87R4581 BRG-F
By: Gutierrez S.B. No. 656
A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Val Verde County Groundwater
Conservation District; providing authority to issue bonds;
providing authority to impose fees, surcharges, and taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle H, Title 6, Special District Local Laws
Code, is amended by adding Chapter 8872 to read as follows:
CHAPTER 8872. VAL VERDE COUNTY GROUNDWATER CONSERVATION DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8872.0101. DEFINITIONS. (a) Except as provided by
Subsection (b), the definitions in Section 36.001, Water Code,
apply to this chapter.
(b) In this chapter:
(1) "Aquifer" means that part of the Edwards-Trinity
(Plateau) Aquifer located in Val Verde County.
(2) "Board" means the board of directors of the
district.
(3) "City" means the City of Del Rio.
(4) "City council" means the city council of the city.
(5) "Commissioners court" means the Val Verde County
Commissioners Court.
(6) "County" means Val Verde County.
(7) "Development board" means the Texas Water
Development Board.
(8) "Director" means a member of the board.
(9) "District" means the Val Verde County Groundwater
Conservation District.
(10) "Domestic use" means the use of groundwater in
the district by a member of a well owner's household or by household
employees, tenants, licensees, or guests for the following
purposes:
(A) drinking, washing, or culinary activities;
(B) irrigation of:
(i) lawns;
(ii) family gardens; or
(iii) orchards, if the produce of the
orchard is used only for household consumption;
(C) filling or maintaining swimming pools,
decorative ponds, or fountains located on the well owner's
property; and
(D) drinking water for domestic animals not
raised, maintained, or sold for commercial purposes.
(11) "Existing well" means a well that is completed to
produce groundwater in Val Verde County on or before January 1,
2021. The term includes a well that is reworked or repaired after
January 1, 2021, to restore the well's historic production
capacity, provided that the reworking or repair does not enlarge
the diameter of the well bore as the well bore existed on January 1,
2021.
(12) "Historic use" means the production and
beneficial use of groundwater from an existing well in any calendar
year before January 1, 2021.
(13) "Political subdivision" means a governmental
entity of this state, including a county, municipality, state
agency, or district or authority created under Section 52, Article
III, or Section 59, Article XVI, Texas Constitution. The term also
includes a nonprofit water supply corporation created under Chapter
67, Water Code.
Sec. 8872.0102. NATURE OF DISTRICT; PURPOSE. (a) The
district is a groundwater conservation district in Val Verde County
created under and essential to accomplish the purposes of Section
59, Article XVI, Texas Constitution, including:
(1) the permitting, recharge, conservation,
protection, and prevention of the waste of groundwater in Val Verde
County;
(2) the control of subsidence caused by the
unreasonable withdrawal of groundwater;
(3) the regulation of transporting groundwater
outside the boundaries of the district;
(4) the regulation of groundwater production and the
implementation of drought management and conservation plans for the
reduction of drawdown when conditions warrant action to protect
spring flow and base flow;
(5) the maintenance of sufficient river flows during
periods of drought and water shortage to protect endangered species
and the habitats of endangered species;
(6) the development, with the assistance of the
development board, the Parks and Wildlife Department, and the Texas
Commission on Environmental Quality, of empirical groundwater flow
models to inform the district's groundwater management; and
(7) the management of the issuance of permits by
requiring studies and groundwater availability model analyses of
permit applications that include the use of conservation triggers
to mitigate the impact on spring flow, base flow, and drawdown.
(b) The district is created to serve a public use and
benefit.
(c) All of the land and other property included within the
boundaries of the district will benefit from the works and projects
that are to be accomplished by the district under powers conferred
by Section 59, Article XVI, Texas Constitution, this chapter, and
Chapter 36, Water Code.
Sec. 8872.0103. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8872.0153 before September 1, 2026:
(1) the district is dissolved September 1, 2026,
except that:
(A) any debts incurred shall be paid;
(B) any assets that remain after the payment of
debts shall be transferred to the county and the city in proportion
to the amount each entity has contributed to the costs of the
confirmation election and district operations; and
(C) the organization of the district shall be
maintained until all debts are paid and remaining assets are
transferred; and
(2) this chapter expires September 1, 2028.
