By: Gallego (Senate Sponsor - Uresti) H.B. No. 2859
(In the Senate - Received from the House April 27, 2011;
April 28, 2011, read first time and referred to Committee on
Natural Resources; May 11, 2011, reported favorably by the
following vote: Yeas 10, Nays 0; May 11, 2011, sent to printer.)
A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Terrell County Groundwater
Conservation District; providing authority to impose a tax and
issue bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle H, Title 6, Special District Local Laws
Code, is amended by adding Chapter 8837 to read as follows:
CHAPTER 8837. TERRELL COUNTY GROUNDWATER
CONSERVATION DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8837.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "Commissioners court" means the Terrell County
Commissioners Court.
(3) "Director" means a member of the board.
(4) "District" means the Terrell County Groundwater
Conservation District.
Sec. 8837.002. NATURE OF DISTRICT. The district is a
groundwater conservation district in Terrell County created under
and essential to accomplish the purposes of Section 59, Article
XVI, Texas Constitution.
Sec. 8837.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8837.022 before December 31, 2012:
(1) the district is dissolved December 31, 2012,
except that:
(A) any debts incurred shall be paid;
(B) any assets that remain after the payment of
debts shall be transferred to Terrell County; and
(C) the organization of the district shall be
maintained until all debts are paid and remaining assets are
transferred; and
(2) this chapter expires September 1, 2016.
Sec. 8837.004. INITIAL DISTRICT TERRITORY. The initial
boundaries of the district are coextensive with the boundaries of
Terrell County, Texas.
Sec. 8837.005. DISTRICT NAME CHANGE. The board may change
the district's name when the district annexes territory.
Sec. 8837.006. APPLICABILITY OF OTHER GROUNDWATER
CONSERVATION DISTRICT LAW. (a) Except as otherwise provided by
this chapter, Chapter 36, Water Code, applies to the district.
(b) Section 36.121, Water Code, does not apply to the
district.
[Sections 8837.007-8837.020 reserved for expansion]
SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8837.021. APPOINTMENT OF INITIAL DIRECTORS; TERMS.
(a) Not later than the 45th day after the effective date of the Act
enacting this chapter, the commissioners court shall appoint five
initial directors in a manner that meets the representational
requirements of Section 8837.051.
(b) Except as provided by Section 8837.003, and
notwithstanding Section 8837.053, one director representing urban
interests and two directors representing agricultural interests
shall be appointed to terms that expire April 1, 2013. The other
two directors shall be appointed to terms that expire April 1, 2015.
Sec. 8837.022. CONFIRMATION ELECTION. (a) The initial
directors shall hold an election to confirm the creation of the
district.
(b) Section 41.001(a), Election Code, does not apply to an
election held under this section.
(c) Except as provided by this section, a confirmation
election must be conducted as provided by Sections 36.017(b)-(i),
Water Code, and the Election Code. The provision of Section
36.017(d), Water Code, relating to the election of directors does
not apply to an election under this section.
Sec. 8837.023. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2016.
[Sections 8837.024-8837.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8837.051. COMPOSITION OF BOARD. (a) The district is
governed by a board of five directors appointed by the
commissioners court.
(b) Two directors must represent urban interests in the
district and three must represent agricultural interests in the
district.
Sec. 8837.052. TERMS OF DIRECTORS. (a) Directors serve
staggered four-year terms, with two or three directors' terms
expiring April 1 of each odd-numbered year.
(b) A director may serve consecutive terms.
(c) The commissioners court shall appoint a director to
succeed a serving director on or before the date the serving
director's term expires.
Sec. 8837.053. VACANCIES. If there is a vacancy on the
board, the commissioners court shall appoint a person to fill the
vacancy for the remainder of the term in a manner that meets the
representational requirements of Section 8837.051.
Sec. 8837.054. COMPENSATION. (a) Sections 36.060(a), (b),
and (d), Water Code, do not apply to the district.
(b) A director is entitled to receive compensation of not
more than $50 a day for each day the director actually spends
performing the duties of a director. The compensation may not
exceed $3,000 a year.
(c) The board may authorize a director to receive
reimbursement for the director's reasonable expenses incurred
while engaging in activities on behalf of the board.
[Sections 8837.055-8837.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 8837.101. GENERAL POWERS. Except as otherwise
provided by this chapter, the district has all of the rights,
powers, privileges, functions, and duties provided by the general
law of this state applicable to groundwater conservation districts
created under Section 59, Article XVI, Texas Constitution.
Sec. 8837.102. PROHIBITION ON DISTRICT PURCHASE, SALE,
TRANSPORT, OR DISTRIBUTION OF WATER. The district may not
purchase, sell, transport, or distribute surface water or
groundwater for any purpose.
Sec. 8837.103. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
[Sections 8837.104-8837.150 reserved for expansion]
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8837.151. LIMITATION ON TAXES. The district may not
impose ad valorem taxes at a rate that exceeds 1.5 cents on each
$100 valuation of taxable property in the district.
Sec. 8837.152. FEES. (a) The board by rule may impose
reasonable fees on each well:
(1) for which a permit is issued by the district; and
(2) that is not exempt from district regulation.
(b) A production fee may be based on:
(1) the size of column pipe used by the well; or
(2) the amount of water actually withdrawn from the
well, or the amount authorized or anticipated to be withdrawn.
(c) The board shall base the initial production fee on the
criteria listed in Subsection (b)(2). The initial production fee:
(1) may not exceed:
(A) 25 cents per acre-foot for water used for
agricultural irrigation; or
(B) 4.25 cents per thousand gallons for water
used for any other purpose; and
(2) may be increased at a cumulative rate not to exceed
three percent per year.
(d) In addition to the production fee authorized under this
section, the district may assess an export fee on groundwater from a
well that is produced for transport outside the district.
(e) Fees authorized by this section may be:
(1) assessed annually;
(2) used to pay the cost of district operations; and
(3) used for any other purpose allowed under Chapter
36, Water Code.
Sec. 8837.153. LIMITATION ON INDEBTEDNESS. The district
may issue bonds and notes under Subchapter F, Chapter 36, Water
Code, except that the total indebtedness created by that issuance
may not exceed $500,000 at any time.
SECTION 2. (a) The legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor has submitted the notice and Act to the
Texas Commission on Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this Act with the governor,
lieutenant governor, and speaker of the house of representatives
within the required time.
(d) All requirements of the constitution and laws of this
state and the rules and procedures of the legislature with respect
to the notice, introduction, and passage of this Act are fulfilled
and accomplished.
SECTION 3. This Act takes effect September 1, 2011.
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