BILL ANALYSIS


                                                        H.B. 3082
                                     By: Holzheauser (Armbrister)
                                                Natural Resources
                                                          5-25-95
                              Senate Committee Report (Unamended)
BACKGROUND

Current law authorizes a drainage district to be formed only after
a petition has been presented to and approved by the commissioners
court of a county by 25 resident freehold taxpayers of the proposed
district, or one-third if there are less than 75.  Then, the court
must find that the drainage of the proposed district is feasible
and practicable, is needed, and would be conducive to public health
or would be a public benefit or a public utility.

PURPOSE

As proposed, H.B. 3082 provides guidelines for creating a drainage
district; provides guidelines for being annexed by a drainage
district; provides guidelines for the consolidation of two or more
drainage districts into one.

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. Amends Chapter 56B, Water Code, by adding Section
56.033, as follows:

     Sec.  56.033.  ALTERNATE PROCEDURE FOR CREATION.  (a)
     Authorizes the landowners of a defined area of territory not
     in a drainage district (district) to file with the
     commissioners court a petition requesting an election on the
     creation of a district.  Sets forth the required contents of
     the petition.
     
     (b) Requires the commissioners court to call and hold a
       hearing to determine if the petition meets the requirements
       of Subsection (a).
       
       (c) Requires the court, if the commissioners court
       determines the petition meets the requirements of Subsection
       (a), to order an election held in the proposed district to
       determine whether or not the district should be created and
       whether or not the district should issue bonds and levy
       taxes to pay for the bonds.
       
       (d) Provides that the provisions of this subchapter, other
       than Section 56.019, govern the hearing and election.
       
       SECTION 2.   Amends Chapter 56, Water Code, by adding Subchapters J
and K, as follows:

  SUBCHAPTER J.  ALTERNATE PROCEDURE FOR ANNEXATION BY EXISTING DISTRICT

     Sec.  56.751.  PETITION FOR ANNEXATION.  Authorizes the
     landowners of a defined area of territory not in a district to
     file with the secretary of the governing body of a district
     (board) requesting an election on the inclusion of the
     territory in a district.  Sets forth required contents of the
     petition.
     
     Sec.  56.752.  HEARING ON DETERMINATION OF PETITION.  (a)
     Requires the board to hear the petition to determine if it
     meets the requirements of Section 56.751.
     
     (b) Requires the board, by order, to set the time and place
       of the hearing on petition.  Requires the hearing to be held
       not less than 30 days after the date of the order.
       
       Sec.  56.753.  NOTICE OF HEARING.  (a) Requires the secretary
     of the board to issue notice of the time and place of the
     hearing.  Requires the notice to describe the territory
     proposed to be annexed.
     
     (b) Requires the secretary to post copies of the notice in
       three public places in the district and one copy in a public
       place in the territory proposed to be annexed.  Requires the
       notice to be posted at least 15 days before the hearing
       date.
       
       (c) Requires the notice to be published one time in a
       newspaper with general circulation in the county.  Requires
       the notice to be published at least 15 days before the date
       of the hearing.
       
       Sec.  56.754.  ELECTIONS TO APPROVE ANNEXATION OF TERRITORY. 
     (a) Requires the board to order elections to approve the
     annexation if the board determines the petition meets the
     requirements of Section 56.751.
     
     (b) Requires annexation of the territory to be approved by
       a majority vote of the voters at a separate election held in
       the district and by a majority vote of the voters at a
       separate election held in the territory proposed to be
       added.
       
       (c) Provides that if the district has outstanding debts or
       taxes, the election to approve annexation also determines
       whether the territory to be added assumes its proportion of
       the debts or taxes if the territory is added to the
       district.
       
       Sec.  56.755.  NOTICE AND PROCEDURE OF ELECTION.  Provides
     that the election notice, the manner and time of giving the
     notice, the manner of holding the election, and qualifications
     of the voters are governed by Chapter 58E.
     
     Sec.  56.756.  LIABILITY OF ADDED TERRITORY.  Requires the
     added territory to bear its pro rata part of all indebtedness
     or taxes that may be owed, contracted, or authorized by the
     district to which it was added.
     
            SUBCHAPTER K.  CONSOLIDATION OF DISTRICTS

     Sec.  56.801.  PETITION.  Provides that consolidation is
     initiated by a petition requesting an election on the
     question.  Requires the petition to be signed by a certain
     amount of the registered voters residing in either district
     proposed to be consolidated.  Requires the petition to be
     presented to the commission.
     
     Sec.  56.802.  ELECTION ORDER; NOTICE.  (a) Requires the
     commissioners court, if it determines the petition meets the
     requirements of Section 56.801, to issue an order for an
     election to be held on a certain date and to give notice of
     the election.
     
     (b) Sets forth the format of the election ballot.
       
       Sec.  56.803.  CANVASS; RESULT.  (a) Requires the
     commissioners court to canvass the returns of the election. 
     Requires the commissioners to publish the results separately
     for each district.
     
     (b) Requires the commissioners court to declare the
       districts consolidated if a majority of the votes cast in
       each district favor the consolidation.
       
       Sec.  56.804.  TITLE OF PROPERTY; ASSUMPTION OF DEBT. 
     Provides that title to all property of the consolidating
     districts vests in the consolidated district.  Provides that
     the consolidated district assumes and is liable for the
     outstanding indebtedness of the consolidating districts.
     
     SECTION 3.     Emergency clause.
           Effective date: upon passage.