Texas 2023 - 88th Regular

Texas House Bill HB2815 Compare Versions

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1	1	H.B. No. 2815
2	2
3	3
4	4	AN ACT
5	5	relating to the powers, authorities, duties, and responsibilities
6	6	of certain conservation and reclamation districts and to notice a
7	7	person who proposes to sell or convey real property located in any
8	8	of certain conservation and reclamation districts must provide to a
9	9	prospective purchaser of that property.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 375.022, Local Government Code, is
12	12	amended by adding Subsections (d) and (e) to read as follows:
13	13	(d) The petition may request that a succeeding board of
14	14	directors be elected under Section 375.0645 instead of being
15	15	appointed under Section 375.064.
16	16	(e) On receipt by the commission of a petition that complies
17	17	with this section, the commission shall issue a notice indicating
18	18	that the petition is administratively complete and may conduct a
19	19	hearing on the petition in the manner provided by Section 49.011,
20	20	Water Code, if the commission determines that a hearing is
21	21	necessary.
22	22	SECTION 2. Section 375.025(c), Local Government Code, is
23	23	amended to read as follows:
24	24	(c) If [after the hearing] the commission finds that the
25	25	petition is sufficient and conforms to the requirements of Section
26	26	375.022(c) and that the district is feasible [and necessary] and
27	27	would benefit the public, the commission by order shall make that
28	28	finding and grant the petition. In determining if the project is
29	29	feasible [and necessary] and would benefit the public, the
30	30	commission shall consider:
31	31	(1) the availability of comparable services from other
32	32	systems, including special districts, municipalities, and regional
33	33	authorities; and
34	34	(2) the reasonableness of the proposed public purpose
35	35	projects and services.
36	36	SECTION 3. Subchapter D, Chapter 375, Local Government
37	37	Code, is amended by adding Section 375.0645 to read as follows:
38	38	Sec. 375.0645. ELECTION OF DIRECTORS. (a) This section
39	39	applies only to a district created by order of the commission
40	40	providing for an elected board of directors as requested in the
41	41	petition requesting creation of the district as provided by Section
42	42	375.022(d).
43	43	(b) The commission shall appoint the initial directors
44	44	under Section 375.026, and subsequent directors are elected in the
45	45	manner provided by Subchapter D, Chapter 49, Water Code.
46	46	(c) An elected director is entitled to receive fees of
47	47	office and reimbursement for actual expenses as provided by Section
48	48	49.060, Water Code.
49	49	(d) Sections 375.069 and 375.070 do not apply to an elected
50	50	director.
51	51	(e) Section 49.052(f), Water Code, does not exempt an
52	52	elected director from disqualification under that section.
53	53	(f) Sections 375.064, 375.161, and 375.243 do not apply to a
54	54	district with an elected board.
55	55	SECTION 4. Section 375.065, Local Government Code, is
56	56	amended to read as follows:
57	57	Sec. 375.065. REMOVAL OF DIRECTOR. The governing body of
58	58	the municipality after notice and hearing may remove a director
59	59	appointed by the municipality for misconduct or failure to carry
60	60	out the director's duties on petition by a majority of the remaining
61	61	directors.
62	62	SECTION 5. Section 375.067(a), Local Government Code, is
63	63	amended to read as follows:
64	64	(a) As soon as practicable after a director is appointed or
65	65	elected as provided by this subchapter, the director shall execute
66	66	a $10,000 bond payable to the district and conditioned on the
67	67	faithful performance of the director's duties.
68	68	SECTION 6. Section 375.068, Local Government Code, is
69	69	amended to read as follows:
70	70	Sec. 375.068. OFFICERS. After directors are appointed or
71	71	elected as provided by this subchapter and have qualified by
72	72	executing a bond and taking the oath, they shall organize by
73	73	electing a president, a vice-president, a secretary, and any other
74	74	officers the board considers necessary.
75	75	SECTION 7. Section 375.071, Local Government Code, is
76	76	amended to read as follows:
77	77	Sec. 375.071. QUORUM. (a) One-half of the serving
78	78	directors constitutes a quorum, and a concurrence of a majority of a
79	79	quorum of directors is required for any official action of the
80	80	district.
