89R12540 JG-D     By: Leach H.B. No. 1615       A BILL TO BE ENTITLED   AN ACT   relating to the nonsubstantive revision of certain local laws   concerning water and wastewater special districts, including a   conforming amendment.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:   ARTICLE 1. NONSUBSTANTIVE REVISION OF LOCAL LAWS          SECTION 1.01.  NAVIGATION DISTRICT. Subtitle A, Title 5,   Special District Local Laws Code, is amended by adding Chapter 5008   to read as follows:   CHAPTER 5008. WILLACY COUNTY NAVIGATION DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS   Sec. 5008.0101.  DEFINITIONS    Sec. 5008.0102.  FINDINGS OF PURPOSE    SUBCHAPTER B. DISTRICT ADMINISTRATION   Sec. 5008.0201.  BOARD OF COMMISSIONERS; TERM    Sec. 5008.0202.  ELECTION OF COMMISSIONERS    Sec. 5008.0203.  PRESIDING OFFICER    Sec. 5008.0204.  GENERAL MANAGER OR PORT DIRECTOR    SUBCHAPTER C. POWERS AND DUTIES   Sec. 5008.0301.  AUTHORITY TO ACQUIRE AND LEASE LAND;                     EMINENT DOMAIN    Sec. 5008.0302.  AUTHORITY TO SELL LAND    Sec. 5008.0303.  AUTHORITY TO LEASE OR GRANT EASEMENTS                     FOR CERTAIN PURPOSES    Sec. 5008.0304.  CONVEYANCE AND ACQUISITION OF CERTAIN                     PROPERTY    Sec. 5008.0305.  ENTRY ON PROPERTY    Sec. 5008.0306.  POWERS REGARDING PUBLIC AIRPORTS    Sec. 5008.0307.  LAW ENFORCEMENT AND SECURITY SERVICES    SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS   Sec. 5008.0401.  AD VALOREM TAX FOR MAINTENANCE AND                     OPERATIONS    SUBCHAPTER E. BONDS   Sec. 5008.0501.  APPLICABILITY OF SUBCHAPTER    Sec. 5008.0502.  NOTICE OF ELECTION    Sec. 5008.0503.  FORM OF BONDS    Sec. 5008.0504.  TAXES FOR BONDS    CHAPTER 5008. WILLACY COUNTY NAVIGATION DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 5008.0101.  DEFINITIONS. In this chapter:                (1)  "Board" means the district's board of navigation   and canal commissioners.                (2)  "Commissioner" means a board member.                (3)  "District" means the Willacy County Navigation   District. (Acts 53rd Leg., R.S., Ch. 404, Sec. 1A.)          Sec. 5008.0102.  FINDINGS OF PURPOSE. The creation of the   district is essential to accomplish the purposes of Section 59,   Article XVI, Texas Constitution. (Acts 53rd Leg., R.S., Ch. 404,   Sec. 8 (part).)   SUBCHAPTER B. DISTRICT ADMINISTRATION          Sec. 5008.0201.  BOARD OF COMMISSIONERS; TERM. (a) The   board consists of five elected commissioners.          (b)  Commissioners serve staggered four-year terms.  (Acts   53rd Leg., R.S., Ch. 404, Secs. 1B(c) (part), (d).)          Sec. 5008.0202.  ELECTION OF COMMISSIONERS. (a) The   district is divided into four numbered single-member districts for   electing commissioners.          (b)  The board may revise the single-member districts as   necessary or appropriate.          (c)  One commissioner is elected from each single-member   district, and one commissioner is elected from the district at   large.          (d)  The board shall hold an election on the uniform election   date in November of each even-numbered year to elect the   appropriate number of commissioners. (Acts 53rd Leg., R.S., Ch.   404, Secs. 1B(a), (b), (c) (part), 1C.)          Sec. 5008.0203.  PRESIDING OFFICER. The commissioner   elected from the district at large serves as the board's presiding   officer. (Acts 53rd Leg., R.S., Ch. 404, Sec. 1B(e).)          Sec. 5008.0204.  GENERAL MANAGER OR PORT DIRECTOR. (a) The   board may:                (1)  employ a general manager or port director; and                (2)  give the manager or director full administrative   authority to manage and operate the district's affairs, subject   only to the board's supervision.          (b)  The board shall set the term of office and compensation   of the general manager or port director. (Acts 53rd Leg., R.S., Ch.   404, Sec. 6.)   SUBCHAPTER C.  POWERS AND DUTIES          Sec. 5008.0301.  AUTHORITY TO ACQUIRE AND LEASE LAND;   EMINENT DOMAIN. (a)  The district may own land adjacent or   accessible to the navigable water in the district, whether acquired   by gift, purchase, or exercise of the power of eminent domain.          (b)  The district may:                (1)  lease all or any part of land the district owns for   any term the board considers prudent or advisable to:                      (A)  an individual;                      (B)  a corporation; or                      (C)  a government or governmental agency,   including this state or the United States; and                (2)  charge a reasonable toll, fee, rent, or other   charge for the lease.          (c)  This section does not prevent the district from granting   a revocable license or permit for the use of a limited portion of a   waterfront facility or land the district owns for a purpose   consistent with the development of the district's property.          (d)  The district's authority under this section to exercise   the power of eminent domain expired on September 1, 2013, unless the   district submitted a letter to the comptroller in accordance with   Section 2206.101(b), Government Code, not later than December 31,   2012. (Acts 53rd Leg., R.S., Ch. 404, Sec. 1 (part); Acts 55th   Leg., R.S., Ch. 141, Sec. 1 (part); New.)          Sec. 5008.0302.  AUTHORITY TO SELL LAND. The district may   sell any part of land the district owns to any government or   governmental agency, including this state or the United States, for   any amount of money the board considers prudent and advisable if the   board considers the sale necessary and advisable for the proper   development of the port. (Acts 55th Leg., R.S., Ch. 141, Sec. 2.)          Sec. 5008.0303.  AUTHORITY TO LEASE OR GRANT EASEMENTS FOR   CERTAIN PURPOSES. The district may, for causeway, road, or public   utility purposes, lease, or grant an easement over or along, any   real property the district owns or holds in fee simple or by patent,   easement, or otherwise to:                (1)  an individual;                (2)  a corporation; or                (3)  a government or governmental entity, including   this state or the United States. (Acts 55th Leg., R.S., Ch. 141,   Sec. 1a.)          Sec. 5008.0304.  CONVEYANCE AND ACQUISITION OF CERTAIN   PROPERTY. (a) This section applies only to property, including   land or an interest in land, that:                (1)  the district owns;                (2)  the United States desires to enable a United   States department or establishment to carry out the provisions of   an act of Congress in aid of navigation, flood control, or   improvement of water courses in aid of navigation; and                (3)  may be necessary for the construction, operation,   and maintenance of works required for a purpose described by   Subdivision (2).          (b)  The district may:                (1)  on the request of the United States, convey title   or an easement to property, including land or an interest in land,   to the United States with or without monetary consideration; and                (2)  acquire land or a right-of-way necessary to carry   out the provisions or meet the conditions of an act of Congress   described by Subsection (a). (Acts 53rd Leg., R.S., Ch. 404, Sec.   2.)          Sec. 5008.0305.  ENTRY ON PROPERTY. District commissioners,   engineers, and employees may enter any land in the district to   attend to any district business, including to examine the land and   to make plans, surveys, maps, and profiles for improvements   contemplated by the district.  (Acts 53rd Leg., R.S., Ch. 404, Sec.   3.)          Sec. 5008.0306.  POWERS REGARDING PUBLIC AIRPORTS. (a) The   district, in carrying out the district's powers and functions under   the constitution and statutes of this state, may:                (1)  plan, acquire, own, control, protect, develop,   maintain, and operate, or arrange by lease or contract for the   operation of, a public airport; and                (2)  exercise for a purpose described by Subdivision   (1) any powers granted to the district for other port purposes.          (b)  The district may:                (1)  enter into grant agreements with the United States   to obtain federal grant-in-aid money for public airport purposes;   and                (2)  accept, receive, disburse, and spend the money for   the purposes, and in accordance with the time and conditions,   provided by the applicable grant agreements. (Acts 56th Leg.,   R.S., Ch. 392, Secs. 1, 2.)          Sec. 5008.0307.  LAW ENFORCEMENT AND SECURITY SERVICES. The   board may:                (1)  employ and set the compensation of security   personnel to protect the district's property; or                (2)  pay all or a part of the compensation of a deputy   sheriff of Willacy County or a deputy constable of any precinct in   which the district owns navigation facilities for special services   provided to the district in policing the district's property and   enforcing state laws in the district's territory. (Acts 53rd Leg.,   R.S., Ch. 404, Sec. 7.)   SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS          Sec. 5008.0401.  AD VALOREM TAX FOR MAINTENANCE AND   OPERATIONS. (a) The board may impose an ad valorem tax at a rate   not to exceed 20 cents on each $100 valuation of taxable property in   the district for the maintenance and operation of the district and   the district's properties.          (b)  The tax at its authorized rate must be imposed in the   manner prescribed for bond taxes under Subchapter E, subject to the   limit prescribed by Subsection (a). (Acts 53rd Leg., R.S., Ch. 404,   Sec. 5 (part).)   SUBCHAPTER E. BONDS          Sec. 5008.0501.  APPLICABILITY OF SUBCHAPTER. This   subchapter applies only to bonds payable from both ad valorem taxes   and district revenue. (New.)          Sec. 5008.0502.  NOTICE OF ELECTION. (a) Instead of any   other notice required by law, notice of an election to issue bonds   must be published once a week for two consecutive weeks in a   newspaper of general circulation in the district and must state:                (1)  the date of the election;                (2)  the place at which the election will be held; and                (3)  the proposition to be voted on at the election.          (b)  The first publication under Subsection (a) must be at   least 14 days before the date of the election. (Acts 53rd Leg.,   R.S., Ch. 404, Sec. 4 (part).)          Sec. 5008.0503.  FORM OF BONDS. Bonds authorized at an   election must be:                (1)  issued by board order; and                (2)  signed by the board's presiding officer and   secretary. (Acts 53rd Leg., R.S., Ch. 404, Sec. 4 (part).)          Sec. 5008.0504.  TAXES FOR BONDS. (a) If bonds are issued,   the board shall impose an ad valorem tax on all taxable property in   the district in each year during which the bonds are outstanding and   unpaid.          (b)  The board shall impose the tax at the rate necessary to   generate an amount of revenue which, together with the net revenue   in the interest and sinking fund for the bonds at that time, is   sufficient to pay the principal of and interest on the bonds that   will be due during the next fiscal year.          (c)  The board shall certify to the Willacy County tax   assessor-collector the rate of the tax imposed for the bonds.          (d)  The Willacy County tax assessor-collector shall:                (1)  collect the bond taxes in the same manner provided   by law for the collection of other district taxes; and                (2)  remit all taxes collected to:                      (A)  the county treasurer of Willacy County; or                      (B)  the district's account. (Acts 53rd Leg.,   R.S., Ch. 404, Sec. 4 (part).)          SECTION 1.02.  RIVER AUTHORITIES. Subtitle G, Title 6,   Special District Local Laws Code, is amended by adding Chapters   8512 and 8515 to read as follows:   CHAPTER 8512. GUADALUPE-BLANCO RIVER AUTHORITY   SUBCHAPTER A. GENERAL PROVISIONS   Sec. 8512.0101.  DEFINITIONS    Sec. 8512.0102.  CREATION AND NATURE OF AUTHORITY    Sec. 8512.0103.  REVIEW SCHEDULE UNDER SUNSET ACT    Sec. 8512.0104.  TERRITORY    Sec. 8512.0105.  LIBERAL CONSTRUCTION OF CHAPTER    SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS   Sec. 8512.0201.  NATURE OF BOARD    Sec. 8512.0202.  MEMBERSHIP OF BOARD    Sec. 8512.0203.  TERMS    Sec. 8512.0204.  REMOVAL    Sec. 8512.0205.  VACANCY    Sec. 8512.0206.  VOTING REQUIREMENT    Sec. 8512.0207.  OFFICERS, AGENTS, AND EMPLOYEES    Sec. 8512.0208.  SURETY BONDS    Sec. 8512.0209.  AUTHORITY'S DOMICILE AND OFFICE    Sec. 8512.0210.  DIRECTOR TRAINING PROGRAM    Sec. 8512.0211.  SEPARATION OF POLICYMAKING AND                     MANAGEMENT FUNCTIONS    Sec. 8512.0212.  COMPLAINTS    Sec. 8512.0213.  ALTERNATIVE DISPUTE RESOLUTION                     PROCEDURES    Sec. 8512.0214.  PUBLIC TESTIMONY    Sec. 8512.0215.  SEAL    SUBCHAPTER C. POWERS AND DUTIES   Sec. 8512.0301.  GENERAL POWERS    Sec. 8512.0302.  POWERS RELATED TO WATER OF RIVERS AND                     STREAMS    Sec. 8512.0303.  POWERS RELATED TO GROUNDWATER    Sec. 8512.0304.  ACQUISITION OF WATER, WATER SUPPLY                     FACILITIES, AND CONSERVATION STORAGE                     CAPACITY    Sec. 8512.0305.  USE, DISTRIBUTION, AND SALE OF WATER                     OUTSIDE AUTHORITY    Sec. 8512.0306.  DEVELOPMENT, GENERATION, DISTRIBUTION,                     AND SALE OF WATER POWER AND ELECTRIC                     ENERGY    Sec. 8512.0307.  PREVENTION OF DAMAGE TO PERSONS OR                     PROPERTY    Sec. 8512.0308.  FORESTATION AND REFORESTATION;                     PREVENTION OF SOIL EROSION AND                     FLOODS    Sec. 8512.0309.  DEVELOPMENT OF NAVIGATION AND RELATED                     FACILITIES    Sec. 8512.0310.  DEVELOPMENT OF RECLAMATION AND                     DRAINAGE OF CERTAIN LAND AND RELATED                     FACILITIES    Sec. 8512.0311.  WASTE MANAGEMENT    Sec. 8512.0312.  CONSERVATION AND DEVELOPMENT FOR                     RECREATION    Sec. 8512.0313.  ACQUISITION OR OPERATION OF PROPERTY    Sec. 8512.0314.  EMINENT DOMAIN    Sec. 8512.0315.  SALE, LEASE, OR OTHER DISPOSITION OF                     PROPERTY    Sec. 8512.0316.  OVERFLOW OR INUNDATION OF PUBLIC                     PROPERTY; RELOCATION OF FACILITIES    Sec. 8512.0317.  CONSTRUCTION, MAINTENANCE, AND                     OPERATION OF FACILITIES    Sec. 8512.0318.  GENERAL CONTRACT POWERS    Sec. 8512.0319.  JOINT PROJECTS RELATED TO PROPERTY    Sec. 8512.0320.  STATE SUPERVISION AND APPROVAL    Sec. 8512.0321.  ADDITIONAL POWERS RELATING TO                     CONTRACTS, RULES, AND REGULATIONS    Sec. 8512.0322.  PUBLIC USE OF AUTHORITY'S SURPLUS LAND    Sec. 8512.0323.  EFFECT OF CHAPTER ON WATER RIGHTS AND                     GROUNDWATER REGULATION    Sec. 8512.0324.  APPLICABILITY OF CERTAIN STATUTES    SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS   Sec. 8512.0401.  DISBURSEMENT OF MONEY    Sec. 8512.0402.  ACCOUNTS, CONTRACTS, AND OTHER                     RECORDS; PUBLIC INSPECTION    Sec. 8512.0403.  FILING OF AUDIT REPORT    Sec. 8512.0404.  ASSET MANAGEMENT PLAN    Sec. 8512.0405.  RATES AND OTHER CHARGES    Sec. 8512.0406.  USE OF EXCESS REVENUE    Sec. 8512.0407.  PAYMENTS UNDER AGREEMENTS FOR USE OR                     SALE OF PROPERTY    Sec. 8512.0408.  TAX, ASSESSMENT, OR PLEDGE OF CREDIT                     OF STATE NOT AUTHORIZED BY CHAPTER    SUBCHAPTER E. BORROWED MONEY AND GRANTS   Sec. 8512.0501.  LOANS AND GRANTS    Sec. 8512.0502.  STATE PLEDGE REGARDING RIGHTS AND                     REMEDIES OF BONDHOLDERS    Sec. 8512.0503.  OBLIGATION PAYABLE FROM REVENUE    Sec. 8512.0504.  POWER TO ISSUE BONDS    Sec. 8512.0505.  TERMS OF ISSUANCE    Sec. 8512.0506.  DEPOSIT OF PROCEEDS    Sec. 8512.0507.  RESOLUTION PROVISIONS    Sec. 8512.0508.  DEFAULT PROCEDURES    Sec. 8512.0509.  INTERIM BONDS    Sec. 8512.0510.  TEMPORARY BONDS    Sec. 8512.0511.  REFUNDING BONDS    Sec. 8512.0512.  POWER OF AUTHORITY TO PURCHASE BONDS                     ISSUED BY AUTHORITY    Sec. 8512.0513.  BONDS EXEMPT FROM TAXATION    CHAPTER 8512. GUADALUPE-BLANCO RIVER AUTHORITY   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 8512.0101.  DEFINITIONS. In this chapter:                (1)  "Authority" means the Guadalupe-Blanco River   Authority.                (2)  "Board" means the authority's board of directors.                (3)  "Bond" means a bond or note.                (4)  "Commission" means the Texas Commission on   Environmental Quality.                (5)  "Director" means a board member.  (Acts 43rd Leg.,   1st C.S., Ch. 75, Secs. 1 (part), 4(a) (part), 11 (part); New.)          Sec. 8512.0102.  CREATION AND NATURE OF AUTHORITY. (a) The   authority is a conservation and reclamation district.          (b)  The authority's creation is essential to the   accomplishment of the purposes of Section 59, Article XVI, Texas   Constitution.  (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 1 (part).)          Sec. 8512.0103.  REVIEW SCHEDULE UNDER SUNSET ACT. A review   of the authority under Section 325.025, Government Code, shall be   conducted as if the authority were a state agency scheduled to be   abolished September 1, 2031, and every 12th year after that year.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 1A(a) (part).)          Sec. 8512.0104.  TERRITORY. (a) The authority is composed   of the territory described by Subsection (b) as that territory may   have been modified under:                (1)  Subchapter J, Chapter 49, Water Code; or                (2)  other law.          (b)  The authority's territory consists of that part of this   state included in Caldwell, Calhoun, Comal, DeWitt, Guadalupe,   Gonzales, Hays, Kendall, Refugio, and Victoria Counties. (Acts 43rd   Leg., 1st C.S., Ch. 75, Sec. 1 (part); New.)          Sec. 8512.0105.  LIBERAL CONSTRUCTION OF CHAPTER. This   chapter shall be liberally construed to effectuate the chapter's   purposes. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 18.)   SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS          Sec. 8512.0201.  NATURE OF BOARD. The board is a state board   of a state agency as contemplated by Section 30a, Article XVI, Texas   Constitution. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 4(a) (part).)          Sec. 8512.0202.  MEMBERSHIP OF BOARD. (a) The board   consists of nine directors appointed by the governor with the   advice and consent of the senate from a list of nominations provided   to the governor by the commission.          (b)  Each director must:                (1)  be a freehold property tax payer of this state; and                (2)  reside in one of the counties included in the   authority.          (c)  Only one director may be appointed from any county.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 4(a) (part).)          Sec. 8512.0203.  TERMS. Directors serve staggered six-year   terms, with three directors' terms expiring February 1 of each   odd-numbered year. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 4(a)   (part).)          Sec. 8512.0204.  REMOVAL. The governor may remove a   director for inefficiency, neglect of duty, or misconduct in   office, after:                (1)  at least 10 days' written notice of the charge   against the director; and                (2)  an opportunity for the director to be heard in   person or by counsel at a public hearing. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 4(a) (part).)          Sec. 8512.0205.  VACANCY. The governor shall fill a vacancy   on the board for the unexpired term. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 4(a) (part).)          Sec. 8512.0206.  