Texas 2015 - 84th Regular

Texas House Bill HB2635 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	84R14077 JXC-F
2	2	By: Kuempel H.B. No. 2635
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the creation and operation of a park and recreation
8	8	district in counties that share a border on the San Marcos River and
9	9	to the authority of the district to collect fees and issue bonds;
10	10	creating a criminal offense and providing penalties.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Subtitle B, Title 10, Local Government Code, is
13	13	amended by adding Chapter 324A to read as follows:
14	14	CHAPTER 324A. PARK AND RECREATION DISTRICTS IN CERTAIN COUNTIES ON
15	15	THE SAN MARCOS RIVER
16	16	SUBCHAPTER A. GENERAL PROVISIONS
17	17	Sec. 324A.001. ELIGIBLE COUNTIES AND TERRITORY. (a) Two
18	18	counties that share a border on the San Marcos River may create a
19	19	district as provided by this chapter in all or part of the counties
20	20	to:
21	21	(1) conserve the natural resources in the district;
22	22	and
23	23	(2) improve the public health, safety, and welfare in
24	24	the district.
25	25	(b) The territory of a district created under this chapter
26	26	must include all of at least one county election precinct on each
27	27	side of the San Marcos River, except that the district territory
28	28	must exclude all territory located in a state park.
29	29	(c) The territory of a district created under this chapter
30	30	may not include territory outside of the creating counties
31	31	initially, but the district may annex territory outside the
32	32	counties under Section 324A.121.
33	33	Sec. 324A.002. DEFINITIONS. (a) In this chapter:
34	34	(1) "Board" means the board of directors of a park and
35	35	recreation district created under this chapter.
36	36	(2) "District" means a park and recreation district
37	37	created under this chapter.
38	38	(3) "Eligible county" means a county described by
39	39	Section 324A.001.
40	40	(4) "Fee" includes a toll or any other charge.
41	41	(b) A reference in this chapter to a county "in which the
42	42	district is located" does not include a county in which the district
43	43	was not located on the date the district was created.
44	44	SUBCHAPTER B. CREATION OF PARK AND RECREATION DISTRICT
45	45	Sec. 324A.021. CREATION ELECTIONS REQUIRED. A district may
46	46	be created under this chapter only if:
47	47	(1) the commissioners court of each eligible county in
48	48	which the proposed district will be located:
49	49	(A) receives a written petition for the creation
50	50	of the district that:
51	51	(i) is signed by a number of the registered
52	52	voters who reside in the county equal to at least five percent of
53	53	the votes received in the county in the most recent gubernatorial
54	54	general election; and
55	55	(ii) includes an accurate description of
56	56	the territory to be included in the district by reference to county
57	57	election precinct boundaries, by metes and bounds, by lot and block
58	58	number if there is a recorded map or plat and survey of the area, or
59	59	by other sufficient legal description; or
60	60	(B) passes a motion favoring creation of the
61	61	district that includes an accurate description of the territory to
62	62	be included in the district by reference to county election
63	63	precinct boundaries, by metes and bounds, by lot and block number if
64	64	there is a recorded map or plat and survey of the area, or by other
65	65	sufficient legal description;
66	66	(2) the commissioners court of each county in which
67	67	the proposed district will be located approves the creation of the
68	68	district after a public hearing held to consider the creation of the
69	69	district; and
70	70	(3) the creation of the district is approved by the
71	71	voters as provided by Section 324A.024.
72	72	Sec. 324A.022. HEARING. (a) A commissioners court of an
73	73	eligible county that receives a petition or passes a motion under
74	74	Section 324A.021 shall hold a hearing on the creation of the
75	75	district.
76	76	(b) The commissioners court shall set a date for the hearing
77	77	that is after the 20th day but on or before the 40th day after the
78	78	date the petition is received or the passage of the motion, as
79	79	applicable, under Section 324A.021.
80	80	(c) The commissioners court shall publish in a newspaper of
81	81	general circulation in the county notice of the petition or motion
82	82	and the hearing date.
83	83	(d) The notice must be published at least once each week for
84	84	a period of two weeks before the hearing date.
85	85	(e) At the hearing, the commissioners court shall hear all
86	86	arguments for and against the creation of the district and shall
87	87	take evidence as in civil cases in the county court.
88	88	(f) The hearing may be adjourned from time to time on good
89	89	cause shown.
