1-1  By:  Harris, et al. (Senate Sponsor - Brown)          H.B. No. 3179
    1-2        (In the Senate - Received from the House May 4, 1995;
    1-3  May 5, 1995, read first time and referred to Committee on Natural
    1-4  Resources; May 24, 1995, reported favorably by the following vote:
    1-5  Yeas 8, Nays 0; May 24, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to the creation, administration, powers, duties,
    1-9  operation, and financing of the Clear Creek Watershed Regional
   1-10  Flood Control District, granting the power of eminent domain,
   1-11  authorizing the issuance of bonds, providing for the levy,
   1-12  assessment, and collection of ad valorem taxes, and providing for a
   1-13  civil penalty.
   1-14        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-15        SECTION 1.  DEFINITIONS.  In this Act:
   1-16              (1)  "Board" means the board of directors of the
   1-17  district.
   1-18              (2)  "Commission" means the Texas Natural Resource
   1-19  Conservation Commission.
   1-20              (3)  "Commissioners courts" means the commissioners
   1-21  courts of Brazoria, Fort Bend, Galveston, and Harris counties.
   1-22              (4)  "Director" means a member of the board.
   1-23              (5)  "District" means the Clear Creek Watershed
   1-24  Regional Flood Control District.
   1-25              (6)  "Person" has the meaning assigned by Section
   1-26  311.005, Government Code.
   1-27        SECTION 2.  CREATION OF DISTRICT.  The Clear Creek Watershed
   1-28  Regional Flood Control District is created as a conservation and
   1-29  reclamation district under Section 59, Article XVI, Texas
   1-30  Constitution, subject to approval at a confirmation election under
   1-31  Section 5 of this Act.  The district is a governmental agency and
   1-32  body politic and corporate.
   1-33        SECTION 3.  BOUNDARIES OF DISTRICT.  The district is composed
   1-34  of Brazoria County tracts 0601.10, 0601.20, 0602.12, 0602.22, and
   1-35  0602.32; and that part of Brazoria County tract 0602.11 included in
   1-36  block group 1 and blocks 201A, 201B, 202A, 202B, 202C, 206B, 301A,
   1-37  and 301B; and that part of Brazoria County tract 0602.21 included
   1-38  in blocks 101, 102, 103, 104, 105, 106, 107, 108, 109A, 109B, 110,
   1-39  111, 112A, 112B, 113A, 113B, 114, 115, 116, 117, 118, 119, 120,
   1-40  121, 301A, 301B, 302A, 302B, 303B, 304, 305A, 305B, 306A, 306B,
   1-41  307A, 307B, 308, 309, 310A, 310B, and 311; and that part of
   1-42  Brazoria County tract 0603.10 included in blocks 101A, 101B, 102,
   1-43  103, 104, 105, 106, 107, 108, 109, 308A, 308B, 308C, 312, 317,
   1-44  318A, 318B, 319, 320, 321, 322, 326A, and 327; and that part of
   1-45  Fort Bend County tract 0701.15 included in blocks 607A, 607B, 608,
   1-46  609, 610, 611, 612, 613, 614, 615, 616A, and 616B; and that part of
   1-47  Fort Bend County tract 0701.25 included in blocks 101, 102, 103A,
   1-48  103C, 104, 105, 122, 123, 201, 202, 203, 204, and 205; Galveston
   1-49  County tracts 1201.01, 1201.02, 1205, 1206.10, and 1206.20; and
   1-50  that part of Galveston County tract 1202 included in block groups
   1-51  1, 2, 5, and blocks 301, 302, 303, 304, 305, 306, 307, 308, 309,
   1-52  310, 311, 312A, 312B, 313, 314, 315, 316A, 316B, 316C, 317, 319,
   1-53  401, 402, 403, 404, 405, 406, 407, 408, 409, 410, 411, 412, 413,
   1-54  414, and 415; and that part of Galveston County tract 1203 included
   1-55  in block groups 1, 2, 3, 4, 5, and blocks 601, and 602; and that
   1-56  part of Galveston County tract 1204 included in block groups 1 and
   1-57  2 and blocks 304, 305, 306, and 307; and that part of Galveston
   1-58  County tract 1207 included in block groups 1, 3, 4, 5, and blocks
   1-59  201A, 201B, 201E, 202, 203, 204A, 204B, 205, 206, 207, 208, 209,
   1-60  210, and 211; and that part of Galveston County tract 1208 included
   1-61  in block 407A; and that part of Galveston County tract 1209
   1-62  included in blocks 101, 102, 103, 104, 105, 106, 107, 112, 113,
   1-63  114, 115, 116, 117, 118, 123, 124, 125, 126, 130, and 131; Harris
   1-64  County tracts 0337, 0341, 0345.02, 0371.02, 0371.11, 0371.21, 0372,
   1-65  0373.04, 0374, and 0375; and that part of Harris County tract 0336
   1-66  included in blocks 403B, 408, 409, 410, 411, and 412; and that part
   1-67  of Harris County tract 0338 included in blocks 401 and 413; and
   1-68  that part of Harris County tract 0340 included in blocks 604, 605,
    2-1  606, 607, 608, and 609; and that part of Harris County tract 0342
    2-2  included in blocks 113, 126, 128, 129, 130, 131, 132, and 133; and
    2-3  that part of Harris County tract 0344 included in block 426; and
    2-4  that part of Harris County tract 0345.01 included in block groups
    2-5  4, 5, 6, and blocks 303, 304, 305, 306, 307, 308, 309, 310, 311,
    2-6  312, 313, 314, 315, 316, 317, 318, 319, and 320; and that part of
    2-7  Harris County tract 0346 included in blocks 204, 209, 210, 212, and
    2-8  304; and that part of Harris County tract 0347.03 included in block
