1-1 By: Bosse (Senate Sponsor - Brown) H.B. No. 2209 1-2 (In the Senate - Received from the House April 19, 1993; 1-3 April 19, 1993, read first time and referred to Committee on 1-4 Natural Resources; May 7, 1993, reported favorably by the following 1-5 vote: Yeas 7, Nays 0; May 7, 1993, sent to printer.) 1-6 COMMITTEE VOTE 1-7 Yea Nay PNV Absent 1-8 Sims x 1-9 Truan x 1-10 Armbrister x 1-11 Barrientos x 1-12 Bivins x 1-13 Brown x 1-14 Carriker x 1-15 Lucio x 1-16 Montford x 1-17 Ratliff x 1-18 Shelley x 1-19 A BILL TO BE ENTITLED 1-20 AN ACT 1-21 relating to the Harris-Galveston Coastal Subsidence District. 1-22 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-23 SECTION 1. The Water Code is amended by adding Title 5 to 1-24 read as follows: 1-25 TITLE 5. SPECIAL LAW DISTRICTS 1-26 CHAPTER 151. HARRIS-GALVESTON COASTAL SUBSIDENCE DISTRICT 1-27 SUBCHAPTER A. GENERAL PROVISIONS 1-28 Sec. 151.001. CREATION. (a) The Harris-Galveston Coastal 1-29 Subsidence District is an underground water conservation district 1-30 created under and essential to accomplish the purposes of Article 1-31 XVI, Section 59, of the Texas Constitution. 1-32 (b) The district is a governmental agency and body politic 1-33 and corporate. 1-34 Sec. 151.002. DEFINITIONS. In this chapter: 1-35 (1) "Board" means the board of directors of the 1-36 district. 1-37 (2) "Commission" means the Texas Natural Resource 1-38 Conservation Commission. 1-39 (3) "District" means the Harris-Galveston Coastal 1-40 Subsidence District. 1-41 (4) "Drill" means drilling, equipping, or completing 1-42 wells or substantially altering the size of wells or well pumps. 1-43 (5) "Groundwater" means water located beneath the 1-44 earth's surface, but does not include water produced with oil in 1-45 the production of oil and gas. 1-46 (6) "Groundwater-withdrawal year" means the period 1-47 beginning January 1 of one year and ending December 31 of that same 1-48 year. 1-49 (7) "Subsidence" means the lowering in elevation of 1-50 the surface of land by the withdrawal of groundwater. 1-51 (8) "Water conservation" means any measure that seeks 1-52 to make a water supply available for alternative or future uses, 1-53 including best management practices, reduction in consumption, 1-54 reduction in loss or waste, improved efficiency or accountability, 1-55 recycling, reuse, or pollution prevention. 1-56 (9) "Well" means a facility, device, or method used to 1-57 withdraw groundwater from the groundwater supply within the 1-58 district. 1-59 (10) "Well owner" means a person who has an ownership 1-60 interest in a well, owns land on which a well is located, owns the 1-61 water withdrawn or to be withdrawn from a well, or operates a well. 1-62 (11) "Withdraw" means the act of extracting 1-63 groundwater by pumping or some other method. 1-64 Sec. 151.003. BOUNDARIES. (a) The district includes all of 1-65 the area located within the boundaries of Harris County and 1-66 Galveston County. 1-67 (b) Except as provided in this subsection, an adjoining 1-68 county may be added to the district on application of the 2-1 commissioners court of the adjoining county and by complying with 2-2 the procedures provided in Sections 55.730-55.744 of this code, to 2-3 the extent that those provisions are applicable. Any county added 2-4 to the district under this subsection is subject to the 2-5 jurisdiction of the board and this chapter, and two members shall 2-6 be added to the board. One shall be chosen by the commissioners 2-7 court of the county added to the district and one shall be chosen 2-8 by the mayor of the city that has the largest population in the 2-9 county that is added. The two new members shall draw lots to 2-10 establish staggered terms of office. 2-11 Sec. 151.004. PURPOSE AND INTENT; FINDING OF BENEFIT. 2-12 (a) The purpose of this chapter is to provide for the regulation 2-13 of the withdrawal of groundwater within the boundaries of the 2-14 district for the purpose of ending subsidence, which contributes to 2-15 or precipitates flooding, inundation, or overflow of the district, 2-16 including without limitation rising waters resulting from storms or 2-17 hurricanes. 2-18 (b) The legislature intends that the district shall 2-19 administer and enforce this chapter and shall exercise the 2-20 district's rights, powers, and duties in a manner that will 2-21 effectively and expeditiously accomplish the purposes of this 2-22 chapter. 2-23 (c) All of the land and other property included within the 2-24 boundaries of the district will be benefited by the works and 2-25 projects that are to be accomplished by the district under powers 2-26 conferred by Article XVI, Section 59, of the Texas Constitution. 2-27 The district is created to serve a public use and benefit. 2-28 Sec. 151.005. POWERS AND DUTIES IN GENERAL. (a) The 2-29 district has all of the rights, powers, privileges, authority, 2-30 functions, and duties provided by the general law of this state, 2-31 including Chapters 50 and 52 of this code, applicable to 2-32 underground water conservation districts created under Article XVI, 2-33 Section 59, of the Texas Constitution. 