By Denny                                              H.B. No. 1674
         76R4600 SMJ-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to procedures for annual and special meetings of nonprofit
 1-3     water supply and sewer service corporations.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 67.007, Water Code, is amended to read as
 1-6     follows:
 1-7           Sec. 67.007.  ANNUAL OR SPECIAL MEETING.  (a) The annual
 1-8     meeting of the members or shareholders of the corporation must be
 1-9     held between January 1 and May 1 at a time specified by the bylaws
1-10     or the board.
1-11           (b)  The board shall adopt written procedures for conducting
1-12     an annual or special meeting of the members or shareholders,
1-13     including procedures for:
1-14                 (1)  notifying eligible members or shareholders of the
1-15     location, date, and proposed agenda of the meeting;
1-16                 (2)  establishing a quorum consisting of members or
1-17     shareholders represented at the meeting in person or by proxy;
1-18                 (3)  conducting nominations and elections;
1-19                 (4)  approving the proxy and ballot forms used; and
1-20                 (5)  validating the eligibility of voters, proxies,
1-21     ballots, and election results.
1-22           (c)  The board shall adopt proxy and ballot forms to be used
1-23     at an annual or special meeting.  A member or shareholder must use
1-24     a proxy or ballot form adopted by the board.
 2-1           (d)  A proxy vote or ballot cast by a member or shareholder
 2-2     is confidential and is exempt from disclosure by the corporation
 2-3     until the election has been held.
 2-4           SECTION 2.  The importance of this legislation and the
 2-5     crowded condition of the calendars in both houses create an
 2-6     emergency and an imperative public necessity that the
 2-7     constitutional rule requiring bills to be read on three several
 2-8     days in each house be suspended, and this rule is hereby suspended,
 2-9     and that this Act take effect and be in force from and after its
2-10     passage, and it is so enacted.