Sec. 8872.0104. INITIAL DISTRICT TERRITORY. The boundaries
of the district are coextensive with the boundaries of the county.
SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8872.0151. APPOINTMENT OF TEMPORARY DIRECTORS;
VACANCIES; TERMS. (a) As soon as practicable after the effective
date of the Act enacting this chapter, nine temporary directors
shall be appointed as follows:
(1) three temporary directors shall be appointed by
the commissioners court;
(2) three temporary directors shall be appointed by
the city council; and
(3) three temporary directors shall be appointed
jointly by the commissioners court, the city council, and the mayor
of the city.
(b) An individual appointed to serve as a temporary director
must be at least 18 years of age and be:
(1) a registered voter of the county; or
(2) an owner of taxable property in the county.
(c) If there is a vacancy on the temporary board of
directors of the district, the remaining temporary directors shall
appoint a person to fill the vacancy in a manner that meets the
representational requirements of this section.
(d) Temporary directors serve until the earlier of:
(1) the date the temporary directors become initial
directors under Section 8872.0155; or
(2) the date this chapter expires under Section
8872.0103.
(e) Before the confirmation election under Section
8872.0153, the presiding officer of the district or the presiding
officer's designee may represent the district in the joint planning
process under Section 36.108, Water Code, and shall be considered a
voting district representative.
Sec. 8872.0152. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. (a) As soon as practicable after all the temporary
directors have qualified under Section 36.055, Water Code, a
majority of the temporary directors shall convene the
organizational meeting of the district at a location within the
district agreeable to a majority of the directors. If an agreement
on location cannot be reached, the organizational meeting shall be
at the Val Verde County Courthouse.
(b) At the organizational meeting described by Subsection
(a), the temporary directors shall:
(1) elect a president as presiding officer, vice
president, secretary, and treasurer;
(2) schedule the confirmation election described by
Section 8872.0153; and
(3) notify the applicable groundwater management area
of the district's creation, subject to confirmation under Section
8872.0153.
Sec. 8872.0153. CONFIRMATION ELECTION. (a) The temporary
board shall order an election to be held on the uniform election
date in November following January 1, 2022, to confirm the creation
of the district and authorize the collection of taxes.
(b) The ballot for the election must be printed to permit
voting for or against the following proposition: "The creation of
the Val Verde County Groundwater Conservation District and the
imposition of an ad valorem tax in the district at a rate not to
exceed three cents for each $100 of assessed valuation."
(c) Except as provided by this section, a confirmation
election must be conducted as provided by Sections 36.017(b)-(i),
Water Code, and the Election Code.
(d) If the district's creation is not confirmed at an
election held under this section, the temporary directors may order
one or more subsequent elections to be held to confirm the creation
of the district not earlier than the first anniversary of the
preceding confirmation election. If the district's creation is not
confirmed at an election held under this section before September
1, 2026, the district is dissolved in accordance with Section
8872.0103.
(e) The costs of an election held under this section shall
be paid equally by the county and the city.
Sec. 8872.0154. LIMITED POWERS OF DISTRICT BEFORE
CONFIRMATION. (a) Before confirmation of the district, the
district's powers are limited to:
(1) performance of the duties necessary to hold an
election to confirm the creation of the district;
(2) registration of existing wells that are not exempt
from the district requirement to obtain a permit under this chapter
or Chapter 36, Water Code;
(3) collection of annual groundwater production
reports from wells that are not exempt from the district
requirement to obtain a permit under this chapter or Chapter 36,
Water Code; and
(4) participation in joint planning under Section
36.108, Water Code.
(b) The district shall adopt rules and prescribe forms
necessary to implement Subsections (a)(2) and (3).
Sec. 8872.0155. INITIAL DIRECTORS. (a) If the creation of
the district is confirmed at an election held under Section
8872.0153, the temporary directors become the initial directors and
serve until successor directors are appointed under Section
8872.0202.