    2-9  202; and that part of Harris County tract 0367 included in blocks
   2-10  131B, 132, and 133; and that part of Harris County tract 0368.01
   2-11  included in block groups 5, 6, 7, 8, and blocks 402A, 402B, 402C,
   2-12  402D, 402E, 403, 404, 499A, 499B, 499C, 499D, and 499E; and that
   2-13  part of Harris County tract 0368.02 included in blocks 109, 110,
   2-14  111, 112, 113, 115, 202, 203, 204, 205, 206, 207, 208, 209, 210,
   2-15  211, 212, 213, 305, 308, 309, 312, 315, 316, 319, 320, 323, 324,
   2-16  325, 326, 327, 328, 329, 330, 331, 332, 333, 334, 335, 336, 337,
   2-17  338, 339, 340, 341, 342, 343, 344, 345, 346, 347, 348, 349, 350,
   2-18  351, 352, 353, 354, 355, 358, 359, 364, 365, and 399; and that part
   2-19  of Harris County tract 0369 included in blocks 101B, 101C, 101D,
   2-20  101E, 102, 103, 104, 105, 106, 107, 108, 109, 110, 111, 112, 113,
   2-21  199A, 199B, 199C, 201, 202, 203, 204, 205, 206, 207A, 207C, 208,
   2-22  209, 212, 299, 301B, and 301D; and that part of Harris County tract
   2-23  0370.10 included in block groups 1 and 2 and blocks 301A, 301B, and
   2-24  303; and that part of Harris County tract 0373.02 included in block
   2-25  group 6 and blocks 305, 308, 309, 702, 703, 704, and 705; and that
   2-26  part of Harris County tract 0373.03 included in block groups 1, 2,
   2-27  3, and blocks 401A, 401B, 403, 409, 410, 411, 412, 413, 414, 415,
   2-28  416, 417, 418, 419, 420, 421, 422, 423, 505, 506, 507, 508, 509,
   2-29  510, 511, and 512; and that part of Harris County tract 0373.11
   2-30  included in blocks 101A, 101B, 102, 103, 104, 301A, 301B, 302,
   2-31  303A, and 303B; and that part of Harris County tract 0373.21
   2-32  included in block groups 2 and 3 and blocks 111, and 112.
   2-33        SECTION 4.  BOARD OF DIRECTORS.  (a)  The district is
   2-34  governed by a board of five directors appointed as provided by this
   2-35  section.
   2-36        (b)  On or before the 90th day after the effective date of
   2-37  this Act:
   2-38              (1)  the commissioners courts of Brazoria and Harris
   2-39  counties each shall appoint one director to serve a term that
   2-40  expires September 30, 1997; and
   2-41              (2)  the commissioners courts of Fort Bend, Galveston,
   2-42  and Harris counties each shall appoint one director to serve a term
   2-43  that expires September 30, 1999.
   2-44        (c)  On expiration of a director's term, the commissioners
   2-45  court that appointed the director shall appoint a successor to
   2-46  serve a four-year term that expires on September 30 of the fourth
   2-47  year after the expiration of the previous director's term.
   2-48        (d)  On vacancy of a director's office during the director's
   2-49  term, the commissioners court that appointed the director shall
   2-50  appoint a person to serve as director for the remainder of the
   2-51  term.
   2-52        (e)  A commissioners court may not appoint a person as a
   2-53  director unless at the time of appointment the person holds an
   2-54  elective office of a political subdivision in the district other
   2-55  than the office of county commissioner.  A person may be
   2-56  reappointed for multiple terms as a director if the person holds,
   2-57  at the time of each appointment, an elective office as required for
   2-58  initial appointment.
   2-59        (f)  A director must qualify by taking the official oath of
   2-60  office required of state officers.
   2-61        (g)  A director holds office until a successor is appointed
   2-62  and qualifies for office.
   2-63        (h)  A director is not entitled to receive compensation for
   2-64  service on the board, but may be reimbursed for actual travel
   2-65  expenses.
   2-66        (i)  As soon as practicable after appointment, the initial
   2-67  board shall hold a regular meeting and elect officers.
   2-68        (j)  The board shall elect from its members a chair, vice
   2-69  chair, and secretary.  A director elected to a board office serves
   2-70  in that position for one year.  The chair, or if the chair is
    3-1  absent, the vice chair, shall preside over meetings of the board.
    3-2  The chair, vice chair, and secretary shall perform the duties and
    3-3  may exercise the powers specifically given them by this Act or by
    3-4  resolution or order of the board.
    3-5        (k)  Three directors constitute  a quorum for the transaction
    3-6  of district business.  An action of the board is valid only with
    3-7  the affirmative vote of three directors.
    3-8        (l)  The board may adopt bylaws consistent with this Act.
    3-9  The bylaws may be amended as necessary for the management and
   3-10  operation of the district.  The board shall hold regular and
   3-11  special meetings at times and dates determined by the board.  The
   3-12  board shall maintain complete and accurate records of the
   3-13  district's accounts, contracts, plans, notices, receipts, and
   3-14  meetings and other proceedings in a secure manner at the district's
   3-15  principal office.  The records must be open to public inspection at
   3-16  reasonable times.
