1-1 By: Armbrister S.B. No. 1462
1-2 (In the Senate - Filed March 13, 1995; March 21, 1995, read
1-3 first time and referred to Committee on Intergovernmental
1-4 Relations; May 3, 1995, reported adversely, with favorable
1-5 Committee Substitute by the following vote: Yeas 8, Nays 0;
1-6 May 3, 1995, sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1462 By: Wentworth
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the authority of a county to operate a water or sewer
1-11 utility in unincorporated areas of a county, including the
1-12 authority to acquire property through eminent domain.
1-13 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-14 SECTION 1. Subchapter B, Chapter 412, Local Government Code,
1-15 is amended by adding Section 412.015 to read as follows:
1-16 Sec. 412.015. COUNTY WATER AND SEWER SYSTEM. (a) Except as
1-17 provided by this section, a county may acquire, own, or operate a
1-18 water or sewer utility system to serve an unincorporated area of
1-19 the county in the same manner, and under the same regulations, as a
1-20 municipality under Chapter 402.
1-21 (b) A county may issue bonds payable solely from the revenue
1-22 generated by the water or sewer utility system and such revenue
1-23 bonds and notes of the county shall not be deemed an indebtedness,
1-24 a liability, a general, special, or moral obligation, or a pledge
1-25 or loan of the faith or credit or taxing power of the state, the
1-26 county, or any other political subdivision or governmental unit,
1-27 nor shall such revenue bonds and notes constitute an indebtedness
1-28 within the meaning of any constitutional or statutory debt
1-29 limitation or restriction or an agreement, obligation, or
1-30 indebtedness of the county or the state within the meaning of any
1-31 constitutional or statutory provision. Nothing in this subsection
1-32 shall be construed to mean that a county is authorized to issue
1-33 general obligation bonds payable from ad valorem taxes for the
1-34 purpose of acquiring, owning, or operating a water or sewer utility
1-35 system to serve an unincorporated area of the county, a county
1-36 being specifically prohibited from issuing general obligation bonds
1-37 payable from ad valorem taxes for such purposes.
1-38 (c) A county may acquire any interest in property necessary
1-39 to operate a system authorized by this section through any means,
1-40 including eminent domain.
1-41 (d) A county may not provide water or sewer service to an
1-42 area in the extraterritorial jurisdiction of a municipality or an
1-43 area to which a holder of a certificate of public convenience and
1-44 necessity must provide service under Section 13.250, Water Code,
1-45 without the consent of the municipality or the holder of the
1-46 certificate.
1-47 SECTION 2. This Act takes effect September 1, 1995.
1-48 SECTION 3. The importance of this legislation and the
1-49 crowded condition of the calendars in both houses create an
1-50 emergency and an imperative public necessity that the
1-51 constitutional rule requiring bills to be read on three several
1-52 days in each house be suspended, and this rule is hereby suspended.
1-53 * * * * *