(b) The initial directors shall provide notice to the
members of the groundwater management area in which the district is
located that the creation of the district is confirmed.
Sec. 8872.0156. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2028.
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8872.0201. COMPOSITION OF BOARD. The district is
governed by a board of nine directors.
Sec. 8872.0202. TERMS; APPOINTMENT OF DIRECTORS;
VACANCIES; QUALIFICATIONS. (a) Directors serve staggered
four-year terms, with five or four terms expiring December 1 every
other year. The directors must be appointed as follows:
(1) one director appointed by the commissioners court
to represent each of the three management zones established by
Section 8872.0311;
(2) one director appointed jointly by the city council
and mayor of the city to represent each of the three management
zones established by Section 8872.0311; and
(3) one director appointed jointly by the
commissioners court, the city council, and the mayor of the city to
represent each of the three management zones established by Section
8872.0311.
(b) An individual appointed to serve as a director must be a
registered voter of the county.
(c) An individual appointed to serve as a director
representing a management zone must own taxable property in the
management zone.
(d) A director may serve consecutive terms.
Sec. 8872.0203. VACANCIES. (a) If there is a vacancy on
the board, a majority of the board shall appoint an individual to
fill the vacancy for the remainder of the term of the vacant
director place. The individual appointed to fill the vacancy must
meet the qualifications under Section 8872.0202 for the vacant
place.
(b) If the board has not filled a vacancy before the 90th day
after the date of the vacancy, the county judge of the county and
the mayor of the city jointly shall appoint an individual who meets
the qualifications under Section 8872.0202 for the vacant place to
serve as director for the remainder of the term being filled.
Sec. 8872.0204. COMPENSATION. (a) A director is not
entitled to receive compensation for performing the duties of a
director.
(b) The board may authorize a director to receive
reimbursement for the director's reasonable and actual expenses
incurred while engaging in activities inside or outside the
district on behalf of the board.
Sec. 8872.0205. BOARD OFFICERS. (a) At the first meeting
of the board in each calendar year, the board shall elect directors
to serve as the president, vice president, secretary, and
treasurer.
(b) The president shall serve as the presiding officer of
the board.
(c) The treasurer shall serve as the financial officer of
the district.
SUBCHAPTER C. POWERS AND DUTIES
Sec. 8872.0301. GENERAL POWERS. Except as otherwise
provided by this chapter, the district has all of the rights,
powers, privileges, functions, and duties provided by the general
law of this state applicable to groundwater conservation districts
created under Section 59, Article XVI, Texas Constitution,
including Chapter 36, Water Code.
Sec. 8872.0302. LIMITATION ON RULEMAKING POWER NOT
APPLICABLE. Section 36.121, Water Code, does not apply to the
district.
Sec. 8872.0303. PERMITS: RULES. (a) The district shall
adopt rules to:
(1) require a person to obtain a permit from the
district to drill and produce groundwater from a well, including an
existing well, unless the well is exclusively for agricultural or
domestic use or otherwise exempt from permitting under this chapter
or Chapter 36, Water Code;
(2) regulate the terms of a transfer of groundwater
out of the district;
(3) regulate the spacing of wells drilled after
September 1, 2021, to prevent unreasonable adverse interference
with other wells;
(4) provide for the uniform and nondiscriminatory
reduction or curtailment of the production of groundwater by all
permit holders in the district, if necessary, to protect spring
flow and base flow and reduce aquifer drawdown;
(5) limit groundwater production:
(A) by the spacing of wells;
(B) by basing production on acreage or tract
size; or
(C) for a public water supplier, by basing
production on the service area of the supplier;
(6) provide for permit provisions that allow the
reduction or curtailment of the production of groundwater, if
necessary, to protect spring flow and base flow and reduce aquifer
drawdown;
(7) allow for the injection of a nontoxic tracer dye as
part of a hydrological study; and
(8) require the owner of a well that is not exempt from
the district requirement to obtain a permit under this chapter or
Chapter 36, Water Code, to report to the district in January of each
year the annual production of groundwater from the well based on
metered production.
