S.B. No. 1031
 
 
 
 
AN ACT
  relating to the Harris-Galveston Subsidence District; providing
  authority to impose a fee.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 8801.001, Special District Local Laws
  Code, is amended by adding Subdivision (4-c) to read as follows:
               (4-c)  "Regional water supplier" means a political
  subdivision of this state that has:
                     (A)  the authority to conserve, store, treat, and
  purify water and to transport, distribute, sell, and deliver water
  to any person in this state; and
                     (B)  an approved groundwater reduction plan.
         SECTION 2.  Subchapter B, Chapter 8801, Special District
  Local Laws Code, is amended by adding Section 8801.066 to read as
  follows:
         Sec. 8801.066.  INVESTMENT OFFICER. (a)  Notwithstanding
  Section 2256.005(f), Government Code, the board may contract with a
  person to act as investment officer of the district.
         (b)  The investment officer shall:
               (1)  not later than the first anniversary of the date
  the officer takes office or assumes the officer's duties, attend a
  training session of at least six hours of instruction relating to
  investment responsibilities under Chapter 2256, Government Code;
  and
               (2)  attend at least four hours of additional
  investment training within each two-year period after the first
  year.
         (c)  Training under this section must be from an independent
  source approved by:
               (1)  the board; or
               (2)  a designated investment committee advising the
  investment officer.
         (d)  Training under this section must include education in
  investment controls, security risks, strategy risks, market risks,
  diversification of investment portfolio, and compliance with
  Chapter 2256, Government Code.
         SECTION 3.  Subsections (c) and (e), Section 8801.110,
  Special District Local Laws Code, are amended to read as follows:
         (c)  Written notice of a hearing other than a hearing on a
  permit application must be given to:
               (1)  each county, regional water supplier, and
  municipal government in the district; and
               (2)  each person that the board believes has an
  interest in the subject matter of the hearing.
         (e)  A copy of the notice must be provided to each county
  clerk to be posted in the place where notices are usually posted at
  the county courthouse of each county in the district.
         SECTION 4.  Section 8801.115, Special District Local Laws
  Code, is amended to read as follows:
         Sec. 8801.115.  STUDIES BY BOARD STAFF. At least once each
  year and at any other time the board considers necessary, the board
  shall have its staff and, if necessary, the staff of the Texas Water
  Development Board make a complete study of the groundwater in the
  district and determine:
               (1)  the water level;
               (2)  the rates and amounts of groundwater withdrawal;
  and
               (3)  other information relating to groundwater
  withdrawal that may affect [effect] subsidence in the district.
         SECTION 5.  Subsection (a), Section 8801.117, Special
  District Local Laws Code, is amended to read as follows:
         (a)  The [Not later than March 31 of each year, the] board
  shall hold an annual [a] hearing to determine the effects of
  groundwater withdrawal during the preceding calendar year on
  subsidence in the district.
         SECTION 6.  Section 8801.151, Special District Local Laws
  Code, is amended to read as follows:
         Sec. 8801.151.  GROUNDWATER WITHDRAWALS SUBJECT TO BOARD
  RULE. (a)  Groundwater withdrawals governed by this chapter,
  including withdrawals of injected water, are subject to reasonable
  board rules and orders, taking into account all factors, including
  availability of surface water or alternative water supplies,
  economic impact on persons and the community, degree and effect of
  subsidence on the surface of land, and differing topographical and
  geophysical characteristics of land areas in the district.
         (b)  The board may issue permits to drill new wells and may,
  by rule, provide exemptions from the permit requirements.  The
  district shall grant a permit to drill and operate a new well inside
  a platted subdivision if water service from a local retail public
  utility is not available to the lot where the well is to be located.
         (c)  In this section, "retail public utility" has the meaning
  assigned by Section 13.002, Water Code.
         SECTION 7.  Section 8801.152, Special District Local Laws
  Code, is amended to read as follows:
         Sec. 8801.152.  CERTAIN GROUNDWATER USES [WELLS] EXEMPT.
  The permit requirements [regulatory provisions] of this chapter do
  not apply to:
               (1)  a well regulated under Chapter 27, Water Code;
               (2)  a well with a casing diameter of less than five
