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  By: Hinojosa S.B. No. 911
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the supervision of water districts by the Texas
  Commission on Environmental Quality.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 12.081(a), Water Code, is amended to
  read as follows:
         (a)  The powers and duties of all districts and authorities
  created under Article III, Section 52 and Article XVI, Section 59 of
  the Texas Constitution are subject to the continuing right of
  supervision of the State of Texas by and through the commission or
  its successor, and this supervision may include but is not limited
  to the authority to:
               (1)  inquire into the qualifications [competence,
  fitness, and reputation] of the officers and directors of any
  district or authority;
               (2)  require, on its own motion or on complaint by any
  person, audits or other financial information, inspections,
  evaluations, and engineering reports;
               (3)  issue subpoenas for witnesses to carry out its
  authority under this subsection;
               (4)  institute investigations and hearings using
  examiners appointed by the commission;
               (5)  issue rules necessary to supervise the districts
  and authorities, except that such rules shall not apply to water
  quality ordinances adopted by any river authority which meet or
  exceed minimum requirements established by the commission; and
               (6)  the right of supervision granted herein shall not
  apply to matters relating to electric utility operations.
         SECTION 2.  Sections 49.102(e) and (f), Water Code, are
  amended to read as follows:
         (e)  If a majority of the votes cast in the election favor the
  creation of the district, then the temporary board shall declare
  that the district is created and enter the result in its minutes.
  If a majority of the votes cast in the election are against the
  creation of the district, the temporary board shall declare that
  the district was defeated and enter the result in its minutes. A
  copy of the order shall be filed with the commission not later than
  the 30th day after the date of the election.
         (f)  The order canvassing the results of the confirmation
  election shall contain a description of the district's boundaries
  and shall be filed with the executive director and in the deed
  records of the county or counties in which the district is located
  not later than the 30th day after the date of the election.
         SECTION 3.  Section 49.195(a), Water Code, is amended to
  read as follows:
         (a)  The executive director may review the audit report of
  each district. After reviewing the audit report, the executive
  director may request additional information from the district. The
  district shall provide the additional information not later than
  the 60th day after the date the request was received, unless the
  executive director extends the time allowed for the district to
  provide additional information for good cause.
         SECTION 4.  Section 49.196(a), Water Code, is amended to
  read as follows:
         (a)  The executive director may review and investigate a
  district's financial records and may conduct an on-site audit of a
  district's financial information.  The executive director shall
  have access to all vouchers, receipts, district fiscal and
  financial records, and other district records the executive
  director considers necessary.
         SECTION 5.  This Act takes effect September 1, 2019.