BILL ANALYSIS

S.B. 890

By: Uresti

Special Purpose Districts

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties contend that the lack of a groundwater conservation district in Reeves County hinders efforts to keep a sustainable approach in managing the local aquifer, which is a potential problem as water use demands increase. S.B. 890 seeks to address this issue by providing for the creation of the Reeves County Groundwater Conservation District in order to help manage, protect, and preserve the groundwater resources that are located within the boundaries of the county.

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

S.B. 890 amends the Special District Local Laws Code to create the Reeves County Groundwater Conservation District, subject to voter approval at a confirmation election. The bill provides for the dissolution of the district on December 31, 2018, if the district is not confirmed before such date. The bill caps the district property tax rate at three cents on each $100 valuation of taxable property in the district. The bill authorizes the district to issue bonds and notes but caps the total indebtedness created by such issuance at $250,000 at any time. The bill specifies that certain statutory tax provisions do not apply to a tax imposed by the district. The bill prohibits the district from exercising the power of eminent domain.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2013.