1-1 By: Krusee (Senate Sponsor - Ogden) H.B. No. 320 1-2 (In the Senate - Received from the House April 14, 1997; 1-3 April 16, 1997, read first time and referred to Committee on 1-4 Natural Resources; April 28, 1997, reported favorably by the 1-5 following vote: Yeas 9, Nays 0; April 28, 1997, sent to printer.) 1-6 A BILL TO BE ENTITLED 1-7 AN ACT 1-8 relating to the ability of municipalities to provide water or 1-9 wastewater service to a residence to preserve the quality of an 1-10 aquifer the municipality uses as a water source. 1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-12 SECTION 1. Subchapter Z, Chapter 402, Local Government Code, 1-13 is amended by adding Section 402.906 to read as follows: 1-14 Sec. 402.906. CONSTRUCTION OF WATER OR WASTEWATER 1-15 IMPROVEMENTS TO PRESERVE WATER QUALITY OF AQUIFER. (a) This 1-16 section applies only to territory located in a municipality or in 1-17 the extraterritorial jurisdiction of a municipality and located 1-18 over the recharge zone of an aquifer that provides all or part of 1-19 the water supply of the municipality. 1-20 (b) To preserve the quality of the aquifer, the 1-21 municipality or a person with whom the municipality contracts may: 1-22 (1) construct a sanitation sewer lateral or water 1-23 lateral that serves a residential structure on private property to 1-24 connect the lateral to a new, renovated, or rebuilt sanitation main 1-25 or water main constructed by or for the municipality; and 1-26 (2) take any action necessary to remedy aquifer 1-27 pollution problems caused by septic tanks or septic systems located 1-28 on the property, including filling in the tank or system or 1-29 removing the tank or system. 1-30 (c) The municipality shall assess the cost of the water or 1-31 wastewater improvements under Subsection (b)(1) or Subsections 1-32 (b)(1) and (b)(2), as applicable, against the property on which 1-33 the lateral is located. A lien attaches to the property for the 1-34 cost of the improvements. 1-35 (d) Before a municipality acts under Subsection (b), the 1-36 municipality must give notice to the property owner and obtain the 1-37 property owner's written consent to the activity to be performed 1-38 and to the amount of the assessment. 1-39 (e) The notice provided under Subsection (d) must state the 1-40 estimated cost to the property owner of the improvements and state 1-41 that the cost may be increased by not more than 10 percent because 1-42 of changes without the written consent of the owner. The 1-43 municipality shall give the notice to the owner by personal 1-44 delivery or by depositing the notice in the United States mail with 1-45 postage prepaid. 1-46 (f) To be valid, the owner's written consent must: 1-47 (1) state that the person giving the consent is the 1-48 property owner or the authorized representative of the property 1-49 owner; 1-50 (2) state the owner's address; and 1-51 (3) state that: 1-52 (A) the consent is given freely; 1-53 (B) the owner understands that as a result of 1-54 the assessment a lien attaches to the property for the total cost 1-55 of the improvements; 1-56 (C) the municipality will not pay any part of 1-57 the cost of the improvements; and 1-58 (D) the owner will repay the cost to the 1-59 municipality on or before the fifth anniversary of the date the 1-60 municipality certifies the work is completed. 1-61 (g) The municipality shall file the written consent of the 1-62 property owner with the municipal clerk or secretary. 1-63 (h) If the municipality contracts with another person to 1-64 perform the work, the contract must be awarded in compliance with 2-1 the competitive bidding requirements applicable to the 2-2 municipality. The provisions of the contract must comply with any 2-3 law applicable to the construction of public improvements by the 2-4 municipality. The contract may be changed as necessary for the 2-5 successful completion of the work, but the contract price may not 2-6 be increased by more than 10 percent because of those changes 2-7 without the written consent of the owner as provided by Subsection 2-8 (e). 2-9 (i) When the work is completed, the municipality shall issue 2-10 a certificate certifying that the work has been completed and the 2-11 cost of the improvements. The municipality shall file the 2-12 certificate with the county clerk of the county in which the 2-13 property is located and shall deliver a copy of the certificate to 2-14 the property owner. The certificate must contain the legal 2-15 description of the land and name of the property owner. The lien 2-16 created pursuant to this section shall attach and arise when the 2-17 certificate is recorded in the real property records. The lien is 2-18 binding on subsequent grantees, lienholders, or other transferees 2-19 of an interest in the property who acquire such interest after the 2-20 recording of the certificate. 2-21 (j) The property owner, on or before the fifth anniversary 2-22 of the date of the issuance of the certificate, must pay the 2-23 municipality the amount that the completed work cost the 2-24 municipality as evidenced by the certificate, plus simple interest 2-25 in an amount not to exceed 10 percent a year as set by the 2-26 governing body of the municipality. On payment of the principal 2-27 amount and accrued interest, the municipality shall issue a release 2-28 of the assessment and lien. The release may be filed for record as 2-29 provided by law. 2-30 (k) If the property owner does not pay the assessment during 2-31 the five-year period, the municipality may enforce the lien on the 2-32 property in the same manner in which it is authorized by law to 2-33 enforce the lien for a paving or other assessment. 2-34 SECTION 2. The importance of this legislation and the 2-35 crowded condition of the calendars in both houses create an 2-36 emergency and an imperative public necessity that the 2-37 constitutional rule requiring bills to be read on three several 2-38 days in each house be suspended, and this rule is hereby suspended, 2-39 and that this Act take effect and be in force from and after its 2-40 passage, and it is so enacted. 2-41 * * * * *