H.R. No. 2622       R E S O L U T I O N          BE IT RESOLVED by the House of Representatives of the State of   Texas, 85th Legislature, Regular Session, 2017, That House Rule 13,   Section 9(a), be suspended in part as provided by House Rule 13,   Section 9(f), to enable the conference committee appointed to   resolve the differences on House Bill 4345 (the creation of the Rio   de Vida Municipal Utility District No. 1; providing authority to   impose a tax and issue bonds) to consider and take action on the   following matter:          (1)  House Rule 13, Section 9(a)(4), is suspended to permit   the committee to add text on a matter not included in either the   house or senate version of the bill by adding ARTICLE 2 to the bill   to read as follows:   ARTICLE 2.  SOUTHWESTERN TRAVIS COUNTY   GROUNDWATER CONSERVATION DISTRICT          SECTION 2.01.  The legislature finds that:                (1)  creation of the Southwestern Travis County   Groundwater Conservation District:                      (A)  is consistent with the state's preferred   method of groundwater management;                      (B)  will protect property rights, balance the   development and conservation of groundwater with the needs of this   state, and use the best available science in the area of groundwater   through rules developed, adopted, and promulgated by the district   in accordance with the provisions of Chapter 8871, Special District   Local Laws Code, as added by this article; and                      (C)  will be a benefit to the land in the district   and a public benefit and utility;                (2)  the district is created to:                      (A)  protect the interests of private property   ownership while balancing the interests of all property owners in   the district;                      (B)  manage groundwater resources; and                      (C)  protect the groundwater in the district;                (3)  although a property owner of land in the district   is not entitled to an equal amount of water as another property   owner of land in the district, a property owner does have a vested   ownership interest in the groundwater beneath the owner's property,   and the district shall recognize that ownership interest; and                (4)  the Southwestern Travis County Groundwater   Conservation District is not created to prohibit or restrict   development of private property in the district.          SECTION 2.02.  Subtitle H, Title 6, Special District Local   Laws Code, is amended by adding Chapter 8871 to read as follows:   CHAPTER 8871. SOUTHWESTERN TRAVIS COUNTY GROUNDWATER CONSERVATION   DISTRICT   SUBCHAPTER A. GENERAL PROVISIONS          Sec. 8871.001.  DEFINITIONS. In this chapter:                (1)  "Board" means the district's board of directors.                (2)  "Commission" means the Texas Commission on   Environmental Quality.                (3)  "Director" means a board member.                (4)  "District" means the Southwestern Travis County   Groundwater Conservation District.          Sec. 8871.002.  NATURE OF DISTRICT. The district is a   groundwater conservation district in Travis County created under   and essential to accomplish the purposes of Section 59, Article   XVI, Texas Constitution.          Sec. 8871.003.  FINDINGS OF PUBLIC USE AND BENEFIT. (a) The   district is created to serve a public use and benefit.          (b)  All land and other property included in the district   will benefit from the works and projects accomplished by the   district under the powers conferred by Section 59, Article XVI,   Texas Constitution.          Sec. 8871.004.  INITIAL DISTRICT TERRITORY. (a) The   district is initially composed of the territory described by   Section 2.03 of the Act enacting this chapter.          (b)  The boundaries and field notes contained in Section 2.03   of the Act enacting this chapter form a closure. A mistake made in   the field notes or in copying the field notes in the legislative   process does not affect the district's:                (1)  organization, existence, or validity;                (2)  right to issue any type of bond for the purposes   for which the district is created or to pay the principal of and   interest on a bond; or                (3)  legality or operation.   SUBCHAPTER B. TEMPORARY AND INITIAL DIRECTORS          Sec. 8871.021.  APPOINTMENT OF TEMPORARY DIRECTORS;   VACANCIES; TERMS. (a) Seven persons who reside in the district   shall be appointed as temporary directors not later than the 90th   day after the effective date of the article of the Act creating this   chapter as follows:                (1)  the county judge of Travis County shall appoint   one temporary director;                (2)  the county commissioner for the county   commissioners precinct in which the district is principally located   shall appoint two temporary directors;                (3)  the state representative who represents the house   district in which the district is principally located shall appoint   two temporary directors; and                (4)  the state senator who represents the senate   district in which the district is principally located shall appoint   two temporary directors.          (b)  If a temporary director fails to qualify for office or a   vacancy occurs on the temporary board, the remaining temporary   directors shall appoint a person to fill the vacancy. If at any   time there are fewer than four temporary directors, the state   representative under Subsection (a)(3) shall appoint the necessary   number of persons to fill all vacancies on the board.          (c)  Temporary directors serve until the date initial   directors are elected at an election held under Section 8871.024.          Sec. 8871.022.  ORGANIZATIONAL MEETING. (a) Not later than   the 45th day after the date on which the seventh temporary director   is appointed under Section 8871.021, the temporary directors shall   hold the organizational meeting of the district.          (b)  The temporary directors shall select from among   themselves a president, a vice president, and a secretary.          Sec. 8871.023.  AUTHORITY OF TEMPORARY DIRECTORS. (a)   Except as provided by Subsections (c) and (d) or as otherwise   provided by this subchapter, the temporary directors of the   district have the same permitting and general management powers as   those provided for initial and permanent directors under this   chapter and Chapter 36, Water Code.          (b)  The temporary directors or their designees have the   authority to enter any public or private property located in the   district to inspect a water well that is not exempt under Section   8871.103, as provided by Section 36.123, Water Code.          (c)  Except as provided by Section 8871.024, the temporary   directors do not have the authority granted by the following   provisions of Chapter 36, Water Code:                (1)  Sections 36.017, 36.019, 36.020, and 36.059;                (2)  Sections 36.105, 36.1071, 36.1072, 36.1073, and   36.108;                (3)  Sections 36.171-36.181;                (4)  Sections 36.201-36.204; and                (5)  Subchapters J and K.          (d)  The temporary directors may regulate the transfer of   groundwater out of the district as provided by Section 36.122,   Water Code, but may not prohibit the transfer of groundwater out of   the district.          Sec. 8871.024.  CONFIRMATION AND INITIAL DIRECTORS'   ELECTION. (a) The temporary directors shall order an election in   the district, to be held not later than the uniform election date in   May 2018, to confirm the creation of the district and to elect the   initial directors.          (b)  At the election held under this section, the temporary   board shall have placed on the ballot the names of the candidates   who are eligible under Section 8871.051 for each of the seven   positions on the board.          (c)  Section 41.001(a), Election Code, applies to an   election held under this section.          (d)  Except as provided by this section, an election held   under this section must be conducted as provided by the Election   Code and Sections 36.017, 36.018, and 36.019, Water Code. The   following provisions of the Water Code do not apply to an election   under this section:                (1)  Section 36.017(a);                (2)  the provision of Section 36.017(d) governing   ballot provisions for the election of permanent directors; and                (3)  Section 36.059(b).          (e)  If the district's creation is not confirmed at an   election held under Subsection (a), the candidate who receives a   majority of the votes cast at that election for each of the seven   positions on the board becomes a temporary director of the   district. The temporary directors elected under this subsection   shall order a subsequent election to be held to confirm the creation   of the district and to elect the initial directors not earlier than   the uniform election date in May 2020.          (f)  Temporary directors elected under Subsection (e) serve   until:                (1)  the date initial directors are elected at the   subsequent election ordered under Subsection (e) if the creation of   the district is confirmed; or                (2)  the fourth anniversary of the date of the election   held under Subsection (a) if the creation of the district is not   confirmed.          (g)  The vacancy provision of Section 8871.021, and Section   8871.023, apply to the temporary directors elected under Subsection   (e).          Sec. 8871.025.  INITIAL DIRECTORS. (a) Promptly after an   election has been held under Section 8871.024 and the votes have   been canvassed, if the creation of the district is confirmed, the   temporary directors shall:                (1)  declare for each board position the person who   receives the most votes for that position to be elected as the   initial director for that position; and                (2)  include the results of the initial directors'   election in the district's election report to the commission.          (b)  The initial directors shall draw lots to determine which   three initial directors serve two-year terms and which four initial   directors serve four-year terms.   SUBCHAPTER C. BOARD OF DIRECTORS          Sec. 8871.051.  GOVERNING BODY; TERMS. (a) The district is   governed by a board of seven directors.          (b)  Directors elected after the election held under Section   8871.024 serve four-year terms.          (c)  The directors are elected as follows:                (1)  one director must reside in the corporate limits   of the City of Bee Cave and be elected by voters residing in the City   of Bee Cave;                (2)  one director must reside in the corporate limits   of the City of Lakeway or Village of the Hills and be elected by   voters residing in the City of Lakeway and Village of the Hills;                (3)  one director must reside in the corporate limits   of the City of West Lake Hills and be elected by voters residing in   the City of West Lake Hills; and                (4)  four directors must:                      (A)  reside inside the district and outside the   corporate limits of the City of Bee Cave, City of Lakeway, Village   of the Hills, and City of West Lake Hills;                      (B)  be elected by voters residing inside the   district and outside the corporate limits of the City of Bee Cave,   City of Lakeway, Village of the Hills, and City of West Lake Hills;   and                      (C)  each use groundwater as a source of water   supply for one or more beneficial uses at their respective   residences.   SUBCHAPTER D. POWERS AND DUTIES          Sec. 8871.101.  GROUNDWATER CONSERVATION DISTRICT POWERS   AND DUTIES. Except as otherwise provided by this chapter, the   district has the powers and duties provided by the general law of   this state, including Chapter 36, Water Code, applicable to   groundwater conservation districts created under Section 59,   Article XVI, Texas Constitution.          Sec. 8871.102.  AQUIFER STORAGE AND RECOVERY PROJECTS. The   district may implement and develop aquifer storage and recovery   projects in accordance with:                (1)  Chapters 27 and 36, Water Code; and                (2)  commission rules and guidance.          Sec. 8871.103.  EXEMPT WELLS. (a) Groundwater withdrawals   from the following wells may not be regulated, permitted, or   metered by the district:                (1)  a well used for domestic use by a single private   residential household and incapable of producing more than 10,000   gallons per day; and                (2)  a well used solely for domestic use or for   providing water for livestock or poultry if the well is:                      (A)  located or to be located on a tract of land   larger than 10 acres; and                      (B)  drilled, completed, or equipped so that it is   incapable of producing more than 25,000 gallons of groundwater a   day.          (b)  The district may not charge or collect a well   construction fee for a well described by Subsection (a)(2).          (c)  A well used for dewatering and monitoring in the   production of coal or lignite is exempt from permit requirements,   regulations, and fees imposed by the district.          Sec. 8871.104.  PERMIT REQUIRED. A well owner must obtain a   permit and pay any required fees, including a well construction   fee, before using any groundwater withdrawn from a well for   purposes other than those exempted by Section 8871.103.          Sec. 8871.105.  ACCESS TO PROPERTY. (a) Subject to   Subsection (b), an employee or agent of the district is entitled to   enter public or private property in the district at any reasonable   time to:                (1)  inspect an exempt well;                (2)  inspect and investigate conditions relating to the   quality of water in the state; and                (3)  monitor compliance with any rule, regulation,   permit, or other order of the district.          (b)  An employee or agent of the district must obtain the   permission of the property owner before entering public or private   property.          (c)  If any employee or agent of the district is refused the   right to enter public or private property in the district under this   section, the district may seek a court order from a district court   authorizing the district to enter the land.          (d)  An employee or agent who enters private property under   this section shall:                (1)  observe the property's rules and regulations, if   any, concerning safety, internal security, and fire protection;                (2)  notify management or a person in charge of the   presence of the employee or agent; and                (3)  exhibit proper credentials.          