89R25545 SCF-F     By: Guillen H.B. No. 5320     Substitute the following for H.B. No. 5320:     By:  Martinez C.S.H.B. No. 5320       A BILL TO BE ENTITLED   AN ACT   relating to the powers, duties, and governance of the Starr County   Drainage District, the change of the name of the Starr County   Drainage District to the Starr County Drainage and Groundwater   Conservation District, the dissolution of the Starr County   Groundwater Conservation District, and the transfer of the assets   and liabilities of the Starr County Groundwater Conservation   District to the Starr County Drainage and Groundwater Conservation   District; authorizing the imposition of a tax.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 6606, Special District Local Laws Code,   is transferred to Subtitle X, Title 6, Special District Local Laws   Code, redesignated as Chapter 11022, Special District Local Laws   Code, and amended to read as follows:   CHAPTER 11022 [6606]. STARR COUNTY DRAINAGE AND GROUNDWATER   CONSERVATION DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 11022.0101  [6606.001].  DEFINITIONS.  In this   chapter:                (1)  "Board" means the district's board of directors.                (2)  "Director" means a member of the board.                (3)  "District" means the Starr County Drainage and   Groundwater Conservation District.          Sec. 11022.0102  [6606.002].  NATURE OF DISTRICT. The   district is a drainage and groundwater conservation district   created in Starr County under Section 59, Article XVI, Texas   Constitution[, subject to approval at a confirmation election under   Section 6606.102].          Sec. 11022.0103 [6606.003].  FINDINGS OF BENEFIT AND   PURPOSE. (a) The district is created to serve a public use and   benefit.          (b)  All land and other property included in the district   will benefit from the works and projects that are to be accomplished   by the district under powers conferred by Section 59, Article XVI,   Texas Constitution.          (c)  The district is essential to accomplish the purposes of   Section 59, Article XVI, Texas Constitution.          Sec. 11022.0104 [6606.004].  DISTRICT TERRITORY. The   district territory is coextensive with the boundaries of Starr   County, Texas.   SUBCHAPTER B. BOARD OF DIRECTORS          Sec. 11022.0201 [6606.051].  DIRECTORS. [(a)] The district   is governed by a board of five directors appointed by the   [consisting of the] Commissioners Court of Starr County as follows:                (1)  one director who is a bona fide agricultural   producer for whom a substantial portion of the person's income is   derived from conducting agricultural business in the district;                (2)  one director who is an employee of a rural water   supply entity in the district;                 (3)  one director who represents municipal interests in   the district;                (4)  one director who represents active industrial   interests in the district; and                (5)  one director who represents Starr County at large.          [(b)  Service on the board is an additional duty of office   for a member of the Commissioners Court of Starr County.]   SUBCHAPTER C. POWERS, [AND] DUTIES, AND FINANCIAL PROVISIONS          Sec. 11022.0301  [6606.101].  GENERAL POWERS AND DUTIES.   (a)  The district has all rights, powers, privileges, functions,   and duties provided by the general law of this state applicable to a   drainage district created under Section 59, Article XVI, Texas   Constitution, including Chapters 36, 49, and 56, Water Code.          (b)  The district may impose an ad valorem tax as provided by   Chapter 49, Water Code.          [Sec. 6606.102.  CONFIRMATION ELECTION. (a) The board   shall hold an election to confirm the creation of the district.          [(b)  Section 41.001(a), Election Code, does not apply to a   confirmation election under this section.          [(c)  Except as provided by this section, the confirmation   election must be conducted as provided by Sections 49.102(a)-(f),   Water Code, and the Election Code.          [(d)  The district is not required to elect directors at the   confirmation election.]          Sec. 11022.0302 [6606.103].  UTILITY PROPERTY EXEMPTION   FROM IMPACT FEES, STANDBY FEES, AND ASSESSMENTS. The district may   not impose an impact fee, standby fee, or assessment on the   property, including the equipment, rights-of-way, easements,   facilities, or improvements, of:                (1)  an electric utility or a power generation company   as defined by Section 31.002, Utilities Code;                (2)  a gas utility as defined by Section 101.003 or   121.001, Utilities Code;                (3)  a telecommunications provider as defined by   Section 51.002, Utilities Code; or                (4)  a person who provides to the public cable   television or advanced telecommunications services.          SECTION 2.  Sections 8803.103 and 8803.104, Special District   Local Laws Code, are transferred to Subchapter C, Chapter 11022,   Special District Local Laws Code, as added by this Act,   redesignated as Sections 11022.0303 and 11022.0304, Special   District Local Laws Code, and amended to read as follows:          Sec. 11022.0303 [8803.103].  POWER TO CONTRACT WITH   MUNICIPALITIES.  The district may enter into a contract with a   municipality to assume the functions of the municipality's   municipally owned utility.  A contract under this section may   include provisions for the district's:                (1)  assumption of the debts, liabilities, and   obligations of the municipally owned utility;                (2)  ownership or use of the assets and facilities of   the municipally owned utility; and                (3)  performance of the functions and services   previously provided by the municipally owned utility.          Sec. 11022.0304 [8803.104].  RELATION TO OTHER   WATER-RELATED ENTITIES.  (a)  To the extent that a rule of the   district conflicts with a rule of the regional water authority, the   rule of the authority controls.          (b)  To the extent that a rule of the district conflicts with   an action of a municipally owned utility or water supply or sewer   service corporation whose certificated area is located wholly or   partly in the district's territory, the action of the utility or   corporation controls.          (c)  Notwithstanding Subsections (a) and (b), to the extent   that a rule of the district concerning groundwater conflicts with a   rule of the regional water authority or with an action of a   municipally owned utility or water supply or sewer service   corporation whose certificated area is located wholly or partly in   the district's territory, the rule of the district controls.          SECTION 3.  The following provisions of the Special District   Local Laws Code are repealed:                (1)  Subchapters A, B, and D, Chapter 8803;                (2)  Sections 8803.101 and 8803.102;                (3)  the heading to Subchapter C, Chapter 8803; and                (4)  the heading to Chapter 8803.          SECTION 4.  (a)  On the effective date of this Act:                (1)  the Starr County Groundwater Conservation   District is dissolved;                (2)  the terms of the directors of the Starr County   Groundwater Conservation District expire;                (3)  any assets and liabilities of the Starr County   Groundwater Conservation District are transferred to the Starr   County Drainage and Groundwater Conservation District;                (4)  a contract with any party and the Starr County   Groundwater Conservation District is a contract between that party   and the Starr County Drainage and Groundwater Conservation   District;                (5)  an employee of the Starr County Groundwater   Conservation District is an employee of the Starr County Drainage   and Groundwater Conservation District;                (6)  records of the Starr County Groundwater   Conservation District are records of the Starr County Drainage and   Groundwater Conservation District; and                (7)  the Starr County Drainage and Groundwater   Conservation District may, in all respects, conduct the affairs of   the Starr County Groundwater Conservation District as provided by   Subsection (b) of this section.          (b)  The Starr County Drainage and Groundwater Conservation   District shall take any action necessary to close the affairs of the   Starr County Groundwater Conservation District, including the   filing of any dissolution documents with the Texas Commission on   Environmental Quality.          SECTION 5.  (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 6.  This Act takes effect immediately if it receives   a vote of two-thirds of all the members elected to each house, as   provided by Section 39, Article III, Texas Constitution.  If this   Act does not receive the vote necessary for immediate effect, this   Act takes effect September 1, 2025.