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 C, Title 4, Special District Local Laws Code by adding Chapter 3878 to create Harris County Improvement District No. 11 (District) with the powers and duties of a improvement district under Chapter 375, Local Government Code and contracting authority specified by Subchapters H and I, Chapter 49, Water Code. The purpose of the District includes providing works and projects under powers conferred by Article XVI, Section 59, Texas Constitution and Article III, Section 52 and 52-a, Texas Constitution, and Chapters 375, 377, and 380, 394, 791, Local Government Code, to benefit the property within the District.
 
The District is subject to confirmation election by the voters. The District is subject to consent of all municipalities in whose corporate limits or extraterritorial jurisdiction the district is located. 
 
The bill names bill does not name five temporary directors, but has a place for them to be named. The permanent directors shall be appointed by a majority of the members of the governing body including the mayor, of the City of Houston. A majority of the board members can increase or decrease the size of the board of directors.
 
The bill becomes effective immediately with two-thirds vote of the members or on September 1, 2009.

1)  Population – The proposed district is located in central Houston in Harris County. According to the 2007 State Water Plan, Houston is projected to grow from 1,953,631 in 2000 to 2,240,974 in 2010 and to 2,520,926 in 2020. Harris County is projected to grow from 3,400,578 to 3,951,682 in 2010 and to 4,502,786 in 2020.
 
2)     Location – The proposed district is located in central Houston near the intersection of Graustark Street and US Highway 59.

3)  Comments on Powers/Duties Different from Similar Types of Districts - The District may create a non profit corporation, contact for law enforcement, may annexation or exclusion of territory approval by City of Houston. The District will have the authority for road projects but does not have power of eminent domain. The District has the authority to impose assessments, impact fees (subject to petition) and ad valorem taxes. The District may be a member in a charitable organization and issue bonds subject to approval by City of Houston. The District has the authority to acquire or contract for public transit and parking facilities within the District's boundaries.
 
4)  Overlapping Services - There is insufficient information provided in the bill to complete an overlap check or a closure check. An area map containing at least two references points (major road names, road intersections) and the proposed district's geographic location mapped within Harris County is needed to complete overlapping service check.

5)  TCEQ's Supervision - The TCEQ supervision is limited to review of the District's financial reports required by the Water Code; otherwise, the District is not subject to TCEQ supervision.

6) Water Use – With Harris County, 35 percent of the total water used in 2004 was groundwater. Of this, 87 percent was for municipal purposes. Harris County pumps its groundwater from the Gulf Coast Aquifer. Water management strategies for Houston include municipal conservation, indirect wastewater reuse, drilling new groundwater wells, and the Luce Bayou transfer.