   3-17        (m)  An advisory committee to the board composed of one
   3-18  representative from each political subdivision within the district
   3-19  shall be established.  Members of the advisory committee shall be
   3-20  appointed by each political subdivision from elected members of the
   3-21  subdivision's governing body.
   3-22        SECTION 5.  CONFIRMATION ELECTION.  (a)  The district may not
   3-23  exercise a power granted by this Act other than a power granted by
   3-24  this section until the creation of the district is confirmed by a
   3-25  majority of the resident electors of the district voting at a
   3-26  confirmation election called under this section.  The initial board
   3-27  shall call a confirmation election to be held not later than two
   3-28  years after the effective date of this Act within the boundaries of
   3-29  the proposed district.  The board may call subsequent confirmation
   3-30  elections if the district is not confirmed at the first election.
   3-31  Expenses of a confirmation election shall be paid in equal shares
   3-32  by each of the commissioners courts and shall be repaid by the
   3-33  district if creation of the district is confirmed.  Section
   3-34  41.001(a), Election Code, does not apply to a confirmation
   3-35  election.
   3-36        (b)  The board must give notice of a confirmation election.
   3-37  The notice must state the date and polling places for the election
   3-38  and the proposition to be voted on.  The board must publish the
   3-39  notice once in a newspaper or newspapers of general circulation in
   3-40  the proposed district.  The notice must be published at least 35
   3-41  days before the date set for the election.
   3-42        (c)  The ballot for a confirmation election must be printed
   3-43  to provide for voting for or against the proposition:  "The
   3-44  creation of the Clear Creek Watershed Regional Flood Control
   3-45  District."
   3-46        (d)  Immediately after a confirmation election, the presiding
   3-47  judge of each polling place shall return the results of the
   3-48  election to the board.  The board shall canvass the returns.
   3-49        (e)  If a majority of the votes cast at a confirmation
   3-50  election favor the creation of the district, the board shall
   3-51  declare the district confirmed and enter the results in its
   3-52  minutes.  If a majority of the votes cast at a confirmation
   3-53  election are against the creation of the district, the board shall
   3-54  declare that the district was defeated and shall enter the results
   3-55  in its minutes.  The board shall also file a copy of the election
   3-56  results with the commission.
   3-57        (f)  If a majority of the voters at a confirmation election
   3-58  vote against the creation of the district, another election to
   3-59  confirm creation of the district may not be called and held for at
   3-60  least 12 months following the most recent confirmation election.
   3-61  If the district is not confirmed before the fifth anniversary of
   3-62  the effective date of this Act, this Act expires.
   3-63        SECTION 6.  PERSONNEL.  (a)  The board may employ a general
   3-64  manager as the chief administrative officer of the district.  The
   3-65  board may delegate to the general manager full authority to manage
   3-66  and operate the affairs of the district, subject only to orders of
   3-67  the board.  The general manager shall execute a bond in an amount
   3-68  determined by the board, payable to the district, conditioned on
   3-69  the faithful performance of the general manager's duties.  The
   3-70  district shall pay for the bond.
    4-1        (b)  The board shall appoint a professional civil engineer
    4-2  for the district, who shall be entitled to the compensation
    4-3  provided in the district's budget.  The district engineer shall
    4-4  execute a bond in an amount determined by the board, payable to the
    4-5  district, conditioned on the faithful performance of the district
    4-6  engineer's duties.  The district shall pay for the bond.
    4-7        (c)  The board may authorize the employment of other persons
    4-8  necessary for the proper management of the business and operation
    4-9  of the district, and may employ or contract with expert and
   4-10  specialized personnel necessary to implement this Act.  The board
   4-11  shall determine the terms of employment or contracts and the
   4-12  compensation to be paid to employees or persons under contract
   4-13  under this section.  The board shall require each employee or
   4-14  person under contract who collects, pays, or handles district money
   4-15  to furnish a bond, payable to the district, in an amount sufficient
   4-16  to protect the district from financial loss resulting from actions
   4-17  of the employee or person under contract.  Each bond shall be
   4-18  conditioned on the faithful performance of the duties of the
   4-19  employee or person under contract and on accounting for all money
   4-20  and property of the district that the employee or person under
   4-21  contract handles.  The district shall pay for each bond.
   4-22        SECTION 7.  DISTRICT OFFICE.  The board shall designate the
   4-23  location of the principal office of the district at any place in
   4-24  the district.
   4-25        SECTION 8.  GENERAL POWERS AND DUTIES.  (a)  The district
   4-26  shall develop a flood control and drainage plan under the
   4-27  provisions of this Act for all land in the district, including the
   4-28  main channel and all tributaries of Clear Creek.
   4-29        (b)  In accordance with the flood control and drainage plan,
   4-30  the district shall:
   4-31              (1)  construct improvements on the main channel of
   4-32  Clear Creek that will lessen and control flooding;
   4-33              (2)  prevent or remove deposits of silt and remove
   4-34  natural or artificial obstructions from the main channel of Clear
   4-35  Creek;
   4-36              (3)  conduct flood-control-related maintenance on the
   4-37  main channel of Clear Creek; and
   4-38              (4)  approve and coordinate all flood control
   4-39  improvements and infrastructure alterations within the boundaries
   4-40  of the district.
