Bill Text: TX HB1920 | 2017-2018 | 85th Legislature | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the Palo Duro River Authority, following recommendations of the Sunset Advisory Commission.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2017-06-15 - Effective on 9/1/17 [HB1920 Detail]
Download: Texas-2017-HB1920-Introduced.html
Bill Title: Relating to the Palo Duro River Authority, following recommendations of the Sunset Advisory Commission.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2017-06-15 - Effective on 9/1/17 [HB1920 Detail]
Download: Texas-2017-HB1920-Introduced.html
85R7373 SLB-D | ||
By: Flynn | H.B. No. 1920 |
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relating to the Palo Duro River Authority, following | |||||||
recommendations of the Sunset Advisory Commission. | |||||||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | |||||||
SECTION 1. Sections 1, 2, 3, 5, 6, 7, 8, 9, 10, 11, and 12, | |||||||
Chapter 438, Acts of the 63rd Legislature, Regular Session, 1973, | |||||||
are amended to read as follows: | |||||||
Sec. 1. By virtue of Section 59, Article XVI of the | |||||||
Constitution of the State of Texas, there is hereby created a | |||||||
conservation and reclamation district to be known as "Palo Duro | |||||||
Water District," [ |
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agency, a body politic and corporate, and a political subdivision | |||||||
of this state. | |||||||
Sec. 2. The district [ |
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established shall comprise all of the territory contained within | |||||||
the Counties of Hansford and Moore and the City of Stinnett | |||||||
[ |
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thus included in the district [ |
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improvements to be acquired and constructed by the district | |||||||
[ |
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a public use and benefit. | |||||||
Sec. 3. The district, inside or outside its boundaries, | |||||||
[ |
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construct or purchase dams and reservoirs. The district | |||||||
[ |
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other facilities necessary or useful for the purpose of providing a | |||||||
source of water supply and storing, processing such water and | |||||||
transporting and distributing it for irrigation, livestock | |||||||
raising, agricultural, municipal, domestic and industrial | |||||||
purposes. The district [ |
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develop or purchase additional sources of water and to improve, | |||||||
enlarge and extend its water system. The district [ |
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also empowered to make contracts for the purchase of water; (b) in | |||||||
order to preserve and protect the purity of the waters of the state | |||||||
and of the district [ |
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waters for beneficial use by the inhabitants of the district | |||||||
[ |
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appliances incident to or helpful or necessary to the collection, | |||||||
transportation, processing, disposal, and control of such waters | |||||||
for agricultural, municipal, domestic, oil field flooding, mining | |||||||
and industrial purposes; and (c) the district [ |
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empowered to impound, store, control and conserve the storm and | |||||||
flood waters and the unappropriated flow waters [ |
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waters and unappropriated flow waters of Palo Duro Creek and Horse | |||||||
Creek, [ |
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128, Revised Civil Statutes of Texas, as amended. | |||||||
Sec. 5. No dam or other facilities for impounding water | |||||||
shall be constructed until the plans therefor are approved by the | |||||||
commission [ |
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[ |
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underground sources of water. The district [ |
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trade, or otherwise dispose of any real or personal property deemed | |||||||
by the district [ |
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[ |
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other indenture [ |
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Sec. 6. The district [ |
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into contracts with cities and others for supplying water to them. | |||||||
The district [ |
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city for the rental or leasing of, or for the operation of the water | |||||||
production, water supply, and water filtration or purification [ |
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the district [ |
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may be upon such terms and for such time as the parties may agree, | |||||||
and it may provide that it shall continue in effect until bonds | |||||||
specified therein and refunding bonds issued in lieu of such bonds | |||||||
are paid. | |||||||
Sec. 7. The district [ |
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through appropriate hearings an appropriation permit or permits | |||||||
from the commission [ |
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Chapter 1 of Title 128, Revised Civil Statutes of 1925, as amended. | |||||||
Thereafter such permit, either upon application of the district | |||||||
[ |
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after an appropriate hearing to increase or decrease the amount of | |||||||
water which may be appropriated[ |
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stored by the district [ |
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On[ |
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own action the commission [ |
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redetermine the maximum amount of water which the district | |||||||
[ |
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determination it shall consider the needs of the cities and others | |||||||
that purchase water from the district [ |
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Sec. 8. The district [ |
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or construct within or without the boundaries of the district | |||||||
[ |
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facilities necessary or useful for the purpose of impounding, | |||||||
processing and transporting water to cities and others for | |||||||
municipal, agricultural, domestic, industrial, oil field flooding, | |||||||
and mining purposes. The size of the dam and reservoir shall be | |||||||
determined by the board [ |
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consideration probable future increases in water requirements, and | |||||||
the size of the dam shall not be limited by the amount of water | |||||||
initially authorized by the commission [ |
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be impounded therein. [ |
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Sec. 9. The district [ |
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land within or without the boundaries of the district [ |
