, as provided by this chapter and Section 59, Article XVI,
3232 Texas Constitution.
3333 Sec. 8856.003. PUBLIC HEARING IN EACH COUNTY. (a) Not
3434 later than December 1, 2009, the commissioners court of each county
3535 in the district shall hold a public hearing on the topic of
3636 including the territory of the county in the district.
3737 (b) After the public hearings and not later than December
3838 31, 2009, the commissioners court of each county shall vote to
3939 confirm or reject the county's inclusion in the district. The
4040 commissioners court shall adopt a resolution reflecting the result
4141 of that vote and provide a copy of the resolution to the temporary
4242 directors.
4343 Sec. 8856.004. CONFIRMATION REQUIRED. (a) The creation of
4444 the district is confirmed only if the commissioners courts of two or
4545 more of the counties in the district submit a resolution confirming
4646 the county's inclusion in the district to the temporary board. If
4747 the commissioners court of a county does not submit a resolution
4848 confirming the county's inclusion in the district to the temporary
4949 board, that county is not included in the district. The temporary
5050 board shall provide a copy of the resolutions and the final district
5151 boundaries to the Texas Commission on Environmental Quality.
5252 (b) If the creation of the district is not confirmed as
5353 provided by Subsection (a) before January 1, 2010:
5454 (1) the district is dissolved on January 1, 2010,
5555 except that:
5656 (A) any debts incurred shall be paid;
5757 (B) any assets that remain after the payment of
5858 debts shall be transferred in equal amounts to Collin, Cooke, and
5959 Denton Counties; and
6060 (C) the organization of the district shall be
6161 maintained until all debts are paid and remaining assets are
6262 transferred; and
6363 (2) this chapter expires September 1, 2011.
6464 Sec. 8856.005. INITIAL DISTRICT TERRITORY. The initial
6565 boundaries of the district are coextensive with the boundaries of
6666 Collin, Cooke, and Denton Counties.
6767 Sec. 8856.006. APPLICABILITY OF OTHER GROUNDWATER
6868 CONSERVATION DISTRICT LAW. Except as otherwise provided by this
6969 chapter, Chapter 36, Water Code, applies to the district.
7070 Sec. 8856.007. CONSTRUCTION OF CHAPTER. This chapter shall
7171 be liberally construed to achieve the legislative intent and
7272 purposes of Chapter 36, Water Code. A power granted by Chapter 36,
7373 Water Code, or this chapter shall be broadly interpreted to achieve
7474 that intent and those purposes.
7575 [Sections 8856.008-8856.020 reserved for expansion]
7676 SUBCHAPTER A-1. TEMPORARY PROVISIONS
7777 Sec. 8856.021. APPOINTMENT OF TEMPORARY DIRECTORS.
7878 (a) The district is initially governed by a board of nine
7979 temporary directors appointed as provided by Sections 8856.051(b)
8080 and (d).
8181 (b) Temporary directors shall be appointed not later than
8282 the 90th day after the effective date of the Act enacting this
8383 chapter. If after the 90th day fewer than nine temporary directors
8484 have been appointed, each unfilled position shall be considered a
8585 vacancy and filled in accordance with Subsection (c).
8686 (c) If a vacancy occurs on the temporary board, the
8787 remaining temporary directors shall appoint a person to fill the
8888 vacancy in a manner that meets the representational requirements of
8989 this section.
9090 (d) To be eligible to serve as a temporary director, a
9191 person must be a registered voter in the appointing county.
9292 (e) Each temporary director must qualify to serve as a
9393 director in the manner provided by Section 36.055, Water Code.
9494 (f) Temporary directors serve until the earlier of:
9595 (1) the time the temporary directors become the
9696 initial permanent directors under Section 8856.023; or
9797 (2) the date this chapter expires under Section
9898 8856.004.
