By:  Sims                                              S.B. No. 504
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to sale of water by the Lower Colorado River Authority.
    1-2        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-3        SECTION 1.  Section 2, Chapter 7, Acts of the 43rd
    1-4  Legislature, 4th Called Session, 1934, is amended to read as
    1-5  follows:
    1-6        Sec. 2.  Except as expressly limited by this Act, the
    1-7  district shall have and is hereby authorized to exercise all
    1-8  powers, rights, privileges and functions conferred by general law
    1-9  upon any district or districts created pursuant to Section 59 of
   1-10  Article 16 of the Constitution of the State of Texas.  Without
   1-11  limitation of the generality of the foregoing, the district shall
   1-12  have and is hereby authorized to exercise the following powers,
   1-13  rights, privileges and functions:
   1-14              (a)  to control, store and preserve, within the
   1-15  boundaries of the district, the waters of the Colorado River and
   1-16  its tributaries and the lands of the district for any useful
   1-17  purpose, and to use, distribute and sell the same, within the
   1-18  boundaries of the district, or within the boundaries of the
   1-19  watershed that contributes inflow to the Colorado River below the
   1-20  intersection of Coleman, Brown, and McCulloch counties, for any
   1-21  such purpose;
   1-22              (b)  to develop and generate water power and electric
   1-23  energy within the boundaries of the district and to distribute and
   1-24  sell water power and electric energy, within or without the
    2-1  boundaries of the district;
    2-2              (c)  to prevent or aid within the boundaries of the
    2-3  district in the prevention of damage to person or property from the
    2-4  waters of the  Colorado River and its tributaries;
    2-5              (d)  to forest and reforest and to aid in the foresting
    2-6  and reforesting of the watershed area of the Colorado River and its
    2-7  tributaries, within the boundaries of the district, and to prevent
    2-8  and to aid in the prevention of soil erosion and floods within said
    2-9  watershed area;
   2-10              (e)  to acquire by purchase, lease, gift or in any
   2-11  other manner provided by law and to maintain, use and operate any
   2-12  and all property of any kind, real, personal or mixed, or any
   2-13  interest therein, within or without the boundaries of the district,
   2-14  necessary or convenient to the exercise of the powers, rights,
   2-15  privileges and functions conferred upon it by this Act;
   2-16              (f)  to acquire by condemnation any and all property of
   2-17  any kind, real, personal or mixed, or any interest therein, within
   2-18  or without the boundaries of the district (other than such property
   2-19  or any interest therein without the boundaries of the district as
   2-20  may at the time be owned by any body politic) necessary or
   2-21  convenient to the exercise of the powers, rights, privileges and
   2-22  functions conferred upon it by this Act, in the manner provided by
   2-23  general law with respect to condemnation or, at the option of the
   2-24  district, in the manner provided by the statutes relative to
   2-25  condemnation by districts organized under general law pursuant to
   2-26  Section 59 of Article 16 of the Constitution of the State of Texas;
   2-27              (g)  subject to the provisions of this Act from time to
    3-1  time to sell or otherwise dispose of any property of any kind,
    3-2  real, personal or mixed, or any interest therein, which shall not
    3-3  be necessary to the carrying on of the business of the district;
    3-4              (h)  to overflow and inundate within the boundaries of
    3-5  the district any public lands and public property and to require
    3-6  the relocation of roads, pipelines, transmission lines, railroads,
    3-7  cemeteries and highways in the manner and to the extent permitted
    3-8  to districts organized under general law pursuant to Section 59 of
    3-9  Article 16 of the Constitution of the State of Texas;
   3-10              (i)  to construct, extend, improve, maintain and
   3-11  reconstruct, to cause  to be constructed, extended, improved,
   3-12  maintained and reconstructed, and to use and operate, any and all
   3-13  facilities of any kind necessary or convenient to the exercise of
   3-14  such powers, rights, privileges and functions;
   3-15              (j)  to sue and be sued in its corporate name;
   3-16              (k)  to adopt and use a corporate seal;
   3-17              (l)  to make bylaws for the management and regulation
   3-18  of its affairs;
   3-19              (m)  to appoint officers, agents and employees, to
   3-20  prescribe their duties and to fix their compensation;
   3-21              (n)  to make contracts and to execute instruments
   3-22  necessary or convenient to the exercise of the powers, rights,
   3-23  privileges and functions conferred upon it by this Act or permitted
   3-24  by general law;
   3-25              (o)  to borrow money for its corporate purposes on
   3-26  notes or other written evidence of indebtedness for a period not to
   3-27  exceed five years as may be authorized from time to time by an
    4-1  affirmative vote of 12 members of the board of directors which
    4-2  loans or indebtedness shall be repaid from the proceeds of bonds of