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and to construct, lease or otherwise acquire all works, plants and | |||||||
other facilities necessary or useful for the purpose of diverting, | |||||||
further impounding or storing water, processing such water and | |||||||
transporting it to cities and others for agricultural, municipal, | |||||||
domestic, industrial, oil field flooding, and mining purposes. | |||||||
Sec. 10. (a) For the purpose of carrying out any power or | |||||||
authority conferred by this Act the district [ |
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the right to acquire by condemnation in the manner provided by Title | |||||||
52, Revised Statutes, as amended, relating to eminent domain: | |||||||
(1) the fee simple title to land and other property and | |||||||
easements (including land needed for the reservoir and dam and | |||||||
flood easements above the probable high water line around any such | |||||||
reservoirs) within the boundaries of the district [ |
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(2) the fee simple title to land and other property and | |||||||
easements (except for land, other property, and easements to be | |||||||
used for a dam or dams or facilities for the impoundment or storage | |||||||
of water) outside the boundaries of the district [ |
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(b) The district [ |
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municipal corporation within the meaning of Article 3268 of said | |||||||
Title 52, except that the district [ |
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right to so condemn any property which may be owned by any other | |||||||
political subdivision, city or town; provided, however, that as | |||||||
against persons, firms and corporations, or receivers or trustees | |||||||
thereof, who have the power of eminent domain, the fee title may not | |||||||
be condemned, but the district [ |
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easement. The amount of and character of interest in land, other | |||||||
property and easements thus to be acquired shall be determined by | |||||||
the board [ |
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Sec. 11. The district [ |
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and it is hereby empowered to control, store, conserve, protect, | |||||||
distribute and utilize the storm and flood waters within the area of | |||||||
the district [ |
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also, to carry out flood prevention and control measures within the | |||||||
district [ |
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the lands of the district [ |
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thereof; to cooperate with all other districts, departments or | |||||||
agencies of the State Government, or any agency, representative, | |||||||
instrumentality or department of the United States Government; and | |||||||
to receive and accept technical and financial assistance therefrom | |||||||
in the accomplishment of the [ |
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section. The district [ |
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empowered to purchase, construct, maintain, or in any other lawful | |||||||
manner to acquire, provide and develop all works, facilities, | |||||||
improvements, lands, easements and properties, which may be | |||||||
necessary or useful in fulfilling the purposes of the district | |||||||
[ |
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Sec. 12. The district [ |
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water appropriation permits from owners of permits. The district | |||||||
[ |
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storage and storage capacity in any reservoir constructed or to be | |||||||
constructed by any person, firm, corporation or public agency or | |||||||
from the United States Government or any of its agencies. | |||||||
SECTION 2. Sections 13(a), (b), (c), and (d), Chapter 438, | |||||||
Acts of the 63rd Legislature, Regular Session, 1973, are amended to | |||||||
read as follows: | |||||||
(a) The board [ |
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have the power to adopt and promulgate all reasonable regulations | |||||||
to secure, maintain, and preserve the sanitary condition of all | |||||||
water in and to flow into any reservoir owned by the district, | |||||||
[ |
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thereof, and to regulate residence, hunting, fishing, boating and | |||||||
camping, and all recreational and business privileges, along or | |||||||
around any such reservoir, [ |
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by the district [ |
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(b) The district [ |
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penalties for the breach of any regulation of the district | |||||||
[ |
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Two Hundred Dollars ($200.)[ |
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addition to any other penalties provided by the laws of Texas and | |||||||
may be enforced by complaints filed in the appropriate court of | |||||||
jurisdiction, provided, however, that no rule or regulation which | |||||||
provides a penalty for the violation thereof shall be in effect, as | |||||||
to enforcement of the penalty, until five (5) days next after the | |||||||
district [ |
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particular rule or regulation and the penalty for the violation | |||||||
thereof to be published, once a week for two (2) consecutive weeks | |||||||
in the county in which such reservoir is situated, or in any county | |||||||
in which it is partly situated. The substantive statement so to be | |||||||
published shall be as condensed as is possible to afford an | |||||||
intelligent direction of the mind to the act forbidden by the rule | |||||||
or regulation; one (1) notice may embrace any number of | |||||||
regulations; there must be embraced in the notice advice that | |||||||
breach of the particular regulation, or regulations, will subject | |||||||
the violator to the infliction of a penalty and there also shall be | |||||||
included in the notice advice that the full text of the regulations | |||||||
sought to be enforced is on file in the principal office of the | |||||||
district [ |
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person. Five (5) days after the second publication of the notice | |||||||
hereby required, the advertised regulation shall be in effect, and | |||||||
ignorance of any such regulation shall not constitute a defense to a | |||||||
prosecution for the enforcement of a penalty and, the rules and | |||||||
regulations authorized hereby, after the required publication, | |||||||
shall judicially be known to the courts and shall be considered of a | |||||||
nature like unto that of valid penal ordinance of a city of the | |||||||
state. | |||||||
(c) Any duly constituted peace officer, provided such | |||||||
officers meet the Texas Law Officers minimum certification | |||||||
requirements, shall have the power to make arrests when necessary | |||||||
to prevent or abate the commission of any offense against the | |||||||