  inches that serves only a single-family dwelling; and
               (3)  any other well as provided by board rule.
         SECTION 8.  Subsections (a) and (c), Section 8801.155,
  Special District Local Laws Code, are amended to read as follows:
         (a)  A [The owner or operator of a] well owner [located in the
  district] must obtain a permit from the board before:
               (1)  drilling, equipping, or completing the well;
               (2)  substantially altering the size of the well or a
  well pump; or
               (3)  operating the well.
         (c)  A well [An] owner [or operator] commits a violation if
  the well owner [or operator] does not obtain a permit as required by
  Subsection (a).  A violation occurs on the first day the drilling,
  alteration, or operation begins.  Each day that a violation
  continues is a separate violation.
         SECTION 9.  Subsection (c), Section 8801.158, Special
  District Local Laws Code, is amended to read as follows:
         (c)  The board shall issue a permit to an applicant if, on
  presentation of adequate proof, the board finds that:
               (1)  there is no other adequate and available
  substitute or supplemental source of alternative [surface] water
  supplies at prices competitive with the prices charged by suppliers
  of alternative [surface] water supplies in the district; and
               (2)  compliance with any provision of this chapter or
  any district rule will result in an arbitrary taking of property or
  in the practical closing and elimination of a lawful business,
  occupation, or activity without sufficient corresponding benefit
  or advantage to the public.
         SECTION 10.  Subsection (b-1), Section 8801.161, Special
  District Local Laws Code, is amended to read as follows:
         (b-1)  The fee under Subsection (a) may not exceed 110
  percent of the highest rate that the City of Houston charges for
  [surface] water supplied to its customers in the district.
         SECTION 11.  Section 8801.162, Special District Local Laws
  Code, is amended to read as follows:
         Sec. 8801.162.  ANNUAL REPORT. (a)  Before January 31 each
  year, a well owner who is required to hold [holds] a permit under
  this chapter shall submit to the board a report stating:
               (1)  the well owner's name;
               (2)  the total amount of groundwater withdrawn from the
  well during the preceding calendar year [12-month period];
               (3)  the total amount of groundwater withdrawn from the
  well during each month of the preceding calendar year [12-month
  period];
               (4)  the purpose for which the groundwater was used;
  and
               (5)  any other information the board considers
  necessary.
         (b)  For the purposes of this section, a well owner whose
  well is aggregated with other wells permitted and managed by a
  regional water supplier is required to file the report with the
  regional water supplier instead of the district.  Regional water
  suppliers are required to annually submit to the board the report
  required in Subsection (a) for all wells owned, managed, or
  permitted by that supplier no later than March 31.
         SECTION 12.  Subsection (a), Section 8801.163, Special
  District Local Laws Code, is repealed.
         SECTION 13.  A person who is an investment officer for the
  Harris-Galveston Subsidence District and who holds that office on
  the effective date of this Act must attend the training required by
  Subdivision (1), Subsection (b), Section 8801.066, Special
  District Local Laws Code, as added by this Act, not later than the
  first anniversary of the effective date of this Act, unless the
  person has already taken the training in the 12 months preceding
  that effective date.
         SECTION 14.  The authority of a regional water authority to
  impose a charge on a well or class of wells located within the
  boundaries of the Harris-Galveston Subsidence District is not
  affected by the ceasing of that well or class of wells on or after
  February 1, 2013, to be subject to:
               (1)  a groundwater reduction requirement imposed by the
  subsidence district; or
               (2)  the regulatory provisions, permitting
  requirements, or jurisdiction of the subsidence district.
         SECTION 15.  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, 2013.
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1031 passed the Senate on
  April 23, 2013, by the following vote: Yeas 31, Nays 0; and that
  the Senate concurred in House amendment on May 23, 2013, by the
  following vote: Yeas 31, Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1031 passed the House, with
  amendment, on May 20, 2013, by the following vote: Yeas 147,
  Nays 0, two present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
              Date
 
 
  ______________________________ 
            Governor