reglab/statecodes huggingface dataset:
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 66 - Stormwater Control Districts › Subchapter F. Dissolution › Section 66.403. Distribution of Assets

Sec. 66.403.  DISTRIBUTION OF ASSETS.  (a)  If at the time a district is dissolved, the district has any surplus funds in any of its accounts, the board shall transfer those funds to the county that assumes jurisdiction over the facilities conveyed by the district, and the county receiving the funds shall use those funds to maintain the facilities conveyed.
(b)  If more than one county assumes jurisdiction over district facilities, the board shall transfer the funds to each county based on the proportion of the proceeds of all indebtedness incurred by the district to acquire the land and construct the facilities conveyed to that county.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1, 1985.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 66 - Stormwater Control Districts › Subchapter F. Dissolution › Section 66.404. Effect of Commission Order

Sec. 66.404.  EFFECT OF COMMISSION ORDER.  On the issuance of the order of dissolution by the commission, the dissolved district ceases to exist as a governmental entity, and the board shall continue in existence only for the purpose of transferring district funds and disposing of district assets.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1, 1985.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.001. Definitions

Sec. 67.001.  DEFINITIONS.  In this chapter:
(1)  "Board" means the board of directors of a corporation.
(2)  "Corporation" means a water supply or sewer service corporation operating under this chapter.
(3)  "Director" means a member of the board of directors.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.002. Purpose of Corporation

Sec. 67.002.  PURPOSE OF CORPORATION.  A corporation may be organized under this chapter to provide:
(1)  water supply, sewer service, or both for a municipality, a private corporation, an individual, or a military camp or base;  and
(2)  flood control and a drainage system for a political subdivision, private corporation, or another person.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.003. Creation of Corporation

Sec. 67.003.  CREATION OF CORPORATION.  (a)  Three or more individuals who are citizens of this state may form a corporation by making an application to the secretary of state in the same manner as provided by law for an application for a private corporation.
(b)  The application for charter must include the number of directors and the name of each director.
(c)  The name designated for the corporation must include the words "Water Supply Corporation."
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.004. Application of Texas Non-Profit Corporation Act

Sec. 67.004.  APPLICATION OF TEXAS NON-PROFIT CORPORATION ACT.  To the extent it does not conflict with this chapter, the Texas Non-Profit Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes) applies to a corporation created under:
(1)  this chapter;  or
(2)  Chapter 76, Acts of the 43rd Legislature, 1st Called Session, 1933 (Article 1434a, Vernon's Texas Civil Statutes).
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.005. Directors

Sec. 67.005.  DIRECTORS.  (a)  A corporation may not have more than 21 directors.
(b)  The corporation may increase the number of directors by amendment to the bylaws but may not exceed the limit imposed by Subsection (a).
(c)  The bylaws of the corporation may provide that directors serve staggered terms of approximately two or three years.
(d)  At the first annual meeting of the shareholders, the directors shall be divided into two or three classes according to the length of the terms the directors serve.  The classification of directors may not take effect before that meeting.
(e)  The division of the directors and the corresponding terms must be set so that:
(1)  one-half of the directors, as nearly as possible, are elected annually, if a two-year term is provided;  or
(2)  one-third of the directors, as nearly as possible, are elected annually, if a three-year term is provided.
(f)  After the implementation of two-year or three-year terms for directors, as directors' terms expire, the members shall elect their successors to serve until the second or third succeeding annual meeting after their election, as appropriate.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0051. Qualifications for Election or Appointment as Director

