1-1                                   AN ACT
 1-2     relating to the creation, administration, powers, duties,
 1-3     operation, and financing of the Coastal Plains Groundwater
 1-4     Conservation District and the authorization of the district to
 1-5     impose an ad valorem tax.
 1-6           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-7           SECTION 1.  CREATION.  (a)  A groundwater conservation
 1-8     district, to be known as the Coastal Plains Groundwater
 1-9     Conservation District, is created in Matagorda County, subject to
1-10     approval at a confirmation election under Section 10 of this Act.
1-11     The district is a governmental agency and a body politic and
1-12     corporate.
1-13           (b)  The district is created under and is essential to
1-14     accomplish the purposes of Section 59, Article XVI, Texas
1-15     Constitution.
1-16           SECTION 2.  DEFINITION.  In this Act, "district" means the
1-17     Coastal Plains Groundwater Conservation District.
1-18           SECTION 3.  BOUNDARIES.  The boundaries of the district are
1-19     coextensive with the boundaries of Matagorda County, Texas.
1-20           SECTION 4.  FINDING OF BENEFIT.  All of the land and other
1-21     property included within the boundaries of the district will be
1-22     benefitted by the works and projects that are to be accomplished by
1-23     the district under powers conferred by Section 59, Article XVI,
1-24     Texas Constitution.  The district is created to serve a public use
 2-1     and benefit.
 2-2           SECTION 5.  POWERS.  (a)  Except as otherwise provided by
 2-3     this Act, the district has all of the rights, powers, privileges,
 2-4     authority, functions, and duties provided by the general law of
 2-5     this state, including Chapter 36, Water Code, applicable to
 2-6     groundwater conservation districts created under Section 59,
 2-7     Article XVI, Texas Constitution.  This Act prevails over any
 2-8     provision of general law that is in conflict with or inconsistent
 2-9     with this Act.
2-10           (b)  Notwithstanding Subsection (a) of this section, the
2-11     following provisions prevail over a conflicting or inconsistent
2-12     provision of this Act:
2-13                 (1)  Sections 36.1071-36.108, Water Code;
2-14                 (2)  Sections 36.159-36.161, Water Code; and
2-15                 (3)  Subchapter I, Chapter 36, Water Code.
2-16           SECTION 6.  REGIONAL COOPERATION.  To provide for uniformity
2-17     across districts in addressing the need to achieve a common
2-18     approach to managing the underlying aquifer and to ensure that
2-19     administration of the district will be cost effective, the district
2-20     shall:
2-21                 (1)  attempt to coordinate meetings with adjacent
2-22     districts;
2-23                 (2)  encourage sharing of personnel and resources to
2-24     achieve administrative cost savings;
2-25                 (3)  study a common approach for collecting and sharing
2-26     appropriate data to be used in managing the aquifer;
2-27                 (4)  support cooperation in the investigation of
 3-1     aquifer contamination; and
 3-2                 (5)  include adjacent districts on mailing lists for
 3-3     district meeting announcements, newsletters, public meetings, and
 3-4     other scheduled events.
 3-5           SECTION 7.  BOARD OF DIRECTORS.  (a)  The district is
 3-6     governed by a board of seven directors.
 3-7           (b)  Temporary directors serve until initial directors are
 3-8     elected under Section 10 of this Act.
 3-9           (c)  Initial directors serve until permanent directors are
3-10     elected under Section 11 of this Act.
3-11           (d)  Permanent directors serve staggered four-year terms.
3-12           (e)  Each director must qualify to serve as director in the
3-13     manner provided by Section 36.055, Water Code.
3-14           (f)  A director serves until the director's successor has
3-15     qualified.
3-16           (g)  A vacancy in the office of director shall be filled by
3-17     appointment of the board until the next election for directors.  At
3-18     the next election for directors, a person shall be elected to fill
3-19     the position.  If the position is not scheduled to be filled at the
3-20     election, the person elected to fill the position shall serve only
3-21     for the remainder of the unexpired term.
3-22           SECTION 8.  TEMPORARY DIRECTORS.  (a)  The temporary board of
3-23     directors is composed of:
3-24                 Position No:                  Name
3-25                     (1)                   Haskell Simon;
3-26                     (2)                   Herff Cornelius;
3-27                     (3)                   Bruce Herlin;
 4-1                     (4)                   Wayne Ackerman;
 4-2                     (5)                   George Harrison;
 4-3                     (6)                   Billy Mann; and
 4-4                     (7)                   Deedy Huffman
 4-5           (b)  If a temporary director fails to qualify for office, the
 4-6     temporary directors who have qualified shall appoint a person to
 4-7     fill the vacancy.
 4-8           SECTION 9.  METHOD OF ELECTING DIRECTORS.  (a)  Three
 4-9     directors shall be elected by the qualified voters of the entire
4-10     district, and one director shall be elected from each county
4-11     commissioners precinct by the qualified voters of that precinct.
4-12     The directors elected from precincts 1-4 occupy positions 1-4,
4-13     respectively, on the board.  The at-large directors occupy
4-14     positions 5-7, respectively, on the board.
4-15           (b)  To be eligible to be a candidate for or to serve as a
4-16     director at large, a person must be a registered voter in the
4-17     district.  To be eligible to be a candidate for or to serve as a
4-18     director from a county commissioners precinct, a person must be a
4-19     registered voter of that precinct.
