76R15425 BDH-F                           
         By Green                                              H.B. No. 3839
         Substitute the following for H.B. No. 3839:
         By Counts                                         C.S.H.B. No. 3839
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the creation, administration, powers, duties,
 1-3     operation, and financing of the Hays Trinity Groundwater
 1-4     Conservation District.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Creation.  (a)  A conservation and reclamation
 1-7     district, to be known as the Hays Trinity Groundwater Conservation
 1-8     District, is created in Hays County, subject to approval at a
 1-9     confirmation election under Section 10 of this Act.  The district
1-10     is a governmental agency and a body politic and corporate.
1-11           (b)  The district is created under and is essential to
1-12     accomplish the purposes of Section 59, Article XVI, Texas
1-13     Constitution.
1-14           SECTION 2.  Definition.  In this Act, "district" means the
1-15     Hays Trinity Groundwater Conservation District.
1-16           SECTION 3.  Boundaries.  The boundaries of the district are
1-17     coextensive with the boundaries of Hays County, excluding the part
1-18     of the county within the boundaries of the Barton Springs-Edwards
1-19     Aquifer Conservation District or the Edwards Aquifer Authority.
1-20           SECTION 4.  FINDING OF BENEFIT.  All of the land and other
1-21     property included within the boundaries of the district will be
1-22     benefited by the works and projects that are to be accomplished by
1-23     the district under powers conferred by Section 59, Article XVI,
1-24     Texas Constitution.  The district is created to serve a public use
 2-1     and benefit.
 2-2           SECTION 5.  POWERS.  (a)  Except as provided by Subsections
 2-3     (c) and (d) of this section, the district has all of the rights,
 2-4     powers, privileges, authority, functions, and duties provided by
 2-5     the general law of this state, including Chapter 36, Water Code,
 2-6     applicable to groundwater conservation districts created under
 2-7     Section 59, Article XVI, Texas Constitution, except that Chapter
 2-8     49, Water Code, does not apply to the district.  This Act prevails
 2-9     over any provision of general law that is in conflict or
2-10     inconsistent with this Act.
2-11           (b)  The district has the power to limit the transfer of
2-12     groundwater out of the district, including the power to prohibit
2-13     the transfer.
2-14           (c)  The district may not:
2-15                 (1)  regulate the use of land in the district;
2-16                 (2)  regulate wastewater or septic systems;
2-17                 (3)  sell surface water or groundwater for any purpose;
2-18                 (4)  incur a debt that matures in more than one year;
2-19                 (5)  levy or collect an ad valorem tax;
2-20                 (6)  enter land in the district without permission of
2-21     the landowner;
2-22                 (7)  require a person to place a meter on a well; or
2-23                 (8)  refuse to register a well if the registrant pays
2-24     the fee required by Section 12 of this Act.
2-25           (d)  Except as provided by Section 12 of this Act, Sections
2-26     36.117(f) and (g), Water Code, do not apply to the district.
2-27           SECTION 6.  FISCAL RESPONSIBILITIES.  (a)  The board of
 3-1     directors of the district annually shall prepare a budget that
 3-2     includes the proposed expenditures and disbursements and the
 3-3     estimated receipts and collections for the following fiscal year.
 3-4           (b)  The board shall hold a public hearing on the proposed
 3-5     budget.  The board must publish notice of the hearing in a
 3-6     newspaper of general circulation in Hays County not later than the
 3-7     11th day before the date set for the hearing.  Any resident of the
 3-8     district may appear at the hearing and be heard on an item in the
 3-9     proposed budget.
3-10           SECTION 7.  COORDINATION WITH OTHER DISTRICTS.  (a)  The
3-11     district may coordinate its plans with those of another
3-12     conservation and reclamation district created under Section 59,
3-13     Article XVI, Texas Constitution, and may enter into joint
3-14     undertakings for the purposes for which the districts are created.
3-15           (b)  An action taken under this section:
3-16                 (1)  may not conflict with another section of this Act;
3-17     and
3-18                 (2)  must be approved by:
3-19                       (A)  the commissioners court of each county in
3-20     which the districts are located; and
3-21                       (B)  the board of directors of each district.
3-22           SECTION 8.  BOARD OF DIRECTORS.  (a)  The district is
3-23     governed by a board of five directors.
3-24           (b)  Each director must qualify to serve as director in the
3-25     manner provided by Section 36.055, Water Code.
3-26           (c)  Temporary directors serve until initial directors are
3-27     elected under Section 10 of this Act.
 4-1           (d)  Initial directors serve until permanent directors are
 4-2     elected under Section 11 of this Act.
 4-3           (e)  Permanent directors serve staggered four-year terms.
 4-4           (f)  A director serves until the director's successor has
 4-5     qualified.
 4-6           (g)  If there is a vacancy on the board, the remaining
 4-7     directors shall appoint a director to serve the remainder of the
 4-8     term.
 4-9           (h)  A director may not receive a salary or other
4-10     compensation for service as a director but may be reimbursed for
4-11     actual expenses of attending meetings at the rate in effect for
4-12     employees of Hays County.
4-13           SECTION 9.  TEMPORARY DIRECTORS.  Not later than the 31st day
4-14     after the effective date of this Act, the Hays County Commissioners
4-15     Court shall appoint a temporary board of directors consisting of
4-16     five members.
4-17           SECTION 10.  CONFIRMATION AND INITIAL DIRECTORS' ELECTION.
4-18     (a)  Not earlier than the later of March 1, 2000, or the 90th day
4-19     after the date the Texas Water Development Board releases a study
4-20     of the Trinity Aquifer, the temporary board of directors shall call
4-21     and hold an election to confirm establishment of the district, to
4-22     elect five initial directors as provided by Chapter 36, Water Code,
4-23     and to submit any other propositions required by the temporary
4-24     board of directors.
