HBA-LJP H.B. 3625 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 3625 By: Green Natural Resources 3/26/2001 Introduced BACKGROUND AND PURPOSE Texas faces a difficult challenge to develop 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. House Bill 3625 ratifies the creation of the Hays Trinity Groundwater Conservation District, subject to voter approval at a confirmation election. 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 House Bill 3625 ratifies the creation of the Hays Trinity Groundwater Conservation District (district), subject to voter approval at a confirmation election to be held no later than the second Saturday in May 2002. The bill provides that the district is governed by a board of five directors and sets forth provisions regarding the appointment, qualifications, residency, and terms of the directors. The bill sets forth provisions regarding an election to confirm the establishment of the district. The bill authorizes the district to limit or prohibit the transfer of groundwater out of the district. The bill prohibits the district from entering property to inspect an exempt well without the property owner's permission or adopting standards for the construction of a residential well that are more stringent than state standards for a residential well. The bill also authorizes the Hays County Commissioners Court (court) by resolution to require an election to affirm or reverse a decision by the board of directors not later than six months after the date of the decision. The bill provides that a well used for domestic purposes by a single private residential household and producing less than 25,000 gallons per day and a well used for conventional farming and ranching activities, excluding such intensive operations as aquaculture, livestock feedlots, or poultry operations is exempt from requirements relating to groundwater conservation districts. The bill prohibits the district from requiring a permit to construct exempt wells. The bill authorizes the court to request a general audit of the performance of the district or an audit of only one or more district matters and requires the county auditor to audit the performance of the district at the written request of the court. Except for water utilities that have surface water as the sole source of water, the bill authorizes the district to levy and collect a water utility service connection fee not to exceed $300 for each new water service connection made. The bill authorizes the district to require a permit for the construction of each new well and to charge and collect a construction permit fee not to exceed $300. The bill provides that if the creation of the district is not confirmed at the election, this Act expires September 1, 2003. EFFECTIVE DATE September 1, 2001.