78R5090 QS-F

By:  Christian                                                    H.B. No. 1419


A BILL TO BE ENTITLED
AN ACT
relating to the creation, administration, powers, duties, operations, and financing of the Southeast Texas Groundwater Conservation District. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. DEFINITIONS. In this Act: (1) "Board" means the board of directors of the district. (2) "Commission" means the Texas Commission on Environmental Quality. (3) "District" means the Southeast Texas Groundwater Conservation District. SECTION 2. CREATION. (a) A groundwater conservation district, to be known as the Southeast Texas Groundwater Conservation District, is created in Jasper and Newton counties subject to approval at a confirmation election held under Section 14 of this Act. (b) The district is a governmental agency and political subdivision of this state. SECTION 3. AUTHORITY FOR CREATION. The district is created under and is essential to accomplish the purposes of Section 59, Article XVI, Texas Constitution. SECTION 4. FINDING OF BENEFIT AND PUBLIC PURPOSE. (a) The district is created to serve a public use and benefit. (b) All of the land and other property included within the boundaries of the district will be benefited by the works and projects that are to be accomplished by the district under powers conferred by Section 59, Article XVI, Texas Constitution. SECTION 5. BOUNDARIES. The boundaries of the district are coextensive with the boundaries of Jasper and Newton counties. SECTION 6. GENERAL POWERS. (a) Except as provided by this Act, the district has all of the rights, powers, privileges, authority, functions, and duties provided by the general law of this state, including Chapter 36, Water Code, applicable to groundwater conservation districts created under Section 59, Article XVI, Texas Constitution. (b) Chapter 49, Water Code, does not apply to the district. SECTION 7. ADDITIONAL POWERS. (a) The district by rule may require a person to obtain a permit from the district for the transfer of groundwater out of the district consistent with Section 36.122, Water Code, and may regulate the terms on which a permit holder may conduct such a transfer. (b) The board by rule may assess a reasonable production fee on each well for which a permit is issued by the district and that is not exempt from regulation by the district. The fee must be based on the amount of water to be withdrawn from the well and may not exceed one cent per thousand gallons for groundwater withdrawn for any purpose. SECTION 8. LIMITATIONS ON POWERS; EXEMPTIONS. (a) The district may not: (1) require a permit for a well incapable of producing more than 25,000 gallons of groundwater a day; (2) impose a tax; (3) exercise the power of eminent domain; (4) issue and sell any bonds or notes in the name of the district that pledge revenue derived from taxation; or (5) purchase groundwater rights unless the purchased rights are acquired for conservation purposes and are permanently held in trust not to be produced. (b) A well meeting the criteria established under Section 36.117, Water Code, including a well used for dewatering and monitoring in the production of coal and lignite, is exempt from permit requirements, regulations, and fees imposed by the district. SECTION 9. APPLICABILITY OF OTHER LAW. This Act prevails over any provision of general law that is in conflict or inconsistent with this Act. SECTION 10. BOARD OF DIRECTORS. (a) The district is governed by a board of seven directors. Directors are appointed as provided by Section 12 of this Act. When a county is added to the district, the board may change the number of directors so that an equal number of directors is appointed from each county and one director is appointed jointly by all the counties. (b) Except as provided by Section 11 of this Act, directors serve staggered three-year terms. (c) Each director must qualify to serve as a director in the manner provided by Section 36.055, Water Code. (d) Directors may serve consecutive terms. (e) If there is a vacancy on the board, the governing body of the county or counties that appointed the director who vacated the office shall appoint a director to serve the remainder of the term. The board shall adopt rules or bylaws to establish when a vacancy has occurred. (f) Directors are not entitled to receive compensation for serving as a director but may be reimbursed for actual, reasonable expenses incurred in the discharge of official duties. (g) A majority vote of a quorum is required for board action. If there is a tie vote, the proposed action fails. SECTION 11. INITIAL DIRECTORS. (a) The terms of two initial directors expire on December 31, 2006. The terms of two initial directors expire on December 31, 2005. The terms of the three remaining initial directors, including the director appointed jointly by the counties, expire on December 31, 2004. (b) Subject to Subsection (a) of this section, the three initial directors from each county shall draw lots to determine their terms. SECTION 12. APPOINTMENT OF DIRECTORS. (a) The Jasper County Commissioners Court shall appoint three directors as follows: (1) one to represent the rural water and utilities and small municipal water supply interests; (2) one to