Water Code

CHAPTER 62.  ARTICLE XVI, SECTION 59, NAVIGATION DISTRICTS
SUBCHAPTER A.  GENERAL PROVISIONS

Sec. 62.001.  Definitions.

         As used in this chapter:

                       (1) "District" means a navigation district operating under
         the provisions of Article XVI, Section 59, of the Texas
         Constitution.

                       (2) "Commission" means the navigation and canal commission.

                       (3) "Commissioner" means a navigation and canal
         commissioner.

                       (4) "Board" means the navigation board.

                       (5) "County of jurisdiction" means the county in which the
         district or the greater amount of acreage of the district is
         located.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.
              SUBCHAPTER B.  CREATION OF DISTRICT
                                
              Sec. 62.021.  Creation of District.
                                
A navigation district may be created in the manner prescribed by
  this subchapter under Article XVI, Section 59, of the Texas
                         Constitution.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.022.  Composition.

         A district may include within its boundaries all or part of
villages, towns, cities, road districts, drainage districts,
irrigation districts, levee districts, other improvement
districts, and municipal corporations of any kind but may not
include the territory of more than three counties or parts of
three counties.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.023.  Petition.

         (a) Any person may present a petition to the commissioners
court in the county of jurisdiction, at a regular or special
session, requesting the creation of a district.

         (b) The petition shall be signed by 25 of the property
taxpaying electors who reside inside the boundaries of the
proposed district.  If there are less than 75 property taxpaying
electors who reside inside the boundaries of the proposed
district, the petition shall be signed by one-third of them.

         (c) The petition shall include:

                       (1) a request that the district be created;

                       (2) the boundaries of the district accompanied by a map;

                       (3) the general nature of the proposed improvements;

                       (4) an estimate of the probable cost of the improvements;
         and

                       (5) the name of the district, which shall include the name
         of the county.

         (d) The petition shall be accompanied by an affidavit of the
petitioners' qualifications.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.024.  Deposit.

         At the time the petition is filed with the commissioners court,
the petitioner shall deposit $500 in cash with the clerk of the
commissioners court.  The clerk shall keep the deposit until
after the result of the election to create the district is
declared and entered in the record by the commissioners court.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.025.  Date of Hearing.

         (a) On presentation of the petition, the commissioners court of
the county of jurisdiction shall set it for a hearing at the
regular term of the commissioners court or at a special session
called for that purpose.  The hearing shall be held not less than
30 nor more than 60 days from the day the petition is presented.

         (b) If the hearing is required by Section 62.026 of this code,
to be held by the navigation board, the commissioners court shall
set the hearing at the regular meeting place of the commissioners
court not less than 30 nor more than 60 days from the day the
petition is presented without reference to any term of the
commissioners court.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.026.  Hearing Before the Board.

         If the boundaries of a proposed district include all or part of
a city or cities acting under special charter granted by the
legislature, the hearing on the petition shall be held before the
board.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.027.  Notice of Hearing.

         (a) The commissioners court shall order the clerk to post a
copy of the petition together with the order of the commissioners
court in five public places in the county, one of which shall be
the courthouse door and four of which shall be in different
places inside the limits of the proposed district.  The notice
shall be posted not less than 20 days before the time set for the
hearing.

         (b) If the district is composed of more than one county, a copy
of the petition together with the order shall be posted at the
courthouse door of each county in which any portion of the
proposed district is located, and four copies shall be posted at
four other places inside the included territory of each county.

         (c) The clerk shall receive $1 as compensation for posting each
notice and five cents a mile for each mile necessarily traveled
in posting the notices.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.028.  Hearing on Petition.

         (a) The commissioners court or the board has exclusive
jurisdiction to hear and determine all contests and objections
and other matters relating to creating a district and in all
subsequent proceedings.

         (b) Any person who has taxable property in the proposed
district or who may be affected by the creation of the district
may appear at the hearing and contest or support the creation of
the district, offer testimony for or against the boundaries, show
that the proposed improvements would or would not be of any
public utility and would or would not be practicable and
feasible, present evidence of the probable cost of the
improvements, or present any other matter relating to the
district.

         (c) The commissioners court or navigation board may adjourn the
hearing from day to day, and judgments or decisions rendered by
the commissioners court or the board are final except as
otherwise provided by this chapter.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.029.  Findings.

         (a) If the commissioners court or the board finds that the
improvements would be feasible and practicable and would be a
public benefit and utility and approves the boundaries as set out
in the petition, it shall compute the amount of money necessary
for the improvements and all incidental expenses and shall
determine whether to issue bonds for the full amount or for a
smaller amount in the first instance.

         (b) The commissioners court or the board shall specify:

                       (1) the amount of bonds to be issued;

                       (2) the length of time the bonds will run; and

                       (3) the rate of interest.

         (c) The findings and specifications together with a map of the
district shall be recorded in the minutes of the commissioners
court or the board.

         (d) If the commissioners court or the board does not approve
the proposed boundaries of the district, it shall define the
boundaries it considers correct.  Before any change is made in
the boundaries of the proposed district, notice shall be given
and a hearing held as provided in Sections 62.027 and 62.028 of
this code.

         (e) If the commissioners court or the board finds that the
improvements are unnecessary and would not be practicable or
feasible and would not be a public benefit or utility, it shall
enter these findings in the minutes and shall dismiss the
petition at the cost of the petitioners.  However, the dismissal
of a petition does not prevent or conclude the presentation of a
similar petition at a later date.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.030.  Election Order.

         (a) If the commissioners court or the board finds in favor of
the petitioners for the creation of the district, the
commissioners court of the county of jurisdiction shall order an
election to be held inside the proposed district at the earliest
legal time.

         (b) The order of the court shall provide for submitting to the
electors residing in the proposed district the question of
whether or not the district will be created and whether or not
proposed bonds will be issued and a tax levied sufficient to pay
the interest and provide a sinking fund sufficient to redeem the
bonds at maturity.

         (c) The order shall specify:

                       (1) the amount of bonds to be issued;

                       (2) the length of time the bonds will run; and

                       (3) the rate of interest.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.031.  Notice of Election.

         (a) The clerk of the commissioners court shall prepare notice
of the election and shall post the notice for 30 days before the
day set for the election.

         (b) The notice shall be posted in the same places specified in
Section 62.027 of this code.

         (c) The notice shall state:

                       (1) the time and place of holding the election;

                       (2) the proposition to be voted on; and

                       (3) the purpose for which the bonds are to be issued and the
         amount of the bonds.

