79R7304 T
By: Geren H.B. No. 2639
A BILL TO BE ENTITLED
AN ACT
relating to the powers and duties of the Tarrant Regional Water
District, a Water Control and Improvement District.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 268, Acts of the 55th Legislature,
Regular Session, 1957, is amended by amending Sections 17 as
follows:
Sec. 17. (a) The district may make and enforce reasonable
rules, permits, orders, and ordinances necessary to accomplish the
district's authorized purposes, including:
(1) to secure and maintain safe, sanitary, and
adequate plumbing installations, connections, and appurtenances as
subsidiary parts of sanitary sewer systems;
(2) to preserve the sanitary condition of all land and
water controlled by the district;
(3) to prevent the waste or unauthorized use of water;
(4) to regulate residing, hunting, fishing, boating,
and camping, and all recreational and business privileges on any
body or stream of water, or any body of land, or any easement owned
or controlled by the district;
(5) to regulate privileges on any land, easement, or
property interest adjoining a reservoir or other property of the
district to prevent activities on such adjoining land, easement, or
property interest that could adversely affect the purity of water
in this state; and
(6) to promote state or local economic development and
to stimulate business and commercial activity in the district.
SECTION 2. Chapter 268, Acts of the 55th Legislature,
Regular Session, 1957, is amended by amending Sections 18 as
follows:
Sec. 18. (a) The district may provide for or participate in
the acquisition, construction, development, operation, or
maintenance of recreational facilities, and facilities intended to
foster and promote state or local economic development and
otherwise engage in activities intended to stimulate business and
commercial activity in the district to the full extent authorized
by Section 59, Article XVI, Texas Constitution, Water Code, or
other applicable law. The district may provide for the making of
loans or grants of money for economic development purposes as
outlined in Section 52(a), Art. III, Texas Constitution. For
purposes of this Section, recreation and economic development,
including the exercise of the power of eminent domain for such
purposes, are declared to be public, useful purposes and matters of
public necessity, and governmental functions, in accordance with
Sec. 59(a), Art. XVI, Texas Constitution. In connection therewith,
the Legislature finds that the power to promote economic
development authorizes the district to acquire the fee simple or
lesser estates in land for its own uses or for the sale or lease of
same as part of a reclamation, economic development, or water
control or development project. A determination by the board of the
directors of the district that a public works project is intended
and expected to conserve and develop the natural resources of this
state, or will promote recreation or economic development, or for
the control, storing, preservation, development, and distribution
of its storm and flood waters, and the waters of its rivers and
streams, is conclusive with respect to whether the program serves
the purposes for which the district was created or authorized.
(b) (1) The board of directors of the district may by
resolution create one or more nonprofit corporations to act on
behalf of the district as its authority and instrumentality.
(2) The Texas Non-Profit Corporation Act (Article
1396-1.01 et seq., Vernon's Texas Civil Statutes, as amended)
applies to a corporation created under this subsection except to
the extent of any conflict herewith, in which event the provisions
of this subsection shall control.
(3) Sections 5-20 and 33-36, Development Corporation
Act of 1979 (Article 5190.6, Vernon's Texas Civil Statutes), apply
to a corporation created under this subsection, except that in
those sections:
(A) a reference to that Act includes this
subsection; and
(B) a reference to a unit includes the district.
(4) A corporation created under this subsection may
exercise any power of the district, except that the power of eminent
domain and the power to acquire, lease, purchase or sell real
property shall only be exercised upon approval of the board of
directors of the district. Except as limited hereby, when
exercising a power under this subsection, a corporation created
hereunder and its board of directors have the same powers as the
district and the district's board, including the power to issue
bonds or other obligations or otherwise borrow money on behalf of
the district to accomplish any purpose of the corporation.
(5) With regard to the issuance of an obligation, the
board of directors of a corporation created under this subsection
may exercise the powers granted to the governing body of:
(A) an issuer under Chapters 1201 and 1371,
Government Code; and
(B) a public agency under Chapter 1204,
Government Code.
