1-1     By:  Lewis of Orange (Senate Sponsor - Nixon)         H.B. No. 3549

 1-2           (In the Senate - Received from the House May 8, 1997;

 1-3     May 9, 1997, read first time and referred to Committee on Natural

 1-4     Resources; May 15, 1997, reported favorably by the following vote:

 1-5     Yeas 6, Nays 0; May 15, 1997, sent to printer.)

 1-6                            A BILL TO BE ENTITLED

 1-7                                   AN ACT

 1-8     relating to the creation, administration, powers, duties,

 1-9     functions, operations, and financing of the South Newton Special

1-10     Utility District.

1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-12           SECTION 1.  CREATION; LEGISLATIVE DECLARATION.  (a)  A

1-13     conservation and reclamation district is created in Newton and

1-14     Orange counties to be known as the South Newton Special Utility

1-15     District, subject to approval at a confirmation election as

1-16     specified under Section 10 of this Act.  The district is a

1-17     governmental agency and a body politic and corporate.

1-18           (b)  The district is created under and is essential to

1-19     accomplish the purposes of Section 59, Article XVI, Texas

1-20     Constitution.

1-21           SECTION 2.  DEFINITION.  In this Act, "district" means the

1-22     South Newton Special Utility District.

1-23           SECTION 3.  BOUNDARIES.  The district includes all the

1-24     territory contained in the following described area:

1-25     BEGINNING at a point in the west bank of the Sabine River in the

1-26     north line of the Enis Hardin Survey, Abstract 141, Newton County,

1-27     Texas;

1-28     THENCE West along the north line of said Enis Hardin Survey for a

1-29     distance of 15,863 feet to a point in the south line of the H.T. &

1-30     B.R.R., Section 7, Abstract 233, Newton County, for the northwest

1-31     corner of said Enis Hardin Survey;

1-32     THENCE South along the west line of said Enis Hardin Survey for a

1-33     distance of 3987 feet to the southwest corner of said Enis Hardin

1-34     Survey and the northwest corner of the B.J. Lewis Survey, Abstract

1-35     930, Newton County;

1-36     THENCE continuing South along a southward projection of the west

1-37     line of said Enis Hardin Survey at 1953 feet pass the south line of

1-38     said B.J. Lewis Survey and the north line of the H.T. & B.R.R.,

1-39     Section 1, Abstract 234, Newton County, and continuing for a total

1-40     distance of 3413 feet to a point for corner;

1-41     THENCE West for a distance of 711 feet to a point for corner in the

1-42     west line of said H.T. & B.R.R., Section 1;

1-43     THENCE South along the west line of said H.T. & B.R.R., Section 1

1-44     for a distance of 6517 feet to a point for corner in the north line

1-45     of the Jas. A. Mason Survey, Abstract 324, Newton County and being

1-46     the southwest corner of said H.T.  & B.R.R., Section 1;

1-47     THENCE South 80 West along the north line of said Jas. A. Mason

1-48     Survey for a distance of 218 feet to a point for corner in the

1-49     south line of the Charles E. Anderson Survey, Abstract 912, Newton

1-50     County and being the northeast corner of the Charles Champion

1-51     Survey, Abstract 77, Newton County and the northwest corner of said

1-52     Jas. A. Mason Survey;

1-53     THENCE South along the west line of said Jas. A. Mason Survey for a

1-54     distance of 5280 feet to the southwest corner of said survey and

1-55     being the northwest corner of the John Champion Survey, Abstract

1-56     78, Newton County;

1-57     THENCE East along the south line of said Jas. A. Mason Survey and

1-58     the north line of said John Champion Survey for a distance of 5696

1-59     feet to a point in the west line of the George Hayden Survey,

1-60     Abstract 919, Newton County and being the southeast corner of said

1-61     Jas. A. Mason Survey and northeast corner of said John Champion

1-62     Survey;

1-63     THENCE South along the west line of said George Hayden Survey and

1-64     the west line of the A. Schmidt Survey, Abstract 906, Newton County

 2-1     for a distance of 5280 feet to a point in the south line of Newton

 2-2     County and the north line of Orange County and being the southwest

 2-3     corner of said A. Schmidt Survey and the northeast corner of the

 2-4     Fisher & Henderson Survey, Abstract 84, Orange County, Texas and

 2-5     also being the most northerly northwest corner of the G.C. &

 2-6     S.F.R.R., Section 9, Abstract 263, Orange County, Texas;

 2-7     THENCE South along the most northerly west line of said G.C. &

 2-8     S.F.R.R., Section 9 for a distance of 5493 feet to the southeast

 2-9     corner of said Fisher & Henderson Survey;

2-10     THENCE West along the south line of said Fisher & Henderson Survey

2-11     and the south line of the Low, Thaxton & Baxter Survey, Abstract

2-12     456, Orange County, Texas and being the most westerly north line of

2-13     said G.C. & S.F.R.R., Section 9 for a distance of 6687 feet to the

2-14     most westerly northwest corner of said G.C.  & S.F.R.R., Section 9,

2-15     in the east line of the Julius Claybar Survey, Abstract 65, Orange

2-16     County, Texas;

