Bill Text: TX HB4632 | 2019-2020 | 86th Legislature | Introduced


Bill Title: Relating to the Red River Authority, following recommendations of the Sunset Advisory Commission.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2019-04-16 - Recommendations filed with the Speaker [HB4632 Detail]

Download: Texas-2019-HB4632-Introduced.html
  86R3444 BRG-D
 
  By: Nevárez H.B. No. 4632
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the Red River Authority, following recommendations of
  the Sunset Advisory Commission.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1A(a), Chapter 279, Acts of the 56th
  Legislature, Regular Session, 1959, is amended to read as follows:
         (a)  The Authority is subject to review under Chapter 325,
  Government Code (Texas Sunset Act), but may not be abolished under
  that chapter. The review shall be conducted under Section 325.025,
  Government Code, as if the Authority were a state agency scheduled
  to be abolished September 1, 2031 [2019], and every 12th year after
  that year.
         SECTION 2.  Chapter 279, Acts of the 56th Legislature,
  Regular Session, 1959, is amended by adding Sections 4a and 4b to
  read as follows:
         Sec. 4a.  (a)  It is a ground for removal from the Board that
  a director:
               (1)  does not have at the time of taking office the
  qualifications required by Section 4 of this Act;
               (2)  does not maintain during service on the Board the
  qualifications required by Section 4 of this Act;
               (3)  is ineligible for directorship under Chapter 171,
  Local Government Code;
               (4)  cannot, because of illness or disability,
  discharge the director's duties for a substantial part of the
  director's term; or
               (5)  is absent from more than half of the regularly
  scheduled Board meetings that the director is eligible to attend
  during a calendar year without an excuse approved by a majority vote
  of the Board.
         (b)  The validity of an action of the Board is not affected by
  the fact that it is taken when a ground for removal of a director
  exists.
         (c)  If the general manager has knowledge that a potential
  ground for removal exists, the general manager shall notify the
  president of the Board of the potential ground.  The president shall
  then notify the Governor and the Attorney General that a potential
  ground for removal exists.  If the potential ground for removal
  involves the president, the general manager shall notify the next
  highest ranking director, who shall then notify the Governor and
  the Attorney General that a potential ground for removal exists.
         Sec. 4b.  (a)  A person who is appointed to and qualifies for
  office as a director may not vote, deliberate, or be counted as a
  director in attendance at a Board meeting until the person
  completes a training program that complies with this section.
         (b)  The training program must provide the person with
  information regarding:
               (1)  the law governing Authority operations;
               (2)  the programs, functions, rules, and budget of the
  Authority;
               (3)  the scope of and limitations on the rulemaking
  authority of the Authority;
               (4)  the results of the most recent formal audit of the
  Authority;
               (5)  the requirements of:
                     (A)  laws relating to open meetings, public
  information, administrative procedure, and disclosure of conflicts
  of interest; and
                     (B)  other laws applicable to members of the
  governing body of a river authority in performing their duties; and
               (6)  any applicable ethics policies adopted by the
  Authority or the Texas Ethics Commission.
         (c)  A person appointed to the Board is entitled to
  reimbursement for the travel expenses incurred in attending the
  training program regardless of whether the attendance at the
  program occurs before or after the person qualifies for office.
         (d)  The general manager shall create a training manual that
  includes the information required by Subsection (b) of this
  section.  The general manager shall distribute a copy of the
  training manual annually to each director.  Each director shall
  sign and submit to the general manager a statement acknowledging
  that the director has received the training manual.
         SECTION 3.  Sections 5, 7, 9, 10, and 11, Chapter 279, Acts
  of the 56th Legislature, Regular Session, 1959, are amended to read
  as follows:
         Sec. 5.  The directors of the Authority shall organize by
  electing one director [of their members president, one]
  vice-president, one secretary, and one treasurer.  Five (5)
  directors shall constitute a quorum at any meeting and a
  concurrence of a majority of those present shall be sufficient in
  all matters pertaining to the business of the district, except the
  letting of construction contracts and the authorization of issuance
  of warrants paying therefor, which shall require the concurrence of
  seven (7) directors.  Warrants for the payment of money may be drawn
  and signed by two (2) officers or employees designated by standing
  order entered in the minutes of the Authority when such accounts
  have been contracted and ordered paid by the Board of Directors.