regulations of the district [ |
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the State of Texas, when any such offense or threatened offense | |||||||
occurs upon any land, water or easement owned or controlled by the | |||||||
district [ |
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of an offense involving injury or detriment to any property owned or | |||||||
controlled by such district [ |
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(d) Territory may be annexed to the district [ |
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whether or not contiguous to the district [ |
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following manner: | |||||||
(1) A petition praying for such annexation signed by | |||||||
fifty (50) or a majority, whichever number is smaller, of the | |||||||
resident, qualified voters of the territory or of duly incorporated | |||||||
cities or towns sought to be annexed shall be filed with the board. | |||||||
The petition shall describe the territory to be annexed by metes and | |||||||
bounds, or otherwise, unless such territory is the same as that | |||||||
contained within the boundaries of such city or town, in which event | |||||||
it shall be sufficient to state that the territory to be annexed is | |||||||
that which is contained within the boundaries of such city or town. | |||||||
(2) If the board [ |
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petition complies with and is signed by the number of qualified | |||||||
persons required by Subdivision (1) of this subsection, that the | |||||||
annexation would be to the best interest of the territory, city or | |||||||
town, and the district [ |
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[ |
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supplied to the territory, city, or town, it shall adopt a | |||||||
resolution stating the conditions, if any, under which such | |||||||
territory, city, or town may be annexed to the district | |||||||
[ |
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shall be held by the board on the question of whether the territory, | |||||||
city, or town sought to be annexed will be benefited by the | |||||||
improvements, works, and facilities then owned or operated or | |||||||
contemplated to be owned or operated by the district [ |
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by the other functions of the district [ |
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adoption of such resolution stating the time and place of such | |||||||
hearing shall be published one (1) time in a newspaper of general | |||||||
circulation in the territory, city, or town sought to be annexed at | |||||||
least ten (10) days prior to the date of such hearing. The notice | |||||||
shall describe the territory in the same manner in which it is | |||||||
required or permitted by this Act to be described in the petition. | |||||||
All persons interested may appear at such hearing and offer | |||||||
evidence for or against the proposed annexation. Such hearing may | |||||||
proceed in such order and under such rules as may be prescribed by | |||||||
said board, and the hearing may be recessed from time to time. If, | |||||||
at the conclusion of the hearing, the board [ |
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finds that the property in such territory, city, or town will be | |||||||
benefited by the present or contemplated improvements, works, or | |||||||
facilities of the district [ |
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benefit and calling an election in the territory, city, or town | |||||||
proposed to be annexed stating therein the date of the election, the | |||||||
place or places of holding the same, the proposition to be voted on, | |||||||
and appointing a presiding judge for each voting place who shall | |||||||
appoint the necessary assistant judges and clerks to assist in | |||||||
holding the election. | |||||||
Notice of such election shall be given by publishing a | |||||||
substantial copy of the resolution calling the election one (1) | |||||||
time in a newspaper of general circulation in the territory sought | |||||||
to be annexed to the district [ |
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before the date set for the election. Only constitutionally | |||||||
qualified electors who reside in the territory, city, or town | |||||||
sought to be annexed shall be qualified to vote in said election. | |||||||
Returns of the result of said election shall be made to the board. | |||||||
The board shall canvass the returns of the election and adopt a | |||||||
resolution declaring the results thereof. If such resolution shows | |||||||
that a majority of the votes cast are in favor of annexation, the | |||||||
board shall by resolution annex said territory to the district | |||||||
[ |
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except in the manner and within the time for contesting the | |||||||
elections under the Texas Election Code, as amended. | |||||||
(3) The board [ |
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election on the proposition for annexation of territory, city, or | |||||||
town, may include as a part of the same proposition or a separate | |||||||
proposition for the assumption of its part of the tax-supported | |||||||
bonds of the district [ |
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theretofore voted but not yet sold, and for the levy of an ad | |||||||
valorem tax on taxable property in said territory along with the tax | |||||||
in the rest of the district [ |
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the levying of maintenance taxes permitted by Section 27 of this | |||||||
Act, in which event the voting shall be restricted to | |||||||
constitutionally qualified electors. If such election fails, the | |||||||
annexed territory, city, or town shall be excluded from the | |||||||
district [ |
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SECTION 3. Sections 14, 15, 16, 17, 18, and 19, Chapter 438, | |||||||
Acts of the 63rd Legislature, Regular Session, 1973, are amended to | |||||||
read as follows: | |||||||
Sec. 14. The district [ |
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establish or otherwise provide for public parks and recreation | |||||||
facilities, and to acquire land for such purposes within the | |||||||
district [ |
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Sec. 15. In the event that the district [ |
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exercise of the power of eminent domain or power of relocation, or | |||||||
any other power granted hereunder, makes necessary the relocation, | |||||||
raising, rerouting or changing the grade of, or altering the | |||||||
construction of any highway, railroad, electric transmission line, | |||||||
telephone or telegraph properties and facilities, or pipeline, all | |||||||
such necessary relocation, raising, rerouting, changing of grade or | |||||||
alteration of construction shall be accomplished at the sole | |||||||
expense of the district [ |
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Sec. 16. It shall not be necessary for the board [ |
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the exclusion of lands or a hearing on the adoption of a plan of | |||||||
