Amend CSSB 1335 as follows:
      Add a new CHAPTER 49.457 as follows:  CHAPTER 49.457.
REVENUE BONDS OF SURFACE WATER AUTHORITIES.  Sec. 457.001.  REVENUE
BONDS.  (a)  As used in this Section:  (1)  'Person' means any
individual, partnership, corporation, public utility, or other
private entity or any public agency.  (2)  'Public agency' means
any authority, district, city, town, or other political
subdivision, joint board, or other public agency created pursuant
to and operating under the laws of the State.
      (b)  An authority and all persons are authorized to contract
with each other in any manner and on terms as to which the parties
may agree with respect to any power, function, facilities, or
services which an authority is authorized by law to provide or
finance.  All public agencies are authorized to use and pledge any
available revenues for and in the payment of amounts due under the
contracts as an additional source or sources of payment of the
contracts or as the sole source or sources of payment of the
contracts and may covenant with respect to available revenues so as
to assure the availability of these revenues when required.  The
term 'revenues' as used in this subsection does not mean or include
revenues from ad valorem taxes levied and collected by a public
agency or the proceeds from the sale or refunding of bonds of a
public agency that are to be wholly or partially paid from ad
valorem taxes levied and collected by the public agency unless the
use or pledge of the tax revenues or bond proceeds are approved by
the qualified voters of the public agency at an election called for
the purpose of levying taxes or issuing or refunding bonds or both
for the purpose of using or pledging their revenues or proceeds
under contracts entered into under this subsection.
      (c)  Each public agency is authorized to fix, charge, and
collect fees, rates, charges, rentals, and other amounts for any
services or facilities provided by any utility operated by it or
provided pursuant to or in connection with any contract with an
authority from its inhabitants or from any users or beneficiaries
of any utility, services, or facilities, including specifically
water charges, sewage charges, solid waste disposal system fees and
charges, including garbage collection or handling fees, and other
fees or charges and to use and pledge same to make payments to an
authority required under the contract and may covenant to do so in
amounts sufficient to make all or any part of the payments to an
authority when due.  The payments shall, if the parties agree in
the contract, constitute an expense of operation of any facilities
or utility operated by the public agency.
      (d)  An authority, acting through its governing body, is
authorized to undertake and carry out any activities and to
acquire, purchase, construct, own, operate, maintain, repair,
improve, or extend and to lease or sell on terms and conditions,
including rentals or sale prices, on which the parties may agree
any and all works, improvements, facilities, plants, buildings,
structures, equipment, and appliances and all real and personal
property or any interest in real or personal property related
thereto that are incident to or necessary in carrying out or
performing any power or function of an authority under this
section.
      (e)  A public agency is authorized to sell any utility owned
by such public agency directly to an authority on such terms, and
at such price, as the public agency and the authority may agree
upon.  Notwithstanding any law or home rule charter provision to
the contrary, a public agency may sell any utility to an authority
without either an election or competitive bidding with respect
thereto.
      (f)  An authority is authorized to issue bonds with respect
to the acquisition, purchase, construction, maintenance, repair,
improvement, and extension of works, improvements, facilities,
plants, buildings, structures, appliances, and property for the
purpose of exercising any of its powers and functions under this
section in the manner provided by this Section or any other
applicable law.  An authority is further authorized to issue
revenue bonds to pay for the costs of feasibility studies for
proposed projects of an authority, including engineering, planning
and design, and environmental studies.  An authority is authorized
to include in any revenue bond issue the funds to operate and
maintain for a period not to exceed two years after completion of
the facilities acquired or constructed through the revenue bond
issue.  If any bonds issued by an authority recite that they are
secured by a pledge of payments under any contract, a copy of the
contract and the proceedings relating to the contract may be
submitted to the attorney general along with the bonds, and if the
attorney general finds that the bonds have been authorized and the
contract or contracts has or have been made and entered into in
accordance with law, then he shall approve the bonds and the
contract or contracts, and after the approval, the bonds and the
contract or contracts shall be incontestable in any court or other
forum for any reason and shall be valid and binding in accordance
with its or their terms and provisions for all purposes.  The
provisions of Chapter 618, Government Code, as amended, Chapter
1201, Government Code, as amended, Chapter 1204, Government Code,
as amended, Chapter 1207, Government Code, as amended, and Chapter
1371, Government Code, as amended, are applicable to bonds issued
by an authority.
      (g)  This Section is wholly sufficient authority within
itself for the issuance of the bonds, the execution of contracts,
and the performance of the other acts and procedures authorized in
this Section by an authority and all persons, including
specifically public agencies, without reference to any other
provisions of law or any restrictions or limitations contained
therein, except as in this Section specifically provided; and in
any case, to the extent of any conflict or inconsistency between
any provisions of this Section and any other provisions of law,
including any home-rule city charter, this Section shall prevail
and control; provided, however, that an authority and all persons,
including specifically public agencies, shall have the right to use
any other provisions of law not in conflict with the provisions of
this Section to the extent convenient or necessary to carry out any
power or authority, express or implied, granted by this Section.