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A BILL TO BE ENTITLED
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relating to the creation of the Corn Hill Regional Water Authority; |
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providing authority to issue bonds. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle F, Title 6, Special District Local Laws |
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Code, is amended by adding Chapter 8364 to read as follows: |
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CHAPTER 8364. CORN HILL REGIONAL WATER AUTHORITY |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 8364.001. DEFINITIONS. In this chapter: |
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(1) "Authority" means the Corn Hill Regional Water |
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Authority. |
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(2) "Board" means the authority's board of directors. |
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(3) "Commission" means the Texas Commission on |
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Environmental Quality. |
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(4) "Director" means a board member. |
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(5) "Member entity" means a municipality or other |
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political subdivision that is a member under Section 8364.071. |
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Sec. 8364.002. NATURE OF AUTHORITY. The authority is a |
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conservation and reclamation district created under Section 59, |
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Article XVI, Texas Constitution. |
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Sec. 8364.003. CONFIRMATION ELECTION NOT REQUIRED. The |
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authority is not required to hold an election to confirm the |
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creation of the authority. |
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Sec. 8364.004. FINDINGS OF PUBLIC PURPOSE AND BENEFIT. (a) |
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The authority is created to serve a public purpose and benefit. |
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(b) All land and other property included in the authority |
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will benefit from the improvements and services to be provided by |
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the authority under powers conferred by Section 59, Article XVI, |
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Texas Constitution, and other powers granted under this chapter. |
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(c) The authority is created to accomplish the control, |
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storage, conservation, preservation, distribution, and use of |
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water for domestic, industrial, municipal, and all other useful |
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purposes as provided by Section 59, Article XVI, Texas |
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Constitution. |
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(d) The creation of the authority is in the public interest |
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and is essential to: |
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(1) further the public purposes of developing and |
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diversifying the economy of the state; |
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(2) eliminate unemployment and underemployment; |
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(3) develop or expand commerce; and |
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(4) conserve the natural resources of this state. |
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(e) The authority will: |
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(1) promote the health, safety, and general welfare of |
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residents, employers, potential employees, employees, visitors, |
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and consumers in the authority, and of the public; and |
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(2) provide needed funding for the authority to |
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preserve, maintain, and enhance the economic health and vitality of |
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the authority territory as a community and business center. |
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Sec. 8364.005. AUTHORITY TERRITORY. The authority is |
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composed of the territory in the member entities. |
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Sec. 8364.006. CHANGE IN MEMBERSHIP OR TERRITORY; |
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NOTIFICATION TO COMMISSION. The authority shall notify the |
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commission of any changes in its membership or territory. |
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[Sections 8364.007-8364.050 reserved for expansion] |
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SUBCHAPTER B. BOARD OF DIRECTORS |
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Sec. 8364.051. GOVERNING BODY; TERMS. (a) The authority is |
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governed by a board of appointed directors. |
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(b) Directors serve staggered three-year terms, with terms |
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expiring on September 1. |
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(c) Each member entity shall appoint two directors. |
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(d) A director serves at the pleasure of the governing body |
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of the member entity that appointed the director. A member entity |
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may remove the director and appoint a new director at any time by |
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resolution or ordinance of the governing body of the member entity. |
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[Sections 8364.052-8364.070 reserved for expansion] |
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SUBCHAPTER B-1. AUTHORITY MEMBERSHIP |
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Sec. 8364.071. INITIAL MEMBER ENTITIES. The initial member |
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entities are: |
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(1) Sonterra Municipal Utility District; and |
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(2) CLL Municipal Utility District No. 1. |
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Sec. 8364.072. PETITION TO JOIN AUTHORITY. (a) A |
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municipality or other political subdivision may petition the board |
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to add that municipality or political subdivision as a member |
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entity. |
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(b) Before a new member entity may be added to the |
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authority, the petition must be approved by a joint resolution or |
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ordinance of the governing body of each member entity. |
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Sec. 8364.073. PETITION TO LEAVE AUTHORITY. (a) A member |
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entity may petition the board to leave the authority. |
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(b) If the authority determines that allowing the member |
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entity to leave the authority will not impair any outstanding bonds |
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or other obligations of the authority on the date the board receives |
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the petition, the board may approve the petition. |
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(c) If on the date the board receives the petition the |
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authority has bonds or other obligations outstanding for which the |
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member entity seeking to leave is wholly or partly responsible, the |
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board may approve the petition only if: |
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(1) the member entity agrees to pay its share of the |
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bonds or other obligations; and |
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(2) the authority determines that as a result of that |
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payment the remaining bonds or other obligations of the authority |
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will not be impaired. |
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[Sections 8364.074-8364.100 reserved for expansion] |
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SUBCHAPTER C. POWERS AND DUTIES |
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Sec. 8364.101. SERVICE TO MEMBER ENTITIES. The authority |
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shall serve its member entities. |
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Sec. 8364.102. GENERAL POWERS AND DUTIES. The authority |
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has the powers and duties necessary to accomplish the purposes for |
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which the authority is created. |
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Sec. 8364.103. MUNICIPAL UTILITY DISTRICT POWERS AND |
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DUTIES. The authority has the powers and duties provided by the |
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general law of this state, including Chapters 49 and 54, Water Code, |
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applicable to municipal utility districts created under Section 59, |
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Article XVI, Texas Constitution. |
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[Sections 8364.104-8364.150 reserved for expansion] |
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SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS |
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Sec. 8364.151. AUTHORITY TO ISSUE BONDS AND OTHER |
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OBLIGATIONS. (a) For any authorized authority purpose, the |
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authority may issue bonds or other obligations payable wholly or |
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partly from revenue of the authority's water system, including |
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revenue from contracts with member entities or customers. |
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(b) To provide revenue under Subsection (a), a member entity |
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may make payments under a contract with the authority from any of |
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the member entity's sources of revenue, including ad valorem taxes, |
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impact fees, grants, sales and use taxes, and any other source. |
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Sec. 8364.152. NO TAXING POWER. The authority may not |
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impose a tax. |
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SECTION 2. (a) Not later than September 15, 2011, the |
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Sonterra Municipal Utility District and the CLL Municipal Utility |
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District No. 1 shall each appoint two directors to the board of |
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directors of the Corn Hill Regional Water Authority under Section |
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8364.051, Special District Local Laws Code, as added by this Act. |
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(b) To establish staggered three-year terms required under |
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Section 8364.051, Special District Local Laws Code, as added by |
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this Act, the initial directors appointed under that section shall, |
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unless otherwise agreed, determine by lot which of the directors |
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shall serve a one-year, two-year, or three-year term. |
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SECTION 3. (a) The legal notice of the intention to |
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introduce this Act, setting forth the general substance of this |
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Act, has been published as provided by law, and the notice and a |
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copy of this Act have been furnished to all persons, agencies, |
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officials, or entities to which they are required to be furnished |
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under Section 59, Article XVI, Texas Constitution, and Chapter 313, |
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Government Code. |
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(b) The governor, one of the required recipients, has |
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submitted the notice and Act to the Texas Commission on |
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Environmental Quality. |
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(c) The Texas Commission on Environmental Quality has filed |
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its recommendations relating to this Act with the governor, the |
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lieutenant governor, and the speaker of the house of |
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representatives within the required time. |
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(d) All requirements of the constitution and laws of this |
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state and the rules and procedures of the legislature with respect |
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to the notice, introduction, and passage of this Act are fulfilled |
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and accomplished. |
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SECTION 4. (a) Any eminent domain powers granted under |
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general law to the Corn Hill Regional Water Authority as created by |
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this Act take effect only if this Act receives a two-thirds vote of |
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all the members elected to each house. |
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(b) If this Act does not receive a two-thirds vote of all the |
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members elected to each house, Subchapter C, Chapter 8364, Special |
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District Local Laws Code, as added by Section 1 of this Act, is |
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amended by adding Section 8364.104 to read as follows: |
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Sec. 8364.104. NO EMINENT DOMAIN POWER. The authority may |
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not exercise the power of eminent domain. |
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(c) This section is not intended to be an expression of a |
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legislative interpretation of the requirements of Section 17(c), |
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Article I, Texas Constitution. |
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SECTION 5. Except as provided by Section 4 of this Act: |
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(1) this Act takes effect immediately if it receives a |
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vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution; and |
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(2) if this Act does not receive the vote necessary for |
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immediate effect, this Act takes effect September 1, 2011. |