79R5719 SGA-D

By:  Gattis                                                       H.B. No. 2722


A BILL TO BE ENTITLED
AN ACT
relating to the procedure for creating certain groundwater conservation districts. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 36.0151(a), Water Code, is amended to read as follows: (a) If the commission is required to create a district under Section 35.012(b), it shall, without an evidentiary hearing, issue an order creating the district and shall provide in its order that temporary directors be appointed under Section 36.016 and that an election be called by the temporary directors to confirm creation of the district, authorize the district to assess taxes, and [to] elect permanent directors. SECTION 2. The heading to Section 36.0171, Water Code, is amended to read as follows: Sec. 36.0171. CONFIRMATION, TAX AUTHORITY, AND DIRECTORS' ELECTION FOR DISTRICT IN A PRIORITY GROUNDWATER MANAGEMENT AREA. SECTION 3. Section 36.0171, Water Code, is amended by amending Subsections (a), (d), (e), (f), (g), and (h) and by adding Subsections (e-1), (e-2), and (e-3) to read as follows: (a) For a district created under Section 36.0151, not later than the 120th day after the date all temporary directors have been appointed and have qualified, the temporary directors shall meet and order an election to be held within the boundaries of the proposed district to confirm the creation of the district, authorize the district to assess taxes, and [to] elect permanent directors. (d) The ballot for the election must be printed to provide for voting for or against the propositions [proposition]: "The creation of the _____ (district name) Groundwater Conservation District." and "The levy of a maintenance tax by the ___________________ Groundwater Conservation District at a rate not to exceed ______ cents for each $100 of assessed valuation." The same ballot or another ballot must provide for the election of permanent directors, in accordance with Section 36.059. (e) Immediately after the election, the presiding judge of each polling place shall deliver the returns of the election to the temporary board, and the board shall canvass the returns and[,] declare the result[, and turn over the operations of the district to the elected permanent directors]. The board shall file a copy of the election result with the commission. (e-1) If a majority of the votes cast at the election favor the creation of the district, the temporary board shall declare the district created, enter the result in its minutes, and turn over the operations of the district to the elected permanent directors. (e-2) If a majority of the votes cast at the election are not in favor of the creation of the district, the temporary board shall declare the district defeated, enter the result in its minutes, and continue operations in accordance with Subsection (e-3). (e-3) If the creation of the district is not confirmed, the district is dissolved, except that: (1) any debts incurred shall be paid; (2) any assets that remain after the payment of debts shall be transferred to the county or counties in which the district is located; and (3) the organization of the district shall be maintained until all debts are paid and remaining assets are transferred. (f) If the creation of the district is confirmed, and if a majority of the votes cast at the election favor the levy of a maintenance tax, the temporary board shall declare the levy approved and shall enter the result in its minutes. (g) If the creation of the district is confirmed, and if a majority of the votes cast at the election are against the levy of a maintenance tax, the temporary board shall declare the levy defeated and shall enter the result in its minutes. (h) If the creation of the district is confirmed, and if the majority of the votes cast at the election are against the levy of a maintenance tax, the district shall set permit fees to pay for the district's regulation of groundwater in the district, including fees based on the amount of water to be withdrawn from a well. SECTION 4. Sections 36.0151 and 36.0171, Water Code, as amended by this Act, apply only to a groundwater conservation district created by the Texas Commission on Environmental Quality on or after the effective date of this Act. A district created by the Texas Commission on Environmental Quality before the effective date of this Act is governed by the law in effect on the date the district was created, and that law is continued in effect for that purpose. SECTION 5. 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.