SB1359 - Relating to the creation, powers, duties, and financing of the Wise Regional Water District; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose fees; creating a criminal offense.

      By: Parker S.B. No. 1359     A BILL TO BE ENTITLED   AN ACT   relating to the creation, powers, duties, and financing of the Wise   Regional Water District; granting a limited power of eminent   domain; providing authority to issue bonds; providing authority to   impose fees; creating a criminal offense.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subtitle X, Title 6, Special District Local Laws   Code, is amended by adding Chapter 11021 to read as follows:   CHAPTER 11021.   WISE REGIONAL WATER DISTRICT   SUBCHAPTER A.   GENERAL PROVISIONS           Sec. 11021.0101.  DEFINITIONS. In this chapter:                 (1)     "Basic service area" means the geographic area   inside the corporate limits or boundaries of all participants and   all customers and the areas that are served by those members and   customers.                 (2)     "Board" means the board of directors of the   district.                 (3)     "Contract member" means a governmental or private   entity that provides retail utility service in its boundaries, that   contracts with the district not later than the end of the second   year after the effective date of the Act enacting this chapter to   preserve the option to become a participant in the 10-year period   following the effective date of the Act enacting this chapter, and   that agrees to pay an annual pro rata share of the administrative   and planning costs of the district that are unrelated to capital   projects to be financed by the district, provided that the share of   administrative and planning costs may not exceed for a contract   member 50 cents per capita unless otherwise agreed by at least 75   percent of the contract members having, collectively, at least 75   percent of the population represented by all the contract members.                 (4)  "County" means Wise County, Texas.                 (5)     "Customer" means a wholesale user of the water or   wastewater services provided by the district that provides retail   utility service in the boundaries of the user.                 (6)  "District" means the Wise Regional Water District.                 (7)     "Participant" means a governmental or private   entity that provides retail utility service in the entity's   boundaries and that contracts with the district for the   construction of and payment for the water or wastewater projects to   be financed by the district.                 (8)     "Service area" means that geographic area in the   boundaries of the district.                 (9)     "Subdistrict" means a subdistrict authorized to be   created under this chapter.                 (10)     “Water district” means a conservation and   reclamation district created under Section 52, Article III, or   Section 59, Article XVI, Texas Constitution.           Sec.   11021.0102.     LEGISLATIVE FINDINGS. (a) The   legislature finds that the creation and establishment of the   district and the creation and establishment of subdistricts in the   district are essential to the accomplishment of the purposes of   Section 59, Article XVI, Texas Constitution.           (b)     The legislature finds that all of the land and other   property included in the boundaries of the district and in the   boundaries of a subdistrict will be benefited by the improvements,   works, and projects that are to be provided by the district and by   subdistricts under the powers conferred on the district and   subdistricts by this chapter, and that the district is created to   serve a public use and benefit and any subdistrict created will   serve a public use and will be for a public purpose.           Sec.   11021.0103.     CREATION. (a) A conservation and   reclamation district is created under Section 59, Article XVI,   Texas Constitution. The district shall be known as the Wise   Regional Water District.           (b)     An election confirming the creation of the district is   not required.           Sec.   11021.0104.     TERRITORY.   (a)   Except as provided by   Subsection (b) and Section 11021.0105, the territory of the   district is coextensive with the territory of the county.           (b)     The territory of the district also includes the entire   area in the boundaries of any participant or contract member, a   portion of whose incorporated limits or boundaries are partially   inside the county as those boundaries existed on the effective date   of the Act enacting this chapter.           Sec.   11021.0105. EXPANSION OF DISTRICT. (a) The territory   of the district may be expanded to include the territory or service   area of a governmental or private entity in the manner provided by   Section 11021.0106.           (b)     The territory of the district may be expanded to include   the area within the boundaries of a municipality or water district   outside the county, if, in addition to the requirements of Section   11021.0106, the district and the municipality or water district   execute a contract member's contract or a participating member's   contract not later than the second anniversary of the effective   date of the Act enacting this chapter.   