Sec. 67.0051.  QUALIFICATIONS FOR ELECTION OR APPOINTMENT AS DIRECTOR.  (a)  To be qualified for election or appointment as a director, a person must be:
(1)  18 years of age or older on the first day of the term to be filled at the election or on the date of appointment, as applicable; and
(2)  a member or shareholder of the corporation.
(b)  In addition to the qualifications prescribed by Subsection (a), a person is not qualified to serve as a director if the person:
(1)  has been determined by a final judgment of a court exercising probate jurisdiction to be:
(A)  totally mentally incapacitated; or
(B)  partially mentally incapacitated without the right to vote; or
(2)  has been finally convicted of a felony from which the person has not been pardoned or otherwise released from the resulting disabilities.
(c)  If the board determines that a person serving as a director does not have the qualifications prescribed by Subsections (a) and (b), the board shall, not later than the 60th day after the date the board makes that determination, remove the director and fill the vacancy by appointing a person who has the qualifications prescribed by those subsections.
Added by Acts 2011, 82nd Leg., R.S., Ch. 10 (S.B. 333), Sec. 1, eff. September 1, 2011.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0052. Ballot Application

Sec. 67.0052.  BALLOT APPLICATION.  (a)  To be listed on the ballot as a candidate for a director's position, a person must file an application with the corporation that includes:
(1)  the director's position sought, including any position number or other distinguishing number;
(2)  if the corporation has 1,500 or more members or shareholders, a petition signed by 20 members or shareholders requesting that the person's name be placed on the ballot as a candidate for that position;
(3)  the person's written consent to serve, if elected;
(4)  biographical information about the person; and
(5)  a statement of the person's qualifications, including a statement that the person has the qualifications prescribed by Section 67.0051.
(b)  The application must be filed with the corporation not later than the 45th day before the date of the annual meeting.  The corporation shall notify the members or shareholders of the application deadline not later than the 30th day before the  deadline.
(c)  The corporation shall make available director candidate application forms at the corporation's main office and shall provide application forms by mail or electronically on request.
(d)  This section applies only to a corporation that provides retail water or sewer service.
Added by Acts 2011, 82nd Leg., R.S., Ch. 10 (S.B. 333), Sec. 1, eff. September 1, 2011.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 1, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0053. Ballot

Sec. 67.0053.  BALLOT.  (a)  Not later than the 30th day before the date of an annual meeting, the corporation shall mail to each member or shareholder of record:
(1)  written notice of the meeting;
(2)  the election ballot; and
(3)  a statement of each candidate's qualifications, including biographical information as provided in each candidate's application.
(b)  The election ballot must include:
(1)  the number of directors to be elected; and
(2)  the names of the candidates for each position.
(c)  This section:
(1)  applies only to a corporation that provides retail water or sewer service; and
(2)  does not apply to an election in relation to a candidate for a director's position for which the board has adopted a resolution under Section 67.0055.
Added by Acts 2011, 82nd Leg., R.S., Ch. 10 (S.B. 333), Sec. 1, eff. September 1, 2011.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 2, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0054. Election Procedures

Sec. 67.0054.  ELECTION PROCEDURES.  (a)  A member or shareholder may vote:
(1)  in person at the annual meeting;
(2)  by mailing a completed ballot to the office of the independent election auditor selected under Section 67.007(d) or to the corporation's main office, which ballot must be received by the corporation not later than noon on the business day before the date of the annual meeting; or
(3)  by delivering a completed ballot to the office of the independent election auditor or to the corporation's main office not later than noon on the business day before the date of the annual meeting.
(b)  The independent election auditor shall receive and count the ballots before the annual meeting is adjourned.
(c)  For each director's position, the candidate who receives the highest number of votes or who is the subject of a resolution described by Section 67.0055 is elected.
(d)  If two or more candidates for the same position tie for the highest number of votes for that position, those candidates shall draw lots to determine who is elected.
(e)  The independent election auditor shall provide the board with a written report of the election results.
(f)  The board may adopt necessary rules or bylaws to implement this section, including rules or bylaws to ensure the fairness, integrity, and openness of the voting process.
(g)  This section applies only to a corporation that provides retail water or sewer service.
Added by Acts 2011, 82nd Leg., R.S., Ch. 10 (S.B. 333), Sec. 1, eff. September 1, 2011.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 3, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0055. Election of Unopposed Candidate

