81R5807 SLB-F
	By: Otto	H.B. No. 1367

	A BILL TO BE ENTITLED
	AN ACT
	relating to the powers and duties of the Liberty Lakes Fresh Water
	Supply District No. 1; providing authority to impose a tax and issue
	bonds; granting the power of eminent domain.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  The name of Liberty Lakes Fresh Water Supply
	District No. 1 of Liberty County is changed to Liberty Lakes Fresh
	Water Supply District No. 1.
	SECTION 2.  Subtitle B, Title 6, Special District Local Laws
	Code, is amended by adding Chapter 6908 to read as follows:
	CHAPTER 6908. LIBERTY LAKES FRESH WATER SUPPLY DISTRICT NO. 1
	SUBCHAPTER A. GENERAL PROVISIONS
	Sec. 6908.001.  DEFINITIONS. In this chapter:
	(1)  "Board" means the district's board of directors.
	(2)  "Director" means a board member.
	(3)  "District" means the Liberty Lakes Fresh Water
	Supply District No. 1.
	Sec. 6908.002.  NATURE OF DISTRICT. The district is a fresh
	water supply district created under and essential to accomplish the
	purposes of Section 52, Article III, and Section 59, Article XVI,
	Texas Constitution.
	Sec. 6908.003.  FINDINGS OF PUBLIC PURPOSE AND BENEFIT. All
	land and other property in the district will benefit from the
	improvements and services to be provided by the district.
	[Sections 6908.004-6908.050 reserved for expansion]
	SUBCHAPTER B. BOARD OF DIRECTORS
	Sec. 6908.051.  GOVERNING BODY; TERMS. (a) The district is
	governed by a board of five elected directors.
	(b)  Directors serve staggered four-year terms.
	Sec. 6908.052.  QUALIFICATIONS. To be qualified to serve as
	a director, a person must be:
	(1)  at least 18 years of age;
	(2)  a resident of this state; and
	(3)  an owner of land subject to taxation in the
	district or a qualified voter of the district.
	[Sections 6908.053-6908.100 reserved for expansion]
	SUBCHAPTER C. POWERS AND DUTIES
	Sec. 6908.101.  GENERAL POWERS AND DUTIES. The district has
	the powers and duties necessary to accomplish the purposes for
	which the district is created.
	Sec. 6908.102.  FRESH WATER SUPPLY DISTRICT POWERS AND
	DUTIES. The district has the powers and duties provided by the
	general law of this state applicable to fresh water supply
	districts created under Section 59, Article XVI, Texas
	Constitution, including Chapters 49 and 53, Water Code.
	Sec. 6908.103.  AUTHORITY FOR DRAINAGE PROJECTS. The
	district may purchase, construct, acquire, own, operate, maintain,
	repair, or improve all works, improvements, facilities, plants,
	equipment, and appliances necessary to gather, conduct, divert, and
	control local stormwater or other local harmful excesses of water
	in the district.
	Sec. 6908.104.  DIVISION OF DISTRICT. (a) The district may
	be divided into two or more new districts only if the district:
	(1)  has no outstanding bonded debt; and
	(2)  is not imposing ad valorem taxes.
	(b)  This chapter applies to any new district created by the
	division of the district, and a new district has all the powers and
	duties of the district.
	(c)  Any new district created by the division of the district
	may not, at the time the new district is created, contain any land
	outside the territory of the district as it existed on the date the
	district was created.
	(d)  The board, on its own motion or on receipt of a petition
	signed by the owner or owners of a majority of the assessed value of
	the real property in the district, may adopt an order dividing the
	district.
	(e)  The board may adopt an order dividing the district
	before or after the date the board holds an election to confirm the
	district's creation.
	(f)  An order dividing the district shall:
	(1)  name each new district;
	(2)  include the metes and bounds description of the
	territory of each new district;
	(3)  appoint temporary directors for each new district;
	and
	(4)  provide for the division of assets and liabilities
	between or among the new districts.
	(g)  On or before the 30th day after the date of adoption of
	an order dividing the district, the district shall file the order
	with the Texas Commission on Environmental Quality and record the
	order in the real property records of each county in which the
	district is located.
