86R3448 BRG-D
 
  By: Thompson of Harris H.B. No. 1321
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the Nueces River Authority, following recommendations
  of the Sunset Advisory Commission.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Sections 1.02(6), (7), (8), and (9), Chapter
  427, Acts of the 44th Legislature, 1st Called Session, 1935, are
  amended to read as follows:
               (6)  "Commission" means the Texas Commission on
  Environmental Quality [Water Rights Commission].
               (7)  ["Quality board" means the Texas Water Quality
  Board.]
               [(8)]  "Development board" means the Texas Water
  Development Board.
               (8) [(9)]  "Waste" means sewage, industrial waste,
  municipal waste, recreational waste, agricultural waste, waste
  heat, solid waste, or any other waste.
         SECTION 2.  Section 1.02A(a), Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended to read as
  follows:
         (a)  The authority is subject to review under Chapter 325,
  Government Code (Texas Sunset Act), but may not be abolished under
  that chapter. The review shall be conducted under Section 325.025,
  Government Code, as if the authority were a state agency scheduled
  to be abolished September 1, 2031 [2019], and every 12th year after
  that year.
         SECTION 3.  Section 2.02(c), Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended to read as
  follows:
         (c)  If the directors find any land included in the field
  notes other than land in San Patricio, Nueces, and Jim Wells
  counties, which is not actually included in the watershed of the
  Nueces River, the board shall exclude the land from the authority
  and file a certificate of exclusion with the county clerk of the
  county in which the land is located. The certificate of exclusion
  shall describe the boundaries of the land excluded so that the land
  remaining in the authority may be adequately identified.
         SECTION 4.  Section 2.03(i), Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended to read as
  follows:
         (i)  The governor shall designate a member of the board as
  the president of the board to serve in that capacity at the pleasure
  of the governor. The board shall elect [a president,] one or more
  vice-presidents, a secretary, a treasurer, and such other officers
  as the members of the board may determine in the bylaws or
  otherwise. The [president,] vice-presidents, secretary, and
  treasurer shall be members of the board, but other officers need not
  be members of the board. The offices of secretary and treasurer may
  be combined, as may the offices of assistant secretary and
  assistant treasurer.
         SECTION 5.  Subchapter 2, Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended by adding Section
  2.03A to read as follows:
         Sec. 2.03A.  DIRECTOR TRAINING.  (a)  A person who is
  appointed to and qualifies for office as a director may not vote,
  deliberate, or be counted as a director in attendance at a board
  meeting until the person completes a training program that complies
  with this section.
         (b)  The training program must provide the person with
  information regarding:
               (1)  the law governing authority operations;
               (2)  the programs, functions, rules, and budget of the
  authority;
               (3)  the scope of and limitations on the rulemaking
  authority of the authority;
               (4)  the results of the most recent formal audit of the
  authority;
               (5)  the requirements of:
                     (A)  laws relating to open meetings, public
  information, administrative procedure, and disclosure of conflicts
  of interest; and
                     (B)  other laws applicable to members of the
  governing body of a river authority in performing their duties; and
               (6)  any applicable ethics policies adopted by the
  authority or the Texas Ethics Commission.
         (c)  A person appointed to the board is entitled to
  reimbursement for the travel expenses incurred in attending the
  training program regardless of whether the attendance at the
  program occurs before or after the person qualifies for office.
         (d)  The executive director shall create a training manual
  that includes the information required by Subsection (b) of this
  section.  The executive director shall distribute a copy of the
  training manual annually to each director.  Each director shall
  sign and submit to the executive director a statement acknowledging
  that the director has received the training manual.
         SECTION 6.  Section 2.05, Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended by amending
  Subsection (a) and adding Subsection (c) to read as follows:
         (a)  A director is entitled to receive an allowance in an
  amount not exceeding that provided under Section 49.060, Water Code 
  [general law of the State of Texas and reimbursement for actual and
  necessary expenses incurred:
               [(1)     for each day he spends attending meetings of the
  board; and
               [(2)     for each day he spends attending to the business
  of the authority which is authorized by the board].
         (c)  In all areas of conflict with this section, Section
  49.060, Water Code, takes precedence.
