LEGISLATIVE BUDGET BOARD
Austin, Texas
 
WATER DEVELOPMENT POLICY IMPACT STATEMENT
 
80TH LEGISLATIVE REGULAR SESSION
 
May 4, 2007

TO:
Honorable Royce West, Chair, Senate Committee on Intergovernmental Relations
 
FROM:
John S. O'Brien, Director, Legislative Budget Board
 
IN RE:
SB2003 by Estes (Relating to the creation of the King's Crossing Municipal Utlity District of Grayson County; providing authority to impose a tax and issue bonds; granting the power of eminent domain.), Committee Report 1st House, Substituted

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

 

The bill creates King's Crossing Municipal Utility District of Grayson County (District) 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 and the power of eminent domain. The District is subject to confirmation election by the voters. The bill names the temporary directors. The temporary directors may not hold an election or approve the issuance of bonds until a District landowner enters into a development agreement regarding District land with the City of Howe. The District may not be divided. 

 

1)  Population – The detailed description of the proposed boundaries does not allow staff to develop precise population estimates. The 2000 Census population of Grayson County was 110,595, with 26,766 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 163,711 by 2020, the County-Other population is projected to increase to 26,799.

 

2)  Location - The district is located within Grayson County.

 

3) Comments on Powers/Duties Different from Similar Types of Districts    The District will have road powers.  If the District has not been confirmed before September 1, 2009, then the District is dissolved on September 1, 2009

 

4) Overlapping Services – The stated boundaries form a closure. There is insufficient information provided in the bill to determine if the District overlaps any water supply or sewer‑service corporations, investor‑owned utilities, or local water districts or authorities.  An area map containing at least two references points (major road names, road intersections) and the proposed district’s geographic location mapped within Grayson County is needed to complete overlapping service check. The District may overlap CCN Nos. 11011 and 20406: City of Howe, and CCN No. 20076: City of Sherman.

 

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 -
Sixty-seven percent of Grayson County water use in 2004 was for municipal purposes, with 11 percent for manufacturing. Fifty-nine percent of the total water use, and 57 percent of the municipal use, comes from groundwater sources.



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