90	90	Sec. 324A.023. ORDER OF ELECTION. (a) After holding a
91	91	hearing under Section 324A.022, the commissioners court may approve
92	92	the creation of the district and order an election on the issue of
93	93	the creation of the district only if the court finds that:
94	94	(1) the petition, if any, was signed by the required
95	95	number of registered voters in the county;
96	96	(2) the district will serve the purposes prescribed by
97	97	Section 324A.001; and
98	98	(3) the territory of the proposed district includes at
99	99	least one county election precinct in an eligible county on each
100	100	side of the San Marcos River.
101	101	(b) The commissioners court's election order must provide
102	102	for the voters of the territory of the proposed district who reside
103	103	in the county to vote for or against a proposition to approve the
104	104	creation of the district.
105	105	(c) A commissioners court that orders an election under this
106	106	section shall notify the commissioners court of the other eligible
107	107	county in which the proposed district will be located of the order.
108	108	Sec. 324A.024. ELECTION; RESULT. (a) The election must be
109	109	held on the date of the first regularly scheduled countywide
110	110	election that follows the date of the order of the election and for
111	111	which there is sufficient time to comply with other requirements of
112	112	law.
113	113	(b) The commissioners courts of the counties in which the
114	114	proposed district will be located are not required to hold their
115	115	respective creation elections on the same day.
116	116	(c) The returns on the election shall be certified and the
117	117	results declared in the same manner as provided for other county
118	118	elections, except as provided by this section.
119	119	(d) A commissioners court that holds an election under this
120	120	section shall notify the commissioners court of the other county in
121	121	which the district is proposed to be located of the results of the
122	122	election, including the number of voters who voted for the
123	123	proposition and the number of voters who voted against the
124	124	proposition.
125	125	(e) After an election is held in the proposed district
126	126	territory of each eligible county, the two commissioners courts
127	127	jointly shall determine whether the majority of the voters voting
128	128	in the proposed district as a whole voted for or against the
129	129	proposition to approve the creation of the district. The county
130	130	commissioners courts jointly shall declare the district created if
131	131	a majority of the voters who voted in the proposed district as a
132	132	whole voted for the proposition. Each commissioners court shall
133	133	enter the declaration in the court's minutes at the court's next
134	134	meeting, or if the majority of the voters who voted in the proposed
135	135	district as a whole voted against the proposition, each court shall
136	136	enter in the court's minutes that the voters did not approve the
137	137	creation of the district.
138	138	Sec. 324A.025. COSTS OF CREATION AND ORGANIZATION. The
139	139	costs necessarily incurred in the creation and organization of the
140	140	district may be paid from the district's revenue from any source.
141	141	SUBCHAPTER C. BOARD OF DIRECTORS OF PARK AND RECREATION DISTRICT
142	142	Sec. 324A.041. APPOINTMENT OF BOARD MEMBERS; TERMS. (a) A
143	143	district is governed by a board composed of seven members.
144	144	(b) The commissioners court of each county in which the
145	145	district is located shall appoint three members of the board.
146	146	(c) A municipality in the district may nominate a candidate
147	147	for the seventh board member position. The six board members
148	148	appointed under Subsection (b) shall select a seventh board member
149	149	from among the nominations or, if the board receives no
150	150	nominations, shall select a seventh board member.
151	151	(d) A commissioners court or the board shall file with the
152	152	county clerk of each county in which the district is located a
153	153	certificate of the appointment of each board member appointed by
154	154	the court or board. The certificate is conclusive evidence of the
155	155	proper appointment of the board member.
156	156	(e) Three members of the initial board serve one-year terms
157	157	and four members serve two-year terms. The members shall draw lots
158	158	to determine which members serve the one-year terms. Thereafter,
159	159	each board member is appointed for a term of two years from the date
160	160	of the board member's appointment.
161	161	(f) A board member may not serve more than four consecutive
162	162	full terms.
163	163	Sec. 324A.042. QUALIFICATIONS. (a) A board member must:
164	164	(1) be a citizen of the United States; and
165	165	(2) reside, own property, or own a business in the
166	166	district.
167	167	(b) A board member may not be an officer or employee of a
168	168	county in which the district is located or of a municipality in the
169	169	district.
170	170	(c) Not more than two board members may be owners,
171	171	operators, or employees of the same type of business.
