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  H.B. No. 2914
 
 
 
 
AN ACT
  relating to the necessity of hearings regarding the dissolution or
  conversion of certain conservation and reclamation districts.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter K, Chapter 49, Water Code, is amended
  by adding Section 49.3225 to read as follows:
         Sec. 49.3225.  ORDER WITHOUT HEARING. (a) The commission
  may adopt an order under Section 49.324 without conducting a
  hearing if it receives a petition under this section from:
               (1)  the owners of the majority in value of the land in
  the district, as shown by the most recent certified tax roll of the
  central appraisal district of the county or counties in which the
  district is located; or
               (2)  the board of directors of the district.
         (b)  Not later than the 10th day after the date a petition is
  submitted under Subsection (a), the petitioners shall:
               (1)  provide notice of the petition by certified mail:
                     (A)  to all the landowners in the district, as
  shown by the most recent certified tax roll of the central appraisal
  district of the county or counties in which the district is located,
  who did not sign the petition; and
                     (B)  if the petition was submitted by persons
  described by Subsection (a)(1), to the board of directors; and
               (2)  certify in writing to the commission that the
  requirements of Subdivision (1) have been met.
         (c)  A notice provided under Subsection (b)(1) must state
  that the landowner may file a written objection to the dissolution
  of the district not later than the 30th day after the date the
  notice was received.
         (d)  If a landowner files a written objection to the
  dissolution of the district with the commission within the period
  specified in the notice, the commission shall hold a hearing on the
  dissolution of the district. The commission shall mail notice of
  the hearing by first class mail to:
               (1)  the petitioners, and the board of directors if the
  board of directors did not submit the petition; and
               (2)  each landowner who timely filed a written
  objection to the dissolution.
         (e)  A district may not be dissolved under this section or
  any other provision of law if the district:
               (1)  has any outstanding bonded indebtedness unless the
  bonded indebtedness is assumed by a third party, or repaid or
  defeased in accordance with the order or resolution authorizing the
  issuance of the bonds;
               (2)  has a contractual obligation to pay money unless
  the obligation is assumed by a third party, fully paid in accordance
  with the contract, or waived by the obligee; or
               (3)  owns, operates, or maintains public works,
  facilities, or improvements, unless the ownership, operation, or
  maintenance is assumed by a third party.
         SECTION 2.  Section 54.030(b), Water Code, is amended to
  read as follows:
         (b)  The governing body of a district which desires to
  convert into a district operating under this chapter shall adopt
  and enter in the minutes of the governing body a resolution
  declaring that in its judgment, conversion into a municipal utility
  district operating under this chapter and under Article XVI,
  Section 59, of the Texas Constitution, would serve the best
  interest of the district and would be a benefit to the land and
  property included in the district. The resolution shall also
  request that the commission approve [to hold a hearing on the
  question of] the conversion of the district.
         SECTION 3.  Section 54.032, Water Code, is amended to read as
  follows:
         Sec. 54.032.  CONVERSION OF DISTRICT: NOTICE.  (a)  Notice
  of the conversion [hearing] shall be given by publishing notice in a
  newspaper with general circulation in the county or counties in
  which the district is located.
         (b)  The notice shall be published once a week for two
  consecutive weeks [with the first publication to be made not less
  than 14 full days before the time set for the hearing].
         (c)  The notice shall:
               (1)  [state the time and place of the hearing;
               [(2)]  set out the resolution adopted by the district
  in full; and
               (2) [(3)]  notify all interested persons how they may
  offer comments [to appear and offer testimony] for or against the
  proposal contained in the resolution.
         SECTION 4.  Section 54.033(a), Water Code, is amended to
  read as follows:
         (a)  If [After a hearing, if] the commission finds that
  conversion of the district into one operating under this chapter
  would serve the best interest of the district and would be a benefit
  to the land and property included in the district, it shall enter an
  order making this finding and the district shall become a district
  operating under this chapter and no confirmation election shall be
  required.
         SECTION 5.  Section 54.031, Water Code, is repealed.
         SECTION 6.  This Act takes effect September 1, 2019.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 2914 was passed by the House on April
  25, 2019, by the following vote:  Yeas 136, Nays 1, 1 present, not
  voting.
 
  ______________________________
  Chief Clerk of the House   
 
 
         I certify that H.B. No. 2914 was passed by the Senate on May
  21, 2019, by the following vote:  Yeas 31, Nays 0.
 
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
   
            _____________________
                   Governor