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	Amend Amendment No. 60 by Gonzales to CSSB 3 (page 99 of 
Prefiled Amendments packet) as follows:
	(1)  In the recital to the amendment (page 1, line 2) strike 
"section" and substitute "sections".
	(2)  At the end of the amendment (page 8, after line 14) add 
the following:  
	SECTION 2.____.  Subchapter D, Chapter 43, Local Government 
Code, is amended by adding Section 43.0741 to read as follows:
	Sec. 43.0741.  ABOLITION OF CERTAIN WATER CONTROL AND 
IMPROVEMENT, WATER IMPROVEMENT, AND IRRIGATION DISTRICTS THAT 
DELIVER RAW WATER TO MUNICIPALITIES.  (a)  This section applies only 
to:
		(1)  a water control and improvement, water 
improvement, or irrigation district:
			(A)  at least 60 percent of the territory of which 
is located in a single municipality as a result of annexation or 
incorporation;
			(B)  that diverts raw water from the Rio Grande 
and in a 12-month period delivers at least 80 percent of that raw 
water to the municipality for municipal use; and
			(C)  that has no outstanding bonded indebtedness; 
and               
		(2)  a municipality that receives raw water from a 
district described by Subdivision (1).
	(b)  A municipality may adopt an ordinance abolishing a 
district by a vote of at least two-thirds of the membership of the 
municipality's governing body if the governing body determines 
that:
		(1)  at least 80 percent of the raw water diverted by 
the district in any 12-month period was for municipal use by the 
municipality;
		(2)  the district has no outstanding bonded 
indebtedness;            
		(3)  the services furnished and functions performed by 
the district can be furnished and performed by the municipality; 
and
		(4)  the abolition of the district is in the best 
interests of the residents and property of the municipality and the 
district.
	(c)  The voters of the municipality may protest the enactment 
or enforcement of the ordinance by filing a petition with the 
secretary of the municipality.  The petition must be signed by a 
number of qualified voters of the municipality that is equal to at 
least 10 percent of the number of voters who voted in the most 
recent election for municipal officers.  The petition must be filed 
not later than the 30th day after the later of:
		(1)  the date the municipality finally approves the 
ordinance; or    
		(2)  the date of publication of the ordinance, if the 
ordinance is published before it is scheduled to take effect.
	(d)  The secretary shall verify the signatures on a petition 
filed in accordance with Subsection (c) and present the verified 
petition to the governing body of the municipality at its next 
scheduled meeting.
	(e)  On receipt of a verified petition, the governing body of 
the municipality shall suspend the ordinance, and the municipality 
may not take an action under the ordinance.
	(f)  The governing body of the municipality shall reconsider 
the suspended ordinance at its next meeting.  If the governing body 
does not repeal the ordinance, the governing body shall submit a 
proposition for or against the ordinance to the voters at the next 
municipal election or at a special election the governing body may 
order for that purpose.  The ordinance does not take effect unless a 
majority of the voters voting in the election vote for the 
ordinance.
	(g)  The ordinance takes effect on:                                     
		(1)  the expiration of the period for filing a petition 
under Subsection (c) if the voters of the municipality do not file a 
petition that meets the requirements of that subsection before the 
expiration of that period; or
		(2)  the approval of the ordinance at an election under 
Subsection (f).
	(h)  If the ordinance takes effect:                                     
		(1)  the district is abolished;                                        
		(2)  the property and other assets of the district vest 
in the municipality;
		(3)  the municipality becomes responsible for 
operating the district's facilities for the benefit of the 
district's existing customers and performing the services and 
functions that were performed by the district; and
		(4)  the municipality assumes all the debts, 
liabilities, and obligations of the district.
	(i)  A district that is abolished under this section shall 
provide its management and operational records to the municipality 
to ensure the orderly transfer of management and operational 
responsibility to the municipality.