81	81	(b) If at least two-thirds of the directors execute a
82	82	written consent at any time, a majority of a quorum at a board
83	83	meeting may [The written consent of at least two-thirds of the
84	84	directors is required to] authorize the levy of assessments, the
85	85	levy of taxes, the imposition of impact fees, or the issuance of
86	86	bonds. A director may execute a written consent outside of a board
87	87	meeting.
88	88	SECTION 8. Section 375.161(b), Local Government Code, is
89	89	amended to read as follows:
90	90	(b) This section does not apply to a tax or assessment, if a
91	91	tax is authorized or approved by the voters of the district, or to a
92	92	required payment for a service provided by the district, including
93	93	water and sewer services.
94	94	SECTION 9. Section 375.208, Local Government Code, is
95	95	amended to read as follows:
96	96	Sec. 375.208. COMMISSION APPROVAL. A district must obtain
97	97	approval of the commission as provided by Section 49.181 [Chapter
98	98	54], Water Code, only if the [it issues] bonds are to provide water,
99	99	sewage, or drainage facilities. [Except as expressly provided by
100	100	this section and Sections 375.062 and 375.064, a district is not
101	101	subject to the jurisdiction of the commission.]
102	102	SECTION 10. Section 3919.205(d), Special District Local
103	103	Laws Code, is amended to read as follows:
104	104	(d) The district shall generate and implement a program to
105	105	provide notice modeled on the notice described by Section 49.4521
106	106	[49.452(c)], Water Code, to a prospective purchaser of property in
107	107	the district of the assessments that have been approved and are
108	108	imposed by the district.
109	109	SECTION 11. Section 49.011(a), Water Code, is amended to
110	110	read as follows:
111	111	(a) On receipt by the commission of all required
112	112	documentation associated with an application for creation of a
113	113	district by the commission under Chapter 36, 50, 51, 54, 55, 58, 65,
114	114	or 66 of this code or Chapter 375, Local Government Code, the
115	115	commission shall issue a notice indicating that the application is
116	116	administratively complete.
117	117	SECTION 12. Section 49.060, Water Code, is amended by
118	118	amending Subsection (a) and adding Subsection (a-2) to read as
119	119	follows:
120	120	(a) A director is entitled to receive fees of office [of not
121	121	more than $150 a day] for each day the director actually spends
122	122	performing the duties of a director. The board by resolution shall
123	123	set the fees of office. The board may not set the fees of office at
124	124	an amount greater than the amount of the per diem set by the Texas
125	125	Ethics Commission for members of the legislature under Section 24a,
126	126	Article III, Texas Constitution. In this subsection, "performing
127	127	the duties of a director" means substantive performance of the
128	128	management or business of the district, including participation in
129	129	board and committee meetings and other activities involving the
130	130	substantive deliberation of district business and in pertinent
131	131	educational programs. The phrase does not include routine or
132	132	ministerial activities such as the execution of documents,
133	133	self-preparation for meetings, or other activities requiring a
134	134	minimal amount of time.
135	135	(a-2) Notwithstanding Subsection (a-1), an authority
136	136	created by special law, by resolution of the board, may not set the
137	137	annual limit on the fees of office described by that subsection at
138	138	an amount greater than the amount a director would receive for 60
139	139	days of service a year at the maximum daily rate authorized by
140	140	Subsection (a).
141	141	SECTION 13. Section 49.063, Water Code, is amended by
142	142	adding Subsections (d) and (e) to read as follows:
143	143	(d) A district that is required by law to post notice of a
144	144	meeting on an Internet website may instead provide the notice to the
145	145	county clerk of each county in which the district is located to post
146	146	the notice on the county clerk's or county's Internet website.
147	147	(e) Failure to timely or properly post a notice of a meeting
148	148	on an Internet website does not prohibit a district from conducting
149	149	the meeting if the notice required by Section 551.054(a)(1),
150	150	Government Code, is posted timely and properly.
151	151	SECTION 14. Section 49.065, Water Code, is amended by
152	152	adding Subsection (d) to read as follows:
153	153	(d) Subsection (b) applies to a personal e-mail address of a
154	154	director only if the district does not make available to the public
155	155	an official e-mail address for the director or the district. In
156	156	this subsection, "personal e-mail address" means an e-mail address
157	157	that is not paid for by district money and is not used primarily for
158	158	the transaction of official business of the district.
