By Lewis of Orange H.B. No. 2994 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the approval of certain contracts of special districts. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Section 49.108(e), Water Code, is amended to read 1-5 as follows: 1-6 (e) A district that is required under Section 49.181 to 1-7 obtain approval by the commission of the district's issuance of 1-8 bonds must obtain approval by the executive director before the 1-9 district enters into an obligation under this section to collect 1-10 tax for debt that exceeds three years. This subsection does not 1-11 apply to contract taxes that are levied to pay for a district's 1-12 share of bonds that have been issued by another district and 1-13 approved by the commission or bonds issued by a municipality. 1-14 SECTION 2. This Act takes effect immediately if it receives 1-15 a vote of two-thirds of all the members elected to each house, as 1-16 provided by Section 39, Article III, Texas Constitution. If this 1-17 Act does not receive the vote necessary for immediate effect, this 1-18 Act takes effect September 1, 2001.