BILL ANALYSIS
C.S.S.B. 1700
By: Wentworth
Natural Resources
05-12-95
Committee Report (Substituted)
BACKGROUND
Water authorities are created to control and distribute storm,
flood, and river water for irrigation, power, and other useful
purposes, including reclamation and irrigation of arid land;
drainage; conservation and development of hydroelectric power;
conservation of forests; navigation; protection of the state's
water purity and sanitation; the supplying of water; alteration of
land elevations; and the provision of recreational facilities.
PURPOSE
As proposed, C.S.S.B. 1700 creates a water district in Travis
County.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is granted
to the Southwest Travis County Water District in SECTIONS 3.02(a),
3.07(a) and (b), 3.09(b), 3.10 of this bill.
SECTION BY SECTION ANALYSIS
ARTICLE 1. GENERAL PROVISIONS
SECTION 1.01. CREATION. (a) Creates the Southwest Travis County
Water District which is a conservation and reclamation district to
be located in Travis County. Provides that a confirmation election
is not necessary. Provides that the district is a governmental
agency and a body politic and corporate.
(b) Creates the district to accomplish the purpose of Section
59, Article XVI, Texas Constitution.
SECTION 1.02. DEFINITIONS. Defines "board," "commission,"
"director," "disposal system," "district," "local government,"
"person," "pollution," "system," "treatment facility," "waste" and
"water."
ARTICLE 2. ADMINISTRATIVE PROVISIONS
SECTION 2.01. BOARD. (a) Provides that the district's powers,
rights, duties, and functions are exercised by a board of directors
(board).
(b) Sets forth the membership of the board.
(c) Authorizes the lieutenant governor to reject the names on
the list and request another list from the speaker of the
house of representatives.
SECTION 2.02. DIRECTOR ELIGIBILITY. Sets forth the eligibility
criteria for a member of the board (director).
SECTION 2.03. TERMS OF DIRECTORS AND APPOINTMENT PROCEDURES. Sets
forth the terms of the directors.
SECTION 2.04. QUALIFICATION OF DIRECTOR. Requires each director
to qualify to serve as a director in a manner provided by Sections
51.078 and 51.079, Water Code. Requires the district to pay the
premiums for each director's bond required under Section 51.079,
Water Code.
SECTION 2.05. MEETINGS AND ACTIONS OF THE BOARD. (a) Requires
the board to adopt bylaws at its first meeting or as soon as
practicable.
(b) Requires the board to meet at least four times each year,
and may meet at any other time provided in its bylaws.
(c) Provides that a majority of directors constitutes a
quorum for the transaction of business. Provides that a vote
of majority present at a meeting at which a quorum is present
is required for board action.
SECTION 2.06. ORGANIZATION OF BOARD. (a) Sets forth the
organization of the board.
(b) Requires the directors to elect a person to fill a
vacancy in a board office at the next meeting.
(c) Requires the board to prescribe the powers and duties of
each board office and procedures to remove a director from
office.
SECTION 2.07. INTEREST IN CONTRACT. Requires a director who is
financially interested in a contract proposed to be executed by the
district for the purchase of property or services or construction
of facilities to disclose the interest to the board and may not
vote on acceptance of the contract.
SECTION 2.08. DIRECTOR'S COMPENSATION. Sets forth the amount of
compensation for which a director is eligible.
SECTION 2.09. GENERAL MANAGER. (a) Requires the board to employ
a general manager for a term and salary set by the board.
(b) Provides that the general manager (GM) is the chief
executive officer of the district. Sets forth the duties for
which the GM is responsible.
(c) Authorizes the board to discharge the GM.
SECTION 2.10. EMPLOYEES BONDS. (a) Requires the GM and each
employee of the district who is charged with the collection,
custody, or payment of any money of the district to execute a
fidelity bond in an amount determined by the board and in a form
and with surety approved by the board.
(b) Requires the board to pay the premiums on the employees'
bonds under this section.
SECTION 2.11. PRINCIPAL OFFICE. Requires the district to maintain
its principal office inside the district.
SECTION 2.12. RECORDS. Sets forth the records the district is
required to maintain.
SECTION 2.13. SEAL. Requires the district to adopt a seal and may
change the seal from time to time.
SECTION 2.14. SUIT. Authorizes the district to sue and be sued in
its corporate name.
ARTICLE 3. POWERS AND DUTIES
SECTION 3.01. GENERAL POWERS AND DUTIES. (a) Sets forth the
duties of the district.
