SRC-TNM H.B. 2258 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 2258
By: Culberson (Lindsay)
Natural Resources
5-8-97
Engrossed


DIGEST 

Currently, Chapter 53C, Water Code, provides for administrative provisions
for fresh water supply districts.  Special taxing units, such as
improvement districts, can be created that may include portions of
existing freshwater or other types of districts.  H.B. 2258 would require
notice to and approval of the residents of existing freshwater districts
and other types of taxing units before a new tax can be imposed. 

PURPOSE

As proposed, H.B. 2258 sets forth provisions regarding the imposition of
taxes or fees in certain water districts.  

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 53C, Water Code, by adding Section 53.089, as
follows: 

Sec. 53.089. APPROVAL OF CERTAIN ACTIONS. Requires a political subdivision
that seeks to impose a tax or fee on a person living in any part of a
freshwater supply district (district), not later than the 180th day before
the date of imposition of the tax or fee, to inform the board of
supervisors of the district (board), in writing, of the political
subdivision's intention.  Requires the board, on receipt of the notice, to
conduct an election on the issue of whether the tax or fee may be imposed
in the district.  Requires the election to be conducted, in accordance
with Chapter 41, Election Code, not later than the 10th day before the
date of the imposition of the tax or fee.  Requires the ballot proposition
for an election to be printed to permit voting for or against the
imposition of the tax or fee by the political subdivision in the specified
part of the district.  Authorizes all voters in the district to vote on
the proposition.  Provides that if a majority of voters voting at the
election approve the proposition, the tax or fee may be imposed.
Prohibits the political subdivision from imposing that tax or fee and from
proposing to impose that tax or fee in the district until the second
anniversary after the date of the election if a majority of voters voting
at the election disapprove the proposition.  Provides that the provisions
of this section also apply to districts established or operating under
this title. 

SECTION 2. (a) Effective date: September 1, 1997.  Makes application of
this Act prospective. 

(b) Provides that this Act applies only to a new tax or fee imposed by a
political subdivision. Provides that this Act does not apply to the change
in a tax or fee imposed by a political subdivision. 

SECTION 3. Emergency clause.