172	172	Sec. 324A.043. VACANCIES. A vacancy that occurs on the
173	173	board shall be filled for the unexpired term by appointment in the
174	174	manner in which the vacating board member was appointed.
175	175	Sec. 324A.044. OATH AND BOND. (a) Not later than the 30th
176	176	day after the date a board member is appointed, the member must
177	177	qualify by taking the official oath and by filing a good and
178	178	sufficient bond with the district.
179	179	(b) The bond must be:
180	180	(1) payable to the district;
181	181	(2) payable in an amount prescribed by the district of
182	182	$5,000 or more; and
183	183	(3) conditioned that the board member will faithfully
184	184	perform the duties of a board member, including the proper handling
185	185	of all money that comes into the board member's hands in the board
186	186	member's official capacity.
187	187	Sec. 324A.045. COMPENSATION AND REIMBURSEMENT. A board
188	188	member is not entitled to compensation but is entitled to
189	189	reimbursement for necessary expenses, including travel expenses,
190	190	incurred in performing the duties of a board member. A board
191	191	member's reimbursement for necessary expenses in excess of $250
192	192	must be approved by the board. A board member's approved expense
193	193	account shall be paid in due time by the board's check or warrant.
194	194	Sec. 324A.046. QUORUM; MAJORITY VOTE. (a) Five board
195	195	members constitute a quorum of the board.
196	196	(b) An affirmative vote of a majority of the membership of
197	197	the board is required for board action.
198	198	Sec. 324A.047. APPROVAL OF COMMISSIONERS COURT. (a) The
199	199	board is subject to the supervision of the commissioners courts of
200	200	the counties in which the district is located in the exercise of all
201	201	the board's rights, powers, and privileges and in the performance
202	202	of the board's duties.
203	203	(b) Not later than the 30th day after the date the board
204	204	acts, the commissioners courts jointly may approve or disapprove
205	205	the board's action. If the courts disapprove the act, the act is
206	206	ineffective. Otherwise, the act becomes effective on the earlier
207	207	of the date the commissioners courts approve the act or the 31st day
208	208	after the date the board acted.
209	209	Sec. 324A.048. ORGANIZATION; MEETINGS. (a) Annually, the
210	210	board shall elect a president, a vice president, a secretary, and a
211	211	treasurer.
212	212	(b) The offices of secretary and treasurer may be held by
213	213	the same person. If either the secretary or the treasurer is absent
214	214	or unavailable, the president may appoint another board member to
215	215	act for and perform the duties of the absent or unavailable officer.
216	216	(c) The board shall set times for and hold regular meetings.
217	217	On the request of two or more board members, the board may hold a
218	218	special meeting at other times as necessary.
219	219	(d) The board shall hold meetings at a public place in a
220	220	county in which the district is located.
221	221	SUBCHAPTER D. POWERS AND DUTIES
222	222	Sec. 324A.061. DEPOSITORIES AND DISBURSEMENTS. (a) Money
223	223	and other funds belonging to or under control of the board are
224	224	public funds.
225	225	(b) The board shall select depositories for the money.
226	226	(c) A warrant or check for the withdrawal of money must be
227	227	signed by two persons authorized to sign a warrant or check by
228	228	resolution entered in the board's minutes.
229	229	Sec. 324A.062. ADMINISTRATION. (a) The board may employ a
230	230	manager and a secretary.
231	231	(b) The board shall determine the qualifications and set the
232	232	duties of employees.
233	233	(c) The board may call on the county attorney, district
234	234	attorney, or criminal district attorney of a county in which the
235	235	district is located for legal services the board requires. The
236	236	board may contract for and compensate the board's own legal staff.
237	237	(d) The district may maintain and operate an office.
238	238	(e) The board may acquire insurance for the district.
239	239	Sec. 324A.063. SEAL. The board shall adopt a seal to place
240	240	on each lease, deed, or other instrument usually executed under
241	241	seal and on other instruments as the board requires.
242	242	Sec. 324A.064. CONTRACTS. (a) The board may enter into any
243	243	contract that the board considers necessary or convenient to carry
244	244	out the purposes and powers granted by this chapter.
245	245	(b) If the contract is for an amount less than or equal to
246	246	the amount prescribed by Section 262.023, the board may enter into
247	247	the contract without advertisement. If the contract is for more
248	248	than that amount, the contract is subject to the bidding provisions
249	249	applicable to county contracts.