(b) Provides that the creation of a local government or
political subdivision in the district is prohibited unless
approved by board resolution. Provides that annexation of
district territory by a local government or political
subdivision is prohibited unless approved by all owners of
land to be annexed and by board resolution. Provides that all
area within the district is removed and excluded from the
extraterritorial jurisdiction of any local government or other
political subdivision in the state.
(c)-(d) Sets forth the powers of the district, subject to the
Texas Natural Resource Conservation Commission's (commission)
authority, regarding superseding the authority of any local
government.
(e) Provides that the district has all powers, rights, and
privileges necessary and convenient for accomplishing the
purposes of this Act that are conferred by general law upon
any conservation and reclamation district created pursuant to
Section 59, Article XVI, Texas Constitution.
(f) Provides that the powers granted to the district in this
Act are cumulative of all powers granted by other law.
SECTION 3.02. DISTRICT RULES. (a) Requires the district to adopt
and enforce rules reasonably required to implement this Act,
including rules governing procedure and practice before the board.
(b) Requires the district to print its rules and furnish
copies of the rules to any person on written request.
SECTION 3.03. INSPECTIONS AND INVESTIGATIONS. Authorizes the
district to enter public or private property in the district's
territory for the purpose of inspecting and investigating
conditions relating to its authorized purposes under the same
provisions and restrictions applicable to the commission.
SECTION 3.04. HEARING AND ORDER. (a) Sets forth the authorized
actions of the board regarding hearings and order.
SECTION 3.05. CIVIL PENALTY; INJUNCTION. (a) Provides that a
person who violates a rule, permit, or order of the district is
subject to a civil penalty of not less than $50 and not more than
$1,000 for each violation or each day of continuing violation.
(b) Authorizes the district to sue to recover the penalty in
a district court in the county where the violation occurred.
Requires the penalty to be paid to the district.
(c) Authorizes the district to sue for injunctive relief in
a district court in the county where a violation of its rule,
permit, or order occurs or is threatened to occur. Authorizes
the court to grant to the district a prohibitory or mandatory
injunction that facts warrant.
(d) Authorizes the district to sue for injunctive relief and
a civil penalty in the same proceeding.
(e) Provides that the commission is a necessary party to a
suit brought under this section.
SECTION 3.06. COURT REVIEW. (a) Authorizes a person who is
adversely affected by a rule, act, or order of the district to sue
the district in district court to set aside the rule, act or order.
(b) Requires the suit to be filed not later than the 60th day
after the date on which the rule, act or order takes effect.
(c) Requires the court to order the person to pay the
reasonable attorney's fees, expert witness fees, and other
costs incurred by all opposing parties in defending this Act.
SECTION 3.07. WATER QUALITY STANDARDS AND CRITERIA. (a) Requires
the board to prescribe a water pollution control and abatement
program for the district after public hearing. Requires the
program to apply equally and uniformly throughout the district and
be designed to achieve state water quality standards adopted by the
commission and in effect on January 1, 1995.
(b) Requires the district to submit the program to the
commission for review and approval. Authorizes the
commission, by rule, to provide criteria for the review and
approval of the program, based on achieving state water
quality standards adopted by the commission and in effect on
January 1, 1995.
(c) Requires the commission, if it finds that the proposed
program will not achieve state water quality standards, to
notify the district in writing of the specific objections not
later than the 30th day after receipt of the proposed program.
Authorizes the district to amend the proposed program in
response to the commission's objections. Requires the
commission to promptly notify the district in writing whether
the commission approves the proposal as amended.
(d) Sets forth the actions of the district if the commission
does not notify the district that it objects to the proposed
program.
(e) Requires the commission to adopt and assess fees adequate
to recover the costs of the commission in administering this
section.
SECTION 3.08. WATER, WASTEWATER, OR DRAINAGE CONTROL PLANS. (a)
Requires the district to develop, prepare, and revise comprehensive
water, wastewater, or drainage control plans for various areas of
the district. Requires the plans to be consistent with state water
quality standards adopted by the commission and in effect on
January 1, 1995.
(b) Provides that this Act does not authorize the district to
develop, own, or operate a surface water dam or reservoir for
potable water supply purposes or limit or supersede an
existing water management plan, water right, or water supply
or wastewater treatment facility of a river authority in
existence on the effective date of this Act the territory of
which comprises at least three counties and includes all or
part of the district territory.
