JBM C.S.S.B. 1175 75(R)BILL ANALYSIS NATURAL RESOURCES C.S.S.B. 1175 By: Whitmire (Bosse) 4-30-97 Committee Report (Substituted) BACKGROUND Currently, municipality utility districts (MUDs) created under Chapter 54, Water Code, are represented by elected boards of directors. One issue raised by qualified voters within MUDs is dissatisfaction with the performance of the MUD board of directors. Because voters do not supervise their MUD's daily operations, there is little chance for voters to persuade MUD board directors to improve the efficiency of their management of the MUD, with the exception of voting in the next regularly scheduled MUD board election. Some MUD residents and businesses have stated that by having the option of a recall election available, they would have an opportunity to vote to remove and replace a director before the next regular election. This legislation outlines provisions regarding recall elections to remove a member of the board of directors of a municipal utility district. PURPOSE To outline provisions regarding recall elections to remove a member of the board of directors of a municipal utility district. 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 Subchapter C, Chapter 54, Water Code, by adding Section 54.103, as follows: Sec. 54.103. (a) Authorizes the qualified voters of a municipal utility district (MUD), in an election held for the purpose, to recall a board member as provided by this section. (b) Provides that a recall election is initiated by filing a recall petition with the general manager of the MUD or an attorney for the MUD. (c) States that the petition must be signed and verified by a least 10 percent of the qualified voters of the MUD, include a statement demanding the removal of a director, and contain a general statement of the grounds for which the removal is sought. (d) Specifies that each part of a petition under this section must include an affidavit of the person who circulated it stating that the person: (1) pointed out and read to each signer, before the petition was signed, each statement pertaining to the signer that appears on the petition; (2) witnessed each signature; (3) verified each signer's registration status; and (4) believes each signature to be genuine and the corresponding information to be correct. (e) States that if a petition under this section contains an affidavit that complies with Subsection (d), the authority with whom the petition is filed may treat as valid each signature to which the affidavit applies without further verification unless proven otherwise. (f) Specifies procedures for determining if the petition is in compliance with subsections (c), (d), and (e). (g) Provides time lines for holding a recall election if the director whose removal is sought does not resign within five days after presentation to the board of a certified petition. (h) Provides instructions for the ballots to be used in the election. (i) Provides for procedures for handling the results of the recall election. (j) States that a recall petition may not be filed against a director within six months after the director takes office. Also, a director may not be subject to more than one recall election during one term of office. SECTION 2. Emergency clause. Effective date: upon passage. COMPARISON OF ORIGINAL TO SUBSTITUTE SECTION 1. In Section 1 of the original that amends Subchapter C, Chapter 54, by adding Section 54.103, Subsection (c) states that one of the signers of each page of the petition must make an affidavit that the statements made in the petition are true. In the substitute, this provision is moved to a new Section 54.103(d) and expanded. SECTION 1 of the substitute. Section 54.103(d) and (e) are added in the substitute, and conforming changes are made in Sections 54.103(f) and (g). Also, in Section 54.103(i) of the substitute, a provision is added that states that an election held under this section is not subject to Section 41.001(a), Election Code.