Amend CSHB 2217 (Senate committee printing) as follows:                      
	(1)  Insert the following appropriately numbered sections 
and renumber the subsequent sections of the bill accordingly:
	SECTION ____.  Subchapter D, Chapter 11, Natural Resources 
Code, is amended by adding Section 11.087 to read as follows:
	Sec. 11.087.  PROHIBITION ON EXPORTATION OF GROUNDWATER 
PRODUCED FROM STATE-OWNED LAND.  A person may not export from this 
state to a foreign country groundwater produced from state-owned 
land.
	SECTION ____.  Subchapter D, Chapter 51, Natural Resources 
Code, is amended by adding Section 51.132 to read as follows:
	Sec. 51.132.  LEASE OF RIGHT TO PRODUCE GROUNDWATER.  
(a)  The commissioner may lease the right to produce groundwater 
from unsold public school land only as provided by this section.  
The commissioner shall consult with the board prior to approving a 
groundwater lease subject to this chapter. The other provisions of 
this subchapter apply to leases entered into under this section to 
the extent those provisions do not conflict with this section.
	(b)  The board shall adopt clear and detailed rules governing 
the lease of the right to produce groundwater from unsold public 
school land.  The rules must require:
		(1)  each regional water planning group and groundwater 
conservation district in whose jurisdiction the land is located to 
be notified when the board receives a proposal to lease the right to 
produce groundwater from the land;
		(2)  the lease contract to be negotiated by the board;                 
		(3)  the lessee to comply with:                                        
			(A)  the rules and permitting requirements of any 
groundwater conservation district in which the land is located; and
			(B)  all state and local laws and rules;                              
		(4)  the right to produce groundwater from land to be 
leased separately from oil and gas rights; and
		(5)  a lease proposal submitted by a political 
subdivision of this state to include a letter of interest, approved 
by the governing body of the political subdivision, that includes:
			(A)  an estimated total daily and annual amount of 
water to be produced under the lease;
			(B)  any requirements of the political 
subdivision regarding water quality;
			(C)  a time frame for delivery of the water;                          
			(D)  an estimated delivered price for the water; 
and                
			(E)  a statement that the political subdivision 
commits to act in compliance with all state and local laws and 
rules.
	(c)  Before filing notice of the proposed rules with the 
secretary of state for publication in the Texas Register, the board 
must notify the attorney general, Parks and Wildlife Department, 
Texas Commission on Environmental Quality, Texas Water Development 
Board, and Department of Agriculture and each member of the 
legislature that notice of the proposed rules will be published.
	(d)  The commissioner may not enter into a lease to produce 
groundwater from unsold public school land prior to adoption of 
rules as required by this subsection.
	SECTION ____.  Subsections (c) and (e), Section 16.053, 
Water Code, are amended to read as follows:
	(e)  Each regional water planning group shall submit to the 
board a regional water plan that:
		(1)  is consistent with the guidance principles for the 
state water plan adopted by the board under Section 16.051(d);
		(2)  provides information based on data provided or 
approved by the board in a format consistent with the guidelines 
provided by the board under Subsection (d);
		(3)  identifies:                                                              
			(A)  each source of water supply in the regional 
water planning area in accordance with the guidelines provided by 
the board under Subsections (d) and (f);
			(B)  factors specific to each source of water 
supply to be considered in determining whether to initiate a 
drought response; and
			(C)  actions to be taken as part of the response;                            
		(4)  has specific provisions for water management 
strategies to be used during a drought of record;
		(5)  includes but is not limited to consideration of 
the following:         
			(A)  any existing water or drought planning 
efforts addressing all or a portion of the region;
			(B)  certified groundwater conservation district 
management plans and other plans submitted under Section 16.054;
			(C)  all potentially feasible water management 
strategies, including but not limited to improved conservation, 
reuse, and management of existing water supplies, acquisition of 
available existing water supplies, and development of new water 
supplies, including, if appropriate, groundwater produced from 
land dedicated to the permanent school fund or permanent university 
fund;
			(D)  protection of existing water rights in the 
region;                    
			(E)  opportunities for and the benefits of 
developing regional water supply facilities or providing regional 
management of water supply facilities;
			(F)  appropriate provision for environmental 
water needs and for the effect of upstream development on the bays, 
estuaries, and arms of the Gulf of Mexico and the effect of plans on 
navigation;
			(G)  provisions in Section 11.085(k)(1) if 
interbasin transfers are contemplated;
			(H)  voluntary transfer of water within the region 
using, but not limited to, regional water banks, sales, leases, 
options, subordination agreements, and financing agreements; and
			(I)  emergency transfer of water under Section 
11.139, including information on the part of each permit, certified 
filing, or certificate of adjudication for nonmunicipal use in the 
region that may be transferred without causing unreasonable damage 
to the property of the nonmunicipal water rights holder;
		(6)  identifies river and stream segments of unique 
ecological value and sites of unique value for the construction of 
reservoirs that the regional water planning group recommends for 
protection under Section 16.051;
		(7)  assesses the impact of the plan on unique river and 
stream segments identified in Subdivision (6) if the regional water 
planning group or the legislature determines that a site of unique 
ecological value exists; and
		(8)  describes the impact of proposed water projects on 
water quality.      
	 (2)  Strike SECTION 11 of the bill (page 5, lines 35-39) and 
substitute the following appropriately numbered section:
	SECTION ____.  (a)  Except as provided by Subsection (b) of 
this section, 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, 2005.
	(b)  The following provisions take effect September 1, 2005:                   
		(1)  Sections 11.087 and 51.132, Natural Resources 
Code, as added by this Act;
		(2)  Section 16.053, Water Code, as amended by this 
Act.