9999 Sec. 8856.022. ORGANIZATIONAL MEETING OF TEMPORARY
100100 DIRECTORS. As soon as practicable after all the temporary
101101 directors have qualified under Section 36.055, Water Code, a
102102 majority of the temporary directors shall convene the
103103 organizational meeting of the district at a location in the
104104 district agreeable to a majority of the directors. If an agreement
105105 on location cannot be reached, the organizational meeting shall be
106106 at the Pilot Point High School in Denton County.
107107 Sec. 8856.023. INITIAL PERMANENT DIRECTORS; INITIAL TERMS.
108108 (a) If the creation of the district is confirmed under Section
109109 8856.004, the temporary directors from the counties that are
110110 included in the district become the initial permanent directors.
111111 (b) If the Commissioners Courts of Collin, Cooke, and Denton
112112 Counties confirm the inclusion of those counties in the district,
113113 the three directors appointed from each county shall draw lots as
114114 follows to determine:
115115 (1) for Denton and Cooke Counties, which director's
116116 term expires June 1, 2011, and which two directors' terms expire
117117 June 1, 2013; and
118118 (2) for Collin County, which two directors' terms
119119 expire June 1, 2011, and which director's term expires June 1, 2013.
120120 (c) If the commissioners courts of only two of the counties
121121 confirm the inclusion of those counties in the district, the three
122122 directors appointed from each county shall draw lots as follows to
123123 determine:
124124 (1) for the first county to confirm, which director's
125125 term expires June 1, 2011, and which two directors' terms expire
126126 June 1, 2013; and
127127 (2) for the second county to confirm, which two
128128 directors' terms expire June 1, 2011, and which director's term
129129 expires June 1, 2013.
130130 Sec. 8856.024. EXPIRATION OF SUBCHAPTER. This subchapter
131131 expires September 1, 2011.
132132 [Sections 8856.025-8856.050 reserved for expansion]
133133 SUBCHAPTER B. BOARD OF DIRECTORS
134134 Sec. 8856.051. GOVERNING BODY; TERMS. (a) The district is
135135 governed by a board of six or nine directors appointed as provided
136136 by this section.
137137 (b) If the Commissioners Courts of Collin, Cooke, and Denton
138138 Counties confirm the inclusion of those counties in the district,
139139 nine directors shall be appointed as follows:
140140 (1) the Collin County Commissioners Court shall
141141 appoint three directors;
142142 (2) the Cooke County Commissioners Court shall appoint
143143 three directors; and
144144 (3) the Denton County Commissioners Court shall
145145 appoint three directors.
146146 (c) If the commissioners courts of only two of the counties
147147 confirm the inclusion of those counties in the district, the
148148 commissioners court of each of those counties shall appoint three
149149 directors.
150150 (d) The commissioners court of each appointing county shall
151151 appoint two of the three directors from that county as follows:
152152 (1) one director from a slate of not more than three
153153 nominees submitted by the largest municipal groundwater producer in
154154 the county; and
155155 (2) one director from a slate of not more than three
156156 nominees submitted by the other groundwater producers in that
157157 county.
158158 (e) Directors serve staggered four-year terms, with the
159159 term of one or two directors from each appointing county expiring on
160160 June 1 of each odd-numbered year.
161161 (f) A director may serve multiple consecutive terms.
162162 (g) A position on the board may not be construed to be a
163163 civil office of emolument for any purpose, including a purpose
164164 described by Section 40, Article XVI, Texas Constitution.
165165 (h) A person who qualifies to serve on the board may serve as
166166 a director and participate in all votes relating to the business of
167167 the district regardless of any common law doctrine of
168168 incompatibility. Section 36.051, Water Code, does not apply to the
169169 district.
170170 Sec. 8856.052. DIRECTOR ELIGIBILITY; QUALIFICATION.
171171 (a) To be eligible to serve as a director, a person must be a
172172 registered voter in the appointing county.
173173 (b) Each director must qualify to serve in the manner
174174 provided by Section 36.055, Water Code.
175175 Sec. 8856.053. VACANCIES. If a vacancy occurs on the board,
176176 the commissioners court that appointed the director who vacated the
177177 office shall appoint a person to fill the vacancy in a manner that
178178 meets the representational requirements of Section 8856.051.
