Amend CSHB 3405 (senate committee printing) by adding the following appropriately numbered SECTIONS to the bill and renumbering subsequent SECTIONS of the bill accordingly:

SECTION ____.  Sections 8471.102, Special District Local Laws Code, is amended to read as follows:

Sec. 8471.102.  [MUNICIPAL UTILITY] DISTRICT POWERS AND DUTIES. The district has the powers and duties provided by the general law of this state, including Chapters 36, 49 and 54, Water Code, applicable to [municipal utility] districts created under Section 59, Article XVI, Texas Constitution.

SECTION ____.  Section 8471.104, Special District Local Laws Code, is amended to read as follows:

Sec. 8471.104.  [LIMITATION ON USE OF] EMINENT DOMAIN PROHIBITION. [(a)] The district may not exercise the power of eminent domain [except for the purpose of importing surface water or nonlocal groundwater into the district]. [(b) For purposes of this section, nonlocal groundwater includes only groundwater that is withdrawn from a source outside the Edwards Aquifer and Trinity Aquifer.]

SECTION ____.  Sec. 8471.105, Special District Local Laws Code, is amended to read as follows:

Sec. 8471.105.  LIMITATION ON ANNEXATION. The district may not add land by petition of less than all the landowners under Section 49.302, Water Code[, unless the petition required under that section is signed by the owners of a two-thirds majority of the assessed value of the land in the defined area described by the petition].

SECTION ____.  Section 8471.103(c), Special District Local Laws, is repealed.

LUCIO

HINOJOSA

WATSON