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                                                                  H.B. No. 1207




AN ACT
relating to the exclusion of land from a water district with outstanding bonds for failure to provide sufficient services. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 49.3076, Water Code, is amended by amending Subsections (a)-(c) and adding Subsection (a-1) to read as follows: (a) The board of a district that has a total area of more than 5,000 acres shall call a hearing on the exclusion of land from the district on a written petition filed with the secretary of the board by a landowner whose land has been included in and taxable by the district for more than 28 years if any bonds issued by the district payable in whole or in part from taxes of the district are outstanding and the petition: (1) includes a signed petition evidencing the consent of the owners of a majority of the acreage proposed to be excluded, as reflected by the most recent certified tax roll of the district; (2) includes a claim that the district has not provided the land with retail utility services; (3) describes the property to be excluded; (4) provides facts necessary for the board to make the findings required by Subsection (b); and (5) is filed before August 31, 2007 [2005]. (a-1) The board of a district that has a total area of more than 1,000 acres and not more than 5,000 acres shall call a hearing on the exclusion of land from the district on a written petition filed with the secretary of the board by a landowner whose land has been included in and taxable by the district for more than 40 years if any bonds issued by the district payable in whole or in part from taxes of the district are outstanding and the petition complies with the requirements of Subsection (a). (b) The board of a district may exclude land under this section only on finding that: (1) the district has never provided retail utility services to the land described by the petition; (2) the district has imposed a tax on the land for more than: (A) 28 years if the board calls a hearing under Subsection (a); or (B) 40 years if the board calls a hearing under Subsection (a-1); and (3) all taxes the district has levied and assessed against the land and all fees and assessments the district has imposed against the land or the owner that are due and payable on or before the date of the petition are fully paid. (c) Unless the district presents evidence at the hearing that conclusively demonstrates that the requirements and grounds for exclusion described by Subsection [Subsections] (a) or (a-1), as appropriate, and Subsection (b) have not been met, the board shall enter an order excluding the land from the district and shall redefine in the order the boundaries of the district to embrace all land not excluded. SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2005. ______________________________ ______________________________ President of the Senate Speaker of the House I certify that H.B. No. 1207 was passed by the House on May 13, 2005, by the following vote: Yeas 142, Nays 0, 2 present, not voting; that the House refused to concur in Senate amendments to H.B. No. 1207 on May 27, 2005, and requested the appointment of a conference committee to consider the differences between the two houses; and that the House adopted the conference committee report on H.B. No. 1207 on May 29, 2005, by the following vote: Yeas 143, Nays 0, 2 present, not voting. ______________________________ Chief Clerk of the House I certify that H.B. No. 1207 was passed by the Senate, with amendments, on May 25, 2005, by the following vote: Yeas 31, Nays 0; at the request of the House, the Senate appointed a conference committee to consider the differences between the two houses; and that the Senate adopted the conference committee report on H.B. No. 1207 on May 29, 2005, by the following vote: Yeas 31, Nays 0. ______________________________ Secretary of the Senate APPROVED: __________________ Date __________________ Governor