VOTING REQUIREMENT. (a) Except as provided   by this chapter or the bylaws, the board may take action by the   affirmative vote of a majority of the directors present at a   meeting.          (b)  The following are valid only if authorized or ratified   by the affirmative vote of at least five directors:                (1)  a contract that involves an amount greater than   $100,000 or has a duration of more than one year;                (2)  a bond or other evidence of indebtedness; or                (3)  an amendment of the bylaws. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 4(b) (part).)          Sec. 8512.0207.  OFFICERS, AGENTS, AND EMPLOYEES. (a) The   governor shall designate a director as the board's presiding   officer, who serves at the will of the governor.          (b)  The board shall select a secretary, a general manager,   and a treasurer.          (c)  The secretary shall keep accurate and complete records   of all board proceedings.          (d)  Until the board selects a secretary, or if the secretary   is absent or unable to act, the board shall select a secretary pro   tem.          (e)  The general manager is the authority's chief executive   officer.          (f)  The secretary, secretary pro tem, general manager, and   treasurer have the powers and duties, hold office for the term, and   are subject to removal in the manner provided by the bylaws.          (g)  The board shall set the compensation of the secretary,   secretary pro tem, general manager, and treasurer.          (h)  The board may appoint other officers, agents, and   employees, set their compensation and term of office, prescribe   their duties and the method by which they may be removed, and   delegate to them any of the board's powers and duties as the board   considers proper. (Acts 43rd Leg., 1st C.S., Ch. 75, Secs. 2(u),   5.)          Sec. 8512.0208.  SURETY BONDS. (a) The general manager, the   treasurer, and any other authority officer, agent, or employee who   is charged with the collection, custody, or payment of authority   money shall give bond conditioned on:                (1)  the faithful performance of the person's duties;   and                (2)  an accounting for all authority money and property   coming into the person's possession.          (b)  The bond must be in a form and amount and with a surety   company approved by the board that is authorized to do business in   this state.          (c)  The authority shall pay the premium on the bond and   charge the premium as an operating expense. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 6 (part).)          Sec. 8512.0209.  AUTHORITY'S DOMICILE AND OFFICE. (a) The   authority's domicile is in the city of New Braunfels, Comal County.          (b)  The authority shall maintain an office in the city of   New Braunfels, Comal County.          (c)  The general manager is in charge of the authority's   office. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 7 (part).)          Sec. 8512.0210.  DIRECTOR TRAINING PROGRAM. (a) A person   who is appointed to and qualifies for office as a director may not   vote, deliberate, or be counted as a director in attendance at a   board meeting until the person completes a training program that   complies with this section.          (b)  The training program must provide the person with   information regarding:                (1)  the law governing the authority's operations;                (2)  the authority's programs, functions, rules, and   budget;                (3)  the results of the authority's most recent formal   audit;                (4)  the requirements of:                      (A)  laws relating to open meetings, public   information, administrative procedure, and the disclosure of   conflicts of interest; and                      (B)  other laws applicable to members of a river   authority's governing body in performing their duties; and                (5)  any applicable ethics policies adopted by the   authority or the Texas Ethics Commission.          (c)  A person appointed to the board is entitled to   reimbursement for the travel expenses incurred in attending the   training program regardless of whether the attendance at the   program occurs before or after the person qualifies for office.          (d)  The general manager shall create a training manual that   includes the information required by Subsection (b). The general   manager shall distribute a copy of the training manual annually to   each director. Each director shall sign and submit to the general   manager a statement acknowledging that the director has received   and reviewed the training manual. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 4A.)          Sec. 8512.0211.  SEPARATION OF POLICYMAKING AND MANAGEMENT   FUNCTIONS. The board shall develop and implement policies that   clearly separate the board's policymaking responsibilities and the   general manager's and staff's management responsibilities. (Acts   43rd Leg., 1st C.S., Ch. 75, Sec. 5A.)          Sec. 8512.0212.  COMPLAINTS. (a) The authority shall   maintain a system to promptly and efficiently act on complaints   filed with the authority.          (b)  The authority shall maintain information about the   parties to and subject matter of the complaint, a summary of the   results of the review or investigation of the complaint, and the   disposition of the complaint.          (c)  The authority shall periodically notify the parties to   the complaint of the complaint's status until final disposition.          (d)  The authority shall make information available   describing the authority's procedures for complaint investigation   and resolution.  (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 25.)          Sec. 8512.0213.  ALTERNATIVE DISPUTE RESOLUTION PROCEDURES.   (a) The board shall develop a policy to encourage the use of   appropriate alternative dispute resolution procedures under   Chapter 2009, Government Code, to assist in the resolution of   internal and external disputes under the authority's jurisdiction.          (b)  The authority's procedures relating to alternative   dispute resolution must conform, to the extent possible, to any   model guidelines issued by the State Office of Administrative   Hearings for the use of alternative dispute resolution by state   agencies.          (c)  The authority shall:                (1)  coordinate the implementation of the policy   adopted under Subsection (a);                (2)  provide training as needed to implement the   procedures for alternative dispute resolution; and                (3)  collect data concerning the effectiveness of those   procedures. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 23.)          Sec. 8512.0214.  PUBLIC TESTIMONY. (a) The board shall   develop and implement policies that provide the public with a   reasonable opportunity to appear before the board and to speak on   any issue under the authority's jurisdiction.          (b)  At each regular board meeting, the board shall include   public testimony as a meeting agenda item and allow members of the   public to comment on other agenda items and other matters under the   authority's jurisdiction. The board may not deliberate on or   decide a matter not included in the meeting agenda, except that the   board may discuss including the matter on the agenda for a   subsequent meeting. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 24.)          Sec. 8512.0215.  SEAL. The authority may adopt and use a   corporate seal. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(r).)   SUBCHAPTER C. POWERS AND DUTIES          Sec. 8512.0301.  GENERAL POWERS. The authority has:                (1)  the powers of government and the authority to   exercise the rights, privileges, and functions specified by this   chapter; and                (2)  all powers, rights, privileges, and functions   conferred by general law on any district, other than a groundwater   conservation district, created under Section 59, Article XVI, Texas   Constitution, except as expressly limited by this chapter. (Acts   43rd Leg., 1st C.S., Ch. 75, Secs. 1 (part), 2 (part).)          Sec. 8512.0302.  POWERS RELATED TO WATER OF RIVERS AND   STREAMS. The authority may:                (1)  control, store, and preserve, in or adjoining the   authority's boundaries, the water of any rivers and streams,   including the Guadalupe and Blanco Rivers and their tributaries,   for all useful purposes; and                (2)  use, distribute, and sell the water described by   Subdivision (1), in the authority, for all useful purposes. (Acts   43rd Leg., 1st C.S., Ch. 75, Sec. 2(a).)          Sec. 8512.0303.  POWERS RELATED TO GROUNDWATER. The   authority may:                (1)  conserve, preserve, and develop groundwater in the   authority, subject to any applicable regulation by this state or   any political subdivision, for all useful purposes; and                (2)  use, distribute, and sell groundwater, in the   authority, for all useful purposes. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 2(b).)          Sec. 8512.0304.  ACQUISITION OF WATER, WATER SUPPLY   FACILITIES, AND CONSERVATION STORAGE CAPACITY. The authority may   acquire water, water supply facilities, and conservation storage   capacity inside or outside the authority from any person. (Acts   43rd Leg., 1st C.S., Ch. 75, Sec. 2(c).)          Sec. 8512.0305.  USE, DISTRIBUTION, AND SALE OF WATER   OUTSIDE AUTHORITY. (a) The authority may use, distribute, and   sell, outside the authority, any water the authority controls,   stores, preserves, conserves, develops, or acquires if the board   determines that adequate provision can be made to continue to serve   the water requirements inside the authority.          (b)  Notwithstanding Subsection (a), the authority may not   enter into any agreement that contemplates or results in the   removal from the watershed of the Guadalupe and Blanco Rivers and   their tributaries of any surface water of the authority necessary   to supply the reasonably foreseeable future water requirements for   municipal uses inside the watershed during the next 50 years,   except on a temporary, interim basis. (Acts 43rd Leg., 1st C.S.,   Ch. 75, Sec. 2(d).)          Sec. 8512.0306.  DEVELOPMENT, GENERATION, DISTRIBUTION, AND   SALE OF WATER POWER AND ELECTRIC ENERGY. The authority may:                (1)  develop and generate water power and electric   energy inside the authority; and                (2)  distribute and sell water power and electric   energy inside or outside the authority. (Acts 43rd Leg., 1st C.S.,   Ch. 75, Sec. 2(e).)          Sec. 8512.0307.  PREVENTION OF DAMAGE TO PERSONS OR   PROPERTY. The authority may prevent or aid in the prevention of   damage to persons or property from the water of the Guadalupe and   Blanco Rivers and their tributaries. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 2(f).)          Sec. 8512.0308.  FORESTATION AND REFORESTATION; PREVENTION   OF SOIL EROSION AND FLOODS. In the watershed of the Guadalupe and   Blanco Rivers and their tributaries, the authority may:                (1)  forest, reforest, or aid in foresting or   reforesting; and                (2)  prevent or aid in the prevention of soil erosion   and floods. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(g).)          Sec. 8512.0309.  DEVELOPMENT OF NAVIGATION AND RELATED   FACILITIES. The authority may develop the navigation of inland   water in the authority and any facility in aid of that navigation.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(h).)          Sec. 8512.0310.  DEVELOPMENT OF RECLAMATION AND DRAINAGE OF   CERTAIN LAND AND RELATED FACILITIES. The authority may develop the   reclamation and drainage of overflowed land and other land needing   drainage, other than coastal wetlands or inland marshes, in the   authority and any facility in aid of that reclamation and drainage.     (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(i).)          Sec. 8512.0311.  WASTE MANAGEMENT. (a)  The authority may   develop the collection, transportation, treatment, disposal, and   handling of any waste, as that term is defined by general law, and   any facility in aid of those activities.          (b)  The authority may construct or acquire sanitary sewer   facilities for the collection, treatment, and disposal of sewage in   a municipality's boundaries only with the municipality's consent.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(j).)          Sec. 8512.0312.  CONSERVATION AND DEVELOPMENT FOR   RECREATION. The authority may conserve and develop water and land   for recreational purposes and any facility in aid of those   purposes. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(k).)          Sec. 8512.0313.  ACQUISITION OR OPERATION OF PROPERTY. (a)     The authority may acquire, maintain, use, and operate property of   any kind or any property interest, inside or outside the authority,   necessary or convenient to the exercise of the powers, rights,   privileges, and functions conferred on the authority by this   chapter.          (b)  The authority may acquire property or a property   interest as provided by Subsection (a) by purchase, lease, gift, or   any other manner, other than by the exercise of the power of eminent   domain.  (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(l).)          Sec. 8512.0314.  EMINENT DOMAIN.  (a)  The authority may   acquire by the exercise of the power of eminent domain property of   any kind or a property interest inside or outside the authority that   is necessary or convenient to the exercise of the powers, rights,   privileges, and functions conferred on the authority by this   chapter.          (b)  The authority must exercise the power of eminent domain   in the manner provided by:                (1)  Chapter 21, Property Code; or                (2)  the statutes relating to the exercise of the power   of eminent domain by districts organized under general law under   Section 59, Article XVI, Texas Constitution.          (c)  The authority may not exercise the power of eminent   domain to acquire property or a property interest that is:                (1)  located outside the authority; and                (2)  owned by a body politic.          (d)  The authority's authority under this section to   exercise the power of eminent domain expired on September 1, 2013,   unless the authority submitted a letter to the comptroller in   accordance with Section 2206.101(b), Government Code, not later   than December 31, 2012.  (Acts 43rd Leg., 1st C.S., Ch. 75, Sec.   2(m); New.)          Sec. 8512.0315.  SALE, LEASE, OR OTHER DISPOSITION OF   PROPERTY. Subject to the provisions of this chapter, the authority   may sell, lease, or otherwise dispose of property of any kind or any   property interest:                (1)  that is not necessary authority business; or                (2)  the sale, lease, or disposition of which, in the   board's judgment, is necessary or convenient to the exercise of the   powers, rights, privileges, and functions conferred on the   authority by this chapter or general law. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 2(n).)          Sec. 8512.0316.  OVERFLOW OR INUNDATION OF PUBLIC PROPERTY;   RELOCATION OF FACILITIES. (a) In this section, "sole expense"   means the actual cost of relocating, raising, lowering, rerouting,   or changing the grade of or altering the construction of a facility   to provide comparable replacement without enhancement of the   facility, after deducting the net salvage value derived from the   old facility.          (b)  The authority may overflow and inundate any public   property and require the relocation of a road, pipeline,   transmission line, railroad, cemetery, or highway in the manner and   to the extent permitted to a district organized under general law   under Section 59, Article XVI, Texas Constitution.          (c)  If in the exercise of the power of eminent domain or any   other power the authority requires relocating, raising, lowering,   rerouting, or changing the grade of or altering the construction of   any railroad, transmission line, conduit, pole, property,   facility, or pipeline, the action shall be the authority's sole   expense. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 2(o).)          Sec. 8512.0317.  CONSTRUCTION, MAINTENANCE, AND OPERATION   OF FACILITIES. The authority may construct, extend, improve,   maintain, reconstruct, and use and operate facilities of any kind   necessary or convenient to the exercise of the authority's powers,   rights, privileges, and functions. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 2(p).)          Sec. 8512.0318.  GENERAL CONTRACT POWERS. (a)  The   authority may enter into a contract or execute an instrument   necessary or convenient to the exercise of the powers, rights,   privileges, and functions conferred on the authority by this   chapter or general law, including a contract with any person as the   board considers necessary or proper for, or in connection with, any   corporate purpose to provide for the construction, acquisition,   ownership, financing, operation, maintenance, sale, leasing to or   from, or other use or disposition of any facility authorized to be   developed, preserved, conserved, acquired, or constructed under   this chapter or general law.          (b)  The power to enter into a contract regarding a facility   under Subsection (a) includes the power to enter into a contract   regarding:                (1)  any improvements, structures, facilities,   equipment, and other property of any kind in connection with the   contract's subject;                (2)  any land, leaseholds, and easements; and                (3)  any interests in property described by this   subsection.          (c)  A contract entered into or instrument executed under   this section may be for the term and contain the provisions the   board determines to be in the authority's best interests. (Acts   43rd Leg., 1st C.S., Ch. 75, Sec. 2(v).)          Sec. 8512.0319.  JOINT PROJECTS RELATED TO PROPERTY. The   authority may:                (1)  authorize any person to participate with the   authority in the joint construction, acquisition, ownership,   financing, operation, and maintenance of improvements, structures,   facilities, equipment, and any other property in connection with   the subject of the authorization, and all land, leaseholds,   easements, and interests in the property that the board determines   to be necessary or proper for, or in connection with, any corporate   purpose; and                (2)  allow a joint participant to receive the portion   of the revenue derived from the property that the board considers   just, equitable, and proper. (Acts 43rd Leg., 1st C.S., Ch. 75,   Sec. 2(w).)          Sec. 8512.0320.  STATE SUPERVISION AND APPROVAL. The   commission shall consider the adequacy of, and approve or refuse to   approve, any flood control or conservation improvement plan that:                (1)  the authority devises to achieve a plan or purpose   for which the authority was created; and                (2)  contemplates an improvement that the commission   would supervise under general law. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 3 (part).)          Sec. 8512.0321.  ADDITIONAL POWERS RELATING TO CONTRACTS,   RULES, AND REGULATIONS. The authority may enter into and carry out   contracts or establish or comply with rules and regulations   concerning labor and materials and other related matters in   connection with any project the authority considers desirable or as   requested by this state, the United States, or any corporation or   agency created, designated, or established by this state or the   United States, that may assist in financing the project. (Acts 43rd   Leg., 1st C.S., Ch. 75, Sec. 13.)          