         (d) The notice shall contain a copy of the order of the court
ordering the election.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.032.  Ballot.

         The ballot shall be printed to provide for voting for or
against the proposition:  "The creation of the navigation
district and the issuance of bonds and levy of a tax for the
payment of the bonds."

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.033.  Conduct of Election.

         (a) The commissioners court shall issue an order creating and
defining the voting precincts in the proposed district and shall
name polling places within the precincts.  In designating the
polling places, the commissioners court shall take into
consideration the convenience of the voters in the proposed
district.

         (b) The commissioners court shall select and appoint the judges
and other necessary officers of election.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.034.  Canvass of Returns.

         (a) Immediately after the election, the election officers shall
make returns of the result and return the ballot boxes to the
clerk of the commissioners court of jurisdiction.

         (b) The clerk shall deliver the boxes and the returns of the
election to the commissioners court of jurisdiction at its next
regular or special session.

         (c) At that session, the commissioners court shall canvass the
returns of the election.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.035.  Declaration of Result.

         If a majority of the votes favor creating the district, issuing
bonds, and levying a tax, the commissioners court shall declare
the result and enter it in the minutes of the commissioners court
as follows:

         "Commissioners court of ____________________ County, Texas. 
__________ term A.D. __________, in the matter of the petition of
__________ and __________ others requesting the creation of a
navigation district, issuance of bonds, and levy of a tax in the
petition described and designated by the name of
____________________ Navigation District.  Be it known that at an
election called for that purpose in the district, held on the
______ day of ______ A.D. ______, a majority of the electors
voting voted in favor of the creation of the navigation district,
the issuance of bonds, and the levy of a tax.  Now, therefore, it
is considered and ordered by the commissioners court that the
navigation district, be and the same is hereby established by the
name of __________ Navigation District, and that bonds of the
district in the amount of $______ be issued, and a tax of ______
cents on the $100 valuation, or so much thereof as may be
necessary to be levied upon all property within the navigation
district, whether real, personal, mixed, or otherwise, sufficient
in amount to pay the interest on the bonds and provide a sinking
fund to redeem that at maturity, and that if the tax shall at any
time become insufficient for these purposes it shall be increased
until it is sufficient.  The metes and bounds of the district are
as follows:  (Give metes and bounds)."

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.036.  Expenses.

         (a) If the result of the election favors the creation of the
district, the clerk shall return the $500 deposit required by
Section 62.024 of this code to the signers of the original
petition, their agents or their attorney.

         (b) If the result of the election is against the creation of
the district, the clerk shall pay out of the $500 deposit on
vouchers signed by the county judge, all costs and expenses
relating to the proposed district up to and including the
election.  The balance, if any, of the $500 shall be returned to
the signers of the original petition, their agents, or their
attorney.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.
            SUBCHAPTER C.  ADMINISTRATIVE PROVISIONS
                                
                Sec. 62.061.  Navigation Board.
                                
   (a) The navigation board shall include the members of the
commissioners court and the mayor and aldermen or commissioners
  of the included city or cities acting under special charter
granted by the legislature.  If there is only one city or part of
one city acting under special charter granted by the legislature
 inside the proposed district and if the charter of the city at
     any time authorizes the city council or city board of
 commissioners to be greater in number than the members of the
commissioners court, the number of aldermen or city commissioners
 who are entitled to sit and vote as members of the board along
 with the mayor will be limited to that number which equals the
 number of members of the commissioners court.  The aldermen or
city commissioners entitled to act as members of the board shall
be determined by the members of the city council or city board of
                commissioners among themselves.
                                
(b) The county judge, and in his absence the mayor, shall preside
at meetings of the board and each member of the board, including
         the presiding officer, is entitled to a vote.
                                
(c) A majority of the members of the board constitute a quorum,
     and action of a majority of the quorum shall control.
                                
(d) The county clerk shall enter the proceedings of the board in
a book kept for that purpose, and the book shall be available for
                       public inspection.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.062.  Appointment of Initial Commissioners.

         (a) After the creation of the district, the commissioners court
or board shall appoint three navigation and canal commissioners
who shall compose the navigation and canal commission.

         (b) After the initial commissioners on the navigation and canal
commission complete their terms, subsequent commissioners shall
be elected.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.063.  Election of Commissioners.

         (a) Commissioners shall be elected on the second Saturday in
July of each odd-numbered year at an election ordered by the
commission.

         (b) The secretary of the commission shall give notice of the
election by posting at least three copies of the notice at three
public places inside the district or by publishing the notice for
20 days before the election in a newspaper with general
circulation in the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.0631.  Appointment of Commissioners.

         (a) Instead of electing commissioners as provided in Section
62.063 of this code, the commissioners court or board may appoint
three navigation and canal commissioners to serve on the
commission.

         (b) The commissioners shall hold office for a term of two years
and until their successors are appointed and have qualified.

         (c) Commissioners may be removed from office by a majority of
the commissioners court or the board for malfeasance or
nonfeasance in office.

         (d) Successors to members of the commission shall be appointed
by a majority vote of the commissioners court or the board.

Added by Acts 1971, 62nd Leg., p. 1771, ch. 518, Sec. 18, eff.
May 31, 1971.

Sec. 62.064.  Qualifications of Commissioners.

         Each person who is appointed or elected commissioner shall be a
resident of the proposed navigation district and shall be an
elector of the county.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.065.  Term of Office.

         Commissioners shall hold office for staggered terms of six
years and until their successors are elected and have qualified.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.066.  Vacancies.

         (a) A vacancy on the commission shall be filled by the
remaining members of the commission.

         (b) If two or more vacancies on the commission occur at the
same time, a special election may be called on petition signed by
50 electors.

         (c) Notice of the election shall be given by publishing or
posting notice for at least 20 days before the election.

         (d) The petition for the election shall include the names of
the judges and clerks of the election, and the judges and clerks
shall jointly canvass the returns, declare the result, and issue
certificates of election to the successful candidates.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.067.  Removal from Office.

         (a) A commissioner may be removed from office for malfeasance
or nonfeasance in office by unanimous vote of the commissioners
court or the board after a hearing held according to law.

         (b) Appeal from a judgment of removal may be taken to a
district court of the county in which the commissioner resides. 
The court shall try the case de novo.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.068.  Oath of Commissioners.

         (a) Before each commissioner begins to perform his duties, he
shall take and subscribe before the county judge of the county of
jurisdiction an oath to discharge faithfully the duties of his
office without favor or partiality and to render a true account
of his activities to the commissioners court of the county of
jurisdiction or the board whenever required to do so.