represent the large industrial groundwater supply interests of the county; and (3) one to represent large municipal utilities. (b) The Newton County Commissioners Court shall appoint three directors as follows: (1) one to represent the rural water and utilities and small municipal water supply interests; (2) one to represent the forestry or agricultural groundwater supply interests of the county; and (3) one to represent municipalities. (c) The Jasper County Commissioners Court and the Newton County Commissioners Court jointly shall appoint one director to represent the forestry, agricultural, or landowner groundwater interests of both counties. The jointly appointed director shall serve as the presiding officer of the board. (d) In each year following the appointment of the initial directors, the appropriate number of directors shall be appointed. (e) A person is not disqualified from serving as a director because that person is an employee, manager, director, or officer of a groundwater producer that is or may be regulated by the district. (f) If the creation of the district is confirmed at a confirmation election under Section 14 of this Act in only one of the counties: (1) the directors appointed from the county in which the creation of the district is not confirmed and the director appointed jointly by the two commissioners courts are not eligible to serve as directors of the district; and (2) the commissioners court in the county in which the creation of the district is confirmed shall appoint two additional directors, at least one of whom must represent the forestry, agricultural, or landowner groundwater interests of the county. SECTION 13. ORGANIZATIONAL MEETING. As soon as practicable after all the initial directors are appointed as provided by Section 12 of this Act, a majority of the directors shall convene the organizational meeting of the district and take office at that time. The meeting must be convened at a location in the district agreeable to a majority of the directors. If no location can be agreed upon, the organizational meeting shall be held at the Jasper County Courthouse. SECTION 14. CONFIRMATION ELECTION. (a) The initial board of directors shall call and hold an election on the same date in each county within the district to confirm the creation of the district. (b) Except as provided by this Act, a confirmation election must be conducted as provided by Sections 36.017, 36.018, and 36.019, Water Code, and Section 41.001, Election Code. (c) If the majority of qualified voters in a county who vote in the election vote to confirm the creation of the district, that county is included in the district. If the majority of qualified voters in a county who vote in the election vote not to confirm the creation of the district, that county is excluded from the district. (d) If the creation of the district is not confirmed by an election held under this section before the second anniversary of the effective date of this Act, the district is dissolved and this Act expires on that date. SECTION 15. ADDITION OF OTHER COUNTIES TO DISTRICT. (a) The commissioners court of an adjacent county that seeks to join the district may petition the district by resolution. (b) If the board finds after a hearing on the resolution that the addition of the county would benefit the district and the county to be added, the board by resolution may approve the addition of the county to the district. (c) The addition of a county to the district under this section is not final until ratified by a majority vote of the qualified voters in the county to be added in an election held for that purpose. (d) The ballots for the election shall be printed to provide for voting for or against the proposition: "The inclusion of _______ County in the Southeast Texas Groundwater Conservation District." (e) The notice of the election, the manner and the time of giving notice, the manner of holding the election, and the qualifications of the voters are governed by the Election Code. SECTION 16. LANDOWNERS' RIGHTS. The rights of landowners and their lessees and assigns in groundwater within the district are recognized. Nothing in this Act shall be construed to deprive or divest the owners or their lessees or assigns of their rights, subject to district rules. SECTION 17. FINDINGS RELATED TO PROCEDURAL REQUIREMENTS. (a) The legal notice of the intention to introduce this Act, setting forth the general substance of this Act, has been published as provided by law, and the notice and a copy of this Act have been furnished to all persons, agencies, officials, or entities to which they are required to be furnished under Section 59, Article XVI, Texas Constitution, and Chapter 313, Government Code. (b) The governor has submitted the notice and Act to the commission. (c) The commission has filed its recommendations relating to this Act with the governor, lieutenant governor, and speaker of the house of representatives within the required time. (d) All requirements of the constitution and laws of this state and the rules and procedures of the legislature with respect to the notice, introduction, and passage of this Act are fulfilled and accomplished. SECTION 18. EFFECTIVE DATE. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2003.