HBA-AMW, LJP C.S.H.B. 1081 77(R) BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 1081 By: Cook Natural Resources 3/1/2001 Committee Report (Substituted) BACKGROUND AND PURPOSE Texas faces a difficult challenge in developing water policies that serve both state and regional interests. The Texas Constitution authorizes the creation of groundwater conservation districts to plan, develop, and regulate the use of water. C.S.H.B. 1081 creates the Colorado Valley Groundwater Conservation District, subject to approval at a confirmation election, to manage Fayette County's groundwater resources. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS C.S.H.B. 1081 amends law to create the Colorado Valley Groundwater Conservation District (district) (SECTION 1). To pay the maintenance and operating costs of the district and to pay any bonds or notes issued by the district, the bill authorizes the district to impose a stipulated ad valorem tax, subject to voter approval, assess fees, and solicit and accept grants (SECTION 12). The bill prohibits the district from issuing or selling bonds or notes payable from any source unless the action is approved by a majority of the voters of the district voting at an election called and held for that purpose (SECTION 13). The bill requires the district to perform certain duties and coordinate with adjacent districts to provide regional continuity in groundwater resource management (SECTION 6). C.S.H.B. 1081 provides that the district is governed by a board of five directors and sets forth provisions regarding the composition, operation, and administration of the board, the board's general powers, temporary directors, and the election, qualification, and terms of the directors (SECTIONS 5, 7, 8, 9, 10, and 11). The bill authorizes the board to change the district's name by resolution, and sets forth provisions regarding an election to confirm the establishment of the district and to elect initial directors (SECTION 10 and 14). EFFECTIVE DATE September 1, 2001. COMPARISON OF ORIGINAL TO SUBSTITUTE C.S.H.B. 1081 differs from the original bill by changing the name of the Fayette County Groundwater Conservation District to the Colorado Valley Groundwater Conservation District (SECTIONS 1 and 2). The substitute also adds the authorization for the temporary directors of the district to hold a subsequent election to confirm the establishment of the district if, at the initial election, a majority of the votes are cast against the creation of the district. The bill prohibits the subsequent election from being held earlier than the first anniversary of the date of the initial election (SECTION 10).