By Hilbert                                            H.B. No. 1110
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the North Harris County Regional Water Authority.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1. Section 1.02, Chapter 1029, Acts of the 76th
 1-5     Legislature, Regular Session, 1999, is amended by adding
 1-6     Subdivision (12) to read as follows:
 1-7                 (12)  "Groundwater reduction plan" means a plan adopted
 1-8     or implemented to supply water, reduce reliance on groundwater,
 1-9     regulate groundwater pumping and water usage, or require and
1-10     allocate water usage among persons in order to comply with or
1-11     exceed the minimum requirements imposed by the subsidence district,
1-12     including any applicable groundwater reduction requirements.
1-13           SECTION 2. Section 1.03, Chapter 1029, Acts of the 76th
1-14     Legislature, Regular Session, 1999, is amended by adding Subsection
1-15     (e) to read as follows:
1-16           (e)  Notwithstanding Subsections (a) and (b) of this section,
1-17     the authority does not include the territory of a district
1-18     organized under Section 52, Article III, or Section 59, Article
1-19     XVI, Texas Constitution, located within the area described by
1-20     Subsections (a) and (b) of this section only if the territory meets
1-21     both of the following criteria:
1-22                 (1)  any portion of the territory of the district was
1-23     located outside the area described by Subsections (a) and (b) of
1-24     this section on the effective date of this Act; and
 2-1                 (2)  the district does not own, lease, or receive water
 2-2     for nonemergency purposes from a well located within the area
 2-3     described by Subsections (a) and (b) of this section.
 2-4           SECTION 3. Chapter 1029, Acts of the 76th Legislature,
 2-5     Regular Session, 1999, is amended by adding Section 1.045 to read
 2-6     as follows:
 2-7           Sec. 1.045.  INCLUSION OF CERTAIN TERRITORY. (a)  The board
 2-8     of directors of a district organized under Section 52, Article III,
 2-9     or Section 59, Article XVI, Texas Constitution, all or part of
2-10     which is not included within the boundaries of the authority under
2-11     Section 1.03 of this Act, may request by petition the inclusion of
2-12     its territory in the authority's territory.  The petition must:
2-13                 (1)  be filed with the authority; and
2-14                 (2)  include an accurate legal description of the
2-15     boundaries of the territory to be included.
2-16           (b)  If the authority has bonds, notes, or other obligations
2-17     outstanding, the board shall require the petitioning district to
2-18     assume its share of the outstanding bonds, notes, or other
2-19     obligations.
2-20           (c)  Before the 61st day after the date the authority
2-21     receives the petition, the board shall hold a hearing to consider
2-22     the petition.  The board may grant the petition and order the
2-23     territory described in the petition included in the authority's
2-24     territory if:
2-25                 (1)  it is feasible, practicable, and to the advantage
2-26     of the authority; and
2-27                 (2)  the authority's system and other improvements of
 3-1     the authority are sufficient or will be sufficient to supply the
 3-2     added territory without injuring the territory already included in
 3-3     the authority.
 3-4           (d)  If the board grants the petition, the board shall file
 3-5     for recording in the office of the county clerk of Harris County:
 3-6                 (1)  a copy of the order; and
 3-7                 (2)  a description of the authority's boundaries as
 3-8     they exist after the inclusion of the territory.
 3-9           (e)  The order including the territory is effective
3-10     immediately after the order and description are recorded.
3-11           (f)  A district that petitions before January 1, 2002, for
3-12     inclusion within the territory of the authority shall not be
3-13     required to pay any fee to the authority for admission or
3-14     reimbursement for activities the authority has undertaken since its
3-15     creation in the furtherance of its duties and functions.  A
3-16     district that petitions for inclusion within the territory of the
3-17     authority on or after January 1, 2002, shall be subject to such
3-18     fees and reimbursements as are in effect at the time of such
3-19     petition and are applicable to such petitioners.
