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 Pilot Knob Municipal Utility District of No. 3 of Travis County (District).   

1)  Population – The very specific description of the proposed boundaries is in terminology which does not match Census geography, thus population can be estimated only for an area somewhat larger than the district will actually cover.  Population in this larger area, of which this district will only be a part, could be as high as 2,013 based on the 2000 Census.

Population growth in that specific area since the 2000 census is unknown; however a portion of the proposed district is within the City of Austin, Creedmoor MAHA Water Supply Corporation (WSC), and Garfield WSC.  In the 2011 Region K Water Plan, the City of Austin to the north and east was projected to grow from 656,562 in 2000 to 799,846 in 2010 and 967,757 in 2020.  Creedmoor MAHA WSC to the southeast is projected to grow from 6,642 in 2000 to 8,454 in 2010 and 10,700 in 2020. Travis County is projected to grow from 812,280 in 2000 to 1,003,253 in 2010 and 1,201,256 in 2020.

2)  Location – 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 for the various sub-areas of the district, staff is able to determine only the general location of the proposed district.

The district’s area is approximately 1 square miles, and will be located in southeastern Travis County, to the southeast of the City of Austin and generally east of interstate highway 35 and south of the Colorado River.  The district overlaps portions of CCNs held by City of Austin, Creedmoor MAHA WSC, and Garfield WSC.

3)  Comments on Powers/Duties Different from Similar Types of Districts - The bill specifies that the District may not hold an election to confirm the District or elect the five permanent directors until all municipalities in which the District is located consent to the creation.  The bill also specifies that if the municipality in whose corporate limits or extraterritorial jurisdiction the District is located does not enter into an agreement required by the terms of the municipal ordinance or resolution consenting to the creation of the District before September 1, 2012, then the District is dissolved September 1, 2012.  The bill specifies that the District is to be governed by a board of five elected directors.  However, the bill stipulates that the ordinance or resolution consenting to the creation of the District may change this requirement from five elected directors to four elected directors and one director appointed by the governing body of the municipality.

The bill gives the District road powers.  The bill specifies that the District may not exercise the power of eminent domain.  The bill specifies that the District may continue to exist after annexation by the municipality if the terms of the District’s limited existence are made part of a strategic partnership agreement under the Local Government Code.

4)  Overlapping Services - The stated boundaries for the Save and Except Tract form an acceptable closure; however, the stated boundaries for the District do not form an acceptable closure.  Additionally, an area map containing at least two reference points (major road names, road intersections) and the proposed district’s geographic location mapped within Travis County is needed to complete overlapping services check. 

The District may overlap City of Austin (CCN Nos. 113221 and 20636); Garfield Water Supply Corporation (CCN No. 11244); Creedmor Maha Water Supply Corporation (CCN No. 11029); Southland Regional SVC Corp (CCN No. 20663); and Lower Colorado River Authority.

5)  TCEQ 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 - HB 1758 specifies that “The district has the powers and duties provided by the general law of this state, including Chapters 49 and 54, Water Code, applicable to municipal utility districts created under Section 59, Article XVI, Texas Constitution.” Therefore, it appears as though Pilot Knob MUD 3 would serve to accomplish the conservation and development of natural resources, including the control, storing, preservation and distribution of storm and flood waters, the waters of rivers and streams, for irrigation, power and all other useful purposes, among other duties specified in Section 59, Article XVI of the Texas Constitution. 

Within Travis County, 7.7 percent of the total water use was groundwater (Trinity, Edwards BFZ, and other aquifers) in 2008.  Ninety-three percent of the groundwater pumping was for municipal use.  The water source that the district might pursue is unknown.