159	159	SECTION 15. Section 49.102, Water Code, is amended by
160	160	amending Subsection (j) and adding Subsections (k) and (l) to read
161	161	as follows:
162	162	(j) The provisions of this section requiring a confirmation
163	163	election do not apply to a [shall not be applicable to any] district
164	164	exercising the powers of Chapter 375, Local Government Code, or any
165	165	district created by a special Act of the legislature that does not
166	166	require a confirmation election.
167	167	(k) Notwithstanding any other law, if the board determines
168	168	that it is in the best interest of the district and the voters of the
169	169	district for the district to administer an election under this
170	170	section, the district shall establish precincts and designate
171	171	polling locations inside the boundaries of the district.
172	172	(l) Section 43.075, Local Government Code, does not apply to
173	173	a district until the board declares the district is created under
174	174	Subsection (e) of this section.
175	175	SECTION 16. Section 49.106, Water Code, is amended by
176	176	amending Subsection (e) and adding Subsection (f) to read as
177	177	follows:
178	178	(e) A district's authorization to issue bonds resulting
179	179	from an election held under this section, or any other law that
180	180	allows for the qualified voters of a district to authorize the
181	181	issuance of bonds by a district, remains in effect after the
182	182	election unless the district is dissolved [or is annexed by another
183	183	district].
184	184	(f) The board may submit new bond authorization and
185	185	refunding bond authorization in a single proposition at an
186	186	election.
187	187	SECTION 17. Section 49.181, Water Code, is amended by
188	188	adding Subsection (f-1) to read as follows:
189	189	(f-1) For the purposes of evaluating the financial
190	190	feasibility of a project financed by a bond, the commission shall
191	191	consider:
192	192	(1) a district located wholly or partly in Austin,
193	193	Brazos, Chambers, Grimes, Liberty, Walker, or Wharton County as if
194	194	the district were located in Harris County; and
195	195	(2) a district located wholly or partly in Bastrop,
196	196	Bell, Blanco, Burnet, Caldwell, Gillespie, Kendall, Lee, or Milam
197	197	County as if the district were located in Travis County.
198	198	SECTION 18. Section 49.23602(c), Water Code, is amended to
199	199	read as follows:
200	200	(c) If the board of a district adopts a combined debt
201	201	service, contract, and operation and maintenance tax rate that
202	202	exceeds the district's mandatory tax election rate, an election
203	203	must be held in accordance with the procedures provided by Sections
204	204	26.07(c)-(g), Tax Code, to determine whether to approve the adopted
205	205	tax rate. If the adopted tax rate is not approved at the election,
206	206	the district's tax rate is the voter-approval tax rate. An election
207	207	is not required if the adopted tax rate is less than or equal to the
208	208	voter-approval tax rate.
209	209	SECTION 19. Section 49.271, Water Code, is amended by
210	210	amending Subsection (e) and adding Subsection (f) to read as
211	211	follows:
212	212	(e) A [district] contract for construction work may include
213	213	economic incentives for early completion of the work or economic
214	214	disincentives for late completion of the work.
215	215	(f) The provisions of this section apply to a contract for
216	216	construction work entered into by a third party on behalf of a
217	217	district.
218	218	SECTION 20. Subchapter J, Chapter 49, Water Code, is
219	219	amended by adding Section 49.316 to read as follows:
220	220	Sec. 49.316. DIVISION OF DISTRICT. (a) The board, on its
221	221	own motion or on receipt of a petition signed by the owner or owners
222	222	of a majority of the assessed value of the real property in the
223	223	district, may adopt an order dividing the district.
224	224	(b) An order dividing a district may create one or more new
225	225	districts and may provide for the continuation of the district.
226	226	(c) An order dividing the district shall:
227	227	(1) name any new district;
228	228	(2) include the metes and bounds description of the
229	229	territory of each of the districts;
230	230	(3) appoint temporary directors for any new district;
231	231	and
232	232	(4) provide for the division of assets and liabilities
233	233	between the districts.
234	234	(d) The board may adopt an order dividing the district
235	235	before or after the date the board holds an election to confirm the
236	236	district's creation.
237	237	(e) The district may be divided only if the district:
238	238	(1) has never issued any bonds; and
239	239	(2) is not imposing ad valorem taxes.
240	240	(f) A new district created by the division of the district
241	241	may not, at the time the new district is created, contain any land
242	242	outside the area of the district at the time of creation.