2-34 (b) Withdrawals of groundwater covered by this chapter are 2-35 subject to reasonable rules and orders adopted by the board, taking 2-36 into account all factors including availability of surface water, 2-37 economic impact on persons and the community, degree and effect of 2-38 subsidence on the surface of land, and differing topographical and 2-39 geophysical characteristics of land areas in the district. The 2-40 board has the powers and duties specifically described in this 2-41 chapter and all other powers necessary or convenient to carry out 2-42 its responsibilities and achieve the purpose of this chapter. 2-43 (c) Sections 52.1511, 52.156, 52.167, 52.168, 52.170, and 2-44 52.173 of this code and Subchapters B, C, H, I, J, and K of Chapter 2-45 52 of this code do not apply to the district. 2-46 (d) The district may not sell or distribute surface water or 2-47 groundwater for any purpose. 2-48 (e) This chapter prevails over any other law in conflict or 2-49 inconsistent with this chapter. 2-50 (Sections 151.006-151.030 reserved for expansion 2-51 SUBCHAPTER B. ADMINISTRATIVE PROVISIONS 2-52 Sec. 151.031. BOARD OF DIRECTORS. (a) The district is 2-53 governed by a board of directors composed of 17 members who serve 2-54 for two-year, staggered terms. 2-55 (b) The board consists of: 2-56 (1) six members from the city in the district having 2-57 the largest population of any city in the district, to be appointed 2-58 by the mayor of that city, one of these members to be a 2-59 representative of industry; 2-60 (2) one member from the city in the district having 2-61 the next largest population of any city in the district, to be 2-62 appointed by the mayor of that city; 2-63 (3) two members from all incorporated cities in 2-64 Galveston County, appointed by the mayors of those cities; 2-65 (4) one member from the city of Baytown, appointed by 2-66 the mayor of that city; 2-67 (5) two members appointed by the commissioners court 2-68 of Harris County, one to be a representative of agriculture and one 2-69 to be a representative of industry, provided that neither of these 2-70 members is a resident of the city in the district having the 3-1 largest population; 3-2 (6) two members appointed by the commissioners court 3-3 of Galveston County; 3-4 (7) one member from Harris County chosen by the mayors 3-5 of the cities of Deer Park, Galena Park, La Porte, Nassau Bay, and 3-6 Seabrook and the president of the Clear Lake City Water Authority; 3-7 (8) one member from Harris County chosen by the mayors 3-8 of the cities of West University Place, Southside Place, Bellaire, 3-9 and Jacinto City; and 3-10 (9) one member from Harris County chosen by the mayors 3-11 of the cities of Humble, Piney Point Village, Hedwig Village, 3-12 Bunker Hill Village, Hunters Creek Village, Hilshire Village, and 3-13 the village of Spring Valley. 3-14 (c) A member of the board must be a resident of and a 3-15 qualified voter in the district. 3-16 Sec. 151.032. OFFICERS. (a) Each year at the first meeting 3-17 after the new directors take office, the members shall select one 3-18 of their number to serve as chairman, one to serve as 3-19 vice-chairman, and one to serve as secretary. 3-20 (b) The chairman shall preside over meetings of the board, 3-21 and in the chairman's absence the vice-chairman shall preside. 3-22 Sec. 151.033. VACANCIES. If a vacancy occurs on the board, 3-23 a person representing the same area from which the person who 3-24 vacates the position is appointed shall be chosen by the person or 3-25 persons designated in Section 151.031(b) to serve the unexpired 3-26 term. 3-27 Sec. 151.034. MEETINGS. The board shall meet for a regular 3-28 meeting once each month at a time set by the board and may hold 3-29 special meetings at the call of the chairman or on the written 3-30 request of at least three members of the board. 3-31 Sec. 151.035. GENERAL MANAGER. (a) The board shall employ 3-32 a general manager as the chief administrative officer of the 3-33 district. The board may delegate to the general manager full 3-34 authority to manage and operate the affairs of the district subject 3-35 only to orders of the board. 3-36 (b) The duties of the general manager include: 3-37 (1) administering the orders of the board; 3-38 (2) coordination with state, federal, and local 3-39 agencies; 3-40 (3) overseeing development of district plans and 3-41 programs; and 3-42 (4) other duties assigned by the board. 3-43 (c) The board shall determine the terms of office and 3-44 employment and the compensation to be paid the general manager, and 3-45 the general manager may be discharged by a majority vote of the 3-46 board. 3-47 Sec. 151.036. EMPLOYEES; BOND. (a) The general manager 3-48 shall employ all persons necessary for the proper handling of the 3-49 business and operation of the district and may employ attorneys, 3-50 bookkeepers, engineers, and other expert and specialized personnel 3-51 considered necessary. The general manager shall determine 3-52 compensation to be paid by the district. 3-53 (b) The general manager may discharge employees of the 3-54 district. 