By Greenberg                                          H.B. No. 2838
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the authority of the Barton Springs-Edwards Aquifer
    1-3  Conservation District to assess fees, borrow money, and adopt
    1-4  certain rules.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Section 2, Chapter 429, Acts of the 70th
    1-7  Legislature, Regular Session, 1987, is amended to read as follows:
    1-8        Sec. 2.  Powers and Duties of the District.  (a)(1)  The
    1-9  district has the powers, duties, authority, and responsibilities
   1-10  provided by Chapter 52, Water Code, for underground water
   1-11  conservation districts, except as modified in this section.
   1-12              (2)  The district may not adopt rules regulating zoning
   1-13  or the subdivision of land.
   1-14        (b)(1)  The <Except as provided by Subdivision (2) of this
   1-15  subsection, the> district may <does> not <have the authority to>
   1-16  levy taxes to pay the maintenance and operating expenses of the
   1-17  district under Section 52.351(b), Water Code.
   1-18              (2)  Bonds and notes secured in whole or in part by
   1-19  taxes may be authorized only by an election under Section 52.294,
   1-20  Water Code.
   1-21        (c)(1)  The board of directors of the district may impose
   1-22  fees, including an annual well registration fee.  The registration
   1-23  fee may not be less than $10 nor more than $25 for each well unless
    2-1  a greater fee is imposed by a unanimous vote of the board.
    2-2              (2)  The owner of each well in the district, including
    2-3  a well exempt from permitting requirements, shall annually register
    2-4  the well with the district.
    2-5              (3)  The district may require the owner of a well to
    2-6  provide to the district information regarding the ownership,
    2-7  construction, completion date, and operation of a well.
    2-8              (4)  County appraisal districts operating within the
    2-9  district shall record information regarding water well ownership
   2-10  when examining and evaluating property improvements in the district
   2-11  and shall make those records available to the district.
   2-12        (d)  <If the user fee authorized by this section is held
   2-13  unconstitutional by the Texas Supreme Court, the district may levy
   2-14  a property tax as provided by Sections 52.351 through 52.354, Water
   2-15  Code.  The property tax may be set in an amount of not more than
   2-16  three cents for each $100 valuation of property.  An election must
   2-17  be called and held in the district to approve the property tax and
   2-18  a majority of the qualified voters voting at the election must
   2-19  approve the tax before the tax can be levied and collected.>
   2-20        <(c)>(1)  The board <of directors of the district (the
   2-21  "board")> has by rule the authority to impose reasonable volumetric
   2-22  fees on each well for which a permit is issued by the district and
   2-23  which is not exempted from regulation by the district.  The
   2-24  volumetric fees shall <may> be assessed annually according to <on
   2-25  an annual basis, based upon> the size of column pipe used in the
    3-1  well <wells>, the production capacity of the well, or actual,
    3-2  authorized, or anticipated pumpage.
    3-3              (2)  If imposed on pumpage, the volumetric fee may not
    3-4  be less than 10 cents for every 1,000 gallons of water pumped from
    3-5  the well during a year the fee is imposed.  The volumetric fee for
    3-6  residential uses may not be more than 50 cents for every 1,000
    3-7  gallons of water.  The volumetric fee for nonresidential uses may
    3-8  not be more than $1 for every 1,000 gallons of water.  The board
    3-9  may establish a minimum volumetric fee for nonexempt wells that
   3-10  pump less then 100,000 gallons of water during the year for which a
   3-11  volumetric fee is imposed.  The fee range established by this
   3-12  subsection does not apply if the fee is imposed for a regulatory
   3-13  purpose.
   3-14              (3)  The board may utilize volumetric fees as both a
   3-15  regulatory mechanism and a revenue-producing mechanism.
   3-16              (4)  An annual increase of more than 15 percent in a
   3-17  revenue-producing volumetric fee is subject to repeal under
   3-18  Subsection (f) of this section.
   3-19        (e)(1)  The board may assess the City of Austin, a public or
   3-20  private water supplier, or a private person pumping groundwater a
   3-21  reasonable fee based on each living unit equivalent that is served
   3-22  directly or indirectly by the City of Austin, a public or private
   3-23  water supplier, or the private well that pumps groundwater.  The
   3-24  fee structure may differentiate between living unit equivalents on
   3-25  a reasonable basis, including factors such as consumption,
    4-1  potential demand, meter size, or line size.  A living unit
    4-2  equivalent shall be defined for the district by the board.
    4-3              (2)  The living unit equivalent fee imposed under this
    4-4  subsection may not be more than 50 cents a month for each
    4-5  residential living unit equivalent or more than $1 a month for each
    4-6  nonresidential living unit equivalent.  A living unit equivalent
    4-7  fee increase of more than 15 percent annually is subject to repeal
    4-8  under Subsection (f) of this section.
    4-9        (f)(1)  If the board increases a fee under Subsection (d) or
   4-10  (e) of this section by more than 15 percent, the qualified voters
   4-11  of the district by petition may require that an election be held to
   4-12  determine whether or not to repeal the fee increase.
   4-13              (2)  To be valid, a petition filed under Subdivision
   4-14  (1) of this subsection must:
   4-15                    (A)  state that the intention of the petition is
   4-16  to require an election to determine whether or not to repeal the
   4-17  fee increase;
   4-18                    (B)  be signed by a number of qualified voters
   4-19  equal to at least 10 percent of the voters of the district who
   4-20  voted for governor in the last preceding gubernatorial election;
   4-21  and
   4-22                    (C)  be submitted to the board on or before the
   4-23  60th day after the date the board adopted the fee increase.
   4-24              (3)  A person circulating a petition under this
   4-25  subsection may not be compensated for circulating the petition.
    5-1  Signatures collected by a person who receives compensation are
    5-2  invalid.
