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 Southeast Travis County Municipal Utility District No. 1 (District).

1)                   Population –The very specific description of the proposed boundaries is in terminology that does not match Census geography; thus population can be estimated only for an area somewhat larger than what the district will actually cover.  Population in this larger area, of which this district will only be a part, could be as high as 3,176 based on the 2000 Census.

Population growth in this specific area since the 2000 census is unknown.  However, the proposed district is located near the City of Austin­ at the southeastern edge of Travis County.  Based on the 2011 Region K Water Plan, Austin is projected to grow from 656,562 in 2000 to 799,846 in 2010 and 967,757 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 0.41 square miles, and will be located in southeastern Travis County, east of the City of Austin on the south side of the Colorado River, near the Bastrop County line.  The district possibly overlaps portions of CCNs held by the City of Austin, Garfield WSC, Aqua WSC, River Timber Water Supply, and Plan Z LLC.

3)  Comments on Powers/Duties Different from Similar Types of Districts - The bill specifies that the District may not hold a confirmation election or an election to elect the five permanent directors until all municipalities in which the District is located consent to the creation.  Current statutes require directors of districts to meet eligibility requirements.  However, the bill specifies that on or after the effective date of the bill, the owner or owners of a majority of assessed valuation of the real property within the District may submit a petition to the TCEQ for the appointment of the five temporary directors for the District and that the TCEQ shall appoint the five persons named in the petition, regardless of eligibility.  The bill grants the District road powers.  The bill specifies that the District may not issue bonds for road facilities payable from ad valorem taxes unless the issuance is approved by a vote of two-thirds majority of the District’s voters.  Current statute does not permit a municipal utility district to exercise the power of eminent domain outside the district boundaries for certain purposes.  The bill further limits the District's power of eminent domain by specifying that the District may not exercise the power of eminent domain to acquire a site for a road or recreational facility.  However, the bill specifies that if the bill does not receive two-thirds vote of all members elected to each house, then the District may not exercise the power of eminent domain.

4)  Overlapping Services - The stated boundaries for the District form an acceptable closure.  However, 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. 11322 and 20636); Aqua Water Supply Corporation (CCN Nos. 10294 and 20962); Garfield Water Supply Corporation (CCN No. 11244); Plan Z LLC (CCN No. 13080); KB Homes Lone Star LP (CCN No. 20944); River Timber Water Supply (CCN No. 12293); 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 –SB 1913 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 the proposed district 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.  Eighty-eight percent of the groundwater pumping was for municipal use.  The water source that the district might pursue is unknown.