Approval of a contract   member's contract between the district and the municipality or   water district requires a three-quarters majority vote of the   district's board of directors. Approval of a participating   member's contract between the district and the municipality or   water district requires a three-quarters majority vote of the   weighted vote of all directors eligible to vote.           Sec.   11021.0106.     METHOD OF ADDING PARTICIPANT OR CONTRACT   MEMBER. (a) A governmental or private entity may petition the board   to add that governmental or private entity as a participant or   contract member.           (b)  A petition under Subsection (a) must be submitted:                 (1)  in the manner and form required by board rule; and                 (2)     not later than a date that allows sufficient time   to comply with the requirements of this section before the end of   the second year after the effective date of the Act enacting this   chapter.           (c)     On receipt of a petition under Subsection (a), the board   shall set a hearing on the petition and provide notice of the date,   time, place, and purpose of the hearing to:                 (1)     entities that are participants and contract   members on the date the petition is received; and                 (2)  the petitioning governmental or private entity.           (d)  At the hearing, the board shall determine whether:                 (1)     the governmental or private entity will benefit   from being added to the district as a participant or contract   member;                   (2)     it is in the best interest of the district to add   the governmental or private entity to the district as a participant   or contract member; and                 (3)     the district has access to sufficient water to   provide the governmental or private entity with water service.           (e)     If, after a hearing on the petition, the board   determines that the governmental or private entity should be added   to the district as a participant or contract member, the board shall   issue an order:                 (1)     approving the addition of the governmental or   private entity as a participant or contract member;                 (2)     adding the governmental or private entity's   territory or service area to the territory of the district;                 (3)     making the governmental or private entity's   territory or service area subject to the privileges, duties,   assets, and financial obligations of the district to the same   degree as other participants or contract members already included   in the district; and                 (4)  stating the effective date of the order.           (f)     If the subject of the order is a governmental entity,   the effective date of the order must allow enough time for the   governmental entity to comply with Subsection (g).           (g)     A governmental entity that is the subject of an order   issued under Subsection (e) shall publish notice of the district's   proposal to add the governmental entity to the district as a   participant or contract member. The notice must:                 (1)     be published in a newspaper of general circulation   in the county in which the governmental entity is located;                 (2)     be published at least once per week for two   consecutive weeks and with the first publication appearing on or   before the 14th day before the effective date of the order; and                 (3)  state the effective date of the order.           Sec.   11021.0107.     METHOD OF REMOVING PARTICIPANT OR CONTRACT   MEMBER. (a) The governing body of a participant or contract member   may petition the board to remove the entity from the district as a   participant or contract member.           (b)     A petition must be submitted in the manner and form   required by board rule.           (c)     After receiving a petition under Subsection (a), the   board shall:                 (1)     decide whether the petitioner should be removed   from the district as a participant or contract member; and                 (2)     by order approve, conditionally approve, or   disapprove the petition.           (d)     The board may not approve a petition submitted under   this section if that action would impair or violate or conflict with   the terms of any outstanding bonds, notes, or other obligations of   the district.           (e)     An order issued under Subsection (c) that approves or   conditionally approves a participant's or contract member's   petition to be removed from the district must address:                 (1)     all matters related to the removal as determined   by the board, including the removal of the territory or service area   of the participant or contract member and, if applicable, territory   located in the service area of the participant or contract member as   provided by the contract member's or participant's certificate of   convenience and necessity; and                 (2)     if applicable, any conditions imposed by the board   that the petitioning participant or contract member must satisfy   before the board approves the petition, which may include:                       (A)     payment by the petitioner of all bonds,   notes, or other obligations issued by the district on behalf of the   petitioner;                       (B)     payment by the petitioner of the petitioner's   pro rata share of any bond, note, or other ob [Text truncated for display. 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