| 1 | 1 | | By: King of Uvalde H.B. No. 2735 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | A BILL TO BE ENTITLED |
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| 5 | 5 | | AN ACT |
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| 6 | 6 | | relating to security required before filing suit against a |
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| 7 | 7 | | groundwater conservation district. |
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| 8 | 8 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 9 | 9 | | SECTION 1. Subchapter H, Chapter 36, Water Code, is amended |
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| 10 | 10 | | by adding Section 36.2515 to read as follows: |
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| 11 | 11 | | Sec. 36.2515. SECURITY REQUIRED. (a) In this section, |
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| 12 | 12 | | "security" means a bond or deposit posted by a plaintiff before |
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| 13 | 13 | | filing suit against a district or, as provided by the Texas Rules of |
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| 14 | 14 | | Appellate Procedure, by a judgment debtor to a district to suspend |
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| 15 | 15 | | execution of the judgment during appeal of the judgment. |
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| 16 | 16 | | (b) Subject to Section 52.006, Civil Practice and Remedies |
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| 17 | 17 | | Code, a district by rule shall establish the amount of security |
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| 18 | 18 | | required to file suit under Section 36.251 challenging a rule or |
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| 19 | 19 | | order made by the district, including an appeal of a decision on a |
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| 20 | 20 | | permit application by a party other than the applicant. Except as |
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| 21 | 21 | | provided by Subsection (c), the amount of security required under |
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| 22 | 22 | | this section may not exceed $100,000. |
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| 23 | 23 | | (c) The amount of security required to be posted by a party |
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| 24 | 24 | | to a contested case hearing, other than by the applicant, for the |
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| 25 | 25 | | appeal of a decision granting a permit application or permit |
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| 26 | 26 | | amendment application under Section 36.251(b) shall be increased by |
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| 27 | 27 | | an amount sufficient to cover the applicant's cost to defend the |
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| 28 | 28 | | permit or amendment granted by the district against the suit and |
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| 29 | 29 | | appeal. The amount of an increase under this subsection may not |
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| 30 | 30 | | exceed $100,000. |
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| 31 | 31 | | (d) Section 52.006, Civil Practice and Remedies Code, |
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| 32 | 32 | | applies to an appeal by a party other than the applicant from a |
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| 33 | 33 | | decision of the district court affirming a district's rule, order, |
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| 34 | 34 | | or decision on a permit application. The amount of security |
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| 35 | 35 | | required under this subsection must equal the sum of: |
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| 36 | 36 | | (1) the amount of any civil penalty awarded; |
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| 37 | 37 | | (2) interest for the estimated duration of the suit or |
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| 38 | 38 | | appeal; and |
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| 39 | 39 | | (3) attorney's fees and costs required for the |
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| 40 | 40 | | district to defend against the suit and appeal. |
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| 41 | 41 | | (e) A security required under this section must be filed |
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| 42 | 42 | | into the registry of the district court in which the suit is filed. |
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| 43 | 43 | | SECTION 2. The changes in law made by this Act apply only to |
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| 44 | 44 | | a suit against a groundwater conservation district that is filed on |
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| 45 | 45 | | or after the effective date of this Act. A suit against a |
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| 46 | 46 | | groundwater conservation district that is filed before the |
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| 47 | 47 | | effective date of this Act is governed by the law in effect on the |
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| 48 | 48 | | date the suit is filed, and that law is continued in effect for that |
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| 49 | 49 | | purpose. |
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| 50 | 50 | | SECTION 3. This Act takes effect September 1, 2023. |
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