(6) A corporation created under this subsection and
the district may:
(A) share officers, directors, employees,
equipment, and facilities; and
(B) provide goods and services to each other at
cost without the requirement of competitive bidding.
(7) The board of directors of the district shall
appoint the directors of a corporation created under this
subsection. The directors of the corporation serve at the will of
the district's board of directors.
(8) A member of the district's board of directors may
serve as a member of the corporation's board of directors.
(9) The budget of a corporation created under this
subsection must be approved by the board of directors of the
district.
(10) The activities of the district's corporation are
subject to the continuing review and supervision of the district's
board of directors.
(11) The issuance of bonds or other obligations under
this chapter by a corporation created under this subsection must be
approved by the board of directors of the district.
(12) Notwithstanding any other law, the district's
board of directors may sell, lease, loan, or otherwise transfer
some, all, or substantially all of the real property of the district
to a corporation created under this subsection. The property
transfer must be made under terms approved by the board of directors
of the district.
(13) (A) Under Section 52-a, Article III, Texas
Constitution, a corporation that has been created hereunder may
guarantee or otherwise provide credit support for any public
security or other obligation or contract of that corporation if the
board of directors of the district determines that the guarantee or
other credit agreement:
(i) is beneficial to a public purpose of the
district; and
(ii) is for the public purpose of:
(a) the development and
diversification of the economy of the state;
(b) the elimination of unemployment
or underemployment in the state; or
(c) the development or expansion of
commerce in the state.
(B) A determination by the board of directors of
the district under Subsection 13(A) hereinabove is conclusive.
(C) A guarantee or other credit agreement
authorized by Subsection 13(A) may provide for the guarantee of or
other credit support for public securities or other obligations or
contracts of the corporation, all or a portion of which may be
authorized, executed, and delivered in the future.
(D) Chapter 1202, Government Code, applies to a
guarantee or other credit agreement under this section as if the
guarantee or other credit agreement were a public security.
(E) In this subsection, "public security" has the
meaning assigned by Section 1202.001, Government Code.
(c) (1) The district may sponsor and participate in an
economic development program intended to strengthen the economic
base and further the economic development of this state.
(2) A determination by the board of directors of the
district that an economic development program is intended and
expected to accomplish the program's stated purposes is conclusive
with respect to whether the program serves the purposes of this
subchapter.
(3) An economic development program must be within:
(A) the territorial boundaries of the district;
or
(B) the district's water service area.
(4) (A) An economic development program may be
established only by formal action of the board of directors of the
district.
(B) The board of directors shall:
(i) establish the goals of the program;
(ii) impose requirements on persons
participating in or receiving a benefit from the program; and
(iii) provide restrictions, procedures,
and budget limits the board of directors determines are necessary
to ensure that the governmental purposes of this subchapter and the
program are achieved.
(5) An economic development program may involve the
granting or lending of money, services, or property to a person
engaged in an economic development activity.
(6) (A) The district may employ staff and spend its
resources, other than money received from an ad valorem tax or a
general appropriation, to further an economic development program.
(B) The district may apply for and receive money,
grants, or other assistance from any source to implement an
economic development program.
(7) The district and any public or private person may
enter into an agreement with respect to an economic development
program, including an agreement under Chapter 791 of the Texas
Government Code.
SECTION 3. Chapter 268, Acts of the 55th Legislature,
Regular Session, 1957, is amended by amending Sections 21 as
follows:
Sec. 21. Subchapter I, Chapter 49, Water Code, applies to
the district, except when the district is purchasing goods or
services described by Section 252.022, Local Government Code;
provided however, the district may use the competitive proposal
method when the board determines that is in the best interest of the
district to do so.
SECTION 4. EFFECTIVE DATE. This Act takes effect September
1, 2005.