Sec. 8871.106.  NO EMINENT DOMAIN POWER. The district may   not exercise the power of eminent domain.   SUBCHAPTER E. FINANCIAL PROVISIONS          Sec. 8871.151.  WELL CONSTRUCTION FEE. The district may   charge and collect a new well construction fee not to exceed $1,000   for a new well.          Sec. 8871.152.  PERMIT RENEWAL APPLICATION FEE. The   district may charge and collect a permit renewal application fee   not to exceed $400.          Sec. 8871.153.  SERVICE CONNECTION FEE. (a) This section   does not apply to a water utility that has surface water as its sole   source of water.          (b)  The district may levy and collect a water utility   service connection fee not to exceed $1,000 for each new water   service connection made after September 1, 2017.          Sec. 8871.154.  PRODUCTION FEE. The district may impose   reasonable production fees on each well that is not exempt from   permitting under Section 8871.103 based on the amount of water   actually withdrawn from the well. The district may not impose a   production fee under this section in an amount greater than 20 cents   per thousand gallons.          Sec. 8871.155.  ADMINISTRATIVE MANAGEMENT FEE. The district   may set a reasonable fee for administrative management on a per well   basis. The district may set a fee for administrative management on   a well that is exempt from permitting in an amount not greater than   $40 per well, per year.          Sec. 8871.156.  CERTAIN FEES PROHIBITED. The district may   not charge a fee under Section 36.205(b), (c), or (f), Water Code.          Sec. 8871.157.  LIMITATION ON AUTHORITY TO IMPOSE TAXES.   The district does not have the authority granted by Sections 36.020   and 36.201-36.204, Water Code, relating to taxes.          SECTION 2.03.  The Southwestern Travis County Groundwater   Conservation District initially includes all the territory   contained in the following area:          THE TERRITORY OF THE SOUTHWEST TRAVIS COUNTY PORTION OF THE   HILL COUNTRY PRIORITY GROUNDWATER MANAGEMENT AREA - AS DESCRIBED BY   2010 TCEQ REPORT; "The southwestern Travis territory is located in   the southwestern quarter of Travis County. The southwestern Travis   territory is bound to the west by Blanco and Burnet counties,   southwest by Hays County, and southeast by the northwestern   boundary of the Barton Springs/Edwards Aquifer Conservation   District (BS/EACD). The northern boundary of the southwestern   Travis territory is the Colorado River (Lake Travis, Lake Austin,   and Lady Bird Lake)."          SECTION 2.04.  (a) The legal notice of the intention to   introduce this article of this Act, setting forth the general   substance of this article of this Act, has been published as   provided by law, and the notice and a copy of this article of this   Act have been furnished to all persons, agencies, officials, or   entities to which they are required to be furnished under Section   59, Article XVI, Texas Constitution, and Chapter 313, Government   Code.          (b)  The governor, one of the required recipients, has   submitted the notice and this article of this Act to the Texas   Commission on Environmental Quality.          (c)  The Texas Commission on Environmental Quality has filed   its recommendations relating to this article of this Act with the   governor, the lieutenant governor, and the speaker of the house of   representatives within the required time.          (d)  All requirements of the constitution and laws of this   state and the rules and procedures of the legislature with respect   to the notice, introduction, and passage of this article of this Act   are fulfilled and accomplished.          SECTION 2.05.  This article takes effect September 1, 2017.          Explanation: The change is necessary to create the   Southwestern Travis County Groundwater Conservation District and   provide the district the ability to issue bonds and impose fees.          (2)  House Rule 13, Section 9(a)(1), is suspended to permit   the committee to amend text not in disagreement in proposed SECTION   1.01 of the bill, in proposed Sections 8013.006, 8013.053, and   8013.153, Special District Local Laws Code, in proposed SECTION   1.03 of the bill, in the provision regarding legal notice and other   requirements, and in SECTION 1.04 of the bill, in the effective date   provision, by renumbering references to SECTION 2 of the bill as   SECTION 1.02 and changing references to "this Act" to "this article   of this Act".          EXPLANATION: This change is necessary to accommodate the   addition of a second article to the Act.     Rodriguez of Travis     ______________________________   Speaker of the House                 I certify that H.R. No. 2622 was adopted by the House on May   28, 2017, by the following vote:  Yeas 145, Nays 0, 3 present, not   voting.     ______________________________   Chief Clerk of the House