83R3516 SGA-F By: J. Davis of Harris H.B. No. 2987 A BILL TO BE ENTITLED AN ACT relating to certain water districts that do not provide water and sanitary sewer service to certain users in the districts' territory. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Sections 43.0761(a) and (b), Local Government Code, are amended to read as follows: (a) A district existing on September 1, 1997, that, within 10 years after the date of its creation, has not provided water and sanitary sewer utility service from its facilities to all household users in its territory shall: (1) provide water and sanitary sewer utility service from its facilities to all household users in its territory not later than September 1, 1998; or (2) for that part of the district for which the district does not provide water and sanitary sewer utility service, and for which one or more of a municipality or conservation and reclamation district created as a governmental agency and body politic and corporate under Section 59, Article XVI, Texas Constitution, does provide all or part of those services, provide for periodic payments, as described by Subsection (b), by the district to the municipality or governmental agency that provides the services. (b) Payments made under Subsection (a)(2) are operation and maintenance expenses of the district and shall be made at least every three months. The total annual amount of the payments may not exceed the lesser of: (1) the total aggregate annual costs to any [cost to the] municipality or governmental agency of providing the water and sanitary sewer utility service, including both capital and operation and maintenance costs and expenses; or (2) the total annual amount of maintenance and operation taxes and debt service or bond taxes paid to the district by the owners of taxable property within the district that receives water and sanitary sewer utility service from one or more municipalities or governmental agencies [the municipality]. SECTION 2. 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, 2013.