1 | 1 | | 83R19884 JXC-F |
---|
2 | 2 | | By: Fraser S.B. No. 447 |
---|
3 | 3 | | (King of Zavala) |
---|
4 | 4 | | Substitute the following for S.B. No. 447: No. |
---|
5 | 5 | | |
---|
6 | 6 | | |
---|
7 | 7 | | A BILL TO BE ENTITLED |
---|
8 | 8 | | AN ACT |
---|
9 | 9 | | relating to annual and special meetings of and election procedures |
---|
10 | 10 | | for members of boards of directors for water supply or sewer service |
---|
11 | 11 | | corporations. |
---|
12 | 12 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
---|
13 | 13 | | SECTION 1. Section 67.0052, Water Code, is amended by |
---|
14 | 14 | | amending Subsections (a) and (b) and adding Subsection (d) to read |
---|
15 | 15 | | as follows: |
---|
16 | 16 | | (a) To be listed on the ballot as a candidate for a |
---|
17 | 17 | | director's position, a person must file an application with the |
---|
18 | 18 | | corporation that includes: |
---|
19 | 19 | | (1) the director's position sought, including any |
---|
20 | 20 | | position number or other distinguishing number; |
---|
21 | 21 | | (2) if the corporation has 1,500 or more members or |
---|
22 | 22 | | shareholders, a petition[,] signed by [the lesser of] 20 members or |
---|
23 | 23 | | shareholders [or five percent of the members or shareholders,] |
---|
24 | 24 | | requesting that the person's name be placed on the ballot as a |
---|
25 | 25 | | candidate for that position; |
---|
26 | 26 | | (3) the person's written consent to serve, if elected; |
---|
27 | 27 | | (4) biographical information about the person; and |
---|
28 | 28 | | (5) a statement of the person's qualifications, |
---|
29 | 29 | | including a statement that the person has the qualifications |
---|
30 | 30 | | prescribed by Section 67.0051. |
---|
31 | 31 | | (b) The application must be filed with the corporation not |
---|
32 | 32 | | later than the 45th day before the date of the annual meeting. The |
---|
33 | 33 | | corporation shall notify the members or shareholders of the |
---|
34 | 34 | | application deadline not later than the 30th day before the |
---|
35 | 35 | | deadline. |
---|
36 | 36 | | (d) This section applies only to a corporation that provides |
---|
37 | 37 | | retail water or sewer service. |
---|
38 | 38 | | SECTION 2. Section 67.0053, Water Code, is amended by |
---|
39 | 39 | | adding Subsection (c) to read as follows: |
---|
40 | 40 | | (c) This section: |
---|
41 | 41 | | (1) applies only to a corporation that provides retail |
---|
42 | 42 | | water or sewer service; and |
---|
43 | 43 | | (2) does not apply to an election in relation to a |
---|
44 | 44 | | candidate for a director's position for which the board has adopted |
---|
45 | 45 | | a resolution under Section 67.0055. |
---|
46 | 46 | | SECTION 3. Section 67.0054, Water Code, is amended by |
---|
47 | 47 | | amending Subsection (c) and adding Subsection (g) to read as |
---|
48 | 48 | | follows: |
---|
49 | 49 | | (c) For each director's position, the candidate who |
---|
50 | 50 | | receives the highest number of votes or who is the subject of a |
---|
51 | 51 | | resolution described by Section 67.0055 is elected. |
---|
52 | 52 | | (g) This section applies only to a corporation that provides |
---|
53 | 53 | | retail water or sewer service. |
---|
54 | 54 | | SECTION 4. Subchapter A, Chapter 67, Water Code, is amended |
---|
55 | 55 | | by adding Section 67.0055 to read as follows: |
---|
56 | 56 | | Sec. 67.0055. ELECTION OF UNOPPOSED CANDIDATE. (a) This |
---|
57 | 57 | | section applies only to an election for a director's position on a |
---|
58 | 58 | | board of a corporation that provides retail water or sewer service |
---|
