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.