   4-41        (c)  Under a written agreement with a political subdivision
   4-42  and in accordance with the flood control and drainage plan, the
   4-43  district may construct in whole or in part improvements on any
   4-44  watercourse or land in the district to:
   4-45              (1)  lessen and control flooding;
   4-46              (2)  prevent or remove deposits of silt and remove
   4-47  natural or artificial obstructions from any watercourse; or
   4-48              (3)  conduct flood-control-related maintenance on any
   4-49  watercourse.
   4-50        (d)  The district may issue bonds under this Act supported by
   4-51  ad valorem taxes on property in the district to finance up to
   4-52  one-half the cost of construction under Subsection (c) if the
   4-53  district finds that the project will not be constructed without the
   4-54  use of the ad valorem taxes.
   4-55        (e)  The district may issue bonds supported by revenues from
   4-56  contracts with political subdivisions under Section 39 to finance
   4-57  all or part of the cost of construction under this section.
   4-58        (f)  The district may:
   4-59              (1)  apply for, accept, receive, and administer gifts,
   4-60  grants, and other funds available from any source;
   4-61              (2)  advise, consult, and cooperate with the federal
   4-62  government and its agencies, the state and its agencies, and
   4-63  private entities;
   4-64              (3)  acquire land, rights and interests in land, and
   4-65  any other property needed to carry on the work of flood control by
   4-66  gift, devise, purchase, or condemnation;
   4-67              (4)  sell, trade, or otherwise dispose of land,
   4-68  property, or rights in land or property when no longer needed for
   4-69  flood control purposes;
   4-70              (5)  authorize its officers, employees, or agents to go
    5-1  on any land in the district for the purpose of surveying and
    5-2  examining the land for flood control plans and projects, and for
    5-3  any other purpose within the scope of the district's authority;
    5-4              (6)  enter into a contract executed in the name of the
    5-5  district with anyone as provided by this Act;
    5-6              (7)  after providing notice and hearing in accordance
    5-7  with procedures adopted by the board, adopt rules to implement this
    5-8  Act;
    5-9              (8)  sue and be sued in any court of this state in the
   5-10  name of the district, with service of process had by serving the
   5-11  chair of the board;
   5-12              (9)  adopt a seal for the district;
   5-13              (10)  levy and collect impact fees under Section
   5-14  395.080(b), Local Government Code; and
   5-15              (11)  do all other acts necessary to implement this
   5-16  Act.
   5-17        (g)  The district shall advise, consult, and cooperate with
   5-18  local governments on matters regarding the watershed.
   5-19        SECTION 9.  FLOOD CONTROL AND DRAINAGE PLAN.  (a)  The board
   5-20  shall direct the district engineer to prepare a flood control and
   5-21  drainage plan that provides for:
   5-22              (1)  control and abatement of flood water and other
   5-23  excess water; and
   5-24              (2)  reclamation and proper drainage of land in the
   5-25  district.
   5-26        (b)  The district engineer shall file the completed plan with
   5-27  the board and the commissioners courts.
   5-28        (c)  In preparing the plan, the district engineer may
   5-29  exercise the powers and shall exercise the duties provided by
   5-30  Sections 56.022 and 56.023, Water Code.
   5-31        (d)  In preparing the plan, the district engineer may
   5-32  consider and use all or part of any previously prepared flood
   5-33  control and drainage plan that covers any area in the district,
   5-34  including the Clear Creek Regional Watershed Plan as adopted by the
   5-35  Clear Creek Watershed Steering Committee.
   5-36        SECTION 10.  NOTICE AND HEARING ON FLOOD CONTROL AND DRAINAGE
   5-37  PLAN.  (a)  On receipt of the completed flood control and drainage
   5-38  plan, the board shall schedule a public hearing to consider
   5-39  adoption of the plan.  The board must publish notice of the hearing
   5-40  at least once in a newspaper with general circulation in the
   5-41  district not less than 30 days before the date set for the hearing.
   5-42        (b)  At the hearing, any person who resides or owns property
   5-43  in the district or a political subdivision located in whole or in
   5-44  part in the district may appear before the board and present
   5-45  evidence or testify for or against all or part of the plan.
   5-46        SECTION 11.  ADOPTION OF FLOOD CONTROL AND DRAINAGE PLAN.
   5-47  (a)  After holding the public hearing required by Section 10, the
   5-48  board shall issue its findings and decision.
   5-49        (b)  If the board finds that the flood control and drainage
   5-50  plan requires changes before it can be adopted, the board shall
   5-51  direct the district engineer to make the necessary changes.  The
   5-52  district engineer shall make the changes and resubmit the plan to
   5-53  the board.
   5-54        (c)  Without further public hearing, the board may continue
   5-55  to direct the district engineer to make changes to the plan until
   5-56  the board finds the plan acceptable for adoption.
   5-57        (d)  If the board finds that no changes are required in the
   5-58  plan, or if the district engineer has made all necessary changes to
   5-59  the plan under Subsections (b) and (c), the board shall submit the
   5-60  plan to the commissioners courts.  The commissioners courts may
   5-61  consider the plan and recommend changes to the plan.  If the board
   5-62  and commissioners courts cannot agree on changes to the plan, the
   5-63  board shall submit the provisions in the plan that are in dispute
   5-64  to the district engineer for resolution of the dispute.  The
   5-65  decision of the district engineer is final.  Not earlier than the
   5-66  30th day after the plan is submitted to the commissioners courts,
   5-67  the board shall adopt the plan as revised to reflect all necessary
   5-68  changes.