Sec. 67.0055.  ELECTION OF UNOPPOSED CANDIDATE.  (a)  This section applies only to an election for a director's position on a board of a corporation that provides retail water or sewer service in which a candidate who is to appear on the ballot for the position is unopposed.
(b)  The board by resolution may declare a candidate elected to a director's position if the board certifies in writing that the candidate is unopposed for the position.  A copy of the resolution shall be posted at the corporation's main office.
(c)  If a declaration is made under Subsection (b), the election for that position is not held.
(d)  If the election for the unopposed candidate would have been held with an annual meeting of the members or shareholders of the corporation, the text of the declaration described by Subsection (b) shall be read into the record at the annual meeting.
(e)  The ballots used at a separate election that is held at the same time as an election for an unopposed candidate would have been held shall include after measures or contested races the position and name of a candidate declared elected under this section, under the heading "Unopposed Candidates Declared Elected."
(f)  A person may not, by intimidation or by means of coercion, influence or attempt to influence a person to withdraw as a candidate or not to file an application for a place on the ballot so that an election may be canceled.
(g)  The board may adopt necessary rules or bylaws to implement this section, including rules or bylaws to ensure the fairness, integrity, and openness of the process.
Added by Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 4, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.006. Officers

Sec. 67.006.  OFFICERS.  (a)  The board shall elect a president, a vice president, and a secretary-treasurer following the issuance of a charter and after each annual meeting of the membership or shareholders.  At the meeting, each member or stockholder may be allowed only one vote regardless of the number of memberships or stock certificates held by the person.
(b)  The board may require a bond of an officer for faithful performance of the officer's duties.
(c)  The salary of an officer of the corporation other than secretary-treasurer or a manager employed under Section 67.012 may not exceed $5,000 a year.  The board shall set the secretary-treasurer's salary at an amount commensurate with the secretary-treasurer's duties.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 62, Sec. 18.18(a), eff. Sept. 1, 1999.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.007. Annual or Special Meeting of Retail Corporation

Sec. 67.007.  ANNUAL OR SPECIAL MEETING OF RETAIL CORPORATION.  (a)  The annual meeting of the members or shareholders of the corporation must be held between January 1 and May 1 at a time specified by the bylaws or the board.
(a-1)  A quorum for the transaction of business at a meeting of the members or shareholders is a majority of the members and shareholders present.  In determining whether a quorum is present, all members and shareholders who mailed or delivered ballots to the independent election auditor or the corporation on a matter submitted to a vote at the meeting are counted as present.
(b)  The board shall adopt written procedures for conducting an annual or special meeting of the members or shareholders in accordance with this section and Sections 67.0052, 67.0053, and 67.0054.  The procedures shall include the following:
(1)  notification to eligible members or shareholders of the proposed agenda, location, and date of the meeting;
(2)  director election procedures, including candidate application procedures;
(3)  approval of the ballot form to be used; and
(4)  validation of eligible voters, ballots, and election results.
(c)  The board shall adopt an official ballot form to be used in conducting the business of the corporation at any annual or special meeting.  No other ballot form will be valid.  Ballots from members or shareholders are confidential and are exempted from disclosure by the corporation until after the date of the relevant election.
(d)  The board shall select an independent election auditor not later than the 30th day before the scheduled date of the annual meeting.  The independent election auditor is not required to be an experienced election judge or auditor and may serve as an unpaid volunteer.  At the time of selection and while serving in the capacity of an independent election auditor, the independent election auditor may not be associated with the corporation as:
(1)  an employee;
(2)  a director or candidate for director; or
(3)  an independent contractor engaged by the corporation as part of the corporation's regular course of business.
(e)  This section applies only to a corporation that provides retail water or sewer service.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 54, Sec. 1, eff. May 10, 1999.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 10 (S.B. 333), Sec. 2, eff. September 1, 2011.
Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 5, eff. May 18, 2013.
Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 6, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0075. Annual or Special Meeting of Other Corporation

