Subject to a confirmation election, the bill creates East Montgomery County MUD No. 4 (District) in Montgomery County with the powers and duties of Texas Water Code Chapters 49, 50, and 54 related to the general law for municipal utility districts.

1) Population - The proposed district is entirely within Montgomery County. The complexity of the proposed district boundaries does not allow staff to make an estimate of current or future population for the proposed district. The population projections recently approved for use in the 2006 Regional Water Plans show an increase in the Montgomery County population from 293,768 in the year 2000 to 542,051 in the year 2020. Staff are unable to predict how much, if any, of this growth will come from the proposed district.

2) Location & Size - The District is located in Montgomery County and contains approximately 610 acres.

3) Powers - The District has the general powers and duties granted to municipal utility districts, under Water Code Chapters 49, 50, and 54.

4) District Finances - Same as general law districts under Texas Water Code Chapter 54, including the issuance of bonds, levying a tax, and setting fees.

5) Board of Directors - Same as general law. Upon petition by a land owner in the District, the Commission will appoint five temporary directors to serve until five initial directors are elected. On the first Saturday in May of the first even-numbered year after confirmation election, permanent directors are elected at large, two directors for two-years terms, and three for four-year terms. The five directors will serve staggered four-year terms.

6) Eminent Domain - Same as general law districts, the District will have the rights and powers of eminent domain within five miles of its boundaries. Property may be acquired for sewer, water, storm drainage, and flood drainage only. The District may condemn either fee simple title or an easement only.

7) Ability to Tax - As with general law districts, upon voter approval, the District may levy ad valorem debt service and operation and maintenance taxes.

8) Overlapping Services - None known.

9) Ability to Exclude Property - Same as general law districts.

10) Adequacy of Boundary Description - A metes and bounds description was not included; therefore, staff was unable to verify boundary closure.

11) Comments on Powers /Duties Different from Similar Types of Districts - If the District has not been confirmed before September 1, 2008, the Act expires on that date.

12) Texas Commission on Environmental Quality (TCEQ) Supervision - As with general law districts, the TCEQ will have general supervision authority, including bond review authority and review of financial reports.

13) State Water Plan Objectives - In the year 2000, groundwater accounted for 99 percent of Montgomery County’s total water use. Municipal water use accounted for 95 percent of the total water use and 96 percent of the county’s groundwater use. The next highest water-use categories mining, livestock raising, and irrigated agriculture; each with approximately 1% of the county’s total water use or less. Board staff finds that creation of the proposed District is not in conflict with the State Water Plan objectives of promoting the efficient use of local groundwater resources and the implementation of practices and programs to effectively manage local groundwater resources.