    4-3  the district at the next bond offering and, without limitation of
    4-4  the generality of the foregoing, to borrow money, accept grants
    4-5  from the United States of America, or the State of Texas, or from
    4-6  any corporation or agency created or designated by the United
    4-7  States of America or the State of Texas, and, in connection with
    4-8  any such loans or grants, to enter into such agreements as the
    4-9  United States of America, the State of Texas, or such corporation
   4-10  or agency may require; and to make and issue its negotiable bonds
   4-11  for moneys borrowed, in the manner provided in Section 11.  Nothing
   4-12  in this Act shall authorize the issuance of any bonds, notes or
   4-13  other evidences of indebtedness of the district, except as
   4-14  specifically provided in this Act;
   4-15              (p)  to provide for the study, correcting and control
   4-16  of both artificial and natural pollution, including organic,
   4-17  inorganic and thermal, of all ground or surface water of the
   4-18  Colorado River and its tributaries within the boundaries of the
   4-19  district.  In this connection, the district is given the power to
   4-20  promulgate by ordinance rules and regulations with regard to such
   4-21  pollution, both artificial and natural, with the right of policing
   4-22  by said district to enforce such rules and regulations and of
   4-23  providing reasonable and commensurate penalties for the violation
   4-24  of any rules and regulations, which penalties shall be cumulative
   4-25  of any penalties fixed by general law in Texas, and not to exceed
   4-26  the limit for penalties as fixed elsewhere in this Act.  Provided,
   4-27  however, that no ordinance enacted pursuant to the powers
    5-1  hereinabove given the district by this section shall be promulgated
    5-2  in any county or counties outside the existing boundaries of the
    5-3  district;
    5-4              (q)  as a necessary aid to the conservation, control,
    5-5  preservation, purification and distribution of surface and ground
    5-6  waters of the Colorado River and its tributaries within the
    5-7  boundaries of the district, the district shall have the power to
    5-8  construct, own, operate, maintain or otherwise provide sewage
    5-9  gathering, treatment and disposal services, including waste
   5-10  disposal services, and to make contracts in reference thereto with
   5-11  the United States, the State of Texas, counties, municipalities,
   5-12  and others, and the district shall charge the actual cost of such
   5-13  services;
   5-14              (r)  to develop and manage parks, recreational
   5-15  facilities, and natural science laboratories, and to promote the
   5-16  preservation of fish and wildlife within the boundaries of the
   5-17  district.  The district may negotiate contracts with any county,
   5-18  municipality, municipal corporation, person, firm, corporation,
   5-19  nonprofit organization, or state or federal agency for the
   5-20  operation and maintenance of any such park, recreational facility
   5-21  or natural science laboratory.  The preservation of fish and
   5-22  wildlife shall be in accordance with the rules and regulations, if
   5-23  any, prescribed by the Parks and Wildlife Commission of the State
   5-24  of Texas or its successor.  Notwithstanding any other provisions of
   5-25  this Act, the board of directors of the district shall have the
   5-26  power to charge and collect reasonable entrance, gate, or use fees
   5-27  for the development, management and use of parks and recreational
    6-1  facilities developed in whole or in part by the district;
    6-2              (s)  to enter into such agreements as may be legally
    6-3  authorized by Chapter 166, Acts of the 63rd Legislature, Regular
    6-4  Session, 1973 (Article 1435a, Vernon's Texas Civil Statutes), to
    6-5  acquire, install, construct, operate, enlarge and make additions
    6-6  to, and own and operate electric power and energy generating
    6-7  facilities as provided in said article, in joint ownership with
    6-8  others, either as cotenants or under such other arrangements as may
    6-9  by a three-fourths vote of the statutory membership of the board be
   6-10  approved, and, in accordance with and subject to the terms of such
   6-11  agreements, if any, from time to time to sell or otherwise dispose
   6-12  of any or all of this interest in such jointly owned electric power
   6-13  and generating facilities.  This subsection shall not apply to
   6-14  generating facilities or other property wholly owned by the
   6-15  district;
   6-16              (t)  to do any and all other acts or things necessary
   6-17  or convenient, including, but not limited to, the control of the
   6-18  use of the surface of any lakes or islands located therein
   6-19  developed by the district and to levy a charge for the commercial
   6-20  use thereof, to the exercise of all powers, rights, privileges,
   6-21  authority or functions conferred upon it by the Constitution of
   6-22  Texas, this Act or any other act or law;
   6-23              (u)  to enter into contracts with the State of Texas
   6-24  through the State Board of Control providing for direct sale by the
   6-25  district of electrical power to the state for use in buildings or
   6-26  other facilities owned, leased, or rented by the state in Travis
   6-27  County.