   5-69        SECTION 12.  AMENDMENT OF FLOOD CONTROL AND DRAINAGE PLAN.
   5-70  After complying with the provisions of Sections 10 and 11, the
    6-1  board may amend the flood control and drainage plan as necessary to
    6-2  accomplish the purpose stated in Section 9.
    6-3        SECTION 13.  IMPROVEMENTS TO BE CONSTRUCTED.  (a)  Only
    6-4  improvements compatible with the flood control and drainage plan
    6-5  and adopted by the board may be constructed.
    6-6        (b)  Improvements and maintenance on the main channel of
    6-7  Clear Creek shall be constructed and performed only by the
    6-8  district.  The district may cause improvements and maintenance to
    6-9  the main channel of Clear Creek to be constructed and performed
   6-10  through contracts with other persons and political subdivisions,
   6-11  but the district retains responsibility for assuring that all
   6-12  construction and maintenance is done in conformance with the plan.
   6-13        (c)  All improvements and maintenance on lands draining into
   6-14  Clear Creek or its tributaries, including detention structures, and
   6-15  improvements and maintenance to channels other than the main
   6-16  channel of Clear Creek may be constructed or performed by other
   6-17  political subdivisions or persons in conformance with the plan.
   6-18  The district may construct, in whole or part, improvements and
   6-19  perform maintenance under this subsection only under agreements
   6-20  with other political subdivisions.
   6-21        SECTION 14.  LOCAL COOPERATION.  The district shall cooperate
   6-22  with other political subdivisions as much as possible to provide
   6-23  uniform programs and coordinated planning.
   6-24        SECTION 15.  DISTRICT SUPERIOR IN FLOOD CONTROL AND DRAINAGE
   6-25  MATTERS.  The district has primary jurisdiction within its
   6-26  boundaries over all matters affecting flood control and drainage of
   6-27  land and may take any action necessary to assure compliance with
   6-28  the flood control and drainage plan.
   6-29        SECTION 16.  CERTIFICATE REQUIRED FOR ACTIVITY AFFECTING
   6-30  FLOOD CONTROL OR DRAINAGE.  Except as provided by Section 17, a
   6-31  person or political subdivision may not engage in an activity that
   6-32  will affect flood control or drainage in the district without
   6-33  obtaining a certificate from the board.
   6-34        SECTION 17.  EXEMPTIONS.  After notice and hearing, the board
   6-35  may adopt a rule or issue an order that exempts a specified
   6-36  activity from Section 16.  If a political subdivision has its plan
   6-37  approved by the board, any improvements within the subdivision
   6-38  which are consistent with the approved plan are exempt from
   6-39  certification by the board.  The board may exempt an activity only
   6-40  if the board, after consultation with the district engineer, finds
   6-41  that the activity will have at most a minimal impact on flood
   6-42  control and drainage.
   6-43        SECTION 18.  NOTICE OF ACTIVITIES AFFECTING FLOOD CONTROL OR
   6-44  DRAINAGE.  (a)  A person or political subdivision that plans to
   6-45  engage in an activity that will affect flood control or drainage in
   6-46  the district shall submit written notice to the board of the intent
   6-47  to engage in the activity, accompanied by plans, specifications,
   6-48  and other information relating to the activity.
   6-49        (b)  A person or political subdivision shall submit the
   6-50  notice and other information required by Subsection (a) in the form
   6-51  and manner and within the time provided by board rules.
   6-52        SECTION 19.  CONSIDERATION OF ACTIVITY BY ENGINEER.  (a)  On
   6-53  receiving notice of a proposed activity under Section 18, the board
   6-54  shall submit the notice and other information to the district
   6-55  engineer for consideration.
   6-56        (b)  The district engineer shall examine the notice and other
   6-57  information to determine:
   6-58              (1)  the effect of the proposed activity on flood
   6-59  control and drainage in the district; and
   6-60              (2)  whether the proposed activity is compatible with
   6-61  the flood control and drainage plan.
   6-62        (c)  The district engineer shall consult with the person or
   6-63  political subdivision submitting the notice and information and
   6-64  suggest changes in the proposed plans and specifications for the
   6-65  activity necessary to make the activity compatible with the flood
   6-66  control and drainage plan.
   6-67        (d)  If the district engineer and the person or political
   6-68  subdivision proposing an activity agree to plans and specifications
   6-69  for the activity that are compatible with the flood control and
   6-70  drainage plan as determined by the district engineer, the district
    7-1  engineer shall recommend that the board issue a certificate
    7-2  authorizing the activity.  If the district engineer and the person
    7-3  or political subdivision proposing an activity cannot agree, the
    7-4  district engineer shall recommend that the board decline to issue a
    7-5  certificate authorizing the activity.  The district engineer's
    7-6  recommendation shall be included in a brief written report to the
    7-7  board stating the district engineer's reasons for the
    7-8  recommendation.
    7-9        SECTION 20.  BOARD CONSIDERATION AND ACTION.  (a)  On
   7-10  receiving the district engineer's report, the board may issue a
   7-11  certificate without giving notice or holding a public hearing to
   7-12  consider the issuance.
