CHAPTER 66. STORMWATER CONTROL DISTRICTS
WATER CODE
TITLE 4. GENERAL LAW DISTRICTS
CHAPTER 66. STORMWATER CONTROL DISTRICTS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 66.001. DEFINITIONS. In this chapter:
(1) "District" means a stormwater control district.
(2) "Commission" means the Texas Natural Resource Conservation
Commission.
(3) "Executive director" means the executive director of the
Texas Natural Resource Conservation Commission.
(4) "Board" means the board of directors of a district.
(5) "Director" means a member of the board.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1987, 70th Leg., ch. 977, Sec. 36, eff.
June 19, 1987; Acts 1991, 72nd Leg., 1st C.S., ch. 3, Sec. 1.083,
eff. Aug. 12, 1991.
SUBCHAPTER B. CREATION OF DISTRICT
Sec. 66.011. CREATION. A stormwater control district may be
created pursuant to Article XVI, Section 59, of the Texas
Constitution, as provided by this subchapter.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.012. PURPOSE OF DISTRICT. A district may be created to
control stormwater and floodwater and to control and abate
harmful excesses of water for the purpose of preventing area and
downstream flooding in all or part of a watershed.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.013. COMPOSITION OF DISTRICT. A district may be
composed of contiguous or noncontiguous areas within all or part
of the watershed of a river, stream, creek, or bayou.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.014. PETITION. (a) To create a district, a person or
the commissioners courts in the counties in which all or part of
the district is to be located shall file a petition with the
executive director requesting creation of the district.
(b) The petition must be signed by at least 50 persons who
reside within the boundaries of the proposed district or by a
majority of the members of the commissioners court in each county
in which all or part of the district is to be located.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.015. CONTENTS OF PETITION. The petition must include:
(1) a description of the boundaries of the proposed district by
metes and bounds or by lot and block number, if there is a
recorded map or plat and survey of the area;
(2) a statement of the general nature of the work proposed to be
done by the district and the estimated cost of any work to be
done by the district; and
(3) the proposed name of the district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.016. DISTRICT NAME. (a) A district shall be named the
______________________ (Insert name of county, river, stream,
creek, or bayou in district) Stormwater Control District.
(b) A district may not have the same name as any other district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.018. NOTICE AND HEARING ON DISTRICT CREATION. If a
petition is filed under Section 66.014, the commission shall give
notice of an application as required by Section 49.011 and may
conduct a hearing if the commission determines that a hearing is
necessary under Section 49.011.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(49),
eff. Sept. 1, 1995; Acts 1997, 75th Leg., ch. 1070, Sec. 44, eff.
Sept. 1, 1997.
Sec. 66.019. COMMISSION FINDINGS AND DECISION. (a) After
considering the petition, the commission shall grant the petition
if it finds that:
(1) the petition conforms to the requirements of Sections 66.014
and 66.015; and
(2) the projects proposed by the district are feasible and
practicable, are necessary, and will be a benefit to land
included in the district.
(b) In making its decision, if the commission finds that a part
of the land to be included in the district will not be benefited
by creation of the district, the commission shall make this
finding, exclude the nonbenefited land from the proposed
district, and redraw the boundaries of the proposed district to
conform to this change.
(c) The commission shall deny the petition if it finds that:
(1) the petition does not conform to the requirements of
Sections 66.014 and 66.015 of this code; or
(2) the projects proposed for the district are not feasible,
practicable, or necessary, or will not benefit any of the land
proposed to be included in the district.
(d) A copy of the commission's order including its findings and
decision shall be mailed to the petitioners as provided by rules
of the commission.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1987, 70th Leg., ch. 977, Sec. 37, eff.
June 19, 1987; Acts 1997, 75th Leg., ch. 1070, Sec. 45, eff.
Sept. 1, 1997.
Sec. 66.020. APPEAL OF COMMISSION ORDER. The order of the
commission granting or denying a petition may be appealed as
provided by Chapter 2001, Government Code.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(49),
eff. Sept. 1, 1995.
Sec. 66.021. TEMPORARY DIRECTORS. (a) If the commission grants
the petition, it shall appoint five persons who reside within the
boundaries of the proposed district to serve as temporary
directors until the initial regular directors are elected.
(b) The person who submits the petition for creation of the
district shall submit a list of at least five persons for
appointment as temporary directors, and the commission shall
consider those recommendations when making the appointments.