3-20           SECTION 4. Section 4.01, Chapter 1029, Acts of the 76th
3-21     Legislature, Regular Session, 1999, is amended by amending
3-22     Subsection (b) and adding Subsections (e) through (h) to read as
3-23     follows:
3-24           (b)  The authority may:
3-25                 (1)  provide for the conservation, preservation,
3-26     protection, recharge, and prevention of waste of groundwater[, and
3-27     for the reduction of groundwater withdrawals,] in a manner
 4-1     consistent with the purposes of Section 59, Article XVI, Texas
 4-2     Constitution;
 4-3                 (2)  for the purposes of reducing groundwater
 4-4     withdrawals and subsidence, acquire or develop surface water and
 4-5     groundwater supplies from sources inside of or outside of the
 4-6     boundaries of the authority and may conserve, store, transport,
 4-7     treat, purify, distribute, sell, and deliver water to persons,
 4-8     corporations, municipal corporations, political subdivisions of the
 4-9     state, and others, inside of and outside of the boundaries of the
4-10     authority;
4-11                 (3)  enter into contracts with persons, including
4-12     political subdivisions of the state, on terms and conditions the
4-13     board considers desirable, fair, and advantageous for the
4-14     performance of its rights, powers, and authority under this Act;
4-15                 (4)  coordinate water services provided inside of,
4-16     outside of, or into the authority; [and]
4-17                 (5)  provide for the reduction of groundwater
4-18     withdrawals by the development, implementation, or enforcement of a
4-19     groundwater reduction plan as provided in Subsection (e) of this
4-20     section;
4-21                 (6)  identify sources of water other than groundwater
4-22     to be provided by the authority;
4-23                 (7)  specify the rates, terms, and conditions under
4-24     which sources of water other than groundwater will be provided by
4-25     the authority, which may be changed from time to time as deemed
4-26     necessary by the authority;
4-27                 (8)  specify the dates and extent to which each person
 5-1     or district within the authority's boundaries shall accept water
 5-2     from the authority; and
 5-3                 (9)  administer and enforce the provisions of the Act.
 5-4           (e)  The authority may develop, implement, participate in,
 5-5     and enforce a groundwater reduction plan.  A groundwater reduction
 5-6     plan developed, implemented, participated in, or enforced by the
 5-7     authority shall be binding on persons, districts, entities, and
 5-8     wells within the authority's boundaries.
 5-9           (f)  The authority may contract on such terms as are mutually
5-10     agreeable with any person or district located outside the authority
5-11     to allow the person or district to be included in the authority's
5-12     groundwater reduction plan.  Such contracts shall have the same
5-13     force and effect as if the person or district were located within
5-14     the authority, except that the person or district shall not have
5-15     the right to vote in elections for members of the board of the
5-16     authority.
5-17           (g)  The plan authorized by Subsection (e) of this section
5-18     may be amended from time to time at the discretion of the authority
5-19     subject to the requirements and procedures of the subsidence
5-20     district applicable to the amendment of groundwater reduction
5-21     plans.
5-22           (h)  The groundwater reduction plan developed by the
5-23     authority may exceed the minimum requirements imposed by the
5-24     subsidence district, including without limitation any applicable
5-25     groundwater reduction requirements.
5-26           SECTION 5.  Section 4.08, Chapter 1029, Acts of the 76th
5-27     Legislature, Regular Session, 1999, is amended to read as follows:
 6-1           Sec. 4.08.  EMINENT DOMAIN. (a)  The authority may exercise
 6-2     the power of eminent domain inside the boundaries of the authority
 6-3     [in the manner provided in Chapter 21, Property Code,] to acquire
 6-4     property of any kind to further the authorized purposes of the
 6-5     authority[.  The authority may not exercise the power of eminent
 6-6     domain outside of the boundaries of the authority].
 6-7           (b)(1)  The authority may exercise the power of eminent
 6-8     domain outside the boundaries of the authority to acquire any land,
 6-9     easements, or other property for purposes of pumping, treating,
6-10     storing, and transporting water.
6-11                 (2)  The authority may not use the power of eminent
6-12     domain granted by Subsection (b)(1) of this section for the
6-13     condemnation of land for the purpose of acquiring rights to
6-14     underground water or water or water rights.
