1-1 By: Sims S.B. No. 504 1-2 (In the Senate - Filed February 26, 1993; March 1, 1993, read 1-3 first time and referred to Committee on Natural Resources; 1-4 March 8, 1993, reported favorably by the following vote: Yeas 11, 1-5 Nays 0; March 8, 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 sale of water by the Lower Colorado River Authority. 1-22 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-23 SECTION 1. Section 2, Chapter 7, Acts of the 43rd 1-24 Legislature, 4th Called Session, 1934, is amended to read as 1-25 follows: 1-26 Sec. 2. Except as expressly limited by this Act, the 1-27 district shall have and is hereby authorized to exercise all 1-28 powers, rights, privileges and functions conferred by general law 1-29 upon any district or districts created pursuant to Section 59 of 1-30 Article 16 of the Constitution of the State of Texas. Without 1-31 limitation of the generality of the foregoing, the district shall 1-32 have and is hereby authorized to exercise the following powers, 1-33 rights, privileges and functions: 1-34 (a) to control, store and preserve, within the 1-35 boundaries of the district, the waters of the Colorado River and 1-36 its tributaries and the lands of the district for any useful 1-37 purpose, and to use, distribute and sell the same, within the 1-38 boundaries of the district, or within the boundaries of the 1-39 watershed that contributes inflow to the Colorado River below the 1-40 intersection of Coleman, Brown, and McCulloch counties, for any 1-41 such purpose; 1-42 (b) to develop and generate water power and electric 1-43 energy within the boundaries of the district and to distribute and 1-44 sell water power and electric energy, within or without the 1-45 boundaries of the district; 1-46 (c) to prevent or aid within the boundaries of the 1-47 district in the prevention of damage to person or property from the 1-48 waters of the Colorado River and its tributaries; 1-49 (d) to forest and reforest and to aid in the foresting 1-50 and reforesting of the watershed area of the Colorado River and its 1-51 tributaries, within the boundaries of the district, and to prevent 1-52 and to aid in the prevention of soil erosion and floods within said 1-53 watershed area; 1-54 (e) to acquire by purchase, lease, gift or in any 1-55 other manner provided by law and to maintain, use and operate any 1-56 and all property of any kind, real, personal or mixed, or any 1-57 interest therein, within or without the boundaries of the district, 1-58 necessary or convenient to the exercise of the powers, rights, 1-59 privileges and functions conferred upon it by this Act; 1-60 (f) to acquire by condemnation any and all property of 1-61 any kind, real, personal or mixed, or any interest therein, within 1-62 or without the boundaries of the district (other than such property 1-63 or any interest therein without the boundaries of the district as 1-64 may at the time be owned by any body politic) necessary or 1-65 convenient to the exercise of the powers, rights, privileges and 1-66 functions conferred upon it by this Act, in the manner provided by 1-67 general law with respect to condemnation or, at the option of the 1-68 district, in the manner provided by the statutes relative to 2-1 condemnation by districts organized under general law pursuant to 2-2 Section 59 of Article 16 of the Constitution of the State of Texas; 2-3 (g) subject to the provisions of this Act from time to 2-4 time to sell or otherwise dispose of any property of any kind, 2-5 real, personal or mixed, or any interest therein, which shall not 2-6 be necessary to the carrying on of the business of the district; 2-7 (h) to overflow and inundate within the boundaries of 2-8 the district any public lands and public property and to require 2-9 the relocation of roads, pipelines, transmission lines, railroads, 2-10 cemeteries and highways in the manner and to the extent permitted 2-11 to districts organized under general law pursuant to Section 59 of 2-12 Article 16 of the Constitution of the State of Texas; 2-13 (i) to construct, extend, improve, maintain and 2-14 reconstruct, to cause to be constructed, extended, improved, 2-15 maintained and reconstructed, and to use and operate, any and all 2-16 facilities of any kind necessary or convenient to the exercise of 2-17 such powers, rights, privileges and functions; 2-18 (j) to sue and be sued in its corporate name; 2-19 (k) to adopt and use a corporate seal; 2-20 (l) to make bylaws for the management and regulation 2-21 of its affairs; 2-22 (m) to appoint officers, agents and employees, to 2-23 prescribe their duties and to fix their compensation; 2-24 (n) to make contracts and to execute instruments 2-25 necessary or convenient to the exercise of the powers, rights, 2-26 privileges and functions conferred upon it by this Act or permitted 2-27 by general law; 2-28 (o) to borrow money for its corporate purposes on 2-29 notes or other written evidence of indebtedness for a period not to 2-30 exceed five years as may be authorized from