179179 Sec. 8856.054. COMPENSATION; REIMBURSEMENT.
180180 (a) Notwithstanding Sections 36.060(a) and (d), Water Code, a
181181 director may not receive compensation for performing the duties of
182182 director.
183183 (b) A director is entitled to reimbursement of actual
184184 expenses reasonably and necessarily incurred while engaging in
185185 activities on behalf of the district.
186186 Sec. 8856.055. BOARD CHAIR. The board shall select one of
187187 its members to serve as the chair for a two-year term. The position
188188 of chair must rotate among the counties in the district every two
189189 years in alphabetical order by county.
190190 [Sections 8856.056-8856.100 reserved for expansion]
191191 SUBCHAPTER C. POWERS AND DUTIES
192192 Sec. 8856.101. GROUNDWATER CONSERVATION DISTRICT POWERS
193193 AND DUTIES. Except as provided by this chapter, the district has
194194 the powers and duties provided by the general law of this state,
195195 including Chapter 36, Water Code, applicable to groundwater
196196 conservation districts created under Section 59, Article XVI, Texas
197197 Constitution.
198198 Sec. 8856.102. CONTRACTS. The district may enter into a
199199 contract with any person, public or private, for any purpose
200200 authorized by law.
201201 Sec. 8856.103. APPLICABILITY OF DISTRICT REGULATIONS.
202202 Groundwater regulation under this chapter applies to all persons
203203 except as exempted from the requirement to obtain a permit for a
204204 well under Section 36.117, Water Code, or this chapter.
205205 Sec. 8856.104. WELL SPACING RULES; EXEMPTIONS. (a) Except
206206 as provided by Subsection (b), the district shall exempt from the
207207 well spacing requirements adopted by the district any well that is
208208 completed on or before the effective date of those requirements.
209209 (b) The district may provide by rule that a well may lose its
210210 exemption under this section if the well is modified in a manner
211211 that substantially increases the capacity of the well after the
212212 effective date of the well spacing requirements adopted by the
213213 district.
214214 (c) Except as provided by this section and notwithstanding
215215 Section 8856.103, the district may require any well or class of
216216 wells exempt from permitting under Chapter 36, Water Code, to
217217 comply with the well spacing requirements adopted by the district.
218218 The district shall apply well spacing requirements uniformly to any
219219 well or class of wells based on the size or capacity of the well and
220220 without regard to the type of use of the groundwater produced by the
221221 well.
222222 Sec. 8856.105. REGISTRATION AND REPORTING REQUIREMENTS FOR
223223 CERTAIN EXEMPT WELLS. The district may adopt rules that require the
224224 owner or operator of a well or class of wells exempt from permitting
225225 under Section 36.117, Water Code, to register the well with the
226226 district and, except for a well exempt from permitting under
227227 Subsection (b)(1) of that section, to report groundwater
228228 withdrawals from the well using reasonable and appropriate
229229 reporting methods and frequency.
230230 Sec. 8856.106. ENFORCEMENT. (a) The district may enforce
231231 this chapter in the manner provided by Chapter 36, Water Code. In
232232 lieu of a remedy available to the district under Section 36.102,
233233 Water Code, or in addition to those remedies, the district may
234234 impose a fee in addition to a fee assessed under Section 8856.152 on
235235 a person producing groundwater in violation of a rule of the
236236 district, including the failure or refusal to comply with any order
237237 or rule of the district to reduce or cease groundwater usage. The
238238 purpose of a fee authorized under this subsection is to serve as a
239239 disincentive to producing groundwater except as authorized by the
240240 district.
241241 (b) A fee imposed under Subsection (a) may not exceed an
242242 amount equal to 10 times the amount of a fee assessed under Section
243243 8856.152.
244244 Sec. 8856.107. NO EMINENT DOMAIN POWER. The district may
245245 not exercise the power of eminent domain.
246246 [Sections 8856.108-8856.150 reserved for expansion]
247247 SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
248248 Sec. 8856.151. TAXES PROHIBITED. The district may not
249249 impose a tax. Sections 36.020(a) and 36.201-36.204, Water Code, do
250250 not apply to the district.