   7-13        (b)  On consideration of the district engineer's report, if
   7-14  the board intends to deny issuance of a certificate, the board
   7-15  shall first give notice and hold a public hearing in accordance
   7-16  with the district's rules to consider the issuance of the
   7-17  certificate.  After conducting the hearing, the board shall issue a
   7-18  written decision granting or denying the certificate or granting
   7-19  the certificate subject to specific requirements.  The decision
   7-20  shall state the findings of the board in making the decision.
   7-21        SECTION 21.  OBSTRUCTIONS AND STRUCTURES.  (a)  A person or
   7-22  political subdivision may not place an obstruction or construct or
   7-23  alter a structure on land in the district if the obstruction or
   7-24  structure is not compatible with the flood control and drainage
   7-25  plan and the district has not issued a certificate for the
   7-26  activity.
   7-27        (b)  After notice and hearing, the board may issue an order
   7-28  directing a person or political subdivision to remove or make
   7-29  changes to an obstruction or structure constructed after adoption
   7-30  of the flood control and drainage plan as necessary to comply with
   7-31  the plan.
   7-32        SECTION 22.  INJUNCTIVE RELIEF.  If a person or political
   7-33  subdivision engages in an activity that will affect flood control
   7-34  or drainage in the district without a certificate or places an
   7-35  obstruction or constructs or alters a structure in violation of an
   7-36  order issued by the board under Section 21, the board may sue in a
   7-37  district court in any county in which the activity is occurring or
   7-38  obstruction is built for injunctive relief to restrain the person
   7-39  or political subdivision from continuing or threatening to continue
   7-40  the violation or to require the person or political subdivision to
   7-41  remove an obstruction or structure.
   7-42        SECTION 23.  CIVIL PENALTY.  (a)  A person or political
   7-43  subdivision that violates Section 16 or 21 or any order issued by
   7-44  the board under Section 16 or 21 is subject to a civil penalty of
   7-45  not less than $100 nor more than $1,000 for each violation or each
   7-46  day of a continuing violation.
   7-47        (b)  If a suit is filed under this section to recover a civil
   7-48  penalty, the court may include in any final judgment in favor of
   7-49  the district an award to cover court costs and reasonable
   7-50  attorney's fees.
   7-51        SECTION 24.  EMINENT DOMAIN.  (a)  The district may acquire
   7-52  land for district improvements by condemnation when the board
   7-53  determines, after notice and hearing, that condemnation is
   7-54  necessary.
   7-55        (b)  The district shall exercise the power of eminent domain
   7-56  as provided by Chapter 21, Property Code, but the district is not
   7-57  required in an appeal to post a bond or make a deposit.
   7-58        (c)  If the district, in the exercise of the power of eminent
   7-59  domain, makes necessary the relocation, raising, lowering,
   7-60  rerouting, or changing in grade, or alteration of the construction
   7-61  of any highway, railroad, electric transmission line, telephone or
   7-62  telegraph property or facility, or pipeline, the district shall pay
   7-63  the cost of the necessary action so as to provide comparable
   7-64  replacement of any replaced facility, less the replaced facility's
   7-65  net salvage value.
   7-66        SECTION 25.  CONSTRUCTION CONTRACTS.  (a)  Construction
   7-67  contracts of the district shall be competitively bid in accordance
   7-68  with Subchapter B, Chapter 271, Local Government Code.
   7-69        (b)  The district shall comply with Sections 66.208-66.213,
   7-70  Water Code.
    8-1        SECTION 26.  USE OF DISTRICT MONEY.  (a)  The board may use
    8-2  district money for construction costs, acquisition of property,
    8-3  maintenance of and improvements to flood control and drainage
    8-4  systems of the district, payment of debt service requirements, and
    8-5  establishment of appropriate reserves.
    8-6        (b)  The district's money may be disbursed only by check,
    8-7  draft, order, or other written instrument that is signed by a
    8-8  person or persons authorized by the board.
    8-9        SECTION 27.  INVESTMENTS.  The board shall invest district
   8-10  money in accordance with the Public Funds Investment Act (Section
   8-11  2256.001 et seq., Government Code).  The board may allow an
   8-12  authorized district representative to invest and reinvest the
   8-13  district's money and withdraw money from appropriate district
   8-14  accounts for investments on terms the board considers advisable.
   8-15        SECTION 28.  BUDGET.  (a)  The board annually shall prepare a
   8-16  budget covering all proposed expenditures for the succeeding year.
   8-17  The budget must contain a complete financial statement of the
   8-18  district.
   8-19        (b)  The board shall conduct a public hearing on the proposed
   8-20  budget on a date set by the board after August 15 and before the
   8-21  levy of district taxes.  The board shall give public notice of the
   8-22  hearing by publication in a newspaper of general circulation in the
   8-23  district at least 15 days before the hearing.
   8-24        SECTION 29.  ISSUANCE OF BONDS.  (a)  The district may:
   8-25              (1)  issue bonds secured by district revenues or ad
   8-26  valorem taxes to accomplish the purposes of this Act;
   8-27              (2)  provide for the payment of interest on district
   8-28  bonds as it accrues; and
   8-29              (3)  provide for a sinking fund for the payment of the
   8-30  principal of district bonds.
   8-31        (b)  The district may issue bonds in various series or
   8-32  issues.  The bonds may mature serially or otherwise but may not
   8-33  mature more than 40 years from their date or dates of issuance.