(c) The temporary directors must have the same qualifications
for office as provided by Section 66.102 of this code for
permanent directors.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
SUBCHAPTER C. ADMINISTRATIVE PROVISIONS
Sec. 66.101. BOARD OF DIRECTORS. A district shall be governed
by a board of directors composed of five members, who are elected
as provided in Chapter 49.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1995, 74th Leg., ch. 715, Sec. 37, eff.
Sept. 1, 1995.
Sec. 66.102. QUALIFICATION OF DIRECTORS. To serve as a
director, a person must be at least 18 years old, a qualified
voter, and a resident of the district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.118. RULES. After notice and hearing, the board shall
adopt rules to carry out this chapter, including rules providing
procedures for giving notice and holding hearings before the
board.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
SUBCHAPTER D. POWERS AND DUTIES
Sec. 66.201. GENERAL POWERS. The district may:
(1) acquire land to construct facilities for the district;
(2) construct regional stormwater retention and detention pond
facilities to retain stormwater runoff and to prevent area and
downstream flooding in the district;
(3) construct outfall drainage ditches and similar facilities to
control stormwater and floodwater and prevent area and downstream
flooding;
(4) provide for and use the land on which regional stormwater
retention and detention pond facilities are located for park and
recreational areas when the area is not used for holding water;
(5) provide financing for land and facilities and for
construction of facilities from money obtained from sources
provided by this chapter and other laws of this state;
(6) advise, consult, contract, cooperate with, and enter into
agreements with the federal government and its agencies, the
state and its agencies, local governments, and persons; and
(7) apply for, accept, receive, and administer gifts, grants,
loans, and other funds available from any source.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.202. PLAN FOR FACILITIES. (a) Before the district
begins to acquire land and construct facilities, the district
engineer under the supervision of the board shall prepare a
detailed plan for the location of stormwater retention and
detention ponds and outfall drainage ditches or other similar
facilities within the district and for the acquisition of land
and construction of those works and facilities.
(b) In preparing the plan, the district shall attempt to locate
stormwater retention and detention ponds and outfall drainage
ditches and other similar facilities so that they will provide
the minimum amount of runoff in the district while at the same
time providing the maximum amount of protection from area and
downstream flooding.
(c) On completion of the plan by the employees, the board shall
approve the plan as the tentative plan and shall submit the plan
to the commission and to the commissioners court of each county
in which all or part of the district is located.
(d) The commission and each commissioners court shall review the
plan.
(e) Within 60 days after the date on which a plan is submitted
to a commissioners court, the commissioners court shall prepare
its suggestions for change in the plan and shall submit those
suggestions in writing to the commission.
(f) Not later than 10 days after the first day on which the
commission has received written suggestions from all
commissioners courts to which the plan was submitted, the
commission shall give notice and hold a hearing to consider the
plan together with its suggestions and the suggestions for change
from the commissioners courts. Notice shall be given and the
hearing held as provided by Chapter 2001, Government Code.
(g) At the conclusion of the hearing, the commission shall issue
an order stating the changes made in the plan, if any, and
approving the plan.
(h) An order of the commission under this section may not be
appealed.
(i) Amendments and modifications to a plan shall be made in the
manner provided by this section for preparation and approval of
the original plan.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1995, 74th Leg., ch. 76, Sec. 5.95(49),
eff. Sept. 1, 1995.
Sec. 66.216. TRANSFER OF LAND AND FACILITIES. (a) On
completion of all facilities proposed to be built by the
district, the district shall transfer title to the land and
facilities other than detention ponds to the county or counties
in which the land and facilities are located.
(b) Each county that receives transfer of title to land and
facilities under Subsection (a) of this section shall maintain
those facilities and shall use the land and facilities for the
purpose of stormwater retention and detention ponds and for park
and recreational areas as authorized for the district.
(c) If another regional flood control project is constructed by
the state or a political subdivision of the state, the county may
transfer title of the land and facilities transferred to it under
this section to the state or to the political subdivision to be
used for the purposes for which it was originally acquired or
constructed by the district.
(d) A conveyance of land and facilities to the county under this
section is made free and clear of all indebtedness of the
district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.217. EFFECT OF TRANSFER. (a) On conveyance of land and
facilities to a county under this subchapter the district is no
longer responsible for the land and facilities or their
maintenance or upkeep, and the control over the land and
facilities is solely in the county to which conveyed.
(b) Conveyance of land and facilities to a county under this
subchapter does not affect the duties and responsibilities of the
district to pay in full the principal of and the premium, if any,
and interest on any outstanding bonds or other indebtedness of
the district and to observe and perform the covenants,
obligations, or conditions provided by the orders or resolutions
authorizing the bonds or other indebtedness.