(c) Requires the plans to comply with all requirements of the
national flood insurance program as prescribed by Chapter 16I,
Water Code.
SECTION 3.09. REGULATION OF SOLID WASTE. (a) Provides that the
district has the powers and duties relating to the regulation of
solid waste granted to a local government under Chapters 361E and
364, Health and Safety Code.
(b) Authorizes the district to adopt rules to implement the
powers and duties authorized by this section.
SECTION 3.10. SEPTIC TANKS. (a) Sets forth the authorized
actions, by rule, if a district finds that the nature of the soil
or drainage in the district requires regulation of septic tanks to
prevent water pollution or to protect the public health.
(b) Requires the board to consult with the commission and
hold a public hearing in the area to be affected, before the
board adopts a rule.
SECTION 3.11. SUBDIVISIONS. (a) Provides that the district has
the exclusive power and jurisdiction to approve a plat or replat
required of a tract of land located within the district. Prohibits
a plat or replat from being filed with the county clerk without the
approval of both the district and the county with jurisdiction over
the land. Provides that if a county regulation regarding the
subdivision of land conflicts with a district regulation, the
district regulation supersedes the county regulation.
(b) Requires the district, subject to Subsection (a) of this
section, and the county to approve a plat or replat that
satisfies the requirements established by the commissioners
court of the county under Section 232.003, Local Government
Code. Requires the district and county to act on a plat or
replat is filed. Sets forth the conditions in which a plat or
replat is not approved after the 61st day after the date the
plat or replat is filed.
(c) Prohibits the district and a county from regulating
certain property.
SECTION 3.12. MUNICIPAL UTILITY DISTRICTS. (a) Requires the
creation of a municipal utility district in the district to be
regulated only by the commission. Provides that the consent of the
district or any local government or other political subdivision in
the state is not required to create a municipal utility district in
the district.
(b) Sets forth the items of which the district has exclusive
authority to enforce, amend, or terminate the provisions of
any agreement between or that applies to a municipal utility
district located within the district and any local government
or other political subdivision in the state.
(c) Provides that the authority granted by Subsection (b) of
this section supersedes the authority of any local government
or other political subdivision in the state regarding the
matters described by Subsection (b) of this section other than
the authority of a county to enforce, amend, or terminate an
agreement pertaining to landscape maintenance or a license
agreement in the public rights-of-way.
(d) Provides that the rules of the district in effect at the
time a petition for creation of a municipal utility district
is filed with the commission remain applicable to all land
within the municipal utility district until all bonds issued
by the municipal utility district have been paid. Prohibits
the district or a local government or other political
subdivision of the state from imposing a requirement or
condition on the municipal utility district that may adversely
affect the data, profiles, maps, plans and specifications, or
land use used to determine the feasibility of the project or
the financial feasibility or tax base of the district, unless
the requirement or condition is made specifically to comply
with state or federal law or applies only after the bonds
issued by the district have been paid. Provides that any
requirement or condition imposed on a municipal utility
district in conflict with this section is void.
SECTION 3.13. ACQUISITION, CONSTRUCTION, AND OPERATION OF SYSTEMS.
Sets forth the authorized actions of the district.
SECTION 3.14. SYSTEM CONTRACTS. (a) Authorizes the district to
contract to receive and treat or dispose of water, wastewater,
drainage, or wastes from any person in the district.
(b) Sets forth the basis on which fees are to be set in a
contract under this section.
SECTION 3.15. SALE OF WATER OR BY-PRODUCT. Authorizes the
district to store and sell water or a by-product from the
district's operations.
SECTION 3.16. PERMITS FROM COMMISSION. (a) Authorize the
district to apply to the commission for a permit to appropriate
water.
(b) Authorizes the district to apply to the commission for a
water storage or use permit to store and sell water under
Section 3.13 of this Act.
SECTION 3.17. EMINENT DOMAIN. (a) Authorizes the district to
exercise the power of eminent domain under Chapter 21, Property
Code, to acquire property of any kind in Travis County that is
appropriate for the exercise of the district's functions and within
the district or adjacent to the district.
(b) Prohibits the district from exercising the power of
eminent domain to acquire the property of a river authority in
existence on the effective date of this Act the territory of
which comprises at least three counties and includes all or
part of the district territory.
