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 amends Subtitle F, Title 6, Special District Local Laws Code by adding Chapter ____ to create Burnet County Municipal Utility District No. 3 (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 and Article III, Section 52, Texas Constitution, to benefit the property within the District. 
 
The District is subject to confirmation election before September 1, 2013. If the District is not confirmed then the District is dissolved on September 1, 2013 unless the District has debt, in which case, prior to dissolution, the District shall pay any debt incurred and transfer to Burnet County any assets that remain after the payment of debts.  The District is subject to consent of all municipalities in whose corporate limits or extraterritorial jurisdiction the district is located.  The bill does not name five temporary directors.  The majority owners of the assessed land value inside the District may submit a petition requesting the Texas Commission on Environmental Quality (TCEQ) appoint the five temporary directors listed in the petition.
 
The District has the power of annexation, road projects, and eminent domain as allowed by the Water Code. The District may not annex any property without landowner consent.  The District may be divided into two or more districts. 
 
The bill becomes effective immediately with two-thirds vote of the members or on September 1, 2009.

1)  Population – The description of the proposed boundaries does not allow staff to develop precise population estimates. Based on the Original Texas Land Surveys mentioned in HB 4719 and the 2000 Census Blocks, the population in the 2000 census is estimated to be 200 people. Population growth since 2000 is unknown.
 
According to the 2007 State Water Plan, Burnet County is projected to grow from 34,147 in 2000 to 41,924 in 2010 and to 51,044 in 2020. The county other population of Burnet county is projected to grow from 17,315 in 2000 to 21,733 in 2020 and to 26,913 in 2020.
 
2) Location – The proposed district is located in southwest Burnet County, east of Lake LBJ, and north of Granite Shoals. The proposed district does not appear to overlap with any known CCN boundaries.
 
3) Comments on Powers/Duties Different from Similar Types of Districts - The District have the authority for road projects, and eminent domain as allowed by the Texas Water Code. The District may not annex land without the owner's permission.   The District may be divided into two or more districts.
 
4) Overlapping Services - The stated boundaries form an acceptable closure on tracts 1 through 4, but not on tracts 5 and 6. An area map containing at least two reference points (major road names, road intersections) and the proposed District's geographic location mapped within Burnet County is needed to complete overlapping services check. The district may overlap the following providers: Certificate of Convenience and Necessity (CCN) No. 12334 for Highland Utilities Inc., CCN No. 20453 for AquaTexas Inc., CCN No. 11450 for City of Granite Shoals, Lower Colorado River Authority, and Lake Lyndon B. Johnson Municipal Utility District No. 2.
 
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 – Within Burnet County, 25 percent of the total water used in 2004 was groundwater. Of this 69 percent was for municipal purposes. Groundwater in Burnet County is primarily pumped from the Trinity Aquifer with smaller amounts also being pumped from the Ellenburger-San Saba, Hickory, and Marble Falls Aquifers. There are currently no water management strategies in Burnet County.