89R13809 JBD-D By: DeAyala H.B. No. 2805 A BILL TO BE ENTITLED AN ACT relating to civil actions related to groundwater conservation districts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 36.066, Water Code, is amended by amending Subsections (a), (g), and (h) and adding Subsection (g-1) to read as follows: (a) A district may sue and be sued in the courts of this state in the name of the district by and through its board. A district board member is immune from personal [suit and immune from] liability for official votes and official actions. To the extent an official vote or official action conforms to laws relating to conflicts of interest, abuse of office, or constitutional obligations, this subsection provides immunity for those actions. All courts shall take judicial notice of the creation of the district and of its boundaries. (g) If the trial court finds by clear and convincing evidence that an administrative proceeding brought against a district and appealed to the court or a suit brought against a district was groundless and brought in bad faith [district prevails in any suit other than a suit in which it voluntarily intervenes], the district may seek and the court shall grant, in the interests of justice and as provided by Subsection (h), in the same action, recovery for reasonable and necessary attorney's fees, costs for expert witnesses and depositions, and other costs incurred by the district in the proceeding or suit [before the court]. (g-1) If the trial court finds by clear and convincing evidence that a district has intentionally violated the statutory or constitutional rights of a groundwater rights owner, the rights owner may seek and the court shall grant, in the interests of justice and as provided by Subsection (h), in the same action, recovery for reasonable and necessary attorney's fees, costs for expert witnesses and depositions, and other costs incurred by the rights owner in: (1) an administrative proceeding appealed to the court and arising from the rights violation; and (2) a suit arising from the rights violation. [The amount of the attorney's fees shall be fixed by the court.] (h) The court shall determine the amount of attorney's fees awarded under this section. If the district or groundwater rights owner prevails on some, but not all, of the issues in the proceeding or suit, the court shall award attorney's fees and costs under this section only for those issues on which the district or rights owner prevails. The district or rights owner, as applicable, has the burden of segregating the attorney's fees and costs in order for the court to make an award. SECTION 2. Section 36.066, Water Code, as amended by this Act, applies only to an action filed on or after the effective date of this Act. An action filed before the effective date of this Act is governed by the law as it existed immediately before the effective date of this Act, and that law is continued in effect for that purpose. SECTION 3. This Act takes effect September 1, 2025.