Sec. 8512.0322.  PUBLIC USE OF AUTHORITY'S SURPLUS LAND.   The authority may not prevent free public use of the authority's   surplus land for recreational purposes, hunting, or fishing except   to the extent to which, in the board's opinion, the use would   interfere with the proper conduct of the business. (Acts 43rd Leg.,   1st C.S., Ch. 75, Sec. 15.)          Sec. 8512.0323.  EFFECT OF CHAPTER ON WATER RIGHTS AND   GROUNDWATER REGULATION. (a) This chapter does not confer any water   rights on the authority or set any priority of rights. The   authority must obtain its water rights by application to and permit   from the commission as provided by general statute.          (b)  This chapter does not authorize the authority to   regulate the withdrawal of groundwater. (Acts 43rd Leg., 1st C.S.,   Ch. 75, Sec. 2(y) (part).)          Sec. 8512.0324.  APPLICABILITY OF CERTAIN STATUTES. The   rights, powers, privileges, and functions granted to the authority   under this chapter, and the authority itself, are expressly subject   to Chapters 5, 7, 11, 12, 17, 26, and 30, Water Code, and Chapter   366, Health and Safety Code. (Acts 43rd Leg., 1st C.S., Ch. 75,   Sec. 2(y) (part).)   SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS          Sec. 8512.0401.  DISBURSEMENT OF MONEY. The authority may   disburse the authority's money only by a check, draft, order, or   other instrument signed by a person authorized to sign the   instrument by the bylaws or a resolution in which at least five   directors concur. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 6   (part).)          Sec. 8512.0402.  ACCOUNTS, CONTRACTS, AND OTHER RECORDS;   PUBLIC INSPECTION. (a) The authority shall keep complete and   accurate accounts conforming to approved methods of bookkeeping.          (b)  The accounts and all contracts, documents, and records   of the authority shall be kept at an official authority office.          (c)  The contracts shall be open to public inspection at all   reasonable times. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 7   (part).)          Sec. 8512.0403.  FILING OF AUDIT REPORT. Copies of the audit   report prepared under Subchapter G, Chapter 49, Water Code, shall   be certified to by the accountant who performed the audit and filed:                (1)  as required by Section 49.194, Water Code; and                (2)  with the comptroller. (Acts 43rd Leg., 1st C.S.,   Ch. 75, Sec. 7 (part); New.)          Sec. 8512.0404.  ASSET MANAGEMENT PLAN.  (a)  In this   section, "system" means a system for the:                (1)  provision of water to the public for human   consumption; or                (2)  collection and treatment of wastewater.          (b)  The authority shall adopt an asset management plan by:                (1)  preparing an asset inventory that identifies the   assets of each system and the asset's condition;                (2)  developing criteria to prioritize assets for   repair or replacement, including:                      (A)  the date by which the asset will need to be   repaired or replaced;                      (B)  the importance of the asset in providing safe   drinking water and complying with regulatory standards;                      (C)  the importance of the asset to the effective   operation of the system; and                      (D)  other criteria the authority determines;                (3)  estimating asset repair and replacement costs;                (4)  identifying and evaluating potential financing   options; and                (5)  prioritizing systems that are not in compliance   with federal or state regulatory standards, including water quality   standards.          (c)  The authority shall review and revise the asset   management plan annually to account for regulatory changes and   other developments.          (d)  The board shall approve the asset management plan   annually as part of its budgeting process.          (e)  The asset management plan's findings must be posted on   the authority's publicly accessible Internet website. (Acts 43rd   Leg., 1st C.S., Ch. 75, Sec. 26.)          Sec. 8512.0405.  RATES AND OTHER CHARGES. (a)  The board   shall impose rates and other charges for the sale or use of water,   water connections, power, electric energy, or other services the   authority sells, provides, or supplies.          (b)  The rates and other charges must be reasonable,   nondiscriminatory, and sufficient to provide revenue adequate to:                (1)  pay all expenses necessary to the operation,   maintenance, and replacement of and the making of additions to the   authority's properties and facilities;                (2)  pay the principal of, the interest on, and any   premium on all bonds issued under this chapter when they become due   and payable;                (3)  pay all sinking fund or reserve fund payments   agreed to be made with respect to any of those bonds and payable out   of that revenue when and as they become due and payable;                (4)  fulfill the terms of any agreements made with the   holders of those bonds or with any person in their behalf; and                (5)  discharge all other lawful obligations of the   authority when they become due.          (c)  The rates and other charges may not exceed the amount   that may be necessary to fulfill the obligations imposed on the   authority by this chapter. (Acts 43rd Leg., 1st C.S., Ch. 75, Secs.   9(a), (b), (c), (d), (e), (g) (part).)          Sec. 8512.0406.  USE OF EXCESS REVENUE. If the authority   receives revenue in excess of that required for the purposes   specified by Sections 8512.0405(b)(1), (2), (3), and (5), the board   may:                (1)  use the excess revenue to:                      (A)  establish a reasonable depreciation and   emergency fund; or                      (B)  retire bonds issued under this chapter by   purchase and cancellation or redemption; or                (2)  apply the excess revenue to any corporate purpose.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 9(f).)          Sec. 8512.0407.  PAYMENTS UNDER AGREEMENTS FOR USE OR SALE   OF PROPERTY. (a)  If the authority enters into an agreement to   lease, sell, or otherwise dispose of any property or facilities to   any person, the person is subject to the regulations and control of   rates or other charges by this state as may be provided by agreement   or general law.          (b)  Notwithstanding Subsection (a), the board shall set   payments under a lease or other contract or agreement for the use or   sale of any property so that the payments, together with any other   pledged revenue, will be sufficient to:                (1)  pay the principal of, the interest on, and any   premium on all bonds to which the payments are pledged when they   become due and payable;                (2)  pay all sinking fund or reserve fund payments   agreed to be made with respect to any bonds described by Subdivision   (1), and payable out of those payments, when they become due and   payable;                (3)  fulfill the terms of any agreement made with the   holders of bonds described by Subdivision (1) or any person in their   behalf; and                (4)  discharge all other obligations of the authority   in connection with bonds described by Subdivision (1) when they   become due. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 9(h).)          Sec. 8512.0408.  TAX, ASSESSMENT, OR PLEDGE OF CREDIT OF   STATE NOT AUTHORIZED BY CHAPTER. This chapter does not authorize   the authority to:                (1)  impose a tax or assessment;                (2)  create any debt payable out of taxes or   assessments; or                (3)  pledge this state's credit. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 1 (part).)   SUBCHAPTER E. BORROWED MONEY AND GRANTS          Sec. 8512.0501.  LOANS AND GRANTS. The authority may:                (1)  borrow money for the authority's corporate   purposes;                (2)  borrow money or accept a grant from any person,   including this state, the United States, or a corporation or agency   created or designated by this state or the United States;                (3)  in connection with a loan or grant described by   Subdivision (2), enter into any agreement this state, the United   States, or the corporation or agency requires;                (4)  make and issue the authority's bonds for money   borrowed, in the manner and to the extent provided by this chapter;   and                (5)  refund or refinance any outstanding bonds and make   and issue the authority's bonds for those purposes in the manner and   to the extent provided by this chapter. (Acts 43rd Leg., 1st C.S.,   Ch. 75, Sec. 2(x) (part).)          Sec. 8512.0502.  STATE PLEDGE REGARDING RIGHTS AND REMEDIES   OF BONDHOLDERS. This chapter does not deprive this state of its   power to regulate and control rates or other charges to be imposed   for the use of water, water connections, power, electric energy, or   another service.  This state pledges to and agrees with the   purchasers and successive holders of the bonds issued under this   chapter that this state will not limit or alter the power this   chapter gives the authority to impose rates and other charges that   will produce revenue sufficient to pay the items specified by   Section 8512.0405(b) or in any way impair the rights or remedies of   the bondholders, or of any person in their behalf, until the   following are fully discharged:                (1)  the bonds;                (2)  the interest on the bonds;                (3)  any premium;                (4)  interest on unpaid installments of interest;                (5)  all costs and expenses in connection with any   action or proceeding by or on behalf of the bondholders; and                (6)  all other authority obligations in connection with   the bonds. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 9(g) (part).)          Sec. 8512.0503.  OBLIGATION PAYABLE FROM REVENUE. An   authority debt, liability, or obligation for the payment of money,   however entered into or incurred and whether arising from an   express or implied contract or otherwise, is payable:                (1)  out of the revenue the authority receives with   respect to the authority's properties, subject to any prior lien on   the revenue conferred by any resolution previously adopted as   provided by this chapter authorizing the issuance of bonds; or                (2)  if the board so determines, out of the proceeds of   sale by the authority of bonds payable solely from revenue   described by Subdivision (1). (Acts 43rd Leg., 1st C.S., Ch. 75,   Sec. 10.)          Sec. 8512.0504.  POWER TO ISSUE BONDS. (a)  The authority   may issue bonds for any corporate purpose.          (b)  The bonds must be authorized by a board resolution.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 11 (part).)          Sec. 8512.0505.  TERMS OF ISSUANCE. Authority bonds may be:                (1)  sold for cash;                (2)  issued on terms the board determines in exchange   for property of any kind, or any property interest, that the board   considers necessary or convenient for the corporate purpose for   which the bonds are issued; or                (3)  issued in exchange for like principal amounts of   other matured or unmatured authority obligations. (Acts 43rd Leg.,   1st C.S., Ch. 75, Sec. 11 (part).)          Sec. 8512.0506.  DEPOSIT OF PROCEEDS. The proceeds of sale   of authority bonds shall be deposited in one or more banks or trust   companies, and shall be paid out according to the terms, on which   the authority and the purchasers of the bonds agree. (Acts 43rd   Leg., 1st C.S., Ch. 75, Sec. 11 (part).)          Sec. 8512.0507.  RESOLUTION PROVISIONS. (a) A resolution   authorizing bonds may contain provisions:                (1)  reserving the right to redeem the bonds or   requiring the redemption of the bonds, at the time, in the amount,   and at the price, not exceeding 105 percent of the principal amount   of the bonds, plus accrued interest, as may be provided;                (2)  providing for the setting aside of sinking funds   or reserve funds and the regulation and disposition of those funds;                (3)  pledging, to secure the payment of the principal   of and interest on the bonds and of the sinking fund or reserve fund   payments agreed to be made with respect to the bonds:                      (A)  all or any part of the gross or net revenue   subsequently received by the authority with respect to the property   to be acquired or constructed with the bonds or the proceeds of the   bonds; or                      (B)  all or any part of the gross or net revenue   subsequently received by the authority from any source;                (4)  prescribing the purposes to which the bonds or any   bonds subsequently to be issued, or the proceeds of the bonds, may   be applied;                (5)  agreeing to impose rates and other charges   sufficient to produce revenue adequate to pay the items specified   by Section 8512.0405(b) and prescribing the use and disposition of   all revenue;                (6)  prescribing limitations on the issuance of   additional bonds and subordinate lien bonds and on the agreements   that may be made with the purchasers and successive holders of those   bonds;                (7)  with regard to the construction, extension,   improvement, reconstruction, operation, maintenance, and repair of   the authority's properties and the carrying of insurance on all or   any part of those properties covering loss or damage or loss of use   and occupancy resulting from specified risks;                (8)  setting the procedure, if any, by which the   authority may change the terms of a contract with the bondholders,   the amount of bonds the holders of which must consent to that   change, and the manner in which the consent may be given;                (9)  providing for the execution and delivery by the   authority to a bank or trust company authorized by law to accept   trusts, or to the United States or any officer of the United States,   of indentures and agreements for the benefit of the bondholders   setting forth any or all of the agreements authorized by this   chapter to be made with or for the benefit of the bondholders and   any other provisions that are customary in such indentures or   agreements; and                (10)  approved by the board that are not inconsistent   with this chapter.          (b)  A provision authorized by this section that is contained   in a bond resolution is part of the contract between the authority   and the bondholders. (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 11   (part).)          Sec. 8512.0508.  DEFAULT PROCEDURES. (a)  This section   applies only to a default in:                (1)  the payment of the principal of bonds as they   become due and payable, whether at maturity, by call for   redemption, or otherwise;                (2)  the payment of the interest on bonds as the   interest becomes due and payable; or                (3)  the performance of an agreement made with the   purchasers or successive holders of bonds.          (b)  A resolution authorizing bonds and any indenture or   agreement entered into under the resolution may provide that in the   event of a default described by Subsection (a) that continues for a   period, if any, prescribed by the resolution, the trustee under the   indenture entered into with respect to the bonds authorized by the   resolution, or, if there is no indenture, a trustee appointed in the   manner provided by the resolution by the holders of 25 percent in   aggregate principal amount of the bonds authorized by the   resolution and then outstanding, and on the written request of the   holders of 25 percent in aggregate principal amount of the bonds   authorized by the resolution then outstanding, shall, in the   trustee's own name, but for the equal and proportionate benefit of   the holders of all of the bonds, and with or without having   possession of the bonds:                (1)  enforce by mandamus or other action or proceeding   at law or in equity all rights of the bondholders;                (2)  bring an action on the bonds or the related   coupons;                (3)  require by action in equity the authority to   account as if it were the trustee of an express trust for the   bondholders;                (4)  enjoin by action in equity any acts or things that   may be unlawful or in violation of the rights of the bondholders; or                (5)  after such notice to the authority as the   resolution may provide, declare the principal of all of the bonds   due and payable, and if all defaults have been satisfied, then with   the written consent of the holders of 25 percent in aggregate   principal amount of the bonds then outstanding, annul the   declaration and its consequences.          (c)  Notwithstanding Subsection (b), the holders of more   than a majority in principal amount of the bonds authorized by the   resolution and then outstanding, by written instrument delivered to   the trustee, are entitled to direct and control any and all action   taken or to be taken by the trustee under this section.          (d)  A resolution, indenture, or agreement relating to bonds   may provide that in an action or proceeding under this section, the   trustee, whether or not all of the bonds have been declared due and   payable and with or without possession of any of the bonds, is   entitled to the appointment of a receiver who may:                (1)  enter and take possession of all or any part of the   properties of the authority;                (2)  operate and maintain the properties;                (3)  impose rates and other charges sufficient to   provide revenue adequate to pay the items specified by Section   8512.0405(b) and the costs and disbursements of the action or   proceeding; and                (4)  apply the revenue in accordance with this chapter   and the resolution authorizing the bonds.          (e)  In an action or proceeding by a trustee under this   section, the reasonable fees, attorney's fees, and expenses of the   trustee and of the receiver, if any, constitute taxable   disbursements, and all costs and disbursements allowed by the court   are a first charge on any revenue pledged to secure the payment of   the bonds.          (f)  The courts of Comal County have jurisdiction of an   action or proceeding by a trustee on behalf of the bondholders and   of all property involved in the action or proceeding.          (g)  In addition to the powers specifically provided by this   section, a trustee has all powers necessary or appropriate for the   exercise of the powers specifically provided or incident to the   general representation of the bondholders in the enforcement of   their rights. (Acts 43rd Leg., 1st C.S., Ch. 75, Secs. 11(j)(1),   (2).)          Sec. 8512.0509.  INTERIM BONDS. (a)  Before issuing   definitive bonds, the authority may make and issue interim bonds.          (b)  The interim bonds issued shall be taken up with the   proceeds of the definitive bonds, or the definitive bonds may be   issued and delivered in exchange for the interim bonds.          (c)  After an exchange of definitive bonds for interim bonds,   the authority shall file certificates with the comptroller as to   the exchange and cancellation, and the comptroller shall register   the certificates in the same manner as the proceedings authorizing   the issuance of the bonds are registered. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 11(j)(3) (part).)          Sec. 8512.0510.  TEMPORARY BONDS. The authority may make   and issue temporary bonds for the purpose of interim financing and   make agreements or other provision to refinance the temporary bonds   with bonds to provide permanent financing at the time, in the   manner, and on the conditions the board determines. (Acts 43rd   Leg., 1st C.S., Ch. 75, Sec. 11(j)(3) (part).)          Sec. 8512.0511.  REFUNDING BONDS. (a)  The authority may   make and issue refunding bonds for the purpose of refunding or   refinancing outstanding bonds authorized and issued by the   authority under this chapter or other law and the interest and   premium, if any, on the bonds to maturity or on any earlier   redemption date specified in the resolution authorizing the   issuance of the refunding bonds.          (b)  Refunding bonds may:                (1)  be issued to refund more than one series of   outstanding bonds;                (2)  combine the pledges of the outstanding bonds for   the security of the refunding bonds; or                (3)  be secured by other or additional revenue.          (c)  The provisions of this chapter regarding the issuance of   bonds, the terms and provisions of bonds, and the remedies of the   bondholders apply to refunding bonds.          (d)  The comptroller shall register the refunding bonds on   the surrender and cancellation of the bonds to be refunded.          (e)  Instead of issuing bonds to be registered on the   surrender and cancellation of the bonds to be refunded, the   authority, in the resolution authorizing the issuance of refunding   bonds, may provide for the sale of the refunding bonds and the   deposit of the proceeds at the places at which the bonds to be   refunded are payable. In that case, the refunding bonds may be   issued in an amount sufficient to pay the interest and premium, if   any, on the bonds to be refunded to their maturity date or specified   earlier redemption date, and the comptroller shall register the   refunding bonds without the concurrent surrender and cancellation   of the bonds to be refunded.          (f)  The authority may also refund outstanding bonds in the   manner provided by any applicable general law. (Acts 43rd Leg., 1st   C.S., Ch. 75, Sec. 11(j)(7).)          Sec. 8512.0512.  POWER OF AUTHORITY TO PURCHASE BONDS ISSUED   BY AUTHORITY. (a)  Using any money available for the purpose, the   authority may purchase bonds issued by the authority at a price not   exceeding the redemption price applicable at the time of the   purchase, or, if the bonds are not redeemable, at a price not   exceeding the principal amount of the bonds plus accrued interest.          (b)  All bonds purchased under this section shall be   cancelled, and bonds may not be issued in lieu of those bonds.   (Acts 43rd Leg., 1st C.S., Ch. 75, Sec. 14.)          Sec. 8512.0513.  BONDS EXEMPT FROM TAXATION. A bond issued   under this chapter and the interest on the bond are exempt from   taxation, except inheritance taxes, by this state or by any   political subdivision of this state. (Acts 43rd Leg., 1st C.S., Ch.   75, Sec. 16 (part).)   CHAPTER 8515. UPPER GUADALUPE RIVER AUTHORITY   SUBCHAPTER A. GENERAL PROVISIONS   Sec. 8515.0101.  DEFINITIONS    Sec. 8515.0102.  NATURE OF AUTHORITY    Sec. 8515.0103.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE    Sec. 8515.0104.  REVIEW SCHEDULE UNDER SUNSET ACT    Sec. 8515.0105.  TERRITORY    Sec. 8515.0106.  CERTAIN STATUTES NOT APPLICABLE TO                     AUTHORITY    SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS   Sec. 8515.0201.  MEMBERSHIP OF BOARD    Sec. 8515.0202.  TERMS    Sec. 8515.0203.  REMOVAL    Sec. 8515.0204.  VACANCY    Sec. 8515.0205.  OATH AND BOND REQUIREMENT FOR                     DIRECTORS    Sec. 8515.0206.  OFFICERS    Sec. 8515.0207.  VOTE BY PRESIDENT    Sec. 8515.0208.  ABSENCE OR INACTION OF PRESIDENT    Sec. 8515.0209.  DUTY OF SECRETARY; ABSENCE OF                     SECRETARY FROM BOARD MEETING    Sec. 8515.0210.  SEPARATION OF POLICY-MAKING AND                     MANAGEMENT FUNCTIONS    Sec. 8515.0211.  DIRECTOR TRAINING PROGRAM    Sec. 8515.0212.  GENERAL MANAGER    Sec. 8515.0213.  COMPLAINTS    Sec. 8515.0214.  PUBLIC TESTIMONY    SUBCHAPTER C. POWERS AND DUTIES   Sec. 8515.0301.  GENERAL POWERS AND DUTIES    Sec. 8515.0302.  ADDITIONAL POWERS    Sec. 8515.0303.  CONSERVATION AND DEVELOPMENT    Sec. 8515.0304.  COST OF RELOCATING OR ALTERING                     PROPERTY    Sec. 8515.0305.  POWERS RELATING TO GRANTS AND                     CONTRACTS    Sec. 8515.0306.  POWERS RELATING TO WASTE FACILITIES    Sec. 8515.0307.  NOTICE OF ELECTION    SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS   Sec. 8515.0401.  TAX METHOD    Sec. 8515.0402.  DEPOSITORY    Sec. 8515.0403.  PAYMENT OF TAX OR ASSESSMENT NOT                     REQUIRED    SUBCHAPTER E. NOTES, BONDS, AND BORROWED MONEY   Sec. 8515.0501.  REVENUE NOTES    Sec. 8515.0502.  BORROWING MONEY    Sec. 8515.0503.  AUTHORITY TO ISSUE BONDS    Sec. 8515.0504.  EXCHANGING BONDS FOR PROPERTY OR WORK    Sec. 8515.0505.  BOND ELECTION; NOTICE    Sec. 8515.0506.  FAILED BOND ELECTION    Sec. 8515.0507.  BONDS EXEMPT FROM TAXATION    CHAPTER 8515. UPPER GUADALUPE RIVER AUTHORITY   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 8515.0101.  DEFINITIONS. In this chapter:                (1)  "Authority" means the Upper Guadalupe River   Authority.                (2)  "Board" means the authority's board of directors.                (3)  "Director" means a board member.  (Acts 46th Leg.,   R.S., p. 1062, S.L., Ch. 5, Sec. 1 (part); New.)          Sec. 8515.0102.  NATURE OF AUTHORITY. The authority is a   conservation and reclamation district in Kerr County created under   Section 59, Article XVI, Texas Constitution.  (Acts 46th Leg.,   R.S., p. 1062, S.L., Ch. 5, Secs. 1 (part), 10(b)(d) (part).)          Sec. 8515.0103.  FINDINGS OF BENEFIT AND PUBLIC   PURPOSE.  (a)  The authority is created to serve a public use and   benefit.          (b)  All property in the authority will benefit from the   works and projects the authority will accomplish under the powers   conferred by Section 59, Article XVI, Texas Constitution.          (c)  The authority's creation is essential to accomplish the   purposes of Section 59, Article XVI, Texas Constitution.          (d)  The authority performs an essential public function   under the Texas Constitution in carrying out the purposes of this   chapter because the accomplishment of those purposes is for the   benefit of the people of this state and the improvement of their   properties and industries. (Acts 46th Leg., R.S., p. 1062, S.L.,   Ch. 5, Secs. 1 (part), 4, 22 (part).)          Sec. 8515.0104.  REVIEW SCHEDULE UNDER SUNSET ACT.  A review   of the authority under Section 325.025, Government Code, shall be   conducted as if the authority were a state agency scheduled to be   abolished September 1, 2035, and every 12th year after that year.   (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 1A(a) (part).)          Sec. 8515.0105.  TERRITORY. (a) The authority is composed   of the territory described by Subsection (b) as that territory may   have been modified under:                (1)  Subchapter J, Chapter 49, Water Code;                (2)  Subchapter O, Chapter 51, Water Code; or                (3)  other law.          (b)  The authority includes all territory in the boundaries   of Kerr County. (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 2;   New.)          Sec. 8515.0106.  CERTAIN STATUTES NOT APPLICABLE TO   AUTHORITY. (a) The authority is created notwithstanding the   provisions of Chapter 160, Acts of the 58th Legislature, Regular   Session, 1963 (former Article 970a, Vernon's Texas Civil Statutes),   as those provisions existed on June 17, 1965, and those provisions   do not apply to the authority.          (b)  Any conflict between this section and subsequent   amendments to provisions described by Subsection (a) or the   subsequent codification of provisions described by Subsection (a)   in the Local Government Code is governed by the rules of statutory   construction, including Sections 311.025(a) and 311.026,   Government Code (Code Construction Act). (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Sec. 13; New.)   SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS          Sec. 8515.0201.  MEMBERSHIP OF BOARD.  (a)  The board   consists of nine directors appointed by the governor.          (b)  To be appointed as a director, a person must:                (1)  be 18 years of age or older; and                (2)  reside and own land in Kerr County. (Acts 46th   Leg., R.S., p. 1062, S.L., Ch. 5, Secs. 9(a) (part), (b) (part).)          Sec. 8515.0202.  TERMS. Directors serve staggered four-year   terms, with four or five directors' terms expiring on February 1 of   each odd-numbered year. (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5,   Secs. 9(a) (part), (b) (part).)          Sec. 8515.0203.  REMOVAL. (a) It is a ground for removal   from the board that a director:                (1)  does not have at the time of taking office the   qualifications required by Sections 8515.0201 and 8515.0205;                (2)  does not maintain during service on the board the   qualifications required by Sections 8515.0201 and 8515.0205;                (3)  is ineligible for directorship under Chapter 171,   Local Government Code;                (4)  cannot, because of illness or disability,   discharge the director's duties for a substantial part of the   director's term; or                (5)  is absent from more than half of the regularly   scheduled board meetings that the director is eligible to attend   during a calendar year without an excuse approved by a majority vote   of the board.          (b)  The validity of a board action is not affected by the   fact that it is taken when a ground for removal of a director   exists.          (c)  If the general manager has knowledge that a potential   ground for removal exists, the general manager shall notify the   board president of the potential ground.  The president shall then   notify the governor and the attorney general that a potential   ground for removal exists.  If the potential ground for removal   involves the president, the general manager shall notify the next   highest ranking director, who shall then notify the governor and   the attorney general that a potential ground for removal exists.     (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 9A.)          Sec. 8515.0204.  VACANCY. The governor shall fill a vacancy   on the board by appointing a person for the unexpired term.  (Acts   46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 9(b) (part).)          Sec. 8515.0205.  OATH AND BOND REQUIREMENT FOR DIRECTORS.   (a)  Each director shall:                (1)  take the constitutional oath of office; and                (2)  execute a bond for $5,000, conditioned on the   faithful performance of the director's duties.          (b)  The authority shall pay the cost of the bond.  (Acts 46th   Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 9(a) (part).)          Sec. 8515.0206.  OFFICERS. (a) The governor shall   designate a director as president to serve in that capacity at the   will of the governor.  The president is the authority's chief   executive officer and the board's presiding officer.          (b)  The board shall elect from the board's membership a vice   president, a secretary, and any other officers the board determines   necessary.  (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Secs. 9(b)   (part), (c) (part).)          Sec. 8515.0207.  VOTE BY PRESIDENT. The president has the   same right to vote as any other director.  (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Sec. 9(c) (part).)          Sec. 8515.0208.  ABSENCE OR INACTION OF PRESIDENT. When the   president is absent or fails or declines to act, the vice president   shall perform all duties and exercise all powers this chapter or   general law confers on the president.  (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Sec. 9(c) (part).)          Sec. 8515.0209.  DUTY OF SECRETARY; ABSENCE OF SECRETARY   FROM BOARD MEETING. (a)  The secretary shall keep and sign the   minutes of each board meeting and is the custodian of the   authority's minutes and records.          (b)  If the secretary is absent from a board meeting, the   board shall name a secretary pro tem for the meeting who may:                (1)  exercise all powers and duties of the secretary   for the meeting;                (2)  sign the minutes of the meeting; and                (3)  attest all orders passed or other action taken at   the meeting.  (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 9(c)   (part).)          Sec. 8515.0210.  SEPARATION OF POLICY-MAKING AND MANAGEMENT   FUNCTIONS. The board shall develop and implement policies that   clearly separate the board's policy-making responsibilities and   the general manager's and staff's management responsibilities.     (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 9(f).)          Sec. 8515.0211.  DIRECTOR TRAINING PROGRAM. (a)  A person   who is appointed to and qualifies for office as a director may not   vote, deliberate, or be counted as a director in attendance at a   board meeting until the person completes a training program that   complies with this section.          (b)  The training program must provide the person with   information regarding:                (1)  the law governing the authority's operations;                (2)  the authority's programs, functions, rules, and   budget;                (3)  the scope of and limitations on the board's   rulemaking authority;                (4)  the results of the authority's most recent formal   audit;                (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 a river   authority's governing body in performing their duties; and                (6)  any applicable ethics policies adopted by the   authority or the Texas Ethics Commission.          (c)  A person appointed to the board is entitled to   reimbursement for the travel expenses incurred in attending the   training program regardless of whether the attendance at the   program occurs before or after the person qualifies for office.          (d)  The general manager shall create a training manual that   includes the information required by Subsection (b).  The general   manager shall distribute a copy of the training manual annually to   each director.  Each director shall sign and submit to the general   manager a statement acknowledging that the director has received   and reviewed the training manual.  (Acts 46th Leg., R.S., p. 1062,   S.L., Ch. 5, Sec. 9B.)          Sec. 8515.0212.  GENERAL MANAGER. The board shall appoint a   general manager of the authority.  (Acts 46th Leg., R.S., p. 1062,   S.L., Ch. 5, Sec. 9(d) (part).)          Sec. 8515.0213.  COMPLAINTS. (a)  The authority shall   maintain a system to promptly and efficiently act on complaints   filed with the authority.          (b)  The authority shall maintain information about the   parties to the complaint, the subject matter of the complaint, a   summary of the results of the review or investigation of the   complaint, and the complaint's disposition.          (c)  The authority shall periodically notify the parties to   the complaint of the complaint's status until final disposition,   unless the notice would jeopardize an investigation.          (d)  The authority shall make information available   describing the authority's procedures for complaint investigation   and resolution.  (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec.   9C.)          Sec. 8515.0214.  PUBLIC TESTIMONY. The board shall develop   and implement policies that provide the public with a reasonable   opportunity to appear before the board and to speak on any issue   under the authority's jurisdiction. (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Sec. 9D.)   SUBCHAPTER C. POWERS AND DUTIES          Sec. 8515.0301.  GENERAL POWERS AND DUTIES. (a) The   authority has the rights, powers, privileges, and duties provided   by general law applicable to a water control and improvement   district created under Section 59, Article XVI, Texas Constitution,   including those provided by Chapters 49 and 51, Water Code.          (b)  The authority may exercise the powers necessary to   accomplish the rights and duties specified in Section 59, Article   XVI, Texas Constitution, as provided by Chapters 51 and 54, Water   Code.          (c)  The authority may construct or acquire projects the   board determines are needed and incident or related to the   performance of the rights and duties described by Subsection (b).   (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Secs. 5 (part),   10(b)(d) (part); New.)          Sec. 8515.0302.  ADDITIONAL POWERS. (a) The authority may:                (1)  control, develop, store, and preserve the waters   and flood waters of the Upper Guadalupe River and its tributaries   inside or outside the authority for a beneficial or useful purpose;                (2)  purchase, acquire, build, construct, improve,   extend, reconstruct, repair, and maintain any dam, structure,   waterworks system, sanitary sewer system, storm sewer system,   drainage system, irrigation system, building, waterway, pipeline,   distribution system, ditch, lake, pond, reservoir, plant, and   recreational facility for public use, and any other facility or   equipment in aid of a purpose described by Subdivision (1);                (3)  purchase or otherwise acquire a necessary site,   easement, right-of-way, land, or other property necessary for a   purpose described by Subdivision (1); and                (4)  sell water and other services.          (b) The authority may use any practical means to exercise a   right, power, privilege, or function of the authority. (Acts 46th   Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 16(a).)          Sec. 8515.0303.  CONSERVATION AND DEVELOPMENT. The   authority shall conserve and develop this state's natural resources   in the authority. (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec.   10(b)(d) (part).)          Sec. 8515.0304.  COST OF RELOCATING OR ALTERING PROPERTY.   (a) In this section, "sole expense" means the actual cost of   relocating, raising, lowering, rerouting, changing the grade of, or   altering the construction of a facility described by Subsection (b)   in providing comparable replacement without enhancement of the   facility, after deducting from that cost the net salvage value   derived from the old facility.          (b)  If the authority's exercise of the power of eminent   domain, police power, or any other power requires relocating,   raising, lowering, rerouting, changing the grade of, or altering   the construction of a railroad, pipeline, or electric transmission,   telegraph or telephone line, conduit, pole, property or facility,   the required action shall be accomplished at the authority's sole   expense. (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 12.)          Sec. 8515.0305.  POWERS RELATING TO GRANTS AND CONTRACTS.   The authority may accept grants or contract with any person in   connection with or in aid of the exercise of any right, power,   privilege, or function of the authority. (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Sec. 3.)          Sec. 8515.0306.  