S.B. No. 1271
 
 
 
 
AN ACT
  relating to county authority to acquire a water or sewer utility
  system and provide water and sewer services within a municipality.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 412.016, Local Government Code, is
  amended to read as follows:
         Sec. 412.016.  COUNTY WATER AND SEWER SYSTEM.  (a)  A county
  may acquire, own, finance, operate, or contract for the operation
  of, a water or sewer utility system to serve an unincorporated area
  of the county in the same manner and under the same regulations as a
  municipality under Chapter 402. The county must comply with all
  provisions of Chapter 13, Water Code, that apply to a municipality.
  However, a county with a population of two [2.8] million or more and
  any adjoining county may, with the municipality's approval, serve
  an area within a municipality.
         (b)  To finance the water or sewer utility system, a county
  may issue bonds payable solely from the revenue generated by the
  water or sewer utility system. A bond issued under this section is
  not a debt of the county but is only a charge on the revenues pledged
  and is not considered in determining the ability of the county to
  issue bonds for any other purpose authorized by law. This
  subsection does not authorize the issuance of general obligation
  bonds payable from ad valorem taxes to finance a water or sewer
  utility system. However, a county with a population of two [2.8]
  million or more and any adjoining county may issue general
  obligation bonds with the approval of qualified voters.
         (c)  A county may acquire any interest in property necessary
  to operate a system authorized by this section through any means
  available to the county, including eminent domain. A county may not
  use eminent domain under this subsection to acquire property in a
  municipality. Provided, however, a county with a population of two
  [2.8] million or more and any adjoining county may, with the
  municipality's approval, use the power of eminent domain under this
  subsection to acquire property within a municipality.
         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, 2007.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1271 passed the Senate on
  April 19, 2007, by the following vote:  Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1271 passed the House on
  May 23, 2007, by the following vote:  Yeas 144, Nays 0, two
  present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor