LEGISLATIVE BUDGET BOARD
Austin, Texas
 
WATER DEVELOPMENT POLICY IMPACT STATEMENT
 
80TH LEGISLATIVE REGULAR SESSION
 
April 24, 2007

TO:
Honorable Robert Puente, Chair, House Committee on Natural Resources
 
FROM:
John S. O'Brien, Director, Legislative Budget Board
 
IN RE:
HB4075 by Eissler (Relating to the creation of the Magnolia Woods Municipal Utility District No. 1 of Montgomery, Waller, and Grimes Counties; providing authority to impose a tax and issue bonds; granting the power of eminent domain.), As Introduced

The Legislative Budget Board, in cooperation with the Texas Water Development Board (TWDB) and the Texas Commission on Environmental Quality (TCEQ), has determined that:
 
The bill creates Magnolia Woods Municipal Utility District No. 1 (District) of Montgomery, Waller, and Grimes County with the powers and duties of a municipal utility district under Water Code Chapters 49 and 54.  The purpose of the District includes: providing works and projects under powers conferred by Article XVI, Section 59 of the Texas Constitution to benefit the property within the District.  The District is subject to confirmation election by the voters; however, the District must obtain the consent of all municipalities in whose corporate limits or extraterritorial jurisdiction the District is located in prior to the confirmation election.  The bill also sets out a procedure allowing the District to divide into two districts.
 

1)   Population - The detailed description of the proposed boundaries does not allow staff to develop precise population estimates.  The 2000 Census population of Montgomery County was 293,768, with 99,788 living in areas identified in the 2007 State Water Plan as “County-Other” (outside cities of more than 500 and established water utility districts).  The total county population is projected to increase to 542,051 by 2020, the County-Other population is projected to increase to 198,870.  In Waller County, the total population is projected to increase from 32,663 to 51,175 in 2020; the County-Other population from 16,755 to 29,844.  In Grimes County, the total population is projected to increase from 23,552 to 30,073 in 2020; the County-Other population from 13,971 to 15,957.
 
2)   Location - The district is located within Montgomery, Waller, and Grimes Counties.

3)  Comments on Powers/Duties Different from Similar Types of Districts-    The District will have road and recreation powers.  The bill excludes the power of eminent domain for acquiring land or easements for recreational purposes.
 
4)  Overlapping Services-    The stated boundaries form a closure.  An area map containing at least two reference points (major road names, road intersections) and the proposed district’s geographic location mapped within Montgomery, Waller, and Grimes Counties is needed to complete an overlapping services check.  The overlapping service providers for Tract 1 may be: City of Todd Mission; City of Magnolia (CCN No. 11466); Dobbin Plantersville Water Supply Corporation (CCN No. 11052); G & W Water Supply Corporation (CCN No. 12391); Mill Creek Water Supply Corporation (CCN No. 12905); and, Everett Square Inc. (CCN No. 12831). The overlapping service providers for Tract 2 may be: Dobbins Plantersville Water Supply Corporation (CCN No. 11052); Southwest Utilities Inc. (CCN No. 11740); Everett Square Inc. (CCN No. 12831); and, Champs Water Co. Inc. (CCN No. 10972).
 
5)  TCEQ's  Supervision-    As with general law districts, the TCEQ will have general supervisory authority, including bond review authority and review of financial reports.


6)  Water Use - 95 percent of Montgomery County water use in 2004 was for municipal purposes, with 3 percent for manufacturing.   99 percent of the total water use, and 100 percent of the municipal use, comes from groundwater sources.  82 percent of Waller County water use in 2004 was for irrigation, with 12 percent for municipal purposes.   97 percent of the total water use and 99 percent of the municipal water use comes from groundwater sources.  In Grimes County, 47 percent of the water use in 2004 was for municipal purposes, with 35 percent for steam-electric power generation.  54 percent of the total water use, and 100 percent of the municipal use, comes from groundwater sources.
 



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