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A BILL TO BE ENTITLED
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AN ACT
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relating to the creation of the Val Verde County Groundwater |
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Conservation District; providing authority to issue bonds; |
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providing authority to impose fees, surcharges, and taxes. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle H, Title 6, Special District Local Laws |
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Code, is amended by adding Chapter 8872 to read as follows: |
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CHAPTER 8872. VAL VERDE COUNTY GROUNDWATER CONSERVATION DISTRICT |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 8872.001. DEFINITIONS. (a) Except as provided by |
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Subsection (b), the definitions in Section 36.001, Water Code, |
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apply to this chapter. |
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(b) In this chapter: |
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(1) "Aquifer" means that part of the Edwards-Trinity |
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(Plateau) Aquifer located in Val Verde County. |
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(2) "Board" means the board of directors of the |
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district. |
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(3) "City" means the City of Del Rio. |
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(4) "Commissioners court" means the Val Verde County |
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Commissioners Court. |
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(5) "Director" means a member of the board. |
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(6) "District" means the Val Verde County Groundwater |
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Conservation District. |
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(7) "Domestic use" means the use of groundwater in the |
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district by a member of a well owner's household or by household |
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employees, tenants, licensees, or guests for the following |
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purposes: |
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(A) drinking, washing, or culinary activities; |
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(B) irrigation of: |
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(i) lawns; |
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(ii) family gardens; or |
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(iii) orchards, if the produce of the |
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orchard is used only for household consumption; |
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(C) filling or maintaining swimming pools, |
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decorative ponds, or fountains located on the well owner's |
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property; and |
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(D) drinking water for domestic animals not |
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raised, maintained, or sold for commercial purposes. |
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(8) "Existing well" means a well that is completed to |
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produce groundwater in Val Verde County on or before January 1, |
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2015. The term includes a well that is reworked or repaired after |
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January 1, 2015, to restore the well's historic production |
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capacity, provided that the reworking or repair does not enlarge |
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the diameter of the well bore as the well bore existed on January 1, |
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2015. |
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(9) "Historic use" means the production and beneficial |
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use of groundwater from an existing well in any calendar year before |
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January 1, 2015. |
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(10) "Political subdivision" means a governmental |
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entity of this state, including a county, municipality, state |
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agency, or district or authority created under Section 52, Article |
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III, or Section 59, Article XVI, Texas Constitution. The term also |
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includes a nonprofit water supply corporation created under Chapter |
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67, Water Code. |
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(11) "Retail public utility" has the meaning assigned |
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by Section 13.002, Water Code. |
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(12) "Rural area" means an area that is located: |
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(A) inside the boundaries of the district; and |
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(B) outside the corporate boundaries and |
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extraterritorial jurisdiction of a municipality in the district. |
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Sec. 8872.002. NATURE OF DISTRICT; PURPOSE. (a) The |
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district is a groundwater conservation district in Val Verde County |
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created under and essential to accomplish the purposes of Section |
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59, Article XVI, Texas Constitution, including: |
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(1) the permitting, recharge, conservation, |
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protection, and prevention of the waste of groundwater in Val Verde |
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County; |
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(2) the control of subsidence caused by the |
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unreasonable withdrawal of groundwater; |
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(3) the regulation of transporting groundwater |
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outside the boundaries of the district; |
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(4) the regulation of groundwater production and the |
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implementation of drought management and conservation plans for the |
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reduction of drawdown when conditions warrant action to protect |
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spring flow and base flow; and |
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(5) the management of the issuance of permits by |
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requiring studies and groundwater availability model analyses of |
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permit applications that include the use of conservation triggers |
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to mitigate the impact on spring flow, base flow, and drawdown. |
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(b) The district is created to serve a public use and |
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benefit. |
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(c) All of the land and other property included within the |
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boundaries of the district will benefit from the works and projects |
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that are to be accomplished by the district under powers conferred |
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by Section 59, Article XVI, Texas Constitution, this chapter, and |
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Chapter 36, Water Code. |
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Sec. 8872.003. CONFIRMATION ELECTION REQUIRED. If the |
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creation of the district is not confirmed at a confirmation |