Sec. 67.0075.  ANNUAL OR SPECIAL MEETING OF OTHER CORPORATION.  A corporation to which Section 67.007 does not apply shall comply with the annual meeting and director election provisions prescribed by Chapter 22, Business Organizations Code.
Added by Acts 2013, 83rd Leg., R.S., Ch. 84 (S.B. 447), Sec. 7, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.008. Distribution of Profits

Sec. 67.008.  DISTRIBUTION OF PROFITS.  (a)  The incorporators may provide in the charter of the corporation that a dividend will not be paid on the stock and that all profits of the corporation will be paid annually to political subdivisions, private corporations, or other persons that have transacted business with the corporation during the previous year.
(b)  The corporation shall distribute any profits under Subsection (a) in direct proportion to the amount of business the corporation transacts with each entity during that year.
(c)  The corporation may not make a distribution under Subsection (a) if the corporation has unpaid indebtedness.
(d)  A corporation may allocate to a sinking fund an amount of the annual profits as determined necessary by the board for maintenance, operation, and replacements.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.009. Facilities

Sec. 67.009.  FACILITIES.  A corporation may construct, acquire, lease, improve, extend, or maintain a facility, plant, equipment, or appliance helpful or necessary to provide more adequate sewer service, flood control, or drainage for a political subdivision.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.010. Power to Contract With Other Entities

Sec. 67.010.  POWER TO CONTRACT WITH OTHER ENTITIES.  (a)  A corporation may enter into a contract with any political subdivision, federal agency, or other entity for the acquisition, construction, or maintenance of a project or improvement for an authorized purpose.
(b)  A corporation may obtain money from any political subdivision of this state, federal agency, or other entity to finance the acquisition or construction of a project or improvement for an authorized purpose.
(c)  A corporation may encumber the project or improvement and may encumber any income, fees, rents, and other charges derived from the operation of the project or improvement.  The corporation may issue bonds, notes, or warrants to secure payment of funds received.  Indebtedness authorized by this subsection is a charge only on specifically encumbered property and revenues and is not a general obligation of indebtedness of the corporation.
(d)  A political subdivision may contract with a corporation under Section 552.014, Local Government Code, to carry out this chapter.  If a corporation issues bonds secured by a contract entered into under Section 552.014, Local Government Code, the corporation is considered to be acting for or on behalf of that political subdivision for the purposes of Section 1201.002(1), Government Code.  A political subdivision is authorized to approve by ordinance, resolution, or order the articles of incorporation and the bylaws of a corporation that is created for the purpose of constructing facilities under a contract as provided by Section 552.014, Local Government Code.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.  Amended by Acts 2003, 78th Leg., ch. 248, Sec. 56, eff. June 18, 2003.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.77(32), eff. April 1, 2009.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.0105. Water for Fire Suppression

Sec. 67.0105.  WATER FOR FIRE SUPPRESSION.  (a)  A corporation may provide a water supply to a governmental entity or volunteer fire department for use in fire suppression.
(a-1)  A corporation may enter into a contract with a governmental entity or a volunteer fire department to supply water to fire hydrants owned by the governmental entity or the corporation for use in fire suppression by the governmental entity's fire department or a volunteer fire department.  The contract must be under terms that are mutually beneficial to the contracting parties.
(b)  The furnishing of a water supply and fire hydrant equipment by a governmental entity or a volunteer fire department directly or through another entity by a lease, contract, or any other manner is an essential governmental function and not a proprietary function for all purposes, including the application of Chapter 101, Civil Practice and Remedies Code.
(c)  A corporation that provides a governmental entity or volunteer fire department with a water supply or fire hydrant equipment to carry out the governmental function described by Subsection (b) may be liable for damages only to the extent that the governmental entity or volunteer fire department would be liable if the governmental entity or volunteer fire department were performing the governmental function directly.
Added by Acts 1999, 76th Leg., ch. 62, Sec. 18.19(a), eff. Sept. 1, 1999.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 290 (H.B. 1814), Sec. 1, eff. September 1, 2011.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.011. Additional Powers of Corporation