2-17     THENCE South along the most westerly west line of said G.G. &

2-18     S.F.R.R., Section 9 and the east line of said Julius Claybar Survey

2-19     for a distance of 1018 feet to the southwest corner of said G.G. &

2-20     S.F.R.R., Section 9, in the north line of the Charles Morgan

2-21     League, Abstract 18, Orange County, Texas;

2-22     THENCE East along the north line of said Charles Morgan League for

2-23     a distance of 28,050 feet to a point for corner in the west bank of

2-24     the Sabine River;

2-25     THENCE northward with the meanders of the west bank of the Sabine

2-26     River for a distance of 74,252 feet, more or less, back to the

2-27     PLACE OF BEGINNING and containing 17,572 acres of land (27.5 square

2-28     miles) more or less, consisting of 14,022 acres in Newton County,

2-29     Texas and 3,550 acres in Orange County, Texas.

2-30           SECTION 4.  FINDINGS RELATING TO BOUNDARIES.  The legislature

2-31     finds that the boundaries and field notes of the district form a

2-32     closure.  If any mistake is made in the field notes or in copying

2-33     the field notes in the legislative process, it in no way affects

2-34     the organization, existence, or validity of the district, or the

2-35     right of the district to issue any type of bonds or refunding bonds

2-36     for the purposes for which the district is created or to pay the

2-37     principal of and interest on the bonds, or in any other manner

2-38     affects the legality or operation of the district or its governing

2-39     body.

2-40           SECTION 5.  FINDING OF BENEFIT.  The legislature finds that

2-41     all of the land and other property included within the boundaries

2-42     of the district will be benefited by the works and projects that

2-43     are to be accomplished by the district under powers conferred by

2-44     Section 59, Article XVI, Texas Constitution, and that the district

2-45     is created to serve a public use and benefit.

2-46           SECTION 6.  POWERS.  (a)  The district has all of the rights,

2-47     powers, privileges, authority, functions, and duties conferred by

2-48     the general law of this state applicable to special utility

2-49     districts created under Section 59, Article XVI, Texas

2-50     Constitution, including Chapters 49 and 65, Water Code.  This Act

2-51     prevails over any provision of general law that is in conflict or

2-52     inconsistent with this Act.

2-53           (b)  The rights, powers, privileges, authority, functions,

2-54     and duties granted to the district are subject to the continuing

2-55     right of supervision of the state to be exercised by and through

2-56     the Texas Natural Resource Conservation Commission.

2-57           SECTION 7.  BOARD OF DIRECTORS.  (a)  The district is

2-58     governed by a board of seven directors.

2-59           (b)  Five directors shall be residents of Newton County and

2-60     two directors shall be residents of Orange County.  The board by

2-61     resolution may amend the requirement of this subsection as

2-62     necessary to comply with federal law.

2-63           SECTION 8.  TERMS OF DIRECTORS.  (a)  Temporary directors

2-64     serve until initial directors are elected under Section 10 of this

2-65     Act.

2-66           (b)  Initial directors serve until permanent directors are

2-67     elected under Section 11 of this Act.

2-68           (c)  Permanent directors serve staggered four-year terms.

2-69           (d)  Each director must qualify to serve as director in the

 3-1     manner provided by Section 49.055, Water Code.

 3-2           (e)  A director serves until the director's successor has

 3-3     qualified.

 3-4           SECTION 9.  TEMPORARY DIRECTORS.  (a)  The temporary board of

 3-5     directors is composed of:

 3-6                 (1)  Clyde Taylor;

 3-7                 (2)  Eddie Jean Stephenson;

 3-8                 (3)  Cal Ebner;

 3-9                 (4)  Clyde LeLeux;

3-10                 (5)  Verley Spell;

3-11                 (6)  Sandra Welch; and

3-12                 (7)  Leonard Powell.

3-13           (b)  If a temporary director does not qualify for office, the

3-14     remaining directors shall appoint a person to fill the vacancy.  If

3-15     at any time the number of qualified directors is less than seven

3-16     for any other reason, the Texas Natural Resource Conservation

3-17     Commission shall appoint the necessary number of directors to fill

3-18     all vacancies on the board.

3-19           SECTION 10.  CONFIRMATION AND INITIAL DIRECTORS' ELECTION.

3-20     (a)  The temporary board of directors shall call and hold an

3-21     election to confirm establishment of the district and to elect

3-22     seven initial directors as provided by Chapter 49, Water Code.

3-23           (b)  Section 41.001(a), Election Code, does not apply to a

3-24     confirmation election held as provided by this section.

3-25           SECTION 11.  ELECTION OF DIRECTORS.  On the first Saturday in

3-26     May of the first even-numbered year after the year in which the

3-27     confirmation election is held, an election shall be held in the

3-28     district for the election at large of four directors who shall each

3-29     serve two-year terms and three directors who shall each serve

3-30     four-year terms.  Thereafter, on the same date in each subsequent

3-31     second year, the appropriate number of directors shall be elected

3-32     to the board.

3-33           SECTION 12.  ADDITIONAL POWERS.  (a)  The district as a

3-34     special utility district may issue bonds to provide for all

3-35     improvements and the maintenance of those improvements necessary to

3-36     achieve the purposes of Section 59, Article XVI, Texas

3-37     Constitution, and may provide for the payment of the bonds through

3-38     revenues collected for that purpose as authorized by Chapter 65,

3-39     Water Code.

3-40           (b)  The district may enter into contracts for:

3-41                 (1)  the purchase or sale of both raw and treated

3-42     water;

3-43                 (2)  the transportation, treatment, and disposal of the

3-44     district's municipal or industrial waste;

3-45                 (3)  the transportation, treatment, and disposal of

3-46     municipal or industrial waste of others as provided by Chapter 30,

3-47     Water Code;

3-48                 (4)  the purchase, lease, use, management, control, or

3-49     operation of water treatment or distribution facilities or sewer

3-50     collection and treatment facilities, including all or part of

3-51     facilities or systems owned by other political subdivisions; and

3-52                 (5)  planning, surveying, investigating, or preparing

3-53     reports of any kind.

3-54           (c)  The district may acquire, develop, and use underground

3-55     or surface water rights.

3-56           SECTION 13.  DISTRICT FACILITIES.  (a)  The district by rule

3-57     may establish standard specifications for facilities that are

3-58     designed or constructed to provide:

3-59                 (1)  storage, treatment, or transportation of water for

3-60     domestic, municipal, or industrial purposes;

3-61                 (2)  collection, treatment, and disposal of sewage; or

3-62                 (3)  disposal of solid waste.

3-63           (b)  The board shall hold a public hearing on the adoption of

3-64     standards for facilities of the district.  The board shall give

3-65     notice of the hearing to the Texas Natural Resource Conservation

3-66     Commission and the Texas Department of Health and shall publish

3-67     notice of the hearing in a newspaper with general circulation in

3-68     the district not later than the 10th day before the date set for

3-69     the hearing.

 4-1           (c)  Appeal for an order adopting standard specifications may

 4-2     be made to a district court of either Newton or Orange County, and

 4-3     the substantial evidence rule applies.

 4-4           (d)  The district may seek injunctive relief against the

 4-5     construction of, addition to, or operation of any facility within

 4-6     the district's jurisdiction if the construction of, addition to, or

 4-7     operation of the facility does not comply with the district's

 4-8     standard specifications.

 4-9           (e)  The district shall file the district's standard

4-10     specifications with the Texas Natural Resource Conservation

4-11     Commission.

4-12           (f)  Specifications adopted under this section do not apply

4-13     within the boundaries or extraterritorial jurisdiction of a

4-14     municipality unless the governing body of the municipality by

4-15     resolution gives its approval.

4-16           SECTION 14.  CONSTRUCTION AND ACQUISITION OF SYSTEMS.

4-17     (a)  The district may acquire any existing water system, sewer

4-18     system, or water and sewer system that serves all or part of the

4-19     territory located inside or outside the district's boundaries.

4-20           (b)  The district may improve and extend an acquired system

4-21     or may construct a water system, sewer system, or a water and sewer

4-22     system.

4-23           (c)  Construction contracts are governed by the competitive

4-24     bidding requirement of the Water Code.  Contracts for the

4-25     acquisition of existing water or sewer facilities may be made on

4-26     terms agreed on by the parties.

4-27           SECTION 15.  FINDINGS RELATING TO PROCEDURAL REQUIREMENTS.

4-28     (a)  The proper and legal notice of the intention to introduce this

4-29     Act, setting forth the general substance of this Act, has been

4-30     published as provided by law, and the notice and a copy of this Act

4-31     has been furnished to all persons, agencies, officials, or entities

4-32     to which they are required to be furnished by the constitution and

4-33     laws of this state, including the governor, who has submitted the

4-34     notice and Act to the Texas Natural Resource Conservation

4-35     Commission.

4-36           (b)  The Texas Natural Resource Conservation Commission has

4-37     filed its recommendations relating to this Act with the governor,

4-38     lieutenant governor, and speaker of the house of representatives

4-39     within the required time.

4-40           (c)  The general law relating to consent by political

4-41     subdivisions to the creation of conservation and reclamation

4-42     districts and the inclusion of land in those districts has been

4-43     complied with, and all requirements of the constitution and laws of

4-44     this state and the rules and procedures of this legislature with

4-45     respect to the notice, introduction, and passage of this Act are

4-46     fulfilled and accomplished.

4-47           SECTION 16.  EMERGENCY.  The importance of this legislation

4-48     and the crowded condition of the calendars in both houses create an

4-49     emergency and an imperative public necessity that the

4-50     constitutional rule requiring bills to be read on three several

4-51     days in each house be suspended, and this rule is hereby suspended,

4-52     and that this Act take effect and be in force from and after its

4-53     passage, and it is so enacted.

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