1-1 By: Brown S.B. No. 1593 1-2 (In the Senate - Filed March 12, 1999; March 15, 1999, read 1-3 first time and referred to Committee on Natural Resources; 1-4 April 16, 1999, reported adversely, with favorable Committee 1-5 Substitute by the following vote: Yeas 5, Nays 0; April 16, 1999, 1-6 sent to printer.) 1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1593 By: Brown 1-8 A BILL TO BE ENTITLED 1-9 AN ACT 1-10 relating to the development of a water supply reservoir project at 1-11 the Allens Creek Reservoir site in Austin County, Texas, and 1-12 providing for the issuance of certain water rights permits to the 1-13 Texas Water Development Board. 1-14 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-15 ARTICLE 1 1-16 SECTION 1.01. The Legislature designates a site known as the 1-17 Allens Creek Reservoir site at the confluence of Allens Creek and 1-18 the Brazos River in Austin County, Texas, as a site of unique value 1-19 for the construction of a dam and reservoir on Allens Creek 1-20 pursuant to Subdivision (2), Subsection (f), Section 16.051, Water 1-21 Code, to impound water derived from the unappropriated inflows of 1-22 Allens Creek and water diverted from the unappropriated flows of 1-23 the Brazos River. The Brazos River Authority currently holds an 1-24 option to acquire all or a substantial portion of the site. The 1-25 legislature finds that construction and development of the Allens 1-26 Creek Reservoir project, and the impoundment, diversion, and use of 1-27 the waters in amounts up to those specified in this article, are in 1-28 the public interest and would constitute a beneficial use of the 1-29 water. The legislature further finds that the project shall 1-30 receive priority for existing and uncommitted bond authorization in 1-31 the state participation account. 1-32 SECTION 1.02. (a) The Texas Water Development Board is 1-33 granted the right to construct a dam and reservoir on Allens Creek 1-34 and to impound therein the amount specified by permit or amendment 1-35 issued hereunder, up to 500,000 acre-feet, of the unappropriated 1-36 waters of the Brazos River and Allens Creek, derived from inflows 1-37 from Allens Creek and diversions from the Brazos River, and to 1-38 divert and use from the reservoir an amount of water specified in 1-39 the permit issued under Subsection (b) of this section or in 1-40 amendment granted by the Texas Natural Resource Conservation 1-41 Commission in accordance with the Water Code, up to an average of 1-42 500,000 acre-feet of water per year. Water may be diverted, 1-43 impounded, and used only in the amounts and for the purposes and 1-44 under the terms of the permit as so issued or amended. 1-45 (b) Upon application by the Texas Water Development Board 1-46 pursuant to Section 11.1311, Water Code, the Texas Natural Resource 1-47 Conservation Commission shall reissue without notice or hearing 1-48 Water Appropriation Permit No. 2925 previously issued for the 1-49 Allens Creek Reservoir. The permit shall be issued in the name of 1-50 the Texas Water Development Board and it shall have a priority date 1-51 of September 1, 1999. The date to commence construction of the 1-52 reservoir shall be not later than September 1, 2018. The Texas 1-53 Natural Resource Conservation Commission may extend such time for 1-54 beginning of construction for good cause. 1-55 (c) Pursuant to Section 11.1311, Water Code, the Texas Water 1-56 Development Board may transfer interests in the reissued permit for 1-57 the Allens Creek Reservoir to a municipality, river authority, 1-58 other political subdivision, or water supply corporation organized 1-59 under Chapter 67, Water Code, as otherwise provided by law. 1-60 (d) Pursuant to Section 11.1311, Water Code, the reissued 1-61 permit for the Allens Creek Reservoir may be amended by the Texas 1-62 Natural Resource Conservation Commission as otherwise provided by 1-63 law upon submission of an application to amend by the holder or 1-64 holders of the permit. The permit as so amended shall have a 2-1 priority date of September 1, 1999, provided the authorizations in 2-2 the amended permit do not exceed those set forth in Subsection (a) 2-3 of this section. The Texas Natural Resource Conservation 2-4 Commission shall process and issue any amendment to the permit 2-5 according to the provisions of Chapter 11, Water Code, including 2-6 but not limited to directing that stream flow restrictions and 2-7 other conditions and restrictions be placed in the amended permit 2-8 to protect senior water rights and to comply with Sections 11.147, 2-9 11.150, and 11.152, Water Code. The Parks and Wildlife