4-20           (c)  A person shall indicate the position on the board for
4-21     which the person is a candidate on the application for a place on
4-22     the ballot.
4-23           (d)  At the first election after the county commissioners
4-24     precincts are redrawn under Section 18, Article V, Texas
4-25     Constitution, each director in office on the effective date of the
4-26     change, or elected to a term of office beginning on or after the
4-27     effective date of the change, shall serve, unless otherwise removed
 5-1     as provided by law, in the position to which each was elected for
 5-2     the entire term to which elected, even though the change in
 5-3     boundaries places the director's residence outside the precinct
 5-4     from which the director was elected.
 5-5           SECTION 10.  CONFIRMATION AND INITIAL DIRECTORS' ELECTION.
 5-6     (a)  The temporary board of directors shall call and hold an
 5-7     election to confirm establishment of the district and to elect
 5-8     initial directors.
 5-9           (b)  At the confirmation and initial directors' election, the
5-10     temporary board of directors shall have placed on the ballot the
5-11     name of any candidate filing for an initial director's position and
5-12     blank spaces to write in the names of other persons.  A temporary
5-13     director who is eligible to be a candidate under Section 9 may file
5-14     for an initial director's position.
5-15           (c)  Section 41.001(a), Election Code, does not apply to a
5-16     confirmation and initial directors' election held as provided by
5-17     this section.
5-18           (d)  Except as provided by this section, a confirmation and
5-19     initial directors' election must be conducted as provided by
5-20     Sections 36.017(b)-(h), Water Code, and the Election Code.
5-21           (e)  If a majority of the votes cast at the election are
5-22     against the creation of the district, the temporary directors may
5-23     call and hold subsequent elections to confirm establishment of the
5-24     district.  A subsequent election may not be held earlier than the
5-25     first anniversary of the date on which the previous election was
5-26     held.
5-27           (f)  The initial directors for positions 1, 3, 5, and 7 shall
 6-1     serve until the first regular meeting of the board of directors
 6-2     following the first permanent directors' election under Section 11
 6-3     of this Act.  The initial directors for positions 2, 4, and 6 shall
 6-4     serve until the first regular meeting of the board of directors
 6-5     following the second permanent directors' election under Section 11
 6-6     of this Act.
 6-7           SECTION 11.  ELECTION OF PERMANENT DIRECTORS.  Beginning in
 6-8     the second year after the year in which the district is authorized
 6-9     to be created at a confirmation election and every subsequent two
6-10     years, the board of directors of the district shall call an
6-11     election to be held in the district on any uniform election date
6-12     provided by Section 41.001(a), Election Code, to elect the
6-13     appropriate number of directors to the board.  If the board changes
6-14     the uniform election date for directors' elections, the district
6-15     shall adjust the terms of office to conform to the new election
6-16     date.
6-17           SECTION 12.  DISTRICT REVENUES.  To pay the maintenance and
6-18     operating costs of the district and to pay any bonds issued by the
6-19     district, the district may:
6-20                 (1)  impose an ad valorem tax at a rate not to exceed
6-21     2-1/2 cents for each $100 of taxable value of property in the
6-22     district, subject to voter approval;
6-23                 (2)  assess fees for services or for water withdrawn
6-24     from wells; or
6-25                 (3)  solicit and accept grants from any public or
6-26     private source.
6-27           SECTION 13.  FINDINGS RELATED TO PROCEDURAL REQUIREMENTS.
 7-1     (a)  The proper and legal notice of the intention to introduce this
 7-2     Act, setting forth the general substance of this Act, has been
 7-3     published as provided by law, and the notice and a copy of this Act
 7-4     have been furnished to all persons, agencies, officials, or
 7-5     entities to which they are required to be furnished by the
 7-6     constitution and other laws of this state, including the governor,
 7-7     who has submitted the notice and Act to the Texas Natural Resource
 7-8     Conservation Commission.
 7-9           (b)  The Texas Natural Resource Conservation Commission has
7-10     filed its recommendations relating to this Act with the governor,
7-11     lieutenant governor, and speaker of the house of representatives
7-12     within the required time.
7-13           (c)  All requirements of the constitution and laws of this
7-14     state and the rules and procedures of the legislature with respect
7-15     to the notice, introduction, and passage of this Act are fulfilled
7-16     and accomplished.
7-17           SECTION 14.  EFFECTIVE DATE; EXPIRATION DATE.  (a)  This Act
7-18     takes effect immediately if it receives a vote of two-thirds of all
7-19     the members elected to each house, as provided by Section 39,
7-20     Article III, Texas Constitution.  If this Act does not receive the
7-21     vote necessary for immediate effect, this Act takes effect
7-22     September 1, 2001.
7-23           (b)  If the creation of the district is not confirmed by a
7-24     confirmation election held under Section 10 of this Act before the
7-25     fifth anniversary of the effective date of this Act, this Act
7-26     expires on that date.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 3640 was passed by the House on April
         27, 2001, by the following vote:  Yeas 143, Nays 0, 2 present, not
         voting.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 3640 was passed by the Senate on May
         17, 2001, by the following vote:  Yeas 30, Nays 0, 1 present, not
         voting.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor