SRC-ARR C.S.S.B. 1665 76(R)BILL ANALYSIS


Senate Research CenterC.S.S.B. 1665
76R13530 WP-FBy: Lindsay
Natural Resources
5/2/1999
Committee Report (Substituted)


DIGEST 

The Port of Houston Authority (PHA), a navigation district and political
subdivision of the state, manages the public port facilities along the
Houston Ship Channel. The Port of Galveston (POG) is a separate utility of
the City of Galveston and operates the navigation and port facilities owned
by that city. At certain times, there have been discussions about
cooperative undertakings between PHA and POG, and in recent years PHA has
leased from POG certain container facilities in Galveston. C.S.S.B. 1665
would authorize PHA to acquire additional facilities of POG on terms not
otherwise authorized under current law. 

PURPOSE

As proposed, C.S.S.B. 1665 regulates the authority of certain navigation
districts to acquire land, equipment, or  improvements and issue bonds. 

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 62D, Water Code, by adding Section 62.1071, as
follows: 

Sec. 62.1071. ACQUISITION OF LAND, EQUIPMENT, OR IMPROVEMENTS IN CERTAIN
COUNTIES. Provides that this section applies only to a district that has a
county of jurisdiction with a population of more than 2.8 million.
Authorizes a district to acquire, by any means except condemnation, and own
land, equipment, or improvements located in a county that is adjacent to
the district's county of jurisdiction if the commission considers the land,
equipment, or improvements to be necessary. Authorizes any public or
private owner to dispose of land, equipment, or improvements on any terms
to which the commission and the property owner agree. Sets forth certain
provisions regarding the discontinued operations of a port. Authorizes the
commissioners to change the names of the district in connection with the
acquisition of a land equipment, or improvements under this section.
Authorizes a district that acquires land, equipment, or improvements under
this section to use or pledge to the payment of obligations of the district
for the development of any district facility, regardless of the location of
the facility, any revenue of the district, except as provided by Section
62.209. Provides that this Section 41.001(a), Election Code, does not apply
to an election held under this section. Requires an election held under
this section to be conducted as provided by the Election Code. 

Sec. 62.1072. ADDITIONAL COMMISSIONERS FOR ACQUISITIONS FROM CERTAIN
MUNICIPALITIES.  Requires a district that acquires land, equipment, or an
improvement under 62.1071 from a municipality that has a population of more
than 35,000 that operates navigation and port facilities and that is
located in a county adjacent to the county of jurisdiction may add
positions for members of the commission, as determined by the commission.
Provides that not more than two positions may be added to the commission
under this section. Requires the governing body of the municipality in
which the acquired land, equipment, or improvements are located to appoint
the additional commissioners. Requires the additional commissioners to
serve terms that are consistent with the law  governing the terms of the
other commissioners.  

SECTION 2. Amends Chapter 62F, Water Code, by adding Section 62.209, as
follows: 

Sec. 62.209. USE OF BOND PROCEEDS FOR CERTAIN ACQUISITIONS OF CERTAIN
DISTRICTS. Prohibits a district to which Section 62.1071 applies from
spending for the acquisition of land, equipment, or improvements under that
section the proceeds of bonds authorized by the district's voters before
the district undertakes the acquisition.   

SECTION 3. Emergency clause.
                      Effective date: upon passage.

SUMMARY OF COMMITTEE CHANGES

SECTION 1. 

Deletes proposed changes to Section 62.107(a), Water Code, authorizing
district to acquire land or improvements. Redesignates  SECTION 2 as
SECTION 1. 

Adds new Section 62.1071, Water Code, regarding the acquisition of land,
equipment, or improvements in certain counties. Renumbers existing sections
accordingly. 

Amends Section 62.1072, Water Code, to require a district to appoint
certain members to the commission.  

SECTION 2. 

Adds new Section 62.209, Water Code, regarding the use of bond proceeds for
certain acquisitions of certain districts. Deletes proposed Section 62.209,
Water Code, regarding the use of bond proceeds to acquire land. Deletes
proposed Section 62.210, Water Code, regarding the bond issuance annexation
of territory.  

 Deletes proposed SECTIONS 4-7.