         (b) The oath shall be filed by the clerk of the commissioners
court and preserved as part of the records of the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.069.  Bond of Commissioners.

         Before a commissioner begins to perform his duties, he shall
execute a good and sufficient bond for $1,000, payable to the
county judge of the county of jurisdiction for the use and
benefit of the district and conditioned on the faithful
performance of his duties.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.070.  Compensation of Commissioners.

         Each commissioner shall receive for his services the
compensation determined by the commissioners court of the county
of jurisdiction.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.071.  Organization of Commission.

         (a) The commission shall organize by electing one of the
members chairman and one secretary.

         (b) Two of the commissioners constitute a quorum.  A
concurrence of two is sufficient in all matters relating to the
business of the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.072.  Two-County Districts; Appointment of Commission.

         (a) In a district composed of land in two or more counties, the
commissioners court of the county of jurisdiction by a majority
vote shall appoint one commissioner.  The commissioners court of
the other county included in whole or in part within the district
shall appoint by a majority vote a second commissioner.  The two
commissioners courts shall appoint the third commissioner at a
joint meeting of the two commissioners courts called and presided
over by the county judge of the county of jurisdiction.

         (b) Notice in writing of the joint meeting of commissioners
courts shall be given by mail or delivered in person at least two
days before the day set for the meeting.

         (c) Each of the county judges and county commissioners
composing the commissioners courts of both counties shall be
entitled to one vote in appointing the third commissioner.  A
majority vote of those present at the meeting shall be sufficient
to make the appointment.

         (d) On the termination of the term of office of each
commissioner or in case of vacancy, a successor shall be
appointed by the same commissioners court which appointed the
commissioner whose place is being filled.

         (e) Except for the matters expressly provided for in this
section, two-county districts are subject to all other provisions
of this subchapter.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.073.  District Treasurer.

         The county treasurer of the county of jurisdiction shall be
treasurer of the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.074.  Treasurer's Bond.

         (a) The county treasurer shall execute a good and sufficient
bond, payable to the commissioners, in an amount equal to twice
the amount of funds he will hold at any time as treasurer of the
district.  The commissioners shall estimate the sum to be used as
a basis for computing the amount of the required bond.  The bond
shall be conditioned for the faithful performance by the
treasurer of his duties for the district and must be approved by
the commissioners.

         (b) When any bonds are voted by the district, the county
treasurer, before receiving the proceeds from the sale of the
bonds, shall execute an additional good and sufficient bond,
payable to the commissioners, in an amount which is twice the
amount of bonds issued.  This additional bond shall be
conditioned and approved in the same manner as the first but
shall not be required after the treasurer has disbursed the
proceeds of the bond issue.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.075.  Treasurer's Compensation.

         The county treasurer shall be allowed as compensation for his
services as treasurer of the district the amount determined by
the commissioners.  The compensation may not exceed the
percentage authorized by law for his services as county
treasurer.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.076.  District Engineer.

         (a) The commission may employ a competent engineer who shall
serve at the will of the commission.

         (b) The district engineer shall receive the compensation
determined by the commission.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.077.  Assistant Engineers and Employees; Counsel; Salaries and
Fees.

         (a) The commission may employ assistant engineers and other
employees which may be necessary.

         (b) The commission may employ counsel to represent the district
in the preparation of any contract, to conduct any proceedings in
or out of court, and to be the legal adviser of the commission on
such terms as may be agreed upon by the commission.

         (c) The amount of compensation for employees and fees of
counsel shall be determined by the commission.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.078.  Suits; Judicial Notice.

         (a) A district established under this chapter may, by and
through the commission, sue and be sued in all courts of this
state in the name of the district.

         (b) All courts of this state shall take judicial notice of the
establishment of all districts.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.
                SUBCHAPTER D.  POWERS AND DUTIES
                                
              Sec. 62.101.  Purposes of District.
                                
 A district may be created under this chapter to provide, in or
                adjacent to its boundaries, for:
                                
(1) the improvement, preservation, and conservation of inland and
                 coastal water for navigation;
                                
(2) the control and distribution of storm water and floodwater of
          rivers and streams in aid of navigation; and
                                
(3) any other purposes necessary or incidental to the navigation
  of inland and coastal water or in aid of these purposes, as
 stated in Article XVI, Section 59, of the Texas Constitution.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.102.  Districts as Governmental Agencies.

         All districts created under this chapter shall be governmental
agencies and bodies politic and corporate with the powers of
government and with the authority to exercise the rights,
privileges, and functions which are essential to the
accomplishment of those purposes.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.103.  Duties of County Officials.

         The powers and duties conferred by this chapter on the county
judge, members of the commissioners court, the mayor and aldermen
or commissioners of cities, the county clerk, and other officers
are made a part of the legal duty of those officials.  Unless
otherwise provided in this chapter, these persons shall exercise
and perform these powers and duties without additional
compensation.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.104.  Duties of District Engineer.

         It shall be the duty of the district engineer:

                       (1) to make all necessary surveys, examinations,
         investigations, maps, plans, and drawings with reference to
         proposed improvements;

                       (2) to make estimates of the cost of proposed improvements;

                       (3) to supervise the work of improvement; and

                       (4) to perform all duties which may be required of him by
         the commission.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.105.  Right-of-Way.

         The commission may by gift, grant, purchase, or condemnation
acquire the necessary right-of-way and property of any kind for
all necessary improvements contemplated by this chapter.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.106.  Condemnation Proceedings.

         (a) The district may exercise the power of eminent domain to
condemn and acquire the right-of-way over and through any and all
public and private land necessary:

                       (1) for the improvement of any river, bay, creek, or stream;

                       (2) for the construction and maintenance of any canal or
         waterway; and

                       (3) for any and all purposes authorized by this chapter.

         (b) Condemnation proceedings instituted under Subsection (a) of
this section shall be instituted under the direction of the
commission and in the name of the district.  The assessment of
damages shall be in conformity with the laws of the State of
Texas for condemnation and acquisition of rights-of-way by
railroads.

         (c) No appeal from the finding and assessment of damages by the
commissioners shall have the effect of causing a suspension of
work by the commission in prosecuting the work of improvement in
all of its details.

         (d) No right-of-way may be condemned through any part of an
incorporated city or town without the consent of the lawful
authorities of that city or town.

         (e) A district created under this chapter may elect to take
advantage of the condemnation procedure provided in Subchapter F
of Chapter 51 of this code.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.107.  Acquisition of Land.

