LEGISLATIVE BUDGET BOARD
Austin, Texas
 
WATER DEVELOPMENT POLICY IMPACT STATEMENT
 
79TH LEGISLATIVE REGULAR SESSION
 
April 26, 2005

TO:
Honorable Robert Puente, Chair, House Committee on Natural Resources
 
FROM:
John S. O'Brien, Deputy Director, Legislative Budget Board
 
IN RE:
HB3525 by King, Phil (Relating to the creation, administration, powers, duties, functions, operations, and financing of Parker County Special Utility Disstrict; providing authority to issue bonds. ), Committee Report 1st House, Substituted

 

The Legislative Budget Board in cooperation with the Water Development Board (TWDB) and Texas Commission on Environmental Quality (TCEQ), has determined the following:

 

Subject to a confirmation election, the bill would create the Parker County Special Utility District in Parker and Palo Pinto Counties with the powers and duties of a Special Utility District (SUD) governed by Water Code Chapters 49 and 65.

 

 

1) Population- In the year 2000 Water Use Survey, Parker County WSC reported serving 746 connections and estimated serving 2,420 people. The portions of Parker County not served by a named water utility in the 2006 Region C Water Plan (including the Parker County WSC) are expected to decline in population from 42,671 in 2000 to 38,144 in 2010.

 

2) Location & Size- The district’s initial boundaries area understood to be the Parker County WSC’s CCN boundary which is located in southwestern Parker County along IH 20 and F.M. 1189.

 

3) Powers- As with general law SUDs, the District would have the power to provide water, wastewater, drainage, irrigation and fire fighting services. IN addition, the district would have all rights, powers, and privileges applicable to special utility districts under chaapters 49 and 65, Water Code.

 

 

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 7 elected directors. The directors will serve staggered 3-year terms. The bill appoints 7 initial directors named in the bill.

 

 

6) Eminent Domain- Same as general law districts, the District will have the power of eminent domain under Texas Water Code Chapter 49. The District may condemn either fee simple title or a lesser property interest. The district's power of eminent domain would be limited outside  its boundaries to condemn for sanitary sewer purposes.

 

 

7) Ability to Tax- None, which is consistent with general law for SUDs.

 

 

8) Ability to Exclude Property-Same as general law districts under Texas Water Code Chapter 49.

 

9) Overlapping Services- An adequate boundary description was provided for the proposed District. The proposed District’s boundaries include those of the Parker County Water Supply Corporation which currently holds a Certificate of Convenience and Necessity (12313). There are other known overlapping water supply or sewer-service corporations, investor-owned utilities, or local water districts or authorities (City of Weatherford CCNs 20109 & 10282 and Sturdivant Progress WSC CCNs 20882 & 10256). The Commission does not have the information to perform overlap checks of the proposed District boundary relative to other city service areas, county service areas, or unknown district service areas.

 

10) Adequacy of Boundary Description- The description provided follows known landmarks and survey lines; however a closure computation could not be performed as the bill does not provide a detailed metes and bounds description.

 

11) Comments on Powers /Duties Different from Similar Types of Districts-General law SUDs are created through the conversion of existing water supply corporations (WSCs). Any assets and liabilities of the WSC would be transferred to the SUD and then upon confirmation of the voters, the WSC would be dissolved. This bill does not address what would happen to the existing WSC.

 

The District has specific authority to establish standard specifications for facilities designed or constructed for storage treatment or transportation of water; collection, treatment, and disposal of wastewater or disposal of solid waste within its boundaries.

 

If the District is not confirmed by an election before the second anniversary of the effective date of the Act, the Act expires.

 

12) TCEQ’s Supervision- As with general law districts, the TCEQ will have general supervision authority, including bond review authority and review of audit reports.

 

 

13) State Water Plan Objectives- The Parker County WSC has historically received most of its water (approximately 210 acre feet) from the City of Mineral Wells (Lake Palo Pinto in Palo Pinto County). A small amount (approximately 20 acre feet) is pumped from the Trinity Aquifer.

 

 

 

 

 

 



Source Agencies:
580 Water Development Board, 582 Commission on Environmental Quality
LBB Staff:
JOB, WK