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election held under Section 8872.023 before September 1, 2020: |
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(1) the district is dissolved September 1, 2020, |
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except that: |
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(A) any debts incurred shall be paid; |
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(B) any assets that remain after the payment of |
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debts shall be transferred to Val Verde County and the city in |
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proportion to the amount each entity has contributed to the costs of |
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the confirmation election and district operations; and |
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(C) the organization of the district shall be |
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maintained until all debts are paid and remaining assets are |
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transferred; and |
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(2) this chapter expires September 1, 2022. |
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Sec. 8872.004. INITIAL DISTRICT TERRITORY. The boundaries |
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of the district are coextensive with the boundaries of Val Verde |
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County. |
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SUBCHAPTER A-1. TEMPORARY PROVISIONS |
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Sec. 8872.021. APPOINTMENT OF TEMPORARY DIRECTORS; |
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VACANCIES; TERMS. (a) As soon as practicable after the effective |
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date of the Act enacting this chapter, seven temporary directors |
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shall be appointed as follows: |
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(1) three temporary directors shall be appointed by |
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the commissioners court; |
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(2) three temporary directors shall be appointed by |
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the city council of the city; and |
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(3) one temporary director shall be appointed jointly |
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by the county judge of Val Verde County and the mayor of the city. |
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(b) An individual appointed to serve as a temporary director |
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must be at least 18 years of age and be a registered voter of Val |
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Verde County. |
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(c) If there is a vacancy on the temporary board of |
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directors of the district, the remaining temporary directors shall |
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appoint a person to fill the vacancy in a manner that meets the |
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representational requirements of this section. |
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(d) Temporary directors serve until the earlier of: |
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(1) the date the temporary directors become initial |
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directors under Section 8872.024; or |
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(2) the date this chapter expires under Section |
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8872.003. |
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(e) Before the confirmation election under Section |
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8872.023, the presiding officer of the district or the presiding |
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officer's designee may represent the district in the joint planning |
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process under Section 36.108, Water Code, and shall be considered a |
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voting district representative. |
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Sec. 8872.022. ORGANIZATIONAL MEETING OF TEMPORARY |
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DIRECTORS. (a) As soon as practicable after all the temporary |
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directors have qualified under Section 36.055, Water Code, a |
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majority of the temporary directors shall convene the |
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organizational meeting of the district at a location within the |
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district agreeable to a majority of the directors. If an agreement |
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on location cannot be reached, the organizational meeting shall be |
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at the Val Verde County Courthouse. |
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(b) At the organizational meeting described by Subsection |
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(a), the temporary directors shall: |
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(1) elect a president as presiding officer, vice |
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president, secretary, and treasurer; |
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(2) schedule the confirmation election described by |
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Section 8872.023; and |
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(3) notify the applicable groundwater management area |
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of the district's creation, subject to confirmation under Section |
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8872.023. |
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Sec. 8872.023. CONFIRMATION ELECTION. (a) The temporary |
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board shall order an election to be held on the first available |
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uniform election date in November following January 1, 2016, to |
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confirm the creation of the district and authorize the collection |
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of taxes. |
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(b) The ballot for the election must be printed to permit |
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voting for or against the following proposition: "The creation of |
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the Val Verde County Groundwater Conservation District and the |
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imposition of an ad valorem tax in the district at a rate not to |
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exceed five cents for each $100 of assessed valuation." |
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(c) Except as provided by this section, a confirmation |
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election must be conducted as provided by Sections 36.017(b)-(i), |
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Water Code, and the Election Code. |
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(d) If the district's creation is not confirmed at an |
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election held under this section, the temporary directors may order |
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one or more subsequent elections to be held to confirm the creation |
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of the district not earlier than the first anniversary of the |
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preceding confirmation election. If the district's creation is not |
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confirmed at an election held under this section before September |
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1, 2020, the district is dissolved in accordance with Section |
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8872.003. |
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(e) The costs of an election held under this chapter shall |
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be paid by Val Verde County and the city. |
