TO:	Honorable Doug Miller, Chair, House Committee on Special Purpose Districts
FROM:	Ursula Parks, Director, Legislative Budget Board
IN RE:	HB4129 by Bell (Relating to the creation of the Waller County Municipal Utility District No. 22; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.), As Introduced

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 the Waller County Municipal Utility District No. 22 (the "District") with the powers and duties of a standard municipal utility district under Water Code, Chapters 49 and 54.


Population - The very specific description of the proposed boundaries does not allow staff to develop precise population estimates. However, based on the Original Texas Land Surveys and landmarks mentioned in HB 4129, as well as aerial imagery, no resident population appears to be in the area.


There appears to be no population growth in the area of the proposed district since the 2010 census.  The 2010 population estimate for areas of Waller County served by small systems or private wells ('County-Other') is 20,439. The Waller County-Other population projections approved for the 2016 Region H Water Plan projects the population to grow to 24,898 in 2020, 30,107 in 2030 and 35,886 in 2040.

Location - The Proposed districts initial boundaries are described with a combination of Original Texas Land Surveys, Waller County Real Property Records 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 proposed district's area is approximately 525 acres in Northeast Waller County, located northwest of the Remington Forest subdivision and north of FM 1488).  The city of Magnolia is located to the east. The proposed district appears to fall within the Certificate of Convenience and Necessity of G & W Water Supply Corporation.
 
Comments on Powers/Duties Different from Similar Types of Districts:  The bill grants the District road powers; and if the bill does not receive a two-thirds vote of all members elected to each house, the District may not exercise the power of eminent domain.
 
Overlapping Services:  TCEQ does not have mapping information for water and/or wastewater providers because this function was transferred from the TCEQ to the Public Utility Commission on September 1, 2014.  As a result, TCEQ is unaware of possible overlapping service providers.
 
TCEQ's Supervision:  As with general law districts, the TCEQ will have general supervisory authority, including bond review authority and review of financial reports.
 
Water Use - HB 4129 specifies that "the district has the powers and duties provided by the general law of the state, including Chapters 49 and 54, Water Code, applicable to municipal utility districts created under Section 59, Article XVI, Texas Constitution".
 
      Within Waller County, 97 Percent of the total 2012 water use was groundwater, primarily from the Gulf Coast Aquifer. Twenty-four percent of all the groundwater pumping was for municipal use. The water source of the proposed district might pursue is unknown.