3-55 (c) The board shall require an employee who collects, pays, 3-56 or handles funds of the district to furnish good and sufficient 3-57 bond, payable to the district, for a sufficient amount to safeguard 3-58 the district. The bond shall be conditioned on the faithful 3-59 performance of the employee's duties and on accounting for all 3-60 funds and property of the district in the employee's hands. The 3-61 district shall pay for the bond. 3-62 Sec. 151.037. SUITS. (a) The district may sue and be sued 3-63 in the courts of this state in the name of the district by and 3-64 through the board. 3-65 (b) The attorney general shall defend the district in suits 3-66 brought against the district in all district and appellate courts 3-67 of this state and in the courts of the United States. 3-68 (c) All courts shall take judicial notice of the creation of 3-69 the district and of its boundaries. 3-70 Sec. 151.038. ACCESS TO PROPERTY. (a) To carry out 4-1 technical and other investigations necessary to the implementation 4-2 of this chapter, the board and its agents and employees are 4-3 entitled to access to all property within the district. 4-4 (b) Before entering property for the purposes of this 4-5 section, the person seeking access shall give notice to the owner 4-6 of the property as provided by district rules and shall present 4-7 proper credentials. 4-8 (c) The board and its agents and employees who enter private 4-9 property shall observe the establishment's rules concerning safety, 4-10 internal security, and fire protection. 4-11 (Sections 151.039-151.070 reserved for expansion 4-12 SUBCHAPTER C. POWERS AND DUTIES 4-13 Sec. 151.071. RULES. (a) After notice and hearing, the 4-14 board shall adopt and enforce rules designed to expeditiously and 4-15 effectively implement this chapter and accomplish its purposes, 4-16 including rules governing procedure before the board. 4-17 (b) The board shall compile its rules in a book and make 4-18 them available for use and inspection at the district's principal 4-19 office. 4-20 Sec. 151.072. HEARINGS. (a) Board hearings shall be 4-21 conducted as provided by this section. Hearings are governed by 4-22 the open meetings law, Chapter 271, Acts of the 60th Legislature, 4-23 Regular Session, 1967 (Article 6252-17, Vernon's Texas Civil 4-24 Statutes). Except as provided by this section, notice of hearings 4-25 shall be provided according to that law. 4-26 (b) At a regular meeting of the board, the board shall set 4-27 the dates, times, and locations for any hearings to be held under 4-28 this chapter and shall direct the general manager of the district 4-29 to give notice. 4-30 (c) Written notice of a hearing shall be given to each 4-31 county and municipal government in the district and to each person 4-32 that the board believes has an interest in the subject matter to be 4-33 dealt with at the hearing. 4-34 (d) Notice of a hearing shall be published at least once in 4-35 a newspaper of general circulation in each county in the district. 4-36 (e) A copy of the notice shall be posted at the county 4-37 courthouse of each county in the district in the place where 4-38 notices are usually posted. 4-39 (f) A person who desires to appear at a hearing and present 4-40 testimony, evidence, exhibits, or other information may do so in 4-41 person, by counsel, or both. 4-42 (g) The board may hold hearings at any location in the 4-43 district. 4-44 (h) The board may recess a hearing from day to day. 4-45 (i) The board may use hearing examiners to hear any subject 4-46 set for the hearing so long as the decision on that subject is the 4-47 decision of the board. Procedures for use of hearing examiners 4-48 shall be provided by rule. 4-49 Sec. 151.073. COMPELLING TESTIMONY, SWEARING WITNESSES, AND 4-50 SUBPOENAS. (a) The board may compel the testimony of any person 4-51 necessary to carry out its powers, duties, and functions under this 4-52 chapter and may administer oaths to persons compelled to testify 4-53 before the board or any person designated by the board. 4-54 (b) The board may issue subpoenas to compel the testimony of 4-55 any person and the production of any document necessary to carry 4-56 out the powers, duties, and functions under this chapter. 4-57 Sec. 151.074. DISTRICT PLAN. (a) The board shall formulate 4-58 a plan to control and prevent subsidence in the district. The plan 4-59 shall accomplish that purpose by reducing groundwater withdrawals 4-60 to amounts that will restore and maintain sufficient artesian 4-61 pressure to control and prevent subsidence. 4-62 (b) The plan shall specify in as much detail as practicable 4-63 the acts, procedures, performance, and avoidance that are necessary 4-64 to carry out the purposes of this chapter. 