Department 2-10 shall propose to the Texas Natural Resource Conservation Commission 2-11 any terms recommended for inclusion in the amended permit for 2-12 protection of instream uses and bays and estuaries pursuant to 2-13 Section 11.147, Water Code, and fish and wildlife habitat pursuant 2-14 to Section 11.152, Water Code. 2-15 SECTION 1.03. Using the state participation account of the 2-16 Texas Water Development Fund II to encourage optimal regional 2-17 development of the Allens Creek Reservoir project, the Texas Water 2-18 Development Board is authorized to acquire the entire or any 2-19 undivided interest in the Allens Creek site, provided that the 2-20 total amount of money invested by the Texas Water Development Board 2-21 in the site shall not exceed $20 million with $1.8 million of such 2-22 investment to be for reimbursement to Brazos River Authority for 2-23 costs incurred to obtain and hold its option to acquire such site. 2-24 The legislature finds that the cost of acquisition of the site for 2-25 the Allens Creek Reservoir project exceeds the current financing 2-26 capabilities of the area involved, and the optimum regional 2-27 development of the Allens Creek site cannot be reasonably financed 2-28 by local interests without state participation. 2-29 SECTION 1.04. Using funds from the state participation 2-30 account of the Texas Water Development Fund II, the Texas Water 2-31 Development Board is authorized to issue bonds to acquire up to 50 2-32 percent of any undivided interest in the Allens Creek Reservoir 2-33 project, including the entire or any undivided interest in the 2-34 site. The legislature finds that the cost of the Allens Creek 2-35 Reservoir project exceeds the current financing capabilities of the 2-36 area involved, and the optimum regional development of the Allens 2-37 Creek Reservoir project cannot be reasonably financed by local 2-38 interests without state participation. 2-39 SECTION 1.05. Any contract providing for state participation 2-40 in the Allens Creek site or the construction of a reservoir at such 2-41 site shall provide for the purchase of the Texas Water Development 2-42 Board's interest in the facility pursuant to the provisions of 2-43 Subsection (b), Section 16.186, Water Code. The Texas Water 2-44 Development Board may contract for such a sale with a municipality, 2-45 a river authority, a political subdivision or a water supply 2-46 corporation organized under Chapter 67, Water Code. 2-47 ARTICLE 2 2-48 SECTION 2.01. Subchapter D, Chapter 11, Water Code, is 2-49 amended by adding Section 11.1311 to read as follows: 2-50 Sec. 11.1311. APPROVAL OF CERTAIN APPLICATIONS WITHOUT 2-51 HEARING. (a) If a permit for a reservoir project which is listed 2-52 on the effective date of this section as a recommended project in 2-53 the current state water plan has been abandoned, voluntarily 2-54 canceled, or forfeited for failure to commence construction within 2-55 the time specified by law, and the reservoir project site is owned 2-56 by a municipality, river authority, other political subdivision, or 2-57 water supply corporation organized under Chapter 67, the commission 2-58 may reissue that same permit with a new priority date to the board 2-59 without notice or hearing, upon submission of an application by the 2-60 board. 2-61 (b) The board may transfer interests in a permit issued 2-62 under this section to a municipality, river authority, other 2-63 political subdivision, or water supply corporation organized under 2-64 Chapter 67 as otherwise provided by law. 2-65 (c) A permit issued pursuant to this section shall be 2-66 administered in accordance with this chapter and as otherwise 2-67 provided by law. 2-68 ARTICLE 3 2-69 SECTION 3.01. Nothing in this Act shall be construed as 3-1 prohibiting or impairing any lawful use, sale, or other curtailment 3-2 or diminution of waters that contribute to the flows of the Brazos 3-3 River at the proposed point of diversion for the Allens Creek 3-4 Reservoir project including, without limitation, curtailment or 3-5 diminution of discharges of groundwater into tributaries of the 3-6 Brazos River upstream of such point, whether due to use or sale of 3-7 such groundwater or any other reason. 3-8 SECTION 3.02. This Act takes effect September 1, 1999. 3-9 SECTION 3.03. The importance of this legislation and the 3-10 crowded condition of the calendars in both houses create an 3-11 emergency and an imperative public necessity that the 3-12 constitutional rule requiring bills to be read on three several 3-13 days in each house be suspended, and this rule is hereby suspended. 3-14 * * * * *