Subject to a confirmation election, the Bill creates Johnson County Special Utility District (SUD) in Johnson, Hill, Ellis, and Tarrant counties with the powers and duties of Water Code Chapters 49 and 65 related to the general law for special utility districts.

1) Population - The proposed district is partially within eastern Johnson County, western Ellis County, northern Hill County and southern Tarrant County. Due to the complexity of the proposed boundaries and the exclusion of numerous cities and utilities, staff are not able to make an estimate of current or future population for the District in the short review period. Johnson County has a 2000 population of 126,811 and a projected 2020 population of 180,509. Ellis County has a 2000 population of 111,360 and a projected 2020 population of 188,280. Hill County has a 2000 population of 32,321 and a projected 2020 population of 34,974. Tarrant County has a 2000 population of 1,446,219 and a projected 2020 population of 1,956,163. Staff are unable to predict how much, if any, of this growth will come from the District.

2) Location & Size - District boundaries are located within Johnson, Hill, Ellis and Tarrant counties.

3) Powers - As with general law SUDs, the District would have the power to provide water, wastewater drainage, irrigation and fire fighting services. However, the Bill specifically limits, for a period of six years, (1) the District’s power to provide water service to territory located within the boundaries of the District or as authorized by CCN No. 10081, and (2) the District may not provide wastewater service, solid waste service, fire-fighting service, or stormwater, flood control and drainage services and may not convert to or otherwise become a municipal utility district, absent the express written consent of the any city with ETJ overlap.

4) District Finances - Consistent with general law for special utility districts. The District may issue revenue bonds and set fees and rates.

5) Board of Directors - The District is to be governed by a board of not less than 5 and not more than 11 elected directors. The Bill appoints nine temporary directors named in the Bill. The Bill allows for the temporary directors to determine the initial term of each initial director. The initial directors serve until permanent directors are elected. Although the Bill does not specify a term for the directors, general law for special utility districts may not exceed three years.

6) Eminent Domain - Same as general law districts, the District will have the rights and powers of eminent domain. The District may condemn either fee simple title or a lesser property interest.

7) Ability to Tax - None, which is consistent with general law for special utility districts

8) Overlapping Services - The District’s boundaries include those of the cities of Godley, Cleburne, Rio Vista, Ft. Worth, Burleson, Joshua, Mansfield, Alvarado, and Keene; Parker WSC, North Whispering Meadows Water, Chuck Bell Water Systems, Cahill County Water System, Texas Water Services, H2M Water System Inc., Bethesda WSC, and Crest Water Company which currently hold Certificates of Convenience and Necessity.

9) Adequacy of Boundary Description - The boundary follows known land marks and survey lines; however, a closure computation could not be performed.

10) Comments on Powers /Duties Different from Similar Types of Districts - The Bill specifically limits, for a period of six years, (1) the District’s power to provide water service to territory located within the boundaries of the District or as authorized by CCN No. 10081, and (2) the District may not provide wastewater service, solid waste service, fire-fighting service, or stormwater, flood control and drainage services and may not convert to or otherwise become a municipal utility district, absent the express written consent of the any city with ETJ overlap.

11) TCEQ Supervision - As with general law districts, the TCEQ will have general supervision authority, including bond review authority and review of financial reports.

12) State Water Plan Objectives - In the four county area, groundwater accounted for only 18 percent of the total water used in the year 2000. Although a low percentage of the total water use, Municipal water use accounted for 91 percent of the groundwater used. Manufacturing and livestock raising utilized the majority of the remaining 9 percent of groundwater.

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.