TO:	Honorable Allan Ritter, Chair, House Committee on Natural Resources
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB4778 by Gattis (Relating to the creation of the Northwest Williamson County Municipal Utility District No. 1; providing authority to impose a tax and issue bonds; granting the power of eminent domain.), As Introduced

The bill amends Subtitle F, Title 6, Special District Local Laws Code by adding Chapter 8349 to create Northwest Williamson County Municipal Utility District No.1 (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 by the voters. The Districts are subject to consent of all municipalities in whose corporate limits or extraterritorial jurisdiction the district is located. The bill names five temporary directors. Section 8349.052 which appoints temporary directors expires September 1, 2016.
 
If the creation of the District is not confirmed before September 1, 2013, the District will be dissolved.
 
The bill becomes effective immediately with two-thirds vote of the members or on September 1, 2009.

1)  Population - The proposed district’s initial boundaries are described in a combination of Original Texas Land Surveys and metes and bounds. Due to the complexity of these boundaries, staff is unable to develop precise population estimates. Based on the Original Texas Surveys mentioned in HB 4778, the 2000 census population could be as high as 274.
 
According to the 2007 State Water Plan, Williamson County is projected to grow from 211,474 in 2000 to 304,154 in 2010 and to 416,122 in 2020. The county other population of Williamson County was 14,690 in 2000 and projected to be 2,187 in 2020. 
 
2)     Location - The proposed district is located in northwest Williamson County along CR 289, north of FM 3405 and south of FM970. The area is northwest of Georgetown, northeast of Liberty Hill, and southwest of Florence. The proposed district overlaps the CCN boundaries of the Chisholm Trail Special Utility District (SUD).  
 
3) Comments on Powers/Duties Different from Similar Types of Districts - The District will have authority for road projects. The District is subject to agreements with Brazos River Authority for the wastewater treatment or any disposal use. The bill gives the District the ability to levy a contract tax.
 
4) Overlapping Services - The stated boundaries form an acceptable closure.  An area map containing at least two reference points (major road names, road intersections) and the proposed District's geographic location mapped within Williamson County is needed to complete overlapping services check.  The District may overlap the following providers: Brazos River Authority and Certificate of Convenience and Necessity No. 11590 for Chisholm Trail Special Utility District.
 
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 Williamson County, almost 34 percent of the total water used in 2004 was groundwater. Of this, almost 89 percent was for municipal purposes. Groundwater in Williamson County is primarily pumped from the Edwards (BFZ) Aquifer.