Text of section as amended by Acts 2003, 78th Leg., ch. 46, Sec. 1
Sec. 67.011.  ADDITIONAL POWERS OF CORPORATION.  In addition to other powers granted by this chapter, a corporation may:
(1)  own, hold, lease, or otherwise acquire water wells, springs, or other sources of water supply;
(2)  build, operate, and maintain pipelines to transport water or wastewater;
(3)  build and operate plants and equipment necessary to distribute water or to treat and dispose of wastewater;  and
(4)  sell water or provide wastewater services to a political subdivision, a private corporation, or an individual.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.  Amended by Acts 2001, 77th Leg., ch. 669, Sec. 151, eff. Sept. 1, 2001;  Acts 2003, 78th Leg., ch. 46, Sec. 1, eff. May 15, 2003.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.011. Powers of Corporation in Certain Counties

Text of section as amended by Acts 2003, 78th Leg., ch. 512, Sec. 1
Sec. 67.011.  POWERS OF CORPORATION IN CERTAIN COUNTIES.  (a)  In a county with a population of less than 3.3 million, a corporation may:
(1)  own, hold, lease, or otherwise acquire water wells, springs, or other sources of water supply;
(2)  build, operate, and maintain pipelines to transport water or wastewater;
(3)  build and operate plants and equipment necessary to distribute water or to treat and dispose of wastewater;
(4)  sell water or provide wastewater services to a political subdivision, a private corporation, or an individual;  and
(5)  establish and enforce reasonable customer water conservation practices and prohibit excessive or wasteful uses of potable water.
(b)  A corporation may enforce customer water conservation practices under Subsection (a)(5) by assessing reasonable penalties as provided in the corporation's tariff.  A penalty may be appealed in the same manner as provided for appeal of new customer service costs under Section 13.043(g).  In an appeal, the commission shall approve a corporation's penalty if the commission determines that the penalty is clearly stated in the tariff, that the penalty is reasonable, and that the corporation has deposited the penalty in a separate account dedicated to enhancing water supply for the benefit of all the corporation's customers.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.  Amended by Acts 2001, 77th Leg., ch. 669, Sec. 151, eff. Sept. 1, 2001;  Acts 2003, 78th Leg., ch. 512, Sec. 1, eff. June 20, 2003.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.012. Use of Manager

Sec. 67.012.  USE OF MANAGER.  The board may employ a manager to handle the business of the corporation under the direction of the board.  The board shall set the salary for the manager.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.013. Use of Counsel

Sec. 67.013.  USE OF COUNSEL.  The board may employ and compensate counsel to represent the corporation as the board determines is necessary.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.014. Depository for Funds; Permitted Investments

Sec. 67.014.  DEPOSITORY FOR FUNDS;  PERMITTED INVESTMENTS.  (a)  The board shall select as depository for the funds of the corporation a bank in this state that is insured by the Federal Deposit Insurance Corporation and require from the depository a bond in an amount the board finds necessary to protect the corporation.
(b)  Funds allocated by the board to a sinking fund for replacement, amortization of debts, and the payment of interest that are not required to be spent in the year in which deposited shall be:
(1)  invested in bonds or other evidence of indebtedness of the United States;
(2)  placed with the depository in an interest-bearing savings account;
(3)  invested in shares or share accounts in a savings and loan association insured by the Federal Deposit Insurance Corporation;  or
(4)  invested in an investment that is authorized under Subchapter A, Chapter 2256, Government Code, and by a written investment policy approved by the board that complies with Section 2256.005, Government Code.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.  Amended by Acts 1999, 76th Leg., ch. 258, Sec. 1, 2, eff. May 28, 1999.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.015. Exemption From Securities Act