         Sec. 7.  The Governor shall designate a director of the Board
  as the president of the Board to serve in that capacity at the
  pleasure of the Governor.  The president shall preside at all
  meetings of the Board and shall be the chief executive officer of
  the Authority.  The vice-president shall act as president in case of
  the absence or disability of the president.  The secretary shall act
  as secretary of the Board and shall be charged with the duty of
  keeping a record of all proceedings and all orders of the Board.  
  The treasurer shall receive and receipt for all moneys received and
  expended.  In case of the absence or inability of the secretary to
  act, a secretary pro tem shall be selected by the directors.
         Sec. 9.  A complete book of accounts shall be kept.  The
  account books and records of the Authority and of the depository of
  the Authority shall be audited by a Certified Public Accountant
  annually as soon as practicable after the end of the district's
  fiscal year, such audit to cover a fiscal year ending September 30
  of each year, and a report thereon shall be submitted to the first
  regular meeting of the Board of Directors thereafter.  A copy of the
  [Said] report shall be [in quadruplicate, one copy being] filed [in
  the office of the Authority, one with the depository of the
  Authority, one] in the office of the auditor.  The copy [and one
  with the Texas Department of Water Resources, all of which] shall be
  open to public inspection.
         Sec. 10.  (a)  Unless the Board by resolution increases the
  fee to an amount authorized by Section 49.060, Water Code, the [The]
  directors shall receive as fees of office the sum of not to exceed
  Twenty-Five ($25.00) Dollars per day for each day of service
  necessary to the discharge of their duties, in addition to all
  traveling expenses, provided the same is authorized by vote of the
  Board of Directors, they shall file with the secretary on the last
  day of each month, or as soon thereafter as practicable, a verified
  statement showing the actual amount due and warrants shall be
  issued therefor.
         (b)  In all areas of conflict with Subsection (a) of this
  section, Section 49.060, Water Code, takes precedence.
         Sec. 11.  The directors may employ a general manager for the
  Authority and may give him full authority in the management and
  operation of the Authority's affairs (subject only to the orders of
  the Board of Directors).  The term of office and compensation to be
  paid such manager and all employees shall be fixed by the Board of
  Directors and all employees may be removed by the Board.  A director
  may not be employed as general manager [and at such compensation as
  may be fixed by a majority of the other directors, and when so
  employed he shall continue to perform the duties of a director, but
  shall receive no compensation as such director].
         SECTION 4.  Chapter 279, Acts of the 56th Legislature,
  Regular Session, 1959, is amended by adding Section 11a to read as
  follows:
         Sec. 11a.  The Board shall develop and implement policies
  that clearly separate the policymaking responsibilities of the
  Board and the management responsibilities of the general manager
  and staff of the Authority.