         (a) Any district created under this chapter may acquire by
gift, purchase, or condemnation and may own land adjacent or
accessible to the navigable water and ports developed by it which
may be necessary or required for any and all purposes incident to
or necessary for the development and operation of the navigable
water or ports within the district, or may be necessary or
required for or in aid of the development of industries on the
land.

         (b) The district may lease any part of the acquired land to any
individual or corporation and may charge for the lease reasonable
tolls, rents, fees, or other charges.  The district may use the
proceeds both for the maintenance and operation of the business
of the district and for the purpose of making the district
self-supporting and financially solvent and returning the
construction costs of the improvements within a reasonable
period.

         (c) The acquisition of land for the purposes included in this
section and the operation and industrial development of ports and
waterways are a public purpose and a matter of public necessity.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.108.  Entry on Property.

         The commissioners and the engineers of a district together with
all necessary teams, help, tools, and instruments may go on any
land inside the district to examine the land and to make plans,
surveys, maps, and profiles without subjecting themselves to the
action of trespass.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.109.  Bids.

         (a) Any person, corporation, or firm which desires to bid on
the construction of any work advertised under Section 62.110 of
this code shall, on application to the commission, be furnished
the survey, plans, and estimates for the work.

         (b) All bids or offers for the work shall be in writing,
sealed, and delivered to the chairman of the commission together
with a certified check for at least five percent of the total
amount of the bid.

         (c) If a bid is accepted but the bidder refuses to enter into a
proper contract, the deposit required by Subsection (b) of this
section shall be forfeited to the district.

         (d) Any and all bids may be rejected at the discretion of the
commission.

         (e) A district may take advantage of the bid procedure in
Sections 63.168-63.170 of this code by passing a simple
resolution and entering it in its minutes.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.110.  Notice of Bids.

         Notice that a contract is to be awarded shall be given by
publishing notice once a week for two consecutive weeks in one or
more newspapers with general circulation in the state and by
posting notice for at least 14 days in five public places in the
county of jurisdiction, one of which shall be the courthouse door
and at least two of which shall be inside the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971. 
Amended by Acts 1977, 65th Leg., p. 805, ch. 299, Sec. 2, eff.
Aug. 29, 1977.

Sec. 62.111.  Award of Contract.

         (a) All contracts for improvements, except those carried out
and performed by the government of the United States, shall be
awarded by the commission to the lowest and best responsible
bidder.

         (b) Nothing in this section shall prevent the making of more
than one improvement.  Where more than one improvement is to be
made, a contract may be awarded separately for each improvement
or one contract may be awarded for all the improvements.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.112.  Interest in Contracts.

         No county judge or county commissioner of any county in a
district, board member, or district engineer may be directly or
indirectly interested for himself or as agent for another in a
contract for the construction of work to be performed by the
district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.113.  Form of Contracts.

         All contracts made by the commission shall be in writing and
signed by the contractors and at least two of the commissioners. 
A copy of the contract shall be filed with the county clerk.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.114.  Bond of Contractor.

         (a) The party, firm, or corporation to whom a contract is
awarded under Section 62.111 of this code shall execute a bond,
payable to the commission, for twice the amount of the contract
price, conditioned on faithful performance of the obligations,
agreements, and covenants of the contract and that in default of
the performance he will pay to the district all damages sustained
by reason of the default.

         (b) The bond shall be approved by the commission.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.115.  Supervision of Work; Report.

         (a) Unless done under the supervision of the United States, all
work contracted for by the commission shall be done under the
supervision of the district engineer.

         (b) After work is completed according to a contract awarded by
the commission, the district engineer shall make a detailed
report of the work to the commission.  The report shall show
whether or not the contract has been fully complied with and if
not, in which particular the contractor has failed to comply.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.116.  Inspection of Work; Payment.

         (a) The commission shall inspect the progress of work being
done under a contract, and on completion of the contract, the
commission shall draw a warrant on the county treasurer payable
to the contractor or his assignee for the amount of the contract
price.  The warrant shall be paid out of the construction and
maintenance fund of the district.

         (b) If the commission considers it advisable, it may contract
for work to be paid for in partial payments as the work
progresses.  The partial payments may not exceed in the aggregate
eighty percent of the total amount to be paid under the contract. 
The amount of work completed at the time of the partial payment
shall be shown by a certificate of the district engineer.

         (c) Nothing in this section shall affect the provisions of this
chapter providing for the construction of any improvements by the
United States.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971. 
Amended by Acts 1971, 62nd Leg., p. 1770, ch. 518, Sec. 16, eff.
May 31, 1971.

Sec. 62.117.  Annual Report.

         (a) The commission shall make an annual report of its official
acts and file it with the clerk of the commissioners court on or
before January 1 of each year.

         (b) The report shall include in detail:

                       (1) the kind, character, and amount of work done in the
         district;

                       (2) the cost of the work;

                       (3) the amount paid out on order and for what purpose paid;
         and

                       (4) other data necessary to show the condition of
         improvements made under the provisions of this chapter.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.118.  Cooperation With United States.

         (a) If a river, creek, stream, bay, canal, or waterway to be
improved is navigable or the proposed improvement is of a nature
which requires the permission or consent of the United States,
the commission may obtain the required permission or consent of
the United States.

         (b) Instead of or in addition to employing an engineer as
provided in Section 62.076 of this code the commission may:

                       (1) adopt any survey of a river, creek, canal, stream, bay,
         or waterway previously made by the United States;

                       (2) arrange for surveys, examinations, and investigations of
         the proposed improvement; and

                       (3) arrange for supervision of the work of improvement by
         the United States.

         (c) The commission may cooperate and act with the United States
in any and all matters relating to the construction and
maintenance of canals and the improvement and navigation of
navigable rivers, bays, creeks, streams, canals, and waterways.

         (d) The authority to cooperate shall extend to surveys, work,
or expenditures of money made or to be made either by the
commission or by the United States.

         (e) The United States may aid in all such matters, and the
commission shall have authority to consent to the United States
entering on and taking management and control of the work where
necessary or permissible under the laws, regulations, and orders
of the United States.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.119.  Preference Lien; Waiver; Enforcement.

         (a) If a district leases, rents, furnishes, or supplies water
to any person, association of persons, water improvement
district, or corporation for the purpose of irrigation, the
district shall have, without regard to contract, a preference
lien superior to every other lien on the crop or crops raised on
the land which is irrigated.

         (b) If any district obtains a water supply under contract with
the United States, the board of directors of the district may, by
resolution entered in the minutes and with consent of the
secretary of the interior, waive the preference lien, in whole or
in part.