250	250	(c) To be effective, a contract must be:
251	251	(1) approved by board resolution;
252	252	(2) executed by the president or vice president; and
253	253	(3) attested by the secretary or treasurer.
254	254	Sec. 324A.065. SUITS. The board may sue and be sued in the
255	255	board's own name.
256	256	Sec. 324A.066. DISTRICT RULES AND ORDINANCES; CRIMINAL
257	257	PENALTY. (a) The board may adopt reasonable rules and ordinances
258	258	applicable to:
259	259	(1) the administration, enforcement, and collection
260	260	of district fees and the issuance, suspension, and cancellation of
261	261	revenue permits;
262	262	(2) littering and litter abatement on public water in
263	263	the district, including the possession and disposition of plastic
264	264	and glass containers;
265	265	(3) activities that endanger the health and safety of
266	266	persons or property on public water in the district, including the
267	267	possession or consumption of alcohol by minors, subject to the
268	268	public's paramount right to navigate inland water; and
269	269	(4) conservation of the district's natural resources
270	270	and regulation of activities affecting the district's natural
271	271	resources, including hunting, fishing, boating, camping, tubing,
272	272	and swimming.
273	273	(b) A program adopted under this section may require a
274	274	revenue permit holder to participate in a litter abatement program
275	275	where the permit holder issues a trash bag to a customer.
276	276	(c) A person who violates a rule or ordinance adopted under
277	277	this section commits an offense. An offense under this subsection
278	278	is a Class C misdemeanor punishable by:
279	279	(1) a fine not to exceed $500 for a violation of a rule
280	280	or ordinance not described by Subsection (a)(2); and
281	281	(2) a fine not to exceed $1,000 for a violation of a
282	282	rule or ordinance described by Subsection (a)(2).
283	283	Sec. 324A.067. ENFORCEMENT. (a) A police officer,
284	284	constable, sheriff, or other law enforcement officer with
285	285	jurisdiction in a county in which the district is located may arrest
286	286	a person who violates a district rule or ordinance, including a
287	287	revenue permit requirement, in the officer's, constable's, or
288	288	sheriff's county and carry out the prosecution of that person in the
289	289	proper court.
290	290	(b) The county attorney, district attorney, or criminal
291	291	district attorney of a county in which the district is located, or
292	292	an attorney retained by the board for this purpose, may bring an
293	293	action to enjoin a violation of a district rule or ordinance, and if
294	294	the board authorizes, may seek damages and attorney's fees based on
295	295	the violation, if the violation involves:
296	296	(1) the providing or offering of a rental or service
297	297	for which collection of a fee is required under Section 324A.092;
298	298	(2) the failure of a revenue permit holder to remit a
299	299	fee imposed under Section 324A.092 if the fee has been due for more
300	300	than 60 days; or
301	301	(3) the violation by a revenue permit holder of a
302	302	district rule or ordinance relating to an activity that endangers
303	303	the health or safety of a person or property in the district.
304	304	Sec. 324A.068. BOND. If the board brings an action to
305	305	enforce this subchapter or enjoin a violation of a district rule or
306	306	ordinance adopted under this subchapter, the board is not required
307	307	to post a bond.
308	308	Sec. 324A.069. HEALTH AND SAFETY SERVICES. The district
309	309	may provide for fire protection, law enforcement, or emergency
310	310	medical services in the district.
311	311	Sec. 324A.070. WATER QUALITY. The district may conduct a
312	312	program to improve water quality and sanitary conditions in the
313	313	district.
314	314	Sec. 324A.071. GRANTS AND GRATUITIES. To promote or
315	315	accomplish a purpose of this chapter, the board may:
316	316	(1) accept grants or gratuities in any form from any
317	317	source, including the United States government, this state, a state
318	318	or federal agency, a private or public corporation, or any other
319	319	person; or
320	320	(2) accept donations of money or other property.
321	321	Sec. 324A.072. DISTRICT AS TRUSTEE. To promote or
322	322	accomplish a purpose of this chapter, the district may act as
323	323	trustee of land, money, or other property.
324	324	Sec. 324A.073. MANAGEMENT PLAN; ANNUAL BUDGET; FILING. (a)
325	325	The board shall develop and approve a three-year master plan for the
326	326	management of the district.
