BILL ANALYSIS
S.B. 1172
By: Lucio (De La Garza)
4-10-95
Committee Report (Unamended)
BACKGROUND
Since 1983, Article 973c, V.T.C.S., (Exclusion of property from
certain water districts) has required a payment of potential loss
of income from municipal suppliers to water districts. This has
prevented the conversion of agricultural water to municipal use.
PURPOSE
As proposed, S.B. 1172 provides for the exclusion of nonirrigated
property from certain water districts and a corresponding
conversion of water rights from irrigational to municipal use.
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 51O, Water Code, by adding Sections
51.759-51.766, as follows:
Sec. 51.759. EXCLUSION OF CERTAIN NONIRRIGATED LAND. (a) Sets
forth land the board of directors of a district (board) is
authorized to exclude from the water control and improvement
district (district) land that is not being irrigated, if a
district is principally engaged in providing water for
agricultural irrigation or the primary purpose of the district
is to provide water for agricultural irrigation, by complying
with Sections 51.760-51.766.
(b) Authorizes land described by Subsection (a) to be
excluded regardless of whether the land is within or near
municipal boundaries or a plat or map of the land has been
filed for record in the office of the county clerk of the
county in which any part of the land is located.
(c) Prohibits the board from excluding land described by
Subsection (a) if the land has been used for an agricultural
purpose within the year preceding the date of the hearing
held under Section 51.761.
Sec. 51.760. INITIATING EXCLUSION. (a) Authorizes a petition
to exclude land to be filed with the board by the owners of a
majority in acreage of land described by Section 51.759 that
is located in the district.
(b) Requires the petition to describe the land to be
excluded by metes and bounds or lot and block number.
Requires a petition for exclusion of other property to
describe the property to be excluded.
(c) Authorizes the board to initiate a proceeding to exclude
land without receiving a petition by holding a hearing on
its own motion and issuing an order.
Sec. 51.761. HEARING, NOTICE, AND ORDER OF EXCLUSION. (a)
Requires the board, on the board's motion or on receipt of a
petition to exclude land, to give notice and hold a hearing on
the proposed exclusion.
(b) Requires the board to publish notice of the hearing in
a newspaper of general circulation in the district once each
week for two consecutive weeks. Requires the first
publication to appear at least 14 days before the date of
the hearing.
(c) Sets forth provisions of which the notice is required to
advise interested property owners in the district.
(d) Authorizes the board to adjourn the hearing from one day
to another until the board hears every person who desires to
be heard.
(e) Requires the board to specifically describe all property
that it proposes to exclude on its own motion.
(f) Requires the board, in a hearing on exclusion of
property on the board's own motion, to hear protests and
evidence against the exclusion before the board hears any
other evidence or matter.
(g) Requires the board to issue an order excluding the
property if, after considering evidence presented at the
hearing, the board makes certain findings.
Sec. 51.762. CONSENT OF DEBT HOLDERS. Requires, if the
district has outstanding bonded debt or debt under a loan from
a governmental agency, a written consent from an authorized
representative of the holders of the debt to the exclusion to
be obtained and filed with the district before the hearing is
held.
Sec. 51.763. RESULTS OF EXCLUSION. (a) Sets forth provisions
that take place on the issuance of an order excluding
property.
(b) Requires the district to record a copy of the order
excluding the property from the district, certified and
acknowledged by the secretary of the board, in the real
property records of the county in which the excluded
property is located.
Sec. 51.764. DISTRICT FACILITIES ON EXCLUDED PROPERTY.
Provides that the exclusion does not affect or interfere with
any rights that the district has to maintain and continue
operation of any facility of the district located on land
excluded by the order to serve land remaining in the district.
Sec. 51.765. WATER ALLOCATIONS. (a) Authorizes a municipality
or water supply corporation (municipality) that serves the
excluded land with a potable water supply to petition the
district to apply to the commission to convert the
proportionate irrigation water allocation of the excluded land
from irrigation use to municipal use allocation after the
district adopts an order excluding nonirrigated property.
(b) Requires the district to make the application to the
commission no later than 30 days after a municipality
petitions the district to make the application if the
municipality pays the district the amount the district
estimates will be its expenses and attorney's fees incurred
in the commissioner conversion proceedings, and enters into
an agreement with the district establishing the terms on
which the water allocation shall be delivered or made
available to the municipality.
(c) Requires the parties, if the parties cannot agree to
water allocation terms, to attempt resolution of their
differences through an alternative dispute resolution
process. Provides that the commission does not have
jurisdiction to resolve the parties' differences.
(d) Requires the municipality, together with the district's
application, to provide the commission with evidence to
support the projected need for water for the five years
after the conversion to a municipal-use water allocation.
Sec. 51.766. SUIT TO REVIEW EXCLUSION. (a) Authorizes a person
who owns an interest in property affected by an exclusion
order to sue to review, set aside, modify, or suspend the
order no later than 20 days after the effective date of the
order.
(b) Provides that venue is in any district court that has
jurisdiction in the county in which the district is located.
Provides that if the district includes land in more than one
county, venue is in the district court having jurisdiction
in the county in which the largest portion of the acreage of
the land sought to be excluded from the district is located.
(c) Authorizes a person to appeal from the judgment or order
of a district court in a suit brought under this section to
the court of civil appeals and supreme court as in other
civil cases in which the district court has original
jurisdiction.
SECTION 2. Amends Chapter 55O, Water Code, by adding Section
55.755, as follows:
Sec. 55.755. EXCLUSION OF CERTAIN NONIRRIGATED LAND.
Authorizes the board to exclude from the district land that is
not being irrigated, if a district is principally engaged in
providing water for agricultural irrigation or the primary
purpose of the district is to provide water for agricultural
irrigation. Provides that this section applies only to land
that is eligible for exclusion.
SECTION 3. Amends Chapter 58N, Water Code, by adding Section
58.731, as follows:
Sec. 58.731. EXCLUSION OF CERTAIN NONIRRIGATED LAND.
Authorizes the board to exclude from the district land that is
not being irrigated. Provides that this section applies only
to land that is eligible for exclusion.
SECTION 4. Emergency clause.
Effective date: upon passage.
SUMMARY OF COMMITTEE ACTION
S.B.1172 was considered by the committee in a public hearing on
April 10, 1995.
The following person testified in favor of the bill:
Mr. Wayne Halbert, representing Texas Irrigation Council.
The following persons testified against the bill: None (0).
The following persons testified on the bill: None (0).
The bill was reported favorably without amendment, with the
recommendation that it do pass and be printed and be sent to the
Committee on Local and Consent Calendars, by a record vote of 6
ayes, 0 nays, 0 pnv, 3 absent.