4-65 Sec. 151.075. PLANNING PROCEDURES. (a) Included in the 4-66 information to be gathered for formulation of the plan shall be: 4-67 (1) a list of all wells in the district that are 4-68 subject to regulation under this chapter; 4-69 (2) an accurate estimate of groundwater production 4-70 from all wells or proposed wells in the district; 5-1 (3) an accurate estimate of the amount of groundwater 5-2 that may be produced from each area in the district without causing 5-3 reduction of artesian pressure that will lead to subsidence in the 5-4 district; 5-5 (4) an accurate estimate of the current and future 5-6 water needs in the district; 5-7 (5) a list of all available sources of water, other 5-8 than groundwater, in the area of the district; 5-9 (6) the purposes for which the water is currently used 5-10 and for which it is proposed to be used in the future; 5-11 (7) information relating to formulation of a permit 5-12 system; and 5-13 (8) other necessary information and material to carry 5-14 out the management of groundwater in the district and to 5-15 effectively and expeditiously accomplish the purposes of this 5-16 chapter. 5-17 (b) Before the plan is adopted, the board shall hold a 5-18 hearing to consider the proposed plan. 5-19 (c) After the hearing, the board shall make any changes it 5-20 considers necessary according to evidence and material presented at 5-21 the hearing and shall adopt the plan. 5-22 (d) The plan adopted under this section may be amended or 5-23 repealed and a new plan adopted as provided in this section for the 5-24 adoption of the original plan. A plan, once adopted, remains in 5-25 effect until the adoption of a new plan. 5-26 Sec. 151.076. BOARD INVESTIGATIONS. At least once each year 5-27 and at any other time that the board considers necessary, the board 5-28 shall have its staff and the staff of the Texas Water Development 5-29 Board, if necessary, make a complete study of the groundwater 5-30 situation in the district and determine the water level, rates of 5-31 withdrawal, amounts of withdrawal, and other information relating 5-32 to the withdrawal of groundwater that may effect the subsidence of 5-33 land in the district. 5-34 Sec. 151.077. ANNUAL GROUNDWATER-WITHDRAWAL DETERMINATION. 5-35 (a) On or before March 31 of each year, the board shall hold a 5-36 hearing to determine the effects of groundwater withdrawal during 5-37 the preceding groundwater-withdrawal year on the subsidence of land 5-38 within the district. 5-39 (b) At the hearing, the board shall consider information 5-40 developed under Sections 151.127 and 151.076 of this code in 5-41 addition to information represented by persons appearing before the 5-42 board. 5-43 (c) After the hearing, the board shall consider all 5-44 information presented to it, shall make determinations of 5-45 groundwater withdrawal in the district during the immediately 5-46 preceding groundwater-withdrawal year, and shall make findings of 5-47 the effects of groundwater withdrawal during that 5-48 groundwater-withdrawal year on the subsidence of land in the 5-49 district. Those findings and determinations shall be included in a 5-50 report adopted by the board and shall be made available for 5-51 examination by any interested persons. 5-52 Sec. 151.078. REGULATION OF SPACING AND PRODUCTION. (a) To 5-53 minimize as far as practicable the drawdown of the water table and 5-54 the reduction of artesian pressure and to control and prevent 5-55 subsidence, the board may provide for the spacing of wells and may 5-56 regulate the production of groundwater from the wells, taking into 5-57 consideration, among other relevant factors, the economic impact on 5-58 well owners and the resulting effect on subsidence. 5-59 (b) Before issuing an order or rule under this section, the 5-60 board shall set a hearing on the proposed order or rule and shall 5-61 issue notice of the hearing. 5-62 Sec. 151.079. WATER CONSERVATION MEASURES. The board may 5-63 adopt rules requiring the use of water conservation measures as a 5-64 means to reduce groundwater withdrawals. The district may also 5-65 cooperate with the commission and any local government to establish 5-66 water conservation goals, guidelines, and plans to be used within 5-67 the district. The district may contract with any local government 5-68 in the district to provide services necessary to meet water 5-69 conservation requirements established by the commission. 5-70 Sec. 151.080. REQUIRING WATER-METERING DEVICES. The board 6-1 may require water-metering devices to be placed on wells. 6-2 Sec. 151.081. MONITORING AND SUPERVISION BY DISTRICT. The 6-3 district may use subsidence compaction monitors, water-level 6-4 observation wells, and other materials and equipment to determine 6-5 the amount of groundwater that may be produced while at the same 6-6 time allowing the rebound and stabilization of groundwater to a 6-7 level that will halt subsidence. 6-8 Sec. 151.082. RESEARCH AND STUDIES. The district may 6-9 conduct any studies and research that the board considers necessary 6-10 to implement this chapter. The district may use the services of 6-11 geologists, hydrologists, registered professional engineers, or 6-12 other expert personnel to accomplish the purposes of this section. 6-13 Sec. 151.083. COOPERATION WITH AND ASSISTANCE OF OTHER 6-14 GOVERNMENTAL ENTITIES; GRANTS. (a) The board may cooperate with 6-15 and request the assistance of local governments and any agency of 6-16 the state or of the United States in implementing this chapter. 