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Enrolled Bill Summary

Enrolled Bill Summary

Legislative Session: 81(R)

Senate Bill 726

Senate Author:  Eltife

Effective:  See below

House Sponsor:  Hughes


            Senate Bill 726 amends the Special District Local Laws Code to create the Harrison County Groundwater Conservation District, coextensive with the boundaries of that county, subject to voter approval at a confirmation election. The bill authorizes the district to impose production fees on nonexempt wells, subject to specified maximum rates, as well as groundwater export fees, but prohibits the district from purchasing, selling, transporting, or distributing surface water or groundwater and from exercising the power of eminent domain.  The bill limits ad valorem tax rates to not more than 1.5 cents per $100 valuation and sets a $500,000 limit on indebtedness from district bond and note issuances. The provisions of the bill pertaining to the Harrison County Groundwater Conservation District take effect June 19, 2009.

            Senate Bill 726 creates the Prairielands Groundwater Conservation District, subject to voter approval at a confirmation election. The initial district boundaries encompass Ellis, Hill, Johnson, and Somervell Counties and, after September 1, 2009, Navarro County. The bill establishes contracting authority for the district, sets out provisions relating to well spacing requirements and exemptions, and authorizes the district to establish registration and reporting requirements for certain wells that are exempt from permitting under the Water Code. The district is authorized to impose a fee, with a specified limitation on the amount, on a person producing groundwater in violation  of a district rule or order. The bill prohibits the district from imposing a tax and authorizes it to impose production fees on nonexempt wells and certain wells exempted under the Water Code, subject to specified maximum rates. The provisions of the bill pertaining to the Prairielands Groundwater Conservation District take effect September 1, 2009.