327	327	(b) The board shall annually review and revise the master
328	328	plan during the budget process and shall file a copy of the master
329	329	plan and revisions with the county clerk of each county in which the
330	330	district is located.
331	331	(c) The board shall annually develop and approve a one-year
332	332	budget that must include the suggested revisions and additions to
333	333	the master plan.
334	334	(d) The board shall submit the annual budget to the
335	335	commissioners court of each county in which the district is located
336	336	for approval and shall file a copy with the county clerk.
337	337	Sec. 324A.074. NO EMINENT DOMAIN POWER. The district may
338	338	not exercise the power of eminent domain.
339	339	SUBCHAPTER E. FEES; BONDS; FINANCIAL PROVISIONS
340	340	Sec. 324A.091. NO AD VALOREM TAXES. The district may not
341	341	impose an ad valorem tax.
342	342	Sec. 324A.092. FEES FOR EQUIPMENT RENTALS AND SHUTTLE
343	343	SERVICE; REVENUE PERMITS; CRIMINAL PENALTY. (a) The district may
344	344	collect fees and issue revenue permits under this section in the
345	345	district to carry out any purposes prescribed by this chapter and to
346	346	pay the obligations and expenses of the district.
347	347	(b) The board by resolution may impose fees for the rental
348	348	of water-oriented recreational equipment intended for use on a
349	349	river in the district, including a canoe, tube, raft, boat, or
350	350	kayak, or for the provision of shuttle service in, or into or out
351	351	of, the district, including a service for river ingress and egress.
352	352	The board may impose different fee rates for different types of
353	353	rental equipment or services, except that a fee may not be imposed
354	354	at a rate greater than $3 per person:
355	355	(1) for each rental of water-oriented recreational
356	356	equipment; or
357	357	(2) if the person does not rent equipment described by
358	358	Subdivision (1), for each person using shuttle service.
359	359	(c) A fee imposed under this section is payable by the
360	360	purchaser or consumer of the item or service subject to the fee
361	361	except that if the person responsible for collecting the fee does
362	362	not comply with this chapter by collecting and remitting the fee to
363	363	the district, the person responsible for collecting the fee is
364	364	liable for the fee.
365	365	(d) A person who does not hold a revenue permit issued by the
366	366	board commits an offense if the person provides or offers for
367	367	compensation a rental or service if the price paid for the rental or
368	368	service is subject to a fee under this section. Each provision or
369	369	offer for compensation of the rental or service is a separate
370	370	offense. An offense under this subsection is a Class C misdemeanor,
371	371	unless it is shown at the trial of the defendant that the defendant
372	372	has previously been convicted of an offense under this subsection,
373	373	in which case the offense is a Class B misdemeanor.
374	374	(e) A person who holds a revenue permit issued by the
375	375	district shall collect the fees imposed under this section and
376	376	shall report and remit the collected fees to the district as the
377	377	district requires.
378	378	(f) If a revenue permit holder remits fees imposed under
379	379	this section after the due date but on or before the 30th day after
380	380	the due date, the revenue permit holder shall pay the district a
381	381	penalty of five percent of the amount of fees due. If the revenue
382	382	permit holder remits the fees after the 30th day after the due date,
383	383	the revenue permit holder shall pay the district a penalty of 10
384	384	percent of the amount of fees due.
385	385	(g) Delinquent fees and accrued penalties draw interest at
386	386	the rate of 10 percent a year beginning on the 60th day after the
387	387	date the fees imposed under this section were due.
388	388	(h) If a revenue permit holder does not collect and remit a
389	389	fee imposed under this section, the board may suspend, revoke, or
390	390	cancel the holder's revenue permit and pursue any other remedy the
391	391	district may have to collect the fee under civil or criminal law.
392	392	(i) The board may settle a claim for a penalty or interest
393	393	accrued on a fee imposed under this section if the board finds that
394	394	the revenue permit holder exercised reasonable diligence to comply
395	395	with this chapter.
396	396	(j) In the same manner that this section applies to a person
397	397	who provides or offers a rental or service for compensation in the
398	398	district, this section applies to a person who resides or does
399	399	business outside the district but:
400	400	(1) provides or offers a rental or service for
401	401	compensation in the district; and
402	402	(2) regularly transports customers into or out of the
403	403	district for river or parking access.