243	243	(g) On or before the 30th day after the date of adoption of
244	244	an order dividing the district, the district shall file the order
245	245	with the commission and record the order in the real property
246	246	records of each county in which the district is located.
247	247	(h) A new district created by the division of the district
248	248	shall hold a confirmation and directors' election.
249	249	(i) If the creation of a new district is confirmed, the new
250	250	district shall provide the election date and results to the
251	251	commission.
252	252	(j) A new district created by the division of the district
253	253	must hold an election as required by this chapter to obtain voter
254	254	approval before the district may impose a maintenance tax or issue
255	255	bonds payable wholly or partly from ad valorem taxes.
256	256	(k) Municipal consent to the creation of the district and to
257	257	the inclusion of land in the district acts as municipal consent to
258	258	the creation of any new district created by the division of the
259	259	district and to the inclusion of land in the new district.
260	260	(l) The district may continue to rely on confirmation,
261	261	directors', bond, and tax elections held before the division.
262	262	SECTION 21. Section 49.452, Water Code, is amended by
263	263	amending Subsection (a) and adding Subsections (a-1) and (a-2) to
264	264	read as follows:
265	265	(a) In this section, "district" means a district:
266	266	(1) governed by Chapter 375, Local Government Code; or
267	267	(2) [(1) Any person who proposes to sell or convey
268	268	real property located in a district] created under this title or by
269	269	a special Act of the legislature that:
270	270	(A) is providing or proposing to provide, as the
271	271	district's principal function, water, sanitary sewer, drainage,
272	272	and flood control or protection facilities or services, or any of
273	273	these facilities or services that have been financed or are
274	274	proposed to be financed with bonds of the district payable in whole
275	275	or part from taxes of the district, or by imposition of a standby
276	276	fee, if any, to household or commercial users, other than
277	277	agricultural, irrigation, or industrial users;[,] and
278	278	(B) [which district] includes less than all the
279	279	territory in at least one county and which, if located within the
280	280	corporate area of a city, includes less than 75 percent of the
281	281	incorporated area of the city or which is located outside the
282	282	corporate area of a city in whole or in substantial part[, must
283	283	first give to the purchaser the written notice provided in this
284	284	section].
285	285	(a-1) A person who proposes to sell or convey real property
286	286	located in a district must give to the purchaser the written notice
287	287	as provided by this section and Section 49.4521.
288	288	(a-2) [(2)] The provisions of this section are [shall] not
289	289	[be] applicable to:
290	290	(1) [(A)] transfers of title under any type of lien
291	291	foreclosure;
292	292	(2) [(B)] transfers of title by deed in cancellation
293	293	of indebtedness secured by a lien upon the property conveyed;
294	294	(3) [(C)] transfers of title by reason of a will or
295	295	probate proceedings; [or]
296	296	(4) [(D)] transfers of title to a governmental entity;
297	297	or
298	298	(5) transfers of title for the purpose of qualifying a
299	299	director.
300	300	SECTION 22. Subchapter M, Chapter 49, Water Code, is
301	301	amended by adding Section 49.4521 to read as follows:
302	302	Sec. 49.4521. PRESCRIBED NOTICE TO PURCHASERS. (a) A
303	303	notice to a purchaser provided under Section 49.452 must include:
304	304	(1) a title caption in at least a 24-point, bold font
305	305	stating "NOTICE TO PURCHASER OF SPECIAL TAXING OR ASSESSMENT
306	306	DISTRICT"; and
307	307	(2) the following statements, as applicable to the
308	308	district:
309	309	(A) "The real property that you are about to
310	310	purchase is located in the (insert name of district) and may be
311	311	subject to district taxes or assessments.";
312	312	(B) "The district may, subject to voter approval,
313	313	impose taxes and issue bonds. The district may impose an unlimited
314	314	rate of tax in payment of such bonds.";
315	315	(C) one of the following, as applicable:
316	316	(i) "The current rate of the district
317	317	property tax is (insert current property tax rate) on each $100 of
318	318	assessed valuation."; or
319	319	(ii) "The district has not yet imposed
320	320	taxes. The projected rate of the district property tax is (insert
321	321	projected property tax rate) on each $100 of assessed valuation.";