taxation, but the ad valorem plan of taxation shall be used by the | |||||||
district [ |
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Sec. 17. (a) All powers of the district [ |
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be exercised by the board. Each director of the board [ |
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31 of each year. [ |
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(b) In [ |
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[ |
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district, except for Hutchinson County, and the city council of the | |||||||
City of Stinnett [ |
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[ |
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vacancy shall be filled for the unexpired term by the governing body | |||||||
of the appropriate county or city. Four (4) directors [ |
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Court of each county contained in the district, except for | |||||||
Hutchinson County, and one director shall be appointed by the city | |||||||
council of the City of Stinnett. Each [ |
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director shall reside in the county from which the director [ |
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appointed. | |||||||
(c) Each director shall serve for the director's [ |
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of office as herein provided, and thereafter until the director's | |||||||
[ |
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be appointed a director unless the person [ |
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taxable property in the county or city from which the person [ |
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appointed. No member of a governing body of a county or the City of | |||||||
Stinnett, and no employee of a county or the City of Stinnett shall | |||||||
be appointed as director. Such directors shall subscribe the | |||||||
Constitutional oath of office, and each shall give bond for the | |||||||
faithful performance of the director's [ |
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of Five Thousand Dollars ($5,000.), the cost of which shall be paid | |||||||
by the district [ |
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If any director moves from the county or city from which the | |||||||
director [ |
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Commissioners Court of such county or the city council of the City | |||||||
of Stinnett, as appropriate, shall appoint a director to succeed in | |||||||
the position [ |
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(d) Unless the board by resolution increases the fee to an | |||||||
amount authorized by Section 49.060, Water Code, each [ |
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director shall receive a fee of not to exceed Twenty-Five Dollars | |||||||
($25.) for attending each meeting of the board [ |
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that no more than Fifty Dollars ($50.) shall be paid to any director | |||||||
for meetings held in any one (1) calendar month. Each director | |||||||
shall also be entitled to receive not to exceed Twenty-Five Dollars | |||||||
($25.) per day devoted to the business of the district [ |
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and to reimbursement for actual expenses incurred in attending to | |||||||
district [ |
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expense are expressly approved by the board [ |
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Sec. 18. The board [ |
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number a president and a vice president of the district | |||||||
[ |
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[ |
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officer of the district [ |
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the board [ |
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other director. The vice president shall perform all duties and | |||||||
exercise all powers conferred by this Act upon the president when | |||||||
the president is absent or fails or declines to act except the | |||||||
president's right to vote. The board [ |
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secretary and a treasurer who may or may not be members of the board | |||||||
[ |
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bond in such amount as may be required by the board [ |
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[ |
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treasurer's [ |
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and the board [ |
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Sec. 19. The board [ |
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shall be authorized to make or cause to be made surveys and | |||||||
engineering investigations for the information of the district | |||||||
[ |
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which the district [ |
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manager, attorneys, accountants, engineers, or other technical or | |||||||
nontechnical employees or assistants; fix the amount and manner of | |||||||
their compensation; and may provide for the payment of expenditures | |||||||
deemed essential to the proper maintenance of the district | |||||||
[ |
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employees may be conferred upon the general manager. | |||||||
SECTION 4. Sections 20(a), (b), (d), (e), (f), (g), (h), and | |||||||
(i), Chapter 438, Acts of the 63rd Legislature, Regular Session, | |||||||
1973, are amended to read as follows: | |||||||
(a) For the purpose of providing a source of water supply | |||||||
for cities and other users for agricultural, municipal, domestic, | |||||||
industrial, oil field flooding, and mining purposes, as authorized | |||||||
by this Act, and for the purpose of carrying out any other power or | |||||||
authority conferred by this Act, the district [ |
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empowered to issue its negotiable bonds to be payable from revenues | |||||||
or taxes or both revenues and taxes of the district [ |
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are pledged by resolution of the board [ |
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Pending the issuance of definitive bonds the board [ |
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authorize the delivery of negotiable interim bonds or notes, | |||||||
eligible for exchange or substitution by use of the definitive | |||||||
bonds. | |||||||
(b) Such bonds shall be authorized by resolution of the | |||||||
board [ |
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district [ |
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attested by the secretary and shall bear the seal of the district | |||||||
[ |
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president or of the secretary or of both may be printed or | |||||||
lithographed on the bonds if authorized by the board [ |
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impressed on the bonds or may be printed or lithographed thereon. | |||||||