404	404	Sec. 324A.093. FEE EXEMPTION. The district may not collect
405	405	a fee on a transaction between a person and an interest operated in
406	406	the district by:
407	407	(1) the United States;
408	408	(2) a state park; or
409	409	(3) a nonprofit youth-oriented organization.
410	410	Sec. 324A.094. REVENUE BOND ELECTION. (a) Revenue bonds
411	411	may not be issued by the district until authorized by a majority
412	412	vote of the district's voters voting at an election called and held
413	413	for that purpose.
414	414	(b) Not later than two years after the date the district is
415	415	declared created under Section 324A.024, the board may order a bond
416	416	election. Regardless of the requirements of Section 324A.047(b),
417	417	the order is not effective unless approved by the commissioners
418	418	court of each county in which the district is located. Except as
419	419	provided by this section, the election shall be held in the manner
420	420	provided by the Election Code.
421	421	(c) At the election, the ballot must be printed to provide
422	422	for voting for or against the issuance of revenue bonds.
423	423	(d) If a majority of the votes cast at the election favor the
424	424	issuance of the bonds, the bonds may be issued by the board. If a
425	425	majority of the votes cast at the election do not favor issuance of
426	426	the bonds, the bonds may not be issued.
427	427	Sec. 324A.095. REVENUE BONDS. (a) The district may issue
428	428	not more than $300,000 in revenue bonds and may issue the bonds only
429	429	to provide funds for the initial operation of the district. The
430	430	bonds must be approved at an election called under Section
431	431	324A.094.
432	432	(b) The district may make the bonds payable out of any
433	433	revenue of the district.
434	434	(c) The bonds must be:
435	435	(1) issued in the name of the district;
436	436	(2) signed by the county judge of each county in which
437	437	the district is located; and
438	438	(3) attested by the county clerk and ex officio clerk
439	439	of the commissioners court of each county in which the district is
440	440	located.
441	441	(d) The seal of the commissioners court of each county in
442	442	which the district is located must be impressed on the bonds.
443	443	(e) The bonds must mature serially or otherwise in not more
444	444	than 40 years and may be sold at a price and under terms determined
445	445	by the board to be the most advantageous reasonably obtainable.
446	446	(f) The resolution authorizing the issuance of the bonds may
447	447	contain provisions for redemption of the bonds before their
448	448	respective maturity dates at prices and times prescribed in the
449	449	resolution. Except for rights of redemption expressly reserved in
450	450	the resolution and in the revenue bonds, the bonds are not subject
451	451	to redemption before maturity.
452	452	(g) The bonds may be made payable at times and at places,
453	453	inside or outside the state, prescribed in the resolution.
454	454	(h) The bonds may be made registrable as to principal or as
455	455	to both principal and interest.
456	456	Sec. 324A.096. BOND ANTICIPATION NOTES. (a) If funds are
457	457	not available to pay the principal of or interest on bonds issued by
458	458	the district or to pay other obligations of the district, the board
459	459	may declare an emergency and may issue negotiable bond anticipation
460	460	notes to borrow the money needed. The bond anticipation notes may
461	461	bear interest at a rate that does not exceed the maximum rate
462	462	provided by Chapter 1204, Government Code, and must mature within
463	463	one year after their date of issuance.
464	464	(b) Bond anticipation notes may also be issued for any
465	465	purpose for which bonds of the district have been voted or to refund
466	466	previously issued bond anticipation notes.
467	467	(c) Bond anticipation notes issued under this section must
468	468	be authorized by resolution of the board, subject to approval by the
469	469	commissioners courts under Section 324A.047, and must be executed
470	470	by the president of the board and attested by the secretary of the
471	471	board.
472	472	Sec. 324A.097. REFUNDING BONDS. The district may issue
473	473	refunding bonds under Chapter 1207, Government Code.
474	474	Sec. 324A.098. REPAYMENT OF BONDS THROUGH FEE REVENUE. (a)
475	475	This section applies only to fees charged by the district while the
476	476	district has outstanding bonds or interest.
477	477	(b) The board shall charge or require the payment of fees
478	478	while the principal of or interest on district bonds is
479	479	outstanding.
480	480	(c) The board shall set the fees in amounts that will yield
481	481	revenues at least sufficient to pay district expenses, to comply
482	482	with the covenants in the bond resolution, and to make payments
483	483	prescribed by the bond resolution for debt service. "Debt
484	484	service," as defined by the bond resolution, may include the
485	485	payment of principal and interest as each matures, the
486	486	establishment and maintenance of funds for extensions and
487	487	improvements, an operating reserve, and an interest and sinking
488	488	fund reserve.