59 | 59 | | in which a candidate who is to appear on the ballot for the position |
---|
60 | 60 | | is unopposed. |
---|
61 | 61 | | (b) The board by resolution may declare a candidate elected |
---|
62 | 62 | | to a director's position if the board certifies in writing that the |
---|
63 | 63 | | candidate is unopposed for the position. A copy of the resolution |
---|
64 | 64 | | shall be posted at the corporation's main office. |
---|
65 | 65 | | (c) If a declaration is made under Subsection (b), the |
---|
66 | 66 | | election for that position is not held. |
---|
67 | 67 | | (d) If the election for the unopposed candidate would have |
---|
68 | 68 | | been held with an annual meeting of the members or shareholders of |
---|
69 | 69 | | the corporation, the text of the declaration described by |
---|
70 | 70 | | Subsection (b) shall be read into the record at the annual meeting. |
---|
71 | 71 | | (e) The ballots used at a separate election that is held at |
---|
72 | 72 | | the same time as an election for an unopposed candidate would have |
---|
73 | 73 | | been held shall include after measures or contested races the |
---|
74 | 74 | | position and name of a candidate declared elected under this |
---|
75 | 75 | | section, under the heading "Unopposed Candidates Declared |
---|
76 | 76 | | Elected." |
---|
77 | 77 | | (f) A person may not, by intimidation or by means of |
---|
78 | 78 | | coercion, influence or attempt to influence a person to withdraw as |
---|
79 | 79 | | a candidate or not to file an application for a place on the ballot |
---|
80 | 80 | | so that an election may be canceled. |
---|
81 | 81 | | (g) The board may adopt necessary rules or bylaws to |
---|
82 | 82 | | implement this section, including rules or bylaws to ensure the |
---|
83 | 83 | | fairness, integrity, and openness of the process. |
---|
84 | 84 | | SECTION 5. The heading to Section 67.007, Water Code, is |
---|
85 | 85 | | amended to read as follows: |
---|
86 | 86 | | Sec. 67.007. ANNUAL OR SPECIAL MEETING OF RETAIL |
---|
87 | 87 | | CORPORATION. |
---|
88 | 88 | | SECTION 6. Section 67.007, Water Code, is amended by adding |
---|
89 | 89 | | Subsection (e) to read as follows: |
---|
90 | 90 | | (e) This section applies only to a corporation that provides |
---|
91 | 91 | | retail water or sewer service. |
---|
92 | 92 | | SECTION 7. Subchapter A, Chapter 67, Water Code, is amended |
---|
93 | 93 | | by adding Section 67.0075 to read as follows: |
---|
94 | 94 | | Sec. 67.0075. ANNUAL OR SPECIAL MEETING OF OTHER |
---|
95 | 95 | | CORPORATION. A corporation to which Section 67.007 does not apply |
---|
96 | 96 | | shall comply with the annual meeting and director election |
---|
97 | 97 | | provisions prescribed by Chapter 22, Business Organizations Code. |
---|
98 | 98 | | SECTION 8. The change in law made by this Act applies only |
---|
99 | 99 | | to an annual or special meeting or a director election held on or |
---|
100 | 100 | | after the 75th day after the effective date of this Act. A meeting |
---|
101 | 101 | | or an election held before the 75th day after the effective date of |
---|
102 | 102 | | this Act is governed by the law in effect when the meeting or |
---|
103 | 103 | | election was held, and that law is continued in effect for that |
---|
104 | 104 | | purpose. |
---|
105 | 105 | | SECTION 9. This Act takes effect immediately if it receives |
---|
106 | 106 | | a vote of two-thirds of all the members elected to each house, as |
---|
107 | 107 | | provided by Section 39, Article III, Texas Constitution. If this |
---|
108 | 108 | | Act does not receive the vote necessary for immediate effect, this |
---|
109 | 109 | | Act takes effect September 1, 2013. |
---|