Sec. 67.015.  EXEMPTION FROM SECURITIES ACT.  The Securities Act (Title 12, Government Code) does not apply to:
(1)  a note, bond, or other evidence of indebtedness issued by a corporation doing business in this state to the United States;
(2)  an instrument executed to secure a debt of a corporation to the United States; or
(3)  the issuance of a membership certificate or stock certificate of a corporation.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 2.44, eff. January 1, 2022.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 67 - Nonprofit Water Supply or Sewer Service Corporations › Subchapter A. General Provisions › Section 67.017. Voluntary Contributions on Behalf of Emergency Services

Sec. 67.017.  VOLUNTARY CONTRIBUTIONS ON BEHALF OF EMERGENCY SERVICES.  (a)  A corporation may as part of its billing process collect from its customers a voluntary contribution, including a voluntary membership or subscription fee, on behalf of a volunteer fire department or an emergency medical service.
(b)  A corporation that collects contributions under this section shall provide each customer at the time that the customer first subscribes to the water or sewer service, and at least annually thereafter, a written statement:
(1)  describing the procedure by which the customer may make a contribution with the customer's bill payment;
(2)  designating the volunteer fire department or emergency medical service to which the corporation will deliver the contribution;
(3)  informing the customer that a contribution is voluntary;  and
(4)  describing the deductibility status of the contribution under federal income tax law.
(c)  A billing by the corporation that includes a voluntary contribution under this section must clearly state that the contribution is voluntary and that it may be deducted from the billed amount.
(d)  The corporation shall promptly deliver contributions that it collects under this section to the designated volunteer fire department or emergency medical service, except that the corporation may keep from the contributions an amount equal to the lesser of:
(1)  the corporation's expenses in administering the contribution program;  or
(2)  five percent of the amount collected as contributions.
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter A. General Provisions › Section 68.001. Definitions

Sec. 68.001.  DEFINITIONS.  In this chapter:
(1)  "Board" means a district's board of directors.
(2)  "District" means a ship channel security district created under this chapter.
(3)  "Security project" means a project promoting or aiding security in a district.
(4)  "Security service" means a service promoting or aiding security in a district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter A. General Provisions › Section 68.002. Nature of District; Purpose

Sec. 68.002.  NATURE OF DISTRICT; PURPOSE.  A district is a special district and political subdivision of this state.  A district is created under Section 59, Article XVI, Texas Constitution, and is essential to accomplish the purposes of that section and Sections 52 and 52-a, Article III, Texas Constitution.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter A. General Provisions › Section 68.003. Public Purpose of Security Projects

Sec. 68.003.  PUBLIC PURPOSE OF SECURITY PROJECTS.  A security project is owned, used, and held for public purposes by the district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter A. General Provisions › Section 68.004. Liberal Construction of Chapter

Sec. 68.004.  LIBERAL CONSTRUCTION OF CHAPTER.  This chapter shall be liberally construed in conformity with the findings and purposes stated in this chapter.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter A. General Provisions › Section 68.005. General Water District Law Not Applicable

Sec. 68.005.  GENERAL WATER DISTRICT LAW NOT APPLICABLE.  Chapter 49 does not apply to a district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter B. Facilities › Section 68.052. Designees for Facility Owners

Sec. 68.052.  DESIGNEES FOR FACILITY OWNERS.  A facility's owner may designate a person:
(1)  to act for the owner in connection with a district; and
(2)  to bind the owner under this chapter.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter B. Facilities › Section 68.053. Use of Certain Department of Transportation Property for Ship Channel Security

