CHAPTER 1. USE OF STATE WATER
AUXILIARY WATER LAWS
CHAPTER 1. USE OF STATE WATER
Art. 7621f. SALE OR DISPOSAL OF SALT WATER FOR POLLUTION CONTROL.
Contracts for pollution control; terms
Section 1. Any water power control district heretofore organized
or hereafter organized is authorized to enter into contracts with
any person, firm or corporation or one or more of either, for the
sale or disposal of salt water. Provided, no such contract shall
be entered into unless it is determined by the Board of Directors
of such District that such contract is needed for the purpose of
pollution control and unless any such contract in the opinion of
such Board of Directors is reasonably calculated to achieve such
purpose. If it is determined by the Board of Directors of any
such District that in order to effect the sale or disposal of
salt water that it is necessary to guarantee a constant flow of
water under any such contract, then fresh water may be included,
but only to the extent it is necessary in order to achieve
pollution control through disposing of salt water. Such contracts
may be for a period of time and on such terms as may be deemed
necessary by any such Board of Directors.
Revenue bonds; purposes; sale; form, conditions and details
Sec. 2. Any water power control district is authorized to issue
revenue bonds, without an election, for the purpose of the
construction and acquisition of pipe lines, pumps and all
facilities necessary for the sale or disposal of salt water for
pollution control. Any such bonds shall be authorized by such
Board of Directors, from time to time, and in such amounts as it
shall consider necessary. All such bonds shall be fully
negotiable and may be made redeemable before maturity, at the
option of the Board of Directors of any such District, at such
price or prices and under such terms and conditions as may be
fixed by such Board of Directors prior to the issuance of such
bonds. Such Board of Directors may sell such bonds in such
manner, either at public or at private sale, and for such price
as it may determine to be for the best interest of the District,
but no such sale shall be made at a price so low as to require
the payment of interest on the money received therefor at more
than six (6%) per cent per annum, computed with relation to the
absolute maturity of the bonds in accordance with standard tables
of bond values, excluding however, from such computation the
amount of any premium to be paid on redemption of any bonds prior
to maturity. Subject to the restrictions contained in this Act
each such Board of Directors is given complete discretion in
fixing the form, conditions and details of such bonds, and such
bonds may be refunded or otherwise refinanced whenever said Board
of Directors deems such action to be appropriate or necessary.
Any such bonds may be secured by a pledge of the revenues to be
received by the District from one or more contracts entered into
between the District and any person, firm or corporation, in the
manner and to the extent provided in the order of the Board of
Directors authorizing such bonds. Any such bonds shall be special
obligations of the District issuing same, payable solely from the
revenues pledged to their payment. Any such bonds shall contain
the following statement:
"The holder hereof shall never have the right to demand payment
hereof from funds raised or to be raised by taxation."
Contracts with non-profit corporations; acceptance of works or
facilities
Sec. 3. If any water power control district enters into a
contract with a non-profit corporation whereby such non-profit
corporation obligates itself to provide works or facilities to
accomplish pollution control and issues its bonds to secure funds
to accomplish same, the District is hereby authorized to accept
all such works or facilities from such non-profit corporation at
the time and in the manner provided in the contract and in the
indenture securing such non-profit corporation's obligations.
Bond issues involving federal funds; approval
Sec. 3-a. Approval must be acquired from the Texas Water
Commission pursuant to Article 7880-139, Vernon's Civil Statutes,
as amended, when issuing bonds involving Federal funds.
Examination, approval and registration of bonds
Sec. 4. Prior to delivery thereof, all bonds authorized to be
issued hereunder and the record relating to their issuance shall
be submitted to the Attorney General of Texas for examination;
and if he finds that they have been issued in accordance with the
Constitution and this Act, and that they will be binding special
obligations of the District authorizing their issuance, he shall
approve them, and thereupon they shall be registered by the
Comptroller of Public Accounts of the State of Texas, and after
such approval and registration they shall be incontestable.
Acts 1965, 59th Leg., p. 1509, ch. 655, eff. Aug. 30, 1965.