By:  Lindsay                                           S.B. No. 503
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                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 1.03, Chapter 1029, Acts of the 76th
 1-5     Legislature, Regular Session, 1999, is amended by adding Subsection
 1-6     (e) to read as follows:
 1-7           (e)  Notwithstanding Subsections (a) and (b), the authority
 1-8     does not include the territory of a district organized under
 1-9     Section 52, Article III, or Section 59, Article XVI, Texas
1-10     Constitution, located within the area described by Subsections (a)
1-11     and (b) if:
1-12           (1)  any portion of the territory of the district was located
1-13     outside the area described by Subsections (a) and (b) on the
1-14     effective date of this Act; and,
1-15           (2)  the district does not own, lease or receive water from a
1-16     well located within the area described by Subsections (a) and (b).
1-17           SECTION 2.  Chapter 1029, Acts of the 76th Legislature,
1-18     Regular Session, 1999, is amended by adding Section 1.045 to read
1-19     as follows:
1-20           Sec. 1.045  INCLUSION OF CERTAIN TERRITORY.  (a)  The board
1-21     of directors of a district organized under Section 52, Article III,
1-22     or Section 59, Article XVI, Texas Constitution, all or part of
1-23     which is not included within the boundaries of the authority under
 2-1     Section 1.03 of the Act may request by petition the inclusion of
 2-2     its territory in the authority's territory.  The petition must:
 2-3                 (1)  be filed with the authority; and
 2-4                 (2)  include an accurate legal description of the
 2-5     boundaries of the territory to be included.
 2-6           (b)  If the authority has bonds, notes, or other obligations
 2-7     outstanding, the board shall require the petitioning district to
 2-8     assume its share of the outstanding bonds, notes, or other
 2-9     obligations.
2-10           (c)  Before the 61st day after the date the authority
2-11     receives the petition, the board shall hold a hearing to consider
2-12     the petition.  The board may grant the petition and order the
2-13     territory described in the petition included in the authority's
2-14     territory if:
2-15           (1)  it is feasible, practicable, and to the advantage of the
2-16     authority; and
2-17           (2)  the authority's system and other improvements of the
2-18     authority are sufficient or will be sufficient to supply the added
2-19     territory without injuring the territory already included in the
2-20     authority.
2-21           (d)  If the board grants the petition, the board shall file
2-22     for recording in the office of the county Clerk of Harris County:
2-23           (1)  a copy of the order; and
2-24           (2)  a description of the authority's boundaries as they
2-25     exist after the inclusion of the territory.
2-26           (e)  The order including the territory is effective
 3-1     immediately after the order and description are recorded.
 3-2           (f)  A district that petitions before January 1, 2002, for
 3-3     inclusion within the territory of the authority shall not be
 3-4     required to pay any fee to the authority for admission or
 3-5     reimbursement for activities the authority has undertaken since its
 3-6     creation in the furtherance of its duties and functions.  A
 3-7     district that petitions for inclusion within the territory of the
 3-8     authority on or after January 1, 2002, shall be subject to such
 3-9     fees and reimbursements as are in effect at the time of such
3-10     petition and are applicable to such petitioners.
3-11           SECTION 3.  Section 4.01, Chapter 1029, Acts of the 76th
3-12     Legislature, Regular Session, 1999, is amended by adding Subsection
3-13     (e) to read as follows:
3-14           (e)  The authority shall develop and implement groundwater
3-15     reduction and water supply plans to reduce reliance on groundwater.
3-16     The plans shall:
3-17           (1)  specify the measures to be taken to reduce groundwater
3-18     withdrawals;
3-19           (2)  identify alternative sources of water to be provided to
3-20     those affected;
3-21           (3)  the rates, terms and conditions under which such water
3-22     will be provided, which may be changed from time to time as deemed
3-23     necessary by the authority;
3-24           (4)  specify the dates and extent to which each person or
3-25     district within the authority's boundaries shall reduce or cease
3-26     reliance on groundwater and accept water from the alternative
 4-1     source;
 4-2           (5)  include such other measures as are consistent with the
 4-3     powers and duties of the authority;
 4-4           (6)  be binding on persons, entities and wells within the
 4-5     authority's boundaries; and
 4-6           (7)  be in effect no later than December 31, 2002.
 4-7           (f)  The authority may contract on such terms as are mutually
 4-8     agreeable with any person or district located outside the authority
 4-9     to allow the person or district to be included in the authority's
4-10     groundwater reduction and water supply plan.  Such contracts shall
4-11     have the same force and effect as if the person or district were
4-12     located within the authority.
4-13           (g)  The plan required by subsection (e) may be amended from
4-14     time to time at the discretion of the authority.
4-15           SECTION 4.  Section 4.08, Chapter 1029, Acts of the 76th
4-16     Legislature, Regular Session, 1999, is amended to read as follows:
4-17           Sec. 4.08.  EMINENT DOMAIN.  The authority may exercise the
4-18     power of eminent domain in the manner provided in Chapter 21,
4-19     Property Code, to acquire property of any kind to further
4-20     authorized purposes of the authority.  The authority may [not]
4-21     exercise the power of eminent domain inside or outside [of] the
4-22     boundaries of the authority.
4-23           SECTION 5.  Subsection 4.12(b), Chapter 1029, Acts of the
4-24     76th Legislature, Regular Session, 1999, is amended to read as
4-25     follows:
4-26           (b)  Disbursements of the authority must be signed by at
 5-1     least two directors, except, notwithstanding any other law, the
 5-2     board by resolution may allow the general manager, treasurer,
 5-3     bookkeeper, or other employee of the authority to sign
 5-4     disbursements.
 5-5           SECTION 6.  Article 4, Chapter 1029, Acts of the 76th
 5-6     Legislature, Regular Session, 1999, is amended by adding Section
 5-7     4.14 to read as follows:
 5-8           Sec. 4.14.  INCLUDED DISTRICTS.  A district inside of the
 5-9     authority's boundaries retains its separate identity, powers, and
5-10     duties, except that the district is subject to the powers and
5-11     duties of the authority, including the authority's power and duty
5-12     to develop and implement groundwater reduction and water supply
5-13     plans as provided by Section 4.01(e) of this Act.
5-14           SECTION 7.  Section 1.04, Chapter 1029, Acts of the 76th
5-15     Legislature, Regular Session, 1999, is repealed.
5-16           SECTION 8.  This Act takes effect immediately if it receives
5-17     a vote of two-thirds of all the members elected to each house, as
5-18     provided by Section 39, Article II, Texas Constitution.  If this
5-19     Act does not receive the vote necessary for immediate effect, this
5-20     Act takes effect September 1, 2001.
5-21           SECTION 9.  EMERGENCY.  The importance of this legislation
5-22     and the crowded condition of the calendars in both houses create an
5-23     emergency and an imperative public necessity that the
5-24     constitutional rule requiring bills to be read on three several
5-25     days in each house be suspended, and this rule is hereby suspended,
5-26     and that this Act take effect and be in force and effect after its
 6-1     passage, and it is so enacted.