	(h)  Any new district created by the division of the district
	shall hold a confirmation and directors' election as provided by
	Section 49.102, Water Code.
	(i)  Municipal consent to the creation of the district and to
	the inclusion of land in the district acts as municipal consent to
	the creation of any new district created by the division of the
	district and to the inclusion of land in the new district.
	(j)  Any new district created by the division of the district
	must hold an election as required by this chapter to obtain voter
	approval before the district may impose a maintenance tax or issue
	bonds payable wholly or partly from ad valorem taxes.
	Sec. 6908.105.  ADDITION OF LAND. Land that is adjacent to
	the district may be added to the district in the manner provided by
	and in accordance with the requirements of Subchapter J, Chapter
	49, Water Code, whether or not the land is located in the same
	county.
	[Sections 6908.106-6908.150 reserved for expansion]
	SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
	Sec. 6908.151.  ELECTIONS REGARDING TAXES OR BONDS. (a) The
	district may issue, without an election, bonds and other
	obligations secured by:
	(1)  revenue other than ad valorem taxes; or
	(2)  contract payments described by Section 6908.153.
	(b)  The district must hold an election in the manner
	provided by Chapters 49 and 53, Water Code, to obtain voter approval
	before the district may impose an ad valorem tax or issue bonds
	payable from ad valorem taxes.
	(c)  The district may not issue bonds payable from ad valorem
	taxes to finance a road project unless the issuance is approved by a
	vote of a two-thirds majority of the district voters voting at an
	election held for that purpose.
	Sec. 6908.152.  OPERATION AND MAINTENANCE TAX. (a) If
	authorized at an election held under Section 6908.151, the district
	may impose an operation and maintenance tax on taxable property in
	the district in accordance with Section 49.107, Water Code.
	(b)  The board shall determine the tax rate. The rate may not
	exceed the rate approved at the election.
	Sec. 6908.153.  CONTRACT TAXES. (a) In accordance with
	Section 49.108, Water Code, the district may impose a tax other than
	an operation and maintenance tax and use the revenue derived from
	the tax to make payments under a contract after the provisions of
	the contract have been approved by a majority of the district voters
	voting at an election held for that purpose.
	(b)  A contract approved by the district voters may contain a
	provision stating that the contract may be modified or amended by
	the board without further voter approval.
	Sec. 6908.154.  TAX ASSESSOR AND COLLECTOR. Sections
	53.072-53.075, Water Code, do not apply to the district. The board
	may employ or contract with a tax assessor and collector for the
	district as provided by Chapter 49, Water Code.
	[Sections 6908.155-6908.200 reserved for expansion]
	SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
	Sec. 6908.201.  AUTHORITY TO ISSUE BONDS AND OTHER
	OBLIGATIONS. The district may issue bonds or other obligations
	payable wholly or partly from ad valorem taxes, impact fees,
	revenue, contract payments, grants, or other district money, or any
	combination of those sources, to pay for any authorized district
	purpose.
	Sec. 6908.202.  TAXES FOR BONDS. At the time the district
	issues bonds payable wholly or partly from ad valorem taxes, the
	board shall provide for the annual imposition of a continuing
	direct ad valorem tax, without limit as to rate or amount, while all
	or part of the bonds are outstanding as required and in the manner
	provided by Section 53.188, Water Code.
	Sec. 6908.203.  BONDS FOR ROAD PROJECTS. At the time of
	issuance, the total principal amount of bonds or other obligations
	issued or incurred to finance road projects and payable from ad
	valorem taxes may not exceed one-fourth of the assessed value of the
	real property in the district.
	SECTION 3.  (a) The legal notice of the intention to
	introduce this Act, setting forth the general substance of this
	Act, has been published as provided by law, and the notice and a
	copy 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 Act to the Texas Commission on
	Environmental Quality.
	(c)  The Texas Commission on Environmental Quality has filed
	its recommendations relating to 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 Act are fulfilled
	and accomplished.
	SECTION 4.  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, 2009.