The bonds shall mature serially or otherwise in not to exceed forty | |||||||
(40) years and may be sold at a price and under terms determined by | |||||||
the board [ |
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reasonably obtainable[ |
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the discretion of the board [ |
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maturity at such times and prices as may be prescribed in the | |||||||
resolution authorizing the bonds, and may be made registrable as to | |||||||
principal or as to both principal and interest. | |||||||
(d) The bonds may be secured by a pledge of all or part of | |||||||
the net revenue of the district [ |
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of any one (1) or more contracts theretofore or thereafter made or | |||||||
other revenue or income specified by resolution of the board [ |
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reserve the right, under conditions therein specified, to issue | |||||||
additional bonds which will be on a parity with or subordinate to | |||||||
the bonds then being issued. The term "net revenues" as used in | |||||||
this Section shall mean the gross revenues and income of the | |||||||
district [ |
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necessary to pay the cost of maintaining and operating the district | |||||||
[ |
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(e) The district [ |
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bonds payable from ad valorem taxes to be levied on all taxable | |||||||
property therein, or to issue bonds secured by and payable from both | |||||||
such taxes and the revenues of the district [ |
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bonds are issued payable wholly or partially from ad valorem taxes, | |||||||
it shall be the duty of the board [ |
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sufficient to pay the bonds and the interest thereon as such bonds | |||||||
and interest become due without limit as to the rate or the amount, | |||||||
but the rate of the tax for any year may be fixed after giving | |||||||
consideration to the money received from the pledged revenues which | |||||||
may be available for payment of principal and interest to the extent | |||||||
and in the manner permitted by the resolution authorizing the | |||||||
issuance of the bonds. | |||||||
(f) Where bonds payable wholly from revenues are issued, it | |||||||
shall be the duty of the board [ |
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time to time to revise, the rates of compensation for water sold and | |||||||
services rendered by the district [ |
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sufficient to pay the expense of operating and maintaining the | |||||||
facilities of the district [ |
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mature and the interest as it accrues and to maintain the reserve | |||||||
and other funds as provided in the resolution authorizing the | |||||||
bonds. Where bonds payable partially from revenues are issued it | |||||||
shall be the duty of the board [ |
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to revise, the rate of compensation for water sold and services | |||||||
rendered by the district [ |
|||||||
assure compliance with the resolution authorizing the bonds. | |||||||
(g) From the proceeds from the sale of the bonds, the | |||||||
district [ |
|||||||
interest expected to accrue during construction and a reserve | |||||||
interest and sinking fund, and such provision may be made in the | |||||||
resolution authorizing the bonds. Proceeds from the sale of the | |||||||
bonds may also be used for the payment of all expenses necessarily | |||||||
incurred in accomplishing the purpose for which this district | |||||||
[ |
|||||||
the bonds. The proceeds from the sale of the bonds may be | |||||||
temporarily invested in direct obligations of the United States | |||||||
Government maturing in not more than one (1) year from the date of | |||||||
investment. | |||||||
(h) In the event of a default or a threatened default in the | |||||||
payment of principal or of interest on bonds payable wholly or | |||||||
partially from revenues, any court of competent jurisdiction may, | |||||||
upon petition of the holders of outstanding bonds, appoint a | |||||||
receiver with authority to collect and receive all income of the | |||||||
district [ |
|||||||
employees of the district [ |
|||||||
(except funds received from taxes unless commingled) and manage the | |||||||
proprietary affairs of the district [ |
|||||||
hindrance by the directors [ |
|||||||
authorized to sell or make contracts for the sale of water or renew | |||||||
such contracts with the approval of the court appointing him. The | |||||||
court may vest the receiver with such other powers and duties as the | |||||||
court may find necessary for the protection of the holders of the | |||||||
bonds. The resolution authorizing the issuance of the bonds or the | |||||||
trust indenture securing the bonds [ |
|||||||
rights of the holders of less than all of the outstanding bonds | |||||||
payable from the same source to institute or prosecute any | |||||||
litigation affecting the district's [ |
|||||||
income. | |||||||
(i) Before the district [ |
|||||||
for improvements authorized herein, it shall secure prior approval | |||||||
from the commission [ |
|||||||
provided by Section 51.421, Texas Water Code. | |||||||
SECTION 5. Sections 21 and 22, Chapter 438, Acts of the 63rd | |||||||
Legislature, Regular Session, 1973, are amended to read as follows: | |||||||
Sec. 21. The district [ |
|||||||
refunding bonds for the purpose of refunding any outstanding bonds | |||||||
authorized by this Act and interest thereon. Such refunding bonds | |||||||
may be issued to refund more than one (1) series of outstanding | |||||||
bonds and combine the pledges for the outstanding bonds for the | |||||||
security of the refunding bonds, and may be secured by other or | |||||||
additional revenues and mortgage liens. The provisions of this law | |||||||
with reference to the issuance by the district [ |
|||||||
bonds, their security, and their approval by the Attorney General | |||||||
and the remedies of the holders shall be applicable to refunding | |||||||
bonds. Refunding bonds shall be registered by the Comptroller upon | |||||||
surrender and cancellation of the bonds to be refunded, but in lieu | |||||||
thereof, the resolution authorizing their issuance may provide that | |||||||
they shall be sold and the proceeds thereof deposited in the bank | |||||||
where the original bonds are payable, in which case the refunding | |||||||
bonds may be issued in an amount sufficient to pay the principal of | |||||||
and the interest on the original bonds to their option date or | |||||||
maturity date, and the Comptroller shall register them without | |||||||
concurrent surrender and cancellation of the original bonds. | |||||||
Sec. 22. Any bonds (including refunding bonds) authorized | |||||||
by this law, not payable wholly from ad valorem taxes, may be | |||||||
additionally secured by a trust indenture under which the Trustee | |||||||
may be a bank having trust powers situated either within or outside | |||||||
of the State of Texas. Such bonds, within the discretion of the | |||||||