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Sec. 8872.024. INITIAL DIRECTORS. (a) If the creation of |
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the district is confirmed at an election held under Section |
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8872.023, the temporary directors become the initial directors and |
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serve until permanent directors are elected or appointed under |
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Section 8872.052. |
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(b) The initial directors of the board shall draw lots to |
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determine which three directors shall serve a term expiring |
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December 1 of the year two years after the date of the election in |
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which the district is confirmed and which four directors shall |
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serve a term expiring December 1 of the year four years after the |
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date of the election in which the district is confirmed. |
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(c) The initial directors shall provide notice to the |
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members of the groundwater management area in which the district is |
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located that the creation of the district is confirmed. |
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Sec. 8872.025. EXPIRATION OF SUBCHAPTER. This subchapter |
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expires September 1, 2021. |
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SUBCHAPTER B. BOARD OF DIRECTORS |
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Sec. 8872.051. COMPOSITION OF BOARD. The district is |
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governed by a board of seven directors. |
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Sec. 8872.052. TERMS; APPOINTMENT AND ELECTION OF |
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DIRECTORS; QUALIFICATIONS. (a) Directors serve staggered |
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four-year terms, with three or four terms expiring December 1 every |
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other year. Directors are elected or appointed as follows: |
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(1) one director is elected from each of the four |
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county commissioners precincts by the voters of the applicable |
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precinct to be designated as the director whose place number |
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matches the applicable precinct number; |
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(2) one director is elected by the voters of the |
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district at-large to be designated as the director for place number |
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five; and |
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(3) two directors who each own at least 1,000 acres of |
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land in the rural area are appointed by the county judge of Val |
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Verde County and the mayor of the city, respectively, to be |
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designated as the directors for place numbers six and seven. |
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(b) To be elected or appointed under this section, a person |
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must be at least 18 years of age and: |
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(1) a registered voter of Val Verde County; and |
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(2) if elected from a commissioners court precinct, a |
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resident of that precinct. |
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(c) An election to elect directors must be held on the |
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uniform election date in November of even-numbered years. |
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(d) A director may serve consecutive terms. |
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Sec. 8872.053. VACANCIES. (a) If there is a vacancy on the |
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board, a majority of the board shall appoint a person to fill the |
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vacancy for the remainder of the term of the vacant director place. |
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The person appointed to fill the vacancy must meet the |
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qualifications under Section 8872.052 for the vacant place. |
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(b) If the board has not filled a vacancy before the 90th day |
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after the date of the vacancy, the county judge of Val Verde County |
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and the mayor of the city shall jointly appoint a person that meets |
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the qualifications under Section 8872.052 for the vacant place to |
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serve as director for the remainder of the term being filled. |
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Sec. 8872.054. COMPENSATION. (a) A director is not |
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entitled to receive compensation for performing the duties of a |
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director. |
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(b) The board may authorize a director to receive |
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reimbursement for the director's reasonable and actual expenses |
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incurred while engaging in activities inside or outside the |
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district on behalf of the board. |
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Sec. 8872.055. ELECTION OF BOARD OFFICERS. (a) At the |
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first meeting of the board in each calendar year, the board shall |
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elect directors to serve as the president, vice president, |
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secretary, and treasurer. |
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(b) The president shall serve as the presiding officer of |
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the board. |
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(c) The treasurer shall serve as the financial officer of |
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the district. |
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SUBCHAPTER C. POWERS AND DUTIES |
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Sec. 8872.101. GENERAL POWERS. (a) Except as otherwise |
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provided by this chapter, the district has all of the rights, |
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powers, privileges, functions, and duties provided by the general |
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law of this state applicable to groundwater conservation districts |
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created under Section 59, Article XVI, Texas Constitution, |
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including Chapter 36, Water Code. |
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(b) Before confirmation of the district, the district's |
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powers are limited to: |
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(1) performance of the duties necessary to hold an |
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election to confirm the creation of the district; |
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(2) registration of existing wells that are not exempt |
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from the district requirement to obtain a permit under this chapter |
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or Chapter 36, Water Code; |
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(3) collection of annual groundwater production |
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reports from wells that are not exempt from the district |