         (c) For the enforcement of the lien provided in Subsection (a)
of this section, all districts are entitled to all the rights and
remedies prescribed by Title 84, Revised Civil Statutes of Texas,
1925, as amended, for the enforcement of the lien between
landlord and tenant.

         (d) The authority granted by this section shall be cumulative
of, and in addition to, the authority granted by other laws.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.120.  Contract for and Lease of Water System.

         (a) A district may enter into operating contracts and leases
with cities and other governmental subdivisions for the operation
of the portions of the district's water system which are
designated by the board.

         (b) To the extent that the proceeds of revenue bonds were used
to acquire the portion leased, the annual payments paid by the
lessee to the district shall be in a sum which is sufficient to
permit the district to pay the proportionate part of the
principal, interest, reserves, and other requirements provided by
the bond proceedings on any revenue bonds which were issued to
acquire the leased properties.

         (c) Bonds issued to acquire, improve, enlarge, or extend leased
properties may mature serially or otherwise not more than 50
years from their date of issue.

Added by Acts 1971, 62nd Leg., p. 1625, ch. 452, Sec. 2, eff. May
26, 1971.
            SUBCHAPTER E.  GENERAL FISCAL PROVISIONS
                                
        Sec. 62.151.  Construction and Maintenance Fund.
                                
 (a) The construction and maintenance fund shall include money
received from the sale of bonds and all other sources except tax
 collections placed in the sinking fund to pay the principal of
                   and the interest on bonds.
                                
     (b) After the original petition is filed, all expenses
     necessarily incurred in connection with the creation,
establishment, and maintenance of the district shall be paid from
             the construction and maintenance fund.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.152.  Warrants.

         The commission may draw warrants:

                       (1) to pay for legal services;

                       (2) to pay the salary of the engineer, his assistant, and
         any other employees; and

                       (3) to pay all expenses incident to operation of the
         district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.153.  Duties of District Treasurer.

         The district treasurer shall:

                       (1) open an account for all funds received by him for the
         district and all district funds which he pays out;

                       (2) pay out money on vouchers signed by the chairman of the
         commission, any two members of the commission, or the
         commissioners court, or any two of any number of persons
         delegated by the commission with authority to sign vouchers,
         provided that the commission may, in such delegation, limit the
         authority of such persons and may require that each furnish a
         fidelity bond in such amount as the commission shall specify
         and subject to commission approval;

                       (3) carefully preserve all orders for the payment of money;
         and

                       (4) render a correct account to the commissioners court of
         all matters relating to the financial condition of the district
         as often as required by the commissioners court.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971. 
Amended by Acts 1975, 64th Leg., p. 1915, ch. 618, Sec. 1, eff.
Sept. 1, 1975.

Sec. 62.154.  Applicability of Sections 62.155-62.159.

         Sections 62.155-62.159 of this code apply to all revenue,
income, money, funds, or increments except revenue derived from
taxation which may result from the ownership and operation of the
district's improvements and facilities.  However, these sections
do not apply to any of the following counties:

                       (1) Matagorda;

                       (2) Fort Bend;

                       (3) Brazoria;

                       (4) Chambers;

                       (5) Galveston; and

                       (6) Harris.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.155.  Deposit in Banking Corporation.

         (a) Instead of depositing the revenue of the district in the
manner provided by law for districts, the commission may deposit
the revenue in a banking corporation in the manner provided in
Section 62.156 of this code.

         (b) On selection of a banking corporation by the commission
under Subsection (a) of this section, revenue of the district
held by anyone other than the selected banking corporation, on
order of the commission, shall be deposited in the selected
banking corporation to the credit of the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.156.  Selection of Depository.

         The commission shall select a depository as provided by Section
60.271.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Amended by Acts 1997, 75th Leg., ch. 1400, Sec. 3, eff. Sept. 1,
1997.

Sec. 62.159.  Conflicts With Prior Bonds or Other Laws.

         If Sections 62.154-62.158 of this code conflict with the
provisions of any bonds issued by a district and secured in whole
or in part by a pledge of revenue, with the proceedings
authorizing the bonds, or with any special act relating to one
specific district, the bonds, proceedings, and special act shall
control over these sections.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.160.  Maintenance Tax.

         The commissioners courts of the respective counties inside each
district may levy and have assessed and collected for the
maintenance, operation, and upkeep of the district and the
improvements constructed by the district an annual tax not to
exceed 10 cents on the $100 valuation on all property inside the
district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.
                 SUBCHAPTER F.  BOND PROVISIONS
                                
          Sec. 62.191.  Issuance of Navigation Bonds.
                                
    (a) After the commission determines the cost of proposed
  improvements, incidental expenses, and maintenance costs, it
   shall certify to the commissioners court of the county of
    jurisdiction the amount of bonds necessary to be issued.
                                
 (b) The commissioners court, at a regular or special meeting,
shall issue an order directing the issuance of navigation bonds
for the district in the amount so certified.  The amount of bonds
  may not be more than the amount authorized by the election.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.192.  Issuance of Additional Bonds.

         (a) If the proceeds of bonds issued by a district are
insufficient to complete the proposed improvement or
construction, if the commissioners decide to begin other and
further construction or improvements, or if additional funds are
required to maintain the improvements made, the commission shall
certify to the commissioners court the necessity for an
additional bond issue.

         (b) Unless the amount previously authorized has been exhausted,
the commissioners court shall issue the bonds.

         (c) The certification to the court shall state:

                       (1) the amount of bonds required;

                       (2) the purpose of the bonds;

                       (3) the rate of interest; and

                       (4) the length of time for which the bonds are to run.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.193.  Bond Election.

         (a) If the authorized amount of bonds is exhausted, the
commissioners court shall order an election on the issuance of
additional bonds to be held in the district at the earliest legal
time.

         (b) The ballots shall be printed to provide for voting for or
against the proposition:  "The issuance of bonds and the levy of
a tax to pay for the bonds."

         (c) Notice shall be given, the election conducted, and the
returns canvassed in the manner provided for the original bond
election in Subchapter B of this chapter.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.194.  Order for Bonds and Tax.

         If on the canvass of the vote it is determined that a majority
of the votes cast at the election were in favor of the issuance
of bonds and levy of tax, the commissioners court shall issue an
order directing the issuance of the bonds and the levy of a tax.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.195.  Form of Bonds.

         (a) Bonds issued under the provisions of this chapter shall be
issued in the name of the district, signed by the county judge of
the county of jurisdiction, and attested by the county clerk of
the county of jurisdiction with the seal of the commissioners
court of the county of jurisdiction affixed to them.