board [ |
|||||||
trust or mortgage lien upon physical properties of the district | |||||||
[ |
|||||||
appropriation permits, leases and contracts and all rights | |||||||
appurtenant to such properties vesting in the trustee power to sell | |||||||
the properties for the payment of the indebtedness, power to | |||||||
operate the properties and all other powers and authority for the | |||||||
further security of the bonds. Such trust indenture, regardless of | |||||||
the existence of the deed of trust or mortgage lien on the | |||||||
properties may contain any provisions prescribed by the board | |||||||
[ |
|||||||
preservation of the trust estate, and may make provision for | |||||||
amendment or modification thereof and the issuance of bonds to | |||||||
replace lost or mutilated bonds, and may condition the right to | |||||||
expend district [ |
|||||||
property upon approval of a registered professional engineer | |||||||
selected as provided therein, and may make provision for the | |||||||
investment of funds of the district [ |
|||||||
under a sale under the deed of trust lien, where one is given, shall | |||||||
be the absolute owner of the properties, facilities and rights so | |||||||
purchased and shall have the right to maintain and operate the same. | |||||||
SECTION 6. Sections 23(a), (b), and (c), Chapter 438, Acts | |||||||
of the 63rd Legislature, Regular Session, 1973, are amended to read | |||||||
as follows: | |||||||
(a) No bonds payable wholly or partially from ad valorem | |||||||
taxes (except refunding bonds) shall be issued unless authorized by | |||||||
a majority vote of the constitutionally qualified electors voting | |||||||
at such election. [ |
|||||||
|
|||||||
|
|||||||
from ad valorem taxes may be issued without an election. | |||||||
(b) Such election may be called by the board [ |
|||||||
|
|||||||
shall specify the time and places of holding the same, the purpose | |||||||
for which the bonds are to be issued, the maximum amount thereof, | |||||||
the maximum maturity thereof, the form of the ballot, and the | |||||||
presiding judge for each voting place. The presiding judge serving | |||||||
at each voting place shall appoint one (1) assistant judge and at | |||||||
least two (2) clerks to assist in holding such election. Notice of | |||||||
the election shall be given by publishing a substantial copy | |||||||
thereof in one (1) newspaper published in each city contained in the | |||||||
district [ |
|||||||
publication shall be at least twenty-one (21) days prior to the | |||||||
election. In any city in which no newspaper is published, notice | |||||||
shall be given by posting a copy of the resolution in three (3) | |||||||
public places. | |||||||
(c) The returns of the election shall be made to and | |||||||
canvassed by the board [ |
|||||||
SECTION 7. Sections 24, 25, 26, and 27, Chapter 438, Acts of | |||||||
the 63rd Legislature, Regular Session, 1973, are amended to read as | |||||||
follows: | |||||||
Sec. 24. After any bonds (including refunding bonds) are | |||||||
authorized by the district [ |
|||||||
relating to their issuance shall be submitted to the Attorney | |||||||
General for [ |
|||||||
such bonds recite that they are secured by a pledge of the proceeds | |||||||
of a contract theretofore made between the district [ |
|||||||
any city or other governmental agency, authority or district, a | |||||||
copy of such contract and the proceedings of the city or other | |||||||
governmental agency, authority or district authorizing such | |||||||
contract shall also be submitted to the Attorney General. If such | |||||||
bonds have been authorized and if such contracts have been made in | |||||||
accordance with the Constitution and laws of the State of Texas he | |||||||
shall approve the bonds and such contracts and the bonds then shall | |||||||
be registered by the Comptroller of Public Accounts. Thereafter | |||||||
the bonds, and the contracts, if any, shall be valid and binding and | |||||||
shall be incontestable for any cause. | |||||||
Sec. 25. All bonds of the district [ |
|||||||
are hereby declared to be legal and authorized investments for | |||||||
banks, savings banks, trust companies, building and loan | |||||||
association, savings and loan association, insurance companies, | |||||||
fiduciaries, trustees, guardians, and for the sinking fund of | |||||||
cities, towns, villages, counties, school districts, or other | |||||||
political corporations or subdivisions of the State of Texas. Such | |||||||
bonds shall be eligible to secure the deposit of any and all public | |||||||
funds of the State of Texas, and any and all public funds of cities, | |||||||
towns, villages, counties, school districts, or other political | |||||||
corporations or subdivision of the State of Texas; and such bonds | |||||||
shall be lawful and sufficient security for said deposits to the | |||||||
extent of their value, when accompanied by all unmatured coupons | |||||||
appurtenant thereto. | |||||||
Sec. 26. The accomplishment of the purposes stated in this | |||||||
Act is for the benefit of the people of this state and for the | |||||||
improvement of their properties and industries, and the district | |||||||
[ |
|||||||
performing an essential public function under the Constitution. | |||||||
The district [ |
|||||||
assessment on the project or any part thereof, and the bonds issued | |||||||
hereunder and their transfer and the income therefrom, including | |||||||
the profits made on the sale thereof, shall at all times be free | |||||||
from taxation within this state. | |||||||
Sec. 27. The district [ |
|||||||
majority vote of the qualified property taxpaying electors of the | |||||||
district [ |
|||||||
boundaries of the district [ |
|||||||
assess and collect annual taxes to provide funds necessary to | |||||||
construct or acquire, maintain and operate dams, works, plants and | |||||||
facilities deemed essential or beneficial to the district | |||||||
[ |
|||||||
assess and collect annual taxes as provided by the Tax Code to | |||||||
provide funds adequate to defray the cost of the maintenance, | |||||||
operation and administration of the district [ |
|||||||
provided, however, that the district [ |
|||||||
power to levy or collect a tax for the maintenance, operation, and | |||||||
administration of the district [ |
|||||||
cents (50¢) on the One Hundred Dollars ($100) assessed valuation on | |||||||
the property subject to taxation. Elections for the levy of such | |||||||
taxes shall be ordered by the board [ |
|||||||
be held and conducted in the manner provided by this law relating to | |||||||
elections for the authorization of bonds. The board [ |
|||||||
|
|||||||
and proper. [ |
|||||||
|
|||||||
|
|||||||
SECTION 8. Sections 28(a), (b), (d), (e), (f), and (h), | |||||||
Chapter 438, Acts of the 63rd Legislature, Regular Session, 1973, | |||||||
are amended to read as follows: | |||||||
(a) The tax rolls of the counties situated within the | |||||||
district [ |
|||||||
tax rolls of the district [ |
|||||||
rolls shall be made by the district [ |
|||||||
(b) If the district [ |
|||||||
which are payable wholly or partially from ad valorem taxes, or | |||||||
votes the taxes as provided in Section 27 [ |
|||||||
