82R21017 TJB-F By: Isaac H.B. No. 3620 Substitute the following for H.B. No. 3620: By: Price C.S.H.B. No. 3620 A BILL TO BE ENTITLED AN ACT relating to changes in participation in public utility agencies. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 572.051(1), Local Government Code, is amended to read as follows: (1) "Concurrent ordinance" means an ordinance or resolution adopted under this subchapter by two or more public entities [that relates to the creation or re-creation of a public utility agency]. SECTION 2. Section 572.053, Local Government Code, is amended to read as follows: Sec. 572.053. CHANGES IN PUBLIC ENTITIES PARTICIPATING IN [RE-CREATION OF] PUBLIC UTILITY AGENCY. The public entities that participate in [create] a public utility agency may by concurrent ordinances add [re-create the agency by adding or deleting, or both,] a public entity to, or delete a public entity from, participation in the public utility agency. SECTION 3. Section 572.054, Local Government Code, is amended by amending Subsections (a) and (c) and adding Subsection (a-1) to read as follows: (a) The governing body of each public entity that participates in the creation of a public utility agency shall publish notice of its intention to create the [a public utility] agency in a newspaper of general circulation in the county in which the entity is located [domiciled]. (a-1) The governing body of a public entity that proposes to be added to an existing public utility agency shall publish notice of its intention to be added to the agency in a newspaper of general circulation in the county in which the entity is located. (c) The notice must state: (1) the date, time, and location at which the governing body proposes to adopt the concurrent ordinance; and (2) that a public utility agency will be created or a public entity will be added to an agency on the date on which the concurrent ordinances take effect, as applicable. SECTION 4. Section 572.055, Local Government Code, is amended to read as follows: Sec. 572.055. CONTENTS OF CONCURRENT ORDINANCE. A concurrent ordinance creating a public utility agency under Section 572.052 or changing the public entities participating in [re-creating] an agency under Section 572.053 must, as adopted by each public entity: (1) contain identical provisions; (2) define the boundaries of the agency to include the territory within the boundaries of each participating public entity as the boundaries are changed periodically; (3) designate the name of the agency; and (4) designate the number, place, initial term, and manner of appointment of directors in accordance with Section 572.057. SECTION 5. Section 572.056(a), Local Government Code, is amended to read as follows: (a) If, before the date set for the adoption of a concurrent ordinance that creates a public utility agency or adds a public entity to an agency, 10 percent of the registered voters of a public entity required to publish notice of the creation or addition present a petition to the governing body of the entity requesting that a referendum be called, the ordinance may not take effect unless a majority of the qualified voters of the entity voting in the election have approved the ordinance. SECTION 6. Sections 572.053, 572.054, 572.055, and 572.056, Local Government Code, as amended by this Act, apply only to a public entity that participates in a public utility agency created or changed on or after the effective date of this Act. SECTION 7. 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 September 1, 2011.