         (b) The bonds shall be issued in the denominations and payable
at the time or times, not more than 40 years from their date,
which may be considered most expedient by the commissioners
court.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.196.  Duties of Attorney General.

         (a) Before the bonds are offered for sale, the district shall
send to the attorney general:

                       (1) a copy of the bonds to be issued;

                       (2) a certified copy of the order of the commissioners court
         levying the tax;

                       (3) a copy of the order of the commissioners court levying
         the tax to pay interest and provide a sinking fund;

                       (4) a statement of the total bonded indebtedness of the
         district, including the series of bonds proposed and the
         assessed value of property for the purpose of taxation, as
         shown by the last official assessment by the district or, if
         the district has made no prior assessment, the last official
         assessment by the county; and

                       (5) other information which the attorney general may
         require.

         (b) The attorney general shall carefully examine the bonds in
connection with the facts, the constitution, and the laws on the
execution of the bonds.

         (c) If as the result of the examination the attorney general
finds that the bonds were issued in conformity with the
constitution and laws and that they are valid and binding
obligations on the district, he shall officially certify the
bonds.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971. 
Amended by Acts 1979, 66th Leg., p. 2321, ch. 841, Sec. 4(r),
eff. Jan. 1, 1982.

Sec. 62.197.  Registration of Bonds.

         After the bonds have been examined by the attorney general and
his certificate issued, they shall be registered by the
comptroller in a book to be kept for that purpose, and the
certificate of the attorney general shall be preserved in the
record for use in the event of litigation.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.198.  Validity of Bonds.

         (a) After the bonds have been approved by the attorney general
and registered by the comptroller, they shall be held in every
action, suit, or proceeding in which their validity is or may be
brought in question prima facie valid and binding obligations.

         (b) In every action brought to enforce collection of bonds or
interest on them, the certificate of the attorney general, or a
duly certified copy of it, shall be admitted and received as
prima facie evidence of the validity of the bonds and the coupons
attached.

         (c) The only defense that can be offered against the validity
of the bonds or coupons is forgery or fraud.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.199.  Record of Bonds.

         (a) After bonds have been issued under the provisions of this
chapter, the board shall procure and deliver to the treasurer of
the county of jurisdiction a well-bound book in which a record
shall be kept of all the bonds.

         (b) A record shall be kept in the book of:

                       (1) the bond numbers and amount of the bonds;

                       (2) the rate of interest;

                       (3) the date of issuance and the date when the bonds are due
         and where payable;

                       (4) the proceeds from the bonds;

                       (5) the tax levy to pay interest on and to provide a sinking
         fund for bond payment; and

                       (6) any payment of a bond.

         (c) The book shall at all times be open to the inspection of
interested parties, either taxpayers, bondholders, or otherwise,
in the district.

         (d) The county treasurer shall receive for his services in
recording these matters the same fees which are allowed by law to
the county clerk for similar records.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.200.  Sale of Bonds.

         (a) After the bonds have been registered, the chairman of the
commission shall offer the bonds for sale and shall sell the
bonds on the best terms and for the best price possible.  None of
the bonds shall be sold for less than face par value and accrued
interest.

         (b) After money is received from the sale of bonds, it shall be
paid to the county treasurer and he shall place it to the credit
of the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.201.  Chairman's Bond.

         Before the chairman of the commission may sell any bonds, he
shall execute a good and sufficient bond, payable to the county
judge or his successors in office.  The bond shall be approved by
the commissioners court and shall be for an amount not less than
the amount of the bonds issued, and shall be conditioned on the
faithful discharge of his duties.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.202.  Taxes; Sinking Fund Investment.

         (a) After district bonds have been voted, the commissioners
court shall levy and have assessed and collected on all property
in the district taxes sufficient in amount to pay the interest on
the bonds and to annually deposit an amount in the sinking fund
sufficient to discharge and redeem the bonds at their maturity.

         (b) If advisable, the sinking fund shall from time to time be
invested by the commissioners court in county, municipal,
district, or other bonds which may be approved by the attorney
general.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.203.  Issuance of Refunding Bonds; Formalities.

         (a) A district which has outstanding bonds may, by order of the
commissioners court of the county of jurisdiction and without
submitting the proposition to an election, authorize and issue
its refunding bonds for the purpose of retiring all or any part
of its outstanding bonds.

         (b) The refunding bonds may mature serially or otherwise in not
more than 40 years from their date.

         (c) The refunding bonds shall be executed in the name of the
district by the county judge and county clerk under the seal of
the commissioners court and shall in other respects have the
details and be issued in the manner provided by the commissioners
court in the order authorizing the bonds.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.204.  Refunding Bonds Sold at Par.

         The refunding bonds shall be sold by the commission at not less
than their par value, delivered to the holders of not less than a
like par amount of the bonds of the district authorized to be
refunded in exchange for the prior bond obligations, or sold in
part and exchanged in part.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.205.  Approval of Refunding Bonds by Attorney General.

         The refunding bonds shall be submitted to the attorney general
for approval and shall be registered by the comptroller in the
same manner and with the same effect as is now provided by law
for the approval and registration of municipal bonds.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.206.  Tax Levy for Refunding Bonds.

         (a) If a district issues refunding bonds, the district shall
annually levy taxes on all taxable property in the district
sufficient to pay interest on the bonds as it becomes due and to
pay the principal of the bonds at maturity.

         (b) In making the annual levies, the district may take into
consideration estimated delinquencies based on tax collection
experience over the preceding years and levy the taxes in an
amount, after deduction of estimated delinquencies, sufficient to
pay principal and interest requirements and the cost of tax
collection.

         (c) In its discretion and so far as consistent with the rights
of the holders of the bonds refunded, a district may pledge to
the payment of the refunding bonds the proceeds of taxes levied
for payment of the bonds refunded and delinquent at the time of
the authorization of the refunding bonds, cash or securities in
the sinking fund maintained for payment of the bonds refunded, or
both.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.207.  Authority of Sections 62.203-62.206.

         Sections 62.203-62.206 of this code shall, without reference to
other laws, constitute full authority for the issuance of
refunding bonds.  No proceedings, publications, elections, or
referendums other than those required in Sections 62.203-62.206
shall be necessary to the authorization and issuance of refunding
bonds.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.208.  Revenue Bonds.