the board annually shall cause the taxable property in the district | |||||||
[ |
|||||||
and the value of such taxable property to be equalized, and the ad | |||||||
valorem taxes in the district [ |
|||||||
accordance with any of the methods set forth in this section, and | |||||||
any method adopted shall remain in effect until changed by the | |||||||
board. | |||||||
(d) The laws of this State applicable to counties may be | |||||||
adopted and shall be used to the extent pertinent and practicable, | |||||||
provided that the board shall have the authority to act as its own | |||||||
board of equalization or to appoint three resident, qualified | |||||||
electors of the district [ |
|||||||
therein to act as the board of equalization of the district | |||||||
[ |
|||||||
qualify and perform the duties prescribed by law for county | |||||||
commissioners courts acting as boards of equalization. | |||||||
(e) The board shall be authorized to have the taxable | |||||||
property in the district [ |
|||||||
equalized, and/or its taxes collected, in whole or in part, by the | |||||||
tax assessors, board of equalization, and/or tax collectors, | |||||||
respectively, of any county, city, taxing district, or other | |||||||
governmental subdivision in which all or any part of the district | |||||||
[ |
|||||||
values thereof equalized on the same basis or a different basis than | |||||||
that used by any such governmental subdivision. Such property | |||||||
shall be assessed, the values thereof equalized, and such taxes | |||||||
collected in the manner and for such compensation as shall be agreed | |||||||
on between the appropriate parties, and the functions thus assumed | |||||||
by the officials of any such governmental subdivision shall be | |||||||
additional duties pertaining to their offices, respectively. The | |||||||
ad valorem tax law applicable to each such governmental subdivision | |||||||
shall apply to its officials in carrying out such functions for the | |||||||
district [ |
|||||||
(f) It is specifically provided, however, that under any | |||||||
method used all taxable property within the district [ |
|||||||
shall be assessed on the same basis, and the values thereof shall be | |||||||
equalized by only one board of equalization, in an equal and uniform | |||||||
manner, as required by the Texas Constitution. If the board desires | |||||||
that taxable property shall be assessed and taxes collected by the | |||||||
tax assessors and/or collectors of more than one governmental | |||||||
subdivision, the board shall either act as its own board of | |||||||
equalization or appoint three resident, qualified electors of the | |||||||
district [ |
|||||||
board of equalization, and in either case the board of equalization | |||||||
shall qualify and perform the duties prescribed by law for county | |||||||
commissioners courts acting as boards of equalization. | |||||||
(h) If the district [ |
|||||||
payable wholly or partially from ad valorem taxes, the board | |||||||
[ |
|||||||
taxes sufficient to pay the interest on and principal of said bonds, | |||||||
without limit as to the rate or the amount[ |
|||||||
|
|||||||
|
|||||||
SECTION 9. Chapter 438, Acts of the 63rd Legislature, | |||||||
Regular Session, 1973, is amended by amending Section 29 and adding | |||||||
Sections 1B, 13A, 19A, 19B, 19C, 19D, 19E, 19F, and 19G to read as | |||||||
follows: | |||||||
Sec. 29. (a) The board [ |
|||||||
one (1) or more banks within the district [ |
|||||||
depository for the funds of the district [ |
|||||||
the district [ |
|||||||
or banks except that funds pledged to pay bonds may be deposited | |||||||
with the trustee bank named in the trust agreement, and except that | |||||||
funds shall be remitted to the bank of payment for the payment of | |||||||
principal of and interest on bonds. To the extent that funds in the | |||||||
depository banks and the trustee bank are not insured by the | |||||||
F.D.I.C. they shall be secured in the manner provided by law for the | |||||||
security of county funds. | |||||||
(b) Before designating a depository bank or banks, the board | |||||||
[ |
|||||||
when and where the board [ |
|||||||
inviting the banks in the district [ |
|||||||
applications to be designated depositories. The term of service | |||||||
for depositories shall be prescribed by the board [ |
|||||||
notice shall be published one (1) time in a newspaper or newspapers | |||||||
published in the district [ |
|||||||
[ |
|||||||
(c) At the time mentioned in the notice, the board [ |
|||||||
shall consider the applications and the management and condition of | |||||||
the banks filing them, and shall designate as depositories the bank | |||||||
or banks which offer the most favorable terms and conditions for the | |||||||
handling of the funds of the district [ |
|||||||
board [ |
|||||||
warrant handling of district [ |
|||||||
board [ |
|||||||
not disqualify such bank from being designated as depository. | |||||||
(d) If no applications are received by the time stated in | |||||||
the notice, the board [ |
|||||||
within or without the district [ |
|||||||
conditions as it may find advantageous to the district [ |
|||||||
Sec. 1B. In this Act: | |||||||
(1) "Board" means the district's board of directors. | |||||||
(2) "Commission" means the Texas Commission on | |||||||
Environmental Quality. | |||||||
(3) "Director" means a member of the board. | |||||||
(4) "District" means the Palo Duro Water District. | |||||||
Sec. 13A. (a) A county or municipality may withdraw from | |||||||
the district or the district may dissolve according to this | |||||||
section. | |||||||
(b) In order to withdraw from the district or to dissolve | |||||||
the district, the governing body of a county or municipality that is | |||||||
a member of the district must issue an order or pass a resolution | |||||||
declaring the intent to withdraw from or dissolve the district. The | |||||||
order or resolution must state: | |||||||
(1) the intention to either withdraw from the district | |||||||
or call for the dissolution of the district; and | |||||||
(2) the reasons supporting the withdrawal or | |||||||
dissolution. | |||||||
(c) Not later than the 30th day after the date the district | |||||||
receives an order or resolution under Subsection (b), the district | |||||||
shall hold a public hearing on the matter described by the order or | |||||||
resolution. | |||||||
(d) In the event of a proposed withdrawal or dissolution | |||||||
under this section, the member counties and municipality must reach | |||||||
a financial agreement that: | |||||||
(1) for a withdrawal of a county or municipality from | |||||||
the district, provides for sufficient revenue for maintaining the | |||||||
Palo Duro Reservoir and the dam that impounds the water in the | |||||||
reservoir; or | |||||||
(2) for a dissolution of the district, provides for | |||||||
the transfer of: | |||||||
(A) the ownership rights of the dam to an entity | |||||||
that assumes responsibility for the maintenance of the dam and | |||||||
liability for actions related to the dam; | |||||||
(B) all assets and liabilities of the district to | |||||||
other entities; and | |||||||
(C) the responsibility for the continued | |||||||
provision of services, if the district provides services. | |||||||