251251 Sec. 8856.152. DISTRICT REVENUES. (a) The district by
252252 rule, resolution, or order may establish, amend, pledge, encumber,
253253 expend the proceeds from, and assess to any person production fees
254254 based on the amount of groundwater authorized by permit to be
255255 withdrawn from a well or on the amount of water actually withdrawn,
256256 to enable the district to fulfill its purposes and regulatory
257257 functions as provided by this chapter. The district may use
258258 revenues generated by fees it assesses for any lawful purpose.
259259 (b) Notwithstanding any provision of general law to the
260260 contrary, a fee authorized by Subsection (a) may not exceed:
261261 (1) $1 per acre-foot annually for groundwater used for
262262 agricultural purposes; or
263263 (2) 30 cents per thousand gallons annually for
264264 groundwater used for nonagricultural purposes.
265265 (c) Notwithstanding any provision of general law or this
266266 chapter to the contrary, if any, the district may assess a
267267 production fee under this section for groundwater produced from a
268268 well or class of wells exempt from permitting under Section 36.117,
269269 Water Code, except for a well exempted under Subsection (b)(1) of
270270 that section. A production fee assessed by the district under this
271271 subsection must be based on the amount of groundwater actually
272272 withdrawn from the well and may not exceed the amount established by
273273 the district for permitted uses under Subsection (b)(2) of this
274274 section.
275275 (d) Notwithstanding Section 36.1071(f), Water Code, the
276276 district by rule, resolution, or order before the adoption of its
277277 management plan may:
278278 (1) establish, assess, and enforce the collection of
279279 production fees under this section; and
280280 (2) establish and enforce metering and reporting
281281 requirements, except for a well exempt from permitting under
282282 Section 36.117(b)(1), Water Code.
283283 (e) The district by rule may establish a temporary or
284284 permanent discounted fee rate for persons who prepay production
285285 fees to the district under this section on or before the dates
286286 established by district rule.
287287 (f) The district may not charge an export fee to a producer
288288 of groundwater withdrawn from a well in the district who
289289 distributes the water to any part of the territory under the
290290 provider's certificate of public convenience and necessity even if
291291 the territory is outside the district's boundaries.
292292 SECTION 2. (a) The legal notice of the intention to
293293 introduce this Act, setting forth the general substance of this
294294 Act, has been published as provided by law, and the notice and a
295295 copy of this Act have been furnished to all persons, agencies,
296296 officials, or entities to which they are required to be furnished
297297 under Section 59, Article XVI, Texas Constitution, and Chapter 313,
298298 Government Code.
299299 (b) The governor has submitted the notice and Act to the
300300 Texas Commission on Environmental Quality.
301301 (c) The Texas Commission on Environmental Quality has filed
302302 its recommendations relating to this Act with the governor,
303303 lieutenant governor, and speaker of the house of representatives
304304 within the required time.
305305 (d) All requirements of the constitution and laws of this
306306 state and the rules and procedures of the legislature with respect
307307 to the notice, introduction, and passage of this Act are fulfilled
308308 and accomplished.
309309 SECTION 3. This Act takes effect immediately if it receives
310310 a vote of two-thirds of all the members elected to each house, as
311311 provided by Section 39, Article III, Texas Constitution. If this
312312 Act does not receive the vote necessary for immediate effect, this
313313 Act takes effect September 1, 2009.
314314 ______________________________ ______________________________
315315 President of the Senate Speaker of the House
316316 I hereby certify that S.B. No. 2497 passed the Senate on
317317 April 30, 2009, by the following vote: Yeas 31, Nays 0.
318318 ______________________________
319319 Secretary of the Senate
320320 I hereby certify that S.B. No. 2497 passed the House on
321321 May 19, 2009, by the following vote: Yeas 145, Nays 0, one
322322 present not voting.
323323 ______________________________
324324 Chief Clerk of the House
325325 Approved:
326326 ______________________________
327327 Date
328328 ______________________________
329329 Governor