(b) The terms of a permit that authorizes the production of
groundwater for transfer out of the district for beneficial use
must be consistent with applicable law, including Section 36.122,
Water Code, and may not be more restrictive than the terms of a
permit authorizing the production of groundwater for beneficial use
inside the district.
(c) The district may establish permit conditions and
limitations as provided by Section 36.122, Water Code.
(d) The district may not require a permit or a permit
amendment for the maintenance or repair of a well that is not exempt
from permitting under this chapter or Chapter 36, Water Code, if the
maintenance or repair does not make the well capable of producing an
amount of groundwater that is greater than the production amounts
provided by the well's permit.
Sec. 8872.0304. PERMITS: CITY. The district shall grant to
the city permits in the city's name that authorize the city to pump
from all wells operated or controlled by the city a cumulative
volume of groundwater of 18,400 acre-feet per year.
Sec. 8872.0305. PERMITS: RETAIL PUBLIC UTILITY. (a) In
this section, "retail public utility" has the meaning assigned by
Section 13.002, Water Code.
(b) The district shall grant a permit to a retail public
utility in the district or to a political subdivision other than the
city that is providing water or sewer service on or before the
effective date of the Act enacting this chapter. The permit must
authorize the production of a cumulative volume of groundwater from
the wells owned by the entity in an amount equal to the amount of
groundwater required to meet the entity's current and projected
needs as determined under Section 13.250, Water Code.
(c) Unless the district has authorized otherwise in
writing, a permitted entity may not resell groundwater produced
under the permit to any person for use or resale outside the
entity's service area, including the area covered by a certificate
of convenience and necessity, and must put the produced water to
beneficial use in the entity's service area.
Sec. 8872.0306. PERMITS: COMMERCIAL, INDUSTRIAL, AND
TRANSPORT. (a) The district shall require a person to install a
meter and obtain a permit from the district for commercial use,
industrial use, or transport outside the district.
(b) The district shall grant a permit for commercial use
that authorizes a person to drill one or more wells not to exceed 12
inches in diameter on land owned or controlled by the person through
a lease or other legal right.
(c) The district shall grant a permit for the production of
groundwater from an existing well that is beneficially used for
commercial or industrial purposes outside the limits or the
extraterritorial jurisdiction of the city. The permit must
authorize the production of a cumulative volume of groundwater that
is equal to the maximum historic use as proven by the person seeking
the permit.
Sec. 8872.0307. PERMIT RENEWAL. (a) Except as provided by
Subsection (b), the district without a hearing shall renew or
approve an application to renew an operating permit before the date
on which the permit expires, provided that:
(1) the application, if required by the district, is
submitted in a timely manner and accompanied by any required fees in
accordance with district rules; and
(2) the permit holder is not requesting a change
related to the renewal that would require a permit amendment under
district rules.
(b) The district is not required to renew a permit under
this section if the applicant:
(1) is delinquent in paying a fee required by the
district;
(2) is subject to a pending enforcement action for a
substantive violation of a district permit, order, or rule that has
not been settled by agreement with the district or a final
adjudication; or
(3) has not paid a civil penalty or has otherwise
failed to comply with an order resulting from a final adjudication
of a violation of a district permit, order, or rule.
(c) If the district is not required to renew a permit under
Subsection (b)(2), the permit remains in effect until the final
settlement or adjudication on the matter of the substantive
violation.
Sec. 8872.0308. AGRICULTURAL AND DOMESTIC USE. (a) The
district may not require a person to install a meter or obtain a
permit from the district for a well that produces groundwater only
for domestic or agricultural use in the district's territory.
(b) The district may not restrict the production of a well
that produces groundwater only for domestic or agricultural use.
(c) An owner of a well that produces groundwater for
domestic or agricultural use shall register the well with the
district.
(d) Subsection (a) does not affect the applicability in the
district of Section 36.113(a), Water Code.