POWERS RELATING TO WASTE FACILITIES. As a   necessary aid to the conservation, control, preservation, and   distribution of the water of the Upper Guadalupe River and its   tributaries for beneficial use, the authority may:                (1)  construct, own, and operate sewage collection,   transmission, and disposal services;                (2)  charge for a service described by Subdivision (1);   and                (3)  enter into contracts with municipalities and   others in connection with a service described by Subdivision (1).   (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 16(b).)          Sec. 8515.0307.  NOTICE OF ELECTION. Notice of an election   may be given under the hand of the president or secretary. (Acts   46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 20.)   SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS          Sec. 8515.0401.  TAX METHOD. The authority shall use the ad   valorem plan of taxation. (Acts 46th Leg., R.S., p. 1062, S.L., Ch.   5, Sec. 8.)          Sec. 8515.0402.  DEPOSITORY. (a)  The board shall select   one or more banks or trust companies in this state to act as a   depository of bond proceeds or of revenue derived from the   operation of authority facilities.          (b)  The depository shall, as determined by the board:                (1)  provide indemnity bonds;                (2)  pledge securities; or                (3)  meet any other requirements.  (Acts 46th Leg.,   R.S., p. 1062, S.L., Ch. 5, Sec. 15.)          Sec. 8515.0403.  PAYMENT OF TAX OR ASSESSMENT NOT REQUIRED.   The authority is not required to pay a tax or assessment on:                (1)  an authority project or any part of the project; or                (2)  an authority purchase.  (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Sec. 22 (part).)   SUBCHAPTER E. NOTES, BONDS, AND BORROWED MONEY          Sec. 8515.0501.  REVENUE NOTES. (a) The board, without an   election, may borrow money, not to exceed $55 million in the   aggregate, on the authority's negotiable notes, payable solely from   the authority's revenue derived from the ownership of all or any   designated part of the authority's works, plant, improvements,   facilities, equipment, or water rights after deduction of the   reasonable cost of maintaining and operating the facilities.          (b)  The notes may be first or subordinate lien notes at the   board's discretion. An obligation may not be a charge on the   authority's property or on the taxes imposed by the authority. An   obligation may only be a charge on the revenue pledged for the   payment of the obligation. No part of the obligation may ever be   paid from the taxes imposed by the authority.          (c)  The notes may bear interest at a rate not to exceed 10   percent and must mature not later than 40 years after the date of   their issuance. (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Secs.   10(c)(b), (c), (d), (e).)          Sec. 8515.0502.  BORROWING MONEY. The authority may borrow   money by any method or procedure provided by this chapter or general   law for a corporate purpose or combination of corporate purposes.     (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 10(c)(a).)          Sec. 8515.0503.  AUTHORITY TO ISSUE BONDS. The authority   may:                (1)  issue bonds of any kind to carry out any purpose   authorized by this chapter; and                (2)  provide and make payment for the bonds and for   necessary expenses incurred in connection with the issuance of the   bonds. (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 17.)          Sec. 8515.0504.  EXCHANGING BONDS FOR PROPERTY OR WORK. The   authority may exchange bonds, including refunding bonds:                (1)  for property acquired by purchase; or                (2)  in payment of the contract price of work performed   or materials or services provided for the authority's use and   benefit.  (Acts 46th Leg., R.S., p. 1062, S.L., Ch. 5, Sec. 18   (part).)          Sec. 8515.0505.  BOND ELECTION; NOTICE. (a) Except as   provided by Subsection (d), the authority may not issue bonds   unless a majority of voters voting at an election held in the   authority approve the issuance of the bonds.          (b)  Before issuing bonds, the board must order an election   and provide notice in accordance with this section.          (c)  Notice of the election must be given by:                (1)  posting a copy of the notice in at least three   public places in the authority at least 14 days before the election   date; and                (2)  publishing a copy of the notice in a newspaper of   general circulation in the authority at least once a week for two   consecutive weeks, the first of which must be published at least 14   days before the election date.          (d)  An election to authorize the issuance of bonds is not   required if the bonds are payable from the revenue of an authority   system or facility and the board determines that:                (1)  the proceeds of the bonds will provide less than $2   million for the purpose of acquiring land or acquiring or   constructing the facility, not including the cost of issuing the   bonds, interest during construction, and any initial deposit from   the proceeds to a reserve fund; and                (2)  the bond proceeds will be used:                      (A)  to acquire land or an interest in land and to   construct or acquire a new facility in the nature of a new project   or undertaking for the authority, provided that only one series of   bonds may be issued to provide for a new project or undertaking for   the authority unless additional bonds are approved by a majority of   voters voting at an election;                      (B)  to provide money for repairs, expansion, and   improvement of existing authority facilities; or                      (C)  to provide for the completion of the   construction of a project for which the authority has previously   issued bonds approved at an election.  (Acts 46th Leg., R.S., p.   1062, S.L., Ch. 5, Secs. 10(b)(a) (part), (b), (c) (part).)          Sec. 8515.0506.  FAILED BOND ELECTION.  (a)  A general law,   including Sections 51.781 through 51.791, Water Code, that provides   for calling a hearing on the dissolution of a water control and   improvement district after a failed district bond election does not   apply to the authority.          (b)  After the expiration of 30 days from the date of a failed   bond election, the board may call a subsequent bond election.          (c)  The authority continues to exist and have the   authority's full power to function and operate regardless of the   outcome of a bond election.  (Acts 46th Leg., R.S., p. 1062, S.L.,   Ch. 5, Sec. 19.)          Sec. 8515.0507.  BONDS EXEMPT FROM TAXATION. Bonds issued   under this chapter, the transfer of the bonds, and income from the   bonds, including profits made on the sale of the bonds, are exempt   from taxation in this state. (Acts 46th Leg., R.S., p. 1062, S.L.,   Ch. 5, Sec. 22 (part).)          SECTION 1.03.  WATER CONTROL AND IMPROVEMENT DISTRICT.   Subtitle I, Title 6, Special District Local Laws Code, is amended by   adding Chapter 9092 to read as follows:   CHAPTER 9092. FRANKLIN COUNTY WATER DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS   Sec. 9092.0101.  DEFINITIONS    Sec. 9092.0102.  NATURE OF DISTRICT    Sec. 9092.0103.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE    Sec. 9092.0104.  DISTRICT TERRITORY    Sec. 9092.0105.  CORRECTION OF INVALID PROCEDURES    Sec. 9092.0106.  LIBERAL CONSTRUCTION OF CHAPTER    SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS   Sec. 9092.0201.  COMPOSITION OF BOARD; BOARD ELECTION    Sec. 9092.0202.  QUALIFICATIONS    Sec. 9092.0203.  DIRECTORS' ELECTION    Sec. 9092.0204.  VACANCIES    Sec. 9092.0205.  BALLOT PETITION    Sec. 9092.0206.  QUORUM    Sec. 9092.0207.  OFFICERS    Sec. 9092.0208.  VOTE BY BOARD PRESIDENT    Sec. 9092.0209.  ABSENCE OR INACTION OF BOARD PRESIDENT    Sec. 9092.0210.  DIRECTOR'S BOND    Sec. 9092.0211.  BOARD MEETINGS    Sec. 9092.0212.  DISTRICT RECORDS    Sec. 9092.0213.  DISTRICT OFFICE    Sec. 9092.0214.  EMPLOYEES    Sec. 9092.0215.  EXPENDITURES    SUBCHAPTER C. POWERS AND DUTIES   Sec. 9092.0301.  GENERAL POWERS    Sec. 9092.0302.  GENERAL WATER SUPPLY POWERS    Sec. 9092.0303.  CONTRACTS TO SUPPLY WATER SERVICES AND                     OPERATE FACILITIES    Sec. 9092.0304.  ACQUISITION OF WATER STORAGE AND                     STORAGE CAPACITY    Sec. 9092.0305.  SURVEYS AND INVESTIGATIONS    Sec. 9092.0306.  DISPOSAL OR LEASE OF PROPERTY    Sec. 9092.0307.  ACQUISITION OF PROPERTY; EMINENT                     DOMAIN    Sec. 9092.0308.  COST OF RELOCATING OR ALTERING                     PROPERTY    Sec. 9092.0309.  ARRANGEMENTS WITH STATE AND UNITED                     STATES    Sec. 9092.0310.  AWARDING OF CONTRACTS    Sec. 9092.0311.  POWER TO QUALIFY FOR BENEFITS UNDER                     OTHER LAW    SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS   Sec. 9092.0401.  TAX METHOD    Sec. 9092.0402.  AUTHORITY TO IMPOSE TAX; TAX ELECTION    Sec. 9092.0403.  DEPOSITORY    Sec. 9092.0404.  FORM OF RECORDS AND ACCOUNTS    Sec. 9092.0405.  AUDIT REPORT    Sec. 9092.0406.  PAYMENT OF TAX OR ASSESSMENT NOT                     REQUIRED    SUBCHAPTER E. BORROWED MONEY; BONDS   Sec. 9092.0501.  AUTHORITY TO BORROW MONEY AND ISSUE                     BONDS    Sec. 9092.0502.  FORM OF BONDS    Sec. 9092.0503.  MATURITY    Sec. 9092.0504.  ELECTION FOR BONDS PAYABLE FROM AD                     VALOREM TAXES    Sec. 9092.0505.  BONDS PAYABLE FROM REVENUE    Sec. 9092.0506.  BONDS PAYABLE FROM AD VALOREM TAXES    Sec. 9092.0507.  TAX AND RATE REQUIREMENTS    Sec. 9092.0508.  ADDITIONAL SECURITY    Sec. 9092.0509.  TRUST INDENTURE    Sec. 9092.0510.  INTERIM BONDS OR NOTES    Sec. 9092.0511.  USE OF BOND PROCEEDS    Sec. 9092.0512.  APPOINTMENT OF RECEIVER    Sec. 9092.0513.  REFUNDING BONDS    Sec. 9092.0514.  LIMITATION ON RIGHTS    Sec. 9092.0515.  BONDS EXEMPT FROM TAXATION    CHAPTER 9092. FRANKLIN COUNTY WATER DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 9092.0101.  DEFINITIONS. In this chapter:                (1)  "Board" means the district's board of directors.                (2)  "Director" means a board member.                (3)  "District" means the Franklin County Water   District. (Acts 59th Leg., R.S., Ch. 719, Sec. 1 (part); New.)          Sec. 9092.0102.  NATURE OF DISTRICT. The district is:                (1)  a conservation and reclamation district created   under Section 59, Article XVI, Texas Constitution; and                (2)  a political subdivision of this state. (Acts 59th   Leg., R.S., Ch. 719, Sec. 1 (part); Acts 60th Leg., R.S., Ch. 308,   Sec. 1 (part).)          Sec. 9092.0103.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.   (a) The district is:                (1)  created to serve a public use and benefit; and                (2)  essential to the accomplishment of the   preservation and conservation of this state's natural resources.          (b)  All land in the district will benefit from the district.          (c)  This chapter addresses a subject in which this state and   the general public are interested.          (d)  The district performs an essential public function   under the Texas Constitution in carrying out the purposes of this   chapter because the accomplishment of those purposes is for the   benefit of the people of this state and the improvement of their   properties and the industries.  (Acts 59th Leg., R.S., Ch. 719,   Secs. 2 (part), 14 (part), 17 (part).)          Sec. 9092.0104.  DISTRICT TERRITORY. The district's   boundaries are coextensive with the boundaries of Franklin County   unless the district's territory has been modified under:                (1)  Subchapter J, Chapter 49, Water Code; or                (2)  other law. (Acts 59th Leg., R.S., Ch. 719, Sec. 1   (part); New.)          Sec. 9092.0105.  CORRECTION OF INVALID PROCEDURES. If a   court holds that any procedure under this chapter violates the   United States Constitution or the Texas Constitution, the district   by resolution may provide an alternative procedure that conforms   with that constitution. (Acts 59th Leg., R.S., Ch. 719, Sec. 18   (part).)          Sec. 9092.0106.  LIBERAL CONSTRUCTION OF CHAPTER. This   chapter shall be liberally construed to effectuate the chapter's   purposes. (Acts 59th Leg., R.S., Ch. 719, Sec. 17 (part).)   SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS          Sec. 9092.0201.  COMPOSITION OF BOARD; BOARD ELECTION. The   board consists of five directors elected as follows:                (1)  one director represents and is elected from each   county commissioners precinct in Franklin County by the voters of   that precinct; and                (2)  one director represents the district as a whole   and is elected from the district at large. (Acts 59th Leg., R.S.,   Ch. 719, Secs. 3(a) (part), (b) (part), (c) (part).)          Sec. 9092.0202.  QUALIFICATIONS. (a) A candidate for:                (1)  the at-large director position must be a qualified     voter who resides in the district; and                (2)  a precinct director position must be a qualified   voter who resides in that precinct.          (b)  A director must:                (1)  be at least 18 years of age; and                (2)  reside in and own land in the district.  (Acts 59th   Leg., R.S., Ch. 719, Secs. 3(a) (part), (c) (part).)          Sec. 9092.0203.  DIRECTORS' ELECTION. (a)  A directors'   election shall be held on the first Saturday in May of each   odd-numbered year to elect the appropriate number of directors.          (b)  The election order for the election of directors must   state the time, place, and purpose of the election.          (c)  Notwithstanding Chapter 32, Election Code:                (1)  the board shall appoint presiding judges as   necessary; and                (2)  each presiding judge shall appoint one assistant   judge and at least two clerks to assist in holding the election.          (d)  The board shall enter an order declaring the results of   the election.   (Acts 59th Leg., R.S., Ch. 719, Sec. 3(c) (part).)          Sec. 9092.0204.  VACANCIES. If a vacancy occurs in the   membership of the board, the remaining directors shall appoint a   person to fill the vacancy until the next directors' election. If   the vacant position is not regularly scheduled to be filled at that   election, the director elected at that election to fill the vacancy   shall serve only for the unexpired term. (Acts 59th Leg., R.S., Ch.   719, Secs. 3(b) (part), (e).)          Sec. 9092.0205.  BALLOT PETITION. (a) A person who wants   the person's name printed on the ballot as a candidate for director   must submit to the board's secretary a petition requesting that   action.          (b)  The petition must be signed by at least 10 residents of   the district who are qualified to vote at the election. (Acts 59th   Leg., R.S., Ch. 719, Sec. 3(d) (part).)          Sec. 9092.0206.  QUORUM. Three directors constitute a   quorum for the transaction of all business. A favorable vote of a   majority of a quorum present is sufficient for the enactment of all   measures. (Acts 59th Leg., R.S., Ch. 719, Sec. 3(g) (part).)          Sec. 9092.0207.  OFFICERS. (a)  The board shall elect from   the board's membership a president, a vice president, and any other   officers as the board determines necessary.          (b)  The board shall appoint a secretary, who is not required   to be a director. (Acts 59th Leg., R.S., Ch. 719, Sec. 3(g)   (part).)          Sec. 9092.0208.  VOTE BY BOARD PRESIDENT. The president has   the same right to vote as any other director. (Acts 59th Leg.,   R.S., Ch. 719, Sec. 3(g) (part).)          Sec. 9092.0209.  ABSENCE OR INACTION OF BOARD   PRESIDENT.  When the president is absent or fails or declines to   act, the vice president shall perform all duties and exercise all   powers this chapter confers on the president.  (Acts 59th Leg.,   R.S., Ch. 719, Sec. 3(g) (part).)          Sec. 9092.0210.  DIRECTOR'S BOND. Each director shall give   bond in the amount of $5,000 conditioned on the faithful   performance of the director's duties. (Acts 59th Leg., R.S., Ch.   719, Sec. 3(a) (part).)          Sec. 9092.0211.  BOARD MEETINGS. (a) The board shall hold   regular meetings at least once a month at the time and place set by   board resolution or board bylaws.          (b)  The president or any two directors may call a special   meeting as necessary in administering district business.          (c)  At least five days before the date of a special meeting,   the secretary shall mail notice of the special meeting to each   director.  A director may waive the notice in writing. (Acts 59th   Leg., R.S., Ch. 719, Sec. 3(g) (part).)          Sec. 9092.0212.  DISTRICT RECORDS. The board's accounts of   its meetings and proceedings and its minutes, contracts, notices,   and other records are subject to public inspection. (Acts 59th   Leg., R.S., Ch. 719, Sec. 3(h) (part).)          Sec. 9092.0213.  DISTRICT OFFICE. A regular office shall be   established and maintained in the district for conducting district   business. (Acts 59th Leg., R.S., Ch. 719, Sec. 3(h) (part).)          Sec. 9092.0214.  EMPLOYEES. The district may employ a   general manager, attorneys, accountants, engineers, financial   experts, or other technical or nontechnical employees or assistants   and set the amount and manner of their compensation.  (Acts 59th   Leg., R.S., Ch. 719, Sec. 4(5) (part).)          Sec. 9092.0215.  EXPENDITURES. The district may provide for   the payment of expenditures considered essential to the proper   operation and maintenance of the district and the district's   affairs. (Acts 59th Leg., R.S., Ch. 719, Sec. 4(5) (part).)   SUBCHAPTER C. POWERS AND DUTIES          Sec. 9092.0301.  GENERAL POWERS. (a) The district has all   the rights, powers, and privileges conferred by general law   applicable to a water control and improvement district created   under Section 59, Article XVI, Texas Constitution, including   Chapters 49 and 51, Water Code.          (b)  The district may exercise all functions and perform any   act necessary or proper to carry out the purpose for which the   district is created. (Acts 59th Leg., R.S., Ch. 719, Secs. 4   (part), 4(6) (part), (7); New.)          Sec. 9092.0302.  GENERAL WATER SUPPLY POWERS. The district   may:                (1)  control, store, preserve, and distribute the   district's waters and flood waters and the waters of the district's   rivers and streams for all useful purposes by all practicable   means, including the construction, maintenance, and operation of   all appropriate improvements, plants, works, and facilities, and   the acquisition of water rights and all other properties, lands,   tenements, easements, and rights necessary to the purpose of the   organization of the district;                (2)  process and store such waters and distribute those   waters for municipal, domestic, irrigation, and industrial   purposes, subject to Subchapters A through D, Chapter 11, and   Subchapter B, Chapter 12, Water Code; and                (3)  purchase or contract for the purchase of water or a   water supply from any person. (Acts 59th Leg., R.S., Ch. 719, Secs.   4(1), (2), 16 (part).)          Sec. 9092.0303.  CONTRACTS TO SUPPLY WATER SERVICES AND   OPERATE FACILITIES. (a) The district may contract with a   municipality or others to supply water services to them.          (b)  The district may contract with a municipality for the   rental or leasing of or for the operation of the municipality's   water production, water supply, water filtration, or purification   and water supply facilities.          (c)  A contract entered into under this section may:                (1)  be on the terms, for the consideration, and for the   time agreed to by the parties; and                (2)  provide that the contract will continue in effect   until bonds specified in the contract and any refunding bonds   issued in lieu of the bonds are paid. (Acts 59th Leg., R.S., Ch.   719, Sec. 15.)          Sec. 9092.0304.  ACQUISITION OF WATER STORAGE AND STORAGE   CAPACITY. The district may lease or acquire rights in and to   storage and storage capacity in any reservoir constructed or to be   constructed by any person, or from the United States. (Acts 59th   Leg., R.S., Ch. 719, Sec. 16 (part).)          Sec. 9092.0305.  SURVEYS AND INVESTIGATIONS. The district   may conduct a survey or an engineering investigation to provide   information for the district to facilitate the accomplishment of a   district purpose. (Acts 59th Leg., R.S., Ch. 719, Sec. 4(5)   (part).)          Sec. 9092.0306.  DISPOSAL OR LEASE OF PROPERTY. (a) The   district may dispose of property or a property right that is not   needed for a purpose for which the district is created.          (b)  The district may lease property or a property right for   a purpose that does not interfere with the use of district property.   (Acts 59th Leg., R.S., Ch. 719, Sec. 4(3).)          Sec. 9092.0307.  ACQUISITION OF PROPERTY; EMINENT DOMAIN.   (a) The district, by gift, devise, purchase, lease, or   condemnation, may acquire land, an easement, right-of-way, or other   property in or outside the district that is incident to or necessary   in carrying out a district purpose.          (b)  The district may exercise the power of eminent   domain.  Procedures with reference to condemnation, the assessment   and estimation of damages, payment, appeal, and entrance on   property pending appeal, and other procedures prescribed by Chapter   21, Property Code, apply to the district.          (c)  The district's authority under this section to exercise   the power of eminent domain expired on September 1, 2013, unless the   district submitted a letter to the comptroller in accordance with   Section 2206.101(b), Government Code, not later than December 31,   2012.  (Acts 59th Leg., R.S., Ch. 719, Sec. 4(6) (part); New.)          Sec. 9092.0308.  COST OF RELOCATING OR ALTERING PROPERTY.   (a) If the district's exercise of the power of eminent domain, the   power of relocation, or any other power granted by this chapter   makes necessary taking property or relocating, raising, rerouting,   changing the grade of, or altering the construction of a highway,   railroad, electric transmission line, telephone or telegraph   property or facility, or pipeline, the necessary action shall be   accomplished at the district's expense.          (b)  The district's duty to pay under this section is limited   to the actual cost, without enhancement, of the property taken or   work required, after deducting any net salvage value derived from   property taken. (Acts 59th Leg., R.S., Ch. 719, Sec. 4(6) (part).)          Sec. 9092.0309.  ARRANGEMENTS WITH STATE AND UNITED STATES.   The district may cooperate or contract with this state, including a   state agency, or the United States to exercise a district power or   further a district purpose and to receive a grant, a loan, or an   advancement from this state or the United States for those   purposes. (Acts 59th Leg., R.S., Ch. 719, Sec. 4(4).)          Sec. 9092.0310.  AWARDING OF CONTRACTS. For a contract   awarded on or after September 1, 1995, the district shall comply   with the requirements of Section 49.273, Water Code, when awarding   the contract. (Acts 59th Leg., R.S., Ch. 719, Sec. 5; Acts 72nd   Leg., R.S., Ch. 59, Sec. 2.)          Sec. 9092.0311.  POWER TO QUALIFY FOR BENEFITS UNDER OTHER   LAW. The district has the power necessary to fully qualify for and   gain the benefits of all laws that are helpful in carrying out the   purposes for which the district is created. (Acts 59th Leg., R.S.,   Ch. 719, Sec. 4 (part).)   SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS          Sec. 9092.0401.  TAX METHOD.  The district shall use the ad   valorem plan of taxation.  (Acts 59th Leg., R.S., Ch. 719, Sec. 2   (part).)          Sec. 9092.0402.  AUTHORITY TO IMPOSE TAX; TAX ELECTION. (a)   If the tax is authorized at an election under Section 49.107, Water   Code, the board annually may impose an ad valorem tax to provide   money:                (1)  necessary to construct or acquire, maintain, and   operate works, plants, and facilities considered essential or   beneficial to the district and the district's purposes; or                (2)  adequate to defray the cost of the district's   maintenance, operation, and administration.          (b)  An election for the imposition of taxes authorized by   this section must be:                (1)  ordered by the board; and                (2)  held and conducted, with notice provided and   results determined, in the manner provided by this chapter relating   to elections for the authorization of bonds.          (c)  In ordering a tax election authorized by this section,   the board must specify the maximum proposed tax rate. To impose a   maintenance tax at a rate that exceeds the maximum rate approved by   the voters, the board must submit the question of a tax rate   increase to the voters in the manner provided by this section.   (Acts 59th Leg., R.S., Ch. 719, Sec. 11 (part).)          Sec. 9092.0403.  DEPOSITORY. (a) The board shall designate   one or more banks in the district to serve as a depository for the   district's money.          (b)  District money shall be deposited in a designated   depository, except that sufficient money shall be remitted to the   bank or banks of payment to pay the principal of and interest on the   district's outstanding bonds on or before the maturity date of the   principal and interest.          (c)  Membership of a bank officer or director on the board   does not disqualify the bank from being designated as a depository.   (Acts 59th Leg., R.S., Ch. 719, Sec. 13 (part).)          Sec. 9092.0404.  FORM OF RECORDS AND ACCOUNTS. District   records and accounts must conform to approved methods of   bookkeeping. (Acts 59th Leg., R.S., Ch. 719, Sec. 3(h) (part).)          Sec. 9092.0405.  AUDIT REPORT. (a)  The audit report   prepared under Subchapter G, Chapter 49, Water Code, shall be   submitted at the first regular board meeting after the audit is   completed.          (b)  A copy of the audit report shall be filed:                (1)  as required by Section 49.194, Water Code;                (2)  with the district's depository; and                (3)  in the office of the auditor who performed the   audit.          (c)  The copies described by Subsection (b) must be open to   public inspection, in accordance with Section 49.196, Water Code.     (Acts 59th Leg., R.S., Ch. 719, Sec. 3(h) (part); New.)          Sec. 9092.0406.  PAYMENT OF TAX OR ASSESSMENT NOT REQUIRED.   The district is not required to pay a tax or assessment on a   district project or any part of the project. (Acts 59th Leg., R.S.,   Ch. 719, Sec. 14 (part).)   SUBCHAPTER E. BORROWED MONEY; BONDS          Sec. 9092.0501.  AUTHORITY TO BORROW MONEY AND ISSUE BONDS.   The district may borrow money and issue bonds to carry out any power   conferred by this chapter, including to provide money to purchase   or otherwise provide works, plants, facilities, or appliances   necessary to accomplish the purposes authorized by this chapter.   (Acts 59th Leg., R.S., Ch. 719, Sec. 6(a) (part).)          Sec. 9092.0502.  FORM OF BONDS. District bonds must be:                (1)  issued in the district's name;                (2)  signed by the president; and                (3)  attested by the secretary. (Acts 59th Leg., R.S.,   Ch. 719, Sec. 6(a) (part).)          Sec. 9092.0503.  MATURITY. District bonds must mature not   later than 40 years after the date of their issuance. (Acts 59th   Leg., R.S., Ch. 719, Sec. 6(a) (part).)          Sec. 9092.0504.  ELECTION FOR BONDS PAYABLE FROM AD VALOREM   TAXES. (a) District bonds, other than refunding bonds, payable   wholly or partly from ad valorem taxes may not be issued unless   authorized by an election at which a majority of the votes cast   favor the bond issuance.          (b)  The board may order an election under this section   without a petition. The order must specify:                (1)  the time and places at which the election will be   held;                (2)  the purpose for which the bonds will be issued;                (3)  the maximum amount of the bonds;                (4)  the maximum interest rate of the bonds;                (5)  the maximum maturity of the bonds;                (6)  the form of the ballot; and                (7)  the presiding judge for each polling place.          (c)  Notice of the election must be given by publishing a   substantial copy of the election order in a newspaper of general   circulation in the district once each week for at least four   consecutive weeks. The first publication must be not later than 28   days before the election date.          (d)  If an election to issue bonds under this section fails,   the board may not order an election under this section for a period   of six months.          (e)  The district may issue without an election bonds not   payable wholly or partly from ad valorem taxes. (Acts 59th Leg.,   R.S., Ch. 719, Secs. 9(a), (b) (part).)          Sec. 9092.0505.  BONDS PAYABLE FROM REVENUE. (a)  In this   section, "net revenue" means the district's gross revenue less the   amount necessary to pay the reasonable cost of maintaining and   operating the district and the district's property.          (b)  The board may issue bonds payable, as pledged by board   resolution, from:                (1)  all or part of the district's net revenue;                (2)  the net revenue of one or more contracts made   before or after the issuance of the bonds; or                (3)  other revenue or income specified by board   resolution or in the trust indenture.          (c)  The pledge may reserve the right to issue additional   bonds on a parity with, or subordinate to, the bonds being issued,   subject to conditions specified by the pledge.  (Acts 59th Leg.,   R.S., Ch. 719, Secs. 6(a) (part), (c).)          Sec. 9092.0506.  BONDS PAYABLE FROM AD VALOREM TAXES. The   board may issue bonds payable, as pledged by board resolution,   from:                (1)  ad valorem taxes of the district; or                (2)  ad valorem taxes and revenue of the district.   (Acts 59th Leg., R.S., Ch. 719, Sec. 6(a) (part).)          Sec. 9092.0507.  TAX AND RATE REQUIREMENTS. (a) If the   district issues bonds payable wholly or partly from ad valorem   taxes, the board shall impose an ad valorem tax sufficient to pay   the bonds and the interest on the bonds as the bonds and interest   become due. The board shall take into consideration reasonable   delinquencies and collection costs in imposing the ad valorem tax.     The board may adopt the tax rate for any year after considering the   money reasonably to be received from the pledged revenue available   for payment of principal and interest and to the extent and in the   manner permitted by the resolution authorizing the issuance of the   bonds.          (b)  If the district issues bonds payable wholly or partly   from revenue, the board shall impose and, as necessary, revise the   rates of compensation for water sold and services provided by the   district.          (c)  For bonds payable wholly from revenue, the rates of   compensation must be in an amount sufficient to:                (1)  pay the expenses of operating and maintaining the   district's facilities;                (2)  pay the bonds as they mature and the interest as it   accrues; and                (3)  maintain the reserve and other funds as provided   by the resolution authorizing the issuance of the bonds.          (d)  For bonds payable partly from revenue, the rates of   compensation must be in an amount sufficient to assure compliance   with the resolution authorizing the issuance of the bonds.  (Acts   59th Leg., R.S., Ch. 719, Secs. 6(d), (e).)          Sec. 9092.0508.  ADDITIONAL SECURITY. (a) District bonds,   including revenue bonds, that are not payable wholly from ad   valorem taxes may be additionally secured, at the board's   discretion, by a deed of trust or mortgage lien on the district's   physical property and on all franchises, easements, water rights   and appropriation permits, leases, and contracts and rights   appurtenant to the property, vesting in the trustee power to:                (1)  sell the property for the payment of the debt;                (2)  operate the property; and                (3)  take other action to further secure the bonds.          (b)  A purchaser under a sale under the deed of trust lien, if   one is given:                (1)  is the absolute owner of the property, facilities,   and rights purchased; and                (2)  is entitled to maintain and operate the property,   facilities, and rights. (Acts 59th Leg., R.S., Ch. 719, Sec. 8   (part).)          Sec. 9092.0509.  TRUST INDENTURE. (a) District bonds,   including revenue bonds, that are not payable wholly from ad   valorem taxes may be additionally secured by a trust indenture. The   trustee may be a bank with trust powers located inside or outside   this state.          (b)  A trust indenture, regardless of the existence of a deed   of trust or mortgage lien on property, may:                (1)  contain any provisions prescribed by the board for   the security of the bonds and the preservation of the trust estate;                (2)  provide for amendment or modification of the trust   indenture;                (3)  provide for the issuance of bonds to replace lost   or mutilated bonds;                (4)  condition the right to spend district money or   sell district property on the approval of a licensed engineer   selected as provided by the trust indenture; and                (5)  provide for the investment of district money.   (Acts 59th Leg., R.S., Ch. 719, Sec. 8 (part).)          Sec. 9092.0510.  INTERIM BONDS OR NOTES. Before issuing   definitive bonds, the board may issue interim bonds or notes   exchangeable for definitive bonds. (Acts 59th Leg., R.S., Ch. 719,   Sec. 6(a) (part).)          Sec. 9092.0511.  USE OF BOND PROCEEDS. (a) The district may   set aside an amount of proceeds from the sale of district bonds for   the payment of interest expected to accrue during construction and   a reserve interest and sinking fund. The resolution authorizing   the bonds may provide for setting aside and using the proceeds as   provided by this subsection.          (b)  The district may use proceeds from the sale of bonds to   pay any expense necessarily incurred in accomplishing the   district's purpose, including the expense of organizing the   district, engineering investigations, and issuing and selling the   bonds.          (c)  The proceeds from the sale of the bonds may be:                (1)  placed on time deposit with the district's   depository bank; or                (2)  temporarily invested in direct obligations of the   United States maturing not later than the first anniversary of the   date of investment. (Acts 59th Leg., R.S., Ch. 719, Sec. 6(f).)          Sec. 9092.0512.  APPOINTMENT OF RECEIVER. (a) On default or   threatened default in the payment of principal of or interest on   district bonds that are payable wholly or partly from revenue, a   court may, on petition of the holders of outstanding bonds, appoint   a receiver for the district.          (b)  The receiver may:                (1)  collect and receive all district income except   taxes;                (2)  employ and discharge district agents and   employees;                (3)  take charge of money on hand, except money   received from taxes, unless commingled; and                (4)  manage the district's proprietary affairs without   the consent of or hindrance by the board.          (c)  The receiver may be authorized to sell or contract for   the sale of water or other services provided by the district or to   renew those contracts with the approval of the court that appointed   the receiver.          (d)  The court may vest the receiver with any other power or   duty the court finds necessary to protect the bondholders. (Acts   59th Leg., R.S., Ch. 719, Sec. 6(g) (part).)          Sec. 9092.0513.  REFUNDING BONDS. (a) The district may   issue refunding bonds to refund outstanding bonds issued under this   chapter and interest on those bonds.          (b)  Refunding bonds may:                (1)  be issued to refund bonds of more than one series   and combine the pledges for the outstanding bonds for the security   of the refunding bonds; and                (2)  be secured by a pledge of other or additional   revenue or mortgage liens.          (c)  The provisions of this chapter regarding the issuance of   other bonds, their security, and the remedies of the holders apply   to refunding bonds.          (d)  The comptroller shall register the refunding bonds on   surrender and cancellation of the bonds to be refunded.          (e)  Instead of issuing bonds to be registered on the   surrender and cancellation of the bonds to be refunded, the   district, in the resolution authorizing the issuance of the   refunding bonds, may provide for the sale of the refunding bonds and   the deposit of the proceeds in a bank at which the bonds to be   refunded were payable. In that case, the refunding bonds may be   issued in an amount sufficient to pay the principal of and interest   on the bonds to be refunded to their effective option date or   maturity date, and the comptroller shall register the refunding   bonds without the concurrent surrender and cancellation of the   bonds to be refunded. (Acts 59th Leg., R.S., Ch. 719, Sec. 7.)          Sec. 9092.0514.  LIMITATION ON RIGHTS. The resolution   authorizing the bonds or the trust indenture securing the bonds may   limit or qualify the rights of less than all of the outstanding   bonds payable from the same source to institute or prosecute   litigation affecting the district's property or income. (Acts 59th   Leg., R.S., Ch. 719, Sec. 6(g) (part).)          Sec. 9092.0515.  BONDS EXEMPT FROM TAXATION. District   bonds, the transfer of the bonds, and the income from the bonds,   including profits made on the sale of the bonds, are exempt from   taxation in this state. (Acts 59th Leg., R.S., Ch. 719, Sec. 14   (part).)          SECTION 1.04.  WATER IMPROVEMENT DISTRICT. Subtitle J,   Title 6, Special District Local Laws Code, is amended by adding   Chapter 9305 to read as follows:   CHAPTER 9305. ESCONDIDO WATERSHED DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS   Sec. 9305.0101.  DEFINITIONS    Sec. 9305.0102.  NATURE OF DISTRICT    Sec. 9305.0103.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE    Sec. 9305.0104.  DISTRICT TERRITORY    Sec. 9305.0105.  CORRECTION OF INVALID PROCEDURES    Sec. 9305.0106.  LIBERAL CONSTRUCTION OF CHAPTER    SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS   Sec. 9305.0201.  COMPOSITION OF BOARD    Sec. 9305.0202.  QUALIFICATIONS    Sec. 9305.0203.  NOTICE OF ELECTION    Sec. 9305.0204.  BALLOT PETITION    Sec. 9305.0205.  OFFICERS    Sec. 9305.0206.  VOTE BY PRESIDENT    Sec. 9305.0207.  ABSENCE OR INACTION OF PRESIDENT    Sec. 9305.0208.  DIRECTOR'S BOND    Sec. 9305.0209.  EMPLOYEES    Sec. 9305.0210.  EXPENDITURES    Sec. 9305.0211.  SEAL    SUBCHAPTER C. POWERS AND DUTIES   Sec. 9305.0301.  GENERAL POWERS    Sec. 9305.0302.  EMINENT DOMAIN    Sec. 9305.0303.  COST OF RELOCATING OR ALTERING                     PROPERTY    Sec. 9305.0304.  