BILL ANALYSIS

H.B. 1586

By: Creighton

Natural Resources

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties contend that certain provisions of the Water Code relating to municipal consent were intended to apply to municipal utility districts created in the extraterritorial jurisdiction of a city.  The parties further contend that since the Montgomery County Municipal Utility District No. 126  is located inside the corporate limits of the City of Conroe, the district should be exempt from such provisions. H.B. 1586 seeks to address this issue in order to prevent the unintended application of such provisions to the district.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1586 amends the Special District Local Laws Code to make statutory provisions authorizing a city to provide in its written consent for including city land in a municipal utility district that an allocation agreement between the district and the city be entered into prior to the first issue of bonds, notes, warrants, or other district obligations inapplicable to the Montgomery County Municipal Utility District No. 126.

EFFECTIVE DATE

September 1, 2013.