87R3292 ANG-F
By: Harris H.B. No. 1796
A BILL TO BE ENTITLED
AN ACT
relating to the division of and assumption of road district
authority by fresh water supply districts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 53.029, Water Code, is amended to read as
follows:
Sec. 53.029. [DIVISION OF OR] ASSUMPTION OF ROAD DISTRICT
AUTHORITY [BY CERTAIN DISTRICTS]. (a) [This section applies to a
district located in a county that:
[(1) has a population of 1.3 million or more and in
which a municipality with a population of more than one million is
primarily located; or
[(2) is adjacent to a county having the
characteristics described by Subdivision (1).
[(b) A district covered by this section may be divided into
two new districts if it has no outstanding bonded debt and is not
levying ad valorem taxes. The division procedure is prescribed by
Sections 53.030 to 53.041 of this code.
[(c)] The board of a district [covered by this section] may
order an election to be held in the district to determine whether
the district should assume the rights, authority, privileges, and
functions of a road district under Article III, Section 52(b)(3),
of the Texas Constitution. The election shall be ordered,
conducted, and the results canvassed in the manner provided by the
applicable provisions of this chapter and the Election Code. The
ballots for the election shall be printed to provide for voting for
or against: The assumption by the __________ Fresh Water Supply
District of the rights, authority, privileges, and functions of a
road district under Article III, Section 52(b)(3), of the Texas
Constitution. If a majority of the persons voting in the election
vote in favor of the proposition, the district shall assume the
rights, authority, privileges, and functions of a road district
operating under Article III, Section 52(b)(3), of the Texas
Constitution, Chapter 257, Transportation Code, and other general
laws of this state relating to road districts.
(b) [(d)] A district operating as a road district may not
issue bonds or otherwise lend its credit for road district purposes
except on approval of not less than two-thirds of the qualified
voters of the district voting at an election called and held for
that purpose. The total amount of bonds, notes, and other
obligations of the district issued or incurred under this
subsection may not exceed one-fourth of the assessed valuation of
real property in the district.
(c) [(e)] A district that has adopted the rights,
authority, privileges, and functions of a road district in the
manner provided by Subsection (a) [(c)] may, following approval of
a construction contract by the district's governing body, reimburse
expenditures as provided by Sections 257.003(a) and (b),
Transportation Code, without any additional approval under Section
257.003, Transportation Code.
SECTION 2. Subchapter B, Chapter 53, Water Code, is amended
by adding Section 53.0291 to read as follows:
Sec. 53.0291. DIVISION OF DISTRICT. A district may be
divided into two new districts as provided by Sections 53.030
through 53.041 if the district:
(1) has no outstanding bonded debt; and
(2) is not levying ad valorem taxes.
SECTION 3. This Act takes effect September 1, 2021.