         SECTION 5.  Section 14a, Chapter 279, Acts of the 56th
  Legislature, Regular Session, 1959, is amended to read as follows:
         Sec. 14a.  (1) In addition to other purposes heretofore
  authorized by law, the Authority shall have and is vested with all
  the powers of the state of Texas under Section 59, Article XVI,
  Constitution of the State of Texas, and shall likewise, have and is
  vested with all powers, rights, privileges, and functions conferred
  upon navigation districts by General Law.  The Authority is
  governed by and subject to Chapters 49, 60, and 62, Water Code, but
  in all areas of conflict, Chapter 62 takes precedence. The [Without
  limitation of the generality of the foregoing, the] Authority shall
  have and is hereby authorized to exercise the following powers,
  rights and privileges, and functions;
               (2)  to promote, construct, maintain and operate or aid
  and encourage, the construction, maintenance and operation of
  navigable canals or waterways and all navigational systems or
  facilities auxiliary thereto using the natural bed and banks of the
  Red River, where practicable and thence traversing such route as
  may be found by the Authority to be more feasible and practicable to
  connect Red River in Texas with any new navigation canals to be
  constructed in the lower reaches of Red River or to connect Red
  River with the intercoastal canal.  The Authority is empowered to
  construct or cause to be constructed a system of artificial
  waterways and canals, together with all locks and other works,
  structures and artificial facilities as may be necessary and
  convenient for the construction, maintenance and operation of
  navigation canals or waterways and all navigational systems and
  facilities auxiliary thereto;
               (3)  the right, power, and authority to acquire,
  purchase, improve, extend, take over, construct, maintain, repair,
  operate, develop and regulate ports, levees, wharves, docks, locks,
  warehouses, grain elevators, dumping facilities, belt railways,
  lands, and all other facilities or aids to navigation or aids
  necessary to the operation or development of ports, or waterways
  within the Red River Basin in Texas, provided, the powers conferred
  on the Authority under the provisions of this subdivision extend to
  a facility or aid authorized under this subdivision only if the
  facility or aid is situated in a county or counties included as part
  of said Authority;
               (4)  to acquire by gift or purchase any and all
  properties of any kind, including lighters, tugs, barges and other
  floating equipment of any nature, real, personal or mixed, or any
  interest therein within or outside of the boundaries of the
  Authority necessary to the exercise of the powers, rights,
  privileges and functions conferred upon it by this Act and by
  condemnation in the manner provided in Section 18 of the Act
  creating the Authority, provided that the Authority shall not be
  required to give bond for appeal or bond for costs in any judicial
  proceedings;
               (5)  to control, develop, store and use the natural
  flow and floodwaters of the Red River and its tributaries for the
  purpose of operating and maintaining said navigable canals or
  waterways and all navigational systems or facilities auxiliary
  thereto, provided, however, that such navigational use shall be
  subordinate to consumptive use of water, and navigation shall be
  incidental thereto;
               (6)  to effectuate the construction, maintenance and
  operation of bank stabilization facilities and[,] channel
  rectification or alignment in order[,] to prevent and aid in
  preventing devastation of lands from recurrent over-flows and the
  protection of life and property in the watershed of the Red River in
  Texas or any tributaries thereof within the Authority from
  uncontrolled flood waters; to store and conserve to the greatest
  beneficial use the storm, flood and unappropriated waters of the
  Red River in Texas or any tributaries thereof within the Authority,
  so as to prevent the escape of any water without maximum beneficial
  use either within or without the boundaries of the Authority;
               (7)  if [in the event] the construction or maintenance
  and operation of navigable canals or waterways and all navigational
  systems or facilities auxiliary thereto on the Red River in Texas is
  taken over or performed by the Federal Government or any agency of
  the Federal Government, then [and in such event] the Authority may:
                     (A)  [shall be fully authorized to make and] enter
  into [any such] contracts that [as] may be [lawfully] required by
  the Federal Government, including [such] assignments and transfers
  of property, [and rights of] property rights, [and] easements, and
  privileges; and
                     (B)  take any [and all] other action [lawful
  things and acts may be necessary and] required by [in order to meet
  the requirements of] the Federal Government or any agency of the
  Federal Government [in taking over the construction or maintenance
  and operation of said navigable canals or waterways and all
  navigational systems or facilities auxiliary thereto];
               (8)  the Authority shall have the power to acquire
  additional land adjacent to any permanent improvement heretofore or
  hereafter constructed within the Authority for the purpose of
  developing public parks and recreational facilities; the power to
  acquire necessary right-of-way for public ingress and egress to
  such areas.  The Authority may provide recreational facilities and
  services, and may enter into contracts and agreements with the
  Federal Government or any agency thereof; the Parks and Wildlife
  Department of the State of Texas, any county, municipality,
  municipal corporation, person, firm or nonprofit organization for
  the construction, operation and maintenance of such park or
  recreational facility.  It is legislative intent that the Authority
  will coordinate the development of any public parks and
  recreational facilities with the Parks and Wildlife Department for
  conformity with the land and water resources conservation and
  recreation plan. ['State Comprehensive Outdoor Recreation Plan.']  