         SECTION 7.  Subchapter 2, Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended by adding
  Sections 2.06A and 2.08A to read as follows:
         Sec. 2.06A.  PUBLIC TESTIMONY. (a) The board shall develop
  and implement policies that provide the public with a reasonable
  opportunity to appear before the board and to speak on any issue
  under the jurisdiction of the authority.
         (b)  At each regular meeting of the board, the board shall
  include public testimony as a meeting agenda item and allow members
  of the public to comment on other agenda items and other matters
  under the jurisdiction of the authority. The board may not
  deliberate on or decide a matter not included in the meeting agenda,
  except that the board may discuss including the matter on the agenda
  for a subsequent meeting.
         Sec. 2.08A.  SEPARATION OF POLICY AND MANAGEMENT
  RESPONSIBILITIES. The board shall develop and implement policies
  that clearly separate the policymaking responsibilities of the
  board and the management responsibilities of the executive director
  and the staff of the authority.
         SECTION 8.  Sections 3.02, 3.05, and 3.08, Chapter 427, Acts
  of the 44th Legislature, 1st Called Session, 1935, are amended to
  read as follows:
         Sec. 3.02.  (a) Subject to the provisions of the
  constitution and statutes of the state and the continuing right of
  supervision of the state through the commission, the Nueces River
  Authority has and may exercise authority and power over the storm
  water and floodwater of the Nueces River Basin, subject to the
  applicable provisions of Chapters 5, 11, and 12 [6], Water Code[, as
  amended].
         (b)  Subject to Chapters 5, 11, and 12 [6], Water Code, [as
  amended,] the authority may exercise the powers of control and
  employment of the state's water in the manner and for the particular
  purposes as follows:
               (1)  to provide for the control and coordination of
  water use in the Nueces River Basin as a unit;
               (2)  to provide by adequate organization and
  administration for the preservation of the rights of the people of
  the different sections of the river basin in the beneficial use of
  water;
               (3)  to provide for conserving storm, flood, and
  unappropriated flow water of the Nueces River Basin, including the
  storing, controlling, transporting, treating, and distributing of
  such water, and the prevention of the escape of any such water
  without the maximum of public service and for the prevention of
  devastation of land from recurrent overflows, and the protection of
  life and property in the river basin from uncontrolled floodwater;
               (4)  to provide for the conservation of water essential
  for domestic and other water uses of the people of the Nueces River
  Basin, including all necessary water supplies for cities, towns,
  and industrial districts;
               (5)  to provide for the irrigation of land in the Nueces
  River Basin where irrigation is required for agricultural purposes
  or may be deemed helpful to more profitable agricultural production
  and for the equitable distribution of storm, flood, and
  unappropriated flow water to the regional potential requirements
  for all uses; all plans and all works provided by the authority and
  all works which may be provided under authorization of the
  authority should have primary regard to the necessary and potential
  needs for water, by or within the respective areas constituting the
  watershed of the Nueces River and its tributary streams;
               (6)  to provide for the encouragement and development
  of drainage systems and provisions for drainage of land in the
  valleys of the Nueces River and its tributary streams needing
  drainage for profitable agricultural and livestock production and
  industrial activities and drainage of other land in the watershed
  area of the authority requiring drainage for the most advantageous
  use;
               (7)  to provide for the conservation of all soils
  against destructive erosion, thereby preventing the increased
  flood menace incident thereto;
               (8)  to control and make available for employment,
  flood, storm, and unappropriated flow water as may be authorized by
  the commission, in the development of commercial and industrial
  enterprises in all sections of the watershed area of the authority;
               (9)  to provide as set forth by Chapters 5, 11, and 12
  [6], Water Code, [as amended,] for the control, storing, and
  employment of flood, storm, and unappropriated flow water in the
  development and distribution of hydroelectric power, where this use
  may be economically coordinated with other and superior uses, and
  subordinated to the uses declared by law to be superior; and
               (10)  to provide in the manner set forth in Chapters 5,
  11, and 12 [6], Water Code, [as amended,] for each and every purpose
  and use for which flood, storm, and unappropriated flow water when
  controlled and conserved may be utilized in the performance of a
  useful service as contemplated and authorized by the provisions of
  the constitution and statutes.