Sec. 68.053.  USE OF CERTAIN DEPARTMENT OF TRANSPORTATION PROPERTY FOR SHIP CHANNEL SECURITY.  (a)  In this section, "department" means the Texas Department of Transportation.
(b)  Use of the department's facilities or property to serve a project aiding security in a ship channel security district created under this chapter serves a transportation purpose.  A ship channel security district or a county whose commissioners court has created a ship channel security district may enter into an agreement with the department to provide for use of the department's facilities or property to aid security in the district.
(c)  A county that has entered into an agreement with the department for use of the department's fiber optic network for transportation purposes may use the fiber optic network to serve a project aiding security in a ship channel security district created under this chapter in the same manner as other transportation purposes unless the agreement precludes the use of the fiber optic network for that purpose.
Added by Acts 2009, 81st Leg., R.S., Ch. 4 (H.B. 1871), Sec. 1, eff. April 29, 2009.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.101. District Creation by Certain Populous Counties With Ship Channels

Sec. 68.101.  DISTRICT CREATION BY CERTAIN POPULOUS COUNTIES WITH SHIP CHANNELS.  A district may be created only by the commissioners court of a county with a population of 3.3 million or more that has a ship channel in the county.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.102. Petition for Creation

Sec. 68.102.  PETITION FOR CREATION.  A district may be created only if the commissioners court of the county in which the district is proposed to be created receives a petition requesting the district's creation.  The petition must be signed by:
(1)  the owners of a majority of facilities in the proposed district; and
(2)  the owners of a majority of the assessed value of facilities in the proposed district according to the most recent certified property tax rolls of the county.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.103. Contents of Petition; District Territory

Sec. 68.103.  CONTENTS OF PETITION; DISTRICT TERRITORY.  The petition must:
(1)  propose a name for the district, which must:
(A)  generally describe the location of the district; and
(B)  be of the form "_______ Ship Channel Security District";
(2)  state the general nature of the security projects and security services to be provided by the district; and
(3)  describe the proposed district territory and the boundaries of four or five security zones inside the proposed district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.104. Notice of Hearing; Contents of Notice

Sec. 68.104.  NOTICE OF HEARING; CONTENTS OF NOTICE.  (a)  The commissioners court of the county in which a district is proposed to be created shall set a date, time, and place for a hearing to consider the petition received by the commissioners court.
(b)  The commissioners court shall issue public notice of the hearing.  The notice must state:
(1)  the date, time, and place of the hearing; and
(2)  that any person may appear, present evidence, and testify for or against the creation of the proposed district.
(c)  The commissioners court shall publish the notice in a newspaper of general circulation in the county at least one time at least 30 days before the hearing date.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.105. Hearing

Sec. 68.105.  HEARING.  At the hearing, any interested person may appear in person or by attorney, present evidence, and offer testimony for or against the creation of the proposed district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.106. Findings of Benefit and Public Purpose

Sec. 68.106.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.  After the hearing, the commissioners court shall consider whether to create the proposed district.  The commissioners court must make the following findings before approving a petition requesting creation of a district:
(1)  the district will serve a public use and benefit;
(2)  facilities in the district will benefit from the security projects and security services proposed to be provided by the district;
(3)  the creation of the district is in the public interest and useful for the protection of facilities in the district against the threat posed by terrorism; and
(4)  the creation of the district is necessary to accomplish the purposes of Sections 52 and 52-a, Article III, and Section 59, Article XVI, Texas Constitution, and other public purposes stated in this chapter.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter C. Creation › Section 68.107. Order Creating District; Changes

Sec. 68.107.  ORDER CREATING DISTRICT; CHANGES.  (a)  If the commissioners court makes the findings under Section 68.106, the commissioners court by order may create the proposed district.
(b)  The commissioners court may include in the order any changes or modifications to the proposed district as the court determines are appropriate to reflect the intent of the petition requesting creation of the district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.151. Governing Body; Composition

Sec. 68.151.  GOVERNING BODY; COMPOSITION.  A district is governed by a board of at least 10 but not more than 13 directors, appointed or serving as follows:
(1)  two directors for each security zone appointed by the commissioners court of the county and nominated as provided by Section 68.152;
(2)  one director appointed for the district at large by the commissioners court of the county under Section 68.153;
(3)  one director appointed under Section 68.154; and
(4)  any director serving under Section 68.155.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.152. Security Zone Directors

