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A BILL TO BE ENTITLED
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AN ACT
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relating to the dissolution of certain special districts. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 49.321, Water Code, is amended to read as |
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follows: |
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Sec. 49.321. DISSOLUTION AUTHORITY. After notice and |
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hearing, the commission: |
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(1) may dissolve any district that is inactive for a |
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period of at least 5 but less than 10 [five] consecutive years and |
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has no outstanding bonded indebtedness; and |
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(2) shall dissolve any district that is inactive for a |
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period of at least 10 consecutive years and has no outstanding |
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bonded indebtedness. |
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SECTION 2. Section 49.324, Water Code, is amended to read as |
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follows: |
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Sec. 49.324. ORDER OF DISSOLUTION. The commission: |
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(1) may enter an order dissolving the district at the |
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conclusion of the hearing if it finds that the district has |
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performed none of the functions for which it was created for a |
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period of at least 5 but less than 10 [five] consecutive years |
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before the day of the proceeding and that the district has no |
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outstanding bonded indebtedness; and |
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(2) shall enter an order dissolving the district at |
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the conclusion of the hearing if it finds that the district has |
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performed none of the functions for which it was created for a |
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period of at least 10 consecutive years before the day of the |
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proceeding and that the district has no outstanding bonded |
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indebtedness. |
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SECTION 3. The Texas Commission on Environmental Quality |
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shall promptly institute proceedings in accordance with Subchapter |
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K, Chapter 49, Water Code, to dissolve each district, as defined by |
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Section 49.001 of that code, that as of the effective date of this |
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Act has been inactive for at least 10 consecutive years and that has |
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no outstanding bonded indebtedness and shall enter an order under |
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Section 49.324(2) of that code, as added by this Act, dissolving |
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each district described by that subdivision not later than the |
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180th day after the effective date of this Act. |
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SECTION 4. This Act takes effect September 1, 2025. |