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requirement to obtain a permit under this chapter or Chapter 36, |
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Water Code; and |
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(4) participation in joint planning with other |
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districts as provided by Section 8872.021(e). |
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(c) The district shall adopt rules and prescribe forms |
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necessary to implement Subsections (b)(2) and (3). |
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(d) Section 36.121, Water Code, does not apply to the |
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district. |
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Sec. 8872.102. NO EMINENT DOMAIN POWER. The district may |
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not exercise the power of eminent domain. |
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Sec. 8872.103. PERMITS: RULES. (a) The district shall |
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adopt rules to: |
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(1) require a person to obtain a permit from the |
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district to drill and produce groundwater from a well, including an |
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existing well, unless the well is exempt from permitting under this |
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chapter or Chapter 36, Water Code; |
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(2) regulate the terms of a transfer of groundwater |
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out of the district; |
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(3) regulate the spacing of wells drilled after |
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September 1, 2015, to prevent unreasonable adverse interference |
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with other wells; |
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(4) provide for the uniform and nondiscriminatory |
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reduction or curtailment of the production of groundwater by all |
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permit holders in the district, if necessary, to protect spring |
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flow and base flow and reduce aquifer drawdown based on scientific |
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data provided to the district; |
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(5) limit groundwater production: |
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(A) by the spacing of wells; |
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(B) by basing production on acreage or tract |
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size; or |
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(C) for a public water supplier, by basing |
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production on the service area of the supplier; and |
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(6) require the owner of a well that is not exempt from |
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the district requirement to obtain a permit under this chapter or |
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Chapter 36, Water Code, to report to the district in January of each |
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year the annual production of groundwater from the well based on |
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metered production. |
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(b) The terms of a permit that authorizes the production of |
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groundwater for transfer out of the district for beneficial use |
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must be consistent with applicable law, including Section 36.122, |
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Water Code, and may not be more restrictive than the terms of a |
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permit authorizing the production of groundwater for beneficial use |
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inside the district. |
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(c) The district may establish permit conditions and |
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limitations as provided by Section 36.122, Water Code. |
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Sec. 8872.104. PERMITS: LANDOWNERS GENERALLY. (a) The |
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district shall grant a permit that authorizes a person to drill one |
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or more wells not to exceed 12 inches in diameter on land owned or |
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controlled by the person through a lease or other legal right. |
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(b) Under this section, the district shall grant the |
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drilling permit holder a permit for the production of groundwater |
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not to exceed an actual production capacity of two acre-feet per |
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year for each contiguous acre of land associated with the well. |
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(c) The district shall issue a production permit described |
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by Subsection (b) for an existing well that has a diameter not |
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greater than 12 inches for the production of groundwater not to |
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exceed an actual production capacity of two acre-feet per year. |
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Sec. 8872.105. PERMITS: CITY. The district shall grant the |
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city permits in the city's name that authorize the city to pump from |
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all wells operated or controlled by the city a cumulative volume of |
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groundwater of 18,400 acre-feet per year. |
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Sec. 8872.106. PERMITS: RETAIL PUBLIC UTILITY. (a) The |
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district shall grant a permit to a retail public utility in the |
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district or to a political subdivision other than the city that is |
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providing water or sewer service on or before the effective date of |
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the Act enacting this chapter. The permit must authorize the |
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production of a cumulative volume of groundwater from the wells |
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owned by the entity in an amount equal to the amount of groundwater |
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required to meet the entity's current and projected needs as |
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determined under Section 13.250, Water Code. |
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(b) The permitted entity may not resell the groundwater |
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produced under the permit to any person for use or resale outside |
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the entity's service area, including the area covered by a |
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certificate of convenience and necessity, and must put the water to |
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beneficial use within the entity's service area. |
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Sec. 8872.107. PERMITS: AGRICULTURE. (a) A person is |
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entitled to apply for and receive a permit granted for agricultural |
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irrigation. The permit must authorize the production of |
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groundwater necessary for the irrigation of crops equal to three |
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acre-feet per year for each acre of land inside the district using |
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pivot, roller, echo drip, or bordered floor irrigation. |