  The Authority may perform all functions necessary to qualify for
  state or federal recreational grants and loans;
               (9)  in addition to other purposes heretofore
  authorized by law and as a necessary aid to the conservation,
  control, preservation, and distribution of such water for
  beneficial use, the Authority is authorized to purchase, construct,
  improve, repair, operate and maintain works and facilities
  necessary for the collection, transportation, treatment and
  disposal of sewage and industrial waste and effluent and to issue
  negotiable bonds for such purposes, and the Authority may make
  contracts with cities and others under which the Authority will
  collect, transport, treat and dispose of sewage from such cities or
  other entities.  The Authority may also make contracts with any city
  for the use of any collection, transportation, treatment or
  disposal facilities owned by such city or by the Authority;
               (10)  the bonds which may be issued under this Section,
  shall be payable from revenues under any contract or contracts
  described herein or from other income of the Authority. Such bonds
  shall be in the form and shall be issued in the manner prescribed by
  law for other revenue bonds and as provided in Sections 26, 27, 28
  and 29, Article 8280-228.
         SECTION 6.  Chapter 279, Acts of the 56th Legislature,
  Regular Session, 1959, is amended by adding Section 14e to read as
  follows:
         Sec. 14e.  (a) In this section, "system" means a system for
  the:
               (1)  provision of water to the public for human
  consumption; or
               (2)  collection and treatment of wastewater.
         (b)  The Authority shall adopt an asset management plan by:
               (1)  preparing an asset inventory that identifies the
  assets of each system and the condition of the assets;
               (2)  developing criteria to prioritize assets for
  repair or replacement, including:
                     (A)  the date by which the asset will need to be
  repaired or replaced;
                     (B)  the importance of the asset in providing safe
  drinking water and complying with regulatory standards;
                     (C)  the importance of the asset to the effective
  operation of the system; and
                     (D)  other criteria as determined by the
  Authority;
               (3)  estimating asset repair and replacement costs;
               (4)  identifying and evaluating potential financing
  options; and
               (5)  prioritizing systems that are not in compliance
  with federal or state regulatory standards, including water quality
  standards.
         (c)  The Authority shall review and revise the plan as
  necessary to account for regulatory changes and other developments.
         (d)  The Board shall approve the plan annually as part of its
  budgeting process.
         SECTION 7.  Sections 17 and 20, Chapter 279, Acts of the 56th
  Legislature, Regular Session, 1959, are amended to read as follows:
         Sec. 17.  (a) The Authority may seek and accept
  contributions to its funds from any source for [For] the purpose of
  funding:
               (1)  [providing funds requisite to secure the]
  necessary studies;
               (2)  [,] engineering and other services; and
               (3)  [which may be necessary,] the collection and
  computation of data respecting regional and general conditions that
  influence [influencing] the character and extent of the
  improvements necessary to effect the purposes of the [creation of
  this] Authority to the greatest public advantage[, it is hereby
  provided that the Authority may solicit, seek and accept
  contributions to its funds from any other district, authority or
  municipality, the Federal Government or the State of Texas, or from
  any other source].
         (b)  Any and all grants and gratuities shall be strictly
  accounted for and shall be subject to the same rules, regulations
  and orders as are other funds handled or disbursed by the Authority.
         Sec. 20.  The Authority shall establish and collect rates
  and other charges for the sale or use of water or for its services
  sold, furnished or supplied which fees and charges shall be
  reasonable and nondiscriminatory but sufficient to produce
  revenues adequate to pay the expenses of the Authority in carrying
  out its functions for which it is created and to fulfill the terms
  of any agreements made with the holders of any of its obligations.
