| 1 | 1 | | 89R8779 SCR-F |
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| 2 | 2 | | By: Gerdes H.B. No. 2034 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | |
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| 7 | 7 | | A BILL TO BE ENTITLED |
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| 8 | 8 | | AN ACT |
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| 9 | 9 | | relating to the issuance of groundwater permits to certain aliens |
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| 10 | 10 | | or foreign entities. |
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| 11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 12 | 12 | | SECTION 1. Subchapter D, Chapter 36, Water Code, is amended |
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| 13 | 13 | | by adding Section 36.1141 to read as follows: |
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| 14 | 14 | | Sec. 36.1141. PERMITS ISSUED TO CERTAIN FOREIGN INDIVIDUALS |
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| 15 | 15 | | OR ENTITIES. (a) In this section: |
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| 16 | 16 | | (1) "Designated country" means a country identified by |
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| 17 | 17 | | the United States Director of National Intelligence as a country |
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| 18 | 18 | | that poses a risk to the national security of the United States in |
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| 19 | 19 | | each of the three most recent Annual Threat Assessments of the U.S. |
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| 20 | 20 | | Intelligence Community issued pursuant to Section 108B, National |
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| 21 | 21 | | Security Act of 1947 (50 U.S.C. Section 3043b). |
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| 22 | 22 | | (2) "Governing authority," "governing person," and |
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| 23 | 23 | | "organization" have the meanings assigned by Section 1.002, |
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| 24 | 24 | | Business Organizations Code. |
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| 25 | 25 | | (3) "Risk to the health, safety, and welfare of the |
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| 26 | 26 | | public" includes a likelihood that an individual, organization, or |
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| 27 | 27 | | governmental entity will engage in an act that: |
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| 28 | 28 | | (A) constitutes: |
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| 29 | 29 | | (i) a violation of state or federal |
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| 30 | 30 | | criminal law; |
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| 31 | 31 | | (ii) corporate espionage; or |
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| 32 | 32 | | (iii) a public nuisance; or |
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| 33 | 33 | | (B) causes or threatens to cause bodily injury to |
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| 34 | 34 | | a person, including the introduction of a dangerous disease or |
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| 35 | 35 | | dangerous substance into an area. |
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| 36 | 36 | | (b) For purposes of this section, an organization is under |
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| 37 | 37 | | the control of an individual or another organization if the |
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| 38 | 38 | | controlling individual or organization is authorized to: |
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| 39 | 39 | | (1) direct the activities of the controlled |
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| 40 | 40 | | organization; |
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| 41 | 41 | | (2) make or direct others to make legal commitments on |
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| 42 | 42 | | behalf of the controlled organization; or |
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| 43 | 43 | | (3) hire and fire a principal decision maker of the |
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| 44 | 44 | | controlled organization. |
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| 45 | 45 | | (c) The authority of the controlling individual or |
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| 46 | 46 | | organization under Subsection (b) may derive from: |
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| 47 | 47 | | (1) exercise of a voting ownership interest of the |
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| 48 | 48 | | controlled organization sufficient to elect a governing person or |
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| 49 | 49 | | governing authority of the controlled organization to exercise on |
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| 50 | 50 | | the controlling individual's or organization's behalf the authority |
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| 51 | 51 | | described by Subsection (b); or |
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| 52 | 52 | | (2) a financial, legal, practical, contractual, or |
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| 53 | 53 | | other arrangement that functionally enables the controlling |
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| 54 | 54 | | individual or organization to exercise the authority described by |
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| 55 | 55 | | Subsection (b). |
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| 56 | 56 | | (d) This section does not apply to a permit or permit |
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| 57 | 57 | | amendment issued to: |
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| 58 | 58 | | (1) an individual who is a citizen or lawful permanent |
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| 59 | 59 | | resident of the United States, including an individual who is a |
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| 60 | 60 | | citizen of a foreign country; or |
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| 61 | 61 | | (2) an organization that is owned by or under the |
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| 62 | 62 | | control of one or more individuals described by Subdivision (1). |
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| 63 | 63 | | (e) Except as provided by Subsection (d) and |
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| 64 | 64 | | notwithstanding any other law, a district may not issue a permit or |
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| 65 | 65 | | a permit amendment to or renew a permit for the following if the |
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| 66 | 66 | | issuance or renewal of the permit or amendment would create a risk |
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| 67 | 67 | | to the health, safety, and welfare of the public: |
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| 68 | 68 | | (1) a governmental entity of a designated country; |
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| 69 | 69 | | (2) an organization that is: |
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| 70 | 70 | | (A) headquartered in a designated country; |
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| 71 | 71 | | (B) directly or indirectly under the control of |
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| 72 | 72 | | the government of a designated country; or |
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| 73 | 73 | | (C) owned by or under the control of one or more |
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| 74 | 74 | | individuals who are domiciled in a designated country; |
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| 75 | 75 | | (3) an organization that is owned by or under the |
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| 76 | 76 | | control of an organization described by Subdivision (2); or |
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| 77 | 77 | | (4) an individual who is domiciled in a designated |
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| 78 | 78 | | country. |
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| 79 | 79 | | SECTION 2. Section 36.1141, Water Code, as added by this |
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| 80 | 80 | | Act, applies only to a permit issued, amended, or renewed by a |
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| 81 | 81 | | groundwater conservation district on or after the effective date of |
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| 82 | 82 | | this Act. A permit issued, amended, or renewed by a groundwater |
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| 83 | 83 | | conservation district before the effective date of this Act is |
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| 84 | 84 | | governed by the law in effect immediately before the effective date |
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| 85 | 85 | | of this Act, and that law is continued in effect for that purpose. |
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| 86 | 86 | | SECTION 3. This Act takes effect September 1, 2025. |
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