6-17 (b) The district may make or accept grants, gratuities, 6-18 advances, or loans in any form to or from any public source 6-19 approved by the board, including any governmental entity, and may 6-20 enter into contracts, agreements, and covenants that the board 6-21 considers appropriate in connection with grants, gratuities, 6-22 advances, or loans. 6-23 Sec. 151.084. EXCLUSIONS. (a) The regulatory provisions of 6-24 this chapter do not apply to: 6-25 (1) wells regulated under Chapter 27 of this code; 6-26 (2) other wells as provided in the rules of the 6-27 district; and 6-28 (3) wells with a casing diameter of less than five 6-29 inches that serve a single-family dwelling. 6-30 (b) The board by rule may require the registration of any 6-31 well in the district. 6-32 (Sections 151.085-151.120 reserved for expansion 6-33 SUBCHAPTER D. PERMITS 6-34 Sec. 151.121. PERMIT REQUIREMENT. Before a well may be 6-35 drilled or operated within the boundaries of the district the owner 6-36 or operator of the well must obtain a permit from the board. 6-37 Sec. 151.122. TERM OF PERMIT. (a) A permit issued under 6-38 this chapter may be for a term of up to five years as set by the 6-39 board. 6-40 (b) A permit does not become a vested right in the holder. 6-41 A permit may be revoked or suspended or its terms may be modified 6-42 or amended after notice and hearing whenever reasonably necessary 6-43 to accomplish the purposes of this chapter. 6-44 Sec. 151.123. RENEWAL OF PERMIT. A permit for a well may be 6-45 renewed by the board in the manner provided for obtaining the 6-46 original permit. 6-47 Sec. 151.124. APPLICATION FOR PERMIT. (a) A person who 6-48 desires to obtain a permit under this chapter shall submit to the 6-49 board an application. 6-50 (b) The application must state: 6-51 (1) the name of the person requesting the permit; 6-52 (2) the address of the person requesting the permit; 6-53 (3) the location and wellhead elevation of the well or 6-54 proposed well; 6-55 (4) the amount of water being produced or proposed to 6-56 be produced; and 6-57 (5) any other information necessary for the board to 6-58 control and prevent subsidence in the district. 6-59 (c) The application shall be accompanied by a reasonable 6-60 application fee to be used for processing the application, the 6-61 amount of which shall be set by the board. 6-62 Sec. 151.125. NOTICE AND HEARING ON PERMIT. (a) On 6-63 receiving an application for a permit, the board shall issue notice 6-64 and set a time for a hearing on the application. 6-65 (b) Notice of the date, time, and location of the hearing 6-66 shall be given by the board to the applicant by certified mail, 6-67 return receipt requested, and in accordance with the open meetings 6-68 law, Chapter 271, Acts of the 60th Legislature, Regular Session, 6-69 1967 (Article 6252-17, Vernon's Texas Civil Statutes). 6-70 (c) The board may consider as many applications for permits 7-1 as it thinks necessary at any one hearing. 7-2 Sec. 151.126. DECISION AND ISSUANCE OF A PERMIT. 7-3 (a) Within a reasonable period after the hearing, but not later 7-4 than the 60th day after the date of the hearing, the board shall 7-5 decide whether or not to issue a permit and, if the decision is to 7-6 issue the permit, shall formulate the terms of the permit. 7-7 (b) In deciding whether or not to issue a permit and in 7-8 setting the terms of the permit, the board shall consider, along 7-9 with the purpose of this chapter and all other relevant factors: 7-10 (1) the district plan; 7-11 (2) the quality, quantity, and availability of surface 7-12 water at prices competitive with those charged by suppliers of 7-13 surface water in the district; 7-14 (3) the economic impact on the applicant from grant or 7-15 denial of the permit, or the terms prescribed by a permit, in 7-16 relation to the effect on subsidence that would result; and 7-17 (4) the applicant's use of water conservation 7-18 measures. 7-19 (c) The board shall grant a permit to an applicant if the 7-20 board finds, on presentation of adequate proof, that there is no 7-21 other adequate and available substitute or supplemental source of 7-22 surface waters at prices competitive with those charged by 7-23 suppliers of surface water in the district and that compliance with 7-24 any provision of this chapter or any district rule will result in 7-25 an arbitrary taking of property or in the practical closing and 7-26 elimination of any lawful business, occupation, or activity without 7-27 sufficient corresponding benefit or advantage to the people. 7-28 (d) If the board decides to issue the permit, the permit 7-29 shall be issued to the applicant stating the terms prescribed by 7-30 the board. 7-31 (e) The permit shall include: 7-32 (1) the name and address of the person to whom the 7-33 permit is issued; 7-34 (2) the location of the well; 7-35 (3) the date the permit is to expire; 7-36 (4) conditions and restrictions placed on the 7-37 withdrawal of groundwater; and 7-38 (5) other terms and conditions necessary to control 7-39 and prevent subsidence. 