489	489	Sec. 324A.099. FINANCIAL STATEMENT; BUDGET. (a) On or
490	490	before February 1 of each year, the board shall prepare and file
491	491	with the officer responsible for the county budget for each county
492	492	in which the district is located a complete financial statement
493	493	showing the financial status of the district and the district's
494	494	properties, funds, and indebtedness.
495	495	(b) The financial statement must be prepared in accordance
496	496	with standards adopted by the Governmental Accounting Standards
497	497	Board and must show separately all information concerning:
498	498	(1) leases, promissory notes, and other indebtedness
499	499	of the district; and
500	500	(2) fee revenue of the district.
501	501	(c) At the time the financial statement is filed, the board
502	502	shall file with the commissioners court of each county in which the
503	503	district is located a proposed budget of the board's needs for the
504	504	next fiscal year. The proposed budget shall include items that:
505	505	(1) the board is unable to finance from the district's
506	506	revenues; and
507	507	(2) the board requests purchase of with funds from
508	508	that county.
509	509	(d) The officer responsible for the county budget for each
510	510	county in which the district is located shall include the
511	511	district's proposed budget on the calendar for the next regularly
512	512	scheduled meeting of the commissioners court. As part of the
513	513	county's tentative budget, the items certified by the board are
514	514	subject to state law relating to county budgets.
515	515	(e) The county auditor of a county in which the district is
516	516	located, after consultation with or notification to the county
517	517	auditor of the other county in which the district is located, may
518	518	conduct a general audit and issue a financial statement of the
519	519	district at times the auditor considers appropriate.
520	520	Sec. 324A.100. DISPOSITION OF REVENUE. A district may use
521	521	district fee revenue and other revenue for any purpose authorized
522	522	by this chapter or other law for the benefit of the district.
523	523	SUBCHAPTER F. ANNEXATION; INCORPORATION; DISSOLUTION
524	524	Sec. 324A.121. ANNEXATION. (a) The voters of an area that
525	525	is contiguous to a district and is in a county election precinct
526	526	that borders the San Marcos River may file a petition with the board
527	527	to annex the area to the district.
528	528	(b) The petition must contain an accurate description of the
529	529	area proposed for annexation by reference to county election
530	530	precinct boundaries, by metes and bounds, by lot and block number if
531	531	there is a recorded map or plat and survey of the area, or by other
532	532	sufficient legal description.
533	533	(c) The petition must be signed by at least one percent of
534	534	the registered voters in the area proposed for annexation.
535	535	(d) The board shall give notice of a hearing on the petition
536	536	and hold a hearing in the manner prescribed by Section 324A.022 for
537	537	a commissioners court hearing.
538	538	(e) After holding the hearing, the board may by order annex
539	539	the area only if the board finds that the annexation promotes the
540	540	purposes for which the district was created.
541	541	(f) If the board annexes territory into the district located
542	542	in a county other than the counties in which the district was
543	543	located on the date of the district's creation, the commissioners
544	544	court of the new county is not entitled to appoint members to the
545	545	district's board, disapprove board actions, or otherwise
546	546	participate in the governance of the district.
547	547	Sec. 324A.122. EFFECT OF INCORPORATION OR ANNEXATION. The
548	548	incorporation of a political subdivision or the annexation of any
549	549	part of a district by a political subdivision does not affect the
550	550	district's boundaries.
551	551	Sec. 324A.123. DISANNEXATION. (a) The voters of or county
552	552	commissioners for any area in a district may file a petition with
553	553	the board to disannex the area from the district.
554	554	(b) The petition must contain an accurate description of the
555	555	area proposed for disannexation by reference to county election
556	556	precinct boundaries, by metes and bounds, by lot and block number if
557	557	there is a recorded map or plat and survey of the area, or by other
558	558	sufficient legal description.
559	559	(c) The petition must be signed by at least one percent of
560	560	the registered voters in the area proposed for disannexation or by
561	561	each county commissioner for the area proposed for disannexation.
562	562	(d) The board shall give notice of a hearing on the petition
563	563	and hold a hearing in the manner prescribed by Section 324A.022 for
564	564	a commissioners court hearing.