time to time by an 2-31 affirmative vote of 12 members of the board of directors which 2-32 loans or indebtedness shall be repaid from the proceeds of bonds of 2-33 the district at the next bond offering and, without limitation of 2-34 the generality of the foregoing, to borrow money, accept grants 2-35 from the United States of America, or the State of Texas, or from 2-36 any corporation or agency created or designated by the United 2-37 States of America or the State of Texas, and, in connection with 2-38 any such loans or grants, to enter into such agreements as the 2-39 United States of America, the State of Texas, or such corporation 2-40 or agency may require; and to make and issue its negotiable bonds 2-41 for moneys borrowed, in the manner provided in Section 11. Nothing 2-42 in this Act shall authorize the issuance of any bonds, notes or 2-43 other evidences of indebtedness of the district, except as 2-44 specifically provided in this Act; 2-45 (p) to provide for the study, correcting and control 2-46 of both artificial and natural pollution, including organic, 2-47 inorganic and thermal, of all ground or surface water of the 2-48 Colorado River and its tributaries within the boundaries of the 2-49 district. In this connection, the district is given the power to 2-50 promulgate by ordinance rules and regulations with regard to such 2-51 pollution, both artificial and natural, with the right of policing 2-52 by said district to enforce such rules and regulations and of 2-53 providing reasonable and commensurate penalties for the violation 2-54 of any rules and regulations, which penalties shall be cumulative 2-55 of any penalties fixed by general law in Texas, and not to exceed 2-56 the limit for penalties as fixed elsewhere in this Act. Provided, 2-57 however, that no ordinance enacted pursuant to the powers 2-58 hereinabove given the district by this section shall be promulgated 2-59 in any county or counties outside the existing boundaries of the 2-60 district; 2-61 (q) as a necessary aid to the conservation, control, 2-62 preservation, purification and distribution of surface and ground 2-63 waters of the Colorado River and its tributaries within the 2-64 boundaries of the district, the district shall have the power to 2-65 construct, own, operate, maintain or otherwise provide sewage 2-66 gathering, treatment and disposal services, including waste 2-67 disposal services, and to make contracts in reference thereto with 2-68 the United States, the State of Texas, counties, municipalities, 2-69 and others, and the district shall charge the actual cost of such 2-70 services; 3-1 (r) to develop and manage parks, recreational 3-2 facilities, and natural science laboratories, and to promote the 3-3 preservation of fish and wildlife within the boundaries of the 3-4 district. The district may negotiate contracts with any county, 3-5 municipality, municipal corporation, person, firm, corporation, 3-6 nonprofit organization, or state or federal agency for the 3-7 operation and maintenance of any such park, recreational facility 3-8 or natural science laboratory. The preservation of fish and 3-9 wildlife shall be in accordance with the rules and regulations, if 3-10 any, prescribed by the Parks and Wildlife Commission of the State 3-11 of Texas or its successor. Notwithstanding any other provisions of 3-12 this Act, the board of directors of the district shall have the 3-13 power to charge and collect reasonable entrance, gate, or use fees 3-14 for the development, management and use of parks and recreational 3-15 facilities developed in whole or in part by the district; 3-16 (s) to enter into such agreements as may be legally 3-17 authorized by Chapter 166, Acts of the 63rd Legislature, Regular 3-18 Session, 1973 (Article 1435a, Vernon's Texas Civil Statutes), to 3-19 acquire, install, construct, operate, enlarge and make additions 3-20 to, and own and operate electric power and energy generating 3-21 facilities as provided in said article, in joint ownership with 3-22 others, either as cotenants or under such other arrangements as may 3-23 by a three-fourths vote of the statutory membership of the board be 3-24 approved, and, in accordance with and subject to the terms of such 3-25 agreements, if any, from time to time to sell or otherwise dispose 3-26 of any or all of this interest in such jointly owned electric power 3-27 and generating facilities. This subsection shall not apply to 3-28 generating facilities or other property wholly owned by the 3-29 district; 3-30 (t) to do any and all other acts or things necessary 3-31 or convenient, including, but not limited to, the control of the 3-32 use of the surface of any lakes or islands located therein 3-33 developed by the district and to levy a charge for the commercial 3-34 use thereof, to the exercise of all powers, rights, privileges, 3-35 authority or functions conferred upon it by the Constitution of 3-36 Texas, this Act or any other act or law; 3-37 (u) to enter into contracts with the State of Texas 3-38 through the State Board of Control providing for direct sale by the 3-39 district of electrical power to the state for use in buildings or 3-40 other facilities owned, leased, or rented by the state in Travis 3-41 County. 