  Provided, however, that the rates and charges for the sale or use of
  water shall be subject to review by the Public Utility Commission of
  Texas [State Board of Water Engineers], as provided by general law.
         SECTION 8.  Chapter 279, Acts of the 56th Legislature,
  Regular Session, 1959, is amended by adding Sections 20a and 20b to
  read as follows:
         Sec. 20a.  (a)  In this section and Section 20b, "affected
  person" has the meaning assigned by Section 13.002, Water Code.
         (b)  The Board shall establish a process to ensure that,
  before the Authority makes a significant change to a rate or charge
  for the sale and use of water, affected persons are provided:
               (1)  notice of proposed change; and
               (2)  an opportunity to provide to the Board comments
  regarding the proposed change.
         (c)  The process established under Subsection (b) must
  include:
               (1)  the provision of notice of a proposed change:
                     (A)  on the Authority's website; and
                     (B)  in an affected person's utility bills; and
               (2)  appropriate informational meetings or rate
  hearings that provide affected persons the opportunity to provide
  public comments about the proposed change to be held:
                     (A)  before sending a statement of intent required
  under Chapter 13, Water Code;
                     (B)  in locations as necessary to enable affected
  persons to attend; and
                     (C)  after the provision of notice under
  Subdivision (1) of this subsection.
         (d)  The Board by rule shall establish a percentage change in
  a rate or charge such that a change greater than or equal to that
  percentage is considered significant for purposes of Subsection (b)
  of this section.
         Sec. 20b.  (a)  The Authority shall notify affected persons
  of their right to appeal changes to rates:
               (1)  in any notices related to changes to rates;
               (2)  in utility bills sent before the deadline for
  initiating an appeal under Chapter 13, Water Code; and
               (3)  on the Authority's website.
         (b)  The notice required by Subsection (a) of this section
  must include descriptions of:
               (1)  the appeals process;
               (2)  the requirements for an appeal, including the
  number of signatures needed on a petition; and
               (3)  the methods available for obtaining additional
  information related to rates.
         SECTION 9.  Section 22, Chapter 279, Acts of the 56th
  Legislature, Regular Session, 1959, is amended to read as follows:
         Sec. 22.  The Authority may:
               (1)  [shall] make bylaws for the management and
  regulation of its affairs;
               (2)  [to adopt and] use a corporate seal;
               (3)  [to] appoint officers, attorneys, agents, and
  employees, [and to] prescribe their duties, and fix their
  compensation;
               (4)  [to] make [such] other contracts and execute
  instruments necessary or convenient to the exercise of the [its]
  powers, rights, privileges and functions conferred on the Authority
  [upon it] by this Act and the general laws of the state pertaining
  to water control and improvement districts;
               (5)  [to] borrow money for its corporate purposes [and
  without limitation of the generality of the foregoing]; and
               (6)  [to] borrow money and accept grants from the
  United States of America, [or] the State of Texas, or any other
  source, and in connection with any such loan or grant, [; to] enter
  into [such] agreements and assume [such] obligations as may be
  required.
         SECTION 10.  Chapter 279, Acts of the 56th Legislature,
  Regular Session, 1959, is amended by adding Sections 33, 34, 35, and
  36 to read as follows:
         Sec. 33.  (a)  The Board shall develop a policy to encourage
  the use of:
               (1)  negotiated rulemaking procedures under Chapter
  2008, Government Code, for the adoption of Authority rules; and
               (2)  appropriate alternative dispute resolution
  procedures under Chapter 2009, Government Code, to assist in the
  resolution of internal and external disputes under the Authority's
  jurisdiction.
         (b)  The Authority's procedures relating to alternative
  dispute resolution must conform, to the extent possible, to any
  model guidelines issued by the State Office of Administrative
  Hearings for the use of alternative dispute resolution by state
  agencies.