Sec. 68.152.  SECURITY ZONE DIRECTORS.  (a)  The commissioners court of the county shall appoint as directors for each security zone the one or two nominees as appropriate for the staggering of terms who received the highest number of votes in a vote by the facility owners in each security zone.  Each person nominated as a director must be employed by a facility owner at a facility in the zone.
(b)  After reviewing the list of persons nominated to be directors, the commissioners court shall approve or disapprove the nominations for each security zone.
(c)  If the commissioners court is not satisfied with the list provided for a security zone, the facility owners in the security zone shall provide to the court a new list under Subsection (a).
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 99 (S.B. 1104), Sec. 2, eff. May 20, 2011.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.153. At-Large Director

Sec. 68.153.  AT-LARGE DIRECTOR.  The director appointed by the commissioners court for the district at large may be:
(1)  a person employed by a member of an association that includes steamship owners, operators, and agents and stevedoring and  terminal companies and that:
(A)  is a Texas nonprofit corporation; and
(B)  leases space in the district; or
(2)  any other person considered appropriate by the commissioners court.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.154. Municipal Director

Sec. 68.154.  MUNICIPAL DIRECTOR.  (a)  If there is a countywide association of mayors and city councils of municipalities in a county that creates a district, the association shall appoint one director.
(b)  If there is not an association described by Subsection (a), the municipalities in the district shall appoint a director.  If there is more than one municipality in the district, the governing body of each municipality by resolution may vote in favor of a nominated person and a person who receives the votes of a majority of governing bodies is appointed director.
(c)  The director appointed under this section must reside in a municipality adjacent to the largest ship channel in the district.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.155. Port Authority; Ex Officio Director

Sec. 68.155.  PORT AUTHORITY; EX OFFICIO DIRECTOR.  (a)  In this section, "port authority" means a navigation district located wholly or partly in the security district, and created or operating under Section 52, Article III, or Section 59, Article XVI, Texas Constitution.
(b)  If a port authority is located in the district, the executive director, or a person designated by the executive director, serves as a director.  If more than one port authority is located in the district, the executive director, or a person designated by the executive director, of the port authority with the largest territory inside the district serves as a director.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.156. Terms; Initial Directors

Sec. 68.156.  TERMS; INITIAL DIRECTORS.  (a)  Except as provided by Subsection (b), directors serve staggered two-year terms.
(b)  The initial directors shall stagger their terms, with a majority of the directors serving two years, and a minority of directors serving one year.  If the initial board has an even number of directors, the terms are staggered equally.  If the initial directors cannot agree on the staggering, the directors shall draw lots to determine the directors who serve one-year terms.
(c)  When a director's term expires, the successor director is appointed in the manner provided by this subchapter for that director position.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 99 (S.B. 1104), Sec. 3, eff. May 20, 2011.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.157. Vacancy

Sec. 68.157.  VACANCY.  A vacancy in the board is filled by the remaining directors by appointing a person who meets the qualifications for the position, who shall serve for the unexpired term.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.158. Quorum

Sec. 68.158.  QUORUM.  For purposes of determining whether a quorum of the board is present, a vacant board position is not counted.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.159. Officers

Sec. 68.159.  OFFICERS.  The board shall elect from its directors a presiding officer, a secretary, and any other officers the board considers necessary or appropriate.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 68 - Ship Channel Security Districts › Subchapter D. Board of Directors › Section 68.160. Compensation

Sec. 68.160.  COMPENSATION.  A director is not entitled to compensation for service on the board, but is entitled to reimbursement for necessary and reasonable expenses incurred in carrying out the duties of a director.
Added by Acts 2007, 80th Leg., R.S., Ch. 913 (H.B. 3011), Sec. 1, eff. June 15, 2007.