CHAPTER 7205. STEPHENS REGIONAL SPECIAL UTILITY DISTRICT

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 6. WATER AND WASTEWATER

SUBTITLE C. SPECIAL UTILITY DISTRICTS

CHAPTER 7205. STEPHENS REGIONAL SPECIAL UTILITY DISTRICT

For contingent expiration of this chapter, see Sec. 7205.003.

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 7205.001. DEFINITION. In this chapter, "district" means

the Stephens Regional Special Utility District.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.002. NATURE OF DISTRICT. The district is a special

utility district in Stephens, Eastland, Palo Pinto, Shackelford,

and Throckmorton Counties created under and essential to

accomplish the purposes of Section 59, Article XVI, Texas

Constitution.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.003. CONFIRMATION ELECTION REQUIRED. If the creation

of the district is not confirmed at a confirmation and initial

directors' election held before September 1, 2007:

(1) the district is dissolved on September 1, 2007, except that:

(A) any debts of the district incurred shall be paid;

(B) any assets of the district that remain after the payment of

debts shall be transferred to Stephens, Eastland, Palo Pinto,

Shackelford, or Throckmorton County as appropriate; and

(C) the organization of the district shall be maintained until

all debts are paid and remaining assets are transferred; and

(2) this chapter expires September 1, 2010.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.004. APPLICABILITY OF OTHER SPECIAL UTILITY DISTRICT

LAW. Except as otherwise provided by this chapter, Chapters 49

and 65, Water Code, apply to the district.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.005. INITIAL DISTRICT TERRITORY. (a) The district is

initially composed of the territory described by Section 2 of the

Act creating this chapter.

(b) The boundaries and field notes contained in Section 2 of the

Act creating this chapter form a closure. A mistake made in the

field notes or in copying the field notes in the legislative

process does not affect:

(1) the organization, existence, or validity of the district;

(2) the right of the district to issue any type of bond,

including a refunding bond, for a purpose for which the district

is created or to pay the principal of and interest on a bond; or

(3) the legality or operation of the district or the board of

directors of the district.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

SUBCHAPTER A-1. TEMPORARY PROVISIONS

For expiration of this subchapter, see Sec. 7205.024

Sec. 7205.021. TEMPORARY DIRECTORS. (a) The temporary board of

directors of the district is composed of:

(1) Gary Brockman;

(2) Roger Broyles;

(3) Kelley Grissom;

(4) Cotton Kinnard;

(5) Donnie Lockhart;

(6) Monroe Pugh; and

(7) Danny Stephens.

(b) Each temporary director shall qualify for office as provided

by Section 49.055, Water Code.

(c) If a temporary director fails to qualify for office, the

temporary directors who have qualified shall appoint a person to

fill the vacancy. If at any time there are fewer than four

qualified temporary directors, the Texas Commission on

Environmental Quality shall appoint the necessary number of

directors to fill all vacancies on the board.

(d) Temporary directors serve until initial directors are

elected under Section 7205.022.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.022. CONFIRMATION AND INITIAL DIRECTORS' ELECTION.

(a) The temporary directors shall hold an election to confirm

the creation of the district and to elect seven initial directors

in accordance with Chapters 49 and 65, Water Code, on or before

September 1, 2007.

(b) The temporary board of directors shall determine the method

for determining the initial term of each person on the initial

board of directors. The terms must be clearly stated on the

ballot for the confirmation and directors' election.

(c) Section 41.001(a), Election Code, does not apply to a

confirmation election held as provided by this section.

(d) Initial directors serve until the first regularly scheduled

election of directors under Subchapter C, Chapter 65, Water Code.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.023. TRANSFER OF ASSETS; DISSOLUTION. (a) If the

district's creation is confirmed under Section 7205.022, the

Stephens County Rural Water Supply Corporation shall transfer the

assets, debts, and contractual rights and obligations of the

corporation to the district.

(b) Not later than the 30th day after the date of the transfer

under Subsection (a), the board of directors of the Stephens

County Rural Water Supply Corporation shall commence dissolution

proceedings of the corporation.

(c) On dissolution of the Stephens County Rural Water Supply

Corporation, Certificate of Convenience and Necessity No. 11456

is considered to be held by the district.

(d) The board of directors of the Stephens County Rural Water

Supply Corporation shall notify the Texas Commission on

Environmental Quality of the dissolution of the corporation and

of the transfer of Certificate of Convenience and Necessity No.

11456 to the district.

(e) On receipt of notice under Subsection (d), the Texas

Commission on Environmental Quality shall note in its records

that Certificate of Convenience and Necessity No. 11456 is held

by the district and shall reissue the certificate in the name of

the district without further application or notice.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.024. EXPIRATION OF SUBCHAPTER. This subchapter

expires September 1, 2010.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 7205.051. DIRECTORS. The district is governed by a board

of not fewer than five and not more than 11 directors.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 7205.101. GENERAL POWERS. Except as otherwise provided by

this subchapter, the district has all of the rights, powers,

privileges, authority, functions, and duties provided by the

general law of this state, including Chapters 49 and 65, Water

Code, applicable to special utility districts created under

Section 59, Article XVI, Texas Constitution.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.102. WATER SERVICE IMPACT FEE. (a) The district may

charge a water service impact fee that is equal to the equity

buy-in fee charged by the Stephens County Rural Water Supply

Corporation on January 31, 2005, under that corporation's tariff.

(b) Chapter 395, Local Government Code, does not apply to the

initial water service impact fee set under this section.

(c) The district may increase the water service impact fee only

as provided by Chapter 395, Local Government Code, or as approved

by the Texas Commission on Environmental Quality.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.

Sec. 7205.103. EMINENT DOMAIN. (a) Except as provided by

Subsection (b), the district has all the power and authority of a

special utility district under Chapters 49 and 65, Water Code, to

acquire by condemnation any land, easement, or other property

located inside or outside the boundaries of the district for any

district project or purpose.

(b) The district may not exercise the power of eminent domain to

condemn land, easements, or other property located outside the

boundaries of the district for sanitary sewer purposes.

Added by Acts 2005, 79th Leg., Ch.

605, Sec. 1, eff. June 17, 2005.