4-25           (b)  Except as provided by this section, a confirmation
4-26     election must be conducted as provided by Sections 36.017(b)-(h),
4-27     Water Code, and the Election Code.
 5-1           (c)  If the establishment of the district has not been
 5-2     confirmed at an election held under this section before the second
 5-3     anniversary of the effective date of this Act, this Act expires on
 5-4     that date.
 5-5           SECTION 11.  ELECTION OF PERMANENT DIRECTORS.  On the first
 5-6     Saturday in May of the second year after the year in which the
 5-7     confirmation election is held, an election shall be held in the
 5-8     district for the election of three directors who shall serve a
 5-9     two-year term and two directors who shall serve a four-year term.
5-10     Thereafter, on the first Saturday in May in each subsequent second
5-11     year, the appropriate number of directors shall be elected to the
5-12     board.
5-13           SECTION 12.  ADDITIONAL POWERS AND DUTIES OF DISTRICT.  (a)
5-14     The district may require a water well drilled in the district on or
5-15     after the date the establishment of the district is confirmed at an
5-16     election under Section 10 of this Act to be registered with the
5-17     district before drilling.  The district may set a registration fee.
5-18     The registration fee for a well other than a well described by
5-19     Sections 36.117(a)(1)-(5), Water Code, may not exceed $1,000.  The
5-20     registration fee for a well described by Sections 36.117(a)(1)-(5),
5-21     Water Code, may not exceed the fee established by the Hays County
5-22     Commissioners Court for an application for a permit for an on-site
5-23     sewage disposal system.
5-24           (b)  Except as provided by Subsection (c), the district shall
5-25     use all revenue that is not necessary for the maintenance and
5-26     operation of the district to fund annual hydro-geological studies
5-27     of aquifers.  The district shall use the studies in the development
 6-1     of a regional and county water development plan.
 6-2           (c)  The district must use all money collected by the
 6-3     district in excess of $120,000 each year to issue rebates to
 6-4     residents who participate in voluntary conservation projects
 6-5     approved by the board, including rainwater collection, xeriscape
 6-6     planting, and brush clearing.
 6-7           (d)  The district may annex land adjacent to the district on
 6-8     petition of the landowner as provided by Subchapter J, Chapter 36,
 6-9     Water Code.
6-10           SECTION 13.  DISSOLUTION OF DISTRICT.  (a)  Subchapter I,
6-11     Chapter 36, Water Code, applies to dissolution of the district.
6-12           (b)  The board of directors of the district shall order an
6-13     election on the question of dissolving the district and disposing
6-14     of the district's assets and obligations if:
6-15                 (1)  the board receives a petition requesting an
6-16     election that is signed by a number of residents of the district
6-17     equal to at least two percent of the registered voters in the
6-18     district; and
6-19                 (2)  the district has no outstanding bonded
6-20     indebtedness.
6-21           (c)  The election shall be held not later than the 60th day
6-22     after the date the election is ordered.  Section 41.001(a),
6-23     Election Code, does not apply to an election ordered under this
6-24     section.  The order calling the election must state:
6-25                 (1)  the nature of the election, including the
6-26     proposition that is to appear on the ballot;
6-27                 (2)  the date of the election;
 7-1                 (3)  the hours during which the polls will be open; and
 7-2                 (4)  the location of the polling places.
 7-3           (d)  The board of directors shall give notice of the election
 7-4     by publishing a substantial copy of the election order in a
 7-5     newspaper with general circulation in the district once a week for
 7-6     two consecutive weeks.  The first publication must appear at least
 7-7     35 days before the date set for the election.  The ballot for the
 7-8     election shall be printed to permit voting for or against the
 7-9     proposition: "The dissolution of the Hays Trinity Groundwater
7-10     Conservation District of Hays County, Texas."
7-11           (e)  If a majority of the votes in the election favor
7-12     dissolution, the board of directors shall find that the district is
7-13     dissolved.  If a majority of the votes in the election do not favor
7-14     dissolution, the board shall continue to administer the district
7-15     and another election on the question of dissolution may not be held
7-16     before the first anniversary of the most recent election to
7-17     dissolve the district.
7-18           (f)  If a majority of the votes in the election favor
7-19     dissolution, the assets of the district shall be sold and the
7-20     proceeds distributed as provided by Section 36.310, Water Code.
7-21           SECTION 14.  FINDINGS RELATED TO PROCEDURAL REQUIREMENTS.
7-22     (a)  The proper and legal notice of the intention to introduce this
7-23     Act, setting forth the general substance of this Act, has been
7-24     published as provided by law, and the notice and a copy of this Act
7-25     have been furnished to all persons, agencies, officials, or
7-26     entities to which they are required to be furnished by the
7-27     constitution and other laws of this state, including the governor,
 8-1     who has submitted the notice and Act to the Texas Natural Resource
 8-2     Conservation Commission.
 8-3           (b)  The Texas Natural Resource Conservation Commission has
 8-4     filed its recommendations relating to this Act with the governor,
 8-5     lieutenant governor, and speaker of the house of representatives
 8-6     within the required time.
 8-7           (c)  All requirements of the constitution and laws of this
 8-8     state and the rules and procedures of the legislature with respect
 8-9     to the notice, introduction, and passage of this Act are fulfilled
8-10     and accomplished.
8-11           SECTION 15.  EMERGENCY.  The importance of this legislation
8-12     and the crowded condition of the calendars in both houses create an
8-13     emergency and an imperative public necessity that the
8-14     constitutional rule requiring bills to be read on three several
8-15     days in each house be suspended, and this rule is hereby suspended,
8-16     and that this Act take effect and be in force from and after its
8-17     passage, and it is so enacted.