   8-34        (c)  The district's bonds and interest coupons, if any, are
   8-35  investment securities under the terms of Chapter 8, Business &
   8-36  Commerce Code, and may be registered as to principal or principal
   8-37  and interest or may be issued in book entry form.  The district's
   8-38  bonds may be made redeemable before maturity at the option of the
   8-39  district or may contain a mandatory redemption provision.  The
   8-40  district's bonds may be issued in the form, denomination, and
   8-41  manner provided by the board in the resolution or order authorizing
   8-42  issuance of the bonds.  The district may provide for the flow of
   8-43  funds, the establishment and maintenance of an interest, sinking,
   8-44  reserve, or other fund, and may make covenants with respect to the
   8-45  bonds and the ad valorem taxes or revenues pledged to secure the
   8-46  bonds.
   8-47        (d)  The district may prohibit the further issuance of bonds
   8-48  or other obligations payable from any pledged ad valorem taxes or
   8-49  revenues or may reserve the right to issue additional bonds secured
   8-50  by a pledge of ad valorem taxes or revenues on a parity with or
   8-51  subordinate to the pledge securing bonds issued earlier.
   8-52        (e)  The orders or resolutions of the board issuing bonds may
   8-53  contain other provisions and covenants as the board may determine.
   8-54  The board may adopt and have executed any other proceedings or
   8-55  instruments necessary in connection with the issuance of bonds.
   8-56        (f)  The district's bonds are subject to Article 717k-6,
   8-57  Revised Statutes, except as provided by this Act.
   8-58        SECTION 30.  BOND ELECTION.  (a)  The district may not issue
   8-59  bonds secured by ad valorem  taxes, other than refunding bonds,
   8-60  until the bonds have been authorized by a majority vote of the
   8-61  voters qualified to vote and actually voting in the district at an
   8-62  election called and held for that purpose.
   8-63        (b)  The board order calling a bond election under this
   8-64  section must state the nature and date of the election, the hours
   8-65  during which the polls will be open, the location of the polling
   8-66  places, the amount of bonds to be authorized, and the maximum
   8-67  maturity of the bonds.  Notice of a bond election must be given as
   8-68  provided by Section 5.  The election shall be held in accordance
   8-69  with the Election Code, except as provided by this Act.  A bond
   8-70  election may be called in conjunction with a confirmation election
    9-1  under Section 5.  At a bond election, the ballots must provide for
    9-2  voting for or against the issuance of bonds and the levy of ad
    9-3  valorem taxes to secure payment of the bonds.  The board shall
    9-4  canvass the returns and declare the results of the election.  If a
    9-5  majority of the qualified voters voting at the election vote in
    9-6  favor of the issuance of bonds and the levy of taxes, the board may
    9-7  issue, sell, and deliver the authorized bonds, receive and use the
    9-8  bond proceeds for their intended purposes, and levy, assess, and
    9-9  collect ad valorem taxes on all taxable property in the district in
   9-10  an amount sufficient to pay interest on and principal of the bonds.
   9-11        SECTION 31.  REFUNDING BONDS.  The district may issue
   9-12  refunding bonds for the purpose and in the manner provided by
   9-13  general law, including Articles 717k and 717k-3, Revised Statutes,
   9-14  as those laws may be amended from time to time.
   9-15        SECTION 32.  APPROVAL AND REGISTRATION OF BONDS.  The board
   9-16  shall submit all bonds issued by the district to the attorney
   9-17  general for examination.  If the attorney general finds that the
   9-18  bonds have been authorized in accordance with law, the attorney
   9-19  general shall approve the bonds, and the comptroller of public
   9-20  accounts shall register the bonds.  After approval and registration
   9-21  the bonds are incontestable in any court or other forum for any
   9-22  reason and are valid and binding obligations in accordance with
   9-23  their terms for all purposes.
   9-24        SECTION 33.  USE OF BOND PROCEEDS.  From the proceeds of the
   9-25  sale of bonds, the board may set aside an amount for the payment of
   9-26  interest expected to accrue during a period of construction of
   9-27  improvements or facilities not to exceed three years, and an amount
   9-28  necessary to pay all expenses incurred and to be incurred in the
   9-29  issuance, sale, and delivery of the bonds.  Proceeds from the
   9-30  initial sale of the district's bonds may be used to pay expenses
   9-31  related to the district's confirmation.
   9-32        SECTION 34.  BONDS AUTHORIZED INVESTMENTS.  (a)  Bonds issued
   9-33  by the district are legal and authorized investments for all banks,
   9-34  savings banks, trust companies, building and loan associations,
   9-35  savings and loan associations, insurance companies, fiduciaries,
   9-36  trustees, guardians, interest and sinking funds and other public
   9-37  funds of the state, agencies, subdivisions, and instrumentalities
   9-38  of the state, including counties, municipalities, villages, school
   9-39  districts, and all other kinds and types of districts, public
   9-40  agencies and bodies politic including the state permanent school
   9-41  fund.
   9-42        (b)  District bonds are eligible and lawful security for all
   9-43  deposits of public funds of the state, and all agencies,
   9-44  subdivisions, and instrumentalities of the state, including
   9-45  counties, municipalities, villages, school districts, and all other
   9-46  kinds and types of districts, public agencies, and bodies politic
   9-47  to the extent of the market value of the bonds, when accompanied by
   9-48  any unmatured interest coupons appurtenant to the bonds.