3-42 Provided, however, that said district shall not be permitted 3-43 to use for irrigation purposes any water under any permit or 3-44 permits hereafter acquired from any other company or person unless 3-45 expressly authorized by and granted to the district by the Texas 3-46 Water Rights Commission or its successor agency under authority of 3-47 law; and said Texas Water Rights Commission or its successor agency 3-48 in considering subsequent applications by said district shall at 3-49 all times consider the needs of the people living within and on 3-50 lands lying within the watershed of the Colorado River and its 3-51 tributaries above the district. 3-52 Provided that in creating and conferring the benefits of this 3-53 Act on said district, it is declared as an essential part thereof 3-54 that irrespective of any existing right or rights or permit or 3-55 permits issued by the Texas Water Rights Commission or its 3-56 successor agency or its predecessor agency to use the waters of the 3-57 Colorado River and its tributaries for the generation of 3-58 hydroelectric power and which rights or permits may be held or 3-59 acquired by the district, the impounding and use of the flood 3-60 waters of the Colorado River and/or its tributaries for the 3-61 generation of hydroelectric power by the district and/or anyone who 3-62 may succeed to the rights and privileges conferred upon it by this 3-63 Act, shall be subject to the rights of any other person, municipal 3-64 corporation or body politic heretofore or hereafter, under legal 3-65 grant of authority, impounding and putting to beneficial use any 3-66 such waters when such other person, municipal corporation or body 3-67 politic has received a permit for such use or uses from the Board 3-68 of Water Engineers of the State of Texas, the Texas Water Rights 3-69 Commission or its successor agency, or who by law has heretofore 3-70 been or hereafter may be permitted to impound water for the 4-1 aforesaid purposes, and nothing in this Act shall ever be construed 4-2 as to require any such municipal corporation or body politic to 4-3 surrender any such rights to which it may be legally entitled to 4-4 the district and shall not be construed so as to subject to 4-5 condemnation by said district or any successor or by anyone who may 4-6 succeed to the rights and privileges conferred upon it by this Act 4-7 any waters heretofore impounded or to be impounded within or 4-8 without the district under any law authorizing water to be 4-9 impounded or under any permits heretofore granted or hereafter 4-10 granted to a municipal corporation or body politic or any waters 4-11 heretofore impounded or permitted to be impounded or used without 4-12 the district under permits heretofore or hereafter legally granted 4-13 to any person. 4-14 Nothing in this Act shall be construed as depriving any 4-15 person or municipality of the right, legally granted, to impound 4-16 the waters of the Colorado River and/or its tributaries for 4-17 authorized beneficial uses, nor of repealing any law granting such 4-18 rights to persons and municipalities. 4-19 SECTION 2. The importance of this legislation and the 4-20 crowded condition of the calendars in both houses create an 4-21 emergency and an imperative public necessity that the 4-22 constitutional rule requiring bills to be read on three several 4-23 days in each house be suspended, and this rule is hereby suspended, 4-24 and that this Act take effect and be in force from and after its 4-25 passage, and it is so enacted. 4-26 * * * * * 4-27 Austin, 4-28 Texas 4-29 March 8, 1993 4-30 Hon. Bob Bullock 4-31 President of the Senate 4-32 Sir: 4-33 We, your Committee on Natural Resources to which was referred S.B. 4-34 No. 504, have had the same under consideration, and I am instructed 4-35 to report it back to the Senate with the recommendation that it do 4-36 pass and be printed. 4-37 Sims, 4-38 Chairman 4-39 * * * * * 4-40 WITNESSES 4-41 FOR AGAINST ON 4-42 ___________________________________________________________________ 4-43 Name: Gene Richardson x 4-44 Representing: Lower Colorado River Auth. 4-45 City: Round Rock 4-46 ------------------------------------------------------------------- 4-47 Name: Mark N. Rose x 4-48 Representing: LCRA 4-49 City: Austin 4-50 ------------------------------------------------------------------- 4-51 Name: Thomas G. Mason x 4-52 Representing: LCRA 4-53 City: Austin 4-54 ------------------------------------------------------------------- 4-55 Name: Mark H. Jordon x 4-56 Representing: Tx Water Commission 4-57 City: 4-58 ------------------------------------------------------------------- 4-59 Name: Bruce Wasinger x 4-60 Representing: Lower Colorado River Auth. 4-61 City: Austin 4-62 -------------------------------------------------------------------