565	565	(e) The board may grant the petition and by order disannex
566	566	the territory if the board finds that:
567	567	(1) the petition meets the requirements of this
568	568	section;
569	569	(2) the district's projected revenue from all sources,
570	570	except from the area proposed for disannexation, is sufficient to
571	571	pay the district's outstanding debts; and
572	572	(3) the disannexation is in the district's best
573	573	interests.
574	574	(f) Except as provided by Section 324A.125(d), if the Parks
575	575	and Wildlife Department creates a state park that includes
576	576	territory in the district, the board shall by order disannex the
577	577	overlapping territory from the district.
578	578	(g) The disannexation takes effect on the date stated by the
579	579	order or, if the order does not state a date, on the date the order
580	580	is issued.
581	581	Sec. 324A.124. DISSOLUTION OF DISTRICT BY COMMISSIONERS
582	582	COURTS. (a) The commissioners courts of each county in which the
583	583	district is located by joint order may dissolve the district. The
584	584	order may be adopted:
585	585	(1) on a motion by a commissioners court; or
586	586	(2) after the filing of a written petition with each
587	587	county in which the district is located signed by a number of the
588	588	registered voters who reside in the district equal to at least 10
589	589	percent of the votes received in the district in the most recent
590	590	gubernatorial general election.
591	591	(b) Each commissioners court that receives a petition shall
592	592	give notice of a hearing on the petition or motion and hold a
593	593	hearing in the manner prescribed by Section 324A.022.
594	594	(c) The commissioners courts shall jointly grant a petition
595	595	and order the dissolution of the district if the courts find that
596	596	the petition, if any, meets the requirements of this section and
597	597	that the dissolution is in the best interests of the counties.
598	598	Sec. 324A.125. DISSOLUTION OF DISTRICT BY BOARD. (a) The
599	599	board may by order dissolve the district. The order may be adopted:
600	600	(1) on the board's own motion; or
601	601	(2) after the filing of a written petition signed by a
602	602	number of the registered voters who reside in the district equal to
603	603	at least 10 percent of the votes received in the district in the
604	604	most recent gubernatorial general election.
605	605	(b) The board shall give notice of a hearing on the petition
606	606	or motion and hold a hearing in the manner prescribed by Section
607	607	324A.022 for a commissioners court hearing.
608	608	(c) After the hearing, the board shall order the dissolution
609	609	of the district if the board finds that the petition, if any, meets
610	610	the requirements of this section and that the dissolution is in the
611	611	best interests of the counties in which the district is located.
612	612	(d) The board shall by order dissolve the district if the
613	613	Parks and Wildlife Department creates a state park that includes:
614	614	(1) all of the district's territory located in one of
615	615	the counties in which the district is located; or
616	616	(2) all of the district's territory.
617	617	Sec. 324A.126. DISPOSITION OR TRANSFER OF DISTRICT ASSETS
618	618	AND DEBTS. (a) If the district is dissolved, the board shall:
619	619	(1) transfer the assets of the district to both of the
620	620	counties in which the district is located; or
621	621	(2) administer the assets and debts until all money
622	622	has been disposed of and all district debts have been paid or
623	623	settled.
624	624	(b) If the district makes the transfer under Subsection
625	625	(a)(1), the receiving counties assume the debts and obligations of
626	626	the district at the time of the transfer, and the district is
627	627	dissolved.
628	628	(c) If Subsection (a)(1) does not apply and the board
629	629	administers the assets and debts of the district under Subsection
630	630	(a)(2), the district is dissolved when all money has been disposed
631	631	of and all district debts have been paid or settled.
632	632	SUBCHAPTER Z. MISCELLANEOUS PROVISIONS
633	633	Sec. 324A.901. REQUIREMENTS FOR RENTAL OF WATER-ORIENTED
634	634	RECREATIONAL EQUIPMENT. (a) This section applies only to the
635	635	rental of water-oriented recreational equipment in a district.
636	636	(b) A person may rent water-oriented recreational equipment
637	637	only if each person who will use the equipment is listed on a
638	638	written agreement for the rental of that equipment.
639	639	SECTION 2. This Act takes effect immediately if it receives
640	640	a vote of two-thirds of all the members elected to each house, as
641	641	provided by Section 39, Article III, Texas Constitution. If this
642	642	Act does not receive the vote necessary for immediate effect, this
643	643	Act takes effect September 1, 2015.