    5-3              (4)  Not later than the 20th working day after the date
    5-4  a petition is received by the board, the board shall determine the
    5-5  validity of the petition and state its finding.  The board's
    5-6  failure to act within the prescribed time renders the petition
    5-7  valid.
    5-8              (5)  When presented with a valid petition, the board
    5-9  shall order an election to determine whether or not to repeal the
   5-10  fee increase.  The board shall hold the election on the first
   5-11  uniform election date that occurs not less then 60 days or more
   5-12  than 120 days after the date the board determined the petition was
   5-13  valid or the petition became valid by operation of law.  Section
   5-14  41.003, Election Code, does not apply to an election ordered under
   5-15  this subsection.
   5-16              (6)  If a majority of the voters voting at the election
   5-17  approve the fee reduction, the fee remains the same as the fee
   5-18  before the increase.  If less than a majority of the voters voting
   5-19  at the election approve the fee reduction, the fee is the amount
   5-20  prescribed by the resolution adopted by the board.
   5-21        (g)(1) <(2)>  The board shall adopt rules or orders relating
   5-22  to the rates of fees, the manner and form for filing reports of
   5-23  fees, <and> the manner of collecting <collection of> fees, and the
   5-24  purposes of the fees, pursuant to the district's authority to
   5-25  assess fees.
    6-1              (2) <(3)>  The money collected from fees may be used by
    6-2  the district to manage and operate the district and to pay all or
    6-3  part of the principle of and interest on district bonds or notes.
    6-4        (h) <(d)>(1)  The production capacity for exempt wells within
    6-5  the district, as specified in Section 52.170, Water Code, is
    6-6  <hereby> reduced from 25,000 gallons per day to 1,000 <10,000>
    6-7  gallons per day.
    6-8              (2)  The number of households that may be supplied by
    6-9  an exempt domestic well in the district, pursuant to <Subdivision
   6-10  (2),> Section 52.170(a)(2), Water Code, is <hereby> reduced to not
   6-11  more than two <five or less>.
   6-12        (i) <(e)>  In addition to other remedies for violations of
   6-13  permits, rules, or orders, the district has the power to enforce
   6-14  its permits, orders, and rules as follows:
   6-15              (1)  If it appears that a person has violated or is
   6-16  violating any provision of Chapter 52, Water Code, or any order,
   6-17  permit, or rule of the district, the district may file civil suit
   6-18  in a district court of the county in which the violation occurs to
   6-19  obtain:
   6-20                    (A)  injunctive relief to restrain the person
   6-21  from continuing the violation;
   6-22                    (B)  assessment and recovery of a civil penalty
   6-23  of not less than $50 or more than $1,000 for each violation and for
   6-24  each day of violation; or
   6-25                    (C)  both injunctive relief and civil penalties.
    7-1              (2)  Upon application for injunctive relief and a
    7-2  finding that a person is violating or threatening to violate any
    7-3  provision of this Act or any rule, permit, or other order of the
    7-4  district, the district court shall grant injunctive relief as the
    7-5  facts may warrant.
    7-6              (3)  Initiation of legal action to obtain penalties
    7-7  shall be authorized by resolution of the board of directors or by
    7-8  the district's general manager, if authorized by the board.
    7-9              (4)  The district is not required to post bond or other
   7-10  security with the court under this subsection <section> and may
   7-11  recover reasonable attorney's fees and expert witness's fees in
   7-12  suits brought under this subsection <section>.
   7-13        (j)  The district's authority to adopt and enforce rules to
   7-14  protect groundwater quality and quantity extends to the Edwards
   7-15  Aquifer's contributing zone.  The contributing zone is the portion
   7-16  of the watersheds of Onion Creek, Little Bear Creek, Bear Creek,
   7-17  Slaughter Creek, Williamson Creek, and Barton Creek that are
   7-18  upstream of the western boundary of the district.
   7-19        (k) <(f)(1)>  The legislature finds that <the City of Austin
   7-20  currently receives, by way of the discharge of Barton Springs,
   7-21  contribution to its municipal water supply in an overall volume
   7-22  roughly equivalent to existing usage by other nonexempt users of
   7-23  water from the aquifer, and that> the City of Austin shall elect
   7-24  two of the five members of the district's board of directors from
   7-25  within the area served by the district within the city limits of
    8-1  Austin.
    8-2              <(2)  The board may assess the City of Austin, as a
    8-3  water use fee, each year an amount not to exceed 40 percent of the
    8-4  total funding of the district received from water use fees assessed
    8-5  against Austin and other nonexempt users.>
    8-6        SECTION 2.  Section 9, Chapter 429, Acts of the 70th
    8-7  Legislature, Regular Session, 1987, is amended to read as follows:
    8-8        Sec. 9.  BORROWING MONEY.  (a)  Except as provided by
    8-9  Subsections (b) and (c) of this section, the <The> district may
   8-10  borrow money for purposes of the district authorized by law
   8-11  according to the provisions of Subchapter J, Chapter 51, Water
   8-12  Code<.  The district may not borrow money for a period of more than
   8-13  one year>.
   8-14        (b)  Bonds secured solely by fees imposed under Section 2 of
   8-15  this Act may not be issued by the district until authorized by
   8-16  majority vote of the qualified voters voting at an election called
   8-17  for that purpose.
   8-18        (c)  The district may not issue certificates of
   8-19  participation.
   8-20        SECTION 3.  The importance of this legislation and the
   8-21  crowded condition of the calendars in both houses create an
   8-22  emergency and an imperative public necessity that the
   8-23  constitutional rule requiring bills to be read on three several
   8-24  days in each house be suspended, and this rule is hereby suspended,
   8-25  and that this Act take effect and be in force from and after its
    9-1  passage, and it is so enacted.