7-40 (f) The board may not require a city with a population of 7-41 less than 100,000 to reduce its groundwater withdrawal by more than 7-42 50 percent in any three-year period if the city or its residents 7-43 would face a hardship by that reduction. The board shall determine 7-44 in public hearing whether or not the reduction would constitute a 7-45 hardship to the city or its residents. In this subsection, 7-46 "hardship" means any reduction in groundwater withdrawal that 7-47 would: 7-48 (1) cause the city to have an inadequate supply of 7-49 water for its residents; or 7-50 (2) cause an increase of 50 percent or more in water 7-51 rates for the city or its residents. 7-52 Sec. 151.127. ANNUAL REPORTS. Before January 31 of each 7-53 year, each owner of a well who holds a permit under this chapter 7-54 shall submit to the board a report stating: 7-55 (1) the name of the owner of the well; 7-56 (2) the total amount of groundwater produced by the 7-57 well during the immediately preceding 12-month period; 7-58 (3) the total amount of groundwater produced by the 7-59 well during each separate month of the immediately preceding 7-60 12-month period; 7-61 (4) the purpose for which the groundwater was used; 7-62 and 7-63 (5) any other information considered necessary by the 7-64 board. 7-65 Sec. 151.128. PERMIT FEE. (a) At the time of issuance or 7-66 renewal of a permit, the board shall collect from the applicant a 7-67 permit fee, established by a schedule based on the term of the 7-68 permit and the maximum annual amount of groundwater authorized by 7-69 the board to be withdrawn from the well. 7-70 (b) The rate of the fee to be collected by the board under 8-1 this section shall be determined by the board after a hearing. The 8-2 rate of the fee may not exceed 110 percent of the highest rate 8-3 charged by the city of Houston for surface water supplied to its 8-4 customers in the district. 8-5 (c) The rate of the permit fee applicable to any well used 8-6 for the irrigation of agricultural crops shall be the lowest of: 8-7 (1) 70 percent of the lowest rate established under 8-8 Subsection (b) of this section; 8-9 (2) 70 percent of one cent for each thousand gallons 8-10 authorized to be withdrawn, provided that the board may adjust the 8-11 one cent for each thousand gallons each year after 1992 to account 8-12 for increases, if any, in the most recently published Consumer 8-13 Price Index for All Urban Consumers (Houston, Texas, Average), as 8-14 determined by the United States Department of Labor, Bureau of 8-15 Labor Statistics, for All Items; or 8-16 (3) the rate established in accordance with Subsection 8-17 (d) of this section. 8-18 (d) Using information prepared by the United States 8-19 Geological Survey, which shall be presumed correct, the board, at a 8-20 hearing held in accordance with Section 151.072 of this code, shall 8-21 calculate and determine the difference between water wells pumped 8-22 for irrigation of agricultural crops and water wells pumped for 8-23 other purposes in terms of their relative contribution to 8-24 subsidence, expressed as a percentage. The rate of the fee for 8-25 wells used for irrigation of agricultural crops shall be sufficient 8-26 for the total of those fees to contribute to the fee revenue of the 8-27 district the same percentage as the agricultural use contributes to 8-28 subsidence. 8-29 (e) The funds obtained from the permit fees collected under 8-30 this section shall be used to cover the costs of the board in 8-31 issuing permits and performing other regulatory functions of the 8-32 district. 8-33 Sec. 151.129. LIMITATIONS ON CONVERSION TO SURFACE WATER. 8-34 (a) The board may not issue an order requiring a person to 8-35 completely or partially discontinue the use of groundwater unless 8-36 the person is able to acquire a water supply that is composed of 8-37 surface water needed to replace the water supply covered by the 8-38 order. This section does not limit the board's authority to issue 8-39 orders and rules requiring a person to reduce groundwater use by 8-40 eliminating waste or implementing water conservation. 8-41 (b) If the person covered by an order under this section 8-42 acquires an alternative water supply to fulfill the needs created 8-43 by the board's order under this section and files with the 8-44 commission a written request for monitoring of the alternative 8-45 supply, the commission shall monitor annually from the date of 8-46 request to the expiration of the annual permit the water delivered 8-47 to the person covered by the order to determine the percentage of 8-48 that water that is surface water and the percentage of that water 8-49 that is groundwater. 8-50 (c) The water deliveries must be monitored at random times 8-51 at all points of connection between the purchaser's and seller's 8-52 water systems. Samples taken through monitoring must be analyzed 8-53 by water chemists employed by or contracting with the commission. 