(c) Notwithstanding the conveyance of land and facilities to a
county under this subchapter, the district is solely responsible
and liable for payment in full of the principal of and the
premium and interest on any bonds or other indebtedness of the
district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.218. TRANSFER IN PORTIONS. This subchapter may not be
construed as preventing the conveyance of a portion of the land
and facilities proposed to be constructed by a district if the
district's facilities are constructed in stages.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
SUBCHAPTER E. GENERAL FISCAL PROVISIONS
Sec. 66.303. ANNUAL BUDGET. (a) The board shall prepare and
approve an annual budget.
(b) The budget shall contain a complete financial statement,
including a statement of:
(1) the outstanding obligations of the district;
(2) the amount of cash on hand to the credit of each fund of the
district;
(3) the amount of money received by the district from all
sources during the previous year;
(4) the amount of money available to the district from all
sources during the ensuing year;
(5) the amount of the balances expected at the end of the year
in which the budget is being prepared;
(6) the estimated amount of revenues and balances available to
cover the proposed budget; and
(7) the estimated tax rate that will be required.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.304. AMENDING BUDGET. After the annual budget is
adopted, it may be amended on the board's approval.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.310. ISSUANCE OF BONDS. (a) The board may issue and
sell bonds in the name of the district to acquire land and
construct facilities as provided by this chapter.
(b) Bonds issued by a district and projects and improvements of
the district that are provided through the issuance of bonds are
governed by Chapter 49.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 1995, 74th Leg., ch. 715, Sec. 38, eff.
Sept. 1, 1995.
Sec. 66.311. MANNER OF REPAYMENT OF BONDS. The board may
provide for the payment of the principal of and interest on the
bonds from the levy and collection of property taxes on all
taxable property within the district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.313. FORM OF BONDS. (a) The district may issue its
bonds in various series or issues.
(b) Bonds may mature serially or otherwise not more than 50
years from their date and shall bear interest at any rate or
rates permitted by the constitution and laws of this state.
(c) The district's bonds and interest coupons, if any, are
investment securities under the terms of Chapter 8 of the
Business & Commerce Code and may be issued registrable as to
principal or as to both principal and interest or may be issued
in book entry form and may be made redeemable before maturity at
the option of the district or may contain a mandatory redemption
provision.
(d) The district's bonds may be issued in the form,
denominations, and manner and under the terms, conditions, and
details and shall be signed and executed as provided by the board
in the resolution or order authorizing their issuance.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.314. PROVISIONS OF BONDS. (a) In the orders or
resolutions authorizing the issuance of bonds, including
refunding bonds, the board may provide for the flow of funds, the
establishment and maintenance of the interest and sinking fund,
the reserve fund, and other funds and may make additional
covenants with respect to the bonds and the pledged fees.
(b) The orders or resolutions of the board authorizing the
issuance of bonds may also prohibit the further issuance of bonds
or other obligations payable from the pledged fees or may reserve
the right to issue additional bonds to be secured by a pledge of
and payable from the fees on a parity with or subordinate to the
pledge in support of the bonds being issued.
(c) The orders or resolutions of the board issuing bonds may
contain other provisions and covenants as the board may
determine.
(d) The board may adopt and have executed any other proceedings
or instruments necessary and convenient in connection with the
issuance of bonds.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.315. APPROVAL BY ATTORNEY GENERAL; REGISTRATION BY
COMPTROLLER. (a) Bonds issued by the district and the records
relating to their issuance must be submitted to the attorney
general for examination.
(b) If the attorney general finds that the bonds have been
authorized in accordance with law, he shall approve them, and
they shall be registered by the comptroller of public accounts.
(c) After the approval and registration of bonds, the bonds are
incontestable in any court or other forum for any reason and are
valid and binding obligations in accordance with their terms for
all purposes.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.316. REFUNDING BONDS. Refunding bonds may be issued for
the purposes and in the manner provided by general law including
Chapter 1207, Government Code.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 8.422, eff.
Sept. 1, 2001.