         (a) A district may issue revenue bonds on the terms and under
the provisions of Chapter 111, Acts of the 43rd Legislature, 1st
Called Session, 1933, or Chapter 38, Acts of the 47th
Legislature, Regular Session, 1941: 

                       (1) to purchase, construct, improve, enlarge, extend, and
         repair dams, reservoirs, water rights, water wells, canals,
         pipelines, pumps, pump stations, land, easements,
         rights-of-way, and other property and facilities necessary to
         provide a water supply for the irrigation of land and for
         industrial, commercial, domestic, municipal, and other
         beneficial uses;

                       (2) to accomplish any of the purposes designated in the
         previously mentioned two acts; and

                       (3) for general improvement purposes without designating the
         improvement.

         (b) If the bonds are issued for the purposes stated in
Subsection (a)(1) of this section, the district may own and
operate the facilities and sell and deliver water to any person. 
The properties and facilities, the uses for the water supply, and
the purchasers of the water may be inside or outside the
boundaries of the district but may not be inside the boundaries
of any other previously created navigation district or flood
control district.

         (c) If the bonds are issued for general improvement purposes,
the proceeds may be spent for any purpose designated in this
section.

         (d) As each installment of an authorized issue of bonds is
prepared for delivery, the commission shall specify the
particular purposes for which the proceeds of that installment
will be spent.

         (e) A district may enter into operating contracts and leases
with responsible persons or corporations for the operation of
those portions of the district's water distribution system which
the commission may designate.  In that case, the annual rentals
to be paid to the district by the lessee shall be a sum
sufficient to permit the district to meet its obligations for the
payment of that proportionate part of any revenue bonds,
including principal, interest, reserves, and other requirements
provided in the bond proceedings, which were issued to acquire
the leased properties.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.
                 SUBCHAPTER G.  TAX PROVISIONS
                                
       Sec. 62.251.  Assessment and Collection of Taxes.
                                
The assessor and collector of each county in which the district
  is located shall assess and collect the taxes levied by the
                    district in the county.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971. 
Amended by Acts 1979, 66th Leg., p. 2321, ch. 841, Sec. 4(r),
eff. Jan. 1, 1982.
                   SUBCHAPTER H.  ANNEXATION
                                
              Sec. 62.291.  Annexation Authority.
                                
   A district created under this chapter or converted from a
  district created under Article III, Section 52, of the Texas
Constitution, into a conservation and reclamation district under
 Article XVI, Section 59, of the Texas Constitution, may extend
          its boundaries and annex adjacent territory.
                                
Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.292.  Petition.

         Before territory is annexed to the district, a petition signed
by 50 or a majority of the electors residing in the adjacent
territory proposed to be annexed shall be presented to the
commission, requesting an election in the adjacent territory to
determine whether or not the territory will be annexed and
whether or not it will assume its pro rata part of the
outstanding bonded debt of the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.293.  Scheduling Petition for Hearing; Notice.

         (a) After a petition is presented under Section 62.292 of this
code, the commission shall set the petition for a hearing to be
held within 10 days from the date of presentation of the
petition.

         (b) Notice of the hearing shall be posted at three public
places in the territory proposed to be annexed for at least five
days before the hearing on the petition.  The notice shall
include the time and place of the hearing and the boundaries of
the territory proposed to be annexed.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.294.  Hearing.

         The commission shall hold the hearing on the subject of
annexation of adjacent territory by the district, and any person
who has taxable property in the territory proposed to be annexed
may appear in person or by counsel and offer testimony or
argument for or against the inclusion of all or any part of the
land proposed to be annexed.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.295.  Election Order.

         If after the hearing the commission finds that inclusion of the
territory proposed to be annexed would be a direct benefit to all
the land in that territory, the commission shall order an
election to be held in the territory proposed to be annexed.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.296.  Notice of Election.

         (a) The election shall be held not less than 20 nor more than
30 days from the day of the election order and after notice is
given.

         (b) Notice of the election shall be published once a week for
20 days immediately preceding the election in some newspaper
published in the territory proposed to be annexed.  If no
newspaper is published in the territory, notice shall be posted
in three public places inside the territory for at least 20 days
immediately preceding the election.

         (c) The notice:

                       (1) shall give the time and place or places for holding the
         election;

                       (2) shall give the boundaries of the territory proposed to
         be annexed; and

                       (3) may contain the substance of the order of the commission
         ordering the election.

         (d) The secretary of the commission shall have the notice
published or posted.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.297.  Ballots.

         The ballots for the election shall be printed to allow for
voting for or against:  "Annexation to the navigation district.";
and "Assumption of a pro rata part of the bonded debt of the
navigation district."

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.298.  Election Officials.

         The commission shall appoint one judge and two clerks for each
election box or place to hold the election.  The judge and clerks
shall be electors in the territory proposed to be annexed and
shall reside near the place for holding the election.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.299.  Canvass of Vote; Entry of Order.

         (a) The election judges shall certify the election returns to
the commission, and the commission shall canvass the returns.

         (b) If a majority of the electors voting at the election favor
annexation and assumption of the pro rata part of the bonded debt
of the district, the commission shall enter an order in its
minutes annexing the territory, and from and after the entry of
the order, the annexed territory shall be a part of the district
with all the rights, benefits, and burdens of property originally
situated in the district.

         (c) If a majority of the electors voting at the election favor
annexation and the proposition to assume the bonded debt fails to
carry, the commission shall enter an order in its minutes
annexing the territory to the district, and from and after the
entry of the order, the annexed territory shall be a part of the
district with the exception of the assumption of the outstanding
bonded indebtedness.  The annexed territory shall be subject to a
tax for maintenance and operation and shall be liable for all
other bonded indebtedness and other indebtedness thereafter
legally imposed by the district.

         (d) After an order of annexation has been entered in the
minutes of the commission, a certified copy of the order shall be
prepared by the secretary of the commission and shall include the
boundaries of the territory annexed.  The secretary shall record
the order or have it be recorded in the real estate records of
the county or counties in which the territory is located.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.300.  Authority to Annex Other Districts.

         Except as otherwise provided by this subchapter, a district
created under Article XVI, Section 59, of the Texas Constitution
may be annexed and become a part of another adjacent district
created under the general law in the same manner as provided in
Sections 62.292-62.299 of this code.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.301.  Duties of Commission of Annexed District.

         If a district proposes to annex an adjacent district, the
commission of the district proposed to be annexed shall:

                       (1) conduct the hearing;

                       (2) order the election;

                       (3) canvass the returns of the election; and

                       (4) perform the other duties and procedures provided in
         Sections 62.292-62.299 of this code.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.302.  Certification of Election Results.

