BILL ANALYSIS H.B. 2139 By: Combs (Barrientos) Natural Resources 05-25-95 Senate Committee Report (Unamended) BACKGROUND The Travis County Water Conservation and Improvement District (district) was created in 1957 to provide retail water service in a portion of southwestern Travis County. A small part of the district is the Bee Cave Community. Historically, this district has had difficulty supplying adequate water pressure to its Bee Cave customers. The district would be required to make a capital expenditure to correct this problem. The Bee Cave Community is incorporated into the Village of Bee Cave. The village has arranged to provide a municipal water supply within its limits and its extra-territorial jurisdiction, pursuant to a wholesale contract with the Lower Colorado River Authority. The village cannot begin this project until the territory within its service area that is within district No. 14 is deannexed. PURPOSE As proposed, H.B. 2139 authorizes the board of directors of Travis County Water Control and Improvement District No. 14 to exclude territory from the district. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. DEFINITIONS. Defines "district" and "board." SECTION 2. EXCLUSION OF TERRITORY. Sets forth areas the board of directors of Travis County Water Control and Improvement District No. 14. (board) may exclude from the Travis County Water Control and Improvement District (district). SECTION 3.NOTICE TO TEXAS NATURAL RESOURCE CONSERVATION COMMISSION. Requires the board to provide to the executive director of the Texas Natural Resource Conservation Commission (commission) a detailed description of the land excluded under this Act no later than 30 days after the effective date of this Act. SECTION 4. DEBT SERVICE. Provides that the exclusion of land under this Act does not affect, diminish, or impair the rights of the holders of any outstanding and unpaid bonds, warrants, or other obligations of the district or the obligation of the board annually to adjust the district's tax rate to provide sufficient tax revenues for debt service. SECTION 5. APPORTIONMENT OF DISTRICT INDEBTEDNESS. (a) Provides that land excluded under this Act is not released from the payment of its pro rata share of the district's indebtedness. (b) Requires the district to continue to levy taxes each year on the property excluded from the district at the same rate levied on other property of the district, until the taxes collected from the excluded land equal its pro rata share of the indebtedness of the district at the time of the exclusion of the land. Requires the taxes collected to be applied exclusively to the payment of the excluded land's pro rata share of the indebtedness. (c) Authorizes a land owner in the excluded area to pay in full, at any time, the owner's share of the pro rata share of the indebtedness of the district. SECTION 6. Emergency clause. Effective date: upon passage.