322	322	(D) "The district may impose assessments and
323	323	issue bonds and impose an assessment in payment of such bonds.";
324	324	(E) one of the following, as applicable:
325	325	(i) "The rate of the district assessment is
326	326	(insert current assessment amount) on each $100 of assessed
327	327	valuation.";
328	328	(ii) "The amount of the district assessment
329	329	on the real property that you are about to purchase is (insert
330	330	current assessment amount)."; or
331	331	(iii) "The district has not yet imposed an
332	332	assessment, but the projected (insert "rate" or "amount", as
333	333	applicable) of the assessment is (insert projected assessment rate
334	334	or amount, as applicable).";
335	335	(F) "The total amounts of bonds payable wholly or
336	336	partly from (insert "property taxes" or "assessments", as
337	337	applicable) (insert ", excluding refunding bonds that are
338	338	separately approved by the voters" or ", excluding any bonds or any
339	339	portions of bonds issued that are payable solely from revenues
340	340	received or expected to be received under a contract with a
341	341	governmental entity", as applicable), approved by the voters are:
342	342	(i) $(insert amount) for water, sewer, and
343	343	drainage facilities;
344	344	(ii) $(insert amount) for road facilities;
345	345	(iii) $(insert amount) for parks and
346	346	recreational facilities; and
347	347	(iv) $(insert amount) for (description of
348	348	additional facilities, as applicable).";
349	349	(G) "The aggregate initial principal amounts of
350	350	all such bonds issued are:
351	351	(i) $(insert amount) for water, sewer, and
352	352	drainage facilities;
353	353	(ii) $(insert amount) for road facilities;
354	354	(iii) $(insert amount) for parks and
355	355	recreational facilities; and
356	356	(iv) $(insert amount) for (description of
357	357	additional facilities, as applicable).";
358	358	(H) "The district sought and obtained approval of
359	359	the Texas Commission on Environmental Quality to adopt and impose a
360	360	standby fee. The amount of the standby fee is $(insert amount of
361	361	standby fee). An unpaid standby fee is a personal obligation of the
362	362	person that owned the property at the time of imposition and is
363	363	secured by a lien on the property. Any person may request a
364	364	certificate from the district stating the amount, if any, of unpaid
365	365	standby fees on a tract of property in the district.";
366	366	(I) if applicable, one of the following:
367	367	(i) "The district is located wholly or
368	368	partly in the extraterritorial jurisdiction of the City of (insert
369	369	name of the municipality). Texas law governs the ability of a
370	370	municipality to annex property in the municipality's
371	371	extraterritorial jurisdiction and whether a district that is
372	372	annexed by the municipality is dissolved."; or
373	373	(ii) "The district is located wholly or
374	374	partly within the corporate boundaries of the City of (insert name
375	375	of the municipality). The municipality and the district overlap,
376	376	but may not provide duplicate services or improvements. Property
377	377	located in the municipality and the district is subject to taxation
378	378	by the municipality and the district.";
379	379	(J) "The district has entered into a strategic
380	380	partnership agreement with the City of (insert name of the
381	381	municipality). This agreement may address the timeframe, process,
382	382	and procedures for the municipal annexation of the area of the
383	383	district located in the municipality's extraterritorial
384	384	jurisdiction.";
385	385	(K) "The purpose of the district is to provide
386	386	(insert water, sewer, drainage, flood control, firefighting, road,
387	387	parks and recreational, or other type of facilities or services, as
388	388	applicable) facilities and services. The cost of district
389	389	facilities is not included in the purchase price of your
390	390	property.";
391	391	(L) "PURCHASER IS ADVISED THAT THE INFORMATION
392	392	SHOWN ON THIS FORM IS SUBJECT TO CHANGE BY THE DISTRICT AT ANY TIME.
393	393	THE DISTRICT ANNUALLY ESTABLISHES TAX RATES. PURCHASER IS ADVISED
394	394	TO CONTACT THE DISTRICT TO DETERMINE THE STATUS OF ANY CURRENT OR
395	395	PROPOSED CHANGES TO THE INFORMATION SHOWN ON THIS FORM."; and
396	396	(M) "The undersigned purchaser hereby
397	397	acknowledges receipt of the foregoing notice at or before the
398	398	execution of a binding contract for the purchase of the real
399	399	property or at closing of purchase of the real property.".
400	400	(b) The district shall omit or edit for accuracy statements
401	401	not applicable to the district, as determined by the district.