    7-1        Provided, however, that said district shall not be permitted
    7-2  to use for irrigation purposes any water under any permit or
    7-3  permits hereafter acquired from any other company or person unless
    7-4  expressly authorized by and granted to the district by the Texas
    7-5  Water Rights Commission or its successor agency under authority of
    7-6  law; and said Texas Water Rights Commission or its successor agency
    7-7  in considering subsequent applications by said district shall at
    7-8  all times consider the needs of the people living within and on
    7-9  lands lying within the watershed of the Colorado River and its
   7-10  tributaries above the district.
   7-11        Provided that in creating and conferring the benefits of this
   7-12  Act on said district, it is declared as an essential part thereof
   7-13  that irrespective of any existing right or rights or permit or
   7-14  permits issued by the Texas Water Rights Commission or its
   7-15  successor agency or its predecessor agency to use the waters of the
   7-16  Colorado River and its tributaries for the generation of
   7-17  hydroelectric power and which rights or permits may be held or
   7-18  acquired by the district, the impounding and use of the flood
   7-19  waters of the Colorado River and/or its tributaries for the
   7-20  generation of hydroelectric power by the district and/or anyone who
   7-21  may succeed to the rights and privileges conferred upon it by this
   7-22  Act, shall be subject to the rights of any other person, municipal
   7-23  corporation or body politic heretofore or hereafter, under legal
   7-24  grant of authority, impounding and putting to beneficial use any
   7-25  such waters when such other person, municipal corporation or body
   7-26  politic has received a permit for such use or uses from the Board
   7-27  of Water Engineers of the State of Texas, the Texas Water Rights
    8-1  Commission or its successor agency, or who by law has heretofore
    8-2  been or hereafter may be permitted to impound water for the
    8-3  aforesaid purposes, and nothing in this Act shall ever be construed
    8-4  as to require any such municipal corporation or body politic to
    8-5  surrender any such rights to which it may be legally entitled to
    8-6  the district and shall not be construed so as to subject to
    8-7  condemnation by said district or any successor or by anyone who may
    8-8  succeed to the rights and privileges conferred upon it by this Act
    8-9  any waters heretofore impounded or to be impounded within or
   8-10  without the district under any law authorizing water to be
   8-11  impounded or under any permits heretofore granted or hereafter
   8-12  granted to a municipal corporation or body politic or any waters
   8-13  heretofore impounded or permitted to be impounded or used without
   8-14  the district under permits heretofore or hereafter legally granted
   8-15  to any person.
   8-16        Nothing in this Act shall be construed as depriving any
   8-17  person or municipality of the right, legally granted, to impound
   8-18  the waters of the Colorado River and/or its tributaries for
   8-19  authorized beneficial uses, nor of repealing any law granting such
   8-20  rights to persons and municipalities.
   8-21        SECTION 2.  The importance of this legislation and the
   8-22  crowded condition of the calendars in both houses create an
   8-23  emergency and an imperative public necessity that the
   8-24  constitutional rule requiring bills to be read on three several
   8-25  days in each house be suspended, and this rule is hereby suspended,
   8-26  and that this Act take effect and be in force from and after its
   8-27  passage, and it is so enacted.