8-54 The water chemist making each analysis shall issue a certified 8-55 written analysis of the percentages of surface water and 8-56 groundwater included in the sample. 8-57 (d) Not later than the 15th day after the last day of each 8-58 permit year, the commission shall issue an annual certified written 8-59 analysis based on all of the samples collected that will state the 8-60 annual average percentage of surface water and the annual average 8-61 percentage of groundwater provided to the purchaser by the seller 8-62 for that permit year. In addition to the percentage of groundwater 8-63 authorized to be used by the board's order, the person may use in 8-64 the current permit year an additional percentage of groundwater 8-65 that is equal to a percentage derived by multiplying the annual 8-66 average percentage of groundwater delivered to that person during 8-67 the preceding permit year by the total percentage of alternative 8-68 water supply mandated by the board's order for the current year. 8-69 (e) The commission shall assess reasonable fees to cover the 8-70 costs of the water sampling and analysis, one-half to the water 9-1 purchaser and one-half to the water seller. On request, the 9-2 commission shall make results of the analysis available to the 9-3 purchaser, the seller, or the board. 9-4 (f) In this section, "alternative water supply" means a 9-5 water supply that it is necessary for the person to acquire from 9-6 sources other than the person's own groundwater supply to comply 9-7 with the board's order. 9-8 (Sections 151.130-151.160 reserved for expansion 9-9 SUBCHAPTER E. APPEALS; PENALTIES 9-10 Sec. 151.161. APPEAL OF SURFACE WATER RATES. If a person 9-11 required to convert to surface water purchases that water supply 9-12 wholesale from a political subdivision as defined by Section 9-13 12.013(b) of this code, the rates charged by the political 9-14 subdivision to that person may be appealed to the commission under 9-15 Chapter 12 of this code, and the rules adopted under that chapter 9-16 apply to appeals under this section. The commission shall convene 9-17 the hearing on the appeal not later than the 180th day after the 9-18 date on which the appeal is filed with the commission and shall 9-19 render a final decision on the appeal not later than the 60th day 9-20 following the date on which the hearing ends. 9-21 Sec. 151.162. APPEAL OF DISTRICT ACTIONS. (a) A rule, 9-22 order, or other official action of the district under this chapter 9-23 may be appealed to a district court in any county in the district 9-24 by a person who is adversely affected. An appeal under this 9-25 section must be filed within 45 days after the rule, order, or 9-26 other official action appealed from is adopted or taken. 9-27 (b) On written request of a person residing in or owning 9-28 real property in the district, the board shall make written 9-29 findings and conclusions with respect to a rule, order, or other 9-30 official action of the district and provide certified copies of 9-31 those findings and conclusions to the requesting person not later 9-32 than the 35th day after the date on which the board received the 9-33 written request. 9-34 (c) The review on appeal under this section is governed by 9-35 the substantial evidence rule as defined by Section 19(e), 9-36 Administrative Procedure and Texas Register Act (Article 6252-13a, 9-37 Vernon's Texas Civil Statutes). 9-38 (d) For purposes of this section, "a person who is adversely 9-39 affected" includes a person residing in or owning real property in 9-40 the district whose residence or real property is subsiding. 9-41 Sec. 151.163. APPEAL OF CERTAIN DISTRICT ACTIONS TO THE 9-42 COMMISSION. (a) As an alternative to the appeal provided in 9-43 Section 151.162 of this code, a person who is granted a permit 9-44 authorizing withdrawal of groundwater in an amount less than 9-45 requested by that person may appeal the board's final decision to 9-46 the commission. The appeal shall be filed not later than the 60th 9-47 day after the date on which the board issues its final order. A 9-48 person shall be informed in the notice of public hearing when an 9-49 order to convert to surface water is to be considered. 9-50 (b) On written request of the person proposing to appeal an 9-51 order under this section, the board shall make written findings and 9-52 conclusions with respect to the order and shall provide certified 9-53 copies of the findings and conclusions to the requesting person not 9-54 later than the 35th day after the date on which the board received 9-55 the written request. 9-56 (c) The effect of a board order is stayed until the decision 9-57 of the commission in an appeal under this section is final. 9-58 (d) The review on appeal by the commission under this 9-59 section is governed by the substantial evidence rule as defined by 9-60 Section 19(e), Administrative Procedure and Texas Register Act 9-61 (Article 6252-13a, Vernon's Texas Civil Statutes). 9-62 (e) The commission may adopt necessary rules to carry out 9-63 this section. 