         (c)  Subject to Chapters 5, 11, and 12 [6], Water Code, [as
  amended,] the authority may control, store, and preserve the water
  of the Nueces River and its tributaries within the boundaries of the
  authority for any useful purpose, and may use, distribute, and sell
  the water for any beneficial purpose inside and outside the
  authority, and may acquire water and water rights inside and
  outside the authority.
         Sec. 3.05.  (a) The authority has and may exercise all of
  the powers vested in river authorities under Chapters 5, 7, 17, 26,
  and 30, [Chapter 21 of the] Water Code, [as amended,] and Chapter
  366, Health and Safety Code [25 of the Water Code, as amended].
         (b)  The authority is authorized to perform the licensing and
  other functions authorized to be delegated to local governments by
  the commission [quality board] in connection with the regulation of
  private sewage facilities under Chapter 366, Health and Safety
  [Section 21.083, Water] Code.
         (c)  The authority may serve as the entity to provide
  regional or area-wide waste collection, treatment, and disposal
  services, as provided in Subchapter C [D], Chapter 26 [21], Water
  Code.
         Sec. 3.08.  In the manner provided by Chapters 5, 11, and 12
  [6], Water Code, the [as amended, the authority shall apply for any
  permits, licenses, franchises, and other grants of authority it may
  require from the commission. The] authority may apply for any
  permits, licenses, franchises, and other grants of authority it may
  require from the commission [quality board], the development board,
  or any other federal, state, or local governmental agencies in
  exercising its powers and accomplishing the purposes under this
  Act.
         SECTION 9.  Section 3.15(i), Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended to read as
  follows:
         (i)  The provisions of this section do not prohibit the
  authority from purchasing or acquiring land or interests in land
  from any person, or from acquiring, constructing, or improving
  pollution control or waste collection and disposal facilities in
  accordance with Chapter 30 [25], Water Code, [as amended,] the
  Clean Air Financing Act (Chapter 4477-5a, Vernon's Texas Civil
  Statutes), or other applicable statutes, or purchasing or acquiring
  surplus property from any governmental entity by negotiated
  contract and without necessity for advertising for bids.
         SECTION 10.  Subchapter 3, Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended by adding Section
  3.18A to read as follows:
         Sec. 3.18A.  ALTERNATIVE RULEMAKING AND DISPUTE RESOLUTION
  PROCEDURES. (a) The board shall develop a policy to encourage the
  use of:
               (1)  negotiated rulemaking procedures under Chapter
  2008, Government Code, for the adoption of authority rules; and
               (2)  appropriate alternative dispute resolution
  procedures under Chapter 2009, Government Code, to assist in the
  resolution of internal and external disputes under the authority's
  jurisdiction.
         (b)  The authority's procedures relating to alternative
  dispute resolution must conform, to the extent possible, to any
  model guidelines issued by the State Office of Administrative
  Hearings for the use of alternative dispute resolution by state
  agencies.
         (c)  The authority shall:
               (1)  coordinate the implementation of the policy
  adopted under Subsection (a) of this section;
               (2)  provide training as needed to implement the
  procedures for negotiated rulemaking or alternative dispute
  resolution; and
               (3)  collect data concerning the effectiveness of those
  procedures.
         SECTION 11.  Sections 3.22A and 3.23, Chapter 427, Acts of
  the 44th Legislature, 1st Called Session, 1935, are amended to read
  as follows:
         Section 3.22A. CONSERVATION PROGRAM. The board shall adopt
  and implement a program of water conservation that incorporates the
  practices, techniques, and technologies that will reduce the
  consumption of water, reduce the loss or waste of water, improve the
  efficiency in the use of water, or increase the recycling and reuse
  of water so that a water supply is made available for future or
  alternative uses and that the commission and development board
  determine [Texas Department of Water Resources determines] will
  meet reasonably anticipated local needs and conditions.
         Sec. 3.23.  The authority has and may exercise all the powers
  vested in political subdivisions under Chapters 5, 16, and 17
  [Chapter 11], Water Code, [as amended,] including [without
  limitation] the powers necessary to enable the authority to
  participate in:
               (1)  [the] programs administered by the development
  board for:
                     (A)  the acquisition and development of
  facilities; [,]
                     (B)  the sale or lease of facilities; and [,]
                     (C)  financial assistance to political
  subdivisions; [,] and
               (2)  other programs as are now or may hereafter be
  authorized.