   9-49        SECTION 35.  REMEDIES.  The owner of a bond issued by the
   9-50  district may, in addition to any other remedy provided by law,
   9-51  obtain a writ of mandamus requiring the district to perform its
   9-52  obligations under the bond if the district:
   9-53              (1)  defaults in the payment of principal, interest, or
   9-54  redemption price when due;
   9-55              (2)  fails to make required payments into a fund
   9-56  related to the bond; or
   9-57              (3)  fails to perform any other obligation under the
   9-58  bond.
   9-59        SECTION 36.  TAX-FREE STATUS.  Bonds issued by the district,
   9-60  any transaction relating to the district's bonds, and profits made
   9-61  in the sale of district bonds are free from taxation by the state
   9-62  or a political subdivision of the state.
   9-63        SECTION 37.  MAINTENANCE TAX.  (a)  The district may levy,
   9-64  assess, and collect an annual ad valorem tax on all taxable
   9-65  property in the district for the maintenance, operation, upkeep,
   9-66  and improvement of the district and its facilities, properties, and
   9-67  improvements.
   9-68        (b)  An ad valorem maintenance tax under Subsection (a) must
   9-69  be authorized by a majority vote of the voters qualified to vote
   9-70  and voting in the district at an election called and held for that
   10-1  purpose.
   10-2        (c)  In addition to the requirements of the Election Code,
   10-3  the ballot for the election must provide for voting "For the
   10-4  maintenance tax" or "Against the maintenance tax".
   10-5        (d)  Subsequent elections may be called to increase, reduce,
   10-6  or abate a maintenance tax.
   10-7        (e)  Notice of the election and the manner of holding the
   10-8  election shall be as provided in Section 5.
   10-9        (f)  Maintenance taxes and bonds may be authorized at the
  10-10  same election, including an election held in conjunction with a
  10-11  district confirmation election under Section 5.
  10-12        (g)  An election authorizing a maintenance tax shall be held
  10-13  in accordance with the Election Code, except as provided in this
  10-14  Act.
  10-15        SECTION 38.  IMPOSITION OF TAXES.  (a)  The district may
  10-16  annually levy ad valorem taxes approved in elections under Sections
  10-17  30 and 37 to pay the principal of and interest on district bonds,
  10-18  the expense of assessing and collecting taxes, and the expense of
  10-19  operating and maintaining the district and its facilities.  The
  10-20  board may levy taxes for the entire year in the year in which the
  10-21  district is confirmed.
  10-22        (b)  The district shall levy taxes on all property in the
  10-23  district subject to taxation.  In setting the tax rate, the board
  10-24  shall take into consideration the income of the district from
  10-25  sources other than taxation.  On determination of the amount of tax
  10-26  required to be levied, the board shall make the levy and certify it
  10-27  to the tax assessor-collector.
  10-28        (c)  The Tax Code governs the appraisal, assessment, and
  10-29  collection of district taxes.  The board may provide for the
  10-30  appointment of a tax assessor-collector for the district or may
  10-31  contract for the assessment and collection of taxes as provided by
  10-32  the Tax Code.
  10-33        SECTION 39.  JOINT PROJECTS.  (a)  The district may issue
  10-34  bonds secured by revenues arising from a contract with a political
  10-35  subdivision located wholly or partially in the district for the
  10-36  construction of an improvement identified in the flood control and
  10-37  drainage plan.  The district shall provide the proceeds from the
  10-38  bonds to the local political subdivision for the construction of
  10-39  the improvement, or, if the contract with the political subdivision
  10-40  requires the district to construct said improvements, the district
  10-41  shall use the proceeds for the required construction.  Bonds issued
  10-42  under this section are subject to Sections 29, 31, 32, and 33,
  10-43  except that any provision associated with the authorization, levy,
  10-44  or collection of an ad valorem tax does not apply.
  10-45        (b)  A political subdivision located wholly or partially in
  10-46  the district may enter into any contract with the district that is
  10-47  considered appropriate by its governing body.  The political
  10-48  subdivision may pledge to the payment of the contract any source of
  10-49  revenue available to the political subdivision, including the levy
  10-50  and collection of ad valorem taxes, if the political subdivision
  10-51  has the authority to levy and collect those taxes.  To the extent a
  10-52  political subdivision pledges money to be derived from any of its
  10-53  own systems, the payments constitute an operating expense of that
  10-54  system.
  10-55        SECTION 40.  CONSTRUCTION.  This Act shall be liberally
  10-56  construed to accomplish the Act's purposes.
  10-57        SECTION 41.  FINDING OF BENEFIT.  All property, both real and
  10-58  personal, in the district will be benefited by the district and by
  10-59  the district's improvements and facilities acquired or constructed
  10-60  under this Act.
  10-61        SECTION 42.  LEGISLATIVE FINDING.  The requirements of
  10-62  Section 59, Article XVI, Texas Constitution, have been met and
  10-63  accomplished in due course and time.
  10-64        SECTION 43.  EMERGENCY.  The importance of this legislation
  10-65  and the crowded condition of the calendars in both houses create an
  10-66  emergency and an imperative public necessity that the
  10-67  constitutional rule requiring bills to be read on three several
  10-68  days in each house be suspended, and this rule is hereby suspended,
  10-69  and that this Act take effect and be in force from and after its
  10-70  passage, and it is so enacted.
   11-1                               * * * * *