SURVEYS AND INVESTIGATIONS    Sec. 9305.0305.  POWER TO QUALIFY FOR BENEFITS UNDER                     OTHER LAW    SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS   Sec. 9305.0401.  AUTHORITY TO IMPOSE TAX; LIMITATION ON                     TAX RATE; TAX ELECTION    Sec. 9305.0402.  TAX METHOD    Sec. 9305.0403.  DEPOSITORY    Sec. 9305.0404.  PAYMENT OF TAX OR ASSESSMENT NOT                     REQUIRED    SUBCHAPTER E. BONDS   Sec. 9305.0501.  AUTHORITY TO ISSUE BONDS; TAXES FOR                     BONDS    Sec. 9305.0502.  BOND ELECTION REQUIRED    Sec. 9305.0503.  FORM OF BONDS    Sec. 9305.0504.  MATURITY    Sec. 9305.0505.  USE OF BOND PROCEEDS    Sec. 9305.0506.  REFUNDING BONDS    Sec. 9305.0507.  BONDS EXEMPT FROM TAXATION    CHAPTER 9305. ESCONDIDO WATERSHED DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 9305.0101.  DEFINITIONS. In this chapter:                (1)  "Board" means the district's board of directors.                (2)  "Director" means a board member.                (3)  "District" means the Escondido Watershed   District. (Acts 57th Leg., R.S., Ch. 364, Sec. 1 (part); New.)          Sec. 9305.0102.  NATURE OF DISTRICT. The district is:                (1)  a conservation and reclamation district created   under Section 59, Article XVI, Texas Constitution; and                (2)  a political subdivision of this state. (Acts 57th   Leg., R.S., Ch. 364, Sec. 1 (part).)          Sec. 9305.0103.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.   (a) The district is:                (1)  created to serve a public use and benefit; and                (2)  essential to the accomplishment of the   preservation and conservation of this state's natural resources.          (b)  All land in the district will benefit from the district.          (c)  All territory in the district will benefit from the   works and improvements accomplished and provided by the district   under the powers conferred by this chapter and Section 59, Article   XVI, Texas Constitution.          (d)  This chapter addresses a subject in which this state and   the general public are interested.          (e)  The district performs an essential public function   under the Texas Constitution in carrying out the purposes of this   chapter because the accomplishment of those purposes is for the   benefit of the people of this state and the improvement of their   properties and industries. (Acts 57th Leg., R.S., Ch. 364, Secs. 3   (part), 4 (part), 15 (part), 16 (part).)          Sec. 9305.0104.  DISTRICT TERRITORY. (a) The district is   composed of the territory described by Section 3, Chapter 364, Acts   of the 57th Legislature, Regular Session, 1961, as that territory   may have been modified under:                (1)  Subchapter J, Chapter 49, Water Code; or                (2)  other law.          (b)  The district includes all property and territory in the   district's boundaries. (Acts 57th Leg., R.S., Ch. 364, Sec. 3   (part); New.)          Sec. 9305.0105.  CORRECTION OF INVALID PROCEDURES. If a   court holds that any procedure under this chapter violates the   United States Constitution or the Texas Constitution, the district   by resolution may provide an alternative procedure that conforms   with that constitution. (Acts 57th Leg., R.S., Ch. 364, Sec. 17   (part).)          Sec. 9305.0106.  LIBERAL CONSTRUCTION OF CHAPTER. This   chapter shall be liberally construed to effectuate the chapter's   purposes. (Acts 57th Leg., R.S., Ch. 364, Sec. 16 (part).)   SUBCHAPTER B. BOARD OF DIRECTORS; ADMINISTRATIVE PROVISIONS          Sec. 9305.0201.  COMPOSITION OF BOARD. The board consists   of five elected directors. (Acts 57th Leg., R.S., Ch. 364, Sec. 5(a)   (part); New.)          Sec. 9305.0202.  QUALIFICATIONS. A director must:                (1)  be at least 18 years of age; and                (2)  reside in and own land in the district. (Acts 57th   Leg., R.S., Ch. 364, Sec. 5(a) (part).)          Sec. 9305.0203.  NOTICE OF ELECTION.  Notice of a directors'   election must be published once in a newspaper of general   circulation in the district at least 30 days before the election   date.  (Acts 57th Leg., R.S., Ch. 364, Sec. 5(b) (part).)          Sec. 9305.0204.  BALLOT PETITION. (a) A person who wants   the person's name printed on the ballot as a candidate for director   must submit to the board's secretary a petition requesting that   action.          (b)  The petition must be signed by at least 10 residents of   the district who are qualified to vote at the election.  (Acts 57th   Leg., R.S., Ch. 364, Sec. 5(c) (part).)          Sec. 9305.0205.  OFFICERS. (a)  The board shall elect from   the board's membership a president, a vice president, and any other   officers the board determines necessary.          (b)  The board shall appoint a secretary and a treasurer, who   are not required to be directors. The board may combine the offices   of secretary and treasurer. (Acts 57th Leg., R.S., Ch. 364, Sec.   5(f) (part).)          Sec. 9305.0206.  VOTE BY PRESIDENT.  The president has the   same right to vote as any other director.  (Acts 57th Leg., R.S.,   Ch. 364, Sec. 5(f) (part).)          Sec. 9305.0207.  ABSENCE OR INACTION OF PRESIDENT.  When the   president is absent or fails or declines to act, the vice president   shall perform all duties and exercise all powers this chapter   confers on the president.  (Acts 57th Leg., R.S., Ch. 364, Sec. 5(f)   (part).)          Sec. 9305.0208.  DIRECTOR'S BOND. Each director shall give   bond in the amount of $5,000 conditioned on the faithful   performance of the director's duties. (Acts 57th Leg., R.S., Ch.   364, Sec. 5(a) (part).)          Sec. 9305.0209.  EMPLOYEES. The board may employ a general   manager, attorneys, accountants, engineers, or other technical or   nontechnical employees or assistants and set the amount and manner   of their compensation.  (Acts 57th Leg., R.S., Ch. 364, Sec. 5(g)   (part).)          Sec. 9305.0210.  EXPENDITURES. The board may provide for   the payment of expenditures considered essential to the proper   operation and maintenance of the district and the district's   affairs.  (Acts 57th Leg., R.S., Ch. 364, Sec. 5(g) (part).)          Sec. 9305.0211.  SEAL. The board may adopt a seal for the   district.  (Acts 57th Leg., R.S., Ch. 364, Sec. 5(f) (part).)   SUBCHAPTER C. POWERS AND DUTIES          Sec. 9305.0301.  GENERAL POWERS. The district may:                (1)  control, store, and distribute the water and flood   water in the district for or in aid of conserving, preserving,   reclaiming, and improving the land and soil in the district;                (2)  carry out flood prevention measures to prevent or   aid in preventing damage to land and soil and the fertility of the   land and soil;                (3)  engage in land treatment measures to prevent   deterioration, erosion, and loss of land and soil;                (4)  carry out preventive and control measures in the   district;                (5)  construct, acquire, improve, carry out, maintain,   repair, and operate dams, structures, projects, and works of   improvement for:                      (A)  flood prevention, including structural and   land treatment measures;                      (B)  agricultural and land treatment measures;   and                      (C)  agricultural phases of the conservation,   development, use, and disposal of water in the district; and                (6)  purchase or acquire other facilities and equipment   necessarily connected with the functions described by Subdivision   (5) and engage in activities necessary to carry out those   functions.  (Acts 57th Leg., R.S., Ch. 364, Sec. 2 (part).)          Sec. 9305.0302.  EMINENT DOMAIN. (a) To carry out a power   conferred by this chapter, the district may exercise the power of   eminent domain to acquire land and easements in the district.          (b)  The district must exercise the power of eminent domain   in the manner provided by Chapter 21, Property Code.          (c)  The board shall determine the amount and type of   interest in land and easements to be acquired under this section.          (d)  The district's authority under this section to exercise   the power of eminent domain expired on September 1, 2013, unless the   district submitted a letter to the comptroller in accordance with   Section 2206.101(b), Government Code, not later than December 31,   2012. (Acts 57th Leg., R.S., Ch. 364, Sec. 6 (part); New.)          Sec. 9305.0303.  COST OF RELOCATING OR ALTERING PROPERTY.   (a) In this section, "sole expense" means the actual cost of   relocating, raising, lowering, rerouting, changing the grade of, or   altering the construction of a facility described by Subsection (b)   in providing comparable replacement without enhancing the   facility, after deducting from that cost the net salvage value   derived from the old facility.          (b)  If the district's exercise of the power of eminent   domain, the power of relocation, or any other power granted by this   chapter makes necessary relocating, raising, rerouting, changing   the grade of, or altering the construction of a highway, railroad,   electric transmission line, telephone or telegraph property or   facility, or pipeline, the necessary action shall be accomplished   at the district's sole expense. (Acts 57th Leg., R.S., Ch. 364,   Sec. 6 (part).)          Sec. 9305.0304.  SURVEYS AND INVESTIGATIONS. The board may   conduct a survey or an engineering investigation to provide   information for the district to facilitate the accomplishment of a   purpose for which the district is created. (Acts 57th Leg., R.S.,   Ch. 364, Sec. 5(g) (part).)          Sec. 9305.0305.  POWER TO QUALIFY FOR BENEFITS UNDER OTHER   LAW. The district has the power necessary to fully qualify for and   gain the full benefits of any law helpful in carrying out the   purposes for which the district is created. (Acts 57th Leg., R.S.,   Ch. 364, Sec. 2 (part).)   SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS          Sec. 9305.0401.  AUTHORITY TO IMPOSE TAX; LIMITATION ON TAX   RATE; TAX ELECTION. (a) If the tax is authorized at an election   under Section 49.107, Water Code, the board annually may impose an   ad valorem tax to provide money:                (1)  necessary to construct or acquire, maintain, and   operate works, plants, and facilities considered essential or   beneficial to the district and the district's purposes; or                (2)  adequate to defray the cost of the district's   maintenance, operation, and administration.          (b)  An election for the imposition of taxes authorized by   this section must be:                (1)  ordered by the board; and                (2)  held and conducted, with notice provided and   results determined, in the manner provided by this chapter relating   to elections for the authorization of bonds.          (c)  In ordering a tax election authorized by this section,   the board must specify the maximum proposed tax rate. To impose a   maintenance tax at a rate that exceeds the maximum rate approved by   the voters, the board must submit the question of a tax rate   increase to the voters in the manner provided by this section.   (Acts 57th Leg., R.S., Ch. 364, Sec. 11 (part).)          Sec. 9305.0402.  TAX METHOD. (a) The district shall use the   ad valorem plan of taxation.          (b)  The board is not required to hold a hearing on the   adoption of a plan of taxation. (Acts 57th Leg., R.S., Ch. 364,   Sec. 4 (part).)          Sec. 9305.0403.  DEPOSITORY. (a) The board shall designate   one or more banks to serve as a depository for district money.          (b)  District money shall be deposited in a designated   depository, except that money shall be remitted to the bank of   payment to pay the principal of and interest on the district's   outstanding bonds.          (c)  Membership of a bank officer or director on the board   does not disqualify the bank from being designated as a depository.   (Acts 57th Leg., R.S., Ch. 364, Sec. 13 (part).)          Sec. 9305.0404.  PAYMENT OF TAX OR ASSESSMENT NOT REQUIRED.   The district is not required to pay a tax or assessment on a   district project or any part of the project. (Acts 57th Leg., R.S.,   Ch. 364, Sec. 15 (part).)   SUBCHAPTER E. BONDS          Sec. 9305.0501.  AUTHORITY TO ISSUE BONDS; TAXES FOR BONDS.   (a) The district may issue bonds payable from ad valorem taxes   imposed on all taxable property in the district to provide dams,   structures, projects, and works of improvement for flood   prevention, including structural and land treatment measures, to   purchase and acquire lands, easements, and rights-of-way and for   agricultural phases of conservation, development, and use and   disposal of water, for necessary facilities, equipment, and   properties in connection therewith and for improvement,   maintenance, repair, and operation of same, and to carry out any   other power conferred by this chapter.          (b)  The board shall annually impose the taxes in an amount   sufficient to pay the principal of and interest on the bonds as the   bonds and interest become due.          (c)  Bonds issued under this chapter must be authorized by a   board resolution. (Acts 57th Leg., R.S., Ch. 364, Sec. 7 (part).)          Sec. 9305.0502.  BOND ELECTION REQUIRED. (a) District   bonds, other than refunding bonds, may not be issued unless   authorized by an election at which a majority of the votes cast   favor the bond issuance.          (b)  The board may order an election under this section   without a petition. The order must specify:                (1)  the time and place at which the election will be   held;                (2)  the purpose for which the bonds will be issued;                (3)  the maximum amount of the bonds;                (4)  the maximum maturity of the bonds;                (5)  the maximum interest rate of the bonds;                (6)  the form of the ballot; and                (7)  the presiding judge for each polling place.          (c)  Notice of the election must be given by publishing in a   newspaper of general circulation in the district a substantial copy   of the election order. The notice must be published once each week   for two consecutive weeks. The first publication must be not later   than 14 days before the election date. (Acts 57th Leg., R.S., Ch.   364, Sec. 8 (part).)          Sec. 9305.0503.  FORM OF BONDS. District bonds must be:                (1)  issued in the district's name;                (2)  signed by the president; and                (3)  attested by the secretary. (Acts 57th Leg., R.S.,   Ch. 364, Sec. 7 (part).)          Sec. 9305.0504.  MATURITY. District bonds must mature not   later than 40 years after the date of their issuance. (Acts 57th   Leg., R.S., Ch. 364, Sec. 7 (part).)          Sec. 9305.0505.  USE OF BOND PROCEEDS. (a) The district may   set aside an amount of proceeds from the sale of district bonds for   the payment of interest to accrue during construction and for one   year after construction and a reserve interest and sinking fund.          (b)  The district may use proceeds from the sale of the bonds   to pay any expense incurred in accomplishing the purpose for which   the district is created, including:                (1)  the cost of printing and issuing the bonds; and                (2)  payment of fees associated with attorneys, fiscal   agents, and engineers.          (c)  Pending the use of bond proceeds for the purpose for   which the bonds were issued, the board may invest the proceeds in   obligations of or guaranteed by the United States. (Acts 57th Leg.,   R.S., Ch. 364, Sec. 7 (part).)          Sec. 9305.0506.  REFUNDING BONDS. (a) The district without   an election may issue refunding bonds for the purpose of refunding   outstanding bonds authorized by this chapter and the interest on   those bonds.          (b)  Refunding bonds the district issues may be issued to   refund bonds of more than one series of outstanding bonds.          (c)  The provisions of this chapter regarding the issuance of   other bonds and the remedies of the holders apply to refunding   bonds.          (d)  The comptroller shall register the refunding bonds on   surrender and cancellation of the bonds to be refunded.          (e)  Instead of issuing bonds to be registered on the   surrender and cancellation of the bonds to be refunded, the   district, in the resolution authorizing the issuance of the   refunding bonds, may provide for the sale of the refunding bonds and   the deposit of the proceeds in a bank at which the bonds to be   refunded are payable. In that case, the refunding bonds may be   issued in an amount sufficient to pay the principal of and interest   on the bonds to be refunded to their option date or maturity date,   and the comptroller shall register the refunding bonds without the   concurrent surrender and cancellation of the bonds to be refunded.   (Acts 57th Leg., R.S., Ch. 364, Sec. 9.)          Sec. 9305.0507.  BONDS EXEMPT FROM TAXATION. A district   bond, the transfer of the bond, and the income from the bond,   including profits made on the sale of the bond, are exempt from   taxation in this state. (Acts 57th Leg., R.S., Ch. 364, Sec. 15   (part).)   ARTICLE 2. CONFORMING AMENDMENT          SECTION 2.01.  ESCONDIDO WATERSHED DISTRICT. Section 3,   Chapter 364, Acts of the 57th Legislature, Regular Session, 1961,   is amended to read as follows:          Sec. 3.  TERRITORY COMPRISING THE DISTRICT. [It is expressly   determined and found that all of the territory included within the   area of the District will be benefited by the works and improvements   which are to be accomplished and provided by the District pursuant   to the powers conferred by the provisions of Article XVI, Section   59, of the Constitution of Texas and this Act.] The area of the   Escondido Watershed District shall consist of the property and   territory embraced within the following boundaries, to wit:          Beginning at the NW corner of the Julius Hedtke 300.2 acre   tract in the Willis Orton Original Grant A-221, being W 10 miles of   the County Seat, Karnes City, Texas;          THENCE N 50 degrees E 4000.0 ft. to the NE cor. of the said   Hedtke Tract in the D. B. Scott Jr. W. line;          THENCE S 40 degrees E 120.0 ft. to the NW cor. of the J. H.   Davidson 100.0 acre tract being in the Julius Hedtke E line;          THENCE N 50 degrees E 5210.0 ft. with the said J. H. Davidson   N line to the NE cor. of said tract in the W ROW line of a county rd.;          THENCE N 40 degrees W 3933.3 ft. with the said W line of the   county rd. being the E line of the D. B. Scott Jr. 221 acre tract   pass the NE cor. of the said Scott tract to the intersection of the W   ROW line of the said county rd. and the N ROW line of another county   rd., said point being in the E line of the Finley D. Barth E line;          THENCE N 50 degrees E 2880.0 ft. with the said N ROW line of a   county rd. to the point of intersection of this ROW line with the E   line of the said Willis Orton Original Grant A-221;          THENCE S 40 degrees E 4375.0 ft. with the said Willis Orton E   line being the E line of the C. L. Gideon 411.6 acre tract being the   southernmost cor. of the B. J. Nichols 414 acre tract;          THENCE S 87 degrees E with the N line of the W. P. Brashear   Original Grant A-57 to the intersection of this line and the W line   of the Lusgardo Martinez Original Grant A-196, 815 ft.; this being   the SW cor. of said Grant A-196;          THENCE N 3 degrees E 5733.3 ft. with the W line of the said   grant pass the NW cor. of said grant to the NW cor. of the T. G.   