         (c)  The Authority shall:
               (1)  coordinate the implementation of the policy
  adopted under Subsection (a) of this section;
               (2)  provide training as needed to implement the
  procedures for negotiated rulemaking or alternative dispute
  resolution; and
               (3)  collect data concerning the effectiveness of those
  procedures.
         Sec. 34.  (a)  The Board shall develop and implement
  policies that provide the public with a reasonable opportunity to
  appear before the Board and to speak on any issue under the
  jurisdiction of the Authority.
         (b)  At each regular meeting of the Board, the Board shall
  include public testimony as a meeting agenda item and allow members
  of the public to comment on other agenda items and other matters
  under the jurisdiction of the Authority. The Board may not
  deliberate on or decide a matter not included in the meeting agenda,
  except that the Board may discuss including the matter on the agenda
  for a subsequent meeting.
         Sec. 35.  (a) The Authority shall maintain a system to
  promptly and efficiently act on complaints filed with the
  Authority.  The Authority shall maintain information about the
  parties to and subject matter of the complaint, a summary of the
  results of the review or investigation of the complaint, and the
  disposition of the complaint.
         (b)  The Authority shall make information available
  describing its procedures for complaint investigation and
  resolution.
         (c)  The Authority shall periodically notify the complaint
  parties of the status of the complaint until final disposition.
         Sec. 36.  (a) The state auditor shall conduct an audit of
  the Authority to evaluate whether the Authority has addressed the
  operational challenges identified in the report on the Authority by
  the Sunset Advisory Commission presented to the 86th Legislature.
         (b)  The state auditor may not begin the audit required by
  Subsection (a) of this section before December 1, 2021, and shall
  prepare and submit a report of the findings of the audit to the
  chairman and executive director of the Sunset Advisory Commission
  not later than December 1, 2022.
         (c)  The state auditor shall include the auditor's duties
  under this section in each audit plan under Section 321.013,
  Government Code, that governs the auditor's duties for the period
  specified by Subsection (b) of this section.
         (d)  This section expires January 1, 2023.
         SECTION 11.  Section 13, Chapter 279, Acts of the 56th
  Legislature, Regular Session, 1959, is repealed.
         SECTION 12.  (a) The term of the president of the board of
  directors of the Red River Authority serving on the effective date
  of this Act expires September 1, 2019. The director serving as
  president on the effective date of this Act may continue to serve on
  the board of directors until the expiration of that director's
  term.
         (b)  Not later than September 2, 2019, the governor shall
  designate a director as president of the board of directors of the
  Red River Authority as required by Section 7, Chapter 279, Acts of
  the 56th Legislature, Regular Session, 1959, as amended by this
  Act.
         SECTION 13.  (a) Notwithstanding Section 4b(a), Chapter 279,
  Acts of the 56th Legislature, Regular Session, 1959, as added by
  this Act, a person serving on the board of directors of the Red
  River Authority may vote, deliberate, and be counted as a director
  in attendance at a meeting of the board until December 1, 2019.
         (b)  This section expires January 1, 2020.
         SECTION 14.  (a)  The legal notice of the intention to
  introduce this Act, setting forth the general substance of this
  Act, has been published as provided by law, and the notice and a
  copy of this Act have been furnished to all persons, agencies,
  officials, or entities to which they are required to be furnished
  under Section 59, Article XVI, Texas Constitution, and Chapter 313,
  Government Code.
         (b)  The governor, one of the required recipients, has
  submitted the notice and Act to the Texas Commission on
  Environmental Quality.
         (c)  The Texas Commission on Environmental Quality has filed
  its recommendations relating to this Act with the governor, the
  lieutenant governor, and the speaker of the house of
  representatives within the required time.
         (d)  All requirements of the constitution and laws of this
  state and the rules and procedures of the legislature with respect
  to the notice, introduction, and passage of this Act are fulfilled
  and accomplished.
         SECTION 15.  This Act takes effect September 1, 2019.
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