SECTION 3.18. RELOCATION OF FACILITIES. Requires the district, if
the district requires any change for its own services, to pay the
cost of any action to a railroad, highway, pipeline, electronic
transmission or distribution, telegraph, or telephone line or
conduit, pole, or facility so as to provide comparable replacement
of any replaced facility, less the net salvage value.
SECTION 3.19. USE OF PUBLIC EASEMENTS. (a) Authorizes the
district to use any public easement in Travis County to accomplish
its purpose, without the necessity of securing a franchise or other
governmental agreement. Provides that the use is subject to the
authority of a county to require the relocation of facilities, at
the expense of the district, to permit the widening or
straightening of a road. Requires the county to give the district
30 days' notice that relocation is required and specify the new
location for the facilities along the right-of-way of the road.
(b) Provides that Subsection (a) does not apply to an
easement of a river authority in existence on the effective
date of this Act the territory of which comprises at least
three counties and includes all or part of the district
territory.
(c) Prohibits the district from changing, altering, or
damaging a portion of the state highway or any county road
without first obtaining the written consent of the Texas
Department of Transportation (TxDOT) or the county, as
applicable. Provides that the placement of a district
facility in a state or county highway right-of-way is subject
to regulation by TxDOT or a county, as applicable.
SECTION 3.20. ACQUISITION AND DISPOSITION OF PROPERTY. (a)
Authorizes the district to obtain and use property of any kind that
is appropriate for the exercise of its functions.
(b) Sets forth the required actions of the board prior to
sale of its property.
SECTION 3.21. FACILITIES. Authorizes the district to acquire or
operate any facility necessary or convenient to the exercise of its
powers, rights, duties, or functions.
SECTION 3.22. CONTRACTS. (a) Authorizes the district to make
contracts and execute instruments necessary or convenient to the
exercise of its powers, rights and duties, or functions. Prohibits
the district from entering into a contract with a term of greater
than 50 years.
(b) Provides that this section does not prohibit the district
from purchasing surplus property from the U.S. through a
negotiated contract without bids.
(c) Requires an officer, agent, or employee of the district
to disclose any potential conflict of interest before the
board votes on the acceptance of a contract.
(d) Provides that a contract between the district and a
municipality need not be submitted to the municipality's
electorate.
SECTION 3.23. COOPERATIVE AGREEMENTS. Sets forth the conditions
under which the district may into cooperative agreements with other
local governments, state agencies, or agencies of the U.S.
SECTION 3.24. COUNTY AUTHORITY. Provides that this Act does not
affect a county's authority acting under an order or ordinance of
the commissioners court of the county or by certain rules or
regulations approved by the commissioners court of the county.
ARTICLE 4. GENERAL FISCAL PROVISIONS
SECTION 4.01. DISBURSEMENT OF MONEY. Authorizes the district to
disburse money only by check, draft, order, or other instrument
signed by the person or persons authorized in the board's bylaws or
by board resolution.
SECTION 4.02. FEES AND CHARGES. Authorizes the district to
establish fees and charges not to exceed the amounts necessary to
enable the district to fulfill the obligations imposed on it by
this Act.
SECTION 4.03. LOANS AND GRANTS. (a) Authorizes the district to
borrow money and accept grants for its corporate purposes.
(b) Sets forth the sources from whom the district may borrow
money and accept grants.
(c) Provides that information of the source, amount, and any
restriction on expenditure of money the district accepts is
public information.
SECTION 4.04. FISCAL YEAR. Requires the board to establish the
district's fiscal year.
SECTION 4.05. INDEPENDENT AUDIT AND REPORT. (a) Requires the
board to have an audit of the district's affairs for each fiscal
year prepared by an independent certified public accountant of
recognized integrity and ability.
(b) Requires the district to keep at least one copy of the
most recent audit at the district's principal office.
(c) Requires the district to make a copy of the most recent
audit available for inspection by an interested person during
regular business hours.
SECTION 4.06. DEPOSITORY BANKS. (a) Requires the board to
designate one or more banks to serve as depository for the
district's money. Requires the district to deposit all of its
money in the designated depository bank or banks except for certain
monies.
(b) Requires the money to be secured in the manner provided
by law for the security of state money to the extent that
money in a depository bank or trustee bank is not invested or
insured by the Federal Deposit Insurance Corporation.
(c) Requires the board to publish notice at least once in a
newspaper of general circulation in the district requesting
applications from banks interested in serving as a depository.
Sets forth the required contents of the notice.
