S.B. No. 504 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.