402	402	(c) The notice must be dated and executed by the seller and
403	403	the purchaser.
404	404	(d) If the law is amended and causes inaccuracies in the
405	405	content of the notice, the district shall revise the content of the
406	406	notice to accurately reflect current law.
407	407	SECTION 23. Section 49.453, Water Code, is amended by
408	408	adding Subsection (e) to read as follows:
409	409	(e) A district required to maintain an Internet website or
410	410	have access to a generally accessible Internet website under
411	411	Section 26.18, Tax Code, shall post or create a process for posting
412	412	the district's notice to purchasers under Section 49.4521 on the
413	413	applicable Internet website.
414	414	SECTION 24. Section 49.455(c), Water Code, is amended to
415	415	read as follows:
416	416	(c) The information form [and map or plat] required by this
417	417	section shall be signed by a majority of the members of the board
418	418	and by each such officer affirmed and acknowledged before it is
419	419	filed with the county clerk, and each amendment made to an
420	420	information form [or map] shall also be signed by the members of the
421	421	board and by each such officer affirmed and acknowledged before it
422	422	is filed with the county clerk.
423	423	SECTION 25. Subchapter O, Chapter 51, Water Code, is
424	424	amended by adding Section 51.7131 to read as follows:
425	425	Sec. 51.7131. ALTERNATIVE SUBSTITUTION PROCEDURES.
426	426	Notwithstanding this subchapter, a district may substitute land in
427	427	the manner provided by Sections 54.739-54.747.
428	428	SECTION 26. Section 53.029(e), Water Code, is amended to
429	429	read as follows:
430	430	(e) A district that has adopted the rights, authority,
431	431	privileges, and functions of a road district in the manner provided
432	432	by Subsection (c) may, following approval of a construction
433	433	contract by the district's governing body, reimburse expenditures
434	434	as provided by Sections 257.003(a), [and] (b), and (d),
435	435	Transportation Code, without any additional approval or
436	436	determination under Section 257.003, Transportation Code.
437	437	SECTION 27. Section 54.016, Water Code, is amended by
438	438	adding Subsection (f-1) to read as follows:
439	439	(f-1) An agreement between a municipality and a municipal
440	440	utility district is an allocation agreement only if:
441	441	(1) the agreement strictly complies with the
442	442	requirements of Subsection (f); and
443	443	(2) the agreement is specifically designated by the
444	444	parties to the agreement as an "allocation agreement" under
445	445	Subsection (f).
446	446	SECTION 28. Sections 54.234(d) and (e), Water Code, are
447	447	amended to read as follows:
448	448	(d) If the commission issues an order approving the
449	449	petition, the district may undertake a road project if:
450	450	(1) the municipality or county with platting
451	451	jurisdiction [that will operate and maintain the road] has approved
452	452	the plans and specifications of the road project; or
453	453	(2) the Texas Transportation Commission has approved
454	454	the plans and specifications of the road project, if the state is to
455	455	operate and maintain the road.
456	456	(e) Notwithstanding any other law and except [Except] as
457	457	provided by Subsection (d), a district is not required to obtain
458	458	approval from the Texas Transportation Commission to acquire,
459	459	construct, convey, or finance the road project.
460	460	SECTION 29. Section 54.728, Water Code, is amended to read
461	461	as follows:
462	462	Sec. 54.728. CONSOLIDATION OF DISTRICTS. (a) Two or more
463	463	districts governed by the provisions of this chapter may
464	464	consolidate into one district as provided by Sections 54.729-54.733
465	465	of this code.
466	466	(b) One or more districts governed by the provisions of this
467	467	chapter and one or more districts governed by the provisions of
468	468	Chapter 375, Local Government Code, may consolidate into one
469	469	district as provided by this subsection and Sections 54.729-54.733
470	470	of this code. The initial directors of the consolidated district
471	471	shall be elected and serve terms as provided by Section 49.103 of
472	472	this code. The consolidation agreement under this subsection may
473	473	provide that the consolidated district continue operating with the
474	474	powers, authorities, duties, responsibilities, and board of
475	475	directors of one of the original districts before consolidation.
476	476	(c) After the initial election of directors, a district
477	477	consolidated under Subsection (b) is governed as agreed by either:
478	478	(1) an elected board of directors, who must be elected
479	479	at a general election in the manner and for the terms provided by
480	480	Section 49.103; or
481	481	(2) an appointed board of directors, who must be
482	482	appointed as provided under Chapter 375, Local Government Code.
