1-1     By:  Ratliff                                           S.B. No. 533
 1-2           (In the Senate - Filed February 16, 1999; February 17, 1999,
 1-3     read first time and referred to Committee on Natural Resources;
 1-4     March 11, 1999, reported favorably by the following vote:  Yeas 5,
 1-5     Nays 0; March 11, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to annual and special meetings and elections for water
 1-9     supply and sewer service corporations.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Section 67.007, Water Code, is amended to read as
1-12     follows:
1-13           Sec. 67.007.  ANNUAL OR SPECIAL MEETING.  (a)  The annual
1-14     meeting of the members or shareholders of the corporation must be
1-15     held between January 1 and May 1 at a time specified by the bylaws
1-16     or the board.
1-17           (b)  The board shall adopt written procedures for conducting
1-18     an annual or special meeting of the members or shareholders, which
1-19     shall include the following:
1-20                 (1)  notification to eligible members or shareholders
1-21     of the proposed agenda, location, and date of the meeting;
1-22                 (2)  establishment of a quorum consisting of proxies
1-23     and the votes of members or shareholders present;
1-24                 (3)  nomination and election procedures;
1-25                 (4)  approval of the proxy and ballot form to be used;
1-26     and
1-27                 (5)  validation of eligible voters, proxies, ballots,
1-28     and election results.
1-29           (c)  The board shall adopt an official proxy and ballot form
1-30     to be used in conducting the business of the corporation at any
1-31     annual or special meeting.  No other proxy or ballot form will be
1-32     valid.  Proxies and ballots from members or shareholders are
1-33     confidential and are exempted from disclosure by the corporation
1-34     until after the date of the relevant election.
1-35           SECTION 2.  The importance of this legislation and the
1-36     crowded condition of the calendars in both houses create an
1-37     emergency and an imperative public necessity that the
1-38     constitutional rule requiring bills to be read on three several
1-39     days in each house be suspended, and this rule is hereby suspended,
1-40     and that this Act take effect and be in force from and after its
1-41     passage, and it is so enacted.
1-42                                  * * * * *