Sec. 8872.0309. WELL REGISTRATION. A permit issued under
this chapter authorizing the production of groundwater from the
aquifer must also authorize the drilling and operation of a well or
wells in the aquifer, and must require the permit holder to:
(1) register each well with the district at no cost;
and
(2) file a copy of the well driller's log with the
district on completion of each well.
Sec. 8872.0310. PROPERTY RIGHTS. (a) A permit issued by
the district for the drilling, operation, or production of a well is
appurtenant to the real property on which the well is located.
Ownership of the groundwater, or the right to use and produce the
groundwater authorized by the permit, may be sold, leased,
assigned, or otherwise transferred by the owner, provided that the
rights granted by the permit to drill a well and to produce
groundwater are exercised on the real property described in the
permit based on the actual production authorized by the permit.
(b) Except as provided by this chapter, groundwater
produced as authorized by a permit, once captured at the wellhead,
may be beneficially used for any lawful purpose at any location,
whether on or off the real property to which the permit is attached,
provided that any beneficial use outside the boundaries of the
district is authorized by a transport permit issued by the
district.
Sec. 8872.0311. MANAGEMENT ZONES. (a) For the purpose of
better managing groundwater resources, the district is divided into
three management zones as follows:
(1) the San Felipe Springs Management Zone, composed
of the territory described by Section 2(a) of the Act enacting this
chapter;
(2) the Devils River Management Zone, composed of the
territory described by Section 2(b) of the Act enacting this
chapter; and
(3) the Pecos River Management Zone, composed of the
territory described by Section 2(c) of the Act enacting this
chapter.
(b) The boundaries and field notes contained in Section 2 of
the Act enacting this chapter form a closure. A mistake made in the
field notes or in copying the field notes in the legislative process
does not affect the management zone's:
(1) organization, existence, or validity; or
(2) legality or operation.
(c) The district may adopt different rules to regulate
production from the management zones based on the acreage, tract
size, or service area of the public water supplier.
(d) The district must regulate the production of
groundwater in a management zone on a proportional, uniform, and
nondiscriminatory basis, except as provided by Section
8872.0303(a)(6).
Sec. 8872.0312. REGIONAL GROUNDWATER PLANNING AND
SUSTAINABILITY. (a) The district shall obtain or develop
groundwater models for use in planning and management of the
aquifer and to assist the district in the district's role as a
member of the groundwater management area in which the district is
located.
(b) The district, to the extent possible, shall diligently
pursue the long-term health and sustainability of the aquifer
through joint planning under Section 36.108, Water Code.
Sec. 8872.0313. REDUCTION AND CURTAILMENT. (a) The board
by rule may provide for the reduction and curtailment of the
production of groundwater from a well permitted under this chapter
to protect spring flow and base flow and reduce drawdown in
accordance with Sections 8872.0303(a)(4) and (5).
(b) To implement a reduction or curtailment, the district
may, to the extent not otherwise authorized by Section 36.101(a),
Water Code, limit groundwater production as provided by district
rules.
(c) Rules adopted by the board under Sections
8872.0303(a)(4) and (5) requiring a reduction or curtailment of the
production of groundwater must be applied on a proportional,
uniform, and nondiscriminatory basis to all permitted production,
unless the condition requiring reduction or curtailment is limited
to a management zone created under Section 8872.0311.
(d) This section does not apply to a permit provision
imposed under Section 8872.0303(a)(6).
Sec. 8872.0314. RIGHT TO ENTER LAND. Section 36.123, Water
Code, which authorizes a district's employees or agents to go on and
inspect the property of a landowner, applies to the district
provided that:
(1) access is subject to written notice to the
landowner; and
(2) the district's employees and agents are prohibited
from carrying firearms on the landowner's property.
Sec. 8872.0315. WATER CONSERVATION INITIATIVE. The
district may create a water conservation initiative as provided by
Section 11.32, Tax Code.
Sec. 8872.0316. PROHIBITION ON DISTRICT PURCHASE, SALE,
TRANSPORT, OR DISTRIBUTION OF WATER. The district may not
purchase, sell, transport, or distribute surface water or
groundwater for any purpose.
