By Bosse H.B. No. 1660 75R4052 JMC-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to training requirements for a director of a water 1-3 district or a water supply corporation. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter D, Chapter 5, Water Code, is amended 1-6 by adding Section 5.123 to read as follows: 1-7 Sec. 5.123. ASSISTANCE WITH TRAINING REQUIREMENTS FOR 1-8 CERTAIN DIRECTORS. (a) The commission shall create reference 1-9 manuals containing information relating to the training 1-10 requirements imposed on: 1-11 (1) a director of a water district under Section 1-12 49.0511; and 1-13 (2) a director of a water supply corporation under 1-14 Section 3A, Chapter 76, Acts of the 43rd Legislature, 1st Called 1-15 Session, 1933 (Article 1434a, Vernon's Texas Civil Statutes). 1-16 (b) The reference manuals shall contain course outlines and 1-17 the names of professional associations and other organizations that 1-18 provide the required training. 1-19 (c) The commission shall encourage professional associations 1-20 and other organizations to provide the required training at 1-21 locations throughout the state. 1-22 SECTION 2. Subchapter C, Chapter 49, Water Code, is amended 1-23 by adding Section 49.0511 to read as follows: 1-24 Sec. 49.0511. DIRECTOR TRAINING. (a) A director shall, not 2-1 later than the first anniversary of the date on which the director 2-2 was elected or appointed to a board, complete at least six hours of 2-3 training provided by a professional association or other 2-4 organization in the following areas: 2-5 (1) the role and functions of the district; 2-6 (2) district finances; 2-7 (3) the duties and responsibilities of a director; 2-8 (4) rules applicable to the district adopted by the 2-9 commission; 2-10 (5) the requirements applicable to the district of 2-11 the: 2-12 (A) Public Funds Investment Act, Chapter 2256, 2-13 Government Code; 2-14 (B) open meetings law, Chapter 551, Government 2-15 Code; and 2-16 (C) open records law, Chapter 552, Government 2-17 Code; 2-18 (6) applicable ethics policies adopted by the 2-19 commission or the Texas Ethics Commission; and 2-20 (7) applicable tax, election, and local government 2-21 laws. 2-22 (b) A district shall provide each incoming director with a 2-23 copy of the training reference manual created by the commission 2-24 under Section 5.123. 2-25 (c) A professional association or other organization that 2-26 provides training to a director under Subsection (a) may, on 2-27 completion of at least six hours of training by a director, issue a 3-1 certificate of completion to the director. 3-2 (d) A director shall submit the certificate of completion 3-3 received under Subsection (c) or other comparable documentation to 3-4 the board on which the director serves. 3-5 (e) The board shall notify a director who fails to comply 3-6 with Subsection (a) that the director must complete the training 3-7 not later than the 60th day after the date the director receives 3-8 the notice. If the director fails to complete the training by that 3-9 date, the board by a majority vote may remove the director. 3-10 (f) A district shall reimburse a director of the district 3-11 for reasonable expenses incurred in completing the training 3-12 required under Subsection (a). 3-13 SECTION 3. Chapter 76, Acts of the 43rd Legislature, 1st 3-14 Called Session, 1933 (Article 1434a, Vernon's Texas Civil 3-15 Statutes), is amended by adding Section 3A to read as follows: 3-16 Sec. 3A. DIRECTOR TRAINING. (a) A member of a board of 3-17 directors shall, not later than the first anniversary of the date 3-18 on which the director was elected or appointed to the board, 3-19 complete at least six hours of training provided by a professional 3-20 association or other organization in the following areas: 3-21 (1) the role and functions of the corporation; 3-22 (2) corporation finances; 3-23 (3) the duties and responsibilities of a director; 3-24 (4) rules applicable to the corporation adopted by the 3-25 Texas Natural Resource Conservation Commission; 3-26 (5) the requirements applicable to the corporation of 3-27 the: 4-1 (A) Public Funds Investment Act, Chapter 2256, 4-2 Government Code; 4-3 (B) open meetings law, Chapter 551, Government 4-4 Code; and 4-5 (C) open records law, Chapter 552, Government 4-6 Code; 4-7 (6) applicable ethics policies adopted by the Texas 4-8 Natural Resource Conservation Commission or the Texas Ethics 4-9 Commission; and 4-10 (7) applicable tax, election, and local government 4-11 laws. 4-12 (b) A board of directors shall provide each incoming 4-13 director with a copy of the training reference manual created by 4-14 the Texas Natural Resource Conservation Commission under Section 4-15 5.123, Water Code. 4-16 (c) A professional association or other organization that 4-17 provides training to a director under Subsection (a) may, on 4-18 completion of at least six hours of training by a director, issue a 4-19 certificate of completion to the director. 4-20 (d) A director shall submit the certificate of completion 4-21 received under Subsection (c) or other comparable documentation to 4-22 the board on which the director serves. 4-23 (e) The board of directors shall notify a director who fails 4-24 to comply with Subsection (a) that the director must complete the 4-25 training not later than the 60th day after the date the director 4-26 receives the notice. If the director fails to complete the 4-27 training by that date, the board by a majority vote may remove the 5-1 director. 5-2 (f) A corporation shall reimburse a director of the 5-3 corporation for reasonable expenses incurred in completing the 5-4 training required under Subsection (a). 5-5 SECTION 4. This Act takes effect September 1, 1997, and 5-6 applies only to a director elected or appointed to the board of a 5-7 water district or a water supply corporation on or after September 5-8 1, 1997. 5-9 SECTION 5. The importance of this legislation and the 5-10 crowded condition of the calendars in both houses create an 5-11 emergency and an imperative public necessity that the 5-12 constitutional rule requiring bills to be read on three several 5-13 days in each house be suspended, and this rule is hereby suspended.