9-64 (f) An appeal from a final decision of the commission is to 9-65 a district court in Travis County. Any party to the proceedings 9-66 before the commission may appeal a decision of the district court 9-67 in the manner provided for other civil actions, but a party 9-68 appealing a decision of a district court is not required to provide 9-69 an appeal bond. 9-70 (g) The review of a commission order on appeal shall be 10-1 under the substantial evidence rule. 10-2 (h) Under this section, the commission may adopt and assess 10-3 reasonable and necessary fees adequate to recover the costs of the 10-4 commission in administering this section. 10-5 Sec. 151.164. PENALTIES. (a) If it appears that a person 10-6 has violated or is violating or threatening to violate this 10-7 chapter, or any rule, permit, or other order of the district issued 10-8 or adopted under this chapter, the district may file a civil suit 10-9 in a district court in the district for: 10-10 (1) injunctive relief to restrain the person from 10-11 continuing the violation or threat of violation; 10-12 (2) the assessment and recovery of a civil penalty of 10-13 not less than $50 nor more than $5,000 for each violation and for 10-14 each day of violation; or 10-15 (3) both injunctive relief and civil penalties. 10-16 (b) On application for injunctive relief and a finding that 10-17 a person is violating or threatening to violate a provision of this 10-18 chapter or a rule, permit, or other order of the district under 10-19 this chapter, the district court shall grant any injunctive relief 10-20 the facts may warrant. 10-21 (c) At the request of the board, or the general manager if 10-22 authorized by the board, the attorney general shall institute and 10-23 conduct a suit in the name of the district for injunctive relief or 10-24 to recover a civil penalty or for both injunctive relief and 10-25 penalty as authorized by this section. 10-26 (d) The district is not required to post bond or other 10-27 security with the court. 10-28 SECTION 2. The following acts are repealed: 10-29 (1) Chapter 284, Acts of the 64th Legislature, Regular 10-30 Session, 1975; 10-31 (2) Chapter 557, Acts of the 65th Legislature, Regular 10-32 Session, 1977; and 10-33 (3) Chapter 1107, Acts of the 70th Legislature, 10-34 Regular Session, 1987. 10-35 SECTION 3. (a) If an Act amending and consolidating the 10-36 laws relating to conservation and reclamation districts is passed 10-37 by the 73rd Legislature, Regular Session, 1993, and finally becomes 10-38 law: 10-39 (1) a reference in Section 151.003(b), Water Code, as 10-40 added by this Act, to Sections 55.730-55.744, Water Code, is a 10-41 reference to Subchapter I, Chapter 49, Water Code; and 10-42 (2) a reference in Section 151.005(a), Water Code, as 10-43 added by this Act, to Chapter 50, Water Code, is a reference to 10-44 Chapter 49, Water Code. 10-45 (b) If an Act described by Subsection (a) of this section 10-46 does not become law, this section has no effect. 10-47 SECTION 4. The powers, duties, rights, and obligations of 10-48 the Texas Natural Resource Conservation Commission under this Act 10-49 are the powers, duties, rights, and obligations of the Texas Water 10-50 Commission or its successor if: 10-51 (1) the change in name of the Texas Water Commission 10-52 to the Texas Natural Resource Conservation Commission does not take 10-53 effect as provided by Section 1.085, Chapter 3, Acts of the 72nd 10-54 Legislature, 1st Called Session, 1991; 10-55 (2) the transfer of the powers, duties, rights, and 10-56 obligations of the Texas Water Commission to the Texas Natural 10-57 Resource Conservation Commission does not take effect as provided 10-58 by Chapter 3, Acts of the 72nd Legislature, 1st Called Session, 10-59 1991; or 10-60 (3) the 73rd Legislature does not pass an Act that 10-61 becomes law and provides for the transfer of certain powers, 10-62 duties, rights, and obligations of the Texas Water Commission to 10-63 the Texas Natural Resource Conservation Commission on or before 10-64 September 1, 1993. 10-65 SECTION 5. This Act takes effect September 1, 1993. 10-66 SECTION 6. The importance of this legislation and the 10-67 crowded condition of the calendars in both houses create an 10-68 emergency and an imperative public necessity that the 10-69 constitutional rule requiring bills to be read on three several 10-70 days in each house be suspended, and this rule is hereby suspended. 11-1 * * * * * 11-2 Austin, 11-3 Texas 11-4 May 7, 1993 11-5 Hon. Bob Bullock 11-6 President of the Senate 11-7 Sir: 11-8 We, your Committee on Natural Resources to which was referred H.B. 11-9 No. 2209, have had the same under consideration, and I am 11-10 instructed to report it back to the Senate with the recommendation 11-11 that it do pass and be printed. 11-12 Sims, 11-13 Chairman 11-14 * * * * * 11-15 WITNESSES 11-16 FOR AGAINST ON 11-17 FOR AGAINST ON 11-18 ___________________________________________________________________ 11-19 ___________________________________________________________________ 11-20 Name: Greg Ellis x 11-21 Representing: Harris-Galveston Coastal Subsi 11-22 City: Friendswood 11-23 -------------------------------------------------------------------