Butler Original Grant A-429 being the NE cor. of the A. C. Gideon   4.4 acre tract;          THENCE N 89 degrees E 24,083.1 ft. with the N line of the said   Grant A-429 pass the W line of the said Francisco Ruiz Original   Grant A-9 and with the S ROW line of a county rd. being the N line of   the D. C. Coldeway 155 acre tract to the NE cor. of this tract;          THENCE S 3 degrees W 2275.0 ft. with the E line of the said   Coldeway tract to the SE cor. of said tract in the NE line of the   Rudolph Voight 140 acre tract;          THENCE S 87 degrees E 12,384.4 ft. with the Rudolph Voight N   line pass his NE cor. with the N. H. Finch 200 acre tract N line   cross a county rd. along the Combs and Browne 322 acre tract N line   to the E line of the Ruiz Grant A-9 being the NE cor. of the said 322   acre tract;          THENCE S 3 degrees W 1075.0 ft. with the said Ruiz E line   being the E line of the Combs and Browne tract to the NW cor. of the   Dora Conrads 75 acre tract;          THENCE S 87 degrees E 5634.0 ft. with the Dora Conrads N line   across a county rd. with the R. M. Sattler N line to the NE cor. of   this tract in the W ROW line of the Kenedy to Karnes City Hy.;          THENCE S 3 degrees W 1200.0 ft. with the Sattler E line to a   point in said ROW line;          THENCE N 45 degrees E 6,025.0 ft. across said highway to the   J. D. Ruckman SW cor. and with the J. D. Ruckman S line pass the SW   cor. of the W. W. Browne tract being the SE cor. of the J. D. Ruckman   tract with the S line of the W. W. Browne tract to the SE cor. of   said tract being the NE cor. of the E. J. Smolik tract and the NE   cor. of the J. Poitevent Original Grant A-323;          THENCE N 45 degrees W 1,500.0 ft. with the said Browne E line   being the 0. E. Moore W line across the S.P.R.R. ROW to the NW cor.   of the Moore tract in the E line of the Browne tract being the NW   cor. of the Andreas Soto Original Grant A-260;          THENCE N 45 degrees E with the said Moore N line being the N   line of the said Grant A-260 across a county rd. to the intersection   of the W line of the R. W. and Prudie D. Derum Original Grant A-439;          THENCE N 3 degrees E 7,185.0 ft. with the said W line of the   A-439 Grant to the N cor. of said Grant being the N cor. of the Annie   Bailey 56.57 acre tract;          THENCE S 45 degrees E with the E line of the said A-439 Grant   pass the SE cor. of same being the N cor. of the William E. Howth   Grant A-144 with the E line of same to the S cor. of the said A-144   Grant in the N line of the said A-260 Original Grant; 5,200.0 ft.;          THENCE N 45 degrees E 545.0 ft. with the said A-260 Grant N   line to the NE cor. of the A. M. Bailey 225.5 acre tract being the NW   cor. of the S. M. Elder 214.5 acre tract;          THENCE S 45 degrees E with the E line of the A. M. Bailey tract   being the W line of the said Elder tract pass a N cor. of the Claude   Jennings tract to an interior cor. of the Claude Jennings tract;          THENCE N 45 degrees E with the Claude Jennings N line 1676.4   ft. with the Jennings N line to the NE cor. of same;          THENCE S 45 degrees E 3,058.3 ft. with the Claude Jennings E   line to the S cor. of the said Claude Jennings tract in the N line of   the Edna Wicker 159.4 acre tract;          THENCE N 45 degrees E 1833.3 ft. with the Edna Wicker N line   to the NE cor. of same being the NW cor. of the E. Elder 95 acre   tract;          THENCE S 45 degrees E 2000 ft. with the said Edna Wicker E   line to the N side of a county rd. being the SE cor. of the Edna   Wicker tract;          THENCE S 45 degrees W 700.3 ft. with the S line of the Wicker   tract being the N ROW line of a county Rd.;          THENCE S 45 degrees E 4895.0 ft. with the David Banduen 165   acre tract to the intersection of this line with the NW ROW line of a   county Rd. being the SE cor. of the David Banduen tract;          THENCE S 11 degrees W 1966.6 ft. with the N ROW line of said   road past the Burlie Burris East corner to a point in the SE line of   the Burlie Burris 37 acre tract.          THENCE S 45 degrees E 3366.6 ft. across the said rd. with the   W. J. Green W line to the SE cor. of same being in the S line of the   J. B. Dupree Original Grant A-86;          THENCE N 45 degrees E 2,320.0 ft. with the S line of the said   A-86 Grant being the N line of the John Huth and Carl Houck to the NE   cor. of same;          THENCE S 45 degrees E 3325.0 ft. with the Houck E line being   the P. R. Goff W line to the SE cor. of the Houck tract being the SW   cor. of the Goff tract on the N ROW line of a county rd.;          THENCE N 45 degrees E 4366.6 ft. with the N ROW line being the   S line of the P. R. Goff 220 acre tract to a point in the P. R. Goff S   line;          THENCE S 45 degrees E 7366.6 ft. across said county rd. to the   NE cor. of the Valda E. Ruhmann 808 acre tract and with the E line of   said Ruhmann tract being the W ROW line of a county rd. across the   county rd. to the S ROW line of said rd. being in the N line of the K.   L. Handy 259.2 acre tract;          THENCE N 45 degrees E 4410.0 ft. with the N line of the K. L.   Handy tract pass the common cor. of the Handy tract and the Bertha   B. Ruhmann 333.8 acre tract to the NE cor. of said Ruhmann tract   being the NW cor. of the N. E. Colbath et al 677.6 acre tract;          THENCE S 45 degrees E 3585.0 ft. with the common line between   the said Ruhmann and Colbath tracts to a SW cor. of the Colbath   tract in the Ruhmann line;          THENCE N 45 degrees E 1733.7 ft. with the Colbath line to an   interior cor. of the Colbath tract;          THENCE S 45 degrees E 1666.6 ft. with the Colbath and Ruhmann   common line to an interior cor. of the Ruhmann tract and a S cor. of   the Colbath tract;          THENCE S 45 degrees E 4320.0 ft. with the said Colbath tract   to the W bank of the San Antonio River;          THENCE down the meanders of the San Antonio River S 1 degrees   W 1422.7 ft.; S 25 degrees W 475.0 ft., S 3 degrees E 866.6 ft.; S 59   degrees 30 minutes E 1566.6 ft.; S 25 degrees E 2500 ft.; S 50   degrees W 1560.0 ft.; S 17 degrees W 566.6 ft.; S 49 degrees E 851.0   ft.; N 80 degrees E 3178.5 ft.; N 43 degrees E 600 ft.; N 2 degrees W   466.6 ft.; N 40 degrees W 500 ft.; N 50 degrees E 1080.0 ft.; S 81   degrees E 558.6 ft.; S 7 degrees E 655.0 ft.; S 29 degrees W 1005.0   ft.; S 5 degrees E 866.8 ft.; to the NE cor. of the Ruth Ingram 1000   acre tract on the S ROW line of a county rd.;          THENCE S 45 degrees W 9482.4 ft. with the N line of the Ruth   Ingram tract and the S line of said County rd. to the NW cor. of said   Ruth Ingram tract being the E ROW line of a county rd.;          THENCE S 34 degrees E 5485.0 ft. with the said E ROW line pass   the John Smolik NW cor. to the SE cor. of the Della Tips 2037.5 acre   tract across the county rd.;          THENCE S 42 degrees 30 minutes W 10,233.3 ft. across the said   county rd. to the Della Tips SE cor. and with the Della Tips S line   to the SW cor. of said tract;          THENCE N 45 degrees W 4675.0 ft. with the SW line of the Della   Tips tract pass the SE cor. of the H. H. Kerpeck tract to the NE cor.   of said Kerpeck tract;          THENCE S 45 degrees W with the said Kerpeck N line to the NW   cor. of said tract across a county rd. and with the S ROW line of   said rd. to a cor. in said rd.; 2378.4 ft. in all;          THENCE N 46 degrees W 1616.6 ft. across said county rd. and   with the E ROW line of said rd. being the W line of the L. K. Thigpen   201.24 acre tract to a point opposite S cor. of the C. Kerpeck tract   across said county rd.;          THENCE N 64 degrees W 1491.2 ft. across said county rd. pass   the said S cor. of the Kerpeck tract and with the Kerpeck S Line to a   cor. of the Kerpeck tract;          THENCE N 44 degrees W 1118.9 ft. with the Kerpeck W line to   the NW cor. of said tract in the S ROW line of a county rd.;          THENCE S 42 degrees W 2442.5 ft. with the said S ROW line   across a county rd. to the W ROW line of a county rd. being the SE   cor. of the Annie M. Loesch tract;          THENCE S 45 degrees W 771.3 ft. to the SW cor. of the said   Loesch tract;          THENCE N 45 degrees W 1927.4 ft. with the said Loesch W line   to an interior cor. of said tract;          THENCE S 45 degrees W 2249.7 ft. with the Annie M. Loesch S   line pass the W cor. of the said Loesch tract being the SE cor. of   the A. M. Green 175 ac. tract and with the S line of said Green tract   to the S cor. of said tract in the Verita and F. H. Korth 159.5 ac.   tract E line;          THENCE S 46 degrees E 1883.6 ft. with the Korth E line to the   SE cor. of same;          THENCE S 45 degrees W 2731.5 ft. with the said Korth S line   pass the SW cor. of same to the W ROW line of a county rd.;          THENCE N 46 degrees W 1181.2 ft. with the W line of said   county rd. to the SE cor. of the Temple Stapleton 50.2 ac. tract;          THENCE S 45 degrees W 1157.1 ft. with the Temple Stapleton S   line to the S cor. of said Stapleton tract;          THENCE N 45 degrees W 745.9 ft. with the Stapleton SW line to   an anterior cor. of said tract;          THENCE S 45 degrees W 2313.9 ft. with the Temple Stapleton S   line pass the SW cor. of same and with the E. Schroeder S line pass   the Common cor. between the said Schroeder SW cor. and the L. Roach   SW cor. with the L. Roach S line to the SW cor. of the said Roaach 1   tract;          THENCE N 45 degrees W 932.5 ft. with the Roach W line to the NW   cor. of the Roach tract being in the S line of the Mrs. E. A. Johnson   100 ac. tract;          THENCE S 45 degrees W 1157.1 ft. with the S line of the said   Johnson tract across the Overby rd. to the W ROW line of same;          THENCE N 45 degrees W 2957.6 ft. with the W ROW line of said   county rd. to the intersection of this ROW line with the Raymond   Whipple E line;          THENCE S 6 degrees E 3895.2 ft. with the E line of the Raymond   Whipple tract to the S cor. of same;          THENCE S 45 degrees W with the M. L. Chesnutt 409.0 ac. tract   S line across a county rd. to the SE cor. of the M. L. Chesnutt 155.5   ac. tract 2248.7 ft.;          THENCE N 46 degrees W 2488.9 ft. with the said 155.5 ac. tract   E line to the NE cor. of said tract;          THENCE S 44 degrees W with the said Chesnutt N line pass the   Joe Krawietz SW cor. pass the Chesnutt NW cor. being the E. Strawn   SW cor. with the Floyd Swoap N line pass the J. 0. Russell SW cor. to   the SW cor. of the M. T. Buckaloo 66.5 ac. tract 5177.8 ft. in all;          THENCE S 46 degrees E 1759.8 ft. with the said Swoap W line   being the E ROW line of a county rd. to a point opposite the SE cor.   of the R. A. David 108 ac. tract;          THENCE S 49 degrees W 2185.4 ft. with the David S line to the   SW cor. of same;          THENCE N 45 degrees W 1181.3 ft. with the David W line across   the old Hy. 181 to the W ROW line of same;          THENCE S 21 degrees and 10 minutes W 899.6 ft. with the said   ROW line to the S. cor. of the H. H. Schuenemann 123.42 ac. tract;          THENCE N 45 degrees W 1800.2 ft. with the Schuenemann W line   to an interior cor. of same;          THENCE N 82 degrees 45 minutes W 4155.3 ft. with the H. H.   Schuenemann S line pass the SW cor. with the W. T. Homeyer S line to   the SW cor. of the Homeyer 255 ac. tract;          THENCE S 3 degrees W 2146.9 ft. with the Mable Davis E line to   the S cor. of same being the N cor. of the W. S. Grunewald 79 ac.   tract;          THENCE S 14 degrees E 288.0 ft. with the Grunewald E line to   the SE cor. of same;          THENCE S 45 degrees W 6900.0 ft. with the Grunewald SE line to   the SW cor. of same in the E ROW line of a county rd. across said   county rd. and with the NW ROW line of the county rd. pass the R. W.   Jones et al. 268 ac. tract and the L. W. Scott 124.73 ac. tract to   the SW cor. of the L. W. Scott 62.37 ac. tract;          THENCE N 45 degrees W 3395.0 ft. with the Scott W line pass   the NW cor. of same to a point in the James H. Wright W line being   the SE cor. of the John Polson 136 ac. tract;          THENCE S 45 degrees W 3933.3 ft. with the John Polson S line   to the SW cor. of same in the E ROW line of county rd.;          THENCE N 45 degrees W 6366.6 ft. with the said county rd. E   line pass the John Polson NW cor. being the J. M. Ruhmann SW cor.,   pass the J. M. Ruhmann NW cor. and across State Hy. 72 to the SW cor.   of the John Beck 587.5 ac. tract;          THENCE S 46 degrees 15 minutes W with the NW ROW line of   St. Hy. 72 pass the O. L. Bagwell SW cor. pass the Tom M. Leggett SW   cor. to the SW cor. of the John W. Regmund 735.85 ac. tract;          THENCE N 45 degrees W 6100.0 ft. with the W line of the said   Regmund tract to the NW cor. of same being the SW cor. of the Geo.   Heider 205.4 ac. tract;          THENCE N 20 degrees W 4200.0 ft. with the Geo. Heider W line   across a county rd. to the SW cor. of the S. E. Crews 2643 ac. tract;          THENCE S 70 degrees W 1943.5 ft. across a county rd. and with   the S line of the Ida Carroll 112 ac. tract to the SW cor. of same;          THENCE N 20 degrees W 2625.0 ft. with the Ida Carroll W line   to the NW cor. of same in the Herbert Rudolph S line;          THENCE S 70 degrees W 1876.8 ft. to the SW cor. of the Herbert   Rudolph tract in the E ROW line of a county rd.;          THENCE N 20 degrees W with the E ROW line of the County rd.   pass the NW cor. of the Herbert Rudolph tract to the NW cor. of the   E. Rudolph 197.5 ac. tract;          THENCE N 15 degrees W 4075.0 ft. with the said E ROW line of   the county rd. to the NW cor. of the Edgar M. Ladewig 305.9 ac.   tract, across county rd. to a point in the S line of the A. N. Wells   292.5 ac. tract;          THENCE S 70 degrees W 2093.6 ft. with the Wells S line to the   SE cor. of same;          THENCE N 20 degrees W 3825.0 ft. with the Wells W line being   the E ROW line of a county rd.;          THENCE N 70 degrees E 1771.4 ft. with the Wells N line to the   SE cor. of the B. W. Klingeman tract in the N line of the Wells   tract;          THENCE N 20 degrees W 3666.6 ft. with the common line between   the said Klingeman tract and the Alex Kowald 200 ac. tract across a   county rd. to the S line of the Fred Klingeman tract;          THENCE S 70 degrees W 1563.5 ft. with the Klingeman S line to   the SW cor. of same;          THENCE N 20 degrees W 3000.0 ft. with the said Klingeman W   line to the NW cor. in the R. Best S line;          THENCE S 70 degrees W 2953.5 ft. with the said Best S line to   the SW cor. of same;          THENCE N 20 degrees W 5225.0 ft. with the Best W line being   the W line of the James Bradberry A-24 Original Grant to the NW cor.   of the Best tract;          THENCE N 70 degrees E 2451.4 ft. with the N line of the Best   tract to the SE cor. of the Horace L. Smith 238 ac. tract in the Best   N line;          THENCE N 20 degrees W 4450.0 ft. with the said Smith E line   being the D. B. Scott W line pass the NE cor. of the said Scott tract   across a county rd. to the SW cor. of the Alvin Ripps 169.5 ac. tract   being the SE cor. of the Vallie Jarvis tract;          THENCE S 70 degrees W 9468.5 ft. with the N ROW line of the   said county rd. pass the Vallie Jarvis SW cor. across a county rd.   pass the H. L. Smith SW cor. pass the Howard Stanfield S cor. to the   R. L. Gideon SW cor.;          THENCE N 40 degrees W 8333.3 ft. with the Gideon W line and   the E line of a county rd. pass the Herbert Weigang SW cor. pass the   Julius Hedtke SW cor. to the place of beginning, containing   80,158.23 acres of land, more or less.   ARTICLE 3. REPEALERS          SECTION 3.01.  WILLACY COUNTY NAVIGATION DISTRICT. The   following statutes are repealed:                (1)  Chapter 404, Acts of the 53rd Legislature, Regular   Session, 1953;                (2)  Chapter 135, Acts of the 54th Legislature, Regular   Session, 1955;                (3)  Chapter 141, Acts of the 55th Legislature, Regular   Session, 1957;                (4)  Chapter 392, Acts of the 56th Legislature, Regular   Session, 1959;                (5)  Sections 2 and 3, Chapter 449, Acts of the 56th   Legislature, Regular Session, 1959;                (6)  Sections 2 and 3, Chapter 654, Acts of the 60th   Legislature, Regular Session, 1967; and                (7)  Sections 2 and 3, Chapter 892, Acts of the 81st   Legislature, Regular Session, 2009.          SECTION 3.02.  GUADALUPE-BLANCO RIVER AUTHORITY. The   following statutes are repealed:                (1)  Chapter 75, Acts of the 43rd Legislature, 1st   Called Session, 1933;                (2)  Chapter 45, Acts of the 58th Legislature, Regular   Session, 1963;                (3)  Sections 2, 3, and 4, Chapter 432, Acts of the 61st   Legislature, Regular Session, 1969;                (4)  Sections 2 and 3, Chapter 433, Acts of the 64th   Legislature, Regular Session, 1975; and                (5)  Sections 10, 12, and 13, Chapter 22, Acts of the   86th Legislature, Regular Session, 2019.          SECTION 3.03.  UPPER GUADALUPE RIVER AUTHORITY. The   following statutes are repealed:                (1)  Chapter 5, page 1062, Special Laws, Acts of the   46th Legislature, Regular Session, 1939;                (2)  Sections 1 and 2, Chapter 193, Acts of the 59th   Legislature, Regular Session, 1965;                (3)  Section 2, Chapter 632, Acts of the 59th   Legislature, Regular Session, 1965;                (4)  Section 6, Article IV, Chapter 484, Acts of the   68th Legislature, Regular Session, 1983;                (5)  Section 2, Chapter 1059, Acts of the 68th   Legislature, Regular Session, 1983;                (6)  Section 2, Chapter 830, Acts of the 75th   Legislature, Regular Session, 1997;                (7)  Sections 2 and 3, Chapter 1544, Acts of the 76th   Legislature, Regular Session, 1999; and                (8)  Sections 6, 7, and 8, Chapter 180, Acts of the 88th   Legislature, Regular Session, 2023.          SECTION 3.04.  FRANKLIN COUNTY WATER DISTRICT. The   following statutes are repealed:                (1)  Chapter 719, Acts of the 59th Legislature, Regular   Session, 1965;                (2)  Chapter 308, Acts of the 60th Legislature, Regular   Session, 1967;                (3)  Section 3, Chapter 412, Acts of the 69th   Legislature, Regular Session, 1985;                (4)  Section 2, Chapter 59, Acts of the 72nd   Legislature, Regular Session, 1991; and                (5)  Section 2, Chapter 3, Acts of the 75th   Legislature, Regular Session, 1997.          SECTION 3.05.  ESCONDIDO WATERSHED DISTRICT. Sections 1, 2,   4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, and 17, Chapter 364,   Acts of the 57th Legislature, Regular Session, 1961, are repealed.   ARTICLE 4. GENERAL MATTERS          SECTION 4.01.  LEGISLATIVE INTENT OF NO SUBSTANTIVE CHANGE.   This Act is enacted under Section 43, Article III, Texas   Constitution. This Act is intended as a codification only, and no   substantive change in law is intended by this Act. This Act does   not increase or decrease the territory of any special district of   the state as those boundaries exist on the effective date of this   Act.          SECTION 4.02.  PRESERVATION OF VALIDATION MADE BY PREVIOUS   LAW. (a) The repeal of a law, including a validating law, by this   Act does not remove, void, or otherwise affect in any manner a   validation under the repealed law. The validation is preserved and   continues to have the same effect that it would have if the law were   not repealed.          (b)  Subsection (a) of this section does not diminish the   saving provisions prescribed by Section 311.031, Government Code.          SECTION 4.03.  EFFECTIVE DATE. This Act takes effect April   1, 2027.