87R5424 SMT-D By: Gates H.B. No. 1004 A BILL TO BE ENTITLED AN ACT relating to the selection of the board of directors of municipal management districts created under general law. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter D, Chapter 375, Local Government Code, is amended by adding Section 375.0635 to read as follows: Sec. 375.0635. DIRECTOR ELECTION. (a) Directors of a district created by commission order under Subchapter B, other than those appointed under Section 375.026 or 375.066, are elected as provided by Subchapter D, Chapter 49, Water Code. (b) Directors may be elected to serve successive terms. SECTION 2. The heading to Section 375.064, Local Government Code, is amended to read as follows: Sec. 375.064. RECOMMENDATIONS FOR SUCCEEDING BOARD OF DISTRICT CREATED BY SPECIAL LAW. SECTION 3. Section 375.064, Local Government Code, is amended by adding Subsection (f) to read as follows: (f) This section applies only to the appointment of directors of a district created by a special Act of the legislature that provides for succeeding directors to be appointed as provided by this section or subchapter. SECTION 4. Section 375.067(a), Local Government Code, is amended to read as follows: (a) As soon as practicable after a director is elected or appointed, the director shall execute a $10,000 bond payable to the district and conditioned on the faithful performance of the director's duties. SECTION 5. Section 375.068, Local Government Code, is amended to read as follows: Sec. 375.068. OFFICERS. After directors [are appointed and] have qualified by executing a bond and taking the oath, they shall organize by electing a president, a vice-president, a secretary, and any other officers the board considers necessary. SECTION 6. (a) Members of the board of directors of a municipal management district created by order of the Texas Commission on Environmental Quality shall be elected under Section 375.0635, Local Government Code, as added by this Act, beginning with the general election conducted in 2021 for terms beginning on or after January 1, 2022. (b) A member of the board of directors of a municipal management district created by order of the Texas Commission on Environmental Quality who is appointed under Section 375.064, Local Government Code, for a term beginning before January 1, 2022, shall continue to serve until the expiration of the member's term. SECTION 7. This Act takes effect September 1, 2021.