SRC-MKV H.B. 1110 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 1110
By: Hilbert (Lindsay)
Natural Resources
4/24/2001
Engrossed


DIGEST AND PURPOSE 

Currently, the North Harris County Regional Water Authority (authority)
provides groundwater service to more than 400,000 people living outside the
boundaries of the city of Houston. The authority was created by the 76th
Legislature. Due to challenges regarding water quality and quantity and
ground subsidence in the Harris and Galveston county areas, the authority
is implementing procedures to convert from groundwater usage to surface
water usage.  H.B. 1110 authorizes the board of directors of a district to
petition the authority for inclusion in the authority.  


RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 1.02, Chapter 1029, Acts of the 76th
Legislature, Regular Session, 1999, by adding Subdivision (12) to define
"groundwater reduction plan." 

SECTION 2.  Amends Section 1.03, Chapter 1029, Acts of the 76th
Legislature, Regular Session, 1999, by adding Subsection (e) to provide
that, notwithstanding Subsections (a) and (b) of this section, the North
Harris County Regional Water Authority (authority) does not include the
territory of a municipal utility district (district) organized under
Section 52, Article III, or Section 59, Article XVI, Texas Constitution,
located within the area described by Subsections (a) and (b) of this
section only if the territory meets certain criteria. 

SECTION 3.  Amends Chapter 1029, Acts of the 76th Legislature, Regular
Session, 1999, by adding Section 1.045, as follows: 

Sec. 1.045.  INCLUSION OF CERTAIN TERRITORY.  (a) Authorizes the board of
directors of a district organized under Section 52, Article III, or Section
59, Article XVI, Texas Constitution, all or part of which is not included
within the boundaries of the authority under Section 1.03 of this Act, to
request by petition the inclusion of its territory in the authority's
territory.  Requires the petition to meet certain requirements. 

(b) Requires the board, if the board has bonds, notes, or other obligations
outstanding, to require the petitioning district to assume its share of the
outstanding bonds, notes, or other obligations. 

(c) Requires the board, before the 61st day after the date the authority
receives the petition, to hold a hearing to consider the petition.
Authorizes the board to grant the petition and order the territory
described in the petition included in the authority's territory under
certain conditions. 

 (d) Requires the board, if the board grants the petition, to file for
recording in the office of the county clerk of Harris County a copy of the
order and a description of the authority's boundaries as they exist after
the inclusion of the territory. 

(e) Provides that the order including the territory is effective
immediately after the order and description are recorded. 

(f) Prohibits a district that petitions before January 1, 2002, for
inclusion within the territory of the authority from being required to pay
any fee to the authority for admission or reimbursement for activities the
authority has undertaken since its creation in the furtherance of its
duties and functions.  Requires a district that petitions for inclusion
within the territory of the authority on or after January 1, 2002, to be
subject to such fees and reimbursements as are in effect at the time of
such petition and are applicable to such petitioners.   

SECTION 4.  Amends Section 4.01. Chapter 1029, Acts of the 76th
Legislature, Regular Session, 1999, by amending Subsection (b) and adding
Subsections (e) through (h), as follows: 

(b)  Adds language to authorize the authority to provide for the reduction
of groundwater withdrawals by the development, implementation, or
enforcement of a groundwater reduction plan as provided by Subsection (e)
of this section; to specify the rates, terms, and conditions under which
sources of water other than groundwater will be provided by the authority,
which may be changed from time to time as deemed necessary by the
authority; and to specify the dates and extent to which each person or
district within the authority's boundaries is required to accept water from
the authority. 

(e) Authorizes the authority to develop, implement, participate in, and
enforce a groundwater reduction plan.  Requires a groundwater reduction
plan developed, implemented, participated in, or enforced by the authority
to be binding on persons, districts, entities, and wells within the
authority's boundaries. 

(f) Authorizes the authority to contract on such terms as are mutually
agreeable with any person or district located outside the authority to
allow the person or district to be included in the authority's groundwater
reduction plan.  Requires such contracts to have the same force and effect
as if the person or district were located within the authority, except that
the person or district is prohibited from having the right to vote in
elections for members of the board of the authority. 

(g) Authorizes the plan authorized by Subsection (e) of this section to be
amended from time to time at the discretion of the authority subject to the
requirements and procedures of the subsidence district applicable to the
amendment of groundwater reduction plans. 

(h) Authorizes the groundwater reduction plan developed by the authority to
exceed the minimum requirements imposed by the subsidence district,
including without limitation any applicable groundwater reduction
requirements. 

SECTION 5.  Amends Section 4.08, Chapter 1029, Acts of the 76th
Legislature, Regular Session, 1999, as follows: 

(a) Authorizes the authority to exercise the power of eminent domain inside
the boundaries of the authority, rather than in the manner provided in
Chapter 21 (Eminent Domain), Property Code, to acquire property of any kind
to further the authorized purposes of the authority. Deletes language
prohibiting the authority from exercising the power of eminent domain
outside of the boundaries of the authority. 

 (b)(1) Authorizes the authority to exercise the power of eminent domain
outside the boundaries of the authority to acquire any land, easements, or
other property for purposes of pumping, treating, storing, and transporting
water. 

(2) Prohibits the authority from using the power of eminent domain granted
by Subsection (b)(1) of this section for the condemnation of land for the
purpose of acquiring rights to underground water or water or water rights. 

(3) Prohibits the authority from using the power of eminent domain granted
by Subsection (b)(1) of this section to acquire property of any kind that
meets certain requirements. 

(4) Authorizes the authority, notwithstanding Subsection (b)(3)(B) of this
section, to use the power of eminent domain granted by Subsection (b)(1) of
this section to acquire certain property. 

(c) Requires the power of eminent domain granted by Subsections (a) and (b)
of this section to be exercised in the manner provided in Chapter 21,
Property Code, except that the authority is prohibited from being required
to give bond for appeal or bond for costs in any condemnation suit, or
other suit to which it is a party, and is prohibited from being required to
deposit more than the amount of any award in any suit. 

(d) Authorizes the authority, when exercising the power of eminent domain
granted by Subsections (a) and (b) of this section, to elect to condemn
either the fee simple or a lesser property interest. 

(e) Prohibits the authority from exercising the power of eminent domain
granted by Subsections (a) and (b) of this section to acquire property of
any kind in certain counties. 

SECTION 6. Amends Section 4.12(b), Chapter 1029, Acts of the 76th
Legislature, Regular Session, 1999, to add the phrase "notwithstanding any
other law." 

SECTION 7.  Amends Article 4, Chapter 1029, Acts of the 76ht Legislature,
Regular Session, 1999, by adding Section 4.14, as follows: 

Sec. 4.14.  INCLUDED DISTRICTS.  Provides that a district inside of the
authority's boundaries retains its separate identity, powers, and duties,
except that the district is subject to the powers and duties of the
authority, including those powers and duties of the authority necessary to
develop, implement, and enforce a groundwater reduction plan. 

SECTION 8.  Repealer: Section 1.04 (Exclusion of Certain Territory),
Chapter 1029, Acts of the 76th Legislature, Regular Session, 1999. 

SECTION 9.  Effective date: upon passage or September 1, 2001.