(e) The board must provide an opportunity for the public to | |||||||
comment on the financial agreement described by Subsection (d) | |||||||
before the board votes as described by Subsection (f). The period | |||||||
for public comment must last not less than 10 days. | |||||||
(f) After consideration of the public comments submitted | |||||||
under Subsection (e), the board shall vote on the issue described by | |||||||
the order or resolution under Subsection (b). The board may proceed | |||||||
with the withdrawal or dissolution only if two-thirds of all of the | |||||||
members of the board vote in favor of withdrawal or dissolution. | |||||||
(g) If the board votes in favor of withdrawal or dissolution | |||||||
as provided by Subsection (f), the governing body of each county and | |||||||
municipality that is a member of the district shall vote on the | |||||||
matter of withdrawal or dissolution. | |||||||
(h) A withdrawal or dissolution authorized under this | |||||||
section does not take effect until: | |||||||
(1) the governing body of each county and municipality | |||||||
has voted in favor of withdrawal or dissolution; | |||||||
(2) all conditions specified in the financial | |||||||
agreement described by Subsection (d) have been met; and | |||||||
(3) all actions described in the financial agreement | |||||||
described by Subsection (d) have been completed. | |||||||
Sec. 19A. 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 agenda item at board meetings. | |||||||
Sec. 19B. A director who has a financial interest in a | |||||||
contract under consideration by the district for the purchase, | |||||||
sale, lease, rental, or supply of property, including supplies, | |||||||
materials, and equipment, or the construction of facilities, shall | |||||||
disclose that fact to the other members of the board and may not | |||||||
vote on or participate in discussions during board meetings on the | |||||||
acceptance of the contract. A financial interest of a director does | |||||||
not affect the validity of a contract if disclosure is made and the | |||||||
director with the financial interest does not vote on the question | |||||||
of entering into the contract. | |||||||
Sec. 19C. Not earlier than the 10th day after the date a | |||||||
director receives written notice of a charge against the director, | |||||||
and after an opportunity to be heard in person or through the | |||||||
appearance of counsel at a public hearing on the matter of the | |||||||
charge described by the notice, the board may remove a director for: | |||||||
(1) inefficiency; | |||||||
(2) neglect of duty; or | |||||||
(3) misconduct in office. | |||||||
Sec. 19D. (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 meeting of the board 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 district operations; | |||||||
(2) the programs, functions, rules, and budget of the | |||||||
district; | |||||||
(3) the scope of and limitations on the rulemaking | |||||||
authority of the district; | |||||||
(4) the results of the most recent formal audit of the | |||||||
district; | |||||||
(5) the requirements of: | |||||||
(A) laws relating to open meetings, public | |||||||
information, administrative procedure, and disclosing conflicts of | |||||||
interest; and | |||||||
(B) other laws applicable to members of the | |||||||
governing body of a water district in performing their duties; and | |||||||
(6) any applicable ethics policies adopted by the | |||||||
board 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 board shall create a training manual that includes | |||||||
the information required by Subsection (b). The board shall | |||||||
distribute a copy of the training manual annually to each director. | |||||||
On receipt of the training manual, each director shall sign a | |||||||
statement acknowledging receipt of the training manual. | |||||||
Sec. 19E. The board shall develop and implement policies | |||||||
that clearly separate the policymaking responsibilities of the | |||||||
board and the management responsibilities of the general manager | |||||||
and staff of the district. | |||||||
Sec. 19F. (a) The district shall maintain a system to | |||||||
promptly and efficiently act on complaints filed with the district. | |||||||
The district shall maintain information about parties to the | |||||||
complaint, the subject matter of the complaint, a summary of the | |||||||
results of the review or investigation of the complaint, and its | |||||||
disposition. | |||||||
(b) The district shall make information available | |||||||
describing its procedures for complaint investigation and | |||||||
resolution. | |||||||
(c) The district shall periodically notify the complaint | |||||||
parties of the status of the complaint until final disposition. | |||||||
Sec. 19G. (a) The district shall develop a policy to | |||||||
encourage the use of: | |||||||
(1) negotiated rulemaking procedures under Chapter | |||||||
2008, Government Code, for the adoption of district 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 district's | |||||||
jurisdiction. | |||||||
(b) The district'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 district shall: | |||||||
(1) coordinate the implementation of the policy | |||||||
adopted under Subsection (a); | |||||||
(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 10. Section 325.025(b), Government Code, is amended | |||||||
to read as follows: | |||||||
(b) This section applies to the: | |||||||
(1) Angelina and Neches River Authority; | |||||||
(2) Bandera County River Authority and Groundwater | |||||||
District; | |||||||
(3) Brazos River Authority; | |||||||
(4) Central Colorado River Authority; | |||||||
(5) Guadalupe-Blanco River Authority; | |||||||
(6) Lavaca-Navidad River Authority; | |||||||
(7) Lower Colorado River Authority; | |||||||
(8) Lower Neches Valley Authority; | |||||||
(9) Nueces River Authority; | |||||||
(10) [ |
|||||||
[ |
|||||||
(11) [ |
|||||||
(12) [ |
|||||||
(13) [ |
|||||||
(14) [ |
|||||||
(15) [ |
|||||||
(16) [ |
|||||||
(17) [ |
|||||||
SECTION 11. (a) The following sections of Chapter 438, Acts | |||||||
of the 63rd Legislature, Regular Session, 1973, are repealed: | |||||||
(1) Section 1A; | |||||||
(2) Section 2A; | |||||||
(3) Section 2B; | |||||||
(4) Section 4; | |||||||
(5) Section 13(e); | |||||||
(6) Section 28(i); and | |||||||
(7) Section 30. | |||||||
(b) The following sections are repealed: | |||||||
(1) Section 9, Chapter 115, Acts of the 64th | |||||||
Legislature, Regular Session, 1975; | |||||||
(2) Section 6, Chapter 17, Acts of the 68th | |||||||
Legislature, Regular Session, 1983; and | |||||||
(3) Section 4, Chapter 651, Acts of the 70th | |||||||
Legislature, Regular Session, 1987. | |||||||
SECTION 12. (a) Notwithstanding Section 19D(a), Chapter | |||||||
438, Acts of the 63rd Legislature, Regular Session, 1973, as added | |||||||
by this Act, a person serving on the board of directors of the Palo | |||||||
Duro Water District, as renamed by this Act, may vote, deliberate, | |||||||
and be counted as a director in attendance at a meeting of the board | |||||||
until December 1, 2017. | |||||||
(b) This section expires January 1, 2018. | |||||||
SECTION 13. (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 14. This Act takes effect September 1, 2017. |