         SECTION 12.  Subchapter 3, Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended by adding
  Sections 3.27 and 3.28 to read as follows:
         Sec. 3.27.  COMPLAINTS. (a) The authority shall maintain a
  system to promptly and efficiently act on complaints filed with the
  authority. The authority shall maintain information about the
  parties to and subject matter of the complaint, a summary of the
  results of the review or investigation of the complaint, and the
  disposition of the complaint.
         (b)  The authority shall make information available
  describing its procedures for complaint investigation and
  resolution.
         (c)  The authority shall periodically notify the complaint
  parties of the status of the complaint until final disposition. 
         Sec. 3.28.  FIVE-YEAR STRATEGIC PLAN. (a) The authority
  shall adopt and promptly publish on the authority's Internet
  website a written, five-year strategic plan that:
               (1)  sets the authority's goals for the following five
  years;
               (2)  establishes the authority's mission; and
               (3)  describes the anticipated activities that the
  authority will perform in the Nueces River Basin over the following
  five years.
         (b)  The authority shall update the five-year strategic plan
  regularly and publish the updated versions of the plan on the
  authority's Internet website.
         SECTION 13.  Section 5.01(a), Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is amended to read as
  follows:
         (a)  For the purpose of carrying out any power or authority
  conferred by this Act, including [the expense of] preparing the
  master plan and [the] payment of engineering and related [other]
  expenses [in connection with this], the authority may issue its
  bonds in three general classes:
               (1)  bonds secured by ad valorem taxes;
               (2)  bonds secured by a pledge of all or part of the
  revenues accruing to the authority, including without limitation
  those received from sale of water or other products, rendition of
  service, tolls, charges, and from all other sources other than ad
  valorem taxes;
               (3)  bonds secured by a combination pledge of all or
  part of the revenues described in Subdivision (2) of this
  subsection, and taxes.
         SECTION 14.  Section 2, Chapter 699, Acts of the 64th
  Legislature, Regular Session, 1975, is amended to read as follows:
         Sec. 2.  The rights, privileges, authority, and functions
  herein granted to the authority and the authority itself are
  expressly subject to Chapters 5, 7, 17 [6], and 26 [21], Water Code,
  and Chapter 366, Health and Safety Code.
         SECTION 15.  Section 5.03, Chapter 427, Acts of the 44th
  Legislature, 1st Called Session, 1935, is repealed.
         SECTION 16.  (a) The term of the president of the board of
  directors of the Nueces River Authority serving on the effective
  date of this Act expires September 1, 2019. The director serving as
  president on the effective date of this Act may continue to serve on
  the board of directors until the expiration of that director's
  term.
         (b)  Not later than September 2, 2019, the governor shall
  designate a director as president of the board of directors of the
  Nueces River Authority as required by Section 2.03(i), Chapter 427,
  Acts of the 44th Legislature, 1st Called Session, 1935, as amended
  by this Act.
         SECTION 17.  (a)  Notwithstanding Section 2.03A, Chapter
  427, Acts of the 44th Legislature, 1st Called Session, 1935, as
  added by this Act, a person serving on the board of directors of the
  Nueces River Authority may vote, deliberate, and be counted as a
  director in attendance at a meeting of the board until December 1,
  2019.
         (b)  This section expires January 1, 2020.
         SECTION 18.  (a)  The legal notice of the intention to
  introduce this Act, setting forth the general substance of this
  Act, has been published as provided by law, and the notice and a
  copy of this Act have been furnished to all persons, agencies,
  officials, or entities to which they are required to be furnished
  under Section 59, Article XVI, Texas Constitution, and Chapter 313,
  Government Code.
         (b)  The governor, one of the required recipients, has
  submitted the notice and Act to the Texas Commission on
  Environmental Quality.
         (c)  The Texas Commission on Environmental Quality has filed
  its recommendations relating to this Act with the governor, the
  lieutenant governor, and the speaker of the house of
  representatives within the required time.
         (d)  All requirements of the constitution and laws of this
  state and the rules and procedures of the legislature with respect
  to the notice, introduction, and passage of this Act are fulfilled
  and accomplished.
         SECTION 19.  This Act takes effect September 1, 2019.