         If the election in a district proposed to be annexed results in
a majority of the votes of the electors voting at the election
favoring annexation, the commission of the district proposed to
be annexed shall certify the election result together with the
metes and bounds of the district to the commission of the
annexing district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.303.  Hearing by Annexing District; Notice.

         (a) When the election result is certified to the commission of
the annexing district, the commission of the annexing district
shall conduct a hearing to determine whether or not it will be a
benefit to the annexing district to annex the territory.

         (b) The hearing shall be conducted after the commission has
given five days' notice in some newspaper published in the
annexing district.

         (c) If it is found at the hearing that the annexation of the
adjacent district would be a benefit to the territory of the
annexing district, the commission shall enter an order in its
minutes annexing the district and from and after the entry of the
order, the adjacent district shall be a part of the annexing
district with all rights and privileges of territory originally
situated in the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.304.  Assumption of Bonded Debt.

         (a) Unless a majority of the electors of each of the districts
approves it, the annexing district and the district to be annexed
may not assume the outstanding bonded debt of the other.

         (b) Annexation shall in no way affect the outstanding debt or
any other valid obligation of either the annexing district or the
district to be annexed.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.305.  Levy of Taxes on Annexed District.

         The commission of the annexing district shall annually levy and
collect sufficient taxes in the district to be annexed to
discharge all valid outstanding obligations of the district to be
annexed.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.306.  Dissolution of Annexed District.

         From and after the entry of the order annexing the district,
the annexed district shall be dissolved.  All powers previously
vested in the annexed district and the commission of the annexed
district shall be vested, respectively, in the annexing district
and the commission of the annexing district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.307.  Annexation of Whole of Adjacent County.

         If the territory included inside the boundaries of the annexing
district consists of all of a single county and the territory to
be annexed consists of all of an adjacent county, the adjacent
territory may be annexed in the manner provided in Sections
62.291-62.306 of this code, except the commissioners court of the
county to be annexed shall:

                       (1) conduct the hearing;

                       (2) order the election;

                       (3) canvass the returns of the election; and

                       (4) perform all other duties provided by this subchapter for
         the commission of the annexing district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.308.  Hearing.

         The commissioners court of the county to be annexed shall
conduct the hearing at some place inside the county to be
annexed.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.309.  Order of Election; Ballots.

         The commissioners court of the county to be annexed may order
an election, as requested in the petition for hearing, on either
or both propositions included in the ballot form in Section
62.297 of this code.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.310.  Certification of Election Result.

         If the proposition or propositions carries by a majority of the
vote of the electors voting at the election, the commissioners
court of the county to be annexed shall certify the election
result to the commission of the annexing district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.311.  Hearing by Annexing District.

         After the certification of the election result, and after five
days' notice in some newspaper published inside the annexing
district, the annexing district shall conduct a public hearing to
determine whether or not it would be a benefit to the annexing
district to annex the adjacent county.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.312.  Order of Annexation.

         If at the hearing it appears that annexation of the adjacent
county would be a benefit to the annexing district, the
commission shall enter an order in the minutes annexing the
county.  From and after the entry of the order, the county shall
be a part of the annexing district with all rights and privileges
of territory originally situated in the district and with the
right of representation on the commission.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.313.  Obligations not Affected; Pro Rata Assumption.

         (a) Except as provided in Subsection (b) of this section,
annexation shall in no way affect the bonded debt or any other
valid outstanding obligation of the annexing district.

         (b) If the voters at the annexation election in the county
annexed vote to assume a pro rata part of the bonded debt of the
annexing district, pro rata assumption shall be binding.  If that
proposition is not approved by a majority of those electors
voting in the election, the persons and property within the
county annexed shall never be bound to the payment of any debt of
the annexing district outstanding at the time of annexation.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.314.  Additional Commission Members.

         (a) From and after the entry of the order of annexation, the
commission shall be constituted as provided in this section.

         (b) The commissioners court of the annexed county shall appoint
two commissioners, both of whom shall be electors who reside in
the district.  The two commission members shall be additional
members of the commission of the district and shall have the same
duties and receive the same compensation as incumbent commission
members.

         (c) The additional commission members shall hold office for a
term equal to and expiring with the terms of the incumbent
commission members or, if the members of the commission are
serving staggered terms, expiring with the term of the commission
member whose term first expires.

         (d) At the expiration of the terms of the additional commission
members, the terms of all commission members shall be
automatically terminated.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.315.  Change of Membership of Navigation Board.

         (a) After the annexation, the board shall be composed of the
county judges and commissioners courts of the county of the
annexing district and of the annexed county.

         (b) Each individual member of the board shall be entitled to a
vote and a majority in number of the individuals composing the
board shall constitute a quorum.  The action of a majority of the
quorum shall control.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.316.  Permanent Commission Organization Following Annexation.

         (a) After the expiration and termination of the terms of
commission members as provided for in Section 62.314 of this
code, the commission shall be organized as provided by this
section.

         (b) The commission shall be managed, governed, and controlled
by five commission members.

         (c) The commissioners courts of the county of the annexing
district and of the annexed county shall each, by majority vote,
appoint two commission members for a term of two years.

         (d) At the expiration of the term of office of each commission
member, the commissioners court which appointed that member
shall, by majority vote, appoint a successor for a term of two
years.

         (e) The fifth commission member shall be chairman and shall
serve for a term of two years.  He shall be selected by a
majority vote of the board of the district and appointed by the
board.

         (f) If any vacancy occurs through the death, resignation, or
otherwise of any commission member, it shall be filled as in the
first instance by appointment for the unexpired term.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.317.  Provisions Governing Commission.

         (a) Each commissioner appointed under Section 62.314 or 62.316
of this code shall be an elector of the district and shall serve
his full term and until his successor is elected and has
qualified unless sooner removed by the authority which appointed
him for malfeasance or nonfeasance in office.

         (b) Each commissioner shall execute a bond, take the oath, and
have the powers and duties prescribed by the law applicable to
the annexing district at the time of the annexation.

         (c) Each commissioner is entitled to receive the compensation
determined by the board.

         (d) The commission, by majority vote, may execute all contracts
and take all actions relating to governing the district.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971.

Sec. 62.318.  Law Governing District.

         (a) The only changes made in the organization and operation of
an annexing district which annexes an adjacent county are those
contained in this subchapter.

         (b) Each district annexing an adjacent county shall continue
after the annexation to be governed by and subject to all of the
laws applicable to the annexing district at the time of
annexation.

Acts 1971, 62nd Leg., p. 110, ch. 58, Sec. 1, eff. Aug. 30, 1971