6-15                 (3)  The authority may not use the power of eminent
6-16     domain granted by Subsection (b)(1) of this section to acquire
6-17     property of any kind that is:
6-18                       (A)  owned by a municipality with a population of
6-19     1.6 million or more or any instrumentality of a municipality with a
6-20     population of 1.6 million or more, including any local government
6-21     corporation created by the municipality; or
6-22                       (B)  located within the corporate boundaries of a
6-23     municipality with a population of 1.6 million or more for limited
6-24     or general purposes as of February 1, 2001.
6-25                 (4)  Notwithstanding Subsection (b)(3)(B) of this
6-26     section, the authority may use the power of eminent domain granted
6-27     by Subsection (b)(1) of this section to acquire property:
 7-1                       (A)  within the corporate boundaries of a
 7-2     municipality with a population of 1.6 million or more if:
 7-3                             (i)  the condemnation is to be used to
 7-4     provide facilities between two points that are within the
 7-5     authority; and
 7-6                             (ii)  the area within the municipality is
 7-7     bounded by a line parallel to and 150 feet north of the north side
 7-8     of Greens Bayou and by a line parallel to and 150 feet south of the
 7-9     south side of Greens Bayou;
7-10                       (B)  that is within the corporate  boundaries of
7-11     a municipality with a population of 1.6 million and annexation of
7-12     the territory by the municipality was completed between January 1,
7-13     1962, and January 1, 1964; or
7-14                       (C)  that is within an area of the corporate
7-15     boundaries of a municipality  with a population of 1.6 million or
7-16     more if the municipality grants permission for such condemnation.
7-17           (c)  The power of eminent domain granted by Subsections (a)
7-18     and (b) of this section shall be exercised in the manner provided
7-19     in Chapter 21, Property Code, except that the authority shall not
7-20     be required to give bond for appeal or bond for costs in any
7-21     condemnation suit, or other suit to which it is a party, and shall
7-22     not be required to deposit more than the amount of any award in any
7-23     suit.
7-24           (d)  When exercising the power of eminent domain granted by
7-25     Subsections (a) and (b) of this section, the authority may elect to
7-26     condemn either the fee simple or a lesser property interest.
7-27           (e)  The authority may not exercise the power of eminent
 8-1     domain granted by Subsections (a) and (b) of this section to
 8-2     acquire property of any kind in a county that:
 8-3                 (1)  has a population of more than 245,000;
 8-4                 (2)  borders the Gulf of Mexico; and
 8-5                 (3)  is adjacent to a county with a population of more
 8-6     than 1.6 million.
 8-7           SECTION 6.  Section 4.12(b), Chapter 1029, Acts of the 76th
 8-8     Legislature, Regular Session, 1999, is amended to read as follows:
 8-9           (b)  Disbursements of the authority must be signed by at
8-10     least two directors, except, notwithstanding any other law, the
8-11     board by resolution may allow the general manager, treasurer,
8-12     bookkeeper, or other employee of the authority to sign
8-13     disbursements.
8-14           SECTION 7.  Article 4, Chapter 1029, Acts of the 76th
8-15     Legislature, Regular Session, 1999, is amended by adding Section
8-16     4.14 to read as follows:
8-17           Sec. 4.14.  INCLUDED DISTRICTS. A district inside of the
8-18     authority's boundaries retains its separate identity, powers, and
8-19     duties, except that the district is subject to the powers and
8-20     duties of the authority, including those powers and duties of the
8-21     authority necessary to develop, implement, and enforce a
8-22     groundwater reduction plan.
8-23           SECTION 8.  Section 1.04, Chapter 1029, Acts of the 76th
8-24     Legislature, Regular Session, 1999, is repealed.
8-25           SECTION 9.  This Act takes effect immediately if it receives
8-26     a vote of two-thirds of all the members elected to each house, as
8-27     provided by Section 39, Article III, Texas Constitution.  If this
 9-1     Act does not receive the vote necessary for immediate effect, this
 9-2     Act takes effect September 1, 2001.