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79R8390 SGA-F
By: Flores H.B. No. 3566
A BILL TO BE ENTITLED
AN ACT
relating to the creation, administration, powers, duties,
functions, operations, and financing of the La Joya Special Utility
District; providing authority to issue bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle C, Title 6, Special District Local Laws
Code, is amended by adding Chapter 7201 to read as follows:
CHAPTER 7201. LA JOYA SPECIAL UTILITY DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7201.001. DEFINITION. In this chapter, "district"
means the La Joya Special Utility District.
Sec. 7201.002. NATURE OF DISTRICT. The district is a
special utility district in Hidalgo and Starr Counties created
under and essential to accomplish the purposes of Section 59,
Article XVI, Texas Constitution.
Sec. 7201.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation and
initial directors' election held before September 1, 2009:
(1) the district is dissolved on September 1, 2009,
except that:
(A) any debts incurred shall be paid;
(B) any assets that remain after the payment of
debts shall be transferred to Hidalgo or Starr County as
appropriate; and
(C) the organization of the district shall be
maintained until all debts are paid and remaining assets are
transferred; and
(2) this chapter expires September 1, 2010.
Sec. 7201.004. APPLICABILITY OF OTHER SPECIAL UTILITY
DISTRICT LAW. Except as otherwise provided by this chapter,
Chapters 49 and 65, Water Code, apply to the district.
Sec. 7201.005. REGULATORY CONFLICTS. (a) If a
municipality asserts regulatory authority over any geographic area
in the district and a municipal regulation applicable to that
geographic area conflicts with a rule of the district, the
regulation of the municipality prevails.
(b) This section does not apply to:
(1) rules or regulations concerning potable water
quality standards; or
(2) conflicts relating to retail water utility service
areas.
Sec. 7201.006. INITIAL DISTRICT TERRITORY. The initial
boundaries of the district are coextensive with the service areas
covered by Certificates of Convenience and Necessity Nos. 10559 and
20785, as recorded on the Texas Commission on Environmental Quality
maps associated with those certificates.
[Sections 7201.007-7201.020 reserved for expansion]
SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 7201.021. TEMPORARY DIRECTORS. (a) The Commissioners
Court of Hidalgo County shall appoint seven temporary directors,
and the Commissioners Court of Starr County shall appoint two
temporary directors.
(b) Each temporary director shall qualify for office as
provided by Section 49.055, Water Code.
(c) If a temporary director fails to qualify for office, the
temporary directors who have qualified shall appoint a person to
fill the vacancy. If at any time there are fewer than four
qualified temporary directors, the Texas Commission on
Environmental Quality shall appoint the necessary number of
directors to fill all vacancies on the board.
(d) Temporary directors serve until initial directors are
elected under Section 7201.022.
Sec. 7201.022. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION. (a) The temporary directors shall hold an election to
confirm the creation of the district and to elect nine initial
directors in accordance with Chapters 49 and 65, Water Code, on or
before September 1, 2009.
(b) The ballots for a confirmation election shall be printed
to provide for voting "For the creation of a special utility
district to replace the La Joya Water Supply Corporation" and
"Against the creation of a special utility district to replace the
La Joya Water Supply Corporation."
(c) The temporary board of directors shall determine the
method for determining the initial term of each person on the
initial board of directors. The terms must be clearly stated on the
ballot for the confirmation and directors' election.
(d) Section 41.001(a), Election Code, does not apply to a
confirmation election held as provided by this section.
(e) Initial directors serve until the first regularly
scheduled election of directors under Subchapter C, Chapter 65,
Water Code.
Sec. 7201.023. TRANSFER OF ASSETS; DISSOLUTION. (a) If the
district's creation is confirmed under Section 7201.022, the La
Joya Water Supply Corporation shall transfer the assets, debts, and
contractual rights and obligations of the corporation to the
district.
(b) Not later than the 30th day after the date of the
transfer under Subsection (a), the board of directors of the La Joya
Water Supply Corporation shall commence dissolution proceedings of
the corporation.
(c) On dissolution of the La Joya Water Supply Corporation,
Certificates of Convenience and Necessity Nos. 10559 and 20785 are
considered to be held by the district.
(d) The board of directors of the La Joya Water Supply
Corporation shall notify the Texas Commission on Environmental
Quality of the dissolution of the corporation and of the transfer of
Certificates of Convenience and Necessity Nos. 10559 and 20785 to
the district.
(e) On receipt of notice under Subsection (d), the Texas
Commission on Environmental Quality shall note in its records that
Certificates of Convenience and Necessity Nos. 10559 and 20785 are
held by the district and shall reissue the certificates in the name
of the district without further application or notice.
Sec. 7201.024. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2010.
[Sections 7201.025-7201.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 7201.051. DIRECTORS. The district is governed by a
board of not fewer than five and not more than 11 directors.
[Sections 7201.052-7201.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 7201.101. GENERAL POWERS. The district has all of the
rights, powers, privileges, authority, functions, and duties
provided by the general law of this state, including Chapters 49 and
65, Water Code, applicable to special utility districts created
under Section 59, Article XVI, Texas Constitution.
Sec. 7201.102. CONTRACTS WITH RIO GRANDE REGIONAL WATER
AUTHORITY. The district and the Rio Grande Regional Water
Authority may enter into a contract under which the Rio Grande
Regional Water Authority may provide administrative or any other
type of assistance or service to the district.
SECTION 2. (a) The legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor has submitted the notice and Act to the
Texas Commission on Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this Act with the governor,
lieutenant governor, and speaker of the house of representatives
within the required time.
(d) The general law relating to consent by political
subdivisions to the creation of a conservation and reclamation
district and the inclusion of land in the district has been complied
with.
(e) All requirements of the constitution and laws of this
state and the rules and procedures of the legislature with respect
to the notice, introduction, and passage of this Act are fulfilled
and accomplished.
SECTION 3. 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.