Sec. 8872.0317. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8872.0401. LIMITATION ON TAXES. The district may not
impose ad valorem taxes at a rate that exceeds three cents on each
$100 valuation of taxable property in the district.
Sec. 8872.0402. APPLICABILITY OF CERTAIN TAX PROVISIONS.
(a) Sections 26.04, 26.05, 26.06, and 26.07, Tax Code, do not apply
to a tax imposed by the district.
(b) Section 49.236, Water Code, applies to the district.
Sec. 8872.0403. FEES. (a) The board by rule may impose
uniform, reasonable, equitable, and nondiscriminatory annual
production fees on the amount of permitted water actually produced
from each well.
(b) A production fee must be consistent with Section 36.205,
Water Code, and may be based on:
(1) the size of column pipe used by the well; or
(2) the amount of water actually withdrawn from the
well, or the amount authorized or anticipated to be withdrawn.
(c) The district may assess a uniform and nondiscriminatory
export fee consistent with Section 36.122, Water Code, on
groundwater that is produced from a well inside the district and
transferred outside the district.
(d) The district by rule or resolution may set fees relating
to administrative acts of the district, including filing
applications, reviewing and processing permits, conducting permit
hearings, providing public notice, and paying costs of legal fees,
expert fees, and hearing facility rental fees. The district may not
assess a fee in an amount greater than $250 for processing permits.
SECTION 2. (a) The San Felipe Springs Management Zone
includes all the territory contained in the following area:
BEGINNING: At the point at which U.S. Highway 77 intersects
with the Eastern boundary of Val Verde County;
THENCE: Along the Southeasterly right-of-way line of U.S.
Route 77 to the junction of U.S. Route 90 and U.S. Route 377;
THENCE: Along the Easterly right-of-way line of U.S. Route 90
to the junction of U.S. Route 90 and Texas Highway 349, to the
Southwestern boundary of Val Verde County;
THENCE: Eastward along the border of Val Verde County, and in
a Northward direction along the border of Val Verde County to the
POINT OF BEGINNING.
(b) The Devils River Management Zone includes all the
territory contained in the following area:
BEGINNING: At the point at which U.S. Highway 77 intersects
with the Eastern boundary of Val Verde County;
THENCE: Along the Southeasterly right-of-way line of U.S.
Route 77 to the junction of U.S. Route 90 and U.S. Route 377;
THENCE: Along the Northerly right-of-way of U.S. Route 90 to
the junction of U.S. Route 90 and Texas Ranch to Market Road 1024;
THENCE: Along the Northerly right-of-way of Texas Ranch to
Market Road 1024 to the point that Texas Ranch to Market Road 1024
bears in a Westerly direction at an approximate latitude of
30.188886 and an approximate longitude of -101.331504;
THENCE: Northwesterly to the Northern boundary of Val Verde
County;
THENCE: Easterly along the boundary of Val Verde County and
Southerly along the boundary of Val Verde County to the POINT OF
BEGINNING.
(c) The Pecos River Management Zone includes all the
territory contained in the following area:
BEGINNING: At the point Texas Highway 349 intersects with the
Southeastern boundary of Val Verde County;
THENCE: Northwesterly along the boundary of Val Verde County;
continuing along the county's border until the Western boundary of
the Devil's River Management Zone;
THENCE: Southerly along the Western Boundary of the Devil's
River Management Zone to the POINT OF BEGINNING.
SECTION 3. At the first meeting of the board of directors of
the Val Verde County Groundwater Conservation District that follows
the election held under Section 8872.0153, Special District Local
Laws Code, as added by this Act, the directors shall draw lots to
determine which three directors serve a term expiring December 1 of
the year two years after the date of the election and which two
directors serve a term expiring December 1 of the year four years
after the date of the election.
SECTION 4. (a) The legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and Act to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this Act with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) All requirements of the constitution and laws of this
state and the rules and procedures of the legislature with respect
to the notice, introduction, and passage of this Act are fulfilled
and accomplished.
SECTION 5. 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, 2021.