Sec. 66.317. BONDS AS INVESTMENTS. District bonds are legal and
authorized investments for:
(1) banks;
(2) savings banks;
(3) trust companies;
(4) savings and loan associations;
(5) insurance companies;
(6) fiduciaries;
(7) trustees;
(8) guardians; and
(9) sinking funds of cities, counties, school districts, and
other political subdivisions of the state and other public funds
of the state and its agencies, including the permanent school
fund.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.318. BONDS AS SECURITY FOR DEPOSITS. District bonds are
eligible to secure deposits of public funds of the state and
cities, counties, school districts, and other political
subdivisions of the state. The bonds are lawful and sufficient
security for deposits to the extent of their value when
accompanied by all unmatured coupons.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.319. MANDAMUS BY BONDHOLDERS. In addition to all other
rights and remedies provided by law, if the district defaults in
the payment of principal, interest, or redemption price on its
bonds when due or if it fails to make payments into any fund or
funds created in the orders or resolutions authorizing the
issuance of the bonds or defaults in the observation or
performance of any other covenants, conditions, or obligations
set forth in the orders or resolutions authorizing the issuance
of its bonds, the owners of any of the bonds are entitled to a
writ of mandamus issued by a court of competent jurisdiction
compelling and requiring the district and its officials to
observe and perform the covenants, obligations, or conditions
prescribed in the orders or resolutions authorizing the issuance
of the district's bonds.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.320. APPLICATION OF OTHER LAWS. Bonds of the district
are considered public securities under Chapter 1201, Government
Code.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985. Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 8.422, eff.
Sept. 1, 2001.
Sec. 66.321. TAX STATUS OF BONDS. Since a district created
under this chapter is a public entity performing an essential
public function, bonds issued by the district, any transaction
relating to the bonds, and profits made in the sale of the bonds
are free from taxation by the state or by any city, county,
special district, or other political subdivision of the state.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.322. LEVY OF TAXES. The board may annually levy taxes
in the district to pay the principal of and interest on bonds
issued by the district and the expense of assessing and
collecting taxes.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.324. BOARD AUTHORITY. (a) The board may levy taxes for
the entire year in which the district is created.
(b) The board shall levy taxes on all property within the
boundaries of the district subject to district taxation.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.325. TAX RATE. In setting the tax rate, the board shall
take into consideration the income of the district from sources
other than taxation. On determination of the amount of tax
required to be levied, the board shall make the levy and certify
it to the tax assessor-collector.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.326. TAX APPRAISAL, ASSESSMENT, AND COLLECTION. (a)
The Tax Code governs the appraisal, assessment, and collection of
district taxes.
(b) The board may provide for the appointment of a tax
assessor-collector for the district or may contract for the
assessment and collection of taxes as provided by the Tax Code.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
SUBCHAPTER F. DISSOLUTION
Sec. 66.401. PETITION FOR DISSOLUTION. After a district has
completed all construction of facilities provided in the plan and
conveyed those facilities to the designated counties and after
all bonds and other indebtedness of the district are paid in
full, the district shall submit to the commission a petition for
dissolution accompanied by such evidence as the commission
requires in its rules or by order to show that the plan prepared
and adopted in accordance with Section 66.202 of this chapter has
been carried out and all bonds and other indebtedness have been
paid in full.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.402. ORDER TO DISSOLVE DISTRICT. (a) After considering
the petition and the accompanying evidence, if the commission
finds that the work is completed according to the plan and the
facilities have been conveyed and that all bonds and other
indebtedness have been retired, the commission shall order the
district dissolved.
(b) If the commission finds that the work has not been completed
according to the plan, that all facilities have not been
conveyed, or that all bonds and other indebtedness have not been
retired, the commission shall issue an order that will ensure
that the work is completed by the district, all conveyances are
made, and all debt will be retired, and on compliance with this
order shall issue an order dissolving the district.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Amended by:
Acts 2009, 81st Leg., R.S., Ch.
87, Sec. 24.007, eff. September 1, 2009.
Sec. 66.403. DISTRIBUTION OF ASSETS. (a) If at the time a
district is dissolved, the district has any surplus funds in any
of its accounts, the board shall transfer those funds to the
county that assumes jurisdiction over the facilities conveyed by
the district, and the county receiving the funds shall use those
funds to maintain the facilities conveyed.
(b) If more than one county assumes jurisdiction over district
facilities, the board shall transfer the funds to each county
based on the proportion of the proceeds of all indebtedness
incurred by the district to acquire the land and construct the
facilities conveyed to that county.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.
Sec. 66.404. EFFECT OF COMMISSION ORDER. On the issuance of the
order of dissolution by the commission, the dissolved district
ceases to exist as a governmental entity, and the board shall
continue in existence only for the purpose of transferring
district funds and disposing of district assets.
Added by Acts 1985, 69th Leg., ch. 734, Sec. 1, eff. Sept. 1,
1985.