(d) Requires the board to consider the applications received
and the management and condition of each bank that files an
application. Sets forth the criteria for designation of a
bank.
(e) Authorizes the board to designate a bank or banks on such
terms and conditions as the board considers prudent, if no
application is received by the time stated in the notice.
ARTICLE 5. BOND AND TAX PROVISIONS
SECTION 5.01. REVENUE BONDS. Sets forth the required provisions
of the bonds the district is authorized to issue.
SECTION 5.02. REFUNDING BONDS. (a) Authorizes the district to
issue refunding bonds to refund outstanding bonds and interest
authorized by this Act.
(b) Sets forth the authorized actions regarding the refunding
bonds.
(c) Provides that the provisions of this Act applicable to
the district's issuances of other bonds, their security, their
approval by the attorney general, and the remedies of the
holders are applicable to refunding bonds.
(d) Sets forth the registration requirements of refunding
bonds.
SECTION 5.03. APPROVAL AND REGISTRATION OF BONDS. Sets forth the
conditions to which the attorney is required to approve the bonds
and contracts. Requires the bonds to be registered by the
comptroller on approval.
SECTION 5.04. BOND ELECTION. Authorizes the district to issue
bonds without an election.
SECTION 5.05. AUTHORIZED INVESTMENTS. Provides that bonds and
refunding bonds of the district are legal, eligible, and authorized
investments for a public fund of the state, including the State
Permanent School Fund, of a state agency.
SECTION 5.06. AD VALOREM TAXATION. Prohibits the district from
levying and collecting ad valorem taxes, unless authorized by the
qualified voters in the district.
ARTICLE 6. DISTRICT BOUNDARIES
SECTION 6.01. DESCRIPTION OF BOUNDARIES. Sets forth the
boundaries of the district.
SECTION 6.02. FINDINGS RELATED TO BOUNDARIES. Sets forth the
findings of the legislature relating to boundaries.
SECTION 6.03. FINDING OF BENEFIT. Provides that all of the land
and other property included within the boundaries of the district
will be benefitted by the works and projects that are to be
accomplished by the district under powers conferred by this Act.
Provides that the district is created to serve a public use and
benefit.
SECTION 6.04. ADDITION OF TERRITORY. (a) Authorizes the district
to annex additional territory in Hays County or Travis County.
(b) Authorizes proceedings for the annexation of territory by
the district to be initiated by a petition signed by owners of
the land proposed to be annexed. Requires the petition to
request that the board hold a public hearing on the matters
set out in the petition.
(c) Requires the board to hear and consider the petition and
to annex the territory if the board determines that the land
should be annexed.
(d) Provides that the consent of a municipality or other
governmental entity or political subdivision of the state is
not required for any annexation of territory by the district.
(e) Sets forth the limit of annexation by the district.
ARTICLE 7. MISCELLANEOUS PROVISIONS
SECTION 7.01. FINDINGS RELATED TO PROCEDURAL REQUIREMENTS. Sets
forth the findings regarding procedural requirements.
SECTION 7.02. EXISTING COUNTIES, RIVER AUTHORITIES, AND
UNDERGROUND CONSERVATION DISTRICTS. Provides that this Act does
not impair, limit, supersede, or alter the powers, rights,
privileges, duties, functions, or jurisdictions of a river
authority in existence on the effective date of this Act the
territory of which comprises at least three counties and includes
all or part of the district, except that such river authority may
not impose or apply any regulatory ordinance, rule, or regulation
within the district without the agreement of the district.
(b) Provides that this Act does not impair, limit, supersede,
or alter the powers, rights, privileges, duties, functions, or
jurisdiction of an underground water conservation district
created under or governed by Chapter 52, Water Code, or a
county in existence on the effective date of this Act the
territory of which includes all or part of the district,
except that such an underground water conservation district or
county may not impose or apply without agreement of the
district any regulatory ordinance, rule or regulation within
the district that is inconsistent with the requirements of
Section 3.01(c) or 3.07 of this Act or has not been adopted
and approved by the board of directors of the underground
water conservation district or commissioners court of the
county, as applicable.
SECTION 7.03. EXISTING SERVICE. Requires a local government to
continue to provide water utility services or solid waste disposal
on January 1, 1995, unless a contract exists that applies to a
local government's provision of water utility services, then the
local government's obligation to provide service is governed by the
contract during the contract's term.
SECTION 7.04. Severability clause.
SECTION 7.05. Emergency clause.
Effective date: upon passage.