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(b) A permit issued under this section is nontransferable |
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and expires on the date the well ceases to be used solely for |
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irrigation inside the district. |
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Sec. 8872.108. PERMITS: COMMERCE AND INDUSTRY. The |
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district shall grant a permit for the production of groundwater |
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from an existing well that is beneficially used for commercial or |
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industrial purposes outside the limits or the extraterritorial |
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jurisdiction of the city. The permit must authorize the production |
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of a cumulative volume of groundwater that is equal to the maximum |
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historic use as proven by the person seeking the permit. |
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Sec. 8872.109. WELL REGISTRATION. A permit issued under |
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this chapter authorizing the production of groundwater from the |
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aquifer must also authorize the drilling and operation of a well or |
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wells in the aquifer, and must require the permit holder to: |
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(1) register each well with the district; and |
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(2) file a copy of the well driller's log with the |
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district on completion of each well. |
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Sec. 8872.110. PROPERTY RIGHTS. (a) A permit issued by the |
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district for the drilling, operation, or production of a well is |
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appurtenant to the real property on which the well is located. |
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Ownership of the groundwater, or the right to use and produce the |
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groundwater authorized by the permit, may be sold, leased, |
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assigned, or otherwise transferred by the owner, provided that the |
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rights granted by the permit to drill a well and to produce |
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groundwater are exercised on the real property described in the |
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permit based on the actual production authorized by the permit. |
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(b) Except as provided by this chapter, groundwater |
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produced as authorized by a permit, once captured at the wellhead, |
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may be beneficially used for any lawful purpose at any location, |
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whether on or off the real property to which the permit is attached, |
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provided that any beneficial use outside the boundaries of the |
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district is authorized by a transport permit issued by the |
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district. |
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Sec. 8872.111. REDUCTION AND CURTAILMENT. (a) The board by |
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rule may provide for the reduction and curtailment of the |
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production of groundwater from a well permitted under this chapter |
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to protect spring flow and base flow and reduce drawdown in |
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accordance with Sections 8872.103(a)(4) and (5). |
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(b) To implement a reduction or curtailment, the district |
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may, to the extent not otherwise authorized by Section 36.101(a), |
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Water Code, limit groundwater production as provided by district |
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rules. |
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(c) Rules adopted by the board requiring a reduction or |
|
curtailment of the production of groundwater must be applied on a |
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proportional, uniform, and nondiscriminatory basis to all |
|
permitted production, unless the condition requiring reduction or |
|
curtailment is limited to a management zone created under Section |
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8872.112. |
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Sec. 8872.112. MANAGEMENT ZONES. (a) If the district |
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determines based on scientific data received by the district in a |
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meeting held for that purpose that conditions in or use of an |
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aquifer differ substantially between hydrogeological areas of the |
|
district, the district may establish management zones to better |
|
manage the groundwater resources and adopt different rules to |
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regulate production from the management zones based on acreage, |
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tract size, or the service area of a public water supplier. In |
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creating management zones, the district may consider: |
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(1) each aquifer, subdivision of an aquifer, or |
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geologic strata located wholly or partly within the district; or |
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(2) each geographic area overlying an aquifer or |
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subdivision of an aquifer located wholly or partly within the |
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district. |
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(b) The district must regulate the production of |
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groundwater in a management zone on a proportional, uniform, and |
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nondiscriminatory basis. |
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Sec. 8872.113. PERMIT RENEWAL. (a) Except as provided by |
|
Subsection (b), the district shall without a hearing renew or |
|
approve an application to renew an operating permit before the date |
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on which the permit expires, provided that: |
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(1) the application, if required by the district, is |
|
submitted in a timely manner and accompanied by any required fees in |
|
accordance with district rules; and |
|
(2) the permit holder is not requesting a change |
|
related to the renewal that would require a permit amendment under |
|
district rules. |
|
(b) The district is not required to renew a permit under |
|
this section if the applicant: |
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(1) is delinquent in paying a fee required by the |
|
district; |
|
(2) is subject to a pending enforcement action for a |
|
substantive violation of a district permit, order, or rule that has |
|
not been settled by agreement with the district or a final |
|
adjudication; or |
|
(3) has not paid a civil penalty or has otherwise |
|
failed to comply with an order resulting from a final adjudication |
|
of a violation of a district permit, order, or rule. |
|
(c) If the district is not required to renew a permit under |
|
Subsection (b)(2), the permit remains in effect until the final |
|
settlement or adjudication on the matter of the substantive |
|
violation. |
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Sec. 8872.114. LIMITATION ON WELL PERMIT REQUIREMENTS. (a) |
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The district may not require a person to install a meter or obtain a |
|
permit from the district for: |
|
(1) a well drilled after January 1, 2015, and used to |
|
produce groundwater solely inside the district for domestic use or |
