BILL ANALYSIS

C.S.H.B. 1946

By: Parker

Natural Resources

Committee Report (Substituted)

BACKGROUND AND PURPOSE

Interested parties note that ancillary contracts are occasionally submitted in a water district bond transcript during the bond approval process and that such contracts have been validated through the approval of the bonds even though such contracts may not provide security for the bonds. C.S.H.B. 1946 seeks to address this discrepancy by aligning statute with current practices and common understanding.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

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

C.S.H.B. 1946 amends the Water Code to specify that contracts or leases submitted to the attorney general by certain water districts along with bond records and approved and made incontestable on approval of the bonds by the attorney general are contracts or leases in which the proceeds of the contracts or leases are pledged to the payment of a bond.

EFFECTIVE DATE

September 1, 2017.

COMPARISON OF ORIGINAL AND SUBSTITUTE

While C.S.H.B. 1946 may differ from the original in minor or nonsubstantive ways, the following comparison is organized and formatted in a manner that indicates the substantial differences between the introduced and committee substitute versions of the bill.

INTRODUCED	HOUSE COMMITTEE SUBSTITUTE
SECTION 1.  Section 49.184(e), Water Code, is amended.	SECTION 1. Same as introduced version.
No equivalent provision.	SECTION 2.  The change in law made by this Act applies only to a contract or lease submitted by a water district under Section 49.184, Water Code, as amended by this Act, to the attorney general after the effective date of this Act.  A contract or lease submitted to the attorney general before the effective date of this Act is governed by the law in effect at the time the contract or lease is submitted, and that law is continued in effect for that purpose.
SECTION 2.  This Act takes effect September 1, 2017.	SECTION 3. Same as introduced version.