483	483	SECTION 30. Section 57.053, Water Code, is amended by
484	484	amending Subsection (a) and adding Subsection (d) to read as
485	485	follows:
486	486	(a) A vacancy on an appointed board is filled by the
487	487	appointment of a director by a majority vote of the commissioners
488	488	court. [A director appointed to fill a vacancy must be a person
489	489	qualified for election as a director under Section 57.059.] The
490	490	commissioners court shall appoint directors so that the board will
491	491	always have full membership.
492	492	(d) A director appointed to fill a vacancy must be a person
493	493	qualified to serve as a director under Section 57.059.
494	494	SECTION 31. Section 57.059, Water Code, is amended to read
495	495	as follows:
496	496	Sec. 57.059. QUALIFICATIONS FOR [ELECTED] DIRECTORS. To be
497	497	qualified to serve [for election] as a director, a person must:
498	498	(1) be at least 18 years old;
499	499	(2) own land subject to taxation in the district or be
500	500	a qualified voter in the district; [property taxpaying elector of
501	501	the precinct and county from which he is elected] and
502	502	(3) if the director is elected, be a qualified voter of
503	503	the precinct in the district established by the commissioners court
504	504	under Section 57.058 from which the director is elected [be
505	505	eligible under the constitution and laws of this state to hold the
506	506	office to which he is elected].
507	507	SECTION 32. The following provisions are repealed:
508	508	(1) Sections 375.023 and 375.024, Local Government
509	509	Code;
510	510	(2) Sections 375.025(a) and (b), Local Government
511	511	Code;
512	512	(3) Sections 49.452(b), (c), (d), and (e), Water Code;
513	513	(4) Sections 49.455(f) and (h), Water Code;
514	514	(5) Section 54.030(b), Water Code, as amended by
515	515	Chapter 539 (H.B. 2914), Acts of the 86th Legislature, Regular
516	516	Session, 2019;
517	517	(6) Section 54.032(a), Water Code, as amended by
518	518	Chapter 539 (H.B. 2914), Acts of the 86th Legislature, Regular
519	519	Session, 2019;
520	520	(7) Section 54.033(a), Water Code, as amended by
521	521	Chapter 539 (H.B. 2914), Acts of the 86th Legislature, Regular
522	522	Session, 2019; and
523	523	(8) Section 54.103, Water Code.
524	524	SECTION 33. (a) Section 49.452, Water Code, as amended by
525	525	this Act, and Section 49.4521, Water Code, as added by this Act,
526	526	apply only to notice given to a purchaser of real property within a
527	527	water district on or after the effective date of this Act. Notice
528	528	given to a purchaser before the effective date is governed by the
529	529	law in effect at the time the notice was given, and that law is
530	530	continued in effect for that purpose.
531	531	(b) Section 49.455, Water Code, as amended by this Act,
532	532	applies only to an information form filed on or after the effective
533	533	date of this Act. An information form filed before the effective
534	534	date of this Act is governed by the law in effect on the date the
535	535	form was filed, and that law is continued in effect for that
536	536	purpose.
537	537	SECTION 34. This Act takes effect immediately if it
538	538	receives a vote of two-thirds of all the members elected to each
539	539	house, as provided by Section 39, Article III, Texas Constitution.
540	540	If this Act does not receive the vote necessary for immediate
541	541	effect, this Act takes effect September 1, 2023.
542	542	______________________________ ______________________________
543	543	President of the Senate Speaker of the House
544	544	I certify that H.B. No. 2815 was passed by the House on May
545	545	12, 2023, by the following vote: Yeas 124, Nays 16, 2 present, not
546	546	voting; and that the House concurred in Senate amendments to H.B.
547	547	No. 2815 on May 26, 2023, by the following vote: Yeas 129, Nays 9,
548	548	1 present, not voting.
549	549	______________________________
550	550	Chief Clerk of the House
551	551	I certify that H.B. No. 2815 was passed by the Senate, with
552	552	amendments, on May 24, 2023, by the following vote: Yeas 30, Nays
553	553	0.
554	554	______________________________
555	555	Secretary of the Senate
556	556	APPROVED: __________________
557	557	Date
558	558	__________________
559	559	Governor