|
for another exempt purpose on a tract of land not larger than 10 |
|
acres and that produces not more than 30,000 gallons of groundwater |
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a day, notwithstanding the production capability of the well; or |
|
(2) a well drilled after January 1, 2015, and used to |
|
produce groundwater solely inside the district for domestic use or |
|
for another exempt purpose on a tract of land larger than 10 acres |
|
and that produces not more than 72,000 gallons of groundwater a day, |
|
notwithstanding the production capability of the well. |
|
(b) An owner of a well described by this section shall |
|
register the well with the district. |
|
(c) The district may not require a permit or a permit |
|
amendment for the maintenance or repair of a well that is not exempt |
|
from permitting under this chapter or Chapter 36, Water Code, if the |
|
maintenance or repair does not make the well capable of producing an |
|
amount of groundwater that is greater than the production amounts |
|
provided by the well's permit. |
|
(d) Nothing in Subsection (a) prevents the applicability in |
|
the district of Section 36.113(a), Water Code. |
|
(e) The owner of an existing well is exempt from the |
|
district's production permit requirements provided that the |
|
groundwater produced is for domestic use. |
|
(f) The owner of a well is exempt from the district's permit |
|
requirements provided that any groundwater produced is for |
|
agricultural use. |
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Sec. 8872.115. PROHIBITION ON DISTRICT PURCHASE, SALE, |
|
TRANSPORT, OR DISTRIBUTION OF WATER. The district may not |
|
purchase, sell, transport, or distribute surface water or |
|
groundwater for any purpose. |
|
Sec. 8872.116. RIGHT TO ENTER LAND. Section 36.123, Water |
|
Code, which authorizes a district's employees or agents to go on and |
|
inspect the property of a landowner, applies to the district |
|
provided that: |
|
(1) access is subject to written notice to the |
|
landowner; and |
|
(2) the district's employees and agents are prohibited |
|
from carrying firearms on the landowner's property. |
|
Sec. 8872.117. WATER CONSERVATION INITIATIVE. The district |
|
may create a water conservation initiative as provided by Section |
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11.32, Tax Code. |
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Sec. 8872.118. REGIONAL GROUNDWATER PLANNING. (a) The |
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district shall obtain or develop groundwater models for use in |
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planning and management of the aquifer and to assist the district in |
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the district's role as a member of the groundwater management area |
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in which the district is located. |
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(b) The district, to the extent possible and through the |
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designated representative for the groundwater management area in |
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which the district is located, shall diligently pursue an increase |
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in the managed available groundwater and an improvement in the |
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desired future conditions for the aquifer as compared to those |
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indicators for the aquifer on January 1, 2015. |
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SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS |
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Sec. 8872.151. LIMITATION ON TAXES. The district may not |
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impose ad valorem taxes at a rate that exceeds five cents on each |
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$100 valuation of taxable property in the district. |
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Sec. 8872.152. APPLICABILITY OF CERTAIN TAX PROVISIONS. |
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(a) Sections 26.04, 26.05, 26.06, and 26.07, Tax Code, do not apply |
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to a tax imposed by the district. |
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(b) Section 49.236, Water Code, as added by Chapter 248 |
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(H.B. 1541), Acts of the 78th Legislature, Regular Session, 2003, |
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applies to the district. |
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Sec. 8872.153. FEES. (a) The board by rule may impose |
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uniform, reasonable, equitable, and nondiscriminatory annual |
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production fees on the amount of permitted water actually produced |
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from each well. |
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(b) A production fee must be consistent with Section 36.205, |
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Water Code, and may be based on: |
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(1) the size of column pipe used by the well; or |
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(2) the amount of water actually withdrawn from the |
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well, or the amount authorized or anticipated to be withdrawn. |
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(c) The district may assess a uniform and nondiscriminatory |
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export fee consistent with Section 36.122, Water Code, on |
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groundwater that is produced from a well inside the district and |
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transferred outside the district. |
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(d) The district may set fees by rule or resolution relating |
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to administrative acts of the district, including filing |
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applications, reviewing and processing permits, conducting permit |
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hearings, providing public notice, and paying costs of legal fees, |
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expert fees, and hearing facility rental fees. The district may not |
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assess a fee in an amount greater than $250 for processing permits. |
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SECTION 2. (a) The legal notice of the intention to |
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introduce this Act, setting forth the general substance of this |
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Act, has been published as provided by law, and the notice and a |
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copy of this Act have been furnished to all persons, agencies, |
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officials, or entities to which they are required to be furnished |
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under Section 59, Article XVI, Texas Constitution, and Chapter 313, |
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Government Code. |
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(b) The governor, one of the required recipients, has |
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submitted the notice and Act to the Texas Commission on |
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Environmental Quality. |
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(c) The Texas Commission on Environmental Quality has filed |
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its recommendations relating to this Act with the governor, the |
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lieutenant governor, and the speaker of the house of |
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representatives within the required time. |
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(d) All requirements of the constitution and laws of this |
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state and the rules and procedures of the legislature with respect |
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to the notice, introduction, and passage of this Act are fulfilled |
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and accomplished. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2015. |