BILL ANALYSIS



H.B. 635
By: Lewis, Ron
April 3, 1995
Committee Report (Amended)


BACKGROUND

The Jefferson County Water Control and Improvement District #10
("WCID #10") requested annexation by the city of Nederland in 1949,
1955, and 1964.  Each time the city denied the request.  In 1958,
the district developed its own water and wastewater service system. 
In 1984, the city of Nederland cited its intention to discontinue
fire protection to the district.

The district's water and wastewater operations within the district
have consistently met federal and state regulations, while those
within Nederland presently do not.  It is estimated that the
annexation of WCID #10 would bring a revenue of approximately
$50,000 per year to the city of Nederland.  There is little that
the district would receive in return for providing this increased
tax base to the city.

PURPOSE

The goal of this legislation is to prevent the annexation of Water
Control and Improvement District #10 by the city of Nederland or
any other entity.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency or institution.

SECTION BY SECTION ANALYSIS

SECTION 1  Amends Chapter 245, Acts of the 54th Legislature, by
           adding Section 3A that states that any and all territory
           within WCID #10 may not be annexed by any entity or
           municipality.

SECTION 2  Emergency clause.

EXPLANATION OF AMENDMENTS

COMMITTEE AMENDMENT NO. 1

           States that WCID #10 may be annexed if the annexation
           is approved by a majority of the voters voting in a
           single election held jointly in the municipality and the
           District for that purpose.

SUMMARY OF COMMITTEE ACTION

H.B. 635 was considered by the committee in a public hearing on
February 28, 1995.

The following persons testified in favor of the bill:

           Representative Ron Lewis;
           Lee Townsend, representing Water District #10 Citizens
Against Annexation; and
           C. J. Freeman, representing the Jefferson County Water
           Control and Improvement District #10.

The bill was referred to a subcommittee to be named later by the
chair.

On February 28, 1995, the chair named the following subcommittee
members:  Representatives Combs, Hilderbran, and Krusee.

After being recalled from subcommittee, the bill was considered by
the committee in a public hearing on March 28, 1995.

The committee considered one amendment to the bill.

The amendment was adopted without objection.

The bill was reported favorably as amended, with the recommendation
that it do pass and be printed, by a record vote of 8 ayes, 0 nays,
0 pnv, 1 absent.